[Congressional Bills 107th Congress]
[From the U.S. Government Publishing Office]
[H.R. 5005 Engrossed in House (EH)]
107th CONGRESS
2d Session
H. R. 5005
_______________________________________________________________________
AN ACT
To establish the Department of Homeland Security, and for other
purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE; TABLE OF CONTENTS.
(a) Short Title.--This Act may be cited as the ``Homeland Security
Act of 2002''.
(b) Table of Contents.--The table of contents for this Act is as
follows:
Sec. 1. Short title; table of contents.
Sec. 2. Definitions.
Sec. 3. Construction; severability.
Sec. 4. Effective date.
TITLE I--DEPARTMENT OF HOMELAND SECURITY
Sec. 101. Executive department; mission.
Sec. 102. Secretary; functions.
Sec. 103. Other officers.
Sec. 104. National Council of First Responders.
TITLE II--INFORMATION ANALYSIS AND INFRASTRUCTURE PROTECTION
Subtitle A--Under Secretary for Information Analysis and Infrastructure
Protection
Sec. 201. Under Secretary for Information Analysis and Infrastructure
Protection.
Sec. 202. Functions transferred.
Sec. 203. Access to information.
Sec. 204. Procedures for sharing information.
Sec. 205. Privacy officer.
Sec. 206. Federal cybersecurity program.
Sec. 207. Enhancement of non-Federal cybersecurity.
Sec. 208. Information security.
Subtitle B--Intelligence Analysis Center
Sec. 211. Intelligence Analysis Center
Sec. 212. Mission of the Intelligence Analysis Center.
Sec. 213. Net Guard.
TITLE III--SCIENCE AND TECHNOLOGY
Sec. 301. Under Secretary for Science and Technology.
Sec. 302. Functions transferred.
Sec. 303. Conduct of certain public health-related activities.
Sec. 304. Federally funded research and development center.
Sec. 305. Miscellaneous provisions.
Sec. 306. Homeland Security Science and Technology Coordination
Council.
Sec. 307. Conduct of research, development, demonstration, testing and
evaluation.
Sec. 308. Transfer of Plum Island Animal Disease Center, Department of
Agriculture.
Sec. 309. Homeland Security Science and Technology Advisory Committee.
Sec. 310. Homeland Security Institute.
Sec. 311. Technology clearinghouse to encourage and support innovative
solutions to enhance homeland security.
TITLE IV--BORDER AND TRANSPORTATION SECURITY
Subtitle A--General Provisions
Sec. 401. Under Secretary for Border and Transportation Security.
Sec. 402. Functions transferred.
Sec. 403. Visa issuance.
Sec. 404. Transfer of certain agricultural inspection functions of the
Department of Agriculture.
Sec. 405. Functions of Administrator of General Services.
Sec. 406. Functions of Transportation Security Administration.
Sec. 407. Preservation of Transportation Security Administration as a
distinct entity.
Sec. 408. Annual assessment of terrorist-related threats to public
transportation.
Sec. 409. Explosive detection systems.
Sec. 410. Transportation security.
Subtitle B--Immigration and Nationality Functions
Chapter 1--Immigration Enforcement
Sec. 411. Transfer of functions to under Secretary for Border and
Transportation Security.
Sec. 412. Establishment of Bureau of Border Security.
Sec. 413. Professional responsibility and quality review.
Sec. 414. Employee discipline.
Sec. 415. Report on improving enforcement functions.
Sec. 416. Sense of Congress regarding construction of fencing near San
Diego, California.
Chaptesubchapter a--transfers of functionsvices
Sec. 421. Establishment of Bureau of Citizenship and Immigration
Services.
Sec. 422. Citizenship and Immigration Services Ombudsman.
Sec. 423. Professional responsibility and quality review.
Sec. 424. Employee discipline.
Sec. 425. Office of Immigration Statistics within Bureau of Justice
Statistics.
Sec. 426. Preservation of Attorney General's authority.
Sec. 427. Effective date.
Sec. 428. Transition.subchapter b--other provisions
Sec. 431. Funding for citizenship and immigration services.
Sec. 432. Backlog elimination.
Sec. 433. Report on improving immigration services.
Sec. 434. Report on responding to fluctuating needs.
Sec. 435. Application of Internet-based technologies.
Sec. 436. Children's affairs.
Chapter 3--General Provisions
Sec. 441. Abolishment of INS.
Sec. 442. Voluntary separation incentive payments.
Sec. 443. Authority to conduct a demonstration project relating to
disciplinary action.
Sec. 444. Sense of Congress.
Sec. 445. Reports and implementation plans.
Sec. 446. Immigration functions.
Subtitle C--United States Customs Service
Sec. 451. Establishment; Commissioner of Customs.
Sec. 452. Retention of customs revenue functions by Secretary of the
Treasury.
Sec. 453. Establishment and implementation of cost accounting system;
reports.
Sec. 454. Preservation of Customs funds.
Sec. 455. Separate budget request for Customs.
Sec. 456. Payment of duties and fees.
Sec. 457. Definition.
Sec. 458. GAO report to Congress.
Sec. 459. Allocation of resources by the Secretary.
Sec. 460. Reports to Congress.
Sec. 461. Customs user fees.
TITLE V--EMERGENCY PREPAREDNESS AND RESPONSE
Sec. 501. Under Secretary for Emergency Preparedness and Response.
Sec. 502. Functions transferred.
Sec. 503. Nuclear incident response.
Sec. 504. Definition.
Sec. 505. Conduct of certain public-health related activities.
Sec. 506. Role of Federal Emergency Management Agency.
Sec. 507. Sense of Congress regarding funding of trauma systems.
TITLE VI--MANAGEMENT
Sec. 601. Under Secretary for Management.
Sec. 602. Chief Financial Officer.
Sec. 603. Chief Information Officer.
Sec. 604. Establishment of Office for Civil Rights and Civil Liberties.
Sec. 605. Consolidation and co-location of offices.
TITLE VII--MISCELLANEOUS
Subtitle A--Inspector General
Sec. 701. Authority of the Secretary.
Subtitle B--United States Secret Service
Sec. 711. Functions transferred.
Subtitle C--Critical Infrastructure Information
Sec. 721. Short title.
Sec. 722. Definitions.
Sec. 723. Designation of critical infrastructure protection program.
Sec. 724. Protection of voluntarily shared critical infrastructure
information.
Sec. 725. No private right of action.
Subtitle D--Acquisitions
Sec. 731. Research and development projects.
Sec. 732. Personal services.
Sec. 733. Special streamlined acquisition authority.
Sec. 734. Procurements from small businesses.
Sec. 735. Prohibition on contracting with corporate expatriates.
Subtitle E--Property
Sec. 741. Department headquarters.
Subtitle F--Support Anti-Terrorism by Fostering Effective Technologies
Act of 2002 (the SAFETY Act)
Sec. 751. Short title.
Sec. 752. Administration.
Sec. 753. Litigation management.
Sec. 754. Risk management.
Sec. 755. Definitions.
Subtitle G--Other Provisions
Sec. 761. Establishment of human resources management system.
Sec. 762. Labor-management relations.
Sec. 763. Advisory committees.
Sec. 764. Reorganization; transfer of appropriations.
Sec. 765. Miscellaneous authorities.
Sec. 766. Military activities.
Sec. 767. Regulatory authority and preemption.
Sec. 768. Provisions regarding transfers from Department of Energy.
Sec. 769. Counternarcotics officer.
Sec. 770. Office of International Affairs.
Sec. 771. Prohibition of the terrorism information and prevention
system.
Sec. 772. Review of pay and benefit plans.
Sec. 773. Role of the District of Columbia.
Sec. 774. Transfer of the Federal Law Enforcement Training Center.
Sec. 775. Requirement to comply with laws protecting equal employment
opportunity and providing whistleblower
protections.
Sec. 776. Federal Law Enforcment Training Center.
Sec. 777. Office for State and local government coordination.
Sec. 778. Reporting requirements.
Sec. 779. Joint Interagency Task Force.
Sec. 780. Sense of Congress reaffirming the continued importance and
applicability of the Posse Comitatus Act.
Sec. 781. Air Transportation Safety and System Stabilization Act
Amendments.
Subtitle H--Information Sharing
Sec. 790. Short title.
Sec. 791. Findings and sense of Congress.
Sec. 792. Facilitating homeland security information sharing
procedures.
Sec. 793. Report.
Sec. 794. Authorization of appropriations.
Sec. 795. Authority to share grand jury information.
Sec. 796. Authority to share electronic, wire, and oral interception
information.
Sec. 797. Foreign intelligence information.
Sec. 798. Information acquired from an electronic surveillance.
Sec. 799. Information acquired from a physical search.
TITLE VIII--TRANSITION
Subtitle A--Reorganization Plan
Sec. 801. Definitions.
Sec. 802. Reorganization plan.
Subtitle B--Transitional Provisions
Sec. 811. Transitional authorities.
Sec. 812. Savings provisions.
Sec. 813. Terminations.
Sec. 814. National identification system not authorized.
Sec. 815. Continuity of Inspector General oversight.
Sec. 816. Reference.
TITLE IX--CONFORMING AND TECHNICAL AMENDMENTS
Sec. 901. Inspector General Act of 1978.
Sec. 902. Executive Schedule.
Sec. 903. United States Secret Service.
Sec. 904. Coast Guard.
Sec. 905. Strategic National Stockpile and smallpox vaccine
development.
Sec. 906. Transfer of certain security and law enforcement functions
and authorities.
Sec. 907. Transportation security regulations.
Sec. 908. Railroad security laws.
Sec. 909. Office of Science and Technology Policy.
Sec. 910. National Oceanographic Partnership Program.
Sec. 911. Chief Financial Officer.
Sec. 912. Chief Information Officer.
TITLE X--NATIONAL HOMELAND SECURITY COUNCIL
Sec. 1001. National Homeland Security Council.
Sec. 1002. Function.
Sec. 1003. Membership.
Sec. 1004. Other functions and activities.
Sec. 1005. Homeland security budget.
Sec. 1006. Staff composition.
Sec. 1007. Relation to the National Security Council.
TITLE XI--INFORMATION SECURITY
Sec. 1101. Information security.
Sec. 1102. Management of information technology.
Sec. 1103. National Institute of Standards and Technology.
Sec. 1104. Information Security and Privacy Advisory Board.
Sec. 1105. Technical and conforming amendments.
Sec. 1106. Construction.
SEC. 2. DEFINITIONS.
In this Act, the following definitions apply:
(1) Each of the terms ``American homeland'' and
``homeland'' means the United States.
(2) The term ``appropriate congressional committee'' means
any committee of the House of Representatives or the Senate
having legislative or oversight jurisdiction under the Rules of
the House of Representatives or the Senate, respectively, over
the matter concerned.
(3) The term ``assets'' includes contracts, facilities,
property, records, unobligated or unexpended balances of
appropriations, and other funds or resources (other than
personnel).
(4) The term ``critical infrastructure'' has the meaning
given that term in section 1016(e) of Public Law 107-56 (42
U.S.C. 5195c(e)).
(5) The term ``Department'' means the Department of
Homeland Security.
(6) The term ``emergency response providers'' includes
Federal, State, and local emergency public safety, law
enforcement, emergency response, emergency medical (including
hospital emergency facilities), and related personnel,
agencies, and authorities.
(7) The term ``executive agency'' means an executive agency
and a military department, as defined, respectively, in
sections 105 and 102 of title 5, United States Code.
(8) The term ``functions'' includes authorities, powers,
rights, privileges, immunities, programs, projects, activities,
duties, and responsibilities.
(9) The term ``key resources'' means publicly or privately
controlled resources essential to the minimal operations of the
economy and government.
(10) The term ``local government'' means--
(A) a county, municipality, city, town, township,
local public authority, school district, special
district, intrastate district, council of governments
(regardless of whether the council of governments is
incorporated as a nonprofit corporation under State
law), regional or interstate government entity, or
agency or instrumentality of a local government;
(B) an Indian tribe or authorized tribal
organization, or Alaska Native village or organization;
and
(C) a rural community, unincorporated town or
village, or other public entity.
(11) The term ``major disaster'' has the meaning given in
section 102(2) of the Robert T. Stafford Disaster Relief and
Emergency Assistance Act (42 U.S.C. 5122).
(12) The term ``personnel'' means officers and employees.
(13) The term ``Secretary'' means the Secretary of Homeland
Security.
(14) The term ``State'' means any State of the United
States, the District of Columbia, the Commonwealth of Puerto
Rico, the Virgin Islands, Guam, American Samoa, the
Commonwealth of the Northern Mariana Islands, and any
possession of the United States.
(15) The term ``terrorism'' means any activity that--
(A) involves an act that--
(i) is dangerous to human life or
potentially destructive of critical
infrastructure or key resources; and
(ii) is a violation of the criminal laws of
the United States or of any State or other
subdivision of the United States; and
(B) appears to be intended--
(i) to intimidate or coerce a civilian
population;
(ii) to influence the policy of a
government by intimidation or coercion; or
(iii) to affect the conduct of a government
by mass destruction, assassination, or
kidnapping.
(16) The term ``United States'', when used in a geographic
sense, means any State of the United States, the District of
Columbia, the Commonwealth of Puerto Rico, the Virgin Islands,
Guam, American Samoa, the Commonwealth of the Northern Mariana
Islands, any possession of the United States, and any waters
within the jurisdiction of the United States.
SEC. 3. CONSTRUCTION; SEVERABILITY.
Any provision of this Act held to be invalid or unenforceable by
its terms, or as applied to any person or circumstance, shall be
construed so as to give it the maximum effect permitted by law, unless
such holding shall be one of utter invalidity or unenforceability, in
which event such provision shall be deemed severable from this Act and
shall not affect the remainder thereof, or the application of such
provision to other persons not similarly situated or to other,
dissimilar circumstances.
SEC. 4. EFFECTIVE DATE.
This Act shall take effect thirty days after the date of enactment
or, if enacted within thirty days before January 1, 2003, on January 1,
2003.
TITLE I--DEPARTMENT OF HOMELAND SECURITY
SEC. 101. EXECUTIVE DEPARTMENT; MISSION.
(a) Establishment.--There is established a Department of Homeland
Security, as an executive department of the United States within the
meaning of title 5, United States Code.
(b) Mission.--
(1) In general.--The primary mission of the Department is
to--
(A) prevent terrorist attacks within the United
States;
(B) reduce the vulnerability of the United States
to terrorism;
(C) minimize the damage, and assist in the
recovery, from terrorist attacks that do occur within
the United States;
(D) carry out all functions of entities transferred
to the Department, including by acting as a focal point
regarding natural and manmade crises and emergency
planning;
(E) ensure that the functions of the agencies and
subdivisions within the Department that are not related
directly to securing the homeland are not diminished or
neglected except by a specific explicit Act of
Congress;
(F) ensure that the overall economic security of
the United States is not diminished by efforts,
activities, and programs aimed at securing the
homeland; and
(G) monitor connections between illegal drug
trafficking and terrorism, coordinate efforts to sever
such connections, and otherwise contribute to efforts
to interdict illegal drug trafficking.
(2) Responsibility for Investigating and Prosecuting
Terrorism.--Except as specifically provided by law with respect
to entities transferred to the Department under this Act,
primary responsibility for investigating and prosecuting acts
of terrorism shall be vested not in the Department, but rather
in Federal, State, and local law enforcement agencies with
jurisdiction over the acts in question.
SEC. 102. SECRETARY; FUNCTIONS.
(a) Secretary.--(1) There is a Secretary of Homeland Security,
appointed by the President, by and with the advice and consent of the
Senate.
(2) The Secretary is the head of the Department and shall have
direction, authority, and control over it.
(3) All functions of all officers, employees, and organizational
units of the Department are vested in the Secretary.
(b) Functions.--The Secretary--
(1) except as otherwise provided by this Act, may delegate
any of the Secretary's functions to any officer, employee, or
organizational unit of the Department;
(2) shall have the authority to make contracts, grants, and
cooperative agreements, and to enter into agreements with other
executive agencies, as may be necessary and proper to carry out
the Secretary's responsibilities under this Act or otherwise
provided by law; and
(3) shall take reasonable steps to ensure that information
systems and databases of the Department are compatible with
each other and with appropriate databases of other Departments.
(c) Coordination With Non-Federal Entities.--With respect to
homeland security, the Secretary shall coordinate (including the
provision of training and equipment) with State and local government
personnel, agencies, and authorities, with the private sector, and with
other entities, including by--
(1) coordinating with State and local government personnel,
agencies, and authorities, and with the private sector, to
ensure adequate planning, equipment, training, and exercise
activities;
(2) coordinating and, as appropriate, consolidating, the
Federal Government's communications and systems of
communications relating to homeland security with State and
local government personnel, agencies, and authorities, the
private sector, other entities, and the public; and
(3) distributing or, as appropriate, coordinating the
distribution of, warnings and information to State and local
government personnel, agencies, and authorities and to the
public.
(d) Meetings of National Security Council.--The Secretary may,
subject to the direction of the President, attend and participate in
meetings of the National Security Council.
(e) Issuance of Regulations.--The issuance of regulations by the
Secretary shall be governed by the provisions of chapter 5 of title 5,
United States Code, except as specifically provided in this Act, in
laws granting regulatory authorities that are transferred by this Act,
and in laws enacted after the date of enactment of this Act.
(f) Special Assistant to the Secretary.--The Secretary shall
appoint a Special Assistant to the Secretary who shall be responsible
for--
(1) creating and fostering strategic communications with
the private sector to enhance the primary mission of the
Department to protect the American homeland;
(2) advising the Secretary on the impact of the
Department's policies, regulations, processes, and actions on
the private sector;
(3) interfacing with other relevant Federal agencies with
homeland security missions to assess the impact of these
agencies' actions on the private sector;
(4) creating and managing private sector advisory councils
composed of representatives of industries and associations
designated by the Secretary to--
(A) advise the Secretary on private sector
products, applications, and solutions as they relate to
homeland security challenges; and
(B) advise the Secretary on homeland security
policies, regulations, processes, and actions that
affect the participating industries and associations;
(5) working with Federal laboratories, Federally funded
research and development centers, other Federally funded
organizations, academia, and the private sector to develop
innovative approaches to address homeland security challenges
to produce and deploy the best available technologies for
homeland security missions;
(6) promoting existing public-private partnerships and
developing new public-private partnerships to provide for
collaboration and mutual support to address homeland security
challenges; and
(7) assisting in the development and promotion of private
sector best practices to secure critical infrastructure.
(g) Standards Policy.--All standards activities of the Department
shall be conducted in accordance with section 12(d) of the National
Technology Transfer Advancement Act of 1995 (15 U.S.C. 272 note) and
Office of Management and Budget Circular A-119.
SEC. 103. OTHER OFFICERS.
(a) Deputy Secretary; Under Secretaries.--There are the following
officers, appointed by the President, by and with the advice and
consent of the Senate:
(1) A Deputy Secretary of Homeland Security, who shall be
the Secretary's first assistant for purposes of subchapter III
of chapter 33 of title 5, United States Code.
(2) An Under Secretary for Information Analysis and
Infrastructure Protection.
(3) An Under Secretary for Science and Technology.
(4) An Under Secretary for Border and Transportation
Security.
(5) An Under Secretary for Emergency Preparedness and
Response.
(6) An Under Secretary for Management.
(7) Not more than four Assistant Secretaries.
(8) A Chief Financial Officer.
(b) Inspector General.--There is an Inspector General, who shall be
appointed as provided in section 3(a) of the Inspector General Act of
1978.
(c) Commandant of the Coast Guard.--To assist the Secretary in the
performance of the Secretary's functions, there is a Commandant of the
Coast Guard, who shall be appointed as provided in section 44 of title
14, United States Code, and who shall report directly to the Secretary.
In addition to such duties as may be provided in this Act and as
assigned to the Commandant by the Secretary, the duties of the
Commandant shall include those required by section 2 of title 14,
United States Code.
(d) Other Officers.--To assist the Secretary in the performance of
the Secretary's functions, there are the following officers, appointed
by the President:
(1) A General Counsel, who shall be the chief legal officer
of the Department.
(2) Not more than eight Assistant Secretaries.
(3) A Director of the Secret Service.
(4) A Chief Information Officer.
(e) Performance of Specific Functions.--Subject to the provisions
of this Act, every officer of the Department shall perform the
functions specified by law for the official's office or prescribed by
the Secretary.
SEC. 104. NATIONAL COUNCIL OF FIRST RESPONDERS.
(a) Findings.--The Congress finds the following:
(1) First responders are key to protecting the health and
safety of our citizens against disasters.
(2) First responders are the Nation's ready reaction force
of dedicated and brave people who save lives and property when
catastrophe strikes.
(3) First responders have the knowledge, training, and
experience to save lives, often under the most difficult
conditions imaginable.
(4) First responders play an important role in helping to
develop and implement advances in life saving technology.
(5) First responders are uniquely qualified to advise the
Department of Homeland Security on the role of first responders
in defending our Nation against terrorism.
(b) Establishment and Administration.--
(1) There is established within the Department of Homeland
Security a National Council of First Responders (in this
section referred to as the ``Council'').
(2) The President shall appoint the members of the Council.
The Council shall consist of not less than 100 members, no more
than 10 of whom may be residents of the same State. Members of
the Council shall be selected from among the ranks of police,
firefighters, emergency medical technicians, rescue workers,
and hospital personnel who are employed in communities, tribal
governments, and political subdivisions of various regions and
population sizes.
(3) The President shall appoint a Chairman of the Council.
(4) Members shall be appointed to the Council for a term of
3 years.
(5) Membership shall be staggered to provide continuity.
(6) The Council shall meet no fewer than 2 times each year.
(7) Members of the Council shall receive no compensation
for service on the Council.
(8) The Secretary shall detail a single employee from the
Department of Homeland Security to the Council for the purposes
of:
(A) Choosing meeting dates and locations.
(B) Coordinating travel.
(C) Other administrative functions as needed.
(c) Duties.--The Council shall have the following duties:
(1) Develop a plan to disseminate information on first
response best practices.
(2) Identify and educate the Secretary on the latest
technological advances in the field of first response.
(3) Identify probable emerging threats to first responders.
(4) Identify needed improvements to first response
techniques and training.
(5) Identify efficient means of communication and
coordination between first responders and local, State, and
Federal officials.
(6) Identify areas in which the Department can assist first
responders.
(7) Evaluate the adequacy and timeliness of resources being
made available to local first responders.
(d) Reporting Requirement.--The Council shall report to the
Congress by October 1 of each year on how first responders can continue
to be most effectively used to meet the ever-changing challenges of
providing homeland security for the United States.
TITLE II--INFORMATION ANALYSIS AND INFRASTRUCTURE PROTECTION
Subtitle A--Under Secretary for Information Analysis and Infrastructure
Protection
SEC. 201. UNDER SECRETARY FOR INFORMATION ANALYSIS AND INFRASTRUCTURE
PROTECTION.
The Secretary, acting through the Under Secretary for Information
Analysis and Infrastructure Protection, shall be responsible for the
following:
(1) Conducting analysis of information, including foreign
intelligence and open source information, lawfully collected by
Federal, State and local law enforcement agencies and by
elements of the intelligence community with respect to threats
of terrorist acts against the United States.
(2) Integrating information, intelligence, and intelligence
analyses to produce and disseminate infrastructure
vulnerability assessments with respect to such threats.
(3) Identifying priorities for protective and support
measures by the Department, by other executive agencies, by
State and local governments, by the private sector, and by
other entities.
(4) Reviewing, analyzing, and recommending improvements in
law, policy, and procedure for the sharing of intelligence and
other information with respect to threats against the United
States within the Federal Government and between the Federal
Government and State and local governments.
(5) Developing a comprehensive national plan to provide for
the security of key resources and critical infrastructures
including, but not limited to, power production, generation,
and distribution systems, information technology and
telecommunications systems (including satellites), electronic
financial and property record storage and transmission systems,
emergency preparedness communications systems, and the physical
and technological assets that support such systems.
(6) Coordinating with other executive agencies, State and
local government personnel, agencies, and authorities, and the
private sector, to provide advice on implementation of such
comprehensive national plan.
(7) Supporting the intelligence and information
requirements of the Department.
(8) Administering the Homeland Security Advisory System,
exercising primary responsibility for public advisories
relating to terrorist threats, and (in coordination with other
executive agencies) providing specific warning information to
State and local government personnel, agencies, and
authorities, the private sector, other entities, and the
public, as well as advice about appropriate protective actions
and countermeasures.
SEC. 202. FUNCTIONS TRANSFERRED.
In accordance with title VIII, there shall be transferred to the
Secretary the functions, personnel, assets, and obligations of the
following:
(1) The National Infrastructure Protection Center of the
Federal Bureau of Investigation (other than the Computer
Investigations and Operations Section), including the functions
of the Attorney General relating thereto.
(2) The National Communications System of the Department of
Defense, including the functions of the Secretary of Defense
relating thereto.
(3) The Critical Infrastructure Assurance Office of the
Department of Commerce, including the functions of the
Secretary of Commerce relating thereto.
(4) The Energy Security and Assurance Program of the
Department of Energy, including the National Infrastructure
Simulation and Analysis Center and the functions of the
Secretary of Energy relating thereto.
(5) The Federal Computer Incident Response Center of the
General Services Administration, including the functions of the
Administrator of General Services relating thereto.
SEC. 203. ACCESS TO INFORMATION.
The Secretary shall have access to all reports, assessments, and
analytical information relating to threats of terrorism in the United
States, and to all information concerning infrastructure vulnerabilites
or other vulnerabilites of the United States to terrorism, whether or
not such information has been analyzed, that may be collected,
possessed, or prepared by any executive agency, except as otherwise
directed by the President. The Secretary shall also have access to
other information relating to the foregoing matters that may be
collected, possessed, or prepared by an executive agency, as the
President may further provide. With respect to the material to which
the Secretary has access under this section--
(1) the Secretary may obtain such material by request, and
may enter into cooperative arrangements with other executive
agencies to share such material on a regular or routine basis,
including requests or arrangements involving broad categories
of material;
(2) regardless of whether the Secretary has made any
request or entered into any cooperative arrangement pursuant to
paragraph (1), all executive agencies promptly shall provide to
the Secretary--
(A) all reports, assessments, and analytical
information relating to threats of terrorism in the
United States;
(B) all information concerning infrastructure
vulnerablilites or other vulnerablities of the United
States to terrorism, whether or not such information
has been analyzed;
(C) all information relating to significant and
credible threats of terrorism in the United States,
whether or not such information has been analyzed, if
the President has provided that the Secretary shall
have access to such information; and
(D) such other material as the President may
further provide;
(3) the Secretary shall have full access and input with
respect to information from any national collaborative
information analysis capability (as referred to in section 924
of the National Defense Authorization Act for Fiscal Year 2002
(Public Law 107-107; 115 Stat. 1199)) established jointly by
the Secretary of Defense and the Director of Central
Intelligence; and
(4) the Secretary shall ensure that any material received
pursuant to this section is protected from unauthorized
disclosure and handled and used only for the performance of
official duties, and that any intelligence information shared
under this section shall be transmitted, retained, and
disseminated consistent with the authority of the Director of
Central Intelligence to protect intelligence sources and
methods under the National Security Act and related procedures
or, as appropriate, similar authorities of the Attorney General
concerning sensitive law enforcement information.
SEC. 204. PROCEDURES FOR SHARING INFORMATION.
The Secretary shall establish procedures on the use of information
shared under this title that--
(1) limit the redissemination of such information to ensure
that it is not used for an unauthorized purpose;
(2) ensure the security and confidentiality of such
information;
(3) protect the constitutional and statutory rights of any
individuals who are subjects of such information; and
(4) provide data integrity through the timely removal and
destruction of obsolete or erroneous names and information.
SEC. 205. PRIVACY OFFICER.
The Secretary shall appoint a senior official in the Department to
assume primary responsibility for privacy policy, including--
(1) assuring that the use of technologies sustain, and do
not erode, privacy protections relating to the use, collection,
and disclosure of personal information;
(2) assuring that personal information contained in Privacy
Act systems of records is handled in full compliance with fair
information practices as set out in the Privacy Act of 1974;
(3) evaluating legislative and regulatory proposals
involving collection, use, and disclosure of personal
information by the Federal Government;
(4) conducting a privacy impact assessment of proposed
rules of the Department or that of the Department on the
privacy of personal information, including the type of personal
information collected and the number of people affected; and
(5) preparing a report to Congress on an annual basis on
activities of the Department that affect privacy, including
complaints of privacy violations, implementation of the Privacy
Act of 1974, internal controls, and other matters.
SEC. 206. FEDERAL CYBERSECURITY PROGRAM.
(a) In General.--The Secretary, acting through the Under Secretary
for Information Analysis and Infrastructure Protection, shall establish
and manage a program to improve the security of Federal critical
information systems, including carrying out responsibilities under
paragraphs (2) and (3) of section 201 that relate to such systems.
(b) Duties.--The duties of the Secretary under subsection (a) are--
(1) to evaluate the increased use by civilian executive
agencies of techniques and tools to enhance the security of
Federal critical information systems, including, as
appropriate, consideration of cryptography;
(2) to provide assistance to civilian executive agencies in
protecting the security of Federal critical information
systems, including identification of significant risks to such
systems; and
(3) to coordinate research and development for critical
information systems relating to supervisory control and data
acquisition systems, including, as appropriate, the
establishment of a test bed.
(c) Federal Information System Security Team.--
(1) In general.--In carrying out subsection (b)(2), the
Secretary shall establish, manage, and support a Federal
information system security team whose purpose is to provide
technical expertise to civilian executive agencies to assist
such agencies in securing Federal critical information systems
by conducting information security audits of such systems,
including conducting tests of the effectiveness of information
security control techniques and performing logical access
control tests of interconnected computer systems and networks,
and related vulnerability assessment techniques.
(2) Team members.--The Secretary shall ensure that the team
under paragraph (1) includes technical experts and auditors,
computer scientists, and computer forensics analysts whose
technical competence enables the team to conduct audits under
such paragraph.
(3) Agency agreements regarding audits.--Each civilian
executive agency may enter into an agreement with the team
under paragraph (1) for the conduct of audits under such
paragraph of the Federal critical information systems of the
agency. Such agreement shall establish the terms of the audit
and shall include provisions to minimize the extent to which
the audit disrupts the operations of the agency.
(4) Reports.--Promptly after completing an audit under
paragraph (1) of a civilian executive agency, the team under
such paragraph shall prepare a report summarizing the findings
of the audit and making recommendations for corrective action.
Such report shall be submitted to the Secretary, the head of
such agency, and the Inspector General of the agency (if any),
and upon request of any congressional committee with
jurisdiction over such agency, to such committee.
(d) Definition.--For purposes of this section, the term ``Federal
critical information system'' means an ``information system'' as
defined in section 3502 of title 44, United States Code, that--
(1) is, or is a component of, a key resource or critical
infrastructure;
(2) is used or operated by a civilian executive agency or
by a contractor of such an agency; and
(3) does not include any national security system as
defined in section 5142 of the Clinger-Cohen Act of 1996.
SEC. 207. ENHANCEMENT OF NON-FEDERAL CYBERSECURITY.
In carrying out the responsibilities under section 201, the Under
Secretary for Information Analysis and Infrastructure Protection
shall--
(1) as appropriate, provide to State and local government
entities, and upon request to private entitites that own or
operate critical information systems--
(A) analysis and warnings related to threats to,
and vulnerabilities of, critical information systems;
and
(B) in coordination with the Under Secretary for
Emergency Preparedness and Response, crisis management
support in response to threats to, or attacks on,
critical information systems; and
(2) as appropriate, provide technical assistance, upon
request, to the private sector and other government entities,
in coordination with the Under Secretary for Emergency
Preparedness and Response, with respect to emergency recovery
plans to respond to major failures of critical information
systems.
SEC. 208. INFORMATION SECURITY.
In carrying out the responsibilities under section 201, the Under
Secretary for Information Analysis and Infrastructure Protection
shall--
(1) as appropriate, provide to State and local government
entities, and, upon request, to private entities that own or
operate critical information systems--
(A) analysis and warnings related to threats to,
and vulnerabilities of, critical information systems;
and
(B) in coordination with the Under Secretary for
Emergency Preparedness and Response, crisis management
support in response to threats to, or attacks on,
critical information systems; and
(2) as appropriate, provide technical assistance, upon
request, to the private sector and with other government
entities, in coordination with the Under Secretary for
Emergency Preparedness and Response, with respect to emergency
recovery plans to respond to major failures of critical
information systems.
Subtitle B--Intelligence Analysis Center
SEC. 211. INTELLIGENCE ANALYSIS CENTER.
(a) Establishment; NFIP Agency.--(1) There is established within
the Department the Intelligence Analysis Center. The Under Secretary
for Information Analysis and Infrastructure Protection shall be the
head of the Intelligence Analysis Center.
(2) The Intelligence Analysis Center is a program of the
intelligence community for purposes of the National Foreign
Intelligence Program (as defined in section 3(6) of the National
Security Act of 1947 (50 U.S.C. 401a(6))).
(b) Functions.--The Under Secretary for Information Analysis and
Infrastructure Protection, through the Intelligence Analysis Center,
shall carry out the duties specified in paragraphs (1), (2), (3), (6),
and (7) of section 201(b).
(c) Detail of Certain Personnel.--
(1) In general.--The Secretary and the Director of Central
Intelligence, the Secretary of Defense, the Attorney General,
the Secretary of State, or the head of another agency or
department as the case may be, shall enter into cooperative
arrangements to provide for an appropriate number of
individuals to be detailed to the Under Secretary to perform
analytical functions and duties with respect to the mission of
the Department from the following agencies:
(A) The Central Intelligence Agency.
(B) The Federal Bureau of Investigation.
(C) The National Security Agency.
(D) The National Imagery and Mapping Agency.
(E) The Department of State.
(F) The Defense Intelligence Agency.
(G) Any other agency or department that the
President determines appropriate.
(2) Terms of detail.--Any officer or employee of the United
States or a member of the Armed Forces who is detailed to the
Under Secretary under paragraph (1) shall be detailed on a
reimbursable basis for a period of less than two years for the
performance of temporary functions as required by the Under
Secretary.
(d) Inclusion of Office of Intelligence as an Element of the
Intelligence Community.--Section 3(4) of the National Security Act of
1947 (50 U.S.C. 401a(4)) is amended--
(1) by striking ``and'' at the end of subparagraph (I);
(2) by redesignating subparagraph (J) as subparagraph (K);
and
(3) by inserting after subparagraph (I) the following new
subparagraph:
``(J) the Intelligence Analysis Center of the
Department of Homeland Security; and''.
SEC. 212. MISSION OF THE INTELLIGENCE ANALYSIS CENTER.
(a) In General.--The mission of the Intelligence Analysis Center is
as follows:
(1) Analysis and production.--
(A) Correlating and evaluating information and
intelligence related to the mission of the Department
collected from all sources available.
(B) Producing all-source collaborative intelligence
analysis, warnings, tactical assessments, and strategic
assessments of the terrorist threat and infrastructure
vulnerabilities of the United States.
(C) Providing appropriate dissemination of such
assessments.
(D) Improving the lines of communication with
respect to homeland security between the Federal
Government and State and local public safety agencies
and the private sector through the timely dissemination
of information pertaining to threats of acts of
terrorism against the United States.
