What should happen instead, as California’s budget crisis puts projects on hold all over the state (a list that will grow longer as tax receipts drop during the downturn) is simple and doesn’t require green jobs or stimulus payments.

Raise the price of water to reduce demand to levels equal to the ever-dwindling supply. The extra revenue can be used to fund system upgrades, keep charges for water misers low, etc.

Thomas Friedman says much the same thing about gas/carbon taxes. Hear hear!

Bottom Line: Raise prices to stretch our water supply — and use the extra revenue for (public-benefit) goodies!

hattip to JWT