1. Short title This Act may be cited as the Public Water Supply Invasive Species Compliance Act of 2023 . 2. Exemption of certain water transfers from the Lacey Act and the Lacey Act Amendments of 1981 (a) Definitions In this section: (1) Covered water transfer The term covered water transfer means a transfer of water containing a prohibited species between public water supplies located on, along, or across the State boundaries between any of the States of Texas, Arkansas, and Louisiana. (2) Prohibited species The term prohibited species means any species— (A) the shipment of which is otherwise prohibited by section 42 of title 18, United States Code (commonly known as the Lacey Act ); or (B) the transfer of which is otherwise prohibited by the Lacey Act Amendments of 1981 ( 16 U.S.C. 3371 et seq. ). (3) Public water supply The term public water supply means any body of water, including any river, lake, or stream, the water of which is available or made available to the public. (b) Exemption Section 42 of title 18, United States Code (commonly known as the Lacey Act ), and the Lacey Act Amendments of 1981 ( 16 U.S.C. 3371 et seq. ) shall not apply with respect to any covered water transfer, if— (1) (A) all prohibited species in the water transferred are located in both of the public water supplies between which the water is transferred; (B) the water is transferred directly between those public water supplies; and (C) the water is subject to effective mitigation measures that are reviewed and approved by the appropriate State agency of the State to which the water is being transferred, including— (i) chemically treating the water for suspected or known prohibited species; (ii) limiting transfers to certain times; (iii) withdrawing water only from certain depths; (iv) filtration; (v) enhanced monitoring; and (vi) other mitigation measures