[Congressional Bills 107th Congress]
[From the U.S. Government Publishing Office]
[S. 2506 Reported in Senate (RS)]






                                                       Calendar No. 490
107th CONGRESS
  2d Session
                                S. 2506

                          [Report No. 107-149]

                          [Report No. 107-208]

 To authorize appropriations for fiscal year 2003 for intelligence and 
 intelligence-related activities of the United States Government, the 
   Community Management Account, and the Central Intelligence Agency 
       Retirement and Disability System, and for other purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                 May 13 (legislative day, May 9), 2002

  Mr. Graham, from the Select Committee on Intelligence, reported the 
   following original bill; which was read twice and referred to the 
    Committee on Armed Services, pursuant to section 3(b) of Senate 
 Resolution 400, Ninety-fourth Congress, for a period not to exceed 30 
                            days of session

                              July 9, 2002

                 Reported by Mr. Levin, with amendments
  [Omit the part struck through and insert the part printed in italic]

_______________________________________________________________________

                                 A BILL


 
 To authorize appropriations for fiscal year 2003 for intelligence and 
 intelligence-related activities of the United States Government, the 
   Community Management Account, and the Central Intelligence Agency 
       Retirement and Disability System, 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 ``Intelligence 
Authorization Act for Fiscal Year 2003''.
    (b) Table of Contents.--The table of contents of this Act is as 
follows:

Sec. 1. Short title; table of contents.
                    TITLE I--INTELLIGENCE ACTIVITIES

Sec. 101. Authorization of appropriations.
Sec. 102. Classified schedule of authorizations.
Sec. 103. Personnel ceiling adjustments.
Sec. 104. Intelligence Community Management Account.
Sec. 105. Incorporation of reporting requirements.
Sec. 106. Preparation and submittal of reports, reviews, studies, and 
                            plans relating to intelligence activities 
                            of the Department of Defense or Department 
                            of Energy.
 TITLE II--CENTRAL INTELLIGENCE AGENCY RETIREMENT AND DISABILITY SYSTEM

Sec. 201. Authorization of appropriations.
                     TITLE III--GENERAL PROVISIONS

Sec. 301. Increase in employee compensation and benefits authorized by 
                            law.
Sec. 302. Restriction on conduct of intelligence activities.
Sec. 303. Definition of congressional intelligence committees in 
                            National Security Act of 1947.
Sec. 304. Specificity of National Foreign Intelligence Program budget 
                            amounts for counterterrorism, 
                            counterproliferation, counternarcotics, and 
                            counterintelligence.
Sec. 305. Modification of authority to make funds for intelligence 
                            activities available for other intelligence 
                            activities.
Sec. 306. Clarification of authority to furnish information on 
                            intelligence activities to Congress.
Sec. 307. Standardized transliteration of names into the Roman 
                            alphabet.
Sec. 308. Standards and qualifications for the performance of 
                            intelligence activities.
Sec. 309. Modification of David L. Boren National Security Education 
                            Program.
Sec. 310. Scholarships and work-study for pursuit of graduate degrees 
                            in science and technology.
Sec. 311. National Virtual Translation Center.
Sec. 312. Foreign Terrorist Asset Tracking Center.
Sec. 313. Terrorist Identification Classification System.
Sec. 314. Annual report on foreign companies involved in the 
                            proliferation of weapons of mass 
                            destruction that raise funds in the United 
                            States capital markets.
Sec. 315. Two-year extension of Central Intelligence Agency Voluntary 
                            Separation Pay Act.
Sec. 316. Additional one-year suspension of reorganization of 
                            Diplomatic Telecommunications Service 
                            Program Office.
                    TITLE IV--REPORTING REQUIREMENTS

      Subtitle A--Submittal of Reports to Intelligence Committees

Sec. 401. Dates for submittal of various annual and semi-annual reports 
                            to the congressional intelligence 
                            committees.
                  Subtitle B--Recurring Annual Reports

Sec. 411. Annual assessment of satisfaction of intelligence community 
                            with collection, analysis, and production 
                            of intelligence.
Sec. 412. Annual report on threat of attack on the United States using 
                            weapons of mass destruction.
Sec. 413. Annual report on covert leases.
Sec. 414. Annual report on improvement of financial statements of 
                            certain elements of the intelligence 
                            community for auditing purposes.
Sec. 415. Annual report on activities of Federal Bureau of 
                            Investigation personnel outside the United 
                            States.
Sec. 416. Annual reports of inspectors general of the intelligence 
                            community on proposed resources and 
                            activities of their offices.
Sec. 417. Annual report on counterdrug intelligence matters.
                       Subtitle C--Other Reports

Sec. 431. Evaluation of policies and procedures of Department of State 
                            on protection of classified information at 
                            department headquarters.
           Subtitle D--Repeal of Certain Report Requirements

Sec. 441. Repeal of certain report requirements.
                TITLE V--COUNTERINTELLIGENCE ACTIVITIES

Sec. 501. Short title; purpose.
Sec. 502. National Counterintelligence Executive.
Sec. 503. National Counterintelligence Policy Board.
Sec. 504. Office of the National Counterintelligence Executive.
 TITLE VI--NATIONAL COMMISSION FOR REVIEW OF RESEARCH AND DEVELOPMENT 
          PROGRAMS OF THE UNITED STATES INTELLIGENCE COMMUNITY

Sec. 601. Findings.
Sec. 602. National Commission for the Review of the Research and 
                            Development Programs of the United States 
                            Intelligence Community.
Sec. 603. Powers of Commission.
Sec. 604. Staff of Commission.
Sec. 605. Compensation and travel expenses.
Sec. 606. Treatment of information relating to national security.
Sec. 607. Final report; termination.
Sec. 608. Assessments of final report.
Sec. 609. Inapplicability of certain administrative provisions.
Sec. 610. Funding.
Sec. 611. Definitions.

                    TITLE I--INTELLIGENCE ACTIVITIES

SEC. 101. AUTHORIZATION OF APPROPRIATIONS.

    Funds are hereby authorized to be appropriated for fiscal year 2003 
for the conduct of the intelligence and intelligence-related activities 
of the following elements of the United States Government:
            (1) The Central Intelligence Agency.
            (2) The Department of Defense.
            (3) The Defense Intelligence Agency.
            (4) The National Security Agency.
            (5) The Department of the Army, the Department of the Navy, 
        and the Department of the Air Force.
            (6) The Department of State.
            (7) The Department of the Treasury.
            (8) The Department of Energy.
            (9) The Federal Bureau of Investigation.
            (10) The National Reconnaissance Office.
            (11) The National Imagery and Mapping Agency.
            (12) The Coast Guard.

SEC. 102. CLASSIFIED SCHEDULE OF AUTHORIZATIONS.

    (a) Specifications of Amounts and Personnel Ceilings.--The amounts 
authorized to be appropriated under section 101, and the authorized 
personnel ceilings as of September 30, 2003, for the conduct of the 
intelligence and intelligence-related activities of the elements listed 
in such section, are those specified in the classified Schedule of 
Authorizations prepared to accompany the conference report on the bill 
______ of the One Hundred Seventh Congress.
    (b) Availability of Classified Schedule of Authorizations.--The 
Schedule of Authorizations shall be made available to the Committees on 
Armed Services and Appropriations of the Senate and House of 
Representatives, to Members of Congress who so request, and to the 
President. The President shall provide for suitable distribution of the 
Schedule, or of appropriate portions of the Schedule, within the 
executive branch.

SEC. 103. PERSONNEL CEILING ADJUSTMENTS.

    (a) Authority for Adjustments.--With the approval of the Director 
of the Office of Management and Budget, the Director of Central 
Intelligence may authorize employment of civilian personnel in excess 
of the number authorized for fiscal year 2003 under section 102 when 
the Director of Central Intelligence determines that such action is 
necessary to the performance of important intelligence functions, 
except that the number of personnel employed in excess of the number 
authorized under such section may not, for any element of the 
intelligence community, exceed 2 percent of the number of civilian 
personnel authorized under such section for such element.
    (b) Notice to Intelligence Committees.--The Director of Central 
Intelligence shall notify promptly the Permanent Select Committee on 
Intelligence of the House of Representatives and the Select Committee 
on Intelligence of the Senate whenever the Director exercises the 
authority granted by this section.

SEC. 104. INTELLIGENCE COMMUNITY MANAGEMENT ACCOUNT.

    (a) Authorization of Appropriations.--There is authorized to be 
appropriated for the Community Management Account of the Director of 
Central Intelligence for fiscal year 2003 the sum of $157,979,000. 
Within such amount, funds identified in the classified Schedule of 
Authorizations referred to in section 102(a) for advanced research and 
development shall remain available until September 30, 2004.
    (b) Authorized Personnel Levels.--The elements within the 
Intelligence Community Management Account of the Director of Central 
Intelligence are authorized 309 full-time personnel as of September 30, 
2003. Personnel serving in such elements may be permanent employees of 
the Intelligence Community Management Account or personnel detailed 
from other elements of the United States Government.
    (c) Classified Authorizations.--
            (1) Authorization of appropriations.--In addition to 
        amounts authorized to be appropriated for the Intelligence 
        Community Management Account by subsection (a), there are also 
        authorized to be appropriated for the Intelligence Community 
        Management Account for fiscal year 2003 such additional amounts 
        as are specified in the classified Schedule of Authorizations 
        referred to in section 102(a). Such additional amounts for 
        research and development shall remain available until September 
        30, 2004.
            (2) Authorization of personnel.--In addition to the 
        personnel authorized by subsection (b) for elements of the 
        Intelligence Community Management Account as of September 30, 
        2003, there are hereby authorized such additional personnel for 
        such elements as of that date as are specified in the 
        classified Schedule of Authorizations.
    (d) Reimbursement.--Except as provided in section 113 of the 
National Security Act of 1947 (50 U.S.C. 404h), during fiscal year 2003 
any officer or employee of the United States or a member of the Armed 
Forces who is detailed to the staff of the Intelligence Community 
Management Account from another element of the United States Government 
shall be detailed on a reimbursable basis, except that any such 
officer, employee, or member may be detailed on a nonreimbursable basis 
for a period of less than one year for the performance of temporary 
functions as required by the Director of Central Intelligence.
    (e) National Drug Intelligence Center.--
            (1) In general.--Of the amount authorized to be 
        appropriated in subsection (a), $32,100,000 shall be available 
        for the National Drug Intelligence Center. Within such amount, 
        funds provided for research, development, testing, and 
        evaluation purposes shall remain available until September 30, 
        2004, and funds provided for procurement purposes shall remain 
        available until September 30, 2005.
            (2) Transfer of funds.--The Director of Central 
        Intelligence shall transfer to the Attorney General funds 
        available for the National Drug Intelligence Center under 
        paragraph (1). The Attorney General shall utilize funds so 
        transferred for the activities of the National Drug 
        Intelligence Center.
            (3) Limitation.--Amounts available for the National Drug 
        Intelligence Center may not be used in contravention of the 
        provisions of section 103(d)(1) of the National Security Act of 
        1947 (50 U.S.C. 403-3(d)(1)).
            (4) Authority.--Notwithstanding any other provision of law, 
        the Attorney General shall retain full authority over the 
        operations of the National Drug Intelligence Center.

SEC. 105. INCORPORATION OF REPORTING REQUIREMENTS.

    (a) In General.--Each requirement to submit a report to the 
congressional intelligence committees that is included in the joint 
explanatory statement to accompany the conference report on the bill 
______ of the One Hundred Seventh Congress, in the classified annex to 
this Act, in the report of the Senate to accompany the bill S.____ of 
the 107th Congress, or in the report of the House of Representatives to 
accompany the bill H.R.____ is hereby incorporated into this Act, and 
is hereby made a requirement in law.
    (b) Submittal Date.--The date for the submittal to the 
congressional intelligence committees of any report referred to in 
subsection (a), whether an annual report, semiannual report, or non-
recurring report, shall be as provided for a report of that type in 
section 507 of the National Security Act of 1947, as added by section 
401 of this Act.
    (c) Congressional Intelligence Committees Defined.--In this 
section, the term ``congressional intelligence committees'' means--
            (1) the Select Committee on Intelligence of the Senate; and
            (2) the Permanent Select Committee on Intelligence of the 
        House of Representatives.

SEC. 106. PREPARATION AND SUBMITTAL OF REPORTS, REVIEWS, STUDIES, AND 
              PLANS RELATING TO INTELLIGENCE ACTIVITIES OF THE 
              DEPARTMENT OF DEFENSE OR DEPARTMENT OF ENERGY.

    (a) Consultation in Preparation.--(1) The Director of Central 
Intelligence shall ensure that any report, review, study, or plan 
required to be prepared or conducted by a provision of this Act, 
including a provision of the classified Schedule of Authorizations or a 
classified annex to this Act, that involves the intelligence or 
intelligence-related activities of the Department of Defense or 
Department of Energy is prepared or conducted in consultation with the 
Secretary of Defense or the Secretary of Energy, as appropriate.
    (2) The Secretary of Defense or Secretary of Energy may carry out 
any consultation required by this subsection through an official of the 
Department of Defense or Department of Energy, as the case may be, 
designated by such Secretary for that purpose.
    (b) Submittal.--Any report, review, study, or plan referred to in 
subsection (a) shall be submitted, in addition to any other committee 
of Congress specified for submittal in the provision concerned, to the 
following committees of Congress:
            (1) The Committees on Armed Services and Appropriations and 
        the Select Committee on Intelligence of the Senate.
            (2) The Committees on Armed Services and Appropriations and 
        the Permanent Select Committee on Intelligence of the House of 
        Representatives.

 TITLE II--CENTRAL INTELLIGENCE AGENCY RETIREMENT AND DISABILITY SYSTEM

SEC. 201. AUTHORIZATION OF APPROPRIATIONS.

    There is authorized to be appropriated for the Central Intelligence 
Agency Retirement and Disability Fund for fiscal year 2003 the sum of 
$223,300,000.

                     TITLE III--GENERAL PROVISIONS

SEC. 301. INCREASE IN EMPLOYEE COMPENSATION AND BENEFITS AUTHORIZED BY 
              LAW.

