Valley Water awards $1.88-billion contract for Anderson Dam seismic retrofit

(UI) — Valley Water has awarded a $1.88 billion construction contract for the Anderson Dam Seismic Retrofit Project, advancing one of California's largest water infrastructure projects with construction scheduled to begin in early 2027. 

The contract was awarded to the Flatiron Dragados Sukut ADSRP Joint Venture and covers reconstruction of most of the Anderson Dam and spillway, installation of new outlet works and other seismic safety improvements. According to the Morgan Hill Times, the approximately $2.8 billion program is designed to improve water supply reliability, support groundwater recharge, reduce flood risk and strengthen one of Santa Clara County's most critical water infrastructure assets.

The award follows years of planning, environmental review and enabling work, including the Anderson Dam Tunnel Project, which is expected to be completed later this year. The new 13-ft-diameter outlet tunnel replaces the dam's existing 4-ft outlet pipe, allowing Valley Water to release larger flows during construction and improve reservoir operations during future storms and emergency events. The agency said the tunnel will be operational before this winter's rainy season.

Built in 1950, Anderson Reservoir has operated at no more than 10% capacity since 2009 because of seismic safety concerns. Valley Water plans to keep the reservoir empty during construction while completing the seven-year retrofit project, Morgan Hill Times reported. The agency said it has secured more than $114 million in state and federal funding for water infrastructure projects in Santa Clara County and continues pursuing additional funding to help offset project costs.

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