PRESS RELEASE FROM THE OFFICE OF THE GOVERNOR:
Governor Newsom today announced, as part of his May Revise, a significant proposal to streamline one of California’s most important water management and climate adaptation projects, the Delta Conveyance Project, advancing much-needed and long-overdue improvements to the State Water Project.
“For too long, attempts to modernize our critical water infrastructure have stalled in endless red tape, burdened with unnecessary delay. We’re done with barriers — our state needs to complete this project as soon as possible, so that we can better store and manage water to prepare for a hotter, drier future. Let’s get this built.”
A project Californians depend on
No piece of infrastructure is more fundamental to California’s water supply and economic success than the State Water Project. It captures, moves, and stores water used by 27 million people and 750,000 acres of farmland. If the service area of the State Water Project were its own country, its economy would rank eighth largest in the world, generating $2.3 trillion in goods and services annually.
In other words, California depends upon State Water Project deliveries. Abandoning or neglecting investments in this vital water system would put extraordinary financial pressure on ratepayers, including nearly 8 million people living in disadvantaged communities, to replace this water with more expensive, less reliable options.
Preparing California’s water infrastructure
Over the last few decades, the California climate has warmed, with the effects felt strongly in water resources. The state has already experienced a marked increase in the variability of precipitation, with wild swings from drought to flood.
Most major water systems — including the State Water Project — were built for a more predictable bygone pattern of precipitation and are not equipped for the stronger storms, deeper droughts, and abrupt swings driven by climate change. The system simply cannot capture the type of big flows now becoming more common, and that must change.
Without action, the ability of the State Water Project to reliably deliver water to homes, farms and businesses will decline.
Protecting California’s water supply
California is expected to lose 10% of its water supply due to hotter and drier conditions, threatening the water supply for millions of Californians — and the reliability of the State Water Project could be reduced as much as 23 percent. Extreme weather whiplash will result in more intense swings between droughts and floods – California’s 60-year-old water infrastructure is not built for these climate impacts.
The Delta Conveyance Project will help offset and recover these future climate-driven water losses, and yet, it has been plagued by delays and red tape.
The Delta Conveyance Project would expand the state’s ability to improve water supply reliability, while also maintaining fishery and water quality protections. During atmospheric rivers last year, the Delta Conveyance Project could have captured enough water for 9.8 million people’s yearly usage.
Removing unnecessary red tape
Governor Newsom first announced his commitment to the project during his first State of the State, modernizing the previous administration’s plans to address seismic and reliability issues and ensure that this critical piece of infrastructure could be built quickly and without delay. The Governor has advanced efforts to move the DCP forward, including certifying a final environmental impact report in December 2023 and securing financial support from water agencies throughout the state serving a majority of Californians. And while the project has received some necessary permits, its path forward is burdened by complicated regulatory frameworks and bureaucratic delays. Today, the Governor is proposing to streamline and strengthen the project’s path forward, to protect the state’s water supply for future generations.
The importance of protecting the reliability of the State Water Project is too great to allow the Delta Conveyance Project to be mired by unnecessary and extensive delays.
The Governor’s proposal would streamline the project by:
- Simplifying permitting. The proposal would simplify permitting for the project by eliminating certain deadlines from existing State Water Project water rights permits — recognizing that the State Water Project should continue serving Californians’ water needs indefinitely. The proposal would also strengthen enforcement of the Water Board’s existing rules for permit protests.
- Confirming funding authority. The proposal confirms that the Department of Water Resources has the authority to issue bonds for the cost of the DCP, to be repaid by participating public water agencies.
- Preventing unnecessary litigation delays. The proposal narrows and streamlines judicial review of future challenges to the Delta Conveyance Project, building on models that have served other large public works projects.
- Supporting construction. The proposal streamlines the authority to acquire land, supporting ultimate construction of the Delta Conveyance Project.
Building water infrastructure is a key part of the Governor’s build more, faster agenda delivering infrastructure upgrades and thousands of jobs across the state.
REACTIONS …
Californians for Water Security
Californians for Water Security (CWS) applauds Governor Newsom for the introduction of a trailer bill announced today to streamline approval processes and remove unnecessary delays to keep the Delta Conveyance Project (DCP) moving forward to secure California’s water future. These proposals will help address the administrative processes that add costs and delays to the project while also balancing the environmental protections to help protect the Delta’s habitats and communities. The Governor’s proposal is expected to expedite the project while also delivering millions of dollars in savings by eliminating costly delays.
