upr000177 632

Hr. L. A. H i La* Vegas - January if, 1950 w 5-5-1 { on Mr. Wte. Reinhardt lour M&Hgram S-776 December 30th, file BD X-S regarding division of charges to •General Ex­penses.* The Item of $63^,60 incurred in connection with water conservation program is applicable 1005 to water operations. The wages and expenses of S*» 1* Gardner, checker, Is also chargeable 1005 to water operations, Possibly a charge against water operations Should he set up for use of Water Co«^>any office, hut if this la done an off-setting charge should he made against operation of rooming house, ooverlng water service, and in the past we have assumed that one merely off-set the other, X see no objection to setting up a new account entitled * Other Expenses* in which to record expenses 1005 chargeable to water operations, but chafes to this account would be very rare, consist­ing, possibly of no more than annual advertising for watsr conversation and monthly chargee for Checker, both of which could he applied to Maintenance of Water Mains with accompanying letter of emanation. With regard to equitable basis of apportion­ing charges to "General Expenses*; In the past we have considered 765 of the charges to General Expenses applicable to Water Operations! 2jp to Booming House, and 55 to Lots and Lands, However since lessees remit direct to Omaha instead of passing rentals thru this office, 2$ would be more representative of the charges applicable to *Loflw and Lands*, The proportion of time devoted to water operations has inereastd because of the large number of additional services, and the present 765 should be increased to 885, the remaining 105 being applicable to Operation of Booming House, A, M* Folger