[Congressional Bills 110th Congress]
[From the U.S. Government Publishing Office]
[S. 2996 Placed on Calendar Senate (PCS)]






                                                       Calendar No. 730
110th CONGRESS
  2d Session
                                S. 2996

                          [Report No. 110-333]

 To authorize appropriations for fiscal year 2009 for intelligence and 
 intelligence-related activities of the United States Government, the 
   Community Management Account, and the Central Intelligence Agency 
       Retirement and Disability System, and for other purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                              May 8, 2008

Mr. Rockefeller from the Select Committee on Intelligence, reported the 
    following original bill; which was read twice and placed on the 
                                calendar

_______________________________________________________________________

                                 A BILL


 
 To authorize appropriations for fiscal year 2009 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 2009''.
    (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 level adjustments.
Sec. 104. Intelligence Community Management Account.
 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. Enhancement of authority of the Director of National 
                            Intelligence for flexible personnel 
                            management among the elements of the 
                            intelligence community.
Sec. 304. Delegation of authority for travel on common carriers for 
                            intelligence collection personnel.
Sec. 305. Annual personnel level assessments for the intelligence 
                            community.
                    Subtitle B--Acquisition Matters

Sec. 311. Reports on the acquisition of major systems.
Sec. 312. Vulnerability assessments of major systems.
Sec. 313. Intelligence community business system modernization.
Sec. 314. Excessive cost growth of major systems.
Sec. 315. Prohibition on conflicts of interest in intelligence 
                            community contracting.
Sec. 316. Future budget projections.
        Subtitle C--Interrogation and Detention Related Matters

Sec. 321. Limitation on interrogation techniques.
Sec. 322. Prohibition on interrogations by contractors.
Sec. 323. Notification of the International Committee of the Red Cross.
Sec. 324. Report on compliance with the Detainee Treatment Act of 2005 
                            and related provisions of the Military 
                            Commissions Act of 2006.
                   Subtitle D--Reporting Requirements

Sec. 331. Report on use of contractors by elements of the intelligence 
                            community.
Sec. 332. Improvement of notification of Congress regarding 
                            intelligence activities of the United 
                            States.
Sec. 333. Federal Bureau of Investigation intelligence transformation.
Sec. 334. Incorporation of reporting requirements.
Sec. 335. Repeal of certain reporting requirements.
                       Subtitle E--Other Matters

Sec. 341. Restriction on conduct of intelligence activities.
Sec. 342. Clarification of definition of intelligence community under 
                            the National Security Act of 1947.
Sec. 343. Modification of availability of funds for different 
                            intelligence activities.
Sec. 344. Additional limitation on availability of funds for 
                            intelligence and intelligence-related 
                            activities.
Sec. 345. Limitation on reprogrammings and transfers of funds.
Sec. 346. Availability to public of certain intelligence funding 
                            information.
Sec. 347. Increase in penalties for disclosure of undercover 
                            intelligence officers and agents.
Sec. 348. Authority to designate undercover operations to collect 
                            foreign intelligence or 
                            counterintelligence.
Sec. 349. Language and intelligence analyst training program.
Sec. 350. Extension of authority to delete information about receipt 
                            and disposition of foreign gifts and 
                            decorations.
Sec. 351. Extension of National Commission for the Review of the 
                            Research and Development Programs of the 
                            United States Intelligence Community.
Sec. 352. Clarifying amendments relating to section 105 of the 
                            Intelligence Authorization Act for Fiscal 
                            Year 2004.
  TITLE IV--MATTERS RELATING TO ELEMENTS OF THE INTELLIGENCE COMMUNITY

      Subtitle A--Office of the Director of National Intelligence

Sec. 401. Accountability reviews by the Director of National 
                            Intelligence.
Sec. 402. Authorities for intelligence information sharing.
Sec. 403. Modification of limitation on delegation by the Director of 
                            National Intelligence of the protection of 
                            intelligence sources and methods.
Sec. 404. Authorities of the Director of National Intelligence for 
                            interagency funding.
Sec. 405. Clarification of limitation on colocation of the Office of 
                            the Director of National Intelligence.
Sec. 406. Title of Chief Information Officer of the Intelligence 
                            Community.
Sec. 407. Inspector General of the Intelligence Community.
Sec. 408. Chief Financial Officer of the Intelligence Community.
Sec. 409. Leadership and location of certain offices and officials.
Sec. 410. National Space Intelligence Office.
Sec. 411. Operational files in the Office of the Director of National 
                            Intelligence.
Sec. 412. Membership of the Director of National Intelligence on the 
                            Transportation Security Oversight Board.
Sec. 413. Director of National Intelligence report on retirement 
                            benefits for former employees of Air 
                            America.
Sec. 414. Repeal of certain authorities relating to the Office of the 
                            National Counterintelligence Executive.
Sec. 415. Applicability of the Privacy Act to the Director of National 
                            Intelligence and the Office of the Director 
                            of National Intelligence.
Sec. 416. Inapplicability of Federal Advisory Committee Act to advisory 
                            committees of the Office of the Director of 
                            National Intelligence.
                Subtitle B--Central Intelligence Agency

Sec. 421. Inapplicability to Director of the Central Intelligence 
                            Agency of requirement for annual report on 
                            progress in auditable financial statements.
Sec. 422. Additional functions and authorities for protective personnel 
                            of the Central Intelligence Agency.
Sec. 423. Technical amendments relating to titles of certain Central 
                            Intelligence Agency positions.
              Subtitle C--Defense Intelligence Components

Sec. 431. Enhancement of National Security Agency training program.
Sec. 432. Codification of authorities of National Security Agency 
                            protective personnel.
Sec. 433. Inspector general matters.
Sec. 434. Confirmation of appointment of heads of certain components of 
                            the intelligence community.
Sec. 435. Clarification of national security missions of National 
                            Geospatial-Intelligence Agency for analysis 
                            and dissemination of certain intelligence 
                            information.
                       Subtitle D--Other Elements

Sec. 441. Clarification of inclusion of Coast Guard and Drug 
                            Enforcement Administration as elements of 
                            the intelligence community.
        TITLE V--FOREIGN INTELLIGENCE AND INFORMATION COMMISSION

Sec. 501. Short title.
Sec. 502. Definitions.
Sec. 503. Findings.
Sec. 504. Establishment and functions of the Commission.
Sec. 505. Members and staff of the Commission.
Sec. 506. Powers and duties of the Commission.
Sec. 507. Report of the Commission.
Sec. 508. Termination.
Sec. 509. Nonapplicability of Federal Advisory Committee Act.
Sec. 510. Funding.
                     TITLE VI--TECHNICAL AMENDMENTS

Sec. 601. Technical amendment to the Central Intelligence Agency Act of 
                            1949.
Sec. 602. Technical amendments relating to the multiyear National 
                            Intelligence Program.
Sec. 603. Technical clarification of certain references to Joint 
                            Military Intelligence Program and Tactical 
                            Intelligence and Related Activities.
Sec. 604. Technical amendments to the National Security Act of 1947.
Sec. 605. Technical amendments to the Intelligence Reform and Terrorism 
                            Prevention Act of 2004.
Sec. 606. 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) 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 2009 
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 levels as of September 30, 2009, 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 ________ 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 LEVEL 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 2009 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 5 percent of the number of civilian 
personnel authorized under such section for such element.
    (b) Transition to Full-Time Equivalency.--
            (1) Treatment for fiscal year 2009.--For fiscal year 2009, 
        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 2009 
                accounted for--
                            (i) by position;
                            (ii) by full-time equivalency; or
                            (iii) by any other method.
            (4) Treatment for fiscal year 2010.--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 2010 as full-time equivalent positions.
    (c) Authority for Conversion of Activities Performed by 
Contractors.--
            (1) In general.--In addition to the authority in subsection 
        (a) and subject to paragraph (2), if the head of an element of 
        the intelligence community makes a determination that 
        activities currently being performed by contractor employees 
        should be performed by employees of such element, the Director 
        of National Intelligence may authorize for that purpose 
        employment of additional full-time equivalent personnel in such 
        element equal to the number of full-time equivalent contractor 
        employees performing such activities.
            (2) Concurrence and approval.--The authority described in 
        paragraph (1) may not be exercised unless the Director of 
        National Intelligence concurs with the determination described 
        in such paragraph and the Director of the Office of Management 
        and Budget approves such determination.
    (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 (b).

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 2009 the sum of 
$696,742,000.
    (b) Authorized Personnel Levels.--The elements within the 
Intelligence Community Management Account of the Director of National 
Intelligence are authorized 944 full-time or full-time equivalent 
personnel as of September 30, 2009. 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 Director of National 
Intelligence may use the authorities described in subsections (a) and 
(c) of section 103 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 2009 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, 2010.
            (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, 
        2009, 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).

 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 2009 the sum of 
$279,200,000.

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 employees of an agency or department of the 
United States 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 2008 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 
for a period not to exceed 3 years.

SEC. 303. ENHANCEMENT OF AUTHORITY OF THE DIRECTOR OF NATIONAL 
              INTELLIGENCE FOR FLEXIBLE PERSONNEL MANAGEMENT AMONG THE 
              ELEMENTS OF THE INTELLIGENCE COMMUNITY.

