[Congressional Record Volume 148, Number 123 (Wednesday, September 25, 2002)]
[Senate]
[Pages S9235-S9349]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




                           TEXT OF AMENDMENTS

  SA 4732. Mr. FEINGOLD (for himself, Mr. Kennedy, and Mr. Corzine) 
submitted an amendment intended to be proposed by him to the bill H.R. 
5005, to establish the Department of Homeland Security, and for other 
purposes; which was ordered to lie on the table; as follows:

       At the appropriate place, insert the following:

     SEC. ____. STANDARDS FOR CLOSING REMOVAL HEARINGS.

       Section 240 of the Immigration and Nationality Act (8 
     U.S.C. 1229a) is amended--
       (1) by redesignating subsection (e) as subsection (f); and
       (2) by inserting after subsection (d) the following:
       ``(e) Standards for Closing Removal Hearings.--
       ``(1) In general.--Except as provided in paragraph (2), a 
     removal proceeding under this section shall be open to the 
     public.
       ``(2) Exceptions.--Portions of a removal proceeding under 
     this section may be closed to the public, on a case by case 
     basis, when necessary--
       ``(A) and with the consent of the alien, to preserve the 
     confidentiality of applications for--
       ``(i) asylum;
       ``(ii) withholding of removal;
       ``(iii) relief under the Convention Against Torture and 
     Other Cruel, Inhuman or Degrading Treatment or Punishment, 
     done at New York December 10, 1984;
       ``(iv) relief under the Violence Against Women Act of 1994 
     (Public Law 103-322; 108 Stat. 1902); or
       ``(v) other applications for relief involving confidential 
     personal information or where portions of the removal hearing 
     involve minors or issues relating to domestic violence; or
       ``(B) to protect the national security by preventing the 
     disclosure of--
       ``(i) classified information; or
       ``(ii) the identity of a confidential informant.''.
                                 ______
                                 
  SA 4733. Mr. FEINGOLD (for himself and Mr. Kennedy) submitted an 
amendment intended to be proposed by him to the bill H.R. 5005, to 
establish the Department of Homeland Security, and for other purposes; 
which was ordered to lie on the table; as follows:

       On page ____, strike line ____ and all that follows through 
     page ____, line ____, and insert the following:

     SEC. ____. CIVIL RIGHTS OFFICER.

       (a) In General.--There shall be in the Department a Civil 
     Rights Officer, who shall be appointed by the President, by 
     and with the advice and consent of the Senate.
       (b) Responsibilities.--The Civil Rights Officer shall be 
     responsible for--
       (1) ensuring compliance with all civil rights and related 
     laws and regulations applicable to Department employees and 
     participants in Department programs;
       (2) coordinating administration of all civil rights and 
     related laws and regulations within the Department for 
     Department employees and participants in Department programs;
       (3) assisting the Secretary, directorates, and offices with 
     the development and implementation of policies and procedures 
     that ensure that civil rights considerations are 
     appropriately incorporated and implemented in Department 
     programs and activities;
       (4) overseeing compliance with statutory and constitutional 
     requirements related to the civil rights of individuals 
     affected by the programs and activities of the Department; 
     and
       (5) notifying the Inspector General of any matter that, in 
     the opinion of the Civil Rights Officer, warrants further 
     investigation.

     SEC. ____. PRIVACY OFFICER.

       (a) In General.--There shall be in the Department a Privacy 
     Officer, who shall be appointed by the Secretary.
       (b) Responsibilities.--The Privacy Officer shall--
       (1) oversee compliance with section 552a of title 5, United 
     States Code (commonly referred to as the Privacy Act of 1974) 
     and all other applicable laws relating to the privacy of 
     personal information;
       (2) assist the Secretary, directorates, and offices with 
     the development and implementation of policies and procedures 
     that ensure that--
       (A) privacy considerations and safeguards are appropriately 
     incorporated and implemented in Department programs and 
     activities; and
       (B) any information received by the Department is used or 
     disclosed in a manner that minimizes the risk of harm to 
     individuals from the inappropriate disclosure or use of such 
     materials;
       (3) assist Department personnel with the preparation of 
     privacy impact assessments when required by law or considered 
     appropriate by the Secretary; and
       (4) notify the Inspector General of any matter that, in the 
     opinion of the Privacy Officer, warrants further 
     investigation.

     SEC. ____. INSPECTOR GENERAL.

       (a) In General.--There shall be in the Department an 
     Inspector General. The Inspector General and the Office of 
     Inspector General shall be subject to the Inspector General 
     Act of 1978 (5 U.S.C. App.).
       (b) Establishment.--Section 11 of the Inspector General Act 
     of 1978 (5 U.S.C. App.) is amended--
       (1) in paragraph (1), by inserting ``Homeland Security,'' 
     after ``Health and Human Services,''; and
       (2) in paragraph (2), by inserting ``Homeland Security,'' 
     after ``Health and Human Services,''.
       (c) Assistant Inspector General for Civil Rights and Civil 
     Liberties.--
       (1) In general.--There shall be in the Office of Inspector 
     General an Assistant Inspector General for Civil Rights and 
     Civil Liberties (in this section referred to as the 
     ``Assistant Inspector General''), who shall be appointed 
     without regard to political affiliation and solely on the 
     basis of demonstrated ability in civil rights and civil 
     liberties, law, management analysis, investigations, and 
     public relations.
       (2) Responsibilities of the assistant inspector general.--
     The Assistant Inspector General shall--
       (A) review information and receive complaints from any 
     source alleging abuses of civil rights and civil liberties 
     by--
       (i) employees and officials of the Department;
       (ii) independent contractors retained by the Department; or
       (iii) grantees of the Department;
       (B) conduct such investigations as the Assistant Inspector 
     General considers necessary, either self-initiated or in 
     response to complaints, to determine the policies and 
     practices to protect civil rights and civil liberties of--
       (i) the Department;
       (ii) any unit of the Department;
       (iii) independent contractors employed by the Department; 
     or
       (iv) grantees of the Department;
       (C) conduct investigations of the programs and operations 
     of the Department to determine whether the Department's civil 
     rights and civil liberties policies are being effectively 
     implemented, except that the Assistant Inspector General 
     shall not have any responsibility for the enforcement of the 
     Equal Employment Opportunities Act;
       (D) inform the Secretary and Congress of weaknesses, 
     problems, and deficiencies within the Department relating to 
     civil rights and civil liberties;
       (E) provide prompt notification to the Civil Rights Officer 
     of any complaints of violations of civil rights or civil 
     liberties, and consult with the Civil Rights Officer 
     regarding the investigation of such complaints, upon request 
     or as appropriate ;
       (F) publicize, in multiple languages, through the Internet, 
     radio, television, and newspaper advertisements--
       (i) information on the responsibilities and functions of 
     the Assistant Inspector General; and
       (ii) instructions on how to contact the Assistant Inspector 
     General; and
       (G) on a semi-annual basis, submit to Congress, for 
     referral to the appropriate committee or committees, a 
     report--
       (i) describing the implementation of this subsection, 
     including the number of complaints received and a general 
     description of any complaints received and investigations 
     undertaken either in response to a complaint or on the 
     initiative of the Assistant Inspector General;
       (ii) detailing any civil rights abuses under subparagraph 
     (A); and
       (iii) accounting for the expenditure of funds to carry out 
     this subsection.
       (d) Additional Provisions With Respect to the Inspector 
     General of the Department of Homeland Security.--The 
     Inspector General Act of 1978 (5 U.S.C. App.) is amended--
       (1) by redesignating section 8I as section 8J; and
       (2) by inserting after section 8H the following:


   Special provisions concerning the Department of Homeland Security

       ``Sec. 8I. (a)(1) Notwithstanding the last 2 sentences of 
     section 3(a), the Inspector General of the Department of 
     Homeland Security (in this section referred to as the 
     ``Inspector General'') shall be under the authority, 
     direction, and control of the Secretary of Homeland Security 
     (in this section referred to as the ``Secretary'') with 
     respect to audits or investigations, or the issuance of 
     subpoenas, which require access to sensitive information 
     concerning--
       ``(A) intelligence or counterintelligence matters;

[[Page S9236]]

       ``(B) ongoing criminal investigations or proceedings;
       ``(C) undercover operations;
       ``(D) the identity of confidential sources, including 
     protected witnesses;
       ``(E) other matters the disclosure of which would 
     constitute a serious threat to the protection of any person 
     or property authorized protection by--
       ``(i) section 3056 of title 18, United States Code;
       ``(ii) section 202 of title 3, United States Code; or
       ``(iii) any provision of the Presidential Protection 
     Assistance Act of 1976 (18 U.S.C. 3056 note); or
       ``(F) other matters the disclosure of which would 
     constitute a serious threat to national security.
       ``(2) With respect to the information described under 
     paragraph (1), the Secretary may prohibit the Inspector 
     General from carrying out or completing any audit or 
     investigation, or from issuing any subpoena, after such 
     Inspector General has decided to initiate, carry out, or 
     complete such audit or investigation or to issue such 
     subpoena, if the Secretary determines that such prohibition 
     is necessary to--
       ``(A) prevent the disclosure of any information described 
     under paragraph (1);
       ``(B) preserve vital national security interests; or
       ``(C) prevent significant impairment to the national 
     interests of the United States.
       ``(3)(A) If the Secretary exercises any power under 
     paragraph (1) or (2), the Secretary shall notify the 
     Inspector General or, with respect to investigations relating 
     to civil rights or civil liberties, the Assistant Inspector 
     General for Civil Rights and Civil Liberties (in this section 
     referred to as the `Assistant Inspector General'), in writing 
     (appropriately classified, if necessary) within 7 calendar 
     days stating the reasons for such exercise.
       ``(B) Within 30 days after receipt of any notice under 
     subparagraph (A), the Inspector General or Assistant 
     Inspector General, as appropriate, shall prepare a copy of 
     such notice and a written response that states whether the 
     Inspector General or Assistant Inspector General, as 
     appropriate, agrees or disagrees with the Secretary's 
     exercise of a power under paragraph (1) and describes the 
     reasons for any disagreement, to--
       ``(i) the President of the Senate;
       ``(ii) the Speaker of the House of Representatives;
       ``(iii) the Committee on Governmental Affairs of the 
     Senate;
       ``(iv) the Committee on Government Reform of the House of 
     Representatives; and
       ``(v) other appropriate committees or subcommittees of 
     Congress.
       ``(b)(1) In carrying out the duties and responsibilities 
     under this Act, the Inspector General shall have oversight 
     responsibility for the internal investigations and audits 
     performed by any other office performing internal 
     investigatory or audit functions in any subdivision of the 
     Department of Homeland Security. With respect to 
     investigations relating to civil rights or civil liberties, 
     the Inspector General's responsibilities under this section 
     shall be exercised by the Assistant Inspector General.
       ``(2) The head of each other office described under 
     paragraph (1) shall promptly report to the Inspector General 
     the significant activities being carried out by such office.
       ``(3)(A) Notwithstanding paragraphs (1) and (2), the 
     Inspector General may initiate, conduct, and supervise such 
     audits and investigations in the Department (including in any 
     subdivision referred to in paragraph (1)) as the Inspector 
     General considers appropriate.
       ``(B) If the Inspector General initiates an audit or 
     investigation under subparagraph (A) concerning a subdivision 
     referred to in paragraph (1), the Inspector General may 
     provide the head of the other office performing internal 
     investigatory or audit functions in the subdivision with 
     written notice that the Inspector General has initiated such 
     an audit or investigation.
       ``(C) If the Inspector General issues a notice under 
     subparagraph (B), no other audit or investigation shall be 
     initiated into the matter under audit or investigation by the 
     Inspector General, and any other audit or investigation of 
     such matter shall cease.
       ``(c) Any report required to be transmitted by the 
     Secretary to the appropriate committees or subcommittees of 
     Congress under section 5(d) shall also be transmitted, within 
     the 7-day period specified under that subsection, to--
       ``(1) the President of the Senate;
       ``(2) the Speaker of the House of Representatives;
       ``(3) the Committee on Governmental Affairs of the Senate; 
     and
       ``(4) the Committee on Government Reform of the House of 
     Representatives.
       ``(d)(1) The Assistant Inspector General shall inform the 
     complainant regarding what actions were taken in response to 
     a complaint.
       ``(2) With respect to any complaints received or 
     investigations undertaken by the Assistant Inspector General, 
     any person employed by an independent contractor, or grantee, 
     of the Department shall be entitled to the same protections 
     as are provided to employees of the Department under section 
     7.''.
       (e) Technical and Conforming Amendments.--The Inspector 
     General Act of 1978 (5 U.S.C. appendix) is amended--
       (1) in section 4(b), by striking ``8F'' each place it 
     appears and inserting ``8G''; and
       (2) in section 8J (as redesignated by subsection (d)(1)), 
     by striking ``or 8H'' and inserting ``, 8H, or 8I''.
       (f) Definition.--In this Act, the term ``civil rights and 
     civil liberties'' means rights and liberties, which--
       (1) are or may be protected by the Constitution or 
     implementing legislation; or
       (2) are analogous to the rights and liberties under 
     paragraph (1), whether or not secured by treaty, statute, 
     regulation or executive order.

     SEC. ____. REPEAL OF IMMUNITY FOR CUSTOMS OFFICERS IN 
                   CONDUCTING CERTAIN SEARCHES.

       (a) In General.--Section 3061 of the Revised Statutes is 
     amended--
       (1) in subsection (a), by striking ``(a)''; and
       (2) by striking subsection (b).
       (b) Trade Act of 2002.--The Trade Act of 2002 is amended--
       (1) by striking section 341; and
       (2) in the table of contents, by striking the item relating 
     to section 341.
       (c) Effective Date.--The amendments made by this section 
     shall take effect as if included in chapter 4 of title III of 
     the Trade Act of 2002.

     SEC. ____. STANDARDS FOR CLOSING REMOVAL HEARINGS.

       Section 240 of the Immigration and Nationality Act (8 
     U.S.C. 1229a) is amended--
       (1) by redesignating subsection (e) as subsection (f); and
       (2) by inserting after subsection (d) the following:
       ``(e) Standards for Closing Removal Hearings.--
       ``(1) In general.--Except as provided in paragraph (2), a 
     removal proceeding under this section shall be open to the 
     public.
       ``(2) Exceptions.--Portions of a removal proceeding under 
     this section may be closed to the public, on a case by case 
     basis, when necessary--
       ``(A) and with the consent of the alien, to preserve the 
     confidentiality of applications for--
       ``(i) asylum;
       ``(ii) withholding of removal;
       ``(iii) relief under the Convention Against Torture and 
     Other Cruel, Inhuman or Degrading Treatment or Punishment, 
     done at New York December 10, 1984;
       ``(iv) relief under the Violence Against Women Act of 1994 
     (Public Law 103-322; 108 Stat. 1902); or
       ``(v) other applications for relief involving confidential 
     personal information or where portions of the removal hearing 
     involve minors or issues relating to domestic violence; or
       ``(B) to protect the national security by preventing the 
     disclosure of--
       ``(i) classified information; or
       ``(ii) the identity of a confidential informant.''.
                                 ______
                                 
  SA 4734. Mr. FEINGOLD (for himself and Mr. Kennedy) submitted an 
amendment intended to be proposed by him to the bill H.R. 5005, to 
establish the Department of Homeland Security, and for other purposes; 
which was ordered to lie on the table; as follows:

       On page ____, strike line ____ and all that follows through 
     page ____, line ____, and insert the following:

     SEC. ____. CIVIL RIGHTS OFFICER.

       (a) In General.--There shall be in the Department a Civil 
     Rights Officer, who shall be appointed by the President, by 
     and with the advice and consent of the Senate.
       (b) Responsibilities.--The Civil Rights Officer shall be 
     responsible for--
       (1) ensuring compliance with all civil rights and related 
     laws and regulations applicable to Department employees and 
     participants in Department programs;
       (2) coordinating administration of all civil rights and 
     related laws and regulations within the Department for 
     Department employees and participants in Department programs;
       (3) assisting the Secretary, directorates, and offices with 
     the development and implementation of policies and procedures 
     that ensure that civil rights considerations are 
     appropriately incorporated and implemented in Department 
     programs and activities;
       (4) overseeing compliance with statutory and constitutional 
     requirements related to the civil rights of individuals 
     affected by the programs and activities of the Department; 
     and
       (5) notifying the Inspector General of any matter that, in 
     the opinion of the Civil Rights Officer, warrants further 
     investigation.

     SEC. ____. PRIVACY OFFICER.

       (a) In General.--There shall be in the Department a Privacy 
     Officer, who shall be appointed by the Secretary.
       (b) Responsibilities.--The Privacy Officer shall--
       (1) oversee compliance with section 552a of title 5, United 
     States Code (commonly referred to as the Privacy Act of 1974) 
     and all other applicable laws relating to the privacy of 
     personal information;
       (2) assist the Secretary, directorates, and offices with 
     the development and implementation of policies and procedures 
     that ensure that--
       (A) privacy considerations and safeguards are appropriately 
     incorporated and implemented in Department programs and 
     activities; and
       (B) any information received by the Department is used or 
     disclosed in a manner

[[Page S9237]]

     that minimizes the risk of harm to individuals from the 
     inappropriate disclosure or use of such materials;
       (3) assist Department personnel with the preparation of 
     privacy impact assessments when required by law or considered 
     appropriate by the Secretary; and
       (4) notify the Inspector General of any matter that, in the 
     opinion of the Privacy Officer, warrants further 
     investigation.

     SEC. ____. INSPECTOR GENERAL.

       (a) In General.--There shall be in the Department an 
     Inspector General. The Inspector General and the Office of 
     Inspector General shall be subject to the Inspector General 
     Act of 1978 (5 U.S.C. App.).
       (b) Establishment.--Section 11 of the Inspector General Act 
     of 1978 (5 U.S.C. App.) is amended--
       (1) in paragraph (1), by inserting ``Homeland Security,'' 
     after ``Health and Human Services,''; and
       (2) in paragraph (2), by inserting ``Homeland Security,'' 
     after ``Health and Human Services,''.
       (c) Assistant Inspector General for Civil Rights and Civil 
     Liberties.--
       (1) In general.--There shall be in the Office of Inspector 
     General an Assistant Inspector General for Civil Rights and 
     Civil Liberties (in this section referred to as the 
     ``Assistant Inspector General''), who shall be appointed 
     without regard to political affiliation and solely on the 
     basis of demonstrated ability in civil rights and civil 
     liberties, law, management analysis, investigations, and 
     public relations.
       (2) Responsibilities of the assistant inspector general.--
     The Assistant Inspector General shall--
       (A) review information and receive complaints from any 
     source alleging abuses of civil rights and civil liberties 
     by--
       (i) employees and officials of the Department;
       (ii) independent contractors retained by the Department; or
       (iii) grantees of the Department;
       (B) conduct such investigations as the Assistant Inspector 
     General considers necessary, either self-initiated or in 
     response to complaints, to determine the policies and 
     practices to protect civil rights and civil liberties of--
       (i) the Department;
       (ii) any unit of the Department;
       (iii) independent contractors employed by the Department; 
     or
       (iv) grantees of the Department;
       (C) conduct investigations of the programs and operations 
     of the Department to determine whether the Department's civil 
     rights and civil liberties policies are being effectively 
     implemented, except that the Assistant Inspector General 
     shall not have any responsibility for the enforcement of the 
     Equal Employment Opportunities Act;
       (D) inform the Secretary and Congress of weaknesses, 
     problems, and deficiencies within the Department relating to 
     civil rights and civil liberties;
       (E) provide prompt notification to the Civil Rights Officer 
     of any complaints of violations of civil rights or civil 
     liberties, and consult with the Civil Rights Officer 
     regarding the investigation of such complaints, upon request 
     or as appropriate ;
       (F) publicize, in multiple languages, through the Internet, 
     radio, television, and newspaper advertisements--
       (i) information on the responsibilities and functions of 
     the Assistant Inspector General; and
       (ii) instructions on how to contact the Assistant Inspector 
     General; and
       (G) on a semi-annual basis, submit to Congress, for 
     referral to the appropriate committee or committees, a 
     report--
       (i) describing the implementation of this subsection, 
     including the number of complaints received and a general 
     description of any complaints received and investigations 
     undertaken either in response to a complaint or on the 
     initiative of the Assistant Inspector General;
       (ii) detailing any civil rights abuses under subparagraph 
     (A); and
       (iii) accounting for the expenditure of funds to carry out 
     this subsection.
       (d) Additional Provisions With Respect to the Inspector 
     General of the Department of Homeland Security.--The 
     Inspector General Act of 1978 (5 U.S.C. App.) is amended--
       (1) by redesignating section 8I as section 8J; and
       (2) by inserting after section 8H the following:


   Special provisions concerning the Department of Homeland Security

       ``Sec. 8I. (a)(1) Notwithstanding the last 2 sentences of 
     section 3(a), the Inspector General of the Department of 
     Homeland Security (in this section referred to as the 
     ``Inspector General'') shall be under the authority, 
     direction, and control of the Secretary of Homeland Security 
     (in this section referred to as the ``Secretary'') with 
     respect to audits or investigations, or the issuance of 
     subpoenas, which require access to sensitive information 
     concerning--
       ``(A) intelligence or counterintelligence matters;
       ``(B) ongoing criminal investigations or proceedings;
       ``(C) undercover operations;
       ``(D) the identity of confidential sources, including 
     protected witnesses;
       ``(E) other matters the disclosure of which would 
     constitute a serious threat to the protection of any person 
     or property authorized protection by--
       ``(i) section 3056 of title 18, United States Code;
       ``(ii) section 202 of title 3, United States Code; or
       ``(iii) any provision of the Presidential Protection 
     Assistance Act of 1976 (18 U.S.C. 3056 note); or
       ``(F) other matters the disclosure of which would 
     constitute a serious threat to national security.
       ``(2) With respect to the information described under 
     paragraph (1), the Secretary may prohibit the Inspector 
     General from carrying out or completing any audit or 
     investigation, or from issuing any subpoena, after such 
     Inspector General has decided to initiate, carry out, or 
     complete such audit or investigation or to issue such 
     subpoena, if the Secretary determines that such prohibition 
     is necessary to--
       ``(A) prevent the disclosure of any information described 
     under paragraph (1);
       ``(B) preserve vital national security interests; or
       ``(C) prevent significant impairment to the national 
     interests of the United States.
       ``(3)(A) If the Secretary exercises any power under 
     paragraph (1) or (2), the Secretary shall notify the 
     Inspector General or, with respect to investigations relating 
     to civil rights or civil liberties, the Assistant Inspector 
     General for Civil Rights and Civil Liberties (in this section 
     referred to as the `Assistant Inspector General'), in writing 
     (appropriately classified, if necessary) within 7 calendar 
     days stating the reasons for such exercise.
       ``(B) Within 30 days after receipt of any notice under 
     subparagraph (A), the Inspector General or Assistant 
     Inspector General, as appropriate, shall prepare a copy of 
     such notice and a written response that states whether the 
     Inspector General or Assistant Inspector General, as 
     appropriate, agrees or disagrees with the Secretary's 
     exercise of a power under paragraph (1) and describes the 
     reasons for any disagreement, to--
       ``(i) the President of the Senate;
       ``(ii) the Speaker of the House of Representatives;
       ``(iii) the Committee on Governmental Affairs of the 
     Senate;
       ``(iv) the Committee on Government Reform of the House of 
     Representatives; and
       ``(v) other appropriate committees or subcommittees of 
     Congress.
       ``(b)(1) In carrying out the duties and responsibilities 
     under this Act, the Inspector General shall have oversight 
     responsibility for the internal investigations and audits 
     performed by any other office performing internal 
     investigatory or audit functions in any subdivision of the 
     Department of Homeland Security. With respect to 
     investigations relating to civil rights or civil liberties, 
     the Inspector General's responsibilities under this section 
     shall be exercised by the Assistant Inspector General.
       ``(2) The head of each other office described under 
     paragraph (1) shall promptly report to the Inspector General 
     the significant activities being carried out by such office.
       ``(3)(A) Notwithstanding paragraphs (1) and (2), the 
     Inspector General may initiate, conduct, and supervise such 
     audits and investigations in the Department (including in any 
     subdivision referred to in paragraph (1)) as the Inspector 
     General considers appropriate.
       ``(B) If the Inspector General initiates an audit or 
     investigation under subparagraph (A) concerning a subdivision 
     referred to in paragraph (1), the Inspector General may 
     provide the head of the other office performing internal 
     investigatory or audit functions in the subdivision with 
     written notice that the Inspector General has initiated such 
     an audit or investigation.
       ``(C) If the Inspector General issues a notice under 
     subparagraph (B), no other audit or investigation shall be 
     initiated into the matter under audit or investigation by the 
     Inspector General, and any other audit or investigation of 
     such matter shall cease.
       ``(c) Any report required to be transmitted by the 
     Secretary to the appropriate committees or subcommittees of 
     Congress under section 5(d) shall also be transmitted, within 
     the 7-day period specified under that subsection, to--
       ``(1) the President of the Senate;
       ``(2) the Speaker of the House of Representatives;
       ``(3) the Committee on Governmental Affairs of the Senate; 
     and
       ``(4) the Committee on Government Reform of the House of 
     Representatives.
       ``(d)(1) The Assistant Inspector General shall inform the 
     complainant regarding what actions were taken in response to 
     a complaint.
       ``(2) With respect to any complaints received or 
     investigations undertaken by the Assistant Inspector General, 
     any person employed by an independent contractor, or grantee, 
     of the Department shall be entitled to the same protections 
     as are provided to employees of the Department under section 
     7.''.
       (e) Technical and Conforming Amendments.--The Inspector 
     General Act of 1978 (5 U.S.C. appendix) is amended--
       (1) in section 4(b), by striking ``8F'' each place it 
     appears and inserting ``8G''; and
       (2) in section 8J (as redesignated by subsection (d)(1)), 
     by striking ``or 8H'' and inserting ``, 8H, or 8I''.
       (f) Definition.--In this Act, the term ``civil rights and 
     civil liberties'' means rights and liberties, which--
       (1) are or may be protected by the Constitution or 
     implementing legislation; or

[[Page S9238]]

       (2) are analogous to the rights and liberties under 
     paragraph (1), whether or not secured by treaty, statute, 
     regulation or executive order.

     SEC. ____. REPEAL OF IMMUNITY FOR CUSTOMS OFFICERS IN 
                   CONDUCTING CERTAIN SEARCHES.

       (a) In General.--Section 3061 of the Revised Statutes is 
     amended--
       (1) in subsection (a), by striking ``(a)''; and
       (2) by striking subsection (b).
       (b) Trade Act of 2002.--The Trade Act of 2002 is amended--
       (1) by striking section 341; and
       (2) in the table of contents, by striking the item relating 
     to section 341.
       (c) Effective Date.--The amendments made by this section 
     shall take effect as if included in chapter 4 of title III of 
     the Trade Act of 2002.
                                 ______
                                 
  SA 4735. Mr. FEINGOLD (for himself and Mr. Kennedy) submitted an 
amendment intended to be proposed by him to the bill H.R. 5005, to 
establish the Department of Homeland Security, and for other purposes; 
which was ordered to lie on the table; as follows:

       On page ____, strike line ____ and all that follows through 
     page ____, line ____, and insert the following:

     SEC. ____. CIVIL RIGHTS OFFICER.

       (a) In General.--There shall be in the Department a Civil 
     Rights Officer, who shall be appointed by the President, by 
     and with the advice and consent of the Senate.
       (b) Responsibilities.--The Civil Rights Officer shall be 
     responsible for--
       (1) ensuring compliance with all civil rights and related 
     laws and regulations applicable to Department employees and 
     participants in Department programs;
       (2) coordinating administration of all civil rights and 
     related laws and regulations within the Department for 
     Department employees and participants in Department programs;
       (3) assisting the Secretary, directorates, and offices with 
     the development and implementation of policies and procedures 
     that ensure that civil rights considerations are 
     appropriately incorporated and implemented in Department 
     programs and activities;
       (4) overseeing compliance with statutory and constitutional 
     requirements related to the civil rights of individuals 
     affected by the programs and activities of the Department; 
     and
       (5) notifying the Inspector General of any matter that, in 
     the opinion of the Civil Rights Officer, warrants further 
     investigation.

     SEC. ____. PRIVACY OFFICER.

       (a) In General.--There shall be in the Department a Privacy 
     Officer, who shall be appointed by the Secretary.
       (b) Responsibilities.--The Privacy Officer shall--
       (1) oversee compliance with section 552a of title 5, United 
     States Code (commonly referred to as the Privacy Act of 1974) 
     and all other applicable laws relating to the privacy of 
     personal information;
       (2) assist the Secretary, directorates, and offices with 
     the development and implementation of policies and procedures 
     that ensure that--
       (A) privacy considerations and safeguards are appropriately 
     incorporated and implemented in Department programs and 
     activities; and
       (B) any information received by the Department is used or 
     disclosed in a manner that minimizes the risk of harm to 
     individuals from the inappropriate disclosure or use of such 
     materials;
       (3) assist Department personnel with the preparation of 
     privacy impact assessments when required by law or considered 
     appropriate by the Secretary; and
       (4) notify the Inspector General of any matter that, in the 
     opinion of the Privacy Officer, warrants further 
     investigation.

     SEC. ____. INSPECTOR GENERAL.

       (a) In General.--There shall be in the Department an 
     Inspector General. The Inspector General and the Office of 
     Inspector General shall be subject to the Inspector General 
     Act of 1978 (5 U.S.C. App.).
       (b) Establishment.--Section 11 of the Inspector General Act 
     of 1978 (5 U.S.C. App.) is amended--
       (1) in paragraph (1), by inserting ``Homeland Security,'' 
     after ``Health and Human Services,''; and
       (2) in paragraph (2), by inserting ``Homeland Security,'' 
     after ``Health and Human Services,''.
       (c) Assistant Inspector General for Civil Rights and Civil 
     Liberties.--
       (1) In general.--There shall be in the Office of Inspector 
     General an Assistant Inspector General for Civil Rights and 
     Civil Liberties (in this section referred to as the 
     ``Assistant Inspector General''), who shall be appointed 
     without regard to political affiliation and solely on the 
     basis of demonstrated ability in civil rights and civil 
     liberties, law, management analysis, investigations, and 
     public relations.
       (2) Responsibilities of the assistant inspector general.--
     The Assistant Inspector General shall--
       (A) review information and receive complaints from any 
     source alleging abuses of civil rights and civil liberties 
     by--
       (i) employees and officials of the Department;
       (ii) independent contractors retained by the Department; or
       (iii) grantees of the Department;
       (B) conduct such investigations as the Assistant Inspector 
     General considers necessary, either self-initiated or in 
     response to complaints, to determine the policies and 
     practices to protect civil rights and civil liberties of--
       (i) the Department;
       (ii) any unit of the Department;
       (iii) independent contractors employed by the Department; 
     or
       (iv) grantees of the Department;
       (C) conduct investigations of the programs and operations 
     of the Department to determine whether the Department's civil 
     rights and civil liberties policies are being effectively 
     implemented, except that the Assistant Inspector General 
     shall not have any responsibility for the enforcement of the 
     Equal Employment Opportunities Act;
       (D) inform the Secretary and Congress of weaknesses, 
     problems, and deficiencies within the Department relating to 
     civil rights and civil liberties;
       (E) provide prompt notification to the Civil Rights Officer 
     of any complaints of violations of civil rights or civil 
     liberties, and consult with the Civil Rights Officer 
     regarding the investigation of such complaints, upon request 
     or as appropriate ;
       (F) publicize, in multiple languages, through the Internet, 
     radio, television, and newspaper advertisements--
       (i) information on the responsibilities and functions of 
     the Assistant Inspector General; and
       (ii) instructions on how to contact the Assistant Inspector 
     General; and
       (G) on a semi-annual basis, submit to Congress, for 
     referral to the appropriate committee or committees, a 
     report--
       (i) describing the implementation of this subsection, 
     including the number of complaints received and a general 
     description of any complaints received and investigations 
     undertaken either in response to a complaint or on the 
     initiative of the Assistant Inspector General;
       (ii) detailing any civil rights abuses under subparagraph 
     (A); and
       (iii) accounting for the expenditure of funds to carry out 
     this subsection.
       (d) Additional Provisions With Respect to the Inspector 
     General of the Department of Homeland Security.--The 
     Inspector General Act of 1978 (5 U.S.C. App.) is amended--
       (1) by redesignating section 8I as section 8J; and
       (2) by inserting after section 8H the following:


   Special provisions concerning the Department of Homeland Security

       ``Sec. 8I. (a)(1) Notwithstanding the last 2 sentences of 
     section 3(a), the Inspector General of the Department of 
     Homeland Security (in this section referred to as the 
     ``Inspector General'') shall be under the authority, 
     direction, and control of the Secretary of Homeland Security 
     (in this section referred to as the ``Secretary'') with 
     respect to audits or investigations, or the issuance of 
     subpoenas, which require access to sensitive information 
     concerning--
       ``(A) intelligence or counterintelligence matters;
       ``(B) ongoing criminal investigations or proceedings;
       ``(C) undercover operations;
       ``(D) the identity of confidential sources, including 
     protected witnesses;
       ``(E) other matters the disclosure of which would 
     constitute a serious threat to the protection of any person 
     or property authorized protection by--
       ``(i) section 3056 of title 18, United States Code;
       ``(ii) section 202 of title 3, United States Code; or
       ``(iii) any provision of the Presidential Protection 
     Assistance Act of 1976 (18 U.S.C. 3056 note); or
       ``(F) other matters the disclosure of which would 
     constitute a serious threat to national security.
       ``(2) With respect to the information described under 
     paragraph (1), the Secretary may prohibit the Inspector 
     General from carrying out or completing any audit or 
     investigation, or from issuing any subpoena, after such 
     Inspector General has decided to initiate, carry out, or 
     complete such audit or investigation or to issue such 
     subpoena, if the Secretary determines that such prohibition 
     is necessary to--
       ``(A) prevent the disclosure of any information described 
     under paragraph (1);
       ``(B) preserve vital national security interests; or
       ``(C) prevent significant impairment to the national 
     interests of the United States.
       ``(3)(A) If the Secretary exercises any power under 
     paragraph (1) or (2), the Secretary shall notify the 
     Inspector General or, with respect to investigations relating 
     to civil rights or civil liberties, the Assistant Inspector 
     General for Civil Rights and Civil Liberties (in this section 
     referred to as the `Assistant Inspector General'), in writing 
     (appropriately classified, if necessary) within 7 calendar 
     days stating the reasons for such exercise.
       ``(B) Within 30 days after receipt of any notice under 
     subparagraph (A), the Inspector General or Assistant 
     Inspector General, as appropriate, shall prepare a copy of 
     such notice and a written response that states whether the 
     Inspector General or Assistant Inspector General, as 
     appropriate, agrees or disagrees with the Secretary's 
     exercise of a

[[Page S9239]]

     power under paragraph (1) and describes the reasons for any 
     disagreement, to--
       ``(i) the President of the Senate;
       ``(ii) the Speaker of the House of Representatives;
       ``(iii) the Committee on Governmental Affairs of the 
     Senate;
       ``(iv) the Committee on Government Reform of the House of 
     Representatives; and
       ``(v) other appropriate committees or subcommittees of 
     Congress.
       ``(b)(1) In carrying out the duties and responsibilities 
     under this Act, the Inspector General shall have oversight 
     responsibility for the internal investigations and audits 
     performed by any other office performing internal 
     investigatory or audit functions in any subdivision of the 
     Department of Homeland Security. With respect to 
     investigations relating to civil rights or civil liberties, 
     the Inspector General's responsibilities under this section 
     shall be exercised by the Assistant Inspector General.
       ``(2) The head of each other office described under 
     paragraph (1) shall promptly report to the Inspector General 
     the significant activities being carried out by such office.
       ``(3)(A) Notwithstanding paragraphs (1) and (2), the 
     Inspector General may initiate, conduct, and supervise such 
     audits and investigations in the Department (including in any 
     subdivision referred to in paragraph (1)) as the Inspector 
     General considers appropriate.
       ``(B) If the Inspector General initiates an audit or 
     investigation under subparagraph (A) concerning a subdivision 
     referred to in paragraph (1), the Inspector General may 
     provide the head of the other office performing internal 
     investigatory or audit functions in the subdivision with 
     written notice that the Inspector General has initiated such 
     an audit or investigation.
       ``(C) If the Inspector General issues a notice under 
     subparagraph (B), no other audit or investigation shall be 
     initiated into the matter under audit or investigation by the 
     Inspector General, and any other audit or investigation of 
     such matter shall cease.
       ``(c) Any report required to be transmitted by the 
     Secretary to the appropriate committees or subcommittees of 
     Congress under section 5(d) shall also be transmitted, within 
     the 7-day period specified under that subsection, to--
       ``(1) the President of the Senate;
       ``(2) the Speaker of the House of Representatives;
       ``(3) the Committee on Governmental Affairs of the Senate; 
     and
       ``(4) the Committee on Government Reform of the House of 
     Representatives.
       ``(d)(1) The Assistant Inspector General shall inform the 
     complainant regarding what actions were taken in response to 
     a complaint.
       ``(2) With respect to any complaints received or 
     investigations undertaken by the Assistant Inspector General, 
     any person employed by an independent contractor, or grantee, 
     of the Department shall be entitled to the same protections 
     as are provided to employees of the Department under section 
     7.''.
       (e) Technical and Conforming Amendments.--The Inspector 
     General Act of 1978 (5 U.S.C. appendix) is amended--
       (1) in section 4(b), by striking ``8F'' each place it 
     appears and inserting ``8G''; and
       (2) in section 8J (as redesignated by subsection (d)(1)), 
     by striking ``or 8H'' and inserting ``, 8H, or 8I''.
       (f) Definition.--In this Act, the term ``civil rights and 
     civil liberties'' means rights and liberties, which--
       (1) are or may be protected by the Constitution or 
     implementing legislation; or
       (2) are analogous to the rights and liberties under 
     paragraph (1), whether or not secured by treaty, statute, 
     regulation or executive order.
                                 ______
                                 
  SA 4736. Mr. FEINGOLD (for himself and Mr. Kennedy) submitted an 
amendment intended to be proposed by him to the bill H.R. 5005, to 
establish the Department of Homeland Security, and for other purposes; 
which was ordered to lie on the table; as follows:

       On page ____, strike line ____ and all that follows through 
     page ____, line ____, and insert the following:

     SEC. ____. CIVIL RIGHTS OFFICER.

       (a) In General.--There shall be in the Department a Civil 
     Rights Officer, who shall be appointed by the President, by 
     and with the advice and consent of the Senate.
       (b) Responsibilities.--The Civil Rights Officer shall be 
     responsible for--
       (1) ensuring compliance with all civil rights and related 
     laws and regulations applicable to Department employees and 
     participants in Department programs;
       (2) coordinating administration of all civil rights and 
     related laws and regulations within the Department for 
     Department employees and participants in Department programs;
       (3) assisting the Secretary, directorates, and offices with 
     the development and implementation of policies and procedures 
     that ensure that civil rights considerations are 
     appropriately incorporated and implemented in Department 
     programs and activities;
       (4) overseeing compliance with statutory and constitutional 
     requirements related to the civil rights of individuals 
     affected by the programs and activities of the Department; 
     and
       (5) notifying the Inspector General of any matter that, in 
     the opinion of the Civil Rights Officer, warrants further 
     investigation.

     SEC. ____. PRIVACY OFFICER.

       (a) In General.--There shall be in the Department a Privacy 
     Officer, who shall be appointed by the Secretary.
       (b) Responsibilities.--The Privacy Officer shall--
       (1) oversee compliance with section 552a of title 5, United 
     States Code (commonly referred to as the Privacy Act of 1974) 
     and all other applicable laws relating to the privacy of 
     personal information;
       (2) assist the Secretary, directorates, and offices with 
     the development and implementation of policies and procedures 
     that ensure that--
       (A) privacy considerations and safeguards are appropriately 
     incorporated and implemented in Department programs and 
     activities; and
       (B) any information received by the Department is used or 
     disclosed in a manner that minimizes the risk of harm to 
     individuals from the inappropriate disclosure or use of such 
     materials;
       (3) assist Department personnel with the preparation of 
     privacy impact assessments when required by law or considered 
     appropriate by the Secretary; and
       (4) notify the Inspector General of any matter that, in the 
     opinion of the Privacy Officer, warrants further 
     investigation.

     SEC. ____. INSPECTOR GENERAL.

       (a) In General.--There shall be in the Department an 
     Inspector General. The Inspector General and the Office of 
     Inspector General shall be subject to the Inspector General 
     Act of 1978 (5 U.S.C. App.).
       (b) Establishment.--Section 11 of the Inspector General Act 
     of 1978 (5 U.S.C. App.) is amended--
       (1) in paragraph (1), by inserting ``Homeland Security,'' 
     after ``Health and Human Services,''; and
       (2) in paragraph (2), by inserting ``Homeland Security,'' 
     after ``Health and Human Services,''.
       (c) Review of the Department of Homeland Security.--The 
     Inspector General shall designate 1 official who shall--
       (1) review information and receive complaints alleging 
     abuses of civil rights and civil liberties by employees and 
     officials of the Department;
       (2) publicize, through the Internet, radio, television, and 
     newspaper advertisements--
       (A) information on the responsibilities and functions of 
     the official; and
       (B) instructions on how to contact the official; and
       (3) on a semi-annual basis, submit to Congress, for 
     referral to the appropriate committee or committees, a 
     report--
       (A) describing the implementation of this subsection;
       (B) detailing any civil rights abuses under paragraph (1); 
     and
       (C) accounting for the expenditure of funds to carry out 
     this subsection.
       (d) Additional Provisions With Respect to the Inspector 
     General of the Department of Homeland Security.--The 
     Inspector General Act of 1978 (5 U.S.C. App.) is amended--
       (1) by redesignating section 8I as section 8J; and
       (2) by inserting after section 8H the following:


   special provisions concerning the department of homeland security

       ``Sec. 8I. (a)(1) Notwithstanding the last 2 sentences of 
     section 3(a), the Inspector General of the Department of 
     Homeland Security (in this section referred to as the 
     ``Inspector General'') shall be under the authority, 
     direction, and control of the Secretary of Homeland Security 
     (in this section referred to as the ``Secretary'') with 
     respect to audits or investigations, or the issuance of 
     subpoenas, which require access to sensitive information 
     concerning--
       ``(A) intelligence or counterintelligence matters;
       ``(B) ongoing criminal investigations or proceedings;
       ``(C) undercover operations;
       ``(D) the identity of confidential sources, including 
     protected witnesses;
       ``(E) other matters the disclosure of which would 
     constitute a serious threat to the protection of any person 
     or property authorized protection by--
       ``(i) section 3056 of title 18, United States Code;
       ``(ii) section 202 of title 3, United States Code; or
       ``(iii) any provision of the Presidential Protection 
     Assistance Act of 1976 (18 U.S.C. 3056 note); or
       ``(F) other matters the disclosure of which would 
     constitute a serious threat to national security.
       ``(2) With respect to the information described under 
     paragraph (1), the Secretary may prohibit the Inspector 
     General from carrying out or completing any audit or 
     investigation, or from issuing any subpoena, after such 
     Inspector General has decided to initiate, carry out, or 
     complete such audit or investigation or to issue such 
     subpoena, if the Secretary determines that such prohibition 
     is necessary to--
       ``(A) prevent the disclosure of any information described 
     under paragraph (1);
       ``(B) preserve the national security; or
       ``(C) prevent significant impairment to the national 
     interests of the United States.
       ``(3) If the Secretary exercises any power under paragraph 
     (1) or (2), the Secretary shall notify the Inspector General 
     in writing (appropriately classified, if necessary) within

[[Page S9240]]

     7 calendar days stating the reasons for such exercise. Within 
     30 days after receipt of any such notice, the Inspector 
     General shall transmit a copy of such notice, together with 
     such comments concerning the exercise of such power as the 
     Inspector General considers appropriate, to--
       ``(A) the President of the Senate;
       ``(B) the Speaker of the House of Representatives;
       ``(C) the Committee on Governmental Affairs of the Senate;
       ``(D) the Committee on Government Reform of the House of 
     Representatives; and
       ``(E) other appropriate committees or subcommittees of 
     Congress.
       ``(b)(1) In carrying out the duties and responsibilities 
     under this Act, the Inspector General shall have oversight 
     responsibility for the internal investigations and audits 
     performed by any other office performing internal 
     investigatory or audit functions in any subdivision of the 
     Department of Homeland Security.
       ``(2) The head of each other office described under 
     paragraph (1) shall promptly report to the Inspector General 
     the significant activities being carried out by such office.
       ``(3) Notwithstanding paragraphs (1) and (2), the Inspector 
     General may initiate, conduct, and supervise such audits and 
     investigations in the Department (including in any 
     subdivision referred to in paragraph (1)) as the Inspector 
     General considers appropriate.
       ``(4) If the Inspector General initiates an audit or 
     investigation under paragraph (3) concerning a subdivision 
     referred to in paragraph (1), the Inspector General may 
     provide the head of the other office performing internal 
     investigatory or audit functions in the subdivision with 
     written notice that the Inspector General has initiated such 
     an audit or investigation. If the Inspector General issues 
     such a notice, no other audit or investigation shall be 
     initiated into the matter under audit or investigation by the 
     Inspector General, and any other audit or investigation of 
     such matter shall cease.
       ``(c) Any report required to be transmitted by the 
     Secretary to the appropriate committees or subcommittees of 
     Congress under section 5(d) shall also be transmitted, within 
     the 7-day period specified under that subsection, to--
       ``(1) the President of the Senate;
       ``(2) the Speaker of the House of Representatives;
       ``(3) the Committee on Governmental Affairs of the Senate; 
     and
       ``(4) the Committee on Government Reform of the House of 
     Representatives.''.
       (e) Technical and Conforming Amendments.--The Inspector 
     General Act of 1978 (5 U.S.C. appendix) is amended--
       (1) in section 4(b), by striking ``8F'' each place it 
     appears and inserting ``8G''; and
       (2) in section 8J (as redesignated by subsection (c)(1)), 
     by striking ``or 8H'' and inserting ``, 8H, or 8I''.
                                 ______
                                 
  SA 4737. Mr. FEINGOLD (for himself and Mr. Kennedy) submitted an 
amendment intended to be proposed by him to the bill H.R. 5005, to 
establish the Department of Homeland Security, and for other purposes; 
which was ordered to lie on the table; as follows:

       On page ____, strike line ____ and all that follows through 
     page ____, line ____, and insert the following:

     SEC. ____. CIVIL RIGHTS OFFICER.

       (a) In General.--There shall be in the Department a Civil 
     Rights Officer, who shall be appointed by the President, by 
     and with the advice and consent of the Senate.
       (b) Responsibilities.--The Civil Rights Officer shall be 
     responsible for--
       (1) ensuring compliance with all civil rights and related 
     laws and regulations applicable to Department employees and 
     participants in Department programs;
       (2) coordinating administration of all civil rights and 
     related laws and regulations within the Department for 
     Department employees and participants in Department programs;
       (3) assisting the Secretary, directorates, and offices with 
     the development and implementation of policies and procedures 
     that ensure that civil rights considerations are 
     appropriately incorporated and implemented in Department 
     programs and activities;
       (4) overseeing compliance with statutory and constitutional 
     requirements related to the civil rights of individuals 
     affected by the programs and activities of the Department; 
     and
       (5) notifying the Inspector General of any matter that, in 
     the opinion of the Civil Rights Officer, warrants further 
     investigation.

     SEC. ____. PRIVACY OFFICER.

       (a) In General.--There shall be in the Department a Privacy 
     Officer, who shall be appointed by the Secretary.
       (b) Responsibilities.--The Privacy Officer shall--
       (1) oversee compliance with section 552a of title 5, United 
     States Code (commonly referred to as the Privacy Act of 1974) 
     and all other applicable laws relating to the privacy of 
     personal information;
       (2) assist the Secretary, directorates, and offices with 
     the development and implementation of policies and procedures 
     that ensure that--
       (A) privacy considerations and safeguards are appropriately 
     incorporated and implemented in Department programs and 
     activities; and
       (B) any information received by the Department is used or 
     disclosed in a manner that minimizes the risk of harm to 
     individuals from the inappropriate disclosure or use of such 
     materials;
       (3) assist Department personnel with the preparation of 
     privacy impact assessments when required by law or considered 
     appropriate by the Secretary; and
       (4) notify the Inspector General of any matter that, in the 
     opinion of the Privacy Officer, warrants further 
     investigation.

     SEC. ____. INSPECTOR GENERAL.

       (a) In General.--There shall be in the Department an 
     Inspector General. The Inspector General and the Office of 
     Inspector General shall be subject to the Inspector General 
     Act of 1978 (5 U.S.C. App.).
       (b) Establishment.--Section 11 of the Inspector General Act 
     of 1978 (5 U.S.C. App.) is amended--
       (1) in paragraph (1), by inserting ``Homeland Security,'' 
     after ``Health and Human Services,''; and
       (2) in paragraph (2), by inserting ``Homeland Security,'' 
     after ``Health and Human Services,''.
       (c) Assistant Inspector General for Civil Rights and Civil 
     Liberties.--
       (1) In general.--There shall be in the Office of Inspector 
     General an Assistant Inspector General for Civil Rights and 
     Civil Liberties (in this section referred to as the 
     ``Assistant Inspector General''), who shall be appointed 
     without regard to political affiliation and solely on the 
     basis of demonstrated ability in civil rights and civil 
     liberties, law, management analysis, investigations, and 
     public relations.
       (2) Responsibilities of the assistant inspector general.--
     The Assistant Inspector General shall--
       (A) review information and receive complaints from any 
     source alleging abuses of civil rights and civil liberties 
     by--
       (i) employees and officials of the Department;
       (ii) independent contractors retained by the Department; or
       (iii) grantees of the Department;
       (B) conduct such investigations as the Assistant Inspector 
     General considers necessary, either self-initiated or in 
     response to complaints, to determine the policies and 
     practices to protect civil rights and civil liberties of--
       (i) the Department;
       (ii) any unit of the Department;
       (iii) independent contractors employed by the Department; 
     or
       (iv) grantees of the Department;
       (C) conduct investigations of the programs and operations 
     of the Department to determine whether the Department's civil 
     rights and civil liberties policies are being effectively 
     implemented, except that the Assistant Inspector General 
     shall not have any responsibility for the enforcement of the 
     Equal Employment Opportunities Act;
       (D) inform the Secretary and Congress of weaknesses, 
     problems, and deficiencies within the Department relating to 
     civil rights and civil liberties;
       (E) provide prompt notification to the Civil Rights Officer 
     of any complaints of violations of civil rights or civil 
     liberties, and consult with the Civil Rights Officer 
     regarding the investigation of such complaints, upon request 
     or as appropriate ;
       (F) publicize, in multiple languages, through the Internet, 
     radio, television, and newspaper advertisements--
       (i) information on the responsibilities and functions of 
     the Assistant Inspector General; and
       (ii) instructions on how to contact the Assistant Inspector 
     General; and
       (G) on a semi-annual basis, submit to Congress, for 
     referral to the appropriate committee or committees, a 
     report--
       (i) describing the implementation of this subsection, 
     including the number of complaints received and a general 
     description of any complaints received and investigations 
     undertaken either in response to a complaint or on the 
     initiative of the Assistant Inspector General;
       (ii) detailing any civil rights abuses under subparagraph 
     (A); and
       (iii) accounting for the expenditure of funds to carry out 
     this subsection.
       (d) Additional Provisions With Respect to the Inspector 
     General of the Department of Homeland Security.--The 
     Inspector General Act of 1978 (5 U.S.C. App.) is amended--
       (1) by redesignating section 8I as section 8J; and
       (2) by inserting after section 8H the following:


   Special provisions concerning the Department of Homeland Security

       ``Sec. 8I. (a)(1) Notwithstanding the last 2 sentences of 
     section 3(a), the Inspector General of the Department of 
     Homeland Security (in this section referred to as the 
     ``Inspector General'') shall be under the authority, 
     direction, and control of the Secretary of Homeland Security 
     (in this section referred to as the ``Secretary'') with 
     respect to audits or investigations, or the issuance of 
     subpoenas, which require access to sensitive information 
     concerning--
       ``(A) intelligence or counterintelligence matters;
       ``(B) ongoing criminal investigations or proceedings;
       ``(C) undercover operations;
       ``(D) the identity of confidential sources, including 
     protected witnesses;

[[Page S9241]]

       ``(E) other matters the disclosure of which would 
     constitute a serious threat to the protection of any person 
     or property authorized protection by--
       ``(i) section 3056 of title 18, United States Code;
       ``(ii) section 202 of title 3, United States Code; or
       ``(iii) any provision of the Presidential Protection 
     Assistance Act of 1976 (18 U.S.C. 3056 note); or
       ``(F) other matters the disclosure of which would 
     constitute a serious threat to national security.
       ``(2) With respect to the information described under 
     paragraph (1), the Secretary may prohibit the Inspector 
     General from carrying out or completing any audit or 
     investigation, or from issuing any subpoena, after such 
     Inspector General has decided to initiate, carry out, or 
     complete such audit or investigation or to issue such 
     subpoena, if the Secretary determines that such prohibition 
     is necessary to--
       ``(A) prevent the disclosure of any information described 
     under paragraph (1);
       ``(B) preserve vital national security interests; or
       ``(C) prevent significant impairment to the national 
     interests of the United States.
       ``(3)(A) If the Secretary exercises any power under 
     paragraph (1) or (2), the Secretary shall notify the 
     Inspector General or, with respect to investigations relating 
     to civil rights or civil liberties, the Assistant Inspector 
     General for Civil Rights and Civil Liberties (in this section 
     referred to as the `Assistant Inspector General'), in writing 
     (appropriately classified, if necessary) within 7 calendar 
     days stating the reasons for such exercise.
       ``(B) Within 30 days after receipt of any notice under 
     subparagraph (A), the Inspector General or Assistant 
     Inspector General, as appropriate, shall prepare a copy of 
     such notice and a written response that states whether the 
     Inspector General or Assistant Inspector General, as 
     appropriate, agrees or disagrees with the Secretary's 
     exercise of a power under paragraph (1) and describes the 
     reasons for any disagreement, to--
       ``(i) the President of the Senate;
       ``(ii) the Speaker of the House of Representatives;
       ``(iii) the Committee on Governmental Affairs of the 
     Senate;
       ``(iv) the Committee on Government Reform of the House of 
     Representatives; and
       ``(v) other appropriate committees or subcommittees of 
     Congress.
       ``(b)(1) In carrying out the duties and responsibilities 
     under this Act, the Inspector General shall have oversight 
     responsibility for the internal investigations and audits 
     performed by any other office performing internal 
     investigatory or audit functions in any subdivision of the 
     Department of Homeland Security. With respect to 
     investigations relating to civil rights or civil liberties, 
     the Inspector General's responsibilities under this section 
     shall be exercised by the Assistant Inspector General.
       ``(2) The head of each other office described under 
     paragraph (1) shall promptly report to the Inspector General 
     the significant activities being carried out by such office.
       ``(3)(A) Notwithstanding paragraphs (1) and (2), the 
     Inspector General may initiate, conduct, and supervise such 
     audits and investigations in the Department (including in any 
     subdivision referred to in paragraph (1)) as the Inspector 
     General considers appropriate.
       ``(B) If the Inspector General initiates an audit or 
     investigation under subparagraph (A) concerning a subdivision 
     referred to in paragraph (1), the Inspector General may 
     provide the head of the other office performing internal 
     investigatory or audit functions in the subdivision with 
     written notice that the Inspector General has initiated such 
     an audit or investigation.
       ``(C) If the Inspector General issues a notice under 
     subparagraph (B), no other audit or investigation shall be 
     initiated into the matter under audit or investigation by the 
     Inspector General, and any other audit or investigation of 
     such matter shall cease.
       ``(c) Any report required to be transmitted by the 
     Secretary to the appropriate committees or subcommittees of 
     Congress under section 5(d) shall also be transmitted, within 
     the 7-day period specified under that subsection, to--
       ``(1) the President of the Senate;
       ``(2) the Speaker of the House of Representatives;
       ``(3) the Committee on Governmental Affairs of the Senate; 
     and
       ``(4) the Committee on Government Reform of the House of 
     Representatives.
       ``(d)(1) The Assistant Inspector General shall inform the 
     complainant regarding what actions were taken in response to 
     a complaint.
       ``(2) With respect to any complaints received or 
     investigations undertaken by the Assistant Inspector General, 
     any person employed by an independent contractor, or grantee, 
     of the Department shall be entitled to the same protections 
     as are provided to employees of the Department under section 
     7.''.
       (e) Technical and Conforming Amendments.--The Inspector 
     General Act of 1978 (5 U.S.C. appendix) is amended--
       (1) in section 4(b), by striking ``8F'' each place it 
     appears and inserting ``8G''; and
       (2) in section 8J (as redesignated by subsection (d)(1)), 
     by striking ``or 8H'' and inserting ``, 8H, or 8I''.
       (f) Definition.--In this Act, the term ``civil rights and 
     civil liberties'' means rights and liberties, which--
       (1) are or may be protected by the Constitution or 
     implementing legislation; or
       (2) are analogous to the rights and liberties under 
     paragraph (1), whether or not secured by treaty, statute, 
     regulation or executive order.

     SEC. ____. STANDARDS FOR CLOSING REMOVAL HEARINGS.

       Section 240 of the Immigration and Nationality Act (8 
     U.S.C. 1229a) is amended--
       (1) by redesignating subsection (e) as subsection (f); and
       (2) by inserting after subsection (d) the following:
       ``(e) Standards for Closing Removal Hearings.--
       ``(1) In general.--Except as provided in paragraph (2), a 
     removal proceeding under this section shall be open to the 
     public.
       ``(2) Exceptions.--Portions of a removal proceeding under 
     this section may be closed to the public, on a case by case 
     basis, when necessary--
       ``(A) and with the consent of the alien, to preserve the 
     confidentiality of applications for--
       ``(i) asylum;
       ``(ii) withholding of removal;
       ``(iii) relief under the Convention Against Torture and 
     Other Cruel, Inhuman or Degrading Treatment or Punishment, 
     done at New York December 10, 1984;
       ``(iv) relief under the Violence Against Women Act of 1994 
     (Public Law 103-322; 108 Stat. 1902); or
       ``(v) other applications for relief involving confidential 
     personal information or where portions of the removal hearing 
     involve minors or issues relating to domestic violence; or
       ``(B) to protect the national security by preventing the 
     disclosure of--
       ``(i) classified information; or
       ``(ii) the identity of a confidential informant.''.
                                 ______
                                 
  SA 4738. Mr. GRAMM (for himself, Mr. Miller, Mr. McConnell, Mr. 
Thompson, Mr. Stevens, Mr. Hagel, Mr. Hutchinson, and Mr. Bunning) 
proposed an amendment to amendment SA 4471 proposed by Mr. Lieberman to 
the bill H.R. 5005, to establish the Department of Homeland Security, 
and for other purposes; as follows:

       Strike all after the first word in amendment #4471 and 
     insert the following:

     SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

       (a) Short Title.--This Act may be cited as the ``Homeland 
     Security Act of 2002''.
       (b) Divisions.--This Act is organized into three divisions 
     as follows:
       (1) Division A.--Homeland Security.
       (2) Division B.--Immigration Reform, Accountability, and 
     Security Enhancement Act of 2002.
       (3) Division C.--Federal Workforce Improvement.
       (c) Table of Contents.--The table of contents for this Act 
     is as follows:

Sec. 1. Short title; table of contents.
Sec. 2. Definitions.
Sec. 3. Construction; severability.
Sec. 4. Effective date.

                     DIVISION A--HOMELAND SECURITY

                TITLE I--DEPARTMENT OF HOMELAND SECURITY

Sec. 101. Executive department; mission.
Sec. 102. Secretary; functions.
Sec. 103. Other officers.
Sec. 104. Office of International Affairs.

      TITLE II--INFORMATION ANALYSIS AND INFRASTRUCTURE PROTECTION

Sec. 201. Directorate for Information Analysis and Infrastructure 
              Protection.
Sec. 202. Access to information.
Sec. 203. Protection of voluntarily furnished confidential information.

   TITLE III--SCIENCE AND TECHNOLOGY IN SUPPORT OF HOMELAND SECURITY

Sec. 301. Under Secretary for Science and Technology.
Sec. 302. Responsibilities and authorities of the Under Secretary for 
              Science and Technology.
Sec. 303. Functions transferred.
Sec. 304. Conduct of certain public health-related activities.
Sec. 305. Research in conjunction with the Department of Health and 
              Human Services and other departments.
Sec. 306. Homeland Security Advanced Research Projects Agency.
Sec. 307. Miscellaneous authorities relating to national laboratories.
Sec. 308. Homeland Security Institute.
Sec. 309. Utilization of Department of Energy national laboratories and 
              sites in support of homeland security activities.
Sec. 310. Transfer of Plum Island Animal Disease Center, Department of 
              Agriculture.
Sec. 311. Clearinghouse.

              TITLE IV--BORDER AND TRANSPORTATION SECURITY

Sec. 401. Under Secretary for Border and Transportation Security.
Sec. 402. Responsibilities.
Sec. 403. Functions transferred.
Sec. 404. Transfer of certain agricultural inspection functions of the 
              Department of Agriculture.
Sec. 405. Coordination of information and information technology.

[[Page S9242]]

Sec. 406. Visa issuance.
Sec. 407. Border security and immigration working group.
Sec. 408. Information on visa denials required to be entered into 
              electronic data system.
Sec. 409. Study on use of foreign national personnel in visa 
              processing.

              TITLE V--EMERGENCY PREPAREDNESS AND RESPONSE

Sec. 501. Under Secretary for Emergency Preparedness and Response.
Sec. 502. Responsibilities.
Sec. 503. Functions transferred.
Sec. 504. Nuclear incident response.
Sec. 505. Conduct of certain public health-related activities.
Sec. 506. Definition.

                          TITLE VI--MANAGEMENT

Sec. 601. Under Secretary for Management.
Sec. 602. Responsibilities.
Sec. 603. Chief Financial Officer.
Sec. 604. Chief Information Officer.
Sec. 605. Chief Human Capital Officer.

 TITLE VII--COORDINATION WITH NON-FEDERAL ENTITIES; INSPECTOR GENERAL; 
     UNITED STATES SECRET SERVICE; COAST GUARD; GENERAL PROVISIONS

           Subtitle A--Coordination with Non-Federal Entities

Sec. 701. Responsibilities.

                     Subtitle B--Inspector General

Sec. 710. Authority of the Secretary.
Sec. 711. Law enforcement powers of Inspector General Agents.

                Subtitle C--United States Secret Service

Sec. 720. Functions transferred.

                     Subtitle D--General Provisions

Sec. 730. Establishment of Human Resources Management System.
Sec. 731. Labor-management relations.
Sec. 732. Advisory committees.
Sec. 733. Acquisitions.
Sec. 734. Reorganization authority.
Sec. 735. Miscellaneous provisions.
Sec. 736. Authorization of appropriations.
Sec. 737. Regulatory authority.
Sec. 738. Use of appropriated funds.
Sec. 739. Future Year Homeland Security Program.
Sec. 739A. Bioterrorism Preparedness and Response Division.
Sec. 739B. Coordination with the Department of Health and Human 
              Services under the Public Health Service Act.

Subtitle E--Risk Sharing and Indemnification for Contractors Supplying 
                 Anti-Terrorism Technology and Services

Sec. 741. Application of indemnification authority.
Sec. 742. Application of indemnification authority to State and local 
              government contractors.
Sec. 743. Procurements of anti-terrorism technologies and anti-
              terrorism services by State and local governments through 
              Federal contracts.
Sec. 744. Congressional notification.
Sec. 745. Definitions.

         Subtitle F--Federal Emergency Procurement Flexibility

Sec. 751. Definition.
Sec. 752. Procurements for defense against or recovery from terrorism 
              or nuclear, biological, chemical, or radiological attack.
Sec. 753. Increased simplified acquisition threshold for procurements 
              in support of humanitarian or peacekeeping operations or 
              contingency operations.
Sec. 754. Increased micro-purchase threshold for certain procurements.
Sec. 755. Application of certain commercial items authorities to 
              certain procurements.
Sec. 756. Use of streamlined procedures.
Sec. 757. Review and report by Comptroller General.
Sec. 758. Identification of new entrants into the Federal marketplace.

                        Subtitle G--Coast Guard

Sec. 761. Preserving Coast Guard mission performance.

                         TITLE VIII--TRANSITION

Sec. 801. Definitions.
Sec. 802. Transfer of agencies.
Sec. 803. Transitional authorities.
Sec. 804. Savings provisions.
Sec. 805. Terminations.
Sec. 806. Incidental transfers.

             TITLE IX--CONFORMING AND TECHNICAL AMENDMENTS

Sec. 901. Inspector General Act.
Sec. 902. Executive schedule.
Sec. 903. United States Secret Service.
Sec. 904. Coast Guard.
Sec. 905. Strategic National Stockpile and smallpox vaccine 
              development.
Sec. 906. Select agent registration.
Sec. 907. National Bio-Weapons Defense Analysis Center.
Sec. 908. Military activities.

     DIVISION B--IMMIGRATION REFORM, ACCOUNTABILITY, AND SECURITY 
                        ENHANCEMENT ACT OF 2002

Sec. 1001. Short title.
Sec. 1002. Definitions.
Sec. 1003. Transfer of Immigration and Naturalization Service 
              functions.

              TITLE XI--DIRECTORATE OF IMMIGRATION AFFAIRS

                        Subtitle A--Organization

Sec. 1101. Abolition of Immigration and Naturalization Service.
Sec. 1102. Establishment of Directorate of Immigration Affairs.
Sec. 1103. Under Secretary of Homeland Security for Immigration 
              Affairs.
Sec. 1104. Bureau of Immigration Services.
Sec. 1105. Bureau of Enforcement.
Sec. 1106. Office of the Ombudsman within the Directorate.
Sec. 1107. Office of Immigration Statistics within the Directorate.
Sec. 1108. Clerical amendments.

                   Subtitle B--Transition Provisions

Sec. 1111. Transfer of functions.
Sec. 1112. Transfer of personnel and other resources.
Sec. 1113. Determinations with respect to functions and resources.
Sec. 1114. Delegation and reservation of functions.
Sec. 1115. Allocation of personnel and other resources.
Sec. 1116. Savings provisions.
Sec. 1117. Interim service of the Commissioner of Immigration and 
              Naturalization.
Sec. 1118. Other authorities not affected.
Sec. 1119. Transition funding.

                  Subtitle C--Miscellaneous Provisions

Sec. 1121. Funding adjudication and naturalization services.
Sec. 1122. Application of Internet-based technologies.
Sec. 1123. Alternatives to detention of asylum seekers.

                       Subtitle D--Effective Date

Sec. 1131. Effective date.

           TITLE XII--UNACCOMPANIED ALIEN JUVENILE PROTECTION

Sec. 1201. Unaccompanied alien juveniles.

          TITLE XIII--EXECUTIVE OFFICE FOR IMMIGRATION REVIEW

Sec. 1301. Legal status of EOIR.
Sec. 1302. Authorities of the Attorney General.
Sec. 1303. Statutory construction.

               DIVISION C--FEDERAL WORKFORCE IMPROVEMENT

                TITLE XXI--CHIEF HUMAN CAPITAL OFFICERS

Sec. 2101. Short title.
Sec. 2102. Agency Chief Human Capital Officers.
Sec. 2103. Chief Human Capital Officers Council.
Sec. 2104. Strategic human capital management.
Sec. 2105. Effective date.

    TITLE XXII--REFORMS RELATING TO FEDERAL HUMAN CAPITAL MANAGEMENT

Sec. 2201. Inclusion of agency human capital strategic planning in 
              performance plans and programs performance reports.
Sec. 2202. Reform of the competitive service hiring process.
Sec. 2203. Permanent extension, revision, and expansion of authorities 
              for use of voluntary separation incentive pay and 
              voluntary early retirement.
Sec. 2204. Student volunteer transit subsidy.

     TITLE XXIII--REFORMS RELATING TO THE SENIOR EXECUTIVE SERVICE

Sec. 2301. Repeal of recertification requirements of senior executives.
Sec. 2302. Adjustment of limitation on total annual compensation.

                     TITLE XXIV--ACADEMIC TRAINING

Sec. 2401. Academic training.
Sec. 2402. Modifications to National Security Education Program.
Sec. 2403. Compensation time off for travel.
Sec. 2404. Customs User Fees Extension

                    DIVISION D--NATIONAL COMMISSION

     SEC. 2. DEFINITIONS.

       Unless the context clearly indicates otherwise, the 
     following shall apply for purposes of this Act:
       (1) American homeland or homeland.--Each of the terms 
     ``American homeland'' or ``homeland'' mean the United States, 
     in a geographic sense.
       (2) Critical infrastructure.--The term ``critical 
     infrastructure'' means systems and assets, whether physical 
     or virtual, so vital to the United States that the 
     incapacitation or destruction of such systems or assets would 
     have a debilitating impact on security, national economic 
     security, national public health or safety, or any 
     combination of those matters.
       (3) Assets.--The term ``assets'' includes contracts, 
     facilities, property, records, unobligated or unexpended 
     balances of appropriations, and other funds or resources 
     (other than personnel).
       (4) Department.--The term ``Department'' means the 
     Department of Homeland Security.
       (5) Emergency response providers.--The term ``emergency 
     response providers'' includes Federal, State, and local 
     government emergency public safety, law enforcement, 
     emergency response, emergency medical, and related personnel, 
     agencies, and authorities.
       (6) Executive agency.--The term ``Executive agency'' means 
     an executive agency and a military department, as defined, 
     respectively, in sections 105 and 102 of title 5, United 
     States Code.
       (7) Functions.--The term ``functions'' includes 
     authorities, powers, rights, privileges, immunities, 
     programs, projects, activities, duties, responsibilities, and 
     obligations.

[[Page S9243]]

       (8) Key resources.--The term ``key resources'' means 
     structures, monuments or items of exceptional historical, 
     social, cultural, or symbolic significance to the United 
     States.
       (9) Local government.--The term ``local government'' has 
     the meaning given in section 102(6) of the Robert T. Stafford 
     Disaster Relief and Emergency Assistance Act (Public Law 93-
     288).
       (10) Major disaster.--The term ``major disaster'' has the 
     meaning given in section 102(2) of the Robert T. Stafford 
     Disaster Relief and Emergency Assistance Act (Public Law 93-
     288).
       (11) Personnel.--The term ``personnel'' means officers and 
     employees.
       (12) Secretary.--The term ``Secretary'' means the Secretary 
     of Homeland Security.
       (13) United states.--The term ``United States'', when used 
     in a geographic sense, means any State (within the meaning of 
     section 102(4) of the Robert T. Stafford Disaster Relief and 
     Emergency Assistance Act (Public Law 93-288)), any possession 
     of the United States, and any waters within the jurisdiction 
     of the United States.

     SEC. 3. CONSTRUCTION; SEVERABILITY.

       Any provision of this Act held to be invalid or 
     unenforceable by its terms, or as applied to any person or 
     circumstance, shall be construed so as to give it the maximum 
     effect permitted by law, unless such holding shall be one of 
     utter invalidity or unenforceability, in which event such 
     provision shall be deemed severable from this Act and shall 
     not affect the remainder thereof, or the application of such 
     provision to other persons not similarly situated or to 
     other, dissimilar circumstances.

     SEC. 4. EFFECTIVE DATE.

       This Act shall take effect thirty days after the date of 
     enactment or, if enacted within thirty days before January 1, 
     2003, on January 1, 2003.

                     DIVISION A--HOMELAND SECURITY

                TITLE I--DEPARTMENT OF HOMELAND SECURITY

     SEC. 101. EXECUTIVE DEPARTMENT; MISSION.

       (a) Establishment.--There is established a Department of 
     Homeland Security, as an executive department of the United 
     States within the meaning of title 5, United States Code.
       (b) Primary Mission.--
       (1) In general.--The primary mission of the Department is 
     to--
       (A) prevent terrorist attacks within the United States;
       (B) reduce the vulnerability of the United States to 
     terrorism; and
       (C) minimize the damage, and assist in the recovery, from 
     terrorist attacks that do occur within the United States.
       (2) Responsibilities.--In carrying out the mission 
     described in paragraph (1), and as further described in this 
     Act, the Department's primary responsibilities shall 
     include--
       (A) information analysis and infrastructure protection;
       (B) research and development, including efforts to counter 
     chemical, biological, radiological, nuclear, and other 
     emerging threats;
       (C) border and transportation security;
       (D) emergency preparedness and response; and
       (E) coordination (including the provision of training and 
     equipment) with other executive agencies, with State and 
     local government personnel, agencies, and authorities, with 
     the private sector, and with other entities.
       (3) Other responsibilities.--The Department shall also be 
     responsible for carrying out other functions of entities 
     transferred to the Department as provided by law, and the 
     enumeration of the primary homeland security missions and 
     responsibilities in this section does not impair or diminish 
     the Department's non-homeland security missions and 
     responsibilities.

     SEC. 102. SECRETARY; FUNCTIONS.

       (a) Secretary.--
       (1) Appointment.--There is a Secretary of Homeland 
     Security, appointed by the President, by and with the advice 
     and consent of the Senate.
       (2) Head of department.--The Secretary is the head of the 
     Department and shall have direction, authority, and control 
     over it.
       (3) Vested functions.--All functions of all officers, 
     employees, and organizational units of the Department are 
     vested in the Secretary.
       (b) Functions.--The Secretary--
       (1) may, except as otherwise provided in this Act, delegate 
     any of his functions to any officer, employee, or 
     organizational unit of the Department;
       (2) shall have such functions, including the authority to 
     make contracts, grants, and cooperative agreements, and to 
     enter into agreements with other executive agencies, as may 
     be necessary and proper to carry out his responsibilities 
     under this Act or otherwise provided by law; and
       (3) may, subject to the direction of the President, attend 
     and participate in meetings of the National Security Council.

     SEC. 103. OTHER OFFICERS.

       (a) Deputy Secretary; Under Secretaries.--To assist the 
     Secretary in the performance of his functions, there are the 
     following officers, appointed by the President, by and with 
     the advice and consent of the Senate:
       (1) A Deputy Secretary of Homeland Security, who shall be 
     the Secretary's first assistant for purposes of chapter 33, 
     subchapter 3, of title 5, United States Code.
       (2) An Under Secretary for Information Analysis and 
     Infrastructure Protection.
       (3) An Under Secretary for Science and Technology.
       (4) An Under Secretary for Border and Transportation 
     Security.
       (5) An Under Secretary for Emergency Preparedness and 
     Response.
       (6) An Under Secretary for Management.
       (7) An Under Secretary for Immigration Affairs.
       (8) Not more than 16 Assistant Secretaries.
       (9) A General Counsel, who shall be the chief legal officer 
     of the Department.
       (b) Chief of Immigration Policy.--
       (1) In general.--There shall be within the office of the 
     Deputy Secretary of Homeland Security a Chief of Immigration 
     Policy, who, under the authority of the Secretary, shall be 
     responsible for--
       (A) establishing national immigration policy and 
     priorities; and
       (B) coordinating immigration policy between the Directorate 
     of Immigration Affairs and the Directorate of Border and 
     Transportation Security.
       (2) Within the senior executive service.--The position of 
     Chief of Immigration Policy shall be a Senior Executive 
     Service position under section 5382 of title 5, United States 
     Code.
       (c) Inspector General.--To assist the Secretary in the 
     performance of his functions, there is an Inspector General, 
     who shall be appointed as provided in section 3(a) of the 
     Inspector General Act of 1978.
       (d) Commandant of the Coast Guard.--To assist the Secretary 
     in the performance of his functions, there is a Commandant of 
     the Coast Guard, who shall be appointed as provided in 
     section 44 of title 14, United States Code.
       (e) Other Officers.--To assist the Secretary in the 
     performance of his functions, there are the following 
     officers, appointed by the President:
       (1) A Director of the Secret Service.
       (2) A Chief Financial Officer.
       (3) A Chief Information Officer.
       (4) A Chief Human Capital Officer.
       (f) Performance of Specific Functions.--Subject to the 
     provisions of this Act, every officer of the Department shall 
     perform the functions specified by law for his office or 
     prescribed by the Secretary.

     SEC. 104. OFFICE OF INTERNATIONAL AFFAIRS.

       (a) Establishment.--There is established within the Office 
     of the Secretary, an Office of International Affairs. The 
     Office shall be headed by a Director who shall be appointed 
     by the Secretary.
       (b) Responsibilities of the Director.--The Director shall 
     have the following responsibilities:
       (1) To promote information and education exchange with 
     foreign nations in order to promote sharing of best practices 
     and technologies relating to homeland security. Such 
     information exchange shall include--
       (A) joint research and development on countermeasures;
       (B) joint training exercises of first responders; and
       (C) exchange of expertise on terrorism prevention, 
     response, and crisis management.
       (2) To identify areas for homeland security information and 
     training exchange.
       (3) To plan and undertake international conferences, 
     exchange programs, and training activities.
       (4) To manage activities under this section and other 
     international activities within the Department in 
     consultation with the Department of State and other relevant 
     Federal officials.
       (5) To initially concentrate on fostering cooperation with 
     countries that are already highly focused on homeland 
     security issues and that have demonstrated the capability for 
     fruitful cooperation with the United States in the area of 
     counterterrorism.

      TITLE II--INFORMATION ANALYSIS AND INFRASTRUCTURE PROTECTION

     SEC. 201. DIRECTORATE FOR INFORMATION ANALYSIS AND 
                   INFRASTRUCTURE PROTECTION.

       (a) Under Secretary of Homeland Security for Information 
     Analysis and Infrastructure Protection.--
       (1) In general.--There shall be in the Department a 
     Directorate for Information Analysis and Infrastructure 
     Protection headed by an Under Secretary for Information 
     Analysis and Infrastructure Protection, who shall be 
     appointed by the President, by and with the advice and 
     consent of the Senate.
       (2) Responsibilities.--The Under Secretary shall assist the 
     Secretary in discharging the responsibilities under section 
     101 (b)(2)(A) and (d).
       (b) Assistant Secretary for Information Analysis; Assistant 
     Secretary for Infrastructure Protection.--
       (1) Assistant secretary for information analysis.--There 
     shall be in the Department an Assistant Secretary for 
     Information Analysis, who shall be appointed by the 
     President.
       (2) Assistant secretary for infrastructure protection.--
     There shall be in the Department an Assistant Secretary for 
     Infrastructure Protection, who shall be appointed by the 
     President.
       (3) Responsibilities.--The Assistant Secretary for 
     Information Analysis and the Assistant Secretary for 
     Infrastructure Protection shall assist the Under Secretary 
     for Information Analysis and Infrastructure Protection in 
     discharging the responsibilities of the Under Secretary under 
     this section.

[[Page S9244]]

       (c) Discharge of Information Analysis and Infrastructure 
     Protection.--The Secretary shall ensure that the 
     responsibilities of the Department regarding information 
     analysis and infrastructure protection are carried out 
     through the Under Secretary for Information Analysis and 
     Infrastructure Protection.
       (d) Responsibilities of Under Secretary.--Subject to the 
     direction and control of the Secretary, the responsibilities 
     of the Under Secretary for Information Analysis and 
     Infrastructure Protection shall be as follows:
       (1) To access, receive, and analyze law enforcement 
     information, intelligence information, intelligence-related 
     information, and other information from agencies of the 
     Federal Government, State and local government agencies 
     (including law enforcement agencies), and private sector 
     entities, and to integrate such information in order to--
       (A) identify and assess the nature and scope of threats to 
     the homeland;
       (B) detect and identify threats of terrorism against the 
     United States and other threats to homeland security; and
       (C) understand such threats in light of actual and 
     potential vulnerabilities of the homeland.
       (2) To carry out comprehensive assessments of the 
     vulnerabilities of the key resources and critical 
     infrastructure of the United States, including the 
     performance of risk assessments to determine the risks posed 
     by particular types of terrorist attacks within the United 
     States (including an assessment of the probability of success 
     of such attacks and the feasibility and potential efficacy of 
     various countermeasures to such attacks).
       (3) To integrate relevant information, analyses, and 
     vulnerability assessments (whether such information, 
     analyses, or assessments are provided or produced by the 
     Department or others) in order to identify priorities for 
     protective measures and to support protective measures by the 
     Department, other agencies of the Federal Government, State 
     and local government agencies and authorities, the private 
     sector, and other entities.
       (4) To ensure, pursuant to section 202, the timely and 
     efficient access by the Department to all information 
     necessary to discharge the responsibilities under this 
     section, including obtaining such information from other 
     agencies of the Federal Government agencies, and from State 
     and local governments and private sector entities (pursuant 
     to memoranda of understanding or other agreements entered 
     into for that purpose).
       (5) To develop a comprehensive national plan for securing 
     the key resources and critical infrastructure of the United 
     States.
       (6) To take or seek to effect measures necessary to protect 
     the key resources and critical infrastructure of the United 
     States in coordination with other agencies of the Federal 
     Government and in cooperation with State and local government 
     agencies and authorities, the private sector, and other 
     entities.
       (7) To administer the Homeland Security Advisory System, 
     including--
       (A) exercising primary responsibility for public threat 
     advisories; and
       (B) in coordination with other agencies of the Federal 
     Government, providing specific warning information, and 
     advice about appropriate protective measures and 
     countermeasures, to State and local government agencies and 
     authorities, the private sector, other entities, and the 
     public.
       (8) To review, analyze, and make recommendations for 
     improvements in the policies and procedures governing the 
     sharing of law enforcement information, intelligence 
     information, intelligence-related information, and other 
     information relating to homeland security within the Federal 
     Government and between the Federal Government and State and 
     local government agencies and authorities.
       (9) To disseminate, as appropriate, information analyzed by 
     the Department within the Department, to other agencies of 
     the Federal Government with responsibilities relating to 
     homeland security, and to agencies of State and local 
     governments and private sector entities with such 
     responsibilities in order to assist in the deterrence, 
     prevention, preemption of, or response to, terrorist attacks 
     against the United States.
       (10) To consult with the Director of Central Intelligence 
     and other appropriate intelligence, law enforcement, or other 
     elements of the Federal Government to establish collection 
     priorities and strategies for information, including law 
     enforcement-related information, relating to threats of 
     terrorism against the United States through such means as the 
     representation of the Department in discussions regarding 
     requirements and priorities in the collection of such 
     information.
       (11) To consult with State and local governments and 
     private sector entities to ensure appropriate exchanges of 
     information, including law enforcement-related information, 
     relating to threats of terrorism against the United States.
       (12) To ensure that--
       (A) any material received pursuant to this section is 
     protected from unauthorized disclosure and handled and used 
     only for the performance of official duties; and
       (B) any intelligence information shared under this section 
     is transmitted, retained, and disseminated consistent with 
     the authority of the Director of Central Intelligence to 
     protect intelligence sources and methods under the National 
     Security Act of 1947 (50 U.S.C. 401 et seq.) and related 
     procedures and, as appropriate, similar authorities of the 
     Attorney General concerning sensitive law enforcement 
     information.
       (13) To request and obtain additional information from 
     other agencies of the Federal Government, State and local 
     government agencies, and the private sector relating to 
     threats of terrorism in the United States, or relating to 
     other areas of responsibility under section 101, including 
     the entry into cooperative agreements through the Secretary 
     to obtain such information.
       (14) To establish and utilize, in conjunction with the 
     chief information officer of the Department, a secure 
     communications and information technology infrastructure, 
     including data-mining and other advanced analytical tools, in 
     order to access, receive, and analyze data and information in 
     furtherance of the responsibilities under this section, and 
     to disseminate information acquired and analyzed by the 
     Department, as appropriate.
       (15) To ensure, in conjunction with the chief information 
     officer of the Department, that any information databases and 
     analytical tools developed or utilized by the Department--
       (A) are compatible with one another and with relevant 
     information databases of other agencies of the Federal 
     Government; and
       (B) treat information in such databases in a manner that 
     complies with applicable Federal law on privacy.
       (16) To coordinate training and other support to the 
     elements and personnel of the Department, other agencies of 
     the Federal Government, and State and local governments that 
     provide information to the Department, or are consumers of 
     information provided by the Department, in order to 
     facilitate the identification and sharing of information 
     revealed in their ordinary duties and the optimal utilization 
     of information received from the Department.
       (17) To coordinate with elements of the intelligence 
     community and with Federal, State, and local law enforcement 
     agencies, and the private sector, as appropriate.
       (18) To provide intelligence and information analysis and 
     support to other elements of the Department.
       (19) To perform such other duties relating to such 
     responsibilities as the Secretary may provide.
       (e) Staff.--
       (1) In general.--The Secretary shall provide the 
     Directorate with a staff of analysts having appropriate 
     expertise and experience to assist the Directorate in 
     discharging responsibilities under this section.
       (2) Private sector analysts.--Analysts under this 
     subsection may include analysts from the private sector.
       (3) Security clearances.--Analysts under this subsection 
     shall possess security clearances appropriate for their work 
     under this section.
       (f) Detail of Personnel.--
       (1) In general.--In order to assist the Directorate in 
     discharging responsibilities under this section, personnel of 
     the agencies referred to in paragraph (2) may be detailed to 
     the Department for the performance of analytic functions and 
     related duties.
       (2) Covered agencies.--The agencies referred to in this 
     paragraph are as follows:
       (A) The Department of State.
       (B) The Central Intelligence Agency.
       (C) The Federal Bureau of Investigation.
       (D) The National Security Agency.
       (E) The National Imagery and Mapping Agency.
       (F) The Defense Intelligence Agency.
       (G) Any other agency of the Federal Government that the 
     President considers appropriate.
       (3) Cooperative agreements.--The Secretary and the head of 
     the agency concerned may enter into cooperative agreements 
     for the purpose of detailing personnel under this subsection.
       (4) Basis.--The detail of personnel under this subsection 
     may be on a reimbursable or non-reimbursable basis.
       (g) Functions Transferred.--In accordance with title VIII, 
     there shall be transferred to the Secretary, for assignment 
     to the Under Secretary for Information Analysis and 
     Infrastructure Protection under this section, the functions, 
     personnel, assets, and liabilities of the following:
       (1) The National Infrastructure Protection Center of the 
     Federal Bureau of Investigation (other than the Computer 
     Investigations and Operations Section), including the 
     functions of the Attorney General relating thereto.
       (2) The National Communications System of the Department of 
     Defense, including the functions of the Secretary of Defense 
     relating thereto.
       (3) The Critical Infrastructure Assurance Office of the 
     Department of Commerce, including the functions of the 
     Secretary of Commerce relating thereto.
       (4) The Computer Security Division of the National 
     Institute of Standards and Technology, including the 
     functions of the Secretary of Commerce relating thereto.
       (5) The National Infrastructure Simulation and Analysis 
     Center of the Department of Energy and the energy security 
     and assurance program and activities of the Department, 
     including the functions of the Secretary of Energy relating 
     thereto.
       (6) The Federal Computer Incident Response Center of the 
     General Services Administration, including the functions of 
     the Administrator of General Services relating thereto.

[[Page S9245]]

       (h) Study of Placement Within Intelligence Community.--Not 
     later than 90 days after the effective date of this Act, the 
     President shall submit to the Committee on Governmental 
     Affairs and the Select Committee on Intelligence of the 
     Senate and the Committee on Government Reform and the 
     Permanent Select Committee on Intelligence of the House of 
     Representatives a report assessing the advisability of the 
     following:
       (1) Placing the elements of the Department concerned with 
     the analysis of foreign intelligence information within the 
     intelligence community under section 3(4) of the National 
     Security Act of 1947 (50 U.S.C. 401a(4)).
       (2) Placing such elements within the National Foreign 
     Intelligence Program for budgetary purposes.

     SEC. 202. ACCESS TO INFORMATION.

       (a) In General.--
       (1) Threat and vulnerability information.--Except as 
     otherwise directed by the President, the Secretary shall have 
     such access as the Secretary considers necessary to all 
     information, including reports, assessments, analyses, and 
     unevaluated intelligence and intelligence-related 
     information, relating to threats of terrorism against the 
     United States and to other areas of responsibility described 
     in section 101 and to all information concerning 
     infrastructure or other vulnerabilities of the United States 
     to terrorism, whether or not such information has been 
     analyzed, that may be collected, possessed, or prepared by 
     any agency of the Federal Government.
       (2) Other information.--The Secretary shall also have 
     access to other information relating to matters under the 
     responsibility of the Secretary that may be collected, 
     possessed, or prepared by an agency of the Federal Government 
     as the President may further provide.
       (b) Manner of Access.--Except as otherwise directed by the 
     President, with respect to information to which the Secretary 
     has access pursuant to this section--
       (1) the Secretary may obtain such material upon request, 
     and may enter into cooperative arrangements with other 
     executive agencies to provide such material or provide 
     Department officials with access to it on a regular or 
     routine basis, including requests or arrangements involving 
     broad categories of material, access to electronic databases, 
     or both; and
       (2) regardless of whether the Secretary has made any 
     request or entered into any cooperative arrangement pursuant 
     to paragraph (1), all agencies of the Federal Government 
     shall promptly provide to the Secretary--
       (A) all reports (including information reports containing 
     intelligence which has not been fully evaluated), 
     assessments, and analytical information relating to threats 
     of terrorism against the United States and to other areas of 
     responsibility under section 101;
       (B) all information concerning the vulnerability of the 
     infrastructure of the United States, or other vulnerabilities 
     of the United States, to terrorism, whether or not such 
     information has been analyzed;
       (C) all other information relating to significant and 
     credible threats of terrorism against the United States, 
     whether or not such information has been analyzed; and
       (D) such other information or material as the President may 
     direct.
       (c) Treatment Under Certain Laws.--The Secretary shall be 
     deemed to be a Federal law enforcement, intelligence, 
     protective, national defense, immigration, or national 
     security official, and shall be provided with all information 
     from law enforcement agencies that is required to be given to 
     the Director of Central Intelligence, under any provision of 
     the following:
       (1) The USA PATRIOT Act of 2001 (Public Law 107-56).
       (2) Section 2517(6) of title 18, United States Code.
       (3) Rule 6(e)(3)(C) of the Federal Rules of Criminal 
     Procedure.
       (d) Access to Intelligence and Other Information.--
       (1) Access by elements of federal government.--Nothing in 
     this title shall preclude any element of the intelligence 
     community (as that term is defined in section 3(4) of the 
     National Security Act of 1947 (50 U.S.C. 401a(4)), or other 
     any element of the Federal Government with responsibility for 
     analyzing terrorist threat information, from receiving any 
     intelligence or other information relating to terrorism.
       (2) Sharing of information.--The Secretary, in consultation 
     with the Director of Central Intelligence, shall work to 
     ensure that intelligence or other information relating to 
     terrorism to which the Department has access is appropriately 
     shared with the elements of the Federal Government referred 
     to in paragraph (1), as well as with State and local 
     governments, as appropriate.

     SEC. 203. PROTECTION OF VOLUNTARILY FURNISHED CONFIDENTIAL 
                   INFORMATION.

       (a) Definitions.--In this section:
       (1) Critical infrastructure.--The term ``critical 
     infrastructure'' has the meaning given that term in section 
     1016(e) of the USA PATRIOT Act of 2001 (42 U.S.C. 5195(e)).
       (2) Furnished voluntarily.--
       (A) Definition.--The term ``furnished voluntarily'' means a 
     submission of a record that--
       (i) is made to the Department in the absence of authority 
     of the Department requiring that record to be submitted; and
       (ii) is not submitted or used to satisfy any legal 
     requirement or obligation or to obtain any grant, permit, 
     benefit (such as agency forbearance, loans, or reduction or 
     modifications of agency penalties or rulings), or other 
     approval from the Government.
       (B) Benefit.--In this paragraph, the term ``benefit'' does 
     not include any warning, alert, or other risk analysis by the 
     Department.
       (b) In General.--Notwithstanding any other provision of 
     law, a record pertaining to the vulnerability of and threats 
     to critical infrastructure (such as attacks, response, and 
     recovery efforts) that is furnished voluntarily to the 
     Department shall not be made available under section 552 of 
     title 5, United States Code, if--
       (1) the provider would not customarily make the record 
     available to the public; and
       (2) the record is designated and certified by the provider, 
     in a manner specified by the Department, as confidential and 
     not customarily made available to the public.
       (c) Records Shared With Other Agencies.--
       (1) In general.--
       (A) Response to request.--An agency in receipt of a record 
     that was furnished voluntarily to the Department and 
     subsequently shared with the agency shall, upon receipt of a 
     request under section 552 of title 5, United States Code, for 
     the record--
       (i) not make the record available; and
       (ii) refer the request to the Department for processing and 
     response in accordance with this section.
       (B) Segregable portion of record.--Any reasonably 
     segregable portion of a record shall be provided to the 
     person requesting the record after deletion of any portion 
     which is exempt under this section.
       (2) Disclosure of independently furnished records.--
     Notwithstanding paragraph (1), nothing in this section shall 
     prohibit an agency from making available under section 552 of 
     title 5, United States Code, any record that the agency 
     receives independently of the Department, regardless of 
     whether or not the Department has a similar or identical 
     record.
       (d) Withdrawal of Confidential Designation.--The provider 
     of a record that is furnished voluntarily to the Department 
     under subsection (b) may at any time withdraw, in a manner 
     specified by the Department, the confidential designation.
       (e) Procedures.--The Secretary shall prescribe procedures 
     for--
       (1) the acknowledgement of receipt of records furnished 
     voluntarily;
       (2) the designation, certification, and marking of records 
     furnished voluntarily as confidential and not customarily 
     made available to the public;
       (3) the care and storage of records furnished voluntarily;
       (4) the protection and maintenance of the confidentiality 
     of records furnished voluntarily; and
       (5) the withdrawal of the confidential designation of 
     records under subsection (d).
       (f) Effect on State and Local Law.--Nothing in this section 
     shall be construed as preempting or otherwise modifying State 
     or local law concerning the disclosure of any information 
     that a State or local government receives independently of 
     the Department.
       (g) Report.--
       (1) Requirement.--Not later than 18 months after the date 
     of enactment of this Act, the Comptroller General of the 
     United States shall submit to the committees of Congress 
     specified in paragraph (2) a report on the implementation and 
     use of this section, including--
       (A) the number of persons in the private sector, and the 
     number of State and local agencies, that furnished 
     voluntarily records to the Department under this section;
       (B) the number of requests for access to records granted or 
     denied under this section; and
       (C) such recommendations as the Comptroller General 
     considers appropriate regarding improvements in the 
     collection and analysis of sensitive information held by 
     persons in the private sector, or by State and local 
     agencies, relating to vulnerabilities of and threats to 
     critical infrastructure, including the response to such 
     vulnerabilities and threats.
       (2) Committees of congress.--The committees of Congress 
     specified in this paragraph are--
       (A) the Committees on the Judiciary and Governmental 
     Affairs of the Senate; and
       (B) the Committees on the Judiciary and Government Reform 
     and Oversight of the House of Representatives.
       (3) Form.--The report shall be submitted in unclassified 
     form, but may include a classified annex.

   TITLE III--SCIENCE AND TECHNOLOGY IN SUPPORT OF HOMELAND SECURITY

     SEC. 301. UNDER SECRETARY FOR SCIENCE AND TECHNOLOGY.

       There shall be in the Department a Directorate of Science 
     and Technology headed by an Under Secretary for Science and 
     Technology.

     SEC. 302. RESPONSIBILITIES AND AUTHORITIES OF THE UNDER 
                   SECRETARY FOR SCIENCE AND TECHNOLOGY.

       In assisting the Secretary with the responsibility 
     specified in section 101(b)(2)(B), the primary 
     responsibilities of the Under Secretary for Science and 
     Technology shall include--
       (1) advising the Secretary regarding research and 
     development efforts and priorities in support of the 
     Department's missions;

[[Page S9246]]

       (2) supporting all elements of the Department in research, 
     development, testing, evaluation and deployment of science 
     and technology that is applicable in the detection of, 
     prevention of, protection against, response to, attribution 
     of, and recovery from homeland security threats, particularly 
     acts of terrorism;
       (3) to support the Under Secretary for Information Analysis 
     and Infrastructure Protection, by assessing and testing 
     homeland security vulnerabilities and possible threats;
       (4) conducting a national scientific research and 
     development program to support the mission of the Department, 
     including developing national policy for and coordinating the 
     Federal Government's civilian efforts to identify, devise, 
     and implement scientific, technological, and other 
     countermeasures to chemical, biological, radiological, 
     nuclear, and other emerging terrorist threats, including 
     directing, funding and conducting research and development 
     relating to the same;
       (5) establishing priorities for, directing, funding, and 
     conducting national research, development, test and 
     evaluation, and procurement of technology and systems--
       (A) for preventing the importation of chemical, biological, 
     radiological, nuclear, and related weapons and material; and
       (B) for detecting, preventing, protecting against, and 
     responding to terrorist attacks;
       (6) establishing a system for transferring homeland 
     security developments or technologies to federal, state, 
     local government, and private sector entities;
       (7) entering into joint sponsorship agreements with the 
     Department of Energy regarding the use of the national 
     laboratories or sites and support of the science and 
     technology base at those facilities;
       (8) collaborating with the Secretary of Agriculture in 
     determining the biological agents and toxins that shall be 
     included on the list of biological agents and toxins required 
     under section 212(a) of the Agricultural Bioterrorism 
     Protection Act of 2002 (7 U.S.C. 8401);
       (9) collaborating with the Secretary of Health and Human 
     Services in determining the biological agents and toxins that 
     shall be listed as ``select agents'' in Appendix A of part 72 
     of title 42, Code of Federal Regulations, pursuant to section 
     351A of the Public Health Service Act (42 U.S.C. 262a); and
       (10) supporting United States leadership in science and 
     technology.

     SEC. 303. FUNCTIONS TRANSFERRED.

       In accordance with title VIII, there shall be transferred 
     to the Secretary the functions, personnel, assets, and 
     liabilities of the following entities:
       (1) The following programs and activities of the Department 
     of Energy, including the functions of the Secretary of Energy 
     relating thereto (but not including programs and activities 
     relating to the strategic nuclear defense posture of the 
     United States):
       (A) The chemical and biological national security and 
     supporting programs and activities of the nonproliferation 
     and verification research and development program.
       (B) The nuclear smuggling programs and activities within 
     the proliferation detection program of the nonproliferation 
     and verification research and development program. The 
     programs and activities described in this subparagraph may be 
     designated by the President either for transfer to the 
     Department or for joint operation by the Secretary and the 
     Secretary of Energy.
       (C) The nuclear assessment program and activities of the 
     assessment, detection, and cooperation program of the 
     international materials protection and cooperation program.
       (D) Such life sciences activities of the biological and 
     environmental research program related to microbial pathogens 
     as may be designated by the President for transfer to the 
     Department.
       (E) The Environmental Measurements Laboratory.
       (F) The advanced scientific computing research program and 
     activities at Lawrence Livermore National Laboratory.
       (2) The National Bio-Weapons Defense Analysis Center of the 
     Department of Defense, including the functions of the 
     Secretary of Defense related thereto.
       (3) The Plum Island Animal Disease Center of the Department 
     of Agriculture, including the functions of the Secretary of 
     Agriculture relating thereto, as provided in section 310.
       (4)(A) Except as provided in subparagraph (B)--
       (i) the functions of the Select Agent Registration Program 
     of the Department of Health and Human Services, including all 
     functions of the Secretary of Health and Human Services under 
     title II of the Public Health Security and Bioterrorism 
     Preparedness and Response Act of 2002 (Public Law 107-188); 
     and
       (ii) the functions of the Department of Agriculture under 
     the Agricultural Bioterrorism Protection Act of 2002 (7 
     U.S.C. 8401 et seq.).
       (B)(i) The Secretary shall collaborate with the Secretary 
     of Health and Human Services in determining the biological 
     agents and toxins that shall be listed as ``select agents'' 
     in Appendix A of part 72 of title 42, Code of Federal 
     Regulations, pursuant to section 351A of the Public Health 
     Service Act (42 U.S.C. 262a).
       (ii) The Secretary shall collaborate with the Secretary of 
     Agriculture in determining the biological agents and toxins 
     that shall be included on the list of biological agents and 
     toxins required under section 212(a) of the Agricultural 
     Bioterrorism Protection Act of 2002 (7 U.S.C. 8401).
       (C) In promulgating regulations pursuant to the functions 
     described in subparagraph (A), the Secretary shall act in 
     collaboration with the Secretary of Health and Human Services 
     and the Secretary of Agriculture.

     SEC. 304. CONDUCT OF CERTAIN PUBLIC HEALTH-RELATED 
                   ACTIVITIES.

       (a) In General.--Except as the President may otherwise 
     direct, the Secretary shall carry out his civilian human 
     health-related biological, biomedical, and infectious disease 
     defense research and development (including vaccine research 
     and development) responsibilities through the Department of 
     Health and Human Services (including the Public Health 
     Service), under agreements with the Secretary of Health and 
     Human Services, and may transfer funds to him in connection 
     with such agreements.
       (b) Establishment of Program.--With respect to any 
     responsibilities carried out through the Department of Health 
     and Human Services under this subsection, the Secretary, in 
     consultation with the Secretary of Health and Human Services, 
     shall have the authority to establish the research and 
     development program, including the setting of priorities.

     SEC. 305. RESEARCH IN CONJUNCTION WITH THE DEPARTMENT OF 
                   HEALTH AND HUMAN SERVICES AND OTHER 
                   DEPARTMENTS.

       With respect to such other research and development 
     responsibilities under this title, including health-related 
     chemical, radiological, and nuclear defense research and 
     development responsibilities, as the Secretary may elect to 
     carry out through the Department of Health and Human Services 
     (including the Public Health Service) (under agreements with 
     the Secretary of Health and Human Services) or through other 
     Federal agencies (under agreements with their respective 
     heads), the Secretary may transfer funds to the Secretary of 
     Health and Human Services, or to such heads, as the case may 
     be.

     SEC. 306. HOMELAND SECURITY ADVANCED RESEARCH PROJECTS 
                   AGENCY.

       (a) Definitions.--In this section:
       (1) Fund.--The term ``Fund'' means the Acceleration Fund 
     for Research and Development of Homeland Security 
     Technologies established under this section.
       (2) Homeland security research and development.--The term 
     ``homeland security research and development'' means research 
     and development of technologies that are applicable in the 
     detection of, prevention of, protection against, response to, 
     attribution of, and recovery from homeland security threats, 
     particularly acts of terrorism.
       (3) HSARPA.--The term ``HSARPA'' means the Homeland 
     Security Advanced Research Projects Agency established under 
     this section.
       (4) Under secretary.--The term ``Under Secretary'' means 
     the Under Secretary for Science and Technology or the 
     designee of that Under Secretary.
       (b) Purposes.--The purposes of this section are to--
       (1) establish the Homeland Security Advanced Research 
     Projects Agency to prioritize and fund homeland security 
     research and development using the acceleration fund; and
       (2) establish a fund to leverage existing research and 
     development and accelerate the deployment of technology that 
     will serve to enhance homeland defense.
       (c) Fund.--
       (1) Establishment.--There is established the Acceleration 
     Fund for Research and Development of Homeland Security 
     Technologies.
       (2) Use of fund.--The Fund may be used to--
       (A) accelerate research, development, testing and 
     evaluation, and deployment of critical homeland security 
     technologies; and
       (B) support homeland security research and development.
       (3) Authorization of appropriations.--There are authorized 
     to be appropriated $500,000,000 to the Fund for fiscal year 
     2003, and such sums as may be necessary in subsequent years.
       (4) Transition of Funds.--With respect to such research, 
     development, testing, and evaluation responsibilities under 
     this section as the Secretary may elect to carry out through 
     agencies other than the Department (under agreements with 
     their respective heads), the Secretary may transfer funds to 
     such heads. Of the funds authorized to be appropriated under 
     paragraph (3) for the Fund, not less than 10 percent of such 
     funds for each fiscal year through fiscal year 2005 shall be 
     authorized only for the Under Secretary, through joint 
     agreement with the Commandant of the Coast Guard, to carry 
     out research and development of improved ports, waterways, 
     and coastal security surveillance and perimeter protection 
     capabilities for the purpose of minimizing the possibility 
     that Coast Guard cutters, aircraft, helicopters, and 
     personnel will be diverted from non-homeland security 
     missions to the ports, waterways, and coastal security 
     mission.
       (d) Responsibilities of the Homeland Security Advanced 
     Research Projects Agency.--The Homeland Security Advance 
     Research Project Agency shall have the following 
     responsibilities:

[[Page S9247]]

       (1) To facilitate effective communication among 
     departments, agencies, and other entities of the Federal 
     Government, with respect to the conduct of research and 
     development related to homeland security.
       (2) To identify, by consensus and on a yearly basis, 
     specific technology areas for which the Fund shall be used to 
     rapidly transition homeland security research and development 
     into deployed technology and reduce identified homeland 
     security vulnerabilities. The identified technology areas 
     shall, as determined by the Homeland Security Advanced 
     Research Projects Agency, be areas in which there exist 
     research and development projects that address identified 
     homeland security vulnerabilities and can be accelerated to 
     the stage of prototyping, evaluating, transitioning, or 
     deploying.
       (3) To administer the Fund, including--
       (A) issuing an annual multiagency program announcement 
     soliciting proposals from government entities, federally 
     funded research and development centers, industry, and 
     academia;
       (B) competitively selecting, on the basis of a merit-based 
     review, proposals that advance the state of deployed 
     technologies in the areas identified for that year;
       (C) at the discretion of the HSARPA, assigning 1 or more 
     program managers to oversee, administer, and execute a Fund 
     project as the agent of HSARPA; and
       (D) providing methods of funding, including grants, 
     cooperative agreements, joint sponsorship agreements, or any 
     other transaction.
       (4) With respect to expenditures from the Fund, exercise 
     acquisition authority consistent with the authority described 
     under section 2371 of title 10, United States Code, relating 
     to authorizing cooperative agreements and other transactions.
       (5) In hiring personnel to assist in the administration of 
     the HSARPA, have the authority to exercise the personnel 
     hiring and management authorities described in section 1101 
     of the Strom Thurmond National Defense Authorization Act for 
     Fiscal Year 1999 (5 U.S.C. 3104 note; Public Law 105-261) 
     with the stipulation that the Secretary shall exercise such 
     authority for a period of 7 years commencing on the date of 
     enactment of this Act, that a maximum of 100 persons may be 
     hired under such authority, and that the term of appointments 
     for employees under subsection (c)(1) of that section may not 
     exceed 5 years before the granting of any extension under 
     subsection (c)(2) of that section.
       (6) Develop and oversee the implementation of periodic 
     homeland security technology demonstrations, held at least 
     annually, for the purpose of improving contact between 
     technology developers, vendors, and acquisition personnel 
     associated with related industries.

     SEC. 307. MISCELLANEOUS AUTHORITIES RELATING TO NATIONAL 
                   LABORATORIES.

       (a) In General.--The limitation of the number of employees 
     of the Department of Energy national laboratories assigned to 
     Washington, D.C. shall not apply to those employees who, at 
     the request of the Secretary, are assigned, on a temporary 
     basis, to assist in the establishment of the Department.
       (b) Direct Tasking.--Notwithstanding any other law 
     governing the administration, mission, use, or operations of 
     any of the Department of Energy national laboratories and 
     sites, such laboratories and sites are authorized to accept 
     direct tasking from the Secretary or his designee, consistent 
     with resources provided, and perform such tasking on an equal 
     basis to other missions at the laboratory and not on a 
     noninterference basis with other missions of such laboratory 
     or site.

     SEC. 308. HOMELAND SECURITY INSTITUTE.

       Within the Directorate of Science and Technology there 
     shall be established a Homeland Security Institute as a 
     separate federally funded research and development center 
     under the direction of the Under Secretary to perform policy 
     and systems analysis, assist in the definition of standards 
     and metrics, assist agencies with evaluating technologies for 
     deployment, proposing risk management strategies based on 
     technology developments, and performing other appropriate 
     research and analysis to improve policy and decisionmaking as 
     it relates to the mission of the Department. The Homeland 
     Security Institute shall utilize the capabilities of the 
     National Infrastructure Simulation and Analysis Center.

     SEC. 309. UTILIZATION OF DEPARTMENT OF ENERGY NATIONAL 
                   LABORATORIES AND SITES IN SUPPORT OF HOMELAND 
                   SECURITY ACTIVITIES.

