Foreign Relations of the United States, 1952–1954, The American Republics, Volume IV

839.00 TA/10–3053

Memorandum by Harvey R. Wellman of the Office of Middle American Affairs to the Deputy Assistant Secretary of State for Inter-American Affairs (Woodward)¹

confidential

[Washington,] October 30, 1953.

Subject:

• Point IV Program in the Dominican Republic for FY 1955

In the attached memorandum dated June 22² you suggested that we should examine carefully our technical assistance program in the Dominican Republic in order to decide whether the money and effort expended are justified. MID has been presented with the tentative budget for fiscal 1955 for the Dominican Republic, a copy of which is attached for your information.³ After consideration by the Bureau of the Budget, the proposed program will again be submitted to us for more extended comment.

While the fiscal 1955 program is $125,000 more than the one for 1954 ($481,000 compared to $356,000) it is about the same in terms of activities and training grants, and smaller in terms of the number of technicians. The lower budget figure for 1954 is due primarily to the lag in assigning technicians and getting programmed activities going.

I do not believe it would be desirable to suggest that the program be curtailed to a level below that proposed for FY 1955. Official treatment of American business has been more favorable over the past year and our relations with the Dominican Republic seem to be on a more cordial basis than at any time since World War II.

On the other hand, I do not think we would be justified in increasing the program appreciably. The Dominican Government has the money and the inclination to contract for technical assistance from private sources. Moreover, it has poured considerable funds into non-productive enterprises, notably armaments, which could have been used for the public welfare.

If you agree, we will inform FOA that ARA approves the tentative budget for the Dominican Republic for FY 1955.⁴

1. Drafted by William B. Connett of the Office of Middle American Affairs.
2. The referenced memorandum by Deputy Assistant Secretary Woodward to Messrs. Burrows, Wellman, and Connett is attached to the source text, but not printed.
3. Not printed.
4. In a memorandum to Mr. Wellman. dated Nov. 3, 1953, Deputy Assistant Secretary Woodward stated in part the following: “I agree that ARA should approve the tentative budget for the FOA in the Dominican Republic for FY 1955.” (839.00 TA/10–3053)