[Congressional Bills 107th Congress]
[From the U.S. Government Publishing Office]
[H.R. 5005 Reported in House (RH)]






                                                 Union Calendar No. 368
107th CONGRESS
  2d Session
                                H. R. 5005

                      [Report No. 107-609, Part I]

    To establish the Department of Homeland Security, and for other 
                               purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             June 24, 2002

Mr. Armey (for himself, Mr. Hastert, Mr. DeLay, Mr. Watts of Oklahoma, 
Mr. Cox, Ms. Pryce of Ohio, Mrs. Cubin, Mr. Tom Davis of Virginia, Mr. 
Blunt, Mr. Portman, Mr. Aderholt, Mr. Akin, Mr. Ballenger, Mr. Barr of 
Georgia, Mr. Bass, Mr. Bereuter, Mr. Boehlert, Mr. Bonilla, Mrs. Bono, 
Mr. Brady of Texas, Mr. Brown of South Carolina, Mr. Burton of Indiana, 
Mr. Buyer, Mr. Calvert, Mr. Camp, Mr. Cantor, Mrs. Capito, Mr. Castle, 
    Mr. Chambliss, Mr. Cooksey, Mr. Crenshaw, Mrs. Jo Ann Davis of 
Virginia, Mr. Dreier, Mr. DeMint, Ms. Dunn of Washington, Mr. Ehrlich, 
 Mr. English, Mr. Ferguson, Mr. Forbes, Mr. Fossella, Mr. Ganske, Mr. 
 Gekas, Mr. Gibbons, Mr. Gilman, Mr. Gillmor, Mr. Goode, Ms. Granger, 
  Mr. Green of Wisconsin, Mr. Greenwood, Mr. Grucci, Mr. Hansen, Ms. 
Harman, Ms. Hart, Mr. Hastings of Washington, Mr. Hayes, Mr. Hayworth, 
Mr. Hefley, Mr. Herger, Mr. Hoekstra, Mr. Horn, Mr. Houghton, Mr. Issa, 
 Mr. Jenkins, Mrs. Johnson of Connecticut, Mr. Keller, Mrs. Kelly, Mr. 
 King, Mr. Kolbe, Mr. LaHood, Mr. Linder, Mr. McCrery, Mr. McKeon, Mr. 
 Maloney of Connecticut, Mr. Manzullo, Mr. Dan Miller of Florida, Mr. 
 Gary G. Miller of California, Mrs. Morella, Mrs. Myrick, Mr. Nussle, 
   Mr. Osborne, Mr. Oxley, Mr. Pickering, Mr. Pitts, Mr. Putnam, Mr. 
Rehberg, Mr. Rohrabacher, Mr. Royce, Mrs. Roukema, Mr. Ryun of Kansas, 
Mr. Saxton, Mr. Schrock, Mr. Sensenbrenner, Mr. Sessions, Mr. Shaw, Mr. 
 Shays, Mr. Sherwood, Mr. Simpson, Mr. Skeen, Mr. Souder, Mr. Sweeney, 
 Mr. Tancredo, Mr. Tauzin, Mr. Thornberry, Mr. Tiberi, Mr. Upton, Mr. 
Shimkus, Mr. Walden, Mr. Wamp, Mr. Weldon of Pennsylvania, Mr. Weller, 
Mr. Whitfield, Mr. Wicker, Mrs. Wilson of New Mexico, and Mr. Wilson of 
    South Carolina) (all by request) introduced the following bill; 
 pursuant to House Resolution 449, referred to the Select Committee on 
  Homeland Security for a period to be subsequently determined by the 
      Speaker, and in addition to the Committees on Agriculture, 
    Appropriations, Armed Services, Energy and Commerce, Financial 
     Services, Government Reform, Intelligence (Permanent Select), 
  International Relations, the Judiciary, Science, Transportation and 
Infrastructure, and Ways and Means, for a period ending not later than 
 July 12, 2002, in each case for consideration of such matters as fall 
           within the jurisdiction of the committee concerned

