SENATE SELECT COMMITTEE ON INTELLIGENCE HEARING ON FY 1978 REPROGRAMMING AND FY 1979 BUDGET AMENDMENT CONCERNING THE REORGANIZATION OF THE INTELLIGENCE COMMUNITY STAFF

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP81M00980R000200060075-2
• Release Decision: RIPPUB
• Original Classification: S
• Document Page Count: 6
• Document Creation Date: December 19, 2016
• Sequence Number: 75
• Content Type: MEMORANDUM FOR THE RECORD

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OLC #78-1971/1
24 May 1978
fl COPY
W-ems-S -
MEMORANDUM FOR THE RECORD
SUBJECT: Senate Select Committee on Intelligence Hearing on
FY 1978 Reprogramming and FY 1979 Budget Amendment
Concerning the Reorganization of the Intelligence
Community Staff
1. (U) On Wednesday, 24 May 1978, the Budget Authorization
Subcommittee of the Senate Select Committee on Intelligence (SSCI)
met to hear the Director on the matter of FY 1978 reprogramming
and FY 1979 budget amendment concerning the reorganization of the
Intelligence Community (IC) Staff. Security was provided by the
Committee. A transcript was taken of the hearing. Witnesses
were not sworn. The hearing started at 10:00 a.m. and concluded
at 11:15 p.m..
2. (U) Members present included:
William D. Hathaway (D. , Maine) , Chairman
Malcolm Wallop (R., Wyo.)
3. (U) Staff members present included: Dan Childs,
George Pickett, Hal Ford, David Bushong, and approximately six
others.
A (U) The Director was the nrinr?;rnal witness.
Tl /nr T /nna __ -1 .,
'-'/ LCD-/ .,a , as.-11J ed 111111 25X1
and 1%r. Steven Potts, Department o~ Defense, was called on to
.answer questions. Additional attendees were as indicated on the
attached witness list. 25X1
5? ( S) The following items of interest were noted:
a. The Director presented his briefing which described
and explained the reorganization of the IC Staff and the Collection
Tasking Staff and the Resource Management Staff. During his
briefing he indicated that there was a need for a general and a
legislative counsel activity to handle Intelligence Community matters,
but that these personnel would be offshoots of the Office of
Legislative Counsel and the Office of General Counsel of CIA.
?=T c~ aret2C1u 1..
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b. Chairman Hathaway asked where the additional po:;i-
tions being added to the IC Staff were coming from and what
activities were bein,; reduced. The Director responded by sa;ring
he was basically pic::ing up a few positions from various locutions
in the CIA. Mr. Potts responded for the Department of Defen:re
saying the precise areas from whence positions would be taken had
not yet been identi==Led but that this would be done as part of
the 1978 budget exec,:ise. The Chairman said don't we need to
know that now, and a,;ain repeated his question. Mr. Potts
responded that he co-.ild not give a precise answer but would
supply something for the record.
c. Chairma:zHathaway asked how the Community perfo:
mance would improve 'i.nder this reorganization, and the Direc-:or
responded by describing improvements in the coordination of
collection tasking.a:zd in the carrying out of new budget
responsibilities. 25x1
d. thairma:z Hathaway asked the Director if he had
considered other al,::rnative rearanni t on p re(--tor
responded saying that he andi and had 25x1
looked at a number of ways of reorganizing and had decided this
was the most appropriate.
13. Chairma:a Hathaway asked about the need for thre(:
evaluation units, ant the Director explained what the different
functions would be :'Dr each of the units in the National Fori:ign
Assessment Center, .:he Collection Tasking Staff, and the Resource
Management Staff. 'The Chairman asked if these units could not be
merged, and the Dire:tor responded that they could be, but it
would not result in a savings in personnel and might conceivably
be less efficient in the Iona run. The Chairman asked if th~.se
units might be performing overlapping functions. The Director
indicated that there would be some overlap, but it would be
desirable. He also indicated that there would also be non-
Government people invited into the process from time to time to
help in the development of intelligence studies.
if. Chairman Hathaway asked how the National Intelligence
Tasking Center would interface with existing Community functions.
The Director responded saying that the NITC would be colocatad
with the combined collection facility of'the Department of D,,fense,
and that this would provide for an interface between tactical and
national intelligence tasking.
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g. Chairman Hathaway asked if there were any plans for
further expansion of the IC Staff beyond what was being requested.
