34. Memorandum of Agreement Between the Department of State and the Central Intelligence Agency1

I. Purpose

This agreement is entered into between the Department of State (hereinafter referred to as the Department) and the Central Intelligence Agency (hereinafter referred to as CIA), to make administrative provisions for budget and finance procedures pertaining to the support of overt assignments of personnel of the Department (including Foreign Service personnel) to CIA Washington and field activities in the continental United States. This agreement also provides a basis for such other budget and finance arrangements as may be mutually agreed upon. This agreement does not cover those personnel details of a temporary nature [less than 1 line not declassified], or regular interservice assignments as provided for in the Foreign Service Act, or other nonreimbursable assignments mutually agreed upon. This agreement will cover all assignments of Departmental personnel now or hereafter made to all CIA Washington and domestic field office activities unless for security reasons appropriate officials determine that reimbursement should be made under the terms of the “covert” arrangements. Appendices may be added or amendments made to this agreement to cover other budget and finance arrangements of an overt nature as mutually agreed upon in writing by appropriate officials of the Department and CIA.

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II. Salaries

Advances will be made to the Department at the beginning of each quarter. Such payments will be based upon the salary compensation paid by the Department since other direct costs will be borne by CIA. Quarterly estimates will be based on known and anticipated needs for each quarter by grades, positions, and types of officials assigned. Adjustments will be made for over or under-payments for the preceding quarter. Fourth quarter adjustments should not normally be necessary.

III. Travel Arrangements

Any required temporary duty travel in the United States will be covered by appropriate CIA authorizations and all expenses will be paid to the officials concerned by CIA. Travel from overseas posts to the continental United States prior to detail to CIA and, in the event of assignment for overseas duty, the travel, salary, and other expenses incident thereto will be handled under the terms of costs arrangements consummated for such purposes.

IV. Liaison2

Liaison between the Department of State and the Central Intelligence Agency pertinent to this agreement shall be controlled at points designated by each agency for policy clearance, administrative coordination and implementation, and budgetary planning and reimbursement as follows:

The Policy Clearance Liaison Official shall be responsible for securing or ensuring operation and policy clearance, and establishing security standards for each activity requiring administrative support, and for advising the appropriate Administrative Liaison official thereon.
The Administrative Liaison Official of each Agency shall be responsible for intra-agency administrative coordination, implementation and maintenance of established security provisions.
The Budgetary and Finance Liaison Official shall be responsible for the establishment of cost factors, the transfer of funds between [Page 63] Agencies, and the accomplishment of the necessary budgetary planning and allotment adjustments.
Additional liaison points at appropriate working levels may be established at the discretion and under the control of the Administrative Liaison Official.
Each Agency will determine if one or more officers will be designated to represent it in the discharge of the liaison responsibilities listed in a, b, and c above.

W. H. Jackson

Deputy Director of Central Intelligence
C. H. Humelsine
Deputy Under Secretary for Administration
Department of State
  1. Source: National Archives, RG 59, INR Historical Files: Lot 58 D 776, State–CIA Relationship 1949–56, Box 2. Secret.
  2. In a November 2 letter to DCI Smith, Humelsine reaffirmed the Department’s liaison officers and agreed to establish an administrative control officer in the Office of the Special Assistant, Intelligence and Research, “to coordinate Departmental administrative support to CIA on all covert and overt matters except those pertaining to OPC.” (National Archives, RG 59, Central Files 1950–54, 103.11/11–150) Deputy Director of Central Intelligence Jackson’s letter to Humelsine, November 28, acceded to the Department liaison arrangements, named the CIA liaison officials, and enclosed copies of the covert and overt agreements for signature. (Ibid., 103.11/11–2850) The Department accepted the CIA’s designated liaisons and signed each agreement. (Letter from Humelsine to Jackson, December 5; ibid., 103.11/12–550) The text of the December agreements has not been found.
  3. Printed from a copy that indicates the memorandum was signed by Jackson on November 28, and Humelsine on December 4.