If the California drought continues another two to three years, the state will face increasingly acute challenges in two areas: water supply in some low-income rural communities, where wells are running dry; and ecosystems, where the state’s iconic biodiversity is under severe threat and wildfire risk is growing to new extremes. Farmers have been hit hard, but are adapting. The state’s cities and suburbs are in the best shape to withstand more years of drought, thanks to investments in diversified water supplies and improved demand-management.