Headwaters Protection Act of 2025

This bill renews and strengthens a program that protects the rivers, streams, and forests that supply our drinking water. It expands who can partner with the Forest Service on watershed projects to include groups like acequia associations, stormwater and wastewater utilities, land-grant communities (mercedes), and private water delivery entities . Projects can also happen on nearby non-federal lands in the same watershed, but only if the landowner agrees; these projects do not change who owns or manages that land beyond the work itself . The program will give priority to projects that reduce risks from drought, wildfire, floods, and extreme weather; support fish and stream restoration; help disadvantaged communities; use nature-based solutions like wetland and stream repair; and improve water supply, water quality, and climate and fire resilience .

The plan-making must use the best science and protect ecological integrity. Existing watershed plans can be reused to cut red tape. Non-federal partners are encouraged to help lead planning and on-the-ground work, and partnerships can include Good Neighbor Agreements with states and others . Funding is set at $30 million per year with at least 10% reserved to help partners join planning and build capacity, and the non-federal cost share is set at a minimum of 20%, with a possible waiver in some cases . A related watershed program is also authorized at $30 million per year and must ensure activities do not harm watershed health or lower watershed ratings in national forests . The bill does not change state or federal water law, water compacts, or treaties, and it does not allow the federal government to take or control non-federal land .

• Who is affected: Communities that rely on forest headwaters; local water providers; landowners near national forests; partners like acequia associations and stormwater/wastewater utilities .
• What changes: More eligible partners; clearer rules for work on nearby non-federal lands; priorities for risk reduction and nature-based solutions; partner leadership and use of existing plans; cost-share set at 20% with waiver option .
• Funding: $30 million per year for watershed source protection (with a 10% set-aside for partner participation) and $30 million per year for the watershed condition framework .
• When: Funding authorizations run through the second half of the 2020s and into the early 2030s for the water source program; the watershed framework authorization runs through 2029 .
• Safeguards: No changes to water laws or land ownership/management beyond specific project work; plans must use best science and protect ecological integrity .