[Congressional Bills 110th Congress]
[From the U.S. Government Publishing Office]
[H.R. 2082 Enrolled Bill (ENR)]

        H.R.2082

                       One Hundred Tenth Congress

                                 of the

                        United States of America


                          AT THE SECOND SESSION

          Begun and held at the City of Washington on Thursday,
            the third day of January, two thousand and eight


                                 An Act


 
 To authorize appropriations for fiscal year 2008 for intelligence and 
  intelligence-related activities of the United States Government, the 
   Community Management Account, and the Central Intelligence Agency 
        Retirement and Disability System, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,
SECTION 1. SHORT TITLE; TABLE OF CONTENTS.
    (a) Short Title.--This Act may be cited as the ``Intelligence 
Authorization Act for Fiscal Year 2008''.
    (b) Table of Contents.--The table of contents for this Act is as 
follows:

Sec. 1. Short title; table of contents.
Sec. 2. Definitions.

              TITLE I--BUDGET AND PERSONNEL AUTHORIZATIONS

Sec. 101. Authorization of appropriations.
Sec. 102. Classified Schedule of Authorizations.
Sec. 103. Personnel ceiling adjustments.
Sec. 104. Intelligence Community Management Account.
Sec. 105. Specific authorization of funds within the National 
          Intelligence Program for which fiscal year 2008 appropriations 
          exceed amounts authorized.

 TITLE II--CENTRAL INTELLIGENCE AGENCY RETIREMENT AND DISABILITY SYSTEM

Sec. 201. Authorization of appropriations.
Sec. 202. Technical modification to mandatory retirement provision of 
          the Central Intelligence Agency Retirement Act.

            TITLE III--GENERAL INTELLIGENCE COMMUNITY MATTERS

                      Subtitle A--Personnel Matters

Sec. 301. Increase in employee compensation and benefits authorized by 
          law.
Sec. 302. Enhanced flexibility in nonreimbursable details to elements of 
          the intelligence community.
Sec. 303. Multi-level security clearances.
Sec. 304. Pay authority for critical positions.
Sec. 305. Delegation of authority for travel on common carriers for 
          intelligence collection personnel.
Sec. 306. Annual personnel level assessments for the intelligence 
          community.
Sec. 307. Comprehensive report on intelligence community contractors.
Sec. 308. Report on proposed pay for performance intelligence community 
          personnel management system.
Sec. 309. Report on plans to increase diversity within the intelligence 
          community.

                     Subtitle B--Acquisition Matters

Sec. 311. Vulnerability assessments of major systems.
Sec. 312. Business enterprise architecture and business system 
          modernization for the intelligence community.
Sec. 313. Reports on the acquisition of major systems.
Sec. 314. Excessive cost growth of major systems.

                        Subtitle C--Other Matters

Sec. 321. Restriction on conduct of intelligence activities.
Sec. 322. Clarification of definition of intelligence community under 
          the National Security Act of 1947.
Sec. 323. Modification of availability of funds for different 
          intelligence activities.
Sec. 324. Protection of certain national security information.
Sec. 325. Extension of authority to delete information about receipt and 
          disposition of foreign gifts and decorations.
Sec. 326. Report on compliance with the Detainee Treatment Act of 2005 
          and related provisions of the Military Commissions Act of 
          2006.
Sec. 327. Limitation on interrogation techniques.
Sec. 328. Limitation on use of funds.
Sec. 329. Incorporation of reporting requirements.
Sec. 330. Repeal of certain reporting requirements.

  TITLE IV--MATTERS RELATING TO ELEMENTS OF THE INTELLIGENCE COMMUNITY

       Subtitle A--Office of the Director of National Intelligence

Sec. 401. Clarification of limitation on colocation of the Office of the 
          Director of National Intelligence.
Sec. 402. Membership of the Director of National Intelligence on the 
          Transportation Security Oversight Board.
Sec. 403. Additional duties of the Director of Science and Technology.
Sec. 404. Leadership and location of certain offices and officials.
Sec. 405. Plan to implement recommendations of the data center energy 
          efficiency reports.
Sec. 406. Comprehensive listing of special access programs.
Sec. 407. Reports on the nuclear programs of Iran and North Korea.
Sec. 408. Requirements for accountability reviews by the Director of 
          National Intelligence.
Sec. 409. Modification of limitation on delegation by the Director of 
          National Intelligence of the protection of intelligence 
          sources and methods.
Sec. 410. Authorities for intelligence information sharing.
Sec. 411. Authorities of the Director of National Intelligence for 
          interagency funding.
Sec. 412. Title of Chief Information Officer of the Intelligence 
          Community.
Sec. 413. Inspector General of the Intelligence Community.
Sec. 414. Annual report on foreign language proficiency in the 
          intelligence community.
Sec. 415. Director of National Intelligence report on retirement 
          benefits for former employees of Air America.
Sec. 416. Space intelligence.
Sec. 417. Operational files in the Office of the Director of National 
          Intelligence.
Sec. 418. Inapplicability of Federal Advisory Committee Act to advisory 
          committees of the Office of the Director of National 
          Intelligence.
Sec. 419. Applicability of the Privacy Act to the Director of National 
          Intelligence and the Office of the Director of National 
          Intelligence.
Sec. 420. Repeal of certain authorities relating to the Office of the 
          National Counterintelligence Executive.

                 Subtitle B--Central Intelligence Agency

Sec. 431. Review of covert action programs by Inspector General of the 
          Central Intelligence Agency.
Sec. 432. Inapplicability to Director of the Central Intelligence Agency 
          of requirement for annual report on progress in auditable 
          financial statements.
Sec. 433. Additional functions and authorities for protective personnel 
          of the Central Intelligence Agency.
Sec. 434. Technical amendments relating to titles of certain Central 
          Intelligence Agency positions.
Sec. 435. Clarifying amendments relating to section 105 of the 
          Intelligence Authorization Act for Fiscal Year 2004.

               Subtitle C--Defense Intelligence Components

Sec. 441. Enhancement of National Security Agency training program.
Sec. 442. Codification of authorities of National Security Agency 
          protective personnel.
Sec. 443. Inspector general matters.
Sec. 444. Confirmation of appointment of heads of certain components of 
          the intelligence community.
Sec. 445. Clarification of national security missions of National 
          Geospatial-Intelligence Agency for analysis and dissemination 
          of certain intelligence information.
Sec. 446. Security clearances in the National Geospatial-Intelligence 
          Agency.

                       Subtitle D--Other Elements

Sec. 451. Clarification of inclusion of Coast Guard and Drug Enforcement 
          Administration as elements of the intelligence community.

                         TITLE V--OTHER MATTERS

                Subtitle A--General Intelligence Matters

Sec. 501. Extension of National Commission for the Review of the 
          Research and Development Programs of the United States 
          Intelligence Community.
Sec. 502. Report on intelligence activities.
Sec. 503. Aerial reconnaissance platforms.

                    Subtitle B--Technical Amendments

Sec. 511. Technical amendments to title 10, United States Code, arising 
          from enactment of the Intelligence Reform and Terrorism 
          Prevention Act of 2004.
Sec. 512. Technical amendment to the Central Intelligence Agency Act of 
          1949.
Sec. 513. Technical amendments relating to the multiyear National 
          Intelligence Program.
Sec. 514. Technical clarification of certain references to Joint 
          Military Intelligence Program and Tactical Intelligence and 
          Related Activities.
Sec. 515. Technical amendments to the National Security Act of 1947.
Sec. 516. Technical amendments to the Intelligence Reform and Terrorism 
          Prevention Act of 2004.
Sec. 517. Technical amendments to the Executive Schedule.
SEC. 2. DEFINITIONS.
    In this Act:
        (1) Congressional intelligence committees.--The term 
    ``congressional intelligence committees'' means--
            (A) the Select Committee on Intelligence of the Senate; and
            (B) the Permanent Select Committee on Intelligence of the 
        House of Representatives.
        (2) Element of the intelligence community.--The term ``element 
    of the intelligence community'' means an element of the 
    intelligence community listed in or designated under section 3(4) 
    of the National Security Act of 1947 (50 U.S.C. 401a(4)).
        (3) Intelligence community.--The term ``intelligence 
    community'' has the meaning given that term in section 3(4) of the 
    National Security Act of 1947 (50 U.S.C. 401a(4)).

              TITLE I--BUDGET AND PERSONNEL AUTHORIZATIONS

    SEC. 101. AUTHORIZATION OF APPROPRIATIONS.
    Funds are hereby authorized to be appropriated for fiscal year 2008 
for the conduct of the intelligence and intelligence-related activities 
of the following elements of the United States Government:
        (1) The Office of the Director of National Intelligence.
        (2) The Central Intelligence Agency.
        (3) The Department of Defense.
        (4) The Defense Intelligence Agency.
        (5) The National Security Agency.
        (6) The Department of the Army, the Department of the Navy, and 
    the Department of the Air Force.
        (7) The Coast Guard.
        (8) The Department of State.
        (9) The Department of the Treasury.
        (10) The Department of Energy.
        (11) The Department of Justice.
        (12) The Federal Bureau of Investigation.
        (13) The Drug Enforcement Administration.
        (14) The National Reconnaissance Office.
        (15) The National Geospatial-Intelligence Agency.
        (16) The Department of Homeland Security.
    SEC. 102. CLASSIFIED SCHEDULE OF AUTHORIZATIONS.
    (a) Specifications of Amounts and Personnel Levels.--The amounts 
authorized to be appropriated under section 101 and, subject to section 
103, the authorized personnel ceilings as of September 30, 2008, for 
the conduct of the intelligence activities of the elements listed in 
paragraphs (1) through (16) of section 101, are those specified in the 
classified Schedule of Authorizations prepared to accompany the 
conference report on the bill H.R. 2082 of the One Hundred Tenth 
Congress.
    (b) Availability of Classified Schedule of Authorizations.--The 
classified Schedule of Authorizations referred to in subsection (a) 
shall be made available to the Committee on Appropriations of the 
Senate, the Committee on Appropriations of the House of 
Representatives, and to the President. The President shall provide for 
suitable distribution of the Schedule, or of appropriate portions of 
the Schedule, within the executive branch.
    SEC. 103. PERSONNEL CEILING ADJUSTMENTS.
    (a) Authority for Increases.--With the approval of the Director of 
the Office of Management and Budget, the Director of National 
Intelligence may authorize employment of civilian personnel in excess 
of the number authorized for fiscal year 2008 by the classified 
Schedule of Authorizations referred to in section 102(a) if the 
Director of National Intelligence determines that such action is 
necessary to the performance of important intelligence functions, 
except that the number of personnel employed in excess of the number 
authorized under such section may not, for any element of the 
intelligence community, exceed 3 percent of the number of civilian 
personnel authorized under such Schedule for such element.
    (b) Transition to Full-Time Equivalency.--
        (1) Treatment for fiscal year 2008.--For fiscal year 2008, the 
    Director of National Intelligence, in consultation with the head of 
    each element of the intelligence community, may treat the personnel 
    ceilings authorized under the classified Schedule of Authorizations 
    referred to in section 102(a) as full-time equivalents.
        (2) Consideration.--In exercising the authority described in 
    paragraph (1), the Director of National Intelligence may consider 
    the circumstances under which civilian employees are employed and 
    accounted for at each element of the intelligence community in--
            (A) a student program, trainee program, or similar program;
            (B) reserve corps or equivalent status as a reemployed 
        annuitant or other employee;
            (C) a joint duty rotational assignment; or
            (D) other full-time or part-time status.
        (3) Notification to congress.--Not later than 90 days after the 
    date of the enactment of this Act, the Director of National 
    Intelligence shall notify the congressional intelligence committees 
    in writing of--
            (A) the policies for implementing the authorities described 
        in paragraphs (1) and (2); and
            (B) the number of all civilian personnel employed by, or 
        anticipated to be employed by, each element of the intelligence 
        community during fiscal year 2008 accounted for--
                (i) by position;
                (ii) by full-time equivalency; or
                (iii) by any other method.
        (4) Treatment for fiscal year 2009.--The Director of National 
    Intelligence shall express the personnel levels for all civilian 
    employees for each element of the intelligence community in the 
    congressional budget justifications submitted for fiscal year 2009 
    as full-time equivalent positions.
    (c) Authority for Conversion of Activities Performed by 
Contractors.--In addition to the authority in subsection (a), upon a 
determination by the head of an element of the intelligence community 
that activities currently being performed by contractor employees 
should be performed by government employees, the concurrence of the 
Director of National Intelligence in such determination, and the 
approval of the Director of the Office of Management and Budget, the 
Director of National Intelligence may authorize for that purpose 
employment of additional full-time equivalent personnel in such element 
of the intelligence community equal to the number that is--
        (1) in the case of personnel of Office of the Director of 
    National Intelligence, not more than 5 percent of the number of 
    such personnel authorized for fiscal year 2008 by the classified 
    Schedule of Authorizations referred to in section 102(a); or
        (2) except as provided in paragraph (1), not more than 10 
    percent of the number authorized for fiscal year 2008 by the 
    classified Schedule of Authorizations referred to in section 
    102(a).
    (d) Notice to Congressional Intelligence Committees.--The Director 
of National Intelligence shall notify the congressional intelligence 
committees in writing at least 15 days prior to each exercise of an 
authority described in subsection (a) or (c).
    SEC. 104. INTELLIGENCE COMMUNITY MANAGEMENT ACCOUNT.
    (a) Authorization of Appropriations.--There is authorized to be 
appropriated for the Intelligence Community Management Account of the 
Director of National Intelligence for fiscal year 2008 the sum of 
$734,126,000. Within such amount, funds identified in the classified 
Schedule of Authorizations referred to in section 102(a) for advanced 
research and development shall remain available until September 30, 
2009.
    (b) Authorized Personnel Levels.--The elements within the 
Intelligence Community Management Account of the Director of National 
Intelligence are authorized 952 full-time or full-time equivalent 
personnel as of September 30, 2008. Personnel serving in such elements 
may be permanent employees of the Office of the Director of National 
Intelligence or personnel detailed from other elements of the United 
States Government.
    (c) Construction of Authorities.--The authorities available to the 
Director of National Intelligence under section 103 are also available 
to the Director for the adjustment of personnel levels within the 
Intelligence Community Management Account.
    (d) Classified Authorizations.--
        (1) Authorization of appropriations.--In addition to amounts 
    authorized to be appropriated for the Intelligence Community 
    Management Account by subsection (a), there are authorized to be 
    appropriated for the Community Management Account for fiscal year 
    2008 such additional amounts as are specified in the classified 
    Schedule of Authorizations referred to in section 102(a). Such 
    additional amounts for advanced research and development shall 
    remain available until September 30, 2009.
        (2) Authorization of personnel.--In addition to the personnel 
    authorized by subsection (b) for elements of the Intelligence 
    Community Management Account as of September 30, 2008, there are 
    authorized such additional personnel for the Community Management 
    Account as of that date as are specified in the classified Schedule 
    of Authorizations referred to in section 102(a).
    (e) National Drug Intelligence Center.--
        (1) In general.--Of the amount authorized to be appropriated in 
    subsection (a), $39,000,000 shall be available for the National 
    Drug Intelligence Center. Within such amount, funds provided for 
    research, development, testing, and evaluation purposes shall 
    remain available until September 30, 2009, and funds provided for 
    procurement purposes shall remain available until September 30, 
    2010.
        (2) Transfer of funds.--The Director of National Intelligence 
    shall transfer to the Attorney General funds available for the 
    National Drug Intelligence Center under paragraph (1). The Attorney 
    General shall utilize funds so transferred for the activities of 
    the National Drug Intelligence Center.
        (3) Limitation.--Amounts available for the National Drug 
    Intelligence Center may not be used for purposes of exercising 
    police, subpoena, or law enforcement powers or internal security 
    functions.
        (4) Authority.--Notwithstanding any other provision of law, the 
    Attorney General shall retain full authority over the operations of 
    the National Drug Intelligence Center.
    SEC. 105. SPECIFIC AUTHORIZATION OF FUNDS WITHIN THE NATIONAL 
      INTELLIGENCE PROGRAM FOR WHICH FISCAL YEAR 2008 APPROPRIATIONS 
      EXCEED AMOUNTS AUTHORIZED.
    Funds appropriated for an intelligence or intelligence-related 
activity within the National Intelligence Program for fiscal year 2008 
in excess of the amount specified for such activity in the classified 
Schedule of Authorizations referred to in section 102(a) shall be 
deemed to be specifically authorized by Congress for purposes of 
section 504(a)(3) of the National Security Act of 1947 (50 U.S.C. 
414(a)(3)).

 TITLE II--CENTRAL INTELLIGENCE AGENCY RETIREMENT AND DISABILITY SYSTEM

    SEC. 201. AUTHORIZATION OF APPROPRIATIONS.
    There is authorized to be appropriated for the Central Intelligence 
Agency Retirement and Disability Fund for fiscal year 2008 the sum of 
$262,500,000.
    SEC. 202. TECHNICAL MODIFICATION TO MANDATORY RETIREMENT PROVISION 
      OF THE CENTRAL INTELLIGENCE AGENCY RETIREMENT ACT.
    Subparagraph (A) of section 235(b)(1) of the Central Intelligence 
Agency Retirement Act (50 U.S.C. 2055(b)(1)) is amended by striking 
``receiving compensation under the Senior Intelligence Service pay 
schedule at the rate'' and inserting ``who is at the Senior 
Intelligence Service rank''.

