Certification of Entity's Landholdings

FORM 7-2181
2010 Instructions

INSTRUCTIONS FOR CERTIFICATION OF
ENTITY’S LANDHOLDINGS
(Discretionary Provisions)

(7-09)

Bureau of Reclamation
Do not use this form after December 31, 2010

OMB Control No.: 1006-0005

Paperwork Reduction Act
This information is being collected to establish landholder compliance with Federal reclamation law. Response to this request is
mandatory in accordance with Public Law 97-293 and 43 CFR 426.18. Public reporting burden for this form is estimated to average 1 hour
18 minutes per response, including time for reviewing instructions, gathering and maintaining data, and completing and reviewing the
form. An agency may not conduct or sponsor, and a person is not required to respond to, a collection of information unless it displays a
currently valid Office of Management and Budget (OMB) control number. Direct comments regarding the burden estimated or any other
aspect of these forms to Manager, Land Resources Office, Code 84-53000, Bureau of Reclamation, PO Box 25007, Denver CO 80225.

Please contact each district in which your entity holds land to
find out each district’s RRA forms submittal category since a
district’s RRA forms submittal category is subject to change
annually. Fact Sheets 1, 2, 5, and 7 are available at your
district office if you are unsure whether Form 7-2181 is the
appropriate form for your entity to submit.

GENERAL INFORMATION
“General Information About RRA Forms” (Form 7-21INFO)
provides basic instructions on using Reclamation Reform Act
of 1982 (RRA) forms. Please ask your district office for this
form each year to keep current. Refer to the definitions at the
end of Form 7-21INFO whenever the meaning of a term is
not clear to you. Please note, some terms such as “irrigable
land,” “irrigation land,” and “irrigation water” have special
definitions when used in these forms which differ from their
common meaning. Other terms and corresponding
definitions that are specific to the RRA forms are:
•

WHERE TO SUBMIT FORMS
Your entity must submit a certification form to each district
in which your entity holds (directly or indirectly owns or
leases) land. You must submit an original form to one
district office and may submit copies to the others if your
entity holds land in more than one district.

“Land” or “acres” means irrigable and/or irrigation
land.

WHAT LAND TO INCLUDE
•

“You” means the officer or authorized agent of the entity
who completes this form for the entity.

•

“We,” “us,” “our,” or “Reclamation” means the Bureau
of Reclamation

•

“Entity” means a corporation, partnership, organization,
joint tenancy, tenancy-in-common, etc.

Your entity must certify all of its land held westwide that is
subject to the acreage limitation provisions. Please see
Form 7-21INFO if your entity has excess land or full-cost
land to identify. Your entity must provide an accurate legal
description or an assessor’s parcel number for each land
parcel. Be sure to break down land parcels as far as
necessary to ensure accurate identification.

IF LANDHOLDINGS CHANGE

Visit www.usbr.gov/rra for more information.

You must notify all districts in which your entity holds land
within 30 calendar days if your entity's westwide
landholdings change during the water year, and you must
submit new certification forms within 60 calendar days of the
change. Indirect holders of your entity’s lands also must
submit new forms to the district office within 60 calendar
days of the change if the westwide landholdings change
affects their attribution. These 30- and 60-day grace periods
do not apply to a new landholder. A new landholder must
submit certification forms prior to receiving Reclamation
irrigation water.

WHO MUST SUBMIT THIS FORM
Your entity must certify its landholdings on a “Certification
of Entity’s Landholdings” (Form 7-2181) if it is subject to
the discretionary provisions of the RRA and if its westwide
landholdings are:
•

For a limited recipient, more than 40 acres, or

•

For a qualified recipient, more than 240 acres in a
district with Category 1 status, or more than 80 acres in
a district with Category 2 status.

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For more information on landholding changes, see
Fact Sheet 11 which is available at your district office.

GENERAL INSTRUCTIONS
ANNUAL CERTIFICATION
Type or print in ink all answers. You must initial and date
any crossouts and corrections. You may attach continuation
sheets to list information. Preprinted continuation sheets are
available for this purpose, or you may make your own.
District name abbreviation(s) used on this form must be
spelled out on the form where the abbreviation is used for
the first time, or on a separate sheet attached to this form.
Please contact your district office or the appropriate
Reclamation office if you have any questions.

