Approved For Release 2008/01/30 Intelligence Agency 02 uni/1933' Washington. D. c. 20505 Ms. Loret Miller Ruppe Director Peace Corps 806 Connecticut Avenue, N.W. Washington, D.C. 20526 Dear Ms. Ruppe: Thank you very much for your letter of 18 October 1983. I am pleased that we have been able to reach agreement on most of the issues outstanding between our agencies. I understand the long-standing position of your agency with respect to the lifetime bar on Peace Corps employment of Agency personnel and I do not intend to make a further issue of it at this time. However, I continue to disagree with that position because I don't believe a lifetime bar is necessary and I believe that such a bar does a terrible disservice to the honorable men and women who serve this Nation by working at the Central Intelligence Agency (CIA). It is difficult for me to understand why this Agency has been singled out by the Peace Corps for treatment different from that accorded any other Intelligence Community agency. While I am sure that you support the Agency's mission, the continuation of this policy could be misinterpreted as standing for the proposition that association with Agency personnel would somewhat "taint" the operations and activities of your organization. What particularly concerns me about the policy is that other government agencies, as well as various organizations in the private sector, might be encouraged to adopt such a policy, which stigmatizes CIA employees solely because of their prior government service. The Peace Corps model c0uld well be cited as precedent for such action. Indeed, the State Department authorization bill was recently amended to prohibit certain intelligence personnel from ever being employed by the National Endowment for Democracy, with the Peace Corps example specifically cited in support of the amendment. z. Approved For Release 2008/01/30 Approved For Release 2008/01/30 CIA-RDP85M00364R001703270007-8 Hopefully, with the perspective that flows from the passage of time, it might be possible for us to reach a compromise on this issue. Notwithstanding our differences with respect to your policy, I want you to know that I will do everything I can to support you and your agency's activi? ties. You have a difficult job before you, and I have no desire to make that job more difficult. Sincerely, 75/. William J. Casey William J. Casey Director of Central Intelligence Approved For Release 2008/01/30 CIA-RDP85M00364R001703270007-8 for, {3 Approved For Release 20 . . 08/01/30 . CIA-RDP85M00364R001703270007-8 I?Vveuu? .- away/M . To: (Name. of?ce symbol. room number, 1 Initials? {Slatel it building,A3ency/Post1-5-5 5. Action File Note and Return _A_p_proval For Clearance Per Conversation 3' As Requested For Correction Prepare Reply "'35 Circulate For Your Information See Me Comment Investigate Signature Coordination Justify REMARKS (gen?4L No Leas/lorry? 0? OUR Luprhl (Pa/1c: Cm?ikj?: Iv (4U 51?? 93.48941 ?-37 r? . OF allow A S'imilm?t TIM Eg?W-bowwept? Rm 9-2. . 1'3 moi-?5? c?We; mil (.7. DO NOT use this form as a RECORD of approvals. concurrences, disposals. clearances. and similar actions Room FROM: (Name, org. symbol, Agency/Post) Phone No. sou-1oz . OPTIONAL FORM #1 (Rev. 7?76) 101-11.206 ?nsoponera-oom?ou ?3354 ""391 ?gs-I - are.31- ?j-I no": ?4 . or. ,3 ?Silo-?Lwa?j .. .. .5339; . ?lot-it?- 3?pgmoxgeg Re. [30 Approved For Release 2008/01/30 CIA-RDP85M00364R001703270007-8 ROUTING AND TRANSMITTAL SLIP Date T0: (Name. office symbol, room number, building, Agency] Post) initials Date Action File Note and Return _A_pprova! For Clearance Per Conversation As Requested For Correction Prepare Reply Circulate For Your Information See Me Comment Investigate Signature Coordination Justify 1 REMARKS y?eP?i?Q? STAT DO NOT use this form as 3 RECORD of approvals, concurrences, disposals. clearances, and similar actions FROM: (Name, org. symbol, Agency/Post) Room him?Bldg. Phone No. 5041-102 {21' s. 1 ?TH-ll 45.17 335- Approved For Release 2008/01/30 CIA-RDP85M00364R001703270007-8 OPTIONAL FORM 41 (Rev. 7-76) Prescribed FPM (4 l. GSA 101?11206 Approved For Release 2008/01/30 CIA-RDP85M00364R001703270007-8 . ch 2 November 1983 Public Release by DCI Casey On behalf of the Intelligence Community, I have-agreed with Senator Proxmire that the National Endowment for Democracy will not be used to conduct intelligence activities. In addition, I have reached a general understanding that intelligence community personnel shall not be permitted