THE 1979 PROGRAM

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP79-00498A000100050004-1
• Release Decision: RIPPUB
• Original Classification: C
• Document Page Count: 15
• Document Creation Date: December 9, 2016
• Document Release Date: August 28, 2001
• Sequence Number: 4
• Publication Date: December 3, 1976
• Content Type: MF

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DD/A 76-5997~~9
3 DEC 1976
MEMORANDUM FOR: Comptroller
John F. Blake
Deputy Director for Administration
SUBJECT : The 1979 Program
REFERENCE : Memo to DDA, DDI, DDO E DDS&T from Comptroller
(DD/A 76-5903) dtd 22 Nov 76; same subj.
Information on selective topics requested by Attachment II
of reference for possible discussion at a 14 December Executive
Advisory Group (EAG) meeting is attached.
Y l 2' . ;,'
u ?
John F. Blake
6A-
E2 IMPDET
CL BY 009588
COINJ ID DIAL
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DD/A 76-5997
DIRECTORATE OF ADMINISTRATION
Past attempts to program and budget over a two or three year period
for adequate secure voice facilities for the Agency have always failed because
of the costs involved. As a result, the present phased program was prepared
to spread the costs over a number of years. If additional funds were made
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available, acceleration of the program could be undertaken. A study would have
to be performed to determine revised costs which probably would be very close
to the spread costs shown in the FY-1978 program. The present program will
achieve the objectives over a longer period of time.
C. Network Modernization
The major programs in this resource package are AFT and SKYLINK.
SKYLINK is by far the more ambitious, costly and most effective program. This
program will continue until circa 1982 when conversion of the network from high
frequency radio will be virtually complete. Costs beyond 1982 will be essentially
ongoing maintenance costs and costs for replacing obsolescent equipment or to
take advantage of technological progress. FY-1979 represents the peak year for
SKYLINK costs and thus the peak year for total resource package costs. Costs
The AFT program will enable automation of certain functions at large
volume overseas posts which will result in reduction of positions at some posts
and will preclude addition of positions at other posts over the long pull. One
of the labor saving devices included in the AFT terminals is an optical character
reader (OCR) which, when used in conjunction with teletype equipment, will auto-
matically scan and poke traffic for transmission. Because of the advantages of
this system the Office is separately purchasing several OCR's for early installa-
tion in some field stations to save manpower. Additional equipment will be
added to these stations in later years to convert them to full AFT operation.
for the AFT program are expected to remain level for several
other program, systems modernization, will fluctuate between
through FY-1981.
D. Foreign Message Network
Office of Communications has taken advantage of modern technological
advances in recent years to hold network costs to a minimum. Productivity has
increased dramatically since 1966 and significant reductions in personnel overseas
have been accomplished. Although costs are still high, they are much lower than
would be experienced if innovative programs had not been initiated. It is
unfortunate that uncontrollable inflation overseas constantly offsets the signifi-
cant gains we have made over the years and this point should be stressed whenever
possible. The requirement for the Office to operate a reliable, rapid, secure
worldwide network justifies the network costs. OC will continue to exploit all
possible systems and techniques which might result in savings.
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 G. Waste Disposal/Transformer Vault
Referent memorandum requested clarification of increases in FY 1979
projections. The attachment to referent specifically referred to a $4.4 million
increase in the OL program to cover procurement of an automated classified waste
disposal system and construction of an additional transformer vault at Headquarters.
It should be noted that the $4.4 million increase is a combination of long-term
projections in OL's FY 1977 Operating Plan dated 23 April 1976 plus some adjust-
ments made at the DDA review of the OL FY 1978 Program Plan dated 3 June 1976.
The 1977 Operating Plan and initial 1978 Program Plan showed a $1.4 million
increase between FY 1978 and FY 1979. The $1.5 million classified waste project
was deleted from FY 1978 and added to FY 1979, with a net swing of $3 million
and a resultant $4.4 million difference between the years.
