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XI. Resultant Financial Saving. The $125, 000 to be contributed by CIA plus the $125,000 in matching funds provided under P. L. 221 to the Building Fund will be more than offset in a few years by the savings which wi ll result from use of this non-profit fund. Tf a research project .at other cduca- — /j, tional non-profit institution is sponsored by the tf,. S. Government, it is customary for the Government to pay for salaries, equipme nt, supplies, etc, and for cverheadhs well v2 In the case of ^ the overhead amounts to 80% of salaries. However, if a non- i profit foundation such as ^^B^^MSHSSMSP^fPPASors research at a — Q> non-profit institution, the fuhds granted for the work are customarily used to pay for salaries, equipment and supplies but not for overhead, v The Government dollar thus buys considerably more research through ithan would be the case if no cut-out were used. & XII. Legal Matters. This matter has been* discuss ed withj|0H^^|||^||^^^^| of the Office — of General Counsel, and he is fully“aware "of all details surrounding this grant. Downgraded to t ’'7 authority of: 187475 f'ate; Juno 1977 I‘'?DET; CIt BY 187475 ’ c. Copy # / of 2 copies