    Appropriations authorized by this Act for salary, pay, retirement, 
and other benefits for Federal employees may be increased by such 
additional or supplemental amounts as may be necessary for increases in 
such compensation or benefits authorized by law.

SEC. 302. RESTRICTION ON CONDUCT OF INTELLIGENCE ACTIVITIES.

    The authorization of appropriations by this Act shall not be deemed 
to constitute authority for the conduct of any intelligence activity 
which is not otherwise authorized by the Constitution or the laws of 
the United States.

SEC. 303. DEFINITION OF CONGRESSIONAL INTELLIGENCE COMMITTEES IN 
              NATIONAL SECURITY ACT OF 1947.

    (a) In General.--Section 3 of the National Security Act of 1947 (50 
U.S.C. 401a) is amended by adding at the end the following new 
paragraph:
            ``(7) The term `congressional intelligence committees' 
        means--
                    ``(A) the Select Committee on Intelligence of the 
                Senate; and
                    ``(B) the Permanent Select Committee on 
                Intelligence of the House of Representatives.''.
    (b) Conforming Amendments.--(1) That Act is further amended by 
striking ``Select Committee on Intelligence of the Senate and the 
Permanent Select Committee on Intelligence of the House of 
Representatives'' and inserting ``congressional intelligence 
committees'' in each of the following provisions:
            (A) Section 104(d)(4) (50 U.S.C. 403-4(d)(4)).
            (B) Section 603(a) (50 U.S.C. 423(a)).
    (2) That Act is further amended by striking ``Permanent Select 
Committee on Intelligence of the House of Representatives and the 
Select Committee on Intelligence of the Senate'' and inserting 
``congressional intelligence committees'' in each of the following 
provisions:
            (A) Section 113(c) (50 U.S.C. 404h(c)).
            (B) Section 301(j) (50 U.S.C. 409a(j)).
            (C) Section 801(b)(2) (50 U.S.C. 435(b)(2)).
            (D) Section 903 (50 U.S.C. 441b).
    (3) That Act is further amended by striking ``intelligence 
committees'' and inserting ``congressional intelligence committees'' in 
each of the following provisions:
            (A) Section 501 (50 U.S.C. 413).
            (B) Section 502 (50 U.S.C. 413a).
            (C) Section 503 (50 U.S.C. 413b).
            (D) Section 504(d)(2) (50 U.S.C. 414(d)(2)).
    (4) Section 104(d)(5) of that Act (50 U.S.C. 403-4(d)(5)) is 
amended by striking ``Select Committee on Intelligence of the Senate 
and to the Permanent Select Committee on Intelligence of the House of 
Representatives'' and inserting ``congressional intelligence 
committees''.
    (5) Section 105C(a)(3)(C) of that Act (50 U.S.C. 403-5c(a)(3)(C)) 
is amended--
            (A) by striking clauses (i) and (ii) and inserting the 
        following new clause (i):
                    ``(i) The congressional intelligence committees.''; 
                and
            (B) by redesignating clauses (iii), (iv), (v), and (vi) as 
        clauses (ii), (iii), (iv), and (v), respectively.
    (6) Section 114 of that Act (50 U.S.C. 404i) is amended by striking 
subsection (c) and inserting the following new subsection (c):
    ``(c) Congressional Leadership Defined.--In this section, the term 
`congressional leadership' means the Speaker and the minority leader of 
the House of Representatives and the majority leader and the minority 
leader of the Senate.''.
    (7) Section 501(a) of that Act (50 U.S.C. 413(a)), as amended by 
paragraph (3) of this subsection, is further amended--
            (A) by striking paragraph (2); and
            (B) by redesignating paragraph (3) as paragraph (2).
    (8) Section 503(c)(4) of that Act (50 U.S.C. 413b(c)(4)) is amended 
by striking ``intelligence committee'' and inserting ``congressional 
intelligence committee''.
    (9) Section 602(c) of that Act (50 U.S.C. 422(c)) is amended by 
striking ``the Select Committee on Intelligence of the Senate or to the 
Permanent Select Committee on Intelligence of the House of 
Representatives'' and inserting ``either congressional intelligence 
committee''.
    (10) Section 701(c)(3) of that Act (50 U.S.C. 431(c)(3)) is amended 
by striking ``intelligence committees of Congress'' and inserting 
``congressional intelligence committees''.

SEC. 304. SPECIFICITY OF NATIONAL FOREIGN INTELLIGENCE PROGRAM BUDGET 
              AMOUNTS FOR COUNTERTERRORISM, COUNTERPROLIF-
              ERATION, COUNTERNARCOTICS, AND
              COUNTERINTELLIGENCE.

    (a) In General.--Title V of the National Security Act of 1947 (50 
U.S.C. 413 et seq.) is amended by adding at the end the following new 
section:

 ``specificity of national foreign intelligence program budget amounts 
   for counterterrorism, counterproliferation, counternarcotics, and 
                          counterintelligence

    ``Sec. 506. (a) In General.--The budget justification materials 
submitted to Congress in support of the budget of the President for a 
fiscal year that is submitted to Congress under section 1105(a) of 
title 31, United States Code, shall set forth separately the aggregate 
amount requested for that fiscal year for the National Foreign 
Intelligence Program for each of the following:
            ``(1) Counterterrorism.
            ``(2) Counterproliferation.
            ``(3) Counternarcotics.
            ``(4) Counterintelligence.
    ``(b) Election of Classified or Unclassified Form.--Amounts set 
forth under subsection (a) may be set forth in unclassified form or 
classified form, at the election of the Director of Central 
Intelligence.''.
    (b) Clerical Amendment.--The table of sections for that Act is 
amended by inserting after the item relating to section 505 the 
following new item:

``Sec. 506. Specificity of National Foreign Intelligence Program budget 
                            amounts for counterterrorism, 
                            counterproliferation, counternarcotics, and 
                            counterintelligence.''.

SEC. 305. MODIFICATION OF AUTHORITY TO MAKE FUNDS FOR INTELLIGENCE 
              ACTIVITIES AVAILABLE FOR OTHER INTELLIGENCE ACTIVITIES.

    (a) Nature of Unforseen Requirements.--Section 504(a) of the 
National Security Act of 1947 (50 U.S.C. 414(a)) is amended--
            (1) by redesignating paragraphs (1), (2), and (3) as 
        subparagraphs (A), (B), and (C), respectively;
            (2) in subparagraph (C), as so redesignated--
                    (A) by redesignating subparagraphs (A), (B), and 
                (C) as clauses (i), (ii), and (iii), respectively; and
                    (B) by striking the semicolon at the end and 
                inserting a period;
            (3) by inserting ``(1)'' after ``(a)'';
            (4) by striking ``(4) nothing'' and inserting ``(2) 
        Nothing'';
            (5) by indenting paragraph (2), as designated by paragraph 
        (4) of this section, two ems from the left margin; and
            (6) by adding at the end the following new paragraph:
    ``(3) For purposes of paragraph (1)(C)(ii), an unforseen 
requirement may not include a requirement arising under statute or the 
request of a committee or Member of Congress.''.
    (b) Certification Requirement for Reprogramming.--Paragraph 
(1)(C)(iii) of that section, as redesignated by subsection (a) of this 
section, is further amended by striking ``has notified'' and all that 
follows and inserting ``submits to the appropriate congressional 
committees, before obligation of funds for such activity, a 
certification that the requirements of clauses (i) and (ii) are met 
with respect to such activity.''.

SEC. 306. CLARIFICATION OF AUTHORITY TO FURNISH INFORMATION ON 
              INTELLIGENCE ACTIVITIES TO CONGRESS.

    (a) In General.--Title V of the National Security Act of 1947 (50 
U.S.C. 413 et seq.) is amended by inserting after section 503 the 
following new section:

   ``authority to furnish information on intelligence activities to 
                                congress

    ``Sec. 503A. Notwithstanding any other provision of law, and 
consistent with the obligations of the Director of Central Intelligence 
to protect intelligence sources and methods, it shall not be unlawful 
for the Director, or a designee of the Director, to furnish to the 
congressional intelligence committees information in the possession of 
an element of the intelligence community on intelligence activities in 
furtherance of the reporting responsibilities of such element under 
sections 501, 502, and 503 or any other provision of law requiring the 
reporting of information on intelligence activities to Congress.''.
    (b) Clerical Amendment.--The table of sections for the National 
Security Act of 1947 is amended by inserting after the item relating to 
section 503 the following new item:

``Sec. 503A. Authority to furnish information on intelligence 
                            activities to Congress.''.

SEC. 307. STANDARDIZED TRANSLITERATION OF NAMES INTO THE ROMAN 
              ALPHABET.

    (a) Method of Transliteration Required.--Not later than 90 days 
after the date of the enactment of this Act, the Director of Central 
Intelligence shall establish a standardized method for transliterating 
into the Roman alphabet personal and place names originally rendered in 
any language that uses an alphabet other than the Roman alphabet.
    (b) Use by Intelligence Community.--The Director shall ensure the 
use of the method established under subsection (a) in--
            (1) all communications among the elements of the 
        intelligence community; and
            (2) all intelligence products of the intelligence 
        community.

SEC. 308. STANDARDS AND QUALIFICATIONS FOR THE PERFORMANCE OF 
              INTELLIGENCE ACTIVITIES.

    Section 104 of the National Security Act of 1947 (50 U.S.C. 403-4) 
is amended--
            (1) by redesignating subsection (g) as subsection (h); and
            (2) by inserting after subsection (f) the following new 
        subsection (g):
    ``(g) Standards and Qualifications for Performance of Intelligence 
Activities.--The Director, acting as the head of the intelligence 
community, shall, in consultation with the heads of effected agencies, 
prescribe standards and qualifications for persons engaged in the 
performance of intelligence activities within the intelligence 
community.''.

SEC. 309. MODIFICATION OF DAVID L. BOREN NATIONAL SECURITY EDUCATION 
              PROGRAM.

    (a) Termination of Scholarship Program.--Paragraph (1) of 
subsection (a) of section 802 of the David L. Boren National Security 
Education Act of 1991 (title VIII of Public Law 102-183; 50 U.S.C. 
1902) is amended--
            (1) by striking subparagraph (A); and
            (2) by redesignating subparagraph (B) as subparagraph (A).
    (b) Substitution of National Flagship Language Initiative for Grant 
Program.--That subsection is further amended--
            (1) in paragraph (1), by striking subparagraph (C) and 
        inserting the following new subparagraph (B):
                    ``(B) carrying out activities under paragraph (2) 
                relating to proficiency in foreign languages.'';
            (2) by striking paragraph (2);
            (3) by redesignating paragraphs (3) and (4) as paragraphs 
        (4) and (5), respectively; and
            (4) by inserting after paragraph (1) the following new 
        paragraph (2):
    ``(2) National flagship language initiative.--
                    ``(A) In general.--As part of the program under 
                paragraph (1), the Secretary shall, in accordance with 
                regulations prescribed by the Secretary, carry out 
                activities at institutions of higher education, which 
                activities shall be designed--
                            ``(i) to produce in professionals an 
                        advanced level of proficiency in foreign 
                        languages that the Board identifies under 
                        section 803(d)(4) as critical to the national 
                        security of the United States; and
                            ``(ii) to permit undergraduate and graduate 
                        students, and employees of the United States 
                        Government, to undertake studies to enhance 
                        their foreign language proficiency.
                    ``(B) Participation by fellowship recipients.--
                Recipients of fellowships under paragraph (1)(A) may 
                participate in the activities carried out under this 
                paragraph.
                    ``(C) Designation of activities.--The activities 
                carried out under this paragraph shall be known as the 
                `National Flagship Language Initiative'.''.
    (c) Funding Allocation.--That subsection is further amended by 
inserting after paragraph (2), as amended by subsection (b) of this 
section, the following new paragraph (3):
            ``(3) Funding allocations.--Of the amount available for 
        obligation out of the Fund for any fiscal year, the Secretary 
        shall allocate such amount in a manner considered appropriate 
        by the Secretary for purposes of fellowships under paragraph 
        (1)(A) and carrying out activities under paragraph (1)(B).''.
    (d) Conforming Amendments.--(1) Section 802 of that Act is further 
amended--
            (A) in subsection (a)(5), as redesignated by subsection 
        (b)(3) of this section, by striking ``scholarships, 
        fellowships, and grants'' and inserting ``fellowships, and the 
        carrying out of activities,'';
            (B) in subsection (b)--
                    (i) in the matter preceding paragraph (1)--
                            (I) by striking ``scholarship or''; and
                            (II) by striking ``or any scholarship''; 
                        and
                    (ii) by striking paragraph (2) and inserting the 
                following new paragraph (2):
            ``(2) shall, upon completion of such recipient's education 
        under the program, and in accordance with such regulations--
                    ``(A) work in a national security position for a 
                period specified by the Secretary, which period shall 
                be not less than the period for which the fellowship 
                assistance was provided; or
                    ``(B) if the recipient demonstrates to the 
                Secretary (in accordance with such regulations) that no 
                national security position is available upon the 
                completion of the degree, work in the field of higher 
                education in a discipline relating to the foreign 
                country, foreign language, area study, 
                counterproliferation study, or international field of 
                study for which the fellowship was awarded for a period 
                specified by the Secretary, which period shall be 
                established in accordance with subparagraph (A); and'';
            (C) in subsection (c)--
                    (i) by striking ``scholarship or'' each place it 
                appears; and
                    (ii) by striking ``scholarships and'';
            (D) in subsection (d)--
                    (i) by striking ``scholarships, fellowships, or 
                grants'' and inserting ``fellowships, or for the 
                carrying out of activities,''; and
                    (ii) by striking ``scholarships, fellowships, or 
                grants (as the case may be)'' and inserting ``such 
                fellowships or activities, as the case may be,'';
            (E) in subsection (e), by striking ``scholarships, 
        fellowships, and grants'' and inserting ``fellowships, and 
        carry out activities,'';
            (F) in subsection (f), by striking ``grant, scholarship, 
        or''; and
            (G) in subsection (g)(1), by striking ``or scholarship''.
    (2) Section 803(d) of that Act (50 U.S.C. 1903(d)) is amended--
            (A) in paragraph (1), by striking ``scholarships, 
        fellowships, and grants'' and inserting ``fellowships, and 
        carrying out activities,'';
            (B) in paragraph (3)--
                    (i) by striking ``desiring scholarships or 
                fellowships, and institutions of higher education 
                desiring grants under this chapter'' and inserting 
                ``desiring fellowships under section 802(a)(1), and 
                institutions of higher education desiring to carry out 
                activities under section 802(a)(2)''; and
                    (ii) by striking ``scholarship or'' each place it 
                appears;
            (C) in paragraph (4)--
                    (i) by striking subparagraphs (A) and (C);
                    (ii) by redesignating subparagraphs (B) and (D) as 
                subparagraphs (A) and (C), respectively;
                    (iii) in subparagraph (A), as so redesignated, by 
                striking ``section 802(a)(1)(B)'' and inserting 
                ``section 802(a)(1)(A)'';
                    (iv) by inserting after subparagraph (A) the 
                following new subparagraph (B):
                    ``(B) which foreign languages are critical to the 
                national security interests of the United States for 
                purposes of section 802(a)(2); and''; and
                    (v) in subparagraph (C), as so redesignated, by 
                striking ``scholarships or'';
            (D) in paragraph (6), by striking ``scholarship recipients 
        and''; and
            (E) in paragraph (7), by striking ``scholarship or''.
    (3) Section 804(b)(1) of that Act (50 U.S.C. 1904(b)(1)) is amended 
by striking ``scholarships, fellowships, and grants'' and inserting 
``fellowships and carrying out activities''.
    (4) The heading for title VIII of the Intelligence Authorization 
Act, Fiscal Year 1992 (Public Law 102-183) is amended to read as 
follows:

   ``TITLE VIII--NATIONAL SECURITY FELLOWSHIPS AND OTHER EDUCATIONAL 
                               SUPPORT''.

