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Beacon Economics

Economic and Community Impacts

of the San Gorgonio Pass Water Agency

Revealing how imported water has supported the region’s growth

Water Is More Than a Basic Resource—It Is Fundamental Economic Infrastructure

Beacon Economics’ analysis of the San Gorgonio Pass finds that the region could not have achieved its current scale or prosperity without imported and engineered water supplies. Today, water provided from outside the region and through built infrastructure supports roughly 33,400 residents, 10,800 households, 9,900 jobs, and $1.8 billion in personal income. And as the region’s population grows an estimated 57% by 2050, reliable imported water will become even more critical, ultimately supplying nearly half of regional demand. The area’s expansion underscores the importance of the San Gorgonio Pass Water Agency’s management and activities.

The study also puts a measurable value on water efficiency and reliability. The agency’s conservation improvements have already enabled the region to support substantially more economic activity with each acre-foot of water, while reliable supplies protect households and businesses from the costs and disruption of drought. Beacon Economics estimates that greater supply reliability could help residents avoid roughly $1.3 billion in drought-related surcharges over the next 50 years alone—a figure that does not capture the broader economic and quality-of-life benefits of a dependable water supply.

Key Highlights

Water Demand

The region cannot meet its own demand from local sources, and the shortfall grows over time.

Economic Impact

Each acre-foot of water delivered in the San Gorgonio Pass accompanies a measurable amount of economic and community activity.

Driving Water Efficiency

Efficiency improvements have reduced water demand by nearly as much as the region imports.

Expert Insights

Stafford Nichols

“The overall findings of this analysis demonstrate how strategic investments in water infrastructure, supply diversification, storage, and efficiency can underpin decades of regional growth and economic resilience.”

~ Stafford Nichols MBA, MPP, PhD(c), Research Manager, Beacon Economics

Stafford Nichols, Research Manager, Beacon Economics
Cover of the report Economic and Community Impacts of the San Gorgonio Pass Water Agency by Beacon Economics

Get the Full Report

Go beyond the highlights. The full report details how imported water has supported the San Gorgonio Pass’s growth, the economic value of the agency’s conservation efforts, and why reliable supplies will matter even more as the region grows through 2050.

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