California's heading into a third year of drought conditions, and that means more potential bad news for the state's economy.
Farmers told the State Board of Food and Agriculture yesterday/Wednesday just how bad things have gotten with scarce water supplies.
Many said they've had to change and limit crops. That has forced them to lay off workers.
Lester Snow is the Director of the Department of Water Resources. He's pushed for more water storage, but he says Californians must also conserve more.
Snow: It's a very serious situation and on top of the bad economic conditions, it just contributes to unemployment and we need to manage it. We need to have water transfers to be able to sell water to people and have exchanges between people but we need to have a much higher level of conservation.
Snow says in some areas of the state-conservation levels have only been around 5 to 8 percent. He says we need 20 percent or more.
He also says water rationing may be considered if that doesn't happen.
