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4520878
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Protection - Procurement of Property for the Protection of the President
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4520878
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Protection - Procurement of Property for the Protection of the President
collections
Philip W. Buchen Files
Philip Buchen's General Subject Files
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Department of Homeland Security. U.S. Secret Service. (2003 - )
Presidential protection
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Presidential residences
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4520878
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1974-12-01
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1974
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1974
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The original documents are located in Box 57, folder "Protection - Procurement of Property for the Protection of the President" of the Philip Buchen Files at the Gerald R. Ford Presidential Library. Copyright Notice The copyright law of the United States (Title 17, United States Code) governs the making of photocopies or other reproductions of copyrighted material. Gerald R. Ford donated to the United States of America his copyrights in all of his unpublished writings in National Archives collections. Works prepared by U.S. Government employees as part of their official duties are in the public domain. The copyrights to materials written by other individuals or organizations are presumed to remain with them. If you think any of the information displayed in the PDF is subject to a valid copyright claim, please contact the Gerald R. Ford Presidential Library. Digitized from Box 57 of the Philip Buchen Files at the Gerald R. Ford Presidential Library THE WHITE HOUSE WASHINGTON Date 8/23/74 TO: PHIL BUCHEN FROM: JERRY H. JONES Could we have your comments and recommendation on the attached as soon as possible. Thank you. July 1, 1974 Dear Bill: Many thanks for your letter of June 28th concerning S. 3515, the measure you have introduced which relates to the procure- ment of property for the protection of the President and Vice President at private residences. I will study this proposal carefully and will be back in touch with you on my comments soon. With warmest regards, Sincerely, William E. Timmons Assistant to the President Honorable Bill Brock United States Senate Washington, D. C. 20510 Sec: Jerry Jones w/incoming to staff a reply on substance and return to WET. WET:SJH:ajb FORD i LIBRARY 076830 BILL BROCK COMMITTEES: TENNESSEE BANKING, HOUSING AND URBAN AFFAIRS GOVERNMENT OPERATIONS SPECIAL COMMITTEE ON AGING United States Senate WASHINGTON, D.C. 20510 June 28, 1974 JUL 1 1974 Mr. William E. Timmons Assistant to the President for Legislative Affairs The White House Office Washington, D.C. 20500 Dear Bill: Enclosed is a copy of S. 3515 along with my intro- ductory remarks. The bill is simple, straightforward, and is based primarily on a report published by the General Accounting Office (number B-155950). Please analyze S. 3515 and the attached remarks and advise me of your reaction to the bill. Any sugges- tions for improvement would, of course, be much appreciated. For the full particulars on any aspect of this bill, contact J.V. Crockett of my staff at 225-9583. Thank you for your assistance. Very truly yours, San BB:cnr Enclosures R. GERALD FORD LIBRARY Congressional Record United States of America PROCEEDINGS AND DEBATES OF THE 93ᵈ CONGRESS, SECOND SESSION Vol. 120 WASHINGTON, TUESDAY, MAY 21, 1974 No. 71 Senate States will incur the appropriate ex- GSA is invited to do more than simply STATEMENTS ON INTRODUCED pense for providing security. I think this execute Secret Service requesst, particularly BILLS AND JOINT RESOLUTIONS is a fair and reasonable condition. We do when requests are vague or general. provide for the President the White GAO believes that these weaknesses call PRESIDENTIAL SECURITY BILL House, as well as Camp David for relax- for the appropriation of funds directly to By Mr. BROCK: ation. One additional house of his the Secret Service to finance reimburse- choice-making a total of three-seems ments to other agencies for certain assist- S. 3515. A bill relating to the procure- ance. In this respect, changes being made ment of property for the protection of to me eminently reasonable. If one does in the financing of GSA public buildings ac- the President and Vice President at pri- not accept this position, then I think tivities will require that the Secret Service vate residences. Referred tó the Commit- we are entitled to ask-what is a reason- obtain appropriations and reimburse GSA tee on Government Operations. able number, and on what grounds is it for protective assistance beginning in fiscal Mr. BROCK. Mr. President, one of the arrived at? Presumably no one would year 1975. unfortunate byproducts of the whole suggest that we spend the money on an GAO believes that the Secret Service Watergate debacle has been the contro- unlimited number of houses a President should take the steps necessary now to in- versy which has swirled around the may want to own. The other parts of the sure that its accounting system will ac- bill I think too are sensible and non- cumulate and classify costs to properly meet money spent for protection at Presiden- the external as well as internal needs for cost tial and Vice-Presidential homes. In the controversial. What they do is to set up data. fevered political atmosphere of the past a straightforward and clear procedure Also, GAO believes that additional control year we have had a whole barrage of for authorizing funds spent on security of expenditures at private residences can be often conflicting accusative claims and and other functions and an equally clear had through the use of independent audits. emotional statements regarding the system of congressional audit and over- Source: GAO report #B-155950; Protec- propriety of expenditures for the Presi- sight. tion of the President at Key Biscayne and San Clemente, p. 4. dent's security. There are certain significant problems I firmly believe that so much of this with our present set up-problems Mr. BROCK. Thus, in line with their could have been avoided if we had de- which the GAO in its report points out. recommendations, a basic requirement of veloped fully adequate procedures for I can do no better than quote their re- the bill is that security money is to be disbursement of funds for this service port and so ask unanimous consent that spent by the Secret Service after it is and a comprehensive set of guidelines part of the summary dealing with budg- certified by the Director or his deputy as regarding their use. It is over 10 years eting, accounting and auditing be necessary for security; and that a sepa- since the assassination of President Ken- printed in the RECORD at this point. rate record accumulated on a current nedy. In the aftermath of that tragedy, There being no objection, the excerpts basis is to be kept by the Secret Service we very naturally exhibited greatly in- were ordered to be printed in the REC- of how much is spent. Then. not later creased concern with Presidential secu- ORD, as follows: than February 1 of each year. the Direc- rity. Now, while no less concerned with BUDGETING, ACCOUNTING. AND AUDITING tor shall submit to the congressional that matter, I feel a general consensus GAO reviewed the experience of 1968-1973 leadership a report detailing the amount exists that some proper and standardized in terms of budgeting, accounting, and spent. what it was spent on, and why set of accounting and reporting proce- auditing with a view to Identifying what the Secret Service deemed it necessary. dures should be established-so that has been done or still needs to be done to Should there be any debate or con- there can be no repetition in the future strengthen control by the Congress and troversy about any of these items, the of our present controversy. promote understanding by the public. GAO will, at the request of the Speaker Pursuant to 1968 legislation the Secretary That is why I am introducing today a of the House, President pro tempore of Service began to draw heavily on GSA an- measure designed to achieve that very propriations made available for Secret Serv- the Senate, or majority and minority goal. It is based firmly and squarely on a ice protective functions with its requests for leaders of the House and Senate. audit study made by the General Accounting assistance. It is GSA policy not to question any part of the report. Property or ob- Office of this issue, and their subsequent Secret Service requests. This arrangement jects which are provided by public funds report. has the following weaknesses. shall. if reasonably possible, be removed GSA funds are not directly associated with after the President or Vice President It is a simple and straightforward bill, Secret Service protective activities during the leaves office-unless required for security and certainly places no restriction on budget preparation and review process. reasons on a long-term basis. future Presidents-other than the con- A casual attitude in authorizing work is Any funds which are spent for uses dition that both the President and the fostered. Because most requests during the Vice President shall each designate one construction period were verbal, who made other than security would be appropri- private residence at which the United requests or precisely what was requested ated directly to the President or the could not be readily determined. Executive Office. He would then make a 938839 LIBRARY report to Congress each year in the same "(1) incurred or made by the Secret or Minority Leader of either the Senate or the manner as the Secret Service's, specify- Service: House of Representatives, the Comptroller ing the amounts spent and the reasons. "(2) certified by the Director or Deputy General shall audit any report under para- Again. if there is any debate, the GAO Director of the Secret Service as necessary graph (1). The Director of the Secret Serv- for the protection of the President or Vice ice shall accord the Comptroller General, in can audit the disputed items. President, as the case may be; and the conduct of such audit, complete access Mr. President, as you can see, the "(3) approved by the Director or Deputy to all records, files, and documents relating measure clarifies the procedure consid- Director of the Secret Service. to each obligation or expenditure covered erably. There can be no more future con- "(b) Any property which is acquired by by the report. troversy about how many residences the the obligation or expenditure of funds in "(f) (1) Any funds used for the purchase, Secret Service has spent money on- accordance with subsection (a), and which lease, construction, installation. or place- every one will know in advance that only can reasonably be removed from the resi- ment of any property at, on, in. or on the one private residence is applicable. dence or grounds thereof shall, upon termi- grounds of, any private residence of the Pres- nation of the term of office of the President ident or Vice President (other than property There will be no more confusion over or Vice President, as the case may be. be acquired by the obligation or expenditure of what was spent on grounds of security, removed from such residence and returned funds in accordance with subsection (a)) and what was not. The security budget to the Director of the Secret Service unless shall be appropriated directly to the Presi- will be separate, clear and open with the the Director determines that such removal dent or the Executive Office of the President. rationale for all expenditures explained. would impair the effectiveness of the Secret "(2) Not later than February 1 of each Service in carrying out any continuing re- Similarly, the money spent at other year, the President shall transmit to the sponsibility under the law to protect the Speaker of the House of Representatives, the Presidential houses for facilities essential President or Vice President after termina- President pro tempore of the Senate. and the for the proper operation of the Presi- tion of such term of office. Majority and Minority Leaders in the Senate dency will be equally clear and explained. "(c) The President and Vice President may and the House of Representatives a report, Any disputes can be resolved by a non- each designate one private residence with setting forth in detail, with respect to the partisan and professional GAO audit. respect to which funds may be made avail- preceding fiscal year- All