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JAMES Mo MONTGOMERY Consulting Engineer 15 North Oakland Avenue Pasadena 1 , California July 15, 195U Mr. Thomas A. Campbell, President Board of Directors Las Vegas Valley Water District 135 South Fourth Street Las Vegas, Nevada Dear Sir: Transmitted herewith are 12 bound copies of an "APPRAISAL OF LAS VEGAS WATER SYSTEM" prepared in accordance with a proposal submitted by this office on May 16, 1952 and accepted by the Las Vegas Valley Water District on May 23, 1952. This appraisal was presented to the Board of Directors informally previously and was the basis of the offer nv=»de to the Union Pacific Railroad Company for the water utility in Las Vegas. The reproduction cost of the Las Vegas Water System, less depreci­ation, as determined by this appraisal, was $2,575,571.00 31; 19$0• as of December fflie basis for the December 31* 1950 valuation was an inventory and appraisal made by others who used this date to arrive at a total valuation afpoprr atihsea lW.ater System. The same inventory was used as the basis for this Subsequent to obtaining the Present Value as of December 1950, an agreement was reached between the Las Vegas Valley Water District and the Union Pacific Railroad Company. This agreement established September 1 , 1952 as that date upon which the selling price for the Las Vegas Water System would be based. An addendum has been added to include the period from December 31, 1950 to September 1 , 1952. The addendum contains a valuation of those padedriitoido.ns and betterments to the Las Vegas Water System for the above The "Present Value" 1952 is $3*122,053.65. of the Las Vegas Water System as of September 1, Respectfully submitted, James M. Montgomery JMM:aem