    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 subsections:
    ``(s) Authority To Establish Positions in Excepted Service.--(1) 
The Director of National Intelligence may, with the concurrence of the 
head of the department or agency concerned and in coordination with the 
Director of the Office of Personnel Management--
            ``(A) convert competitive service positions, and the 
        incumbents of such positions, within an element of the 
        intelligence community to excepted service positions as the 
        Director of National Intelligence determines necessary to carry 
        out the intelligence functions of such element; and
            ``(B) establish the classification and ranges of rates of 
        basic pay for positions so converted, notwithstanding otherwise 
        applicable laws governing the classification and rates of basic 
        pay for such positions.
    ``(2)(A) At the request of the Director of National Intelligence, 
the head of a department or agency may establish new positions in the 
excepted service within an element of such department or agency that is 
part of the intelligence community if the Director determines that such 
positions are necessary to carry out the intelligence functions of such 
element.
    ``(B) The Director of National Intelligence may establish the 
classification and ranges of rates of basic pay for any position 
established under subparagraph (A), notwithstanding otherwise 
applicable laws governing the classification and rates of basic pay for 
such positions.
    ``(3) The head of the department or agency concerned is authorized 
to appoint individuals for service in positions converted under 
paragraph (1) or established under paragraph (2) without regard to the 
provisions of chapter 33 of title 5, United States Code, governing 
appointments in the competitive service, and to fix the compensation of 
such individuals within the applicable ranges of rates of basic pay 
established by the Director of National Intelligence.
    ``(4) The maximum rate of basic pay established under this 
subsection is the rate for level III of the Executive Schedule under 
section 5314 of title 5, United States Code.
    ``(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 
only--
            ``(A) 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) 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 5313 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 5312 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.
    ``(u) Extension of Flexible Personnel Management Authorities.--(1) 
Notwithstanding any other provision of law, in order to ensure the 
equitable treatment of employees across the intelligence community, the 
Director of National Intelligence may, with the concurrence of the head 
of the department or agency concerned, or for those matters that fall 
under the responsibilities of the Office of Personnel Management under 
statute or executive order, in coordination with the Director of the 
Office of Personnel Management, authorize 1 or more elements of the 
intelligence community to adopt compensation authority, performance 
management authority, and scholarship authority that have been 
authorized for another element of the intelligence community if the 
Director of National Intelligence--
            ``(A) determines that the adoption of such authority would 
        improve the management and performance of the intelligence 
        community; and
            ``(B) submits to the congressional intelligence committees, 
        not later than 60 days before such authority is to take effect, 
        notice of the adoption of such authority by such element or 
        elements, including the authority to be so adopted, and an 
        estimate of the costs associated with the adoption of such 
        authority.
    ``(2) To the extent that an existing compensation authority within 
the intelligence community is limited to a particular category of 
employees or a particular situation, the authority may be adopted in 
another element of the intelligence community under this subsection 
only for employees in an equivalent category or in an equivalent 
situation.
    ``(3) In this subsection, the term `compensation authority' means 
authority involving basic pay (including position classification), 
premium pay, awards, bonuses, incentives, allowances, differentials, 
student loan repayments, and special payments, but does not include 
authorities as follows:
            ``(A) Authorities related to benefits such as leave, 
        severance pay, retirement, and insurance.
            ``(B) Authority to grant a rank award by the President 
        under section 4507, 4507a, or 3151(c) of title 5, United States 
        Code, or any other provision of law.
            ``(C) Compensation authorities and performance management 
        authorities provided under provisions of law relating to the 
        Senior Executive Service.''.

SEC. 304. 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 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. 305. 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) A written justification for the requested personnel 
        and contractor levels.
            ``(10) The number of intelligence collectors and analysts 
        employed or contracted by each element of the intelligence 
        community.
            ``(11) 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.
            ``(12) 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.''.

                    Subtitle B--Acquisition Matters

SEC. 311. REPORTS ON THE ACQUISITION OF MAJOR SYSTEMS.

    (a) Content of Reports.--Clause (ii) of section 102A(q)(C) (50 
U.S.C. 403-1(q)(C)) of the National Security Act of 1947 is amended by 
striking the period at the end and inserting ``that includes--''
                            ``(I) 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 clause to the end of the 
                        calendar quarter immediately proceeding the 
                        submittal of the report;
                            ``(II) the current development schedule for 
                        such system, including an estimate of annual 
                        development costs until development is 
                        completed;
                            ``(III) the planned procurement schedule 
                        for such system, including the best estimate of 
                        the Director of National Intelligence of the 
                        annual costs and units to be procured until 
                        procurement is completed;
                            ``(IV) a full life-cycle cost analysis for 
                        such system;
                            ``(V) the result of any significant test 
                        and evaluation of such system as of the date of 
                        the submittal of the 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;
                            ``(VI) the reasons for any change in 
                        acquisition cost, or schedule, for such system 
                        from the previous report under this clause, if 
                        applicable;
                            ``(VII) each major contract related to such 
                        system; and
                            ``(VIII) if there is any cost or schedule 
                        variance under a contract referred to in 
                        subclause (VII) since the previous report under 
                        this clause, the reasons for such cost or 
                        schedule variance.''.
    (b) Determination of Increase in Costs.--Subsection (q) of section 
102A of the National Security Act of 1947 (50 U.S.C. 403-1) is 
amended--
            (1) by redesignating paragraphs (3) and (4) as paragraph 
        (4) and (5), respectively; and
            (2) by inserting after paragraph (2) the following:
    ``(3) Any determination of a percentage increase in the acquisition 
costs of a major system for which a report is filed under paragraph 
(1)(C)(ii) shall be stated in terms of constant dollars from the first 
fiscal year in which funds are appropriated for such system.''.
    (c) Definitions.--Paragraph (5) of such subsection (q), as 
redesignated by subsection (b)(1) of this section, is amended to read 
as follows:
    ``(5) In this subsection:
            ``(A) 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.
            ``(B) 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.
            ``(C) The term `intelligence program', with respect to the 
        acquisition of a major system, means a program that--
                    ``(i) is carried out to acquire such major system 
                for an element of the intelligence community; and
                    ``(ii) is funded in whole out of amounts available 
                for the National Intelligence Program.
            ``(D) The term `major contract,' with respect to a major 
        system acquisition, means each of the 6 largest prime, 
        subordinate, 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.
            ``(E) The term `major system' has the meaning given that 
        term in section 4 of the Office of Federal Procurement Policy 
        Act (41 U.S.C. 403).
            ``(F) 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.''.

SEC. 312. 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 305 of this Act, is further 
amended by inserting after section 506B, as added by section 305(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) 
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).
    ``(3) The results of vulnerability assessments conducted under 
subsection (b) shall be included in the report to Congress required by 
section 102A(q).
    ``(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 4 of the Office of Federal Procurement Policy 
        Act (41 U.S.C. 403).
            ``(3) The term `Milestone B' means a decision to enter into 
        system development, integration, 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 305 of this 
Act, is further amended by inserting after the item relating to section 
506B, as added by section 305(b), the following:

``Sec. 506C. Vulnerability assessments of major systems.''.

SEC. 313. INTELLIGENCE COMMUNITY BUSINESS SYSTEM MODERNIZATION.

    (a) Intelligence Community 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 305 and 
        312 of this Act, is further amended by inserting after section 
        506C, as added by section 312(a), the following new section:

        ``intelligence community business systems modernization

    ``Sec. 506D.  (a) Limitation on Obligation of Funds.--(1) After 
April 1, 2009, no funds appropriated to any element of the intelligence 
community may be obligated for an intelligence community financial 
management or human resources business system modernization described 
in paragraph (2), and after April 1, 2010, no funds appropriated to any 
element of the intelligence community may be obligated for any 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 appropriate 
        authorities within the intelligence community Strategic 
        Enterprise Management governance structure identified in 
        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) 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 appropriate authorities within the intelligence community 
Strategic Enterprise Management governance structure identified in 
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, 2009, 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 appropriate 
        authorities within the intelligence community Strategic 
        Enterprise Management governance structure identified in 
        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 Strategic Enterprise Management 
Governance Board.--
            ``(1) The Director of National Intelligence shall establish 
        a board within the intelligence community Strategic Enterprise 
        Management governance structure (in this subsection referred to 
        as the `Board').
    ``(2) The Board 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 2010 
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 305 and 312 of this 
        Act, is further amended by inserting after the item relating to 
        section 506C, as added by section 312(b), the following new 
        item:

``Sec. 506D. Intelligence community business systems 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 appropriate Intelligence Community 
                Strategic Enterprise Management Governance Board 
                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--
                            (i) March 1, 2009 for all intelligence 
                        community financial management and human 
                        resource systems; and
                            (ii) March 1, 2010 for all remaining 
                        intelligence community business systems.
                    (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, 2007, 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, 2007, 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--
                            (i) March 1, 2009 for all intelligence 
                        community financial management and human 
                        resource systems; and
                            (ii) March 1, 2010 for all remaining 
                        intelligence community business systems.

SEC. 314. EXCESSIVE COST GROWTH OF MAJOR SYSTEMS.

    (a) Notification.--Title V of the National Security Act of 1947, as 
amended by sections 305, 312, and 313 of this Act, is further amended 
by inserting after section 506D, as added by section 313(a), the 
following new section:

                ``excessive cost growth of major systems

    ``Sec. 506E.  (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;
            ``(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; and
            ``(E) if milestone decision authority had been delegated to 
        the program manager, such authority is revoked and returned to 
        the Director, except with respect to Department of Defense 
        programs, such authority is revoked and returned to the 
        Director and the Secretary of Defense, jointly.
    ``(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', 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 `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', 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.
            ``(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 in 
        section 4 of the Office of Federal Procurement Policy Act (41 
        U.S.C. 403).
            ``(6) The term `Milestone B' means a decision to enter into 
        system development, integration, 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 305, 312, and 313 of this Act, is 
further amended by inserting after the items relating to section 506D, 
as added by section 313(b), the following new item:

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

SEC. 315. PROHIBITION ON CONFLICTS OF INTEREST IN INTELLIGENCE 
              COMMUNITY CONTRACTING.

    (a) In General.--Title V of the National Security Act of 1947, as 
amended by sections 305, 312, 313, and 314 of this Act, is further 
amended by inserting after section 506E, as added by section 314(a), 
the following new section:

   ``prohibition on conflicts of interest in intelligence community 
                              contracting

    ``Sec. 506F.  (a) Prohibition on Conflicts of Interest.--Beginning 
in fiscal year 2010, a contract for the provision of advisory and 
assistance services related to any major system acquisition with an 
element of the intelligence community shall not be awarded to an entity 
whose business activities include the provision of products or services 
related to the same major system acquisition to any element of the 
intelligence community.
    ``(b) Definitions.--In this section:
            ``(1) The term `contract for the provision of advisory and 
        assistance services' means a contract for activities that could 
        otherwise be considered inherently governmental but are 
        provided by nongovernmental sources to support or improve 
        organizational policy development, decisionmaking, management 
        and administration, and program or project management and 
        administration.
            ``(2) The term `entity' includes any company, corporation, 
        sole proprietorship, person, or any other business arrangement, 
        including a parent, affiliate, or subsidiary thereto.
            ``(3) The term `major system' has the meaning given that 
        term in section 4 of the Office of Federal Procurement Policy 
        Act (41 U.S.C. 403).''.
    (b) Clerical Amendment.--The table of contents in the first section 
of that Act, as amended by sections 305, 312, 313, and 314 of this Act, 
is further amended by inserting after the items relating to section 
506E, as added by section 314(b), the following new item:

``Sec. 506F. Prohibition on conflicts of interest in intelligence 
                            community contracting.''.

SEC. 316. FUTURE BUDGET PROJECTIONS.