           TITLE III--GENERAL INTELLIGENCE COMMUNITY MATTERS
                     Subtitle A--Personnel Matters

    SEC. 301. INCREASE IN EMPLOYEE COMPENSATION AND BENEFITS AUTHORIZED 
      BY LAW.
    Appropriations authorized by this Act for salary, pay, retirement, 
and other benefits for Federal employees may be increased by such 
additional or supplemental amounts as may be necessary for increases in 
such compensation or benefits authorized by law.
    SEC. 302. ENHANCED FLEXIBILITY IN NONREIMBURSABLE DETAILS TO 
      ELEMENTS OF THE INTELLIGENCE COMMUNITY.
    Except as provided in section 113 of the National Security Act of 
1947 (50 U.S.C. 404h) and section 904(g)(2) of the Counterintelligence 
Enhancement Act of 2002 (title IX of Public Law 107-306; 50 U.S.C. 
402c(g)(2)) and notwithstanding any other provision of law, in any 
fiscal year after fiscal year 2007 an officer or employee of the United 
States or member of the Armed Forces may be detailed to the staff of an 
element of the intelligence community funded through the Community 
Management Account from another element of the United States Government 
on a reimbursable or nonreimbursable basis, as jointly agreed to by the 
Director of National Intelligence and the head of the detailing element 
(or the designees of such officials), for a period not to exceed 2 
years.
    SEC. 303. MULTI-LEVEL SECURITY CLEARANCES.
    (a) In General.--Section 102A of the National Security Act of 1947 
(50 U.S.C. 403-1) is amended by adding at the end the following new 
subsection:
    ``(s) Multi-Level Security Clearances.--The Director of National 
Intelligence shall be responsible for ensuring that the elements of the 
intelligence community adopt a multi-level security clearance approach 
in order to enable the intelligence community to make more effective 
and efficient use of persons proficient in foreign languages or with 
cultural, linguistic, or other subject matter expertise that is 
critical to national security.''.
    (b) Implementation.--The Director of National Intelligence shall 
issue guidelines to the intelligence community on the implementation of 
subsection (s) of section 102A of the National Security Act of 1947, as 
added by subsection (a), not later than 180 days after the date of the 
enactment of this Act.
    SEC. 304. PAY AUTHORITY FOR CRITICAL POSITIONS.
    Section 102A of the National Security Act of 1947 (50 U.S.C. 403-
1), as amended by section 303 of this Act, is further amended by adding 
at the end the following new subsection:
    ``(t) Pay Authority for Critical Positions.--(1) Notwithstanding 
any pay limitation established under any other provision of law 
applicable to employees in elements of the intelligence community, the 
Director of National Intelligence may, in consultation with the 
Director of the Office of Personnel Management and the Director of the 
Office of Management and Budget, grant authority to fix the rate of 
basic pay for 1 or more positions within the intelligence community at 
a rate in excess of any applicable limitation, subject to the 
provisions of this subsection. The exercise of authority so granted is 
at the discretion of the head of the department or agency employing the 
individual in a position covered by such authority, subject to the 
provisions of this subsection and any conditions established by the 
Director of National Intelligence when granting such authority.
    ``(2) Authority under this subsection may be granted or exercised--
        ``(A) only with respect to a position which requires an 
    extremely high level of expertise and is critical to successful 
    accomplishment of an important mission; and
        ``(B) only to the extent necessary to recruit or retain an 
    individual exceptionally well qualified for the position.
    ``(3) A rate of basic pay may not be fixed under this subsection at 
a rate greater than the rate payable for level II of the Executive 
Schedule under section 5312 of title 5, United States Code, except upon 
written approval of the Director of National Intelligence or as 
otherwise authorized by law.
    ``(4) A rate of basic pay may not be fixed under this subsection at 
a rate greater than the rate payable for level I of the Executive 
Schedule under section 5311 of title 5, United States Code, except upon 
written approval of the President in response to a request by the 
Director of National Intelligence or as otherwise authorized by law.
    ``(5) Any grant of authority under this subsection for a position 
shall terminate at the discretion of the Director of National 
Intelligence.''.
    SEC. 305. DELEGATION OF AUTHORITY FOR TRAVEL ON COMMON CARRIERS FOR 
      INTELLIGENCE COLLECTION PERSONNEL.
    (a) Delegation of Authority.--Section 116(b) of the National 
Security Act of 1947 (50 U.S.C. 404k(b)) is amended--
        (1) by inserting ``(1)'' before ``The Director'';
        (2) in paragraph (1), as designated by paragraph (1) of this 
    subsection, by striking ``may only delegate'' and all that follows 
    and inserting ``may delegate the authority in subsection (a) to the 
    head of any other element of the intelligence community.''; and
        (3) by adding at the end the following new paragraph:
    ``(2) The head of an element of the intelligence community to whom 
the authority in subsection (a) is delegated pursuant to paragraph (1) 
may further delegate such authority to such senior officials of such 
element as are specified in guidelines prescribed by the Director of 
National Intelligence for purposes of this paragraph.''.
    (b) Submission of Guidelines to Congress.--Not later than 6 months 
after the date of the enactment of this Act, the Director of National 
Intelligence shall prescribe and submit to the congressional 
intelligence committees the guidelines referred to in paragraph (2) of 
section 116(b) of the National Security Act of 1947, as added by 
subsection (a).
    SEC. 306. ANNUAL PERSONNEL LEVEL ASSESSMENTS FOR THE INTELLIGENCE 
      COMMUNITY.
    (a) In General.--Title V of the National Security Act of 1947 (50 
U.S.C. 413 et seq.) is amended by inserting after section 506A the 
following new section:
``SEC. 506B. ANNUAL PERSONNEL LEVEL ASSESSMENTS FOR THE INTELLIGENCE 
COMMUNITY.
    ``(a) Requirement To Provide.--The Director of National 
Intelligence shall, in consultation with the head of the element of the 
intelligence community concerned, prepare an annual personnel level 
assessment for such element of the intelligence community that assesses 
the personnel levels for each such element for the fiscal year 
following the fiscal year in which the assessment is submitted.
    ``(b) Schedule.--Each assessment required by subsection (a) shall 
be submitted to the congressional intelligence committees each year 
along with the budget submitted by the President under section 1105 of 
title 31, United States Code.
    ``(c) Contents.--Each assessment required by subsection (a) 
submitted during a fiscal year shall contain, at a minimum, the 
following information for the element of the intelligence community 
concerned:
        ``(1) The budget submission for personnel costs for the 
    upcoming fiscal year.
        ``(2) The dollar and percentage increase or decrease of such 
    costs as compared to the personnel costs of the current fiscal 
    year.
        ``(3) The dollar and percentage increase or decrease of such 
    costs as compared to the personnel costs during the prior 5 fiscal 
    years.
        ``(4) The number of personnel positions requested for the 
    upcoming fiscal year.
        ``(5) The numerical and percentage increase or decrease of such 
    number as compared to the number of personnel positions of the 
    current fiscal year.
        ``(6) The numerical and percentage increase or decrease of such 
    number as compared to the number of personnel positions during the 
    prior 5 fiscal years.
        ``(7) The best estimate of the number and costs of contractors 
    to be funded by the element for the upcoming fiscal year.
        ``(8) The numerical and percentage increase or decrease of such 
    costs of contractors as compared to the best estimate of the costs 
    of contractors of the current fiscal year.
        ``(9) The numerical and percentage increase or decrease of such 
    costs of contractors as compared to the cost of contractors, and 
    the number of contractors, during the prior 5 fiscal years.
        ``(10) A written justification for the requested personnel and 
    contractor levels.
        ``(11) The number of intelligence collectors and analysts 
    employed or contracted by each element of the intelligence 
    community.
        ``(12) A list of all contractors that have been the subject of 
    an investigation completed by the Inspector General of any element 
    of the intelligence community during the preceding fiscal year, or 
    are or have been the subject of an investigation by such an 
    Inspector General during the current fiscal year.
        ``(13) A statement by the Director of National Intelligence 
    that, based on current and projected funding, the element concerned 
    will have sufficient--
            ``(A) internal infrastructure to support the requested 
        personnel and contractor levels;
            ``(B) training resources to support the requested personnel 
        levels; and
            ``(C) funding to support the administrative and operational 
        activities of the requested personnel levels.''.
    (b) Clerical Amendment.--The table of contents in the first section 
of that Act is amended by inserting after the item relating to section 
506A the following new item:

``Sec. 506B. Annual personnel levels assessment for the intelligence 
          community.''.
    SEC. 307. COMPREHENSIVE REPORT ON INTELLIGENCE COMMUNITY 
      CONTRACTORS.
    (a) Requirement for Report.--Not later than March 31, 2008, the 
Director of National Intelligence shall submit to the congressional 
intelligence committees a report describing the personal services 
activities performed by contractors across the intelligence community, 
the impact of such contractors on the intelligence community workforce, 
plans for conversion of contractor employment into government 
employment, and the accountability mechanisms that govern the 
performance of such contractors.
    (b) Content.--
        (1) In general.--The report submitted under subsection (a) 
    shall include--
            (A) a description of any relevant regulations or guidance 
        issued by the Director of National Intelligence or the head of 
        an element of the intelligence community relating to minimum 
        standards required regarding the hiring, training, security 
        clearance, and assignment of contract personnel and how those 
        standards may differ from those for government employees 
        performing substantially similar functions;
            (B) an identification of contracts where the contractor is 
        providing a substantially similar functions to a government 
        employee;
            (C) an assessment of costs incurred or savings achieved by 
        awarding contracts for the performance of such functions 
        referred to in subparagraph (B) instead of using full-time 
        employees of the elements of the intelligence community to 
        perform such functions;
            (D) an assessment of the appropriateness of using 
        contractors to perform the activities described in paragraph 
        (2);
            (E) an estimate of the number of contracts, and the number 
        of personnel working under such contracts, related to the 
        performance of activities described in paragraph (2);
            (F) a comparison of the compensation of contract employees 
        and government employees performing substantially similar 
        functions;
            (G) an analysis of the attrition of government personnel 
        for contractor positions that provide substantially similar 
        functions;
            (H) a description of positions that will be converted from 
        contractor employment to government employment under the 
        authority described in section 103(c) of this Act and the 
        justification for such conversion;
            (I) an analysis of accountability mechanisms within 
        services contracts awarded for intelligence activities by each 
        element of the intelligence community during fiscal years 2006 
        and 2007;
            (J) an analysis of procedures in use in the intelligence 
        community for conducting oversight of contractors to ensure 
        identification and prosecution of criminal violations, 
        financial waste, fraud, or other abuses committed by 
        contractors or contract personnel; and
            (K) an identification of best practices of accountability 
        mechanisms within services contracts.
        (2) Activities.--Activities described in this paragraph are the 
    following:
            (A) Intelligence collection.
            (B) Intelligence analysis.
            (C) Covert actions, including rendition, detention, and 
        interrogation activities.
    SEC. 308. REPORT ON PROPOSED PAY FOR PERFORMANCE INTELLIGENCE 
      COMMUNITY PERSONNEL MANAGEMENT SYSTEM.
    (a) Prohibition on Pay for Performance Until Report.--The Director 
of National Intelligence and the head of an element of the intelligence 
community may not implement a plan that provides compensation to 
personnel of that element of the intelligence community based on 
performance until the date that is 45 days after the date on which the 
Director of National Intelligence submits a report for that element 
under subsection (b).
    (b) Report.--The Director of National Intelligence shall submit to 
Congress a report on performance-based compensation for each element of 
the intelligence community, including, with respect to each such 
element--
        (1) an implementation time line which includes target dates for 
    completion of--
            (A) the development of performance appraisal plans;
            (B) establishment of oversight and appeal mechanisms;
            (C) deployment of information technology systems;
            (D) management training;
            (E) employee training;
            (F) compensation transition; and
            (G) full operational capacity;
        (2) an estimated budget for the implementation of the 
    performance-based compensation system;
        (3) an evaluation plan to monitor the implementation of the 
    performance-based compensation system and to improve and modify 
    such system;
        (4) written standards for measuring the performance of 
    employees;
        (5) a description of the performance-based compensation system, 
    including budget oversight mechanisms to ensure sufficient funds to 
    pay employees for bonuses;
        (6) a description of internal and external accountability 
    mechanisms to ensure the fair treatment of employees;
        (7) a plan for initial and ongoing training for senior 
    executives, managers, and employees;
        (8) a description of the role of any advisory committee or 
    other mechanism designed to gather the input of employees relating 
    to the creation and implementation of the system;
        (9) an assessment of the impact of the performance-based 
    compensation system on women, minorities, persons with 
    disabilities, and veterans; and
        (10) an assessment of the consistency of the plan described in 
    subsection (a) for such element with the plans of the Director of 
    National Intelligence for a performance-based compensation system 
    for the intelligence community.
    SEC. 309. REPORT ON PLANS TO INCREASE DIVERSITY WITHIN THE 
      INTELLIGENCE COMMUNITY.
    (a) Requirement for Report.--Not later than March 31, 2008, the 
Director of National Intelligence, in coordination with the heads of 
the elements of the intelligence community, shall submit to the 
congressional intelligence committees a report on the plans of each 
element to increase diversity within the intelligence community.
    (b) Content.--The report required by subsection (a) shall include 
specific implementation plans to increase diversity within each element 
of the intelligence community, including--
        (1) specific implementation plans for each such element 
    designed to achieve the goals articulated in the strategic plan of 
    the Director of National Intelligence on equal employment 
    opportunity and diversity;
        (2) specific plans and initiatives for each such element to 
    increase recruiting and hiring of diverse candidates;
        (3) specific plans and initiatives for each such element to 
    improve retention of diverse Federal employees at the junior, 
    midgrade, senior, and management levels;
        (4) a description of specific diversity awareness training and 
    education programs for senior officials and managers of each such 
    element; and
        (5) a description of performance metrics to measure the success 
    of carrying out the plans, initiatives, and programs described in 
    paragraphs (1) through (4).

                    Subtitle B--Acquisition Matters

    SEC. 311. VULNERABILITY ASSESSMENTS OF MAJOR SYSTEMS.
    (a) In General.--Title V of the National Security Act of 1947 (50 
U.S.C. 413 et seq.), as amended by section 306 of this Act, is further 
amended by inserting after section 506B, as added by section 306(a), 
the following new section:


               ``vulnerability assessments of major systems

    ``Sec. 506C.  (a) Initial Vulnerability Assessments.--The Director 
of National Intelligence shall conduct an initial vulnerability 
assessment for any major system and its significant items of supply 
that is proposed for inclusion in the National Intelligence Program 
prior to completion of Milestone B or an equivalent acquisition 
decision. The initial vulnerability assessment of a major system and 
its significant items of supply shall, at a minimum, use an analysis-
based approach to--
        ``(1) identify vulnerabilities;
        ``(2) define exploitation potential;
        ``(3) examine the system's potential effectiveness;
        ``(4) determine overall vulnerability; and
        ``(5) make recommendations for risk reduction.
    ``(b) Subsequent Vulnerability Assessments.--(1) The Director of 
National Intelligence shall conduct subsequent vulnerability 
assessments of each major system and its significant items of supply 
within the National Intelligence Program--
        ``(A) periodically throughout the life span of the major 
    system;
        ``(B) whenever the Director determines that a change in 
    circumstances warrants the issuance of a subsequent vulnerability 
    assessment; or
        ``(C) upon the request of a congressional intelligence 
    committee.
    ``(2) Any subsequent vulnerability assessment of a major system and 
its significant items of supply shall, at a minimum, use an analysis-
based approach and, if applicable, a testing-based approach, to monitor 
the exploitation potential of such system and reexamine the factors 
described in paragraphs (1) through (5) of subsection (a).
    ``(c) Major System Management.--The Director of National 
Intelligence shall give due consideration to the vulnerability 
assessments prepared for a given major system when developing and 
determining the annual consolidated National Intelligence Program 
budget.
    ``(d) Congressional Oversight.--(1) The Director of National 
Intelligence shall provide to the congressional intelligence committees 
a copy of each vulnerability assessment conducted under subsection (a) 
or (b) not later than 10 days after the date of the completion of such 
assessment.
    ``(2) The Director of National Intelligence shall provide the 
congressional intelligence committees with a proposed schedule for 
subsequent vulnerability assessments of a major system under subsection 
(b) when providing such committees with the initial vulnerability 
assessment under subsection (a) of such system as required by 
subsection (d).
    ``(e) Definitions.--In this section:
        ``(1) The term `items of supply'--
            ``(A) means any individual part, component, subassembly, 
        assembly, or subsystem integral to a major system, and other 
        property which may be replaced during the service life of the 
        major system, including spare parts and replenishment parts; 
        and
            ``(B) does not include packaging or labeling associated 
        with shipment or identification of items.
        ``(2) The term `major system' has the meaning given that term 
    in section 506A(e).
        ``(3) The term `Milestone B' means a decision to enter into 
    system development and demonstration pursuant to guidance 
    prescribed by the Director of National Intelligence.
        ``(4) The term `vulnerability assessment' means the process of 
    identifying and quantifying vulnerabilities in a major system and 
    its significant items of supply.''.
    (b) Clerical Amendment.--The table of contents in the first section 
of the National Security Act of 1947, as amended by section 306 of this 
Act, is further amended by inserting after the item relating to section 
506B, as added by section 306(b), the following:

``Sec. 506C. Vulnerability assessments of major systems.''.
    SEC. 312. BUSINESS ENTERPRISE ARCHITECTURE AND BUSINESS SYSTEM 
      MODERNIZATION FOR THE INTELLIGENCE COMMUNITY.
    (a) Business Enterprise Architecture and Business System 
Modernization.--
        (1) In general.--Title V of the National Security Act of 1947 
    (50 U.S.C. 413 et seq.), as amended by sections 306 and 311 of this 
    Act, is further amended by inserting after section 506C, as added 
    by section 311(a), the following new section:


        ``intelligence community business systems, architecture, 
                   accountability, and modernization

