‘‘(I) the parcels of land on which 
the Tohlakai Pumping Plant, Reach 
12A and Reach 12B, are located, in-
cluding, in McKinley County, New 
Mexico— 
‘‘(aa) sec. 5, T. 16 N., R. 18 
W., New Mexico Prime Meridian; 
and 
‘‘(bb) sec. 33, T. 17 N., R. 
17 W., New Mexico Prime Merid-
ian (except lot 9 and the NW1⁄4 
of lot 4); 
‘‘(II) the parcel of land on which 
Reach 12.1 is located, including— 
‘‘(aa) NW1⁄4 and SW1⁄4 sec. 
5, T. 16 N., R. 18 W.; 
‘‘(bb) N1⁄2 sec. 11, T. 16 N., 
R. 19 W.; and 
‘‘(cc) sec. 12, T. 16 N., R. 
20 W.; and 
‘‘(III) the parcel of land on which 
Reach 12.2 is located, including 
NW1⁄4. sec. 2, T. 16 N., R. 21 W. 
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‘‘(ii) Public domain land managed by 
the Bureau of Land Management, includ-
ing— 
‘‘(I) the parcel of land on which 
the Cutter Lateral Water Treatment 
Plant is located, including S1⁄2 sec. 9, 
T. 25 N., R. 9 W., New Mexico Prime 
Meridian; and 
‘‘(II) the parcel of land on which 
the Navajo Agricultural Products In-
dustry turnout is located, including 
NW1⁄4 and NE1⁄4 sec. 34, T. 26 N., 
R. 9 W., New Mexico Prime Meridian. 
‘‘(iii) The land underlying the San 
Juan Generating Station (the coal-fired, 4- 
unit electric power plant and ancillary fea-
tures located by the San Juan Mine near 
Waterflow, New Mexico) acquired by the 
United States, as described in subsection 
(b)(1). 
‘‘(B) PART OF NAVAJO NATION.—The land 
taken into trust under subparagraph (A) shall 
be part of the Navajo Reservation and adminis-
tered in accordance with the laws and regula-
tions generally applicable to land held in trust 
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by the United States for the benefit of an In-
dian Tribe. 
‘‘(C) RESTRICTIONS.— 
‘‘(i) FEE LAND OF THE NATION.—The 
fee land of the Nation taken into trust 
under subparagraph (A)(i) shall be subject 
to valid existing rights, contracts, and 
management agreements, including ease-
ments and rights-of-way, unless the holder 
of the right, contract, lease, permit, or 
right-of-way requests an earlier termi-
nation in accordance with existing law. 
‘‘(ii) PUBLIC DOMAIN LAND.— 
‘‘(I) IN
GENERAL.—The public 
domain land managed by the Bureau 
of Land Management taken into trust 
under subparagraph (A)(ii) shall be 
subject to valid existing rights, con-
tracts, leases, permits, and rights-of- 
way, unless the holder of the right, 
contract, lease, permit, or right-of-way 
requests an earlier termination in ac-
cordance with existing law. 
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‘‘(II) BIA ASSUMPTION OF BENE-
FITS AND OBLIGATIONS.—The Bureau 
of Indian Affairs shall— 
‘‘(aa) assume all benefits 
and obligations of the previous 
land management agency under 
the existing rights, contracts, 
leases, permits, or rights-of-way 
described in subclause (I); and 
‘‘(bb) disburse to the Nation 
any amounts that accrue to the 
United States from those rights, 
contracts, leases, permits, or 
rights-of-ways after the date on 
which the land described in 
clause (ii) of subparagraph (A) is 
taken into trust for the benefit of 
the Nation from any sale, bonus, 
royalty, or rental relating to that 
land in the same manner as 
amounts received from other land 
held by the Secretary in trust for 
the Nation. 
‘‘(iii) LAND
UNDERLYING
THE
SAN 
JUAN GENERATING STATION.— 
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‘‘(I) IN GENERAL.—The land un-
derlying the San Juan Generating 
Station (the coal-fired, 4-unit electric 
power plant and ancillary features lo-
cated by the San Juan Mine near Wa-
terflow, New Mexico) taken into trust 
under subparagraph (A)(iii) shall be 
subject to a perpetual easement on 
and over all of the land underlying the 
San Juan Generating Station reserved 
to the United States for use by the 
Bureau of Reclamation and its con-
tractors and assigns— 
‘‘(aa) for ingress and egress; 
‘‘(bb) to continue construc-
tion of the Project; and 
‘‘(cc) 
for 
operation 
and 
maintenance of Project facilities 
located on that land. 
