RECOMMENDATIONS FOR ESTABLISHMENT OF NEW PERSONNEL FINANCE PROCEDURES.

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP78-05252A000100070043-4
• Release Decision: RIPPUB
• Original Classification: S
• Document Page Count: 3
• Document Creation Date: December 12, 2016
• Document Release Date: October 30, 2001
• Sequence Number: 43
• Publication Date: November 8, 1951
• Content Type: MEMO

Approved For Relea P78-05252A000100070043-4
Chief, FE/CPC 8 November 1951
Acting Chief' Finance Division
Recommendations for Establishment of New Personnel Finance
Procedure.
REFERENCES* /our Memorandum dated 29 October 1951 and
1. In accordance our re.uest we haveconsidered the
proposal set forth in hich in effeot,
is that there should be a esent proleduree
pertaining to the payment of salary, allowances* and travel, and
that such functions be decentralized to the larger field stations.
In general, we are in complete agreement with this recommendation.
In fact, at another station where we have had much more time to
build up personnel and facilities, we are rapidly approaching the
date when an almost identical system can be placed in full effect.
A part of the system has been in effect for several months.
2. We have just two reservations with respect to early aotion
on this proposal. They area
(a)
Preparation at headquarters is =eh more complex than is
readily apparent. We are now fully occupied in other
changes and Improvements in finance procedures. We be-
lieve a basic change such as the one proposed should be
thoroughly prepared for in headquarters and should not
be attempted at a time when we are over-extended in other
activities. Further, such change will involve several
other Agency offices.
(b) Our second reservation is the same as that held by the
station in paragraph I E/1 of Reference Dispatch, the
following is stated, "It would cause complete confusion
to install this system at a station where the financial
workload per person is already nearing the maximum?. In
our opinion, the reference to "already nearing the maxi-
mum" is quite an understatement. We believe considerable
additional help will be required at this station whether
or not the proposed change and procedure is effected.
With the cooperation of officials of the Drench concerned
we are now engaged in obtaining such help.
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3. We have noted the exemples of causes of complaints Which
say be the basis for he proposed change in procedure. While we
generai4 agree with the proposed change, we cannot agree that it
is a solution to errors, omismiens and delays. We believe everyone
ooncerned should anticipate the continuance of a certain nuMber of
errors and after the change, if made, should not 'criticise the new
system for this reason. We believe most of the complaints are a
result of misunderstanding and apprehension due primarily to diffi
culties in oomeenioation. In our opinion, such misunderstandings
could, for the most part, be eliminated by the fees use of cable
oommunicatione. However, this weld not be consistent with Agency
policy in such metters. Much of the confusion could also be eli-
minated by periodic visite to tee stations by Finence or Adminis-
trative employees. In the case of this station such visit is now
planned to take place within a month. Other teen a relatively
small number of errors there appear to be two major "bones of con-
tention" which have incited employees of this station to mske gen-
eral complaints regarding their personal finances. One is the delay
in the payment of travel vouchers, for instance, exempla (a) of
reference dispatch; the other is the delay in the payment of overtime
to staff personnel from 4 February 1951 until approximately one month
ago. In the case of the travel vouchers there is no need for any em-
ployee to be penalized because of a delay in oommunioations, process-
ing, etc. Travel advances are available to each traveler in an
amount estimated to equal his total travel expense. In each case, he
is instructed to file a voucher immediately upon arrival at his sta-
tion. If the advance whiCh he received was materially in excess of
official travel expense incurred, he is requested to turn in the ex-
ellen to the station upon submission of the voucher. If the official
travel expenses materially exceed the advance which he received, he
may upon applioation obtain an additional advanoe from the station in
order that he will not be "out of pocket" while the voucher is being
forwarded to Headquarters. In the second instance, the delay in
payirg overtime to employees at this station was occasioned by the
fact that the station did not submit overtime claims in accordance
with OPC reguletions. Instead, we are advised that as a result of
misunderstanding, station officials who had visited Headverters rev
turned to the station and instructed the Finance Officer to alter his
procedure and submit overtime claim on a document designed for other
purposes whioh, unfortunately, upon receipt in Headquarters, receives
no action but is held a. liable for post audit. This situation has
now been corrected.
summation, we agree in general with the proposed procedure.
We believe the basis for a change is the fact that we have simply cute
grown existing procedures. We do not believe we should take a chance
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addingto the confusion and of jeopardising permanent payroll,
retirement, tax and allowance records by initiating a change pre?
maturely. This feeling may be influenced by the fact that such
action wee taken in WS with the result that it is virtually impos?
eible to answer inquiries both officiel end personnel which are
still being received regarding retirement rights, income tax ha.-
bili ty,
eccuraey of pay, etc. We recommend additional finence and
arleinistrative employees be assigned to the largest stations, and
that they receive training at such steuions while procedures are
being devised and tested at Headquarters to effect the proposed
change. We believe the earliest possible date on which we could
safely effect such change wouId be 1 jay 1952.
5. We shell continue preparation for appropriate deeentralie
zetion to the larger stations when such is feaelbee end approved,
end will keep your staff advised of progress. In accordanee el:th
our conversatione on this seebject it is. believed thie plae eiecus
with your oonourrence.
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'ctine Chief, t nence
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