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Form 2191-B 11-43-1M M Time Filed. LOS ANGELES 3/12/53 ORIG RMS - OMAHA CYS WHH WRR - OMAHA SECTION 5 LAS VEGAS VALLEY WATER DISTRICT PROPOSAL JANUARY 31, 1953t PROVIDES PINAL CONTRACT WILL DISPOSE OP THE ACCOUNTS RECEIVABLE, ACCOUNTS PAYABLE AND ADVANCE PAYMENT OP WATER RENTAL OP WATER DEPARTMENT LVL&W COMPANY. I FIND ACCOUNTS RECEIVABLE NO 113 and ACCOUNTS PAYABLE 222 IN BALANCE SHEET ANNUAL REPORT OF WATER DEPARTMENT TO NEVADA P3C BUT NO ACCOUNT COVERING ADVANCE PAYMENT OP WATER RENTALS. PLEASE ADVISE WHAT TYPE OP ITEMS INCLUDED IN ACCOUNTS RECEIVABLE AND ACCOUNTS PAYABLE AND WHERE ADVANCE PAYMENTS OP WATER RENTAL ARE RECORDED. ALSO LET ME HAVE YOUR SUGGESTIONS HOW THESE ITEMS SHOULD BE HANDLED AT TIME OP SALE TO DISTRICT. ASSUME ACCOUNTS PAYABLE INCLUDES AMOUNTS PAYABLE TO CONTRACTORS FOR WORK IN PROGRESS BUT UNCOMPLETED, YOU WILL NOTE THAT SECTION 3 OF DISTRICT’S PROFOSAL PROVIDES DISTRICT SHALL ASSUME UNFULFILLED OBLIGATIONS OP WATER COMPANY UNDER SUCH CONTRACTS ON SALE DATE. EXCEPT FOR SUCH ITEMS PERHAPS WE COULD LIQUIDATE OUR OWN ACCOUNTS RECEIVABLE AND ACCOUNTS PAYABLE AND NOT INVOLVE THEM IN THE SALE. HOWEVER IT APPEARS TO ME WE SHOULD DEDUCT FROM PURCHASE PRICE ANY UNUSED PORTIONS OP ADVANCE PAYMENTS OP WATER RENTAL ON SALE DATE AND HAVE DISTRICT ASSUME OBLIGATION TO PROVIDE SERVICE OR REFUND TO CUSTOMER IP SERVICE TERMINATED. B-22 UNION PACIFIC RAILROAD COMPANY « TELEGRAM E E B