Ji–Cha–Jin Branch Bureau: We have received your telegram regarding streamlining the army and government. There is no doubt that you should implement this policy of streamlining. Hesitation on this matter will lead to insurmountable difficulties. At present, you control a relatively secure base area with a population of 900,000; the additional 900,000 capable of contributing grain taxes are located in guerrilla zones. Moreover, even when accounting for horses, more than 80,000 personnel remain detached from productive work—such a situation cannot be sustained. You should immediately resolve to reduce the force by 30,000, leaving only 50,000, with a civilian-to-military ratio of 1:4. Of the 30,000 to be reduced, 6,000 from Lü’s unit will be transferred westward, and an additional 4,000 from Nie’s unit will also be reassigned to the west, totaling 10,000 sent west. The remaining 20,000 are to be resettled locally. Should conditions become even more difficult next year, be prepared to further reduce the force by another 10,000, bringing it down to 40,000. The Central Secretariat has not yet commented.