136. Memorandum From the Assistant Secretary of State for Inter-American Affairs (Holland) to the Secretary of State 1

SUBJECT

  • Authorization to Negotiate for Lease of Radar Sites in Panama

Discussion:

In November 1955 the Republic of Panama was requested by this Government to make available under Article II of the 1936 Treaty, a copy of which is attached2 two hilltop sites within the Republic for radar installations connected with the defense of the Panama Canal. The two sites within Panama are desired because they would afford more effective coverage than sites available in the Zone. In May 1955 Panama rejected the United States’ request as improper under Article II of the 1936 Treaty, but in doing so intimated that she would be willing to enter into negotiations for a new treaty regarding the use of these sites.

The Department believes the request to have been properly made under Article II and declines to enter into a further formal treaty with Panama on this subject or to offer new concessions to Panama as an inducement to her to fulfill her treaty commitment under Article II. Under Article II of the 1936 Treaty, however, a further agreement with respect to any additional lands made available is envisaged. Accordingly, the Department is prepared to offer to negotiate an agreement limited to a lease governing the use of these sites, as was done in 1942 and 1947 for the acquisition of defense sites in Panama. The Department of the Army is requesting the Department of State to negotiate such a lease under the legislative authorization contained in Public Law 161, 84th Congress, 1st Session which provides: “The Secretary of the Army is authorized to establish or develop classified military installations and facilities by the acquisition of land and the construction, rehabilitation, or installation of permanent or temporary public works, including site preparation, appurtenances, and related utilities and equipment, in a total amount of $223,993,000.”3

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Recommendation:

That you authorize the negotiation of an executive agreement with Panama regarding sites for radar installations.4

  1. Source: Department of State, Central Files, 719.561/6–1456. Confidential. Drafted by Sowash and concurred by Herman Phleger, the Legal Adviser. Dulles initialed his approval of this memorandum on the source text.
  2. Not printed.
  3. For the full text of P.L. 161, approved July 15, 1955, see 69 Stat. 324.
  4. In telegram 361 to Panama City, June 14, the Department stated its belief that the United States could base its request to Panama for radar sites on Article II of the 1936 Treaty and that no further treaty rights would be necessary. The telegram reads in part:

    “Department therefore declines enter into further formal treaty on this subject or to offer concessions to Panama as inducement fulfillment her treaty commitments. It does agree however as in 1942 and 1947, to negotiate agreement in form of lease governing use sites which could be subject approval or ratification by Panamanian Assembly. No extraneous subjects will be considered in these negotiations. Panama will be expected demonstrate good faith in matter by granting permission without delay for survey of sites.

    Inform Foreign Minister above sense. Department contemplates negotiation such agreement conducted by Embassy on basis CinCarib’s drafts cleared by Department.” (Department of State, Central Files, 611.1913/6–156)

    On June 19, Ambassador Harrington delivered a letter to Foreign Minister Boyd incorporating the points set forth in telegram 361.