of the services included in the second contract which was placed in March, 1925, to the extent of £61,000. A further rise in building costs has taken place during 1925, and it is estimated that this increase, together with the increase of 15 per cent. during 1924, will affect the final contract to the extent of £55,000." In the event it was found necessary to make a further addition in respect of the final contract to the extent of some £20,000. It will be seen, therefore, as already pointed out in the penultimate paragraph of the paper I handed in on 6th June, 1928, that at all stages of our submissions to the Treasury the estimates have been kept intentionally at the lowest reasonable figure. On the information we have been able to obtain from independent sources, and from the experience of War Department Contracts placed throughout the country, regarding the rise in cost of labour, materials and building prices generally, we are satisfied that the rise in prices which we have quoted as being partly responsible for the increase in the total Catterick Estimate, did in fact take place. The increase in the Estimate, apart from that part of it which is due to the rise in prices, has already been explained by my Memorandum of 6th June, 1928. All the circumstances were fully explained to the Treasury on each occasion when the Estimate was revised, and the scope of the Service as presented to Parliament was not extended. 7. One specimen copy* of each of the three Contracts placed is being forwarded with this paper, for inspection by the Committee. In each case the contract was based upon bills of quantities, which accompanied the invitations to tender, setting out by trades the amount of work which it was estimated would be required for the particular services included in the contract. These bills of quantities specified in detail the amount of brickwork, joinery, flooring, plastering, roofing, etc., which the Royal Engineers (with the assistance of full qualified Quantity Surveyors who were either whole-time War Office employees or were specially employed for the work) considered to be necessary for the work. The firms tendering for the work priced the bills of quantities in detail, and framed their lump sum estimates accordingly. The lump sum estimate, together with the bills of quantities of the accepted tenderer, formed the basis of the contract in each case. The schedules of prices appended by the contractors to the bills of quantities supplied to them run into many hundreds of pages, and are too bulky to reproduce, but they can of course be made available for inspection by the Committee if this is desired. 8. In a reconstruction service of this kind it was not unreasonable that a large quantity of extra work should be found to be necessary as the service proceeded. As already explained in the Paper of 6th June, 1928, this additional work included the renewal of floors, roofs, doors, windows, drains, water pipes, roads, etc., to a greater extent than was allowed for in the original estimate. The extra work was due mainly to the fact that the buildings had deteriorated during the five or six years in which they were standing derelict, to a greater degree than could be ascertained before the work was actually in hand. The contracts provided for the pricing of this extra work (which the Contractor could only put in hand with a definite order from the officer in charge of the service) at the detailed rates quoted in the bills of quantities-on which the contract itself was based—and failing this, at the rates in the standard War Department schedule of prices for building work subject to a special percentage addition or discount. It will be seen, therefore, that the extra work was carried out at rates which were not higher than those generally applicable in the Contract. The War Office, 6th July, 1928. * Not printed. (Signed) H. J. CREEDY. [ 573 ] INDEX. A. Aberdeen Research Institution.-Weatherill 2685-6. Abu Zabal, Post Office station.-Bunbury 367-9, 380-1. Acton, Ministry of Health Office. Use of mechanical contrivances, Addis Ababa.--Electric light, etc., installation, Earle 802-3. Admiralty. Coal purchases from, by Office of Works, Earle 641-2, 681, Agriculture, Board of, for Scotland.-See under Scotland. Agriculture and Fisheries, Ministry of.