DEPARTMENT OF THE AIR FORCE

WASHINGTON

Oen= Of WIC UNDIES GICAILTAIIV May 28, 1964

MEMORANDUM FOR RECORD

SUBJECT: Meeting with Mr. McCone - May 28, 1964

• The meeting opened with a brief discussion of the proposal

to put the CORONA camera in the G.E. vehicle. Mr. McCone indicated

a generally favorable view. I said that the decision must depend

on a careful study of costs.

I then reported briefly on the two recent failures of the

CORONA system and on the actions that General Greer had taken

under my direction to insure adequate investigation of them. I

described briefly the findings and the steps that are being taken

to remedy the problems in the AGENA which had been uncovered. I

gave an example of the kind of engineering weakness which had been

found in the AGENA.

I stated my desire to introduce Aerospace Corporation as

contractor for general systems engineering and technical direction.

There ensued a brief discussion of the capabilities of Aerospace.

As I remember it, at this time Mr. McCone agreed that this was

probably the right thing to do. He reminded me that it had been

at Dr. Charyk's insistence that Lockheed had been given systems

engineering responsibility.

I went on to point out that to introduce Aerospace would

require changes in contracts, because at the present time these

provide for systems engineering by Lockheed and for technical

direction by a Configuration Control Board. Mr. McCone agreed

that the CCB was undesirable and speculated as to its origin. I

said that I wanted General Greer to be fully in charge of the CORONA

contracts, including ITEK as well as Lockheed, and that, e.g., I

wanted him to be able to station representatives at the ITEK plant.

The immediately subsequent discussion covered much the same

ground that previous discussions of this subject have. General

Greer's qualifications were questioned. The historic role of CIA

was recalled. The statement was made that I wanted only to cut

the Agency entirely out of the satellite business. I tried to make
it clear that such contributions as are made by three or four

administrative people...in the Agency who presently have responsibilities in the CORONA project would be eliminated; that I felt

that this was not equivalent to cutting the Agency out of the

satellite business. During the discussion that followed Mr. McCone

made a number of sharp criticisms of the 46)-NRO and of my administration of it, which I urged him to put in a letter to me. He

stated, among other things, that he thought it was "absolutely

criminal" for me to make a visit to the West Coast and conduct an

investigation of the conduct of the CORONA project without

inviting anyone from the CIA to be present.

He asserted that his records show that during the past year

every meeting between us had been at his invitation. He noted

that the present meeting was also at his invitation, pointing out

that it had resulted from my phone call to him mentioning that I

must report to USIB a need to make changes in the CORONA contract,

a need of which he had never been informed. I reminded him of a

meeting in early February, arranged at my request, at which I

reported in detail on the changes in the contract structure that

I felt were necessary; I noted that I had a copy of his memorandum

of record of that meeting. I stated that the only difference

between what I was proposing now and what had been discussed in

detail in February was that I was now determined to use Aerospace

Corporation for systems engineering and technical direction whereas

in February I had said only that this was under consideration.

There was extensive discussion of working relations between

me and Dr. Wheelon. At the close of this discussion I stated as

clearly as I could that if there was to be an Agency role in the

satellite field under the 464-NRO, then these relations would have

to change, since I could not be responsible for activities over

which I had no control and about which I had no knowledge. Mr. McCone

did not challenge this statement; it is my memory that he made a

brief acquiescent acknowledgment.

At the close of the meeting, Mr. McCone agreed again that

Aerospace could be installed as systems engineering contractor.

He said he would "speak to his boys" about changing the .contracts.

I said that I wanted General Greer to establish the terms of the

contracts. He suggested that I discuss with Dr. Wheelon what I

wanted to do.

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