Pennsylvania American Water Awarded Two PENNVEST Loans to Expand Water Service in Washington County
Pennsylvania American Water has been awarded $15.5 million in low-interest financing from PENNVEST for two water main extension projects in Washington County. The loans will enable the company to bring safe, reliable public water service and increased fire protection to nearly 60 homes, a public school district, and a fire department.
The first loan of $10.4 million will support the installation of 6.5 miles of new water main in Cross Creek, Independence, and Mount Pleasant townships, benefiting the Avella Area School District and enhancing fire protection capabilities. The second loan of $5.1 million will fund 3 miles of new water main in Robinson and Smith townships, providing improved water quality and pressure to 23 new customer connections.
Pennsylvania American Water ha ricevuto 15,5 milioni di dollari in finanziamenti a basso interesse da PENNVEST per due progetti di estensione della rete idrica nella Contea di Washington. I prestiti consentiranno all'azienda di fornire un servizio idrico pubblico sicuro e affidabile, oltre a migliorare la protezione antincendio per quasi 60 abitazioni, un distretto scolastico pubblico e un corpo dei vigili del fuoco.
Il primo prestito di 10,4 milioni di dollari supporterà l'installazione di 6,5 miglia di nuova rete idrica nelle township di Cross Creek, Independence e Mount Pleasant, beneficiando il Distretto Scolastico dell'Area Avella e migliorando le capacità di protezione antincendio. Il secondo prestito di 5,1 milioni di dollari finanzierà 3 miglia di nuova rete idrica nelle township di Robinson e Smith, fornendo una migliore qualità e pressione dell'acqua a 23 nuove connessioni clienti.
Pennsylvania American Water ha recibido 15,5 millones de dólares en financiamiento a bajo interés de PENNVEST para dos proyectos de extensión de tuberías en el Condado de Washington. Los préstamos permitirán a la empresa proporcionar un servicio de agua pública seguro y confiable, y aumentar la protección contra incendios para casi 60 hogares, un distrito escolar público y un departamento de bomberos.
El primer préstamo de 10,4 millones de dólares apoyará la instalación de 6.5 millas de nuevas tuberías en los municipios de Cross Creek, Independence y Mount Pleasant, beneficiando al Distrito Escolar del Área de Avella y mejorando las capacidades de protección contra incendios. El segundo préstamo de 5,1 millones de dólares financiará 3 millas de nuevas tuberías en los municipios de Robinson y Smith, proporcionando una mejor calidad y presión del agua a 23 nuevas conexiones de clientes.
펜실베이니아 아메리칸 워터(Pennsylvania American Water)는 워싱턴 카운티에서 두 개의 수도관 확장 프로젝트를 위해 PENNVEST로부터 1,550만 달러의 저금리 자금을 지원받았습니다. 이 대출은 회사가 안전하고 신뢰할 수 있는 공공 수돗물 서비스와 향상된 소방 보호를 제공할 수 있게 해줍니다 거의 60가구, 공립학교 구역, 그리고 소방서에 혜택을 줍니다.
첫 번째 대출인 1,040만 달러는 크로스 크릭, 인디펜던스, 마운트 플레전트 행정 구역에 10.5킬로미터의 새로운 수도관 설치를 지원하며, 아벨라 지역 교육 구역에 혜택을 주고 소방 보호 능력을 향상시킵니다. 두 번째 대출인 510만 달러는 로빈슨과 스미스 행정 구역에 4.8킬로미터의 새 수도관의 자금을 지원하며, 23개의 신규 고객 연결에 대해 수질과 압력을 개선합니다.
Pennsylvania American Water a reçu 15,5 millions de dollars de financement à faible intérêt de PENNVEST pour deux projets d'extension de réseau d'eau dans le comté de Washington. Ces prêts permettront à l’entreprise de fournir un service public d’eau potable sûr et fiable, ainsi qu'une meilleure protection incendie à près de 60 foyers, un district scolaire public et un service de pompiers.
Le premier prêt de 10,4 millions de dollars soutiendra l'installation de 10,5 kilomètres de nouveaux conduites d'eau dans les communes de Cross Creek, Independence et Mount Pleasant, bénéficiant au district scolaire de l'aire d'Avella et améliorant les capacités de protection incendie. Le deuxième prêt de 5,1 millions de dollars financera 4,8 kilomètres de nouvelles conduites d'eau dans les communes de Robinson et Smith, offrant une meilleure qualité et pression d'eau à 23 nouvelles connexions clientèle.
Pennsylvania American Water hat von PENNVEST 15,5 Millionen Dollar an zinsgünstiger Finanzierung für zwei Wasserleitungsprojekte im Washington County erhalten. Die Darlehen ermöglichen es dem Unternehmen, sicheren und zuverlässigen öffentlichen Wasserservice und erhöhten Brandschutz für fast 60 Haushalte, einen öffentlichen Schulbezirk und eine Feuerwehr bereitzustellen.
