ORGANIZATION AND MANAGEMENT OF THE U.S. FOREIGN INTELLIGENCE COMMUNITY

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP80B01086A000900200004-8
• Release Decision: RIPPUB
• Original Classification: T
• Document Page Count: 15
• Document Creation Date: December 15, 2016
• Document Release Date: February 24, 2004
• Sequence Number: 4
• Publication Date: November 5, 1971
• Content Type: MF

November 5, 1971
The Secretary of State
The Secretary of the Treasury
The Secretary of Defense
The Attorney General
The Director of Central Intelligence
The Director, Office of Science and Technology
The Chairman, Joint Chiefs of Staff
The Chairman, President's Foreign Intelligence
Advisory Board
The Chairman, Atomic Energy Commission
SUBJECT: Organization and Management of the U.S.
Foreign Intelligence Community
I have recently reviewed and accepted recommendations on
ways in which to improve the functioning of the intelligence
community. This memorandum establishes a set of goals and
directs organizational and management changes to attain them.
It also expresses my concern about major resource management
and substantive production problems as guidance to the community
for further changes in the future.
The need for an-,improved intelligence product and for
greater efficiency in the use of resources allocated to
intelligence is urgent. Resources available for use by the
intelligence community will be increasingly constrained and
may have to be reduced. At the same time the product of the
intelligence community will be of increasing importance to
U.S. security and national interests as:
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-- the relative strength of Soviet and other potential
military forces grows with respect to those of the
U.S. where previously U.S. superiority was unquestioned;
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-- the international environment grows more complex;
and financial, commercial and economic factors
assume greater significance;
-- the need for timely intelligence becomes greater.
I. Objectives
,Among the major objectives that must be attained if the
efficiency and effectiveness of the intelligence community
are to increase substantially are:
The responsiveness of the U.S. intelligence effort
with respect to national requirements must be subject
to continuing review.
-- Authoritative and responsible leadership for the
community as a whole must be assured.
-- A more efficient use of resources by the community
in the collection of intelligence information must
be achieved. Utilization of the means available
must be in consonance with approved requirements of
U.S. security and national interests.
Assignment of intelligence functions within the
community must be reviewed and revised to eliminate
inefficient, unnecessary or outmoded activities.
-- The quality, scope and timeliness of the community's
product must be improved.
The provision of intelligence and its utilization must
enhance the formulation of the foreign, military and
economic policies of the U.S. Government and the
planning for and conduct of military operations by
U.S. forces.
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NSC
II. The Necessary Conditions
A number of specific conditions are necessary to the
achievement of these objectives.
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-- The Director of Central Intelligence (DCI) must
delegate direct authority to the Deputy Director of
Central Intelligence (as far as is possible without
legislation) for the plans, programs, and day-to-day
operations of the CIA, and must assume overall
leadership of the community.
-- More effective review of intelligence product quality
and policy must be provided to the DCI, especially
by high-level consumers of substantive national
intelligence.
-- Major issues within the intelligence community must
be addressed in such a way that the DCI plays a
major role in their resolution. The DCI must have
an increased and restructured personal staff to allow
him to discharge his augmented responsibilities.
-- The DCI should be supported by two major committees
of the intelligence community, each of which he
chairs, with clearly defined advisory functions
embracing his responsibilities related to intelligence
production and requirements on the one hand and to
intelligence budget and allocation of resources on
the other.
-- Intelligence collection programs, largely financed
and managed by the Department of Defense, must come
under more effective management and coordination
with other intelligence programs.
-- The NSCIDs and DCIDs must be rewritten to reflect
the changes directed herein and others as they occur,
particularly to reflect reassignment of functions.
III. Measures Decided Upon
After careful consideration, I have decided that the
measures listed below are to be taken now to move toward
attainment of the stated objectives. They are designed
primarily to: (1) enhance the authority and capability of
the DCI to provide the required community leadership, (2)
provide review and guidance regarding the substantive intelli-
gence product, and (3) more effectively restructure intell-
igence activities.
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-- I am directing the Director of Central Intelligence
to assume leadership of the community in planning,
reviewing, coordinating, and evaluating all intelli-
gence programs and activities, and in the production
of national intelligence. I shall look to him'to
improve the performance of the community, to provide
his judgments on the efficiency and effectiveness of
all intelligence programs and activities (including
tactical intelligence), and to recommend the appropriate
allocation of resources to be devoted to intelligence.