Your entity must submit Form 7-2181 each and every year
prior to the delivery of Reclamation irrigation water to your
entity’s land if your entity’s westwide landholdings exceed
the applicable RRA forms submittal threshold, with the
following exceptions:
(1)

Your entity may submit a “Verification of
Landholdings” (Form 7-21VERIFY) instead of a
Form 7-2181 if your entity's westwide landholdings
have not changed since the last Form 7-2181 was
submitted;

(2)

Your entity may submit a Form 7-21VERIFY
together with a new “ Selection of Full-Cost Land”
(Form 7-21FC) if your entity’s westwide
landholdings have not changed since the last Form 72181 was submitted, and your entity wants to
reselect its full-cost land; or

(3)

Your entity does not need to submit any RRA forms
if:

(4)

•

It only holds land indirectly through other
entities, trusts, or estates;

•

Neither the number of acres attributed to your
entity nor the percentage of the other entity,
trust, or estate attributed to your entity has
changed since the last Form 7-2181 was
submitted; and

•

All other information previously submitted on
your entity’s Form 7-2181 has not changed.

ITEM BY ITEM INSTRUCTIONS
Landholder Information
1.

Enter your entity’s name. Your entity's name should be
the name in which the land is held, unless the landholder
is a subsidiary of another entity. In that case, the parent
entity’s name should be given as the landholder, and the
subsidiary’s name should appear on the lines provided
in item 7.

2.

(a)

Check the box that best identifies your entity's
type. If you check the “Other” box, you must
write in your entity’s type. Religious or charitable
organizations that are completing this form
because they (a) have Federal income tax
exemption under section 501 of the Internal
Revenue Code of 1954, as amended, AND (b) do
not meet all of the RRA section 219 criteria for
religious or charitable organizations, should check
the “Other” box and enter “religious organization”
or “charitable organization” as applicable.

(b)

Skip this item and proceed to item 3(a) if your
entity is a religious or charitable organization that
does not meet the RRA section 219 criteria. If you
checked “Other” in item 2(a), how is your entity
taxed by the Internal Revenue Service (check one
box: corporation or partnership).

(a)

Enter your entity's street address or rural route
number, city, state, and ZIP code. An attorney's
address, “c/o” address, etc., is not acceptable in
place of a street address. Post office box numbers
may be used only if no other address exists.

(b)

Enter your entity’s mailing address if it is different
from the street address.

(a)

Enter the telephone number where questions can
be directed.

(b)

Enter the name of a contact person at that
telephone number.

Your entity is wholly owned by an individual
(which by definition includes a married couple under
the discretionary provisions) and is not a trust or an
estate.
3.

IRREVOCABLE ELECTION
Please be aware, by submitting this form, a prior law
recipient that only holds land indirectly in a district that has
conformed to the discretionary provisions will be making an
irrevocable election to conform to the discretionary
provisions. That action will be binding in that and all other
districts in which your entity holds land subject to the
acreage limitation provisions. Such actions do not apply to a
foreign entity. See Form 7-21INFO for more information on
how an irrevocable election impacts your entity’s westwide
acreage limitation status and what actions need to be taken
by foreign entities in order to conform to the discretionary
provisions.

4.

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FORM 7-2181 (2010)

5.

Enter the state(s) or country(ies) in which your entity is
established or registered, if applicable. Your entity will
be required to submit documentation verifying the
country(ies) in which your entity is established when
your entity irrevocably elects to conform to the
discretionary provisions if it indicates a country other
than the United States.

6.

Enter your entity’s Employer Identification Number
(EIN). Leave this blank if your entity does not have
an EIN and is not required by the Internal Revenue
Service (IRS) to have an EIN.

7.

List any wholly owned subsidiaries of your entity that
hold land you will include on this form. List all
subsidiaries, but only complete items 7(b), 7(c), and
7(d) for those subsidiaries that directly hold the land.
Holdings of subsidiaries are counted against the
entitlement of the parent entity. Therefore, this form
must be completed by the ultimate parent entity and
must fully disclose the identity and westwide
landholdings of each subsidiary. (Note: This
requirement applies whether or not the ultimate parent
entity is established under State or Federal law.)

Enter the state(s) or country(ies) in which the
subsidiary is established or registered, if
applicable.

(c)

Legal description of the land parcel or an
assessor’s parcel number.

(d)

Number of acres in the land parcel.

Your answer to item 8 is essential to determining
whether you will answer item 10(a), and what
information you will need to provide in item 10(b).
If your answer to items 8 and 10(a) are “yes,” proceed
to item 10(b). If your answer to item 8 is “no,” skip
item 10(a) and proceed to item 10(b).

Note: Identified part owners must submit their
own certification or reporting forms if they hold
more land westwide than the applicable
RRA forms submittal threshold. You must
inform the part owners of their obligation to
submit the appropriate certification or reporting
forms in order to protect your entity’s eligibility
to receive Reclamation irrigation water.
Enter the following information about the part
owners:

For purposes of determining total landholdings, if you
hold 100-percent interest in an entity that directly
owns or leases land, all land listed here must be listed
again in items 12 and 13 for the entity's directly owned
land, or items 15 and 16 for the entity's directly leased
land.
8.