       (a) Office for National Laboratories.--There is established 
     within the Directorate of Science and Technology an Office 
     for National Laboratories, which shall be responsible for the 
     coordination and utilization of the Department of Energy 
     national laboratories and sites in a manner to create a 
     networked laboratory system for the purpose of supporting the 
     missions of the Department.
       (b) Joint Sponsorship.--The Department may be a joint 
     sponsor, under a multiple agency sponsorship arrangement with 
     the Department of Energy, of 1 or more Department of Energy 
     national laboratories in the performance of work.
       (c) Arrangements.--The Department may be a joint sponsor of 
     a Department of Energy site in the performance of work as if 
     such site were a federally funded research and development 
     center and the work were performed under a multiple agency 
     sponsorship arrangement with the Department.
       (d) Primary Sponsor.--The Department of Energy shall be the 
     primary sponsor under a multiple agency sponsorship 
     arrangement entered into under subsection (a) or (b).
       (e) Lead Agent.--
       (1) In general.--The Secretary of Energy shall act as the 
     lead agent in coordinating the formation and performance of a 
     joint sponsorship agreement between the Department and a 
     Department of Energy national laboratory or site for work on 
     homeland security.
       (2) Federal acquisition regulation.--Any work performed by 
     a national laboratory or site under this section shall comply 
     with the policy on the use of federally funded research and 
     development centers under section 35.017(a) (4) of the 
     Federal Acquisition Regulation.
       (f) Funding.--The Department shall provide funds for work 
     at the Department of Energy national laboratories or sites, 
     as the case may be, under this section under the same terms 
     and conditions as apply to the primary sponsor of such 
     national laboratory under section 303(b)(1)(C) of the Federal 
     Property and Administrative Services Act of 1949 (41 U.S.C. 
     253 (b)(1)(C)) or of such site to the extent such section 
     applies to such site as a federally funded research and 
     development center by reason of subsection (b).
       (g) Authorities of Secretary and Under Secretary.--In 
     connection with work involving the Department of Energy 
     national laboratories or sites, the Secretary or Under 
     Secretary for Science and Technology--
       (1) may enter into joint sponsorship agreements with 
     Department of Energy national laboratories or sites;
       (2) may directly fund, task, and manage work at the 
     Department of Energy national laboratories and sites; and
       (3) may permit the director of any Department of Energy 
     national laboratory or site to enter into cooperative 
     research and development agreements or to negotiate licensing 
     agreements with any person, any agency or instrumentality, of 
     the United States, any unit of State or local government, and 
     any other entity under the authority granted by section 12 of 
     the Stevenson-Wydler Technology Innovation Act of 1980 (15 
     U.S.C. 3710a). Technology may be transferred to a non-Federal 
     party to such an agreement consistent with the provisions of 
     sections 11 and 12 of such Act (15 U.S.C. 3710, 3710a).

     SEC. 310. TRANSFER OF PLUM ISLAND ANIMAL DISEASE CENTER, 
                   DEPARTMENT OF AGRICULTURE.

       (a) In General.--In accordance with title VIII, the 
     Secretary of Agriculture shall transfer to the Secretary of 
     Homeland Security the Plum Island Animal Disease Center of 
     the Department of Agriculture, including the assets and 
     liabilities of the Center.
       (b) Continued Department of Agriculture Access.--On 
     completion of the transfer of the Plum Island Animal Disease 
     Center under subsection (a), the Secretary of Homeland 
     Security and the Secretary of Agriculture shall enter into an 
     agreement to ensure that the Department of Agriculture is 
     able to carry out research, diagnostic, and other activities 
     of the Department of Agriculture at the Center.
       (c) Direction of Activities.--The Secretary of Agriculture 
     shall continue to direct the research, diagnostic, and other 
     activities of the Department of Agriculture at the Center 
     described in subsection (b).
       (d) Notification.--
       (1) In general.--At least 180 days before any change in the 
     biosafety level at the Plum Island Animal Disease Center, the 
     President shall notify Congress of the change and describe 
     the reasons for the change.
       (2) Limitation.--No change described in paragraph (1) may 
     be made earlier than 180 days after the completion of the 
     transition period (as defined in section 801(2)).

     SEC. 311. CLEARINGHOUSE.

       (a) In General.--The Secretary, acting through the Under 
     Secretary for Science and Technology, shall provide for a 
     clearinghouse as a central, national point of entry for 
     individuals or companies seeking guidance on how to pursue 
     proposals to develop or deploy products that would contribute 
     to homeland security. Such clearinghouse shall refer those 
     seeking guidance on Federal funding, regulation, acquisition, 
     or other matters to the appropriate unit of the Department or 
     to other appropriate Federal agencies.
       (b) Screenings and Assessments.--The Under Secretary for 
     Science and Technology shall work in conjunction with the 
     Technical Support Working Group (organized under the April 
     1982, National Security Decision Directive Numbered 30) to--
       (1) screen proposals described in subsection (a), as 
     appropriate;
       (2) assess the feasibility, scientific and technical 
     merits, and estimated cost of proposals screened under 
     paragraph (1), as appropriate; and
       (3) identify areas where existing technologies may be 
     easily adapted and deployed to meet the homeland security 
     agenda of the Federal Government.

              TITLE IV--BORDER AND TRANSPORTATION SECURITY

     SEC. 401. UNDER SECRETARY FOR BORDER AND TRANSPORTATION 
                   SECURITY.

       There shall be in the Department a Directorate for Border 
     and Transportation Security headed by an Under Secretary for 
     Border and Transportation Security.

[[Page S9248]]

     SEC. 402. RESPONSIBILITIES.

       In assisting the Secretary with the responsibilities 
     specified in section 101(b)(2)(C), the primary 
     responsibilities of the Under Secretary for Border and 
     Transportation Security shall include--
       (1) preventing the entry of terrorists and the instruments 
     of terrorism into the United States;
       (2) securing the borders, territorial waters, ports, 
     terminals, waterways, and air, land, and sea transportation 
     systems of the United States, including managing and 
     coordinating governmental activities at ports of entry;
       (3) administering the immigration and naturalization laws 
     of the United States, including the establishment of rules, 
     in accordance with section 406, governing the granting of 
     visas or other forms of permission, including parole, to 
     enter the United States to individuals who are not citizens 
     or lawful permanent residents thereof;
       (4) administering the customs laws of the United States;
       (5) in carrying out the foregoing responsibilities, 
     ensuring the speedy, orderly, and efficient flow of lawful 
     traffic and commerce;
       (6) carrying out the border patrol function; and
       (7) administering and enforcing the functions of the 
     Department under the immigration laws of the United States 
     with respect to the inspection of aliens arriving at ports of 
     entry of the United States.

     SEC. 403. FUNCTIONS TRANSFERRED.

       (a) In General.--In accordance with title VIII, there shall 
     be transferred to the Secretary the functions, personnel, 
     assets, and liabilities of--
       (1) the United States Customs Service of the Department of 
     the Treasury, including the functions of the Secretary of the 
     Treasury relating thereto;
       (2) the Transportation Security Administration of the 
     Department of Transportation, including the functions of the 
     Secretary of Transportation, and of the Under Secretary of 
     Transportation for Security, relating thereto;
       (3) the Federal Protective Service of the General Services 
     Administration, including the functions of the Administrator 
     of General Services relating thereto; and
       (4) the Federal Law Enforcement Training Center of the 
     Department of the Treasury.
       (b) Exercise of Customs Revenue Authorities.--
       (1) In general.--
       (A) Authorities not transferred.--Notwithstanding 
     subsection (a)(1), authority that was vested in the Secretary 
     of the Treasury by law to issue regulations related to 
     customs revenue functions before the effective date of this 
     section under the provisions of law set forth under paragraph 
     (2) shall not be transferred to the Secretary by reason of 
     this Act. The Secretary of the Treasury, with the concurrence 
     of the Secretary, shall exercise this authority. The 
     Commissioner of Customs is authorized to engage in activities 
     to develop and support the issuance of the regulations 
     described in this paragraph. The Secretary shall be 
     responsible for the implementation and enforcement of 
     regulations issued under this section.
       (B) Report.--Not later than 60 days after the date of 
     enactment of this Act, the Secretary of the Treasury shall 
     submit a report to the Committee on Finance of the Senate and 
     the Committee on Ways and Means of the House of 
     Representatives of proposed conforming amendments to the 
     statutes set forth under paragraph (2) in order to determine 
     the appropriate allocation of legal authorities described 
     under this subsection. The Secretary of the Treasury shall 
     also identify those authorities vested in the Secretary of 
     the Treasury that are exercised by the Commissioner of 
     Customs on or before the effective date of this section.
       (C) Liability.--Neither the Secretary of the Treasury nor 
     the Department of the Treasury shall be liable for or named 
     in any legal action concerning the implementation and 
     enforcement of regulations issued under this paragraph after 
     the effective date of this Act.
       (2) Applicable laws.--The provisions of law referred to 
     under paragraph (1) are those sections of the following 
     statutes that relate to customs revenue functions:
       (A) The Tariff Act of 1930.
       (B) Section 249 of the Revised Statutes of the United 
     States (19 U.S.C. 3).
       (C) Section 2 of the Act of March 4, 1923 (19 U.S.C. 6).
       (D) Section 13031 of the Consolidated Omnibus Budget 
     Reconciliation Act of 1985 (19 U.S.C. 58c).
       (E) Section 251 of the Revised States of the United States 
     (19 U.S.C. 66).
       (F) Section 1 of the Act of June 26, 1930 (19 U.S.C. 68).
       (G) The Foreign Trade Zones Act (19 U.S.C. 81a et seq.).
       (H) Section 1 of the Act of March 2, 1911 (19 U.S.C. 198).
       (I) The Trade Act of 1974.
       (J) The Trade Agreement Act of 1979.
       (K) The North American Free Trade Area Implementation Act.
       (L) The Uruguay Round Agreements Act.
       (M) The Caribbean Basin Economic Recovery Act.
       (N) The Andean Growth and Opportunity Act.
       (O) Any other provision of law vesting customs revenue 
     functions in the Secretary of the Treasury.
       (3) Definitions of customs revenue functions.--In this 
     subsection, the term ``customs revenue functions'' means--
       (A) assessing, collecting, and refunding duties (including 
     any special duties), excise taxes, fees, and any liquidated 
     damages or penalties due on imported merchandise, including 
     classifying and valuing merchandise and the procedures for 
     ``entry'' as that term is defined in the United States 
     Customs laws;
       (B) administering section 337 of the Tariff Act of 1930 and 
     provisions relating to import quotas and the marking of 
     imported merchandise, and providing Customs Recordation for 
     copyrights, patents, and trademarks;
       (C) collecting accurate import data for compilation of 
     international trade statistics; and
       (D) administering reciprocal trade agreements and trade 
     preference legislation.

     SEC. 404. TRANSFER OF CERTAIN AGRICULTURAL INSPECTION 
                   FUNCTIONS OF THE DEPARTMENT OF AGRICULTURE.

       (a) Transfer of Agricultural Import and Entry Inspection 
     Functions.--There shall be transferred to the Secretary the 
     functions of the Secretary of Agriculture relating to 
     agricultural import and entry inspection activities under the 
     laws specified in subsection (b).
       (b) Covered Animal and Plant Protection Laws.--The laws 
     referred to in subsection (a) are the following:
       (1) The Act commonly known as the Virus-Serum-Toxin Act 
     (the eighth paragraph under the heading ``Bureau of Animal 
     Industry'' in the Act of March 4, 1913; 21 U.S.C. 151 et 
     seq.).
       (2) The first section of the Act of August 31, 1922 
     (commonly known as the Honeybee Act; 7 U.S.C. 281).
       (3) Title III of the Federal Seed Act (7 U.S.C. 1581 et 
     seq.).
       (4) The Plant Protection Act (7 U.S.C. 7701 et seq.).
       (5) The Animal Health Protection Act (subtitle E of title X 
     of Public Law 107-171; 7 U.S.C. 8301 et seq.).
       (6) The Lacey Act Amendments of 1981 (16 U.S.C. 3371 et 
     seq.).
       (7) Section 11 of the Endangered Species Act of 1973 (16 
     U.S.C. 1540).
       (c) Exclusion of Quarantine Activities.--For purposes of 
     this section, the term ``functions'' does not include any 
     quarantine activities carried out under the laws specified in 
     subsection (b).
       (d) Effect of Transfer.--
       (1) Compliance with department of agriculture 
     regulations.--The authority transferred pursuant to 
     subsection (a) shall be exercised by the Secretary in 
     accordance with the regulations, policies, and procedures 
     issued by the Secretary of Agriculture regarding the 
     administration of the laws specified in subsection (b).
       (2) Rulemaking coordination.--The Secretary of Agriculture 
     shall coordinate with the Secretary whenever the Secretary of 
     Agriculture prescribes regulations, policies, or procedures 
     for administering the laws specified in subsection (b) at the 
     locations referred to in subsection (a).
       (3) Effective administration.--The Secretary, in 
     consultation with the Secretary of Agriculture, may issue 
     such directives and guidelines as are necessary to ensure the 
     effective use of personnel of the Department to carry out the 
     functions transferred pursuant to subsection (a).
       (e) Transfer Agreement.--
       (1) Agreement required; revision.--Before the end of the 
     transition period, as defined in section 801(2), the 
     Secretary of Agriculture and the Secretary shall enter into 
     an agreement to effectuate the transfer of functions required 
     by subsection (a). The Secretary of Agriculture and the 
     Secretary may jointly revise the agreement as necessary 
     thereafter.
       (2) Required terms.--The agreements required by this 
     subsection shall provide for the following:
       (A) The supervision by the Secretary of Agriculture of the 
     training of employees of the Department to carry out the 
     functions transferred pursuant to subsection (a).
       (B) The transfer of funds to the Secretary under subsection 
     (f).
       (C) Authority under which the Secretary may perform 
     functions that are delegated to the Animal and Plant 
     Inspection Service of the Department of Agriculture regarding 
     the protection of domestic livestock and plants, but not 
     transferred to the Secretary pursuant to subsection (a).
       (D) Authority under which the Secretary of Agriculture may 
     use employees of the Department to carry out authorities 
     delegated to the Animal and Plant Health Inspection Service 
     regarding the protection of domestic livestock and plants.
       (f) Periodic Transfer of Funds to Department of Homeland 
     Security.--
       (1) Transfer of funds.--Subject to paragraph (2), out of 
     any funds collected as fees under sections 2508 and 2509 of 
     the Food, Agriculture, Conservation, and Trade Act of 1990 
     (21 U.S.C. 136, 136a), the Secretary of Agriculture shall 
     periodically transfer to the Secretary, in accordance with 
     the agreement under subsection (e), funds for activities 
     carried out by the Secretary for which the fees were 
     collected.
       (2) Limitation.--The proportion of fees collected under 
     sections 2508 and 2509 of the Food, Agriculture, 
     Conservation, and Trade Act of 1990 (21 U.S.C. 136, 136a) 
     that are transferred to the Secretary under paragraph (1) may 
     not exceed the proportion that--
       (A) the costs incurred by the Secretary to carry out 
     activities funded by those fees; bears to

[[Page S9249]]

       (B) the costs incurred by the Federal Government to carry 
     out activities funded by those fees.
       (g) Transfer of Department of Agriculture Employees.--Not 
     later than the completion of the transition period (as 
     defined in section 801(2)), the Secretary of Agriculture 
     shall transfer to the Department not more than 3,200 full-
     time equivalent positions of the Department of Agriculture.
       (h) Protection of Inspection Animals.--Title V of the 
     Agricultural Risk Protection Act of 2002 (7 U.S.C. 2279e, 
     2279f) is amended--
       (1) in section 501(a)--
       (A) by inserting ``or the Department of Homeland Security'' 
     after ``Department of Agriculture''; and
       (B) by inserting ``or the Secretary of Homeland Security'' 
     after ``Secretary of Agriculture'';
       (2) by striking ``Secretary'' each place it appears (other 
     than in sections 501(a) and 501(e)) and inserting ``Secretary 
     concerned''; and
       (3) by adding at the end of section 501 the following:
       ``(i) Secretary Concerned Defined.--In this title, the term 
     `Secretary concerned' means--
       ``(1) the Secretary of Agriculture, with respect to an 
     animal used for purposes of official inspections by the 
     Department of Agriculture; and
       ``(2) the Secretary of Homeland Security, with respect to 
     an animal used for purposes of official inspections by the 
     Department of Homeland Security.''.
       (j) Conforming Amendments.--
       (1) Section 501 of the Agricultural Risk Protection Act of 
     2000 (7 U.S.C. 2279e) is amended--
       (A) in subsection (a)--
       (i) by inserting ``or the Department of Homeland Security'' 
     after ``Department of Agriculture''; and
       (ii) by inserting ``or the Secretary of Homeland Security'' 
     after ``Secretary of Agriculture''; and
       (B) by striking ``Secretary'' each place it appears (other 
     than in subsections (a) and (e)) and inserting ``Secretary 
     concerned''.
       (2) Section 221 of the Public Health Security and 
     Bioterrorism Preparedness and Response Act of 2002 (7 U.S.C. 
     8411) is repealed.

     SEC. 405. COORDINATION OF INFORMATION AND INFORMATION 
                   TECHNOLOGY.

       (a) Definition of Affected Agency.--In this section, the 
     term ``affected agency'' means--
       (1) the Department;
       (2) the Department of Agriculture;
       (3) the Department of Health and Human Services; and
       (4) any other department or agency determined to be 
     appropriate by the Secretary.
       (b) Coordination.--The Secretary, in coordination with the 
     Secretary of Agriculture, the Secretary of Health and Human 
     Services, and the head of each other department or agency 
     determined to be appropriate by the Secretary, shall ensure 
     that appropriate information (as determined by the Secretary) 
     concerning inspections of articles that are imported or 
     entered into the United States, and are inspected or 
     regulated by 1 or more affected agencies, is timely and 
     efficiently exchanged between the affected agencies.
       (c) Report and Plan.--Not later than 18 months after the 
     date of enactment of this Act, the Secretary, in consultation 
     with the Secretary of Agriculture, the Secretary of Health 
     and Human Services, and the head of each other department or 
     agency determined to be appropriate by the Secretary, shall 
     submit to Congress--
       (1) a report on the progress made in implementing this 
     section; and
       (2) a plan to complete implementation of this section.

     SEC. 406. VISA ISSUANCE.

       (a) Definition.--In this subsection, the term ``consular 
     office'' has the meaning given that term under section 
     101(a)(9) of the Immigration and Nationality Act (8 U.S.C. 
     1101(a)(9)).
       (b) In General.--Notwithstanding section 104(a) of the 
     Immigration and Nationality Act (8 U.S.C. 1104(a)) or any 
     other provision of law, and except as provided in subsection 
     (c) of this section, the Secretary--
       (1) shall be vested exclusively with all authorities to 
     issue regulations with respect to, administer, and enforce 
     the provisions of such Act, and of all other immigration and 
     nationality laws, relating to the functions of consular 
     officers of the United States in connection with the granting 
     or refusal of visas which authorities shall be exercised 
     through the Secretary of State, except that the Secretary 
     shall not have authority to alter or reverse the decision of 
     a consular officer to refuse a visa to an alien;
       (2) may delegate in whole or part the authority under 
     subparagraph (A) to the Secretary of State; and
       (3) shall have authority to confer or impose upon any 
     officer or employee of the United States, with the consent of 
     the head of the executive agency under whose jurisdiction 
     such officer or employee is serving, any of the functions 
     specified in paragraph (1).
       (c) Authority of the Secretary of State.--
       (1) In general.--Notwithstanding subsection (b), the 
     Secretary of State may direct a consular officer to refuse a 
     visa to an alien if the Secretary of State deems such refusal 
     necessary or advisable in the foreign policy or security 
     interests of the United States.
       (2) Construction regarding authority.--Nothing in this 
     section shall be construed as affecting the authorities of 
     the Secretary of State under the following provisions of law:
       (A) Section 101(a)(15)(A) of the Immigration and 
     Nationality Act (8 U.S.C. 1101(a)(15)(A)).
       (B) Section 204(d)(2) of the Immigration and Nationality 
     Act (8 U.S.C. 1154) (as it will take effect upon the entry 
     into force of the Convention on Protection of Children and 
     Cooperation in Respect to Inter-Country adoption).
       (C) Section 212(a)(3)(B)(i)(IV)(bb) of the Immigration and 
     Nationality Act (8 U.S.C. 1182(a)(3)(B)(i)(IV)(bb)).
       (D) Section 212(a)(3)(B)(i)(VI) of the Immigration and 
     Nationality Act (8 U.S.C. 1182(a)(3)(B)(i)(VI)).
       (E) Section 212(a)(3)(B)(vi)(II) of the Immigration and 
     Nationality Act (8 U.S.C. 1182(a)(3)(B)(vi)(II)).
       (F) Section 212(a)(3(C) of the Immigration and Nationality 
     Act (8 U.S.C. 1182(a)(3)(C)).
       (G) Section 212(a)(10)(C) of the Immigration and 
     Nationality Act (8 U.S.C. 1182(a)(10)(C)).
       (H) Section 212(f) of the Immigration and Nationality Act 
     (8 U.S.C. 1182(f)).
       (I) Section 219(a) of the Immigration and Nationality Act 
     (8 U.S.C. 1189(a)).
       (J) Section 237(a)(4)(C) of the Immigration and Nationality 
     Act (8 U.S.C. 1227(a)(4)(C)).
       (K) Section 401 of the Cuban Liberty and Democratic 
     Solidarity (LIBERTAD) Act of 1996 (22 U.S.C. 6034; Public Law 
     104-114).
       (L) Section 613 of the Departments of Commerce, Justice, 
     and State, the Judiciary and Related Agencies Appropriations 
     Act, 1999 (as contained in section 101(b) of division A of 
     Public Law 105-277) (Omnibus Consolidated and Emergency 
     Supplemental Appropriations Act, 1999); 112 Stat. 2681; H.R. 
     4328 (originally H.R. 4276) as amended by section 617 of 
     Public Law 106-553.
       (M) Section 103(f) of the Chemical Weapon Convention 
     Implementation Act of 1998 (112 Stat. 2681-865).
       (N) Section 801 of H.R. 3427, the Admiral James W. Nance 
     and Meg Donovan Foreign Relations Authorization Act, Fiscal 
     Years 2000 and 2001, as enacted by reference in Public Law 
     106-113.
       (O) Section 568 of the Foreign Operations, Export 
     Financing, and Related Programs Appropriations Act, 2002 
     (Public Law 107-115).
       (P) Section 51 of the State Department Basic Authorities 
     Act of 1956 (22 U.S.C. 2723).
       (d) Consular Officers and Chiefs of Missions.--
       (1) In general.--Nothing in this subsection may be 
     construed to alter or affect--
       (A) the employment status of consular officers as employees 
     of the Department of State; or
       (B) the authority of a chief of mission under section 207 
     of the Foreign Service Act of 1980 (22 U.S.C. 3927).
       (2) Construction regarding delegation of authority.--
     Nothing in this section shall be construed to affect any 
     delegation of authority to the Secretary of State by the 
     President pursuant to any proclamation issued under section 
     212(f) of the Immigration and Nationality Act (8 U.S.C. 
     1182(f)).
       (e) Assignment of Homeland Security Employees to Diplomatic 
     and Consular Posts.--
       (1) In general.--The Secretary is authorized to assign 
     employees of the Department to each diplomatic and consular 
     post at which visas are issued, unless the Secretary 
     determines that such an assignment at a particular post would 
     not promote homeland security.
       (2) Functions.--Employees assigned under paragraph (1) 
     shall perform the following functions:
       (i) Provide expert advice to consular officers regarding 
     specific security threats relating to the adjudication of 
     individual visa applications or classes of applications.
       (ii) Review any such applications, either on the initiative 
     of the employee of the Department or upon request by a 
     consular officer or other person charged with adjudicating 
     such applications.
       (iii) Conduct investigations with respect to consular 
     matters under the jurisdiction of the Secretary.
       (3) Evaluation of consular officers.--The Secretary of 
     State shall evaluate, in consultation with the Secretary, as 
     deemed appropriate by the Secretary, the performance of 
     consular officers with respect to the processing and 
     adjudication of applications for visas in accordance with 
     performance standards developed by the Secretary for these 
     procedures.
       (4) Report.--The Secretary shall, on an annual basis, 
     submit a report to Congress that describes the basis for each 
     determination under paragraph (1) that the assignment of an 
     employee of the Department at a particular diplomatic post 
     would not promote homeland security.
       (5) Permanent assignment; participation in terrorist 
     lookout committee.--When appropriate, employees of the 
     Department assigned to perform functions described in 
     paragraph (2) may be assigned permanently to overseas 
     diplomatic or consular posts with country-specific or 
     regional responsibility. If the Secretary so directs, any 
     such employee, when present at an overseas post, shall 
     participate in the terrorist lookout committee established 
     under section 304 of the Enhanced Border Security and Visa 
     Entry Reform Act of 2002 (8 U.S.C. 1733).
       (6) Training and hiring.--

[[Page S9250]]

       (A) In general.--The Secretary shall ensure, to the extent 
     possible, that any employees of the Department assigned to 
     perform functions under paragraph (2) and, as appropriate, 
     consular officers, shall be provided the necessary training 
     to enable them to carry out such functions, including 
     training in foreign languages, in conditions in the 
     particular country where each employee is assigned, and in 
     other appropriate areas of study.
       (B) Use of center.--The Secretary is authorized to use the 
     National Foreign Affairs Training Center, on a reimbursable 
     basis, to obtain the training described in subparagraph (A).
       (7) Report.--Not later than 1 year after the date of 
     enactment of this Act, the Secretary and the Secretary of 
     State shall submit to Congress--
       (A) a report on the implementation of this subsection; and
       (B) any legislative proposals necessary to further the 
     objectives of this subsection.
       (8) Effective date.--This subsection shall take effect on 
     the earlier of--
       (A) the date on which the President publishes notice in the 
     Federal Register that the President has submitted a report to 
     Congress setting forth a memorandum of understanding between 
     the Secretary and the Secretary of State governing the 
     implementation of this section; or
       (B) the date occurring 1 year after the date of enactment 
     of this Act.
       (f) No Creation of Private Right of Action.--Nothing in 
     this section shall be construed to create or authorize a 
     private right of action to challenge a decision of a consular 
     officer or other United States official or employee to grant 
     or deny a visa.

     SEC. 407. BORDER SECURITY AND IMMIGRATION WORKING GROUP.

       (a) Establishment.--The Secretary shall establish a border 
     security and immigration working group (in this section 
     referred to as the ``Working Group''), composed of the 
     Secretary or the designee of the Secretary, the Under 
     Secretary for Immigration Affairs, and the Under Secretary 
     for Border and Transportation protection.
       (b) Functions.--The Working Group shall meet not less 
     frequently than once every 3 months and shall--
       (1) with respect to border security functions, develop 
     coordinated budget requests, allocations of appropriations, 
     staffing requirements, communication, use of equipment, 
     transportation, facilities, and other infrastructure;
       (2) coordinate joint and cross-training programs for 
     personnel performing border security functions;
       (3) monitor, evaluate and make improvements in the coverage 
     and geographic distributions of border security programs and 
     personnel;
       (4) develop and implement policies and technologies to 
     ensure the speedy, orderly, and efficient flow of lawful 
     traffic, travel and commerce, and enhanced security for high-
     risk traffic, travel, and commerce;
       (5) identify systemic problems in coordination encountered 
     by border security agencies and programs and propose 
     administrative, regulatory, or statutory changes to mitigate 
     such problems; and
       (6) coordinate the enforcement of all immigration laws.
       (c) Relevant Agencies.--The Secretary shall consult with 
     representatives of relevant agencies with respect to 
     deliberations under subsection (b), and may include 
     representative of such agencies in working group 
     deliberations, as appropriate.

     SEC. 408. INFORMATION ON VISA DENIALS REQUIRED TO BE ENTERED 
                   INTO ELECTRONIC DATA SYSTEM.

       (a) In General.--Whenever a consular officer of the United 
     States denies a visa to an applicant, the consular officer 
     shall enter the fact and the basis of the denial and the name 
     of the applicant into the interoperable electronic data 
     system implemented under section 202(a) of the Enhanced 
     Border Security and Visa Entry Reform Act of 2002 (8 U.S.C. 
     1722(a)).
       (b) Prohibition.--In the case of any alien with respect to 
     whom a visa has been denied under subsection (a)--
       (1) no subsequent visa may be issued to the alien unless 
     the consular officer considering the alien's visa application 
     has reviewed the information concerning the alien placed in 
     the interoperable electronic data system, has indicated on 
     the alien's application that the information has been 
     reviewed, and has stated for the record why the visa is being 
     issued or a waiver of visa ineligibility recommended in spite 
     of that information; and
       (2) the alien may not be admitted to the United States 
     without a visa issued in accordance with the procedures 
     described in paragraph (1).

     SEC. 409. STUDY ON USE OF FOREIGN NATIONAL PERSONNEL IN VISA 
                   PROCESSING.

       The Secretary shall conduct a study on the use of foreign 
     national personnel in visa processing to determine whether 
     such uses are consistent with secure visa processing. The 
     study shall review and make recommendations with respect to--
       (1) the effects or possible effects on national security of 
     the use of foreign national personnel in individual countries 
     to perform data entry, process visas or visa applications, or 
     in any way handle visas or visa application documents; and
       (2) each United States mission abroad to determine whether 
     United States consular services performed at the United 
     States mission require different regulations on the use of 
     foreign national personnel.

              TITLE V--EMERGENCY PREPAREDNESS AND RESPONSE

     SEC. 501. UNDER SECRETARY FOR EMERGENCY PREPAREDNESS AND 
                   RESPONSE.

       There shall be in the Department a Directorate of Emergency 
     Preparedness and Response headed by an Under Secretary for 
     Emergency Preparedness and Response.

     SEC. 502. RESPONSIBILITIES.

       In assisting the Secretary with the responsibilities 
     specified in section 101(b)(2)(D), the primary 
     responsibilities of the Under Secretary for Emergency 
     Preparedness and Response shall include--
       (1) helping to ensure the preparedness of emergency 
     response providers for terrorist attacks, major disasters, 
     and other emergencies;
       (2) with respect to the Nuclear Incident Response Team 
     (regardless of whether it is operating as an organizational 
     unit of the Department pursuant to this title)--
       (A) establishing standards and certifying when those 
     standards have been met;
       (B) conducting joint and other exercises and training and 
     evaluating performance; and
       (C) providing funds to the Department of Energy and the 
     Environmental Protection Agency, as appropriate, for homeland 
     security planning, exercises and training, and equipment;
       (3) providing the Federal Government's response to 
     terrorist attacks and major disasters, including--
       (A) managing such response;
       (B) directing the Domestic Emergency Support Team, the 
     Strategic National Stockpile, the National Disaster Medical 
     System, and (when operating as an organizational unit of the 
     Department pursuant to this title) the Nuclear Incident 
     Response Team;
       (C) overseeing the Metropolitan Medical Response System; 
     and
       (D) coordinating other Federal response resources in the 
     event of a terrorist attack or major disaster;
       (4) aiding the recovery from terrorist attacks and major 
     disasters;
       (5) building a comprehensive national incident management 
     system with Federal, State, and local government personnel, 
     agencies, and authorities, to respond to such attacks and 
     disasters;
       (6) consolidating existing Federal Government emergency 
     response plans into a single, coordinated national response 
     plan; and
       (7) developing comprehensive programs for developing 
     interoperative communications technology, and helping to 
     ensure that emergency response providers acquire such 
     technology.

     SEC. 503. FUNCTIONS TRANSFERRED.

       In accordance with title VIII, there shall be transferred 
     to the Secretary the functions, personnel, assets, and 
     liabilities of the following entities:
       (1) The Federal Emergency Management Agency, including the 
     functions of the Director of the Federal Emergency Management 
     Agency relating thereto.
       (2) The Office for Domestic Preparedness of the Office of 
     Justice Programs, including the functions of the Attorney 
     General relating thereto.
       (3) The National Domestic Preparedness Office of the 
     Federal Bureau of Investigation, including the functions of 
     the Attorney General relating thereto.
       (4) The Domestic Emergency Support Teams of the Department 
     of Justice, including the functions of the Attorney General 
     relating thereto.
       (5) The Office of the Assistant Secretary for Public Health 
     Emergency Preparedness (including the Office of Emergency 
     Preparedness, the National Disaster Medical System, and the 
     Metropolitan Medical Response System) of the Department of 
     Health and Human Services, including the functions of the 
     Secretary of Health and Human Services relating thereto.
       (6) The Strategic National Stockpile of the Department of 
     Health and Human Services, including the functions of the 
     Secretary of Health and Human Services relating thereto.

     SEC. 504. NUCLEAR INCIDENT RESPONSE.

       (a) In General.--At the direction of the Secretary (in 
     connection with an actual or threatened terrorist attack, 
     major disaster, or other emergency), the Nuclear Incident 
     Response Team shall operate as an organizational unit of the 
     Department. While so operating, the Nuclear Incident Response 
     Team shall be subject to the direction, authority, and 
     control of the Secretary.
       (b) Rule of Construction.--Nothing in this title shall be 
     construed to limit the ordinary responsibility of the 
     Secretary of Energy and the Administrator of the 
     Environmental Protection Agency for organizing, training, 
     equipping, and utilizing their respective entities in the 
     Nuclear Incident Response Team, or (subject to the provisions 
     of this title) from exercising direction, authority, and 
     control over them when they are not operating as a unit of 
     the Department.

     SEC. 505. CONDUCT OF CERTAIN PUBLIC HEALTH-RELATED 
                   ACTIVITIES.

       (a) In General.--With respect to all public health-related 
     activities to improve State, local, and hospital preparedness 
     and response to chemical, biological, radiological, and 
     nuclear and other emerging terrorist threats carried out by 
     the Department of Health and

[[Page S9251]]

     Human Services (including the Public Health Service), the 
     Secretary of Health and Human Services shall set priorities 
     and preparedness goals and further develop a coordinated 
     strategy for such activities in collaboration with the 
     Secretary.
       (b) Evaluation of Progress.--In carrying out subsection 
     (a), the Secretary of Health and Human Services shall 
     collaborate with the Secretary in developing specific 
     benchmarks and outcome measurements for evaluating progress 
     toward achieving the priorities and goals described in such 
     subsection.

     SEC. 506. DEFINITION.

       In this title, the term ``Nuclear Incident Response Team'' 
     means a resource that includes--
       (1) those entities of the Department of Energy that perform 
     nuclear or radiological emergency support functions 
     (including accident response, search response, advisory, and 
     technical operations functions), radiation exposure functions 
     at the medical assistance facility known as the Radiation 
     Emergency Assistance Center/Training Site (REAC/TS), 
     radiological assistance functions, and related functions; and
       (2) those entities of the Environmental Protection Agency 
     that perform such support functions (including radiological 
     emergency response functions) and related functions.

                          TITLE VI--MANAGEMENT

     SEC. 601. UNDER SECRETARY FOR MANAGEMENT.

       There shall be in the Department a Directorate for 
     Management, headed by an Under Secretary for Management.

     SEC. 602. RESPONSIBILITIES.

       In assisting the Secretary with the management and 
     administration of the Department, the primary 
     responsibilities of the Under Secretary for Management shall 
     include, for the Department--
       (1) the budget, appropriations, expenditures of funds, 
     accounting, and finance;
       (2) procurement;
       (3) human resources and personnel;
       (4) information technology and communications systems;
       (5) facilities, property, equipment, and other material 
     resources;
       (6) security for personnel, information technology and 
     communications systems, facilities, property, equipment, and 
     other material resources; and
       (7) identification and tracking of performance measures 
     relating to the responsibilities of the Department.

     SEC. 603. CHIEF FINANCIAL OFFICER.

       The Chief Financial Officer shall report to the Secretary, 
     or to another official of the Department, as the Secretary 
     may direct.

     SEC. 604. CHIEF INFORMATION OFFICER.

       The Chief Information Officer shall report to the 
     Secretary, or to another official of the Department, as the 
     Secretary may direct.

     SEC. 605. CHIEF HUMAN CAPITAL OFFICER.

       The Chief Human Capital Officer shall report to the 
     Secretary, or to another official of the Department, as the 
     Secretary may direct and shall ensure that all employees of 
     the Department are informed of their rights and remedies 
     under chapters 12 and 23 of title 5, United States Code, by--
       (1) participating in the 2302(c) Certification Program of 
     the Office of Special Counsel;
       (2) achieving certification from the Office of Special 
     Counsel of the Department's compliance with section 2302(c) 
     of title 5, United States Code; and
       (3) informing Congress of such certification not later than 
     24 months after the date of enactment of this Act.

 TITLE VII--COORDINATION WITH NON-FEDERAL ENTITIES; INSPECTOR GENERAL; 
     UNITED STATES SECRET SERVICE; COAST GUARD; GENERAL PROVISIONS

           Subtitle A--Coordination with Non-Federal Entities

     SEC. 701. RESPONSIBILITIES.

       In discharging his responsibilities relating to 
     coordination (including the provision of training and 
     equipment) with State and local government personnel, 
     agencies, and authorities, with the private sector, and with 
     other entities, the responsibilities of the Secretary shall 
     include--
       (1) coordinating with State and local government personnel, 
     agencies, and authorities, and with the private sector, to 
     ensure adequate planning, equipment, training, and exercise 
     activities;
       (2) coordinating and, as appropriate, consolidating the 
     Federal Government's communications and systems of 
     communications relating to homeland security with State and 
     local government personnel, agencies, and authorities, the 
     private sector, other entities, and the public;
       (3) directing and supervising grant programs of the Federal 
     Government for State and local government emergency response 
     providers; and
       (4) distributing or, as appropriate, coordinating the 
     distribution of, warnings and information to State and local 
     government personnel, agencies, and authorities and to the 
     public.

                     Subtitle B--Inspector General

     SEC. 710. AUTHORITY OF THE SECRETARY.

       (a) In General.--Notwithstanding the last two sentences of 
     section 3(a) of the Inspector General Act of 1978, the 
     Inspector General shall be under the authority, direction, 
     and control of the Secretary with respect to audits or 
     investigations, or the issuance of subpoenas, that require 
     access to information concerning--
       (1) intelligence, counterintelligence, or counterterrorism 
     matters;
       (2) ongoing criminal investigations or proceedings;
       (3) undercover operations;
       (4) the identity of confidential sources, including 
     protected witnesses;
       (5) other matters the disclosure of which would, in the 
     Secretary's judgment, constitute a serious threat to the 
     protection of any person or property authorized protection by 
     section 3056 of title 18, United States Code, section 202 of 
     title 3 of such Code, or any provision of the Presidential 
     Protection Assistance Act of 1976; or
       (6) other matters the disclosure of which would, in the 
     Secretary's judgment, constitute a serious threat to national 
     security.
       (b) Prohibition of Completion of Audit or Investigation.--
     With respect to the information described in subsection (a), 
     the Secretary may prohibit the Inspector General from 
     carrying out or completing any audit or investigation, or 
     from issuing any subpoena, after such Inspector General has 
     decided to initiate, carry out, or complete such audit or 
     investigation or to issue such subpoena, if the Secretary 
     determines that such prohibition is necessary to prevent the 
     disclosure of any information described in subsection (a), to 
     preserve the national security, or to prevent a significant 
     impairment to the interests of the United States.
       (c) Notification.--The Secretary shall notify in writing 
     the President of the Senate, the Speaker of the House of 
     Representatives, the Committee on Governmental Affairs of the 
     Senate, the Committee on Government Reform of the House of 
     Representatives, and other appropriate committees of Congress 
     within thirty days of any exercise of his authority under 
     this section stating the reasons for such exercise.

     SEC. 711. LAW ENFORCEMENT POWERS OF INSPECTOR GENERAL AGENTS.

       (a) In General.--Section 6 of the Inspector General Act of 
     1978 (5 U.S.C. App.) is amended by adding at the end the 
     following:
       ``(e)(1) In addition to the authority otherwise provided by 
     this Act, each Inspector General appointed under section 3, 
     any Assistant Inspector General for Investigations under such 
     an Inspector General, and any special agent supervised by 
     such an Assistant Inspector General may be authorized by the 
     Attorney General to--
       ``(A) carry a firearm while engaged in official duties as 
     authorized under this Act or other statute, or as expressly 
     authorized by the Attorney General;
       ``(B) make an arrest without a warrant while engaged in 
     official duties as authorized under this Act or other 
     statute, or as expressly authorized by the Attorney General, 
     for any offense against the United States committed in the 
     presence of such Inspector General, Assistant Inspector 
     General, or agent, or for any felony cognizable under the 
     laws of the United States if such Inspector General, 
     Assistant Inspector General, or agent has reasonable grounds 
     to believe that the person to be arrested has committed or is 
     committing such felony; and
       ``(C) seek and execute warrants for arrest, search of a 
     premises, or seizures of evidence issued under the authority 
     of the United States upon probable cause to believe that a 
     violation has been committed.
       ``(2) The Attorney General may authorize exercise of the 
     powers under this subsection only upon an initial 
     determination that--
       ``(A) the affected Office of Inspector General is 
     significantly hampered in the performance of responsibilities 
     established by this Act as a result of the lack of such 
     powers;
       ``(B) available assistance from other law enforcement 
     agencies is insufficient to meet the need for such powers; 
     and
       ``(C) adequate internal safeguards and management 
     procedures exist to ensure proper exercise of such powers.
       ``(3) The Inspector General offices of the Department of 
     Commerce, Department of Education, Department of Energy, 
     Department of Health and Human Services, Department of 
     Homeland Security, Department of Housing and Urban 
     Development, Department of the Interior, Department of 
     Justice, Department of Labor, Department of State, Department 
     of Transportation, Department of the Treasury, Department of 
     Veterans Affairs, Agency for International Development, 
     Environmental Protection Agency, Federal Deposit Insurance 
     Corporation, Federal Emergency Management Agency, General 
     Services Administration, National Aeronautics and Space 
     Administration, Nuclear Regulatory Commission, Office of 
     Personnel Management, Railroad Retirement Board, Small 
     Business Administration, Social Security Administration, and 
     the Tennessee Valley Authority are exempt from the 
     requirement of paragraph (2) of an initial determination of 
     eligibility by the Attorney General.
       ``(4) The Attorney General shall promulgate, and revise as 
     appropriate, guidelines which shall govern the exercise of 
     the law enforcement powers established under paragraph (1).
       ``(5) Powers authorized for an Office of Inspector General 
     under paragraph (1) shall be rescinded or suspended upon a 
     determination by the Attorney General that any of the 
     requirements under paragraph (2) is no longer satisfied or 
     that the exercise of authorized powers by that Office of 
     Inspector General

[[Page S9252]]

     has not complied with the guidelines promulgated by the 
     Attorney General under paragraph (4).
       ``(6) A determination by the Attorney General under 
     paragraph (2) or (5) shall not be reviewable in or by any 
     court.
       ``(7) To ensure the proper exercise of the law enforcement 
     powers authorized by this subsection, the Offices of 
     Inspector General described under paragraph (3) shall, not 
     later than 180 days after the date of enactment of this 
     subsection, collectively enter into a memorandum of 
     understanding to establish an external review process for 
     ensuring that adequate internal safeguards and management 
     procedures continue to exist within each Office and within 
     any Office that later receives an authorization under 
     paragraph (2). The review process shall be established in 
     consultation with the Attorney General, who shall be provided 
     with a copy of the memorandum of understanding that 
     establishes the review process. Under the review process, the 
     exercise of the law enforcement powers by each Office of 
     Inspector General shall be reviewed periodically by another 
     Office of Inspector General or by a committee of Inspectors 
     General. The results of each review shall be communicated in 
     writing to the applicable Inspector General and to the 
     Attorney General.
       ``(8) No provision of this subsection shall limit the 
     exercise of law enforcement powers established under any 
     other statutory authority, including United States Marshals 
     Service special deputation.''.
       (b) Promulgation of Initial Guidelines.--
       (1) Definition.--In this subsection, the term ``memoranda 
     of understanding'' means the agreements between the 
     Department of Justice and the Inspector General offices 
     described under section 6(e)(3) of the Inspector General Act 
     of 1978 (5 U.S.C. App.) (as added by subsection (a) of this 
     section) that--
       (A) are in effect on the date of enactment of this Act; and
       (B) authorize such offices to exercise authority that is 
     the same or similar to the authority under section 6(e)(1) of 
     such Act.
       (2) In general.--Not later than 180 days after the date of 
     enactment of this Act, the Attorney General shall promulgate 
     guidelines under section 6(e)(4) of the Inspector General Act 
     of 1978 (5 U.S.C. App.) (as added by subsection (a) of this 
     section) applicable to the Inspector General offices 
     described under section 6(e)(3) of that Act.
       (3) Minimum requirements.--The guidelines promulgated under 
     this subsection shall include, at a minimum, the operational 
     and training requirements in the memoranda of understanding.
       (4) No lapse of authority.--The memoranda of understanding 
     in effect on the date of enactment of this Act shall remain 
     in effect until the guidelines promulgated under this 
     subsection take effect.
       (c) Effective Dates.--
       (1) In general.--Subsection (a) shall take effect 180 days 
     after the date of enactment of this Act.
       (2) Initial guidelines.--Subsection (b) shall take effect 
     on the date of enactment of this Act.

                Subtitle C--United States Secret Service

     SEC. 720. FUNCTIONS TRANSFERRED.

       In accordance with title VIII, there shall be transferred 
     to the Secretary the functions, personnel, assets, and 
     liabilities of the United States Secret Service, which shall 
     be maintained as a distinct entity within the Department, 
     including the functions of the Secretary of the Treasury 
     relating thereto.

                     Subtitle D--General Provisions

     SEC. 730. ESTABLISHMENT OF HUMAN RESOURCES MANAGEMENT SYSTEM.

       (a) Authority.--
       (1) Sense of congress.--It is the sense of Congress that--
       (A) it is extremely important that employees of the 
     Department be allowed to participate in a meaningful way in 
     the creation of any human resources management system 
     affecting them;
       (B) such employees have the most direct knowledge of the 
     demands of their jobs and have a direct interest in ensuring 
     that their human resources management system is conducive to 
     achieving optimal operational efficiencies;
       (C) the 21st century human resources management system 
     envisioned for the Department should be one that benefits 
     from the input of its employees; and
       (D) this collaborative effort will help secure our 
     homeland.
       (2) In general.--Subpart I of part III of title 5, United 
     States Code, is amended by adding at the end the following:

             ``CHAPTER 97--DEPARTMENT OF HOMELAND SECURITY

``Sec.
``9701. Establishment of human resources management system.

     ``Sec. 9701. Establishment of human resources management 
       system

       ``(a) In General.--Notwithstanding any other provision of 
     this part, the Secretary may, in regulations prescribed 
     jointly with the Director of the Office of Personnel 
     Management, establish, and from time to time adjust, a human 
     resources management system for some or all of the 
     organizational units of the Department.
       ``(b) System Requirements.--Any system established under 
     subsection (a) shall--
       ``(1) be flexible;
       ``(2) be contemporary;
       ``(3) not waive, modify, or otherwise affect--
       ``(A) the public employment principles of merit and fitness 
     set forth in section 2301, including the principles of hiring 
     based on merit, fair treatment without regard to political 
     affiliation or other nonmerit considerations, equal pay for 
     equal work, and protection of employees against reprisal for 
     whistleblowing;
       ``(B) any provision of section 2302, relating to prohibited 
     personnel practices;
       ``(C)(i) any provision of law referred to in section 
     2302(b)(1); or
       ``(ii) any provision of law implementing any provision of 
     law referred to in section 2302(b)(1) by--
       ``(I) providing for equal employment opportunity through 
     affirmative action; or
       ``(II) providing any right or remedy available to any 
     employee or applicant for employment in the civil service;
       ``(D) any other provision of this part (as described in 
     subsection (c)); or
       ``(E) any rule or regulation prescribed under any provision 
     of law referred to in any of the preceding subparagraphs of 
     this paragraph;
       ``(4) ensure that employees may organize, bargain 
     collectively, and participate through labor organizations of 
     their own choosing in decisions which affect them, subject to 
     any exclusion from coverage or limitation on negotiability 
     established by law; and
       ``(5) permit the use of a category rating system for 
     evaluating applicants for positions in the competitive 
     service.
       ``(c) Other Nonwaivable Provisions.--The other provisions 
     of this part as referred to in subsection (b)(3)(D), are (to 
     the extent not otherwise specified in subparagraph (A), (B), 
     (C), or (D) of subsection (b)(3))--
       ``(1) subparts A, B, E, G, and H of this part; and
       ``(2) chapters 41, 45, 47, 55, 57, 59, 72, 73, and 79, and 
     this chapter.
       ``(d) Limitations Relating to Pay.--Nothing in this section 
     shall constitute authority--
       ``(1) to modify the pay of any employee who serves in--
       ``(A) an Executive Schedule position under subchapter II of 
     chapter 53 of title 5, United States Code; or
       ``(B) a position for which the rate of basic pay is fixed 
     in statute by reference to a section or level under 
     subchapter II of chapter 53 of such title 5;
       ``(2) to fix pay for any employee or position at an annual 
     rate greater than the maximum amount of cash compensation 
     allowable under section 5307 of such title 5 in a year; or
       ``(3) to exempt any employee from the application of such 
     section 5307.
       ``(e) Provisions To Ensure Collaboration With Employee 
     Representatives.--
       ``(1) In general.--In order to ensure that the authority of 
     this section is exercised in collaboration with, and in a 
     manner that ensures the direct participation of employee 
     representatives in the planning development, and 
     implementation of any human resources management system or 
     adjustments under this section, the Secretary and the 
     Director of the Office of Personnel Management shall provide 
     for the following:
       ``(A) Notice of proposal.-- The Secretary and the Director 
     shall, with respect to any proposed system or adjustment--
       ``(i) provide to each employee representative representing 
     any employees who might be affected, a written description of 
     the proposed system or adjustment (including the reasons why 
     it is considered necessary);
       ``(ii) give each representative at least 60 days (unless 
     extraordinary circumstances require earlier action) to review 
     and make recommendations with respect to the proposal; and
       ``(iii) give any recommendations received from any such 
     representatives under clause (ii) full and fair consideration 
     in deciding whether or how to proceed with the proposal.
       ``(B) Preimplementation requirements.--If the Secretary and 
     the Director decide to implement a proposal described in 
     subparagraph (A), they shall before implementation--
       ``(i) give each representative details of the decision to 
     implement the proposal, together with the information upon 
     which the decision is based;
       ``(ii) give each representative an opportunity to make 
     recommendations with respect to the proposal; and
       ``(iii) give such recommendation full and fair 
     consideration, including the providing of reasons to an 
     employee representative if any of its recommendations are 
     rejected.
       ``(C) Continuing collaboration.--If a proposal described in 
     subparagraph (A) is implemented, the Secretary and the 
     Director shall--
       ``(i) develop a method for each employee representative to 
     participate in any further planning or development which 
     might become necessary; and
       ``(ii) give each employee representative adequate access to 
     information to make that participation productive.
       ``(2) Procedures.--Any procedures necessary to carry out 
     this subsection shall be established by the Secretary and the 
     Director jointly. Such procedures shall include measures to 
     ensure--
       ``(A) in the case of employees within a unit with respect 
     to which a labor organization is accorded exclusive 
     recognition, representation by individuals designated or from 
     among individuals nominated by such organization;
       ``(B) in the case of any employees who are not within such 
     a unit, representation by

[[Page S9253]]

     any appropriate organization which represents a substantial 
     percentage of those employees or, if none, in such other 
     manner as may be appropriate, consistent with the purposes of 
     the subsection; and
       ``(C) the selection of representatives in a manner 
     consistent with the relative number of employees represented 
     by the organizations or other representatives involved.
       ``(f) Provisions Relating to Appellate Procedures.--
       (1) Sense of congress.--It is the sense of Congress that--
       ``(A) employees of the Department are entitled to fair 
     treatment in any appeals that they bring in decisions 
     relating to their employment; and
       ``(B) in prescribing regulations for any such appeals 
     procedures, the Secretary and the Director of the Office of 
     Personnel Management--
       ``(i) should ensure that employees of the Department are 
     afforded the protections of due process; and
       ``(ii) toward that end, should be required to consult with 
     the Merit Systems Protection Board before issuing any such 
     regulations.
       ``(2) Requirements.--Any regulations under this section 
     which relate to any matters within the purview of chapter 
     77--
       ``(A) shall be issued only after consultation with the 
     Merit Systems Protection Board;
       ``(B) shall ensure the availability of procedures which 
     shall--
       ``(i) be consistent with requirements of due process; and
       ``(ii) provide, to the maximum extent practicable, for the 
     expeditious handling of any matters involving the Department; 
     and
       ``(C) shall modify procedures under chapter 77 only insofar 
     as such modifications are designed to further the fair, 
     efficient, and expeditious resolution of matters involving 
     the employees of the Department.
       ``(g) Sunset Provision.--Effective 5 years after the 
     conclusion of the transition period defined under section 801 
     of the Homeland Security Act of 2002, all authority to issue 
     regulations under this section (including regulations which 
     would modify, supersede, or terminate any regulations 
     previously issued under this section) shall cease to be 
     available.''.
       (3) Clerical amendment.--The table of chapters for part III 
     of title 5, United States Code, is amended by adding at the 
     end of the following:

``97. Department of Homeland Security.......................9701''.....

       (b) Effect on Personnel.--
       (1) Nonseparation or nonreduction in grade or compensation 
     of full-time personnel and part-time personnel holding 
     permanent positions.--Except as otherwise provided in this 
     Act, the transfer pursuant to this act of full-time personnel 
     (except special Government employees) and part-time personnel 
     holding permanent positions shall not cause any such employee 
     to be separated or reduced in grade or compensation for one 
     year after the date of transfer to the Department.
       (2) Positions compensated in accordance with executive 
     schedule.--Any person who, on the day preceding such person's 
     date of transfer pursuant to this Act, held a position 
     compensated in accordance with the Executive Schedule 
     prescribed in chapter 53 of title 5, United States Code, and 
     who, without a break in service, is appointed in the 
     Department to a position having duties comparable to the 
     duties performed immediately preceding such appointment shall 
     continue to be compensated in such new position at not less 
     than the rate provided for such position, for the duration of 
     the service of such person in such new position.
       (3) Coordination rule.--Any exercise of authority under 
     chapter 97 of title 5, United States Code (as amended by 
     subsection (a)), including under any system established under 
     such chapter, shall be in conformance with the requirements 
     of this subsection.

     SEC. 731. LABOR-MANAGEMENT RELATIONS.

       (a) Limitation on Exclusionary Authority.--
       (1) In general.--No agency or subdivision of an agency 
     which is transferred to the Department pursuant to this Act 
     shall be excluded from the coverage of chapter 71 of title 5, 
     United States Code, as a result of any order issued under 
     section 7103(b)(1) of such title 5 after June 18, 2002, 
     unless--
       (A) the mission and responsibilities of the agency (or 
     subdivision) materially change; and
       (B) a majority of the employees within such agency (or 
     subdivision) have as their primary duty intelligence, 
     counterintelligence, or investigative work directly related 
     to terrorism investigation.
       (2) Exclusions allowable.--Nothing in paragraph (1) shall 
     affect the effectiveness of any order to the extent that such 
     order excludes any portion of an agency or subdivision of an 
     agency as to which--
       (A) recognition as an appropriate unit has never been 
     conferred for purposes of chapter 71 of such title 5; or
       (B) any such recognition has been revoked or otherwise 
     terminated as a result of a determination under subsection 
     (b)(1).
       (b) Provisions Relating to Bargaining Units.--
       (1) Limitation relating to appropriate units.--Each unit 
     which is recognized as an appropriate unit for purposes of 
     chapter 71 of title 5, United States Code, as of the day 
     before the effective date of this Act (and any subdivision of 
     any such unit) shall, if such unit (or subdivision) is 
     transferred to the Department pursuant to this Act, continue 
     to be so recognized for such purposes, unless--
       (A) the mission and responsibilities of such unit (or 
     subdivision) materially change; and
       (B) a majority of the employees within such unit (or 
     subdivision) have as their primary duty intelligence, 
     counterintelligence, or investigative work directly related 
     to terrorism investigation.
       (2) Limitation relating to positions or employees.--No 
     position or employee within a unit (or subdivision of a unit) 
     as to which continued recognition is given in accordance with 
     paragraph (1) shall be excluded from such unit (or 
     subdivision), for purposes of chapter 71 of such title 5, 
     unless the primary job duty of such position or employee--
       (A) materially changes; and
       (B) consists of intelligence, counterintelligence, or 
     investigative work directly related to terrorism 
     investigation.

     In the case of any positions within a unit (or subdivision) 
     which are first established on or after the effective date of 
     this Act and any employee first appointed on or after such 
     date, the preceding sentence shall be applied disregarding 
     subparagraph (A).
       (c) Homeland Security.--Subsection (a), (b), and (d) of 
     this section shall not apply in circumstances where the 
     President determines in writing that such application would 
     have a substantial adverse impact on the Department's ability 
     to protect homeland security. Whenever the President makes a 
     determination specified under this subsection, the President 
     shall notify the Senate and the House of Representatives of 
     the reasons for such determination not less than 10 days 
     prior to its issuance.
       (d) Coordination Rule.--No other provision of this Act or 
     of any amendment made by this Act may be construed or applied 
     in a manner so as to limit, supersede, or otherwise affect 
     the provisions of this section, except to the extent that it 
     does so by specific reference to this section.

     SEC. 732. ADVISORY COMMITTEES.

       The Secretary may establish, appoint members of, and use 
     the services of, advisory committees, as the Secretary may 
     deem necessary. An advisory committee established under this 
     section may be exempted by the Secretary from Public Law 92-
     463, but the Secretary shall publish notice in the Federal 
     Register announcing the establishment of such a committee and 
     identifying its purpose and membership. Notwithstanding the 
     preceding sentence, members of an advisory committee that is 
     exempted by the Secretary under the preceding sentence who 
     are special Government employees (as that term is defined in 
     section 202 of title 18, United States Code) shall be 
     eligible for certifications under subsection (b)(3) of 
     section 208 of title 18, United States Code, for official 
     actions taken as a member of such advisory committee.

     SEC. 733. ACQUISITIONS.

       (a) Research and Development Projects.--
       (1) In general.--When the Secretary carries out basic, 
     applied, and advanced research and development projects, he 
     may exercise the same authority (subject to the same 
     limitations and conditions) with respect to such research and 
     projects as the Secretary of Defense may exercise under 
     section 2371 of title 10, United States Code (except for 
     subsections (b) and (f)), after making a determination that 
     the use of a contract, grant, or cooperative agreement for 
     such project is not feasible or appropriate. The annual 
     report required under subsection (h) of such section, as 
     applied to the Secretary by this paragraph, shall be 
     submitted to the President of the Senate and the Speaker of 
     the House of Representatives.
       (2) Prototype projects.--The Secretary may, under the 
     authority of paragraph (1), carry out prototype projects in 
     accordance with the requirements and conditions provided for 
     carrying out prototype projects under section 845 of the 
     National Defense Authorization Act for Fiscal Year 1994 
     (Public Law 103-160). In applying the authorities of that 
     section 845, subsection (c) of that section shall apply with 
     respect to prototype projects under this paragraph, and the 
     Secretary shall perform the functions of the Secretary of 
     Defense under subsection (d) thereof.
       (b) Procurement of Temporary and Intermittent Services.--
     The Secretary may--
       (1) procure the temporary or intermittent services of 
     experts or consultants (or organizations thereof) in 
     accordance with section 3109(b) of title 5, United States 
     Code; and
       (2) whenever necessary due to an urgent homeland security 
     need, procure temporary (not to exceed 1 year) or 
     intermittent personal services, including the services of 
     experts or consultants (or organizations thereof), without 
     regard to the pay limitations of such section 3109.

     SEC. 734. REORGANIZATION AUTHORITY.

       (a) Reorganization Plan.--
       (1) In general.--Whenever the President determines that 
     changes in the organization of the Department are necessary 
     to carry out any policy set forth in this Act, the President 
     shall prepare a reorganization plan specifying the 
     reorganizations that the President determines are necessary. 
     Any such plan may provide for--
       (A) the transfer of the whole or a part of an agency, or of 
     the whole or a part of the functions thereof, to the 
     jurisdiction and control of the Department;

[[Page S9254]]

       (B) the transfer of the whole or a part of an agency, or of 
     the whole or a part of the functions thereof, from the 
     Department;
       (C) the abolition of all or a part of an agency within the 
     Department;
       (D) the creation of a new agency or a new part of an agency 
     within the Department; or
       (E) the consolidation or coordination of the whole or a 
     part of an agency within the Department, or of the whole or a 
     part of the functions thereof, with the whole or a part of 
     another agency within the Department.
       (2) Transmittal.--
       (A) In general.--The President shall transmit the 
     reorganization plan to Congress together with the declaration 
     that, with respect to each organization included in the plan, 
     the President has found that the reorganization is necessary 
     to carry out any policy set forth in this Act.
       (B) Timing.--The reorganization plan shall be delivered to 
     both Houses on the same day and to each House while it is in 
     session, except that no more than 2 plans may be pending 
     before Congress at 1 time.
       (3) Content.--
       (A) In general.--The transmittal message of the 
     reorganization plan shall--
       (i) specify with respect to each abolition of a function 
     included in the plan the statutory authority for the exercise 
     of the function;
       (ii) include an estimate of any reduction or increase in 
     expenditures (itemized so far as practicable);
       (iii) include detailed information addressing the impacts 
     of the reorganization on the employees of any agency affected 
     by the plan, and what steps will be taken to mitigate any 
     impacts of the plan on the employees of the agency;
       (iv) describe any improvements in management, delivery of 
     Federal services, execution of the laws, and increases in 
     efficiency of Government operations, which it is expected 
     will be realized as a result of the reorganizations included 
     in the plan; and
       (v) in the case of a transfer to or from the Department, 
     address the impact of the proposed transfer on the ability of 
     the affected agency to carry out its other functions and to 
     accomplish its missions.
       (B) Implementation.--In addition, the transmittal message 
     shall include an implementation section which shall--
       (i) describe in detail--

       (I) the actions necessary or planned to complete the 
     reorganization; and
       (II) the anticipated nature and substance of any orders, 
     directives, and other administrative and operations actions 
     which are expected to be required for completing or 
     implementing the reorganization; and

       (ii) contain a projected timetable for completion of the 
     implementation process.
       (C) Background information.--The President shall also 
     submit such further background or other information as 
     Congress may require for its consideration of the plan.
       (4) Amendments to plan.--Any time during the period of 60 
     calendar days of continuous session of Congress after the 
     date on which the plan is transmitted to it, but before any 
     resolution has been ordered reported in either House, the 
     President, or the designee of the President, may make 
     amendments or modifications to the plan, which modifications 
     or revisions shall thereafter be treated as a part of the 
     reorganization plan originally transmitted and shall not 
     affect in any way the time limits otherwise provided for in 
     this section. The President, or the designee of the 
     President, may withdraw the plan any time prior to the 
     conclusion of 90 calendar days of continuous session of 
     Congress following the date on which the plan is submitted to 
     Congress.
       (b) Additional Contents of Reorganization Plan.--A 
     reorganization plan--
       (1) may change the name of an agency affected by a 
     reorganization and the title of its head, and shall designate 
     the name of an agency resulting from a reorganization and the 
     title of its head;
       (2) may provide for the appointment and pay of the head and 
     1 or more officers of any agency (including an agency 
     resulting from a consolidation or other type of 
     reorganization) if the message transmitting the plan 
     declares, that by reason of a reorganization made by the plan 
     the provisions are necessary;
       (3) shall provide for the transfer or other disposition of 
     the records, property, and personnel affected by a 
     reorganization;
       (4) shall provide for the transfer of such unexpended 
     balances of appropriations, and of other funds, available for 
     use in connection with a function or agency affected by a 
     reorganization, as necessary by reason of the reorganization 
     for use in connection with the functions affected by the 
     reorganization, or for the use of the agency which shall have 
     the functions after the reorganization plan is effective; and
       (5) shall provide for terminating the affairs of an agency 
     abolished.

     A reorganization plan containing provisions authorized by 
     paragraph (2) may provide that the head of an agency be an 
     individual or a commission or board with more than 1 member. 
     In the case of an appointment of the head of such an agency, 
     the term of office may not be fixed at more than 4 years, the 
     pay may not be at a rate in excess of that found to be 
     applicable to comparable officers in the executive branch, by 
     and with the advice and consent of the Senate. Any 
     reorganization plan containing provisions required by 
     paragraph (4) shall provide for the transfer of unexpended 
     balances only if such balances are used for the purposes for 
     which the appropriation was originally made.
       (c) Effective Date and Publication of Reorganization 
     Plans.--
       (1) Effective date.--Except as provided under paragraph 
     (3), a reorganization plan shall be effective upon approval 
     by the President of a resolution (as defined in subsection 
     (f)) with respect to such plan, only if such resolution is 
     passed by the House of Representatives and the Senate, within 
     the first period of 90 calendar days of continuous session of 
     Congress after the date on which the plan is transmitted to 
     Congress.
       (2) Session of congress.--For the purpose of this chapter--
       (A) continuity of session is broken only by an adjournment 
     of Congress sine die; and
       (B) the days on which either House is not in session 
     because of an adjournment of more than 3 days to a day 
     certain are excluded in the computation of any period of time 
     in which Congress is in continuous session.
       (3) Later effective date.--Under provisions contained in a 
     reorganization plan, any provision thereof may be effective 
     at a time later than the date on which the plan otherwise is 
     effective.
       (4) Publication of plan.--A reorganization plan which is 
     effective shall be printed--
       (A) in the Statutes at Large in the same volume as the 
     public laws; and
       (B) in the Federal Register.
       (d) Effect On Other Laws; Pending Legal Proceedings.--
       (1) Effect on laws.--
       (A) Definition.--In this paragraph, the term ``regulation 
     or other action'' means a regulation, rule, order, policy, 
     determination, directive, authorization, permit, privilege, 
     requirement, designation, or other action.
       (B) Effect.--A statute enacted, and a regulation or other 
     action made, prescribed, issued, granted, or performed in 
     respect of or by an agency or function affected by a 
     reorganization under this section, before the effective date 
     of the reorganization, has, except to the extent rescinded, 
     modified, superseded, or made inapplicable by or under 
     authority of law or by the abolition of a function, the same 
     effect as if the reorganization had not been made. However, 
     if the statute, regulation, or other action has vested the 
     functions in the agency from which it is removed under the 
     reorganization plan, the function, insofar as it is to be 
     exercised after the plan becomes effective, shall be deemed 
     as vested in the agency under which the function is placed in 
     the plan.
       (2) Pending legal proceedings.--A suit, action, or other 
     proceeding lawfully commenced by or against the head of an 
     agency or other officer of the United States, in the 
     officer's official capacity or in relation to the discharge 
     of the officer's official duties, does not abate by reason of 
     the taking effect of a reorganization plan under this 
     section. On motion or supplemental petition filed at any time 
     within 12 months after the reorganization plan takes effect, 
     showing a necessity for a survival of the suit, action, or 
     other proceeding to obtain a settlement of the questions 
     involved, the court may allow the suit, action, or other 
     proceeding to be maintained by or against the successor of 
     the head or officer under the reorganization effected by the 
     plan or, if there is no successor, against such agency or 
     officer as the President designates.
       (e) Rules of Senate and House of Representatives On 
     Reorganization Plans.--Subsections (f) through (i) are 
     enacted by Congress--
       (1) as an exercise of the rulemaking power of the Senate 
     and the House of Representatives, respectively, and as such 
     they are deemed a part of the rules of each House, 
     respectively, but applicable only with respect to the 
     procedure to be followed in that House in the case of 
     resolutions with respect to any reorganization plans 
     transmitted to Congress (in accordance with subsection (a)(3) 
     of this section); and they supersede other rules only to the 
     extent that they are inconsistent therewith; and
       (2) with the full recognition of the constitutional right 
     of either House to change the rules (so far as relating to 
     the procedure of that House) at any time, in the same manner 
     and to the same extent as in the case of any other rule of 
     that House.
       (f) Terms of Resolution.--For the purposes of subsections 
     (e) through (i), ``resolution'' means only a joint resolution 
     of Congress, the matter after the resolving clause of which 
     is as follows: ``That Congress approves the reorganization 
     plan transmitted to Congress by the President on 
     ____________, 20____.'', and includes such modifications and 
     revisions as are submitted by the President under subsection 
     (a)(4). The blank spaces therein are to be filled 
     appropriately. The term does not include a resolution which 
     specifies more than 1 reorganization plan.
       (g) Introduction and Reference of Resolution.--
       (1) Introduction.--No later than the first day of session 
     following the day on which a reorganization plan is 
     transmitted to the House of Representatives and the Senate 
     under subsection (a), a resolution, as defined in subsection 
     (f), shall be--
       (A) introduced (by request) in the House by the chairman of 
     the Government Reform Committee of the House, or by a Member 
     or Members of the House designated by such chairman; and
       (B) introduced (by request) in the Senate by the chairman 
     of the Governmental Affairs Committee of the Senate, or by a 
     Member or Members of the Senate designated by such chairman.

[[Page S9255]]

       (2) Referral.--A resolution with respect to a 
     reorganization plan shall be referred to the Committee on 
     Governmental Affairs of the Senate and the Committee on 
     Government Reform of the House (and all resolutions with 
     respect to the same plan shall be referred to the same 
     committee) by the President of the Senate or the Speaker of 
     the House of Representatives, as the case may be. The 
     committee shall make its recommendations to the House of 
     Representatives or the Senate, respectively, within 75 
     calendar days of continuous session of Congress following the 
     date of such resolution's introduction.
       (h) Discharge of Committee Considering Resolution.--If the 
     committee to which is referred a resolution introduced 
     pursuant to subsection (g)(1) has not reported such a 
     resolution or identical resolution at the end of 75 calendar 
     days of continuous session of Congress after its 
     introduction, such committee shall be deemed to be discharged 
     from further consideration of such resolution and such 
     resolution shall be placed on the appropriate calendar of the 
     House involved.
       (i) Procedure After Report or Discharge of Committees; 
     Debate; Vote on Final Passage.--
       (1) Procedure.--When the committee has reported, or has 
     been deemed to be discharged (under subsection (h)) from 
     further consideration of, a resolution with respect to a 
     reorganization plan, it is at any time thereafter in order 
     (even though a previous motion to the same effect has been 
     disagreed to) for any Member of the respective House to move 
     to proceed to the consideration of the resolution. The motion 
     is highly privileged and is not debatable. The motion shall 
     not be subject to amendment, or to any motion to postpone, or 
     a motion to proceed to the consideration of other business. A 
     motion to reconsider the vote by which the motion is agreed 
     to or disagreed to shall not be in order. If a motion to 
     proceed to the consideration of the resolution is agreed to, 
     the resolution shall remain the unfinished business of the 
     respective House until disposed of.
       (2) Debate.--Debate on the resolution, and on all debatable 
     motions and appeals in connection therewith, shall be limited 
     to not more than 10 hours, which shall be divided equally 
     between individuals favoring and individuals opposing the 
     resolution. A motion further to limit debate is in order and 
     not debatable. An amendment to, or a motion to recommit the 
     resolution is not in order. A motion to reconsider the vote 
     by which the resolution is passed or rejected shall not be in 
     order.
       (3) Vote on final passage.--Immediately following the 
     conclusion of the debate on the resolution with respect to a 
     reorganization plan, and a single quorum call at the 
     conclusion of the debate if requested in accordance with the 
     rules of the appropriate House, the vote on final passage of 
     the resolution shall occur.
       (4) Appeals.--Appeals from the decisions of the Chair 
     relating to the application of the rules of the Senate or the 
     House of Representatives, as the case may be, to the 
     procedure relating to a resolution with respect to a 
     reorganization plan shall be decided without debate.
       (5) Prior passage.--If, prior to the passage by 1 House of 
     a resolution of that House, that House receives a resolution 
     with respect to the same reorganization plan from the other 
     House, then--
       (A) the procedure in that House shall be the same as if no 
     resolution had been received from the other House; but
       (B) the vote on final passage shall be on the resolution of 
     the other House.

     SEC. 735. MISCELLANEOUS PROVISIONS.

       (a) Seal.--The Department shall have a seal, whose design 
     is subject to the approval of the President.
       (b) Participation of Members of the Armed Forces.--With 
     respect to the Department, the Secretary shall have the same 
     authorities that the Secretary of Transportation has with 
     respect to the Department of Transportation under section 324 
     of title 49, United States Code.
       (c) Redelegation of Functions.--Unless otherwise provided 
     in the delegation or by law, any function delegated under 
     this Act may be redelegated to any subordinate.

     SEC. 736. AUTHORIZATION OF APPROPRIATIONS.

       There are authorized to be appropriated such sums as may be 
     necessary to carry out the provisions of this Act.

     SEC. 737. REGULATORY AUTHORITY.

       Except as specifically provided in this Act, this Act vests 
     in the Secretary or any other Federal official, and transfers 
     to the Secretary or another Federal official only such 
     regulatory authority as exists on the date of enactment of 
     this Act within any agency, program, or function transferred 
     to the Department pursuant to this Act, or that on such date 
     of enactment is exercised by another official of the 
     executive branch with respect to such agency, program, or 
     function. Any such transferred authority may not be exercised 
     by an official from whom it is transferred upon transfer of 
     such agency, program, or function to the Secretary or another 
     Federal official pursuant to this Act. This Act does not 
     alter or diminish the regulatory authority of any other 
     executive agency, except to the extent that this Act 
     transfers such authority from the agency.

     SEC. 738. USE OF APPROPRIATED FUNDS.

       (a) Applicability of This Section.--Notwithstanding any 
     other provision of this Act or any other law, this section 
     shall apply to the use of any funds, disposal of property, 
     and acceptance, use, and disposal of gifts, or donations of 
     services or property, of, for, or by the Department, 
     including any agencies, entities, or other organizations 
     transferred to the Department under this Act.
       (b) Authorization of Appropriations To Create Department.--
     There is authorized to be appropriated $160,000,000 for the 
     Office of Homeland Security in the Executive Office of the 
     President to be transferred without delay to the Department 
     upon its creation by enactment of this Act, notwithstanding 
     subsection (c)(1)(C) such funds shall be available only for 
     the payment of necessary salaries and expenses associated 
     with the initiation of operations of the Department.
       (c) Use of Transferred Funds.--
       (1) In general.--Except as may be provided in this 
     subsection or in an appropriations Act in accordance with 
     subsection (e), balances of appropriations and any other 
     funds or assets transferred under this Act--
       (A) shall be available only for the purposes for which they 
     were originally available;
       (B) shall remain subject to the same conditions and 
     limitations provided by the law originally appropriating or 
     otherwise making available the amount, including limitations 
     and notification requirements related to the reprogramming of 
     appropriated funds; and
       (C) shall not be used to fund any new position established 
     under this Act.
       (2) Transfer of funds.--
       (A) In general.--After the creation of the Department and 
     the swearing in of its Secretary, and upon determination by 
     the Secretary that such action is necessary in the national 
     interest, the Secretary is authorized to transfer, with the 
     approval of the Office of Management and Budget, not to 
     exceed $140,000,000 of unobligated funds from organizations 
     and entities transferred to the new Department by this Act.
       (B) Limitation.--Notwithstanding paragraph (1)(C), funds 
     authorized to be transferred by subparagraph 2(A) shall be 
     available only for payment of necessary costs, including 
     funding of new positions, for the initiation of operations of 
     the Department and may not be transferred unless the 
     Committees on Appropriations are notified at least 15 days in 
     advance of any proposed transfer and have approved such 
     transfer in advance.
       (C) Notification.--The notification required in 
     subparagraph 2(B) shall include a detailed justification of 
     the purposes for which the funds are to be used and a 
     detailed statement of the impact on the program or 
     organization that is the source of the funds, and shall be 
     submitted in accordance with reprogramming procedures to be 
     established by the Committees on Appropriations.
       (D) Use for other items.--The authority to transfer funds 
     established in this section may not be used unless for higher 
     priority items, based on demonstrated homeland security 
     requirements, than those for which funds originally were 
     appropriated and in no case where the item for which funds 
     are requested has been denied by Congress.
       (d) Notification Regarding Transfers.--The President shall 
     notify Congress not less than 15 days before any transfer of 
     appropriations balances, other funds, or assets under this 
     Act.
       (e) Additional Uses of Funds During Transition.--Subject to 
     subsections (c) and (d), amounts transferred to, or otherwise 
     made available to, the Department may be used during the 
     transition period, as defined in section 801(2), for purposes 
     in addition to those for which such amounts were originally 
     available (including by transfer among accounts of the 
     Department), but only to the extent such transfer or use is 
     specifically permitted in advance in an appropriations Act 
     and only under the conditions and for the purposes specified 
     in such appropriations Act.
       (f) Disposal of Property.--
       (1) Strict compliance.--If specifically authorized to 
     dispose of real property in this or any other Act, the 
     Secretary shall exercise this authority in strict compliance 
     with section 204 of the Federal Property and Administrative 
     Services Act of 1949 (40 U.S.C. 485).
       (2) Deposit of proceeds.--The Secretary shall deposit the 
     proceeds of any exercise of property disposal authority into 
     the miscellaneous receipts of the Treasury in accordance with 
     section 3302(b) of title 31, United States Code.
       (g) Gifts.--Gifts or donations of services or property of 
     or for the Department may not be accepted, used, or disposed 
     of unless specifically permitted in advance in an 
     appropriations Act and only under the conditions and for the 
     purposes specified in such appropriations Act.
       (h) Budget Request.--Under section 1105 of title 31, United 
     States Code, the President shall submit to Congress a 
     detailed budget request for the Department for fiscal year 
     2004, and for each subsequent fiscal year.

     SEC. 739. FUTURE YEARS HOMELAND SECURITY PROGRAM.

       (a) In General.--Each budget request submitted to Congress 
     for the Department under section 1105 of title 31, United 
     States Code, shall, at or about the same time, be accompanied 
     by a Future Years Homeland Security Program.
       (b) Contents.--The Future Years Homeland Security Program 
     under subsection (a) shall be structured, and include the 
     same type of information and level of detail, as

[[Page S9256]]

     the Future Years Defense Program submitted to Congress by the 
     Department of Defense under section 221 of title 10, United 
     States Code.
       (c) Effective Date.--This section shall take effect with 
     respect to the preparation and submission of the fiscal year 
     2005 budget request for the Department and for any subsequent 
     fiscal year, except that the first Future Years Homeland 
     Security Program shall be submitted not later than 90 days 
     after the Department's fiscal year 2005 budget request is 
     submitted to Congress.

     SEC. 739A. BIOTERRORISM PREPAREDNESS AND RESPONSE DIVISION.

       Section 319D of the Public Health Service Act (42 U.S.C. 
     2472-4) is amended--
       (1) by redesignating subsection (c) as subsection (d); and
       (2) by inserting after subsection (b), the following:
       ``(c) Bioterrorism Preparedness and Response Division.--
       ``(1) Establishment.--There is established within the 
     Office of the Director of the Centers for Disease Control and 
     Prevention a Bioterrorism Preparedness and Response Division 
     (in this subsection referred to as the `Division').
       ``(2) Mission.--The Division shall have the following 
     primary missions:
       ``(A) To lead and coordinate the activities and 
     responsibilities of the Centers for Disease Control and 
     Prevention with respect to countering bioterrorism.
       ``(B) To coordinate and facilitate the interaction of 
     Centers for Disease Control and Prevention personnel with 
     personnel from the Department of Homeland Security and, in so 
     doing, serve as a major contact point for 2-way 
     communications between the jurisdictions of homeland security 
     and public health.
       ``(C) To train and employ a cadre of public health 
     personnel who are dedicated full-time to the countering of 
     bioterrorism.
       ``(3) Responsibilities.--In carrying out the mission under 
     paragraph (2), the Division shall assume the responsibilities 
     of and budget authority for the Centers for Disease Control 
     and Prevention with respect to the following programs:
       ``(A) The Bioterrorism Preparedness and Response Program.
       ``(B) The Strategic National Stockpile.
       ``(C) Such other programs and responsibilities as may be 
     assigned to the Division by the Director of the Centers for 
     Disease Control and Prevention.
       ``(4) Director.--There shall be in the Division a Director, 
     who shall be appointed by the Director of the Centers for 
     Disease Control and Prevention, in consultation with the 
     Secretary of Health and Human Services and the Secretary of 
     Homeland Security.
       ``(5) Staffing.--Under agreements reached between the 
     Director of the Centers for Disease Control and Prevention 
     and the Secretary of Homeland Security--
       ``(A) the Division may be staffed, in part, by personnel 
     assigned from the Department of Homeland Security by the 
     Secretary of Homeland Security; and
       ``(B) the Director of the Centers for Disease Control and 
     Prevention may assign some personnel from the Division to the 
     Department of Homeland Security.''.

     SEC. 739B. COORDINATION WITH THE DEPARTMENT OF HEALTH AND 
                   HUMAN SERVICES UNDER THE PUBLIC HEALTH SERVICE 
                   ACT.

       (a) In General.--The annual Federal response plan developed 
     by the Secretary under sections 102(b)(14) and 134(b)(7) 
     shall be consistent with section 319 of the Public Health 
     Service Act (42 U.S.C. 247d).
       (b) Disclosures Among Relevant Agencies.--
       (1) In general.--Full disclosure among relevant agencies 
     shall be made in accordance with this subsection.
       (2) Public health emergency.--During the period in which 
     the Secretary of Health and Human Services has declared the 
     existence of a public health emergency under section 319(a) 
     of the Public Health Service Act (42 U.S.C. 247d(a)), the 
     Secretary of Health and Human Services shall keep relevant 
     agencies, including the Department of Homeland Security, the 
     Department of Justice, and the Federal Bureau of 
     Investigation, fully and currently informed.
       (3) Potential public health emergency.--In cases involving, 
     or potentially involving, a public health emergency, but in 
     which no determination of an emergency by the Secretary of 
     Health and Human Services under section 319(a) of the Public 
     Health Service Act (42 U.S.C. 247d(a)), has been made, all 
     relevant agencies, including the Department of Homeland 
     Security, the Department of Justice, and the Federal Bureau 
     of Investigation, shall keep the Secretary of Health and 
     Human Services and the Director of the Centers for Disease 
     Control and Prevention fully and currently informed.

Subtitle E--Risk Sharing and Indemnification for Contractors Supplying 
                 Anti-Terrorism Technology and Services

     SEC. 741. APPLICATION OF INDEMNIFICATION AUTHORITY.

       (a) In General.--The President may exercise the 
     discretionary authority to indemnify contractors and 
     subcontractors under Public Law 85-804 (50 U.S.C. 1431 et 
     seq.) for a procurement of an anti-terrorism technology or an 
     anti-terrorism service for the purpose of preventing, 
     detecting, identifying, otherwise deterring, or recovering 
     from acts of terrorism.
       (b) Exercise of Authority.--In exercising the authority 
     under subsection (a), the President may include, among other 
     things--
       (1) economic damages not fully covered by private liability 
     insurance within the scope of the losses or damages of the 
     indemnification coverage;
       (2) a requirement that an indemnification provision 
     included in a contract or subcontract be negotiated prior to 
     the commencement of the performance of the contract;
       (3) the coverage of information technology used to prevent, 
     detect, identify, otherwise deter, or recover from acts of 
     terrorism; and
       (4) the coverage of the United States Postal Service.

     SEC. 742. APPLICATION OF INDEMNIFICATION AUTHORITY TO STATE 
                   AND LOCAL GOVERNMENT CONTRACTORS.

       (a) In General.--Subject to the limitations of subsection 
     (b), the President may exercise the discretionary authority 
     to indemnify contractors and subcontractors under Public Law 
     85-804 (50 U.S.C. 1431 et seq.) for a procurement by a State 
     or unit of local government of an anti-terrorism technology 
     or an anti-terrorism service for the purpose of preventing, 
     detecting, identifying, otherwise deterring, or recovering 
     from acts of terrorism.
       (b) Exercise of Authority.--The authority of subsection (a) 
     may be exercised only--
       (1) for procurements of a State or unit of local government 
     that are made by the Secretary under contracts awarded by the 
     Secretary pursuant to the authorities of section 743;
       (2) with written approval from the Secretary, or any other 
     official designated by the President, for each procurement in 
     which indemnification is to be provided; and
       (3) with respect to--
       (A) amounts of losses or damages not fully covered by 
     private liability insurance and State or local government-
     provided indemnification; and
       (B) liabilities arising out of other than the contractor's 
     willful misconduct or lack of good faith.

     SEC. 743. PROCUREMENTS OF ANTI-TERRORISM TECHNOLOGIES AND 
                   ANTI-TERRORISM SERVICES BY STATE AND LOCAL 
                   GOVERNMENTS THROUGH FEDERAL CONTRACTS.

       (a) In General.--
       (1) Establishment of program.--The Secretary shall 
     establish a program under which States and units of local 
     government may procure through contracts entered into by the 
     Secretary anti-terrorism technology or an anti-terrorism 
     service for the purpose of preventing, detecting, 
     identifying, otherwise deterring, or recovering from acts of 
     terrorism.
       (2) Authorities.--For the sole purposes of this program, 
     the Secretary may, but shall not be required to, award 
     contracts using the same authorities provided to the 
     Administrator of General Services under section 309(b)(3) of 
     the Federal Property and Administrative Services Act, 41 
     U.S.C. 259(b)(3).
       (3) Offers not required to state and local governments.--A 
     contractor that sells anti-terrorism technology or anti-
     terrorism services to the Federal Government shall not be 
     required to offer such technology or services to a State or 
     unit of local government.
       (b) Responsibilities of the Secretary.--In carrying out the 
     program established by this section, the Secretary shall--
       (1) produce and maintain a catalog of anti-terrorism 
     technologies and anti-terrorism services suitable for 
     procurement by States and units of local government under 
     this program; and
       (2) establish procedures in accordance with subsection (c) 
     to address the procurement of anti-terrorism technologies and 
     anti-terrorism services by States and units of local 
     government under contracts awarded by the Secretary.
       (c) Required Procedures.--The procedures required by 
     subsection (b)(2) shall implement the following requirements 
     and authorities:
       (1) Submissions by states.--
       (A) In general.--Except as provided in subparagraph (B), 
     each State desiring to participate in a procurement of anti-
     terrorism technologies or anti-terrorism services through a 
     contract entered into by the Secretary shall submit to the 
     Secretary in such form and manner and at such times as the 
     Secretary prescribes, the following:
       (i) Request.--A request consisting of an enumeration of the 
     technologies or services, respectively, that are desired by 
     the State and units of local government within the State.
       (ii) Payment.--Advance payment for each requested 
     technology or service in an amount determined by the 
     Secretary based on estimated or actual costs of the 
     technology or service and administrative costs incurred by 
     the Secretary.
       (B) Award by secretary.--The Secretary may award and 
     designate contracts under which States and units of local 
     government may procure anti-terrorism technologies and anti-
     terrorism services directly from the contract holders. No 
     indemnification may be provided under the authorities set 
     forth in section 742 for procurements that are made directly 
     between contractors and States or units of local government.
       (2) Permitted catalog technologies and services.--A State 
     may include in a request submitted under paragraph (1) only a 
     technology or service listed in the catalog produced under 
     subsection (b)(1).
       (3) Coordination of local requests within state.--The 
     Governor of a State (or the

[[Page S9257]]

     Mayor of the District of Columbia) may establish such 
     procedures as the Governor (or the Mayor of the District of 
     Columbia) considers appropriate for administering and 
     coordinating requests for anti-terrorism technologies or 
     anti-terrorism services from units of local government within 
     the State.
       (4) Shipment and transportation costs.--A State requesting 
     anti-terrorism technologies or anti-terrorism services shall 
     be responsible for arranging and paying for any shipment or 
     transportation costs necessary to deliver the technologies or 
     services, respectively, to the State and localities within 
     the State.
       (d) Reimbursement of Actual Costs.--In the case of a 
     procurement made by or for a State or unit of local 
     government under the procedures established under this 
     section, the Secretary shall require the State or unit of 
     local government to reimburse the Department for the actual 
     costs it has incurred for such procurement.
       (e) Time for Implementation.--The catalog and procedures 
     required by subsection (b) of this section shall be completed 
     as soon as practicable and no later than 210 days after the 
     enactment of this Act.

     SEC. 744. CONGRESSIONAL NOTIFICATION.

       (a) In General.--Notwithstanding any other law, a Federal 
     agency shall, when exercising the discretionary authority of 
     Public Law 85-804, as amended by section 742, to indemnify 
     contractors and subcontractors, provide written notification 
     to the Committees identified in subsection (b) within 30 days 
     after a contract clause is executed to provide 
     indemnification.
       (b) Submission.--The notification required by subsection 
     (a) shall be submitted to--
       (1) the Appropriations Committees of the Senate and House;
       (2) the Armed Services Committees of the Senate and House;
       (3) the Senate Governmental Affairs Committee; and
       (4) the House Government Reform Committee.

     SEC. 745. DEFINITIONS.

       In this subtitle:
       (1) Anti-terrorism technology and service.--The terms 
     ``anti-terrorism technology'' and ``anti-terrorism service'' 
     mean any product, equipment, or device, including information 
     technology, and any service, system integration, or other 
     kind of service (including a support service), respectively, 
     that is related to technology and is designed, developed, 
     modified, or procured for the purpose of preventing, 
     detecting, identifying, otherwise deterring, or recovering 
     from acts of terrorism.
       (2) Act of terrorism.--The term ``act of terrorism'' means 
     a calculated attack or threat of attack against any person, 
     property, or infrastructure to inculcate fear, or to 
     intimidate or coerce a government, the civilian population, 
     or any segment thereof, in the pursuit of political, 
     religious, or ideological objectives.
       (3) Information technology.--The term ``information 
     technology'' has the meaning such term in section 11101(6) of 
     title 40, United States Code.
       (4) State.--The term ``State'' includes the District of 
     Columbia, the Commonwealth of Puerto Rico, the Commonwealth 
     of the Northern Mariana Islands, and any territory or 
     possession of the United States.
       (5) Unit of local government.--The term ``unit of local 
     government'' means any city, county, township, town, borough, 
     parish, village, or other general purpose political 
     subdivision of a State; an Indian tribe which performs law 
     enforcement functions as determined by the Secretary of the 
     Interior; or any agency of the District of Columbia 
     Government or the United States Government performing law 
     enforcement functions in and for the District of Columbia or 
     the Trust Territory of the Pacific Islands.

         Subtitle F--Federal Emergency Procurement Flexibility

     SEC. 751. DEFINITION.

       In this title, the term ``executive agency'' has the 
     meaning given that term under section 4(1) of the Office of 
     Federal Procurement Policy Act (41 U.S.C. 403(1)).

     SEC. 752. PROCUREMENTS FOR DEFENSE AGAINST OR RECOVERY FROM 
                   TERRORISM OR NUCLEAR, BIOLOGICAL, CHEMICAL, OR 
                   RADIOLOGICAL ATTACK.

       The authorities provided in this subtitle apply to any 
     procurement of property or services by or for an executive 
     agency that, as determined by the head of the executive 
     agency, are to be used to facilitate defense against or 
     recovery from terrorism or nuclear, biological, chemical, or 
     radiological attack, but only if a solicitation of offers for 
     the procurement is issued during the 1-year period beginning 
     on the date of the enactment of this Act.

     SEC. 753. INCREASED SIMPLIFIED ACQUISITION THRESHOLD FOR 
                   PROCUREMENTS IN SUPPORT OF HUMANITARIAN OR 
                   PEACEKEEPING OPERATIONS OR CONTINGENCY 
                   OPERATIONS.

       (a) Temporary Threshold Amounts.--For a procurement 
     referred to in section 752 that is carried out in support of 
     a humanitarian or peacekeeping operation or a contingency 
     operation, the simplified acquisition threshold definitions 
     shall be applied as if the amount determined under the 
     exception provided for such an operation in those definitions 
     were--
       (1) in the case of a contract to be awarded and performed, 
     or purchase to be made, inside the United States, $250,000; 
     or
       (2) in the case of a contract to be awarded and performed, 
     or purchase to be made, outside the United States, $500,000.
       (b) Simplified Acquisition Threshold Definitions.--In this 
     section, the term ``simplified acquisition threshold 
     definitions'' means the following:
       (1) Section 4(11) of the Office of Federal Procurement 
     Policy Act (41 U.S.C. 403(11)).
       (2) Section 309(d) of the Federal Property and 
     Administrative Services Act of 1949 (41 U.S.C. 259(d)).
       (3) Section 2302(7) of title 10, United States Code.
       (c) Small Business Reserve.--For a procurement carried out 
     pursuant to subsection (a), section 15(j) of the Small 
     Business Act (15 U.S.C. 644(j)) shall be applied as if the 
     maximum anticipated value identified therein is equal to the 
     amounts referred to in subsection (a).

     SEC. 754. INCREASED MICRO-PURCHASE THRESHOLD FOR CERTAIN 
                   PROCUREMENTS.

       In the administration of section 32 of the Office of 
     Federal Procurement Policy Act (41 U.S.C. 428) with respect 
     to a procurement referred to in section 752, the amount 
     specified in subsections (c), (d), and (f) of such section 32 
     shall be deemed to be $10,000.

     SEC. 755. APPLICATION OF CERTAIN COMMERCIAL ITEMS AUTHORITIES 
                   TO CERTAIN PROCUREMENTS.

       (a) Authority.--
       (1) In general.--The head of an executive agency may apply 
     the provisions of law listed in paragraph (2) to a 
     procurement referred to in section 752 without regard to 
     whether the property or services are commercial items.
       (2) Commercial item laws.--The provisions of law referred 
     to in paragraph (1) are as follows:
       (A) Sections 31 and 34 of the Office of Federal Procurement 
     Policy Act (41 U.S.C. 427, 430).
       (B) Section 2304(g) of title 10, United States Code.
       (C) Section 303(g) of the Federal Property and 
     Administrative Services Act of 1949 (41 U.S.C. 253(g)).
       (b) Inapplicability of Limitation on Use of Simplified 
     Acquisition Procedures.--
       (1) In general.--The $5,000,000 limitation provided in 
     section 31(a)(2) of the Office of Federal Procurement Policy 
     Act (41 U.S.C. 427(a)(2)), section 2304(g)(1)(B) of title 10, 
     United States Code, and section 303(g)(1)(B) of the Federal 
     Property and Administrative Services Act of 1949 (41 U.S.C. 
     253(g)(1)(B)) shall not apply to purchases of property or 
     services to which any of the provisions of law referred to in 
     subsection (a) are applied under the authority of this 
     section.
       (2) OMB guidance.--The Director of the Office of Management 
     and Budget shall issue guidance and procedures for the use of 
     simplified acquisition procedures for a purchase of property 
     or services in excess of $5,000,000 under the authority of 
     this section.
       (c) Continuation of Authority for Simplified Purchase 
     Procedures.--Authority under a provision of law referred to 
     in subsection (a)(2) that expires under section 4202(e) of 
     the Clinger-Cohen Act of 1996 (divisions D and E of Public 
     Law 104-106; 10 U.S.C. 2304 note) shall, notwithstanding such 
     section, continue to apply for use by the head of an 
     executive agency as provided in subsections (a) and (b).

     SEC. 756. USE OF STREAMLINED PROCEDURES.

       (a) Required Use.--The head of an executive agency shall, 
     when appropriate, use streamlined acquisition authorities and 
     procedures authorized by law for a procurement referred to in 
     section 752, including authorities and procedures that are 
     provided under the following provisions of law:
       (1) Federal property and administrative services act of 
     1949.--In title III of the Federal Property and 
     Administrative Services Act of 1949:
       (A) Paragraphs (1), (2), (6), and (7) of subsection (c) of 
     section 303 (41 U.S.C. 253), relating to use of procedures 
     other than competitive procedures under certain circumstances 
     (subject to subsection (e) of such section).
       (B) Section 303J (41 U.S.C. 253j), relating to orders under 
     task and delivery order contracts.
       (2) Title 10, united states code.--In chapter 137 of title 
     10, United States Code:
       (A) Paragraphs (1), (2), (6), and (7) of subsection (c) of 
     section 2304, relating to use of procedures other than 
     competitive procedures under certain circumstances (subject 
     to subsection (e) of such section).
       (B) Section 2304c, relating to orders under task and 
     delivery order contracts.
       (3) Office of federal procurement policy act.--Paragraphs 
     (1)(B), (1)(D), and (2) of section 18(c) of the Office of 
     Federal Procurement Policy Act (41 U.S.C. 416(c)), relating 
     to inapplicability of a requirement for procurement notice.
       (b) Waiver of Certain Small Business Threshold 
     Requirements.--Subclause (II) of section 8(a)(1)(D)(i) of the 
     Small Business Act (15 U.S.C. 637(a)(1)(D)(i)) and clause 
     (ii) of section 31(b)(2)(A) of such Act (15 U.S.C. 
     657a(b)(2)(A)) shall not apply in the use of streamlined 
     acquisition authorities and procedures referred to in 
     paragraphs (1)(A) and (2)(A) of subsection (a) for a 
     procurement referred to in section 752.

     SEC. 757. REVIEW AND REPORT BY COMPTROLLER GENERAL.

       (a) Requirements.--Not later than March 31, 2004, the 
     Comptroller General shall--
       (1) complete a review of the extent to which procurements 
     of property and services have been made in accordance with 
     this subtitle; and

[[Page S9258]]

       (2) submit a report on the results of the review to the 
     Committee on Governmental Affairs of the Senate and the 
     Committee on Government Reform of the House of 
     Representatives.
       (b) Content of Report.--The report under subsection (a)(2) 
     shall include the following matters:
       (1) Assessment.--The Comptroller General's assessment of--
       (A) the extent to which property and services procured in 
     accordance with this title have contributed to the capacity 
     of the workforce of Federal Government employees within each 
     executive agency to carry out the mission of the executive 
     agency; and
       (B) the extent to which Federal Government employees have 
     been trained on the use of technology.
       (2) Recommendations.--Any recommendations of the 
     Comptroller General resulting from the assessment described 
     in paragraph (1).
       (c) Consultation.--In preparing for the review under 
     subsection (a)(1), the Comptroller shall consult with the 
     Committee on Governmental Affairs of the Senate and the 
     Committee on Government Reform of the House of 
     Representatives on the specific issues and topics to be 
     reviewed. The extent of coverage needed in areas such as 
     technology integration, employee training, and human capital 
     management, as well as the data requirements of the study, 
     shall be included as part of the consultation.

     SEC. 758. IDENTIFICATION OF NEW ENTRANTS INTO THE FEDERAL 
                   MARKETPLACE.

       The head of each executive agency shall conduct market 
     research on an ongoing basis to identify effectively the 
     capabilities, including the capabilities of small businesses 
     and new entrants into Federal contracting, that are available 
     in the marketplace for meeting the requirements of the 
     executive agency in furtherance of defense against or 
     recovery from terrorism or nuclear, biological, chemical, or 
     radiological attack. The head of the executive agency shall, 
     to the maximum extent practicable, take advantage of 
     commercially available market research methods, including use 
     of commercial databases, to carry out the research.

                        Subtitle G--Coast Guard

     SEC. 761. PRESERVING COAST GUARD MISSION PERFORMANCE.

       (a) Definitions.--In this section:
       (1) Non-homeland security missions.--The term ``non-
     homeland security missions'' means the following missions of 
     the Coast Guard:
       (A) Marine safety.
       (B) Search and rescue.
       (C) Aids to navigation.
       (D) Living marine resources (e.g., fisheries law 
     enforcement).
       (E) Marine environmental protection.
       (F) Ice operations.
       (2) Homeland security missions.--The term ``homeland 
     security missions'' means the following missions of the Coast 
     Guard:
       (A) Ports, waterways and coastal security.
       (B) Drug interdiction.
       (C) Migrant interdiction.
       (D) Defense readiness.
       (E) Other law enforcement.
       (b) Transfer.--There are transferred to the Department the 
     authorities, functions, personnel, and assets of the Coast 
     Guard, which shall be maintained as a distinct entity within 
     the Department, including the authorities and functions of 
     the Secretary of Transportation relating thereto.
       (c) Maintenance of Status of Functions and Assets.--
     Notwithstanding any other provision of this Act, the 
     authorities, functions, assets, organizational structure, 
     units, personnel, and non-homeland security missions of the 
     Coast Guard shall be maintained intact and without reduction 
     after the transfer of the Coast Guard to the Department, 
     except as specified in subsequent Acts. Nothing in this 
     paragraph shall prevent the Coast Guard from replacing or 
     upgrading any asset with an asset of equivalent or greater 
     capabilities.
       (d) Certain Transfers Prohibited.--
       (1) In general.--None of the missions, functions, 
     personnel, and assets (including ships, aircraft, 
     helicopters, and vehicles) of the Coast Guard may be 
     transferred to the operational control of, or diverted to the 
     principal and continuing use of, any other organization, 
     unit, or entity of the Department.
       (2) Applicability.--The restrictions in paragraph (1) shall 
     not apply--
       (A) to any joint operation of less than 90 days between the 
     Coast Guard and other entities and organizations of the 
     Department; or
       (B) to any detail or assignment of any individual member or 
     civilian employee of the Coast Guard to any other entity or 
     organization of the Department for the purposes of ensuring 
     effective liaison, coordination, and operations of the Coast 
     Guard and that entity or organization, except that the total 
     number of individuals detailed or assigned in this capacity 
     may not exceed 50 individuals during any fiscal year.
       (e) Changes to Non-Homeland Security Missions.--
       (1) Prohibition.--The Secretary may not make any 
     substantial or significant change to any of the non-homeland 
     security missions of the Coast Guard, or to the capabilities 
     of the Coast Guard to carry out each of the non-homeland 
     security missions, without the prior approval of Congress as 
     expressed in a subsequent Act. With respect to a change to 
     the capabilities of the Coast Guard to carry out each of the 
     non-homeland security missions, the restrictions in this 
     paragraph shall not apply when such change shall result in an 
     increase in those capabilities.
       (2) Waiver.--The President may waive the restrictions under 
     paragraph (1) for a period of not to exceed 90 days upon a 
     declaration and certification by the President to Congress 
     that a clear, compelling, and immediate state of national 
     emergency exists that justifies such a waiver. A 
     certification under this paragraph shall include a detailed 
     justification for the declaration and certification, 
     including the reasons and specific information that 
     demonstrate that the Nation and the Coast Guard cannot 
     respond effectively to the national emergency if the 
     restrictions under paragraph (1) are not waived.
       (f) Annual Review.--
       (1) In general.--The Inspector General of the Department 
     shall conduct an annual review that shall assess thoroughly 
     the performance by the Coast Guard of all missions of the 
     Coast Guard (including non-homeland security missions and 
     homeland security missions) with a particular emphasis on 
     examining the non-homeland security missions.
       (2) Report.--The Inspector General shall submit the 
     detailed results of the annual review and assessment required 
     by paragraph (1) not later than March 1 of each year directly 
     to--
       (A) the Committee on Governmental Affairs of the Senate;
       (B) the Committee on Government Reform of the House of 
     Representatives;
       (C) the Committees on Appropriations of the Senate and the 
     House of Representatives;
       (D) the Committee on Commerce, Science, and Transportation 
     of the Senate; and
       (E) the Committee on Transportation and Infrastructure of 
     the House of Representatives.
       (g) Direct Reporting to Secretary.--Upon the transfer of 
     the Coast Guard to the Department, the Commandant shall 
     report directly to the Secretary without being required to 
     report through any other official of the Department.
       (h) Operation as a Service in the Navy.--None of the 
     conditions and restrictions in this section shall apply when 
     the Coast Guard operates as a service in the Navy under 
     section 3 of title 14, United States Code.

                         TITLE VIII--TRANSITION

     SEC. 801. DEFINITIONS.

       In this title:
       (1) Agency.--The term ``agency'' includes any entity, 
     organizational unit, or function; and
       (2) Transition period.--The term ``transition period'' 
     means the 12-month period beginning on the effective date of 
     this Act.

     SEC. 802. TRANSFER OF AGENCIES.

       The transfer of an agency to the Department shall occur 
     when the President so directs, but in no event later than the 
     end of the transition period. When an agency is transferred, 
     the President may also transfer to the Department any agency 
     established to carry out or support adjudicatory or review 
     functions in relation to the agency.

     SEC. 803. TRANSITIONAL AUTHORITIES.

       (a) Provision of Assistance by Officials.--Until the 
     transfer of an agency to the Department, any official having 
     authority over, or functions relating to, the agency 
     immediately before the effective date of this Act shall 
     provide to the Secretary such assistance, including the use 
     of personnel and assets, as the Secretary may request in 
     preparing for the transfer and integration of the agency into 
     the Department.
       (b) Services and Personnel.--During the transition period, 
     upon the request of the Secretary, the head of any executive 
     agency may, on a reimbursable or nonreimbursable basis, 
     provide services or detail personnel to assist with the 
     transition.
       (c) Acting Officials.--
       (1) In general.--
       (A) Designation.--During the transition period, pending the 
     advice and consent of the Senate to the appointment of an 
     officer required by this Act to be appointed by and with such 
     advice and consent, the President may designate any officer 
     whose appointment was required to be made by and with such 
     advice and consent and who was such an officer immediately 
     before the effective date of this Act (and who continues in 
     office) or immediately before such designation, to act in 
     such office until the same is filled as provided in this Act.
       (B) Compensation.--While serving as an acting officer under 
     subparagraph (A), that officer shall receive compensation at 
     the higher of the rate provided--
       (i) by this Act for the office in which that officer acts; 
     or
       (ii) for the office held at the time of designation.
       (2) Rule of construction.--Nothing in this Act shall be 
     construed to require the advice and consent of the Senate to 
     the appointment by the President to a position in the 
     Department of any officer whose--
       (A) agency is transferred to the Department under this Act; 
     and
       (B) duties following such transfer are germane to those 
     performed before such transfer.
       (d) Transfer of Personnel, Assets, Liabilities, and 
     Functions.--Upon the transfer of an agency to the 
     Department--
       (1) the personnel, assets, and liabilities held by or 
     available in connection with the

[[Page S9259]]

     agency shall be transferred to the Secretary for appropriate 
     allocation, subject to the approval of the Director of the 
     Office of Management and Budget; and
       (2) the Secretary shall have all functions--
       (A) relating to the agency that any other official could by 
     law exercise in relation to the agency immediately before 
     such transfer; and
       (B) vested in the Secretary by this Act or other law.

     SEC. 804. SAVINGS PROVISIONS.

       (a) Completed Administrative Actions.--
       (1) In general.--Completed administrative actions of an 
     agency shall not be affected by the enactment of this Act or 
     the transfer of such agency to the Department, but shall 
     continue in effect according to their terms until amended, 
     modified, superseded, terminated, set aside, or revoked in 
     accordance with law by an officer of the United States or a 
     court of competent jurisdiction, or by operation of law.
       (2) Included actions.--For purposes of paragraph (1), the 
     term ``completed administrative actions'' includes orders, 
     determinations, rules, regulations, personnel actions, 
     permits, agreements, grants, contracts, certificates, 
     licenses, registrations, and privileges.
       (b) Pending Proceedings.--Subject to the authority of the 
     Secretary under this Act--
       (1) pending proceedings in an agency, including notices of 
     proposed rulemaking, and applications for licenses, permits, 
     certificates, grants, and financial assistance, shall 
     continue notwithstanding the enactment of this Act or the 
     transfer of the agency to the Department, unless discontinued 
     or modified under the same terms and conditions and to the 
     same extent that such discontinuance could have occurred if 
     such enactment or transfer had not occurred; and
       (2) orders issued in such proceedings, and appeals 
     therefrom, and payments made pursuant to such orders, shall 
     issue in the same manner and on the same terms as if this Act 
     had not been enacted or the agency had not been transferred, 
     and any such orders shall continue in effect until amended, 
     modified, superseded, terminated, set aside, or revoked by an 
     officer of the United States or a court of competent 
     jurisdiction, or by operation of law.
       (c) Pending Civil Actions.--Subject to the authority of the 
     Secretary under this Act, pending civil actions shall 
     continue notwithstanding the enactment of this Act or the 
     transfer of an agency to the Department, and in such civil 
     actions, proceedings shall be had, appeals taken, and 
     judgments rendered and enforced in the same manner and with 
     the same effect as if such enactment or transfer had not 
     occurred.
       (d) References.--References relating to an agency that is 
     transferred to the Department in statutes, Executive orders, 
     rules, regulations, directives, or delegations of authority 
     that precede such transfer or the effective date of this Act 
     shall be deemed to refer, as appropriate, to the Department, 
     to its officers, employees, or agents, or to its 
     corresponding organizational units or functions.
       (e) Statutory Reporting Requirements.--Any statutory 
     reporting requirement that applied to an agency, transferred 
     to the Department under this Act, immediately before the 
     effective date of this Act shall continue to apply following 
     that transfer if the statutory requirement refers to the 
     agency by name.
       (f) Employment Provisions.--Except as otherwise provided in 
     this Act, or under authority granted by this Act, the 
     transfer under this Act of personnel shall not alter the 
     terms and conditions of employment, including compensation, 
     of any employee so transferred.

     SEC. 805. TERMINATIONS.

       Except as otherwise provided in this Act, whenever all the 
     functions vested by law in any agency have been transferred 
     under this Act, each position and office the incumbent of 
     which was authorized to receive compensation at the rates 
     prescribed for an office or position at level II, III, IV, or 
     V, of the Executive Schedule, shall terminate.

     SEC. 806. INCIDENTAL TRANSFERS.

       The Director of the Office of Management and Budget, in 
     consultation with the Secretary, is authorized and directed 
     to make such additional incidental dispositions of personnel, 
     assets, and liabilities held, used, arising from, available, 
     or to be made available, in connection with the functions 
     transferred by this Act, as the Director may determine 
     necessary to accomplish the purposes of this Act.

             TITLE IX--CONFORMING AND TECHNICAL AMENDMENTS

     SEC. 901. INSPECTOR GENERAL ACT.

       Section 11 of the Inspector General Act of 1978 (5 U.S.C. 
     App.) is amended in paragraphs (1) and (2)--
       (1) by inserting ``Homeland Security,'' after 
     ``Transportation,'' each place it appears;
       (2) by striking ``; and'' each place it appears and 
     inserting a semicolon;
       (3) by striking ``,,'' and inserting a coma; and
       (4) by striking ``;;'' each place it appears and inserting 
     a semicolon in each such place.