in all, Mr. President, I feel this able pursuant to subsection (a) of this sec- "(A) the amount of each obligation or bill is a moderate and eminently sensible tion by notifying the Director of the Secret expenditure of funds pursuant to this sub- Service of the residence so selected, and no measure to improve the system of pro- section, including a full explanation of the funds to which subsection (a) of this sec- purposes for which such obligation or ex- viding Presidential security, and to tion applies shall be available with respect penditure has been made; and clarify the budgeting and accounting of to any personal residence other than the "(B) the reasons why he deemed the use funds spent on Presidential property. It one so designated. of such funds proper in each instance. is a bill which I am sure will interest "(d) The Director of the Secret Service "(3) Upon the request of the Speaker of those who wish to end the ambiguities shall cause the record of any obligation or the House of Representatives, the President and confusion of our present system. expenditure made in accordance with sub- pro tempore of the Senate, or the Majority I ask unanimous consent that the bill section (a) of this section to be- or Minority Leader of either the Senate or "(1) reflected, in the accounting system at this point be presented in full in the the House of Representatives, the Comptroller of the Secret Service, in an account separate General shall audit any report under para- RECORD. from accounts of other obligations and ex- graph (2). The President shall accord the There being no objection, the bill was penditures of the Secret Service; and Comptroller General, in the conduct of such ordered to be printed in the RECORD, as "(2) accumulated on a current basis. audit, complete access to all records, files. follows: "(e) (1) Not later than February 1 of each and documents relating to each obligation or S. 3515 year, the Director of the Secret Service shall expenditure covered by the report." Be it enacted by the Senate and House of transmit to the Speaker of the House of (b) The analysis of chapter 2 of title 3, Representatives of the United States of Representatives, the President pro tempore United States Code, is amended by adding at America in Congress assembled, That (a) of the Senate, and the Majority and Minority the end thereof the following: chapter 2 of title 3, United States Code, is Leaders of the Senate and the House of Rep- "§ 112. Procurement of Property for Protec- amended by adding at the end thereof the resentatives, a report setting forth in de- tion of President and Vice Presi- following new section: tall, with respect to the preceding fiscal dent at Private Residences." "§ 112. Procurement of Property for Protec- year- tion of President and Vice Presi- "(A) the amount of each obligation or dent at Private Residences. expenditure of funds in accordance with subsection (a) of this section, including a "(a) Except as provided in subsection (f), full explanation of the purposes for which no funds authorized to be appropriated un- such obligation or expenditure has been der any provision of law shall be available made: and for obligation or expenditure for the pro- "(B) the reasons why he deems the expend- tection of the President or the Vice President iture or obligation of such funds necessary through the purchase, lease, construction, for the protection of the President or Vice installation. or placement of any property at, President. on, in. or on the grounds of, any private "(2) Upon the request of the Speaker of residence of the President or Vice President the House of Representatives, the President unless such obligation or expenditure is- pro tempore of the Senate, or the Majority FORD GERALD LIBRARY 93D CONGRESS 2D SESSION S. 3515 IN THE SENATE OF THE UNITED STATES MAY 21, 1974 Mr. BROCK introduced the following bill; which was read twice and referred to the Committee on Government Operations A BILL Relating to the procurement of property for the protection of the President and Vice President at private residences. 1 Be it enacted by the Senate and House of Representa- 2 tives of the United States of America in Congress assembled, 3 That (a) chapter 2 of title 3, United States Code, is amended 4 by adding at the end thereof the following new section: 5 "§ "§112. Procurement of property for protection of Presi- 6 dent and Vice President at private residences 7 "(a) Except as provided in subsection (f), no funds 8 authorized to be appropriated under any provision of law 9 shall be available for obligation or expenditure for the pro- 10 tection of the President or the Vice President through the FORD a 071839 LIBRARY 11 purchase, lease, construction, installation, or placement of II 2 1 any property at, on, in, or on the grounds of, any private 2 residence of the President or Vice President unless such obli- 3 gation or expenditure is- 4 (1) incurred or made by the Secret Service; 5 " (2) certified by the Director or Deputy Director 6 of the Secret Service as necessary for the protection of 7 the President or Vice President, as the case may be; and 8 (3) approved by the Director or Deputy Director 9 of the Secret Service. 10 " (b) Any property which is acquired by the obligation 11 or expenditure of funds in accordance with subsection (a), 12 and which can reasonably be removed from the residence 13 or grounds thereof shall, upon termination of the term of 14 office of the President or Vice President, as the case may 15 be, be removed from such residence and returned to the 16 Director of the Secret Service unless the Director deter- 17 mines that such removal would impair the effectiveness of 18 the Secret Service in carrying out any continuing respon- 19 sibility under the law to protect the President or Vice 20 President after termination of such term of office. 21 " (c) The President and Vice President may each 22 designate one private residence with respect to which 23 funds may be made available pursuant to subsection (a) FORD 24 of this section by notifying the Director of the Secret 25 Service of the residence SO selected, and no funds to which 3 1 subsection (a) of this section applies shall be available with 2 respect to any personal residence other than the one SO 3 designated. 4 "(d) The Director of the Secret Service shall cause 5 the record of any obligation or expenditure made in accord- 6 ance with subsection (a) of this section to be- 7 " (1) reflected, in the accounting system of the 8 Secret Service, in an account separate from accounts 9 of other obligations and expenditures of the Secret 10 Service; and 11 " (2) accumulated on a current basis. 12 " (e) (1) Not later than February 1 of each year, 13 the Director of the Secret Service shall transmit to the 14 Speaker of the House of Representatives, the President 15 pro tempore of the Senate, and the majority and minority 16 leaders of the Senate and the House of Representatives, a 17 report setting forth in detail, with respect to the preceding 18 fiscal year- 19 "(A) the amount of each obligation or expendi- 20 ture of funds in accordance with subsection (a) of 21 this section, including a full explanation of the purposes 22 for which such obligation or expenditure has been made; 23 and 24 " (B) the reasons why he deems the expenditure or 4 1 obligation of such funds necessary for the protection of 2 the President or Vice President. 3 (2) Upon the request of the Speaker of the House of 4 Representatives, the President pro tempore of the Senate, or 5 the majority or minority leader of either the Senate or the 6 House of Representatives, the Comptroller General shall 7 audit any report under paragraph (1) . The Director of the 8 Secret Service shall accord the Comptroller General, in the 9 conduct of such audit, complete access to all records, files, 10 and documents relating to each obligation or expenditure 11 covered by the report. 12 " (f) (1) Any funds used for the purchase, lease, con- 13 struction, installation, or placement of any property at, on, in, 14 or on the grounds of, any private residence of the President 15 or Vice President (other than property acquired by the obli- 16 gation or expenditure of funds in accordance with subsec- 17 tion (a)) shall be appropriated directly to the President or 18 the Executive Office of the President. 19 (2) Not later than February 1 of each year, the Pres- 20 ident shall transmit to the Speaker of the House of Representa- 21 tives, the President pro tempore of the Senate, and the ma- FORD 22 jority and minority leaders in the Senate and the House 23 Representatives a report, setting forth in detail, with respect LIBRARY 24 to the preceding fiscal year- 25 " (A) the amount of each obligation or expenditure 5 1 of funds pursuant to this subsection, including a full ex- 2 planation of the purposes for which such obligation or 3 expenditure has been made; and 4 " (B) the reasons why he deemed the use of such 5 funds proper in each instance. 6 " (3) Upon the request of the Speaker of the House of 7 Representatives, the President pro tempore of the Senate, or 8 the majority or minority leader of either the Senate or the 9 House of Representatives, the Comptroller General shall 10 audit any report under paragraph (2) The President shall 11 accord the Comptroller General, in the conduct of such audit, 12 complete access to all records, files, and documents relating 13 to each obligation or expenditure covered by the report.". 14 (b) The analysis of chapter 2 of title 3, United States 15 Code, is amended by adding at the end thereof the following: "112. Procurement of property for protection of President and Vice Presi- dent at private residences.". R. FORD GERALD EXECUTIVE OFFICE OF THE PRESIDENT OFFICE OF MANAGEMENT AND BUDGET WASHINGTON, D.C. 20503 AUG 5 1974 MEMORANDUM FOR JERRY JONES Subject: Comments on S. 3515 This is in reply to your request to the Director of July 8, 1974, for comments and recommendations on S. 3515, a bill introduced by Senator Brock relating to procurement of property for the protection of the President and Vice President at private residences. The Lill (1) prohibits all expenditures (except those provided in (3) below) for protective property at the private residences of the President and Vice President unless the expenditure is approved and made by the Secret Service; (2) further limits these expenditures to a single private residence to be designated by the President and another designated by the Vice President; (3) prohibits all other expenditures for property at pri- vate residences except such funds as may be appropriated to the President or the Executive Office of the President (according to Senator Brock's comments in the Congressional Record, this section is intended to cover only non-protective expenses but from a strict legal interpretation the section could also cover protective expenses at additional private residences); and (4) mandates certain procedures for recordkeeping, reporting, auditing, and authorization for public monies spent on private residences by the Secret Service and by the President or the Executive Office. A more detailed summary of the bill and a comparison with current procedures is included in the addendum. The main objective of the bill is to prevent future controversy over monies spent on private residences, such as the controversy which occurred in 1973 when Congressional Committees examined this issued and the General Accounting Office (GAO) issued a report on December 18, 1973, on Protection of the President at Key Biscayne and San Clemente. The GAO report and many Congressmen have criticized some acquisitions of property for private residences and the methods to control such expenditures. Many of the crit- icisms over methods to control such expenditures have been met and several of the provisions in this bill have thus been overtaken by recent changes in statute and procedures which improve the control within the Executive Branch and by the Congress over such expenditures. is FORD CARALD 2 Past Procedures Before the controversy arose over expenditures at private residences and prior to July 1, 1974, the General Services Administration (GSA) received appropriations from the Congress for "Operating Expenses" of the Public Buildings Service which paid for the rental, operation, protection and utilization of Government-owned and leased buildings. This appropriation also provided for " fencing, lighting, guard booths, and other facilities on private or other property not in Government ownership or control as may be appropriate to enable the United States Secret Service to perform its protective functions II GSA thus provided all funds for protective property at private residences of the President and Vice President. GSA