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Las Vegas - May 10, 195^ Report No. 1 In accordance with your instructions we met with the Accountants of the Water District this morning at a preliminary conference in the office of the General Manager, Las Vegas Land and Water Company, to discuss the scope and the basis of the audit now underway. There were present: Representing the Las Vegas Valley Water District The firm of CPA*s - Conway, Moe, Hibbs and Punston: N. H. Conway, CPA L. J. Loren M Representing the Union Pacific L. R. Maag, Manager LVL&W Co. M. E. Davis, Chief Clerk LVL&W Co. Ned Doty, Traveling Auditor UPRR Co. W. P. McCafferty, Asst. Traveling Auditor UPRR Co. C. G. Parkinson, Accountant UPRR Co. The basic principles underlying the contract ^ ^ ^ d i s - cussed in detail and we are fully in accordance with those prin­ciples as the District Accountants understand them. They asked innumerable questions all of which I am sure were answered and satisfied the District’s representatives. After some forty-five minutes they went to work about 10:15 A.M. They are using the usual CPA approach. Requested the balance sheet and checked the additions and deductions from the basic purchase price of $2 ,5 0 0 ,0 0 0 .00jtherewith. They are now proceeding on that basis. Perhaps before the day is over they may be able to answer a question I posed to begin with, i.e., how long will be the audit and what is the scope. They said they preferred not to answer that at this time. Please accept this as a progress report. There will be further reports daily. Also, kindly advise Mr. Peart. If you will save this, upon my return I will prepare a final brief report from these daily reports. M r. R . M« S u t t o n :