     SEC. 902. EXECUTIVE SCHEDULE.

       Chapter 53 of title 5, United States Code, is amended--
       (1) in section 5312, by inserting after the item relating 
     to the Secretary of Veterans Affairs the following:
       ``Secretary of Homeland Security.'';
       (2) in section 5313, by inserting after the item relating 
     to the Deputy Secretary of Transportation the following:
       ``Deputy Secretary of Homeland Security.'';
       (3) in section 5314, by inserting after the item relating 
     to the Under Secretary for Memorial Affairs, Department of 
     Veterans Affairs the following:
       ``Under Secretaries, Department of Homeland Security.''; 
     and
       (4) in section 5315, by inserting at the end the following:
       ``Assistant Secretaries, Department of Homeland Security.
       ``General Counsel, Department of Homeland Security.
       ``Chief Financial Officer, Department of Homeland Security.
       ``Chief Information Officer, Department of Homeland 
     Security.
       ``Inspector General, Department of Homeland Security.''.

     SEC. 903. UNITED STATES SECRET SERVICE.

       (a) Uniformed Division.--Section 202 of title 3, United 
     States Code, is amended by striking ``Secretary of the 
     Treasury'' and inserting ``Secretary of Homeland Security''.
       (b) Reimbursement of State and Local Governments.--Section 
     208 of title 3, United States Code, is amended by striking 
     ``Secretary of Treasury'' each place it appears and inserting 
     ``Secretary of Homeland Security'' in each such place.
       (c) Powers, Authorities, and Duties.--Section 3056 of title 
     18, United States Code, is amended by striking ``Secretary of 
     the Treasury'' each place it appears and inserting 
     ``Secretary of Homeland Security'' in each such place.
       (d) Effective Date.--The amendments made by this section 
     shall take effect on the date of transfer of the United 
     States Secret Service to the Department.

     SEC. 904. COAST GUARD.

       (a) Title 14, U.S.C.--Title 14 of the United States Code is 
     amended--
       (1) in sections 1, 3, 53, 95, 145, 516, 666, 669, 673 (as 
     added by Public Law 104-201), 673 (as added by Public Law 
     104-324), 674, 687, and 688, by striking ``of 
     Transportation'', each place it appears, and inserting ``of 
     Homeland Security''; and
       (2) after executing the other amendments required by this 
     subsection, by redesignating the section 673 added by Public 
     Law 104-324 as section 673a.
       (b) Title 10, U.S.C.--Section 801(1) of title 10, United 
     States Code, is amended by striking ``the General Counsel of 
     the Department of Transportation'' and inserting ``an 
     official designated to serve as Judge Advocate General of the 
     Coast Guard by the Secretary of Homeland Security''.
       (c) Effective Date.--The amendments made by this section 
     shall take effect on the date of transfer of the Coast Guard 
     to the Department.

     SEC. 905. STRATEGIC NATIONAL STOCKPILE AND SMALLPOX VACCINE 
                   DEVELOPMENT.

       (a) In General.--Section 121 of the Public Health Security 
     and Bioterrorism Preparedness and Response Act of 2002 is 
     amended--
       (1) in subsection (a)(1)--
       (A) by striking ``Secretary of Health and Human Services'' 
     and inserting ``Secretary of Homeland Security'';
       (B) by inserting ``the Secretary of Health and Human 
     Services and'' after ``in coordination with''; and
       (C) by inserting ``of Health and Human Services'' after 
     ``as are determined by the Secretary''; and
       (2) in subsections (a)(2) and (b), by inserting ``of Health 
     and Human Services'' after ``Secretary'' each place it 
     appears.
       (b) Effective Date.--The amendments made by this section 
     shall take effect on the date of transfer of the Strategic 
     National Stockpile of the Department of Health and Human 
     Services to the Department.

     SEC. 906. SELECT AGENT REGISTRATION.

       (a) Public Health Service Act.--The Public Health Service 
     Act is amended--
       (1) in section 351A(a)(1)(A), by inserting ``(as defined in 
     subsection (l)(9))'' after ``Secretary'';
       (2) in section 351A(h)(2)(A), by inserting ``Department of 
     Homeland Security, the'' before ``Department of Health and 
     Human Services'';
       (3) in section 351A(l), by inserting after paragraph (8) 
     the following:
       ``(9) The term `Secretary' means the Secretary of Homeland 
     Security, in consultation with the Secretary of Health and 
     Human Services.''; and
       (4) in section 352A(i)--
       (A) by striking ``(1)'' the first place it appears; and
       (B) by striking paragraph (2).
       (b) Public Health Security and Bioterrorism Preparedness 
     and Response Act of 2002.--Section 201(b) of the Public 
     Health Security and Bioterrorism Preparedness and Response 
     Act of 2002 is amended by striking ``Secretary of Health and 
     Human Services'' and inserting ``Secretary of Homeland 
     Security''.
       (c) Effective Date.--The amendments made by this section 
     shall take effect on the date of transfer of the select agent 
     registration enforcement programs and activities of the 
     Department of Health and Human Services to the Department.

     SEC. 907. NATIONAL BIO-WEAPONS DEFENSE ANALYSIS CENTER.

       There is established in the Department of Defense a 
     National Bio-Weapons Defense Analysis Center, whose mission 
     is to develop countermeasures to potential attacks by 
     terrorists using weapons of mass destruction.

[[Page S9260]]

     SEC. 908. MILITARY ACTIVITIES.

       Except as specifically provided in this Act, nothing in 
     this Act shall confer upon the Secretary any authority to 
     engage in war fighting, the military defense of the United 
     States, or other traditional military activities.

     DIVISION B--IMMIGRATION REFORM, ACCOUNTABILITY, AND SECURITY 
                        ENHANCEMENT ACT OF 2002

     SEC. 1001. SHORT TITLE.

       This division may be cited as the ``Immigration Reform, 
     Accountability, and Security Enhancement Act of 2002''.

     SEC. 1002. DEFINITIONS.

       In this division:
       (1) Enforcement bureau.--The term ``Enforcement Bureau'' 
     means the Bureau of Enforcement established in section 114 of 
     the Immigration and Nationality Act, as added by section 1105 
     of this Act.
       (2) Function.--The term ``function'' includes any duty, 
     obligation, power, authority, responsibility, right, 
     privilege, activity, or program.
       (3) Immigration enforcement functions.--The term 
     ``immigration enforcement functions'' has the meaning given 
     the term in section 114(b)(2) of the Immigration and 
     Nationality Act, as added by section 1105 of this Act.
       (4) Immigration laws of the united states.--The term 
     ``immigration laws of the United States'' has the meaning 
     given the term in section 111(e) of the Immigration and 
     Nationality Act, as added by section 1102 of this Act.
       (5) Immigration policy, administration, and inspection 
     functions.--The term ``immigration policy, administration, 
     and inspection functions'' has the meaning given the term in 
     section 112(b)(3) of the Immigration and Nationality Act, as 
     added by section 1103 of this Act.
       (6) Immigration service functions.--The term ``immigration 
     service functions'' has the meaning given the term in section 
     113(b)(2) of the Immigration and Nationality Act, as added by 
     section 1104 of this Act.
       (7) Office.--The term ``office'' includes any office, 
     administration, agency, bureau, institute, council, unit, 
     organizational entity, or component thereof.
       (8) Secretary.--The term ``Secretary'' means the Secretary 
     of Homeland Security.
       (9) Service bureau.--The term ``Service Bureau'' means the 
     Bureau of Immigration Services established in section 113 of 
     the Immigration and Nationality Act, as added by section 1104 
     of this Act.
       (10) Under secretary.--The term ``Under Secretary'' means 
     the Under Secretary of Homeland Security for Immigration 
     Affairs appointed under section 112 of the Immigration and 
     Nationality Act, as added by section 1103 of this Act.

     SEC. 1003. TRANSFER OF IMMIGRATION AND NATURALIZATION SERVICE 
                   FUNCTIONS.

       In accordance with title VIII, there shall be transferred 
     to the Secretary the functions, personnel, assets, and 
     liabilities of the Immigration and Naturalization Service of 
     the Department of Justice, including the functions of the 
     Attorney General relating thereto, to be restructured so as 
     to separate enforcement and service functions.

              TITLE XI--DIRECTORATE OF IMMIGRATION AFFAIRS

                        Subtitle A--Organization

     SEC. 1101. ABOLITION OF INS.

       (a) In General.--The Immigration and Naturalization Service 
     is abolished.
       (b) Repeal.--Section 4 of the Act of February 14, 1903, as 
     amended (32 Stat. 826; relating to the establishment of the 
     Immigration and Naturalization Service), is repealed.

     SEC. 1102. ESTABLISHMENT OF DIRECTORATE OF IMMIGRATION 
                   AFFAIRS.

       (a) Establishment.--Title I of the Immigration and 
     Nationality Act (8 U.S.C. 1101 et seq.) is amended--
       (1) by inserting ``CHAPTER 1--DEFINITIONS AND GENERAL 
     AUTHORITIES'' after ``TITLE I--GENERAL''; and
       (2) by adding at the end the following:

            ``CHAPTER 2--DIRECTORATE OF IMMIGRATION AFFAIRS

     ``SEC. 111. ESTABLISHMENT OF DIRECTORATE OF IMMIGRATION 
                   AFFAIRS.

       ``(a) Establishment.--There is established within the 
     Department of Homeland Security the Directorate of 
     Immigration Affairs.
       ``(b) Principal Officers.--The principal officers of the 
     Directorate are the following:
       ``(1) The Under Secretary for Immigration Affairs appointed 
     under section 112.
       ``(2) The Assistant Secretary for Immigration Services 
     appointed under section 113.
       ``(3) The Assistant Secretary for Enforcement appointed 
     under section 114.
       ``(c) Functions.--Under the authority of the Secretary of 
     Homeland Security, the Directorate shall perform the 
     following functions:
       ``(1) Immigration policy and administration functions, as 
     defined in section 112(b).
       ``(2) Immigration service and adjudication functions, as 
     defined in section 113(b).
       ``(3) Immigration enforcement functions, as defined in 
     section 114(b), but does not include the functions described 
     in paragraphs (7) and (8) of section 131(b).
       ``(d) Authorization of Appropriations.--
       ``(1) In general.--There are authorized to be appropriated 
     to the Department of Homeland Security such sums as may be 
     necessary to carry out the functions of the Directorate.
       ``(2) Availability of funds.--Amounts appropriated pursuant 
     to paragraph (1) are authorized to remain available until 
     expended.
       ``(e) Immigration Laws of the United States Defined.--In 
     this chapter, the term `immigration laws of the United 
     States' shall have the same meaning given such term in 
     section 101(a)(17) of the Immigration and Nationality Act (8 
     U.S.C. 1101(a)(17)).''.
       (b) Conforming Amendments.--(1) The Immigration and 
     Nationality Act (8 U.S.C. 1101 et seq.) is amended--
       (A) by striking section 101(a)(34) (8 U.S.C. 1101(a)(34)) 
     and inserting the following:
       ``(34) The term `Directorate' means the Directorate of 
     Immigration Affairs established by section 111.'';
       (B) by adding at the end of section 101(a) the following:
       ``(51) The term `Secretary' means the Secretary of Homeland 
     Security.
       ``(52) The term `Department' means the Department of 
     Homeland Security.'';
       (C) by striking ``Attorney General'' and ``Department of 
     Justice'' each place it appears (other than the proviso in 
     section 103(a)(1) of the Immigration and Nationality Act) and 
     inserting ``Secretary'' and ``Department'', respectively;
       (D) in section 101(a)(17) (8 U.S.C. 1101(a)(17)), by 
     striking ``The'' and inserting ``Except as otherwise provided 
     in section 111(e), the; and
       (E) by striking ``Immigration and Naturalization Service'', 
     ``Service'', and ``Service's'' each place they appear and 
     inserting ``Directorate of Immigration Affairs'', 
     ``Directorate'', and ``Directorate's'', respectively.
       (2) Section 6 of the Act entitled ``An Act to authorize 
     certain administrative expenses for the Department of 
     Justice, and for other purposes'', approved July 28, 1950 (64 
     Stat. 380), is amended--
       (A) by striking ``Immigration and Naturalization Service'' 
     and inserting ``Directorate of Immigration Affairs'';
       (B) by striking clause (a); and
       (C) by redesignating clauses (b), (c), (d), and (e) as 
     clauses (a), (b), (c), and (d), respectively.
       (c) References.--Any reference in any statute, 
     reorganization plan, Executive order, regulation, agreement, 
     determination, or other official document or proceeding to 
     the Immigration and Naturalization Service shall be deemed to 
     refer to the Directorate of Immigration Affairs and the 
     Directorate of Border and Transportation Security of the 
     Department of Homeland Security, as appropriate, and any 
     reference in the immigration laws of the United States (as 
     defined in section 111(e) of the Immigration and Nationality 
     Act, as added by this section) to the Attorney General shall 
     be deemed to refer to the Secretary of Homeland Security, 
     acting through the Under Secretary for Immigration Affairs 
     and the Under Secretary for Border and Transportation 
     Security, as appropriate.

     SEC. 1103. UNDER SECRETARY OF HOMELAND SECURITY FOR 
                   IMMIGRATION AFFAIRS.

       (a) In General.--Chapter 2 of title I of the Immigration 
     and Nationality Act, as added by section 1102 of this Act, is 
     amended by adding at the end the following:

     ``SEC. 112. UNDER SECRETARY OF HOMELAND SECURITY FOR 
                   IMMIGRATION AFFAIRS.

       ``(a) Under Secretary of Immigration Affairs.--The 
     Directorate shall be headed by an Under Secretary of Homeland 
     Security for Immigration Affairs who shall be appointed in 
     accordance with section 103(c) of the Immigration and 
     Nationality Act.
       ``(b) Responsibilities of the Under Secretary.--
       ``(1) In general.--The Under Secretary shall be charged 
     with any and all responsibilities and authority in the 
     administration of the Directorate and of this Act which are 
     conferred upon the Secretary as may be delegated to the Under 
     Secretary by the Secretary or which may be prescribed by the 
     Secretary.
       ``(2) Duties.--Subject to the authority of the Secretary 
     under paragraph (1), the Under Secretary shall have the 
     following duties:
       ``(A) Immigration policy.--The Under Secretary shall 
     develop and implement policy under the immigration laws of 
     the United States with respect to any function within the 
     jurisdiction of the Directorate. The Under Secretary shall 
     propose, promulgate, and issue rules, regulations, and 
     statements of policy with respect to any function within the 
     jurisdiction of the Directorate.
       ``(B) Administration.--The Under Secretary shall have 
     responsibility for--
       ``(i) the administration and enforcement of the functions 
     conferred upon the Directorate under section 111(c) of this 
     Act; and
       ``(ii) the administration of the Directorate, including the 
     direction, supervision, and coordination of the Bureau of 
     Immigration Services and the Bureau of Enforcement.
       ``(3) Activities.--As part of the duties described in 
     paragraph (2), the Under Secretary shall do the following:
       ``(A) Resources and personnel management.--The Under 
     Secretary shall manage the resources, personnel, and other 
     support requirements of the Directorate.
       ``(B) Information resources management.--Under the 
     direction of the Secretary, the Under Secretary shall manage 
     the information resources of the Directorate, including the 
     maintenance of records and databases and the coordination of 
     records and other information within the Directorate, and 
     shall ensure that the Directorate obtains and maintains 
     adequate information technology systems to carry out its 
     functions.
       ``(4) Definition.--In this chapter, the term `immigration 
     policy and administration'

[[Page S9261]]

     means the duties, activities, and powers described in this 
     subsection.
       ``(c) General Counsel.--
       ``(1) In general.--There shall be within the Directorate a 
     General Counsel, who shall be appointed by the Secretary of 
     Homeland Security, in consultation with the Under Secretary.
       ``(2) Function.--The General Counsel shall--
       ``(A) serve as the chief legal officer for the Directorate; 
     and
       ``(B) be responsible for providing specialized legal 
     advice, opinions, determinations, regulations, and any other 
     assistance to the Under Secretary with respect to legal 
     matters affecting the Directorate, and any of its components.
       ``(d) Financial Officers for the Directorate of Immigration 
     Affairs.--
       ``(1) Chief financial officer.--
       ``(A) In general.--There shall be within the Directorate a 
     Chief Financial Officer. The position of Chief Financial 
     Officer shall be a career reserved position in the Senior 
     Executive Service and shall have the authorities and 
     functions described in section 902 of title 31, United States 
     Code, in relation to financial activities of the Directorate. 
     For purposes of section 902(a)(1) of such title, the Under 
     Secretary shall be deemed to be an agency head.
       ``(B) Functions.--The Chief Financial Officer shall be 
     responsible for directing, supervising, and coordinating all 
     budget formulas and execution for the Directorate.
       ``(2) Deputy chief financial officer.--The Directorate 
     shall be deemed to be an agency for purposes of section 903 
     of such title (relating to Deputy Chief Financial Officers).
       ``(e) Chief of Congressional, Intergovernmental, and Public 
     Affairs.--
       ``(1) In general.--There shall be within the Directorate a 
     Chief of Congressional, Intergovernmental, and Public 
     Affairs. Under the authority of the Under Secretary, the 
     Chief of Congressional, Intergovernmental, and Public Affairs 
     shall be responsible for--
       ``(A) providing to Congress information relating to issues 
     arising under the immigration laws of the United States, 
     including information on specific cases;
       ``(B) serving as a liaison with other Federal agencies on 
     immigration issues; and
       ``(C) responding to inquiries from, and providing 
     information to, the media on immigration issues.
       ``(2) Within the senior executive service.--The position of 
     Chief of Congressional, Intergovernmental, and Public Affairs 
     shall be a Senior Executive Service position under section 
     5382 of title 5, United States Code.''.
       (b) Compensation of General Counsel and Chief Financial 
     Officer.--Section 5316 of title 5, United States Code, is 
     amended by adding at the end the following:
       ``General Counsel, Directorate of Immigration Affairs, 
     Department of Homeland Security.
       ``Chief Financial Officer, Directorate of Immigration 
     Affairs, Department of Homeland Security.''.
       (c) Repeals.--The following provisions of law are repealed:
       (1) Section 7 of the Act of March 3, 1891, as amended (26 
     Stat. 1085; relating to the establishment of the office of 
     the Commissioner of Immigration and Naturalization).
       (2) Section 201 of the Act of June 20, 1956 (70 Stat. 307; 
     relating to the compensation of assistant commissioners and 
     district directors).
       (3) Section 1 of the Act of March 2, 1895 (28 Stat. 780; 
     relating to special immigrant inspectors).
       (d) Conforming Amendments.--(1)(A) Section 101(a)(8) of the 
     Immigration and Nationality Act (8 U.S.C. 1101(a)(8)) is 
     amended to read as follows:
       ``(8) The term `Under Secretary' means the Under Secretary 
     for Immigration Affairs who is appointed under section 
     103(c).''.
       (B) Except as provided in subparagraph (C), the Immigration 
     and Nationality Act (8 U.S.C. 1101 et seq.) is amended--
       (i) by striking ``The Commissioner of Immigration and 
     Naturalization'' and ``The Commissioner'' each place they 
     appear and inserting ``The appropriate Under Secretary of the 
     Department of Homeland Security''; and
       (ii) except as provided in paragraph (1), by striking 
     ``Commissioner of Immigration and Naturalization'' and 
     ``Commissioner'' each place they appear and inserting 
     ``appropriate Under Secretary of the Department of Homeland 
     Security''.
       (C) The amendments made by subparagraph (B) do not apply to 
     references to the ``Commissioner of Social Security'' in 
     section 290(c) of the Immigration and Nationality Act (8 
     U.S.C. 1360(c)).
       (2) Section 103 of the Immigration and Nationality Act (8 
     U.S.C. 1103) is amended--
       (A) in subsection (c), by striking ``Commissioner'' and 
     inserting ``Under Secretary'';
       (B) in subsection (d), by striking ``Commissioner'' and 
     inserting ``Under Secretary''; and
       (C) in subsection (e), by striking ``Commissioner'' and 
     inserting ``Under Secretary''.
       (3) Sections 104 and 105 of the Immigration and Nationality 
     Act (8 U.S.C. 1104, 1105) are amended by striking 
     ``Director'' each place it appears and inserting ``Assistant 
     Secretary of State for Consular Affairs''.
       (4) Section 104(c) of the Immigration and Nationality Act 
     (8 U.S.C. 1104(c)) is amended--
       (A) in the first sentence, by striking ``Passport Office, a 
     Visa Office,'' and inserting ``a Passport Services office, a 
     Visa Services office, an Overseas Citizen Services office,''; 
     and
       (B) in the second sentence, by striking ``the Passport 
     Office and the Visa Office'' and inserting ``the Passport 
     Services office and the Visa Services office''.
       (5) Section 5315 of title 5, United States Code, is amended 
     by striking the following:
       ``Commissioner of Immigration and Naturalization, 
     Department of Justice.''.
       (e) References.--Any reference in any statute, 
     reorganization plan, Executive order, regulation, agreement, 
     determination, or other official document or proceeding to 
     the Commissioner of Immigration and Naturalization shall be 
     deemed to refer to the Under Secretary for Immigration 
     Affairs or the Under Secretary for Border and Transportation 
     Security, as appropriate.

     SEC. 1104. BUREAU OF IMMIGRATION SERVICES.

       (a) In General.--Chapter 2 of title I of the Immigration 
     and Nationality Act, as added by section 1102 and amended by 
     section 1103, is further amended by adding at the end the 
     following:

     ``SEC. 113. BUREAU OF IMMIGRATION SERVICES.

       ``(a) Establishment of Bureau.--
       ``(1) In general.--There is established within the 
     Directorate a bureau to be known as the Bureau of Immigration 
     Services (in this chapter referred to as the `Service 
     Bureau').
       ``(2) Assistant secretary.--The head of the Service Bureau 
     shall be the Assistant Secretary for Immigration Services (in 
     this chapter referred to as the `Assistant Secretary for 
     Immigration Services'), who--
       ``(A) shall be appointed by the Secretary, in consultation 
     with the Under Secretary; and
       ``(B) shall report directly to the Under Secretary.
       ``(b) Responsibilities of the Assistant Secretary.--
       ``(1) In general.--Subject to the authority of the 
     Secretary and the Under Secretary, the Assistant Secretary 
     for Immigration Services shall administer the immigration 
     service functions of the Directorate.
       ``(2) Immigration service functions defined.--In this 
     chapter, the term `immigration service functions' means the 
     following functions under the immigration laws of the United 
     States:
       ``(A) Adjudications of petitions for classification of 
     nonimmigrant and immigrant status.
       ``(B) Adjudications of applications for adjustment of 
     status and change of status.
       ``(C) Adjudications of naturalization applications.
       ``(D) Adjudications of asylum and refugee applications.
       ``(E) Adjudications performed at Service centers.
       ``(F) Determinations concerning custody and parole of 
     asylum seekers who do not have prior nonpolitical criminal 
     records and who have been found to have a credible fear of 
     persecution, including determinations under section 236B.
       ``(G) All other adjudications under the immigration laws of 
     the United States.
       ``(c) Chief Budget Officer of the Service Bureau.--There 
     shall be within the Service Bureau a Chief Budget Officer. 
     Under the authority of the Chief Financial Officer of the 
     Directorate, the Chief Budget Officer of the Service Bureau 
     shall be responsible for monitoring and supervising all 
     financial activities of the Service Bureau.
       ``(d) Quality Assurance.--There shall be within the Service 
     Bureau an Office of Quality Assurance that shall develop 
     procedures and conduct audits to--
       ``(1) ensure that the Directorate's policies with respect 
     to the immigration service functions of the Directorate are 
     properly implemented; and
       ``(2) ensure that Service Bureau policies or practices 
     result in sound records management and efficient and accurate 
     service.
       ``(e) Office of Professional Responsibility.--There shall 
     be within the Service Bureau an Office of Professional 
     Responsibility that shall have the responsibility for 
     ensuring the professionalism of the Service Bureau and for 
     receiving and investigating charges of misconduct or ill 
     treatment made by the public.
       ``(f) Training of Personnel.--The Assistant Secretary for 
     Immigration Services, in consultation with the Under 
     Secretary, shall have responsibility for determining the 
     training for all personnel of the Service Bureau.''.
       (b) Service Bureau Offices.--
       (1) In general.--Under the direction of the Secretary, the 
     Under Secretary, acting through the Assistant Secretary for 
     Immigration Services, shall establish Service Bureau offices, 
     including suboffices and satellite offices, in appropriate 
     municipalities and locations in the United States. In the 
     selection of sites for the Service Bureau offices, the Under 
     Secretary shall consider the location's proximity and 
     accessibility to the community served, the workload for which 
     that office shall be responsible, whether the location would 
     significantly reduce the backlog of cases in that given 
     geographic area, whether the location will improve customer 
     service, and whether the location is in a geographic area 
     with an increase in the population to be served. The Under 
     Secretary shall conduct periodic reviews to assess whether 
     the location and size of the respective Service Bureau 
     offices adequately serve customer service needs.

[[Page S9262]]

       (2) Transition provision.--In determining the location of 
     Service Bureau offices, including suboffices and satellite 
     offices, the Under Secretary shall first consider maintaining 
     and upgrading offices in existing geographic locations that 
     satisfy the provisions of paragraph (1). The Under Secretary 
     shall also explore the feasibility and desirability of 
     establishing new Service Bureau offices, including suboffices 
     and satellite offices, in new geographic locations where 
     there is a demonstrated need.

     SEC. 1105. BUREAU OF ENFORCEMENT.

       (a) In General.--Chapter 2 of title I of the Immigration 
     and Nationality Act, as added by section 1102 and amended by 
     sections 1103 and 1104, is further amended by adding at the 
     end the following:

     ``SEC. 114. BUREAU OF ENFORCEMENT.

       ``(a) Establishment of Bureau.--
       ``(1) In general.--There is established within the 
     Directorate a bureau to be known as the Bureau of Enforcement 
     (in this chapter referred to as the `Enforcement Bureau').
       ``(2) Assistant secretary.--The head of the Enforcement 
     Bureau shall be the Assistant Secretary for Enforcement (in 
     this chapter referred to as the `Assistant Secretary for 
     Immigration Enforcement'), who--
       ``(A) shall be appointed by the Secretary of Homeland 
     Security, in consultation with the Under Secretary; and
       ``(B) shall report directly to the Under Secretary.
       ``(b) Responsibilities of the Assistant Secretary.--
       ``(1) In general.--Subject to the authority of the 
     Secretary and the Under Secretary, the Assistant Secretary 
     for Immigration Enforcement shall administer the immigration 
     enforcement functions of the Directorate.
       ``(2) Immigration enforcement functions defined.--In this 
     chapter, the term `immigration enforcement functions' means 
     the following functions under the immigration laws of the 
     United States:
       ``(A) The detention function, except as specified in 
     section 113(b)(2)(F).
       ``(B) The removal function.
       ``(C) The intelligence function.
       ``(D) The investigations function.
       ``(c) Chief Budget Officer of the Enforcement Bureau.--
     There shall be within the Enforcement Bureau a Chief Budget 
     Officer. Under the authority of the Chief Financial Officer 
     of the Directorate, the Chief Budget Officer of the 
     Enforcement Bureau shall be responsible for monitoring and 
     supervising all financial activities of the Enforcement 
     Bureau.
       ``(d) Office of Professional Responsibility.--There shall 
     be within the Enforcement Bureau an Office of Professional 
     Responsibility that shall have the responsibility for 
     ensuring the professionalism of the Enforcement Bureau and 
     receiving charges of misconduct or ill treatment made by the 
     public and investigating the charges.
       ``(e) Office of Quality Assurance.--There shall be within 
     the Enforcement Bureau an Office of Quality Assurance that 
     shall develop procedures and conduct audits to--
       ``(1) ensure that the Directorate's policies with respect 
     to immigration enforcement functions are properly 
     implemented; and
       ``(2) ensure that Enforcement Bureau policies or practices 
     result in sound record management and efficient and accurate 
     recordkeeping.
       ``(f) Training of Personnel.--The Assistant Secretary for 
     Immigration Enforcement, in consultation with the Under 
     Secretary, shall have responsibility for determining the 
     training for all personnel of the Enforcement Bureau.''.
       (b) Enforcement Bureau Offices.--
       (1) In general.--Under the direction of the Secretary, the 
     Under Secretary, acting through the Assistant Secretary for 
     Immigration Enforcement, shall establish Enforcement Bureau 
     offices, including suboffices and satellite offices, in 
     appropriate municipalities and locations in the United 
     States. In the selection of sites for the Enforcement Bureau 
     offices, the Under Secretary shall make selections according 
     to trends in unlawful entry and unlawful presence, alien 
     smuggling, national security concerns, the number of Federal 
     prosecutions of immigration-related offenses in a given 
     geographic area, and other enforcement considerations. The 
     Under Secretary shall conduct periodic reviews to assess 
     whether the location and size of the respective Enforcement 
     Bureau offices adequately serve enforcement needs.
       (2) Transition provision.--In determining the location of 
     Enforcement Bureau offices, including suboffices and 
     satellite offices, the Under Secretary shall first consider 
     maintaining and upgrading offices in existing geographic 
     locations that satisfy the provisions of paragraph (1). The 
     Under Secretary shall also explore the feasibility and 
     desirability of establishing new Enforcement Bureau offices, 
     including suboffices and satellite offices, in new geographic 
     locations where there is a demonstrated need.

     SEC. 1106. OFFICE OF THE OMBUDSMAN WITHIN THE DIRECTORATE.

       (a) In General.--Chapter 2 of title I of the Immigration 
     and Nationality Act, as added by section 1102 and amended by 
     sections 1103, 1104, and 1105, is further amended by adding 
     at the end the following:

     ``SEC. 115. OFFICE OF THE OMBUDSMAN FOR IMMIGRATION AFFAIRS.

       ``(a) In General.--There is established within the 
     Directorate the Office of the Ombudsman for Immigration 
     Affairs, which shall be headed by the Ombudsman.
       ``(b) Ombudsman.--
       ``(1) Appointment.--The Ombudsman shall be appointed by the 
     Secretary of Homeland Security, in consultation with the 
     Under Secretary. The Ombudsman shall report directly to the 
     Under Secretary.
       ``(2) Compensation.--The Ombudsman shall be entitled to 
     compensation at the same rate as the highest rate of basic 
     pay established for the Senior Executive Service under 
     section 5382 of title 5, United States Code, or, if the 
     Secretary of Homeland Security so determines, at a rate fixed 
     under section 9503 of such title.
       ``(c) Functions of Office.--The functions of the Office of 
     the Ombudsman for Immigration Affairs shall include--
       ``(1) to assist individuals in resolving problems with the 
     Directorate or any component thereof;
       ``(2) to identify systemic problems encountered by the 
     public in dealings with the Directorate or any component 
     thereof;
       ``(3) to propose changes in the administrative practices or 
     regulations of the Directorate, or any component thereof, to 
     mitigate problems identified under paragraph (2);
       ``(4) to identify potential changes in statutory law that 
     may be required to mitigate such problems; and
       ``(5) to monitor the coverage and geographic distribution 
     of local offices of the Directorate.
       ``(d) Personnel Actions.--The Ombudsman shall have the 
     responsibility and authority to appoint local or regional 
     representatives of the Ombudsman's Office as in the 
     Ombudsman's judgment may be necessary to address and rectify 
     problems.
       ``(e) Annual Report.--Not later than December 31 of each 
     year, the Ombudsman shall submit a report to the Committee on 
     the Judiciary of the House of Representatives and the 
     Committee on the Judiciary of the Senate on the activities of 
     the Ombudsman during the fiscal year ending in that calendar 
     year. Each report shall contain a full and substantive 
     analysis, in addition to statistical information, and shall 
     contain--
       ``(1) a description of the initiatives that the Office of 
     the Ombudsman has taken on improving the responsiveness of 
     the Directorate;
       ``(2) a summary of serious or systemic problems encountered 
     by the public, including a description of the nature of such 
     problems;
       ``(3) an accounting of the items described in paragraphs 
     (1) and (2) for which action has been taken, and the result 
     of such action;
       ``(4) an accounting of the items described in paragraphs 
     (1) and (2) for which action remains to be completed;
       ``(5) an accounting of the items described in paragraphs 
     (1) and (2) for which no action has been taken, the reasons 
     for the inaction, and identify any Agency official who is 
     responsible for such inaction;
       ``(6) recommendations as may be appropriate to resolve 
     problems encountered by the public;
       ``(7) recommendations as may be appropriate to resolve 
     problems encountered by the public, including problems 
     created by backlogs in the adjudication and processing of 
     petitions and applications;
       ``(8) recommendations to resolve problems caused by 
     inadequate funding or staffing; and
       ``(9) such other information as the Ombudsman may deem 
     advisable.
       ``(f) Authorization of Appropriations.--
       ``(1) In general.--There are authorized to be appropriated 
     to the Office of the Ombudsman such sums as may be necessary 
     to carry out its functions.
       ``(2) Availability of funds.--Amounts appropriated pursuant 
     to paragraph (1) are authorized to remain available until 
     expended.''.

     SEC. 1107. OFFICE OF IMMIGRATION STATISTICS WITHIN THE 
                   DIRECTORATE.

       (a) In General.--Chapter 2 of title I of the Immigration 
     and Nationality Act, as added by section 1102 and amended by 
     sections 1103, 1104, and 1105, is further amended by adding 
     at the end the following:

     ``SEC. 116. OFFICE OF IMMIGRATION STATISTICS.

       ``(a) Establishment.--There is established within the 
     Directorate an Office of Immigration Statistics (in this 
     section referred to as the `Office'), which shall be headed 
     by a Director who shall be appointed by the Secretary of 
     Homeland Security, in consultation with the Under Secretary. 
     The Office shall collect, maintain, compile, analyze, 
     publish, and disseminate information and statistics about 
     immigration in the United States, including information and 
     statistics involving the functions of the Directorate and the 
     Executive Office for Immigration Review.
       ``(b) Responsibilities of Director.--The Director of the 
     Office shall be responsible for the following:
       ``(1) Statistical information.--Maintenance of all 
     immigration statistical information of the Directorate of 
     Immigration Affairs.
       ``(2) Standards of reliability and validity.--Establishment 
     of standards of reliability and validity for immigration 
     statistics collected by the Bureau of Immigration Services, 
     the Bureau of Enforcement, and the Executive Office for 
     Immigration Review.
       ``(c) Relation to the Directorate of Immigration Affairs 
     and the Executive Office for Immigration Review.--
       ``(1) Other authorities.--The Directorate and the Executive 
     Office for Immigration Review shall provide statistical 
     information

[[Page S9263]]

     to the Office from the operational data systems controlled by 
     the Directorate and the Executive Office for Immigration 
     Review, respectively, as requested by the Office, for the 
     purpose of meeting the responsibilities of the Director of 
     the Office.
       ``(2) Databases.--The Director of the Office, under the 
     direction of the Secretary, shall ensure the interoperability 
     of the databases of the Directorate, the Bureau of 
     Immigration Services, the Bureau of Enforcement, and the 
     Executive Office for Immigration Review to permit the 
     Director of the Office to perform the duties of such 
     office.''.
       (b) Transfer of Functions.--There are transferred to the 
     Directorate of Immigration Affairs for exercise by the Under 
     Secretary through the Office of Immigration Statistics 
     established by section 116 of the Immigration and Nationality 
     Act, as added by subsection (a), the functions performed by 
     the Statistics Branch of the Office of Policy and Planning of 
     the Immigration and Naturalization Service, and the 
     statistical functions performed by the Executive Office for 
     Immigration Review, on the day before the effective date of 
     this title.

     SEC. 1108. CLERICAL AMENDMENTS.

       The table of contents of the Immigration and Nationality 
     Act is amended--
       (1) by inserting after the item relating to the heading for 
     title I the following:

          ``Chapter 1--Definitions and General Authorities'';

       (2) by striking the item relating to section 103 and 
     inserting the following:

``Sec. 103. Powers and duties of the Secretary of Homeland Security and 
              the Under Secretary of Homeland Security for Immigration 
              Affairs.'';

     and
       (3) by inserting after the item relating to section 106 the 
     following:

            ``Chapter 2--Directorate of Immigration Affairs

``Sec. 111. Establishment of Directorate of Immigration Affairs.
``Sec. 112. Under Secretary of Homeland Security for Immigration 
              Affairs.
``Sec. 113. Bureau of Immigration Services.
``Sec. 114. Bureau of Enforcement.
``Sec. 115. Office of the Ombudsman for Immigration Affairs.
``Sec. 116. Office of Immigration Statistics.''.

                   Subtitle B--Transition Provisions

     SEC. 1111. TRANSFER OF FUNCTIONS.

       (a) In General.--
       (1) Functions of the attorney general.--Except as provided 
     in subsection (c) and title XIII, all functions under the 
     immigration laws of the United States vested by statute in, 
     or exercised by, the Attorney General, immediately prior to 
     the effective date of this title, are transferred to the 
     Secretary on such effective date for exercise by the 
     Secretary through the Under Secretary in accordance with 
     section 112(b) of the Immigration and Nationality Act, as 
     added by section 1103 of this Act.
       (2) Functions of the commissioner or the ins.--Except as 
     provided in subsection (c), all functions under the 
     immigration laws of the United States vested by statute in, 
     or exercised by, the Commissioner of Immigration and 
     Naturalization or the Immigration and Naturalization Service 
     (or any officer, employee, or component thereof), immediately 
     prior to the effective date of this title, are transferred to 
     the Directorate of Immigration Affairs on such effective date 
     for exercise by the Under Secretary in accordance with 
     section 112(b) of the Immigration and Nationality Act, as 
     added by section 1103 of this Act.
       (b) Exercise of Authorities.--Except as otherwise provided 
     by law, the Under Secretary may, for purposes of performing 
     any function transferred to the Directorate of Immigration 
     Affairs under subsection (a), exercise all authorities under 
     any other provision of law that were available with respect 
     to the performance of that function to the official 
     responsible for the performance of the function immediately 
     before the effective date of the transfer of the function 
     under this title.
       (c) Special Rule for Border Patrol and Inspection 
     Functions.--
       (1) In general.--Notwithstanding subsections (a) and (b), 
     the border patrol function, and primary and secondary 
     immigration inspection functions, vested by statute in, or 
     exercised by, the Attorney General, the Commissioner of 
     Immigration and Naturalization, or the Immigration and 
     Naturalization Service (or any officer, employee, or 
     component thereof), immediately prior to the effective date 
     of this title, are transferred to the Secretary on such 
     effective date for exercise by the Under Secretary for Border 
     and Transportation in accordance with paragraphs (7) and (8) 
     of section 131(b).
       (2) References.--With respect to the border patrol function 
     and primary and secondary immigration inspection functions, 
     references in this subtitle to--
       (A) the Directorate shall be deemed to be references to the 
     Directorate of Border and Transportation Security; and
       (B) the Under Secretary shall be deemed to be references to 
     the Under Secretary for Border and Transportation Security.

     SEC. 1112. TRANSFER OF PERSONNEL AND OTHER RESOURCES.

       Subject to section 1531 of title 31, United States Code, 
     upon the effective date of this title, there are transferred 
     to the appropriate Under Secretary for appropriate allocation 
     in accordance with section 1115--
       (1) the personnel of the Department of Justice employed in 
     connection with the functions transferred under this title; 
     and
       (2) the assets, liabilities, contracts, property, records, 
     and unexpended balance of appropriations, authorizations, 
     allocations, and other funds employed, held, used, arising 
     from, available to, or to be made available to the 
     Immigration and Naturalization Service in connection with the 
     functions transferred pursuant to this title.

     SEC. 1113. DETERMINATIONS WITH RESPECT TO FUNCTIONS AND 
                   RESOURCES.

       The Secretary shall determine, in accordance with the 
     corresponding criteria set forth in sections 1112(b), 
     1113(b), and 1114(b) of the Immigration and Nationality Act 
     (as added by this title)--
       (1) which of the functions transferred under section 1111 
     are--
       (A) immigration policy and administration functions;
       (B) immigration service functions;
       (C) immigration enforcement functions (excluding the border 
     patrol function and primary and secondary immigration 
     inspection functions); and
       (D) the border patrol function and primary and secondary 
     immigration inspection functions; and
       (2) which of the personnel, assets, liabilities, grants, 
     contracts, property, records, and unexpended balances of 
     appropriations, authorizations, allocations, and other funds 
     transferred under section 1112 were held or used, arose from, 
     were available to, or were made available, in connection with 
     the performance of the respective functions specified in 
     paragraph (1) immediately prior to the effective date of this 
     title.

     SEC. 1114. DELEGATION AND RESERVATION OF FUNCTIONS.

       (a) Delegation to the Directorates.--The Secretary shall 
     delegate--
       (1) through the Under Secretary and subject to section 
     112(b)(1) of the Immigration and Nationality Act (as added by 
     section 1103)--
       (A) immigration service functions to the Assistant 
     Secretary for Immigration Services; and
       (B) immigration enforcement functions to the Assistant 
     Secretary for Immigration Enforcement; and
       (2) the border patrol function and primary and secondary 
     immigration inspection functions to the Under Secretary for 
     Border and Transportation Security.
       (b) Nonexclusive Delegations Authorized.--Delegations made 
     under subsection (a) may be made on a nonexclusive basis as 
     the Secretary may determine may be necessary to ensure the 
     faithful execution of the Secretary's responsibilities and 
     duties under law.
       (c) Effect of Delegations.--Except as otherwise expressly 
     prohibited by law or otherwise provided in this title, the 
     Secretary may make delegations under this subsection to such 
     officers and employees of the office of the Under Secretary 
     for Immigration Affairs, and the Under Secretary for Border 
     and Transportation Security, respectively, as the Secretary 
     may designate, and may authorize successive redelegations of 
     such functions as may be necessary or appropriate. No 
     delegation of functions under this subsection or under any 
     other provision of this title shall relieve the official to 
     whom a function is transferred under this title of 
     responsibility for the administration of the function.
       (d) Statutory Construction.--Nothing in this division may 
     be construed to limit the authority of the Under Secretary, 
     acting directly or by delegation under the Secretary, to 
     establish such offices or positions within the Directorate of 
     Immigration Affairs, in addition to those specified by this 
     division, as the Under Secretary may determine to be 
     necessary to carry out the functions of the Directorate.

     SEC. 1115. ALLOCATION OF PERSONNEL AND OTHER RESOURCES.

       (a) Authority of the Under Secretary.--
       (1) In general.--Subject to paragraph (2) and section 
     1114(b), the Under Secretary shall make allocations of 
     personnel, assets, liabilities, grants, contracts, property, 
     records, and unexpended balances of appropriations, 
     authorizations, allocations, and other funds held, used, 
     arising from, available to, or to be made available in 
     connection with the performance of the respective functions, 
     as determined under section 1113, in accordance with the 
     delegation of functions and the reservation of functions made 
     under section 1114.
       (2) Limitation.--Unexpended funds transferred pursuant to 
     section 1112 shall be used only for the purposes for which 
     the funds were originally authorized and appropriated.
       (b) Authority To Terminate Affairs of INS.--The Attorney 
     General in consultation with the Secretary, shall provide for 
     the termination of the affairs of the Immigration and 
     Naturalization Service and such further measures and 
     dispositions as may be necessary to effectuate the purposes 
     of this division.
       (c) Treatment of Shared Resources.--The Under Secretary is 
     authorized to provide for an appropriate allocation, or 
     coordination, or both, of resources involved in supporting 
     shared support functions for the office of the Under 
     Secretary, the Service Bureau, and the Enforcement Bureau. 
     The Under Secretary shall maintain oversight

[[Page S9264]]

     and control over the shared computer databases and systems 
     and records management.

     SEC. 1116. SAVINGS PROVISIONS.

       (a) Legal Documents.--All orders, determinations, rules, 
     regulations, permits, grants, loans, contracts, recognition 
     of labor organizations, agreements, including collective 
     bargaining agreements, certificates, licenses, and 
     privileges--
       (1) that have been issued, made, granted, or allowed to 
     become effective by the President, the Attorney General, the 
     Commissioner of the Immigration and Naturalization Service, 
     their delegates, or any other Government official, or by a 
     court of competent jurisdiction, in the performance of any 
     function that is transferred under this title; and
       (2) that are in effect on the effective date of such 
     transfer (or become effective after such date pursuant to 
     their terms as in effect on such effective date);

     shall continue in effect according to their terms until 
     modified, terminated, superseded, set aside, or revoked in 
     accordance with law by the President, any other authorized 
     official, a court of competent jurisdiction, or operation of 
     law, except that any collective bargaining agreement shall 
     remain in effect until the date of termination specified in 
     the agreement.
       (b) Proceedings.--
       (1) Pending.--Sections 111 through 116 of the Immigration 
     and Nationality Act, as added by subtitle A of this title, 
     shall not affect any proceeding or any application for any 
     benefit, service, license, permit, certificate, or financial 
     assistance pending on the effective date of this title before 
     an office whose functions are transferred under this title, 
     but such proceedings and applications shall be continued.
       (2) Orders.--Orders shall be issued in such proceedings, 
     appeals shall be taken therefrom, and payments shall be made 
     pursuant to such orders, as if this Act had not been enacted, 
     and orders issued in any such proceeding shall continue in 
     effect until modified, terminated, superseded, or revoked by 
     a duly authorized official, by a court of competent 
     jurisdiction, or by operation of law.
       (3) Discontinuance or modification.--Nothing in this 
     section shall be considered to prohibit the discontinuance or 
     modification of any such proceeding under the same terms and 
     conditions and to the same extent that such proceeding could 
     have been discontinued or modified if this section had not 
     been enacted.
       (c) Suits.--This title, and the amendments made by this 
     title, shall not affect suits commenced before the effective 
     date of this title, and in all such suits, proceeding shall 
     be had, appeals taken, and judgments rendered in the same 
     manner and with the same effect as if this title, and the 
     amendments made by this title, had not been enacted.
       (d) Nonabatement of Actions.--No suit, action, or other 
     proceeding commenced by or against the Department of Justice 
     or the Immigration and Naturalization Service, or by or 
     against any individual in the official capacity of such 
     individual as an officer or employee in connection with a 
     function transferred pursuant to this section, shall abate by 
     reason of the enactment of this Act.
       (e) Continuance of Suit With Substitution of Parties.--If 
     any Government officer in the official capacity of such 
     officer is party to a suit with respect to a function of the 
     officer, and such function is transferred under this title to 
     any other officer or office, then such suit shall be 
     continued with the other officer or the head of such other 
     office, as applicable, substituted or added as a party.
       (f) Administrative Procedure and Judicial Review.--Except 
     as otherwise provided by this title, any statutory 
     requirements relating to notice, hearings, action upon the 
     record, or administrative or judicial review that apply to 
     any function transferred under this title shall apply to the 
     exercise of such function by the head of the office, and 
     other officers of the office, to which such function is 
     transferred.

     SEC. 1117. INTERIM SERVICE OF THE COMMISSIONER OF IMMIGRATION 
                   AND NATURALIZATION.

       The individual serving as the Commissioner of Immigration 
     and Naturalization on the day before the effective date of 
     this title may serve as Under Secretary until the date on 
     which an Under Secretary is appointed under section 112 of 
     the Immigration and Nationality Act, as added by section 
     1103.

     SEC. 1118. OTHER AUTHORITIES NOT AFFECTED.

       Nothing in this title, or any amendment made by this title, 
     may be construed to authorize or require the transfer or 
     delegation of any function vested in, or exercised by--
       (1) the Secretary of State under the State Department Basic 
     Authorities Act of 1956, or under the immigration laws of the 
     United States, immediately prior to the effective date of 
     this title, with respect to the issuance and use of passports 
     and visas;
       (2) the Secretary of Labor or any official of the 
     Department of Labor immediately prior to the effective date 
     of this title, with respect to labor certifications or any 
     other authority under the immigration laws of the United 
     States; or
       (3) except as otherwise specifically provided in this 
     division, any other official of the Federal Government under 
     the immigration laws of the United States immediately prior 
     to the effective date of this title.

     SEC. 1119. TRANSITION FUNDING.

       (a) Authorization of Appropriations for Transition.--
       (1) In general.--There are authorized to be appropriated to 
     the Department of Homeland Security such sums as may be 
     necessary--
       (A) to effect--
       (i) the abolition of the Immigration and Naturalization 
     Service;
       (ii) the establishment of the Directorate of Immigration 
     Affairs and its components, the Bureau of Immigration 
     Services, and the Bureau of Enforcement (except for the 
     border patrol function and primary and secondary immigration 
     inspection functions);
       (iii) the transfer to the Directorate of Border and 
     Transportation Protection of the border patrol function and 
     primary and secondary immigration inspection functions; and
       (iv) the transfer of such other functions as are required 
     to be made under this division; and
       (B) to carry out any other duty that is made necessary by 
     this division, or any amendment made by this division.
       (2) Activities supported.--Activities supported under 
     paragraph (1) include--
       (A) planning for the transfer of functions from the 
     Immigration and Naturalization Service to the Directorate of 
     Immigration Affairs and the Directorate of Border and 
     Transportation Security, as appropriate, including the 
     preparation of any reports and implementation plans necessary 
     for such transfer;
       (B) the division, acquisition, and disposition of--
       (i) buildings and facilities;
       (ii) support and infrastructure resources; and
       (iii) computer hardware, software, and related 
     documentation;
       (C) other capital expenditures necessary to effect the 
     transfer of functions described in this paragraph;
       (D) revision of forms, stationery, logos, and signage;
       (E) expenses incurred in connection with the transfer and 
     training of existing personnel and hiring of new personnel; 
     and
       (F) such other expenses necessary to effect the transfers, 
     as determined by the Secretary.
       (b) Availability of Funds.--Amounts appropriated pursuant 
     to subsection (a) are authorized to remain available until 
     expended.
       (c) Transition Account.--
       (1) Establishment.--There is established in the general 
     fund of the Treasury of the United States a separate account, 
     which shall be known as the ``Directorate of Immigration 
     Affairs Transition Account'' (in this section referred to as 
     the ``Account'').
       (2) Use of account.--There shall be deposited into the 
     Account all amounts appropriated under subsection (a) and 
     amounts reprogrammed for the purposes described in subsection 
     (a).
       (d) Report to Congress on Transition.--Beginning not later 
     than 90 days after the effective date of division A of this 
     Act, and at the end of each fiscal year in which 
     appropriations are made pursuant to subsection (c), the 
     Secretary of Homeland Security shall submit a report to 
     Congress concerning the availability of funds to cover 
     transition costs, including--
       (1) any unobligated balances available for such purposes; 
     and
       (2) a calculation of the amount of appropriations that 
     would be necessary to fully fund the activities described in 
     subsection (a).
       (e) Effective Date.--This section shall take effect 1 year 
     after the effective date of division A of this Act.

                  Subtitle C--Miscellaneous Provisions

     SEC. 1121. FUNDING ADJUDICATION AND NATURALIZATION SERVICES.

       (a) Level of Fees.--Section 286(m) of the Immigration and 
     Nationality Act (8 U.S.C. 1356(m)) is amended by striking 
     ``services, including the costs of similar services provided 
     without charge to asylum applicants or other immigrants'' and 
     inserting ``services''.
       (b) Use of Fees.--
       (1) In general.--Each fee collected for the provision of an 
     adjudication or naturalization service shall be used only to 
     fund adjudication or naturalization services or, subject to 
     the availability of funds provided pursuant to subsection 
     (c), costs of similar services provided without charge to 
     asylum and refugee applicants.
       (2) Prohibition.--No fee may be used to fund adjudication- 
     or naturalization-related audits that are not regularly 
     conducted in the normal course of operation.
       (c) Refugee and Asylum Adjudication Services.--
       (1) Authorization of appropriations.--In addition to such 
     sums as may be otherwise available for such purposes, there 
     are authorized to be appropriated such sums as may be 
     necessary to carry out the provisions of sections 207 through 
     209 of the Immigration and Nationality Act.
       (2) Availability of funds.--Funds appropriated pursuant to 
     paragraph (1) are authorized to remain available until 
     expended.
       (d) Separation of Funding.--
       (1) In general.--There shall be established separate 
     accounts in the Treasury of the United States for 
     appropriated funds and other collections available for the 
     Bureau of Immigration Services and the Bureau of Enforcement.
       (2) Fees.--Fees imposed for a particular service, 
     application, or benefit shall be deposited into the account 
     established under paragraph (1) that is for the bureau with 
     jurisdiction over the function to which the fee relates.

[[Page S9265]]

       (3) Fees not transferable.--No fee may be transferred 
     between the Bureau of Immigration Services and the Bureau of 
     Enforcement for purposes not authorized by section 286 of the 
     Immigration and Nationality Act, as amended by subsection 
     (a).
       (e) Authorization of Appropriations for Backlog 
     Reduction.--
       (1) In general.--There are authorized to be appropriated 
     such sums as may be necessary for each of the fiscal years 
     2003 through 2006 to carry out the Immigration Services and 
     Infrastructure Improvement Act of 2000 (title II of Public 
     Law 106-313).
       (2) Availability of funds.--Amounts appropriated under 
     paragraph (1) are authorized to remain available until 
     expended.
       (3) Infrastructure improvement account.--Amounts 
     appropriated under paragraph (1) shall be deposited into the 
     Immigration Services and Infrastructure Improvements Account 
     established by section 204(a)(2) of title II of Public Law 
     106-313.

     SEC. 1122. APPLICATION OF INTERNET-BASED TECHNOLOGIES.

       (a) Establishment of On-Line Database.--
       (1) In general.--Not later than 2 years after the effective 
     date of division A, the Secretary, in consultation with the 
     Under Secretary and the Technology Advisory Committee, shall 
     establish an Internet-based system that will permit an 
     immigrant, nonimmigrant, employer, or other person who files 
     any application, petition, or other request for any benefit 
     under the immigration laws of the United States access to on-
     line information about the processing status of the 
     application, petition, or other request.
       (2) Privacy considerations.--The Under Secretary shall 
     consider all applicable privacy issues in the establishment 
     of the Internet system described in paragraph (1). No 
     personally identifying information shall be accessible to 
     unauthorized persons.
       (3) Means of access.--The on-line information under the 
     Internet system described in paragraph (1) shall be 
     accessible to the persons described in paragraph (1) through 
     a personal identification number (PIN) or other personalized 
     password.
       (4) Prohibition on fees.--The Under Secretary shall not 
     charge any immigrant, nonimmigrant, employer, or other person 
     described in paragraph (1) a fee for access to the 
     information in the database that pertains to that person.
       (b) Feasibility Study for On-Line Filing and Improved 
     Processing.--
       (1) On-line filing.--
       (A) In general.--The Under Secretary, in consultation with 
     the Technology Advisory Committee, shall conduct a study to 
     determine the feasibility of on-line filing of the documents 
     described in subsection (a).
       (B) Study elements.--The study shall--
       (i) include a review of computerization and technology of 
     the Immigration and Naturalization Service (or successor 
     agency) relating to immigration services and the processing 
     of such documents;
       (ii) include an estimate of the time-frame and costs of 
     implementing on-line filing of such documents; and
       (iii) consider other factors in implementing such a filing 
     system, including the feasibility of the payment of fees on-
     line.
       (2) Report.--Not later than 2 years after the effective 
     date of division A, the Under Secretary shall submit to the 
     Committees on the Judiciary of the Senate and the House of 
     Representatives a report on the findings of the study 
     conducted under this subsection.
       (c) Technology Advisory Committee.--
       (1) Establishment.--Not later than 1 year after the 
     effective date of division A, the Under Secretary shall 
     establish, after consultation with the Committees on the 
     Judiciary of the Senate and the House of Representatives, an 
     advisory committee (in this section referred to as the 
     ``Technology Advisory Committee'') to assist the Under 
     Secretary in--
       (A) establishing the tracking system under subsection (a); 
     and
       (B) conducting the study under subsection (b).
       (2) Composition.--The Technology Advisory Committee shall 
     be composed of--
       (A) experts from the public and private sector capable of 
     establishing and implementing the system in an expeditious 
     manner; and
       (B) representatives of persons or entities who may use the 
     tracking system described in subsection (a) and the on-line 
     filing system described in subsection (b)(1).

     SEC. 1123. ALTERNATIVES TO DETENTION OF ASYLUM SEEKERS.

       (a) Assignments of Asylum Officers.--The Under Secretary 
     shall assign asylum officers to major ports of entry in the 
     United States to assist in the inspection of asylum seekers. 
     For other ports of entry, the Under Secretary shall take 
     steps to ensure that asylum officers participate in the 
     inspections process.
       (b) Amendment of the Immigration and Nationality Act.--
     Chapter 4 of title II of the Immigration and Nationality Act 
     (8 U.S.C. 1221 et seq.) is amended by inserting after section 
     236A the following new section:

     ``SEC. 236B. ALTERNATIVES TO DETENTION OF ASYLUM SEEKERS.

       ``(a) Development of Alternatives to Detention.--The Under 
     Secretary shall--
       ``(1) authorize and promote the utilization of alternatives 
     to the detention of asylum seekers who do not have 
     nonpolitical criminal records; and
       ``(2) establish conditions for the detention of asylum 
     seekers that ensure a safe and humane environment.
       ``(b) Specific Alternatives for Consideration.--The Under 
     Secretary shall consider the following specific alternatives 
     to the detention of asylum seekers described in subsection 
     (a):
       ``(1) Parole from detention.
       ``(2) For individuals not otherwise qualified for parole 
     under paragraph (1), parole with appearance assistance 
     provided by private nonprofit voluntary agencies with 
     expertise in the legal and social needs of asylum seekers.
       ``(3) For individuals not otherwise qualified for parole 
     under paragraph (1) or (2), non-secure shelter care or group 
     homes operated by private nonprofit voluntary agencies with 
     expertise in the legal and social needs of asylum seekers.
       ``(4) Noninstitutional settings for minors such as foster 
     care or group homes operated by private nonprofit voluntary 
     agencies with expertise in the legal and social needs of 
     asylum seekers.
       ``(c) Regulations.--The Under Secretary shall promulgate 
     such regulations as may be necessary to carry out this 
     section.
       ``(d) Definition.--In this section, the term `asylum 
     seeker' means any applicant for asylum under section 208 or 
     any alien who indicates an intention to apply for asylum 
     under that section.''.
       (b) Clerical Amendment.--The table of contents of the 
     Immigration and Nationality Act is amended by inserting after 
     the item relating to section 236A the following new item:

``Sec. 236B. Alternatives to detention of asylum seekers.''.

                       Subtitle D--Effective Date

     SEC. 1131. EFFECTIVE DATE.

       This title, and the amendments made by this title, shall 
     take effect one year after the effective date of division A 
     of this Act.

           TITLE XII--UNACCOMPANIED ALIEN JUVENILE PROTECTION

     SEC. 1201. UNACCOMPANIED ALIEN JUVENILES.

       (a) Custody Determinations.--
       (1) In general.--
       (A) Initial custody and care.--The custody and care of an 
     unaccompanied alien juvenile shall be the responsibility of 
     the Under Secretary of Immigration Affairs in the Department 
     of Homeland Security or the Under Secretary of Border and 
     Transportation Security, as determined under guidelines to be 
     promulgated by the Secretary.
       (B) Transfer of custody and care.--Unless the juvenile is 
     described in subsection (b), the Department of Homeland 
     Security shall transfer custody and care of that juvenile to 
     the Office of Refugee Resettlement of the Department of 
     Health and Human Services.
       (2) Exception.--Notwithstanding paragraph (1), the 
     Directorate of Immigration Affairs shall retain or assume the 
     custody and care of an unaccompanied alien juvenile--
       (A) who has been charged with a felony;
       (B) who has been convicted of a felony;
       (C) who exhibits a violent or criminal behavior that 
     endangers others; or
       (D) with respect to whom the Secretary of Homeland Security 
     has a substantial evidence to conclude that such juvenile 
     endangers the national security of the United States.
       (b) Functions.--
       (1) In general.--Pursuant to subsection (a)(2), the 
     Director of the Office of Refugee Resettlement shall be 
     responsible for--
       (A) coordinating and implementing the custody and care of 
     unaccompanied alien juveniles who are in Federal custody by 
     reason of their immigration status, including developing a 
     plan to be submitted to the Congress on how to ensure that 
     qualified and independent legal counsel is timely appointed 
     to represent the interests of each such juvenile, consistent 
     with the law regarding appointment of counsel that is in 
     effect on the date of the enactment of this Act;
       (B) ensuring that the interests of the juvenile are 
     considered in decisions and actions relating to the custody 
     and care of an unaccompanied alien juvenile;
       (C) making placement determinations for all unaccompanied 
     alien juveniles who are in Federal custody by reason of their 
     immigration status;
       (D) implementing placement determinations for such 
     unaccompanied alien juveniles;
       (E) implementing policies with respect to the care and 
     placement of unaccompanied alien juveniles;
       (F) identifying a sufficient number of qualified 
     individuals, entities, and facilities to house unaccompanied 
     alien juveniles;
       (G) overseeing the infrastructure and personnel of 
     facilities in which unaccompanied alien juveniles are housed;
       (H) reuniting unaccompanied alien juveniles with a parent 
     abroad in appropriate cases;
       (I) compiling, updating, and publishing at least annually a 
     State-by-State list of professionals or other entities 
     qualified to provide guardian and attorney representation 
     services for unaccompanied alien juveniles;
       (J) maintaining statistical information and other data on 
     unaccompanied alien juveniles for whose care and placement 
     the Director is responsible, which shall include--
       (i) biographical information, such as a juvenile's name, 
     sex, date of birth, country of birth, and country of habitual 
     residence;
       (ii) the date on which the juvenile came into Federal 
     custody by reason of his or her immigration status;

[[Page S9266]]

       (iii) information relating to the juvenile's placement, 
     removal, or release from each facility in which the juvenile 
     has resided;
       (iv) in any case in which the juvenile is placed in 
     detention or released, an explanation relating to the 
     detention or release; and
       (v) the disposition of any actions in which the juvenile is 
     the subject;
       (K) collecting and compiling statistical information from 
     the Department of Justice, the Department of Homeland 
     Security, and the Department of State on each department's 
     actions relating to unaccompanied alien juveniles; and
       (L) conducting investigations and inspections of facilities 
     and other entities in which unaccompanied alien juveniles 
     reside.
       (2) Coordination with other entities; no release on own 
     recognizance.--In making determinations described in 
     paragraph (1)(C), the Director of the Office of Refugee 
     Resettlement--
       (A) shall consult with appropriate juvenile justice 
     professionals, the Director of Immigration Affairs of the 
     Department of Homeland Security to ensure that the 
     unaccompanied alien juveniles with respect to whom the 
     placement determinations are made--
       (i) are likely to appear for all hearings or proceedings in 
     which they are involved;
       (ii) are protected from smugglers, traffickers, or others 
     who might seek to victimize or otherwise engage them in 
     criminal, harmful, or exploitative activity; and
       (iii) are placed in a setting in which they not likely to 
     pose a danger to themselves or others; and
       (B) shall not release such juveniles upon their own 
     recognizance.
       (3) Duties with respect to foster care.-- In carrying out 
     the duties described in paragraph (1)(G), the Director of the 
     Office of Refugee Resettlement is encouraged to consider the 
     use of the refugee children foster care system established 
     pursuant to section 412(d) of the Immigration and Nationality 
     Act (8 U.S.C. 1522(d)) for the placement of unaccompanied 
     alien juveniles.
       (c) Appropriate Conditions for Detention of Unaccompanied 
     Alien Juveniles.--
       (1) In general.--An unaccompanied alien juvenile described 
     in subsection (a)(2) may be placed in a facility appropriate 
     for delinquent juveniles under conditions appropriate to the 
     behavior of such juvenile.
       (2) Restriction on detention in adult detention 
     facilities.--To the maximum extent practicable, and 
     consistent with the protection of the juvenile and others, an 
     unaccompanied alien juvenile shall not be placed in an adult 
     detention facility.
       (d) Rule of Construction.--Nothing in this section may be 
     construed to transfer the responsibility for adjudicating 
     benefit determinations or making enforcement determinations 
     under the Immigration and Nationality Act (8 U.S.C. 1101 et 
     seq.) from the authority of any official of the Department of 
     Justice, the Department of Homeland Security, or the 
     Department of State, as the case may be.
       (e) Transfer of Functions.--There are transferred to the 
     Director of the Office of Refugee Resettlement of the 
     Department of Health and Human Services functions under the 
     immigration and nationality laws of the United States with 
     respect to the custody and care of unaccompanied alien 
     juveniles that were vested by statute in, or performed by, 
     the Commissioner of the Immigration and Naturalization 
     Service (or any officer, employee, or component of the 
     Immigration and Naturalization Service) immediately before 
     the effective date specified in subsection (i).
       (f) Other Transition Matters.--
       (1) Exercise of authorities.--Except as otherwise provided 
     by law, a Federal official to whom a function is transferred 
     by this section may, for purposes of performing the function, 
     exercise all authorities under any other provision of law 
     that were available with respect to the performance of that 
     function to the official responsible for the performance of 
     the function immediately before the effective date specified 
     in subsection (i).
       (2) Savings provisions.--Subsections (a), (b), and (c) of 
     section 812 shall apply to a transfer of functions under this 
     section in the same manner as such provisions apply to a 
     transfer of functions under this Act to the Department of 
     Homeland Security.
       (3) Transfer and allocation of appropriations.--The assets, 
     liabilities, contracts, property, records, and unexpended 
     balance of appropriations, authorizations, allocations, and 
     other funds employed, held, used, arising from, available to, 
     or to be made available to, the Immigration and 
     Naturalization Service in connection with the functions 
     transferred by this section, subject to section 202 of the 
     Budget and Accounting Procedures Act of 1950, shall be 
     transferred to the Director of the Office of Refugee 
     Resettlement for allocation to the appropriate component of 
     the Department of Health and Human Services. Unexpended funds 
     transferred pursuant to this paragraph shall be used only for 
     the purposes for which the funds were originally authorized 
     and appropriated.
       (g) References.--With respect to any function transferred 
     by this section, any reference in any other Federal law, 
     Executive order, rule, regulation, or delegation of 
     authority, or any document of or pertaining to a component of 
     government from which such function is transferred--
       (1) to the head of such component is deemed to refer to the 
     Director of the Office of Refugee Resettlement; or
       (2) to such component is deemed to refer to the Office of 
     Refugee Resettlement of the Department of Health and Human 
     Services.
       (h) Definitions.--In this section:
       (1) Lawfully present in the united states.--The term 
     ``lawfully present in the United States'' means, with respect 
     to an alien, an alien who is--
       (A) an alien who is lawfully admitted for permanent 
     residence (as defined in section 101(a)(20) of the 
     Immigration and Nationality Act);
       (B) an alien who is a nonimmigrant alien described in 
     section 101(a)(15) of the Immigration and Nationality Act;
       (C) an alien who is a special immigrant described in 
     section 101(a)(27) of the Immigration and Nationality Act;
       (D) an alien who is granted asylum under section 208 of 
     that Act;
       (E) a refugee who is admitted to the United States under 
     section 207 of that Act;
       (F) an alien who is paroled into the United States under 
     section 212(d)(5) of that Act; or
       (G) an alien whose deportation is being withheld under 
     section 243(h) of the Immigration and Nationality Act (as in 
     effect before April 1, 1997) or section 241(b)(3) of the 
     Immigration and Nationality Act.
       (2) Placement.--The term ``placement'' means the placement 
     of an unaccompanied alien juvenile in either a detention 
     facility or an alternative to such a facility.
       (3) Unaccompanied alien juvenile.--The term ``unaccompanied 
     alien juvenile'' means an alien who--
       (A) is not lawfully present in the United States;
       (B) has not attained 18 years of age; and
       (C) with respect to whom--
       (i) there is no parent or legal guardian in the United 
     States; or
       (ii) no parent or legal guardian in the United States is 
     available to provide care and physical custody.
       (i) Effective Date.--Notwithstanding section 4, this 
     section shall take effect on the date on which the transfer 
     of functions specified under section 411 takes effect.

          TITLE XIII--EXECUTIVE OFFICE FOR IMMIGRATION REVIEW

     SEC. 1301. LEGAL STATUS OF EOIR.

       (a) Existence of EOIR.--There is in the Department of 
     Justice the Executive Office for Immigration Review, which 
     shall be subject to the direction and regulation of the 
     Attorney General under section 103(g) of the Immigration and 
     Nationality Act, as added by section 1302.

     SEC. 1302. AUTHORITIES OF THE ATTORNEY GENERAL.

       Section 103 of the Immigration and Nationality Act (8 
     U.S.C. 1103) as amended by this Act, is further amended by--
       (1) amending the heading to read as follows:


  ``powers and duties of the secretary, the under secretary, and the 
                          attorney general'';

       (2) in subsection (a)--
       (A) by inserting ``Attorney General,'' after 
     ``President,''; and
       (B) by redesignating paragraphs (8), (9), (8) (as added by 
     section 372 of Public Law 104-208), and (9) (as added by 
     section 372 of Public Law 104-208) as paragraphs (8), (9), 
     (10), and (11), respectively; and
       (3) by adding at the end the following new subsection:
       ``(g) Attorney General.--
       ``(1) In general.--The Attorney General shall have such 
     authorities and functions under this Act and all other laws 
     relating to the immigration and naturalization of aliens as 
     were exercised by the Executive Office for Immigration 
     Review, or by the Attorney General with respect to the 
     Executive Office for Immigration Review, on the day before 
     the effective date of the Immigration Reform, Accountability 
     and Security Enhancement Act of 2002.
       ``(2) Powers.--The Attorney General shall establish such 
     regulations, prescribe such forms of bond, reports, entries, 
     and other papers, issue such instructions, review such 
     administrative determinations in immigration proceedings, 
     delegate such authority, and perform such other acts as the 
     Attorney General determines to be necessary for carrying out 
     this section.''.

     SEC. 1303. STATUTORY CONSTRUCTION.

       Nothing in this Act, any amendment made by this Act, or in 
     section 103 of the Immigration and Nationality Act, as 
     amended by section 1302, shall be construed to limit judicial 
     deference to regulations, adjudications, interpretations, 
     orders, decisions, judgments, or any other actions of the 
     Secretary of Homeland Security or the Attorney General.

               DIVISION C--FEDERAL WORKFORCE IMPROVEMENT

                TITLE XXI--CHIEF HUMAN CAPITAL OFFICERS

     SEC. 2101. SHORT TITLE.

       This title may be cited as the ``Chief Human Capital 
     Officers Act of 2002''.

     SEC. 2102. AGENCY CHIEF HUMAN CAPITAL OFFICERS.

       (a) In General.--Part II of title 5, United States Code, is 
     amended by inserting after chapter 13 the following:

           ``CHAPTER 14--AGENCY CHIEF HUMAN CAPITAL OFFICERS

``Sec.
``1401. Establishment of agency Chief Human Capital Officers.
``1402. Authority and functions of agency Chief Human Capital Officers.

[[Page S9267]]

     ``Sec. 1401. Establishment of agency Chief Human Capital 
       Officers

       ``The head of each agency referred to under paragraphs (1) 
     and (2) of section 901(b) of title 31 shall appoint or 
     designate a Chief Human Capital Officer, who shall--
       ``(1) advise and assist the head of the agency and other 
     agency officials in carrying out the agency's 
     responsibilities for selecting, developing, training, and 
     managing a high-quality, productive workforce in accordance 
     with merit system principles;
       ``(2) implement the rules and regulations of the President 
     and the Office of Personnel Management and the laws governing 
     the civil service within the agency; and
       ``(3) carry out such functions as the primary duty of the 
     Chief Human Capital Officer.

     ``Sec. 1402. Authority and functions of agency Chief Human 
       Capital Officers

       ``(a) The functions of each Chief Human Capital Officer 
     shall include--
       ``(1) setting the workforce development strategy of the 
     agency;
       ``(2) assessing workforce characteristics and future needs 
     based on the agency's mission and strategic plan;
       ``(3) aligning the agency's human resources policies and 
     programs with organization mission, strategic goals, and 
     performance outcomes;
       ``(4) developing and advocating a culture of continuous 
     learning to attract and retain employees with superior 
     abilities;
       ``(5) identifying best practices and benchmarking studies, 
     and
       ``(6) applying methods for measuring intellectual capital 
     and identifying links of that capital to organizational 
     performance and growth.
       ``(b) In addition to the authority otherwise provided by 
     this section, each agency Chief Human Capital Officer--
       ``(1) shall have access to all records, reports, audits, 
     reviews, documents, papers, recommendations, or other 
     material that--
       ``(A) are the property of the agency or are available to 
     the agency; and
       ``(B) relate to programs and operations with respect to 
     which that agency Chief Human Capital Officer has 
     responsibilities under this chapter; and
       ``(2) may request such information or assistance as may be 
     necessary for carrying out the duties and responsibilities 
     provided by this chapter from any Federal, State, or local 
     governmental entity.''.
       (b) Technical and Conforming Amendment.--The table of 
     chapters for chapters for part II of title 5, United States 
     Code, is amended by inserting after the item relating to 
     chapter 13 the following:

``14. Agency Chief Human Capital Officers...................1401''.....

     SEC. 2103. CHIEF HUMAN CAPITAL OFFICERS COUNCIL.

       (a) Establishment.--There is established a Chief Human 
     Capital Officers Council, consisting of--
       (1) the Director of the Office of Personnel Management, who 
     shall act as chairperson of the Council;
       (2) the Deputy Director for Management of the Office of 
     Management and Budget, who shall act as vice chairperson of 
     the Council; and
       (3) the Chief Human Capital Officers of Executive 
     departments and any other members who are designated by the 
     Director of the Office of Personnel Management.
       (b) Functions.--The Chief Human Capital Officers Council 
     shall meet periodically to advise and coordinate the 
     activities of the agencies of its members on such matters as 
     modernization of human resources systems, improved quality of 
     human resources information, and legislation affecting human 
     resources operations and organizations.
       (c) Employee Labor Organizations at Meetings.--The Chief 
     Human Capital Officers Council shall ensure that 
     representatives of Federal employee labor organizations are 
     present at a minimum of 1 meeting of the Council each year. 
     Such representatives shall not be members of the Council.
       (d) Annual Report.--Each year the Chief Human Capital 
     Officers Council shall submit a report to Congress on the 
     activities of the Council.

     SEC. 2104. STRATEGIC HUMAN CAPITAL MANAGEMENT.

       Section 1103 of title 5, United States Code, is amended by 
     adding at the end the following:
       ``(c)(1) The Office of Personnel Management shall design a 
     set of systems, including appropriate metrics, for assessing 
     the management of human capital by Federal agencies.
       ``(2) The systems referred to under paragraph (1) shall be 
     defined in regulations of the Office of Personnel Management 
     and include standards for--
       ``(A)(i) aligning human capital strategies of agencies with 
     the missions, goals, and organizational objectives of those 
     agencies; and
       ``(ii) integrating those strategies into the budget and 
     strategic plans of those agencies;
       ``(B) closing skill gaps in mission critical occupations;
       ``(C) ensuring continuity of effective leadership through 
     implementation of recruitment, development, and succession 
     plans;
       ``(D) sustaining a culture that cultivates and develops a 
     high performing workforce;
       ``(E) developing and implementing a knowledge management 
     strategy supported by appropriate investment in training and 
     technology; and
       ``(F) holding managers and human resources officers 
     accountable for efficient and effective human resources 
     management in support of agency missions in accordance with 
     merit system principles.''.

     SEC. 2105. EFFECTIVE DATE.

       This title shall take effect 180 days after the date of 
     enactment of this division.

    TITLE XXII--REFORMS RELATING TO FEDERAL HUMAN CAPITAL MANAGEMENT

     SEC. 2201. INCLUSION OF AGENCY HUMAN CAPITAL STRATEGIC 
                   PLANNING IN PERFORMANCE PLANS AND PROGRAMS 
                   PERFORMANCE REPORTS.

       (a) Performance Plans.--Section 1115 of title 31, United 
     States Code, is amended--
       (1) in subsection (a), by striking paragraph (3) and 
     inserting the following:
       ``(3) provide a description of how the performance goals 
     and objectives are to be achieved, including the operation 
     processes, training, skills and technology, and the human, 
     capital, information, and other resources and strategies 
     required to meet those performance goals and objectives.'';
       (2) by redesignating subsection (f) as subsection (g); and
       (3) by inserting after subsection (e) the following:
       ``(f) With respect to each agency with a Chief Human 
     Capital Officer, the Chief Human Capital Officer shall 
     prepare that portion of the annual performance plan described 
     under subsection (a)(3).''.
       (b) Program Performance Reports.--Section 1116(d) of title 
     31, United States Code, is amended--
       (1) in paragraph (4), by striking ``and'' after the 
     semicolon;
       (2) by redesignating paragraph (5) as paragraph (6); and
       (3) by inserting after paragraph (4) the following:
       ``(5) include a review of the performance goals and 
     evaluation of the performance plan relative to the agency's 
     strategic human capital management; and''.

     SEC. 2202. REFORM OF THE COMPETITIVE SERVICE HIRING PROCESS.

       (a) In General.--Chapter 33 of title 5, United States Code, 
     is amended--
       (1) in section 3304(a)--
       (A) in paragraph (1), by striking ``and'' after the 
     semicolon;
       (B) in paragraph (2), by striking the period and inserting 
     ``; and''; and
       (C) by adding at the end of the following:
       ``(3) authority for agencies to appoint, without regard to 
     the provision of sections 3309 through 3318, candidates 
     directly to positions for which--
       ``(A) public notice has been given; and
       ``(B) the Office of Personnel Management has determined 
     that there exists a severe shortage of candidates or there is 
     a critical hiring need.
     The Office shall prescribe, by regulation, criteria for 
     identifying such positions and may delegate authority to make 
     determinations under such criteria.''; and
       (2) by inserting after section 3318 the following:

     ``Sec. 3319. Alternative ranking and selection procedures

       ``(a) The Office, in exercising its authority under section 
     3304, or an agency to which the Office has delegated 
     examining authority under section 1104(a)(2), may establish 
     category rating systems for evaluating applicants for 
     positions in the competitive service, under 2 or more quality 
     categories based on merit consistent with regulations 
     prescribed by the Office of Personnel Management, rather than 
     assigned individual numerical ratings.
       ``(b) Within each quality category established under 
     subsection (a), preference-eligibles shall be listed ahead of 
     individuals who are not preference eligibles. For other than 
     scientific and professional positions at GS-9 of the General 
     Schedule (equivalent or higher), qualified preference-
     eligibles who have a compensable service-connected disability 
     of 10 percent or more shall be listed in the highest quality 
     category.
       ``(c)(1) An appointing official may select any applicant in 
     the highest quality category or, if fewer than 3 candidates 
     have been assigned to the highest quality category, in a 
     merged category consisting of the highest and the second 
     highest quality categories.
       ``(2) Notwithstanding paragraph (1), the appointing 
     official may not pass over a preference-eligible in the same 
     category from which selection is made, unless the 
     requirements of section 3317(b) or 3318(b), as applicable, 
     are satisfied.
       ``(d) Each agency that establishes a category rating system 
     under this section shall submit in each of the 3 years 
     following that establishment, a report to Congress on that 
     system including information on--
       ``(1) the number of employees hired under that system;
       ``(2) the impact that system has had on the hiring of 
     veterans and minorities, including those who are American 
     Indian or Alaska Natives, Asian, Black or African American, 
     and native Hawaiian or other Pacific Islanders; and
       ``(3) the way in which managers were trained in the 
     administration of that system.
       ``(e) The Office of Personnel Management may prescribe such 
     regulations as it considers necessary to carry out the 
     provisions of this section.''.
       (b) Technical and Conforming Amendment.--The table of 
     sections for chapter 33 of title 5, United States Code, is 
     amended by

[[Page S9268]]

     striking the item relating to section 3319 and inserting the 
     following:

``3319. Alternative ranking and selection procedures.''.

     SEC. 2203. PERMANENT EXTENSION, REVISION, AND EXPANSION OF 
                   AUTHORITIES FOR USE OF VOLUNTARY SEPARATION 
                   INCENTIVE PAY AND VOLUNTARY EARLY RETIREMENT.

       (a) Voluntary Separation Incentive Payments.--
       (1) In general.--
       (A) Amendment to title 5, united states code.--Chapter 35 
     of title 5, United States Code, is amended by inserting after 
     subchapter I the following:

        ``SUBCHAPTER II--VOLUNTARY SEPARATION INCENTIVE PAYMENTS

     ``Sec. 3521. Definitions

       ``In this subchapter, the term--
       ``(1) `agency' means an Executive agency as defined under 
     section 105; and
       ``(2) `employee'--
       ``(A) means an employee as defined under section 2105 
     employed by an agency and an individual employed by a county 
     committee established under section 8(b)(5) of the Soil 
     Conservation and Domestic Allotment Act (16 U.S.C. 
     590h(b)(5)) who--
       ``(i) is serving under an appointment without time 
     limitation; and
       ``(ii) has been currently employed for a continuous period 
     of at least 3 years; and
       ``(B) shall include--
       ``(i) a reemployed annuitant under subchapter III of 
     chapter 83 or 84 or another retirement system for employees 
     of the Government;
       ``(ii) an employee having a disability on the basis of 
     which such employee is or would be eligible for disability 
     retirement under subchapter III of chapter 83 or 84 or 
     another retirement system for employees of the Government.
       ``(iii) an employee who is in receipt of a decision notice 
     of involuntary separation for misconduct or unacceptable 
     performance;
       ``(iv) an employee who has previously received any 
     voluntary separation incentive payment from the Federal 
     Government under this subchapter or any other authority;
       ``(v) an employee covered by statutory reemployment rights 
     who is on transfer employment with another organization; or
       ``(vi) any employee who--

       ``(I) during the 36-month period preceding the date of 
     separation of that employee, performed service for which a 
     student loan repayment benefit was or is to be paid under 
     section 5379;
       ``(II) during the 24-month period preceding the date of 
     separation of that employee, performed service for which a 
     recruitment or relocation bonus was or is to be paid under 
     section 5753; or
       ``(III) during the 12-month period preceding the date of 
     separation of that employee, performed service for which a 
     retention bonus was or is to be paid under section 5754.

     ``Sec. 3522. Agency plans; approval

       ``(a) Before obligating any resources for voluntary 
     separation incentive payments, the head of each agency shall 
     submit to the Office of Personnel Management a plan outlining 
     the intended use of such incentive payments and a proposed 
     organizational chart for the agency once such incentive 
     payments have been completed.
       ``(b) The plan of an agency under subsection (a) shall 
     include--
       ``(1) the specific positions and functions to be reduced or 
     eliminated;
       ``(2) a description of which categories of employees will 
     be offered incentives;
       ``(3) the time period during which incentives may be paid;
       ``(4) the number and amounts of voluntary separation 
     incentive payments to be offered; and
       ``(5) a description of how the agency will operate without 
     the eliminated positions and functions.
       ``(c) The Director of the Office of Personnel Management 
     shall review each agency's plan an may make any appropriate 
     modifications in the plan, in consultation with the Director 
     of the Office of Management and Budget. A plan under this 
     section may not be implemented without the approval of the 
     Directive of the Office of Personnel Management.

     ``Sec. 3523. Authority to provide voluntary separation 
       incentive payments

       ``(a) A voluntary separation incentive payment under this 
     subchapter may be paid to an employee only as provided in the 
     plan of an agency established under section 3522.
       ``(b) A voluntary incentive payment--
       ``(1) shall be offered to agency employees on the basis 
     of--
       ``(A) 1 or more organizational units;
       ``(B) 1 or more occupational series or levels;
       ``(C) 1 or more geographical locations;
       ``(D) skills, knowledge, or other factors related to a 
     position;
       ``(E) specific periods of time during which eligible 
     employees may elect a voluntary incentive payment; or
       ``(F) any appropriate combination of such factors;
       ``(2) shall be paid in a lump sum after the employee's 
     separation;
       ``(3) shall be equal to the lesser of--
       ``(A) an amount equal to the amount the employee would be 
     entitled to receive under section 5595(c)if the employee were 
     entitled to payment under such section (without adjustment 
     for any previous payment made); or
       ``(B) an amount determined by the agency head, not to 
     exceed $25,000;
       ``(4) may be made only in the case of an employee who 
     voluntarily separates (whether by retirement or resignation) 
     under this subchapter;
       ``(5) shall not be a basis for payment, and shall not be 
     included in the computation, of any other type of Government 
     benefit;
       ``(6) shall not be taken into account in determining the 
     amount of any severance pay to which the employee may be 
     entitled under section 5595, based on another other 
     separation; and
       ``(7) shall be paid from appropriations or funds available 
     for the payment of the basic pay of the employee.

     ``Sec. 3524. Effect of subsequent employment with the 
       Government

       ``(a) The term `employment'--
       ``(1) in subsection (b) includes employment under a 
     personal services contract (or other direct contract) with 
     the United States Government (other than an entity in the 
     legislative branch); and
       ``(2) in subsection (c) does not include employment under 
     such a contract.
       ``(b) An individual who has received a voluntary separation 
     incentive payment under this subchapter and accepts any 
     employment for compensation with the Government of the United 
     States with 5 years after the date of the separation on which 
     the payment is based shall be required to pay, before the 
     individual's first day of employment, the entire amount of 
     the incentive payment to he agency that paid the incentive 
     payment.
       ``(c)(1) If the employment under this section is with an 
     agency, other than the General Accounting Office, the United 
     States Postal Service, or the Postal Rate Commission, the 
     Director of the Office of Personnel Management may, at the 
     request of the head of the agency, may waive the repayment 
     if--
       ``(A) the individual involved possesses unique abilities 
     and is the only qualified applicant available for the 
     position; or
       ``(B) in case of an emergency involving a direct threat to 
     life or property, the individual--
       ``(i) has skills directly related to resolving the 
     emergency; and
       ``(ii) will serve on a temporary basis only so long as that 
     individual's services are made necessary by the emergency.
       ``(2) If the employment under this section is with an 
     entity in the legislative branch, the head of the entity or 
     the appointing official may waive the repayment if the 
     individual involved possesses unique abilities and is the 
     only qualified applicant available for the position.
       ``(3) If the employment under this section is with the 
     judicial branch, the Director of the Administrative Office of 
     the United States Courts may waive the repayment if the 
     individual involved possesses unique abilities and is the 
     only qualified applicant available for the position.

     ``Sec. 3525. Regulations

       ``The Office of Personnel Management may prescribe 
     regulations to carry out this subchapter.''.
       (B) Technical and conforming amendments.--Chapter 35 of 
     title 5, United States Code, is amended--
       (i) by striking the chapter heading and inserting the 
     following:

  ``CHAPTER 35--RETENTION PREFERENCE, VOLUNTARY SEPARATION INCENTIVE 
               PAYMENTS, RESTORATION, AND REEMPLOYMENT'';

     and
       (ii) in the table of sections by inserting after the item 
     relating to section 3504 the following:


        ``Subchapter II--Voluntary Separation Incentive Payments

``3521. Definitions.
``3522. Agency plans; approval.
``3523. Authority to provide voluntary separation incentive payments.
``3524. Effect of subsequent employment with the Government.
``3525. Regulations.''.
       (2) Administrative office of the united states courts.--The 
     Director of the Administrative Office of the United States 
     Courts may, by regulation, establish a program substantially 
     similar to the program established under paragraph (1) for 
     individuals serving in the judicial branch.
       (3) Continuation of other authority.--Any agency exercising 
     any voluntary separation incentive authority in effect on the 
     effective date of this subsection may continue to offer 
     voluntary separation incentives consistent with that 
     authority until that authority expires.
       (4) Effective date.--This subsection shall take effect 60 
     days after the date of enactment of this Act.
       (b) Federal Employee Voluntary Early Retirement.--
       (1) Civil service retirement system.--Section 8336(d)(2) of 
     title 5, United States Code, is amended to read as follows:
       ``(2)(A) has been employed continuously, by the agency in 
     which the employee is serving, for at least the 31-day period 
     ending on the date on which such agency requests the 
     determination referred to in subparagraph (D);
       ``(B) is serving under an appointment that is not time 
     limited;
       ``(C) has not been duly notified that such employee is to 
     be involuntarily separated for misconduct or unacceptable 
     performance;

[[Page S9269]]

       ``(D) is separated from the service voluntarily during a 
     period in which, as determined by the office of Personnel 
     Management (upon request of the agency) under regulations 
     prescribed by the Office--
       ``(i) such agency (or, if applicable, the component in 
     which the employee is serving) is undergoing substantial 
     delayering, substantial reorganization, substantial 
     reductions in force, substantial transfer of function, or 
     other substantial workforce restructuring (or shaping);
       ``(ii) a significant percentage of employees servicing in 
     such agency (or component) are likely to be separated or 
     subject to an immediate reduction in the rate of basic pay 
     (without regard to subchapter VI of chapter 53, or comparable 
     provisions); or
       ``(iii) identified as being in positions which are becoming 
     surplus or excess to the agency's future ability to carry out 
     its mission effectively; and
       ``(E) as determined by the agency under regulations 
     prescribed by the Office, is within the scope of the offer of 
     voluntary early retirement, which may be made on the basis 
     of--
       ``(i) 1 or more organizational units;
       ``(ii) 1 or more occupational series or levels;
       ``(iii) 1 or more geographical locations;
       ``(iv) specific periods;
       ``(v) skills, knowledge, or other factors related to a 
     position; or
       ``(vi) any appropriate combination of such factors;''.
       (2) Federal employees' retirement system.--Section 
     8414(b)(1) of title 5, United States Code, is amended by 
     striking subparagraph (B) and inserting the following:
       ``(B)(i) has been employed continuously, by the agency in 
     which the employee is serving, for at least the 31-day period 
     ending on the date on which such agency requests the 
     determination referred to in clause (iv);
       ``(ii) is serving under an appointment that is not time 
     limited;
       ``(iii) has not been duly notified that such employee is to 
     be involuntarily separated for misconduct or unacceptable 
     performance;
       ``(iv) is separate from the service voluntarily during a 
     period in which, as determined by the Office of Personnel 
     Management (upon request of the agency) under regulations 
     prescribed by the Office--
       ``(I) such agency (or, if applicable, the component in 
     which the employee is serving) is undergoing substantial 
     delayering, substantial reorganization, substantial 
     reductions in force, substantial transfer of function, or 
     other substantial workforce restructuring (or shaping);
       ``(II) a significant percentage of employees serving in 
     such agency (or component) are likely to be separated or 
     subject to an immediate reduction in the rate of basic pay 
     (without regard to subchapter VI of chapter 53, or comparable 
     provisions); or
       ``(III) identified as being in positions which are becoming 
     surplus or excess to the agency's future ability to carry out 
     its mission effectively; and
       ``(v) as determined by the agency under regulations 
     prescribed by the Office, is within the scope of the offer of 
     voluntary early retirement, which may be made on the basis 
     of--
       ``(I) 1 or more organizational units;
       ``(II) 1 or more occupational series or levels;
       ``(III) 1 or more geographical locations;
       ``(IV) specific periods;
       ``(V) skills, knowledge, or other factors related to a 
     position; or
       ``(VI) any appropriate combination of such factors.''.
       (3) General accounting office authority.--The amendments 
     made by this subsection shall not be construed to affect the 
     authority under section 1 of Public Law 106-303 (5 U.S.C. 
     8336 note; 114 State. 1063).
       (4) Technical and conforming amendments.--Section 7001 of 
     the 1998 Supplemental Appropriations and Rescissions Act 
     (Public Law 105-174; 112 Stat. 91) is repealed.
       (5) Regulations.--The Office of Personnel Management may 
     prescribe regulations to carry out this subsection.
       (c) Sense of Congress.--It is the sense of Congress that 
     the implementation of this section is intended to reshape the 
     Federal workforce and not downsize the Federal workforce.

     SEC. 2204. STUDENT VOLUNTEER TRANSIT SUBSIDY.

       (a) In General.--Section 7905(a)(1) of title 5, United 
     States Code, is amended by striking ``and a member of a 
     uniformed service'' and inserting ``, a member of a uniformed 
     service, and a student who provides voluntary services under 
     section 3111''.
       (b) Technical and Conforming Amendment.--Section 3111(c)(1) 
     of title 5, United States Code, is amended by striking 
     ``chapter 81 of this title'' and inserting ``section 7905 
     (relating to commuting by means other than single-occupancy 
     motor vehicles), chapter 81''.

     TITLE XXIII--REFORMS RELATING TO THE SENIOR EXECUTIVE SERVICE

     SEC. 2301. REPEAL OF RECERTIFICATION REQUIREMENTS OF SENIOR 
                   EXECUTIVES.

       (a) In General.--Title 5, United States Code, is amended--
       (1) in chapter 33--
       (A) in section 3393(g) by striking ``3393a'';
       (B) by repealing section 3393a; and
       (C) in the table of sections by striking the item relating 
     to section 3393a;
       (2) in chapter 35--
       (A) in section 3592(a)--
       (i) in paragraph (1), by inserting ``or'' at the end;
       (ii) in paragraph (2), by striking ``or'' at the end;
       (iii) by striking paragraph (3); and
       (iv) by striking the last sentence;
       (B) in section 3593(a), by striking paragraph (2) and 
     inserting the following:
       ``(2) the appointee left the Senior Executive Service for 
     reasons other than misconduct, neglect of duty, malfeasance, 
     or less than fully successful executive performance as 
     determined under subchapter II of chapter 43.''; and
       (C) in section 3594(b)--
       (i) in paragraph (1), by inserting ``or'' at the end;
       (ii) in paragraph (2), by striking ``or'' at the end; and
       (iii) by striking paragraph (3);
       (3) in section 7701(c)(1)(A), by striking ``or removal from 
     the Senior Executive Service for failure to be recertified 
     under section 3393a'';
       (4) in chapter 83--
       (A) in section 8336(h)(1), by striking ``for failure to be 
     recertified as a senior executive under section 3393a or''; 
     and
       (B) in section 8339(h), in the first sentence, by striking 
     ``, except that such reduction shall not apply in the case of 
     an employee retiring under section 8336(h) for failure to be 
     recertified as a senior executive''; and
       (5) in chapter 84--
       (A) in section 8414(a)(1), by striking ``for failure to be 
     recertified as a senior executive under section 3393a or''; 
     and
       (B) in section 8421(a)(2), by striking ``, except that an 
     individual entitled to an annuity under section 8414(a) for 
     failure to be recertified as a senior executive shall be 
     entitled to an annuity supplement without regard to such 
     applicable retirement age''.
       (b) Savings Provision.--Notwithstanding the amendments made 
     by subsection (a)(2)(A), an appeal under the final sentence 
     of section 3592(a) of title 5, United States Code, that is 
     pending on the day before the effective date of this 
     section--
       (1) shall not abate by reason of the enactment of the 
     amendments made by subsection (a)(2)(A); and
       (2) shall continue as if such amendments had not been 
     enacted.
       (c) Application.--The amendment made by subsection 
     (a)(2)(B) shall not apply with respect to an individual who, 
     before the effective date of this section, leaves the Senior 
     Executive Service for failure to be recertified as a senior 
     executive under section 3393a of title 5, United States Code.

     SEC. 2302. ADJUSTMENT OF LIMITATION ON TOTAL ANNUAL 
                   COMPENSATION.

       Section 5307(a) of title 5, United States Code, is amended 
     by adding at the end the following:
       ``(3) Notwithstanding paragraph (1), the total payment 
     referred to under such paragraph with respect to an employee 
     paid under section 5372, 5376, or 5383 of title 5 or section 
     332(f), 603, or 604 of title 28 shall not exceed the total 
     annual compensation payable to the Vice President under 
     section 104 of title 3. Regulations prescribed under 
     subsection (c) may extend the application of this paragraph 
     to other equivalent categories of employees.''.

                     TITLE XXIV--ACADEMIC TRAINING

     SEC. 2401. ACADEMIC TRAINING.

       (a) Academic Degree Training.--Section 4107 of title 5, 
     United States Code, is amended to read as follows:

     ``Sec.  4107. Academic degree training

       ``(a) Subject to subsection (b), an agency may select and 
     assign an employee to academic degree training and may pay or 
     reimburse the costs of academic degree training from 
     appropriated or other available funds if such training--
       ``(1) contributes significantly to--
       ``(A) meeting an identified agency training need;
       ``(B) resolving an identified agency staffing problem; or
       ``(C) accomplishing goals in the strategic plan of the 
     agency;
       ``(2) is part of a planned, systemic, and coordinated 
     agency employee development program linked to accomplishing 
     the strategic goals of the agency; and
       ``(3) is accredited and is provided by a college or 
     university that is accredited by a nationally recognized 
     body.
       ``(b) In exercising authority under subsection (a), an 
     agency shall--
       ``(1) consistent with the merit system principles set forth 
     in paragraphs (2) and (7) of section 2301(b), take into 
     consideration the need to--
       ``(A) maintain a balanced workforce in which women, members 
     of racial and ethnic minority groups, and persons with 
     disabilities are appropriately represented in Government 
     service; and
       ``(B) provide employees effective education and training to 
     improve organizational and individual performance;
       ``(2) assure that the training is not for the sole purpose 
     of providing an employee an opportunity to obtain an academic 
     degree or qualify for appointment to a particular position 
     for which the academic degree is a basic requirement;
       ``(3) assure that no authority under this subsection is 
     exercised on behalf of any employee occupying or seeking to 
     qualify for--
       ``(A) a noncareer appointment in the senior Executive 
     Service; or
       ``(B) appointment to any position that is excepted from the 
     competitive service because of its confidential policy-
     determining,

[[Page S9270]]

     policy-making or policy-advocating character; and
       ``(4) to the greatest extent practicable, facilitate the 
     use of online degree training.''.
       (b) Technical and Conforming Amendment.--The table of 
     sections for chapter 41 of title 5, United States Code, is 
     amended by striking the item relating to section 4107 and 
     inserting the following:

``4107. Academic degree training.''.

     SEC. 2402. MODIFICATIONS TO NATIONAL SECURITY EDUCATION 
                   PROGRAM.

       (a) Findings and Policies.--
       (1) Findings.--Congress finds that--
       (A) the United States Government actively encourages and 
     financially supports the training, education, and development 
     of many United States citizens;
       (B) as a condition of some of those supports, many of those 
     citizens have an obligation to seek either compensated or 
     uncompensated employment in the Federal sector; and
       (C) it is in the United States national interest to 
     maximize the return to the Nation of funds invested in the 
     development of such citizens by seeking to employ them in the 
     Federal sector.
       (2) Policy.--It shall be the policy of the United States 
     Government to--
       (A) establish procedures for ensuring that United States 
     citizens who have incurred service obligations as the result 
     of receiving financial support for education and training 
     from the United States Government and have applied for 
     Federal positions are considered in all recruitment and 
     hiring initiatives of Federal departments, bureaus, agencies, 
     and offices; and
       (B) advertise and open all Federal positions to United 
     States citizens who have incurred service obligations with 
     the United States Government as the result of receiving 
     financial support for education and training from the United 
     States Government.
       (b) Fulfillment of Service Requirement if National Security 
     Positions Are Unavailable.--Section 802(b)(2) of the David L. 
     Boren National Security Education Act of 1991 (50 U.S.C. 
     1902) is amended--
       (1) in subparagraph (A), by striking clause (ii) and 
     inserting the following:
       ``(ii) if the recipient demonstrates to the Secretary (in 
     accordance with such regulations) that no national security 
     position in an agency or office of the Federal Government 
     having national security responsibilities is available, work 
     in other offices or agencies of the Federal Government or in 
     the field of higher education in a discipline relating to the 
     foreign country, foreign language, area study, or 
     international field of study for which the scholarship was 
     awarded, for a period specified by the Secretary, which 
     period shall be determined in accordance with clause (i); 
     or''; and
       (2) in subparagraph (B), by striking clause (ii) and 
     inserting the following:
       ``(ii) if the recipient demonstrates to the Secretary (in 
     accordance with such regulations) that no national security 
     position is available upon the completion of the degree, work 
     in other offices or agencies of the Federal Government or in 
     the field of higher education in a discipline relating to 
     foreign country, foreign language, area study, or 
     international field of study for which the fellowship was 
     awarded, for a period specified by the Secretary, which 
     period shall be determined in accordance with clause (i); 
     and''.

     SEC. 2403. COMPENSATION TIME OFF FOR TRAVEL.

       Subchapter V of chapter 55 of title 5, United States Code, 
     is amended by adding at end the following:

     ``Sec. 5550b. Compensatory time off for travel

       ``(a) An employee shall receive 1 hour of compensatory time 
     off for each hour spent by the employee in travel status away 
     from the official duty station of the employee, to the extent 
     that the time spent in travel status is not otherwise 
     compensable.
       ``(b) Not later than 30 days after the date of enactment of 
     this section, the Office of Personnel Management shall 
     prescribe regulations to implement this section.''.

     SEC. 2404. EXTENSION OF CUSTOMS USER FEES.

       Section 13031(j)(3) of the Consolidated Omnibus Budget 
     Reconciliation Act of 1985 (19 U.S.C. 58c(j)(3)) is amended 
     by striking ``September 30, 2003'' and inserting ``December 
     31, 2007''.

 TITLE XXXI--NATIONAL COMMISSION ON TERRORIST ATTACKS UPON THE UNITED 
                                 STATES

     SEC. 3101. ESTABLISHMENT OF COMMISSION.

       There is established the National Commission on Terrorist 
     Attacks Upon the United States (in this title referred to as 
     the ``Commission'').

     SEC. 3102. PURPOSES.

       The purposes of the Commission are to--
       (1) examine and report upon the facts and causes relating 
     to the terrorist attacks of September 11, 2001, occurring at 
     the World Trade Center in New York, New York and at the 
     Pentagon in Virginia;
       (2) ascertain, evaluate, and report on the evidence 
     developed by all relevant governmental agencies regarding the 
     facts and circumstances surrounding the attacks;
       (3) build upon the investigations of other entities, and 
     avoid unnecessary duplication, by reviewing the findings, 
     conclusions, and recommendations of--
       (A) the Joint Inquiry of the Select Committee on 
     Intelligence of the Senate and the Permanent Select Committee 
     on Intelligence of the House of Representatives regarding the 
     terrorist attacks of September 11, 2001;
       (B) other executive branch, congressional, or independent 
     commission investigations into the terrorist attacks of 
     September 11, 2001, other terrorist attacks, and terrorism 
     generally;
       (4) make a full and complete accounting of the 
     circumstances surrounding the attacks, and the extent of the 
     United States' preparedness for, and response to, the 
     attacks; and
       (5) investigate and report to the President and Congress on 
     its findings, conclusions, and recommendations for corrective 
     measures that can be taken to prevent acts of terrorism.

     SEC. 3103. COMPOSITION OF THE COMMISSION.

       (a) Members.--The Commission shall be composed of 10 
     members, of whom--
       (1) 3 members shall be appointed by the majority leader of 
     the Senate;
       (2) 3 members shall be appointed by the Speaker of the 
     House of Representatives;
       (3) 2 members shall be appointed by the minority leader of 
     the Senate; and
       (4) 2 members shall be appointed by the minority leader of 
     the House of Representatives.
       (b) Chairperson; Vice Chairperson.--
       (1) In general.--Subject to paragraph (2), the Chairperson 
     and Vice Chairperson of the Commission shall be elected by 
     the members.
       (2) Political party affiliation.--The Chairperson and Vice 
     Chairperson shall not be from the same political party.
       (c) Qualifications; Initial Meeting.--
       (1) Political party affiliation.--Not more than 5 members 
     of the Commission shall be from the same political party.
       (2) Nongovernmental appointees.--An individual appointed to 
     the Commission may not be an officer or employee of the 
     Federal Government or any State or local government.
       (3) Other qualifications.--It is the sense of Congress that 
     individuals appointed to the Commission should be prominent 
     United States citizens, with national recognition and 
     significant depth of experience in such professions as 
     governmental service, law enforcement, the armed services, 
     legal practice, public administration, intelligence 
     gathering, commerce, including aviation matters, and foreign 
     affairs.
       (4) Initial meeting.--If 60 days after the date of 
     enactment of this Act, 6 or more members of the Commission 
     have been appointed, those members who have been appointed 
     may meet and, if necessary, select a temporary chairperson, 
     who may begin the operations of the Commission, including the 
     hiring of staff.
       (d) Quorum; Vacancies.--After its initial meeting, the 
     Commission shall meet upon the call of the chairperson or a 
     majority of its members. Six members of the Commission shall 
     constitute a quorum. Any vacancy in the Commission shall not 
     affect its powers, but shall be filled in the same manner in 
     which the original appointment was made.

     SEC. 3104. FUNCTIONS OF THE COMMISSION.

       The functions of the Commission are to--
       (1) conduct an investigation that--
       (A) investigates relevant facts and circumstances relating 
     to the terrorist attacks of September 11, 2001, including any 
     relevant legislation, Executive order, regulation, plan, 
     policy, practice, or procedure; and
       (B) may include relevant facts and circumstances relating 
     to--
       (i) intelligence agencies;
       (ii) law enforcement agencies;
       (iii) diplomacy;
       (iv) immigration, nonimmigrant visas, and border control;
       (v) the flow of assets to terrorist organizations;
       (vi) commercial aviation; and
       (vii) other areas of the public and private sectors 
     determined relevant by the Commission for its inquiry;
       (2) identify, review, and evaluate the lessons learned from 
     the terrorist attacks of September 11, 2001, regarding the 
     structure, coordination, management policies, and procedures 
     of the Federal Government, and, if appropriate, State and 
     local governments and nongovernmental entities, relative to 
     detecting, preventing, and responding to such terrorist 
     attacks; and
       (3) submit to the President and Congress such reports as 
     are required by this title containing such findings, 
     conclusions, and recommendations as the Commission shall 
     determine, including proposing organization, coordination, 
     planning, management arrangements, procedures, rules, and 
     regulations.

     SEC. 3105. POWERS OF THE COMMISSION.

       (a) In General.--
       (1) Hearings and evidence.--The Commission or, on the 
     authority of the Commission, any subcommittee or member 
     thereof, may, for the purpose of carrying out this title--
       (A) hold such hearings and sit and act at such times and 
     places, take such testimony, receive such evidence, 
     administer such oaths; and
       (B) require, by subpoena or otherwise, the attendance and 
     testimony of such witnesses and the production of such books, 
     records, correspondence, memoranda, papers, and documents, as 
     the Commission or such designated subcommittee or designated 
     member may determine advisable.
       (2) Subpoenas.--
       (A) Issuance.--Subpoenas issued under paragraph (1)(B) may 
     be issued under the signature of the chairperson of the 
     Commission, the vice chairperson of the Commission, the 
     chairperson of any subcommittee created by

[[Page S9271]]

     a majority of the Commission, or any member designated by a 
     majority of the Commission, and may be served by any person 
     designated by the chairperson, subcommittee chairperson, or 
     member.
       (B) Enforcement.--
       (i) In general.--In the case of contumacy or failure to 
     obey a subpoena issued under paragraph (1)(B), the United 
     States district court for the judicial district in which the 
     subpoenaed person resides, is served, or may be found, or 
     where the subpoena is returnable, may issue an order 
     requiring such person to appear at any designated place to 
     testify or to produce documentary or other evidence. Any 
     failure to obey the order of the court may be punished by the 
     court as a contempt of that court.
       (ii) Additional enforcement.--In the case of any failure of 
     any witness to comply with any subpoena or to testify when 
     summoned under authority of this section, the Commission may, 
     by majority vote, certify a statement of fact constituting 
     such failure to the appropriate United States attorney, who 
     may bring the matter before the grand jury for its action, 
     under the same statutory authority and procedures as if the 
     United States attorney had received a certification under 
     sections 102 through 104 of the Revised Statutes of the 
     United States (2 U.S.C. 192 through 194).
       (b) Closed Meetings.--
       (1) In general.--Meetings of the Commission may be closed 
     to the public under section 10(d) of the Federal Advisory 
     Committee Act (5 U.S.C. App.) or other applicable law.
       (2) Additional authority.--In addition to the authority 
     under paragraph (1), section 10(a)(1) and (3) of the Federal 
     Advisory Committee Act (5 U.S.C. App.) shall not apply to any 
     portion of a Commission meeting if the President determines 
     that such portion or portions of that meeting is likely to 
     disclose matters that could endanger national security. If 
     the President makes such determination, the requirements 
     relating to a determination under section 10(d) of that Act 
     shall apply.
       (c) Contracting.--The Commission may, to such extent and in 
     such amounts as are provided in appropriation Acts, enter 
     into contracts to enable the Commission to discharge its 
     duties under this title.
       (d) Information From Federal Agencies.--The Commission is 
     authorized to secure directly from any executive department, 
     bureau, agency, board, commission, office, independent 
     establishment, or instrumentality of the Government 
     information, suggestions, estimates, and statistics for the 
     purposes of this title. Each department, bureau, agency, 
     board, commission, office, independent establishment, or 
     instrumentality shall, to the extent authorized by law, 
     furnish such information, suggestions, estimates, and 
     statistics directly to the Commission, upon request made by 
     the chairperson, the chairperson of any subcommittee created 
     by a majority of the Commission, or any member designated by 
     a majority of the Commission.
       (e) Assistance From Federal Agencies.--
       (1) General services administration.--The Administrator of 
     General Services shall provide to the Commission on a 
     reimbursable basis administrative support and other services 
     for the performance of the Commission's functions.
       (2) Other departments and agencies.--In addition to the 
     assistance prescribed in paragraph (1), departments and 
     agencies of the United States are authorized to provide to 
     the Commission such services, funds, facilities, staff, and 
     other support services as they may determine advisable and as 
     may be authorized by law.
       (f) Gifts.--The Commission may accept, use, and dispose of 
     gifts or donations of services or property.
       (g) Postal Services.--The Commission may use the United 
     States mails in the same manner and under the same conditions 
     as departments and agencies of the United States.

