SUMMARY OF MAJOR PROVISIONS As amended, S. 14 addresses several major issues related to the recla- mation program and in some instances would mandate significant departures from past or present practice. Major issues and related provisions of the bill are briefly described as follows: ELIGIBILITY Section 2 establishes that a recipient of water for irrigable land (or "qualified recipient") would be an individual along with his depend- ents or a small corporation benefiting 25 individuals or less. A "limited recipient" would be any legal entity benefiting more than 25 individuals. ACREAGE LIMITATION Section 3 raises the basic acreage limitation from 160 acres to 1,280 acres for a qualified recipient. Section 2 provides that leased as well as owned land will be included in arriving at the total acreage subject to the acreage limitation, and that the total acreage of a qualified or lim- ited recipient will be so limited regardless of whether or not the lands may be located on different projects. LEASING Section 7 defines the acreage limitation application to the leasing of lands served with water by a Federal reclamation project. RESIDENCY Section 5 of the bill would repeal the residency requirement of Reclamation Law. SALES OF EXCESS LANDS Section 10 provides for the use of a lottery or other impartial means for sale of excess lands for which power of attorney has vested in the Secretary at the expiration of a recordable contract. PAYOUT Section 6 of the bill provides that the acreage limitation would cease to apply upon repayment of the construction costs owed to the Federal Government by water users on a Reclamation project. SPECIAL EXEMPTIONS Section 8 of the bill provides that religious or charitable organiza- tions, Corps of Engineers projects, and the Imperial Irrigation Dis- trict in California, are exempt from the acreage limitation of Federal Reclamation Law. BACKGROUND AND NEED The basic Federal Reclamation Law was enacted in 1902 (32 Stat. 38'8). It has been frequently amended and updated since, and the body