In order to analyze projected FY 1979 increases over FY 1978, it is
necessary to look at all major engineering support projects for that year.
Excluding engineering support increases, the net. OL increase is approximately
$200,000, virtually all of which is attributable to personal services with
some shifts between resource packages in operating expenses. Engineering
support as now projected for FY 1979 includes $2,720,000 for recurring reim-
bursables to GSA, $2,400,000 for expansion of D vault, $500,000 for electrical
improvements to reduce short circuit limitations in B vault, and $500,000 for
HVAC at 2430 E Street. Also included is $1,500,000 for classified waste disposal.
The $500,000 for HVAC at 2430 E Street will be dropped from the FY 1979 Program
as a result of DDA direction in the FY 1978 review. The D vault expansion pro-
ject anticipates continuing, significant increases in automation of Headquarters
functions. When Project SAFE, is completed, three of the Agency's four power
vaults will be loaded to capacity. The expansion of D vault is essential to
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provide a capability to handle any future major automation of Headquarters
functions. If the project is not approved, automation of functions could be
delayed significantly, awaiting design and approval of necessary facilities
modifications to support new programs. The classified waste disposal project
is a carryover from a feasibility study completed in 1973 and updated in 1976.
It recognizes the limitations in the cxistin~ system and proposes a new
system less labor intensive, environmentally acceptable, and with sufficient
capacity to handle projected requirements. Deferral of this project will result
in continued high operating costs plus increased risk of large accumulations of
classified waste because of equipment limitations or breakdown. The $500,000
projected for electrical improvements recognizes that B vault, the vault sup-
porting the Agency's most critical loads, has reached its maximum capacity in
current without exceeding short circuit safety devices. Reconfiguration and
replacement of existing protective devices will reduce the risk of extensive
equipment damage and provide the capability to fully utilize the current carrying
capacity of existing switch-gear.
H. Computer Operations
The Comptroller pointed out in his memorandum that many of the
Resource Package Submissions in the FY 1978 Program have been affected by
program changes and actual or organizational adjustments. ODP was reorganized
in July 1976. Resource Packages were restructured between the FY 1978 Program
submission and the FY 1978 0MB Budget submission. For this reason, we have
addressed the issues from an overall ODP viewpoint while at the same time
describing the principal issues involved in the former Computer Operations
Resource Package which is now divided among 5 of the 10 ODP Resource Packages.
Ways in which the staff is heavily taxed and forced to seek
extensive overtime:
- Three new computer systems have been installed, tested, and
put into operation during 1976, providing needed improve-
ments in the timeliness, quality, and reliability of computer
services. These additional computers produce a heavy work-
load for engineers who must install the equipment, for
systems programmers who must develop and install new opera-
ting software, for operators who must operate the equipment
24 hours a day, for production personnel who must adapt
application programs to the new computers, and for data
base managers who must control the large data bases which
are stored and processed by these computers.
25X1A - The unprogrammed move of Applications and ADP training
personnel to the required ODP to
set up a facility for remote job entry and output at this
location. Line printers, card readers, and plotting
equipment were installed, requiring a staff of 4 operators
for 18 hour a day operations.
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- The CAMS computer has been installed along with 29
computer terminals, eight of which are located at non
CIA facilities. This computer will require staffing
for 24 hours per day operations beginning in December
1976. This system also posesspecial maintenance
requirements in order to provide the high degree of
systems reliability needed for the special activity
being supported.
- Data base management functions are also increasing
significantly as new administrative systems (GAS, FRS,
CONIF, PERSIGN, etc.) are being established, maintained
and interfaced.
In recent years ODP has been fairly successful in obtaining the
funds required for additional computer equipment. However, staffing requests,
which would have provided the necessary manpower for this equipment and processing
workloads, have been reduced because of overall limitations on Agency personnel
ceilings. The result has been increased overtime for available personnel.