    (a) In General.--Title V of the National Security Act of 1947, as 
amended by sections 305, 312, 313, 314, and 315 of this Act, is further 
amended by inserting after section 506F, as added by section 315(a), 
the following new section:

                      ``future budget projections

    ``Sec. 506G.  (a) Future Year Intelligence Plans.--(1) The Director 
of National Intelligence, with the concurrence of the Office of 
Management and Budget, shall provide to the congressional intelligence 
committees a Future Year Intelligence Plan, as described in paragraph 
(2), for--
            ``(A) each expenditure center in the National Intelligence 
        Program; and
            ``(B) each major system in the National Intelligence 
        Program.
    ``(2)(A) A Future Year Intelligence Plan submitted under this 
subsection shall include the year-by-year proposed funding for each 
center or system referred to in subparagraph (A) or (B) of paragraph 
(1), for the budget year in which the Plan is submitted and not less 
than the 4 subsequent budget years.
    ``(B) A Future Year Intelligence Plan submitted under subparagraph 
(B) of paragraph (1) for a major system shall include--
            ``(i) the estimated total life-cycle cost of such major 
        system; and
            ``(ii) any major acquisition or programmatic milestones for 
        such major system.
    ``(b) Long-Term Budget Projections.--(1) The Director of National 
Intelligence, with the concurrence of the Director of the Office of 
Management and Budget, shall provide to the congressional intelligence 
committees a Long-term Budget Projection for each element of the 
National Intelligence Program acquiring a major system that includes 
the budget for such element for the 10-year period following the last 
budget year for which proposed funding was submitted under subsection 
(a)(2)(A).
    ``(2) A Long-term Budget Projection submitted under paragraph (1) 
shall include, at a minimum, projections for the appropriate element of 
the intelligence community for--
            ``(A) pay and benefits of officers and employees of such 
        element;
            ``(B) other operating and support costs and minor 
        acquisitions of such element;
            ``(C) research and technology required by such element;
            ``(D) current and planned major system acquisitions for 
        such element; and
            ``(E) any unplanned but necessary next-generation major 
        system acquisitions for such element.
    ``(c) Submission to Congress.--Each Future Year Intelligence Plan 
or Long-term Budget Projection required under subsection (a) or (b) 
shall be submitted to Congress along with the budget for a fiscal year 
submitted to Congress by the President pursuant to section 1105(a) of 
title 31, United States Code.
    ``(d) Content of Long-Term Budget Projections.--(1) Each Long-term 
Budget Projection submitted under subsection (b) shall include--
            ``(A) a budget projection based on constrained budgets, 
        effective cost and schedule execution of current or planned 
        major system acquisitions, and modest or no cost-growth for 
        undefined, next-generation systems; and
            ``(B) a budget projection based on constrained budgets, 
        modest cost increases in executing current and planned 
        programs, and more costly next-generation systems.
    ``(2) Each budget projection required by paragraph (1) shall 
include a description of whether, and to what extent, the total 
projection for each year exceeds the level that would result from 
applying the most recent Office of Management and Budget inflation 
estimate to the budget of that element of the intelligence community.
    ``(e) Increase in Future Budget Projections.--(1) Not later than 30 
days prior to the date that an element of the intelligence community 
may proceed to Milestone A, Milestone B, or an analogous stage of 
system development, in the acquisition of a major system in the 
National Intelligence Program, the Director of National Intelligence, 
with the concurrence of the Director of the Office of Management and 
Budget, shall provide a report on such major system to the 
congressional intelligence committees.
    ``(2)(A) A report submitted under paragraph (1) shall include an 
assessment of whether, and to what extent, such acquisition, if 
developed, procured, and operated, is projected to cause an increase in 
the most recent Future Year Intelligence Plan and Long-term Budget 
Projection for that element of the intelligence community.
    ``(B) If an increase is projected under subparagraph (A), the 
report required by this subsection shall include a specific finding, 
and the reasons therefor, by the Director of National Intelligence and 
the Director of the Office of Management and Budget that such increase 
is necessary for national security.
    ``(f) Definitions.--In this section:
            ``(1) The term `major system' has the meaning given that 
        term in section 4 of the Office of Federal Procurement Policy 
        Act (41 U.S.C. 403).
            ``(2) The term `Milestone A' means a decision to enter into 
        concept refinement and technology maturity demonstration 
        pursuant to guidance issued by the Director of National 
        Intelligence.
            ``(3) The term `Milestone B' means a decision to enter into 
        system development, integration, and demonstration pursuant to 
        guidance prescribed by the Director of National 
        Intelligence.''.
    (b) Clerical Amendment.--The table of contents in the first section 
of that Act, as amended by sections 305, 312, 313, 314, and 315 of this 
Act, is further amended by inserting after the items relating to 
section 506F, as added by section 315(b), the following new item:

``Sec. 506G. Future budget projections.''.
    (c) Definition of Major System.--Paragraph (3) of section 506A(e) 
of the National Security Act of 1947 (50 U.S.C. 415a-1(e)) is amended 
to read as follows:
            ``(3) The term `major system' has the meaning given that 
        term in section 4 of the Office of Federal Procurement Policy 
        Act (41 U.S.C. 403).''.

        Subtitle C--Interrogation and Detention Related Matters

SEC. 321. LIMITATION ON INTERROGATION TECHNIQUES.

    (a) Limitation.--No individual in the custody or under the 
effective control of personnel of an element of the intelligence 
community or instrumentality of an element of the intelligence 
community, regardless of nationality or physical location of such 
individual or personnel, 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. 322. PROHIBITION ON INTERROGATIONS BY CONTRACTORS.

    The Director of the Central Intelligence Agency may not permit a 
contractor or subcontractor to the Central Intelligence Agency to carry 
out an interrogation of an individual. Any interrogation carried out on 
behalf of the Central Intelligence Agency shall be conducted by an 
employee of such Agency.

SEC. 323. NOTIFICATION OF THE INTERNATIONAL COMMITTEE OF THE RED CROSS.

    (a) Requirement.--No funds authorized to be appropriated by this 
Act may be used to detain any individual who is in the custody or under 
the effective control of an element of the intelligence community (as 
that term is defined in section 3 of the National Security Act of 1947 
(50 U.S.C. 401a)) or an instrumentality of such element if the 
International Committee of the Red Cross is not provided notification 
of the detention of such individual and access to such individual in a 
manner consistent with the practices of the Armed Forces.
    (b) Construction.--Nothing in this section shall be construed--
            (1) to create or otherwise imply the authority to detain; 
        or
            (2) to limit or otherwise affect any other rights or 
        obligations which may arise under the Geneva Conventions or 
        other laws, or to state all of the situations under which 
        notification to and access for the International Committee of 
        the Red Cross is required or allowed.
    (c) 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. 324. 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 (42 U.S.C. 
        2000dd) and section 6 of the Military Commissions Act of 2006 
        (120 Stat. 2632) (including the amendments made by such 
        section) 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 
        (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 of National 
        Intelligence 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) any legal justifications of any office of the 
                Department of Justice related to the interpretation 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, 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.

                   Subtitle D--Reporting Requirements

SEC. 331. REPORT ON USE OF CONTRACTORS BY ELEMENTS OF THE INTELLIGENCE 
              COMMUNITY.

    Not later than 180 days after the date of the enactment of this 
Act, the Director of National Intelligence shall submit to the 
congressional intelligence committees a report that describes--
            (1) any activity that is being conducted by 1 or more 
        contractors on behalf of an element of the intelligence 
        community that the Director believes should only be conducted 
        by employees of an agency or department of the United States;
            (2) an estimate of the number of contractors conducting 
        each such activity; and
            (3) the plan of the Director, if any, to have each such 
        activity be conducted by employees of an agency or department 
        of the United States.

SEC. 332. IMPROVEMENT OF NOTIFICATION OF CONGRESS REGARDING 
              INTELLIGENCE ACTIVITIES OF THE UNITED STATES.

    (a) Notice on Information Not Disclosed.--
            (1) In general.--Section 502 of the National Security Act 
        of 1947 (50 U.S.C. 413a) is amended--
                    (A) by redesignating subsections (b) and (c) as 
                subsections (c) and (d), respectively;
                    (B) by inserting after subsection (a) the 
                following:
    ``(b) Notice on Information Not Disclosed.--(1) If the Director of 
National Intelligence or the head of a department, agency, or other 
entity of the United States Government does not provide information 
required by subsection (a) in full or to all the members of the 
congressional intelligence committees and requests that such 
information not be so provided, the Director shall, in a timely 
fashion, provide written notification to all the members of such 
committees of the determination not to provide such information in full 
or to all members of such committees. Such notice shall include a 
statement of the reasons for such determination and description that 
provides the main features of the intelligence activities covered by 
such determination.
    ``(2) Nothing in this subsection shall be construed as authorizing 
less than full and current disclosure to all the members of the 
congressional intelligence committees of any information necessary to 
keep all such members fully and currently informed on all intelligence 
activities described in subsection (a).''; and
                    (C) by inserting after subsection (d), as 
                redesignated by subparagraph (A) of this section, the 
                following:
    ``(e) Congressional Intelligence Committees Defined.--In this 
section the term `congressional intelligence committees' means the 
Select Committee on Intelligence of the Senate and the Permanent Select 
Committee on Intelligence of the House of Representatives.''.
            (2) Conforming amendment.--Subsection (d) of such section, 
        as redesignated by paragraph (1)(A) of this subsection, is 
        amended by striking ``subsection (b)'' and inserting 
        ``subsections (b) and (c)''.
    (b) Reports and Notice on Covert Actions.--
            (1) Form and content of certain reports.--Subsection (b) of 
        section 503 of such Act (50 U.S.C. 413b) is amended--
                    (A) by redesignating paragraphs (1) and (2) as 
                subparagraphs (A) and (B), respectively;
                    (B) by inserting ``(1)'' after ``(b)''; and
                    (C) by adding at the end the following:
            ``(2) Any information relating to a covert action that is 
        submitted to the congressional intelligence committees for the 
        purposes of paragraph (1) shall be in writing and shall contain 
        the following:
                    ``(A) A concise statement of any facts pertinent to 
                such covert action.
                    ``(B) An explanation of the significance of such 
                covert action.''.
            (2) Notice on information not disclosed.--Subsection (c) of 
        such section is amended by adding at the end the following:
    ``(5)(A) If the Director of National Intelligence or the head of a 
department, agency, or other entity of the United States Government 
does not provide information required by subsection (b) in full or to 
all the members of the congressional intelligence committees, and 
requests that such information not be so provided, the Director shall, 
in a timely fashion, notify such committees of the determination not to 
provide such information in full or to all members of such committees.
    ``(B) A notice required by subparagraph (A) shall be submitted in 
writing in a classified form and include--
            ``(i) a statement of the reasons that such information will 
        not be provided in full or to all the members of the 
        congressional intelligence committees; and
            ``(ii) a description of the main features of the covert 
        action described in subsection (b) for which such information 
        will not be provided.
    ``(C) Each member of the congressional intelligence committees 
shall have unrestricted access to each notice required by subparagraph 
(A).''.
            (3) Modification of nature of change of covert action 
        triggering notice requirements.--Subsection (d) of such section 
        is amended by striking ``significant'' the first place that 
        term appears.
            (4) Congressional intelligence committees defined.--Such 
        section is further amended by adding at the end the following:
    ``(g) In this section, the term `congressional intelligence 
committees' means the Select Committee on Intelligence of the Senate 
and the Permanent Select Committee on Intelligence of the House of 
Representatives.''.

