Treatment plants emerge as a high-growth water niche

At the same time, municipalities are investing to improve water quality, comply with evolving regulatory requirements, expand treatment capacity, adopt Smart Utility technologies, and support population-driven growth. These investments are essential, largely nondiscretionary, and supported by a diverse mix of state, local, and federal funding sources. The vast majority of municipal water infrastructure spending is funded at the state and local level, which helps support consistent investment activity regardless of the federal funding environment. While the pace and timing of individual projects may vary, the underlying need remains clear. Water infrastructure continues to be a critical priority for municipalities and utilities, supporting our confidence in the opportunities ahead. Our treatment plant initiative delivered another quarter of strong double-digit growth and remains one of the most compelling growth opportunities within our municipal platform.