“Modernizing California’s water supply is not only vital to our economy but also long overdue,” said Jennifer Barrera, President & CEO, California Chamber of Commerce “We appreciate the Governor’s proposal to both remove barriers to innovation while protecting the environment and meeting both regulatory and operational requirements.”
“This legislation is exactly the kind of forward-thinking leadership California needs to secure its water future,” said Jon Switalski, Executive Director of Rebuild SoCal Partnership. “For too long, critical infrastructure projects like the Delta Conveyance Project have been stalled by red tape and frivolous delay tactics. This bill takes decisive, measured steps to modernize the water infrastructure millions of Californians rely on every day.”
With California facing increasingly severe climate swings, from record-breaking droughts to devastating floods, the state’s water infrastructure must be updated to match the urgency of the moment. Governor Newsom’s trailer bill recognizes this reality and offers a balanced path forward: preserving environmental protections while cutting down on duplicative processes that have delayed action for years.
The Delta Conveyance Project will ensure the State Water Project can continue operating as California’s backbone water infrastructure network, providing a reliable supply of affordable, high-quality water for homes, farms, and businesses, and is the most efficient and cost-effective way to protect California’s most critical water supply.
“As climate change casts a shadow of uncertainty, this question of affordability balanced with reliability looms squarely over the shoulders of disadvantaged communities who suffer a historic and disproportionate share of economic, health, and environmental burdens,” said Rick Callender, President, California Hawaii State Conference NAACP. “By moving the Delta Conveyance Project forward, California is making a commitment to protecting the State Water Project and the communities that rely on this system for their water. We applaud the Governor for moving this project forward.”
“The science is clear: the ability of the State Water Project to reliably deliver water is declining, while demand continues to rise,” said Charley Wilson, Executive Director, Southern California Water Coalition. “Southern California stands to lose up to 10% of our water supply from the State Water Project if we don’t act now. The Delta Conveyance Project is our best path to offsetting those losses.”
“California has established itself as a worldwide leader due in large part to its investments in massive infrastructure projects,” said Joe Cruz, Executive Director of the California State Council of Laborers. “Today’s announcement by Governor Newsom is a commitment to the working people of California – that we will make it easier to build projects that maintain California’s place as a global leader while also creating thousands of well-paying union jobs.”
At a time when California’s most vital resources are under increasing threat from climate change, we need smart, science-driven governance that cuts through unnecessary delays and delivers results. No piece of infrastructure is more fundamental to California’s future than the State Water Project, and this bill represents a critical step in protecting it.
“We won’t let California’s future be held hostage by delay and dysfunction,” Jim Wunderman, President & CEO, Bay Area Council said. “We are innovators, builders, and problem-solvers. We know it’s possible to protect our valuable resources while removing barriers to progress. This legislation reflects our values and our urgency. We must act today to protect the water supply of tomorrow.”
“Los Angeles County BizFed has been a long-time champion of efforts to streamline permitting and approvals for major infrastructure projects,” said Tracy Hernandez, Founding CEO of Los Angeles County Business Federation (BizFed). “By limiting the amount and scope of frivolous lawsuits project opponents can file to slow down progress on the project, the Governor’s proposal will go a long way towards reducing the barriers to building crucial infrastructure projects like the DCP that our region’s homes and businesses rely upon.”
“Orange County has established itself as a leader in water innovation by pioneering groundwater management and recycling efforts to maximize the utilization of our local sources of water. But those achievements will not alone succeed in meeting the needs and security of our region,” said Jeffrey Ball, President & CEO of Orange County Business Council. “The State Water Project provides a vital supply of water that supplements these local sources. Today’s announcement to help speed up the construction of the Delta Conveyance Project is a massive benefit to helping guarantee water security in our region.”
The most recent Delta Conveyance Project benefit-cost analysis shows the very real cost of doing nothing. Failing to move forward on the DCP poses significant challenges to future water supply reliability, including:
- More frequent and larger water shortages
- More mandatory restrictions
- Higher water rates due to more expensive alternative supplies
- More land fallowing
- Higher food prices
- Loss of jobs
It’s time for us to protect our most important resources and deliver on the Delta Conveyance Project to secure California’s water future for generations to come.
