The Watershed Results Act authorizes the Secretary of the Interior to establish up to five pilot watershed restoration projects in western U.S. states and territories, focusing on achieving measurable environmental outcomes like increased water availability, improved aquatic habitats, and better water quality. The bill allows the Interior Department to partner with states, tribes, water districts, and nonprofit organizations to conduct detailed analyses of conservation projects, then pay these partners based on verified results rather than upfront spending—a "pay-for-performance" approach designed to maximize environmental benefits for the lowest cost. Partnership agreements can last up to five years with possible extensions, and the federal government can cover up to 75 percent of project costs while requiring partners to contribute the remaining funds or secure additional financing. The bill authorizes $17 million annually from 2026 through 2031 and requires the Interior Department to provide Congress with annual briefings on project progress and a comprehensive report by the fifth year assessing whether these pilot programs should be continued or made permanent.
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