     SEC. 3106. STAFF OF THE COMMISSION.

       (a) In General.--
       (1) Appointment and compensation.--The chairperson, in 
     accordance with rules agreed upon by the Commission, may 
     appoint and fix the compensation of a staff director and such 
     other personnel as may be necessary to enable the Commission 
     to carry out its functions, without regard to the provisions 
     of title 5, United States Code, governing appointments in the 
     competitive service, and without regard to the provisions of 
     chapter 51 and subchapter III of chapter 53 of such title 
     relating to classification and General Schedule pay rates, 
     except that no rate of pay fixed under this subsection may 
     exceed the equivalent of that payable for a position at level 
     V of the Executive Schedule under section 5316 of title 5, 
     United States Code.
       (2) Personnel as federal employees.--
       (A) In general.--The executive director and any personnel 
     of the Commission who are employees shall be employees under 
     section 2105 of title 5, United States Code, for purposes of 
     chapters 63, 81, 83, 84, 85, 87, 89, and 90 of that title.
       (B) Members of commission.--Subparagraph (A) shall not be 
     construed to apply to members of the Commission.
       (b) Detailees.--Any Federal Government employee may be 
     detailed to the Commission without reimbursement from the 
     Commission, and such detailee shall retain the rights, 
     status, and privileges of his or her regular employment 
     without interruption.
       (c) Consultant Services.--The Commission is authorized to 
     procure the services of experts and consultants in accordance 
     with section 3109 of title 5, United States Code, but at 
     rates not to exceed the daily rate paid a person occupying a 
     position at level IV of the Executive Schedule under section 
     5315 of title 5, United States Code.

     SEC. 3107. COMPENSATION AND TRAVEL EXPENSES.

       (a) Compensation.--Each member of the Commission may be 
     compensated at not to exceed the daily equivalent of the 
     annual rate of basic pay in effect for a position at level IV 
     of the Executive Schedule under section 5315 of title 5, 
     United States Code, for each day during which that member is 
     engaged in the actual performance of the duties of the 
     Commission.
       (b) Travel Expenses.--While away from their homes or 
     regular places of business in the performance of services for 
     the Commission, members of the Commission shall be allowed 
     travel expenses, including per diem in lieu of subsistence, 
     in the same manner as persons employed intermittently in the 
     Government service are allowed expenses under section 5703(b) 
     of title 5, United States Code.

     SEC. 3108. SECURITY CLEARANCES FOR COMMISSION MEMBERS AND 
                   STAFF.

       The appropriate executive departments and agencies shall 
     cooperate with the Commission in expeditiously providing to 
     the Commission members and staff appropriate security 
     clearances in a manner consistent with existing procedures 
     and requirements, except that no person shall be provided 
     with access to classified information under this section who 
     would not otherwise qualify for such security clearance.

     SEC. 3109. REPORTS OF THE COMMISSION; TERMINATION.

       (a) Initial Report.--Not later than 6 months after the date 
     of the first meeting of the Commission, the Commission shall 
     submit to the President and Congress an initial report 
     containing such findings, conclusions, and recommendations 
     for corrective measures as have been agreed to by a majority 
     of Commission members.
       (b) Additional Reports.--Not later than 1 year after the 
     submission of the initial report of the Commission, the 
     Commission shall submit to the President and Congress a 
     second report containing such findings, conclusions, and 
     recommendations for corrective measures as have been agreed 
     to by a majority of Commission members.
       (c) Termination.--
       (1) In general.--The Commission, and all the authorities of 
     this title, shall terminate 60 days after the date on which 
     the second report is submitted under subsection (b).
       (2) Administrative activities before termination.--The 
     Commission may use the 60-day period referred to in paragraph 
     (1) for the purpose of concluding its activities, including 
     providing testimony to committees of Congress concerning its 
     reports and disseminating the second report.

     SEC. 3110. AUTHORIZATION OF APPROPRIATIONS.

       There are authorized to be appropriated to the Commission 
     to carry out this title $3,000,000, to remain available until 
     expended.

                              TITLE XXXII

     SEC.   . PRESERVATION OF THE PRESIDENTIAL NATIONAL SECURITY 
                   POWER.

       ``Notwithstanding any other provision in this Act, nothing 
     in this Act shall be construed to take away the statutory 
     authority of the President to act in a manner consistent with 
     national security requirements and considerations as existed 
     on the day of the terrorist attacks on September 11, 2001.''
                                 ______
                                 
  SA 4739. Mrs. CARNAHAN submitted an amendment intended to be proposed 
to amendment SA 4738 proposed by Mr. Gramm (for himself, Mr. Miller, 
Mr. McConnell, Mr. Thompson, Mr. Stevens, Mr. Hagel, Mr. Hutchinson, 
and Mr. Bunning) to the amendment SA 4471 proposed by Mr. Lieberman to 
the bill H.R. 5005, to establish the Department of Homeland Security, 
and for other purposes; which was ordered to lie on the table; as 
follows:

       At the appropriate place, insert the following:

     SEC. ____. GRANTS FOR FIREFIGHTING PERSONNEL.

       (a) Section 33 of the Federal Fire Prevention and Control 
     Act of 1974 (15 U.S.C. 2229) is amended--
       (1) by redesignating subsections (c), (d), and (e) as 
     subsections (d), (e), and (f), respectively;
       (2) by inserting after subsection (b) the following:
       ``(c) Personnel Grants.--
       ``(1) In general.--In addition to the grants authorized 
     under subsection (b)(1), the Director may award grants to 
     fire departments of a State for the purpose of hiring 
     `employees engaged in fire protection' as that term is 
     defined in section 3 of the Fair Labor Standards Act (29 
     U.S.C. 203).
       ``(2) Duration.--Grants awarded under this subsection shall 
     be for a 3-year period.
       ``(3) Maximum amount.--The total amount of grants awarded 
     under this subsection shall not exceed $100,000 per 
     firefighter, indexed for inflation, over the 3-year grant 
     period.
       ``(4) Federal share.--
       ``(A) In general.--The Federal share of a grant under this 
     subsection shall not exceed 75 percent of the total salary 
     and benefits cost for additional firefighters hired.

[[Page S9272]]

       ``(B) Waiver.--The Director may waive the 25 percent non-
     Federal match under subparagraph (A) for a jurisdiction of 
     50,000 or fewer residents or in cases of extreme hardship.
       ``(5) Application.--An application for a grant under this 
     subsection, shall--
       ``(A) meet the requirements under subsection (b)(5);
       ``(B) include an explanation for the applicant's need for 
     Federal assistance; and
       ``(C) contain specific plans for obtaining necessary 
     support to retain the position following the conclusion of 
     Federal support.
       ``(6) Maintenance of effort.--Grants awarded under this 
     subsection shall only be used to pay the salaries and 
     benefits of additional firefighting personnel, and shall not 
     be used to supplant funding allocated for personnel from 
     State and local sources.''; and
       (3) in subsection (f) (as redesignated by paragraph (1)), 
     by adding at the end the following:
       ``(3) $1,000,000,000 for each of fiscal years 2003 and 
     2004, to be used only for grants under subsection (c).''.
                                 ______
                                 
  SA 4740. Mr. NELSON of Nebraska (for himself, Mr. Chaffee, and Mr. 
Breaux) proposed an amendment to amendment SA 4738 proposed by Mr. 
Gramm (for himself, Mr. Miller, Mr. McConnell, Mr. Thompson, Mr. 
Stevens, Mr. Hagel, Mr. Hutchinson, and Mr. Bunning) to the amendment 
SA 4471 proposed by Mr. Lieberman to the bill H.R. 5005, to establish 
the Department of Homeland Security, and for other purposes, as 
follows:

       On page 96, strike line 2 and all that follows through page 
     109, line 13, and insert the following:

     SEC. 730. ESTABLISHMENT OF HUMAN RESOURCES MANAGEMENT SYSTEM.

       (a) Authority.--
       (1) Sense of congress.--It is the sense of Congress that--
       (A) it is extremely important that employees of the 
     Department be allowed to participate in a meaningful way in 
     the creation of any human resources management system 
     affecting them;
       (B) such employees have the most direct knowledge of the 
     demands of their jobs and have a direct interest in ensuring 
     that their human resources management system is conducive to 
     achieving optimal operational efficiencies;
       (C) the 21st century human resources management system 
     envisioned for the Department should be one that benefits 
     from the input of its employees; and
       (D) this collaborative effort will help secure our 
     homeland.
       (2) In general.--Subpart I of part III of title 5, United 
     States Code, is amended by adding at the end the following:

             ``CHAPTER 97--DEPARTMENT OF HOMELAND SECURITY

``Sec.
``9701. Establishment of human resources management system.

     ``Sec. 9701. Establishment of human resources management 
       system

       ``(a) In General.--Notwithstanding any other provision of 
     this part, the Secretary may, in regulations prescribed 
     jointly with the Director of the Office of Personnel 
     Management, establish, and from time to time adjust, a human 
     resources management system for some or all of the 
     organizational units of the Department.
       ``(b) System Requirements.--Any system established under 
     subsection (a) shall--
       ``(1) be flexible;
       ``(2) be contemporary;
       ``(3) not waive, modify, or otherwise affect--
       ``(A) the public employment principles of merit and fitness 
     set forth in section 2301, including the principles of hiring 
     based on merit, fair treatment without regard to political 
     affiliation or other nonmerit considerations, equal pay for 
     equal work, and protection of employees against reprisal for 
     whistleblowing;
       ``(B) any provision of section 2302, relating to prohibited 
     personnel practices;
       ``(C)(i) any provision of law referred to in section 
     2302(b)(1); or
       ``(ii) any provision of law implementing any provision of 
     law referred to in section 2302(b)(1) by--
       ``(I) providing for equal employment opportunity through 
     affirmative action; or
       ``(II) providing any right or remedy available to any 
     employee or applicant for employment in the civil service;
       ``(D) any other provision of this part (as described in 
     subsection (c)); or
       ``(E) any rule or regulation prescribed under any provision 
     of law referred to in any of the preceding subparagraphs of 
     this paragraph;
       ``(4) ensure that employees may organize, bargain 
     collectively, and participate through labor organizations of 
     their own choosing in decisions which affect them, subject to 
     any exclusion from coverage or limitation on negotiability 
     established by law; and
       ``(5) permit the use of a category rating system for 
     evaluating applicants for positions in the competitive 
     service.
       ``(c) Other Nonwaivable Provisions.--The other provisions 
     of this part as referred to in subsection (b)(3)(D), are (to 
     the extent not otherwise specified in subparagraph (A), (B), 
     (C), or (D) of subsection (b)(3))--
       ``(1) subparts A, B, E, G, and H of this part; and
       ``(2) chapters 41, 45, 47, 55, 57, 59, 71, 72, 73, 77, and 
     79, and this chapter.
       ``(d) Limitations Relating to Pay.--Nothing in this section 
     shall constitute authority--
       ``(1) to modify the pay of any employee who serves in--
       ``(A) an Executive Schedule position under subchapter II of 
     chapter 53 of title 5, United States Code; or
       ``(B) a position for which the rate of basic pay is fixed 
     in statute by reference to a section or level under 
     subchapter II of chapter 53 of such title 5;
       ``(2) to fix pay for any employee or position at an annual 
     rate greater than the maximum amount of cash compensation 
     allowable under section 5307 of such title 5 in a year; or
       ``(3) to exempt any employee from the application of such 
     section 5307.
       ``(e) Provisions To Ensure Collaboration With Employee 
     Representatives.--
       ``(1) In general.--In order to ensure that the authority of 
     this section is exercised in collaboration with, and in a 
     manner that ensures the direct participation of employee 
     representatives in the planning development, and 
     implementation of any human resources management system or 
     adjustments under this section, the Secretary and the 
     Director of the Office of Personnel Management shall provide 
     for the following:
       ``(A) Notice of proposal.-- The Secretary and the Director 
     shall, with respect to any proposed system or adjustment--
       ``(i) provide to each employee representative representing 
     any employees who might be affected, a written description of 
     the proposed system or adjustment (including the reasons why 
     it is considered necessary);
       ``(ii) give each representative at least 60 days (unless 
     extraordinary circumstances require earlier action) to review 
     and make recommendations with respect to the proposal; and
       ``(iii) give any recommendations received from any such 
     representatives under clause (ii) full and fair consideration 
     in deciding whether or how to proceed with the proposal.
       ``(B) Preimplementation requirements.--If the Secretary and 
     the Director decide to implement a proposal described in 
     subparagraph (A), they shall before implementation--
       ``(i) give each representative details of the decision to 
     implement the proposal, together with the information upon 
     which the decision is based;
       ``(ii) give each representative an opportunity to make 
     recommendations with respect to the proposal; and
       ``(iii) give such recommendation full and fair 
     consideration, including the providing of reasons to an 
     employee representative if any of its recommendations are 
     rejected.
       ``(C) Continuing collaboration.--If a proposal described in 
     subparagraph (A) is implemented, the Secretary and the 
     Director shall--
       ``(i) develop a method for each employee representative to 
     participate in any further planning or development which 
     might become necessary; and
       ``(ii) give each employee representative adequate access to 
     information to make that participation productive.
       ``(2) Procedures.--Any procedures necessary to carry out 
     this subsection shall be established by the Secretary and the 
     Director jointly. Such procedures shall include measures to 
     ensure--
       ``(A) in the case of employees within a unit with respect 
     to which a labor organization is accorded exclusive 
     recognition, representation by individuals designated or from 
     among individuals nominated by such organization;
       ``(B) in the case of any employees who are not within such 
     a unit, representation by any appropriate organization which 
     represents a substantial percentage of those employees or, if 
     none, in such other manner as may be appropriate, consistent 
     with the purposes of the subsection; and
       ``(C) the selection of representatives in a manner 
     consistent with the relative number of employees represented 
     by the organizations or other representatives involved.
       ``(3) Written agreement.--Notwithstanding any other 
     provision of this part, employees within a unit to which a 
     labor organization is accorded exclusive recognition under 
     chapter 71 shall not be subject to any system provided under 
     this section unless the exclusive representative and the 
     Secretary have entered into a written agreement, which 
     specifically provides for the inclusion of such employees 
     within such system. Such written agreement may be imposed by 
     the Federal Service Impasses Panel under section 7119, after 
     negotiations consistent with section 7117.
       ``(f) Provisions Relating to Appellate Procedures.--
       (1) Sense of congress.--It is the sense of Congress that--
       ``(A) employees of the Department are entitled to fair 
     treatment in any appeals that they bring in decisions 
     relating to their employment; and
       ``(B) in prescribing regulations for any such appeals 
     procedures, the Secretary and the Director of the Office of 
     Personnel Management--
       ``(i) should ensure that employees of the Department are 
     afforded the protections of due process; and
       ``(ii) toward that end, should be required to consult with 
     the Merit Systems Protection Board before issuing any such 
     regulations.

[[Page S9273]]

       ``(2) Requirements.--Any regulations under this section 
     which relate to any matters within the purview of chapter 
     77--
       ``(A) shall be issued only after consultation with the 
     Merit Systems Protection Board;
       ``(B) shall ensure the availability of procedures which 
     shall--
       ``(i) be consistent with requirements of due process; and
       ``(ii) provide, to the maximum extent practicable, for the 
     expeditious handling of any matters involving the Department; 
     and
       ``(C) shall modify procedures under chapter 77 only insofar 
     as such modifications are designed to further the fair, 
     efficient, and expeditious resolution of matters involving 
     the employees of the Department.
       ``(g) Sunset Provision.--Effective 5 years after the 
     conclusion of the transition period defined under section 801 
     of the Homeland Security Act of 2002, all authority to issue 
     regulations under this section (including regulations which 
     would modify, supersede, or terminate any regulations 
     previously issued under this section) shall cease to be 
     available.''.
       (3) Clerical amendment.--The table of chapters for part III 
     of title 5, United States Code, is amended by adding at the 
     end of the following:
``97. Department of Homeland Security.......................9701''.....

       (b) Effect on Personnel.--
       (1) Nonseparation or nonreduction in grade or compensation 
     of full-time personnel and part-time personnel holding 
     permanent positions.--Except as otherwise provided in this 
     Act, the transfer pursuant to this act of full-time personnel 
     (except special Government employees) and part-time personnel 
     holding permanent positions shall not cause any such employee 
     to be separated or reduced in grade or compensation for one 
     year after the date of transfer to the Department.
       (2) Positions compensated in accordance with executive 
     schedule.--Any person who, on the day preceding such person's 
     date of transfer pursuant to this Act, held a position 
     compensated in accordance with the Executive Schedule 
     prescribed in chapter 53 of title 5, United States Code, and 
     who, without a break in service, is appointed in the 
     Department to a position having duties comparable to the 
     duties performed immediately preceding such appointment shall 
     continue to be compensated in such new position at not less 
     than the rate provided for such position, for the duration of 
     the service of such person in such new position.
       (3) Coordination rule.--Any exercise of authority under 
     chapter 97 of title 5, United States Code (as amended by 
     subsection (a)), including under any system established under 
     such chapter, shall be in conformance with the requirements 
     of this subsection.

     SEC. 731. LABOR-MANAGEMENT RELATIONS.

       (a) Limitation on Exclusionary Authority.--
       (1) In general.--No agency or subdivision of an agency 
     which is transferred to the Department pursuant to this Act 
     shall be excluded from the coverage of chapter 71 of title 5, 
     United States Code, as a result of any order issued under 
     section 7103(b)(1) of such title 5 after June 18, 2002, 
     unless--
       (A) the mission and responsibilities of the agency (or 
     subdivision) materially change; and
       (B) a majority of the employees within such agency (or 
     subdivision) have as their primary duty intelligence, 
     counterintelligence, or investigative work directly related 
     to terrorism investigation.
       (2) Exclusions allowable.--Nothing in paragraph (1) shall 
     affect the effectiveness of any order to the extent that such 
     order excludes any portion of an agency or subdivision of an 
     agency as to which--
       (A) recognition as an appropriate unit has never been 
     conferred for purposes of chapter 71 of title 5, United 
     States Code; or
       (B) any such recognition has been revoked or otherwise 
     terminated as a result of a determination under subsection 
     (b)(1).
       (b) Provisions Relating to Bargaining Units.--
       (1) Limitation relating to appropriate units.--Each unit 
     which is recognized as an appropriate unit for purposes of 
     chapter 71 of title 5, United States Code, as of the day 
     before the effective date of this Act (and any subdivision of 
     any such unit) shall, if such unit (or subdivision) is 
     transferred to the Department pursuant to this Act, continue 
     to be so recognized for such purposes, unless--
       (A) the mission and responsibilities of such unit (or 
     subdivision) materially change; and
       (B) a majority of the employees within such unit (or 
     subdivision) have as their primary duty intelligence, 
     counterintelligence, or investigative work directly related 
     to terrorism investigation.
       (2) Limitation relating to positions or employees.--No 
     position or employee within a unit (or subdivision of a unit) 
     as to which continued recognition is given in accordance with 
     paragraph (1) shall be excluded from such unit (or 
     subdivision), for purposes of chapter 71 of title 5, United 
     States Code, unless the primary job duty of such position or 
     employee--
       (A) materially changes; and
       (B) consists of intelligence, counterintelligence, or 
     investigative work directly related to terrorism 
     investigation.

     In the case of any positions within a unit (or subdivision) 
     which are first established on or after the effective date of 
     this Act and any employee first appointed on or after such 
     date, the preceding sentence shall be applied disregarding 
     subparagraph (A).
       (c) Coordination Rule.--No other provision of this Act or 
     of any amendment made by this Act may be construed or applied 
     in a manner so as to limit, supersede, or otherwise affect 
     the provisions of this section, except to the extent that it 
     does so by specific reference to this section.
       (d) Savings Clause.--Notwithstanding any other provision of 
     this Act, Title XXXII is null and void.
                                 ______
                                 
  SA 4741. Mr. SMITH of New Hampshire submitted an amendment intended 
to be proposed to amendment SA 4471 proposed by Mr. Lieberman to the 
bill H.R. 5005, to establish the Department of Homeland Security, and 
for other purposes; which was ordered to lie on the table; as follows:

  At the appropriate place add the following:

     (  ) SEC.--.

       Section 2002 of the Victims of Trafficking and Violence 
     Protection Act of 2000 (Public Law 106-386; 114 Stat. 1542) 
     is amended--
       (1) in subsection (a)(2)(A)(ii)--
       (A) by striking ``February 17, 1999,'' and inserting ``May 
     17, 1996, May 7, 1997, February 17, 1999, December 15, 1999 
     (or who has or could have been subsequently joined in a suit 
     filed on December 15, 1999 pursuant to Fed. R. Civ. P. 
     20(a)),'' and
       (B) by striking ``or July 27, 2000'' and inserting ``April 
     3, 2000, October 27, 2000, or July 27, 2000'';
       (2) by amending subsection (b)(1) to read as follows:
       ``(b)(1) Judgments Against Designated State Sponsors of 
     Terrorism.--For purposes of funding the payments under 
     subsection (a) in the case of judgments and sanctions entered 
     against a government of a designated state sponsor of 
     terrorism or its entities, the President shall vest and 
     liquidate up to and not exceeding the amount of property of 
     such government (including the agencies or instrumentalities 
     controlled in fact by such government or in which such 
     government owns directly or indirectly controlling interest) 
     and sanctioned entities in the United States or any 
     commonwealth, territory, or possession thereof that has been 
     blocked pursuant to section 5(b)), sections 202 and 203 of 
     the International Emergency Economic Powers Act (50 U.S.C. 
     1707-1702), or any other proclamation, order, or regulation 
     issued thereunder.''
       (3) by amending subsection (b)(2)(B) to read as follows:
       ``(B) the Iran Foreign Military Sales Program Account 
     within the Foreign Military Sales Fund on the date of 
     enactment of this Act (less amounts therein as to which the 
     United States has an interest in subrogation arising prior to 
     the date of enactment of this Act);''; and
       (4) in subsection (c)--
       (A) by inserting after the phrase ``to the extent of the 
     payments'' the phrase ``made prior to the date of enactment 
     of this Act''.
  SA 4742. Mr. DASCHLE proposed an amendment to the bill H.R. 5005, to 
establish the Department of Homeland Security, and for other purposes; 
as follows:

       Strike all after the first word in amendment contained in 
     the motion's instructions and insert the following:

     SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

       (a) Short Title.--This Act may be cited as the ``Homeland 
     Security Act of 2002''.
       (b) Divisions.--This Act is organized into three divisions 
     as follows:
       (1) Division A.--Homeland Security.
       (2) Division B.--Immigration Reform, Accountability, and 
     Security Enhancement Act of 2002.
       (3) Division C.--Federal Workforce Improvement.
       (c) Table of Contents.--The table of contents for this Act 
     is as follows:

Sec. 1. Short title; table of contents.
Sec. 2. Definitions.
Sec. 3. Construction; severability.
Sec. 4. Effective date.

                     DIVISION A--HOMELAND SECURITY

                TITLE I--DEPARTMENT OF HOMELAND SECURITY

Sec. 101. Executive department; mission.
Sec. 102. Secretary; functions.
Sec. 103. Other officers.
Sec. 104. Office of International Affairs.

      TITLE II--INFORMATION ANALYSIS AND INFRASTRUCTURE PROTECTION

Sec. 201. Directorate for Information Analysis and Infrastructure 
              Protection.
Sec. 202. Access to information.
Sec. 203. Protection of voluntarily furnished confidential information.

   TITLE III--SCIENCE AND TECHNOLOGY IN SUPPORT OF HOMELAND SECURITY

Sec. 301. Under Secretary for Science and Technology.
Sec. 302. Responsibilities and authorities of the Under Secretary for 
              Science and Technology.
Sec. 303. Functions transferred.
Sec. 304. Conduct of certain public health-related activities.
Sec. 305. Research in conjunction with the Department of Health and 
              Human Services and other departments.
Sec. 306. Homeland Security Advanced Research Projects Agency.

[[Page S9274]]

Sec. 307. Miscellaneous authorities relating to national laboratories.
Sec. 308. Homeland Security Institute.
Sec. 309. Utilization of Department of Energy national laboratories and 
              sites in support of homeland security activities.
Sec. 310. Transfer of Plum Island Animal Disease Center, Department of 
              Agriculture.
Sec. 311. Clearinghouse.

              TITLE IV--BORDER AND TRANSPORTATION SECURITY

Sec. 401. Under Secretary for Border and Transportation Security.
Sec. 402. Responsibilities.
Sec. 403. Functions transferred.
Sec. 404. Transfer of certain agricultural inspection functions of the 
              Department of Agriculture.
Sec. 405. Coordination of information and information technology.
Sec. 406. Visa issuance.
Sec. 407. Border security and immigration working group.
Sec. 408. Information on visa denials required to be entered into 
              electronic data system.
Sec. 409. Study on use of foreign national personnel in visa 
              processing.

              TITLE V--EMERGENCY PREPAREDNESS AND RESPONSE

Sec. 501. Under Secretary for Emergency Preparedness and Response.
Sec. 502. Responsibilities.
Sec. 503. Functions transferred.
Sec. 504. Nuclear incident response.
Sec. 505. Conduct of certain public health-related activities.
Sec. 506. Definition.

                          TITLE VI--MANAGEMENT

Sec. 601. Under Secretary for Management.
Sec. 602. Responsibilities.
Sec. 603. Chief Financial Officer.
Sec. 604. Chief Information Officer.
Sec. 605. Chief Human Capital Officer.

 TITLE VII--COORDINATION WITH NON-FEDERAL ENTITIES; INSPECTOR GENERAL; 
     UNITED STATES SECRET SERVICE; COAST GUARD; GENERAL PROVISIONS

           Subtitle A--Coordination with Non-Federal Entities

Sec. 701. Responsibilities.

                     Subtitle B--Inspector General

Sec. 710. Authority of the Secretary.
Sec. 711. Law enforcement powers of Inspector General Agents.

                Subtitle C--United States Secret Service

Sec. 720. Functions transferred.

                     Subtitle D--General Provisions

Sec. 730. Establishment of Human Resources Management System.
Sec. 731. Labor-management relations.
Sec. 732. Advisory committees.
Sec. 733. Acquisitions.
Sec. 734. Reorganization authority.
Sec. 735. Miscellaneous provisions.
Sec. 736. Authorization of appropriations.
Sec. 737. Regulatory authority.
Sec. 738. Use of appropriated funds.
Sec. 739. Future Year Homeland Security Program.
Sec. 739A. Bioterrorism Preparedness and Response Division.
Sec. 739B. Coordination with the Department of Health and Human 
              Services under the Public Health Service Act.

Subtitle E--Risk Sharing and Indemnification for Contractors Supplying 
                 Anti-Terrorism Technology and Services

Sec. 741. Application of indemnification authority.
Sec. 742. Application of indemnification authority to State and local 
              government contractors.
Sec. 743. Procurements of anti-terrorism technologies and anti-
              terrorism services by State and local governments through 
              Federal contracts.
Sec. 744. Congressional notification.
Sec. 745. Definitions.

         Subtitle F--Federal Emergency Procurement Flexibility

Sec. 751. Definition.
Sec. 752. Procurements for defense against or recovery from terrorism 
              or nuclear, biological, chemical, or radiological attack.
Sec. 753. Increased simplified acquisition threshold for procurements 
              in support of humanitarian or peacekeeping operations or 
              contingency operations.
Sec. 754. Increased micro-purchase threshold for certain procurements.
Sec. 755. Application of certain commercial items authorities to 
              certain procurements.
Sec. 756. Use of streamlined procedures.
Sec. 757. Review and report by Comptroller General.
Sec. 758. Identification of new entrants into the Federal marketplace.

                        Subtitle G--Coast Guard

Sec. 761. Preserving Coast Guard mission performance.

                         TITLE VIII--TRANSITION

Sec. 801. Definitions.
Sec. 802. Transfer of agencies.
Sec. 803. Transitional authorities.
Sec. 804. Savings provisions.
Sec. 805. Terminations.
Sec. 806. Incidental transfers.

             TITLE IX--CONFORMING AND TECHNICAL AMENDMENTS

Sec. 901. Inspector General Act.
Sec. 902. Executive schedule.
Sec. 903. United States Secret Service.
Sec. 904. Coast Guard.
Sec. 905. Strategic National Stockpile and smallpox vaccine 
              development.
Sec. 906. Select agent registration.
Sec. 907. National Bio-Weapons Defense Analysis Center.
Sec. 908. Military activities.

     DIVISION B--IMMIGRATION REFORM, ACCOUNTABILITY, AND SECURITY 
                        ENHANCEMENT ACT OF 2002

Sec. 1001. Short title.
Sec. 1002. Definitions.
Sec. 1003. Transfer of Immigration and Naturalization Service 
              functions.

              TITLE XI--DIRECTORATE OF IMMIGRATION AFFAIRS

                        Subtitle A--Organization

Sec. 1101. Abolition of Immigration and Naturalization Service.
Sec. 1102. Establishment of Directorate of Immigration Affairs.
Sec. 1103. Under Secretary of Homeland Security for Immigration 
              Affairs.
Sec. 1104. Bureau of Immigration Services.
Sec. 1105. Bureau of Enforcement.
Sec. 1106. Office of the Ombudsman within the Directorate.
Sec. 1107. Office of Immigration Statistics within the Directorate.
Sec. 1108. Clerical amendments.

                   Subtitle B--Transition Provisions

Sec. 1111. Transfer of functions.
Sec. 1112. Transfer of personnel and other resources.
Sec. 1113. Determinations with respect to functions and resources.
Sec. 1114. Delegation and reservation of functions.
Sec. 1115. Allocation of personnel and other resources.
Sec. 1116. Savings provisions.
Sec. 1117. Interim service of the Commissioner of Immigration and 
              Naturalization.
Sec. 1118. Other authorities not affected.
Sec. 1119. Transition funding.

                  Subtitle C--Miscellaneous Provisions

Sec. 1121. Funding adjudication and naturalization services.
Sec. 1122. Application of Internet-based technologies.
Sec. 1123. Alternatives to detention of asylum seekers.

                       Subtitle D--Effective Date

Sec. 1131. Effective date.

           TITLE XII--UNACCOMPANIED ALIEN JUVENILE PROTECTION

Sec. 1201. Unaccompanied alien juveniles.

          TITLE XIII--EXECUTIVE OFFICE FOR IMMIGRATION REVIEW

Sec. 1301. Legal status of EOIR.
Sec. 1302. Authorities of the Attorney General.
Sec. 1303. Statutory construction.

               DIVISION C--FEDERAL WORKFORCE IMPROVEMENT

                TITLE XXI--CHIEF HUMAN CAPITAL OFFICERS

Sec. 2101. Short title.
Sec. 2102. Agency Chief Human Capital Officers.
Sec. 2103. Chief Human Capital Officers Council.
Sec. 2104. Strategic human capital management.
Sec. 2105. Effective date.

    TITLE XXII--REFORMS RELATING TO FEDERAL HUMAN CAPITAL MANAGEMENT

Sec. 2201. Inclusion of agency human capital strategic planning in 
              performance plans and programs performance reports.
Sec. 2202. Reform of the competitive service hiring process.
Sec. 2203. Permanent extension, revision, and expansion of authorities 
              for use of voluntary separation incentive pay and 
              voluntary early retirement.
Sec. 2204. Student volunteer transit subsidy.

     TITLE XXIII--REFORMS RELATING TO THE SENIOR EXECUTIVE SERVICE

Sec. 2301. Repeal of recertification requirements of senior executives.
Sec. 2302. Adjustment of limitation on total annual compensation.

                     TITLE XXIV--ACADEMIC TRAINING

Sec. 2401. Academic training.
Sec. 2402. Modifications to National Security Education Program.
Sec. 2403. Compensation time off for travel.
Sec. 2404. Customs User Fees Extension

                    DIVISION D--NATIONAL COMMISSION

     SEC. 2. DEFINITIONS.

       Unless the context clearly indicates otherwise, the 
     following shall apply for purposes of this Act:
       (1) American homeland or homeland.--Each of the terms 
     ``American homeland'' or ``homeland'' mean the United States, 
     in a geographic sense.
       (2) Critical infrastructure.--The term ``critical 
     infrastructure'' means systems and assets, whether physical 
     or virtual, so vital to the United States that the 
     incapacitation or destruction of such systems or assets would 
     have a debilitating impact on security, national economic 
     security, national public health or safety, or any 
     combination of those matters.

[[Page S9275]]

       (3) Assets.--The term ``assets'' includes contracts, 
     facilities, property, records, unobligated or unexpended 
     balances of appropriations, and other funds or resources 
     (other than personnel).
       (4) Department.--The term ``Department'' means the 
     Department of Homeland Security.
       (5) Emergency response providers.--The term ``emergency 
     response providers'' includes Federal, State, and local 
     government emergency public safety, law enforcement, 
     emergency response, emergency medical, and related personnel, 
     agencies, and authorities.
       (6) Executive agency.--The term ``Executive agency'' means 
     an executive agency and a military department, as defined, 
     respectively, in sections 105 and 102 of title 5, United 
     States Code.
       (7) Functions.--The term ``functions'' includes 
     authorities, powers, rights, privileges, immunities, 
     programs, projects, activities, duties, responsibilities, and 
     obligations.
       (8) Key resources.--The term ``key resources'' means 
     structures, monuments or items of exceptional historical, 
     social, cultural, or symbolic significance to the United 
     States.
       (9) Local government.--The term ``local government'' has 
     the meaning given in section 102(6) of the Robert T. Stafford 
     Disaster Relief and Emergency Assistance Act (Public Law 93-
     288).
       (10) Major disaster.--The term ``major disaster'' has the 
     meaning given in section 102(2) of the Robert T. Stafford 
     Disaster Relief and Emergency Assistance Act (Public Law 93-
     288).
       (11) Personnel.--The term ``personnel'' means officers and 
     employees.
       (12) Secretary.--The term ``Secretary'' means the Secretary 
     of Homeland Security.
       (13) United states.--The term ``United States'', when used 
     in a geographic sense, means any State (within the meaning of 
     section 102(4) of the Robert T. Stafford Disaster Relief and 
     Emergency Assistance Act (Public Law 93-288)), any possession 
     of the United States, and any waters within the jurisdiction 
     of the United States.

     SEC. 3. CONSTRUCTION; SEVERABILITY.

       Any provision of this Act held to be invalid or 
     unenforceable by its terms, or as applied to any person or 
     circumstance, shall be construed so as to give it the maximum 
     effect permitted by law, unless such holding shall be one of 
     utter invalidity or unenforceability, in which event such 
     provision shall be deemed severable from this Act and shall 
     not affect the remainder thereof, or the application of such 
     provision to other persons not similarly situated or to 
     other, dissimilar circumstances.

     SEC. 4. EFFECTIVE DATE.

       This Act shall take effect thirty days after the date of 
     enactment or, if enacted within thirty days before January 1, 
     2003, on January 1, 2003.

                     DIVISION A--HOMELAND SECURITY

                TITLE I--DEPARTMENT OF HOMELAND SECURITY

     SEC. 101. EXECUTIVE DEPARTMENT; MISSION.

       (a) Establishment.--There is established a Department of 
     Homeland Security, as an executive department of the United 
     States within the meaning of title 5, United States Code.
       (b) Primary Mission.--
       (1) In general.--The primary mission of the Department is 
     to--
       (A) prevent terrorist attacks within the United States;
       (B) reduce the vulnerability of the United States to 
     terrorism; and
       (C) minimize the damage, and assist in the recovery, from 
     terrorist attacks that do occur within the United States.
       (2) Responsibilities.--In carrying out the mission 
     described in paragraph (1), and as further described in this 
     Act, the Department's primary responsibilities shall 
     include--
       (A) information analysis and infrastructure protection;
       (B) research and development, including efforts to counter 
     chemical, biological, radiological, nuclear, and other 
     emerging threats;
       (C) border and transportation security;
       (D) emergency preparedness and response; and
       (E) coordination (including the provision of training and 
     equipment) with other executive agencies, with State and 
     local government personnel, agencies, and authorities, with 
     the private sector, and with other entities.
       (3) Other responsibilities.--The Department shall also be 
     responsible for carrying out other functions of entities 
     transferred to the Department as provided by law, and the 
     enumeration of the primary homeland security missions and 
     responsibilities in this section does not impair or diminish 
     the Department's non-homeland security missions and 
     responsibilities.

     SEC. 102. SECRETARY; FUNCTIONS.

       (a) Secretary.--
       (1) Appointment.--There is a Secretary of Homeland 
     Security, appointed by the President, by and with the advice 
     and consent of the Senate.
       (2) Head of department.--The Secretary is the head of the 
     Department and shall have direction, authority, and control 
     over it.
       (3) Vested functions.--All functions of all officers, 
     employees, and organizational units of the Department are 
     vested in the Secretary.
       (b) Functions.--The Secretary--
       (1) may, except as otherwise provided in this Act, delegate 
     any of his functions to any officer, employee, or 
     organizational unit of the Department;
       (2) shall have such functions, including the authority to 
     make contracts, grants, and cooperative agreements, and to 
     enter into agreements with other executive agencies, as may 
     be necessary and proper to carry out his responsibilities 
     under this Act or otherwise provided by law; and
       (3) may, subject to the direction of the President, attend 
     and participate in meetings of the National Security Council.

     SEC. 103. OTHER OFFICERS.

       (a) Deputy Secretary; Under Secretaries.--To assist the 
     Secretary in the performance of his functions, there are the 
     following officers, appointed by the President, by and with 
     the advice and consent of the Senate:
       (1) A Deputy Secretary of Homeland Security, who shall be 
     the Secretary's first assistant for purposes of chapter 33, 
     subchapter 3, of title 5, United States Code.
       (2) An Under Secretary for Information Analysis and 
     Infrastructure Protection.
       (3) An Under Secretary for Science and Technology.
       (4) An Under Secretary for Border and Transportation 
     Security.
       (5) An Under Secretary for Emergency Preparedness and 
     Response.
       (6) An Under Secretary for Management.
       (7) An Under Secretary for Immigration Affairs.
       (8) Not more than 16 Assistant Secretaries.
       (9) A General Counsel, who shall be the chief legal officer 
     of the Department.
       (b) Chief of Immigration Policy.--
       (1) In general.--There shall be within the office of the 
     Deputy Secretary of Homeland Security a Chief of Immigration 
     Policy, who, under the authority of the Secretary, shall be 
     responsible for--
       (A) establishing national immigration policy and 
     priorities; and
       (B) coordinating immigration policy between the Directorate 
     of Immigration Affairs and the Directorate of Border and 
     Transportation Security.
       (2) Within the senior executive service.--The position of 
     Chief of Immigration Policy shall be a Senior Executive 
     Service position under section 5382 of title 5, United States 
     Code.
       (c) Inspector General.--To assist the Secretary in the 
     performance of his functions, there is an Inspector General, 
     who shall be appointed as provided in section 3(a) of the 
     Inspector General Act of 1978.
       (d) Commandant of the Coast Guard.--To assist the Secretary 
     in the performance of his functions, there is a Commandant of 
     the Coast Guard, who shall be appointed as provided in 
     section 44 of title 14, United States Code.
       (e) Other Officers.--To assist the Secretary in the 
     performance of his functions, there are the following 
     officers, appointed by the President:
       (1) A Director of the Secret Service.
       (2) A Chief Financial Officer.
       (3) A Chief Information Officer.
       (4) A Chief Human Capital Officer.
       (f) Performance of Specific Functions.--Subject to the 
     provisions of this Act, every officer of the Department shall 
     perform the functions specified by law for his office or 
     prescribed by the Secretary.

     SEC. 104. OFFICE OF INTERNATIONAL AFFAIRS.

       (a) Establishment.--There is established within the Office 
     of the Secretary, an Office of International Affairs. The 
     Office shall be headed by a Director who shall be appointed 
     by the Secretary.
       (b) Responsibilities of the Director.--The Director shall 
     have the following responsibilities:
       (1) To promote information and education exchange with 
     foreign nations in order to promote sharing of best practices 
     and technologies relating to homeland security. Such 
     information exchange shall include--
       (A) joint research and development on countermeasures;
       (B) joint training exercises of first responders; and
       (C) exchange of expertise on terrorism prevention, 
     response, and crisis management.
       (2) To identify areas for homeland security information and 
     training exchange.
       (3) To plan and undertake international conferences, 
     exchange programs, and training activities.
       (4) To manage activities under this section and other 
     international activities within the Department in 
     consultation with the Department of State and other relevant 
     Federal officials.
       (5) To initially concentrate on fostering cooperation with 
     countries that are already highly focused on homeland 
     security issues and that have demonstrated the capability for 
     fruitful cooperation with the United States in the area of 
     counterterrorism.

      TITLE II--INFORMATION ANALYSIS AND INFRASTRUCTURE PROTECTION

     SEC. 201. DIRECTORATE FOR INFORMATION ANALYSIS AND 
                   INFRASTRUCTURE PROTECTION.

       (a) Under Secretary of Homeland Security for Information 
     Analysis and Infrastructure Protection.--
       (1) In general.--There shall be in the Department a 
     Directorate for Information Analysis and Infrastructure 
     Protection headed by an Under Secretary for Information 
     Analysis and Infrastructure Protection, who shall be 
     appointed by the President, by and with the advice and 
     consent of the Senate.

[[Page S9276]]

       (2) Responsibilities.--The Under Secretary shall assist the 
     Secretary in discharging the responsibilities under section 
     101 (b)(2)(A) and (d).
       (b) Assistant Secretary for Information Analysis; Assistant 
     Secretary for Infrastructure Protection.--
       (1) Assistant secretary for information analysis.--There 
     shall be in the Department an Assistant Secretary for 
     Information Analysis, who shall be appointed by the 
     President.
       (2) Assistant secretary for infrastructure protection.--
     There shall be in the Department an Assistant Secretary for 
     Infrastructure Protection, who shall be appointed by the 
     President.
       (3) Responsibilities.--The Assistant Secretary for 
     Information Analysis and the Assistant Secretary for 
     Infrastructure Protection shall assist the Under Secretary 
     for Information Analysis and Infrastructure Protection in 
     discharging the responsibilities of the Under Secretary under 
     this section.
       (c) Discharge of Information Analysis and Infrastructure 
     Protection.--The Secretary shall ensure that the 
     responsibilities of the Department regarding information 
     analysis and infrastructure protection are carried out 
     through the Under Secretary for Information Analysis and 
     Infrastructure Protection.
       (d) Responsibilities of Under Secretary.--Subject to the 
     direction and control of the Secretary, the responsibilities 
     of the Under Secretary for Information Analysis and 
     Infrastructure Protection shall be as follows:
       (1) To access, receive, and analyze law enforcement 
     information, intelligence information, intelligence-related 
     information, and other information from agencies of the 
     Federal Government, State and local government agencies 
     (including law enforcement agencies), and private sector 
     entities, and to integrate such information in order to--
       (A) identify and assess the nature and scope of threats to 
     the homeland;
       (B) detect and identify threats of terrorism against the 
     United States and other threats to homeland security; and
       (C) understand such threats in light of actual and 
     potential vulnerabilities of the homeland.
       (2) To carry out comprehensive assessments of the 
     vulnerabilities of the key resources and critical 
     infrastructure of the United States, including the 
     performance of risk assessments to determine the risks posed 
     by particular types of terrorist attacks within the United 
     States (including an assessment of the probability of success 
     of such attacks and the feasibility and potential efficacy of 
     various countermeasures to such attacks).
       (3) To integrate relevant information, analyses, and 
     vulnerability assessments (whether such information, 
     analyses, or assessments are provided or produced by the 
     Department or others) in order to identify priorities for 
     protective measures and to support protective measures by the 
     Department, other agencies of the Federal Government, State 
     and local government agencies and authorities, the private 
     sector, and other entities.
       (4) To ensure, pursuant to section 202, the timely and 
     efficient access by the Department to all information 
     necessary to discharge the responsibilities under this 
     section, including obtaining such information from other 
     agencies of the Federal Government agencies, and from State 
     and local governments and private sector entities (pursuant 
     to memoranda of understanding or other agreements entered 
     into for that purpose).
       (5) To develop a comprehensive national plan for securing 
     the key resources and critical infrastructure of the United 
     States.
       (6) To take or seek to effect measures necessary to protect 
     the key resources and critical infrastructure of the United 
     States in coordination with other agencies of the Federal 
     Government and in cooperation with State and local government 
     agencies and authorities, the private sector, and other 
     entities.
       (7) To administer the Homeland Security Advisory System, 
     including--
       (A) exercising primary responsibility for public threat 
     advisories; and
       (B) in coordination with other agencies of the Federal 
     Government, providing specific warning information, and 
     advice about appropriate protective measures and 
     countermeasures, to State and local government agencies and 
     authorities, the private sector, other entities, and the 
     public.
       (8) To review, analyze, and make recommendations for 
     improvements in the policies and procedures governing the 
     sharing of law enforcement information, intelligence 
     information, intelligence-related information, and other 
     information relating to homeland security within the Federal 
     Government and between the Federal Government and State and 
     local government agencies and authorities.
       (9) To disseminate, as appropriate, information analyzed by 
     the Department within the Department, to other agencies of 
     the Federal Government with responsibilities relating to 
     homeland security, and to agencies of State and local 
     governments and private sector entities with such 
     responsibilities in order to assist in the deterrence, 
     prevention, preemption of, or response to, terrorist attacks 
     against the United States.
       (10) To consult with the Director of Central Intelligence 
     and other appropriate intelligence, law enforcement, or other 
     elements of the Federal Government to establish collection 
     priorities and strategies for information, including law 
     enforcement-related information, relating to threats of 
     terrorism against the United States through such means as the 
     representation of the Department in discussions regarding 
     requirements and priorities in the collection of such 
     information.
       (11) To consult with State and local governments and 
     private sector entities to ensure appropriate exchanges of 
     information, including law enforcement-related information, 
     relating to threats of terrorism against the United States.
       (12) To ensure that--
       (A) any material received pursuant to this section is 
     protected from unauthorized disclosure and handled and used 
     only for the performance of official duties; and
       (B) any intelligence information shared under this section 
     is transmitted, retained, and disseminated consistent with 
     the authority of the Director of Central Intelligence to 
     protect intelligence sources and methods under the National 
     Security Act of 1947 (50 U.S.C. 401 et seq.) and related 
     procedures and, as appropriate, similar authorities of the 
     Attorney General concerning sensitive law enforcement 
     information.
       (13) To request and obtain additional information from 
     other agencies of the Federal Government, State and local 
     government agencies, and the private sector relating to 
     threats of terrorism in the United States, or relating to 
     other areas of responsibility under section 101, including 
     the entry into cooperative agreements through the Secretary 
     to obtain such information.
       (14) To establish and utilize, in conjunction with the 
     chief information officer of the Department, a secure 
     communications and information technology infrastructure, 
     including data-mining and other advanced analytical tools, in 
     order to access, receive, and analyze data and information in 
     furtherance of the responsibilities under this section, and 
     to disseminate information acquired and analyzed by the 
     Department, as appropriate.
       (15) To ensure, in conjunction with the chief information 
     officer of the Department, that any information databases and 
     analytical tools developed or utilized by the Department--
       (A) are compatible with one another and with relevant 
     information databases of other agencies of the Federal 
     Government; and
       (B) treat information in such databases in a manner that 
     complies with applicable Federal law on privacy.
       (16) To coordinate training and other support to the 
     elements and personnel of the Department, other agencies of 
     the Federal Government, and State and local governments that 
     provide information to the Department, or are consumers of 
     information provided by the Department, in order to 
     facilitate the identification and sharing of information 
     revealed in their ordinary duties and the optimal utilization 
     of information received from the Department.
       (17) To coordinate with elements of the intelligence 
     community and with Federal, State, and local law enforcement 
     agencies, and the private sector, as appropriate.
       (18) To provide intelligence and information analysis and 
     support to other elements of the Department.
       (19) To perform such other duties relating to such 
     responsibilities as the Secretary may provide.
       (e) Staff.--
       (1) In general.--The Secretary shall provide the 
     Directorate with a staff of analysts having appropriate 
     expertise and experience to assist the Directorate in 
     discharging responsibilities under this section.
       (2) Private sector analysts.--Analysts under this 
     subsection may include analysts from the private sector.
       (3) Security clearances.--Analysts under this subsection 
     shall possess security clearances appropriate for their work 
     under this section.
       (f) Detail of Personnel.--
       (1) In general.--In order to assist the Directorate in 
     discharging responsibilities under this section, personnel of 
     the agencies referred to in paragraph (2) may be detailed to 
     the Department for the performance of analytic functions and 
     related duties.
       (2) Covered agencies.--The agencies referred to in this 
     paragraph are as follows:
       (A) The Department of State.
       (B) The Central Intelligence Agency.
       (C) The Federal Bureau of Investigation.
       (D) The National Security Agency.
       (E) The National Imagery and Mapping Agency.
       (F) The Defense Intelligence Agency.
       (G) Any other agency of the Federal Government that the 
     President considers appropriate.
       (3) Cooperative agreements.--The Secretary and the head of 
     the agency concerned may enter into cooperative agreements 
     for the purpose of detailing personnel under this subsection.
       (4) Basis.--The detail of personnel under this subsection 
     may be on a reimbursable or non-reimbursable basis.
       (g) Functions Transferred.--In accordance with title VIII, 
     there shall be transferred to the Secretary, for assignment 
     to the Under Secretary for Information Analysis and 
     Infrastructure Protection under this section, the functions, 
     personnel, assets, and liabilities of the following:

[[Page S9277]]

       (1) The National Infrastructure Protection Center of the 
     Federal Bureau of Investigation (other than the Computer 
     Investigations and Operations Section), including the 
     functions of the Attorney General relating thereto.
       (2) The National Communications System of the Department of 
     Defense, including the functions of the Secretary of Defense 
     relating thereto.
       (3) The Critical Infrastructure Assurance Office of the 
     Department of Commerce, including the functions of the 
     Secretary of Commerce relating thereto.
       (4) The Computer Security Division of the National 
     Institute of Standards and Technology, including the 
     functions of the Secretary of Commerce relating thereto.
       (5) The National Infrastructure Simulation and Analysis 
     Center of the Department of Energy and the energy security 
     and assurance program and activities of the Department, 
     including the functions of the Secretary of Energy relating 
     thereto.
       (6) The Federal Computer Incident Response Center of the 
     General Services Administration, including the functions of 
     the Administrator of General Services relating thereto.
       (h) Study of Placement Within Intelligence Community.--Not 
     later than 90 days after the effective date of this Act, the 
     President shall submit to the Committee on Governmental 
     Affairs and the Select Committee on Intelligence of the 
     Senate and the Committee on Government Reform and the 
     Permanent Select Committee on Intelligence of the House of 
     Representatives a report assessing the advisability of the 
     following:
       (1) Placing the elements of the Department concerned with 
     the analysis of foreign intelligence information within the 
     intelligence community under section 3(4) of the National 
     Security Act of 1947 (50 U.S.C. 401a(4)).
       (2) Placing such elements within the National Foreign 
     Intelligence Program for budgetary purposes.

     SEC. 202. ACCESS TO INFORMATION.

       (a) In General.--
       (1) Threat and vulnerability information.--Except as 
     otherwise directed by the President, the Secretary shall have 
     such access as the Secretary considers necessary to all 
     information, including reports, assessments, analyses, and 
     unevaluated intelligence and intelligence-related 
     information, relating to threats of terrorism against the 
     United States and to other areas of responsibility described 
     in section 101 and to all information concerning 
     infrastructure or other vulnerabilities of the United States 
     to terrorism, whether or not such information has been 
     analyzed, that may be collected, possessed, or prepared by 
     any agency of the Federal Government.
       (2) Other information.--The Secretary shall also have 
     access to other information relating to matters under the 
     responsibility of the Secretary that may be collected, 
     possessed, or prepared by an agency of the Federal Government 
     as the President may further provide.
       (b) Manner of Access.--Except as otherwise directed by the 
     President, with respect to information to which the Secretary 
     has access pursuant to this section--
       (1) the Secretary may obtain such material upon request, 
     and may enter into cooperative arrangements with other 
     executive agencies to provide such material or provide 
     Department officials with access to it on a regular or 
     routine basis, including requests or arrangements involving 
     broad categories of material, access to electronic databases, 
     or both; and
       (2) regardless of whether the Secretary has made any 
     request or entered into any cooperative arrangement pursuant 
     to paragraph (1), all agencies of the Federal Government 
     shall promptly provide to the Secretary--
       (A) all reports (including information reports containing 
     intelligence which has not been fully evaluated), 
     assessments, and analytical information relating to threats 
     of terrorism against the United States and to other areas of 
     responsibility under section 101;
       (B) all information concerning the vulnerability of the 
     infrastructure of the United States, or other vulnerabilities 
     of the United States, to terrorism, whether or not such 
     information has been analyzed;
       (C) all other information relating to significant and 
     credible threats of terrorism against the United States, 
     whether or not such information has been analyzed; and
       (D) such other information or material as the President may 
     direct.
       (c) Treatment Under Certain Laws.--The Secretary shall be 
     deemed to be a Federal law enforcement, intelligence, 
     protective, national defense, immigration, or national 
     security official, and shall be provided with all information 
     from law enforcement agencies that is required to be given to 
     the Director of Central Intelligence, under any provision of 
     the following:
       (1) The USA PATRIOT Act of 2001 (Public Law 107-56).
       (2) Section 2517(6) of title 18, United States Code.
       (3) Rule 6(e)(3)(C) of the Federal Rules of Criminal 
     Procedure.
       (d) Access to Intelligence and Other Information.--
       (1) Access by elements of federal government.--Nothing in 
     this title shall preclude any element of the intelligence 
     community (as that term is defined in section 3(4) of the 
     National Security Act of 1947 (50 U.S.C. 401a(4)), or other 
     any element of the Federal Government with responsibility for 
     analyzing terrorist threat information, from receiving any 
     intelligence or other information relating to terrorism.
       (2) Sharing of information.--The Secretary, in consultation 
     with the Director of Central Intelligence, shall work to 
     ensure that intelligence or other information relating to 
     terrorism to which the Department has access is appropriately 
     shared with the elements of the Federal Government referred 
     to in paragraph (1), as well as with State and local 
     governments, as appropriate.

     SEC. 203. PROTECTION OF VOLUNTARILY FURNISHED CONFIDENTIAL 
                   INFORMATION.

       (a) Definitions.--In this section:
       (1) Critical infrastructure.--The term ``critical 
     infrastructure'' has the meaning given that term in section 
     1016(e) of the USA PATRIOT Act of 2001 (42 U.S.C. 5195(e)).
       (2) Furnished voluntarily.--
       (A) Definition.--The term ``furnished voluntarily'' means a 
     submission of a record that--
       (i) is made to the Department in the absence of authority 
     of the Department requiring that record to be submitted; and
       (ii) is not submitted or used to satisfy any legal 
     requirement or obligation or to obtain any grant, permit, 
     benefit (such as agency forbearance, loans, or reduction or 
     modifications of agency penalties or rulings), or other 
     approval from the Government.
       (B) Benefit.--In this paragraph, the term ``benefit'' does 
     not include any warning, alert, or other risk analysis by the 
     Department.
       (b) In General.--Notwithstanding any other provision of 
     law, a record pertaining to the vulnerability of and threats 
     to critical infrastructure (such as attacks, response, and 
     recovery efforts) that is furnished voluntarily to the 
     Department shall not be made available under section 552 of 
     title 5, United States Code, if--
       (1) the provider would not customarily make the record 
     available to the public; and
       (2) the record is designated and certified by the provider, 
     in a manner specified by the Department, as confidential and 
     not customarily made available to the public.
       (c) Records Shared With Other Agencies.--
       (1) In general.--
       (A) Response to request.--An agency in receipt of a record 
     that was furnished voluntarily to the Department and 
     subsequently shared with the agency shall, upon receipt of a 
     request under section 552 of title 5, United States Code, for 
     the record--
       (i) not make the record available; and
       (ii) refer the request to the Department for processing and 
     response in accordance with this section.
       (B) Segregable portion of record.--Any reasonably 
     segregable portion of a record shall be provided to the 
     person requesting the record after deletion of any portion 
     which is exempt under this section.
       (2) Disclosure of independently furnished records.--
     Notwithstanding paragraph (1), nothing in this section shall 
     prohibit an agency from making available under section 552 of 
     title 5, United States Code, any record that the agency 
     receives independently of the Department, regardless of 
     whether or not the Department has a similar or identical 
     record.
       (d) Withdrawal of Confidential Designation.--The provider 
     of a record that is furnished voluntarily to the Department 
     under subsection (b) may at any time withdraw, in a manner 
     specified by the Department, the confidential designation.
       (e) Procedures.--The Secretary shall prescribe procedures 
     for--
       (1) the acknowledgement of receipt of records furnished 
     voluntarily;
       (2) the designation, certification, and marking of records 
     furnished voluntarily as confidential and not customarily 
     made available to the public;
       (3) the care and storage of records furnished voluntarily;
       (4) the protection and maintenance of the confidentiality 
     of records furnished voluntarily; and
       (5) the withdrawal of the confidential designation of 
     records under subsection (d).
       (f) Effect on State and Local Law.--Nothing in this section 
     shall be construed as preempting or otherwise modifying State 
     or local law concerning the disclosure of any information 
     that a State or local government receives independently of 
     the Department.
       (g) Report.--
       (1) Requirement.--Not later than 18 months after the date 
     of enactment of this Act, the Comptroller General of the 
     United States shall submit to the committees of Congress 
     specified in paragraph (2) a report on the implementation and 
     use of this section, including--
       (A) the number of persons in the private sector, and the 
     number of State and local agencies, that furnished 
     voluntarily records to the Department under this section;
       (B) the number of requests for access to records granted or 
     denied under this section; and
       (C) such recommendations as the Comptroller General 
     considers appropriate regarding improvements in the 
     collection and analysis of sensitive information held by 
     persons in the private sector, or by State and local 
     agencies, relating to vulnerabilities of and threats to 
     critical infrastructure, including the response to such 
     vulnerabilities and threats.

[[Page S9278]]

       (2) Committees of congress.--The committees of Congress 
     specified in this paragraph are--
       (A) the Committees on the Judiciary and Governmental 
     Affairs of the Senate; and
       (B) the Committees on the Judiciary and Government Reform 
     and Oversight of the House of Representatives.
       (3) Form.--The report shall be submitted in unclassified 
     form, but may include a classified annex.

   TITLE III--SCIENCE AND TECHNOLOGY IN SUPPORT OF HOMELAND SECURITY

     SEC. 301. UNDER SECRETARY FOR SCIENCE AND TECHNOLOGY.

       There shall be in the Department a Directorate of Science 
     and Technology headed by an Under Secretary for Science and 
     Technology.

     SEC. 302. RESPONSIBILITIES AND AUTHORITIES OF THE UNDER 
                   SECRETARY FOR SCIENCE AND TECHNOLOGY.

       In assisting the Secretary with the responsibility 
     specified in section 101(b)(2)(B), the primary 
     responsibilities of the Under Secretary for Science and 
     Technology shall include--
       (1) advising the Secretary regarding research and 
     development efforts and priorities in support of the 
     Department's missions;
       (2) supporting all elements of the Department in research, 
     development, testing, evaluation and deployment of science 
     and technology that is applicable in the detection of, 
     prevention of, protection against, response to, attribution 
     of, and recovery from homeland security threats, particularly 
     acts of terrorism;
       (3) to support the Under Secretary for Information Analysis 
     and Infrastructure Protection, by assessing and testing 
     homeland security vulnerabilities and possible threats;
       (4) conducting a national scientific research and 
     development program to support the mission of the Department, 
     including developing national policy for and coordinating the 
     Federal Government's civilian efforts to identify, devise, 
     and implement scientific, technological, and other 
     countermeasures to chemical, biological, radiological, 
     nuclear, and other emerging terrorist threats, including 
     directing, funding and conducting research and development 
     relating to the same;
       (5) establishing priorities for, directing, funding, and 
     conducting national research, development, test and 
     evaluation, and procurement of technology and systems--
       (A) for preventing the importation of chemical, biological, 
     radiological, nuclear, and related weapons and material; and
       (B) for detecting, preventing, protecting against, and 
     responding to terrorist attacks;
       (6) establishing a system for transferring homeland 
     security developments or technologies to federal, state, 
     local government, and private sector entities;
       (7) entering into joint sponsorship agreements with the 
     Department of Energy regarding the use of the national 
     laboratories or sites and support of the science and 
     technology base at those facilities;
       (8) collaborating with the Secretary of Agriculture in 
     determining the biological agents and toxins that shall be 
     included on the list of biological agents and toxins required 
     under section 212(a) of the Agricultural Bioterrorism 
     Protection Act of 2002 (7 U.S.C. 8401);
       (9) collaborating with the Secretary of Health and Human 
     Services in determining the biological agents and toxins that 
     shall be listed as ``select agents'' in Appendix A of part 72 
     of title 42, Code of Federal Regulations, pursuant to section 
     351A of the Public Health Service Act (42 U.S.C. 262a); and
       (10) supporting United States leadership in science and 
     technology.

     SEC. 303. FUNCTIONS TRANSFERRED.

       In accordance with title VIII, there shall be transferred 
     to the Secretary the functions, personnel, assets, and 
     liabilities of the following entities:
       (1) The following programs and activities of the Department 
     of Energy, including the functions of the Secretary of Energy 
     relating thereto (but not including programs and activities 
     relating to the strategic nuclear defense posture of the 
     United States):
       (A) The chemical and biological national security and 
     supporting programs and activities of the nonproliferation 
     and verification research and development program.
       (B) The nuclear smuggling programs and activities within 
     the proliferation detection program of the nonproliferation 
     and verification research and development program. The 
     programs and activities described in this subparagraph may be 
     designated by the President either for transfer to the 
     Department or for joint operation by the Secretary and the 
     Secretary of Energy.
       (C) The nuclear assessment program and activities of the 
     assessment, detection, and cooperation program of the 
     international materials protection and cooperation program.
       (D) Such life sciences activities of the biological and 
     environmental research program related to microbial pathogens 
     as may be designated by the President for transfer to the 
     Department.
       (E) The Environmental Measurements Laboratory.
       (F) The advanced scientific computing research program and 
     activities at Lawrence Livermore National Laboratory.
       (2) The National Bio-Weapons Defense Analysis Center of the 
     Department of Defense, including the functions of the 
     Secretary of Defense related thereto.
       (3) The Plum Island Animal Disease Center of the Department 
     of Agriculture, including the functions of the Secretary of 
     Agriculture relating thereto, as provided in section 310.
       (4)(A) Except as provided in subparagraph (B)--
       (i) the functions of the Select Agent Registration Program 
     of the Department of Health and Human Services, including all 
     functions of the Secretary of Health and Human Services under 
     title II of the Public Health Security and Bioterrorism 
     Preparedness and Response Act of 2002 (Public Law 107-188); 
     and
       (ii) the functions of the Department of Agriculture under 
     the Agricultural Bioterrorism Protection Act of 2002 (7 
     U.S.C. 8401 et seq.).
       (B)(i) The Secretary shall collaborate with the Secretary 
     of Health and Human Services in determining the biological 
     agents and toxins that shall be listed as ``select agents'' 
     in Appendix A of part 72 of title 42, Code of Federal 
     Regulations, pursuant to section 351A of the Public Health 
     Service Act (42 U.S.C. 262a).
       (ii) The Secretary shall collaborate with the Secretary of 
     Agriculture in determining the biological agents and toxins 
     that shall be included on the list of biological agents and 
     toxins required under section 212(a) of the Agricultural 
     Bioterrorism Protection Act of 2002 (7 U.S.C. 8401).
       (C) In promulgating regulations pursuant to the functions 
     described in subparagraph (A), the Secretary shall act in 
     collaboration with the Secretary of Health and Human Services 
     and the Secretary of Agriculture.

     SEC. 304. CONDUCT OF CERTAIN PUBLIC HEALTH-RELATED 
                   ACTIVITIES.

       (a) In General.--Except as the President may otherwise 
     direct, the Secretary shall carry out his civilian human 
     health-related biological, biomedical, and infectious disease 
     defense research and development (including vaccine research 
     and development) responsibilities through the Department of 
     Health and Human Services (including the Public Health 
     Service), under agreements with the Secretary of Health and 
     Human Services, and may transfer funds to him in connection 
     with such agreements.
       (b) Establishment of Program.--With respect to any 
     responsibilities carried out through the Department of Health 
     and Human Services under this subsection, the Secretary, in 
     consultation with the Secretary of Health and Human Services, 
     shall have the authority to establish the research and 
     development program, including the setting of priorities.

     SEC. 305. RESEARCH IN CONJUNCTION WITH THE DEPARTMENT OF 
                   HEALTH AND HUMAN SERVICES AND OTHER 
                   DEPARTMENTS.

       With respect to such other research and development 
     responsibilities under this title, including health-related 
     chemical, radiological, and nuclear defense research and 
     development responsibilities, as the Secretary may elect to 
     carry out through the Department of Health and Human Services 
     (including the Public Health Service) (under agreements with 
     the Secretary of Health and Human Services) or through other 
     Federal agencies (under agreements with their respective 
     heads), the Secretary may transfer funds to the Secretary of 
     Health and Human Services, or to such heads, as the case may 
     be.

     SEC. 306. HOMELAND SECURITY ADVANCED RESEARCH PROJECTS 
                   AGENCY.

       (a) Definitions.--In this section:
       (1) Fund.--The term ``Fund'' means the Acceleration Fund 
     for Research and Development of Homeland Security 
     Technologies established under this section.
       (2) Homeland security research and development.--The term 
     ``homeland security research and development'' means research 
     and development of technologies that are applicable in the 
     detection of, prevention of, protection against, response to, 
     attribution of, and recovery from homeland security threats, 
     particularly acts of terrorism.
       (3) HSARPA.--The term ``HSARPA'' means the Homeland 
     Security Advanced Research Projects Agency established under 
     this section.
       (4) Under secretary.--The term ``Under Secretary'' means 
     the Under Secretary for Science and Technology or the 
     designee of that Under Secretary.
       (b) Purposes.--The purposes of this section are to--
       (1) establish the Homeland Security Advanced Research 
     Projects Agency to prioritize and fund homeland security 
     research and development using the acceleration fund; and
       (2) establish a fund to leverage existing research and 
     development and accelerate the deployment of technology that 
     will serve to enhance homeland defense.
       (c) Fund.--
       (1) Establishment.--There is established the Acceleration 
     Fund for Research and Development of Homeland Security 
     Technologies.
       (2) Use of fund.--The Fund may be used to--
       (A) accelerate research, development, testing and 
     evaluation, and deployment of critical homeland security 
     technologies; and
       (B) support homeland security research and development.
       (3) Authorization of appropriations.--There are authorized 
     to be appropriated $500,000,000 to the Fund for fiscal year 
     2003, and such sums as may be necessary in subsequent years.

[[Page S9279]]

       (4) Transition of Funds.--With respect to such research, 
     development, testing, and evaluation responsibilities under 
     this section as the Secretary may elect to carry out through 
     agencies other than the Department (under agreements with 
     their respective heads), the Secretary may transfer funds to 
     such heads. Of the funds authorized to be appropriated under 
     paragraph (3) for the Fund, not less than 10 percent of such 
     funds for each fiscal year through fiscal year 2005 shall be 
     authorized only for the Under Secretary, through joint 
     agreement with the Commandant of the Coast Guard, to carry 
     out research and development of improved ports, waterways, 
     and coastal security surveillance and perimeter protection 
     capabilities for the purpose of minimizing the possibility 
     that Coast Guard cutters, aircraft, helicopters, and 
     personnel will be diverted from non-homeland security 
     missions to the ports, waterways, and coastal security 
     mission.
       (d) Responsibilities of the Homeland Security Advanced 
     Research Projects Agency.--The Homeland Security Advance 
     Research Project Agency shall have the following 
     responsibilities:
       (1) To facilitate effective communication among 
     departments, agencies, and other entities of the Federal 
     Government, with respect to the conduct of research and 
     development related to homeland security.
       (2) To identify, by consensus and on a yearly basis, 
     specific technology areas for which the Fund shall be used to 
     rapidly transition homeland security research and development 
     into deployed technology and reduce identified homeland 
     security vulnerabilities. The identified technology areas 
     shall, as determined by the Homeland Security Advanced 
     Research Projects Agency, be areas in which there exist 
     research and development projects that address identified 
     homeland security vulnerabilities and can be accelerated to 
     the stage of prototyping, evaluating, transitioning, or 
     deploying.
       (3) To administer the Fund, including--
       (A) issuing an annual multiagency program announcement 
     soliciting proposals from government entities, federally 
     funded research and development centers, industry, and 
     academia;
       (B) competitively selecting, on the basis of a merit-based 
     review, proposals that advance the state of deployed 
     technologies in the areas identified for that year;
       (C) at the discretion of the HSARPA, assigning 1 or more 
     program managers to oversee, administer, and execute a Fund 
     project as the agent of HSARPA; and
       (D) providing methods of funding, including grants, 
     cooperative agreements, joint sponsorship agreements, or any 
     other transaction.
       (4) With respect to expenditures from the Fund, exercise 
     acquisition authority consistent with the authority described 
     under section 2371 of title 10, United States Code, relating 
     to authorizing cooperative agreements and other transactions.
       (5) In hiring personnel to assist in the administration of 
     the HSARPA, have the authority to exercise the personnel 
     hiring and management authorities described in section 1101 
     of the Strom Thurmond National Defense Authorization Act for 
     Fiscal Year 1999 (5 U.S.C. 3104 note; Public Law 105-261) 
     with the stipulation that the Secretary shall exercise such 
     authority for a period of 7 years commencing on the date of 
     enactment of this Act, that a maximum of 100 persons may be 
     hired under such authority, and that the term of appointments 
     for employees under subsection (c)(1) of that section may not 
     exceed 5 years before the granting of any extension under 
     subsection (c)(2) of that section.
       (6) Develop and oversee the implementation of periodic 
     homeland security technology demonstrations, held at least 
     annually, for the purpose of improving contact between 
     technology developers, vendors, and acquisition personnel 
     associated with related industries.

     SEC. 307. MISCELLANEOUS AUTHORITIES RELATING TO NATIONAL 
                   LABORATORIES.

       (a) In General.--The limitation of the number of employees 
     of the Department of Energy national laboratories assigned to 
     Washington, D.C. shall not apply to those employees who, at 
     the request of the Secretary, are assigned, on a temporary 
     basis, to assist in the establishment of the Department.
       (b) Direct Tasking.--Notwithstanding any other law 
     governing the administration, mission, use, or operations of 
     any of the Department of Energy national laboratories and 
     sites, such laboratories and sites are authorized to accept 
     direct tasking from the Secretary or his designee, consistent 
     with resources provided, and perform such tasking on an equal 
     basis to other missions at the laboratory and not on a 
     noninterference basis with other missions of such laboratory 
     or site.

     SEC. 308. HOMELAND SECURITY INSTITUTE.

       Within the Directorate of Science and Technology there 
     shall be established a Homeland Security Institute as a 
     separate federally funded research and development center 
     under the direction of the Under Secretary to perform policy 
     and systems analysis, assist in the definition of standards 
     and metrics, assist agencies with evaluating technologies for 
     deployment, proposing risk management strategies based on 
     technology developments, and performing other appropriate 
     research and analysis to improve policy and decisionmaking as 
     it relates to the mission of the Department. The Homeland 
     Security Institute shall utilize the capabilities of the 
     National Infrastructure Simulation and Analysis Center.

     SEC. 309. UTILIZATION OF DEPARTMENT OF ENERGY NATIONAL 
                   LABORATORIES AND SITES IN SUPPORT OF HOMELAND 
                   SECURITY ACTIVITIES.

       (a) Office for National Laboratories.--There is established 
     within the Directorate of Science and Technology an Office 
     for National Laboratories, which shall be responsible for the 
     coordination and utilization of the Department of Energy 
     national laboratories and sites in a manner to create a 
     networked laboratory system for the purpose of supporting the 
     missions of the Department.
       (b) Joint Sponsorship.--The Department may be a joint 
     sponsor, under a multiple agency sponsorship arrangement with 
     the Department of Energy, of 1 or more Department of Energy 
     national laboratories in the performance of work.
       (c) Arrangements.--The Department may be a joint sponsor of 
     a Department of Energy site in the performance of work as if 
     such site were a federally funded research and development 
     center and the work were performed under a multiple agency 
     sponsorship arrangement with the Department.
       (d) Primary Sponsor.--The Department of Energy shall be the 
     primary sponsor under a multiple agency sponsorship 
     arrangement entered into under subsection (a) or (b).
       (e) Lead Agent.--
       (1) In general.--The Secretary of Energy shall act as the 
     lead agent in coordinating the formation and performance of a 
     joint sponsorship agreement between the Department and a 
     Department of Energy national laboratory or site for work on 
     homeland security.
       (2) Federal acquisition regulation.--Any work performed by 
     a national laboratory or site under this section shall comply 
     with the policy on the use of federally funded research and 
     development centers under section 35.017(a) (4) of the 
     Federal Acquisition Regulation.
       (f) Funding.--The Department shall provide funds for work 
     at the Department of Energy national laboratories or sites, 
     as the case may be, under this section under the same terms 
     and conditions as apply to the primary sponsor of such 
     national laboratory under section 303(b)(1)(C) of the Federal 
     Property and Administrative Services Act of 1949 (41 U.S.C. 
     253 (b)(1)(C)) or of such site to the extent such section 
     applies to such site as a federally funded research and 
     development center by reason of subsection (b).
       (g) Authorities of Secretary and Under Secretary.--In 
     connection with work involving the Department of Energy 
     national laboratories or sites, the Secretary or Under 
     Secretary for Science and Technology--
       (1) may enter into joint sponsorship agreements with 
     Department of Energy national laboratories or sites;
       (2) may directly fund, task, and manage work at the 
     Department of Energy national laboratories and sites; and
       (3) may permit the director of any Department of Energy 
     national laboratory or site to enter into cooperative 
     research and development agreements or to negotiate licensing 
     agreements with any person, any agency or instrumentality, of 
     the United States, any unit of State or local government, and 
     any other entity under the authority granted by section 12 of 
     the Stevenson-Wydler Technology Innovation Act of 1980 (15 
     U.S.C. 3710a). Technology may be transferred to a non-Federal 
     party to such an agreement consistent with the provisions of 
     sections 11 and 12 of such Act (15 U.S.C. 3710, 3710a).

     SEC. 310. TRANSFER OF PLUM ISLAND ANIMAL DISEASE CENTER, 
                   DEPARTMENT OF AGRICULTURE.

       (a) In General.--In accordance with title VIII, the 
     Secretary of Agriculture shall transfer to the Secretary of 
     Homeland Security the Plum Island Animal Disease Center of 
     the Department of Agriculture, including the assets and 
     liabilities of the Center.
       (b) Continued Department of Agriculture Access.--On 
     completion of the transfer of the Plum Island Animal Disease 
     Center under subsection (a), the Secretary of Homeland 
     Security and the Secretary of Agriculture shall enter into an 
     agreement to ensure that the Department of Agriculture is 
     able to carry out research, diagnostic, and other activities 
     of the Department of Agriculture at the Center.
       (c) Direction of Activities.--The Secretary of Agriculture 
     shall continue to direct the research, diagnostic, and other 
     activities of the Department of Agriculture at the Center 
     described in subsection (b).
       (d) Notification.--
       (1) In general.--At least 180 days before any change in the 
     biosafety level at the Plum Island Animal Disease Center, the 
     President shall notify Congress of the change and describe 
     the reasons for the change.
       (2) Limitation.--No change described in paragraph (1) may 
     be made earlier than 180 days after the completion of the 
     transition period (as defined in section 801(2)).

     SEC. 311. CLEARINGHOUSE.

       (a) In General.--The Secretary, acting through the Under 
     Secretary for Science and Technology, shall provide for a 
     clearinghouse as a central, national point of entry for 
     individuals or companies seeking guidance on how to pursue 
     proposals to develop or deploy products that would contribute 
     to homeland security. Such clearinghouse shall refer those 
     seeking guidance on Federal funding, regulation, acquisition, 
     or other

[[Page S9280]]

     matters to the appropriate unit of the Department or to other 
     appropriate Federal agencies.
       (b) Screenings and Assessments.--The Under Secretary for 
     Science and Technology shall work in conjunction with the 
     Technical Support Working Group (organized under the April 
     1982, National Security Decision Directive Numbered 30) to--
       (1) screen proposals described in subsection (a), as 
     appropriate;
       (2) assess the feasibility, scientific and technical 
     merits, and estimated cost of proposals screened under 
     paragraph (1), as appropriate; and
       (3) identify areas where existing technologies may be 
     easily adapted and deployed to meet the homeland security 
     agenda of the Federal Government.

              TITLE IV--BORDER AND TRANSPORTATION SECURITY

     SEC. 401. UNDER SECRETARY FOR BORDER AND TRANSPORTATION 
                   SECURITY.

       There shall be in the Department a Directorate for Border 
     and Transportation Security headed by an Under Secretary for 
     Border and Transportation Security.

     SEC. 402. RESPONSIBILITIES.

       In assisting the Secretary with the responsibilities 
     specified in section 101(b)(2)(C), the primary 
     responsibilities of the Under Secretary for Border and 
     Transportation Security shall include--
       (1) preventing the entry of terrorists and the instruments 
     of terrorism into the United States;
       (2) securing the borders, territorial waters, ports, 
     terminals, waterways, and air, land, and sea transportation 
     systems of the United States, including managing and 
     coordinating governmental activities at ports of entry;
       (3) administering the immigration and naturalization laws 
     of the United States, including the establishment of rules, 
     in accordance with section 406, governing the granting of 
     visas or other forms of permission, including parole, to 
     enter the United States to individuals who are not citizens 
     or lawful permanent residents thereof;
       (4) administering the customs laws of the United States;
       (5) in carrying out the foregoing responsibilities, 
     ensuring the speedy, orderly, and efficient flow of lawful 
     traffic and commerce;
       (6) carrying out the border patrol function; and
       (7) administering and enforcing the functions of the 
     Department under the immigration laws of the United States 
     with respect to the inspection of aliens arriving at ports of 
     entry of the United States.

     SEC. 403. FUNCTIONS TRANSFERRED.

       (a) In General.--In accordance with title VIII, there shall 
     be transferred to the Secretary the functions, personnel, 
     assets, and liabilities of--
       (1) the United States Customs Service of the Department of 
     the Treasury, including the functions of the Secretary of the 
     Treasury relating thereto;
       (2) the Transportation Security Administration of the 
     Department of Transportation, including the functions of the 
     Secretary of Transportation, and of the Under Secretary of 
     Transportation for Security, relating thereto;
       (3) the Federal Protective Service of the General Services 
     Administration, including the functions of the Administrator 
     of General Services relating thereto; and
       (4) the Federal Law Enforcement Training Center of the 
     Department of the Treasury.
       (b) Exercise of Customs Revenue Authorities.--
       (1) In general.--
       (A) Authorities not transferred.--Notwithstanding 
     subsection (a)(1), authority that was vested in the Secretary 
     of the Treasury by law to issue regulations related to 
     customs revenue functions before the effective date of this 
     section under the provisions of law set forth under paragraph 
     (2) shall not be transferred to the Secretary by reason of 
     this Act. The Secretary of the Treasury, with the concurrence 
     of the Secretary, shall exercise this authority. The 
     Commissioner of Customs is authorized to engage in activities 
     to develop and support the issuance of the regulations 
     described in this paragraph. The Secretary shall be 
     responsible for the implementation and enforcement of 
     regulations issued under this section.
       (B) Report.--Not later than 60 days after the date of 
     enactment of this Act, the Secretary of the Treasury shall 
     submit a report to the Committee on Finance of the Senate and 
     the Committee on Ways and Means of the House of 
     Representatives of proposed conforming amendments to the 
     statutes set forth under paragraph (2) in order to determine 
     the appropriate allocation of legal authorities described 
     under this subsection. The Secretary of the Treasury shall 
     also identify those authorities vested in the Secretary of 
     the Treasury that are exercised by the Commissioner of 
     Customs on or before the effective date of this section.
       (C) Liability.--Neither the Secretary of the Treasury nor 
     the Department of the Treasury shall be liable for or named 
     in any legal action concerning the implementation and 
     enforcement of regulations issued under this paragraph after 
     the effective date of this Act.
       (2) Applicable laws.--The provisions of law referred to 
     under paragraph (1) are those sections of the following 
     statutes that relate to customs revenue functions:
       (A) The Tariff Act of 1930.
       (B) Section 249 of the Revised Statutes of the United 
     States (19 U.S.C. 3).
       (C) Section 2 of the Act of March 4, 1923 (19 U.S.C. 6).
       (D) Section 13031 of the Consolidated Omnibus Budget 
     Reconciliation Act of 1985 (19 U.S.C. 58c).
       (E) Section 251 of the Revised States of the United States 
     (19 U.S.C. 66).
       (F) Section 1 of the Act of June 26, 1930 (19 U.S.C. 68).
       (G) The Foreign Trade Zones Act (19 U.S.C. 81a et seq.).
       (H) Section 1 of the Act of March 2, 1911 (19 U.S.C. 198).
       (I) The Trade Act of 1974.
       (J) The Trade Agreement Act of 1979.
       (K) The North American Free Trade Area Implementation Act.
       (L) The Uruguay Round Agreements Act.
       (M) The Caribbean Basin Economic Recovery Act.
       (N) The Andean Growth and Opportunity Act.
       (O) Any other provision of law vesting customs revenue 
     functions in the Secretary of the Treasury.
       (3) Definitions of customs revenue functions.--In this 
     subsection, the term ``customs revenue functions'' means--
       (A) assessing, collecting, and refunding duties (including 
     any special duties), excise taxes, fees, and any liquidated 
     damages or penalties due on imported merchandise, including 
     classifying and valuing merchandise and the procedures for 
     ``entry'' as that term is defined in the United States 
     Customs laws;
       (B) administering section 337 of the Tariff Act of 1930 and 
     provisions relating to import quotas and the marking of 
     imported merchandise, and providing Customs Recordation for 
     copyrights, patents, and trademarks;
       (C) collecting accurate import data for compilation of 
     international trade statistics; and
       (D) administering reciprocal trade agreements and trade 
     preference legislation.

     SEC. 404. TRANSFER OF CERTAIN AGRICULTURAL INSPECTION 
                   FUNCTIONS OF THE DEPARTMENT OF AGRICULTURE.

       (a) Transfer of Agricultural Import and Entry Inspection 
     Functions.--There shall be transferred to the Secretary the 
     functions of the Secretary of Agriculture relating to 
     agricultural import and entry inspection activities under the 
     laws specified in subsection (b).
       (b) Covered Animal and Plant Protection Laws.--The laws 
     referred to in subsection (a) are the following:
       (1) The Act commonly known as the Virus-Serum-Toxin Act 
     (the eighth paragraph under the heading ``Bureau of Animal 
     Industry'' in the Act of March 4, 1913; 21 U.S.C. 151 et 
     seq.).
       (2) The first section of the Act of August 31, 1922 
     (commonly known as the Honeybee Act; 7 U.S.C. 281).
       (3) Title III of the Federal Seed Act (7 U.S.C. 1581 et 
     seq.).
       (4) The Plant Protection Act (7 U.S.C. 7701 et seq.).
       (5) The Animal Health Protection Act (subtitle E of title X 
     of Public Law 107-171; 7 U.S.C. 8301 et seq.).
       (6) The Lacey Act Amendments of 1981 (16 U.S.C. 3371 et 
     seq.).
       (7) Section 11 of the Endangered Species Act of 1973 (16 
     U.S.C. 1540).
       (c) Exclusion of Quarantine Activities.--For purposes of 
     this section, the term ``functions'' does not include any 
     quarantine activities carried out under the laws specified in 
     subsection (b).
       (d) Effect of Transfer.--
       (1) Compliance with department of agriculture 
     regulations.--The authority transferred pursuant to 
     subsection (a) shall be exercised by the Secretary in 
     accordance with the regulations, policies, and procedures 
     issued by the Secretary of Agriculture regarding the 
     administration of the laws specified in subsection (b).
       (2) Rulemaking coordination.--The Secretary of Agriculture 
     shall coordinate with the Secretary whenever the Secretary of 
     Agriculture prescribes regulations, policies, or procedures 
     for administering the laws specified in subsection (b) at the 
     locations referred to in subsection (a).
       (3) Effective administration.--The Secretary, in 
     consultation with the Secretary of Agriculture, may issue 
     such directives and guidelines as are necessary to ensure the 
     effective use of personnel of the Department to carry out the 
     functions transferred pursuant to subsection (a).
       (e) Transfer Agreement.--
       (1) Agreement required; revision.--Before the end of the 
     transition period, as defined in section 801(2), the 
     Secretary of Agriculture and the Secretary shall enter into 
     an agreement to effectuate the transfer of functions required 
     by subsection (a). The Secretary of Agriculture and the 
     Secretary may jointly revise the agreement as necessary 
     thereafter.
       (2) Required terms.--The agreements required by this 
     subsection shall provide for the following:
       (A) The supervision by the Secretary of Agriculture of the 
     training of employees of the Department to carry out the 
     functions transferred pursuant to subsection (a).
       (B) The transfer of funds to the Secretary under subsection 
     (f).
       (C) Authority under which the Secretary may perform 
     functions that are delegated to the Animal and Plant 
     Inspection Service of the Department of Agriculture regarding 
     the protection of domestic livestock and plants, but not 
     transferred to the Secretary pursuant to subsection (a).

[[Page S9281]]

       (D) Authority under which the Secretary of Agriculture may 
     use employees of the Department to carry out authorities 
     delegated to the Animal and Plant Health Inspection Service 
     regarding the protection of domestic livestock and plants.
       (f) Periodic Transfer of Funds to Department of Homeland 
     Security.--
       (1) Transfer of funds.--Subject to paragraph (2), out of 
     any funds collected as fees under sections 2508 and 2509 of 
     the Food, Agriculture, Conservation, and Trade Act of 1990 
     (21 U.S.C. 136, 136a), the Secretary of Agriculture shall 
     periodically transfer to the Secretary, in accordance with 
     the agreement under subsection (e), funds for activities 
     carried out by the Secretary for which the fees were 
     collected.
       (2) Limitation.--The proportion of fees collected under 
     sections 2508 and 2509 of the Food, Agriculture, 
     Conservation, and Trade Act of 1990 (21 U.S.C. 136, 136a) 
     that are transferred to the Secretary under paragraph (1) may 
     not exceed the proportion that--
       (A) the costs incurred by the Secretary to carry out 
     activities funded by those fees; bears to
       (B) the costs incurred by the Federal Government to carry 
     out activities funded by those fees.
       (g) Transfer of Department of Agriculture Employees.--Not 
     later than the completion of the transition period (as 
     defined in section 801(2)), the Secretary of Agriculture 
     shall transfer to the Department not more than 3,200 full-
     time equivalent positions of the Department of Agriculture.
       (h) Protection of Inspection Animals.--Title V of the 
     Agricultural Risk Protection Act of 2002 (7 U.S.C. 2279e, 
     2279f) is amended--
       (1) in section 501(a)--
       (A) by inserting ``or the Department of Homeland Security'' 
     after ``Department of Agriculture''; and
       (B) by inserting ``or the Secretary of Homeland Security'' 
     after ``Secretary of Agriculture'';
       (2) by striking ``Secretary'' each place it appears (other 
     than in sections 501(a) and 501(e)) and inserting ``Secretary 
     concerned''; and
       (3) by adding at the end of section 501 the following:
       ``(i) Secretary Concerned Defined.--In this title, the term 
     `Secretary concerned' means--
       ``(1) the Secretary of Agriculture, with respect to an 
     animal used for purposes of official inspections by the 
     Department of Agriculture; and
       ``(2) the Secretary of Homeland Security, with respect to 
     an animal used for purposes of official inspections by the 
     Department of Homeland Security.''.
       (j) Conforming Amendments.--
       (1) Section 501 of the Agricultural Risk Protection Act of 
     2000 (7 U.S.C. 2279e) is amended--
       (A) in subsection (a)--
       (i) by inserting ``or the Department of Homeland Security'' 
     after ``Department of Agriculture''; and
       (ii) by inserting ``or the Secretary of Homeland Security'' 
     after ``Secretary of Agriculture''; and
       (B) by striking ``Secretary'' each place it appears (other 
     than in subsections (a) and (e)) and inserting ``Secretary 
     concerned''.
       (2) Section 221 of the Public Health Security and 
     Bioterrorism Preparedness and Response Act of 2002 (7 U.S.C. 
     8411) is repealed.

     SEC. 405. COORDINATION OF INFORMATION AND INFORMATION 
                   TECHNOLOGY.

       (a) Definition of Affected Agency.--In this section, the 
     term ``affected agency'' means--
       (1) the Department;
       (2) the Department of Agriculture;
       (3) the Department of Health and Human Services; and
       (4) any other department or agency determined to be 
     appropriate by the Secretary.
       (b) Coordination.--The Secretary, in coordination with the 
     Secretary of Agriculture, the Secretary of Health and Human 
     Services, and the head of each other department or agency 
     determined to be appropriate by the Secretary, shall ensure 
     that appropriate information (as determined by the Secretary) 
     concerning inspections of articles that are imported or 
     entered into the United States, and are inspected or 
     regulated by 1 or more affected agencies, is timely and 
     efficiently exchanged between the affected agencies.
       (c) Report and Plan.--Not later than 18 months after the 
     date of enactment of this Act, the Secretary, in consultation 
     with the Secretary of Agriculture, the Secretary of Health 
     and Human Services, and the head of each other department or 
     agency determined to be appropriate by the Secretary, shall 
     submit to Congress--
       (1) a report on the progress made in implementing this 
     section; and
       (2) a plan to complete implementation of this section.

     SEC. 406. VISA ISSUANCE.

       (a) Definition.--In this subsection, the term ``consular 
     office'' has the meaning given that term under section 
     101(a)(9) of the Immigration and Nationality Act (8 U.S.C. 
     1101(a)(9)).
       (b) In General.--Notwithstanding section 104(a) of the 
     Immigration and Nationality Act (8 U.S.C. 1104(a)) or any 
     other provision of law, and except as provided in subsection 
     (c) of this section, the Secretary--
       (1) shall be vested exclusively with all authorities to 
     issue regulations with respect to, administer, and enforce 
     the provisions of such Act, and of all other immigration and 
     nationality laws, relating to the functions of consular 
     officers of the United States in connection with the granting 
     or refusal of visas which authorities shall be exercised 
     through the Secretary of State, except that the Secretary 
     shall not have authority to alter or reverse the decision of 
     a consular officer to refuse a visa to an alien;
       (2) may delegate in whole or part the authority under 
     subparagraph (A) to the Secretary of State; and
       (3) shall have authority to confer or impose upon any 
     officer or employee of the United States, with the consent of 
     the head of the executive agency under whose jurisdiction 
     such officer or employee is serving, any of the functions 
     specified in paragraph (1).
       (c) Authority of the Secretary of State.--
       (1) In general.--Notwithstanding subsection (b), the 
     Secretary of State may direct a consular officer to refuse a 
     visa to an alien if the Secretary of State deems such refusal 
     necessary or advisable in the foreign policy or security 
     interests of the United States.
       (2) Construction regarding authority.--Nothing in this 
     section shall be construed as affecting the authorities of 
     the Secretary of State under the following provisions of law:
       (A) Section 101(a)(15)(A) of the Immigration and 
     Nationality Act (8 U.S.C. 1101(a)(15)(A)).
       (B) Section 204(d)(2) of the Immigration and Nationality 
     Act (8 U.S.C. 1154) (as it will take effect upon the entry 
     into force of the Convention on Protection of Children and 
     Cooperation in Respect to Inter-Country adoption).
       (C) Section 212(a)(3)(B)(i)(IV)(bb) of the Immigration and 
     Nationality Act (8 U.S.C. 1182(a)(3)(B)(i)(IV)(bb)).
       (D) Section 212(a)(3)(B)(i)(VI) of the Immigration and 
     Nationality Act (8 U.S.C. 1182(a)(3)(B)(i)(VI)).
       (E) Section 212(a)(3)(B)(vi)(II) of the Immigration and 
     Nationality Act (8 U.S.C. 1182(a)(3)(B)(vi)(II)).
       (F) Section 212(a)(3(C) of the Immigration and Nationality 
     Act (8 U.S.C. 1182(a)(3)(C)).
       (G) Section 212(a)(10)(C) of the Immigration and 
     Nationality Act (8 U.S.C. 1182(a)(10)(C)).
       (H) Section 212(f) of the Immigration and Nationality Act 
     (8 U.S.C. 1182(f)).
       (I) Section 219(a) of the Immigration and Nationality Act 
     (8 U.S.C. 1189(a)).
       (J) Section 237(a)(4)(C) of the Immigration and Nationality 
     Act (8 U.S.C. 1227(a)(4)(C)).
       (K) Section 401 of the Cuban Liberty and Democratic 
     Solidarity (LIBERTAD) Act of 1996 (22 U.S.C. 6034; Public Law 
     104-114).
       (L) Section 613 of the Departments of Commerce, Justice, 
     and State, the Judiciary and Related Agencies Appropriations 
     Act, 1999 (as contained in section 101(b) of division A of 
     Public Law 105-277) (Omnibus Consolidated and Emergency 
     Supplemental Appropriations Act, 1999); 112 Stat. 2681; H.R. 
     4328 (originally H.R. 4276) as amended by section 617 of 
     Public Law 106-553.
       (M) Section 103(f) of the Chemical Weapon Convention 
     Implementation Act of 1998 (112 Stat. 2681-865).
       (N) Section 801 of H.R. 3427, the Admiral James W. Nance 
     and Meg Donovan Foreign Relations Authorization Act, Fiscal 
     Years 2000 and 2001, as enacted by reference in Public Law 
     106-113.
       (O) Section 568 of the Foreign Operations, Export 
     Financing, and Related Programs Appropriations Act, 2002 
     (Public Law 107-115).
       (P) Section 51 of the State Department Basic Authorities 
     Act of 1956 (22 U.S.C. 2723).
       (d) Consular Officers and Chiefs of Missions.--
       (1) In general.--Nothing in this subsection may be 
     construed to alter or affect--
       (A) the employment status of consular officers as employees 
     of the Department of State; or
       (B) the authority of a chief of mission under section 207 
     of the Foreign Service Act of 1980 (22 U.S.C. 3927).
       (2) Construction regarding delegation of authority.--
     Nothing in this section shall be construed to affect any 
     delegation of authority to the Secretary of State by the 
     President pursuant to any proclamation issued under section 
     212(f) of the Immigration and Nationality Act (8 U.S.C. 
     1182(f)).
       (e) Assignment of Homeland Security Employees to Diplomatic 
     and Consular Posts.--
       (1) In general.--The Secretary is authorized to assign 
     employees of the Department to each diplomatic and consular 
     post at which visas are issued, unless the Secretary 
     determines that such an assignment at a particular post would 
     not promote homeland security.
       (2) Functions.--Employees assigned under paragraph (1) 
     shall perform the following functions:
       (i) Provide expert advice to consular officers regarding 
     specific security threats relating to the adjudication of 
     individual visa applications or classes of applications.
       (ii) Review any such applications, either on the initiative 
     of the employee of the Department or upon request by a 
     consular officer or other person charged with adjudicating 
     such applications.
       (iii) Conduct investigations with respect to consular 
     matters under the jurisdiction of the Secretary.
       (3) Evaluation of consular officers.--The Secretary of 
     State shall evaluate, in consultation with the Secretary, as 
     deemed

[[Page S9282]]

     appropriate by the Secretary, the performance of consular 
     officers with respect to the processing and adjudication of 
     applications for visas in accordance with performance 
     standards developed by the Secretary for these procedures.
       (4) Report.--The Secretary shall, on an annual basis, 
     submit a report to Congress that describes the basis for each 
     determination under paragraph (1) that the assignment of an 
     employee of the Department at a particular diplomatic post 
     would not promote homeland security.
       (5) Permanent assignment; participation in terrorist 
     lookout committee.--When appropriate, employees of the 
     Department assigned to perform functions described in 
     paragraph (2) may be assigned permanently to overseas 
     diplomatic or consular posts with country-specific or 
     regional responsibility. If the Secretary so directs, any 
     such employee, when present at an overseas post, shall 
     participate in the terrorist lookout committee established 
     under section 304 of the Enhanced Border Security and Visa 
     Entry Reform Act of 2002 (8 U.S.C. 1733).
       (6) Training and hiring.--
       (A) In general.--The Secretary shall ensure, to the extent 
     possible, that any employees of the Department assigned to 
     perform functions under paragraph (2) and, as appropriate, 
     consular officers, shall be provided the necessary training 
     to enable them to carry out such functions, including 
     training in foreign languages, in conditions in the 
     particular country where each employee is assigned, and in 
     other appropriate areas of study.
       (B) Use of center.--The Secretary is authorized to use the 
     National Foreign Affairs Training Center, on a reimbursable 
     basis, to obtain the training described in subparagraph (A).
       (7) Report.--Not later than 1 year after the date of 
     enactment of this Act, the Secretary and the Secretary of 
     State shall submit to Congress--
       (A) a report on the implementation of this subsection; and
       (B) any legislative proposals necessary to further the 
     objectives of this subsection.
       (8) Effective date.--This subsection shall take effect on 
     the earlier of--
       (A) the date on which the President publishes notice in the 
     Federal Register that the President has submitted a report to 
     Congress setting forth a memorandum of understanding between 
     the Secretary and the Secretary of State governing the 
     implementation of this section; or
       (B) the date occurring 1 year after the date of enactment 
     of this Act.
       (f) No Creation of Private Right of Action.--Nothing in 
     this section shall be construed to create or authorize a 
     private right of action to challenge a decision of a consular 
     officer or other United States official or employee to grant 
     or deny a visa.

     SEC. 407. BORDER SECURITY AND IMMIGRATION WORKING GROUP.

       (a) Establishment.--The Secretary shall establish a border 
     security and immigration working group (in this section 
     referred to as the ``Working Group''), composed of the 
     Secretary or the designee of the Secretary, the Under 
     Secretary for Immigration Affairs, and the Under Secretary 
     for Border and Transportation protection.
       (b) Functions.--The Working Group shall meet not less 
     frequently than once every 3 months and shall--
       (1) with respect to border security functions, develop 
     coordinated budget requests, allocations of appropriations, 
     staffing requirements, communication, use of equipment, 
     transportation, facilities, and other infrastructure;
       (2) coordinate joint and cross-training programs for 
     personnel performing border security functions;
       (3) monitor, evaluate and make improvements in the coverage 
     and geographic distributions of border security programs and 
     personnel;
       (4) develop and implement policies and technologies to 
     ensure the speedy, orderly, and efficient flow of lawful 
     traffic, travel and commerce, and enhanced security for high-
     risk traffic, travel, and commerce;
       (5) identify systemic problems in coordination encountered 
     by border security agencies and programs and propose 
     administrative, regulatory, or statutory changes to mitigate 
     such problems; and
       (6) coordinate the enforcement of all immigration laws.
       (c) Relevant Agencies.--The Secretary shall consult with 
     representatives of relevant agencies with respect to 
     deliberations under subsection (b), and may include 
     representative of such agencies in working group 
     deliberations, as appropriate.

     SEC. 408. INFORMATION ON VISA DENIALS REQUIRED TO BE ENTERED 
                   INTO ELECTRONIC DATA SYSTEM.

       (a) In General.--Whenever a consular officer of the United 
     States denies a visa to an applicant, the consular officer 
     shall enter the fact and the basis of the denial and the name 
     of the applicant into the interoperable electronic data 
     system implemented under section 202(a) of the Enhanced 
     Border Security and Visa Entry Reform Act of 2002 (8 U.S.C. 
     1722(a)).
       (b) Prohibition.--In the case of any alien with respect to 
     whom a visa has been denied under subsection (a)--
       (1) no subsequent visa may be issued to the alien unless 
     the consular officer considering the alien's visa application 
     has reviewed the information concerning the alien placed in 
     the interoperable electronic data system, has indicated on 
     the alien's application that the information has been 
     reviewed, and has stated for the record why the visa is being 
     issued or a waiver of visa ineligibility recommended in spite 
     of that information; and
       (2) the alien may not be admitted to the United States 
     without a visa issued in accordance with the procedures 
     described in paragraph (1).

     SEC. 409. STUDY ON USE OF FOREIGN NATIONAL PERSONNEL IN VISA 
                   PROCESSING.

       The Secretary shall conduct a study on the use of foreign 
     national personnel in visa processing to determine whether 
     such uses are consistent with secure visa processing. The 
     study shall review and make recommendations with respect to--
       (1) the effects or possible effects on national security of 
     the use of foreign national personnel in individual countries 
     to perform data entry, process visas or visa applications, or 
     in any way handle visas or visa application documents; and
       (2) each United States mission abroad to determine whether 
     United States consular services performed at the United 
     States mission require different regulations on the use of 
     foreign national personnel.

              TITLE V--EMERGENCY PREPAREDNESS AND RESPONSE

     SEC. 501. UNDER SECRETARY FOR EMERGENCY PREPAREDNESS AND 
                   RESPONSE.

       There shall be in the Department a Directorate of Emergency 
     Preparedness and Response headed by an Under Secretary for 
     Emergency Preparedness and Response.

     SEC. 502. RESPONSIBILITIES.

       In assisting the Secretary with the responsibilities 
     specified in section 101(b)(2)(D), the primary 
     responsibilities of the Under Secretary for Emergency 
     Preparedness and Response shall include--
       (1) helping to ensure the preparedness of emergency 
     response providers for terrorist attacks, major disasters, 
     and other emergencies;
       (2) with respect to the Nuclear Incident Response Team 
     (regardless of whether it is operating as an organizational 
     unit of the Department pursuant to this title)--
       (A) establishing standards and certifying when those 
     standards have been met;
       (B) conducting joint and other exercises and training and 
     evaluating performance; and
       (C) providing funds to the Department of Energy and the 
     Environmental Protection Agency, as appropriate, for homeland 
     security planning, exercises and training, and equipment;
       (3) providing the Federal Government's response to 
     terrorist attacks and major disasters, including--
       (A) managing such response;
       (B) directing the Domestic Emergency Support Team, the 
     Strategic National Stockpile, the National Disaster Medical 
     System, and (when operating as an organizational unit of the 
     Department pursuant to this title) the Nuclear Incident 
     Response Team;
       (C) overseeing the Metropolitan Medical Response System; 
     and
       (D) coordinating other Federal response resources in the 
     event of a terrorist attack or major disaster;
       (4) aiding the recovery from terrorist attacks and major 
     disasters;
       (5) building a comprehensive national incident management 
     system with Federal, State, and local government personnel, 
     agencies, and authorities, to respond to such attacks and 
     disasters;
       (6) consolidating existing Federal Government emergency 
     response plans into a single, coordinated national response 
     plan; and
       (7) developing comprehensive programs for developing 
     interoperative communications technology, and helping to 
     ensure that emergency response providers acquire such 
     technology.

     SEC. 503. FUNCTIONS TRANSFERRED.

       In accordance with title VIII, there shall be transferred 
     to the Secretary the functions, personnel, assets, and 
     liabilities of the following entities:
       (1) The Federal Emergency Management Agency, including the 
     functions of the Director of the Federal Emergency Management 
     Agency relating thereto.
       (2) The Office for Domestic Preparedness of the Office of 
     Justice Programs, including the functions of the Attorney 
     General relating thereto.
       (3) The National Domestic Preparedness Office of the 
     Federal Bureau of Investigation, including the functions of 
     the Attorney General relating thereto.
       (4) The Domestic Emergency Support Teams of the Department 
     of Justice, including the functions of the Attorney General 
     relating thereto.
       (5) The Office of the Assistant Secretary for Public Health 
     Emergency Preparedness (including the Office of Emergency 
     Preparedness, the National Disaster Medical System, and the 
     Metropolitan Medical Response System) of the Department of 
     Health and Human Services, including the functions of the 
     Secretary of Health and Human Services relating thereto.
       (6) The Strategic National Stockpile of the Department of 
     Health and Human Services, including the functions of the 
     Secretary of Health and Human Services relating thereto.

     SEC. 504. NUCLEAR INCIDENT RESPONSE.

       (a) In General.--At the direction of the Secretary (in 
     connection with an actual or threatened terrorist attack, 
     major disaster,

[[Page S9283]]

     or other emergency), the Nuclear Incident Response Team shall 
     operate as an organizational unit of the Department. While so 
     operating, the Nuclear Incident Response Team shall be 
     subject to the direction, authority, and control of the 
     Secretary.
       (b) Rule of Construction.--Nothing in this title shall be 
     construed to limit the ordinary responsibility of the 
     Secretary of Energy and the Administrator of the 
     Environmental Protection Agency for organizing, training, 
     equipping, and utilizing their respective entities in the 
     Nuclear Incident Response Team, or (subject to the provisions 
     of this title) from exercising direction, authority, and 
     control over them when they are not operating as a unit of 
     the Department.

     SEC. 505. CONDUCT OF CERTAIN PUBLIC HEALTH-RELATED 
                   ACTIVITIES.

       (a) In General.--With respect to all public health-related 
     activities to improve State, local, and hospital preparedness 
     and response to chemical, biological, radiological, and 
     nuclear and other emerging terrorist threats carried out by 
     the Department of Health and Human Services (including the 
     Public Health Service), the Secretary of Health and Human 
     Services shall set priorities and preparedness goals and 
     further develop a coordinated strategy for such activities in 
     collaboration with the Secretary.
       (b) Evaluation of Progress.--In carrying out subsection 
     (a), the Secretary of Health and Human Services shall 
     collaborate with the Secretary in developing specific 
     benchmarks and outcome measurements for evaluating progress 
     toward achieving the priorities and goals described in such 
     subsection.

     SEC. 506. DEFINITION.

       In this title, the term ``Nuclear Incident Response Team'' 
     means a resource that includes--
       (1) those entities of the Department of Energy that perform 
     nuclear or radiological emergency support functions 
     (including accident response, search response, advisory, and 
     technical operations functions), radiation exposure functions 
     at the medical assistance facility known as the Radiation 
     Emergency Assistance Center/Training Site (REAC/TS), 
     radiological assistance functions, and related functions; and
       (2) those entities of the Environmental Protection Agency 
     that perform such support functions (including radiological 
     emergency response functions) and related functions.

                          TITLE VI--MANAGEMENT

     SEC. 601. UNDER SECRETARY FOR MANAGEMENT.

       There shall be in the Department a Directorate for 
     Management, headed by an Under Secretary for Management.

     SEC. 602. RESPONSIBILITIES.

       In assisting the Secretary with the management and 
     administration of the Department, the primary 
     responsibilities of the Under Secretary for Management shall 
     include, for the Department--
       (1) the budget, appropriations, expenditures of funds, 
     accounting, and finance;
       (2) procurement;
       (3) human resources and personnel;
       (4) information technology and communications systems;
       (5) facilities, property, equipment, and other material 
     resources;
       (6) security for personnel, information technology and 
     communications systems, facilities, property, equipment, and 
     other material resources; and
       (7) identification and tracking of performance measures 
     relating to the responsibilities of the Department.

     SEC. 603. CHIEF FINANCIAL OFFICER.

       The Chief Financial Officer shall report to the Secretary, 
     or to another official of the Department, as the Secretary 
     may direct.

     SEC. 604. CHIEF INFORMATION OFFICER.

       The Chief Information Officer shall report to the 
     Secretary, or to another official of the Department, as the 
     Secretary may direct.

     SEC. 605. CHIEF HUMAN CAPITAL OFFICER.

       The Chief Human Capital Officer shall report to the 
     Secretary, or to another official of the Department, as the 
     Secretary may direct and shall ensure that all employees of 
     the Department are informed of their rights and remedies 
     under chapters 12 and 23 of title 5, United States Code, by--
       (1) participating in the 2302(c) Certification Program of 
     the Office of Special Counsel;
       (2) achieving certification from the Office of Special 
     Counsel of the Department's compliance with section 2302(c) 
     of title 5, United States Code; and
       (3) informing Congress of such certification not later than 
     24 months after the date of enactment of this Act.

 TITLE VII--COORDINATION WITH NON-FEDERAL ENTITIES; INSPECTOR GENERAL; 
     UNITED STATES SECRET SERVICE; COAST GUARD; GENERAL PROVISIONS

           Subtitle A--Coordination with Non-Federal Entities

     SEC. 701. RESPONSIBILITIES.

       In discharging his responsibilities relating to 
     coordination (including the provision of training and 
     equipment) with State and local government personnel, 
     agencies, and authorities, with the private sector, and with 
     other entities, the responsibilities of the Secretary shall 
     include--
       (1) coordinating with State and local government personnel, 
     agencies, and authorities, and with the private sector, to 
     ensure adequate planning, equipment, training, and exercise 
     activities;
       (2) coordinating and, as appropriate, consolidating the 
     Federal Government's communications and systems of 
     communications relating to homeland security with State and 
     local government personnel, agencies, and authorities, the 
     private sector, other entities, and the public;
       (3) directing and supervising grant programs of the Federal 
     Government for State and local government emergency response 
     providers; and
       (4) distributing or, as appropriate, coordinating the 
     distribution of, warnings and information to State and local 
     government personnel, agencies, and authorities and to the 
     public.

