192. Memorandum From the President’s Assistant for National Security Affairs (Brzezinski) to President Carter1

SUBJECT

  • Waiver of $40 Million Ceiling on FY 1977 Military Assistance, Credits and Guaranties for African Countries Under Section 3(b) of the Arms Export Control Act, as Amended.

I attach at Tab B2 a memorandum from the Secretary of State recommending a Presidential Determination (at Tab A) to waive the $40 million statutory ceiling on the total (excluding training) of grant military assistance and foreign military sales (FMS) credits and guaranteed loans to African countries in FY 1977. This waiver will permit implementation of FMS financing programs, especially progress payments on prior purchases. The Act permits you to waive the ceiling when you determine that a waiver is important to US security, and promptly so report to the Congress.

The $40 million ceiling has ceased to be a realistic limitation and has been waived successively in recent years. There is strong indication that Congress assumes that the ceiling will again be waived. Our planned FMS financing in Africa for FY 77 totals about $108.5 million.

Your waiver of this ceiling will not conflict with our policy of restraining conventional arms transfers. The Secretary of State will report your Determination of Waiver to Congress on your behalf and provide Congress with the Justification at Tab C.

At Tab D lies OMB’s memorandum concurring in the Determination of Waiver.3 It also points out that your making this determination would constitute approval of an increase in FY 77 FMS financing in Tunisia from $15 to $25 million. Neither I nor OMB find any difficulty with such an increase. Further, OMB points out, and I concur, that this increase is unlikely to raise questions on the overall arms transfers policy, since the 1978 FMS credit program includes $25 million for Tunisia. Accordingly, if you agree, your approval of this increase will be transmitted to State upon your signing the Determination.

[Page 459]

RECOMMENDATION

That you sign the Presidential Determination at Tab A waiving the $40 million ceiling on FY 77 military assistance to Africa, as set out above, and approve the additional $10 million for Tunisia at Tab D.4

  1. Source: Carter Library, National Security Affairs, Brzezinski Material, Brzezinski Office File, Country Chron File, Box 50, Tunisia. Confidential. Highland initialed for Brzezinski. Carter initialed the memorandum.
  2. Tabs A–D are not attached. Tab B is printed as Document 190.
  3. Printed as Document 191.
  4. Beneath the recommendation, Dodson wrote: “signed Tab A 8/12/77, approved Tab D 8/12/77.” Presidential Determination No. 77–19 and the justification, August 12, are in the Carter Library, National Security Affairs, Brzezinski Material, Brzezinski Office File, Country Chron File, Box 50, Tunisia.