FINANCING THE NATIONAL INTELLIGENCE SURVEY (NIS)

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP61S00750A000100160003-9
• Release Decision: RIPPUB
• Original Classification: C
• Document Page Count: 12
• Document Creation Date: December 23, 2016
• Document Release Date: September 10, 2013
• Sequence Number: 3
• Content Type: REPORT

Declassified in Part- Sanitized Copy Approved for Release 2013/09/10: CIA-RDP61500750A000100160003-9
. To rosa
alternatives for financing the NUS.
Facts earls& Problem:
The National Intelligence
to be established, It st
of the Act .1 1947 bat in
IAC p
was
from
raph 3 of
deftoitive form in
NXID-3 (for the text see Tab A). The NIS Standard
prepared by a special c
of the IAC and
body and the NSC. All concerned have recognised
portaat for the HIS to be developed es a broad,
ongrange p
Walt for ti
as faced In 1941 when there was a vast
* for strategic and operational parpo
solid fosadetion of factual detail on which any reliable estimating
pleasing meet be based.
pr
gen (such
sic InteL
I.
bur*cment for N15 At th. inception of the NIS pr
47. arrangements were made for CIA to badget for all
ction except that of the Defense Department intelligence
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1.4
agencies. Ai. practically since
the Department of State has had difficulty
Units from the Congress to meet high priority needs of the Departu
moot, lot alone h activities as NIS, which are of marginal in.
Wrest to the nontnteiUg.nc. areas of the Department, it seem.,
these" of fundainental intro twice to the Department's intelligence
program
4. It to probably true that the iibfligence
ed obtaining funds from CIA because it doubted that even
moneyif the could have been obtained from the Congress. the De
partmont would not have made full allocation to the NIS program in
the face of other Departmental interests competing for the total
Stat. Department appropriation. The Defense Department intent.
genet** preferred not to participate in such badgeting, poas
ground that they preferred to have complete control over
deploymentthe of personnel working under their supervision in in
teUlgenc., plus the fact that some in the military believed that the
reapousibility to obtain necessary appropriation. went with the aflo
cado of responsibility for production of intelligence. In 1951 G
was ted in having the DCI budget for the Army contributions
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This proposal was not acted
h acUon would not have effected the personnel limitations
ed by the Office of Secretary of Defense.
5. The r.apsaaibt*y to produce certain sections of the NIS
en assigned to agencies of the Government outside of the in-
nce
Advisory Committee (lAC) namely, in the Department
interior and the Department of Agriculture. Because the sub-
tter in these mectione generally falls within the State Depart
bailiwick. State has,fistlegated the reeponsibility by CIA to
ease the G-Z learned
te the
Iund arc allocated
altoc ted in 1955
NIS production
by CIA
to the
eit
of these non4AC agencies,
directly to those agencies.
State Dspartnaeat for NIS was
of the USIA Sebrv*Y): to the
and to the Department of Interior
f Geographic Names). It is
on assignments for NIS has,
although
The funds
50X1
50X1
50X1
50X1
50X1
Department
noteworthy
on the
of
Agriculture.
average
tor
production
Ni
4.
schedule much MO V than State predaction which is
CIA.
program Tog
principle, based on World War
? The development of the
and the acceptance
that when completed.
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it an irni
The fruJ
rent in
prors have b,.
several years. The use of NIS
sting,for azaraplo became apparent in the recent
EsUmste onAfghanistan, the discussion section
taatiaUy N1S material. The direct application of a
s of 3 to the needs of psychslo ical
og TSAR ? was
sled in the coarse
ssbs.qasiatty. The toordtatator of the NiS
t *overall menthA comtet.d en extensive survey of con-
tons
to the NIS which was geasiaLly favorable at all
parUci4arLy favorable La the command While it
dltttcalt to evaluate the N1 in
at the conclusion Ls justified that tb. NIS is a wise pro
y for its published predact, but also its cantribadon
tantial planning, programming and prodactioa La the de-
hes providing greater strength in estimating and special
of the dollar coat..
reporting.
ye labor-agency
NM program mast be reason-
ably consiatent from IritiLT to year amen this participating agencies
to achieve a balanced protection effort. The inter-agency allocations
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mem.
capabilities for
y At
comptete sec
O.
as. Those die
S requirements and by
? of NU
8.in considering how best
the NIS, it is believed that a major objective should be
reserve n4 strength** this prograui. While the proper method
nancing should be established* ive must be mindful that the
not be selected without careful consideration to it*
Alt
ant errata *meat.
While the program
Pr
vet, there is danger that this method will 4
criticism from the Berea* of the Budget or the Congress.
ra pressures will cocaina* for a more formally established
financing than that
at present. Furthermore
robably costes* la obtaining balanced production of
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Alter
C A
ceo
goal
The D
thy because by
Li
y to accept Ibis
this
t in the production of NIS is so marginal to its mai
ponsibilities that it would sot want to take on the a4
irds parUcutarly as regards the Congress, eq
r sonnet and additional funds. However, even 11 the De
I quest the necessary Luida to continue the production
ot e current rat. or with the expansion proposed in the USIA Su
.4.46
and thelir regeoet got as far as the Congress, it is doobUu.t that the
total appropriation from the Congress (which would likely be con
Worst, y less than the request) would be allocated in the hill amount
for NIS production.
