Urban Canal Modernization Act

S 2160, the Urban Canal Modernization Act, requires the U.S. Secretary of the Interior to fund 35% of extraordinary maintenance costs for high-risk urban canals. It directly affects canals classified as "urban canals of concern," defined as those where failure could endanger over 100 people or cause more than $5 million in property damage, or are officially designated as urban by the Bureau of Reclamation. The bill mandates federal funding for necessary maintenance work on these canals, with the remaining costs to be repaid by the canal operators. This policy change establishes a formal funding mechanism for critical infrastructure safety without altering existing cost-sharing rules for federal grants.