Feds to Review if Funds Mishandled for California Tunnels

The federal government will investigate allegations that the state and the U.S. Bureau of Reclamation improperly used federal funds for a $15.7 billion tunnel project that would bring water from Northern to Southern California.

The inspector general of the U.S. Interior Department will look into accusations that California took $60 million meant for fish habitat to spend on preliminary work for Gov. Jerry Brown’s project and otherwise mishandled federal funds.