AMENDMENTS TO THE NATIONAL SECURITY ACT OF 1947

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP91-00966R000800020008-5
• Release Decision: RIFPUB
• Original Classification: K
• Document Page Count: 34
• Document Creation Date: December 20, 2016
• Document Release Date: November 14, 2006
• Sequence Number: 8
• Publication Date: May 22, 1975
• Content Type: REPORT

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AMENDMENTS TO THE NATIONAL SECURITY ACT OF 1947
Legislative background
Section 402(a): Membership of the NSC
Section 402(b): Functions of the NSC
Sections 403(a) and 403(b): The Director and Deputy
Director of Central Intelligence
Section 403(c): DCI authority to fire CIA employees
Section 403(d): Intelligence functions of the CIA
Section 403(d): NSC direction of the, CIA
Section 403(d)(3):
Intelligence collection by the CIA
Section 403(d)(3):
Section 403(d)(3):
and methods
Section 403(d)(4):
concern"
Section 403(d)(5):
Domestic activities of the CIA
Protection of intelligence sources
"Additional services of common
"Such other functions and duties"
13
Appendices:
1. 50 U.S.C. 402 and 403
14
2. Presidential Directive of February 1, 1946
18
3. S. 244 (94th Congress)
20
4. Statement of William E. Colby, Director of
Central Intelligence, on H.R. 15845 (July
22, 1974)
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?
Legislative background
The Central Intelligence Agency and the National Security Council
were created by the National Security Act of 1947, the larger purpose
of which was to consolidate the armed services into what became the De-
partment of Defense. (see Appendix 1)
The Committee staff has examined the material available from the
Library of Congress, the National Archives, and the files of the Rocke-
feller Commission concerning the legislative history of the Act for
evidence of Congressional intent. This material is sparse and incon-
clusive. The National Security Council, the Department of Defense, and
.the CIA have all been requested to provide the Committee with whatever
relevant records remain in their files, but no materials have been
received to date. It is possible that these materials will be more in-
formative, but it is more likely that the historical record will remain
incomplete and of very limited value.
When the Act was being considered, the proposed unification of the
armed forces was more controversial and of greater public and Congres-
sional interest than the creation of either the NSC or the CIA. In
fact, some of the Act's statutory provisions regarding both the CIA
and the NSC were taken more or less directly from President Truman's
directive of February 1, 1946, which created a National Intelligence
Authority and a Central Intelligence Group. (see Appendix 2) This
directive provided, for example, that the CIG shall "perform such other
functions and duties related to intelligence affecting the national
security" as the President and the NIA may from time to time direct.
It also made the Director of Central Intelligence (as head of the CIG)
responsible for "fully protecting intelligence sources and methods."
These provisions may well have been incorporated into the statute with-
out much attention to precisely how they should or might be interpreted.
Further, it is reasonable to suppose, given the climate of the
time, that some matters may have been discussed only off the record, if
they were discussed at all. For example, it has been argued that there
is no statutory authority in the Act for the CIA to engage in espionage
and covert action, and it is certainly true that the Act contains no
such explicit authorization. But it has also.been argued that it would
be naive to expect candid references to such activities, either in
statute or on the record, at a time when the nation was demobilizing
from hot war and beginning to confront cold war. Instead, "other func-
tions and duties" was intended to serve as an intentionally inconspicuous
euphemism for the operational functions which had been performed by the
OSS and which everyone understood were to be performed by its successor,
.the CIA.
There is scattered evidence in both contemporaneous and later docu-
ments to support both of these provisions as well as conflicting inter-
pretations of other provisions of the Act. None of these sources, how-
ever, is truly satisfying as an authoritative statement of congressional
intent. The documents which should be authoritative--the committee re
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ports and floor debates--are among the least informative. And it is
unreasonable to generalize from the occasional statement of a witness
or member.of Congress to the certain intent of the Congress as a whole.
Instead of debating what the Congress really intended in 1947, the
Committee may decide that it is preferable to put this question aside,
and recommend amendments which would bring the Act into conformance with
the intent of Congress in 1975. (for one such bill, see S. 244, attached
as Appendix 3)
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Section 402(a): Membership of the NSC
The function of the NSC is to "advise the President with respect to
the integration of domestic, foreign, and military policies relating to
the national security...." (emphasis added) But as William Watts noted
in his testimony before this Committee on October 30th,
(T)he National Security Council as presently constituted has
no statutory representative, other than the president, who can
speak to domestic considerations and concerns. In a world
where foreign policy in many areas is also domestic policy
(oil and grain are obvious examples), this is, in my view, a.
serious but correctable weakness. It places an unfair burden
on the president, since only he can take fully into account.
the domestic consequences of foreign policy actions.