Delta Counties Coalition
Supervisor Patrick Hume, Chair of the Delta Counties Coalition (DCC), which represents Contra Costa, Sacramento, San Joaquin, Solano and Yolo Counties, gave this statement:
“On behalf of the DCC and the 4 million Californians who reside in the Delta, we are strongly against Governor Newsom’s proposal: fast-tracking the Delta Conveyance Tunnel project through a trailer on his 2025 budget. This deeply flawed and fiscally irresponsible initiative risks becoming one of the most expensive and ecologically destructive infrastructure boondoggles in California history.
The project’s estimated $20 billion price tag has remained unchanged for three years, defying all logic, current tariff unpredictability, and historic precedent for large-scale state infrastructure efforts. California has an extensive track record of projects running significantly over budget, and even a modest estimate suggests the true cost of this tunnel could soar to $80 billion or more. Yet, the Governor is asking Californians to sign a blank check—without cost caps or meaningful oversight, to benefit his corporate agri-business benefactors and a geographically limited constituency.
At a time when our state is reeling from the compounding crises of wildfire recovery, water insecurity, political instability, and a cost-of-living emergency, this project would shift the financial burden squarely onto ratepayers and water users—primarily in Southern California. These are families already struggling to make ends meet. They should not be expected to foot the bill for a project that fails to solve our water challenges and existentially threatens the largest freshwater estuary in the Western United States.
Even more alarming are the legislative and procedural shortcuts being proposed to advance the tunnel. Prior to this latest stunt, the proposed project faces significant deficiencies in an environmental review that only contemplated construction impacts, not operational impacts. By circumventing established environmental and legal safeguards, interfering with existing administrative processes, and reversing judicial determinations, the Administration’s proposal would undermine transparency, accountability, and the rights of taxpayers and ratepayers across the state. The Administration knows that, subject to the proper review and scrutiny, this ill-fated project would die of its own weight, just like the previous iteration did.
The State’s tunnel project would seize thousands of acres of private land from working farms and landowners in the Delta, destroy vital ecosystems, and upend rural and disadvantaged communities that have stewarded this region for generations. Fast-tracking this project, rather than addressing its multiple legal, environmental, and financial shortcomings, is reckless and undemocratic.
California would be better off maintaining and improving levees to protect the freshwater pathway to the existing diversions in the south Delta, properly upgrading existing water conveyance infrastructure, developing sensible above and below ground water storage, and building additional water projects with widespread support to conserve and reuse water throughout the state. These types of projects could be delivered sooner, more affordably and with less devastation to an important ecological, recreational and agricultural resource.
We urge the Legislature to soundly reject this proposal. Californians deserve real water solutions that are equitable, sustainable, and economically sound, and not a risky and unaffordable project driven by special interests and outdated thinking.”
Food & Water Watch
California Director Nicole Ghio released the following statement: “Our Governor is absolutely correct that climate change has had a significant impact on our state’s water supplies, posing a major risk for millions of Californians that need and deserve clean, safe drinking water. However – as we have been saying for years – the Delta Tunnel is not the answer. Rather than recklessly fast-tracking this unnecessary, harmful, and expensive project that will mainly benefit corporate agribusinesses and other powerful interests, Governor Newsom must hold major polluters accountable and immediately rein in the water abuse by the big agribusiness and fossil fuel corporations that guzzle up billions of gallons of California’s water.”
Senator Jerry McNerney
“Governor Newsom’s proposal to fast-track the costly and destructive Delta Tunnel Project in the state budget is a poorly conceived plan that the Legislature should reject. The Delta water tunnel is expected to cost at least $20 billion — and likely much more — and will destroy nearly 4,000 acres of prime farmland in the fragile Delta, along with salmon fisheries and tribal resources. Plus, the tunnel’s costs would have to be shouldered by ratepayers who are already overburdened by skyrocketing utility bills.”
“In short, California should develop a sustainable water system instead of the expensive and damaging tunnel that will not add a drop of new water to the system. The Legislature and governor should pursue alternatives that would cost far less and would safeguard California’s main water supply system without inflicting major harm to it, such as fortifying Delta levees and increasing water recycling and groundwater storage.”
