ESTIMATED FOREIGN INTELLIGENCE COSTS

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP80-01237A000100010026-7
• Release Decision: RIFPUB
• Original Classification: S
• Document Page Count: 9
• Document Creation Date: December 12, 2016
• Document Release Date: April 5, 2000
• Sequence Number: 26
• Publication Date: March 26, 1959
• Content Type: REPORT

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Draft Working Paper
ER-100-21-59
(Fourth Revision
26 March 1959)
ESTIMATED FOREIGN INTELLIGENCE COSTS
1. Purpose
The purpose of this report is to provide the DCI and the USIB with a
medium for a clear and meaningful presentation of intelligence cost data.
A format for this-'purpose has been agreed upon by the USIB Ad Hoc Working
Group. It is designed for use with estimated "order of magnitude" costs
of those activities which derive from national and/or departmental require-
ments for intelligence. Additionally, it is intended as a demonstration of
how "intelligence money" is apportioned among major intelligence functions.
"Foreign intelligence", for the purposes of this report, is intended to
mean the foreign intelligence effort of the U. S. which is subject to the
coordinating authority of the DCI and the cognizance of the United States
Intelligence Board. Finally, a report in this form is intended to serve
a purely statistical purpose inasmuch as costs can only be allocated into
some of the functional categories by resorting to arbitrary judgments which
are subject to varying degrees of error.
2. Financial Considerations
The report will include two basic types'of cost data on an
obligation basis:
a. Direct obligations: Those obligations actually incurred
by an intelligence command, bureau or element thereof, or any
comparable intelligence organization which actually performs
the intelligence activity involved, receives direct'funding and
can identify the obligation with the intelligence activity
involved. In essence, such obligations are those under the
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direct control of an intelligence organization (CIA and NSA)
or an intelligence element of a larger organization such as AF
Security Service/Air Force; ACSI/Army; G-2, USAREUR; INR/State; etc.
b. Indirect obligations: those obligations which appear in
non-intelligence commands, bureaus, services, or other comparable
organizations as a part of their own budget operations but can
be identified as being in direct support of an intelligence
activity, e.g., R&D projects performed for foreign intelligence
purposes.
3. Procedures
Foreign intelligence cost estimates will be prepared by all
member agencies of the United States Intelligence Board who are engaged
in the conduct of foreign intelligence activities.
The cost estimates will be developed on the basis of actual
obligations incurred during the fiscal year ending 30 June and prepared
for submission to the United States Intelligence Board by 30 September
of the following fiscal year.
The Costs Estimates Committee of the United States Intelligence Board
will be responsible for coordinating the preparation of the Board's annual
statistical report on foreign intelligence costs and the preparation of any
other reports involving intelligence costs which may be required by the Board.
After approval by the United States Intelligence Board, the Board's
annual statistical report on estimated foreign intelligence costs will be
submitted by the Director of Central Intelligence to the President's Board
of Consultants on Foreign Intelligence Activities and to the Bureau of the
Budget.
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4. The following provides the instructions and definitions for
preparing estimated foreign intelligence cost data:
INSTRUCTIONS FOR PREPARATION OF ESTIMATED FOREIGN INTELLIGENCE COSTS
A. Activities Involved
1. Collection and Technical Processing includes all intelligence
activities required for the collection of raw information and its
technical processing to put the collected material in shape for use
by those intelligence elements engaged in the production of finished
intelligence.
a. COMINT includes all collection and technical processing
activities conducted under the pertinent provisions of National
Security Council Intelligence Directive (NSCID) No. 6.
b. FLINT includes all collection and technical processing
activities conducted under the pertinent provisions of NSCID
No. 6.
c. RADINT includes all collection and technical processing
activities required to obtain information from reflected pulses
of radio frequency energy.
d. ESPIONAGE includes all collection activities conducted
under the provisions of NSCID No. 5.
e. OTHER COVERT COLLECTION includes any covert collection
activities not covered by the provisions of NSCIDs No.. 5 or No. 6.
Any activities included under this general title will be
adequately described in a footnote or, if security consideration
requires it, identified by reference to the basic directive by
which they are authorized.
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f. FOREIGN SERVICE AND ATTACHES includes the over-all cost
of the military attache system and that proportion of State's overseas
Foreign Service costs that can reasonably be attributed to the
collection and reporting of political, economic, cultural, sociological,
scientific and technical, and biographic intelligence to meet State's
own departmental needs for intelligence and its assigned responsiblities
for "services of common concern." Collection activities of the Foreign
Service and Military attaches are covered by the provisions of
NSCID No. 2.
g. OTHER OVERT COLLECTION includes any overt collection
activities not shown in 1.f. above. Activities listed under this
general heading will be adequately described in a footnote.
2. Production and Dissemination includes the cost of all
activities conducted by an agency or its contractors to produce and
disseminate finished intelligence through the evaluation, analysis,
integration and interpretation of the products resulting from the
"collection and technical processing" activities listed in paragraph 1.
**a. ARMY INTELLIGENCE includes the production and dissemination
of finished intelligence on such matters as organization, equipping
order of battle, and logistics of foreign ground forces. In general,
* he three military services plan to include, under the generic term of
Army, Naval or Air Force Intelligence respectively, all estimated costs
of their production of other types of finished intelligence, i.e., economic,
political and sociological, scientific and technical, and geographic.
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it includes that finished intelligence for which the Array has the
primary production responsibility under the provisions of NSCID No. 3.
**b.. NAVAL INTELLIGENCE includes the production and
dissemination of finished intelligence on such matters as organiza-
tion, equipping, order of battle and logistics of foreign naval
forces. In general, it includes that finished intelligence for
which the Navy has the primary production responsibility under
the provisions of NSCID No. 3.
