PROCUREMENT POLICY
Document Type:
Collection:
Document Number (FOIA) /ESDN (CREST):
CIA-RDP78-04782A000100090019-2
Release Decision:
RIPPUB
Original Classification:
S
Document Page Count:
3
Document Creation Date:
December 9, 2016
Document Release Date:
September 12, 2000
Sequence Number:
19
Case Number:
Publication Date:
March 4, 1964
Content Type:
MF
File:
Attachment | Size |
---|---|
CIA-RDP78-04782A000100090019-2.pdf | 167.7 KB |
Body:
..Alipr'dved AFor Release 20G1/0 , DP78-04782A000100090019-2
DD/&T 063 5- 64
UVOBAJ DUM FOR: Deputy Director (Support)
SUBJBCT: Procurement Policy
R=F CI: W/O 64-1154, dated 27 February
1964, Sass Subject
25X1A
1. This Directorate gave serious study to the impli-
cations of - "Procurement Policy," when it originally
was called to our attention in December 1963. While we were
not enthralled with the increased administrative complexi-
ties which were inherent in the proposed changes in procure-
ment policy, we nevertheless approached the matter objec-
tively from an Agency point of view. This included conver-
sations by my representatives with you and a presentation to
appropriate technical officers in this Directorate by the
Chief, Procurement Division. We subsequently forwarded to
you on 29 January 1964 a memorandum (ED/Slime 0310-64) which
in essence gave a qualified concurrence to the proposed
change in procurement policy.
2. I will stand behind the position taken by this
Directorate in the seaoraadum of 29 January 1964 but I musts
in good conscience inform you that I as becoming increas-
ingly concerned with the capability that currently exists to
undertake official Agency contracting action on behalf of
the operating components. Accordingly, I have reservations
on any additional procedures which, by their very nature, may
tend to decelerate the entire procurement machinery. By
virtue of previous experience in private industry I as
aware that it takes more time and effort to negotiate con-
tracts on a competitive bidding basis and most particularly
to arrive at fair and equitable provisions concerning
incentives to be included in procurement contracts.
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. 3. My concern over the adoption of more intricate and
time-consuming administrative procedures is not based on
speculative apprehension but on actual facts. For example,
I as informed we have outstanding approximately forty con-
tract procurement actions with a dollar volume in excess of
$2 million, which to the best of our knowled
e h
t
g
ave no
as
25X1A t been completely executed. Secondly, in compliance with
"Fiscal Year 1964 Fourth Quarter Procurement " we
are informing the Director of Logistics that it is our'Intent
to present his between now and the end of the fourth quarter
a minimum of eighty-five additional contract actions with a
dollar volume of approximately $9 million. Thirdly, I
believe you will agree it is essential for sound management
that we be kept periodically aware of the negotiation status
of our contract actions being handled by the Procurement
Division. `his is obviously necessary so that we may monitor
our workloads, make reasonable estimates as to progress in
our research program, insure that proper progress is made
on projects which are complementary in nature and allow us to
closely watch the comsitsent of our funds. However, I an
informed th4t the Director of Logistics and the Chief of the
Procurement Division have informed us that they simply cannot
comply with this request because of insufficient available
aanpowe, I cannot accept that position and I as having my
Hzecutive Officer take this matter up both with you and the
Director of gistics.
4. While the above recitation of concerns is sufficient
enough to indicate the undertaking of a very cautious
approach to more intricate contracting procedures, my
apprehensiogg are even greater when we realize that in
FT 1185 this Directorate anticipates placing an additional
contract load on the Office of Logistics. Current funding
program for the Office of Research and Development, the
Office of HLIHT, and the Office of Special Activities will
be translated into a greater contract negotiation volume in
FT 1965.
8. I as the first to admit the necessity for sound
management practices and the exercise of wise stewardship of
public monies on the part of a government agency. However,
1,:4m even sore aware of the necessity for this Agency to
dicharge in an efficient and expedited fashion the
statutory responsibilities assigned to it by the Congress of
the United States ai4 the directions given to it by the
Rzecutive Branch of the Ooveromant. I have always considered
c
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,else t that had Sreatly contributed to the success of
Wki CIA bas been its quick reaction capability in the
*CComplishment of complex undertakings on behalf of the
t t se Undertakings has necessitated the services of your
-ntract pracuroboit capability. I an willing to do any-
thing asonable within my power and to render any assistance
to you 10. that you may help us but I mist make you aware of
the fao`#s of the matter and my concerns.
D. wmMLoON
Deputy Director
(Science and Technology)
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