                     Subtitle B--Inspector General

     SEC. 710. AUTHORITY OF THE SECRETARY.

       (a) In General.--Notwithstanding the last two sentences of 
     section 3(a) of the Inspector General Act of 1978, the 
     Inspector General shall be under the authority, direction, 
     and control of the Secretary with respect to audits or 
     investigations, or the issuance of subpoenas, that require 
     access to information concerning--
       (1) intelligence, counterintelligence, or counterterrorism 
     matters;
       (2) ongoing criminal investigations or proceedings;
       (3) undercover operations;
       (4) the identity of confidential sources, including 
     protected witnesses;
       (5) other matters the disclosure of which would, in the 
     Secretary's judgment, constitute a serious threat to the 
     protection of any person or property authorized protection by 
     section 3056 of title 18, United States Code, section 202 of 
     title 3 of such Code, or any provision of the Presidential 
     Protection Assistance Act of 1976; or
       (6) other matters the disclosure of which would, in the 
     Secretary's judgment, constitute a serious threat to national 
     security.
       (b) Prohibition of Completion of Audit or Investigation.--
     With respect to the information described in subsection (a), 
     the Secretary may prohibit the Inspector General from 
     carrying out or completing any audit or investigation, or 
     from issuing any subpoena, after such Inspector General has 
     decided to initiate, carry out, or complete such audit or 
     investigation or to issue such subpoena, if the Secretary 
     determines that such prohibition is necessary to prevent the 
     disclosure of any information described in subsection (a), to 
     preserve the national security, or to prevent a significant 
     impairment to the interests of the United States.
       (c) Notification.--The Secretary shall notify in writing 
     the President of the Senate, the Speaker of the House of 
     Representatives, the Committee on Governmental Affairs of the 
     Senate, the Committee on Government Reform of the House of 
     Representatives, and other appropriate committees of Congress 
     within thirty days of any exercise of his authority under 
     this section stating the reasons for such exercise.

     SEC. 711. LAW ENFORCEMENT POWERS OF INSPECTOR GENERAL AGENTS.

       (a) In General.--Section 6 of the Inspector General Act of 
     1978 (5 U.S.C. App.) is amended by adding at the end the 
     following:
       ``(e)(1) In addition to the authority otherwise provided by 
     this Act, each Inspector General appointed under section 3, 
     any Assistant Inspector General for Investigations under such 
     an Inspector General, and any special agent supervised by 
     such an Assistant Inspector General may be authorized by the 
     Attorney General to--
       ``(A) carry a firearm while engaged in official duties as 
     authorized under this Act or other statute, or as expressly 
     authorized by the Attorney General;
       ``(B) make an arrest without a warrant while engaged in 
     official duties as authorized under this Act or other 
     statute, or as expressly authorized by the Attorney General, 
     for any offense against the United States committed in the 
     presence of such Inspector General, Assistant Inspector 
     General, or agent, or for any felony cognizable under the 
     laws of the United States if such Inspector General, 
     Assistant Inspector General, or agent has reasonable grounds 
     to believe that the person to be arrested has committed or is 
     committing such felony; and
       ``(C) seek and execute warrants for arrest, search of a 
     premises, or seizures of evidence issued under the authority 
     of the United States upon probable cause to believe that a 
     violation has been committed.
       ``(2) The Attorney General may authorize exercise of the 
     powers under this subsection only upon an initial 
     determination that--
       ``(A) the affected Office of Inspector General is 
     significantly hampered in the performance of responsibilities 
     established by this Act as a result of the lack of such 
     powers;
       ``(B) available assistance from other law enforcement 
     agencies is insufficient to meet the need for such powers; 
     and
       ``(C) adequate internal safeguards and management 
     procedures exist to ensure proper exercise of such powers.
       ``(3) The Inspector General offices of the Department of 
     Commerce, Department of Education, Department of Energy, 
     Department of Health and Human Services, Department of 
     Homeland Security, Department of Housing and Urban 
     Development, Department of the Interior, Department of 
     Justice, Department of Labor, Department of State, Department 
     of Transportation, Department of the Treasury, Department of 
     Veterans Affairs, Agency for International Development, 
     Environmental Protection Agency, Federal Deposit Insurance 
     Corporation, Federal Emergency Management Agency, General 
     Services Administration, National Aeronautics and Space 
     Administration, Nuclear

[[Page S9284]]

     Regulatory Commission, Office of Personnel Management, 
     Railroad Retirement Board, Small Business Administration, 
     Social Security Administration, and the Tennessee Valley 
     Authority are exempt from the requirement of paragraph (2) of 
     an initial determination of eligibility by the Attorney 
     General.
       ``(4) The Attorney General shall promulgate, and revise as 
     appropriate, guidelines which shall govern the exercise of 
     the law enforcement powers established under paragraph (1).
       ``(5) Powers authorized for an Office of Inspector General 
     under paragraph (1) shall be rescinded or suspended upon a 
     determination by the Attorney General that any of the 
     requirements under paragraph (2) is no longer satisfied or 
     that the exercise of authorized powers by that Office of 
     Inspector General has not complied with the guidelines 
     promulgated by the Attorney General under paragraph (4).
       ``(6) A determination by the Attorney General under 
     paragraph (2) or (5) shall not be reviewable in or by any 
     court.
       ``(7) To ensure the proper exercise of the law enforcement 
     powers authorized by this subsection, the Offices of 
     Inspector General described under paragraph (3) shall, not 
     later than 180 days after the date of enactment of this 
     subsection, collectively enter into a memorandum of 
     understanding to establish an external review process for 
     ensuring that adequate internal safeguards and management 
     procedures continue to exist within each Office and within 
     any Office that later receives an authorization under 
     paragraph (2). The review process shall be established in 
     consultation with the Attorney General, who shall be provided 
     with a copy of the memorandum of understanding that 
     establishes the review process. Under the review process, the 
     exercise of the law enforcement powers by each Office of 
     Inspector General shall be reviewed periodically by another 
     Office of Inspector General or by a committee of Inspectors 
     General. The results of each review shall be communicated in 
     writing to the applicable Inspector General and to the 
     Attorney General.
       ``(8) No provision of this subsection shall limit the 
     exercise of law enforcement powers established under any 
     other statutory authority, including United States Marshals 
     Service special deputation.''.
       (b) Promulgation of Initial Guidelines.--
       (1) Definition.--In this subsection, the term ``memoranda 
     of understanding'' means the agreements between the 
     Department of Justice and the Inspector General offices 
     described under section 6(e)(3) of the Inspector General Act 
     of 1978 (5 U.S.C. App.) (as added by subsection (a) of this 
     section) that--
       (A) are in effect on the date of enactment of this Act; and
       (B) authorize such offices to exercise authority that is 
     the same or similar to the authority under section 6(e)(1) of 
     such Act.
       (2) In general.--Not later than 180 days after the date of 
     enactment of this Act, the Attorney General shall promulgate 
     guidelines under section 6(e)(4) of the Inspector General Act 
     of 1978 (5 U.S.C. App.) (as added by subsection (a) of this 
     section) applicable to the Inspector General offices 
     described under section 6(e)(3) of that Act.
       (3) Minimum requirements.--The guidelines promulgated under 
     this subsection shall include, at a minimum, the operational 
     and training requirements in the memoranda of understanding.
       (4) No lapse of authority.--The memoranda of understanding 
     in effect on the date of enactment of this Act shall remain 
     in effect until the guidelines promulgated under this 
     subsection take effect.
       (c) Effective Dates.--
       (1) In general.--Subsection (a) shall take effect 180 days 
     after the date of enactment of this Act.
       (2) Initial guidelines.--Subsection (b) shall take effect 
     on the date of enactment of this Act.

                Subtitle C--United States Secret Service

     SEC. 720. FUNCTIONS TRANSFERRED.

       In accordance with title VIII, there shall be transferred 
     to the Secretary the functions, personnel, assets, and 
     liabilities of the United States Secret Service, which shall 
     be maintained as a distinct entity within the Department, 
     including the functions of the Secretary of the Treasury 
     relating thereto.

                     Subtitle D--General Provisions

     SEC. 730. ESTABLISHMENT OF HUMAN RESOURCES MANAGEMENT SYSTEM.

       (a) Authority.--
       (1) Sense of congress.--It is the sense of Congress that--
       (A) it is extremely important that employees of the 
     Department be allowed to participate in a meaningful way in 
     the creation of any human resources management system 
     affecting them;
       (B) such employees have the most direct knowledge of the 
     demands of their jobs and have a direct interest in ensuring 
     that their human resources management system is conducive to 
     achieving optimal operational efficiencies;
       (C) the 21st century human resources management system 
     envisioned for the Department should be one that benefits 
     from the input of its employees; and
       (D) this collaborative effort will help secure our 
     homeland.
       (2) In general.--Subpart I of part III of title 5, United 
     States Code, is amended by adding at the end the following:

             ``CHAPTER 97--DEPARTMENT OF HOMELAND SECURITY

``Sec.
``9701. Establishment of human resources management system.

     ``Sec. 9701. Establishment of human resources management 
       system

       ``(a) In General.--Notwithstanding any other provision of 
     this part, the Secretary may, in regulations prescribed 
     jointly with the Director of the Office of Personnel 
     Management, establish, and from time to time adjust, a human 
     resources management system for some or all of the 
     organizational units of the Department.
       ``(b) System Requirements.--Any system established under 
     subsection (a) shall--
       ``(1) be flexible;
       ``(2) be contemporary;
       ``(3) not waive, modify, or otherwise affect--
       ``(A) the public employment principles of merit and fitness 
     set forth in section 2301, including the principles of hiring 
     based on merit, fair treatment without regard to political 
     affiliation or other nonmerit considerations, equal pay for 
     equal work, and protection of employees against reprisal for 
     whistleblowing;
       ``(B) any provision of section 2302, relating to prohibited 
     personnel practices;
       ``(C)(i) any provision of law referred to in section 
     2302(b)(1); or
       ``(ii) any provision of law implementing any provision of 
     law referred to in section 2302(b)(1) by--
       ``(I) providing for equal employment opportunity through 
     affirmative action; or
       ``(II) providing any right or remedy available to any 
     employee or applicant for employment in the civil service;
       ``(D) any other provision of this part (as described in 
     subsection (c)); or
       ``(E) any rule or regulation prescribed under any provision 
     of law referred to in any of the preceding subparagraphs of 
     this paragraph;
       ``(4) ensure that employees may organize, bargain 
     collectively, and participate through labor organizations of 
     their own choosing in decisions which affect them, subject to 
     any exclusion from coverage or limitation on negotiability 
     established by law; and
       ``(5) permit the use of a category rating system for 
     evaluating applicants for positions in the competitive 
     service.
       ``(c) Other Nonwaivable Provisions.--The other provisions 
     of this part as referred to in subsection (b)(3)(D), are (to 
     the extent not otherwise specified in subparagraph (A), (B), 
     (C), or (D) of subsection (b)(3))--
       ``(1) subparts A, B, E, G, and H of this part; and
       ``(2) chapters 41, 45, 47, 55, 57, 59, 72, 73, and 79, and 
     this chapter.
       ``(d) Limitations Relating to Pay.--Nothing in this section 
     shall constitute authority--
       ``(1) to modify the pay of any employee who serves in--
       ``(A) an Executive Schedule position under subchapter II of 
     chapter 53 of title 5, United States Code; or
       ``(B) a position for which the rate of basic pay is fixed 
     in statute by reference to a section or level under 
     subchapter II of chapter 53 of such title 5;
       ``(2) to fix pay for any employee or position at an annual 
     rate greater than the maximum amount of cash compensation 
     allowable under section 5307 of such title 5 in a year; or
       ``(3) to exempt any employee from the application of such 
     section 5307.
       ``(e) Provisions To Ensure Collaboration With Employee 
     Representatives.--
       ``(1) In general.--In order to ensure that the authority of 
     this section is exercised in collaboration with, and in a 
     manner that ensures the direct participation of employee 
     representatives in the planning development, and 
     implementation of any human resources management system or 
     adjustments under this section, the Secretary and the 
     Director of the Office of Personnel Management shall provide 
     for the following:
       ``(A) Notice of proposal.-- The Secretary and the Director 
     shall, with respect to any proposed system or adjustment--
       ``(i) provide to each employee representative representing 
     any employees who might be affected, a written description of 
     the proposed system or adjustment (including the reasons why 
     it is considered necessary);
       ``(ii) give each representative at least 60 days (unless 
     extraordinary circumstances require earlier action) to review 
     and make recommendations with respect to the proposal; and
       ``(iii) give any recommendations received from any such 
     representatives under clause (ii) full and fair consideration 
     in deciding whether or how to proceed with the proposal.
       ``(B) Preimplementation requirements.--If the Secretary and 
     the Director decide to implement a proposal described in 
     subparagraph (A), they shall before implementation--
       ``(i) give each representative details of the decision to 
     implement the proposal, together with the information upon 
     which the decision is based;
       ``(ii) give each representative an opportunity to make 
     recommendations with respect to the proposal; and
       ``(iii) give such recommendation full and fair 
     consideration, including the providing of reasons to an 
     employee representative if any of its recommendations are 
     rejected.
       ``(C) Continuing collaboration.--If a proposal described in 
     subparagraph (A) is implemented, the Secretary and the 
     Director shall--

[[Page S9285]]

       ``(i) develop a method for each employee representative to 
     participate in any further planning or development which 
     might become necessary; and
       ``(ii) give each employee representative adequate access to 
     information to make that participation productive.
       ``(2) Procedures.--Any procedures necessary to carry out 
     this subsection shall be established by the Secretary and the 
     Director jointly. Such procedures shall include measures to 
     ensure--
       ``(A) in the case of employees within a unit with respect 
     to which a labor organization is accorded exclusive 
     recognition, representation by individuals designated or from 
     among individuals nominated by such organization;
       ``(B) in the case of any employees who are not within such 
     a unit, representation by any appropriate organization which 
     represents a substantial percentage of those employees or, if 
     none, in such other manner as may be appropriate, consistent 
     with the purposes of the subsection; and
       ``(C) the selection of representatives in a manner 
     consistent with the relative number of employees represented 
     by the organizations or other representatives involved.
       ``(f) Provisions Relating to Appellate Procedures.--
       (1) Sense of congress.--It is the sense of Congress that--
       ``(A) employees of the Department are entitled to fair 
     treatment in any appeals that they bring in decisions 
     relating to their employment; and
       ``(B) in prescribing regulations for any such appeals 
     procedures, the Secretary and the Director of the Office of 
     Personnel Management--
       ``(i) should ensure that employees of the Department are 
     afforded the protections of due process; and
       ``(ii) toward that end, should be required to consult with 
     the Merit Systems Protection Board before issuing any such 
     regulations.
       ``(2) Requirements.--Any regulations under this section 
     which relate to any matters within the purview of chapter 
     77--
       ``(A) shall be issued only after consultation with the 
     Merit Systems Protection Board;
       ``(B) shall ensure the availability of procedures which 
     shall--
       ``(i) be consistent with requirements of due process; and
       ``(ii) provide, to the maximum extent practicable, for the 
     expeditious handling of any matters involving the Department; 
     and
       ``(C) shall modify procedures under chapter 77 only insofar 
     as such modifications are designed to further the fair, 
     efficient, and expeditious resolution of matters involving 
     the employees of the Department.
       ``(g) Sunset Provision.--Effective 5 years after the 
     conclusion of the transition period defined under section 801 
     of the Homeland Security Act of 2002, all authority to issue 
     regulations under this section (including regulations which 
     would modify, supersede, or terminate any regulations 
     previously issued under this section) shall cease to be 
     available.''.
       (3) Clerical amendment.--The table of chapters for part III 
     of title 5, United States Code, is amended by adding at the 
     end of the following:

``97. Department of Homeland Security.......................9701''.....

       (b) Effect on Personnel.--
       (1) Nonseparation or nonreduction in grade or compensation 
     of full-time personnel and part-time personnel holding 
     permanent positions.--Except as otherwise provided in this 
     Act, the transfer pursuant to this act of full-time personnel 
     (except special Government employees) and part-time personnel 
     holding permanent positions shall not cause any such employee 
     to be separated or reduced in grade or compensation for one 
     year after the date of transfer to the Department.
       (2) Positions compensated in accordance with executive 
     schedule.--Any person who, on the day preceding such person's 
     date of transfer pursuant to this Act, held a position 
     compensated in accordance with the Executive Schedule 
     prescribed in chapter 53 of title 5, United States Code, and 
     who, without a break in service, is appointed in the 
     Department to a position having duties comparable to the 
     duties performed immediately preceding such appointment shall 
     continue to be compensated in such new position at not less 
     than the rate provided for such position, for the duration of 
     the service of such person in such new position.
       (3) Coordination rule.--Any exercise of authority under 
     chapter 97 of title 5, United States Code (as amended by 
     subsection (a)), including under any system established under 
     such chapter, shall be in conformance with the requirements 
     of this subsection.

     SEC. 731. LABOR-MANAGEMENT RELATIONS.

       (a) Limitation on Exclusionary Authority.--
       (1) In general.--No agency or subdivision of an agency 
     which is transferred to the Department pursuant to this Act 
     shall be excluded from the coverage of chapter 71 of title 5, 
     United States Code, as a result of any order issued under 
     section 7103(b)(1) of such title 5 after June 18, 2002, 
     unless--
       (A) the mission and responsibilities of the agency (or 
     subdivision) materially change; and
       (B) a majority of the employees within such agency (or 
     subdivision) have as their primary duty intelligence, 
     counterintelligence, or investigative work directly related 
     to terrorism investigation.
       (2) Exclusions allowable.--Nothing in paragraph (1) shall 
     affect the effectiveness of any order to the extent that such 
     order excludes any portion of an agency or subdivision of an 
     agency as to which--
       (A) recognition as an appropriate unit has never been 
     conferred for purposes of chapter 71 of such title 5; or
       (B) any such recognition has been revoked or otherwise 
     terminated as a result of a determination under subsection 
     (b)(1).
       (b) Provisions Relating to Bargaining Units.--
       (1) Limitation relating to appropriate units.--Each unit 
     which is recognized as an appropriate unit for purposes of 
     chapter 71 of title 5, United States Code, as of the day 
     before the effective date of this Act (and any subdivision of 
     any such unit) shall, if such unit (or subdivision) is 
     transferred to the Department pursuant to this Act, continue 
     to be so recognized for such purposes, unless--
       (A) the mission and responsibilities of such unit (or 
     subdivision) materially change; and
       (B) a majority of the employees within such unit (or 
     subdivision) have as their primary duty intelligence, 
     counterintelligence, or investigative work directly related 
     to terrorism investigation.
       (2) Limitation relating to positions or employees.--No 
     position or employee within a unit (or subdivision of a unit) 
     as to which continued recognition is given in accordance with 
     paragraph (1) shall be excluded from such unit (or 
     subdivision), for purposes of chapter 71 of such title 5, 
     unless the primary job duty of such position or employee--
       (A) materially changes; and
       (B) consists of intelligence, counterintelligence, or 
     investigative work directly related to terrorism 
     investigation.
     In the case of any positions within a unit (or subdivision) 
     which are first established on or after the effective date of 
     this Act and any employee first appointed on or after such 
     date, the preceding sentence shall be applied disregarding 
     subparagraph (A).
       (c) Homeland Security.--Subsection (a), (b), and (d) of 
     this section shall not apply in circumstances where the 
     President determines in writing that such application would 
     have a substantial adverse impact on the Department's ability 
     to protect homeland security. Whenever the President makes a 
     determination specified under this subsection, the President 
     shall notify the Senate and the House of Representatives of 
     the reasons for such determination not less than 10 days 
     prior to its issuance.
       (d) Coordination Rule.--No other provision of this Act or 
     of any amendment made by this Act may be construed or applied 
     in a manner so as to limit, supersede, or otherwise affect 
     the provisions of this section, except to the extent that it 
     does so by specific reference to this section.

     SEC. 732. ADVISORY COMMITTEES.

       The Secretary may establish, appoint members of, and use 
     the services of, advisory committees, as the Secretary may 
     deem necessary. An advisory committee established under this 
     section may be exempted by the Secretary from Public Law 92-
     463, but the Secretary shall publish notice in the Federal 
     Register announcing the establishment of such a committee and 
     identifying its purpose and membership. Notwithstanding the 
     preceding sentence, members of an advisory committee that is 
     exempted by the Secretary under the preceding sentence who 
     are special Government employees (as that term is defined in 
     section 202 of title 18, United States Code) shall be 
     eligible for certifications under subsection (b)(3) of 
     section 208 of title 18, United States Code, for official 
     actions taken as a member of such advisory committee.

     SEC. 733. ACQUISITIONS.

       (a) Research and Development Projects.--
       (1) In general.--When the Secretary carries out basic, 
     applied, and advanced research and development projects, he 
     may exercise the same authority (subject to the same 
     limitations and conditions) with respect to such research and 
     projects as the Secretary of Defense may exercise under 
     section 2371 of title 10, United States Code (except for 
     subsections (b) and (f)), after making a determination that 
     the use of a contract, grant, or cooperative agreement for 
     such project is not feasible or appropriate. The annual 
     report required under subsection (h) of such section, as 
     applied to the Secretary by this paragraph, shall be 
     submitted to the President of the Senate and the Speaker of 
     the House of Representatives.
       (2) Prototype projects.--The Secretary may, under the 
     authority of paragraph (1), carry out prototype projects in 
     accordance with the requirements and conditions provided for 
     carrying out prototype projects under section 845 of the 
     National Defense Authorization Act for Fiscal Year 1994 
     (Public Law 103-160). In applying the authorities of that 
     section 845, subsection (c) of that section shall apply with 
     respect to prototype projects under this paragraph, and the 
     Secretary shall perform the functions of the Secretary of 
     Defense under subsection (d) thereof.
       (b) Procurement of Temporary and Intermittent Services.--
     The Secretary may--
       (1) procure the temporary or intermittent services of 
     experts or consultants (or organizations thereof) in 
     accordance with section 3109(b) of title 5, United States 
     Code; and
       (2) whenever necessary due to an urgent homeland security 
     need, procure temporary

[[Page S9286]]

     (not to exceed 1 year) or intermittent personal services, 
     including the services of experts or consultants (or 
     organizations thereof), without regard to the pay limitations 
     of such section 3109.

     SEC. 734. REORGANIZATION AUTHORITY.

       (a) Reorganization Plan.--
       (1) In general.--Whenever the President determines that 
     changes in the organization of the Department are necessary 
     to carry out any policy set forth in this Act, the President 
     shall prepare a reorganization plan specifying the 
     reorganizations that the President determines are necessary. 
     Any such plan may provide for--
       (A) the transfer of the whole or a part of an agency, or of 
     the whole or a part of the functions thereof, to the 
     jurisdiction and control of the Department;
       (B) the transfer of the whole or a part of an agency, or of 
     the whole or a part of the functions thereof, from the 
     Department;
       (C) the abolition of all or a part of an agency within the 
     Department;
       (D) the creation of a new agency or a new part of an agency 
     within the Department; or
       (E) the consolidation or coordination of the whole or a 
     part of an agency within the Department, or of the whole or a 
     part of the functions thereof, with the whole or a part of 
     another agency within the Department.
       (2) Transmittal.--
       (A) In general.--The President shall transmit the 
     reorganization plan to Congress together with the declaration 
     that, with respect to each organization included in the plan, 
     the President has found that the reorganization is necessary 
     to carry out any policy set forth in this Act.
       (B) Timing.--The reorganization plan shall be delivered to 
     both Houses on the same day and to each House while it is in 
     session, except that no more than 2 plans may be pending 
     before Congress at 1 time.
       (3) Content.--
       (A) In general.--The transmittal message of the 
     reorganization plan shall--
       (i) specify with respect to each abolition of a function 
     included in the plan the statutory authority for the exercise 
     of the function;
       (ii) include an estimate of any reduction or increase in 
     expenditures (itemized so far as practicable);
       (iii) include detailed information addressing the impacts 
     of the reorganization on the employees of any agency affected 
     by the plan, and what steps will be taken to mitigate any 
     impacts of the plan on the employees of the agency;
       (iv) describe any improvements in management, delivery of 
     Federal services, execution of the laws, and increases in 
     efficiency of Government operations, which it is expected 
     will be realized as a result of the reorganizations included 
     in the plan; and
       (v) in the case of a transfer to or from the Department, 
     address the impact of the proposed transfer on the ability of 
     the affected agency to carry out its other functions and to 
     accomplish its missions.
       (B) Implementation.--In addition, the transmittal message 
     shall include an implementation section which shall--
       (i) describe in detail--

       (I) the actions necessary or planned to complete the 
     reorganization; and
       (II) the anticipated nature and substance of any orders, 
     directives, and other administrative and operations actions 
     which are expected to be required for completing or 
     implementing the reorganization; and

       (ii) contain a projected timetable for completion of the 
     implementation process.
       (C) Background information.--The President shall also 
     submit such further background or other information as 
     Congress may require for its consideration of the plan.
       (4) Amendments to plan.--Any time during the period of 60 
     calendar days of continuous session of Congress after the 
     date on which the plan is transmitted to it, but before any 
     resolution has been ordered reported in either House, the 
     President, or the designee of the President, may make 
     amendments or modifications to the plan, which modifications 
     or revisions shall thereafter be treated as a part of the 
     reorganization plan originally transmitted and shall not 
     affect in any way the time limits otherwise provided for in 
     this section. The President, or the designee of the 
     President, may withdraw the plan any time prior to the 
     conclusion of 90 calendar days of continuous session of 
     Congress following the date on which the plan is submitted to 
     Congress.
       (b) Additional Contents of Reorganization Plan.--A 
     reorganization plan--
       (1) may change the name of an agency affected by a 
     reorganization and the title of its head, and shall designate 
     the name of an agency resulting from a reorganization and the 
     title of its head;
       (2) may provide for the appointment and pay of the head and 
     1 or more officers of any agency (including an agency 
     resulting from a consolidation or other type of 
     reorganization) if the message transmitting the plan 
     declares, that by reason of a reorganization made by the plan 
     the provisions are necessary;
       (3) shall provide for the transfer or other disposition of 
     the records, property, and personnel affected by a 
     reorganization;
       (4) shall provide for the transfer of such unexpended 
     balances of appropriations, and of other funds, available for 
     use in connection with a function or agency affected by a 
     reorganization, as necessary by reason of the reorganization 
     for use in connection with the functions affected by the 
     reorganization, or for the use of the agency which shall have 
     the functions after the reorganization plan is effective; and
       (5) shall provide for terminating the affairs of an agency 
     abolished.
     A reorganization plan containing provisions authorized by 
     paragraph (2) may provide that the head of an agency be an 
     individual or a commission or board with more than 1 member. 
     In the case of an appointment of the head of such an agency, 
     the term of office may not be fixed at more than 4 years, the 
     pay may not be at a rate in excess of that found to be 
     applicable to comparable officers in the executive branch, by 
     and with the advice and consent of the Senate. Any 
     reorganization plan containing provisions required by 
     paragraph (4) shall provide for the transfer of unexpended 
     balances only if such balances are used for the purposes for 
     which the appropriation was originally made.
       (c) Effective Date and Publication of Reorganization 
     Plans.--
       (1) Effective date.--Except as provided under paragraph 
     (3), a reorganization plan shall be effective upon approval 
     by the President of a resolution (as defined in subsection 
     (f)) with respect to such plan, only if such resolution is 
     passed by the House of Representatives and the Senate, within 
     the first period of 90 calendar days of continuous session of 
     Congress after the date on which the plan is transmitted to 
     Congress.
       (2) Session of congress.--For the purpose of this chapter--
       (A) continuity of session is broken only by an adjournment 
     of Congress sine die; and
       (B) the days on which either House is not in session 
     because of an adjournment of more than 3 days to a day 
     certain are excluded in the computation of any period of time 
     in which Congress is in continuous session.
       (3) Later effective date.--Under provisions contained in a 
     reorganization plan, any provision thereof may be effective 
     at a time later than the date on which the plan otherwise is 
     effective.
       (4) Publication of plan.--A reorganization plan which is 
     effective shall be printed--
       (A) in the Statutes at Large in the same volume as the 
     public laws; and
       (B) in the Federal Register.
       (d) Effect On Other Laws; Pending Legal Proceedings.--
       (1) Effect on laws.--
       (A) Definition.--In this paragraph, the term ``regulation 
     or other action'' means a regulation, rule, order, policy, 
     determination, directive, authorization, permit, privilege, 
     requirement, designation, or other action.
       (B) Effect.--A statute enacted, and a regulation or other 
     action made, prescribed, issued, granted, or performed in 
     respect of or by an agency or function affected by a 
     reorganization under this section, before the effective date 
     of the reorganization, has, except to the extent rescinded, 
     modified, superseded, or made inapplicable by or under 
     authority of law or by the abolition of a function, the same 
     effect as if the reorganization had not been made. However, 
     if the statute, regulation, or other action has vested the 
     functions in the agency from which it is removed under the 
     reorganization plan, the function, insofar as it is to be 
     exercised after the plan becomes effective, shall be deemed 
     as vested in the agency under which the function is placed in 
     the plan.
       (2) Pending legal proceedings.--A suit, action, or other 
     proceeding lawfully commenced by or against the head of an 
     agency or other officer of the United States, in the 
     officer's official capacity or in relation to the discharge 
     of the officer's official duties, does not abate by reason of 
     the taking effect of a reorganization plan under this 
     section. On motion or supplemental petition filed at any time 
     within 12 months after the reorganization plan takes effect, 
     showing a necessity for a survival of the suit, action, or 
     other proceeding to obtain a settlement of the questions 
     involved, the court may allow the suit, action, or other 
     proceeding to be maintained by or against the successor of 
     the head or officer under the reorganization effected by the 
     plan or, if there is no successor, against such agency or 
     officer as the President designates.
       (e) Rules of Senate and House of Representatives On 
     Reorganization Plans.--Subsections (f) through (i) are 
     enacted by Congress--
       (1) as an exercise of the rulemaking power of the Senate 
     and the House of Representatives, respectively, and as such 
     they are deemed a part of the rules of each House, 
     respectively, but applicable only with respect to the 
     procedure to be followed in that House in the case of 
     resolutions with respect to any reorganization plans 
     transmitted to Congress (in accordance with subsection (a)(3) 
     of this section); and they supersede other rules only to the 
     extent that they are inconsistent therewith; and
       (2) with the full recognition of the constitutional right 
     of either House to change the rules (so far as relating to 
     the procedure of that House) at any time, in the same manner 
     and to the same extent as in the case of any other rule of 
     that House.
       (f) Terms of Resolution.--For the purposes of subsections 
     (e) through (i), ``resolution'' means only a joint resolution 
     of Congress, the matter after the resolving clause of which 
     is as follows: ``That Congress approves the reorganization 
     plan transmitted to Congress by the President on 
     ____________, 20____.'', and includes such modifications and 
     revisions as are submitted by the President under subsection 
     (a)(4). The blank spaces therein are to be filled 
     appropriately. The

[[Page S9287]]

     term does not include a resolution which specifies more than 
     1 reorganization plan.
       (g) Introduction and Reference of Resolution.--
       (1) Introduction.--No later than the first day of session 
     following the day on which a reorganization plan is 
     transmitted to the House of Representatives and the Senate 
     under subsection (a), a resolution, as defined in subsection 
     (f), shall be--
       (A) introduced (by request) in the House by the chairman of 
     the Government Reform Committee of the House, or by a Member 
     or Members of the House designated by such chairman; and
       (B) introduced (by request) in the Senate by the chairman 
     of the Governmental Affairs Committee of the Senate, or by a 
     Member or Members of the Senate designated by such chairman.
       (2) Referral.--A resolution with respect to a 
     reorganization plan shall be referred to the Committee on 
     Governmental Affairs of the Senate and the Committee on 
     Government Reform of the House (and all resolutions with 
     respect to the same plan shall be referred to the same 
     committee) by the President of the Senate or the Speaker of 
     the House of Representatives, as the case may be. The 
     committee shall make its recommendations to the House of 
     Representatives or the Senate, respectively, within 75 
     calendar days of continuous session of Congress following the 
     date of such resolution's introduction.
       (h) Discharge of Committee Considering Resolution.--If the 
     committee to which is referred a resolution introduced 
     pursuant to subsection (g)(1) has not reported such a 
     resolution or identical resolution at the end of 75 calendar 
     days of continuous session of Congress after its 
     introduction, such committee shall be deemed to be discharged 
     from further consideration of such resolution and such 
     resolution shall be placed on the appropriate calendar of the 
     House involved.
       (i) Procedure After Report or Discharge of Committees; 
     Debate; Vote On Final Passage.--
       (1) Procedure.--When the committee has reported, or has 
     been deemed to be discharged (under subsection (h)) from 
     further consideration of, a resolution with respect to a 
     reorganization plan, it is at any time thereafter in order 
     (even though a previous motion to the same effect has been 
     disagreed to) for any Member of the respective House to move 
     to proceed to the consideration of the resolution. The motion 
     is highly privileged and is not debatable. The motion shall 
     not be subject to amendment, or to any motion to postpone, or 
     a motion to proceed to the consideration of other business. A 
     motion to reconsider the vote by which the motion is agreed 
     to or disagreed to shall not be in order. If a motion to 
     proceed to the consideration of the resolution is agreed to, 
     the resolution shall remain the unfinished business of the 
     respective House until disposed of.
       (2) Debate.--Debate on the resolution, and on all debatable 
     motions and appeals in connection therewith, shall be limited 
     to not more than 10 hours, which shall be divided equally 
     between individuals favoring and individuals opposing the 
     resolution. A motion further to limit debate is in order and 
     not debatable. An amendment to, or a motion to recommit the 
     resolution is not in order. A motion to reconsider the vote 
     by which the resolution is passed or rejected shall not be in 
     order.
       (3) Vote on final passage.--Immediately following the 
     conclusion of the debate on the resolution with respect to a 
     reorganization plan, and a single quorum call at the 
     conclusion of the debate if requested in accordance with the 
     rules of the appropriate House, the vote on final passage of 
     the resolution shall occur.
       (4) Appeals.--Appeals from the decisions of the Chair 
     relating to the application of the rules of the Senate or the 
     House of Representatives, as the case may be, to the 
     procedure relating to a resolution with respect to a 
     reorganization plan shall be decided without debate.
       (5) Prior passage.--If, prior to the passage by 1 House of 
     a resolution of that House, that House receives a resolution 
     with respect to the same reorganization plan from the other 
     House, then--
       (A) the procedure in that House shall be the same as if no 
     resolution had been received from the other House; but
       (B) the vote on final passage shall be on the resolution of 
     the other House.

     SEC. 735. MISCELLANEOUS PROVISIONS.

       (a) Seal.--The Department shall have a seal, whose design 
     is subject to the approval of the President.
       (b) Participation of Members of the Armed Forces.--With 
     respect to the Department, the Secretary shall have the same 
     authorities that the Secretary of Transportation has with 
     respect to the Department of Transportation under section 324 
     of title 49, United States Code.
       (c) Redelegation of Functions.--Unless otherwise provided 
     in the delegation or by law, any function delegated under 
     this Act may be redelegated to any subordinate.

     SEC. 736. AUTHORIZATION OF APPROPRIATIONS.

       There are authorized to be appropriated such sums as may be 
     necessary to carry out the provisions of this Act.

     SEC. 737. REGULATORY AUTHORITY.

       Except as specifically provided in this Act, this Act vests 
     in the Secretary or any other Federal official, and transfers 
     to the Secretary or another Federal official only such 
     regulatory authority as exists on the date of enactment of 
     this Act within any agency, program, or function transferred 
     to the Department pursuant to this Act, or that on such date 
     of enactment is exercised by another official of the 
     executive branch with respect to such agency, program, or 
     function. Any such transferred authority may not be exercised 
     by an official from whom it is transferred upon transfer of 
     such agency, program, or function to the Secretary or another 
     Federal official pursuant to this Act. This Act does not 
     alter or diminish the regulatory authority of any other 
     executive agency, except to the extent that this Act 
     transfers such authority from the agency.

     SEC. 738. USE OF APPROPRIATED FUNDS.

       (a) Applicability of This Section.--Notwithstanding any 
     other provision of this Act or any other law, this section 
     shall apply to the use of any funds, disposal of property, 
     and acceptance, use, and disposal of gifts, or donations of 
     services or property, of, for, or by the Department, 
     including any agencies, entities, or other organizations 
     transferred to the Department under this Act.
       (b) Authorization of Appropriations To Create Department.--
     There is authorized to be appropriated $160,000,000 for the 
     Office of Homeland Security in the Executive Office of the 
     President to be transferred without delay to the Department 
     upon its creation by enactment of this Act, notwithstanding 
     subsection (c)(1)(C) such funds shall be available only for 
     the payment of necessary salaries and expenses associated 
     with the initiation of operations of the Department.
       (c) Use of Transferred Funds.--
       (1) In general.--Except as may be provided in this 
     subsection or in an appropriations Act in accordance with 
     subsection (e), balances of appropriations and any other 
     funds or assets transferred under this Act--
       (A) shall be available only for the purposes for which they 
     were originally available;
       (B) shall remain subject to the same conditions and 
     limitations provided by the law originally appropriating or 
     otherwise making available the amount, including limitations 
     and notification requirements related to the reprogramming of 
     appropriated funds; and
       (C) shall not be used to fund any new position established 
     under this Act.
       (2) Transfer of funds.--
       (A) In general.--After the creation of the Department and 
     the swearing in of its Secretary, and upon determination by 
     the Secretary that such action is necessary in the national 
     interest, the Secretary is authorized to transfer, with the 
     approval of the Office of Management and Budget, not to 
     exceed $140,000,000 of unobligated funds from organizations 
     and entities transferred to the new Department by this Act.
       (B) Limitation.--Notwithstanding paragraph (1)(C), funds 
     authorized to be transferred by subparagraph (A) shall be 
     available only for payment of necessary costs, including 
     funding of new positions, for the initiation of operations of 
     the Department and may not be transferred unless the 
     Committees on Appropriations are notified at least 15 days in 
     advance of any proposed transfer and have approved such 
     transfer in advance.
       (C) Notification.--The notification required in 
     subparagraph (B) shall include a detailed justification of 
     the purposes for which the funds are to be used and a 
     detailed statement of the impact on the program or 
     organization that is the source of the funds, and shall be 
     submitted in accordance with reprogramming procedures to be 
     established by the Committees on Appropriations.
       (D) Use for other items.--The authority to transfer funds 
     established in this section may not be used unless for higher 
     priority items, based on demonstrated homeland security 
     requirements, than those for which funds originally were 
     appropriated and in no case where the item for which funds 
     are requested has been denied by Congress.
       (d) Notification Regarding Transfers.--The President shall 
     notify Congress not less than 15 days before any transfer of 
     appropriations balances, other funds, or assets under this 
     Act.
       (e) Additional Uses of Funds During Transition.--Subject to 
     subsections (c) and (d), amounts transferred to, or otherwise 
     made available to, the Department may be used during the 
     transition period, as defined in section 801(2), for purposes 
     in addition to those for which such amounts were originally 
     available (including by transfer among accounts of the 
     Department), but only to the extent such transfer or use is 
     specifically permitted in advance in an appropriations Act 
     and only under the conditions and for the purposes specified 
     in such appropriations Act.
       (f) Disposal of Property.--
       (1) Strict compliance.--If specifically authorized to 
     dispose of real property in this or any other Act, the 
     Secretary shall exercise this authority in strict compliance 
     with section 204 of the Federal Property and Administrative 
     Services Act of 1949 (40 U.S.C. 485).
       (2) Deposit of proceeds.--The Secretary shall deposit the 
     proceeds of any exercise of property disposal authority into 
     the miscellaneous receipts of the Treasury in accordance with 
     section 3302(b) of title 31, United States Code.
       (g) Gifts.--Gifts or donations of services or property of 
     or for the Department may not be accepted, used, or disposed 
     of unless specifically permitted in advance in an 
     appropriations Act and only under the conditions and for the 
     purposes specified in such appropriations Act.

[[Page S9288]]

       (h) Budget Request.--Under section 1105 of title 31, United 
     States Code, the President shall submit to Congress a 
     detailed budget request for the Department for fiscal year 
     2004, and for each subsequent fiscal year.

     SEC. 739. FUTURE YEAR HOMELAND SECURITY PROGRAM.

       (a) In General.--Each budget request submitted to Congress 
     for the Department under section 1105 of title 31, United 
     States Code, shall, at or about the same time, be accompanied 
     by a Future Years Homeland Security Program.
       (b) Contents.--The Future Years Homeland Security Program 
     under subsection (a) shall be structured, and include the 
     same type of information and level of detail, as the Future 
     Years Defense Program submitted to Congress by the Department 
     of Defense under section 221 of title 10, United States Code.
       (c) Effective Date.--This section shall take effect with 
     respect to the preparation and submission of the fiscal year 
     2005 budget request for the Department and for any subsequent 
     fiscal year, except that the first Future Years Homeland 
     Security Program shall be submitted not later than 90 days 
     after the Department's fiscal year 2005 budget request is 
     submitted to Congress.

     SEC. 739A. BIOTERRORISM PREPAREDNESS AND RESPONSE DIVISION.

       Section 319D of the Public Health Service Act (42 U.S.C. 
     2472-4) is amended--
       (1) by redesignating subsection (c) as subsection (d); and
       (2) by inserting after subsection (b), the following:
       ``(c) Bioterrorism Preparedness and Response Division.--
       ``(1) Establishment.--There is established within the 
     Office of the Director of the Centers for Disease Control and 
     Prevention a Bioterrorism Preparedness and Response Division 
     (in this subsection referred to as the `Division').
       ``(2) Mission.--The Division shall have the following 
     primary missions:
       ``(A) To lead and coordinate the activities and 
     responsibilities of the Centers for Disease Control and 
     Prevention with respect to countering bioterrorism.
       ``(B) To coordinate and facilitate the interaction of 
     Centers for Disease Control and Prevention personnel with 
     personnel from the Department of Homeland Security and, in so 
     doing, serve as a major contact point for 2-way 
     communications between the jurisdictions of homeland security 
     and public health.
       ``(C) To train and employ a cadre of public health 
     personnel who are dedicated full-time to the countering of 
     bioterrorism.
       ``(3) Responsibilities.--In carrying out the mission under 
     paragraph (2), the Division shall assume the responsibilities 
     of and budget authority for the Centers for Disease Control 
     and Prevention with respect to the following programs:
       ``(A) The Bioterrorism Preparedness and Response Program.
       ``(B) The Strategic National Stockpile.
       ``(C) Such other programs and responsibilities as may be 
     assigned to the Division by the Director of the Centers for 
     Disease Control and Prevention.
       ``(4) Director.--There shall be in the Division a Director, 
     who shall be appointed by the Director of the Centers for 
     Disease Control and Prevention, in consultation with the 
     Secretary of Health and Human Services and the Secretary of 
     Homeland Security.
       ``(5) Staffing.--Under agreements reached between the 
     Director of the Centers for Disease Control and Prevention 
     and the Secretary of Homeland Security--
       ``(A) the Division may be staffed, in part, by personnel 
     assigned from the Department of Homeland Security by the 
     Secretary of Homeland Security; and
       ``(B) the Director of the Centers for Disease Control and 
     Prevention may assign some personnel from the Division to the 
     Department of Homeland Security.''.

     SEC. 739B. COORDINATION WITH THE DEPARTMENT OF HEALTH AND 
                   HUMAN SERVICES UNDER THE PUBLIC HEALTH SERVICE 
                   ACT.

       (a) In General.--The annual Federal response plan developed 
     by the Secretary under sections 102(b)(14) and 134(b)(7) 
     shall be consistent with section 319 of the Public Health 
     Service Act (42 U.S.C. 247d).
       (b) Disclosures Among Relevant Agencies.--
       (1) In general.--Full disclosure among relevant agencies 
     shall be made in accordance with this subsection.
       (2) Public health emergency.--During the period in which 
     the Secretary of Health and Human Services has declared the 
     existence of a public health emergency under section 319(a) 
     of the Public Health Service Act (42 U.S.C. 247d(a)), the 
     Secretary of Health and Human Services shall keep relevant 
     agencies, including the Department of Homeland Security, the 
     Department of Justice, and the Federal Bureau of 
     Investigation, fully and currently informed.
       (3) Potential public health emergency.--In cases involving, 
     or potentially involving, a public health emergency, but in 
     which no determination of an emergency by the Secretary of 
     Health and Human Services under section 319(a) of the Public 
     Health Service Act (42 U.S.C. 247d(a)), has been made, all 
     relevant agencies, including the Department of Homeland 
     Security, the Department of Justice, and the Federal Bureau 
     of Investigation, shall keep the Secretary of Health and 
     Human Services and the Director of the Centers for Disease 
     Control and Prevention fully and currently informed.

Subtitle E--Risk Sharing and Indemnification for Contractors Supplying 
                 Anti-Terrorism Technology and Services

     SEC. 741. APPLICATION OF INDEMNIFICATION AUTHORITY.

       (a) In General.--The President may exercise the 
     discretionary authority to indemnify contractors and 
     subcontractors under Public Law 85-804 (50 U.S.C. 1431 et 
     seq.) for a procurement of an anti-terrorism technology or an 
     anti-terrorism service for the purpose of preventing, 
     detecting, identifying, otherwise deterring, or recovering 
     from acts of terrorism.
       (b) Exercise of Authority.--In exercising the authority 
     under subsection (a), the President may include, among other 
     things--
       (1) economic damages not fully covered by private liability 
     insurance within the scope of the losses or damages of the 
     indemnification coverage;
       (2) a requirement that an indemnification provision 
     included in a contract or subcontract be negotiated prior to 
     the commencement of the performance of the contract;
       (3) the coverage of information technology used to prevent, 
     detect, identify, otherwise deter, or recover from acts of 
     terrorism; and
       (4) the coverage of the United States Postal Service.

     SEC. 742. APPLICATION OF INDEMNIFICATION AUTHORITY TO STATE 
                   AND LOCAL GOVERNMENT CONTRACTORS.

       (a) In General.--Subject to the limitations of subsection 
     (b), the President may exercise the discretionary authority 
     to indemnify contractors and subcontractors under Public Law 
     85-804 (50 U.S.C. 1431 et seq.) for a procurement by a State 
     or unit of local government of an anti-terrorism technology 
     or an anti-terrorism service for the purpose of preventing, 
     detecting, identifying, otherwise deterring, or recovering 
     from acts of terrorism.
       (b) Exercise of Authority.--The authority of subsection (a) 
     may be exercised only--
       (1) for procurements of a State or unit of local government 
     that are made by the Secretary under contracts awarded by the 
     Secretary pursuant to the authorities of section 743;
       (2) with written approval from the Secretary, or any other 
     official designated by the President, for each procurement in 
     which indemnification is to be provided; and
       (3) with respect to--
       (A) amounts of losses or damages not fully covered by 
     private liability insurance and State or local government-
     provided indemnification; and
       (B) liabilities arising out of other than the contractor's 
     willful misconduct or lack of good faith.

     SEC. 743. PROCUREMENTS OF ANTI-TERRORISM TECHNOLOGIES AND 
                   ANTI-TERRORISM SERVICES BY STATE AND LOCAL 
                   GOVERNMENTS THROUGH FEDERAL CONTRACTS.

       (a) In General.--
       (1) Establishment of program.--The Secretary shall 
     establish a program under which States and units of local 
     government may procure through contracts entered into by the 
     Secretary anti-terrorism technology or an anti-terrorism 
     service for the purpose of preventing, detecting, 
     identifying, otherwise deterring, or recovering from acts of 
     terrorism.
       (2) Authorities.--For the sole purposes of this program, 
     the Secretary may, but shall not be required to, award 
     contracts using the same authorities provided to the 
     Administrator of General Services under section 309(b)(3) of 
     the Federal Property and Administrative Services Act, 41 
     U.S.C. 259(b)(3).
       (3) Offers not required to state and local governments.--A 
     contractor that sells anti-terrorism technology or anti-
     terrorism services to the Federal Government shall not be 
     required to offer such technology or services to a State or 
     unit of local government.
       (b) Responsibilities of the Secretary.--In carrying out the 
     program established by this section, the Secretary shall--
       (1) produce and maintain a catalog of anti-terrorism 
     technologies and anti-terrorism services suitable for 
     procurement by States and units of local government under 
     this program; and
       (2) establish procedures in accordance with subsection (c) 
     to address the procurement of anti-terrorism technologies and 
     anti-terrorism services by States and units of local 
     government under contracts awarded by the Secretary.
       (c) Required Procedures.--The procedures required by 
     subsection (b)(2) shall implement the following requirements 
     and authorities:
       (1) Submissions by states.--
       (A) In general.--Except as provided in subparagraph (B), 
     each State desiring to participate in a procurement of anti-
     terrorism technologies or anti-terrorism services through a 
     contract entered into by the Secretary shall submit to the 
     Secretary in such form and manner and at such times as the 
     Secretary prescribes, the following:
       (i) Request.--A request consisting of an enumeration of the 
     technologies or services, respectively, that are desired by 
     the State and units of local government within the State.
       (ii) Payment.--Advance payment for each requested 
     technology or service in an amount determined by the 
     Secretary based on estimated or actual costs of the 
     technology or service and administrative costs incurred by 
     the Secretary.

[[Page S9289]]

       (B) Award by Secretary.--The Secretary may award and 
     designate contracts under which States and units of local 
     government may procure anti-terrorism technologies and anti-
     terrorism services directly from the contract holders. No 
     indemnification may be provided under the authorities set 
     forth in section 742 for procurements that are made directly 
     between contractors and States or units of local government.
       (2) Permitted catalog technologies and services.--A State 
     may include in a request submitted under paragraph (1) only a 
     technology or service listed in the catalog produced under 
     subsection (b)(1).
       (3) Coordination of local requests within state.--The 
     Governor of a State (or the Mayor of the District of 
     Columbia) may establish such procedures as the Governor (or 
     the Mayor of the District of Columbia) considers appropriate 
     for administering and coordinating requests for anti-
     terrorism technologies or anti-terrorism services from units 
     of local government within the State.
       (4) Shipment and transportation costs.--A State requesting 
     anti-terrorism technologies or anti-terrorism services shall 
     be responsible for arranging and paying for any shipment or 
     transportation costs necessary to deliver the technologies or 
     services, respectively, to the State and localities within 
     the State.
       (d) Reimbursement of Actual Costs.--In the case of a 
     procurement made by or for a State or unit of local 
     government under the procedures established under this 
     section, the Secretary shall require the State or unit of 
     local government to reimburse the Department for the actual 
     costs it has incurred for such procurement.
       (e) Time for Implementation.--The catalog and procedures 
     required by subsection (b) of this section shall be completed 
     as soon as practicable and no later than 210 days after the 
     enactment of this Act.

     SEC. 744. CONGRESSIONAL NOTIFICATION.

       (a) In General.--Notwithstanding any other law, a Federal 
     agency shall, when exercising the discretionary authority of 
     Public Law 85-804, as amended by section 742, to indemnify 
     contractors and subcontractors, provide written notification 
     to the Committees identified in subsection (b) within 30 days 
     after a contract clause is executed to provide 
     indemnification.
       (b) Submission.--The notification required by subsection 
     (a) shall be submitted to--
       (1) the Appropriations Committees of the Senate and House;
       (2) the Armed Services Committees of the Senate and House;
       (3) the Senate Governmental Affairs Committee; and
       (4) the House Government Reform Committee.

     SEC. 745. DEFINITIONS.

       In this subtitle:
       (1) Anti-terrorism technology and service.--The terms 
     ``anti-terrorism technology'' and ``anti-terrorism service'' 
     mean any product, equipment, or device, including information 
     technology, and any service, system integration, or other 
     kind of service (including a support service), respectively, 
     that is related to technology and is designed, developed, 
     modified, or procured for the purpose of preventing, 
     detecting, identifying, otherwise deterring, or recovering 
     from acts of terrorism.
       (2) Act of terrorism.--The term ``act of terrorism'' means 
     a calculated attack or threat of attack against any person, 
     property, or infrastructure to inculcate fear, or to 
     intimidate or coerce a government, the civilian population, 
     or any segment thereof, in the pursuit of political, 
     religious, or ideological objectives.
       (3) Information technology.--The term ``information 
     technology'' has the meaning such term in section 11101(6) of 
     title 40, United States Code.
       (4) State.--The term ``State'' includes the District of 
     Columbia, the Commonwealth of Puerto Rico, the Commonwealth 
     of the Northern Mariana Islands, and any territory or 
     possession of the United States.
       (5) Unit of local government.--The term ``unit of local 
     government'' means any city, county, township, town, borough, 
     parish, village, or other general purpose political 
     subdivision of a State; an Indian tribe which performs law 
     enforcement functions as determined by the Secretary of the 
     Interior; or any agency of the District of Columbia 
     Government or the United States Government performing law 
     enforcement functions in and for the District of Columbia or 
     the Trust Territory of the Pacific Islands.

         Subtitle F--Federal Emergency Procurement Flexibility

     SEC. 751. DEFINITION.

       In this title, the term ``executive agency'' has the 
     meaning given that term under section 4(1) of the Office of 
     Federal Procurement Policy Act (41 U.S.C. 403(1)).

     SEC. 752. PROCUREMENTS FOR DEFENSE AGAINST OR RECOVERY FROM 
                   TERRORISM OR NUCLEAR, BIOLOGICAL, CHEMICAL, OR 
                   RADIOLOGICAL ATTACK.

       The authorities provided in this subtitle apply to any 
     procurement of property or services by or for an executive 
     agency that, as determined by the head of the executive 
     agency, are to be used to facilitate defense against or 
     recovery from terrorism or nuclear, biological, chemical, or 
     radiological attack, but only if a solicitation of offers for 
     the procurement is issued during the 1-year period beginning 
     on the date of the enactment of this Act.

     SEC. 753. INCREASED SIMPLIFIED ACQUISITION THRESHOLD FOR 
                   PROCUREMENTS IN SUPPORT OF HUMANITARIAN OR 
                   PEACEKEEPING OPERATIONS OR CONTINGENCY 
                   OPERATIONS.

       (a) Temporary Threshold Amounts.--For a procurement 
     referred to in section 752 that is carried out in support of 
     a humanitarian or peacekeeping operation or a contingency 
     operation, the simplified acquisition threshold definitions 
     shall be applied as if the amount determined under the 
     exception provided for such an operation in those definitions 
     were--
       (1) in the case of a contract to be awarded and performed, 
     or purchase to be made, inside the United States, $250,000; 
     or
       (2) in the case of a contract to be awarded and performed, 
     or purchase to be made, outside the United States, $500,000.
       (b) Simplified Acquisition Threshold Definitions.--In this 
     section, the term ``simplified acquisition threshold 
     definitions'' means the following:
       (1) Section 4(11) of the Office of Federal Procurement 
     Policy Act (41 U.S.C. 403(11)).
       (2) Section 309(d) of the Federal Property and 
     Administrative Services Act of 1949 (41 U.S.C. 259(d)).
       (3) Section 2302(7) of title 10, United States Code.
       (c) Small Business Reserve.--For a procurement carried out 
     pursuant to subsection (a), section 15(j) of the Small 
     Business Act (15 U.S.C. 644(j)) shall be applied as if the 
     maximum anticipated value identified therein is equal to the 
     amounts referred to in subsection (a).

     SEC. 754. INCREASED MICRO-PURCHASE THRESHOLD FOR CERTAIN 
                   PROCUREMENTS.

       In the administration of section 32 of the Office of 
     Federal Procurement Policy Act (41 U.S.C. 428) with respect 
     to a procurement referred to in section 752, the amount 
     specified in subsections (c), (d), and (f) of such section 32 
     shall be deemed to be $10,000.

     SEC. 755. APPLICATION OF CERTAIN COMMERCIAL ITEMS AUTHORITIES 
                   TO CERTAIN PROCUREMENTS.

       (a) Authority.--
       (1) In general.--The head of an executive agency may apply 
     the provisions of law listed in paragraph (2) to a 
     procurement referred to in section 752 without regard to 
     whether the property or services are commercial items.
       (2) Commercial item laws.--The provisions of law referred 
     to in paragraph (1) are as follows:
       (A) Sections 31 and 34 of the Office of Federal Procurement 
     Policy Act (41 U.S.C. 427, 430).
       (B) Section 2304(g) of title 10, United States Code.
       (C) Section 303(g) of the Federal Property and 
     Administrative Services Act of 1949 (41 U.S.C. 253(g)).
       (b) Inapplicability of Limitation on Use of Simplified 
     Acquisition Procedures.--
       (1) In general.--The $5,000,000 limitation provided in 
     section 31(a)(2) of the Office of Federal Procurement Policy 
     Act (41 U.S.C. 427(a)(2)), section 2304(g)(1)(B) of title 10, 
     United States Code, and section 303(g)(1)(B) of the Federal 
     Property and Administrative Services Act of 1949 (41 U.S.C. 
     253(g)(1)(B)) shall not apply to purchases of property or 
     services to which any of the provisions of law referred to in 
     subsection (a) are applied under the authority of this 
     section.
       (2) OMB guidance.--The Director of the Office of Management 
     and Budget shall issue guidance and procedures for the use of 
     simplified acquisition procedures for a purchase of property 
     or services in excess of $5,000,000 under the authority of 
     this section.
       (c) Continuation of Authority for Simplified Purchase 
     Procedures.--Authority under a provision of law referred to 
     in subsection (a)(2) that expires under section 4202(e) of 
     the Clinger-Cohen Act of 1996 (divisions D and E of Public 
     Law 104-106; 10 U.S.C. 2304 note) shall, notwithstanding such 
     section, continue to apply for use by the head of an 
     executive agency as provided in subsections (a) and (b).

     SEC. 756. USE OF STREAMLINED PROCEDURES.

       (a) Required Use.--The head of an executive agency shall, 
     when appropriate, use streamlined acquisition authorities and 
     procedures authorized by law for a procurement referred to in 
     section 752, including authorities and procedures that are 
     provided under the following provisions of law:
       (1) Federal property and administrative services act of 
     1949.--In title III of the Federal Property and 
     Administrative Services Act of 1949:
       (A) Paragraphs (1), (2), (6), and (7) of subsection (c) of 
     section 303 (41 U.S.C. 253), relating to use of procedures 
     other than competitive procedures under certain circumstances 
     (subject to subsection (e) of such section).
       (B) Section 303J (41 U.S.C. 253j), relating to orders under 
     task and delivery order contracts.
       (2) Title 10, united states code.--In chapter 137 of title 
     10, United States Code:
       (A) Paragraphs (1), (2), (6), and (7) of subsection (c) of 
     section 2304, relating to use of procedures other than 
     competitive procedures under certain circumstances (subject 
     to subsection (e) of such section).
       (B) Section 2304c, relating to orders under task and 
     delivery order contracts.
       (3) Office of federal procurement policy act.--Paragraphs 
     (1)(B), (1)(D), and (2) of section 18(c) of the Office of 
     Federal Procurement Policy Act (41 U.S.C. 416(c)), relating 
     to inapplicability of a requirement for procurement notice.

[[Page S9290]]

       (b) Waiver of Certain Small Business Threshold 
     Requirements.--Subclause (II) of section 8(a)(1)(D)(i) of the 
     Small Business Act (15 U.S.C. 637(a)(1)(D)(i)) and clause 
     (ii) of section 31(b)(2)(A) of such Act (15 U.S.C. 
     657a(b)(2)(A)) shall not apply in the use of streamlined 
     acquisition authorities and procedures referred to in 
     paragraphs (1)(A) and (2)(A) of subsection (a) for a 
     procurement referred to in section 752.

     SEC. 757. REVIEW AND REPORT BY COMPTROLLER GENERAL.

       (a) Requirements.--Not later than March 31, 2004, the 
     Comptroller General shall--
       (1) complete a review of the extent to which procurements 
     of property and services have been made in accordance with 
     this subtitle; and
       (2) submit a report on the results of the review to the 
     Committee on Governmental Affairs of the Senate and the 
     Committee on Government Reform of the House of 
     Representatives.
       (b) Content of Report.--The report under subsection (a)(2) 
     shall include the following matters:
       (1) Assessment.--The Comptroller General's assessment of--
       (A) the extent to which property and services procured in 
     accordance with this title have contributed to the capacity 
     of the workforce of Federal Government employees within each 
     executive agency to carry out the mission of the executive 
     agency; and
       (B) the extent to which Federal Government employees have 
     been trained on the use of technology.
       (2) Recommendations.--Any recommendations of the 
     Comptroller General resulting from the assessment described 
     in paragraph (1).
       (c) Consultation.--In preparing for the review under 
     subsection (a)(1), the Comptroller shall consult with the 
     Committee on Governmental Affairs of the Senate and the 
     Committee on Government Reform of the House of 
     Representatives on the specific issues and topics to be 
     reviewed. The extent of coverage needed in areas such as 
     technology integration, employee training, and human capital 
     management, as well as the data requirements of the study, 
     shall be included as part of the consultation.

     SEC. 758. IDENTIFICATION OF NEW ENTRANTS INTO THE FEDERAL 
                   MARKETPLACE.

       The head of each executive agency shall conduct market 
     research on an ongoing basis to identify effectively the 
     capabilities, including the capabilities of small businesses 
     and new entrants into Federal contracting, that are available 
     in the marketplace for meeting the requirements of the 
     executive agency in furtherance of defense against or 
     recovery from terrorism or nuclear, biological, chemical, or 
     radiological attack. The head of the executive agency shall, 
     to the maximum extent practicable, take advantage of 
     commercially available market research methods, including use 
     of commercial databases, to carry out the research.

                        Subtitle G--Coast Guard

     SEC. 761. PRESERVING COAST GUARD MISSION PERFORMANCE.

       (a) Definitions.--In this section:
       (1) Non-homeland security missions.--The term ``non-
     homeland security missions'' means the following missions of 
     the Coast Guard:
       (A) Marine safety.
       (B) Search and rescue.
       (C) Aids to navigation.
       (D) Living marine resources (e.g., fisheries law 
     enforcement).
       (E) Marine environmental protection.
       (F) Ice operations.
       (2) Homeland security missions.--The term ``homeland 
     security missions'' means the following missions of the Coast 
     Guard:
       (A) Ports, waterways and coastal security.
       (B) Drug interdiction.
       (C) Migrant interdiction.
       (D) Defense readiness.
       (E) Other law enforcement.
       (b) Transfer.--There are transferred to the Department the 
     authorities, functions, personnel, and assets of the Coast 
     Guard, which shall be maintained as a distinct entity within 
     the Department, including the authorities and functions of 
     the Secretary of Transportation relating thereto.
       (c) Maintenance of Status of Functions and Assets.--
     Notwithstanding any other provision of this Act, the 
     authorities, functions, assets, organizational structure, 
     units, personnel, and non-homeland security missions of the 
     Coast Guard shall be maintained intact and without reduction 
     after the transfer of the Coast Guard to the Department, 
     except as specified in subsequent Acts. Nothing in this 
     paragraph shall prevent the Coast Guard from replacing or 
     upgrading any asset with an asset of equivalent or greater 
     capabilities.
       (d) Certain Transfers Prohibited.--
       (1) In general.--None of the missions, functions, 
     personnel, and assets (including ships, aircraft, 
     helicopters, and vehicles) of the Coast Guard may be 
     transferred to the operational control of, or diverted to the 
     principal and continuing use of, any other organization, 
     unit, or entity of the Department.
       (2) Applicability.--The restrictions in paragraph (1) shall 
     not apply--
       (A) to any joint operation of less than 90 days between the 
     Coast Guard and other entities and organizations of the 
     Department; or
       (B) to any detail or assignment of any individual member or 
     civilian employee of the Coast Guard to any other entity or 
     organization of the Department for the purposes of ensuring 
     effective liaison, coordination, and operations of the Coast 
     Guard and that entity or organization, except that the total 
     number of individuals detailed or assigned in this capacity 
     may not exceed 50 individuals during any fiscal year.
       (e) Changes to Non-Homeland Security Missions.--
       (1) Prohibition.--The Secretary may not make any 
     substantial or significant change to any of the non-homeland 
     security missions of the Coast Guard, or to the capabilities 
     of the Coast Guard to carry out each of the non-homeland 
     security missions, without the prior approval of Congress as 
     expressed in a subsequent Act. With respect to a change to 
     the capabilities of the Coast Guard to carry out each of the 
     non-homeland security missions, the restrictions in this 
     paragraph shall not apply when such change shall result in an 
     increase in those capabilities.
       (2) Waiver.--The President may waive the restrictions under 
     paragraph (1) for a period of not to exceed 90 days upon a 
     declaration and certification by the President to Congress 
     that a clear, compelling, and immediate state of national 
     emergency exists that justifies such a waiver. A 
     certification under this paragraph shall include a detailed 
     justification for the declaration and certification, 
     including the reasons and specific information that 
     demonstrate that the Nation and the Coast Guard cannot 
     respond effectively to the national emergency if the 
     restrictions under paragraph (1) are not waived.
       (f) Annual Review.--
       (1) In general.--The Inspector General of the Department 
     shall conduct an annual review that shall assess thoroughly 
     the performance by the Coast Guard of all missions of the 
     Coast Guard (including non-homeland security missions and 
     homeland security missions) with a particular emphasis on 
     examining the non-homeland security missions.
       (2) Report.--The Inspector General shall submit the 
     detailed results of the annual review and assessment required 
     by paragraph (1) not later than March 1 of each year directly 
     to--
       (A) the Committee on Governmental Affairs of the Senate;
       (B) the Committee on Government Reform of the House of 
     Representatives;
       (C) the Committees on Appropriations of the Senate and the 
     House of Representatives;
       (D) the Committee on Commerce, Science, and Transportation 
     of the Senate; and
       (E) the Committee on Transportation and Infrastructure of 
     the House of Representatives.
       (g) Direct Reporting to Secretary.--Upon the transfer of 
     the Coast Guard to the Department, the Commandant shall 
     report directly to the Secretary without being required to 
     report through any other official of the Department.
       (h) Operation as a Service in the Navy.--None of the 
     conditions and restrictions in this section shall apply when 
     the Coast Guard operates as a service in the Navy under 
     section 3 of title 14, United States Code.

                         TITLE VIII--TRANSITION

     SEC. 801. DEFINITIONS.

       In this title:
       (1) Agency.--The term ``agency'' includes any entity, 
     organizational unit, or function; and
       (2) Transition period.--The term ``transition period'' 
     means the 12-month period beginning on the effective date of 
     this Act.

     SEC. 802. TRANSFER OF AGENCIES.

       The transfer of an agency to the Department shall occur 
     when the President so directs, but in no event later than the 
     end of the transition period. When an agency is transferred, 
     the President may also transfer to the Department any agency 
     established to carry out or support adjudicatory or review 
     functions in relation to the agency.

     SEC. 803. TRANSITIONAL AUTHORITIES.

       (a) Provision of Assistance by Officials.--Until the 
     transfer of an agency to the Department, any official having 
     authority over, or functions relating to, the agency 
     immediately before the effective date of this Act shall 
     provide to the Secretary such assistance, including the use 
     of personnel and assets, as the Secretary may request in 
     preparing for the transfer and integration of the agency into 
     the Department.
       (b) Services and Personnel.--During the transition period, 
     upon the request of the Secretary, the head of any executive 
     agency may, on a reimbursable or nonreimbursable basis, 
     provide services or detail personnel to assist with the 
     transition.
       (c) Acting Officials.--
       (1) In general.--
       (A) Designation.--During the transition period, pending the 
     advice and consent of the Senate to the appointment of an 
     officer required by this Act to be appointed by and with such 
     advice and consent, the President may designate any officer 
     whose appointment was required to be made by and with such 
     advice and consent and who was such an officer immediately 
     before the effective date of this Act (and who continues in 
     office) or immediately before such designation, to act in 
     such office until the same is filled as provided in this Act.
       (B) Compensation.--While serving as an acting officer under 
     subparagraph (A), that officer shall receive compensation at 
     the higher of the rate provided--
       (i) by this Act for the office in which that officer acts; 
     or
       (ii) for the office held at the time of designation.

[[Page S9291]]

       (2) Rule of construction.--Nothing in this Act shall be 
     construed to require the advice and consent of the Senate to 
     the appointment by the President to a position in the 
     Department of any officer whose--
       (A) agency is transferred to the Department under this Act; 
     and
       (B) duties following such transfer are germane to those 
     performed before such transfer.
       (d) Transfer of Personnel, Assets, Liabilities, and 
     Functions.--Upon the transfer of an agency to the 
     Department--
       (1) the personnel, assets, and liabilities held by or 
     available in connection with the agency shall be transferred 
     to the Secretary for appropriate allocation, subject to the 
     approval of the Director of the Office of Management and 
     Budget; and
       (2) the Secretary shall have all functions--
       (A) relating to the agency that any other official could by 
     law exercise in relation to the agency immediately before 
     such transfer; and
       (B) vested in the Secretary by this Act or other law.

     SEC. 804. SAVINGS PROVISIONS.

       (a) Completed Administrative Actions.--
       (1) In general.--Completed administrative actions of an 
     agency shall not be affected by the enactment of this Act or 
     the transfer of such agency to the Department, but shall 
     continue in effect according to their terms until amended, 
     modified, superseded, terminated, set aside, or revoked in 
     accordance with law by an officer of the United States or a 
     court of competent jurisdiction, or by operation of law.
       (2) Included actions.--For purposes of paragraph (1), the 
     term ``completed administrative actions'' includes orders, 
     determinations, rules, regulations, personnel actions, 
     permits, agreements, grants, contracts, certificates, 
     licenses, registrations, and privileges.
       (b) Pending Proceedings.--Subject to the authority of the 
     Secretary under this Act--
       (1) pending proceedings in an agency, including notices of 
     proposed rulemaking, and applications for licenses, permits, 
     certificates, grants, and financial assistance, shall 
     continue notwithstanding the enactment of this Act or the 
     transfer of the agency to the Department, unless discontinued 
     or modified under the same terms and conditions and to the 
     same extent that such discontinuance could have occurred if 
     such enactment or transfer had not occurred; and
       (2) orders issued in such proceedings, and appeals 
     therefrom, and payments made pursuant to such orders, shall 
     issue in the same manner and on the same terms as if this Act 
     had not been enacted or the agency had not been transferred, 
     and any such orders shall continue in effect until amended, 
     modified, superseded, terminated, set aside, or revoked by an 
     officer of the United States or a court of competent 
     jurisdiction, or by operation of law.
       (c) Pending Civil Actions.--Subject to the authority of the 
     Secretary under this Act, pending civil actions shall 
     continue notwithstanding the enactment of this Act or the 
     transfer of an agency to the Department, and in such civil 
     actions, proceedings shall be had, appeals taken, and 
     judgments rendered and enforced in the same manner and with 
     the same effect as if such enactment or transfer had not 
     occurred.
       (d) References.--References relating to an agency that is 
     transferred to the Department in statutes, Executive orders, 
     rules, regulations, directives, or delegations of authority 
     that precede such transfer or the effective date of this Act 
     shall be deemed to refer, as appropriate, to the Department, 
     to its officers, employees, or agents, or to its 
     corresponding organizational units or functions.
       (e) Statutory Reporting Requirements.--Any statutory 
     reporting requirement that applied to an agency, transferred 
     to the Department under this Act, immediately before the 
     effective date of this Act shall continue to apply following 
     that transfer if the statutory requirement refers to the 
     agency by name.
       (f) Employment Provisions.--Except as otherwise provided in 
     this Act, or under authority granted by this Act, the 
     transfer under this Act of personnel shall not alter the 
     terms and conditions of employment, including compensation, 
     of any employee so transferred.

     SEC. 805. TERMINATIONS.

       Except as otherwise provided in this Act, whenever all the 
     functions vested by law in any agency have been transferred 
     under this Act, each position and office the incumbent of 
     which was authorized to receive compensation at the rates 
     prescribed for an office or position at level II, III, IV, or 
     V, of the Executive Schedule, shall terminate.

     SEC. 806. INCIDENTAL TRANSFERS.

       The Director of the Office of Management and Budget, in 
     consultation with the Secretary, is authorized and directed 
     to make such additional incidental dispositions of personnel, 
     assets, and liabilities held, used, arising from, available, 
     or to be made available, in connection with the functions 
     transferred by this Act, as the Director may determine 
     necessary to accomplish the purposes of this Act.

             TITLE IX--CONFORMING AND TECHNICAL AMENDMENTS

     SEC. 901. INSPECTOR GENERAL ACT.

       Section 11 of the Inspector General Act of 1978 (5 U.S.C. 
     App.) is amended in paragraphs (1) and (2)--
       (1) by inserting ``Homeland Security,'' after 
     ``Transportation,'' each place it appears;
       (2) by striking ``; and'' each place it appears and 
     inserting a semicolon;
       (3) by striking ``,,'' and inserting a coma; and
       (4) by striking ``;;'' each place it appears and inserting 
     a semicolon in each such place.

     SEC. 902. EXECUTIVE SCHEDULE.

       Chapter 53 of title 5, United States Code, is amended--
       (1) in section 5312, by inserting after the item relating 
     to the Secretary of Veterans Affairs the following:
       ``Secretary of Homeland Security.'';
       (2) in section 5313, by inserting after the item relating 
     to the Deputy Secretary of Transportation the following:
       ``Deputy Secretary of Homeland Security.'';
       (3) in section 5314, by inserting after the item relating 
     to the Under Secretary for Memorial Affairs, Department of 
     Veterans Affairs the following:
       ``Under Secretaries, Department of Homeland Security.''; 
     and
       (4) in section 5315, by inserting at the end the following:
       ``Assistant Secretaries, Department of Homeland Security.
       ``General Counsel, Department of Homeland Security.
       ``Chief Financial Officer, Department of Homeland Security.
       ``Chief Information Officer, Department of Homeland 
     Security.
       ``Inspector General, Department of Homeland Security.''.

     SEC. 903. UNITED STATES SECRET SERVICE.

       (a) Uniformed Division.--Section 202 of title 3, United 
     States Code, is amended by striking ``Secretary of the 
     Treasury'' and inserting ``Secretary of Homeland Security''.
       (b) Reimbursement of State and Local Governments.--Section 
     208 of title 3, United States Code, is amended by striking 
     ``Secretary of Treasury'' each place it appears and inserting 
     ``Secretary of Homeland Security'' in each such place.
       (c) Powers, Authorities, and Duties.--Section 3056 of title 
     18, United States Code, is amended by striking ``Secretary of 
     the Treasury'' each place it appears and inserting 
     ``Secretary of Homeland Security'' in each such place.
       (d) Effective Date.--The amendments made by this section 
     shall take effect on the date of transfer of the United 
     States Secret Service to the Department.

     SEC. 904. COAST GUARD.

       (a) Title 14, U.S.C.--Title 14 of the United States Code is 
     amended--
       (1) in sections 1, 3, 53, 95, 145, 516, 666, 669, 673 (as 
     added by Public Law 104-201), 673 (as added by Public Law 
     104-324), 674, 687, and 688, by striking ``of 
     Transportation'', each place it appears, and inserting ``of 
     Homeland Security''; and
       (2) after executing the other amendments required by this 
     subsection, by redesignating the section 673 added by Public 
     Law 104-324 as section 673a.
       (b) Title 10, U.S.C.--Section 801(1) of title 10, United 
     States Code, is amended by striking ``the General Counsel of 
     the Department of Transportation'' and inserting ``an 
     official designated to serve as Judge Advocate General of the 
     Coast Guard by the Secretary of Homeland Security''.
       (c) Effective Date.--The amendments made by this section 
     shall take effect on the date of transfer of the Coast Guard 
     to the Department.

     SEC. 905. STRATEGIC NATIONAL STOCKPILE AND SMALLPOX VACCINE 
                   DEVELOPMENT.

       (a) In General.--Section 121 of the Public Health Security 
     and Bioterrorism Preparedness and Response Act of 2002 is 
     amended--
       (1) in subsection (a)(1)--
       (A) by striking ``Secretary of Health and Human Services'' 
     and inserting ``Secretary of Homeland Security'';
       (B) by inserting ``the Secretary of Health and Human 
     Services and'' after ``in coordination with''; and
       (C) by inserting ``of Health and Human Services'' after 
     ``as are determined by the Secretary''; and
       (2) in subsections (a)(2) and (b), by inserting ``of Health 
     and Human Services'' after ``Secretary'' each place it 
     appears.
       (b) Effective Date.--The amendments made by this section 
     shall take effect on the date of transfer of the Strategic 
     National Stockpile of the Department of Health and Human 
     Services to the Department.

     SEC. 906. SELECT AGENT REGISTRATION.

       (a) Public Health Service Act.--The Public Health Service 
     Act is amended--
       (1) in section 351A(a)(1)(A), by inserting ``(as defined in 
     subsection (l)(9))'' after ``Secretary'';
       (2) in section 351A(h)(2)(A), by inserting ``Department of 
     Homeland Security, the'' before ``Department of Health and 
     Human Services'';
       (3) in section 351A(l), by inserting after paragraph (8) 
     the following:
       ``(9) The term `Secretary' means the Secretary of Homeland 
     Security, in consultation with the Secretary of Health and 
     Human Services.''; and
       (4) in section 352A(i)--
       (A) by striking ``(1)'' the first place it appears; and
       (B) by striking paragraph (2).
       (b) Public Health Security and Bioterrorism Preparedness 
     and Response Act of 2002.--Section 201(b) of the Public 
     Health Security and Bioterrorism Preparedness and Response 
     Act of 2002 is amended by striking ``Secretary of Health and 
     Human Services''

[[Page S9292]]

     and inserting ``Secretary of Homeland Security''.
       (c) Effective Date.--The amendments made by this section 
     shall take effect on the date of transfer of the select agent 
     registration enforcement programs and activities of the 
     Department of Health and Human Services to the Department.

     SEC. 907. NATIONAL BIO-WEAPONS DEFENSE ANALYSIS CENTER.

       There is established in the Department of Defense a 
     National Bio-Weapons Defense Analysis Center, whose mission 
     is to develop countermeasures to potential attacks by 
     terrorists using weapons of mass destruction.

     SEC. 908. MILITARY ACTIVITIES.

       Except as specifically provided in this Act, nothing in 
     this Act shall confer upon the Secretary any authority to 
     engage in war fighting, the military defense of the United 
     States, or other traditional military activities.

     DIVISION B--IMMIGRATION REFORM, ACCOUNTABILITY, AND SECURITY 
                        ENHANCEMENT ACT OF 2002

     SEC. 1001. SHORT TITLE.

       This division may be cited as the ``Immigration Reform, 
     Accountability, and Security Enhancement Act of 2002''.

     SEC. 1002. DEFINITIONS.

       In this division:
       (1) Enforcement bureau.--The term ``Enforcement Bureau'' 
     means the Bureau of Enforcement established in section 114 of 
     the Immigration and Nationality Act, as added by section 1105 
     of this Act.
       (2) Function.--The term ``function'' includes any duty, 
     obligation, power, authority, responsibility, right, 
     privilege, activity, or program.
       (3) Immigration enforcement functions.--The term 
     ``immigration enforcement functions'' has the meaning given 
     the term in section 114(b)(2) of the Immigration and 
     Nationality Act, as added by section 1105 of this Act.
       (4) Immigration laws of the united states.--The term 
     ``immigration laws of the United States'' has the meaning 
     given the term in section 111(e) of the Immigration and 
     Nationality Act, as added by section 1102 of this Act.
       (5) Immigration policy, administration, and inspection 
     functions.--The term ``immigration policy, administration, 
     and inspection functions'' has the meaning given the term in 
     section 112(b)(3) of the Immigration and Nationality Act, as 
     added by section 1103 of this Act.
       (6) Immigration service functions.--The term ``immigration 
     service functions'' has the meaning given the term in section 
     113(b)(2) of the Immigration and Nationality Act, as added by 
     section 1104 of this Act.
       (7) Office.--The term ``office'' includes any office, 
     administration, agency, bureau, institute, council, unit, 
     organizational entity, or component thereof.
       (8) Secretary.--The term ``Secretary'' means the Secretary 
     of Homeland Security.
       (9) Service bureau.--The term ``Service Bureau'' means the 
     Bureau of Immigration Services established in section 113 of 
     the Immigration and Nationality Act, as added by section 1104 
     of this Act.
       (10) Under secretary.--The term ``Under Secretary'' means 
     the Under Secretary of Homeland Security for Immigration 
     Affairs appointed under section 112 of the Immigration and 
     Nationality Act, as added by section 1103 of this Act.

     SEC. 1003. TRANSFER OF IMMIGRATION AND NATURALIZATION SERVICE 
                   FUNCTIONS.

       In accordance with title VIII, there shall be transferred 
     to the Secretary the functions, personnel, assets, and 
     liabilities of the Immigration and Naturalization Service of 
     the Department of Justice, including the functions of the 
     Attorney General relating thereto, to be restructured so as 
     to separate enforcement and service functions.

              TITLE XI--DIRECTORATE OF IMMIGRATION AFFAIRS

                        Subtitle A--Organization

     SEC. 1101. ABOLITION OF INS.

       (a) In General.--The Immigration and Naturalization Service 
     is abolished.
       (b) Repeal.--Section 4 of the Act of February 14, 1903, as 
     amended (32 Stat. 826; relating to the establishment of the 
     Immigration and Naturalization Service), is repealed.

     SEC. 1102. ESTABLISHMENT OF DIRECTORATE OF IMMIGRATION 
                   AFFAIRS.

       (a) Establishment.--Title I of the Immigration and 
     Nationality Act (8 U.S.C. 1101 et seq.) is amended--
       (1) by inserting ``CHAPTER 1--DEFINITIONS AND GENERAL 
     AUTHORITIES'' after ``TITLE I--GENERAL''; and
       (2) by adding at the end the following:

            ``CHAPTER 2--DIRECTORATE OF IMMIGRATION AFFAIRS

     ``SEC. 111. ESTABLISHMENT OF DIRECTORATE OF IMMIGRATION 
                   AFFAIRS.

       ``(a) Establishment.--There is established within the 
     Department of Homeland Security the Directorate of 
     Immigration Affairs.
       ``(b) Principal Officers.--The principal officers of the 
     Directorate are the following:
       ``(1) The Under Secretary for Immigration Affairs appointed 
     under section 112.
       ``(2) The Assistant Secretary for Immigration Services 
     appointed under section 113.
       ``(3) The Assistant Secretary for Enforcement appointed 
     under section 114.
       ``(c) Functions.--Under the authority of the Secretary of 
     Homeland Security, the Directorate shall perform the 
     following functions:
       ``(1) Immigration policy and administration functions, as 
     defined in section 112(b).
       ``(2) Immigration service and adjudication functions, as 
     defined in section 113(b).
       ``(3) Immigration enforcement functions, as defined in 
     section 114(b), but does not include the functions described 
     in paragraphs (7) and (8) of section 131(b).
       ``(d) Authorization of Appropriations.--
       ``(1) In general.--There are authorized to be appropriated 
     to the Department of Homeland Security such sums as may be 
     necessary to carry out the functions of the Directorate.
       ``(2) Availability of funds.--Amounts appropriated pursuant 
     to paragraph (1) are authorized to remain available until 
     expended.
       ``(e) Immigration Laws of the United States Defined.--In 
     this chapter, the term `immigration laws of the United 
     States' shall have the same meaning given such term in 
     section 101(a)(17) of the Immigration and Nationality Act (8 
     U.S.C. 1101(a)(17)).''.
       (b) Conforming Amendments.--(1) The Immigration and 
     Nationality Act (8 U.S.C. 1101 et seq.) is amended--
       (A) by striking section 101(a)(34) (8 U.S.C. 1101(a)(34)) 
     and inserting the following:
       ``(34) The term `Directorate' means the Directorate of 
     Immigration Affairs established by section 111.'';
       (B) by adding at the end of section 101(a) the following:
       ``(51) The term `Secretary' means the Secretary of Homeland 
     Security.
       ``(52) The term `Department' means the Department of 
     Homeland Security.'';
       (C) by striking ``Attorney General'' and ``Department of 
     Justice'' each place it appears (other than the proviso in 
     section 103(a)(1) of the Immigration and Nationality Act) and 
     inserting ``Secretary'' and ``Department'', respectively;
       (D) in section 101(a)(17) (8 U.S.C. 1101(a)(17)), by 
     striking ``The'' and inserting ``Except as otherwise provided 
     in section 111(e), the; and
       (E) by striking ``Immigration and Naturalization Service'', 
     ``Service'', and ``Service's'' each place they appear and 
     inserting ``Directorate of Immigration Affairs'', 
     ``Directorate'', and ``Directorate's'', respectively.
       (2) Section 6 of the Act entitled ``An Act to authorize 
     certain administrative expenses for the Department of 
     Justice, and for other purposes'', approved July 28, 1950 (64 
     Stat. 380), is amended--
       (A) by striking ``Immigration and Naturalization Service'' 
     and inserting ``Directorate of Immigration Affairs'';
       (B) by striking clause (a); and
       (C) by redesignating clauses (b), (c), (d), and (e) as 
     clauses (a), (b), (c), and (d), respectively.
       (c) References.--Any reference in any statute, 
     reorganization plan, Executive order, regulation, agreement, 
     determination, or other official document or proceeding to 
     the Immigration and Naturalization Service shall be deemed to 
     refer to the Directorate of Immigration Affairs and the 
     Directorate of Border and Transportation Security of the 
     Department of Homeland Security, as appropriate, and any 
     reference in the immigration laws of the United States (as 
     defined in section 111(e) of the Immigration and Nationality 
     Act, as added by this section) to the Attorney General shall 
     be deemed to refer to the Secretary of Homeland Security, 
     acting through the Under Secretary for Immigration Affairs 
     and the Under Secretary for Border and Transportation 
     Security, as appropriate.

     SEC. 1103. UNDER SECRETARY OF HOMELAND SECURITY FOR 
                   IMMIGRATION AFFAIRS.

       (a) In General.--Chapter 2 of title I of the Immigration 
     and Nationality Act, as added by section 1102 of this Act, is 
     amended by adding at the end the following:

     ``SEC. 112. UNDER SECRETARY OF HOMELAND SECURITY FOR 
                   IMMIGRATION AFFAIRS.

       ``(a) Under Secretary of Immigration Affairs.--The 
     Directorate shall be headed by an Under Secretary of Homeland 
     Security for Immigration Affairs who shall be appointed in 
     accordance with section 103(c) of the Immigration and 
     Nationality Act.
       ``(b) Responsibilities of the Under Secretary.--
       ``(1) In general.--The Under Secretary shall be charged 
     with any and all responsibilities and authority in the 
     administration of the Directorate and of this Act which are 
     conferred upon the Secretary as may be delegated to the Under 
     Secretary by the Secretary or which may be prescribed by the 
     Secretary.
       ``(2) Duties.--Subject to the authority of the Secretary 
     under paragraph (1), the Under Secretary shall have the 
     following duties:
       ``(A) Immigration policy.--The Under Secretary shall 
     develop and implement policy under the immigration laws of 
     the United States with respect to any function within the 
     jurisdiction of the Directorate. The Under Secretary shall 
     propose, promulgate, and issue rules, regulations, and 
     statements of policy with respect to any function within the 
     jurisdiction of the Directorate.
       ``(B) Administration.--The Under Secretary shall have 
     responsibility for--
       ``(i) the administration and enforcement of the functions 
     conferred upon the Directorate under section 111(c) of this 
     Act; and
       ``(ii) the administration of the Directorate, including the 
     direction, supervision, and coordination of the Bureau of 
     Immigration Services and the Bureau of Enforcement.
       ``(3) Activities.--As part of the duties described in 
     paragraph (2), the Under Secretary shall do the following:

[[Page S9293]]

       ``(A) Resources and personnel management.--The Under 
     Secretary shall manage the resources, personnel, and other 
     support requirements of the Directorate.
       ``(B) Information resources management.--Under the 
     direction of the Secretary, the Under Secretary shall manage 
     the information resources of the Directorate, including the 
     maintenance of records and databases and the coordination of 
     records and other information within the Directorate, and 
     shall ensure that the Directorate obtains and maintains 
     adequate information technology systems to carry out its 
     functions.
       ``(4) Definition.--In this chapter, the term `immigration 
     policy and administration' means the duties, activities, and 
     powers described in this subsection.
       ``(c) General Counsel.--
       ``(1) In general.--There shall be within the Directorate a 
     General Counsel, who shall be appointed by the Secretary of 
     Homeland Security, in consultation with the Under Secretary.
       ``(2) Function.--The General Counsel shall--
       ``(A) serve as the chief legal officer for the Directorate; 
     and
       ``(B) be responsible for providing specialized legal 
     advice, opinions, determinations, regulations, and any other 
     assistance to the Under Secretary with respect to legal 
     matters affecting the Directorate, and any of its components.
       ``(d) Financial Officers for the Directorate of Immigration 
     Affairs.--
       ``(1) Chief financial officer.--
       ``(A) In general.--There shall be within the Directorate a 
     Chief Financial Officer. The position of Chief Financial 
     Officer shall be a career reserved position in the Senior 
     Executive Service and shall have the authorities and 
     functions described in section 902 of title 31, United States 
     Code, in relation to financial activities of the Directorate. 
     For purposes of section 902(a)(1) of such title, the Under 
     Secretary shall be deemed to be an agency head.
       ``(B) Functions.--The Chief Financial Officer shall be 
     responsible for directing, supervising, and coordinating all 
     budget formulas and execution for the Directorate.
       ``(2) Deputy chief financial officer.--The Directorate 
     shall be deemed to be an agency for purposes of section 903 
     of such title (relating to Deputy Chief Financial Officers).
       ``(e) Chief of Congressional, Intergovernmental, and Public 
     Affairs.--
       ``(1) In general.--There shall be within the Directorate a 
     Chief of Congressional, Intergovernmental, and Public 
     Affairs. Under the authority of the Under Secretary, the 
     Chief of Congressional, Intergovernmental, and Public Affairs 
     shall be responsible for--
       ``(A) providing to Congress information relating to issues 
     arising under the immigration laws of the United States, 
     including information on specific cases;
       ``(B) serving as a liaison with other Federal agencies on 
     immigration issues; and
       ``(C) responding to inquiries from, and providing 
     information to, the media on immigration issues.
       ``(2) Within the senior executive service.--The position of 
     Chief of Congressional, Intergovernmental, and Public Affairs 
     shall be a Senior Executive Service position under section 
     5382 of title 5, United States Code.''.
       (b) Compensation of General Counsel and Chief Financial 
     Officer.--Section 5316 of title 5, United States Code, is 
     amended by adding at the end the following:
       ``General Counsel, Directorate of Immigration Affairs, 
     Department of Homeland Security.
       ``Chief Financial Officer, Directorate of Immigration 
     Affairs, Department of Homeland Security.''.
       (c) Repeals.--The following provisions of law are repealed:
       (1) Section 7 of the Act of March 3, 1891, as amended (26 
     Stat. 1085; relating to the establishment of the office of 
     the Commissioner of Immigration and Naturalization).
       (2) Section 201 of the Act of June 20, 1956 (70 Stat. 307; 
     relating to the compensation of assistant commissioners and 
     district directors).
       (3) Section 1 of the Act of March 2, 1895 (28 Stat. 780; 
     relating to special immigrant inspectors).
       (d) Conforming Amendments.--(1)(A) Section 101(a)(8) of the 
     Immigration and Nationality Act (8 U.S.C. 1101(a)(8)) is 
     amended to read as follows:
       ``(8) The term `Under Secretary' means the Under Secretary 
     for Immigration Affairs who is appointed under section 
     103(c).''.
       (B) Except as provided in subparagraph (C), the Immigration 
     and Nationality Act (8 U.S.C. 1101 et seq.) is amended--
       (i) by striking ``The Commissioner of Immigration and 
     Naturalization'' and ``The Commissioner'' each place they 
     appear and inserting ``The appropriate Under Secretary of the 
     Department of Homeland Security''; and
       (ii) except as provided in paragraph (1), by striking 
     ``Commissioner of Immigration and Naturalization'' and 
     ``Commissioner'' each place they appear and inserting 
     ``appropriate Under Secretary of the Department of Homeland 
     Security''.
       (C) The amendments made by subparagraph (B) do not apply to 
     references to the ``Commissioner of Social Security'' in 
     section 290(c) of the Immigration and Nationality Act (8 
     U.S.C. 1360(c)).
       (2) Section 103 of the Immigration and Nationality Act (8 
     U.S.C. 1103) is amended--
       (A) in subsection (c), by striking ``Commissioner'' and 
     inserting ``Under Secretary'';
       (B) in subsection (d), by striking ``Commissioner'' and 
     inserting ``Under Secretary''; and
       (C) in subsection (e), by striking ``Commissioner'' and 
     inserting ``Under Secretary''.
       (3) Sections 104 and 105 of the Immigration and Nationality 
     Act (8 U.S.C. 1104, 1105) are amended by striking 
     ``Director'' each place it appears and inserting ``Assistant 
     Secretary of State for Consular Affairs''.
       (4) Section 104(c) of the Immigration and Nationality Act 
     (8 U.S.C. 1104(c)) is amended--
       (A) in the first sentence, by striking ``Passport Office, a 
     Visa Office,'' and inserting ``a Passport Services office, a 
     Visa Services office, an Overseas Citizen Services office,''; 
     and
       (B) in the second sentence, by striking ``the Passport 
     Office and the Visa Office'' and inserting ``the Passport 
     Services office and the Visa Services office''.
       (5) Section 5315 of title 5, United States Code, is amended 
     by striking the following:
       ``Commissioner of Immigration and Naturalization, 
     Department of Justice.''.
       (e) References.--Any reference in any statute, 
     reorganization plan, Executive order, regulation, agreement, 
     determination, or other official document or proceeding to 
     the Commissioner of Immigration and Naturalization shall be 
     deemed to refer to the Under Secretary for Immigration 
     Affairs or the Under Secretary for Border and Transportation 
     Security, as appropriate.

     SEC. 1104. BUREAU OF IMMIGRATION SERVICES.

       (a) In General.--Chapter 2 of title I of the Immigration 
     and Nationality Act, as added by section 1102 and amended by 
     section 1103, is further amended by adding at the end the 
     following:

     ``SEC. 113. BUREAU OF IMMIGRATION SERVICES.

       ``(a) Establishment of Bureau.--
       ``(1) In general.--There is established within the 
     Directorate a bureau to be known as the Bureau of Immigration 
     Services (in this chapter referred to as the `Service 
     Bureau').
       ``(2) Assistant secretary.--The head of the Service Bureau 
     shall be the Assistant Secretary for Immigration Services (in 
     this chapter referred to as the `Assistant Secretary for 
     Immigration Services'), who--
       ``(A) shall be appointed by the Secretary, in consultation 
     with the Under Secretary; and
       ``(B) shall report directly to the Under Secretary.
       ``(b) Responsibilities of the Assistant Secretary.--
       ``(1) In general.--Subject to the authority of the 
     Secretary and the Under Secretary, the Assistant Secretary 
     for Immigration Services shall administer the immigration 
     service functions of the Directorate.
       ``(2) Immigration service functions defined.--In this 
     chapter, the term `immigration service functions' means the 
     following functions under the immigration laws of the United 
     States:
       ``(A) Adjudications of petitions for classification of 
     nonimmigrant and immigrant status.
       ``(B) Adjudications of applications for adjustment of 
     status and change of status.
       ``(C) Adjudications of naturalization applications.
       ``(D) Adjudications of asylum and refugee applications.
       ``(E) Adjudications performed at Service centers.
       ``(F) Determinations concerning custody and parole of 
     asylum seekers who do not have prior nonpolitical criminal 
     records and who have been found to have a credible fear of 
     persecution, including determinations under section 236B.
       ``(G) All other adjudications under the immigration laws of 
     the United States.
       ``(c) Chief Budget Officer of the Service Bureau.--There 
     shall be within the Service Bureau a Chief Budget Officer. 
     Under the authority of the Chief Financial Officer of the 
     Directorate, the Chief Budget Officer of the Service Bureau 
     shall be responsible for monitoring and supervising all 
     financial activities of the Service Bureau.
       ``(d) Quality Assurance.--There shall be within the Service 
     Bureau an Office of Quality Assurance that shall develop 
     procedures and conduct audits to--
       ``(1) ensure that the Directorate's policies with respect 
     to the immigration service functions of the Directorate are 
     properly implemented; and
       ``(2) ensure that Service Bureau policies or practices 
     result in sound records management and efficient and accurate 
     service.
       ``(e) Office of Professional Responsibility.--There shall 
     be within the Service Bureau an Office of Professional 
     Responsibility that shall have the responsibility for 
     ensuring the professionalism of the Service Bureau and for 
     receiving and investigating charges of misconduct or ill 
     treatment made by the public.
       ``(f) Training of Personnel.--The Assistant Secretary for 
     Immigration Services, in consultation with the Under 
     Secretary, shall have responsibility for determining the 
     training for all personnel of the Service Bureau.''.
       (b) Service Bureau Offices.--
       (1) In general.--Under the direction of the Secretary, the 
     Under Secretary, acting through the Assistant Secretary for 
     Immigration Services, shall establish Service Bureau offices, 
     including suboffices and satellite offices, in appropriate 
     municipalities and locations in the United States. In the 
     selection of sites for the Service Bureau offices, the Under 
     Secretary shall consider the

[[Page S9294]]

     location's proximity and accessibility to the community 
     served, the workload for which that office shall be 
     responsible, whether the location would significantly reduce 
     the backlog of cases in that given geographic area, whether 
     the location will improve customer service, and whether the 
     location is in a geographic area with an increase in the 
     population to be served. The Under Secretary shall conduct 
     periodic reviews to assess whether the location and size of 
     the respective Service Bureau offices adequately serve 
     customer service needs.
       (2) Transition provision.--In determining the location of 
     Service Bureau offices, including suboffices and satellite 
     offices, the Under Secretary shall first consider maintaining 
     and upgrading offices in existing geographic locations that 
     satisfy the provisions of paragraph (1). The Under Secretary 
     shall also explore the feasibility and desirability of 
     establishing new Service Bureau offices, including suboffices 
     and satellite offices, in new geographic locations where 
     there is a demonstrated need.

     SEC. 1105. BUREAU OF ENFORCEMENT.

       (a) In General.--Chapter 2 of title I of the Immigration 
     and Nationality Act, as added by section 1102 and amended by 
     sections 1103 and 1104, is further amended by adding at the 
     end the following:

     ``SEC. 114. BUREAU OF ENFORCEMENT.

       ``(a) Establishment of Bureau.--
       ``(1) In general.--There is established within the 
     Directorate a bureau to be known as the Bureau of Enforcement 
     (in this chapter referred to as the `Enforcement Bureau').
       ``(2) Assistant secretary.--The head of the Enforcement 
     Bureau shall be the Assistant Secretary for Enforcement (in 
     this chapter referred to as the `Assistant Secretary for 
     Immigration Enforcement'), who--
       ``(A) shall be appointed by the Secretary of Homeland 
     Security, in consultation with the Under Secretary; and
       ``(B) shall report directly to the Under Secretary.
       ``(b) Responsibilities of the Assistant Secretary.--
       ``(1) In general.--Subject to the authority of the 
     Secretary and the Under Secretary, the Assistant Secretary 
     for Immigration Enforcement shall administer the immigration 
     enforcement functions of the Directorate.
       ``(2) Immigration enforcement functions defined.--In this 
     chapter, the term `immigration enforcement functions' means 
     the following functions under the immigration laws of the 
     United States:
       ``(A) The detention function, except as specified in 
     section 113(b)(2)(F).
       ``(B) The removal function.
       ``(C) The intelligence function.
       ``(D) The investigations function.
       ``(c) Chief Budget Officer of the Enforcement Bureau.--
     There shall be within the Enforcement Bureau a Chief Budget 
     Officer. Under the authority of the Chief Financial Officer 
     of the Directorate, the Chief Budget Officer of the 
     Enforcement Bureau shall be responsible for monitoring and 
     supervising all financial activities of the Enforcement 
     Bureau.
       ``(d) Office of Professional Responsibility.--There shall 
     be within the Enforcement Bureau an Office of Professional 
     Responsibility that shall have the responsibility for 
     ensuring the professionalism of the Enforcement Bureau and 
     receiving charges of misconduct or ill treatment made by the 
     public and investigating the charges.
       ``(e) Office of Quality Assurance.--There shall be within 
     the Enforcement Bureau an Office of Quality Assurance that 
     shall develop procedures and conduct audits to--
       ``(1) ensure that the Directorate's policies with respect 
     to immigration enforcement functions are properly 
     implemented; and
       ``(2) ensure that Enforcement Bureau policies or practices 
     result in sound record management and efficient and accurate 
     recordkeeping.
       ``(f) Training of Personnel.--The Assistant Secretary for 
     Immigration Enforcement, in consultation with the Under 
     Secretary, shall have responsibility for determining the 
     training for all personnel of the Enforcement Bureau.''.
       (b) Enforcement Bureau Offices.--
       (1) In general.--Under the direction of the Secretary, the 
     Under Secretary, acting through the Assistant Secretary for 
     Immigration Enforcement, shall establish Enforcement Bureau 
     offices, including suboffices and satellite offices, in 
     appropriate municipalities and locations in the United 
     States. In the selection of sites for the Enforcement Bureau 
     offices, the Under Secretary shall make selections according 
     to trends in unlawful entry and unlawful presence, alien 
     smuggling, national security concerns, the number of Federal 
     prosecutions of immigration-related offenses in a given 
     geographic area, and other enforcement considerations. The 
     Under Secretary shall conduct periodic reviews to assess 
     whether the location and size of the respective Enforcement 
     Bureau offices adequately serve enforcement needs.
       (2) Transition provision.--In determining the location of 
     Enforcement Bureau offices, including suboffices and 
     satellite offices, the Under Secretary shall first consider 
     maintaining and upgrading offices in existing geographic 
     locations that satisfy the provisions of paragraph (1). The 
     Under Secretary shall also explore the feasibility and 
     desirability of establishing new Enforcement Bureau offices, 
     including suboffices and satellite offices, in new geographic 
     locations where there is a demonstrated need.

     SEC. 1106. OFFICE OF THE OMBUDSMAN WITHIN THE DIRECTORATE.

       (a) In General.--Chapter 2 of title I of the Immigration 
     and Nationality Act, as added by section 1102 and amended by 
     sections 1103, 1104, and 1105, is further amended by adding 
     at the end the following:

     ``SEC. 115. OFFICE OF THE OMBUDSMAN FOR IMMIGRATION AFFAIRS.

       ``(a) In General.--There is established within the 
     Directorate the Office of the Ombudsman for Immigration 
     Affairs, which shall be headed by the Ombudsman.
       ``(b) Ombudsman.--
       ``(1) Appointment.--The Ombudsman shall be appointed by the 
     Secretary of Homeland Security, in consultation with the 
     Under Secretary. The Ombudsman shall report directly to the 
     Under Secretary.
       ``(2) Compensation.--The Ombudsman shall be entitled to 
     compensation at the same rate as the highest rate of basic 
     pay established for the Senior Executive Service under 
     section 5382 of title 5, United States Code, or, if the 
     Secretary of Homeland Security so determines, at a rate fixed 
     under section 9503 of such title.
       ``(c) Functions of Office.--The functions of the Office of 
     the Ombudsman for Immigration Affairs shall include--
       ``(1) to assist individuals in resolving problems with the 
     Directorate or any component thereof;
       ``(2) to identify systemic problems encountered by the 
     public in dealings with the Directorate or any component 
     thereof;
       ``(3) to propose changes in the administrative practices or 
     regulations of the Directorate, or any component thereof, to 
     mitigate problems identified under paragraph (2);
       ``(4) to identify potential changes in statutory law that 
     may be required to mitigate such problems; and
       ``(5) to monitor the coverage and geographic distribution 
     of local offices of the Directorate.
       ``(d) Personnel Actions.--The Ombudsman shall have the 
     responsibility and authority to appoint local or regional 
     representatives of the Ombudsman's Office as in the 
     Ombudsman's judgment may be necessary to address and rectify 
     problems.
       ``(e) Annual Report.--Not later than December 31 of each 
     year, the Ombudsman shall submit a report to the Committee on 
     the Judiciary of the House of Representatives and the 
     Committee on the Judiciary of the Senate on the activities of 
     the Ombudsman during the fiscal year ending in that calendar 
     year. Each report shall contain a full and substantive 
     analysis, in addition to statistical information, and shall 
     contain--
       ``(1) a description of the initiatives that the Office of 
     the Ombudsman has taken on improving the responsiveness of 
     the Directorate;
       ``(2) a summary of serious or systemic problems encountered 
     by the public, including a description of the nature of such 
     problems;
       ``(3) an accounting of the items described in paragraphs 
     (1) and (2) for which action has been taken, and the result 
     of such action;
       ``(4) an accounting of the items described in paragraphs 
     (1) and (2) for which action remains to be completed;
       ``(5) an accounting of the items described in paragraphs 
     (1) and (2) for which no action has been taken, the reasons 
     for the inaction, and identify any Agency official who is 
     responsible for such inaction;
       ``(6) recommendations as may be appropriate to resolve 
     problems encountered by the public;
       ``(7) recommendations as may be appropriate to resolve 
     problems encountered by the public, including problems 
     created by backlogs in the adjudication and processing of 
     petitions and applications;
       ``(8) recommendations to resolve problems caused by 
     inadequate funding or staffing; and
       ``(9) such other information as the Ombudsman may deem 
     advisable.
       ``(f) Authorization of Appropriations.--
       ``(1) In general.--There are authorized to be appropriated 
     to the Office of the Ombudsman such sums as may be necessary 
     to carry out its functions.
       ``(2) Availability of funds.--Amounts appropriated pursuant 
     to paragraph (1) are authorized to remain available until 
     expended.''.

     SEC. 1107. OFFICE OF IMMIGRATION STATISTICS WITHIN THE 
                   DIRECTORATE.

       (a) In General.--Chapter 2 of title I of the Immigration 
     and Nationality Act, as added by section 1102 and amended by 
     sections 1103, 1104, and 1105, is further amended by adding 
     at the end the following:

     ``SEC. 116. OFFICE OF IMMIGRATION STATISTICS.

       ``(a) Establishment.--There is established within the 
     Directorate an Office of Immigration Statistics (in this 
     section referred to as the `Office'), which shall be headed 
     by a Director who shall be appointed by the Secretary of 
     Homeland Security, in consultation with the Under Secretary. 
     The Office shall collect, maintain, compile, analyze, 
     publish, and disseminate information and statistics about 
     immigration in the United States, including information and 
     statistics involving the functions of the Directorate and the 
     Executive Office for Immigration Review.
       ``(b) Responsibilities of Director.--The Director of the 
     Office shall be responsible for the following:
       ``(1) Statistical information.--Maintenance of all 
     immigration statistical information of the Directorate of 
     Immigration Affairs.

[[Page S9295]]

       ``(2) Standards of reliability and validity.--Establishment 
     of standards of reliability and validity for immigration 
     statistics collected by the Bureau of Immigration Services, 
     the Bureau of Enforcement, and the Executive Office for 
     Immigration Review.
       ``(c) Relation to the Directorate of Immigration Affairs 
     and the Executive Office for Immigration Review.--
       ``(1) Other authorities.--The Directorate and the Executive 
     Office for Immigration Review shall provide statistical 
     information to the Office from the operational data systems 
     controlled by the Directorate and the Executive Office for 
     Immigration Review, respectively, as requested by the Office, 
     for the purpose of meeting the responsibilities of the 
     Director of the Office.
       ``(2) Databases.--The Director of the Office, under the 
     direction of the Secretary, shall ensure the interoperability 
     of the databases of the Directorate, the Bureau of 
     Immigration Services, the Bureau of Enforcement, and the 
     Executive Office for Immigration Review to permit the 
     Director of the Office to perform the duties of such 
     office.''.
       (b) Transfer of Functions.--There are transferred to the 
     Directorate of Immigration Affairs for exercise by the Under 
     Secretary through the Office of Immigration Statistics 
     established by section 116 of the Immigration and Nationality 
     Act, as added by subsection (a), the functions performed by 
     the Statistics Branch of the Office of Policy and Planning of 
     the Immigration and Naturalization Service, and the 
     statistical functions performed by the Executive Office for 
     Immigration Review, on the day before the effective date of 
     this title.

     SEC. 1108. CLERICAL AMENDMENTS.

       The table of contents of the Immigration and Nationality 
     Act is amended--
       (1) by inserting after the item relating to the heading for 
     title I the following:

          ``Chapter 1--Definitions and General Authorities'';

       (2) by striking the item relating to section 103 and 
     inserting the following:

``Sec. 103. Powers and duties of the Secretary of Homeland Security and 
              the Under Secretary of Homeland Security for Immigration 
              Affairs.'';
     and
       (3) by inserting after the item relating to section 106 the 
     following:

            ``Chapter 2--Directorate of Immigration Affairs

``Sec. 111. Establishment of Directorate of Immigration Affairs.
``Sec. 112. Under Secretary of Homeland Security for Immigration 
              Affairs.
``Sec. 113. Bureau of Immigration Services.
``Sec. 114. Bureau of Enforcement.
``Sec. 115. Office of the Ombudsman for Immigration Affairs.
``Sec. 116. Office of Immigration Statistics.''.

                   Subtitle B--Transition Provisions

     SEC. 1111. TRANSFER OF FUNCTIONS.

