Infrastructure funding tied to housing development, economic activity and local placemaking is creating a new pipeline of county-led construction work across New York, with the state directing more than $38 million toward 49 projects through the second round of its County Infrastructure Grant Program.
The funding, announced Aug. 20, will support small- and medium-sized infrastructure projects identified by counties across the state. The latest awards are also expected to help enable the construction of more than 3,200 new homes.
The program is administered by Empire State Development and was established through New York's FY 2025 enacted budget.
The County Infrastructure Grant Program provides financial support for projects selected by county governments that advance economic development, tourism or community development objectives.
Standard awards can provide up to $500,000 for qualifying infrastructure work. Projects connected to the creation of housing developments with at least 10 units may qualify for enhanced funding of up to $1 million.
Since the program began in November 2024, New York has awarded more than $74 million to nearly 100 projects statewide, including the 49 projects included in the latest funding round.
The structure allows counties to identify infrastructure needs based on local development priorities, creating opportunities for work involving site development, utilities and other public infrastructure improvements associated with housing and economic development projects.
New York's FY 2026 and FY 2027 enacted budgets each included an additional $50 million for the County Infrastructure Grant Program.
The FY 2027 allocation will provide funding for a third round of awards, extending the program's pipeline of county-sponsored infrastructure projects.
For construction owners, developers and contractors, the program links public infrastructure investment with residential development and local economic initiatives. Projects that require infrastructure improvements before housing or commercial development can proceed may benefit from the state funding.
The latest awards demonstrate how state infrastructure programs can help counties advance smaller projects that may be necessary to support larger development plans.
For contractors and specialty subcontractors, county-led improvements supported by the program could generate opportunities across civil construction, utilities, site preparation and related infrastructure work. For developers and owners, the enhanced funding available for qualifying housing projects may help address infrastructure requirements associated with new residential construction.
With another $50 million allocated for a future funding round, the program remains a source of potential public infrastructure investment across New York counties.
Source: ESD.