also made some expenditures, which GAO, in its report, considered to be for nonprotective property. These included the installation of flagpoles and the renovation of the den at San Clemente into an office. GSA defended these expenditures as II a logical extension of GSA's authority to provide administrative support to the Executive Office of the President. = GAO criticized these nonprotective expenditures as well as certain protective expenditures. After the controversy had arisen, the Congress, in the language of the FY 1974 appropriations act (P.L. 93-143, October 30, 1973), directed that quarterly reports of expenditures on private residences be submitted by GSA to the Committees on Appropriations of the House and the Senate. Current Procedures On July 1, 1974, certain provisions of the Public Building Amendments of 1972 (P.L. 92-313, June 16, 1972) became effective which restricted GSA's ability to fund other Executive branch agencies building improvements or furnishings. These provisions provided that executive agenies would obtain individual appropriations for rent and related costs of space instead of GSA obtaining all funds in one appropriation. This Act, and the FY 1975 appropriations bill, which under the continuing resolution on appropriations is controlling, eliminated GSA's authority and funds to provide property at private residences unless reimbursed from the funds of, and directed by, another Federal agency. Funds are now appropriated directly to the Secret Service for protection at private residences to provide for = fencing, lighting, guard booths and other facilities on private or other property not in Government ownership or control as may be necessary to perform protective functions = Therefore the Secret Service has authorization and appropriations for protective property at the private residences of the President and Vice President. This new funding procedure fixes accountability and Congressional oversight for such expenditures. The lack of accountability and Congressional oversight was one of GAO's criticisms in its report. FORD GERALD LIBRARY 3 Other GAO critisims have also been overcome through the adoption of new procedures. The Secret Service now requires written requests for all expenditures for property at private residences and these requests must be approved in writing by the Deputy Director of the Secret Service. The method and type of report on such expenditures, which will be required by the Congress, is being formulated by the Secret Service and its Appropriations Subcommittee. The funds for protection at private residences are kept separately within the Secret Service appropriation and are subject to GAO audit. The GAO critisms over nonprotective funds have also been alleviated--at least for the present. GSA's funds for such purposes have been eliminated, and there are no other funds specifically authorized for nonprotective purposes. Some support is provided by the Department of Defense with respect to the President's position as Commander in Chief. Theoretically, nonprotective funds for private residences could be appropriated to a new appropriations account within the Executive Office of the President. However, there is no authorization for such appropria- tion within the Executive Office and thus no funds are available. There- fore, there is presently a void concerning nonprotective funds at private residences which will probably need to be remedied through authorization for appropriations to a new account within the Executive Office. There may also be other appropriation accounts which supply property to private residences. For example, the Department of Defense supplies some property in the course of providing communications, emergency relocation, and food service at the private residences of the President. General Lawson, Chief Military Aide to the President is familiar with the nature and extent of Defense property furnished at private residences. Problems Posed by this Bill Under the bill, protective property would be provided by the Secret Service at only one designated private residence for the President and another for the Vice President. No other agency could provide any property whatsoever except if funds were appropriated to the President or the Executive Office for private residences. The President and/or the Executive Office would need an authorization and an appropriation before funds could be expended for property at private residences. The bill is unacceptable in its current form because of inadequate pro- vision for nonprotective expenditures at the designated residences and for protection and communications at additional private residences. The provision for nonprotective expenditures at the designated residences is inadequate because all other agencies, including the Department of Defense, would be prohibited from supplying any property for communica- tions, emergency relocation, or food service as soon as the bill were 4 signed into law. There is no interim provision for the Executive Office or the President to provide this property until a separate authorization and appropriation are enacted. Therefore, the situation could develop where the President would be protected at the designated private residence but have inadequate communications to lead the country if a crisis developed. The limitation of S. 3515 could inadvertently create an alarming situation if the President decided to visit a second residence. No equipment of the Secret Service or other government agency could be placed at, on, in or on the grounds of the private residence. A strict legal interpreta- tion of the bill could lead to the situation where the President is flown to his second residence, but must descend onto the helicopter pad via a rope ladder, the Secret Service agents must deplane the same way without any property (firearms) and all would then enter the private residence at which there was no government communications equipment. The other sections of the bill regarding reporting of expendiutres, record- keeping, and auditing duplicate current procedures. These sections are unnecessary, but they might be beneficial in preventing future controversy because of the elimination of doubt over what is the proper procedure. There is one technical problem in these sections concerning the removal of protective property after the President's term has expired. The bill requires removal of property which can reasonably be removed. To avoid controversy the words "and economically" should be added as a further definition of what is reasonable. Suggested Changes in S. 3515 If some limitation on expenditures at private residences is desirable to prevent future controversy, then we believe the following changes are essential: 1. The same protection, communication and essential services provided the President and Vice President when visiting someone else's residence should be provided on visits to his own second or additional residences. To accomplish this, the bill would need to exempt portable protective property, communication, and other essential services. 2. Some interim provision must be added to provide communica- tion and other essential property at the designated residence during the time between passage of this bill and an appropriation bill to provide funds to the Executive Office for nonprotective property. One interim method would be to allow the funds now appropriated for the Executive Residence also to be expended for property at private residences. This might solve the communications problem if the amounts spent were relatively small. In any FORD 5 event, because of the prohibition against expenditures except from appropriations made directly to the President, some provision would be required to provide funds for those purposes pending enactment of appropriations. 3. Nonprotective funds should be authorized for appropriation in the bill (Section (f) (1) should be amended by adding before the period the following: "; there is hereby authorized to be appropriated such sums as may be necessary"). 4. Section (b) should include "and economically" after the word reasonably. The bill does have some merit in that it eliminates the ad hoc provisions for property at private residences which appear to have arisen over the years It also could provide for nonprotective property, which is an area where there is currently a void and must be addressed at some future time. Whether all nonprotective property should be funded through one appropria- tion is difficult to evaluate without knowing the magnitude of such expendi- tures. Also some expenditures may be better left in the Defense Department because of national security concerns. It should be stressed that any appropriation provided for the President would also be the only appropriation available to the Vice President for similar purposes. Summary OMB is not in a position to decide whether there should be a limit on the number of private residences in which protective property can be used. We do believe that the limitations imposed by this bill are cumbersome and might result in a decrease in the protection and essential communica- tions provided the President and Vice President. We believe that present procedures are adequate to assure Congressional oversight over protective expenditures and prevent any future controversy in that area. However, some provision for nonprotective property is probably needed for the future. If it is decided that a limitation on expenditures is needed to eliminate future controversy, then we believe that the perfecting amendments suggested are essential. Wall 67 Scott Associate Director for Economics and Government Attachment ADDENDUM A summary of provisions in the bill and current procedures follows: S. 3515 Subsection (a) No funds other than provided in subsection (f) can be obligated or spent for property to protect the private residences of the President or Vice President unless the obligation or expenditure is made by the Secret Service, certified by the Director or Deputy Director of the Secret Service, and approved by the Director or Deputy Director of the Secret Service. Current Procedure Funds are appropriated directly to the Secret Service for protective property at private residences. Secret Service's procedures require the Deputy Director of the Secret Service to approve a written request for all protective expenditures at private residences. S. 3515 Subsection (b) Any property acquired for protection of private residences shall be removed and returned to the Secret Service upon termination of the President's or Vice President's term of office unless if cannot reasonably be removed or the Director of the Secret Service deter- mines it is needed for the continuing protection of the former President or former Vice President. Current Procedure Removal of protective property is required if the property can be reasonably and economically removed. S. 3515 Subsection (c) The President and Vice President are each allowed to designate a single private residence for which funds for protective property can be obligated in accordance with (a) above. Current Procedure There is no limit on the number of private residences for which funds for protective property can be obligated. 