Looking back at 2025, the word “uncertainty” resonates with me as I reflect upon regulations that remain under judicial review, economic trends that contribute to elevated project costs, and potential opportunities and challenges that Artificial Intelligence (AI) brings.
As we turn our attention to 2026, the focus shifts from uncertainty to preparation. Our goal is to help our clients anticipate what’s coming, understand key regulatory considerations, and position themselves to make informed decisions in a changing environment. With that in mind, the following highlights several factors that make 2026 a pivotal year and worth close attention.
Regulatory Determinations
The process of developing, proposing, and finalizing drinking water regulations is often complex, with multiple stages of review, revision, and legal scrutiny. For utilities and stakeholders, this can create uncertainty and frustration – particularly for high-profile issues such as lead service lines and per- and polyfluoroalkyl substances (PFAS), where regulatory outcomes have significant operational, financial, and public trust implications.
Lead and Copper
Fortunately, the judicial review of the Lead and Copper Rule Improvements (LCRI) should occur in 2026 to address concerns raised by the American Water Works Association (AWWA) and Association of Metropolitan Water Agencies regarding the replacement of privately owned infrastructure. Assuming lead service line replacement continues to be a priority, good news is reflected in the recent announcement of additional funding availability for that purpose, along with an expanded scope to include galvanized lines.
PFAS
The judicial review of the designation of PFOS and PFOA as hazardous substances under Comprehensive Environmental Response, Compensation, and Liability Act (CERCLA) is also expected in 2026. A critical companion to this determination is proposed legislation, H.R. 1267, which intends to protect water and wastewater utilities from liability and related costs associated with PFAS contamination. Consider sending a letter to your respective members of Congress in support of this legislation. Upon request, we can share a letter template prepared by AWWA.
Consider sending a letter to your respective members of Congress in support of this legislation. Upon request, we can share a letter template prepared by AWWA.
The PFAS Rule is also in judicial review. Specifically, action taken by the United States Environmental Protection Agency (USEPA) to partially vacate the rule by eliminating the novel concept of regulating the mixture of four PFAS compounds via the calculation of a health index value. The established maximum contaminant levels (MCLs) for PFOS and PFOA, which are considered the most prolific PFAS compounds, are likely to remain in place at unprecedented low levels of 4 parts per trillion (ppt) based on sampling requirements.
Regulatory Outlook
With the exception of the relatively narrow impact of a recently proposed regulation for perchlorate, the coming year should provide some much-needed reprieve with respect to proposed regulations, as the USEPA reviews data from sampling efforts conducted under the Fifth Unregulated Contaminant Monitoring Rule (UCMR5). The UCMR5 consisted of sampling for 29 PFAS compounds and lithium, the latter of which seems to be present at relatively high concentrations when compared to the Health Reference Value of 10 parts per billion (ppb) regardless of the type of source or geographic location. Researchers will likely thrive while conducting studies to identify and link the occurrence of lithium to its naturally occurring form, improper battery disposal, or pharmaceutical uses.
As UCMR5 concludes, attention is turning to the Fifth Contaminant Candidate List (CCL5) as a key indicator of contaminants that may be considered for inclusion in the Sixth Unregulated Contaminant Monitoring Rule (UCMR6). While microplastics are frequently cited as a potential candidate, the absence of standardized analytical methods remains a significant obstacle to generating reliable and comparable data. Based on CCL5, which was published in October 2022, UCMR6 is expected to include a combination of chemical contaminants and select microbial constituents. Additional details will become clearer as the list is finalized and released.
Concerns regarding microbial contaminants, particularly Legionella, continue to increase as occupancy patterns in large office buildings shift with more employees returning to in-person work following the COVID-19 pandemic. These concerns coincide with growing discussion around the potential establishment of a numeric secondary disinfectant residual concentration. Recommendations from the National Drinking Water Advisory Council (NDWAC), which advises the USEPA on drinking water regulations, further reinforce renewed attention on the aging suite of microbial and disinfection by-product (M/DBP) rules. The coming year is expected to provide greater clarity on future M/DBP rulemaking initiatives currently anticipated for 2027.
Practical Considerations for the Year Ahead
Across the drinking water industry, daily operational demands often leave limited time to focus on longer-term planning and risk management. Establishing dedicated time for strategic thinking, whether through protected focus periods or structured planning efforts, can help utilities step back from day-to-day pressures and concentrate on essential priorities.
As utilities prepare for 2026, proactive planning will be increasingly important in navigating a complex and evolving operating environment. For example, water systems serving at least 3,300 people were required to complete a Risk and Resilience Assessment and Emergency Response Plan under the American Water Infrastructure Act of 2018. Depending on system size, many utilities have completed a second iteration of this effort, while others continue to advance related planning activities. In all cases, the effort required to plan and prepare is significantly outweighed by the risks associated with insufficient readiness.
The events of the past five years have provided valuable perspective on several enduring challenges facing the industry, including:
- Limited workforce availability and the growing emphasis on employee retention;
- The interconnected nature of the global economy and the tangible impacts of supply chain disruptions; and
- The evolution of project delivery strategies from exception to standard practice.
Effectively addressing these challenges requires a deliberate, organization-wide commitment to strategic planning and continuous improvement. Regularly assessing the condition of critical assets, understanding risks and potential consequences of failure, and planning for leadership and workforce succession are essential components of long-term resilience.
By focusing on resilience, adaptability, and informed decision-making, utilities can navigate change with confidence and continue to provide reliable, high-quality drinking water to the communities they serve. 2026 has the potential to be a pivotal year – one that rewards preparation and thoughtful leadership.