Metropolitan Water District
Metropolitan Water District General Manager Deven Upadhyay issued the following statement: “Gov. Newsom took a bold step today toward protecting one of our state’s most important water supplies. Millions of Californians depend on water from the State Water Project, but its reliability is increasingly threatened by climate change and other challenges. The Delta Conveyance Project could offer a solution. Last December, our board approved funding the final elements of DCP planning. The legislation proposed today will support completion of this planning, reduce costs as well as regulatory and legal uncertainties, and allow Metropolitan’s board to make an informed decision about a long-term investment in the DCP without delay.
“In the coming years, our board will make several major decisions on how best to invest resources to ensure Southern California continues to have reliable and affordable water in the century ahead. Delays and uncertainties regarding the DCP are unhelpful in determining the best path forward for our region and the state. The sooner we can finalize the DCP planning phase, the better informed our board will be as it considers all of these investments.”
Restore the Delta
Barbara Barrigan-Parrilla, Executive Director with Restore the Delta issued a swift response, “The Delta Conveyance Project is legally a ‘beneficiary pays’ project — meaning the water users who benefit must cover the costs. Yet today, the Governor wants to bypass the legal and public processes because the project doesn’t pass the economic or environmental standards Californians expect.
$20.1 billion before Trump-era tariff inflation, construction overruns, and interest means this tunnel could cost up to $60 billion — for a system that would sit dry frequently due to climate-driven water scarcity. There is a better way, and the real water leaders in California know that.”
By “cutting red tape,” Newsom’s plan would:
- Eliminate permit deadlines designed to protect water rights and ensure fair process;
- Drastically reduce judicial review, making it harder for communities and Tribes to challenge harmful impacts;
- Expand eminent domain authority to seize land for tunnel construction;
- Cement funding mechanisms without transparent oversight or accountability to taxpayers.
This proposal strips Californians — especially those in the Delta region — of their right to be heard on one of the largest, most environmentally risky infrastructure projects in state history. It’s a power grab disguised as climate adaptation.
California’s climate challenges are real — but a tunnel is the wrong response. Investing in local, distributed water solutions like stormwater capture, wastewater recycling, groundwater recharge, and water efficiency would deliver more reliable results at a lower cost and with greater local job creation.
“How can the state afford a $60 billion tunnel when we’re already losing $16 billion due to new federal tariffs?” asked Barrigan-Parrilla.“And how does forcing this extremely costly and outdated project onto Californians make the state more affordable — especially when local water solutions are proven to cost less and deliver more?”
Newsom’s proposal directly contradicts the Legislature’s stated goal of making California more affordable. It would force higher water rates on millions of Californians — especially low-income residents in Southern California — to pay for a project that benefits the few at the expense of the many.
“This is not climate leadership. It’s a top-down push for an unaffordable, unnecessary tunnel that fails to solve the state’s real water challenges,” said Barrigan-Parrilla. “We call on the Legislature to reject this budget proposal and protect public process, affordability, and real solutions that work for all Californians — not just the biggest water agencies.”
San Bernardino Valley Municipal Water District
Regionally, the State Water Project provides 26% of the water supplied by water retailers within San Bernardino Valley’s 353 square mile service area.
“We commend Governor Newsom for taking action today by supporting key water infrastructure that will increase water supply reliability. Plain and simple, we need the Delta Conveyance Project,” said Heather Dyer, CEO/ General Manager of San Bernardino Valley. “We are benefitting from the visionary infrastructure investments of the past, and now is the time to take the next step forward. Failure is not an option.”
The Delta Conveyance Project is needed to stay ahead of the changing hydrologic conditions and water instability. It will protect against future water supply losses caused by climate change, sea level rise, and earthquakes.
“The State Water Project represents a forward-thinking investment in water supply reliability that maintains ample, safe water supplies for our children, grandchildren and beyond,” said Board President T. Milford Harrison.
Costs increase over time, and the Governor’s call for streamlining this project will increase the project’s cost effectiveness and timeliness of benefits to our region. As a public agency serving primarily disadvantaged communities, San Bernardino Valley takes great care to be mindful of how taxpayer dollars collected for the State Water Project are used. The DCP has been in the planning and preparation stage for decades, and Governor Newsom’s May Revise sets the stage for the next step in our water supply reliability and resiliency.
For more information about San Bernardino Valley and the Delta Conveyance Project, please visit www.sbvmwd.com.