    ``Sec. 506D.  (a) Limitation on Obligation of Funds for 
Intelligence Community Business System Modernization.--(1) After April 
1, 2008, no funds appropriated to any element of the intelligence 
community may be obligated for an intelligence community business 
system modernization described in paragraph (2) unless--
        ``(A) the approval authority designated by the Director of 
    National Intelligence under subsection (c)(2) makes the 
    certification described in paragraph (3) with respect to the 
    intelligence community business system modernization; and
        ``(B) the certification is approved by the Intelligence 
    Community Business Systems Management Committee established under 
    subsection (f).
    ``(2) An intelligence community business system modernization 
described in this paragraph is an intelligence community business 
system modernization that--
        ``(A) will have a total cost in excess of $1,000,000; and
        ``(B) will receive more than 50 percent of the funds for such 
    cost from amounts appropriated for the National Intelligence 
    Program.
    ``(3) The certification described in this paragraph for an 
intelligence community business system modernization is a 
certification, made by the approval authority designated by the 
Director under subsection (c)(2) to the Intelligence Community Business 
Systems Management Committee, that the intelligence community business 
system modernization--
        ``(A) complies with the enterprise architecture under 
    subsection (b); or
        ``(B) is necessary--
            ``(i) to achieve a critical national security capability or 
        address a critical requirement in an area such as safety or 
        security; or
            ``(ii) to prevent a significant adverse effect on a project 
        that is needed to achieve an essential capability, taking into 
        consideration the alternative solutions for preventing such 
        adverse effect.
    ``(4) The obligation of funds for an intelligence community 
business system modernization that does not comply with the 
requirements of this subsection shall be treated as a violation of 
section 1341(a)(1)(A) of title 31, United States Code.
    ``(b) Enterprise Architecture for Intelligence Community Business 
Systems.--(1) The Director of National Intelligence shall, acting 
through the Intelligence Community Business Systems Management 
Committee established under subsection (f), develop and implement an 
enterprise architecture to cover all intelligence community business 
systems, and the functions and activities supported by such business 
systems. The enterprise architecture shall be sufficiently defined to 
effectively guide, constrain, and permit implementation of 
interoperable intelligence community business system solutions, 
consistent with applicable policies and procedures established by the 
Director of the Office of Management and Budget.
    ``(2) The enterprise architecture under paragraph (1) shall include 
the following:
        ``(A) An information infrastructure that, at a minimum, will 
    enable the intelligence community to--
            ``(i) comply with all Federal accounting, financial 
        management, and reporting requirements;
            ``(ii) routinely produce timely, accurate, and reliable 
        financial information for management purposes;
            ``(iii) integrate budget, accounting, and program 
        information and systems; and
            ``(iv) provide for the systematic measurement of 
        performance, including the ability to produce timely, relevant, 
        and reliable cost information.
        ``(B) Policies, procedures, data standards, and system 
    interface requirements that apply uniformly throughout the 
    intelligence community.
    ``(c) Responsibilities for Intelligence Community Business System 
Modernization.--(1) The Director of National Intelligence shall be 
responsible for review, approval, and oversight of the planning, 
design, acquisition, deployment, operation, and maintenance of an 
intelligence community business system modernization if more than 50 
percent of the cost of the intelligence community business system 
modernization is funded by amounts appropriated for the National 
Intelligence Program.
    ``(2) The Director shall designate 1 or more appropriate officials 
of the intelligence community to be responsible for making 
certifications with respect to intelligence community business system 
modernizations under subsection (a)(3).
    ``(d) Intelligence Community Business System Investment Review.--
(1) The approval authority designated under subsection (c)(2) shall 
establish and implement, not later than March 31, 2008, an investment 
review process for the review of the planning, design, acquisition, 
development, deployment, operation, maintenance, modernization, project 
cost, benefits, and risks of the intelligence community business 
systems for which the approval authority is responsible.
    ``(2) The investment review process under paragraph (1) shall--
        ``(A) meet the requirements of section 11312 of title 40, 
    United States Code; and
        ``(B) specifically set forth the responsibilities of the 
    approval authority under such review process.
    ``(3) The investment review process under paragraph (1) shall 
include the following elements:
        ``(A) Review and approval by an investment review board 
    (consisting of appropriate representatives of the intelligence 
    community) of each intelligence community business system as an 
    investment before the obligation of funds for such system.
        ``(B) Periodic review, but not less often than annually, of 
    every intelligence community business system investment.
        ``(C) Thresholds for levels of review to ensure appropriate 
    review of intelligence community business system investments 
    depending on the scope, complexity, and cost of the system 
    involved.
        ``(D) Procedures for making certifications in accordance with 
    the requirements of subsection (a)(3).
        ``(E) Mechanisms to ensure the consistency of the investment 
    review process with applicable guidance issued by the Director of 
    National Intelligence and the Intelligence Community Business 
    Systems Management Committee established under subsection (f).
        ``(F) Common decision criteria, including standards, 
    requirements, and priorities, for purposes of ensuring the 
    integration of intelligence community business systems.
    ``(e) Budget Information.--For each fiscal year after fiscal year 
2009, the Director of National Intelligence shall include in the 
materials the Director submits to Congress in support of the budget for 
such fiscal year that is submitted to Congress under section 1105 of 
title 31, United States Code, the following information:
        ``(1) An identification of each intelligence community business 
    system for which funding is proposed in such budget.
        ``(2) An identification of all funds, by appropriation, 
    proposed in such budget for each such system, including--
            ``(A) funds for current services to operate and maintain 
        such system; and
            ``(B) funds for business systems modernization identified 
        for each specific appropriation.
        ``(3) For each such system, identification of approval 
    authority designated for such system under subsection (c)(2).
        ``(4) The certification, if any, made under subsection (a)(3) 
    with respect to each such system.
    ``(f) Intelligence Community Business Systems Management 
Committee.--(1) The Director of National Intelligence shall establish 
an Intelligence Community Business Systems Management Committee (in 
this subsection referred to as the `Committee').
    ``(2) The Committee shall--
        ``(A) recommend to the Director policies and procedures 
    necessary to effectively integrate all business activities and any 
    transformation, reform, reorganization, or process improvement 
    initiatives undertaken within the intelligence community;
        ``(B) review and approve any major update of--
            ``(i) the enterprise architecture developed under 
        subsection (b); and
            ``(ii) any plans for an intelligence community business 
        systems modernization;
        ``(C) manage cross-domain integration consistent with such 
    enterprise architecture;
        ``(D) be responsible for coordinating initiatives for 
    intelligence community business system modernization to maximize 
    benefits and minimize costs for the intelligence community, and 
    periodically report to the Director on the status of efforts to 
    carry out an intelligence community business system modernization;
        ``(E) ensure that funds are obligated for intelligence 
    community business system modernization in a manner consistent with 
    subsection (a); and
        ``(F) carry out such other duties as the Director shall 
    specify.
    ``(g) Relation to Annual Registration Requirements.--Nothing in 
this section shall be construed to alter the requirements of section 
8083 of the Department of Defense Appropriations Act, 2005 (Public Law 
108-287; 118 Stat. 989), with regard to information technology systems 
(as defined in subsection (d) of such section).
    ``(h) Relation to Defense Business Systems Architecture, 
Accountability, and Modernization Requirements.--An intelligence 
community business system that receives more than 50 percent of its 
funds from amounts available for the National Intelligence Program 
shall be exempt from the requirements of section 2222 of title 10, 
United States Code.
    ``(i) Relation to Clinger-Cohen Act.--(1) The Director of National 
Intelligence and the Chief Information Officer of the Intelligence 
Community shall fulfill the executive agency responsibilities in 
chapter 113 of title 40, United States Code, for any intelligence 
community business system that receives more than 50 percent of its 
funding from amounts appropriated for the National Intelligence 
Program.
    ``(2) Any intelligence community business system covered by 
paragraph (1) shall be exempt from the requirements of such chapter 113 
that would otherwise apply to the executive agency that contains the 
element of the intelligence community involved.
    ``(j) Reports.--Not later than March 15 of each of the years 2009 
through 2014, the Director of National Intelligence shall submit to the 
congressional intelligence committees a report on the compliance of the 
intelligence community with the requirements of this section. Each such 
report shall--
        ``(1) describe actions taken and proposed for meeting the 
    requirements of subsection (a), including--
            ``(A) specific milestones and actual performance against 
        specified performance measures, and any revision of such 
        milestones and performance measures; and
            ``(B) specific actions on the intelligence community 
        business system modernizations submitted for certification 
        under such subsection;
        ``(2) identify the number of intelligence community business 
    system modernizations that received a certification described in 
    subsection (a)(3)(B); and
        ``(3) describe specific improvements in business operations and 
    cost savings resulting from successful intelligence community 
    business systems modernization efforts.
    ``(k) Definitions.--In this section:
        ``(1) The term `enterprise architecture' has the meaning given 
    that term in section 3601(4) of title 44, United States Code.
        ``(2) The terms `information system' and `information 
    technology' have the meanings given those terms in section 11101 of 
    title 40, United States Code.
        ``(3) The term `intelligence community business system' means 
    an information system, other than a national security system, that 
    is operated by, for, or on behalf of the intelligence community, 
    including financial systems, mixed systems, financial data feeder 
    systems, and the business infrastructure capabilities shared by the 
    systems of the business enterprise architecture that build upon the 
    core infrastructure used to support business activities, such as 
    acquisition, financial management, logistics, strategic planning 
    and budgeting, installations and environment, and human resource 
    management.
        ``(4) The term `intelligence community business system 
    modernization' means--
            ``(A) the acquisition or development of a new intelligence 
        community business system; or
            ``(B) any significant modification or enhancement of an 
        existing intelligence community business system (other than 
        necessary to maintain current services).
        ``(5) The term `national security system' has the meaning given 
    that term in section 3542 of title 44, United States Code.''.
        (2) Clerical amendment.--The table of contents in the first 
    section of that Act, as amended by sections 306 and 311 of this 
    Act, is further amended by inserting after the item relating to 
    section 506C, as added by section 311(b), the following new item:

``Sec. 506D. Intelligence community business systems, architecture, 
          accountability, and modernization.''.

    (b) Implementation.--
        (1) Certain duties.--Not later than 60 days after the date of 
    the enactment of this Act, the Director of National Intelligence 
    shall--
            (A) complete the delegation of responsibility for the 
        review, approval, and oversight of the planning, design, 
        acquisition, deployment, operation, maintenance, and 
        modernization of intelligence community business systems 
        required by subsection (c) of section 506D of the National 
        Security Act of 1947 (as added by subsection (a)); and
            (B) designate a vice chairman and personnel to serve on the 
        Intelligence Community Business System Management Committee 
        established under subsection (f) of such section 506D (as so 
        added).
        (2) Enterprise architecture.--
            (A) Schedule for development.--The Director shall develop 
        the enterprise architecture required by subsection (b) of such 
        section 506D (as so added) by not later than September 1, 2008.
            (B) Requirement for implementation plan.--In developing 
        such enterprise architecture, the Director shall develop an 
        implementation plan for such enterprise architecture that 
        includes the following:
                (i) An acquisition strategy for new systems that are 
            expected to be needed to complete such enterprise 
            architecture, including specific time-phased milestones, 
            performance metrics, and a statement of the financial and 
            nonfinancial resource needs.
                (ii) An identification of the intelligence community 
            business systems in operation or planned as of December 31, 
            2006, that will not be a part of such enterprise 
            architecture, together with the schedule for the phased 
            termination of the utilization of any such systems.
                (iii) An identification of the intelligence community 
            business systems in operation or planned as of December 31, 
            2006, that will be a part of such enterprise architecture, 
            together with a strategy for modifying such systems to 
            ensure that such systems comply with such enterprise 
            architecture.
            (C) Submission of acquisition strategy.--The Director shall 
        submit the acquisition strategy described in subparagraph 
        (B)(i) to the congressional intelligence committees not later 
        than March 1, 2008.
    SEC. 313. REPORTS ON THE ACQUISITION OF MAJOR SYSTEMS.
    (a) In General.--Title V of the National Security Act of 1947 (50 
U.S.C. 413 et seq.), as amended by sections 306, 311, and 312 of this 
Act, is further amended by inserting after section 506D, as added by 
section 312(a)(1), the following new section:


              ``reports on the acquisition of major systems

    ``Sec. 506E.  (a) Annual Reports Required.--(1) The Director of 
National Intelligence shall submit to the congressional intelligence 
committees each year, at the same time the budget of the President for 
the fiscal year beginning in such year is submitted to Congress 
pursuant to section 1105 of title 31, United States Code, a separate 
report on each acquisition of a major system by an element of the 
intelligence community.
    ``(2) Each report under this section shall be known as a `Report on 
the Acquisition of Major Systems'.
    ``(b) Elements.--Each report under this section shall include, for 
the acquisition of a major system, information on the following:
        ``(1) The current total acquisition cost for such system, and 
    the history of such cost from the date the system was first 
    included in a report under this section to the end of the calendar 
    quarter immediately proceeding the submittal of the report under 
    this section.
        ``(2) The current development schedule for the system, 
    including an estimate of annual development costs until development 
    is completed.
        ``(3) The planned procurement schedule for the system, 
    including the best estimate of the Director of National 
    Intelligence of the annual costs and units to be procured until 
    procurement is completed.
        ``(4) A full life-cycle cost analysis for such system.
        ``(5) The result of any significant test and evaluation of such 
    major system as of the date of the submittal of such report, or, if 
    a significant test and evaluation has not been conducted, a 
    statement of the reasons therefor and the results of any other test 
    and evaluation that has been conducted of such system.
        ``(6) The reasons for any change in acquisition cost, or 
    schedule, for such system from the previous report under this 
    section, if applicable.
        ``(7) The major contracts or subcontracts related to the major 
    system.
        ``(8) If there is any cost or schedule variance under a 
    contract referred to in paragraph (7) since the previous report 
    under this section, the reasons for such cost or schedule variance.
    ``(c) Determination of Increase in Costs.--Any determination of a 
percentage increase in the acquisition costs of a major system for 
which a report is filed under this section shall be stated in terms of 
constant dollars from the first fiscal year in which funds are 
appropriated for such contract.
    ``(d) Definitions.--In this section:
        ``(1) The term `acquisition cost', with respect to a major 
    system, means the amount equal to the total cost for development 
    and procurement of, and system-specific construction for, such 
    system.
        ``(2) The term `full life-cycle cost', with respect to the 
    acquisition of a major system, means all costs of development, 
    procurement, construction, deployment, and operation and support 
    for such program, without regard to funding source or management 
    control, including costs of development and procurement required to 
    support or utilize such system.
        ``(3) The term `major contract,' with respect to a major system 
    acquisition, means each of the 6 largest prime, associate, or 
    government-furnished equipment contracts under the program that is 
    in excess of $40,000,000 and that is not a firm, fixed price 
    contract.
        ``(4) The term `major system' has the meaning given that term 
    in section 506A(e).
        ``(5) The term `significant test and evaluation' means the 
    functional or environmental testing of a major system or of the 
    subsystems that combine to create a major system.''.
    (b) Clerical Amendment.--The table of contents in the first section 
of that Act, as amended by sections 306, 311, and 312 of this Act, is 
further amended by inserting after the item relating to section 506D, 
as added by section 312(a)(2), the following new item:

``Sec. 506E. Reports on the acquisition of major systems.''.
    SEC. 314. EXCESSIVE COST GROWTH OF MAJOR SYSTEMS.
    (a) Notification.--Title V of the National Security Act of 1947, as 
amended by sections 306, 311, 312, and 313 of this Act, is further 
amended by inserting after section 506E, as added by section 313(a), 
the following new section:


                 ``excessive cost growth of major systems

    ``Sec. 506F.  (a) Cost Increases of at Least 25 Percent.--(1)(A) On 
a continuing basis, and separate from the submission of any report on a 
major system required by section 506E of this Act, the program manager 
shall determine if the acquisition cost of such major system has 
increased by at least 25 percent as compared to the baseline cost of 
such major system.
    ``(B) Not later than 10 days after the date that a program manager 
determines that an increase described in subparagraph (A) has occurred, 
the program manager shall submit to the Director of National 
Intelligence notification of such increase.
    ``(2)(A) If, after receiving a notification described in paragraph 
(1)(B), the Director of National Intelligence determines that the 
acquisition cost of a major system has increased by at least 25 
percent, the Director shall submit to the congressional intelligence 
committees a written notification of such determination as described in 
subparagraph (B), a description of the amount of the increase in the 
acquisition cost of such major system, and a certification as described 
in subparagraph (C).
    ``(B) The notification required by subparagraph (A) shall include--
        ``(i) an updated cost estimate;
        ``(ii) the date on which the determination covered by such 
    notification was made;
        ``(iii) contract performance assessment information with 
    respect to each significant contract or sub-contract related to 
    such major system, including the name of the contractor, the phase 
    of the contract at the time of the report, the percentage of work 
    under the contract that has been completed, any change in contract 
    cost, the percentage by which the contract is currently ahead or 
    behind schedule, and a summary explanation of significant 
    occurrences, such as cost and schedule variances, and the effect of 
    such occurrences on future costs and schedules;
        ``(iv) the prior estimate of the full life-cycle cost for such 
    major system, expressed in constant dollars and in current year 
    dollars;
        ``(v) the current estimated full life-cycle cost of such major 
    system, expressed in constant dollars and current year dollars;
        ``(vi) a statement of the reasons for any increases in the full 
    life-cycle cost of such major system;
        ``(vii) the current change and the total change, in dollars and 
    expressed as a percentage, in the full life-cycle cost applicable 
    to such major system, stated both in constant dollars and current 
    year dollars;
        ``(viii) the completion status of such major system expressed 
    as the percentage--
            ``(I) of the total number of years for which funds have 
        been appropriated for such major system compared to the number 
        of years for which it is planned that such funds will be 
        appropriated; and
            ``(II) of the amount of funds that have been appropriated 
        for such major system compared to the total amount of such 
        funds which it is planned will be appropriated;
        ``(ix) the action taken and proposed to be taken to control 
    future cost growth of such major system; and
        ``(x) any changes made in the performance or schedule of such 
    major system and the extent to which such changes have contributed 
    to the increase in full life-cycle costs of such major system.
    ``(C) The certification described in this subparagraph is a written 
certification made by the Director and submitted to the congressional 
intelligence committees that--
        ``(i) the acquisition of such major system is essential to the 
    national security;
        ``(ii) there are no alternatives to such major system that will 
    provide equal or greater intelligence capability at equal or lesser 
    cost to completion;
        ``(iii) the new estimates of the full life-cycle cost for such 
    major system are reasonable; and
        ``(iv) the management structure for the acquisition of such 
    major system is adequate to manage and control full life-cycle cost 
    of such major system.
    ``(b) Cost Increases of at Least 50 Percent.--(1)(A) On a 
continuing basis, and separate from the submission of any report on a 
major system required by section 506E of this Act, the program manager 
shall determine if the acquisition cost of such major system has 
increased by at least 50 percent as compared to the baseline cost of 
such major system.
    ``(B) Not later than 10 days after the date that a program manager 
determines that an increase described in subparagraph (A) has occurred, 
the program manager shall submit to the Director of National 
Intelligence notification of such increase.
    ``(2) If, after receiving a notification described in paragraph 
(1)(B), the Director of National Intelligence determines that the 
acquisition cost of a major system has increased by at least 50 percent 
as compared to the baseline cost of such major system, the Director 
shall submit to the congressional intelligence committees a written 
certification stating that--
        ``(A) the acquisition of such major system is essential to the 
    national security;
        ``(B) there are no alternatives to such major system that will 
    provide equal or greater intelligence capability at equal or lesser 
    cost to completion;
        ``(C) the new estimates of the full life-cycle cost for such 
    major system are reasonable; and
        ``(D) the management structure for the acquisition of such 
    major system is adequate to manage and control the full life-cycle 
    cost of such major system.
    ``(3) In addition to the certification required by paragraph (2), 
the Director of National Intelligence shall submit to the congressional 
intelligence committees an updated notification, with current 
accompanying information, as required by subsection (a)(2).
    ``(c) Prohibition on Obligation of Funds.--(1) If a written 
certification required under subsection (a)(2)(A) is not submitted to 
the congressional intelligence committees within 60 days of the 
determination made under subsection (a)(1), funds appropriated for the 
acquisition of a major system may not be obligated for a major contract 
under the program. Such prohibition on the obligation of funds shall 
cease to apply at the end of the 30-day period of a continuous session 
of Congress that begins on the date on which Congress receives the 
notification required under subsection (a)(2)(A).
    ``(2) If a written certification required under subsection (b)(2) 
is not submitted to the congressional intelligence committees within 60 
days of the determination made under subsection (b)(2), funds 
appropriated for the acquisition of a major system may not be obligated 
for a major contract under the program. Such prohibition on the 
obligation of funds for the acquisition of a major system shall cease 
to apply at the end of the 30-day period of a continuous session of 
Congress that begins on the date on which Congress receives the 
notification required under subsection (b)(3).
    ``(d) Definitions.--In this section:
        ``(1) The term `acquisition cost' has the meaning given that 
    term in section 506E(d).
        ``(2) The term `baseline cost', with respect to a major system, 
    means the projected acquisition cost of such system that is 
    approved by the Director of National Intelligence at Milestone B or 
    an equivalent acquisition decision for the development, 
    procurement, and construction of such system. The baseline cost may 
    be in the form of an independent cost estimate.
        ``(3) The term `full life-cycle cost' has the meaning given 
    that term in section 506E(d).
        ``(4) The term `independent cost estimate' has the meaning 
    given that term in section 506A(e).
        ``(5) The term `major system' has the meaning given that term 
    in section 506A(e).
        ``(6) The term `Milestone B' means a decision to enter into 
    system development and demonstration pursuant to guidance 
    prescribed by the Director of National Intelligence.
        ``(7) The term `program manager', with respect to a major 
    system, means--
            ``(A) the head of the element of the intelligence community 
        which is responsible for the budget, cost, schedule, and 
        performance of the major system; or
            ``(B) in the case of a major system within the Office of 
        the Director of National Intelligence, the deputy who is 
        responsible for the budget, cost, schedule, and performance of 
        the major system.''.
    (b) Clerical Amendment.--The table of contents in the first section 
of that Act, as amended by sections 304, 311, 312, and 313 of this Act, 
is further amended by inserting after the items relating to section 
506E, as added by section 313(b), the following new item:

``Sec. 506F. Excessive cost growth of major systems.''.

                       Subtitle C--Other Matters

    SEC. 321. RESTRICTION ON CONDUCT OF INTELLIGENCE ACTIVITIES.
    The authorization of appropriations by this Act shall not be deemed 
to constitute authority for the conduct of any intelligence activity 
which is not otherwise authorized by the Constitution or the laws of 
the United States.
    SEC. 322. CLARIFICATION OF DEFINITION OF INTELLIGENCE COMMUNITY 
      UNDER THE NATIONAL SECURITY ACT OF 1947.
    Subparagraph (L) of section 3(4) of the National Security Act of 
1947 (50 U.S.C. 401a(4)) is amended by striking ``other'' the second 
place it appears.
    SEC. 323. MODIFICATION OF AVAILABILITY OF FUNDS FOR DIFFERENT 
      INTELLIGENCE ACTIVITIES.
    Subparagraph (B) of section 504(a)(3) of the National Security Act 
of 1947 (50 U.S.C. 414(a)(3)) is amended to read as follows:
        ``(B) the use of such funds for such activity supports an 
    emergent need, improves program effectiveness, or increases 
    efficiency; and''.
    SEC. 324. PROTECTION OF CERTAIN NATIONAL SECURITY INFORMATION.
    (a) Increase in Penalties for Disclosure of Undercover Intelligence 
Officers and Agents.--
        (1) Disclosure of agent after access to information identifying 
    agent.--Subsection (a) of section 601 of the National Security Act 
    of 1947 (50 U.S.C. 421) is amended by striking ``ten years'' and 
    inserting ``15 years''.
        (2) Disclosure of agent after access to classified 
    information.--Subsection (b) of such section is amended by striking 
    ``five years'' and inserting ``10 years''.
    (b) Modifications to Annual Report on Protection of Intelligence 
Identities.--The first sentence of section 603(a) of the National 
Security Act of 1947 (50 U.S.C. 423(a)) is amended by inserting 
``including an assessment of the need for any modification of this 
title for the purpose of improving legal protections for covert 
agents,'' after ``measures to protect the identities of covert 
agents,''.
    SEC. 325. EXTENSION OF AUTHORITY TO DELETE INFORMATION ABOUT 
      RECEIPT AND DISPOSITION OF FOREIGN GIFTS AND DECORATIONS.
    Paragraph (4) of section 7342(f) of title 5, United States Code, is 
amended to read as follows:
    ``(4)(A) In transmitting such listings for an element of the 
intelligence community, the head of such element may delete the 
information described in subparagraph (A) or (C) of paragraph (2) or in 
subparagraph (A) or (C) of paragraph (3) if the head of such element 
certifies in writing to the Secretary of State that the publication of 
such information could adversely affect United States intelligence 
sources or methods.
    ``(B) Any information not provided to the Secretary of State 
pursuant to the authority in subparagraph (A) shall be transmitted to 
the Director of National Intelligence who shall keep a record of such 
information.
    ``(C) In this paragraph, the term `element of the intelligence 
community' means an element of the intelligence community listed in or 
designated under section 3(4) of the National Security Act of 1947 (50 
U.S.C. 401a(4)).''.
    SEC. 326. REPORT ON COMPLIANCE WITH THE DETAINEE TREATMENT ACT OF 
      2005 AND RELATED PROVISIONS OF THE MILITARY COMMISSIONS ACT OF 
      2006.
    (a) Report Required.--Not later than 45 days after the date of the 
enactment of this Act, the Director of National Intelligence shall 
submit to the congressional intelligence committees a comprehensive 
report on all measures taken by the Office of the Director of National 
Intelligence and by each element, if any, of the intelligence community 
with relevant responsibilities to comply with the provisions of the 
Detainee Treatment Act of 2005 (title X of division A of Public Law 
109-148; 119 Stat. 2739) and related provisions of the Military 
Commissions Act of 2006 (Public Law 109-366; 120 Stat. 2600).
    (b) Elements.--The report required by subsection (a) shall include 
the following:
        (1) A description of the detention or interrogation methods, if 
    any, that have been determined to comply with section 1003 of the 
    Detainee Treatment Act of 2005 (119 Stat. 2739; 42 U.S.C. 2000dd) 
    and section 6 of the Military Commissions Act of 2006 (120 Stat. 
    2632; 18 U.S.C. 2441 note) (including the amendments made by such 
    section 6), and, with respect to each such method--
            (A) an identification of the official making such 
        determination; and
            (B) a statement of the basis for such determination.
        (2) A description of the detention or interrogation methods, if 
    any, whose use has been discontinued pursuant to the Detainee 
    Treatment Act of 2005 or the Military Commission Act of 2006, and, 
    with respect to each such method--
            (A) an identification of the official making the 
        determination to discontinue such method; and
            (B) a statement of the basis for such determination.
        (3) A description of any actions that have been taken to 
    implement section 1004 of the Detainee Treatment Act of 2005 (119 
    Stat. 2740; 42 U.S.C. 2000dd-1), and, with respect to each such 
    action--
            (A) an identification of the official taking such action; 
        and
            (B) a statement of the basis for such action.
        (4) Any other matters that the Director considers necessary to 
    fully and currently inform the congressional intelligence 
    committees about the implementation of the Detainee Treatment Act 
    of 2005 and related provisions of the Military Commissions Act of 
    2006.
        (5) An appendix containing--
            (A) all guidelines for the application of the Detainee 
        Treatment Act of 2005 and related provisions of the Military 
        Commissions Act of 2006 to the detention or interrogation 
        activities, if any, of any element of the intelligence 
        community; and
            (B) the legal justifications of any office of the 
        Department of Justice about the meaning or application of the 
        Detainee Treatment Act of 2005 or related provisions of the 
        Military Commissions Act of 2006 with respect to the detention 
        or interrogation activities, if any, of any element of the 
        intelligence community.
    (c) Form.--The report required by subsection (a) shall be submitted 
in classified form.
    (d) Submission to the Congressional Armed Services Committees.--To 
the extent that the report required by subsection (a) addresses an 
element of the intelligence community within the Department of Defense, 
that portion of the report, and any associated material that is 
necessary to make that portion understandable, shall also be submitted 
by the Director of National Intelligence to the congressional armed 
services committees.
    (e) Congressional Armed Services Committee Defined.--In this 
section, the term ``congressional armed services committees'' means--
        (1) the Committee on Armed Services of the Senate; and
        (2) the Committee on Armed Services of the House of 
    Representatives.
    SEC. 327. LIMITATION ON INTERROGATION TECHNIQUES.
    (a) Limitation.--No individual in the custody or under the 
effective control of an element of the intelligence community or 
instrumentality thereof, regardless of nationality or physical 
location, shall be subject to any treatment or technique of 
interrogation not authorized by the United States Army Field Manual on 
Human Intelligence Collector Operations.
    (b) Instrumentality Defined.--In this section, the term 
``instrumentality'', with respect to an element of the intelligence 
community, means a contractor or subcontractor at any tier of the 
element of the intelligence community.
    SEC. 328. LIMITATION ON USE OF FUNDS.
    Not more than 30 percent of the funds authorized to be appropriated 
for the Expenditure Center referred to on page 157 of Volume VI, Book 1 
of the Fiscal Year 2008 - Fiscal Year 2009 Congressional Budget 
Justification, National Intelligence Program, may be obligated or 
expended until each member of the congressional intelligence committees 
has been fully and currently informed with respect to intelligence 
regarding a facility in Syria subject to reported military action by 
the State of Israel on September 6, 2007, including intelligence 
relating to any agent or citizen of North Korea, Iran, or any other 
foreign country present at the facility, and any intelligence provided 
to the Federal Government by a foreign country regarding the facility 
(as available).
    SEC. 329. INCORPORATION OF REPORTING REQUIREMENTS.
    Each requirement to submit a report to the congressional 
intelligence committees that is included in the classified annex to 
this Act is hereby incorporated into this Act and is hereby made a 
requirement in law.
    SEC. 330. REPEAL OF CERTAIN REPORTING REQUIREMENTS.
    (a) Annual Report on Intelligence.--
        (1) Repeal.--Section 109 of the National Security Act of 1947 
    (50 U.S.C. 404d) is repealed.
        (2) Clerical amendment.--The table of contents in the first 
    section of the National Security Act of 1947 is amended by striking 
    the item relating to section 109.
    (b) Annual and Special Reports on Intelligence Sharing With the 
United Nations.--Section 112 of the National Security Act of 1947 (50 
U.S.C. 404g) is amended--
        (1) by striking subsection (b); and
        (2) by redesignating subsections (c), (d), and (e) as 
    subsections (b), (c), and (d), respectively.
    (c) Annual Certification on Counterintelligence Initiatives.--
Section 1102(b) of the National Security Act of 1947 (50 U.S.C. 
442a(b)) is amended--
        (1) by striking ``(1)''; and
        (2) by striking paragraph (2).
    (d) Report and Certification Under Terrorist Identification 
Classification System.--Section 343 of the Intelligence Authorization 
Act for Fiscal Year 2003 (50 U.S.C. 404n-2) is amended--
        (1) by striking subsection (d); and
        (2) by redesignating subsections (e), (f), (g), and (h) as 
    subsections (d), (e), (f), and (g), respectively.
    (e) Annual Report on Counterdrug Intelligence Matters.--Section 826 
of the Intelligence Authorization Act for Fiscal Year 2003 (Public Law 
107-306; 116 Stat. 2429; 21 U.S.C. 873 note) is repealed.
    (f) Conforming Amendments.--Section 507(a) of the National Security 
Act of 1947 (50 U.S.C. 415b(a)) is amended--
        (1) in paragraph (1)--
            (A) by striking subparagraphs (A) and (B); and
            (B) by redesignating subparagraphs (C) through (N) as 
        subparagraphs (A) through (L), respectively; and
        (2) in paragraph (2), by striking subparagraph (D).

  TITLE IV--MATTERS RELATING TO ELEMENTS OF THE INTELLIGENCE COMMUNITY
      Subtitle A--Office of the Director of National Intelligence