SEC. 333. FEDERAL BUREAU OF INVESTIGATION INTELLIGENCE TRANSFORMATION.

    (a) Finding.--Congress finds that the members of the National 
Commission on Terrorist Attacks Upon the United States gave the Federal 
Bureau of Investigation a ``C'' in their final report on intelligence 
reform. Specifically, the members stated that ``progress is being made-
but it is too slow. The FBI's shift to a counterterrorism posture is 
far from institutionalized, and significant deficiencies remain. 
Reforms are at risk from inertia and complacency; they must be 
accelerated, or they will fail. Unless there is improvement in a 
reasonable period of time, Congress will have to look at 
alternatives.''.
    (b) Federal Bureau of Investigation Intelligence Transformation.--
The Director of National Intelligence, in coordination with the 
Director of the Federal Bureau of Investigation, shall establish 
performance metrics and specific timetables related to the progress of 
the Federal Bureau of Investigation in carrying out the following:
            (1) Improving cooperation between the Federal Bureau of 
        Intelligence and the Office of the Director of National 
        Intelligence.
            (2) Improving the Federal Bureau of Investigation National 
        Intelligence Program budget structure.
            (3) Improving intelligence enabling information technology.
            (4) Advancing the analytic culture of the Federal Bureau of 
        Investigation.
            (5) Improving the intelligence training curriculum.
            (6) Regionalization of the Federal Bureau of Investigation 
        intelligence program.
            (7) Improving the Federal Bureau of Investigation's Weapons 
        of Mass Destruction Directorate.
            (8) Improving the national security workforce management at 
        the Federal Bureau of Investigation.
            (9) Improving the headquarters staffing of National 
        Security Programs of the Federal Bureau of Investigation.
    (c) Report.--On a semiannual basis during the 5-year period 
beginning on the date of the enactment of this Act, the Director of 
National Intelligence shall submit to the congressional intelligence 
committees a consolidated report on the progress of the Federal Bureau 
of Investigation in carrying out items in paragraphs (1) through (9) of 
subsection (b), including an assessment of the metrics, timetables, and 
corrective actions referred to in such subsection and a description of 
the activities being carried out to ensure the Federal Bureau of 
Investigation is improving its performance.

SEC. 334. 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. 335. 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) Biennial Report on the Safety and Security of Russian Nuclear 
Facilities and Nuclear Military Forces.--
            (1) In general.--Section 114 of the National Security Act 
        of 1947 (40 U.S.C. 404i) is amended--
                    (A) in the heading, by striking ``annual''; and
                    (B) in subsection (a)--
                            (i) in the heading, by striking ``Annual'' 
                        and inserting ``Biennial'';
                            (ii) by striking ``an annual'' and 
                        inserting ``a biennial''; and
                            (iii) by striking ``each'' and inserting 
                        ``every other''.
            (2) Clerical amendment.--The table of contents in the first 
        section of that Act is amended by striking the item relating to 
        section 114 and inserting the following:

``Sec. 114. Additional reports for the Director of National 
                            Intelligence.''.
    (g) Annual Review of Dissemination Lists.--Section 1102 of the 
National Security Act of 1947 (50 U.S.C. 442a) is amended--
            (1) by striking subsection (b); and
            (2) by redesignating subsections (c) and (d) as subsections 
        (b) and (c), respectively.
    (h) Biennial Report on Espionage by the People's Republic of 
China.--
            (1) In general.--Section 3151 of the National Defense 
        Authorization Act for Fiscal Year 2000 (42 U.S.C. 7383e) is 
        amended--
                    (A) in the heading, by striking ``annual'' and 
                inserting ``biennial''; and
                    (B) in subsection (a)--
                            (i) in the heading, by striking ``Annual'' 
                        and inserting ``Biennial''; and
                            (ii) by striking ``an annual'' and 
                        inserting ``a biennial''
            (2) Clerical amendment.--The table of contents in 
        subsection (b) of section 2 of that Act (Public Law 106-65; 113 
        Stat. 512) is amended by striking the item relating to section 
        3151 and inserting the following:

``Sec. 3151. Report by the President on espionage by the People's 
                            Republic of China.''.
    (i) Biennial Report on Dismantling of Strategic Nuclear Warheads.--
            (1) In general.--Section 1033 of the National Defense 
        Authorization Act for Fiscal Year 2004 (Public Law 108-136; 22 
        U.S.C. 5959 note) is amended--
                    (A) in the heading by striking ``annual'' and 
                inserting ``biennial'';
                    (B) in subsection (a)--
                            (i) in the heading, by striking ``annual'' 
                        and inserting ``biennial'';
                            (ii) by striking ``each'' and inserting 
                        ``every other'';
                            (iii) by striking ``prior fiscal year'' and 
                        inserting ``prior 2 fiscal years''; and
                            (iv) by striking ``the fiscal year covered 
                        by the budget'' and inserting ``the following 2 
                        fiscal years'';
                    (C) in subsection (b), by striking ``The annual 
                report'' and inserting ``Each report submitted'';
                    (D) in subsection (c), by striking ``an annual'' 
                and inserting ``a''; and
                    (E) in subsection (e), by striking ``annual''.
            (2) Clerical amendment.--The table of contents in 
        subsection (b) of section 2 of that Act (Public Law 108-136; 
        117 Stat. 1392) is amended by striking the item relating to 
        section 1033 and inserting the following:

``Sec. 1033. Biennial report concerning dismantling of strategic 
                            nuclear warheads.''.
    (j) 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).

                       Subtitle E--Other Matters

SEC. 341. 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. 342. 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. 343. 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. 344. ADDITIONAL LIMITATION ON AVAILABILITY OF FUNDS FOR 
              INTELLIGENCE AND INTELLIGENCE-RELATED ACTIVITIES.

    Section 504 of the National Security Act of 1947 (50 U.S.C. 414) is 
amended--
            (1) in subsection (a), by inserting ``the congressional 
        intelligence committees have been fully and currently informed 
        of such activity and if'' after ``only if'';
            (2) by redesignating subsections (b), (c), (d), and (e) as 
        subsections (c), (d), (e), and (f), respectively; and
            (3) by inserting after subsection (a) the following:
    ``(b) In any case in which notice to the congressional intelligence 
committees of an intelligence or intelligence-related activity is 
covered by section 502(b), or in which notice to the congressional 
intelligence committees on a covert action is covered by section 
503(c)(5), the congressional intelligence committees shall be treated 
as being fully and currently informed on such activity or covert 
action, as the case may be, for purposes of subsection (a) if the 
requirements of such section 502(b) or 503(c)(5), as applicable, have 
been met.''.

SEC. 345. LIMITATION ON REPROGRAMMINGS AND TRANSFERS OF FUNDS.

    (a) In General.--Subsection (a)(3) of section 504 of the National 
Security Act of 1947 (50 U.S.C. 414) is amended--
            (1) in subparagraph (B), as amended by section 343 by 
        striking ``and'' at the end;
            (2) in subparagraph (C), by adding ``and'' at the end; and
            (3) by adding at the end the following new subparagraph:
                    ``(D) the making available of such funds for such 
                activity complies with the requirements in subsection 
                (d);''.
    (b) Procedures.--Such section is further amended--
            (1) by redesignating subsections (e) and (f), as 
        redesignated by section 344(2) as subsections (f) and (g), 
        respectively; and
            (2) by inserting after subsection (c) the following new 
        subsection (d):
    ``(d)(1) Except as provided in paragraph (2), if following a notice 
of intent to make funds available for a different activity under 
subsection (a)(3)(C) one of the congressional intelligence committees 
submits to the element of the intelligence community that will carry 
out such activity a request for additional information on such 
activity, such funds may not be made available for such activity under 
subsection (a)(3) until such date, up to 90 days after the date of such 
request, as specified by such congressional intelligence committee.
    ``(2) The President may waive the requirements of paragraph (1) and 
make funds available for an element of the intelligence community to 
carry out a different activity under subsection (a)(3) if the President 
submits to the congressional intelligence committees a certification 
providing that--
            ``(A) the use of such funds for such activity is necessary 
        to fulfill an urgent operational requirement, excluding a cost 
        overrun on the acquisition of a major system, of an element of 
        the intelligence community; and
            ``(B) such waiver is necessary so that an element of the 
        intelligence community may carry out such activity prior to the 
        date that funds would be made available under paragraph (1).''.
    (c) Definitions.--Subsection (g) of such section, as redesignated 
by subsection (b)(1) of this section, is amended--
            (1) by redesignating paragraph (3) as paragraph (5);
            (2) by redesignating paragraphs (1) and (2) as paragraphs 
        (3) and (1), respectively;
            (3) by striking ``and'' at the end of paragraph (1), as 
        redesignated by paragraph (2) of this subsection;
            (4) by inserting after paragraph (1), as so redesignated, 
        the following:
            ``(2) the term `congressional intelligence committees' 
        means the Select Committee on Intelligence of the Senate and 
        the Permanent Select Committee on Intelligence of the House of 
        Representatives;''; and
            (5) by inserting after paragraph (3), as redesignated by 
        paragraph (2) of this subsection, the following:
            ``(4) the term `major system' has the meaning given that 
        term in section 4 of the Office of Federal Procurement Policy 
        Act (41 U.S.C. 403); and''.

SEC. 346. AVAILABILITY TO PUBLIC OF CERTAIN INTELLIGENCE FUNDING 
              INFORMATION.

    Subsection (b) of section 601 of the Implementing Recommendations 
of the 9/11 Commission Act of 2007 (50 U.S.C. 415c) is amended by 
striking ``2009'' and inserting ``2010''.

