The Fayetteville Public Works Commission is unable to access more than $80 million in federal funding the utility was previously awarded for electric, water and wastewater infrastructure projects.
The grants and low-interest loans became inaccessible following President Donald Trump’s executive orders and directives PWC said in its annual report to the Fayetteville City Council last week. Notable projects include $60 million for the PFAS filtration system the utility had planned to complete in 2028 to remove harmful forever chemicals from its water supply, as well as a $22.7 million grant from the Department of Energy to improve the electrical grid.
PWC customers will have to foot the bill for the projects through rate increases if the funding is not released, PWC Chair Chris Davis said.
“Each of the noted projects are crucial to ensuring safe, reliable and affordable utility services for our customers,” Davis said. “If the federal funding support goes away, it’s apparent that PWC’s only option is to look at rates.”
Infrastructure projects worth a combined $87.4 million are now in limbo as the federal dollars are “on hold” or “under review” by the Trump administration, according to PWC. These include:
- $22.7 million grant from the Department of Energy to “install new software and advanced technologies over the next 5-years to improve customer electric reliability”
- $1.3 million grant from the Department of Energy to bolster PWC’s electric system cybersecurity
- $900,000 grant from the Department of Energy that PWC received in partnership with Fayetteville Technical Community College and Fayetteville State University to establish a training center for clean energy jobs
- $60 million from the Bipartisan Infrastructure Law to construct the Granulated Activated Carbon system for water PFAS filtration
- $2.5 million from the Bipartisan Infrastructure Law to identify and replace old lead pipes in the water system
The freeze is not currently affecting PWC’s operations, but it will in the future if the funds continue to be withheld, PWC CEO Tim Bryant said in a statement to CityView.
“The funds, or lack thereof, will have a direct impact on future rates as costs not offset by federal and/or state funding must be borne by ratepayers,” Bryant said. “Consequently, PWC continues to appeal to our federal delegation to convey the impact of the loss of funding.”
Contact Evey Weisblat at eweisblat@cityviewnc.com or 216-527-3608. This story was made possible by donations from readers like you to CityView News Fund, a 501(c)(3) charitable organization committed to an informed democracy in Fayetteville and Cumberland County.