    SEC. 401. CLARIFICATION OF LIMITATION ON COLOCATION OF THE OFFICE 
      OF THE DIRECTOR OF NATIONAL INTELLIGENCE.
    Section 103(e) of the National Security Act of 1947 (50 U.S.C. 403-
3(e)) is amended--
        (1) by striking ``With'' and inserting ``of Headquarters With 
    Headquarters of'';
        (2) by inserting ``the headquarters of'' before ``the Office''; 
    and
        (3) by striking ``any other element'' and inserting ``the 
    headquarters of any other element''.
    SEC. 402. MEMBERSHIP OF THE DIRECTOR OF NATIONAL INTELLIGENCE ON 
      THE TRANSPORTATION SECURITY OVERSIGHT BOARD.
    Subparagraph (F) of section 115(b)(1) of title 49, United States 
Code, is amended to read as follows:
            ``(F) The Director of National Intelligence, or the 
        Director's designee.''.
    SEC. 403. ADDITIONAL DUTIES OF THE DIRECTOR OF SCIENCE AND 
      TECHNOLOGY.
    Section 103E of the National Security Act of 1947 (50 U.S.C. 403-
3e) is amended--
        (1) in subsection (c)--
            (A) by redesignating paragraph (5) as paragraph (7);
            (B) in paragraph (4), by striking ``and'' at the end; and
            (C) by inserting after paragraph (4) the following:
        ``(5) assist the Director in establishing goals for basic, 
    applied, and advanced research to meet the technology needs of the 
    intelligence community and to be executed by elements of the 
    intelligence community by--
            ``(A) systematically identifying, assessing, and 
        prioritizing the most significant intelligence challenges that 
        require technical solutions; and
            ``(B) examining options to enhance the responsiveness of 
        research programs;
        ``(6) submit to Congress an annual report on the science and 
    technology strategy of the Director; and''; and
        (2) in paragraph (3) of subsection (d)--
            (A) by redesignating subparagraphs (A) and (B) as 
        subparagraphs (B) and (C), respectively;
            (B) in subparagraph (B), as so redesignated, by inserting 
        ``and prioritize'' after ``coordinate''; and
            (C) by inserting before subparagraph (B), as so 
        redesignated, the following new subparagraph:
            ``(A) identify basic, advanced, and applied research 
        programs to be executed by elements of the intelligence 
        community;''.
    SEC. 404. LEADERSHIP AND LOCATION OF CERTAIN OFFICES AND OFFICIALS.
    (a) National Counter Proliferation Center.--Section 119A(a) of the 
National Security Act of 1947 (50 U.S.C. 404o-1(a)) is amended--
        (1) by striking ``(a) Establishment.--Not later than 18 months 
    after the date of the enactment of the National Security 
    Intelligence Reform Act of 2004, the'' and inserting the following:
    ``(a) In General.--
        ``(1) Establishment.--The''; and
        (2) by adding at the end the following new paragraphs:
        ``(2) Director.--The head of the National Counter Proliferation 
    Center shall be the Director of the National Counter Proliferation 
    Center, who shall be appointed by the Director of National 
    Intelligence.
        ``(3) Location.--The National Counter Proliferation Center 
    shall be located within the Office of the Director of National 
    Intelligence.''.
    (b) Officers.--Section 103(c) of that Act (50 U.S.C. 403-3(c)) is 
amended--
        (1) by redesignating paragraph (9) as paragraph (13); and
        (2) by inserting after paragraph (8) the following new 
    paragraphs:
        ``(9) The Chief Information Officer of the Intelligence 
    Community.
        ``(10) The Inspector General of the Intelligence Community.
        ``(11) The Director of the National Counterterrorism Center.
        ``(12) The Director of the National Counter Proliferation 
    Center.''.
    SEC. 405. PLAN TO IMPLEMENT RECOMMENDATIONS OF THE DATA CENTER 
      ENERGY EFFICIENCY REPORTS.
    (a) Plan.--The Director of National Intelligence shall develop a 
plan to implement the recommendations of the report submitted to 
Congress under section 1 of the Act entitled ``An Act to study and 
promote the use of energy efficient computer servers in the United 
States'' (Public Law 109-431; 120 Stat. 2920) across the intelligence 
community.
    (b) Report.--
        (1) In general.--Not later then February 1, 2008, the Director 
    of National Intelligence shall submit to the congressional 
    intelligence committees a report containing the plan developed 
    under subsection (a).
        (2) Form.--The report under paragraph (1) shall be submitted in 
    unclassified form, but may contain a classified annex.
    SEC. 406. COMPREHENSIVE LISTING OF SPECIAL ACCESS PROGRAMS.
    Not later than February 1, 2008, the Director of National 
Intelligence shall submit to the congressional intelligence committees 
a classified comprehensive listing of all special access programs under 
the National Intelligence Program (as defined in section 3(6) of the 
National Security Act of 1947 (50 U.S.C. 401a(6))). Such listing may be 
submitted in a form or forms consistent with the protection of national 
security.
    SEC. 407. REPORTS ON THE NUCLEAR PROGRAMS OF IRAN AND NORTH KOREA.
    (a) Requirement for Reports.--Not less frequently than once during 
fiscal year 2008 and twice during fiscal year 2009, the Director of 
National Intelligence shall submit to the congressional intelligence 
committees a report on the intentions and capabilities of the Islamic 
Republic of Iran and the Democratic People's Republic of Korea, with 
regard to the nuclear programs of each such country.
    (b) Content.--Each report submitted by subsection (a) shall 
include, with respect of the Islamic Republic of Iran and the 
Democratic People's Republic of Korea--
        (1) an assessment of nuclear weapons programs of each such 
    country;
        (2) an evaluation, consistent with existing reporting standards 
    and practices, of the sources upon which the intelligence used to 
    prepare the assessment described in paragraph (1) is based, 
    including the number of such sources and an assessment of the 
    reliability of each such source;
        (3) a summary of any intelligence related to any such program 
    gathered or developed since the previous report was submitted under 
    subsection (a), including intelligence collected from both open and 
    clandestine sources for each such country; and
        (4) a discussion of any dissents, caveats, gaps in knowledge, 
    or other information that would reduce confidence in the assessment 
    described in paragraph (1).
    (c) National Intelligence Estimate.--The Director of National 
Intelligence may submit a National Intelligence Estimate on the 
intentions and capabilities of the Islamic Republic of Iran and the 
Democratic People's Republic of Korea in lieu of a report required by 
subsection (a).
    (d) Form.--Each report submitted under subsection (a) may be 
submitted in classified form.
    SEC. 408. REQUIREMENTS FOR ACCOUNTABILITY REVIEWS BY THE DIRECTOR 
      OF NATIONAL INTELLIGENCE.
    (a) Responsibility of the Director of National Intelligence.--
Subsection (b) of section 102 of the National Security Act of 1947 (50 
U.S.C. 403) is amended--
        (1) in paragraph (2), by striking ``and'' at the end;
        (2) in paragraph (3)--
            (A) by striking ``2004,'' and inserting ``2004 (50 U.S.C. 
        403 note),''; and
            (B) by striking the period at the end and inserting a 
        semicolon and ``and''; and
        (3) by inserting after paragraph (3), the following new 
    paragraph:
        ``(4) conduct accountability reviews of elements of the 
    intelligence community and the personnel of such elements, if 
    appropriate.''.
    (b) Tasking and Other Authorities.--Subsection (f) of section 102A 
of such Act (50 U.S.C. 403-1) is amended--
        (1) by redesignating paragraphs (7) and (8), as paragraphs (8) 
    and (9), respectively; and
        (2) by inserting after paragraph (6), the following new 
    paragraph:
    ``(7)(A) The Director of National Intelligence shall, if the 
Director determines it is necessary, or may, if requested by a 
congressional intelligence committee, conduct accountability reviews of 
elements of the intelligence community or the personnel of such 
elements in relation to significant failures or deficiencies within the 
intelligence community.
    ``(B) The Director of National Intelligence, in consultation with 
the Attorney General, shall establish guidelines and procedures for 
conducting accountability reviews under subparagraph (A).
    ``(C) The requirements of this paragraph shall not limit any 
authority of the Director of National Intelligence under subsection (m) 
or with respect to supervision of the Central Intelligence Agency.''.
    SEC. 409. MODIFICATION OF LIMITATION ON DELEGATION BY THE DIRECTOR 
      OF NATIONAL INTELLIGENCE OF THE PROTECTION OF INTELLIGENCE 
      SOURCES AND METHODS.
    Section 102A(i)(3) of the National Security Act of 1947 (50 U.S.C. 
403-1(i)(3)) is amended by inserting before the period the following: 
``or the Chief Information Officer of the Intelligence Community''.
    SEC. 410. AUTHORITIES FOR INTELLIGENCE INFORMATION SHARING.
    (a) Authorities for Interagency Funding.--Section 102A(g)(1) of the 
National Security Act of 1947 (50 U.S.C. 403-1(g)(1)) is amended--
        (1) in subparagraph (E), by striking ``and'' at the end;
        (2) in subparagraph (F), by striking the period and inserting a 
    semicolon; and
        (3) by adding at the end the following new subparagraphs:
        ``(G) in carrying out this subsection, without regard to any 
    other provision of law (other than this Act and the National 
    Security Intelligence Reform Act of 2004 (title I of Public Law 
    108-458; 118 Stat. 3643)), expend funds and make funds available to 
    other departments or agencies of the United States for, and direct 
    the development and fielding of, systems of common concern related 
    to the collection, processing, analysis, exploitation, and 
    dissemination of intelligence information; and
        ``(H) for purposes of addressing critical gaps in intelligence 
    information sharing or access capabilities, have the authority to 
    transfer funds appropriated for a program within the National 
    Intelligence Program to a program funded by appropriations not 
    within the National Intelligence Program, consistent with 
    paragraphs (3) through (7) of subsection (d).''.
    (b) Authorities of Heads of Other Departments and Agencies.--
Notwithstanding any other provision of law, the head of any department 
or agency of the United States is authorized to receive and utilize 
funds made available to the department or agency by the Director of 
National Intelligence pursuant to section 102A(g)(1) of the National 
Security Act of 1947 (50 U.S.C. 403-1(g)(1)), as amended by subsection 
(a), and receive and utilize any system referred to in such section 
that is made available to the department or agency.
    (c) Reports.--
        (1) Requirement for reports.--Not later than February 1 of each 
    of the fiscal years 2009 through 2012, the Director of National 
    Intelligence shall submit to the congressional intelligence 
    committees a report detailing the distribution of funds and systems 
    during the preceding fiscal year pursuant to subparagraph (G) or 
    (H) of section 102A(g)(1) of the National Security Act of 1947 (50 
    U.S.C. 403-1(g)(1)), as added by subsection (a).
        (2) Content.--Each such report shall include--
            (A) a listing of the agencies or departments to which such 
        funds or systems were distributed;
            (B) a description of the purpose for which such funds or 
        systems were distributed; and
            (C) a description of the expenditure of such funds, and the 
        development, fielding, and use of such systems by the receiving 
        agency or department.
    SEC. 411. AUTHORITIES OF THE DIRECTOR OF NATIONAL INTELLIGENCE FOR 
      INTERAGENCY FUNDING.
    (a) In General.--Section 102A of the National Security Act of 1947 
(50 U.S.C. 403-1), as amended by sections 303 and 304 of this Act, is 
further amended by adding at the end the following new subsection:
    ``(u) Authorities for Interagency Funding.--(1) Notwithstanding 
section 1346 of title 31, United States Code, or any other provision of 
law prohibiting the interagency financing of activities described in 
subparagraph (A) or (B), upon the request of the Director of National 
Intelligence, any element of the intelligence community may use 
appropriated funds to support or participate in the interagency 
activities of the following:
        ``(A) National intelligence centers established by the Director 
    under section 119B.
        ``(B) Boards, commissions, councils, committees, and similar 
    groups that are established--
            ``(i) for a term of not more than 2 years; and
            ``(ii) by the Director.
    ``(2) No provision of law enacted after the date of the enactment 
of the Intelligence Authorization Act for Fiscal Year 2008 shall be 
construed to limit or supersede the authority in paragraph (1) unless 
such provision makes specific reference to the authority in that 
paragraph.''.
    (b) Reports.--Not later than February 1 of each of the fiscal years 
2009 through 2012, the Director of National Intelligence shall submit 
to the congressional intelligence committees a report detailing the 
exercise of any authority pursuant to subsection (u) of section 102A of 
the National Security Act of 1947 (50 U.S.C. 403-1), as amended by 
subsection (a), during the preceding fiscal year.
    SEC. 412. TITLE OF CHIEF INFORMATION OFFICER OF THE INTELLIGENCE 
      COMMUNITY.
    Section 103G of the National Security Act of 1947 (50 U.S.C. 403-
3g) is amended--
        (1) in subsection (a), by inserting ``of the Intelligence 
    Community'' after ``Chief Information Officer'';
        (2) in subsection (b), by inserting ``of the Intelligence 
    Community'' after ``Chief Information Officer'';
        (3) in subsection (c), by inserting ``of the Intelligence 
    Community'' after ``Chief Information Officer''; and
        (4) in subsection (d), by inserting ``of the Intelligence 
    Community'' after ``Chief Information Officer'' the first place it 
    appears.
    SEC. 413. INSPECTOR GENERAL OF THE INTELLIGENCE COMMUNITY.
    (a) Establishment.--
        (1) In general.--Title I of the National Security Act of 1947 
    (50 U.S.C. 402 et seq.) is amended by inserting after section 103G 
    the following new section:


