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Water Service - Las Vegas - K-924 attaching copy Mr. J e ffe rs ' P-157. Los Angeles, A pril 27, 1929. Mr. P. H. Knickerbocker: Las Vegas Land and Water Company, under its franchise, may in s ta ll meters at its own expense and apply the schedule of meter rates given in the franchise to a ll consumers in Clark's Las.Vegas Townsite upon notice given to Commissioners of City of Las Vegas, and also to Public Service Commission of Nevada. The application of meter rates as in the franchise w ill more than double the f la t rate now paid by consumers. Protests from -consumers w ill undoubtedly be made, and the Public Service Commission w ill notice a hearing and apply such schedule of meter rates as may be warranted upon the showing made. Subdivision A of Section 4 of the franchise authorizes the Public Service Commission to change the rates, but not to exceed the maximum rates provided in the franchise. This would seem to exclude the consideration by the Commission of an increase in the fla t rates provided in the franchise, but I am of the opinion that notwithstanding this provision, the Commission would have a right to consider and order an increase in the. fla t rates i f the facts would warrant, in lieu of the expense of the in stalla tion of meters. Considering Mr. J e ffe rs ' le tte r as a whole, and his reasons why d e fin ite action be taken now rather than wait u n til the franchise expires in 1934, w ill say that the method whereby we now, and fo r many years la st past.have served the inhabitants of Las Vegas City with water, has been discussed with Mr. J. P. Shaughnessy, Chairman of the Public Service Commission, and he was given to understand that in the near future some comprehensive system would be adopted. I now advise: (a ). That a ll contracts now in existence whereby we serve any subdivision on a fla t rate, be terminated, and that new contracts be made applying the wholesale meter rate o f 8^ per 100 cubic fe e t;