The Director responded saying he did not plan any further expan-
sion, but that at this point he could not be absolutely certain
as to how many people would be needed and would have to wait and
see whether the numbers currently being requested were right.
h. Chairman Hathaway asked the Director to indicate
what the Committee might look to in evaluating this new staff
concept, and the Director responded saying that next year the
Committee should look to the progress the Collection Tasking Staff
had made in developing collection plans and the progress the
Resource Management Staff would make in presenting better budget
justifications.
i. Chairman Hathaway asked the Director to confirm that
ization would not require any additional funds.
responded saying that the reorganization would not 25x1
require a itional funds but that the Director would ho
e to have
p
some flexibility in ter7nq ere the reprogramming changes
might take place. indicated that the original plan 25x1
might require some minor adjustment if circumstances indicated
more efficient uses of resources. The Chairm n asked that an
impact statement be provided, and agreed to do so. 25x1
j. .Senator Wallop asked the Director to assure that he
would monitor the future size and budget-of the new Community
organization. The Director responded that he would, that he
would cut overhead at CIA in order to increase operations, and
that he had no desire to have any unnecessary management. How-
ever, he said this reorganization plan was called for by the
charter legislation. It was needed if he was to have the mechanism
to coordinate the Community. Senator Wallop asked how much control
this organization would have over the component agencies.
reported that it would have control over reprogramming5x1
control as was necessary to implement DCI and Congressional
budg
C> F
et policy. indicated that detailed day-to-day 25x1
management contro wou not rest with the IC Staff. Senator
Wallop asked how much new lyis staff would create for
the component agencies and responded that there would 25x1
be no substantial additions wor oa at the management level.
However, there would be some additional financial breakouts required
in order to assist in the budget management process. Senator Wallop
asked if the compo s had been consulteS on this
reorganization andi responded affirmatively. 25X1
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k. Senator Wallop and the Director then had a discussion
on the manner in which intelligence analysts would relate to both
the NITC and the collection tasking committees. The Director
explained that while the NITC would grow in its role, he had no
intention of prohibiting analysts from dealing directly with the
functional tasking committees. Chairman Hathaway at one point
asked if all analysts would be required to g
ba NITC l in the
future and the Director responded that they would probably the
to do so. He indicated that he wished to maintainasmuch not have
flexibility as possible in these matters. 'Senator Wallop then
asked if this plan was the result of a study the Director had made
and the Director responded that it was based on his experie::ace
over the past year and a half. 25x1
1. Chairman Hathaway asked what the reorganizatio:i would
be doing to improve counterintelligence. The Director responded
that the Resource Management Staff would be looking at counter-
intelligence in it; budget role. He explained that under the new
Executive Order the Special Coordinating Committee of the NSC.
was responsible for overall management of counterintelligence.
Chairman Hathaway asked abou the HUMINT Co- .ti:ee in
counterintelligence and bothf-I
and 1re=plied25x1
indicating that the HUMINT Committee would co e a role
in the management and guidance of counterintelligence asset!;. 25x1
I I said that he had planned to have one man assigned to
LnIS unc: -ion but was thinking that he might need a second person.
The Direc:tor then indicated t"hnt A' counterintelligence. chief
was about: to retire and would be replacing him. 25x1
Chairman Hathaway asked what Mr. Brzezinski's role would be in
counterintelligence and the Director replied that he would to
responsible for managing the overall Government effort and would
not get down into daily operating details. At one point in the
conversation the Director indicated that the placement of manage-
ment responsibility for counterintelligence was a 25x1
pem be
of the close affinity of counterintelligence to law
renforcerrentSe
and that the decisicn to give this role to the NSC was, in effect,
a compromise. 25x1
M. Chairman Hathaway asked whether there were any other
personnel involved in the Intellig Committee Staff and the 25X1
Director responded that there were people on non-reimbursable
details but that of them were about to leave and would not
be replaced. The airman the ere were any other
personal service contracts and responded with the 25x1
d
etails. Chairman 1athaway th t would not he r
to have a ceiling for non-reirnbursible details and
responded affirmatively. The Chairman we gave youl
for present authority would that do and said yes.
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6. (U) Chairman Hathaway ended the meeting by saying
that he had no problem with the concept of the reprogramming.
Office of Legislative Counsel
Attachment:
.Witness list as stated
Distribution:
Orig - OLC Subj
1 - D/DCI/FtM
1 - D/D I/CT
1 - Mr.
1 - Mr.
1 - Mr.
1 - Mr.
I - OLC Chrono
OLC/ELS/mg (5S, June 78)
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.WITNESS LIST
Stansfield Turner
ACCOMPANIED BY :
Steven Potts
Director of Central Intelligence
Deputy to the DCI .-for the
Intelligence Community. (Designate
Deputy to the DCI for Resource
Management)
Special Assistant to the DCI
(Designated Deputy to the D'-I
for Collection Tasking)
Chief, Support Staff, Intelligence
Community Staff
Special Assistant to
(Designated Associate eputir o
the DCI for Collection Task:Lng)
Budget and Fiscal Officer,
Intelligence Community Staf:E
Special Assistant to
(Designated Director, icE: o
Collection Evaluation)
Acting Legislative Counsel, Office
of the Director of Central ntelligenc,
Associate Legislative Counsel, Office
of the Director of Central Intelligence
Department of Defense Representative
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