In a large saucepan, combine the first 10 ingredients; bring to a boil. Reduce heat; cover and simmer for 45-50 minutes or until rice is tender. Remove from the heat; let stand for 5 minutes. Discard bay leaf. Stir in cranberry sauce.
Spoon into a greased 2-qt. baking dish. Cover and bake at 350° for 30-35 minutes or until heated through. If dressing is stuffed into poultry, bake until a thermometer reads 180° for poultry and 165° for dressing.