Monthly Status and Progress Reports for September 1950 (Partial)

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OR0 reported disposal of excess property representing surplus from direct government operations totaling $626,057 in acquisition value. Rescreening by defense agencies was completed, and OR0 estimated that it could complete its direct dfsposal activities involving contractors' excess property by about November 15. NYO reports use of a new form for reporting stores inventories and inventory changes and permitting analysis. A report was made to the GSA administrator on property management and supply procedures of AEC covering items such as standards for inventory levels, replacement standards for equipment, disposition of excess personal property, a d substitution of critical materials. Reports by operations offices in line with the President's program for conservation were combined into a consolidated report to GSA. Purchase orders for 81 automotiye-type vehicles for the IJPO, ORO, C O , SFO, HO, and SO totaling $358,000 were sent through Federal Supply The annual report to the Bureau of the Budget on motor vehicles showed substantial improvement in the matter of lower operating and mainTne transportation manual and an accompanyXng GM bulletin were completed and approved, and were being prepared for distribution. As a result of discussions Kith representatives of Gpo, that agency agreed to a procedure that would permit the AEC contractor to stamp certain phraseology on commercial bflls of lading and pay them in his usual manner instead of converting them to Government bills of lading. Data were obtained from AEC installations f o r a report to the President's Communications Policy Board. A proposal by a representative of Factory Mutuals that the McMahon Act be amended to assure property owners of indemnity for damage due to peacetime atomic enevgy operations pointed up the fact that more exact information must be conveyed to the executives of fire insurance compa-

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Further study was given t o the general problem tractors and their insurance carriers that funds will ca6e of catastrophe due t o atomic energy operations. The Revorts and Statistics Branch analyzed the fixed fees and contracts and sum-overhead provisions i n 35 of the larger AEC cost-type marized other data relating to these contracts, including amounts t o be paid and the relative size of each fee and overhead allowance compared Card records containing abstracts of approximately 2,400 MED prime contracts were transferred from Oak Ridge t o Washington and are i n custody of the Reports and Statistics Branch. A GM bulletin on property accounting was completed, approved, and sent to Organization and Personnel for issuance. effect a revision and elaboration of Controller ' s Release No. 2. This bulletin is in New York, Schenectady, and Chicago began the development of property accounting integrated with their general accounts,. step, the drawing up of a property unit catalogue, was virtually comple ted in all offices. accounting manual, and work on t h i s was proceeding on schedule. The next step is the develogment of a property The second draft of the construction accounting manual was completed during the month. The report of Touche, Nfven, Bailey & Smart on t h e i r recent 6uTvey of present accounting practices for community operations was sent t o the three operations offices concerned f o r review and coment. meeting i s being planned t o resolve t o the extent practicable the dif - ferences i n practice between the three offices disclosed by this survey and t o determine whether revision of the community operations part of the present budget and reporting classification is necessary. The Washington accounting branch w a s reviewing annual financial statements from all the operations offices and making preparatfon for issufng consolidated financial statements f o r AEC. Dur'ing the month the accounting work f o r Raw Materials Operations heretofore performed by New Pork Operations Office w a s transferred t o the Divislon of Finance i n Washington. Federal Govement accountin& The Chief of the GAO Accounting Syst&ns Division called together a small gpoup of accountants from a few agencies Including AEC t o work on a statement of accounting principle s for government agencies. devote its efforts principally to setting up standards for oper-ating The group is to meet regularly and will

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under the Budget and Accounting Procedures Act of 1930 and to furthering development of the joint Treasury-Budget-GAO accounting improvement The Budget and Accounting Procedures Act of 1950 which became law September 12 in effect gives legislative approval to the steps that AEC has already taken in its industrial accounting system and commercial auditing practices. While establishing the Comptroller General as the accounting and auditing authority for the Government, the law places upon the heads of the executive agencies the responsfbility for establishing comprehensive financial accounting, reporting, and auditing systems within their agencies a In accordance with a request by the Director of the Bureau of the Budget, AEC reviewed its 1951 budget program in an effort to effect savings as required under Section 1214 of the General Appropriation Act and elimination -or defemal of construction prodects were more than offset by a new requirement of $19.3 million. Bureau for apportionment of the f u l l amount of flmds available. request for apportionment was supported by the 1951 area financial plans as adjusted by the Washington office, The savings of $19.3 million effected by reduction in costs Accordingly, AEC asked the The 1951 financial plans of all AFX: offices were reviewed by the program divisions and the Budget Branch, and the requests totaling $934,916,732 were revised s o as to come within the over-all 1951 availatemporary allotments of fund requfrements through September were issued. Pending approval by the Bureau of the Budget, Since delay in passage of the 1951 Appropriation Act and other factors made submission of the 1952 budget on September 15 impossible, the Bureau of the Budget informally extended the date for submission. Recast estimztes and revised justifications were assembled for review by the Commission on October 5 0 During September a new type of' report on status of allotments was initiated by the Finance Division. showing not only the obligations and expenditures but also the costs incurred for each mcjor contract and working fund advance, The new report includes a schedule During September the report was completed on the survey of business management practices on the Atomic Bomb Casualty Commission in Japan. Business Operations Appointments Branch replacing Douglas McFarlane who w a s called to active military service late in July. George Taylor was appointed Chief of the Business Opdrations E. H. Glade was appointed Assistant Chief of the