SIG MEETING SUMMARY OF CONCLUSIONS

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP87M00539R000400530002-5
• Release Decision: RIPPUB
• Original Classification: S
• Document Page Count: 23
• Document Creation Date: December 22, 2016
• Document Release Date: December 7, 2010
• Sequence Number: 2
• Publication Date: November 13, 1985
• Content Type: MEMO

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TO:
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Ex utive Secretary
1 NOV 85
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tSSii:u4
United States Department of State
Washington, D.C. 20520
November 13, 1985
r TNC *CCTFIED
(With SECRET A aehmrent+-
Senior Interagency Group No. 54
TO OVP
NSC
CIA
Defense
JCS
- Mr. Donald Gregg
- Mr. William Martin
- COL David Brown
- MAJ Michael Emerson
SUBJECT: SIG Meeting Summary of Conclusions
Attached is the Summary of Conclusions for the SIG Meeting
on Humanitarian Assistance for Nicaraguan Resistance Forces
held on November 5, 1985.
Nicholas Platt
Executive Secretary
1. Summary of Conclusions
2. List of Participants
(With SECRET a ae
FExocutive Registry
85-
3481/4
A-aa%
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Senior Interagency Group No. 54
PARTICIPANTS:
DATE AND TIME:
PLACE:
SUBJECT:
See List Attached
November 5, 1985, 4:30 p.m.
Deputy Secretary's Conference Room
SIG Meeting on Humanitarian Assistance for
Nicaraguan Resistance Forces, November 5,
1985
The Undersecretary opened the meeting by noting that NHAO
appears to have made real progress in getting the humanitarian
assistance program underway. He then asked Deputy Assistant
Secretary Michel for a report on activities related to the NHAO
program in the Inter-Agency Group chaired by Assistant
Secretary Abrams. Mr. Michel noted that the Inter-Agency Group
had met several times since the first SIG meeting, and had
satisfactorily resolved policy issues on NHAO presented at that
level. Policy guidance has been provided with sufficient
detail and rapidity to assist NHAO in developing its
operational structure and to reassure the democratic resistance
that humanitarian aid was being disbursed as quickly as
possible. The Undersecretary asked Mr. Michel if there were
any issues in the Inter-Agency Group which should be addressed
in the SIG. Mr. Michel indicated that there were none.
The Undersecretary noted that all participants had
received copies of the draft report to Congress on NHAO
disbursements to date, and asked Ambassador Duemling to brief
the group on its contents. Ambassador Duemling noted that $5.5
million had been obligated to date, and that disbursement
activity has accelerated considerably as the program has
progressed. There was some discussion of the advisability of
flagging in the report the needs of the resistance forces for
other types of assistance than those presently provided by
NHAO. It was agreed that the report should be submitted to the
Congress as written. The Undersecretary stated that we should
be prepared to brief appropriate members of Congress in further
detail on NHAO activities. He also requested that the policy
issue of whether NHAO should provide other categories of
assistance and the need for Congressional consultations on this
issue be examined in the Inter-Agency Group.
SECRET
DECL:OADR
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- 2 -
The Undersecretary asked Ambassador Duemling if he
anticipated any problems in disbursing the full $27 million in
humanitarian assistance by the March 31 deadline. Ambassador
Duemling noted that in some respects the program was
"front-loaded" in that NHAO disbursement has been responsive to
accummulated resistance needs. It was difficult to anticipate,
but he has pressed for estimates of projected requirements.
Mr. Michel noted that full NHAO funding could be obligated, if
not completely expended, before March 31.
SECRET
DEC L :OADR
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SIG MEETING
HUMANITARIAN ASSISTANCE FOR NICARAGUAN RESISTANCE FORCES
November 5, 1985, 4:30 p.m.
