Florida facing possible shortage of freshwater supplies by early next year

The Sunshine State could be facing a significant water shortage as early as next year, according to a report from the Florida Office of Economic and Demographic Research.

According to the EDR report which was published in June - to maintain the status quo, Florida would need to invest almost $1.7 billion into critical infrastructure projects through 2040, to avoid a significant water supply shortage.

The report notes that EDR examined projects that implemented recovery and prevention strategies for minimum flows and water levels of water bodies and aquifers and projects that benefit natural systems.

EDR found that the expenditures for these projects — which exclude Everglades conservation and restoration costs — are estimated to be around $1.58 billion, with a state share of $234.77 million. According to the report, addressing supply shortages and natural systems would need an investment of $3.27 billion between 2020 and 2040, with a state share of $561 million.

Florida TaxWatch released commentary on EDR’s report, stating Florida is "disjointed and inconsistent" with its selection process for funding water projects. The commentary also points out the 281 water-related member projects identified as budget "turkeys" which totaled $410.3 million in the fiscal year 2024-25 General Appropriations Act.

"These 281 member projects did not go through one of the proper channels to receive funding. This circumvention of the budgeting process shows the need for a more comprehensive planning process to address these selection and funding issues," the report states.

Another concern is Florida's rapidly growing population, which is forecast to reach over 26 million residents by 2040, putting further strain on the water supply. Florida TaxWatch President and CEO Dominic M. Calabro said the Legislature should implement a five-year program to address the growing demand.

"While Florida TaxWatch commends the Legislature for their recent efforts to create a dedicated funding source for water projects, Florida will not be able to sustain the continued level of growth it has seen over the recent years without dramatically improving how it selects and funds water projects.

"We must implement a Five-Year Water Project Work Program, similar to the Florida Department of Transportation Five-Year Work Program to meet these growing demands," Calabro said.

Florida TaxWatch further stated Florida will not be able to sustain the level of growth it has seen unless these issues are addressed.