[Congressional Record Volume 144, Number 137 (Monday, October 5, 1998)]
[House]
[Pages H9522-H9531]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




                     CONFERENCE REPORT ON H.R. 3694

  Mr. GOSS submitted the following conference report and statement on 
the

[[Page H9523]]

bill (H.R. 3694), to authorize appropriations for fiscal year 1999 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:

                  Conference Report (H. Rept. 105-780)

       The committee of conference on the disagreeing votes of the 
     two Houses on the amendment of the Senate to the bill (H.R. 
     3694), to authorize appropriations for fiscal year 1999 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, having met, after full and 
     free conference, have agreed to recommend and do recommend to 
     their respective Houses as follows:
       That the House recede from its disagreement to the 
     amendment of the Senate and agree to the same with an 
     amendment as follows:
       In lieu of the matter proposed to be inserted by the Senate 
     amendment, insert the following:

     SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

       (a) Short Title.--This Act may be cited as the 
     ``Intelligence Authorization Act for Fiscal Year 1999''.
       (b) Table of Contents.--The table of contents for this Act 
     is as follow:

Sec. 1. Short title; table of contents.

                    TITLE I--INTELLIGENCE ACTIVITIES

Sec. 101. Authorization of appropriations.
Sec. 102. Classified schedule of authorizations.
Sec. 103. Personnel ceiling adjustments.
Sec. 104. Community Management Account.
Sec. 105. Authorization of emergency supplemental appropriations for 
              fiscal year 1998.

 TITLE II--CENTRAL INTELLIGENCE AGENCY RETIREMENT AND DISABILITY SYSTEM

Sec. 201. Authorization of appropriations.

                     TITLE III--GENERAL PROVISIONS

Sec. 301. Increase in employee compensation and benefits authorized by 
              law.
Sec. 302. Restriction on conduct of intelligence activities.
Sec. 303. One-year extension of application of sanctions laws to 
              intelligence activities.
Sec. 304. Sense of Congress on intelligence community contracting.
Sec. 305. Modification of national security education program.
Sec. 306. Requirement to direct competitive analysis of analytical 
              products having National importance.
Sec. 307. Annual reports to Congress.
Sec. 308. Quadrennial intelligence review.
Sec. 309. Designation of headquarters compound of Central Intelligence 
              Agency as the George Bush Center for Intelligence.

                 TITLE IV--CENTRAL INTELLIGENCE AGENCY

Sec. 401. Enhanced protective authority for CIA personnel and family 
              members.
Sec. 402. Authority for retroactive payment of specified special pay 
              allowance.
Sec. 403. Technical amendments.

         TITLE V--DEPARTMENT OF DEFENSE INTELLIGENCE ACTIVITIES

Sec. 501. Extension of authority to engage in commercial activities as 
              security for intelligence collection activities.

      TITLE VI--FOREIGN INTELLIGENCE AND INTERNATIONAL TERRORISM 
                             INVESTIGATIONS

Sec. 601. Pen registers and trap and trace devices in foreign 
              intelligence and international terrorism investigations.
Sec. 602. Access to certain business records for foreign intelligence 
              and international terrorism investigations.
Sec. 603. Conforming and clerical amendments.
Sec. 604. Wire and electronic communications interception requirements.
Sec. 605. Authority of Attorney General to accept voluntary services.

    TITLE VII--WHISTLEBLOWER PROTECTION FOR INTELLIGENCE COMMUNITY 
            EMPLOYEES REPORTING URGENT CONCERNS TO CONGRESS

Sec. 701. Short title; findings.
Sec. 702. Protection of intelligence community employees who report 
              urgent concerns to congress.

                    TITLE I--INTELLIGENCE ACTIVITIES

     SEC. 101. AUTHORIZATION OF APPROPRIATIONS.

       Funds are hereby authorized to be appropriated for fiscal 
     year 1999 for the conduct of the intelligence and 
     intelligence-related activities of the following elements of 
     the United States Government:
       (1) The Central Intelligence Agency.
       (2) The Department of Defense.
       (3) The Defense Intelligence Agency.
       (4) The National Security Agency.
       (5) The Department of the Army, the Department of the Navy, 
     and the Department of the Air Force.
       (6) The Department of State.
       (7) The Department of the Treasury.
       (8) The Department of Energy.
       (9) The Federal Bureau of Investigation.
       (10) The National Reconnaissance Office.
       (11) The National Imagery and Mapping Agency.

     SEC. 102. CLASSIFIED SCHEDULE OF AUTHORIZATIONS.

       (a) Specifications of Amounts and Personnel Ceilings.--The 
     amounts authorized to be appropriated under section 101, and 
     the authorized personnel ceilings as of September 30, 1999, 
     for the conduct of the intelligence and intelligence-related 
     activities of the elements listed in such section, are those 
     specified in the classified Schedule of Authorizations 
     prepared to accompany the conference report on the bill H.R. 
     3694 of the 105th Congress.
       (b) Availability of Classified Schedule of 
     Authorizations.--The Schedule of Authorizations shall be made 
     available to the Committees on Appropriations of the Senate 
     and House of Representatives and to the President. The 
     President shall provide for suitable distribution of the 
     Schedule, or of appropriate portions of the Schedule, within 
     the Executive Branch.

     SEC. 103. PERSONNEL CEILING ADJUSTMENTS.

       (a) Authority for Adjustments.--With the approval of the 
     Director of the Office of Management and Budget, the Director 
     of Central Intelligence may authorize employment of civilian 
     personnel in excess of the number authorized for fiscal year 
     1999 under section 102 when the Director of Central 
     Intelligence determines that such action is necessary to the 
     performance of important intelligence functions, except that 
     the number of personnel employed in excess of the number 
     authorized under such section may not, for any element of the 
     intelligence community, exceed two percent of the number of 
     civilian personnel authorized under such section for such 
     element.
       (b) Notice to Intelligence Committees.--The Director of 
     Central Intelligence shall promptly notify the Permanent 
     Select Committee on Intelligence of the House of 
     Representatives and the Select Committee on Intelligence of 
     the Senate upon an exercise of the authority granted by this 
     section.

     SEC. 104. COMMUNITY MANAGEMENT ACCOUNT.

       (a) Authorization of Appropriations.--There is authorized 
     to be appropriated for the Community Management Account of 
     the Director of Central Intelligence for fiscal year 1999 the 
     sum of $129,123,000. Within such amount, funds identified in 
     the classified Schedule of Authorizations referred to in 
     section 102(a) for the Advanced Research and Development 
     Committee and the Advanced Technology Group shall remain 
     available until September 30, 2000.
       (b) Authorized Personnel Levels.--The elements within the 
     Community Management Account of the Director of Central 
     Intelligence are authorized 283 full-time personnel as of 
     September 30, 1999. Personnel serving in such elements may be 
     permanent employees of the Community Management Staff or 
     personnel detailed from other elements of the United States 
     Government.
       (c) Classified Authorizations.--
       (1) Authorization of appropriations.--In addition to 
     amounts authorized to be appropriated for the Community 
     Management Account by subsection (a), there is also 
     authorized to be appropriated for the Community Management 
     Account for fiscal year 1999 such additional amounts as are 
     specified in the classified Schedule of Authorizations 
     referred to in section 102(a). Such additional amounts shall 
     remain available until September 30, 2000.
       (2) Authorization of personnel.--In addition to the 
     personnel authorized by subsection (b) for elements of the 
     Community Management Account as of September 30, 1999, there 
     is authorized such additional personnel for such elements as 
     of that date as is specified in the classified Schedule of 
     Authorizations.
       (d) Reimbursement.--Except as provided in section 113 of 
     the National Security Act of 1947 (50 U.S.C. 404h), during 
     fiscal year 1999, any officer or employee of the United 
     States or member of the Armed Forces who is detailed to the 
     staff of an element within the Community Management Account 
     from another element of the United States Government shall be 
     detailed on a reimbursable basis, except that any such 
     officer, employee, or member may be detailed on a 
     nonreimbursable basis for a period of less than one year for 
     the performance of temporary functions as required by the 
     Director of Central Intelligence.
       (e) National Drug Intelligence Center.--
       (1) In general.--Of the amount appropriated pursuant to the 
     authorization in subsection (a), the amount of $27,000,000 
     shall be available for the National Drug Intelligence Center. 
     Within such amount, funds provided for research, development, 
     test, and evaluation purposes shall remain available until 
     September 30, 2000, and funds provided for procurement 
     purposes shall remain available until September 30, 2001.
       (2) Transfer of funds.--The Director of Central 
     Intelligence shall transfer to the Attorney General of the 
     United States funds available for the National Drug 
     Intelligence Center under paragraph (1). The Attorney General 
     shall utilize funds so transferred for the activities of the 
     National Drug Intelligence Center.
       (3) Limitation.--Amounts available for the National Drug 
     Intelligence Center may not be used in contravention of the 
     provisions of section 103(d)(1) of the National Security Act 
     of 1947 (50 U.S.C. 403-3(d)(1)).
       (4) Authority.--Notwithstanding any other provision of law, 
     the Attorney General shall retain full authority over the 
     operations of the National Drug Intelligence Center.
       (f) Transfer Authority for Funds for Security Requirements 
     at Overseas Locations.--
       (1) In general.--Of the amount appropriated pursuant to the 
     authorization in subsection (a), the Director of Central 
     Intelligence may transfer funds to departments or other 
     agencies for the sole purpose of supporting certain 
     intelligence community security requirements at overseas 
     locations, as specified by the Director.

[[Page H9524]]

       (2) Limitation.--Amounts made available for departments or 
     agencies under paragraph (1) shall be--
       (A) transferred to the specific appropriation;
       (B) allocated to the specific account in the specific 
     amount, as determined by the Director;
       (C) merged with funds in such account that are available 
     for architectural and engineering support expenses at 
     overseas locations; and
       (D) available only for the same purposes, and subject to 
     the same terms and conditions, as the funds described in 
     subparagraph (C).

     SEC. 105. AUTHORIZATION OF EMERGENCY SUPPLEMENTAL 
                   APPROPRIATIONS FOR FISCAL YEAR 1998.