Deputy Secretary's Conference Room
PARTICIPANTS
Under Secretary Armacost
James Michel
Robert Duemling
William Walker
Ron Godard, Notetaker
Observers:
JCS LTG John H. Moellering
Col Stephen Crocker
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EXECUTIVE SECRETARIAT
ROUTING SLIP
ACTION
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DATE
INITIAL
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D/ICS
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DDI
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this, CIA and DoD are observers vice
E utkv Swetwy
Nov 85
3637 (10.41)
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United States Department of State
Washington, D.C. 20520
November 1, 1985
Senior Interagency Group No. 54
DOD - COL David Brown
JCS - MAJ Michael Emerson
CIA -
OVP - Mr. Donald Gregg
NSC - Mr. William Martin
SUBJECT: Senior Interagency Group on Humanitarian
Assistance for Nicaraguan Resistance Forces
Under Secretary Armacost will chair a meeting of the SIG on
Humanitarian Assistance for Nicaraguan Resistance Forces on
Tuesday, November 5, 4:30 p.m. in Room 7219 of the Department of
State. An agenda for the meeting is attached, along with a copy
of the proposed report to Congress on NHAO's operations. The SIG
will be asked to review and endorse the report.
Please telephone names of your representatives to Sheila
Lopez, 632-5804 by cob November 4.
1. Agenda
2. Proposed Report to Congress
SECRET
DECL: OADR
Executive Registry
-ft
3481/3
3
.9- a.23a
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Senior Inter-Agency Group Meeting
November 5, 1985
NICARAGUAN HUMANITARIAN ASSISTANCE
AGENDA
I. Review of developments
II. Report on RIG Activities (Abrams)
III. Report on NHAO Activities (Duemling)
IV. Discussion of Congressional Report
SECRET
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NICARAGUAN HUMANITARIAN ASSISTANCE OFFICE
On August 29, 1985, President Reagan signed Executive Order
12530 creating the Nicaraguan Humanitarian Assistance Office
(NHAO) for the purpose of disbursing $27 million in
humanitarian aid to the Nicaraguan democratic resistance. On
September 9, the President designated Ambassador Robert W.
Duemling as Director of NHAO.
The NHAO staff consists of the Director, five supervisory
and two clerical personnel, all detailed on a non-reimbursable
basis from federal agencies (State, AID and USIA), with the
exception of the Director, whose salary is reimbursed to State
from the humanitarian assistance program funds. Office space
in a government-leased building is charged to program funds,
but furnishings and equipment have been borrowed at no charge.
Administrative support, including legal advice from the Office
of the Legal Adviser, is provided by the,. Department of State.
The Executive Order assigned responsibility for policy
guidance to the Secretary of State and his designees. The
Secretary has established a Senior Inter-Agency Group, chaired
by the Under Secretary for Political Affairs, to establish
basic policy and exercise oversight of NHAO activities; policy
guidance for day-to-day NHAO operations is provided by the
Assistant Secretary of State for Inter-American Affairs, who
chairs an inter-agency group that assures effective
coordination.
As a matter of policy, the United Nicaraguan Opposition
(UNO) was designated to be the initial recipient for
humanitarian assistance distributed by NHAO. UNO is an
umbrella organization which brings together the largest number
of anti-Sandinista political and paramilitary elements. It is
led by Adolfo Calero, Arturo Cruz and Alfonso Robelo; its
principal components include the Nicaraguan Democratic Force
(UNO/FDN), the Armed Forces for Revolution in Nicaragua
(UNO/FARN), and a coalition of Atlantic Coast Indians and
Creoles (UNO/KISAN). Using UNO as a conduit for assistance
serves the policy objective of encouraging cohesion within the
democratic resistance; it also simplifies administrative
procedures and restrains administrative costs.
METHOD FOR FUNDING
NKAO is disbursing funds for four basic categories of goods
and services: food, clothing, medicine and medical care, and
equipment. NHAO also provides funds for transporting supplies
to Central America.
