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The SPEAKER,

The House of Representatives.

DEPARTMENT OF THE AIR FORCE,
Washington, February 8, 1949.

DEAR MR. SPEAKER: There is submitted herewith draft of a proposed bill to authorize the Secretary of the Air Force to establish land-based air warning and control installations for the national security, and for other purposes, which the Department of the Air Force recommends be enacted into law. The Secretary of Defense has assigned responsibility for the preparation and submission of this measure on behalf of the National Military Establishment to this Department. The purpose of the proposed legislation is to enable the Secretary of the Air Force to establish and develop, within and without the continental limits of the United States, in fulfilling the air defense responsibilities of the Department of the Air Force, such land-based air warning and control facilities as he may deem necessary in the interest of national security. The establishment of an effective landbased radar protective screen will entail the construction, installation, and equipment of temporary or permanent public works, including buildings, facilities, appurtenances, utilities, and access roads. To accomplish the necessary construction work, the proposed legislation authorizes the Secretary of the Air Force to acquire land and rights thereto by donation, purchase, exchange of Government-owned land, or any other means, and to erect temporary or permanent facilities thereon without regard to sections 1136, 3648, and 3734, Revised Statutes, as amended. The fiscal effect of this proposed legislation for construction will be $85,500,000 divided into increments in the fiscal years 1949 and 1950.

This report has been coordinated among the departments and boards of the National Military Establishment in accordance with the procedures prescribed by the Secretary of Defense.

The Bureau of the Budget has advised that there is no objection to the submission of this report to the Congress.

Sincerely,

О

STUART SYMINGTON.

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FEBRUARY 24, 1949.-Committed to the Committee of the Whole House on the State of the Union and ordered to be printed

Mr. SASSCER, from the Committee on Armed Services, submitted the following

REPORT

To accompany H. R. 2663]

The Committee on Armed Services, to whom was referred the bill (H. R. 2663) to provide for the administration of the Central Intelligence Agency, established pursuant to section 102, National Security Act of 1947, and for other purposes, having considered the same, report favorably thereon with amendments and recommend that the bill do pass.

The amendments are as follows:

On page lowing "(3) (A) Order to the United States or its territories and possessions on leave".

6 strike out all of line 14 and insert in lieu thereof the fol

On page 6, line 15, strike out the words "Fifth United States Code" and substitute in lieu thereof the number and letters "5 U. S. C.". On page 6, line 18, after the word "States" add the words "or its territories and possessions".

On page 6, line 24, strike out "(A)" and insert in lieu thereof “ (B)”. On page 7, line 4, strike out "(B)" and insert in lieu thereof "(C)". On page 7, line 5, strike out the word "continental".

On page 7, line 5, after the word "States" add the words "or its territories and possessions".

On page 7, line 7, strike out the word "continental".

On page 7, line 8, after the word "States" insert the words "or its territories and possessions".

On page 7, line 13, strike out the words "the Agency head shall determine" and insert in lieu thereof the words "it shall be deter

mined".

On page 7, line 16, strike out the period after the word "destination", insert a comma and the words "and pay the costs of such transportation".

On page 7, line 18, add the words "full time" after the word “or”. On page 8, line 13, add the words "full time" after the word "or". On page 8, line 23, strike out the word "cost" and insert in lieu thereof the word "costs".

On page 9, line 1, strike out the word "the" and insert in lieu thereof the word "his".

On page 9, line 17, strike out the word "this" and insert in lieu thereof the word "such".

On page 11, line 6, after the word "couriers" add the words "and guards".

On page 11, line 17, strike out "(f)" and insert in lieu thereof "SEC. 7".

On page 12, line 10, strike out "(g)" and insert in lieu thereof "SEC. 8".

On page 12, line 18, after the word "regulations" add the words "pertaining to admissibility".

On page 12, line 21, after the word "hundred" add the word "persons".

On page 12, line 22, strike out the word "calendar" and insert in lieu thereof the word "fiscal".

On page 12, line 23, strike out "(h)" and insert in lieu thereof "SEC. 9".

On page 13, line 6, strike out the numbers "10,330" and insert in lieu thereof the numbers "$10,000".

On page 13, line 10, strike out the number "7" and insert in lieu thereof the number "10".

On page 14, line 21, strike out the words "Sixty-first Statutes," and insert in lieu thereof "61 Stat.".

On page 14, lines 21 and 22, strike out the words "Sixth United States Code" and insert in lieu thereof "6 U. S. C.".

On page 14, line 23, strike out the words and numbers "section 2672 of title 28, United States Code" and insert in lieu thereof the numbers and letters "28 U. S. C. 2672”.

On page 15, strike out all of line 1 and insert in lieu thereof the following: "to 36 Stat. 699; 40 U. S. C.".

On page 15, line 16, strike out the number "8" and insert in lieu thereof the number "11".

On page 15, line 22, strike out the number "9" and insert in lieu thereof the number "12".

The purpose of the proposed legislation, in general, is to grant to the Central Intelligence Agency necessary authority for its proper and efficient administration. The legislation deals with procurement authority, travel and allowances for Agency personnel, methods of expenditures of appropriated funds, and other related authorities connected with the administration of the Agency. There are other provisions relating to the internal administration of the Agency which will enable the Agency to protect its confidential functions. A few of the provisions are unusual in nature, but nevertheless are essential to the successful operation of an efficient intelligence service.

