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California’s long-planned Sites Reservoir project advanced this month with approval of nearly $219 million in additional funding from the California Water Commission. The increase is designed to offset inflation-driven construction costs and keeps the project on track as one of the state’s most significant new water storage efforts in decades.

A New Approach to Water Storage

Planned for the Sacramento Valley, the off-stream reservoir would hold up to 1.5 million acre-feet of water – enough to supply more than 4.5 million homes for a year. Unlike traditional on-river dams, Sites would divert water from the Sacramento River during high-flow periods – only after all existing rights and environmental requirements are met – and store it in a large basin for use during dry years.

Funding and Timeline

• Total project cost: Up to $6.8 billion
• State funding (Prop 1): $1.094 billion
• Federal financing: $780 million
• Local commitments: 30 water agencies statewide
• Construction start: 2026
• Operations begin: 2032

Why It Matters for Aquaculture

For California’s aquaculture producers, Sites Reservoir represents both water supply security and ecosystem management benefits. By operating in coordination with other reservoirs, Sites will increase flexibility and resiliency during droughts, helping stabilize water availability for farms and hatcheries that rely on consistent, high-quality freshwater.

Importantly, a portion of the stored water will be dedicated to environmental flows – supporting native fish populations, migratory birds, and aquatic habitats. The project is also expected to help manage salinity levels in the Sacramento-San Joaquin Delta, a critical factor for estuarine and brackish water aquaculture.

Environmental Considerations

As an off-stream facility, Sites avoids many of the environmental downsides of traditional dams. By capturing only excess storm flows, it leaves more natural river water in place to support fisheries and wildlife while adding resilience to the state’s broader water system.

With construction set to begin in 2026, Sites Reservoir is positioned to become a cornerstone of California’s water management strategy – one with direct relevance to the future of aquaculture, fisheries, and water-dependent food production.