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Funds for these goods and services are being provided to
UNO through a series of grants, each of which obligates a fixed
amount of humanitarian assistance funds for the use of UNO,
subject to certain terms and conditions. While the grant gives
UNO a conditional legal entitlement to the funds, NHAO retains
actual possession of the funds and administers their
disbursement. To date, three major grants totaling $5.5
million and a smaller grant of $25,000 have been issued. Once
a grant has been issued, UNO identifies the goods or services
it needs and a suitable vendor, and negotiates the terms of a
proposed sale to UNO. These terms are set forth on a ro forma
invoice which UNO submits to NHAO. The pro forma invoice is
reviewed by NHAO to ensure that the goods or services are
humanitarian assistance within the meaning of the law, and that
the payment requested is appropriate for value received. NHAO
also monitors the quantity of items, to assure against an
oversupply so substantial as to suggest a possible risk of
Oiversion. If the proposed purchase is approved, NHAO
authorizes UNO to make the purchase. NHAO signals its approval
to the vendor through issuance of a letter of commitment.
After shipment or delivery has been verified, NHAO pays the
vendor directly from UNO grant funds.
Monitoring and verification of procurement and delivery
take several forms, depending on location. Within the United
States, NHAO representatives are able to make on-site
inspections of supplies as they are aggregated for shipment to
the field. To monitor supplies and services contracted and
delivered abroad, NHAO relies on reports from all available
sources to confirm that actual transactions conform to the
relevant documentation.
DELIVERY INCIDENT
On October 10, an UNO charter flight paid for by NHAO and
carrying supplies pruchased under NHAO auspices landed
apr= ently without permission in Tegucigalpa, causing the
Honduran Government to take custody of the cargo. Discussions
between the American Embassy and the Honduran Government
resulted in the cargo being released and returned to the United
States.
SUMMARY OF PAYMENTS
Attached in tabular form is a summary of NHAO disbursements
and commitments to pay, through October 31, 1985.
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1. NHAO Grants to UNO (to be disbursed through letters of
commitment)
Grant 601
- $1,000,000 (Issued October 3,
1986)
Grant 602
- $1,500,000 (Issued October 15,
1986)
Grant 603
- $3,000,000 (Issued October 29,
1986)
Total
- $5,500,000
In addition to the above three grants for food, clothing
and medical supplies, NHAO issued a small fourth grant signed
October 17, 1986 for $25,000 (Grant 641-001) to fund an UNO
office in Washington, D.C. The grant stipulates that the
activities of that office must be strictly limited to the
provision of liaison services between UNO and NHAO to
facilitate the operation of the program. This liaison office
grant differs from the other three in that it permits UNO to
receive a small advance payment of cash to cover administrative
expenditures, which expenditures must be documented and
justified before further cash advances are made.
2. UNO EXPENDITURES FROM GRANTS THROUGH 10/31/85
Total Humanitarian Assistance ....................$4,660,928
Food
$1,257,189
Clothing
2,070,807
Medical
553,421
Equipment
639,561
Transport
139,950
Total UNO Liaison Office Expenses ....................$7,500
NHAO EXPENDITURES THROUGH 10/31/85
Total Administrative Expenses .......................$23,640
Direct Personnel Costs
$13,374
Travel
4,800
Office Rent
3,666
Telephone toll calls
1,200
Miscellaneous
$600
GRAND TOTAL............. ........$4,692,068
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CONFIDENTIAL
- 4 -
ITEMIZED PROGRAM COMMITMENTS THROUGH 10/31/85
Grant-Letter
of Commitment No. Item, Quantity
1. Food and consumables
602-001
602-008
603-007
603-008
various foodstuffs
various foodstuffs
various foodstuffs
various foodstuffs
Category Subtotal:
$196,875
$214,982
$827,872
$17,460
$1,257,189
II. Clothing
601-004
601-005,
602-003
602-005
602-006
602-010
602-011
603-001
waterproof material
(21,000 yds)
caps (10,000)
socks (2,000 doz. pr.)
boots (16,000 pr.)
shirts and trousers (3463)
boots (1,000 pr.)
boots (1,fl80 pr.)
