CIA-RDP96-00788R001200020014-3

Approved For Release 2000/08/07 : CIA-RDP96-00788R001200020014-3
erAnFT
NOT RELEASABLE TO
FOREIGN NATIONALS
DAMI-ISH
SUBJECT :
GRILL FLAME (U)
it can be determined can meet INSCOM's requirements at the least
possible cost. INSCOM also desires to develop personnel in the
creas of concentration and focus. Cost of this training is not
Vet available. (NOTE: DIA proposal states $120K from Army INSCOM
all to be funded for an SRI effort. DIA maintains that Army had
previously agreed verbally to provide $150K, then $120K and now
possibly even less than $120K. Both LTC Watt and MAJ Stoner
disagree and LTC Watt has a Memorandum for Record to back up
statement. ) .
(2)
(S/NOFORN)
DIA Made a unilateral decision to send
the DIA primary contract. monitor to SRI, Menlo Park, CA on Thursday
21st or Friday 22d of August. This was done prior to the MOU being
approved by Director, DIA; Army, and Air Force ACSIs.
NOTE: DIA
states no one objected to the primary contract monitor going to the
West Coast at the 18 Aug 80 meeting. Both LTC Watt and MAJ Stoner
have gone on record previously objecting to the need for the contract
monitor to physically locate himself at SRI for the following
reasons :
SG1J
(a)
(S/NOFORN) If the GRILL FLAME Committee is in
fact joint, the DIA has no right to make a unilateral decision such
as they have prior to the MOU being signed. NOTE: DIA feels since
DIA is funding
' move it is no one else's problem. We feel
if this decision is critized, DIA, Army, and Air Force will jointly
be held responsible since we are a joint committee.
(b) (S/NOFORN) If the primary contract monitor is
located on the West Coast with SRI, we question how he can best
monitor all additional contract efforts elsewhere.
NOTE: DIA
feels since SRI is best qualified in this project they will now,
and probably continue to receive most of the contracts, therefore,
it makes sense to maintain the contract monitor at that location.
(c) (S/NOFORN)
The move of the primary contract monitor
bo SRI totally disregards the recommendation of the Department of
The Army GRILL FLAME Scientific Evaluation Committee Report, dated
December 79, page 10, para 3b.
"Dependence on the SRI approach
should be phased out." NOTE: DIA feels the Gale Report is biased
and GRILL FLAME was doomed before it started, therefore, no one is
going to accept its recommendations (especially when we are using
Program III funds vice Program VI.
2
30M: FLAME (U)
.10 5 HOLD/HAND CARRY
NOT RELEASABLE TO
FOREIGN NATIONALS
Approved For Release 2000/08/07 : CIA-RDP96-00788R001200020014-3

Approved For Release 2000/08/07 : CIA-RDP96-00788R001200020014-3
CONLI
NOT RELEASABLE TO
FOREIGN NATIONALS
DAMI-ISH
SUBJECT :
GRILL FLAME (U)
SG1J
SG1J
SG1J
(d)
( S/NOFORN )
The move of the contract monitor to
SRI potentially decreases the operational security of the project.
Hal Puthoff and Russ Targ are well known as so-called experts in
the PSI area.
To move a DIA contract monitor to work closely with
them makes it difficult to deny DOD interest in PSI. NOTE:
It
appears DIA believes both LTC Watt and MAJ Stoner "have it in"
for Dr. Verona's office, specifically
and all of these
objections are directed at
At the risk of being accused
of parochialism, MAJ Hay does not believe this to be the case.
Both LTC Watt' and MAJ Stoner believe that
from the very
beginning constructed himself a position at SRI for personal gains,
and that he skillfully sold the idea that he should be the "man" at
SRI.
has continuly MISRepresented facts to DR.VORONA.
3. (U)
IMPACT :
a.
(S/NOFORN)
If our proposed draft MOU is approved, INSCOM
will likely fund $70K for contracts with SRI. SRI initially felt
that it would be necessary to fund $500K to maintain an adequate
program in PSI but reduced that figure to $450K. That figure was
further reduced to $390K for FY 81 by the GRILL FLAME Committee.
According to DIA, this will cause SRI to reduce the number of per-
sonnel working the project. If Army INSCOM further reduces the
dollar figure by $Sek, SRI may pull out of the program. DIA firmly
believes SRI, as configured with current personnel, is a national
asset. MAJ Hay thinks that is stretching things a bit far, but
does believe SRI efforts should continue if they can produce DOD
requirements better than any other contractor at the least possible
cost to DOD. If SRI did pull out, DIA's primary contract monitor
would be left on the West Coast to monitor nothing, possibly causing
the contract monitor to bring civil suit against DeD for creating
family hardships, loss of funds, etc. This would cause an embarrass-
ing situation for LTG Tighe and Dr. Verona. Although Army and Air
Force are not formally a part of the Joint Services GRILL FLAME
Committee (no signed MOU) we have been very informally involved
since 1978. This could cause some embarrassment to Army/Air Force.
b. (S/NOFORN )
If SRI does not "pull out" and the DIA monitor
remains at SRI, there may be at a later date some question dealing
with the objections listed in paragraph 2(a) (b) (c) (d) above.
Additionally, there is the potential for questions to arise dealing
with possible conflict of interest, e.g., other contractors question
the DIA primary contract monitor located at SRI offering work to
other contractors without bias.
3
.E )UMLTH NO CARRY
CRONFT
NOT RELEASABLE TO
FOREIGN NATIONALS
Approved For Release 2000/08/07 : CIA-RDP96-00788R001200020014-3

