Federal Legislation: Lodi and San Joaquin County
Federal Legislation With Direct Impact on Lodi and San Joaquin County
LodiEye Report | February 27, 2026
Summary
The 119th U.S. Congress (2025–2026) has a full slate of active legislation that could reshape water infrastructure, agriculture, wildfire management, and federal funding across the San Joaquin Valley. Several bills specifically target the canal systems, groundwater challenges, and farming operations that are central to the Lodi economy. This report provides a comprehensive look at the bills that matter most to our community.
Water Infrastructure: The Centerpiece for San Joaquin Valley
Water is the defining issue for the San Joaquin Valley, and multiple bills in Congress are competing to address a crisis decades in the making. Aging canals have lost significant capacity due to land subsidence caused by groundwater overdraft, and communities across the valley — including some of the poorest in the state — still lack reliable access to safe drinking water.
The MORE WATER Act (S. 3738)
The MORE WATER Act — formally the Making Our communities Resilient through Enhancing Water for Agriculture, Technology, the Environment, and Residences Act — is the most ambitious federal water bill introduced this session with direct San Joaquin Valley implications. It operates across four major areas: water recycling, canal restoration, environmental restoration, and safe drinking water for low-income communities.
Water Recycling Reauthorization
The bill reauthorizes and expands the Bureau of Reclamation's large-scale water recycling program, originally created by the Infrastructure Investment and Jobs Act:
- $450 million authorized for fiscal years 2028–2032 for large-scale recycling project grants.
- Federal grants can now cover up to 25% of project costs, with the per-project federal cap raised from $20 million to $50 million (indexed to inflation).
- The program's sunset is extended from 5 to 10 years, and projects already under construction are exempt from the expiration date.
- The review window for project applications is expanded from 30 to 60 days to give applicants more preparation time.
For the San Joaquin Valley, this means multiple water districts can pursue recycled water projects that reduce dependence on Delta diversions and groundwater pumping.
Water Conveyance Improvement Program
This is the bill's centerpiece for the San Joaquin Valley — a brand-new federal program within the Bureau of Reclamation:
- $500 million authorized for fiscal years 2028–2032 for canal restoration and new conveyance infrastructure.
- Specifically targets the Delta-Mendota Canal, California Aqueduct, and Friant-Kern Canal — all of which have suffered significant capacity loss due to subsidence.
- Two project pathways: Reclamation-led projects (federal design and construction) and non-federal projects (grants to local and state water authorities with federal concurrence).
- No total dollar cap on any individual project, though new conveyance facilities are capped at $5 billion each.
- All federal funds under this program are nonreimbursable — essentially permanent grants, not loans.
Cost-Sharing Structure
The cost-sharing is structured in tiers that reward projects with broader community benefits:
Standard conveyance projects: Federal share up to 30% of total project costs for water supply benefits.
Multi-benefit projects (those providing environmental or safe drinking water benefits alongside water supply): Federal share up to 30% for water supply plus an additional 20% for environmental or safe drinking water benefits, for a combined 50% federal share.
Large projects ($800M+): Required to be multi-benefit projects. At least 50% of smaller projects must also be multi-benefit.
Safe Drinking Water for Low-Income Communities
This provision targets disadvantaged communities across the San Joaquin Valley. The additional 20% federal share for multi-benefit projects can fund safe drinking water infrastructure for low-income communities either directly through capacity in the conveyance system, or indirectly through:
- Low-income ratepayer assistance programs
- Water banking and exchange agreements
- Contributions to federal or state safe drinking water programs
- Repairs to Bureau of Indian Affairs conveyance facilities
Stakeholder agreements are required — project proponents must partner with representatives of low-income communities or environmental organizations before receiving multi-benefit funding.
Environmental Restoration
The bill authorizes $250 million for fiscal years 2028–2032 for habitat restoration and species recovery tied to Bureau of Reclamation facilities:
- Sacramento River salmon recovery including gravel additions, fish passage improvements, barrier removal, and habitat restoration for Chinook salmon and steelhead trout.
- Floodplain reconnection projects that enhance biological productivity and food web support for fish.
