JFAC approves $30 million ongoing for water projects, adopts transfer and reappropriation language for Department of Water Resources

The Joint Finance-Appropriations Committee voted to appropriate $30,000,000 ongoing to the Department of Water Resources’ Water Management Fund for water infrastructure projects and approved related funding actions and language on March 14.

Motion and votes: Representative Manwaring moved a package that included a $716,000 transfer from the Revolving Development Fund to the Aquifer Planning and Management Fund for aquifer monitoring and modeling, ESRI maintenance costs, funds for Laserfiche conversion, replacement items, OITS hardware, and $30,000,000 ongoing from the General Fund for water infrastructure projects. The committee recorded a combined vote of 15 ayes and 5 nays (Senate 6–4; House 9–1) and the motion carried with a due-pass recommendation.

Committee language and reappropriation authority: Following the motion, the committee separately approved language to effect the cash transfer of the $30,000,000 to the Water Management Fund and adopted reappropriation authority for American Rescue Plan Act (ARPA) and State Fiscal Recovery funds so the department can hold cash on hand and pay project bills when they fall due. The language motion passed on a subsequent roll call (committee totals recorded in the transcript were 18 ayes, 1 nay, 1 absent and excused) and was not adopted by unanimous consent.

Why it matters: The $30 million ongoing appropriation would become part of the FY2027 base if enacted as proposed; the Water Management Fund is the vehicle used by the Department of Water Resources and the State Board of Water Resources for infrastructure projects and grant awards to local water entities. Committee analysts described the $30 million as intended to fund projects across board districts and to be available annually if enacted.

Other details and program changes: The motion included transfers and additions totaling an increase of $31,097,700 from the General Fund and four additional FTEs for FY2026 (including the aquifer funding and technology conversions). The committee also approved language directing use of the $30,000,000 in fiscal year 2026 for projects in Board Districts 3 and 4; draft language referencing incidental recharge was removed after concerns and will be revisited at summer meetings.

Discussion vs. decision: Committee discussion included questions about the ongoing nature of the $30 million, the mechanics of moving ongoing appropriations into continuously appropriated accounts, and the department’s use of funds for local projects and grants. Formal committee actions included the appropriation motion and separate adoption of transfer and reappropriation language.

Next steps: The appropriations and the language were reported out of committee with due-pass recommendations.