The Water Cyber Shield Act of 2026 strengthens cybersecurity protections for public water systems and wastewater treatment facilities across the country by requiring them to conduct comprehensive risk assessments addressing cyber threats, develop emergency response plans, and adopt security countermeasures. The law establishes federal baseline cybersecurity standards and performance metrics that states must enforce through regular assessments, while the EPA provides technical assistance to water systems of varying sizes and capacities. The legislation authorizes $300 million annually from 2027 through 2032 to help water systems upgrade their cybersecurity defenses and fix identified vulnerabilities, with priority funding directed to systems facing the greatest capacity and resource challenges. Additionally, the law requires water utilities to report cyber incidents to federal authorities and mandates that the Department of Homeland Security share these reports with the EPA to improve threat awareness across the sector. Cybersecurity information submitted by water systems is protected from public disclosure to prevent security risks, though Congress retains access to the information.