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Pittsburgh, PA - Pittsburgh Water has received Positive outlooks on its credit ratings from both Moody’s Ratings and S&P Global Ratings, reflecting strong financial management and continued confidence in the utility’s ability to fund critical infrastructure investments.

The agencies affirmed Pittsburgh Water’s strong underlying credit ratings – A2 from Moody’s and A+ from S&P – and cited steady financial performance, improving regulatory relationships, and disciplined execution of capital projects as key drivers behind the outlook upgrades.

“The recent outlook upgrades from both Moody’s and S&P are further validation that our leadership team and Board of Directors are managing public finances responsibly,” said Pittsburgh Water CEO Will Pickering. “By continuing to manage our investments effectively, we will strengthen our vital public infrastructure and ensure reliable service for generations to come,” he continued.

The ratings were announced as Pittsburgh Water prepares to issue approximately $125.6 million in new bonds to support its capital improvement program.

What the rating agencies highlighted

According to S&P Global Ratings, the positive outlook reflects expectations that Pittsburgh Water will:

• Continue successfully delivering major capital projects
• Maintain strong financial metrics during an intensive investment period
• Strengthen its working relationship with the Pennsylvania Public Utility Commission

S&P also noted that there is a one-in-three chance of a future credit rating upgrade over the next two years if current performance trends continue.

Moody’s Ratings cited:

• Consistent financial results supported by strong management
• Solid debt service coverage and liquidity levels
• A clear commitment to making the investments needed to modernize aging infrastructure

Moody’s stated that a future upgrade could occur if coverage and cash reserves remain stable while Pittsburgh Water moves through the most capital-intensive phase of its improvement plan.

Long-term financial progress

Since 2018, Pittsburgh Water has steadily strengthened its credit profile:

• Moody’s: One credit rating upgrade and three outlook upgrades, now A2 with Positive outlook
• S&P Global Ratings: One credit rating upgrade and one outlook upgrade, now A+ with Positive outlook

“These positive outlooks reflect years of deliberate financial planning and operational improvements,” said Edward Barca, Pittsburgh Water’s Director of Finance. “They reinforce our ability to invest in critical infrastructure while maintaining financial stability and affordability for our customers.”

Pittsburgh Water’s capital improvement program exceeds $1 billion and focuses on replacing aging infrastructure, improving system reliability, and meeting regulatory requirements that protect public health and the environment.

For more information about Pittsburgh Water’s financials, including its Capital Improvement Program and Operating Budget, please visit pgh2o.com/finance.

Pittsburgh, PA - Pittsburgh Water announced today that it has received $31,510,340 in funding from the Pennsylvania Infrastructure Investment Authority (PENNVEST), consisting of a $15,903,876 grant and a $15,606,464 low-interest loan, to support its ongoing lead service line replacement program. This funding is in addition to the $795,744,703 in loans and $115,969,811 in grant funding the utility has previously secured from PENNVEST for systemwide improvements.

“Pittsburgh Water’s Lead Service Line Replacement program is a critically important investment in our neighborhoods, and we are thankful for PENNVEST’s record-setting funding,” said Mayor Corey O’Connor. "Not only has Pittsburgh Water already replaced nearly 25,000 public and private lead lines in 68 of the 73 neighborhoods where they provide drinking water, but the program has also supported hundreds of local union jobs and delivered equitable access to drinking water for all families.”

The new funding will enable Pittsburgh Water to replace approximately 1,610 lead service lines – 770 public and 840 private – in the neighborhoods of Bloomfield, Shadyside, Highland Park, and Central Lawrenceville. These projects are part of the utility’s comprehensive effort to remove all lead service lines in its service area by 2027, protecting public health and improving drinking water quality.

“Replacing lead service lines is one of the most important investments we can make to improve public health and drinking water quality,” Pittsburgh Water CEO Will Pickering said. “This funding ensures that residents in Bloomfield, Shadyside, Highland Park and Central Lawrenceville will have continued access to clean, safe drinking water, and it moves us closer to our goal of fully removing lead from our system.”

The project will support local jobs and economic activity as contractors work in the neighborhoods, contributing to both immediate employment and long-term community benefits. Residents can expect temporary service interruptions during construction, and Pittsburgh Water will provide advance notice to affected households. As part of this work, Pittsburgh Water will restore impacted sidewalks and repave roadways following construction, ensuring neighborhoods are returned to safe and usable conditions.