2 S. 3515 Subsection (d) Records of obligations for these expenditures on private residences will be reflected separately in the accounting system of the Secret Service and accumulated on a current basis. Current Procedure Records of expenditures on private residences are separately kept within Secret Service's appropriation and are accumulated on an annual basis. S. 3515 Subsection (e) The Director of the Secret Service will report to the Congress no later than February 1 of each year on the expenditures and the reasons why they were made. GAO can audit any of these records on request from the Speaker of the House, President of the Senate, or the majority or minority heads of either the Senate or House of Representatives. Current Procedure GAO can audit all records of expenditures by the Secret Service. Secret Service and the Treasury, Postal Service, and General Govern- ment Subcommittees of the Committee on Appropriations are formulating the reporting procedures for expenditures at private residences. S. 3515 Subsection (f) Any funds used for any property at any private residence of the President or Vice President (other than that property provided for in (a) above) shall be appropriated directly to the President or the Executive Office of the President. Records of the obligations shall be kept, reported to the Congress and subject to GAO audit. Current Procedure The Secret Service provides all protective property. There appears to be no funds specifically authorized and appropriated for nonpro- tective property at private residences. The Department of Defense provides some nonprotective property in the course of providing communications, emergency relocations, and food service to the Commander in Chief of the Armed Forces. Records of protective expenditures are kept, reported to the Congress, and subject to GAO audit. tono THE WHITE HOUSE WASHINGTON August 23, 1974 MEMORANDUM FOR: PHILIP BUCHEN SUBJECT: Legislation Dealing with the Presidents Residence. Attached is an OMB memorandum regarding S. 3515 and a copy of proposed testimony by the Treasury Department on H.R. 11499. Both of these bills would regulate and limit government procurement for the protection of Presidential and Vice Presidential homes. Bill Skidmore of OMB and I have coordinated on this and have asked that GSA and Treasury (Secret Service) examine both bills to determine their impact. Questions about the Presidents' home, however, are perhaps more properly a matter for the Counsel's Office than the Domestic Council. If you wish, however, that we continue to gather the opinions of the agencies, we will be glad to do so. If it is determined that the bills are unacceptable, it is very likely that Senator Brock could be worked with to provide an agreeable bill. Hearings took place before the House on the 20th of August at which time GSA read a prepared report. They were postponed at the request of Treasury prompted by OMB to provide time for the White House to study the bill. Treasury and DOD are scheduled to report when the hear- ings resume and as yet their statements have not been cleared by OMB. If I can be of any help in this matter, please let me know. 8 F. Lynn May Staff Assistant Domestic Council cc: Ken Cole Stan Ebner Bill Casselman Attachment OFFICE OF MANAGEMENT AND BUDGET WASHINGTON, D.C. 20503 AUG 5 1974 MEMORANDUM FOR JERRY JONES Subject: Comments on S. 3515 This is in reply to your request to the Director of July 8, 1974, for comments and recommendations on S. 3515, a bill introduced by Senator Brock relating to procurement of property for the protection of the President and Vice President at private residences. The bill (1) prohibits all expenditures (except those provided in (3) below) for protective property at the private residences of the President and Vice President unless the expenditure is approved and made by the Secret Service; (2) further limits these expenditures to a single private residence to be designated by the President and another designated by the Vice President; (3) prohibits all other expenditures for property at pri- vate residences except such funds as may be appropriated to the President or the Executive Office of the President (according to Senator Brock's comments in the Congressional Record, this section is intended to cover only non-protective expenses but from a strict legal interpretation the section could also cover protective expenses at additional private residences); and (4) mandates certain procedures for recordkeeping, reporting, auditing, and authorization for public monies spent on private residences by the Secret Service and by the President or the Executive Office. A more detailed summary of the bill and a comparison with current procedures is included in the addendum. The main objective of the bill is to prevent future controversy over monies spent on private residences, such as the controversy which occurred in 1973 when Congressional Committees examined this issued and the General Accounting Office (GAO) issued a report on December 18, 1973, on Protection of the President at Key Biscayne and San Clemente. The GAO report and many Congressmen have criticized some acquisitions of property for private residences and the methods to control such expenditures. Many of the crit- icisms over methods to control such expenditures have been met and several of the provisions in this bill have thus been overtaken by recent changes in statute and procedures which improve the control within the Executive Branch and by the Congress over such expenditures. SERALD FORD LIBRAND 2 Past Procedures Before the controversy arose over expenditures at private residences and prior to July 1, 1974, the General Services Administration (GSA) received appropriations from the Congress for "Operating Expenses" of the Public Buildings Service which paid for the rental, operation, protection and utilization of Government-owned and leased buildings. This appropriation also provided for = fencing, lighting, guard booths, and other facilities on private or other property not in Government. ownership or control as may be appropriate to enable the United States Secret Service to perform its protective functions = GSA thus provided all funds for protective property at private residences of the President and Vice President. GSA also made some expenditures, which GAO, in its report, considered to be for nonprotective property. These included the installation of flagpoles and the renovation of the den at San Clemente into an office. GSA defended these expenditures as " a logical extension of GSA's authority to provide administrative support to the Executive Office of the President as GAO criticized these nonprotective expenditures as well as certain protective expenditures. After the controversy had arisen, the Congress, in the language of the FY 1974 appropriations act (P.L. 93-143, October 30, 1973), directed that quarterly reports of expenditures on private residences be submitted by GSA to the Committees on Appropriations of the House and the Senate. Current Procedures On July 1, 1974, certain provisions of the Public Building Amendments of 1972 (P.L. 92-313, June 16, 1972) became effective which restricted GSA's ability to fund other Executive branch agencies building improvements or furnishings. These provisions provided that executive agenies would obtain individual appropriations for rent and related costs of space instead of GSA obtaining all funds in one appropriation. This Act, and the FY 1975 appropriations bil which under the continuing resolution on appropriations is controlling, eliminated GSA's authority and funds to provide property at private residences unless reimbursed, from the funds of, and directed by, another Federal agency. Funds are now appropriated directly to the Secret Service for protection at private residences to provide for # fencing, lighting, guard booths and other facilities on private or other property not in Government ownership or control as may be necessary to perform protective functions = Therefore the Secret Service has authorization and appropriations for protective property at the private residences of the President and Vice President. This new funding procedure fixes accountability and Congressiona' oversight for such expenditures. The lack of accountability and Congression oversight was one of GAO's criticisms in its report. FORD CERALD 3 Other GAO critisims have also been overcome through the adoption of new procedures. The Secret Service now requires written requests for all expenditures for property at private residences and these requests must be approved in writing by the Deputy Director of the Secret Service. The method and type of report on such expenditures, which will be required by the Congress, is being formulated by the Secret Service and its Appropriations Subcommittee. The funds for protection at private residences are kept separately within the Secret Service appropriation and are subject to GAO audit. The GAO critisms over nonprotective funds have also been alleviated--at least for the present. GSA's funds for such purposes have been eliminated and there are no other funds specifically authorized for nonprotective purposes. Some support is provided by the Department of Defense with respect to the President's position as Commander in Chief. Theoretically, nonprotective funds for private residences could be appropriated to a new appropriations account within the Executive Office of the President. However, there is no authorization for such appropria- tion within the Executive Office and thus no funds are available. There- fore, there is presently a void concerning nonprotective funds at private residences which will probably need to be remedied through authorization for appropriations to a new account within the Executive Office. There may also be other appropriation accounts which supply property to private residences. For example, the Department of Defense supplies some property in the course of providing communications, emergency relocation, and food service at the private residences of the President. General Lawson, Chief Military Aide to the President is familiar with the nature and extent of Defense property furnished at private residences. Problems Posed by this Bill Under the bill, protective property would be provided by the Secret Service at only one designated private residence for the President and another for the Vice President. No other agency could provide any property whatsoever except if funds were appropriated to the President or the Executive Office for private residences. The President and/or the Executive Office would need an authorization and an appropriation before funds could be expended for property at private residences. The bill is unacceptable in its current form because of inadequate pro- vision for nonprotective expenditures at the designated residences and for protection and communications at additional private residences. The provision for nonprotective expenditures at the designated residences is inadequate because all other agencies, including the Department of Defense, would be prohibited from supplying any property for communica- tions, emergency relocation, or food service as soon as the bill were 4 signed into law. There is no interim provision for the Executive Office or the President to provide this property until a separate authorization and appropriation are enacted. Therefore, the situation could develop where the President would be protected at the designated private residence but have inadequate communications to lead the country if a crisis developed. The limitation of S. 3515 could inadvertently create an alarming situation if the President decided to visit a second residence. No equipment of the Secret Service or other government agency could be placed at, on, in or on the grounds of the private residence. A strict legal interpreta- tion of the bill could lead to the situation where the President is flown to his second residence, but must descend onto the helicopter pad via a rope ladder, the Secret Service agents must deplane the same way without any property (firearms) and all would then enter the private residence at which there was no government communications equipment. The other sections of the bill regarding reporting of expendiutres, record- keeping, and auditing duplicate current procedures. These sections are unnecessary, but they might be beneficial in preventing future controversy because of the elimination of doubt over what is the proper procedure. There is one technical problem in these sections concerning the removal of protective property after the President's term has expired. The bill requires removal of property which can reasonably be removed. To avoid controversy the words "and economically" should be added as a further definition of what is reasonable. Suggested Changes in S. 3515 If some limitation on expenditures at private residences is desirable to prevent future controversy, then we believe the following changes are essential: 1. The same protection, communication and essential services provided the President and Vice President when visiting someone else's residence should be provided on visits to his own second or additional residences. To accomplish this, the bill would need to exempt portable protective property, communication, and other essential services. 2. Some interim provision must be added to provide communica- tion and other essential property at the designated residence during the time between passage of this bill and an appropriation bill to provide funds to the Executive Office for nonprotective property. One interim method would be to allow the funds now appropriated for the Executive Residence also to be expended for property at private residences. This might solve the communications problem if the amounts spent were relatively small. In any 5 event, because of the prohibition against expenditures except from appropriations made directly to the President, some provision would be required to provide funds for those purposes pending enactment of appropriations. 3. Nonprotective funds should be authorized for appropriation in the bill (Section (f) (1) should be amended by adding before the period the following: "; there is hereby authorized to be appropriated such sums as may be necessary"). 