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? 4 (b) I t would be h e lp fu l to know said possibly have testimony from a lo c a l banker as to the rates of in te re st ©barged various types o f loans In Las Vegas, and these to be compared or re la te d to sim ila r rates fo r loans mad® in C a lifo rn ia . While I do not know, 1 more or le ss assume that the loan rate might be 1/4 to 1/3$ higher in Nevada • This would be h e lp fu l in supporting the higher rat© of retu rn in comparable u t ilit ie s received in C a lifo rn ia . DISCUSSION While no computation has yet been made on the revised basis fo r 1950 and 19§1, using Investment Cost, i t is clea r that the gross revenue d e ficien cy under th is la t t e r basis w ill be le ss than under the O rig in a l Cost b a sis. Likew ise, under the Present-day Cost b a s is , the revenue d e ficien cy w ill, of course, be su b sta n tia lly in excess of the O rig in a l Cost b a sis, and as w ell as the $90,000 that is being re ­quested. This pattern, o f course, conforms to the fig u res o rig in a lly developed in the November re p o rt, but w© do have (or we may have) the problem o f having our o rig in a l cost estim ate as to the revenue d eficien cy required as le ss than that which was requested in the amount o f $90,000. Nr. Renwiek suggested that i t might be w ell to have made a computation on the Investment b asis w ith land Included at the reduced acreage - the same as that included under the other two bases. I presume, however, in th is la t t e r instance, i t should be set up on the b a sis of book eosts at the re ­duced acreage. We w ill have such a fig u re a v a ila b le . I t is fu rth er thought desirable that the November report be made a vailab le to both the C ity of Las Vegas and the Nevada Commission by March 15th, and that the supplemental report be made a v a ila b le at a la te r date, but before the hearing, in order that both p a rties have a v a ila b le the m aterial that the Company w ill present at the hearing, in order to a ffo rd time fo r study. I f th is is not done, I am sure a continuance w ill be asked. I t w ill probably be asked In any event, but ce rta in ­ly A pplicant w ill be in a better p o sitio n to r e s is t such re ­quest i f the m aterial is made availab le ahead of time* I t would likew ise be d esirable that such reports be given In person so that necessary explanations may be made. S im ila rly , that the Company have a vaila b le prepared statement fo r the Press, in order that the Press w ill have a vaila b le at le a st one release and Is understanding^ w ritten w ith reference to the fa c ts . GC - Mr* Wm. Reinhardt ^ Mr. E. 0. Renwiek Nr. W, H. Johnson Mr. R. L . B erto lacel