This bill, titled the "Navajo Nation Rio San Jose Stream System Water Rights Settlement Act of 2025," aims to achieve a fair, equitable, and final settlement of all water rights claims for the Navajo Nation and the United States, acting as trustee, in the Rio San Jose Stream System adjudication in New Mexico. It specifically authorizes, ratifies, and confirms a multi-party agreement, directing the Secretary of the Interior to execute it and take necessary actions for its implementation. The Act also authorizes the necessary funds to carry out the agreement and its provisions. A key provision is the establishment of the Navajo Nation Rio San Jose Settlement Trust Fund , which will include a Water Rights Settlement Account and an Operations and Maintenance Account. The bill mandates appropriations of over $200 million for these accounts, with adjustments for cost fluctuations, and requires a $3 million contribution from the State of New Mexico. These funds are designated for purposes such as acquiring water rights, planning and constructing water infrastructure, and managing the Nation's water rights. The bill defines the Navajo Nation's Water Rights as those identified in the agreement and confirmed in a Navajo Partial Final Judgment and Decree, to be held in trust by the United States. These rights are protected from loss due to non-use, forfeiture, or abandonment. The Navajo Nation is granted authority to allocate, distribute, and lease these water rights on and off Navajo Lands, subject to federal approval for off-land use. In exchange for these recognized water rights and benefits, the Navajo Nation and the United States (as trustee) will execute waivers and releases of past claims for water rights and damages within the Rio San Jose Stream System. However, certain rights are retained, including the enforcement of recognized water rights, claims related to water quality, and claims in other river basins. The Act explicitly states that it does not quantify or diminish the water rights of individual Allottees , whose claims will be adjudicated separately. The legislation sets an Enforceability Date , contingent upon several conditions, including the full appropriation of federal funds, the State's contributions, court approval of the settlement, and the execution of all waivers. If these conditions are not met by July 1, 2030, the Act will expire, rendering waivers void and requiring the return of federal funds. Additionally, the bill authorizes the Navajo Nation to expand the service area of the Navajo-Gallup Water Supply Project to deliver water to communities within the Rio San Jose Basin.