California Gov. Gavin Newsom (D) signed Senate Bill (SB) 72 into law, enacting one of the most comprehensive water planning frameworks in the state. Authored by Sen. Anna Caballero (D-Merced), the bill passed unanimously through both chambers of the legislature and sets clear statewide water supply targets to guide development through the mid-century.
“I am pleased that Governor Newsom understood the importance of SB 72 and chose to agree with the unanimous legislative support in his signing of the bill,” Caballero said. “California residents, businesses, and the environment statewide will reap the benefits of SB 72 as we finally have a modernized strategy signed into law that will further protect California’s future generations and ensure a reliable and long-term water supply for all.”
The California Water Plan, updated every five years, serves as the state’s strategic guide for sustainably managing water resources. However, according to Caballero, the plan has not kept pace with the state’s challenges, including droughts, extreme weather and growing demand. Caballero said SB 72 responds to this urgency by establishing long-term water supply targets and mandating a comprehensive approach that addresses climate change, equity and economic resilience.
Bill mandates
The legislation requires the California Department of Water Resources (DWR) to develop a long-term planning target for 2050, including an interim goal to develop 9 million acre-feet (an acre-foot is 325,851 gallons) of additional water by 2040. The new framework emphasizes sustainable water management for residents, agriculture, businesses and the environment.
“Setting these targets gives us a clear path forward to plan responsibly, invest strategically, and ensure that California’s communities, farms, and environment can thrive even under changing climate conditions,” Caballero said.
The targets are based on findings from a University of California (UC) study, The Magnitude of California’s Water Challenges, which projects a future shortfall of 4.6-9 million acre-feet of water annually by 2050. That gap is equivalent to 50-90% of urban water use or between 1.5 and 3 million acres of irrigated farmland. Another UC analysis, Inaction’s Economic Cost for California’s Water Supply Challenges, warns that failure to address these shortages could cost the state up to $14.5 billion annually and eliminate 67,000 jobs each year.
“These numbers underscore what’s at stake,” Caballero said. “If we don’t act, our farms, our communities, and our economy will suffer.”
The bill directs DWR to consider every available tool to achieve its goals, including desalination, recycling and reuse, groundwater recharge, stormwater capture, conservation and demand management.
The bill requires DWR to:
• Convene an advisory committee, in consultation with the California Water Commission, that includes representatives from Tribes, labor and environmental justice communities.
• Conduct public workshops statewide to gather input, ensuring participation from diverse regions and perspectives.
• Include detailed analyses in each plan update, such as: regional discussions of environmental, agricultural and urban sector water needs; funding sources and financing options for identified projects; and cost-benefit analyses and potential environmental impacts of proposed actions.
Aligning with Newsom’s strategy
SB 72 complements Newsom’s Water Supply Strategy, released in 2022, which anticipates a 10% loss in water supply—roughly 6-9 million acre-feet—by 2040 due to climate change, the bill said. The governor’s plan seeks to “close the evaporative gap” by adding 2.4 million acre-feet of new water supply through recycling, desalination and stormwater capture, coupled with 500,000 acre-feet of conservation and 4 million acre-feet of expanded storage.
While storage capacity is vital, the governor emphasized that “additional storage capacity does not equate to a similar volume of new water supply.” SB 72 builds on this understanding by requiring DWR to integrate hydrologic data, water rights and regulatory constraints into every planning cycle, ensuring that new investments are both feasible and sustainable.
The bill analysis notes that while expanding water storage is essential for adapting to climate change, such storage can only be filled when hydrologic conditions allow and must comply with existing water rights, quality standards and regulations. It also emphasizes that the measure does not clearly distinguish between “new water” and expanded storage.
With the law now in effect, DWR will begin assembling its advisory committee and initiating public engagement efforts ahead of the 2028 Water Plan update.
The bill was co-sponsored by the California Municipal Utilities Association, the California State Association of Counties and the California Council for Environmental and Economic Balance. SB 72 garnered broad bipartisan and stakeholder support from more than 100 organizations, including agricultural organizations, local water agencies and other advocacy groups. However, some sporting and environmental organizations voiced opposition to the measure. — Charles Wallace, WLJ contributing editor
