Governor Hochul Announces $76 Million Available for Third Round of County Infrastructure Grant Program

Governor Kathy Hochul today announced the launch of a third round of the County Infrastructure Grant Program, with $76 million available to support small- and medium-sized county-led infrastructure projects. Modern infrastructure is fundamental to New York State's economic vitality and, by supporting these types of projects, the state can remain competitive, encourage new investments and further advance the Governor's bold housing agenda. The deadline for applications is Friday, February 5, 2027.

"Modern infrastructure is the foundation of vibrant communities and strong local economies," Governor Hochul said. "By expanding funding and raising award limits for projects that drive housing development, we are giving our county partners the tools they need to build stronger neighborhoods, attract top-tier investment, and make New York a more affordable and livable state."

For the third round of the County Infrastructure Grant Program, projects that directly support the creation of at least 10 new housing units are eligible for up to $1.5 million, up from the previous $1 million limit. Projects with less than 10 units are eligible for up to $1 million, up from the previous $500,000 limit. Empire State Development requires a Letter of Intent (LOI) be submitted prior to filing a final application. Additionally, a webinar for counties is being planned for mid-November. Links to the program guidelines, LOI, application and webinar information are available on the program webpage here.

Empire State Development President, CEO & Commissioner Hope Knight said, "Under Governor Hochul's leadership, New York continues to partner with county governments to improve local infrastructure, create more housing and generate new investments. Through this program, we are strengthening our communities by supporting projects that address barriers and encourage new economic growth."

New York State Housing and Community Renewal Commissioner RuthAnne Visnauskas said, "Counties play a critical role in delivering the modern infrastructure that makes housing growth possible. By raising funding limits in this third round of the County Infrastructure Grant Program for projects that directly support new housing, we're providing counties with the tools and incentives they need to unlock housing development, attract businesses, and advance the Governor's agenda to make New York a more vibrant, sustainable, and affordable place to live."

New York State Association of Counties Executive Director Stephen J. Acquario said, "Counties know that new housing doesn't happen without the water, sewer, and road infrastructure to support it, and this program has delivered exactly that. In just two rounds, the County Infrastructure Grant Program has funded nearly 100 projects and laid the groundwork for nearly 6,000 new homes, along with the business development that we are building in communities across the state. By raising award limits in this third round, Governor Hochul is helping counties take on bigger projects that make a real difference. We thank the Governor and state lawmakers for this continued partnership, and we encourage every county to apply."

State Senator April N.M. Baskin said, "Investing in infrastructure is critical to building strong communities. From improving roads and utilities to supporting new housing, these investments help counties prepare for growth and long-term economic development. I'm excited to see how counties across New York State will use this funding to advance projects that strengthen their communities and create new opportunities for growth."

Assemblymember Al Stirpe said, "This $76 million investment will be a great help to municipalities and developers in creating critically needed housing. The arrival of Micron in Central New York, and the many supply chain companies to follow, make it even more urgent to provide the infrastructure needed to greatly increase the housing supply."

The County Infrastructure Grant Program was established by Governor Hochul to assist counties in developing infrastructure to better meet the needs of New Yorkers. The original $50 million program was included in the State's FY25 Enacted Budget, with an additional $50 million included in the FY26 and FY27 Enacted Budgets. To date, more than $74 million has been awarded through the program to nearly 100 projects, supporting the construction of nearly 6,000 new homes across the state.

Governor Hochul's Housing Agenda

Governor Hochul is dedicated to addressing New York's housing crisis and making the State more affordable and livable for all New Yorkers. Since FY23, the Governor has worked to increase housing supply to make housing more affordable by launching a $25 billion five-year comprehensive Housing Plan, enacted the most significant housing deal in decades and implemented new protections for renters and homeowners. Under Governor Hochul's leadership, HCR has created new programs that jumpstart development of affordable and mixed-income homes - for both renters and homebuyers. These include the Pro-Housing Community Program, which allows certified localities exclusive access to up to $750 million in discretionary State funding. There are currently more than 450 certified Pro-Housing communities throughout the state, including New York City.

As part of the FY27 Enacted Budget, Governor Hochul secured a number of landmark reforms to New York's State Environmental Quality Review Act (SEQRA) to speed up housing and infrastructure development and lower costs as part of her "Let Them Build" agenda. "Let Them Build" also includes executive actions to expedite critical categories of projects that have been consistently found to not have significant environmental impacts, but for too long have been caught up in red tape and subject to lengthy delays.

The FY27 Enacted Budget completes the Governor's current five-year Housing Plan to create or preserve 100,000 affordable homes statewide, including 10,000 with support services for vulnerable populations plus the electrification of an additional 50,000 homes. More than 87,000 affordable homes have been created or preserved to date. The FY27 Enacted Budget also invests $250 million in capital funding to accelerate the construction of thousands of new affordable homes.