       (a) In General.--
       (1) Functions of the attorney general.--Except as provided 
     in subsection (c) and title XIII, all functions under the 
     immigration laws of the United States vested by statute in, 
     or exercised by, the Attorney General, immediately prior to 
     the effective date of this title, are transferred to the 
     Secretary on such effective date for exercise by the 
     Secretary through the Under Secretary in accordance with 
     section 112(b) of the Immigration and Nationality Act, as 
     added by section 1103 of this Act.
       (2) Functions of the commissioner or the ins.--Except as 
     provided in subsection (c), all functions under the 
     immigration laws of the United States vested by statute in, 
     or exercised by, the Commissioner of Immigration and 
     Naturalization or the Immigration and Naturalization Service 
     (or any officer, employee, or component thereof), immediately 
     prior to the effective date of this title, are transferred to 
     the Directorate of Immigration Affairs on such effective date 
     for exercise by the Under Secretary in accordance with 
     section 112(b) of the Immigration and Nationality Act, as 
     added by section 1103 of this Act.
       (b) Exercise of Authorities.--Except as otherwise provided 
     by law, the Under Secretary may, for purposes of performing 
     any function transferred to the Directorate of Immigration 
     Affairs under subsection (a), exercise all authorities under 
     any other provision of law that were available with respect 
     to the performance of that function to the official 
     responsible for the performance of the function immediately 
     before the effective date of the transfer of the function 
     under this title.
       (c) Special Rule for Border Patrol and Inspection 
     Functions.--
       (1) In general.--Notwithstanding subsections (a) and (b), 
     the border patrol function, and primary and secondary 
     immigration inspection functions, vested by statute in, or 
     exercised by, the Attorney General, the Commissioner of 
     Immigration and Naturalization, or the Immigration and 
     Naturalization Service (or any officer, employee, or 
     component thereof), immediately prior to the effective date 
     of this title, are transferred to the Secretary on such 
     effective date for exercise by the Under Secretary for Border 
     and Transportation in accordance with paragraphs (7) and (8) 
     of section 131(b).
       (2) References.--With respect to the border patrol function 
     and primary and secondary immigration inspection functions, 
     references in this subtitle to--
       (A) the Directorate shall be deemed to be references to the 
     Directorate of Border and Transportation Security; and
       (B) the Under Secretary shall be deemed to be references to 
     the Under Secretary for Border and Transportation Security.

     SEC. 1112. TRANSFER OF PERSONNEL AND OTHER RESOURCES.

       Subject to section 1531 of title 31, United States Code, 
     upon the effective date of this title, there are transferred 
     to the appropriate Under Secretary for appropriate allocation 
     in accordance with section 1115--
       (1) the personnel of the Department of Justice employed in 
     connection with the functions transferred under this title; 
     and
       (2) the assets, liabilities, contracts, property, records, 
     and unexpended balance of appropriations, authorizations, 
     allocations, and other funds employed, held, used, arising 
     from, available to, or to be made available to the 
     Immigration and Naturalization Service in connection with the 
     functions transferred pursuant to this title.

     SEC. 1113. DETERMINATIONS WITH RESPECT TO FUNCTIONS AND 
                   RESOURCES.

       The Secretary shall determine, in accordance with the 
     corresponding criteria set forth in sections 1112(b), 
     1113(b), and 1114(b) of the Immigration and Nationality Act 
     (as added by this title)--
       (1) which of the functions transferred under section 1111 
     are--
       (A) immigration policy and administration functions;
       (B) immigration service functions;
       (C) immigration enforcement functions (excluding the border 
     patrol function and primary and secondary immigration 
     inspection functions); and
       (D) the border patrol function and primary and secondary 
     immigration inspection functions; and
       (2) which of the personnel, assets, liabilities, grants, 
     contracts, property, records, and unexpended balances of 
     appropriations, authorizations, allocations, and other funds 
     transferred under section 1112 were held or used, arose from, 
     were available to, or were made available, in connection with 
     the performance of the respective functions specified in 
     paragraph (1) immediately prior to the effective date of this 
     title.

     SEC. 1114. DELEGATION AND RESERVATION OF FUNCTIONS.

       (a) Delegation to the Directorates.--The Secretary shall 
     delegate--
       (1) through the Under Secretary and subject to section 
     112(b)(1) of the Immigration and Nationality Act (as added by 
     section 1103)--
       (A) immigration service functions to the Assistant 
     Secretary for Immigration Services; and
       (B) immigration enforcement functions to the Assistant 
     Secretary for Immigration Enforcement; and
       (2) the border patrol function and primary and secondary 
     immigration inspection functions to the Under Secretary for 
     Border and Transportation Security.
       (b) Nonexclusive Delegations Authorized.--Delegations made 
     under subsection (a) may be made on a nonexclusive basis as 
     the Secretary may determine may be necessary to ensure the 
     faithful execution of the Secretary's responsibilities and 
     duties under law.
       (c) Effect of Delegations.--Except as otherwise expressly 
     prohibited by law or otherwise provided in this title, the 
     Secretary may make delegations under this subsection to such 
     officers and employees of the office of the Under Secretary 
     for Immigration Affairs, and the Under Secretary for Border 
     and Transportation Security, respectively, as the Secretary 
     may designate, and may authorize successive redelegations of 
     such functions as may be necessary or appropriate. No 
     delegation of functions under this subsection or under any 
     other provision of this title shall relieve the official to 
     whom a function is transferred under this title of 
     responsibility for the administration of the function.
       (d) Statutory Construction.--Nothing in this division may 
     be construed to limit the authority of the Under Secretary, 
     acting directly or by delegation under the Secretary, to 
     establish such offices or positions within the Directorate of 
     Immigration Affairs, in addition to those specified by this 
     division, as the Under Secretary may determine to be 
     necessary to carry out the functions of the Directorate.

     SEC. 1115. ALLOCATION OF PERSONNEL AND OTHER RESOURCES.

       (a) Authority of the Under Secretary.--
       (1) In general.--Subject to paragraph (2) and section 
     1114(b), the Under Secretary shall make allocations of 
     personnel, assets, liabilities, grants, contracts, property, 
     records, and unexpended balances of appropriations, 
     authorizations, allocations, and other funds held, used, 
     arising from, available to, or to be made available in 
     connection with the performance of the respective functions, 
     as determined under section 1113, in accordance with the 
     delegation of functions and the reservation of functions made 
     under section 1114.
       (2) Limitation.--Unexpended funds transferred pursuant to 
     section 1112 shall be used only for the purposes for which 
     the funds were originally authorized and appropriated.
       (b) Authority To Terminate Affairs of INS.--The Attorney 
     General in consultation with the Secretary, shall provide for 
     the termination of the affairs of the Immigration and 
     Naturalization Service and such further

[[Page S9296]]

     measures and dispositions as may be necessary to effectuate 
     the purposes of this division.
       (c) Treatment of Shared Resources.--The Under Secretary is 
     authorized to provide for an appropriate allocation, or 
     coordination, or both, of resources involved in supporting 
     shared support functions for the office of the Under 
     Secretary, the Service Bureau, and the Enforcement Bureau. 
     The Under Secretary shall maintain oversight and control over 
     the shared computer databases and systems and records 
     management.

     SEC. 1116. SAVINGS PROVISIONS.

       (a) Legal Documents.--All orders, determinations, rules, 
     regulations, permits, grants, loans, contracts, recognition 
     of labor organizations, agreements, including collective 
     bargaining agreements, certificates, licenses, and 
     privileges--
       (1) that have been issued, made, granted, or allowed to 
     become effective by the President, the Attorney General, the 
     Commissioner of the Immigration and Naturalization Service, 
     their delegates, or any other Government official, or by a 
     court of competent jurisdiction, in the performance of any 
     function that is transferred under this title; and
       (2) that are in effect on the effective date of such 
     transfer (or become effective after such date pursuant to 
     their terms as in effect on such effective date);

     shall continue in effect according to their terms until 
     modified, terminated, superseded, set aside, or revoked in 
     accordance with law by the President, any other authorized 
     official, a court of competent jurisdiction, or operation of 
     law, except that any collective bargaining agreement shall 
     remain in effect until the date of termination specified in 
     the agreement.
       (b) Proceedings.--
       (1) Pending.--Sections 111 through 116 of the Immigration 
     and Nationality Act, as added by subtitle A of this title, 
     shall not affect any proceeding or any application for any 
     benefit, service, license, permit, certificate, or financial 
     assistance pending on the effective date of this title before 
     an office whose functions are transferred under this title, 
     but such proceedings and applications shall be continued.
       (2) Orders.--Orders shall be issued in such proceedings, 
     appeals shall be taken therefrom, and payments shall be made 
     pursuant to such orders, as if this Act had not been enacted, 
     and orders issued in any such proceeding shall continue in 
     effect until modified, terminated, superseded, or revoked by 
     a duly authorized official, by a court of competent 
     jurisdiction, or by operation of law.
       (3) Discontinuance or modification.--Nothing in this 
     section shall be considered to prohibit the discontinuance or 
     modification of any such proceeding under the same terms and 
     conditions and to the same extent that such proceeding could 
     have been discontinued or modified if this section had not 
     been enacted.
       (c) Suits.--This title, and the amendments made by this 
     title, shall not affect suits commenced before the effective 
     date of this title, and in all such suits, proceeding shall 
     be had, appeals taken, and judgments rendered in the same 
     manner and with the same effect as if this title, and the 
     amendments made by this title, had not been enacted.
       (d) Nonabatement of Actions.--No suit, action, or other 
     proceeding commenced by or against the Department of Justice 
     or the Immigration and Naturalization Service, or by or 
     against any individual in the official capacity of such 
     individual as an officer or employee in connection with a 
     function transferred pursuant to this section, shall abate by 
     reason of the enactment of this Act.
       (e) Continuance of Suit With Substitution of Parties.--If 
     any Government officer in the official capacity of such 
     officer is party to a suit with respect to a function of the 
     officer, and such function is transferred under this title to 
     any other officer or office, then such suit shall be 
     continued with the other officer or the head of such other 
     office, as applicable, substituted or added as a party.
       (f) Administrative Procedure and Judicial Review.--Except 
     as otherwise provided by this title, any statutory 
     requirements relating to notice, hearings, action upon the 
     record, or administrative or judicial review that apply to 
     any function transferred under this title shall apply to the 
     exercise of such function by the head of the office, and 
     other officers of the office, to which such function is 
     transferred.

     SEC. 1117. INTERIM SERVICE OF THE COMMISSIONER OF IMMIGRATION 
                   AND NATURALIZATION.

       The individual serving as the Commissioner of Immigration 
     and Naturalization on the day before the effective date of 
     this title may serve as Under Secretary until the date on 
     which an Under Secretary is appointed under section 112 of 
     the Immigration and Nationality Act, as added by section 
     1103.

     SEC. 1118. OTHER AUTHORITIES NOT AFFECTED.

       Nothing in this title, or any amendment made by this title, 
     may be construed to authorize or require the transfer or 
     delegation of any function vested in, or exercised by--
       (1) the Secretary of State under the State Department Basic 
     Authorities Act of 1956, or under the immigration laws of the 
     United States, immediately prior to the effective date of 
     this title, with respect to the issuance and use of passports 
     and visas;
       (2) the Secretary of Labor or any official of the 
     Department of Labor immediately prior to the effective date 
     of this title, with respect to labor certifications or any 
     other authority under the immigration laws of the United 
     States; or
       (3) except as otherwise specifically provided in this 
     division, any other official of the Federal Government under 
     the immigration laws of the United States immediately prior 
     to the effective date of this title.

     SEC. 1119. TRANSITION FUNDING.

       (a) Authorization of Appropriations for Transition.--
       (1) In general.--There are authorized to be appropriated to 
     the Department of Homeland Security such sums as may be 
     necessary--
       (A) to effect--
       (i) the abolition of the Immigration and Naturalization 
     Service;
       (ii) the establishment of the Directorate of Immigration 
     Affairs and its components, the Bureau of Immigration 
     Services, and the Bureau of Enforcement (except for the 
     border patrol function and primary and secondary immigration 
     inspection functions);
       (iii) the transfer to the Directorate of Border and 
     Transportation Protection of the border patrol function and 
     primary and secondary immigration inspection functions; and
       (iv) the transfer of such other functions as are required 
     to be made under this division; and
       (B) to carry out any other duty that is made necessary by 
     this division, or any amendment made by this division.
       (2) Activities supported.--Activities supported under 
     paragraph (1) include--
       (A) planning for the transfer of functions from the 
     Immigration and Naturalization Service to the Directorate of 
     Immigration Affairs and the Directorate of Border and 
     Transportation Security, as appropriate, including the 
     preparation of any reports and implementation plans necessary 
     for such transfer;
       (B) the division, acquisition, and disposition of--
       (i) buildings and facilities;
       (ii) support and infrastructure resources; and
       (iii) computer hardware, software, and related 
     documentation;
       (C) other capital expenditures necessary to effect the 
     transfer of functions described in this paragraph;
       (D) revision of forms, stationery, logos, and signage;
       (E) expenses incurred in connection with the transfer and 
     training of existing personnel and hiring of new personnel; 
     and
       (F) such other expenses necessary to effect the transfers, 
     as determined by the Secretary.
       (b) Availability of Funds.--Amounts appropriated pursuant 
     to subsection (a) are authorized to remain available until 
     expended.
       (c) Transition Account.--
       (1) Establishment.--There is established in the general 
     fund of the Treasury of the United States a separate account, 
     which shall be known as the ``Directorate of Immigration 
     Affairs Transition Account'' (in this section referred to as 
     the ``Account'').
       (2) Use of account.--There shall be deposited into the 
     Account all amounts appropriated under subsection (a) and 
     amounts reprogrammed for the purposes described in subsection 
     (a).
       (d) Report to Congress on Transition.--Beginning not later 
     than 90 days after the effective date of division A of this 
     Act, and at the end of each fiscal year in which 
     appropriations are made pursuant to subsection (c), the 
     Secretary of Homeland Security shall submit a report to 
     Congress concerning the availability of funds to cover 
     transition costs, including--
       (1) any unobligated balances available for such purposes; 
     and
       (2) a calculation of the amount of appropriations that 
     would be necessary to fully fund the activities described in 
     subsection (a).
       (e) Effective Date.--This section shall take effect 1 year 
     after the effective date of division A of this Act.

                  Subtitle C--Miscellaneous Provisions

     SEC. 1121. FUNDING ADJUDICATION AND NATURALIZATION SERVICES.

       (a) Level of Fees.--Section 286(m) of the Immigration and 
     Nationality Act (8 U.S.C. 1356(m)) is amended by striking 
     ``services, including the costs of similar services provided 
     without charge to asylum applicants or other immigrants'' and 
     inserting ``services''.
       (b) Use of Fees.--
       (1) In general.--Each fee collected for the provision of an 
     adjudication or naturalization service shall be used only to 
     fund adjudication or naturalization services or, subject to 
     the availability of funds provided pursuant to subsection 
     (c), costs of similar services provided without charge to 
     asylum and refugee applicants.
       (2) Prohibition.--No fee may be used to fund adjudication- 
     or naturalization-related audits that are not regularly 
     conducted in the normal course of operation.
       (c) Refugee and Asylum Adjudication Services.--
       (1) Authorization of appropriations.--In addition to such 
     sums as may be otherwise available for such purposes, there 
     are authorized to be appropriated such sums as may be 
     necessary to carry out the provisions of sections 207 through 
     209 of the Immigration and Nationality Act.
       (2) Availability of funds.--Funds appropriated pursuant to 
     paragraph (1) are authorized to remain available until 
     expended.
       (d) Separation of Funding.--
       (1) In general.--There shall be established separate 
     accounts in the Treasury of the

[[Page S9297]]

     United States for appropriated funds and other collections 
     available for the Bureau of Immigration Services and the 
     Bureau of Enforcement.
       (2) Fees.--Fees imposed for a particular service, 
     application, or benefit shall be deposited into the account 
     established under paragraph (1) that is for the bureau with 
     jurisdiction over the function to which the fee relates.
       (3) Fees not transferable.--No fee may be transferred 
     between the Bureau of Immigration Services and the Bureau of 
     Enforcement for purposes not authorized by section 286 of the 
     Immigration and Nationality Act, as amended by subsection 
     (a).
       (e) Authorization of Appropriations for Backlog 
     Reduction.--
       (1) In general.--There are authorized to be appropriated 
     such sums as may be necessary for each of the fiscal years 
     2003 through 2006 to carry out the Immigration Services and 
     Infrastructure Improvement Act of 2000 (title II of Public 
     Law 106-313).
       (2) Availability of funds.--Amounts appropriated under 
     paragraph (1) are authorized to remain available until 
     expended.
       (3) Infrastructure improvement account.--Amounts 
     appropriated under paragraph (1) shall be deposited into the 
     Immigration Services and Infrastructure Improvements Account 
     established by section 204(a)(2) of title II of Public Law 
     106-313.

     SEC. 1122. APPLICATION OF INTERNET-BASED TECHNOLOGIES.

       (a) Establishment of On-Line Database.--
       (1) In general.--Not later than 2 years after the effective 
     date of division A, the Secretary, in consultation with the 
     Under Secretary and the Technology Advisory Committee, shall 
     establish an Internet-based system that will permit an 
     immigrant, nonimmigrant, employer, or other person who files 
     any application, petition, or other request for any benefit 
     under the immigration laws of the United States access to on-
     line information about the processing status of the 
     application, petition, or other request.
       (2) Privacy considerations.--The Under Secretary shall 
     consider all applicable privacy issues in the establishment 
     of the Internet system described in paragraph (1). No 
     personally identifying information shall be accessible to 
     unauthorized persons.
       (3) Means of access.--The on-line information under the 
     Internet system described in paragraph (1) shall be 
     accessible to the persons described in paragraph (1) through 
     a personal identification number (PIN) or other personalized 
     password.
       (4) Prohibition on fees.--The Under Secretary shall not 
     charge any immigrant, nonimmigrant, employer, or other person 
     described in paragraph (1) a fee for access to the 
     information in the database that pertains to that person.
       (b) Feasibility Study for On-Line Filing and Improved 
     Processing.--
       (1) On-line filing.--
       (A) In general.--The Under Secretary, in consultation with 
     the Technology Advisory Committee, shall conduct a study to 
     determine the feasibility of on-line filing of the documents 
     described in subsection (a).
       (B) Study elements.--The study shall--
       (i) include a review of computerization and technology of 
     the Immigration and Naturalization Service (or successor 
     agency) relating to immigration services and the processing 
     of such documents;
       (ii) include an estimate of the time-frame and costs of 
     implementing on-line filing of such documents; and
       (iii) consider other factors in implementing such a filing 
     system, including the feasibility of the payment of fees on-
     line.
       (2) Report.--Not later than 2 years after the effective 
     date of division A, the Under Secretary shall submit to the 
     Committees on the Judiciary of the Senate and the House of 
     Representatives a report on the findings of the study 
     conducted under this subsection.
       (c) Technology Advisory Committee.--
       (1) Establishment.--Not later than 1 year after the 
     effective date of division A, the Under Secretary shall 
     establish, after consultation with the Committees on the 
     Judiciary of the Senate and the House of Representatives, an 
     advisory committee (in this section referred to as the 
     ``Technology Advisory Committee'') to assist the Under 
     Secretary in--
       (A) establishing the tracking system under subsection (a); 
     and
       (B) conducting the study under subsection (b).
       (2) Composition.--The Technology Advisory Committee shall 
     be composed of--
       (A) experts from the public and private sector capable of 
     establishing and implementing the system in an expeditious 
     manner; and
       (B) representatives of persons or entities who may use the 
     tracking system described in subsection (a) and the on-line 
     filing system described in subsection (b)(1).

     SEC. 1123. ALTERNATIVES TO DETENTION OF ASYLUM SEEKERS.

       (a) Assignments of Asylum Officers.--The Under Secretary 
     shall assign asylum officers to major ports of entry in the 
     United States to assist in the inspection of asylum seekers. 
     For other ports of entry, the Under Secretary shall take 
     steps to ensure that asylum officers participate in the 
     inspections process.
       (b) Amendment of the Immigration and Nationality Act.--
     Chapter 4 of title II of the Immigration and Nationality Act 
     (8 U.S.C. 1221 et seq.) is amended by inserting after section 
     236A the following new section:

     ``SEC. 236B. ALTERNATIVES TO DETENTION OF ASYLUM SEEKERS.

       ``(a) Development of Alternatives to Detention.--The Under 
     Secretary shall--
       ``(1) authorize and promote the utilization of alternatives 
     to the detention of asylum seekers who do not have 
     nonpolitical criminal records; and
       ``(2) establish conditions for the detention of asylum 
     seekers that ensure a safe and humane environment.
       ``(b) Specific Alternatives for Consideration.--The Under 
     Secretary shall consider the following specific alternatives 
     to the detention of asylum seekers described in subsection 
     (a):
       ``(1) Parole from detention.
       ``(2) For individuals not otherwise qualified for parole 
     under paragraph (1), parole with appearance assistance 
     provided by private nonprofit voluntary agencies with 
     expertise in the legal and social needs of asylum seekers.
       ``(3) For individuals not otherwise qualified for parole 
     under paragraph (1) or (2), non-secure shelter care or group 
     homes operated by private nonprofit voluntary agencies with 
     expertise in the legal and social needs of asylum seekers.
       ``(4) Noninstitutional settings for minors such as foster 
     care or group homes operated by private nonprofit voluntary 
     agencies with expertise in the legal and social needs of 
     asylum seekers.
       ``(c) Regulations.--The Under Secretary shall promulgate 
     such regulations as may be necessary to carry out this 
     section.
       ``(d) Definition.--In this section, the term `asylum 
     seeker' means any applicant for asylum under section 208 or 
     any alien who indicates an intention to apply for asylum 
     under that section.''.
       (b) Clerical Amendment.--The table of contents of the 
     Immigration and Nationality Act is amended by inserting after 
     the item relating to section 236A the following new item:

``Sec. 236B. Alternatives to detention of asylum seekers.''.

                       Subtitle D--Effective Date

     SEC. 1131. EFFECTIVE DATE.

       This title, and the amendments made by this title, shall 
     take effect one year after the effective date of division A 
     of this Act.

           TITLE XII--UNACCOMPANIED ALIEN JUVENILE PROTECTION

     SEC. 1201. UNACCOMPANIED ALIEN JUVENILES.

       (a) Custody Determinations.--
       (1) In general.--
       (A) Initial custody and care.--The custody and care of an 
     unaccompanied alien juvenile shall be the responsibility of 
     the Under Secretary of Immigration Affairs in the Department 
     of Homeland Security or the Under Secretary of Border and 
     Transportation Security, as determined under guidelines to be 
     promulgated by the Secretary.
       (B) Transfer of custody and care.--Unless the juvenile is 
     described in subsection (b), the Department of Homeland 
     Security shall transfer custody and care of that juvenile to 
     the Office of Refugee Resettlement of the Department of 
     Health and Human Services.
       (2) Exception.--Notwithstanding paragraph (1), the 
     Directorate of Immigration Affairs shall retain or assume the 
     custody and care of an unaccompanied alien juvenile--
       (A) who has been charged with a felony;
       (B) who has been convicted of a felony;
       (C) who exhibits a violent or criminal behavior that 
     endangers others; or
       (D) with respect to whom the Secretary of Homeland Security 
     has a substantial evidence to conclude that such juvenile 
     endangers the national security of the United States.
       (b) Functions.--
       (1) In general.--Pursuant to subsection (a)(2), the 
     Director of the Office of Refugee Resettlement shall be 
     responsible for--
       (A) coordinating and implementing the custody and care of 
     unaccompanied alien juveniles who are in Federal custody by 
     reason of their immigration status, including developing a 
     plan to be submitted to the Congress on how to ensure that 
     qualified and independent legal counsel is timely appointed 
     to represent the interests of each such juvenile, consistent 
     with the law regarding appointment of counsel that is in 
     effect on the date of the enactment of this Act;
       (B) ensuring that the interests of the juvenile are 
     considered in decisions and actions relating to the custody 
     and care of an unaccompanied alien juvenile;
       (C) making placement determinations for all unaccompanied 
     alien juveniles who are in Federal custody by reason of their 
     immigration status;
       (D) implementing placement determinations for such 
     unaccompanied alien juveniles;
       (E) implementing policies with respect to the care and 
     placement of unaccompanied alien juveniles;
       (F) identifying a sufficient number of qualified 
     individuals, entities, and facilities to house unaccompanied 
     alien juveniles;
       (G) overseeing the infrastructure and personnel of 
     facilities in which unaccompanied alien juveniles are housed;
       (H) reuniting unaccompanied alien juveniles with a parent 
     abroad in appropriate cases;
       (I) compiling, updating, and publishing at least annually a 
     State-by-State list of professionals or other entities 
     qualified to provide guardian and attorney representation 
     services for unaccompanied alien juveniles;

[[Page S9298]]

       (J) maintaining statistical information and other data on 
     unaccompanied alien juveniles for whose care and placement 
     the Director is responsible, which shall include--
       (i) biographical information, such as a juvenile's name, 
     sex, date of birth, country of birth, and country of habitual 
     residence;
       (ii) the date on which the juvenile came into Federal 
     custody by reason of his or her immigration status;
       (iii) information relating to the juvenile's placement, 
     removal, or release from each facility in which the juvenile 
     has resided;
       (iv) in any case in which the juvenile is placed in 
     detention or released, an explanation relating to the 
     detention or release; and
       (v) the disposition of any actions in which the juvenile is 
     the subject;
       (K) collecting and compiling statistical information from 
     the Department of Justice, the Department of Homeland 
     Security, and the Department of State on each department's 
     actions relating to unaccompanied alien juveniles; and
       (L) conducting investigations and inspections of facilities 
     and other entities in which unaccompanied alien juveniles 
     reside.
       (2) Coordination with other entities; no release on own 
     recognizance.--In making determinations described in 
     paragraph (1)(C), the Director of the Office of Refugee 
     Resettlement--
       (A) shall consult with appropriate juvenile justice 
     professionals, the Director of Immigration Affairs of the 
     Department of Homeland Security to ensure that the 
     unaccompanied alien juveniles with respect to whom the 
     placement determinations are made--
       (i) are likely to appear for all hearings or proceedings in 
     which they are involved;
       (ii) are protected from smugglers, traffickers, or others 
     who might seek to victimize or otherwise engage them in 
     criminal, harmful, or exploitative activity; and
       (iii) are placed in a setting in which they not likely to 
     pose a danger to themselves or others; and
       (B) shall not release such juveniles upon their own 
     recognizance.
       (3) Duties with respect to foster care.-- In carrying out 
     the duties described in paragraph (1)(G), the Director of the 
     Office of Refugee Resettlement is encouraged to consider the 
     use of the refugee children foster care system established 
     pursuant to section 412(d) of the Immigration and Nationality 
     Act (8 U.S.C. 1522(d)) for the placement of unaccompanied 
     alien juveniles.
       (c) Appropriate Conditions for Detention of Unaccompanied 
     Alien Juveniles.--
       (1) In general.--An unaccompanied alien juvenile described 
     in subsection (a)(2) may be placed in a facility appropriate 
     for delinquent juveniles under conditions appropriate to the 
     behavior of such juvenile.
       (2) Restriction on detention in adult detention 
     facilities.--To the maximum extent practicable, and 
     consistent with the protection of the juvenile and others, an 
     unaccompanied alien juvenile shall not be placed in an adult 
     detention facility.
       (d) Rule of Construction.--Nothing in this section may be 
     construed to transfer the responsibility for adjudicating 
     benefit determinations or making enforcement determinations 
     under the Immigration and Nationality Act (8 U.S.C. 1101 et 
     seq.) from the authority of any official of the Department of 
     Justice, the Department of Homeland Security, or the 
     Department of State, as the case may be.
       (e) Transfer of Functions.--There are transferred to the 
     Director of the Office of Refugee Resettlement of the 
     Department of Health and Human Services functions under the 
     immigration and nationality laws of the United States with 
     respect to the custody and care of unaccompanied alien 
     juveniles that were vested by statute in, or performed by, 
     the Commissioner of the Immigration and Naturalization 
     Service (or any officer, employee, or component of the 
     Immigration and Naturalization Service) immediately before 
     the effective date specified in subsection (i).
       (f) Other Transition Matters.--
       (1) Exercise of authorities.--Except as otherwise provided 
     by law, a Federal official to whom a function is transferred 
     by this section may, for purposes of performing the function, 
     exercise all authorities under any other provision of law 
     that were available with respect to the performance of that 
     function to the official responsible for the performance of 
     the function immediately before the effective date specified 
     in subsection (i).
       (2) Savings provisions.--Subsections (a), (b), and (c) of 
     section 812 shall apply to a transfer of functions under this 
     section in the same manner as such provisions apply to a 
     transfer of functions under this Act to the Department of 
     Homeland Security.
       (3) Transfer and allocation of appropriations.--The assets, 
     liabilities, contracts, property, records, and unexpended 
     balance of appropriations, authorizations, allocations, and 
     other funds employed, held, used, arising from, available to, 
     or to be made available to, the Immigration and 
     Naturalization Service in connection with the functions 
     transferred by this section, subject to section 202 of the 
     Budget and Accounting Procedures Act of 1950, shall be 
     transferred to the Director of the Office of Refugee 
     Resettlement for allocation to the appropriate component of 
     the Department of Health and Human Services. Unexpended funds 
     transferred pursuant to this paragraph shall be used only for 
     the purposes for which the funds were originally authorized 
     and appropriated.
       (g) References.--With respect to any function transferred 
     by this section, any reference in any other Federal law, 
     Executive order, rule, regulation, or delegation of 
     authority, or any document of or pertaining to a component of 
     government from which such function is transferred--
       (1) to the head of such component is deemed to refer to the 
     Director of the Office of Refugee Resettlement; or
       (2) to such component is deemed to refer to the Office of 
     Refugee Resettlement of the Department of Health and Human 
     Services.
       (h) Definitions.--In this section:
       (1) Lawfully present in the united states.--The term 
     ``lawfully present in the United States'' means, with respect 
     to an alien, an alien who is--
       (A) an alien who is lawfully admitted for permanent 
     residence (as defined in section 101(a)(20) of the 
     Immigration and Nationality Act);
       (B) an alien who is a nonimmigrant alien described in 
     section 101(a)(15) of the Immigration and Nationality Act;
       (C) an alien who is a special immigrant described in 
     section 101(a)(27) of the Immigration and Nationality Act;
       (D) an alien who is granted asylum under section 208 of 
     that Act;
       (E) a refugee who is admitted to the United States under 
     section 207 of that Act;
       (F) an alien who is paroled into the United States under 
     section 212(d)(5) of that Act; or
       (G) an alien whose deportation is being withheld under 
     section 243(h) of the Immigration and Nationality Act (as in 
     effect before April 1, 1997) or section 241(b)(3) of the 
     Immigration and Nationality Act.
       (2) Placement.--The term ``placement'' means the placement 
     of an unaccompanied alien juvenile in either a detention 
     facility or an alternative to such a facility.
       (3) Unaccompanied alien juvenile.--The term ``unaccompanied 
     alien juvenile'' means an alien who--
       (A) is not lawfully present in the United States;
       (B) has not attained 18 years of age; and
       (C) with respect to whom--
       (i) there is no parent or legal guardian in the United 
     States; or
       (ii) no parent or legal guardian in the United States is 
     available to provide care and physical custody.
       (i) Effective Date.--Notwithstanding section 4, this 
     section shall take effect on the date on which the transfer 
     of functions specified under section 411 takes effect.

          TITLE XIII--EXECUTIVE OFFICE FOR IMMIGRATION REVIEW

     SEC. 1301. LEGAL STATUS OF EOIR.

       (a) Existence of EOIR.--There is in the Department of 
     Justice the Executive Office for Immigration Review, which 
     shall be subject to the direction and regulation of the 
     Attorney General under section 103(g) of the Immigration and 
     Nationality Act, as added by section 1302.

     SEC. 1302. AUTHORITIES OF THE ATTORNEY GENERAL.

       Section 103 of the Immigration and Nationality Act (8 
     U.S.C. 1103) as amended by this Act, is further amended by--
       (1) amending the heading to read as follows:


  ``powers and duties of the secretary, the under secretary, and the 
                          attorney general'';

       (2) in subsection (a)--
       (A) by inserting ``Attorney General,'' after 
     ``President,''; and
       (B) by redesignating paragraphs (8), (9), (8) (as added by 
     section 372 of Public Law 104-208), and (9) (as added by 
     section 372 of Public Law 104-208) as paragraphs (8), (9), 
     (10), and (11), respectively; and
       (3) by adding at the end the following new subsection:
       ``(g) Attorney General.--
       ``(1) In general.--The Attorney General shall have such 
     authorities and functions under this Act and all other laws 
     relating to the immigration and naturalization of aliens as 
     were exercised by the Executive Office for Immigration 
     Review, or by the Attorney General with respect to the 
     Executive Office for Immigration Review, on the day before 
     the effective date of the Immigration Reform, Accountability 
     and Security Enhancement Act of 2002.
       ``(2) Powers.--The Attorney General shall establish such 
     regulations, prescribe such forms of bond, reports, entries, 
     and other papers, issue such instructions, review such 
     administrative determinations in immigration proceedings, 
     delegate such authority, and perform such other acts as the 
     Attorney General determines to be necessary for carrying out 
     this section.''.

     SEC. 1303. STATUTORY CONSTRUCTION.

       Nothing in this Act, any amendment made by this Act, or in 
     section 103 of the Immigration and Nationality Act, as 
     amended by section 1302, shall be construed to limit judicial 
     deference to regulations, adjudications, interpretations, 
     orders, decisions, judgments, or any other actions of the 
     Secretary of Homeland Security or the Attorney General.

               DIVISION C--FEDERAL WORKFORCE IMPROVEMENT

                TITLE XXI--CHIEF HUMAN CAPITAL OFFICERS

     SEC. 2101. SHORT TITLE.

       This title may be cited as the ``Chief Human Capital 
     Officers Act of 2002''.

[[Page S9299]]

     SEC. 2102. AGENCY CHIEF HUMAN CAPITAL OFFICERS.

       (a) In General.--Part II of title 5, United States Code, is 
     amended by inserting after chapter 13 the following:

           ``CHAPTER 14--AGENCY CHIEF HUMAN CAPITAL OFFICERS

``Sec.
``1401. Establishment of agency Chief Human Capital Officers.
``1402. Authority and functions of agency Chief Human Capital Officers.

     ``Sec. 1401. Establishment of agency Chief Human Capital 
       Officers

       ``The head of each agency referred to under paragraphs (1) 
     and (2) of section 901(b) of title 31 shall appoint or 
     designate a Chief Human Capital Officer, who shall--
       ``(1) advise and assist the head of the agency and other 
     agency officials in carrying out the agency's 
     responsibilities for selecting, developing, training, and 
     managing a high-quality, productive workforce in accordance 
     with merit system principles;
       ``(2) implement the rules and regulations of the President 
     and the Office of Personnel Management and the laws governing 
     the civil service within the agency; and
       ``(3) carry out such functions as the primary duty of the 
     Chief Human Capital Officer.

     ``Sec. 1402. Authority and functions of agency Chief Human 
       Capital Officers

       ``(a) The functions of each Chief Human Capital Officer 
     shall include--
       ``(1) setting the workforce development strategy of the 
     agency;
       ``(2) assessing workforce characteristics and future needs 
     based on the agency's mission and strategic plan;
       ``(3) aligning the agency's human resources policies and 
     programs with organization mission, strategic goals, and 
     performance outcomes;
       ``(4) developing and advocating a culture of continuous 
     learning to attract and retain employees with superior 
     abilities;
       ``(5) identifying best practices and benchmarking studies, 
     and
       ``(6) applying methods for measuring intellectual capital 
     and identifying links of that capital to organizational 
     performance and growth.
       ``(b) In addition to the authority otherwise provided by 
     this section, each agency Chief Human Capital Officer--
       ``(1) shall have access to all records, reports, audits, 
     reviews, documents, papers, recommendations, or other 
     material that--
       ``(A) are the property of the agency or are available to 
     the agency; and
       ``(B) relate to programs and operations with respect to 
     which that agency Chief Human Capital Officer has 
     responsibilities under this chapter; and
       ``(2) may request such information or assistance as may be 
     necessary for carrying out the duties and responsibilities 
     provided by this chapter from any Federal, State, or local 
     governmental entity.''.
       (b) Technical and Conforming Amendment.--The table of 
     chapters for chapters for part II of title 5, United States 
     Code, is amended by inserting after the item relating to 
     chapter 13 the following:

``14. Agency Chief Human Capital Officers...................1401''.....

     SEC. 2103. CHIEF HUMAN CAPITAL OFFICERS COUNCIL.

       (a) Establishment.--There is established a Chief Human 
     Capital Officers Council, consisting of--
       (1) the Director of the Office of Personnel Management, who 
     shall act as chairperson of the Council;
       (2) the Deputy Director for Management of the Office of 
     Management and Budget, who shall act as vice chairperson of 
     the Council; and
       (3) the Chief Human Capital Officers of Executive 
     departments and any other members who are designated by the 
     Director of the Office of Personnel Management.
       (b) Functions.--The Chief Human Capital Officers Council 
     shall meet periodically to advise and coordinate the 
     activities of the agencies of its members on such matters as 
     modernization of human resources systems, improved quality of 
     human resources information, and legislation affecting human 
     resources operations and organizations.
       (c) Employee Labor Organizations at Meetings.--The Chief 
     Human Capital Officers Council shall ensure that 
     representatives of Federal employee labor organizations are 
     present at a minimum of 1 meeting of the Council each year. 
     Such representatives shall not be members of the Council.
       (d) Annual Report.--Each year the Chief Human Capital 
     Officers Council shall submit a report to Congress on the 
     activities of the Council.

     SEC. 2104. STRATEGIC HUMAN CAPITAL MANAGEMENT.

       Section 1103 of title 5, United States Code, is amended by 
     adding at the end the following:
       ``(c)(1) The Office of Personnel Management shall design a 
     set of systems, including appropriate metrics, for assessing 
     the management of human capital by Federal agencies.
       ``(2) The systems referred to under paragraph (1) shall be 
     defined in regulations of the Office of Personnel Management 
     and include standards for--
       ``(A)(i) aligning human capital strategies of agencies with 
     the missions, goals, and organizational objectives of those 
     agencies; and
       ``(ii) integrating those strategies into the budget and 
     strategic plans of those agencies;
       ``(B) closing skill gaps in mission critical occupations;
       ``(C) ensuring continuity of effective leadership through 
     implementation of recruitment, development, and succession 
     plans;
       ``(D) sustaining a culture that cultivates and develops a 
     high performing workforce;
       ``(E) developing and implementing a knowledge management 
     strategy supported by appropriate investment in training and 
     technology; and
       ``(F) holding managers and human resources officers 
     accountable for efficient and effective human resources 
     management in support of agency missions in accordance with 
     merit system principles.''.

     SEC. 2105. EFFECTIVE DATE.

       This title shall take effect 180 days after the date of 
     enactment of this division.

    TITLE XXII--REFORMS RELATING TO FEDERAL HUMAN CAPITAL MANAGEMENT

     SEC. 2201. INCLUSION OF AGENCY HUMAN CAPITAL STRATEGIC 
                   PLANNING IN PERFORMANCE PLANS AND PROGRAMS 
                   PERFORMANCE REPORTS.

       (a) Performance Plans.--Section 1115 of title 31, United 
     States Code, is amended--
       (1) in subsection (a), by striking paragraph (3) and 
     inserting the following:
       ``(3) provide a description of how the performance goals 
     and objectives are to be achieved, including the operation 
     processes, training, skills and technology, and the human, 
     capital, information, and other resources and strategies 
     required to meet those performance goals and objectives.'';
       (2) by redesignating subsection (f) as subsection (g); and
       (3) by inserting after subsection (e) the following:
       ``(f) With respect to each agency with a Chief Human 
     Capital Officer, the Chief Human Capital Officer shall 
     prepare that portion of the annual performance plan described 
     under subsection (a)(3).''.
       (b) Program Performance Reports.--Section 1116(d) of title 
     31, United States Code, is amended--
       (1) in paragraph (4), by striking ``and'' after the 
     semicolon;
       (2) by redesignating paragraph (5) as paragraph (6); and
       (3) by inserting after paragraph (4) the following:
       ``(5) include a review of the performance goals and 
     evaluation of the performance plan relative to the agency's 
     strategic human capital management; and''.

     SEC. 2202. REFORM OF THE COMPETITIVE SERVICE HIRING PROCESS.

       (a) In General.--Chapter 33 of title 5, United States Code, 
     is amended--
       (1) in section 3304(a)--
       (A) in paragraph (1), by striking ``and'' after the 
     semicolon;
       (B) in paragraph (2), by striking the period and inserting 
     ``; and''; and
       (C) by adding at the end of the following:
       ``(3) authority for agencies to appoint, without regard to 
     the provision of sections 3309 through 3318, candidates 
     directly to positions for which--
       ``(A) public notice has been given; and
       ``(B) the Office of Personnel Management has determined 
     that there exists a severe shortage of candidates or there is 
     a critical hiring need.

     The Office shall prescribe, by regulation, criteria for 
     identifying such positions and may delegate authority to make 
     determinations under such criteria.''; and
       (2) by inserting after section 3318 the following:

     ``Sec. 3319. Alternative ranking and selection procedures

       ``(a) The Office, in exercising its authority under section 
     3304, or an agency to which the Office has delegated 
     examining authority under section 1104(a)(2), may establish 
     category rating systems for evaluating applicants for 
     positions in the competitive service, under 2 or more quality 
     categories based on merit consistent with regulations 
     prescribed by the Office of Personnel Management, rather than 
     assigned individual numerical ratings.
       ``(b) Within each quality category established under 
     subsection (a), preference-eligibles shall be listed ahead of 
     individuals who are not preference eligibles. For other than 
     scientific and professional positions at GS-9 of the General 
     Schedule (equivalent or higher), qualified preference-
     eligibles who have a compensable service-connected disability 
     of 10 percent or more shall be listed in the highest quality 
     category.
       ``(c)(1) An appointing official may select any applicant in 
     the highest quality category or, if fewer than 3 candidates 
     have been assigned to the highest quality category, in a 
     merged category consisting of the highest and the second 
     highest quality categories.
       ``(2) Notwithstanding paragraph (1), the appointing 
     official may not pass over a preference-eligible in the same 
     category from which selection is made, unless the 
     requirements of section 3317(b) or 3318(b), as applicable, 
     are satisfied.
       ``(d) Each agency that establishes a category rating system 
     under this section shall submit in each of the 3 years 
     following that establishment, a report to Congress on that 
     system including information on--
       ``(1) the number of employees hired under that system;
       ``(2) the impact that system has had on the hiring of 
     veterans and minorities, including those who are American 
     Indian or Alaska

[[Page S9300]]

     Natives, Asian, Black or African American, and native 
     Hawaiian or other Pacific Islanders; and
       ``(3) the way in which managers were trained in the 
     administration of that system.
       ``(e) The Office of Personnel Management may prescribe such 
     regulations as it considers necessary to carry out the 
     provisions of this section.''.
       (b) Technical and Conforming Amendment.--The table of 
     sections for chapter 33 of title 5, United States Code, is 
     amended by striking the item relating to section 3319 and 
     inserting the following:

``3319. Alternative ranking and selection procedures.''.

     SEC. 2203. PERMANENT EXTENSION, REVISION, AND EXPANSION OF 
                   AUTHORITIES FOR USE OF VOLUNTARY SEPARATION 
                   INCENTIVE PAY AND VOLUNTARY EARLY RETIREMENT.

       (a) Voluntary Separation Incentive Payments.--
       (1) In general.--
       (A) Amendment to title 5, united states code.--Chapter 35 
     of title 5, United States Code, is amended by inserting after 
     subchapter I the following:

        ``SUBCHAPTER II--VOLUNTARY SEPARATION INCENTIVE PAYMENTS

     ``Sec. 3521. Definitions

       ``In this subchapter, the term--
       ``(1) `agency' means an Executive agency as defined under 
     section 105; and
       ``(2) `employee'--
       ``(A) means an employee as defined under section 2105 
     employed by an agency and an individual employed by a county 
     committee established under section 8(b)(5) of the Soil 
     Conservation and Domestic Allotment Act (16 U.S.C. 
     590h(b)(5)) who--
       ``(i) is serving under an appointment without time 
     limitation; and
       ``(ii) has been currently employed for a continuous period 
     of at least 3 years; and
       ``(B) shall include--
       ``(i) a reemployed annuitant under subchapter III of 
     chapter 83 or 84 or another retirement system for employees 
     of the Government;
       ``(ii) an employee having a disability on the basis of 
     which such employee is or would be eligible for disability 
     retirement under subchapter III of chapter 83 or 84 or 
     another retirement system for employees of the Government.
       ``(iii) an employee who is in receipt of a decision notice 
     of involuntary separation for misconduct or unacceptable 
     performance;
       ``(iv) an employee who has previously received any 
     voluntary separation incentive payment from the Federal 
     Government under this subchapter or any other authority;
       ``(v) an employee covered by statutory reemployment rights 
     who is on transfer employment with another organization; or
       ``(vi) any employee who--

       ``(I) during the 36-month period preceding the date of 
     separation of that employee, performed service for which a 
     student loan repayment benefit was or is to be paid under 
     section 5379;
       ``(II) during the 24-month period preceding the date of 
     separation of that employee, performed service for which a 
     recruitment or relocation bonus was or is to be paid under 
     section 5753; or
       ``(III) during the 12-month period preceding the date of 
     separation of that employee, performed service for which a 
     retention bonus was or is to be paid under section 5754.

     ``Sec. 3522. Agency plans; approval

       ``(a) Before obligating any resources for voluntary 
     separation incentive payments, the head of each agency shall 
     submit to the Office of Personnel Management a plan outlining 
     the intended use of such incentive payments and a proposed 
     organizational chart for the agency once such incentive 
     payments have been completed.
       ``(b) The plan of an agency under subsection (a) shall 
     include--
       ``(1) the specific positions and functions to be reduced or 
     eliminated;
       ``(2) a description of which categories of employees will 
     be offered incentives;
       ``(3) the time period during which incentives may be paid;
       ``(4) the number and amounts of voluntary separation 
     incentive payments to be offered; and
       ``(5) a description of how the agency will operate without 
     the eliminated positions and functions.
       ``(c) The Director of the Office of Personnel Management 
     shall review each agency's plan an may make any appropriate 
     modifications in the plan, in consultation with the Director 
     of the Office of Management and Budget. A plan under this 
     section may not be implemented without the approval of the 
     Directive of the Office of Personnel Management.

     ``Sec. 3523. Authority to provide voluntary separation 
       incentive payments

       ``(a) A voluntary separation incentive payment under this 
     subchapter may be paid to an employee only as provided in the 
     plan of an agency established under section 3522.
       ``(b) A voluntary incentive payment--
       ``(1) shall be offered to agency employees on the basis 
     of--
       ``(A) 1 or more organizational units;
       ``(B) 1 or more occupational series or levels;
       ``(C) 1 or more geographical locations;
       ``(D) skills, knowledge, or other factors related to a 
     position;
       ``(E) specific periods of time during which eligible 
     employees may elect a voluntary incentive payment; or
       ``(F) any appropriate combination of such factors;
       ``(2) shall be paid in a lump sum after the employee's 
     separation;
       ``(3) shall be equal to the lesser of--
       ``(A) an amount equal to the amount the employee would be 
     entitled to receive under section 5595(c)if the employee were 
     entitled to payment under such section (without adjustment 
     for any previous payment made); or
       ``(B) an amount determined by the agency head, not to 
     exceed $25,000;
       ``(4) may be made only in the case of an employee who 
     voluntarily separates (whether by retirement or resignation) 
     under this subchapter;
       ``(5) shall not be a basis for payment, and shall not be 
     included in the computation, of any other type of Government 
     benefit;
       ``(6) shall not be taken into account in determining the 
     amount of any severance pay to which the employee may be 
     entitled under section 5595, based on another other 
     separation; and
       ``(7) shall be paid from appropriations or funds available 
     for the payment of the basic pay of the employee.

     ``Sec. 3524. Effect of subsequent employment with the 
       Government

       ``(a) The term `employment'--
       ``(1) in subsection (b) includes employment under a 
     personal services contract (or other direct contract) with 
     the United States Government (other than an entity in the 
     legislative branch); and
       ``(2) in subsection (c) does not include employment under 
     such a contract.
       ``(b) An individual who has received a voluntary separation 
     incentive payment under this subchapter and accepts any 
     employment for compensation with the Government of the United 
     States with 5 years after the date of the separation on which 
     the payment is based shall be required to pay, before the 
     individual's first day of employment, the entire amount of 
     the incentive payment to he agency that paid the incentive 
     payment.
       ``(c)(1) If the employment under this section is with an 
     agency, other than the General Accounting Office, the United 
     States Postal Service, or the Postal Rate Commission, the 
     Director of the Office of Personnel Management may, at the 
     request of the head of the agency, may waive the repayment 
     if--
       ``(A) the individual involved possesses unique abilities 
     and is the only qualified applicant available for the 
     position; or
       ``(B) in case of an emergency involving a direct threat to 
     life or property, the individual--
       ``(i) has skills directly related to resolving the 
     emergency; and
       ``(ii) will serve on a temporary basis only so long as that 
     individual's services are made necessary by the emergency.
       ``(2) If the employment under this section is with an 
     entity in the legislative branch, the head of the entity or 
     the appointing official may waive the repayment if the 
     individual involved possesses unique abilities and is the 
     only qualified applicant available for the position.
       ``(3) If the employment under this section is with the 
     judicial branch, the Director of the Administrative Office of 
     the United States Courts may waive the repayment if the 
     individual involved possesses unique abilities and is the 
     only qualified applicant available for the position.

     ``Sec. 3525. Regulations

       ``The Office of Personnel Management may prescribe 
     regulations to carry out this subchapter.''.
       (B) Technical and conforming amendments.--Chapter 35 of 
     title 5, United States Code, is amended--
       (i) by striking the chapter heading and inserting the 
     following:

  ``CHAPTER 35--RETENTION PREFERENCE, VOLUNTARY SEPARATION INCENTIVE 
               PAYMENTS, RESTORATION, AND REEMPLOYMENT'';

     and
       (ii) in the table of sections by inserting after the item 
     relating to section 3504 the following:


        ``Subchapter II--Voluntary Separation Incentive Payments

``3521. Definitions.
``3522. Agency plans; approval.
``3523. Authority to provide voluntary separation incentive payments.
``3524. Effect of subsequent employment with the Government.
``3525. Regulations.''.
       (2) Administrative office of the united states courts.--The 
     Director of the Administrative Office of the United States 
     Courts may, by regulation, establish a program substantially 
     similar to the program established under paragraph (1) for 
     individuals serving in the judicial branch.
       (3) Continuation of other authority.--Any agency exercising 
     any voluntary separation incentive authority in effect on the 
     effective date of this subsection may continue to offer 
     voluntary separation incentives consistent with that 
     authority until that authority expires.
       (4) Effective date.--This subsection shall take effect 60 
     days after the date of enactment of this Act.
       (b) Federal Employee Voluntary Early Retirement.--
       (1) Civil service retirement system.--Section 8336(d)(2) of 
     title 5, United States Code, is amended to read as follows:

[[Page S9301]]

       ``(2)(A) has been employed continuously, by the agency in 
     which the employee is serving, for at least the 31-day period 
     ending on the date on which such agency requests the 
     determination referred to in subparagraph (D);
       ``(B) is serving under an appointment that is not time 
     limited;
       ``(C) has not been duly notified that such employee is to 
     be involuntarily separated for misconduct or unacceptable 
     performance;
       ``(D) is separated from the service voluntarily during a 
     period in which, as determined by the office of Personnel 
     Management (upon request of the agency) under regulations 
     prescribed by the Office--
       ``(i) such agency (or, if applicable, the component in 
     which the employee is serving) is undergoing substantial 
     delayering, substantial reorganization, substantial 
     reductions in force, substantial transfer of function, or 
     other substantial workforce restructuring (or shaping);
       ``(ii) a significant percentage of employees servicing in 
     such agency (or component) are likely to be separated or 
     subject to an immediate reduction in the rate of basic pay 
     (without regard to subchapter VI of chapter 53, or comparable 
     provisions); or
       ``(iii) identified as being in positions which are becoming 
     surplus or excess to the agency's future ability to carry out 
     its mission effectively; and
       ``(E) as determined by the agency under regulations 
     prescribed by the Office, is within the scope of the offer of 
     voluntary early retirement, which may be made on the basis 
     of--
       ``(i) 1 or more organizational units;
       ``(ii) 1 or more occupational series or levels;
       ``(iii) 1 or more geographical locations;
       ``(iv) specific periods;
       ``(v) skills, knowledge, or other factors related to a 
     position; or
       ``(vi) any appropriate combination of such factors;''.
       (2) Federal employees' retirement system.--Section 
     8414(b)(1) of title 5, United States Code, is amended by 
     striking subparagraph (B) and inserting the following:
       ``(B)(i) has been employed continuously, by the agency in 
     which the employee is serving, for at least the 31-day period 
     ending on the date on which such agency requests the 
     determination referred to in clause (iv);
       ``(ii) is serving under an appointment that is not time 
     limited;
       ``(iii) has not been duly notified that such employee is to 
     be involuntarily separated for misconduct or unacceptable 
     performance;
       ``(iv) is separate from the service voluntarily during a 
     period in which, as determined by the Office of Personnel 
     Management (upon request of the agency) under regulations 
     prescribed by the Office--
       ``(I) such agency (or, if applicable, the component in 
     which the employee is serving) is undergoing substantial 
     delayering, substantial reorganization, substantial 
     reductions in force, substantial transfer of function, or 
     other substantial workforce restructuring (or shaping);
       ``(II) a significant percentage of employees serving in 
     such agency (or component) are likely to be separated or 
     subject to an immediate reduction in the rate of basic pay 
     (without regard to subchapter VI of chapter 53, or comparable 
     provisions); or
       ``(III) identified as being in positions which are becoming 
     surplus or excess to the agency's future ability to carry out 
     its mission effectively; and
       ``(v) as determined by the agency under regulations 
     prescribed by the Office, is within the scope of the offer of 
     voluntary early retirement, which may be made on the basis 
     of--
       ``(I) 1 or more organizational units;
       ``(II) 1 or more occupational series or levels;
       ``(III) 1 or more geographical locations;
       ``(IV) specific periods;
       ``(V) skills, knowledge, or other factors related to a 
     position; or
       ``(VI) any appropriate combination of such factors.''.
       (3) General accounting office authority.--The amendments 
     made by this subsection shall not be construed to affect the 
     authority under section 1 of Public Law 106-303 (5 U.S.C. 
     8336 note; 114 State. 1063).
       (4) Technical and conforming amendments.--Section 7001 of 
     the 1998 Supplemental Appropriations and Rescissions Act 
     (Public Law 105-174; 112 Stat. 91) is repealed.
       (5) Regulations.--The Office of Personnel Management may 
     prescribe regulations to carry out this subsection.
       (c) Sense of Congress.--It is the sense of Congress that 
     the implementation of this section is intended to reshape the 
     Federal workforce and not downsize the Federal workforce.

     SEC. 2204. STUDENT VOLUNTEER TRANSIT SUBSIDY.

       (a) In General.--Section 7905(a)(1) of title 5, United 
     States Code, is amended by striking ``and a member of a 
     uniformed service'' and inserting ``, a member of a uniformed 
     service, and a student who provides voluntary services under 
     section 3111''.
       (b) Technical and Conforming Amendment.--Section 3111(c)(1) 
     of title 5, United States Code, is amended by striking 
     ``chapter 81 of this title'' and inserting ``section 7905 
     (relating to commuting by means other than single-occupancy 
     motor vehicles), chapter 81''.

     TITLE XXIII--REFORMS RELATING TO THE SENIOR EXECUTIVE SERVICE

     SEC. 2301. REPEAL OF RECERTIFICATION REQUIREMENTS OF SENIOR 
                   EXECUTIVES.

       (a) In General.--Title 5, United States Code, is amended--
       (1) in chapter 33--
       (A) in section 3393(g) by striking ``3393a'';
       (B) by repealing section 3393a; and
       (C) in the table of sections by striking the item relating 
     to section 3393a;
       (2) in chapter 35--
       (A) in section 3592(a)--
       (i) in paragraph (1), by inserting ``or'' at the end;
       (ii) in paragraph (2), by striking ``or'' at the end;
       (iii) by striking paragraph (3); and
       (iv) by striking the last sentence;
       (B) in section 3593(a), by striking paragraph (2) and 
     inserting the following:
       ``(2) the appointee left the Senior Executive Service for 
     reasons other than misconduct, neglect of duty, malfeasance, 
     or less than fully successful executive performance as 
     determined under subchapter II of chapter 43.''; and
       (C) in section 3594(b)--
       (i) in paragraph (1), by inserting ``or'' at the end;
       (ii) in paragraph (2), by striking ``or'' at the end; and
       (iii) by striking paragraph (3);
       (3) in section 7701(c)(1)(A), by striking ``or removal from 
     the Senior Executive Service for failure to be recertified 
     under section 3393a'';
       (4) in chapter 83--
       (A) in section 8336(h)(1), by striking ``for failure to be 
     recertified as a senior executive under section 3393a or''; 
     and
       (B) in section 8339(h), in the first sentence, by striking 
     ``, except that such reduction shall not apply in the case of 
     an employee retiring under section 8336(h) for failure to be 
     recertified as a senior executive''; and
       (5) in chapter 84--
       (A) in section 8414(a)(1), by striking ``for failure to be 
     recertified as a senior executive under section 3393a or''; 
     and
       (B) in section 8421(a)(2), by striking ``, except that an 
     individual entitled to an annuity under section 8414(a) for 
     failure to be recertified as a senior executive shall be 
     entitled to an annuity supplement without regard to such 
     applicable retirement age''.
       (b) Savings Provision.--Notwithstanding the amendments made 
     by subsection (a)(2)(A), an appeal under the final sentence 
     of section 3592(a) of title 5, United States Code, that is 
     pending on the day before the effective date of this 
     section--
       (1) shall not abate by reason of the enactment of the 
     amendments made by subsection (a)(2)(A); and
       (2) shall continue as if such amendments had not been 
     enacted.
       (c) Application.--The amendment made by subsection 
     (a)(2)(B) shall not apply with respect to an individual who, 
     before the effective date of this section, leaves the Senior 
     Executive Service for failure to be recertified as a senior 
     executive under section 3393a of title 5, United States Code.

     SEC. 2302. ADJUSTMENT OF LIMITATION ON TOTAL ANNUAL 
                   COMPENSATION.

       Section 5307(a) of title 5, United States Code, is amended 
     by adding at the end the following:
       ``(3) Notwithstanding paragraph (1), the total payment 
     referred to under such paragraph with respect to an employee 
     paid under section 5372, 5376, or 5383 of title 5 or section 
     332(f), 603, or 604 of title 28 shall not exceed the total 
     annual compensation payable to the Vice President under 
     section 104 of title 3. Regulations prescribed under 
     subsection (c) may extend the application of this paragraph 
     to other equivalent categories of employees.''.

                     TITLE XXIV--ACADEMIC TRAINING

     SEC. 2401. ACADEMIC TRAINING.

       (a) Academic Degree Training.--Section 4107 of title 5, 
     United States Code, is amended to read as follows:

     ``Sec.  4107. Academic degree training

       ``(a) Subject to subsection (b), an agency may select and 
     assign an employee to academic degree training and may pay or 
     reimburse the costs of academic degree training from 
     appropriated or other available funds if such training--
       ``(1) contributes significantly to--
       ``(A) meeting an identified agency training need;
       ``(B) resolving an identified agency staffing problem; or
       ``(C) accomplishing goals in the strategic plan of the 
     agency;
       ``(2) is part of a planned, systemic, and coordinated 
     agency employee development program linked to accomplishing 
     the strategic goals of the agency; and
       ``(3) is accredited and is provided by a college or 
     university that is accredited by a nationally recognized 
     body.
       ``(b) In exercising authority under subsection (a), an 
     agency shall--
       ``(1) consistent with the merit system principles set forth 
     in paragraphs (2) and (7) of section 2301(b), take into 
     consideration the need to--
       ``(A) maintain a balanced workforce in which women, members 
     of racial and ethnic minority groups, and persons with 
     disabilities are appropriately represented in Government 
     service; and
       ``(B) provide employees effective education and training to 
     improve organizational and individual performance;
       ``(2) assure that the training is not for the sole purpose 
     of providing an employee an opportunity to obtain an academic 
     degree or

[[Page S9302]]

     qualify for appointment to a particular position for which 
     the academic degree is a basic requirement;
       ``(3) assure that no authority under this subsection is 
     exercised on behalf of any employee occupying or seeking to 
     qualify for--
       ``(A) a noncareer appointment in the senior Executive 
     Service; or
       ``(B) appointment to any position that is excepted from the 
     competitive service because of its confidential policy-
     determining, policy-making or policy-advocating character; 
     and
       ``(4) to the greatest extent practicable, facilitate the 
     use of online degree training.''.
       (b) Technical and Conforming Amendment.--The table of 
     sections for chapter 41 of title 5, United States Code, is 
     amended by striking the item relating to section 4107 and 
     inserting the following:

``4107. Academic degree training.''.

     SEC. 2402. MODIFICATIONS TO NATIONAL SECURITY EDUCATION 
                   PROGRAM.

       (a) Findings and Policies.--
       (1) Findings.--Congress finds that--
       (A) the United States Government actively encourages and 
     financially supports the training, education, and development 
     of many United States citizens;
       (B) as a condition of some of those supports, many of those 
     citizens have an obligation to seek either compensated or 
     uncompensated employment in the Federal sector; and
       (C) it is in the United States national interest to 
     maximize the return to the Nation of funds invested in the 
     development of such citizens by seeking to employ them in the 
     Federal sector.
       (2) Policy.--It shall be the policy of the United States 
     Government to--
       (A) establish procedures for ensuring that United States 
     citizens who have incurred service obligations as the result 
     of receiving financial support for education and training 
     from the United States Government and have applied for 
     Federal positions are considered in all recruitment and 
     hiring initiatives of Federal departments, bureaus, agencies, 
     and offices; and
       (B) advertise and open all Federal positions to United 
     States citizens who have incurred service obligations with 
     the United States Government as the result of receiving 
     financial support for education and training from the United 
     States Government.
       (b) Fulfillment of Service Requirement if National Security 
     Positions Are Unavailable.--Section 802(b)(2) of the David L. 
     Boren National Security Education Act of 1991 (50 U.S.C. 
     1902) is amended--
       (1) in subparagraph (A), by striking clause (ii) and 
     inserting the following:
       ``(ii) if the recipient demonstrates to the Secretary (in 
     accordance with such regulations) that no national security 
     position in an agency or office of the Federal Government 
     having national security responsibilities is available, work 
     in other offices or agencies of the Federal Government or in 
     the field of higher education in a discipline relating to the 
     foreign country, foreign language, area study, or 
     international field of study for which the scholarship was 
     awarded, for a period specified by the Secretary, which 
     period shall be determined in accordance with clause (i); 
     or''; and
       (2) in subparagraph (B), by striking clause (ii) and 
     inserting the following:
       ``(ii) if the recipient demonstrates to the Secretary (in 
     accordance with such regulations) that no national security 
     position is available upon the completion of the degree, work 
     in other offices or agencies of the Federal Government or in 
     the field of higher education in a discipline relating to 
     foreign country, foreign language, area study, or 
     international field of study for which the fellowship was 
     awarded, for a period specified by the Secretary, which 
     period shall be determined in accordance with clause (i); 
     and''.

     SEC. 2403. COMPENSATION TIME OFF FOR TRAVEL.

       Subchapter V of chapter 55 of title 5, United States Code, 
     is amended by adding at end the following:

     ``Sec. 5550b. Compensatory time off for travel

       ``(a) An employee shall receive 1 hour of compensatory time 
     off for each hour spent by the employee in travel status away 
     from the official duty station of the employee, to the extent 
     that the time spent in travel status is not otherwise 
     compensable.
       ``(b) Not later than 30 days after the date of enactment of 
     this section, the Office of Personnel Management shall 
     prescribe regulations to implement this section.''.

     SEC. 2404. EXTENSION OF CUSTOMS USER FEES.

       Section 13031(j)(3) of the Consolidated Omnibus Budget 
     Reconciliation Act of 1985 (19 U.S.C. 58c(j)(3)) is amended 
     by striking ``September 30, 2003'' and inserting ``December 
     31, 2007''.

 TITLE XXXI--NATIONAL COMMISSION ON TERRORIST ATTACKS UPON THE UNITED 
                                 STATES

     SEC. 3101. ESTABLISHMENT OF COMMISSION.

       There is established the National Commission on Terrorist 
     Attacks Upon the United States (in this title referred to as 
     the ``Commission'').

     SEC. 3102. PURPOSES.

       The purposes of the Commission are to--
       (1) examine and report upon the facts and causes relating 
     to the terrorist attacks of September 11, 2001, occurring at 
     the World Trade Center in New York, New York and at the 
     Pentagon in Virginia;
       (2) ascertain, evaluate, and report on the evidence 
     developed by all relevant governmental agencies regarding the 
     facts and circumstances surrounding the attacks;
       (3) build upon the investigations of other entities, and 
     avoid unnecessary duplication, by reviewing the findings, 
     conclusions, and recommendations of--
       (A) the Joint Inquiry of the Select Committee on 
     Intelligence of the Senate and the Permanent Select Committee 
     on Intelligence of the House of Representatives regarding the 
     terrorist attacks of September 11, 2001;
       (B) other executive branch, congressional, or independent 
     commission investigations into the terrorist attacks of 
     September 11, 2001, other terrorist attacks, and terrorism 
     generally;
       (4) make a full and complete accounting of the 
     circumstances surrounding the attacks, and the extent of the 
     United States' preparedness for, and response to, the 
     attacks; and
       (5) investigate and report to the President and Congress on 
     its findings, conclusions, and recommendations for corrective 
     measures that can be taken to prevent acts of terrorism.

     SEC. 3103. COMPOSITION OF THE COMMISSION.

       (a) Members.--The Commission shall be composed of 10 
     members, of whom--
       (1) 3 members shall be appointed by the majority leader of 
     the Senate;
       (2) 3 members shall be appointed by the Speaker of the 
     House of Representatives;
       (3) 2 members shall be appointed by the minority leader of 
     the Senate; and
       (4) 2 members shall be appointed by the minority leader of 
     the House of Representatives.
       (b) Chairperson; Vice Chairperson.--
       (1) In general.--Subject to paragraph (2), the Chairperson 
     and Vice Chairperson of the Commission shall be elected by 
     the members.
       (2) Political party affiliation.--The Chairperson and Vice 
     Chairperson shall not be from the same political party.
       (c) Qualifications; Initial Meeting.--
       (1) Political party affiliation.--Not more than 5 members 
     of the Commission shall be from the same political party.
       (2) Nongovernmental appointees.--An individual appointed to 
     the Commission may not be an officer or employee of the 
     Federal Government or any State or local government.
       (3) Other qualifications.--It is the sense of Congress that 
     individuals appointed to the Commission should be prominent 
     United States citizens, with national recognition and 
     significant depth of experience in such professions as 
     governmental service, law enforcement, the armed services, 
     legal practice, public administration, intelligence 
     gathering, commerce, including aviation matters, and foreign 
     affairs.
       (4) Initial meeting.--If 60 days after the date of 
     enactment of this Act, 6 or more members of the Commission 
     have been appointed, those members who have been appointed 
     may meet and, if necessary, select a temporary chairperson, 
     who may begin the operations of the Commission, including the 
     hiring of staff.
       (d) Quorum; Vacancies.--After its initial meeting, the 
     Commission shall meet upon the call of the chairperson or a 
     majority of its members. Six members of the Commission shall 
     constitute a quorum. Any vacancy in the Commission shall not 
     affect its powers, but shall be filled in the same manner in 
     which the original appointment was made.

     SEC. 3104. FUNCTIONS OF THE COMMISSION.

       The functions of the Commission are to--
       (1) conduct an investigation that--
       (A) investigates relevant facts and circumstances relating 
     to the terrorist attacks of September 11, 2001, including any 
     relevant legislation, Executive order, regulation, plan, 
     policy, practice, or procedure; and
       (B) may include relevant facts and circumstances relating 
     to--
       (i) intelligence agencies;
       (ii) law enforcement agencies;
       (iii) diplomacy;
       (iv) immigration, nonimmigrant visas, and border control;
       (v) the flow of assets to terrorist organizations;
       (vi) commercial aviation; and
       (vii) other areas of the public and private sectors 
     determined relevant by the Commission for its inquiry;
       (2) identify, review, and evaluate the lessons learned from 
     the terrorist attacks of September 11, 2001, regarding the 
     structure, coordination, management policies, and procedures 
     of the Federal Government, and, if appropriate, State and 
     local governments and nongovernmental entities, relative to 
     detecting, preventing, and responding to such terrorist 
     attacks; and
       (3) submit to the President and Congress such reports as 
     are required by this title containing such findings, 
     conclusions, and recommendations as the Commission shall 
     determine, including proposing organization, coordination, 
     planning, management arrangements, procedures, rules, and 
     regulations.

     SEC. 3105. POWERS OF THE COMMISSION.

       (a) In General.--
       (1) Hearings and evidence.--The Commission or, on the 
     authority of the Commission, any subcommittee or member 
     thereof, may, for the purpose of carrying out this title--
       (A) hold such hearings and sit and act at such times and 
     places, take such testimony, receive such evidence, 
     administer such oaths; and
       (B) require, by subpoena or otherwise, the attendance and 
     testimony of such witnesses

[[Page S9303]]

     and the production of such books, records, correspondence, 
     memoranda, papers, and documents, as the Commission or such 
     designated subcommittee or designated member may determine 
     advisable.
       (2) Subpoenas.--
       (A) Issuance.--Subpoenas issued under paragraph (1)(B) may 
     be issued under the signature of the chairperson of the 
     Commission the Vice Chairperson the Commission, the 
     chairperson of any subcommittee created by a majority of the 
     Commission, or any member designated by a majority of the 
     Commission, and may be served by any person designated by the 
     chairperson, subcommittee chairperson, or member.
       (B) Enforcement.--
       (i) In general.--In the case of contumacy or failure to 
     obey a subpoena issued under paragraph (1)(B), the United 
     States district court for the judicial district in which the 
     subpoenaed person resides, is served, or may be found, or 
     where the subpoena is returnable, may issue an order 
     requiring such person to appear at any designated place to 
     testify or to produce documentary or other evidence. Any 
     failure to obey the order of the court may be punished by the 
     court as a contempt of that court.
       (ii) Additional enforcement.--In the case of any failure of 
     any witness to comply with any subpoena or to testify when 
     summoned under authority of this section, the Commission may, 
     by majority vote, certify a statement of fact constituting 
     such failure to the appropriate United States attorney, who 
     may bring the matter before the grand jury for its action, 
     under the same statutory authority and procedures as if the 
     United States attorney had received a certification under 
     sections 102 through 104 of the Revised Statutes of the 
     United States (2 U.S.C. 192 through 194).
       (b) Closed Meetings.--
       (1) In general.--Meetings of the Commission may be closed 
     to the public under section 10(d) of the Federal Advisory 
     Committee Act (5 U.S.C. App.) or other applicable law.
       (2) Additional authority.--In addition to the authority 
     under paragraph (1), section 10(a)(1) and (3) of the Federal 
     Advisory Committee Act (5 U.S.C. App.) shall not apply to any 
     portion of a Commission meeting if the President determines 
     that such portion or portions of that meeting is likely to 
     disclose matters that could endanger national security. If 
     the President makes such determination, the requirements 
     relating to a determination under section 10(d) of that Act 
     shall apply.
       (c) Contracting.--The Commission may, to such extent and in 
     such amounts as are provided in appropriation Acts, enter 
     into contracts to enable the Commission to discharge its 
     duties under this title.
       (d) Information From Federal Agencies.--The Commission is 
     authorized to secure directly from any executive department, 
     bureau, agency, board, commission, office, independent 
     establishment, or instrumentality of the Government 
     information, suggestions, estimates, and statistics for the 
     purposes of this title. Each department, bureau, agency, 
     board, commission, office, independent establishment, or 
     instrumentality shall, to the extent authorized by law, 
     furnish such information, suggestions, estimates, and 
     statistics directly to the Commission, upon request made by 
     the chairperson, the chairperson of any subcommittee created 
     by a majority of the Commission, or any member designated by 
     a majority of the Commission.
       (e) Assistance From Federal Agencies.--
       (1) General services administration.--The Administrator of 
     General Services shall provide to the Commission on a 
     reimbursable basis administrative support and other services 
     for the performance of the Commission's functions.
       (2) Other departments and agencies.--In addition to the 
     assistance prescribed in paragraph (1), departments and 
     agencies of the United States are authorized to provide to 
     the Commission such services, funds, facilities, staff, and 
     other support services as they may determine advisable and as 
     may be authorized by law.
       (f) Gifts.--The Commission may accept, use, and dispose of 
     gifts or donations of services or property.
       (g) Postal Services.--The Commission may use the United 
     States mails in the same manner and under the same conditions 
     as departments and agencies of the United States.

     SEC. 3106. STAFF OF THE COMMISSION.

       (a) In General.--
       (1) Appointment and compensation.--The chairperson, in 
     accordance with rules agreed upon by the Commission, may 
     appoint and fix the compensation of a staff director and such 
     other personnel as may be necessary to enable the Commission 
     to carry out its functions, without regard to the provisions 
     of title 5, United States Code, governing appointments in the 
     competitive service, and without regard to the provisions of 
     chapter 51 and subchapter III of chapter 53 of such title 
     relating to classification and General Schedule pay rates, 
     except that no rate of pay fixed under this subsection may 
     exceed the equivalent of that payable for a position at level 
     V of the Executive Schedule under section 5316 of title 5, 
     United States Code.
       (2) Personnel as federal employees.--
       (A) In general.--The executive director and any personnel 
     of the Commission who are employees shall be employees under 
     section 2105 of title 5, United States Code, for purposes of 
     chapters 63, 81, 83, 84, 85, 87, 89, and 90 of that title.
       (B) Members of commission.--Subparagraph (A) shall not be 
     construed to apply to members of the Commission.
       (b) Detailees.--Any Federal Government employee may be 
     detailed to the Commission without reimbursement from the 
     Commission, and such detailee shall retain the rights, 
     status, and privileges of his or her regular employment 
     without interruption.
       (c) Consultant Services.--The Commission is authorized to 
     procure the services of experts and consultants in accordance 
     with section 3109 of title 5, United States Code, but at 
     rates not to exceed the daily rate paid a person occupying a 
     position at level IV of the Executive Schedule under section 
     5315 of title 5, United States Code.

     SEC. 3107. COMPENSATION AND TRAVEL EXPENSES.

       (a) Compensation.--Each member of the Commission may be 
     compensated at not to exceed the daily equivalent of the 
     annual rate of basic pay in effect for a position at level IV 
     of the Executive Schedule under section 5315 of title 5, 
     United States Code, for each day during which that member is 
     engaged in the actual performance of the duties of the 
     Commission.
       (b) Travel Expenses.--While away from their homes or 
     regular places of business in the performance of services for 
     the Commission, members of the Commission shall be allowed 
     travel expenses, including per diem in lieu of subsistence, 
     in the same manner as persons employed intermittently in the 
     Government service are allowed expenses under section 5703(b) 
     of title 5, United States Code.

     SEC. 3108. SECURITY CLEARANCES FOR COMMISSION MEMBERS AND 
                   STAFF.

       The appropriate executive departments and agencies shall 
     cooperate with the Commission in expeditiously providing to 
     the Commission members and staff appropriate security 
     clearances in a manner consistent with existing procedures 
     and requirements, except that no person shall be provided 
     with access to classified information under this section who 
     would not otherwise qualify for such security clearance.

     SEC. 3109. REPORTS OF THE COMMISSION; TERMINATION.

       (a) Initial Report.--Not later than 6 months after the date 
     of the first meeting of the Commission, the Commission shall 
     submit to the President and Congress an initial report 
     containing such findings, conclusions, and recommendations 
     for corrective measures as have been agreed to by a majority 
     of Commission members.
       (b) Additional Reports.--Not later than 1 year after the 
     submission of the initial report of the Commission, the 
     Commission shall submit to the President and Congress a 
     second report containing such findings, conclusions, and 
     recommendations for corrective measures as have been agreed 
     to by a majority of Commission members.
       (c) Termination.--
       (1) In general.--The Commission, and all the authorities of 
     this title, shall terminate 60 days after the date on which 
     the second report is submitted under subsection (b).
       (2) Administrative activities before termination.--The 
     Commission may use the 60-day period referred to in paragraph 
     (1) for the purpose of concluding its activities, including 
     providing testimony to committees of Congress concerning its 
     reports and disseminating the second report.

     SEC. 3110. AUTHORIZATION OF APPROPRIATIONS.

       There are authorized to be appropriated to the Commission 
     to carry out this title $3,000,000, to remain available until 
     expended.

                              TITLE XXXII

     SEC. ____. PRESERVATION OF THE PRESIDENTIAL NATIONAL SECURITY 
                   POWER

       ``Notwithstanding any other provision of this Act, nothing 
     in this Act shall be construed to take away the statutory 
     authority of the President to act in a manner consistent with 
     national security requirements and consideration as existed 
     on the day of the terrorist attacks on September 11, 2001.
       These sections shall take effect one day after date of 
     enactment.
                                 ______
                                 
  SA 4743. Mr. DASCHLE (for himself, Mr. Nelson of Nebraska, Mr. 
Chafee, and Mr. Breaux) proposed an amendment to amendment SA 4742 
proposed by Mr. Daschle to the bill H.R. 5005, to establish the 
Department of Homeland Security, and for other purposes; as follows:

       On page 96, strike line 2 and all that follows through page 
     109, line 13, and insert the following:

     SEC. 730. ESTABLISHMENT OF HUMAN RESOURCES MANAGEMENT SYSTEM.

       (a) Authority.--
       (1) Sense of congress.--It is the sense of Congress that--
       (A) it is extremely important that employees of the 
     Department be allowed to participate in a meaningful way in 
     the creation of any human resources management system 
     affecting them;
       (B) such employees have the most direct knowledge of the 
     demands of their jobs and have a direct interest in ensuring 
     that their human resources management system is conducive to 
     achieving optimal operational efficiencies;
       (C) the 21st century human resources management system 
     envisioned for the Department should be one that benefits 
     from the input of its employees; and
       (D) this collaborative effort will help secure our 
     homeland.

[[Page S9304]]

       (2) In general.--Subpart I of part III of title 5, United 
     States Code, is amended by adding at the end the following:

             ``CHAPTER 97--DEPARTMENT OF HOMELAND SECURITY

``Sec.
``9701. Establishment of human resources management system.

     ``Sec. 9701. Establishment of human resources management 
       system

       ``(a) In General.--Notwithstanding any other provision of 
     this part, the Secretary may, in regulations prescribed 
     jointly with the Director of the Office of Personnel 
     Management, establish, and from time to time adjust, a human 
     resources management system for some or all of the 
     organizational units of the Department.
       ``(b) System Requirements.--Any system established under 
     subsection (a) shall--
       ``(1) be flexible;
       ``(2) be contemporary;
       ``(3) not waive, modify, or otherwise affect--
       ``(A) the public employment principles of merit and fitness 
     set forth in section 2301, including the principles of hiring 
     based on merit, fair treatment without regard to political 
     affiliation or other nonmerit considerations, equal pay for 
     equal work, and protection of employees against reprisal for 
     whistleblowing;
       ``(B) any provision of section 2302, relating to prohibited 
     personnel practices;
       ``(C)(i) any provision of law referred to in section 
     2302(b)(1); or
       ``(ii) any provision of law implementing any provision of 
     law referred to in section 2302(b)(1) by--
       ``(I) providing for equal employment opportunity through 
     affirmative action; or
       ``(II) providing any right or remedy available to any 
     employee or applicant for employment in the civil service;
       ``(D) any other provision of this part (as described in 
     subsection (c)); or
       ``(E) any rule or regulation prescribed under any provision 
     of law referred to in any of the preceding subparagraphs of 
     this paragraph;
       ``(4) ensure that employees may organize, bargain 
     collectively, and participate through labor organizations of 
     their own choosing in decisions which affect them, subject to 
     any exclusion from coverage or limitation on negotiability 
     established by law; and
       ``(5) permit the use of a category rating system for 
     evaluating applicants for positions in the competitive 
     service.
       ``(c) Other Nonwaivable Provisions.--The other provisions 
     of this part as referred to in subsection (b)(3)(D), are (to 
     the extent not otherwise specified in subparagraph (A), (B), 
     (C), or (D) of subsection (b)(3))--
       ``(1) subparts A, B, E, G, and H of this part; and
       ``(2) chapters 41, 45, 47, 55, 57, 59, 71, 72, 73, 77, and 
     79, and this chapter.
       ``(d) Limitations Relating to Pay.--Nothing in this section 
     shall constitute authority--
       ``(1) to modify the pay of any employee who serves in--
       ``(A) an Executive Schedule position under subchapter II of 
     chapter 53 of title 5, United States Code; or
       ``(B) a position for which the rate of basic pay is fixed 
     in statute by reference to a section or level under 
     subchapter II of chapter 53 of such title 5;
       ``(2) to fix pay for any employee or position at an annual 
     rate greater than the maximum amount of cash compensation 
     allowable under section 5307 of such title 5 in a year; or
       ``(3) to exempt any employee from the application of such 
     section 5307.
       ``(e) Provisions To Ensure Collaboration With Employee 
     Representatives.--
       ``(1) In general.--In order to ensure that the authority of 
     this section is exercised in collaboration with, and in a 
     manner that ensures the direct participation of employee 
     representatives in the planning development, and 
     implementation of any human resources management system or 
     adjustments under this section, the Secretary and the 
     Director of the Office of Personnel Management shall provide 
     for the following:
       ``(A) Notice of proposal.-- The Secretary and the Director 
     shall, with respect to any proposed system or adjustment--
       ``(i) provide to each employee representative representing 
     any employees who might be affected, a written description of 
     the proposed system or adjustment (including the reasons why 
     it is considered necessary);
       ``(ii) give each representative at least 60 days (unless 
     extraordinary circumstances require earlier action) to review 
     and make recommendations with respect to the proposal; and
       ``(iii) give any recommendations received from any such 
     representatives under clause (ii) full and fair consideration 
     in deciding whether or how to proceed with the proposal.
       ``(B) Preimplementation requirements.--If the Secretary and 
     the Director decide to implement a proposal described in 
     subparagraph (A), they shall before implementation--
       ``(i) give each representative details of the decision to 
     implement the proposal, together with the information upon 
     which the decision is based;
       ``(ii) give each representative an opportunity to make 
     recommendations with respect to the proposal; and
       ``(iii) give such recommendation full and fair 
     consideration, including the providing of reasons to an 
     employee representative if any of its recommendations are 
     rejected.
       ``(C) Continuing collaboration.--If a proposal described in 
     subparagraph (A) is implemented, the Secretary and the 
     Director shall--
       ``(i) develop a method for each employee representative to 
     participate in any further planning or development which 
     might become necessary; and
       ``(ii) give each employee representative adequate access to 
     information to make that participation productive.
       ``(2) Procedures.--Any procedures necessary to carry out 
     this subsection shall be established by the Secretary and the 
     Director jointly. Such procedures shall include measures to 
     ensure--
       ``(A) in the case of employees within a unit with respect 
     to which a labor organization is accorded exclusive 
     recognition, representation by individuals designated or from 
     among individuals nominated by such organization;
       ``(B) in the case of any employees who are not within such 
     a unit, representation by any appropriate organization which 
     represents a substantial percentage of those employees or, if 
     none, in such other manner as may be appropriate, consistent 
     with the purposes of the subsection; and
       ``(C) the selection of representatives in a manner 
     consistent with the relative number of employees represented 
     by the organizations or other representatives involved.
       ``(3) Written agreement.--Notwithstanding any other 
     provision of this part, employees within a unit to which a 
     labor organization is accorded exclusive recognition under 
     chapter 71 shall not be subject to any system provided under 
     this section unless the exclusive representative and the 
     Secretary have entered into a written agreement, which 
     specifically provides for the inclusion of such employees 
     within such system. Such written agreement may be imposed by 
     the Federal Service Impasses Panel under section 7119, after 
     negotiations consistent with section 7117.
       ``(f) Provisions Relating to Appellate Procedures.--
       (1) Sense of congress.--It is the sense of Congress that--
       ``(A) employees of the Department are entitled to fair 
     treatment in any appeals that they bring in decisions 
     relating to their employment; and
       ``(B) in prescribing regulations for any such appeals 
     procedures, the Secretary and the Director of the Office of 
     Personnel Management--
       ``(i) should ensure that employees of the Department are 
     afforded the protections of due process; and
       ``(ii) toward that end, should be required to consult with 
     the Merit Systems Protection Board before issuing any such 
     regulations.
       ``(2) Requirements.--Any regulations under this section 
     which relate to any matters within the purview of chapter 
     77--
       ``(A) shall be issued only after consultation with the 
     Merit Systems Protection Board;
       ``(B) shall ensure the availability of procedures which 
     shall--
       ``(i) be consistent with requirements of due process; and
       ``(ii) provide, to the maximum extent practicable, for the 
     expeditious handling of any matters involving the Department; 
     and
       ``(C) shall modify procedures under chapter 77 only insofar 
     as such modifications are designed to further the fair, 
     efficient, and expeditious resolution of matters involving 
     the employees of the Department.
       ``(g) Sunset Provision.--Effective 5 years after the 
     conclusion of the transition period defined under section 801 
     of the Homeland Security Act of 2002, all authority to issue 
     regulations under this section (including regulations which 
     would modify, supersede, or terminate any regulations 
     previously issued under this section) shall cease to be 
     available.''.
       (3) Clerical amendment.--The table of chapters for part III 
     of title 5, United States Code, is amended by adding at the 
     end of the following:

``97. Department of Homeland Security.......................9701''.....

       (b) Effect on Personnel.--
       (1) Nonseparation or nonreduction in grade or compensation 
     of full-time personnel and part-time personnel holding 
     permanent positions.--Except as otherwise provided in this 
     Act, the transfer pursuant to this act of full-time personnel 
     (except special Government employees) and part-time personnel 
     holding permanent positions shall not cause any such employee 
     to be separated or reduced in grade or compensation for one 
     year after the date of transfer to the Department.
       (2) Positions compensated in accordance with executive 
     schedule.--Any person who, on the day preceding such person's 
     date of transfer pursuant to this Act, held a position 
     compensated in accordance with the Executive Schedule 
     prescribed in chapter 53 of title 5, United States Code, and 
     who, without a break in service, is appointed in the 
     Department to a position having duties comparable to the 
     duties performed immediately preceding such appointment shall 
     continue to be compensated in such new position at not less 
     than the rate provided for such position, for the duration of 
     the service of such person in such new position.
       (3) Coordination rule.--Any exercise of authority under 
     chapter 97 of title 5, United States Code (as amended by 
     subsection (a)), including under any system established under 
     such chapter, shall be in conformance with the requirements 
     of this subsection.

[[Page S9305]]

     SEC. 731. LABOR-MANAGEMENT RELATIONS.

       (a) Limitation on Exclusionary Authority.--
       (1) In general.--No agency or subdivision of an agency 
     which is transferred to the Department pursuant to this Act 
     shall be excluded from the coverage of chapter 71 of title 5, 
     United States Code, as a result of any order issued under 
     section 7103(b)(1) of such title 5 after June 18, 2002, 
     unless--
       (A) the mission and responsibilities of the agency (or 
     subdivision) materially change; and
       (B) a majority of the employees within such agency (or 
     subdivision) have as their primary duty intelligence, 
     counterintelligence, or investigative work directly related 
     to terrorism investigation.
       (2) Exclusions allowable.--Nothing in paragraph (1) shall 
     affect the effectiveness of any order to the extent that such 
     order excludes any portion of an agency or subdivision of an 
     agency as to which--
       (A) recognition as an appropriate unit has never been 
     conferred for purposes of chapter 71 of title 5, United 
     States Code; or
       (B) any such recognition has been revoked or otherwise 
     terminated as a result of a determination under subsection 
     (b)(1).
       (b) Provisions Relating to Bargaining Units.--
       (1) Limitation relating to appropriate units.--Each unit 
     which is recognized as an appropriate unit for purposes of 
     chapter 71 of title 5, United States Code, as of the day 
     before the effective date of this Act (and any subdivision of 
     any such unit) shall, if such unit (or subdivision) is 
     transferred to the Department pursuant to this Act, continue 
     to be so recognized for such purposes, unless--
       (A) the mission and responsibilities of such unit (or 
     subdivision) materially change; and
       (B) a majority of the employees within such unit (or 
     subdivision) have as their primary duty intelligence, 
     counterintelligence, or investigative work directly related 
     to terrorism investigation.
       (2) Limitation relating to positions or employees.--No 
     position or employee within a unit (or subdivision of a unit) 
     as to which continued recognition is given in accordance with 
     paragraph (1) shall be excluded from such unit (or 
     subdivision), for purposes of chapter 71 of title 5, United 
     States Code, unless the primary job duty of such position or 
     employee--
       (A) materially changes; and
       (B) consists of intelligence, counterintelligence, or 
     investigative work directly related to terrorism 
     investigation.
     In the case of any positions within a unit (or subdivision) 
     which are first established on or after the effective date of 
     this Act and any employee first appointed on or after such 
     date, the preceding sentence shall be applied disregarding 
     subparagraph (A).
       (c) Coordination Rule.--No other provision of this Act or 
     of any amendment made by this Act may be construed or applied 
     in a manner so as to limit, supersede, or otherwise affect 
     the provisions of this section, except to the extent that it 
     does so by specific reference to this section.
       (d) Savings clause.--Notwithstanding any other provision of 
     this Act, Title XXXII is null and void.
                                 ______
                                 
  SA 4744. Mr. DASCHLE submitted an amendment intended to be proposed 
to the language proposed to be stricken by amendment SA 4471 proposed 
by Mr. Lieberman to the bill H.R. 5005, to establish the Department of 
Homeland Security, and for other purposes; which was ordered to lie on 
the table; as follows:

       Strike all after the first word in H.R. 5005 and insert the 
     following:

     SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

       (a) Short Title.--This Act may be cited as the ``Homeland 
     Security Act of 2002''.
       (b) Divisions.--This Act is organized into three divisions 
     as follows:
       (1) Division A.--Homeland Security.
       (2) Division B.--Immigration Reform, Accountability, and 
     Security Enhancement Act of 2002.
       (3) Division C.--Federal Workforce Improvement.
       (c) Table of Contents.--The table of contents for this Act 
     is as follows:

Sec. 1. Short title; table of contents.
Sec. 2. Definitions.
Sec. 3. Construction; severability.
Sec. 4. Effective date.

                     DIVISION A--HOMELAND SECURITY

                TITLE I--DEPARTMENT OF HOMELAND SECURITY

Sec. 101. Executive department; mission.
Sec. 102. Secretary; functions.
Sec. 103. Other officers.
Sec. 104. Office of International Affairs.

      TITLE II--INFORMATION ANALYSIS AND INFRASTRUCTURE PROTECTION

Sec. 201. Directorate for Information Analysis and Infrastructure 
              Protection.
Sec. 202. Access to information.
Sec. 203. Protection of voluntarily furnished confidential information.

   TITLE III--SCIENCE AND TECHNOLOGY IN SUPPORT OF HOMELAND SECURITY

Sec. 301. Under Secretary for Science and Technology.
Sec. 302. Responsibilities and authorities of the Under Secretary for 
              Science and Technology.
Sec. 303. Functions transferred.
Sec. 304. Conduct of certain public health-related activities.
Sec. 305. Research in conjunction with the Department of Health and 
              Human Services and other departments.
Sec. 306. Homeland Security Advanced Research Projects Agency.
Sec. 307. Miscellaneous authorities relating to national laboratories.
Sec. 308. Homeland Security Institute.
Sec. 309. Utilization of Department of Energy national laboratories and 
              sites in support of homeland security activities.
Sec. 310. Transfer of Plum Island Animal Disease Center, Department of 
              Agriculture.
Sec. 311. Clearinghouse.

              TITLE IV--BORDER AND TRANSPORTATION SECURITY

Sec. 401. Under Secretary for Border and Transportation Security.
Sec. 402. Responsibilities.
Sec. 403. Functions transferred.
Sec. 404. Transfer of certain agricultural inspection functions of the 
              Department of Agriculture.
Sec. 405. Coordination of information and information technology.
Sec. 406. Visa issuance.
Sec. 407. Border security and immigration working group.
Sec. 408. Information on visa denials required to be entered into 
              electronic data system.
Sec. 409. Study on use of foreign national personnel in visa 
              processing.

              TITLE V--EMERGENCY PREPAREDNESS AND RESPONSE

Sec. 501. Under Secretary for Emergency Preparedness and Response.
Sec. 502. Responsibilities.
Sec. 503. Functions transferred.
Sec. 504. Nuclear incident response.
Sec. 505. Conduct of certain public health-related activities.
Sec. 506. Definition.

                          TITLE VI--MANAGEMENT

Sec. 601. Under Secretary for Management.
Sec. 602. Responsibilities.
Sec. 603. Chief Financial Officer.
Sec. 604. Chief Information Officer.
Sec. 605. Chief Human Capital Officer.

 TITLE VII--COORDINATION WITH NON-FEDERAL ENTITIES; INSPECTOR GENERAL; 
     UNITED STATES SECRET SERVICE; COAST GUARD; GENERAL PROVISIONS

           Subtitle A--Coordination with Non-Federal Entities

Sec. 701. Responsibilities.

                     Subtitle B--Inspector General

Sec. 710. Authority of the Secretary.
Sec. 711. Law enforcement powers of Inspector General Agents.

                Subtitle C--United States Secret Service

Sec. 720. Functions transferred.

                     Subtitle D--General Provisions

Sec. 730. Establishment of Human Resources Management System.
Sec. 731. Labor-management relations.
Sec. 732. Advisory committees.
Sec. 733. Acquisitions.
Sec. 734. Reorganization authority.
Sec. 735. Miscellaneous provisions.
Sec. 736. Authorization of appropriations.
Sec. 737. Regulatory authority.
Sec. 738. Use of appropriated funds.
Sec. 739. Future Year Homeland Security Program.
Sec. 739A. Bioterrorism Preparedness and Response Division.
Sec. 739B. Coordination with the Department of Health and Human 
              Services under the Public Health Service Act.

Subtitle E--Risk Sharing and Indemnification for Contractors Supplying 
                 Anti-Terrorism Technology and Services

Sec. 741. Application of indemnification authority.
Sec. 742. Application of indemnification authority to State and local 
              government contractors.
Sec. 743. Procurements of anti-terrorism technologies and anti-
              terrorism services by State and local governments through 
              Federal contracts.
Sec. 744. Congressional notification.
Sec. 745. Definitions.

         Subtitle F--Federal Emergency Procurement Flexibility

Sec. 751. Definition.
Sec. 752. Procurements for defense against or recovery from terrorism 
              or nuclear, biological, chemical, or radiological attack.
Sec. 753. Increased simplified acquisition threshold for procurements 
              in support of humanitarian or peacekeeping operations or 
              contingency operations.
Sec. 754. Increased micro-purchase threshold for certain procurements.
Sec. 755. Application of certain commercial items authorities to 
              certain procurements.
Sec. 756. Use of streamlined procedures.
Sec. 757. Review and report by Comptroller General.
Sec. 758. Identification of new entrants into the Federal marketplace.

                        Subtitle G--Coast Guard

Sec. 761. Preserving Coast Guard mission performance.

[[Page S9306]]

                         TITLE VIII--TRANSITION

Sec. 801. Definitions.
Sec. 802. Transfer of agencies.
Sec. 803. Transitional authorities.
Sec. 804. Savings provisions.
Sec. 805. Terminations.
Sec. 806. Incidental transfers.

             TITLE IX--CONFORMING AND TECHNICAL AMENDMENTS

Sec. 901. Inspector General Act.
Sec. 902. Executive schedule.
Sec. 903. United States Secret Service.
Sec. 904. Coast Guard.
Sec. 905. Strategic National Stockpile and smallpox vaccine 
              development.
Sec. 906. Select agent registration.
Sec. 907. National Bio-Weapons Defense Analysis Center.
Sec. 908. Military activities.

     DIVISION B--IMMIGRATION REFORM, ACCOUNTABILITY, AND SECURITY 
                        ENHANCEMENT ACT OF 2002

Sec. 1001. Short title.
Sec. 1002. Definitions.
Sec. 1003. Transfer of Immigration and Naturalization Service 
              functions.

              TITLE XI--DIRECTORATE OF IMMIGRATION AFFAIRS

                        Subtitle A--Organization

Sec. 1101. Abolition of Immigration and Naturalization Service.
Sec. 1102. Establishment of Directorate of Immigration Affairs.
Sec. 1103. Under Secretary of Homeland Security for Immigration 
              Affairs.
Sec. 1104. Bureau of Immigration Services.
Sec. 1105. Bureau of Enforcement.
Sec. 1106. Office of the Ombudsman within the Directorate.
Sec. 1107. Office of Immigration Statistics within the Directorate.
Sec. 1108. Clerical amendments.

                   Subtitle B--Transition Provisions

Sec. 1111. Transfer of functions.
Sec. 1112. Transfer of personnel and other resources.
Sec. 1113. Determinations with respect to functions and resources.
Sec. 1114. Delegation and reservation of functions.
Sec. 1115. Allocation of personnel and other resources.
Sec. 1116. Savings provisions.
Sec. 1117. Interim service of the Commissioner of Immigration and 
              Naturalization.
Sec. 1118. Other authorities not affected.
Sec. 1119. Transition funding.

                  Subtitle C--Miscellaneous Provisions

Sec. 1121. Funding adjudication and naturalization services.
Sec. 1122. Application of Internet-based technologies.
Sec. 1123. Alternatives to detention of asylum seekers.

                       Subtitle D--Effective Date

Sec. 1131. Effective date.

           TITLE XII--UNACCOMPANIED ALIEN JUVENILE PROTECTION

Sec. 1201. Unaccompanied alien juveniles.

          TITLE XIII--EXECUTIVE OFFICE FOR IMMIGRATION REVIEW

Sec. 1301. Legal status of EOIR.
Sec. 1302. Authorities of the Attorney General.
Sec. 1303. Statutory construction.

               DIVISION C--FEDERAL WORKFORCE IMPROVEMENT

                TITLE XXI--CHIEF HUMAN CAPITAL OFFICERS

Sec. 2101. Short title.
Sec. 2102. Agency Chief Human Capital Officers.
Sec. 2103. Chief Human Capital Officers Council.
Sec. 2104. Strategic human capital management.
Sec. 2105. Effective date.

    TITLE XXII--REFORMS RELATING TO FEDERAL HUMAN CAPITAL MANAGEMENT

Sec. 2201. Inclusion of agency human capital strategic planning in 
              performance plans and programs performance reports.
Sec. 2202. Reform of the competitive service hiring process.
Sec. 2203. Permanent extension, revision, and expansion of authorities 
              for use of voluntary separation incentive pay and 
              voluntary early retirement.
Sec. 2204. Student volunteer transit subsidy.

     TITLE XXIII--REFORMS RELATING TO THE SENIOR EXECUTIVE SERVICE

Sec. 2301. Repeal of recertification requirements of senior executives.
Sec. 2302. Adjustment of limitation on total annual compensation.

                     TITLE XXIV--ACADEMIC TRAINING

Sec. 2401. Academic training.
Sec. 2402. Modifications to National Security Education Program.
Sec. 2403. Compensation time off for travel.
Sec. 2404. Customs User Fees Extension.

                    DIVISION D--NATIONAL COMMISSION

     SEC. 2. DEFINITIONS.

       Unless the context clearly indicates otherwise, the 
     following shall apply for purposes of this Act:
       (1) American homeland or homeland.--Each of the terms 
     ``American homeland'' or ``homeland'' mean the United States, 
     in a geographic sense.
       (2) Critical infrastructure.--The term ``critical 
     infrastructure'' means systems and assets, whether physical 
     or virtual, so vital to the United States that the 
     incapacitation or destruction of such systems or assets would 
     have a debilitating impact on security, national economic 
     security, national public health or safety, or any 
     combination of those matters.
       (3) Assets.--The term ``assets'' includes contracts, 
     facilities, property, records, unobligated or unexpended 
     balances of appropriations, and other funds or resources 
     (other than personnel).
       (4) Department.--The term ``Department'' means the 
     Department of Homeland Security.
       (5) Emergency response providers.--The term ``emergency 
     response providers'' includes Federal, State, and local 
     government emergency public safety, law enforcement, 
     emergency response, emergency medical, and related personnel, 
     agencies, and authorities.
       (6) Executive agency.--The term ``Executive agency'' means 
     an executive agency and a military department, as defined, 
     respectively, in sections 105 and 102 of title 5, United 
     States Code.
       (7) Functions.--The term ``functions'' includes 
     authorities, powers, rights, privileges, immunities, 
     programs, projects, activities, duties, responsibilities, and 
     obligations.
       (8) Key resources.--The term ``key resources'' means 
     structures, monuments or items of exceptional historical, 
     social, cultural, or symbolic significance to the United 
     States.
       (9) Local government.--The term ``local government'' has 
     the meaning given in section 102(6) of the Robert T. Stafford 
     Disaster Relief and Emergency Assistance Act (Public Law 93-
     288).
       (10) Major disaster.--The term ``major disaster'' has the 
     meaning given in section 102(2) of the Robert T. Stafford 
     Disaster Relief and Emergency Assistance Act (Public Law 93-
     288).
       (11) Personnel.--The term ``personnel'' means officers and 
     employees.
       (12) Secretary.--The term ``Secretary'' means the Secretary 
     of Homeland Security.
       (13) United states.--The term ``United States'', when used 
     in a geographic sense, means any State (within the meaning of 
     section 102(4) of the Robert T. Stafford Disaster Relief and 
     Emergency Assistance Act (Public Law 93-288)), any possession 
     of the United States, and any waters within the jurisdiction 
     of the United States.

     SEC. 3. CONSTRUCTION; SEVERABILITY.

       Any provision of this Act held to be invalid or 
     unenforceable by its terms, or as applied to any person or 
     circumstance, shall be construed so as to give it the maximum 
     effect permitted by law, unless such holding shall be one of 
     utter invalidity or unenforceability, in which event such 
     provision shall be deemed severable from this Act and shall 
     not affect the remainder thereof, or the application of such 
     provision to other persons not similarly situated or to 
     other, dissimilar circumstances.

     SEC. 4. EFFECTIVE DATE.

       This Act shall take effect thirty days after the date of 
     enactment or, if enacted within thirty days before January 1, 
     2003, on January 1, 2003.

                     DIVISION A--HOMELAND SECURITY

                TITLE I--DEPARTMENT OF HOMELAND SECURITY

     SEC. 101. EXECUTIVE DEPARTMENT; MISSION.

       (a) Establishment.--There is established a Department of 
     Homeland Security, as an executive department of the United 
     States within the meaning of title 5, United States Code.
       (b) Primary Mission.--
       (1) In general.--The primary mission of the Department is 
     to--
       (A) prevent terrorist attacks within the United States;
       (B) reduce the vulnerability of the United States to 
     terrorism; and
       (C) minimize the damage, and assist in the recovery, from 
     terrorist attacks that do occur within the United States.
       (2) Responsibilities.--In carrying out the mission 
     described in paragraph (1), and as further described in this 
     Act, the Department's primary responsibilities shall 
     include--
       (A) information analysis and infrastructure protection;
       (B) research and development, including efforts to counter 
     chemical, biological, radiological, nuclear, and other 
     emerging threats;
       (C) border and transportation security;
       (D) emergency preparedness and response; and
       (E) coordination (including the provision of training and 
     equipment) with other executive agencies, with State and 
     local government personnel, agencies, and authorities, with 
     the private sector, and with other entities.
       (3) Other responsibilities.--The Department shall also be 
     responsible for carrying out other functions of entities 
     transferred to the Department as provided by law, and the 
     enumeration of the primary homeland security missions and 
     responsibilities in this section does not impair or diminish 
     the Department's non-homeland security missions and 
     responsibilities.

     SEC. 102. SECRETARY; FUNCTIONS.

       (a) Secretary.--
       (1) Appointment.--There is a Secretary of Homeland 
     Security, appointed by the President, by and with the advice 
     and consent of the Senate.

[[Page S9307]]

       (2) Head of department.--The Secretary is the head of the 
     Department and shall have direction, authority, and control 
     over it.
       (3) Vested functions.--All functions of all officers, 
     employees, and organizational units of the Department are 
     vested in the Secretary.
       (b) Functions.--The Secretary--
       (1) may, except as otherwise provided in this Act, delegate 
     any of his functions to any officer, employee, or 
     organizational unit of the Department;
       (2) shall have such functions, including the authority to 
     make contracts, grants, and cooperative agreements, and to 
     enter into agreements with other executive agencies, as may 
     be necessary and proper to carry out his responsibilities 
     under this Act or otherwise provided by law; and
       (3) may, subject to the direction of the President, attend 
     and participate in meetings of the National Security Council.

     SEC. 103. OTHER OFFICERS.

       (a) Deputy Secretary; Under Secretaries.--To assist the 
     Secretary in the performance of his functions, there are the 
     following officers, appointed by the President, by and with 
     the advice and consent of the Senate:
       (1) A Deputy Secretary of Homeland Security, who shall be 
     the Secretary's first assistant for purposes of chapter 33, 
     subchapter 3, of title 5, United States Code.
       (2) An Under Secretary for Information Analysis and 
     Infrastructure Protection.
       (3) An Under Secretary for Science and Technology.
       (4) An Under Secretary for Border and Transportation 
     Security.
       (5) An Under Secretary for Emergency Preparedness and 
     Response.
       (6) An Under Secretary for Management.
       (7) An Under Secretary for Immigration Affairs.
       (8) Not more than 16 Assistant Secretaries.
       (9) A General Counsel, who shall be the chief legal officer 
     of the Department.
       (b) Chief of Immigration Policy.--
       (1) In general.--There shall be within the office of the 
     Deputy Secretary of Homeland Security a Chief of Immigration 
     Policy, who, under the authority of the Secretary, shall be 
     responsible for--
       (A) establishing national immigration policy and 
     priorities; and
       (B) coordinating immigration policy between the Directorate 
     of Immigration Affairs and the Directorate of Border and 
     Transportation Security.
       (2) Within the senior executive service.--The position of 
     Chief of Immigration Policy shall be a Senior Executive 
     Service position under section 5382 of title 5, United States 
     Code.
       (c) Inspector General.--To assist the Secretary in the 
     performance of his functions, there is an Inspector General, 
     who shall be appointed as provided in section 3(a) of the 
     Inspector General Act of 1978.
       (d) Commandant of the Coast Guard.--To assist the Secretary 
     in the performance of his functions, there is a Commandant of 
     the Coast Guard, who shall be appointed as provided in 
     section 44 of title 14, United States Code.
       (e) Other Officers.--To assist the Secretary in the 
     performance of his functions, there are the following 
     officers, appointed by the President:
       (1) A Director of the Secret Service.
       (2) A Chief Financial Officer.
       (3) A Chief Information Officer.
       (4) A Chief Human Capital Officer.
       (f) Performance of Specific Functions.--Subject to the 
     provisions of this Act, every officer of the Department shall 
     perform the functions specified by law for his office or 
     prescribed by the Secretary.

     SEC. 104. OFFICE OF INTERNATIONAL AFFAIRS.

       (a) Establishment.--There is established within the Office 
     of the Secretary, an Office of International Affairs. The 
     Office shall be headed by a Director who shall be appointed 
     by the Secretary.
       (b) Responsibilities of the Director.--The Director shall 
     have the following responsibilities:
       (1) To promote information and education exchange with 
     foreign nations in order to promote sharing of best practices 
     and technologies relating to homeland security. Such 
     information exchange shall include--
       (A) joint research and development on countermeasures;
       (B) joint training exercises of first responders; and
       (C) exchange of expertise on terrorism prevention, 
     response, and crisis management.
       (2) To identify areas for homeland security information and 
     training exchange.
       (3) To plan and undertake international conferences, 
     exchange programs, and training activities.
       (4) To manage activities under this section and other 
     international activities within the Department in 
     consultation with the Department of State and other relevant 
     Federal officials.
       (5) To initially concentrate on fostering cooperation with 
     countries that are already highly focused on homeland 
     security issues and that have demonstrated the capability for 
     fruitful cooperation with the United States in the area of 
     counterterrorism.

      TITLE II--INFORMATION ANALYSIS AND INFRASTRUCTURE PROTECTION

     SEC. 201. DIRECTORATE FOR INFORMATION ANALYSIS AND 
                   INFRASTRUCTURE PROTECTION.