                             July 12, 2002

 The Committees on Agriculture, Appropriations, Armed Services, Energy 
   and Commerce, Financial Services, Government Reform, Intelligence 
 (Permanent Select), International Relations, the Judiciary, Science, 
    Transportation and Infrastructure, and Ways and Means discharged

                             July 24, 2002

 Additional sponsors: Mr. Hyde, Mr. Schiff, Mr. Pence, Mr. Bishop, and 
                               Mr. Vitter

                             July 24, 2002

    Reported from the Select Committee on Homeland Security with an 
                               amendment
 [Strike out all after the enacting clause and insert the part printed 
                               in italic]
 [For text of introduced bill, see copy of bill as introduced on June 
                               24, 2002]

_______________________________________________________________________

                                 A BILL


 
    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.

                Subtitle B--Intelligence Analysis Center

Sec. 211. Intelligence Analysis Center
Sec. 212. Mission of the Intelligence Analysis Center.

                   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.

              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.

            Chapter 2--Citizenship And Immigration Services

                  subchapter a--transfers of functions
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.

                          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.

                        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.

                          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. Advisory committees.
Sec. 763. Reorganization; transfer of appropriations.
Sec. 764. Miscellaneous authorities.
Sec. 765. Military activities.
Sec. 766. Regulatory authority.
Sec. 767. Provisions regarding transfers from Department of Energy.
Sec. 768. Counternarcotics officer.
Sec. 769. Office of International Affairs.
Sec. 770. Prohibition of the terrorism information and prevention 
                            system.
Sec. 771. Review of pay and benefit plans.
Sec. 772. Role of the District of Columbia.
Sec. 773. Transfer of the Federal Law Enforcement Training Center.

                         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. Incidental transfers.
Sec. 815. National identification system not authorized.
Sec. 816. Continuity of Inspector General oversight.
Sec. 817. 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. Biological agent registration; Public Health Service Act.
Sec. 907. Transfer of certain security and law enforcement functions 
                            and authorities.
Sec. 908. Transportation security regulations.
Sec. 909. Railroad security laws.
Sec. 910. Office of Science and Technology Policy.
Sec. 911. National Oceanographic Partnership Program.
Sec. 912. Chief Financial Officer.
Sec. 913. 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.

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; and
                    (F) ensure that the overall economic security of 
                the United States is not diminished by efforts, 
                activities, and programs aimed at securing the 
                homeland.
            (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.--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 Director of Homeland Security 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) Under the direction of the Secretary, developing a 
        comprehensive national plan to provide for the security of key 
        resources and critical infrastructures.
            (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 other areas of responsibility described in section 
101(b), and to all information concerning infrastructure or other 
vulnerabilities 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 and to other areas of responsibility 
                described in section 101(b);
                    (B) all information concerning infrastructure or 
                other vulnerabilities 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 information 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 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 (1) and (2) 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.

                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.

                   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, including through the 
        establishment of a centralized Federal repository for 
        information relating to technologies described in subparagraphs 
        (A), (B), and (C) of paragraph (6) for dissemination to 
        Federal, State, and local government and private sector 
        entities, and for information for persons seeking guidance on 
        how to pursue proposals to develop or deploy technologies that 
        would contribute to homeland security;
            (9) providing 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 subparagraphs (A), (B), 
        and (C) of paragraph (6); and
            (10) 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) The program under section 351A of the Public Health 
        Service Act, and functions thereof, including the functions of 
        the Secretary of Health and Human Services relating thereto, 
        subject to the amendments made by section 906(a)(3), except 
        that such transfer shall not occur unless the program under 
        section 212 of the Agricultural Bioterrorism Protection Act of 
        2002 (subtitle B of title II of Public Law 107-188), and 
        functions thereof, including the functions of the Secretary of 
        Agriculture relating thereto, is transferred to the Department.
            (2) 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.
            (3) 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(2)(D) of this 
Act, the President shall notify the Congress 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; and
            (B) 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).

