
[the format of this document is due to to
the fact that the text was originally
designed for a fold-out pamphlet]


THE "BLACK" BUDGET

A BRIEF GUIDE TO SECRET NATIONAL 
SECURITY SPENDING

by Paul McGinnis  April 1994


INTRODUCTION

     For many years, the United 
States has been spending billions of 
dollars in secret on military programs. 
The first big project was the 
"Manhattan" project that developed the 
American atomic bomb during World 
War II. Since then, the practice of 
spending vast sums in secret has been 
common.

     Congressional budget 
analysts estimate that 44 billion 
dollars will be spent in fiscal year 
1994 on the so-called "black" budget. 
Out of the 44 billion dollars, 
approximately 26 billion will go to 
America's spy agencies. This includes 
well-known intelligence agencies such 
as the CIA and NSA, as well as new 
agencies such as the Central Imagery 
Office (CIO) and the Tactical 
Reconnaissance Office (TRO). The 
remaining 18 billion dollars will be 
spent on secret military programs, 
particularly in what is known as 
RDT&E (Research, Development, 
Test, and Evaluation) for advanced 
weapons. Such programs are often 
known as Special Access Programs 
(SAPs), because additional security 
measures above those used for Secret 
or Top Secret information are required. 
This pamphlet will show that the U.S. 
national security establishment doesn't 
want you to know how and where 
some of your tax dollars are spent.


SO, WHAT'S THE 
PROBLEM?

     These programs are basically 
immune from the normal oversight 
that is required for other government 
spending. The actual amounts of 
money that are spent for each program 
and the purpose of each program are 
highly classified, primarily to keep 
that information hidden from the 
American taxpayers who have to pay 
the bills and to keep that information 
hidden from the press and members of 
Congress who might want to 
investigate these programs.

     One of the fundamental ideas 
of American democracy is that the 
U.S. government operates under the 
informed consent of American citizens, 
and that the U.S. government works 
for the American people as public 
servants. How can anyone say they or 
their elected officials gave their 
informed consent to the spending of 
billions of dollars in secret?

     The military likes to chant 
the magic phrase "national security" to 
hide their actions. Their argument is 
that such information could be 
invaluable to enemies of the United 
States. This is a ludicrous argument -- 
merely knowing the cost of a program 
and its purpose is different from 
having the actual technical details 
about the program. For example, 
knowing that the United States has 
built the B-2 Stealth bomber at a cost 
of approximately 1 billion dollars per 
plane doesn't mean that another 
country could build one or know how 
to counteract it.


WHAT THE 
CONSTITUTION SAYS 
AND HOW SECRET 
PROGRAMS ARE 
ACTUALLY FUNDED

     Article I, Section 9, Clause 7 
of the U.S. Constitution reads, "No 
money shall be drawn from the 
Treasury, but in consequence of 
appropriations made by law; and a 
regular statement and account of the 
receipts and expenditures of all public 
money shall be published from time to 
time." Spending the taxpayers' money 
in secret clearly violates the U.S. 
Constitution. It's ironic that the 
military officers who support Special 
Access Programs take an oath to 
uphold the Constitution, but ignore 
parts of the Constitution that don't fit 
in with their plans.

     Congress has authority over 
all U.S. government spending, but 
usually doesn't look too closely at 
these secret programs. Knowledge of 
Special Access Programs is limited to 
members of the House and Senate 
Armed Service Committees or the 
Senate Intelligence Committee who 
have a "need to know". Even with this 
secrecy, a category of SAPs has been 
created known as "waived" SAPs that 
only the Chairmen of these 
committees are allowed to know 
about.

     The General Accounting 
Office (GAO) has the responsibility 
for auditing government spending, but 
testimony at a House of 
Representatives hearing indicated that 
only 5% to 10% of SAPs are ever 
audited. It can be said that the policy 
of the national security establishment 
towards the funding of these programs 
is the same as the attitude of a street 
gang committing a robbery: "Just give 
us the money and don't ask any 
questions!!"


YOUR TAX DOLLARS 
HARD AT WORK... 

     In Congressional budget 
documents, secret military programs 
have a single line entry that includes 
only a Program Element number (PE) 
such as 0603105F, and either a code-
name such as OLYMPIC or vague 
description such as "special evaluation 
program". One of the ways to estimate 
the costs of such programs is that 
dollar totals are listed for groups of 
related programs. Subtracting the cost 
of the non-classified programs from 
the total gives a budget analyst an idea 
of the cost of the secret programs. 
Other documents may give clues as to 
the purpose of a particular Special 
Access Program. Piecing this 
information together, and using other 
sources, here are examples of secret 
military programs in recent years that 
most people have never heard of:

o  A massive military satellite, code-
named LACROSSE was orbited in 
1988. This satellite, which weighed 
approximately 36,000 lbs. at launch, 
and fully extended, is 150 feet long, 
contains a high powered digital radar 
that is used to map target approaches 
for U.S. bombers and to study the 
damage they cause to their targets. 
During the Gulf War, it was found that 
this satellite could actually "see" 
several feet underground. The 
environmental effects of a low orbiting 
radar with a power of 10000 watts are 
unknown.

