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C O P Y Mr. Thomas A. Campbell 2-24-5** and Water Company now serving the City of Las Vegas, The second purpose Is the construction of a water transmission line to ob­tain Lake Mead water. This line will extend from Las Vegas to intercept and receive water from the existing water transmission line of BMI. The existing BMI line now extends from Lake Mead to the City of Henderson. Delivery of Water by Basic Management, Inc. At the present time, the District does not have the financial capacity to construct its own transmission line the entire distance to Lake Mead. The most economic manner for the District to obtain Lake Mead water is to utilise a portion of the delivery capacity of the existing BMI water facilities. Accordingly, In 1953# BMI and the District entered an agreement whereby BMI, through said water facilities, will deliver certain water for the District. The District will construct its own transmission line from the delivery point on the BMI line to Las Vegas, The transmission of Lake Mead water to the Las Vegas Valley will thus require the use both of the existing BMI line and the new line to be con­structed by the District. Necessity for Special Legislation. There Is no exist­ing Act of Congress adequate to permit the Secretary of the Interior to grant to BMI and the District title to the lands neces­sary for rights of way and other related activities for the con­struction, operation and maintenance of water transmission lines. The most that existing legislation permits is the granting of a revocable license under the Act of February 15, 1901 (43 D.S.C., 959), The principal security behind the bonds of the District will be revenues derived from the sale of water. To assure the bondholders of the continuance of water revenues, it is essential to eliminate any possibility that rights of way necessary for the main transmission lines (either of the District or BMI) may be revoked or otherwise terminated before the bonds are paid off. The magnitude of the District*s proposed Investment and the import­ance of satisfying bond buyers makes the additional legislation necessary. Similar bills have been passed for the benefit of other public agencies where water transmission lines have been construe ted on public lands. Such legislation was enacted for the City of Los Angeles by Acts of June 30, 1906 (34 Stat. 801) June 5, 1920 (41 Stat. 983), and June 23, 1936 (49 Stat. 1892). A similar grant was made to Metropolitan Water District of Southern Cali­fornia by Act of June lo, 1932 (47 Stat.324).