Cybersecurity threats facing water and wastewater utilities continue to increase in frequency and sophistication. Recent cyber incidents on critical infrastructure underscore the growing operational and financial risks of inadequate protections and cybersecurity as an important component of utility planning and investment. As utilities strengthen operational technology (OT), supervisory control and data acquisition (SCADA) systems, information technology (IT) networks, and critical infrastructure, funding can play an important role in accelerating cybersecurity improvements and enhancing system resilience.
Securing cybersecurity funding requires more than identifying grants and financing opportunities. Utilities must clearly demonstrate how proposed investments address documented vulnerabilities, operational risks, resilience objectives, regulatory considerations, and service reliability. A strong funding strategy begins with understanding what activities and costs are eligible under each program and developing a clear justification that links cybersecurity investments to measurable risk reduction and operational benefits.
To support utilities, Brown and Caldwell's cybersecurity and strategic funding professional assess vulnerabilities, prioritize investments, evaluate funding opportunities to determine which improvements are most competitive for funding. Translating technical needs into business and resilience outcomes, BC helps position cybersecurity projects for federal and state funding with clear justifications and documentation.
While many cybersecurity funding opportunities are competitive, state-administered programs often require engagement well before applications are released. Programs such as the State and Local Cybersecurity Grant Program (SLCGP) rely on state-level planning and prioritization processes that shape future funding allocations. Water and wastewater utilities should work proactively with state agencies, cybersecurity planning committees, and regional partners to ensure that critical infrastructure needs are represented and positioned for future funding consideration.
The programs summarized below highlight key federal and state resources that may support cybersecurity planning, assessments, resilience improvements, technology modernization, and infrastructure investments for water and wastewater utilities. Funding priorities and eligibility requirements can change, so early planning and project development is key to success.
| Program Name | Agency | Type | Description |
|
Clean Water State Revolving Fund (CWSRF) |
United States Environmental Protection Agency (EPA) |
Grant/Loan |
Joint federal and state program that provides communities with low-cost financing for wastewater and water quality infrastructure projects, including cybersecurity efforts, vulnerability mitigation, SCADA security improvements, and projects that improve the security and resilience of wastewater infrastructure |
|
Drinking Water State Revolving Fund (DWSRF) |
EPA |
Grant/Loan |
Joint federal and state program that provides communities with low-cost financing for safe drinking water infrastructure projects, including addressing cybersecurity threats. |
|
Water Infrastructure Finance and Innovation Act (WIFIA) |
EPA |
Loan |
Long-term loans with advantageous terms for large-scale water infrastructure projects with a minimum cost of $20 million. Cybersecurity components may be incorporated into larger eligible infrastructure projects, helping utilities finance comprehensive modernization and resilience initiatives |
|
Midsize and Large Drinking Water System Infrastructure Resilience and Sustainability Program |
EPA |
Grant |
Funding for public water systems serving 10,000+ people for extreme weather and natural hazard resilience projects, including cybersecurity upgrades to protect critical networks. |
|
CISA State and Local Cybersecurity Grant Program (SLCGP) |
Cybersecurity and Infrastructure Security Agency (CISA) |
Grant |
Competitive funding for state, local, tribal, territorial, and municipal entities, administered through designated state agencies, to support cybersecurity planning, assessment, governance, training, modernization, and risk reduction activities for state, local, tribal, and territorial governments. Early engagement with state planning processes is often critical. |
|
Cybersecurity Technical Assistance Program for the Water Sector |
EPA |
Technical Assistance |
Water utilities, state water agencies, and technical assistance providers can request technical assistance from cybersecurity subject matter experts. Assistance may cover training, device security, account security, data security, vulnerability management, policies, and procedures. |
The most successful cybersecurity funding applications demonstrate:
A documented cybersecurity risk or vulnerability
Clear business and operational impacts
Alignment with funding program objectives
Measurable resilience and risk reduction outcomes
Our Strategic Funding and Digital Solutions experts understand the hurdles that water agencies face with financing, funding, and economic sustainability. Our team works with your agency – from completing funding searches, developing funding strategies, developing competitive low interest loan and grant applications, supporting post-award grants administration, and understanding federal compliance requirements.
For additional information contact:
Klint Fletcher | Digital Solutions | kfletcher@brwncald.com
Seema Chavan | Vice President, Sr. Director of Strategic Funding | schavan@brwncald.com
Katie Menzer | Director of Strategic Funding | kmenzer@brwncald.com