4. Section (b) should include "and economically" after the word reasonably. The bill does have some merit in that it eliminates the ad hoc provisions for property at private residences which appear to have arisen over the years. It also could provide for nonprotective property, which is an area where there is currently a void and must be addressed at some future time. Whether all nonprotective property should be furided through one appropria- tion is difficult to evaluate without knowing the magnitude of such expendi- tures. Also some expenditures may be better left in the Defense Department because of national security concerns. It should be stressed that any appropriation provided for the President would also be the only appropriation available to the Vice President for similar purposes. Summary OMB is not in a position to decide whether there should be a limit on the number of private residences in which protective property can be used We do believe that the limitations imposed by this bill are cumbersome and might result in a decrease in the protection and essential communica- tions provided the President and Vice President. We believe that present procedures are adequate to assure Congressional oversight over protective expenditures and prevent any future controversy in that area. However, some provision for nonprotective property is probably needed for the future. If it is decided that a limitation on expenditures is needed to eliminate future controversy, then we believe that the perfecting amendments suggested are essential. (signed) Wally Walter D. Scott Associate Director for Economics and Government Attachment cc: Official file (Treasury Unit) Mr. W. Scott Mr. Bray Return, Mr. Jordan EGGDiv:JFJordan:ejg 8/2/74 ADDENDUM A summary of provisions in the bill and current procedures follows: S. 3515 Subsection (a) No funds other than provided in subsection (f) can be obligated or spent for property to protect the private residences of the President or Vice President unless the obligation or expenditure is made by the Secret Service, certified by the Director or Deputy Director of the Secret Service, and approved by the Director or Deputy Director of the Secret Service. Current Procedure Funds are appropriated directly to the Secret Service for protective property at private residences. Secret Service's procedures require the Deputy Director of the Secret Service to approve a written request for all protective expenditures at private residences. S. 3515 Subsection (b) Any property acquired for protection of private residences shall be removed and returned to the Secret Service upon termination of the President's or Vice President's term of office unless if cannot reasonably be removed or the Director of the Secret Service deter- mines it is needed for the continuing protection of the former President or former Vice President. Current Procedure Removal of protective property is required if the property can be reasonably and economically removed. S. 3515 Subsection (c) The President and Vice President are each allowed to designate a single private residence for which funds for protective property can be obligated in accordance with (a) above. Current Procedure There is no limit on the number of private residences for. which funds for protective property can be obligated. 2 S. 3515 Subsection (d) Records of obligations for these expenditures on private residences will be reflected separately in the accounting system of the Secret Service and accumulated on a current basis. Current Procedure Records of expenditures on private residences are separately kept within Secret Service's appropriation and are accumulated on an annual basis. $. 3515 Subsection (e) The Director of the Secret Service will report to the Congress no later than February 1 of each year on the expenditures and the reasons why they were made. GAO can audit any of these records on request from the Speaker of the House, President of the Senate, or the majority or minority heads of either the Senate or House of Representatives. Current Procedure GAO can audit all records of expenditures by the Secret Service. Secret Service and the Treasury, Postal Service, and General Govern- ment Subcommittees of the Committee on Appropriations are formulating the reporting procedures for expenditures at private residences. S. 3515 Subsection (f) Any funds used for any property at any private residence of the President or Vice President (other than that property provided for in (a) above) shall be appropriated directly to the President or the Executive Office of the President. Records of the obligations shall be kept, reported to the Congress and subject to GAO audit. Current Procedure The Secret Service provides all protective property. There appears to be no funds specifically authorized and appropriated for nonpro- tective property at private residences. The Department of Defense provides some nonprotective property in the course of providing communications, emergency relocations, and food service to the Commander in Chief of the Armed Forces. Records of protective expenditures are kept, reported to the Congress, and subject to GAO audit. Bill Skidmore Department of the Treasury United States Secret Service Statement of Lilburn E. Boggs Deputy Director, U. S. Secret Service Before the Sub-Committee On Claims and Governmental Relations House Judiciary Committee August 22, 1974 R3 3470 R. FORD LIBAR Mr. Chairman: I am pleased to appear before you and the other distinguished members of this Committee to present the views of the United States Secret Service regarding H. R. 11499, a bill "to establish procedures and regula- tions for certain protective services provided by the United States Secret Service." First of all, let me state that the concerns that prompted the introduction of the bill before you today have already been the subject of a careful review by the House and Senate Subcommittees on Appropriations that have the respon- sibility for recommending funds for the operations of the Secret Service and for overseeing the expenditure of the amounts appropriated by the Congress. At the direction of the Subcommittees on Appropriations and with the assistance of their staffs, we have developed a comprehensive procedure for the acquisition of space, alterations, and services at locations involving protective operations. With your permission, Mr. Chairman, I would like to submit copies of these procedures for the consideration of the members of the Committee and for insertion in the record. - 2 - In reviewing the procedures, you will note that they are all encompassing, and include operations at both privately-owned or leased sites and property as well as Government-owned or leased sites and property. In addition to meeting the concerns of the House and Senate Subcommittees on Appropriations, they take into account and implement the recommendations of the Comptroller General in his report to the Congress entitled "Protection of the President at Key Biscayne and San Clemente (With Information on Protection of Past Presidents)" B-15,5950. A comparison of the procedures with H. R. 11499 indicates that many of the provisions in the proposed bill, namely, sections four, five, and six, have already been included in our recently promulgated procedures. The sections of the bill not addressed by our procedures are those that would hamper Secret Service operations by placing limitations on the duration of time that protection could be provided with- out reimbursement and the amount of funds that could be expended, the restriction of permanent protection to one location, and, for all practical purposes, the elimination of the assistance provided to the Secret Service by other agencies without reimbursement. All of these latter items are of grave concern to us in that they will either seriously -3- impede the level of protection that we can provide, result in some instances in a greater expenditure of funds than would otherwise be the case, and cause serious problems for the Secret Service in predicting budgetary require- ments. In this regard, the repeal of Section two of the Act of June 6, 1968 (Public Law 90-331), is of particular concern to us. With the indulgence of the Committee, it might be appro- priate at this point to review the evolution of the assistance provided by other agencies to the Service in carrying out its protective responsibilities. As you know the operations of the Secret Service were carefully reviewed by the President's Commission on the assa- ssination of President Kennedy better know as the Warren Comm- ission. In its report the Commission made substantial recommendations relative to the level of protection being afforded the President. In its report the Commission mentioned among other things that the protection of the President is in a real sense a Government-wide responsibility which must necessarily be assumed by various Government Agencies. The Commission further stated that "Protecting the President is a -4- difficult and complex task which requires full use of the best resources of many parts of our Government. Recognition that the responsibility must be shared increases the likeli- hood that it will be met." Subsequent to the Commission Report the Secret Service made arrangements with various Government Agencies for their specialized support as the need arose without any provision for reimbursement. These informal arrangements were the basis for the express statutory authority contained in Sec- tion 2 of Public Law 90-331. In its report on the bill the Senate Committee on Appropriation stated "the proposed lan- guage will provide specific authorization of a long-esta- blished practice of utilizing other Federal departments in the protective assignments. This assistance may include, but is not limited to, the provision of personnel and facilities for intelligence gathering, medical, transpor- tation, and communications purposes. It eliminates any doubt of the legal basis for such practice and assures Treasury direction of the protective functions." When the conference report on the bill (HR16488) was called up before the house, the following statements were made: -5- Last week, we gave support to the Presi- dent's emergency action. A resolution (H.J. 1292) was adopted by both Houses--and signed by the President on the same day--to pro- vide authority for the safeguarding of pre- sidential candidates. We also wrote into permanent law the right of the Secret Service to call upon the personnel and facilities of all Government agencies to assist in the protection of our Presidents and presidential candidates. While this had long been the custom, there had been no statutory authority for this action. Our attention has also been focused once again on the need for other Federal depart- ments and agencies to assist the Secret Service in its protective functions. This need was stressed vigorously by the Warren Commission. As the number of persons subject to Secret Service protection and the amount of their travel has increased over the years, these pro- tective functions have become a Government wide responsibility. -6- The task of protecting our Presidents in- volves far more than the availability of trained agents. It requires the coordination of all law enforcement agencies for intelli- gence gathering, the availability of safe transportation facilities and adequate commu- nications to reach remote areas, health and scientific expertise to test food and drinking water, and many other governmental resources. We must never permit the safety of our Presidents--present, past, or future to be compromised because the resources of the Government were not made available to the fullest extent possible to insure their protection. It is clear from the legislative history of Public Law 90-331 that the Congress has not intended that the Secret Service shoulder the entire federal financial burden of protective activities and that section 2 of Public Law 90-331 was simply intended to put a congressional stamp of approval on the existing practice of federal agencies providing assistance to the Secret Service in connection -7- with its protective functions without any requirements for reimbursement. In this respect we believe the Congress, in its wisdom, recognized that it would be totally impractical for the Secret Service to accurately project for budgetary purposes the variety of specialized needs which could occur in the total protection environment. Inasmuch as our requests for support are made to a number of different agencies, the budgetary impact on any one particular agency is minimized. In view of the above we strongly urge that section two of Public Law 90-331 not be repealed as provided by Section nine of the bill before you and that the