       (a) Under Secretary of Homeland Security for Information 
     Analysis and Infrastructure Protection.--
       (1) In general.--There shall be in the Department a 
     Directorate for Information Analysis and Infrastructure 
     Protection headed by an Under Secretary for Information 
     Analysis and Infrastructure Protection, who shall be 
     appointed by the President, by and with the advice and 
     consent of the Senate.
       (2) Responsibilities.--The Under Secretary shall assist the 
     Secretary in discharging the responsibilities under section 
     101 (b)(2)(A) and (d).
       (b) Assistant Secretary for Information Analysis; Assistant 
     Secretary for Infrastructure Protection.--
       (1) Assistant secretary for information analysis.--There 
     shall be in the Department an Assistant Secretary for 
     Information Analysis, who shall be appointed by the 
     President.
       (2) Assistant secretary for infrastructure protection.--
     There shall be in the Department an Assistant Secretary for 
     Infrastructure Protection, who shall be appointed by the 
     President.
       (3) Responsibilities.--The Assistant Secretary for 
     Information Analysis and the Assistant Secretary for 
     Infrastructure Protection shall assist the Under Secretary 
     for Information Analysis and Infrastructure Protection in 
     discharging the responsibilities of the Under Secretary under 
     this section.
       (c) Discharge of Information Analysis and Infrastructure 
     Protection.--The Secretary shall ensure that the 
     responsibilities of the Department regarding information 
     analysis and infrastructure protection are carried out 
     through the Under Secretary for Information Analysis and 
     Infrastructure Protection.
       (d) Responsibilities of Under Secretary.--Subject to the 
     direction and control of the Secretary, the responsibilities 
     of the Under Secretary for Information Analysis and 
     Infrastructure Protection shall be as follows:
       (1) To access, receive, and analyze law enforcement 
     information, intelligence information, intelligence-related 
     information, and other information from agencies of the 
     Federal Government, State and local government agencies 
     (including law enforcement agencies), and private sector 
     entities, and to integrate such information in order to--
       (A) identify and assess the nature and scope of threats to 
     the homeland;
       (B) detect and identify threats of terrorism against the 
     United States and other threats to homeland security; and
       (C) understand such threats in light of actual and 
     potential vulnerabilities of the homeland.
       (2) To carry out comprehensive assessments of the 
     vulnerabilities of the key resources and critical 
     infrastructure of the United States, including the 
     performance of risk assessments to determine the risks posed 
     by particular types of terrorist attacks within the United 
     States (including an assessment of the probability of success 
     of such attacks and the feasibility and potential efficacy of 
     various countermeasures to such attacks).
       (3) To integrate relevant information, analyses, and 
     vulnerability assessments (whether such information, 
     analyses, or assessments are provided or produced by the 
     Department or others) in order to identify priorities for 
     protective measures and to support protective measures by the 
     Department, other agencies of the Federal Government, State 
     and local government agencies and authorities, the private 
     sector, and other entities.
       (4) To ensure, pursuant to section 202, the timely and 
     efficient access by the Department to all information 
     necessary to discharge the responsibilities under this 
     section, including obtaining such information from other 
     agencies of the Federal Government agencies, and from State 
     and local governments and private sector entities (pursuant 
     to memoranda of understanding or other agreements entered 
     into for that purpose).
       (5) To develop a comprehensive national plan for securing 
     the key resources and critical infrastructure of the United 
     States.
       (6) To take or seek to effect measures necessary to protect 
     the key resources and critical infrastructure of the United 
     States in coordination with other agencies of the Federal 
     Government and in cooperation with State and local government 
     agencies and authorities, the private sector, and other 
     entities.
       (7) To administer the Homeland Security Advisory System, 
     including--
       (A) exercising primary responsibility for public threat 
     advisories; and
       (B) in coordination with other agencies of the Federal 
     Government, providing specific warning information, and 
     advice about appropriate protective measures and 
     countermeasures, to State and local government agencies and 
     authorities, the private sector, other entities, and the 
     public.
       (8) To review, analyze, and make recommendations for 
     improvements in the policies and procedures governing the 
     sharing of law enforcement information, intelligence 
     information, intelligence-related information, and other 
     information relating to homeland security within the Federal 
     Government and between the Federal Government and State and 
     local government agencies and authorities.
       (9) To disseminate, as appropriate, information analyzed by 
     the Department within the Department, to other agencies of 
     the Federal Government with responsibilities relating to 
     homeland security, and to agencies of State and local 
     governments and private

[[Page S9308]]

     sector entities with such responsibilities in order to assist 
     in the deterrence, prevention, preemption of, or response to, 
     terrorist attacks against the United States.
       (10) To consult with the Director of Central Intelligence 
     and other appropriate intelligence, law enforcement, or other 
     elements of the Federal Government to establish collection 
     priorities and strategies for information, including law 
     enforcement-related information, relating to threats of 
     terrorism against the United States through such means as the 
     representation of the Department in discussions regarding 
     requirements and priorities in the collection of such 
     information.
       (11) To consult with State and local governments and 
     private sector entities to ensure appropriate exchanges of 
     information, including law enforcement-related information, 
     relating to threats of terrorism against the United States.
       (12) To ensure that--
       (A) any material received pursuant to this section is 
     protected from unauthorized disclosure and handled and used 
     only for the performance of official duties; and
       (B) any intelligence information shared under this section 
     is transmitted, retained, and disseminated consistent with 
     the authority of the Director of Central Intelligence to 
     protect intelligence sources and methods under the National 
     Security Act of 1947 (50 U.S.C. 401 et seq.) and related 
     procedures and, as appropriate, similar authorities of the 
     Attorney General concerning sensitive law enforcement 
     information.
       (13) To request and obtain additional information from 
     other agencies of the Federal Government, State and local 
     government agencies, and the private sector relating to 
     threats of terrorism in the United States, or relating to 
     other areas of responsibility under section 101, including 
     the entry into cooperative agreements through the Secretary 
     to obtain such information.
       (14) To establish and utilize, in conjunction with the 
     chief information officer of the Department, a secure 
     communications and information technology infrastructure, 
     including data-mining and other advanced analytical tools, in 
     order to access, receive, and analyze data and information in 
     furtherance of the responsibilities under this section, and 
     to disseminate information acquired and analyzed by the 
     Department, as appropriate.
       (15) To ensure, in conjunction with the chief information 
     officer of the Department, that any information databases and 
     analytical tools developed or utilized by the Department--
       (A) are compatible with one another and with relevant 
     information databases of other agencies of the Federal 
     Government; and
       (B) treat information in such databases in a manner that 
     complies with applicable Federal law on privacy.
       (16) To coordinate training and other support to the 
     elements and personnel of the Department, other agencies of 
     the Federal Government, and State and local governments that 
     provide information to the Department, or are consumers of 
     information provided by the Department, in order to 
     facilitate the identification and sharing of information 
     revealed in their ordinary duties and the optimal utilization 
     of information received from the Department.
       (17) To coordinate with elements of the intelligence 
     community and with Federal, State, and local law enforcement 
     agencies, and the private sector, as appropriate.
       (18) To provide intelligence and information analysis and 
     support to other elements of the Department.
       (19) To perform such other duties relating to such 
     responsibilities as the Secretary may provide.
       (e) Staff.--
       (1) In general.--The Secretary shall provide the 
     Directorate with a staff of analysts having appropriate 
     expertise and experience to assist the Directorate in 
     discharging responsibilities under this section.
       (2) Private sector analysts.--Analysts under this 
     subsection may include analysts from the private sector.
       (3) Security clearances.--Analysts under this subsection 
     shall possess security clearances appropriate for their work 
     under this section.
       (f) Detail of Personnel.--
       (1) In general.--In order to assist the Directorate in 
     discharging responsibilities under this section, personnel of 
     the agencies referred to in paragraph (2) may be detailed to 
     the Department for the performance of analytic functions and 
     related duties.
       (2) Covered agencies.--The agencies referred to in this 
     paragraph are as follows:
       (A) The Department of State.
       (B) The Central Intelligence Agency.
       (C) The Federal Bureau of Investigation.
       (D) The National Security Agency.
       (E) The National Imagery and Mapping Agency.
       (F) The Defense Intelligence Agency.
       (G) Any other agency of the Federal Government that the 
     President considers appropriate.
       (3) Cooperative agreements.--The Secretary and the head of 
     the agency concerned may enter into cooperative agreements 
     for the purpose of detailing personnel under this subsection.
       (4) Basis.--The detail of personnel under this subsection 
     may be on a reimbursable or non-reimbursable basis.
       (g) Functions Transferred.--In accordance with title VIII, 
     there shall be transferred to the Secretary, for assignment 
     to the Under Secretary for Information Analysis and 
     Infrastructure Protection under this section, the functions, 
     personnel, assets, and liabilities of the following:
       (1) The National Infrastructure Protection Center of the 
     Federal Bureau of Investigation (other than the Computer 
     Investigations and Operations Section), including the 
     functions of the Attorney General relating thereto.
       (2) The National Communications System of the Department of 
     Defense, including the functions of the Secretary of Defense 
     relating thereto.
       (3) The Critical Infrastructure Assurance Office of the 
     Department of Commerce, including the functions of the 
     Secretary of Commerce relating thereto.
       (4) The Computer Security Division of the National 
     Institute of Standards and Technology, including the 
     functions of the Secretary of Commerce relating thereto.
       (5) The National Infrastructure Simulation and Analysis 
     Center of the Department of Energy and the energy security 
     and assurance program and activities of the Department, 
     including the functions of the Secretary of Energy relating 
     thereto.
       (6) The Federal Computer Incident Response Center of the 
     General Services Administration, including the functions of 
     the Administrator of General Services relating thereto.
       (h) Study of Placement Within Intelligence Community.--Not 
     later than 90 days after the effective date of this Act, the 
     President shall submit to the Committee on Governmental 
     Affairs and the Select Committee on Intelligence of the 
     Senate and the Committee on Government Reform and the 
     Permanent Select Committee on Intelligence of the House of 
     Representatives a report assessing the advisability of the 
     following:
       (1) Placing the elements of the Department concerned with 
     the analysis of foreign intelligence information within the 
     intelligence community under section 3(4) of the National 
     Security Act of 1947 (50 U.S.C. 401a(4)).
       (2) Placing such elements within the National Foreign 
     Intelligence Program for budgetary purposes.

     SEC. 202. ACCESS TO INFORMATION.

       (a) In General.--
       (1) Threat and vulnerability information.--Except as 
     otherwise directed by the President, the Secretary shall have 
     such access as the Secretary considers necessary to all 
     information, including reports, assessments, analyses, and 
     unevaluated intelligence and intelligence-related 
     information, relating to threats of terrorism against the 
     United States and to other areas of responsibility described 
     in section 101 and to all information concerning 
     infrastructure or other vulnerabilities of the United States 
     to terrorism, whether or not such information has been 
     analyzed, that may be collected, possessed, or prepared by 
     any agency of the Federal Government.
       (2) Other information.--The Secretary shall also have 
     access to other information relating to matters under the 
     responsibility of the Secretary that may be collected, 
     possessed, or prepared by an agency of the Federal Government 
     as the President may further provide.
       (b) Manner of Access.--Except as otherwise directed by the 
     President, with respect to information to which the Secretary 
     has access pursuant to this section--
       (1) the Secretary may obtain such material upon request, 
     and may enter into cooperative arrangements with other 
     executive agencies to provide such material or provide 
     Department officials with access to it on a regular or 
     routine basis, including requests or arrangements involving 
     broad categories of material, access to electronic databases, 
     or both; and
       (2) regardless of whether the Secretary has made any 
     request or entered into any cooperative arrangement pursuant 
     to paragraph (1), all agencies of the Federal Government 
     shall promptly provide to the Secretary--
       (A) all reports (including information reports containing 
     intelligence which has not been fully evaluated), 
     assessments, and analytical information relating to threats 
     of terrorism against the United States and to other areas of 
     responsibility under section 101;
       (B) all information concerning the vulnerability of the 
     infrastructure of the United States, or other vulnerabilities 
     of the United States, to terrorism, whether or not such 
     information has been analyzed;
       (C) all other information relating to significant and 
     credible threats of terrorism against the United States, 
     whether or not such information has been analyzed; and
       (D) such other information or material as the President may 
     direct.
       (c) Treatment Under Certain Laws.--The Secretary shall be 
     deemed to be a Federal law enforcement, intelligence, 
     protective, national defense, immigration, or national 
     security official, and shall be provided with all information 
     from law enforcement agencies that is required to be given to 
     the Director of Central Intelligence, under any provision of 
     the following:
       (1) The USA PATRIOT Act of 2001 (Public Law 107-56).
       (2) Section 2517(6) of title 18, United States Code.
       (3) Rule 6(e)(3)(C) of the Federal Rules of Criminal 
     Procedure.
       (d) Access to Intelligence and Other Information.--
       (1) Access by elements of federal government.--Nothing in 
     this title shall preclude any element of the intelligence 
     community (as that term is defined in section

[[Page S9309]]

     3(4) of the National Security Act of 1947 (50 U.S.C. 
     401a(4)), or other any element of the Federal Government with 
     responsibility for analyzing terrorist threat information, 
     from receiving any intelligence or other information relating 
     to terrorism.
       (2) Sharing of information.--The Secretary, in consultation 
     with the Director of Central Intelligence, shall work to 
     ensure that intelligence or other information relating to 
     terrorism to which the Department has access is appropriately 
     shared with the elements of the Federal Government referred 
     to in paragraph (1), as well as with State and local 
     governments, as appropriate.

     SEC. 203. PROTECTION OF VOLUNTARILY FURNISHED CONFIDENTIAL 
                   INFORMATION.

       (a) Definitions.--In this section:
       (1) Critical infrastructure.--The term ``critical 
     infrastructure'' has the meaning given that term in section 
     1016(e) of the USA PATRIOT Act of 2001 (42 U.S.C. 5195(e)).
       (2) Furnished voluntarily.--
       (A) Definition.--The term ``furnished voluntarily'' means a 
     submission of a record that--
       (i) is made to the Department in the absence of authority 
     of the Department requiring that record to be submitted; and
       (ii) is not submitted or used to satisfy any legal 
     requirement or obligation or to obtain any grant, permit, 
     benefit (such as agency forbearance, loans, or reduction or 
     modifications of agency penalties or rulings), or other 
     approval from the Government.
       (B) Benefit.--In this paragraph, the term ``benefit'' does 
     not include any warning, alert, or other risk analysis by the 
     Department.
       (b) In General.--Notwithstanding any other provision of 
     law, a record pertaining to the vulnerability of and threats 
     to critical infrastructure (such as attacks, response, and 
     recovery efforts) that is furnished voluntarily to the 
     Department shall not be made available under section 552 of 
     title 5, United States Code, if--
       (1) the provider would not customarily make the record 
     available to the public; and
       (2) the record is designated and certified by the provider, 
     in a manner specified by the Department, as confidential and 
     not customarily made available to the public.
       (c) Records Shared With Other Agencies.--
       (1) In general.--
       (A) Response to request.--An agency in receipt of a record 
     that was furnished voluntarily to the Department and 
     subsequently shared with the agency shall, upon receipt of a 
     request under section 552 of title 5, United States Code, for 
     the record--
       (i) not make the record available; and
       (ii) refer the request to the Department for processing and 
     response in accordance with this section.
       (B) Segregable portion of record.--Any reasonably 
     segregable portion of a record shall be provided to the 
     person requesting the record after deletion of any portion 
     which is exempt under this section.
       (2) Disclosure of independently furnished records.--
     Notwithstanding paragraph (1), nothing in this section shall 
     prohibit an agency from making available under section 552 of 
     title 5, United States Code, any record that the agency 
     receives independently of the Department, regardless of 
     whether or not the Department has a similar or identical 
     record.
       (d) Withdrawal of Confidential Designation.--The provider 
     of a record that is furnished voluntarily to the Department 
     under subsection (b) may at any time withdraw, in a manner 
     specified by the Department, the confidential designation.
       (e) Procedures.--The Secretary shall prescribe procedures 
     for--
       (1) the acknowledgement of receipt of records furnished 
     voluntarily;
       (2) the designation, certification, and marking of records 
     furnished voluntarily as confidential and not customarily 
     made available to the public;
       (3) the care and storage of records furnished voluntarily;
       (4) the protection and maintenance of the confidentiality 
     of records furnished voluntarily; and
       (5) the withdrawal of the confidential designation of 
     records under subsection (d).
       (f) Effect on State and Local Law.--Nothing in this section 
     shall be construed as preempting or otherwise modifying State 
     or local law concerning the disclosure of any information 
     that a State or local government receives independently of 
     the Department.
       (g) Report.--
       (1) Requirement.--Not later than 18 months after the date 
     of enactment of this Act, the Comptroller General of the 
     United States shall submit to the committees of Congress 
     specified in paragraph (2) a report on the implementation and 
     use of this section, including--
       (A) the number of persons in the private sector, and the 
     number of State and local agencies, that furnished 
     voluntarily records to the Department under this section;
       (B) the number of requests for access to records granted or 
     denied under this section; and
       (C) such recommendations as the Comptroller General 
     considers appropriate regarding improvements in the 
     collection and analysis of sensitive information held by 
     persons in the private sector, or by State and local 
     agencies, relating to vulnerabilities of and threats to 
     critical infrastructure, including the response to such 
     vulnerabilities and threats.
       (2) Committees of congress.--The committees of Congress 
     specified in this paragraph are--
       (A) the Committees on the Judiciary and Governmental 
     Affairs of the Senate; and
       (B) the Committees on the Judiciary and Government Reform 
     and Oversight of the House of Representatives.
       (3) Form.--The report shall be submitted in unclassified 
     form, but may include a classified annex.

   TITLE III--SCIENCE AND TECHNOLOGY IN SUPPORT OF HOMELAND SECURITY

     SEC. 301. UNDER SECRETARY FOR SCIENCE AND TECHNOLOGY.

       There shall be in the Department a Directorate of Science 
     and Technology headed by an Under Secretary for Science and 
     Technology.

     SEC. 302. RESPONSIBILITIES AND AUTHORITIES OF THE UNDER 
                   SECRETARY FOR SCIENCE AND TECHNOLOGY.

       In assisting the Secretary with the responsibility 
     specified in section 101(b)(2)(B), the primary 
     responsibilities of the Under Secretary for Science and 
     Technology shall include--
       (1) advising the Secretary regarding research and 
     development efforts and priorities in support of the 
     Department's missions;
       (2) supporting all elements of the Department in research, 
     development, testing, evaluation and deployment of science 
     and technology that is applicable in the detection of, 
     prevention of, protection against, response to, attribution 
     of, and recovery from homeland security threats, particularly 
     acts of terrorism;
       (3) to support the Under Secretary for Information Analysis 
     and Infrastructure Protection, by assessing and testing 
     homeland security vulnerabilities and possible threats;
       (4) conducting a national scientific research and 
     development program to support the mission of the Department, 
     including developing national policy for and coordinating the 
     Federal Government's civilian efforts to identify, devise, 
     and implement scientific, technological, and other 
     countermeasures to chemical, biological, radiological, 
     nuclear, and other emerging terrorist threats, including 
     directing, funding and conducting research and development 
     relating to the same;
       (5) establishing priorities for, directing, funding, and 
     conducting national research, development, test and 
     evaluation, and procurement of technology and systems--
       (A) for preventing the importation of chemical, biological, 
     radiological, nuclear, and related weapons and material; and
       (B) for detecting, preventing, protecting against, and 
     responding to terrorist attacks;
       (6) establishing a system for transferring homeland 
     security developments or technologies to federal, state, 
     local government, and private sector entities;
       (7) entering into joint sponsorship agreements with the 
     Department of Energy regarding the use of the national 
     laboratories or sites and support of the science and 
     technology base at those facilities;
       (8) collaborating with the Secretary of Agriculture in 
     determining the biological agents and toxins that shall be 
     included on the list of biological agents and toxins required 
     under section 212(a) of the Agricultural Bioterrorism 
     Protection Act of 2002 (7 U.S.C. 8401);
       (9) collaborating with the Secretary of Health and Human 
     Services in determining the biological agents and toxins that 
     shall be listed as ``select agents'' in Appendix A of part 72 
     of title 42, Code of Federal Regulations, pursuant to section 
     351A of the Public Health Service Act (42 U.S.C. 262a); and
       (10) supporting United States leadership in science and 
     technology.

     SEC. 303. FUNCTIONS TRANSFERRED.

       In accordance with title VIII, there shall be transferred 
     to the Secretary the functions, personnel, assets, and 
     liabilities of the following entities:
       (1) The following programs and activities of the Department 
     of Energy, including the functions of the Secretary of Energy 
     relating thereto (but not including programs and activities 
     relating to the strategic nuclear defense posture of the 
     United States):
       (A) The chemical and biological national security and 
     supporting programs and activities of the nonproliferation 
     and verification research and development program.
       (B) The nuclear smuggling programs and activities within 
     the proliferation detection program of the nonproliferation 
     and verification research and development program. The 
     programs and activities described in this subparagraph may be 
     designated by the President either for transfer to the 
     Department or for joint operation by the Secretary and the 
     Secretary of Energy.
       (C) The nuclear assessment program and activities of the 
     assessment, detection, and cooperation program of the 
     international materials protection and cooperation program.
       (D) Such life sciences activities of the biological and 
     environmental research program related to microbial pathogens 
     as may be designated by the President for transfer to the 
     Department.
       (E) The Environmental Measurements Laboratory.
       (F) The advanced scientific computing research program and 
     activities at Lawrence Livermore National Laboratory.
       (2) The National Bio-Weapons Defense Analysis Center of the 
     Department of Defense, including the functions of the 
     Secretary of Defense related thereto.

[[Page S9310]]

       (3) The Plum Island Animal Disease Center of the Department 
     of Agriculture, including the functions of the Secretary of 
     Agriculture relating thereto, as provided in section 310.
       (4)(A) Except as provided in subparagraph (B)--
       (i) the functions of the Select Agent Registration Program 
     of the Department of Health and Human Services, including all 
     functions of the Secretary of Health and Human Services under 
     title II of the Public Health Security and Bioterrorism 
     Preparedness and Response Act of 2002 (Public Law 107-188); 
     and
       (ii) the functions of the Department of Agriculture under 
     the Agricultural Bioterrorism Protection Act of 2002 (7 
     U.S.C. 8401 et seq.).
       (B)(i) The Secretary shall collaborate with the Secretary 
     of Health and Human Services in determining the biological 
     agents and toxins that shall be listed as ``select agents'' 
     in Appendix A of part 72 of title 42, Code of Federal 
     Regulations, pursuant to section 351A of the Public Health 
     Service Act (42 U.S.C. 262a).
       (ii) The Secretary shall collaborate with the Secretary of 
     Agriculture in determining the biological agents and toxins 
     that shall be included on the list of biological agents and 
     toxins required under section 212(a) of the Agricultural 
     Bioterrorism Protection Act of 2002 (7 U.S.C. 8401).
       (C) In promulgating regulations pursuant to the functions 
     described in subparagraph (A), the Secretary shall act in 
     collaboration with the Secretary of Health and Human Services 
     and the Secretary of Agriculture.

     SEC. 304. CONDUCT OF CERTAIN PUBLIC HEALTH-RELATED 
                   ACTIVITIES.

       (a) In General.--Except as the President may otherwise 
     direct, the Secretary shall carry out his civilian human 
     health-related biological, biomedical, and infectious disease 
     defense research and development (including vaccine research 
     and development) responsibilities through the Department of 
     Health and Human Services (including the Public Health 
     Service), under agreements with the Secretary of Health and 
     Human Services, and may transfer funds to him in connection 
     with such agreements.
       (b) Establishment of Program.--With respect to any 
     responsibilities carried out through the Department of Health 
     and Human Services under this subsection, the Secretary, in 
     consultation with the Secretary of Health and Human Services, 
     shall have the authority to establish the research and 
     development program, including the setting of priorities.

     SEC. 305. RESEARCH IN CONJUNCTION WITH THE DEPARTMENT OF 
                   HEALTH AND HUMAN SERVICES AND OTHER 
                   DEPARTMENTS.

       With respect to such other research and development 
     responsibilities under this title, including health-related 
     chemical, radiological, and nuclear defense research and 
     development responsibilities, as the Secretary may elect to 
     carry out through the Department of Health and Human Services 
     (including the Public Health Service) (under agreements with 
     the Secretary of Health and Human Services) or through other 
     Federal agencies (under agreements with their respective 
     heads), the Secretary may transfer funds to the Secretary of 
     Health and Human Services, or to such heads, as the case may 
     be.

     SEC. 306. HOMELAND SECURITY ADVANCED RESEARCH PROJECTS 
                   AGENCY.

       (a) Definitions.--In this section:
       (1) Fund.--The term ``Fund'' means the Acceleration Fund 
     for Research and Development of Homeland Security 
     Technologies established under this section.
       (2) Homeland security research and development.--The term 
     ``homeland security research and development'' means research 
     and development of technologies that are applicable in the 
     detection of, prevention of, protection against, response to, 
     attribution of, and recovery from homeland security threats, 
     particularly acts of terrorism.
       (3) HSARPA.--The term ``HSARPA'' means the Homeland 
     Security Advanced Research Projects Agency established under 
     this section.
       (4) Under secretary.--The term ``Under Secretary'' means 
     the Under Secretary for Science and Technology or the 
     designee of that Under Secretary.
       (b) Purposes.--The purposes of this section are to--
       (1) establish the Homeland Security Advanced Research 
     Projects Agency to prioritize and fund homeland security 
     research and development using the acceleration fund; and
       (2) establish a fund to leverage existing research and 
     development and accelerate the deployment of technology that 
     will serve to enhance homeland defense.
       (c) Fund.--
       (1) Establishment.--There is established the Acceleration 
     Fund for Research and Development of Homeland Security 
     Technologies.
       (2) Use of fund.--The Fund may be used to--
       (A) accelerate research, development, testing and 
     evaluation, and deployment of critical homeland security 
     technologies; and
       (B) support homeland security research and development.
       (3) Authorization of appropriations.--There are authorized 
     to be appropriated $500,000,000 to the Fund for fiscal year 
     2003, and such sums as may be necessary in subsequent years.
       (4) Transition of Funds.--With respect to such research, 
     development, testing, and evaluation responsibilities under 
     this section as the Secretary may elect to carry out through 
     agencies other than the Department (under agreements with 
     their respective heads), the Secretary may transfer funds to 
     such heads. Of the funds authorized to be appropriated under 
     paragraph (3) for the Fund, not less than 10 percent of such 
     funds for each fiscal year through fiscal year 2005 shall be 
     authorized only for the Under Secretary, through joint 
     agreement with the Commandant of the Coast Guard, to carry 
     out research and development of improved ports, waterways, 
     and coastal security surveillance and perimeter protection 
     capabilities for the purpose of minimizing the possibility 
     that Coast Guard cutters, aircraft, helicopters, and 
     personnel will be diverted from non-homeland security 
     missions to the ports, waterways, and coastal security 
     mission.
       (d) Responsibilities of the Homeland Security Advanced 
     Research Projects Agency.--The Homeland Security Advance 
     Research Project Agency shall have the following 
     responsibilities:
       (1) To facilitate effective communication among 
     departments, agencies, and other entities of the Federal 
     Government, with respect to the conduct of research and 
     development related to homeland security.
       (2) To identify, by consensus and on a yearly basis, 
     specific technology areas for which the Fund shall be used to 
     rapidly transition homeland security research and development 
     into deployed technology and reduce identified homeland 
     security vulnerabilities. The identified technology areas 
     shall, as determined by the Homeland Security Advanced 
     Research Projects Agency, be areas in which there exist 
     research and development projects that address identified 
     homeland security vulnerabilities and can be accelerated to 
     the stage of prototyping, evaluating, transitioning, or 
     deploying.
       (3) To administer the Fund, including--
       (A) issuing an annual multiagency program announcement 
     soliciting proposals from government entities, federally 
     funded research and development centers, industry, and 
     academia;
       (B) competitively selecting, on the basis of a merit-based 
     review, proposals that advance the state of deployed 
     technologies in the areas identified for that year;
       (C) at the discretion of the HSARPA, assigning 1 or more 
     program managers to oversee, administer, and execute a Fund 
     project as the agent of HSARPA; and
       (D) providing methods of funding, including grants, 
     cooperative agreements, joint sponsorship agreements, or any 
     other transaction.
       (4) With respect to expenditures from the Fund, exercise 
     acquisition authority consistent with the authority described 
     under section 2371 of title 10, United States Code, relating 
     to authorizing cooperative agreements and other transactions.
       (5) In hiring personnel to assist in the administration of 
     the HSARPA, have the authority to exercise the personnel 
     hiring and management authorities described in section 1101 
     of the Strom Thurmond National Defense Authorization Act for 
     Fiscal Year 1999 (5 U.S.C. 3104 note; Public Law 105-261) 
     with the stipulation that the Secretary shall exercise such 
     authority for a period of 7 years commencing on the date of 
     enactment of this Act, that a maximum of 100 persons may be 
     hired under such authority, and that the term of appointments 
     for employees under subsection (c)(1) of that section may not 
     exceed 5 years before the granting of any extension under 
     subsection (c)(2) of that section.
       (6) Develop and oversee the implementation of periodic 
     homeland security technology demonstrations, held at least 
     annually, for the purpose of improving contact between 
     technology developers, vendors, and acquisition personnel 
     associated with related industries.

     SEC. 307. MISCELLANEOUS AUTHORITIES RELATING TO NATIONAL 
                   LABORATORIES.

       (a) In General.--The limitation of the number of employees 
     of the Department of Energy national laboratories assigned to 
     Washington, D.C. shall not apply to those employees who, at 
     the request of the Secretary, are assigned, on a temporary 
     basis, to assist in the establishment of the Department.
       (b) Direct Tasking.--Notwithstanding any other law 
     governing the administration, mission, use, or operations of 
     any of the Department of Energy national laboratories and 
     sites, such laboratories and sites are authorized to accept 
     direct tasking from the Secretary or his designee, consistent 
     with resources provided, and perform such tasking on an equal 
     basis to other missions at the laboratory and not on a 
     noninterference basis with other missions of such laboratory 
     or site.

     SEC. 308. HOMELAND SECURITY INSTITUTE.

       Within the Directorate of Science and Technology there 
     shall be established a Homeland Security Institute as a 
     separate federally funded research and development center 
     under the direction of the Under Secretary to perform policy 
     and systems analysis, assist in the definition of standards 
     and metrics, assist agencies with evaluating technologies for 
     deployment, proposing risk management strategies based on 
     technology developments, and performing other appropriate 
     research and analysis to improve policy and decisionmaking as 
     it relates to the mission of the Department. The Homeland 
     Security Institute shall utilize the capabilities of the 
     National Infrastructure Simulation and Analysis Center.

[[Page S9311]]

     SEC. 309. UTILIZATION OF DEPARTMENT OF ENERGY NATIONAL 
                   LABORATORIES AND SITES IN SUPPORT OF HOMELAND 
                   SECURITY ACTIVITIES.

       (a) Office for National Laboratories.--There is established 
     within the Directorate of Science and Technology an Office 
     for National Laboratories, which shall be responsible for the 
     coordination and utilization of the Department of Energy 
     national laboratories and sites in a manner to create a 
     networked laboratory system for the purpose of supporting the 
     missions of the Department.
       (b) Joint Sponsorship.--The Department may be a joint 
     sponsor, under a multiple agency sponsorship arrangement with 
     the Department of Energy, of 1 or more Department of Energy 
     national laboratories in the performance of work.
       (c) Arrangements.--The Department may be a joint sponsor of 
     a Department of Energy site in the performance of work as if 
     such site were a federally funded research and development 
     center and the work were performed under a multiple agency 
     sponsorship arrangement with the Department.
       (d) Primary Sponsor.--The Department of Energy shall be the 
     primary sponsor under a multiple agency sponsorship 
     arrangement entered into under subsection (a) or (b).
       (e) Lead Agent.--
       (1) In general.--The Secretary of Energy shall act as the 
     lead agent in coordinating the formation and performance of a 
     joint sponsorship agreement between the Department and a 
     Department of Energy national laboratory or site for work on 
     homeland security.
       (2) Federal acquisition regulation.--Any work performed by 
     a national laboratory or site under this section shall comply 
     with the policy on the use of federally funded research and 
     development centers under section 35.017(a) (4) of the 
     Federal Acquisition Regulation.
       (f) Funding.--The Department shall provide funds for work 
     at the Department of Energy national laboratories or sites, 
     as the case may be, under this section under the same terms 
     and conditions as apply to the primary sponsor of such 
     national laboratory under section 303(b)(1)(C) of the Federal 
     Property and Administrative Services Act of 1949 (41 U.S.C. 
     253 (b)(1)(C)) or of such site to the extent such section 
     applies to such site as a federally funded research and 
     development center by reason of subsection (b).
       (g) Authorities of Secretary and Under Secretary.--In 
     connection with work involving the Department of Energy 
     national laboratories or sites, the Secretary or Under 
     Secretary for Science and Technology--
       (1) may enter into joint sponsorship agreements with 
     Department of Energy national laboratories or sites;
       (2) may directly fund, task, and manage work at the 
     Department of Energy national laboratories and sites; and
       (3) may permit the director of any Department of Energy 
     national laboratory or site to enter into cooperative 
     research and development agreements or to negotiate licensing 
     agreements with any person, any agency or instrumentality, of 
     the United States, any unit of State or local government, and 
     any other entity under the authority granted by section 12 of 
     the Stevenson-Wydler Technology Innovation Act of 1980 (15 
     U.S.C. 3710a). Technology may be transferred to a non-Federal 
     party to such an agreement consistent with the provisions of 
     sections 11 and 12 of such Act (15 U.S.C. 3710, 3710a).

     SEC. 310. TRANSFER OF PLUM ISLAND ANIMAL DISEASE CENTER, 
                   DEPARTMENT OF AGRICULTURE.

       (a) In General.--In accordance with title VIII, the 
     Secretary of Agriculture shall transfer to the Secretary of 
     Homeland Security the Plum Island Animal Disease Center of 
     the Department of Agriculture, including the assets and 
     liabilities of the Center.
       (b) Continued Department of Agriculture Access.--On 
     completion of the transfer of the Plum Island Animal Disease 
     Center under subsection (a), the Secretary of Homeland 
     Security and the Secretary of Agriculture shall enter into an 
     agreement to ensure that the Department of Agriculture is 
     able to carry out research, diagnostic, and other activities 
     of the Department of Agriculture at the Center.
       (c) Direction of Activities.--The Secretary of Agriculture 
     shall continue to direct the research, diagnostic, and other 
     activities of the Department of Agriculture at the Center 
     described in subsection (b).
       (d) Notification.--
       (1) In general.--At least 180 days before any change in the 
     biosafety level at the Plum Island Animal Disease Center, the 
     President shall notify Congress of the change and describe 
     the reasons for the change.
       (2) Limitation.--No change described in paragraph (1) may 
     be made earlier than 180 days after the completion of the 
     transition period (as defined in section 801(2)).

     SEC. 311. CLEARINGHOUSE.

       (a) In General.--The Secretary, acting through the Under 
     Secretary for Science and Technology, shall provide for a 
     clearinghouse as a central, national point of entry for 
     individuals or companies seeking guidance on how to pursue 
     proposals to develop or deploy products that would contribute 
     to homeland security. Such clearinghouse shall refer those 
     seeking guidance on Federal funding, regulation, acquisition, 
     or other matters to the appropriate unit of the Department or 
     to other appropriate Federal agencies.
       (b) Screenings and Assessments.--The Under Secretary for 
     Science and Technology shall work in conjunction with the 
     Technical Support Working Group (organized under the April 
     1982, National Security Decision Directive Numbered 30) to--
       (1) screen proposals described in subsection (a), as 
     appropriate;
       (2) assess the feasibility, scientific and technical 
     merits, and estimated cost of proposals screened under 
     paragraph (1), as appropriate; and
       (3) identify areas where existing technologies may be 
     easily adapted and deployed to meet the homeland security 
     agenda of the Federal Government.

              TITLE IV--BORDER AND TRANSPORTATION SECURITY

     SEC. 401. UNDER SECRETARY FOR BORDER AND TRANSPORTATION 
                   SECURITY.

       There shall be in the Department a Directorate for Border 
     and Transportation Security headed by an Under Secretary for 
     Border and Transportation Security.

     SEC. 402. RESPONSIBILITIES.

       In assisting the Secretary with the responsibilities 
     specified in section 101(b)(2)(C), the primary 
     responsibilities of the Under Secretary for Border and 
     Transportation Security shall include--
       (1) preventing the entry of terrorists and the instruments 
     of terrorism into the United States;
       (2) securing the borders, territorial waters, ports, 
     terminals, waterways, and air, land, and sea transportation 
     systems of the United States, including managing and 
     coordinating governmental activities at ports of entry;
       (3) administering the immigration and naturalization laws 
     of the United States, including the establishment of rules, 
     in accordance with section 406, governing the granting of 
     visas or other forms of permission, including parole, to 
     enter the United States to individuals who are not citizens 
     or lawful permanent residents thereof;
       (4) administering the customs laws of the United States;
       (5) in carrying out the foregoing responsibilities, 
     ensuring the speedy, orderly, and efficient flow of lawful 
     traffic and commerce;
       (6) carrying out the border patrol function; and
       (7) administering and enforcing the functions of the 
     Department under the immigration laws of the United States 
     with respect to the inspection of aliens arriving at ports of 
     entry of the United States.

     SEC. 403. FUNCTIONS TRANSFERRED.

       (a) In General.--In accordance with title VIII, there shall 
     be transferred to the Secretary the functions, personnel, 
     assets, and liabilities of--
       (1) the United States Customs Service of the Department of 
     the Treasury, including the functions of the Secretary of the 
     Treasury relating thereto;
       (2) the Transportation Security Administration of the 
     Department of Transportation, including the functions of the 
     Secretary of Transportation, and of the Under Secretary of 
     Transportation for Security, relating thereto;
       (3) the Federal Protective Service of the General Services 
     Administration, including the functions of the Administrator 
     of General Services relating thereto; and
       (4) the Federal Law Enforcement Training Center of the 
     Department of the Treasury.
       (b) Exercise of Customs Revenue Authorities.--
       (1) In general.--
       (A) Authorities not transferred.--Notwithstanding 
     subsection (a)(1), authority that was vested in the Secretary 
     of the Treasury by law to issue regulations related to 
     customs revenue functions before the effective date of this 
     section under the provisions of law set forth under paragraph 
     (2) shall not be transferred to the Secretary by reason of 
     this Act. The Secretary of the Treasury, with the concurrence 
     of the Secretary, shall exercise this authority. The 
     Commissioner of Customs is authorized to engage in activities 
     to develop and support the issuance of the regulations 
     described in this paragraph. The Secretary shall be 
     responsible for the implementation and enforcement of 
     regulations issued under this section.
       (B) Report.--Not later than 60 days after the date of 
     enactment of this Act, the Secretary of the Treasury shall 
     submit a report to the Committee on Finance of the Senate and 
     the Committee on Ways and Means of the House of 
     Representatives of proposed conforming amendments to the 
     statutes set forth under paragraph (2) in order to determine 
     the appropriate allocation of legal authorities described 
     under this subsection. The Secretary of the Treasury shall 
     also identify those authorities vested in the Secretary of 
     the Treasury that are exercised by the Commissioner of 
     Customs on or before the effective date of this section.
       (C) Liability.--Neither the Secretary of the Treasury nor 
     the Department of the Treasury shall be liable for or named 
     in any legal action concerning the implementation and 
     enforcement of regulations issued under this paragraph after 
     the effective date of this Act.
       (2) Applicable laws.--The provisions of law referred to 
     under paragraph (1) are those sections of the following 
     statutes that relate to customs revenue functions:
       (A) The Tariff Act of 1930.
       (B) Section 249 of the Revised Statutes of the United 
     States (19 U.S.C. 3).
       (C) Section 2 of the Act of March 4, 1923 (19 U.S.C. 6).

[[Page S9312]]

       (D) Section 13031 of the Consolidated Omnibus Budget 
     Reconciliation Act of 1985 (19 U.S.C. 58c).
       (E) Section 251 of the Revised States of the United States 
     (19 U.S.C. 66).
       (F) Section 1 of the Act of June 26, 1930 (19 U.S.C. 68).
       (G) The Foreign Trade Zones Act (19 U.S.C. 81a et seq.).
       (H) Section 1 of the Act of March 2, 1911 (19 U.S.C. 198).
       (I) The Trade Act of 1974.
       (J) The Trade Agreement Act of 1979.
       (K) The North American Free Trade Area Implementation Act.
       (L) The Uruguay Round Agreements Act.
       (M) The Caribbean Basin Economic Recovery Act.
       (N) The Andean Growth and Opportunity Act.
       (O) Any other provision of law vesting customs revenue 
     functions in the Secretary of the Treasury.
       (3) Definitions of customs revenue functions.--In this 
     subsection, the term ``customs revenue functions'' means--
       (A) assessing, collecting, and refunding duties (including 
     any special duties), excise taxes, fees, and any liquidated 
     damages or penalties due on imported merchandise, including 
     classifying and valuing merchandise and the procedures for 
     ``entry'' as that term is defined in the United States 
     Customs laws;
       (B) administering section 337 of the Tariff Act of 1930 and 
     provisions relating to import quotas and the marking of 
     imported merchandise, and providing Customs Recordation for 
     copyrights, patents, and trademarks;
       (C) collecting accurate import data for compilation of 
     international trade statistics; and
       (D) administering reciprocal trade agreements and trade 
     preference legislation.

     SEC. 404. TRANSFER OF CERTAIN AGRICULTURAL INSPECTION 
                   FUNCTIONS OF THE DEPARTMENT OF AGRICULTURE.

       (a) Transfer of Agricultural Import and Entry Inspection 
     Functions.--There shall be transferred to the Secretary the 
     functions of the Secretary of Agriculture relating to 
     agricultural import and entry inspection activities under the 
     laws specified in subsection (b).
       (b) Covered Animal and Plant Protection Laws.--The laws 
     referred to in subsection (a) are the following:
       (1) The Act commonly known as the Virus-Serum-Toxin Act 
     (the eighth paragraph under the heading ``Bureau of Animal 
     Industry'' in the Act of March 4, 1913; 21 U.S.C. 151 et 
     seq.).
       (2) The first section of the Act of August 31, 1922 
     (commonly known as the Honeybee Act; 7 U.S.C. 281).
       (3) Title III of the Federal Seed Act (7 U.S.C. 1581 et 
     seq.).
       (4) The Plant Protection Act (7 U.S.C. 7701 et seq.).
       (5) The Animal Health Protection Act (subtitle E of title X 
     of Public Law 107-171; 7 U.S.C. 8301 et seq.).
       (6) The Lacey Act Amendments of 1981 (16 U.S.C. 3371 et 
     seq.).
       (7) Section 11 of the Endangered Species Act of 1973 (16 
     U.S.C. 1540).
       (c) Exclusion of Quarantine Activities.--For purposes of 
     this section, the term ``functions'' does not include any 
     quarantine activities carried out under the laws specified in 
     subsection (b).
       (d) Effect of Transfer.--
       (1) Compliance with department of agriculture 
     regulations.--The authority transferred pursuant to 
     subsection (a) shall be exercised by the Secretary in 
     accordance with the regulations, policies, and procedures 
     issued by the Secretary of Agriculture regarding the 
     administration of the laws specified in subsection (b).
       (2) Rulemaking coordination.--The Secretary of Agriculture 
     shall coordinate with the Secretary whenever the Secretary of 
     Agriculture prescribes regulations, policies, or procedures 
     for administering the laws specified in subsection (b) at the 
     locations referred to in subsection (a).
       (3) Effective administration.--The Secretary, in 
     consultation with the Secretary of Agriculture, may issue 
     such directives and guidelines as are necessary to ensure the 
     effective use of personnel of the Department to carry out the 
     functions transferred pursuant to subsection (a).
       (e) Transfer Agreement.--
       (1) Agreement required; revision.--Before the end of the 
     transition period, as defined in section 801(2), the 
     Secretary of Agriculture and the Secretary shall enter into 
     an agreement to effectuate the transfer of functions required 
     by subsection (a). The Secretary of Agriculture and the 
     Secretary may jointly revise the agreement as necessary 
     thereafter.
       (2) Required terms.--The agreements required by this 
     subsection shall provide for the following:
       (A) The supervision by the Secretary of Agriculture of the 
     training of employees of the Department to carry out the 
     functions transferred pursuant to subsection (a).
       (B) The transfer of funds to the Secretary under subsection 
     (f).
       (C) Authority under which the Secretary may perform 
     functions that are delegated to the Animal and Plant 
     Inspection Service of the Department of Agriculture regarding 
     the protection of domestic livestock and plants, but not 
     transferred to the Secretary pursuant to subsection (a).
       (D) Authority under which the Secretary of Agriculture may 
     use employees of the Department to carry out authorities 
     delegated to the Animal and Plant Health Inspection Service 
     regarding the protection of domestic livestock and plants.
       (f) Periodic Transfer of Funds to Department of Homeland 
     Security.--
       (1) Transfer of funds.--Subject to paragraph (2), out of 
     any funds collected as fees under sections 2508 and 2509 of 
     the Food, Agriculture, Conservation, and Trade Act of 1990 
     (21 U.S.C. 136, 136a), the Secretary of Agriculture shall 
     periodically transfer to the Secretary, in accordance with 
     the agreement under subsection (e), funds for activities 
     carried out by the Secretary for which the fees were 
     collected.
       (2) Limitation.--The proportion of fees collected under 
     sections 2508 and 2509 of the Food, Agriculture, 
     Conservation, and Trade Act of 1990 (21 U.S.C. 136, 136a) 
     that are transferred to the Secretary under paragraph (1) may 
     not exceed the proportion that--
       (A) the costs incurred by the Secretary to carry out 
     activities funded by those fees; bears to
       (B) the costs incurred by the Federal Government to carry 
     out activities funded by those fees.
       (g) Transfer of Department of Agriculture Employees.--Not 
     later than the completion of the transition period (as 
     defined in section 801(2)), the Secretary of Agriculture 
     shall transfer to the Department not more than 3,200 full-
     time equivalent positions of the Department of Agriculture.
       (h) Protection of Inspection Animals.--Title V of the 
     Agricultural Risk Protection Act of 2002 (7 U.S.C. 2279e, 
     2279f) is amended--
       (1) in section 501(a)--
       (A) by inserting ``or the Department of Homeland Security'' 
     after ``Department of Agriculture''; and
       (B) by inserting ``or the Secretary of Homeland Security'' 
     after ``Secretary of Agriculture'';
       (2) by striking ``Secretary'' each place it appears (other 
     than in sections 501(a) and 501(e)) and inserting ``Secretary 
     concerned''; and
       (3) by adding at the end of section 501 the following:
       ``(i) Secretary Concerned Defined.--In this title, the term 
     `Secretary concerned' means--
       ``(1) the Secretary of Agriculture, with respect to an 
     animal used for purposes of official inspections by the 
     Department of Agriculture; and
       ``(2) the Secretary of Homeland Security, with respect to 
     an animal used for purposes of official inspections by the 
     Department of Homeland Security.''.
       (j) Conforming Amendments.--
       (1) Section 501 of the Agricultural Risk Protection Act of 
     2000 (7 U.S.C. 2279e) is amended--
       (A) in subsection (a)--
       (i) by inserting ``or the Department of Homeland Security'' 
     after ``Department of Agriculture''; and
       (ii) by inserting ``or the Secretary of Homeland Security'' 
     after ``Secretary of Agriculture''; and
       (B) by striking ``Secretary'' each place it appears (other 
     than in subsections (a) and (e)) and inserting ``Secretary 
     concerned''.
       (2) Section 221 of the Public Health Security and 
     Bioterrorism Preparedness and Response Act of 2002 (7 U.S.C. 
     8411) is repealed.

     SEC. 405. COORDINATION OF INFORMATION AND INFORMATION 
                   TECHNOLOGY.

       (a) Definition of Affected Agency.--In this section, the 
     term ``affected agency'' means--
       (1) the Department;
       (2) the Department of Agriculture;
       (3) the Department of Health and Human Services; and
       (4) any other department or agency determined to be 
     appropriate by the Secretary.
       (b) Coordination.--The Secretary, in coordination with the 
     Secretary of Agriculture, the Secretary of Health and Human 
     Services, and the head of each other department or agency 
     determined to be appropriate by the Secretary, shall ensure 
     that appropriate information (as determined by the Secretary) 
     concerning inspections of articles that are imported or 
     entered into the United States, and are inspected or 
     regulated by 1 or more affected agencies, is timely and 
     efficiently exchanged between the affected agencies.
       (c) Report and Plan.--Not later than 18 months after the 
     date of enactment of this Act, the Secretary, in consultation 
     with the Secretary of Agriculture, the Secretary of Health 
     and Human Services, and the head of each other department or 
     agency determined to be appropriate by the Secretary, shall 
     submit to Congress--
       (1) a report on the progress made in implementing this 
     section; and
       (2) a plan to complete implementation of this section.

     SEC. 406. VISA ISSUANCE.

       (a) Definition.--In this subsection, the term ``consular 
     office'' has the meaning given that term under section 
     101(a)(9) of the Immigration and Nationality Act (8 U.S.C. 
     1101(a)(9)).
       (b) In General.--Notwithstanding section 104(a) of the 
     Immigration and Nationality Act (8 U.S.C. 1104(a)) or any 
     other provision of law, and except as provided in subsection 
     (c) of this section, the Secretary--
       (1) shall be vested exclusively with all authorities to 
     issue regulations with respect to, administer, and enforce 
     the provisions of

[[Page S9313]]

     such Act, and of all other immigration and nationality laws, 
     relating to the functions of consular officers of the United 
     States in connection with the granting or refusal of visas 
     which authorities shall be exercised through the Secretary of 
     State, except that the Secretary shall not have authority to 
     alter or reverse the decision of a consular officer to refuse 
     a visa to an alien;
       (2) may delegate in whole or part the authority under 
     subparagraph (A) to the Secretary of State; and
       (3) shall have authority to confer or impose upon any 
     officer or employee of the United States, with the consent of 
     the head of the executive agency under whose jurisdiction 
     such officer or employee is serving, any of the functions 
     specified in paragraph (1).
       (c) Authority of the Secretary of State.--
       (1) In general.--Notwithstanding subsection (b), the 
     Secretary of State may direct a consular officer to refuse a 
     visa to an alien if the Secretary of State deems such refusal 
     necessary or advisable in the foreign policy or security 
     interests of the United States.
       (2) Construction regarding authority.--Nothing in this 
     section shall be construed as affecting the authorities of 
     the Secretary of State under the following provisions of law:
       (A) Section 101(a)(15)(A) of the Immigration and 
     Nationality Act (8 U.S.C. 1101(a)(15)(A)).
       (B) Section 204(d)(2) of the Immigration and Nationality 
     Act (8 U.S.C. 1154) (as it will take effect upon the entry 
     into force of the Convention on Protection of Children and 
     Cooperation in Respect to Inter-Country adoption).
       (C) Section 212(a)(3)(B)(i)(IV)(bb) of the Immigration and 
     Nationality Act (8 U.S.C. 1182(a)(3)(B)(i)(IV)(bb)).
       (D) Section 212(a)(3)(B)(i)(VI) of the Immigration and 
     Nationality Act (8 U.S.C. 1182(a)(3)(B)(i)(VI)).
       (E) Section 212(a)(3)(B)(vi)(II) of the Immigration and 
     Nationality Act (8 U.S.C. 1182(a)(3)(B)(vi)(II)).
       (F) Section 212(a)(3(C) of the Immigration and Nationality 
     Act (8 U.S.C. 1182(a)(3)(C)).
       (G) Section 212(a)(10)(C) of the Immigration and 
     Nationality Act (8 U.S.C. 1182(a)(10)(C)).
       (H) Section 212(f) of the Immigration and Nationality Act 
     (8 U.S.C. 1182(f)).
       (I) Section 219(a) of the Immigration and Nationality Act 
     (8 U.S.C. 1189(a)).
       (J) Section 237(a)(4)(C) of the Immigration and Nationality 
     Act (8 U.S.C. 1227(a)(4)(C)).
       (K) Section 401 of the Cuban Liberty and Democratic 
     Solidarity (LIBERTAD) Act of 1996 (22 U.S.C. 6034; Public Law 
     104-114).
       (L) Section 613 of the Departments of Commerce, Justice, 
     and State, the Judiciary and Related Agencies Appropriations 
     Act, 1999 (as contained in section 101(b) of division A of 
     Public Law 105-277) (Omnibus Consolidated and Emergency 
     Supplemental Appropriations Act, 1999); 112 Stat. 2681; H.R. 
     4328 (originally H.R. 4276) as amended by section 617 of 
     Public Law 106-553.
       (M) Section 103(f) of the Chemical Weapon Convention 
     Implementation Act of 1998 (112 Stat. 2681-865).
       (N) Section 801 of H.R. 3427, the Admiral James W. Nance 
     and Meg Donovan Foreign Relations Authorization Act, Fiscal 
     Years 2000 and 2001, as enacted by reference in Public Law 
     106-113.
       (O) Section 568 of the Foreign Operations, Export 
     Financing, and Related Programs Appropriations Act, 2002 
     (Public Law 107-115).
       (P) Section 51 of the State Department Basic Authorities 
     Act of 1956 (22 U.S.C. 2723).
       (d) Consular Officers and Chiefs of Missions.--
       (1) In general.--Nothing in this subsection may be 
     construed to alter or affect--
       (A) the employment status of consular officers as employees 
     of the Department of State; or
       (B) the authority of a chief of mission under section 207 
     of the Foreign Service Act of 1980 (22 U.S.C. 3927).
       (2) Construction regarding delegation of authority.--
     Nothing in this section shall be construed to affect any 
     delegation of authority to the Secretary of State by the 
     President pursuant to any proclamation issued under section 
     212(f) of the Immigration and Nationality Act (8 U.S.C. 
     1182(f)).
       (e) Assignment of Homeland Security Employees to Diplomatic 
     and Consular Posts.--
       (1) In general.--The Secretary is authorized to assign 
     employees of the Department to each diplomatic and consular 
     post at which visas are issued, unless the Secretary 
     determines that such an assignment at a particular post would 
     not promote homeland security.
       (2) Functions.--Employees assigned under paragraph (1) 
     shall perform the following functions:
       (i) Provide expert advice to consular officers regarding 
     specific security threats relating to the adjudication of 
     individual visa applications or classes of applications.
       (ii) Review any such applications, either on the initiative 
     of the employee of the Department or upon request by a 
     consular officer or other person charged with adjudicating 
     such applications.
       (iii) Conduct investigations with respect to consular 
     matters under the jurisdiction of the Secretary.
       (3) Evaluation of consular officers.--The Secretary of 
     State shall evaluate, in consultation with the Secretary, as 
     deemed appropriate by the Secretary, the performance of 
     consular officers with respect to the processing and 
     adjudication of applications for visas in accordance with 
     performance standards developed by the Secretary for these 
     procedures.
       (4) Report.--The Secretary shall, on an annual basis, 
     submit a report to Congress that describes the basis for each 
     determination under paragraph (1) that the assignment of an 
     employee of the Department at a particular diplomatic post 
     would not promote homeland security.
       (5) Permanent assignment; participation in terrorist 
     lookout committee.--When appropriate, employees of the 
     Department assigned to perform functions described in 
     paragraph (2) may be assigned permanently to overseas 
     diplomatic or consular posts with country-specific or 
     regional responsibility. If the Secretary so directs, any 
     such employee, when present at an overseas post, shall 
     participate in the terrorist lookout committee established 
     under section 304 of the Enhanced Border Security and Visa 
     Entry Reform Act of 2002 (8 U.S.C. 1733).
       (6) Training and hiring.--
       (A) In general.--The Secretary shall ensure, to the extent 
     possible, that any employees of the Department assigned to 
     perform functions under paragraph (2) and, as appropriate, 
     consular officers, shall be provided the necessary training 
     to enable them to carry out such functions, including 
     training in foreign languages, in conditions in the 
     particular country where each employee is assigned, and in 
     other appropriate areas of study.
       (B) Use of center.--The Secretary is authorized to use the 
     National Foreign Affairs Training Center, on a reimbursable 
     basis, to obtain the training described in subparagraph (A).
       (7) Report.--Not later than 1 year after the date of 
     enactment of this Act, the Secretary and the Secretary of 
     State shall submit to Congress--
       (A) a report on the implementation of this subsection; and
       (B) any legislative proposals necessary to further the 
     objectives of this subsection.
       (8) Effective date.--This subsection shall take effect on 
     the earlier of--
       (A) the date on which the President publishes notice in the 
     Federal Register that the President has submitted a report to 
     Congress setting forth a memorandum of understanding between 
     the Secretary and the Secretary of State governing the 
     implementation of this section; or
       (B) the date occurring 1 year after the date of enactment 
     of this Act.
       (f) No Creation of Private Right of Action.--Nothing in 
     this section shall be construed to create or authorize a 
     private right of action to challenge a decision of a consular 
     officer or other United States official or employee to grant 
     or deny a visa.

     SEC. 407. BORDER SECURITY AND IMMIGRATION WORKING GROUP.

       (a) Establishment.--The Secretary shall establish a border 
     security and immigration working group (in this section 
     referred to as the ``Working Group''), composed of the 
     Secretary or the designee of the Secretary, the Under 
     Secretary for Immigration Affairs, and the Under Secretary 
     for Border and Transportation protection.
       (b) Functions.--The Working Group shall meet not less 
     frequently than once every 3 months and shall--
       (1) with respect to border security functions, develop 
     coordinated budget requests, allocations of appropriations, 
     staffing requirements, communication, use of equipment, 
     transportation, facilities, and other infrastructure;
       (2) coordinate joint and cross-training programs for 
     personnel performing border security functions;
       (3) monitor, evaluate and make improvements in the coverage 
     and geographic distributions of border security programs and 
     personnel;
       (4) develop and implement policies and technologies to 
     ensure the speedy, orderly, and efficient flow of lawful 
     traffic, travel and commerce, and enhanced security for high-
     risk traffic, travel, and commerce;
       (5) identify systemic problems in coordination encountered 
     by border security agencies and programs and propose 
     administrative, regulatory, or statutory changes to mitigate 
     such problems; and
       (6) coordinate the enforcement of all immigration laws.
       (c) Relevant Agencies.--The Secretary shall consult with 
     representatives of relevant agencies with respect to 
     deliberations under subsection (b), and may include 
     representative of such agencies in working group 
     deliberations, as appropriate.

     SEC. 408. INFORMATION ON VISA DENIALS REQUIRED TO BE ENTERED 
                   INTO ELECTRONIC DATA SYSTEM.

       (a) In General.--Whenever a consular officer of the United 
     States denies a visa to an applicant, the consular officer 
     shall enter the fact and the basis of the denial and the name 
     of the applicant into the interoperable electronic data 
     system implemented under section 202(a) of the Enhanced 
     Border Security and Visa Entry Reform Act of 2002 (8 U.S.C. 
     1722(a)).
       (b) Prohibition.--In the case of any alien with respect to 
     whom a visa has been denied under subsection (a)--
       (1) no subsequent visa may be issued to the alien unless 
     the consular officer considering the alien's visa application 
     has reviewed the information concerning the alien placed in 
     the interoperable electronic data system, has indicated on 
     the alien's application that the

[[Page S9314]]

     information has been reviewed, and has stated for the record 
     why the visa is being issued or a waiver of visa 
     ineligibility recommended in spite of that information; and
       (2) the alien may not be admitted to the United States 
     without a visa issued in accordance with the procedures 
     described in paragraph (1).

     SEC. 409. STUDY ON USE OF FOREIGN NATIONAL PERSONNEL IN VISA 
                   PROCESSING.

       The Secretary shall conduct a study on the use of foreign 
     national personnel in visa processing to determine whether 
     such uses are consistent with secure visa processing. The 
     study shall review and make recommendations with respect to--
       (1) the effects or possible effects on national security of 
     the use of foreign national personnel in individual countries 
     to perform data entry, process visas or visa applications, or 
     in any way handle visas or visa application documents; and
       (2) each United States mission abroad to determine whether 
     United States consular services performed at the United 
     States mission require different regulations on the use of 
     foreign national personnel.

              TITLE V--EMERGENCY PREPAREDNESS AND RESPONSE

     SEC. 501. UNDER SECRETARY FOR EMERGENCY PREPAREDNESS AND 
                   RESPONSE.

       There shall be in the Department a Directorate of Emergency 
     Preparedness and Response headed by an Under Secretary for 
     Emergency Preparedness and Response.

     SEC. 502. RESPONSIBILITIES.

       In assisting the Secretary with the responsibilities 
     specified in section 101(b)(2)(D), the primary 
     responsibilities of the Under Secretary for Emergency 
     Preparedness and Response shall include--
       (1) helping to ensure the preparedness of emergency 
     response providers for terrorist attacks, major disasters, 
     and other emergencies;
       (2) with respect to the Nuclear Incident Response Team 
     (regardless of whether it is operating as an organizational 
     unit of the Department pursuant to this title)--
       (A) establishing standards and certifying when those 
     standards have been met;
       (B) conducting joint and other exercises and training and 
     evaluating performance; and
       (C) providing funds to the Department of Energy and the 
     Environmental Protection Agency, as appropriate, for homeland 
     security planning, exercises and training, and equipment;
       (3) providing the Federal Government's response to 
     terrorist attacks and major disasters, including--
       (A) managing such response;
       (B) directing the Domestic Emergency Support Team, the 
     Strategic National Stockpile, the National Disaster Medical 
     System, and (when operating as an organizational unit of the 
     Department pursuant to this title) the Nuclear Incident 
     Response Team;
       (C) overseeing the Metropolitan Medical Response System; 
     and
       (D) coordinating other Federal response resources in the 
     event of a terrorist attack or major disaster;
       (4) aiding the recovery from terrorist attacks and major 
     disasters;
       (5) building a comprehensive national incident management 
     system with Federal, State, and local government personnel, 
     agencies, and authorities, to respond to such attacks and 
     disasters;
       (6) consolidating existing Federal Government emergency 
     response plans into a single, coordinated national response 
     plan; and
       (7) developing comprehensive programs for developing 
     interoperative communications technology, and helping to 
     ensure that emergency response providers acquire such 
     technology.

     SEC. 503. FUNCTIONS TRANSFERRED.

       In accordance with title VIII, there shall be transferred 
     to the Secretary the functions, personnel, assets, and 
     liabilities of the following entities:
       (1) The Federal Emergency Management Agency, including the 
     functions of the Director of the Federal Emergency Management 
     Agency relating thereto.
       (2) The Office for Domestic Preparedness of the Office of 
     Justice Programs, including the functions of the Attorney 
     General relating thereto.
       (3) The National Domestic Preparedness Office of the 
     Federal Bureau of Investigation, including the functions of 
     the Attorney General relating thereto.
       (4) The Domestic Emergency Support Teams of the Department 
     of Justice, including the functions of the Attorney General 
     relating thereto.
       (5) The Office of the Assistant Secretary for Public Health 
     Emergency Preparedness (including the Office of Emergency 
     Preparedness, the National Disaster Medical System, and the 
     Metropolitan Medical Response System) of the Department of 
     Health and Human Services, including the functions of the 
     Secretary of Health and Human Services relating thereto.
       (6) The Strategic National Stockpile of the Department of 
     Health and Human Services, including the functions of the 
     Secretary of Health and Human Services relating thereto.

     SEC. 504. NUCLEAR INCIDENT RESPONSE.

       (a) In General.--At the direction of the Secretary (in 
     connection with an actual or threatened terrorist attack, 
     major disaster, or other emergency), the Nuclear Incident 
     Response Team shall operate as an organizational unit of the 
     Department. While so operating, the Nuclear Incident Response 
     Team shall be subject to the direction, authority, and 
     control of the Secretary.
       (b) Rule of Construction.--Nothing in this title shall be 
     construed to limit the ordinary responsibility of the 
     Secretary of Energy and the Administrator of the 
     Environmental Protection Agency for organizing, training, 
     equipping, and utilizing their respective entities in the 
     Nuclear Incident Response Team, or (subject to the provisions 
     of this title) from exercising direction, authority, and 
     control over them when they are not operating as a unit of 
     the Department.

     SEC. 505. CONDUCT OF CERTAIN PUBLIC HEALTH-RELATED 
                   ACTIVITIES.

       (a) In General.--With respect to all public health-related 
     activities to improve State, local, and hospital preparedness 
     and response to chemical, biological, radiological, and 
     nuclear and other emerging terrorist threats carried out by 
     the Department of Health and Human Services (including the 
     Public Health Service), the Secretary of Health and Human 
     Services shall set priorities and preparedness goals and 
     further develop a coordinated strategy for such activities in 
     collaboration with the Secretary.
       (b) Evaluation of Progress.--In carrying out subsection 
     (a), the Secretary of Health and Human Services shall 
     collaborate with the Secretary in developing specific 
     benchmarks and outcome measurements for evaluating progress 
     toward achieving the priorities and goals described in such 
     subsection.

     SEC. 506. DEFINITION.

       In this title, the term ``Nuclear Incident Response Team'' 
     means a resource that includes--
       (1) those entities of the Department of Energy that perform 
     nuclear or radiological emergency support functions 
     (including accident response, search response, advisory, and 
     technical operations functions), radiation exposure functions 
     at the medical assistance facility known as the Radiation 
     Emergency Assistance Center/Training Site (REAC/TS), 
     radiological assistance functions, and related functions; and
       (2) those entities of the Environmental Protection Agency 
     that perform such support functions (including radiological 
     emergency response functions) and related functions.

                          TITLE VI--MANAGEMENT

     SEC. 601. UNDER SECRETARY FOR MANAGEMENT.

       There shall be in the Department a Directorate for 
     Management, headed by an Under Secretary for Management.

     SEC. 602. RESPONSIBILITIES.

       In assisting the Secretary with the management and 
     administration of the Department, the primary 
     responsibilities of the Under Secretary for Management shall 
     include, for the Department--
       (1) the budget, appropriations, expenditures of funds, 
     accounting, and finance;
       (2) procurement;
       (3) human resources and personnel;
       (4) information technology and communications systems;
       (5) facilities, property, equipment, and other material 
     resources;
       (6) security for personnel, information technology and 
     communications systems, facilities, property, equipment, and 
     other material resources; and
       (7) identification and tracking of performance measures 
     relating to the responsibilities of the Department.

     SEC. 603. CHIEF FINANCIAL OFFICER.

       The Chief Financial Officer shall report to the Secretary, 
     or to another official of the Department, as the Secretary 
     may direct.

     SEC. 604. CHIEF INFORMATION OFFICER.

       The Chief Information Officer shall report to the 
     Secretary, or to another official of the Department, as the 
     Secretary may direct.

     SEC. 605. CHIEF HUMAN CAPITAL OFFICER.

       The Chief Human Capital Officer shall report to the 
     Secretary, or to another official of the Department, as the 
     Secretary may direct and shall ensure that all employees of 
     the Department are informed of their rights and remedies 
     under chapters 12 and 23 of title 5, United States Code, by--
       (1) participating in the 2302(c) Certification Program of 
     the Office of Special Counsel;
       (2) achieving certification from the Office of Special 
     Counsel of the Department's compliance with section 2302(c) 
     of title 5, United States Code; and
       (3) informing Congress of such certification not later than 
     24 months after the date of enactment of this Act.

 TITLE VII--COORDINATION WITH NON-FEDERAL ENTITIES; INSPECTOR GENERAL; 
     UNITED STATES SECRET SERVICE; COAST GUARD; GENERAL PROVISIONS

           Subtitle A--Coordination with Non-Federal Entities

     SEC. 701. RESPONSIBILITIES.

       In discharging his responsibilities relating to 
     coordination (including the provision of training and 
     equipment) with State and local government personnel, 
     agencies, and authorities, with the private sector, and with 
     other entities, the responsibilities of the Secretary shall 
     include--
       (1) coordinating with State and local government personnel, 
     agencies, and authorities, and with the private sector, to 
     ensure adequate planning, equipment, training, and exercise 
     activities;
       (2) coordinating and, as appropriate, consolidating the 
     Federal Government's communications and systems of 
     communications

[[Page S9315]]

     relating to homeland security with State and local government 
     personnel, agencies, and authorities, the private sector, 
     other entities, and the public;
       (3) directing and supervising grant programs of the Federal 
     Government for State and local government emergency response 
     providers; and
       (4) distributing or, as appropriate, coordinating the 
     distribution of, warnings and information to State and local 
     government personnel, agencies, and authorities and to the 
     public.

                     Subtitle B--Inspector General

     SEC. 710. AUTHORITY OF THE SECRETARY.

       (a) In General.--Notwithstanding the last two sentences of 
     section 3(a) of the Inspector General Act of 1978, the 
     Inspector General shall be under the authority, direction, 
     and control of the Secretary with respect to audits or 
     investigations, or the issuance of subpoenas, that require 
     access to information concerning--
       (1) intelligence, counterintelligence, or counterterrorism 
     matters;
       (2) ongoing criminal investigations or proceedings;
       (3) undercover operations;
       (4) the identity of confidential sources, including 
     protected witnesses;
       (5) other matters the disclosure of which would, in the 
     Secretary's judgment, constitute a serious threat to the 
     protection of any person or property authorized protection by 
     section 3056 of title 18, United States Code, section 202 of 
     title 3 of such Code, or any provision of the Presidential 
     Protection Assistance Act of 1976; or
       (6) other matters the disclosure of which would, in the 
     Secretary's judgment, constitute a serious threat to national 
     security.
       (b) Prohibition of Completion of Audit or Investigation.--
     With respect to the information described in subsection (a), 
     the Secretary may prohibit the Inspector General from 
     carrying out or completing any audit or investigation, or 
     from issuing any subpoena, after such Inspector General has 
     decided to initiate, carry out, or complete such audit or 
     investigation or to issue such subpoena, if the Secretary 
     determines that such prohibition is necessary to prevent the 
     disclosure of any information described in subsection (a), to 
     preserve the national security, or to prevent a significant 
     impairment to the interests of the United States.
       (c) Notification.--The Secretary shall notify in writing 
     the President of the Senate, the Speaker of the House of 
     Representatives, the Committee on Governmental Affairs of the 
     Senate, the Committee on Government Reform of the House of 
     Representatives, and other appropriate committees of Congress 
     within thirty days of any exercise of his authority under 
     this section stating the reasons for such exercise.

     SEC. 711. LAW ENFORCEMENT POWERS OF INSPECTOR GENERAL AGENTS.

       (a) In General.--Section 6 of the Inspector General Act of 
     1978 (5 U.S.C. App.) is amended by adding at the end the 
     following:
       ``(e)(1) In addition to the authority otherwise provided by 
     this Act, each Inspector General appointed under section 3, 
     any Assistant Inspector General for Investigations under such 
     an Inspector General, and any special agent supervised by 
     such an Assistant Inspector General may be authorized by the 
     Attorney General to--
       ``(A) carry a firearm while engaged in official duties as 
     authorized under this Act or other statute, or as expressly 
     authorized by the Attorney General;
       ``(B) make an arrest without a warrant while engaged in 
     official duties as authorized under this Act or other 
     statute, or as expressly authorized by the Attorney General, 
     for any offense against the United States committed in the 
     presence of such Inspector General, Assistant Inspector 
     General, or agent, or for any felony cognizable under the 
     laws of the United States if such Inspector General, 
     Assistant Inspector General, or agent has reasonable grounds 
     to believe that the person to be arrested has committed or is 
     committing such felony; and
       ``(C) seek and execute warrants for arrest, search of a 
     premises, or seizures of evidence issued under the authority 
     of the United States upon probable cause to believe that a 
     violation has been committed.
       ``(2) The Attorney General may authorize exercise of the 
     powers under this subsection only upon an initial 
     determination that--
       ``(A) the affected Office of Inspector General is 
     significantly hampered in the performance of responsibilities 
     established by this Act as a result of the lack of such 
     powers;
       ``(B) available assistance from other law enforcement 
     agencies is insufficient to meet the need for such powers; 
     and
       ``(C) adequate internal safeguards and management 
     procedures exist to ensure proper exercise of such powers.
       ``(3) The Inspector General offices of the Department of 
     Commerce, Department of Education, Department of Energy, 
     Department of Health and Human Services, Department of 
     Homeland Security, Department of Housing and Urban 
     Development, Department of the Interior, Department of 
     Justice, Department of Labor, Department of State, Department 
     of Transportation, Department of the Treasury, Department of 
     Veterans Affairs, Agency for International Development, 
     Environmental Protection Agency, Federal Deposit Insurance 
     Corporation, Federal Emergency Management Agency, General 
     Services Administration, National Aeronautics and Space 
     Administration, Nuclear Regulatory Commission, Office of 
     Personnel Management, Railroad Retirement Board, Small 
     Business Administration, Social Security Administration, and 
     the Tennessee Valley Authority are exempt from the 
     requirement of paragraph (2) of an initial determination of 
     eligibility by the Attorney General.
       ``(4) The Attorney General shall promulgate, and revise as 
     appropriate, guidelines which shall govern the exercise of 
     the law enforcement powers established under paragraph (1).
       ``(5) Powers authorized for an Office of Inspector General 
     under paragraph (1) shall be rescinded or suspended upon a 
     determination by the Attorney General that any of the 
     requirements under paragraph (2) is no longer satisfied or 
     that the exercise of authorized powers by that Office of 
     Inspector General has not complied with the guidelines 
     promulgated by the Attorney General under paragraph (4).
       ``(6) A determination by the Attorney General under 
     paragraph (2) or (5) shall not be reviewable in or by any 
     court.
       ``(7) To ensure the proper exercise of the law enforcement 
     powers authorized by this subsection, the Offices of 
     Inspector General described under paragraph (3) shall, not 
     later than 180 days after the date of enactment of this 
     subsection, collectively enter into a memorandum of 
     understanding to establish an external review process for 
     ensuring that adequate internal safeguards and management 
     procedures continue to exist within each Office and within 
     any Office that later receives an authorization under 
     paragraph (2). The review process shall be established in 
     consultation with the Attorney General, who shall be provided 
     with a copy of the memorandum of understanding that 
     establishes the review process. Under the review process, the 
     exercise of the law enforcement powers by each Office of 
     Inspector General shall be reviewed periodically by another 
     Office of Inspector General or by a committee of Inspectors 
     General. The results of each review shall be communicated in 
     writing to the applicable Inspector General and to the 
     Attorney General.
       ``(8) No provision of this subsection shall limit the 
     exercise of law enforcement powers established under any 
     other statutory authority, including United States Marshals 
     Service special deputation.''.
       (b) Promulgation of Initial Guidelines.--
       (1) Definition.--In this subsection, the term ``memoranda 
     of understanding'' means the agreements between the 
     Department of Justice and the Inspector General offices 
     described under section 6(e)(3) of the Inspector General Act 
     of 1978 (5 U.S.C. App.) (as added by subsection (a) of this 
     section) that--
       (A) are in effect on the date of enactment of this Act; and
       (B) authorize such offices to exercise authority that is 
     the same or similar to the authority under section 6(e)(1) of 
     such Act.
       (2) In general.--Not later than 180 days after the date of 
     enactment of this Act, the Attorney General shall promulgate 
     guidelines under section 6(e)(4) of the Inspector General Act 
     of 1978 (5 U.S.C. App.) (as added by subsection (a) of this 
     section) applicable to the Inspector General offices 
     described under section 6(e)(3) of that Act.
       (3) Minimum requirements.--The guidelines promulgated under 
     this subsection shall include, at a minimum, the operational 
     and training requirements in the memoranda of understanding.
       (4) No lapse of authority.--The memoranda of understanding 
     in effect on the date of enactment of this Act shall remain 
     in effect until the guidelines promulgated under this 
     subsection take effect.
       (c) Effective Dates.--
       (1) In general.--Subsection (a) shall take effect 180 days 
     after the date of enactment of this Act.
       (2) Initial guidelines.--Subsection (b) shall take effect 
     on the date of enactment of this Act.

                Subtitle C--United States Secret Service

     SEC. 720. FUNCTIONS TRANSFERRED.

       In accordance with title VIII, there shall be transferred 
     to the Secretary the functions, personnel, assets, and 
     liabilities of the United States Secret Service, which shall 
     be maintained as a distinct entity within the Department, 
     including the functions of the Secretary of the Treasury 
     relating thereto.

                     Subtitle D--General Provisions

     SEC. 730. ESTABLISHMENT OF HUMAN RESOURCES MANAGEMENT SYSTEM.

       (a) Authority.--
       (1) Sense of congress.--It is the sense of Congress that--
       (A) it is extremely important that employees of the 
     Department be allowed to participate in a meaningful way in 
     the creation of any human resources management system 
     affecting them;
       (B) such employees have the most direct knowledge of the 
     demands of their jobs and have a direct interest in ensuring 
     that their human resources management system is conducive to 
     achieving optimal operational efficiencies;
       (C) the 21st century human resources management system 
     envisioned for the Department should be one that benefits 
     from the input of its employees; and
       (D) this collaborative effort will help secure our 
     homeland.
       (2) In general.--Subpart I of part III of title 5, United 
     States Code, is amended by adding at the end the following:

[[Page S9316]]

             ``CHAPTER 97--DEPARTMENT OF HOMELAND SECURITY

``Sec.
``9701. Establishment of human resources management system.

     ``Sec. 9701. Establishment of human resources management 
       system

       ``(a) In General.--Notwithstanding any other provision of 
     this part, the Secretary may, in regulations prescribed 
     jointly with the Director of the Office of Personnel 
     Management, establish, and from time to time adjust, a human 
     resources management system for some or all of the 
     organizational units of the Department.
       ``(b) System Requirements.--Any system established under 
     subsection (a) shall--
       ``(1) be flexible;
       ``(2) be contemporary;
       ``(3) not waive, modify, or otherwise affect--
       ``(A) the public employment principles of merit and fitness 
     set forth in section 2301, including the principles of hiring 
     based on merit, fair treatment without regard to political 
     affiliation or other nonmerit considerations, equal pay for 
     equal work, and protection of employees against reprisal for 
     whistleblowing;
       ``(B) any provision of section 2302, relating to prohibited 
     personnel practices;
       ``(C)(i) any provision of law referred to in section 
     2302(b)(1); or
       ``(ii) any provision of law implementing any provision of 
     law referred to in section 2302(b)(1) by--
       ``(I) providing for equal employment opportunity through 
     affirmative action; or
       ``(II) providing any right or remedy available to any 
     employee or applicant for employment in the civil service;
       ``(D) any other provision of this part (as described in 
     subsection (c)); or
       ``(E) any rule or regulation prescribed under any provision 
     of law referred to in any of the preceding subparagraphs of 
     this paragraph;
       ``(4) ensure that employees may organize, bargain 
     collectively, and participate through labor organizations of 
     their own choosing in decisions which affect them, subject to 
     any exclusion from coverage or limitation on negotiability 
     established by law; and
       ``(5) permit the use of a category rating system for 
     evaluating applicants for positions in the competitive 
     service.
       ``(c) Other Nonwaivable Provisions.--The other provisions 
     of this part as referred to in subsection (b)(3)(D), are (to 
     the extent not otherwise specified in subparagraph (A), (B), 
     (C), or (D) of subsection (b)(3))--
       ``(1) subparts A, B, E, G, and H of this part; and
       ``(2) chapters 41, 45, 47, 55, 57, 59, 72, 73, and 79, and 
     this chapter.
       ``(d) Limitations Relating to Pay.--Nothing in this section 
     shall constitute authority--
       ``(1) to modify the pay of any employee who serves in--
       ``(A) an Executive Schedule position under subchapter II of 
     chapter 53 of title 5, United States Code; or
       ``(B) a position for which the rate of basic pay is fixed 
     in statute by reference to a section or level under 
     subchapter II of chapter 53 of such title 5;
       ``(2) to fix pay for any employee or position at an annual 
     rate greater than the maximum amount of cash compensation 
     allowable under section 5307 of such title 5 in a year; or
       ``(3) to exempt any employee from the application of such 
     section 5307.
       ``(e) Provisions To Ensure Collaboration With Employee 
     Representatives.--
       ``(1) In general.--In order to ensure that the authority of 
     this section is exercised in collaboration with, and in a 
     manner that ensures the direct participation of employee 
     representatives in the planning development, and 
     implementation of any human resources management system or 
     adjustments under this section, the Secretary and the 
     Director of the Office of Personnel Management shall provide 
     for the following:
       ``(A) Notice of proposal.-- The Secretary and the Director 
     shall, with respect to any proposed system or adjustment--
       ``(i) provide to each employee representative representing 
     any employees who might be affected, a written description of 
     the proposed system or adjustment (including the reasons why 
     it is considered necessary);
       ``(ii) give each representative at least 60 days (unless 
     extraordinary circumstances require earlier action) to review 
     and make recommendations with respect to the proposal; and
       ``(iii) give any recommendations received from any such 
     representatives under clause (ii) full and fair consideration 
     in deciding whether or how to proceed with the proposal.
       ``(B) Preimplementation requirements.--If the Secretary and 
     the Director decide to implement a proposal described in 
     subparagraph (A), they shall before implementation--
       ``(i) give each representative details of the decision to 
     implement the proposal, together with the information upon 
     which the decision is based;
       ``(ii) give each representative an opportunity to make 
     recommendations with respect to the proposal; and
       ``(iii) give such recommendation full and fair 
     consideration, including the providing of reasons to an 
     employee representative if any of its recommendations are 
     rejected.
       ``(C) Continuing collaboration.--If a proposal described in 
     subparagraph (A) is implemented, the Secretary and the 
     Director shall--
       ``(i) develop a method for each employee representative to 
     participate in any further planning or development which 
     might become necessary; and
       ``(ii) give each employee representative adequate access to 
     information to make that participation productive.
       ``(2) Procedures.--Any procedures necessary to carry out 
     this subsection shall be established by the Secretary and the 
     Director jointly. Such procedures shall include measures to 
     ensure--
       ``(A) in the case of employees within a unit with respect 
     to which a labor organization is accorded exclusive 
     recognition, representation by individuals designated or from 
     among individuals nominated by such organization;
       ``(B) in the case of any employees who are not within such 
     a unit, representation by any appropriate organization which 
     represents a substantial percentage of those employees or, if 
     none, in such other manner as may be appropriate, consistent 
     with the purposes of the subsection; and
       ``(C) the selection of representatives in a manner 
     consistent with the relative number of employees represented 
     by the organizations or other representatives involved.
       ``(f) Provisions Relating to Appellate Procedures.--
       (1) Sense of congress.--It is the sense of Congress that--
       ``(A) employees of the Department are entitled to fair 
     treatment in any appeals that they bring in decisions 
     relating to their employment; and
       ``(B) in prescribing regulations for any such appeals 
     procedures, the Secretary and the Director of the Office of 
     Personnel Management--
       ``(i) should ensure that employees of the Department are 
     afforded the protections of due process; and
       ``(ii) toward that end, should be required to consult with 
     the Merit Systems Protection Board before issuing any such 
     regulations.
       ``(2) Requirements.--Any regulations under this section 
     which relate to any matters within the purview of chapter 
     77--
       ``(A) shall be issued only after consultation with the 
     Merit Systems Protection Board;
       ``(B) shall ensure the availability of procedures which 
     shall--
       ``(i) be consistent with requirements of due process; and
       ``(ii) provide, to the maximum extent practicable, for the 
     expeditious handling of any matters involving the Department; 
     and
       ``(C) shall modify procedures under chapter 77 only insofar 
     as such modifications are designed to further the fair, 
     efficient, and expeditious resolution of matters involving 
     the employees of the Department.
       ``(g) Sunset Provision.--Effective 5 years after the 
     conclusion of the transition period defined under section 801 
     of the Homeland Security Act of 2002, all authority to issue 
     regulations under this section (including regulations which 
     would modify, supersede, or terminate any regulations 
     previously issued under this section) shall cease to be 
     available.''.
       (3) Clerical amendment.--The table of chapters for part III 
     of title 5, United States Code, is amended by adding at the 
     end of the following:

``97. Department of Homeland Security.......................9701''.....

       (b) Effect on Personnel.--
       (1) Nonseparation or nonreduction in grade or compensation 
     of full-time personnel and part-time personnel holding 
     permanent positions.--Except as otherwise provided in this 
     Act, the transfer pursuant to this act of full-time personnel 
     (except special Government employees) and part-time personnel 
     holding permanent positions shall not cause any such employee 
     to be separated or reduced in grade or compensation for one 
     year after the date of transfer to the Department.
       (2) Positions compensated in accordance with executive 
     schedule.--Any person who, on the day preceding such person's 
     date of transfer pursuant to this Act, held a position 
     compensated in accordance with the Executive Schedule 
     prescribed in chapter 53 of title 5, United States Code, and 
     who, without a break in service, is appointed in the 
     Department to a position having duties comparable to the 
     duties performed immediately preceding such appointment shall 
     continue to be compensated in such new position at not less 
     than the rate provided for such position, for the duration of 
     the service of such person in such new position.
       (3) Coordination rule.--Any exercise of authority under 
     chapter 97 of title 5, United States Code (as amended by 
     subsection (a)), including under any system established under 
     such chapter, shall be in conformance with the requirements 
     of this subsection.

     SEC. 731. LABOR-MANAGEMENT RELATIONS.

       (a) Limitation on Exclusionary Authority.--
       (1) In general.--No agency or subdivision of an agency 
     which is transferred to the Department pursuant to this Act 
     shall be excluded from the coverage of chapter 71 of title 5, 
     United States Code, as a result of any order issued under 
     section 7103(b)(1) of such title 5 after June 18, 2002, 
     unless--
       (A) the mission and responsibilities of the agency (or 
     subdivision) materially change; and
       (B) a majority of the employees within such agency (or 
     subdivision) have as their

[[Page S9317]]

     primary duty intelligence, counterintelligence, or 
     investigative work directly related to terrorism 
     investigation.
       (2) Exclusions allowable.--Nothing in paragraph (1) shall 
     affect the effectiveness of any order to the extent that such 
     order excludes any portion of an agency or subdivision of an 
     agency as to which--
       (A) recognition as an appropriate unit has never been 
     conferred for purposes of chapter 71 of such title 5; or
       (B) any such recognition has been revoked or otherwise 
     terminated as a result of a determination under subsection 
     (b)(1).
       (b) Provisions Relating to Bargaining Units.--
       (1) Limitation relating to appropriate units.--Each unit 
     which is recognized as an appropriate unit for purposes of 
     chapter 71 of title 5, United States Code, as of the day 
     before the effective date of this Act (and any subdivision of 
     any such unit) shall, if such unit (or subdivision) is 
     transferred to the Department pursuant to this Act, continue 
     to be so recognized for such purposes, unless--
       (A) the mission and responsibilities of such unit (or 
     subdivision) materially change; and
       (B) a majority of the employees within such unit (or 
     subdivision) have as their primary duty intelligence, 
     counterintelligence, or investigative work directly related 
     to terrorism investigation.
       (2) Limitation relating to positions or employees.--No 
     position or employee within a unit (or subdivision of a unit) 
     as to which continued recognition is given in accordance with 
     paragraph (1) shall be excluded from such unit (or 
     subdivision), for purposes of chapter 71 of such title 5, 
     unless the primary job duty of such position or employee--
       (A) materially changes; and
       (B) consists of intelligence, counterintelligence, or 
     investigative work directly related to terrorism 
     investigation.

     In the case of any positions within a unit (or subdivision) 
     which are first established on or after the effective date of 
     this Act and any employee first appointed on or after such 
     date, the preceding sentence shall be applied disregarding 
     subparagraph (A).
       (c) Homeland Security.--Subsection (a), (b), and (d) of 
     this section shall not apply in circumstances where the 
     President determines in writing that such application would 
     have a substantial adverse impact on the Department's ability 
     to protect homeland security. Whenever the President makes a 
     determination specified under this subsection, the President 
     shall notify the Senate and the House of Representatives of 
     the reasons for such determination not less than 10 days 
     prior to its issuance.
       (d) Coordination Rule.--No other provision of this Act or 
     of any amendment made by this Act may be construed or applied 
     in a manner so as to limit, supersede, or otherwise affect 
     the provisions of this section, except to the extent that it 
     does so by specific reference to this section.

     SEC. 732. ADVISORY COMMITTEES.

       The Secretary may establish, appoint members of, and use 
     the services of, advisory committees, as the Secretary may 
     deem necessary. An advisory committee established under this 
     section may be exempted by the Secretary from Public Law 92-
     463, but the Secretary shall publish notice in the Federal 
     Register announcing the establishment of such a committee and 
     identifying its purpose and membership. Notwithstanding the 
     preceding sentence, members of an advisory committee that is 
     exempted by the Secretary under the preceding sentence who 
     are special Government employees (as that term is defined in 
     section 202 of title 18, United States Code) shall be 
     eligible for certifications under subsection (b)(3) of 
     section 208 of title 18, United States Code, for official 
     actions taken as a member of such advisory committee.

     SEC. 733. ACQUISITIONS.

       (a) Research and Development Projects.--
       (1) In general.--When the Secretary carries out basic, 
     applied, and advanced research and development projects, he 
     may exercise the same authority (subject to the same 
     limitations and conditions) with respect to such research and 
     projects as the Secretary of Defense may exercise under 
     section 2371 of title 10, United States Code (except for 
     subsections (b) and (f)), after making a determination that 
     the use of a contract, grant, or cooperative agreement for 
     such project is not feasible or appropriate. The annual 
     report required under subsection (h) of such section, as 
     applied to the Secretary by this paragraph, shall be 
     submitted to the President of the Senate and the Speaker of 
     the House of Representatives.
       (2) Prototype projects.--The Secretary may, under the 
     authority of paragraph (1), carry out prototype projects in 
     accordance with the requirements and conditions provided for 
     carrying out prototype projects under section 845 of the 
     National Defense Authorization Act for Fiscal Year 1994 
     (Public Law 103-160). In applying the authorities of that 
     section 845, subsection (c) of that section shall apply with 
     respect to prototype projects under this paragraph, and the 
     Secretary shall perform the functions of the Secretary of 
     Defense under subsection (d) thereof.
       (b) Procurement of Temporary and Intermittent Services.--
     The Secretary may--
       (1) procure the temporary or intermittent services of 
     experts or consultants (or organizations thereof) in 
     accordance with section 3109(b) of title 5, United States 
     Code; and
       (2) whenever necessary due to an urgent homeland security 
     need, procure temporary (not to exceed 1 year) or 
     intermittent personal services, including the services of 
     experts or consultants (or organizations thereof), without 
     regard to the pay limitations of such section 3109.

     SEC. 734. REORGANIZATION AUTHORITY.

       (a) Reorganization Plan.--
       (1) In general.--Whenever the President determines that 
     changes in the organization of the Department are necessary 
     to carry out any policy set forth in this Act, the President 
     shall prepare a reorganization plan specifying the 
     reorganizations that the President determines are necessary. 
     Any such plan may provide for--
       (A) the transfer of the whole or a part of an agency, or of 
     the whole or a part of the functions thereof, to the 
     jurisdiction and control of the Department;
       (B) the transfer of the whole or a part of an agency, or of 
     the whole or a part of the functions thereof, from the 
     Department;
       (C) the abolition of all or a part of an agency within the 
     Department;
       (D) the creation of a new agency or a new part of an agency 
     within the Department; or
       (E) the consolidation or coordination of the whole or a 
     part of an agency within the Department, or of the whole or a 
     part of the functions thereof, with the whole or a part of 
     another agency within the Department.
       (2) Transmittal.--
       (A) In general.--The President shall transmit the 
     reorganization plan to Congress together with the declaration 
     that, with respect to each organization included in the plan, 
     the President has found that the reorganization is necessary 
     to carry out any policy set forth in this Act.
       (B) Timing.--The reorganization plan shall be delivered to 
     both Houses on the same day and to each House while it is in 
     session, except that no more than 2 plans may be pending 
     before Congress at 1 time.
       (3) Content.--
       (A) In general.--The transmittal message of the 
     reorganization plan shall--
       (i) specify with respect to each abolition of a function 
     included in the plan the statutory authority for the exercise 
     of the function;
       (ii) include an estimate of any reduction or increase in 
     expenditures (itemized so far as practicable);
       (iii) include detailed information addressing the impacts 
     of the reorganization on the employees of any agency affected 
     by the plan, and what steps will be taken to mitigate any 
     impacts of the plan on the employees of the agency;
       (iv) describe any improvements in management, delivery of 
     Federal services, execution of the laws, and increases in 
     efficiency of Government operations, which it is expected 
     will be realized as a result of the reorganizations included 
     in the plan; and
       (v) in the case of a transfer to or from the Department, 
     address the impact of the proposed transfer on the ability of 
     the affected agency to carry out its other functions and to 
     accomplish its missions.
       (B) Implementation.--In addition, the transmittal message 
     shall include an implementation section which shall--
       (i) describe in detail--

       (I) the actions necessary or planned to complete the 
     reorganization; and
       (II) the anticipated nature and substance of any orders, 
     directives, and other administrative and operations actions 
     which are expected to be required for completing or 
     implementing the reorganization; and

       (ii) contain a projected timetable for completion of the 
     implementation process.
       (C) Background information.--The President shall also 
     submit such further background or other information as 
     Congress may require for its consideration of the plan.
       (4) Amendments to plan.--Any time during the period of 60 
     calendar days of continuous session of Congress after the 
     date on which the plan is transmitted to it, but before any 
     resolution has been ordered reported in either House, the 
     President, or the designee of the President, may make 
     amendments or modifications to the plan, which modifications 
     or revisions shall thereafter be treated as a part of the 
     reorganization plan originally transmitted and shall not 
     affect in any way the time limits otherwise provided for in 
     this section. The President, or the designee of the 
     President, may withdraw the plan any time prior to the 
     conclusion of 90 calendar days of continuous session of 
     Congress following the date on which the plan is submitted to 
     Congress.
       (b) Additional Contents of Reorganization Plan.--A 
     reorganization plan--
       (1) may change the name of an agency affected by a 
     reorganization and the title of its head, and shall designate 
     the name of an agency resulting from a reorganization and the 
     title of its head;
       (2) may provide for the appointment and pay of the head and 
     1 or more officers of any agency (including an agency 
     resulting from a consolidation or other type of 
     reorganization) if the message transmitting the plan 
     declares, that by reason of a reorganization made by the plan 
     the provisions are necessary;
       (3) shall provide for the transfer or other disposition of 
     the records, property, and personnel affected by a 
     reorganization;
       (4) shall provide for the transfer of such unexpended 
     balances of appropriations, and of other funds, available for 
     use in connection with a function or agency affected by a 
     reorganization, as necessary by reason of the reorganization 
     for use in connection with the

[[Page S9318]]

     functions affected by the reorganization, or for the use of 
     the agency which shall have the functions after the 
     reorganization plan is effective; and
       (5) shall provide for terminating the affairs of an agency 
     abolished.

     A reorganization plan containing provisions authorized by 
     paragraph (2) may provide that the head of an agency be an 
     individual or a commission or board with more than 1 member. 
     In the case of an appointment of the head of such an agency, 
     the term of office may not be fixed at more than 4 years, the 
     pay may not be at a rate in excess of that found to be 
     applicable to comparable officers in the executive branch, by 
     and with the advice and consent of the Senate. Any 
     reorganization plan containing provisions required by 
     paragraph (4) shall provide for the transfer of unexpended 
     balances only if such balances are used for the purposes for 
     which the appropriation was originally made.
       (c) Effective Date and Publication of Reorganization 
     Plans.--
       (1) Effective date.--Except as provided under paragraph 
     (3), a reorganization plan shall be effective upon approval 
     by the President of a resolution (as defined in subsection 
     (f)) with respect to such plan, only if such resolution is 
     passed by the House of Representatives and the Senate, within 
     the first period of 90 calendar days of continuous session of 
     Congress after the date on which the plan is transmitted to 
     Congress.
       (2) Session of congress.--For the purpose of this chapter--
       (A) continuity of session is broken only by an adjournment 
     of Congress sine die; and
       (B) the days on which either House is not in session 
     because of an adjournment of more than 3 days to a day 
     certain are excluded in the computation of any period of time 
     in which Congress is in continuous session.
       (3) Later effective date.--Under provisions contained in a 
     reorganization plan, any provision thereof may be effective 
     at a time later than the date on which the plan otherwise is 
     effective.
       (4) Publication of plan.--A reorganization plan which is 
     effective shall be printed--
       (A) in the Statutes at Large in the same volume as the 
     public laws; and
       (B) in the Federal Register.
       (d) Effect On Other Laws; Pending Legal Proceedings.--
       (1) Effect on laws.--
       (A) Definition.--In this paragraph, the term ``regulation 
     or other action'' means a regulation, rule, order, policy, 
     determination, directive, authorization, permit, privilege, 
     requirement, designation, or other action.
       (B) Effect.--A statute enacted, and a regulation or other 
     action made, prescribed, issued, granted, or performed in 
     respect of or by an agency or function affected by a 
     reorganization under this section, before the effective date 
     of the reorganization, has, except to the extent rescinded, 
     modified, superseded, or made inapplicable by or under 
     authority of law or by the abolition of a function, the same 
     effect as if the reorganization had not been made. However, 
     if the statute, regulation, or other action has vested the 
     functions in the agency from which it is removed under the 
     reorganization plan, the function, insofar as it is to be 
     exercised after the plan becomes effective, shall be deemed 
     as vested in the agency under which the function is placed in 
     the plan.
       (2) Pending legal proceedings.--A suit, action, or other 
     proceeding lawfully commenced by or against the head of an 
     agency or other officer of the United States, in the 
     officer's official capacity or in relation to the discharge 
     of the officer's official duties, does not abate by reason of 
     the taking effect of a reorganization plan under this 
     section. On motion or supplemental petition filed at any time 
     within 12 months after the reorganization plan takes effect, 
     showing a necessity for a survival of the suit, action, or 
     other proceeding to obtain a settlement of the questions 
     involved, the court may allow the suit, action, or other 
     proceeding to be maintained by or against the successor of 
     the head or officer under the reorganization effected by the 
     plan or, if there is no successor, against such agency or 
     officer as the President designates.
       (e) Rules of Senate and House of Representatives On 
     Reorganization Plans.--Subsections (f) through (i) are 
     enacted by Congress--
       (1) as an exercise of the rulemaking power of the Senate 
     and the House of Representatives, respectively, and as such 
     they are deemed a part of the rules of each House, 
     respectively, but applicable only with respect to the 
     procedure to be followed in that House in the case of 
     resolutions with respect to any reorganization plans 
     transmitted to Congress (in accordance with subsection (a)(3) 
     of this section); and they supersede other rules only to the 
     extent that they are inconsistent therewith; and
       (2) with the full recognition of the constitutional right 
     of either House to change the rules (so far as relating to 
     the procedure of that House) at any time, in the same manner 
     and to the same extent as in the case of any other rule of 
     that House.
       (f) Terms of Resolution.--For the purposes of subsections 
     (e) through (i), ``resolution'' means only a joint resolution 
     of Congress, the matter after the resolving clause of which 
     is as follows: ``That Congress approves the reorganization 
     plan transmitted to Congress by the President on 
     ____________, 20____.'', and includes such modifications and 
     revisions as are submitted by the President under subsection 
     (a)(4). The blank spaces therein are to be filled 
     appropriately. The term does not include a resolution which 
     specifies more than 1 reorganization plan.
       (g) Introduction and Reference of Resolution.--
       (1) Introduction.--No later than the first day of session 
     following the day on which a reorganization plan is 
     transmitted to the House of Representatives and the Senate 
     under subsection (a), a resolution, as defined in subsection 
     (f), shall be--
       (A) introduced (by request) in the House by the chairman of 
     the Government Reform Committee of the House, or by a Member 
     or Members of the House designated by such chairman; and
       (B) introduced (by request) in the Senate by the chairman 
     of the Governmental Affairs Committee of the Senate, or by a 
     Member or Members of the Senate designated by such chairman.
       (2) Referral.--A resolution with respect to a 
     reorganization plan shall be referred to the Committee on 
     Governmental Affairs of the Senate and the Committee on 
     Government Reform of the House (and all resolutions with 
     respect to the same plan shall be referred to the same 
     committee) by the President of the Senate or the Speaker of 
     the House of Representatives, as the case may be. The 
     committee shall make its recommendations to the House of 
     Representatives or the Senate, respectively, within 75 
     calendar days of continuous session of Congress following the 
     date of such resolution's introduction.
       (h) Discharge of Committee Considering Resolution.--If the 
     committee to which is referred a resolution introduced 
     pursuant to subsection (g)(1) has not reported such a 
     resolution or identical resolution at the end of 75 calendar 
     days of continuous session of Congress after its 
     introduction, such committee shall be deemed to be discharged 
     from further consideration of such resolution and such 
     resolution shall be placed on the appropriate calendar of the 
     House involved.
       (i) Procedure After Report or Discharge of Committees; 
     Debate; Vote On Final Passage.--
       (1) Procedure.--When the committee has reported, or has 
     been deemed to be discharged (under subsection (h)) from 
     further consideration of, a resolution with respect to a 
     reorganization plan, it is at any time thereafter in order 
     (even though a previous motion to the same effect has been 
     disagreed to) for any Member of the respective House to move 
     to proceed to the consideration of the resolution. The motion 
     is highly privileged and is not debatable. The motion shall 
     not be subject to amendment, or to any motion to postpone, or 
     a motion to proceed to the consideration of other business. A 
     motion to reconsider the vote by which the motion is agreed 
     to or disagreed to shall not be in order. If a motion to 
     proceed to the consideration of the resolution is agreed to, 
     the resolution shall remain the unfinished business of the 
     respective House until disposed of.
       (2) Debate.--Debate on the resolution, and on all debatable 
     motions and appeals in connection therewith, shall be limited 
     to not more than 10 hours, which shall be divided equally 
     between individuals favoring and individuals opposing the 
     resolution. A motion further to limit debate is in order and 
     not debatable. An amendment to, or a motion to recommit the 
     resolution is not in order. A motion to reconsider the vote 
     by which the resolution is passed or rejected shall not be in 
     order.
       (3) Vote on final passage.--Immediately following the 
     conclusion of the debate on the resolution with respect to a 
     reorganization plan, and a single quorum call at the 
     conclusion of the debate if requested in accordance with the 
     rules of the appropriate House, the vote on final passage of 
     the resolution shall occur.
       (4) Appeals.--Appeals from the decisions of the Chair 
     relating to the application of the rules of the Senate or the 
     House of Representatives, as the case may be, to the 
     procedure relating to a resolution with respect to a 
     reorganization plan shall be decided without debate.
       (5) Prior passage.--If, prior to the passage by 1 House of 
     a resolution of that House, that House receives a resolution 
     with respect to the same reorganization plan from the other 
     House, then--
       (A) the procedure in that House shall be the same as if no 
     resolution had been received from the other House; but
       (B) the vote on final passage shall be on the resolution of 
     the other House.

     SEC. 735. MISCELLANEOUS PROVISIONS.

       (a) Seal.--The Department shall have a seal, whose design 
     is subject to the approval of the President.
       (b) Participation of Members of the Armed Forces.--With 
     respect to the Department, the Secretary shall have the same 
     authorities that the Secretary of Transportation has with 
     respect to the Department of Transportation under section 324 
     of title 49, United States Code.
       (c) Redelegation of Functions.--Unless otherwise provided 
     in the delegation or by law, any function delegated under 
     this Act may be redelegated to any subordinate.

     SEC. 736. AUTHORIZATION OF APPROPRIATIONS.

       There are authorized to be appropriated such sums as may be 
     necessary to carry out the provisions of this Act.

     SEC. 737. REGULATORY AUTHORITY.

       Except as specifically provided in this Act, this Act vests 
     in the Secretary or any other

[[Page S9319]]

     Federal official, and transfers to the Secretary or another 
     Federal official only such regulatory authority as exists on 
     the date of enactment of this Act within any agency, program, 
     or function transferred to the Department pursuant to this 
     Act, or that on such date of enactment is exercised by 
     another official of the executive branch with respect to such 
     agency, program, or function. Any such transferred authority 
     may not be exercised by an official from whom it is 
     transferred upon transfer of such agency, program, or 
     function to the Secretary or another Federal official 
     pursuant to this Act. This Act does not alter or diminish the 
     regulatory authority of any other executive agency, except to 
     the extent that this Act transfers such authority from the 
     agency.

     SEC. 738. USE OF APPROPRIATED FUNDS.

       (a) Applicability of This Section.--Notwithstanding any 
     other provision of this Act or any other law, this section 
     shall apply to the use of any funds, disposal of property, 
     and acceptance, use, and disposal of gifts, or donations of 
     services or property, of, for, or by the Department, 
     including any agencies, entities, or other organizations 
     transferred to the Department under this Act.
       (b) Authorization of Appropriations To Create Department.--
     There is authorized to be appropriated $160,000,000 for the 
     Office of Homeland Security in the Executive Office of the 
     President to be transferred without delay to the Department 
     upon its creation by enactment of this Act, notwithstanding 
     subsection (c)(1)(C) such funds shall be available only for 
     the payment of necessary salaries and expenses associated 
     with the initiation of operations of the Department.
       (c) Use of Transferred Funds.--
       (1) In general.--Except as may be provided in this 
     subsection or in an appropriations Act in accordance with 
     subsection (e), balances of appropriations and any other 
     funds or assets transferred under this Act--
       (A) shall be available only for the purposes for which they 
     were originally available;
       (B) shall remain subject to the same conditions and 
     limitations provided by the law originally appropriating or 
     otherwise making available the amount, including limitations 
     and notification requirements related to the reprogramming of 
     appropriated funds; and
       (C) shall not be used to fund any new position established 
     under this Act.
       (2) Transfer of funds.--
       (A) In general.--After the creation of the Department and 
     the swearing in of its Secretary, and upon determination by 
     the Secretary that such action is necessary in the national 
     interest, the Secretary is authorized to transfer, with the 
     approval of the Office of Management and Budget, not to 
     exceed $140,000,000 of unobligated funds from organizations 
     and entities transferred to the new Department by this Act.
       (B) Limitation.--Notwithstanding paragraph (1)(C), funds 
     authorized to be transferred by subparagraph (2)(A) shall be 
     available only for payment of necessary costs, including 
     funding of new positions, for the initiation of operations of 
     the Department and may not be transferred unless the 
     Committees on Appropriations are notified at least 15 days in 
     advance of any proposed transfer and have approved such 
     transfer in advance.
       (C) Notification.--The notification required in 
     subparagraph (2)(B) shall include a detailed justification of 
     the purposes for which the funds are to be used and a 
     detailed statement of the impact on the program or 
     organization that is the source of the funds, and shall be 
     submitted in accordance with reprogramming procedures to be 
     established by the Committees on Appropriations.
       (D) Use for other items.--The authority to transfer funds 
     established in this section may not be used unless for higher 
     priority items, based on demonstrated homeland security 
     requirements, than those for which funds originally were 
     appropriated and in no case where the item for which funds 
     are requested has been denied by Congress.
       (d) Notification Regarding Transfers.--The President shall 
     notify Congress not less than 15 days before any transfer of 
     appropriations balances, other funds, or assets under this 
     Act.
       (e) Additional Uses of Funds During Transition.--Subject to 
     subsections (c) and (d), amounts transferred to, or otherwise 
     made available to, the Department may be used during the 
     transition period, as defined in section 801(2), for purposes 
     in addition to those for which such amounts were originally 
     available (including by transfer among accounts of the 
     Department), but only to the extent such transfer or use is 
     specifically permitted in advance in an appropriations Act 
     and only under the conditions and for the purposes specified 
     in such appropriations Act.
       (f) Disposal of Property.--
       (1) Strict compliance.--If specifically authorized to 
     dispose of real property in this or any other Act, the 
     Secretary shall exercise this authority in strict compliance 
     with section 204 of the Federal Property and Administrative 
     Services Act of 1949 (40 U.S.C. 485).
       (2) Deposit of proceeds.--The Secretary shall deposit the 
     proceeds of any exercise of property disposal authority into 
     the miscellaneous receipts of the Treasury in accordance with 
     section 3302(b) of title 31, United States Code.
       (g) Gifts.--Gifts or donations of services or property of 
     or for the Department may not be accepted, used, or disposed 
     of unless specifically permitted in advance in an 
     appropriations Act and only under the conditions and for the 
     purposes specified in such appropriations Act.
       (h) Budget Request.--Under section 1105 of title 31, United 
     States Code, the President shall submit to Congress a 
     detailed budget request for the Department for fiscal year 
     2004, and for each subsequent fiscal year.

     SEC. 739. FUTURE YEARS HOMELAND SECURITY PROGRAM.

       (a) In General.--Each budget request submitted to Congress 
     for the Department under section 1105 of title 31, United 
     States Code, shall, at or about the same time, be accompanied 
     by a Future Years Homeland Security Program.
       (b) Contents.--The Future Years Homeland Security Program 
     under subsection (a) shall be structured, and include the 
     same type of information and level of detail, as the Future 
     Years Defense Program submitted to Congress by the Department 
     of Defense under section 221 of title 10, United States Code.
       (c) Effective Date.--This section shall take effect with 
     respect to the preparation and submission of the fiscal year 
     2005 budget request for the Department and for any subsequent 
     fiscal year, except that the first Future Years Homeland 
     Security Program shall be submitted not later than 90 days 
     after the Department's fiscal year 2005 budget request is 
     submitted to Congress.

     SEC. 739A. BIOTERRORISM PREPAREDNESS AND RESPONSE DIVISION.