    (5) The heading of section 802 of that Act is amended to read as 
follows:

``SEC. 802. PROGRAM OF FELLOWSHIPS AND OTHER EDUCATIONAL SUPPORT.''.

    (e) Construction of Amendments.--Nothing in the amendments to the 
David L. Boren National Security Education Act of 1991 made by this 
section shall affect the validity of any scholarship, fellowship, or 
grant made or awarded under that Act before the date of the enactment 
of this Act.
    (f) Report on Conversion of Funding From Trust Fund to Annual 
Appropriations.--(1) Not later than 90 days after the date of the 
enactment of this Act, the Secretary of Defense shall, in conjunction 
with the Director of Central Intelligence, submit to the congressional 
intelligence committees a report <DELETED>containing a proposal for the 
conversion of </DELETED>on the advisability of converting the funding 
of the program of fellowships and other educational support under the 
David L. Boren National Security Education Act of 1991, as amended by 
this section, from funding through the National Security Education 
Trust Fund under section 804 of that Act to funding through 
appropriations.
    (2) <DELETED>The proposal under paragraph (1) </DELETED>If the 
Secretary and the Director determine in the report under paragraph (1) 
that the conversion of funding referred to in that paragraph is 
advisable, the report shall include a recommendation for such 
legislation as the Secretary and the Director consider appropriate to 
implement the <DELETED>proposal </DELETED>conversion of funding.
    (g) Report on Modification of National Flagship Language Initiative 
Before Implementation.--If the Secretary, in conjunction with the 
Director, proposes any modification of the National Flagship Language 
Initiative under paragraph (2) of section 802(a) of the David L. Boren 
National Security Education Act of 1991, as amended by subsection (c) 
of this section, between the date of the enactment of this Act and the 
date of the implementation of the initiative, the Secretary and the 
Director shall jointly submit to the congressional intelligence 
committees a report on the proposed modification.
    (h) Congressional Intelligence Committees Defined.--In this 
section, the term ``congressional intelligence committees'' means--
            (1) the Select Committee on Intelligence of the Senate; and
            (2) the Permanent Select Committee on Intelligence of the 
        House of Representatives.

SEC. 310. SCHOLARSHIPS AND WORK-STUDY FOR PURSUIT OF GRADUATE DEGREES 
              IN SCIENCE AND TECHNOLOGY.

    (a) Program Required.--The National Security Act of 1947 is 
amended--
            (1) by redesignating title X as title XI;
            (2) by redesignating section 1001 as section 1101; and
            (3) by inserting after title IX the following new title X:

        ``TITLE X--EDUCATION IN SUPPORT OF NATIONAL INTELLIGENCE

   ``scholarships and work-study for pursuit of graduate degrees in 
                         science and technology

    ``Sec. 1001. (a) Program Required.--The Director of Central 
Intelligence shall carry out a program to provide scholarships and 
work-study for individuals who are pursuing graduate degrees in fields 
of study in science and technology that are identified by the Director 
as appropriate to meet the future needs of the intelligence community 
for qualified scientists and engineers.
    ``(b) Administration.--The Director shall administer the program 
through the Assistant Director of Central Intelligence for 
Administration.
    ``(c) Identification of Fields of Study.--The Director shall 
identify fields of study under subsection (a) in consultation with the 
other heads of the elements of the intelligence community.
    ``(d) Eligibility for Participation.--An individual eligible to 
participate in the program is any individual who--
            ``(1) either--
                    ``(A) is an employee of the intelligence community; 
                or
                    ``(B) meets criteria for eligibility for employment 
                in the intelligence community that are established by 
                the Director;
            ``(2) is accepted in a graduate degree program in a field 
        of study in science or technology identified under subsection 
        (a); and
            ``(3) is eligible for a security clearance at the level of 
        Secret or above.
    ``(e) Regulations.--The Director shall prescribe regulations for 
purposes of the administration of this section.''.
    (b) Clerical Amendment.--The table of sections for the National 
Security Act of 1947 is amended by striking the items relating to title 
X and section 1001 and inserting the following new items:

        ``TITLE X--EDUCATION IN SUPPORT OF NATIONAL INTELLIGENCE

``Sec. 1001. Scholarships and work-study for pursuit of graduate 
                            degrees in science and technology.
                      ``TITLE XI--OTHER PROVISIONS

``Sec. 1101. Applicability to United States intelligence activities of 
                            Federal laws implementing international 
                            treaties and agreements.''.

SEC. 311. NATIONAL VIRTUAL TRANSLATION CENTER.

    (a) Establishment.--The Director of Central Intelligence, acting as 
the head of the intelligence community, shall establish in the 
intelligence community an element with the function of connecting the 
elements of the intelligence community engaged in the acquisition, 
storage, translation, or analysis of voice or data in digital form.
    (b) Designation.--The element established under subsection (a) 
shall be known as the National Virtual Translation Center.
    (c) Administrative Matters.--(1) The Director shall retain direct 
supervision and control over the element established under subsection 
(a).
    (2) The element established under subsection (a) shall connect 
elements of the intelligence community utilizing the most current 
available information technology that is applicable to the function of 
the element.
    (d) Deadline for Establishment.--The element required by subsection 
(a) shall be established as soon as practicable after the date of the 
enactment of this Act, but not later than 90 days after that date.

SEC. 312. FOREIGN TERRORIST ASSET TRACKING CENTER.

    (a) Establishment.--The Director of Central Intelligence, acting as 
the head of the intelligence community, shall establish in the Central 
Intelligence Agency an element responsible for conducting all-source 
intelligence analysis of information relating to the financial 
capabilities, practices, and activities of individuals, groups, and 
nations associated with international terrorism in their activities 
relating to international terrorism.
    (b) Designation.--The element established under subsection (a) 
shall be known as the Foreign Terrorist Asset Tracking Center.
    (c) Deadline for Establishment.--The element required by subsection 
(a) shall be established as soon as practicable after the date of the 
enactment of this Act, but not later than 90 days after that date.

SEC. 313. TERRORIST IDENTIFICATION CLASSIFICATION SYSTEM.

    (a) Requirement.--(1) The Director of Central Intelligence, acting 
as head of the Intelligence Community, shall--
            (A) establish and maintain a list of individuals who are 
        known or suspected international terrorists, and of 
        organizations that are known or suspected international 
        terrorist organizations; and
            (B) ensure that pertinent information on the list is shared 
        with the departments, agencies, and organizations described by 
        subsection (c).
    (2) The list under paragraph (1), and the mechanisms for sharing 
information on the list, shall be known as the ``Terrorist 
Identification Classification System''.
    (b) Administration.--(1) The Director shall prescribe requirements 
for the inclusion of an individual or organization on the list required 
by subsection (a), and for the deletion or omission from the list of an 
individual or organization currently on the list.
    (2) The Director shall ensure that the information utilized to 
determine the inclusion, or deletion or omission, of an individual or 
organization on or from the list is derived from all-source 
intelligence.
    (3) The Director shall ensure that the list is maintained in 
accordance with existing law and regulations governing the collection, 
storage, and dissemination of intelligence concerning United States 
persons.
    (c) Information Sharing.--Subject to section 103(c)(6) of the 
National Security Act of 1947 (50 U.S.C. 403-3(c)(6)), relating to the 
protection of intelligence sources and methods, the Director shall 
provide for the sharing of the list, and information on the list, with 
such departments and agencies of the Federal Government, State and 
local government agencies, and entities of foreign governments and 
international organizations as the Director considers appropriate.
    (d) Reporting and Certification.--(1) The Director shall review on 
an annual basis the information provided by various departments and 
agencies for purposes of the list under subsection (a) in order to 
determine whether or not the information so provided is derived from 
the widest possible range of intelligence available to such departments 
and agencies.
    (2) The Director shall, as a result of each review under paragraph 
(1), certify whether or not the elements of the intelligence community 
responsible for the collection of intelligence related to the list have 
provided information for purposes of the list that is derived from the 
widest possible range of intelligence available to such department and 
agencies.
    (e) Report on Criteria for Information Sharing.--(1) Not later then 
March 1, 2003, the Director shall submit to the congressional 
intelligence committees a report describing the criteria used to 
determine which types of information on the list required by subsection 
(a) are to be shared, and which types of information are not to be 
shared, with various departments and agencies of the Federal 
Government, State and local government agencies, and entities of 
foreign governments and international organizations.
    (2) The report shall include a description of the circumstances in 
which the Director has determined that sharing information on the list 
with the departments and agencies of the Federal Government, and of 
State and local governments, described by subsection (c) would be 
inappropriate due to the concerns addressed by section 103(c)(6) of the 
National Security Act of 1947, relating to the protection of sources 
and methods, and any instance in which the sharing on information on 
the list has been inappropriate in light of such concerns.
    (f) System Administration Requirements.--(1) The Director shall, to 
the maximum extent practicable, ensure the interoperability of the 
Terrorist Identification Classification System with relevant 
information systems of the departments and agencies of the Federal 
Government, and of State and local governments, described by subsection 
(c).
    (2) The Director shall ensure that the System utilizes technologies 
that are effective in aiding the identification of individuals in the 
field.
    (g) Report on Status of System.--(1) Not later than one year after 
the date of the enactment of this Act, the Director shall, in 
consultation with the Director of Homeland Security, submit to the 
congressional intelligence committees a report on the status of the 
Terrorist Identification Classification System. The report shall 
contain a certification on the following:
            (A) Whether or not the System contains the intelligence 
        information necessary to facilitate the contribution of the 
        System to the domestic security of the United States.
            (B) Whether or not the departments and agencies having 
        access to the System have access in a manner that permits such 
        departments and agencies to carry out appropriately their 
        domestic security responsibilities.
            (C) Whether or not the System is operating in a manner that 
        maximizes its contribution to the domestic security of the 
        United States.
            (D) If a certification under subparagraph (A), (B), or (C) 
        is in the negative, the modifications or enhancements of the 
        System necessary to ensure a future certification in the 
        positive.
    (2) The report shall be submitted in unclassified form, but may 
include a classified annex.
    (h) Congressional Intelligence Committees Defined.--In this 
section, the term ``congressional intelligence committees'' means--
            (1) the Select Committee on Intelligence of the Senate; and
            (2) the Permanent Select Committee on Intelligence of the 
        House of Representatives.

SEC. 314. ANNUAL REPORT ON FOREIGN COMPANIES INVOLVED IN THE 
              PROLIFERATION OF WEAPONS OF MASS DESTRUCTION THAT RAISE 
              FUNDS IN THE UNITED STATES CAPITAL MARKETS.

    (a) Annual Report Required.--The Director of Central Intelligence 
shall submit to the appropriate committees of Congress on an annual 
basis a report setting forth each foreign company described in 
subsection (b) that raised or attempted to raise funds in the United 
States capital markets during the preceding year.
    (b) Covered Foreign Companies.--A foreign company described in this 
subsection is any foreign company determined by the Director to be 
engaged or involved in the proliferation of weapons of mass destruction 
(including nuclear, biological, or chemical weapons) or the means to 
deliver such weapons.
    (c) Submittal Dates.--(1) In the case of the appropriate committees 
of Congress referred to in paragraph (1) of subsection (e), the date 
each year for the submittal of the report required by subsection (a) 
shall be the date provided in section 507 of the National Security Act 
of 1947, as added by section 401 of this Act.
    (2) In the case of the appropriate committees of Congress referred 
to in paragraphs (2) and (3) of subsection (e), the date each year for 
the submittal of the report required by subsection (a) shall be 
February 1 of such year.
    (d) Form of Reports.--Each report under subsection (a) shall be 
submitted in unclassified form, but may include a classified annex.
    (e) Appropriate Committees of Congress Defined.--In this section, 
the term ``appropriate committees of Congress'' means--
            (1) the Select Committee on Intelligence of the Senate and 
        the Permanent Select Committee on Intelligence of the House of 
        Representatives;
            (2) the Committees on Armed Services, Banking, Housing, and 
        Urban Affairs, and Governmental Affairs of the Senate; and
            (3) the Committees on Armed Services, Financial Services, 
        and Government Reform of the House of Representatives.

SEC. 315. TWO-YEAR EXTENSION OF CENTRAL INTELLIGENCE AGENCY VOLUNTARY 
              SEPARATION PAY ACT.

