California has committed an additional $268.9 million to the Sites Reservoir project, increasing the project’s total eligible state funding to $1.363 billion through the Water Storage Investment Program.

The proposed reservoir would store up to 1.5 million acre-feet of water by capturing flows from the Sacramento River during wet periods for use during drought conditions. Once completed, the facility would provide enough storage capacity to supply more than 4.5 million households for one year.

The project forms part of California’s broader effort to expand water storage capacity and improve long-term water reliability amid increasing variability in precipitation patterns. In addition to water storage, the reservoir is expected to reduce flood risks by capturing high river flows and provide water supplies for wildlife refuges across the Sacramento Valley and San Joaquin Valley.

Funding for the project comes through California’s Water Storage Investment Program and is supported by voter-approved Proposition 1 and Proposition 4 bond measures. Before receiving the approved funding, the project must satisfy statutory requirements, including securing financing commitments, obtaining permits, completing environmental reviews, and finalizing agreements with state agencies.

State officials view Sites Reservoir as a key component of California’s long-term water infrastructure strategy. The project would create a new emergency drought water supply of up to 200,000 acre-feet while expanding the state’s capacity to capture and store water during periods of heavy rainfall.