Contractor personnel has also been utilized where possible. It should be noted,
however, that the Office of Security has recently raised strong objections to
t
ems.
the use of contractor personnel for the operation of computer sys
Ways in which the ODP burden might be affected by:
a. Obtaining the position increases for 1979 originally
requested in the FY 1978 Program submission
The original request was for M positions in FY 1979
and Mpositions in FY 1978. With this staffing we could
eliminate the CAM Facilities Management Contract programmed
for FY 1979 $NNNIMOM and provide sufficient staffing to
virtually eliminate overtime and part time employees
(approximately in FY 1979). Ignoring increases
related to SAFE development, the increased number of positions 25X9
over the current FY 1977 authorization amounts to M positions.
At an estimated average salary of $19,000 per position the 25X1A
increased fundin for these positions would be
This is tore than the CAMS facility contract, overtime,
and part time employees will cost. However, when these alterna-
tives are weighed against increased staff one finds that they
have the following disadvantages:
- Reduced efficiency from overworked employees. In some
instances employees are working over 50 extra hours per
pay period.
- Less man hours provided per dollar of wages or contract
cost expended.
- Increased administrative overhead for scheduling employee
work periods and administering contracts.
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b. Obtaining the lesser increases for 1979 which were
incorporated in the 1978 Budget Estimates:
The OMB Budget incorporated the following reductions
from the Program Submission:
Reduction
From
Program 0"I'v1 Program
FY 1979
FY 1978
Increase in FY 1979
The increase of 23 positions in the OMB Budget includes 9 SAFE
related positions, thus there is an increase of only 14 positions
for the types of increased workload described above which will
continue into FY 1979. For example, two additional IBM 370/1.68
computers are planned in FY 1978 and another in FY 1979. Our
estimate is that this additional staff (14 positions) will not
produce a downward trend in the use of overtime and part time
employees.
c. Obtaining no increases at all over the 1978 levels:
Because computer service is in great demand throughout
the Agency and the ODP mission requires that it provide this
service, there has been a constant growth in ODP funds and
positions. Unless the current review of ADP, in which the
Comptroller and ODP are directly involved, produces recommen-
dations which significantly alter the projected needs of ODP
by 1979, ODP would have to use the following alternatives to
increased staff to meet the projected manpower requirements:
- overtime
- temporary employees
- contractor support
- reduced level of service
The first three of these alternatives are being used now.
They would have to be used more extensively, if no increases
in personnel were allowed in FY 1979. This would require
additional funding. The last alternative presents difficult
management judgements when it becomes necessary to identify
which user requirements will not be satisfied.
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OTR projects no requirement for use of- for training or
other purposes and accordingly has no views on either its continued operation
or management.
As regards general OTR plans for FY 1979, a review of training
requirements levied on OTR shows a constantly increasing demand for greater
variety of courses and more runnings. At the same time, the personnel ceiling
for OTR has, with the exception of an additional ten positions in FY 1977 to
conduct the Military Operations Training Course, showed a steady decline. OTR
has been able to increase production while decreasing personnel resources through
a combination of better management and a substitution of expertise formerly
maintained in OTR by guest speakers from elsewhere in the Agency. Our experience
over the past year has indicated, however, that the ability of OTR to absorb
additional work without concurrent increases in staff has come to an end. In
the past six months, we have been faced with several requirements for new pro-
grams or courses which have been put on the deferred list until such time as
personnel could be reallocated through the elimination of other tasks. Unfor-
tunately, the clientele served by each of the 63 formal OTR. courses is very
tenacious in resisting proposals to cut out a program or a course.
As we stand at the beginning of FY 1977 and look toward the 1979
program, it is obvious that the trend of increasing requirements for training
will continue unabated. Some of these can be forecast with a good deal of
accuracy based upon inquiries or studies directed by the DDCI and other senior
management. Others are more tenuous at this standing. New requirements which
will generate a need for additional personnel and personal services costs
include:
- Training for CIA intelligence analysts and possibly
analysts from other intelligence agencies.
- The transfer to QTR of responsibility for counter
intelligence training and an expansion of such training.