employment by the National Endowment for Democracy except as jointly agreed to in future negotiations with Senator Proxmire with regard to the length of the prohibition and the encompassing definition of intelligence activities. In light of the above understanding, Senator Proxmire has agreed to withdraw his amendment to the 1984 State Authorization Act barring individuals who have engaged in intelligence activities since 1063 from participating in the National Endowment for Democracy. Approved For Release 2008/01/30 CIA-RDP85M00364R001703270007-8 Approved For Release 2008/01/30 CIA-RDP85M00364R001703270007-8 I OLL 83-2714 2 November 1983 MEMORANDUM FOR: Director of Central Intelligence FROM: Clair E. George Director, Office of Legislative Liaison SUBJECT: Restrictions on Peace Corps Service by Current and Former Agency Employees 1. As you may know, through a series of letters (attached at Tab A) between Ms. Loret Miller Ruppe, Director, Peace Corps, and yourself, an issue has been raised concerning a lifetime bar to Peace Corps service by former CIA employees. Ms. Ruppe in an 18 October 1983 letter, has asserted that the ?long standing Peace Corps policy establishing a lifetime bar to Peace Corps service by former CIA employees is of critical importance to the Peace Corps and must be maintained. In this letter, Ms. Ruppe rejects our earlier suggested proposal that this lifetime bar be reduced to a ten year limitation with an option to extend the bar beyond ten years on a case-by-case basis. 2. The Office of General Counsel recently provided you with a response to Ms. Ruppe's 18 October 1983 letter (attached at Tab B). This letter essentially-states that while the Agency disagrees with the position that a lifetime bar is necessary in these circumstances, that you do not intend to make a further issue of this policy at the present time. 3. If you decide, in fact, to concede on this issue to the Peace Corps and thus acquiese to a lifetime bar on Peace Corps service by former Agency employees, this would not, in our View, be a suitable model for negotiating similar restrictions to be placed on Agency employees seeking employment in the National Endowment for Democracy (NED). Approved For Release 2008/01/30 CIA-RDP85M00364R001703270007-8 STAT Approved For Release 2008/01/30 CIA-RDP85M00364R001703270007-8 STAT 5. In summary, presently before you is a decision on whether to acquiese to the Peace Corps' proposed lifetime ban on utiliZing or employing Agency personnel. Your decision in this regard obviously will impact on whether the Peace Corps model should be used in drafting similar restrictions on Agency employees and their potential service with the NED. STAT Clair E. George Attachments 2 Approved For Release 2008/01/30 CIA-RDP85M00364R001703270007-8 - -.these factors,.maintaining the present_policy 1s_o_ ?the Peace COPPS.1-1: Approved For Release 2008/01/30 CIA-RDP85M00364R001703270007-8 i! .33 42390Office of the Director - October 18, 1983: Mr. Hilliam J. Casey . .. i Director Central Intelligence Agency Washington, 0.0. 20505 Dear Mr. Casey:;l I7 . I am reSponding to the points which you raised in your letter of July" - 25, 1983 concerning the Peace Corps intelligence policy. You have out? lined three remaining areas in which our two agencies have not as yet reached full accord, and suggested possible resolutions which would-be . acceptable to the CIA. The first issue you raised is with respect to the wording of the general statement concerning the policy which we propose to publish_in the Federal'Register as part of our regulations defining the qualifications for Peace Corps Volunteer service. After discussions with our Genera}. 'Counsel, I have determined that the deletion of the langUage which you have proposed would be_acceptable to the Peace corps. I also find that we are.able {b concur with your suggestions regarding: 7 . a clarification of the application of the policy to the relatives of CIA ..employees. This should,resolve your concerns about that particular aspect 'Of the rule, 9- .- .. . i. However, I am not able to concur.with your final point, your proposal that the lifetime-bar to Peace Corps service by former CIA employees be - p,euunf reduced to a ten'year limitation with an option to extend -- ten years on a case by case basis. have given this matter a great :7 of thought, realizing the importance of the issue to the CIA,.the adverse2i ?impact the present policy may have.on the career aspirations personnel, and the potential loss to the Peace Corps in terms of highly }itff;;y -qualified personnel. However, I have concluded that, notwithstanding .ss, I should first like to point out that accepting yoUr tution.for the current'policy would represent a substantial retreat from a practice which has been uniformly enforced the inception of the Peace Corps in 1961 to the present time. 