State shifts WSIP funding; Chino Basin project gets $53.9M to build local supply, improve water quality, and reduce import dependence.
Inland Empire Utilities Agency (Courtesy IEUA)Chino, California (Times Media Service) – The Chino Basin project just secured another $53.9 million in state support, a move California water officials say will help offset inflation and speed work to boost local supplies across the Inland Empire. The California Water Commission approved the increase on Aug. 20, 2025, raising the project’s maximum conditional eligibility to $269.1 million under the Water Storage Investment Program.
What the $53.9 million does
State commissioners voted to shift available WSIP dollars to three projects that have shown progress—Sites Reservoir, the Kern Fan groundwater bank, and the Chino Basin project. For Chino Basin, the decision adds $53,847,839, bringing its maximum conditional funding to $269,113,244. Officials described the move as a cost-of-living adjustment meant to keep construction on track despite higher prices for materials and labor.
The Chino Basin project is led by Inland Empire Utilities Agency (IEUA) with partners in San Bernardino County. The new money does not arrive as a lump sum today; WSIP dollars remain conditional and are released as the project clears environmental, design, and contracting milestones that prove the promised public benefits.
Agency leaders say the funding helps lock in a plan to build local water supply and cut reliance on imported sources that are often squeezed by drought and environmental rules. “With this additional funding, the CBP and its component parts can become a reality in the near future,” IEUA Board Member Steve Elie said after the vote.
How the WSIP funding shift happened
The Commission’s action followed the withdrawal of the Los Vaqueros Reservoir Expansion from WSIP and the passage of Proposition 4 in 2024, which together freed up hundreds of millions in program capacity. At the Aug. 20 meeting, commissioners reallocated funds and approved a regulatory tweak to remove a $135 million cap on early WSIP funding (still limited to 5% of a project’s total).
Industry groups welcomed the shift. The Association of California Water Agencies summarized the decision and listed the amounts: Sites +$218.9 million, Kern Fan +$22.2 million, and the Chino Basin project +$53.9 million. The intent was to offset inflation since the projects first applied years ago.
In plain terms, the Commission increased each project’s Maximum Conditional Eligibility Determination (MCED)—a ceiling amount that can be drawn down as requirements are met. For Chino Basin, the MCED rose from about $215.3 million to $269.1 million.
What is the Chino Basin project?
At its core, the Chino Basin project builds a new Advanced Water Purification Facility and related wells and pipelines to produce and store about 15,000 acre-feet per year of highly treated recycled water in the local aquifer. That supply can then be pumped for local use, improving reliability during droughts, emergencies, or cutbacks on imported water.
The program also enables a water exchange with the State Water Project that provides environmental “pulse flows” in the Feather River during dry years—benefiting Chinook salmon while keeping more reliable water available here at home. Earlier planning documents describe an exchange of up to 375,000 acre-feet over 25 years, with annual exchanges capped at 50,000 acre-feet.
Supporters stress water-quality gains, too. By injecting more advanced-treated water, the Chino Basin project can lower salinity in groundwater and improve overall basin health—key benefits for cities and water districts drawing from local wells.
Inland Empire water: supporters say local control, less risk
At the meeting and in post-vote statements, local water leaders framed the Chino Basin project as a practical, near-term way to build Inland Empire water security. Cucamonga Valley Water District Board President Randall Reed said the facilities will “reduce our dependence on imported water … while giving our agency more operational flexibility.” Fontana Water Company Vice President Marty Zvirbulis called the effort “critical infrastructure” for the region.
IEUA argues the program helps diversify supplies—spreading risk across local recycling, storage in the Chino Basin, and strategic exchanges with the larger state system. That structure, the agency says, gives ratepayers a buffer against rising imported water costs and climate-driven swings in snowpack.
From a household point of view, the promise is straightforward: the Chino Basin project adds a reliable, drought-proof source close to home, which can help keep taps running even when Northern California deliveries are cut.
Pushback from local agencies focused on costs and groundwater
Not everyone is on board. In May, the cities of Chino, Montclair, and Ontario and the Monte Vista Water District asked the Commission to pause further funding until IEUA answers questions about cost-sharing and potential impacts on local groundwater. “We are asking for clear financial terms and an open dialogue before public resources are committed,” Ontario Councilmember Debra Porada said.
Those agencies cited a recent Chino Basin Watermaster analysis projecting a decline in the basin’s “safe yield,” arguing that any new program must protect the local wellfield first. They also questioned how non-state costs would be covered over time. The Commission, however, proceeded with the conditional funding increase while keeping standard WSIP checks in place.
IEUA acknowledges “there is more work to be done” and says it is negotiating with local partners to finalize roles and financing as each piece of the Chino Basin project advances.
What it means for ratepayers and reliability in the Inland Empire
For families and businesses from Chino to Fontana and Rancho Cucamonga, the big picture is resilience. A basin-based supply that can be stored underground acts like a savings account; water can be banked in wet years and drawn in dry ones. By growing Inland Empire water supplies locally, the Chino Basin project reduces exposure to drought-era shortages and statewide delivery cuts.
Costs matter, and they will be watched. The extra $53.9 million reduces the local share that must be funded by rates or other sources, but overall program spending will still be worked out in formal agreements. Because WSIP funds are tied to public benefits—ecosystem flows, water quality, emergency response—ratepayers are not shouldering those pieces alone.
Bottom line: if the pieces come together on schedule, the Chino Basin project provides a new, drought-resistant supply and helps clean up groundwater. If they don’t, WSIP money won’t be released—an accountability guardrail built into the program.
What’s next: milestones before shovels
Even with the funding boost, the Chino Basin project must complete environmental compliance, finalize design for “put” and “take” facilities, and secure partner agreements. IEUA says work on preliminary designs and regulatory steps is underway, building on prior early-funding approvals from the Commission.
Program leaders say they’ll keep engaging cities and retailers on basin science, costs, and operations—key to ensuring local support. As those agreements are inked, WSIP dollars can phase in, and Inland Empire crews can start building a project designed to serve the region for decades.
Residents can expect public meetings, design updates, and groundwater modeling reviews over the coming months. Those checkpoints will be important for rate transparency and to confirm that the Chino Basin project improves both supply reliability and local water quality.
