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Water sent to Calif. drought areas by tunnel

SACRAMENTO, Calif. -- California farmers would pay more to irrigate their crops under a proposal to build tunnels under the San Joaquin-Sacramento River Delta to funnel water to the state's agricultural breadbasket, officials say.

SACRAMENTO, Calif. -- California farmers would pay more to irrigate their crops under a proposal to build tunnels under the San Joaquin-Sacramento River Delta to funnel water to the state's agricultural breadbasket, officials say.

The analysis released by state Treasurer Bill Lockyer says regional water suppliers and the farmers who purchase water from them would be able to handle the increased costs, even though the price of water could more than double once the price of paying for the project is included.

Environmentalists have strongly opposed the project, saying it would endanger fish and wildlife in the already fragile Delta, which supplies water to 25 million people, along with farms in the San Joaquin Valley and other parts of the state.

The project, now expected to cost $19 billion, is backed by Democratic Gov. Jerry Brown as well as Republicans who represent the agricultural region, which has suffered from the state's ongoing drought.

But Democrats have tried to block the project, citing cost and environmental concerns.

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Bond sales

Water agencies would sell bonds to pay for the tunnels and likely pass the cost of the debt on to customers. The state would fund an additional $7.8 billion, also through the sale of bonds, for environmental restoration in the Delta.

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