Nassau County Homeowners Can Save Up to $20,000 with New Septic System Upgrade Incentives in 2025
Nassau County residents now have access to unprecedented financial assistance for upgrading their septic systems, with the county’s innovative Septic Environmental Program to Improve Cleanliness (S.E.P.T.I.C.) offering grants up to $20,000. This groundbreaking initiative, launched to combat Long Island’s water quality crisis, combines federal, state, and county funding to help homeowners transition from conventional septic systems and cesspools to advanced nitrogen-reducing technologies.
Understanding the S.E.P.T.I.C. Program Benefits
Nassau County is offering grants up to $20,000 for homeowners or small businesses to install state-of-the-art nitrogen-reducing septic systems. The S.E.P.T.I.C. Program provides grant funding of up to $20,000.00 to eligible homeowners, not-for-profits, and small businesses to replace conventional septic systems and cesspools with nitrogen-reducing innovative and alternative onsite wastewater treatment systems (IA OWTS). Nassau County uses $10,000 of federal funds from the American Recovery Plan Act in conjunction with $10,000 from State Septic System Replacement Grant funds.
Nitrogen pollution from cesspools and septic systems has been identified as the largest single cause of degraded water quality on Long Island, contributing to beach closures, restrictions on shellfishing, toxic algae blooms, and massive fish kills. The average residential septic system discharges approximately 40 pounds of nitrogen per year. The new nitrogen-reducing systems can remove up to 95% of nitrogen from wastewater, making this upgrade both environmentally crucial and financially advantageous.
Qualifying for the 2025 Tax Credits and Rebates
To qualify for Nassau County’s septic upgrade incentives, property owners must meet specific eligibility criteria. Properties must be single family, two family, not-for profit organization, or small businesses with an existing sanitary design flow less than or equal to 1,000 gallons per day (GPD). They must be served by an existing septic system or cesspool and not be connected to a public or private sewer or located within an existing or proposed sewer district. Properties cannot have any outstanding or open real property tax liens.
The IRS has determined that these grants constitute a community benefit, and 1099 forms will not be issued to program participants. This means the $20,000 grant is not considered taxable income, providing even greater financial relief to participating homeowners.
Additional Financial Incentives Available
Beyond Nassau County’s primary program, homeowners can potentially access additional funding sources. New York State offers grants of $10,000 per household for upgrading from a conventional septic tank or cesspool to an Innovative and Alternative Onsite Wastewater Treatment Systems (I/A System). This State funding is coupled with an additional $10,000 grant funding offered by both Suffolk County and Nassau County to homeowners upgrading to an I/A System.
For homeowners needing additional financing, homeowners can apply to finance up to $10,000 of the remaining cost via a low interest septic replacement loan through CDCLI. These loans are payable over 15 years at a low 3% fixed interest rate.
The Application Process and Requirements
Eligible costs include design and installation costs, and costs of the system, system components, or enhanced treatment technologies. Grant funds must first be used to pay for installation costs and if funds remain after this, they can be used to reimburse the property owner for some or all design costs.
As part of the grant, a three-year maintenance agreement is required and is an out of pocket expense for the applicant. Typically, maintenance agreements cost about $300 per year. This ongoing maintenance ensures the systems continue to remove nitrogen effectively and protects the investment made through the grant program.
Professional Installation and Service Providers
When considering septic system upgrades under the S.E.P.T.I.C. program, choosing the right service provider is crucial for success. Companies like EZ Cesspool, which serves Nassau County with Septic Tank Services Nassau County, offer comprehensive solutions for homeowners navigating this process. With over 20 years of local expertise, EZ Cesspool provides trusted cesspool and septic tank solutions and knows the unique septic needs of Long Island homes.
EZ Cesspool provides reliable septic tank services to Nassau County homes and businesses, ensuring your system runs efficiently all year. From routine inspections to septic tank replacement, they’re the septic tank company Nassau County trusts for residential and commercial needs.
Environmental and Long-term Benefits
The Program has been awarded over $8 million to fund approximately 400 upgrades to nitrogen-reducing technologies, of which 186 have been installed as of July 30, 2025. This demonstrates the program’s growing success and community acceptance.
Reversing degradation of water quality will depend on replacement of existing systems with these new nitrogen reducing technologies. When properly designed, sited, installed, managed, and maintained, these new septic systems provide a cost-effective and environmentally sound alternative to sewers in areas that are outside designated sewer areas.
Taking Action in 2025
Nassau County homeowners interested in taking advantage of these substantial incentives should act promptly. For more information, contact [email protected] or (516) 364-5861 to determine eligibility and begin the application process. With grants covering up to 95% of upgrade costs and significant environmental benefits, 2025 presents an unprecedented opportunity for Nassau County residents to modernize their septic systems while protecting Long Island’s precious water resources.
The combination of federal, state, and county funding, along with the tax-free nature of these grants, makes septic system upgrades more accessible than ever before. By participating in the S.E.P.T.I.C. program, homeowners not only save thousands of dollars but also contribute to the long-term environmental health of Long Island’s groundwater and coastal waters.