- Real-time monitoring improvements for temperature modeling and flow management at Reclamation dams.
- Fish hatchery modernization and temperature control infrastructure.
Streamlined Permitting
The bill aims to accelerate project timelines by reauthorizing programmatic approvals for water recycling projects, eliminating the need for Congress to individually authorize each project — a process that can trim five or more years off development timelines. Feasibility studies can be submitted by project proponents and approved by the Secretary of Interior in a streamlined process, with a 60-day Congressional notification requirement rather than a separate authorization bill.
Deauthorization of Inactive Projects
To offset new spending, the bill creates a process to deauthorize stale Bureau of Reclamation projects that have not received funding in eight or more years. The Secretary must publish an interim deauthorization list within one year, followed by a final list. Projects are automatically deauthorized one year after the final list unless Congress acts, the non-federal sponsor provides completion funding, or the Secretary finds the project vitally important.
Local Endorsements
The MORE WATER Act has strong San Joaquin Valley support, with endorsements from the San Luis & Delta-Mendota Water Authority, the San Joaquin River Exchange Contractors Water Authority, the Sacramento River Settlement Contractors, the San Joaquin Valley Collaborative Action Program, and the Environmental Defense Fund.
MORE WATER Act: Authorized Funding by Program Area (FY 2028–2032)
In millions of dollars. Total authorized: $1.2 billion across three program areas.
The GROW SMART Act
Introduced alongside the MORE WATER Act, the GROW SMART Act authorizes $5 million per year for seven years for the Bureau of Reclamation to fund voluntary agricultural water-saving demonstration projects and farmer-municipal partnerships. The bill is designed to improve drought resilience for Central Valley farmers through innovative irrigation strategies, low water-use crops, and risk-reduction tools.
End the California Water Crisis Package (Three House Bills)
Rep. Adam Gray, whose district covers the San Joaquin Valley including areas near Lodi, introduced a three-bill package:
1. Central Valley Water Solution Act — Authorizes 21 water storage projects south of the Delta to increase regional water storage capacity.
2. WATER Act (Water Agency and Transparency Enhancement Review Act) — Codifies Executive Order 14181 provisions for interagency oversight and lowers permitting barriers for California water projects.
3. Build Now Act — Creates a one-year enforceable timeline for environmental reviews of Central Valley water storage projects, shifting the burden of permitting delays to the federal government.
Together, these bills represent the House counterpart to the Senate's MORE WATER Act, approaching the same crisis from the angle of new storage capacity and permitting reform rather than canal restoration and recycling.
Agriculture and Farm Policy
H.R. 1 — Budget Reconciliation ("One Big Beautiful Bill")
This massive omnibus package contains provisions that directly affect San Joaquin County's agricultural economy. It extends key farm safety-net programs through 2031, including Price Loss Coverage (PLC), Agricultural Risk Coverage (ARC), and Dairy Margin Coverage — all critical for the county's grape, cherry, walnut, and dairy operations.
The bill increases crop insurance premium subsidies and adds protections for beginning farmers. However, it also rescinds unobligated conservation funds from the Inflation Reduction Act — including funding for the Agricultural Conservation Easement Program (ACEP), the Environmental Quality Incentives Program (EQIP), the Conservation Stewardship Program (CSP), and the Regional Conservation Partnership Program (RCPP) — while reauthorizing those programs at modified levels of approximately $425–450 million per year for RCPP.
For Lodi's wine grape growers and the broader agricultural community in San Joaquin County, the extension of crop insurance and price support programs provides stability, but the conservation funding changes could reduce resources available for sustainable farming practices and water quality improvements.
Wildfire and Forest Management
Proven Forest Management Act (H.R. 188)
This bill expands forest management categorical exclusions nationwide, building on the 2016 WINN Act that streamlined forest management in the Tahoe Basin. The goal is to reduce wildfire risk by enabling faster federal approval of forest thinning and management projects. While not directly in the San Joaquin Valley, wildfire smoke from Sierra Nevada fires regularly blankets Lodi and the Central Valley, creating serious air quality and public health concerns.
