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Mr. Jefferss #4 Dot. 39, 1939 is tin© 40 a c r e s shown as H S ^ S E ^ Sec 30 shown on M a p 6 attached to fils a n d owned by M. Gutting. This Is immediately adjacent to th© loca t i o n where we propose to d r i l l the n e w w e l l marked Bo. 4 a n d is u n q u e s t i o n a b l y in the pro v e n water ledge. The acquisition of this acre a g e was a l s o roc cause nded b y Mr. Belson Taylor in his report Aug u s t 4, 1937, and we have b e e n carrying on indirect n e g o tiations w i t h the owner but thus far have b e e n u n a b l e to a c q u i r e it at a price of |30 p e r acre. The other 160 a c r e s owned b y W. H, Pike and others, is probably a l s o in the w a t e r ledge but is con s i d e r a b l y lower t h a n ©tor present sources of supply, a n d even though water were developed in that location it w o u l d probably b e necessary to lift it with a p u m p in o r d e r to get it into the settling basin* This land c o u l d probably b e purchased for the same pries we paid for the Hi n a a n acreage, that is $20 per acre, a n d w i l l b e of v a l u e in the future as protootion to bur wate r - b e a r i n g land, suggested b y Mr. Bhineh&rdt a n d Mr* Greene. % w i s h to empha s i s e that the water permitted to r u n d o w n has V e g a s Greek in the winter months cannot be rightly considered as wasted. A l l of the water that a r r i v e s at the B e n c h is put to b e n e ficial use, and in fact that is the period of the year dur i n g w h i c h the lessee must take ©are of the m a j o r part of his irrigating, as du r i n g the summer mo n t h s th® creek is entirely d r y for months at a time a n d the only irrigating water he then has avsliable is what can b e salvaged from the city septic tank. O n our last inspection of the B a n e h last Satur­d a y in c o m p a n y w i t h the lessee, we found he has the ranch in be t t e r c o n d i t i o n than it has ever been, with over 340 acres now u n d e r cultivation. We inquired whether the volume of water now b e i n g d e l i v e r e d to the R a n c h during the w i n t e r mo n t h s was satis­factory, a n d he stated it was at the present time, but he is n o w placing additional acreage under cu l t i v a t i o n for c o m , rail© m a l s e and alfalfa, and therefore c a n u s e a n y additi o n a l w a t e r that is available. W i t h regard to the waste of water in our operations, to make the n e c e ssary repairs to c a s i n g so wells Gould b e shut in