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The bill provides predictable federal support to help farmers, rural areas, and Tribes plan and test voluntary water‑saving projects that boost local supply and drought resilience, but increases federal spending and may constrain conservation options while exposing farmers and low‑resource communities to financial and technical risks.
Farmers and rural communities gain predictable federal planning and demonstration funding (including $5M/year for FY2028–2034 and access to up to 10% of specified funds) to design and test voluntary water‑saving projects that help keep land in production.
Rural communities and farmers can increase local water supplies and drought resilience through projects that reduce consumptive water use.
Prioritizing projects that dedicate saved water to local districts or community members can expand affordable or redundant water supplies for neighbors and homeowners.
Taxpayers could face higher federal outlays because the program may fund up to 75% of project costs, increasing the federal subsidy for local water projects.
Farmers and small agricultural businesses could face financial risk if new crops or practices promoted by projects fail locally, potentially harming incomes.
Banning fallowing and restricting certain widely used or well‑understood crops may limit the set of conservation tools available to communities, reducing flexibility and effectiveness in some local contexts.
Based on analysis of 2 sections of legislative text.
Authorizes the Secretary to fund and support voluntary, innovative drought‑response projects that conserve water while keeping agricultural land productive and relying on non‑Federal implementation funds.
Introduced January 29, 2026 by Alejandro Padilla · Last progress January 29, 2026
Authorizes the Secretary to provide technical and financial assistance for voluntary, innovative drought-response projects that save water while keeping agricultural land in production and supporting rural income and jobs. Eligible projects must be designed to rely on long-term non‑Federal funding, use approaches that lack a well‑established track record (for example, water‑sharing agreements, hydroponics, agrovoltaics, advanced irrigation, or regenerative practices), and must not primarily rely on fallowing cropland or switching to widely used/well‑understood crops except where those crops use approved innovative methods. Assistance must come from funds available under the existing Reclamation States Emergency Drought Relief Act title (and subsection (g) funds). The law sets definitions of "innovative approaches," limits on eligible conservation strategies, and specifies who may apply for support.