(2) Coordination of information.--Coordinating with
elements of the intelligence community and with Federal, State,
and local law enforcement agencies, and the private sector as
appropriate.
(3) Additional Duties.--Performing such other functions as
the Secretary may direct.
(b) Strategic and Tactical Missions of the Intelligence Analysis
Center.--The Under Secretary shall conduct strategic and tactical
assessments and warnings through the Intelligence Analysis Center,
including research, analysis, and the production of assessments on the
following as they relate to the mission of the Department:
(1) Domestic terrorism.
(2) International terrorism.
(3) Counterintelligence.
(4) Transnational crime.
(5) Proliferation of weapons of mass destruction.
(6) Illicit financing of terrorist activities.
(7) Cybersecurity and cybercrime.
(8) Key resources and critical infrastructures.
(c) Staffing of the Intelligence Analysis Center.--
(1) Functions transferred.--In accordance with title VIII,
for purposes of carrying out this title, there is transferred
to the Under Secretary the functions, personnel, assets, and
liabilities of the following entities:
(A) The National Infrastructure Protection Center
of the Federal Bureau of Investigation (other than the
Computer Investigations and Operations Section).
(B) The Critical Infrastructure Assurance Office of
the Department of Commerce.
(C) The Federal Computer Incident Response Center
of the General Services Administration.
(D) The National Infrastructure Simulation and
Analysis Center of the Department of Energy.
(E) The National Communications System of the
Department of Defense.
(F) The intelligence element of the Coast Guard.
(G) The intelligence element of the United States
Customs Service.
(H) The intelligence element of the Immigration and
Naturalization Service.
(I) The intelligence element of the Transportation
Security Administration.
(J) The intelligence element of the Federal
Protective Service.
(2) Structure.--It is the sense of Congress that the Under
Secretary should model the Intelligence Analysis Center on the
technical, analytic approach of the Information Dominance
Center of the Department of the Army to the maximum extent
feasible and appropriate.
SEC. 213. NET GUARD.
The Under Secretary for Information Analysis and Infrastructure
Protection may establish a national technology guard, to be known as
``NET Guard'', comprised of local teams of volunteers with expertise in
relevant areas of science and technology, to assist local communities
to respond and recover from attacks on information systems and
communications networks.
TITLE III--SCIENCE AND TECHNOLOGY
SEC. 301. UNDER SECRETARY FOR SCIENCE AND TECHNOLOGY.
The Secretary, acting through the Under Secretary for Science and
Technology, shall have responsibility for--
(1) developing, in consultation with other appropriate
executive agencies, a national policy and strategic plan for,
identifying priorities, goals, objectives and policies for, and
coordinating the Federal Government's civilian efforts to
identify and develop countermeasures to chemical, biological
radiological, nuclear and other emerging terrorist threats,
including the development of comprehensive, research-based
definable goals for such efforts and development of annual
measurable objectives and specific targets to accomplish and
evaluate the goals for such efforts;
(2) establishing and administering the primary research and
development activities of the Department, including the long-
term research and development needs and capabilities for all
elements of the Department;
(3) conducting basic and applied research, development,
demonstration, testing, and evaluation activities that are
relevant to any or all elements of the Department, through both
intramural and extramural programs; provided that such
responsibility does not extend to human health-related research
and development activities;
(4) coordinating and integrating all research, development,
demonstration, testing, and evaluation activities of the
Department;
(5) coordinating with other appropriate executive agencies
in developing and carrying out the science and technology
agenda of the Department to reduce duplication and identify
unmet needs;
(6) establishing Federal priorities for research,
development, demonstration, testing, and, as appropriate,
procurement and transitional operation of technology and
systems--
(A) for preventing the importation of chemical,
biological, radiological, and nuclear weapons and
related materials;
(B) for detecting, preventing, and protecting
against terrorist attacks that involve such weapons or
related materials; and
(C) for interoperability of communications systems
for emergency response providers;
(7) ensuring that the research, development, demonstration,
testing, and evaluation activities of the Department are
aligned with the Department's procurement needs;
(8) facilitating the deployment of technology that will
serve to enhance homeland security; and
(9) developing and overseeing the administration of
guidelines for merit review of research and development
projects throughout the Department, and for the dissemination
of research conducted or sponsored by the Department.
SEC. 302. FUNCTIONS TRANSFERRED.
In accordance with title VIII, there shall be transferred to the
Secretary the functions, personnel, assets, and obligations of the
following:
(1) Programs and activities of the Department of Energy,
including the functions of the Secretary of Energy relating
thereto (but not including programs and activities relating to
the strategic nuclear defense posture of the United States), as
follows:
(A) The programs and activities relating to
chemical and biological national security, and
supporting programs and activities directly related to
homeland security, of the non-proliferation and
verification research and development program.
(B) The programs and activities relating to nuclear
smuggling, and other programs and activities directly
related to homeland security, within the proliferation
detection program of the non-proliferation and
verification research and development program.
(C) Those aspects of the nuclear assessment program
of the international materials protection and
cooperation program that are directly related to
homeland security.
(D) Such life sciences activities of the biological
and environmental research program related to microbial
pathogens as may be designated by the President for
transfer to the Department and that are directly
related to homeland security.
(E) The Environmental Measurements Laboratory.
(F) The advanced scientific computing research
program and activities at Lawrence Livermore National
Laboratory.
(2) The homeland security projects within the Chemical
Biological Defense Program of the Department of Defense known
as the Biological Defense Homeland Security Support Program and
the Biological Counter-Terrorism Research Program.
SEC. 303. CONDUCT OF CERTAIN PUBLIC HEALTH-RELATED ACTIVITIES.
With respect to civilian human health-related research and
development activities relating to countermeasures for chemical,
biological, radiological, and nuclear and other emerging terrorist
threats carried out by the Department of Health and Human Services
(including the Public Health Service), the Secretary of Health and
Human Services shall set priorities, goals, objectives, and policies
and develop a coordinated strategy for such activities in collaboration
with the Secretary of Homeland Security to ensure consistency with the
national policy and strategic plan developed pursuant to section
301(1).
SEC. 304. FEDERALLY FUNDED RESEARCH AND DEVELOPMENT CENTER.
The Secretary, acting through the Under Secretary for Science and
Technology, shall have the authority to establish or contract with one
or more federally funded research and development centers to provide
independent analysis of homeland security issues, or to carry out other
responsibilities under this Act, including coordinating and integrating
both the extramural and intramural programs described in section 307.
SEC. 305. MISCELLANEOUS PROVISIONS.
(a) Classification.--To the greatest extent practicable, research
conducted or supported by the Department shall be unclassified.
(b) Construction.--Nothing in this title shall be construed to
preclude any Under Secretary of the Department from carrying out
research, development, demonstration, or deployment activities, as long
as such activities are coordinated through the Under Secretary for
Science and Technology.
(c) Regulations.--The Secretary, acting through the Under Secretary
for Science and Technology, may issue necessary regulations with
respect to research, development, demonstration, testing, and
evaluation activities of the Department, including the conducting,
funding, and reviewing of such activities.
(d) Notification of Presidential Life Sciences Designations.--Not
later than 60 days before effecting any transfer of Department of
Energy life sciences activities pursuant to section 302(1)(D) of this
Act, the President shall notify the appropriate congressional
committees of the proposed transfer and shall include the reasons for
the transfer and a description of the effect of the transfer on the
activities of the Department of Energy.
SEC. 306. HOMELAND SECURITY SCIENCE AND TECHNOLOGY COORDINATION
COUNCIL.
(a) Establishment and Composition.--There is established within the
Department a Homeland Security Science and Technology Coordination
Council (in this section referred to as the ``Coordination Council'').
The Coordination Council shall be composed of all the Under Secretaries
of the Department and any other Department officials designated by the
Secretary, and shall be chaired by the Under Secretary for Science and
Technology. The Coordination Council shall meet at the call of the
chair.
(b) Responsibilities.--The Coordination Council shall--
(1) establish priorities for research, development,
demonstration, testing, and evaluation activities conducted or
supported by the Department;
(2) ensure that the priorities established under paragraph
(1) reflect the acquisition needs of the Department; and
(3) assist the Under Secretary for Science and Technology
in carrying out his responsibilities under section 301(4).
SEC. 307. CONDUCT OF RESEARCH, DEVELOPMENT, DEMONSTRATION, TESTING AND
EVALUATION.
(a) In General.--The Secretary, acting through the Under Secretary
for Science and Technology, shall carry out the responsibilities under
section 301(3) through both extramural and intramural programs.
(b) Extramural Programs.--(1) The Secretary, acting through the
Under Secretary for Science and Technology, shall operate extramural
research, development, demonstration, testing, and evaluation programs
so as to--
(A) ensure that colleges, universities, private research
institutes, and companies (and consortia thereof) from as many
areas of the United States as practicable participate;
(B) ensure that the research funded is of high quality, as
determined through merit review processes developed under
section 301(10); and
(C) distribute funds through grants, cooperative
agreements, and contracts through competitions that are as open
as possible.
(2)(A) The Secretary, acting through the Under Secretary for
Science and Technology, shall establish within 1 year of the date of
enactment of this Act a university-based center or centers for homeland
security. The purpose of this center or centers shall be to establish a
coordinated, university-based system to enhance the Nation's homeland
security.
(B) In selecting colleges or universities as centers for homeland
security, the Secretary shall consider the following criteria:
(i) Demonstrated expertise in the training of first
responders.
(ii) Demonstrated expertise in responding to incidents
involving weapons of mass destruction and biological warfare.
(iii) Demonstrated expertise in emergency medical services.
(iv) Demonstrated expertise in chemical, biological,
radiological, and nuclear countermeasures.
(v) Strong affiliations with animal and plant diagnostic
laboratories.
(vi) Demonstrated expertise in food safety.
(vii) Affiliation with Department of Agriculture
laboratories or training centers.
(viii) Demonstrated expertise in water and wastewater
operations.
(ix) Demonstrated expertise in port and waterway security.
(x) Demonstrated expertise in multi-modal transportation.
(xi) Nationally recognized programs in information
security.
(xii) Nationally recognized programs in engineering.
(xiii) Demonstrated expertise in educational outreach and
technical assistance.
(xiv) Demonstrated expertise in border transportation and
security.
(xv) Demonstrated expertise in interdisciplinary public
policy research and communication outreach regarding science,
technology, and public policy.
(C) The Secretary shall have the discretion to establish such
centers and to consider additional criteria as necessary to meet the
evolving needs of homeland security and shall report to Congress
concerning the implementation of this paragraph as necessary.
(D) There are authorized to be appropriated such sums as may be
necessary to carry out this paragraph.
(c) Intramural Programs.--(1) In carrying out the duties under
section 301, the Secretary, acting through the Under Secretary for
Science and Technology, may draw upon the expertise of any laboratory
of the Federal Government, whether operated by a contractor or the
Government.
(2) The Secretary, acting through the Under Secretary for Science
and Technology, may establish a headquarters laboratory for the
Department at any national laboratory and may establish additional
laboratory units at other national laboratories.
(3) If the Secretary chooses to establish a headquarters laboratory
pursuant to paragraph (2), then the Secretary shall do the following:
(A) Establish criteria for the selection of the
headquarters laboratory in consultation with the National
Academy of Sciences, appropriate Federal agencies, and other
experts.
(B) Publish the criteria in the Federal Register.
(C) Evaluate all appropriate national laboratories against
the criteria.
(D) Select a national laboratory on the basis of the
criteria.
(E) Report to the appropriate congressional committees on
which laboratory was selected, how the selected laboratory
meets the published criteria, and what duties the headquarters
laboratory shall perform.
(4) No laboratory shall begin operating as the headquarters
laboratory of the Department until at least 30 days after the
transmittal of the report required by paragraph (3)(E).
SEC. 308. TRANSFER OF PLUM ISLAND ANIMAL DISEASE CENTER, DEPARTMENT OF
AGRICULTURE.
(a) Transfer Required.--In accordance with title VIII, the
Secretary of Agriculture shall transfer to the Secretary of Homeland
Security the Plum Island Animal Disease Center of the Department of
Agriculture, including the assets and liabilities of the Center.
(b) Continued Department of Agriculture Access.--Upon the transfer
of the Plum Island Animal Disease Center, the Secretary of Homeland
Security and the Secretary of Agriculture shall enter into an agreement
to ensure Department of Agriculture access to the center for research,
diagnostic, and other activities of the Department of Agriculture.
(c) Notification.--At least 180 days before any change in the
biosafety level at the facility described in subsection (a), the
President shall notify the Congress of the change and describe the
reasons therefor. No such change may be made until at least 180 days
after the completion of the transition period defined in section
801(2).
SEC. 309. HOMELAND SECURITY SCIENCE AND TECHNOLOGY ADVISORY COMMITTEE.
(a) Establishment.--There is established within the Department a
Homeland Security Science and Technology Advisory Committee (in this
section referred to as the ``Advisory Committee''). The Advisory
Committee shall make recommendations with respect to the activities of
the Under Secretary for Science and Technology, including identifying
research areas of potential importance to the security of the Nation.
(b) Membership.--
(1) Appointment.--The Advisory Committee shall consist of
20 members appointed by the Under Secretary for Science and
Technology, which shall include emergency first-responders or
representatives of organizations or associations of emergency
first-responders. The Advisory Committee shall also include
representatives of citizen groups, including economically
disadvantaged communities. The individuals appointed as members
of the Advisory Committee--
(A) shall be eminent in fields such as emergency
response, research, engineering, new product
development, business, and management consulting;
(B) shall be selected solely on the basis of
established records of distinguished service;
(C) shall not be employees of the Federal
Government; and
(D) shall be so selected as to provide
representation of a cross-section of the research,
development, demonstration, and deployment activities
supported by the Under Secretary for Science and
Technology.
(2) National research council.--The Under Secretary for
Science and Technology may enter into an arrangement for the
National Research Council to select members of the Advisory
Committee, but only if the panel used by the National Research
Council reflects the representation described in paragraph (1).
(c) Terms of Office.--
(1) In general.--Except as otherwise provided in this
subsection, the term of office of each member of the Advisory
Committee shall be 3 years.
(2) Original appointments.--The original members of the
Advisory Committee shall be appointed to three classes of three
members each. One class shall have a term of one year, one a
term of two years, and the other a term of three years.
(3) Vacancies.--A member appointed to fill a vacancy
occurring before the expiration of the term for which the
member's predecessor was appointed shall be appointed for the
remainder of such term.
(d) Eligibility.--A person who has completed two consecutive full
terms of service on the Advisory Committee shall thereafter be
ineligible for appointment during the one-year period following the
expiration of the second such term.
(e) Meetings.--The Advisory Committee shall meet at least quarterly
at the call of the Chair or whenever one-third of the members so
request in writing. Each member shall be given appropriate notice of
the call of each meeting, whenever possible not less than 15 days
before the meeting.
(f) Quorum.--A majority of the members of the Advisory Committee
not having a conflict of interest in the matter being considered by the
Advisory Committee shall constitute a quorum.
(g) Conflict of Interest Rules.--The Advisory Committee shall
establish rules for determining when one of its members has a conflict
of interest in a matter being considered by the Advisory Committee.
(h) Reports.--
(1) Annual report.--The Advisory Committee shall render an
annual report to the Under Secretary for Science and Technology
for transmittal to the Congress on or before January 31 of each
year. Such report shall describe the activities and
recommendations of the Advisory Committee during the previous
year.
(2) Additional reports.--The Advisory Committee may render
to the Under Secretary for transmittal to the Congress such
additional reports on specific policy matters as it considers
appropriate.
(i) FACA Exemption.--Section 14 of the Federal Advisory Committee
Act shall not apply to the Advisory Committee.
SEC. 310. HOMELAND SECURITY INSTITUTE.
(a) Establishment.--The Secretary shall establish a federally
funded research and development center to be known as the ``Homeland
Security Institute'' (in this section referred to as the
``Institute'').
(b) Administration.--The Institute shall be administered as a
separate entity by the Secretary.
(c) Duties.--The duties of the Institute shall be determined by the
Secretary, and may include the following:
(1) Systems analysis, risk analysis, and simulation and
modeling to determine the vulnerabilities of the Nation's
critical infrastructures and the effectiveness of the systems
deployed to reduce those vulnerabiblities.
(2) Economic and policy analysis to assess the distributed
costs and benefits of alternative approaches to enhancing
security.
(3) Evaluation of the effectiveness of measures deployed to
enhance the security of institutions, facilities, and
infrastructure that may be terrorist targets.
(4) Identification of instances when common standards and
protocols could improve the interoperability and effective
utilization of tools developed for field operators and first
responders.
(5) Assistance for Federal agencies and departments in
establishing testbeds to evaluate the effectiveness of
technologies under development and to assess the
appropriateness of such technologies for deployment.
(6) Design of metrics and use of those metrics to evaluate
the effectiveness of homeland security programs throughout the
Federal Government, including all national laboratories.
(7) Design of and support for the conduct of homeland
security-related exercises and simulations.
(8) Creation of strategic technology development plans to
reduce vulnerabilities in the Nation's critical infrastructure
and key resources.
(d) Consultation on Institute Activities.--In carrying out the
duties described in subsection (c), the Institute shall consult widely
with representatives from private industry, institutions of higher
education, and nonprofit institutions.
(e) Annual Reports.--The Institute shall transmit to the Secretary
and the Congress an annual report on the activities of the Institute
under this section.
SEC. 311. TECHNOLOGY CLEARINGHOUSE TO ENCOURAGE AND SUPPORT INNOVATIVE
SOLUTIONS TO ENHANCE HOMELAND SECURITY.
(a) Establishment of Program.--The Secretary, acting through the
Under Secretary for Science and Technology, shall establish and promote
a program to encourage technological innovation in facilitating the
mission of the Department (as described in section 101).
(b) Elements of Program.--The program described in subsection (a)
shall include the following components:
(1) The establishment of a centralized Federal
clearinghouse for information relating to technologies that
would further the mission of the Department for dissemination,
as appropriate, to Federal, State, and local government and
private sector entities for additional review, purchase, or
use.
(2) The issuance of announcements seeking unique and
innovative technologies to advance the mission of the
Department.
(3) The establishment of a technical assistance team to
assist in screening, as appropriate, proposals submitted to the
Secretary (except as provided in subsection (c)(2)) to assess
the feasibility, scientific and technical merits, and estimated
cost of such proposals, as appropriate.
(4) The provision of guidance, recommendations, and
technical assistance, as appropriate, to assist Federal, State,
and local government and private sector efforts to evaluate and
implement the use of technologies described in paragraph (1) or
(2).
(5) The provision of information for persons seeking
guidance on how to pursue proposals to develop or deploy
technologies that would enhance homeland security, including
information relating to Federal funding, regulation, or
acquisition.
(c) Miscellaneous Provisions.--
(1) In general.--Nothing in this section shall be construed
as authorizing the Secretary or the technical assistance team
established under subsection (b)(3) to set standards for
technology to be used by the Department, any other executive
agency, any State or local government entity, or any private
sector entity.
(2) Certain proposals.--The technical assistance team
established under subsection (b)(3) shall not consider or
evaluate proposals submitted in response to a solicitation for
offers for a pending procurement or for a specific agency
requirement.
(3) Coordination.--In carrying out this section, the
Secretary shall coordinate with the Technical Support Working
Group (organized under the April 1982 National Security
Decision Directive Numbered 30).
TITLE IV--BORDER AND TRANSPORTATION SECURITY
Subtitle A--General Provisions
SEC. 401. UNDER SECRETARY FOR BORDER AND TRANSPORTATION SECURITY.
The Secretary, acting through the Under Secretary for Border and
Transportation Security, shall be responsible for the following:
(1) Preventing the entry of terrorists and the instruments
of terrorism into the United States.
(2) Securing the borders, territorial waters, ports,
terminals, waterways, and air, land, and sea transportation
systems of the United States, including managing and
coordinating governmental activities at ports of entry.
(3) Carrying out the immigration enforcement functions
vested by statute in, or performed by, the Commissioner of
Immigration and Naturalization (or any officer, employee, or
component of the Immigration and Naturalization Service)
immediately before the date on which the transfer of functions
specified under section 411 takes effect.
(4) Establishing and administering rules, in accordance
with section 403, governing the granting of visas or other
forms of permission, including parole, to enter the United
States to individuals who are not a citizen or an alien
lawfully admitted for permanent residence in the United States.
(5) Except as provided in subtitle C, administering the
customs laws of the United States.
(6) Conducting the inspection and related administrative
functions of the Department of Agriculture transferred to the
Secretary of Homeland Security under section 404.
(7) In carrying out the foregoing responsibilities,
ensuring the speedy, orderly, and efficient flow of lawful
traffic and commerce.
SEC. 402. FUNCTIONS TRANSFERRED.
In accordance with title VIII, there shall be transferred to the
Secretary the functions, personnel, assets, and obligations of the
following:
(1) The United States Customs Service, except as provided
in subtitle C.
(2) The Coast Guard of the Department of Transportation,
which shall be maintained as a distinct entity within the
Department, including the functions of the Secretary of
Transportation relating thereto.
(3) The Transportation Security Administration of the
Department of Transportation, including the functions of the
Secretary of Transportation, and of the Under Secretary of
Transportation for Security, relating thereto.
(4) The Federal Protective Service of the General Services
Administration, including the functions of the Administrator of
General Services relating thereto.
(5) The Office for Domestic Preparedness of the Office of
Justice Programs of the Department of Justice, including the
functions of the Attorney General relating thereto.
(6) The National Domestic Preparedness Office of the
Federal Bureau of Investigation, including the functions of the
Attorney General relating thereto.
(7) The Domestic Emergency Support Teams of the Department
of Justice, including the functions of the Attorney General
relating thereto.
SEC. 403. VISA ISSUANCE.
(a) In General.--Notwithstanding section 104(a) of the Immigration
and Nationality Act (8 U.S.C. 1104(a)) or any other provision of law,
and except as provided in subsection (b) of this section, the
Secretary--
(1) shall be vested exclusively with all authorities to
issue regulations with respect to, administer, and enforce the
provisions of such Act, and of all other immigration and
nationality laws, relating to the functions of consular
officers of the United States in connection with the granting
or refusal of visas, and shall have the authority to refuse
visas in accordance with law and to develop programs of
homeland security training for consular officers (in addition
to consular training provided by the Secretary of State), which
authorities shall be exercised through the Secretary of State,
except that the Secretary shall not have authority to alter or
reverse the decision of a consular officer to refuse a visa to
an alien; and
(2) shall have authority to confer or impose upon any
officer or employee of the United States, with the consent of
the head of the executive agency under whose jurisdiction such
officer or employee is serving, any of the functions specified
in paragraph (1).
(b) Authority of the Secretary of State.--
(1) In general.--Notwithstanding subsection (a), the
Secretary of State may direct a consular officer to refuse a
visa to an alien if the Secretary of State deems such refusal
necessary or advisable in the foreign policy or security
interests of the United States.
(2) Construction regarding authority.--Nothing in this
section shall be construed as affecting the authorities of the
Secretary of State under the following provisions of law:
(A) Section 101(a)(15)(A) of the Immigration and
Nationality Act (8 U.S.C. 1101(a)(15)(A)).
(B) Section 204(d)(2) of the Immigration and
Nationality Act (8 U.S.C. 1154) (as it will take effect
upon the entry into force of the Convention on
Protection of Children and Cooperation in Respect to
Inter-Country Adoption).
(C) Section 212(a)(3)(B)(vi)(II) of the Immigration
and Nationality Act.
(D) Section 212(a)(3)(C) of the Immigration and
Nationality Act (8 U.S.C. 1182(a)(3)(C)).
(E) Section 212(a)(10)(C) of the Immigration and
Nationality Act (8 U.S.C. 1182(a)(10)(C)).
(F) Section 219(a) of the Immigration and
Nationality Act (8 U.S.C. 1189(a)).
(G) Section 237(a)(4)(C) of the Immigration and
Nationality Act (8 U.S.C. 1227(a)(4)(C)).
(H) Section 401 of the Cuban Liberty and Democratic
Solidarity (LIBERTAD) Act of 1996 (22 U.S.C. 6034;
Public Law 104-114).
(I) Section 613 of the Departments of Commerce,
Justice, and State, the Judiciary, and Related Agencies
Appropriations Act, 1999 (as contained in section
101(b) of division A of Public Law 105-277) (Omnibus
Consolidated and Emergency Supplemental Appropriations
Act, 1999; 112 Stat. 2681; H.R. 4328 (originally H.R.
4276) as amended by section 617 of Public Law 106-553).
(J) Section 801 of H.R. 3427, the Admiral James W.
Nance and Meg Donovan Foreign Relations Authorization
Act, Fiscal Years 2000 and 2001, as enacted by
reference in Public Law 106-113.
(K) Section 568 of the Foreign Operations, Export
Financing, and Related Programs Appropriations Act,
2002 (Public Law 107-115).
(3) Construction regarding delegation of authority.--
Nothing in this section shall be construed to affect any
delegation of authority to the Secretary of State by the
President pursuant to any proclamation issued under section
212(f) of the Immigration and Nationality Act (8 U.S.C.
1182(f)).
(c) Assignment of Homeland Security Employees to Diplomatic and
Consular Posts.--
(1) In general.--The Secretary is authorized to assign
employees of the Department of Homeland Security to any
diplomatic and consular posts abroad to perform the following
functions:
(A) Provide expert advice and training to consular
officers regarding specific security threats relating
to individual visa applications or classes of
applications.
(B) Review any or all such applications prior to
their adjudication, either on the initiative of the
employee of the Department of Homeland Security or upon
request by a consular officer or other person charged
with adjudicating such applications.
(C) Conduct investigations with respect to matters
under the jurisdiction of the Secretary.
(2) Permanent assignment; participation in terrorist
lookout committee.--When appropriate, employees of the
Department of Homeland Security assigned to perform functions
described in paragraph (1) may be assigned permanently to
overseas diplomatic or consular posts with country-specific or
regional responsibility. If the Secretary so directs, any such
employee, when present at an overseas post, shall participate
in the terrorist lookout committee established under section
304 of the Enhanced Border Security and Visa Entry Reform Act
of 2002 (8 U.S.C. 1733).
(3) Training and hiring.--
(A) The Secretary shall ensure that any employees
of the Department of Homeland Security assigned to
perform functions described in paragraph (1) shall be
provided all necessary training to enable them to carry
out such functions, including training in foreign
languages, interview techniques, fraud detection
techniques, and other skills required by such
employees, in conditions in the particular country
where each employee is assigned, and in other
appropriate areas of study.
(B) The Secretary shall promulgate regulations
within 60 days of the enactment of this Act
establishing foreign language proficiency requirements
for employees of the Department performing the
functions described in paragraph (1) and providing that
preference shall be given to individuals who meet such
requirements in hiring employees for the performance of
such functions.
(C) The Secretary is authorized to use the National
Foreign Affairs Training Center, on a reimbursable
basis, to obtain the training described in subparagraph
(A).
(d) No Creation of Private Right of Action.--Nothing in this
section shall be construed to create or authorize a private right of
action to challenge a decision of a consular officer or other United
States official or employee to grant or deny a visa.
(e) Study Regarding Use of Foreign Nationals.--
(1) In general.--The Secretary of Homeland Security shall
conduct a study of the role of foreign nationals in the
granting or refusal of visas and other documents authorizing
entry of aliens into the United States. The study shall address
the following:
(A) The proper role, if any, of foreign nationals
in the process of rendering decisions on such grants
and refusals.
(B) Any security concerns involving the employment
of foreign nationals.
(C) Whether there are cost-effective alternatives
to the use of foreign nationals.
(2) Report.--Not later than 1 year after the date of the
enactment of this Act, the Secretary shall submit a report
containing the findings of the study conducted under paragraph
(1) to the Committee on the Judiciary, the Committee on
International Relations, and the Committee on Government Reform
of the House of Representatives, and the Committee on the
Judiciary, the Committee on Foreign Relations, and the
Committee on Government Affairs of the Senate.
(f) Report.--Not later than 120 days after the date of the
enactment of this Act, the Director of the Office of Science and
Technology Policy shall submit to the Congress a report on how the
provisions of this section will affect procedures for the issuance of
student visas.
(g) Visa Issuance Program for Saudi Arabia.--Notwithstanding any
other provision of law, after the date of the enactment of this Act all
third party screening, interview waiver, or other non-interview visa
issuance programs in Saudi Arabia shall be terminated. On-site
personnel of the Department of Homeland Security shall review all visa
applications prior to adjudication. All visa applicants in Saudi Arabia
shall be interviewed unless on-site personnel of the Department of
Homeland Security determine, in writing and pursuant to written
guidelines issued by the Secretary of Homeland Security, that the alien
is unlikely to present a risk to homeland security. The Secretary of
Homeland Security shall promulgate such guidelines not later than 30
days after the date of the enactment of this Act.
SEC. 404. TRANSFER OF CERTAIN AGRICULTURAL INSPECTION FUNCTIONS OF THE
DEPARTMENT OF AGRICULTURE.
(a) Transfer of Agricultural Import and Entry Inspection
Functions.--There shall be transferred to the Secretary of Homeland
Security the functions of the Secretary of Agriculture relating to
agricultural import and entry inspection activities under the laws
specified in subsection (b).
(b) Covered Animal and Plant Protection Laws.--The laws referred to
in subsection (a) are the following:
(1) The Act commonly known as the Virus-Serum-Toxin Act
(the eighth paragraph under the heading ``Bureau of Animal
Industry'' in the Act of March 4, 1913; 21 U.S.C. 151 et seq.).
(2) Section 1 of the Act of August 31, 1922 (commonly known
as the Honeybee Act; 7 U.S.C. 281).
(3) Title III of the Federal Seed Act (7 U.S.C. 1581 et
seq.).
(4) The Plant Protection Act (7 U.S.C. 7701 et seq.).
(5) The Animal Protection Act (subtitle E of title X of
Public Law 107-171; 7 U.S.C. 8301 et seq.).
(6) The Lacey Act Amendments of 1981 (16 U.S.C. 3371 et
seq.).
(7) Section 11 of the Endangered Species Act of 1973 (16
U.S.C. 1540).
(c) Exclusion of Quarantine Activities.--For purposes of this
section, the term ``functions'' does not include any quarantine
activities carried out under the laws specified in subsection (b).
(d) Effect of Transfer.--
(1) Compliance with department of agriculture
regulations.--The authority transferred pursuant to subsection
(a) shall be exercised by the Secretary of Homeland Security in
accordance with the regulations, policies, and procedures
issued by the Secretary of Agriculture regarding the
administration of the laws specified in subsection (b).
(2) Rulemaking coordination.--The Secretary of Agriculture
shall coordinate with the Secretary of Homeland Security
whenever the Secretary of Agriculture prescribes regulations,
policies, or procedures for administering the laws specified in
subsection (b) at the locations referred to in subsection (a).
(3) Effective administration.--The Secretary of Homeland
Security, in consultation with the Secretary of Agriculture,
may issue such directives and guidelines as are necessary to
ensure the effective use of personnel of the Department of
Homeland Security to carry out the functions transferred
pursuant to subsection (a).
(e) Transfer Agreement.--
(1) Agreement required; revision.--Before the end of the
transition period, as defined in section 801(2), the Secretary
of Agriculture and the Secretary of Homeland Security shall
enter into an agreement to effectuate the transfer of functions
required by subsection (a). The Secretary of Agriculture and
the Secretary of Homeland Security may jointly revise the
agreement as necessary thereafter.
(2) Required Terms.--The agreement required by this
subsection shall specifically address the following:
(A) The supervision by the Secretary of Agriculture
of the training of employees of the Secretary of
Homeland Security to carry out the functions
transferred pursuant to subsection (a).
(B) The transfer of funds to the Secretary of
Homeland Security under subsection (f).
(3) Cooperation and reciprocity.--The Secretary of
Agriculture and the Secretary of Homeland Security may include
as part of the agreement the following:
(A) Authority for the Secretary of Homeland
Security to perform functions delegated to the Animal
and Plant Health Inspection Service of the Department
of Agriculture regarding the protection of domestic
livestock and plants, but not transferred to the
Secretary of Homeland Security pursuant to subsection
(a).
(B) Authority for the Secretary of Agriculture to
use employees of the Department of Homeland Security to
carry out authorities delegated to the Animal and Plant
Health Inspection Service regarding the protection of
domestic livestock and plants.
(f) Periodic Transfer of Funds to Department of Homeland
Security.--
(1) Transfer of funds.--Out of funds collected by fees
authorized under sections 2508 and 2509 of the Food,
Agriculture, Conservation, and Trade Act of 1990 (21 U.S.C.
136, 136a), the Secretary of Agriculture shall transfer, from
time to time in accordance with the agreement under subsection
(e), to the Secretary of Homeland Security funds for activities
carried out by the Secretary of Homeland Security for which
such fees were collected.
(2) Limitation.--The proportion of fees collected pursuant
to such sections that are transferred to the Secretary of
Homeland Security under this subsection may not exceed the
proportion of the costs incurred by the Secretary of Homeland
Security to all costs incurred to carry out activities funded
by such fees.
(g) Transfer of Department of Agriculture Employees.--During the
transition period, the Secretary of Agriculture shall transfer to the
Secretary of Homeland Security not more than 3,200 full-time equivalent
positions of the Department of Agriculture.
(h) Protection of Inspection Animals.--Title V of the Agricultural
Risk Protection Act of 2000 (7 U.S.C. 2279e, 2279f) is amended--
(1) in section 501(a)--
(A) by inserting ``or the Department of Homeland
Security'' after ``Department of Agriculture''; and
(B) by inserting ``or the Secretary of Homeland
Security'' after ``Secretary of Agriculture'';
(2) by striking ``Secretary'' each place it appears (other
than in sections 501(a) and 501(e)) and inserting ``Secretary
concerned''; and
(3) by adding at the end of section 501 the following new
subsection:
``(e) Secretary Concerned Defined.--In this title, the term
`Secretary concerned' means--
``(1) the Secretary of Agriculture, with respect to an
animal used for purposes of official inspections by the
Department of Agriculture; and
``(2) the Secretary of Homeland Security, with respect to
an animal used for purposes of official inspections by the
Department of Homeland Security.''.
SEC. 405. FUNCTIONS OF ADMINISTRATOR OF GENERAL SERVICES.
(a) Operation, Maintenance, and Protection of Federal Buildings and
Grounds.--Nothing in this Act may be construed to affect the functions
or authorities of the Administrator of General Services with respect to
the operation, maintenance, and protection of buildings and grounds
owned or occupied by the Federal Government and under the jurisdiction,
custody, or control of the Administrator. Except for the law
enforcement and related security functions transferred under section
402(4), the Administrator shall retain all powers, functions, and
authorities vested in the Administrator under the Federal Property and
Administrative Services Act of 1949 (40 U.S.C. 471 et seq.) and other
provisions of law that are necessary for the operation, maintenance,
and protection of such buildings and grounds.
(b) Collection of Rents and Fees; Federal Buildings Fund.--
(1) Statutory construction.--Nothing in this Act may be
construed--
(A) to direct the transfer of, or affect, the
authority of the Administrator of General Services to
collect rents and fees, including fees collected for
protective services; or
(B) to authorize the Secretary or any other
official in the Department to obligate amounts in the
Federal Buildings Fund established by section 210(f) of
the Federal Property and Administrative Services Act of
1949 (40 U.S.C. 490(f)).