10.

(b) Identify all of your entity’s part owners
regardless of how many acres each part owner
holds through interest in your entity if the answer
to item 8 is “no.” If your answers to items 8 and
10(a) are “yes,” identify all part owners whose
attribution of land from their interest in your
entity is more than 40 acres. If your answer to
item 10(a) is “no,” insert a statement that all part
owners are attributed with less than 40 acres.

Enter the subsidiary’s name and EIN. Leave
this blank if the entity does not have an EIN and
is not required by the IRS to have an EIN.

(b)

Indicate whether your entity received Reclamation
irrigation water on or before October 1, 1981, if your
entity is a limited recipient (those that answered “yes”
to item 8). A limited recipient's nonfull-cost
entitlement is determined by whether or not it received
Reclamation irrigation water on or before this date.
Qualified recipients (those that answered “no” to
item 8), should skip this question. If the answer to this
question is “yes,” list in the space provided the name
of the district in which Reclamation irrigation water
was received.

(a) Indicate whether any of your entity’s part owners
are attributed with more than 40 acres through
interest in your entity if the answer to item 8 is
“yes.”Proceed to item 10(b).

Describe the ownership structure of your entity in
detail on a separate sheet. Submit that sheet with your
completed certification form. Intermediate entities are
not exempted from the requirements to submit
certification forms unless they are wholly owned
subsidiaries.
(a)

9.

(1) Part owner's name.
(2) Enter the part owner's EIN if the part owner
is an entity, trust, or estate. Leave this blank
if the entity does not have an EIN and is not
required by the IRS to have an EIN.

Indicate whether your entity is owned (directly or
indirectly) by or benefits 26 or more natural persons.
Your entity is a “limited recipient” if it is owned by or
benefits 26 or more natural persons. It is a “qualified
recipient” if it is owned by or benefits 25 or fewer
natural persons.

(3) Part owner's acreage limitation status:
subject to prior law or subject to
discretionary provisions.

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FORM 7-2181 (2010)

(4) Percentage of your entity that the part owner
owns. If you answered “no” to item 8, the
total must equal 100 percent.
Land Your Entity Directly Owns

(f)

Ending date of the lease. This is the date on
which the current lease will terminate, including
all exercisable options.

(g)

Number of acres in the land parcel. If your
entity leases land from a public entity and then
subleases it to another landholder, do not list
those acres in this column because they are
attributed to the sublessee.

It is the responsibility of landowners, sellers of land, and
districts to notify lessees, buyers of land, and new
landholders, respectively, of the RRA forms submittal
requirements associated with the land in question.
13.
11.

Enter your entity’s name again. (These forms are
often photocopied, so it is necessary to have your
entity identified on each page.)

12.

This section requests information regarding land that
your entity directly owns westwide. Include land
directly owned by your entity’s wholly owned
subsidiaries. Include land leased from a public entity
here instead of including it as leased land in item 15
because it counts against the lessee’s ownership
entitlement (pursuant to Public Law 91-310). In that
situation, write that the land is leased from a public
entity and include the name of that public entity after
the legal description of the land parcel. Enter the
following for each land parcel:
(a)

Name of district in which the land parcel is
located. Group land parcels by district to make
it easier to complete items 22 through 28.

(b)

Provide an accurate legal description of the land
parcel or an assessor’s parcel number. For each
lessee, sublessee, or operator entered in item
12(d) [or for your entity if you check “self” in
item 12(c)], there is space to list four land
parcels (one parcel per line) if all parcels are
operated by the same natural person or entity in
the same district. You may list more than one
parcel per line if all parcels have the same lease
information.

(c)

Land Your Entity Directly Leases From
Another Party
Landholders that lease land to or from other landholders
should inform the lessees and lessors of their obligation to
also submit RRA forms. If either the lessee or lessor fails to
submit RRA forms, the eligibility of the land to receive
Reclamation irrigation water will be jeopardized.

Who primarily operates the land: your entity
(self); a lessee or sublessee under a lease
(lessee/sublessee); or an operator under any
other type of farm operating arrangement
(other).

(d)

Name, address, and telephone number of each
lessee, sublessee, or other type of operator.
Skip this column and go to item 12(g) if your
entity is the primary operator of the land parcel.