-Agricultural co-operative Agricultural Wages (Regulation) Act, 1924: total Cost, Dale 3593- Appropriation Account, 1925-26, App. 1 (p. 491) Mussel cleansing National Stud: Rock garden, Dale 3611; Ramsay 3611- -Sale of Patrington, handed back to Crown Lands, Dale 2609-10. Air Services.-2nd Report 20-7. Airships: R. 100, cost and progress, Nicholson 4812-8 -R. 101, under Appropriation Account, 1925-26: Abstract, App. 1 (p. 488)— -Com- Balances irrecoverable and claims abandoned: Nicholson 5022-7- Air Report, 1928-continued. Air Services--cont. Boscombe Down aerodrome, value of, price obtained for, and cost of repurchase, Nicholson 4971-81, 5726-81, App. 48 (p. 562); Dannreuther 5-50, 749, 5780-Cadets, little wastage after training, Nicholson 4990-2 Claims upon the Government of India, position re, Ramsay 4408; Nicholson 4409-10-Clothing and clothing material stocks, particulars re, Nicholson 4874-82; Ross 4873-82- -Coke purchases during coal stoppage, 2nd Report 21; Ramsay 4411-2, 4420, 4421, 4423-4, 4482, 4488-9; Nicholson 4413-4, 4419-90; Waterpeld 4414-8, 4437-8, 4450-1. Contracts. Butyl alcohol, advances made to keep firm in being and loss on, Ramsay 4635-7; Waterfield 4638, 4641-5; Nicholson 4653, 4654, 4658-62, present position position re supply, Waterfield 4663-4; Nicholson 4664-9- Bomb sights, uncovenanted advances to contractors and loss on, Ramsay 4635-7; Waterfield 3638-40, 4646-52, 4654-5, 4674; Nicholson 4653. Contractors: Inquiries made of bankers before placing on contract list, Nicholson 4655, 4672 Special advances to, complete working off of advance before making further payments, principle of, Ramsay 4636-7; Nicholson 4673, inquiries of bankers prior to, impracticability, Waterfield 4655; Nicholson 4655-7. Cranwell, cost per head for training, Nicholson 4934-8, 4993-8Cranwell Railway, Nicholson 4819-22 Emergency services vote, Phillips App. 5 (p. 505) 507. Equipment: Blue web: Application for Treasury sanction for change possibly not necessary, but application should have been made for expenditure involving exceeding of subhead, Waterfield 4493-5, 4539 ---Change to should have been submitted to Treasury for sanction, Ramsay 4492 --Purchase of, in substitution for khaki, 2nd Report 22, eircumstances of, Nicholson 4496-556. Practice re issue of, Ross 4533; Nicholson 4534. Farnborough Royal Aircraft Establishment: Land, buildings, etc., writing down, Nicholson 5011-2----Salaries and wages, comparison, Nicholson 4967-70. "Woodlands," official residence of Chief Superintendent: 2nd Report 27—-—Accommodation, Nicholson App. 39 (p. 549) --Purchase of, in 1921, subsequent expenditure on, and writing down of capital value, Nicholson 4743-69, 1771, 4780-94, 4949-56, App. 39 (p. 549); Ramsay 4741, 4762; Waterfield 4768-79, 4957-8. Grant from Empire Marketing Board, Dale 3600-2- Gratuities, underspending on, mainly due to unforeseen retention of officers on active list, Nicholson 4399-401. Hervieu hangars: Provision of additional panels for use on Cairo-Karachi route and subsequent decision not to use, 2nd Report 25; Ramsay 4675, 4687; Nicholson 4676; Waterfield 4677, 4678-89, 4684-93, 4725-6 in Store, question of number, life, and possible use of, Nicholson 4681-3, 4694-728. Hydrogen-kerosene engine: Delay in development of, 2nd Report 20 Purchase, progress, etc., and results hoped for, Nicholson 433840, 4342-70; Ramsay 4356, 4369 Treasury attitude, Waterfield 43402 Treasury Minute, App. 2 (p. 502); Ramsay 4337. Iraq, see that title. Air Report, 1928-continued. Air Services -cont. Laundries and bakeries: Abroad, Ross 4829-Accounts, form of, and steps taken for uniformity with Army, Kamsay 4827; Waterpela 4828; Ross 4829 -Bakeries, staff, Ross 4867-70 Bread, quality of flour used, Ross 4842-1, no rejection, Ross 4830-1---Co-ordination with Army, measures taken, Ross 4829 Cost, 1926-27, analysis, Nicholson App. 42 (p. 551-3), comparison with Army figures, Ross 4529, 4863-6, comparison with contract figures, Ross 4829, 4859-62; Ramsay 4845-7; Nicholson App. 43 (p. 554), decrease, Ross 4829 Policy re, Ross 4829 -Power and fuel, cost, Cranwell and Halton bakeries, Ross 4840-1, 4857-8——Supervision and charges, Cranwell and Halton, Ross 4832, 4856; Nicholson 4856- - Supply of Army from, at certain places, question of, Ross 4848-54; Nicholson 4850. Naval hospitals, use of, Murray 5510-— Outfit allowances, underspending, Nicholson 4962- Patents, taking out of, by officials, position re, Nicholson 4908-15, 4917-21, 4926-17; Waterfield 4916, 4922 Personnel, statistics and comparison with other years, Ramsay 