Cities report worsening conditions across aging water, sewer systems
(UI) - A new National League of Cities report shows worsening conditions across municipal water and sewer systems as communities face mounting pressure from aging infrastructure, rising costs and increasingly complex regulatory requirements.
The 2026 Municipal Infrastructure Conditions Report found a sharp decline in how local officials rate their water systems compared to 2022, Smart Cities Dive reported. The percentage of respondents describing their systems as satisfactory dropped from 82% to 39%, while nearly one in five officials now rate conditions as unsatisfactory.
City officials cited aging underground infrastructure, inflation-driven construction costs, staffing and funding constraints, climate pressures and stricter regulations tied to lead service lines and PFAS as key factors contributing to deteriorating system conditions.
The report also noted that expanded federal infrastructure funding under the Infrastructure Investment and Jobs Act prompted many municipalities to conduct engineering assessments and asset inventories, revealing previously undocumented infrastructure deficiencies.
According to the Smart Cities Dive, local governments continue to fund the vast majority of drinking water and wastewater infrastructure investment nationwide, even as utilities face growing demands tied to resilience, modernization and regulatory compliance.
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