864


FOREIGN RELATIONSy '1950, VOLUME I


  6. Since the ECA Chiefs of Mission will be independent of the U.S.
Embassies in two countries under consideration, coordination with UN
field missions will probably be handled directly between ECA-mission
chiefs and UN mission chiefs rather than through the Embassy..Co,
ordination at this endl might still be carried on through the Depart-
ment, but with a different pattern of operation in the field for this
area, and with the ECA Chief of Mission reporting directly to the
ECA Administrator it would not be easy for the Department to main-
tain its role as coordinator with UN for this area.3
   [Here follows discussion of "legislative considerations" relevant
in
light of the overlapping Point IV-ECA operations just described and
the then-pending (Congressional passage of the consolidated foreign
economic assistance act.]

  3A threatened impasse in Southeast Asia resulting from duplication under
the
  STEMI programs and Point IV was resolved by a State-ECA understanding on
November 16, 1950. The newly established Technical Cooperation Administration
was to be responsible for projects in the field of education and various
govern-
mental services not directly included in the economic programs of STEM. The
latter were to encompass all defense-related economic assistance; for documen-
tation related to these matters, see vol. vi, pp. 1 ff.

820.00-TA/9-850 : Circular telegram
   The Secretary of State to Diplomatic and Consular Offices in the
                         American Republics

 RESTRICTED                  WASI-IINGTON, September 8, 1950-6 a. m.
   Presidents sig of $345 million appropriation for Pt Four technical
 coop FY 1951 and of Exec order delegating auth to Secstate for admin
 of program enables Dept proceed with bilateral technical coop pro-
 grams with interested govts and you may so indicate in any conversa-
 tions with officials fon govt.
   Programs will be developed by Emb in consultation with fon govt
 and will be subj to review and approval by Dept.
   FYI Dept undertaking to assemble your and recipient govts pre-
 vious project recommendations or requests and those of Dept and
 other agencies. This material will be sent you during week beginning
 Sept 18 under instr auth you open conversations with Govt purpose
 drawing up integrated program and determining priorities among
 projects. Necessary deductions from foregoing figure for UN, IA-
 Ecosoc, and existing IIAA and SCC programs will leave only limited
 amt available for new or expanded bilateral programs. You will be
 advised in instr of anmts earmarked for your country.
                                                            AcHEso.N