E. USIB HAS A LIMITED ROLE IN PROGRAM EVALUATION

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP79M00098A000200080001-1
• Release Decision: RIPPUB
• Original Classification: T
• Document Page Count: 19
• Document Creation Date: December 22, 2016
• Document Release Date: March 23, 2012
• Sequence Number: 1
• Publication Date: January 1, 2000
• Content Type: REPORT

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E. USIB Has a Limited Role in Program Evaluation
108. As noted in paragraphs 46 and 47, John McCone considered
that the President's directive of January 1962 meant that he was
to concentrate on improving the overall management of the
intelligence community, as well as providing the substantive
national intelligence required by the President and the NSC. As
specified in that directive, Mr. McCone carried out his program
review functions primarily with the heads of the departments and
agencies concerned. The USIB however participated in some
limited but significant reviews and evaluations of various intelligence
programs which were carried out under USIB auspices during the
November 1961 to 1963 period. Some of these stemmed from the
approved recommendations of the Joint Study Group (JSG), while
others were initiated at the direction of Mr. McCone based on his
management experience in business and government and on his concern
with improving the efficiency and effectiveness of intelligence programs
in light of their increasing complexity and costs.
109. The transfer of most program review functions from USIB to the
DCI in consultation with responsible department and agency heads was
UP CrPDIT
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evidenced in February of 1962 when the Board considered proposed
instructions for reporting FY 1964 foreign intelligence plans and
programs developed by the DCI Coordination Staff pursuant to the
approved JSG Recommendation No. 32 calling for such an annual
review by USIB and the DCI. These instructions based on experience
with the FY 1963 efforts in this field (paragraph 39 above) were
designed to facilitate reporting and provided more meaningful
information. Each agency's report was to include an introductory
statement summarizing the principal objectives, highlights and features of
its contemplated program. Then significant FY 1964 variations from
recorded in terms of
FY 1963 were to be / pertinent increases, decreases, terminations
and new activities with order of magnitude data. Finally long range
implications were to be included if applicable to FY 1965 and beyond.
At the USIB meeting on 28 February, Mr. McCone referred to his
overall coordinating responsibilities and emphasized the increasing
importance for that purpose of information regarding future plans
and programs in the community such as could be derived through
these instructions. The Board then approved the instructions as
amended, calling for the reports to be submitted to the Assistant to
the DCI for Coordination by 10 May 1962 for consolidation, analysis
and presentation to USIB in June after which the department and
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agency heads were to be apprised of the Board' s views. 204/ This
was the last USIB action taken in response to JSG recommendation
no. 32. Henceforth any such overall reviews and evaluations of
intelligence plans and programs were conducted under DCI auspices
with the assistance of his staff.
110. Another review conducted under USIB auspices in accordance
with a JSG recommendation covered the fields of counterintelligence
and security which resulted in a Board- approved policy statement
concerning these responsibilities. In June 1962 the USIB Security
Committee submitted a report implementing JSG Recommendation No. 18
which called for the DCI to focus community attention on the
important area of counterintelligence and security of overseas
personnel and installations. The Committee recommended a policy
statement defining responsibilities to ensure closer coordination among
the components of USIB agencies in these fields. As approved by the
Board in July, this stres sed the need for (a) close coordination at
all levels to assess and take effective countermeasures against the
hostile threat, (b) broad dissemination and exchange of information
concerning the efforts and capabilities of the opposition, (c) submittal
as soon as possible of such information to the central counterintelligence
repositories (d) meetings in the
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field of agency representatives having responsibilities of mutual
concern) and (e) initiation by agencies of
a review of existing programs, regulations, practices and procedures
concerning counterintelligence and personnel and physical security
utilizing an attached guide of desirable practices and procedures.205/
111. A related Security Committee report regarding JSG
recommendations no. 14 for a USIB review of existing compartmentation
of sensitive information, had resulted in Board approval in April 1962
of recommendations that (a) USIB agencies conduct a periodic review