SEC. 347. INCREASE IN PENALTIES FOR DISCLOSURE OF UNDERCOVER 
              INTELLIGENCE OFFICERS AND AGENTS.

    (a) 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''.
    (b) Disclosure of Agent After Access to Classified Information.--
Subsection (b) of such section is amended by striking ``five years'' 
and inserting ``10 years''.

SEC. 348. AUTHORITY TO DESIGNATE UNDERCOVER OPERATIONS TO COLLECT 
              FOREIGN INTELLIGENCE OR COUNTERINTELLIGENCE.

    Paragraph (1) of section 102(b) of the Department of Justice and 
Related Agencies Appropriations Act, 1993 (Public Law 102-395; 28 
U.S.C. 533 note) is amended in the flush text following subparagraph 
(D) by striking ``(or, if designated by the Director, the Assistant 
Director, Intelligence Division) and the Attorney General (or, if 
designated by the Attorney General, the Assistant Attorney General for 
National Security)'' and inserting ``(or a designee of the Director who 
is in a position not lower than Deputy Assistant Director in the 
National Security Branch or a similar successor position) and the 
Attorney General (or a designee of the Attorney General who is in the 
National Security Division in a position not lower than Deputy 
Assistant Attorney General or a similar successor position)''.

SEC. 349. LANGUAGE AND INTELLIGENCE ANALYST TRAINING PROGRAM.

    (a) In General.--Section 922 of the Ronald W. Reagan National 
Defense Authorization Act for Fiscal Year 2005 (Public Law 108-375; 50 
U.S.C. 402 note) is amended to read as follows:

``SEC. 922. LANGUAGE AND INTELLIGENCE ANALYST TRAINING PROGRAM.

    ``(a) Definitions.--In this section:
            ``(1) Director.--The term `Director' means the Director of 
        National Intelligence.
            ``(2) Institution of higher education.--The term 
        `institution of higher education' has the meaning given that 
        term in section 101 of the Higher Education Act of 1965 (20 
        U.S.C. 1001).
            ``(3) Program.--The term `program' means the grant program 
        to promote language and intelligence analysis training 
        authorized by subsection (b).
    ``(b) Authority.--The Director is authorized to carry out a grant 
program to promote language and intelligence analysis, as described in 
this section.
    ``(c) Purpose.--The purpose of the program shall be to increase the 
number of individuals qualified for an entry-level language analyst or 
intelligence analyst position within an element of the intelligence 
community by providing--
            ``(1) grants to qualified institutions of higher education, 
        as described in subsection (d); and
            ``(2) grants to qualified individuals, as described in 
        subsection (e).
    ``(d) Grants to Institutions of Higher Education.--(1) The Director 
is authorized to provide a grant through the program to an institution 
of higher education to develop a course of study to prepare students of 
such institution for an entry-level language analyst or intelligence 
analyst position within an element of the intelligence community.
    ``(2) An institution of higher education seeking a grant under this 
subsection shall submit an application describing the proposed use of 
the grant at such time and in such manner as the Director may require.
    ``(3) The Director shall award a grant to an institution of higher 
education under this subsection--
            ``(A) on the basis of the ability of such institution to 
        use the grant to prepare students for an entry-level language 
        analyst or intelligence analyst position within an element of 
        the intelligence community upon completion of study at such 
        institution; and
            ``(B) in a manner that provides for geographical diversity 
        among the institutions of higher education that receive such 
        grants.
    ``(4) An institution of higher education that receives a grant 
under this subsection shall submit to the Director regular reports 
regarding the use of such grant, including--
            ``(A) a description of the benefits to students who 
        participate in the course of study funded by such grant;
            ``(B) a description of the results and accomplishments 
        related to such course of study; and
            ``(C) any other information that the Director may require.
    ``(5) The Director is authorized to provide an institution of 
higher education that receives a grant under this section with advice 
and counsel related to the use of such grant.
    ``(e) Grants to Individuals.--(1) The Director is authorized to 
provide a grant through the program to an individual to assist such 
individual in pursuing a course of study--
            ``(A) identified by the Director as meeting a current or 
        emerging mission requirement of an element of the intelligence 
        community; and
            ``(B) that will prepare such individual for an entry-level 
        language analyst or intelligence analyst position within an 
        element of the intelligence community.
            ``(2) The Director is authorized to provide a grant 
        described in paragraph (1) to an individual for the following 
        purposes:
                    ``(A) To provide a monthly stipend for each month 
                that the individual is pursuing a course of study 
                described in paragraph (1).
                    ``(B) To pay the individual's full tuition to 
                permit the individual to complete such a course of 
                study.
                    ``(C) To provide an allowance for books and 
                materials that the individual requires to complete such 
                course of study.
                    ``(D) To pay the individual's expenses for travel 
                that is requested by an element of the intelligence 
                community related to the program.
    ``(3)(A) The Director shall select individuals to receive grants 
under this subsection using such procedures as the Director determines 
are appropriate.
    ``(B) An individual seeking a grant under this subsection shall 
submit an application describing the proposed use of the grant at such 
time and in such manner as the Director may require.
    ``(C) The total number of individuals receiving grants under this 
subsection at any 1 time may not exceed 400.
    ``(D) The Director is authorized to screen and qualify each 
individual selected to receive a grant under this subsection for the 
appropriate security clearance without regard to the date that the 
employment relationship between the individual and the element of the 
intelligence community is formed.
    ``(4) An individual who receives a grant under this subsection 
shall enter into an agreement to perform, upon such individual's 
completion of a course of study described in paragraph (1), 1 year of 
service within an element of the intelligence community, as approved by 
the Director, for each academic year for which such individual received 
grant funds under this subsection.
    ``(5) If an individual who receives a grant under this subsection--
            ``(A) fails to complete a course of study described in 
        paragraph (1) or the individual's participation in the program 
        is terminated prior to the completion of such course of study, 
        either by the Director for misconduct or voluntarily by the 
        individual, the individual shall reimburse the United States 
        for the amount of such grant (excluding the individual's 
        stipend, pay, and allowances); or
            ``(B) fails to complete the service requirement with an 
        element of the intelligence community described in paragraph 
        (4) after completion of such course of study or if the 
        individual's employment with such element of the intelligence 
        community is terminated either by the head of such element for 
        misconduct or voluntarily by the individual prior to the 
        individual's completion of such service requirement, the 
        individual shall--
                    ``(i) reimburse the United States for full amount 
                of such grant (excluding the individual's stipend, pay, 
                and allowances) if the individual did not complete any 
                portion of such service requirement; or
                    ``(ii) reimburse the United States for the 
                percentage of the total amount of such grant (excluding 
                the individual's stipend, pay, and allowances) that is 
                equal to the percentage of the period of such service 
                requirement that the individual did not serve.
    ``(6)(A) If an individual incurs an obligation to reimburse the 
United States under subparagraph (A) or (B) of paragraph (5), the head 
of the element of the intelligence community that employed or intended 
to employ such individual shall notify the Director of such obligation.
    ``(B) Except as provided in subparagraph (D), an obligation to 
reimburse the United States incurred under such subparagraph (A) or 
(B), including interest due on such obligation, is for all purposes a 
debt owing the United States.
    ``(C) A discharge in bankruptcy under title 11, United States Code, 
shall not release an individual from an obligation to reimburse the 
United States incurred under such subparagraph (A) or (B) if the final 
decree of the discharge in bankruptcy is issued within 5 years after 
the last day of the period of the service requirement described in 
subparagraph (4).
    ``(D) The Director may release an individual from part or all of 
the individual's obligation to reimburse the United States incurred 
under such subparagraph (A) or (B) if the Director determines that 
equity or the interests of the United States require such a release.
    ``(f) Management.--In carrying out the program, the Director 
shall--
            ``(1) be responsible for the oversight of the program and 
        the development of policy guidance and implementing procedures 
        for the program;
            ``(2) solicit participation of institutions of higher 
        education in the program through appropriate means; and
            ``(3) provide each individual who participates in the 
        program under subsection (e) information on opportunities 
        available for employment within an element of the intelligence 
        community.
    ``(g) Penalties for Fraud.--An institution of higher education or 
the officers of such institution or an individual who receives a grant 
under the program as a result of fraud in any aspect of the grant 
process may be subject to criminal or civil penalties in accordance 
with applicable Federal law.
    ``(h) Construction.--Unless mutually agreed to by all parties, 
nothing in this section may be construed to amend, modify, or abrogate 
any agreement, contract, or employment relationship that was in effect 
on the day prior to the date of enactment of the Intelligence 
Authorization Act for Fiscal Year 2009.
    ``(i) Effect of Other Law.--The Director shall administer the 
program pursuant to the provisions of chapter 63 of title 31, United 
States Code and chapter 75 of such title, except that the Comptroller 
General of the United States shall have no authority, duty, or 
responsibility in matters related to this program.''.
    (b) Clerical Amendment.--The table of contents in section 2(b) of 
the Ronald W. Reagan National Defense Authorization Act for Fiscal Year 
2005 is amended by striking the item relating to section 922 and 
inserting the following:

``Sec. 922. Language and intelligence analyst training program.''.

SEC. 350. 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 `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)).''.

SEC. 351. 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, 2009''.
            (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. 352. 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)),''.

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

      Subtitle A--Office of the Director of National Intelligence

SEC. 401. 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 
                (Public Law 108-458; 50 U.S.C. 403 note),''; and
                    (B) by striking the period at the end and inserting 
                a semicolon and ``and''; and
            (3) by adding 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 an accountability review 
of an element of the intelligence community or the personnel of such 
element in relation to a failure or deficiency within the intelligence 
community.
    ``(B) The Director of National Intelligence, in consultation with 
the Attorney General, shall establish guidelines and procedures for 
conducting an accountability review under subparagraph (A).
    ``(C)(i) The Director of National Intelligence shall provide the 
findings of an accountability review conducted under subparagraph (A) 
and the Director's recommendations for corrective or punitive action, 
if any, to the head of the applicable element of the intelligence 
community. Such recommendations may include a recommendation for 
dismissal of personnel.
    ``(ii) If the head of such element does not implement a 
recommendation made by the Director under clause (i), the head of such 
element shall submit to the congressional intelligence committees a 
notice of the determination not to implement the recommendation, 
including the reasons for the determination.
    ``(D) 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. 402. 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 2010 through 2013, 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. 403. 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 ``or the Chief Information Officer 
of the Intelligence Community'' before the period at the end.

SEC. 404. 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 section 303 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 2009 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 
2010 through 2013, 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. 405. 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 inserting ``the headquarters of'' before ``any other 
        element''.

