STATE WATER CONTRACTORS respond to Budget Agreement

Delta Conveyance Project streamlining efforts will continue as part of the legislative process

Press release from the State Water Contractors

Yesterday, Governor Newsom and state lawmakers reached a three-party budget agreement for the fiscal year 2025-2026, with more follow-up budget items expected over the summer. Although yesterday’s budget package did not include the Governor’s Delta Conveyance Project (DCP) streamlining proposal, support for this proposal has never been greater, and we are confident that this essential affordability bill will be adopted in 2025.

The DCP is critical to protecting SWP reliability, California’s primary water distribution system.  The SWP provides an affordable source of high-quality, clean water for 27 million Californians and 750,000 acres of agricultural land. The DCP has already been legislated through the 2009 Delta Reform Act and has undergone rigorous, transparent environmental review under the California Environmental Quality Act.

Statement from Jennifer Pierre, General Manager of the State Water Contractors:

“The Governor’s proposal to maintain affordable water supplies for Californians by expediting administrative processes for the Delta Conveyance Project is still active and currently moving through the legislative process. Several housing bills were included in yesterday’s package, and there can be no housing without reliable water supplies. The Delta Conveyance Project is absolutely necessary to support the State’s housing, clean energy and climate resiliency goals.

We look forward to working with the Governor and Legislature throughout the summer to finalize this proposal, which is widely supported by a bipartisan group of community leaders and elected officials from across the state, including substantial and growing support among Members of the Legislature.

While the proposal was not included in today’s budget package, nothing has changed about California’s urgent need to make overdue upgrades to its essential water infrastructure. The move to negotiate details over the summer was expected, and this important conversation about securing California’s water future does not end here. The Governor remains committed to the Delta Conveyance Project, and we remain optimistic that this critical proposal to reduce costs and increase water security for Californians will be passed.”