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G-. F. Ashby: Los Angeles * January 16, 19^6 (CC - Mr. V. H. Hulsizer Mr, B. H. Prater ) Request for authority to overexpend RR Co. AFE Mo. 61 of lfk$ for additional water facilities as follows: at Las Vegas* Authorized $263 8Mo Revised Estimate 289 780 Exoeas | 25 9Mo O.E. $ 11 160 gQ 730 I 9 570 Total $275 000 j i i p . m I 35 510 In explanation of the overexpenditure, please note: 1 . In making estimate It was contemplated MofW Dept, would perform pipe laying, and estimate was prepared on basis RR Co. rates of pay. When work started City Bldg, Trades Council (AFofL) established a picket line* claiming work belonged to its organization. In adjustment between the two labor unions MofW Dept, withdrew its foroes from entire job and we were obliged to contract. Thus we had to add to our estimate Contractor's profit, and compute on scale of wages con- Has OE Total slder&bly higher than in effeot in our MofW Dept., resulting In eat. increase of- - - - $16 9M0 # 2 600 $19 5M0 2. There was an error in estimating the cost of performing Operating Expense work on Railroad property in the amount of - - - J —£ $J0| . ._ ? '?* ' , A*6.: r . 9•.*'70. 3 . After it became known pipe line was to be constructed in Charleston Blvd.,property owners made applications for connections, requiring tees, valvee and extensions at an exoeas coat of approximately - - - - - - - 3 000 3 000. veM-r. syD ebleatyw eiennci dtehnet twtoo Usneitotnlse mceanut seofd cadodnit­ro­tional cost of approximately - - - - - - - 6 000 __^ ^ ^ 6 000- Total ||| 9M0 $ 9 570 $35 510 ' After something over two month! delay, labor difficulties have been oomposed, and Contractor is now reorganizing to proceed with tiie work. We have a guaranteed maximum proposal from McNeil Construction Co. for the unfinished portion of the work, which will bring total expenditure within the amount above requested. Request authority to prooesd with the work with possible overexpenditure to the extent above set forth. Frank Strong