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—3 “ booster pumps, reservoirs, water treatment plant, etc., in­stalled at a cost in excess of $5,000,000.00. At the meeting last night, the engineers advised the committee that the Basic water system had been subjected to considerable wear and tear, besides being installed in a hurry as a war emergency measure, and that they (the committee) should therefore expect to be saddled with the entire cost of a line from the Lake. This statement was made in response to a rumor that the National Government might be persuaded to give the system to Clark County without cost. The Basic Magnesium water line operating costs, in­cluding Cost of Water Purchased (at Lake), Supply and Transmission, Storage and Treatment, was $32.50 per million gallons. Based on a maximum demand of 14,000,000 gallons per day (which we ap­proached last Summer) the cost would be $22,950.00 per month. Our sales now run $13,000.00 per month. The BMI operating cost above quoted does not include depreciation, reserve for replace­ment, taxes nor interest on investment, and contemplates delivery only half-way to Las Vegas. The capacity of their water treatment plant is 20 million gallons per day, and 6 million gallons per day of this amount must be delivered to the present Basic Magnesium Project and the town of Henderson adjoining. Frankly, I do not see what could be accomplished by the proposed plan, except that it might make a supply of water available for Irrigation in the Las Vegas Valley (at the expense % ?3-