North Carolina awards $270M for water, sewer rebuilds after Hurricane Helene

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NCDOTcommunications, CC BY 2.0 , via Wikimedia Commons
NCDOTcommunications, CC BY 2.0 , via Wikimedia Commons

North Carolina Construction News staff writer

North Carolina is moving ahead with a major round of water infrastructure repairs in communities damaged by Hurricane Helene, with $270 million now awarded for construction projects across western parts of the state.

Governor Josh Stein said the funding will support 58 water, wastewater and septic system projects in 26 western North Carolina counties. The money is being distributed through the N.C. Department of Environmental Quality’s State Revolving Fund program and targets systems that were damaged by flooding or left vulnerable by the storm.

State officials said all funded projects are required to improve long-term system resilience, particularly against future flooding and extreme weather. North Carolina is the first state impacted by Hurricane Helene to issue awards under the 2025 State Revolving Fund Supplemental Appropriations for Hurricanes Helene and Milton and the Hawai‘i wildfires.

Several of the largest awards will go toward replacing or upgrading aging treatment facilities and extending sewer service in small mountain communities.

In Rutherford County, Chimney Rock Village will receive more than $11.8 million across three projects, including construction of a new wastewater treatment plant, drinking water system resiliency improvements and sewer extensions to connect homes currently relying on septic systems.

The Town of Old Fort in McDowell County was awarded $15 million to strengthen its drinking water and sewer systems, while Burnsville in Yancey County will receive just over $13 million for water supply upgrades and sewer line improvements along Hickory Lane and West Glendale Avenue.

Other major projects include a $9.3-million package in Clyde, Haywood County, which includes a new drinking water system interconnection with Canton and Waynesville and wastewater system resiliency upgrades, and more than $10 million in Crossnore, Avery County, for drinking water and wastewater system improvements.

At the regional level, the Western Piedmont Council of Governments will receive $7.6 million to repair roughly 300 septic systems damaged by Helene across 11 western counties.

DEQ said applications for the federal Helene-related SRF funding will remain open until March 2, 2026. Funding is being provided primarily through zero-interest loans and principal forgiveness and is available to municipalities, nonprofit water utilities and, in some cases, investor-owned systems.

In addition to the Helene-related awards, the State Water Infrastructure Authority approved $9 million for lead service line inventory and replacement projects and $750,000 for septic system repairs under a Clean Water State Revolving Fund pilot program.

Construction on many of the awarded projects is expected to begin as design and procurement phases are completed over the coming months.

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