Development of a clerical training program, including
an orientation course for new clerical employees.
- A greatly expanded program of instruction in writing,
particularly for the Operations Directorate.
- A continued growth in agent and liaison training, training
for the new Pilot Project in the safehouse mode, and an
as yet undefined responsibility for training of the new
Clandestine Corps.
Requirements for information science and computer-related
training which will cover both the new CAMS program and the
SAFE projects.
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 CONFIDENTIAL
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Item recommended for BAG discussion - not included in
Comptroller attachment:
Building Planning Staff/OL:
Can a new building be successfully justified to
Congress? This will require detailed studies of our
needs, the costs, and potential benefits.
Last year in the FY 1978 Program Review, the Comptroller
recommended the reestablishment of the Building Planning Staff
in Logistics and total funding of $950,000 (5 ceiling positions
and $750,000 for an architectual and engineering feasability
study). However, before the FY 1978 Budget (O.NIB) was prepared,
this recommendation was withdrawn by the Comptroller and funds
were deleted from the FY 1978 Budget.
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2 2 NI ON 1976
NE:'0_,'Zf 1DUM FUR: Deputy Director for Administration
Deputy Director for Intelligence
Deputy Director for Operations
Deputy Director for Science and Technology
StJECT: The 1979 Program
1. The DDCI believes the Agency can and must improve its long range
planning. He wants more time for thoughtful consideration of important
program issues before they are formally presented in the budget context.
The need is all the more pressing because the Committee on Foreign
Intelligence (CFI) intends to provide guidance levels on total resources
even before we compile our initial budget estimates for the Program Year.
2. Accordingly, we have scheduled a 14 December EAG meeting to discuss
selected issues pertinent to the 1979 budget. We plan to present the EAG
with a limited number of specific issues or topics on which guidance is
desirable, as well as an analytical paper discussing the impact on the
overall 1979 program of alternative policy decisions on the various topics.
3. We have used the 1979 projections, by resource package, contained
in the 1978 Program Submissions as the basis for selecting potential area:;
for discussion, analysis of program impact, and conformity with CFI guidance.
Of course, many of the package submissions have been affected by program
changes and by actual or organizational adjustments. But the submissions
formed the basis of the tentative guidance figures we have received from
the CFI, and, in any case, they are the only co,-iprehensive 1979 data we have.
4. Attached to this me!norandum are some potential discussion topics
pertinent to your Directorate. We have provided explanations, most of
them quite brief, of why we believe the proposed topics may be suitable for
Ei\G examination.
5. The next step is yours. On the topics we have selected, we would
like to have any additional details you can provide on s ocific plans
for 1979 and on proposed personnel and funding levels, as well as your
comments on any policy issues involved, Moreover, we would welcome your
co_tments on any other topics or issues VOL! wish to raise. In-particular,
we would like to know about any major expansion in individual resource
packages which is now contemplated but has not previously been surfaced
with us. We need these inputs by c.o.b. 1 December.
6. With your responses in hand, we will select topics for air,
discussion and prepare the necessary papers for the FAG meeting on
14 Decemaber.
.
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7. We see two likely results of the EAG discussions. On a general
level, if the EAG concludes that the existing, tentative CFI guidance figure
for 1979 is too low, we will negotiate an adjustment with the IC Staff
prior to the issuance of revised guidance figures in January. More
specifically, EAG policy and program decisions will be incorporated in
guidance documents to be provided to you before you prepare your formal
Program Submissions for 1979.
8. We want to emphasize that at this stage we are not asking you
to take a firm position on any part of the 1979 Program. But the DDCI
wants an opportunity to begin discussion of major 1979 resource questions
now. The CFI will issue guidance in January. And any steps we can take
now toward thinking ahead for 1979 will ease the pressures on the decision-
making process that will confront us--and you--next July.
James H. Taylo
Comptroller
Attachments:
1. 1979 Topics--DDS&T
11. 1979 Topics--DDA
III. 1979 Topics--DDI
IV. 1979 Topics---DDO
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