boots (500 Pr-)
shirts and trousers (15,000)
sewing labor costs for
manufacture of 6,351
shirts and trousers
suspenders (6,000)
belts (10,000)
boots (10,000)
ponchos (20,000)
boots (15,000)
CONFIDENTIAL
$32,970
$12,500
$17,000
$496,000
$55,408
$19,150
$22,200
$9,575
$243,750
$41,282
$19,500
$27,500
$305,000
$178,400
$457,500
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CONFIDENTIAL
603-002
belts (6,120)
trousers (5,300)
suspenders (1,077)
$18,972
$5,300
$700
603-010
boots (6,800)
Category Subtotal:
$108,100
$2,070,807
III. Medicine and Medical Care
601-007
medical expenses for
wounded Nicaraguan
$4,350
603-009
Category Subtotal:
pharmaceuticals
stretchers (10)
basket stretchers (5)
pharmaceuticals
pharmaceuticals and
medical equipment
$38,540
$220
$300
$10,011
$500,000
$553,421
IV. Equipment
backpacks (4,000)
large tents (7)
$45,400
$8,050
601-002
601-009
602-009
602-011
poncho liners (20,000)
mountain rescue equipment
canteen covers (10,000)
mess trays (100)
watches (1,000)
cargo straps (100)
flashlights (5,000)
pouches (4,000)
flashlights (8,064)
bags (4,000)
canteen covers (6,000)
canteens (10,000)
fabric storage tanks (13)
CONFIDENTIAL
$230,000
$970
$17,500
$525
$13,750
$600
$14,905
$13,400
$24,192
$ 8,400
$16,200
$5,800
$9,750
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CONFIDENTIAL
602-013 farm tools $22,261
603-003 canteens (6,120) $3,978
603-004 web belts (500 dz) $6,000
603-005 spray paint (2,432 cans) $6,880
603-006 hammocks (20,000) - $191,000
Category Subtotal,' $639,561
V. Transportation
601-006
air charter service
(two round trips
from the US to
Central America)
$35,850
602-002
air charter service
(two round trips
from the US to
Central America)
$35,850
603-007 ground transportation $68,250
Category Subtotal: $139,950
GRAND TOTAL: $4,660,928
--Several letters of commitment included receipts for goods or
services in more than one category. Letter of commitment
numbers for such cases will appear under more than one category
heading.
--601-008 was drawn up but not issued; thus it was not included
above. The receipt in question will be paid through a later
letter of commitment
--602-012 was not completed in time for submission with this
report.
CONFIDENTIAL
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.... -~ - v a a ? a. ~axli 1 / 1 1t1 1
ACTION
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Compt
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VC/NIC
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1 nhtea otates ucpartment of state
Washington. D.C. 20520
September 21, 1985
UNCLASSIFIED
With SECRET Attachment)
Senior Interagency Group No. 54
TO OVP
- Mr. Donald Gregg
- Mr. William Martin
SC
CIA
Defense - COL David Brown
JCS - MAJ Michael Emerson
SUBJECT: SIG Meeting Summary of Conclusions
Attached is the Summary of Conclusions for the SIG Meeting
on Humanitarian Assistance for Nicaraguan Resistance Forces
held on September 13, 1985.
Nicholas Platt
Executive Secretary
1. Summary of Conclusions
2. List of Participants
UNCLASSIFIED
(With SECRET Attachment)
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/-: unitea Jtates vepartlnent of Jtdte
Washington. U.C. 20520
September 20, 1985
SECRET
Senior Interagency Group No. 54
PARTICIPANTS: See List Attached
DATE AND TIME: September 13, 1985, 3:15 p.m.
PLACE: Secretary's Conference Room
SUBJECT: SIG Meeting on Humanitarian Assistance for Nicaraguan
Resistance Forces, September 13, 1985
Secretary Shultz opened the meeting by stressing the
importance of getting the funds to those for whom they were
intended quickly and enthusiastically, but with care to remain
true to the Congressional purpose in voting the funds. It is
important to administer the program so as: (1) to aid our friends
in Nicaragua; and (2) to contribute to developing support for the
President's program.
