[Congressional Bills 108th Congress]
[From the U.S. Government Publishing Office]
[S. 410 Introduced in Senate (IS)]







108th CONGRESS
  1st Session
                                 S. 410

 To establish the Homeland Intelligence Agency, and for other purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                           February 13, 2003

  Mr. Edwards introduced the following bill; which was read twice and 
            referred to the Select Committee on Intelligence

_______________________________________________________________________

                                 A BILL


 
 To establish the Homeland Intelligence Agency, 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 ``Foreign 
Intelligence Collection Improvement Act of 2003''.
    (b) Table of Contents.--The table of contents for this Act is as 
follows:

Sec. 1. Short title; table of contents.
Sec. 2. Findings and purpose.
                 TITLE I--HOMELAND INTELLIGENCE AGENCY

Sec. 101. Short title.
Sec. 102. Definitions.
                       Subtitle A--Establishment

Sec. 111. Homeland Intelligence Agency.
Sec. 112. Mission.
Sec. 113. Officers.
Sec. 114. Inspector general.
Sec. 115. Office of Privacy and Civil Liberties Protection.
Sec. 116. Office of Federal, State, and Local Law Enforcement 
                            Coordination.
Sec. 117. Seal.
                        Subtitle B--Authorities

Sec. 121. Personnel training.
Sec. 122. Dissemination of information.
Sec. 123. Guidelines on collection of foreign intelligence and 
                            counterintelligence inside the United 
                            States.
Sec. 124. Coordination with Central Intelligence Agency overseas.
Sec. 125. Treatment as element of intelligence community.
Sec. 126. Inclusion within National Foreign Intelligence Program.
Sec. 127. Foreign intelligence surveillance activities.
Sec. 128. Annual reports.
                   Subtitle C--Transfer of Functions

Sec. 141. Transfer of functions.
Sec. 142. Reorganization.
Sec. 143. Transfer and allocation of appropriations and personnel.
Sec. 144. Incidental transfers.
Sec. 145. Effect on personnel.
Sec. 146. Savings provisions.
Sec. 147. Transition.
Sec. 148. References.
                   Subtitle D--Conforming Amendments

Sec. 151. Executive schedule.
Sec. 152. Department of Homeland Security Act.
Sec. 153. National Security Act of 1947.
               TITLE II--FEDERAL BUREAU OF INVESTIGATION

Sec. 201. Termination of functions and responsibilities of Federal 
                            Bureau of Investigation as element of the 
                            intelligence community.
Sec. 202. Office of Foreign Intelligence Coordination.
Sec. 203. Improvement of coordination of counterintelligence 
                            activities.
                    TITLE III--SURVEILLANCE MATTERS

         Subtitle A--Foreign Intelligence Surveillance Reports

Sec. 301. Short title.
Sec. 302. Additional matters in annual reports on surveillance under 
                            Foreign Intelligence Surveillance Act of 
                            1978.
Subtitle B--Participation in Religious and Political Groups for Foreign 
           Intelligence and International Terrorism Purposes

Sec. 311. Participation in religious and political groups for foreign 
                            intelligence and international terrorism 
                            purposes.
                       Subtitle C--Effective Date

Sec. 321. Effective date.
                        TITLE IV--EFFECTIVE DATE

Sec. 401. Effective date.

SEC. 2. FINDINGS AND PURPOSE.

    (a) Findings.--Congress makes the following findings:
            (1) In the wake of the terrorist attacks on the United 
        States of September 11, 2001, the Select Committee on 
        Intelligence of the Senate and the Permanent Select Committee 
        on Intelligence of the House of Representatives conducted a 
        joint inquiry to examine the performance of the elements of the 
        Intelligence Community of the United States Government before 
        those attacks.
            (2) The findings of the joint inquiry revealed that the 
        Federal Bureau of Investigation had failed to merge properly 
        and perform effectively its dual missions of law enforcement 
        and the collection, analysis, and dissemination of foreign 
        intelligence inside the United States.
            (3) This failure by the Federal Bureau of Investigation 
        contributed to the inability of the United States to predict 
        and prevent the terrorist attacks of September 11, 2001.
            (4) The current and proposed changes in personnel and 
        procedures at the Federal Bureau of Investigation since 
        September 11, 2001, are not likely to result in a significant 
        improvement in the collection, analysis, and dissemination of 
        foreign intelligence inside the United States because the law 
        enforcement responsibilities of the Bureau are inconsistent 
        with, and will continue to undermine, its ability to be an 
        effective intelligence agency.
    (b) Purpose.--It is the purpose of this Act to create a new element 
of the Intelligence Community of the United States Government, within 
the Department of Homeland Security, whose primary mission will be the 
collection and dissemination of foreign intelligence and 
counterintelligence inside the United States, including the plans, 
intentions, and capabilities of international terrorist groups 
operating in the United States. The mission of such entity, the 
Homeland Intelligence Agency, shall be conducted with appropriate 
respect for the privacy and civil liberties of United States persons.

                 TITLE I--HOMELAND INTELLIGENCE AGENCY

SEC. 101. SHORT TITLE.

    This title may be cited as the ``Homeland Intelligence Agency Act 
of 2003''.

SEC. 102. DEFINITIONS.

    In this title:
            (1) 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), as amended by section 353 of the Intelligence 
        Authorization Act for Fiscal Year 2003 (Public Law 107-306).
            (2) Appropriate committees of congress.--The term 
        ``appropriate committees of Congress'' means--
                    (A) the Select Committee on Intelligence and the 
                Committee on the Judiciary of the Senate; and
                    (B) the Permanent Select Committee on Intelligence 
                and the Committee on the Judiciary of the House of 
                Representatives.
            (2) United states.--The term ``United States'', when used 
        in a geographic sense, means any State of the United States, 
        the District of Columbia, the Commonwealth of Puerto Rico, the 
        Virgin Islands, Guam, American Samoa, the Commonwealth of the 
        Northern Mariana Islands, any possession of the United States, 
        and any waters within the jurisdiction of the United States.
            (3) Intelligence-related definitions.--The terms 
        ``intelligence'', ``foreign intelligence'', and 
        ``counterintelligence'' have the meaning given such terms in 
        section 3 of the National Security Act of 1947 (50 U.S.C. 
        401a).
            (4) Surveillance-related definitions.--The terms ``foreign 
        power'', ``agent of a foreign power'', and ``United States 
        person'' have the meaning given such terms in section 101 of 
        the Foreign Intelligence Surveillance Act of 1978 (50 U.S.C. 
        1801).

                       Subtitle A--Establishment

SEC. 111. HOMELAND INTELLIGENCE AGENCY.

    (a) Establishment.--There is established the Homeland Intelligence 
Agency.
    (b) Element of Department of Homeland Security.--The Homeland 
Intelligence Agency is an element of the Department of Homeland 
Security.
    (c) Mission.--The Homeland Intelligence Agency shall carry out the 
mission specified in section 112.

SEC. 112. MISSION.

    (a) In General.--The mission of the Homeland Intelligence Agency 
shall be to support the Director of Central Intelligence in discharging 
the responsibilities of the Director as the head of the intelligence 
community under section 103 of the National Security Act of 1947 (50 
U.S.C. 403-3) in the manner as follows:
            (1) By serving as the primary entity within the United 
        States Government responsible for collecting foreign 
        intelligence on the plans, intentions, and capabilities of 
        international terrorists and terrorist groups operating inside 
        the United States.
            (2) By conducting operations to collect foreign 
        intelligence and counterintelligence within the United States, 
        including foreign intelligence and counterintelligence 
        regarding United States persons, through human sources and by 
        other lawful intelligence collection means.
            (3) By conducting operations to collect foreign 
        intelligence and counterintelligence through the use of 
        electronic surveillance and physical searches pursuant to the 
        Foreign Intelligence Surveillance Act of 1978 (50 U.S.C. 1801 
        et seq.) in accordance with the provisions of that Act.
            (4) By conducting analysis, including identification and 
        assessment, relevant to the mission of the Agency to address 
        threats to the United States posed by foreign powers, agents of 
        foreign powers, and such other foreign persons or entities as 
        the President may prescribe.
            (5) By assisting the Under Secretary for Information 
        Analysis and Infrastructure Protection of the Department of 
        Homeland Security in carrying out activities under section 
        201(d)(1) of the Department of Homeland Security Act (Public 
        Law 107-296), relating to the identification and assessment of 
        threats to the United States.
            (6) By participating with the Central Intelligence Agency 
        in the Terrorist Threat Integration Center.
            (7) By ensuring the prompt and efficient dissemination of 
        foreign intelligence reports to appropriate consumers in the 
        United States Government, including reports derived from 
        collection conducted pursuant to the Foreign Intelligence 
        Surveillance Act of 1978 (50 U.S.C. 1801 et seq.).
            (8) By facilitating the sharing of information between the 
        Agency and other elements of the United States Government, 
        State governments, and local governments.
    (b) Nature of Responsibilities.--(1) The Homeland Intelligence 
Agency shall have primary responsibility within the United States 
Government for the collection of foreign intelligence and 
counterintelligence inside the United States.
    (2) The Agency shall have sole responsibility within the United 
States Government for the collection of foreign intelligence and 
counterintelligence under subsection (a)(3).
    (c) Limitations.--Except as otherwise provided in sections 114 and 
115, the Homeland Intelligence Agency shall have no police, subpoena, 
or law enforcement powers.

SEC. 113. OFFICERS.

    (a) Director.--(1) There is a Director of Homeland Intelligence, 
who shall be appointed by the President, by and with the advice and 
consent of the Senate. The Director shall be the head of the Homeland 
Intelligence Agency.
    (2)(A) The Director serves for a term of two years, beginning on 
October 1 of odd-numbered years.
    (B) An individual may be reappointed as Director.
    (3) The Director shall perform such duties and exercise such powers 
relating to the mission of the Agency as the President shall prescribe.
    (b) Deputy Director.--(1) There is a Deputy Director of Homeland 
Intelligence, who shall be appointed by the President, by and with the 
advice and consent of the Senate.
    (2) The Deputy Director shall perform such duties and exercise such 
powers as the Director of Homeland Intelligence shall prescribe.
    (3) The Deputy Director shall act for, and exercise the powers of, 
the Director when the Director is disabled or there is no Director of 
Homeland Intelligence.
    (c) Inspector General.--(1) There is an Inspector General of the 
Homeland Intelligence Agency, who shall be appointed as provided in 
section 114.
    (2) The Inspector General shall perform the functions set forth in 
section 114.
    (d) Director of Office of Privacy and Civil Liberties Protection.--
(1) There is a Director of the Office of Privacy and Civil Liberties 
Protection of the Homeland Intelligence Agency, who shall be appointed 
as provided in section 115.
    (2) The Director shall be the head of the Office of Privacy and 
Civil Liberties Protection under section 115.
    (3) The Director shall perform the functions set forth in section 
115.
    (e) General Counsel.--(1) There is a General Counsel of the 
Homeland Intelligence Agency, who shall be appointed by the President, 
by and with the advice and consent of the Senate.
    (2) The General Counsel is the chief legal officer of the Homeland 
Intelligence Agency.
    (3) The General Counsel shall perform such functions as the 
Director of Homeland Intelligence shall prescribe.
    (4) Notwithstanding any provision of the Department of Homeland 
Security Act, the General Counsel of the Homeland Intelligence Agency 
shall not be subject to the direction, supervision, or control of the 
General Counsel of the Department of Homeland Security in performing 
functions under this title.

SEC. 114. INSPECTOR GENERAL.

