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Lead pipe replacement grants and funding in New Mexico

What grants and funding are available to replace lead pipes in New Mexico?

Last verified from EPA SDWIS: 2026-04-14
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Lead Pipe Replacement Grants and Funding in New Mexico

Overview

If you own your home and have a lead service line, replacing it is expensive—often $3,000 to $15,000 out of pocket. New Mexico offers several funding paths to help. The state does not currently report confirmed lead service lines in its inventory, but that doesn't mean they're absent; many older homes in the state may still have them. The programs below are designed to reduce your cost or cover it entirely, especially if your household qualifies as low-income.

New Mexico's Drinking Water State Revolving Fund (DWSRF)

The state uses federal dollars through the Drinking Water State Revolving Fund to finance water infrastructure upgrades, including lead line replacement. New Mexico's DWSRF Intended Use Plan dedicates a significant set-aside for disadvantaged communities—households and systems serving low-income areas get priority access to below-market-rate or forgivable loans.

Contact the New Mexico Environment Department, Water Quality Bureau directly to ask:

  • Whether your water system is participating in DWSRF-funded lead replacement projects
  • If you qualify for principal forgiveness (meaning you don't repay part or all of the loan)
  • How to apply if your system isn't yet running a replacement program

Federal Infrastructure Funding (Bipartisan Infrastructure Law / IIJA)

While New Mexico received federal funding under the Bipartisan Infrastructure Law for water infrastructure, the state has not yet announced a dedicated homeowner reimbursement program for private lead line replacement. Federal dollars are flowing to public water systems to replace their portions of lead lines (the part from the main to your property line).

Your next step: Contact your local water utility to find out if they have received federal grants for lead replacement and whether they offer any cost-sharing for the private side of the line.

Direct Homeowner Assistance

New Mexico does not currently operate a standalone, state-run lead line replacement rebate or reimbursement program for homeowners. However, some water utilities in the state have created their own assistance programs using federal or state funds.

Check with your water utility to ask:

  • Do you have a lead line replacement program?
  • Are rebates, grants, or zero-interest loans available to homeowners?
  • Is there a waiting list?

Next steps for residents

  • Contact your water utility — Ask if they have a lead replacement program and what funding you may qualify for.
  • Apply for DWSRF assistance — Reach out to the New Mexico Environment Department, Water Quality Bureau, to learn about state revolving fund loans and forgiveness options for disadvantaged households.
  • Test your water — If you're unsure whether you have a lead service line, your utility can often tell you based on your property records, or you can request a free or low-cost water test through your local health department.
  • Verify your household income — Most assistance programs require proof of income; have your tax return or recent pay stubs ready when you apply.

Related topics in New Mexico

Common questions

Does New Mexico offer free lead pipe replacement to homeowners?

Not statewide. Some water utilities may offer rebates or assistance funded by federal or state grants, but there's no universal state homeowner program. Contact your local water utility to ask if they have lead replacement funding available.

How much does it cost to replace a lead service line in New Mexico?

Lead line replacement typically costs $3,000 to $15,000 depending on soil conditions, line depth, and your location. Grants and low-interest loans can reduce or eliminate your out-of-pocket cost.

What is New Mexico's DWSRF and can it help me?

The Drinking Water State Revolving Fund offers low-interest loans and sometimes forgiveness for disadvantaged households to pay for water improvements, including lead line replacement. Contact the New Mexico Environment Department, Water Quality Bureau, to learn if you qualify.

How do I know if I have a lead service line?

Call your water utility with your address; they can often tell you based on your property records or the age and history of your home. You can also request a water test through your local health department.