Mr. Watts suggests, therefore, that this section be amended to add
the Secretary of the Treasury as a statutory member of the NSC.
In support of this proposal, it may be argued that the NSC, as
presently constituted, cannot promote the integration of domestic and
foreign policies because none of its members has an institutional in-
terest in promoting domestic considerations. Although no official can
adequately represent the entire gamut of domestic interests, the macro-
economic responsibilities of the Secretary of the Treasury give him a
broader perspective on domestic policy concerns than any of his Cabinet
colleagues.
Further, adding the Secretary of the Treasury to the NSC would be
a recognition of the increasing importance of international economic
policy, and the shifting emphasis in security policy from military
strength to questions of resource allocation and market control. The
intelligence community has.been criticized for not putting sufficient
emphasis on economic issues. This weakness might be corrected by giving
the Secretary of the Treasury a statutory voice in directing intelli-
gence collection and evaluation efforts.
In opposition to this proposal, it may be'argued that presidents
have frequently asked domestic officials to participate in NSC meetings
whenever appropriate. Every president has re-shaped the NSC to fit his
own style of decision-making, and this flexibility should not be reduced
by unnecessary changes in the formal membership of the NSC. The NSC is
essentially an advisory body to the president; the more the Congress
specifies its membership and activities, the greater the likelihood
that presidents will find it uncongenial and ignore it.
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Section '402(b): Functions of the NSC
In Sections 402(a) and 402(b), the-Congress provided that the NSC
.is to advise, to assess and appraise, to consider policies, and to make
recommendations to the President. There is no explicit statement that
the NSC is to have any operational authority.
Section 402(b) does provide, however, that the NSC shall perform
'.'such other functions as the President may direct...." and Section 403(d)
provides that the CIA shall perform its.services, functions and duties
"under the direction of the National Security Council...."
If the Committee concludes that the NSC should only be an advisory
body to the President, it may recommend that this section be amended by
(1) eliminating the reference to "such other functions....", or (2)
specifying that these other functions shall not include authorizing or
directing operations or activities not undertaken primarily or solely
for the purpose of gathering foreign intelligence.
If the Committee believes that the NSC should remain involved in
covert action operations but that the final responsibility must rest on
the President, it may recommend that this section be amended to provide
that the NSC shall direct no operational activity without the explicit,
personal and written approval of the President. Such a provision
might duplicate the requirement for presidential approval imposed by
the Foreign Assistance Act Amendments of 1974, but it would specify
that the NSC is to have no operational authority independent of the
President.
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Sections 403(a) and 403(b): The Director and Deputy Director of Central
Intelligence
Section 403(a) provides that either the Director or Deputy Director,
but not both, may be nominated from among "commissioned officers of the
armed forces, whether in an active or retired status." Section 403(b)
contains various provisions concerning the status of a commissioned of-
ficer occupying either position.
Traditionally, either the DCI or his Deputy has been a commissioned
officer. The Committee may conclude that this is undesirable because
any military official, whatever his intentions, must inevitably be in-
.fluenced by his years of experience in the armed forces: It may recom-
mend, therefore, that the separation of the CIA from the military be
enforced by repealing Section 403(b) and amending Section 403(a) to re-
quire that both the DCI and his Deputy be civilians.
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Section 403(c): DCI authority to fire CIA employees
Section 403(c) provides that, notwithstanding any other provision
of law,
The Director of Central Intelligence may, in his discretion,
terminate the employment of any officer or employee of the
Agency whenever he shall deem such termination necessary or
advisable in the interests of the United States....
The Committee may conclude that this authority is unreasonably
broad and that CIA employees should enjoy the rights of other govern-
ment employees to the fullest extent possible.
Therefore, the Committee may recommend that this section be amended
to provide that (1) the DCI's discretionary authority is limited to cases
in which employees are fired for security reasons; (2) in such cases, the
employee shall have the right to appeal to the President for reconsider-
ation and reinstatement; and (3). before acting on such an appeal, the
President shall have the advice and recommendation of the Attorney Gen-
eral.
Such amendments would provide some procedural safeguard against
possible abuses of the DCI's discretionary authority without unreason-
able risk to the secrecy of intelligence.
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Section 403(d): The intelligence functions of the CIA
Section 403(d) provides that the CIA shall undertake various func-
tions related to intelligence. Proposals have been made (see Appendix
3), to specify that the CIA shall only undertake programs related to
foreign intelligence. Senator Proxmire proposes that this section be
amended by inserting the word "foreign" before intelligence throughout
the section.
