Skagit PUD's Board of Commissioners has authorized an interlocal agreement with the Washington State Department of Fish and Wildlife (WDFW) to temporarily transfer a portion of the PUD's surplus water rights to support an environmental restoration project in the Skagit River delta.

The agreement supports WDFW's Island Unit Restoration Project, which aims to restore critical estuary habitat in the South Fork of the Skagit River, southwest of Conway. The remote, boat-access-only site has no existing water service, and WDFW needs a temporary water supply for dust control during construction and to establish restoration plantings.

Under the agreement, WDFW anticipates diverting water from the Skagit River between April 1 and October 1 each season in 2026, 2027, and 2028. PUD reviewed its operational data to confirm the transfer will not affect service to existing customers, and the Swinomish Indian Tribal Community provided written confirmation of its agreement with the proposed transfer.

"Ecology has requested this, the tribe is supporting it, and it's temporary in nature. It doesn't affect our other programs," General Manager George Sidhu said. 

WDFW will pay an annual water transfer fee of $5,510 for the 2026 season, increasing 5% each subsequent year. The fee covers administrative costs, metering equipment, and data management.