This bill updates a 2010 water rights agreement between the Taos Pueblo tribe and the federal government to help them better manage and develop water resources in New Mexico. The core change is creating three separate trust funds (money accounts) instead of one, so the Taos Pueblo can more easily track and use money for different water projects.

The bill provides $367 million in federal funding for water infrastructure. Of this, $190 million goes toward groundwater development (like drilling wells and building treatment systems), $16 million supports surface water sharing equipment and monitoring, and $161 million funds joint projects that benefit both the Pueblo and neighboring communities. These funds can be used to build, repair, and operate water systems that help the Pueblo access and manage its water rights.

The bill also creates a "Mitigation Well System" to offset impacts on local streams when the Pueblo uses groundwater. If communities that were supposed to build parts of this system don't meet deadlines, the federal government can redirect funding to other entities or build alternative systems instead. The Pueblo gets flexibility in how it develops its water resources, and the funding amounts can be adjusted for inflation and unexpected construction cost changes over the next 10 years. Essentially, this bill gives the Taos Pueblo better tools and more money to implement a decades-old water rights settlement.