San Diego Looks to Share Its Water Surplus as Western States Face Shortages

San Diego County Water Authority explores deals to sell Colorado River water rights to other states in the region.

Apr. 18, 2026 at 3:35am

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A sweeping, atmospheric landscape painting depicting the vast, sublime scale of the Colorado River basin, with the river and surrounding geography dwarfing any human presence or infrastructure, conveying the overwhelming impact of the region's extreme drought conditions.As the Western states grapple with an intensifying water crisis, San Diego's efforts to share its Colorado River water surplus could serve as a model for regional cooperation to address this long-simmering challenge.San Diego Today

As most Western communities expect to grapple with water shortages this summer and fall, San Diego is looking to share its unlikely surplus. The San Diego County Water Authority is exploring deals to sell its Colorado River water rights to other states like Arizona and Nevada that are facing severe water scarcity. While such interstate water transfers have never occurred before, the utility is hoping to finalize agreements that could provide relief to the drought-stricken region.

Why it matters

The Western United States is facing an intensifying water crisis, with reduced snowpack and dwindling reservoir levels on the Colorado River system. San Diego's potential water deals could serve as a model for regional cooperation and resource sharing to address this long-simmering issue, though finalizing such agreements will require overcoming legal and regulatory hurdles.

The details

The San Diego County Water Authority has announced deals to sell water to utilities in Riverside County, California, and is in discussions with water managers in Arizona and Nevada about potential interstate transfers of its Colorado River water rights. Such transfers have never occurred before and would likely require new federal laws or regulations to facilitate. The utility is also looking to recoup billions in costs it has passed along to ratepayers in recent years through annual water rate hikes of up to 14%.

  • In recent weeks, the San Diego County Water Authority has announced deals to sell water to two utilities in Riverside County, California.
  • In February 2026, the San Diego County Water Authority approved an agreement with the Metropolitan Water District of Southern California that featured plans to include utilities in Nevada and Arizona in the collaboration.

The players

Dan Denham

The general manager of the San Diego County Water Authority, who said the utility can no longer go it alone in addressing the region's water challenges.

DeEtte Person

A spokesperson for the Central Arizona Project, the system that transports Colorado River water to most of that state's populous areas, who said Arizona water managers have been discussing the prospects of a deal for San Diego's water but have made no decisions.

John Entsminger

The general manager of the Southern Nevada Water Authority, who told The Wall Street Journal he plans to sign 'an exploratory agreement' with San Diego County.

Stephen Corona

The board president for the Eastern Municipal Water District in Riverside County, California, who said 'regional cooperation is essential for a stable water future.'

Joseph Vanderhorst

A retired water law expert who told members of the Metropolitan Water District of Southern California's board that finalizing any interstate water transfers would be complicated and could require action by Congress as well as a consensus that has been hard to reach among Western states.

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What they’re saying

“We've all collectively taken a step back and have realized we can't continue to put a fence around ourselves. We can't go at this alone any longer.”

— Dan Denham, General Manager, San Diego County Water Authority

“Regional cooperation is essential for a stable water future.”

— Stephen Corona, Board President, Eastern Municipal Water District

“It will take agreement among all of the stakeholders -- including those whose water rights may be adversely affected.”

— Joseph Vanderhorst, Retired Water Law Expert

What’s next

Finalizing any interstate water transfers will require new federal laws or regulations, as well as a consensus among the seven Western states that rely on the Colorado River. The U.S. Bureau of Reclamation is currently in the process of charting the future of the Colorado River watershed, which could spur litigation over the complex web of statutes and court rulings that govern its use.

The takeaway

San Diego's potential water deals highlight the growing urgency of the Western water crisis and the need for regional cooperation to address it. While such interstate transfers have never been done before, San Diego's efforts could serve as a model for how drought-stricken states can work together to share limited resources and find innovative solutions to secure a stable water future.