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los Angeles, A p ril 50, 1929 9215-355 4 Mr* W. M. J effers: Referring to your F-15? A p ril 25 regarding water matters at las Vegas: I am enclosing copy o f Mr* McRaiaee's le tte r to me A p ril 27, in which he answers in the affirm ative Mr. Gray*s inquiry regarding the land and Water Company ’ s ri^ht to place franchise meter rates in e ffe c t* I t Is also Mr. McH®mee*s opinion that the #commission would have a righ t to consider and order an increase in the f la t rates i f the facts would warrant.* S& proposing increased rates, he would cover the entire situation within the City o f las Vegas, se­curing C e rtific a te o f Convenience and necessity to serve a l l te rrito ry , except those subdivisions fo r which C ertifica tes are now held or the early securing o f which is anticipated by outside water companies* the te r r ito r y to be included in the land and Water Company*s C e rtific a te would under this pro­posal include the Railroad Company's industrial property north o f our tracks, but i t is to be understood, o f course, that the Railroad Company w ill use it s own water supply fo r railroad purposes. Mr. IcHamee's plan seems to be a lo g ic a l one. per cu. f t . fo r water sold at wholesale, involving termination dusting contracts and entering into new ones on that I t w ill be noted that he advises a charge o f 8$ O . S .IB. May 1