(2) Use of transferred amounts.--Any amounts transferred by
the Administrator of General Services to the Secretary out of
rents and fees collected by the Administrator shall be used by
the Secretary solely for the protection of buildings or grounds
owned or occupied by the Federal Government.
SEC. 406. FUNCTIONS OF TRANSPORTATION SECURITY ADMINISTRATION.
(a) Consultation With Federal Aviation Administration.--The
Secretary and other officials in the Department shall consult with the
Administrator of the Federal Aviation Administration before taking any
action that might affect aviation safety, air carrier operations,
aircraft airworthiness, or the use of airspace. The Secretary shall
establish a liaison office within the Department for the purpose of
consulting with the Administrator of the Federal Aviation
Administration.
(b) Report to Congress.--Not later than 60 days after the date of
enactment of this Act, the Secretary of Transportation shall transmit
to Congress a report containing a plan for complying with the
requirements of section 44901(d) of title 49, United States Code.
(c) Limitations on Statutory Construction.--
(1) Grant of authority.--Nothing in this Act may be
construed to vest in the Secretary or any other official in the
Department any authority over transportation security that is
not vested in the Under Secretary of Transportation for
Security, or in the Secretary of Transportation under chapter
449 of title 49, United States Code, on the day before the date
of enactment of this Act.
(2) Obligation of aip funds.--Nothing in this Act may be
construed to authorize the Secretary or any other official in
the Department to obligate amounts made available under section
48103 of title 49, United States Code.
SEC. 407. PRESERVATION OF TRANSPORTATION SECURITY ADMINISTRATION AS A
DISTINCT ENTITY.
(a) In General.--Notwithstanding any other provision of this Act,
and subject to subsection (b), the Transportation Security
Administration shall be maintained as a distinct entity within the
Department under the Under Secretary for Border Transportation and
Security.
(b) Sunset.--Subsection (a) shall cease to apply two years after
the date of enactment of this Act.
SEC. 408. ANNUAL ASSESSMENT OF TERRORIST-RELATED THREATS TO PUBLIC
TRANSPORTATION.
On an annual basis, the Secretary, in consultation with the heads
of other appropriate Federal departments and agencies, shall conduct an
assessment of terrorist-related threats to all forms of public
transportation, including public gathering areas related to public
transportation.
SEC. 409. EXPLOSIVE DETECTION SYSTEMS.
(a) Installation of Systems.--Section 44901(d) of title 49, United
States Code, is amended by adding at the end the following:
``(2) Modification of airport terminal buildings to
accommodate explosive detection systems.--
``(A) Notification of airports.--Not later than
October 1, 2002, the Under Secretary shall notify the
owner or operator of each United States airport
described in section 44903(c) of the number and type of
explosive detection systems that will be required to be
deployed at the airport in order to screen all checked
baggage by explosive detection systems without imposing
unreasonable delays on the passengers using the
airport.
``(B) Assessments of airport terminal buildings.--
If the owner or operator of a United States airport
described in section 44903(c) determines that the
airport will not be able to make the modifications to
the airport's terminal buildings that are necessary to
accommodate the explosive detection systems required
under subparagraph (A) in a cost-effective manner on or
before December 31, 2002, the owner or operator shall
provide notice of that determination to the Under
Secretary not later than November 1, 2002.
``(C) Plans for making modifications to airport
terminal buildings.--
``(i) In general.--If the owner or operator
of an airport provides notice to the Under
Secretary under subparagraph (B), the Under
Secretary, in consultation with the owner or
operator, shall develop, not later than
December 1, 2002, a plan for making necessary
modifications to the airport's terminal
buildings so as to deploy and fully utilize
explosive detection systems to screen all
checked baggage.
``(ii) Deadline.--A plan developed under
this subparagraph shall include a date for
executing the plan. All such plans shall be
executed as expeditiously as practicable but
not later than December 31, 2003.
``(iii) Transmission of plans to
congress.--On the date of completion of a plan
under this subparagraph, the Under Secretary
shall transmit a copy of the plan to Congress.
For security purposes, information contained in
the plan shall not be disclosed to the public.
``(D) Requirements for plans.--A plan developed and
published under subparagraph (C), shall provide for, to
the maximum extent practicable--
``(i) the deployment of explosive detection
systems in the baggage sorting area or other
non-public area rather than the lobby of an
airport terminal building; and
``(ii) the deployment of state of the art
explosive detection systems that have high
throughput, low false alarm rates, and high
reliability without reducing detection rates.
``(E) Use of screening methods other than eds.--
Notwithstanding the deadline in paragraph (1)(A), after
December 31, 2002, if explosive detection systems are
not screening all checked baggage at a United States
airport described in section 44903(c), such baggage
shall be screened by the methods described in
subsection (e) until such time as all checked baggage
is screened by explosive detection systems at the
airport.
``(3) Purchase of explosive detection systems.--Any
explosive detection system required to be purchased under
paragraph (2)(A) shall be purchased by the Under Secretary.
``(4) Explosive detection system defined.--In this
subsection, the term `explosive detection system' means a
device, or combination of devices, that can detect different
types of explosives.''.
(b) Correction of Reference.--Section 44901(e) of title 49, United
States Code, is amended by striking ``(b)(1)(A)'' and inserting
``(d)(1)(A)''.
SEC. 410. TRANSPORTATION SECURITY.
(a) Transportation Security Oversight Board.--
(1) Establishment.--Section 115(a) of title 49, United
States Code, is amended by striking ``Department of
Transportation'' and inserting ``Department of Homeland
Security''.
(2) Membership.--Section 115(b)(1) of title 49, United
States Code, is amended--
(A) by striking subparagraph (G);
(B) by redesignating subparagraphs (A) through (F)
as subparagraphs (B) through (G), respectively; and
(C) by inserting before subparagraph (B) (as so
redesignated) the following:
``(A) The Secretary of Homeland Security, or the
Secretary's designee.''.
(3) Chairperson.--Section 115(b)(2) of title 49, United
States Code, is amended by striking ``Secretary of
Transportation'' and inserting ``Secretary of Homeland
Security''.
(b) Approval of AIP Grant Applications for Security Activities.--
Section 47106 of title 49, United States Code, is amended by adding at
the end the following:
``(g) Consultation With Secretary of Homeland Security.--The
Secretary shall consult with the Secretary of Homeland Security before
approving an application under this subchapter for an airport
development project grant for activities described in section
47102(3)(B)(ii) (relating to security equipment) or section
47102(3)(B)(x) (relating to installation of bulk explosive detection
systems).''.
Subtitle B--Immigration and Nationality Functions
CHAPTER 1--IMMIGRATION ENFORCEMENT
SEC. 411. TRANSFER OF FUNCTIONS TO UNDER SECRETARY FOR BORDER AND
TRANSPORTATION SECURITY.
In accordance with title VIII, there shall be transferred from the
Commissioner of Immigration and Naturalization to the Under Secretary
for Border and Transportation Security all functions performed under
the following programs, and all personnel, assets, and liabilities
pertaining to such programs, immediately before such transfer occurs:
(1) The Border Patrol program.
(2) The detention and removal program.
(3) The intelligence program.
(4) The investigations program.
(5) The inspections program.
SEC. 412. ESTABLISHMENT OF BUREAU OF BORDER SECURITY.
(a) Establishment of Bureau.--
(1) In general.--There is established in the Department of
Homeland Security a bureau to be known as the ``Bureau of
Border Security''.
(2) Assistant secretary.--The head of the Bureau of Border
Security shall be the Assistant Secretary of the Bureau of
Border Security, who--
(A) shall report directly to the Under Secretary
for Border and Transportation Security; and
(B) shall have a minimum of 10 years professional
experience in law enforcement, at least 5 of which
shall have been years of service in a managerial
capacity.
(3) Functions.--The Assistant Secretary of the Bureau of
Border Security--
(A) shall establish the policies for performing
such functions as are--
(i) transferred to the Under Secretary for
Border and Transportation Security by section
411 and delegated to the Assistant Secretary by
the Under Secretary for Border and
Transportation Security; or
(ii) otherwise vested in the Assistant
Secretary by law;
(B) shall oversee the administration of such
policies; and
(C) shall advise the Under Secretary for Border and
Transportation Security with respect to any policy or
operation of the Bureau of Border Security that may
affect the Bureau of Citizenship and Immigration
Services of the Department of Justice established under
chapter 2, including potentially conflicting policies
or operations.
(4) Program to collect information relating to foreign
students.--The Assistant Secretary of the Bureau of Border
Security shall be responsible for administering the program to
collect information relating to nonimmigrant foreign students
and other exchange program participants described in section
641 of the Illegal Immigration Reform and Immigrant
Responsibility Act of 1996 (8 U.S.C. 1372), including the
Student and Exchange Visitor Information System established
under that section, and shall use such information to carry out
the enforcement functions of the Bureau.
(5) Managerial rotation program.--
(A) In general.--Not later than 1 year after the
date on which the transfer of functions specified under
section 411 takes effect, the Assistant Secretary of
the Bureau of Border Security shall design and
implement a managerial rotation program under which
employees of such bureau holding positions involving
supervisory or managerial responsibility and
classified, in accordance with chapter 51 of title 5,
United States Code, as a GS-14 or above, shall, as a
condition on further promotion--
(i) gain some experience in all the major
functions performed by such bureau; and
(ii) work in at least one local office of
such bureau.
(B) Report.--Not later than 2 years after the date
on which the transfer of functions specified under
section 411 takes effect, the Secretary shall submit a
report to the Congress on the implementation of such
program.
(b) Chief of Policy and Strategy.--
(1) In general.--There shall be a position of Chief of
Policy and Strategy for the Bureau of Border Security.
(2) Functions.--In consultation with Bureau of Border
Security personnel in local offices, the Chief of Policy and
Strategy shall be responsible for--
(A) establishing national immigration enforcement
policies and priorities;
(B) performing policy research and analysis on
immigration enforcement issues; and
(C) coordinating immigration policy issues with the
Chief of Policy and Strategy for the Bureau of
Citizenship and Immigration Services of the Department
of Justice (established under chapter 2), and the
Assistant Attorney General for Citizenship and
Immigration Services, as appropriate.
(c) Citizenship and Immigration Services Liaison.--
(1) In general.--There shall be a position of Citizenship
and Immigration Services Liaison for the Bureau of Border
Security.
(2) Functions.--The Citizenship and Immigration Services
Liaison shall be responsible for the appropriate allocation and
coordination of resources involved in supporting shared support
functions for the Bureau of Citizenship and Immigration
Services of the Department of Justice (established under
chapter 2) and the Bureau of Border Security, including--
(A) information resources management, including
computer databases and information technology;
(B) records and file management; and
(C) forms management.
SEC. 413. PROFESSIONAL RESPONSIBILITY AND QUALITY REVIEW.
The Under Secretary for Border and Transportation Security shall be
responsible for--
(1) conducting investigations of noncriminal allegations of
misconduct, corruption, and fraud involving any employee of the
Bureau of Border Security that are not subject to investigation
by the Inspector General for the Department;
(2) inspecting the operations of the Bureau of Border
Security and providing assessments of the quality of the
operations of such bureau as a whole and each of its
components; and
(3) providing an analysis of the management of the Bureau
of Border Security.
SEC. 414. EMPLOYEE DISCIPLINE.
The Under Secretary for Border and Transportation Security may,
notwithstanding any other provision of law, impose disciplinary action,
including termination of employment, pursuant to policies and
procedures applicable to employees of the Federal Bureau of
Investigation, on any employee of the Bureau of Border Security who
willfully deceives the Congress or agency leadership on any matter.
SEC. 415. REPORT ON IMPROVING ENFORCEMENT FUNCTIONS.
(a) In General.--The Secretary, not later than 1 year after being
sworn into office, shall submit to the Committees on Appropriations and
the Judiciary of the United States House of Representatives and of the
Senate a report with a plan detailing how the Bureau of Border
Security, after the transfer of functions specified under section 411
takes effect, will enforce comprehensively, effectively, and fairly all
the enforcement provisions of the Immigration and Nationality Act (8
U.S.C. 1101 et seq.) relating to such functions.
(b) Consultation.--In carrying out subsection (a), the Secretary of
Homeland Security shall consult with the Attorney General, the
Secretary of State, the Assistant Attorney General for Citizenship and
Immigration Services, the Director of the Federal Bureau of
Investigation, the Secretary of the Treasury, the Secretary of Labor,
the Commissioner of Social Security, the Director of the Executive
Office for Immigration Review, and the heads of State and local law
enforcement agencies to determine how to most effectively conduct
enforcement operations.
SEC. 416. SENSE OF CONGRESS REGARDING CONSTRUCTION OF FENCING NEAR SAN
DIEGO, CALIFORNIA.
It is the sense of the Congress that completing the 14-mile border
fence project required to be carried out under section 102(b) of the
Illegal Immigration Reform and Immigrant Responsibility Act of 1996 (8
U.S.C. 1103 note) should be a priority for the Secretary.
CHAPTER 2--CITIZENSHIP AND IMMIGRATION SERVICES
Subchapter A--Transfers of Functions
SEC. 421. ESTABLISHMENT OF BUREAU OF CITIZENSHIP AND IMMIGRATION
SERVICES.
(a) Establishment of Bureau.--
(1) In general.--There is established in the Department of
Justice a bureau to be known as the ``Bureau of Citizenship and
Immigration Services''.
(2) Assistant attorney general.--The head of the Bureau of
Citizenship and Immigration Services shall be the Assistant
Attorney General for Citizenship and Immigration Services,
who--
(A) shall report directly to the Deputy Attorney
General; and
(B) shall have a minimum of 10 years professional
experience in the rendering of adjudications on the
provision of government benefits or services, at least
5 of which shall have been years of service in a
managerial capacity or in a position affording
comparable management experience.
(3) Functions.--The Assistant Attorney General for
Citizenship and Immigration Services--
(A) shall establish the policies for performing
such functions as are transferred to the Assistant
Attorney General by this section or this Act or
otherwise vested in the Assistant Attorney General by
law;
(B) shall oversee the administration of such
policies;
(C) shall advise the Deputy Attorney General with
respect to any policy or operation of the Bureau of
Citizenship and Immigration Services that may affect
the Bureau of Border Security of the Department of
Homeland Security, including potentially conflicting
policies or operations;
(D) shall meet regularly with the Ombudsman
described in section 422 to correct serious service
problems identified by the Ombudsman; and
(E) shall establish procedures requiring a formal
response to any recommendations submitted in the
Ombudsman's annual report to the Congress within 3
months after its submission to the Congress.
(4) Managerial rotation program.--
(A) In general.--Not later than 1 year after the
effective date specified in section 427, the Assistant
Attorney General for Citizenship and Immigration
Services shall design and implement a managerial
rotation program under which employees of such bureau
holding positions involving supervisory or managerial
responsibility and classified, in accordance with
chapter 51 of title 5, United States Code, as a GS-14
or above, shall, as a condition on further promotion--
(i) gain some experience in all the major
functions performed by such bureau; and
(ii) work in at least one field office and
one service center of such bureau.
(B) Report.--Not later than 2 years after the
effective date specified in section 427, the Attorney
General shall submit a report to the Congress on the
implementation of such program.
(5) Pilot initiatives for backlog elimination.--The
Assistant Attorney General for Citizenship and Immigration
Services is authorized to implement innovative pilot
initiatives to eliminate any remaining backlog in the
processing of immigration benefit applications, and to prevent
any backlog in the processing of such applications from
recurring, in accordance with section 204(a) of the Immigration
Services and Infrastructure Improvements Act of 2000 (8 U.S.C.
1573(a)). Such initiatives may include measures such as
increasing personnel, transferring personnel to focus on areas
with the largest potential for backlog, and streamlining
paperwork.
(b) Transfer of Functions From Commissioner.--There are transferred
from the Commissioner of Immigration and Naturalization to the
Assistant Attorney General for Citizenship and Immigration Services the
following functions, and all personnel, infrastructure, and funding
provided to the Commissioner in support of such functions immediately
before the effective date specified in section 427:
(1) Adjudications of immigrant visa petitions.
(2) Adjudications of naturalization petitions.
(3) Adjudications of asylum and refugee applications.
(4) Adjudications performed at service centers.
(5) All other adjudications performed by the Immigration
and Naturalization Service immediately before the effective
date specified in section 427.
(c) Chief of Policy and Strategy.--
(1) In general.--There shall be a position of Chief of
Policy and Strategy for the Bureau of Citizenship and
Immigration Services.
(2) Functions.--In consultation with Bureau of Citizenship
and Immigration Services personnel in field offices, the Chief
of Policy and Strategy shall be responsible for--
(A) establishing national immigration services
policies and priorities;
(B) performing policy research and analysis on
immigration services issues; and
(C) coordinating immigration policy issues with the
Chief of Policy and Strategy for the Bureau of Border
Security of the Department of Homeland Security.
(d) General Counsel.--
(1) In general.--There shall be a position of General
Counsel for the Bureau of Citizenship and Immigration Services.
(2) Functions.--The General Counsel shall serve as the
principal legal advisor to the Assistant Attorney General for
Citizenship and Immigration Services. The General Counsel shall
be responsible for--
(A) providing specialized legal advice, opinions,
determinations, regulations, and any other assistance
to the Assistant Attorney General for Citizenship and
Immigration Services with respect to legal matters
affecting the Bureau of Citizenship and Immigration
Services; and
(B) representing the Bureau of Citizenship and
Immigration Services in visa petition appeal
proceedings before the Executive Office for Immigration
Review and in other legal or administrative proceedings
involving immigration services issues.
(e) Chief Budget Officer.--
(1) In general.--There shall be a position of Chief Budget
Officer for the Bureau of Citizenship and Immigration Services.
(2) Functions.--
(A) In general.--The Chief Budget Officer shall be
responsible for--
(i) formulating and executing the budget of
the Bureau of Citizenship and Immigration
Services;
(ii) financial management of the Bureau of
Citizenship and Immigration Services; and
(iii) collecting all payments, fines, and
other debts for the Bureau of Citizenship and
Immigration Services.
(3) Authority and functions of agency chief financial
officers.--The Chief Budget Officer for the Bureau of
Citizenship and Immigration Services shall have the authorities
and functions described in section 902 of title 31, United
States Code, in relation to financial activities of such
bureau.
(f) Chief of Congressional, Intergovernmental, and Public
Affairs.--
(1) In general.--There shall be a position of Chief of
Congressional, Intergovernmental, and Public Affairs for the
Bureau of Citizenship and Immigration Services.
(2) Functions.--The Chief of Congressional,
Intergovernmental, and Public Affairs shall be responsible
for--
(A) providing information relating to immigration
services to the Congress, including information on
specific cases relating to immigration services issues;
(B) serving as a liaison with other Federal
agencies on immigration services issues; and
(C) responding to inquiries from the media and the
general public on immigration services issues.
(g) Border Security Liaison.--
(1) In general.--There shall be a position of Border
Security Liaison for the Bureau of Citizenship and Immigration
Services.
(2) Functions.--The Border Security Liaison shall be
responsible for the appropriate allocation and coordination of
resources involved in supporting shared support functions for
the Bureau of Border Security of the Department of Homeland
Security and the Bureau of Citizenship and Immigration
Services, including--
(A) information resources management, including
computer databases and information technology;
(B) records and file management; and
(C) forms management.
(h) Chief of Office of Citizenship.--
(1) In general.--There shall be a position of Chief of the
Office of Citizenship for the Bureau of Citizenship and
Immigration Services.
(2) Functions.--The Chief of the Office of Citizenship for
the Bureau of Citizenship and Immigration Services shall be
responsible for promoting instruction and training on
citizenship responsibilities for aliens interested in becoming
naturalized citizens of the United States, including the
development of educational materials.
SEC. 422. CITIZENSHIP AND IMMIGRATION SERVICES OMBUDSMAN.
(a) In General.--Within the Department of Justice, there shall be a
position of Citizenship and Immigration Services Ombudsman (in this
section referred to as the ``Ombudsman''). The Ombudsman shall report
directly to the Deputy Attorney General. The Ombudsman shall have a
background in customer service as well as immigration law.
(b) Functions.--It shall be the function of the Ombudsman--
(1) to assist individuals and employers in resolving
problems with the Bureau of Citizenship and Immigration
Services;
(2) to identify areas in which individuals and employers
have problems in dealing with the Bureau of Citizenship and
Immigration Services;
(3) to the extent possible, to propose changes in the
administrative practices of the Bureau of Citizenship and
Immigration Services to mitigate problems identified under
paragraph (2); and
(4) to identify potential legislative changes that may be
appropriate to mitigate such problems.
(c) Annual Reports.--
(1) Objectives.--Not later than June 30 of each calendar
year, the Ombudsman shall report to the Committee on the
Judiciary of the United States House of Representatives and the
Senate on the objectives of the Office of the Ombudsman for the
fiscal year beginning in such calendar year. Any such report
shall contain full and substantive analysis, in addition to
statistical information, and--
(A) shall identify the initiatives the Office of
the Ombudsman has taken on improving services and
responsiveness of the Bureau of Citizenship and
Immigration Services;
(B) shall contain a summary of the most pervasive
and serious problems encountered by individuals and
employers, including a description of the nature of
such problems;
(C) shall contain an inventory of the items
described in subparagraphs (A) and (B) for which action
has been taken and the result of such action;
(D) shall contain an inventory of the items
described in subparagraphs (A) and (B) for which action
remains to be completed and the period during which
each item has remained on such inventory;
(E) shall contain an inventory of the items
described in subparagraphs (A) and (B) for which no
action has been taken, the period during which each
item has remained on such inventory, the reasons for
the inaction, and shall identify any official of the
Bureau of Citizenship and Immigration Services who is
responsible for such inaction;
(F) shall contain recommendations for such
administrative and legislative action as may be
appropriate to resolve problems encountered by
individuals and employers, including problems created
by excessive backlogs in the adjudication and
processing of immigration benefit petitions and
applications; and
(G) shall include such other information as the
Ombudsman may deem advisable.
(2) Report to be submitted directly.--Each report required
under this subsection shall be provided directly to the
committees described in paragraph (1) without any prior review
or comment from the Attorney General, Deputy Attorney General,
Assistant Attorney General for Citizenship and Immigration
Services, or any other officer or employee of the Department of
Justice or the Office of Management and Budget.
(d) Other Responsibilities.--The Ombudsman--
(1) shall monitor the coverage and geographic allocation of
local offices of the Ombudsman;
(2) shall develop guidance to be distributed to all
officers and employees of the Bureau of Citizenship and
Immigration Services outlining the criteria for referral of
inquiries to local offices of the Ombudsman;
(3) shall ensure that the local telephone number for each
local office of the Ombudsman is published and available to
individuals and employers served by the office; and
(4) shall meet regularly with the Assistant Attorney
General for Citizenship and Immigration Services to identify
serious service problems and to present recommendations for
such administrative action as may be appropriate to resolve
problems encountered by individuals and employers.
(e) Personnel Actions.--
(1) In general.--The Ombudsman shall have the
responsibility and authority--
(A) to appoint local ombudsmen and make available
at least 1 such ombudsman for each State; and
(B) to evaluate and take personnel actions
(including dismissal) with respect to any employee of
any local office of the Ombudsman.
(2) Consultation.--The Ombudsman may consult with the
appropriate supervisory personnel of the Bureau of Citizenship
and Immigration Services in carrying out the Ombudsman's
responsibilities under this subsection.
(f) Responsibilities of Bureau of Citizenship and Immigration
Services.--The Assistant Attorney General for Citizenship and
Immigration Services shall establish procedures requiring a formal
response to all recommendations submitted to such Assistant Attorney
General by the Ombudsman within 3 months after submission to such
director.
(g) Operation of Local Offices.--
(1) In general.--Each local ombudsman--
(A) shall report to the Ombudsman or the delegate
thereof;
(B) may consult with the appropriate supervisory
personnel of the Bureau of Citizenship and Immigration
Services regarding the daily operation of the local
office of such ombudsman;
(C) shall, at the initial meeting with any
individual or employer seeking the assistance of such
local office, notify such individual or employer that
the local offices of the Ombudsman operate
independently of any other component of the Department
of Justice and report directly to the Congress through
the Ombudsman; and
(D) at the local ombudsman's discretion, may
determine not to disclose to the Bureau of Citizenship
and Immigration Services contact with, or information
provided by, such individual or employer.
(2) Maintenance of independent communications.--Each local
office of the Ombudsman shall maintain a phone, facsimile, and
other means of electronic communication access, and a post
office address, that is separate from those maintained by the
Bureau of Citizenship and Immigration Services, or any
component of the Bureau of Citizenship and Immigration
Services.
SEC. 423. PROFESSIONAL RESPONSIBILITY AND QUALITY REVIEW.
(a) In General.--The Assistant Attorney General for Citizenship and
Immigration Services shall be responsible for--
(1) conducting investigations of noncriminal allegations of
misconduct, corruption, and fraud involving any employee of the
Bureau of Citizenship and Immigration Services that are not
subject to investigation by the Department of Justice Office of
the Inspector General;
(2) inspecting the operations of the Bureau of Citizenship
and Immigration Services and providing assessments of the
quality of the operations of such bureau as a whole and each of
its components; and
(3) providing an analysis of the management of the Bureau
of Citizenship and Immigration Services.
(b) Special Considerations.--In providing assessments in accordance
with subsection (a)(2) with respect to a decision of the Bureau of
Citizenship and Immigration Services, or any of its components,
consideration shall be given to--
(1) the accuracy of the findings of fact and conclusions of
law used in rendering the decision;
(2) any fraud or misrepresentation associated with the
decision; and
(3) the efficiency with which the decision was rendered.
SEC. 424. EMPLOYEE DISCIPLINE.
The Assistant Attorney General for Citizenship and Immigration
Services may, notwithstanding any other provision of law, impose
disciplinary action, including termination of employment, pursuant to
policies and procedures applicable to employees of the Federal Bureau
of Investigation, on any employee of the Bureau of Citizenship and
Immigration Services who willfully deceives the Congress or agency
leadership on any matter.
SEC. 425. OFFICE OF IMMIGRATION STATISTICS WITHIN BUREAU OF JUSTICE
STATISTICS.
(a) In General.--Part C of title I of the Omnibus Crime Control and
Safe Streets Act of 1968 (42 U.S.C. 3731 et seq.) is amended by adding
at the end the following:
``office of immigration statistics
``Sec. 305. (a) There is established within the Bureau of Justice
Statistics of the Department of Justice an Office of Immigration
Statistics (in this section referred to as the `Office'), which shall
be headed by a Director who shall be appointed by the Attorney General
and who shall report to the Director of Justice Statistics.
``(b) The Director of the Office shall be responsible for the
following:
``(1) Maintenance of all immigration statistical
information of the Bureau of Citizenship and Immigration
Services and the Executive Office for Immigration Review. Such
statistical information shall include information and
statistics of the type contained in the publication entitled
`Statistical Yearbook of the Immigration and Naturalization
Service' prepared by the Immigration and Naturalization Service
(as in effect on the day prior to the effective date specified
in section 427 of the Homeland Security Act of 2002), including
region-by-region statistics on the aggregate number of
applications and petitions filed by an alien (or filed on
behalf of an alien) and denied by such offices and bureaus, and
the reasons for such denials, disaggregated by category of
denial and application or petition type.
``(2) Establishment of standards of reliability and
validity for immigration statistics collected by the Bureau of
Citizenship and Immigration Services and the Executive Office
for Immigration Review.
``(c) The Bureau of Citizenship and Immigration Services and the
Executive Office for Immigration Review shall provide statistical
information to the Office of Immigration Statistics from the
operational data systems controlled by the Bureau of Citizenship and
Immigration Services and the Executive Office for Immigration Review,
respectively, for the purpose of meeting the responsibilities of the
Director.''.
(b) Transfer of Functions.--There are transferred to the Office of
Immigration Statistics established under section 305 of the Omnibus
Crime Control and Safe Streets Act of 1968, as added by subsection (a),
the functions performed immediately before such transfer occurs by the
Statistics Branch of the Office of Policy and Planning of the
Immigration and Naturalization Service with respect to the following:
(1) Adjudications of immigrant visa petitions.
(2) Adjudications of naturalization petitions.
(3) Adjudications of asylum and refugee applications.
(4) Adjudications performed at service centers.
(5) All other adjudications performed by the Immigration
and Naturalization Service.
(c) Conforming Amendments.--Section 302(c) of the Omnibus Crime
Control and Safe Streets Act of 1968 (42 U.S.C. 3732(c)) is amended--
(1) by striking ``and'' at the end of paragraph (22);
(2) by striking the period at the end of paragraph (23) and
inserting ``; and''; and
(3) by adding at the end the following:
``(24) collect, maintain, compile, analyze, publish, and
disseminate information and statistics involving the functions
of the Bureau of Citizenship and Immigration Services and the
Executive Office for Immigration Review.''.
SEC. 426. PRESERVATION OF ATTORNEY GENERAL'S AUTHORITY.
(a) In General.--Any function for which this subchapter vests
responsibility in an official other than the Attorney General, or which
is transferred by this subchapter to such an official, may,
notwithstanding any provision of this subchapter, be performed by the
Attorney General, or the Attorney General's delegate, in lieu of such
official.
(b) References.--In a case in which the Attorney General performs a
function described in subsection (a), any reference in any other
Federal law, Executive order, rule, regulation, document, or delegation
of authority to the official otherwise responsible for the function is
deemed to refer to the Attorney General.
SEC. 427. EFFECTIVE DATE.
Notwithstanding section 4, this subchapter, and the amendments made
by this subchapter, shall take effect on the date on which the transfer
of functions specified under section 411 takes effect.
SEC. 428. TRANSITION.
(a) References.--With respect to any function transferred by this
subchapter to, and exercised on or after the effective date specified
in section 427 by, the Assistant Attorney General for Citizenship and
Immigration Services, any reference in any other Federal law, Executive
order, rule, regulation, or delegation of authority, or any document of
or pertaining to a component of government from which such function is
transferred--
(1) to the head of such component is deemed to refer to the
Assistant Attorney General for Citizenship and Immigration
Services; or
(2) to such component is deemed to refer to the Bureau of
Citizenship and Immigration Services.
(b) Other Transition Issues.--
(1) Exercise of authorities.--Except as otherwise provided
by law, a Federal official to whom a function is transferred by
this subchapter may, for purposes of performing the function,
exercise all authorities under any other provision of law that
were available with respect to the performance of that function
to the official responsible for the performance of the function
immediately before the effective date specified in section 427.
(2) Savings provisions.--Subsections (a), (b), and (c) of
section 812 shall apply to a transfer of functions under this
subchapter in the same manner as such provisions apply to a
transfer of functions under this Act to the Department of
Homeland Security.
(3) Transfer and allocation of appropriations and
personnel.--The personnel of the Department of Justice employed
in connection with the functions transferred by this subchapter
(and functions that the Attorney General determines are
properly related to the functions of the Bureau of Citizenship
and Immigration Services), and the assets, liabilities,
contracts, property, records, and unexpended balance of
appropriations, authorizations, allocations, and other funds
employed, held, used, arising from, available to, or to be made
available to, the Immigration and Naturalization Service in
connection with the functions transferred by this subchapter,
subject to section 202 of the Budget and Accounting Procedures
Act of 1950, shall be transferred to the Assistant Attorney
General for Citizenship and Immigration Services for allocation
to the appropriate component of the Department of Justice.
Unexpended funds transferred pursuant to this paragraph shall
be used only for the purposes for which the funds were
originally authorized and appropriated. The Attorney General
shall have the right to adjust or realign transfers of funds
and personnel effected pursuant to this subchapter for a period
of 2 years after the effective date specified in section 427.
(4) Authorities of attorney general.--The Attorney General
(or a delegate of the Attorney General), at such time or times
as the Attorney General (or the delegate) shall provide, may
make such determinations as may be necessary with regard to the
functions transferred by this subchapter, and may make such
additional incidental dispositions of personnel, assets,
liabilities, grants, contracts, property, records, and
unexpended balances of appropriations, authorizations,
allocations, and other funds held, used, arising from,
available to, or to be made available in connection with such
functions, as may be necessary to carry out the provisions of
this subchapter. The Attorney General shall provide for such
further measures and dispositions as may be necessary to
effectuate the purposes of this subchapter.
Subchapter B--Other Provisions
SEC. 431. FUNDING FOR CITIZENSHIP AND IMMIGRATION SERVICES.
(a) Establishment of Fees for Adjudication and Naturalization
Services.--Section 286(m) of the Immigration and Nationality Act (8
U.S.C. 1356(m)) is amended by striking ``services, including the costs
of similar services provided without charge to asylum applicants or
other immigrants.'' and inserting ``services.''.
(b) Authorization of Appropriations for Refugee and Asylum
Adjudications.--There are authorized to be appropriated such sums as
may be necessary to carry out the provisions of sections 207 through
209 of the Immigration and Nationality Act (8 U.S.C. 1157-1159). All
funds appropriated under this subsection shall be deposited into the
Immigration Examinations Fee Account established under section 286(m)
of the Immigration and Nationality Act (8 U.S.C. 1356(m)) and shall
remain available until expended.
SEC. 432. BACKLOG ELIMINATION.
Section 204(a)(1) of the Immigration Services and Infrastructure
Improvements Act of 2000 (8 U.S.C. 1573(a)(1)) is amended by striking
``not later than one year after the date of enactment of this Act;''
and inserting ``1 year after the date of the enactment of the Homeland
Security Act of 2002;''.
SEC. 433. REPORT ON IMPROVING IMMIGRATION SERVICES.
(a) In General.--The Attorney General, not later than 1 year after
the effective date of this Act, shall submit to the Committees on the
Judiciary and Appropriations of the United States House of
Representatives and of the Senate a report with a plan detailing how
the Bureau of Citizenship and Immigration Services, after the transfer
of functions specified in subchapter 1 takes effect, will complete
efficiently, fairly, and within a reasonable time, the adjudications
described in paragraphs (1) through (5) of section 421(b).
(b) Contents.--For each type of adjudication to be undertaken by
the Assistant Attorney General for Citizenship and Immigration
Services, the report shall include the following:
(1) Any potential savings of resources that may be
implemented without affecting the quality of the adjudication.
(2) The goal for processing time with respect to the
application.
(3) Any statutory modifications with respect to the
adjudication that the Attorney General considers advisable.
(c) Consultation.--In carrying out subsection (a), the Attorney
General shall consult with the Secretary of State, the Secretary of
Labor, the Assistant Secretary of the Bureau of Border Security of the
Department of Homeland Security, and the Director of the Executive
Office for Immigration Review to determine how to streamline and
improve the process for applying for and making adjudications described
in section 421(b) and related processes.
SEC. 434. REPORT ON RESPONDING TO FLUCTUATING NEEDS.
Not later than 30 days after the date of the enactment of this Act,
the Attorney General shall submit to the Congress a report on changes
in law, including changes in authorizations of appropriations and in
appropriations, that are needed to permit the Immigration and
Naturalization Service, and, after the transfer of functions specified
in subchapter 1 takes effect, the Bureau of Citizenship and Immigration
Services, to ensure a prompt and timely response to emergent,
unforeseen, or impending changes in the number of applications for
immigration benefits, and otherwise to ensure the accommodation of
changing immigration service needs.
SEC. 435. APPLICATION OF INTERNET-BASED TECHNOLOGIES.