    (a) Appointment; Removal.--(1) There is an Inspector General of the 
Homeland Intelligence Agency, who shall be appointed by the President, 
by and with the advice and consent of the Senate.
    (2) The appointment of the Inspector General shall be made--
            (A) without regard to political affiliation;
            (B) solely on the basis of integrity, compliance with the 
        security standards of the Homeland Intelligence Agency, and 
        prior experience in the field of foreign intelligence or 
        counterintelligence; and
            (C) on the basis of demonstrated ability in accounting, 
        financial analysis, law, management analysis, public 
        administration, or auditing.
    (3) The Inspector General may be removed from office only by the 
President. The President shall immediately communicate in writing to 
the congressional intelligence committees the reasons for any such 
removal.
    (b) Supervision.--(1) The Inspector General of the Homeland 
Intelligence Agency shall report directly to and be under the general 
supervision of the Director of Homeland Intelligence.
    (2) Notwithstanding any provision of the Department of Homeland 
Security Act (Public Law 107-296), the Inspector General of the 
Homeland Intelligence Agency shall not be subject to the direction, 
supervision, or control of the Inspector General of the Department of 
Homeland Security in performing functions under this title.
    (3) The Director may prohibit the Inspector General of the Homeland 
Intelligence Agency from initiating, carrying out, or completing any 
audit, inspection, or investigation if the Director determines that 
such prohibition is necessary to protect vital national security 
interests of the United States.
    (4)(A) If the Director exercises any power under paragraph (3), the 
Director shall submit an appropriately classified statement of the 
reasons for the exercise of such power within seven days to the 
congressional intelligence committees.
    (B) The Director shall advise the Inspector General at the time a 
report is submitted under subparagraph (A), and, to the extent 
consistent with the protection of intelligence sources and methods, 
provide the Inspector General with a copy of such report. In such 
cases, the Inspector General may submit to the congressional 
intelligence committees such comments as the Inspector General 
considers appropriate.
    (c) Duties and Responsibilities.--It shall be the duty and 
responsibility of the Inspector General of the Homeland Intelligence 
Agency--
            (1) to provide policy direction for, and to plan, conduct, 
        supervise, and coordinate independently, inspections, 
        investigations, and audits relating to the programs and 
        operations of the Homeland Intelligence Agency to ensure they 
        are conducted efficiently and in accordance with applicable law 
        and regulations;
            (2) to keep the Director of Homeland Intelligence fully and 
        currently informed concerning violations of law and 
        regulations, fraud and other serious problems, and abuses and 
        deficiencies that may occur in such programs and operations, 
        and to report the progress made in implementing corrective 
        action;
            (3) to take due regard for the protection of intelligence 
        sources and methods in the preparation of all reports issued by 
        the Inspector General, and, to the extent consistent with the 
        purpose and objective of such reports, take such measures as 
        may be appropriate to minimize the disclosure of intelligence 
        sources and methods described in such reports; and
            (4) in carrying out such responsibilities, to comply with 
        generally accepted government auditing standards.
    (d) Reports.--(1)(A) The Inspector General of the Homeland 
Intelligence Agency shall, not later than January 31 and July 31 each 
year, prepare and submit to the Director of Homeland Intelligence a 
classified report summarizing the activities of the Inspector General 
during the six-month period ending on the preceding December 31 or June 
30, as the case may be.
    (B) Not later than the dates each year provided for the transmittal 
of a report under subparagraph (A) in section 507 of the National 
Security Act of 1947 (as amended by section 153 of this Act), the 
Director shall transmit the report to the congressional intelligence 
committees, together with any comments the Director considers 
appropriate.
    (C) Each report under this paragraph shall, at a minimum, include--
            (i) a list of the title or subject of each inspection, 
        investigation, or audit conducted during the period covered by 
        such report;
            (ii) a description of significant problems, abuses, and 
        deficiencies relating to the administration of programs and 
        operations of the Agency that are identified by the Inspector 
        General during such period;
            (iii) a description of the recommendations for corrective 
        action made by the Inspector General during such period with 
        respect to significant problems, abuses, or deficiencies 
        identified in clause (ii);
            (iv) a statement of whether corrective action has been 
        completed on each significant recommendation described in any 
        previous report under this paragraph, and, in a case where 
        corrective action has been completed, a description of such 
        corrective action;
            (v) a certification whether or not the Inspector General 
        has had full and direct access during such period to all 
        information relevant to the performance of the Inspector 
        General's functions;
            (vi) a description of the exercise of the subpoena 
        authority under subsection (e)(5) by the Inspector General 
        during such period; and
            (vii) such recommendations as the Inspector General 
        considers appropriate regarding legislation to promote economy 
        and efficiency in the administration of programs and operations 
        undertaken by the Agency, and to detect and eliminate fraud and 
        abuse in such programs and operations.
    (2)(A) The Inspector General shall report immediately to the 
Director whenever the Inspector General becomes aware of an allegation 
of serious or flagrant problems, abuses, or deficiencies relating to 
the administration of programs or operations of the Agency.
    (B) The Director shall transmit to the congressional intelligence 
committees any report received under paragraph (A) within seven 
calendar days of receipt, together with any comments the Director 
considers appropriate.
    (3) In accordance with section 535 of title 28, United States Code, 
the Inspector General shall report to the Attorney General any 
information, allegation, or complaint received by the Inspector General 
relating to violations of Federal criminal law that involve a program 
or operation of the Agency, consistent with such guidelines as may be 
issued by the Attorney General pursuant to subsection (b)(2) of such 
section. A copy of any such report shall be furnished to the Director.
    (4) The Inspector General shall transmit to the congressional 
intelligence committees a report on such event whenever--
            (A) the Inspector General is unable to resolve any 
        differences with the Director affecting the execution of the 
        Inspector General's duties or responsibilities;
            (B) an investigation, inspection, or audit carried out by 
        the Inspector General should focus on any current or former 
        Agency official who holds or held a position in the Agency that 
        is subject to appointment by the President, by and with the 
        advice and consent of the Senate, including such a position 
        held on an acting basis;
            (C) a matter requires a report by the Inspector General to 
        the Department of Justice on possible criminal conduct by a 
        current or former Agency official described or referred to in 
        subparagraph (B);
            (D) the Inspector General receives notice from the 
        Department of Justice declining or approving prosecution of 
        possible criminal conduct of any of the officials described in 
        subparagraph (B); or
            (E) the Inspector General, after exhausting all possible 
        alternatives, is unable to obtain significant documentary 
        information in the course of an investigation, inspection, or 
        audit.
    (5) In a manner consistent with the provisions of title V of the 
National Security Act of 1947 (50 U.S.C. 413 et seq.), the Director 
shall submit to the congressional intelligence committees any report or 
findings and recommendations of an inspection, investigation, or audit 
conducted by the Inspector General which has been requested by the 
Chairman or Ranking Minority Member of either such committee.
    (6)(A) An employee of the Agency, or of a contractor to the Agency, 
who intends to report to Congress a complaint or information with 
respect to an urgent concern may report such complaint or information 
to the Inspector General.
    (B) Not later than the end of the 14-calendar day period beginning 
on the date of receipt from an employee of a complaint or information 
under subparagraph (A), the Inspector General shall determine whether 
the complaint or information appears credible. Upon making such a 
determination, the Inspector General shall transmit to the Director 
notice of that determination, together with the complaint or 
information.
    (C) Upon receipt of a transmittal from the Inspector General under 
subparagraph (B), the Director shall, within seven calendar days of 
such receipt, forward such transmittal to the congressional 
intelligence committees, together with any comments the Director 
considers appropriate.
    (D)(i) If the Inspector General does not find credible under 
subparagraph (B) a complaint or information submitted under 
subparagraph (A), or does not transmit the complaint or information to 
the Director in accurate form under subparagraph (B), the employee 
(subject to clause (ii)) may submit the complaint or information to 
Congress by contacting either or both of the congressional intelligence 
committees directly.
    (ii) An employee may contact the congressional intelligence 
committees directly as described in clause (i) only if the employee--
            (I) before making such a contact, furnishes to the 
        Director, through the Inspector General, a statement of the 
        employee's complaint or information and notice of the 
        employee's intent to contact the congressional intelligence 
        committees directly; and
            (II) obtains and follows from the Director, through the 
        Inspector General, direction on how to contact the 
        congressional intelligence committees in accordance with 
        appropriate security practices.
    (iii) A member or employee of one of the congressional intelligence 
committees who receives a complaint or information under clause (i) 
does so in that member or employee's official capacity as a member or 
employee of such committee.
    (E) The Inspector General shall notify an employee who reports a 
complaint or information to the Inspector General under this paragraph 
of each action taken under this paragraph with respect to the complaint 
or information. Such notice shall be provided not later than 3 days 
after such action is taken.
    (F) An action taken by the Director or the Inspector General under 
this paragraph shall not be subject to judicial review.
    (G) In this paragraph, the term ``urgent concern'' means any of the 
following:
            (i) A serious or flagrant problem or abuse, a serious or 
        flagrant violation of law or Executive order, or a serious or 
        flagrant deficiency relating to the funding, administration, or 
        operations of the Agency involving classified information, but 
        does not include differences of opinions concerning public 
        policy matters.
            (ii) A false statement to Congress, or a willful 
        withholding from Congress, on an issue of material fact 
        relating to the funding of, administration of, or operations 
        conducted by the Agency.
            (iii) An action, including a personnel action described in 
        section 2302(a)(2)(A) of title 5, United States Code, 
        constituting reprisal or threat of reprisal prohibited under 
        subsection (e)(3)(B) in response to an employee's reporting an 
        urgent concern in accordance with this paragraph.
    (e) Authorities.--(1) The Inspector General of the Homeland 
Intelligence Agency shall have direct and prompt access to the Director 
of Homeland Intelligence when necessary for any purpose pertaining to 
the performance of the duties of the Inspector General.
    (2)(A) The Inspector General shall have access to any employee or 
any employee of a contractor of the Agency whose testimony is needed 
for the performance of the Inspector General's duties. In addition, the 
Inspector General shall have direct access to all records, reports, 
audits, reviews, documents, papers, recommendations, or other material 
which relate to the programs and operations with respect to which the 
Inspector General has responsibilities under this section.
    (B) Failure on the part of any employee or contractor to cooperate 
with the Inspector General shall be grounds for appropriate 
administrative actions by the Director, including loss of employment or 
termination of an existing contractual relationship.
    (3)(A) The Inspector General may receive and investigate complaints 
or information from any person concerning the existence of an activity 
constituting a violation of laws, rules, or regulations, or 
mismanagement, gross waste of funds, abuse of authority, or a 
substantial and specific danger to the public health and safety.
    (B) If such complaint or information has been received from an 
employee of the Agency--
            (i) the Inspector General shall not disclose the identity 
        of the employee without the consent of the employee unless the 
        Inspector General determines that such disclosure is 
        unavoidable during the course of the investigation or the 
        disclosure is made to an official of the Department of Justice 
        responsible for determining whether a prosecution should be 
        undertaken; and
            (ii) no action constituting a reprisal, or threat of 
        reprisal, for making such complaint may be taken by any 
        employee of the Agency in a position to take such action unless 
        the complaint was made or the information was disclosed with 
        the knowledge that it was false or with willful disregard for 
        its truth or falsity.
    (4) The Inspector General may administer to or take from any person 
an oath, affirmation, or affidavit whenever necessary in the 
performance of the duties of the Inspector General, which oath, 
affirmation, or affidavit when administered or taken by or before an 
employee of the Inspector General designated by the Inspector General 
shall have the same force and effect as if administered or taken by or 
before an officer having a seal.
    (5)(A) Except as provided in subparagraph (B), the Inspector 
General may require by subpoena the production of all information, 
documents, reports, answers, records, accounts, papers, and other data 
and documentary evidence necessary in the performance of the duties and 
responsibilities of the Inspector General.
    (B) In the case of Government agencies, the Inspector General shall 
obtain information, documents, reports, answers, records, accounts, 
papers, and other data and evidence for the purpose specified in 
subparagraph (A) using procedures other than by subpoenas.
    (C) The Inspector General may not issue a subpoena for or on behalf 
of any other element or component of the Agency.
    (D) In the case of contumacy or refusal to obey a subpoena issued 
under this paragraph, the subpoena shall be enforceable by order of any 
appropriate district court of the United States.
    (6) The Inspector General shall be provided with appropriate and 
adequate office space at central and field office locations, together 
with such equipment, office supplies, maintenance services, and 
communications facilities and services as may be necessary for the 
operation of such offices.
    (7) Subject to applicable law and the policies of the Director, the 
Inspector General shall select, appoint, and employ such officers and 
employees as may be necessary to carry out the functions of the 
Inspector General. In making such selections, the Inspector General 
shall ensure that such officers and employees have the requisite 
training and experience to enable the Inspector General to carry out 
the duties of the Inspector General. In this regard, the Inspector 
General shall establish a career cadre of sufficient size to provide 
appropriate continuity and objectivity needed for the effective 
performance of the duties of the Inspector General.
    (8) Subject to the concurrence of the Director, the Inspector 
General may request such information or assistance as may be necessary 
for carrying out the duties and responsibilities of the Inspector 
General from any Government agency. Upon request of the Inspector 
General for such information or assistance, the head of the agency 
involved shall, insofar as is practicable and not in contravention of 
any existing statutory restriction or regulation of the agency 
involved, furnish to the Inspector General, or to an authorized 
designee, such information or assistance.
    (f) Separate Budget Account.--For any fiscal year beginning after 
the date of the enactment of this Act, and in accordance with 
procedures to be issued by the Director of Homeland Intelligence in 
consultation with the congressional intelligence committees, the 
Director shall include in the National Foreign Intelligence Program 
budget a separate account for the Inspector General of the Homeland 
Intelligence Agency.