Das erste Darlehen in Höhe von 10,4 Millionen Dollar wird die Installation von 10,5 Kilometern neuer Wasserleitungen in den Stadtteilen Cross Creek, Independence und Mount Pleasant unterstützen, wodurch der Schulbezirk Avella Area School District profitiert und die Brandschutzkapazitäten verbessert werden. Das zweite Darlehen in Höhe von 5,1 Millionen Dollar wird 4,8 Kilometer neuer Wasserleitungen in den Stadtteilen Robinson und Smith finanzieren und 23 neuen Kundenanschlüssen eine verbesserte Wasserqualität und -druck bieten.
- Secured $15.5 million in low-interest financing for water infrastructure projects
- Expansion of water service to nearly 60 homes, a school district, and a fire department
- Improved fire protection capabilities in serviced areas
- Opportunity for 58 new customer connections
- None.
Insights
The $15.5 million in low-interest PENNVEST loans awarded to Pennsylvania American Water represents a significant financial opportunity for the company. With interest rates of
The projects' scope, covering 9.5 miles of new water main and potentially adding 58 new customer connections, indicates a modest but steady expansion of the company's revenue base. While the immediate financial impact may be , the long-term benefits include increased recurring revenue and enhanced community relations, which could pave the way for future growth opportunities.
Investors should note that while these projects may not significantly impact short-term earnings, they align with the company's strategic goals of infrastructure improvement and market expansion. The involvement of public entities like schools and fire departments also suggests potential for future public-private partnerships, which could lead to additional revenue streams and enhanced stakeholder value in the long run.
The PENNVEST-funded projects in Washington County represent a important step in addressing rural water infrastructure challenges. By extending 6.5 miles of water main along Avella Road and 3 miles along Old Steubenville Pike and Campbell Road, Pennsylvania American Water is tackling a persistent issue in many rural areas: lack of access to reliable public water systems.
The inclusion of the Avella Area School District and Avella Fire Department as beneficiaries of improved water pressure is particularly noteworthy. Enhanced fire protection capabilities can lead to improved safety ratings for the area, potentially lowering insurance costs for residents and businesses. This exemplifies how water infrastructure projects can have ripple effects beyond just providing clean water.
From a development perspective, the extension of public water services to areas previously reliant on private wells can be a catalyst for future growth. Improved water quality and reliability often lead to increased property values and can attract new residential and commercial development. However, it's important to balance this potential growth with sustainable water management practices to ensure long-term resource availability.
These projects align with broader national initiatives to upgrade aging water infrastructure, as highlighted by the Infrastructure Investment and Jobs Act. This federal support suggests a favorable regulatory environment for similar projects in the future, which could present ongoing opportunities for companies in the water utility sector.
“We’re thankful to PENNVEST for approving our loan request, as this financing will enable us to extend water mains to residents now living without adequate access to public water service," said Pennsylvania American Water Vice President of Engineering Bruce Aiton. “At Pennsylvania American Water, we strive to provide our customers with high-quality, reliable water service, and these PENNVEST-supported projects will enable us to achieve that goal in new communities that can truly benefit.”
One PENNVEST loan of
The second loan, totaling
“The Shapiro Administration strives to safeguard every Pennsylvanian's right to the basic necessity of clean water. Ensuring the reliability of our water infrastructure is critical for the health of our communities. Now is the time to address clean water infrastructure," said PENNVEST Chairman Dr. Brian Regli in the Commonwealth’s official announcement. “Through the support of federal funding provided by the Infrastructure Investment and Jobs Act, this is a once in a generational opportunity to access funding for projects throughout
The terms of both PENNVEST loans are 1.743 percent interest for the first five years and 2.179 percent for the balance of the 20-year loan period.
About American Water
American Water (NYSE: AWK) is the largest regulated water and wastewater utility company in
For more information, visit amwater.com and join American Water on LinkedIn, Facebook, X and Instagram.
About Pennsylvania American Water
Pennsylvania American Water, a subsidiary of American Water, is the largest regulated water utility in the state, providing high-quality and reliable water and wastewater services to approximately 2.3 million people.
View source version on businesswire.com: https://www.businesswire.com/news/home/20240726384995/en/
Media:
David Misner
Senior Manager, External Communications
717-262-7525
david.misner@amwater.com
Source: Pennsylvania American Water
FAQ
What is the total value of PENNVEST loans awarded to Pennsylvania American Water (AWK) for Washington County projects?
How many miles of new water main will be installed in Washington County by Pennsylvania American Water (AWK)?
What are the interest rates for the PENNVEST loans awarded to Pennsylvania American Water (AWK)?
How many new customer connections will be possible through Pennsylvania American Water's (AWK) Washington County projects?