The DCI, Mr. Colby, supported such an amendment in testimony be-
fore the House Armed Services Committee on 22 July 1974 (see page 1 of
Appendix 4):
I fully support this change. While I believe the word "intel-
ligence alone in the original Act was generally understood to
refer only to foreign intelligence, I concur that this limita-
tion of the Agency's role to foreign intelligence should be
made crystal clear to its own employees and to the public. I
hope that this amendment will reassure any of our fellow citi-
zens as to the Agency's true and only purpose.
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Section 403(d): NSC direction of the CIA
Section 403(d) provides that the CIA shall perform specified func-
tions "under the direction of the National Security Council."
On the basis of its hearings and investigation, the Committee may
decide that the relationships among the President, the NSC, and the CIA
should be clarif-.ad by amending this section to provide that the CIA's
activities shall be undertaken at the direction of the President, upon
the recommendation of or after consultation with the National Security
Council.
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Section 403(d)(3): Intelligence collection by the CIA
Section 403(d)(3) provides that the CIA shall "correlate and evalu-
ate intelligence relating to the national security and provide for the
appropriate dissemination of such intelligence within the Government...."
There is no provision in this section or elsewhere in law which
authorizes the CIA to collect intelligence. The absence of such authori-
zation supports the contention that the CIA was originally established as
an agency to analyze and evaluate intelligence, without any operational
responsibilities.
Whatever the original intention or expectation, however, the CIA
has been involved in intelligence gathering since its creation. The
Committee may wish to acknowledge this fact by amending this section
to provide that the CIA shall "collect" as well as "correlate and evalu-
ate" intelligence.
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Section 403(d)(3): Domestic activities of the CIA
Section 403(d)(3) provides that the CIA "shall have no police,
subpena, law-enforcement powers, or internal-security functions."
On the basis of the Rockefeller Commission report and its own
investigation, the Committee may conclude that this section requires
clarification. It may recommend,. therefore, that the section be amended
to provide that the CIA shall engage in no activities within the United
States except:
.1. to conduct personnel investigations and protect the security
of its facilities;
2. to provide foreign intelligence information to other federal
departments and agencies only upon the written, public request of
the Attorney General or the Secretary of the Treasury, and
3. to solicit information voluntarily from United States citizens
and residents.
Mr. Colby has indicated support for such an amendment. (see pages 6-8
of Appendix 4)
The Committee may also recommend that:
1. the above limitations are not meant to impede the lawful acti-
vities of the CIA at its headquarters and other offices within the
United States,
2. any domestic activities undertaken pursuant to (1)-(3) above
shall be subject to the laws of the United States, and
3. the CIA shall submit an annual report to the Congress describing
and providing the statutory basis for all domestic activities under-
taken pursuant to (1)-(3) above.
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Section 403(d)(3): Protection of intelligence sources and methods
Section 403(d)(3) provides that the DCI "shall be responsible for
protecting intelligence sources and methods from unauthorized disclosure."
The CIA has argued that this provision imposes an important respon-
sibility upon the DCI without giving him the necessary authority. In
his 1974 testimony before the House Armed Services Committee (see pages
1-3 of Appendix 4), Mr. Colby stated:
Under existing law, the Director is responsible for developing
such internal administrative.controls as are possible and approp-
riate to protect against unauthorized disclosures, but if such
a disclosure is identified, his only recourse beyond internal
disciplinary action, including termination of-an employee, would
be to report the matter to appropriate authorities for examination
of possible legal action....
...I am of the personal opinion that additional legislation is
required on this subject to improve our ability to protect intel-
ligence sources and methods against unauthorized disclosure....
the specifics of my recommendations on this subject are still
under active consideration within the Executive Branch, so that
an appropriate Executive Branch recommendation can be made to
the Congress.
It is likely that the CIA will recommend that the DCI be given some
enforcement powers when it submits its recommendations for legislation to
this committee. The Committee may conclude that some new authority must
be provided to enable the DCI to meet his responsibility under this sec-
tion.
Alternatively, the Committee may consider repealing this provision.
Any agency head whose agency has possession of classified informa-
tion is required by Executive Order 11652 to protect against its unauth-
orized disclosure. The special requirement of this section, therefore,
is unnecessary. It is also unclear what kinds. of information are en-
compassed by "intelligence sources and methods" and. whether the DCI's
authority is limited to information in the custody of CIA or to infor-
mation held throughout the intelligence community. Instead of attempting
to clarify the provision, the Committee may recommend that it be elimi-
nated as a possibly contentious issue which is unnecessary for the pro-
tectionof intelligence information.
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Section 403(d)(4): "Additional services of common concern"
Section 403(d)(4) provides that the CIA. shall perform
for the benefit.of the existing intelligence agencies, such
additional services of common concern as the National Security
Council determines can be more efficiently accomplished cen-
trally.