(a) Establishment of Tracking System.--The Attorney General, not
later than 1 year after the effective date of this Act, in consultation
with the Technology Advisory Committee established under subsection
(c), shall establish an Internet-based system, that will permit a
person, employer, immigrant, or nonimmigrant who has filings with the
Attorney General for any benefit under the Immigration and Nationality
Act (8 U.S.C. 1101 et seq.), access to online information about the
processing status of the filing involved.
(b) Feasibility Study for Online Filing and Improved Processing.--
(1) Online filing.--The Attorney General, in consultation
with the Technology Advisory Committee established under
subsection (c), shall conduct a feasibility study on the online
filing of the filings described in subsection (a). The study
shall include a review of computerization and technology of the
Immigration and Naturalization Service relating to the
immigration services and processing of filings related to
immigrant services. The study shall also include an estimate of
the timeframe and cost and shall consider other factors in
implementing such a filing system, including the feasibility of
fee payment online.
(2) Report.--A report on the study under this subsection
shall be submitted to the Committees on the Judiciary of the
United States House of Representatives and the Senate not later
than 1 year after the effective date of this Act.
(c) Technology Advisory Committee.--
(1) Establishment.--The Attorney General shall establish,
not later than 60 days after the effective date of this Act, an
advisory committee (in this section referred to as the
``Technology Advisory Committee'') to assist the Attorney
General in--
(A) establishing the tracking system under
subsection (a); and
(B) conducting the study under subsection (b).
The Technology Advisory Committee shall be established after
consultation with the Committees on the Judiciary of the United
States House of Representatives and the Senate.
(2) Composition.--The Technology Advisory Committee shall
be composed of representatives from high technology companies
capable of establishing and implementing the system in an
expeditious manner, and representatives of persons who may use
the tracking system described in subsection (a) and the online
filing system described in subsection (b)(1).
SEC. 436. CHILDREN'S AFFAIRS.
(a) Transfer of Functions.--There are transferred to the Director
of the Office of Refugee Resettlement of the Department of Health and
Human Services functions under the immigration laws of the United
States with respect to the care of unaccompanied alien children that
were vested by statute in, or performed by, the Commissioner of
Immigration and Naturalization (or any officer, employee, or component
of the Immigration and Naturalization Service) immediately before the
effective date specified in subsection (d).
(b) Functions.--
(1) In general.--Pursuant to the transfer made by
subsection (a), the Director of the Office of Refugee
Resettlement shall be responsible for--
(A) coordinating and implementing the care and
placement of unaccompanied alien children who are in
Federal custody by reason of their immigration status,
including developing a plan to be submitted to the
Congress on how to ensure that qualified and
independent legal counsel is timely appointed to
represent the interests of each such child, consistent
with the law regarding appointment of counsel that is
in effect on the date of the enactment of this Act;
(B) ensuring that the interests of the child are
considered in decisions and actions relating to the
care and custody of an unaccompanied alien child;
(C) making placement determinations for all
unaccompanied alien children who are in Federal custody
by reason of their immigration status;
(D) implementing the placement determinations;
(E) implementing policies with respect to the care
and placement of unaccompanied alien children;
(F) identifying a sufficient number of qualified
individuals, entities, and facilities to house
unaccompanied alien children;
(G) overseeing the infrastructure and personnel of
facilities in which unaccompanied alien children
reside;
(H) reuniting unaccompanied alien children with a
parent abroad in appropriate cases;
(I) compiling, updating, and publishing at least
annually a state-by-state list of professionals or
other entities qualified to provide guardian and
attorney representation services for unaccompanied
alien children;
(J) maintaining statistical information and other
data on unaccompanied alien children for whose care and
placement the Director is responsible, which shall
include--
(i) biographical information, such as a
child's name, gender, date of birth, country of
birth, and country of habitual residence;
(ii) the date on which the child came into
Federal custody by reason of his or her
immigration status;
(iii) information relating to the child's
placement, removal, or release from each
facility in which the child has resided;
(iv) in any case in which the child is
placed in detention or released, an explanation
relating to the detention or release; and
(v) the disposition of any actions in which
the child is the subject;
(K) collecting and compiling statistical
information from the Department of Justice, the
Department of Homeland Security, and the Department of
State on each department's actions relating to
unaccompanied alien children; and
(L) conducting investigations and inspections of
facilities and other entities in which unaccompanied
alien children reside.
(2) Coordination with other entities; no release on own
recognizance.--In making determinations described in paragraph
(1)(C), the Director of the Office of Refugee Resettlement--
(A) shall consult with appropriate juvenile justice
professionals, the Director of the Bureau of
Citizenship and Immigration Services of the Department
of Justice, and the Assistant Secretary of the Bureau
of Border Security of the Department of Homeland
Security to ensure that such determinations ensure that
unaccompanied alien children described in such
subparagraph--
(i) are likely to appear for all hearings
or proceedings in which they are involved;
(ii) are protected from smugglers,
traffickers, or others who might seek to
victimize or otherwise engage them in criminal,
harmful, or exploitive activity; and
(iii) are placed in a setting in which they
not likely to pose a danger to themselves or
others; and
(B) shall not release such children upon their own
recognizance.
(3) Duties with respect to foster care.--In carrying out
the duties described in paragraph (1)(G), the Director of the
Office of Refugee Resettlement is encouraged to use the refugee
children foster care system established pursuant to section
412(d) of the Immigration and Nationality Act (8 U.S.C.
1522(d)) for the placement of unaccompanied alien children.
(c) Rule of Construction.--Nothing in this section may be construed
to transfer the responsibility for adjudicating benefit determinations
under the Immigration and Nationality Act (8 U.S.C. 1101 et seq.) from
the authority of any official of the Department of Justice, the
Department of Homeland Security, or the Department of State.
(d) Effective Date.--Notwithstanding section 4, this section shall
take effect on the date on which the transfer of functions specified
under section 411 takes effect.
(e) References.--With respect to any function transferred by this
section, any reference in any other Federal law, Executive order, rule,
regulation, or delegation of authority, or any document of or
pertaining to a component of government from which such function is
transferred--
(1) to the head of such component is deemed to refer to the
Director of the Office of Refugee Resettlement; or
(2) to such component is deemed to refer to the Office of
Refugee Resettlement of the Department of Health and Human
Services.
(f) Other Transition Issues.--
(1) Exercise of authorities.--Except as otherwise provided
by law, a Federal official to whom a function is transferred by
this section may, for purposes of performing the function,
exercise all authorities under any other provision of law that
were available with respect to the performance of that function
to the official responsible for the performance of the function
immediately before the effective date specified in subsection
(d).
(2) Savings provisions.--Subsections (a), (b), and (c) of
section 812 shall apply to a transfer of functions under this
section in the same manner as such provisions apply to a
transfer of functions under this Act to the Department of
Homeland Security.
(3) Transfer and allocation of appropriations and
personnel.--The personnel of the Department of Justice employed
in connection with the functions transferred by this section,
and the assets, liabilities, contracts, property, records, and
unexpended balance of appropriations, authorizations,
allocations, and other funds employed, held, used, arising
from, available to, or to be made available to, the Immigration
and Naturalization Service in connection with the functions
transferred by this section, subject to section 202 of the
Budget and Accounting Procedures Act of 1950, shall be
transferred to the Director of the Office of Refugee
Resettlement for allocation to the appropriate component of the
Department of Health and Human Services. Unexpended funds
transferred pursuant to this paragraph shall be used only for
the purposes for which the funds were originally authorized and
appropriated.
(g) Definitions.--As used in this section--
(1) the term ``placement'' means the placement of an
unaccompanied alien child in either a detention facility or an
alternative to such a facility; and
(2) the term ``unaccompanied alien child'' means a child
who--
(A) has no lawful immigration status in the United
States;
(B) has not attained 18 years of age; and
(C) with respect to whom--
(i) there is no parent or legal guardian in
the United States; or
(ii) no parent or legal guardian in the
United States is available to provide care and
physical custody.
CHAPTER 3--GENERAL PROVISIONS
SEC. 441. ABOLISHMENT OF INS.
The Immigration and Naturalization Service of the Department of
Justice is abolished.
SEC. 442. VOLUNTARY SEPARATION INCENTIVE PAYMENTS.
(a) Definitions.--For purposes of this section--
(1) the term ``employee'' means an employee (as defined by
section 2105 of title 5, United States Code) who--
(A) has completed at least 3 years of current
continuous service with 1 or more covered entities; and
(B) is serving under an appointment without time
limitation;
but does not include any person under subparagraphs (A)-(G) of
section 663(a)(2) of Public Law 104-208 (5 U.S.C. 5597 note);
(2) the term ``covered entity'' means--
(A) the Immigration and Naturalization Service;
(B) the Bureau of Border Security of the Department
of Homeland Security; and
(C) the Bureau of Citizenship and Immigration
Services of the Department of Justice; and
(3) the term ``transfer date'' means the date on which the
transfer of functions specified under section 411 takes effect.
(b) Strategic Restructuring Plan.--Before the Attorney General or
the Secretary obligates any resources for voluntary separation
incentive payments under this section, such official shall submit to
the appropriate committees of Congress a strategic restructuring plan,
which shall include--
(1) an organizational chart depicting the covered entities
after their restructuring pursuant to this Act;
(2) a summary description of how the authority under this
section will be used to help carry out that restructuring; and
(3) the information specified in section 663(b)(2) of
Public Law 104-208 (5 U.S.C. 5597 note).
As used in the preceding sentence, the ``appropriate committees of
Congress'' are the Committees on Appropriations, Government Reform, and
the Judiciary of the House of Representatives, and the Committees on
Appropriations, Governmental Affairs, and the Judiciary of the Senate.
(c) Authority.--The Attorney General and the Secretary may, to the
extent necessary to help carry out their respective strategic
restructuring plan described in subsection (b), make voluntary
separation incentive payments to employees. Any such payment--
(1) shall be paid to the employee, in a lump sum, after the
employee has separated from service;
(2) shall be paid from appropriations or funds available
for the payment of basic pay of the employee;
(3) shall be equal to the lesser of--
(A) the amount the employee would be entitled to
receive under section 5595(c) of title 5, United States
Code; or
(B) an amount not to exceed $25,000, as determined
by the Attorney General or the Secretary;
(4) may not be made except in the case of any qualifying
employee who voluntarily separates (whether by retirement or
resignation) before the end of--
(A) the 3-month period beginning on the date on
which such payment is offered or made available to such
employee; or
(B) the 3-year period beginning on the date of the
enactment of this Act,
whichever occurs first;
(5) shall not be a basis for payment, and shall not be
included in the computation, of any other type of Government
benefit; and
(6) shall not be taken into account in determining the
amount of any severance pay to which the employee may be
entitled under section 5595 of title 5, United States Code,
based on any other separation.
(d) Additional Agency Contributions to the Retirement Fund.--
(1) In general.--In addition to any payments which it is
otherwise required to make, the Department of Justice and the
Department of Homeland Security shall, for each fiscal year
with respect to which it makes any voluntary separation
incentive payments under this section, remit to the Office of
Personnel Management for deposit in the Treasury of the United
States to the credit of the Civil Service Retirement and
Disability Fund the amount required under paragraph (2).
(2) Amount required.--The amount required under this
paragraph shall, for any fiscal year, be the amount under
subparagraph (A) or (B), whichever is greater.
(A) First method.--The amount under this
subparagraph shall, for any fiscal year, be equal to
the minimum amount necessary to offset the additional
costs to the retirement systems under title 5, United
States Code (payable out of the Civil Service
Retirement and Disability Fund) resulting from the
voluntary separation of the employees described in
paragraph (3), as determined under regulations of the
Office of Personnel Management.
(B) Second method.--The amount under this
subparagraph shall, for any fiscal year, be equal to 45
percent of the sum total of the final basic pay of the
employees described in paragraph (3).
(3) Computations to be based on separations occurring in
the fiscal year involved.--The employees described in this
paragraph are those employees who receive a voluntary
separation incentive payment under this section based on their
separating from service during the fiscal year with respect to
which the payment under this subsection relates.
(4) Final basic pay defined.--In this subsection, the term
``final basic pay'' means, with respect to an employee, the
total amount of basic pay which would be payable for a year of
service by such employee, computed using the employee's final
rate of basic pay, and, if last serving on other than a full-
time basis, with appropriate adjustment therefor.
(e) Effect of Subsequent Employment with the Government.--An
individual who receives a voluntary separation incentive payment under
this section and who, within 5 years after the date of the separation
on which the payment is based, accepts any compensated employment with
the Government or works for any agency of the Government through a
personal services contract, shall be required to pay, prior to the
individual's first day of employment, the entire amount of the
incentive payment. Such payment shall be made to the covered entity
from which the individual separated or, if made on or after the
transfer date, to the Deputy Attorney General (for transfer to the
appropriate component of the Department of Justice, if necessary) or
the Under Secretary for Border and Transportation Security (for
transfer to the appropriate component of the Department of Homeland
Security, if necessary).
(f) Effect on Employment Levels.--
(1) Intended effect.--Voluntary separations under this
section are not intended to necessarily reduce the total number
of full-time equivalent positions in any covered entity.
(2) Use of voluntary separations.--A covered entity may
redeploy or use the full-time equivalent positions vacated by
voluntary separations under this section to make other
positions available to more critical locations or more critical
occupations.
SEC. 443. AUTHORITY TO CONDUCT A DEMONSTRATION PROJECT RELATING TO
DISCIPLINARY ACTION.
(a) In General.--The Attorney General and the Secretary may each,
during a period ending not later than 5 years after the date of the
enactment of this Act, conduct a demonstration project for the purpose
of determining whether one or more changes in the policies or
procedures relating to methods for disciplining employees would result
in improved personnel management.
(b) Scope.--A demonstration project under this section--
(1) may not cover any employees apart from those employed
in or under a covered entity; and
(2) shall not be limited by any provision of chapter 43,
75, or 77 of title 5, United States Code.
(c) Procedures.--Under the demonstration project--
(1) the use of alternative means of dispute resolution (as
defined in section 571 of title 5, United States Code) shall be
encouraged, whenever appropriate; and
(2) each covered entity under the jurisdiction of the
official conducting the project shall be required to provide
for the expeditious, fair, and independent review of any action
to which section 4303 or subchapter II of chapter 75 of such
title 5 would otherwise apply (except an action described in
section 7512(5) thereof).
(d) Actions Involving Discrimination.--Notwithstanding any other
provision of this section, if, in the case of any matter described in
section 7702(a)(1)(B) of title 5, United States Code, there is no
judicially reviewable action under the demonstration project within 120
days after the filing of an appeal or other formal request for review
(referred to in subsection (c)(2)), an employee shall be entitled to
file a civil action to the same extent and in the same manner as
provided in section 7702(e)(1) of such title 5 (in the matter following
subparagraph (C) thereof).
(e) Certain Employees.--Employees shall not be included within any
project under this section if such employees are--
(1) neither managers nor supervisors; and
(2) within a unit with respect to which a labor
organization is accorded exclusive recognition under chapter 71
of title 5, United States Code.
Notwithstanding the preceding sentence, an aggrieved employee within a
unit (referred to in paragraph (2)) may elect to participate in a
complaint procedure developed under the demonstration project in lieu
of any negotiated grievance procedure and any statutory procedure (as
such term is used in section 7121 of such title 5).
(f) Reports.--The General Accounting Office shall prepare and
submit to the Committees on Government Reform and the Judiciary of the
House of Representatives and the Committees on Governmental Affairs and
the Judiciary of the Senate periodic reports on any demonstration
project conducted under this section, such reports to be submitted
after the second and fourth years of its operation. Upon request, the
Attorney General or the Secretary shall furnish such information as the
General Accounting Office may require to carry out this subsection.
(g) Definition.--In this section, the term ``covered entity'' has
the meaning given such term in section 442(a)(2).
SEC. 444. SENSE OF CONGRESS.
It is the sense of the Congress that--
(1) the missions of the Bureau of Border Security of the
Department of Homeland Security and the Bureau of Citizenship
and Immigration Services of the Department of Justice are
equally important and, accordingly, they each should be
adequately funded; and
(2) the functions transferred under this subtitle should
not, after such transfers take effect, operate at levels below
those in effect prior to the enactment of this Act.
SEC. 445. REPORTS AND IMPLEMENTATION PLANS.
(a) Division of Funds.--The Attorney General and the Secretary, not
later than 120 days after the effective date of this Act, shall each
submit to the Committees on Appropriations and the Judiciary of the
United States House of Representatives and of the Senate a report on
the proposed division and transfer of funds, including unexpended
funds, appropriations, and fees, between the Bureau of Citizenship and
Immigration Services and the Bureau of Border Security.
(b) Division of Personnel.--The Attorney General and the Secretary,
not later than 120 days after the effective date of this Act, shall
each submit to the Committees on Appropriations and the Judiciary of
the United States House of Representatives and of the Senate a report
on the proposed division of personnel between the Bureau of Citizenship
and Immigration Services and the Bureau of Border Security.
(c) Implementation Plan.--
(1) In general.--The Attorney General and the Secretary,
not later than 120 days after the effective date of this Act,
and every 6 months thereafter until the termination of fiscal
year 2005, shall each submit to the Committees on
Appropriations and the Judiciary of the United States House of
Representatives and of the Senate an implementation plan to
carry out this Act.
(2) Contents.--The implementation plan should include
details concerning the separation of the Bureau of Citizenship
and Immigration Services and the Bureau of Border Security,
including the following:
(A) Organizational structure, including the field
structure.
(B) Chain of command.
(C) Procedures for interaction among such bureaus.
(D) Fraud detection and investigation.
(E) The processing and handling of removal
proceedings, including expedited removal and
applications for relief from removal.
(F) Recommendations for conforming amendments to
the Immigration and Nationality Act (8 U.S.C. 1101 et
seq.).
(G) Establishment of a transition team.
(H) Methods to phase in the costs of separating the
administrative support systems of the Immigration and
Naturalization Service in order to provide for separate
administrative support systems for the Bureau of
Citizenship and Immigration Services and the Bureau of
Border Security.
(d) Comptroller General Studies and Reports.--
(1) Status reports on transition.--Not later than 18 months
after the date on which the transfer of functions specified
under section 411 takes effect, and every 6 months thereafter,
until full implementation of this subtitle has been completed,
the Comptroller General of the United States shall submit to
the Committees on Appropriations and on the Judiciary of the
United States House of Representatives and the Senate a report
containing the following:
(A) A determination of whether the transfers of
functions made by chapters 1 and 2 have been completed,
and if a transfer of functions has not taken place,
identifying the reasons why the transfer has not taken
place.
(B) If the transfers of functions made by chapters
1 and 2 have been completed, an identification of any
issues that have arisen due to the completed transfers.
(C) An identification of any issues that may arise
due to any future transfer of functions.
(2) Report on management.--Not later than 4 years after the
date on which the transfer of functions specified under section
411 takes effect, the Comptroller General of the United States
shall submit to the Committees on Appropriations and on the
Judiciary of the United States House of Representatives and the
Senate a report, following a study, containing the following:
(A) Determinations of whether the transfer of
functions from the Immigration and Naturalization
Service to the Bureau of Citizenship and Immigration
Services and the Bureau of Border Security have
improved, with respect to each function transferred,
the following:
(i) Operations.
(ii) Management, including accountability
and communication.
(iii) Financial administration.
(iv) Recordkeeping, including information
management and technology.
(B) A statement of the reasons for the
determinations under subparagraph (A).
(C) Any recommendations for further improvements to
the Bureau of Citizenship and Immigration Services and
the Bureau of Border Security.
(3) Report on fees.--Not later than 1 year after the date
of the enactment of this Act, the Comptroller General of the
United States shall submit to the Committees on the Judiciary
of the House of Representatives and of the Senate a report
examining whether the Bureau of Citizenship and Immigration
Services is likely to derive sufficient funds from fees to
carry out its functions in the absence of appropriated funds.
SEC. 446. IMMIGRATION FUNCTIONS.
(a) Annual Report.--
(1) In general.--One year after the date of the enactment
of this Act, and each year thereafter, the Attorney General
shall submit a report to the President, to the Committees on
the Judiciary and Government Reform of the United States House
of Representatives, and to the Committees on the Judiciary and
Government Affairs of the Senate, on the impact the transfers
made by this subtitle has had on immigration functions.
(2) Matter included.--The report shall address the
following with respect to the period covered by the report:
(A) The aggregate number of all immigration
applications and petitions received, and processed, by
the Department;
(B) Region-by-region statistics on the aggregate
number of immigration applications and petitions filed
by an alien (or filed on behalf of an alien) and
denied, disaggregated by category of denial and
application or petition type.
(C) The quantity of backlogged immigration
applications and petitions that have been processed,
the aggregate number awaiting processing, and a
detailed plan for eliminating the backlog.
(D) The average processing period for immigration
applications and petitions, disaggregated by
application or petition type.
(E) The number and types of immigration-related
grievances filed with any official of the Department of
Justice, and if those grievances were resolved.
(F) Plans to address grievances and improve
immigration services.
(G) Whether immigration-related fees were used
consistent with legal requirements regarding such use.
(H) Whether immigration-related questions conveyed
by customers to the Department of Justice (whether
conveyed in person, by telephone, or by means of the
Internet) were answered effectively and efficiently.
(b) Sense of the Congress Regarding Immigration Services.--It is
the sense of the Congress that--
(1) the quality and efficiency of immigration services
rendered by the Federal Government should be improved after the
transfers made by this subtitle take effect; and
(2) the Attorney General should undertake efforts to
guarantee that concerns regarding the quality and efficiency of
immigration services are addressed after such effective date.
Subtitle C--United States Customs Service
SEC. 451. ESTABLISHMENT; COMMISSIONER OF CUSTOMS.
(a) Establishment.--There is established in the Department the
United States Customs Service, under the authority of the Under
Secretary for Border and Transportation Security, which shall be vested
with those functions set forth in section 457(7), and the personnel,
assets, and liabilities attributable to those functions.
(b) Commissioner of Customs.--
(1) In General.--There shall be at the head of the Customs
Service a Commissioner of Customs, who shall be appointed by
the President, by and with the advice and consent of the
Senate.
(2) Compensation.--Section 5314 of title 5, United States
Code, is amended by striking
``Commissioner of Customs, Department of the Treasury''
and inserting
``Commissioner of Customs, Department of Homeland
Security.''.
(3) Continuation in office.--The individual serving as the
Commissioner of Customs on the day before the effective date of
this Act may serve as the Commissioner of Customs on and after
such effective date until a Commissioner of Customs is
appointed under paragraph (1).
SEC. 452. RETENTION OF CUSTOMS REVENUE FUNCTIONS BY SECRETARY OF THE
TREASURY.
(a) Retention by Secretary of the Treasury.--
(1) Retention of authority.--Notwithstanding sections
401(5), 402(1), and 808(e)(2), authority that was vested in the
Secretary of the Treasury by law before the effective date of
this Act under those provisions of law set forth in paragraph
(2) shall not be transferred to the Secretary by reason of this
Act, and on and after the effective date of this Act, the
Secretary of the Treasury may delegate any such authority to
the Secretary at the discretion of the Secretary of the
Treasury. The Secretary of the Treasury shall consult with the
Secretary regarding the exercise of any such authority not
delegated to the Secretary.
(2) Statutes.--The provisions of law referred to in
paragraph (1) are the following: the Tariff Act of 1930;
section 249 of the Revised Statutes of the United States (19
U.S.C. 3); section 2 of the Act of March 4, 1923 (19 U.S.C. 6);
section 13031 of the Consolidated Omnibus Budget Reconciliation
Act of 1985 (19 U.S.C. 58c); section 251 of the Revised
Statutes of the United States (19 U.S.C. 66); section 1 of the
Act of June 26, 1930 (19 U.S.C. 68); the Foreign Trade Zones
Act (19 U.S.C. 81a et seq.); section 1 of the Act of March 2,
1911 (19 U.S.C. 198); the Trade Act of 1974; the Trade
Agreements Act of 1979; the North American Free Trade Area
Implementation Act; the Uruguay Round Agreements Act; the
Caribbean Basin Economic Recovery Act; the Andean Trade
Preference Act; the African Growth and Opportunity Act; and any
other provision of law vesting customs revenue functions in the
Secretary of the Treasury.
(b) Maintenance of Customs Revenue Functions.--
(1) Maintenance of functions.--Notwithstanding any other
provision of this Act, the Secretary may not consolidate,
alter, discontinue, or diminish those functions described in
paragraph (2) performed by the United States Customs Service
(as established under section 451) on or after the effective
date of this Act, reduce the staffing level, or the
compensation or benefits under title 5, United States Code, of
personnel attributable to such functions, or reduce the
resources attributable to such functions, and the Secretary
shall ensure that an appropriate management structure is
implemented to carry out such functions.
(2) Functions.--The functions referred to in paragraph (1)
are those functions performed by the following personnel, and
associated support staff, of the United States Customs Service
on the day before the effective date of this Act: Import
Specialists, Entry Specialists, Drawback Specialists, National
Import Specialist, Fines and Penalties Specialists, attorneys
of the Office of Regulations and Rulings, Customs Auditors,
International Trade Specialists, Financial Systems Specialists.
(c) New Personnel.--The Secretary of the Treasury is authorized to
appoint up to 20 new personnel to work with personnel of the Department
in performing customs revenue functions.
SEC. 453. ESTABLISHMENT AND IMPLEMENTATION OF COST ACCOUNTING SYSTEM;
REPORTS.
(a) Establishment and Implementation.--
(1) In general.--Not later than September 30, 2003, the
Commissioner of Customs shall, in accordance with the audit of
the Customs Service's fiscal years 2000 and 1999 financial
statements (as contained in the report of the Office of the
Inspector General of the Department of the Treasury issued on
February 23, 2001), establish and implement a cost accounting
system for expenses incurred in the operation of the Customs
Service.
(2) Additional requirement.--The cost accounting system
described in paragraph (1) shall provide for an identification
of expenses based on the type of operation, the port at which
the operation took place, the amount of time spent on the
operation by personnel of the Customs Service, and an
identification of expenses based on any other appropriate
classification necessary to provide for an accurate and
complete accounting of the expenses.
(3) Use of merchandise processing fees.--The cost
accounting system described in paragraph (1) shall provide for
an identification of all amounts expended pursuant to section
13031(f)(2) of the Consolidated Omnibus Budget Reconciliation
Act of 1985.
(b) Reports.--Beginning on the date of the enactment of this Act
and ending on the date on which the cost accounting system described in
subsection (a) is fully implemented, the Commissioner of Customs shall
prepare and submit to the Committee on Ways and Means of the House of
Representatives and the Committee on Finance of the Senate on a
quarterly basis a report on the progress of implementing the cost
accounting system pursuant to subsection (a).
SEC. 454. PRESERVATION OF CUSTOMS FUNDS.
Notwithstanding any other provision of this Act, no funds available
to the United States Customs Service or collected under paragraphs (1)
through (8) of section 13031(a) of the Consolidated Omnibus Budget
Reconciliation Act of 1985 may be transferred for use by any other
agency or office in the Department.
SEC. 455. SEPARATE BUDGET REQUEST FOR CUSTOMS.
The President shall include in each budget transmitted to the
Congress under section 1105 of title 31, United States Code, a separate
budget request for the United States Customs Service.
SEC. 456. PAYMENT OF DUTIES AND FEES.
Section 505(a) of the Tariff Act of 1930 (19 U.S.C. 1505(a)) is
amended--
(1) in the first sentence--
(A) by striking ``Unless merchandise'' and
inserting ``Unless the entry of merchandise is covered
by an import activity summary statement, or the
merchandise''; and
(B) by inserting after ``by regulation'' the
following: ``(but not to exceed 10 working days after
entry or release, whichever occurs first)''; and
(2) by striking the second and third sentences and
inserting the following: ``If an import activity summary
statement is filed, the importer of record shall deposit
estimated duties and fees for entries of merchandise covered by
the import activity summary statement no later than the 15th
day of the month following the month in which the merchandise
is entered or released, whichever occurs first.''.
SEC. 457. DEFINITION.
In this subtitle, the term ``customs revenue function'' means the
following:
(1) Assessing and collecting customs duties (including
antidumping and countervailing duties and duties imposed under
safeguard provisions), excise taxes, fees, and penalties due on
imported merchandise, including classifying and valuing
merchandise for purposes of such assessment.
(2) Processing and denial of entry of persons, baggage,
cargo, and mail, with respect to the assessment and collection
of import duties.
(3) Detecting and apprehending persons engaged in
fraudulent practices designed to circumvent the customs laws of
the United States.
(4) Enforcing section 337 of the Tariff Act of 1930 and
provisions relating to import quotas and the marking of
imported merchandise, and providing Customs Recordations for
copyrights, patents, and trademarks.
(5) Collecting accurate import data for compilation of
international trade statistics.
(6) Enforcing reciprocal trade agreements.
(7) Functions performed by the following personnel, and
associated support staff, of the United States Customs Service
on the day before the effective date of this Act: Import
Specialists, Entry Specialists, Drawback Specialists, National
Import Specialist, Fines and Penalties Specialists, attorneys
of the Office of Regulations and Rulings, Customs Auditors,
International Trade Specialists, Financial Systems Specialists.
(8) Functions performed by the following offices, with
respect to any function described in any of paragraphs (1)
through (7), and associated support staff, of the United States
Customs Service on the day before the effective date of this
Act: the Office of Information and Technology, the Office of
Laboratory Services, the Office of the Chief Counsel, the
Office of Congressional Affairs, the Office of International
Affairs, and the Office of Training and Development.
SEC. 458. GAO REPORT TO CONGRESS.
Not later than 3 months after the effective date of this Act, the
Comptroller General of the United States shall submit to the Congress a
report that sets forth all trade functions performed by the executive
branch, specifying each agency that performs each such function.
SEC. 459. ALLOCATION OF RESOURCES BY THE SECRETARY.
(a) In General.--The Secretary shall ensure that adequate staffing
is provided to assure that levels of customs revenue services provided
on the day before the effective date of this Act shall continue to be
provided.
(b) Notification of Congress.--The Secretary shall notify the
Committee on Ways and Means of the House of Representatives and the
Committee on Finance of the Senate at least 180 days prior to taking
any action which would--
(1) result in any significant reduction in customs revenue
services, including hours of operation, provided at any office
within the Department or any port of entry;
(2) eliminate or relocate any office of the Department
which provides customs revenue services; or
(3) eliminate any port of entry.
(c) Definition.--In this section, the term ``customs revenue
services'' means those customs revenue functions described in
paragraphs (1) through (6) and (8) of section 457.
SEC. 460. REPORTS TO CONGRESS.
The United States Customs Service shall, on and after the effective
date of this Act, continue to submit to the Committee on Ways and Means
of the House of Representatives and the Committee on Finance of the
Senate any report required, on the day before such the effective date
of this Act, to be so submitted under any provision of law.
SEC. 461. CUSTOMS USER FEES.
Section 13031(f) of the Consolidated Omnibus Budget Reconciliation
Act of 1985 (19 U.S.C. 58c(f)) is amended--
(1) in paragraph (1), by striking subparagraph (B) and
inserting the following:
``(B) amounts deposited into the Customs Commercial
and Homeland Security Automation Account under
paragraph (5).'';
(2) in paragraph (4), by striking ``(other than the excess
fees determined by the Secretary under paragraph (5))''; and
(3) by striking paragraph (5) and inserting the following:
``(5)(A) There is created within the general fund of the Treasury a
separate account that shall be known as the `Customs Commercial and
Homeland Security Automation Account'. In each of fiscal years 2003,
2004, and 2005 there shall be deposited into the Account from fees
collected under subsection (a)(9)(A), $350,000,000.
``(B) There is authorized to be appropriated from the Account in
fiscal years 2003 through 2005 such amounts as are available in that
Account for the development, establishment, and implementation of the
Automated Commercial Environment computer system for the processing of
merchandise that is entered or released and for other purposes related
to the functions of the Department of Homeland Security. Amounts
appropriated pursuant to this subparagraph are authorized to remain
available until expended.
``(C) In adjusting the fee imposed by subsection (a)(9)(A) for
fiscal year 2006, the Secretary of the Treasury shall reduce the amount
estimated to be collected in fiscal year 2006 by the amount by which
total fees deposited to the Account during fiscal years 2003, 2004, and
2005 exceed total appropriations from that Account.''.
TITLE V--EMERGENCY PREPAREDNESS AND RESPONSE
SEC. 501. UNDER SECRETARY FOR EMERGENCY PREPAREDNESS AND RESPONSE.
The Secretary, acting through the Under Secretary for Emergency
Preparedness and Response, shall be responsible for the following:
(1) Helping to ensure the preparedness of emergency
response providers for terrorist attacks, major disasters, and
other emergencies.
(2) With respect to the Nuclear Incident Response Team
(regardless of whether it is operating as an organizational
unit of the Department pursuant to this title)--
(A) establishing standards and certifying when
those standards have been met;
(B) conducting joint and other exercises and
training and evaluating performance; and
(C) providing funds to the Department of Energy and
the Environmental Protection Agency, as appropriate,
for homeland security planning, exercises and training,
and equipment.
(3) Providing the Federal Government's response to
terrorist attacks and major disasters, including--
(A) managing such response;
(B) directing the Domestic Emergency Support Team,
the Strategic National Stockpile, the National Disaster
Medical System, and (when operating as an
organizational unit of the Department pursuant to this
title) the Nuclear Incident Response Team;
(C) overseeing the Metropolitan Medical Response
System; and
(D) coordinating other Federal response resources
in the event of a terrorist attack or major disaster.
(4) Aiding the recovery from terrorist attacks and major
disasters, including interventions to treat the psychological
consequences of terrorist attacks or major disasters, and
provision for training for mental health workers to allow them
to respond effectively to such attacks or disasters.
(5) Building a comprehensive national incident management
system with Federal, State, and local government personnel,
agencies, and authorities, to respond to such attacks and
disasters.
(6) Consolidating existing Federal Government emergency
response plans into a single, coordinated national response
plan.
(7) Developing comprehensive programs for developing
interoperative communications technology, and helping to ensure
that emergency response providers acquire such technology.
SEC. 502. FUNCTIONS TRANSFERRED.
In accordance with title VIII, there shall be transferred to the
Secretary the functions, personnel, assets, and obligations of the
following:
(1) The Federal Emergency Management Agency, including the
functions of the Director of the Federal Emergency Management
Agency relating thereto, and the Integrated Hazard Information
System of the Department of Defense.
(2) The Office of Emergency Preparedness, the National
Disaster Medical System, and the Metropolitan Medical Response
System of the Department of Health and Human Services,
including the functions of the Secretary of Health and Human
Services and the Assistant Secretary for Public Health
Emergency Preparedness relating thereto.
(3) The Strategic National Stockpile of the Department of
Health and Human Services, including the functions of the
Secretary of Health and Human Services relating thereto.
SEC. 503. NUCLEAR INCIDENT RESPONSE.
(a) Nuclear Incident Response Team.--At the direction of the
Secretary (in connection with an actual or threatened terrorist attack,
major disaster, or other emergency within the United States), the
Nuclear Incident Response Team shall operate as an organizational unit
of the Department. While so operating, the Nuclear Incident Response
Team shall be subject to the direction, authority, and control of the
Secretary.
(b) Construction.--Nothing in this title shall be understood to
limit the ordinary responsibility of the Secretary of Energy and the
Administrator of the Environmental Protection Agency for organizing,
training, equipping, and utilizing their respective entities in the
Nuclear Incident Response Team, or (subject to the provisions of this
title) from exercising direction, authority, and control over them when
they are not operating as a unit of the Department.
