H.R. 7078 amends federal law governing how Colorado River water is distributed among Arizona, California, and Nevada during times of shortage. Currently, water reductions follow a complex system that can favor certain water rights holders; this bill would instead require all three states to reduce their water use proportionally based on their baseline water allocations whenever the Secretary of the Interior determines the river has insufficient water. This change would apply to the Central Arizona Project, which supplies water to Arizona communities and agricultural users. The bill aims to create a more equitable and predictable system for managing Colorado River shortages, though it does not specify funding amounts or implementation timelines. The legislation was introduced in January 2026 and referred to the House Committee on Natural Resources.