So far as the staff has been able to determine, the CIA has not cited
this provision as authority for any of its programs or activities.
.Further, the following section, 403(d)(5), provides that the CIA shall
perform "such other functions and duties related to intelligence" as
directed by the NSC. It appears, therefore, that the provisions of
Section 403(d)(4) are unnecessary. The Committee may recommend that
this section be repealed.
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Section 403(d)(5): "Such other functions and duties"
Section 403(d)(5) provides that the CIA shall perform
such other functions and duties related to intelligence affecting
the national security as the National Security Council may from
time to time direct.
It is this provision which the CIA has cited as its statutory authority
for conducting covert action operations.
If the Committee believes that the CIA should not engage in any
covert action programs, it may recommend that this section by amended
to provide that no activities undertaken pursuant.to this section shall
be for the purpose of influencing, determining, or otherwise affecting
the policies, officials, programs, organizations, or actions of any
foreign government or entity.
If the Committee concludes that covert actions should not be pro-
hibited by law but that they should be considered and approved more sys-
tematically than at present, it may recommend that this section be
amended to provide that any such functions and duties are to be under-
taken only upon the specific, written direction of the President, upon
the. recommendation of or after consultation with the National Security
Council.
The Committee may also recommend that any activities undertaken
by the CIA under the authority of this section shall be reported to the
Congress under the same reporting requirements established by the Foreign
Assistance Act Amendments of 1974. Such a provision might be redundant,
but it would minimize the possibility of major CIA activities escaping
Congressional notice. Mr. Colby has expressed his general support for
such a reporting requirement. (see pages 3-5 of Appendix 4)
 Appendix -14-
402. TITLE 50.-WAR AND. NATIONAL DEFENSE Page. 12182
Page 1215
Activities, and (2) by adding thereto the following-named
agencies:
Agency for International Development.
Office of Emergency Planning.
Peace Corps.
President's Foreign Intelligence Advisory Board.
United States Arms Control Disarmament Agency.
Sac. 2. Subsection (b) of section 2 Is amended by de-
leting from the list of departments and agencies there-
under the Government Patents Board, and, by adding
thereto the following-named agency:
Federal Maritime Commission.
Sac. 3. The agencies which have been added by this order
to the lists of departments and agencies under subsec-
tions (a) and (b) of section 2 of Executive Order No.
10501, as amended [set out as a note under this sections,
shall be deemed to have had authority for classification
of Information or material from the respective dates on
which such agencies were established.
JOHN P. KENNEDY
EX. ORD. No. 11097. AMENDMENT OF EXECATna ORDER NO.
10501. RELATING TO SAFEGUAsoneG OFFICIAL INFORMATION
Ex. Ord. No. 11097, Feb. 28, 1963, 28 F.R. 2225. provided:
By virtue of the authority vested in me by the Consti-
tution and statutes of the United States, and as Presi-
dent of the United States, and deeming such action
necessary In the best interest of the national security, it
is hereby ordered as follows:
SECrroN 1. Section 2 of. Executive Order No. 10501 of'
November 5, 1953, as amended by Etecutive Order No.
10901 of January 9, 1961 and by Executive Order No.
10985 of January 12, 1962 [set out as a note under this
section], Is hereby further amended (A) by adding at
the end of Subsection (a) thereof "Export-Import Bank
of Washington", "Office of Science and Technology", and
"The Special Representative for Trade Negotiations";
and (B) by deleting from Subsection (b) thereof "Sub-
versive Activities Control Board."
SEC. 2. The Export-Import Bank of Washington. the
Office of Science and Technology, and The Special Repre-
sentative for Trade Negotiations shall be deemed to have
had authority for the original classification of informa-
tion and material from the respective dates on which
such agencies were established.
JOHN F. KENNEDY
Orrice OF EMERGENCY PREPAREDNESS
The name of the Office of Emergency Planning was
changed to the Office of Emergency Preparedness by Pub.
L. 90-608, ch. N, ? 402, Oct. 21, 1968, 82 Stat. 1194, with
references In any other law to the Office of Emergency
Planning to be deemed, after Oct. 21. 1968, references to
the Office of Emergency Preparedness.
SECrION REFERRED To IN OTHER SECTIONS
This section is referred to in title 10 sections 125, 133.
? 402. National Security Council,
(a) Establishment; presiding officer; functions; com-
position.
There is established a council to be known as the
National Security Council (hereinafter in this sec-
tion referred to as the "Council").
The President of the United States shall preside
over meetings of the Council: Provided, That in his
absence he may designate a member of the Council
to preside in his place.
