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Las Vegas Morning Sun-August 9, I 951 M ay Schedule W ater Bond Election Despite Pact D elay The Las Vegas Valley District tomorrow will study the possibility of railing a bond election m advance of its Lake Mead water contract with the Colorado River Commission. District directors will convene tomorrow with Atty. Frank Ham­ilton, bonding expert associated with the law firm of O’Melveny and Myers of Los Angeles. They will explore the possibil­ity of calling for the $6,500,000 bond election next month, without waiting for the j federal General Services Administration to decide on approval of the district’s pur- | chase plan of the Henderson pipe-j line and pumping facilities. It was indicated substantial progress was being made on ne­gotiations for the government approval as a result of yester­day’s meeting in Carson City be­tween members of the Colorado River Commission and Gov. Charles Russell. Frank Strong, of Las Vegas, a member of the CRC, and commis­sion legal adviser Alan Bible, said they expect to complete the contract shortly and submit it to the commission for approval. Present BMI lessees at Hen­derson have asked the commis­sion to permit them to sit in on the water system negotiations. The contract also will be con­sidered by them, on orders of the GSA.. The proposal, which would transfer ownership of the water system and its 33-million gallon daily capacity to the water dis­trict, must also be approved by GSA officials in Washington. If the bond election is held, district executives made It clear the money could not be spent unless the water plans are apl proved. It will be stipulated that the! funds will be earmarked for i water from Henderson and the purchase of the Las Vegas Land j and Water Company from the' Union Pacific. The election will call for rev-! I enue bonds, enabling the district! [to defray them from proceeds of i the sale of water to consumers, and not from .taxation on prop­erty owners. In connection with the purJ chase plan, the water district re-j I ported it had received a com­munication yesterday indicating / E. E m 1 4 ' that a figure of $750,000, insteac of the originally pronounced fig ure of $500,000, may be requiree for the purchase of the Hender son water facilities. The increase apparently result­ed from GSA’s Nevada repre­sentative John Mueller’s latest demand to split the pipeline capacity on an even basis. He asked that in the 50-50 arrangement, the water district take care of the needs at the Henderson townsite in addition to the rest of Las Vegas Valley, wdiile the remaining 50 percent be allocated for use at the BMI plant.