He will thus assume four major responsibilities:
-- Planning and reviewing all intelligence activities
and the allocation of all intelligence resources.
-- Producing national intelligence required by the
President and other national consumers.
-- Chairing and staffing all intelligence community
advisory boards or committees.
-- Reconciling intelligence requirements and priorities
within budgetary constraints.
So that he can effectively undertake this community
leadership role, I am requesting the DCI to submit to me
within 30 days his plan for the appropriate delegation of his
.current operational responsibilities and for increased staff
support for his new role.
-- I am directing the Director of Central Intelligence
to prepare and submit each year, through OMB, a
consolidated intelligence program budget, including
tactical intelligence. All information required
from all departments and agencies of the Executive
Branch is to be made available to him in order that.
he may provide me with an annual detailed review of
the needs and performance of the intelligence community.
-- I am creating an Intelligence Resources Advisory
Committee, chaired by the Director of Central
Intelligence, including as members a senior.
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representative from the Department of Defense, the
Department of State, the Office of Management and
Budget, and the Central Intelligence Agency. This
committee is to advise the DCI on the preparation
of the intelligence budget and the allocation of
resources among programs, ensuring that they are
employed in accordance with approved requirements
and that there is no unwarranted duplication.
-- I am also directing that the USIB be reconstituted
under the chairmanship of the DCI including as
members the Deputy Director of Central Intelligence
(Vice Chairman); Director of Bureau of Intelligence
and Research (INR), State Department; Director of
National Security Agency (NSA); Director of the
.Defense Intelligence Agency (DIA) and representatives
of the Secretary of the Treasury and of the Director
of the Federal Bureau of Investigation and the Atomic
Energy Commission (AEC). The USIB will advise and
assist the DCI with respect to the production of
national intelligence requirements and priorities,
the supervision of the dissemination and security
of intelligence material, and the protection of
intelligence sources and methods.
-- I am authorizing the DCI to call upon all depart-
ments and agencies of the Executive Branch of the
Government to. provide requisite information to these
two committees and to invite additional participation
in their deliberations as may be required in his
judgment.
-- I am also establishing a National Security Council
Intelligence Committee (NSCIC). Its members will
be the Attorney General, the Director of Central
Intelligence, the Under Secretary of State, the
Deputy Secretary of Defense, the Chairman of the
Joint Chiefs of Staff, and the Assistant to the
President for National Security Affairs, who will
chair the committee. It will give direction and
guidance on national substantive intelligence needs
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NSC
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and provide for a continuing evaluation of intelli-
gence products from the viewpoint of the intelli-
gence consumer.
-- As a related matter, I am directing that a Net
Assessment Group be created within the National
Security Council Staff. The group will be headed
by a senior staff member and will be responsible
for reviewing and evaluating all intelligence
products and for producing net assessments of
U.S. capabilities vis-a-vis those of foreign
governments constituting a threat to U.S. security. 25X1
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-- I am directing the Department of Defense to issue
such directives as are required to establish no
later than January 1, 1972:
A unified National Cryptologic Command under
Director, NSA Lfor the conduct of USG communica-
tions intelligence and electronics intelligence
activities,'
A single Office of Defense Investigations.
A consolidated Defense Map Agency by combining
the three Service mapping organizations under
arrangements that permit optimum efficiency
and economy in production without impairing
legitimate requirements of the separate'Services.
The retention of the DIA to. be fully responsive
to tasking by the Joint Chiefs of Staff in
matters involving essential intelligence support
for military planning and operations.
-- I am directing staffs of the NSC, DCI and ONB, in
consultation and coordination with the President's
Foreign Intelligence Advisory Board to make ap-
propriate revisions not later than December l0 1971
to the NSCID's and other directives as needed to
implement the provisions of'this memorandum.
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IV. Remaining Problems
The changes I have directed at this time are limited,
but I fully expect further changes in the intelligence community
consistent with maximum practicable attainment of my objectives.
By far the largest portion of the intelligence budget
is devoted to collection. It is here that savings must be
sought. Future assignments of roles and missions within the
intelligence community cannot be made satisfactorily by com-
promises among agencies.
