CHAPTER Hil, SECTIONS 1 and 2 appropriate purchase orders to determine which items would require special handling to meet completion dates. Inventories and long supply reports were checked for the possible substitution or interchangeahility of items, or for determining the need for a change in stock levels. The Chief of Operations was also responsible for the issuaace of all requisitions based on advance material estimates and bills of materials as furnished bv Engineering, plus those items ordered by the lield forces. All requisitions were checked to ascertain that the materials on order were justifiable and that such items were being purchased in accordance with Commission and Contractor policies. The Project Engineer was in charge of all engineering phases of the project, such as funneling the engineering requirements into the proper channels within the H&N organization, and acting as final source of engineering information for both AEC end H&N management personnel. He specified the materals and equip. ment to be incorporated into structures and systems, except minor items normally carricd in stock or items required for construction which were designed and built in the field. The Project Manager, assisted by the Resi- dent Manager, supervised operations in thefield, iecluding the maintenance of all PPG facilities. Since this entailed a busy schedule for these two men. and due to conmetrrent operations be.ng performed on two widely-separated atolls, an Assistant Resident Manager was assigned for Bikini Atoll. The supervision for all this activity was controlled through six division heads, shown in the Jobsite Organization Chart, Figure 3-2. Detailed description of the mechanics of administrative control covering the Accounting, Estimating. Industrial Relations, Procurement, Security, and Office Service Departments is related in succeeding sections of this chapter. SECTION 2 ACCOUNTING For accounting purposes. Operation IVY ended on 31 December 1952, and Operation CASTLE was initiated on 1 January 1953. The terms and conditions of Contract AT(29-2)-20, Article VIIL. detailed the Accouniing Department's requirements and responsibilities. Briefly, these terms anu conditions decreed that accounting records, books of account, system of accounting, internal control, and auditing were to conform to generally accepted principles which were satisfactorv to the Commission. and that the Contractor would furnish reports and financial statements as the Commission required. Due to geographic separation, it was neces- sary to divide the Accounting Section into two groups - Home Office and Jobsite. Jobsite accounting operations were administered by the Resident Controller, who reported to the Project Manager, but were carried out in accordance with the basic accounting policies established and issued by the Home Office Controller. The field office prepared and audited all basic timekeeping, cost distribution data, materiai issues, token payments, travel advances, cashicring, inventory records, ete., for transmittal to the HomeOffice. Except for revisions and additional reports required by the Commission, the accounting statements and reports were submitted and records were maintained throughout Operation CASTLEin accordance with the applicable re- quirements of the USAEC Controller's Manual. Functional accounting activities in BUDGETS. Fiscal-year budgeting operations Approximately three months prior to the beginning of a fiscal year, the AEC Field Mana- xers office requested detailed explanations of the intended application of funds estimated for each operational phase. Approximately fifty individual items were involved, each covering a particular scope. At this time, the needs and requests of Holmes & Narver divisions responsible for Contract performance were correlated and interpolated inte the respective monetary requirements of the AEC budget format. Atter being reviewed by the Commission. the Holmes & Narver budget presentation pecarne an approved finance plan. This plan constituted the monetary framework within which operational costs had to be contained, and the Budget Section reviewed constantly all costs to ascertain that budgeted amounts were not being exceeded. In the event costs approached budgeted maxJ i LSTRETnr—” Heme commenced approximately sixteen months prior to the beginning of the fiscal year when a general scope of operations and the estimuted costs were outlined. As various budget factors became more firm, changes were written into the original cuthni. Refinoment of plans, based vit deisions of the Commission. were fowwarded tc the Budget Section for recording and coordinat/or . Page 3-2 SIEA the Office were segregated as shown hy the foslowing headings. t { t od eet neonates |

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