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Las Vegas - October 1, 1948 W 23-1-47 Mr. Wa. Reinhardt: C cc - Mr, 1. S. Bennett Mr* 0. M. Cory) Referring to Mr. Strong's flit 1-7331** contain­ing correspondence with Waale-C&mplan it Tlberti concern­ing application for extension of water mains to serve Samamsa Village Tract* Tlberti has already purchased and has strung out on the ground about 3500 feet of 10-inch and 12-inch east iron pipe to be oonneoted to the Railroad Company* a 24- inch transmission main to serve Bonansa Village. He ad­visee the pipe cost $13,000. Last week when Masers. Adamson and Kaeg were here, we conferred further with Tlberti and estimated that he would bs faced with an addi­tional cash out-lay of about 120,000 to cover the labor required in installing the pipe line plus half the cost of the pumping equipment. Attached Is letter received this morning from Public Service Commission together with copy of Tlberti * s letter to them raising the queetlon of whether the sub-dividers should be required to pay any of the cost of the pumping equipment. This is the first instance of this kind that has arisen since our adoption of Rule 9-A cover­ing water main extensions. kill be glad to have the benefit of your advice. If a public hearing were held on the question, I assume the Commission would rule that the subdivider would be re­quired to advance only the cost of making water main ex­tension; and that ths responsibility for providing adequate service, after such extension is made, would rest with the Utility. A. IS® Folgsr