The next question which must be considered is, "Why is the cost 

 of production more at a certain station one year than it is another?'' 

 A careful look at Tables 1 and 2 will reveal that a considerable increase 

 in cost occurred at the Bluewater Station in 1954. As a result of ex- 

 pansion at this station in order to use the water supply available to 

 produce legal-size fish, new living quarters were constructed for added 

 personnel. In addition to this, replacement of outlet drains for the 

 raceways was completed in 1954. Large capital expenditures, such as 

 this, were not charged off at a percentage of total cost, based on 

 depreciation rates, since such a breakdown would require services of 

 an accountant and would not add one fish to total production. The 

 cost of producing fish by the pound also increased greatly at Anaconda 

 during 1955 and was high in 1954. In 1954, septic tanks were installed 

 and a new garage w'as constructed. This cost, of course, increased the 

 "all other expenses" category for this station. The repair and replace- 

 ment of the water supply pipeline at this station in 1955 explains tlie 

 increase in production cost in jiart. Also production at Anaconda was. 



V.V- 



Typical of Montana's fish hatchery instal- 

 lations, is the Anaconda Station. 



of necessity, intcrrui)te(I in order tliat work could progress on the 

 pipeline; all fish had to lie jilanted out before they reached the period 

 of maximum summer growtli and the cost per pound greatly increased 

 in 1955 over 1954. 



The cost of production at Big Timber also was much higher in 

 1954 than in 1955 as a result of repairs on hatchery buildings and re- 

 placement of pipelines. .\ similar situation is noted for the Great Falls 

 station and was partly a result of the construction of a water tank in 

 1954. Also, the cost of production at Poison was slightly higher in 

 1954 due to constructiitn of a cement retaining wall. Extensive repairs 

 to the pipeline and buildings at Somers in 1954 were reflected in higher 

 cost of production'that year. 



In general, actual cost of production (expenditures for capital in- 

 vestment and repair excluded) decreased in 1955 and this trend should 

 continue into the future as cheaper and more efficient fish cultural 

 metliods are developed and adopted. It does not follow, though, that 

 the production of the system as a whole will increase greatly since 



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