Bring water to a boil in a small saucepan. Add rice, cover and simmer 20 minutes, stirring occasionally.
When rice is done, remove it from the stove top. To a medium skillet over medium high heat add oil and bacon and cook 3 minutes to crisp edges of bacon. Add onions and cook 3 minutes to soften. Add beans to heat through, then stir in cooked rice. Season rice and beans with cayenne sauce, salt and pepper, to your taste. Serve rice and beans from the skillet.
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