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Joint Application of Las Vegas Valley Water District and the Colorado River Commission of Nevada for the Transfer of Certain Water Facilities, Plancor 201, Basic Magnesium Plant, Henderson, Nevada Administrator of General Services, General Services Administration, Washington, D, C . Dear Sir: 1. This application is for the purpose of (1) perfecting the title of the State of Nevada to the water facilities constructed at or near Henderson, Nevada, by Defense Plant Corporation and (2) the transfer of such facilities with an indefeasible title to Las Vegas Valley Water District, all for the consideration and upon the terms herein set forth. 2. Such water facilities consist of a transmission line, terminal reservoirs, water distribution lines, and appurtenant works of miscellaneous sorts, conveying water from Lake Mead to Henderson, Nevada, and distributing said water to the Basic Magnesium Plant and various other properties in the Henderson townsite„ B A C K G R O U N D O F APPLICA TIO N 3. These water facilities were constructed during World War II by Defense Plant Corporation to supply and distribute water to the Basic Magnesium Plant and the townsite of Henderson. Such facilities were leased to the Colorado River Commission of Nevada under a letter of intent dated September 16, 1947, a copy of which is attached hereto, and were proposed to be sold to said Colorado River Commission under a letter of intent dated March 17, 1948, a copy of which is attached hereto, and were later conveyed to the State of Nevada by Reconstruction Finance Corporation, acting by and through War Assets Administration, by quitclaim deed dated June 3, 1949, a copy of which is attached hereto. 4. Under the letter of intent of March 17, 1948, and the quitclaim deed of June 3, 1949, title to Basic Magnesium Plant and the facilities provided therefor, exclusive of the electric transmission line and with some other minor exceptions, was conveyed to the State of Nevada for a consideration of not to exceed $24,000,000, to consist of $1.00 paid in cash and additional sums to be derived over a twenty year period from net revenues and other emoluments from the sale, lease or operation of the property conveyed. The grantor Reconstruction Finance Corporation retained a vendor's lien on the property. In the computation of the price of the property, the water facilities were valued at $ 1,500,000.