(c) Indemnification of Contractors During Transition Period.--(1)
To the extent the Department of Energy has a duty under a covered
contract to indemnify an element of the Nuclear Incident Response Team,
the Department and the Department of Energy shall each have that duty,
whether or not the Nuclear Incident Response Team is operating as an
organizational element of the Department.
(2) Paragraph (1) applies only to a contract in effect on the date
of the enactment of this Act, and not to any extension or renewal of
such contract carried out after the date of the enactment of this Act.
SEC. 504. DEFINITION.
For purposes of this title, the term ``Nuclear Incident Response
Team'' means a resource that includes--
(1) those entities of the Department of Energy that perform
nuclear or radiological emergency support functions (including
accident response, search response, advisory, and technical
operations functions), radiation exposure functions at the
medical assistance facility known as the Radiation Emergency
Assistance/Training Site (REAC/TS), radiological assistance
functions, and related functions; and
(2) those entities of the Environmental Protection Agency
that perform radiological emergency response and support
functions.
SEC. 505. CONDUCT OF CERTAIN PUBLIC-HEALTH RELATED ACTIVITIES.
(a) In General.--With respect to all public health-related
activities to improve State, local, and hospital preparedness and
response to chemical, biological, radiological, and nuclear and other
emerging terrorist threats carried out by the Department of Health and
Human Services (including the Public Health Service), the Secretary of
Health and Human Services shall set priorities and preparedness goals
and further develop a coordinated strategy for such activities in
collaboration with the Secretary of Homeland Security.
(b) Evaluation of Progress.--In carrying out subsection (a), the
Secretary of Health and Human Services shall collaborate with the
Secretary of Homeland Security in developing specific benchmarks and
outcome measurements for evaluating progress toward achieving the
priorities and goals described in such subsection.
SEC. 506. ROLE OF FEDERAL EMERGENCY MANAGEMENT AGENCY.
(a) In General.--The functions of the Federal Emergency Management
Agency include, but are not limited to, the following:
(1) All functions and authorities prescribed by the Robert
T. Stafford Disaster Relief and Emergency Assistance Act (42
U.S.C. 5121 et seq.).
(2) Carrying out its mission to reduce the loss of life and
property and protect the Nation from all hazards by leading and
supporting the Nation in a comprehensive, risk-based emergency
management program--
(A) of mitigation, by taking sustained actions to
reduce or eliminate long-term risk to people and
property from hazards and their effects;
(B) of preparedness, by building the emergency
management profession to prepare effectively for,
mitigate against, respond to, and recover from any
hazard by planning, training, and exercising;
(C) of response, by conducting emergency operations
to save lives and property through positioning
emergency equipment and supplies, through evacuating
potential victims, through providing food, water,
shelter, and medical care to those in need, and through
restoring critical public services;
(D) of recovery, by rebuilding communities so
individuals, businesses, and governments can function
on their own, return to normal life, and protect
against future hazards; and
(E) of increased efficiencies, by coordinating
efforts relating to preparedness and response
activities to maximize efficiencies.
(b) Federal Response Plan.--
(1) Role of fema.--Notwithstanding any other provision of
this Act, the Federal Emergency Management Agency shall remain
the lead agency for the Federal Response Plan established under
Executive Order 12148 (44 Fed. Reg. 43239) and Executive Order
12656 (53 Fed. Reg. 47491).
(2) Revision of response plan.--Not later than 60 days
after the date of enactment of this Act, the Director of the
Federal Emergency Management Agency shall revise the Federal
Response Plan to reflect the establishment of and incorporate
the Department.
SEC. 507. SENSE OF CONGRESS REGARDING FUNDING OF TRAUMA SYSTEMS.
It is the sense of the Congress that States should give particular
emphasis to developing and implementing the trauma care and burn center
care components of the State plans for the provision of emergency
medical services using funds authorized through Public Law 107-188 for
grants to improve State, local, and hospital preparedness for and
response to bioterrorism and other public health emergencies.
TITLE VI--MANAGEMENT
SEC. 601. UNDER SECRETARY FOR MANAGEMENT.
(a) In General.--The Secretary, acting through the Under Secretary
for Management, shall be responsible for the management and
administration of the Department, including the following:
(1) The budget, appropriations, expenditures of funds,
accounting, and finance.
(2) Procurement.
(3) Human resources and personnel.
(4) Information technology and communications systems.
(5) Facilities, property, equipment, and other material
resources.
(6) Security for personnel, information technology and
communications systems, facilities, property, equipment, and
other material resources.
(7) Identification and tracking of performance measures
relating to the responsibilities of the Department.
(8) Grants and other assistance management programs.
(9) The transition and reorganization process, to ensure an
efficient and orderly transfer of functions and personnel to
the Department, including the development of a transition plan.
(10) The conduct of internal audits and management analyses
of the programs and activities of the Department.
(11) Any other management duties that the Secretary may
designate.
(b) Immigration Enforcement.--
(1) In general.--In addition to the responsibilities
described in subsection (a), the Under Secretary for Management
shall be responsible for the following:
(A) Maintenance of all immigration statistical
information of the Bureau of Border Security. Such
statistical information shall include information and
statistics of the type contained in the publication
entitled ``Statistical Yearbook of the Immigration and
Naturalization Service'' prepared by the Immigration
and Naturalization Service (as in effect immediately
before the date on which the transfer of functions
specified under section 411 takes effect), including
region-by-region statistics on the aggregate number of
applications and petitions filed by an alien (or filed
on behalf of an alien) and denied by such bureau, and
the reasons for such denials, disaggregated by category
of denial and application or petition type.
(B) Establishment of standards of reliability and
validity for immigration statistics collected by the
Bureau of Border Security.
(2) Transfer of functions.--In accordance with title VIII,
there shall be transferred to the Under Secretary for
Management all functions performed immediately before such
transfer occurs by the Statistics Branch of the Office of
Policy and Planning of the Immigration and Naturalization
Service with respect to the following programs:
(A) The Border Patrol program.
(B) The detention and removal program.
(C) The intelligence program.
(D) The investigations program.
(E) The inspections program.
SEC. 602. CHIEF FINANCIAL OFFICER.
Notwithstanding section 902(a)(1) of title 31, United States Code,
the Chief Financial Officer shall report to the Secretary, or to
another official of the Department, as the Secretary may direct.
SEC. 603. CHIEF INFORMATION OFFICER.
Notwithstanding section 3506(a)(2) of title 44, United States Code,
the Chief Information Officer shall report to the Secretary, or to
another official of the Department, as the Secretary may direct.
SEC. 604. ESTABLISHMENT OF OFFICE FOR CIVIL RIGHTS AND CIVIL LIBERTIES.
The Secretary shall establish in the Department an Office for Civil
Rights and Civil Liberties, the head of which shall be the Director for
Civil Rights and Civil Liberties. The Director shall--
(1) review and assess information alleging abuses of civil
rights, civil liberties, and racial and ethnic profiling by
employees and officials of the Department;
(2) make public through the Internet, radio, television, or
newspaper advertisements information on the responsibilities
and functions of, and how to contact, the Office; and
(3) submit to the President of the Senate, the Speaker of
the House of Representatives, and the appropriate committees
and subcommittees of the Congress on a semiannual basis a
report on the implementation of this section, including the use
of funds appropriated to carry out this section, and detailing
any allegations of abuses described in paragraph (1) and any
actions taken by the Department in response to such
allegations.
SEC. 605. CONSOLIDATION AND CO-LOCATION OF OFFICES.
Not later than 1 year after the date of the enactment of this Act,
the Secretary shall develop and submit to the Congress a plan for
consolidating and co-locating--
(1) any regional offices or field offices of agencies that
are transferred to the Department under this Act, if such
officers are located in the same municipality; and
(2) portions of regional and field offices of other Federal
agencies, to the extent such offices perform functions that are
transferred to the Secretary under this Act.
TITLE VII--MISCELLANEOUS
Subtitle A--Inspector General
SEC. 701. AUTHORITY OF THE SECRETARY.
(a) In General.--Notwithstanding the last two sentences of section
3(a) of the Inspector General Act of 1978, the Inspector General shall
be under the authority, direction, and control of the Secretary with
respect to audits or investigations, or the issuance of subpoenas, that
require access to sensitive information concerning--
(1) intelligence, counterintelligence, or counterterrorism
matters;
(2) ongoing criminal investigations or proceedings;
(3) undercover operations;
(4) the identity of confidential sources, including
protected witnesses;
(5) other matters the disclosure of which would, in the
Secretary's judgment, constitute a serious threat to the
protection of any person or property authorized protection by
section 3056 of title 18, United States Code, section 202 of
title 3 of such Code, or any provision of the Presidential
Protection Assistance Act of 1976; or
(6) other matters the disclosure of which would, in the
Secretary's judgment, constitute a serious threat to national
security.
(b) Prohibition of Certain Investigations.--With respect to the
information described in subsection (a), the Secretary may prohibit the
Inspector General from carrying out or completing any audit or
investigation, or from issuing any subpoena, after such Inspector
General has decided to initiate, carry out, or complete such audit or
investigation or to issue such subpoena, if the Secretary determines
that such prohibition is necessary to prevent the disclosure of any
information described in subsection (a), to preserve the national
security, or to prevent a significant impairment to the interests of
the United States.
(c) Notification Required.--If the Secretary exercises any power
under subsection (a) or (b), the Secretary shall notify the Inspector
General of the Department in writing stating the reasons for such
exercise. Within 30 days after receipt of any such notice, the
Inspector General shall transmit a copy of such notice and a written
response thereto that includes (1) a statement as to whether the
Inspector General agrees or disagrees with such exercise and (2) the
reasons for any disagreement, to the President of the Senate and the
Speaker of the House of Representatives and to appropriate committees
and subcommittees of the Congress.
(d) Access to Information by Congress.--The exercise of authority
by the Secretary described in subsection (b) should not be construed as
limiting the right of Congress or any committee of Congress to access
any information it seeks.
(e) Oversight Responsibility--The Inspector General Act of 1978 (5
U.S.C. App.) is amended by inserting after section 8I the following:
``special provisions concerning the department of homeland security
``Sec. 8J. Notwithstanding any other provision of law, in carrying
out the duties and responsibilities specified in this Act, the
Inspector General of the Department of Homeland Security shall have
oversight responsibility for the internal investigations performed by
the Office of Internal Affairs of the United States Customs Service and
the Office of Inspections of the United States Secret Service. The head
of each such office shall promptly report to the Inspector General the
significant activities being carried out by such office.''.
Subtitle B--United States Secret Service
SEC. 711. FUNCTIONS TRANSFERRED.
In accordance with title VIII, there shall be transferred to the
Secretary the functions, personnel, assets, and obligations of the
United States Secret Service, which shall be maintained as a distinct
entity within the Department, including the functions of the Secretary
of the Treasury relating thereto.
Subtitle C--Critical Infrastructure Information
SEC. 721. SHORT TITLE.
This subtitle may be cited as the ``Critical Infrastructure
Information Act of 2002''.
SEC. 722. DEFINITIONS.
In this subtitle:
(1) Agency.--The term ``agency'' has the meaning given it
in section 551 of title 5, United States Code.
(2) Covered federal agency.--The term ``covered Federal
agency'' means the Department of Homeland Security.
(3) Critical infrastructure information.--The term
``critical infrastructure information'' means information not
customarily in the public domain and related to the security of
critical infrastructure or protected systems--
(A) actual, potential, or threatened interference
with, attack on, compromise of, or incapacitation of
critical infrastructure or protected systems by either
physical or computer-based attack or other similar
conduct (including the misuse of or unauthorized access
to all types of communications and data transmission
systems) that violates Federal, State, or local law,
harms interstate commerce of the United States, or
threatens public health or safety;
(B) the ability of any critical infrastructure or
protected system to resist such interference,
compromise, or incapacitation, including any planned or
past assessment, projection, or estimate of the
vulnerability of critical infrastructure or a protected
system, including security testing, risk evaluation
thereto, risk management planning, or risk audit; or
(C) any planned or past operational problem or
solution regarding critical infrastructure or protected
systems, including repair, recovery, reconstruction,
insurance, or continuity, to the extent it is related
to such interference, compromise, or incapacitation.
(4) Critical infrastructure protection program.--The term
``critical infrastructure protection program'' means any
component or bureau of a covered Federal agency that has been
designated by the President or any agency head to receive
critical infrastructure information.
(5) Information sharing and analysis organization.--The
term ``Information Sharing and Analysis Organization'' means
any formal or informal entity or collaboration created or
employed by public or private sector organizations, for
purposes of--
(A) gathering and analyzing critical infrastructure
information in order to better understand security
problems and interdependencies related to critical
infrastructure and protected systems, so as to ensure
the availability, integrity, and reliability thereof;
(B) communicating or disclosing critical
infrastructure information to help prevent, detect,
mitigate, or recover from the effects of a
interference, compromise, or a incapacitation problem
related to critical infrastructure or protected
systems; and
(C) voluntarily disseminating critical
infrastructure information to its members, State,
local, and Federal Governments, or any other entities
that may be of assistance in carrying out the purposes
specified in subparagraphs (A) and (B).
(6) Protected system.--The term ``protected system''--
(A) means any service, physical or computer-based
system, process, or procedure that directly or
indirectly affects the viability of a facility of
critical infrastructure; and
(B) includes any physical or computer-based system,
including a computer, computer system, computer or
communications network, or any component hardware or
element thereof, software program, processing
instructions, or information or data in transmission or
storage therein, irrespective of the medium of
transmission or storage.
(7) Voluntary.--
(A) In general.--The term ``voluntary'', in the
case of any submittal of critical infrastructure
information to a covered Federal agency, means the
submittal thereof in the absence of such agency's
exercise of legal authority to compel access to or
submission of such information and may be accomplished
by a single entity or an Information Sharing and
Analysis Organization on behalf of itself or its
members.
(B) Exclusions.--The term ``voluntary''--
(i) in the case of any action brought under
the securities laws as is defined in section
3(a)(47) of the Securities Exchange Act of 1934
(15 U.S.C. 78c(a)(47))--
(I) does not include information or
statements contained in any documents
or materials filed with the Securities
and Exchange Commission, or with
Federal banking regulators, pursuant to
section 12(i) of the Securities
Exchange Act of 1934 (15 U.S.C.
781(I)); and
(II) with respect to the submittal
of critical infrastructure information,
does not include any disclosure or
writing that when made accompanied the
solicitation of an offer or a sale of
securities; and
(ii) does not include information or
statements submitted or relied upon as a basis
for making licensing or permitting
determinations, or during regulatory
proceedings.
SEC. 723. DESIGNATION OF CRITICAL INFRASTRUCTURE PROTECTION PROGRAM.
A critical infrastructure protection program may be designated as
such by one of the following:
(1) The President.
(2) The Secretary of Homeland Security.
SEC. 724. PROTECTION OF VOLUNTARILY SHARED CRITICAL INFRASTRUCTURE
INFORMATION.
(a) Protection.--
(1) In general.--Notwithstanding any other provision of
law, critical infrastructure information (including the
identity of the submitting person or entity) that is
voluntarily submitted to a covered Federal agency for use by
that agency regarding the security of critical infrastructure
and protected systems, if analysis, warning, interdependency
study, recovery, reconstitution, or other informational
purpose, when accompanied by an express statement specified in
paragraph (2)--
(A) shall be exempt from disclosure under section
552 of title 5, United States Code (commonly referred
to as the Freedom of Information Act);
(B) shall not be subject to any agency rules or
judicial doctrine regarding ex parte communications
with a decision making official;
(C) shall not, without the written consent of the
person or entity submitting such information, be used
directly by such agency, any other Federal, State, or
local authority, or any third party, in any civil
action arising under Federal or State law if such
information is submitted in good faith;
(D) shall not, without the written consent of the
person or entity submitting such information, be used
or disclosed by any officer or employee of the United
States for purposes other than the purposes of this
subtitle, except--
(i) in furtherance of an investigation or
the prosecution of a criminal act; or
(ii) when disclosure of the information
would be--
(I) to either House of Congress, or
to the extent of matter within its
jurisdiction, any committee or
subcommittee thereof, any joint
committee thereof or subcommittee of
any such joint committee; or
(II) to the Comptroller General, or
any authorized representative of the
Comptroller General, in the course of
the performance of the duties of the
General Accounting Office.
(E) shall not, if provided to a State or local
government or government agency--
(i) be made available pursuant to any State
or local law requiring disclosure of
information or records;
(ii) otherwise be disclosed or distributed
to any party by said State or local government
or government agency without the written
consent of the person or entity submitting such
information; or
(iii) be used other than for the purpose of
protecting critical infrastructure or protected
systems, or in furtherance of an investigation
or the prosecution of a criminal act; and
(F) does not constitute a waiver of any applicable
privilege or protection provided under law, such as
trade secret protection.
(2) Express statement.--For purposes of paragraph (1), the
term ``express statement'', with respect to information or
records, means--
(A) in the case of written information or records,
a written marking on the information or records
substantially similar to the following: ``This
information is voluntarily submitted to the Federal
Government in expectation of protection from disclosure
as provided by the provisions of the Critical
Infrastructure Information Act of 2002.''; or
(B) in the case of oral information, a similar
written statement submitted within a reasonable period
following the oral communication.
(b) Limitation.--No communication of critical infrastructure
information to a covered Federal agency made pursuant to this subtitle
shall be considered to be an action subject to the requirements of the
Federal Advisory Committee Act (5 U.S.C. App. 2).
(c) Independently Obtained Information.--Nothing in this section
shall be construed to limit or otherwise affect the ability of a State,
local, or Federal Government entity, agency, or authority, or any third
party, under applicable law, to obtain critical infrastructure
information in a manner not covered by subsection (a), including any
information lawfully and properly disclosed generally or broadly to the
public and to use such information in any manner permitted by law.
(d) Treatment of Voluntary Submittal of Information.--The voluntary
submittal to the Government of information or records that are
protected from disclosure by this subtitle shall not be construed to
constitute compliance with any requirement to submit such information
to a Federal agency under any other provision of law.
(e) Procedures.--
(1) In general.--The Secretary of the Department of
Homeland Security shall, in consultation with appropriate
representatives of the National Security Council and the Office
of Science and Technology Policy, establish uniform procedures
for the receipt, care, and storage by Federal agencies of
critical infrastructure information that is voluntarily
submitted to the Government. The procedures shall be
established not later than 90 days after the date of the
enactment of this subtitle.
(2) Elements.--The procedures established under paragraph
(1) shall include mechanisms regarding--
(A) the acknowledgement of receipt by Federal
agencies of critical infrastructure information that is
voluntarily submitted to the Government;
(B) the maintenance of the identification of such
information as voluntarily submitted to the Government
for purposes of and subject to the provisions of this
subtitle;
(C) the care and storage of such information; and
(D) the protection and maintenance of the
confidentiality of such information so as to permit the
sharing of such information within the Federal
Government and with State and local governments, and
the issuance of notices and warnings related to the
protection of critical infrastructure and protected
systems, in such manner as to protect from public
disclosure the identity of the submitting person or
entity, or information that is proprietary, business
sensitive, relates specifically to the submitting
person or entity, and is otherwise not appropriately in
the public domain.
(f) Penalties.--Whoever, being an officer or employee of the United
States or of any department or agency thereof, knowingly publishes,
divulges, discloses, or makes known in any manner or to any extent not
authorized by law, any critical infrastructure information protected
from disclosure by this subtitle coming to him in the course of this
employment or official duties or by reason of any examination or
investigation made by, or return, report, or record made to or filed
with, such department or agency or officer or employee thereof, shall
be fined under title 18 of the United States Code, imprisoned not more
that one year, or both, and shall be removed from office or employment.
(g) Authority To Issue Warnings.--The Federal Government may
provide advisories, alerts, and warnings to relevant companies,
targeted sectors, other governmental entities, or the general public
regarding potential threats to critical infrastructure as appropriate.
In issuing a warning, the Federal Government shall take appropriate
actions to protect from disclosure--
(1) the source of any voluntarily submitted critical
infrastructure information that forms the basis for the
warning; or
(2) information that is proprietary, business sensitive,
relates specifically to the submitting person or entity, or is
otherwise not appropriately in the public domain.
(h) Authority To Delegate.--The President may delegate authority to
a critical infrastructure protection program, designated under
subsection (e), to enter into a voluntary agreement to promote critical
infrastructure security, including with any Information Sharing and
Analysis Organization, or a plan of action as otherwise defined in
section 708 of the Defense Production Act of 1950 (50 U.S.C. App.
2158).
SEC. 725. NO PRIVATE RIGHT OF ACTION.
Nothing in this subtitle may be construed to create a private right
of action for enforcement of any provision of this Act.
Subtitle D--Acquisitions
SEC. 731. RESEARCH AND DEVELOPMENT PROJECTS.
(a) Authority.--During the five-year period following the effective
date of this Act, the Secretary may carry out a pilot program under
which the Secretary may exercise the following authorities:
(1)(A) In carrying out basic, applied, and advanced
research and development projects for response to existing or
emerging terrorist threats, the Secretary may exercise the same
authority (subject to the same limitations and conditions) with
respect to such research and projects as the Secretary of
Defense may exercise under section 2371 of title 10, United
States Code (except for subsections (b) and (f) of such
section), after making a determination that--
(i) the use of a contract, grant, or cooperative
agreement for such projects is not feasible or
appropriate; and
(ii) use of other authority to waive Federal
procurement laws or regulations would not be feasible
or appropriate to accomplish such projects.
(B) The annual report required under subsection (h) of such
section 2371, as applied to the Secretary by this paragraph,
shall be submitted to the President of the Senate and the
Speaker of the House of Representatives.
(2)(A) Under the authority of paragraph (1) and subject to
the limitations of such paragraph, the Secretary may carry out
prototype projects, in accordance with the requirements and
conditions provided for carrying out prototype projects under
section 845 of the National Defense Authorization Act for
Fiscal Year 1994 (Public Law 103-160; 10 U.S.C. 2371 note).
(B) In applying the authorities of such section 845--
(i) subsection (c) thereof shall apply with respect
to prototype projects under this paragraph, except that
in applying such subsection any reference in such
subsection to the Comptroller General shall be deemed
to refer to the Comptroller General and the Inspector
General of the Department; and
(ii) the Secretary shall perform the functions of
the Secretary of Defense under subsection (d) thereof.
(b) Report.--Not later than one year after the effective date of
this Act, and annually thereafter, the Comptroller General shall report
to the Committee on Government Reform of the House of Representatives
and the Committee on Governmental Affairs of the Senate on--
(1) whether use of the authorities described in subsection
(a) attracts nontraditional Government contractors and results
in the acquisition of needed technologies; and
(2) if such authorities were to be made permanent, whether
additional safeguards are needed with respect to the use of
such authorities.
(c) Definition of Nontraditional Government Contractor.--In this
section, the term ``nontraditional Government contractor'' has the same
meaning as the term ``nontraditional defense contractor'' as defined in
section 845(e) of the National Defense Authorization Act for Fiscal
Year 1994 (Public Law 103-160; 10 U.S.C. 2371 note).
SEC. 732. PERSONAL SERVICES.
The Secretary--
(1) may procure the temporary or intermittent services of
experts or consultants (or organizations thereof) in accordance
with section 3109 of title 5, United States Code; and
(2) may, whenever necessary due to an urgent homeland
security need, procure temporary (not to exceed 1 year) or
intermittent personal services, including the services of
experts or consultants (or organizations thereof), without
regard to the pay limitations of such section 3109.
SEC. 733. SPECIAL STREAMLINED ACQUISITION AUTHORITY.
(a) Authority.--(1) The Secretary may use the authorities set forth
in this section with respect to any procurement made during the period
beginning on the effective date of this Act and ending September 30,
2007, if the Secretary determines in writing that the mission of the
Department (as described in section 101) would be seriously impaired
without the use of such authorities.
(2) The authority to make the determination described in paragraph
(1) may not be delegated by the Secretary to an officer of the
Department who is not appointed by the President with the advice and
consent of the Senate.
(3) Not later than the date that is seven days after the date of
any determination under paragraph (1), the Secretary shall submit to
the Committee on Government Reform of the House of Representatives and
the Committee on Governmental Affairs of the Senate--
(A) notification of such determination; and
(B) the justification for such determination.
(b) Increased Micro-Purchase Threshold For Certain Procurements.--
(1) The Secretary may designate certain employees of the Department to
make procurements described in subsection (a) for which in the
administration of section 32 of the Office of Federal Procurement
Policy Act (41 U.S.C. 428) the amount specified in subsections (c),
(d), and (f) of such section 32 shall be deemed to be $5,000.
(2) The number of employees designated under paragraph (1) shall
be--
(A) fewer than the number of employees of the Department
who are authorized to make purchases without obtaining
competitive quotations, pursuant to section 32(c) of the Office
of Federal Procurement Policy Act (41 U.S.C. 428(c));
(B) sufficient to ensure the geographic dispersal of the
availability of the use of the procurement authority under such
paragraph at locations reasonably considered to be potential
terrorist targets; and
(C) sufficiently limited to allow for the careful
monitoring of employees designated under such paragraph.
(3) Procurements made under the authority of this subsection shall
be subject to review by a designated supervisor on not less than a
monthly basis. The supervisor responsible for the review shall be
responsible for no more than 7 employees making procurements under this
subsection.
(c) Simplified Acquisition Procedures.--(1) With respect to a
procurement described in subsection (a), the Secretary may deem the
simplified acquisition threshold referred to in section 4(11) of the
Office of Federal Procurement Policy Act (41 U.S.C. 403(11)) to be
$175,000.
(2) Section 18(c)(1) of the Office of Federal Procurement Policy
Act is amended--
(A) by striking ``or'' at the end of suparagraph (F);
(B) by striking the period at the end of subparagraph (G)
and inserting ``; or''; and
(C) by adding at the end the following new subparagraph:
``(H) the procurement is by the Secretary of Homeland
Security pursuant to the special procedures provided in section
733(c) of the Homeland Security Act of 2002.''.
(d) Application of Certain Commercial Items Authorities.--(1) With
respect to a procurement described in subsection (a), the Secretary may
deem any item or service to be a commercial item for the purpose of
Federal procurement laws.
(2) The $5,000,000 limitation provided in section 31(a)(2) of the
Office of Federal Procurement Policy Act (41 U.S.C. 427(a)(2)) and
section 303(g)(1)(B) of the Federal Property and Administrative
Services Act of 1949 (41 U.S.C. 253(g)(1)(B)) shall be deemed to be
$7,500,000 for purposes of property or services under the authority of
this subsection.
(3) Authority under a provision of law referred to in paragraph (2)
that expires under section 4202(e) of the Clinger-Cohen Act of 1996
(divisions D and E of Public Law 104-106; 10 U.S.C. 2304 note) shall,
notwithstanding such section, continue to apply for a procurement
described in subsection (a).
(e) Report.--Not later than 180 days after the end of fiscal year
2005, the Comptroller General shall submit to the Committee on
Governmental Affairs of the Senate and the Committee on Government
Reform of the House of Representatives a report on the use of the
authorities provided in this section. The report shall contain the
following:
(1) An assessment of the extent to which property and
services acquired using authorities provided under this section
contributed to the capacity of the Federal workforce to
facilitate the mission of the Department as described in
section 101.
(2) An assessment of the extent to which prices for
property and services acquired using authorities provided under
this section reflected the best value.
(3) The number of employees designated by each executive
agency under subsection (b)(1).
(4) An assessment of the extent to which the Department has
implemented subsections (b)(2) and (b)(3) to monitor the use of
procurement authority by employees designated under subsection
(b)(1).
(5) Any recommendations of the Comptroller General for
improving the effectiveness of the implementation of the
provisions of this section.
SEC. 734. PROCUREMENTS FROM SMALL BUSINESSES.
(a) Office of Small and Disadvantaged Business Utilization.--There
is established in the Department an office to be known as the ``Office
of Small and Disadvantaged Business Utilization''. The management of
such office shall be vested in the manner described in section 15(k) of
the Small Business Act (15 U.S.C. 644(k)) and shall carry out the
functions described in such section.
(b) Small Business Procurement Goals.--
(1) In general.--The Secretary shall annually establish
goals for the participation by small business concerns, by
small business concerns owned and controlled by service-
disabled veterans, by qualified HUBZone small business
concerns, by small business concerns owned and controlled by
socially and economically disadvantaged individuals, and by
small business concerns owned and controlled by women (as such
terms are defined pursuant to the Small Business Act (15 U.S.C.
631 et seq.) and relevant regulations promulgated thereunder)
in procurement contracts of the Department.
(2) Department goals not less than government-wide goals.--
Notwithstanding section 15(g) of the Small Business Act (15
U.S.C. 644(g)), each goal established under paragraph (1) shall
be equal to or greater than the corresponding Government-wide
goal established by the President under section 15(g)(1) of the
Small Business Act (15 U.S.C. 644(g)(1)).
(3) Incentive for goal achievement.--Achievement of the
goals established under paragraph (1) shall be an element in
the performance standards for employees of the Department who
have the authority and responsibility for achieving such goals.
SEC. 735. PROHIBITION ON CONTRACTING WITH CORPORATE EXPATRIATES.
(a) In General.--The Secretary may not enter into any contract with
a subsidiary of a publicly traded corporation if the corporation is
incorporated in a tax haven country but the United States is the
principal market for the public trading of the corporation's stock.
(b) Tax Haven Country Defined.--For purposes of subsection (a), the
term ``tax haven country'' means each of the following: Barbados,
Bermuda, British Virgin Islands, Cayman Islands, Commonwealth of the
Bahamas, Cyprus, Gibraltar, Isle of Man, the Principality of Monaco,
and the Republic of the Seychelles.
(c) Waiver.--The President may waive subsection (a) with respect to
any specific contract if the President certifies to the Congress that
the waiver is required in the interest of national security.
Subtitle E--Property
SEC. 741. DEPARTMENT HEADQUARTERS.
(a) In General.--Subject to the requirements of the Public
Buildings Act of 1959 (40 U.S.C. 601 et seq.), the Administrator of
General Services shall construct a public building to serve as the
headquarters for the Department.
(b) Location and Construction Standards.--The headquarters facility
shall be constructed to such standards and specifications and at such a
location as the Administrator of General Services decides. In selecting
a site for the headquarters facility, the Administrator shall give
preference to parcels of land that are federally owned.
(c) Use of Headquarters Facility.--The Administrator of General
Services shall make the headquarter facility, as well as other
Government-owned or leased facilities, available to the Secretary
pursuant to the Administrator's authorities under section 210 of the
Federal Property and Administrative Services Act of 1949 (40 U.S.C. 490
et seq.) and there is authorized to be appropriated to the Secretary
such amounts as may be necessary to pay the annual charges for General
Services Administration furnished space and services.
Subtitle F--Support Anti-terrorism by Fostering Effective Technologies
Act of 2002 (the SAFETY Act)
SEC. 751. SHORT TITLE.
This subtitle may be cited as the ``Support Anti-terrorism by
Fostering Effective Technologies Act of 2002'' or the ``SAFETY Act''.
SEC. 752. ADMINISTRATION.
(a) In General.--The Secretary shall be responsible for the
administration of this subtitle.
(b) Designation of Qualified Anti-Terrorism Technologies.--The
Secretary may designate anti-terrorism technologies that qualify for
protection under the system of risk management set forth in this
subtitle in accordance with criteria that shall include, but not be
limited to, the following:
(1) Prior United States government use or demonstrated
substantial utility and effectiveness.
(2) Availability of the technology for immediate deployment
in public and private settings.
(3) Existence of extraordinarily large or extraordinarily
unquantifiable potential third party liability risk exposure to
the Seller or other provider of such anti-terrorism technology.
(4) Substantial likelihood that such anti-terrorism
technology will not be deployed unless protections under the
system of risk management provided under this subtitle are
extended.
(5) Magnitude of risk exposure to the public if such anti-
terrorism technology is not deployed.
(6) Evaluation of all scientific studies that can be
feasibly conducted in order to assess the capability of the
technology to substantially reduce risks of harm.
(7) Anti-terrorism technology that would be effective in
facilitating the defense against acts of terrorism.
(c) Regulations.--The Secretary may issue such regulations, after
notice and comment in accordance with section 553 of title 5, United
States, Code, as may be necessary to carry out this subtitle.
SEC. 753. LITIGATION MANAGEMENT.
(a) Federal Cause of Action.--(1) There shall exist a Federal cause
of action for claims arising out of, relating to, or resulting from an
act of terrorism when qualified anti-terrorism technologies have been
deployed in defense against such act and such claims result or may
result in loss to the Seller. The substantive law for decision in any
such action shall be derived from the law, including choice of law
principles, of the State in which such acts of terrorism occurred,
unless such law is inconsistent with or preempted by Federal law.
(2) Such appropriate district court of the United States shall have
original and exclusive jurisdiction over all actions for any claim for
loss of property, personal injury, or death arising out of, relating
to, or resulting from an act of terrorism when qualified anti-terrorism
technologies have been deployed in defense against such act and such
claims result or may result in loss to the Seller.
(b) Special Rules.--In an action brought under this section for
damages the following provisions apply:
(1) No punitive damages intended to punish or deter,
exemplary damages, or other damages not intended to compensate
a plaintiff for actual losses may be awarded, nor shall any
party be liable for interest prior to the judgment.
(2)(A) Noneconomic damages may be awarded against a
defendant only in an amount directly proportional to the
percentage of responsibility of such defendant for the harm to
the plaintiff, and no plaintiff may recover noneconomic damages
unless the plaintiff suffered physical harm.
(B) For purposes of subparagraph (A), the term
``noneconomic damages'' means damages for losses for physical
and emotional pain, suffering, inconvenience, physical
impairment, mental anguish, disfigurement, loss of enjoyment of
life, loss of society and companionship, loss of consortium,
hedonic damages, injury to reputation, and any other
nonpecuniary losses.
(c) Collateral Sources.--Any recovery by a plaintiff in an action
under this section shall be reduced by the amount of collateral source
compensation, if any, that the plaintiff has received or is entitled to
receive as a result of such acts of terrorism that result or may result
in loss to the Seller.
(d) Government Contractor Defense.--(1) Should a product liability
or other lawsuit be filed for claims arising out of, relating to, or
resulting from an act of terrorism when qualified anti-terrorism
technologies approved by the Secretary, as provided in paragraphs (2)
and (3) of this subsection, have been deployed in defense against such
act and such claims result or may result in loss to the Seller, there
shall be a rebuttable presumption that the government contractor
defense applies in such lawsuit. This presumption shall only be
overcome by evidence showing that the Seller acted fraudulently or with
willful misconduct in submitting information to the Secretary during
the course of the Secretary's consideration of such technology under
this subsection. This presumption of the government contractor defense
shall apply regardless of whether the claim against the Seller arises
from a sale of the product to Federal Government or non-Federal
Government customers.
(2) The Secretary will be exclusively responsible for the review
and approval of anti-terrorism technology for purposes of establishing
a government contractor defense in any product liability lawsuit for
claims arising out of, relating to, or resulting from an act of
terrorism when qualified anti-terrorism technologies approved by the
Secretary, as provided in this paragraph and paragraph (3), have been
deployed in defense against such act and such claims result or may
result in loss to the Seller. Upon the Seller's submission to the
Secretary for approval of anti-terrorism technology, the Secretary will
conduct a comprehensive review of the design of such technology and
determine whether it will perform as intended, conforms to the Seller's
specifications, and is safe for use as intended. The Seller will
conduct safety and hazard analyses on such technology and will supply
the Secretary with all such information.
