JOHN

• Document Type: CREST
• Collection: NGA Records (Formerly NIMA)
• Document Number (FOIA) /ESDN (CREST): CIA-RDP78B04747A001000060022-7
• Release Decision: RIPPUB
• Original Classification: S
• Document Page Count: 8
• Document Creation Date: December 28, 2016
• Document Release Date: September 7, 2007
• Sequence Number: 22
• Publication Date: March 30, 1964
• Content Type: LETTER

r
Declass Review by NIMA / DoD
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13 April 1964
Re: Proposed contract for work starting July 1, 1964
Your wording of things is much better than mine. So, after several
attempts I decided your intent would be best described by extracting
statements from the present scope of work and incorporating them into
Task 1 and Task 2 for a continuation. The amount of time proposed is
slightly less than the amount of time I spent on that same type of work
this year for you.
I hope that redefining the work into specific tasks will resolve the
problem of the broad interpretation of Conflict of Interest. After
reading the DOD directive, I am even more firmly convinced that no ^T^TwT
not going to beat that dead horse any further.
Tasks 3 and 4 are on things we have had some general conversation
about. I hope these specific statements meet with your approval.
I have enclosed a complete copy of everything for your reference, and
a copy of the '.Cask Descriptions and Cost Analysis for you to pass
STATINTL on to in addition to a copy of the Task Descriptions
STATINTL for you to pass on to
I'll call you in a few days to keep you posted on how things are
going.
Best regards,
ph
Encs.
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13 April 1964
Two copies of it preliminary draft for reviews and comment are enclosed
for a task type contract for work to begin July 1, 1964. The second
copy is for you and John to maRt up and return. In addition, I have
included a rate summary and an analysis of the burden factors.
Please advise if you see any obstacles to a straiohforward negotiation
of a contract god also what type of contract it should be. STATINTL
but that is subject to confirmation.
In the burden analysis, I tried to describe cleearl;y the basis upon
which we have estimated our costs. We have earnestly attempted to
make the estimates realistic. In order to live within these estimates,
we will have to keep a pretty tight reist on overhead expenditures,
which it is our intention to do. The estimate that 707. of the
available hours will be billable may be optimistic by 5% ott10!%;
however, we are looking forward to the future with confidence.
I011 call you In a few days and we can discuss theq matter further.
and I have tentatively selected the name "Engineering Associates"
Best regards,
ph
Rues.
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13 April 1964
STATINTL Inclosed for your reference is a y ?j}_?t be scope of work of my
present contract expires June 30, 1964.
I reviewed carefully the Department ofADefense Directive Number
5500.10 of June 1, 1963, "Rules for Avoidance of Organisational
Conflicts of Interest," and have made a preliminary draft of a atat
ment of work for further contractual effort to start July 1, 1964.
In preparing the preliminary draft, which also is "Closed, I have
attempted to abide by the basic conflict of interet principles:
"(1) preventing conflicting roles which might bias a contractor's
judgment, and
"(2) preventing unfair competitive advantage"
such that they will be specific only to the organi.tations and subjects
listed in phases land 2. If there are some further statements which
can be made to Insure, delimiting in the future to specific cases
instead of the broad all inclusive interpretation of the conflict of
interest as presently applied to my current contract, I would appreciate
your suggestions. In particular, I wish to be able to undertake work
in association with and/or for:
1. Proposal and contractual work for the Office of Naval Research
on Pilot Disorientation in Low Level Flight.
2. Proposal and contractual work for your organization for imple-
mentation of the Pr: A ~- Committee findings.
1. Proposal and contractual work for the Arms Control and Development
Agency on a Sensor Survey and other applications of photographic
reconnaissance to the disarmament inspection problem.
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13 April 1964
2. Proposal and contractual work for your organization for con?
ducting studies of the tuft* gnhance ant Problem.
I would appreciate your advice atr - thsr the work stet -t of Task 1 and
Task 2 will indeed permit me to under the work noted above.
Very truly yours,
ph
Inca.
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13 April 1964
Re: Legal basis for a new contract starting July 1, 1964
In our previous conversation, I indicated that STATINTL
was setting up a consulting engineering office in $* to Monicca$
California, and we were proposing that he and I join forces. At this
outset, at least, we would prefer this to be an association of indspeendent
professional engineers. As such, I can see two acceptable ways of con-
sumating a contract, L , ee . ,
1. I (doing business as:
2.
doing business as:
Either way appears to be equally satisfactory to us except for Security
clearance status which inclines me to prefer the first way. A Request
STATINTL for Clearance for Soma submitted the enjd of March, 1964,
STATINTL and is in process. Xv= though holds a DOD SECRET clearance,
it sometimes takes three or four maths for clesree ices tat corms thro b.
Since the contract performance c An be initiated without
participation, I would not want it to be delayed pending receipt of his
clearance.
Would contracting on one of the bases I described above be a straight-
forward situation on your part? .I would greatly appreciate your comments.
Very leruly yours,
Ph
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Document Denied
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