357.AC/12–850
Memorandum by the Secretary of State to the President
Subject: Contribution to the Palestine Refugee Program
I request your reconsideration of your decision of December 6 dealing with the United States contribution to the Palestine Refugee Program, which contained a proviso that the United States share for the total agreed program should not exceed 50%.
In view of the interest of the Bureau of the Budget in this matter, I am sending a copy of this memorandum to Mr. Lawton.
The following are the grounds for recommending reconsideration:
- 1.
- The National Advisory Council, in its Action No. 432, perceived no objection to United States participation in this program involving contributions on a grant basis estimated at $50,000,000 from interested member countries for the fiscal year 1952. The Council further stated that it perceived no objection to a United States contribution to the above program not in excess of $35,000,000 and stressed that every effort should be made to obtain contributions from other member countries approximating 50% of the total. The Department, in asking for authority to negotiate only up to 60%, has limited its request to a minimum margin for purposes of negotiation, and it is hoped that a figure may be arranged under 60%.
- 2.
- The United Nations urged that negotiations be held at the United Nations in order to assure the success of the program and avoid the dangers of haphazard financial support available to the Agency. If these negotiations fail, it will impair a program important to our national security. While it has been our position that the United States contribution should be limited to 50% if possible, the program should not be permitted to fail for the sake of the marginal $5,000,000.
- 3.
- Specifically, developments in the negotiations now underway at Lake Success indicate that the United Kingdom may be willing to contribute as much as $10,000,000, though their willingness as expressed to the Department is limited by the stipulation that their contribution be in the ratio of 1–3 as compared to the United States contribution. There is an indication from Israel of a contribution of the equivalent of $1,500,000. The Delegation will make every effort to secure widespread support from others, and the Department has sent appeals through our missions to many countries. It is most unlikely, however, that other nations will contribute enough to meet 50% of the amount. It must be recognized that there are many countries who will not contribute at all, such as the Soviets and the satellites, and that other nations lack the interest or the resources, or both, to contribute in proportion to their contributions to the regular United Nations budget or to make any contribution.
- 4.
- Our own interests in this program, which involves our national security, have been sufficient to obtain Congressional support for appropriations requested by the Department with no cut whatsoever in such requests for fiscal 1950 and fiscal 1951. The current crisis accentuates our interest in the area.
- 5.
- The issue may turn on whether the program should be continued under the auspices of the United Nations or must be carried on as a combined program of the United States and the United Kingdom. In view of action already taken in the General Assembly, with United States support, calling for a United Nations program, the Department would prefer not to carry out the operations on a bilateral basis. It is desirable for the United States not to assume any direct responsibility for refugee relief and rehabilitation, taking into account the background of the conflict in Palestine.
For these reasons, the Department requests authority, if the Delegation finds it impossible to obtain pledges for 50% of the amount required from other countries, to negotiate for a United States share not in excess of $30,000,000, or 60% of the $50,000,000 program.