65. Letter From the Administrator of the Agency for International Development (Hannah) to President Nixon1

Dear Mr. President:

I am pleased to be able to report that A.I.D. has made solid progress in moving in the direction of your new foreign assistance concepts and approaches. Despite the uncertain fate of the legislative proposals submitted to the Congress earlier this year,2 we are—within the constraints of existing legislation—moving to translate your announced policy objectives into effective operation.

The attached summary highlights the results of our more significant transitional efforts.3 We have [Page 158]

  • —separated economic security assistance from development programs within the A.I.D. structure;
  • —substantially reduced A.I.D. direct-hire American staffs abroad;
  • —implemented promptly your decision to untie aid financing for procurement in the developing countries4 and materially simplified A.I.D.’s procurement policies and procedures;
  • —made substantial progress in concentrating our technical assistance programs in priority sectors, eliminating weak projects, and achieving further reductions in related staffs abroad; and
  • —moved in the direction of centralizing our lending operations in Washington. They have been spread around the world in our country missions.

We are well along with a number of special studies in other areas designed to further streamline operations and to improve our responsiveness to development requirements abroad. There is every prospect that these studies will produce equally encouraging results in advancing your foreign aid policies.

Finally, Mr. President, I am pleased to be able to assure you that our A.I.D. staff, both here and abroad, are working toward these objectives with a dedication and creativity I find gratifying.

Respectfully yours,

John A. Hannah
  1. Source: National Archives, RG 59, Central Files 1970-73, AID (US) 1. No classification marking. Attached to a September 22 memorandum from Rogers to the President informing him that Hannah had requested that he forward the letter.
  2. The foreign assistance reorganization legislation submitted to Congress on April 21 (see Document 60) was not enacted.
  3. Not printed.
  4. See Document 136.