The money is intended to help farmers, farm workers and rural communities.
Mr. Obama held a roundtable in Firebaugh, about 45 minutes west of Fresno. Valley Public Radio's Rebecca Plevin spoke with a fourth-generation farmer there today and says money isn't enough.
"They don’t need financial aid right now; what they need is water. And he says that in the short term, they need to start pumping water from the Delta; and in the long term, they really need more water storage," reports Plevin.
The President is also visiting a farm in Los Banos this afternoon.
Joining him on the trip are California Governor Jerry Brown, U.S. Senators Dianne Feinstein and Barbara Boxer and Congressman Jim Costa.
CapRadio's Drought Coverage
January brought above-average rainfall and snow to much of California, partly due to El Niño. But forecasters say the ocean warming condition is "taking a break" for the next week or longer.
The U.S. Drought Monitor says, other than a slight reduction in exceptional drought in the northern Sierra, it needs more time to assess impacts of the recent moisture on California's long-term drought.
California regulators have made modest adjustments to water conservation requirements for cities.
The second measurement this winter of snowpack in the Sierra Nevada was 130 percent of average. State water officials say the snowpack will help reservoir recovery.
California's water conservation rate dropped to 18 percent in December. But water regulators say the state continues to meet its long term goals.