1

State of Water Infrastructure 

in the US-Mexico Border 

Region – Funding Resources

Development and Certification of 

Environmental Infrastructure Projects

Good Neighbor Environmental Board

June 28, 2012

Border Environment Cooperation Commission
US–Mexico Border Environment 

Cooperation Agreement

“Preserve, protect, and enhance US-MX border region by 

identifying, developing, implementing and overseeing 

environmental infrastructure projects.”

A project that will “prevent, control or reduce environmental 

pollutants or contaminants, improve the drinking water supply, or 

protect flora and fauna so as to improve human health, promote 

sustainable development, or contribute to a higher quality of life.

Projects certified by the BECC are financed by 

the NADB or other institutions

Border Environment Cooperation Commission (BECC)

North American Development Bank (NADBank)
Jurisdiction

100 km north (population 13.9

million) and 300 km south 

(population 16.6 million) of the 

international boundary.

Projects beyond these areas may 

be eligible if they remedy a crossborder environmental or health 

problem.

BASIC SECTORS

• Water pollution

• Wastewater treatment

• Water conservation

• Municipal solid waste

• Industrial and hazardous waste

• Recycling and waste reduction

EXPANDED SECTORS

• Air quality

• Clean and efficient energy

• Public transportation 

• Municipal planning and development

• International border crossings

• Energy transmission / distribution of energy

• Production of goods / services to enhance or 

protect the environment, if the project provides a 

net environmental benefit to the region

• Other infrastructure designed to minimize future 

negative environmental impacts in the region

BECC Overview – Mandate Scope
California, 14

$ 254.66

Arizona, 16

$ 168.11

New Mexico, 9

$ 67.74

Texas, 50

$ 847.28

89 in U.S.

$ 1,337.79

105 in México

$ 2,979,70

Sonora, 27

$ 559.43

Coahuila, 3

$ 156.60

Nuevo León, 5

Baja California, 30 $ 105.71

$ 1,192.16

Tamaulipas, 16

$ 623.80

Certified Projects (US$M)

Chihuahua, 24

$ 342.02

CERTIFIED PROJECTS 194

TOTAL INVESTMENT (BD) $4.317

NADB FINANCED PROJECTS* 152

NADB FINANCING* (BD) $1.326

POPULATION BENEFITED (M) 13.8

*Only contracted agreements are 

included, not total approvals.
Technical Assistance and Training

California

$ 2.72

Arizona

$ 4.42

New Mexico

$ 4.32

Texas

$ 13.72

Sonora

$ 3.82 Coahuila

$ 1.32

Nuevo León

$ 0.51

Baja California

$ 2.31 Chihuahua

$ 3.01

Tamaulipas

$ 4.04

• 2011: US$1.00 million - (19 projects, 

21% BECC TA) 

• 1995-2011: PDAP/COCEF - US$40.34 

million

• 72 communities in Mexico: US$15.01 

million

• 90 communities in US: US$25.33 

million

• More than US$34 million in PDAP

technical assistance grants for 

project development in 155+ 

communities. 

• Approximately 85% of these funds 

have led to projects already 

implemented or under development.

2011 Training

5 events (Solid Waste Workshop in Hermosillo, 

Sonora and Reynosa, Tamaulipas; Water and 

Wastewater Training in Sonora; Second and Third 

Modules of the State Climate Action Plans 

Workshop)

• 325 attendees

• US$130,000 investment

Training events supported by EPA, TCEQ, 

Conagua, INE and SEMARNAT
Technical Assistance and Training

17 Solid Waste Management 

2.9 million residents with improved waste collection and disposal services, resulting in 

the capacity to properly dispose of 1,550 tons of waste per day.

25 Water Conservation

Estimated annual water savings of 330 MGD (456 million m3/year). As a comparison, this 

quantity is sufficient to serve the average drinking water demands of 4 million people.

90 Water and Wastewater 

Providing improved drinking water treatment/distribution as well as wastewater collection/ 

treatment for the benefit of more than 12 million border residents, most significantly 

impacted by new capacity to eliminate more than 400 MGD (17.5 L/sec) of untreated or 

inadequately treated sewage.

13Air Quality Projects

8.0 million residents benefited from reduced exposure to air pollution from vehicular traffic 

on unpaved streets. Approximately 200,000 tons per year of PM10 anticipated to be 

eliminated.

Social and Environmental Benefits

9 Energy

Offset demands of traditional fossil-fuel based energy production, avoiding nearly 1.7 

million metric tons of CO2-eq per year.
N

E

E

D

INVESTMENT

20 Drinking Water Treatment Plants & 32 Drinking Water Distribution Systems

54 Wastewater Treatment Plants & 74 Wastewater Collection Systems 

16 Landfills built or expanded & 16 Sub-standard Dumpsites closed

26,964,000 Squared Meters Paved

Input/Outcome Snapshot

R

E

S

U

L

T
GNEB 14th Report - Energy

Renewable Energy – Certification and Financing

• Since June 2011, 7 renewable energy projects approved

(4 solar/3 wind; 1 MX/6 US) 

• All US projects have been supported by Federal incentive programs – grant 

program or tax credits

• 2 additional energy projects submitted to board (1 solar/1 wind; 2 US)

• 5+ in the 2012 project pipeline.