            ``inspector general of the intelligence community

    ``Sec. 103H.  (a) Office of Inspector General of Intelligence 
Community.--There is within the Office of the Director of National 
Intelligence an Office of the Inspector General of the Intelligence 
Community.
    ``(b) Purpose.--The purpose of the Office of the Inspector General 
of the Intelligence Community is to--
        ``(1) create an objective and effective office, appropriately 
    accountable to Congress, to initiate and conduct independently 
    investigations, inspections, and audits on matters within the 
    responsibility and authority of the Director of National 
    Intelligence;
        ``(2) recommend policies designed--
            ``(A) to promote economy, efficiency, and effectiveness in 
        the administration and implementation of matters within the 
        responsibility and authority of the Director of National 
        Intelligence; and
            ``(B) to prevent and detect fraud and abuse in such 
        matters;
        ``(3) provide a means for keeping the Director of National 
    Intelligence fully and currently informed about--
            ``(A) problems and deficiencies relating to matters within 
        the responsibility and authority of the Director of National 
        Intelligence; and
            ``(B) the necessity for, and the progress of, corrective 
        actions; and
        ``(4) in the manner prescribed by this section, ensure that the 
    congressional intelligence committees are kept similarly informed 
    of--
            ``(A) significant problems and deficiencies relating to 
        matters within the responsibility and authority of the Director 
        of National Intelligence; and
            ``(B) the necessity for, and the progress of, corrective 
        actions.
    ``(c) Inspector General of Intelligence Community.--(1) There is an 
Inspector General of the Intelligence Community, who shall be the head 
of the Office of the Inspector General of the Intelligence Community, 
who shall be appointed by the President, by and with the advice and 
consent of the Senate.
    ``(2) The nomination of an individual for appointment as 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 intelligence community, and prior 
    experience in the field of intelligence or national security; and
        ``(C) on the basis of demonstrated ability in accounting, 
    financial analysis, law, management analysis, public 
    administration, or auditing.
    ``(3) The Inspector General shall report directly to and be under 
the general supervision of the Director of National Intelligence.
    ``(4) 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 the removal 
of any individual from the position of Inspector General.
    ``(d) Duties and Responsibilities.--Subject to subsections (g) and 
(h), it shall be the duty and responsibility of the Inspector General 
of the Intelligence Community--
        ``(1) to provide policy direction for, and to plan, conduct, 
    supervise, and coordinate independently, the investigations, 
    inspections, and audits relating to matters within the 
    responsibility and authority of the Director of National 
    Intelligence to ensure they are conducted efficiently and in 
    accordance with applicable law and regulations;
        ``(2) to keep the Director of National Intelligence fully and 
    currently informed concerning violations of law and regulations, 
    violations of civil liberties and privacy, fraud and other serious 
    problems, abuses, and deficiencies that may occur in matters within 
    the responsibility and authority of the Director, 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 the execution of the duties and responsibilities under 
    this section, to comply with generally accepted government auditing 
    standards.
    ``(e) Limitations on Activities.--(1) The Director of National 
Intelligence may prohibit the Inspector General of the Intelligence 
Community from initiating, carrying out, or completing any 
investigation, inspection, or audit if the Director determines that 
such prohibition is necessary to protect vital national security 
interests of the United States.
    ``(2) If the Director exercises the authority under paragraph (1), 
the Director shall submit an appropriately classified statement of the 
reasons for the exercise of such authority within 7 days to the 
congressional intelligence committees.
    ``(3) The Director shall advise the Inspector General at the time a 
report under paragraph (2) is submitted, and, to the extent consistent 
with the protection of intelligence sources and methods, provide the 
Inspector General with a copy of such report.
    ``(4) The Inspector General may submit to the congressional 
intelligence committees any comments on a report of which the Inspector 
General has notice under paragraph (3) that the Inspector General 
considers appropriate.
    ``(f) Authorities.--(1) The Inspector General of the Intelligence 
Community shall have direct and prompt access to the Director of 
National 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 any element of the intelligence 
community whose testimony is needed for the performance of the duties 
of the Inspector General.
    ``(B) 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.
    ``(C) The level of classification or compartmentation of 
information shall not, in and of itself, provide a sufficient rationale 
for denying the Inspector General access to any materials under 
subparagraph (B).
    ``(D) Failure on the part of any employee, or any employee of a 
contractor, of any element of the intelligence community to cooperate 
with the Inspector General shall be grounds for appropriate 
administrative actions by the Director or, on the recommendation of the 
Director, other appropriate officials of the intelligence community, 
including loss of employment or the termination of an existing 
contractual relationship.
    ``(3) The Inspector General is authorized to 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. Once such complaint or information has been received from 
an employee of the Federal Government--
        ``(A) 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
        ``(B) no action constituting a reprisal, or threat of reprisal, 
    for making such complaint may be taken by any employee in a 
    position to take such actions, 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 shall have authority to 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 Office of the Inspector General of the 
Intelligence Community 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 is authorized to 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 departments, agencies, and other elements of 
the United States Government, 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 of the intelligence community, including 
the Office of the Director of National Intelligence.
    ``(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.
    ``(g) Coordination Among Inspectors General of Intelligence 
Community.--(1)(A) In the event of a matter within the jurisdiction of 
the Inspector General of the Intelligence Community that may be subject 
to an investigation, inspection, or audit by both the Inspector General 
of the Intelligence Community and an Inspector General, whether 
statutory or administrative, with oversight responsibility for an 
element or elements of the intelligence community, the Inspector 
General of the Intelligence Community and such other Inspector or 
Inspectors General shall expeditiously resolve the question of which 
Inspector General shall conduct such investigation, inspection, or 
audit.
    ``(B) In attempting to resolve a question under subparagraph (A), 
the Inspectors General concerned may request the assistance of the 
Intelligence Community Inspectors General Forum established under 
subparagraph (C). In the event of a dispute between an Inspector 
General within an agency or department of the United States Government 
and the Inspector General of the Intelligence Community that has not 
been resolved with the assistance of the Forum, the Inspectors General 
shall submit the question to the Director of National Intelligence and 
the head of the agency or department for resolution.
    ``(C) There is established the Intelligence Community Inspectors 
General Forum which shall consist of all statutory or administrative 
Inspectors General with oversight responsibility for an element or 
elements of the intelligence community. The Inspector General of the 
Intelligence Community shall serve as the chair of the Forum. The Forum 
shall have no administrative authority over any Inspector General, but 
shall serve as a mechanism for informing its members of the work of 
individual members of the Forum that may be of common interest and 
discussing questions about jurisdiction or access to employees, 
employees of a contractor, records, audits, reviews, documents, 
recommendations, or other materials that may involve or be of 
assistance to more than 1 of its members.
    ``(2) The Inspector General conducting an investigation, 
inspection, or audit covered by paragraph (1) shall submit the results 
of such investigation, inspection, or audit to any other Inspector 
General, including the Inspector General of the Intelligence Community, 
with jurisdiction to conduct such investigation, inspection, or audit 
who did not conduct such investigation, inspection, or audit.
    ``(h) Staff and Other Support.--(1) The Inspector General of the 
Intelligence Community 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)(A) Subject to applicable law and the policies of the Director 
of National Intelligence, 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. The Inspector General shall 
ensure that any officer or employee so selected, appointed, or employed 
has security clearances appropriate for the assigned duties of such 
officer or employee.
    ``(B) In making selections under subparagraph (A), 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 effectively.
    ``(C) In meeting the requirements of this paragraph, the Inspector 
General shall create within the Office of the Inspector General of the 
Intelligence Community a career cadre of sufficient size to provide 
appropriate continuity and objectivity needed for the effective 
performance of the duties of the Inspector General.
    ``(3)(A) 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 department, agency, or other element of the United 
States Government.
    ``(B) Upon request of the Inspector General for information or 
assistance under subparagraph (A), the head of the department, agency, 
or element concerned shall, insofar as is practicable and not in 
contravention of any existing statutory restriction or regulation of 
the department, agency, or element, furnish to the Inspector General, 
or to an authorized designee, such information or assistance.
    ``(C) The Inspector General of the Intelligence Community may, upon 
reasonable notice to the head of any element of the intelligence 
community, conduct, as authorized by this section, an investigation, 
inspection, or audit of such element and may enter into any place 
occupied by such element for purposes of the performance of the duties 
of the Inspector General.
    ``(i) Reports.--(1)(A) The Inspector General of the Intelligence 
Community shall, not later than January 31 and July 31 of each year, 
prepare and submit to the Director of National Intelligence a 
classified, and, as appropriate, unclassified semiannual report 
summarizing the activities of the Office of the Inspector General of 
the Intelligence Community during the immediately preceding 6-month 
period ending December 31 (of the preceding year) and June 30, 
respectively. The Inspector General of the Intelligence Community shall 
provide any portion of the report involving a component of a department 
of the United States Government to the head of that department 
simultaneously with submission of the report to the Director of 
National Intelligence.
    ``(B) Each report under this paragraph shall include, at a minimum, 
the following:
        ``(i) A list of the title or subject of each investigation, 
    inspection, or audit conducted during the period covered by such 
    report, including a summary of the progress of each particular 
    investigation, inspection, or audit since the preceding report of 
    the Inspector General under this paragraph.
        ``(ii) A description of significant problems, abuses, and 
    deficiencies relating to the administration and implementation of 
    programs and operations of the intelligence community, and in the 
    relationships between elements of the intelligence community, 
    identified by the Inspector General during the period covered by 
    such report.
        ``(iii) A description of the recommendations for corrective or 
    disciplinary action made by the Inspector General during the period 
    covered by such report with respect to significant problems, 
    abuses, or deficiencies identified in clause (ii).
        ``(iv) A statement whether or not corrective or disciplinary 
    action has been completed on each significant recommendation 
    described in previous semiannual reports, 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 to all information relevant to the 
    performance of the functions of the Inspector General.
        ``(vi) A description of the exercise of the subpoena authority 
    under subsection (f)(5) by the Inspector General during the period 
    covered by such report.
        ``(vii) Such recommendations as the Inspector General considers 
    appropriate for legislation to promote economy, efficiency, and 
    effectiveness in the administration and implementation of matters 
    within the responsibility and authority of the Director of National 
    Intelligence, and to detect and eliminate fraud and abuse in such 
    matters.
    ``(C) Not later than the 30 days after the date of receipt of a 
report under subparagraph (A), the Director shall transmit the report 
to the congressional intelligence committees together with any comments 
the Director considers appropriate. The Director shall transmit to the 
committees of the Senate and of the House of Representatives with 
jurisdiction over a department of the United States Government any 
portion of the report involving a component of such department 
simultaneously with submission of the report to the congressional 
intelligence committees.
    ``(2)(A) The Inspector General shall report immediately to the 
Director whenever the Inspector General becomes aware of particularly 
serious or flagrant problems, abuses, or deficiencies relating to 
matters within the responsibility and authority of the Director of 
National Intelligence.
    ``(B) The Director shall transmit to the congressional intelligence 
committees each report under subparagraph (A) within 7 calendar days of 
receipt of such report, together with such comments as the Director 
considers appropriate. The Director shall transmit to the committees of 
the Senate and of the House of Representatives with jurisdiction over a 
department of the United States Government any portion of each report 
under subparagraph (A) that involves a problem, abuse, or deficiency 
related to a component of such department simultaneously with 
transmission of the report to the congressional intelligence 
committees.
    ``(3) In the event that--
        ``(A) the Inspector General is unable to resolve any 
    differences with the Director affecting the execution of the duties 
    or responsibilities of the Inspector General;
        ``(B) an investigation, inspection, or audit carried out by the 
    Inspector General focuses on any current or former intelligence 
    community official who--
            ``(i) holds or held a position in an element of the 
        intelligence community that is subject to appointment by the 
        President, whether or not by and with the advice and consent of 
        the Senate, including such a position held on an acting basis;
            ``(ii) holds or held a position in an element of the 
        intelligence community, including a position held on an acting 
        basis, that is appointed by the Director of National 
        Intelligence; or
            ``(iii) holds or held a position as head of an element of 
        the intelligence community or a position covered by subsection 
        (b) or (c) of section 106;
        ``(C) a matter requires a report by the Inspector General to 
    the Department of Justice on possible criminal conduct by a current 
    or former official described in subparagraph (B);
        ``(D) the Inspector General receives notice from the Department 
    of Justice declining or approving prosecution of possible criminal 
    conduct of any current or former official 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,
the Inspector General shall immediately notify and submit a report on 
such matter to the congressional intelligence committees.
    ``(4) Pursuant to title V, the Director shall submit to the 
congressional intelligence committees any report or findings and 
recommendations of an investigation, inspection, or audit conducted by 
the office which has been requested by the Chairman or Vice Chairman or 
Ranking Minority Member of either committee.
    ``(5)(A) An employee of an element of the intelligence community, 
an employee assigned or detailed to an element of the intelligence 
community, or an employee of a contractor to the intelligence community 
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 a 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 7 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 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 intelligence 
    committees in accordance with appropriate security practices.
    ``(iii) A member or employee of 1 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 any 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, abuse, violation of law or 
    Executive order, or deficiency relating to the funding, 
    administration, or operation of an intelligence activity 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, administration, or operation of an intelligence activity.
        ``(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 
    (f)(3)(B) of this section in response to an employee's reporting an 
    urgent concern in accordance with this paragraph.
    ``(H) In support of this paragraph, Congress makes the findings set 
forth in paragraphs (1) through (6) of section 701(b) of the 
Intelligence Community Whistleblower Protection Act of 1998 (title VII 
of Public Law 105-272; 5 U.S.C. App. 8H note).
    ``(6) 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 involves a program 
or operation of an element of the intelligence community, or in the 
relationships between the elements of the intelligence community, 
consistent with such guidelines as may be issued by the Attorney 
General pursuant to subsection (b)(2) of such section. A copy of each 
such report shall be furnished to the Director.
    ``(j) Separate Budget Account.--The Director of National 
Intelligence shall, in accordance with procedures to be issued by the 
Director in consultation with the congressional intelligence 
committees, include in the National Intelligence Program budget a 
separate account for the Office of Inspector General of the 
Intelligence Community.
    ``(k) Construction of Duties Regarding Elements of Intelligence 
Community.--Except as resolved pursuant to subsection (g), the 
performance by the Inspector General of the Intelligence Community of 
any duty, responsibility, or function regarding an element of the 
intelligence community shall not be construed to modify or effect the 
duties and responsibilities of any other Inspector General, whether 
statutory or administrative, having duties and responsibilities 
relating to such element.''.
        (2) Clerical amendment.--The table of contents in the first 
    section of the National Security Act of 1947 is amended by 
    inserting after the item relating to section 103G the following new 
    item:

``Sec. 103H. Inspector General of the Intelligence Community.''.

    (b) Repeal of Superseded Authority To Establish Position.--Section 
8K of the Inspector General Act of 1978 (5 U.S.C. App.) is repealed.
    (c) Executive Schedule Level IV.--Section 5315 of title 5, United 
States Code, is amended by adding at the end the following new item:
        ``Inspector General of the Intelligence Community.''.
    SEC. 414. ANNUAL REPORT ON FOREIGN LANGUAGE PROFICIENCY IN THE 
      INTELLIGENCE COMMUNITY.
    (a) Report.--
        (1) In general.--Title V of the National Security Act of 1947 
    (50 U.S.C. 413 et seq.), as amended by title III of this Act, is 
    further amended by adding at the end the following new section:


      ``report on foreign language proficiency in the intelligence 
                               community

    ``Sec. 508.  Not later than February 1 of each year, the Director 
of National Intelligence shall submit to the congressional intelligence 
committees a report on the proficiency in foreign languages and, if 
appropriate, in foreign dialects of each element of the intelligence 
community, including--
        ``(1) the number of positions authorized for such element that 
    require foreign language proficiency and the level of proficiency 
    required;
        ``(2) an estimate of the number of such positions that each 
    element will require during the 5-year period beginning on the date 
    of the submission of the report;
        ``(3) the number of positions authorized for such element that 
    require foreign language proficiency that are filled by--
            ``(A) military personnel; and
            ``(B) civilian personnel;
        ``(4) the number of applicants for positions in such element in 
    the previous fiscal year that indicated foreign language 
    proficiency, including the foreign language indicated and the 
    proficiency level;
        ``(5) the number of persons hired by such element with foreign 
    language proficiency, including the foreign language and 
    proficiency level;
        ``(6) the number of personnel of such element currently 
    attending foreign language training, including the provider of such 
    training;
        ``(7) a description of such element's efforts to recruit, hire, 
    train, and retain personnel that are proficient in a foreign 
    language;
        ``(8) an assessment of methods and models for basic, advanced, 
    and intensive foreign language training;
        ``(9) for each foreign language and, where appropriate, dialect 
    of a foreign language--
            ``(A) the number of positions of such element that require 
        proficiency in the foreign language or dialect;
            ``(B) the number of personnel of such element that are 
        serving in a position that--
                ``(i) requires proficiency in the foreign language or 
            dialect to perform the primary duty of the position; and
                ``(ii) does not require proficiency in the foreign 
            language or dialect to perform the primary duty of the 
            position;
            ``(C) the number of personnel of such element rated at each 
        level of proficiency of the Interagency Language Roundtable;
            ``(D) whether the number of personnel at each level of 
        proficiency of the Interagency Language Roundtable meets the 
        requirements of such element;
            ``(E) the number of personnel serving or hired to serve as 
        linguists for such element that are not qualified as linguists 
        under the standards of the Interagency Language Roundtable;
            ``(F) the number of personnel hired to serve as linguists 
        for such element during the preceding calendar year;
            ``(G) the number of personnel serving as linguists that 
        discontinued serving such element during the preceding calendar 
        year;
            ``(H) the percentage of work requiring linguistic skills 
        that is fulfilled by an ally of the United States; and
            ``(I) the percentage of work requiring linguistic skills 
        that is fulfilled by contractors;
        ``(10) an assessment of the foreign language capacity and 
    capabilities of the intelligence community as a whole; and
        ``(11) recommendations for eliminating required reports 
    relating to foreign-language proficiency that the Director of 
    National Intelligence considers outdated or no longer relevant.''.
        (2) Report date.--Section 507(a)(1) of such Act (50 U.S.C. 
    415b(a)(1)), as amended by section 328(f) of this Act, is further 
    amended by adding at the end the following new subparagraph:
        ``(M) The annual report on foreign language proficiency in the 
    intelligence community required by section 508.''.
    (b) Conforming Amendment.--The table of contents in the first 
section of such Act is further amended by inserting after the item 
relating to section 507 the following new item:

``Sec. 508. Report on foreign language proficiency in the intelligence 
          community.''.
    SEC. 415. DIRECTOR OF NATIONAL INTELLIGENCE REPORT ON RETIREMENT 
      BENEFITS FOR FORMER EMPLOYEES OF AIR AMERICA.
    (a) In General.--Not later than 120 days after the date of the 
enactment of this Act, the Director of National Intelligence shall 
submit to Congress a report on the advisability of providing Federal 
retirement benefits to United States citizens for the service of such 
individuals before 1977 as employees of Air America or an associated 
company while such company was owned or controlled by the United States 
Government and operated or managed by the Central Intelligence Agency.
    (b) Report Elements.--
        (1) In General.--The report required by subsection (a) shall 
    include the following:
        (A) The history of Air America and associated companies before 
    1977, including a description of--
            (i) the relationship between such companies and the Central 
        Intelligence Agency and other elements of the United States 
        Government;
            (ii) the workforce of such companies;
            (iii) the missions performed by such companies and their 
        employees for the United States; and
            (iv) the casualties suffered by employees of such companies 
        in the course of their employment with such companies.
        (B) A description of the retirement benefits contracted for or 
    promised to the employees of such companies before 1977, the 
    contributions made by such employees for such benefits, the 
    retirement benefits actually paid such employees, the entitlement 
    of such employees to the payment of future retirement benefits, and 
    the likelihood that former employees of such companies will receive 
    any future retirement benefits.
        (C) An assessment of the difference between--
            (i) the retirement benefits that former employees of such 
        companies have received or will receive by virtue of their 
        employment with such companies; and
            (ii) the retirement benefits that such employees would have 
        received and in the future receive if such employees had been, 
        or would now be, treated as employees of the United States 
        whose services while in the employ of such companies had been 
        or would now be credited as Federal service for the purpose of 
        Federal retirement benefits.
        (D) Any recommendations regarding the advisability of 
    legislative action to treat employment at such companies as Federal 
    service for the purpose of Federal retirement benefits in light of 
    the relationship between such companies and the United States 
    Government and the services and sacrifices of such employees to and 
    for the United States, and if legislative action is considered 
    advisable, a proposal for such action and an assessment of its 
    costs.
    (2) Other Content.--The Director of National Intelligence shall 
include in the report any views of the Director of the Central 
Intelligence Agency on the matters covered by the report that the 
Director of the Central Intelligence Agency considers appropriate.
    (c) Assistance of Comptroller General.--The Comptroller General of 
the United States shall, upon the request of the Director of National 
Intelligence and in a manner consistent with the protection of 
classified information, assist the Director in the preparation of the 
report required by subsection (a).
    (d) Form.--The report required by subsection (a) shall be submitted 
in unclassified form, but may include a classified annex.
    (e) Definitions.--In this section:
        (1) Air america.--The term ``Air America'' means Air America, 
    Incorporated.
        (2) Associated company.--The term ``associated company'' means 
    any company associated with or subsidiary to Air America, including 
    Air Asia Company Limited and the Pacific Division of Southern Air 
    Transport, Incorporated.
    SEC. 416. SPACE INTELLIGENCE.
    Section 102A of the National Security Act of 1947 (50 U.S.C. 403-1) 
as amended by sections 303, 304, and 411 of this Act, is further 
amended by adding at the end the following new subsection:
    ``(v) Consideration of Space Intelligence.--
        ``(1) In general.--The Director of National Intelligence shall 
    require that space-intelligence related issues and concerns are 
    fully considered in carrying out the authorities of the 
    intelligence community under this Act and under other provisions of 
    law, including in carrying out--
            ``(A) the responsibilities and authorities described under 
        subsections (f), (h), and (q); and
            ``(B) the creation of policy, and in the recruitment, 
        hiring, training, and retention of personnel.
        ``(2) Additional considerations.--The Director of National 
    Intelligence shall ensure that agencies give due consideration to 
    the vulnerability assessment prepared for a given major system, as 
    required in section 506C of this Act, at all stages of architecture 
    and system planning, development, acquisition, operation, and 
    support of a space-intelligence system.''.
    SEC. 417. OPERATIONAL FILES IN THE OFFICE OF THE DIRECTOR OF 
      NATIONAL INTELLIGENCE.
    (a) In General.--Title VII of the National Security Act of 1947 (50 
U.S.C. 431 et seq.) is amended by adding at the end the following new 
section:


      ``operational files in the office of the director of national 
                              intelligence