current arrangements for assistance from other agencies whichhave proved so satis- factory in the past not be disturbed. In the event this committee and the Congress retains the provisions of Section 2 of Public Law 90-331, then the provisions of Section 2 (1) of HR11499 become moot. With respect to section 2 (2) and 2 (3) of the bill, past history indicates that in recent years most Presidents have utilized more than one residence not in Government ownership or control. Aside from the question of whether or not it is* -8- desirable to place such restrictions on the residences of the President and others who are provided Secret Service protection, and perhaps financial hardships as well in the event they choose or are forced to move, the $5,000 limi- tation in section 2(3) of the bill on the amount that could be spent on a second residence could conceivably result in additional overall protection costs. This would almost be a certainty in view of section three which prohibits the maintenance of a permanent guard detail to secure a second residence. The rationale for this conclusion is that, not with- standing the above restrictions on the Secret Service, a President or other protectee may still choose to utilize a second residence. In this event, the Secret Service would still be charged with providing the required protection. Due to the proposed limitation of $5,000 and the prohibition on permanent guards, little could be done to permanently secure a second residence. In the absence of the residence being permanently secured, the Service would be forced to utilize additional personnel over and above the normal pro- tective detail to do a complete inspection of the premises before they could be occupied. Depending on the frequency -9- of use, the cost of the additional personnel involved to- gether with their travel and per diem expenses plus the extra expense of transporting equipment might well exceed what it would otherwise cost to secure the premises on a permanent basis in the absence of the proposed restrictions. Section seven of the bill is related to Section nine in that after a period of two weeks any support received from other agencies would be subject to reimbursement from funds appropriated to the Secret Service. For the same, reasons cited earlier with respect to section nine, the Ser- vice urges that this provision not be adopted. With respect to section eight, it should be noted that the Secret Service has been directed by the Subcommittee on Appropriations to submit quarterly reports of activities per- formed and the costs incurred to the Appropriations Committee of the Congress. In summary, Mr. Chairman, we believe that the procedures already established at the direction of the Subcommittee on Appropriations are adequate to meet the concerns of the Congress with respect to our protective operation. I should mention too, that due to the relatively short notice of these hearing time did not permit the clearance of my statement with the Office of Management and Budget. -10- Mr. Chairman, this concludes my remarks and I shall now be glad to answer any questions you or the other members of the committee may have. FORD is LIBRARY DEPARTMENT OF THE TREASURY UNITED STATES SECRET SERVICE DIRECTOR WASHINGTON, D.C. 20223 February 22, 1974 620.0 x530.0 MEMORANDUM To: Deputy Director Assistant Directors Assistants to the Director Legal Counsel All SAIC's and Division Chiefs From: Director Subject: Procedure for the Acquisition of Space, Alterations, and Services at Locations Involving Protective Operations Attached are revised procedures covering the acquisition of space, alterations, and services at locations involving protective operations. These procedures are effective immediately. As indicated in the procedures, all approved work will be monitored jointly by the Office of Administration and the operational office involved. Any necessary adjustments in the action requested will be conveyed to the initiating office through the appropriate Assistant Director for the operational office involved. It is expected that these procedures will be strictly followed. Any deviations therefrom must have the express written pproval of the Deputy Director. Additional copies of SS Form No. 1911 may be obtained from the Administrative Operations Division in the usual manner. HSKmyW H. S. Knight LIBRARY GERALD 1080 Attachment PROCEDURES FOR THE ACQUISITION OF SPACE, ALTERATIONS, ND SERVICES AT LOCATIONS INVOLVING PROTECTIVE OPERATIONS 1. Purpose The purpose of these procedures is to establish a uniform method in the Secret Service for the acquisition of space, alterations, and other services at locations involving pro- tective operations. 2. Scope These procedures are applicable to all Secret Service Offices, Divisions, Details, or other groups who have been assigned the duty to provide protection to persons, places, or things. Included in this coverage are operations at both Government-owned and Government-leased sites and property, as well as privately-owned leased sites and property. 3. General Coverage These procedures cover all work performed or to be performed, together with any related expenditures for all space, alterations, services, equipment. furniture, and all other items of tangible property which are furnished, installed, constructed, repaired, or altered by or at the request of the United States Secret Service, including those items that are physically attached or made a permanent part of any structure, property, site, or other hysical entity. 4. Survey or Requirements The Secret Se vice will conduct its usual survey to letermine what measures are necessary to provide the desired.level of protection. - 2 - 5. Request for Authorization and Performance Requests for work or expenditures described in paragraph 3 above will be documented as indicated on SS Form No. 1911, including all pertinent justifications and specifications. The cost estimate will include information obtained from the General Services Administration, where appropriate. When required, use plain paper for continuation sheets. Requests will be deemed to include all necessary future replacements, maintenance, and repairs relating to the work or other items specifically requested. 6. Proposed Recovery of Equipment and/or Restoration Required Items of equipment that the Secret Service proposes to recover at the termination of the mission will be clearly spelled out on SS Form No. 1911, together with any restorations that appear to be required. It should be understood that in some instances, it may not be practical or economically feasible at some future date to recover items and make restorations as contemplated at the time the work was originally performed. 7. Concurrence of Protectee or His Designee when Either Privately-owned or Leased Property is Involved Prior to- the commencement of any work on privately-owned or privately-leased property, the concurrence for such work that is required to be performed will be obtained by the requesting office from the protectee or his designated representative. When representatives are designated to act for protectees, such authori- zations shall be obtained in writing from the particular protectee involved. Such concurrence shall not be considered as agreement by the protectee to the proposed recovery or restoration proposed in the request. ! BERALD LIDERAL 3 8. Processing of SS Form No. 1911. "Request for Space, Alterations, Equipment. and Services at Locations Involving Protective Operations SS Form No. 1911 will be initiated by the appropriate Special Agent in Charge or Assistant Director involved. Cost estimates will be determined by the requesting office in con- junction with the Administrative Operations Division in the Office of Administration. Any cost information required from the General Services Administration will be obtained by the Administrative Operations Division, which will also serve as the contacting office with that agency. After the requisite approvals and certifications as to the availability of funds has been obtained, the Administrative Operations Division will issue the appropriate job orders, purchase orders, or contracts, as the case may be. The performance of any work required will be monitored jointly by the Administrative Operations Division and the appropriate Special Agent in Charge or Assistant Director involved. 9. Emergency Procedures When an emergency arises and time does not permit the processing of SS Form No. 1911 in the usual manner, all requests, concurrences, and approvals required by these pro- cedures may be processed orally. Any such emergency oral actions shall be confirmed by the submission of SS Form No. 1911 with a check mark in the "Confirmation" block as soon as possible thereafter, preferably within 24 hours. 10. Accounting and Reporting Costs will be accumulated for each location indicating whether the property is Government-owned or leased or privatel buyned or leased. Any reports or notices required by law partaining STATES - 4 - to the activities covered by these procedures will have the concurrence of the agencies involved, i.e., Secret Service and the General Services Administration. Effective July 1, 1974, all costs incurred under these procedures will be funded from the appropriation of the United States Secret Service. Appropriate reports of the activities performed and the costs incurred under these procedures will be made to the Appropriations Committees of the Congress. 11. Effective Date The requirements spelled out in these procedures are effective immediately. The Director's memorandum of October 15, 1973, subject "Space for Protectees, " File No. 530.0 (x 610.0) is hereby rescinded. HSKungh5 H. S. Knight REQUEST FOR SPACE, ALTERATIONS, EQUIPMENT AND SERVICES AT LOCATIONS INVOLVING PROTECTIVE OPERATIONS PAGE NO. A. GENERAL INFORMATION OF PAGES NAME OF PROTECTEE FINANCIAL CODE (FMD USE ONLY) DATE OF REQUEST NAME OF SITE LOCATION ORIGINAL REQUEST FILE NO. 620.0 GOV'T OWNED PRIVATELY OWNED CONFIRMATION OF GOV'T LEASED PRIVATELY LEASED GENERAL PROJECT TITLE SUMMARY OF PROPOSAL NAME OF REQUESTOR OFFICE CONTACT FOR ADDITIONAL INFORMATION TELEPHONE NO. REQUIRED COMPLETION DATE B. SUMMARY JUSTIFICATION AND SPECIFICATIONS FOR PROJECT (CONTINUE ON PLAIN BOND PAPER) TOTAL ESTIMATED COST C. PROPOSED RECOVERY OF EQUIPMENT AND/OR RESTORATION REQUIRED TOTAL ESTIMATED COST D. CONCURRENCE OF PROTECTEE OR DESIGNEE (PRIVATELY OWNED/LEASED PROPERTY ONLY) SIGNATURE DATE E. APPROVALS OPERATIONAL : STATE SAIC (SIGNATURE) DATE APPROPRIATE ASSISTANT DIRECTOR (SIGNATUR DATE ADMINISTRATIVE F. AVAILABILITY OF FUNDS CERTIFICATION EREIT AD-ADMINISTRATION (SIGNATURE) DATE (FMD USE ONLY) AGENCY DEPUTY DIRECTOR (SIGNATURE) DATE UNITED STATES SECRET SERVICE SSF 1911 (02-74) THE WHITE HOUSE WASHINGTON August 30, 1974 MEMORANDUM FOR: BILL TIMMONS FROM: PHIL BUCHEN SUBJECT: Legislation dealing with the President's residence So far as I am concerned, the comments in the OMB memorandum for Jerry Jones on S. 3515 dated August 5, 1974 (copy attached) represent an appropriate critique of such bill and could be the basis of followup for your letter of July 1, 1974, to Senator Bill Brock. Attachments cc: Jerry Jones Lynn May GERALB FORD LIBRARY EXECUTIVE OFFICE OF THE PRESIDENT OFFICE OF MANAGEMENT AND BUDGET WASHINGTON, D.C. 20503 AUG 5 1974 MEMORANDUM FOR JERRY JONES Subject: Comments on S. 3515 This is in reply to your request to the Director of July 8, 1974, for comments and recommendations on S. 3515, a bill introduced by Senator Brock relating to procurement of property for the protection of the President and Vice President at private residences. The Lill (1) prohibits all expenditures (except those provided in (3) below) for protective property at the private residences of the President and Vice President unless the expenditure is approved and made by the Secret Service; (2) further limits these expenditures to a single private residence to be designated by the President and another designated by the Vice President; (3) prohibits all other expenditures for property at pri- vate residences except such funds as may be appropriated to the President or the Executive Office of the President (according to Senator Brock's comments in the Congressional Record, this section is intended to cover only non-protective expenses but from a strict legal interpretation the section could also cover protective expenses at additional private residences); and (4) mandates certain procedures for recordkeeping, reporting, auditing, and authorization for public monies spent on private residences by the Secret Service and by the President or the Executive Office. A more detailed summary of the bill and a comparison with current procedures is included in the addendum. The main objective of the