'It is a practice, I might add, 3 which has been recognized and respected over the years by the CIA (see attached letter dated March 31, 1976 from F.H.M. Janney, Director of Personnel, CIA, to Richard Doyle, Associate General Counsel, ACTION). The i -J- 'pi 806 Connecticut Avenue, NW. Washington. DC 20526 . nun-0' s9 . .. -me. a; till-ff mum . lliil Approved For Release 2008/01/30 CIA-RDP85M00364R001703270007-8 -2- modification of the policy whiCh you pr0pose would therefore inevitably raise questions regarding both the CIA's insistance on a more flexible rule, and the Peace Corps' decision to acquiesce in such a change. One conclusion which would undoubtedly be voiced by those hostile to the Peace Corps is that the CIA is seeking to use our agency as the basis for covert -operations. . - a This charge would be difficult for the Peace Corps to rebut, partic- ularly overseas. Even if we were to restrict our acceptance of former CIA personnel to individuals who had not worked for the CIA for at least 10 years and who had, while employed there, performed only_duties entirely unrelated to the Agency's intelligence functions, it is my belief that we would be unable to convince some segments of the public that those persons were not using the Peace Corps as a cover_for covert activities. That is . because of two pOpular misconceptions which are particularly prevalent in? the Third World. The first is that once an individual is employed by the . CIA, he or she remains available for agency operations or continues in the Agency's employ for the duration of his or her career. The second is that all CIA employees can be assumed to be engaged in covert activities regardless of their official titles. The latter misconception is perhaps enhanced by occasional journalistic exposes of CIA operations and by the Agency's own restrictive practices with reSpect to the release of infor4?' mation about its personnel structure. - - - ability to survive numerous attempts to impair the credibility of Peace Corps Volunteers by attempting to identify them as CIA agents has been greatly enhanced by the inability of person or groups making such . allegations to provide a shred of substantiation for their charges. I am ?afraid that the presence of a former CIA employee in the Peace Corps, no matter what the individual's association with the Agency might have been, ?would provide the linkage necessary to lend credibility to such accusa- tions. . - . - - The misconceptions I have noted above would also make the administra-im - tion of the intelligence policy on a case by case basis with-respect to . former CIA employees next to impossible. ?Sinc ?the policy is one based as much on perception as on reality, such_factors as elapsed time since theft ?individual last.served with the CIA or the duties performed while in - "employ would be meaningless. In fact, I would be hard put to think of cira* cumstances under which.I would be able to accept a former CIA employee for . fPeace Corps service with any certitude that in doing so I would not jeopar- . dize our program, either locally or worldwide. For that reason, a policy .purporting to consider each individual's case on its merits would be a .__cruel sham since all or almost all such applicants would have to be rejected. Finally, I.am concerned about the impact a dilution of the policy would have on past and present volunteers and staff of the Peace Corps. am very hesitant to take any action which might undermine their faith in the complete separatibn of the Peace Corps from the intelligence activities 3 .. Approved For Release 2008/01/30 . . Approved For Release 2008/01/30: CIA- RDP85M09364R001703270007the Government. Yet that is my fear with respect to how they.would view- . a decision to lift the lifetime bar on the services of former CIA_personnel. I cannot agree with your contention that President Kennedy-or his suc- cessors' failure to explicitly mandate the lifetime bar on CIA employment in any way effects the Peace Corps' policy to retain the bar. By Executive Order 12137, May 16,1979 and its predecessor Orders, the President dele? I gated to