SEC. 406. TITLE OF CHIEF INFORMATION OFFICER OF THE INTELLIGENCE 
              COMMUNITY.

    (a) 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 the heading, by adding ``of the intelligence 
        community'' after ``officer'';
            (2) in subsection (a), by inserting ``of the Intelligence 
        Community'' after ``Chief Information Officer'';
            (3) in subsection (b), by inserting ``of the Intelligence 
        Community'' after ``Chief Information Officer'';
            (4) in subsection (c), by inserting ``of the Intelligence 
        Community'' after ``Chief Information Officer''; and
            (5) in subsection (d), by inserting ``of the Intelligence 
        Community'' after ``Chief Information Officer'' the first place 
        it appears.
    (b) Table of Contents.--The table of contents for such Act is 
amended by striking the item relating to section 103G and inserting the 
following:

``Sec. 103G. Chief Information Officer of the Intelligence 
                            Community.''.

SEC. 407. 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. 408. CHIEF FINANCIAL OFFICER OF THE INTELLIGENCE COMMUNITY.

    (a) Establishment.--Title I of the National Security Act of 1947 
(50 U.S.C. 402 et seq.), as amended by section 407 of this Act, is 
further amended by inserting after section 103H, as added by section 
407, the following new section:

        ``chief financial officer of the intelligence community

    ``Sec. 103I.  (a) Chief Financial Officer of the Intelligence 
Community.--To assist the Director of National Intelligence in carrying 
out the responsibilities of the Director under this Act and other 
applicable provisions of law, there shall be within the Office of the 
Director of National Intelligence a Chief Financial Officer of the 
Intelligence Community who shall be appointed by the Director.
    ``(b) Duties and Responsibilities.--Subject to the direction of the 
Director of National Intelligence, the Chief Financial Officer of the 
Intelligence Community shall--
            ``(1) serve as the principal advisor to the Director of 
        National Intelligence and the Principal Deputy Director of 
        National Intelligence on the management and allocation of 
        intelligence community budgetary resources;
            ``(2) establish and oversee a comprehensive and integrated 
        strategic process for resource management within the 
        intelligence community;
            ``(3) ensure that the strategic plan of the Director of 
        National Intelligence--
                    ``(A) is based on budgetary constraints as 
                specified in the Future Year Intelligence Plans and 
                Long-term Budget Projections required by this Act; and
                    ``(B) contains specific goals and objectives to 
                support a performance-based budget;
            ``(4) ensure that--
                    ``(A) current and future major system acquisitions 
                have validated national requirements for meeting the 
                strategic plan of the Director; and
                    ``(B) such requirements are prioritized based on 
                budgetary constraints, as specified in the Future Year 
                Intelligence Plans and the Long-term Intelligence 
                Projections required by this Act;
            ``(5) prior to the obligation or expenditure of funds for 
        the acquisition of any major system pursuant to a Milestone A 
        or Milestone B decision, determine that such acquisition 
        complies with the requirements of paragraph (4);
            ``(6) ensure that the architectures of the Director are 
        based on budgetary constraints as specified in the Future Year 
        Intelligence Plans and the Long-term Budget Projections 
        required by this Act;
            ``(7) coordinate or approve representations made to 
        Congress by the intelligence community regarding National 
        Intelligence Program budgetary resources;
            ``(8) preside, or assist in presiding, over any mission 
        requirements, acquisition, or architectural board formed within 
        or by the Office of the Director of National Intelligence; and
            ``(9) perform such other duties as may be prescribed by the 
        Director of National Intelligence or specified by law.
    ``(c) Other Law.--The Chief Financial Officer of the Intelligence 
Community shall serve as the Chief Financial Officer of the 
intelligence community and, to the extent applicable, shall have the 
duties, responsibilities, and authorities specified in the Chief 
Financial Officers Act of 1990 (Public Law 101-576; 104 Stat. 2823) and 
the amendments made by that Act.
    ``(d) Prohibition on Simultaneous Service as Other Chief Financial 
Officer.--An individual serving in the position of Chief Financial 
Officer of the Intelligence Community may not, while so serving, serve 
as the chief financial officer of any other department or agency, or 
component thereof, of the United States Government.
    ``(e) Definitions.--In this section:
            ``(1) The term `major system' has the meaning given that 
        term in section 4 of the Office of Federal Procurement Policy 
        Act (41 U.S.C. 403).
            ``(2) The term `Milestone A' means a decision to enter into 
        concept refinement and technology maturity demonstration 
        pursuant to guidance issued by the Director of National 
        Intelligence.
            ``(3) The term `Milestone B' means a decision to enter into 
        system development, integration, and demonstration pursuant to 
        guidance prescribed by the Director of National 
        Intelligence.''.
    (b) Clerical Amendment.--The table of contents in the first section 
of the National Security Act of 1947, as amended by section 407, is 
further amended by inserting after the item relating to section 103H, 
as added by section 407(a)(2) the following new item:

``Sec. 103I. Chief Financial Officer of the Intelligence Community.''.

SEC. 409. 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.
            ``(13) Chief Financial Officer of the Intelligence 
        Community.''.

SEC. 410. NATIONAL SPACE INTELLIGENCE OFFICE.

    (a) Establishment.--
            (1) In general.--Title I of the National Security Act of 
        1947 (50 U.S.C. 401 et seq.) is amended by adding at the end 
        the following new section:

                  ``national space intelligence office

    ``Sec. 119C.  (a) Establishment.--There is established within the 
Office of the Director of National Intelligence a National Space 
Intelligence Office.
    ``(b) Director of National Space Intelligence Office.--The National 
Intelligence Officer for Science and Technology, or a successor 
position designated by the Director of National Intelligence, shall act 
as the Director of the National Space Intelligence Office.
    ``(c) Missions.--The National Space Intelligence Office shall have 
the following missions:
            ``(1) To coordinate and provide policy direction for the 
        management of space-related intelligence assets.
            ``(2) To prioritize collection activities consistent with 
        the National Intelligence Collection Priorities framework, or a 
        successor framework or other document designated by the 
        Director of National Intelligence.
            ``(3) To provide policy direction for programs designed to 
        ensure a sufficient cadre of government and nongovernment 
        personnel in fields relating to space intelligence, including 
        programs to support education, recruitment, hiring, training, 
        and retention of qualified personnel.
            ``(4) To evaluate independent analytic assessments of 
        threats to classified United States space intelligence systems 
        throughout all phases of the development, acquisition, and 
        operation of such systems.
    ``(d) Access to Information.--The Director of National Intelligence 
shall ensure that the National Space Intelligence Office has access to 
all national intelligence information (as appropriate), and such other 
information (as appropriate and practical), necessary for the Office to 
carry out the missions of the Office under subsection (c).
    ``(e) Separate Budget Account.--The Director of National 
Intelligence shall include in the National Intelligence Program budget 
a separate line item for the National Space Intelligence Office.''.
            (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 119B the following 
        new item:

``Sec. 119C. National Space Intelligence Office.''.
    (b) Report on Organization of Office.--
            (1) Report required.--Not later than 180 days after the 
        date of the enactment of this Act, the Director of the National 
        Space Intelligence Office shall submit to the Select Committee 
        on Intelligence of the Senate and the Permanent Select 
        Committee on Intelligence of the House of Representatives a 
        report on the organizational structure of the National Space 
        Intelligence Office established by section 119C of the National 
        Security Act of 1947 (as added by subsection (a)).
            (2) Elements.--The report required by paragraph (1) shall 
        include the following:
                    (A) The proposed organizational structure of the 
                National Space Intelligence Office.
                    (B) An identification of key participants in the 
                Office.
                    (C) A strategic plan for the Office during the 5-
                year period beginning on the date of the report.

SEC. 411. 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 2009 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. 412. 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. 413. 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. 414. 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);
            (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)''.

SEC. 415. 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. 416. 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.''.

                Subtitle B--Central Intelligence Agency

SEC. 421. 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. 422. 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. 423. 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''.

              Subtitle C--Defense Intelligence Components

SEC. 431. 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. 432. 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. 433. 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 the Inspector General Act of 1978 (5 U.S.C. App. 8G)--
            (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. 434. 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 Geospatial-Intelligence Agency.--Section 
441(b) of title 10, United States Code, is amended--
            (1) by redesignating paragraphs (2) and (3) as paragraphs 
        (3) and (4), respectively; and
            (2) by inserting after paragraph (1) the following new 
        paragraph (2):
    ``(2) The Director of the National Geospatial-Intelligence Agency 
shall be appointed by the President, by and with the advice and consent 
of the Senate.''.
    (c) 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.
    (d) 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 Geospatial-
                Intelligence Agency.
                    (C) The Director of the National Reconnaissance 
                Office.
    (e) Effective Date and Applicability.--
            (1) In general.--The amendments made by subsections (a) and 
        (b), and subsection (c), shall take effect on the date of the 
        enactment of this Act and shall apply upon the earlier of--
                    (A) 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
                    (B) 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.
            (2) Positions of importance and responsibility.--Subsection 
        (d) shall take effect on the date of the enactment of this Act.

SEC. 435. 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)''.

                       Subtitle D--Other Elements

SEC. 441. 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--FOREIGN INTELLIGENCE AND INFORMATION COMMISSION

SEC. 501. SHORT TITLE.

    This title may be cited as the ``Foreign Intelligence and 
Information Commission Act''.

SEC. 502. DEFINITIONS.

    In this title:
            (1) 2005 national intelligence strategy.--The term ``2005 
        National Intelligence Strategy'' means the National 
        Intelligence Strategy of the United States of America released 
        by the Director of National Intelligence on October 26, 2005.
            (2) 2006 annual report of the united states intelligence 
        community and 2006 annual report.--The terms ``2006 Annual 
        Report of the United States Intelligence Community'' and ``2006 
        Annual Report'' mean the 2006 Annual Report of the United 
        States Intelligence Community released by the Director of 
        National Intelligence in February 2007.
            (3) Commission.--The term ``Commission'' means the Foreign 
        Intelligence and Information Commission established in section 
        504(a).
            (4) 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.
            (5) Foreign intelligence, intelligence, intelligence 
        community.--The terms ``foreign intelligence'', 
        ``intelligence'', and ``intelligence community'' have the 
        meaning given those terms in section 3 of the National Security 
        Act of 1947 (50 U.S.C. 401a).
            (6) Information.--The term ``information'' includes 
        information of relevance to the foreign policy of the United 
        States collected and conveyed through diplomatic reporting and 
        other reporting by personnel of the Government of the United 
        States who are not employed by an element of the intelligence 
        community, including public and open-source information.
            (7) Strategic plan of the department of state.--The term 
        ``Strategic Plan of the Department of State'' means the 
        Strategic Plan for Fiscal Years 2007-2012 of the Department of 
        State and the United States Agency for International 
        Development revised on May 2, 2007.