The Secretary wanted SIG participants to have an opportunity
to express their views as the program got under way. Assistant
Secretary Abrams and his Interagency Group will watch over the
program, provide policy guidance, and ensure that the activities
of the new organization are fully coordinated with the situation
in Nicaragua.
The Secretary introduced Ambassador Duemling, the newly
designated Director of the Nicaraguan Humanitarian Assistance
Office (NHAO). Ambassador Duemling's role will be to create a
system to administer the assistance program. A priority task will
be to establish proper auditing and monitoring measures.
Assistant Secretary Abrams and the IG will need to identify
appropriate recipients.
Ambassador Duemling reported on his progress to date. He
noted that his first Congressional appearance will be before Lee
Hamilton's Committee on September 19. On September 18, he will be
joining Assistant Secretary Abrams in a meeting with the
SECRET
DECL: OADR
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SECRET
leadership of the Unified Nicaraguan Opposition (UNO). UNO must
understand the guidelines under which the program will operate to
ensure that UNO requests are appropriate.
Ambassador Deumling identified three interrelated issues to be
addressed:
(1) How to ensure that what is provided stays within the
limits of the law and the policy guidance provided by the Abrams
Interagency Group;
(2) How to establish adequate accountability without
inhibiting unnecessarily the flow of assistance;
(3) How to assemble a qualified staff to administer the
program.
All agencies noted that administration of the program would be
difficult and pledged their full support to ensure the NHAO's
success.
Secretary Shultz closed the meeting by noting that his purpose
in attending the first meeting of the SIG was to underscore the
importance of this initiative. Under Secretary Armacost will
chair subsequent meetings. The Secretary was confident that
Ambassador Duemling could count on the support of all agencies in
carrying out his responsibilities.
SECRET
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SIG MEETING
HUMANITARIAN ASSISTANCE FOR NICARAGUAN RESISTANCE FORCES
September 13, 1985, 3:15 p.m.
Secretary's Conference Room
State Secretary Shultz, Chairman
Under Secretary Armacost
Assistant Secretary Abrams
Robert Deumling
William Walker
James Michel
Richard Milton, Notetaker
NSC ADM John M. Poindexter
LTC Oliver North
Fred Ikle
Richard Armitage
ADM Arthur Moreau
COL Stephen Crocker
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EXECUTIVE SECRETARIAT
ROUTING SLIP
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q Sep 85
i
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8526882
United States Department of State
Washington, D.C. 20520
September 12, 1985
SECRET
Senior Interagency Group No. 54
TO:
Defense - COL David Brown
JCS - MAJ Michael Emerson
CIA H
OVP - Mr. Donald Gregg
NSC - Mr. William Martin
SUBJECT: Senior Interagency Group on Humanitarian
Assistance for Nicaraguan Resistance Forces
The Secretary of State would like to convene a meeting of
representatives from your agencies to participate in a new
Senior Interagency Group to exercise oversight over the
activities of the Nicaraguan Humanitarian Assistance Office
(NHAO). The Secretary will chair the first meeting of this
SIG. Under Secretary Armacost will chair subsequent meetings
and members of the SIG designated by your agencies should be at
a comparable level. The group will meet at the Department of
State in the Secretary's Conference Room on September 13 at
3:15 p.m. Attached is the agenda. Please telephone names of
your representatives to Sheila Lopez (632-5804).
61Nicholas Plot
Executive Secretary
Attachment:
As Stated.
E;~_/
6LUKE11,
DECL: OADR
REG
6-PP36
A w
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Senior Interagency Group on Humanitarian
Assistance for Nicaraguan Resistance Forces
September 13, 1985
AGENDA
I. Purpose of the SIG
II. Introduce Director of Nicaraguan Humanitarian Assistance
Office (NHAO)
III. Summary report on steps taken to begin operations
IV. Identification of policy issues for Interagency review.
Declassified in Part - Sanitized Copy Approved for Release 2012/04/30: CIA-RDP87M00539R000400530002-5