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Page 2 of the County in connection with M.J.C. Mr. Buss stated it would be in the best interest of the City to come to an agreement with L.C.W.S.D. by giving them a tap and the City obtaining M.J.C. Committee discussed the feasibility of taking over M.J.C. and the miles it encompassed. Committee discussed legal rights of City if L.C.W.S.D. built the new reservoir. Councilman Bone questioned the amount of money the City would lose if L.C.W.S.D. went around the distribution system. Committee discussed the amount of water that was currently being taken by L.C.W.S.D. from the City system. John Buss estimated the amount of water they are currently using to be 1.4 mgd., but with the new tap they are going to either do away with the N.W. meter or the North and N.W. meter which will leave approximately 400,000 mgd. City Attorney stated that the reason L.C.W.S.D. was attempting to get approval for the new reservoir at the present time, was because they have to obtain all their financing at one time. Chairman Clifford told Committee that Alton Dockrey had informed him the water from the new reservoir would be used to go west toward Ladonia. John Buss informed Council that at the current time the City is paying rent to the government for the water capacity at Pat Mayse and the City should be capitalizing on this by possibly starting to sell to various wholesalers. City Manager Malone discussed the possibility of a new industry and the water capacity which would be needed. John Buss gave the Committee the approximate numbers on L.C.W.S.D. water usage from last year's data, and stated this pipeline they are building is larger than what they are using now so in all probability they will take more thru it. Mr. Buss stated that the other side is if M.J.C. is obtained by the City and water is sold at double rates, the City is going to earn something on the order of $42,000. City Attorney Haynes stated that if this goes through we will be changing the water contract to allow L.W.C.S.D. to hook on and the City will be selling water to M.J.C. at double rates. He also stated that L.C.W.S.D. has agreed that they will continue to buy the same amount of water from the City. Councilman Bone said he was agreeable with the first four points and leave off the bottom item. Chairman Clifford stated that it should be put in the contract that L.C.W.S.D. would continue to purchase the same amount of water. There was further discussion as to location of pipeline. Mr. Buss stated it might make sense to give them the tap if they would locate the pipeline in a certain area. He said that under the old contract the City could buy the lines, but under the new contract the City could not buy the lines. He said that perhaps by giving them the tap at a location agreeable with the City, they would give us a right to buy the line at a later date for $1.00. Chairman Clifford stated that it was the consensus of the Committee to go with the first four items and to strike the last item with the possibility of later negotiating the cost of the line. John Buss and Gene Anderson were directed to firm up the figures which were used at this meeting.