SEC. 115. OFFICE OF PRIVACY AND CIVIL LIBERTIES PROTECTION.

    (a) Establishment.--There is established in the Homeland 
Intelligence Agency the Office of Privacy and Civil Liberties 
Protection.
    (b) Director.--(1) There is a Director of the Office of Privacy and 
Civil Liberties Protection, who shall be appointed by the President, by 
and with the advice and consent of the Senate. The Director shall be 
the head of the Office of Privacy and Civil Liberties Protection.
    (2) The appointment of the Director shall be made--
            (A) without regard to political affiliation;
            (B) solely on the basis of integrity, compliance with the 
        security standards of the Homeland Intelligence Agency, and 
        prior experience in the field of foreign intelligence or 
        counterintelligence; and
            (C) on the basis of demonstrated knowledge and ability in 
        the areas of privacy and civil liberties protections based on 
        the Constitution and laws of the United States.
    (3) The Director may be removed from office only by the President. 
The President shall immediately communicate in writing to the 
appropriate committees of Congress the reasons for any such removal.
    (c) Mission.--The mission of the Office of Privacy and Civil 
Liberties Protection shall be as follows:
            (1) To ensure that the Homeland Intelligence Agency 
        operates within the Constitution and laws of the United States 
        and any guidelines established under section 123.
            (2) To receive and investigate complaints on matters 
        relating to privacy and civil liberties arising in the 
        discharge by the Agency of its mission under this title.
            (3) To refer to the Attorney General evidence of violations 
        of the laws of the United States revealed in the course of the 
        activities of the Office.
            (4) To notify the Director of Homeland Intelligence and the 
        Inspector General of the Homeland Intelligence Agency of any 
        findings and conclusions of the Office relating to violations 
        of any of the Executive orders, rules, regulations, or 
        directives applicable to the Agency, or of the guidelines 
        established under section 123.
            (5) To initiate and conduct investigations of complaints on 
        matters described in paragraph (2) and on violations of the 
        guidelines referred to in paragraph (1).
            (6) To undertake responsibility for the privacy policy of 
        the Agency by--
                    (A) assuring that the use of technologies by the 
                Agency sustain, and do not erode, privacy protections 
                in the collection, use, and disclosure of personal 
                information;
                    (B) assuring that the handling of personal 
                information in the system of records operated by the 
                Agency under section 552a of title 5, United States 
                Code (commonly referred to as the Privacy Act of 1974), 
                complies fully with the fair information practices 
                required by that section;
                    (C) evaluating the effect on the Agency of 
                legislative and regulatory proposals on the collection, 
                use, and disclosure of personal information by the 
                United States Government;
                    (D) conducting an assessment of the effect of 
                proposed rules of the Agency on the privacy of personal 
                information, including the type of personal information 
                to be collected, and the number of people potentially 
                affected; and
                    (E) preparing and submitting to the appropriate 
                committees of Congress on an annual basis a report on 
                the effect on privacy and civil liberties of the 
                activities of the Agency in accordance with subsection 
                (j)(2).
            (7) To provide annual training to personnel of the Agency 
        on the protection of privacy and civil liberties in the 
        discharge by the Agency of its mission.
            (8) To make public, through the media and by other 
        appropriate means, information on--
                    (A) the mission of the Agency;
                    (B) limitations on the powers and authorities of 
                the Agency; and
                    (C) the procedures for contacting the Office to 
                report complaints on matters described in paragraph (2) 
                and on violations of the guidelines referred to in 
                paragraph (1).
            (9) To perform such other functions relating to matters 
        described in paragraphs (1) and (2) as the Director of Homeland 
        Intelligence shall prescribe.
    (d) Access to Director of Homeland Intelligence.--(1) The Director 
of the Office of Privacy and Civil Liberties Protection shall report 
directly to the Director of Homeland Intelligence in the performance of 
the mission of the Office of Privacy and Civil Liberties Protection.
    (2) The Director of the Office of Privacy and Civil Liberties 
Protection shall have direct and prompt access to the Director of 
Homeland Intelligence for any purpose pertaining to the performance of 
the mission of the Office.
    (e) Powers.--(1) The Director of the Office of Privacy and Civil 
Liberties Protection shall have powers and authorities necessary for 
the performance of the mission of the Office, including--
            (A) the power to conduct audits and inspections;
            (B) the power, as provided in paragraph (2), to administer 
        or take oaths, affirmations, or affidavits; and
            (C) the power to require the production of evidence by 
        subpoena, including information described in paragraph (4).
    (2) The Director may administer to or take from any person an oath, 
affirmation, or affidavit whenever necessary in the performance of the 
duties of the Director,  which oath, affirmation, or affidavit when 
administered or taken by or before an employee of the Director 
designated by the Director shall have the same force and effect as if 
administered or taken by or before an officer having a seal.
    (3) The Director of the Office of Privacy and Civil Liberties 
Protection shall have access to any employee, or any employee of a 
contractor, of the Homeland Intelligence Agency whose testimony is 
needed for the performance of the mission of the Office.
    (4) The Director shall have direct access to any records, reports, 
audits, reviews, documents, papers, recommendations, data, or any other 
materials of the Agency that is needed for the performance of the 
mission of the Office.
    (5) In the case of contumacy or refusal to obey a subpoena issued 
under paragraph (1), the subpoena shall be enforceable by order of any 
appropriate district court of the United States.
    (6) Failure on the part of any employee or contractor to cooperate 
with the Director of the Office of Privacy and Civil Liberties 
Protection shall be grounds for appropriate administrative actions by 
the Director of Homeland Intelligence, including loss of employment or 
termination of an existing contractual relationship.
    (f) Authorities.--(1) The Director of the Office of Privacy and 
Civil Liberties Protection shall be provided with appropriate and 
adequate office space at central and field office locations, together 
with such equipment, office supplies, maintenance services, and 
communications facilities and services as may be necessary for the 
operation of such offices.
    (2) Subject to applicable law and the policies of the Director of 
Homeland Intelligence, the Director of the Office of Privacy and Civil 
Liberties Protection shall select, appoint, and employ such officers 
and employees as may be necessary to carry out the mission of the 
Office of Privacy and Civil Liberties Protection. In making such 
selections, the Director of the Office of Privacy and Civil Liberties 
Protection shall ensure that such officers and employees have the 
requisite training and experience to enable the Director of the Office 
of Privacy and Civil Liberties Protection to carry out the mission of 
the Office. In this regard, the Director of the Office of Privacy and 
Civil Liberties Protection shall establish a career cadre of sufficient 
size to provide appropriate continuity and objectivity needed for the 
effective performance of the mission of the Office.
    (3) Subject to the concurrence of the Director of Homeland 
Intelligence, the Director of the Office of Privacy and Civil Liberties 
Protection may request such information or assistance as may be 
necessary for carrying out the mission of the Office from any 
Government agency. Upon request of the Director of the Office of 
Privacy and Civil Liberties Protection for such information or 
assistance, the head of the agency involved shall, insofar as is 
practicable and not in contravention of any existing statutory 
restriction or regulation of the agency involved, furnish to the 
Director of the Office of Privacy and Civil Liberties Protection, or to 
an authorized designee, such information or assistance.
    (g) Protection of Civil Liberties in Cases Involving Classified 
Information.--(1) The Director of the Office of Privacy and Civil 
Liberties Protection shall establish and maintain in the Office of 
Privacy and Civil Liberties Protection a bureau to advocate for the 
civil liberties under the Constitution at ex parte hearings as follows:
            (A) Ex parte hearings of the Foreign Intelligence 
        Surveillance Court and the Foreign Intelligence Surveillance 
        Court of Review under the Foreign Intelligence Surveillance Act 
        of 1978 (50 U.S.C. 1801 et seq.).
            (B) Ex parte hearings under the Classified Information 
        Procedures Act (5 U.S.C. App.).
            (C) Procedures conducted by the Immigration and 
        Naturalization Service at which classified information is 
        considered by an examiner.
    (2) The Director shall ensure that the staff attorneys of the 
bureau have trial or appellate advocacy skills, whether by experience 
or training, adequate for the performance of the duties of the bureau.
    (3)(A) The head of the bureau shall report only to the Director 
regarding the performance of the duties of the bureau.
    (B) The staff of the bureau shall report only to the Director, and 
to the head of the bureau, regarding the performance of the duties of 
the bureau.
    (C) The head of the bureau and the members of the staff of the 
bureau may not be supervised, evaluated for purposes of pay or 
advancement, or otherwise instructed regarding the duties of the bureau 
by any officer or employee of the Department of Homeland Security or 
Homeland Intelligence Agency other than the Director, the head of the 
bureau, or other staff of the bureau.
    (4)(A) In the case of an ex parte hearing under the Foreign 
Intelligence Surveillance Act of 1978, an attorney of the bureau may 
have access only to the materials provided to the judge concerned.
    (B) An attorney of the bureau shall not have the power to conduct 
any independent investigation or inquiry into matters considered by the 
judge or examiner concerned.
    (5) The Director shall prescribe such procedures for the 
performance of the duties of the bureau as the Director considers 
appropriate. The procedures shall ensure the following:
            (A) That no member of the bureau receives classified 
        information in the performance of the duties of the bureau 
        unless the member possesses a security clearance appropriate 
        for access to such information.
            (B) That no member of the bureau discloses the substance of 
        any information, whether classified or unclassified, received 
        by such member in the performance of the duties of the bureau 
        to any person other than the Director or a member of the 
        bureau, except with the direct approval of the Director.
    (h) Advisory Board.--(1) The Director of Homeland Intelligence 
shall establish an advisory board to advise the Director of the Office 
of Privacy and Civil Liberties Protection in the performance of the 
mission of the Office of Privacy and Civil Liberties Protection.
    (2) The advisory board shall consist of individuals from the 
private sector who have expertise in the Constitution and law relating 
to privacy and civil liberties protections.
    (3) The advisory board shall provide advice and recommendations to 
the Director of the Office of Privacy and Civil Liberties Protection on 
such matters relating to the mission of the Office as the Director of 
Homeland Intelligence, in consultation with the Director of the Office 
of Privacy and Civil Liberties Protection, considers appropriate.
    (4) The provisions of the Federal Advisory Committee Act (5 U.S.C. 
App.) shall not apply to the activities of the advisory board under 
this subsection.
    (i) Separate Budget Account.--For any fiscal year beginning after 
the date of the enactment of this Act, and in accordance with 
procedures to be issued by the Director of Homeland Intelligence in 
consultation with the congressional intelligence committees, the 
Director shall include in the National Foreign Intelligence Program 
budget a separate account for the Office of Privacy and Civil Liberties 
Protection.
    (j) Annual Reports.--(1) Not later than February 1 each year, the 
Director of the Office of Privacy and Civil Liberties Protection shall 
submit to the appropriate committees of Congress a report on the 
activities of the Office of Privacy and Civil Liberties Protection 
during the preceding year.
    (2) Each report under paragraph (1) shall include a description of 
the effect on privacy and civil liberties of the activities of the 
Homeland Intelligence Agency during the year covered by the report, 
including--
            (A) the number and status of complaints received under 
        subsection (c)(2);
            (B) the actions taken by the Agency and the Office to 
        implement section 552a of title 5, United States Code (commonly 
        referred to as the Privacy Act of 1974);
            (C) the actions taken by the Agency and the Office to 
        implement, modify, or enhance the internal controls of the 
        Agency or the Office regarding privacy and civil liberties;
            (D) the actions taken by the Agency and the Office in 
        accordance with this Act for the protection of privacy and 
        civil liberties, including an assessment of the effectiveness 
        of such actions; and
            (E) such other matters as the Director considers 
        appropriate.
    (3) Each report under paragraph (1) shall be submitted in 
unclassified form, but may include a classified annex.

