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far by the sub-dividers and donated to LVL&W Co* A statement showing the projects involved is attached; there will be further charges between April 30th and the sale date* Mr. Conway was informed it was our view that since the cost of this construction was charged to the investment account pursuant to Rule 9 contracts the cost thereof became an addition to the basic purchase price as defined by Section 9(c) of the Sale Contract, regardless of by whom the cost was paid. Mr. Conway was non-committal on this point and said he would let the Water District and their attorneys interpret this matter for him. In this connection, please see your let­ter to me of March 9, 1954. Mr. Conway also stated that the signing of the bonds would begin on May 25, 1954 and be completed several days thereafter and that the Water District should receive the proceeds from the bond sale on or before May 31, 1954. In connection with this subject, under date of May 21, 1954, you were furnished for escrow purposes statement showing the estimated cost of $2,475,046.18 as representing the sale price of the water properties to the Water District as of June 30, 1954* Mr. Conway further stated that his firm will desire to again meet in Las Vegas with our representatives to agree upon the final cost of the water properties, following the date of sale* If the date of sale is established as of June 30, 1954, our records will be available for review about July 27, 1954. I will be represented at the final audit. In due course, please advise with respect to the cost of the donated fire hydrant laterals and the date for the final audit of the accounts for the period subsequent to April 30, 1954. R. M Enel