SEC. 503. FINDINGS.

    Congress makes the following findings:
            (1) Accurate, timely, and comprehensive foreign 
        intelligence and information are critical to the national 
        security of United States and the furtherance of the foreign 
        policy goals of the United States.
            (2) It is in the national security and foreign policy 
        interests of the United States to ensure the global deployment 
        of personnel of the Government of the United States who are 
        responsible for collecting, reporting, and analyzing foreign 
        intelligence and information, including specifically personnel 
        from the intelligence community and the Department of State, as 
        well as other elements of the Government of the United States, 
        and that adequate resources are committed to effect such 
        collection, reporting, and analysis.
            (3) The National Security Strategy of the United States of 
        America issued on March 16, 2006 summarized the National 
        Security Strategy of the United States of America issued on 
        September 17, 2002 and provided that ``defeating terrorism 
        requires a long-term strategy and a break with old patterns''.
            (4) The National Security Strategy of the United States of 
        America issued on March 16, 2006 asserts that ``our diplomats 
        must be able to step outside their traditional role to become 
        more involved with the challenges within other societies, 
        helping them directly, channeling assistance, and learning from 
        their experience''.
            (5) The 2005 National Intelligence Strategy and the 2006 
        Annual Report of the United States Intelligence Community 
        identified 5 major missions of the intelligence community to 
        support the national security requirements of the United 
        States, the first 2 of which, defeating terrorism and 
        preventing and countering the spread of weapons of mass 
        destruction, are global and transnational in nature.
            (6) The third major mission identified by the 2005 National 
        Intelligence Strategy and the 2006 Annual Report, bolstering 
        the growth of democracy and sustaining peaceful democratic 
        states, requires a global commitment of intelligence resources.
            (7) The 2005 National Intelligence Strategy and the 2006 
        Annual Report identify as a major mission the need to 
        ``anticipate developments of strategic concern and identify 
        opportunities as well as vulnerabilities for decision makers''.
            (8) The 2006 Annual Report provides the following:
                    (A) ``In a world in which developments in distant 
                reaches of the globe can quickly affect American 
                citizens and interests at home and abroad, the 
                Intelligence Community must alert policy makers to 
                problems before they escalate and provide insights into 
                their causes and effects. Analysis must do more than 
                just describe what is happening and why; it must 
                identify a range of opportunities for (and likely 
                consequences of) diplomatic, military, law enforcement, 
                economic, financial, or homeland security action. To 
                support policymakers, the Intelligence Community should 
                develop, sustain, and maintain access to expertise on 
                every region, every transnational security issue, and 
                every threat to the American people.''.
                    (B) ``[I]ntelligence collectors and analysts 
                provide a great deal of information to help 
                policymakers understand the spread of free institutions 
                and the perils they often face.''.
                    (C) ``We still need to re-balance, integrate, and 
                optimize collection capabilities to meet current and 
                future customer and analytic priorities. Collection is 
                ... what gives the [Intelligence Community] its 
                `competitive advantage' in protecting the United States 
                and its interests.''.
                    (D) ``One challenge to improving the coverage of 
                emerging and strategic issues across the Intelligence 
                Community has been the diversion of resources to 
                current crisis support ...''.
                    (E) ``Collection against terrorists in places like 
                Iraq and Afghanistan took a substantial share of the 
                [Intelligence Community's] resources and efforts in FY 
                2006.''.
                    (F) ``With so many [Intelligence Community] 
                resources dedicated to the War on Terror and WMD 
                programs in closed regimes, the [Intelligence] 
                Community's collection efforts still have to devote 
                significant attention to potential or emerging threats 
                of strategic consequence.''.
            (9) On January 23, 2007, the Deputy Director of National 
        Intelligence for Collection testified to the Select Committee 
        on Intelligence of the Senate that there is a ``need to get the 
        Intelligence Community back to what I grew up calling global 
        reach'', stating that ``we don't have that today''. She further 
        testified that ``our challenge is ... with [Congress's] help 
        [to get back] to a place where we can do global reach, and pay 
        attention to places that we are not''.
            (10) On February 14, 2008, the Director of National 
        Intelligence testified to the Select Committee on Intelligence 
        of the Senate that ``certainly current crisis support takes a 
        disproportionate share'' of intelligence resources over 
        emerging and strategic issues.
            (11) The Strategic Plan of the Department of State--
                    (A) provides that ``National security starts 
                overseas, and our mission is to create conditions 
                abroad that serve and protect American citizens and 
                interests.'';
                    (B) provides as a strategic goal that ``Our 
                diplomatic and development activities will reduce the 
                threat or impact of violent conflict by developing 
                early warning...capability.''; and
                    (C) establishes that the Department of State will 
                ``emphasize regional solutions to regional problems and 
                sustainable, long-term strategies to address complex 
                challenges''.

SEC. 504. ESTABLISHMENT AND FUNCTIONS OF THE COMMISSION.

    (a) Establishment.--There is established in the legislative branch 
a Foreign Intelligence and Information Commission.
    (b) Functions.--The Commission shall--
            (1)(A) evaluate all global strategies of the Government of 
        the United States to collect foreign intelligence and 
        information, including public and open source information, 
        based on current and projected national security and foreign 
        policy priorities; and
            (B) provide recommendations to improve the process for 
        formulating such collection strategies;
            (2)(A) evaluate the extent to which the Government of the 
        United States coordinates foreign intelligence and information 
        collection and analysis strategies across agencies and 
        clandestine, diplomatic, military, and open source channels; 
        and
            (B) provide recommendations to improve that coordination;
            (3)(A) evaluate the extent to which the Government of the 
        United States directs human and budgetary resources toward 
        foreign intelligence and information collection and analysis 
        across all agencies and through the interagency process based 
        on collection and analysis requirements; and
            (B) provide recommendations to ensure that adequate 
        resources are provided to meet such requirements;
            (4)(A) evaluate the extent to which country missions 
        participate in the interagency strategies and budget 
        allocations for foreign intelligence and information 
        collection, analysis, and reporting; and
            (B) provide recommendations for the relevant role of 
        country missions;
            (5)(A) evaluate the extent to which major missions 
        identified in the 2005 National Intelligence Strategy and the 
        2006 Annual Report of the United States Intelligence Community, 
        specifically related to global and transnational issues, have 
        been supported with human and budgetary resources; and
            (B) provide recommendations for directing resources to such 
        missions;
            (6)(A) evaluate the extent to which the requirement, stated 
        in 2005 National Intelligence Strategy and the 2006 Annual 
        Report, to provide policy makers with intelligence and 
        information to anticipate crises before they occur and respond 
        accordingly has been supported with sustained human and 
        budgetary resources, particularly in countries and regions 
        traditionally underserved by the intelligence community; and
            (B) provide recommendations for directing resources to such 
        requirement;
            (7)(A) evaluate the extent to which requirements to collect 
        foreign intelligence and information to anticipate crises or 
        emerging threats have been met through existing collection and 
        analytical capabilities; and
            (B) provide recommendations for improving the 
        prepositioning of foreign intelligence and information 
        collection and analytical capabilities to meet such 
        requirements;
            (8)(A) evaluate--
                    (i) the extent to which foreign intelligence and 
                information collection, including diplomatic reporting 
                and public and open source information and analytical 
                resources, have been disproportionately directed toward 
                current crises, rather than toward predictive analysis; 
                and
                    (ii) the impact of the allocation of resources on 
                finished intelligence production and diplomatic 
                reporting; and
            (B) provide recommendations for improving collection, 
        reporting, and analysis of intelligence and information in 
        accordance with the need for predictive analysis, finished 
        intelligence production, and diplomatic reporting on emerging 
        and strategic issues and on current crises;
            (9)(A) evaluate all existing strategic plans for the 
        collection, reporting, and analysis of information obtained 
        through diplomatic reporting by the Department of State and 
        other agencies and departments of the United States that are 
        not elements of the intelligence community and the extent to 
        which human and budgetary resources have supported such plans; 
        and
            (B) provide recommendations to improve processes for 
        establishing such strategies;
            (10)(A) evaluate the extent to which out-of-capital embassy 
        posts of personnel of the Department of State and other 
        agencies and departments of the United States contribute to 
        information collection objectives; and
            (B) provide recommendations for improving collection, 
        analysis, and reporting capabilities of such posts or if such 
        posts do not exist, provide an assessment of whether there is a 
        need for the creation of such posts;
            (11)(A) evaluate the extent to which the requirement, 
        stated in the Strategic Plan of the Department of State, to 
        provide policy makers information to anticipate crises before 
        they occur and respond accordingly, has been supported with 
        sustained human and budgetary resources, particularly in 
        countries and regions traditionally underserved by the 
        Department of State staff and posts; and
            (B) provide recommendations for directing resources to such 
        requirements;
            (12)(A) evaluate the extent to which the elements of the 
        intelligence community, the Department of State, and other 
        agencies and departments of the United States have promoted and 
        developed language, cultural training, and other qualifications 
        for effective collection of foreign intelligence and 
        information in countries and regions to which the resources of 
        the intelligence community and the positioning of country 
        mission personnel have traditionally been limited; and
            (B) provide recommendations for improving such language and 
        other qualifications;
            (13)(A) evaluate the capabilities of the Government of the 
        United States to collect and report on foreign intelligence and 
        information, including public and open source information, and 
        conduct analysis with regard to ungoverned and undergoverned 
        countries and regions, terrorist safe havens, civil and 
        regional conflicts, arms trafficking, stability, corruption, 
        radicalization and marginalization of specific groups and human 
        rights and governance concerns; and
            (B) provide recommendations to improve collection, 
        reporting, and analysis with regard to such countries and 
        regions and the issues described in subparagraph (A);
            (14)(A) identify any regional and thematic gaps in foreign 
        intelligence and information collection, analysis, and 
        reporting; and
            (B) provide recommendations to overcome such gaps, 
        including gaps related to the allocation of human and budgetary 
        resources and processes for collection, reporting, and analysis 
        of such intelligence and information;
            (15)(A) identify impediments to directing human and 
        budgetary resources toward collection, analysis, and reporting 
        gaps, including the reasons for, and consequences of, such 
        impediments; and
            (B) provide recommendations for overcoming such 
        impediments;
            (16)(A) evaluate policies of the elements of the 
        intelligence community, the Department of State and other 
        agencies and departments of the United States to ensure 
        sustained deployment of qualified personnel in remote or 
        hardship areas of strategic significance; and
            (B) provide recommendations for improving such policies; 
        and
            (17)(A) evaluate processes and mechanisms for reporting of 
        information from country missions to policy makers and human 
        and budgetary resources directed toward such reporting; and
            (B) provide recommendations to improve such reporting.