bill is to prevent future controversy over monies spent on private residences, such as the controversy which occurred in 1973 when Congressional Committees examined this issued and the General Accounting Office (GAO) issued a report on December 18, 1973, on Protection of the President at Key Biscayne and San Clemente. The GAO report and many Congressmen have criticized some acquisitions of property for private residences and the methods to control such expenditures. Many of the crit- icisms over methods to control such expenditures have been met and several of the provisions in this bill have thus been overtaken by recent changes in statute and procedures which improve the control within the Executive Branch and by the Congress over such expenditures. - FORD GERATO LIBRARY 2 Past Procedures Before the controversy arose over expenditures at private residences and prior to July 1, 1974, the General Services Administration (GSA) received appropriations from the Congress for "Operating Expenses" of the Public Buildings Service which paid for the rental, operation, protection and utilization of Government-owned and leased buildings. This appropriation also provided for = fencing, lighting, guard booths, and other facilities on private or other property not in Government ownership or control as may be appropriate to enable the United States Secret Service to perform its protective functions GSA thus provided all funds for protective property at private residences of the President and Vice President. GSA also made some expenditures, which GAO, in its report, considered to be for nonprotective property. These included the installation of flagpoles and the renovation of the den at San Clemente into an office. GSA defended these expenditures as = a logical extension of GSA's authority to provide administrative support to the Executive Office of the President... = GAO criticized these nonprotective expenditures as well as certain protective expenditures. After the controversy had arisen, the Congress, in the language of the FY 1974 appropriations act (P.L. 93-143, October 30, 1973), directed that quarterly reports of expenditures on private residences be submitted by GSA to the Committees on Appropriations of the House and the Senate. Current Procedures On July 1, 1974, certain provisions of the Public Building Amendments of 1972 (P.L. 92-313, June 16, 1972) became effective which restricted GSA's ability to fund other Executive branch agencies building improvements or furnishings. These provisions provided that executive agenies would obtain individual appropriations for rent and related costs of space instead of GSA obtaining all funds in one appropriation. This Act, and the FY 1975 appropriations bill, which under the continuing resolution on appropriations is controlling, eliminated GSA's authority and funds to provide property at private residences unless reimbursed from the funds of, and directed by, another Federal agency. Funds are now appropriated directly to the Secret Service for protection at private residences to provide for = fencing, lighting, guard booths and other facilities on private or other property not in Government ownership or control as may be necessary to perform protective functions " Therefore the Secret Service has authorization and appropriations for protective property at the private residences of the President and Vice President. This new funding procedure fixes accountability and Congressional oversight for such expenditures. The lack of accountability and Congressional oversight was one of GAO's criticisms in its report. FOND LIBRARY 3 Other GAO critisims have also been overcome through the adoption of new procedures. The Secret Service now requires written requests for all expenditures for property at private residences and these requests must be approved in writing by the Deputy Director of the Secret Service. The method and type of report on such expenditures, which will be required by the Congress, is being formulated by the Secret Service and its Appropriations Subcommittee. The funds for protection at private residences are kept separately within the Secret Service appropriation and are subject to GAO audit. The GAO critisms over nonprotective funds have also been alleviated--at least for the present. GSA's funds for such purposes have been eliminated, and there are no other funds specifically authorized for nonprotective purposes. Some support is provided by the Department of Defense with respect to the President's position as Commander in Chief. Theoretically, nonprotective funds for private residences could be appropriated to a new appropriations account within the Executive Office of the President. However, there is no authorization for such appropria- tion within the Executive Office and thus no funds are available. There- fore, there is presently a void concerning nonprotective funds at private residences which will probably need to be remedied through authorization for appropriations to a new account within the Executive Office. There may also be other appropriation accounts which supply property to private residences. For example, the Department of Defense supplies some property in the course of providing communications, emergency relocation, and food service at the private residences of the President. General Lawson, Chief Military Aide to the President is familiar with the nature and extent of Defense property furnished at private residences. Problems Posed by this Bill Under the bill, protective property would be provided by the Secret Service at only one designated private residence for the President and another for the Vice President. No other agency could provide any property whatsoever except if funds were appropriated to the President or the Executive Office for private residences. The President and/or the Executive Office would need an authorization and an appropriation before funds could be expended for property at private residences. The bill is unacceptable in its current form because of inadequate pro- vision for nonprotective expenditures at the designated residences and for protection and communications at additional private residences. The provision for nonprotective expenditures at the designated residences is inadequate because all other agencies, including the Department of Defense, would be prohibited from supplying any property for communica- tions, emergency relocation, or food service as soon as the LIBRARY 4 signed into law. There is no interim provision for the Executive Office or the President to provide this property until a separate authorization and appropriation are enacted. Therefore, the situation could develop where the President would be protected at the designated private residence but have inadequate communications to lead the country if a crisis developed. The limitation of S. 3515 could inadvertently create an alarming situation if the President decided to visit a second residence. No equipment of the Secret Service or other government agency could be placed at, on, in or on the grounds of the private residence. A strict legal interpreta- tion of the bill could lead to the situation where the President is flown to his second residence, but must descend onto the helicopter pad via a rope ladder, the Secret Service agents must deplane the same way without any property (firearms) and all would then enter the private residence at which there was no government communications equipment. The other sections of the bill regarding reporting of expendiutres, record- keeping, and auditing duplicate current procedures. These sections are unnecessary, but they might be beneficial in preventing future controversy because of the elimination of doubt over what is the proper procedure. There is one technical problem in these sections concerning the removal of protective property after the President's term has expired. The bill requires removal of property which can reasonably be removed. To avoid controversy the words "and economically" should be added as a further definition of what is reasonable. Suggested Changes in S. 3515 If some limitation on expenditures at private residences is desirable to prevent future controversy, then we believe the following changes are essential: 1. The same protection, communication and essential services provided the President and Vice President when visiting someone else's residence should be provided on visits to his own second or additional residences. To accomplish this, the bill would need to exempt portable protective property, communication, and other essential services. 2. Some interim provision must be added to provide communica- tion and other essential property at the designated residence during the time between passage of this bill and an appropriation bill to provide funds to the Executive Office for nonprotective property. One interim method would be to allow the funds now appropriated for the Executive Residence also to be expended for property at private residences. This might solve the communications problem if the amounts spent were relatively small. In any FORD GERALD LIBRARY 5 event, because of the prohibition against expenditures except from appropriations made directly to the President, some provision would be required to provide funds for those purposes pending enactment of appropriations. 3. Nonprotective funds should be authorized for appropriation in the bill (Section (f) (1) should be amended by adding before the period the following: "; there is hereby authorized to be appropriated such sums as may be necessary"). 4. Section (b) should include "and economically" after the word reasonably. The bill does have some merit in that it eliminates the ad hoc provisions for property at private residences which appear to have arisen over the years It also could provide for nonprotective property, which is an area where there is currently a void and must be addressed at some future time. Whether all nonprotective property should be funded through one appropria- tion is difficult to evaluate without knowing the magnitude of such expendi- tures. Also some expenditures may be better left in the Defense Department because of national security concerns. It should be stressed that any appropriation provided for the President would also be the only appropriation available to the Vice President for similar purposes. Summary OMB is not in a position to decide whether there should be a limit on the number of private residences in which protective property can be used. We do believe that the limitations imposed by this bill are cumbersome and might result in a decrease in the protection and essential communica- tions provided the President and Vice President. We believe that present procedures are adequate to assure Congressional oversight over protective expenditures and prevent any future controversy in that area. However, some provision for nonprotective property is probably needed for the future. If it is decided that a limitation on expenditures is needed to eliminate future controversy, then we believe that the perfecting amendments suggested are essential. Wally Scott Associate Director for Economics and Government Attachment GERALD ADDENDUM A summary of provisions in the bill and current procedures follows: S. 3515 Subsection (a) No funds other than provided in subsection (f) can be obligated or spent for property to protect the private residences of the President or Vice President unless the obligation or expenditure is made by the Secret Service, certified by the Director or Deputy Director of the Secret Service, and approved by the Director or Deputy Director of the Secret Service. Current Procedure Funds are appropriated directly to the Secret Service for protective property at private residences. Secret Service's procedures require the Deputy Director of the Secret Service to approve a written request for all protective expenditures at private residences. S. 3515 Subsection (b) Any property acquired for protection of private residences shall be removed and returned to the Secret Service upon termination of the President's or Vice President's term of office unless if cannot reasonably be removed or the Director of the Secret Service deter- mines it is needed for the continuing protection of the former President or former Vice President. Current Procedure Removal of protective property is required if the property can be reasonably and economically removed. S. 3515 Subsection (c) The President and Vice President are each allowed to designate a single private residence for which funds for protective property can be obligated in accordance with (a) above. Current Procedure There is no limit on the number of private residences for which funds for protective property can be obligated. i FORM LIBRANA 2 