GROW SMART Act

Bill Number

S. 3737

Origin Chamber

Senate

Congress

119th Congress, Session 2

Policy Area

Water Resources Development

Status

Introduced

Latest Action

2026-03-17: Committee on Energy and Natural Resources Subcommittee on Water and Power. Hearings held.

Last Updated

2026-04-02T18:14:50Z

AI-Generated Summary

Purpose of the Legislation

The GROW SMART Act (S. 3737) aims to improve drought preparedness and response in water-scarce regions by amending the Reclamation States Emergency Drought Relief Act of 1991. It promotes innovative, voluntary partnerships between agricultural users and other water entities to share water resources efficiently, reduce agricultural water use, and support ongoing farm production without relying on long-term federal funding.

Key Provisions

• Assistance for Planning Projects: The Secretary of the Interior (through the Bureau of Reclamation) can provide technical and financial support to qualified applicants for planning voluntary projects that:
• Keep farmland in production while maintaining rural jobs and income.
• Offer benefits like affordable or shared water supplies and storage.
• Use non-federal funding for long-term implementation.
• Definition of Innovative Approaches: Projects must involve new or unproven methods in the area, such as:
• Voluntary agreements between farmers and other users (e.g., cities or industries) to share water, storage, or finances, reducing risks from shortages.
• Adoption of water-saving crops or practices, including hydroponics (soil-less growing), agrovoltaics (combining solar panels with farming), agroforestry (integrating trees with crops), advanced irrigation tech, regenerative farming (soil-building methods that cut water needs), or focusing production on less irrigated land for equal or better profits.
• Excludes widespread crop fallowing (leaving land idle during most of the growing season) or using common, high-water crops without innovation.
• Eligible Applicants:
• Primarily voluntary partnerships between agricultural groups (e.g., farms, irrigation districts) and partners like municipal water providers, industries (including data centers), states, or nonprofits.
• Allows solo applications from states, tribes, or agricultural entities for projects addressing severe water shortages (e.g., 40%+ reduction in supplies), with priority for those reversing groundwater decline or lake inflows.
• Tribal entities can fully participate without restrictions.
• Application Process: Kept simple—requires only a short description of the project and basic applicant info; no detailed reports needed.
• Prioritization Criteria: Funding favors projects that:
• Dedicate saved water to local communities (e.g., within water districts or tribes).
• Show high innovation in practices, partnerships, or water/income benefits.
• Demonstrate potential for success, long-term viability (e.g., 10+ year agreements), and no ongoing federal support needs.
• Cost-Sharing: Federal funding covers up to 75% of planning costs; waivable for tribal applicants.
• Funding Mechanism: Uses up to 10% of existing funds from the Omnibus Public Land Management Act of 2009, plus authorizes $5 million annually from fiscal years 2028 to 2034.

Significant Changes to Existing Law

• Adds a new section (201A) to Title II of the Reclamation States Emergency Drought Relief Act of 1991, expanding it beyond emergency drought relief to include proactive planning for innovative, voluntary water-sharing and efficiency projects.
• Shifts focus from reactive crisis aid to preventive strategies that emphasize partnerships, innovation, and sustainability, while explicitly prohibiting reliance on land fallowing or traditional high-water crops.
• Introduces streamlined applications and priority for severe drought impacts, differing from prior, more rigid federal water assistance programs.

Potential Impacts

• Government Agencies: The Bureau of Reclamation gains authority to fund and oversee more collaborative water projects, potentially increasing administrative workload but enhancing drought resilience in the 17 Reclamation States (western U.S. areas dependent on federal water projects). No direct international effects, as it targets domestic water management.
• Citizens and Communities: Farmers and rural areas could benefit from stable water access and income without idling land, while municipalities and industries gain reliable supplies. This may reduce water conflicts during droughts, supporting food security and economic stability in agriculture-heavy regions.
• Broader Effects: Encourages efficient water use amid climate change, potentially conserving resources for ecosystems and growing populations, but success depends on non-federal follow-through.

Main Stakeholders Affected

• Agricultural Entities: Farmers, irrigation districts, and rural communities, who gain tools to adapt to shortages while staying productive.
• Water Users and Providers: Municipalities, states, tribes, industries (e.g., data centers needing cooling water), and nonprofits, enabling shared benefits from conserved water.
• Federal and State Governments: The Department of the Interior administers funds; states and tribes access solo project support for critical needs.
• Conservation Groups: Nonprofits can partner to promote sustainable practices.

Notable Legal, Constitutional, or Political Implications

• Legal: Builds on existing federal water law (Reclamation Act framework) by authorizing flexible assistance without mandating participation, respecting state and local water rights. Emphasizes voluntary agreements to avoid legal challenges over property or takings.
• Constitutional: Aligns with federal authority over interstate waters and public lands; tribal waivers support sovereignty and treaty obligations. No apparent free speech or due process issues.
• Political: Promotes bipartisan goals of water security and innovation in drought-prone areas (e.g., California, Southwest), potentially fostering federal-state-tribal collaboration. Could influence future climate adaptation policies by incentivizing private-sector involvement over top-down regulation.

This summary was generated by AI and may contain inaccuracies. Refer to the official source document for the authoritative text.

Sponsor

Sen. Padilla, Alex [D-CA]

Recent Actions

• 2026-03-17: Committee on Energy and Natural Resources Subcommittee on Water and Power. Hearings held.
• 2026-01-29: Read twice and referred to the Committee on Energy and Natural Resources. (Sponsor introductory remarks on measure: CR S380)
• 2026-01-29: Introduced in Senate

Bill Versions

• Growing Resilient Operations from Water Saving and Municipal-Agricultural Reciprocally-beneficial Transactions Act — issued 2026-01-29 — PDF (11 pages)