‘‘(II) 
RESERVED
PERPETUAL 
EASEMENT.—The reserved perpetual 
easement described in subclause (I) 
shall remain vested in the United 
States unless title to the Project fa-
cilities and appropriate interests in 
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land are conveyed pursuant to sub-
section (f). 
‘‘(D) SAVINGS CLAUSE.—Nothing in this 
paragraph affects any— 
‘‘(i) water right of the Nation in exist-
ence on the day before the date of enact-
ment of the Navajo-Gallup Water Supply 
Project Amendments Act of 2023; and 
‘‘(ii) right or claim of the Nation to 
any land or interest in land in existence on 
the day before the date of enactment of the 
Navajo-Gallup 
Water 
Supply 
Project 
Amendments Act of 2023.’’; 
(4) in subsection (d)(1)(D), by striking ‘‘Draft’’ 
and inserting ‘‘Final Environmental’’; 
(5) in subsection (e)— 
(A) by striking ‘‘The Secretary’’ and in-
serting the following: 
‘‘(1) IN GENERAL.—The Secretary’’; and 
(B) by adding at the end the following: 
‘‘(2) 
RENEWABLE
ENERGY
AND
HYDRO-
ELECTRIC POWER.— 
‘‘(A) RENEWABLE ENERGY.—For any por-
tion of the Project that does not have access to 
Colorado River Storage Project power, the Sec-
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retary may use not more than $6,250,000 of 
the amounts made available under section 
10609(a)(1) to develop renewable energy. 
‘‘(B) HYDROELECTRIC POWER.—Notwith-
standing whether a Project facility has access 
to Colorado River Storage Project power, the 
Secretary may use not more than $1,250,000 of 
the $6,250,000 authorized to be used to develop 
renewable energy under subparagraph (A) to 
develop hydroelectric power for any Project fa-
cility that can use hydraulic head to produce 
electricity.’’; 
(6) in subsection (h)(1), in the matter pre-
ceding subparagraph (A), by inserting ‘‘, store,’’ 
after ‘‘treat’’; and 
(7) by adding at the end the following: 
‘‘(i) DEFERRED CONSTRUCTION OF PROJECT FA-
CILITIES.— 
‘‘(1) DEFERRED
CONSTRUCTION
OF
PROJECT 
FACILITIES.—On mutual agreement between the Na-
tion and the Secretary, and the Jicarilla Apache Na-
tion if the deferred Project facilities benefit the 
Jicarilla Apache Nation, construction of selected 
Project facilities may be deferred to save operation 
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and maintenance expenses associated with that con-
struction. 
‘‘(2) DEFERRED CONSTRUCTION FUND.— 
‘‘(A) ESTABLISHMENT.—There is estab-
lished in the Treasury a fund, to be known as 
the ‘Navajo Nation’s Navajo-Gallup Water Sup-
ply Project Deferred Construction Fund’, to 
consist of— 
‘‘(i) amounts that correspond to por-
tions of the Project that have been de-
ferred under paragraph (1); and 
‘‘(ii) any interest or other gains on 
amounts referred to in clause (i). 
‘‘(B) USE OF THE DEFERRED CONSTRUC-
TION FUND.—The Nation may use amounts in 
the Deferred Construction Fund— 
‘‘(i) to construct Project facilities that 
have been deferred under paragraph (1); 
or 
‘‘(ii) to construct alternate facilities 
agreed on under subparagraph (C). 
‘‘(C) ALTERNATE FACILITIES CONSISTENT 
WITH
THE
PURPOSE
OF
THE
PROJECT.—On 
agreement between the Nation and the Sec-
retary, and the Jicarilla Apache Nation if the 
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deferred Project facilities benefit the Jicarilla 
Apache Nation, and in compliance with all ap-
plicable environmental and cultural resource 
protection laws, facilities other than those pre-
viously agreed to be deferred under paragraph 
(1) may be constructed if those alternate facili-
ties are consistent with the purposes of the 
Project described in section 10601. 
‘‘(3) AMOUNTS TO BE DEPOSITED.—Funds allo-
cated from the amounts made available under sec-
tion 10609(a)(1) to build facilities referred to in 
paragraph (1) shall be deposited into the Deferred 
Construction Fund. 
