227. Memorandum From Les Janka of the National Security Council Staff to the President’s Assistant for National Security Affairs (Scowcroft)1

SUBJECT

  • Limitations on Chile in Security Assistance Legislation

You inquired about the details of limitations on military and economic assistance to Chile contained in the security assistance legislation now under consideration. The House-passed bill contains a Buchanan amendment which terminates military assistance including FMS credits but permits cash sales. The House bill further contains a Fraser amendment which [Page 617] limits economic assistance levels to Chile to a total of $25 million in the transition quarter and FY 77; we requested $68 million. (House provisions at Tab A)

The Senate version of the bill, which will be debated tomorrow, contains a Kennedy amendment which imposes a total embargo on military assistance or sales to Chile effective on the date of enactment of the bill. Such a provision would cut off the pipeline and even sales of spare parts would be banned. (The language of the Kennedy amendment is at Tab B) The Senate bill contains no ceiling on economic assistance to Chile, but Kennedy plans to introduce a floor amendment incorporating Fraser’s ceiling provision.

Consistent with the position approved by the President in our memo of May 18, we will work to have the House-Senate conference accept the House version over that of the Senate since Buchanan’s amendment permits cash sales and a continuing flow of spare parts for U.S. equipment already in Chile. We will strongly oppose adding a ceiling on economic assistance on the Senate floor and work for deleting the Fraser amendment in conference. Our prospects for achieving this result are not bright. Senator Humphrey has indicated that he can offer no assurances on Chile, since he will have to give the liberal forces something to ensure deletion of the concurrent resolutions on human rights and protect our Korea levels. Unlike our Korea program, Chile does not have the support of the farm bloc or the arms industry since its program is so small. A call from you to Humphrey stressing the importance of at least a $50 million assistance level (exclusive of OPIC guarantees and CCC credits) would be very useful.

  1. Summary: Janka informed Scowcroft that the Administration would work to have the House-Senate Conference Committee accept the House version of the Security Assistance Bill, which would allow cash sales of matériel to Chile.

    Source: Ford Library, White House Central Files, Subject File, Box 23, FO 3–2/CO 27–CO 54. No classification marking. Sent for information. Brownell concurred. Scowcroft wrote “Thanks” on the first page of the memorandum and initialed it. The text of the Buchanan and Fraser Amendments is attached at Tab A, and the text of the Kennedy Amendment is attached at Tab B. The May 18 memorandum has not been found. In telegram Hakto 7 from Santiago, June 7, Kissinger informed Scowcroft that the “Kennedy proposals for a cutoff of all military sales and transfers to Chile would be disastrous to our efforts in Chile and elsewhere in the hemisphere. I want now to ensure that everything is being done to block this. If the situation is as serious as it appears from here, the President should be brought in.” (Ibid., National Security Adviser, Trip Briefing Books and Cables for Henry Kissinger, 1974–1976, Box 25, June 6–13, 1976–Latin America, Hakto) In telegram Tohak 12, June 9, Scowcroft replied that the White House would work to keep the Fraser Amendment from being added to the Senate version of the bill and to have the Kennedy Amendment removed from the final text in the House-Senate conference committee. (Ibid., 6/6–13/76 Latin America, Tohak, 1)