Reclamation Reform and New Farm Assistance Act of 1980

Reclamation Reform and New Farm Assistance Act of 1980 - Title I: Reclamation Reform - Reclamation Reform Act of 1980 - Amends the Federal reclamation laws to require contracts entered into by the Secretary of the Interior with a water district for repayment or water service to include a water conservation program for all uses of water which are provided from, or conveyed through, federally constructed or federally financed facilities. Requires such program to contain definite goals, appropriate water conservation measures, and time schedules for meeting the water conservation objectives. Makes persons owning not more than 960 acres within such district eligible for such program.

Requires such contracts to provide for the delivery of project water to farm operations within the district, priced according to an established schedule. Establishes a pricing schedule for project water. Directs the Secretary at five-year intervals to recalculate the cost of delivering project water to each district and to modify such schedule accordingly. Permits districts to sell surplus water for purposes other than irrigation at the prevailing market rate.

Directs the Secretary to coordinate water conservation programs with non-Federal entities.

Title II: Agricultural Conservation and Development - New Farm Assistance Act of 1980 - Directs the Secretary to transfer into the Irrigation Water Conservation Account established in the Soil Conservation and Domestic Allotment Act, one-third of the excess amount a water district paid to satisfy the annual obligation of such district. Directs the Secretary to pay the remaining two-thirds of such amount into the Limited Resource Farmers' Fund established in the Consolidated Farm and Rural Development Act. Sets forth the formula for determining such excess payments.

Amends the Soil Conservation and Domestic Allotment Act to make amounts from the Irrigation Water Conservation Account available for specified soil conservation programs, including the Great Plains Conservation program and grants of aid to agricultural producers. Establishes within the Treasury the Irrigation Water Conservation Account for use by the Secretary in carrying out irrigation water conservation programs.

Amends the Consolidated Farm and Rural Development Act to establish in the Treasury the Limited Resource Farmers' Funds for use by the Secretary in carrying out the low-income farm ownership loan program. Makes all notes, securities, and charges acquired in connection with such program a part of the Fund. Exempts loans utilizing funds from such Fund from the equitable allocation of funds among the States requirement. Requires the Secretary to testify annually before Congress to justify the amounts estimated to be utilized during such fiscal year from such Fund. Exempts loans utilizing such funds from the ceiling on aggregate principal amounts for loans authorized under such Act.