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2.

However, of current concern are recent announcements pertaining to sharp increases in monthly cost-of-living indices and annual projections which, if proven correct, are substantially in excess of what reasonably could be absorbed in the Support Center budget. Accordingly, we believe that in addition to requesting construction bids for the entire Support Center, as authorized, it would be prudent to request a separate price for one of the four 40,000 sq. ft. storage bays, which could be deleted from the construction contract, if necessary, in order to permit an award within authorized funds. If a storage bay were deleted from the current project, the physical arrangement of the facility would allow for construction of the missing bay at a future time. Such action, of course, would be subject to additional authorization and appropriation processes.

We are advising you of these conditions to keep you fully informed. The bidding process will determine whether it will be necessary to adjust the scope of the project, and when bids are opened a further report will be provided to you.

Sincerely yours,
[[stamped]]Phillip S. Hughes[[/stamped]]

Phillip S. Hughes
Acting Secretary