The function of the Council shall be to advise the
President with respect to the integration of domestic.
foreign, and military policies relating to the national
security so as to enable the military services and the
other departments and agencies of the Government
to cooperate more effectively in matters Involving
the national security.
The Council shall be composed of-
(1) the President;
(2) the Vice President;
(3) the Secretary of State;
(4) the Secretary of Defense;
(5) the Director for Mutual Security:
(6) The Chairman of the National Security Re-
sources Board; and
(7) the Secretaries and Under Secretaries of
other executive departments and of the military
departments, the Chairman of the 'Munitions
Board, and the Chairman of the Research and De-
velopment Board, when appointed by the Presi-
dent by and with the advice and consent of the
Senate, to serve at his pleasure.
(b) Additional functions.
In addition to performing such other functions as
the President may direct, for the purpose of more
effectively coordinating the policies and functions of
the departments and agencies of the Government
relating to the national security, it shall, subject to
the direction of the President, be the duty of the
Council-
(1) to assess and appraise the objectives, com-
mitments, and risks of the United States in rela-
tion to our actual and potential military power, in
the interest of national security, for the purpose
of making recommendations to the President in
connection therewith; and
(2) to consider policies on matters of common
interest to the departments and .agencies of the
Government concerned with the national security,
and to make recommendations to the President in
connection therewith.
(c) Executive secretary; appointment and compensa-
tion; staff employees.
The Council shall have a staff to be headed by a
civilian executive secretary who shall be appointed
by the President.. The executive secretary, sub-
ject to the direction of the Council, is au-
thorized, subject to the civil-service laws and chap-
ter 51 and subchapter III of chapter 53 of Title 5,
to appoint and fix the compensation of such person-
nel as may be necessary to perform such duties as
may be prescribed by the Council in connection with
the performance of its functions.
(d) Recommendations and reports.
The Council shall, from time to time, make such
recommendations, and such other reports to the
President as it deems appropriate or as the President
may require. (July 26. 1947, ch. 343, title I, ? 101,
61 Stat. 497; Aug. 10. 1949, ch. 412, ? 3, 63 Stat. 579;
Oct. 28, 1949, ch. 782. title XI, ? 1106 (a), 63 Stat.
972; Oct. 10, 1951, ch. 479, title V. ? 501 (e) (1), 65
Stat. 378.)
REFERENCES TN TEXT
The civil-service laws, referred to in subset. (c), are
classified generally to Title 5, Government Organization
and Employees.
CODIFICATION
Provisions in subset. (c) which limited the compensa-
tion of the executive secretary to $10,000 a year were
omitted since the position referred to is now in the
classified civil service and subject to the applicable
compensation schedules.
The authority for covering excepted positions into the
classified civil service was given the President by section
2101 et seq. of Title 5. Government Organization and
Employees. By Executive Order 8743, Apr. 25, 1941. the
President exercised this authority with respect to many
previously excepted positions,
1351-S~
Is.. re:at.
,7. ai:sp! a
thereof as Cl 1349--Subs
President w
miiita y de-x
with the c Secrets:ies o
mii:tary dept
Baud and t?`
Subsec_ tc
stituted the
Cation Act of
codificatio t,
subchapter li
The funct!<
Mobilizatlon
National S?u
of the OL?cce
Reorg. P; an, ~
Stat. 1709, as
72 stat. 86t. s?
dix to this tit'
The Nation
tions, records,
antes of app
(avallab:e or
the Executive
No. 4. eff. Au:
out in the a,
tion and Emp:
ST,(
Repeals by :
1954 did not
Oct. 20, 1951.
ABOLISH-a r-
The munitio
man, was aboli
to the Sereta
e. June 3c0, 1'
to Title 5, Go:
ABOUSas xuT c
The office of
and the funct!
member of the
the Director of
1953 Reorg. Pta
Foreign Opera
superseded by'
ABOLISHMENT c
The Research
office of Chalrn
Lions transfer,-
Reorg. Plan No
out In the Ap;
Lion and E=plo,
1
Pub. 1,. 86-3'
amended by Pt.
1961, 70 Stat. 7,
1962, 76 Stat. 6:
(a), as added '.
Aug. 14. 1964. P
430; Oct. 6. 1954
6, 1966, Pub. L.
Pub. L. 89-632.
Dec. 30. 1939, e3
authorities for t.
Sectior-3 I an
of former Title
Forces (as mot;
ployees S.a:arg
respectively.
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? T,e 12183 TITLE 50.-WAR AND NATIONAL DEFENSE ? 403
AMENDMENTS
1951-Subsec. (a). Act Oct. 10. 1951, inserted clause
. relating to Director for Mutual Security. ln_ fourth
-agraph, and renumbered former clauses (5) and (6)
-roof as clauses (6) and (7), respectively.