o  Several years ago, the U.S. Air 
Force declassified the existence of a 
program code-named RIVET RIDER 
(later known as VOLANT SOLO). 
This program fitted C-130 transport 
aircraft with AM/FM and color 
television transmitters and antennas. 
As part of U.S. psychological warfare 
operations, these aircraft were used to 
spread American propaganda during 
events such as the invasion of 
Panama.

o  In recent years, the Pentagon has 
shown so much interest in Unmanned 
Aerial Vehicles (UAVs) that a Joint 
Program Office (UAV-JPO) was 
created to coordinate the efforts of the 
military services in this area. U.S. 
planners apparently realized the benefit 
of using small, remotely or computer 
controlled aircraft for intelligence 
gathering after Israeli successes with 
them in the Bekaa Valley in Lebanon. 
One example of such a vehicle that has 
been tested is code-named SPRITE -- 
this vehicle resembles a sphere with 
helicopter rotor blades. Another 
example is the GNAT 750, a small 
aircraft that looks like a scaled down 
fighter plane.

o  The U.S. Air Force has a program 
code-named SENIOR CITIZEN (PE 
0401316F) that has been funded as a 
secret tactical aircraft. In fiscal year 
1994, this aircraft was not funded as a 
RDT&E program, suggesting that it is 
in operational use. Available evidence 
indicates that this may be the bat-
winged Stealth aircraft that was 
recently photographed in New Mexico 
(see for example, the illustration in the 
February 1994 issue of "WIRED" 
magazine). Some people refer to this 
aircraft as the Northrop TR-3A. 
History may repeat itself with this 
aircraft -- the F117A Stealth fighter 
(code-named SENIOR TREND) was 
operational for 5 years before its 
existence was revealed.

o  At least 2 billion dollars are spent 
per year on photographic 
reconnaissance satellites (some of 
these programs are funded under PE 
0304111F and 0304111N - "special 
activities"). The U.S. is very reluctant 
to admit that it operates spy satellites, 
preferring instead to obliquely refer to 
"national capabilities" or "national 
technical means."

o  A large, secret U.S. Air Force 
facility exists at Groom Lake, in a 
remote part of Nevada. Satellite 
images of the area around 115 deg. 49' 
West, 37 deg. 15' North, show this 
facility expanding over the years. This 
place is used to test secret American 
military aircraft. It was originally built 
by the CIA in the 1950s for the U-2 
spy plane. The SENIOR CITIZEN 
aircraft mentioned above may also 
have been tested there. The article 
about this facility in the March 1994 
issue of "Popular Science" magazine 
must have caused acute embarrassment 
for the Air Force, since this place 
doesn't officially exist. (Maps of the 
area, such as those from the U.S. 
Geological Survey, show just an 
empty dry lake bed.)

o  Although the Department of Defense 
has claimed that it had great success in 
tracking down mobile Scud missile 
launchers during the Gulf War, it has 
had to urgently create and fund a 
project code-named WAR BREAKER 
(PE 0603226E) to find ways of 
locating tactical ballistic missile 
launchers.


SOURCES OF MORE 
INFORMATION ABOUT 
THE "BLACK" BUDGET

     Probably the single best 
introduction to secret military 
spending is Tim Weiner's book "Blank 
Check" (1990, Warner Books). Two 
organizations that seek to reform the 
problem of excessive secrecy in the 
U.S. military are:
  Federation of American Scientists
  307 Massachusetts Avenue NE
  Washington, DC  20002
  phone: (202) 546-3300

-and-

  Secrecy Oversight Council
  HCR Box 38
  Rachel, NV  89001

     Government documents, such 
as the "National Defense Authorization 
Act" that the House and Senate Armed 
Services Committees write each year 
can be consulted for some information. 
On Congressional budget documents, 
secret programs have the indication  []  
where the cost should be. Other 
sources of government documents 
include the Government Printing 
Office (GPO) and the National 
Technical Information Service (NTIS).

     "Aviation Week" and other 
defense industry publications often 
contain leaks about secret military 
programs.

     Some information may be 
obtained by using the Freedom of 
Information Act (FOIA). There are 
several useful books on using FOIA, 
such as "Your Right to Government 
Information", distributed by the 
American Civil Liberties Union. 
Almost invariably, the military will 
turn down a request for the amount or 
purpose of a secret program. You 
should be prepared to challenge them 
with a FOIA appeal or legal action if 
appropriate.

     You might get an interesting 
response if you ask elected officials 
such as Senator Sam Nunn, Chairman 
of the Senate Armed Services 
Committee, or Ronald Dellums, 
Chairman of the House Armed 
Services Committee, about the issue 
of secret military spending.




I wrote this pamphlet, and have funded 
its distribution, to educate the public 
about the problem of excessive secrecy 
under the guise of "national security." 
I can be contacted at:

  Paul McGinnis
  P.O. Box 28084
  Santa Ana, CA  92799  USA

or, by electronic mail at:
  Internet: TRADER@cup.portal.com
  GEnie: EXP.ENG-
  Compuserve: 76056,201
  America Online: PaulMcG

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