(e)

Starting date of the lease. This is the date the
lease first became effective. Enter the date the
lease was signed if no effective date was
specified in the lease. Remember, leases cannot
exceed 10 years except with our approval for
perennial crops, which are determined on a
crop-by-crop basis but cannot exceed 25 years.

Total column 12(g). This is the number of acres your
entity directly owns westwide. Include in this total
any directly owned acres listed on continuation sheets
or attachments.

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14.

Enter your entity’s name.

15.

This section requests information regarding land that
your entity directly leases westwide from another
party. Include land directly leased by your entity’s
wholly owned subsidiaries. Do not include land
leased from a public entity here; instead, include it in
item 12. Include information regarding any land your
entity subleases to others here. Enter the following for
each land parcel:
(a)

Name of district in which the land parcel is
located. Group land parcels by district to make
it easier to complete items 22 through 28.

(b)

Provide an accurate legal description of the land
parcel or an assessor’s parcel number.

(c)

Who primarily operates the land: your entity
(self) or another party (other).

(d)

Natural person or entity that directly owns the
land that your entity leases. Enter the
sublessee’s name as well as the landowner’s
name if your entity subleases the land to another
landholder. If your entity subleases the land
from another landholder, enter the sublessor’s
name and the landowner’s name. Include the
farm operator’s name if the land is operated by a
farm operator.

FORM 7-2181 (2010)

(e)

(f)

(g)

16.

estate does not have an EIN and is not required
by the IRS to have an EIN.

Starting date of the lease. This is the date the
lease first became effective. Enter the date the
lease was signed if no effective date was
specified in the lease. Remember, leases cannot
exceed 10 years except with our approval for
perennial crops, which are determined on a
crop-by-crop basis but cannot exceed 25 years.

(d)

Percentage of interest your entity owns in the
other entity or the percentage of land in a trust
or estate attributed to your entity.

(e)
Ending date of the lease. This is the date on
which the current lease will terminate, including
all exercisable options.

Total number of acres owned (directly and
indirectly) by the other entity, trust, or estate.

(f)

Number of acres in the land parcel. Do not list
acres that your entity subleases to others in this
column because they are attributed to the
sublessee.

Multiply item 17(d) (in decimal form) by
item 17(e). This is the number of acres that
your entity indirectly owns through the other
entity, trust, or estate.

(g)

Total number of acres leased (directly and
indirectly) by the other entity, trust, or estate.

(h)

This item applies if your entity directly owns
land and leases that same land to the other
entity, trust, or estate in which your entity owns
an interest. Leave both sections of item 17(h)
blank if you do not have this situation. By
completing this item you will prevent counting
the same land twice against the entitlement of
your entity, once as directly owned land and
again as indirectly leased land, if this situation
applies to your entity.

Total column 15(g). This is the total number of acres
your entity directly leases (and subleases) westwide.
Include in this total any directly leased (and subleased)
acres listed on continuation sheets or attachments.
Please contact your district office for further
instructions if all or part of your entity’s directly
leased land is also attributed to your entity’s indirectly
owned land.

Land Your Entity Indirectly Owns or Leases
Through Other Entities
17.

This section requests information regarding land that
your entity indirectly owns or leases westwide through
other entities, trusts, or estates. Do not include land
directly held by your entity’s wholly owned
subsidiaries. Instead, include that land in item 12 or
item 15 as appropriate. Include land indirectly held
by your entity’s wholly owned subsidiaries. Obtain a
completed copy of any other entity’s Form 7-2181 or
“Report of Entity’s Landholdings” (Form 7-2191), or
any trust’s or estate’s “Declaration of Trust’s or
Estate’s Landholdings” (Form 7-21TRUST) that
attributes land to your entity. By referring to the
information contained on the other entity’s, trust’s, or
estate’s form, you can help ensure that the information
you certify on this form is accurate. Enter the
following for each land parcel in each district in which
the other entity, trust, or estate holds land attributed to
your entity:
(a)

Name of district in which the land parcel is
located. Group the land parcels by district to
make it easier to complete items 22 through 28.

(b)

Name of the other entity, trust, or estate that
holds land in which your entity owns an interest
or is a beneficiary.

(c)

The other entity's, trust’s, or estate’s EIN.
Leave this blank if the other entity, trust, or

(i)

5

(1)

Enter the number of acres from item 17(g)
that your entity directly owns and leases to
the other entity, trust, or estate.

(2)

Subtract item 17(h)(1) from item 17(g).
This is the number of adjusted acres that
the other entity, trust, or estate leases to
use in calculating the number of leased
acres attributed to your entity.