of systems for allocating security clearances for access to compart-
mented intelligence to ensure need-to-know, (b) programs utilizing
such intelligence be reviewed periodically to ensure that sufficient
individuals to carry out such programs are granted access, and (c)
USIB agencies consider including within existing interdepartmental
systems of compartmentation any proposed new system established
to control an activity in the collection or use of intelligence. 206/
112. In October 1961, a recommendation by the President's
Foreign Intelligence Advisory Board that USIB make an assessment
with a view to improving the collection, coordination and analysis
of intelligence concerning the scientific and technical capabilities of
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the Soviet bloc was approved by the President and forwarded to the
Chairman of USIB. The DCI Coordination Staff submitted three
draft responses during May - December 1962, the last of which
was considered by the Board in January 1963. This assessment
found that intelligence on Soviet Bloc basic, fundamental scientific
research, and on the identity and characteristics of end products
of Soviet scientific and technical efforts in the early test stages
was reasonable adequate although improvement could be made. F
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113. In January 1963 during consideration of a revision of the
DCID No. 1/3 on Priority National Intelligence Objectives, USIB
concurred in the Chairman's proposal to establish a special
committee to review the basic concept, purpose and form of the
PNIOs and make recommendations to the Board prior to the July 1963
revision. The committee consisted of Ray Cline, CIA DD(I), as
Chairman and senior substantive representatives of State, DIA, NSA
and BNE, assisted by the Executive Secretary of USIB.208/ The
report submitted by the committee in June 209' analyzed the require-
ments of NSCID No. 1, the underlying concepts, the problems of
formulation and implementation, and the assignments of responsiblities
related to the PNIOs. It noted that prior to 1954 the PNIOs listed
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seven highly generalized topics related exclusively to Soviet
capabilities and intentions for military and political warfare. The
latest revision listed 47 PNIOs in four categories of relative
priority, 27 related to Communist Bloc countries and the remaining
20 to 31 other countries. Consequently, it was considered to be
overloaded with subjects winch should be left to normal intelligence
coverage under the DCID No. 1/2 on Comprehensive National
Intelligence Objectives. Moreover USIB had never made comprehensive
provision for systematic implementation of the PNIOs. The
committee recommended a new form of DCID No. 1/3 which as
amended was approved by the USIB in August.210/ This version
foreword
first contained a / explaining the intent and purpose of the
PNIOs. The new list of priority objectives presupposed that the
bulk of intelligence required for formulating and executing national
security policy would be the product of normal collection and research.
Hence it identified for priority treatment specific critical substantive
problems required for policy planning purposes, which meant prefer-
ment in the allocation of research and collection resources without
warranting neglect of general and basic intelligence coverage. The
directive was to serve as a stable basis for long-term intelligence
planning, identifying critical problems likely to persist or develop
during the next five years. It was to be reviewed and revised annually,
supplemented by a quarterly listing of currently critical or potentially
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critical situations looking forward for six months or so. The
PNIOs as reconstituted contained only ten objectives with primary
emphasis on those which were so critical as to pose an immediate
and continuing military threat to U. S. security. The first objective
was maximum prior warning of impending military attack on the US,
its overseas forces or any country the U. S. was committed to defend.
USIB also assigned to BNE and the USIB
Representatives continuing responsibility for submitting subsequent
revisions, and requested the Board committees concerned to report
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to USIB any major modifications in procedures adopted and significant
changes in actions to implement the new DCID No. 1/3. This concept
and format of the PNIOs with Quarterly Supplements was continued
with revisions as required until May 1968 when USIB based on a CIA
study approved a new version consisting of six objectives which were
defined as "those fundamental questions affecting national survival,
which taken together constitute the most critical long-range
substantive problems confronting the intelligence community as a
whole. " 211/ One of the principal reasons for this change in the
PNIOs was that the Quarterly Supplement had become so routine over
the years that it was felt to be ineffective and not really useful.
