MEMORANDUM FOR THE HEADS OF DEPARTMENTS AND AGENCIES FROM LYNDON B. JOHNSON

Document Type: 
Collection: 
Document Number (FOIA) /ESDN (CREST): 
CIA-RDP80B01676R000100130005-4
Release Decision: 
RIPPUB
Original Classification: 
K
Document Page Count: 
4
Document Creation Date: 
December 14, 2016
Document Release Date: 
December 9, 2002
Sequence Number: 
5
Case Number: 
Publication Date: 
May 24, 1966
Content Type: 
MF
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PDF icon CIA-RDP80B01676R000100130005-4.pdf144.7 KB
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= Approved For Release NW3/02/27 : CIA-RDP80BO1676R000100130005-4 THE WHITE HOUSE May 24, 1966 MEMORANDUM FOR THE HEADS OF DEPARTMENTS AND AGENCIES Secretary Fowler, Budget Director Schultze and Comptroller General Staats have just informed me about their plans to accelerate the pace of the Joint Financial Management Improve- ment Program. They have asked Civil Service Chairman Macy to assist in this worthy undertaking. I havea strong and continuing interest in the development of business-like financial systems throughout the Federal Govern- ment. Such systems are essential to assist in carrying out a basic pledge of this Administration -- to get a dollar's value for a dollar spent. We must have financial systems which: -- provide the information our managers need for effective cost control -- for waging the war on waste, develop cost consciousness in men and women at every level of responsibility in every agency, assure financial integrity in everything the Government does, provide the types of financial data needed to support the planning-programming-budgeting system initiated last August, and enable the Government to apply the best and most efficient management and operating techniques. DIA review(s) completed. Approved For Release 2003/02/27 : CIA-RDP80B01676R000100130005-4 Approved For Release,03/02/27 : CIA-RDP80B01676R000100130005-4 I am particularly pleased that the central agencies -- representing both the legislative and the executive branches -- will spearhead, with your active participation, a renewed joint program in this vital area of direct interest to both the Congress and the President. The legislative groundwork for this program was laid sixteen years ago. While much progress has been made,' much more is necessary if we are to discharge the responsibility placed upon us by the Budget and Accounting Procedures Act of 1950. Accordingly, I request the head of each executive department and agency to take immediate action to: Insure that the system of accounting and internal control in his agency meets management needs and conforms to the principles, standards, and related requirements prescribed by the Comptroller General. -- Work with the 'Civil Service Commission in develop- ing a more vigorous program for recruiting and developing the professional personnel to design and operate effective financial management systems. -- Assure that financial reports and cost data provide adequate support for the planning-programming- budgeting system. -- See that the agency's managers are given the basic tools they need -- responsibility centered cost-based .operating budgets and financial reports -- for setting and achieving maximum cost reduction goals. The Budget Director will issue more detailed instructions with respect to this program. Your full support is needed. I want every manager -- the general manager and the financial manager alike -- to feel and respond to your personal demands for the use of highest quality, business type financial information systems. .I want every manager to think of his part of the total Government in terms of everything he owns, everything he owes and the full cost of doing every job in relation to the products resulting from these .costs. I want him to think of minimal costs and cost reduction as Approved For Release 2003/02/27 : CIA-RDP80B01676R000100130005-4 Approved For ReleaseAA03/02/27 : CIA-RDP80B01676R000100130005-4 profit. And I want him to think in terms of his profit as a result of how he uses all the resources entrusted to him. These goals cannot be fully achieved without sound financial management practices. With increased assistance by the central agencies, and a positive action program on your part, we can readily achieve what is con- templated in the Budget and Accounting Procedures Act -- the utilization of the best business practices in the day-to-day manage- ment of our Government. Approved For Release 2003/02/27 : CIA-RDP80B01676R000100130005-4 Approved For Release 2x03/02/27 : CIA-RDP80B01676R000100130005-4 ( Executive Regiery g CENTRAL INTELLIGENCE AGENCY EXECUTIVE MEMORANDUM OFFICE OF THE DIRECTOR EXECUTIVE MEMORANDUM No. 158 DATE 2 1966 TO: Deputy Director (Plans) Deputy Director (Intelligence) Deputy Director (Science & Technology) Deputy Director (Support) UNW6 let Inspector General General Counsel Director for National Estimates DLrictor, PPB O/ExDirf __ Distribution: ROOM NO. 1 - Ea addressee w/cy of Memo from the President for the Heads of Departments and Agencies dtd 24 May 1966 re the development of business-like financial systems throughout the Federal Government (ER 66-2397) -t`--ER w/orig of ER 66-2397 1 - ExDir w/cy of ER 66-2397 This memorandum contains information for the addressees. Ad- dressees may give this memorandum additional circulation within their components as required. All copies should be destroyed, not filed, upon completion of circulation. A master file will be kept in the Executive Director's Office and will be available upon request. Approved For Release 2003/02/27 : CIA-RDP80BO1676R000 ExciudS Irom ouromolic downprodinp and (CLASSIFICATION) dsdossifica~ion