:9;9-Subsec. (a). Act Aug. 10, 1949, added the Vice
..r;:dent to the Council. removed the Secrettaries of the
:::.ry departments. to authorize the President to add,
_. t-. the consent of the Senate, Secretaries and Under
reto.rles of other executive departments and of the
;:::.ry department, and the Chairmen of the Munitions
.: d and the Research and Development Board.
._..,sec. (c) amended by act Oct. 28. 1949, which sub-
;;ed the "Classification Act of 1949" for the "Classlfi-
?,.t:on Act of 1923, as amended", which, for purposes of
::!:cation, has been translated as "chapter 51 and
..,^.i:apter III of chapter 53 of Title 5."
TRANSFER OF FUNCTIONS
T..".e functions of the Director of the Office of Defense
?.! ,S:azatfon with respect to being a member of the
::.,nal Security Council were transferred to the Director
! :he Office of Civil and Defense Mobilization by 1958
la,,:~. Plan No. 1. ? 4. eft. July 1. 1958, 23 F.R. 4991, 72
-...:. 1799, as amended by Pub. L. 85-763. Aug. 26, 1958,
S:::t. 861. set out as a note under section 2271 of Appen-
.::x to this title.
T::e National Security Council, together with its func-
r.s. records, property, personnel, and unexpended bal-
_:.ces of appropriations, allocations, and other funds
.:.,:Table or to be made available) were transferred to
:?? Executive Office of the President by 1949 Reorg. Plan
.: ; 4. eff. Aug. 19, 1949, 14 F.R. 5227, 63 Stat. 1067, set
.:t in the Appendix to Title 5, Government Organiza-
.:Jn and Employees.
SECTION AS UNAFFECTED aY REPEALS
Repeals by section 542 (a) of Mutual Security Act of
. )5; did not repeal amendment to this section by a.ct
t>_ t 10. 1951.
ABOLISHMENT OF MUNITIONS BOARD AND TRANSFER OF
FUNC'T'IONS
me Munitions Board, together with the office of Chair-
!n.%n. was abolished and the Board's functions transferred
:., the Secretary of Defense by 1953 Reorg. Plan No. 6,
e:f. June 30, 1953, 18 F.R. 3743, set out In the Appendix
to Title 5, Government Organization and Employees.
A_OLI5HMF.NT OF OFFICE OF DIRECTOR FOR MUTUAL SECURITY
AND TRANSFER of FUNCTIONS
The office of Director for Mutual Security was abolished
and the functions of the Director, including those as a
:c nber of the National Security Council transferred to
:he D:rector of the Foreign Operations Administration by
:953 Reorg. Plan No. 7. elf. Aug. 1, 1953, 18 F.R. 4541. The
'Lrei,tn Operations Administration was subsequently
s.iPerseded by the Agency for International Development.
ASOLISHSIENT OF RESEARC;I AND DEVELOPMENT BOARD AND
TRANSFER OF FUNCTIONS
The Research and Development Board, together with the
rice of Chairman, was abolished and the Board's func-
:i.ns transferred to the Secretary of Defense by 1953
R?e.'r:. Plan No. 6, eft. June 30. 1953, 18 F. R. 3743, set
ou: In the Appendix to Title 5, Government Organize-
tto:i and Employees.
NATIONAL SECURITY AGENCY
P:ub. L
86-36
111-8
Ma
29
1959
73 St
t
63
a
z
.
,
y
,
a
,
,
.
, as
-1:nmded by Pub. L. 87-367, title 1I, ?? 201, 204. Oct. 4,
~r
:?'3% 70 Stat. 789, 791; Pub. L. 87-793, ? 1001(c), Oct. 11,
:i'2. 76 Stat. 854: Sept. 23, 1950, ch. 1024, title III, 1306
..,, as added Mar. 26, 1964, Pub. L. 88-290, 78 Stat. 170:
%'
?
~S? 14. 1964. Pub. L. 88-426 title III, ? 306(h), 78 Stat.
~'?'9. Oct. 6, 1964, Pub. L. 88-631 ? 3 (d) , 73 Stat. 100.9; Sept.
~? 1966. Pub. L. 89--554. ? 8(a), 80 Stat. 660: Oct. 8. 1966,
?..b. L. 89-632, ? 1(e) , 80 Stat. 878; Pub. L. 91-187, ? 2.
Dec. 30, 1969, 83 Stat. 850, provided certain administrative
+'::ho:!ties for the National Security Agency.
Srctlons 1 and 3 of Pub. L. 86-36 amended section 1082
cf former Title 5, and section 1581(a) of Title 10, Armed
Forces (as modified by section 12(a) of the Federal Em-
?
o
?
yecs Salary Increase Act of 1958,
72 Stat. 213),
pectlvely.