Since 2016, Pittsburgh Water has removed more than 14,000 public lead service lines and 10,600 private ones at no direct cost to ratepayers. The utility remains on track to remove all residential lead service lines by late 2027 and is entering the final locations where service line verification and removal of lead pipes is needed. The utility’s Community Lead Response follows an equity-based approach prioritizing neighborhoods with a concentration of young children and women of childbearing age, County health data, income, and density of lead lines in a neighborhood. This model, developed in consultation with the Community Lead Response Advisory Committee, ensured that the most at-risk neighborhoods are prioritized first.

Pittsburgh Water was also awarded two Pennsylvania Small Water & Sewer grants, totaling $850,000 for projects in Allegheny County. A $425,000 grant will support Pittsburgh Water’s Residential Meter Project, helping offset the cost of replacing customer water meters as part of the utility’s required meter replacement cycle and reducing costs for ratepayers. An additional $425,000 grant will fund leak reduction efforts through the purchase of advanced leak detection sensors. These investments will help reduce water loss, improve system efficiency, and advance Pittsburgh Water’s goal of minimizing treated water waste.

This funding marks another step forward in Pittsburgh Water’s multi-year strategy to modernize its water infrastructure while keeping customer costs low. By leveraging funding, Pittsburgh Water is able to maximize grant support and reduce the burden on ratepayers, while maintaining progress toward systemwide improvements.

For more information on Pittsburgh Water’s lead service line replacement program, visit pgh2o.com/lead.

Pittsburgh, PA - Pittsburgh Water has reached a major milestone in its nationally-recognized Community Lead Response, officially replacing its 14,000th lead service line since the initiative began in 2016. Pittsburgh is now regarded as one of the nation’s leading cities in proactively removing lead service lines, moving faster than many large water systems in the country. This ongoing work comes at no direct cost to customers, reflecting the utility’s commitment to protecting public health and delivering equitable water service across each community it serves.

There is no safe level of lead in drinking water. That’s why Pittsburgh Water is committed to replacing all residential lead lines in its system— both publicly and privately owned — to ensure cleaner, safer water for current and future generations of customers. While this work continues, customers can be confident that their drinking water meets the highest standards of safety and quality. Due to the utility’s highly effective water treatment process that includes the food-grade corrosion control additive orthophosphate, Pittsburgh Water recently recorded the lowest lead levels in its history: just 2 parts per billion (ppb), substantially lower than the 15 ppb regulatory limit

“We’ve achieved some truly remarkable successes in 2025, from getting lead levels down to a historically-low 2 ppb, to reaching yet another milestone in lead service line replacements,” said Pittsburgh Water CEO Will Pickering. “None of this would be possible without our deeply dedicated team and local partners. It’s that dedication that’s keeping us on pace to replace every residential lead line in our system before the end of 2027, placing us years ahead of most comparable water utilities across the country.”

To help finance this undertaking, Pittsburgh Water has strategically relied on alternative funding sources, primarily in the form of state and federal funding administered by the Pennsylvania Infrastructure Investment Authority (PENNVEST). Since 2018, PENNVEST has awarded Pittsburgh Water $795,774,703 in low-interest loans and $115,969,811 in grants for a total of $911,744,514, with their most recent award of nearly $78 million announced in October 2025. These funding infusions help Pittsburgh Water live up to its commitments to protect public health while providing equitable access to high-quality, affordable water services.

“PENNVEST’s grants and low-interest loans have played a critical role in supporting our Community Lead Response,” said Pickering. “This is a costly undertaking, and part of our commitment to equity and affordability is making sure our customers don’t bear all of the financial burden of these essential projects. Because of PENNVEST’s continued support and investment in Pittsburgh’s water future, we’re able to maintain an aggressive pace while keeping ratepayer costs as low as possible.”

Pittsburgh Water Resources

To view current and future lead line replacement projects and access the available material information on service lines down to the address, Pittsburgh Water customers may visit pgh2o.com/leadmap.

To learn more about Pittsburgh Water’s Community Lead Response and find more information about waterborne lead, visit pgh2o.com/lead.

For information on affordability and Customer Assistance Programs, customers can visit pgh2o.com/CAP.