Approved For Release 2000/08/07 : CIA-RDP96-00788R001200020014-3
NOT RELEASABLE TO
FOREIGN NATIONALS
DAMI-ISH
SUBJECT :
GRILL FLAME (U)
4. (U)
CONCLUSION :
a.
( S/NOFORN )
Dr. Verona is angry because he believes Army
INSCOM is backing out of its commitment of $120K. His main concern
appears to be the loss of the $120K from Army to go with the SRI
program for FY 81. He feels strongly SRI will pull out if Army
reduces the $120K further.
b.
(S/NOFORN )
The changing of the proposed MOU does not appear
to bother Dr. Verona, except he does not feel, as program manager,
he has to clear through the GRILL FLAME Committee before talking
with Congress or anyone else about the program.
5.
(U)
OPTIONS:
a.
(S/NOFORN)
Army withdraw from the Joint Service Program.
Advantages
(1)
Freedom to spend Army money
when and where we desire.
1
Disadvantages
(1) We get less for our money
as Joint Service contracts
provides benefits from DIA/USAF
programs, i.e., exchange of
information.
(2)
Manage our program without
coordination/approval of DIA.
(2)
Prevents duplication of
effort.
(3) If SRI as presently staffed
should be considered a very
valuable asset to Army, the
program would suffer if there
is no joint service contract.
b.
(S/NOFORN )
Army remain in the Joint Service Program as it
is now operating
Proposed IN Theoriginal Mov.
Advantages
Disadvantages
(1)
Most cost effective.
(1)
Army cannot spend money where
they feel it can obtain best results.
(2)
Appears to be better managed/
organized (at least on paper) .
(2) DIA makes unilateral decisions
without regard to service needs.
Decisions could prove not in best
interest of Army.
(3) Keeps the SRI effort going
as currently staffed which may or
may not provide DOD with long term
benefits
C TL FLAME (0)
LLOSE HOLD/H NO CARRY
NOT RELEASABLE TO
FOREIGN NATIONALS
Approved For Release 2000/08/07 : CIA-RDP96-00788R001200020014-3

Approved For Release 2000/08/07 : CIA-RDP96-00788R001200020014-3
NOT RELEASABLE TO
FOREIGN NATIONALS
DAMI-ISH
SUBJECT :
GRILL FLAME (U)
C.
(S/NOFORN )
Army remain in the Joint Service Program but
modified as follows :
(1)
( S/NOFORN )
As stated in our proposed MOU (TAB A) .
(2)
( S/NOFORN )
Go on record to object to DIA's unilateral
decision for sending the primary contract monitor to SRI for reasons
listed in paragraph 2a, b,c,d.
(3) (S/NOFORN) Approve $50K end of year funds to go to
DIA to ensure $120K Joint Service Contract for FY 81 continues as
DIA believed or stated they believed Army had committed prior.
Advantages
Disadvantages
a
(+)
Keeps the Joint Service
Program alive at least for one
year.
(a) Could anger DIA and cause
them some embarrassment.
(b)
Should be more cost effective.
(1)
Should be better managed/
organized.
(d)
Should eliminate duplication of
effort.
(e)
Should provide better exchange
of information.
(f)
Should eliminate unilateral
decisions by DIA.
((1)
Should allow Army INSCOM to obtain
training from contractors other than
GRI.
5
Should allow advance RV training
and other beneficial training for
JNSCOM with the SRI team.
(i )
Prevent possible outside DOD
embarrassment for LTG Tighe and Dr.
Verona .
5
08A1 FLAME (0)
LOSE HOLON NO GABRY
SEONLI
NOT RELEASABLE TO
FOREIGN NATIONALS
Approved For Release 2000/08/07 : CIA-RDP96-00788R001200020014-3

Approved For Release 2000/08/07 rCIA-RDP96-00788R001200020914-3
FOREIGN NATIONALS
6. (U)
RECOMMENDATION :
DAMI-ISH
SUBJECT :
GRILL FLAME (U)
Option C; if DIA refuses, go with Option A.
MAJ Hay/50114
APARRT
SEGRET
6
2ANH A /H NO CARRY
NOT RELEASABLE TO
FOREIGN NATIONALS
Approved For Release 2000/08/07 : CIA-RDP96-00788R001200020014-3