BUDGETARY ANALYSIS OF INTELLIGENCE PROGRAMS

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP82-00400R000300050030-6
• Release Decision: RIPPUB
• Original Classification: C
• Document Page Count: 4
• Document Creation Date: December 15, 2016
• Document Release Date: March 22, 2004
• Sequence Number: 30
• Content Type: MF

Approved For RelcTase 2004/040 FIDENTTAT00400ROQQP0050030-6TAR o i-
MEMORANDUM FOR: Mr. Robert M. Macy,
Bureau of the Budget
SUBJECT: Budgetary Analysis of Intelligence
Programs
1. The Intelligence Advisory Committee, having considered
your presentation of 17 November, recognizes that, despite the
difficulties involved in a review of all budgets pertaining to intelli-
gence, this is a necessary process if the President is to be informed
of the total cost of intelligence as he views all other aspects of the
national security program of the government.
2. The IAC recognizes also that Congress and others outside
of intelligence have not to date been fully aware of the interdependence
of and effective coordination between the various agencies of the
government participating in the intelligence program. Insofar as
an examination of the present distribution of resources will assist in
the understanding of this interdependence and coordination it would
be helpful.
3. The IAC understands from discussion with Bureau repre-
sentatives that internal security programs are excluded from this
survey and that the survey will not be used in connection with ap-
propriations.
4. The review may reveal what might at first appear to be
areas of unprofitable duplication. We foresee the dangers of
pointing up conclusions without the detailed analysis and under-
standing of functions which may be characteristic of the IAC and
its member agencies, who live with the problem from day to day.
5. In order to offset these dangers, we heartily support
the Bureau's view that we should work closely together. Accord-
ingly, the IAC has developed a classification list (attached) which
seems the most significant and meaningful feasible classification
of intelligence activities to assist the analysis proposed by the
Bureau of the Budget.
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6. We recognize that subcategories may seem to be desirable
as the Bureau of the Budget proceeds to obtain the departmental
data appropriate to the several agreed attached categories.
7. As the survey proceeds in t1 a departments or agencies
concerned, the IAC invites the Bureau to call upon it at any time
that it believes the IAC can facilitate or contribute to the survey.
It would be appreciated if the Bureau's findings would be made
available to the IAC.
ALLEN W. DULLES
Director of Central Intelligence
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Annex A to
Tab A to
IAC-D-77
10 December 1953
Suggested Categories for the Survey of Intelligence Budgets
1. The major categories should be restricted to the classi-
cal classification of intelligence, namely: collection, production
and dissemination.
2. The category "collection" should be divided as overt and
covert.
3. Intelligence activities under the category "-"production"
should be further classified as follows:
a. Political, cultural and sociological
b. Ground Forces
c. Naval Forces
d. Air Forces
e. Economic
f. Scientific and Technical
g. Geographic
4. No attempt has been made to classify *"production" or
the subdivisions of "production" as basic, current, and national
intelligence. Such a division, if made, would be unrealistic,
inasmuch as in some agencies the employment of personnel on
these respective categories of intelligence will vary with the
intensity of international relations and crises. There is no
formula thus far discovered or used among the agencies which
could indicate the actual allocation of total resources to those
categories of intelligence.
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Annex A to
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10 December 1953
5. The category "dissemination" for this purpose should
include screening, reproduction, translation*, distribution
and libraries. **
6. In connection with these activities, whether by intelli-
gence or by operations, which serve purposes other than intelli-
gence,. the approximate intelligence cost should be broken out
and listed. This is particularly applicable to certain problems
in collection, but is not necessarily restricted to collection.
In CIA, translation is considered a part of collection.
Army prefers a more restrictive definition of "dissemination"
as being that intelligence activity which involves solely the
conveyance of intelligence information and finished intelli-
gence.
Annex A to
Tab A to
IAC-D.77
-2- 10 December 1953
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