the Director of the Peace Corps the authority to set the standards '1 of suitability for Peace Cerps service. Having established the basic pre- - mise that there shall be a complete separation between the Peace Corps and the intelligence activities of the Government, President Kennedy. and his successors have left it up to Peace Corps Directors to implement this poliICy - as they thought fit. However, I would note that when Sargent Shriver first established the policy designed to carry out the President's policy, he. ordered that prior service in any_intelligence agency be grounds for life? time ineligibility for Peace Corps service. This rule remained in effect. . .. . for at least,two_ _years before it was modified, and it would therefore appear - doubtful that President Kennedy was unaware of or disagreed with this policy. Certainly there is no evidence that he ever sought to rescind it. Nor can we determine that the CIA Director at the time Opposed it. -. Finally, I would note that the reasons. for the policy have been stated often and with clarity, both to the Congress and to agencies in the I j_ Executive Branch. .There has never, to my -knowledge, been an attempt to impute to the policy an intent to denigrate the CIA or the dedicated menI and women in its employ. Rather, it has been widely understood. for what it; is, a necessary means to preserve the credibility of our Volunteers over? ;v . seas. Without the rule, I fear that those who seek to deStroy our program 1 will be provided with the means to do so. For this reason I remain a . unalterably Opposed to. any attempt_ to weaken the present policy__ which has -wI ?served us so well. . Iga-igjf .. .. I would 11elcome an opportunity to discuss this matter further with you or to arrange for members. of our staffs to meet. However, I believe that - further delay in issuing the manual section on the intelligenCe poliCy .-pending your response to this letterI is not. -required_ as _our two agencieL 1 are now in accord on all but a single issue. Therefore, .I have cleared the -?yg 3 i .section for Iprinting and internal distribution but not, as we have agreed; -, publication in the Federal Register. If any subsequent change in the policy. might be required, it can quickly be effectuated Iby amendment to the section.: I.. apprec1aterour attentio.n. Sincerely,g oret Miller Rup Birector.. 1 AttachmentApproved For Release . . - 1F 1-1- . . oad/pt hf}. . . Approved _For Release 2008/01/Richard Doyle; Esq. . I. - - .Associate General Counsel if - ACIICN Washington, D. c. 20529 Dear l-tr. Doyle: At our conference of 24 Health 1976, you supplied me a copy of your: moron/31m of 23 March 1976 to Michael H. Roxie, Appeals Officer, and. presented your agency?s request that I adamledge the history'of cooperation that has existed between Peace and CIA concerning emplopzrent of - persomel with int?lligemce-Peace Corps backgroundscan Confirm the following: Since the inception of thePeace Corpsl - this Agepcy hes prohibited operational 'use of your agency or its members. Tins policy ongmated in 1961-2111:! was reaffirmed by the Director of Central . Intelligence in a 'letter to the AssociatexDirecto': for International Operations, . on 18 Febmaxy 1976. In accordance with this policy and . tion of the Peace policy" of not hiring individuals with intelli- q' gence for positions, with international responsibility, ?it has been the policy of this Agency to infom'forner andteminating employees . thiet-they are not eligible to be employed by Peace Corps or to serve as - I unteers.-. .I . - 3" Additionally, this has not and does not employ fomer Peace Corps-2 'VOILmteers or staff for a period of fiVe years after their sewice with - Peate Further, any Agency. employee formerly associated with Peace . . .. 5-5 mt wig/1&1 t0 3 MW in ?CREEK-employee served while r-as'so? ciated with'Peace . . .. . 69-1--..-. - Lt. re 'Thej intemal regolation's of this Agency ugh. 357;. e. 2&3! 931535. 5? Due to the classification Of documents: they cmmot be . fig-153:Jam 3:1. Director of Persomiel'j} Dist"we" ?mono - D/PersSubject File . QGC ARetyped in (29 Mar -76)f_ .. . II- by! . App'r'je'vequr" Release 2008/01/30 j; Approved For Release 2008/01/30: CIA-RDP85M00364BOQ1703270007-8 1mm ?wingmi 20505 25: JUL 1983 Ms. Loret Miller Ruppe . . - . Director, Peace Corps 806 Connecticut Avenue, N. W. .