Multiply item 17(d) (in decimal form) by
item 17(h)(2) if you completed item 17(h).
Multiply item 17(d) (in decimal form) by
item 17(g) if you did not complete item 17(h).
This is the number of leased acres attributable to
your entity through the other entity, trust, or
estate.

18.

Total column 17(f). This is the total number of acres
your entity indirectly owns westwide. Include in this
total any indirectly owned acres listed on continuation
sheets or attachments.

19.

Total column 17(i). This is the total number of acres
your entity indirectly leases westwide. Include in this
total any indirectly leased acres listed on continuation
sheets or attachments.

FORM 7-2181 (2010)

Landholdings Summary
26. For each district, enter the total number of acres your
entity indirectly leases in the district. Obtain this
information from item 17(i). Add the number of acres
in item 26 and enter that number in the “TOTAL”
column (far right column). This is the number of acres
your entity indirectly leases westwide and should equal
item 19.

20. Enter your entity’s name.
21. Enter the name of each district westwide in which your
entity holds land. Circle the district at which the
original form is filed if your entity is a multidistrict
landholder.
22. For each district, enter the total number of acres your
entity directly owns in the district. Obtain this
information from item 12(g). Add the number of acres
in item 22 and enter that number in the “TOTAL”
column (far right column). This is the number of acres
your entity directly owns westwide and should equal
item 13.

27.

For each district, add item 25 and item 26. This is the
total number of acres your entity leases in each
district. Add the number of acres in item 27 and enter
that number in the “TOTAL” column (far right
column). This is the number of acres your entity
leases westwide.

28.

For each district, add item 24 and item 27. This is the
total number of acres your entity holds in each district.
Add the number of acres in item 28 and enter that
number in the “TOTAL” column (far right column).
This is the number of acres your entity holds westwide
and counts against your entity’s nonfull-cost entitlement.
If your entity is a qualified recipient, your entity must
submit a Form 7-21FC if this number is more than your
entity's nonfull-cost entitlement AND your entity directly
or indirectly leases land. If your entity is a limited
recipient, your entity must submit a Form 7-21FC if this
number is more than your entity's nonfull-cost
entitlement.

23. For each district, enter the total number of acres your
entity indirectly owns in the district. Obtain this
information from item 17(f). Add the number of acres
in item 23 and enter that number in the “TOTAL”
column (far right column). This is the number of acres
your entity indirectly owns westwide and should equal
item 18.
24. For each district, add item 22 and item 23. This is the total
number of acres your entity owns in each district. Add the
number of acres in item 24 and enter that number in the
“TOTAL” column (far right column). This is the number
of acres your entity owns westwide and counts against
your entity’s ownership entitlement. Your entity must
submit a “Designation of Excess Land” (Form 7-21XS) if
this number is more than your entity’s ownership
entitlement.

Basis for Eligibility for Discretionary Provision
Entitlements
29.

We will determine all land held by your entity to be
ineligible to receive Reclamation irrigation water if your
entity exceeds its westwide ownership entitlement and it
does not submit Form 7-21XS to designate its excess acres.
Your entity’s land will be ineligible to receive such water
until the appropriate excess designation is made.
Regardless of whether your entity’s owned land exceeds its
ownership entitlement, your entity must complete a Form
7-21XS and designate land as excess on that form if it:

How you respond to these questions will indicate the
basis for your entity's discretionary provisions status. If
this form is being prepared for a foreign entity, you
should only respond to question (b). Please contact your
entity’s district office if you do not know the answers to
these questions.
Check the box next to the one statement that best
describes how your entity became subject to the
discretionary provisions. Provide the requested
information for that statement. Please contact your
district office if you do not know which statement
applies to your entity.

• Purchases land that was designated as excess by
the seller without our sales price approval;
• Involuntarily acquires excess land; or

Signatures

• Involuntarily acquires eligible land and designates
it as excess.

30.

25. For each district, enter the total number of acres your
entity directly leases in the district. Obtain this
information from item 15(g). Add the number of acres
in item 25 and enter that number in the “TOTAL”
column (far right column). This is the number of acres
your entity directly leases westwide and should equal
item 16.
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Read the attestation statements carefully and sign and
date the form in ink. The statements concerning the
reporting of changes in information, the rent paid on
irrigation land, written leases, and the terms of such
leases are requirements of Federal reclamation law.
All partners, joint tenants, or co-tenants must sign the
form if your entity is a partnership, joint tenancy, or
tenancy-in-common. However, you may use a written
signature authorization to permit one natural person to

FORM 7-2181 (2010)

sign for your entity and a copy must be submitted to
each district your entity submits RRA forms. The
district office must keep any such signature
authorizations on file.

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FORM 7-2181 (2010)