SEC. 116. OFFICE OF FEDERAL, STATE, AND LOCAL LAW ENFORCEMENT 
              COORDINATION.

    (a) Establishment.--There is established in the Homeland 
Intelligence Agency the Office of Federal, State, and Local Law 
Enforcement Coordination.
    (b) Responsibilities.--(1) The Office of Federal, State, and Local 
Law Enforcement Coordination shall ensure, in accordance with 
applicable statutes, regulations, and Executive orders, and consistent 
with the protection of intelligence sources and methods, that--
            (A) any information that is collected or otherwise acquired 
        by the Homeland Intelligence Agency relating to evidence of the 
        possible violation of the laws of the United States is promptly 
        transmitted to the Attorney General and the Office of Foreign 
        Intelligence Coordination of the Federal Bureau of 
        Investigation (as established by section 202); and
            (B) any information that is collected by the Agency 
        relating to the missions of State or local law enforcement, 
        health, rescue, fire, or other first responder agencies to 
        protect the public health and safety of their citizens is 
        promptly transmitted to the appropriate recipients in such 
        agencies.
    (2) For purposes of paragraph (1)(B), the appropriate recipients of 
classified information in a State or local agency referred to in that 
paragraph are the personnel of such agency who are designated as 
appropriate recipients of such information by the Secretary of Homeland 
Security, but only if such personnel have received clearance from the 
Director of Central Intelligence for access to classified information.
    (c) Access and Handling of Classified Information by State and 
Local Personnel.--(1) Not later than 180 days after the date of the 
enactment of this Act, the Secretary of Homeland Security and the 
Director of Central Intelligence shall jointly ensure that sufficient 
personnel of State and local agencies designated as appropriate 
recipients of information under paragraph (2) of subsection (b) receive 
clearances under that paragraph, and training, to enable such personnel 
to receive and handle properly classified information of the United 
States Government.
    (2) The Secretary shall ensure that personnel of State and local 
agencies designated as appropriate recipients of information under 
paragraph (2) of subsection (b) have convenient access to secure 
communications and facilities adequate to ensure the prompt and 
efficient transmittal and receipt of classified information under 
paragraph (1)(B) of that subsection.
    (d) Consultation.--(1) The Director of Homeland Intelligence and 
the Director of the Federal Bureau of Investigation shall consult on a 
regular basis regarding the activities of the Office of Federal, State, 
and Local Law Enforcement Coordination of the Homeland Intelligence 
Agency under this section and the activities of the Office of Foreign 
Intelligence Coordination of the Federal Bureau of Investigation under 
section 202 in order to ensure the timely and efficient discharge of 
the functions of each Office.
    (2) The Director of Homeland Intelligence shall consult with the 
chief executive officer of each State and the District of Columbia, or 
appropriate persons designated by such chief executive officer, to 
ensure that the partnership between the Federal Government and the 
States on the sharing of information functions as efficiently and 
effectively as possible.

SEC. 117. SEAL.

    The Homeland Intelligence Agency shall have a seal, of such design 
as the President shall approve, and judicial notice shall be taken 
thereof.

                        Subtitle B--Authorities

SEC. 121. PERSONNEL TRAINING.

    (a) Training Program Required.--The Director of Homeland 
Intelligence shall establish and implement within the Homeland 
Intelligence Agency a program for purposes as follows:
            (1) To provide new personnel of the Agency with training as 
        intelligence officers in order to carry out the mission of the 
        Agency.
            (2) To provide law enforcement or other personnel who are 
        transferred to the Agency from other agencies of the United 
        States Government, including the Federal Bureau of 
        Investigation, with training as intelligence officers in order 
        to carry out the mission of the Agency.
            (3) To provide additional training to personnel of the 
        Agency on at least an annual basis.
    (b) Nature of Training.--The training provided under this section 
shall--
            (1) be modelled on the program of training conducted by the 
        Central Intelligence Agency for new intelligence officers of 
        the Directorate of Operations of the Central Intelligence 
        Agency; and
            (2) take into account the special needs associated with 
        conducting intelligence collection activities inside the United 
        States in a manner consistent with the Constitution and laws of 
        the United States.

SEC. 122. DISSEMINATION OF INFORMATION.

    (a) In General.--(1) The Director of Homeland Intelligence shall 
provide for the prompt and efficient dissemination to the elements and 
entities referred to in subsection (d), as appropriate, of intelligence 
reports containing the foreign intelligence and counterintelligence 
collected by the Agency (including foreign intelligence and 
counterintelligence collected pursuant to the Foreign Intelligence 
Surveillance Act of 1978 (50 U.S.C. 1801 et seq.)), and analysis 
relating thereto conducted by the Agency, under this title.
    (2) In disseminating foreign intelligence, counterintelligence, and 
analysis relating thereto under this subsection, the Director of 
Homeland Intelligence shall, in consultation with the Director of 
Central Intelligence, ensure the protection from disclosure of 
classified information, including information relating to intelligence 
sources and methods.
    (b) Technology Infrastructure.--The Director of Homeland 
Intelligence shall establish within the Homeland Intelligence Agency a 
technology infrastructure sufficient to permit the prompt and secure 
electronic dissemination to the elements and entities referred to in 
subsection (d) of intelligence reports containing foreign intelligence, 
counterintelligence, and analysis relating thereto under subsection 
(a).
    (c) Office of Reports Officers.--(1) The Director of Homeland 
Intelligence shall establish within the Homeland Intelligence Agency an 
office of reports officers who shall be responsible for the prompt and 
efficient dissemination of intelligence under this section.
    (2) The Director shall assign to the office under paragraph (1) a 
sufficient number of reports officers to ensure the dissemination of 
intelligence collected by the Agency from human sources and all other 
lawful collection methods.
    (3) Each reports officer assigned to the office under paragraph (1) 
shall receive training under section 121 that is appropriate for the 
performance of their duties.
    (d) Elements and Entities.--The elements and entities referred to 
in this subsection are as follows:
            (1) The other elements of the intelligence community.
            (2) Such other departments and agencies of the United 
        States Government as the President may designate for purposes 
        of this section.
            (3) The entities of State and local governments identified 
        under subsection (e).
    (e) Dissemination to State and Local Government Agencies.--(1) The 
Secretary of Homeland Security, in consultation with the Director of 
Homeland Intelligence, shall identify the entities of State and local 
governments to which intelligence reports shall be disseminated under 
this section.
    (2) The entities of State and local governments identified under 
paragraph (1) shall be limited to entities that perform functions with 
respect to health and safety, including law enforcement, health, 
rescue, fire, and other first responder agencies and the liaison 
offices of such agencies.
    (3) In identifying entities under paragraph (1), the Secretary 
shall ensure each of the following:
            (A) Adequate representation among entities identified of 
        law enforcement, health, rescue, fire and other first responder 
        agencies.
            (B) Adequate representation among entities identified of 
        entities located in the major population center or centers of 
        each State.
            (C) Adequate representation among entities identified of 
        entities in each of the major geographic region of each State.
    (4)(A) An official of an entity identified under paragraph (1) may 
not have access to intelligence reports disseminated under this section 
unless such official possesses a security clearance appropriate for the 
intelligence, counterintelligence, or analysis in such intelligence 
reports.
    (B) Each official having access to intelligence reports 
disseminated under this section shall receive appropriate training in 
the proper receipt and handling of classified information of the 
Federal Government.
    (f) Definition.--In this section, the term ``elements of the 
intelligence community'' means the elements of the intelligence 
community specified in section 3(4) of the National Security Act of 
1947 (50 U.S.C. 401a(4)), as amended by this Act.

SEC. 123. GUIDELINES ON COLLECTION OF FOREIGN INTELLIGENCE AND 
              COUNTERINTELLIGENCE INSIDE THE UNITED STATES.

