800.00–TA/9–2850

Memorandum of Understanding Between the Department of State and the Economic Cooperation Administration1

Statement on Point IV–ECA Relations Concerning Bilateral Technical Assistance During Fiscal Year 1951

Since neither ECA nor Point IV has negotiated technical assistance agreements with other governments covering the fiscal year 1951, the following understanding between the two programs represents general guide-lines and a procedure for cooperation:

In Western Europe, Greece, Korea: No bilateral Point IV activities are projected.

In Turkey: Point IV bilateral programs could appropriately supplement ECA in fields which condition economic development, especially in health, education, and training programs generally.

In Dependent Overseas Territories:

1.
The fields in which ECA generally operates are: agriculture, forestry, fisheries, mining, industry, power, transport, communications, water resources, and similar fields.
2.
Point IV bilateral programs could appropriately supplement ECA in fields which condition economic development, especially in health, education, and training programs generally.

Procedure for Cooperation: In order to assure maximum efficiency of operation and to avoid duplication of effort, ECA and the Department of State will arrange a full exchange of information on their respective technical assistance plans and activities, and arrange appropriate consultation. To this end, it is agreed: [Page 862]

1.
ECA and the Department of State will not duplicate any activities in any country or territory.
2.
ECA will not undertake a technical assistance project unless funds for the completion of the actual project, or some definite or measurable part of it, as distinct from its results and effects, can be obligated by ECA.
3.
ECA will discuss with the Department of State in advance any technical assistance project which is likely to require additional United States contributions from non-ECA sources after 1952.
4.
Prior to 1952, in view of the fact that ECA has already established machinery for the operation of technical assistance projects in Turkey and dependent territories of ECA countries, the Department of State will discuss with ECA in advance any proposed project in Turkey or such territories to make certain that ECA does not intend to undertake that project.
5.
For the present, negotiations with metropolitan governments concerning Point IV technical assistance in dependent territories will be made through the Paris office of ECA, with consultation and participation of the Department of State.

Note: The foregoing arrangements between Point IV and ECA do not cover multilateral technical assistance activities for which Point IV funds may be contributed. As now foreseen, multilateral activities in the ECA area of interest would be limited to those of the UN expanded program and possibly of the Caribbean Commission and the South Pacific Commission. The Department of State will arrange appropriate exchange of information and consultation with ECA on these activities.

This entire statement will be reconsidered at the end of fiscal year 1951, or sooner if circumstances require.

  1. This document and the one immediately following deal with Point IV–ECA relationships.