(3) For anti-terrorism technology reviewed and approved by the
Secretary, the Secretary will issue a certificate of conformance to the
Seller and place the anti-terrorism technology on an Approved Product
List for Homeland Security.
(e) Exclusion.--Nothing in this section shall in any way limit the
ability of any person to seek any form of recovery from any person,
government, or other entity that--
(1) attempts to commit, knowingly participates in, aids and
abets, or commits any act of terrorism, or any criminal act
related to or resulting from such act of terrorism; or
(2) participates in a conspiracy to commit any such act of
terrorism or any such criminal act.
SEC. 754. RISK MANAGEMENT.
(a) In General.--(1) Any person or entity that sells or otherwise
provides a qualified anti-terrorism technology to Federal and non-
Federal government customers (``Seller'') shall obtain liability
insurance of such types and in such amounts as shall be required in
accordance with this section and certified by the Secretary to satisfy
otherwise compensable third-party claims arising out of, relating to,
or resulting from an act of terrorism when qualified anti-terrorism
technologies have been deployed in defense against such act.
(2) For the total claims related to one such act of terrorism, the
Seller is not required to obtain liability insurance of more than the
maximum amount of liability insurance reasonably available from private
sources on the world market at prices and terms that will not
unreasonably distort the sales price of Seller's anti-terrorism
technologies.
(3) Liability insurance obtained pursuant to this subsection shall,
in addition to the Seller, protect the following, to the extent of
their potential liability for involvement in the manufacture,
qualification, sale, use, or operation of qualified anti-terrorism
technologies deployed in defense against an act of terrorism:
(A) contractors, subcontractors, suppliers, vendors and
customers of the Seller.
(B) contractors, subcontractors, suppliers, and vendors of
the customer.
(4) Such liability insurance under this section shall provide
coverage against third party claims arising out of, relating to, or
resulting from the sale or use of anti-terrorism technologies.
(b) Reciprocal Waiver of Claims.--The Seller shall enter into a
reciprocal waiver of claims with its contractors, subcontractors,
suppliers, vendors and customers, and contractors and subcontractors of
the customers, involved in the manufacture, sale, use or operation of
qualified anti-terrorism technologies, under which each party to the
waiver agrees to be responsible for losses, including business
interruption losses, that it sustains, or for losses sustained by its
own employees resulting from an activity resulting from an act of
terrorism when qualified anti-terrorism technologies have been deployed
in defense against such act.
(c) Extent of Liability.--Notwithstanding any other provision of
law, liability for all claims against a Seller arising out of, relating
to, or resulting from an act of terrorism when qualified anti-terrorism
technologies have been deployed in defense against such act and such
claims result or may result in loss to the Seller, whether for
compensatory or punitive damages or for contribution or indemnity,
shall not be in an amount greater than the limits of liability
insurance coverage required to be maintained by the Seller under this
section.
SEC. 755. DEFINITIONS.
For purposes of this subtitle, the following definitions apply:
(1) Qualified anti-terrorism technology.--For purposes of
this subtitle, the term ``qualified anti-terrorism technology''
means any product, equipment, service (including support
services), device, or technology (including information
technology) designed, developed, modified, or procured for the
specific purpose of preventing, detecting, identifying, or
deterring acts of terrorism or limiting the harm such acts
might otherwise cause, that is designated as such by the
Secretary.
(2) Act of terrorism.--(A) The term ``act of terrorism''
means any act that the Secretary determines meets the
requirements under subparagraph (B), as such requirements are
further defined and specified by the Secretary.
(B) Requirements.--An act meets the requirements of this
subparagraph if the act--
(i) is unlawful;
(ii) causes harm to a person, property, or entity,
in the United States, or in the case of a domestic
United States air carrier or a United States-flag
vessel (or a vessel based principally in the United
States on which United States income tax is paid and
whose insurance coverage is subject to regulation in
the United States), in or outside the United States;
and
(iii) uses or attempts to use instrumentalities,
weapons or other methods designed or intended to cause
mass destruction, injury or other loss to citizens or
institutions of the United States.
(3) Insurance carrier.--The term ``insurance carrier''
means any corporation, association, society, order, firm,
company, mutual, partnership, individual aggregation of
individuals, or any other legal entity that provides commercial
property and casualty insurance. Such term includes any
affiliates of a commercial insurance carrier.
(4) Liability insurance.--
(A) In general.--The term ``liability insurance''
means insurance for legal liabilities incurred by the
insured resulting from--
(i) loss of or damage to property of
others;
(ii) ensuing loss of income or extra
expense incurred because of loss of or damage
to property of others;
(iii) bodily injury (including) to persons
other than the insured or its employees; or
(iv) loss resulting from debt or default of
another.
(5) Loss.--The term ``loss'' means death, bodily injury, or
loss of or damage to property, including business interruption
loss.
(6) Non-federal government customers.--The term ``non-
Federal Government customers'' means any customer of a Seller
that is not an agency or instrumentality of the United States
Government with authority under Public Law 85-804 to provide
for indemnification under certain circumstances for third-party
claims against its contractors, including but not limited to
State and local authorities and commercial entities.
Subtitle G--Other Provisions
SEC. 761. ESTABLISHMENT OF HUMAN RESOURCES MANAGEMENT SYSTEM.
(a) Authority.--
(1) Sense of congress.--It is the sense of the Congress
that--
(A) it is extremely important that employees of the
Department be allowed to participate in a meaningful
way in the creation of any human resources management
system affecting them;
(B) such employees have the most direct knowledge
of the demands of their jobs and have a direct interest
in ensuring that their human resources management
system is conducive to achieving optimal operational
efficiencies;
(C) the 21st century human resources management
system envisioned for the Department should be one that
benefits from the input of its employees; and
(D) this collaborative effort will help secure our
homeland.
(2) In general.--Subpart I of part III of title 5, United
States Code, is amended by adding at the end the following:
``CHAPTER 97--DEPARTMENT OF HOMELAND SECURITY
``Sec.
``9701. Establishment of human resources management system.
``Sec. 9701. Establishment of human resources management system
``(a) In General.--Notwithstanding any other provision of this
title, the Secretary of Homeland Security may, in regulations
prescribed jointly with the Director of the Office of Personnel
Management, establish, and from time to time adjust, a human resources
management system for some or all of the organizational units of the
Department of Homeland Security.
``(b) System Requirements.--Any system established under subsection
(a) shall--
``(1) be flexible;
``(2) be contemporary;
``(3) not waive, modify, or otherwise affect--
``(A) the public employment principles of merit and
fitness set forth in section 2301, including the
principles of hiring based on merit, fair treatment
without regard to political affiliation or other non-
merit considerations, equal pay for equal work, and
protection of employees against reprisal for
whistleblowing;
``(B) any provision of section 2302, relating to
prohibited personnel practices;
``(C)(i) any provision of law referred to in
section 2302(b)(1); or
``(ii) any provision of law implementing any
provision of law referred to in section 2302(b)(1) by--
``(I) providing for equal employment
opportunity through affirmative action; or
``(II) providing any right or remedy
available to any employee or applicant for
employment in the civil service;
``(D) any other provision of this part (as
described in subsection (c)); or
``(E) any rule or regulation prescribed under any
provision of law referred to in any of the preceding
subparagraphs of this paragraph;
``(4) ensure that employees may organize, bargain
collectively, and participate through labor organizations of
their own choosing in decisions which affect them, subject to
any exclusion from coverage or limitation on negotiability
established by law; and
``(5) permit the use of a category rating system for
evaluating applicants for positions in the competitive service.
``(c) Other Nonwaivable Provisions.--The other provisions of this
part, as referred to in subsection (b)(3)(D), are (to the extent not
otherwise specified in subparagraph (A), (B), (C), or (D) of subsection
(b)(3))--
``(1) subparts A, B, E, G, and H of this part; and
``(2) chapters 41, 45, 47, 55, 57, 59, 72, 73, and 79, and
this chapter.
``(d) Limitations Relating to Pay.--Nothing in this section shall
constitute authority--
``(1) to modify the pay of any employee who serves in--
``(A) an Executive Schedule position under
subchapter II of chapter 53 of title 5, United States
Code; or
``(B) a position for which the rate of basic pay is
fixed in statute by reference to a section or level
under subchapter II of chapter 53 of such title 5;
``(2) to fix pay for any employee or position at an annual
rate greater than the maximum amount of cash compensation
allowable under section 5307 of such title 5 in a year; or
``(3) to exempt any employee from the application of such
section 5307.
``(e) Provisions To Ensure Collaboration With Employee
Representatives.--
``(1) In general.--In order to ensure that the authority of
this section is exercised in collaboration with, and in a
manner that ensures the direct participation of employee
representatives in the planning, development, and
implementation of any human resources management system or
adjustments under this section, the Secretary of Homeland
Security and the Director of the Office of Personnel Management
shall provide for the following:
``(A) Notice of proposal, etc.--The Secretary and
the Director shall, with respect to any proposed system
or adjustment--
``(i) provide to each employee
representative representing any employees who
might be affected, a written description of the
proposed system or adjustment (including the
reasons why it is considered necessary);
``(ii) give each representative at least 60
days (unless extraordinary circumstances
require earlier action) to review and make
recommendations with respect to the proposal;
and
``(iii) give any recommendations received
from any such representative under clause (ii)
full and fair consideration in deciding whether
or how to proceed with the proposal.
``(B) Pre-implementation requirements.--If the
Secretary and the Director decide to implement a
proposal described in subparagraph (A), they shall
before implementation--
``(i) give each employee representative
details of the decision to implement the
proposal, together with the information upon
which the decision was based;
``(ii) give each representative an
opportunity to make recommendations with
respect to the proposal; and
``(iii) give such recommendations full and
fair consideration, including the providing of
reasons to an employee representative if any of
its recommendations are rejected.
``(C) Continuing collaboration.--If a proposal
described in subparagraph (A) is implemented, the
Secretary and the Director shall--
``(i) develop a method for each employee
representative to participate in any further
planning or development which might become
necessary; and
``(ii) give each employee representative
adequate access to information to make that
participation productive.
``(2) Procedures.--Any procedures necessary to carry out
this subsection shall be established by the Secretary and the
Director jointly. Such procedures shall include measures to
ensure--
``(A) in the case of employees within a unit with
respect to which a labor organization is accorded
exclusive recognition, representation by individuals
designated or from among individuals nominated by such
organization;
``(B) in the case of any employees who are not
within such a unit, representation by any appropriate
organization which represents a substantial percentage
of those employees or, if none, in such other manner as
may be appropriate, consistent with the purposes of
this subsection; and
``(C) the selection of representatives in a manner
consistent with the relative numbers of employees
represented by the organizations or other
representatives involved.
``(f) Provisions Relating to Appellate Procedures.--
``(1) Sense of congress.--It is the sense of the Congress
that--
``(A) employees of the Department of Homeland
Security are entitled to fair treatment in any appeals
that they bring in decisions relating to their
employment; and
``(B) in prescribing regulations for any such
appeals procedures, the Secretary of Homeland Security
and the Director of the Office of Personnel
Management--
``(i) should ensure that employees of the
Department are afforded the protections of due
process; and
``(ii) toward that end, should be required
to consult with the Merit Systems Protection
Board before issuing any such regulations.
``(2) Requirements.--Any regulations under this section
which relate to any matters within the purview of chapter 77--
``(A) shall be issued only after consultation with
the Merit Systems Protection Board; and
``(B) shall ensure the availability of procedures
which shall--
``(i) be consistent with requirements of
due process; and
``(ii) provide, to the maximum extent
practicable, for the expeditious handling of
any matters involving the Department of
Homeland Security.
``(g) Sunset Provision.--Effective 5 years after the date of the
enactment of this section, all authority to issue regulations under
this section (including regulations which would modify, supersede, or
terminate any regulations previously issued under this section) shall
cease to be available.''.
(3) Clerical amendment.--The table of chapters for part III
of title 5, United States Code, is amended by adding at the end
the following:
``97. Department of Homeland Security....................... 9701''.
(b) Effect on Personnel.--
(1) Non-separation or non-reduction in grade or
compensation of full-time personnel and part-time personnel
holding permanent positions.--Except as otherwise provided in
this Act, the transfer pursuant to this Act of full-time
personnel (except special Government employees) and part-time
personnel holding permanent positions shall not cause any such
employee to be separated or reduced in grade or compensation
for one year after the date of transfer to the Department.
(2) Positions compensated in accordance with executive
schedule.--Any person who, on the day preceding such person's
date of transfer pursuant to this Act, held a position
compensated in accordance with the Executive Schedule
prescribed in chapter 53 of title 5, United States Code, and
who, without a break in service, is appointed in the Department
to a position having duties comparable to the duties performed
immediately preceding such appointment shall continue to be
compensated in such new position at not less than the rate
provided for such previous position, for the duration of the
service of such person in such new position.
(3) Coordination rule.--Any exercise of authority under
chapter 97 of title 5, United States Code (as amended by
subsection (a)), including under any system established under
such chapter, shall be in conformance with the requirements of
this subsection.
SEC. 762. LABOR-MANAGEMENT RELATIONS.
(a) Limitation on Exclusionary Authority.--
(1) In general.--No agency or subdivision of an agency
which is transferred to the Department pursuant to this Act
shall be excluded from the coverage of chapter 71 of title 5,
United States Code, as a result of any order issued under
section 7103(b)(1) of such title 5 after June 18, 2002,
unless--
(A) the mission and responsibilities of the agency
(or subdivision) materially change; and
(B) a majority of the employees within such agency
(or subdivision) have as their primary duty
intelligence, counterintelligence, or investigative
work directly related to terrorism investigation.
(2) Exclusions allowable.--Nothing in paragraph (1) shall
affect the effectiveness of any order to the extent that such
order excludes any portion of an agency or subdivision of an
agency as to which--
(A) recognition as an appropriate unit has never
been conferred for purposes of chapter 71 of such title
5; or
(B) any such recognition has been revoked or
otherwise terminated as a result of a determination
under subsection (b)(1).
(b) Provisions Relating to Bargaining Units.--
(1) Limitation relating to appropriate units.--Each unit
which is recognized as an appropriate unit for purposes of
chapter 71 of title 5, United States Code, as of the day before
the effective date of this Act (and any subdivision of any such
unit) shall, if such unit (or subdivision) is transferred to
the Department pursuant to this Act, continue to be so
recognized for such purposes, unless--
(A) the mission and responsibilities of such unit
(or subdivision) materially change; and
(B) a majority of the employees within such unit
(or subdivision) have as their primary duty
intelligence, counterintelligence, or investigative
work directly related to terrorism investigation.
(2) Limitation relating to positions or employees.--No
position or employee within a unit (or subdivision of a unit)
as to which continued recognition is given in accordance with
paragraph (1) shall be excluded from such unit (or
subdivision), for purposes of chapter 71 of such title 5,
unless the primary job duty of such position or employee--
(A) materially changes; and
(B) consists of intelligence, counterintelligence,
or investigative work directly related to terrorism
investigation.
In the case of any positions within a unit (or subdivision)
which are first established on or after the effective date of
this Act and any employees first appointed on or after such
date, the preceding sentence shall be applied disregarding
subparagraph (A).
(c) Homeland Security.--Subsections (a), (b), and (d) of this
section shall not apply in circumstances where the President determines
in writing that such application would have a substantial adverse
impact on the Department's ability to protect homeland security.
(d) Coordination Rule.--No other provision of this Act or of any
amendment made by this Act may be construed or applied in a manner so
as to limit, supersede, or otherwise affect the provisions of this
section, except to the extent that it does so by specific reference to
this section.
SEC. 763. ADVISORY COMMITTEES.
The Secretary may establish, appoint members of, and use the
services of, advisory committees, as the Secretary may deem necessary.
An advisory committee established under this section may be exempted by
the Secretary from Public Law 92-463, but the Secretary shall publish
notice in the Federal Register announcing the establishment of such a
committee and identifying its purpose and membership. Notwithstanding
the preceding sentence, members of an advisory committee that is
exempted by the Secretary under the preceding sentence who are special
Government employees (as that term is defined in section 202 of title
18, United States Code) shall be eligible for certifications under
subsection (b)(3) of section 208 of title 18, United States Code, for
official actions taken as a member of such advisory committee.
SEC. 764. REORGANIZATION; TRANSFER OF APPROPRIATIONS.
(a) Reorganization.--
(1) In general.--The Secretary may allocate or reallocate
functions among the officers of the Department, and may
establish, consolidate, alter, or discontinue organizational
units within the Department, but only--
(A) pursuant to section 802; or
(B) after the expiration of 60 days after providing
notice of such action to the appropriate congressional
committees, which shall include an explanation of the
rationale for the action.
(2) Limitations.--(A) Authority under paragraph (1)(A) does
not extend to the abolition of any agency, entity,
organizational unit, program, or function established or
required to be maintained by this Act.
(B) Authority under paragraph (1)(B) does not extend to the
abolition of any agency, entity, organizational unit, program,
or function established or required to be maintained by
statute.
(b) Transfer of Appropriations.--
(1) In general.--Except as otherwise specifically provided
by law, not to exceed two percent of any appropriation
available to the Secretary in any fiscal year may be
transferred between such appropriations, except that not less
than 15 days' notice shall be given to the Committees on
Appropriations of the Senate and House of Representatives
before any such transfer is made.
(2) Expiration of authority.--The authority under paragraph
(1) shall expire two years after the date of enactment of this
Act.
SEC. 765. MISCELLANEOUS AUTHORITIES.
(a) Seal.--The Department shall have a seal, whose design is
subject to the approval of the President.
(b) Gifts, Devises, and Bequests.--With respect to the Department,
the Secretary shall have the same authorities that the Attorney General
has with respect to the Department of Justice under section 524(d) of
title 28, United States Code.
(c) Participation of Members of the Armed Forces.--With respect to
the Department, the Secretary shall have the same authorities that the
Secretary of Transportation has with respect to the Department of
Transportation under section 324 of title 49, United States Code.
(d) Redelegation of Functions.--Unless otherwise provided in the
delegation or by law, any function delegated under this Act may be
redelegated to any subordinate.
SEC. 766. MILITARY ACTIVITIES.
Nothing in this Act shall confer upon the Secretary any authority
to engage in warfighting, the military defense of the United States, or
other military activities, nor shall anything in this Act limit the
existing authority of the Department of Defense or the Armed Forces to
engage in warfighting, the military defense of the United States, or
other military activities.
SEC. 767. REGULATORY AUTHORITY AND PREEMPTION.
(a) Regulatory Authority.--Except as otherwise provided in sections
305(c) and 752(c) of this Act, this Act vests no new regulatory
authority in the Secretary or any other Federal official, and transfers
to the Secretary or another Federal official only such regulatory
authority as exists on the date of enactment of this Act within any
agency, program, or function transferred to the Department pursuant to
this Act, or that on such date of enactment is exercised by another
official of the executive branch with respect to such agency, program,
or function. Any such transferred authority may not be exercised by an
official from whom it is transferred upon transfer of such agency,
program, or function to the Secretary or another Federal official
pursuant to this Act. This Act may not be construed as altering or
diminishing the regulatory authority of any other executive agency,
except to the extent that this Act transfers such authority from the
agency.
(b) Preemption of State or Local Law.--Except as otherwise provided
in this Act, this Act preempts no State or local law, except that any
authority to preempt State or local law vested in any Federal agency or
official transferred to the Department pursuant to this Act shall be
transferred to the Department effective on the date of the transfer to
the Department of that Federal agency or official.
SEC. 768. PROVISIONS REGARDING TRANSFERS FROM DEPARTMENT OF ENERGY.
(a) Separate Contracting.--To the extent that programs or
activities transferred by this Act from the Department of Energy to the
Department of Homeland Security are being carried out through contracts
with the operator of a national laboratory of the Department of Energy,
the Secretary of Homeland Security and the Secretary of Energy shall
ensure that contracts for such programs and activities between the
Department of Homeland Security and such operator are separate from the
contracts of the Department of Energy with such operator.
(b) Homeland Security Center.--(1) Notwithstanding section 307, the
Secretary, acting through the Under Secretary for Science and
Technology, shall establish at a national security laboratory of the
National Nuclear Security Administration, a center to serve as the
primary location for carrying out research, development, test, and
evaluation activities of the Department related to the goals described
in section 301(6)(A) and (B). The Secretary shall establish, in
concurrence with the Secretary of Energy, such additional centers at
one or more national laboratories of the Department of Energy as the
Secretary considers appropriate to serve as secondary locations for
carrying out such activities.
(2) Each center established under paragraph (1) shall be composed
of such facilities and assets as are required for the performance of
such activities. The particular facilities and assets shall be
designated and transferred by the Secretary of Energy with the
concurrence of the Secretary.
(c) Reimbursement of Costs.--In the case of an activity carried out
by the operator of a national laboratory of the Department of Energy
but under contract with the Department of Homeland Security, the
Department of Homeland Security shall reimburse the Department of
Energy for costs of such activity through a method under which the
Secretary of Energy waives any requirement for the Department of
Homeland Security to pay administrative charges or personnel costs of
the Department of Energy or its contractors in excess of the amount
that the Secretary of Energy pays for an activity carried out by such
contractor and paid for by the Department of Energy.
(d) Laboratory Directed Research and Development by the Department
of Energy.--No funds authorized to be appropriated or otherwise made
available to the Department in any fiscal year may be obligated or
expended for laboratory directed research and development activities
carried out by the Department of Energy unless such activities support
the mission of the Department described in section 101.
(e) Department of Energy Coordination on Homeland Security Related
Research.--The Secretary of Energy shall ensure that any research,
development, test, and evaluation activities conducted within the
Department of Energy that are directly or indirectly related to
homeland security are fully coordinated with the Secretary to minimize
duplication of effort and maximize the effective application of Federal
budget resources.
SEC. 769. COUNTERNARCOTICS OFFICER.
The Secretary shall appoint a senior official in the Department to
assume primary responsibility for coordinating policy and operations
within the Department and between the Department and other Federal
departments and agencies with respect to interdicting the entry of
illegal drugs into the United States, and tracking and severing
connections between illegal drug trafficking and terrorism. Such
official shall--
(1) ensure the adequacy of resources within the Department
for illicit drug interdiction; and
(2) serve as the United States Interdiction Coordinator for
the Director of National Drug Control Policy.
SEC. 770. OFFICE OF INTERNATIONAL AFFAIRS.
(a) Establishment.--There is established within the Office of the
Secretary an Office of International Affairs. The Office shall be
headed by a Director, who shall be a senior official appointed by the
Secretary.
(b) Duties of the Director.--The Director shall have the following
duties:
(1) To promote information and education exchange with
nations friendly to the United States in order to promote
sharing of best practices and technologies relating to homeland
security. Such information exchange shall include the
following:
(A) Joint research and development on
countermeasures.
(B) Joint training exercises of first responders.
(C) Exchange of expertise on terrorism prevention,
response, and crisis management.
(2) To identify areas for homeland security information and
training exchange where the United States has a demonstrated
weakness and another friendly nation or nations have a
demonstrated expertise.
(3) To plan and undertake international conferences,
exchange programs, and training activities.
(4) To manage international activities within the
Department in coordination with other Federal officials with
responsibility for counter-terrorism matters.
SEC. 771. PROHIBITION OF THE TERRORISM INFORMATION AND PREVENTION
SYSTEM.
Any and all activities of the Federal Government to implement the
proposed component program of the Citizen Corps known as Operation TIPS
(Terrorism Information and Prevention System) are hereby prohibited.
SEC. 772. REVIEW OF PAY AND BENEFIT PLANS.
Notwithstanding any other provision of this Act, the Secretary
shall, in consultation with the Director of the Office of Personnel
Management, review the pay and benefit plans of each agency whose
functions are transferred under this Act to the Department and, within
90 days after the date of enactment, submit a plan to the President of
the Senate and the Speaker of the House of Representatives and the
appropriate committees and subcommittees of the Congress, for ensuring,
to the maximum extent practicable, the elimination of disparities in
pay and benefits throughout the Department, especially among law
enforcement personnel, that are inconsistent with merit system
principles set forth in section 2301 of title 5, United States Code.
SEC. 773. ROLE OF THE DISTRICT OF COLUMBIA.
The Secretary (or the Secretary's designee) shall work in
cooperation with the Mayor of the District of Columbia (or the Mayor's
designee) for the purpose of integrating the District of Columbia into
the planning, coordination, and execution of the activities of the
Federal Government for the enhancement of domestic preparedness against
the consequences of terrorist attacks.
SEC. 774. TRANSFER OF THE FEDERAL LAW ENFORCEMENT TRAINING CENTER.
There shall be transferred to the Attorney General the functions,
personnel, assets, and liabilities of the Federal Law Enforcement
Training Center, including any functions of the Secretary of the
Treasury relating thereto.
SEC. 775. REQUIREMENT TO COMPLY WITH LAWS PROTECTING EQUAL EMPLOYMENT
OPPORTUNITY AND PROVIDING WHISTLEBLOWER PROTECTIONS.
Nothing in this Act shall be construed as exempting the Department
from requirements applicable with respect to executive agencies--
(1) to provide equal employment protection for employees of
the Department (including pursuant to the provisions in section
2302(b)(1) of title 5, United States Code, and the Notification
and Federal Employee Antidiscrimination and Retaliation Act of
2002 (Pub. L. 107-174)); or
(2) to provide whistleblower protections for employees of
the Department (including pursuant to the provisions in section
2302(b)(8) of such title and the Notification and Federal
Employee Antidiscrimination and Retaliation Act of 2002).
SEC. 776. FEDERAL LAW ENFORCMENT TRAINING CENTER.
(a) In General.--The transfer of an authority or an agency under
this Act to the Department of Homeland Security does not affect
training agreements already entered into with the Federal Law
Enforcement Training Center with respect to the training of personnel
to carry out that authority or the duties of that transferred agency.
(b) Continuity of Operations.--All activities of the Federal Law
Enforcement Training Center transferred to the Department of Justice
under this Act shall continue to be carried out at the locations such
activities were carried out before such transfer.
SEC. 777. OFFICE FOR STATE AND LOCAL GOVERNMENT COORDINATION.
(a) Establishment.--There is established within the Office of the
Secretary the Office for State and Local Government Coordination, to
oversee and coordinate departmental programs for and relationships with
State and local governments.
(b) Responsibilities.--The Office established under subsection (a)
shall--
(1) coordinate the activities of the Department relating to
State and local government;
(2) assess, and advocate for, the resources needed by State
and local government to implement the national strategy for
combating terrorism;
(3) provide State and local government with regular
information, research, and technical support to assist local
efforts at securing the homeland; and
(4) develop a process for receiving meaningful input from
State and local government to assist the development of the
national strategy for combating terrorism and other homeland
security activities.
SEC. 778. REPORTING REQUIREMENTS.
(a) Biennial Reports.--Every 2 years the Secretary shall submit to
Congress--
(1) a report assessing the resources and requirements of
executive agencies relating to border security and emergency
preparedness issues;
(2) a report certifying the preparedness of the United
States to prevent, protect against, and respond to natural
disasters, cyber attacks, and incidents involving weapons of
mass destruction; and
(3) a report assessing the emergency preparedness of each
State, including an assessment of each State's coordination
with the Department with respect to the responsibilities
specified in section 501.
(b) Additional Report.--Not later than 1 year after the effective
date of this Act, the Secretary shall submit to Congress a report--
(1) assessing the progress of the Department in--
(A) implementing this Act; and
(B) ensuring the core functions of each entity
transferred to the Department are maintained and
strengthened; and
(2) recommending any conforming changes in law necessary as
a result of the enactment and implementation of this Act.
SEC. 779. JOINT INTERAGENCY TASK FORCE.
(a) Establishment..--The Secretary may establish and operate a
permanent Joint Interagency Homeland Security Task Force composed of
representatives from military and civilian agencies of the United
States Government for the purposes of anticipating terrorist threats
against the United States and taking appropriate actions to prevent
harm to the United States.
(b) Structure.--It is the sense of Congress that the Secretary
should model the Joint Interagency Homeland Security Task Force on the
approach taken by the Joint Interagency Task Forces for drug
interdiction at Key West, Florida and Alameda, California, to the
maximum extent feasible and appropriate.
SEC. 780. SENSE OF CONGRESS REAFFIRMING THE CONTINUED IMPORTANCE AND
APPLICABILITY OF THE POSSE COMITATUS ACT.
(a) Findings.--The Congress finds the following:
(1) Section 1385 of title 18, United States Code (commonly
known as the ``Posse Comitatus Act''), prohibits the use of the
Armed Forces as a posse comitatus to execute the laws except in
cases and under circumstances expressly authorized by the
Constitution or Act of Congress.
(2) Enacted in 1878, the Posse Comitatus Act was expressly
intended to prevent United States Marshals, on their own
initiative, from calling on the Army for assistance in
enforcing Federal law.
(3) The Posse Comitatus Act has served the Nation well in
limiting the use of the Armed Forces to enforce the law.
(4) Nevertheless, by its express terms, the Posse Comitatus
Act is not a complete barrier to the use of the Armed Forces
for a range of domestic purposes, including law enforcement
functions, when the use of the Armed Forces is authorized by
Act of Congress or the President determines that the use of the
Armed Forces is required to fulfill the President's obligations
under the Constitution to respond promptly in time of war,
insurrection, or other serious emergency.
(5) Existing laws, including chapter 15 of title 10, United
States Code (commonly known as the ``Insurrection Act''), and
the Robert T. Stafford Disaster Relief and Emergency Assistance
Act (42 U.S.C. 5121 et seq.), grant the President broad powers
that may be invoked in the event of domestic emergencies,
including an attack against the Nation using weapons of mass
destruction, and these laws specifically authorize the
President to use the Armed Forces to help restore public order.
(b) Sense of Congress.--The Congress reaffirms the continued
importance of section 1385 of title 18, United States Code, and it is
the sense of the Congress that nothing in this Act should be construed
to alter the applicability of such section to any use of the Armed
Forces as a posse comitatus to execute the laws.
SEC. 781. AIR TRANSPORTATION SAFETY AND SYSTEM STABILIZATION ACT
AMENDMENTS.
The Air Transportation Safety and System Stabilization Act (49
U.S.C. 40101 note) is amended--
(1) in section 408 by striking the last sentence of
subsection (c); and
(2) in section 402 by striking paragraph (1) and inserting
the following:
``(1) Air carrier.--The term `air carrier' means a citizen
of the United States undertaking by any means, directly or
indirectly, to provide air transportation and includes
employees and agents (including persons engaged in the business
of providing air transportation security and their affiliates)
of such citizen. For purposes of the preceding sentence, the
term `agent', as applied to persons engaged in the business of
providing air transportation security, shall only include
persons that have contracted directly with the Federal Aviation
Administration on or after February 17, 2002, to provide such
security, or are not debarred.''.
Subtitle H--Information Sharing
SEC. 790. SHORT TITLE.
This subtitle may be cited as the ``Homeland Security Information
Sharing Act''.
SEC. 791. FINDINGS AND SENSE OF CONGRESS.
(a) Findings.--The Congress finds the following:
(1) The Federal Government is required by the Constitution
to provide for the common defense, which includes terrorist
attack.
(2) The Federal Government relies on State and local
personnel to protect against terrorist attack.
(3) The Federal Government collects, creates, manages, and
protects classified and sensitive but unclassified information
to enhance homeland security.
(4) Some homeland security information is needed by the
State and local personnel to prevent and prepare for terrorist
attack.
(5) The needs of State and local personnel to have access
to relevant homeland security information to combat terrorism
must be reconciled with the need to preserve the protected
status of such information and to protect the sources and
methods used to acquire such information.
(6) Granting security clearances to certain State and local
personnel is one way to facilitate the sharing of information
regarding specific terrorist threats among Federal, State, and
local levels of government.
(7) Methods exist to declassify, redact, or otherwise adapt
classified information so it may be shared with State and local
personnel without the need for granting additional security
clearances.
(8) State and local personnel have capabilities and
opportunities to gather information on suspicious activities
and terrorist threats not possessed by Federal agencies.
(9) The Federal Government and State and local governments
and agencies in other jurisdictions may benefit from such
information.
(10) Federal, State, and local governments and
intelligence, law enforcement, and other emergency preparation
and response agencies must act in partnership to maximize the
benefits of information gathering and analysis to prevent and
respond to terrorist attacks.
(11) Information systems, including the National Law
Enforcement Telecommunications System and the Terrorist Threat
Warning System, have been established for rapid sharing of
classified and sensitive but unclassified information among
Federal, State, and local entities.
(12) Increased efforts to share homeland security
information should avoid duplicating existing information
systems.
(b) Sense of Congress.--It is the sense of Congress that Federal,
State, and local entities should share homeland security information to
the maximum extent practicable, with special emphasis on hard-to-reach
urban and rural communities.
SEC. 792. FACILITATING HOMELAND SECURITY INFORMATION SHARING
PROCEDURES.
(a) Procedures for Determining Extent of Sharing of Homeland
Security Information.--
(1) The President shall prescribe and implement procedures
under which relevant Federal agencies--
(A) share relevant and appropriate homeland
security information with other Federal agencies,
including the Department, and appropriate State and
local personnel;
(B) identify and safeguard homeland security
information that is sensitive but unclassified; and
(C) to the extent such information is in classified
form, determine whether, how, and to what extent to
remove classified information, as appropriate, and with
which such personnel it may be shared after such
information is removed.
(2) The President shall ensure that such procedures apply
to all agencies of the Federal Government.
(3) Such procedures shall not change the substantive
requirements for the classification and safeguarding of
classified information.
(4) Such procedures shall not change the requirements and
authorities to protect sources and methods.
(b) Procedures for Sharing of Homeland Security Information.--
(1) Under procedures prescribed by the President, all
appropriate agencies, including the intelligence community,
shall, through information sharing systems, share homeland
security information with Federal agencies and appropriate
State and local personnel to the extent such information may be
shared, as determined in accordance with subsection (a),
together with assessments of the credibility of such
information.
(2) Each information sharing system through which
information is shared under paragraph (1) shall--
(A) have the capability to transmit unclassified or
classified information, though the procedures and
recipients for each capability may differ;
(B) have the capability to restrict delivery of
information to specified subgroups by geographic
location, type of organization, position of a recipient
within an organization, or a recipient's need to know
such information;
(C) be configured to allow the efficient and
effective sharing of information; and
(D) be accessible to appropriate State and local
personnel.
(3) The procedures prescribed under paragraph (1) shall
establish conditions on the use of information shared under
paragraph (1)--
(A) to limit the redissemination of such
information to ensure that such information is not used
for an unauthorized purpose;
(B) to ensure the security and confidentiality of
such information;
(C) to protect the constitutional and statutory
rights of any individuals who are subjects of such
information; and
(D) to provide data integrity through the timely
removal and destruction of obsolete or erroneous names
and information.
(4) The procedures prescribed under paragraph (1) shall
ensure, to the greatest extent practicable, that the
information sharing system through which information is shared
under such paragraph include existing information sharing
systems, including, but not limited to, the National Law
Enforcement Telecommunications System, the Regional Information
Sharing System, and the Terrorist Threat Warning System of the
Federal Bureau of Investigation.
