Qn March 2, 1950, the revised schedule of fiscal reports was rewiewed with the AEC Deputy Manager, who commended the projected revisions, especialiy the discontinuation of the mumerous reports and schedules, stating that these statements would be satisfactory to the AEC Manager's Office so long as they were adequate for the management requirements of the Contracting Officer and of Management of Holmes and Narver, Inc. In conferences at the H & N Home Office on April 4 and 5, 1950, the AEC Diractor of Finance and his Chief Auditcr requested reswaption of the preparation and submission of the following statements and schedules which had been discontinued as a result of the Los Angeles conferences of Feb- ruary 7 and 8, 1950, and the Los Alamos conferences of March 1, 1950: 1. Cash Receipts and Disbursements. 2. Statement of Entries to and Balance in Current Account. 3. Reconciliation of Summary of Cash on Hand and Disbursements and Estimated Cash Requirements. 4, Operating Statements from Inception of Contract. 5. One additional Reconciliation Schedule to be requested by letter from the AEC Chief Auditor, indicating desired arrangement. Following a review of the notes on the Los Angeles meetings of February 7 and 8, 1950, and of the Controller's Report of the Los Alamos meetings of March 1 and 2, the Chief Fiscal Officer and the Controller of H & N advised that H & N would continue to furnish required reports and statements in accordance with the terms of the Contract. It was emphasized, however, that none of the discontinued reports served any useful purpose insofar as H & N Management was concerned, and that the discontinuation had been officially ratified at the Los Alamos meeting of March 1, 1950. It was further advised that assurance hadbeen given by the AEC Contracting Officer and by H & N Management that the reports being furnished in accordance with the agreements of March 1, 1950, were adequate for management purposes. Upon a subsequent visit of the AEC Deputy Manager to the H & HN Home Office, he was presented with the views of the Fiscal Division on the re- instatement of these requirements. Later, in a letter, dated April 25, 1950, H & N was advised that reinstatement of the discontinued reports weuld not be required.+ Other statistical reports submitted by the Fiscal Division, in accordance with Commission requirements, are listed below: 1. Monthly Personnel Status Report (Form SF0-58). Lamc letter, April 25, 1950 (HN-7357). 11-28