$540M Federal Investment to Revamp Central Valley Water Infrastructure

California’s Central Valley is set to receive its largest-ever federal water investment — $540 million directed at aging canals, conveyance systems, and reservoir expansion — with Fresno, Kings, Madera, and Tulare counties among the primary beneficiaries.

The funding, secured through the Working Families Tax Cuts Act, was announced by the U.S. Department of the Interior and Bureau of Reclamation. Rep. Vince Fong (CA-20) and Rep. David Valadao (CA-22) were central to the effort, spending nearly a year lobbying for its passage and release.

“Water is the lifeblood of the Central Valley, and today’s announcement marks a monumental investment in securing its future,” Fong said. “These are not just upgrades — they are transformative investments that will modernize how water moves across our state.”

The largest single allocation — $235 million — goes to the Delta-Mendota Canal Subsidence Correction Project, which serves farms, communities, and wildlife refuges across the San Joaquin, San Benito, and Santa Clara Valleys. Decades of groundwater pumping have caused significant land subsidence along parts of the canal, reducing water delivery capacity by as much as 60% in some stretches.

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View Original Publication: The Business Journal