A bill to reduce speculation in excess lands purchased under the Federal reclamation laws by imposing additional restrictions on sales and resales of such excess lands originally sold to qualify for water rights under such laws.

Imposes additional restrictions on the extension of water rights under the Federal reclamation laws to excess lands sold or resold within ten years of the original sale in order to qualify the owner for water rights under such laws. Penalizes owners who fail to execute valid contracts in conforming with this Act by denying water rights to the lands of such owners.

Requires the amendment of specified contracts made with irrigation districts providing for the delivery of water in order to conform to this Act.