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1 * ; O S June 1950. Mr. William Reinhardt, flee President, Las Vegas Land and Water Co., Union -Pacific Building, 4££ West Sixth Street, Los Angeles, California. Deer Mr. Reinhardt: The Board of directors of •• the Water District discussed at some length last evening at their meeting the report which I made on our informal discussions May £4th relative to the valuation study of the local water utility. You may recall that we took up the two approaches to a purchase arrangement, first that by negotiation we might be able to Jointly arrive at a satisfactory price for the system, and secondly, that possession might also come through a condemnation proceeding which the District is empowered to initiate. There seamed to be favorable points in behalf of either of the approaches. The local situation seems to be developing' Into another dry summer. Rainfall records indicate that this part of the country» with Southern California, is experiencing a severe dry cycle. These conditions urge us on to faster accomplishment of our mission. With every wish to proceed, and avoid unnecessary delays through the Courts, I have been instructed to re-open this part of our conversation on May £4 with you to ascertain whether or not you will be favorable to a negotiated sale price. Time, w© believe, could be saved thereby. The amount qf the' bond issue must soon be decided and your utility is an important item of the total, I I would appreciate hearing from you further on this means of approach to the sale, and with kind regards, X remain Very truly yours, Howard F. Clerk.