    (a) Guidelines Required.--The Director of Central Intelligence 
shall establish guidelines on the collection by the Homeland 
Intelligence Agency of foreign intelligence and counterintelligence 
inside the United States, including with respect to United States 
persons. The guidelines shall be established in accordance with this 
section.
    (b) Elements.--The guidelines under subsection (a) shall--
            (1) implement Executive Order 12333, or any successor 
        order, regarding the conduct of foreign intelligence and 
        counterintelligence activities, as such Executive Order is 
        modified in accordance with this Act;
            (2) consolidate together, and modify in accordance with 
        this Act, appropriate portions of current guidelines, 
        directives, rules, regulations, or other instructions on the 
        conduct of foreign intelligence or counterintelligence 
        collection activities inside the United States (including with 
        respect to United States persons) that are applicable to the 
        Federal Bureau of Investigation, the Central Intelligence 
        Agency, the National Security Agency, and other elements of the 
        intelligence community;
            (3) provide appropriate protections for privacy and civil 
        liberties, consistent with the Constitution and laws of the 
        United States;
            (4) ensure that information about United States persons, 
        regardless of the means of its acquisition, is properly stored, 
        accessed, disseminated, and retained;
            (5) ensure that the accessing and dissemination of 
        information about United States persons is subject to an 
        electronic auditing process by which abuse of such information 
        can be identified and tracked;
            (6) ensure that the practices and procedures of the Agency 
        to access or acquire personal identifying information through 
        the Internet, from third party holders of such information, or 
        otherwise, provide appropriate protections for the privacy and 
        civil liberties of United States persons; and
            (7) ensure that any information acquired though the 
        practices and procedures referred to in paragraph (6) is 
        retained, stored, and made available to other elements of the 
        United States Government using practices and procedures that 
        provide appropriate protections for the privacy and civil 
        liberties of United States persons.
    (c) Construction With Inapplicable Portions of Current 
Guidelines.--The consolidation and modification of guidelines, 
directives, rules, regulations, and other instructions required by 
subsection (b)(2) shall not be construed to alter the force and effect 
of the portions of such guidelines, directives, rules, regulations, or 
instructions that do not relate to the matters described in that 
subsection.
    (d) Preparation.--(1) The Director of Homeland Intelligence shall 
prepare the initial draft of the guidelines under subsection (a) 
through the Director of the Office of Privacy and Civil Liberties 
Protection, and shall submit such draft guidelines to the Director of 
Central Intelligence.
    (2) The Director of Homeland Intelligence shall ensure that the 
advisory board established under section 115(h) has an opportunity to 
comment on the draft guidelines under paragraph (1) before the 
submittal of such draft guidelines to the Director of Central 
Intelligence under that paragraph.
    (3) The Director of Central Intelligence shall submit the draft 
guidelines under paragraph (1) to the Attorney General for review and 
approval in accordance with this Act.
    (4) Upon the completion of the review and approval of the draft 
guidelines under this subsection, the Director of Central Intelligence 
shall submit such guidelines, including any modification of such 
guidelines as a result of such review, to the appropriate committees of 
Congress.
    (5) The guidelines shall take effect 30 days after the date of 
their submittal to the appropriate committees of Congress under 
paragraph (4).
    (e) Publication.--The Director of Homeland Intelligence shall 
ensure, to the maximum extent practicable consistent with the 
protection of intelligence sources and methods and the protection of 
the national security of the United States, that the guidelines 
established under this section, and any modifications thereof, are made 
available to the public.

SEC. 124. COORDINATION WITH CENTRAL INTELLIGENCE AGENCY OVERSEAS.

    (a) In General.--The Director of Homeland Intelligence shall, in 
consultation with the Director of Central Intelligence, assign 
personnel of the Homeland Intelligence Agency to operate overseas under 
the direct authority and control of the Central Intelligence Agency.
    (b) Purpose of Assignment.--The primary purpose of the assignment 
of personnel of the Homeland Intelligence Agency overseas under 
subsection (a) shall be the prompt and efficient coordination of 
operations, and exchange of information, between the Homeland 
Intelligence Agency and the Central Intelligence Agency.
    (c) Authorization and Limitations by DCI.--The Director of Central 
Intelligence may authorize, and impose any limitations on, the 
operations overseas of personnel of the Homeland Intelligence Agency 
under subsection (a) that the Director considers appropriate.
    (d) Status of Participation.--(1) Personnel of the Homeland 
Intelligence Agency operating overseas under subsection (a) may 
participate in such operations either on detail to the Central 
Intelligence Agency or as liaisons to Central Intelligence Agency at 
the joint election of the Director of Homeland Intelligence and the 
Director of Central Intelligence.
    (2) Any detail under paragraph (1) may be with or without 
reimbursement at the joint election of the Director of Homeland 
Intelligence and the Director of Central Intelligence.
    (3) Notwithstanding any other provision of law, the detail of 
personnel under paragraph (2), whether on a reimbursable or 
nonreimbursable basis, may be for any period of time considered 
appropriate by the Director of Central Intelligence.

SEC. 125. TREATMENT 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 Homeland Intelligence Agency; and''.

SEC. 126. INCLUSION WITHIN NATIONAL FOREIGN INTELLIGENCE PROGRAM.

    The programs, projects, and activities of the Homeland Intelligence 
Agency shall be treated as programs, projects, and activities of the 
National Foreign Intelligence Program (as that term is defined in 
section 3(6) of the National Security Act of 1947 (50 U.S.C. 401a(6)).

SEC. 127. FOREIGN INTELLIGENCE SURVEILLANCE ACTIVITIES.

    (a) Discharge of FBI Functions Under FISA by HIA.--(1) The Foreign 
Intelligence Surveillance Act of 1978 (50 U.S.C. 1801 et seq.) is 
amended by striking ``Federal Bureau of Investigation'' each place it 
appears in the following provisions and inserting ``Homeland 
Intelligence Agency'':
            (A) Section 104(e)(1)(A) (50 U.S.C. 1804(e)(1)(A)).
            (B) Section 303(d)(1)(A) (50 U.S.C. 1823(d)(1)(A)).
            (C) Section 501(d) (50 U.S.C. 1861(d)).
    (2) Section 402(a)(1) of that Act (50 U.S.C. 1842(a)(1)) is amended 
by striking ``which is being conducted'' and all that follows through 
``or a successor order''.
    (3) Section 501(a)(1) of that Act (50 U.S.C. 1861(a)(1)) is amended 
by striking ``Director of the Federal Bureau of Investigation or a 
designee of the Director (whose rank shall be no lower than Assistant 
Special Agent in Charge)'' and inserting ``Director of Homeland 
Intelligence or a designee of the Director''.
    (b) Responsibility for Dissemination of Information.--Section 
103(c)(6) of the National Security Act of 1947 (50 U.S.C. 403-3(c)(6)) 
is amended by striking ``Attorney General'' and inserting ``Director of 
Homeland Intelligence''.

SEC. 128. ANNUAL REPORTS.

    (a) Reports Required.--The Director of Homeland Intelligence shall 
submit to the appropriate committees of Congress each year a report on 
the activities of the Agency during the preceding year.
    (b) Submittal Date.--(1) In the case of the congressional 
intelligence committees, the submittal date for a report under 
subsection (a) shall be the date provided in section 507 of the 
National Security Act of 1947, as added by section 811 of the 
Intelligence Authorization Act for Fiscal Year 2003 (Public Law 107-
306) and amended by section 153 of this Act.
    (2) In the case of the Committees on the Judiciary of the Senate 
and House of Representatives, the submittal date for a report under 
subsection (a) shall be February 1.
    (c) Elements.--Each report under subsection (a) shall include, for 
the year covered by such report, the following:
            (1) A description of the activities of the Homeland 
        Intelligence Agency, including a separate description of the 
        activities of--
                    (A) the Inspector General of the Homeland 
                Intelligence Agency;
                    (B) the Office of Privacy and Civil Liberties 
                Protection; and
                    (C) the Office of Federal, State, and Local Law 
                Enforcement Coordination.
            (2) A description of the participation of the Agency in 
        activities of the Terrorist Threat Integration Center.
            (3) A statement of the number of times that information on 
        possible violations of the law of the United States was 
        transmitted to the Attorney General under section 116, 
        including, to the extent consistent with the protection of 
        civil liberties and of intelligence and law enforcement sources 
        and methods, a description of the circumstances involved.
            (4) A description of the personnel training provided under 
        section 121.
            (5) A statement of the number of intelligence reports, and 
        finished intelligence products, produced by the Agency, and of 
        the number of such reports, and of such products, disseminated 
        by the Agency under section 122.
            (6) Any other information regarding the activities of the 
        Agency that the Director of Homeland Intelligence considers 
        appropriate.
    (d) Information on Transfer of Functions.--(1) Subject to paragraph 
(2), each report under subsection (a) shall also include a description 
of the progress made during the year covered by such report in 
transferring to the Homeland Intelligence Agency the functions to be 
transferred under subtitle C, including a description of the functions 
transferred during such year.
    (2) The requirement in paragraph (1) shall cease after the date of 
the submittal of the report submitted in the year following the year of 
the completion of the transfer of functions to the Agency under 
subtitle C, as determined by the President.
    (e) Form of Report.--Each report under subsection (a) shall be 
submitted in unclassified form, but may include a classified annex.

                   Subtitle C--Transfer of Functions

SEC. 141. TRANSFER OF FUNCTIONS.

    (a) Transfer.--There is hereby transferred to the Homeland 
Intelligence Agency the functions with respect to the mission of the 
Homeland Intelligence Agency of the agencies as follows:
            (1) The Federal Bureau of Investigation.
            (2) The Central Intelligence Agency.
            (3) The National Security Agency.
            (4) The Office of the National Counterintelligence 
        Executive.
            (5) Any other department or agency of the United States 
        Government carrying out such function.
    (b) Identification of Functions To Be Transferred.--The President 
shall identify the functions of the agencies referred to in paragraphs 
(1) through (5) of subsection (a) that are to be transferred pursuant 
to that subsection.

SEC. 142. REORGANIZATION.

    The Director of Homeland Intelligence may allocate or reallocate 
any function transferred under section 141 among the officers of the 
Homeland Intelligence Agency, and establish, consolidate, alter, or 
discontinue such organizational entities in the Agency as may be 
necessary or appropriate.

SEC. 143. TRANSFER AND ALLOCATION OF APPROPRIATIONS AND PERSONNEL.

    Except as otherwise provided in this title, the personnel employed 
in connection with, and the assets, liabilities, contracts, property, 
records, and unexpended balances of appropriations, authorizations, 
allocations, and other funds employed, used, held, arising from, 
available to, or to be made available in connection with the functions 
transferred by section 141, subject to section 1531 of title 31, United 
States Code, shall be transferred to the Homeland Intelligence Agency.

SEC. 144. INCIDENTAL TRANSFERS.

    The Director of the Office of Management and Budget may make such 
additional incidental dispositions of personnel, assets, liabilities, 
grants, contracts, property, records, and unexpended balances of 
appropriations, authorizations, allocations, and other funds held, 
used, arising from, available to, or to be made available in connection 
with functions transferred under section 141 as may be necessary to 
carry out the provisions of this title.

SEC. 145. EFFECT ON PERSONNEL.

    Except as otherwise provided by this title, the transfer pursuant 
to section 141 of full-time personnel (except special Government 
employees) and part-time personnel holding permanent positions shall 
not cause any such employee to be separated or reduced in grade or 
compensation for one year after the date of transfer of such employee 
under section 141.

SEC. 146. SAVINGS PROVISIONS.

