Any city operating an irrigation system under the provisions of sections 50-1801 through 50-1835 which desires to acquire and operate or acquire or operate a city irrigation system as provided under sections 50-1801 through 50-1835 shall cause the accounts between themselves and any irrigation or canal company or irrigation district, as the case may be, to be adjusted and settled at the time such city shall commence to operate a city irrigation system under the provisions of this act.