Wildfire Suppression Act
This bill requires the Secretary of Agriculture to engage in wildfire suppression on Forest Service land within 24 hours of identifying a fire. Faster suppression response would help limit the duration and severity of smoke events that affect valley communities.
Offshore Drilling Protection
California lawmakers are pushing back against the Trump administration's proposed opening of previously protected federal waters to new oil and gas drilling off the California coast. While the drilling sites are not in the San Joaquin Valley, the environmental and economic consequences of expanded offshore drilling would affect the state's broader environmental policy and coastal economy.
Federal Funding and the DOGE Impact
Continuing Appropriations Act (H.R. 5371)
This legislation ended the government shutdown that began October 1, 2025, restoring federal funding flows to California cities and counties. For Lodi and San Joaquin County, this includes Community Development Block Grants, law enforcement assistance, and transportation funds.
DOGE-Driven Grant and Contract Cancellations
While not a single piece of legislation, the DOGE-driven cancellation of roughly 30,000 federal grants and contracts over the past year has had cascading effects on California communities. Nationally, DOGE has claimed $110 billion in savings, with $1.2 billion cut from local governments and $13.7 billion from state governments across the country. California is among the most impacted states, with over $1 billion in public health grants alone terminated — affecting services that flow to counties like San Joaquin.
The full scope of these cuts remains difficult to track. Experts have noted that the true impact may never be fully quantified because many cuts were made without public documentation, and ongoing litigation has restored some funding while other cancellations remain in effect.
DOGE Impact: Reported Savings and Cuts by Category
In billions of dollars. Source: Published DOGE reports and independent analyses.
Where Things Stand: A Quick Reference
Table summarizing all tracked bills, their local impact, lead sponsors, and current status.| Bill | Primary Local Impact | Lead Sponsor | Status |
|---|---|---|---|
| MORE WATER Act (S. 3738) | Canal repair, water recycling, drinking water for low-income communities | Sen. Padilla | Senate committee |
| GROW SMART Act | Agricultural drought resilience and farmer partnerships | Sen. Padilla | Senate committee |
| Central Valley Water Solution Act | 21 new water storage projects south of Delta | Rep. Gray (CA-13) | House committee |
| WATER Act | Permitting reform for water projects | Rep. Gray (CA-13) | House committee |
| Build Now Act | One-year environmental review timeline | Rep. Gray (CA-13) | House committee |
| H.R. 1 (Budget Reconciliation) | Farm program extensions, conservation funding changes | House GOP leadership | Senate consideration |
| Proven Forest Management Act | Wildfire risk reduction, air quality | Rep. McClintock (CA-05) | House committee |
| Wildfire Suppression Act | 24-hour fire response mandate | Rep. McClintock (CA-05) | House committee |
| Offshore Drilling Opposition | Protect California coast from new drilling | Carbajal, Padilla, Schiff | Early stages |
| DOGE Grant Cancellations | Loss of federal grants to local agencies | N/A | Ongoing / litigation |
What to Watch
The water bills are the ones to watch most closely for Lodi and San Joaquin County. The MORE WATER Act's canal restoration program directly addresses the subsidence-damaged infrastructure that delivers water to valley farms and cities, and its safe drinking water provisions target the exact communities in our region that have been underserved for decades. On the House side, Rep. Gray's three-bill package takes a complementary approach by pushing for new storage capacity and faster permitting.
Meanwhile, the fate of H.R. 1 in the Senate will determine whether San Joaquin County farmers continue to have the crop insurance and price support programs they rely on — and whether conservation funding survives the budget reconciliation process.
LodiEye will continue tracking these bills as they move through committee and floor votes. For updates, visit lodi411.com.
References & Sources
- Congress.gov — Full bill text and status tracking
- Office of Sen. Alex Padilla — MORE WATER Act and GROW SMART Act press releases
- Office of Rep. Adam Gray (CA-13) — End the California Water Crisis package
- Office of Rep. Tom McClintock (CA-05) — Proven Forest Management Act and Wildfire Suppression Act
- Office of Rep. Salud Carbajal (CA-24) — Offshore drilling opposition legislation
- U.S. Senate
- U.S. House of Representatives
This report was compiled by LodiEye for Lodi411.com.