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Los Angeles , May 3, 1949 1-7334 Hr* A. L* Stoddard; L¥L&§Co, Buie 9-A , approved by the Hevada Public Service Coord scion, covering installation of water mains to" serve new developments at Las Vegas , provides s ^Whenever an application for water service is received which will require the Company to extend its water m i n s or ? service pipes more than fifty feet, exclusive of the service pip® of each, customer to be served fas shown in Rule 9 of- this Company*© rules and regulations) the customer or customers shall enter into a contract to advance sufficient money to cover cost of making such extons less* The amount advanced shall be refunded to the applicant© advancing |||: same at the rate of 5Q$ of the customers5 monthly bill© for water for a period of ten years a or until the full amount advanced has been refunded Whichever occurs first. All such refunds shall be made by deducting the amount thereof from the customers9 monthly water bills.” Under this rule, if several applicants request an extension and the extension is less than 50 feet per consumer, the Water Company is obligated to construct the exfcons ion without cost to the consumers* However, in tfoe-cas© of a housing project, where the developer proposes to ©root a number of houses for sale or rent, w© have required the developer to advance the cost of the mains subject to refund as provided in Buie 9-A* The rule lias been subject to considerable criticism by subdividers and developers of housing project©, as it may take 10 years for the subdivlder or developer to recover M o cost, and in some cases he will not obtain full refund, Uomelllni Construction Co* proposes to construct 800 homes in Paradise Village Tract, requiring the construction of 8,900 feet of water mains, estimated to cost $38,880, and has requested refund of the entire deposit upon completion of an agreed upon dumber of homes in the Tract, an arrangement similar to that in effect during the development of War Housing project as covered by our former Buie 9-C, which read? $gi Subject to the approval of the Public Service