Even as work on the first phase of fixing the sinking Friant-Kern Canal is nearly done, officials are worried they won’t be able to pay the bill and have come up with a plan that puts pressure on four agricultural water districts to pony up.
The Friant Water Authority owes the federal Bureau of Reclamation potentially $90 million, plus interest, for its share of the massive project. It is also looking at a possible $5.1 million construction payment in summer 2026 that it may not have funds for.
That bill isn’t due yet. But the Bureau has asked the authority to explain how it will get the money to pay its share of the first phase of construction, which totaled $326 million. And wants to make sure a funding path is lined up for the second phase of construction, anticipated to cost about $247.2 million.
In a tense, two-hour-long special meeting held Monday, members of the authority voted to pass project shortfalls directly on to the Saucelito, Porterville and Terra Bella irrigation districts and the Tea Pot Dome Water District.
Those four districts had made up the bulk of the Eastern Tule Groundwater Sustainability Agency board and were responsible for setting policies to both curb excessive groundwater pumping and bring in enough money to pay for a large share of the cost to fix the canal. Tea Pot Dome voted in June to leave Eastern Tule and form its own groundwater agency.
Though there were four water districts on the board, large swaths of Eastern Tule lands are outside of water district boundaries. Farmers on that land rely almost exclusively on groundwater and have been blamed for sinking a 33-mile section of the Friant-Kern Canal from about Pixley in Tulare County to the Kern County line.
The sag in the canal crimped its carrying capacity by up to 60%, significantly reducing water deliveries to contractors in the south, including the Delano-Earlimart and Shafter-Wasco irrigation districts and the Arvin-Edison Water Storage District.
Because most of the damage was blamed on pumpers in the Eastern Tule GSA, the Eastern Tule board signed a settlement agreement with the Friant authority in 2021 pledging to pay up to $200 million over time toward fixing the canal. It would gather that money through pumping fees charged to growers who went over their allotted amounts into so-called “transitional” pumping.
The Eastern Tule board did set high charges of between $300 and $500 per acre foot for transitional pumping. But it also gave growers significant groundwater credits that could be traded and sold throughout the agency, allowing many growers to avoid dipping into expensive transitional pumping.
Eastern Tule’s rules on groundwater credit sales are so wide open there is little control over problematic pumping, according to observers.
“I can sink water in Woodville and sell those credits out to Ducor,” a distance of nearly 30 miles, said Lower Tule River Irrigation District Board Member Tom Barcellos. “There’s no way the groundwater in Ducor is replenished, but they can pump that credit out and that’s creating a problem.” 
He added that some people in Eastern Tule “…are in the business of making money at (buying and selling groundwater credits). ”
The Friant authority had anticipated receiving $25 million a year from transitional pumping fees under the 2021 agreement with Eastern Tule. Instead, the authority has only received $17 million total in all that time. And the canal has continued to sink faster than anticipated, according to the authority. The authority sued Eastern Tule earlier this year for allegedly breeching the 2021 agreement.
“We’ve tried to avoid this for five years,” said Jason Phillips, executive director of the authority. “We’ve heard over and over that the money is going to come. It hasn’t, and our canal is still sinking.”
He said it’s not only the Friant Water Authority that feels as though “…the rug was pulled out from under us. It’s also very clear to the state and to DC who should be paying.”
Board members of the Saucelito and Porterville irrigation districts argued against holding their districts responsible noting that as Friant contractors, their members pay to bring in water and have not contributed to the groundwater deficit nor subsidence beneath the canal.
“Our landowners have not been using groundwater so if the canal is still subsiding, you’re going after the wrong people,” said Steve Kisling President of the Saucelito Irrigation District.
“Blaming the districts is just a play by Friant to get us to force policy changes on Eastern Tule,” said Porterville Irrigation District Board member Brett McGowan.
They characterized the plan to have the districts shoulder project shortfall costs as “divisive” and “vindictive.”
Phillips said the authority had to come up with a plan for the Bureau. He said it will be presented to Friant contractors to review over the next 60 days and if one of the districts has a better plan, the authority is open to listening.
“Putting my districts in your crosshairs and then asking us to come negotiate with you is just dirty pool,” said Sean Geivet, general manager of Saucelito, Porterville and Terra Bella irrigation districts.
He disputed the notion that credit “loopholes” have allowed Eastern Tule growers to continue overpumping.
“If there are loopholes, point ’em out because I don’t know of any,” Geivet said.
That provoked a strenuous response from Tea Pot Dome Board Member Matt Leider who slammed his hand on the conference table as he spoke.
“Three times Friant Water Authority pointed out all the loopholes and asked us to go through them and you didn’t do it. It was dismissed every single time. I warned Eastern Tule not to do that and that’s why now there’s litigation and why we’re here right now.”
Leider, whose district is among those that would be forced to pay for project shortfalls, abstained from voting on the plan.