       (a) Authorization.--Amounts authorized to be appropriated 
     for fiscal year 1998 under section 101 of the Intelligence 
     Authorization Act for Fiscal Year 1998 (Public Law 105-107) 
     for the conduct of the intelligence activities of elements of 
     the United States Government listed in such section are 
     hereby increased, with respect to any such authorized amount, 
     by the amount by which appropriations pursuant to such 
     authorization were increased by the following:
       (1) An emergency supplemental appropriation in title I of 
     the 1998 Supplemental Appropriations and Rescissions Act 
     (Public Law 105-174).
       (2) An emergency supplemental appropriation in a 
     supplemental appropriations Act for fiscal year 1998 that is 
     enacted after September 28, 1998, for such amounts as are 
     designated by Congress as an emergency requirement pursuant 
     to section 251(b)(2)(A) of the Balanced Budget and Emergency 
     Deficit Control Act of 1985 (2 U.S.C. 901(b)(2)(A)).
       (b) Ratification.--For purposes of section 504 of the 
     National Security Act of 1947 (50 U.S.C. 414), any obligation 
     or expenditure of those amounts deemed to have been 
     specifically authorized by Congress in the Act referred to in 
     subsection (a)(1) and in the supplemental appropriations Act 
     referred to in subsection (a)(2) is hereby ratified and 
     confirmed.

 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 1999 the sum of $201,500,000.

                     TITLE III--GENERAL PROVISIONS

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

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

     SEC. 302. RESTRICTION ON CONDUCT OF INTELLIGENCE ACTIVITIES.

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

     SEC. 303. ONE-YEAR EXTENSION OF APPLICATION OF SANCTIONS LAWS 
                   TO INTELLIGENCE ACTIVITIES.

       Section 905 of the National Security Act of 1947 (50 U.S.C. 
     441d) is amended by striking out ``January 6, 1999'' and 
     inserting in lieu thereof ``January 6, 2000''.

     SEC. 304. SENSE OF CONGRESS ON INTELLIGENCE COMMUNITY 
                   CONTRACTING.

       It is the sense of Congress that the Director of Central 
     Intelligence should continue to direct that elements of the 
     intelligence community, whenever compatible with the national 
     security interests of the United States and consistent with 
     operational and security concerns related to the conduct of 
     intelligence activities, and where fiscally sound, should 
     competitively award contracts in a manner that maximizes the 
     procurement of products properly designated as having been 
     made in the United States.

     SEC. 305. MODIFICATION OF NATIONAL SECURITY EDUCATION 
                   PROGRAM.

       (a) Assistance for Counterproliferation Studies.--The David 
     L. Boren National Security Education Act of 1991 (50 U.S.C. 
     1901 et seq.) is amended as follows:
       (1) Section 801 (50 U.S.C. 1901) is amended by inserting 
     ``counterproliferation studies,'' after ``area studies,'' in 
     subsections (b)(7) and (c)(2).
       (2) Section 802 (50 U.S.C. 1902) is amended--
       (A) in subsection (a), by inserting ``counterproliferation 
     studies,'' after ``area studies,'' in paragraphs (1)(B)(i), 
     (1)(C), and (4); and
       (B) in subsection (b)(2), by inserting 
     ``counterproliferation study,'' after ``area study,'' in 
     subparagraphs (A)(ii) and (B)(ii).
       (3) Section 803 (50 U.S.C. 1903) is amended by striking out 
     ``and area'' in subsections (b)(8) and (d)(4) and inserting 
     in lieu thereof ``area, and counterproliferation''.
       (4) Section 806(b)(1) (50 U.S.C. 1906(b)(1)) is amended by 
     striking out ``and area'' and inserting in lieu thereof 
     ``area, and counterproliferation''.
       (b) Revision of Membership of National Security Education 
     Board.--Section 803(b)(6) of such Act (50 U.S.C. 1903(b)(6)) 
     is amended to read as follows:
       ``(6) The Secretary of Energy.''.

     SEC. 306. REQUIREMENT TO DIRECT COMPETITIVE ANALYSIS OF 
                   ANALYTICAL PRODUCTS HAVING NATIONAL IMPORTANCE.

       Section 102(g)(2) of the National Security Act of 1947 (50 
     U.S.C. 403(g)(2)) is amended--
       (1) by redesignating subparagraphs (D) and (E) as 
     subparagraphs (E) and (F), respectively; and
       (2) by inserting after subparagraph (C) the following new 
     subparagraph (D):
       ``(D) direct competitive analysis of analytical products 
     having National importance;''.

     SEC. 307. ANNUAL REPORTS TO CONGRESS.

       (a) Additional Annual Reports From the Director of Central 
     Intelligence.--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:


 ``Additional Annual Reports from the Director of Central Intelligence

       ``Sec. 114. (a) Report on Intelligence Community 
     Cooperation with Federal Law Enforcement Agencies.--(1) Not 
     later than December 31 of each year, the Director of Central 
     Intelligence shall submit to the congressional intelligence 
     committees and the congressional leadership a report 
     describing the nature and extent of cooperation and 
     assistance provided by the intelligence community to Federal 
     law enforcement agencies with respect to efforts to stop the 
     illegal importation into the United States of controlled 
     substances (as that term is defined in section 102(6) of the 
     Controlled Substances Act (21 U.S.C. 802(6)) that are 
     included in schedule I or II under part B of such Act.
       ``(2) Each such report shall include a discussion of the 
     following:
       ``(A) Illegal importation of such controlled substances 
     through transit zones such as the Caribbean Sea and across 
     the southwest and northern borders of the United States.
       ``(B) Methodologies used for such illegal importation.
       ``(C) Additional routes used for such illegal importation.
       ``(D) Quantities of such controlled substances transported 
     through each route.
       ``(3) Each such report may be prepared in classified form, 
     unclassified form, or unclassified form with a classified 
     annex.
       ``(b) Annual Report on the Safety and Security of Russian 
     Nuclear Facilities and Nuclear Military Forces.--(1) The 
     Director of Central Intelligence shall, on an annual basis, 
     submit to the congressional intelligence committees and the 
     congressional leadership an intelligence report assessing the 
     safety and security of the nuclear facilities and nuclear 
     military forces in Russia.
       ``(2) Each such report shall include a discussion of the 
     following:
       ``(A) The ability of the Government of Russia to maintain 
     its nuclear military forces.
       ``(B) The security arrangements at civilian and military 
     nuclear facilities in Russia.
       ``(C) The reliability of controls and safety systems at 
     civilian nuclear facilities in Russia.
       ``(D) The reliability of command and control systems and 
     procedures of the nuclear military forces in Russia.
       ``(3) Each such report shall be submitted in unclassified 
     form, but may contain a classified annex.
       ``(c) Definitions.--In this section:
       ``(1) The term `congressional intelligence committees' 
     means the Permanent Select Committee on Intelligence of the 
     House of Representatives and the Select Committee on 
     Intelligence of the Senate.
       ``(2) The term `congressional leadership' means the Speaker 
     and the minority leader of the House of Representatives and 
     the majority leader and the minority leader of the Senate.''.
       (b) Clerical Amendment.--The table of contents in the first 
     section of such Act is amended by inserting after the item 
     relating to section 113 the following new item:

``Sec. 114. Additional annual reports from the Director of Central 
              Intelligence.''.

       (c) Date for First Report on Cooperation With Civilian Law 
     Enforcement Agencies.--The first report under section 114(a) 
     of the National Security Act of 1947, as added by subsection 
     (a), shall be submitted not later than December 31, 1999.

     SEC. 308. QUADRENNIAL INTELLIGENCE REVIEW.

       (a) Sense of Congress.--It is the sense of Congress--
       (1) that the Director of Central Intelligence and the 
     Secretary of Defense should jointly complete, in 1999 and 
     every four years thereafter, a comprehensive review of United 
     States intelligence programs and activities, with each such 
     review--
       (A) to include assessments of intelligence policy, 
     resources, manpower, organization, and related matters; and
       (B) to encompass the programs and activities funded under 
     the National Foreign Intelligence Program (NFIP), the Joint 
     Military Intelligence Program (JMIP), and the Tactical 
     Intelligence and Related Activities (TIARA) accounts;
       (2) that the results of each review should be shared with 
     the appropriate committees of Congress and the congressional 
     leadership; and
       (3) that the Director, in conjunction with the Secretary, 
     should establish a nonpartisan, independent panel (with 
     members chosen in consultation with the appropriate 
     committees of Congress and the congressional leadership from 
     individuals in the private sector) in order to--
       (A) assess each review under paragraph (1);
       (B) conduct an assessment of alternative intelligence 
     structures to meet the anticipated intelligence requirements 
     for the national security and foreign policy of the United 
     States through the year 2010; and
       (C) make recommendations to the Director and the Secretary 
     regarding the optimal intelligence structure for the United 
     States in light of the assessment under subparagraph (B).
       (b) Report.--(1) Not later than December 1, 1998, the 
     Director of Central Intelligence and the Secretary of Defense 
     shall jointly submit to the committees specified in paragraph 
     (2) the views of the Director and the Secretary regarding--
       (A) the potential value of conducting quadrennial 
     intelligence reviews as described in subsection (a)(1); and

[[Page H9525]]

       (B) the potential value of assessments of such reviews as 
     described in subsection (a)(3)(A).
       (2) The committees referred to in paragraph (1) are the 
     following:
       (A) The Select Committee on Intelligence, the Committee on 
     Armed Services, and the Committee on Appropriations of the 
     Senate.
       (B) The Permanent Select Committee on Intelligence, the 
     Committee on National Security, and the Committee on 
     Appropriations of the House of Representatives.

     SEC. 309. DESIGNATION OF HEADQUARTERS COMPOUND OF CENTRAL 
                   INTELLIGENCE AGENCY AS THE GEORGE BUSH CENTER 
                   FOR INTELLIGENCE.

       (a) Designation.--The headquarters compound of the Central 
     Intelligence Agency located in Langley, Virginia, shall be 
     known and designated as the ``George Bush Center for 
     Intelligence''.
       (b) References.--Any reference in a law, map, regulation, 
     document, paper, or other record of the United States to the 
     headquarters compound referred to in subsection (a) shall be 
     deemed to be a reference to the ``George Bush Center for 
     Intelligence''.

                 TITLE IV--CENTRAL INTELLIGENCE AGENCY

     SEC. 401. ENHANCED PROTECTIVE AUTHORITY FOR CIA PERSONNEL AND 
                   FAMILY MEMBERS.

       Section 5(a)(4) of the Central Intelligence Agency Act of 
     1949 (50 U.S.C. 403f(a)(4)) is amended by striking out ``and 
     the protection of Agency personnel and of defectors, their 
     families,'' and inserting in lieu thereof ``and the 
     protection of current and former Agency personnel and their 
     immediate families, defectors and their immediate 
     families,''.

     SEC. 402. AUTHORITY FOR RETROACTIVE PAYMENT OF SPECIFIED 
                   SPECIAL PAY ALLOWANCE.