(5) Each appropriate Federal agency, as determined by the
President, shall have access to each information sharing system
through which information is shared under paragraph (1), and
shall therefore have access to all information, as appropriate,
shared under such paragraph.
(6) The procedures prescribed under paragraph (1) shall
ensure that appropriate State and local personnel are
authorized to use such information sharing systems--
(A) to access information shared with such
personnel; and
(B) to share, with others who have access to such
information sharing systems, the homeland security
information of their own jurisdictions, which shall be
marked appropriately as pertaining to potential
terrorist activity.
(7) Under procedures prescribed jointly by the Director of
Central Intelligence and the Attorney General, each appropriate
Federal agency, as determined by the President, shall review
and assess the information shared under paragraph (6) and
integrate such information with existing intelligence.
(c) Sharing of Classified Information and Sensitive but
Unclassified Information With State and Local Personnel.--
(1) The President shall prescribe procedures under which
Federal agencies may, to the extent the President considers
necessary, share with appropriate State and local personnel
homeland security information that remains classified or
otherwise protected after the determinations prescribed under
the procedures set forth in subsection (a).
(2) It is the sense of Congress that such procedures may
include one or more of the following means:
(A) Carrying out security clearance investigations
with respect to appropriate State and local personnel.
(B) With respect to information that is sensitive
but unclassified, entering into nondisclosure
agreements with appropriate State and local personnel.
(C) Increased use of information-sharing
partnerships that include appropriate State and local
personnel, such as the Joint Terrorism Task Forces of
the Federal Bureau of Investigation, the Anti-Terrorism
Task Forces of the Department of Justice, and regional
Terrorism Early Warning Groups.
(d) Responsible Officials.--For each affected Federal agency, the
head of such agency shall designate an official to administer this Act
with respect to such agency.
(e) Federal Control of Information.--Under procedures prescribed
under this section, information obtained by a State or local government
from a Federal agency under this section shall remain under the control
of the Federal agency, and a State or local law authorizing or
requiring such a government to disclose information shall not apply to
such information.
(f) Definitions.--As used in this section:
(1) The term ``homeland security information'' means any
information possessed by a Federal, State, or local agency
that--
(A) relates to the threat of terrorist activity;
(B) relates to the ability to prevent, interdict,
or disrupt terrorist activity;
(C) would improve the identification or
investigation of a suspected terrorist or terrorist
organization; or
(D) would improve the response to a terrorist act.
(2) The term ``intelligence community'' has the meaning
given such term in section 3(4) of the National Security Act of
1947 (50 U.S.C. 401a(4)).
(3) The term ``State and local personnel'' means any of the
following persons involved in prevention, preparation, or
response for terrorist attack:
(A) State Governors, mayors, and other locally
elected officials.
(B) State and local law enforcement personnel and
firefighters.
(C) Public health and medical professionals.
(D) Regional, State, and local emergency management
agency personnel, including State adjutant generals.
(E) Other appropriate emergency response agency
personnel.
(F) Employees of private-sector entities that
affect critical infrastructure, cyber, economic, or
public health security, as designated by the Federal
government in procedures developed pursuant to this
section.
(4) The term ``State'' includes the District of Columbia
and any commonwealth, territory, or possession of the United
States.
(g) Construction.--Nothing in this Act shall be construed as
authorizing any department, bureau, agency, officer, or employee of the
Federal Government to request, receive, or transmit to any other
Government entity or personnel, or transmit to any State or local
entity or personnel otherwise authorized by this Act to receive
homeland security information, any information collected by the Federal
Government solely for statistical purposes in violation of any other
provision of law relating to the confidentiality of such information.
SEC. 793. REPORT.
(a) Report Required.--Not later than 12 months after the date of
the enactment of this Act, the President shall submit to the
congressional committees specified in subsection (b) a report on the
implementation of section 792. The report shall include any
recommendations for additional measures or appropriation requests,
beyond the requirements of section 792, to increase the effectiveness
of sharing of information between and among Federal, State, and local
entities.
(b) Specified Congressional Committees.--The congressional
committees referred to in subsection (a) are the following committees:
(1) The Permanent Select Committee on Intelligence and the
Committee on the Judiciary of the House of Representatives.
(2) The Select Committee on Intelligence and the Committee
on the Judiciary of the Senate.
SEC. 794. AUTHORIZATION OF APPROPRIATIONS.
There are authorized to be appropriated such sums as may be
necessary to carry out section 792.
SEC. 795. AUTHORITY TO SHARE GRAND JURY INFORMATION.
Rule 6(e) of the Federal Rules of Criminal Procedure is amended--
(1) in paragraph (2), by inserting ``, or of guidelines
jointly issued by the Attorney General and Director of Central
Intelligence pursuant to Rule 6,'' after ``Rule 6''; and
(2) in paragraph (3)--
(A) in subparagraph (A)(ii), by inserting ``or of a
foreign government'' after ``(including personnel of a
state or subdivision of a state'';
(B) in subparagraph (C)(i)--
(i) in subclause (I), by inserting before
the semicolon the following: ``or, upon a
request by an attorney for the government, when
sought by a foreign court or prosecutor for use
in an official criminal investigation'';
(ii) in subclause (IV)--
(I) by inserting ``or foreign''
after ``may disclose a violation of
State'';
(II) by inserting ``or of a foreign
government'' after ``to an appropriate
official of a State or subdivision of a
State''; and
(III) by striking ``or'' at the
end;
(iii) by striking the period at the end of
subclause (V) and inserting ``; or''; and
(iv) by adding at the end the following:
``(VI) when matters involve a threat of
actual or potential attack or other grave
hostile acts of a foreign power or an agent of
a foreign power, domestic or international
sabotage, domestic or international terrorism,
or clandestine intelligence gathering
activities by an intelligence service or
network of a foreign power or by an agent of a
foreign power, within the United States or
elsewhere, to any appropriate federal, state,
local, or foreign government official for the
purpose of preventing or responding to such a
threat.''; and
(C) in subparagraph (C)(iii)--
(i) by striking ``Federal'';
(ii) by inserting ``or clause (i)(VI)''
after ``clause (i)(V)''; and
(iii) by adding at the end the following:
``Any state, local, or foreign official who
receives information pursuant to clause (i)(VI)
shall use that information only consistent with
such guidelines as the Attorney General and
Director of Central Intelligence shall jointly
issue.''.
SEC. 796. AUTHORITY TO SHARE ELECTRONIC, WIRE, AND ORAL INTERCEPTION
INFORMATION.
Section 2517 of title 18, United States Code, is amended by adding
at the end the following:
``(7) Any investigative or law enforcement officer, or other
Federal official in carrying out official duties as such Federal
official, who by any means authorized by this chapter, has obtained
knowledge of the contents of any wire, oral, or electronic
communication, or evidence derived therefrom, may disclose such
contents or derivative evidence to a foreign investigative or law
enforcement officer to the extent that such disclosure is appropriate
to the proper performance of the official duties of the officer making
or receiving the disclosure, and foreign investigative or law
enforcement officers may use or disclose such contents or derivative
evidence to the extent such use or disclosure is appropriate to the
proper performance of their official duties.
``(8) Any investigative or law enforcement officer, or other
Federal official in carrying out official duties as such Federal
official, who by any means authorized by this chapter, has obtained
knowledge of the contents of any wire, oral, or electronic
communication, or evidence derived therefrom, may disclose such
contents or derivative evidence to any appropriate Federal, State,
local, or foreign government official to the extent that such contents
or derivative evidence reveals a threat of actual or potential attack
or other grave hostile acts of a foreign power or an agent of a foreign
power, domestic or international sabotage, domestic or international
terrorism, or clandestine intelligence gathering activities by an
intelligence service or network of a foreign power or by an agent of a
foreign power, within the United States or elsewhere, for the purpose
of preventing or responding to such a threat. Any official who receives
information pursuant to this provision may use that information only as
necessary in the conduct of that person's official duties subject to
any limitations on the unauthorized disclosure of such information, and
any State, local, or foreign official who receives information pursuant
to this provision may use that information only consistent with such
guidelines as the Attorney General and Director of Central Intelligence
shall jointly issue.''.
SEC. 797. FOREIGN INTELLIGENCE INFORMATION.
(a) Dissemination Authorized.--Section 203(d)(1) of the Uniting and
Strengthening America by Providing Appropriate Tools Required to
Intercept and Obstruct Terrorism Act (USA PATRIOT ACT) of 2001 (Public
Law 107-56; 50 U.S.C. 403-5d) is amended by adding at the end the
following: ``Consistent with the responsibility of the Director of
Central Intelligence to protect intelligence sources and methods, and
the responsibility of the Attorney General to protect sensitive law
enforcement information, it shall be lawful for information revealing a
threat of actual or potential attack or other grave hostile acts of a
foreign power or an agent of a foreign power, domestic or international
sabotage, domestic or international terrorism, or clandestine
intelligence gathering activities by an intelligence service or network
of a foreign power or by an agent of a foreign power, within the United
States or elsewhere, obtained as part of a criminal investigation to be
disclosed to any appropriate Federal, State, local, or foreign
government official for the purpose of preventing or responding to such
a threat. Any official who receives information pursuant to this
provision may use that information only as necessary in the conduct of
that person's official duties subject to any limitations on the
unauthorized disclosure of such information, and any State, local, or
foreign official who receives information pursuant to this provision
may use that information only consistent with such guidelines as the
Attorney General and Director of Central Intelligence shall jointly
issue.''.
(b) Conforming Amendments.--Section 203(c) of that Act is amended--
(1) by striking ``section 2517(6)'' and inserting
``paragraphs (6) and (8) of section 2517 of title 18, United
States Code,''; and
(2) by inserting ``and (VI)'' after ``Rule
6(e)(3)(C)(i)(V)''.
SEC. 798. INFORMATION ACQUIRED FROM AN ELECTRONIC SURVEILLANCE.
Section 106(k)(1) of the Foreign Intelligence Surveillance Act of
1978 (50 U.S.C. 1806) is amended by inserting after ``law enforcement
officers'' the following: ``or law enforcement personnel of a State or
political subdivision of a State (including the chief executive officer
of that State or political subdivision who has the authority to appoint
or direct the chief law enforcement officer of that State or political
subdivision)''.
SEC. 799. INFORMATION ACQUIRED FROM A PHYSICAL SEARCH.
Section 305(k)(1) of the Foreign Intelligence Surveillance Act of
1978 (50 U.S.C. 1825) is amended by inserting after ``law enforcement
officers'' the following: ``or law enforcement personnel of a State or
political subdivision of a State (including the chief executive officer
of that State or political subdivision who has the authority to appoint
or direct the chief law enforcement officer of that State or political
subdivision)''.
TITLE VIII--TRANSITION
Subtitle A--Reorganization Plan
SEC. 801. DEFINITIONS.
For purposes of this title:
(1) The term ``agency'' includes any entity, organizational
unit, program, or function.
(2) The term ``transition period'' means the 12-month
period beginning on the effective date of this Act.
SEC. 802. REORGANIZATION PLAN.
(a) Submission of Plan.--Not later than 60 days after the date of
the enactment of this Act, the President shall transmit to the
appropriate congressional committees a reorganization plan regarding
the following:
(1) The transfer of agencies, personnel, assets, and
obligations to the Department pursuant to this Act.
(2) Any consolidation, reorganization, or streamlining of
agencies transferred to the Department pursuant to this Act.
(b) Plan Elements.--The plan transmitted under subsection (a) shall
contain, consistent with this Act, such elements as the President deems
appropriate, including the following:
(1) Identification of any functions of agencies transferred
to the Department pursuant to this Act that will not be
transferred to the Department under the plan.
(2) Specification of the steps to be taken by the Secretary
to organize the Department, including the delegation or
assignment of functions transferred to the Department among
officers of the Department in order to permit the Department to
carry out the functions transferred under the plan.
(3) Specification of the funds available to each agency
that will be transferred to the Department as a result of
transfers under the plan.
(4) Specification of the proposed allocations within the
Department of unexpended funds transferred in connection with
transfers under the plan.
(5) Specification of any proposed disposition of property,
facilities, contracts, records, and other assets and
obligations of agencies transferred under the plan.
(6) Specification of the proposed allocations within the
Department of the functions of the agencies and subdivisions
that are not related directly to securing the homeland.
(c) Modification of Plan.--The President may, on the basis of
consultations with the appropriate congressional committees, modify or
revise any part of the plan until that part of the plan becomes
effective in accordance with subsection (d).
(d) Effective Date.--
(1) In general.--The reorganization plan described in this
section, including any modifications or revisions of the plan
under subsection (d), shall become effective for an agency on
the earlier of--
(A) the date specified in the plan (or the plan as
modified pursuant to subsection (d)), except that such
date may not be earlier than 90 days after the date the
President has transmitted the reorganization plan to
the appropriate congressional committees pursuant to
subsection (a); or
(B) the end of the transition period.
(2) Statutory construction.--Nothing in this subsection may
be construed to require the transfer of functions, personnel,
records, balances of appropriations, or other assets of an
agency on a single date.
(3) Supersedes existing law.--Paragraph (1) shall apply
notwithstanding section 905(b) of title 5, United States Code.
Subtitle B--Transitional Provisions
SEC. 811. TRANSITIONAL AUTHORITIES.
(a) Provision of Assistance by Officials.--Until the transfer of an
agency to the Department, any official having authority over or
functions relating to the agency immediately before the effective date
of this Act shall provide to the Secretary such assistance, including
the use of personnel and assets, as the Secretary may request in
preparing for the transfer and integration of the agency into the
Department.
(b) Services and Personnel.--During the transition period, upon the
request of the Secretary, the head of any executive agency may, on a
reimbursable basis, provide services or detail personnel to assist with
the transition.
(c) Transfer of Funds.--Until the transfer of an agency to the
Department, the President is authorized to transfer to the Secretary to
fund the purposes authorized in this Act--
(1) for administrative expenses related to the
establishment of the Department of Homeland Security, not to
exceed two percent of the unobligated balance of any
appropriation enacted prior to October 1, 2002, available to
such agency; and
(2) for purposes for which the funds were appropriated, not
to exceed three percent of the unobligated balance of any
appropriation available to such agency;
except that not less than 15 days' notice shall be given to the
Committees on Appropriations of the House of Representatives and the
Senate before any such funds transfer is made.
(d) Acting Officials.--(1) During the transition period, pending
the advice and consent of the Senate to the appointment of an officer
required by this Act to be appointed by and with such advice and
consent, the President may designate any officer whose appointment was
required to be made by and with such advice and consent and who was
such an officer immediately before the effective date of this Act (and
who continues in office) or immediately before such designation, to act
in such office until the same is filled as provided in this Act. While
so acting, such officers shall receive compensation at the higher of--
(A) the rates provided by this Act for the respective
offices in which they act; or
(B) the rates provided for the offices held at the time of
designation.
(2) Nothing in this Act shall be understood to require the advice
and consent of the Senate to the appointment by the President to a
position in the Department of any officer whose agency is transferred
to the Department pursuant to this Act and whose duties following such
transfer are germane to those performed before such transfer.
(e) Transfer of Personnel, Assets, Obligations, and Functions.--
Upon the transfer of an agency to the Department--
(1) the personnel, assets, and obligations held by or
available in connection with the agency shall be transferred to
the Secretary for appropriate allocation, subject to the
approval of the Director of the Office of Management and Budget
and in accordance with the provisions of section 1531(a)(2) of
title 31, United States Code; and
(2) the Secretary shall have all functions relating to the
agency that any other official could by law exercise in
relation to the agency immediately before such transfer, and
shall have in addition all functions vested in the Secretary by
this Act or other law.
Paragraph (1) shall not apply to appropriations transferred pursuant to
section 763(b).
(f) Prohibition on Use of Transportation Trust Funds.--
(1) In general.--Notwithstanding any other provision of
this Act, no funds derived from the Highway Trust Fund, Airport
and Airway Trust Fund, Inland Waterway Trust Fund, or Harbor
Maintenance Trust Fund, may be transferred to, made available
to, or obligated by the Secretary or any other official in the
Department.
(2) Limitation.--This subsection shall not apply to
security-related funds provided to the Federal Aviation
Administration for fiscal years preceding fiscal year 2003 for
(A) operations, (B) facilities and equipment, or (C) research,
engineering, and development.
SEC. 812. SAVINGS PROVISIONS.
(a) Completed Administrative Actions.--(1) Completed administrative
actions of an agency shall not be affected by the enactment of this Act
or the transfer of such agency to the Department, but shall continue in
effect according to their terms until amended, modified, superseded,
terminated, set aside, or revoked in accordance with law by an officer
of the United States or a court of competent jurisdiction, or by
operation of law.
(2) For purposes of paragraph (1), the term ``completed
administrative action'' includes orders, determinations, rules,
regulations, personnel actions, permits, agreements, grants, contracts,
certificates, licenses, registrations, and privileges.
(b) Pending Proceedings.--Subject to the authority of the Secretary
under this Act--
(1) pending proceedings in an agency, including notices of
proposed rulemaking, and applications for licenses, permits,
certificates, grants, and financial assistance, shall continue
notwithstanding the enactment of this Act or the transfer of
the agency to the Department, unless discontinued or modified
under the same terms and conditions and to the same extent that
such discontinuance could have occurred if such enactment or
transfer had not occurred; and
(2) orders issued in such proceedings, and appeals
therefrom, and payments made pursuant to such orders, shall
issue in the same manner and on the same terms as if this Act
had not been enacted or the agency had not been transferred,
and any such orders shall continue in effect until amended,
modified, superseded, terminated, set aside, or revoked by an
officer of the United States or a court of competent
jurisdiction, or by operation of law.
(c) Pending Civil Actions.--Subject to the authority of the
Secretary under this Act, pending civil actions shall continue
notwithstanding the enactment of this Act or the transfer of an agency
to the Department, and in such civil actions, proceedings shall be had,
appeals taken, and judgments rendered and enforced in the same manner
and with the same effect as if such enactment or transfer had not
occurred.
(d) References.--References relating to an agency that is
transferred to the Department in statutes, Executive orders, rules,
regulations, directives, or delegations of authority that precede such
transfer or the effective date of this Act shall be deemed to refer, as
appropriate, to the Department, to its officers, employees, or agents,
or to its corresponding organizational units or functions. Statutory
reporting requirements that applied in relation to such an agency
immediately before the effective date of this Act shall continue to
apply following such transfer if they refer to the agency by name.
(e) Employment Provisions.--(1) Notwithstanding the generality of
the foregoing (including subsections (a) and (d)), in and for the
Department the Secretary may, in regulations prescribed jointly with
the Director of the Office of Personnel Management, adopt the rules,
procedures, terms, and conditions, established by statute, rule, or
regulation before the effective date of this Act, relating to
employment in any agency transferred to the Department pursuant to this
Act; and
(2) except as otherwise provided in this Act, or under authority
granted by this Act, the transfer pursuant to this Act of personnel
shall not alter the terms and conditions of employment, including
compensation, of any employee so transferred.
SEC. 813. TERMINATIONS.
Except as otherwise provided in this Act, whenever all the
functions vested by law in any agency have been transferred pursuant to
this Act, each position and office the incumbent of which was
authorized to receive compensation at the rates prescribed for an
office or position at level II, III, IV, or V, of the Executive
Schedule, shall terminate.
SEC. 814. NATIONAL IDENTIFICATION SYSTEM NOT AUTHORIZED.
Nothing in this Act shall be construed to authorize the development
of a national identification system or card.
SEC. 815. CONTINUITY OF INSPECTOR GENERAL OVERSIGHT.
Notwithstanding the transfer of an agency to the Department
pursuant to this Act, the Inspector General that exercised oversight of
such agency prior to such transfer shall continue to exercise oversight
of such agency during the period of time, if any, between the transfer
of such agency to the Department pursuant to this Act and the
appointment of the Inspector General of the Department of Homeland
Security in accordance with section 103(b) of this Act.
SEC. 816. REFERENCE.
With respect to any function transferred by or under this Act
(including under a reorganization plan that becomes effective under
section 802) and exercised on or after the effective date of this Act,
reference in any other Federal law to any department, commission, or
agency or any officer or office the functions of which are so
transferred shall be deemed to refer to the Secretary, other official,
or component of the Department to which such function is so
transferred.
TITLE IX--CONFORMING AND TECHNICAL AMENDMENTS
SEC. 901. INSPECTOR GENERAL ACT OF 1978.
Section 11 of the Inspector General Act of 1978 (Public Law 95-452)
is amended--
(1) by inserting ``Homeland Security,'' after
``Transportation,'' each place it appears; and
(2) by striking ``; and'' each place it appears in
paragraph (1) and inserting ``;'';
SEC. 902. EXECUTIVE SCHEDULE.
(a) In General.--Title 5, United States Code, is amended--
(1) in section 5312, by inserting ``Secretary of Homeland
Security.'' as a new item after ``Affairs.'';
(2) in section 5313, by inserting ``Deputy Secretary of
Homeland Security.'' as a new item after ``Affairs.'';
(3) in section 5314, by inserting ``Under Secretaries,
Department of Homeland Security.'' as a new item after
``Affairs.'' the third place it appears;
(4) in section 5315, by inserting ``Assistant Secretaries,
Department of Homeland Security.'', ``General Counsel,
Department of Homeland Security.'', ``Chief Financial Officer,
Department of Homeland Security.'', ``Chief Information
Officer, Department of Homeland Security.'', and ``Inspector
General, Department of Homeland Security.'' as new items after
``Affairs.'' the first place it appears; and
(5) in section 5315, by striking ``Commissioner of
Immigration and Naturalization, Department of Justice.''.
(b) Special Effective Date.--Notwithstanding section 4, the
amendment made by subsection (a)(5) shall take effect on the date on
which the transfer of functions specified under section 411 takes
effect.
SEC. 903. UNITED STATES SECRET SERVICE.
(a) In General.--(1) The United States Code is amended in section
202 of title 3, and in section 3056 of title 18, by striking ``of the
Treasury'', each place it appears and inserting ``of Homeland
Security''.
(2) Section 208 of title 3, United States Code, is amended by
striking ``of Treasury'' each place it appears and inserting ``of
Homeland Security''.
(b) Effective Date.--The amendments made by this section shall take
effect on the date of transfer of the United States Secret Service to
the Department.
SEC. 904. COAST GUARD.
(a) Title 14, U.S.C.--Title 14, United States Code, is amended in
sections 1, 3, 53, 95, 145, 516, 666, 669, 673, 673a (as redesignated
by subsection (e)(1)), 674, 687, and 688 by striking ``of
Transportation'' each place it appears and inserting ``of Homeland
Security''.
(b) Title 10, U.S.C.--(1) Title 10, United States Code, is amended
in sections 101(9), 130b(a), 130b(c)(4), 130c(h)(1), 379, 513(d),
575(b)(2), 580(e)(6), 580a(e), 651(a), 671(c)(2), 708(a), 716(a), 717,
806(d)(2), 815(e), 888, 946(c)(1), 973(d), 978(d), 983(b)(1), 985(a),
1033(b)(1), 1033(d), 1034, 1037(c), 1044d(f), 1058(c), 1059(a),
1059(k)(1), 1073(a), 1074(c)(1), 1089(g)(2), 1090, 1091(a), 1124, 1143,
1143a(h), 1144, 1145(e), 1148, 1149, 1150(c), 1152(a), 1152(d)(1),
1153, 1175, 1212(a), 1408(h)(2), 1408(h)(8), 1463(a)(2), 1482a(b),
1510, 1552(a)(1), 1565(f), 1588(f)(4), 1589, 2002(a), 2302(1),
2306b(b), 2323(j)(2), 2376(2), 2396(b)(1), 2410a(a), 2572(a), 2575(a),
2578, 2601(b)(4), 2634(e), 2635(a), 2734(g), 2734a, 2775, 2830(b)(2),
2835, 2836, 4745(a), 5013a(a), 7361(b), 10143(b)(2), 10146(a),
10147(a), 10149(b), 10150, 10202(b), 10203(d), 10205(b), 10301(b),
12103(b), 12103(d), 12304, 12311(c), 12522(c), 12527(a)(2), 12731(b),
12731a(e), 16131(a), 16136(a), 16301(g), and 18501 by striking ``of
Transportation'' each place it appears and inserting ``of Homeland
Security''.
(2) Section 801(1) of such title is amended by striking ``the
General Counsel of the Department of Transportation'' and inserting
``an official designated to serve as Judge Advocate General of the
Coast Guard by the Secretary of Homeland Security''.
(3) Section 983(d)(2)(B) of such title is amended by striking
``Department of Transportation'' and inserting ``Department of Homeland
Security''.
(4) Section 2665(b) of such title is amended by striking
``Department of Transportation'' and inserting ``Department in which
the Coast Guard is operating''.
(5) Section 7045 of such title is amended--
(A) in subsections (a)(1) and (b), by striking
``Secretaries of the Army, Air Force, and Transportation'' both
places it appears and inserting ``Secretary of the Army, the
Secretary of the Air Force, and the Secretary of Homeland
Security''; and
(B) in subsection (b), by striking ``Department of
Transportation'' and inserting ``Department of Homeland
Security''.
(6) Section 7361(b) of such title is amended in the subsection
heading by striking ``Transportation'' and inserting ``Homeland
Security''.
(7) Section 12522(c) of such title is amended in the subsection
heading by striking ``Transportation'' and inserting ``Homeland
Security''.
(c) Title 37, U.S.C.--Title 37, United States Code, is amended in
sections 101(5), 204(i)(4), 301a(a)(3), 306(d), 307(c), 308(a)(1),
308(d)(2), 308(f), 308b(e), 308c(c), 308d(a), 308e(f), 308g(g),
308h(f), 308i(e), 309(d), 316(d), 323(b), 323(g)(1), 325(i), 402(d),
402a(g)(1), 403(f)(3), 403(l)(1), 403b(i)(5), 406(b)(1), 417(a),
417(b), 418(a), 703, 1001(c), 1006(f), 1007(a), and 1011(d) by striking
``of Transportation'' each place it appears and inserting ``of Homeland
Security''.
(d) Other Defense-Related Laws.--(1) Section 363 of Public Law 104-
193 (110 Stat. 2247) is amended--
(A) in subsection (a)(1) (10 U.S.C. 113 note), by striking
``of Transportation'' and inserting ``of Homeland Security'';
and
(B) in subsection (b)(1) (10 U.S.C. 704 note), by striking
``of Transportation'' and inserting ``of Homeland Security''.
(2) Section 721(1) of Public Law 104-201 (10 U.S.C. 1073 note) is
amended by striking ``of Transportation'' and inserting ``of Homeland
Security''.
(3) Section 4463(a) of Public Law 102-484 (10 U.S.C. 1143a note) is
amended by striking ``after consultation with the Secretary of
Transportation''.
(4) Section 4466(h) of Public Law 102-484 (10 U.S.C. 1143 note) is
amended by striking ``of Transportation'' and inserting ``of Homeland
Security''.
(5) Section 542(d) of Public Law 103-337 (10 U.S.C. 1293 note) is
amended by striking ``of Transportation'' and inserting ``of Homeland
Security''.
(6) Section 740 of Public Law 106-181 (10 U.S.C. 2576 note) is
amended in subsections (b)(2), (c), and (d)(1) by striking ``of
Transportation'' each place it appears and inserting ``of Homeland
Security''.
(7) Section 1407(b)(2) of the Defense Dependents' Education Act of
1978 (20 U.S.C. 926(b)) is amended by striking ``of Transportation''
both places it appears and inserting ``of Homeland Security''.
(8) Section 2301(5)(D) of the Elementary and Secondary Education
Act of 1965 (20 U.S.C. 6671(5)(D)) is amended by striking ``of
Transportation'' and inserting ``of Homeland Security''.
(9) Section 2307(a) of of the Elementary and Secondary Education
Act of 1965 (20 U.S.C. 6677(a)) is amended by striking ``of
Transportation'' and inserting ``of Homeland Security''.
(10) Section 1034(a) of Public Law 105-85 (21 U.S.C. 1505a(a)) is
amended by striking ``of Transportation'' and inserting ``of Homeland
Security''.
(11) The Military Selective Service Act is amended--
(A) in section 4(a) (50 U.S.C. App. 454(a)), by striking
``of Transportation'' in the fourth paragraph and inserting
``of Homeland Security'';
(B) in section 4(b) (50 U.S.C. App. 454(b)), by striking
``of Transportation'' both places it appears and inserting ``of
Homeland Security'';
(C) in section 6(d)(1) (50 U.S.C. App. 456(d)(1)), by
striking ``of Transportation'' both places it appears and
inserting ``of Homeland Security'';
(D) in section 9(c) (50 U.S.C. App. 459(c)), by striking
``Secretaries of Army, Navy, Air Force, or Transportation'' and
inserting ``Secretary of a military department, and the
Secretary of Homeland Security with respect to the Coast
Guard,''; and
(E) in section 15(e) (50 U.S.C. App. 465(e)), by striking
``of Transportation'' both places it appears and inserting ``of
Homeland Security''.
(e) Technical Correction.--(1) Title 14, United States Code, is
amended by redesignating section 673 (as added by section 309 of Public
Law 104-324) as section 673a.
(2) The table of sections at the beginning of chapter 17 of such
title is amended by redesignating the item relating to such section as
section 673a.
(f) Effective Date.--The amendments made by this section (other
than subsection (e)) shall take effect on the date of transfer of the
Coast Guard to the Department.
SEC. 905. STRATEGIC NATIONAL STOCKPILE AND SMALLPOX VACCINE
DEVELOPMENT.
(a) In General.--Section 121 of the Public Health Security and
Bioterrorism Preparedness and Response Act of 2002 (Public Law 107-188;
42 U.S.C. 300hh-12) is amended--
(1) in subsection (a)(1)--
(A) by striking ``Secretary of Health and Human
Services'' and inserting ``Secretary of Homeland
Security'';
(B) by inserting ``the Secretary of Health and
Human Services and'' between ``in coordination with''
and ``the Secretary of Veterans Affairs''; and
(C) by inserting ``of Health and Human Services''
after ``as are determined by the Secretary''; and
(2) in subsections (a)(2) and (b), by inserting ``of Health
and Human Services'' after ``Secretary'' each place it appears.
(b) Effective Date.--The amendments made by this section shall take
effect on the date of transfer of the Strategic National Stockpile of
the Department of Health and Human Services to the Department.
SEC. 906. TRANSFER OF CERTAIN SECURITY AND LAW ENFORCEMENT FUNCTIONS
AND AUTHORITIES.
(a) Amendment to Property Act.--Section 210(a)(2) of the Federal
Property and Administrative Services Act of 1949 (40 U.S.C. 490(a)(2))
is repealed.
(b) Law Enforcement Authority.--The Act of June 1, 1948 (40 U.S.C.
318-318d; chapter 359; 62 Stat. 281) is amended to read as follows:
``SECTION 1. SHORT TITLE.
``This Act may be cited as the `Protection of Public Property Act'.
``SEC. 2. LAW ENFORCEMENT AUTHORITY OF SECRETARY OF HOMELAND SECURITY
FOR PROTECTION OF PUBLIC PROPERTY.
``(a) In General.--The Secretary of Homeland Security (in this Act
referred to as the `Secretary') shall protect the buildings, grounds,
and property that are owned, occupied, or secured by the Federal
Government (including any agency, instrumentality, or wholly owned or
mixed-ownership corporation thereof) and the persons on the property.
``(b) Officers and Agents.--
``(1) Designation.--The Secretary may designate employees
of the Department of Homeland Security, including employees
transferred to the Department from the Office of the Federal
Protective Service of the General Services Administration
pursuant to the Homeland Security Act of 2002, as officers and
agents for duty in connection with the protection of property
owned or occupied by the Federal Government and persons on the
property, including duty in areas outside the property to the
extent necessary to protect the property and persons on the
property.
``(2) Powers.--While engaged in the performance of official
duties, an officer or agent designated under this subsection
may--
``(A) enforce Federal laws and regulations for the
protection of persons and property;
``(B) carry firearms;
``(C) make arrests without a warrant for any
offense against the United States committed in the
presence of the officer or agent or for any felony
cognizable under the laws of the United States if the
officer or agent has reasonable grounds to believe that
the person to be arrested has committed or is
committing a felony;
``(D) serve warrants and subpoenas issued under the
authority of the United States; and
``(E) conduct investigations, on and off the
property in question, of offenses that may have been
committed against property owned or occupied by the
Federal Government or persons on the property.
``(F) carry out such other activities for the
promotion of homeland security as the Secretary may
prescribe.
``(c) Regulations.--
``(1) In general.--The Secretary, in consultation with the
Administrator of General Services, may prescribe regulations
necessary for the protection and administration of property
owned or occupied by the Federal Government and persons on the
property. The regulations may include reasonable penalties,
within the limits prescribed in paragraph (2), for violations
of the regulations. The regulations shall be posted and remain
posted in a conspicuous place on the property.
``(2) Penalties.--A person violating a regulation
prescribed under this subsection shall be fined under title 18,
United States Code, imprisoned for not more than 30 days, or
both.
``(d) Details.--
``(1) Requests of agencies.--On the request of the head of
a Federal agency having charge or control of property owned or
occupied by the Federal Government, the Secretary may detail
officers and agents designated under this section for the
protection of the property and persons on the property.
``(2) Applicability of regulations.--The Secretary may--
``(A) extend to property referred to in paragraph
(1) the applicability of regulations prescribed under
this section and enforce the regulations as provided in
this section; or
``(B) utilize the authority and regulations of the
requesting agency if agreed to in writing by the
agencies.
``(3) Facilities and services of other agencies.--When the
Secretary determines it to be economical and in the public
interest, the Secretary may utilize the facilities and services
of Federal, State, and local law enforcement agencies, with the
consent of the agencies.
``(e) Authority Outside Federal Property.--For the protection of
property owned or occupied by the Federal Government and persons on the
property, the Secretary may enter into agreements with Federal agencies
and with State and local governments to obtain authority for officers
and agents designated under this section to enforce Federal laws and
State and local laws concurrently with other Federal law enforcement
officers and with State and local law enforcement officers.
``(f) Secretary and Attorney General Approval.--The powers granted
to officers and agents designated under this section shall be exercised
in accordance with guidelines approved by the Secretary and the
Attorney General.
``(g) Limitation on Statutory Construction.--Nothing in this
section shall be construed to--
``(1) preclude or limit the authority of any Federal law
enforcement agency; or
``(2) restrict the authority of the Administrator of
General Services to promulgate regulations affecting property
under the Administrator's custody and control.''.
SEC. 907. TRANSPORTATION SECURITY REGULATIONS.
Title 49, United States Code, is amended--
(1) in section 114(l)(2)(B), by inserting ``for a period
not to exceed 30 days'' after ``effective''; and
(2) in section 114(l)(2)(B), by inserting ``ratified or''
after ``unless''.
SEC. 908. RAILROAD SECURITY LAWS.
