DIARY NOTES

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP76-00183R000500010045-1
• Release Decision: RIPPUB
• Original Classification: S
• Document Page Count: 3
• Document Creation Date: November 17, 2016
• Document Release Date: August 4, 2000
• Sequence Number: 45
• Publication Date: February 28, 1964
• Content Type: NOTES

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DIARY NOTES
DD/S 28 February 1964
1. At the Executive Committee Meeting this morning Dick Helms re-
ferred to an article in the New York Journal American which alleged that
CIA had been penetrated, etc. This brought forth a discussion of how we
should respond to any such questions. The Director said that we should
simply say that we know we are a target, we know of no penetrations, and
we are working very hard both offensively and defensively in the security
field to ensure that there are none.
2. Regarding the sousing project: 25X1A6a
a. I talked to john Clarke, who later talked to Mr. Kirkpatrick,
about the high bids we have received and said that the $600, 000 approved
f
thi
or
s construction might not be sufficient. John said that he had
anticipated this situation and had reserved up to $150, 000 to cover this
contingency. Both he and Kirk felt that we should go ahead with the con-
struction, getting it as cheaply as possible, of course.
b. Later in the day Jim Garri
l
h
son te
ep
oned fro 25X1A6a
25X1A6a to say that with my approval he was prepared to sign a contract I
f
or twenty duplex houses (12 four-bedroom and 8 three-bedroom) with
the low bidder for $450, 000. I authorized him to do so. It is now
anticipated that bids will be opened for the two BOQ's about mid-March.
3. Emmett Echols and I called on Warren Irons, Executive Director of
the Civil Service Commission, to discuss our summer employment program.
We explained to Warren that for security reasons we must either employ de-
pendents of regular CIA employees or have no program at all. He said that
he was completely sympathetic to our problem, understood it, and was certain
that the Commission would offer no objection whatever should we proceed with
our program. In fact, he said that he thought it would be a waste of the tax-
payers' money to spend the time and money required to clear employees for
such short-term employment. He recognized, of course, that we might well
subject ourselves to Congressional criticism and publicity in the newspapers.
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He was quite candid in giving us the background leading up to the recent
Bulletin banning nepotism, at least for this summer. The gist of it is as
follows: Ever since the beginning of the Kennedy administration, the White
House (O'Donnell and Davies) has practically taken over the Government
summer employment program and, in the Commission's view at least, has
been using it for political purposes. Now a Republican Congressman has
introduced a bill which would proportion summer jobs among Congressional
districts. There have been other flaps, among them one growing out of an
order by an airbase commander that only the sons or daughters of uniformed
personnel would be given summer employment there. The recent Civil Serv-
ice Commission Bulletin was published at their own initiative and without any
consultation with the White House in a deliberate attempt to recapture control
of a program which they consider rightfully theirs. (On Saturday, 29 Feb-
ruary, I briefed General Carter and Mr. Kirkpatrick on this session with
Warren Irons. After a thorough discussion General Carter decided that it was
not in the Agency's best interest to have a summer employment program this
summer. This was not an easy decision for him to make, and I believe that
the item which tipped the scales was his fear that Congressional criticism
might jeopardize our early retirement legislation.)
4. Bob Fuchs was in to see me about withholding tax in compliance with
the new income tax law, which requires that payroll deductions be reduced to
14 percent effective eight days after the President signed the bill (26 February).
We will have no difficulty in meeting this deadline for personnel on the vouchered
payroll. However, we cannot meet the deadline on the confidential funds pay-
roll; and I approved of the new deductions being reflected in the confidential
funds pay checks to be issued on 24 April although legally, I guess, we will not
be complying exactly with the law.
5. was up to see me with a letter from Dwight Porter, As-
sistant Secretary of State for Administration, and a proposed cable to
The gist of Porter's letter is that he assumes that equipment purchased wit t e
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show just what we did with the how much equipment is actually
available, and what we propose to do with it. We must have this study before
we can intelligently answer Dwight Porter's letter. In short, this poses a
very neat problem for us. The Department of State's request is a perfectly
valid one which we cannot turn down offhand.
6. At the Executive Committee Meeting this morning General Carter
advised us that in the course of the morning we would each receive a directive
to assemble certain OXCART-cleared personnel and to brief them on the ne-
cessity for continued security restrictions after OXCART is surfaced by the
President on Saturday, 29 February. (The directive was received, and the
briefing was conducted in the course of the day.)
LKW :jrf
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