       (a) Authorization.--The Director of Central Intelligence 
     may make payments with respect to the period beginning on 
     January 30, 1998, and ending on April 7, 1998, of the special 
     pay allowance described in the Central Intelligence Agency 
     notice dated April 7, 1998 (notwithstanding the otherwise 
     applicable effective date for such payments of April 7, 
     1998).
       (b) Funds Available.--Payments authorized by subsection (a) 
     may be made from amounts appropriated for the Central 
     Intelligence Agency for fiscal year 1998 or for fiscal year 
     1999.

     SEC. 403. TECHNICAL AMENDMENTS.

       (a) Central Intelligence Agency Act of 1949.--The Central 
     Intelligence Agency Act of 1949 is amended as follows:
       (1) Section 5(a)(1) (50 U.S.C. 403f(a)(1)) is amended--
       (A) by striking out ``subparagraphs (B) and (C) of section 
     102(a)(2)'' and inserting in lieu thereof ``paragraphs (2) 
     and (3) of section 102(a)'';
       (B) by striking out ``(c)(5)'' and inserting in lieu 
     thereof ``(c)(6)'';
       (C) by inserting ``(3),'' after ``403(a)(2),'';
       (D) by inserting ``(c)(6), (d)'' after ``403-3''; and
       (E) by inserting ``(a), (g)'' after ``403-4''.
       (2) Section 6 (50 U.S.C. 403g) is amended by striking out 
     ``(c)(5)'' each place it appears and inserting in lieu 
     thereof ``(c)(6)''.
       (b) Central Intelligence Agency Retirement Act.--Section 
     201(c) of the Central Intelligence Agency Retirement Act (50 
     U.S.C. 2011(c)) is amended by striking out ``section 
     103(c)(5) of the National Security Act of 1947 (50 U.S.C. 
     403-3(c)(5))'' and inserting in lieu thereof ``paragraph (6) 
     of section 103(c) of the National Security Act of 1947 (50 
     U.S.C. 403-3(c))''.

         TITLE V--DEPARTMENT OF DEFENSE INTELLIGENCE ACTIVITIES

     SEC. 501. EXTENSION OF AUTHORITY TO ENGAGE IN COMMERCIAL 
                   ACTIVITIES AS SECURITY FOR INTELLIGENCE 
                   COLLECTION ACTIVITIES.

       Section 431(a) of title 10, United States Code, is amended 
     by striking out ``December 31, 1998'' and inserting in lieu 
     thereof ``December 31, 2000''.

      TITLE VI--FOREIGN INTELLIGENCE AND INTERNATIONAL TERRORISM 
                             INVESTIGATIONS

     SEC. 601. PEN REGISTERS AND TRAP AND TRACE DEVICES IN FOREIGN 
                   INTELLIGENCE AND INTERNATIONAL TERRORISM 
                   INVESTIGATIONS.

       The Foreign Intelligence Surveillance Act of 1978 (50 
     U.S.C. 1801 et seq.) is amended--
       (1) by redesignating title IV as title VI and section 401 
     as section 601, respectively; and
       (2) by inserting after title III the following new title:

   ``TITLE IV--PEN REGISTERS AND TRAP AND TRACE DEVICES FOR FOREIGN 
                         INTELLIGENCE PURPOSES


                             ``definitions

       ``Sec. 401. As used in this title:
       ``(1) The terms `foreign power', `agent of a foreign 
     power', `international terrorism', `foreign intelligence 
     information', `Attorney General', `United States person', 
     `United States', `person', and `State' shall have the same 
     meanings as in section 101 of this Act.
       ``(2) The terms `pen register' and `trap and trace device' 
     have the meanings given such terms in section 3127 of title 
     18, United States Code.
       ``(3) The term `aggrieved person' means any person--
       ``(A) whose telephone line was subject to the installation 
     or use of a pen register or trap and trace device authorized 
     by this title; or
       ``(B) whose communication instrument or device was subject 
     to the use of a pen register or trap and trace device 
     authorized by this title to capture incoming electronic or 
     other communications impulses.


``pen registers and trap and trace devices for foreign intelligence and 
                 international terrorism investigations

       ``Sec. 402. (a)(1) Notwithstanding any other provision of 
     law, the Attorney General or a designated attorney for the 
     Government may make an application for an order or an 
     extension of an order authorizing or approving the 
     installation and use of a pen register or trap and trace 
     device for any investigation to gather foreign intelligence 
     information or information concerning international terrorism 
     which is being conducted by the Federal Bureau of 
     Investigation under such guidelines as the Attorney General 
     approves pursuant to Executive Order No. 12333, or a 
     successor order.
       ``(2) The authority under paragraph (1) is in addition to 
     the authority under title I of this Act to conduct the 
     electronic surveillance referred to in that paragraph.
       ``(b) Each application under this section shall be in 
     writing under oath or affirmation to--
       ``(1) a judge of the court established by section 103(a) of 
     this Act; or
       ``(2) a United States Magistrate Judge under chapter 43 of 
     title 28, United States Code, who is publicly designated by 
     the Chief Justice of the United States to have the power to 
     hear applications for and grant orders approving the 
     installation and use of a pen register or trap or trace 
     device on behalf of a judge of that court.
       ``(c) Each application under this section shall require the 
     approval of the Attorney General, or a designated attorney 
     for the Government, and shall include--
       ``(1) the identity of the Federal officer seeking to use 
     the pen register or trap and trace device covered by the 
     application;
       ``(2) a certification by the applicant that the information 
     likely to be obtained is relevant to an ongoing foreign 
     intelligence or international terrorism investigation being 
     conducted by the Federal Bureau of Investigation under 
     guidelines approved by the Attorney General; and
       ``(3) information which demonstrates that there is reason 
     to believe that the telephone line to which the pen register 
     or trap and trace device is to be attached, or the 
     communication instrument or device to be covered by the pen 
     register or trap and trace device, has been or is about to be 
     used in communication with--
       ``(A) an individual who is engaging or has engaged in 
     international terrorism or clandestine intelligence 
     activities that involve or may involve a violation of the 
     criminal laws of the United States; or
       ``(B) a foreign power or agent of a foreign power under 
     circumstances giving reason to believe that the communication 
     concerns or concerned international terrorism or clandestine 
     intelligence activities that involve or may involve a 
     violation of the criminal laws of the United States.
       ``(d)(1) Upon an application made pursuant to this section, 
     the judge shall enter an ex parte order as requested, or as 
     modified, approving the installation and use of a pen 
     register or trap and trace device if the judge finds that the 
     application satisfies the requirements of this section.
       ``(2) An order issued under this section--
       ``(A) shall specify--
       ``(i) the identity, if known, of the person who is the 
     subject of the foreign intelligence or international 
     terrorism investigation;
       ``(ii) in the case of an application for the installation 
     and use of a pen register or trap and trace device with 
     respect to a telephone line--
       ``(I) the identity, if known, of the person to whom is 
     leased or in whose name the telephone line is listed; and
       ``(II) the number and, if known, physical location of the 
     telephone line; and
       ``(iii) in the case of an application for the use of a pen 
     register or trap and trace device with respect to a 
     communication instrument or device not covered by clause 
     (ii)--
       ``(I) the identity, if known, of the person who owns or 
     leases the instrument or device or in whose name the 
     instrument or device is listed; and
       ``(II) the number of the instrument or device; and
       ``(B) shall direct that--
       ``(i) upon request of the applicant, the provider of a wire 
     or electronic communication service, landlord, custodian, or 
     other person shall furnish any information, facilities, or 
     technical assistance necessary to accomplish the installation 
     and operation of the pen register or trap and trace device in 
     such a manner as will protect its secrecy and produce a 
     minimum amount of interference with the services that such 
     provider, landlord, custodian, or other person is providing 
     the person concerned;
       ``(ii) such provider, landlord, custodian, or other 
     person--
       ``(I) shall not disclose the existence of the investigation 
     or of the pen register or trap and trace device to any person 
     unless or until ordered by the court; and
       ``(II) shall maintain, under security procedures approved 
     by the Attorney General and the Director of Central 
     Intelligence pursuant to section 105(b)(2)(C) of this Act, 
     any records concerning the pen register or trap and trace 
     device or the aid furnished; and
       ``(iii) the applicant shall compensate such provider, 
     landlord, custodian, or other person for reasonable expenses 
     incurred by such provider, landlord, custodian, or other 
     person in providing such information, facilities, or 
     technical assistance.
       ``(e) An order issued under this section shall authorize 
     the installation and use of a pen register or trap and trace 
     device for a period not to exceed 90 days. Extensions of such 
     an order may be granted, but only upon an application for an 
     order under this section and upon the judicial finding 
     required by subsection (d). The period of extension shall be 
     for a period not to exceed 90 days.
       ``(f) No cause of action shall lie in any court against any 
     provider of a wire or electronic communication service, 
     landlord, custodian, or

[[Page H9526]]

     other person (including any officer, employee, agent, or 
     other specified person thereof) that furnishes any 
     information, facilities, or technical assistance under 
     subsection (d) in accordance with the terms of a court under 
     this section.
       ``(g) Unless otherwise ordered by the judge, the results of 
     a pen register or trap and trace device shall be furnished at 
     reasonable intervals during regular business hours for the 
     duration of the order to the authorized Government 
     official or officials.


                   ``authorization during emergencies

       ``Sec. 403. (a) Notwithstanding any other provision of this 
     title, when the Attorney General makes a determination 
     described in subsection (b), the Attorney General may 
     authorize the installation and use of a pen register or trap 
     and trace device on an emergency basis to gather foreign 
     intelligence information or information concerning 
     international terrorism if--
       ``(1) a judge referred to in section 402(b) of this Act is 
     informed by the Attorney General or his designee at the time 
     of such authorization that the decision has been made to 
     install and use the pen register or trap and trace device, as 
     the case may be, on an emergency basis; and
       ``(2) an application in accordance with section 402 of this 
     Act is made to such judge as soon as practicable, but not 
     more than 48 hours, after the Attorney General authorizes the 
     installation and use of the pen register or trap and trace 
     device, as the case may be, under this section.
       ``(b) A determination under this subsection is a reasonable 
     determination by the Attorney General that--
       ``(1) an emergency requires the installation and use of a 
     pen register or trap and trace device to obtain foreign 
     intelligence information or information concerning 
     international terrorism before an order authorizing the 
     installation and use of the pen register or trap and trace 
     device, as the case may be, can with due diligence be 
     obtained under section 402 of this Act; and
       ``(2) the factual basis for issuance of an order under such 
     section 402 to approve the installation and use of the pen 
     register or trap and trace device, as the case may be, 
     exists.
       ``(c)(1) In the absence of an order applied for under 
     subsection (a)(2) approving the installation and use of a pen 
     register or trap and trace device authorized under this 
     section, the installation and use of the pen register or trap 
     and trace device, as the case may be, shall terminate at the 
     earlier of--
       ``(A) when the information sought is obtained;
       ``(B) when the application for the order is denied under 
     section 402 of this Act; or
       ``(C) 48 hours after the time of the authorization by the 
     Attorney General.
       ``(2) In the event that an application for an order applied 
     for under subsection (a)(2) is denied, or in any other case 
     where the installation and use of a pen register or trap and 
     trace device under this section is terminated and no order 
     under section 402 of this Act is issued approving the 
     installation and use of the pen register or trap and trace 
     device, as the case may be, no information obtained or 
     evidence derived from the use of the pen register or trap and 
     trace device, as the case may be, shall be received in 
     evidence or otherwise disclosed in any trial, hearing, or 
     other proceeding in or before any court, grand jury, 
     department, office, agency, regulatory body, legislative 
     committee, or other authority of the United States, a State, 
     or political subdivision thereof, and no information 
     concerning any United States person acquired from the use of 
     the pen register or trap and trace device, as the case may 
     be, shall subsequently be used or disclosed in any other 
     manner by Federal officers or employees without the consent 
     of such person, except with the approval of the Attorney 
     General if the information indicates a threat of death or 
     serious bodily harm to any person.