    (a) In General.--All orders, determinations, rules, regulations, 
permits, agreements, grants, contracts, certificates, licenses, 
registrations, privileges, and other administrative actions--
            (1) which have been issued, made, granted, or allowed to 
        become effective by the President, any Federal agency or 
        official thereof, or by a court of competent jurisdiction, in 
        the performance of functions which are transferred under 
        section 141, and
            (2) which are in effect on the date of the enactment of 
        this Act, or were final before that date and are to become 
        effective on or after that date,
shall continue in effect according to their terms until modified, 
terminated, superseded, set aside, or revoked in accordance with law by 
the President, the Secretary of Homeland Security, the Director of 
Homeland Intelligence or other authorized official, a court of 
competent jurisdiction, or by operation of law.
    (b) Pending Proceedings.--(1) The provisions of this section shall 
not affect any proceedings, including notices of proposed rulemaking, 
or any application for any license, permit, certificate, or financial 
assistance pending before an agency referred to in paragraph (1), (2), 
(3), (4), or (5) of section 141(a) on the date of the enactment of this 
Act, with respect to functions transferred by section 141, but such 
proceedings and applications shall continue.
    (2) Orders shall be issued in such proceedings, appeals shall be 
taken therefrom, and payments shall be made pursuant to such orders, as 
if this Act had not been enacted, and orders issued in any such 
proceedings shall continue in effect until modified, terminated, 
superseded, or revoked by the Director or other authorized official, by 
a court of competent jurisdiction, or by operation of law.
    (3) Nothing in this subsection shall be deemed to prohibit the 
discontinuance or modification of any such proceeding under the same 
terms and conditions and to the same extent that such proceeding could 
have been discontinued or modified if this Act had not been enacted.
    (c) Suits.--(1) The provisions of this subtitle shall not affect 
suits commenced before the date of the enactment of this Act, and in 
all such suits, proceedings shall be had, appeals taken, and judgments 
rendered in the same manner and with the same effect as if this Act had 
not been enacted.
    (2) No suit, action, or other proceeding commenced by or against an 
agency referred to in paragraph (1), (2), (3), (4), or (5) of section 
141(a), or by or against any individual in the official capacity of 
such individual as an officer of such agency, shall abate by reason of 
the enactment of this Act.
    (d) Administrative Actions.--Any administrative action relating to 
the preparation or promulgation of a regulation by an agency referred 
to in paragraph (1), (2), (3), (4), or (5) of section 141(a) relating 
to a function transferred under section 141 may be continued by the 
Homeland Intelligence Agency with the same effect as if this Act had 
not been enacted.

SEC. 147. TRANSITION.

    The Director of Homeland Intelligence may utilize--
            (1) the services of such officers, employees, and other 
        personnel of an agency referred to in paragraph (1), (2), (3), 
        (4), or (5) of section 141(a) with respect to functions 
        transferred to the Homeland Intelligence Agency by section 141; 
        and
            (2) funds appropriated to such functions for such period of 
        time as may reasonably be needed to facilitate the orderly 
        implementation of this Act.

SEC. 148. REFERENCES.

    Reference in any other Federal law, Executive order, rule, 
regulation, or delegation of authority, or any document of or relating 
to--
            (1) the head of an agency referred to in paragraph (1), 
        (2), (3), (4), or (5) of section 141(a) with regard to 
        functions transferred under section 141, shall be deemed to 
        refer to the Director of Homeland Intelligence; and
            (2) an agency referred to in such subparagraph with regard 
        to functions transferred under section 141, shall be deemed to 
        refer to the Homeland Intelligence Agency.

                   Subtitle D--Conforming Amendments

SEC. 151. EXECUTIVE SCHEDULE.

    (a) Executive Schedule Level III.--Section 5314 of title 5, United 
States Code, is amended by adding at the end the following:
            ``Director of Homeland Intelligence.''.
    (b) Executive Schedule Level IV.--Section 5315 of title 5, United 
States Code, is amended by adding at the end the following:
            ``Deputy Director of Homeland Intelligence.
            ``Inspector General of the Homeland Intelligence Agency.
            ``Director of the Office of Privacy and Civil Liberties 
        Protection of the Homeland Intelligence Agency.''.
    (c) Executive Schedule Level V.--Section 5316 of title 5, United 
States Code, is amended by adding at the end the following:
            ``General Counsel of the Homeland Intelligence Agency.''.

SEC. 152. DEPARTMENT OF HOMELAND SECURITY ACT.

    Section 103 of the Department of Homeland Security Act (Public Law 
107-296) is amended--
            (1) by redesignating subsections (d) and (e) as subsections 
        (e) and (f), respectively; and
            (2) by inserting after subsection (c) the following new 
        subsection (d):
    ``(d) Homeland Intelligence Agency Officers.--There are the 
following officers of the Homeland Intelligence Agency, within the 
Department, appointed as provided in the Homeland Intelligence Agency 
Act of 2003:
            ``(1) A Director of Homeland Intelligence.
            ``(2) A Deputy Director of Homeland Intelligence.
            ``(3) An Inspector General of the Homeland Intelligence 
        Agency.
            ``(4) A Director of the Office of Privacy and Civil 
        Liberties Protection of the Homeland Intelligence Agency.
            ``(5) A General Counsel of the Homeland Intelligence 
        Agency.''.

SEC. 153. NATIONAL SECURITY ACT OF 1947.

    Section 507 of the National Security Act of 1947, as added by 
section 811 of the Intelligence Authorization Act for Fiscal Year 2003 
(Public Law 107-306), is further amended--
            (1) in subsection (a)(1), by adding at the end the 
        following new subparagraph:
            ``(O) The annual report on the activities of the Homeland 
        Intelligence Act required by section 128 of the Homeland 
        Intelligence Agency Act of 2003.''; and
            (2) in subsection (b), by adding at the end the following 
        new paragraph:
            ``(9) The semiannual reports on the Inspector General of 
        the Homeland Intelligence Agency required by section 114(d)(1) 
        of the Homeland Intelligence Agency Act of 2003.''.

               TITLE II--FEDERAL BUREAU OF INVESTIGATION

SEC. 201. TERMINATION OF FUNCTIONS AND RESPONSIBILITIES OF FEDERAL 
              BUREAU OF INVESTIGATION AS ELEMENT OF THE INTELLIGENCE 
              COMMUNITY.

    (a) In General.--(1) Title I of the National Security Act of 1947 
(50 U.S.C. 402 et seq.) is amended by adding at the end the following 
new section:

  ``intelligence functions and responsibilities of federal bureau of 
                             investigation

    ``Sec. 119. (a) Exclusion From Intelligence Community.--The Federal 
Bureau of Investigation shall not be an element of the intelligence 
community.
    ``(b) Exclusion From National Foreign Intelligence Program.--No 
program, project, or activity of the Federal Bureau of Investigation 
may be treated as a program, project, or activity of the National 
Foreign Intelligence Program.
    ``(c) Prohibition on Discharge of Intelligence-Related Functions.--
(1) Except as otherwise provided by law, the Federal Bureau of 
Investigation may not discharge or carry out functions as follows:
            ``(A) Functions relating to foreign intelligence.
            ``(B) Functions relating to counterintelligence.
            ``(C) Internal security functions.
    ``(2) The prohibition in paragraph (1) may not be construed--
            ``(A) to prohibit the Federal Bureau of Investigation from 
        collecting domestic intelligence in support of its law 
        enforcement mission;
            ``(B) to prohibit the Federal Bureau of Investigation from 
        conducting law enforcement investigations related to any 
        matter, including any counterintelligence matter, that may 
        violate the laws of the United States; or
            ``(C) to prohibit the Federal Bureau of Investigation from 
        coordinating, or working jointly, with the Homeland 
        Intelligence Agency of the Department of Homeland Security on 
        domestic intelligence or law enforcement matters relating to 
        the activities of the Agency.
    ``(d) Domestic Intelligence Defined.--In this section, the term 
`domestic intelligence' means information relating to the capabilities, 
intentions, or activities of persons or entities inside the United 
States, but does not include information relating to the capabilities, 
intentions, or activities of foreign governments or elements thereof, 
foreign organizations, or foreign persons, or international terrorist 
organizations.''.
    (2) The table of contents for that Act is amended by adding at the 
end of the matter relating to title I the following new item:

``119. Intelligence functions and responsibilities of Federal Bureau of 
                            Investigation.''.
    (b) Abolishment of Position of Assistant Director, National 
Security Division, Federal Bureau of Investigation.--The position of 
Assistant Director, National Security Division of the Federal Bureau of 
Investigation (also known as the Executive Assistant Director for 
Counterterrorism and Counterintelligence) is hereby abolished.
    (c) Construction.--Nothing in this Act may be construed as 
affecting the powers or responsibilities of the Federal Bureau of 
Investigation regarding--
            (1) law enforcement; or
            (2) the collection of intelligence on internal domestic 
        threats to the United States that do not relate to foreign 
        powers or agents of foreign powers.
    (d) Conforming Amendments.--(1) Section 3(4)(H) of the National 
Security Act of 1947 (50 U.S.C. 401a(4)(H)) is amended by striking 
``the Federal Bureau of Investigation,''.
    (2) Paragraph (5) of section 3 of that Act is amended to read as 
follows:
            ``(5) The terms `national intelligence' and `intelligence 
        related to the national security' each refer to intelligence 
        which pertains to the interests of more than one department or 
        agency of the Government.''.
    (3) Section 104(d)(2) of that Act (50 U.S.C. 403-4(d)(2)) is 
amended--
            (A) in subparagraph (A)--
                    (i) in clause (iii), by adding ``and'' at the end;
                    (ii) by striking clause (iv); and
                    (iii) by redesignating clause (v) as clause (iv); 
                and
            (B) in subparagraph (B), by striking ``subparagraph 
        (A)(v)'' both places it appears and inserting ``subparagraph 
        (A)(iv)''.
    (4) Section 106(b) of that Act (50 U.S.C. 403-6(b)) is amended by 
striking paragraph (3).
    (5) Section 606 (50 U.S.C. 426) of that Act is amended--
            (A) in paragraph (4), by striking subparagraph (B) and 
        inserting the following new subparagraph (B):
                    ``(B) a United States citizen--
                            ``(i) whose intelligence relationship to 
                        the United States is classified information; 
                        and
                            ``(ii) who--
                                    ``(I) resides and acts outside the 
                                United States as an agent of, or 
                                informant or source of operational 
                                assistance to, an intelligence agency; 
                                or
                                    ``(II) is at the time of disclosure 
                                acting as an agent of, or informant to, 
                                the Homeland Intelligence Agency; or''; 
                                and
            (B) in paragraph (5), by striking ``Federal Bureau of 
        Investigation'' and inserting ``Homeland Intelligence Agency''.

SEC. 202. OFFICE OF FOREIGN INTELLIGENCE COORDINATION.

    (a) Establishment.--(1) There is established in the Federal Bureau 
of Investigation the Office of Foreign Intelligence Coordination.
    (b) Responsibility.--The Office of Foreign Intelligence 
Coordination shall ensure, in accordance with applicable statutes, 
regulations, and Executive orders, that any foreign intelligence or 
counterintelligence that is collected by the Federal Bureau of 
Investigation in the course of the performance of its law enforcement 
functions is promptly and efficiently transmitted to the Director of 
Central Intelligence, the Office of Federal, State, and Local Law 
Enforcement Coordination of the Homeland Intelligence Agency 
(established by section 116 of this Act), and any other element of the 
intelligence community, as required by section 105B of the National 
Security Act of 1947 (50 U.S.C. 403-5b).
    (c) Personnel.--The personnel of the Office of Foreign Intelligence 
Coordination shall consist of officers who have received training for 
the functions of the Office that is comparable to the training provided 
for reports officers of the Central Intelligence Agency by the 
Directorate of Operations of the Central Intelligence Agency.

SEC. 203. IMPROVEMENT OF COORDINATION OF COUNTERINTELLIGENCE 
              ACTIVITIES.

    (a) In General.--Subsection (c) of section 811 of the 
Counterintelligence and Security Enhancements Act of 1994 (title VIII 
of Public Law 103-359; 50 U.S.C. 402a) is amended--
            (1) in paragraph (1)(A)--
                    (A) by striking ``in an unauthorized manner''; and
                    (B) by inserting ``in a manner that may violate the 
                laws of the United States'' before the semicolon;
            (2) in paragraph (2), by striking ``espionage 
        investigations'' and inserting ``espionage criminal 
        investigations'';
            (3) in paragraph (3)(A), by striking ``counterintelligence 
        investigation'' and inserting ``counterintelligence criminal 
        investigation''; and
            (4) in paragraph (4)(A), by striking ``espionage 
        investigation'' and inserting ``espionage criminal 
        investigation''.
    (b) Conforming Amendment.--The heading of the that subsection is 
amended by inserting ``Relating to Law Enforcement'' after 
``Counterintelligence Matters''.

