Based on this review, it is estimated that no additional cost will be incurred by the federal government as a result of enactment of this bill. Under existing federal reclamation law, individual holdings of land eligible for irrigation water are limited to 160 acres, and lands in ex- cess of the limit must be disposed of by landholders within a suitable period of time. Although the limitation has not been aggressively en- forced by the Bureau of Reclamation, the majority of landholders are in compliance with the law. S. 14 would increase the acreage limitation to 1,280 acres and would apply the limitation to leaseholders not spe- cifically covered under current laws. The cost of enforcing the limit specified in the bill is not expected to exceed the cost of enforcing the proposed regulations implementing current law, which were published on August 25, 1977 by the Depart- ment of the Interior. These regulations reflect the Bureau of Reclama- tion's intention to enforce strictly existing law regarding acreage lim- itations and excess lands. If the Congress does not enact this or a simi- lar bill, the proposed regulations are expected to go into effect by fiscal year 1982, after the environmental impact statement on the pro- posed change in regulations is completed. Such a statement is neces- sary for any rule change that might be promulgated, including those enforcing S. 14. Before new rules go into effect, during fiscal years 1980 and 1981, the Bureau will begin to collect the data necessary to enforce an acreage limitation. It will be necessary to have the informa- tion on ownership of land receiving water from reclamation projects both for the administration's proposed regulations and for regula- tions carrying out the provisions of S. 14. The President's budget request for 1980 included $2.4 million for this purpose. Other costs associated with the acreage limitation are mainly for staff to evaluate data received, to decide when the law is not being observed and to enforce compliance with the law. These functions must be performed under either acreage limitation. While some sav- ings in enforcement costs may result under S. 14, because there will be fewer violators of the higher limitation, any savings are likely to be offset by the cost of applying the law to the leaseholders not now covered by reclamation law and by the cost of renegotiating agree- ments with irrigators to conform with the new provisions in law. As a result, no significant budget impact is anticipated as a result of S. 14. Should the Committee so desire, we would be pleased to provide further details on this estimate. Sincerely, ALICE M. RIVLIN, Director. REGULATORY IMPACT EVALUATION In compliance with paragraph 5 of Rule XXIX of the Standing Rules of the Senate, the Committee makes the following evaluation of the regulatory impact which would be incurred in carrying out the provisions of S. 14: It is not possible to predict how many of the approximately 596,000 people and 146,000 farms on 176 operating reclamation projects would be affected by implementation of S. 14. Section 12 of S. 14 specifically