- - Washington, D.C. 20526 Dear Ms. Ruppe: I read with great interest your letter of 3 June 1983 which reflects the highlights of the previous correspondence between our agencies concerning the Peace rCorps' proposed intelligence policy. In our last letter to the Peace Corps on this subject, date 2 January 1980, we attempted to narrow the areas of our disagreement concerning this policy. The letter set forth our objections to certain elements of that proposed intelligence policy and suggested ways in which the concerns_ of the Peace Corps could be addressed in a manner more ginnei' satisfactory to both of our agencies. . . -A. - . -*t71? To briefly summarize our position with respect to the 5; Peace Corps' proposed intelligence policy, our_ concerns haYe- _cent cred around the_A following features of th1s policy: - -- - .. .--.-.- 44? The absolute prohibition on the hiring . -of anYone with a background of Centralcr"?1"r ?x?bcf*? Intelligence Agency 4: ,tiga; Lao k; . The restriction placed on employment; o?r4s ents and close relatives of anyone- With?a?O*F? bac ckground of intelligence- agency employment" 31$ . 1? ski-rt 1 . 1T 3?3: . The contractor prohibition andag- The publication of Peace Corps=e .1: . .. 1 intelligence policy in the Federal audh#f . 1.11.; 4 We indicated to you in our letter that, .rather than . promulgating these broad? ?sca1e, unfair, andA possibly illegal regulations, a more measured and reasonable case?by?case approach would be better suited to eliminating the perception 120:3. Approved For Release 2008/01/30 .. Approved For Release 2008/01/30 CIA-RDP85M00364R001703270007-8 that the Peace Corps is an arm of American intelligence a perception which is of legitimate concern to the Peace Corps. Such an approach would look at the facts and circumstances of the individual case and then provide for an employment or contracting decision to be made based upon the perceptions that might arise from the employment or 'utilization of a particular person or contractor by the Peace Corps. We also suggested that an executive order on the subject would be a more appropriate and effective public mechanism than the unilateral publication of Peace Corps policy in the Federal Register for establishing that the. Intelligence Community is specifically prohibited from using- the Peace Corps in its intelligence activities. - . Based upon your 3 June letter, I believe we can move towards the full resolution of certain of the outstanding differences between us. By limiting the scope of your policy 1 to exclude industrial contractors and their employees from coverage, our concerns regarding the application of your policy to independent contractors have been alleviated. . Also, your willingness to refrain from publishing the details - i of your intelligence policy in the Federal Register goes a long way towards satisfying our concerns in this area. However, I believe that the general statement you now propose to publish in the Federal Register should be modified - . further to indicate that_the Peace Corps' policyMEf I "disassociation from American intelligence activities is 1 longstanding. This is necessary to ensure that a false . inference cannot be drawn that the promulgation of an -- - vintelligence policy by the Peace Corps in the Federal '3 Register was required because this Agency or other intelligence agencies somehow have attempted to use_the Peace -Corps for cover or operational I Peace Corps intelligence policy clearly involves a foreign_-__l? 1 affairs function, it appears that the Administrative?9. -- Procedure Act does not require publication in'the Federal Register of a statement concerning how to obtain more - . detailed information relating to-the Peace Corp5'- 3 1 - 0 ?intelligence policy. A copy of our proposed modification of .LJT your Federal Register policy statement is enclosed for your considerationthe other matters of COncern, it is Still'our View Ithat the restriction placed on the employment of parents and close relatives of anyone with an intelligence background as it is currently worded sweeps too broadly. In your 3 June letter, you have provided examples of what we understand to be the problems in this area that you really intend to reach 'by your restriction, ?individuals Whose spouses are or were involved in actual intelligence operations" and "the a 2 . "Asgard For?Release ?008/01/30 - L. Approved For Release 2008/01/30 CIA-RDP85M00364R001703270007-8 1 ?immediate family of prominent highly placed officials in the .ihtelligence community who might be the target overseas of harassment or violence as a result of their family? - connections." 