              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 of National Preparedness of the Federal 
        Emergency Management Agency, including the functions of the 
        Director of the Federal Emergency Management Agency relating 
        thereto.
            (6) 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.
            (7) The National Domestic Preparedness Office of the 
        Federal Bureau of Investigation, including the functions of the 
        Attorney General relating thereto.
            (8) 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.

            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, 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) Except as provided in section 402, 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.

                          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.

                        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.

    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.

                          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 and extensive United States government use and 
        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.
    (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 
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 those products reviewed and approved by the Secretary, the 
Secretary will issue a certificate of conformance to the Seller and 
place the product 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 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 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, device, or technology designed, developed, 
        or modified for the specific purpose of preventing, detecting, 
        identifying, or deterring acts of terrorism and 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) 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 title (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 or under subsection (a) for employees 
        engaged in intelligence, counterintelligence, investigative, or 
        security work which directly affects national security; 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 
title, 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) 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.''.
            (2) 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. 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. 763. 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. 764. 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. 765. 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. 766. REGULATORY AUTHORITY.

    Except as otherwise provided in 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.

SEC. 767. 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. 768. 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.

SEC. 769. 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. 770. 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. 771. 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. 772. 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. 773. 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.

                         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, Harbor 
        Maintenance Trust Fund, or Oil Spill Liability 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. INCIDENTAL TRANSFERS.

    The Director of the Office of Management and Budget, in 
consultation with the Secretary, is authorized and directed to make 
such additional incidental dispositions of personnel, assets, and 
obligations held, used, arising from, available, or to be made 
available, in connection with the functions transferred by this Act, as 
the Director may deem necessary to accomplish the purposes of this Act.

SEC. 815. NATIONAL IDENTIFICATION SYSTEM NOT AUTHORIZED.

    Nothing in this Act shall be construed to authorize the development 
of a national identification system or card.

SEC. 816. 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. 817. 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. BIOLOGICAL AGENT REGISTRATION; PUBLIC HEALTH SERVICE ACT.

    (a) Public Health Service Act.--Section 351A of the Public Health 
Service Act (42 U.S.C. 262a) is amended--
            (1) in subsection (a)(1)(A), by inserting ``(as defined in 
        subsection (l)(9))'' after ``Secretary'';
            (2) in subsection (h)(2)(A), by inserting ``Department of 
        Homeland Security, the'' before ``Department of Health and 
        Human Services''; and
            (3) in subsection (l), by inserting after paragraph (8) a 
        new paragraph as follows:
            ``(9) The term `Secretary' means the Secretary of Homeland 
        Security, in consultation with the Secretary of Health and 
        Human Services.''.
    (b) Public Health Security and Bioterrorism Preparedness and 
Response Act of 2002.--Section 201(b) of the Public Health Security and 
Bioterrorism Preparedness and Response Act of 2002 (Public Law 107-188; 
42 U.S.C. 262a note) is amended by striking ``Secretary of Health and 
Human Services'' and inserting ``Secretary of Homeland Security''.
    (c) Effective Date.--The amendments made by this section shall take 
effect on the date of transfer of the select agent registration 
enforcement programs and activities of the Department of Health and 
Human Services to the Department.

SEC. 907. 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. 908. 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. 909. 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. 910. 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. 911. 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. 912. 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. 913. 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.




                                                 Union Calendar No. 368

107th CONGRESS

  2d Session

                               H. R. 5005

                      [Report No. 107-609, Part I]

_______________________________________________________________________

                                 A BILL

    To establish the Department of Homeland Security, and for other 
                               purposes.

_______________________________________________________________________

                             July 24, 2002

    Reported from the Select Committee on Homeland Security with an 
                               amendment