Phoenix is set to receive nearly $180 million in federal funding to help build a new advanced water purification facility — a project city leaders say is critical to both economic growth and long-term water resilience.
The funding, announced by Arizona Congressman Greg Stanton and Phoenix Mayor Kate Gallego, will support the design and construction of the North Gateway Advanced Water Purification Facility in north Phoenix.
Once completed, the facility is expected to treat up to 8 million gallons of wastewater daily and convert it into potable water — a vital resource in the face of ongoing drought and growing population demand.
Mayor Gallego said the project reflects Phoenix’s regional and national importance in how it uses water.
“In Arizona, we use water in ways that benefit the entire country — the chips that keep us all safe and connected, or the winter vegetables for so much of the United States,” Gallego said.
The facility is part of the city’s broader water resiliency strategy, which includes leveraging technology to reduce its reliance on the overdrawn Colorado River.
The river, which supplies water to more than 40 million people across the West, is heavily overallocated and under increasing pressure from climate change and political disputes over water rights.
“Central Arizona has very low priority for Colorado River water,” Gallego said. “The Colorado River is oversubscribed. It is both a political challenge as well as one related to the drought.”
The funding comes from the Inflation Reduction Act’s Lower Colorado River Basin System Conservation and Efficiency Program, and Phoenix is matching that federal investment with more than $300 million of its own local funds.
Stanton said that water infrastructure plays a key role in whether or not businesses are willing to build in the region.
“Companies are not going to invest here long-term if they’re concerned about their access to water, and the number one tool that we have is conservation and recycling,” Stanton said.
Construction on the facility is expected to begin in the next few years and will eventually operate alongside Phoenix’s Cave Creek water reuse plant.
City and federal officials hope the project will not only serve local needs, but also act as a model for other Western cities facing the same challenges.
“If we're going to get through the challenges on the Colorado River, it's an all hands on deck moment and we have to work,” Gallego said.
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