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man000206-013
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Digitized materials: physical originals can be viewed in Special Collections and Archives reading room

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University of Nevada, Las Vegas. Libraries

There are generally three methods used in California for financing water main extensions. (1) The extension is paid for entirely by the utility. (2) The extension is paid for entirely by the property owner. (3) The extension is paid for partially by the utility and partially by the property owner. Three publicly-owned utilities finance extensions within the City limits, either from accrued revenue or by the issuance of bonds. Ho charge is made to the consumer and, therefore, no refunds are made. Nine publicly-owned utilities require that the property owner benefited by the extension pay the entire cost of the extension. Refunds are not made under this policy. Eighteen publicly-owned utilities require that water main extensions be paid for by the applicant in the form of an assessment against the property benefited. The assessment is not equal to the cost of constructing the extension thereby requiring the utility to pay for a portion of the extension. Refunds may or may not be made in this case. If refunds are made, they are based upon refunding advances in aid of construction made for property which is not developed at the time of application, but which becomes developed subsequently. Several of the utilities were found to distinguish between the general extension requested by a single applicant and the subdivision extension in establishing financing policy. Generally where this distinction is made, the subdivider is required to advance the total cost of the extension while the single applicant is required to advance a portion of the cost of making 11-