114. One of the most important program reviews and evaluations
conductL-d by USIB during the period under review covered the
National Intelligence Survey (NIS) program designed to provide
essential basic intelligence required by the government. In
November 1962 General Carter advised USIB of an informal internal
review of this program conducted by CIA to determine whether the
large work load and budgetary expenditures entailed were essential
and whether chronic deficiences in coverage and timeliness could be
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remedied. At its 21 November meeting the Board, after noting the
impending retirement of former Navy Captain Kenneth A. Knowles
as the long-time Chairman of the NIS Committee and CIA Assistant
Director for Basic Intelligence, concurred in General Carter's
recommendation that the DCI Coordination Staff examine the overall
concept of the NIS in light of any changes in needs for basic
intelligence since 1947, and the facilities for meeting these needs
since the conception of the NIS. This examination was to be on a
broad community-wide base covering the NIS program and other basic
intelligence activities, resulting in recommendations for USIB
consideration. 212/ In July 1963 the Coor dination Staff submitted for
Board consideration a proposed statement on the concept, direction
and management of the NIS program and coordination with other basic
intelligence programs. As explained in the report, this proposed
statement limited the scope of the NIS to that basic intelligence
required in support of planning by high-level planners and policy
makers and their staffs, rather than the then existing NIS which was
described as "a comprehensive digest of the basic intelligence
required for the U. S. Government. " By such a limit, it was intended
that the program be reduced in size and complexity, much transient
and perishable data be eliminted, and be maintained on a more up-to-
date basis. The needs for the detail and perishable data contained in
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the NIS would henceforth be met by departmental basic intelligence
production. The Coordination Staff recommended that responsibilities
for the NIS program be allocated to: (a) the DCI for overall
coordination, (b) USIB for policy direction, (c) the NIS committee
for general management, (d) USIB agencies for production and
maintenance of NIS units and appropriate collection activity, and
(e) CIA for editorial review, reproduction, dissemination and other
support services. By contrast, under the existing statement on
this program, CIA was charged with over-all coordination, the NIS
Committee determined policy, and the program was not formally
subject to USIB direction. Alternative recommendations regarding
the chairmanship of the NIS Committee were submitted by CIA that
its representative act as chairman, and by DIA that the chairmanship
be rotated at two-year intervals between DoD and CIA. The
Coordination Staff believed that the magnitude of the task and the annual
expenditure emphasized the essentiality of an
initial full-time chairman. At the 17 July USIB meeting, Mr. McCone
stated that he agreed with the concept section of this report but did
not agree with the section on direction and management. The Board
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agreed to defer action on the report as suggested by the Chairman
pending further discussion and report to USIB by Lt. Gen. William
W. Quinn, Deputy Director of DIA, and Ray Cline, DD(I) of CIA,
on the direction and management portion.213' Ray Cline reported
to the Board that he and General Quinn had agreed that the NIS
Committee consist of representatives of State, CIA, DIA, Army,
Navy and Air Force, with the CIA representative as Chairman;
and that CIA be responsible for general management of the NIS
program.214/ After agreeing upon changing the term "'general
management" to'general administration", USIB at its 14 August
1963 meeting approved and issued the statement on concept,
direction and management of the NIS program, as recommended by the
Coordination Staff subject to the changes agreed upon by Ray Cline
and General Quinn. 215 /
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116. Of the above programs reviewed and evaluated by the
USIB during this period, three of them were in response to
Presidential directives based on JSG or PFIAB recommendations,
one was a Defense Department request, and the remaining two
were self-generated within the USIB structure by CIA. Those
related to counterintelligence and security, to scientific and
technical intelligence, and to the PNIOs were motivated by the
need for improvement in each of these fields. The reviews and
evaluations of the NIS program and of collection in Africa, while
also seeking improvements, were generated primarily by
problems of increasing resources and costs involved. In none
of these cases however was the Board asked to appraise the
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relative costs and resources required to meet the intelligence
in subsequent years
requirements. In Volume IV, it will be noted that/the various
USIB committees in formulating statements of requirements
in their respective fields were increasingly taking account of
the budgetary and resource implications. In addition, on occasion
the Board committees were requested to evaluate the relative contri-
bution certain collection or production programs, systems or
vehicles could make in terms of meeting substantive intelligence
needs, as one input to management determinations by other a ithori-
ties under DCI, departmental or agency auspices as to which programs,
systems or vehicles should be financed and supported.