                   ``authorization during time of war

       ``Sec. 404. Notwithstanding any other provision of law, the 
     President, through the Attorney General, may authorize the 
     use of a pen register or trap and trace device without a 
     court order under this title to acquire foreign intelligence 
     information for a period not to exceed 15 calendar days 
     following a declaration of war by Congress.


                          ``use of information

       ``Sec. 405. (a)(1) Information acquired from the use of a 
     pen register or trap and trace device installed pursuant to 
     this title concerning any United States person may be used 
     and disclosed by Federal officers and employees without the 
     consent of the United States person only in accordance with 
     the provisions of this section.
       ``(2) No information acquired from a pen register or trap 
     and trace device installed and used pursuant to this title 
     may be used or disclosed by Federal officers or employees 
     except for lawful purposes.
       ``(b) No information acquired pursuant to this title shall 
     be disclosed for law enforcement purposes unless such 
     disclosure is accompanied by a statement that such 
     information, or any information derived therefrom, may only 
     be used in a criminal proceeding with the advance 
     authorization of the Attorney General.
       ``(c) Whenever the United States intends to enter into 
     evidence or otherwise use or disclose in any trial, hearing, 
     or other proceeding in or before any court, department, 
     officer, agency, regulatory body, or other authority of the 
     United States against an aggrieved person any information 
     obtained or derived from the use of a pen register or trap 
     and trace device pursuant to this title, the United States 
     shall, before the trial, hearing, or the other proceeding or 
     at a reasonable time before an effort to so disclose or so 
     use that information or submit it in evidence, notify the 
     aggrieved person and the court or other authority in which 
     the information is to be disclosed or used that the United 
     States intends to so disclose or so use such information.
       ``(d) Whenever any State or political subdivision thereof 
     intends to enter into evidence or otherwise use or disclose 
     in any trial, hearing, or other proceeding in or before any 
     court, department, officer, agency, regulatory body, or other 
     authority of the State or political subdivision thereof 
     against an aggrieved person any information obtained or 
     derived from the use of a pen register or trap and trace 
     device pursuant to this title, the State or political 
     subdivision thereof shall notify the aggrieved person, the 
     court or other authority in which the information is to be 
     disclosed or used, and the Attorney General that the State or 
     political subdivision thereof intends to so disclose or so 
     use such information.
       ``(e)(1) Any aggrieved person against whom evidence 
     obtained or derived from the use of a pen register or trap 
     and trace device is to be, or has been, introduced or 
     otherwise used or disclosed in any trial, hearing, or other 
     proceeding in or before any court, department, officer, 
     agency, regulatory body, or other authority of the United 
     States, or a State or political subdivision thereof, may move 
     to suppress the evidence obtained or derived from the use of 
     the pen register or trap and trace device, as the case may 
     be, on the grounds that--
       ``(A) the information was unlawfully acquired; or
       ``(B) the use of the pen register or trap and trace device, 
     as the case may be, was not made in conformity with an order 
     of authorization or approval under this title.
       ``(2) A motion under paragraph (1) shall be made before the 
     trial, hearing, or other proceeding unless there was no 
     opportunity to make such a motion or the aggrieved person 
     concerned was not aware of the grounds of the motion.
       ``(f)(1) Whenever a court or other authority is notified 
     pursuant to subsection (c) or (d), whenever a motion is made 
     pursuant to subsection (e), or whenever any motion or request 
     is made by an aggrieved person pursuant to any other statute 
     or rule of the United States or any State before any court or 
     other authority of the United States or any State to discover 
     or obtain applications or orders or other materials relating 
     to the use of a pen register or trap and trace device 
     authorized by this title or to discover, obtain, or suppress 
     evidence or information obtained or derived from the use of a 
     pen register or trap and trace device authorized by this 
     title, the United States district court or, where the 
     motion is made before another authority, the United States 
     district court in the same district as the authority 
     shall, notwithstanding any other provision of law and if 
     the Attorney General files an affidavit under oath that 
     disclosure or any adversary hearing would harm the 
     national security of the United States, review in camera 
     and ex parte the application, order, and such other 
     materials relating to the use of the pen register or trap 
     and trace device, as the case may be, as may be necessary 
     to determine whether the use of the pen register or trap 
     and trace device, as the case may be, was lawfully 
     authorized and conducted.
       ``(2) In making a determination under paragraph (1), the 
     court may disclose to the aggrieved person, under appropriate 
     security procedures and protective orders, portions of the 
     application, order, or other materials relating to the use of 
     the pen register or trap and trace device, as the case may 
     be, or may require the Attorney General to provide to the 
     aggrieved person a summary of such materials, only where such 
     disclosure is necessary to make an accurate determination of 
     the legality of the use of the pen register or trap and trace 
     device, as the case may be.
       ``(g)(1) If the United States district court determines 
     pursuant to subsection (f) that the use of a pen register or 
     trap and trace device was not lawfully authorized or 
     conducted, the court may, in accordance with the requirements 
     of law, suppress the evidence which was unlawfully obtained 
     or derived from the use of the pen register or trap and trace 
     device, as the case may be, or otherwise grant the motion of 
     the aggrieved person.
       ``(2) If the court determines that the use of the pen 
     register or trap and trace device, as the case may be, was 
     lawfully authorized or conducted, it may deny the motion of 
     the aggrieved person except to the extent that due process 
     requires discovery or disclosure.
       ``(h) Orders granting motions or requests under subsection 
     (g), decisions under this section that the use of a pen 
     register or trap and trace device was not lawfully authorized 
     or conducted, and orders of the United States district court 
     requiring review or granting disclosure of applications, 
     orders, or other materials relating to the installation and 
     use of a pen register or trap and trace device shall be final 
     orders and binding upon all courts of the United States and 
     the several States except a United States Court of Appeals or 
     the Supreme Court.


                       ``congressional oversight

       ``Sec. 406. (a) On a semiannual basis, the Attorney General 
     shall fully inform the Permanent Select Committee on 
     Intelligence of the House of Representatives and the Select 
     Committee on Intelligence of the Senate concerning all uses 
     of pen registers and trap and trace devices pursuant to this 
     title.
       ``(b) On a semiannual basis, the Attorney General shall 
     also provide to the committees referred to in subsection (a) 
     and to the Committees on the Judiciary of the House of 
     Representatives and the Senate a report setting forth with 
     respect to the preceding six-month period--
       ``(1) the total number of applications made for orders 
     approving the use of pen registers or trap and trace devices 
     under this title; and
       ``(2) the total number of such orders either granted, 
     modified, or denied.''.

[[Page H9527]]

     SEC. 602. ACCESS TO CERTAIN BUSINESS RECORDS FOR FOREIGN 
                   INTELLIGENCE AND INTERNATIONAL TERRORISM 
                   INVESTIGATIONS.

       The Foreign Intelligence Surveillance Act of 1978 (50 
     U.S.C. 1801 et seq.), as amended by section 601 of this Act, 
     is further amended by inserting after title IV, as added by 
     such section 601, the following new title:

``TITLE V--ACCESS TO CERTAIN BUSINESS RECORDS FOR FOREIGN INTELLIGENCE 
                                PURPOSES


                             ``definitions

       ``Sec. 501. As used in this title:
       ``(1) The terms `foreign power', `agent of a foreign 
     power', `foreign intelligence information', `international 
     terrorism', and `Attorney General' shall have the same 
     meanings as in section 101 of this Act.
       ``(2) The term `common carrier' means any person or entity 
     transporting people or property by land, rail, water, or air 
     for compensation.
       ``(3) The term `physical storage facility' means any 
     business or entity that provides space for the storage of 
     goods or materials, or services related to the storage of 
     goods or materials, to the public or any segment thereof.
       ``(4) The term `public accommodation facility' means any 
     inn, hotel, motel, or other establishment that provides 
     lodging to transient guests.
       ``(5) The term `vehicle rental facility' means any person 
     or entity that provides vehicles for rent, lease, loan, or 
     other similar use to the public or any segment thereof.


   ``access to certain business records for foreign intelligence and 
                 international terrorism investigations

       ``Sec. 502. (a) The Director of the Federal Bureau of 
     Investigation or a designee of the Director (whose rank shall 
     be no lower than Assistant Special Agent in Charge) may make 
     an application for an order authorizing a common carrier, 
     public accommodation facility, physical storage facility, or 
     vehicle rental facility to release records in its possession 
     for an investigation to gather foreign intelligence 
     information or an investigation concerning international 
     terrorism which investigation is being conducted by the 
     Federal Bureau of Investigation under such guidelines as the 
     Attorney General approves pursuant to Executive Order No. 
     12333, or a successor order.
       ``(b) Each application under this section--
       ``(1) shall be made to--
       ``(A) a judge of the court established by section 103(a) of 
     this Act; or
       ``(B) a United States Magistrate Judge under chapter 43 of 
     title 28, United States Code, who is publicly designated by 
     the Chief Justice of the United States to have the power to 
     hear applications and grant orders for the release of records 
     under this section on behalf of a judge of that court; and
       ``(2) shall specify that--
       ``(A) the records concerned are sought for an investigation 
     described in subsection (a); and
       ``(B) there are specific and articulable facts giving 
     reason to believe that the person to whom the records pertain 
     is a foreign power or an agent of a foreign power.
       ``(c)(1) Upon application made pursuant to this section, 
     the judge shall enter an ex parte order as requested, or as 
     modified, approving the release of records if the judge finds 
     that the application satisfies the requirements of this 
     section.
       ``(2) An order under this subsection shall not disclose 
     that it is issued for purposes of an investigation described 
     in subsection (a).
       ``(d)(1) Any common carrier, public accommodation facility, 
     physical storage facility, or vehicle rental facility shall 
     comply with an order under subsection (c).
       ``(2) No common carrier, public accommodation facility, 
     physical storage facility, or vehicle rental facility, or 
     officer, employee, or agent thereof, shall disclose to any 
     person (other than those officers, agents, or employees of 
     such common carrier, public accommodation facility, physical 
     storage facility, or vehicle rental facility necessary to 
     fulfill the requirement to disclose information to the 
     Federal Bureau of Investigation under this section) that the 
     Federal Bureau of Investigation has sought or obtained 
     records pursuant to an order under this section.


