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- By Brian Edwards
- Energy | Environment
The Bureau of Reclamation has expedited the release of $120 million for the Navajo-Gallup Water Supply Project, lawmakers said, following Senate questioning over delays in distributing previously approved funds.
U.S. Sen. Ben Ray Luján, D-N.M., pressed Bureau of Reclamation Acting Commissioner Scott Cameron during a March 11 Senate Committee on Indian Affairs hearing about why the funding had not yet been released from the Reclamation Water Settlements Fund.
During the hearing, Cameron described the Navajo-Gallup project as “the number one priority for the Water Settlement Fund” and “the biggest construction project in the Bureau of Reclamation,” adding the agency is working to meet its obligations. He also said he was “not aware” of any holdup in releasing the $120 million.
Days later, Luján and members of New Mexico’s congressional delegation announced that the Bureau of Reclamation had expedited the full $120 million allocation.
The Navajo-Gallup Water Supply Project is a major infrastructure initiative tied to the Navajo Nation’s water rights settlement in the San Juan Basin. The system is expected to serve about 250,000 people by 2040, including communities across the Navajo Nation, the Jicarilla Apache Nation and the city of Gallup.
The project is designed to reduce reliance on declining groundwater supplies and expand access to reliable drinking water, a longstanding constraint on housing, business development and public health in the region.
The funding builds on $55 million secured through the fiscal 2026 Energy and Water Development appropriations bill and follows earlier federal investments, including a $267 million contract awarded in 2024 for a key water treatment facility.
The funding release comes as federal officials warn the Reclamation Water Settlements Fund faces growing pressure from pending tribal water settlements. Testifying at the same March 11 hearing, Cameron said the fund lacks sufficient resources to support all approved and proposed projects, noting more than $13 billion in settlements are currently before Congress.
The Bureau of Reclamation did not immediately respond to a request for comment.
