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V (COPY) Las Vegas, Nevada. October 18, 1934. Mr* E. E. Bennett: Replying to yours of Ootober 16th relative to water system of Las Vegas Land and Water Company, will say that from tine to time there is talk here about municipal ownership of water Utilities, but the impression I get from this talk is not so much about the City taking over the Land and Water Company’s holdings, as it is for the City to install its own system, using the water from the artesian well on city owned land located a mile or so northwest of the Railroad Company’s spring. There is a statutory authority authorizing the City of Las Vegas to purchase or acquire public utilities, and this is contained in Section 31 of the Charter of the City of Las Vegas, as amended b y the session laws of 1931 (See 1931 Nevada Statutes, Page 377, subdivision 5). Pursuant to that section, the City Commissioners have power to borrow money on the credit of the City and to issue bonds therefor. There is no limit as to the amount of bonded indebtedness the City can incur for the purpose of procuring supplies of water. The seotion provides that the Board of City Commissioners shall have the power to acquire or establish any public utility in the manner therein provided, and the procedure to acquire same would be as follows: The Board issues a proclamation setting forth briefly the public utility proposed to be acquired, the estimated cost thereof as shown by the report provided b y the Board and Mayor or an engineer or party appointed by the Board for that purpose, the proposed bonded indebtedness to be incurred therefor, the terms, amount, rate of interest, and time within which redeemable and on what fund* The proclamation is published once a wee k for three successive weeks in a newspaper and states the date of the meeting at which the Board will pass the ordinance providing for the bond issue. At the time fixed