Section 1 exempted the National Security Agency from
the provisions of the Classification Act of 1949, now
covered by chapter 51 and subchapter III of chapter 53
of Title 5. Section 3 deleted provision permit*_ing the
Secretary of Defense to establish not more than 50 re-
search and development positions in the National Se-
curity Agency.
Sections 2, 4, 7, and 8 of Pub. L. 86-36 provided as fol-
lows:
"SEC. 2. The Secretary of Defense (or his designee for
the purpose) is authorized to establish such positions,
and to appoint thereto, without regard to the civil service
laws, such oncers and employees, in the National Security
Agency, as may be necessary to carry out the functions
of such agency. The rates of basic compensation for such
positions shall be fixed by the Secretary of Defense (or his
designee for the purpose) in relation to the rates of basic
compensation contained in the General Schedule of the
Classification Act of 1949, as amended ( now set out in sec-
tion 5332 of Title 5], for positions subject to such Act
which have corresponding levels of duties and responsi-
bilities. Except as provided in subsections (f) and (g) of
. section 303 of the Federal Executive Salary Act of 1954.
no oficer or employee of the National Security Agency
shall be paid basic compensation at a rate In excess of
the highest rate of basic compensation contained In such
General Schedule. Not more than seventy such officers and
employees shall be paid basic compensation at rates equal
to rates of basic compensation contained In grades 16. 17,
and 18 of such General Schedule. (As amended Pub. L.
87-367. title II, ? 201, Oct. 4, 1961. 75 Stat. 789; Sept. 23,
1950, ch. 1024. title III. ? 306(a), as added Mar. 26. 1964,
Pub. L. 88-290. 78 Stat. 170; Aug. 14, I964. Pub. L. 88-426,
title III, ? 306(h), 78 Scat. 430; Oct. 6, 1964? Pub. L. 98-
631, ? 3(d), 78 Stat. 1003; Oct. 8, 1966. Pub. L. 89-632, ? 1
(e) (1), 80 Stat. 878.(
SEC. 4. The Secretary, of Defense (or his designee for the
purpose) Is authorized to-
"(1) establish in the National Security Agency (A)
professional engineering positions primarily concerned
with research and development and (B) professional
positions in the physical and natural sciences, medicine,
and cryptology; and
?'(2) fix the respective rates of pay of such positions
at rates equal to rates of basic pay contained in grades
16, 17, and 18 of the General Schedule set forth In. sec-
tion 5332 of title 5, United States Code.
Officers and employees appointed to positions established
under this section shall be in addition to the number of
officers and employees appointed to positions under sec-
tion 2 of this Act who may be paid at rates equal to rates
of basic pay contained In grades 16, 17, and 18 of the Gen-
eral Schedule." [As amended Pub. L, 87-367, title II. ? 204.
Oct. 4, 1961, 75 Stat. 791; Pub. L. 87-793, ? 1001(c), Oct. 11.
1962, 76 Stat. 864; Oct. 8, 1966, Pub. L. 89-632, ? 1(e). 80
Stat. 878; Pub. L. 91-187, ? 2, Dec. 30, 1969, 83 Stat. 850).
"SEC. 7. [Repealed.. Pub. L. 89-554. ? 8(a). Sept. 6.
1966, 80 Stat. 660. l "
"SEc. 8. The foregoing provisions of this Act shall take
effect on the first day of the first pay period which begins
later than the thirtieth day following the .date of en-
actment of this Act." .
ExEctrrxvE OanEa No. 10700
Ex. Ord. No. 10700, Feb. 25, 1957, 22 FR. 1111, as
amended by Ex. Ord. No. 10773, July 3, 1958. 23 F.P.. 5061:
Ex. Ord. No. 10782, Sept. 8, 1958, 23 F.R. 6971; Ex. Ord.
10838, Sept. 17. 1959, 24 F.R. 7519, which provided for the
Operations Coordinating Board, was revoked by Ex. Ord.
No. 10920, Feb. 20. 1961, 26 F.R. 1463.
Ex. ORD. No. 10483
Ex. Ord. No. 10483, Sept. 3. 1953. 18 F.R. 5379, as
amended by Ex Ord. No. 10598, Feb. 28. 1955, 20 F.P..
1237, which provided for an Operations Coordinating
Board, was superseded by Ex. Ord. No. 10700, Feb. 25, 1957.
? 403. Central Intelligence Agency. _
(a) Establishment; Director and Deputy Director;
appointment.