3e would have no objection to a standard which explicitly incorporates these examples, as well as such . 'additional considerations as whether the family member served in an overt or covert capacity, the length cf their j? intelligence service,-and the amount of time which may have elapsed since their intelligence service. However, if the policy restriction on the employment of parents and close relatives is not so.narrowed, our concern that this_policy is inconsistent with basic American values and notions of fundamental fairness remains unresolved; -- Finally, we continue to be concerned about the lifetime_ bar to Peace Corps employment imposed upon employees cf the Central Intelligence Agency and believe that less draconian alternatives are preferable. Although our records indicate that President Kennedy issued instructions prohibiting use of- the Peace Corps for intelligence purposes, we have no record. which.indicates that he or any other President ever issued'.; instructions prohibiting for life the employment of Agency personnel by the Peace Corps. Accordingly, we believe that_?f_ the ten year period of ineligibility should be extended Agency employees in lieu of a lifetime bar, with the Peace Corps retaining the option to?extend-the-period?bfl??fv?? ineligibility as warranted on a case?by?case basis;4 At same time, the President could reiterate in an executive _Jn5_? order the policy of the United States Government not to usej??a' the Peace Corps for intelligence purposes??;?;J 4- 1-think it would be useful for our legal offices to 2M3- confer at'this point in order to determine which issues can: be resolved and which issues require appeal to the gsag??if? Presidentte I will ask my Office of GenerathOUnselft 2 _arrange such a meeting in the-nearifuture_ 3wmwiu . . '1 a 1 1:17:47: - f. . I .DireCtor of Central Intelligencef? 'Bnclosure _Egng 3 i? saved a .m . Approved, For Release 2008/01/30 CIA-RDP85M00364R001703270007-8 i, - a . -- .25 JUL 1983 Enclosure to Letter of William J. Casey dated $333: Intelligence Background. In accordance with longstanding Peace Corps policy, prior employment by any agency of?the United States Government, civilian or military, or division of such an agency, whose exclusive or principle function is the performance of intelligence activities; or - .engaging in intelligence activities or related work may operate to disqualify a person from eligibility for Peace Corps service?The new language has been underscored and the language to be deleted has been lined out. ?Ae'e'reyed For Release 2008/01/30 11.42111: . .. 1 30?0000 .. . 1 1.11 1 .1 1L1.WOJAJJGS: 11.194.15.111?? .Aum?hfw. ?14.11141 1.115101..- 1.. 1V1111411Lu/ht1111 .. .. .. . .. . 11.11800de 00 . 043004on 001.4400 .1 . . - . . ?111411194214141V31h.10.. ?chin-1..4. 41.40 0.4.1..mew .1.. .. .. . .. .. .nogmam .-.1 . .. . (yawn. U194. 0 .319. 0:01 9004.. 1. 1441 11.1411 . ..1F. 1111.111. 11.1.. 10.03.. Wyn??50?. . 11.11.114.14 411.311.4111er 4 .4011100000 .1 Lm?i 14.431130110144111.-. ital/NH?. 149.101.114.404.114111 . .00&mwm?umw 4449000 00000300 1.001050 00000 ..1. 0300 10Huu0m 0100H000 11.41..- . \1-5 4 5? 1?5. W131: liq 3.41- 'i?lr? .th . ..1 ?141.00% .. 1.110% ..1. . 4.0.0.044.? 1 nl?gol?. Wf?tlmu AMHV .H. 1.411 51.1-31.1 . .. . ..1. 11.1. . 11.111..1-1. m.rr.uuzi.11 ..t?hsft.? 1 .. . 000000100 .mm NMF #00::filiv 00 ?0Mw. 05011040300400.4040 . ..uHV?Wmd..1.1. . gm 0 40HF0000EW100 - .. . - . (1.141.101.611111.511.131.11 .11. 4 . .1. .114. . 5 dew?m?u 1 1 .1. 1141. ?9.11.101. . .. m1.I?ld I 11(511nl . . v.1 1 Mm.. 01000 . 1Lm16uunn?r . . 1 . uni. .. . 1 .rrI . .1. 4 . 364.11.14.14.1014 11110.0 ..-. 4.11M . 001006000 Nooumaiwo. 05- 1m . . . Approved For Release 2008/01/30: CIA- RDP85M00364R001703270007- 8 ii June 3, 1983 The Honorable William J. Casey Director, Central Intelligence Agency Washington, D.C. 20505 Dear Mr. Casey: In the course of revising the Peace Corps manual system, which is a set of regulations, policies, procedures and guidelines which govern the day to day operations of the Peace Corps both in Washington and abroad, I find myself confronted with an issue raised between my predecessors here at Peace Corps and the previous Director of the CIA, Admiral Turner. The issue in question is whether the Peace Corps ought to clarify and reorganize its policy with respect to the eligibility of persons with intelligence background for Peace Corps ser? vice or employment. Strong arguments for doing so were raised during the