The Bay Delta Conveyance Facility: Affordability and Financing Considerations

The Bay Delta Conservation Plan (BDCP) is a collaborative effort involving numerous state and federal agencies with the goal of restoring and protecting the environmental health of the Sacramento-San Joaquin Delta while also improving the reliability of an important source of California’s water supply. Currently, the Delta provides vital water supplies to municipal, industrial and agricultural water users in the Central Valley and coastal and Southern California. These water deliveries are crucial to the state’s economy and represent a critical source of water for more than 25 million California residents. According to the BDCP documents, in the absence of the various conservation measures proposed in the plan, Delta water supplies are expected to become increasingly unreliable, water quality in the Delta would be vulnerable due to sea level rise and associated saltwater intrusion, and the state would be exposed to potentially severe public health consequences resulting from a major seismic event that could damage Delta facilities and temporarily halt water exports.

This report provides a preliminary assessment of the affordability and financing considerations of the Delta conveyance facility. The report does not address the merits of the BDCP per se or the question of whether the state and other parties involved in the project should proceed with this project.