700.5 MSP/7–1254
Memorandum by the Special Assistant to the Secretary of State for Mutual Security Affairs (Nolting) to the Secretary of State
confidential
Washington, [July 12, 1954].
- Subject:
- Position re Mansfield Amendment requiring abolition of FOA January 1, 1955, and transferring its functions to State and Defense.
This proposal, introduced this morning by Senator Mansfield, had strong support from the Democratic side and some support from the Republican side. Had the vote been taken this morning, it appeared that it would have been either a tie vote, 6–6, or 7–5 in favor. Senator Knowland moved that consideration be postponed until you could be heard on the question.
Principal arguments against the amendment follow:
- 1.
- The President stated in his message to the Congress of June 231 that the FOA is performing “a necessary function and should be continued.” (This was brought out in the debate this morning.)
- 2.
- The Secretary of State cannot be expected to give his personal attention to the operation of this very large program, including the essential coordination of military and economic aspects, and have any time left for the considered development of foreign policy.
- 3.
- The time limit of five months set in the amendment for the abolition of FOA is too short to permit an orderly transfer of functions without serious disruption of operations in a very critical period.
- 4.
- In the eleven months of operation of the FOA, satisfactory arrangements have been worked out to assure that the United States speaks with one voice abroad on all aspects of foreign policy matters. These arrangements are under constant review and are being perfected.
- 5.
- The reduction in the Aid program this year, and the shift toward agricultural surpluses and loans in lieu of granting economic aid, are evidence of the Administration’s concern to reduce and to modify this program as rapidly as possible consistent with the national interest. The manner of administering the program is a matter which should be left to the discretion of the Chief Executive for at least another year, as provided in the legislation passed by the House.