Approved For Release 2000/08/07 : CIA-RDP96-00788ROO1200020014-3 .QLrn) F.-, 17 NOT RELEASABLE TO FUREIGN NATIONALS 14,,~MI-ISH 1113,1 E CJ': GRILL FLAME (U) can be (letermined can meet INSCOM's requirements at the least 1,ossible cost 9M aa_gq.~~ (NOTE: DIA proposal states $120K -from Army INSCOM r,ll to be fLinded for an SRI effort. DIA maintains that Army had previously agreed verbally to provide $150K, then $120K and now possibly even less than $120K. Both LTC Watt and MAJ Stoner oisagree and LTC Watt has a Memorandum for Record to back up -a t ement. (2) (S/NOFORN) DIA Made a unilateral decision to send DIA primary contract.monitor to SRI, Menlo Park, CA on Thursday or Friday 22d of August. This was done prior -to the MOU being ,:~ippr~oved by Director, DIA; Army, and Air Force ACSIs. NOTE: DIA ~;-~-ates no one objected to the primary col~tract monitor going to the Vlest. Coast at the 18 Aug 80 meeting, Both LTC Watt and MAJ Stoner have gone on record previously objecting to the need for the contract monitor to physically locate himself at SRI for the following (a) (S/INOFORN) If the GRILL FLAME Committee is in f,ict. joint, tt-.ie DIA has no right to make a unilateral decision such a~_1; they have prior to the MOU being signed. NOTE: DIA feels since SG1J 1,17A is funding ~~ move it is no one else's problem, We feel i.f' Lhis decision is critized, DIA, Army, and Air Force will jointly hk? held responsible since we are a joint committee. (b) (S/DIOFORN) If the primary contract monitor is !,X,ated on the West; Coast with SRI, we question how he can best ni~,,)nitor all additional contract efforts elsewhere. NOTE: DIA 1_!wtels since SRI is best qualified in this project they will now, 'ild probobly contintie -to receive most of the contracts, therefore, 4-- makes sense to maintain the contract monitor at that location. (c) (S/NOFORN) The move of the primary contract monitor SHI tot' ally disregards the recommendation of the Department of iie Army GRILL, FLAME Scientific Evaluation Committee Report, dated )t-cember 79, page 1.0, para 3b. "Dependence on the SRI approach :0iould be phased out," NOTE: DIA feels the Gale Report is biased ,i!)d GRILL FLAME was doomed before it started, therefore, no one is 111i-)irig to accept its recommendations (especially when we are using :;ro(ram III funds vice Program VI. 2 NJ) g 'z NOT R-U-A`P~BLE TO 1JU FOREGI'N NA110NALS Approved For Release 2000/08/07: CIA-RDP96-00788ROO1200020014-3 Approved For Release 2000/08/07 : CIA-RDP96-00788ROO1200020014-3 rr; ri (r-)) rn) Fr: NOT RELEASABLE TO i~) 7 )9L~qnL U FOREGN NATIONALS D,`\MI-ISH 5-~JBJECT: GRILL FLAME (U) (di (S/NOFORN) The move of the contract monitor to Si.`iT potentially decreases the operational security the project. of Itil Puthoff and Russ Targ are well known as so-called experts in the PSI area. 'I ''o move a DIA contract monitor to closely with work Lhem makes it difficult to deny DOD interest in PSI. NOTE: it a u ears DIA believes both LTC Watt and MAJ Stoner "ha e it in" P SGU f-)r Dr. Verona's office, specifically and all of these SGU u'DJections are directed at ~~ At the risk of be ing accused of parochialism, MAJ Hay does not believe this to be the case. SGU LTC Wat and MAJ Stoner believe that~~from the VA ry ersor 1 gains, h 9 1 A 1:,,e nnin co tructed iimself a positio at for p ~:I r a i ,71"'d e thih "man" at that he s illfull, sold -the idea th t heYshould b i 4- .3 TX V 1_" C4-J Lb ca J-L 1 IJ Ur / 4 11F t,% A, 1 ft 3 A 6 P, O f (13) IMPACT: ~A. (S/NOFORN) If our proposed draft MOU is approved, INSCOM wi.11 likel- y fund $70K for contracts with SRI. SRI initially felt IfIdt -l'.t would be necessary to fund $50OK to maintain an adequate ,)Y-oc1ram in PSI but r(_--~duced that figure to $450K. That figure was fc.rt.her reduced -to $390K for FY 81 by the GRILL FLAME Committee. 7,,;-(,()rdinr1 to DIA, this wi]L cause SRI to reduce the number of per- _~)nneD working the project. If Army INSCOM further reduces the d~,~Ilar figure SRI may pull out of the program. DIA firmly !)L.-Iieves SPI, as configured with current personnel, is a national MAj Hay thinks that is stretching things a bit far, but d0t2S believe SRI efforts should continue if they can produce DOD r,(.--quirements bettE!r than any other contractor at the least possible to DOD. 