Foreign Relations of the United States 1977–1980; Volume XV; Central America, 1977–1980

454. Memorandum of Notification Prepared in the Central Intelligence Agency for the Special Coordination Committee¹

Washington, December 19, 1980

SUBJECT

• Additional Funds in FY 1981 for the Covert Action Program in El Salvador

1. CIA proposes a continuation and expansion of its covert action program in El Salvador in a manner consistent with the Presidential Finding of 2 November 1979.² This will require additional funds, bringing the FY 1981 total to $1 million. This amount can be accommodated with the FY 81 budget amendment for covert action on which Congress has just acted favorably.

2. Background: The above-cited Presidential Finding authorizes the provision of resources and training to assist moderate elements in El Salvador to resist the efforts of Cuban-supported and other guerrilla groups to subvert or overthrow the government. At the same time, we are to encourage the government to carry out needed political, economic, and social reforms and to provide training and assistance to Salvadoran intelligence and security forces. In October 1979, the SCC approved $635,000 for the program, all of which was spent during FY 1980.³ On 6 October 1980 the Chairman of the SCC authorized the continuation of funding at the FY 1980 level of $635,000, with a statement that the funding level could be adjusted at a later date.⁴

3. The Situation in El Salvador: After more than a year in office, the Revolutionary Junta of Government (JRG), composed of representatives of the military and the Christian Democratic Party (PDC), continues to fight for its survival. Although it has avoided complete polarization of the country between the right and left, it has not been able to stop the increase in violence. It has instituted a number of important reforms that have greatly diminished the power of the oligarchy, but some additional reforms that might have established a larger popular base for the JRG are still under discussion, while others are too new for the people to feel their full impact. Meanwhile, growing pressures are being created by a deteriorating economy and increasing violence, of which the murder of American nuns is the most recent and critical instance. Our program is believed to have made a substantial contribution to U.S. Government efforts to keep the JRG alive and functioning. Efforts also were made to improve the domestic and international image of the JRG, to promote and publicize significant government reforms, and to improve resistance to Cuban and terrorist subversion while encouraging better protection of human rights in the difficult atmosphere of nearly total polarization.

4. Program Activities and Expenses in FY 1980 and FY 1981:

a. Of the $635,000 approved for FY 1980, approximately [dollar amount not declassified] was spent to provide training, training materials and defensive technical equipment to Salvadoran security and intelligence services. [2 lines not declassified] Training courses and programs included covert intelligence collection and processing, terrorist incident management, safe search procedures, bomb detection and disposal, protection of senior officials, captured document analysis, and exploitation of defectors. This training is believed to have had a positive effect on the morale and effectiveness of the limited number of units involved. Follow-up training to be conducted in FY 1981.

FY 1980 Cost [dollar amount not declassified]

FY 1981 Cost [dollar amount not declassified]

b. The balance of FY 1980 funds were committed to a variety of covert action operations designed to support JRG and assist other moderate sectors to strengthen the political center, attract support away from extremist groups, and generally to promote a more peaceful climate conducive to the holding of the general election promised in 1983. Specifically:

(1) [1 paragraph (3 lines) not declassified]

FY 1980 Cost [dollar amount not declassified]

FY 1981 Cost [dollar amount not declassified]

(2) [less than 1 line not declassified] guidance and support to a propaganda and public relations campaign being conducted by the JRG to improve its domestic and international image. During FY 1980 [less than 1 line not declassified] funded the visits of two experts in public relations and political action/propaganda operations who worked directly with senior JRG officials on this campaign. [3 lines not declassified] to publicize JRG accomplishments and to help counteract the negative image generated by representatives of the far left and by Soviet/Cuban propaganda. Plans for FY 1981 include the preparation of a documentary film suitable for both television and movie audiences. The film [1 line not declassified] and will be replayed worldwide.

FY 1980 [dollar amount not declassified]

FY 1981 [dollar amount not declassified]

(3) Substantial funds have been committed to support the PDC. These funds have been used by the party to conduct an extensive campaign to improve the domestic image of the JRG/PDC by explaining and publicizing the government’s reform programs. More recently, the PDC has undertaken a major international campaign “to disseminate the truth about the peaceful revolution which is being carried out in El Salvador.” The party has now completed a short film and a book called “La Verdad in El Salvador” for use by PDC representatives travelling abroad. A high-level party delegation has already visited five Latin American countries and will be touring Europe in the near future. Funds committed in FY 1980 included a [dollar amount not declassified] package program for this international campaign that will extend into FY 1981. Funds requested for FY 1981 will cover the continuation of this international campaign but will also support PDC efforts to rebuild the party’s organizational structure and grass roots support in preparation for the election.

FY 1980 [dollar amount not declassified]

FY 1981 [dollar amount not declassified]

(4) Funds provided to an important independent labor leader were used to organize democratic labor unions, especially in rural areas where the far left is proselytizing, and to propagandize against the terrorist activities of the far left. Through the efforts of nine full-time labor organizers [1 line not declassified] these democratic unions are estimated to have gained about 20,000 new members plus approximately 60,000 supporters of affiliates who have accepted union leadership without becoming formal members. Propaganda has included news segments shown in local theaters as well as newspaper and radio placements. [4 lines not declassified]

FY 1980 [dollar amount not declassified]

FY 1981 [dollar amount not declassified]

(5) [1 paragraph (9 lines) not declassified]

FY 1980 [dollar amount not declassified]

FY 1981 [dollar amount not declassified]

(6) New activities underway or planned for FY 1981 include: the development of a [less than 1 line not declassified] propaganda capability to support the objectives of the Presidential Finding [dollar amount not declassified] assistance to [less than 1 line not declassified] and other business/industrial groups that support the JRG to help develop domestic and international programs to stimulate understanding and support for government programs [dollar amount not declassified] and reformation of a [less than 1 line not declassified] that would support a peaceful path to an elected democratic government and attract those with a social democratic government and attract those with a social democratic orientation away from violent groups [dollar amount not declassified]

FY 1980	$ —
FY 1981	$100,000

5. Policy Authority: The activities proposed in this program for FY 1981 are consonant with the proposal reviewed by the SCC in October 1979 and the consequent Presidential Finding. We are notifying committee members of a higher level of spending consistent with the request just approved by the Congress and there are sufficient funds [1 line not declassified].

6. Deadline: The situation in El Salvador is such that your urgent attention is requested. Please forward any comments to [1 line not declassified] by close of business 31 December.⁵

1. Source: National Security Council, Carter Administration Intelligence Files, Box I047, El Salvador, MON, 19 December 1980. Secret. Dodson sent the memorandum to Mondale, Muskie, Brown, Civiletti, McIntyre, Jones, and Turner under a December 24 memorandum. (Ibid.)
2. See Document 398.
3. See Document 396.
4. Not found.
5. For more on the ongoing covert action in El Salvador, see Document 456.