‘‘(4) ADJUSTMENTS.—On deposit of amounts 
into the Deferred Construction Fund under para-
graph (3), the adjustments to authorized appropria-
tions under section 10609(a)(2) shall no longer 
apply to those amounts. 
‘‘(5) DEADLINE TO CONSTRUCT PROJECT FA-
CILITIES.—On deposit of all amounts into the De-
ferred Construction Fund for construction of Project 
facilities agreed on under paragraph (1), the Sec-
retary shall be deemed to have met the obligation 
under section 10701(e)(1)(A)(ix). 
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‘‘(6) FUTURE CONSTRUCTION OF PROJECT FA-
CILITIES.—On agreement between the Nation and 
the Secretary, and the Jicarilla Apache Nation if the 
deferred Project facilities benefit the Jicarilla 
Apache Nation, the Nation shall use amounts depos-
ited into the Deferred Construction Fund to con-
struct— 
‘‘(A) Project facilities deferred under para-
graph (1); or 
‘‘(B) alternate Project facilities described 
in paragraph (2)(C).’’. 
(b) DELIVERY AND USE OF NAVAJO-GALLUP WATER 
SUPPLY PROJECT WATER.—Section 10603 of the North-
western New Mexico Rural Water Projects Act (Public 
Law 111–11; 123 Stat. 1382) is amended— 
(1) in subsection (a)(3)(B)— 
(A) in clause (i), by inserting ‘‘or, if gen-
erated on City-owned facilities, by the City’’ 
after ‘‘the Nation’’; and 
(B) in clause (ii), by inserting ‘‘, except 
that the City shall retain all revenue from the 
sale of hydroelectric power that is generated on 
City-owned 
facilities’’ 
after 
‘‘hydroelectric 
power’’; and 
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(2) in subsection (g)(2), by striking ‘‘, except as 
provided in section 10604(f)’’. 
(c) PROJECT CONTRACTS.—Section 10604 of the 
Northwestern New Mexico Rural Water Projects Act 
(Public Law 111–11; 123 Stat. 1388) is amended— 
(1) in subsection (a)(4), by striking ‘‘Subject to 
subsection (f), the’’ and inserting ‘‘The’’; 
(2) in subsection (b)(3)— 
(A) in subparagraph (A), by striking ‘‘sub-
paragraph (B)’’ and inserting ‘‘subparagraphs 
(B) and (C)’’; 
(B) in subparagraph (B)— 
(i) in the subparagraph heading, by 
striking ‘‘MINIMUM PERCENTAGE’’ and in-
serting ‘‘MAXIMUM PERCENTAGE’’; 
(ii) by striking ‘‘at least 25 percent’’ 
and inserting ‘‘not more than 25 percent’’; 
and 
(iii) by striking ‘‘, but shall in no 
event exceed 35 percent’’; and 
(C) by adding at the end the following: 
‘‘(C) 
MAXIMUM
REPAYMENT
OBLIGA-
TION.—The repayment obligation of the City 
referred to in subparagraphs (A) and (B) shall 
not exceed $76,000,000.’’; 
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(3) in subsection (c)(1)(B), by inserting ‘‘sub-
section (f) and’’ before ‘‘section 10603(g)’’; 
(4) in subsection (d)(1), by striking ‘‘Draft’’ 
and inserting ‘‘Final Environmental’’; 
(5) in subsection (e), by striking ‘‘Draft’’ and 
inserting ‘‘Final Environmental’’; 
(6) by striking subsection (f); and 
(7) by redesignating subsection (g) as sub-
section (f). 
(d) AUTHORIZATION OF APPROPRIATIONS.—Section 
10609 of the Northwestern New Mexico Rural Water 
Projects Act (Public Law 111–11; 123 Stat. 1395; 129 
Stat. 528) is amended— 
(1) in subsection (a)— 
(A) 
in 
paragraph 
(1), 
by 
striking 
‘‘$870,000,000 for the period of fiscal years 
2009 
through 
2024’’ 
and 
inserting 
‘‘$2,175,000,000 for the period of fiscal years 
2009 through 2029’’; 
(B) by striking paragraph (2) and insert-
ing the following: 
‘‘(2) ADJUSTMENTS.— 
‘‘(A) IN
GENERAL.—The amount under 
paragraph (1) shall be adjusted by such 
amounts as may be required— 
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