'If SRI did pull out, DIA's primary contract monitor ,V,jould be left (31-n the West Coast to monitor nothingAr- ssibly causing the contract monitor to bring civi.1 suit against 3,&D for creating ,imlily hardships, loss of funds, etc. This would cause an embarrass- ijiq situation for LTG Tighe and Dr. Verona. Although Army and Air l'orce are not formally a part of the Joint Services GRILL FLAME .(lmmittee (no signed MOU) we have been very informally involved -irice 1978. This could cause some embarrassment to Army/Air Force. 1). (S/NOFORN) If SRI does riot "pull out" and the DIA monitor remains at SRI, there may be at a later date some question dealing with the objections listed in paragraph 2(a)(b)(c)(d) above. Additionally, -there is the potential for questions to arise dealing wiL-Ji possible conflict of interest, e.g., other contractors question 1-he DIA primar,,/ contract monitor located at SRI offering work to (Aher contractors without bias. 3 Z R1 IA 'MA 0 77 79 NOT REIIASA KE TO FUREM NATiONALS Approved For Release 2000/08/07 : CIA-RDP96-00788ROO1200020014-3 Approved For Release 2000/08/0~ -00788R001 200020014-3 NOT RELEASABLF TO F 0 R EG N rj, A 11 ONA L S DAMI-ISH SUBJECT: GRILL FLAME (U) (U) CONCLUSION: a. (S/NOFORN) Dr. Verona is angry because he believes Army 1NSCOM is backing out of its commitment of $120K. His main concern j[_,pears to be the loss of -the $120K from Army to go with the SRI ~Aprogram fox, FY 81. fie feels strongly SRI will pull out if Army reducc':~s the $120K further. 'b, (S/'N0,F0RN) The changing of the proposed MOU does not appear lo bother Dr. Verona, except he does not feel, as program manager, lie has to clear through the GRILL FLAME Committee before talking ,vqith Congress or anyone else about the program. (U) OPTIONS: Fi. (S/NOFORN) Army withdraw from -the Joint Service Program. Advanta(es Disadvantages (1) Freedom to spend Army money (1) We get less for our money when and where we desire. as Joint Service contracts provides benefits from DIA/USAF programs, i.e., exchange of information. (2) Manage our program without (2) Prevents duplication of _(:~ordination/approval of DIA. effort. (3) If SRI as presently staffed should be considered a very valuable asset to Army, the program would suffer if there is no joint service contract. b. (S/NOFORN) Army remain in the Joint Service Program as it IAI 0r#E1""*1 Y40L" Advanta(es i3es (1) Most cost effective. Disadvantages (1) Army cannot spend money where they feel it can obtain best results. (2) Appears to be better managed/ (2) DIA makes unilateral decisions organized (at .1east on paper). without regard to service needs. Decisions could Prove not in best interest of Army. (2~) Keeps the SRI effort going as currently staffed which may or ri,iay not provide DOD with long term "UP fq NOT RELEASABLETO FOREIGiN INATIOULS Approved For Release 2000/08/07 CIA-RDP96-00788ROO1200020014-3 Approved For Release 2000/08/07 : CIA-RDP96-00788ROO1200020014-3 pKffffi~ nDr NOT RELF-EAS)AIRE TO 17~1) GU u ~\ I FOREGN NATIONALS 3)AMI-ISH SUBJECT: GRILL FLAME (U) C. (S,/DIOFORN) Army remain in the Joint service Program but modified as fol-lows- (1) (S/NOFORN) As stated in our proposed MOU (TAB A). (2) (S/NOFORN) Go on record to object to DIA's unilateral decision for sending the primary contract monitor to SRI for reasons listed in paragraph 2a,b,c,d. 4 (3) (SINOFORN) Approve $50K end of year funds to go to DIA to ensure $120K Joint Service Contract for FY 81 continues as '-,]"A be-lieved or stated they believed Army had committed prior. Keeps the Joint Service Program alive at least for one 'Veal,. (1-.,) Should be more cost effective. (,,) Should be bet.ter managed/ or-clantzed. 111 ) SlouLd eliminate duplication of Ff or -,. ) E-3hould provide better exchange (--4' informat-ion. M Should eliminate unilateral cit..!c--isions by DTA. Disadvantaqes (a) Could anger DIA and cause them some embarrassment. (ol Should allow Army INSCOM to obtain ti-aining from con t r actors other than kZ!) Should allow advance RV training ,~,iid o-ther beric-Eicial training for ANSCOM with the SRI team. M F-Irevent possible outside DOD (~rrbarrassment For LTG Tighe and Dr. Veroni-l. 5 n'. N 0 T .9 L V A S B LIE T 0 FOREGN NIATIOINIALS Approved For Release 2000/08/07 CIA-RDP96-00788ROO1200020014-3 Approved For Release 2000AMI P96-00d(PK%jqRP2qg14-3 FORE&A NATIUNALSS T)AMI--ISH SUBJECT: GRILL FLAME (U) RECOMMENDATION: option C; if DIA refuses, go with option A. MAJ Hay/50114 6 A r'P Z;) NOT PELEWSABLE TO 6~ FOREIC1,14 UATWNIALS Approved For Release 2000/08/07: CIA-RDP96-00788ROO1200020014-3