NRO APPROVED FOR 

RELEASE 1 JULY 2015 

Mis 

COT 3 l':;53 

MEMORANDUM FOR GENERAL BLEYMAIER 

SUBJECT: Schedule and Funding Problems for MOL Secure Communications 

Reference your memorandum, subject: Schedule and Funding 

Problems Associated with Acquisition of COMSEC Hardware, SCF Hardware and SCF Engineering Support for MOL, August 6, 1968. 

In the referenced memorandum you were concerned with two 

problems; one, OSD deferral of programmed FY 69 funds necessary 

to provide hardware and contractor engineering support for MOL, 

and two, a continuing pattern of late deliveries of secure communications (COMSEC) hardware from the National Security Agency (NSA). 

We have examined both problems and have obtained a measure of 

resolution for each as follow: First, the funding problem. The 

Air Staff has agreed to fund $250K of 3080 monies for procurement 

of the engineering support for the design of the secure communications 

between OTEF and the SCF. This' agreement is contingent on approval 

by OSD, of the FY 70 budget request for OTEF requirements. We 

agreed to this contingency because OSD deferral of the FY 70 OTEF 

funds, would create an entirely new and bigger problem of which the 

engineering support and design effort would be only a small part. 

However, within two weeks the FY 70 budget approval/disapproval 

should be forthcoming. If approved, and we believe it will be, the 

3080 money will be forwarded to you. Because of the urgency associated with getting these funds, the Air Staff has agreed to have the 

SCF people initiate the needed paper work anticipating availability 

of funds within the next several weeks. My office will watch the 

development of this action and let you know immediately of any 

delay. 

Second, t.:1 deliv • of Secure Communications Hardware 

problem: ale 01: deliveries of secure communications 

(COMSEC)bre the is a matter continuing concern 

and meeting with approi)riate personnel fra-Ll :7-3 lead me to 

believe that they are equally concerned ebol:..t prOblem and 

have identified and are attempting to resolve cert,ain related -

internal management problems. The majority of these problems are 

not unlike many of our own; i.e., maintaining continuity of the 

support effort as the system definition was completed, and altered 

schedules for both technical and financial reasons, etc. 

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DOL. DI2. 5200.10 DOES NOT OPLY 

aaADIEG; 
NRO APPROVED FOR 

RELEASE 1 JULY 2015 

We have made it clear to the NSA that, continuing late COMSEC 

equipment deliveries will seriously impact overall MOL schedule 

and financial resources. We have further stressed the need for 

appropriate management attention and concurred with their proposal 

for closer liaison to bridge the total MOL-COMSEC hardware effort. 

In this regard, I have asked Mx. Samuel H. Hubbard.to assist your 

people in maintaining appropriate contact with the NSA and to 

attend to those matters which need attention here. Mr. Hubbard 

reports that direct and informal communications among appropriate 

members of your staff, Aerospace Corporation, MDAC, Lt Colonel 

Burt Lutz (SCF Organization), and himself 

should resolve both the R&D and production problems before they 

become serious. 

JAMES T. STEWART 

Major General, USAF 

Vice Director, MOL Program 

Copy to 

SAFSL Chron File 

SAFSLP Official File 

SCG Read 

LtCol Fruge/SAFSLP/53889/310ct68/1d 

'I