State Approves Funding for Coastal Georgia Regional Water Partnership Between City of Savannah, Bryan Co., Effingham Co.

Staff Report From Georgia CEO

Thursday, March 13th, 2025

The State of Georgia General Assembly has approved funding in the FY25 midyear budget for a new Coastal Georgia Regional Water Partnership between municipal utility providers the City of Savannah, Bryan County, and Effingham County.

Governor Brian Kemp and the General Assembly have allocated $501.7 million to be distributed to the new regional partnership through the Georgia Environmental Finance Authority (GEFA) via state direct investments and zero-interest loans. The funding was included in the $40.5 billion midyear budget which was approved by the General Senate March 3, 2025 and signed by Governor Kemp March 6, 2025.  

The State of Georgia funding will support vital infrastructure projects that will secure the near-term and long-term water supply needs of the region and establish water supply system redundancy that ensures water service resiliency for existing and future utility customers.

“This partnership is a major step towards securing the future of our utility capacity for Savannah and Chatham County,” City Manager Jay Melder said. “Partnering with our neighboring utility providers to address the pressing demand of water supply for the region makes sense. We look forward to working with our partners in Effingham County and Bryan County as we expand our existing cooperation through this new partnership. We are grateful to Governor Brian Kemp, House Speaker John Burns, and the Georgia General Assembly for recognizing and investing in our joint efforts to provide a solution to the short-term and long-term water supply challenges we are facing in the region.” 

"As the region’s primary utility provider, securing funding to enhance our infrastructure today is essential to meeting the needs of our customers tomorrow,” said Mayor Van R. Johnson, II. “This new partnership establishes a strong foundation for future growth, ensuring we continue delivering one of our residents’ most vital services. I extend my gratitude to Governor Brian Kemp and the Georgia General Assembly for approving this critical investment in our region."

Expected outcomes of Phase one of the project include: upgrades and expansion to the City of Savannah’s I&D Water Treatment Plant increasing its surface-water supply capacity; construction of a new water transmission line by Effingham County connecting its main line to the North Bryan County area; and construction of a connection line between Bryan County and the Hyundai Meta Plant site. Phase one is expected to be completed in the 2028 – 2029 timeframe.  

Phase two of the plan will fund the construction of a new raw water intake on the Savannah River and water treatment plant for Effingham County, as well as raw water transmission facilities to serve the region. The addition of Effingham County’s new raw water intake and water treatment facility, combined with the connection of all three regional utility systems, will enhance the reliability of all the utility suppliers and create system redundancy that can support the forecasted growth demands of the region both in the near-term and long-term.  

Phase two is expected to be completed in the 2030 – 2032 timeframe.  

Effingham County will receive $319 million of the allocated funding for new infrastructure. The City of Savannah will receive $146 million for the expansion of the I&D plant as well as raw water pumping upgrades, water transmission pump station upgrades and two water towers. Bryan County will receive $36.7 million for water transmission infrastructure and a high-service booster station.  

The expansion of the region’s surface water capabilities will reduce the region’s reliance on groundwater drawn from the Floridan Aquifer—a primary drinking water source for nearly 10 million people. The State funded surface water supply projects will also support the groundwater management strategies of the Georgia Environmental Protection Division (EPD) which began restricting withdrawals from the aquifer in 2006 due to overuse and saltwater intrusion.  

Since 2015, the region has experienced an increase in water demand of about 20 MGD (million gallons per day). Due to accelerating growth in the region, the forecasted water demand increase indicates that by 2035 an estimated 30-40 MGD of additional water supply capacity will be needed.  In 2024, the City of Savannah’s maximum monthly average surface water supply was 52 MGD and the annual average groundwater supply was an estimated 20 MGD.  

The City is currently permitted to produce up to 58 MGD of surface water and an estimated 18 MGD of average annual withdrawal from the groundwater aquifer as of January 1, 2025.  The upgrades and expansion of the I&D Water Treatment Plant will be accompanied by a request for incremental increases in permitted withdrawal and potable water production over time.

The City of Savannah serves potable water to over 80,000 metered accounts and approximately 350,000 people.