White House launches water cybersecurity pilot in Texas
Texas Governor Greg Abbott gives a thumbs up to supporters before ringing the closing bell to celebrate the grand opening of NYSE Texas on August 27, 2026 in Dallas, Texas. Ron Jenkins/Getty Images
Project Watershed 250 will stress-test utilities over six months and could serve as a model for protecting water providers nationwide.
The Trump administration is formally launching a new water sector cybersecurity program Monday in San Antonio that will bring together the Office of the National Cyber Director, Texas Cyber Command, the office of Texas Gov. Greg Abbott and private industry partners, according to two people familiar with the efforts.
The people spoke on the condition of anonymity because they were not authorized to discuss the plans.
The initiative, dubbed Project Watershed 250, will use Texas as the testing ground for a six-month pilot aimed at finding vulnerabilities in water systems and helping utilities address them with private sector cybersecurity and artificial intelligence tools. The administration ultimately plans to expand the model nationwide.
Fox News first disclosed the program’s details Monday after receiving advance materials from the Trump administration and participating companies. The rollout follows Politico and Nextgov/FCW reporting on the plans last week.
“President Trump has cemented America’s leadership in AI security and innovation and is now bringing those exquisite tools to local communities and utilities in Texas and ultimately, across the nation,” National Cyber Director Sean Cairncross said in a statement to Fox.
The EPA and the Cybersecurity and Infrastructure Security Agency will serve as federal partners for the program. Firms including Microsoft, Reflection AI, Palo Alto Networks and industrial cybersecurity company Dragos will participate alongside ONCD and Texas Cyber Command. The utilities will receive the assistance at no cost, according to Abbott’s office.
The program was already under development before recent cyberattacks that officials suspect may be tied to Iran targeted community water systems in Minnesota and several other states. State officials have said affected water systems continued operating safely and experienced no known effects on public health. The FBI and CISA have been assisting with the response.
Water providers are widely considered among the country’s most vulnerable critical infrastructure sectors because many have limited cybersecurity personnel, funding and technical expertise. Current and former officials have also warned that poorly secured remote-access systems can give hackers a pathway into the equipment used to manage water treatment and distribution.
Texas Cyber Command, headquartered in San Antonio, was created last year with $135 million in state funding to protect state and local government systems and coordinate responses to cyberattacks. The organization is led by retired Navy Vice Adm. TJ White, a former commander of U.S. Fleet Cyber Command and the Cyber National Mission Force.