Padilla, Schiff Secure $54 Million for Pajaro River Flood Risk Management Project

Federal funding will help upgrade levees and mitigate flooding in Watsonville and Pajaro communities.

Published on Feb. 20, 2026

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Senators Alex Padilla and Adam Schiff have announced $54 million in federal funding for a project to upgrade the Pajaro River levees and improve flood protection for the Watsonville and Pajaro communities. The project aims to provide a 100-year level of flood protection through new flood walls, levee setbacks, and reconstruction of the existing levee system.

Why it matters

The Pajaro River levee system has experienced several major floods over the decades, with the most recent breach in 2023 causing over $300 million in damage. This federal funding will help address longstanding flood risks in the region and protect local residents, businesses, and infrastructure.

The details

The $599 million Pajaro River Flood Risk Management Project will include upgrades to the levee system, such as new flood walls, levee setbacks, and reconstruction of existing levees. Construction on the Reach 6 levee section along Corralitos Creek in Watsonville began in 2024. The project is being led by the Pajaro Regional Flood Management Agency in partnership with the U.S. Army Corps of Engineers.

  • The Pajaro River levee was first built in 1949, but has experienced at least five major floods since then.
  • The most recent flood occurred in March 2023, when heavy rains caused the levee to breach, resulting in over $300 million in damage.
  • In November 2023, the Pajaro Regional Flood Management Agency entered into a Project Partnership Agreement with the U.S. Army Corps of Engineers to expedite the levee upgrade project.
  • Construction on the Reach 6 levee section along Corralitos Creek in Watsonville commenced in the fall of 2024.

The players

Alex Padilla

U.S. Senator for California.

Adam Schiff

U.S. Senator for California.

Zoe Lofgren

U.S. Representative for California's 19th congressional district, which includes Watsonville and Pajaro.

Jimmy Panetta

U.S. Representative for California's 20th congressional district, which includes most of Santa Cruz County including unincorporated areas of Watsonville.

Pajaro Regional Flood Management Agency

The agency leading the Pajaro River Flood Risk Management Project in partnership with the U.S. Army Corps of Engineers.

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What they’re saying

“As atmospheric rivers grow more frequent and severe, this new funding boost will help create new flood walls and rebuild more resilient levees along the Pajaro River. I won't stop fighting in Congress for even more funding to address the inequities in our infrastructure in Pajaro and beyond.”

— Alex Padilla, U.S. Senator (santacruzsentinel.com)

“I'm proud to deliver federal funding for critical flood protection improvements for communities across our state that are most at risk. Watsonville and Pajaro residents have waited decades for upgraded flood protection systems, and experienced significant damage and even loss of life in the process. It's time that these federal dollars reach the Watsonville and Pajaro community as we work to mitigate flood risk and damage to residents, businesses, and local infrastructure.”

— Adam Schiff, U.S. Senator (santacruzsentinel.com)

“The residents and businesses along the Pajaro River have been waiting for necessary flood protection for far too long. In September, I was proud to announce nearly $40 million for levee and floodwall construction in Watsonville, and I'm proud to have submitted this additional $54.8 million as one of my community projects this year. That's going to help save lives and property, and I'm thankful for the extraordinary leadership Senators Padilla and Schiff have both shown by prioritizing this project as well.”

— Zoe Lofgren, U.S. Representative (santacruzsentinel.com)

“Together with Senators Schiff and Padilla and Rep. Lofgren, we have worked hard to ensure that the federal government has stepped up and provided the funding necessary for proper flood protection of the communities along the Pajaro River. The partnership at all levels of government to make the Pajaro River Flood Risk Management Project a reality is something we can all be proud of on the Central Coast of California.”

— Jimmy Panetta, U.S. Representative (santacruzsentinel.com)

What’s next

The Pajaro Regional Flood Management Agency will continue working with the U.S. Army Corps of Engineers to implement the $599 million Pajaro River Flood Risk Management Project, with construction on the Reach 6 levee section along Corralitos Creek in Watsonville expected to continue in the coming years.

The takeaway

This federal funding represents a significant investment in improving flood protection for the Watsonville and Pajaro communities, which have experienced repeated and devastating floods over the decades. The project's success will depend on continued coordination and partnership between local, state, and federal officials to ensure the levee upgrades are completed in a timely and effective manner.