    ``Sec. 706.  (a) Records From Exempted Operational Files.--(1) Any 
record disseminated or otherwise provided to an element of the Office 
of the Director of National Intelligence from the exempted operational 
files of elements of the intelligence community designated in 
accordance with this title, and any operational files created by the 
Office of the Director of National Intelligence that incorporate such 
record in accordance with subparagraph (A)(ii), shall be exempted from 
the provisions of section 552 of title 5, United States Code that 
require search, review, publication, or disclosure in connection 
therewith, in any instance in which--
        ``(A)(i) such record is shared within the Office of the 
    Director of National Intelligence and not disseminated by that 
    Office beyond that Office; or
        ``(ii) such record is incorporated into new records created by 
    personnel of the Office of the Director of National Intelligence 
    and maintained in operational files of the Office of the Director 
    of National Intelligence and such record is not disseminated by 
    that Office beyond that Office; and
        ``(B) the operational files from which such record has been 
    obtained continue to remain designated as operational files 
    exempted from section 552 of title 5, United States Code.
    ``(2) The operational files of the Office of the Director of 
National Intelligence referred to in paragraph (1)(A)(ii) shall be 
substantially similar in nature to the originating operational files 
from which the record was disseminated or provided, as such files are 
defined in this title.
    ``(3) Records disseminated or otherwise provided to the Office of 
the Director of National Intelligence from other elements of the 
intelligence community that are not protected by paragraph (1), and 
that are authorized to be disseminated beyond the Office of the 
Director of National Intelligence, shall remain subject to search and 
review under section 552 of title 5, United States Code, but may 
continue to be exempted from the publication and disclosure provisions 
of that section by the originating agency to the extent that such 
section permits.
    ``(4) Notwithstanding any other provision of this title, records in 
the exempted operational files of the Central Intelligence Agency, the 
National Geospatial-Intelligence Agency, the National Reconnaissance 
Office, the National Security Agency, or the Defense Intelligence 
Agency shall not be subject to the search and review provisions of 
section 552 of title 5, United States Code, solely because they have 
been disseminated to an element or elements of the Office of the 
Director of National Intelligence, or referenced in operational files 
of the Office of the Director of National Intelligence and that are not 
disseminated beyond the Office of the Director of National 
Intelligence.
    ``(5) Notwithstanding any other provision of this title, the 
incorporation of records from the operational files of the Central 
Intelligence Agency, the National Geospatial-Intelligence Agency, the 
National Reconnaissance Office, the National Security Agency, or the 
Defense Intelligence Agency, into operational files of the Office of 
the Director of National Intelligence shall not subject that record or 
the operational files of the Central Intelligence Agency, the National 
Geospatial-Intelligence Agency, the National Reconnaissance Office, the 
National Security Agency or the Defense Intelligence Agency to the 
search and review provisions of section 552 of title 5, United States 
Code.
    ``(b) Other Records.--(1) Files in the Office of the Director of 
National Intelligence that are not exempted under subsection (a) of 
this section which contain information derived or disseminated from 
exempted operational files shall be subject to search and review under 
section 552 of title 5, United States Code.
    ``(2) The inclusion of information from exempted operational files 
in files of the Office of the Director of National Intelligence that 
are not exempted under subsection (a) shall not affect the exemption of 
the originating operational files from search, review, publication, or 
disclosure.
    ``(3) Records from exempted operational files of the Office of the 
Director of National Intelligence which have been disseminated to and 
referenced in files that are not exempted under subsection (a), and 
which have been returned to exempted operational files of the Office of 
the Director of National Intelligence for sole retention, shall be 
subject to search and review.
    ``(c) Search and Review for Certain Purposes.--Notwithstanding 
subsection (a), exempted operational files shall continue to be subject 
to search and review for information concerning any of the following:
        ``(1) United States citizens or aliens lawfully admitted for 
    permanent residence who have requested information on themselves 
    pursuant to the provisions of section 552 or 552a of title 5, 
    United States Code.
        ``(2) Any special activity the existence of which is not exempt 
    from disclosure under the provisions of section 552 of title 5, 
    United States Code.
        ``(3) The specific subject matter of an investigation by any of 
    the following for any impropriety, or violation of law, Executive 
    order, or Presidential directive, in the conduct of an intelligence 
    activity:
            ``(A) The Select Committee on Intelligence of the Senate.
            ``(B) The Permanent Select Committee on Intelligence of the 
        House of Representatives.
            ``(C) The Intelligence Oversight Board.
            ``(D) The Department of Justice.
            ``(E) The Office of the Director of National Intelligence.
            ``(F) The Office of the Inspector General of the 
        Intelligence Community.
    ``(d) Decennial Review of Exempted Operational Files.--(1) Not less 
than once every 10 years, the Director of National Intelligence shall 
review the operational files exempted under subsection (a) to determine 
whether such files, or any portion of such files, may be removed from 
the category of exempted files.
    ``(2) The review required by paragraph (1) shall include 
consideration of the historical value or other public interest in the 
subject matter of the particular category of files or portions thereof 
and the potential for declassifying a significant part of the 
information contained therein.
    ``(3) A complainant that alleges that the Director of National 
Intelligence has improperly withheld records because of failure to 
comply with this subsection may seek judicial review in the district 
court of the United States of the district in which any of the parties 
reside, or in the District of Columbia. In such a proceeding, the 
court's review shall be limited to determining the following:
        ``(A) Whether the Director has conducted the review required by 
    paragraph (1) before the expiration of the 10-year period beginning 
    on the date of the enactment of the Intelligence Authorization Act 
    for Fiscal Year 2008 or before the expiration of the 10-year period 
    beginning on the date of the most recent review.
        ``(B) Whether the Director of National Intelligence, in fact, 
    considered the criteria set forth in paragraph (2) in conducting 
    the required review.
    ``(e) Supersedure of Other Laws.--The provisions of this section 
may not be superseded except by a provision of law that is enacted 
after the date of the enactment of this section and that specifically 
cites and repeals or modifies such provisions.
    ``(f) Applicability.--The Director of National Intelligence will 
publish a regulation listing the specific elements within the Office of 
the Director of National Intelligence whose records can be exempted 
from search and review under this section.
    ``(g) Allegation; Improper Withholding of Records; Judicial 
Review.--(1) Except as provided in paragraph (2), whenever any person 
who has requested agency records under section 552 of title 5, United 
States Code, alleges that the Office of the Director of National 
Intelligence has withheld records improperly because of failure to 
comply with any provision of this section, judicial review shall be 
available under the terms set forth in section 552(a)(4)(B) of title 5, 
United States Code.
    ``(2) Judicial review shall not be available in the manner provided 
for under paragraph (1) as follows:
        ``(A) In any case in which information specifically authorized 
    under criteria established by an Executive order to be kept secret 
    in the interests of national defense or foreign relations is filed 
    with, or produced for, the court by the Office of the Director of 
    National Intelligence, such information shall be examined ex parte, 
    in camera by the court.
        ``(B) The court shall determine, to the fullest extent 
    practicable, the issues of fact based on sworn written submissions 
    of the parties.
        ``(C) When a complainant alleges that requested records are 
    improperly withheld because of improper placement solely in 
    exempted operational files, the complainant shall support such 
    allegation with a sworn written submission based upon personal 
    knowledge or otherwise admissible evidence.
        ``(D)(i) When a complainant alleges that requested records were 
    improperly withheld because of improper exemption of operational 
    files, the Office of the Director of National Intelligence shall 
    meet its burden under section 552(a)(4)(B) of title 5, United 
    States Code, by demonstrating to the court by sworn written 
    submission that exempted operational files likely to contain 
    responsive records currently meet the criteria set forth in 
    subsection (a).
        ``(ii) The court may not order the Office of the Director of 
    National Intelligence to review the content of any exempted 
    operational file or files in order to make the demonstration 
    required under clause (i), unless the complainant disputes the 
    Office's showing with a sworn written submission based on personal 
    knowledge or otherwise admissible evidence.
        ``(E) In proceedings under subparagraph (C) or (D), a party may 
    not obtain discovery pursuant to rules 26 through 36 of the Federal 
    Rules of Civil Procedure, except that requests for admissions may 
    be made pursuant to rules 26 and 36.
        ``(F) If the court finds under this subsection that the Office 
    of the Director of National Intelligence has improperly withheld 
    requested records because of failure to comply with any provision 
    of this section, the court shall order the Office to search and 
    review the appropriate exempted operational file or files for the 
    requested records and make such records, or portions thereof, 
    available in accordance with the provisions of section 552 of title 
    5, United States Code, and such order shall be the exclusive remedy 
    for failure to comply with this section.
        ``(G) If at any time following the filing of a complaint 
    pursuant to this paragraph the Office of the Director of National 
    Intelligence agrees to search the appropriate exempted operational 
    file or files for the requested records, the court shall dismiss 
    the claim based upon such complaint.''.
    (b) Clerical Amendment.--The table of contents in the first section 
of the National Security Act of 1947 is amended by inserting after the 
item relating to section 705 the following new item:

``Sec. 706. Operational files in the Office of the Director of National 
          Intelligence.''.
    SEC. 418. INAPPLICABILITY OF FEDERAL ADVISORY COMMITTEE ACT TO 
      ADVISORY COMMITTEES OF THE OFFICE OF THE DIRECTOR OF NATIONAL 
      INTELLIGENCE.
    Section 4(b) of the Federal Advisory Committee Act (5 U.S.C. App.) 
is amended--
        (1) in paragraph (1), by striking ``or'';
        (2) in paragraph (2), by striking the period and inserting ``; 
    or''; and
        (3) by adding at the end the following new paragraph:
        ``(3) the Office of the Director of National Intelligence.''.
    SEC. 419. APPLICABILITY OF THE PRIVACY ACT TO THE DIRECTOR OF 
      NATIONAL INTELLIGENCE AND THE OFFICE OF THE DIRECTOR OF NATIONAL 
      INTELLIGENCE.
    Subsection (j) of section 552a of title 5, United States Code, is 
amended--
        (1) in paragraph (1), by striking ``or'';
        (2) by redesignating paragraph (2) as paragraph (3); and
        (3) by inserting after paragraph (1) the following new 
    paragraph:
        ``(2) maintained by the Office of the Director of National 
    Intelligence; or''.
    SEC. 420. REPEAL OF CERTAIN AUTHORITIES RELATING TO THE OFFICE OF 
      THE NATIONAL COUNTERINTELLIGENCE EXECUTIVE.
    (a) Repeal of Certain Authorities.--Section 904 of the 
Counterintelligence Enhancement Act of 2002 (title IX of Public Law 
107-306; 50 U.S.C. 402c) is amended--
        (1) by striking subsections (d), (h), (i), and (j); and
        (2) by redesignating subsections (e), (f), (g), (k), (l), and 
    (m) as subsections (d), (e), (f), (g), (h), and (i), respectively; 
    and
        (3) in subsection (f), as redesignated by paragraph (2), by 
    striking paragraphs (3) and (4).
    (b) Conforming Amendments.--Such section 904 is further amended--
        (1) in subsection (d), as redesignated by subsection (a)(2) of 
    this section, by striking ``subsection (f)'' each place it appears 
    in paragraphs (1) and (2) and inserting ``subsection (e)''; and
        (2) in subsection (e), as so redesignated--
            (A) in paragraph (1), by striking ``subsection (e)(1)'' and 
        inserting ``subsection (d)(1)''; and
            (B) in paragraph (2), by striking ``subsection (e)(2)'' and 
        inserting ``subsection (d)(2)''.

                Subtitle B--Central Intelligence Agency

    SEC. 431. REVIEW OF COVERT ACTION PROGRAMS BY INSPECTOR GENERAL OF 
      THE CENTRAL INTELLIGENCE AGENCY.
    (a) In General.--Section 503 of the National Security Act of 1947 
(50 U.S.C. 413b) is amended by--
        (1) redesignating subsection (e) as subsection (g) and 
    transferring such subsection to the end; and
        (2) by inserting after subsection (d) the following new 
    subsection:
    ``(e) Inspector General Audits of Covert Actions.--
        ``(1) In general.--Subject to paragraph (2), the Inspector 
    General of the Central Intelligence Agency shall conduct an audit 
    of each covert action at least every 3 years. Such audits shall be 
    conducted subject to the provisions of paragraphs (3) and (4) of 
    subsection (b) of section 17 of the Central Intelligence Agency Act 
    of 1949 (50 U.S.C. 403q).
        ``(2) Terminated, suspended programs.--The Inspector General of 
    the Central Intelligence Agency is not required to conduct an audit 
    under paragraph (1) of a covert action that has been terminated or 
    suspended if such covert action was terminated or suspended prior 
    to the last audit of such covert action conducted by the Inspector 
    General and has not been restarted after the date on which such 
    audit was completed.
        ``(3) Report.--Not later than 60 days after the completion of 
    an audit conducted pursuant to paragraph (1), the Inspector General 
    of the Central Intelligence Agency shall submit to the 
    congressional intelligence committees a report containing the 
    results of such audit.''.
    (b) Conforming Amendments.--Title V of the National Security Act of 
1947 (50 U.S.C. 413 et seq.) is amended--
        (1) in section 501(f) (50 U.S.C. 413(f)), by striking 
    ``503(e)'' and inserting ``503(g)'';
        (2) in section 502(a)(1) (50 U.S.C. 413b(a)(1)), by striking 
    ``503(e)'' and inserting ``503(g)''; and
        (3) in section 504(c) (50 U.S.C. 414(c)), by striking 
    ``503(e)'' and inserting ``503(g)''.
    SEC. 432. INAPPLICABILITY TO DIRECTOR OF THE CENTRAL INTELLIGENCE 
      AGENCY OF REQUIREMENT FOR ANNUAL REPORT ON PROGRESS IN AUDITABLE 
      FINANCIAL STATEMENTS.
    Section 114A of the National Security Act of 1947 (50 U.S.C. 404i-
1) is amended by striking ``the Director of the Central Intelligence 
Agency,''.
    SEC. 433. ADDITIONAL FUNCTIONS AND AUTHORITIES FOR PROTECTIVE 
      PERSONNEL OF THE CENTRAL INTELLIGENCE AGENCY.
    (a) In General.--Section 5(a)(4) of the Central Intelligence Agency 
Act of 1949 (50 U.S.C. 403f(a)(4)) is amended--
        (1) by inserting ``(A)'' after ``(4)'';
        (2) in subparagraph (A), as so designated--
            (A) by striking ``and the protection'' and inserting ``the 
        protection''; and
            (B) by striking the semicolon and inserting ``, and the 
        protection of the Director of National Intelligence and such 
        personnel of the Office of the Director of National 
        Intelligence as the Director of National Intelligence may 
        designate; and''; and
        (3) by adding at the end the following new subparagraph:
        ``(B) Authorize personnel engaged in the performance of 
    protective functions authorized pursuant to subparagraph (A), when 
    engaged in, and in furtherance of, the performance of such 
    functions, to make arrests without warrant for any offense against 
    the United States committed in the presence of such personnel, or 
    for any felony cognizable under the laws of the United States, if 
    such personnel have reasonable grounds to believe that the person 
    to be arrested has committed or is committing such felony, except 
    that any authority pursuant to this subparagraph may be exercised 
    only in accordance with guidelines approved by the Director and the 
    Attorney General and such personnel may not exercise any authority 
    for the service of civil process or for the investigation of 
    criminal offenses;''.
    (b) Requirement To Report.--As soon as possible after the date of 
an exercise of authority under subparagraph (B) of section 5(a)(4) of 
the Central Intelligence Agency Act of 1949 (50 U.S.C. 403f(a)(4)), as 
added by subsection (a)(3), and not later than 10 days after such date, 
the Director of the Central Intelligence Agency shall submit to the 
congressional intelligence committees a report describing such exercise 
of authority.
    SEC. 434. TECHNICAL AMENDMENTS RELATING TO TITLES OF CERTAIN 
      CENTRAL INTELLIGENCE AGENCY POSITIONS.
    Section 17(d)(3)(B)(ii) of the Central Intelligence Agency Act of 
1949 (50 U.S.C. 403q(d)(3)(B)(ii)) is amended--
        (1) in subclause (I), by striking ``Executive Director'' and 
    inserting ``Associate Deputy Director'';
        (2) in subclause (II), by striking ``Deputy Director for 
    Operations'' and inserting ``Director of the National Clandestine 
    Service'';
        (3) in subclause (III), by striking ``Deputy Director for 
    Intelligence'' and inserting ``Director of Intelligence'';
        (4) in subclause (IV), by striking ``Deputy Director for 
    Administration'' and inserting ``Director of Support''; and
        (5) in subclause (V), by striking ``Deputy Director for Science 
    and Technology'' and inserting ``Director of Science and 
    Technology''.
    SEC. 435. CLARIFYING AMENDMENTS RELATING TO SECTION 105 OF THE 
      INTELLIGENCE AUTHORIZATION ACT FOR FISCAL YEAR 2004.
    Section 105(b) of the Intelligence Authorization Act for Fiscal 
Year 2004 (Public Law 108-177; 117 Stat. 2603; 31 U.S.C. 311 note) is 
amended--
        (1) by striking ``Director of Central Intelligence'' and 
    inserting ``Director of National Intelligence''; and
        (2) by inserting ``or in section 313 of such title,'' after 
    ``subsection (a)),''.