    Section 2(i) of the Central Intelligence Agency Voluntary 
Separation Pay Act (50 U.S.C. 403-4 note) is amended--
            (1) in subsection (f), by striking ``September 30, 2003'' 
        and inserting ``September 30, 2005''; and
            (2) in subsection (i), by striking ``in fiscal year 1998, 
        1999, 2000, 2001, 2002, or 2003'' and inserting ``in fiscal 
        years 1998 through 2005''.

SEC. 316. ADDITIONAL ONE-YEAR SUSPENSION OF REORGANIZATION OF 
              DIPLOMATIC TELECOMMUNICATIONS SERVICE PROGRAM OFFICE.

    Section 311 of the Intelligence Authorization Act for Fiscal Year 
2002 (Public Law 107-108; 115 Stat. 1401; 22 U.S.C. 7301 note) is 
amended by striking ``October 1, 2002'' and inserting ``October 1, 
2003''.

                    TITLE IV--REPORTING REQUIREMENTS

      Subtitle A--Submittal of Reports to Intelligence Committees

SEC. 401. DATES FOR SUBMITTAL OF VARIOUS ANNUAL AND SEMI-ANNUAL REPORTS 
              TO THE CONGRESSIONAL INTELLIGENCE COMMITTEES.

    (a) In General.--(1) Title V of the National Security Act of 1947 
(50 U.S.C. 413 et seq.), as amended by section 304 of this Act, is 
further amended by adding at the end the following new section:

``dates for submittal of various annual and semi-annual reports to the 
                 congressional intelligence committees

    ``Sec. 507. (a) Annual Reports.--The date for the submittal to the 
congressional intelligence committees of the following annual reports 
shall be the date each year provided in subsection (c)(1):
            ``(1) The annual report on the assessment of the 
        satisfaction of the intelligence community with the collection, 
        analysis, and production of intelligence required by section 
        102(i).
            ``(2) The annual evaluation of the performance and 
        responsiveness of certain elements of the intelligence 
        community required by section 105(d).
            ``(3) The annual report on intelligence required by section 
        109.
            ``(4) The annual report on the detail of intelligence 
        community personnel required by section 113.
            ``(5) The annual report on intelligence community 
        cooperation with Federal law enforcement agencies required by 
        section 114(a)(2).
            ``(6) The annual report on the safety and security of 
        Russian nuclear facilities and nuclear military forces required 
        by section 114(b).
            ``(7) The annual report on the threat of attack on the 
        United States from weapons of mass destruction required by 
        section 114(c).
            ``(8) The annual report on covert leases required by 
        section 114(d).
            ``(9) The annual report on improvements of the financial 
        statements of the intelligence community for auditing purposes 
        required by section 114A.
            ``(10) The annual report on the protection of the 
        identities of covert agents required by section 603.
            ``(11) The annual report on transfers of amounts for 
        acquisition of land by the Central Intelligence Agency required 
        by section 5(c)(2) of the Central Intelligence Agency Act of 
        1949 (50 U.S.C. 403f(c)(2)).
            ``(12) The annual audit of the Central Intelligence Agency 
        central services program required by section 21(g) of the 
        Central Intelligence Agency Act of 1949 (50 U.S.C. 403u(g)).
            ``(13) The annual report on the use of National Security 
        Agency personnel as special policemen required by section 
        11(a)(5) of the National Security Agency Act of 1959 (50 U.S.C. 
        402 note).
            ``(14) The annual report of the Inspectors Generals of the 
        intelligence community on proposed resources and activities of 
        their offices required by section 8H(g) of the Inspector 
        General Act of 1978.
            ``(15) The annual report on commercial activities as 
        security for intelligence collection required by section 437(c) 
        of title 10, United States Code.
            ``(16) The annual report on expenditures for postemployment 
        assistance for terminated intelligence employees required by 
        section 1611(e)(2) of title 10, United States Code.
            ``(17) The annual report on activities of personnel of the 
        Federal Bureau of Investigation outside the United States 
        required by section 540C(c)(2) of title 28, United States Code.
            ``(18) The annual update on foreign industrial espionage 
        required by section 809(b) of the Counterintelligence and 
        Security Enhancements Act of 1994 (title VIII of Public Law 
        103-359; 50 U.S.C. App. 2170b(b)).
            ``(19) The annual report on coordination of 
        counterintelligence matters with the Federal Bureau of 
        Investigation required by section 811(c)(6) of the 
        Counterintelligence and Security Enhancements Act of 1994 (50 
        U.S.C. 402a(c)(6)).
            ``(20) The annual report on intelligence activities of the 
        People's Republic of China required by section 308(c) of the 
        Intelligence Authorization Act for Fiscal Year 1998 (Public Law 
        105-107; 50 U.S.C. 402a note).
            ``(21) The annual report on enhancing protection of 
        national security at the Department of Justice required by 
        section 606(b)(2)(B) of the Counterintelligence Reform Act of 
        2000 (title VI of Public Law 106-567).
            ``(22) The annual report on foreign companies involved in 
        the proliferation of weapons of mass destruction that raise 
        funds in the United States capital markets required by section 
        314 of the Intelligence Authorization Act for Fiscal Year 2003.
            ``(23) The annual report on counterdrug intelligence 
        matters required by section 417 of the Intelligence 
        Authorization Act for Fiscal Year 2003.
            ``(24) The annual report on certifications for immunity in 
        interdiction of aircraft engaged in illicit drug trafficking 
        required by section 1012(c)(2) of the National Defense 
        Authorization Act for Fiscal Year 1995 (22 U.S.C. 2291-
        4(c)(2)).
            ``(25) The annual report on exceptions to consumer 
        disclosure requirements for national security investigations 
        under section 604(b)(4)(E) of the Fair Credit Reporting Act (15 
        U.S.C. 1681b(b)(4)(E)).
            ``(26) The annual report on activities under the David L. 
        Boren National Security Education Act of 1991 (title VIII of 
        Public Law 102-183; 50 U.S.C. 1901 et seq.) required by section 
        806(a) of that Act (50 U.S.C. 1906(a)).
    ``(b) Semi-Annual Reports.--The dates for the submittal to the 
congressional intelligence committees of the following semi-annual 
reports shall be the dates each year provided in subsection (c)(2):
            ``(1) The periodic reports on intelligence provided to the 
        United Nations required by section 112(b)(3).
            ``(2) The semiannual reports on the Office of the Inspector 
        General of the Central Intelligence Agency required by section 
        17(d)(1) of the Central Intelligence Agency Act of 1949 (50 
        U.S.C. 403q(d)(1)).
            ``(3) The semiannual reports on decisions not to prosecute 
        certain violations of law under the Classified Information 
        Procedures Act (5 U.S.C. App.) as required by section 13(b) of 
        that Act.
            ``(4) The semiannual reports on the acquisition of 
        technology relating to weapons of mass destruction and advanced 
        chemical munitions required by section 721(b) of the Combatting 
        Proliferation of Weapons of Mass Destruction Act of 1996 (title 
        VII of Public Law 104-293; 50 U.S.C. 2366(b)).
            ``(5) The semiannual reports on the activities of the 
        Diplomatic Telecommunications Service Program Office (DTS-PO) 
        required by section 322(a)(6)(D)(ii) of the Intelligence 
        Authorization Act for Fiscal Year 2001 (22 U.S.C. 
        7302(a)(6)(D)(ii)).
            ``(6) The semiannual reports on the disclosure of 
        information and consumer reports to the Federal Bureau of 
        Investigation for counterintelligence purposes required by 
        section 624(h)(2) of the Fair Credit Reporting Act (15 U.S.C. 
        1681u(h)(2)).
            ``(7) The semiannual provision of information on requests 
        for financial information for foreign counterintelligence 
        purposes required by section 1114(a)(5)(C) of the Right to 
        Financial Privacy Act of 1978 (12 U.S.C. 3414(a)(5)(C)).
    ``(c) Submittal Dates for Reports.--(1) Except as provided in 
subsection (d), each annual report listed in subsection (a) shall be 
submitted not later than February 1.
    ``(2) Except as provided in subsection (d), each semi-annual report 
listed in subsection (b) shall be submitted not later than February 1 
and August 1.
    ``(d) Postponement of Submittal.--(1) Subject to paragraph (3), the 
date for the submittal of an annual report listed in subsection (a) may 
be postponed until March 1, or the date of the submittal of a 
semiannual report listed in subsection (b) may be postponed until March 
1 or September 1, as the case may be, if the official required to 
submit such report submits to the congressional intelligence committees 
a written notification of such postponement.
    ``(2)(A) Notwithstanding any other provision of law and subject to 
paragraph (3), the date for the submittal to the congressional 
intelligence committees of any report described in subparagraph (B) may 
be postponed by not more than 30 days from the date otherwise specified 
in the provision of law for the submittal of such report if the 
official required to submit such report submits to the congressional 
intelligence committees a written notification of such postponement.
    ``(B) A report described in this subparagraph is any report on 
intelligence or intelligence-related activities of the United States 
Government that is submitted under a provision of law requiring the 
submittal of only a single report.
    ``(3)(A) The date for the submittal of a report whose submittal is 
postponed under paragraph (1) or (2) may be postponed beyond the time 
provided for the submittal of such report under such paragraph if the 
official required to submit such report submits to the congressional 
intelligence committees a written certification that preparation and 
submittal of such report at such time will impede the work of officers 
or employees of the intelligence community in a manner that will be 
detrimental to the national security of the United States.
    ``(B) A certification with respect to a report under subparagraph 
(A) shall include a proposed submittal date for such report, and such 
report shall be submitted not later than that date.
    ``(e) Construction.--The provisions of this section shall not 
affect the date for the submittal of any report covered by this section 
to a Member or committee of Congress other than the congressional 
intelligence committees, or to an official of the Executive branch.''.
    (2) The table of sections for the National Security Act of 1947, as 
amended by section 304 of this Act, is further amended by inserting 
after the item relating to section 506 the following new item:

``Sec. 507. Dates for submittal of various annual and semi-annual 
                            reports to the congressional intelligence 
                            committees.''.
    (b) Report of General Counsel of CIA on Efforts To Ensure 
Compliance With Reporting Deadlines.--(1) Not later than December 1, 
2002, the General Counsel of the Central Intelligence Agency shall 
submit to the congressional intelligence committees a report on the 
efforts of the Office of the General Counsel of the Central 
Intelligence Agency to ensure compliance by the elements of the 
intelligence community with the requirements of section 507 of the 
National Security Act of 1947, as added by subsection (a).
    (c) Conforming Amendments to Existing Reporting Requirements.--
            (1) National security act of 1947.--(A) Subsection (d) of 
        section 105 of the National Security Act of 1947 (50 U.S.C. 
        403-5) is amended to read as follows:
    ``(d) Annual Evaluation of Performance and Responsiveness of 
Certain Elements of Intelligence Community.--(1) Not later each year 
than the date provided in section 507, the Director shall submit to the 
congressional intelligence committees the evaluation described in 
paragraph (3).
    ``(2) The Director shall submit each year to the Committee on 
Foreign Intelligence of the National Security Council, and to the 
Committees on Armed Services and Appropriations of the Senate and House 
of Representatives, the evaluation described in paragraph (3).
    ``(3) An evaluation described in this paragraph is an evaluation of 
the performance and responsiveness of the National Security Agency, the 
National Reconnaissance Office, and the National Imagery and Mapping 
Agency in meeting their respective national missions.
    ``(4) The Director shall submit each evaluation under this 
subsection in consultation with the Secretary of Defense and the 
Chairman of the Joint Chiefs of Staff.''.
            (B) Section 109 of that Act (50 U.S.C. 404d) is amended--
                    (i) in subsection (a), by striking paragraph (1) 
                and inserting the following new paragraph (1):
    ``(1)(A) Not later each year than the date provided in section 507, 
the President shall submit to the congressional intelligence committees 
a report on the requirements of the United States for intelligence and 
the activities of the intelligence community.
    ``(B) Not later than January 31 each year, and included with the 
budget of the President for the next fiscal year under section 1105(a) 
of title 31, United States Code, the President shall submit to the 
appropriate congressional committees the report described in 
subparagraph (A).'';
                    (ii) in subsection (c), as amended by section 
                803(a) of the Intelligence Renewal and Reform Act of 
                1996 (title VIII of Public Law 104-293; 110 Stat. 
                3475)--
                            (I) in paragraph (1), by striking ``The 
                        Select Committee on Intelligence of the Senate, 
                        the Committee on Appropriations,'' and 
                        inserting ``The Committee on Appropriations''; 
                        and
                            (II) in paragraph (2), by striking ``The 
                        Permanent Select Committee on Intelligence of 
                        the Senate, the Committee on Appropriations,'' 
                        and inserting ``The Committee on 
                        Appropriations''; and
                    (iii) by striking subsection (c), as added by 
                section 304(a) of the Intelligence Authorization Act 
                for Fiscal Year 1994 (Public Law 103-178; 107 Stat. 
                2034).
            (C) Section 112(b) of that Act (50 U.S.C. 404g(b)) is 
        amended by adding at the end the following new paragraph:
    ``(3) In the case of periodic reports required to be submitted 
under the first sentence of paragraph (1) to the congressional 
intelligence committees, the submittal dates for such reports shall be 
as provided in section 507.''.
            (D) Section 113(c) of that Act (50 U.S.C. 404h(c)) is 
        amended by striking ``Not later than'' and all that follows 
        through ``a report'' and inserting ``Not later each year than 
        the date provided in section 507, the Director of Central 
        Intelligence shall submit to the congressional intelligence 
        committees an annual report''.
            (E) Section 114 of that Act (50 U.S.C. 404i) is amended--
                    (i) in subsection (a)--
                            (I) in paragraph (1), by striking ``the 
                        congressional intelligence committees and'';
                            (II) by redesignating paragraphs (2) and 
                        (3) as paragraphs (3) and (4), respectively; 
                        and
                            (III) by inserting after paragraph (1) the 
                        following new paragraph (2):
    ``(2) Not later each year than the date provided in section 507, 
the Director shall submit to the congressional intelligence committees 
the report required to be submitted under paragraph (1) during the 
preceding year.'';
                and
                    (ii) in subsection (b)(1), by striking ``, on an 
                annual basis'' and all that follows through 
                ``leadership'' and inserting ``submit to the 
                congressional leadership on an annual basis, and to the 
                congressional intelligence committees on the date each 
                year provided in section 507,''.
            (F) Section 603 of that Act (50 U.S.C. 423) is amended--
                    (i) in subsection (a), by adding at the end the 
                following new sentence: ``The date for the submittal of 
                the report shall be the date provided in section 
                507.''; and
                    (ii) in subsection (b), by striking the second 
                sentence.
            (2) Central intelligence agency act of 1949.--(A) Section 
        5(c)(2) of the Central Intelligence Agency Act of 1949 (50 
        U.S.C. 403f(c)(2)) is amended--
                    (i) by striking ``The Director'' and all that 
                follows through ``an annual'' and inserting ``Not later 
                each year than the date provided in section 507 of the 
                National Security Act of 1947, the Director shall 
                submit to the congressional intelligence committees (as 
                defined in section 3 of that Act (50 U.S.C. 401a)) a''; 
                and
                    (ii) by inserting ``during the preceding year'' 
                after ``paragraph (1)''.
            (B) Section 17(d)(1) of that Act (50 U.S.C. 403q(d)(1)) is 
        amended in the second sentence by striking ``Within thirty days 
        of receipt of such reports,'' and inserting ``Not later than 
        the dates each year provided for the transmittal of such 
        reports in section 507 of the National Security Act of 1947,''.
            (C) Section 21(g) of that Act (50 U.S.C. 403u(g)) is 
        amended by striking paragraph (3) and inserting the following 
        new paragraphs:
    ``(3) Not later than 30 days after the completion of an audit under 
paragraph (1), the Inspector General shall submit a copy of the audit 
to the Director of the Office of Management and Budget and the Director 
of Central Intelligence.
    ``(4) Not later each year than the date provided in section 507 of 
the National Security Act of 1947, the Inspector General shall submit 
to the congressional intelligence committees (as defined in section 3 
of that Act (50 U.S.C. 401a)) a copy of the audit completed under 
paragraph (1) during the preceding year.''.
            (3) National security agency act of 1959.--Section 11(a)(5) 
        of the National Security Agency Act of 1959 (50 U.S.C. 402 
        note) is amended by striking ``Not later than'' and all that 
        follows through ``the Senate'' and inserting ``Not later each 
        year than the date provided in section 507 of the National 
        Security Act of 1947, the Director shall submit to the 
        congressional intelligence committees (as defined in section 3 
        of that Act (50 U.S.C. 401a)) a report''.
            (4) Classified information procedures act.--Section 13 of 
        the Classified Information Procedures Act (5 U.S.C. App.) is 
        amended--
                    (A) by redesignating subsection (b) as subsection 
                (c); and
                    (B) by inserting after subsection (a) the following 
                new subsection (b):
    ``(b) In the case of the semiannual reports (whether oral or 
written) required to be submitted under subsection (a) to the Permanent 
Select Committee on Intelligence of the House of Representatives and 
the Select Committee on Intelligence of the Senate, the submittal dates 
for such reports shall be as provided in section 507 of the National 
Security Act of 1947.''.
            (5) Title 10, united states code.--(A) Section 437 of title 
        10, United States Code, is amended--
                    (i) in subsection (c), by striking ``Not later 
                than'' and all that follows through ``of Congress'' and 
                inserting ``Not later each year than the date provided 
                in section 507 of the National Security Act of 1947, 
                the Secretary shall submit to the congressional 
                intelligence committees (as defined in section 3 of 
                that Act (50 U.S.C. 401a))''; and
                    (ii) by striking subsection (d).
            (B) Section 1611(e) of that title is amended--
                    (i) in paragraph (1), by striking ``paragraph (2)'' 
                and inserting ``paragraph (3)'';
                    (ii) by redesignating paragraph (2) as paragraph 
                (3); and
                    (iii) by inserting after paragraph (1) the 
                following new paragraph (2):
    ``(2) In the case of a report required to be submitted under 
paragraph (1) to the Permanent Select Committee on Intelligence of the 
Senate and the Select Committee on Intelligence of the House of 
Representatives, the date for the submittal of such report shall be as 
provided in section 507 of the National Security Act of 1947.''.
            (6) Intelligence authorization acts.--(A) Section 809 of 
        the Counterintelligence and Security Enhancements Act of 1994 
        (title VIII of Public Law 103-359; 108 Stat. 3454; 50 U.S.C. 
        2170b) is amended--
                    (i) by striking subsection (b) and inserting the 
                following new subsection (b):
    ``(b) Annual Update.--
            ``(1) Submittal to congressional intelligence committees.--
        Not later each year than the date provided in section 507 of 
        the National Security Act of 1947, the President shall submit 
        to the congressional intelligence committees a report updating 
        the information referred to in subsection (a)(1)(D).
            ``(2) Submittal to congressional leadership.--Not later 
        than April 14 each year, the President shall submit to the 
        congressional leadership a report updating the information 
        referred to in subsection (a)(1)(D).
            ``(3) Definitions.--In this subsection:
                    ``(A) Congressional intelligence committees.--The 
                term `congressional intelligence committees' has the 
                meaning given that term in section 3 of the National 
                Security Act of 1947 (50 U.S.C. 401a).
                    ``(B) Congressional leadership.--The term 
                `congressional leadership' means the Speaker and the 
                minority leader of the House of Representatives and the 
                majority leader and the minority leader of the 
                Senate.''; and
                    (ii) by redesignating subsection (e) as subsection 
                (d).
            (B) Paragraph (6) of section 811(c) of that Act (50 U.S.C. 
        402a(c)) is amended to read as follows:
    ``(6)(A) Not later each year than the date provided in section 507 
of the National Security Act of 1947, the Director of the Federal 
Bureau of Investigation shall submit to the congressional intelligence 
committees (as defined in section 3 of that Act (50 U.S.C. 401a)) a 
report with respect to compliance with paragraphs (1) and (2) during 
the previous calendar year.
    ``(B) Not later than February 1 each year, the Director shall, in 
accordance with applicable security procedures, submit to the 
Committees on the Judiciary of the Senate and House of Representatives 
a report with respect to compliance with paragraphs (1) and (2) during 
the previous calendar year.
    ``(C) The Director of the Federal Bureau of Investigation shall 
submit each report under this paragraph in consultation with the 
Director of Central Intelligence and the Secretary of Defense.''.
            (C) Section 721 of the Combatting Proliferation of Weapons 
        of Mass Destruction Act of 1996 (title VII of Public Law 104-
        293; 110 Stat. 3474; 50 U.S.C. 236) is amended--
                    (i) in subsection (a), by striking ``Not later 
                than'' and all that follows through ``the Director'' 
                and inserting ``The Director'';
                    (ii) by redesignating subsection (b) as subsection 
                (c);
                    (iii) by inserting after subsection (a) the 
                following new subsection (b):
    ``(b) Submittal Dates.--(1) The report required by subsection (a) 
shall be submitted each year to the congressional intelligence 
committees on a semiannual basis on the dates provided in section 507 
of the National Security Act of 1947.
    ``(2) The report required by subsection (a) shall be submitted each 
year to the congressional leadership on April 11 and October 11 of such 
year.
    ``(3) In this subsection:
            ``(A) The term `congressional intelligence committees' has 
        the meaning given that term in section 3 of the National 
        Security Act of 1947 (50 U.S.C. 401a).
            ``(B) The term `congressional leadership' means the Speaker 
        and the minority leader of the House of Representatives and the 
        majority leader and the minority leader of the Senate.''; and
                    (iv) in subsection (c), as so redesignated, by 
                striking ``The reports'' and inserting ``Each report''.
            (D) Section 308 of the Intelligence Authorization Act for 
        Fiscal Year 1998 (Public Law 105-107; 111 Stat. 2253; 50 U.S.C. 
        402a note) is amended--
                    (i) in subsection (a)--
                            (I) by striking ``Not later than'' and all 
                        that follows through ``the Director of Central 
                        Intelligence'' and inserting ``The Director of 
                        Central Intelligence''; and
                            (II) by inserting ``on an annual basis'' 
                        after ``to Congress''; and
                    (ii) by adding at the end the end the following new 
                subsection (c):
    ``(c) Submittal Date of Report to Leadership of Congressional 
Intelligence Committees.--The date each year for the submittal to the 
Chairman and Ranking Member of the Permanent Select Committee on 
Intelligence of the House of Representatives and the Chairman and 
Ranking Member of the Select Committee on Intelligence of the Senate of 
the report required by subsection (a) shall be the date provided in 
section 507 of the National Security Act of 1947.''.
            (E) Section 322(a)(6)(D) of the Intelligence Authorization 
        Act for Fiscal Year 2001 (Public Law 105-567; 114 Stat. 2844; 
        22 U.S.C. 7302(a)(6)(D)) is amended--
                    (i) in clause (i), by striking ``Beginning on'' and 
                inserting ``Except as provided in clause (ii), 
                beginning on'';
                    (ii) by redesignating clause (ii) as clause (iii);
                    (iii) by inserting after clause (i) the following 
                new clause (ii):
                    ``(ii) Submittal date of reports to congressional 
                intelligence committees.--In the case of reports 
                required to be submitted under clause (i) to the 
                congressional intelligence committees (as defined in 
                section 3 of the National Security Act of 1947 (50 
                U.S.C. 401a)), the submittal dates for such reports 
                shall be as provided in section 507 of that Act.''; and
                    (iv) in clause (iii), as so redesignated, by 
                striking ``report'' and inserting ``reports''.
            (F) Section 606(b)(2) of the Counterintelligence Reform Act 
        of 2000 (title VI of Public Law 106-567; 114 Stat. 2854) is 
        amended--
                    (i) in subparagraph (A), by striking ``subparagraph 
                (B)'' and inserting ``subparagraph (C)'';
                    (ii) by redesignating subparagraph (B) as 
                subparagraph (C); and
                    (iii) by inserting after subparagraph (A) the 
                following new subparagraph (B):
    ``(B) In the case of a report required to be submitted under 
subparagraph (A) to the congressional intelligence committees (as 
defined in section 3 of the National Security Act of 1947 (50 U.S.C. 
401a)), the submittal date for such report shall be as provided in 
section 507 of that Act.''.
            (7) Public law 103-337.--Section 1012(c) of the National 
        Defense Authorization Act for Fiscal Year 1995 (22 U.S.C. 2291-
        4(c)) is amended--
                    (A) in paragraph (1), by striking ``Not later 
                than'' and inserting ``Except as provided in paragraph 
                (2), not later than'';
                    (B) by redesignating paragraph (2) as paragraph 
                (3); and
                    (C) by inserting after paragraph (1) the following 
                new paragraph (2):
    ``(2) In the case of a report required to be submitted under 
paragraph (1) to the congressional intelligence committees (as defined 
in section 3 of the National Security Act of 1947 (50 U.S.C. 401a)), 
the submittal date for such report shall be as provided in section 507 
of that Act.''.
            (8) David l. boren national security education act of 
        1991.--The David L. Boren National Security Education Act of 
        1991 (title VIII of Public Law 102-183; 50 U.S.C. 1901 et seq.) 
        is amended--
                    (A) in section 806(a) (50 U.S.C. 1906(a))--
                            (i) by inserting ``(1)'' before ``The 
                        Secretary'';
                            (ii) in paragraph (1), as so designated, by 
                        striking ``the Congress'' and inserting ``the 
                        congressional intelligence committees'';
                            (iii) by designating the second sentence as 
                        paragraph (2) and indenting the left margin of 
                        such paragraph, as so designated, two ems;
                            (iv) in paragraph (2), as so designated, by 
                        inserting ``submitted to the President'' after 
                        ``The report''; and
                            (v) by adding at the end the following new 
                        paragraph (3):
    ``(3) The report submitted to the congressional intelligence 
committees shall be submitted on the date provided in section 507 of 
the National Security Act of 1947.''; and
                    (B) in section 808 (50 U.S.C. 1908), by adding at 
                the end the following new paragraph (5):
            ``(5) The term `congressional intelligence committees' 
        means--
                    ``(A) the Select Committee on Intelligence of the 
                Senate; and
                    ``(B) the Permanent Select Committee on 
                Intelligence of the House of Representatives.''.
            (9) Fair credit reporting act.--(A) Section 604(b)(4) of 
        the Fair Credit Reporting Act (15 U.S.C. 1681b(b)(4)) is 
        amended--
                    (i) in subparagraph (D), by striking ``Not later 
                than'' and inserting ``Except as provided in 
                subparagraph (E), not later than'';
                    (ii) by redesignating subparagraph (E) as 
                subparagraph (F); and
                    (iii) by inserting after subparagraph (D) the 
                following new subparagraph (E):
                    ``(E) Reports to congressional intelligence 
                committees.--In the case of a report to be submitted 
                under subparagraph (D) to the congressional 
                intelligence committees (as defined in section 3 of the 
                National Security Act of 1947 (50 U.S.C. 401a)), the 
                submittal date for such report shall be as provided in 
                section 507 of that Act.''.
            (B) Section 624(h) of that Act (15 U.S.C. 1681u(h)) is 
        amended--
                    (i) by inserting ``(1)'' before ``On a semiannual 
                basis,''; and
                    (ii) by adding at the end the following new 
                paragraph:
    ``(2) In the case of the semiannual reports required to be 
submitted under paragraph (1) to the Permanent Select Committee on 
Intelligence of the House of Representatives and the Select Committee 
on Intelligence of the Senate, the submittal dates for such reports 
shall be as provided in section 507 of the National Security Act of 
1947.''.
            (10) Right to financial privacy act of 1978.--Section 
        1114(a)(5)(C) of the Right to Financial Privacy Act of 1978 (12 
        U.S.C. 3414(a)(5)(C)) is amended by striking ``On a 
        semiannual'' and all that follows through ``the Senate'' and 
        inserting ``On the dates provided in section 507 of the 
        National Security Act of 1947, the Attorney General shall fully 
        inform the congressional intelligence committees (as defined in 
        section 3 of that Act (50 U.S.C. 401a))''.

