Delta Tunnel opponents slam Governor Newsom's revised budget plan to fast-track project

Sacramento — Governor Gavin Newsom today announced, as part of his May Budget Revise, a controversial proposal to fast-track and “streamline” the Delta Conveyance Project, AKA Delta Tunnel.

Newsom claimed the project would advance “much-needed and long-overdue improvements to the State Water Project,” while a coalition of Tribes, fishing groups, environmental justice organizations, Delta water districts and Delta counties and cities say the project would do irreparable harm to the San Francisco-Bay Delta ecosystem and Delta  communities.

Echoing the Trump Administration’s plans to export more Delta water to agribusiness billionaires and Southern California water brokers, Newsom stated, “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 stores and manage water to prepare for a hotter, drier future. Let’s get this built,” said Newsom. 

The Governor’s Office also claimed that “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.”

Specifically, Newsom’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.”  

Restore the Delta: “An alarming effort to bypass longstanding processes”

But Delta Tunnel opponents quickly condemned what they described as “an alarming effort to bypass longstanding legal, environmental, and public participation processes in order to fast-track the controversial Delta Conveyance Project” — a massive 45-mile long underground water tunnel that would divert water from the Bay-Delta to industrial agriculture and wealthy water agencies in Southern California. 

“The Delta Conveyance Project is legally a ‘beneficiary pays’ project — meaning the water users who benefit must cover the costs,” said Barbara Barrigan-Parrilla, Executive Director of Restore the Delta. “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,” she stated. 

In quick response to Newsom’s plan, Restore the Delta pointed out that by “cutting red tape,” Newsom’s plan would actually:

• 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,” said Barrigan-Parrilla. 

“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,” she continued. 

“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?”

She said 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. 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,” Barrigan-Parrilla concluded.

Golden State Salmon Association: “A nail in the coffin” of salmon runs

Scott Artis, Executive Director of the Golden State Salmon Association, also weighed on the Governor’s proposal to “streamline” the Delta Tunnel permitting process.

“The Governor’s proposal is a Trump-style attack on the salmon fishing industry and the state’s biggest rivers. Commercial salmon fishing has been shut down for three straight years because of crashing salmon runs,” he observed. “Now the Governor is proposing to slash protections to build the biggest salmon-killing project in the state.”

“Climate change is making our state hotter and drier. Spending $20 billion on the Delta tunnel for climate resilience is like building more horse drawn buggies to make transportation more climate friendly. Smart water agencies know that there’s a far better source of abundant climate-smart water supply — water recycling, water use efficiency, stormwater capture, groundwater storage, and more,” he stated.

“All of Central Valley agriculture decided years ago that this project was not worth the astronomical cost. The Governor and Big Ag are hoping they can sucker Southern California and Silicon Valley ratepayers into paying for this boondoggle,” Artis added.

“At the end of the day, this proposal is a nail in the coffin of California’s once mighty salmon runs, a stake in the heart of the Delta, and a raid on the pocketbooks of the people of Southern California and Silicon Valley,” Artis concluded. 

Save California Salmon: “Don’t destroy the Bay-Delta”

“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,” she stated.

“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.” 

Senator Jerry McNerney: “A poorly conceived plan”

California Legislative Delta Caucus Co-Chair Senator Jerry McNerney, D-Pleasanton, also released the following statement slamming Governor Gavin Newsom’s plan to fast-track the Delta Tunnel Project in the state budget:

“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.” 

Assemblymember Rhodesia Ranson: “Proposal overrides legal protections and statutes”

Likewise, Assemblymember Rhodesia Ransom (D-Tracy) also sounded the alarm on Governor Gavin Newsom’s budget proposal, which she said attempts to fast-track the controversial Delta Tunnel project by altering legal statutes and bypassing public oversight.

“I’m disappointed to see this proposal to override legal protections and statutes to violate both water and property rights,” said Assemblymember Rhodesia Ransom.

“Let’s be real- this is a $20 billion water grab that shifts wealth from the San Joaquin Delta to wealthy Southern California interests. This would steal our water and harm the Central Valley’s Delta.”

As part of her response, Assemblymember Rhodesia Ransom announced that she has partnered with Restore the Delta to officially launch an audit of the Department of Water Resources (DWR), the agency spearheading the tunnel project.

Food & Water Watch: “Unnecessary, harmful and expensive project”

Food & Water Watch California Director Nicole Ghio released the following statement regarding the Governor’s proposal:

“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.” 

C-WIN: “Tunnel will increase water deliveries from the Delta by 22%.”

Other tunnel opponents note that while the Governor claims that the purpose of the project is to “improve water supply reliability, while also maintaining fishery and water quality protections,” the real purpose of the project is to increase water exports to mega-growers like Stewart and Lynda Resnick and an array of water agencies.  

The testimony of DWR engineer Amardeep Singh reveals that the Delta Conveyance Project (DCP) will increase water deliveries from the Delta by 22%, according to an analysis by the California Water Impact Network (C-WIN).

“DCP operation will not decrease water supply for Central Valley Project (CVP) contractors and will increase water supply for SWP Table A contractors by 22 percent,” Singh states on page 2 of his testimony.

Then on page 20 of his testimony, Singh again clearly states, “Finally, DCP operation will not decrease water supply for CVP contractors and will increase water supply for SWP Table A contractors by 22 percent.”

Moreover, during drought periods when fish are already strained by low flows and high temperatures, the DCP would increase deliveries by 24%: static1.squarespace.com/... 

“This project is a blatant attempt to maximize exports from the Delta for the benefit of large development and agricultural interests in Southern California and Kern County,” said Max Gomberg, a California Water Impact Network board member and Senior Policy Advisor. “Delta communities, tribes, local farmers and our iconic salmon are already suffering from inadequate freshwater flows. Jacking up exports by 22% would be the estuary’s death knell.” 

Background: Follow The Big Ag Money

Newsom’s push for the Delta Tunnel may have something to do with the fact that Beverly Hills Billionaires Linda and Stewart Resnick, owners of the Wonderful Company and the largest orchard fruit growers in the world, are among the largest contributors to Governor Newsom and hosted his 2022 anti-recall campaign in a fundraising letter.

The Resnicks have donated a total of $431,600 to Governor Gavin Newsom since 2018, including $250,000 to Stop The Republican Recall Of Governor Newsom and $64,800 to Newsom For California Governor 2022.

Newsom received a total of $755,198 in donations from agribusiness in the 2018 election cycle, based on the data from www.followthemoney.org. That figure includes a combined $116,800 from Stewart and Lynda Resnick and $58,400 from E.J. Gallo, combined with $579,998 in the agriculture donations category.

But the Resnicks are also huge contributors to the University of California system and other universities in the state. In 2019 they made a donation of $750 million to Caltech and in 2022 made a $50 million donation to UC Davis, in addition to contributing millions to UCLA, CSU Fresno and other universities over the years.  

The Resnicks have pushed for increased water exports from the Delta for agribusiness and the construction of the Delta Tunnel for many years.

The Resnicks have donated many millions of dollars to both the Democratic and Republican parties and to candidates for both parties over the years. They were instrumental in the creation of the Monterey Amendment, a 1994 pact between Department of Water Resources and State Water Project contractors, that allowed them to obtain their 57 percent stake in the Kern Water Bank: https://www.watereducation.org/aquapedia/monterey-amendment