THE FEDERAL RECLAMATION PROGRAM WAS DESIGNED TO PROVIDE FARMERS WITH IRRIGATION WATER AT PRICES THEY COULD AFFORD. SINCE THE WORTH OF SUCH A WATER RIGHT IS REFLECTED IN LAND VALUES, ONE WHO SELLS A FARM IN A RECLAMATION PROJECT MAY ALSO RECEIVE PAYMENT FOR THIS RIGHT. SINCE THE ASSET MARKETED WAS CREATED BY THE INVESTMENT OF PUBLIC FUNDS IN THE CONSTRUCTION OF THE PROJECT, THE EFFECT IS THAT THE SELLER CONVERTS THE RECLAMATION SUBSIDY INTO CASH AT THE EXPENSE OF THE SUCCESSORS ON THE PROJECT. THE ARTICLE CONTENDS THAT THIS PROBLEM EXISTS DUE TO THE FEDERAL GOVERNMENTS RELUCTANCE TO IMPOSE PRICE CONTROLS ON THE SALE OF RECLAMATION WATER RIGHTS. THE REASONS FOR THIS RELUCTANCE ARE DISCUSSED AND REJECTED. RECLAMATION LEGISLATION IS TRACED THAT INDICATES THE FEDERAL GOVERNMENT IS NOT ADVERSE TO IMPOSING PRICE CONTROLS ON INCREMENTAL VALUE IN THE CASE OF SPECULATION AND IT IS SUGGESTED THAT CONGRESS SIMPLY HAS NOT FACED UP TO THE TASK OF DISTRIBUTING THE INCREMENTAL VALUE AMONG BONA FIDE SETTLERS. THE ARTICLE CONTENDS THAT RETENTION OF THE INCREMENTAL VALUE WITHIN THE PROJECT IS THE MOST EQUITABLE SOLUTION. THIS MAY BE ACCOMPLISHED BY ALLOWING THE IRRIGATION DISTRICT TO RECOVER THE PROFITS.