CURRENT INTEREST ITEMS

Document Type: 
Collection: 
Document Number (FOIA) /ESDN (CREST): 
CIA-RDP80-01826R000300140079-2
Release Decision: 
RIPPUB
Original Classification: 
S
Document Page Count: 
6
Document Creation Date: 
December 9, 2016
Document Release Date: 
March 27, 2001
Sequence Number: 
79
Case Number: 
Publication Date: 
August 9, 1963
Content Type: 
MF
File: 
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PDF icon CIA-RDP80-01826R000300140079-2.pdf766.88 KB
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? Approved For Release 2001/07/124.06101-01826R000300140079-2 MEMORANDUM .FOR: Acting Deputy Director (Support) ECT t Current Intereet Items 9 AUG 196a- 1. Ear.-tremem our early retirement legislation hes been the reason for delay in our reporting of current interest items in recent weeks. Hearings on the bill were held before Subeoemittee No. 1 of the House Armed Services Committee on 23, 245 and 25 July and are scheduled to resume on 21 August. It is anticipated that they will be completed in one or two more sessions and that the bill will then be favorably reported to the full Conmittee and by the full Committee to the Reuse. After brief remarks to the Subcommittee in support of the general objectives of our propoaed bill, Mr. McCone introduced General Carter as the General Manager of the Agency and principal witness to explain our pro- posals. Over the three days of hearings, several important changes were made and we have since revised the bill to incorporate other changes which we believe will meet objections encountered thus far. It is our hope that the reminder of the bill will be approved by the Subccamdttee without significant modification, if any. The major changes are as follows: ae Elimination of Title I of the original bill (HR 7216). Title I embraced miscellaneous provisions to update procurement authorities and various overseas benefits provisions. Of the latter), only one would have represented a change from current practice; this %via a provision, similar to that now available to the Foreign Service, for Overseas tours of 18 months or 3 years for home leave purposes. Our current authority, which will now remain in effect, provides for 2 year tours. Title I also pro- vided two new authorities: one permitting the Agency to accept gifts and bequests amd another extending reemplayment rights to individuals Vho are in effect transferred to CIA from other agen- cieseekID has a comparable authority. Finally, Title / contained a provision related to our proposed retirement system which places disabiliteannuities in a tax-exempt category. This provision has been retained as a separate Title in the redrafting of HR 7216. b. RR 7216 has been redrafted as the Central Intelligence Agency Act of 1963. The provisions of the new bill are identical to the original version except that: (1) In order to establish a point in time at which an employee can be certain of his retirement coverage rertirement" vs. civil service retirement), the bill now pro- vides that an employee who is designated a participant in the system and whose career is considered to be qualifying when he completes 15 years of service will continue under the pro- posed system for the duration O44Mi employment. tereAseieen Approved For Release 2001/07/12 : CIA-RDP80-0182:6R0003001400Z9-2s s c WiwPb' %EXT FIEViEW DATE: :naa22-' MRS* A Approved For Release 2001/07/12 : C SURT 1826R000300140079-2 (2) A requirement of five year* of Agency service vas added to the voluntary retirement prevision (age 50 with 20 years total service) to ensure against extending the benefits of the proposed 'system to individuals who had long periods of Government service but relatively abort terns of Agency serv- ice. (3) ASOinin an effort to avoid of the proposed system to i service, the Subeommittee has recommended the more stringent service requirement* in the application of the involuntary retirement provisions applicable to GS.,14'a and over. As originslly drafted, this proviaion required only five years serviee for audh an individual to be granted an immediate annuity. The bill nov provides that he must have at least ten years' Agency service of which at least five years are "qumlifyine service. (4) The Subcommittee suggested that the language in the Fozei Service *Totem vhich permits an unmarried person to deaigeate any beneficiary he desires for a survivor annuity vas too broad (notwithstanding the severe penalties imposed. immediate reduction of 10% in annuity plus an additional 51 for each five years that the survivor Is younger than the retiree up to a maxima reduction of 40%). They favored the oompaxable provision in the Civil Service Retirement Act vhieh requires that the survivor designated have an "insurable interest* In the employee. The Civil Sevvice language has been incorporated in the revised bill. (5) As a result of a suggestion originating Subcommittee staff, we have considered the desirabili including a provision to preclude external appeals of the deter minations made by the Director under the proposed system and ham inaluded in the revised draft a provision citing cecurety aonsiderations as the basis for prohibiting such appealse Although this provieion has not been reviewed with the Subcone eittee0 ve believe it vill be accepted. review of the bill vith Subcommittee not. I has proceed Death in Service. The tvo points remaining Which nar oa3.l for On (as suggested in Mr. Rivers' opening statement) are he service and the cost of the proposed vitern. tided with Nte. 110 on, Ato appeared as the Agency's ng In executive seeeion with the Were and Means connection with the provision for excepting dis gross income for tax purpoees. The Committee has: 2 Approved For Release 2001/07/12 : CIA7RIDP80,- 1826R000300140079-2 Approved For Release 2001/07/12 : 826R000300140079-2 tion. In fact, they eallei at the hearing) aztex our apearanee to ug this benefit to especially to the Foreign Service. We ve Counsel in drafting a statent for request. When their response has been plan to contact the Committee staff ete our presentation on this point* interest in the outcome of the Cit- o2' developments on this point and s use with the Department's re-e'. ore Subcommittee No. 1. es in response to specific requests cipation of such requests. These see, Bride* and length of Government of &Liability retirementsj 4 0001V41140n Of yes might be: retained for specified rvice requirements for involuntary uita Separations from the Clandestine ve qualified the individual for involuntary' n checking the security as 4 requeste, Armed of hear- Ur sup- reviewing ttee ions we have ash (with reports each Watley zming to the exact on-duty strength of Agency in the DO, DOB and DOESor areas at an Approved For ForRelease 2001/07/12 : CIA-RDP8 -01826R000300140079-2 Approved For Release 2001/07/12; 01826R000300140079-2 ,Frir on an aocept- d. roma treated Approved For Release 2001/07/12 011.111011,4ft6R000300140079-2 25)6A5 Approved For Release 2001/07/12 1826R000300140079-2 ed that the revised Federal on. Thew have be in TsOlt year or SO. Because ning conferences of these on goating Mew./ on for Agency 25X1A9a 25 1A9a 25X1A9a iss been in touch received tor of articles this natter. M cases.) Ln at a slow xste. The total Approved For Release 2001/07/12 6R000300140079-2 25X1A9a 2 X1A9a 2 X1A9a 25X1A9a Approved For Release 2001/07/12: 01826R000300140079-2 step increases bad been on Vnich bsd previously been rjustifiestIon. Distribution: 0 & 1,- Addressee D/Pers Subj File 1 - D/Pere Chrono File 25X1A9a CO/Pers (9 August 1963) fig Emmett D. Echols Extett D. gaga. Itireetor at Perwrinel Approved For Release 2001/07/12 : CIA-RDP8631826R000300140079-2