                       ``congressional oversight

       ``Sec. 503. (a) On a semiannual basis, the Attorney General 
     shall fully inform the Permanent Select Committee on 
     Intelligence of the House of Representatives and the Select 
     Committee on Intelligence of the Senate concerning all 
     requests for records under this title.
       ``(b) On a semiannual basis, the Attorney General shall 
     provide to the Committees on the Judiciary of the House of 
     Representatives and the Senate a report setting forth with 
     respect to the preceding six-month period--
       ``(1) the total number of applications made for orders 
     approving requests for records under this title; and
       ``(2) the total number of such orders either granted, 
     modified, or denied.''.

     SEC. 603. CONFORMING AND CLERICAL AMENDMENTS.

       (a) Conforming Amendment.--Section 601 of the Foreign 
     Intelligence Surveillance Act of 1978, as redesignated by 
     section 601(1) of this Act, is amended by striking out 
     ``other than title III'' and inserting in lieu thereof 
     ``other than titles III, IV, and V''.
       (b) Clerical Amendment.--The table of contents at the 
     beginning of the Foreign Intelligence Surveillance Act of 
     1978 is amended by striking out the items relating to title 
     IV and section 401 and inserting in lieu thereof the 
     following:

   ``TITLE IV--PEN REGISTERS AND TRAP AND TRACE DEVICES FOR FOREIGN 
                         INTELLIGENCE PURPOSES

``401. Definitions.
``402. Pen registers and trap and trace devices for foreign 
              intelligence and international terrorism investigations.
``403. Authorization during emergencies.
``404. Authorization during time of war.
``405. Use of information.
``406. Congressional oversight.

``TITLE V--ACCESS TO CERTAIN BUSINESS RECORDS FOR FOREIGN INTELLIGENCE 
                                PURPOSES

``501. Definitions.
``502. Access to certain business records for foreign intelligence and 
              international terrorism investigations.
``503. Congressional oversight.

                       ``TITLE VI--EFFECTIVE DATE

``601. Effective date.''.

     SEC. 604. WIRE AND ELECTRONIC COMMUNICATIONS INTERCEPTION 
                   REQUIREMENTS.

       (a) In General.--Section 2518(11)(b) of title 18, United 
     States Code, is amended--
       (1) in clause (ii), by striking ``of a purpose'' and all 
     that follows through the end of such clause and inserting 
     ``that there is probable cause to believe that the person's 
     actions could have the effect of thwarting interception from 
     a specified facility;'';
       (2) in clause (iii), by striking ``such purpose'' and all 
     that follows through the end of such clause and inserting 
     ``such showing has been adequately made; and''; and
       (3) by adding at the end the following clause:
       ``(iv) the order authorizing or approving the interception 
     is limited to interception only for such time as it is 
     reasonable to presume that the person identified in the 
     application is or was reasonably proximate to the instrument 
     through which such communication will be or was 
     transmitted.''.
       (b) Conforming Amendments.--Section 2518(12) of title 18, 
     United States Code, is amended--
       (1) by inserting ``(a)'' after ``by reason of subsection 
     (11)'';
       (2) by striking ``the facilities from which, or''; and
       (3) by striking the comma following ``where''.

     SEC. 605. AUTHORITY OF ATTORNEY GENERAL TO ACCEPT VOLUNTARY 
                   SERVICES.

       Section 524(d)(1) of title 28, United States Code, is 
     amended by inserting ``or services'' after ``property''.

    TITLE VII--WHISTLEBLOWER PROTECTION FOR INTELLIGENCE COMMUNITY 
            EMPLOYEES REPORTING URGENT CONCERNS TO CONGRESS

     SEC. 701. SHORT TITLE; FINDINGS.

       (a) Short Title.--This title may be cited as the 
     ``Intelligence Community Whistleblower Protection Act of 
     1998''.
       (b) Findings.--The Congress finds that--
       (1) national security is a shared responsibility, requiring 
     joint efforts and mutual respect by Congress and the 
     President;
       (2) the principles of comity between the Branches of 
     Government apply to the handling of national security 
     information;
       (3) Congress, as a co-equal Branch of Government, is 
     empowered by the Constitution to serve as a check on the 
     Executive Branch; in that capacity, it has a ``need to know'' 
     of allegations of wrongdoing within the Executive Branch, 
     including allegations of wrongdoing in the Intelligence 
     Community;
       (4) no basis in law exists for requiring prior 
     authorization of disclosures to the intelligence committees 
     of Congress by employees of the Executive Branch of 
     classified information about wrongdoing within the 
     Intelligence Community;
       (5) the risk of reprisal perceived by employees and 
     contractors of the Intelligence Community for reporting 
     serious or flagrant problems to Congress may have impaired 
     the flow of information needed by the intelligence committees 
     to carry out oversight responsibilities; and
       (6) to encourage such reporting, an additional procedure 
     should be established that provides a means for such 
     employees and contractors to report to Congress while 
     safeguarding the classified information involved in such 
     reporting.

     SEC. 702. PROTECTION OF INTELLIGENCE COMMUNITY EMPLOYEES WHO 
                   REPORT URGENT CONCERNS TO CONGRESS.

       (a) Inspector General of the Central Intelligence Agency.--
       (1) In general.--Subsection (d) of section 17 of the 
     Central Intelligence Agency Act of 1949 (50 U.S.C. 403q) is 
     amended by adding at the end the following new paragraph:
       ``(5)(A) An employee of the Agency, or of a contractor to 
     the Agency, who intends to report to Congress a complaint or 
     information with respect to an urgent concern may report such 
     complaint or information to the Inspector General.
       ``(B) Not later than the end of the 14-calendar day period 
     beginning on the date of receipt from an employee of a 
     complaint or information under subparagraph (A), the 
     Inspector General shall determine whether the complaint or 
     information appears credible. If the Inspector General 
     determines that the complaint or information appears 
     credible, the Inspector General shall, before the end of such 
     period, transmit the complaint or information to the 
     Director.
       ``(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 intelligence committees, together with any comments the 
     Director considers appropriate.
       ``(D)(i) If the Inspector General does not transmit, or 
     does not transmit in an accurate form, the complaint or 
     information described in subparagraph (B), the employee 
     (subject to clause (ii)) may submit the complaint or 
     information to Congress by contacting either or both of the 
     intelligence committees directly.
       ``(ii) The employee may contact the intelligence committees 
     directly as described in clause (i) only if the employee--

[[Page H9528]]

       ``(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 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 one of the 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 that 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:
       ``(i) 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 operations 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 (e)(3)(B) in response to an employee's reporting 
     an urgent concern in accordance with this paragraph.
       ``(ii) The term `intelligence committees' means the 
     Permanent Select Committee on Intelligence of the House of 
     Representatives and the Select Committee on Intelligence 
     of the Senate.''.
       (2) Clerical amendment.--The heading to subsection (d) of 
     such section is amended by inserting ``; Reports to Congress 
     on Urgent Concerns'' before the period.
       (b) Additional Provisions With Respect to Inspectors 
     General of the Intelligence Community.--
       (1) In general.--The Inspector General Act of 1978 (5 
     U.S.C. App.) is amended by redesignating section 8H as 
     section 8I and by inserting after section 8G the following 
     new section:
       ``Sec. 8H. (a)(1)(A) An employee of the Defense 
     Intelligence Agency, the National Imagery and Mapping Agency, 
     the National Reconnaissance Office, or the National Security 
     Agency, or of a contractor of any of those Agencies, who 
     intends to report to Congress a complaint or information with 
     respect to an urgent concern may report the complaint or 
     information to the Inspector General of the Department of 
     Defense (or designee).
       ``(B) An employee of the Federal Bureau of Investigation, 
     or of a contractor of the Bureau, who intends to report to 
     Congress a complaint or information with respect to an urgent 
     concern may report the complaint or information to the 
     Inspector General of the Department of Justice (or designee).
       ``(C) Any other employee of, or contractor to, an executive 
     agency, or element or unit thereof, determined by the 
     President under section 2302(a)(2)(C)(ii) of title 5, United 
     States Code, to have as its principal function the conduct of 
     foreign intelligence or counterintelligence activities, who 
     intends to report to Congress a complaint or information with 
     respect to an urgent concern may report the complaint or 
     information to the appropriate Inspector General (or 
     designee) under this Act or section 17 of the Central 
     Intelligence Agency Act of 1949.
       ``(2) If a designee of an Inspector General under this 
     section receives a complaint or information of an employee 
     with respect to an urgent concern, that designee shall report 
     the complaint or information to the Inspector General within 
     7 calendar days of receipt.
       ``(b) Not later than the end of the 14-calendar day period 
     beginning on the date of receipt of an employee complaint or 
     information under subsection (a), the Inspector General shall 
     determine whether the complaint or information appears 
     credible. If the Inspector General determines that the 
     complaint or information appears credible, the Inspector 
     General shall, before the end of such period, transmit the 
     complaint or information to the head of the establishment.
       ``(c) Upon receipt of a transmittal from the Inspector 
     General under subsection (b), the head of the establishment 
     shall, within 7 calendar days of such receipt, forward such 
     transmittal to the intelligence committees, together with any 
     comments the head of the establishment considers appropriate.
       ``(d)(1) If the Inspector General does not transmit, or 
     does not transmit in an accurate form, the complaint or 
     information described in subsection (b), the employee 
     (subject to paragraph (2)) may submit the complaint or 
     information to Congress by contacting either or both of the 
     intelligence committees directly.
       ``(2) The employee may contact the intelligence committees 
     directly as described in paragraph (1) only if the employee--
       ``(A) before making such a contact, furnishes to the head 
     of the establishment, through the Inspector General, a 
     statement of the employee's complaint or information and 
     notice of the employee's intent to contact the intelligence 
     committees directly; and
       ``(B) obtains and follows from the head of the 
     establishment, through the Inspector General, direction on 
     how to contact the intelligence committees in accordance with 
     appropriate security practices.
       ``(3) A member or employee of one of the intelligence 
     committees who receives a complaint or information under 
     paragraph (1) does so in that member or employee's official 
     capacity as a member or employee of that committee.
       ``(e) The Inspector General shall notify an employee who 
     reports a complaint or information under this section of each 
     action taken under this section 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 head of an establishment or an 
     Inspector General under this section shall not be subject to 
     judicial review.
       ``(g) In this section:
       ``(1) The term `urgent concern' means any of the following:
       ``(A) A serious or flagrant problem, abuse, violation of 
     law or Executive order, or deficiency relating to the 
     funding, administration, or operations of an intelligence 
     activity involving classified information, but does not 
     include differences of opinions concerning public policy 
     matters.
       ``(B) 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.
       ``(C) 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 
     section 7(c) in response to an employee's reporting an urgent 
     concern in accordance with this section.
       ``(2) The term `intelligence committees' means the 
     Permanent Select Committee on Intelligence of the House of 
     Representatives and the Select Committee on Intelligence of 
     the Senate.''.
       (2) Conforming Amendment.--Section 8I of such Act (as 
     redesignated by paragraph (1)) is amended by striking out 
     ``or 8E'' and inserting in lieu thereof ``8E, or 8H''.