**c. AIR INTELLIGENCE includes the production and
dissemination of .finished intelligence on such matters as
organization, equipping, order of battle and logistics of
foreign air forces. In general, it includes that finished
intelligence for which the Air Force has primary production
responsibility under the provisions of NSCID No. 3.
d. J-2 CURRENT INTELLIGENCE includes that intelligence of
all types and forms of immediate interest which is prepared by
the J-2 Intelligence Directorate of the Joint Staff and usually
disseminated without the delays incident to complete evaluation
or interpretation.
e. JOINT INTELLIGENCE is a special category of inter-
departmental intelligence produced and disseminated in the
performance of the assigned missions of the Joint Chiefs of
Staff. In general, it includes that type of finished intelligence
for which the Director for Intelligence, the Joint Staff (JCS) has
primary production responsibility under the provisions of NSCID No. 3.
** Same as footnote on page k.
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f. POLITICAL AND SOCIOLOGICAL INTELLIGENCE includes the
production and dissemination of that finished intelligence for which
the State Department has the primary production responsibility under
the provisions of NSCID No. 3. The following subsidiary types of
intelligence production will also be included under this heading:
cultural and psychological; the latter including, first,
intelligence on other government's plans, programs, and media for
waging psychological warfare and, second, foreign public opinion
polls and studies of the susceptibilities of foreign populations
to psychological warfare.
g. ECONOMIC INTELLIGENCE includes the production and
dissemination of finished intelligence concerning the potentialities,
utilization, and vulnerabilities of a foreign nations' natural
and human resources. It includes such subjects as raw materials,
manufacturing (including weapons), services, transportation,
communications, trade and finance. In general, it includes that
finished intelligence for which the State Department and CIA.
have primary intelligence production responsibility under the
provisions of NSCID No. 3-
h. SCIENTIFIC AND TECHNICAL INTELLIGENCE, includes the
production and dissemination of finished intelligence on:
(i) The progress of foreign scientific research and
development, and achievements resulting therefrom, as it
affects the military or economic potential of a nation.
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(2) Technical devices, equipment, and specific
processes applicable to foreign structures, equipment,
or weapons, in being, in production, or under development.
(3) in general, that scientific and technical intelli-
gence for which CIA has primary production responsibility
under the provisions of NSCID No. 3-
i.. GEOGRAPHIC INTELLIGENCE includes the production,
dissemination and cartographic preparation of intelligence on
the natural features, i.e., land, sea, and weather of foreign
areas. (To the extent that such costs are identifiable, such
should be separately shown.)
3. Auxiliary Activities - Activities will be listed here when
their cost cannot be included as an integral part of the cost estimates
covering the activities shown in sections 1 and 2 of the format. In
general, it is contemplated that the following types of activity
conducted in support of collection and technical processing, production
and dissemination, or both, will be included as an integral part of
the over-all cost of the items shown in sections 1 and 2 of the format,
with a footnote indicating that such action has been taken. However,
to the extent that a reporting department or agency does not consider
it feasible to allocate such costs in this fashion, they will be shown
as separate items under the Auxiliary Activities groupings:
a. ADMINISTRATION, SUPERVISION AND COORDINATION includes
those administrative overhead functions reasonably assignable
to a department's or an agency's foreign intelligence effort.
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b. COMMUNICATIONS includes all direct and indirect, commercial
and governmental communications provided for the support of the
foreign intelligence activities.
c. SECURITY includes those physical and personnel security
measures directly related to the intelligence activities covered
report.
d. TRAINING includes the direct and indirect cost of training
activities conducted in whole or in part for the support of the
foreign intelligence activities listed elsewhere in this report.
Where only a portion of a training facility is devoted to
supporting intelligence activities, the over-all cost should be
apportioned as appropriate.
e. RESEARCH AND DEVELOPMENT includes the direct or indirect
cost of that research and development which is related to the
development of devices, equipment, and techniques for use in
the foreign intelligence effort, This may range from research
and development conducted solely for intelligence purposes so
that the full cost could logically be charged to intelligence,
to those research and development activities which are conducted
only in part for intelligence purposes and therefore only an
appropriate portion of their over-all cost should be allocated
as a charge against intelligence.
f. 3C!? ENING AND DISTRIBUTION includes the handling of raw
and finished intelligence originated in the reporting agency and
in other agencies.
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g. TRANSLATION includes those activities specifically
conducted for the purpose of translating documents of intelligence
value.
h. REFERENCE FACILITIES includes libraries, collections, and
registers containing primarily intelligence materials.
i. PRINTING AND REPRODUCTION includes printing and
reproduction of such materials as books, briefs, reports,
cables, and maps directly related to the activities listed in
sections 1 and 2 of the format.
J. REQUIREMENTS COORDINATION includes receiving, screening,
collating and assigning requirements for the collection of
intelligence information through the activities listed in section
1 of the format .
B. Additions to Capital Equipment includes costs incurred in the
fiscal year reported for additions to capital equipment, such as
buildings, installations, aircraft, vehicles and any other major
equipment to be used primarily for the foreign intelligence activities
covered by this report. Costs of capital equipment will be excluded
from items A.l. through A.3. above.
C. elan-lYears - Estimates of man-years should be based, insofar as
possible, on on-duty strengths as of the end of the fiscal year reported
and should be rounded to the nearest man-year..
D. Obligations - Cost estimates will be based upon actual obligations
incurred during the fiscal year covered by the report and shown in thousands
of dollars.
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