CIA BUDGET PRESENTATION BEFORE THE BUDGET AUTHORIZATION SUBCOMMITTEE OF THE SENATE SELECT COMMITTEE ON INTELLIGENCE

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP81M00980R000700020044-5
• Release Decision: RIPPUB
• Original Classification: T
• Document Page Count: 6
• Document Creation Date: December 15, 2016
• Document Release Date: May 13, 2004
• Sequence Number: 44
• Publication Date: March 2, 1978
• Content Type: MFR

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SUBJECT: CIA Budget Presentation before the Budget Authorization
Subcommttee of the Senate Select Committee on Intelligence
1. II On Thursday, 2 March 1978, the CIA budget request for
FY 1979 was presented to the Budget Authorization Subcommittee of the
Senate Select Committee on Intelligence (SSCI). The hearing was at the
Top.Secret-Compartmented level. Security was provided by the SSCI and
a transcript was taken.
2. Present through all or part of the hearing were Senators
William athaway(D., Maine), Chairman of the Subcommittee, and
Edwin J. (Jake) Garn (R., Utah), of the full Committee.
3.. 0 Staff members present included Bill Miller, Staff Director,
Dan Childs, Hal Ford, Ed Levine, John Elliff, Ben Marshall, Mike
Epstein, Angelo Codevilla and Ted Ralston. Also attending was John
Clarke, consultant to the SSCI staff.
4. (U) The principal witness was:
Frank C. Carlucci Deputy Director of Central
Intelligence
He was accompanied by:
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John F. Blake
Leslie Dirks
Sayre Stevens
John McMahon
James Taylor
Approved For Relera
Deputy Director for Administration
Deputy Director for Science and
Technology
Deputy Director, National Foreign
Assessment Center
Deputy Director for Operations
Comptroller
Assistant Comptroller, Resources
Chief, Analysis Group, Office of
the Comptroller
Program and Budget Development
Division, IC Staff
Deputy Chief, Human Resources
. Division, IC Staff
Office of Legislative Counsel
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The following items of interest were noted:
a. The DDCI introduced Sayre Stevens, who explained Project
SAFE. The Chairman asked about the total cost and was told about 100
million dollars over the next five years (through FY 1984). 1980 was
identified as the first year of big spending. The DDCI explained
how this Project would provide commonality between CIA and Defense
intelligence information systems through joint planning and common
design. The Chairman asked how much commonality and was told a high
percentage in hardware and about 60 percent in software. The Chairman
asked if this Project could have applicability elsewhere, perhaps in NSA,
and was told yes, but it needed to be tested first. The Chairman
asked what specific improvements in quality of analysis would result and
Dr. Stevens and the DDCI said it would enable broader coverage in
greater depth because analysts would be freed of filing and searching tasks.
The Chairman asked if the system required more analyst training and the
DDCI said no. The Chairman asked if the new project would save on
existing computers. Dr. Stevens said yes, but the figure is hard to
estimate. Jim Taylor said this was really a major investment intended
to permit the use of all collected intelligence. The Chairman asked if
he could visit the Project and was told yes. The Chairman asked
what are the advantages of the interim system and was told it serves
130 analysts by routing mail and doing file searches. The DDCI said it
keys off of phrases which permits coverage of a broader range of
requirements.
b. Dr. Stevens addressed the subject of analyzing to find nuclear
proliferation. The Chairman asked if much overt collection was going
on and Dr. Stevens said yes. The Chairman then asked if there were
agreements with Defense and the Departmennt of Energy to avoid duplication
and was told that this is coordinated by DCI instructions. The DDCI then
said that the purpose of establishing the National Intelligence Tasking
Center is to determine who will do what and to try to avoid duplication.
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i. The Chairman asked what will be the impact of The National
Intelligence Tasking Center (NITC). The DDCI explained that the NITC
was to facilitate the relationship between analysts and collectors, tying
together user requirements with analyst needs and prioritizing collection
operations. He also said NITC will have an evaluation role.
j. The Chairman asked the DDCI what goals had been set for
CIA. The DDCI said he hoped to work with Congress on charter legislation,
improve intra-agency commmunications, improve the planning process,
help CIA find its place in the Community, and help CIA make its products
more responsive to consumer needs.
k. The Chairman asked about Agency morale in light of the
personnel reductions. The DDCI said he was determined to resolve any
remaining problems stemming from the reductions.
1. The Chairman asked how budget decisions were made. The
DDCI explained that the Agency budget was set by certain parameters.
Then these were adjusted by DCI guidelines, such as the reduction to the
Operations Directorate and the increase in production
e airman
asked what would be done with more funds. The DDCI said we would do
more R&D, more HUMINT, move ahead on SAFE and
but he emphasized that this budget was adequate.
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m. The Chairman asked for an explanation for the cutback in
counterintelligence and the DDCI and Mr. McMahon explained that this
represented a cut in the Headquarters staff but not a cut in the emphasis
on counterintelligence. Mr. McMahon said that it is his intention to
strengthen counterintelligence through all officers overseas.
n. The Chairman asked for explanations of increases in external
analysis. The DDCI explained that external analysis aids the in-house
analyst. The Chairman asked if it could be done in-house and the DDCI
said yes but it would take more people and was not a good idea on one
shot problems. The Chairman asked if there were any security problems
connected with external analysis and Dr. Stevens said no. The Chairman
asked for a good example of external analysis and Dr. Stevens cited the 25X1
Office of Legislative Counsel
Distribution:
Copy 1 - OLC Subject
Copy 2 - DDCI
Copy 3 - ER
Copy 4 - DDA
Copy 5 - DDS&T
Copy 6 - DD/NFAC
Copy 7 - DDO
Copy 8 - Comptroller
Copy 9 - IC Staff
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