For Immediate Release:
May 14, 2025
Contact:
Alexandra Nagy, alexandra@sunstonestrategies.org
Stockton, CA – Governor Gavin Newsom’s latest budget proposal, announced as part of his May Revise, includes an alarming effort to bypass longstanding legal, environmental, and public participation processes in order to fast-track the controversial Delta Conveyance Project — a massive underground water tunnel that would divert water from the Bay-Delta to industrial agriculture and wealthy water agencies in Southern California.
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 “And how does forcing this extremely costly and outdated project onto Californians make the state more affordable — especially when local water solutions are proven to cost less and deliver more?”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.”
###