Preheat the oven to 350°F. Grease a 2 quart baking dish.
In a medium bow, combine ground beef, rice, water, egg, onion powder, garlic powder, and salt. Gently mix and divide into 18 meatballs and add them to the baking dish.
Whisk together condensed soup and tomato sauce, then pour evenly over the meatballs.
Cover with foil and bake for 45 minutes. Uncover and bake for an additional 30-40 minutes, or until the meatballs are cooked through and the rice is tender.
Notes
Try not to over-mix the meat mixture or the meatballs may become tough.
For perfectly sized meatballs, use a cookie scoop.
Refrigerate leftovers in a covered container for up to 4 days.