Delta Tunnel Project Removed from 2024 Calif. budget in deal between Newson, legislative leaders

Governor Gavin Newsom, Senate President pro Tempore Toni G. Atkins, and Assembly Speaker Anthony Rendon on the evening of June 26 reached an agreement on the 2023-24 state budget that does not include the 45 mile-long Delta Tunnel project in the trailer bill language.

“In the face of continued global economic uncertainty, this budget increases our fiscal discipline by growing our budget reserves to a record $38 billion, while preserving historic investments in public education, health care, climate, and public safety,” said Governor Gavin Newsom in a statement. “We’ve attached new accountability measures for transit and homelessness investments. And we are accelerating our global leadership on climate by fast-tracking the clean energy projects that will create cleaner air for generations to come.”

“We started our budget process this time around with tough economic challenges, but one overarching goal: to protect California’s progress,” said Senate President pro Tempore Toni G. Atkins (D-San Diego). “This budget does exactly that — it allows us to close the budget gap, make targeted new investments, and provide services and resources for Californians and our communities without cuts to core programs or dipping into our reserves, and in fact builds those reserves.”

Responding to the reaching of the agreement, Barbara Barrigan-Parrilla, Executive Director of Restore the Delta, stated, “We are pleased the tunnel was removed from the Design and Build trailer bill, and that the trailer bill for changing voting quorums for the Delta Stewardship Council was dropped. However, this play by the Governor makes it clear that he and DWR will seek to change any rules to move the tunnel forward while excluding the region.”

“It is time for him and DWR to drop the project and to get busy on meaningful reforms and projects to restore the Delta and secure California’s water future,” she emphasized.

The Delta Conveyance Project would divert water from the Sacramento River in the North Delta at Hood before it flows through the Delta to export to agribusiness operations in the San Joaquin Valley and Southern California water agencies. Independent scientists, Tribal leaders and fish advocates say the the construction of the underground tunnel would drive already imperiled populations of salmon, steelhead and other fish species closer to extinction.

Environmental and fishing groups are now evaluating the final language for the trailer bills including two new ones, and how they will impact other projects, endangered species and the environment.

In a tweet, Delta United posted the new #Budget Trailer bills that were posted last night. As these were just posted, they cannot be voted on today, but it could be as soon as Friday.

CEQA – SB 149 Caballero/Becker https://leginfo.legislature.ca.gov/faces/billNavClient.xhtml?bill_id=202320240SB149…

Fully Protected Species SB 147 Ashby: https://leginfo.legislature.ca.gov/faces/billNavClient.xhtml?bill_id=202320240SB147

Below is the press release from the Governor’s Office:

SACRAMENTO – Governor Gavin Newsom, Senate President pro Tempore Toni G. Atkins, and Assembly Speaker Anthony Rendon today issued the following statements announcing that they have reached an agreement on the 2023-24 state budget:

“In the face of continued global economic uncertainty, this budget increases our fiscal discipline by growing our budget reserves to a record $38 billion, while preserving historic investments in public education, health care, climate, and public safety,” said Governor Gavin Newsom. “We’ve attached new accountability measures for transit and homelessness investments. And we are accelerating our global leadership on climate by fast-tracking the clean energy projects that will create cleaner air for generations to come. As we build the California of the future, we’re expanding our economy and embracing businesses that pave the way with new tax credits for businesses that manufacture computer chips, clean energy facilities, and more – projects that disproportionately benefit disadvantaged communities and create hundreds of thousands of jobs. I want to thank the Legislature for their hard work on a budget that prioritizes the needs of Californians while keeping the state on strong economic footing.”

“We started our budget process this time around with tough economic challenges, but one overarching goal: to protect California’s progress. This budget does exactly that — it allows us to close the budget gap, make targeted new investments, and provide services and resources for Californians and our communities without cuts to core programs or dipping into our reserves, and in fact builds those reserves,” said Senate President pro Tempore Toni G. Atkins (D-San Diego). “In good years, we buckled down so that in tough years like this one, we could meet our needs. That pragmatic approach works for household budgeting, and it works for state budgeting. I’m also heartened that we were able to reach agreement on the infrastructure package, and in particular that we were able to do so in a way that focuses on equity by laying the groundwork to ensure that our most vulnerable communities will be hired first on impactful state infrastructure projects. I appreciate the partnership of Governor Newsom and Speaker Rendon, and the tireless work of our Legislative colleagues and staffs, including our budget chairs and subcommittee chairs, who have been working around the clock to get us across the finish line.”

“This is a budget for the future,” said Assembly Speaker Anthony Rendon (D-Lakewood). “The Assembly has consistently fought for early childhood education and I’m proud that this budget includes up to $2.83 billion in one-time funds for child care reimbursement increases, all while protecting budget reserves of $37.8 billion. I want to thank the hard work of our Budget Committee members, our Senate partners, the Governor and the dedicated staff who worked countless hours to achieve this result.”

The agreement reached today includes support for the associated budget trailer and the following policy bills:

• AB 122 – Joshua Tree (Committee on Budget)
• AB 124 – Green Bank and Energy (Committee on Budget)
• AB 126 – Clean transportation (Reyes)
• SB 145 – Caltrans Advanced Mitigation and I-15 Wildlife Crossings (Newman)
• SB 146 – Progressive Design Build, Job Order Contracting, NEPA Assignment (Gonzalez and Friedman)
• SB 147 – Fully Protected Species (Ashby)
• SB 149 – Expedited Judicial Review, Administrative Record Reform (Caballero and Becker)
• SB 150 – Equity (Durazo, Smallwood Cuevas, Gonzalez, Cortese, and L. Rivas)