1 wD eye CHAPTER Ill, SECTION 1 CHAPTER III ADMINISTRATION SECTION | MANAGEMENT Contract AT-(29-2)-20 between the Atomic Energy Commission (AEC) and Holmes & Narver (HEN), the Contractor, is a Fixed-Fee Architect-Engineer-Construction - Management contract administered by the Manager, Albu- querque Operations Office of the AEC through the Deputy Director, Test Division. Within the framework of this Contract, the AEC has wide latitude to change the scope of work or services to be performed by Holmes & Narver and at the same time protect all the rights and interests of the Government insofar as the control and expenditure of funds is concerned. This Contract superceded Contract AT-(29-1)-507, under which the work and services for Operation GREENHOUSEwere performed, and was executed to provide for Operation IVY. It was first modified and extended to cover Operation CASTLE and then altered again for RED- WING. In general, the modifications and extensions provided for a continuation of H&N responsibility for the engineering, construction, operation, and maintenance of the Pacific Prov- ing Ground. Thecentralization of authority and responsibility for all features of the project under one contract permitted simultaneous action on architect-engineer services, procurement of construction equipment and materials, recruitment of manpower, and the various other elements required for planning a complex Operation against a rigid end-date. The organizational structures illustrated in Figures 3-1 and 3-2 provided for the executive and administrative control of the related functions assigned under this Contract. The administrative relationships of organizational units were further clarified by a standard system of Home Office and Jobsite procedures and bulletins which outlined: methods, delegated authority, and fixed responsibilities. Of particular importance in this respect, in view of the fact that the responsibility of both engineering and construction resided in one organization, was the necessity of ensuring that engineering services, including inspection of construction, progress reporting, and related functions, were effective. In any operation of this magnitude, a large part of the work is experimental, and when the sites of operation are isolated from the normal supply of both personnel and material, certain difficulties must be considered at the outset. Management planning was based on the realization that these difficulties would be minimized by maintaining close liaison with representatives of the Commission, and the various participants, including Military, Scientific, and Transportation Agencies. The effectiveness of this planning is borne out by the manner in which difficulties, arising as a result of additions to the scope of work and the short time allocated for their completion, were overcome. Over-all responsibility for policy direction affecting contractual obligations rested with the Executive Vice President of Holmes & Narver, Inc. He delegated to the Manager of the Construction Division the authority to coordinate all activities affecting the engineering, construction, and operation of the entire Pacific Proving Ground project. To assist the Manager of the Construction Division in fulfilling these responsibilities there was established within the H&N organization under the Project Manager, a selfcontained administrative unit comprisingall the elements necessary to completely service the requirements of this overseas project and also to facilitate Home Office participation. The plan of this unit was devised so that, upon inception of the project, the following phases could be coordinated. 1. Complete design of the project, including all engineering incidental thereto. Preparation of cost estimates. Accounting and control of costs. Scheduling of operations, and the follow-up necessary for maintaining these schedules. Purchase and inspection of materials and equipment and their transportation to the project sites. Mobilization of manpower, including recruiting, security clearing, and transportation. Furnishing a field staff for engineering supervision of construction. Construction of the project. Inspection of construction. Page 3-1