Combine Ground Beef, cracker crumbs, egg, water and 1 tablespoon chipotle pepper in large bowl, mixing lightly but thoroughly. Divide beef mixture into 12 equal portions; shape into meatballs. Set aside.
Combine tomato sauce and remaining 1 tablespoon pepper in stockpot; bring to a boil. Add meatballs. Reduce heat; cover and simmer 14 to 16 minutes, stirring halfway through cooking time to cover meatballs with sauce and ensure even cooking.
Serve over rice and sprinkle with cilantro, if desired.
Cooking times are for fresh or thoroughly thawed Ground Beef. Ground Beef should be cooked to an internal temperature of 160ºF. Color is not a reliable indicator of Ground Beef doneness
To make cracker crumbs, place crackers in food-safe plastic bag; close bag securely, squeezing out air. Crush crackers with rolling pin to form fine crumbs. Six to seven 2 x 2-inch crackers make about 1/4 cup crumbs.