Skip to main content
U.S. flag

An official website of the United States government

Here’s how you know

Dot gov

Official websites use .gov
A .gov website belongs to an official government organization in the United States.

HTTPS

Secure .gov websites use HTTPS
A lock (LockA locked padlock) or https:// means you’ve safely connected to the .gov website. Share sensitive information only on official, secure websites.

    • Environmental Topics
    • Air
    • Bed Bugs
    • Cancer
    • Chemicals, Toxics, and Pesticide
    • Emergency Response
    • Environmental Information by Location
    • Health
    • Land, Waste, and Cleanup
    • Lead
    • Mold
    • Radon
    • Research
    • Science Topics
    • Water Topics
    • A-Z Topic Index
    • Laws & Regulations
    • By Business Sector
    • By Topic
    • Compliance
    • Enforcement
    • Laws and Executive Orders
    • Regulations
    • Report a Violation
    • Environmental Violations
    • Fraud, Waste or Abuse
    • About EPA
    • Our Mission and What We Do
    • Headquarters Offices
    • Regional Offices
    • Labs and Research Centers
    • Planning, Budget, and Results
    • Organization Chart
    • EPA History

Breadcrumb

  1. Home
  2. Water Infrastructure Finance and Innovation Act (WIFIA)

Morro Bay Water Reclamation Facility Project

WIFIA Morro Bay Project
Borrower: City of Morro Bay
Location: Morro Bay, California
WIFIA Loan Amount: $61.7 million
Total WIFIA Project Costs: $125.9 million
Population Served by Project: 10,600

Number of Jobs Created: 403 jobs

Project Description

The City of Morro Bay, a small community, will replace its over 60-year-old Morro Bay-Cayucos Wastewater Treatment Plant which discharges into the estuary. The new advanced water treatment reclamation facility will recapture and recycle wastewater to help supplement the city water supply. As a result, the city will reduce its reliance on imported water and improve groundwater quality in the local aquifer by adding highly treated water. In addition, the new facility will be moved inland to increase its resiliency and reduce the risk of flooding.

Project Benefits

  • Produces 0.97 million gallons per day of recycled water that will meet indirect potable reuse standards.
  • Helps the city meet the California Coastal Commission’s requirements by relocating the facility inland and producing more locally-sourced water.
  • Saves the city of Morro Bay ratepayers an estimated $28.6 million by financing the project with a WIFIA loan compared to a bond issuance.
  • Water Reclamation Project (Morro Bay, California) (pdf) (252.08 KB)

Water Infrastructure Finance and Innovation Act (WIFIA)

  • About WIFIA
    • Eligibility
    • Loan Process
    • Frequent Questions
  • WIFIA Solutions
    • Limiting Ratepayer Impacts
    • Once-in-a-Generation Project
    • Rising Costs
    • Multiple Funding Sources
    • Need Alternative Funding
    • Waiting for Grant Funding
    • Navigating Funding Process
    • Need to Move Quickly
    • Addressing Regional Issues
  • How to Apply
    • Available Funding
    • Public Borrowers
    • Private Borrowers
    • WIFIA SRF Borrowers
  • WIFIA Projects
    • Closed Loans
    • Pending Loans
    • WIFIA Annual Reports
  • Connect with the WIFIA Program
    • Future Webinars and Events
    • Monthly Office Hours
    • Schedule a Meeting
  • Program Resources
    • Program Handbook
    • Presentations and Factsheets
    • Laws and Regulations
    • Federal Requirements
Contact Us About the Water Infrastructure Finance and Innovation Act (WIFIA)
Contact Us to ask a question, provide feedback, or report a problem.
Last updated on April 14, 2025
  • Assistance
  • Spanish
  • Arabic
  • Chinese (simplified)
  • Chinese (traditional)
  • French
  • Haitian Creole
  • Korean
  • Portuguese
  • Russian
  • Tagalog
  • Vietnamese
United States Environmental Protection Agency

Discover.

  • Accessibility Statement
  • Budget & Performance
  • Contracting
  • EPA www Web Snapshot
  • Grants
  • No FEAR Act Data
  • Plain Writing
  • Privacy
  • Privacy and Security Notice

Connect.

  • Data
  • Inspector General
  • Jobs
  • Newsroom
  • Regulations.gov
  • Subscribe
  • USA.gov
  • White House

Ask.

  • Contact EPA
  • EPA Disclaimers
  • Hotlines
  • FOIA Requests
  • Frequent Questions
  • Site Feedback

Follow.