I won't add much new, just confirm what's been said. Metallic lead is quite insoluble, as Mtskibum says, and resists oxidation. It probably oxidizes to a small degree, though, because of the white salt coating one often finds on it (I'm guessing some combination of lead oxides and lead carbonate). Now, whether all the lead left behind from fishermen actually has a measurable effect on stream ecology beyond natural levels, I don't know. But I wouldn't want to be drinking water, as Falsifly states, that has been in prolonged contact with lead. As with most things, its the dose that would determine how deleterious it was. But heavy metals have a way of concentrating as they progress through the food chain, and that's probably reason enough to avoid using it on the stream.
It would be interesting to hear some stream ecologists comment on this. Now that I think of it, I have some stream analysis data from the acid runoff into Buffalo Run from the I-99 construction debacle. If I think of it I'll check to see what kind of lead numbers they were getting both before and after exposing the stream to tremendous mineral levels.
-Shawn
P.S. I don't know how other people use the term, but I use the term rusting in a very general sense with my students, using it interchangeably with the term oxidizing. I want them to realize that the most commonly mentioned oxidization reaction (the rusting of iron) is fundamentally identical to thousands of other reactions - there's nothing special about it chemically speaking. If they leave my class knowing that "all metals can rust if they lose electrons," then I'm happy.
P.P.S. And shame on you, Louis, for making us chemistry types work while we're trying to surf a fishing website. I would requite by posting an essay on Chaucer for you to critique, but I don't think I could do that to myself.