The earliest bud
fiscal year 1957 and
y 1936. Insofar as the
apply would be
sown definitely
s and of the
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certainly
Capt the effect. f the reductions.
Tb.Department, when notified of this decision of the
Dtrctor to canines reinibumment, ight refuse to accept the
budgetingreaponaibtUty for for the NIS. in such an eventuality,
CIA could iofcrrn the Department and the Bureau and of course ii
the appropriate time, the Congress. that CIA intends to budget for
and to develop the staff for the production of the requisite N1?in
this Instance CIA will be open to charges that (a) it is Invading an
area, of research the dominant interest for which rationally and
bt.torlc*iLy belongs to the Department of State; te) that ell at the
lb
uir d with to
latelAgeloce is to ac
guments harsterepplicable for keeping the NIS La the Department
Is through reimbursement flume', dominant Interact, compe.
guided
right falsehoods, or that the NI 4 will now be predaced less
with less competence. and with consequently less quality.
the transfer of the whole of that NIS new assigned to
eatateacy, and quality) are new shown to have been
have the effect of seriously weal ning the intelligence ex-
Lt State. both InA.rrng of its coatributi?n to meet
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d.partmoutat needs and its contribatloes to . Relations
t*t. are almost bound to d,t.riarats as State gets weaker
mends tore. CL into developing int.lUgence fats basedon NL
re eh but of a political estimating type. ft can also be snticLpst
that with the State organisation now truncated, the Department will
be encouraged to do what many of Its efficere hays long wanted to
get rid of the intelligence organization
I staff assigned to the Special Assistant for
freed asset, in the political bureaus.
MtarnattveIU. The DP to Prolarit
:tkCOi
Li
de
atm
This Uk. Mtrnativ, two wool c
approach the financing of the ms programt present.
It mild take account of the probable dtfftcoltisa in the
several te, sUowiug f,r individual difference, in the various
agenciesbudgetary procedures.
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The
4
systematic app ch
* cultkt be
of both
t and possibly
blem of ?nani
and able to accom
alternativeto this alternative than ilL
It might be necessary if this alternative were selected
sr consultation with the EigirOitit of the Dadra. to propose to
an anendment to NSCID-3 Specifically a now paragraph (7)
* added to paragraph Is to read as follows:
0Th. Director of Central Intelligence shall also be reuw
possible tar tinsa isally to the Bu.rean of the Budget
statementcoordinated of
geocies for the production
DCI shell ssak the funds lox the productian. to be carried
at *oder the aaspices of IAC and non-IAZ:prticifpating in
budget requirement* of all
the NIS. Where it is agreed
tion. In each cases they shall together develop ado
procedures which will provide to the Director
hat these fends are being expended for National
atelligeoce Sarv.y productions"
the aims,
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Al
d to
at there w
y be that the Bur
tot to make adiastmsT4a in the buds ting procedures of the
tOr at Dotonso.
La the vest
be gTentez
Under
lability is
with the schedules. This is eaPPlorted by "4'
cotp*zing military productiim, the
behind hedele more than State production.
Budget and the Director of Defense
tive were selected it would
ably be desirable after constellation with the Bursas oi the bedget
epos* to the MC on asnerabsont to NSCLD.3, paregreph la (5) to
as fellows (deistical. in brackata) istearkiemssAanderlineal-
"The Director at Central Intelligeace shall be umpoasible
inwith the LAC, and
publication and
and
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of these National Intelligeace
h requests oft the wine ?
colliery
development and maintenance, making notes-
f !made therefor.
ready exists a
only to make an *cc
for NIS as far as State is concerned
ted its internal administration utishct-
Di
Its stilisatios of MS fluids to CIA. This
might be more difficidt for the military because of departmental
I. The military woid probably
object to the lack of flexibility In the utiliastios of NIS personnel
Mat normally applies in the way in which they administer NIS pro-
Thus, in times of crisis IS persouttel (it is understood)
have bean drawn off almost entirely for critical work.
ceiling. in the Defense
14.
namely;vs IV CIA to budget to
agencies (central budgeting).
in the vsnt that the decision is
IV or negotiations with the Bureau of the Budget and
es veal this to be impracticable. die akeza boat way
d tie
NIS
Alter
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sly: The DCI to prepare with the c
of the IA C a statement dale annual budget needs of
the IIC for NIS production end. to submit such statement to the
Bureau of the Budget for its iaforrnsUon, the DCI then requesting
funds for all of these needs except for these departmentswhere the
peculiarities of the budget proc
require them to submit budget re
ithin Departments/ would
directly.
12
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