A bill to exempt water conveyance systems from fees and conditions under the Federal Land Policy and Management Act of 1976, and for other purposes.

Amends the Federal Land Policy and Management Act of 1976 to grant rights-of-way which traverse public lands within the national forest system for certain water usages.

Identifies right-of-way grants to be subject to Federal fees. Exempts from fees all grants issued before October 21, 1976.

Prescribes recordation requirements for right-of-way grants. Requires re-recording every 30 years, upon notice by the Federal Government.

Authorizes the Federal Government to charge a maximum annual fee of $100 for rights-of-way granted after October 1976.

Requires holders of right-of-way grants to indemnify the United States for damages caused by the holders' negligent use or occupancy of the granted right-of-way.

Empowers the Secretary of the Interior to incur repair and maintenance costs caused by a holder's refusal to perform necessary repairs, and to assess such holder for such costs.