                  Subtitle B--Recurring Annual Reports

SEC. 411. ANNUAL ASSESSMENT OF SATISFACTION OF INTELLIGENCE COMMUNITY 
              WITH COLLECTION, ANALYSIS, AND PRODUCTION OF 
              INTELLIGENCE.

    Section 102 of the National Security Act of 1947 (50 U.S.C. 403) is 
amended by adding at the end the following new subsection:
    ``(i) Annual Assessment of Satisfaction of Intelligence Community 
With Collection, Analysis, and Production of Intelligence.--(1) The 
Assistant Director of Central Intelligence for Collection and the 
Assistant Director of Central Intelligence for Analysis and Production 
shall conduct each year a comprehensive review of the satisfaction of 
the elements of the intelligence community with the collection, 
analysis, and production of intelligence during the preceding year.
    ``(2) Each review for a year under paragraph (1) shall include--
            ``(A) an evaluation of the effectiveness of the 
        intelligence collection, analysis, and production programs of 
        the intelligence community in such year in meeting the 
        requirements of the intelligence community for intelligence, 
        including whether or not gaps exist in such programs; and
            ``(B) an assessment of the allocation of resources for the 
        collection, analysis, and production of intelligence in such 
        year to determine whether or not an alternative allocation of 
        such resources would better meet the requirements of the 
        intelligence community for intelligence.
    ``(3) The Assistant Directors shall jointly submit to the Director 
of Central Intelligence a report on each review conducted under 
paragraph (1). Each report shall--
            ``(A) set forth the results of the evaluation and 
        assessment under paragraph (2);
            ``(B) describe any significant successes or failures in the 
        collection, analysis, or production of intelligence in the year 
        covered by such report; and
            ``(C) include any recommendations regarding the collection, 
        analysis, or production of intelligence that the Assistant 
        Directors consider appropriate.
    ``(4) The Director of Central Intelligence shall transmit to the 
congressional intelligence committees each report submitted under 
paragraph (3). The Director shall include in the transmittal of such 
report any comments and recommendations regarding such report that the 
Director considers appropriate.
    ``(5) The submittal date for a report under paragraph (4) each year 
shall be the date provided in section 507.''.

SEC. 412. ANNUAL REPORT ON THREAT OF ATTACK ON THE UNITED STATES USING 
              WEAPONS OF MASS DESTRUCTION.

    Section 114 of the National Security Act of 1947, as amended by 
section 303(b)(6) of this Act, is further amended--
            (1) by redesignating subsection (c) as subsection (d); and
            (2) by inserting after subsection (b) the following new 
        subsection (c):
    ``(c) Annual Report on Threat of Attack on the United States Using 
Weapons of Mass Destruction.--(1) Not later each year than the date 
provided in section 507, the Director shall submit to the congressional 
intelligence committees a report assessing the following:
            ``(A) The current threat of attack on the United States 
        using ballistic missiles or cruise missiles.
            ``(B) The current threat of attack on the United States 
        using a chemical, biological, or nuclear weapon delivered by a 
        system other than a ballistic missile or cruise missile.
    ``(2) Each report under paragraph (1) shall be a national 
intelligence estimate, or have the formality of a national intelligence 
estimate.''.

SEC. 413. ANNUAL REPORT ON COVERT LEASES.

    Section 114 of the National Security Act of 1947, as amended by 
section 412 of this Act, is further amended--
            (1) by redesignating subsection (d) as subsection (e); and
            (2) by inserting after subsection (c) the following new 
        subsection (d):
    ``(d) Annual Report on Covert Leases.--(1) Not later each year than 
the date provided in section 507, the Director shall submit to the 
congressional intelligence committees a report on each covert lease of 
an element of the intelligence community that is in force as of the end 
of the preceding year.
    ``(2) Each report under paragraph (1) shall include the following:
            ``(A) A list of each lease described by that paragraph.
            ``(B) For each lease--
                    ``(i) the cost of such lease;
                    ``(ii) the duration of such lease;
                    ``(iii) the purpose of such lease; and
                    ``(iv) the directorate or office that controls such 
                lease.''.

SEC. 414. ANNUAL REPORT ON IMPROVEMENT OF FINANCIAL STATEMENTS OF 
              CERTAIN ELEMENTS OF THE INTELLIGENCE COMMUNITY FOR 
              AUDITING PURPOSES.

    (a) In General.--Title I of the National Security Act of 1947 (50 
U.S.C. 402 et seq.) is amended by inserting after section 114 the 
following new section:

  ``annual report on improvement of financial statements for auditing 
                                purposes

    ``Sec. 114A. Not later each year than the date provided in section 
507, the Director of Central Intelligence, Director of the National 
Security Agency, Director of the Defense Intelligence Agency, and 
Director of the National Imagery and Mapping Agency shall each submit 
to the congressional intelligence committees a report describing the 
activities being undertaken by such official to ensure that the 
financial statements of such agency can be audited in accordance with 
applicable law and requirements of the Office of Management and 
Budget.''.
    (b) Clerical Amendment.--The table of sections for the National 
Security Act of 1947 is amended by inserting after the item relating to 
section 114 the following new item:

``Sec. 114A. Annual report on improvement of financial statements for 
                            auditing purposes.''.

SEC. 415. ANNUAL REPORT ON ACTIVITIES OF FEDERAL BUREAU OF 
              INVESTIGATION PERSONNEL OUTSIDE THE UNITED STATES.

    (a) Annual Report.--Chapter 33 of title 28, United States Code, is 
amended by adding at the end the following new section:
``Sec. 540C. Annual report on activities of Federal Bureau of 
              Investigation personnel outside the United States
    ``(a) The Director of the Federal Bureau of Investigation shall 
submit to the appropriate committees of Congress each year a report on 
the activities of personnel of the Federal Bureau of Investigation 
outside the United States.
    ``(b) The report under subsection (a) shall include the following:
            ``(1) For the year preceding the year in which the report 
        is required to be submitted--
                    ``(A) the number of personnel of the Bureau posted 
                or detailed outside the United States during the year;
                    ``(B) a description of the coordination of the 
                investigations, asset handling, liaison, and 
                operational activities of the Bureau during the year 
                with other elements of the intelligence community; and
                    ``(C) a description of the extent to which 
                information derived from activities described in 
                subparagraph (B) was shared with other elements of the 
                intelligence community.
            ``(2) For the year in which the report is required to be 
        submitted--
                    ``(A) a description of the plans, if any, of the 
                Director--
                            ``(i) to modify the number of personnel of 
                        the Bureau posted or detailed outside the 
                        United States; or
                            ``(ii) to modify the scope of the 
                        activities of personnel of the Bureau posted or 
                        detailed outside the United States; and
                    ``(B) a description of the manner and extent to 
                which information derived from activities of the Bureau 
                described in paragraph (1)(B) during the year will be 
                shared with other elements of the intelligence 
                community.
    ``(c)(1) In the case of the committees of Congress specified in 
subsection (d)(1), the date of the submittal each year of the report 
required by subsection (a) shall be February 1 of such year.
    ``(2) In the case of the committees of Congress specified in 
subsection (d)(2), the date of the submittal each year of the report 
required by subsection (a) shall be the date provided in section 507 of 
the National Security Act of 1947.
    ``(d) In this section, the term `appropriate committees of 
Congress' means--
            ``(1) the Committees on the Judiciary of the Senate and 
        House of Representatives; and
            ``(2) the congressional intelligence committees (as defined 
        in section 3 of the National Security Act of 1947 (50 U.S.C. 
        401a)).''.
    (b) Clerical Amendment.--The table of sections at the beginning of 
chapter 33 of that title is amended by inserting after the item 
relating to section 540B the following new item:

``540C. Annual report on activities of Federal Bureau of Investigation 
                            personnel outside the United States.''.

SEC. 416. ANNUAL REPORTS OF INSPECTORS GENERAL OF THE INTELLIGENCE 
              COMMUNITY ON PROPOSED RESOURCES AND ACTIVITIES OF THEIR 
              OFFICES.

    Section 8H of the Inspector General Act of 1978 (5 U.S.C. App.) is 
amended--
            (1) in subsection (f), by striking ``this section'' and 
        inserting ``subsections (a) through (e)'';
            (2) by redesignating subsection (g) as subsection (h); and
            (3) by inserting after subsection (f) the following new 
        subsection (g):
    ``(g)(1) The Inspector General of the Defense Intelligence Agency, 
the National Imagery and Mapping Agency, the National Reconnaissance 
Office, and the National Security Agency shall each submit to the 
congressional intelligence committees each year a report that sets 
forth the following:
            ``(A) The personnel and funds requested by such Inspector 
        General for the fiscal year beginning in such year for the 
        activities of the office of such Inspector General in such 
        fiscal year.
            ``(B) The plan of such Inspector General for such 
        activities, including the programs and activities scheduled for 
        review by the office of such Inspector General during such 
        fiscal year.
            ``(C) An assessment of the current ability of such 
        Inspector General to hire and retain qualified personnel for 
        the office of such Inspector General.
            ``(D) Any matters that such Inspector General considers 
        appropriate regarding the independence and effectiveness of the 
        office of such Inspector General.
    ``(2) The submittal date for a report under paragraph (1) each year 
shall be the date provided in section 507 of the National Security Act 
of 1947.
    ``(3) In this subsection, the term `congressional intelligence 
committees' shall have the meaning given that term in section 3 of the 
National Security Act of 1947 (50 U.S.C. 401a).''.

SEC. 417. ANNUAL REPORT ON COUNTERDRUG INTELLIGENCE MATTERS.

    (a) Annual Report.--The Counterdrug Intelligence Coordinating Group 
shall submit to the appropriate committees of Congress each year a 
report on current counterdrug intelligence matters. The report shall 
include the recommendations of the Counterdrug Intelligence 
Coordinating Group on the appropriate number of permanent staff, and of 
detailed personnel, for the staff of the Counterdrug Intelligence 
Executive Secretariat.
    (b) Submittal Date.--(1) In the case of the committees of Congress 
specified in subsection (c)(1), the date of the submittal each year of 
the report required by subsection (a) shall be February 1 of such year.
    (2) In the case of the committees of Congress specified in 
subsection (c)(2), the date of the submittal each year of the report 
required by subsection (a) shall be the date provided in section 507 of 
the National Security Act of 1947, as added by section 401 of this Act.
    (c) Appropriate Committees of Congress Defined.--In this section, 
the term ``appropriate committees of Congress'' means--
            (1) the Committees on Appropriations of the Senate and 
        House of Representatives; and
            (2) the congressional intelligence committees (as defined 
        in section 3 of the National Security Act of 1947 (50 U.S.C. 
        401a)).

                       Subtitle C--Other Reports

SEC. 431. EVALUATION OF POLICIES AND PROCEDURES OF DEPARTMENT OF STATE 
              ON PROTECTION OF CLASSIFIED INFORMATION AT DEPARTMENT 
              HEADQUARTERS.

    (a) Evaluation Required.--Not later than December 31 of 2002, 2003, 
and 2004, the Inspector General of the Department of State shall 
conduct an evaluation of the policies and procedures of the Department 
on the protection of classified information at the Headquarters of the 
Department, including compliance with the directives of the Director of 
Central Intelligence (DCIDs) regarding the storage and handling of 
Sensitive Compartmented Information (SCI) material.
    (b) Annual Report.--Except as provided in subsection (c), not later 
than February 1 of 2003, 2004, and 2005, the Inspector General shall 
submit to the congressional intelligence committees a report on the 
evaluation conducted under subsection (a) during the preceding year.
    (c) Exception.--The date each year for the submittal of a report 
under subsection (b) may be postponed in accordance with section 507(d) 
of the National Security Act of 1947, as added by section 401 of this 
Act.
    (d) Congressional Intelligence Committees Defined.--In this 
section, the term ``congressional intelligence committees'' means--
            (1) the Select Committee on Intelligence of the Senate; and
            (2) the Permanent Select Committee on Intelligence of the 
        House of Representatives.

           Subtitle D--Repeal of Certain Report Requirements

SEC. 441. REPEAL OF CERTAIN REPORT REQUIREMENTS.

    (a) Annual Report on Exercise of National Security Agency Voluntary 
Separation Pay Authority.--Section 301(j) of the National Security Act 
of 1947 (50 U.S.C. 409a(j)), as amended by section 303(b)(2)(B) of this 
Act, is further amended--
            (1) by striking ``Reporting Require-
        ments.--'' and all that follows through ``The Director'' and 
        inserting ``Notification of Exercise of Authority.--The 
        Director''; and
            (2) by striking paragraph (2).
    (b) Annual Report on Use of CIA Personnel as Special Policemen.--
Section 15(a) of the Central Intelligence Agency Act of 1949 (50 U.S.C. 
403o(a)) is amended by striking paragraph (5).

                TITLE  V--COUNTERINTELLIGENCE ACTIVITIES

SEC. 501. SHORT TITLE; PURPOSE.

    (a) Short Title.--This title may be cited as the 
``Counterintelligence Enhancement Act of 2002''.
    (b) Purpose.--The purpose of this title is to facilitate the 
enhancement of the counterintelligence activities of the United States 
Government by--
            (1) enabling the counterintelligence community of the 
        United States Government to fulfill better its mission of 
        identifying, assessing, prioritizing, and countering the 
        intelligence threats to the United States;
            (2) ensuring that the counterintelligence community of the 
        United States Government acts in an efficient and effective 
        manner; and
            (3) providing for the integration of all the 
        counterintelligence activities of the United States Government.

SEC. 502. NATIONAL COUNTERINTELLIGENCE EXECUTIVE.