       And the Senate agree to the same.
     From the Permanent Select Committee on Intelligence, for 
     consideration of the House bill and the Senate amendment, and 
     modifications committed to conference:
     Porter Goss,
     Bill Young,
     Jerry Lewis,
     Bud Shuster,
     Bill McCollum,
     Michael N. Castle,
     Sherwood Boehlert,
     Charles F. Bass,
     Jim Gibbons,
     Norman D. Dicks,
     Julian C. Dixon,
     David E. Skaggs,
     Nancy Pelosi,
     Jane Harman,
     Ike Skelton,
     Sanford D. Bishop, Jr.,
     From the Committee on National Security, for consideration of 
     the House bill and the Senate amendment, and modifications 
     committed to conference:
     Floyd Spence,
     Bob Stump,
     Loretta Sanchez,
                                Managers on the Part of the House.

     Richard Shelby,
     John H. Chafee,
     Dick Lugar,
     Mike DeWine,
     Jon Kyl,
     Jim Inhofe,
     Orrin G. Hatch,
     Pat Roberts,
     Wayne Allard,
     Dan Coats,
     Bob Kerrey,
     John Glenn,
     Richard H. Bryan,
     Bob Graham,
     John F. Kerry,
     Max Baucus,
     Chuck Robb,
     Frank R. Lautenberg,
     Carl Levin,
     From the Committee on Armed Services,
     Strom Thurmond,
                               Managers on the Part of the Senate.

       JOINT EXPLANATORY STATEMENT OF THE COMMITTEE OF CONFERENCE

       The managers on the part of the House and the Senate at the 
     conference on the disagreeing votes of the two Houses on the 
     amendment of the Senate to the bill (H.R. 3694) to authorize 
     appropriations for fiscal year 1999 for intelligence and the 
     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, submit the following joint statement to the 
     House and the Senate in explanation of the effect of the 
     action agreed upon by the managers and recommended in the 
     accompanying conference report:
       The Senate amendment struck all of the House bill after the 
     enacting clause and inserted a substitute text.
       The House recedes from its disagreement to the amendment of 
     the Senate with an amendment that is a substitute for the 
     House bill and the Senate amendment. The differences between 
     the House bill, the Senate amendment, and the substitute 
     agreed to in conference are noted below, except for clerical 
     corrections, conforming changes made necessary by agreements 
     reached by the conferees, and minor drafting and clerical 
     changes.
       The managers agree that the congressionally directed 
     actions described in the House bill, the Senate amendment, 
     the respective committee reports, or classified annexes 
     should be undertaken to the extent that such congressionally 
     directed actions are not

[[Page H9529]]

     amended, altered, or otherwise specifically addressed in 
     either this Joint Explanatory Statement or in the classified 
     annex to the conference report on the bill H.R. 3694.

                    Title I--Intelligence Activities


               SEC. 101. AUTHORIZATION FOR APPROPRIATIONS

       Section 101 of the conference report lists the departments, 
     agencies, and other elements of the United States government 
     for whose intelligence and intelligence-related activities 
     the Act authorizes appropriations for fiscal year 1999. 
     Section 101 is identical to section 101 of the House bill and 
     section 101 of the Senate amendment.


            SEC. 102. CLASSIFIED SCHEDULE OF AUTHORIZATIONS

       Section 102 of the conference report makes clear that the 
     details of the amounts authorized to be appropriated for 
     intelligence and intelligence-related activities and 
     applicable personnel ceilings covered under this title for 
     fiscal year 1999 are contained in a classified Schedule of 
     Authorizations. The classified Schedule of Authorizations is 
     incorporated into the Act by this section. The classified 
     annex provides the details of the Schedule, including a cost 
     cap to the five year and ten year costs of the Future Imagery 
     Architecture. Section 102 is identical to section 102 of the 
     House bill and section 102 of the Senate amendment.


                SEC. 103. PERSONNEL CEILING ADJUSTMENTS

       Section 103 of the conference report authorizes the 
     Director of Central Intelligence, with the approval of the 
     Director of the Office of Management and Budget, in fiscal 
     year 1999 to authorize employment of civilian personnel in 
     excess of the personnel ceilings applicable to the components 
     of the Intelligence Community under section 102 by an amount 
     not to exceed two percent of the total of the ceilings 
     applicable under section 102. The Director of Central 
     Intelligence may exercise this authority only if necessary to 
     the performance of important intelligence functions. Any 
     exercise of this authority must be reported to the 
     intelligence committees of the Congress.
       The managers emphasize that the authority conferred by 
     section 103 is not intended to permit the wholesale raising 
     of personnel strength in any intelligence component. Rather, 
     the section provides the Director of Central Intelligence 
     with flexibility to adjust personnel levels temporarily for 
     contingencies and for overages caused by an imbalance between 
     hiring of new employees and attrition of current employees. 
     The managers do not expect the Director of Central 
     Intelligence to allow heads of intelligence components to 
     plan to exceed levels set in the Schedule of Authorizations 
     except for the satisfaction of clearly identified hiring 
     needs which are consistent with the authorization of 
     personnel strengths in this bill. In no case is this 
     authority to be used to provide for positions denied by this 
     bill. Section 103 is identical to section 103 of the House 
     bill and section 103 of the Senate amendment.


                 SEC. 104. COMMUNITY MANAGEMENT ACCOUNT

       Section 104 of the conference report authorizes 
     appropriations for the Community Management Account (CMA) of 
     the Director of Central Intelligence (DCI) and sets the 
     personnel end-strength for the Intelligence Community 
     management staff for fiscal year 1999.
       Subsection (a) authorizes appropriations of $129,123,000 
     for fiscal year 1999 for the activities of the CMA of the 
     DCI. This amount includes funds identified for the Advanced 
     Research and Development Committee and the Advanced 
     Technology Group, which shall remain available until 
     September 30, 2000. Beginning in fiscal year 1999, the 
     Environmental Intelligence and Applications Program will be 
     funded through the DCI's Environmental Center, rather than 
     through this account.
       Subsection (b) authorizes 283 full-time personnel for the 
     Community Management Staff for fiscal year 1999 and provides 
     that such personnel may be permanent employees of the Staff 
     or detailed from various elements of the United States 
     government.
       Subsection (c) authorizes additional appropriations and 
     personnel for the CMA as specified in the classified Schedule 
     of Authorizations and permits these additional amounts to 
     remain available through September 30, 2000.
       Subsection (d) requires, except as provided in Section 113 
     of the National Security Act of 1947, or for temporary 
     situations of less than one year, that personnel from another 
     element of the United States government be detailed to an 
     element of the CMA on a reimbursable basis.
       Subsection (e) authorizes $27,000,000 of the amount 
     authorized in subsection (a) to be made available for the 
     National Drug Intelligence Center (NDIC). Subsection (e) is 
     identical to subsection (e) of the House bill and subsection 
     (e) of the Senate amendment. The Senate, in its report on 
     this provision, would have fenced the entire $27,000,000 
     until the Office of National Drug Control Policy (ONDCP) 
     issued its overdue report on the National Counter-Narcotics 
     Architecture Review, which was directed by Congress to be 
     completed by April 1, 1998. The House had no such fence. 
     While the managers continue to require the prompt production 
     of this report, they do not wish to impede any part of the 
     government's counter-narcotics efforts. Consequently, the 
     Senate recedes.
       The failure of the Director of the ONDCP to comply with a 
     congressional requirement for this report is of concern.
       The managers strongly believe that the NDIC should be the 
     facility that brings together all law enforcement and 
     intelligence information for integrated, all-source, cross-
     case analysis. The continued isolation of domestic and 
     foreign aspects of the drug trafficking organizations for 
     separate analysis by different intelligence centers ignores 
     the transnational character of the drug trafficking threat to 
     national security. The Architecture Review should analyze the 
     ability and capacity of NDIC to serve as the focal point for 
     integrated analysis of foreign and domestic law enforcement 
     information combined with foreign intelligence information.
       Subsection (f) authorizes the DCI to transfer funds to be 
     appropriated to the CMA for fiscal year 1999 to the 
     Department of State for specific purposes to be identified by 
     the Director. The House bill contained a similar provision. 
     The Senate amendment contained no such provision. The Senate 
     agrees with the House position.
       The managers identified a shortfall in certain Intelligence 
     Community security arrangements at certain overseas 
     locations. The State Department has been aware of these 
     shortcomings for some time, but claims it lacks resources to 
     fund improvements. Thus, in order to alleviate the 
     Intelligence Community security concerns at those locations, 
     the transfer authority is provided.
       This section allows the DCI to transfer funds from the CMA 
     only for the specific purposes, and in the specific amounts, 
     listed in the Classified Annex to this Joint Explanatory 
     Statement. Clearly, however, the managers do not intend this 
     section to create any new budget authority. Rather, it is 
     intended that the funds to be transferred will derive from 
     those funds to be appropriated to the CMA for fiscal year 
     1999.
       The managers only agreed to this grant of authority with 
     the firm expectation that this will be a one-time action 
     only. This authority will expire at the end of fiscal year 
     1999. This transfer authority is only being authorized to 
     insure that the State Department will immediately, in fiscal 
     year 1999, begin architectural and engineering security 
     support at various overseas locations. Without this immediate 
     transfer authority, the Intelligence Community would be 
     required to rely on practices that are flawed, as well as 
     being extremely costly.
       The managers acknowledge that the Intelligence Community 
     has worked hard over the past two years with the State 
     Department, the Defense Department, and the Office of 
     Management and Budget to provide a permanent solution to the 
     situation at issue. The Intelligence Community, in response 
     to the seriousness of the hostile intelligence threat 
     directed at United States interests, agreed to a one-time 
     special cost-sharing arrangement in fiscal year 1999 to 
     alleviate any continued concern.


 sec. 105. authorization of emergency supplemental appropriations for 
            intelligence and intelligence-related activities

       Section 105 specifically authorizes, for purposes of 
     section 504 of the National Security Act of 1947, those 
     intelligence and intelligence-related activities that were 
     deemed to have been authorized, pursuant to that section, 
     through the 1998 Supplemental Appropriations and Rescisions 
     Act (P.L. 105-174) and any supplemental appropriations that 
     are expected to contain emergency appropriations for fiscal 
     year 1998. Neither the House bill, nor the Senate amendment, 
     contained these provisions. The managers agreed to include 
     this provision based on the requirements of section 504 of 
     the National Security Act of 1947.