Energy Efficiency

• 2012 BECC TA focused on water utility energy audits

• Local US utilities – preliminary audits with staff training

• US AID funding application – Baja California

• PDAP - committed sources for water/energy audits; points 

awarded for sustainable development elements; and 

consideration of green building guidelines required

Broader Mandate Interpretation – Energy transmission/distribution
State of Water Infrastructure

• Needs Assessments

• BECC/NADB Funding Programs

• Leveraging Resources

• Investment Strategies
Needs Assessments
Infrastructure Needs – MX
Needs Assessment - US

12

• Cost per Household Connection Assumptions

– Rural DW Hook-up - $7,400

– Rural WW Connection - $12,000
BECC / NADB Funding Programs

US-Mexico Border Program 

EPA-funded Program for Water and Wastewater Projects. Provide assistance to 

communities located in the border region through:

Project Development Assistance Program (PDAP) administered by BECC, 

providing grants for the technical development of projects

Border Environment Infrastructure Fund (BEIF) administered by NADB for 

construction assistance. BEIF construction grant funds are intended to 

supplement other sources in order to make a project affordable to its users.

Eligibility Requirements include: 

• 100 km (62 miles) north or south of the US-Mexico border

• US-side Benefit (projects in Mexico must be located in a community adjacent to 

the border or provide a water quality benefit to the US)

• Local ordinances to prevent the development of areas or new facilities 

which lack appropriate water/wastewater infrastructure
BECC / NADB Funding Programs

US-Mexico Border Program 

Adverse Human 

Health Effect ?

Project Application

Define project based on conditions

to be addressed

Category 3

Immediate Adverse 

Environmental Effect or

Potential Adverse Human

Health Effect?

Risk to Human Health

or Environment?

Category 2

Category Evaluation

NO

YES

Category 1

NO

Prioritization Process Methodology

Ranking Parameter Evaluation

YES YES
BECC / NADB Funding Programs

NADB’s Loan Programs for construction of all eligible sectors 

including water, wastewater, solid waste, air quality, and energy. 

Includes Bank’s role as financial & institutional advisor and as 

investment banker.

• Leveraged with special bond programs – Build America

• Water Transmission/Storm Water – El Paso, TX

• Private and Private – Public Partnerships

Community Assistance Program (CAP) – Funding priority for water, 

wastewater, and solid waste project for economically-distressed 

communities; $500,000 maximum grant.

Technical Assistance Programs for all sectors BECC and NADB may 

provide grant assistance to project sponsors for institutional 

strengthening and project development studies.
BECC / NADB Funding Programs

Institutional Capacity Building: BECC and NADB provide training to 

project sponsors for institutional strengthening through Sector 

workshops and Utility Management Institute.

• BECC Technical Services during Project Development 

A BECC Project Manager works with project sponsors to build 

capacity during all phases of the development process, 

including developing scopes of work, reviewing deliverables, 

creating and monitoring project schedules, and coordinating 

with agencies and stakeholders.

Border 2012 and Special Grants (EPA-funded Program): Address 

Border 2012 objectives

• Pre-project epidemiological baseline study – Valle de Juarez 

• Los Alisos WWTP – Solar 
Leveraging Resources

BEIF has experienced a leveraging strength of more than $2.00 of 

other sources to every $1.00 of BEIF.

The total investment represented by projects with BECC 

Certification reflect a leveraging ratio of at least $3.00 of other 

sources to every $1.00 financed by NADB.

An Effective Niche for BECC: 

Approximately 85% of the more than $40M in technical 

assistance funds offered by BECC have led to projects already 

implemented or currently under development.

Completing project development tasks such as preliminary 

engineering, environmental clearance, and final design provide 

greater access to construction funding opportunities.
Leveraging Resources

Critical US Funding Partners include:

USDA / Rural Development

• As a major funding partner in every US State, USDA/RD and 

BECC share a similar client base – small, rural, economicallydistressed communities.

• Ideal funding partnership: BECC supports sponsor to develop 

PER and environmental documents which is required for 

funding consideration by USDA/RD.

• Potential grant funds from BEIF may not decrease loan 

requirement.

• Challenges in finding compatibility for combining sources for 

construction tasks – USDA/RD prefers to separate project in to 

independently funded stand-alone tasks
Leveraging Resources

Critical US Funding Partners include:

State Grant Programs

• Texas Water Development Board (TWDB) - Economically 

Distressed Areas Program (EDAP) including Planning, 

Acquisition, and Design (PAD) opportunities.

• NM Colonias Infrastructure Fund Program, including planning 

and design awards.

• Community Development Block Grants – HUD

• AZ Water Infrastructure Finance Authority (WIFA) Planning 

and Design Grant Program

State Revolving Loan Funds

• Better than market-rate loans.

• Subsidies available for disadvantaged communities.

• Green project reserves
Investment Strategies

• Sufficient Investment in Planning

• Needs Assessments

• Field Surveys for targeted areas

• Improved State Data Collection and Management Systems

• Quantification of Rehabilitation and Replacement Needs

• Master Plan Investments

• On-going inter-agency coordination and process stream-lining

• Self-sustaining Utilities: Improved resource management, reduced 

operational costs, and GHG reductions

• Green Building - Plan, Design, and Build smart and efficient

• Water/Energy Efficiency - Audits

• Alternative sources of energy – Self supply / Renewable Energy

• Enhanced Rate Structures / Connecting Households

• Capacity building (institutional strengthening) at all levels – “Best 

practices”

• New and Leveraged Program Resources

• US-Mexico Border Water Infrastructure Program – Increased funding 

and pre-prioritization reserve for early planning

• State and Federal Program Enhancement
Contact:

Maria Elena Giner, P.E.

General Manager

mginer@cocef.org

Renata Manning-Gbogbo

Projects Director

rmanning@cocef.org

COCEF, Ciudad Juárez, Chih., Mexico

 (656) 688-4600