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DNR warns Utah faces renewed drought stress as it pursues nuclear, minerals and permitting reforms

Natural Resources, Agriculture, and Environmental Quality Appropriations Subcommittee · January 22, 2026
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Summary

Department of Natural Resources told the appropriations subcommittee that 93% of Utah is in drought, Lake Powell is roughly 26% full, and the department is pursuing nuclear lab activity, critical-mineral processing goals and streamlined permitting—backed by restricted-account funding requests.

Joel Ferry, executive director of the Utah Department of Natural Resources, told the Natural Resources, Agriculture and Environmental Quality Appropriations Subcommittee on Jan. 22 that water remains the department’s top short-term challenge and that active management and conservation are critical as the state moves through drought cycles.

Ferry said recent weather swings—an unusually wet October followed by warm, dry November and December—mean reservoir carryover from 2023–24 has diminished, and that current statewide drought coverage is at 93 percent. "We're either in a drought or we're gonna be coming into a drought," Ferry said, urging conservation.

On the Great Salt Lake, Ferry reported agency work to manage salinity and habitat: the department closed an application period for a Bureau of Reclamation program and said the state received a $50,000,000 federal grant to support Great Salt Lake projects; the department received over 41 applications requesting about $170,000,000. For the Colorado River, Ferry said the demand-management program received 15 applications totaling roughly 19,000 acre-feet of saved water.

Ferry also highlighted energy and minerals initiatives in the governor's agenda: the state launched "Operation Gigawatt," and he said the San Rafael Energy Research Lab will host a reactor the department expects to go live in 2026 as part of small-modular and advanced-nuclear development; the legislature provided $10,000,000 for Operation Gigawatt and $1,750,000 toward geothermal. He described a mission to increase Utah's share of critical-mineral processing so the state would produce 20–25% of U.S. demand and process 50% of material mined in-state, and said the state is working with the BLM on a one-stop permitting model to reduce permit times.

Ferry listed operational actions the department has already taken: replacing cloud-seeding generators with remote high-elevation units, installing more than 82,000 secondary meters (ARPA-funded), and adding river and stream monitoring stations. He also noted public‑lands milestones, including issuance of the Northern Corridor record of decision and 68,000 acres of recent mineral leases.

Committee members pressed Ferry on permitting capacity and staffing. Ferry said the state is requesting restricted-account full-time positions, particularly in the Division of Oil, Gas and Mining, and exploring intergovernmental arrangements to shift some responsibilities from federal to state agencies where appropriate. He acknowledged AI tools are being trialed to help analyze lengthy permit applications but stressed human capacity remains critical.

Ferry closed by asking members to consider restricted-account requests that fund permitting and program staff, dam safety and other targeted investments intended to advance resiliency and growth while emphasizing conservation.