1/ The Lower Colorado River Basin crossed an unprecedented water shortage threshold that will require mandatory water cuts. The Bureau of Reclamation declared a “Tier 2” water shortage, which will reduce the amount of water that Arizona, Nevada, and Mexico can draw from the Colorado River starting in 2023 by 21%, 8%, and 7%, respectively. It’s the second year in a row that Arizona, Nevada, and Mexico will face water cuts and the bureau called for water conservation measures through 2026 in all seven states in the Colorado River Basin. The historic drought has drained about three-quarters of the water from lakes Powell and Mead, threatening their ability to generate hydropower. (Washington Post / CNN / Wall Street Journal / Bloomberg / Associated Press)

2/ Biden signed the Democrats’ landmark climate change, health care, and tax bill into law. The Inflation Reduction Act will invest $370 billion into combating climate change and bolstering low-emission forms of energy, while raising about $700 billion through corporate tax increases, prescription drug savings, and stepped up tax evasion enforcement. “This bill is the biggest step forward on climate, ever,” Biden said. The bill, which represents America’s largest investment in fighting climate change, will help the U.S. cut greenhouse gas emissions by an estimated 40% below 2005 levels by 2030. The package, however, falls far short of the $3.5 trillion package Biden initially laid out, with safety net items stripped out by Joe Manchin and tax increases blocked by Kyrsten Sinema. At one point during the signing ceremony, Biden glanced at Joe Manchin and quipped: “Joe, I never had a doubt.” (New York Times / Washington Post / Bloomberg / Wall Street Journal / NBC News / CNN / ABC News / Associated Press)

3/ The Biden administration will cancel all remaining federal student loan debt for 208,000 students who attended the now-defunct for-profit ITT Technical Institute. The $3.9 billion in relief brings the total amount of loan discharges approved under Biden to nearly $32 billion. The Education Department found that ITT Tech engaged in widespread and pervasive misrepresentations, recruitment tactics, lending practices, and job placement figures. (CNN /