Section 1 contains definitions.

Section 2 authorizes a seal of office for the Agency and requires that judicial notice be taken thereof. This is necessary to enable the Agency to make use of authenticated copies rather than have to produce original documents.

Section 3 (a) extends to the Agency certain provisions of section 2 (c) of the Armed Services Procurement Act of 1947, which will permit negotiation on purchases and contracts for supply without advertising if:

(1) There is a national emergency.

(2) The public exigency will not admit a delay.

(3) The aggregate amount does not exceed $1,000.

(4) For personal or professional services.

(5) For service to be rendered by universities, colleges, or other educational institutions.

(6) Supplies or services are to be procured and used outside the United States.

(7) For supplies or services for which it is impracticable to secure

competition.

(8) For supplies or services the nature of which should not be publicly disclosed.

(9) For supplies when the bid prices after advertising are not reasonable or have not been independently arrived at.

(10) For such procurement otherwise authorized by law.

The remainder of section 3 (a) extends to the Agency sections 3, 4, 5,6, and 10 of the Armed Services Procurement Act of 1947, which sets forth the rules for advertising, the type of contracts that can be made, provides for advance payments under certain circumstances, liquidating damages, and joint procurement.

Section 3 (b) defines the term "Agency head."

Section 3 (c) provides for the delegation of procurement authorities by the Agency head.

Section 3 (d) provides that certain procurement authorities shall be exercised only by the Agency head and shall not be delegable.

Section 4 will permit the Director to provide for special instruction or tuition and expenses for personnel engaged in such assignments. Section 5 in general provides for travel, allowances, and related expenses for Agency personnel assigned to permanent-duty stations outside the United States.

Subsection 5 (a) (1) (A) provides for the payment of travel expenses for employees, including travel to and from the United States on statutory leave.

Subsection 5 (a) (1) (B) provides for travel expenses for members of the family of an Agency employee while proceeding to or returning from his post of duty or accompanying him on authorized home leave, or otherwise traveling in accordance with the authority provided in the proposed legislation.

Subsection 5 (a) (1) (C) provides for the payment of transporting household belongings.

Subsection 5 (a) (1) (D) provides for the storage of furniture and household effects of an employee who is absent under orders from his usual post of duty or who is assigned to a post at which, because of emergency conditions, he cannot take or cannot use such effects.

Subsection 5 (a) (1) (E) provides for the cost of storing furniture and other household and personal effects of an employee upon his first arrival at a post for a period not in excess of 3 months.

Subsection 5 (a) (1) (F) provides for travel expenses and transportation costs incident to the removal of an employee's family and personal effects during temporary periods due to dangerous conditions at his

post of duty, and for the return of his family and personal effects upon the cessation of such conditions or to another post, if necessary.

Subsection 5 (a) (2) provides a means for obligating funds during the fiscal year when travel authorizations are issued and arrangements made for the transfer of employees, their dependents, and household effects, although travel has not actually been performed. This subsection will permit current funds to be set aside in a fiscal year even though actual expenditure takes place in a succeeding fiscal year.

Subsection 5 (a) (3) (A), as amended, authorizes the granting of statutory leave in the United States or its Territories and possessions after 2 years of foreign service.

Subsection 5 (a) (3) (B) provides that an employee while in this country on leave may be assigned to temporary duty in the United States for special purposes or reorientation prior to returning to foreign service.

Subsection 5 (a) (4) provides for the payment of shipping expenses for private automobiles.

Subsection 5 (a) (5) (A) provides for the health of employees overseas by permitting the payment of travel expenses to the nearest adequate facilities when local medical facilities are inadequate. The Committee on Armed Services added the words "full time" before the word "employee" as it appears in the section in order to eliminate any possible misinterpretation of this section which might arise in connection with part-time employees working in minor part-time positions at overseas posts.

Subsections 5 (a) (5) (B) and (C) provide for the establishment of first-aid stations at posts where the number of personnel warrants such stations, and payment for the cost of treatment of injury incurred in line of duty overseas. Again the committee added to words "full time" preceding the word "employee" in section (5) (a) (5) (C) to eliminate any possible misinterpretation of this section which might arise in connection with part-time employees employed in minor capacities in overseas bases.

Subsection 5 (a) (5) (D) provides for physical examination of all employees of the Agency and for the cost of inoculations or vaccinations. It should be noted that here the committee did not add the words "full time" preceding the word "employees" in order to assure the physical examination and inoculation or vaccination of all full-time and part-time employees of the Agency.

Subsection 5 (a) (6) provides for the cost of preparing and transporting the remains of an employee, or members of his family, who may die abroad.

Subsection 5 (a) (7) provides for the costs of travel of new appointees and their dependents from their place of actual residence abroad to the place of employment by the Agency. A safeguard is added in the proviso requiring reimbursement if the employee does not remain with the United States Government for a period of 12 months. This section will permit the Agency to recruit foreign nationals abroad where American personnel are not available, which is of particular importance in the recruiting of foreign-language specialists.

Section 5 (b) provides allowances for Agency employees similar to those given to Foreign Service employees and officers, including leave allowances, cost of leave expenses, extraordinary expenses, and others.

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