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EPA Announces $250M WIFIA Loan to Modernize Water Infrastructure in San Francisco Bay Area

SAN FRANCISCO, CA — The U.S. Environmental Protection Agency’s (EPA’s) Regional Administrator for the Pacific Southwest, Martha Guzman, announces a $250-million Water Infrastructure Finance and Innovation Act (WIFIA) loan to the Union Sanitary District (USD) in Union City, California. EPA’s WIFIA loan will help fund upgrades to the district’s aging water infrastructure to provide better wastewater treatment, reduce nutrient discharges to the San Francisco Bay, and increase resiliency to impacts of climate change.

In the first year of the Biden-Harris administration, EPA closed 29 WIFIA loans that are investing over $5 billion in communities across the country to protect public health and the environment while creating over 36,000 jobs.

“Through the WIFIA program, we are improving California’s water infrastructure to better deliver safe drinking water, protect our natural resources, and build stronger, more resilient local economies,” Guzman said. “We are happy to support Union Sanitary District and their project, which will help protect our cherished San Francisco Bay, and we look forward to accelerating investments in water infrastructure under the Bipartisan Infrastructure Law.”

Union Sanitary District operates a 33-acre wastewater treatment facility that serves over 357,000 customers in Fremont, Newark, and Union City. The district’s Enhanced Treatment and Site Upgrade Phase 1 Projects will support implementation of the San Francisco Bay Nutrient Management Strategy by improving treatment quality for up to 33 million gallons of wastewater per day.

The project will reduce 50 percent of the facility’s nitrogen discharges and 90 percent of its ammonia discharges to the San Francisco Bay on an annual basis. In addition to improving water quality in the Bay, the projects are also designed to bolster the facility’s resilience to wet weather events and the impacts of climate change.

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“This federal support is the financial cornerstone of USD’s Enhanced Treatment and Site Upgrade (ETSU) Phase 1 program, a multi-year improvement project that provides significant engineering, operational, and environmental benefits,” said General Manager Paul Eldredge. “USD is proud to collaborate with the EPA to proactively improve water quality in the San Francisco Bay through enhanced wastewater treatment processes and nutrient removal as we renew and replace aging infrastructure for the 21st century. The EPA’s low-cost financing will help ensure modernized, reliable, cost-effective service to customers and will deliver benefits to the San Francisco Bay Area for many years to come.”

With EPA’s WIFIA loan, the Union Sanitary District will save approximately $50 million over the life of the project, which will support regional efforts to protect water quality in the San Francisco Bay. Project construction and operation are expected to create an estimated 1,630 jobs and construction is expected to be completed in 2028.

“For decades, the Union Sanitary District has provided first-rate wastewater collection, treatment, and disposal services throughout California’s 15th Congressional District and the Eastern Bay,” said Congressman Eric Swalwell. “I was proud to help support their application for a Water Infrastructure Finance and Innovation Act loan to support its Enhanced Treatment and Site Upgrade program that will upgrade and replace critical infrastructure, help manage the effects of a changing environment, and create jobs.”

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