Court ruling blocks financing path for California Delta tunnel project
(UI) — A key court decision has effectively blocked California’s effort to secure bond financing for the proposed Delta tunnel project, adding another hurdle to the multibillion-dollar water infrastructure plan.
The ruling follows a decision by the California Supreme Court to deny review of an earlier appellate case that found the California Department of Water Resources lacked authority to approve financing tied to the project.
With the high court declining to intervene, the lower court’s findings remain in place, leaving the Delta Conveyance Project without a validated funding mechanism. The project is designed to move water through the Sacramento-San Joaquin Delta to other parts of the state.
The legal dispute centered on whether the state could issue bonds and recover costs from water contractors for a large-scale conveyance project. Courts ultimately determined the proposed financing structure exceeded the agency’s authority.
The project, which has been debated for decades, is expected to cost tens of billions of dollars and remains in early stages without confirmed funding.
Related News
From Archive
- 27 pipeline safety violations tied to deadly Pa. chocolate factory explosion
- Contractor gas line strike triggers home explosion in Missouri
- FiberLight to build 1,400-mile West Texas dark fiber network in $350 million expansion
- Fatal trench collapse in Mass. leads to $4.6 million OSHA penalty, dozens of violations
- OSHA investigates fatal trench collapse at Conroe construction site
- T-Mobile to expand fiber broadband infrastructure footprint with $4.9 billion Metronet acquisition
- Cityside launches $100 million fiber build in Corona, Calif.
- FiberLight to build 1,400-mile West Texas dark fiber network in $350 million expansion
- Alaska fiber buildout to expand broadband in rural communities
- 11-mile Texas pipeline replacement upgrades 72-in. PCCP to 102-in. steel
Comments