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V Los Angeles, February 4, 1949 1-7334 Mr. A. M. Folger: Referring to your letter of January 31st, file W 23-5, enclosing agreement with the United States of America Navy Department, covering the furnishing of water for the U. S. Naval Reserve Training Center at Las Vegas* The agreement, which was submitted to Mr. Bennett, has been returned to me without approval with the following comment: ’’You will note a certain schedule of rates is included in the contract showing for example, three showers, the first one at $1 ,0 0 and the next two at 75^ each. No schedule is shown for any additional showers which may be installed. The same applies to some of the other items included in the schedule. It is quite possible that these facilities are such that there would be no possibility of any additional facilities being installed but I think that matter should be cleared up by Mr. Folger. ’’Section I (C) requires that Invoices shall contain statements of meter readings and monthly consumption. Since I assume this water is to be furnished on a flat rate based on the number of utilities in the premises, I think Section I (C) should be revised to eliminate any reference to meter readings or monthly consumption.” I believe it desirable that the agreement be revised as suggested by Mr. Bennett. Will appreciate if you will take the matter up with the Navy Department. In addition to the rates questioned by Mr. Bennett, the schedule indicates 12 Wash Basins for which no charge is made. Please advise authority therefor. You will also note we have changed the name of Contractor from ”Las Vegas Land and Power Company” to "Las Vegas Land and Water Company”.