LETTER TO JOHN A. MCCONE FROM EDWARD A.MCDERMOTT

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP80B01676R002800140009-0
• Release Decision: RIPPUB
• Original Classification: S
• Document Page Count: 5
• Document Creation Date: December 14, 2016
• Document Release Date: January 2, 2003
• Sequence Number: 9
• Publication Date: June 15, 1962
• Content Type: LETTER

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Approv d For aRa 6j/2 JSEIgc}W?0B01676R002800140009-0
Executive Rea9
EXECUTIVE OFFICE OF THE PRESIDENT
OFFICE OF EMERGENCY PLANNING
WASHINGTON 25, D.C.
OSD review(s) completed.
Honorable John A. McCone
Director
Central Intelligence Agency
Langley, Virginia
June 15, 1962
Re: Executive Stockpile Committee
Dear Mr. McCone:
I am enclosing duplicate copies of an initial draft of a Report
on the Barter Program. for submission to the President by
the.Executive Stockpile Committee.
Although final agreements were not reached at the last
meeting of the Committee, this draft is intended to reflect
the general discussion that took place at that time. It is
being sent to you for your consideration and for discussion
by the principals of the Committee at a mee g to be held
in Room 100, Executive Office Building, on Wednesday,
June 20, 1962, at 3:00 p.m.
I earnestly hope we can reach final conclusions at this
meeting because the President issaa.nxious that the Executive
Stockpile Committee complete its assignment as soon as
possible.
Enclosures
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19 June 1962
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MEMORANDUM FOR : Mr. Her Icinoche
SUBJECT: Meeting of Executive Stockpiling Committee
REFERENCE: Report on the Barter Program
1. The Executive Stockpile Committee(of which the DCI is a member)
in its initial Report to the President of March 19, 1962 recommended
that a "group of interested agencies _.. .. . give immediate attention
to the relationships of the Strategic and Critical Material stockpile
and the Department of Agriculture barter program for Strategic
Materials." As a consequence the President in NSAM No. 142 of
April 10, 1962 requested that the Office of Emergency Planning "examine
the problems of the barter program in consultation with .
agencies." interested
2. On 4 May the DD/I, replying for the DCI to a request from
OEP for an Agency representative to participate in a study of the
Barter Program, stated that he did not "believe that CIA is one of
the interested agencies referred to by the President." However, he
went on to say should particular issues arise on which CIA might be
of assistance OEP should not hesitate to call on the Agency. This
response was satisfactory to the Office of the Director, OEP.
3? 1 :1 has been the principal Agency contact on all
matters relating to this report. However, as a result of a heavy
work load in his new assignment with the Board of National Estimates
he has been unable to continue with this responsibility and recently
has turned it over to ORR. He has not reviewed the latest draft
report which will be considered by the Executive Stockpile Committee
on Wednesday, June 20th. However, the draft report has been reviewed
in ORR and we do not find that it affects the responsibilities of
CIA or that the Agency could usefully comment on its conclusions and
recommendations.
4. Very briefly the report sees no need for restricti);g present
statutory authorizations for disposing of surplus agricultural commodi-
ties through barter. It does make the following recommendations:
a. That greater emphasis should be given to the procurement
of non-strategic materials items which meet approved program
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requirements of US Government Agencies and for which dollars have
normally been spent abroad.
b. That barter should continue to be used to acquire strategic
and critical materials related to national stockpile objectives.
c. That barter should not be used to acquire such materials
in excess of national stockpile objectives. However, on this
point a number of exceptions were cited, e.g., in cases where a
barter transaction would further the foreign policy interests
of the United States.
d. That any materials acquired as a result of the exce
noted should be retained as an isolated inventory which would not
threaten domestic or world markets; and
e. That revised procedures for carrying out the barter program
be adopted.
5. The Director -- as a Committee member designated by the
President -- will be requested to sign this report before it is sub-
mitted in final form. However, in view of the marginal interest of
is document to the Agency's responsibilities the DCI may not wish to
attend the ::eth esday meeting at which time the Committee hopes to
reach a final conclusion on the report. If this is his decision,
someone from ORR or might attend in his place. In this
case it will not be necessary for ORR to prepare a briefing paper for
the DCI until the agreed report is ready for his si&nature. If, however,
the DCI decides to attend the Wednesday session ORR will prepare a
briefing paper today.
Depu y Ass' tant rector
Research and Reports
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CENTRAL INTELLIGENCE AGENCY
OFFICIAL ROUTING SLIP
DD (Intelligence)
PREPARE
RECOMM
RETURN
SIGNATU
For information and necessary action.
cc: Acting DCI for information.
FOLD HERE TO RETURN TO SENDER
16 June
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CLASSIFIED NFIDENTIAL SECRET
CENTRAL INTELLIGENCE AGENCY
OFFICIAL ROUTING SLIP
TO
NAME AND ADDRESS
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Exec Registry
3
4
5
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ACTION
DIRECT REPLY
PREPARE REPLY
APPROVAL
DISPATCH
RECOMMENDATION
COMMENT
FILE
RETURN
CONCURRENCE
INFORMATION
SIGNATURE
Remarks :
The original of this together with
attachments was sent to DD/I for information
and necessary action.
FOLD HERE TO RETURN TO SENDER
FROM: NAME, ADDRESS AND PHONE NO.
DATE
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16 June I
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