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*vhjspaay is paying oO*GO/i of the coot of maintenance and operation of tIia railroad facilities located at the aouro© of our water supply • Effeot- iv® January I* 1050, wo started paying $1,400 a month on the basts as outlined in the ottuohed statement which was prepared by the engineering itepartment* In addition m have our pipe line investments in the Oity of Las ?df>s and sub-dlvlsions* which adds to our oost of operation* Were inters installed* we could figure that in a large majority of oases vie would get only the minimum, ms most of the miter used here Is for the development of lamia and trees* and with |pfc eliminated, the amount of • water used would be materially reduoed* It is our opinion list use of meters would reduoe our present revenue more thn twenty-five peroent* ;<hile in addition to our present expenses, we could figure on approximately |1,800 a year coat of reading meters* preparing and mull- ing bills* handling deposits and other various duties that would be added along this line* |! similar amount of expense would be added to our maintoimnoe foroe* as meters instxillcd her© have proven 'to function oorreotly for about only one month; thereafter slowing down until at the end of six or eight months* the dials dome to a complete stop* although water continues to pass through the measuring diso Just as freely* SMs would mm that praotioally every meter in town would have to be removed and cleaned during each six-month period and wiier© larger ^usatities are used, every three months* We have Just completed and delivered to fee haw department* a new flat rot© schedule, copy of which 1 on attaching* which we contemplate putting into effect upon revival of favorable conditions in fca Vegas* Under this schedule vm should maint in earnings very oiuilar to those during toe year 19 h8* which is approximately $8*000 net annually* fours very truly, Euimi it* iSIuiiS Vioe-President & agent* Enclosures 3* s s s m