Save California Salmon
“Governor Newsom’s efforts to force approvals for the Delta Conveyance Project ignores long standing objections from Tribes, Delta communities, and commercial fishing families,” said Regina Chichizola, executive director of Save California Salmon. “Moving this unpopular project forward has been subject to laws and public review for a reason. Californians oppose this project because it will cause irreversible harm to water quality, salmon, communities, and the fragile Delta ecosystem while providing marginal, and unreliable, benefits to the rest of the state. When the governor was elected, he promised to protect California’s environment. Now he calls for the stripping of critical public protections and selling our water to the highest bidder. It is getting harder and harder to see the difference between Newsom and Trump.”
“Making an end-run around essential processes won’t make destroying the Delta a better idea,” continued Chichizola. “This proposal continues to perpetuate a water rights system that lines the pockets of large agricultural producers while working people are left high and dry. Regular Californians deserve to have a say, and environmental protections, when it comes to our most important resource, clean water.”
Southern California Water Coalition
From Executive Director Charley Wilson: “Today marks a pivotal moment in California’s water management history,” Wilson stated. “Governor Newsom has put forward legislation that will not only modernize the State Water Project but also provide a clear path for decision-making regarding the Delta Conveyance Project. This initiative is vital for the 85% of Southern Californians who recognize the need for a secure water future.”
For years, discussions surrounding water infrastructure have often fallen short of tangible results. Wilson emphasized the importance of this legislative action, saying, “We have talked about water resiliency and reliability for far too long without making substantial progress. Governor Newsom’s proposal is a game changer that will allow us to transition from discussion to action, ensuring a reliable water supply for future generations.”
SCWC urges all Californians to engage with their state legislators to support this initiative. “Now is the time for all stakeholders to come together and advocate for the Delta Conveyance Project,” Wilson added. “We need to ensure our voices are heard in the legislature and that we move forward with this critical project.”
Established in 1984, the Southern California Water Coalition is a nonprofit, nonpartisan, public education partnership dedicated to informing Southern Californians about our water needs and our state’s water resources. Spanning Los Angeles, Orange, San Diego, San Bernardino, Imperial, Riverside, Ventura and Kern counties, the SCWC’s members include representatives from business, government, agriculture, water agencies, labor and the general public.
State Water Contractors
“The Delta Conveyance Project review and approval process has been hampered by red tape and frivolous delay tactics for decades — costing Californians millions of dollars without addressing our very real challenges with water supply reliability,” said Jennifer Pierre, General Manager, State Water Contractors. “The State Water Project is California’s largest water infrastructure and is in dire need of modernization to secure water supplies for generations to come. Governor Newsom’s proposal marks a critical step in reducing barriers to innovation while creating efficiencies that will save time and billions of dollars as construction of the DCP moves forward.”
Today’s action by Governor Newsom alone will save State Water Project contractors more than $365 million for every year of delay avoided. The Delta Conveyance Project has been refined and redesigned to address environmental concerns and community feedback. Today’s project is a fraction of the original size and rerouted to avoid communities in the central Delta. We can no longer afford the distraction of endless litigation and burdensome administrative processes that are doing nothing to protect our state’s primary source of affordable water.
California is already experiencing the impacts of climate change, fluctuating between years of prolonged drought and years of heavy precipitation, making it difficult for water managers to plan for the future. Over the next 20 years, California could lose 10% of its overall water supplies and the reliability of the State Water Project could be reduced by as much as 23%. Prioritizing the efficient approval and expeditious construction of water infrastructure projects like the DCP will allow California to capture and store more water during wet years so that the state is prepared when the weather inevitably turns dry again.
Assemblymember Lori Wilson
“Today’s announcement from Governor Newsom serves as a call to action for our region. The Delta Conveyance Project will devastate the Delta ecosystem and create a massive financial burden for ratepayers. It is deeply troubling that on the same day, the May Revise includes painful cuts to vulnerable communities, we are seeing a renewed push for an unnecessary and damaging project that will cost taxpayers billions more.
Even more concerning is that this project is being advanced to benefit agricultural interests in other regions, interests that are helping fund the very effort to divert water away from the Delta. This approach threatens the livelihood of our local communities and undermines the sustainability of our regional economy. Shifting water from one farming region to support another does not solve our water crisis, it exacerbates it.
California should be focused on long-term, equitable solutions like increased water storage and infrastructure that serve the needs of the entire state, not just a few. As the Co-Chair of the Delta Caucus, I vow to stand with my colleagues and the Delta community as we vehemently oppose this poorly crafted legislation and a last-ditch effort by the Governor to push the project through before his term ends.”