The need to make some savings is so urgent that I have
directed the Office of Management and Budget, jointly with
the DCI and Secretary of Defense, to review the FY 1973 budget
for intelligence and to submit specific reductions from
current programs, with particular attention to tactical
intelligence.
Significant improvement in the intelligence product is
also needed. The NSCIC will afford improved guidance regarding
consumer needs. Other changes in the consumer-producer rela-
tionship may be needed to achieve a more effective reconcilia-
tion of the demands from consumers with the limited resources
available for intelligence production. It seems desirable
in this connection, that resources devoted to analysis and
production should increase and that a determined effort be
made to upgrade analysis personnel and analysis methods.
More rewarding careers for intelligence analysts, including
the opportunity to reach high salary levels while remaining
analysts, should be considered. An early task of the DCI
should be the preparation of a comprehensive program focused
upon improving the intelligence process and product.
CC: Director, Office of Management and Budget
Assistant to the President for National Security Affair25X1
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NOVEMBER 5, 2971
Offi (rL of the White House Press Secretary
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THE i TE HOUSE
The White House annou ced today that the President has directed a number of
management steps to improve the efficiency and effectiveness of the U. S. foreign
intelligence community.
The President's objectives are to ensure:
information.'
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.F'OR' 1M MfEDIATE RELEA$.''
The improvements dir 4ted by the President follow an exhaustive study
conducted at his direct n by the staffs of the National Security Council (NSC)
and the Office of liana Iment and Budget (OMB) with contributions from the
President's Foreign In liigence Advisory Board (PFLAB), the President's Science
Advisor, and the Intell f ence community.
The major managemen
Continuing r view of the responsiveness of the U.S. intelligence
effort to nra.tii final needs.
Strengthened` eadership for the community as a whole,
More efficient use of resources in the collection of intelligence
Elimination less efficient or outmoded activities.
Improvement 16 the quality, scope and timeliness of intelligence
information.;
!improvements include;
An enhanced leadership role for the Director of Central Intelligence
(DCI) in plans ing, reviewing, coordinating, and evaluating all
intelligence ,rograms and activities, and in the production of national
intelligences
Establishrneht of a National Security Council Intelligence Committee,
chaired by tlic Assistant to the President for National Security Affairs,
Its mernberi will include the Attorney General, the DCI, the Under
Secretary of; State, the Deputy Secretary of Defense, and the Chairman
of the Joint Csiefs of Staff. The Committee will give direction and
guidance on
evaluation o
ational intelligence needs and provide for a continuing
intelligence products from the viewpoint of the intelligence
Establishrne't of a Net A
ssessment Group within the National Securit
and will besponsible for reviewing and evaluating all intelligence
products an4for producing net assessments.
Estab lishme'r?t of an Intelli
esources Advisors Committee, chaired
by the DCI, including as members a senior representative from the
Department of State, the Department of Defense, the Office of N,.aciage-
ment and Bu!aget, and the Central intelligence Agency. This Committee
will advise , e DCI on the preparation of a consolidated intelligence
program butt.
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the supervi ion of the dissemination and security of intelligence
material, a h the protection of intelligence sources and methods.
Reconstitution of the United States Intelligence Board chaired by the
DGI, including as members the Deputy Director of Central intelligence
(Vice Chair ~an); Director of Bureau of Intelligence and Research,
State DepaL anent; Director of National Security Agency, Director of
the Defense 11atelligence Agency; representatives of the Secretary of
the Treasury and of the Director of the Federal Bureau of Investigation
and the Ato 'ic Energy Commission. The Board will advise and
assist the D I with respect to the production of national intelligence,
the establish rent of national intelligence requirements and priorities,
The President has alsp directed certain changes in the Department of Defense's
intelligence organization.
A National Cryptologi Command will be set up under the Director of the National
Security Agency. Under this command will be consolidated activities now carried
out by separate agenc s. A further change is the consolidation of all Department
of Defense personnel curity investigations into a single Office of Defense
Investigations. The esident has also directed that a Defense Map Agency be
created by combining ,t e now separate mapping, charting and geodetic
organizations of the rr litary services in order to achieve maximum efficiency
and economy in produj ion.
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