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1. This memorandum contains a recommendation for your approval. The recommendation is contained in Paragraph 7.

2. The research program detailed in the accompanying proposal is part of the Materials Analysis Project. The work is essentially a continuation of our present level of effort to identify pharmacological agents with new and unusual effects.

3. the contractor for this follow-on research, has during the past twelve months screened approximately 120 new compounds. This is about the number screened the previous year. Potentially useful compounds detected earlier in the program have now been evaluated in the newly established advanced screening tests. These tests are now fully operative and are supplying additional data which will enable us to select certain compounds for preclinical subacute animal studies. A back-log of over 26, 000 compounds has now been acquired for this screening program and databanked for future screening purposes. As a result of this large back-log, itself composed of specially developed compounds, the primary and secondary screening effort will be further increased with respect to numbers of compounds tested and at the same time made more discriminative and selective. No special problems or technical difficulties are anticipated in the program. The contractor will deliver detailed toxicological and pharmacological data on each compound tested on a quarterlv basis as well as a comprehensive final report.

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4. The proposed work will cover a period of ten months and will
cost approximately jis the
logical choice to continue this work because of their superior perform
ance in the past and because of their unique access to compounds es
sential to the program. Coordination has been effected with and Edgewood Arsenal Research Laboratories, U.S. in\~

Army (Dr

5. This project will have a major impact on the Agency's production of finished intelligence on psychopharmacology, on potential for controlling human performance, and on defense against exploitation of key national personnel by hostile intelligence services. Followon research can be expectéd to continue at the same general level of effort.

6. As in the past, this research will be classified Association with the Agency will be classified SECRET, .The reports will be classified SECRET. Dr. extension will be the project officer and will monitor the execution of this contract.

7. The requests approval to establish a follow-on contract to Contract No Task Order No. 3, with the The work will cover a period of ten months at a cost of approximately

APPROVED:

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Date