CONTINUING AUTHORITY PROGRAM, SEC. 1135

PROJECT LOCATION AND DESCRIPTION

The Watsonville Slough coastal lagoon is located in Santa Cruz County, California. It is a tributary of the Pajaro River, where the river meets the Pacific Ocean. Land use practices, Federal levees, and low-lying infrastructure in the project area have decreased the size of Watsonville slough, limiting tidal marsh and coastal wetland habitat that is vital to native fish, bird, and wildlife species, including endangered central coast steelhead. This study is working to improve the quality and function of the coastal lagoon and estuary wetland habitats by restoring hydrologic function and associated coastal lagoon habitats.

The recommended plan leverages Engineering with Nature (EWN) principles to replace 6 undersized culverts that can accommodate the high water during natural lagoon closures. This update will improve tidal exchange, restore hydrologic process, improve estuary habitat, while reducing local road flooding and the need for premature manual breaching of the lagoon. The accompanying road raise would also improve access for underserved communities to the California State Park’s Palm Beach as well as owner/renter access to the Pajaro Dunes community during high water events. This project is considered by Santa Cruz County and local stakeholders to be the first step in lower watershed sea level adaptation and future estuary restoration efforts.

            TOTAL FUNDING

            TOTAL COST                                                                            $   18,905,000

            FEDERAL COST                                                                        $   12,196,500

            NON-FEDERAL COST                                                              $     6,708,500

            TOTAL FEDERAL COST THROUGH FY 2026                         $     1,310,000

            FY FEDERAL 2026 BUDGET                                                    $     120,000

            FEDERAL COST TO COMPLETE                                              $     10,600,000

FY 26 ACCOMPLISHMENTS

• Final Draft Report approved and FONSI signed
• Environmental compliance complete
• Initiation of the Design and Implementation Phase
• Project Management Plan for the Design and Implementation Phase
• Negotiation of cost sharing agreement for the Design and Implementation Phase

ISSUES AND OTHER INFORMATION

• ASA(CW) approval is necessary to leverage funds after the PPA is signed
• Federal funds are needed to complete the design and construction phases

CONGRESSIONAL INTEREST­

• 19^th District, Rep. Jimmy Panetta

POINT OF CONTACT

• Deputy for Project Management, Thomas R. Williams, 415-503-6560

Updated on 15 July 2026