last administration, and I find them to be persuasive today, particularly within_ the larger context of attempting to update the Peace Corps manual system for the first time since .1973. . The Current published policy, which is contained in two separate manual sections, is different with respect to the standards applied to applicants for employment as opposed to Volunteer service, and does.not have established proce? dures to ensure the consistent application of these standards. These are impor? tant shortcomings which, I believe, must be corrected Dn the other hand, we recognize that in the past CorreSpondence between the CIA and the Peace_Corps, legitimate matters of concern to the CIA were raised by Admiral Turner and his General Counsel, Hr. Silver. In redrafting and simplifying the proposed manual section, I have asked that particular attention be given to modifying the polity to positively address these concerns consistent with Peace Corps' fundamental need to ensure the complete separation, both in appearance and in fact, between our two agencies.? The result, which I am? enclosing, is, I?believe, a manageable compromise. I am requestipg that you aka the time to review the proposed section to determine whether you agree. For your convenience I am highlighting below the major areas of concern raised by our former drafts which were cemmented on by Admiral Thrner and Mr. Silver, together with an explanation of our treatment of these issues. 606 Connecticu: Ave, NW. Washington, D. C, 20526 83?2890 1. Approved For Release 2008/01/30 CIA-RDP85M00363R001703270007-8 Hr. Silver and Admiral Turner objected that the Peace Corps' initial PFOPO- sal to apply the intelligence bar to contractors and their.empl0yees was overbroad, difficult to enforce, and raised issues both of fairness and national security. I concur with the validity of these concerns. As you will note the current proposal is limited in its application to personal services contractors only. Such individuals, whose services are ordinarily obtained by the Peace Corps under contract to perform programming and training functions;overseas, are often so indistinguishable_from Peace Corps staff overseas that information that they had previously engaged in intelligence activities could jeopardize our program., Please note that while we have eliminated from the policy reference to contractor's employees, we are still concerned that contractors providing_a training to Peace Corps Volunteers overseas.n0t use persons with intelligence . backgrounds to perform such services under these contracts. To avoid problems in this area, we plan to put notices in the RFPs for such contracts that the use under the contract of employees with intelligence backgrounds such as would bar employment with the_Peace Corps, will be prohibited by the terms of the contract. - - A second concern was with the fact that applicants, members of whose.fijul ?nnediate family had been employed by intelligence agencies, could in some cases be ineligible for Peace Corps service under the policy. 'we have added language to.clarify that determinations in such cases will only be made on a case by case basis using criteria set forth in the manual section. The intent here is pri- marily to codify a current policy excluding from Peace Corps employment indivi? duals whose spouses are or were employed in actual intelligence operations. We have had actual experience with a staff member married to a former CIA employee. who had to be removed from his post'after his wife's background becameuknown locally. He could also exclude under this policy the immediate family of promi? - nent highly placed officials in the intelligence comnunity who might be the&,- target overseas of harassment or violence as a result of their family . 3 connectionszit?'Another concern was with publication of the proposed regulation in thei*? Federal Register. Admiral Torner believed that such publication could be taken as a pejorative reflection on the CIA and other organizations in theiintelliizrn gence comnunity. While I do not personally believe that the polity'is_intended? .. . or ought to be seen as pejorative in nature, I have made an effort'to ameliorate this concern within the framework of the requirements of theis- TR Administrative Procedure Act. Two'sections will be'printed in the'Peace Corps manual which deal with eligibility for Peace Corps service. .A general sectipn'~ will cover medical, age, citizenship, and other requirements and will note that . 