 Title II--Central Intelligence Agency Retirement and Disability System


               sec. 201. authorization of appropriations

       Section 201 is identical to section 201 of the Senate 
     amendment and section 201 of the House bill.

                     Title III--General Provisions


sec. 301. increase in employee compensation and benefits authorized by 
                                  law

       Section 301 is identical to section 301 of the Senate 
     amendment and section 301 of the House bill.


      sec. 302. restriction on conduct of intelligence activities

       Section 302 is identical to section 302 of the Senate 
     amendment and section 302 of the House bill.


   sec. 303. one-year extension of application of sanctions laws to 
                        intelligence activities

       Section 303 of the conference report extends until January 
     6, 2000 the authority granted by section 303 of the 
     Intelligence Authorization Act for Fiscal Year 1996 for the 
     President to stay the imposition of an economic, cultural, 
     diplomatic, or other sanction or related action when the 
     President determines and reports to Congress that to proceed 
     without delay would seriously risk the compromise of an 
     intelligence source or method, or an ongoing criminal 
     investigation. Section 303 is identical to section 303 of the 
     House bill and section 303 of the Senate amendment.


   sec. 304. sense of congress on intelligence community contracting

       Section 304 expresses the sense of the Congress that the 
     Director of Central Intelligence should continue to direct 
     elements of the Intelligence Community to award contracts in 
     a manner that would maximize the

[[Page H9530]]

     procurement of products produced in the United States, when 
     such action is compatible with the national security 
     interests of the United States, consistent with operational 
     and security concerns, and fiscally sound. A provision 
     similar to section 304 has been included in previous 
     intelligence authorization acts. The Senate bill had no 
     similar provision. The Senate agrees with the House position.


     sec. 305. modification of national security education program

       A provision similar to section 305 was included in the 
     Senate amendment. The House bill contained no such provision. 
     The House agrees to the Senate provision.


  sec. 306. requirement to direct competitive analysis of analytical 
                  products having national importance

        Section 306 amends section 102(g)(2) of the National 
     Security Act of 1947 (50 U.S.C. Sec. 403(g)(2)) to add an 
     additional duty for the Assistant Director of Central 
     Intelligence for Analysis and Production (ADCI/AP), namely to 
     direct competitive analysis of analytical products having 
     national importance. The Senate amendment contained a 
     provision identical to section 306. The House bill had no 
     similar provision. The House recedes to the Senate 
     provision.
        Since the end of the Cold War and in response to budget 
     pressures, the Intelligence Community has experienced a 
     significant decrease in personnel. While this has had the 
     positive effect of increasing efficiency in some areas, in 
     other areas shortfalls are beginning to appear. Such a 
     shortfall is in the use of competitive analysis.
        During the Cold War competitive analysis played a crucial 
     role in assuring that intelligence analysts did not become 
     accustomed to accepting the same assumptions. Instead, 
     analysts from different agencies and outside experts would 
     routinely challenge each other's analysis. This decreased the 
     opportunity for some elements within the community to become 
     victims of their own prejudices and biases. Analysts were 
     forced to defend their assumptions, logic, and analytical 
     judgments against competing analysis from other agencies. 
     Personnel reductions, however, made this routine competitive 
     analysis a luxury that no longer was affordable in the 
     downsizing of the early to mid-1990's.
       Independent reports by retired Admiral David Jeremiah and 
     the former Secretary of Defense Donald Rumsfeld led to the 
     conclusion that the absence of competitive analysis 
     contributed to an incomplete explanation of the activities of 
     several foreign powers. This resulted in conclusions not 
     helpful in the policy-making process. In an era of declining 
     resources, it is more important than ever that issues of 
     great significance be subjected to independent analysis both 
     from within and without the Intelligence Community.
        The managers believe it is important for the Director of 
     Central Intelligence to institutionalize formally the 
     practice of competitive analysis and direct that the 
     responsibility be assigned to the ADCI/AP.
       The managers further direct the ADCI/AP to report to the 
     intelligence committees by March 15, 1999, his plan for 
     fulfilling the responsibility now assigned to him under 
     section 403 of the National Security Act of 1947 as part of 
     this legislation.


                  SEC. 307. ANNUAL REPORTS TO CONGRESS

       Section 307 requires the Director of Central Intelligence 
     to report to the Congress of the United States on an annual 
     basis on two significant issues faced by this country. The 
     first report should address the nature and extent of 
     cooperation between the Intelligence Community and federal 
     law enforcement agencies in combating drug trafficking.
       The second report should address the safety and security of 
     Russian nuclear facilities and nuclear military forces.
       The House bill contained a provision similar to section 
     307(a). The Senate amendment had no such provision. The 
     Senate agrees to the House position, with respect to the drug 
     trafficking report. The Senate amendment contained a 
     provision similar to section 307(b), which the House bill did 
     not contain. The House agrees to the Senate position 
     regarding the report on Russian nuclear facilities and 
     nuclear military forces.


               SEC. 308. QUADRENNIAL INTELLIGENCE REVIEW

        Section 308 is similar to a ``Sense of Congress'' 
     provision contained within the Senate amendment. The House 
     bill contained no such provision. The House recedes to the 
     Senate provision, as modified.


SEC. 309. DESIGNATION OF HEADQUARTERS COMPOUND OF CENTRAL INTELLIGENCE 
           AGENCY AS THE GEORGE BUSH CENTER FOR INTELLIGENCE

        The Senate amendment contained a provision to designate 
     the headquarters building of the Central Intelligence Agency 
     (CIA) in Langley, Virginia, as the ``George Herbert Walker 
     Bush Center for Central Intelligence.'' The House bill 
     contained no similar provision. The House did, however, pass 
     by voice vote on August 3, 1998, a bill (H.R. 3821) to 
     designate the CIA headquarters compound as the ``George H.W. 
     Bush Center for Central Intelligence.'' The managers agreed 
     to the Senate provision with modifications.
       Section 309 will designate the CIA headquarters compound at 
     Langley, Virginia as the ``George Bush Center for 
     Intelligence.''
        Former President George Bush has dedicated much of his 
     life to public service. During World War II, he flew for the 
     Navy in the Pacific Theater. In 1967, George Bush was elected 
     to the House of Representatives. He later served as 
     Ambassador to the United Nations. Following that assignment, 
     George Bush was appointed Chief of the U.S. Liaison Office to 
     the People's Republic of China.
        In January 1976, George Bush was appointed Director of 
     Central Intelligence (DCI) by then-President Gerald Ford. He 
     held this position through the end of the Ford 
     Administration. Although his tenure as DCI was relatively 
     short, it came at a time when the U.S. Intelligence Community 
     was undergoing increasing public scrutiny and some criticism.
       As DCI, George Bush brought innovation to the CIA, and 
     dramatically improved the morale within the Agency. George 
     Bush demonstrated leadership and integrity at a time when 
     both were desperately needed to help restore confidence in 
     the CIA and the other intelligence elements that make up the 
     Intelligence Community.
       Currently, the headquarters compound does not have a formal 
     designation. The managers agreed that this designation would 
     be a fitting tribute to the only DCI to become President of 
     the United States. It is appropriate to memorialize George 
     Bush's integrity, work ethic, and dedication to public 
     service in this manner.

                 TITLE IV--CENTRAL INTELLIGENCE AGENCY


 SEC. 401. ENHANCED PROTECTIVE AUTHORITY FOR CIA PERSONNEL AND FAMILY 
                                MEMBERS

        Section 401 is identical to a provision contained in the 
     House bill. The Senate amendment did not include such a 
     provision. The Senate agrees to the House position.


 SEC. 402. AUTHORITY FOR RETROACTIVE PAYMENT OF SPECIFIED SPECIAL PAY 
                               ALLOWANCE

        Neither the House bill, nor the Senate amendment contained 
     a provision similar to section 402. The managers agree, 
     however, to include this provision to enable the Director of 
     Central Intelligence to provide retroactively a special pay 
     allowance to certain Intelligence Community officers, who, 
     because of a bureaucratic error, did not receive a special 
     pay allowance at the time they were otherwise eligible to 
     receive it. It was through no fault of their own that this 
     special pay allowance was not administered at the time it was 
     due and owing, but rather simply caused by a bureaucratic 
     miscue.


                     SEC. 403. TECHNICAL AMENDMENTS

       Both the House bill and the Senate amendment contained a 
     similar provision. The Senate recedes to the House position, 
     with technical modifications.

         Title V--Department of Defense Intelligence Activities


SEC. 501. EXTENSION OF AUTHORITY TO ENGAGE IN COMMERCIAL ACTIVITIES AS 
            SECURITY FOR INTELLIGENCE COLLECTION ACTIVITIES

       Both the House bill and the Senate amendment contained 
     similar provisions. The House recedes to the Senate 
     provision.

      Title VI--Foreign Intelligence and International Terrorism 
                             Investigations


     SEC. 601. PEN REGISTERS AND TRAP AND TRACE DEVICES IN FOREIGN 
        INTELLIGENCE AND INTERNATIONAL TERRORISM INVESTIGATIONS

       The Senate amendment contained a similar provision. The 
     House bill did not. The House recedes to the Senate position.


 SEC. 602. ACCESS TO CERTAIN BUSINESS RECORDS FOR FOREIGN INTELLIGENCE 
               AND INTERNATIONAL TERRORISM INVESTIGATIONS

       The Senate amendment contained a similar provision. The 
     House bill did not. The House recedes to the Senate position.


