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Water Supply - F a c i l i t i e s fu rn is h e d fey LA&SL: Las Fegas, Levada, April 11, 1933. W 23-3-3 Mr. F. I. Knickerbocker, General Manager, Los Angeles, California. Lear Sir: We are in receipt of statement from Mr. harry showing basis of rental rate on joint facilities for the year 1933, eopy of which is attached for your information. When the contract under which we are now operating, dated April 1, 1929, was placed in effect, the Water company paid 60 per cent of the annual operating and carrying charges, or $975.00 per monthCf11,700 per year). At the time this contract was drawn, it was necessary to support our request to the -ufelio Utilities Commission of Levada for an increase in water rates, hut since its original draft its rental rate has increased each year until our rate for the year 1933 is $1567.49 per month ($18,809.88 per year.) fhe cause of this increase is that the total operating end carrying charges have increased 28.41 per cent and at the same time our proportion of the charges hag increased from 60 per cent to 75.12 per cent, according to the amount of water consumed. Begarding the increase in the total operating and carrying charges, we note that the maintenance and operating charge for 1932 is the same as for 1931, that is $4200.00; while there was a small expense in connection with clearing the weeds and minor repair work after a fire during the year 1932, the Water company performed about as much of the main-