upr000065 471

1 wm *2* At the tine the later acquisitions of XtM were made by the heilroad Co&paay I do not laUtii that Ha Railroad company was adequately protected against drainage by others under the than existing water laws. Also, X think tbs history of tbs transactloss shoes that tbs land was not aspaired pri* warily to protest other leads of tike Railroad Company tot was acquired for tbe purpose of the expansion of its mil-drilling progra® end . in blocks which were available on the market. Bader such circumstances the Gemnlsslon should not treat es- ex­cess land land which is not actually covered by improves* nts if it was reasonably oeeessary to esquire all of tbs iud at the Urn it was purchased, fcfr. Reinhardt * a file R~G7t>-A2 on the subject of Wbter Supply - Lae Vegas, Voluns 1, contains documents which show that la the susner of 1937 tbe advisability of buying the Lorenxi property lying north of He servo ir he, 1 end -ell go, 1 was raised by talter Bracken, He was eoneemed lest the City buy the property and develop its own water supply, Fhc property was held at e high prise and perhaps the threat of nanlelp&l ewaarahlp wee used as a bargaining point, at Mr, Xcffer*s re* quest, Hr. Ssinhar&t deployed lie Ison Tgrylcr to ns he a report upon the water resources of the Company and the possibility of protesting the Company against developnent of a separate supply by the City, Mr, Taylor*a report in substance stated that there were various sources frcm which the City could develop a water supply end that it was not possible for tbe company to fully protect itself ag&iast eoupetltlve drilling by the City, He did reeoanend, however, that the water Cosapeny add to Its holdings in the isaaediete neighborhood of its wells for tbs pur­pose of allowing for future expansion. - He rese&NBsnded the acquisition of tbs Cutting property |(4C acres lying immediately north of the Springs) and the Hlan&a property (80 acres lying southwest of well go. 2) at a favorable price* He thought the lorensi property m» also favorable but that the price was out of the question, as a result of this report, nr. faff era oa November 4, 1937 authorised the purchase w "Ihe'above mentioned propertyHliuaea property was pur* chased in November of that year for 41600.00 but apparently tat' were unable to obtain the Cutting property although the file does not contain such inforo&ticn on the latter, J Bus to growth of the City end difficulty of supplying it with water, Mr, Reinhardt ashed tieotty (E.G.) Greene to make a report upon the hater Company and the water resources at Las Vegas, Mr, Green* on Cctobsr 16, 1939 made a very comprehensive report in which, among other things, he reconaended the ianediate drill* lag of two additional wells, one upon tbe original acreage of the H&ilroad and one upon the Hlnnam property. He also rccocmended the purchase of the Cutting property end the Pike property consist* ing of the fiii of &eetlon 31* He recommended the purchase of this property for the purpose of additional well expansion as required.