Secure California’s water future

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OPINION – The Golden State’s weather whiplash, seen year after year, intensified by climate change, is straining the state’s entire water supply. California has experienced water dependability upswings and downswings, historic lows during periods of drought in 2015, and some of the wettest years on record in 2023. These unpredictable and highly variable fluctuations strain water supplies and threaten sustainability not just for water reliability but for the dependability of varied industries that call California home.

California is home to a diverse range of industries from entertainment to aerospace and engineering, and is the epicenter of emerging tech, AI advancements, and clean energy – not to mention a major agricultural producer of fruits, vegetables, wines, and nuts. However, with diverse industries comes the need for infrastructure, which requires long-term water supply reliability. Water is not merely just a resource – it is an absolute prerequisite to support the state’s growth, competitiveness and economic viability. Solving the state’s water challenges is not only a must for rural and agricultural regions in California, but it is also necessary for highly competitive arenas like AI advancements and leading tech efforts.

State Senator Anna Caballero, with the support of water districts from all regions of the state, stakeholders, and city and county representatives, is proposing a plan to ensure a long-term, reliable, sustainable water supply for generations of Californians to come.

She has introduced legislation, Senate Bill 72, which would allow California to take a critical step toward modernizing existing water supply strategies and to plan for a more secure and reliable water supply future. The bill would establish the first-ever statewide water supply target to develop 9 million acre-feet annually of additional water supply by 2040 to benefit all Californians, including residents, businesses, industries, and the environment. Combined with efforts to increase water storage through projects like the Sites Reservoir, expand desalination, conservation, and recycling, and improve conveyance systems throughout the State, SB 72 can be a game changer for boosting supply.

SB 72 transforms the existing California Water Plan into an actionable guide to meet these targets and supports recent efforts to achieve targets for housing, energy, transportation, and education. It underscores the urgent need to set clear targets for managing California’s most vital resource – water.

The Legislation seeks to complement and amplify Governor Newsom’s Water Supply Strategy, ensuring water supply improvements extend beyond any single administration It also aims to foster greater collaboration among federal, state, and local stakeholders to safeguard California’s water supply.

Recent UC research underscores the urgency. The report, “Inaction’s Economic Cost for California’s Water Supply Challenges,” projects that California’s total water supply is on track to shrink by 12–25% by 2050. Depending on how severe the scenario becomes, this reduction could result in annual economic losses ranging from $3.4 to $14.5 billion per year, affecting households, businesses, and regions across the state.

If we fail to act, every corner of our state, especially its vital and growing industries, will feel the consequences. Without bold investment in water infrastructure and smarter long-term management, California can’t guarantee a stable or reliable water supply, which puts the future of housing, job creation, and tech leadership at serious risk.

California faces a critical choice: confront a devastating water outlook head-on or continue to delay while the cost of inaction rises rapidly. Without a reliable long-term water strategy and a coordinated statewide plan, there is simply no room for sustained growth across our cities, counties, regions, and vital industries.

SB 72 is a needed solution, offering a clear and necessary path forward. As a long-term statewide strategy, it gives California a framework to secure targeted water supply goals.

Jim Wunderman is the President and CEO of the Bay Area Council, a public policy and advocacy organization formed in 1945 that works to shape the future of the Bay Area and keep it as the most innovative, globally competitive, and sustainable region in the world. 

Dan Dunmoyer is the President & CEO of the California Building Industry Association, a statewide trade association representing thousands of homebuilders, trade contractors, architects, engineers, designers, suppliers, and other professionals.