(FOX40.COM) — The state of California has received $540 million for critical water infrastructure projects that will help bolster water conveyance and improve capacity, including the state’s largest reservoir.

The money will go to five federally managed projects across the Central Valley and Northern California.

Video: NASA photos show dramatic change at California’s largest reservoir

The funding is part of an $889 million package announced by the Trump administration for Bureau of Reclamation water projects in several states throughout the West.

What’s receiving funding?

Delta-Mendota Canal
The Delta-Mendota Canal will receive $235 million. Located along the west side of the San Joaquin Valley, the 117-mile canal carries water from the Sacramento-San Joaquin Delta to Mendota.

The funding, the largest allocation from the legislation, will support rehabilitation of the upper canal. That includes raising embankments; repairing “check structures” designed to regulate water levels and manage flow velocity; and the potential construction of a new, concrete-lined canal segment.

Friant-Kern Canal
The Friant-Kern Canal will receive $200 million. This will be used for subsidence correction efforts along the 152-mile canal, which carries water from Millerton Lake northeast of Fresno to the Kern River in Bakersfield.

Subsidence, or the sinking of Earth’s surface due to excessive groundwater pumping, has caused the canal to lose 60% of its design capacity, according to the Friant Water Authority. Many areas of the Central Valley — and the canals that flow within — have been affected by subsidence.

San Luis Canal
The 102-mile San Luis Canal will receive $50 million to address subsidence issues affecting water delivery reliability.

Tehama-Colusa Canal Authority pumping plant
The Tehama-Colusa Canal Authority pumping plant will receive $15 million to increase flow rates and improve system performance.

Shasta Dam
$40 million will go towards efforts to raise the Shasta Dam, the largest reservoir in the state. It would increase capacity by about 634,000 acre-feet. That’s enough to supply about 2.5 million people for a year, according to the Interior Department’s announcement.

Where did the funding come from?

President Trump’s “One Big Beautiful Bill Act” authorized $1 billion to the Bureau of Reclamation through 2034 to restore and expand existing water conveyance systems and increase capacity across the western United States, according to the release announcing the funding.

“These investments strengthen our nation’s water security, modernize aging infrastructure and support the farmers, communities and industries that depend on reliable water supplies,” Secretary of the Interior Doug Burgum said. “By helping ensure strong agricultural production and efficient water delivery, this investment also supports more stable and affordable food prices for American families.”

It builds on the Bipartisan Infrastructure Law, the Inflation Reduction Act, and Trump’s executive order meant to address California’s water-resource issues.

“I’m pleased to see the Department of the Interior’s announcement of critical investments in water infrastructure that I’ve long fought for in the San Joaquin Valley,” Rep. Jim Costa of the 21st district said in a statement. “For decades, I’ve worked to improve water reliability across the region, because where water flows, food grows—and a secure, dependable water supply is critical not just for the Valley, but for our nation’s food security.”

Copyright 2026 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.

For the latest news, weather, sports, and streaming video, head to FOX40 News.