S3732119th CongressWALLET

Water Security and Drought Resilience Act

Sponsored By: Senator Gallego, Ruben [D-AZ]

Introduced

Summary

Expanded federal financing for water storage and natural water management. This bill would create new grant programs and broaden funding rules to support storage projects, aquifer recharge, and natural water retention across Reclamation States.

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  • Local and tribal water agencies, municipalities, irrigation and water districts, and qualified nonprofit partners would be eligible for grants to build projects like aquifer recharge, floodplain retention, or altered runoff timing. Federal cost share could cover up to 90 percent of project costs and awarded funds would be nonreimbursable.
  • The Small Storage Program would be reauthorized with updated size rules and a required multi-state distribution. Eligible projects would generally range from 200 to 30,000 acre-feet, or up to 150,000 acre-feet for recharge-focused projects, and the bill authorizes $20 million per year from 2027 through 2033.
  • A new Natural Water Retention and Release Grants program would set eligibility and project criteria, require multi-state distribution, and authorize $15 million per year from 2027 through 2031. The bill explicitly bars federal acquisition of water and preserves existing water laws and rights.

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Bill Overview

Analyzed Economic Effects

3 provisions identified: 3 benefits, 0 costs, 0 mixed.

Broader eligibility for storage aid

If enacted, the bill would let the Secretary of the Interior provide financial help for storage projects in any Reclamation State. It would allow some projects that received IIJA feasibility study authorization to become eligible for construction funding, subject to IIJA construction rules. The change would take effect on enactment. The Secretary must ensure funds are distributed across multiple Reclamation States.

Grants for natural water projects

If enacted, the bill would create a Natural Water Retention and Release Grants program run by the Interior Department. It would authorize $15 million a year for fiscal years 2027 through 2031. Grants would fund projects that store water using mostly natural methods, like aquifer recharge and floodplain retention. Federal funds would pay no more than 90% of a project and would not have to be repaid. Projects must be spread across multiple Reclamation States. Projects over $20 million would need extra Secretary approval and credible wet/normal/dry year storage estimates.

More small water storage grants

If enacted, the Small Storage Program would run for 10 years instead of 5. It would authorize $20 million a year for fiscal years 2027 through 2033. There would be two project tracks: (1) storage projects sized 200 to 30,000 acre-feet, and (2) recharge-focused projects averaging 200 to 150,000 acre-feet per year over the project life. The Secretary must spread grants across multiple Reclamation States. The section would not replace State or Federal water law, interstate compacts, or water rights, and it would not authorize the federal government to acquire water.

Sponsors & CoSponsors

Sponsor

Gallego, Ruben [D-AZ]

AZ • D

Cosponsors

  • Sen. Kelly, Mark [D-AZ]

    AZ • D

    Sponsored 1/29/2026

  • Sen. Padilla, Alex [D-CA]

    CA • D

    Sponsored 1/29/2026

Roll Call Votes

No roll call votes available for this bill.

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