AGENCY FUEL ALLOCATION

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP85-00988R000100090080-5
• Release Decision: RIPPUB
• Original Classification: K
• Document Page Count: 2
• Document Creation Date: December 16, 2016
• Document Release Date: August 8, 2005
• Sequence Number: 80
• Publication Date: May 5, 1980
• Content Type: MFR

STATINTL
STATINTL
Approved Felease 2005/08/15 : CIA-RDP85-009000100090080-5
MEMORANDUM FOR THE RECORD
SUBJECT:. Agency Fuel Allocation
is I I met with Department of
Energy representatives on 2 May, to discuss the Agency's
fuel allocation. Representing DOE were: James Kelley,
Deputy Assistant Administrator for Regulations and Emergency
Planning in the Department's Economic Regulatory Administration.
(ERA), Bill Caldwell of that office, Peter Schoenhurg, DOE
General Counsel's Office, and Phil Mandale, ERA, Fuel Supply
and Allocation.
2. riofed the group on the Agency's iustiAica-
tion for vie 10..-percent base period allocation as a subclaimant
of DOD, under Title 32A of the 00R, wherein the Departr.ant of
Conmerce recognized this entitlement. The DOE representatives
did not seem impressed with our claim that we should be treated
as an.associated DOD agency. In fact, ".fr. Kelley clearly sees
DOD and CIA as being specifically separate under the existing
allocation system. It was also pointed out to DOE that CIA
has an extraordinary authority to operate, notwithstanding any
other law or regulation. Notwithstanc in such authority, the
structure of DOE's allocation program prevents CIA from exercis-
ing this authority.
3. Mr. Kelley went on to note that in his view, the
Agency could take two approaches: First, for the Agency to
ask for an interpretation of the DOE regulations as it applies
to CIA, and to see if such an interpretation would accommodate
the Agency's requirements. Secondly, the Agency could petition
for a rule change which would require an extended rule-making
process, approximately 5-6 months.
4. Mr. Schoenburg ventured that the Agency should first
request interpretation which his office would consider.
Barring a positive outcome, the Agency would then pursue the
matter through the rule-;:making process. Mr. Schoonburs
further pointed out that his office is in the process of review-
ing the Defense Production Act (DPA) allocation priorities
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 Approved -FRelease 2005/08/15 : CIA-RDP85-0054R000100090080-5
SUBJECT: Agency Fuel Allocation
system as it applies to DOD. This is expected to take about
five months. He believes that CIA might be included under the
DPA revision. If this were to be the case, the Agency would
not have a fuel allocation problem. The revision to the DPA
will provide for qualifying agencies to obtain fuel under
non-emergency situations as well:
S. DOE's current allocation-setting authority expires in
September 1981; Scroenburg stated that our problem might
disappear then. However, there is nothing to suggest that
this authority will not be continued.
6. We agreed that this Agency should request reconsidera-
tion by DOE of its standing, making a case for the Agency to
be covered under the existing allocation rules in the same
manner as it applies to DOD. It was agreed that'i!r. Schoenburg
would contact John Golden regarding the substance of such a
request. Mr. Golden will prepare the response.
7. For the record, we pointed out to DOE that CIA's
standard operating mode is one of an Agency engaged in
essential defense readiness-oriented operations. This is
't?ho language which qualifies DOD to receive the 100-percent
base period allocation under 10 C.7R 211.103.
8. It was our consensus that this Agency should vigorously
pursue a request to DOE to be treated as nn associated acency
of the DOD in the same manner as the Department of Corn.Lzerce
treats it under 32A CFR. It appears that DOE may have authority
to grant such status without having to resort to the formal
rule-making process. Such a course of action should insure
against wide public awareness of this Agency's operational
needs.
9. If this course of action is unsuccessful, this Agency
will be required to either seek an alteration in DOE's alloca-
tion rules, with all the attendant publicity that goes with
such a process; or alternatively, to'
o accept a reduced alloca-
tion on the same basis as other civilian agencies.
STATINTL
/S/' S MAY ~9 3J
cc: Legal Adviser
C/PD/OL
2
Approved For Release 2005/08/15 : CIA-RDP85-00988R000100090080-5