Title 49, United States Code, is amended--
(1) in section 20106 by inserting in the second sentence,
``, including security,'' after ``railroad safety'' and ``or
the Secretary of Homeland Security'' after ``Secretary of
Transportation''; and
(2) in section 20105--
(A) by inserting ``or the Secretary of Homeland
Security'' after ``Secretary of Transportation'' in
subsection (a);
(B) by inserting ``of Transportation or the
Secretary of Homeland Security'' after ``issued by the
Secretary'' in subsection (a);
(C) by inserting ``of Transportation or the
Secretary of Homeland Security, as appropriate,'' after
``to the Secretary'' in subsection (a), and after
``Secretary'' in subsection (b)(1)(A)(iii) and (B)(iv),
the first place it appears in subsections (b)(1)(B) and
(B)(iii) and (d), each place it appears in subsections
(c)(1), (c)(2), (e), and (f), and the first four times
it appears in subsection (b)(3);
(D) by inserting ``of Transportation or the
Secretary of Homeland Security, as appropriate'' after
``Secretary'' in subsection (b)(1)(A)(ii),
(b)(1)(B)(ii), the second place it appears in
subsection (b)(1)(B)(iii), and the last place it
appears in subsection (b)(3);
(E) in subsection (d), by replacing ``Secretary's''
with ``Secretary of Transportation's'' and adding
before the period at the end ``or the Secretary of
Homeland Security's duties under section 114''; and
(F) in subsection (f), by adding before the period
at the end ``or section 114''.
SEC. 909. OFFICE OF SCIENCE AND TECHNOLOGY POLICY.
The National Science and Technology Policy, Organization, and
Priorities Act of 1976 is amended--
(1) in section 204(b)(1) (42 U.S.C. 6613(b)(1)), by
inserting ``homeland security,'' after ``national security,'';
and
(2) in section 208(a)(1) (42 U.S.C. 6617(a)(1)), by
inserting ``the Office of Homeland Security,'' after ``National
Security Council,''.
SEC. 910. NATIONAL OCEANOGRAPHIC PARTNERSHIP PROGRAM.
Section 7902(b) of title 10, United States Code, is amended by
adding at the end the following new paragraphs:
``(13) The Under Secretary for Science and Technology of
the Department of Homeland Security.
``(14) Other Federal officials the Council considers
appropriate.''.
SEC. 911. CHIEF FINANCIAL OFFICER.
Section 901(b)(1) of title 31, United States Code, is amended--
(1) by redesignating subparagraphs (G) through (P) as
subparagraphs (H) through (Q), respectively; and
(2) by inserting the following new subparagraph after
subparagraph (F):
``(G) The Department of Homeland Security.''.
SEC. 912. CHIEF INFORMATION OFFICER.
(a) Clinger-Cohen Act.--(1) The provisions enacted in section 5125
of the Clinger-Cohen Act of 1996 (division E of Public Law 104-106; 110
Stat. 684) shall apply with respect to the Chief Information Officer of
the Department.
(2) Section 5131(c) of the Clinger-Cohen Act of 1996 (40 U.S.C.
1441(c)) is amended by inserting ``or appointed'' after ``a Chief
Information Officer designated''.
(b) Title 44.--Chapter 35 of title 44, United States Code, is
amended--
(1) in section 3506(a)(2)--
(A) in subparagraph (A) by striking ``subparagraph
(B)'' and inserting ``subparagraphs (B) and (C)''; and
(B) by adding at the end the following:
``(C) The Chief Information Officer of the Department of Homeland
Security shall be an individual who is appointed by the President.'';
(2) in each of subsections (a)(4) and (c)(1) of section
3506, by inserting ``or appointed'' after ``the Chief
Information Officer designated''; and
(3) in subsection (a)(3) of section 3506, by inserting ``or
appointed'' after ``The Chief Information Officer designated''.
TITLE X--NATIONAL HOMELAND SECURITY COUNCIL
SEC. 1001. NATIONAL HOMELAND SECURITY COUNCIL.
There is established within the Executive Office of the President a
council to be known as the ``Homeland Security Council'' (in this title
referred to as the ``Council'').
SEC. 1002. FUNCTION.
The function of the Council shall be to advise the President on
homeland security matters.
SEC. 1003. MEMBERSHIP.
The members of the Council shall be the following:
(1) The President.
(2) The Vice President.
(3) The Secretary of Homeland Security.
(4) The Attorney General.
(5) The Secretary of Health and Human Services.
(6) The Director of Central Intelligence.
(7) The Secretary of Defense.
(8) The Secretary of the Treasury.
(9) The Secretary of State.
(10) The Secretary of Energy.
(11) The Secretary of Agriculture.
(12) Such other individuals as may be designated by the
President.
SEC. 1004. OTHER FUNCTIONS AND ACTIVITIES.
For the purpose of more effectively coordinating the policies and
functions of the United States Government relating to homeland
security, the Council shall--
(1) assess the objectives, commitments, and risks of the
United States in the interest of homeland security and to make
resulting recommendations to the President;
(2) oversee and review homeland security policies of the
Federal Government and to make resulting recommendations to the
President; and
(3) perform such other functions as the President may
direct.
SEC. 1005. HOMELAND SECURITY BUDGET.
The Director of the Office of Management and Budget shall prepare
for the President a Federal homeland security budget to be delivered to
the Congress as part of the President's annual budget request.
SEC. 1006. STAFF COMPOSITION.
The Council shall have a staff, the head of which shall be a
civilian Executive Secretary, who shall be appointed by the President.
The President is authorized to fix the pay of the Executive Secretary
at a rate not to exceed the rate of pay payable to the Executive
Secretary of the National Security Council.
SEC. 1007. RELATION TO THE NATIONAL SECURITY COUNCIL.
The President may convene joint meetings of the Homeland Security
Council and the National Security Council with participation by members
of either Council or as the President may otherwise direct.
TITLE XI--INFORMATION SECURITY
SEC. 1101. INFORMATION SECURITY.
(a) Short Title.--The amendments made by this title may be cited as
the ``Federal Information Security Management Act of 2002''.
(b) Information Security.--
(1) In general.--Subchapter II of chapter 35 of title 44,
United States Code, is amended to read as follows:
``SUBCHAPTER II--INFORMATION SECURITY
``Sec. 3531. Purposes
``The purposes of this subchapter are to--
``(1) provide a comprehensive framework for ensuring the
effectiveness of information security controls over information
resources that support Federal operations and assets;
``(2) recognize the highly networked nature of the current
Federal computing environment and provide effective
governmentwide management and oversight of the related
information security risks, including coordination of
information security efforts throughout the civilian, national
security, and law enforcement communities;
``(3) provide for development and maintenance of minimum
controls required to protect Federal information and
information systems;
``(4) provide a mechanism for improved oversight of Federal
agency information security programs;
``(5) acknowledge that commercially developed information
security products offer advanced, dynamic, robust, and
effective information security solutions, reflecting market
solutions for the protection of critical information
infrastructures important to the national defense and economic
security of the nation that are designed, built, and operated
by the private sector; and
``(6) recognize that the selection of specific technical
hardware and software information security solutions should be
left to individual agencies from among commercially developed
products.''.
``Sec. 3532. Definitions
``(a) In General.--Except as provided under subsection (b), the
definitions under section 3502 shall apply to this subchapter.
``(b) Additional Definitions.--As used in this subchapter--
``(1) the term `information security' means protecting
information and information systems from unauthorized access,
use, disclosure, disruption, modification, or destruction in
order to provide--
``(A) integrity, which means guarding against
improper information modification or destruction, and
includes ensuring information nonrepudiation and
authenticity;
``(B) confidentiality, which means preserving
authorized restrictions on access and disclosure,
including means for protecting personal privacy and
proprietary information;
``(C) availability, which means ensuring timely and
reliable access to and use of information; and
``(D) authentication, which means utilizing digital
credentials to assure the identity of users and
validate their access;
``(2) the term `national security system' means any
information system (including any telecommunications system)
used or operated by an agency or by a contractor of an agency,
or other organization on behalf of an agency, the function,
operation, or use of which--
``(A) involves intelligence activities;
``(B) involves cryptologic activities related to
national security;
``(C) involves command and control of military
forces;
``(D) involves equipment that is an integral part
of a weapon or weapons system; or
``(E) is critical to the direct fulfillment of
military or intelligence missions provided that this
definition does not apply to a system that is used for
routine administrative and business applications
(including payroll, finance, logistics, and personnel
management applications);
``(3) the term `information technology' has the meaning
given that term in section 5002 of the Clinger-Cohen Act of
1996 (40 U.S.C. 1401); and
``(4) the term `information system' means any equipment or
interconnected system or subsystems of equipment that is used
in the automatic acquisition, storage, manipulation,
management, movement, control, display, switching, interchange,
transmission, or reception of data or information, and
includes--
``(A) computers and computer networks;
``(B) ancillary equipment;
``(C) software, firmware, and related procedures;
``(D) services, including support services; and
``(E) related resources.''.
``Sec. 3533. Authority and functions of the Director
``(a) The Director shall oversee agency information security
policies and practices, by--
``(1) promulgating information security standards under
section 5131 of the Clinger-Cohen Act of 1996 (40 U.S.C. 1441);
``(2) overseeing the implementation of policies,
principles, standards, and guidelines on information security;
``(3) requiring agencies, consistent with the standards
promulgated under such section 5131 and the requirements of
this subchapter, to identify and provide information security
protections commensurate with the risk and magnitude of the
harm resulting from the unauthorized access, use, disclosure,
disruption, modification, or destruction of--
``(A) information collected or maintained by or on
behalf of an agency; or
``(B) information systems used or operated by an
agency or by a contractor of an agency or other
organization on behalf of an agency;
``(4) coordinating the development of standards and
guidelines under section 20 of the National Institute of
Standards and Technology Act (15 U.S.C. 278g-3) with agencies
and offices operating or exercising control of national
security systems (including the National Security Agency) to
assure, to the maximum extent feasible, that such standards and
guidelines are complementary with standards and guidelines
developed for national security systems;
``(5) overseeing agency compliance with the requirements of
this subchapter, including through any authorized action under
section 5113(b)(5) of the Clinger-Cohen Act of 1996 (40 U.S.C.
1413(b)(5)) to enforce accountability for compliance with such
requirements;
``(6) reviewing at least annually, and approving or
disapproving, agency information security programs required
under section 3534(b);
``(7) coordinating information security policies and
procedures with related information resources management
policies and procedures; and
``(8) reporting to Congress no later than March 1 of each
year on agency compliance with the requirements of this
subchapter, including--
``(A) a summary of the findings of evaluations
required by section 3535;
``(B) significant deficiencies in agency
information security practices;
``(C) planned remedial action to address such
deficiencies; and
``(D) a summary of, and the views of the Director
on, the report prepared by the National Institute of
Standards and Technology under section 20(e)(7) of the
National Institute of Standards and Technology Act (15
U.S.C. 278g-3).''.
``(b) Except for the authorities described in paragraphs (4) and
(7) of subsection (a), the authorities of the Director under this
section shall not apply to national security systems.
``Sec. 3534. Federal agency responsibilities
``(a) The head of each agency shall--
``(1) be responsible for--
``(A) providing information security protections
commensurate with the risk and magnitude of the harm
resulting from unauthorized access, use, disclosure,
disruption, modification, or destruction of--
``(i) information collected or maintained
by or on behalf of the agency; and
``(ii) information systems used or operated
by an agency or by a contractor of an agency or
other organization on behalf of an agency;
``(B) complying with the requirements of this
subchapter and related policies, procedures, standards,
and guidelines, including--
``(i) information security standards
promulgated by the Director under section 5131
of the Clinger-Cohen Act of 1996 (40 U.S.C.
1441); and
``(ii) information security standards and
guidelines for national security systems issued
in accordance with law and as directed by the
President; and
``(C) ensuring that information security management
processes are integrated with agency strategic and
operational planning processes;
``(2) ensure that senior agency officials provide
information security for the information and information
systems that support the operations and assets under their
control, including through--
``(A) assessing the risk and magnitude of the harm
that could result from the unauthorized access, use,
disclosure, disruption, modification, or destruction of
such information or information systems;
``(B) determining the levels of information
security appropriate to protect such information and
information systems in accordance with standards
promulgated under section 5131 of the Clinger-Cohen Act
of 1996 (40 U.S.C. 1441) for information security
classifications and related requirements;
``(C) implementing policies and procedures to cost-
effectively reduce risks to an acceptable level; and
``(D) periodically testing and evaluating
information security controls and techniques to ensure
that they are effectively implemented;
``(3) delegate to the agency Chief Information Officer
established under section 3506 (or comparable official in an
agency not covered by such section) the authority to ensure
compliance with the requirements imposed on the agency under
this subchapter, including--
``(A) designating a senior agency information
security officer who shall--
``(i) carry out the Chief Information
Officer's responsibilities under this section;
``(ii) possess professional qualifications,
including training and experience, required to
administer the functions described under this
section;
``(iii) have information security duties as
that official's primary duty; and
``(iv) head an office with the mission and
resources to assist in ensuring agency
compliance with this section;
``(B) developing and maintaining an agencywide
information security program as required by subsection
(b);
``(C) developing and maintaining information
security policies, procedures, and control techniques
to address all applicable requirements, including those
issued under section 3533 of this title, and section
5131 of the Clinger-Cohen Act of 1996 (40 U.S.C. 1441);
``(D) training and overseeing personnel with
significant responsibilities for information security
with respect to such responsibilities; and
``(E) assisting senior agency officials concerning
their responsibilities under subparagraph (2);
``(4) ensure that the agency has trained personnel
sufficient to assist the agency in complying with the
requirements of this subchapter and related policies,
procedures, standards, and guidelines; and
``(5) ensure that the agency Chief Information Officer, in
coordination with other senior agency officials, reports
annually to the agency head on the effectiveness of the agency
information security program, including progress of remedial
actions.
``(b) Each agency shall develop, document, and implement an
agencywide information security program, approved by the Director under
section 3533(a)(5), to provide information security for the information
and information systems that support the operations and assets of the
agency, including those provided or managed by another agency,
contractor, or other source, that includes--
``(1) periodic assessments of the risk and magnitude of the
harm that could result from the unauthorized access, use,
disclosure, disruption, modification, or destruction of
information and information systems that support the operations
and assets of the agency;
``(2) policies and procedures that--
``(A) are based on the risk assessments required by
subparagraph (1);
``(B) cost-effectively reduce information security
risks to an acceptable level;
``(C) ensure that information security is addressed
throughout the life cycle of each agency information
system; and
``(D) ensure compliance with--
``(i) the requirements of this subchapter;
``(ii) policies and procedures as may be
prescribed by the Director, and information
security standards promulgated under section
5131 of the Clinger-Cohen Act of 1996 (40
U.S.C. 1441);
``(iii) minimally acceptable system
configuration requirements, as determined by
the agency; and
``(iv) any other applicable requirements,
including standards and guidelines for national
security systems issued in accordance with law
and as directed by the President;
``(3) subordinate plans for providing adequate information
security for networks, facilities, and systems or groups of
information systems, as appropriate;
``(4) security awareness training to inform personnel,
including contractors and other users of information systems
that support the operations and assets of the agency, of--
``(A) information security risks associated with
their activities; and
``(B) their responsibilities in complying with
agency policies and procedures designed to reduce these
risks;
``(5) periodic testing and evaluation of the effectiveness
of information security policies, procedures, and practices, to
be performed with a frequency depending on risk, but no less
than annually, of which such testing--
``(A) shall include testing of management,
operational, and technical controls of every
information system identified in the inventory required
under section 3505(c); and
``(B) may include testing relied on in a evaluation
under section 3535;
``(6) a process for planning, implementing, evaluating, and
documenting remedial action to address any deficiencies in the
information security policies, procedures, and practices of the
agency;
``(7) procedures for detecting, reporting, and responding
to security incidents, including--
``(A) mitigating risks associated with such
incidents before substantial damage is done; and
``(B) notifying and consulting with, as
appropriate--
``(i) law enforcement agencies and relevant
Offices of Inspector General;
``(ii) an office designated by the
President for any incident involving a national
security system; and
``(iii) any other agency or office, in
accordance with law or as directed by the
President; and
``(8) plans and procedures to ensure continuity of
operations for information systems that support the operations
and assets of the agency.
``(c) Each agency shall--
``(1) report annually to the Director, the Committees on
Government Reform and Science of the House of Representatives,
the Committees on Governmental Affairs and Commerce, Science,
and Transportation of the Senate, the appropriate authorization
and appropriations committees of Congress, and the Comptroller
General on the adequacy and effectiveness of information
security policies, procedures, and practices, and compliance
with the requirements of this subchapter, including compliance
with each requirement of subsection (b);
``(2) address the adequacy and effectiveness of information
security policies, procedures, and practices in plans and
reports relating to--
``(A) annual agency budgets;
``(B) information resources management under
subchapter 1 of this chapter;
``(C) information technology management under the
Clinger-Cohen Act of 1996 (40 U.S.C. 1401 et seq.);
``(D) program performance under sections 1105 and
1115 through 1119 of title 31, and sections 2801 and
2805 of title 39;
``(E) financial management under chapter 9 of title
31, and the Chief Financial Officers Act of 1990 (31
U.S.C. 501 note; Public Law 101-576) (and the
amendments made by that Act);
``(F) financial management systems under the
Federal Financial Management Improvement Act (31 U.S.C.
3512 note); and
``(G) internal accounting and administrative
controls under section 3512 of title 31, United States
Code, (known as the `Federal Managers Financial
Integrity Act'); and
``(3) report any significant deficiency in a policy,
procedure, or practice identified under paragraph (1) or (2)--
``(A) as a material weakness in reporting under
section 3512 of title 31, United States Code; and
``(B) if relating to financial management systems,
as an instance of a lack of substantial compliance
under the Federal Financial Management Improvement Act
(31 U.S.C. 3512 note).
``(d)(1) In addition to the requirements of subsection (c), each
agency, in consultation with the Director, shall include as part of the
performance plan required under section 1115 of title 31 a description
of--
``(A) the time periods, and
``(B) the resources, including budget, staffing, and
training,
that are necessary to implement the program required under subsection
(b).
``(2) The description under paragraph (1) shall be based on the
risk assessments required under subsection (b)(2)(1).
``(e) Each agency shall provide the public with timely notice and
opportunities for comment on proposed information security policies and
procedures to the extent that such policies and procedures affect
communication with the public.
``Sec. 3535. Annual independent evaluation
``(a)(1) Each year each agency shall have performed an independent
evaluation of the information security program and practices of that
agency to determine the effectiveness of such program and practices.
``(2) Each evaluation by an agency under this section shall
include--
``(A) testing of the effectiveness of information security
policies, procedures, and practices of a representative subset
of the agency's information systems;
``(B) an assessment (made on the basis of the results of
the testing) of compliance with--
``(i) the requirements of this subchapter; and
``(ii) related information security policies,
procedures, standards, and guidelines; and
``(C) separate presentations, as appropriate, regarding
information security relating to national security systems.
``(b) Subject to subsection (c)--
``(1) for each agency with an Inspector General appointed
under the Inspector General Act of 1978, the annual evaluation
required by this section shall be performed by the Inspector
General or by an independent external auditor, as determined by
the Inspector General of the agency; and
``(2) for each agency to which paragraph (1) does not
apply, the head of the agency shall engage an independent
external auditor to perform the evaluation.
``(c) For each agency operating or exercising control of a national
security system, that portion of the evaluation required by this
section directly relating to a national security system shall be
performed--
``(1) only by an entity designated by the agency head; and
``(2) in such a manner as to ensure appropriate protection
for information associated with any information security
vulnerability in such system commensurate with the risk and in
accordance with all applicable laws.
``(d) The evaluation required by this section--
``(1) shall be performed in accordance with generally
accepted government auditing standards; and
``(2) may be based in whole or in part on an audit,
evaluation, or report relating to programs or practices of the
applicable agency.
``(e) Each year, not later than such date established by the
Director, the head of each agency shall submit to the Director the
results of the evaluation required under this section.
``(f) Agencies and evaluators shall take appropriate steps to
ensure the protection of information which, if disclosed, may adversely
affect information security. Such protections shall be commensurate
with the risk and comply with all applicable laws and regulations.
``(g)(1) The Director shall summarize the results of the
evaluations conducted under this section in the report to Congress
required under section 3533(a)(8).
``(2) The Director's report to Congress under this subsection shall
summarize information regarding information security relating to
national security systems in such a manner as to ensure appropriate
protection for information associated with any information security
vulnerability in such system commensurate with the risk and in
accordance with all applicable laws.
``(3) Evaluations and any other descriptions of information systems
under the authority and control of the Director of Central Intelligence
or of National Foreign Intelligence Programs systems under the
authority and control of the Secretary of Defense shall be made
available to Congress only through the appropriate oversight committees
of Congress, in accordance with applicable laws.
``(h) The Comptroller General shall periodically evaluate and
report to Congress on--
``(1) the adequacy and effectiveness of agency information
security policies and practices; and
``(2) implementation of the requirements of this
subchapter.
``Sec. 3536. National security systems
``The head of each agency operating or exercising control of a
national security system shall be responsible for ensuring that the
agency--
``(1) provides information security protections
commensurate with the risk and magnitude of the harm resulting
from the unauthorized access, use, disclosure, disruption,
modification, or destruction of the information contained in
such system;
``(2) implements information security policies and
practices as required by standards and guidelines for national
security systems, issued in accordance with law and as directed
by the President; and
``(3) complies with the requirements of this subchapter.
``Sec. 3537. Authorization of appropriations
``There are authorized to be appropriated to carry out the
provisions of this subchapter such sums as may be necessary for each of
fiscal years 2003 through 2007.
``Sec. 3538. Effect on existing law
``Nothing in this subchapter, section 5131 of the Clinger-Cohen Act
of 1996 (40 U.S.C. 1441), or section 20 of the National Standards and
Technology Act (15 U.S.C. 278g-3) may be construed as affecting the
authority of the President, the Office of Management and Budget or the
Director thereof, the National Institute of Standards and Technology,
or the head of any agency, with respect to the authorized use or
disclosure of information, including with regard to the protection of
personal privacy under section 552a of title 5, the disclosure of
information under section 552 of title 5, the management and
disposition of records under chapters 29, 31, or 33 of title 44, the
management of information resources under subchapter I of chapter 35 of
this title, or the disclosure of information to the Congress or the
Comptroller General of the United States.''.
(2) Clerical amendment.--The items in the table of sections
at the beginning of such chapter 35 under the heading
``SUBCHAPTER II'' are amended to read as follows:
``3531. Purposes.
``3532. Definitions.
``3533. Authority and functions of the Director.
``3534. Federal agency responsibilities.
``3535. Annual independent evaluation.
``3536. National security systems.
``3537. Authorization of appropriations.
``3538. Effect on existing law.''.
(c) Information Security Responsibilities of Certain Agencies.--
(1) National security responsibilities.--(A) Nothing in
this Act (including any amendment made by this Act) shall
supersede any authority of the Secretary of Defense, the
Director of Central Intelligence, or other agency head, as
authorized by law and as directed by the President, with regard
to the operation, control, or management of national security
systems, as defined by section 3532(3) of title 44, United
States Code.
(B) Section 2224 of title 10, United States Code, is
amended--
(i) in subsection 2224(b), by striking ``(b)
Objectives and Minimum Requirements.--(1)'' and
inserting ``(b) Objectives of the Program.--'';
(ii) in subsection 2224(b), by striking ``(2) the
program shall at a minimum meet the requirements of
section 3534 and 3535 of title 44, United States
Code.''; and
(iii) in subsection 2224(c), by inserting
``, including through compliance with subtitle II of
chapter 35 of title 44'' after ``infrastructure''.
(2) Atomic energy act of 1954.--Nothing in this Act shall
supersede any requirement made by or under the Atomic Energy
Act of 1954 (42 U.S.C. 2011 et seq.). Restricted Data or
Formerly Restricted Data shall be handled, protected,
classified, downgraded, and declassified in conformity with the
Atomic Energy Act of 1954 (42 U.S.C. 2011 et seq.).
SEC. 1102. MANAGEMENT OF INFORMATION TECHNOLOGY.
Section 5131 of the Clinger-Cohen Act of 1996 (40 U.S.C. 1441) is
amended to read as follows:
``SEC. 5131. RESPONSIBILITIES FOR FEDERAL INFORMATION SYSTEMS
STANDARDS.
``(a)(1)(A) Except as provided under paragraph (2), the Director of
the Office of Management and Budget shall, on the basis of proposed
standards developed by the National Institute of Standards and
Technology pursuant to paragraphs (2) and (3) of section 20(a) of the
National Institute of Standards and Technology Act (15 U.S.C. 278g-
3(a)) and in consultation with the Secretary of Homeland Security,
promulgate information security standards pertaining to Federal
information systems.
``(B) Standards promulgated under subparagraph (A) shall include--
``(i) standards that provide minimum information security
requirements as determined under section 20(b) of the National
Institute of Standards and Technology Act (15 U.S.C. 278g-
3(b)); and
``(ii) such standards that are otherwise necessary to
improve the efficiency of operation or security of Federal
information systems.
``(C) Information security standards described under subparagraph
(B) shall be compulsory and binding.
``(2) Standards and guidelines for national security systems, as
defined under section 3532(3) of title 44, United States Code, shall be
developed, promulgated, enforced, and overseen as otherwise authorized
by law and as directed by the President.
``(b) The head of an agency may employ standards for the cost-
effective information security for all operations and assets within or
under the supervision of that agency that are more stringent than the
standards promulgated by the Director under this section, if such
standards--
``(1) contain, at a minimum, the provisions of those
applicable standards made compulsory and binding by the
Director; and
``(2) are otherwise consistent with policies and guidelines
issued under section 3533 of title 44, United States Code.
``(c)(1) The decision regarding the promulgation of any standard by
the Director under subsection (a) shall occur not later than 6 months
after the submission of the proposed standard to the Director by the
National Institute of Standards and Technology, as provided under
section 20 of the National Institute of Standards and Technology Act
(15 U.S.C. 278g-3).
``(2) A decision by the Director to significantly modify, or not
promulgate, a proposed standard submitted to the Director by the
National Institute of Standards and Technology, as provided under
section 20 of the National Institute of Standards and Technology Act
(15 U.S.C. 278g-3), shall be made after the public is given an
opportunity to comment on the Director's proposed decision.''.
``(d) In this section, the term `information security' has the
meaning given that term in section 3532(b)(1) of title 44, United
States Code.''.
SEC. 1103. NATIONAL INSTITUTE OF STANDARDS AND TECHNOLOGY.
Section 20 of the National Institute of Standards and Technology
Act (15 U.S.C. 278g-3), is amended by striking the text and inserting
the following:
``(a) The Institute shall--
``(1) have the mission of developing standards, guidelines,
and associated methods and techniques for information systems;
``(2) develop standards and guidelines, including minimum
requirements, for information systems used or operated by an
agency or by a contractor of an agency or other organization on
behalf of an agency, other than national security systems (as
defined in section 3532(b)(2) of title 44, United States Code);
``(3) develop standards and guidelines, including minimum
requirements, for providing adequate information security for
all agency operations and assets, but such standards and
guidelines shall not apply to national security systems; and
``(4) carry out the responsibilities described in paragraph
(3) through the Computer Security Division.
``(b) The standards and guidelines required by subsection (a) shall
include, at a minimum--
``(1)(A) standards to be used by all agencies to categorize
all information and information systems collected or maintained
by or on behalf of each agency based on the objectives of
providing appropriate levels of information security according
to a range of risk levels;
``(B) guidelines recommending the types of information and
information systems to be included in each such category; and
``(C) minimum information security requirements for
information and information systems in each such category;
``(2) a definition of and guidelines concerning detection
and handling of information security incidents; and
``(3) guidelines developed in coordination with the
National Security Agency for identifying an information system
as a national security system consistent with applicable
requirements for national security systems, issued in
accordance with law and as directed by the President.
``(c) In developing standards and guidelines required by
subsections (a) and (b), the Institute shall--
``(1) consult with other agencies and offices (including,
but not limited to, the Director of the Office of Management
and Budget, the Departments of Defense and Energy, the National
Security Agency, the General Accounting Office, and the
Secretary of Homeland Security) to assure--
``(A) use of appropriate information security
policies, procedures, and techniques, in order to
improve information security and avoid unnecessary and
costly duplication of effort; and
``(B) that such standards and guidelines are
complementary with standards and guidelines employed
for the protection of national security systems and
information contained in such systems;
``(2) provide the public with an opportunity to comment on
proposed standards and guidelines;
``(3) submit to the Director of the Office of Management
and Budget for promulgation under section 5131 of the Clinger-
Cohen Act of 1996 (40 U.S.C. 1441)--
``(A) standards, as required under subsection
(b)(1)(A), no later than 12 months after the date of
the enactment of this section; and
``(B) minimum information security requirements for
each category, as required under subsection (b)(1)(C),
no later than 36 months after the date of the enactment
of this section;
``(4) issue guidelines as required under subsection
(b)(1)(B), no later than 18 months after the date of the
enactment of this Act;
``(5) ensure that such standards and guidelines do not
require specific technological solutions or products, including
any specific hardware or software security solutions;
``(6) ensure that such standards and guidelines provide for
sufficient flexibility to permit alternative solutions to
provide equivalent levels of protection for identified
information security risks; and
``(7) use flexible, performance-based standards and
guidelines that, to the greatest extent possible, permit the
use of off-the-shelf commercially developed information
security products.
``(d) The Institute shall--
``(1) submit standards developed pursuant to subsection
(a), along with recommendations as to the extent to which these
should be made compulsory and binding, to the Director of the
Office of Management and Budget for promulgation under section
5131 of the Clinger-Cohen Act of 1996 (40 U.S.C. 1441);
``(2) provide assistance to agencies regarding--
``(A) compliance with the standards and guidelines
developed under subsection (a);
``(B) detecting and handling information security
incidents; and
``(C) information security policies, procedures,
and practices;
``(3) conduct research, as needed, to determine the nature
and extent of information security vulnerabilities and
techniques for providing cost-effective information security;
``(4) develop and periodically revise performance
indicators and measures for agency information security
policies and practices;
``(5) evaluate private sector information security policies
and practices and commercially available information
technologies to assess potential application by agencies to
strengthen information security;
``(6) evaluate security policies and practices developed
for national security systems to assess potential application
by agencies to strengthen information security;
``(7) periodically assess the effectiveness of standards
and guidelines developed under this section and undertake
revisions as appropriate;
``(8) solicit and consider the recommendations of the
Information Security and Privacy Advisory Board, established by
section 21, regarding standards and guidelines developed under
subsection (a) and submit such recommendations to the Director
of the Office of Management and Budget with such standards
submitted to the Director; and
``(9) prepare an annual public report on activities
undertaken in the previous year, and planned for the coming
year, to carry out responsibilities under this section.
``(e) As used in this section--
``(1) the term `agency' has the same meaning as provided in
section 3502(1) of title 44, United States Code;
``(2) the term `information security' has the same meaning
as provided in section 3532(1) of such title;
``(3) the term `information system' has the same meaning as
provided in section 3502(8) of such title;
``(4) the term `information technology' has the same
meaning as provided in section 5002 of the Clinger-Cohen Act of
1996 (40 U.S.C. 1401); and
``(5) the term `national security system' has the same
meaning as provided in section 3532(b)(2) of such title.''.
SEC. 1104. INFORMATION SECURITY AND PRIVACY ADVISORY BOARD.
Section 21 of the National Institute of Standards and Technology
Act (15 U.S.C. 278g-4), is amended--
(1) in subsection (a), by striking ``Computer System
Security and Privacy Advisory Board'' and inserting
``Information Security and Privacy Advisory Board'';
(2) in subsection (a)(1), by striking ``computer or
telecommunications'' and inserting ``information technology'';
(3) in subsection (a)(2)--
(A) by striking ``computer or telecommunications
technology'' and inserting ``information technology'';
and
(B) by striking ``computer or telecommunications
equipment'' and inserting ``information technology'';
(4) in subsection (a)(3)--
(A) by striking ``computer systems'' and inserting
``information system''; and
(B) by striking ``computer systems security'' and
inserting ``information security'';
(5) in subsection (b)(1) by striking ``computer systems
security'' and inserting ``information security'';
(6) in subsection (b) by striking paragraph (2) and
inserting the following:
``(2) to advise the Institute and the Director of the
Office of Management and Budget on information security and
privacy issues pertaining to Federal Government information
systems, including through review of proposed standards and
guidelines developed under section 20; and'';
(7) in subsection (b)(3) by inserting ``annually'' after
``report'';
(8) by inserting after subsection (e) the following new
subsection:
``(f) The Board shall hold meetings at such locations and at such
time and place as determined by a majority of the Board.'';
(9) by redesignating subsections (f) and (g) as subsections
(g) and (h), respectively; and
(10) by striking subsection (h), as redesignated by
paragraph (9), and inserting the following:
``(h) As used in this section, the terms ``information system'' and
``information technology'' have the meanings given in section 20.''.
SEC. 1105. TECHNICAL AND CONFORMING AMENDMENTS.
(a) Computer Security Act.--Sections 5 and 6 of the Computer
Security Act of 1987 (40 U.S.C. 1441 note) are repealed.
(b) Floyd D. Spence National Defense Authorization Act for Fiscal
Year 2001.--The Floyd D. Spence National Defense Authorization Act for
Fiscal Year 2001 (Public Law 106-398) is amended by striking subtitle G
of title X.
(c) Paperwork Reduction Act.--(1) Section 3504(g) of title 44,
United States Code, is amended--
(A) by adding ``and'' at the end of paragraph (1);
(B) in paragraph (2)--
(i) by striking ``sections 5 and 6 of the Computer
Security Act of 1987 (40 U.S.C. 759 note)'' and
inserting ``subchapter II of this title''; and
(ii) by striking the semicolon and inserting a
period; and
(C) by striking paragraph (3).
(2) Section 3505 of such title is amended by adding at the end--
``(c)(1) The head of each agency shall develop and maintain an
inventory of the information systems (including national security
systems) operated by or under the control of such agency;
``(2) The identification of information systems in an inventory
under this subsection shall include an identification of the interfaces
between each such system and all other systems or networks, including
those not operated by or under the control of the agency;
``(3) Such inventory shall be--
``(A) updated at least annually;
``(B) made available to the Comptroller General; and
``(C) used to support information resources management,
including--
``(i) preparation and maintenance of the inventory
of information resources under section 3506(b)(4);
``(ii) information technology planning, budgeting,
acquisition, and management under section 3506(h), the
Clinger-Cohen Act of 1996, and related laws and
guidance;
``(iii) monitoring, testing, and evaluation of
information security controls under subchapter II;
``(iv) preparation of the index of major
information systems required under section 552(g) of
title 5, United States Code; and
``(v) preparation of information system inventories
required for records management under chapters 21, 29,
31, and 33.
``(4) The Director shall issue guidance for and oversee the
implementation of the requirements of this subsection.''.
(3) Section 3506(g) of such title is amended--
(A) by adding ``and'' at the end of paragraph (1);
(B) in paragraph (2)--
(i) by striking ``the Computer Security Act of 1987
(40 U.S.C. 759 note)'' and inserting ``subchapter II of
this title''; and
(ii) by striking the semicolon and inserting a
period; and
(C) by striking paragraph (3).
SEC. 1106. CONSTRUCTION.
Nothing in this Act, or the amendments made by this Act, affects
the authority of the National Institute of Standards and Technology or
the Department of Commerce relating to the development and promulgation
of standards or guidelines under paragraphs (1) and (2) of section
20(a) of the National Institute of Standards and Technology Act (15
U.S.C. 278g-3(a)).
Passed the House of Representatives July 26, 2002.
Attest:
Clerk.
107th CONGRESS
2d Session
H. R. 5005
_______________________________________________________________________
AN ACT
To establish the Department of Homeland Security, and for other
purposes.