SEC. 505. MEMBERS AND STAFF OF THE COMMISSION.

    (a) Members of the Commission.--
            (1) Appointment.--The Commission shall be composed of 14 
        members as follows:
                    (A) Three members appointed by the majority leader 
                of the Senate.
                    (B) Three members appointed by the minority leader 
                of the Senate.
                    (C) Three members appointed by the Speaker of the 
                House of Representatives.
                    (D) Three members appointed by the minority leader 
                of the House of Representatives.
                    (E) One nonvoting member appointed by the Director 
                of National Intelligence.
                    (F) One nonvoting member appointed by the Secretary 
                of State.
            (2) Selection.--
                    (A) In general.--Members of the Commission shall be 
                individuals who--
                            (i) are private citizens; and
                            (ii) have--
                                    (I) knowledge and experience in 
                                foreign information and intelligence 
                                collection, analysis, and reporting, 
                                including clandestine collection and 
                                classified analysis, diplomatic 
                                reporting and analysis, and collection 
                                of public and open source information;
                                    (II) knowledge and experience in 
                                issues related to the national security 
                                and foreign policy of the United States 
                                gained by serving as a senior official 
                                of the Department of State, a member of 
                                the Foreign Service, or an employee or 
                                officer of an appropriate agency or 
                                department of the United States or an 
                                independent organization with expertise 
                                in the field of international affairs; 
                                or
                                    (III) knowledge and experience with 
                                foreign policy decision making.
                    (B) Diversity of experience.--The individuals 
                appointed to the Commission should be selected with a 
                view to establishing diversity of experience with 
                regard to various geographic regions, functions, and 
                issues.
            (3) Time of appointment.--The appointments under subsection 
        (a) shall be made not later than 60 days after the date of the 
        enactment of this Act.
            (4) Term of appointment.--Members shall be appointed for 
        the life of the Commission.
            (5) Vacancies.--Any vacancy of the Commission shall not 
        affect the powers of the Commission and shall be filled in the 
        manner in which the original appointment was made.
            (6) Chair.--The members of the Commission shall designate 1 
        of the voting members to serve as the chair of the Commission.
            (7) Quorum.--Eight members of the Commission shall 
        constitute a quorum for purposes of transacting the business of 
        the Commission.
            (8) Meetings.--The Commission shall meet at the call of the 
        chair and shall meet regularly, not less than once every 3 
        months, during the life of the Commission.
    (b) Staff.--
            (1) In general.--The chair of the Commission may, without 
        regard to the civil service laws and regulations, appoint and 
        terminate an executive director and, in consultation with the 
        executive director, appoint and terminate such other additional 
        personnel as may be necessary to enable the Commission to 
        perform its duties. In addition to the executive director and 1 
        full-time support staff for the executive director, there shall 
        be additional staff with relevant intelligence and foreign 
        policy experience to help support the Commission's work.
            (2) Selection of the executive director.--The executive 
        director shall be selected with the approval of a majority of 
        the members of the Commission.
            (3) Compensation.--
                    (A) Executive director.--The executive director 
                shall be compensated at the rate payable for level IV 
                of the Executive Schedule under section 5315 of title 
                5, United States Code.
                    (B) Staff.--The chair of the Commission may fix the 
                compensation of other staff of the Commission without 
                regard to the provisions of chapter 51 and subchapter 
                III of chapter 53 of title 5, United States Code, 
                relating to classification of positions and General 
                Schedule pay rates, except that the rate of pay for 
                such personnel may not exceed the rate payable for 
                level IV of the Executive Schedule under section 5315 
                of such title.
    (c) Experts and Consultants.--This Commission is authorized to 
procure temporary or intermittent services of experts and consultants 
as necessary to the extent authorized by section 3109 of title 5, 
United States Code, at rates not to exceed the maximum annual rate of 
basic pay payable under section 5376 of such title.
    (d) Staff and Services of Other Agencies or Department of the 
United States.--Upon the request of the Commission, the head of any 
agency or department of the United States may detail, on a reimbursable 
or nonreimbursable basis, any of the personnel of that department or 
agency to the Commission to assist it in carrying out this Act. The 
detail of any such personnel shall be without interruption or loss of 
civil service or Foreign Service status or privilege.
    (e) Security Clearance.--The appropriate agencies or departments of 
the United States shall cooperate with the Commission in expeditiously 
providing to the members and staff of the Commission appropriate 
security clearances to the extent possible pursuant to existing 
procedures and requirements.

SEC. 506. POWERS AND DUTIES OF THE COMMISSION.

    (a) In General.--
            (1) Hearings and evidence.--The Commission may, for the 
        purpose of carrying out this Act--
                    (A) hold hearings, sit and act at times and places 
                in the United States and in countries in which the 
                United States has a diplomatic presence, take 
                testimony, and receive evidence as the Commission 
                considers advisable to carry out this Act; and
                    (B) subject to subsection (b)(1), require, by 
                subpoena or otherwise, the attendance and testimony of 
                such witnesses and the production of such books, 
                records, correspondence, memoranda, papers, and 
                documents, as the Commission considers necessary.
    (b) Subpoenas.--
            (1) Issuance.--
                    (A) In general.--A subpoena may be issued under 
                this section only--
                            (i) by the agreement of the chair of the 
                        Commission; and
                            (ii) by the affirmative vote of 6 members 
                        of the Commission.
                    (B) Signature.--Subject to subparagraph (A), 
                subpoenas issued under this section may be issued under 
                the signature of the chair or any member designated by 
                a majority of the Commission and may be served by any 
                person designated by the chair or by a member 
                designated by a majority of the Commission.
            (2) Enforcement.--
                    (A) In general.--In the case of contumacy or 
                failure to obey a subpoena issued under this section, 
                the United States district court for the judicial 
                district in which the subpoenaed person resides, is 
                served, or may be found, or where the subpoena is 
                returnable, may issue an order requiring such person to 
                appear at any designated place to testify or to produce 
                documentary or other evidence. Any failure to obey the 
                order of the court may be punished by the court as a 
                contempt of that court.
                    (B) Additional enforcement.--In the case of any 
                failure of any witness to comply with any subpoena or 
                to testify when summoned under authority of this 
                section, the Commission may, by majority vote, certify 
                a statement of fact constituting such failure to the 
                appropriate United States attorney, who may bring the 
                matter before the grand jury for its action, under the 
                same statutory authority and procedures as if the 
                United States attorney had received a certification 
                under sections 102 through 104 of the Revised Statutes 
                of the United States (2 U.S.C. 192 through 194).
    (c) Information From Federal Agencies.--The Commission may secure 
directly from any agency or department of the United States such 
information as the Commission considers necessary to carry out this 
Act. Upon request of the chair of the Commission, the head of such 
agency or department shall furnish such information to the Commission, 
subject to applicable law.
    (d) Postal Services.--The Commission may use the United States 
mails in the same manner and under the same conditions as other 
departments and agencies of the United States.
    (e) Administrative Support.--The Administrator of General Services 
shall provide to the Commission on a reimbursable basis (or, in the 
discretion of the Administrator, on a nonreimbursable basis) such 
administrative support services as the Commission may request to carry 
out this Act.
    (f) Administrative Procedures.--The Commission may adopt such rules 
and regulations, relating to administrative procedure, as may be 
reasonably necessary to enable it to carry out this Act.
    (g) Travel.--
            (1) In general.--The members and staff of the Commission 
        may, with the approval of the Commission, conduct such travel 
        as is necessary to carry out this Act.
            (2) Expenses.--Members of the Commission shall serve 
        without pay but shall be allowed travel expenses, including per 
        diem in lieu of subsistence, at rates authorized for employees 
        of agencies under subchapter I of chapter 57 of title 5, United 
        States Code, while away from their homes or regular places of 
        business in the performance of services for the Commission.
    (h) Gifts.--No member of the Commission may receive a gift or 
benefit by reason of such member's service on the Commission.

SEC. 507. REPORT OF THE COMMISSION.

    (a) In General.--
            (1) Interim report.--Not later than 18 months after the 
        members of the Commission are appointed under section 505(a), 
        the Commission shall submit an interim report to the 
        congressional intelligence committees setting forth the 
        preliminary findings and recommendations of the Commission 
        described in section 504(b).
            (2) Final report.--Not later than 6 months after the 
        submission of the report required by paragraph (1), the 
        Commission shall submit a final report setting forth the final 
        findings and recommendations of the Commission described in 
        section 504(b) to the following:
                    (A) The President.
                    (B) The Director of National Intelligence.
                    (C) The Secretary of State.
                    (D) The congressional intelligence committees.
    (b) Individual or Dissenting Views.--Each member of the Commission 
may include that member's dissenting views in a report required by 
paragraph (1) or (2) of subsection (a).
    (c) Form of Report.--The reports required by paragraphs (1) and (2) 
of subsection (a), including any finding or recommendation of such 
report, shall be submitted in both an unclassified and a classified 
form.

SEC. 508. TERMINATION.

    The Commission shall terminate 60 days after the submission of the 
report required by section 507(a)(2).

SEC. 509. NONAPPLICABILITY OF FEDERAL ADVISORY COMMITTEE ACT.

    The Federal Advisory Committee Act (5 U.S.C. App.) shall not apply 
to the Commission.

SEC. 510. FUNDING.

    (a) Transfer From the National Intelligence Program.--Of the 
amounts available for the National Intelligence Program for fiscal year 
2009, $5,000,000 shall be available for transfer to the Commission to 
carry out this title.
    (b) Availability.--The amounts made available to the Commission 
pursuant to subsection (a) shall remain available until the termination 
of the Commission.

                     TITLE VI--TECHNICAL AMENDMENTS

SEC. 601. 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. 602. 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. 603. 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. 604. 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. 605. 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. 606. 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.''.
                                                       Calendar No. 730

110th CONGRESS

  2d Session

                                S. 2996

                          [Report No. 110-333]

_______________________________________________________________________

                                 A BILL

 To authorize appropriations for fiscal year 2009 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.

_______________________________________________________________________

                              May 8, 2008

                 Read twice and placed on the calendar