Legislation provides $575 million for water infrastructure development

LITTLE ROCK, AR - Governor Sarah Huckabee Sanders signed three major pieces of legislation during the 2025 legislative session making large investments in Arkansas’ water infrastructure.
 
“If our state is going to continue to grow and thrive, then every Arkansan needs access to safe and reliable water infrastructure,” said Governor Sanders. “I was proud to work with the legislature to support this legislation and invest more than half a billion dollars in Arkansas’ water issues, and I will work closely with the Department of Agriculture to ensure we provide assistance to the communities that need it most.”
 
SB420, now Act 736, allows more private entities to convert to public water authorities, allowing them to apply for additional state funding. HB1681, now Act 812, establishes the Water and Sewer Treatment Facilities Grant Program, providing $25 million from interest earnings per year over the next three years to water and sewer facilities, with 20% earmarked for rural systems serving 1,200 people or fewer.
 
SB421, now Act 578, creates a ballot initiative for the 2026 election that, if approved, would provide $500 million in water and wastewater project funding through 2043, paid for through loan repayments and no increase to state general revenue. Arkansas’ existing bond authority is set to expire in the summer of 2027.
 
“Reliable water and wastewater infrastructure is vital for the sustainability of communities and industries throughout our state as well as the quality of life for every Arkansan,” said Arkansas Secretary of Agriculture Wes Ward. “We appreciate Governor Sanders’ continued leadership to ensure the long-term success of our state.” 
 
“This legislative package provides critical tools to improve how we plan, fund, and deliver water projects across the state,” said Chris Colclasure, Director of the Arkansas Department of Agriculture’s Natural Resources Division. “We appreciate the Governor’s leadership and look forward to working with communities and partners to implement these programs and make meaningful progress where it’s needed most.” 

“From Arkansas’ fastest growing urban areas to our most rural communities, we have critical water needs,” said Sen. Bart Hester. “I am proud of the work from my colleagues and Governor Sanders on actions taken this session to address these needs that will be felt in our communities very soon.”

“As Arkansas takes proactive steps to enhance water development programs, the recent approval of SB420 and SB421 by the State Legislature signals a crucial milestone in fostering sustainable water infrastructure,” said Rep. Howard M. Beaty Jr. These bills not only expand funding and eligibility, but underscore the state’s commitment to ensuring a cleaner and more accessible water supply for all Arkansans. The future looks brighter with these legislative advancements paving the way for a more resilient water landscape.”
 
“Clean water isn’t a luxury - it’s a necessity,” said Rep. DeAnn Vaught. “This legislation is a crucial first step toward repairing what’s broken, preparing for the future, and ensuring every Arkansas community has the water infrastructure it needs to thrive.”
 
Since taking office, Governor Sanders, through the Department of Agriculture, has overseen $2.5 billion in investments in 478 community water and wastewater projects in all of Arkansas’ 75 counties. She initiated a comprehensive review and update of the state’s Water Plan in the summer of 2023, and that update is set to be completed next year. The Governor also began an inventory of Arkansas’ levees last year – the state’s first-ever full inventory of all levees – to better prepare for flooding events. She championed critical investments in emergency equipment for the Arkansas Rural Water Association to assist water and wastewater systems in times of need. She took action to address the City of Helena West-Helena’s water system issues, including approving loans, providing potable water, and offering Arkansas National Guard Assistance.