There is established under the National Se-
curity Council a Central Intelligence Agency with a
. Director of Central Intelligence who shall be the
 TTIZE 50.-~VAP AND NATIONAL DEF~'SE Page 12I8~
head thereof, and with a Deputy Director of Central
Intelligence who shall act for, and exercise the
powers of, the Director during his absence or dis-
ability. The Director and the Deputy Director shall
be' appointed by the President, by and with the
advice and consent of the Senate, from among the
Commissioned officers of the armed services, whether
in an active or retired status, or from among in-
dividuals in civilian life: Provided, however, That
at no time shall the two positions of the Director and
Deputy Director be occupied simultaneously by com-
missioned officers of the armed services, whether
in an active or retired status.
(b) Commissioned ofi'icer zs Director or Deputy Direc-
tor; powers and limitations, effect on commis-
? signed status.
(1) If a commissioned officer of the armed sen-ices
is appointed as Director, or Deputy Director, then-
(A) in the performance of his duties as Direc-
tor, or Deputy Director, he shall be subject to no
supervision, control, restriction, or prohibition
(military or otherwise) other than would be oper-
ative with respect to him tf he were a civilian in
no way connected with the Department of the
Army, the Department of the Navy, the Depart-
ment of the Air Force, or the armed services or
any component thereof; and
(B) he shall not possess or exercise any super-
- vision, control, powers, or functions (other than
such as he possesses, or is authorized or directed
to exercise, as Director, or Deputy Director) with
respect to the armed services or any component
thereof, the Department of the Army, the Depart-
ment oP the Navy, or the Department of the Air
Force, or any branch, bureau, unit, or division
thereof, or with respect to any of the personnel
(military or civilian) of any of the foregoing.
(2) Except as provided in paragraph (1) of this
subsection, the appointment to the office of Director,
or Deputy Director, of a commissioned officer of the
armed services, and his acceptance of and service in
such office, shall in no way affect any status, office,
rank, or grade he may occupy or hold in the armed
services, or any emolument, perquisite, right, priv-
ilege, or benefit incident to or arising out of arty
such status. office, rank, or grade. Any such com-
missioned officer shall, while servtng in the office
of Director, or Deputy Director, continue to hold rank
and grade not lower than that in R?hich serving at
the time of his appointment and to receive the mili-
tary pay and allowances (active or retired, as the
case may be, including personal money allowance)
payable to a commissioned officer of his grade and
length of service for which the appropriate depart-
ment shall be reimbursed from any funds available
to defray the expenses oY the Central Intelligence
Agency. He also shall be paid by the Central In-
telligence Agency from such funds an annual com-
pensation at a rate equal to the amount by which
the compensation established for such position ex-
ceeds the amount of his annual military pay and
allowances.
(3> The rank or grade of any such commissioned
officer shall, during the period in which such com-
missioned officer occupies the office of Director o2
Central Intelligence, or Deputy Director of Central
Irtelli~ence, be in addition to the numbers znd per-
centa~es ctherwise authorized and appropriated for
the armed service of which he is a member.
(c) Termination of employment of officers and em-
pIoyees; effect on right of subsequent employment.
Notwithstanding the provisions of section 652 of
Title 5, or the provisions of any other law, the Di-
rector of Central Intelligence may, in his discretion,
terminate the employment of any officer or employee
of the Agency whenever he shall deem such ter-
mination necessary or advisable in the interests o!
the United States, but such termination shall not
affect the right of such officer or employee to sees
or accept emplo3'rltent in any other department or
agency of the Government if declared eligible for
such employment by the United States Civil Service
Commission.
(d) Powers and duties.
For the purpose of coordinating the intelligence
activities of the several Government departments
and agencies in the interest of national security,
it shall be the duty of the Agency, under the direc-
tion of the National Security Council-
(1) to advise the Iv'ational Security Council in
matters concerning such intelligence activities of
the Government departments and agencies as re-
late to national security;
(2) to make recommendations to the National
Security Council for the coordination of such in-
telligence activities of the departments and
agencies of the Government as relate to the na-
tional security;
(3) to.correlate and evaluate intelligence relat-
ing to the national security, and provide for the
appropriate dissemination of such intelligence
within the Govern.^lent using where appropriate
existing agencies and facilities: Provided, That
the Agency shall have no police, subpena, law-
enforcement powers, or internal-security func-
tions: Provided further, That the departments and
other agencies of the Government shall continue
to collect, evaluate, correlate, and disseminate de-
partmental intelligence: And provided further,
That the Director of Central Intelligence shall be
responsible for protecting intelligence sources and
methods from unauthorized disclosure;
(4) to perform, for the benefit of the existing
intelligence agencies, such additional services of
common concern as the National Security Council
determines can be more efficiently accomplished
centrally;
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