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COLLECTION jA5 \- 53 Core
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BOX No. ANB
FOLDER ME ¢ A ‘Te l Vol Ut
408760
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COPY $O SECRETARIAT
MARL WPR
APR 261956
Honorable W. J, MoleLli
Comptro)ler
Departsent of Defense
Washington 25, D.C.
CLOT COPYAVAILS TLE
Dear Mr. McMetl:
The Atomic Baergy Cowaission has, for some time, been experiencing certain
difficulties in planning, budgeting end funding for military requirements
on Bnivwetok Islund in the Pucific Proving Ground.
It is the purpose of
this letter to atate such prohlens and request your sselstance in effect~
ing thelr solution.
Ag you know, the Departwent of Defense and the ARC now share costs and
responsibilities under written agreement dated July 1, 1955, for operations at the Pacific Proving Ground. This agreement continues similar
urrangesonts sade between the two agencies in prior yeare. One of the
points cf agreesient has been that the ARC would asswae "cost of construction of all base facilities at PPG required by the AEC for military and
AEC eupport of teat operations”.
(See Section C, Paragraph 1, of the
Jwy 1, 1955, agreement). Further, the ARC assumes the cost of maintenance and operation of base facilities on Eniwetok Island, with certain
apectfic exceptions.
Base facilities on Eniwetok Island are essentially military in character;
the requirenents generated by the Joint Task Force are, therefore, specialfeed. Ag you can apprecinte, it is extremely awkward for one agency to
Dadget for unique requirements of another.
Yet, under our current agree-
ment, the AEC hag such 5 responsibility. This situation is further aggravated when, as the result of differences in the budget cycles of the two
agencies, or for other reasons, military construction requirements are
generated for which AEC hos not budgeted. Where the AEC bas been unable
to fund such conatruction, the Joint Bask Force hes, Im some ineteaces,
fone sa.
Since the two agencies budget in accordance vith the current
agreement snd since, in this instance, the funding respousiblilty in ARC's,
@ question as to the propriety of the use of military funds could arise.
:MAB: WPRisso
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34-17-56
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