              SEC. 603. CONFORMING AND CLERICAL AMENDMENTS

        The Senate amendment contained a similar provision. The 
     House bill did not. The House recedes to the Senate position.


 SEC. 604. WIRE AND ELECTRONIC COMMUNICATIONS INTERCEPTION REQUIREMENTS

        This provision amends section 2518 of title 18, United 
     States Code, to allow federal judges to issue an order on the 
     conversations of a specific person, rather than on the 
     conversations that occur on a specific telephone. This 
     provision is identical to H.R. 3753, with a technical 
     correction, which was introduced in the House by Mr. 
     McCollum, Mr. Hyde, Mr. Conyers, and Mr. Schumer.
       Under current law, judges issue wiretap orders authorizing 
     law enforcement officials to place a wiretap on a specific 
     telephone number. Criminals, including terrorists and spies, 
     know this and often try to avoid wiretaps by using pay 
     telephones on the street at random, or by using stolen or 
     cloned cell telephones. As law enforcement officials cannot 
     know the numbers of these telephones in advance, they are 
     unable to obtain a wiretap order on these numbers from a 
     judge in time to intercept the conversation, and the criminal 
     is able to evade interception of his communication.
       This provision addresses this problem by authorizing judges 
     to issue an order authorizing the interception of all 
     communications made by a particular person, regardless of 
     what telephone he may use. The provision does not change the 
     existing law that requires law enforcement officials to show 
     that there is probable cause to believe that the suspect has 
     committed, or may commit, a crime. With this amendment, law 
     enforcement officials will be required to show that there is 
     probable cause to believe that the actions of the suspect 
     could have the effect of thwarting a wiretap on a specific 
     telephone were the court to order the more typical method of 
     wiretap, which targets a specific telephone number.

[[Page H9531]]

       With this provision, law enforcement officials will be able 
     to follow a criminal suspect and ask the telephone company to 
     activate a wiretap on those telephones that the suspect is 
     shown to be using, or to have used. To do this, law 
     enforcement and telephone company officials would have to 
     make prior arrangements so that the location of the 
     particular telephone used by the suspect could be relayed to 
     the telephone company where employees would stand ready to 
     ascertain the telephone number being used (by cross-reference 
     from the telephone company's own records) and activate a 
     wiretap on it. In the case of cell telephones, law 
     enforcement officials would use existing scanner technology 
     to intercept the telephone number of the phone a suspect is 
     about to use (before or during a call) and then relay that 
     number to telephone company employees, who would then 
     immediately activate a wiretap on that number.
       In order to ensure that only the conversation of the 
     suspect (and with whomever he speaks) is intercepted, the 
     bill does not allow law enforcement officials to activate on-
     going wiretaps on all telephones they believe the suspect 
     might use. Significantly, law enforcement officials may only 
     activate a wiretap on a particular telephone and then only 
     when it is reasonable to presume that the suspect is 
     ``reasonably proximate'' to that phone. Thus, law enforcement 
     officials will have to use undercover agents or informants 
     who can actually see the suspect move toward a particular 
     telephone, or enter a room where there is only one or a 
     limited number of telephones, before they can activate a 
     wiretap.
       Neither the House bill, nor the Senate amendment contained 
     this provision. The managers agreed, however, to include this 
     language as part of the conference report.


  SEC. 605. AUTHORITY OF ATTORNEY GENERAL TO ACCEPT VOLUNTARY SERVICES

       Section 605 will allow the Attorney General to accept 
     voluntary services in furtherance of her law enforcement and 
     national security missions. This provision will assist the 
     Attorney General to find technological solutions to the ever-
     increasing threat of encryption to those missions. The 
     mangers agreed to include this language to support the 
     Department of Justice's and Federal Bureau of Investigation's 
     future efforts to address the technological advances that law 
     enforcement will face in future criminal and counter-
     intelligence investigations and prosecutions. Neither the 
     House bill, nor the Senate amendment contained this or any 
     other similar provision.

    Title VII--Whistleblower Protection for Intelligence Community 
            Employees Reporting Urgent Concerns to Congress

       The Senate amendment, S. 2052, contained a provision at 
     title V that would have directed the President to inform all 
     employees of the executive branch, and employees of 
     contractors carrying out duties under classified contracts, 
     that the disclosure of classified information reasonably 
     believed by the person to be evidence of a violation of law, 
     regulation, or rule; false statement to Congress; gross 
     mismanagement, waste of funds, abuse of authority; or a 
     substantial and specific danger to public safety, is not 
     prohibited by law, executive order, regulation, or otherwise 
     contrary to public policy. The Senate provision would have 
     allowed disclosure of such information to any Member or staff 
     member of a committee of Congress having primary oversight 
     responsibility for the department, agency, or element of the 
     Federal Government to which such information relates. The 
     House bill contained no similar title or provision. The House 
     Permanent Select Committee on Intelligence, however, did 
     report the ``Intelligence Community Whistleblower Protection 
     Act of 1998'' to the House on July 23, 1998. (H.R. Rep. No. 
     105-747, part 1).
       The managers agree to adopt a modified version of H.R. 
     3829. This title establishes an additional process to 
     accommodate the disclosure of classified information of 
     interest to Congress. The managers further agree that H.R. 
     3829 is not the exclusive process by which an Intelligence 
     Community employee may make a report to Congress. The 
     managers agree that the modified language furthers the goal 
     of, and builds on, the Senate language contained in S. 1668 
     and S. 2052, which was adopted by the Senate on three 
     occasions. The managers would also highlight the fact that 
     Senate action on this issue was central to the development of 
     this provision. The managers incorporate by reference the 
     Senate reports on S. 1668 and S. 2052 (S. Rep. Nos. 105-165 
     and 105-185, respectively) to provide additional legislative 
     history and the need for congressional action on this issue. 
     The two Senate reports on this issue examine the significant 
     constitutional implications of this legislation. See S. Rep. 
     Nos. 105-165 and 105-185. In addition, the managers 
     incorporate by reference the House report on H.R. 3829 (H.R. 
     Rep. No. 105-747, part 1) and adopt that report as the 
     legislative history for title VII of the conference 
     report.\1\
---------------------------------------------------------------------------
     \1\ Though incorporating House Report Number 105-747, part 1, 
     by reference, the managers make the following two 
     corrections. First, in the second paragraph under the 
     heading, ``H.R. 3829 as Amended,'' at page 14 of the House 
     Report, the managers would modify the sentence that provides: 
     ``Administration witnesses described such a provision as a 
     constitutional and administrative imperative.''; to read as 
     follows: ``Administration witnesses strongly supported such a 
     provision based upon constitutional and policy 
     considerations.'' Further, in the first sentence of the first 
     paragraph under the heading, ``The Need for Comity,'' on page 
     16 of the House Report, the managers would modify the term 
     ``constitutional prerogative'' to ``presidential 
     prerogative.''
---------------------------------------------------------------------------
       As an additional matter, and separate from the terms and 
     process established by H.R. 3829, the managers agree that an 
     Intelligence Community employee should not be subject to 
     reprisals or threat of reprisals for making a report to 
     appropriate Members or staff of the intelligence committees 
     about wrongdoing within the Intelligence Community.
       One important modification to H.R. 3829 that exists in the 
     provision adopted by the managers pertains to the 
     responsibilities of intelligence committee Members and staff 
     receiving complaints or information through the process 
     outlined in this title. The provision makes it plain that an 
     intelligence committee Member or staff employee receiving 
     such complaints or information must abide by the rules of the 
     intelligence committees.

            Provisions Not Included in the Conference Report


 AUTHORITY FOR CENTRAL INTELLIGENCE AGENCY INSPECTOR GENERAL TO REVIEW 
                              LEGISLATION

       The Senate amendment contained a provision that would have 
     authorized the Inspector General (IG) of the Central 
     Intelligence Agency (CIA) to review existing and proposed 
     legislation affecting CIA and to make recommendations to 
     Congress in its semi-annual reports or otherwise. The House 
     bill contained no such provision. The managers, upon further 
     consideration of the issue, believed that this responsibility 
     is already set forth in similar form in the reporting 
     requirements of the CIA's IG in paragraph (1)(F) of section 
     17(d) of the CIA Act of 1949 (50 U.S.C. Sec. 403q(D)).
       The managers have agreed to defer on this legislative 
     proposal to allow the newly installed CIA IG to determine 
     whether the current statutory authorities are sufficient to 
     permit his independent review of proposed and current 
     legislation.
       Thus, the Senate recedes to the House position.


           EXTENTION OF THE CIA VOLUNTARY SEPARATION PAY ACT

       The Senate amendment contained a provision extending, until 
     September 30, 2001, the authority of the Director of Central 
     Intelligence (DCI) to offer early out incentives to its 
     employees. The House bill contained no such provision. The 
     Senate recedes to the House position.
       The fact that the current authority does not expire until 
     the end of fiscal year 1999 combined with the considerable 
     concerns by another committee of the House with shared 
     jurisdiction over civil service pay and pension issues, led 
     the managers to omit this provision from the conference 
     report. It is anticipated that the issue of extending this 
     authority of the DCI could be addressed in separate 
     legislation in the 106th Congress.
     From the Permanent Select Committee on Intelligence, for 
     consideration of the House bill and the Senate amendment, and 
     modifications committed to conference:
     Porter Goss,
     Bill Young,
     Jerry Lewis,
     Bud Shuster,
     Bill McCollum,
     Michael N. Castle,
     Sherwood Boehlert,
     Charles F. Bass,
     Jim Gibbons,
     Norman D. Dicks,
     Julian C. Dixon,
     David E. Skaggs,
     Nancy Pelosi,
     Jane Harman,
     Ike Skelton,
     Sanford D. Bishop, Jr.,
     From the Committee on National Security, for consideration of 
     the House bill and the Senate amendment, and modifications 
     committed to conference;
     Floyd Spence,
     Bob Stump,
     Loretta Sanchez,
                                Managers on the Part of the House.

     Richard Shelby,
     John H. Chafee,
     Dick Lugar,
     Mike DeWine,
     Jon Kyl,
     Jim Inhofe,
     Orrin G. Hatch,
     Pat Roberts,
     Wayne Allard,
     Dan Coats,
     Bob Kerrey,
     John Glenn,
     Richard H. Bryan,
     Bob Graham,
     John F. Kerry,
     Max Baucus,
     Chuck Robb,
     Frank R. Lautenberg,
     Carl Levin,
     From the Committee on Armed Services:
     Strom Thurmond,
     Managers on the Part of the Senate.

                          ____________________