                    TITLE III--SURVEILLANCE MATTERS

         Subtitle A--Foreign Intelligence Surveillance Reports

SEC. 301. SHORT TITLE.

    This subtitle may be cited as the ``Foreign Intelligence 
Surveillance Public Reporting Act''.

SEC. 302. ADDITIONAL MATTERS IN ANNUAL REPORTS ON SURVEILLANCE UNDER 
              FOREIGN INTELLIGENCE SURVEILLANCE ACT OF 1978.

    (a) Restatement of Current Matters With Additional Matters.--
Section 107 of the Foreign Intelligence Surveillance Act of 1978 (50 
U.S.C. 1807) is amended by striking paragraphs (a) and (b) and 
inserting the following new paragraphs:
            ``(1) in the case of electronic surveillance under this 
        title--
                    ``(A) the total number of applications made for 
                orders and extensions of orders approving electronic 
                surveillance, including the total number of United 
                States persons targeted; and
                    ``(B) the total number of applications and 
                extensions approved, modified, or denied, including for 
                applications approved or modified the total number of 
                United States persons targeted;
            ``(2) in the case of physical searches under title III--
                    ``(A) the total number of applications made for 
                orders approving physical searches, including the total 
                number of United States persons targeted;
                    ``(B) the total number of applications approved, 
                modified, or denied, including for orders approved or 
                modified the total number of United States persons 
                targeted; and
                    ``(C) the total number of occasions, if any, on 
                which the Attorney General provided notice pursuant to 
                section 305(b);
            ``(3) in the case of the undisclosed participation of 
        officials of the Homeland Intelligence Agency, or agents acting 
        on behalf of the Agency, in the activities of religious or 
        political groups or organizations under title VI--
                    ``(A) the total number of applications made for 
                orders approving such participation; and
                    ``(B) the total number of applications approved, 
                modified, or denied to engage in such participation; 
                and
            ``(4) within the discretion of the Attorney General or the 
        Director of Homeland Intelligence and in a manner consistent 
        with the protection of the national security of the United 
        States, significant interpretations of this Act which affect 
        and inform practice under this Act, including, as appropriate, 
        redacted portions of opinions and orders of the court under 
        section 103.''.
    (b) Construction With Other Semiannual Reports on Surveillance and 
Searches.--(1) Section 108 of that Act (50 U.S.C. 1808) is amended by 
striking subsection (b) and inserting the following new subsection (b):
    ``(b) The semiannual reports on electronic surveillance under the 
first sentence of paragraph (1) of subsection (a) are in addition to 
the annual reports on physical searches required under section 
107(1).''.
    (2) Section 306 of that Act (50 U.S.C. 1826) is amended--
            (A) by inserting ``(a)'' before ``On a semiannual''; and
            (B) by adding at the end the following new subsection:
    ``(b) The semiannual reports on physical searches under paragraph 
(1) of the second sentence of subsection (a) are in addition to the 
annual reports on physical searches required under section 107(2).''.
    (c) Requirements for First Report Under Modified Authority.--In the 
first report submitted under paragraph (4) of section 107 of the 
Foreign Intelligence Surveillance Act of 1978, as added by subsection 
(a), after the date of the enactment of this Act, the Attorney General 
shall include the matters specified in that paragraph, as so added, for 
all significant interpretations of the Foreign Intelligence Act of 1978 
before the date of the enactment of this Act.
    (d) Technical Amendments.--Section 502 of that Act is amended by 
striking ``section 402'' each place it appears and inserting ``section 
501''.
    (e) Conforming and Clerical Amendments.--(1) The heading for 
section 107 of that Act is amended to read as follows:

                          ``annual reports''.

    (2) The table of sections for that Act is amended by striking the 
item relating to section 107 and inserting the following new item:

``Sec. 107. Annual reports.''.

Subtitle B--Participation in Religious and Political Groups for Foreign 
           Intelligence and International Terrorism Purposes

SEC. 311. PARTICIPATION IN RELIGIOUS AND POLITICAL GROUPS FOR FOREIGN 
              INTELLIGENCE AND INTERNATIONAL TERRORISM PURPOSES.

    (a) In General.--Title VI of the Foreign Intelligence Surveillance 
Act of 1978 is amended to read as follows:

``TITLE VI--PARTICIPATION IN RELIGIOUS AND POLITICAL GROUPS FOR FOREIGN 
           INTELLIGENCE AND INTERNATIONAL TERRORISM PURPOSES

                             ``definitions

    ``Sec. 601. In this chapter:
            ``(1) The terms `foreign power', `agent of a foreign 
        power', `international terrorism', `foreign intelligence 
        information', `Attorney General', `United States person', and 
        `United States' have the meaning given such terms in section 
        101.
            ``(2)(A) The term `undisclosed participation', with respect 
        to a group or organization, means joining or otherwise 
        participating in the activities of the group or organization, 
        without disclosing Federal Government affiliation to 
        appropriate officials of the group or organization who have 
        authority to authorize such participation, for the purpose of 
        acquiring foreign intelligence information about the activities 
        of the group or organization, or a person or persons associated 
        with the group or organization.
            ``(B) The term does not include participation in activities 
        that are open to the public and for which participants do not 
        disclose their affiliations.
            ``(3) The term `Foreign Intelligence Surveillance Court' 
        means the court established by section 103(a).

   ``undisclosed participation in religious or political groups for 
       foreign intelligence and international terrorism purposes

    ``Sec. 602. (a) Notwithstanding any other provision of law, the 
Attorney General or a designated attorney for the Government may make 
an application for an order or an extension of an order authorizing or 
approving the undisclosed participation of an official of the Homeland 
Intelligence Agency, or an agent acting on behalf of the Agency, acting 
in accordance with guidelines established pursuant to section 123 of 
Homeland Intelligence Agency Act of 2003, in the activities of a 
religious or political group or organization as part of an 
investigation to obtain foreign intelligence information or information 
concerning international terrorism.
    ``(b) Undisclosed participation in the activities of a religious or 
political group or organization by an official of the Federal 
Government, or an agent acting on behalf of the Federal Government, is 
prohibited except in accordance with this title.
    ``(c) Each application under this section shall be in writing under 
oath or affirmation to--
            ``(1) a judge of the Foreign Intelligence Surveillance 
        Court; or
            ``(2) a United States Magistrate Judge under chapter 43 of 
        title 28, United States Code, who is publicly designated by the 
        Chief Justice of the United States to have the power to hear 
        applications for and grant orders approving undisclosed 
        participation in the activities of a religious or political 
        group or organization pursuant to subsection (a) on behalf of a 
        judge of the Foreign Intelligence Surveillance Court.
    ``(d) Each application under this section shall require the 
approval of the Attorney General or a designated attorney for the 
Government, and shall include--
            ``(1) the identity of the Federal officer seeking to engage 
        in the undisclosed participation in the activities of a 
        religious or political group or organization covered by the 
        application;
            ``(2) a certification by the applicant that the information 
        likely to be obtained is relevant to an ongoing foreign 
        intelligence or international terrorism investigation being 
        conducted by the Homeland Intelligence Agency; and
            ``(3) specific facts creating a reasonable suspicion that 
        the target of the investigation to which such application 
        relates is--
                    ``(A) an individual who is engaging or has engaged 
                in international terrorism or clandestine intelligence 
                activities that involve or may involve a violation of 
                the criminal laws of the United States; or
                    ``(B) a foreign power or agent of a foreign power 
                under circumstances giving reason to believe that the 
                activities concern international terrorism or 
                clandestine intelligence activities that involve or may 
                involve a violation of the criminal laws of the United 
                States.
    ``(e)(1)(A) Upon written request of the Director of Homeland 
Intelligence, the Secretary of Defense, the Secretary of State, or the 
Director of Central Intelligence, the Attorney General shall personally 
review under subsection (d) an application under that subsection for a 
target described in section 101(b)(2).
    ``(B) Except when disabled or otherwise unavailable to make a 
request referred to in subparagraph (A), an official referred to in 
that subparagraph may not delegate the authority to make a request 
referred to in that subparagraph.
    ``(C) Each official referred to in subparagraph (A) with authority 
to make a request under that subparagraph shall take appropriate 
actions in advance to ensure that delegation of such authority is 
clearly established in the event such official is disabled or otherwise 
unavailable to make such request.
    ``(2)(A) If as a result of a request under paragraph (1) the 
Attorney General determines not to approve an application under 
subsection (d) for purposes of making the application under this 
section, the Attorney General shall provide written notice of the 
determination to the official making the request for the review of the 
application under that paragraph. Except when disabled or otherwise 
unavailable to make a determination under the preceding sentence, the 
Attorney General may not delegate the responsibility to make a 
determination under that sentence. The Attorney General shall take 
appropriate actions in advance to ensure that delegation of such 
responsibility is clearly established in the event the Attorney General 
is disabled or otherwise unavailable to make such determination.
    ``(B) Notice with respect to an application under subparagraph (A) 
shall set forth the modifications, if any, of the application that are 
necessary in order for the Attorney General to approve the application 
under subsection (d) for purposes of making the application under this 
section.
    ``(C) Upon review of any modifications of an application set forth 
under subparagraph (B), the official notified of the modifications 
under this paragraph shall modify the application if such official 
determines that such modification is warranted. Such official shall 
supervise the making of any modification under this subparagraph. 
Except when disabled or otherwise unavailable to supervise the making 
of any modification under the preceding sentence, such official may not 
delegate the responsibility to supervise the making of any modification 
under that preceding sentence. Each such official shall take 
appropriate actions in advance to ensure that delegation of such 
responsibility is clearly established in the event such official is 
disabled or otherwise unavailable to supervise the making of such 
modification.
    ``(f)(1) Upon an application made pursuant to this section, the 
judge shall enter an ex parte order as requested, or as modified, 
approving the undisclosed participation of an official of the Homeland 
Intelligence Agency, or an agent acting on behalf of the Agency, in the 
activities of a religious or political group or organization if the 
judge finds that the application satisfies the requirements of this 
section.
    ``(2) An order issued under this section shall specify--
            ``(A) the identity, if known, of the person who is the 
        subject of the investigation to which such application relates; 
        and
            ``(B) a description of the location of the establishment 
        within which the religious or political group or organization 
        conducts its activities.
    ``(g)(1) An order issued under this section shall authorize the 
undisclosed participation of an official of the Homeland Intelligence 
Agency, or an agent acting on behalf of the Agency, in the activities 
of a religious or political group or organization for a period not to 
exceed 90 days.
    ``(2) Extensions of an order issued under this section may be 
granted, but only upon an application for an order under this section 
and upon a judicial finding that the extension of the order meets the 
requirements of this section.
    ``(3) The period of the extension of an order under this subsection 
shall not exceed 90 days.

