V r4' 

NRO APPROVED FOR 

RELEASE 1 JULY 2015 0jrj SYSTFil ONLY • 

140004 D 

CO 

NEWRANIXThi FOR DR. FLAN 

1.3 

1,3 SIDVECT: Authorimatice for 14OL lull-Scale Development 

Aimmormohan for the Secretary of the Air Foree on 

August 25, 1965 autImmimmilthe Director, DM to proceed with 

the development of the Manned Orbiting laboratory System. 

These. I definition studies conducted over the past. vow have 

been completed and Air Force Evaluation and Negotiation Teams 

are in their final rounds of review the contractors' Phase 

II proposals. 

Oz June 240 1966 the. Director, NOL•submitted by covering 

memorandum to the Secretary of the Air Force a detailed itZe. 

Program Plan and Innding Requirements document 'with speciftc. 

reeommendation and requests for peommedimm: with fen-softie 40 engineering develOpeent. • The covering memorandwe and dom.. 

sent were returned the sawn -date with oral instruction for 

revision.. Eased CA the guidance received the document was 

revised and resubmitted to the SAY ta jull21, 1966.,The 

revised amain propcoe4 an.approaft far nroleemfaag with 

A11-scale development while at the saiie tie-6414*g realistic 

- recognition to the 111967 funding limitation. To date no . 

reply nor additional guidance has been re:hived on this 

proposed approach. 

Department of Defense Directive 3200.9 establishes DOD 

policies governing Concept motion nod Contract Definition 

in the initiation at Ingineering Development of major projects 

such as the Manned Orbiting Laboratory Program. The Directive 

states that CS!) approvals normally are required:at oily two 

points; prior to initiation of OP (Phase I) mud prior to 

initiation of the Engineering Development noun (Phase II).• . 

The DDR&E approval and release of funds .to enter the Contract 

Definition Phase implies a willingness to proceed with 

scale development if the project as defined during the s:DP 

remains essentially within the coat ate schedule limit and 

equals or exceeds the operational effectiveness stated in the 

plan autesitted with the request for approval. It is felt that 

the program submitted by the Director, DDL on. July 21, 1966 

fulfills this criteria. 

DORIAN 

7:77,ADING; 

1)CID DM 5200.10 fi,.2:r POLY 

Page 1of 3 Pages 

Copy.a, of 5 copieS 

8,41-181, BYg 21211-66 

HANDLE VIA S11 AU !v'AC .14.4 

Cr, 

Ch. 

CO • 
DOD Directive 3200.9 also draws a rather distinct line 

separating Phase I study definition from Phase II engineering 

development* with approval required to proceed true the former 

to the latter. This is not the case as experienced for all 

system segments of the MOL Program. The Titan IX= launch 

vehicle and the DOBIAff,sensor payload*because of their required 

lead time, are two segments which have progressed into the 

engineering development phase with DOD ePPreval end consent while 

Phase I definition studies have continued on ether system 

segments. In early April 3.966*DMA*by 2440rWAUAL to the DRRO) 

specifically *authorized proceeding with the purchase of support 

equipment and facilities to *Mort the development of the optics 

associated with the primarY sensor for MOL and inOresoots1 

releases have been made from time to time to fund this effort. 

A very see43erparallel has been followed on the approval and 

release of funds for development work on the Titan 1/1eflannott 

vehicle. 

The foregoing events inditate the DOD Latent and willingness, 

on the basis of the approval granted, for the Air Pore. not only 

to proceed with the Ahgineering Development Phase but also to 

protect develcement lead time where necessary. The en .17 pry 

limitation*and it is *major one*for proceeding at the defined 

rate into roll engineering derrelepseet eta all segments of the 

propels is the funding deficit in ft 3.967 and subsequent years* 

An approach to work around this limitation was requested in the 

Jay 2121966 memorandum for the Secretary of the Air lora. 

transmitting the Program Plan end Funding Regoirseents document. 

XI% this approach, yon will recalls a meat wee ma tte to pli*Oood, 

at the ROA rate of 4454 million until Amory 141967 with the 

engineering; development effort on the schedule and toward the 

detinedISMobjeotives. It was proposed further that proem* 

requirement be reassessed and a current evaluation be given of 

our progress at that time. Thee*if required, 4 request for new 

obligating authority woad be made. 

The 00Verreat4 position on the contractors* Phase II prem 

posals has been established in our West Coast negotiations and 

price negotiations are targeted to be completed by September 1* 

1966. For the Director, MOL to carry cut his assigned responsibilities to the SAY and the government coredtments to the MOL 

ontractors*a resolution on the funding problem mast be available 

no Inter than upon completion of contract negotiations and prior 

to contract signature bertte goverment. I atronglYuree yea 

give this matter your immediate attention and provide the Director* 

we, with a decision on the recommended plan. Secretary of the 

Page 2 of 3 ma* 

DORM Copy 3 of 5 colt** 

SAPSL RU 21211.66 

VI 'ni%'Sfi.lic 

NRO APPROVED FOR 

RELEASE 1 JULY 2015 
NRO APPROVED FOR 

RELEASE 1 JULY 2015 

Air Force signature to the attached memorandum for Director, 

*)L will provide the necesaary authorization to proceed with 

full.scale development. 

HARRY L. EA= 

Major General, WO 

Vice DirectorsNM Proirma 

Copy to 

Dr. Browla 

Col Banda11/18Aug66/rad 

Cys to: 

SAFSLP Official File 

Green Read4ESCG Read 

DORIAN 

Page,3 of 3 Pogo' 

Coml.. of 5 copies 

3A7-81. 21221-66 

z4),L,i-2541.3.