'the Peace Corps has an intelligence policy. 'It will refer the reader to the Peace Corps General Counsel's Office for a copy of thelsecond section which I 3 - have enclosed setting out the policy in detail. Only the general manual section; will be published in the Federal Register. The manual section currently under discussion with you will not appear in the Federal Register, but will be printe_ and distributed to holders of the Peace Corps manual as part of the overall 'manual_revision I noted above; -. "Approved Release 2008/01/30 CIA-RDP85M00364R0017032700076 -. a .- . - 364R001703270007-8 Approved For lielgase 2008/01/Finally, your predecessors raised the issue of the life time exclusion of CIA employees from Peace Corps serv1ce or employment. This policy has been enforced without exception since the establishment of the Peace Corps in 1961. It is my belief that it is this policy, as much as any other effort we have made, which has prevented any of the numerous attempts to link the CIA and the Peace Corps from achieving credibility since not a shred of evidence could be develOped to support such charges. In one case, policy may have saved the life dnapped by a guerrilla group which threatened to try him as a CIA agent and execute him if it ?found him I fear that any retreat from our longstanding policy might in and of itself have an inimical effect on the credibility, and in some cases even the safety, of Volunteers serving overseas. I am therefore very strongly committed to the retention of this rule. However, to minimize any negative effect the policy might have on the image of your agency, we have, as noted above, taken steps to eliminate reference to the bar in our published regulation. - . At this point we are under some serious time constraints in trying to adhere to the printing schedule we haVe established for the completion of the discussed above or other concerns you might still have about the policy, please feel free to call General Counsel, Alexander B. Cook, at 254-3114. . -.-- n' . -1 . Thank you in advance for your assistance in expediting this matters? h: Sincerely;2?f?5sh .g?nie?u ?JAfpprovedFo se 2008/01/3o 25-51;; 1 I -- . . Approved For Release 2008/01/30 CIA-RDP85M00364R0017032700010 m3 i 5- 11.? Al?s. Way"! It Ms. Loret Miller Ruppe Director Peace Corps 806 Connecticut Avenue, N-w. 20526 Dear Ms. Ruppe: Thank you very much for your letter of 18 1983- I am pleased that we have been able to reach agreement on most of the issues outstanding between our agendies.' I understand the long?standing position of your agency with respect to the lifetime bar on Peace Corps employment 0f Agency personnel and I do not intend to make anurther issue of it at this time. However. I continue to disagree with that position because I don't believe a lifetime bar is necessary and I believe that such a bar does.a terrible disservice to the honorable men and women who serve'this Nation by working at the Central Intelligence Agency (CIA). While I am sure that you support the Agency's mission, the continuation of this policy could be misinterpreted as? standing for the proposition that association_with Agency personnel would somewhat "taint" the operations and= activities of your organization. What particularly_concerns_ me about the policy is that other government agencies, as well as various organizations in the private sector, might be encouraged to adopt such a policy, which stigmatiZes CIA employees solely because of their prior government service. The Peace Corps model could well be cited-as precedent for such action, Indeed,.the State Department authorization bill was recently amended to prohibit certain intelligence personnel from ever being employed by the National Endowment for Democracy, with the Peace Corps example specifically cited in support of the amendment. .. 'Ll n1- Hopefully, with the peispective that-flops from the_ passage of time, it might be possible for us to reach a comptomise on this issue. Notwithstanding our differenceS? with respect to your policy, I want you to know that I will do everything I can to support you and your agency' 5 activi-I ties. You have a difficult job before you, and I have no desire to .make that job more difficult. um - 0? Sincerely, William J. Casey 3.. Director of Central Intelligencea . "It a 25X1 Approved For Release 2008/01/30 CIA-RDP85M00364R001703270007-8 x0 0 Next 1 Page(s) In Document Denied <2 ?90 Approved For Release 2008/01/30 CIA-RDP85M00364R001703270007-8