Water Rights Protection Act

The bill would impose three core prohibitions on the Secretary of the Interior and the Secretary of Agriculture. First, neither agency could condition the issuance, renewal, amendment, or extension of any federal land use or occupancy agreement — including permits, leases, easements, and rights-of-way — on the transfer of any water right, in whole or in part, to the United States. Second, neither agency could require any water user, including federally recognized Indian tribes, to apply for a water right in the name of the United States as a condition of such an agreement. Third, neither agency could withhold or condition those agreements based on limiting the timing, quantity, or location of water use beyond what state law already requires, or on modifying state-established groundwater withdrawal terms and conservation measures. The bill would also require both agencies to coordinate with states and ensure their policies impose no greater restrictions than applicable state water law.

The bill includes several savings clauses that limit its scope: it would not interfere with existing Bureau of Reclamation contracts, the Endangered Species Act, existing federal reserved water rights or tribal treaty rights, relevant Federal Power Act authorities, or any interstate water compact.

Ranchers, farmers, ski resort operators, and other private parties who hold or seek federal permits, leases, easements, or rights-of-way on federal land administered by Interior or the USDA Forest Service. Federally recognized Indian tribes with water rights linked to federal land use agreements would also be protected. State governments, particularly in Western states, would gain a stronger legal footing against federal override of state water law.

Many federal land users in Western states have faced conditions on permits or leases that effectively required them to cede or subordinate state-recognized water rights to the federal government. If enacted, this bill would eliminate that leverage, giving permit holders stronger protection for existing water rights and giving states a clearer legal backstop to defend their own water allocation systems against federal restrictions.

Both agencies would need to review and revise any existing rules, policies, directives, and management plans governing land use and occupancy agreements to ensure compliance with the bill's prohibitions. Section 3 requires the agencies to coordinate with states during policy development and to verify that no federal action imposes greater restrictions than applicable state water law. No new rulemaking process is explicitly mandated, but the prohibition is self-executing — any permit condition that transfers or impairs a state water right would be unlawful upon enactment. There are no reporting requirements, grant cycles, or enforcement mechanisms specified beyond the direct statutory prohibition.