The California Water Commission did not make a decision on fully funding the Temperance Flat Project after the second day of hearings on Wednesday.
Last month the commission tentatively awarded the project a fraction of the money needed to build the dam.
Commission staff recommended $177 million for the water storage project. However, backers of Temperance Flat are seeking $1 billion of state water bond funds. The two sides disagree on how much public benefit the project would provide.
The proposal calls for building a dam upstream from the existing Friant Dam above Millerton Lake. It would stand more than 600 feet high and have the capability to store more than one million acre-feet of water.
If commissioners don't vote to increase the project's "public benefit ratio" (the official measurement of how much the project would benefit the state), the $2.7 billion project is likely to be dead in the water.
Hearings are set to resume tomorrow.
California Water Commission ends second day of hearings without decision on Valley water project funding
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