              Subtitle C--Defense Intelligence Components

    SEC. 441. ENHANCEMENT OF NATIONAL SECURITY AGENCY TRAINING PROGRAM.
    Subsection (e) of section 16 of the National Security Agency Act of 
1959 (50 U.S.C. 402 note) is amended by striking ``(1) When an 
employee'' and all that follows through ``(2) Agency efforts'' and 
inserting ``Agency efforts''.
    SEC. 442. CODIFICATION OF AUTHORITIES OF NATIONAL SECURITY AGENCY 
      PROTECTIVE PERSONNEL.
    The National Security Agency Act of 1959 (50 U.S.C. 402 note) is 
amended by adding at the end the following new section:
    ``Sec. 21. (a) The Director of the National Security Agency is 
authorized to designate personnel of the National Security Agency to 
perform protective functions for the Director and for any personnel of 
the Agency designated by the Director.
    ``(b)(1) In the performance of protective functions under this 
section, personnel of the Agency designated to perform protective 
functions pursuant to subsection (a) are authorized, when engaged in, 
and in furtherance of, the performance of such functions, to make 
arrests without a warrant for--
        ``(A) any offense against the United States committed in the 
    presence of such personnel; or
        ``(B) any felony cognizable under the laws of the United States 
    if such personnel have reasonable grounds to believe that the 
    person to be arrested has committed or is committing such felony.
    ``(2) The authority in paragraph (1) may be exercised only in 
accordance with guidelines approved by the Director and the Attorney 
General.
    ``(3) Personnel of the Agency designated to perform protective 
functions pursuant to subsection (a) shall not exercise any authority 
for the service of civil process or the investigation of criminal 
offenses.
    ``(c) Nothing in this section shall be construed to impair or 
otherwise affect any authority under any other provision of law 
relating to the performance of protective functions.
    ``(d) As soon as possible after the date of an exercise of 
authority under this section and not later than 10 days after such 
date, the Director shall submit to the congressional intelligence 
committees a report describing such exercise of authority.
    ``(e) In this section, the term `congressional intelligence 
committees' means--
        ``(1) the Select Committee on Intelligence of the Senate; and
        ``(2) the Permanent Select Committee on Intelligence of the 
    House of Representatives.''.
    SEC. 443. INSPECTOR GENERAL MATTERS.
    (a) Coverage Under Inspector General Act of 1978.--Subsection 
(a)(2) of section 8G of the Inspector General Act of 1978 (5 U.S.C. 
App. 8G) is amended--
        (1) by inserting ``the Defense Intelligence Agency,'' after 
    ``the Corporation for Public Broadcasting,'';
        (2) by inserting ``the National Geospatial-Intelligence 
    Agency,'' after ``the National Endowment for the Humanities,''; and
        (3) by inserting ``the National Reconnaissance Office, the 
    National Security Agency,'' after ``the National Labor Relations 
    Board,''.
    (b) Certain Designations Under Inspector General Act of 1978.--
Subsection (a) of section 8H of the Inspector General Act of 1978 (5 
U.S.C. App. 8H) is amended by adding at the end the following new 
paragraph:
    ``(3) The Inspectors General of the Defense Intelligence Agency, 
the National Geospatial-Intelligence Agency, the National 
Reconnaissance Office, and the National Security Agency shall be 
designees of the Inspector General of the Department of Defense for 
purposes of this section.''.
    (c) Power of Heads of Elements Over Investigations.--Subsection (d) 
of section 8G of that Act--
        (1) by inserting ``(1)'' after ``(d)'';
        (2) in the second sentence of paragraph (1), as designated by 
    paragraph (1) of this subsection, by striking ``The head'' and 
    inserting ``Except as provided in paragraph (2), the head''; and
        (3) by adding at the end the following new paragraph:
    ``(2)(A) The Secretary of Defense, in consultation with the 
Director of National Intelligence, may prohibit the Inspector General 
of an element of the intelligence community specified in subparagraph 
(D) from initiating, carrying out, or completing any audit or 
investigation if the Secretary determines that the prohibition is 
necessary to protect vital national security interests of the United 
States.
    ``(B) If the Secretary exercises the authority under subparagraph 
(A), the Secretary shall submit to the committees of Congress specified 
in subparagraph (E) an appropriately classified statement of the 
reasons for the exercise of the authority not later than 7 days after 
the exercise of the authority.
    ``(C) At the same time the Secretary submits under subparagraph (B) 
a statement on the exercise of the authority in subparagraph (A) to the 
committees of Congress specified in subparagraph (E), the Secretary 
shall notify the Inspector General of such element of the submittal of 
such statement and, to the extent consistent with the protection of 
intelligence sources and methods, provide the Inspector General with a 
copy of such statement. The Inspector General may submit to such 
committees of Congress any comments on a notice or statement received 
by the Inspector General under this subparagraph that the Inspector 
General considers appropriate.
    ``(D) The elements of the intelligence community specified in this 
subparagraph are as follows:
        ``(i) The Defense Intelligence Agency.
        ``(ii) The National Geospatial-Intelligence Agency.
        ``(iii) The National Reconnaissance Office.
        ``(iv) The National Security Agency.
    ``(E) The committees of Congress specified in this subparagraph 
are--
        ``(i) the Committee on Armed Services and the Select Committee 
    on Intelligence of the Senate; and
        ``(ii) the Committee on Armed Services and the Permanent Select 
    Committee on Intelligence of the House of Representatives.''.
    SEC. 444. CONFIRMATION OF APPOINTMENT OF HEADS OF CERTAIN 
      COMPONENTS OF THE INTELLIGENCE COMMUNITY.
    (a) Director of National Security Agency.--The National Security 
Agency Act of 1959 (50 U.S.C. 402 note) is amended by inserting after 
the first section the following new section:
    ``Sec. 2. (a) There is a Director of the National Security Agency.
    ``(b) The Director of the National Security Agency shall be 
appointed by the President, by and with the advice and consent of the 
Senate.
    ``(c) The Director of the National Security Agency shall be the 
head of the National Security Agency and shall discharge such functions 
and duties as are provided by this Act or otherwise by law.''.
    (b) Director of National Reconnaissance Office.--The Director of 
the National Reconnaissance Office shall be appointed by the President, 
by and with the advice and consent of the Senate.
    (c) Positions of Importance and Responsibility.--
        (1) Designation of positions.--The President may designate any 
    of the positions referred to in paragraph (2) as positions of 
    importance and responsibility under section 601 of title 10, United 
    States Code.
        (2) Covered positions.--The positions referred to in this 
    paragraph are as follows:
            (A) The Director of the National Security Agency.
            (B) The Director of the National Reconnaissance Office.
    (d) Effective Date and Applicability.--The amendments made by 
subsections (a) and (b) shall take effect on the date of the enactment 
of this Act and shall apply upon the earlier of--
        (1) the date of the nomination by the President of an 
    individual to serve in the position concerned, except that the 
    individual serving in such position as of the date of the enactment 
    of this Act may continue to perform such duties after such date of 
    nomination and until the individual appointed to such position, by 
    and with the advice and consent of the Senate, assumes the duties 
    of such position; or
        (2) the date of the cessation of the performance of the duties 
    of such position by the individual performing such duties as of the 
    date of the enactment of this Act.
    SEC. 445. CLARIFICATION OF NATIONAL SECURITY MISSIONS OF NATIONAL 
      GEOSPATIAL-INTELLIGENCE AGENCY FOR ANALYSIS AND DISSEMINATION OF 
      CERTAIN INTELLIGENCE INFORMATION.
    Section 442(a) of title 10, United States Code, is amended--
        (1) by redesignating paragraph (2) as paragraph (3);
        (2) by inserting after paragraph (1) the following new 
    paragraph (2):
    ``(2)(A) As directed by the Director of National Intelligence, the 
National Geospatial-Intelligence Agency shall also develop a system to 
facilitate the analysis, dissemination, and incorporation of 
likenesses, videos, and presentations produced by ground-based 
platforms, including handheld or clandestine photography taken by or on 
behalf of human intelligence collection organizations or available as 
open-source information, into the National System for Geospatial 
Intelligence.
    ``(B) The authority provided by this paragraph does not include 
authority for the National Geospatial-Intelligence Agency to manage 
tasking of handheld or clandestine photography taken by or on behalf of 
human intelligence collection organizations.''; and
        (3) in paragraph (3), as so redesignated, by striking 
    ``paragraph (1)'' and inserting ``paragraphs (1) and (2)''.
    SEC. 446. SECURITY CLEARANCES IN THE NATIONAL GEOSPATIAL-
      INTELLIGENCE AGENCY.
    The Secretary of Defense shall, during the period beginning on the 
date of the enactment of this Act and ending on December 31, 2008, 
delegate to the Director of the National Geospatial-Intelligence Agency 
personnel security authority with respect to the National Geospatial-
Intelligence Agency (including authority relating to the use of 
contractor personnel in investigations and adjudications for security 
clearances) that is identical to the personnel security authority of 
the Director of the National Security Agency with respect to the 
National Security Agency.

                       Subtitle D--Other Elements

    SEC. 451. CLARIFICATION OF INCLUSION OF COAST GUARD AND DRUG 
      ENFORCEMENT ADMINISTRATION AS ELEMENTS OF THE INTELLIGENCE 
      COMMUNITY.
    Section 3(4) of the National Security Act of 1947 (50 U.S.C. 
401a(4)) is amended--
        (1) in subparagraph (H)--
            (A) by inserting ``the Coast Guard,'' after ``the Marine 
        Corps,''; and
            (B) by inserting ``the Drug Enforcement Administration,'' 
        after ``the Federal Bureau of Investigation,''; and
        (2) in subparagraph (K), by striking ``, including the Office 
    of Intelligence of the Coast Guard''.

                         TITLE V--OTHER MATTERS
                Subtitle A--General Intelligence Matters

    SEC. 501. EXTENSION OF NATIONAL COMMISSION FOR THE REVIEW OF THE 
      RESEARCH AND DEVELOPMENT PROGRAMS OF THE UNITED STATES 
      INTELLIGENCE COMMUNITY.
    (a) Extension.--
        (1) In general.--Subsection (a) of section 1007 of the 
    Intelligence Authorization Act for Fiscal Year 2003 (Public Law 
    107-306; 116 Stat. 2442) is amended by striking ``September 1, 
    2004'' and inserting ``December 31, 2008''.
        (2) Effective date.--Subject to paragraph (3), the amendment 
    made by paragraph (1) shall take effect as if included in the 
    enactment of such section 1007.
        (3) Commission membership.--
            (A) In general.--The membership of the National Commission 
        for the Review of the Research and Development Programs of the 
        United States Intelligence Community established under 
        subsection (a) of section 1002 of such Act (Public Law 107-306; 
        116 Stat. 2438) (referred to in this section as the 
        ``Commission'') shall be considered vacant and new members 
        shall be appointed in accordance with such section 1002, as 
        amended by subparagraph (B).
            (B) Technical amendment.--Paragraph (1) of subsection (b) 
        of such section 1002 is amended by striking ``The Deputy 
        Director of Central Intelligence for Community Management.'' 
        and inserting ``The Principal Deputy Director of National 
        Intelligence.''.
    (b) Funding.--
        (1) In general.--Of the amounts authorized to be appropriated 
    by this Act for the Intelligence Community Management Account, the 
    Director of National Intelligence shall make $2,000,000 available 
    to the Commission to carry out title X of the Intelligence 
    Authorization Act for Fiscal Year 2003 (Public Law 107-306; 116 
    Stat. 2437).
        (2) Availability.--Amounts made available to the Commission 
    pursuant to paragraph (1) shall remain available until expended.
    SEC. 502. REPORT ON INTELLIGENCE ACTIVITIES.
    Not later than 120 days after the date of the enactment of this 
Act, the Director of National Intelligence shall submit to the 
congressional intelligence committees a report describing 
authorizations, if any, granted during the 10-year period ending on the 
date of the enactment of this Act to engage in intelligence activities 
related to the overthrow of a democratically elected government.
    SEC. 503. AERIAL RECONNAISSANCE PLATFORMS.
    Section 133(b) of the John Warner National Defense Authorization 
Act for Fiscal Year 2007 (Public Law 109-364; 120 Stat. 2112) is 
amended--
        (1) in paragraph (1)--
            (A) by striking ``After fiscal year 2007'' and inserting 
        ``For each fiscal year after fiscal year 2007''; and
            (B) by inserting ``, in that fiscal year,'' after 
        ``Secretary of Defense''; and
        (2) in paragraph (2)--
            (A) by inserting ``in a fiscal year'' after ``Department of 
        Defense''; and
            (B) by inserting ``in that fiscal year'' after 
        ``Congress''.

                    Subtitle B--Technical Amendments

    SEC. 511. TECHNICAL AMENDMENTS TO TITLE 10, UNITED STATES CODE, 
      ARISING FROM ENACTMENT OF THE INTELLIGENCE REFORM AND TERRORISM 
      PREVENTION ACT OF 2004.
    (a) References to Head of Intelligence Community.--Title 10, United 
States Code, is amended by striking ``Director of Central 
Intelligence'' each place it appears and inserting ``Director of 
National Intelligence'' in the following:
        (1) Section 193(d)(2).
        (2) Section 193(e).
        (3) Section 201(a).
        (4) Section 201(b)(1).
        (5) Section 201(c)(1).
        (6) Section 425(a).
        (7) Section 431(b)(1).
        (8) Section 441(c).
        (9) Section 441(d).
        (10) Section 443(d).
        (11) Section 2273(b)(1).
        (12) Section 2723(a).
    (b) Clerical Amendments.--Such title is further amended by striking 
``Director of Central Intelligence'' each place it appears and 
inserting ``Director of National Intelligence'' in the following:
        (1) Section 441(c).
        (2) Section 443(d).
    (c) Reference to Head of Central Intelligence Agency.--Section 444 
of such title is amended by striking ``Director of Central 
Intelligence'' each place it appears and inserting ``Director of the 
Central Intelligence Agency''.
    SEC. 512. TECHNICAL AMENDMENT TO THE CENTRAL INTELLIGENCE AGENCY 
      ACT OF 1949.
    Section 5(a)(1) of the Central Intelligence Agency Act of 1949 (50 
U.S.C. 403f(a)(1)) is amended by striking ``authorized under paragraphs 
(2) and (3) of section 102(a), subsections (c)(7) and (d) of section 
103, subsections (a) and (g) of section 104, and section 303 of the 
National Security Act of 1947 (50 U.S.C. 403(a)(2), (3), 403-3(c)(7), 
(d), 403-4(a), (g), and 405)'' and inserting ``authorized under section 
104A of the National Security Act of 1947 (50 U.S.C. 403-4a).''.
    SEC. 513. TECHNICAL AMENDMENTS RELATING TO THE MULTIYEAR NATIONAL 
      INTELLIGENCE PROGRAM.
    (a) In General.--Subsection (a) of section 1403 of the National 
Defense Authorization Act for Fiscal Year 1991 (50 U.S.C. 404b) is 
amended--
        (1) in the heading, by striking ``Foreign''; and
        (2) by striking ``foreign'' each place it appears.
    (b) Responsibility of Director of National Intelligence.--That 
section is further amended--
        (1) in subsections (a) and (c), by striking ``Director of 
    Central Intelligence'' and inserting ``Director of National 
    Intelligence''; and
        (2) in subsection (b), by inserting ``of National 
    Intelligence'' after ``Director''.
    (c) Conforming Amendment.--The heading of that section is amended 
to read as follows:
``SEC. 1403. MULTIYEAR NATIONAL INTELLIGENCE PROGRAM.''.
    SEC. 514. TECHNICAL CLARIFICATION OF CERTAIN REFERENCES TO JOINT 
      MILITARY INTELLIGENCE PROGRAM AND TACTICAL INTELLIGENCE AND 
      RELATED ACTIVITIES.
    Section 102A of the National Security Act of 1947 (50 U.S.C. 403-1) 
is amended--
        (1) in subsection (c)(3)(A), by striking ``annual budgets for 
    the Joint Military Intelligence Program and for Tactical 
    Intelligence and Related Activities'' and inserting ``annual budget 
    for the Military Intelligence Program or any successor program or 
    programs''; and
        (2) in subsection (d)(1)(B), by striking ``Joint Military 
    Intelligence Program'' and inserting ``Military Intelligence 
    Program or any successor program or programs''.
    SEC. 515. TECHNICAL AMENDMENTS TO THE NATIONAL SECURITY ACT OF 
      1947.
    The National Security Act of 1947 (50 U.S.C. 401 et seq.) is 
amended as follows:
        (1) In section 102A (50 U.S.C. 403-1)--
            (A) in subsection (d)--
                (i) in paragraph (3), by striking ``subparagraph (A)'' 
            in the matter preceding subparagraph (A) and inserting 
            ``paragraph (1)(A)'';
                (ii) in paragraph (5)(A), by striking ``or personnel'' 
            in the matter preceding clause (i); and
                (iii) in paragraph (5)(B), by striking ``or agency 
            involved'' in the second sentence and inserting ``involved 
            or the Director of the Central Intelligence Agency (in the 
            case of the Central Intelligence Agency)'';
            (B) in subsection (l)(2)(B), by striking ``section'' and 
        inserting ``paragraph''; and
            (C) in subsection (n), by inserting ``and Other'' after 
        ``Acquisition''.
        (2) In section 119(c)(2)(B) (50 U.S.C. 404o(c)(2)(B)), by 
    striking ``subsection (h)'' and inserting ``subsection (i)''.
        (3) In section 705(e)(2)(D)(i) (50 U.S.C. 432c(e)(2)(D)(i)), by 
    striking ``responsible'' and inserting ``responsive''.
    SEC. 516. TECHNICAL AMENDMENTS TO THE INTELLIGENCE REFORM AND 
      TERRORISM PREVENTION ACT OF 2004.
    (a) Amendments to National Security Intelligence Reform Act of 
2004.--The National Security Intelligence Reform Act of 2004 (title I 
of Public Law 108-458; 118 Stat. 3643) is amended as follows:
        (1) In section 1016(e)(10)(B) (6 U.S.C. 485(e)(10)(B)), by 
    striking ``Attorney General'' the second place it appears and 
    inserting ``Department of Justice''.
        (2) In section 1071(e), by striking ``(1)''.
        (3) In section 1072(b), in the subsection heading by inserting 
    ``Agency'' after ``Intelligence''.
    (b) Other Amendments to Intelligence Reform and Terrorism 
Prevention Act of 2004.--The Intelligence Reform and Terrorism 
Prevention Act of 2004 (Public Law 108-458; 118 Stat. 3638) is amended 
as follows:
        (1) In section 2001 (28 U.S.C. 532 note)--
            (A) in subsection (c)(1), by inserting ``of'' before ``an 
        institutional culture'';
            (B) in subsection (e)(2), by striking ``the National 
        Intelligence Director in a manner consistent with section 
        112(e)'' and inserting ``the Director of National Intelligence 
        in a manner consistent with applicable law''; and
            (C) in subsection (f), by striking ``shall,'' in the matter 
        preceding paragraph (1) and inserting ``shall''.
        (2) In section 2006 (28 U.S.C. 509 note)--
            (A) in paragraph (2), by striking ``the Federal'' and 
        inserting ``Federal''; and
            (B) in paragraph (3), by striking ``the specific'' and 
        inserting ``specific''.
    SEC. 517. TECHNICAL AMENDMENTS TO THE EXECUTIVE SCHEDULE.
    (a) Executive Schedule Level II.--Section 5313 of title 5, United 
States Code, is amended by striking the item relating to the Director 
of Central Intelligence and inserting the following new item:
        
    ``Director of the Central Intelligence Agency.''.
    (b) Executive Schedule Level III.--Section 5314 of title 5, United 
States Code, is amended by striking the item relating to the Deputy 
Directors of Central Intelligence and inserting the following new item:
        
    ``Deputy Director of the Central Intelligence Agency.''.
    (c) Executive Schedule Level IV.--Section 5315 of title 5, United 
States Code, is amended by striking the item relating to the General 
Counsel of the Office of the National Intelligence Director and 
inserting the following new item:
        
    ``General Counsel of the Office of the Director of National 
    Intelligence.''.

                               Speaker of the House of Representatives.

                            Vice President of the United States and    
                                               President of the Senate.