                   ``authorization during emergencies

    ``Sec. 603. (a) Notwithstanding any other provision of this title, 
when the Attorney General makes a determination described in subsection 
(b), the Attorney General may authorize the undisclosed participation 
of an official of the Homeland Intelligence Agency in the activities of 
a religious or political group or organization on an emergency basis to 
gather foreign intelligence information or information concerning 
international terrorism if--
            ``(1) a judge referred to in section 602(c) is informed by 
        the Attorney General or the designee of the Attorney General at 
        the time of such authorization that the decision has been made 
        to authorize the undisclosed participation of the official in 
        the activities of the religious or political group or 
        organization on an emergency basis; and
            ``(2) an application in accordance with section 602 is made 
        to such judge as soon as practicable, but not more than 72 
        hours, after the Attorney General authorizes the undisclosed 
        participation of the official in the activities of the 
        religious or political group or organization under this 
        section.
    ``(b) A determination under this subsection is a reasonable 
determination by the Attorney General that--
            ``(1) an emergency requires the undisclosed participation 
        of an official of the Homeland Intelligence Agency, or an agent 
        acting on behalf of the Agency, in the activities of a 
        religious or political group or organization to obtain foreign 
        intelligence information or information concerning 
        international terrorism before an order authorizing the 
        undisclosed participation of the official in the activities of 
        the religious or political group or organization can with due 
        diligence be obtained under section 602; and
            ``(2) the factual basis for issuance of an order under 
        section 602 to approve the undisclosed participation of the 
        official in the activities of the religious or political group 
        or organization exists.
    ``(c)(1) In the absence of an order applied for under subsection 
(a)(2) approving the undisclosed participation of an official of the 
Homeland Intelligence Agency, or an agent acting on behalf of the 
Agency, in the activities of a religious or political group or 
organization under this section, the undisclosed participation of the 
official in the activities of the religious or political group or 
organization shall terminate at the earlier of--
            ``(A) when the information sought is obtained;
            ``(B) when the application for the order is denied under 
        section 602; or
            ``(C) 72 hours after the time of the authorization by the 
        Attorney General.
    ``(2) In the event that an application for an order applied for 
under subsection (a)(2) is denied, or in any other case where the 
undisclosed participation of an official of the Agency in the 
activities of a religious or political group or organization under this 
section is terminated and no order under section 602 is issued 
approving the undisclosed participation of the official in the 
activities of the religious or political group or organization, no 
information obtained or evidence derived from the undisclosed 
participation of the official in the activities of the religious or 
political group or organization shall be received in evidence or 
otherwise disclosed in any trial, hearing, or other proceeding in or 
before any court, grand jury, department, office, agency, regulatory 
body, legislative committee, or other authority of the United States, a 
State, or political subdivision thereof, and no information concerning 
any United States person acquired from the undisclosed participation of 
the official in the activities of the religious or political group or 
organization shall subsequently be used or disclosed in any other 
manner by Federal officers or employees without the consent of such 
person, except with the approval of the Attorney General if the 
information indicates a threat of death or serious bodily harm to any 
person.

                   ``authorization during time of war

    ``Sec. 604. Notwithstanding any other provision of law, the 
President, through the Attorney General, may authorize the undisclosed 
participation of an official of the Homeland Intelligence Agency, or an 
agent acting on behalf of the Agency, in the activities of a religious 
or political group or organization without a court order under this 
title to acquire foreign intelligence information for a period not to 
exceed 15 calendar days following a declaration of war by Congress.

                          ``use of information

    ``Sec. 605. (a)(1) Information acquired from the undisclosed 
participation of an official of the Homeland Intelligence Agency, or an 
agent acting on behalf of the Agency, in the activities of a religious 
or political group or organization pursuant to this title concerning 
any United States person may be used and disclosed by Federal officers 
and employees without the consent of the United States person only in 
accordance with the provisions of this section.
    ``(2) No information acquired from the undisclosed participation of 
an official of the Agency in the activities of a religious or political 
group or organization pursuant to this title may be used or disclosed 
by Federal officers or employees except for lawful purposes.
    ``(b) No information acquired pursuant to this title shall be 
disclosed for law enforcement purposes unless such disclosure is 
accompanied by a statement that such information, or any information 
derived therefrom, may only be used in a criminal proceeding with the 
advance authorization of the Attorney General.
    ``(c) Whenever the United States intends to enter into evidence or 
otherwise use or disclose in any trial, hearing,  or other proceeding 
in or before any court, department, officer, agency, regulatory body, 
or other authority of the United States against an aggrieved person any 
information obtained or derived from the undisclosed participation of 
an official of the Homeland Intelligence Agency, or an agent acting on 
behalf of the Agency, in the activities of a religious or political 
group or organization pursuant to this title, the United States shall, 
before the trial, hearing, or the other proceeding or at a reasonable 
time before an effort to so disclose or so use that information or 
submit it in evidence, notify the aggrieved person and the court or 
other authority in which the information is to be disclosed or used 
that the United States intends to so disclose or so use such 
information.
    ``(d) Whenever any State or political subdivision thereof intends 
to enter into evidence or otherwise use or disclose in any trial, 
hearing, or other proceeding in or before any court, department, 
officer, agency, regulatory body, or other authority of the State or 
political subdivision thereof against an aggrieved person any 
information obtained or derived from the undisclosed participation of 
an official of the Homeland Intelligence Agency, or an agent acting on 
behalf of the Agency, in the activities of a religious or political 
group or organization pursuant to this title, the State or political 
subdivision thereof shall notify the aggrieved person, the court or 
other authority in which the information is to be disclosed or used, 
and the Attorney General that the State or political subdivision 
thereof intends to so disclose or so use such information.
    ``(e)(1) Any aggrieved person against whom evidence obtained or 
derived from the undisclosed participation of an official of the 
Homeland Intelligence Agency, or an agent acting on behalf of the 
Agency, in the activities of a religious or political group or 
organization pursuant to this title is to be, or has been, introduced 
or otherwise used or disclosed in any trial, hearing, or other 
proceeding in or before any court, department, officer, agency, 
regulatory body, or other authority of the United States, or a State or 
political subdivision thereof, may move to suppress the evidence 
obtained or derived from the undisclosed participation of the official 
in the activities of the religious or political group or organization 
on the grounds that--
            ``(A) the information was unlawfully acquired; or
            ``(B) the undisclosed participation of the official in the 
        activities of the religious or political group or organization 
        was not carried out in conformity with an order of 
        authorization or approval under this title.
    ``(2) A motion under paragraph (1) shall be made before the trial, 
hearing, or other proceeding unless there was no opportunity to make 
such a motion or the aggrieved person concerned was not aware of the 
grounds of the motion.
    ``(f)(1) Whenever a court or other authority is notified pursuant 
to subsection (c) or (d), whenever a motion is made pursuant to 
subsection (e), or whenever any motion or request is made by an 
aggrieved person pursuant to any other statute or rule of the United 
States or any State before any court or other authority of the United 
States or any State to discover or obtain applications or orders or 
other materials relating to the undisclosed participation of an 
official of the Homeland Intelligence Agency, or an agent acting on 
behalf of the Agency, in the activities of a religious or political 
group or organization pursuant to this title or to discover, obtain, or 
suppress evidence or information obtained or derived from the 
undisclosed participation of the official in the activities of the 
religious or political group or organization pursuant to this title, 
the United States district court or, where the motion is made before 
another authority, the United States district court in the same 
district as the authority shall, notwithstanding any other provision of 
law and if the Attorney General files an affidavit under oath that 
disclosure or any adversary hearing would harm the national security of 
the United States, review in camera and ex parte the application, 
order, and such other materials relating to the undisclosed 
participation of such official in the activities of such religious or 
political group or organization as may be necessary to determine 
whether the undisclosed participation of such official in the 
activities of such religious or political group or organization was 
lawfully authorized and conducted.
    ``(2) In making a determination under paragraph (1), the court may 
disclose to the aggrieved person, under appropriate security procedures 
and protective orders, portions of the application, order, or other 
materials relating to the undisclosed participation of an official of 
the Agency in the activities of a religious or political group or 
organization or may require the Attorney General to provide to the 
aggrieved person a summary of such materials, only where such 
disclosure is necessary to make an accurate determination of the 
legality of the undisclosed participation of the official in the 
activities of the religious or political group or organization.
    ``(g)(1) If the United States district court determines pursuant to 
subsection (f) that the undisclosed participation of an official of the 
Homeland Intelligence Agency, or an agent acting on behalf of the 
Agency, in the activities of a religious or political group or 
organization was not lawfully authorized or carried out, the court may, 
in accordance with the requirements of law, suppress the evidence which 
was unlawfully obtained or derived from the undisclosed participation 
of the official in the activities of the religious or political group 
or organization or otherwise grant the motion of the aggrieved person.
    ``(2) If the court determines that the undisclosed participation of 
an official of the Agency, or an agent acting on behalf of the Agency, 
in the activities of a religious or political group or organization was 
lawfully authorized or carried out, it may deny the motion of the 
aggrieved person except to the extent that due process requires 
discovery or disclosure.
    ``(h) Orders granting motions or requests under subsection (g), 
decisions under this section that the undisclosed participation of an 
official of the Homeland Intelligence Agency, or an agent acting on 
behalf of the Agency, in the activities of a religious or political 
group or organization was not lawfully authorized or carried out, and 
orders of the United States district court requiring review or granting 
disclosure of applications, orders, or other materials relating to the 
undisclosed participation of the official in the activities of the 
religious or political group or organization shall be final orders and 
binding upon all courts of the United States and the several States 
except a United States Court of Appeals or the Supreme Court.

                       ``congressional oversight

    ``Sec. 606. (a) On a semiannual basis, the Attorney General shall 
fully inform the Permanent Select Committee on Intelligence of the 
House of Representatives and the Select Committee on Intelligence of 
the Senate concerning all undisclosed participations of officials of 
the Homeland Intelligence Agency, and agents acting on behalf of the 
Agency, in the activities of religious or political groups or 
organizations pursuant to this title.
    ``(b) On a semiannual basis, the Attorney General shall also 
provide to the committees referred to in subsection (a) and to the 
Committees on the Judiciary of the House of Representatives and the 
Senate a report setting forth with respect to the preceding 6-month 
period--
            ``(1) the total number of applications made for orders 
        approving the undisclosed participation of officials of the 
        Homeland Intelligence Agency, or agents acting on behalf of the 
        Agency, in the activities of religious or political groups or 
        organizations under this title; and
            ``(2) the total number of such orders either granted, 
        modified, or denied.
    ``(c) The semiannual reports under subsection (b) are in addition 
to the annual reports required under section 107(3).''.
    (b) Clerical Amendment.--The table of contents for that Act is 
amended by striking the items relating to title VI and inserting the 
following new items:

``TITLE VI--PARTICIPATION IN RELIGIOUS AND POLITICAL GROUPS FOR FOREIGN 
           INTELLIGENCE AND INTERNATIONAL TERRORISM PURPOSES

``601. Definitions.
``602. Undisclosed participation in religious or political groups for 
                            foreign intelligence and international 
                            terrorism purposes.
``603. Authorization during emergencies.
``604. Authorization during time of war.
``605. Use of information.
``606. Congressional oversight.''.

                       Subtitle C--Effective Date

SEC. 321. EFFECTIVE DATE.

    This title, and the amendments made by this title, shall take 
effect on the date of the enactment of this Act.

                        TITLE IV--EFFECTIVE DATE

SEC. 401. EFFECTIVE DATE.

    (a) In General.--Except as provided in subsection (b) and sections 
116(c) and 321, this Act, and the amendments made by this Act, shall 
take effect 180 days after the date of the enactment of this Act.
    (b) Transition.--The President shall ensure the transfer to the 
Homeland Intelligence Agency of the functions, personnel, and assets to 
be transferred to the Agency under subtitle C of title II not later 
than the effective date under subsection (a).
    (c) Continuity of Functions.--In transferring functions, personnel, 
and assets under subsection (b), the President shall ensure the 
continuity of the discharge of such functions so as to preserve the 
national security and law enforcement capabilities of the United States 
Government during such transfer.
                                 <all>