117. At the 5 September 1963 USIB meeting, Mr. McCone after
referring to the Board's actions on the PNIOs then referred to
his responsibilities as DCI under the President's directive of
16 January 1962 to maintain a continuing review of the programs
and activities of all foreign intelligence agencies, and to undertake
the coordination and effective guidance of all elements of the
intelligence community. He noted that he had to date discharged
these responsibilities by using the USIB as effectively as
possible and by working personally with the Secretaries of
State and Defense, and other senior officials. He said that he
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now felt that he should establish a small staff to support him
as DCI in carrying on this work. He then read a memorandum
he had prepared for the Secretaries of State and Defense,
the Attorney General and the Chairman of the AEC, with
copies for the President's National Security Assistant, the
Director of the Budget Bureau and all USIB members. This
memorandum announced the appointment of Mr. John A. Bross,
a senior CIA career official, as Deputy to the DCI for National
Intelligence Programs Evaluation, and directed him to organize
a small staff. Mr. Bross would be responsible for reviewing
and evaluating programs of the intelligence community as a
whole, representing Mr. McCone as DCI rather than as
Director of CIA. Initially the NIPE Staff would be concerned
primarily with developing an intelligence activity inventory of
the total intelligence effort as a basis for community-wide program
evaluation. Mr. Bross would also review and evaluate for the
DCI the actions of USIB committees and -,members to implement
the PNIOs, submitting these reviews to USIB periodically.
Mr. McCone hoped that Mr. Bross would have the support of all
USIB members, and asked the members to advise him of any
individuals believed to be particularly qualified to serve on the
NIPE Staff. At the next USIB meeting Mr. McCone in response to
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a question regarding this latter request explained that he
and Mr. Bross would appreciate suggestions from Board
members as to individuals particularly qualified and
experienced for service on the NIPE Staff, but it was not
intended that such staff members would be "representatives"
of Board members or agencies. 222/
designed
118. This explanation was/to contrast the membership
of the NIPE Staff with that of the DCI Coordination Staff,which
was to be superseded and disbanded after it completed certain
current projects during 1964. Pursuant to the approved JSG
recommendation, the Coordination Staff was composed of full-
time representatives from each of the USIB agencies, except
FBI and AEC who designated liaison representatives. It had
been intended that each representative based on considerable
knowledge and experience in his agency would be able to serve
and assist the DCI in coordinating the intelligence community in
two respects. First he would be able to obtain from his agency
the facts, views and opinions on any particular problem or
project being studied by the Coordination Staff. Then together
with the other staff members he would seek to develop the best
possible solution from the viewpoint of the DCI and the intelligence
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community as a whole. It was anticipated that he would
also be instrumental in explaining and gaining support for
this solution in his agency prior to Board consideration. In
practice, however, since each staff member was spending
most of his time working for the DCI on community problems,
he generally began to lose close contact with senior officials
in his agency and to have less influence and standing within that
agency. In addition since the staff members had been selected
and worked under Allen Dulles, John McCone never really
considered that they belonged to him or that the general
coordination studies they had made were the kind of program
evaluations he required. He consequently decided to establish
a new staff chosen by him to undertake appraisals using more
of a systems analysis approach to assist him in determining
which intelligence programs and projects met the intelligence
requirements established by USIB in the most efficient and
effective manner in terms of the resources and costs involved.
He also believed, and experience in USIB confirmed, that
such as USIB
a board or committee/composed of the agency heads
whose programs were being evaluated could not make the
objective evaluations of those
programs as well as a separate staff under his supervision.
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