    (a) Establishment.--(1) There shall be a National 
Counterintelligence Executive, who shall be appointed by the President.
    (2) It is the sense of Congress that the President should seek the 
views of the Attorney General, Secretary of Defense, and Director of 
Central Intelligence in selecting an individual for appointment as the 
Executive.
    (b) Mission.--The mission of the National Counterintelligence 
Executive shall be to serve as the head of national counterintelligence 
for the United States Government.
    (c) Duties.--Subject to the direction and control of the President, 
the duties of the National Counterintelligence Executive are as 
follows:
            (1) To carry out the mission referred to in subsection (c).
            (2) To act as chairperson of the National 
        Counterintelligence Policy Board under section 811 of the 
        Counterintelligence and Security Enhancements Act of 1994 
        (title VIII of Public Law 103-359; 50 U.S.C. 402a), as amended 
by section 503 of this Act.
            (3) To act as head of the Office of the National 
        Counterintelligence Executive under section 504.
            (4) To participate as an observer on such boards, 
        committees, and entities of the Executive branch as the 
        President considers appropriate for the discharge of the 
        mission and functions of the Executive and the Office of the 
        National Counterintelligence Executive under section 504.

SEC. 503. NATIONAL COUNTERINTELLIGENCE POLICY BOARD.

    (a) Chairperson.--Section 811 of the Counterintelligence and 
Security Enhancements Act of 1994 (title VII of Public Law 103-359; 50 
U.S.C. 402a) is amended--
            (1) by striking subsection (b);
            (2) by redesignating subsection (c) as subsection (e); and
            (3) by inserting after subsection (a) the following new 
        subsection (b):
    ``(b) Chairperson.--The National Counterintelligence Executive 
under section 502 of the Counterintelligence Enhancement Act of 2002 
shall serve as the chairperson of the Board.''.
    (b) Membership.--That section is further amended by inserting after 
subsection (b), as amended by subsection (a)(3) of this section, the 
following new subsection (c):
    ``(c) Membership.--The membership of the National 
Counterintelligence Policy Board shall consist of the following:
            ``(1) The National Counterintelligence Executive.
            ``(2) Senior personnel of departments and elements of the 
        United States Government, appointed by the head of the 
        department or element concerned, as follows:
                    ``(A) The Department of Justice, including the 
                Federal Bureau of Investigation.
                    ``(B) The Department of Defense, including the 
                Joint Chiefs of Staff.
                    ``(C) The Department of State.
                    ``(D) The Department of Energy.
                    ``(E) The Central Intelligence Agency.
                    ``(F) Any other department, agency, or element of 
                the United States Government specified by the 
                President.''.
    (c) Functions and Discharge of Functions.--That section is further 
amended by inserting after subsection (c), as amended by subsection (b) 
of this section, the following new subsection:
    ``(d) Functions and Discharge of Functions.--(1) The Board shall--
            ``(A) serve as the principal mechanism for--
                    ``(i) developing policies and procedures for the 
                approval of the President to govern the conduct of 
                counterintelligence activities; and
                    ``(ii) upon the direction of the President, 
                resolving conflicts that arise between elements of the 
                Government conducting such activities; and
            ``(B) act as an interagency working group to--
                    ``(i) ensure the discussion and review of matters 
                relating to the implementation of the 
                Counterintelligence Enhancement Act of 2002; and
                    ``(ii) provide advice to the National 
                Counterintelligence Executive on priorities in the 
                implementation of the National Counterintelligence 
                Strategy produced by the Office of the National 
                Counterintelligence Executive under section 504(e)(2) 
                of that Act.
    ``(2) The Board may, for purposes of carrying out its functions 
under this section, establish such interagency boards and working 
groups as the Board considers appropriate.''.

SEC. 504. OFFICE OF THE NATIONAL COUNTERINTELLIGENCE EXECUTIVE.

    (a) Establishment.--There shall be an Office of the National 
Counterintelligence Executive.
    (b) Head of Office.--The National Counterintelligence Executive 
shall be the head of the Office of the National Counterintelligence 
Executive.
    (c) Location of Office.--The Office of the National 
Counterintelligence Executive shall be located in the Executive Office 
of the President.
    (d) General Counsel.--(1) There shall be in the Office of the 
National Counterintelligence Executive a general counsel who shall 
serve as principal legal advisor to the National Counterintelligence 
Executive.
    (2) The general counsel shall--
            (A) provide legal advice and counsel to the Executive on 
        matters relating to functions of the Office;
            (B) ensure that the Office complies with all applicable 
        laws, regulations, Executive orders, and guidelines; and
            (C) carry out such other duties as the Executive may 
        specify.
    (e) Functions.--Subject to the direction and control of the 
National Counterintelligence Executive, the functions of the Office of 
the National Counterintelligence Executive shall be as follows:
            (1) National threat identification and prioritization 
        assessment.--Subject to subsection (f), in consultation with 
        appropriate department and agencies of the United States 
        Government, and private sector entities, to produce on an 
        annual basis a strategic planning assessment of the 
        counterintelligence requirements of the United States to be 
        known as the National Threat Identification and Prioritization 
        Assessment.
            (2) National counterintelligence strategy.--Subject to 
        subsection (f), in consultation with appropriate department and 
        agencies of the United States Government, and private sector 
        entities, and based on the most current National Threat 
        Identification and Prioritization Assessment under paragraph 
        (1), to produce on an annual basis a strategy for the 
        counterintelligence programs and activities of the United 
        States Government to be known as the National 
        Counterintelligence Strategy.
            (3) Implementation of national counterintelligence 
        strategy.--To evaluate on an on-going basis the implementation 
        of the National Counterintelligence Strategy and to submit to 
        the President periodic reports on such evaluation, including a 
        discussion of any shortfalls in the implementation of the 
        Strategy and recommendations for remedies for such shortfalls.
            (4) National counterintelligence strategic analyses.--As 
        directed by the Director of Central Intelligence and in 
        consultation with appropriate elements of the departments and 
        agencies of the United States Government, to oversee and 
        coordinate the production of strategic analyses of 
        counterintelligence matters, including the production of 
        counterintelligence damage assessments and assessments of 
        lessons learned from counterintelligence activities.
            (5) National counterintelligence program budget.--In 
        consultation with the Director of Central Intelligence--
                    (A) to coordinate the development of budgets and 
                resource allocation plans for the counterintelligence 
                programs and activities of the Department of Defense, 
                the Federal Bureau of Investigation, the Central 
                Intelligence Agency, and other appropriate elements of 
the United States Government;
                    (B) to ensure that the budgets and resource 
                allocations plans developed under subparagraph (A) 
                address the objectives and priorities for 
                counterintelligence under the National 
                Counterintelligence Strategy; and
                    (C) to submit to the National Security Council 
                periodic reports on the activities undertaken by the 
                Office under subparagraphs (A) and (B).
            (6) National counterintelligence collection and targeting 
        coordination.--To develop priorities for counterintelligence 
        investigations and operations, and for collection of 
        counterintelligence, for purposes of the National 
        Counterintelligence Strategy, except that the Office may not--
                    (A) carry out any counterintelligence 
                investigations or operations; or
                    (B) establish its own contacts, or carry out its 
                own activities, with foreign intelligence services.
            (7) National counterintelligence outreach, watch, and 
        warning.--
                    (A) Counterintelligence vulnerability surveys.--To 
                carry out and coordinate surveys of the vulnerability 
                of the United States Government, and the private 
                sector, to intelligence threats in order to identify 
                the areas, programs, and activities that require 
                protection from such threats.
                    (B) Outreach.--To carry out and coordinate outreach 
                programs and activities on counterintelligence to other 
                elements of the United States Government, and the 
                private sector, and to coordinate the dissemination to 
                the public of warnings on intelligence threats to the 
                United States.
                    (C) Research and development.--To ensure that 
                research and development programs and activities of the 
                United States Government, and the private sector, 
                direct attention to the needs of the 
                counterintelligence community for technologies, 
                products, and services.
                    (D) Training and professional development.--To 
                develop policies and standards for training and 
                professional development of individuals engaged in 
                counterintelligence activities and to manage the 
                conduct of joint training exercises for such personnel.
    (f) Additional Requirements Regarding National Threat 
Identification and Prioritization Assessment and National 
Counterintelligence Strategy.--(1) A National Threat Identification and 
Prioritization Assessment under subsection (e)(1), and any modification 
of such assessment, shall not go into effect until approved by the 
President.
    (2) A National Counterintelligence Strategy under subsection 
(e)(2), and any modification of such strategy, shall not go into effect 
until approved by the President.
    (3) The National Counterintelligence Executive shall submit to the 
congressional intelligence committees each National Threat 
Identification and Prioritization Assessment, or modification thereof, 
and each National Counterintelligence Strategy, or modification 
thereof, approved under this section.
    (4) In this subsection, the term ``congressional intelligence 
committees'' means--
            (A) the Select Committee on Intelligence of the Senate; and
            (B) the Permanent Select Committee on Intelligence of the 
        House of Representatives.
    (g) Personnel.--(1) Personnel of the Office of the National 
Counterintelligence Executive may consist of personnel employed by the 
Office or personnel on detail from any other department, agency, or 
element of the Federal Government. Any such detail may be on a 
reimbursable or non-reimbursable basis, at the election of the head of 
the agency detailing such personnel.
    (2) Notwithstanding section 104(d) or any other provision of law 
limiting the period of the detail of personnel on a non-reimbursable 
basis, the detail of an officer or employee of United States or a 
member of the Armed Forces under paragraph (1) on a non-reimbursable 
basis may be for any period in excess of one year that the National 
Counterintelligence Executive and the head of the department, agency, 
or element concerned consider appropriate.
    (3) The employment of personnel by the Office, including the 
appointment, compensation and benefits, management, and separation of 
such personnel, shall be governed by the provisions of law on such 
matters with respect to the personnel of the Central Intelligence 
Agency, except that, for purposes of the applicability of such 
provisions of law to personnel of the Office, the National 
Counterintelligence Executive shall be treated as the head of the 
Office.
    (4) Positions in the Office shall be excepted service positions for 
purposes of title 5, United States Code.
    (h) Support.--(1) The Attorney General, Secretary of Defense, and 
Director of Central Intelligence may each provide the Office of the 
National Counterintelligence Executive such support as may be necessary 
to permit the Office to carry out its functions under this section.
    (2) Subject to any terms and conditions specified by the Director 
of Central Intelligence, the Director may provide administrative and 
contract support to the Office as if the Office were an element of the 
Central Intelligence Agency.
    (3) Support provided under this subsection may be provided on a 
reimbursable or non-reimbursable basis, at the election of the official 
providing such support.
    (i) Availability of Funds for Reimbursement.--The National 
Counterintelligence Executive may, from amounts available for the 
Office, transfer to a department or agency detailing personnel under 
subsection (g), or providing support under subsection (h), on a 
reimbursable basis amounts appropriate to reimburse such department or 
agency for the detail of such personnel or the provision of such 
support, as the case may be.
    (j) Contracts.--(1) Subject to paragraph (2), the National 
Counterintelligence Executive may enter into any contract, lease, 
cooperative agreement, or other transaction that the Executive 
considers appropriate to carry out the functions of the Office of the 
National Counterintelligence Executive under this section.
    (2) The authority under paragraph (1) to enter into contracts, 
leases, cooperative agreements, and other transactions shall be subject 
to any terms, conditions, and limitations applicable to the Central 
Intelligence Agency under law with respect to similar contracts, 
leases, cooperative agreements, and other transactions.
    (k) Treatment of Activities Under Certain Administrative Laws.--(1) 
The provisions of the Federal Advisory Committee Act (5 U.S.C. App.) 
shall not apply to the activities of the Office of the National 
Counterintelligence Executive.
    (2) The files of the Office shall be treated as operational files 
of the Central Intelligence Agency for purposes of section 701 of the 
National Security Act of 1947 (50 U.S.C. 431) to the extent such files 
meet criteria under subsection (b) of that section for treatment of 
files as operational files of an element of the Agency.
    (l) Oversight by Congress.--The location of the Office of the 
National Counterintelligence Executive within the Executive Office of 
the President shall not be construed as affecting access by Congress, 
or any committee of Congress, to--
            (1) any information, document, record, or paper in the 
        possession of the Office; or
            (2) any personnel of the Office.
    (m) Designation of Office as Element of Intelligence Community.--
Section 3(4) of the National Security Act of 1947 (50 U.S.C. 401a(4)) 
is amended--
            (1) in subparagraph (I), by striking ``and'' at the end;
            (2) by redesignating subparagraph (J) as subparagraph (K); 
        and
            (3) by inserting after subparagraph (I) the following new 
        subparagraph (J):
            ``(J) the Office of the National Counterintelligence 
        Executive; and''.

 TITLE VI--NATIONAL COMMISSION FOR REVIEW OF RESEARCH AND DEVELOPMENT 
          PROGRAMS OF THE UNITED STATES INTELLIGENCE COMMUNITY

SEC. 601. FINDINGS.

    Congress makes the following findings:
            (1) Research and development efforts under the purview of 
        the intelligence community are vitally important to the 
        national security of the United States.
            (2) The intelligence community must operate in a dynamic, 
        highly-challenging environment, characterized by rapid 
        technological growth, against a growing number of hostile, 
        technically-sophisticated threats. Research and development 
        programs under the purview of the intelligence community are 
        critical to ensuring that intelligence agencies, and their 
        personnel, are provided with important technological 
        capabilities to detect, characterize, assess, and ultimately 
        counter the full range of threats to the national security of 
        the United States.
            (3) There is a need to review the full range of current 
        research and development programs under the purview of the 
        intelligence community, evaluate such programs against the 
        scientific and technological fields judged to be of most 
        importance, and articulate program and resource priorities for 
        future research and development activities to ensure a unified 
        and coherent research and development program across the entire 
        intelligence community.

SEC. 602. NATIONAL COMMISSION FOR THE REVIEW OF THE RESEARCH AND 
              DEVELOPMENT PROGRAMS OF THE UNITED STATES INTELLIGENCE 
              COMMUNITY.

