Bad state data may misdirect nearly $1 billion in federal funds to replace lead pipes

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A cut lead pipe is pulled from a dig site for testing at a home.

The Environmental Protection Agency is at risk of misallocating nearly $1 billion in lead pipe replacement funding to the wrong states because it didn’t verify inaccurate data provided by Texas and Florida, an agency watchdog announced.

It’s possible that the EPA can avoid much of the misallocation and can recover some funds that already went where they shouldn’t have, the EPA’s Office of Inspector General said. But the errors mean some states with the biggest needs may have to wait longer for funds — or will get less than they should have, the OIG said in a report this week.

The EPA disputed the watchdog’s conclusions, saying it tried to balance evolving information on lead service lines in each state with the need to quickly allocate money from the Bipartisan Infrastructure Law. Officials promised to review future allocations for Texas and Florida…

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