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SPENCER L. BUTTERFIELD V I C E P R E S I D E N T WILLIAM COULTHARD 3 E C Y . - T R B A S . HARRY E. MILLER E. OTTO UNDERHILL JAMES CASHMAN JO H N BUNCH O fficers a n d D irectors THOMAS A. CAMPBELL P R E S I D E N T LAS VEGAS VALLEY WATER DISTRICT 9 0 0 S O U T H 5 TH S T R E E T LAS VEGAS, NEVADA T e l e p h o n e 5 9 2 0 HOWARD F. CLARK C H I E F E N G I N E E R A N D M A N A G E R P . O . B o x 1 4 4 8 P R O J E C T I O N OF P O S S I B L E R E S U L T S UNDER CONDEM NATION PR O CEED IN G S i. 2. 3 . F i r s t , i t may be r e a s o n a b l e t o as s ume t h a t t h e f o l l o w i n g f i g u r e s d e v e l o p e d by t h e D i s t r i c t m i g h t be a c c e p t e d by t h e C o u r t r a t h e r t h a n t h o s e a d v a n c e d by t h e U n i o n P a c i f i c C o m p a n y ' s e n g i n e e r s ; U n i o n P a e f i c D i s t r i c t RE PRODUCT ION COST L E S S D E P R E C I A T I O N . . LAND AND WATER R IG H T S ................. .......... TOTAL IN C L U D IN G LAND AND WATER R IG H T S $ 2 , 8 4 1 , 9 2 6 $ 2 , 7 9 4 , 5 6 1 2 6 7 , 6 5 0 8 6 , 0 0 0 $ 3 , 1 0 9 , 5 7 6 $ 2 , 8 8 0 , 5 6 1 4 . D ED U C T IO N S C L A I M E D BY D I S T R I C T WOULD IN A L L P R O B A B I L I T Y BE REDUCED BY COM PLETE E L I M I N A T I O N OF THE OVERHEAD I T E M, RE # S 0 L T IN G IN A P O S S I B L E ALLOWANCE O F ............................ ......... $ 2 0 0 . 0 0 6 5 . GRAND TOTAL {a s o f 5 / I / 5 2 ) $ 2 , 6 8 0 , 5 5 5 6 . ADD IT IO N A N D BETTERM EN TS ( U n c h a n g e d ) 1 9 2 ,6 0 0 7 . GRAND TOTAL i n c l u d i n g a d d i t i o n s and b e t t e r m e n t s t o 8 / l 5 / 5 2 $ 2 , 8 7 3 , 155 N O TE; R e s e a r c h o f c o n d e m n a t i o n p r o c e e d i n g s in com - P ^ r g b i e s i t u a t i o n s d i s c l o s e s t h a t t h e c o u r t s h a v e c o n s i s t e n t l y a l l o w e d an a d d i t i o n a l 1 0 $ o f b a s i c v a l u a t i o n f o r “g o i n g c o n c e r n v a l u e . ” 2 87 3 1 5 P O S S I B L E P R I C E UNDER CON DEM N ATIO N P R O C E E D IN G S ................... $ 8 , j 5 0 , 4 7 0 COMMENT; B a s e d on tbe f o r e g o i n g p r o j e c t i o n , i t i s a p p a r e n t t h a t any n e ­g o t i a t e d p u r c h a s e p r i c e t h a t m i g h t be e f f e c t e d at a f i g u r e b e l o w t h e U n i o n P a c i f i c ’ s t o t a l ot $ 3 , 1 0 9 , 5 7 6 w o u l d r e p r e s e n t a s a v i n g t o t h e D i s t r i c t * The h i s t o r y of s i m i l i a r t r a n s a c t i o n s D e a r s o ut t h e c o n c l u s i o n t h a t i t i s h i s t o r i c a l l y t r u e t h a t t h e a d v a n t a g e i s on t h e s i d e o f t h e p u r c h a s e r i n e s t a b l i s h i n g a n e g o t i a t e d p r i c e r a t h e r t h a n h a v i n g the v a l u a t i o n f i x e d by t b c o u r t s u n d e r c o n d e m n a t i o n *