4371; Nicholson 4373-92. Provisions and horses: Combination under one head, Nicholson 4966; Ramsay 4966-Under-spending, Nicholson 4965. Purchase of house property, inspection previous to, Nicholson 4743 4780-4, 4948, App. 40 (p. 550)-- Recruiting, effect of accident rate Nicholson 4961. Stocks, valuation, system and question as to value of figures, Nicholson 4892-5; 4896-903; Ramsay 4895, 4903. Stores: Surplus stores to ledger value of £10,885, sale for £510, Nicholson 4394-8. Underspending, Ramsay 4393-4; War reserves: 2nd Report 26. -under Discussion as matter of policy, Nicholson 4872-3-Uniform etc., position re, Nicholson 4883-7. Wastage from resignations, Nicholson 4963. Works and buildings: Estimate, supercut, method of carrying out, Nicholson 4402-7- Grant in aid, Nicholson 4982-3-Revaluation of stocks, Nicholson 4896-903; Ramsay 4896, 4903. Aldershot Tattoo. See under Military tattoos, etc., under Army. Anglo-Turkish Mixed Tribunal. Setting up of, difficulties in connection with, Butler 1172-4- Working normally and progress satisfactory, Butler 1171-2, 1172-5. - Angora.--Diplomatic premises at, Butler 1123-4. Appropriation Accounts, 1925-26. Comparison of audited expenditure with Exchequer issues and general abstract, App. 1 (p. 487-95). Army. Allowances, whole question of, being enquired into, Waterfield 5144; Creedy 5145. Appropriation Account, 1925-26: Abstract, App. 1 (p. 488)- -Comparison of audited expenditure with Exchequer issue, App. 1 (p. 487). Army Report, 1928-continued. Army-cont. Bakeries, see Laundries and Bakeries below-Barracks, central heating, experiment and non-continuance of, Ramsay 5207; Creedy 520810 Cash balances in hands of Command Paymasters abroad, verification, Ramsay 5101, 5104, 5105; Creedy 5101-5— Catterick Camp, reconstruction estimates and expenditure, etc., 2nd Report 28; App. 52 (p. 570-2); Creedy 5285-323, App. 47 (p. 560-2); Crosland 5296– in China, see under China- -Cost accounts, Treasury Minute, App. 2 (p. 501) Egyptian contribution, non-payment for many years, Creedy 5046- Electricity supply, warrant officers and married soldiers quarters, allowance of, and measures now taken to control excess, Ramsay 5226, 5235; Creedy 5226-40; Crosland 5240. Expenditure: Comparison with estimate, Kamsay 5032; Creedy 5033-4 -Economies in units, handing over of share to unit concerned, Ramsay 5106, 5127-8; Creedy 5106-28- -Saving owing to general strike, Creedy 5036-9, 5050; Ramsay 5049. Extra-Regulation grant system, Creedy 5130--Financial adjustments with India Office, no settlement effected but negotiations proceeding and position re, Ramsay 5064, 5080; Creedy 5065-8, 5072-91; Crosland 5068-71- -Home Effective charges paid by India, less than estimate, Creedy 5047--Hospitals, co-operation with Navy, extent of, Murray 5510-9- -Larkhill School of Artillery, instructional staff, addition to, without necessity, Ramsay 5186-7, 5195; Creedy 5188-96; Crosland 5193. Laundries and Bakeries: Co-ordination with Air Force, measures taken, Ross 4829- -Cost, comparison of Air Force figures with, Ross 4829. 4863-6, details of, at home for 1926-27, Creedy 5260-1, App. 46 (p. 558, 559); Crosland 5260– Labour, Creedy 5259, 5262-3- -Policy re, Ramsay 5257; Creedy 5258. Lodging allowance of married officers, condition of family living at station, question of, Ramsay 5143, 5148, 5150, 5151; Waterfield 5144, 5149, 5152; Creedy 5145-85. Mechanical Transport: Companies: no Charge in Accounts for Army Service Corps personnel, Ramsay 5265, 5267, 5269; Creedy 5266-70; Crosland 5269- -Petrol and lubricants, undercharging owing to wrong basis of charge, Ramsay 5264. total Expenditure, Crosland 5244-7. Workshops: Repairs may be done locally in few cases, Creedy 5242-3, 5255-6--Supervisory and clerical costs, Creedy 5248, 5251, 5253-4; Crosland 5249-52. Military Tattoos, etc. Aldershot, insurance against bad weather, Creedy 5134 Birmingham, loss on, and payment to Association out of Extra-Regulation grant, Ramsay 5129; Creedy 5130, 5135-7; Waterfield 5131-3 -Field allowance, Ramsay 5129- -Royal tournament, Olympia, profits, use of, Creedy 5138, ration allowances, Ramsay 5129; Creedy 5139-42. Nefisha Pumping station, substitution of electrical machinery for oil and return to oil owing to extra expense of electricity, Ramsay 5271-2; Creedy 5273-5—of Occupation, services requisitioned from Germany by, charges for, Ramsay 5064; Creedy 5092-9; Crosland 5093; Waterfield 5004-5. Army |