Report - Jobs in Progress", enabling AKC to bill the Department of Defense without distorting the true contract costs on H & NW Statements. On April 9, 10, and 11, 1951, conferences were held in Honolulu to formulate policies governing cut-off and close-out of construction costs to completed facilities to be transferred to permanent Property Records, in conformance with the AEC Property Unit Catalog. These conferences were attended by the AEC Contract Administrator, four representatives of AEC's Los Alamos Finance Division, and the Controller of JIF-3; Holmes & Narver was represented by both the On-Continent Controller and the Jobsite Controller. Agreements were reached in connection with fiscal pro- blems related to the continuations of Contract Jobs 4 and 5. The Cost Accounting records were designed to provide a cumulative record of direct costs for the 35 Contract items, subdivided into 187 Contract features, on 21 island locations. Indirect costs were accumulated in 7 indirect cost centers, consisting of 160 cost accounts, for distribution to the Contract features. The Direct Cost Accounts, required for accumulation of costs by individual work orders, change orders, and island locations, totaled 2,316 accounts. During the Project, it was necessary to distribute many of these cost accounts to reflect the costs incurred in work for the 18 prime Users and 59 sub-Users. As of May 31, 1951, the AEC requested that costs of Job 5 Support and Roll-Up Services also be distributed by prime User and sub-User. This requirement had previously been applicable to construction costs only. PROPERTY AND MATERIALS ACCOUNTABILITY Because it was recognized that many intricate problems would arise in accounting for equipment and materials, by virtue of the logistics involved, the unavoidable delays in communications, end the large number of agencies to be supplied from stockpiles in H & N custody; Property and Materials Accounting Sections were organized at the Jobsite and in the On-Continent offices. Inasmuch as the functions of property and materials accounting must, of necessity, be carefully synchronized with receiving and warehousing operations, the accountability precedures were developed in conjunction with representatives of the Jobsite and on-continent warehousing organizations. The Jobsite Receiving and Warehouse Procedures were drafted concurrently with the Jobsite Property and Material Accounting Procedures in order that adequate accounting controls could be maintained at all times without hampering, or overlapping, the functions of the warehouses. It was necessary to provide for On-Continent Receiving Reports in order to process vendors' invoices for payment in a timely manner, in compliance with government requirements whereby payment of vendors' invoices without a corresponding Receiving Report is not permissible. Jobsite Receiving Reports were prepared at the time of receipt of equipment 11-19