The Bismarck tribune. [volume] (Bismarck, N.D.) 1916-current, 1922-03-21
TAXPAYER COST
THUS FAR GIVEN
TO COMMISSION
Bishop, Brissman Report Shows
Expense Involved in Mills,
Elevators
DRAKE LOSS is $SO,OOO
Grand Forks Mill Contracts
Total $2,2OO,OOo, Audit
Report Shows
DRAKE LOSS IS $SO,OOO

North Dakota's mill and elevator
program represents a net loss to date
OF $lS7, 7,194.17 out of total Of $1.26S,-
5S4.95 thus far invested, according to
the Bishop, Brissman and Company
audit, submitted to the Industrial Com.
mission and made public today.
The loss is divided between the
Grand Forks project, the Fargo Office
of the Mill and Elevator association
and the Drake mill. The record of the
mill and elevator program summarized
is:
Drake mill-Cash advances, $142,.
691.20; net cash investment, $685..
5O6.3S; original cost of mill, $4,000;
additions, s9,OsS!OS; furniture and fix.
lures, $1,0N.27. Net loss operation
and depreciation, $50, 0,253.50.
Mill and Elevator association, Fargo
office-Expenses, 19,2733u.
Grand Forks project-Total assets,
$1.O26,613.S7. Net expenses, $751;
66736.
The cost of the mill and elevator
program as shown in the report is rep
resented in the deficit of SS0,253.50 in
the Drake mill; expense of $19,27331
in the Fargo office and s87,667.36 on
the Grand Forks project. In the case
Of the Grand Forks mill the auditors
show the expense by the difference IL
the liabilities and the assets of the,
mill now in course Of construction and
account for the detailed expense in a
separate compilation
The Drake mill has never made a
profit except in the year 1915. accord
ing to the report, and the, report says
that ",The profit for lherpefiod ending
December 81. 1919, Of $2.7AS0T, as al
mitted by A. W. Lclhrs, the SECRETARY,
to J. A.. McGoveru was obtained BY
increasing the inventories"
.iiWhat Defect RepFescass.
I. The "aua' report sa1 s, i ,1raaEit ri
.S%0.253.5o represents the net operating
loss plns interest on investment OF
T41S4.e4 and $1,000 written off the
value of the Plant, and is supported BY
the operating statement to FOLLOW:
Dec. 81, 1919, profit ..,...$ 2,74S.07
Dec. 81, 1920, loss .......... 53,3S2 43
Dec. 3, 1921, loss s.t.......... 24,619I4
Dec. 81, 80, plant and equip
ment depreciation in value. 100000
Total loss SO,253.5O
The total amount of contracts made
or complete on the Grand Forks project
is $2,2SS, 1882, Of which $1,045, ,45686
is delivered and s1,297, ,767.04 is nncom
pleted In addition to the $1,297,
767.O0 expense yet necessary to COM
pletion of the mill there also is the
expense of trackage and adjustment Of
engineering and contracting costs, part
Of which is on modified plus system,
which may increase the cost of the
mill considerably.
Because of the fact that accounts Of
the Mill and Elevator association, the
Grand Forks project and the Drake
mill were found to overlap in places
it was difficult for the auditing CON-
panies to separate and allocate the ex-
penditures of the various Offices, it Is
shown. The records of the three Of
fees were found to be incorrect in
some respects by the auditing company
which was summarized and corrected
these matters.
Amount Thus Far Spent.
The construction account of the
Grand Forks project shows a total Of
81 ,045, ,436S6 invested, either in Install
ed items or in inventories on hand.
The total cash advanced and interest
Of the Bank of North Dakota to the
Mill and Elevator association is shown
to be $1,O62. .O7622, of which amount
S142, ,691O2 is applicable to the Drake
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