Red Hook Intermunicipal Sewer Project
Background February 2026 Prepared by Trustee Frances Uku, Village of Red Hook
The Project
The Village of Red Hook and Town of Red Hook are undertaking a combined $26 million sewer project. The Village is expanding its WWTP from 75,000 to 300,000 GPD, extending its collection system to ~170 additional properties ($19.5M combined), and dedicating 50,000 GPD of capacity to the Town. The Town is building a new collection system connecting ~51 properties to the Village plant ($6.6M).
The Agreement
In 2024, the Town and Village executed an Intermunicipal Agreement that defines this as a single project in which the Village is the central party: the Village owns and operates the treatment facility, controls the project budget, authorizes disbursements, employs the operator, and the Village Engineer reviews and approves Town construction plans. Section 8.d requires the Town and Village to “work cooperatively” on grant applications.
How It Was Implemented
Each municipality engaged its own engineering firm and prepared separate grant applications:
| Scope | Municipality | Engineer | EFC Applications | Cost |
|---|---|---|---|---|
| Town collection system | Town of Red Hook | Tighe & Bond | IMG | $6.6M |
| WWTP expansion + Village | ||||
| collection system extension | Village of Red Hook | Delaware Engineering | WIIA | $19.5M |
Funding Status
| Application Title | Program | Amount | Result |
|---|---|---|---|
| Town/Village Sewer Treatment FacilityExpansion | IMG(EFC) | $2.56M | Awarded (Dec 2025) |
| WWTP Upgrades — Phase II | WIIA(EFC) | upto $5M | Denied (Dec 2025) |
| Red Hook (V) WWTP Upgrades & STEP Sewer System | |||
| — Phase II | WQIP (DEC) | $10M | Denied(Jan 2026) |
| Village WWTP Expansion | Empire State Dev. | $2M | Awarded |
| Village WWTP Expansion | Dutchess County | $500K | Awarded |
The Challenge
The Town’s collection system and the Village’s WWTP expansion are interdependent — the Town’s infrastructure connects to the Village plant. The Town’s IMG was awarded in the same round that the Village’s WIIA was denied.
EFC Funding
Current EFC grants Combined project at IMG rate (40%) Town IMG: $2.56M · Village WIIA: $0 Up to $10.4M before adjusting for grants already awarded Total EFC funding: $2.56M on a $26M project
Precedent: Millerton / North East
In December 2024, EFC awarded a $5.08M IMG to the Village of Millerton and Town of North East for a combined wastewater project. Same county (Dutchess). Same structure: Village-owned WWTP, Town connecting via IMA. The two municipalities engaged a single engineer (Tighe & Bond) and filed a single combined application — one lead municipality, one project.
Questions for Discussion
- What options are available to the Town and Village in future grant cycles?