740.00119 Potsdam/7–2145

No. 870
Proposal by the United States Delegation1
top secret

Proposed Draft of Directive To Be Issued by Heads of Governments Responsible for the Control of Germany to Their Respective Commanders of Occupation Forces in Germany

The Governments of the United States, the Union of Soviet Socialist Republics and the United Kingdom have at Yalta and at Berlin agreed to certain policies and principles for the administration of Germany. They have agreed also to accept the provisional government of the French Republic in the quadri-partite administration of Germany.2 Pursuant to the policies agreed at the Yalta and Berlin Conferences and to the declaration regarding the defeat of Germany and the assumption of supreme authority with respect to Germany by the governments of the United States of America, the Union of Soviet Socialist Republics, the United Kingdom, and the provisional government of the French Republic,3 as Commander-in-Chief of the forces of occupation of the United States of America, and its representative on the Control Council, you are herewith directed to present to and support in that Council measures which will effectuate the agreed policies throughout Germany,4 to include:

1. The completion of the program to abolish finally and completely all military organizations, semi-military organizations, clubs and associations which serve to keep alive a military tradition in Germany.

The completion of the program to remove all active members of the Nazi party from positions of prominence and responsibility in public or private life.

The continued search for and arrest of war criminals and the trial of apprehended war criminals as may be agreed by the several governments.

The execution of a reparations program designed to destroy Germany’s industrial war potential as recommended by the Reparations Commission and approved by the several governments represented on that commission.

[Page 807]

2. The establishment of such German administrative machinery as may be necessary for the administration of Germany as an economic unit to provide for such control as the Control Council may deem necessary over German finance, agriculture, industry, trade and distribution.

The interchange of persons, goods and services freely within Germany within the limits of available transportation and facilities to equalize the standards of living within the several zones.

The controlled issue of currency, the preparation of the national budget and such servicing of the public debt as may be deemed necessary.

The development of an export program which will support those imports found essential to a minimum living economy in Germany.

The operation of transportation and communication services throughout Germany.

The operation of a postal service throughout Germany.

Such other measures as appear to require central control to assure the operation of German economy as a unit.

3. The establishment of procedures and regulations for application in each zone which will insure freedom of the press under policies agreed by the Control Council.

The establishment of procedures and regulations which will permit those political parties subscribing to liberal principles to exercise political activity with the right of election of local officials to be discretionary with the Commander-in-Chief in each zone as security conditions may indicate such elections to be warranted.

The establishment of procedures and regulations which will provide for the coordination of the information and education programs to be executed in each zone and to be directed to a reorientation of German thought.

The establishment of procedures and regulations for the coordination of public health and welfare within the several zones.

The establishment of procedures and regulations which will permit the formation of trades unions as rapidly as such unions can be established with security taken into consideration.

4. The decentralization of all functions of government which do not require central supervision for the operation of Germany as an economic unit to the fullest extent possible to lesser political subdivisions to recreate a sense of local responsibility for government within Germany.

Within the policies which have been accepted by the governments represented on the Control Council, you are herewith granted full authority to enter into and effect the requisite agreements to all measures presented in that Council which are necessary to the execution of those policies. You may delegate such of this authority as you deem desirable to your representative on the Coordinating Committee to facilitate and expedite the execution of the agreed policies for the administration of Germany.

  1. Notice of the submission of this paper was given at the Fifth Meeting of the Foreign Ministers, July 22 (see ante, p. 238), and the subject was referred to the Foreign Ministers at the Sixth Plenary Meeting, July 22 (see ante, pp. 246 247).
  2. Concerning the decisions of the Yalta Conference referred to, see document No. 1416, section iv, and document No. 1417, section ii.
  3. Signed at Berlin, June 5, 1945 (Treaties and Other International Acts Series No. 1520; 60 Stat. (2) 1649).
  4. At this point the draft submitted to Byrnes by Clay (see document No. 869) had the following additional words: “exclusive of such areas as may have been ceded by agreement of the four governments to other nations”.