    (a) Establishment.--There is established a commission to be known 
as the ``National Commission for the Review of the Research and 
Development Programs of the United States Intelligence Community'' (in 
this title referred to as the ``Commission'').
    (b) Composition.--The Commission shall be composed of <DELETED>11 
members </DELETED>12 members, as follows:
            (1) The Deputy Director of Central Intelligence for 
        Community Management.
            (2) A senior intelligence official of the Office of the 
        Secretary of Defense, as designated by the Secretary of 
        Defense.
            <DELETED>(2) </DELETED>(3) Three members appointed by the 
        Majority Leader of the Senate, in consultation with the 
        Chairman of the Select Committee on Intelligence of the Senate, 
        one from Members of the Senate and two from private life.
            <DELETED>(3) </DELETED>(4) Two members appointed by the 
        Minority Leader of the Senate, in consultation with the Vice 
        Chairman of the Select Committee on Intelligence of the Senate, 
        one from Members of the Senate and one from private life.
            <DELETED>(4) </DELETED>(5) Three members appointed by the 
        Speaker of the House of Representatives, in consultation with 
        the Chairman of the Permanent Select Committee on Intelligence 
        of the House of Representatives, one from Members of the House 
        of Representatives and two from private life.
            <DELETED>(5) </DELETED>(6) Two members appointed by the 
        Minority Leader of the House of Representatives, in 
        consultation with the ranking member of the Permanent Select 
        Committee on Intelligence of the House of Representatives, one 
        from Members of the House of Representatives and one from 
        private life.
    (c) Membership.--(1) The individuals appointed from private life as 
members of the Commission shall be individuals who are nationally 
recognized for expertise, knowledge, or experience in--
            (A) research and development programs;
            (B) technology discovery and insertion;
            (C) use of intelligence information by national 
        policymakers and military leaders; or
            (D) the implementation, funding, or oversight of the 
        national security policies of the United States.
    (2) An official who appoints members of the Commission may not 
appoint an individual as a member of the Commission if, in the judgment 
of the official, such individual possesses any personal or financial 
interest in the discharge of any of the duties of the Commission.
    (3) All members of the Commission appointed from private life shall 
possess an appropriate security clearance in accordance with applicable 
laws and regulations concerning the handling of classified information.
    (d) Co-Chairs.--(1) The Commission shall have two co-chairs, 
selected from among the members of the Commission.
    (2) One co-chair of the Commission shall be a member of the 
Democratic Party, and one co-chair shall be a member of the Republican 
Party.
    (3) The individuals who serve as the co-chairs of the Commission 
shall be jointly agreed upon by the President, the Majority Leader of 
the Senate, the Minority Leader of the Senate, the Speaker of the House 
of Representatives, and the Minority Leader of the House of 
Representatives.
    (e) Appointment; Initial Meeting.--(1) Members of the Commission 
shall be appointed not later than 45 days after the date of the 
enactment of this Act.
    (2) The Commission shall hold its initial meeting on the date that 
is 60 days after the date of the enactment of this Act.
    (f) Meetings; Quorum; Vacancies.--(1) After its initial meeting, 
the Commission shall meet upon the call of the co-chairs of the 
Commission.
    (2) Six members of the Commission shall constitute a quorum for 
purposes of conducting business, except that two members of the 
Commission shall constitute a quorum for purposes of receiving 
testimony.
    (3) Any vacancy in the Commission shall not affect its powers, but 
shall be filled in the same manner in which the original appointment 
was made.
    (4) If vacancies in the Commission occur on any day after 45 days 
after the date of the enactment of this Act, a quorum shall consist of 
a majority of the members of the Commission as of such day.
    (g) Actions of Commission.--(1) The Commission shall act by 
resolution agreed to by a majority of the members of the Commission 
voting and present.
    (2) The Commission may establish panels composed of less than the 
full membership of the Commission for purposes of carrying out the 
duties of the Commission under this title. The actions of any such 
panel shall be subject to the review and control of the Commission. Any 
findings and determinations made by such a panel shall not be 
considered the findings and determinations of the Commission unless 
approved by the Commission.
    (3) Any member, agent, or staff of the Commission may, if 
authorized by the co-chairs of the Commission, take any action which 
the Commission is authorized to take pursuant to this title.
    (h) Duties.--The duties of the Commission shall be--
            (1) to conduct, until not later than the date on which the 
        Commission submits the report under section 607(a), the review 
        described in subsection (i); and
            (2) to submit to the congressional intelligence committees, 
        the Director of Central Intelligence, and the Secretary of 
        Defense a final report on the results of the review.
    (i) Review.--The Commission shall review the status of research and 
development programs and activities within the intelligence community, 
including--
            (1) an assessment of the advisability of modifying the 
        scope of research and development for purposes of such programs 
        and activities;
            (2) a review of the particular individual research and 
        development activities under such programs;
            (3) an evaluation of the current allocation of resources 
        for research and development, including whether the allocation 
        of such resources for that purpose should be modified;
            (4) an identification of the scientific and technological 
        fields judged to be of most importance to the intelligence 
        community;
            (5) an evaluation of the relationship between the research 
        and development programs and activities of the intelligence 
        community and the research and development programs and 
        activities of other departments and agencies of the Federal 
        Government; and
            (6) an evaluation of the relationship between the research 
        and development programs and activities of the intelligence 
        community and the research and development programs and 
        activities of the private sector.

SEC. 603. POWERS OF COMMISSION.

    (a) In General.--(1) The Commission or, on the authorization of the 
Commission, any subcommittee or member thereof, may, for the purpose of 
carrying out the provisions of this title--
            (A) hold such hearings and sit and act at such times and 
        places, take such testimony, receive such evidence, and 
        administer such oaths; and
            (B) require, by subpoena or otherwise, the attendance and 
        testimony of such witnesses and the production of such books, 
        records, correspondence, memoranda, papers, and documents, as 
        the Commission or such designated subcommittee or designated 
        member considers necessary.
    (2) Subpoenas may be issued under subparagraph (1)(B) under the 
signature of the co-chairs of the Commission, and may be served by any 
person designated by such co-chairs.
    (3) The provisions of sections 102 through 104 of the Revised 
Statutes of the United States (2 U.S.C. 192-194) shall apply in the 
case of any failure of a witness to comply with any subpoena or to 
testify when summoned under authority of this section.
    (b) Contracting.--The Commission may, to such extent and in such 
amounts as are provided in advance in appropriation Acts, enter into 
contracts to enable the Commission to discharge its duties under this 
title.
    (c) Information From Federal Agencies.--The Commission may secure 
directly from any executive department, agency, bureau, board, 
commission, office, independent establishment, or instrumentality of 
the Government information, suggestions, estimates, and statistics for 
the purposes of this title. Each such department, agency, bureau, 
board, commission, office, establishment, or instrumentality shall, to 
the extent authorized by law, furnish such information, suggestions, 
estimates, and statistics directly to the Commission, upon request of 
the co-chairs of the Commission. The Commission shall handle and 
protect all classified information provided to it under this section in 
accordance with applicable statutes and regulations.
    (d) Assistance From Federal Agencies.--(1) The Director of Central 
Intelligence shall provide to the Commission, on a nonreimbursable 
basis, such administrative services, funds, staff, facilities, and 
other support services as are necessary for the performance of the 
Commission's duties under this title.
    (2) The Secretary of Defense may provide the Commission, on a 
nonreimbursable basis, with such administrative services, staff, and 
other support services as the Commission may request.
    (3) In addition to the assistance set forth in paragraphs (1) and 
(2), other departments and agencies of the United States may provide 
the Commission such services, funds, facilities, staff, and other 
support as such departments and agencies consider advisable and as may 
be authorized by law.
    (4) The Commission shall receive the full and timely cooperation of 
any official, department, or agency of the United States Government 
whose assistance is necessary for the fulfillment of the duties of the 
Commission under this title, including the provision of full and 
current briefings and analyses.
    (e) Prohibition on Withholding Information.--No department or 
agency of the Government may withhold information from the Commission 
on the grounds that providing the information to the Commission would 
constitute the unauthorized disclosure of classified information or 
information relating to intelligence sources or methods.
    (f) Postal Services.--The Commission may use the United States 
mails in the same manner and under the same conditions as the 
departments and agencies of the United States.
    (g) Gifts.--The Commission may accept, use, and dispose of gifts or 
donations of services or property in carrying out its duties under this 
title.

SEC. 604. STAFF OF COMMISSION.

    (a) In General.--(1) The co-chairs of the Commission, in accordance 
with rules agreed upon by the Commission, shall appoint and fix the 
compensation of a staff director and such other personnel as may be 
necessary to enable the Commission to carry out its duties, without 
regard to the provisions of title 5, United States Code, governing 
appointments in the competitive service, and without regard to the 
provisions of chapter 51 and subchapter III or chapter 53 of such title 
relating to classification and General Schedule pay rates, except that 
no rate of pay fixed under this subsection may exceed the equivalent of 
that payable to a person occupying a position at level V of the 
Executive Schedule under section 5316 of such title.
    (2) Any Federal Government employee may be detailed to the 
Commission without reimbursement from the Commission, and such detailee 
shall retain the rights, status, and privileges of his or her regular 
employment without interruption.
    (3) All staff of the Commission shall possess a security clearance 
in accordance with applicable laws and regulations concerning the 
handling of classified information.
    (b) Consultant Services.--(1) The Commission may procure the 
services of experts and consultants in accordance with section 3109 of 
title 5, United States Code, but at rates not to exceed the daily rate 
paid a person occupying a position at level IV of the Executive 
Schedule under section 5315 of such title.
    (2) All experts and consultants employed by the Commission shall 
possess a security clearance in accordance with applicable laws and 
regulations concerning the handling of classified information.

SEC. 605. COMPENSATION AND TRAVEL EXPENSES.

    (a) Compensation.--(1) Except as provided in paragraph (2), each 
member of the Commission may be compensated at not to exceed the daily 
equivalent of the annual rate of basic pay in effect for a position at 
level IV of the Executive Schedule under section 5315 of title 5, 
United States Code, for each day during which that member is engaged in 
the actual performance of the duties of the Commission under this 
title.
    (2) Members of the Commission who are officers or employees of the 
United States or Members of Congress shall receive no additional pay by 
reason of their service on the Commission.
    (b) Travel Expenses.--While away from their homes or regular places 
of business in the performance of services for the Commission, members 
of the Commission may be allowed travel expenses, including per diem in 
lieu of subsistence, in the same manner as persons employed 
intermittently in the Government service are allowed expenses under 
section 5703(b) of title 5, United States Code.

SEC. 606. TREATMENT OF INFORMATION RELATING TO NATIONAL SECURITY.

    (a) In General.--(1) The Director of Central Intelligence shall 
assume responsibility for the handling and disposition of any 
information related to the national security of the United States that 
is received, considered, or used by the Commission under this title.
    (2) Any information related to the national security of the United 
States that is provided to the Commission by a congressional 
intelligence committee may not be further provided or released without 
the approval of the chairman of such committee.
    (b) Access After Termination of Commission.--Notwithstanding any 
other provision of law, after the termination of the Commission under 
section 607, only the Members and designated staff of the congressional 
intelligence committees, the Director of Central Intelligence (and the 
designees of the Director), and such other officials of the executive 
branch as the President may designate shall have access to information 
related to the national security of the United States that is received, 
considered, or used by the Commission.

SEC. 607. FINAL REPORT; TERMINATION.

    (a) Final Report.--Not later than September 1, 2003, the Commission 
shall submit to the congressional intelligence committees, the Director 
of Central Intelligence, and the Secretary of Defense a final report as 
required by section 602(h)(2).
    (b) Termination.--(1) The Commission, and all the authorities of 
this title, shall terminate at the end of the 120-day period beginning 
on the date on which the final report under subsection (a) is 
transmitted to the congressional intelligence committees.
    (2) The Commission may use the 120-day period referred to in 
paragraph (1) for the purposes of concluding its activities, including 
providing testimony to Congress concerning the final report referred to 
in that paragraph and disseminating the report.

SEC. 608. ASSESSMENTS OF FINAL REPORT.

    Not later than 60 days after receipt of the final report under 
section 607(a), the Director of Central Intelligence and the Secretary 
of Defense shall each submit to the congressional intelligence 
committees an assessment by the Director or the Secretary, as the case 
may be, of the final report. Each assessment shall include such 
comments on the findings and recommendations contained in the final 
report as the Director or Secretary, as the case may be, considers 
appropriate.

SEC. 609. INAPPLICABILITY OF CERTAIN ADMINISTRATIVE PROVISIONS.

    (a) Federal Advisory Committee Act.--The provisions of the Federal 
Advisory Committee Act (5 U.S.C. App.) shall not apply to the 
activities of the Commission under this title.
    (b) Freedom of Information Act.--The provisions of section 552 of 
title 5, United States Code (commonly referred to as the Freedom of 
Information Act), shall not apply to the activities, records, and 
proceedings of the Commission under this title.

SEC. 610. FUNDING.

    (a) Transfer From the Community Management Account.--Of the amounts 
authorized to be appropriated by this Act for the Intelligence 
Technology Innovation Center of the Community Management Account, the 
Deputy Director of Central Intelligence for Community Management shall 
transfer to the Director of Central Intelligence $2,000,000 for 
purposes of the activities of the Commission under this title.
    (b) Availability in General.--The Director of Central Intelligence 
shall make available to the Commission, from the amount transferred to 
the Director under subsection (a), such amounts as the Commission may 
require for purposes of the activities of the Commission under this 
title.
    (c) Duration of Availability.--Amounts made available to the 
Commission under subsection (b) shall remain available until expended.

 SEC. 611. DEFINITIONS.

    In this title:
            (1) Congressional intelligence committees.--The term 
        ``congressional intelligence committees'' means--
                    (A) the Select Committee on Intelligence of the 
                Senate; and
                    (B) the Permanent Select Committee on Intelligence 
                of the House of Representatives.
            (2) Intelligence community.--The term ``intelligence 
        community'' has the meaning given that term in section 3 of the 
        National Security Act of 1947 (50 U.S.C. 401a).




                                                       Calendar No. 490

107th CONGRESS

  2d Session

                                S. 2506

                          [Report No. 107-149]

                          [Report No. 107-208]

_______________________________________________________________________

                                 A BILL

 To authorize appropriations for fiscal year 2003 for intelligence and 
 intelligence-related activities of the United States Government, the 
   Community Management Account, and the Central Intelligence Agency 
       Retirement and Disability System, and for other purposes.

_______________________________________________________________________

                              July 9, 2002

                        Reported with amendments