Modeling the Future of Federal Mandates: Smarter Financial Planning for PFAS & LCRI Implementation
Water utilities are entering a new financial era—one defined by urgency, and regulatory demands that need confident and informed decisions. With the EPA’s Lead and Copper Rule Improvements (LCRI) mandating full lead service line replacement by 2034, and new enforceable PFAS standards requiring treatment systems in place by 2029, utility CFOs face a critical question: How do we comply with mandates without compromising affordability or our financial future?
The capital stakes are massive. The EPA estimates the cost of nationwide lead service line replacement at $46–90 billion—yet only $15 billion in federal funds have been committed. Meanwhile, PFAS compliance could cost utilities $2.5–3.2 billion annually, according to an independent study by Black & Veatch and the AWWA. These dual mandates are not just expensive—they’re compounding, overlapping, and time-bound.
Water utility finance teams have a lot on their plate already, keeping rates affordable, while balancing an ever-growing CIP with O&M is no small task. So where do you begin?
Just like you might prioritize your CIP, water finance teams should prioritize modeling around the key pieces of these mandates, and their effect on your utilities’ financial future.
In the whitepaper, “The Keys to Affordability: PFAS, LCRI & More”, We’ve explored the key financial model drivers to consider when laying the foundation for a sustainable future, among them are:
- Capital costs for lead line replacement and PFAS treatment facilities
- Debt service implications of different financing paths (e.g., SRF loans, revenue bonds, WIFIA)
- Grant timing and constraints, which may delay or phase project cash flows
- O&M cost modeling, especially for new PFAS treatment technologies
- Scenario and contingency planning, to assess the impact of cost overruns, timeline changes, or shifting regulations
The whitepaper also includes a short case study on Eastern Municipal Water District (EMWD), which used Synario to streamline a $785M capital improvement plan, analyze project impacts in real time, and align funding strategies with affordability targets.
For utility CFOs, this moment requires more than compliance—it demands vision.
With multiple capital-intensive mandates arriving simultaneously, the ability to forecast trade-offs, model risks, and communicate funding needs clearly to stakeholders will define financial success in the decade ahead.
Download the full whitepaper to explore:
- An in-depth look at the biggest factors to consider for your CIP
- Real-world examples of strategic financial planning in action
- How to start planning for action on for PFA & LCRI mandates
The challenges may be unprecedented—but so is the opportunity to create a lasting legacy of water safety and fiscal stewardship.
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