MARCH 16 MEETING ON DISCUSS FY 1986 BUDGET CYCLE

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP86M00017R001501130021-5
• Release Decision: RIPPUB
• Original Classification: S
• Document Page Count: 7
• Document Creation Date: December 22, 2016
• Document Release Date: July 17, 2009
• Sequence Number: 21
• Publication Date: March 12, 1984
• Content Type: MEMO

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JLVI\L
Intelligence Community Staff
12 l la rc h 1984
MEMORANDUM FOR:
FROM:
SUBJECT:
rector, Program an
March 16 Meeting to Discuss FY 1986 Budget Cycle
1. As arranged by telephone last week, I would like to meet this Friday,
March 16, to discuss the FY 1986 budget cycle, with particular emphasis on two
areas:
-- How we plan to use the CPB target capability statements in the
FY 1986 budget review process, and
-- Your views on proposed modifications to the process as described
in the attached memorandum from Defense.
2. The meeting will be held from 1:30-3:00 PM in Ro
Please call if you have any questions or suggestions for additional topics to
be discussed.
Attachment:
DoD 'lemo dated 2 March 1984
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The Director of Central Intelligence
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OFFICE OF THE UNDER SECRETARY OF DEFENSE ! DCI/ C
Director, Intelligence Community Staff
ZM5
Washington, D. C.
$ MNn ,-- t
LOG6m
We are all aware that improvements can be made in the coordination and
development of the DoD and NFIP budgets. One step toward that end would be
an earlier DCI decision on the NFIP budget. Our receipt of the DCI's detailed,
documented decisions in early November would allow sufficient time for DoD to
conduct a coherent and comprehensive evaluation of the Defense portion of your
recommended NFIP budget and to make this assessment in the context of our
request for Tactical Intelligence and Related Activities (TIARA).
Accordingly, we have prepared and offer for your consideration the enclosed
revised schedule of events and schedule for NFIP budget development. This new
arrangement would not alter the basic tenets and structure of the NFIP's Capa-
bilities Programming and Budgeting System (CPBS), and would enhance the com-
patibility of the NFIP and DoD budget processes. This new schedule expedites
the development of the NFIP budget by joining the separate budget forecast
(summer) and budget submission (fall) reviews. Combining these reviews would
also give us the time we need to build the budget in an orderly manner.
Additionally, the new schedule calls for the establishment of an NFIC Working
Group to prepare and coordinate budget issues and to propose ahNFIP ranking of
base activities and initiatives for your approval.
Implementing this revised schedule and increasing the documentation and
rationale accompanying the decisions would eliminate our primary concerns with
the process. Executive Order 12333 requires the heads of Executive Branch
departments and agencies to include the appropriate NFIP budget proposals, as
approved by the DCI, in their own budget submissions. If NFIP budget decisions
could be provided to department and agency heads somewhat'in advance, rather
than concurrent with or, as is often the case, later than the final depart-
mental decisions, we would be able to assess the total NFIP recommendation
against total DoD budgetary expectations, to address those NFIP initiatives of
particular importance to the Department's mission and, in our dual role as the
principal custodian and beneficiary of NFIP efforts, to Join you in formulating
credible justification for the intelligence efforts we believe must be funded.
From the perspective of mechanics, earlier receipt of the DCI decisions
would be especially helpful in instances where the NFIP recommendation (1)
exceeds departmental resource guidance levels and as such can only be included
in the departmental budget at the expense of already approved non-NFIP require-
ments, or (2) is less than the Department's resource guidance and would thereby
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permit some funds to be applied to high priority but unfunded DoD efforts.
Finally, and simply as a matter of efficient business procedures, this change
would improve linkages in the important milestones throughout the budget
development process for NFIP and DoD preparers and decision makers, who would
mutually benefit from the greater consistency in scheduling and assessing man-
power, communications, facilities, et al, to avoid programmatic inconsistencies.
Obviously this new schedule would require further definition as to rules,
procedures and responsibilities, especially those having to do with the NFIC
Working Group. If you believe there is some merit in developing this concept,
representatives of the OSO staff are available to work with your staff to
produce a plan for your approval. Hopefully, procedures could be developed
in time for use during FY 1986 budget preparation.
Sincerely,
Donald C. Latham
Deputy Under Secretary of Defense General, USA (Ret.)
(Communications, Command, Control, Deputy Under Secretary of Defense
and Intelligence) for Policy
Enclosures
Coordination:
The DoD Comptroller should participate in the new concept, plan and schedule.
ASD Comptroller V
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NFIP PROGRAM AND BUDGET SCHEDULE
February - CPBS review of On-going Initiatives
- Develop DCI program and resource guidance
March - NFIC reviews proposed program and resource guidance
Program and resource guidance published.
CPBS 25% review of NFIP base activities
April Thru - Supplemental program and resource guidance published as
Mid-July result of on-going initiative and base activities
review and Congressional action on the budget request
President's Spring Review - NFIC meets as necessary to
address issues.
Mid July Thru - NFIP budget submissions provided by Program Managers
Early August (15 July)
- Early programmatic issues developed by NFIC Working
Group chaired by D/ICS and presented to DCI through
NFIC for resolution.
Mid August - NFIP adjusted for early DCI decisions and provided to
Departments for recording in their summer program
updates.
Mid August Thru - Joint DCI/0MB/Departmental/Agency budget hearings.
Mid September - Budget Decision Memoranda (BDMs) processed for budget
scrub and other actions as identified by budget
examiners.
-- Program Mangers may appeal BDMs within three work-
ing days of issuance to NFIC Working Group.
-- NFIC Working Group with the approval of D/ICS
issues final BDMs or elevates the decision to
program issue status for DCI decision and
presentation at NFIC.
-- As BDMs are finalized the ICS updates the NFIP
budget data base.
Mid September - Issue Development and Resolution. The NFIC Working
Thru Mid October group reviews propose sees as developed by ICS, OMB,
Departments, the Working Group itself, program managers,
and intelligence users.
-- NFIC working group decides on issues of such nature
that unanimous Working Group agreement can be
obtained.
All other issues are prepared by the NFIC Working
Group for presentation to the DCI and the NFIC
for decision - NFIC meeting required.
-- As decisions are reached BDMs are issued to update
the ICS NFIP budget data base.
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Mid October Thru - RRa~ank~~ingq. D/ICS produces strawman 1 to n listing of
Mid November NFIP base activities and initiatives.
- NFIC Working Group develops a recommended ranking
(1 to n listing) for DCI consideration at NFIC ranking
meeting.
- DCI final NFIP ranking issued and recommended NFIP
budget prepared for presentation to the President on
15 November.
- Recommended DCI budget provided to Departments 7
working days prior to submission to President.
Mid November - SIG(I) Meeting
Thru January - Review Congressional Budget Justification Book
Preparation.
- President's Tentative Decisions - usually early
December.
- DCI appeal (may also involve Department/Agency heads
if differences on NFIP exist).
- President's Budget Decision
- Adjusted NFIP budget provided to Departments
- CBJBs provided to Congress (late January).
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