S. 3515 Subsection (d) Records of obligations for these expenditures on private residences will be reflected separately in the accounting system of the Secret Service and accumulated on a current basis. Current Procedure Records of expenditures on private residences are separately kept within Secret Service's appropriation and are accumulated on an annual basis. S. 3515 Subsection (e) The Director of the Secret Service will report to the Congress no later than February 1 of each year on the expenditures and the reasons why they were made. GAO can audit any of these records on request from the Speaker of the House, President of the Senate, or the majority or minority heads of either the Senate or House of Representatives. Current Procedure GAO can audit all records of expenditures by the Secret Service. Secret Service and the Treasury, Postal Service, and General Govern- ment Subcommittees of the Committee on Appropriations are formulating the reporting procedures for expenditures at private residences. S. 3515 Subsection (f) Any funds used for any property at any private residence of the President or Vice President (other than that property provided for in (a) above) shall be appropriated directly to the President or the Executive Office of the President. Records of the obligations shall be kept, reported to the Congress and subject to GAO audit. Current Procedure The Secret Service provides all protective property. There appears to be no funds specifically authorized and appropriated for nonpro- tective property at private residences. The Department of Defense provides some nonprotective property in the course of providing communications, emergency relocations, and food service to the Commander in Chief of the Armed Forces. Records of protective expenditures are kept, reported to the Congress, and subject to GAO audit. / BERALD August 30, 1974 MEMORANDUM FOR: BILL TIMMONS FROM: PHIL BUCHEN SUBJECT: Legislation dealing with the President's residence So far as I am concerned, the comments in the OMB memorandum for Jerry Jones on 8. 3515 dated August 5, 1974 (copy attached) represent an appropriate critique of such bill and could be the basis of followup for your letter of July 16 1974, to Senator Bill Brock. Attachments Lyan May DERALO 1. FORD LIBRADA August 30, 1974 MEMORANDUM FOR: BILL TIMMONS FROM: PHIL BUCHEN SUBJECT: Legislation dealing with the President's residence Se far as x am concerned, the comments in the OMB memorandum for Jerry Jenes on B. 3515 dated August 5. 1974 (copy attached) represent an appropriate critique of such bill and could be the basis of followup for your letter of July 4 1974, to Senater Bill Brock. Attachments dei PWBuchen:ed Jerry Johns Lyan May FORDS is LIBRARY QERALD August 30, 1974 MEMORANDUM FOR: BILL TIMMONS FROM: PHIL BUCHEN SUBJECT: Legislation dealing with the President's residence So for as I am conserned, the comments in the OMB memorandum for Jerry Jenes on S. 3515 dated August 5, 1974 (copy attached) represent an appropriate critique of such bill and could be the basis of followup for your letter of July 4 1974, to Senster Bill Brock. Attachments Lynn May FORD is LIBRARY August 30, 1974 MEMORANDUM FOR: BILL TIMMONS FROM: PHIL BUCHEN SUBJECT: Legislation dealing with the President's residence So for as 1 am conserned, the comments in the OMB memorandum for Jerry Jenes on s. 3515 dated August 5, 1974 (copy attached) represent as appropriate eritique of such bill and could be the basis of followup for your letter of July 4 1974, to Senator Bill Brock. Attachments Lynn May FORDO is LIBRARY August 30, 1974 MEMORANDUM FOR: BILL TIMMONS FROM: PHIL BUCHEN SUBJECT: Legislation dealing with the President's residence So for as 1 am conserned, the comments in the OMB memorandum for Jerry James on s. 3515 dated August 5, 1974 (copy attached) represent as appropriate critique of such bill and could be the basis of followup for your letter of July 4 1974, to Senater Dill Brock. Attachments Lynn May GERALD 4. LIBRARY FORD August 30, 1974 MEMORANDUM FOR: BILL TIMMONS FROM: PHIL BUCHEN SUBJECT: Legislation dealing with the President's residence So far as I am concerned, the comments in the OMB memorandum for Jerry Jones on S. 3515 dated August s, 1974 (copy attached) represent as appropriate critique of such bill and could be the basis of followup for your letter of July 1, 1974, to Senater Bill Brock. Attachments Lynn May FORD is LIBRARY GERALD August 30, 1974 MEMORANDUM FOR: BILL TIMMONS FROM: PHIL BUCHEN SUBJECT: Legislation dealing with the President's residence So for as I am conserned, the comments in the OMB memorandum for Jerry Jones on 8. 3515 dated August s, 1974 (ongy attached) represent as appropriate critique of such bill and could be the back of follows for your letter of July L 1974, to Senster Bill Brock. Attachments PWBushen:ed BERALD 4. off August 30, 1974 MEMORANDUM FOR: BILL TIMMONS FROM: PHIL BUCHEN SUBJECT: Legislation dealing with the President's residence So for as I am conserned, the comments in the OMB memorandem for Jerry James on s. 3515 dated August 5, 1974 (copy attached) represent as appropriate eritique of such bill and could be the basis of followsp for your letter of July 4 1974, to Senater Bill Breck. Attachments Lynn May FORD : LIBRARY GERALD DEPARTMENT OF THE TREASURY see also UNITED STATES SECRET SERVICE President WASHINGTON, D.C. 20223 Personal- OFFICE OF THE DIRECTOR 620.11 November 14, 1974 (ale res dence) Nil MEMORANDUM FOR : Philip Buchen Counsel to the President FROM : David H. Martin DHM Legal Counsel SUBJECT : Rental of the President's House in Alexandria Bill Casselman called me this morning regarding the above captioned subject and requested a clarification of the Secret Service position regarding the future use of the command post located there. Apparently, the President has indicated that he may utilize this house as his residence in the future. Based on that information, the Secret Service feels that the command post should not be physically altered into a garage, but should remain as is for future utilization. As I under- stand it, the toilet facility, the walls and the rug would remain; the stove and refrigerator would be reclaimed by the General Services Administration. Another minor matter that has arisen and which I discussed with Bill, is painting the walls and cleaning the rugs in the command post as requested by the realtor handling the leasing of the residence. We do not feel that these matters fall within the authority or res- ponsibility of the Secret Service. Further, in view of recent Congressional interest in Secret Service expenditures of this nature and also the requirement of Congressional appropriation committees for the Secret Service to account for protective expenditures on a quarterly basis, we feel that the Secret Service should not assume these expenses. If I can be of further assistance, please call me at 964-8208, or Code 184, extension 8208. FORD is LIBRARY 9EPALD THE WHITE HOUSE WASHINGTON Date: December 16, 1974 TO: PHILIP BUCHEN FROM: ANNE ARMSTRONG For Your Information For Appropriate Handling Remarks: I need your comments by noon Wednesday. If I don't hear from you I'll assume you concur as stated. Concur-P.W.B. BERRAD FORD LIBRARY DRAFT 12-16-74 MEMORANDUM FOR THE PRESIDENT FROM: ANNE ARMSTRONG SUBJECT: Bicentennial and Longer Range Potential of Excess Federal Land in the Vicinity of Beltsville, Maryland This memorandum relates to my duties in both the Federal Property Council and Bicentennial areas. Some 3,600 acres of land at the Agricultural Research Center in Beltsville, Maryland, have been reported to the General Services Administration as excess to the needs of the Department of Agriculture. The land is worth about $13 million but has been essentially unused since 1971. It constitutes one of the few remaining undeveloped large-acreage areas in the Baltimore-National Capital area, a region which has a shortage of land set aside for recreation and conservation purposes. There are numerous groups and individuals who are pressing the Federal government to decide what is to be done with this valuable, too-long unused land. Some have requested that portions or all of it be made available to the State of Maryland, Prince George's County, or certain educational institutions. Others, including Senators Mathias and Beall and Congressman Hogan, favor Federal retention of the property as an entity, with it being used for recreation, conservation, and wildlife preservation activities. The National Capital Bicentennial celebration also has a bearing upon the utilization of the Beltsville property. First, the Department of the Interior hopes to obtain 900 of the 3,600 excess acres for inc hision FOR In CERALD. LIBRARY - 2 - its Patuxent Wildlife Research Center. The Department has funds earmarked for a visitor's center which can be ready in 1976 provided work can commence soon. Second, the Beltsville property has the potential for alleviating the projected Bicentennial shortages in both campsites and fringe parking spaces. More than 50% of the visitors to the National Capital Bicentennial celebration are expected to arrive through the Baltimore-Washington highway corridor, and the Beltsville property is located near the Baltimore- Washington Parkway. The land has the potential to provide 600 mobile camper sites, which would reduce the estimated 5,700 campsite deficit by more than 10%. Similarly, it could accommodate parking for 1,000 cars and be useful in meeting some of the fringe parking needs on those special days when abnormally large visitor influxes overload the normal fringe parking lots. For those reasons, and because current parking plans could go awry, the White House Interagency Bicentennial Task Force wants to keep open the option of making camping and parking facilities available on the Beltsville property. Here are three options for your consideration: -- Option 1: The President announces that the excess land at Beltsville will be committed to long-range recreation, conservation, wildlife preservation and related scientific and educational purposes; that the Patuxent Wildlife Research Center will receive 900 of the 3,600 excess GERALD FORD LIBRARY - 3 - acres; that the Department of the Interior will undertake a study to recommend the long-term management of the excess property, what investments will be required, and who (Federal, state, or local agency or combination thereof) should be assigned that responsibility; and that, in the interim, the property will be available as a potential supplement to the Bicentennial celebration camping and fringe parking plans. -- Option 2: The same as Option 1 except that a specific camping project would be launched and would be Federally-sponsored, and a supplemental $1.5 million FY 75 appropriation would be sought to construct Bicentennial facilities. -- Option 3: Transfer 900 of the 3,600 excess acres to the Department of the Interior for inclusion in the Patuxent Wildlife Research Center; forego all other Bicentennial potential land, without additional analysis, abandon further Federal consideration of integrated long- range planning for the remaining 2,700 excess acres; and immediately make the property or portions thereof available to Federal agencies, the State of Maryland, or local jurisdictions for a variety of potential uses. In considering these three options and others, two criteria have been uppermost in my thinking. First, there is a real need to preserve the recreation and conservation potential of the Beltsville property. Second the value of the land is due to its location and size, and every Deffort - 4 - should be made to avoid a piece-meal disposition of the property. These two principles have been the common threads running through most of the proposals we have considered, and have been explicitly supported by the two Maryland Senators and the Congressman. Option 3 does not meet these two criteria, while Options 1 and 2 do. However, Option 2 necessitates an immediate Federal outlay of about $1.5 million, and neither reprogramming the Department of Interior budget nor seeking an FY 1975 supplemental appropriation seem advisable at this time. Therefore, as Chairman of the Federal Property Council and as Chairman of the White House Interagency Bicentennial Task Force, I recommend that you select Option 1. Rog Morton and the members of the Federal Property Council (Roy Ash, Philip Buchen, Dean Burch, Alan Greenspan, Bill Timmons, and Russ Peterson) concur in this recommendation. If you agree, there is attached for your signature at Tab A a memorandum that will notify Secretary Morton of your decision and direct him to implement it. Agree; implement Option 1. Disagree; prefer Option 2. Disagree, prefer Option 3. Comments: BERALD FORD LIBRARY