Cedar Rapids secures $348 million loan to modernize water infrastructure and boost local economy

Initiative projected to generate over 100 local jobs over four years and safeguard waterways

Cedar Rapids Water Pollution Control Facility
The Cedar Rapids Water Pollution Control Facility at 7525 Bertram Rd. SE near Bertram. CREDIT CITY OF CEDAR RAPIDS

In a major push to modernize its aging water systems, Cedar Rapids is set to receive a state revolving fund loan of $348 million, federal and local officials announced Thursday.

At a press event in Cedar Rapids Sept. 26, U.S. Environmental Protection Agency (EPA) Principal Deputy Assistant Administrator for Water Bruno Pigott joined Mayor Tiffany O’Donnell and City Manager Jeff Pomeranz to unveil the funding package. The loan, designed to overhaul outdated water infrastructure, is seen as vital for protecting local waterbodies and ensuring sustainable water management for the future.

An additional $42 million has been approved if further funding is needed to complete the upgrades, officials said.

“Reliable wastewater treatment is a cornerstone of environmental health and economic
opportunity in any community,” said Mr. Pigott. “Through the Bipartisan Infrastructure Law, the Biden-Harris Administration is investing in water to help cities like Cedar Rapids secure a clean water future that protects public health and nature while powering local economies.”

The Biden-Harris Administration, with bipartisan support from Congress, has rolled out the largest investment in U.S. water infrastructure to date. The Bipartisan Infrastructure Law invests more than $50 billion through the Environmental Protection Agency’s (EPA) successful water infrastructure programs.

This funding represents a significant opportunity for the EPA, alongside states, Tribes, and local governments, to enhance and revitalize America’s aging water systems. The EPA has pledged to prioritize equitable access to these resources, ensuring that all communities, especially those that are disadvantaged and underserved, receive their fair share of this crucial federal investment.

As localities gear up to tackle the pressing challenges in water management, this historic infusion of funding could be a game-changer for infrastructure development across the nation.

“We are fortunate to have unique opportunities for major economic growth on the horizon. None of it would be possible without our water and wastewater infrastructure. The EPA and Iowa’s State Revolving Fund are another important part in connecting our community to needed infrastructure investments,” said Ms. O’Donnell.

Cedar Rapids is set to enhance its wastewater treatment capabilities with a significant investment aimed at processing both municipal wastewater and industrial waste streams from local businesses and factories. This upgrade is not just a boost for the community’s environmental health; it aligns with the city’s economic development goals and supports anticipated residential and industrial growth.

The project will also enable Cedar Rapids to meet future nutrient reduction requirements and safeguard local waterways, ensuring sustainable management of its water resources. Additionally, the initiative is projected to generate over 100 local jobs throughout the estimated four-year construction period, contributing to the area’s economic vitality while improving infrastructure.

“This project has been a long time coming. We are excited to see our plan for improvements come to fruition and have the opportunity to stimulate our local economy in the process,” said Cedar Rapids Utilities Director, Roy Hesemann.

Cedar Rapids council approves $348 million bid for Water Pollution Control Facility project