B-127709, MAY 3, 1956

B-127709: May 3, 1956

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TO THE SECRETARY OF THE INTERIOR: REFERENCE IS MADE TO A LETTER DATED APRIL 24. REQUESTING OUR APPROVAL FOR REVISION OF TWO CONTRACTS AND MORTGAGES COVERING PREDEVELOPMENT CHARGES WHICH WERE EXECUTED IN FAVOR OF THE UNITED STATES BY TWO ENTRYMEN WHO RECEIVED HOMESTEADS UNDER BUREAU OF RECLAMATION PUBLIC NOTICE NO. 9. THERE WAS TRANSMITTED WITH THE LETTER OF APRIL 24. A COPY OF PUBLIC NOTICE NO 9 IN SECTION 20/C) OF WHICH IT WAS STATED THAT 157.4 ACRES OF FARM UNIT "A. WERE ROUGH LEVELED. IT IS REPORTED THAT THIS ACREAGE WAS IN ERROR IN THAT THE ACREAGE ROUGH LEVELED SHOULD HAVE BEEN SHOWN IN PUBLIC NOTICE NO. 9 AS 118.8 ACRES AND THUS THE CHARGES FOR ROUGH LEVELING AT THE RATE OF $44.79 PER ACRE.

B-127709, MAY 3, 1956

TO THE SECRETARY OF THE INTERIOR:

REFERENCE IS MADE TO A LETTER DATED APRIL 24, 1956, WITH ENCLOSURES, FROM YOUR ADMINISTRATIVE ASSISTANT, REQUESTING OUR APPROVAL FOR REVISION OF TWO CONTRACTS AND MORTGAGES COVERING PREDEVELOPMENT CHARGES WHICH WERE EXECUTED IN FAVOR OF THE UNITED STATES BY TWO ENTRYMEN WHO RECEIVED HOMESTEADS UNDER BUREAU OF RECLAMATION PUBLIC NOTICE NO. 9, YUMA MESA DIVISION, GILA PROJECT, ARIZONA, DATED JANUARY 21, 1952.

THERE WAS TRANSMITTED WITH THE LETTER OF APRIL 24, 1956, A COPY OF PUBLIC NOTICE NO 9 IN SECTION 20/C) OF WHICH IT WAS STATED THAT 157.4 ACRES OF FARM UNIT "A," IN SECTION 33, TOWNSHIP 9 SOUTH, RANGE 23 WEST, WERE ROUGH LEVELED. IT IS REPORTED THAT THIS ACREAGE WAS IN ERROR IN THAT THE ACREAGE ROUGH LEVELED SHOULD HAVE BEEN SHOWN IN PUBLIC NOTICE NO. 9 AS 118.8 ACRES AND THUS THE CHARGES FOR ROUGH LEVELING AT THE RATE OF $44.79 PER ACRE, PLUS A CHARGE OF $2,630.25 FOR FARM TURNOUTS, SHOULD HAVE BEEN IN THE SUM OF $7,950.31 INSTEAD OF THE SUM OF $9,680.20 INCLUDED IN CONTRACT AND MORTGAGE COVERING PREDEVELOPMENT CHARGES, PHOENIX SERIAL NO. 03815, EXECUTED BY RALPH E. NIXON AND YNEMA J. NIXON, HIS WIFE, UNDER DATE OF JULY 22, 1952.

SIMILARLY, SECTION 20/C) OF PUBLIC NOTICE NO. 9 STATED THAT 124 ACRES OF FARM UNIT "C," SECTION 3, TOWNSHIP 10 SOUTH, RANGE 23 WEST, WERE ROUGH LEVELED. IT IS REPORTED THAT THIS ACREAGE WAS IN ERROR IN THAT THE ACREAGE ROUGH LEVELED SHOULD HAVE BEEN SHOWN IN PUBLIC NOTICE NO. 9 AS 87.3 ACRES AND THUS THE CHARGES FOR ROUGH LEVELING AT THE RATE OF $44.79 PER ACRE, PLUS A CHARGE OF $2,555.10 FOR FARM TURNOUTS, SHOULD HAVE BEEN THE SUM OF $6,465.27 INSTEAD OF THE SUM OF $8,109.06 INCLUDED IN CONTRACT AND MORTGAGE COVERING PREDEVELOPMENT CHARGES, PHOENIX SERIAL NO. 03874, EXECUTED BY FERRIEL D. ALLEN AND HELEN L. ALLEN UNDER DATE OF AUGUST 6, 1952.

THE BASIS FOR THE SUGGESTED CORRECTIVE ACTION IN THIS CASE IS THAT IN BOTH OF THE CITED INSTANCES THE GOVERNMENT MADE A MISTAKE IN SHOWING THE ACREAGE ACTUALLY LEVELED AND THUS THAT THE CHARGES SET FORTH IN THE CONTRACTS WERE IN EXCESS OF THOSE ACTUALLY DUE. UNDER THE CIRCUMSTANCES APPEARING IN THIS CASE, WE WILL OFFER NO OBJECTION TO THE AMENDMENT OF THE CONTRACTS IN THE MANNER PROPOSED. IN EFFECTING THE AMENDMENTS REFERENCE SHOULD BE MADE TO THIS DECISION.