       Section 319D of the Public Health Service Act (42 U.S.C. 
     2472-4) is amended--
       (1) by redesignating subsection (c) as subsection (d); and
       (2) by inserting after subsection (b), the following:
       ``(c) Bioterrorism Preparedness and Response Division.--
       ``(1) Establishment.--There is established within the 
     Office of the Director of the Centers for Disease Control and 
     Prevention a Bioterrorism Preparedness and Response Division 
     (in this subsection referred to as the `Division').
       ``(2) Mission.--The Division shall have the following 
     primary missions:
       ``(A) To lead and coordinate the activities and 
     responsibilities of the Centers for Disease Control and 
     Prevention with respect to countering bioterrorism.
       ``(B) To coordinate and facilitate the interaction of 
     Centers for Disease Control and Prevention personnel with 
     personnel from the Department of Homeland Security and, in so 
     doing, serve as a major contact point for 2-way 
     communications between the jurisdictions of homeland security 
     and public health.
       ``(C) To train and employ a cadre of public health 
     personnel who are dedicated full-time to the countering of 
     bioterrorism.
       ``(3) Responsibilities.--In carrying out the mission under 
     paragraph (2), the Division shall assume the responsibilities 
     of and budget authority for the Centers for Disease Control 
     and Prevention with respect to the following programs:
       ``(A) The Bioterrorism Preparedness and Response Program.
       ``(B) The Strategic National Stockpile.
       ``(C) Such other programs and responsibilities as may be 
     assigned to the Division by the Director of the Centers for 
     Disease Control and Prevention.
       ``(4) Director.--There shall be in the Division a Director, 
     who shall be appointed by the Director of the Centers for 
     Disease Control and Prevention, in consultation with the 
     Secretary of Health and Human Services and the Secretary of 
     Homeland Security.
       ``(5) Staffing.--Under agreements reached between the 
     Director of the Centers for Disease Control and Prevention 
     and the Secretary of Homeland Security--
       ``(A) the Division may be staffed, in part, by personnel 
     assigned from the Department of Homeland Security by the 
     Secretary of Homeland Security; and
       ``(B) the Director of the Centers for Disease Control and 
     Prevention may assign some personnel from the Division to the 
     Department of Homeland Security.''.

     SEC. 739B. COORDINATION WITH THE DEPARTMENT OF HEALTH AND 
                   HUMAN SERVICES UNDER THE PUBLIC HEALTH SERVICE 
                   ACT.

       (a) In General.--The annual Federal response plan developed 
     by the Secretary under sections 102(b)(14) and 134(b)(7) 
     shall be consistent with section 319 of the Public Health 
     Service Act (42 U.S.C. 247d).
       (b) Disclosures Among Relevant Agencies.--
       (1) In general.--Full disclosure among relevant agencies 
     shall be made in accordance with this subsection.
       (2) Public health emergency.--During the period in which 
     the Secretary of Health and Human Services has declared the 
     existence of a public health emergency under section 319(a) 
     of the Public Health Service Act (42 U.S.C. 247d(a)), the 
     Secretary of Health and Human Services shall keep relevant 
     agencies, including the Department of Homeland Security, the 
     Department of Justice, and the Federal Bureau of 
     Investigation, fully and currently informed.
       (3) Potential public health emergency.--In cases involving, 
     or potentially involving, a public health emergency, but in 
     which no determination of an emergency by the Secretary of 
     Health and Human Services under section 319(a) of the Public 
     Health Service Act (42 U.S.C. 247d(a)), has been made, all 
     relevant agencies, including the Department of Homeland 
     Security, the Department of

[[Page S9320]]

     Justice, and the Federal Bureau of Investigation, shall keep 
     the Secretary of Health and Human Services and the Director 
     of the Centers for Disease Control and Prevention fully and 
     currently informed.

Subtitle E--Risk Sharing and Indemnification for Contractors Supplying 
                 Anti-Terrorism Technology and Services

     SEC. 741. APPLICATION OF INDEMNIFICATION AUTHORITY.

       (a) In General.--The President may exercise the 
     discretionary authority to indemnify contractors and 
     subcontractors under Public Law 85-804 (50 U.S.C. 1431 et 
     seq.) for a procurement of an anti-terrorism technology or an 
     anti-terrorism service for the purpose of preventing, 
     detecting, identifying, otherwise deterring, or recovering 
     from acts of terrorism.
       (b) Exercise of Authority.--In exercising the authority 
     under subsection (a), the President may include, among other 
     things--
       (1) economic damages not fully covered by private liability 
     insurance within the scope of the losses or damages of the 
     indemnification coverage;
       (2) a requirement that an indemnification provision 
     included in a contract or subcontract be negotiated prior to 
     the commencement of the performance of the contract;
       (3) the coverage of information technology used to prevent, 
     detect, identify, otherwise deter, or recover from acts of 
     terrorism; and
       (4) the coverage of the United States Postal Service.

     SEC. 742. APPLICATION OF INDEMNIFICATION AUTHORITY TO STATE 
                   AND LOCAL GOVERNMENT CONTRACTORS.

       (a) In General.--Subject to the limitations of subsection 
     (b), the President may exercise the discretionary authority 
     to indemnify contractors and subcontractors under Public Law 
     85-804 (50 U.S.C. 1431 et seq.) for a procurement by a State 
     or unit of local government of an anti-terrorism technology 
     or an anti-terrorism service for the purpose of preventing, 
     detecting, identifying, otherwise deterring, or recovering 
     from acts of terrorism.
       (b) Exercise of Authority.--The authority of subsection (a) 
     may be exercised only--
       (1) for procurements of a State or unit of local government 
     that are made by the Secretary under contracts awarded by the 
     Secretary pursuant to the authorities of section 743;
       (2) with written approval from the Secretary, or any other 
     official designated by the President, for each procurement in 
     which indemnification is to be provided; and
       (3) with respect to--
       (A) amounts of losses or damages not fully covered by 
     private liability insurance and State or local government-
     provided indemnification; and
       (B) liabilities arising out of other than the contractor's 
     willful misconduct or lack of good faith.

     SEC. 743. PROCUREMENTS OF ANTI-TERRORISM TECHNOLOGIES AND 
                   ANTI-TERRORISM SERVICES BY STATE AND LOCAL 
                   GOVERNMENTS THROUGH FEDERAL CONTRACTS.

       (a) In General.--
       (1) Establishment of program.--The Secretary shall 
     establish a program under which States and units of local 
     government may procure through contracts entered into by the 
     Secretary anti-terrorism technology or an anti-terrorism 
     service for the purpose of preventing, detecting, 
     identifying, otherwise deterring, or recovering from acts of 
     terrorism.
       (2) Authorities.--For the sole purposes of this program, 
     the Secretary may, but shall not be required to, award 
     contracts using the same authorities provided to the 
     Administrator of General Services under section 309(b)(3) of 
     the Federal Property and Administrative Services Act, 41 
     U.S.C. 259(b)(3).
       (3) Offers not required to state and local governments.--A 
     contractor that sells anti-terrorism technology or anti-
     terrorism services to the Federal Government shall not be 
     required to offer such technology or services to a State or 
     unit of local government.
       (b) Responsibilities of the Secretary.--In carrying out the 
     program established by this section, the Secretary shall--
       (1) produce and maintain a catalog of anti-terrorism 
     technologies and anti-terrorism services suitable for 
     procurement by States and units of local government under 
     this program; and
       (2) establish procedures in accordance with subsection (c) 
     to address the procurement of anti-terrorism technologies and 
     anti-terrorism services by States and units of local 
     government under contracts awarded by the Secretary.
       (c) Required Procedures.--The procedures required by 
     subsection (b)(2) shall implement the following requirements 
     and authorities:
       (1) Submissions by states.--
       (A) In general.--Except as provided in subparagraph (B), 
     each State desiring to participate in a procurement of anti-
     terrorism technologies or anti-terrorism services through a 
     contract entered into by the Secretary shall submit to the 
     Secretary in such form and manner and at such times as the 
     Secretary prescribes, the following:
       (i) Request.--A request consisting of an enumeration of the 
     technologies or services, respectively, that are desired by 
     the State and units of local government within the State.
       (ii) Payment.--Advance payment for each requested 
     technology or service in an amount determined by the 
     Secretary based on estimated or actual costs of the 
     technology or service and administrative costs incurred by 
     the Secretary.
       (B) Award by Secretary.--The Secretary may award and 
     designate contracts under which States and units of local 
     government may procure anti-terrorism technologies and anti-
     terrorism services directly from the contract holders. No 
     indemnification may be provided under the authorities set 
     forth in section 742 for procurements that are made directly 
     between contractors and States or units of local government.
       (2) Permitted catalog technologies and services.--A State 
     may include in a request submitted under paragraph (1) only a 
     technology or service listed in the catalog produced under 
     subsection (b)(1).
       (3) Coordination of local requests within state.--The 
     Governor of a State (or the Mayor of the District of 
     Columbia) may establish such procedures as the Governor (or 
     the Mayor of the District of Columbia) considers appropriate 
     for administering and coordinating requests for anti-
     terrorism technologies or anti-terrorism services from units 
     of local government within the State.
       (4) Shipment and transportation costs.--A State requesting 
     anti-terrorism technologies or anti-terrorism services shall 
     be responsible for arranging and paying for any shipment or 
     transportation costs necessary to deliver the technologies or 
     services, respectively, to the State and localities within 
     the State.
       (d) Reimbursement of Actual Costs.--In the case of a 
     procurement made by or for a State or unit of local 
     government under the procedures established under this 
     section, the Secretary shall require the State or unit of 
     local government to reimburse the Department for the actual 
     costs it has incurred for such procurement.
       (e) Time for Implementation.--The catalog and procedures 
     required by subsection (b) of this section shall be completed 
     as soon as practicable and no later than 210 days after the 
     enactment of this Act.

     SEC. 744. CONGRESSIONAL NOTIFICATION.

       (a) In General.--Notwithstanding any other law, a Federal 
     agency shall, when exercising the discretionary authority of 
     Public Law 85-804, as amended by section 742, to indemnify 
     contractors and subcontractors, provide written notification 
     to the Committees identified in subsection (b) within 30 days 
     after a contract clause is executed to provide 
     indemnification.
       (b) Submission.--The notification required by subsection 
     (a) shall be submitted to--
       (1) the Appropriations Committees of the Senate and House;
       (2) the Armed Services Committees of the Senate and House;
       (3) the Senate Governmental Affairs Committee; and
       (4) the House Government Reform Committee.

     SEC. 745. DEFINITIONS.

       In this subtitle:
       (1) Anti-terrorism technology and service.--The terms 
     ``anti-terrorism technology'' and ``anti-terrorism service'' 
     mean any product, equipment, or device, including information 
     technology, and any service, system integration, or other 
     kind of service (including a support service), respectively, 
     that is related to technology and is designed, developed, 
     modified, or procured for the purpose of preventing, 
     detecting, identifying, otherwise deterring, or recovering 
     from acts of terrorism.
       (2) Act of terrorism.--The term ``act of terrorism'' means 
     a calculated attack or threat of attack against any person, 
     property, or infrastructure to inculcate fear, or to 
     intimidate or coerce a government, the civilian population, 
     or any segment thereof, in the pursuit of political, 
     religious, or ideological objectives.
       (3) Information technology.--The term ``information 
     technology'' has the meaning such term in section 11101(6) of 
     title 40, United States Code.
       (4) State.--The term ``State'' includes the District of 
     Columbia, the Commonwealth of Puerto Rico, the Commonwealth 
     of the Northern Mariana Islands, and any territory or 
     possession of the United States.
       (5) Unit of local government.--The term ``unit of local 
     government'' means any city, county, township, town, borough, 
     parish, village, or other general purpose political 
     subdivision of a State; an Indian tribe which performs law 
     enforcement functions as determined by the Secretary of the 
     Interior; or any agency of the District of Columbia 
     Government or the United States Government performing law 
     enforcement functions in and for the District of Columbia or 
     the Trust Territory of the Pacific Islands.

         Subtitle F--Federal Emergency Procurement Flexibility

     SEC. 751. DEFINITION.

       In this title, the term ``executive agency'' has the 
     meaning given that term under section 4(1) of the Office of 
     Federal Procurement Policy Act (41 U.S.C. 403(1)).

     SEC. 752. PROCUREMENTS FOR DEFENSE AGAINST OR RECOVERY FROM 
                   TERRORISM OR NUCLEAR, BIOLOGICAL, CHEMICAL, OR 
                   RADIOLOGICAL ATTACK.

       The authorities provided in this subtitle apply to any 
     procurement of property or services by or for an executive 
     agency that, as determined by the head of the executive 
     agency, are to be used to facilitate defense against or 
     recovery from terrorism or nuclear, biological, chemical, or 
     radiological

[[Page S9321]]

     attack, but only if a solicitation of offers for the 
     procurement is issued during the 1-year period beginning on 
     the date of the enactment of this Act.

     SEC. 753. INCREASED SIMPLIFIED ACQUISITION THRESHOLD FOR 
                   PROCUREMENTS IN SUPPORT OF HUMANITARIAN OR 
                   PEACEKEEPING OPERATIONS OR CONTINGENCY 
                   OPERATIONS.

       (a) Temporary Threshold Amounts.--For a procurement 
     referred to in section 752 that is carried out in support of 
     a humanitarian or peacekeeping operation or a contingency 
     operation, the simplified acquisition threshold definitions 
     shall be applied as if the amount determined under the 
     exception provided for such an operation in those definitions 
     were--
       (1) in the case of a contract to be awarded and performed, 
     or purchase to be made, inside the United States, $250,000; 
     or
       (2) in the case of a contract to be awarded and performed, 
     or purchase to be made, outside the United States, $500,000.
       (b) Simplified Acquisition Threshold Definitions.--In this 
     section, the term ``simplified acquisition threshold 
     definitions'' means the following:
       (1) Section 4(11) of the Office of Federal Procurement 
     Policy Act (41 U.S.C. 403(11)).
       (2) Section 309(d) of the Federal Property and 
     Administrative Services Act of 1949 (41 U.S.C. 259(d)).
       (3) Section 2302(7) of title 10, United States Code.
       (c) Small Business Reserve.--For a procurement carried out 
     pursuant to subsection (a), section 15(j) of the Small 
     Business Act (15 U.S.C. 644(j)) shall be applied as if the 
     maximum anticipated value identified therein is equal to the 
     amounts referred to in subsection (a).

     SEC. 754. INCREASED MICRO-PURCHASE THRESHOLD FOR CERTAIN 
                   PROCUREMENTS.

       In the administration of section 32 of the Office of 
     Federal Procurement Policy Act (41 U.S.C. 428) with respect 
     to a procurement referred to in section 752, the amount 
     specified in subsections (c), (d), and (f) of such section 32 
     shall be deemed to be $10,000.

     SEC. 755. APPLICATION OF CERTAIN COMMERCIAL ITEMS AUTHORITIES 
                   TO CERTAIN PROCUREMENTS.

       (a) Authority.--
       (1) In general.--The head of an executive agency may apply 
     the provisions of law listed in paragraph (2) to a 
     procurement referred to in section 752 without regard to 
     whether the property or services are commercial items.
       (2) Commercial item laws.--The provisions of law referred 
     to in paragraph (1) are as follows:
       (A) Sections 31 and 34 of the Office of Federal Procurement 
     Policy Act (41 U.S.C. 427, 430).
       (B) Section 2304(g) of title 10, United States Code.
       (C) Section 303(g) of the Federal Property and 
     Administrative Services Act of 1949 (41 U.S.C. 253(g)).
       (b) Inapplicability of Limitation on Use of Simplified 
     Acquisition Procedures.--
       (1) In general.--The $5,000,000 limitation provided in 
     section 31(a)(2) of the Office of Federal Procurement Policy 
     Act (41 U.S.C. 427(a)(2)), section 2304(g)(1)(B) of title 10, 
     United States Code, and section 303(g)(1)(B) of the Federal 
     Property and Administrative Services Act of 1949 (41 U.S.C. 
     253(g)(1)(B)) shall not apply to purchases of property or 
     services to which any of the provisions of law referred to in 
     subsection (a) are applied under the authority of this 
     section.
       (2) OMB guidance.--The Director of the Office of Management 
     and Budget shall issue guidance and procedures for the use of 
     simplified acquisition procedures for a purchase of property 
     or services in excess of $5,000,000 under the authority of 
     this section.
       (c) Continuation of Authority for Simplified Purchase 
     Procedures.--Authority under a provision of law referred to 
     in subsection (a)(2) that expires under section 4202(e) of 
     the Clinger-Cohen Act of 1996 (divisions D and E of Public 
     Law 104-106; 10 U.S.C. 2304 note) shall, notwithstanding such 
     section, continue to apply for use by the head of an 
     executive agency as provided in subsections (a) and (b).

     SEC. 756. USE OF STREAMLINED PROCEDURES.

       (a) Required Use.--The head of an executive agency shall, 
     when appropriate, use streamlined acquisition authorities and 
     procedures authorized by law for a procurement referred to in 
     section 752, including authorities and procedures that are 
     provided under the following provisions of law:
       (1) Federal property and administrative services act of 
     1949.--In title III of the Federal Property and 
     Administrative Services Act of 1949:
       (A) Paragraphs (1), (2), (6), and (7) of subsection (c) of 
     section 303 (41 U.S.C. 253), relating to use of procedures 
     other than competitive procedures under certain circumstances 
     (subject to subsection (e) of such section).
       (B) Section 303J (41 U.S.C. 253j), relating to orders under 
     task and delivery order contracts.
       (2) Title 10, united states code.--In chapter 137 of title 
     10, United States Code:
       (A) Paragraphs (1), (2), (6), and (7) of subsection (c) of 
     section 2304, relating to use of procedures other than 
     competitive procedures under certain circumstances (subject 
     to subsection (e) of such section).
       (B) Section 2304c, relating to orders under task and 
     delivery order contracts.
       (3) Office of federal procurement policy act.--Paragraphs 
     (1)(B), (1)(D), and (2) of section 18(c) of the Office of 
     Federal Procurement Policy Act (41 U.S.C. 416(c)), relating 
     to inapplicability of a requirement for procurement notice.
       (b) Waiver of Certain Small Business Threshold 
     Requirements.--Subclause (II) of section 8(a)(1)(D)(i) of the 
     Small Business Act (15 U.S.C. 637(a)(1)(D)(i)) and clause 
     (ii) of section 31(b)(2)(A) of such Act (15 U.S.C. 
     657a(b)(2)(A)) shall not apply in the use of streamlined 
     acquisition authorities and procedures referred to in 
     paragraphs (1)(A) and (2)(A) of subsection (a) for a 
     procurement referred to in section 752.

     SEC. 757. REVIEW AND REPORT BY COMPTROLLER GENERAL.

       (a) Requirements.--Not later than March 31, 2004, the 
     Comptroller General shall--
       (1) complete a review of the extent to which procurements 
     of property and services have been made in accordance with 
     this subtitle; and
       (2) submit a report on the results of the review to the 
     Committee on Governmental Affairs of the Senate and the 
     Committee on Government Reform of the House of 
     Representatives.
       (b) Content of Report.--The report under subsection (a)(2) 
     shall include the following matters:
       (1) Assessment.--The Comptroller General's assessment of--
       (A) the extent to which property and services procured in 
     accordance with this title have contributed to the capacity 
     of the workforce of Federal Government employees within each 
     executive agency to carry out the mission of the executive 
     agency; and
       (B) the extent to which Federal Government employees have 
     been trained on the use of technology.
       (2) Recommendations.--Any recommendations of the 
     Comptroller General resulting from the assessment described 
     in paragraph (1).
       (c) Consultation.--In preparing for the review under 
     subsection (a)(1), the Comptroller shall consult with the 
     Committee on Governmental Affairs of the Senate and the 
     Committee on Government Reform of the House of 
     Representatives on the specific issues and topics to be 
     reviewed. The extent of coverage needed in areas such as 
     technology integration, employee training, and human capital 
     management, as well as the data requirements of the study, 
     shall be included as part of the consultation.

     SEC. 758. IDENTIFICATION OF NEW ENTRANTS INTO THE FEDERAL 
                   MARKETPLACE.

       The head of each executive agency shall conduct market 
     research on an ongoing basis to identify effectively the 
     capabilities, including the capabilities of small businesses 
     and new entrants into Federal contracting, that are available 
     in the marketplace for meeting the requirements of the 
     executive agency in furtherance of defense against or 
     recovery from terrorism or nuclear, biological, chemical, or 
     radiological attack. The head of the executive agency shall, 
     to the maximum extent practicable, take advantage of 
     commercially available market research methods, including use 
     of commercial databases, to carry out the research.

                        Subtitle G--Coast Guard

     SEC. 761. PRESERVING COAST GUARD MISSION PERFORMANCE.

       (a) Definitions.--In this section:
       (1) Non-homeland security missions.--The term ``non-
     homeland security missions'' means the following missions of 
     the Coast Guard:
       (A) Marine safety.
       (B) Search and rescue.
       (C) Aids to navigation.
       (D) Living marine resources (e.g., fisheries law 
     enforcement).
       (E) Marine environmental protection.
       (F) Ice operations.
       (2) Homeland security missions.--The term ``homeland 
     security missions'' means the following missions of the Coast 
     Guard:
       (A) Ports, waterways and coastal security.
       (B) Drug interdiction.
       (C) Migrant interdiction.
       (D) Defense readiness.
       (E) Other law enforcement.
       (b) Transfer.--There are transferred to the Department the 
     authorities, functions, personnel, and assets of the Coast 
     Guard, which shall be maintained as a distinct entity within 
     the Department, including the authorities and functions of 
     the Secretary of Transportation relating thereto.
       (c) Maintenance of Status of Functions and Assets.--
     Notwithstanding any other provision of this Act, the 
     authorities, functions, assets, organizational structure, 
     units, personnel, and non-homeland security missions of the 
     Coast Guard shall be maintained intact and without reduction 
     after the transfer of the Coast Guard to the Department, 
     except as specified in subsequent Acts. Nothing in this 
     paragraph shall prevent the Coast Guard from replacing or 
     upgrading any asset with an asset of equivalent or greater 
     capabilities.
       (d) Certain Transfers Prohibited.--
       (1) In general.--None of the missions, functions, 
     personnel, and assets (including ships, aircraft, 
     helicopters, and vehicles) of the Coast Guard may be 
     transferred to the operational control of, or diverted to the 
     principal and continuing use of, any other organization, 
     unit, or entity of the Department.
       (2) Applicability.--The restrictions in paragraph (1) shall 
     not apply--
       (A) to any joint operation of less than 90 days between the 
     Coast Guard and other entities and organizations of the 
     Department; or

[[Page S9322]]

       (B) to any detail or assignment of any individual member or 
     civilian employee of the Coast Guard to any other entity or 
     organization of the Department for the purposes of ensuring 
     effective liaison, coordination, and operations of the Coast 
     Guard and that entity or organization, except that the total 
     number of individuals detailed or assigned in this capacity 
     may not exceed 50 individuals during any fiscal year.
       (e) Changes to Non-Homeland Security Missions.--
       (1) Prohibition.--The Secretary may not make any 
     substantial or significant change to any of the non-homeland 
     security missions of the Coast Guard, or to the capabilities 
     of the Coast Guard to carry out each of the non-homeland 
     security missions, without the prior approval of Congress as 
     expressed in a subsequent Act. With respect to a change to 
     the capabilities of the Coast Guard to carry out each of the 
     non-homeland security missions, the restrictions in this 
     paragraph shall not apply when such change shall result in an 
     increase in those capabilities.
       (2) Waiver.--The President may waive the restrictions under 
     paragraph (1) for a period of not to exceed 90 days upon a 
     declaration and certification by the President to Congress 
     that a clear, compelling, and immediate state of national 
     emergency exists that justifies such a waiver. A 
     certification under this paragraph shall include a detailed 
     justification for the declaration and certification, 
     including the reasons and specific information that 
     demonstrate that the Nation and the Coast Guard cannot 
     respond effectively to the national emergency if the 
     restrictions under paragraph (1) are not waived.
       (f) Annual Review.--
       (1) In general.--The Inspector General of the Department 
     shall conduct an annual review that shall assess thoroughly 
     the performance by the Coast Guard of all missions of the 
     Coast Guard (including non-homeland security missions and 
     homeland security missions) with a particular emphasis on 
     examining the non-homeland security missions.
       (2) Report.--The Inspector General shall submit the 
     detailed results of the annual review and assessment required 
     by paragraph (1) not later than March 1 of each year directly 
     to--
       (A) the Committee on Governmental Affairs of the Senate;
       (B) the Committee on Government Reform of the House of 
     Representatives;
       (C) the Committees on Appropriations of the Senate and the 
     House of Representatives;
       (D) the Committee on Commerce, Science, and Transportation 
     of the Senate; and
       (E) the Committee on Transportation and Infrastructure of 
     the House of Representatives.
       (g) Direct Reporting to Secretary.--Upon the transfer of 
     the Coast Guard to the Department, the Commandant shall 
     report directly to the Secretary without being required to 
     report through any other official of the Department.
       (h) Operation as a Service in the Navy.--None of the 
     conditions and restrictions in this section shall apply when 
     the Coast Guard operates as a service in the Navy under 
     section 3 of title 14, United States Code.

                         TITLE VIII--TRANSITION

     SEC. 801. DEFINITIONS.

       In this title:
       (1) Agency.--The term ``agency'' includes any entity, 
     organizational unit, or function; and
       (2) Transition period.--The term ``transition period'' 
     means the 12-month period beginning on the effective date of 
     this Act.

     SEC. 802. TRANSFER OF AGENCIES.

       The transfer of an agency to the Department shall occur 
     when the President so directs, but in no event later than the 
     end of the transition period. When an agency is transferred, 
     the President may also transfer to the Department any agency 
     established to carry out or support adjudicatory or review 
     functions in relation to the agency.

     SEC. 803. TRANSITIONAL AUTHORITIES.

       (a) Provision of Assistance by Officials.--Until the 
     transfer of an agency to the Department, any official having 
     authority over, or functions relating to, the agency 
     immediately before the effective date of this Act shall 
     provide to the Secretary such assistance, including the use 
     of personnel and assets, as the Secretary may request in 
     preparing for the transfer and integration of the agency into 
     the Department.
       (b) Services and Personnel.--During the transition period, 
     upon the request of the Secretary, the head of any executive 
     agency may, on a reimbursable or nonreimbursable basis, 
     provide services or detail personnel to assist with the 
     transition.
       (c) Acting Officials.--
       (1) In general.--
       (A) Designation.--During the transition period, pending the 
     advice and consent of the Senate to the appointment of an 
     officer required by this Act to be appointed by and with such 
     advice and consent, the President may designate any officer 
     whose appointment was required to be made by and with such 
     advice and consent and who was such an officer immediately 
     before the effective date of this Act (and who continues in 
     office) or immediately before such designation, to act in 
     such office until the same is filled as provided in this Act.
       (B) Compensation.--While serving as an acting officer under 
     subparagraph (A), that officer shall receive compensation at 
     the higher of the rate provided--
       (i) by this Act for the office in which that officer acts; 
     or
       (ii) for the office held at the time of designation.
       (2) Rule of construction.--Nothing in this Act shall be 
     construed to require the advice and consent of the Senate to 
     the appointment by the President to a position in the 
     Department of any officer whose--
       (A) agency is transferred to the Department under this Act; 
     and
       (B) duties following such transfer are germane to those 
     performed before such transfer.
       (d) Transfer of Personnel, Assets, Liabilities, and 
     Functions.--Upon the transfer of an agency to the 
     Department--
       (1) the personnel, assets, and liabilities held by or 
     available in connection with the agency shall be transferred 
     to the Secretary for appropriate allocation, subject to the 
     approval of the Director of the Office of Management and 
     Budget; and
       (2) the Secretary shall have all functions--
       (A) relating to the agency that any other official could by 
     law exercise in relation to the agency immediately before 
     such transfer; and
       (B) vested in the Secretary by this Act or other law.

     SEC. 804. SAVINGS PROVISIONS.

       (a) Completed Administrative Actions.--
       (1) In general.--Completed administrative actions of an 
     agency shall not be affected by the enactment of this Act or 
     the transfer of such agency to the Department, but shall 
     continue in effect according to their terms until amended, 
     modified, superseded, terminated, set aside, or revoked in 
     accordance with law by an officer of the United States or a 
     court of competent jurisdiction, or by operation of law.
       (2) Included actions.--For purposes of paragraph (1), the 
     term ``completed administrative actions'' includes orders, 
     determinations, rules, regulations, personnel actions, 
     permits, agreements, grants, contracts, certificates, 
     licenses, registrations, and privileges.
       (b) Pending Proceedings.--Subject to the authority of the 
     Secretary under this Act--
       (1) pending proceedings in an agency, including notices of 
     proposed rulemaking, and applications for licenses, permits, 
     certificates, grants, and financial assistance, shall 
     continue notwithstanding the enactment of this Act or the 
     transfer of the agency to the Department, unless discontinued 
     or modified under the same terms and conditions and to the 
     same extent that such discontinuance could have occurred if 
     such enactment or transfer had not occurred; and
       (2) orders issued in such proceedings, and appeals 
     therefrom, and payments made pursuant to such orders, shall 
     issue in the same manner and on the same terms as if this Act 
     had not been enacted or the agency had not been transferred, 
     and any such orders shall continue in effect until amended, 
     modified, superseded, terminated, set aside, or revoked by an 
     officer of the United States or a court of competent 
     jurisdiction, or by operation of law.
       (c) Pending Civil Actions.--Subject to the authority of the 
     Secretary under this Act, pending civil actions shall 
     continue notwithstanding the enactment of this Act or the 
     transfer of an agency to the Department, and in such civil 
     actions, proceedings shall be had, appeals taken, and 
     judgments rendered and enforced in the same manner and with 
     the same effect as if such enactment or transfer had not 
     occurred.
       (d) References.--References relating to an agency that is 
     transferred to the Department in statutes, Executive orders, 
     rules, regulations, directives, or delegations of authority 
     that precede such transfer or the effective date of this Act 
     shall be deemed to refer, as appropriate, to the Department, 
     to its officers, employees, or agents, or to its 
     corresponding organizational units or functions.
       (e) Statutory Reporting Requirements.--Any statutory 
     reporting requirement that applied to an agency, transferred 
     to the Department under this Act, immediately before the 
     effective date of this Act shall continue to apply following 
     that transfer if the statutory requirement refers to the 
     agency by name.
       (f) Employment Provisions.--Except as otherwise provided in 
     this Act, or under authority granted by this Act, the 
     transfer under this Act of personnel shall not alter the 
     terms and conditions of employment, including compensation, 
     of any employee so transferred.

     SEC. 805. TERMINATIONS.

       Except as otherwise provided in this Act, whenever all the 
     functions vested by law in any agency have been transferred 
     under this Act, each position and office the incumbent of 
     which was authorized to receive compensation at the rates 
     prescribed for an office or position at level II, III, IV, or 
     V, of the Executive Schedule, shall terminate.

     SEC. 806. INCIDENTAL TRANSFERS.

       The Director of the Office of Management and Budget, in 
     consultation with the Secretary, is authorized and directed 
     to make such additional incidental dispositions of personnel, 
     assets, and liabilities held, used, arising from, available, 
     or to be made available, in connection with the functions 
     transferred by this Act, as the Director may determine 
     necessary to accomplish the purposes of this Act.

[[Page S9323]]

             TITLE IX--CONFORMING AND TECHNICAL AMENDMENTS

     SEC. 901. INSPECTOR GENERAL ACT.

       Section 11 of the Inspector General Act of 1978 (5 U.S.C. 
     App.) is amended in paragraphs (1) and (2)--
       (1) by inserting ``Homeland Security,'' after 
     ``Transportation,'' each place it appears;
       (2) by striking ``; and'' each place it appears and 
     inserting a semicolon;
       (3) by striking ``,,'' and inserting a coma; and
       (4) by striking ``;;'' each place it appears and inserting 
     a semicolon in each such place.

     SEC. 902. EXECUTIVE SCHEDULE.

       Chapter 53 of title 5, United States Code, is amended--
       (1) in section 5312, by inserting after the item relating 
     to the Secretary of Veterans Affairs the following:
       ``Secretary of Homeland Security.'';
       (2) in section 5313, by inserting after the item relating 
     to the Deputy Secretary of Transportation the following:
       ``Deputy Secretary of Homeland Security.'';
       (3) in section 5314, by inserting after the item relating 
     to the Under Secretary for Memorial Affairs, Department of 
     Veterans Affairs the following:
       ``Under Secretaries, Department of Homeland Security.''; 
     and
       (4) in section 5315, by inserting at the end the following:
       ``Assistant Secretaries, Department of Homeland Security.
       ``General Counsel, Department of Homeland Security.
       ``Chief Financial Officer, Department of Homeland Security.
       ``Chief Information Officer, Department of Homeland 
     Security.
       ``Inspector General, Department of Homeland Security.''.

     SEC. 903. UNITED STATES SECRET SERVICE.

       (a) Uniformed Division.--Section 202 of title 3, United 
     States Code, is amended by striking ``Secretary of the 
     Treasury'' and inserting ``Secretary of Homeland Security''.
       (b) Reimbursement of State and Local Governments.--Section 
     208 of title 3, United States Code, is amended by striking 
     ``Secretary of Treasury'' each place it appears and inserting 
     ``Secretary of Homeland Security'' in each such place.
       (c) Powers, Authorities, and Duties.--Section 3056 of title 
     18, United States Code, is amended by striking ``Secretary of 
     the Treasury'' each place it appears and inserting 
     ``Secretary of Homeland Security'' in each such place.
       (d) Effective Date.--The amendments made by this section 
     shall take effect on the date of transfer of the United 
     States Secret Service to the Department.

     SEC. 904. COAST GUARD.

       (a) Title 14, U.S.C.--Title 14 of the United States Code is 
     amended--
       (1) in sections 1, 3, 53, 95, 145, 516, 666, 669, 673 (as 
     added by Public Law 104-201), 673 (as added by Public Law 
     104-324), 674, 687, and 688, by striking ``of 
     Transportation'', each place it appears, and inserting ``of 
     Homeland Security''; and
       (2) after executing the other amendments required by this 
     subsection, by redesignating the section 673 added by Public 
     Law 104-324 as section 673a.
       (b) Title 10, U.S.C.--Section 801(1) of title 10, United 
     States Code, is amended by striking ``the General Counsel of 
     the Department of Transportation'' and inserting ``an 
     official designated to serve as Judge Advocate General of the 
     Coast Guard by the Secretary of Homeland Security''.
       (c) Effective Date.--The amendments made by this section 
     shall take effect on the date of transfer of the Coast Guard 
     to the Department.

     SEC. 905. STRATEGIC NATIONAL STOCKPILE AND SMALLPOX VACCINE 
                   DEVELOPMENT.

       (a) In General.--Section 121 of the Public Health Security 
     and Bioterrorism Preparedness and Response Act of 2002 is 
     amended--
       (1) in subsection (a)(1)--
       (A) by striking ``Secretary of Health and Human Services'' 
     and inserting ``Secretary of Homeland Security'';
       (B) by inserting ``the Secretary of Health and Human 
     Services and'' after ``in coordination with''; and
       (C) by inserting ``of Health and Human Services'' after 
     ``as are determined by the Secretary''; and
       (2) in subsections (a)(2) and (b), by inserting ``of Health 
     and Human Services'' after ``Secretary'' each place it 
     appears.
       (b) Effective Date.--The amendments made by this section 
     shall take effect on the date of transfer of the Strategic 
     National Stockpile of the Department of Health and Human 
     Services to the Department.

     SEC. 906. SELECT AGENT REGISTRATION.

       (a) Public Health Service Act.--The Public Health Service 
     Act is amended--
       (1) in section 351A(a)(1)(A), by inserting ``(as defined in 
     subsection (l)(9))'' after ``Secretary'';
       (2) in section 351A(h)(2)(A), by inserting ``Department of 
     Homeland Security, the'' before ``Department of Health and 
     Human Services'';
       (3) in section 351A(l), by inserting after paragraph (8) 
     the following:
       ``(9) The term `Secretary' means the Secretary of Homeland 
     Security, in consultation with the Secretary of Health and 
     Human Services.''; and
       (4) in section 352A(i)--
       (A) by striking ``(1)'' the first place it appears; and
       (B) by striking paragraph (2).
       (b) Public Health Security and Bioterrorism Preparedness 
     and Response Act of 2002.--Section 201(b) of the Public 
     Health Security and Bioterrorism Preparedness and Response 
     Act of 2002 is amended by striking ``Secretary of Health and 
     Human Services'' and inserting ``Secretary of Homeland 
     Security''.
       (c) Effective Date.--The amendments made by this section 
     shall take effect on the date of transfer of the select agent 
     registration enforcement programs and activities of the 
     Department of Health and Human Services to the Department.

     SEC. 907. NATIONAL BIO-WEAPONS DEFENSE ANALYSIS CENTER.

       There is established in the Department of Defense a 
     National Bio-Weapons Defense Analysis Center, whose mission 
     is to develop countermeasures to potential attacks by 
     terrorists using weapons of mass destruction.

     SEC. 908. MILITARY ACTIVITIES.

       Except as specifically provided in this Act, nothing in 
     this Act shall confer upon the Secretary any authority to 
     engage in war fighting, the military defense of the United 
     States, or other traditional military activities.

     DIVISION B--IMMIGRATION REFORM, ACCOUNTABILITY, AND SECURITY 
                        ENHANCEMENT ACT OF 2002

     SEC. 1001. SHORT TITLE.

       This division may be cited as the ``Immigration Reform, 
     Accountability, and Security Enhancement Act of 2002''.

     SEC. 1002. DEFINITIONS.

       In this division:
       (1) Enforcement bureau.--The term ``Enforcement Bureau'' 
     means the Bureau of Enforcement established in section 114 of 
     the Immigration and Nationality Act, as added by section 1105 
     of this Act.
       (2) Function.--The term ``function'' includes any duty, 
     obligation, power, authority, responsibility, right, 
     privilege, activity, or program.
       (3) Immigration enforcement functions.--The term 
     ``immigration enforcement functions'' has the meaning given 
     the term in section 114(b)(2) of the Immigration and 
     Nationality Act, as added by section 1105 of this Act.
       (4) Immigration laws of the united states.--The term 
     ``immigration laws of the United States'' has the meaning 
     given the term in section 111(e) of the Immigration and 
     Nationality Act, as added by section 1102 of this Act.
       (5) Immigration policy, administration, and inspection 
     functions.--The term ``immigration policy, administration, 
     and inspection functions'' has the meaning given the term in 
     section 112(b)(3) of the Immigration and Nationality Act, as 
     added by section 1103 of this Act.
       (6) Immigration service functions.--The term ``immigration 
     service functions'' has the meaning given the term in section 
     113(b)(2) of the Immigration and Nationality Act, as added by 
     section 1104 of this Act.
       (7) Office.--The term ``office'' includes any office, 
     administration, agency, bureau, institute, council, unit, 
     organizational entity, or component thereof.
       (8) Secretary.--The term ``Secretary'' means the Secretary 
     of Homeland Security.
       (9) Service bureau.--The term ``Service Bureau'' means the 
     Bureau of Immigration Services established in section 113 of 
     the Immigration and Nationality Act, as added by section 1104 
     of this Act.
       (10) Under secretary.--The term ``Under Secretary'' means 
     the Under Secretary of Homeland Security for Immigration 
     Affairs appointed under section 112 of the Immigration and 
     Nationality Act, as added by section 1103 of this Act.

     SEC. 1003. TRANSFER OF IMMIGRATION AND NATURALIZATION SERVICE 
                   FUNCTIONS.

       In accordance with title VIII, there shall be transferred 
     to the Secretary the functions, personnel, assets, and 
     liabilities of the Immigration and Naturalization Service of 
     the Department of Justice, including the functions of the 
     Attorney General relating thereto, to be restructured so as 
     to separate enforcement and service functions.

              TITLE XI--DIRECTORATE OF IMMIGRATION AFFAIRS

                        Subtitle A--Organization

     SEC. 1101. ABOLITION OF INS.

       (a) In General.--The Immigration and Naturalization Service 
     is abolished.
       (b) Repeal.--Section 4 of the Act of February 14, 1903, as 
     amended (32 Stat. 826; relating to the establishment of the 
     Immigration and Naturalization Service), is repealed.

     SEC. 1102. ESTABLISHMENT OF DIRECTORATE OF IMMIGRATION 
                   AFFAIRS.

       (a) Establishment.--Title I of the Immigration and 
     Nationality Act (8 U.S.C. 1101 et seq.) is amended--
       (1) by inserting ``CHAPTER 1--DEFINITIONS AND GENERAL 
     AUTHORITIES'' after ``TITLE I--GENERAL''; and
       (2) by adding at the end the following:

            ``CHAPTER 2--DIRECTORATE OF IMMIGRATION AFFAIRS

     ``SEC. 111. ESTABLISHMENT OF DIRECTORATE OF IMMIGRATION 
                   AFFAIRS.

       ``(a) Establishment.--There is established within the 
     Department of Homeland Security the Directorate of 
     Immigration Affairs.
       ``(b) Principal Officers.--The principal officers of the 
     Directorate are the following:
       ``(1) The Under Secretary for Immigration Affairs appointed 
     under section 112.
       ``(2) The Assistant Secretary for Immigration Services 
     appointed under section 113.

[[Page S9324]]

       ``(3) The Assistant Secretary for Enforcement appointed 
     under section 114.
       ``(c) Functions.--Under the authority of the Secretary of 
     Homeland Security, the Directorate shall perform the 
     following functions:
       ``(1) Immigration policy and administration functions, as 
     defined in section 112(b).
       ``(2) Immigration service and adjudication functions, as 
     defined in section 113(b).
       ``(3) Immigration enforcement functions, as defined in 
     section 114(b), but does not include the functions described 
     in paragraphs (7) and (8) of section 131(b).
       ``(d) Authorization of Appropriations.--
       ``(1) In general.--There are authorized to be appropriated 
     to the Department of Homeland Security such sums as may be 
     necessary to carry out the functions of the Directorate.
       ``(2) Availability of funds.--Amounts appropriated pursuant 
     to paragraph (1) are authorized to remain available until 
     expended.
       ``(e) Immigration Laws of the United States Defined.--In 
     this chapter, the term `immigration laws of the United 
     States' shall have the same meaning given such term in 
     section 101(a)(17) of the Immigration and Nationality Act (8 
     U.S.C. 1101(a)(17)).''.
       (b) Conforming Amendments.--(1) The Immigration and 
     Nationality Act (8 U.S.C. 1101 et seq.) is amended--
       (A) by striking section 101(a)(34) (8 U.S.C. 1101(a)(34)) 
     and inserting the following:
       ``(34) The term `Directorate' means the Directorate of 
     Immigration Affairs established by section 111.'';
       (B) by adding at the end of section 101(a) the following:
       ``(51) The term `Secretary' means the Secretary of Homeland 
     Security.
       ``(52) The term `Department' means the Department of 
     Homeland Security.'';
       (C) by striking ``Attorney General'' and ``Department of 
     Justice'' each place it appears (other than the proviso in 
     section 103(a)(1) of the Immigration and Nationality Act) and 
     inserting ``Secretary'' and ``Department'', respectively;
       (D) in section 101(a)(17) (8 U.S.C. 1101(a)(17)), by 
     striking ``The'' and inserting ``Except as otherwise provided 
     in section 111(e), the; and
       (E) by striking ``Immigration and Naturalization Service'', 
     ``Service'', and ``Service's'' each place they appear and 
     inserting ``Directorate of Immigration Affairs'', 
     ``Directorate'', and ``Directorate's'', respectively.
       (2) Section 6 of the Act entitled ``An Act to authorize 
     certain administrative expenses for the Department of 
     Justice, and for other purposes'', approved July 28, 1950 (64 
     Stat. 380), is amended--
       (A) by striking ``Immigration and Naturalization Service'' 
     and inserting ``Directorate of Immigration Affairs'';
       (B) by striking clause (a); and
       (C) by redesignating clauses (b), (c), (d), and (e) as 
     clauses (a), (b), (c), and (d), respectively.
       (c) References.--Any reference in any statute, 
     reorganization plan, Executive order, regulation, agreement, 
     determination, or other official document or proceeding to 
     the Immigration and Naturalization Service shall be deemed to 
     refer to the Directorate of Immigration Affairs and the 
     Directorate of Border and Transportation Security of the 
     Department of Homeland Security, as appropriate, and any 
     reference in the immigration laws of the United States (as 
     defined in section 111(e) of the Immigration and Nationality 
     Act, as added by this section) to the Attorney General shall 
     be deemed to refer to the Secretary of Homeland Security, 
     acting through the Under Secretary for Immigration Affairs 
     and the Under Secretary for Border and Transportation 
     Security, as appropriate.

     SEC. 1103. UNDER SECRETARY OF HOMELAND SECURITY FOR 
                   IMMIGRATION AFFAIRS.

       (a) In General.--Chapter 2 of title I of the Immigration 
     and Nationality Act, as added by section 1102 of this Act, is 
     amended by adding at the end the following:

     ``SEC. 112. UNDER SECRETARY OF HOMELAND SECURITY FOR 
                   IMMIGRATION AFFAIRS.

       ``(a) Under Secretary of Immigration Affairs.--The 
     Directorate shall be headed by an Under Secretary of Homeland 
     Security for Immigration Affairs who shall be appointed in 
     accordance with section 103(c) of the Immigration and 
     Nationality Act.
       ``(b) Responsibilities of the Under Secretary.--
       ``(1) In general.--The Under Secretary shall be charged 
     with any and all responsibilities and authority in the 
     administration of the Directorate and of this Act which are 
     conferred upon the Secretary as may be delegated to the Under 
     Secretary by the Secretary or which may be prescribed by the 
     Secretary.
       ``(2) Duties.--Subject to the authority of the Secretary 
     under paragraph (1), the Under Secretary shall have the 
     following duties:
       ``(A) Immigration policy.--The Under Secretary shall 
     develop and implement policy under the immigration laws of 
     the United States with respect to any function within the 
     jurisdiction of the Directorate. The Under Secretary shall 
     propose, promulgate, and issue rules, regulations, and 
     statements of policy with respect to any function within the 
     jurisdiction of the Directorate.
       ``(B) Administration.--The Under Secretary shall have 
     responsibility for--
       ``(i) the administration and enforcement of the functions 
     conferred upon the Directorate under section 111(c) of this 
     Act; and
       ``(ii) the administration of the Directorate, including the 
     direction, supervision, and coordination of the Bureau of 
     Immigration Services and the Bureau of Enforcement.
       ``(3) Activities.--As part of the duties described in 
     paragraph (2), the Under Secretary shall do the following:
       ``(A) Resources and personnel management.--The Under 
     Secretary shall manage the resources, personnel, and other 
     support requirements of the Directorate.
       ``(B) Information resources management.--Under the 
     direction of the Secretary, the Under Secretary shall manage 
     the information resources of the Directorate, including the 
     maintenance of records and databases and the coordination of 
     records and other information within the Directorate, and 
     shall ensure that the Directorate obtains and maintains 
     adequate information technology systems to carry out its 
     functions.
       ``(4) Definition.--In this chapter, the term `immigration 
     policy and administration' means the duties, activities, and 
     powers described in this subsection.
       ``(c) General Counsel.--
       ``(1) In general.--There shall be within the Directorate a 
     General Counsel, who shall be appointed by the Secretary of 
     Homeland Security, in consultation with the Under Secretary.
       ``(2) Function.--The General Counsel shall--
       ``(A) serve as the chief legal officer for the Directorate; 
     and
       ``(B) be responsible for providing specialized legal 
     advice, opinions, determinations, regulations, and any other 
     assistance to the Under Secretary with respect to legal 
     matters affecting the Directorate, and any of its components.
       ``(d) Financial Officers for the Directorate of Immigration 
     Affairs.--
       ``(1) Chief financial officer.--
       ``(A) In general.--There shall be within the Directorate a 
     Chief Financial Officer. The position of Chief Financial 
     Officer shall be a career reserved position in the Senior 
     Executive Service and shall have the authorities and 
     functions described in section 902 of title 31, United States 
     Code, in relation to financial activities of the Directorate. 
     For purposes of section 902(a)(1) of such title, the Under 
     Secretary shall be deemed to be an agency head.
       ``(B) Functions.--The Chief Financial Officer shall be 
     responsible for directing, supervising, and coordinating all 
     budget formulas and execution for the Directorate.
       ``(2) Deputy chief financial officer.--The Directorate 
     shall be deemed to be an agency for purposes of section 903 
     of such title (relating to Deputy Chief Financial Officers).
       ``(e) Chief of Congressional, Intergovernmental, and Public 
     Affairs.--
       ``(1) In general.--There shall be within the Directorate a 
     Chief of Congressional, Intergovernmental, and Public 
     Affairs. Under the authority of the Under Secretary, the 
     Chief of Congressional, Intergovernmental, and Public Affairs 
     shall be responsible for--
       ``(A) providing to Congress information relating to issues 
     arising under the immigration laws of the United States, 
     including information on specific cases;
       ``(B) serving as a liaison with other Federal agencies on 
     immigration issues; and
       ``(C) responding to inquiries from, and providing 
     information to, the media on immigration issues.
       ``(2) Within the senior executive service.--The position of 
     Chief of Congressional, Intergovernmental, and Public Affairs 
     shall be a Senior Executive Service position under section 
     5382 of title 5, United States Code.''.
       (b) Compensation of General Counsel and Chief Financial 
     Officer.--Section 5316 of title 5, United States Code, is 
     amended by adding at the end the following:
       ``General Counsel, Directorate of Immigration Affairs, 
     Department of Homeland Security.
       ``Chief Financial Officer, Directorate of Immigration 
     Affairs, Department of Homeland Security.''.
       (c) Repeals.--The following provisions of law are repealed:
       (1) Section 7 of the Act of March 3, 1891, as amended (26 
     Stat. 1085; relating to the establishment of the office of 
     the Commissioner of Immigration and Naturalization).
       (2) Section 201 of the Act of June 20, 1956 (70 Stat. 307; 
     relating to the compensation of assistant commissioners and 
     district directors).
       (3) Section 1 of the Act of March 2, 1895 (28 Stat. 780; 
     relating to special immigrant inspectors).
       (d) Conforming Amendments.--(1)(A) Section 101(a)(8) of the 
     Immigration and Nationality Act (8 U.S.C. 1101(a)(8)) is 
     amended to read as follows:
       ``(8) The term `Under Secretary' means the Under Secretary 
     for Immigration Affairs who is appointed under section 
     103(c).''.
       (B) Except as provided in subparagraph (C), the Immigration 
     and Nationality Act (8 U.S.C. 1101 et seq.) is amended--
       (i) by striking ``The Commissioner of Immigration and 
     Naturalization'' and ``The Commissioner'' each place they 
     appear and inserting ``The appropriate Under Secretary of the 
     Department of Homeland Security''; and
       (ii) except as provided in paragraph (1), by striking 
     ``Commissioner of Immigration and Naturalization'' and 
     ``Commissioner'' each place they appear and inserting 
     ``appropriate Under Secretary of the Department of Homeland 
     Security''.
       (C) The amendments made by subparagraph (B) do not apply to 
     references to the ``Commissioner of Social Security'' in 
     section 290(c) of the Immigration and Nationality Act (8 
     U.S.C. 1360(c)).

[[Page S9325]]

       (2) Section 103 of the Immigration and Nationality Act (8 
     U.S.C. 1103) is amended--
       (A) in subsection (c), by striking ``Commissioner'' and 
     inserting ``Under Secretary'';
       (B) in subsection (d), by striking ``Commissioner'' and 
     inserting ``Under Secretary''; and
       (C) in subsection (e), by striking ``Commissioner'' and 
     inserting ``Under Secretary''.
       (3) Sections 104 and 105 of the Immigration and Nationality 
     Act (8 U.S.C. 1104, 1105) are amended by striking 
     ``Director'' each place it appears and inserting ``Assistant 
     Secretary of State for Consular Affairs''.
       (4) Section 104(c) of the Immigration and Nationality Act 
     (8 U.S.C. 1104(c)) is amended--
       (A) in the first sentence, by striking ``Passport Office, a 
     Visa Office,'' and inserting ``a Passport Services office, a 
     Visa Services office, an Overseas Citizen Services office,''; 
     and
       (B) in the second sentence, by striking ``the Passport 
     Office and the Visa Office'' and inserting ``the Passport 
     Services office and the Visa Services office''.
       (5) Section 5315 of title 5, United States Code, is amended 
     by striking the following:
       ``Commissioner of Immigration and Naturalization, 
     Department of Justice.''.
       (e) References.--Any reference in any statute, 
     reorganization plan, Executive order, regulation, agreement, 
     determination, or other official document or proceeding to 
     the Commissioner of Immigration and Naturalization shall be 
     deemed to refer to the Under Secretary for Immigration 
     Affairs or the Under Secretary for Border and Transportation 
     Security, as appropriate.

     SEC. 1104. BUREAU OF IMMIGRATION SERVICES.

       (a) In General.--Chapter 2 of title I of the Immigration 
     and Nationality Act, as added by section 1102 and amended by 
     section 1103, is further amended by adding at the end the 
     following:

     ``SEC. 113. BUREAU OF IMMIGRATION SERVICES.

       ``(a) Establishment of Bureau.--
       ``(1) In general.--There is established within the 
     Directorate a bureau to be known as the Bureau of Immigration 
     Services (in this chapter referred to as the `Service 
     Bureau').
       ``(2) Assistant secretary.--The head of the Service Bureau 
     shall be the Assistant Secretary for Immigration Services (in 
     this chapter referred to as the `Assistant Secretary for 
     Immigration Services'), who--
       ``(A) shall be appointed by the Secretary, in consultation 
     with the Under Secretary; and
       ``(B) shall report directly to the Under Secretary.
       ``(b) Responsibilities of the Assistant Secretary.--
       ``(1) In general.--Subject to the authority of the 
     Secretary and the Under Secretary, the Assistant Secretary 
     for Immigration Services shall administer the immigration 
     service functions of the Directorate.
       ``(2) Immigration service functions defined.--In this 
     chapter, the term `immigration service functions' means the 
     following functions under the immigration laws of the United 
     States:
       ``(A) Adjudications of petitions for classification of 
     nonimmigrant and immigrant status.
       ``(B) Adjudications of applications for adjustment of 
     status and change of status.
       ``(C) Adjudications of naturalization applications.
       ``(D) Adjudications of asylum and refugee applications.
       ``(E) Adjudications performed at Service centers.
       ``(F) Determinations concerning custody and parole of 
     asylum seekers who do not have prior nonpolitical criminal 
     records and who have been found to have a credible fear of 
     persecution, including determinations under section 236B.
       ``(G) All other adjudications under the immigration laws of 
     the United States.
       ``(c) Chief Budget Officer of the Service Bureau.--There 
     shall be within the Service Bureau a Chief Budget Officer. 
     Under the authority of the Chief Financial Officer of the 
     Directorate, the Chief Budget Officer of the Service Bureau 
     shall be responsible for monitoring and supervising all 
     financial activities of the Service Bureau.
       ``(d) Quality Assurance.--There shall be within the Service 
     Bureau an Office of Quality Assurance that shall develop 
     procedures and conduct audits to--
       ``(1) ensure that the Directorate's policies with respect 
     to the immigration service functions of the Directorate are 
     properly implemented; and
       ``(2) ensure that Service Bureau policies or practices 
     result in sound records management and efficient and accurate 
     service.
       ``(e) Office of Professional Responsibility.--There shall 
     be within the Service Bureau an Office of Professional 
     Responsibility that shall have the responsibility for 
     ensuring the professionalism of the Service Bureau and for 
     receiving and investigating charges of misconduct or ill 
     treatment made by the public.
       ``(f) Training of Personnel.--The Assistant Secretary for 
     Immigration Services, in consultation with the Under 
     Secretary, shall have responsibility for determining the 
     training for all personnel of the Service Bureau.''.
       (b) Service Bureau Offices.--
       (1) In general.--Under the direction of the Secretary, the 
     Under Secretary, acting through the Assistant Secretary for 
     Immigration Services, shall establish Service Bureau offices, 
     including suboffices and satellite offices, in appropriate 
     municipalities and locations in the United States. In the 
     selection of sites for the Service Bureau offices, the Under 
     Secretary shall consider the location's proximity and 
     accessibility to the community served, the workload for which 
     that office shall be responsible, whether the location would 
     significantly reduce the backlog of cases in that given 
     geographic area, whether the location will improve customer 
     service, and whether the location is in a geographic area 
     with an increase in the population to be served. The Under 
     Secretary shall conduct periodic reviews to assess whether 
     the location and size of the respective Service Bureau 
     offices adequately serve customer service needs.
       (2) Transition provision.--In determining the location of 
     Service Bureau offices, including suboffices and satellite 
     offices, the Under Secretary shall first consider maintaining 
     and upgrading offices in existing geographic locations that 
     satisfy the provisions of paragraph (1). The Under Secretary 
     shall also explore the feasibility and desirability of 
     establishing new Service Bureau offices, including suboffices 
     and satellite offices, in new geographic locations where 
     there is a demonstrated need.

     SEC. 1105. BUREAU OF ENFORCEMENT.

       (a) In General.--Chapter 2 of title I of the Immigration 
     and Nationality Act, as added by section 1102 and amended by 
     sections 1103 and 1104, is further amended by adding at the 
     end the following:

     ``SEC. 114. BUREAU OF ENFORCEMENT.

       ``(a) Establishment of Bureau.--
       ``(1) In general.--There is established within the 
     Directorate a bureau to be known as the Bureau of Enforcement 
     (in this chapter referred to as the `Enforcement Bureau').
       ``(2) Assistant secretary.--The head of the Enforcement 
     Bureau shall be the Assistant Secretary for Enforcement (in 
     this chapter referred to as the `Assistant Secretary for 
     Immigration Enforcement'), who--
       ``(A) shall be appointed by the Secretary of Homeland 
     Security, in consultation with the Under Secretary; and
       ``(B) shall report directly to the Under Secretary.
       ``(b) Responsibilities of the Assistant Secretary.--
       ``(1) In general.--Subject to the authority of the 
     Secretary and the Under Secretary, the Assistant Secretary 
     for Immigration Enforcement shall administer the immigration 
     enforcement functions of the Directorate.
       ``(2) Immigration enforcement functions defined.--In this 
     chapter, the term `immigration enforcement functions' means 
     the following functions under the immigration laws of the 
     United States:
       ``(A) The detention function, except as specified in 
     section 113(b)(2)(F).
       ``(B) The removal function.
       ``(C) The intelligence function.
       ``(D) The investigations function.
       ``(c) Chief Budget Officer of the Enforcement Bureau.--
     There shall be within the Enforcement Bureau a Chief Budget 
     Officer. Under the authority of the Chief Financial Officer 
     of the Directorate, the Chief Budget Officer of the 
     Enforcement Bureau shall be responsible for monitoring and 
     supervising all financial activities of the Enforcement 
     Bureau.
       ``(d) Office of Professional Responsibility.--There shall 
     be within the Enforcement Bureau an Office of Professional 
     Responsibility that shall have the responsibility for 
     ensuring the professionalism of the Enforcement Bureau and 
     receiving charges of misconduct or ill treatment made by the 
     public and investigating the charges.
       ``(e) Office of Quality Assurance.--There shall be within 
     the Enforcement Bureau an Office of Quality Assurance that 
     shall develop procedures and conduct audits to--
       ``(1) ensure that the Directorate's policies with respect 
     to immigration enforcement functions are properly 
     implemented; and
       ``(2) ensure that Enforcement Bureau policies or practices 
     result in sound record management and efficient and accurate 
     recordkeeping.
       ``(f) Training of Personnel.--The Assistant Secretary for 
     Immigration Enforcement, in consultation with the Under 
     Secretary, shall have responsibility for determining the 
     training for all personnel of the Enforcement Bureau.''.
       (b) Enforcement Bureau Offices.--
       (1) In general.--Under the direction of the Secretary, the 
     Under Secretary, acting through the Assistant Secretary for 
     Immigration Enforcement, shall establish Enforcement Bureau 
     offices, including suboffices and satellite offices, in 
     appropriate municipalities and locations in the United 
     States. In the selection of sites for the Enforcement Bureau 
     offices, the Under Secretary shall make selections according 
     to trends in unlawful entry and unlawful presence, alien 
     smuggling, national security concerns, the number of Federal 
     prosecutions of immigration-related offenses in a given 
     geographic area, and other enforcement considerations. The 
     Under Secretary shall conduct periodic reviews to assess 
     whether the location and size of the respective Enforcement 
     Bureau offices adequately serve enforcement needs.
       (2) Transition provision.--In determining the location of 
     Enforcement Bureau offices, including suboffices and 
     satellite offices, the Under Secretary shall first consider 
     maintaining and upgrading offices in existing geographic 
     locations that satisfy the provisions of paragraph (1). The 
     Under Secretary shall also explore the feasibility and 
     desirability

[[Page S9326]]

     of establishing new Enforcement Bureau offices, including 
     suboffices and satellite offices, in new geographic locations 
     where there is a demonstrated need.

     SEC. 1106. OFFICE OF THE OMBUDSMAN WITHIN THE DIRECTORATE.

       (a) In General.--Chapter 2 of title I of the Immigration 
     and Nationality Act, as added by section 1102 and amended by 
     sections 1103, 1104, and 1105, is further amended by adding 
     at the end the following:

     ``SEC. 115. OFFICE OF THE OMBUDSMAN FOR IMMIGRATION AFFAIRS.

       ``(a) In General.--There is established within the 
     Directorate the Office of the Ombudsman for Immigration 
     Affairs, which shall be headed by the Ombudsman.
       ``(b) Ombudsman.--
       ``(1) Appointment.--The Ombudsman shall be appointed by the 
     Secretary of Homeland Security, in consultation with the 
     Under Secretary. The Ombudsman shall report directly to the 
     Under Secretary.
       ``(2) Compensation.--The Ombudsman shall be entitled to 
     compensation at the same rate as the highest rate of basic 
     pay established for the Senior Executive Service under 
     section 5382 of title 5, United States Code, or, if the 
     Secretary of Homeland Security so determines, at a rate fixed 
     under section 9503 of such title.
       ``(c) Functions of Office.--The functions of the Office of 
     the Ombudsman for Immigration Affairs shall include--
       ``(1) to assist individuals in resolving problems with the 
     Directorate or any component thereof;
       ``(2) to identify systemic problems encountered by the 
     public in dealings with the Directorate or any component 
     thereof;
       ``(3) to propose changes in the administrative practices or 
     regulations of the Directorate, or any component thereof, to 
     mitigate problems identified under paragraph (2);
       ``(4) to identify potential changes in statutory law that 
     may be required to mitigate such problems; and
       ``(5) to monitor the coverage and geographic distribution 
     of local offices of the Directorate.
       ``(d) Personnel Actions.--The Ombudsman shall have the 
     responsibility and authority to appoint local or regional 
     representatives of the Ombudsman's Office as in the 
     Ombudsman's judgment may be necessary to address and rectify 
     problems.
       ``(e) Annual Report.--Not later than December 31 of each 
     year, the Ombudsman shall submit a report to the Committee on 
     the Judiciary of the House of Representatives and the 
     Committee on the Judiciary of the Senate on the activities of 
     the Ombudsman during the fiscal year ending in that calendar 
     year. Each report shall contain a full and substantive 
     analysis, in addition to statistical information, and shall 
     contain--
       ``(1) a description of the initiatives that the Office of 
     the Ombudsman has taken on improving the responsiveness of 
     the Directorate;
       ``(2) a summary of serious or systemic problems encountered 
     by the public, including a description of the nature of such 
     problems;
       ``(3) an accounting of the items described in paragraphs 
     (1) and (2) for which action has been taken, and the result 
     of such action;
       ``(4) an accounting of the items described in paragraphs 
     (1) and (2) for which action remains to be completed;
       ``(5) an accounting of the items described in paragraphs 
     (1) and (2) for which no action has been taken, the reasons 
     for the inaction, and identify any Agency official who is 
     responsible for such inaction;
       ``(6) recommendations as may be appropriate to resolve 
     problems encountered by the public;
       ``(7) recommendations as may be appropriate to resolve 
     problems encountered by the public, including problems 
     created by backlogs in the adjudication and processing of 
     petitions and applications;
       ``(8) recommendations to resolve problems caused by 
     inadequate funding or staffing; and
       ``(9) such other information as the Ombudsman may deem 
     advisable.
       ``(f) Authorization of Appropriations.--
       ``(1) In general.--There are authorized to be appropriated 
     to the Office of the Ombudsman such sums as may be necessary 
     to carry out its functions.
       ``(2) Availability of funds.--Amounts appropriated pursuant 
     to paragraph (1) are authorized to remain available until 
     expended.''.

     SEC. 1107. OFFICE OF IMMIGRATION STATISTICS WITHIN THE 
                   DIRECTORATE.

       (a) In General.--Chapter 2 of title I of the Immigration 
     and Nationality Act, as added by section 1102 and amended by 
     sections 1103, 1104, and 1105, is further amended by adding 
     at the end the following:

     ``SEC. 116. OFFICE OF IMMIGRATION STATISTICS.

       ``(a) Establishment.--There is established within the 
     Directorate an Office of Immigration Statistics (in this 
     section referred to as the `Office'), which shall be headed 
     by a Director who shall be appointed by the Secretary of 
     Homeland Security, in consultation with the Under Secretary. 
     The Office shall collect, maintain, compile, analyze, 
     publish, and disseminate information and statistics about 
     immigration in the United States, including information and 
     statistics involving the functions of the Directorate and the 
     Executive Office for Immigration Review.
       ``(b) Responsibilities of Director.--The Director of the 
     Office shall be responsible for the following:
       ``(1) Statistical information.--Maintenance of all 
     immigration statistical information of the Directorate of 
     Immigration Affairs.
       ``(2) Standards of reliability and validity.--Establishment 
     of standards of reliability and validity for immigration 
     statistics collected by the Bureau of Immigration Services, 
     the Bureau of Enforcement, and the Executive Office for 
     Immigration Review.
       ``(c) Relation to the Directorate of Immigration Affairs 
     and the Executive Office for Immigration Review.--
       ``(1) Other authorities.--The Directorate and the Executive 
     Office for Immigration Review shall provide statistical 
     information to the Office from the operational data systems 
     controlled by the Directorate and the Executive Office for 
     Immigration Review, respectively, as requested by the Office, 
     for the purpose of meeting the responsibilities of the 
     Director of the Office.
       ``(2) Databases.--The Director of the Office, under the 
     direction of the Secretary, shall ensure the interoperability 
     of the databases of the Directorate, the Bureau of 
     Immigration Services, the Bureau of Enforcement, and the 
     Executive Office for Immigration Review to permit the 
     Director of the Office to perform the duties of such 
     office.''.
       (b) Transfer of Functions.--There are transferred to the 
     Directorate of Immigration Affairs for exercise by the Under 
     Secretary through the Office of Immigration Statistics 
     established by section 116 of the Immigration and Nationality 
     Act, as added by subsection (a), the functions performed by 
     the Statistics Branch of the Office of Policy and Planning of 
     the Immigration and Naturalization Service, and the 
     statistical functions performed by the Executive Office for 
     Immigration Review, on the day before the effective date of 
     this title.

     SEC. 1108. CLERICAL AMENDMENTS.

       The table of contents of the Immigration and Nationality 
     Act is amended--
       (1) by inserting after the item relating to the heading for 
     title I the following:

          ``Chapter 1--Definitions and General Authorities'';

       (2) by striking the item relating to section 103 and 
     inserting the following:

``Sec. 103. Powers and duties of the Secretary of Homeland Security and 
              the Under Secretary of Homeland Security for Immigration 
              Affairs.'';

     and
       (3) by inserting after the item relating to section 106 the 
     following:

            ``Chapter 2--Directorate of Immigration Affairs

``Sec. 111. Establishment of Directorate of Immigration Affairs.
``Sec. 112. Under Secretary of Homeland Security for Immigration 
              Affairs.
``Sec. 113. Bureau of Immigration Services.
``Sec. 114. Bureau of Enforcement.
``Sec. 115. Office of the Ombudsman for Immigration Affairs.
``Sec. 116. Office of Immigration Statistics.''.

                   Subtitle B--Transition Provisions

     SEC. 1111. TRANSFER OF FUNCTIONS.

       (a) In General.--
       (1) Functions of the attorney general.--Except as provided 
     in subsection (c) and title XIII, all functions under the 
     immigration laws of the United States vested by statute in, 
     or exercised by, the Attorney General, immediately prior to 
     the effective date of this title, are transferred to the 
     Secretary on such effective date for exercise by the 
     Secretary through the Under Secretary in accordance with 
     section 112(b) of the Immigration and Nationality Act, as 
     added by section 1103 of this Act.
       (2) Functions of the commissioner or the ins.--Except as 
     provided in subsection (c), all functions under the 
     immigration laws of the United States vested by statute in, 
     or exercised by, the Commissioner of Immigration and 
     Naturalization or the Immigration and Naturalization Service 
     (or any officer, employee, or component thereof), immediately 
     prior to the effective date of this title, are transferred to 
     the Directorate of Immigration Affairs on such effective date 
     for exercise by the Under Secretary in accordance with 
     section 112(b) of the Immigration and Nationality Act, as 
     added by section 1103 of this Act.
       (b) Exercise of Authorities.--Except as otherwise provided 
     by law, the Under Secretary may, for purposes of performing 
     any function transferred to the Directorate of Immigration 
     Affairs under subsection (a), exercise all authorities under 
     any other provision of law that were available with respect 
     to the performance of that function to the official 
     responsible for the performance of the function immediately 
     before the effective date of the transfer of the function 
     under this title.
       (c) Special Rule for Border Patrol and Inspection 
     Functions.--
       (1) In general.--Notwithstanding subsections (a) and (b), 
     the border patrol function, and primary and secondary 
     immigration inspection functions, vested by statute in, or 
     exercised by, the Attorney General, the Commissioner of 
     Immigration and Naturalization, or the Immigration and 
     Naturalization Service (or any officer, employee, or 
     component thereof), immediately prior to the effective date 
     of this title, are transferred to the Secretary on such 
     effective date for exercise by the Under Secretary for Border 
     and Transportation in accordance with paragraphs (7) and (8) 
     of section 131(b).

[[Page S9327]]

       (2) References.--With respect to the border patrol function 
     and primary and secondary immigration inspection functions, 
     references in this subtitle to--
       (A) the Directorate shall be deemed to be references to the 
     Directorate of Border and Transportation Security; and
       (B) the Under Secretary shall be deemed to be references to 
     the Under Secretary for Border and Transportation Security.

     SEC. 1112. TRANSFER OF PERSONNEL AND OTHER RESOURCES.

       Subject to section 1531 of title 31, United States Code, 
     upon the effective date of this title, there are transferred 
     to the appropriate Under Secretary for appropriate allocation 
     in accordance with section 1115--
       (1) the personnel of the Department of Justice employed in 
     connection with the functions transferred under this title; 
     and
       (2) the assets, liabilities, contracts, property, records, 
     and unexpended balance of appropriations, authorizations, 
     allocations, and other funds employed, held, used, arising 
     from, available to, or to be made available to the 
     Immigration and Naturalization Service in connection with the 
     functions transferred pursuant to this title.

     SEC. 1113. DETERMINATIONS WITH RESPECT TO FUNCTIONS AND 
                   RESOURCES.

       The Secretary shall determine, in accordance with the 
     corresponding criteria set forth in sections 1112(b), 
     1113(b), and 1114(b) of the Immigration and Nationality Act 
     (as added by this title)--
       (1) which of the functions transferred under section 1111 
     are--
       (A) immigration policy and administration functions;
       (B) immigration service functions;
       (C) immigration enforcement functions (excluding the border 
     patrol function and primary and secondary immigration 
     inspection functions); and
       (D) the border patrol function and primary and secondary 
     immigration inspection functions; and
       (2) which of the personnel, assets, liabilities, grants, 
     contracts, property, records, and unexpended balances of 
     appropriations, authorizations, allocations, and other funds 
     transferred under section 1112 were held or used, arose from, 
     were available to, or were made available, in connection with 
     the performance of the respective functions specified in 
     paragraph (1) immediately prior to the effective date of this 
     title.

     SEC. 1114. DELEGATION AND RESERVATION OF FUNCTIONS.

       (a) Delegation to the Directorates.--The Secretary shall 
     delegate--
       (1) through the Under Secretary and subject to section 
     112(b)(1) of the Immigration and Nationality Act (as added by 
     section 1103)--
       (A) immigration service functions to the Assistant 
     Secretary for Immigration Services; and
       (B) immigration enforcement functions to the Assistant 
     Secretary for Immigration Enforcement; and
       (2) the border patrol function and primary and secondary 
     immigration inspection functions to the Under Secretary for 
     Border and Transportation Security.
       (b) Nonexclusive Delegations Authorized.--Delegations made 
     under subsection (a) may be made on a nonexclusive basis as 
     the Secretary may determine may be necessary to ensure the 
     faithful execution of the Secretary's responsibilities and 
     duties under law.
       (c) Effect of Delegations.--Except as otherwise expressly 
     prohibited by law or otherwise provided in this title, the 
     Secretary may make delegations under this subsection to such 
     officers and employees of the office of the Under Secretary 
     for Immigration Affairs, and the Under Secretary for Border 
     and Transportation Security, respectively, as the Secretary 
     may designate, and may authorize successive redelegations of 
     such functions as may be necessary or appropriate. No 
     delegation of functions under this subsection or under any 
     other provision of this title shall relieve the official to 
     whom a function is transferred under this title of 
     responsibility for the administration of the function.
       (d) Statutory Construction.--Nothing in this division may 
     be construed to limit the authority of the Under Secretary, 
     acting directly or by delegation under the Secretary, to 
     establish such offices or positions within the Directorate of 
     Immigration Affairs, in addition to those specified by this 
     division, as the Under Secretary may determine to be 
     necessary to carry out the functions of the Directorate.

     SEC. 1115. ALLOCATION OF PERSONNEL AND OTHER RESOURCES.

       (a) Authority of the Under Secretary.--
       (1) In general.--Subject to paragraph (2) and section 
     1114(b), the Under Secretary shall make allocations of 
     personnel, assets, liabilities, grants, contracts, property, 
     records, and unexpended balances of appropriations, 
     authorizations, allocations, and other funds held, used, 
     arising from, available to, or to be made available in 
     connection with the performance of the respective functions, 
     as determined under section 1113, in accordance with the 
     delegation of functions and the reservation of functions made 
     under section 1114.
       (2) Limitation.--Unexpended funds transferred pursuant to 
     section 1112 shall be used only for the purposes for which 
     the funds were originally authorized and appropriated.
       (b) Authority To Terminate Affairs of INS.--The Attorney 
     General in consultation with the Secretary, shall provide for 
     the termination of the affairs of the Immigration and 
     Naturalization Service and such further measures and 
     dispositions as may be necessary to effectuate the purposes 
     of this division.
       (c) Treatment of Shared Resources.--The Under Secretary is 
     authorized to provide for an appropriate allocation, or 
     coordination, or both, of resources involved in supporting 
     shared support functions for the office of the Under 
     Secretary, the Service Bureau, and the Enforcement Bureau. 
     The Under Secretary shall maintain oversight and control over 
     the shared computer databases and systems and records 
     management.

     SEC. 1116. SAVINGS PROVISIONS.

       (a) Legal Documents.--All orders, determinations, rules, 
     regulations, permits, grants, loans, contracts, recognition 
     of labor organizations, agreements, including collective 
     bargaining agreements, certificates, licenses, and 
     privileges--
       (1) that have been issued, made, granted, or allowed to 
     become effective by the President, the Attorney General, the 
     Commissioner of the Immigration and Naturalization Service, 
     their delegates, or any other Government official, or by a 
     court of competent jurisdiction, in the performance of any 
     function that is transferred under this title; and
       (2) that are in effect on the effective date of such 
     transfer (or become effective after such date pursuant to 
     their terms as in effect on such effective date);

     shall continue in effect according to their terms until 
     modified, terminated, superseded, set aside, or revoked in 
     accordance with law by the President, any other authorized 
     official, a court of competent jurisdiction, or operation of 
     law, except that any collective bargaining agreement shall 
     remain in effect until the date of termination specified in 
     the agreement.
       (b) Proceedings.--
       (1) Pending.--Sections 111 through 116 of the Immigration 
     and Nationality Act, as added by subtitle A of this title, 
     shall not affect any proceeding or any application for any 
     benefit, service, license, permit, certificate, or financial 
     assistance pending on the effective date of this title before 
     an office whose functions are transferred under this title, 
     but such proceedings and applications shall be continued.
       (2) Orders.--Orders shall be issued in such proceedings, 
     appeals shall be taken therefrom, and payments shall be made 
     pursuant to such orders, as if this Act had not been enacted, 
     and orders issued in any such proceeding shall continue in 
     effect until modified, terminated, superseded, or revoked by 
     a duly authorized official, by a court of competent 
     jurisdiction, or by operation of law.
       (3) Discontinuance or modification.--Nothing in this 
     section shall be considered to prohibit the discontinuance or 
     modification of any such proceeding under the same terms and 
     conditions and to the same extent that such proceeding could 
     have been discontinued or modified if this section had not 
     been enacted.
       (c) Suits.--This title, and the amendments made by this 
     title, shall not affect suits commenced before the effective 
     date of this title, and in all such suits, proceeding shall 
     be had, appeals taken, and judgments rendered in the same 
     manner and with the same effect as if this title, and the 
     amendments made by this title, had not been enacted.
       (d) Nonabatement of Actions.--No suit, action, or other 
     proceeding commenced by or against the Department of Justice 
     or the Immigration and Naturalization Service, or by or 
     against any individual in the official capacity of such 
     individual as an officer or employee in connection with a 
     function transferred pursuant to this section, shall abate by 
     reason of the enactment of this Act.
       (e) Continuance of Suit With Substitution of Parties.--If 
     any Government officer in the official capacity of such 
     officer is party to a suit with respect to a function of the 
     officer, and such function is transferred under this title to 
     any other officer or office, then such suit shall be 
     continued with the other officer or the head of such other 
     office, as applicable, substituted or added as a party.
       (f) Administrative Procedure and Judicial Review.--Except 
     as otherwise provided by this title, any statutory 
     requirements relating to notice, hearings, action upon the 
     record, or administrative or judicial review that apply to 
     any function transferred under this title shall apply to the 
     exercise of such function by the head of the office, and 
     other officers of the office, to which such function is 
     transferred.

     SEC. 1117. INTERIM SERVICE OF THE COMMISSIONER OF IMMIGRATION 
                   AND NATURALIZATION.

       The individual serving as the Commissioner of Immigration 
     and Naturalization on the day before the effective date of 
     this title may serve as Under Secretary until the date on 
     which an Under Secretary is appointed under section 112 of 
     the Immigration and Nationality Act, as added by section 
     1103.

     SEC. 1118. OTHER AUTHORITIES NOT AFFECTED.

       Nothing in this title, or any amendment made by this title, 
     may be construed to authorize or require the transfer or 
     delegation of any function vested in, or exercised by--
       (1) the Secretary of State under the State Department Basic 
     Authorities Act of 1956, or under the immigration laws of the 
     United States, immediately prior to the effective date of 
     this title, with respect to the issuance and use of passports 
     and visas;

[[Page S9328]]

       (2) the Secretary of Labor or any official of the 
     Department of Labor immediately prior to the effective date 
     of this title, with respect to labor certifications or any 
     other authority under the immigration laws of the United 
     States; or
       (3) except as otherwise specifically provided in this 
     division, any other official of the Federal Government under 
     the immigration laws of the United States immediately prior 
     to the effective date of this title.

     SEC. 1119. TRANSITION FUNDING.

       (a) Authorization of Appropriations for Transition.--
       (1) In general.--There are authorized to be appropriated to 
     the Department of Homeland Security such sums as may be 
     necessary--
       (A) to effect--
       (i) the abolition of the Immigration and Naturalization 
     Service;
       (ii) the establishment of the Directorate of Immigration 
     Affairs and its components, the Bureau of Immigration 
     Services, and the Bureau of Enforcement (except for the 
     border patrol function and primary and secondary immigration 
     inspection functions);
       (iii) the transfer to the Directorate of Border and 
     Transportation Protection of the border patrol function and 
     primary and secondary immigration inspection functions; and
       (iv) the transfer of such other functions as are required 
     to be made under this division; and
       (B) to carry out any other duty that is made necessary by 
     this division, or any amendment made by this division.
       (2) Activities supported.--Activities supported under 
     paragraph (1) include--
       (A) planning for the transfer of functions from the 
     Immigration and Naturalization Service to the Directorate of 
     Immigration Affairs and the Directorate of Border and 
     Transportation Security, as appropriate, including the 
     preparation of any reports and implementation plans necessary 
     for such transfer;
       (B) the division, acquisition, and disposition of--
       (i) buildings and facilities;
       (ii) support and infrastructure resources; and
       (iii) computer hardware, software, and related 
     documentation;
       (C) other capital expenditures necessary to effect the 
     transfer of functions described in this paragraph;
       (D) revision of forms, stationery, logos, and signage;
       (E) expenses incurred in connection with the transfer and 
     training of existing personnel and hiring of new personnel; 
     and
       (F) such other expenses necessary to effect the transfers, 
     as determined by the Secretary.
       (b) Availability of Funds.--Amounts appropriated pursuant 
     to subsection (a) are authorized to remain available until 
     expended.
       (c) Transition Account.--
       (1) Establishment.--There is established in the general 
     fund of the Treasury of the United States a separate account, 
     which shall be known as the ``Directorate of Immigration 
     Affairs Transition Account'' (in this section referred to as 
     the ``Account'').
       (2) Use of account.--There shall be deposited into the 
     Account all amounts appropriated under subsection (a) and 
     amounts reprogrammed for the purposes described in subsection 
     (a).
       (d) Report to Congress on Transition.--Beginning not later 
     than 90 days after the effective date of division A of this 
     Act, and at the end of each fiscal year in which 
     appropriations are made pursuant to subsection (c), the 
     Secretary of Homeland Security shall submit a report to 
     Congress concerning the availability of funds to cover 
     transition costs, including--
       (1) any unobligated balances available for such purposes; 
     and
       (2) a calculation of the amount of appropriations that 
     would be necessary to fully fund the activities described in 
     subsection (a).
       (e) Effective Date.--This section shall take effect 1 year 
     after the effective date of division A of this Act.

                  Subtitle C--Miscellaneous Provisions

     SEC. 1121. FUNDING ADJUDICATION AND NATURALIZATION SERVICES.

       (a) Level of Fees.--Section 286(m) of the Immigration and 
     Nationality Act (8 U.S.C. 1356(m)) is amended by striking 
     ``services, including the costs of similar services provided 
     without charge to asylum applicants or other immigrants'' and 
     inserting ``services''.
       (b) Use of Fees.--
       (1) In general.--Each fee collected for the provision of an 
     adjudication or naturalization service shall be used only to 
     fund adjudication or naturalization services or, subject to 
     the availability of funds provided pursuant to subsection 
     (c), costs of similar services provided without charge to 
     asylum and refugee applicants.
       (2) Prohibition.--No fee may be used to fund adjudication- 
     or naturalization-related audits that are not regularly 
     conducted in the normal course of operation.
       (c) Refugee and Asylum Adjudication Services.--
       (1) Authorization of appropriations.--In addition to such 
     sums as may be otherwise available for such purposes, there 
     are authorized to be appropriated such sums as may be 
     necessary to carry out the provisions of sections 207 through 
     209 of the Immigration and Nationality Act.
       (2) Availability of funds.--Funds appropriated pursuant to 
     paragraph (1) are authorized to remain available until 
     expended.
       (d) Separation of Funding.--
       (1) In general.--There shall be established separate 
     accounts in the Treasury of the United States for 
     appropriated funds and other collections available for the 
     Bureau of Immigration Services and the Bureau of Enforcement.
       (2) Fees.--Fees imposed for a particular service, 
     application, or benefit shall be deposited into the account 
     established under paragraph (1) that is for the bureau with 
     jurisdiction over the function to which the fee relates.
       (3) Fees not transferable.--No fee may be transferred 
     between the Bureau of Immigration Services and the Bureau of 
     Enforcement for purposes not authorized by section 286 of the 
     Immigration and Nationality Act, as amended by subsection 
     (a).
       (e) Authorization of Appropriations for Backlog 
     Reduction.--
       (1) In general.--There are authorized to be appropriated 
     such sums as may be necessary for each of the fiscal years 
     2003 through 2006 to carry out the Immigration Services and 
     Infrastructure Improvement Act of 2000 (title II of Public 
     Law 106-313).
       (2) Availability of funds.--Amounts appropriated under 
     paragraph (1) are authorized to remain available until 
     expended.
       (3) Infrastructure improvement account.--Amounts 
     appropriated under paragraph (1) shall be deposited into the 
     Immigration Services and Infrastructure Improvements Account 
     established by section 204(a)(2) of title II of Public Law 
     106-313.

     SEC. 1122. APPLICATION OF INTERNET-BASED TECHNOLOGIES.

       (a) Establishment of On-Line Database.--
       (1) In general.--Not later than 2 years after the effective 
     date of division A, the Secretary, in consultation with the 
     Under Secretary and the Technology Advisory Committee, shall 
     establish an Internet-based system that will permit an 
     immigrant, nonimmigrant, employer, or other person who files 
     any application, petition, or other request for any benefit 
     under the immigration laws of the United States access to on-
     line information about the processing status of the 
     application, petition, or other request.
       (2) Privacy considerations.--The Under Secretary shall 
     consider all applicable privacy issues in the establishment 
     of the Internet system described in paragraph (1). No 
     personally identifying information shall be accessible to 
     unauthorized persons.
       (3) Means of access.--The on-line information under the 
     Internet system described in paragraph (1) shall be 
     accessible to the persons described in paragraph (1) through 
     a personal identification number (PIN) or other personalized 
     password.
       (4) Prohibition on fees.--The Under Secretary shall not 
     charge any immigrant, nonimmigrant, employer, or other person 
     described in paragraph (1) a fee for access to the 
     information in the database that pertains to that person.
       (b) Feasibility Study for On-Line Filing and Improved 
     Processing.--
       (1) On-line filing.--
       (A) In general.--The Under Secretary, in consultation with 
     the Technology Advisory Committee, shall conduct a study to 
     determine the feasibility of on-line filing of the documents 
     described in subsection (a).
       (B) Study elements.--The study shall--
       (i) include a review of computerization and technology of 
     the Immigration and Naturalization Service (or successor 
     agency) relating to immigration services and the processing 
     of such documents;
       (ii) include an estimate of the time-frame and costs of 
     implementing on-line filing of such documents; and
       (iii) consider other factors in implementing such a filing 
     system, including the feasibility of the payment of fees on-
     line.
       (2) Report.--Not later than 2 years after the effective 
     date of division A, the Under Secretary shall submit to the 
     Committees on the Judiciary of the Senate and the House of 
     Representatives a report on the findings of the study 
     conducted under this subsection.
       (c) Technology Advisory Committee.--
       (1) Establishment.--Not later than 1 year after the 
     effective date of division A, the Under Secretary shall 
     establish, after consultation with the Committees on the 
     Judiciary of the Senate and the House of Representatives, an 
     advisory committee (in this section referred to as the 
     ``Technology Advisory Committee'') to assist the Under 
     Secretary in--
       (A) establishing the tracking system under subsection (a); 
     and
       (B) conducting the study under subsection (b).
       (2) Composition.--The Technology Advisory Committee shall 
     be composed of--
       (A) experts from the public and private sector capable of 
     establishing and implementing the system in an expeditious 
     manner; and
       (B) representatives of persons or entities who may use the 
     tracking system described in subsection (a) and the on-line 
     filing system described in subsection (b)(1).

     SEC. 1123. ALTERNATIVES TO DETENTION OF ASYLUM SEEKERS.

       (a) Assignments of Asylum Officers.--The Under Secretary 
     shall assign asylum officers to major ports of entry in the 
     United States to assist in the inspection of asylum seekers. 
     For other ports of entry, the Under Secretary shall take 
     steps to ensure that asylum officers participate in the 
     inspections process.

[[Page S9329]]

       (b) Amendment of the Immigration and Nationality Act.--
     Chapter 4 of title II of the Immigration and Nationality Act 
     (8 U.S.C. 1221 et seq.) is amended by inserting after section 
     236A the following new section:

     ``SEC. 236B. ALTERNATIVES TO DETENTION OF ASYLUM SEEKERS.

       ``(a) Development of Alternatives to Detention.--The Under 
     Secretary shall--
       ``(1) authorize and promote the utilization of alternatives 
     to the detention of asylum seekers who do not have 
     nonpolitical criminal records; and
       ``(2) establish conditions for the detention of asylum 
     seekers that ensure a safe and humane environment.
       ``(b) Specific Alternatives for Consideration.--The Under 
     Secretary shall consider the following specific alternatives 
     to the detention of asylum seekers described in subsection 
     (a):
       ``(1) Parole from detention.
       ``(2) For individuals not otherwise qualified for parole 
     under paragraph (1), parole with appearance assistance 
     provided by private nonprofit voluntary agencies with 
     expertise in the legal and social needs of asylum seekers.
       ``(3) For individuals not otherwise qualified for parole 
     under paragraph (1) or (2), non-secure shelter care or group 
     homes operated by private nonprofit voluntary agencies with 
     expertise in the legal and social needs of asylum seekers.
       ``(4) Noninstitutional settings for minors such as foster 
     care or group homes operated by private nonprofit voluntary 
     agencies with expertise in the legal and social needs of 
     asylum seekers.
       ``(c) Regulations.--The Under Secretary shall promulgate 
     such regulations as may be necessary to carry out this 
     section.
       ``(d) Definition.--In this section, the term `asylum 
     seeker' means any applicant for asylum under section 208 or 
     any alien who indicates an intention to apply for asylum 
     under that section.''.
       (b) Clerical Amendment.--The table of contents of the 
     Immigration and Nationality Act is amended by inserting after 
     the item relating to section 236A the following new item:

``Sec. 236B. Alternatives to detention of asylum seekers.''.

                       Subtitle D--Effective Date

     SEC. 1131. EFFECTIVE DATE.

       This title, and the amendments made by this title, shall 
     take effect one year after the effective date of division A 
     of this Act.

           TITLE XII--UNACCOMPANIED ALIEN JUVENILE PROTECTION

     SEC. 1201. UNACCOMPANIED ALIEN JUVENILES.

       (a) Custody Determinations.--
       (1) In general.--
       (A) Initial custody and care.--The custody and care of an 
     unaccompanied alien juvenile shall be the responsibility of 
     the Under Secretary of Immigration Affairs in the Department 
     of Homeland Security or the Under Secretary of Border and 
     Transportation Security, as determined under guidelines to be 
     promulgated by the Secretary.
       (B) Transfer of custody and care.--Unless the juvenile is 
     described in subsection (b), the Department of Homeland 
     Security shall transfer custody and care of that juvenile to 
     the Office of Refugee Resettlement of the Department of 
     Health and Human Services.
       (2) Exception.--Notwithstanding paragraph (1), the 
     Directorate of Immigration Affairs shall retain or assume the 
     custody and care of an unaccompanied alien juvenile--
       (A) who has been charged with a felony;
       (B) who has been convicted of a felony;
       (C) who exhibits a violent or criminal behavior that 
     endangers others; or
       (D) with respect to whom the Secretary of Homeland Security 
     has a substantial evidence to conclude that such juvenile 
     endangers the national security of the United States.
       (b) Functions.--
       (1) In general.--Pursuant to subsection (a)(2), the 
     Director of the Office of Refugee Resettlement shall be 
     responsible for--
       (A) coordinating and implementing the custody and care of 
     unaccompanied alien juveniles who are in Federal custody by 
     reason of their immigration status, including developing a 
     plan to be submitted to the Congress on how to ensure that 
     qualified and independent legal counsel is timely appointed 
     to represent the interests of each such juvenile, consistent 
     with the law regarding appointment of counsel that is in 
     effect on the date of the enactment of this Act;
       (B) ensuring that the interests of the juvenile are 
     considered in decisions and actions relating to the custody 
     and care of an unaccompanied alien juvenile;
       (C) making placement determinations for all unaccompanied 
     alien juveniles who are in Federal custody by reason of their 
     immigration status;
       (D) implementing placement determinations for such 
     unaccompanied alien juveniles;
       (E) implementing policies with respect to the care and 
     placement of unaccompanied alien juveniles;
       (F) identifying a sufficient number of qualified 
     individuals, entities, and facilities to house unaccompanied 
     alien juveniles;
       (G) overseeing the infrastructure and personnel of 
     facilities in which unaccompanied alien juveniles are housed;
       (H) reuniting unaccompanied alien juveniles with a parent 
     abroad in appropriate cases;
       (I) compiling, updating, and publishing at least annually a 
     State-by-State list of professionals or other entities 
     qualified to provide guardian and attorney representation 
     services for unaccompanied alien juveniles;
       (J) maintaining statistical information and other data on 
     unaccompanied alien juveniles for whose care and placement 
     the Director is responsible, which shall include--
       (i) biographical information, such as a juvenile's name, 
     sex, date of birth, country of birth, and country of habitual 
     residence;
       (ii) the date on which the juvenile came into Federal 
     custody by reason of his or her immigration status;
       (iii) information relating to the juvenile's placement, 
     removal, or release from each facility in which the juvenile 
     has resided;
       (iv) in any case in which the juvenile is placed in 
     detention or released, an explanation relating to the 
     detention or release; and
       (v) the disposition of any actions in which the juvenile is 
     the subject;
       (K) collecting and compiling statistical information from 
     the Department of Justice, the Department of Homeland 
     Security, and the Department of State on each department's 
     actions relating to unaccompanied alien juveniles; and
       (L) conducting investigations and inspections of facilities 
     and other entities in which unaccompanied alien juveniles 
     reside.
       (2) Coordination with other entities; no release on own 
     recognizance.--In making determinations described in 
     paragraph (1)(C), the Director of the Office of Refugee 
     Resettlement--
       (A) shall consult with appropriate juvenile justice 
     professionals, the Director of Immigration Affairs of the 
     Department of Homeland Security to ensure that the 
     unaccompanied alien juveniles with respect to whom the 
     placement determinations are made--
       (i) are likely to appear for all hearings or proceedings in 
     which they are involved;
       (ii) are protected from smugglers, traffickers, or others 
     who might seek to victimize or otherwise engage them in 
     criminal, harmful, or exploitative activity; and
       (iii) are placed in a setting in which they not likely to 
     pose a danger to themselves or others; and
       (B) shall not release such juveniles upon their own 
     recognizance.
       (3) Duties with respect to foster care.-- In carrying out 
     the duties described in paragraph (1)(G), the Director of the 
     Office of Refugee Resettlement is encouraged to consider the 
     use of the refugee children foster care system established 
     pursuant to section 412(d) of the Immigration and Nationality 
     Act (8 U.S.C. 1522(d)) for the placement of unaccompanied 
     alien juveniles.
       (c) Appropriate Conditions for Detention of Unaccompanied 
     Alien Juveniles.--
       (1) In general.--An unaccompanied alien juvenile described 
     in subsection (a)(2) may be placed in a facility appropriate 
     for delinquent juveniles under conditions appropriate to the 
     behavior of such juvenile.
       (2) Restriction on detention in adult detention 
     facilities.--To the maximum extent practicable, and 
     consistent with the protection of the juvenile and others, an 
     unaccompanied alien juvenile shall not be placed in an adult 
     detention facility.
       (d) Rule of Construction.--Nothing in this section may be 
     construed to transfer the responsibility for adjudicating 
     benefit determinations or making enforcement determinations 
     under the Immigration and Nationality Act (8 U.S.C. 1101 et 
     seq.) from the authority of any official of the Department of 
     Justice, the Department of Homeland Security, or the 
     Department of State, as the case may be.
       (e) Transfer of Functions.--There are transferred to the 
     Director of the Office of Refugee Resettlement of the 
     Department of Health and Human Services functions under the 
     immigration and nationality laws of the United States with 
     respect to the custody and care of unaccompanied alien 
     juveniles that were vested by statute in, or performed by, 
     the Commissioner of the Immigration and Naturalization 
     Service (or any officer, employee, or component of the 
     Immigration and Naturalization Service) immediately before 
     the effective date specified in subsection (i).
       (f) Other Transition Matters.--
       (1) Exercise of authorities.--Except as otherwise provided 
     by law, a Federal official to whom a function is transferred 
     by this section may, for purposes of performing the function, 
     exercise all authorities under any other provision of law 
     that were available with respect to the performance of that 
     function to the official responsible for the performance of 
     the function immediately before the effective date specified 
     in subsection (i).
       (2) Savings provisions.--Subsections (a), (b), and (c) of 
     section 812 shall apply to a transfer of functions under this 
     section in the same manner as such provisions apply to a 
     transfer of functions under this Act to the Department of 
     Homeland Security.
       (3) Transfer and allocation of appropriations.--The assets, 
     liabilities, contracts, property, records, and unexpended 
     balance of appropriations, authorizations, allocations, and 
     other funds employed, held, used, arising from, available to, 
     or to be made available to, the Immigration and 
     Naturalization Service in connection with the functions 
     transferred by this section, subject to section 202 of the 
     Budget and Accounting Procedures Act of 1950, shall be 
     transferred to the Director of the Office of Refugee 
     Resettlement for allocation to the appropriate component of 
     the Department of Health and

[[Page S9330]]

     Human Services. Unexpended funds transferred pursuant to this 
     paragraph shall be used only for the purposes for which the 
     funds were originally authorized and appropriated.
       (g) References.--With respect to any function transferred 
     by this section, any reference in any other Federal law, 
     Executive order, rule, regulation, or delegation of 
     authority, or any document of or pertaining to a component of 
     government from which such function is transferred--
       (1) to the head of such component is deemed to refer to the 
     Director of the Office of Refugee Resettlement; or
       (2) to such component is deemed to refer to the Office of 
     Refugee Resettlement of the Department of Health and Human 
     Services.
       (h) Definitions.--In this section:
       (1) Lawfully present in the united states.--The term 
     ``lawfully present in the United States'' means, with respect 
     to an alien, an alien who is--
       (A) an alien who is lawfully admitted for permanent 
     residence (as defined in section 101(a)(20) of the 
     Immigration and Nationality Act);
       (B) an alien who is a nonimmigrant alien described in 
     section 101(a)(15) of the Immigration and Nationality Act;
       (C) an alien who is a special immigrant described in 
     section 101(a)(27) of the Immigration and Nationality Act;
       (D) an alien who is granted asylum under section 208 of 
     that Act;
       (E) a refugee who is admitted to the United States under 
     section 207 of that Act;
       (F) an alien who is paroled into the United States under 
     section 212(d)(5) of that Act; or
       (G) an alien whose deportation is being withheld under 
     section 243(h) of the Immigration and Nationality Act (as in 
     effect before April 1, 1997) or section 241(b)(3) of the 
     Immigration and Nationality Act.
       (2) Placement.--The term ``placement'' means the placement 
     of an unaccompanied alien juvenile in either a detention 
     facility or an alternative to such a facility.
       (3) Unaccompanied alien juvenile.--The term ``unaccompanied 
     alien juvenile'' means an alien who--
       (A) is not lawfully present in the United States;
       (B) has not attained 18 years of age; and
       (C) with respect to whom--
       (i) there is no parent or legal guardian in the United 
     States; or
       (ii) no parent or legal guardian in the United States is 
     available to provide care and physical custody.
       (i) Effective Date.--Notwithstanding section 4, this 
     section shall take effect on the date on which the transfer 
     of functions specified under section 411 takes effect.

          TITLE XIII--EXECUTIVE OFFICE FOR IMMIGRATION REVIEW

     SEC. 1301. LEGAL STATUS OF EOIR.

       (a) Existence of EOIR.--There is in the Department of 
     Justice the Executive Office for Immigration Review, which 
     shall be subject to the direction and regulation of the 
     Attorney General under section 103(g) of the Immigration and 
     Nationality Act, as added by section 1302.

     SEC. 1302. AUTHORITIES OF THE ATTORNEY GENERAL.

       Section 103 of the Immigration and Nationality Act (8 
     U.S.C. 1103) as amended by this Act, is further amended by--
       (1) amending the heading to read as follows:


  ``powers and duties of the secretary, the under secretary, and the 
                          attorney general'';

       (2) in subsection (a)--
       (A) by inserting ``Attorney General,'' after 
     ``President,''; and
       (B) by redesignating paragraphs (8), (9), (8) (as added by 
     section 372 of Public Law 104-208), and (9) (as added by 
     section 372 of Public Law 104-208) as paragraphs (8), (9), 
     (10), and (11), respectively; and
       (3) by adding at the end the following new subsection:
       ``(g) Attorney General.--
       ``(1) In general.--The Attorney General shall have such 
     authorities and functions under this Act and all other laws 
     relating to the immigration and naturalization of aliens as 
     were exercised by the Executive Office for Immigration 
     Review, or by the Attorney General with respect to the 
     Executive Office for Immigration Review, on the day before 
     the effective date of the Immigration Reform, Accountability 
     and Security Enhancement Act of 2002.
       ``(2) Powers.--The Attorney General shall establish such 
     regulations, prescribe such forms of bond, reports, entries, 
     and other papers, issue such instructions, review such 
     administrative determinations in immigration proceedings, 
     delegate such authority, and perform such other acts as the 
     Attorney General determines to be necessary for carrying out 
     this section.''.

     SEC. 1303. STATUTORY CONSTRUCTION.

       Nothing in this Act, any amendment made by this Act, or in 
     section 103 of the Immigration and Nationality Act, as 
     amended by section 1302, shall be construed to limit judicial 
     deference to regulations, adjudications, interpretations, 
     orders, decisions, judgments, or any other actions of the 
     Secretary of Homeland Security or the Attorney General.

               DIVISION C--FEDERAL WORKFORCE IMPROVEMENT

                TITLE XXI--CHIEF HUMAN CAPITAL OFFICERS

     SEC. 2101. SHORT TITLE.

       This title may be cited as the ``Chief Human Capital 
     Officers Act of 2002''.

     SEC. 2102. AGENCY CHIEF HUMAN CAPITAL OFFICERS.

       (a) In General.--Part II of title 5, United States Code, is 
     amended by inserting after chapter 13 the following:

           ``CHAPTER 14--AGENCY CHIEF HUMAN CAPITAL OFFICERS

``Sec.
``1401. Establishment of agency Chief Human Capital Officers.
``1402. Authority and functions of agency Chief Human Capital Officers.

     ``Sec. 1401. Establishment of agency Chief Human Capital 
       Officers

       ``The head of each agency referred to under paragraphs (1) 
     and (2) of section 901(b) of title 31 shall appoint or 
     designate a Chief Human Capital Officer, who shall--
       ``(1) advise and assist the head of the agency and other 
     agency officials in carrying out the agency's 
     responsibilities for selecting, developing, training, and 
     managing a high-quality, productive workforce in accordance 
     with merit system principles;
       ``(2) implement the rules and regulations of the President 
     and the Office of Personnel Management and the laws governing 
     the civil service within the agency; and
       ``(3) carry out such functions as the primary duty of the 
     Chief Human Capital Officer.

     ``Sec. 1402. Authority and functions of agency Chief Human 
       Capital Officers

       ``(a) The functions of each Chief Human Capital Officer 
     shall include--
       ``(1) setting the workforce development strategy of the 
     agency;
       ``(2) assessing workforce characteristics and future needs 
     based on the agency's mission and strategic plan;
       ``(3) aligning the agency's human resources policies and 
     programs with organization mission, strategic goals, and 
     performance outcomes;
       ``(4) developing and advocating a culture of continuous 
     learning to attract and retain employees with superior 
     abilities;
       ``(5) identifying best practices and benchmarking studies, 
     and
       ``(6) applying methods for measuring intellectual capital 
     and identifying links of that capital to organizational 
     performance and growth.
       ``(b) In addition to the authority otherwise provided by 
     this section, each agency Chief Human Capital Officer--
       ``(1) shall have access to all records, reports, audits, 
     reviews, documents, papers, recommendations, or other 
     material that--
       ``(A) are the property of the agency or are available to 
     the agency; and
       ``(B) relate to programs and operations with respect to 
     which that agency Chief Human Capital Officer has 
     responsibilities under this chapter; and
       ``(2) may request such information or assistance as may be 
     necessary for carrying out the duties and responsibilities 
     provided by this chapter from any Federal, State, or local 
     governmental entity.''.
       (b) Technical and Conforming Amendment.--The table of 
     chapters for chapters for part II of title 5, United States 
     Code, is amended by inserting after the item relating to 
     chapter 13 the following:

``14. Agency Chief Human Capital Officers...................1401''.....

     SEC. 2103. CHIEF HUMAN CAPITAL OFFICERS COUNCIL.

       (a) Establishment.--There is established a Chief Human 
     Capital Officers Council, consisting of--
       (1) the Director of the Office of Personnel Management, who 
     shall act as chairperson of the Council;
       (2) the Deputy Director for Management of the Office of 
     Management and Budget, who shall act as vice chairperson of 
     the Council; and
       (3) the Chief Human Capital Officers of Executive 
     departments and any other members who are designated by the 
     Director of the Office of Personnel Management.
       (b) Functions.--The Chief Human Capital Officers Council 
     shall meet periodically to advise and coordinate the 
     activities of the agencies of its members on such matters as 
     modernization of human resources systems, improved quality of 
     human resources information, and legislation affecting human 
     resources operations and organizations.
       (c) Employee Labor Organizations at Meetings.--The Chief 
     Human Capital Officers Council shall ensure that 
     representatives of Federal employee labor organizations are 
     present at a minimum of 1 meeting of the Council each year. 
     Such representatives shall not be members of the Council.
       (d) Annual Report.--Each year the Chief Human Capital 
     Officers Council shall submit a report to Congress on the 
     activities of the Council.

     SEC. 2104. STRATEGIC HUMAN CAPITAL MANAGEMENT.

       Section 1103 of title 5, United States Code, is amended by 
     adding at the end the following:
       ``(c)(1) The Office of Personnel Management shall design a 
     set of systems, including appropriate metrics, for assessing 
     the management of human capital by Federal agencies.
       ``(2) The systems referred to under paragraph (1) shall be 
     defined in regulations of the Office of Personnel Management 
     and include standards for--
       ``(A)(i) aligning human capital strategies of agencies with 
     the missions, goals, and organizational objectives of those 
     agencies; and

[[Page S9331]]

       ``(ii) integrating those strategies into the budget and 
     strategic plans of those agencies;
       ``(B) closing skill gaps in mission critical occupations;
       ``(C) ensuring continuity of effective leadership through 
     implementation of recruitment, development, and succession 
     plans;
       ``(D) sustaining a culture that cultivates and develops a 
     high performing workforce;
       ``(E) developing and implementing a knowledge management 
     strategy supported by appropriate investment in training and 
     technology; and
       ``(F) holding managers and human resources officers 
     accountable for efficient and effective human resources 
     management in support of agency missions in accordance with 
     merit system principles.''.

     SEC. 2105. EFFECTIVE DATE.

       This title shall take effect 180 days after the date of 
     enactment of this division.

    TITLE XXII--REFORMS RELATING TO FEDERAL HUMAN CAPITAL MANAGEMENT

     SEC. 2201. INCLUSION OF AGENCY HUMAN CAPITAL STRATEGIC 
                   PLANNING IN PERFORMANCE PLANS AND PROGRAMS 
                   PERFORMANCE REPORTS.

       (a) Performance Plans.--Section 1115 of title 31, United 
     States Code, is amended--
       (1) in subsection (a), by striking paragraph (3) and 
     inserting the following:
       ``(3) provide a description of how the performance goals 
     and objectives are to be achieved, including the operation 
     processes, training, skills and technology, and the human, 
     capital, information, and other resources and strategies 
     required to meet those performance goals and objectives.'';
       (2) by redesignating subsection (f) as subsection (g); and
       (3) by inserting after subsection (e) the following:
       ``(f) With respect to each agency with a Chief Human 
     Capital Officer, the Chief Human Capital Officer shall 
     prepare that portion of the annual performance plan described 
     under subsection (a)(3).''.
       (b) Program Performance Reports.--Section 1116(d) of title 
     31, United States Code, is amended--
       (1) in paragraph (4), by striking ``and'' after the 
     semicolon;
       (2) by redesignating paragraph (5) as paragraph (6); and
       (3) by inserting after paragraph (4) the following:
       ``(5) include a review of the performance goals and 
     evaluation of the performance plan relative to the agency's 
     strategic human capital management; and''.

     SEC. 2202. REFORM OF THE COMPETITIVE SERVICE HIRING PROCESS.

       (a) In General.--Chapter 33 of title 5, United States Code, 
     is amended--
       (1) in section 3304(a)--
       (A) in paragraph (1), by striking ``and'' after the 
     semicolon;
       (B) in paragraph (2), by striking the period and inserting 
     ``; and''; and
       (C) by adding at the end of the following:
       ``(3) authority for agencies to appoint, without regard to 
     the provision of sections 3309 through 3318, candidates 
     directly to positions for which--
       ``(A) public notice has been given; and
       ``(B) the Office of Personnel Management has determined 
     that there exists a severe shortage of candidates or there is 
     a critical hiring need.

     The Office shall prescribe, by regulation, criteria for 
     identifying such positions and may delegate authority to make 
     determinations under such criteria.''; and
       (2) by inserting after section 3318 the following:

     ``Sec. 3319. Alternative ranking and selection procedures

       ``(a) The Office, in exercising its authority under section 
     3304, or an agency to which the Office has delegated 
     examining authority under section 1104(a)(2), may establish 
     category rating systems for evaluating applicants for 
     positions in the competitive service, under 2 or more quality 
     categories based on merit consistent with regulations 
     prescribed by the Office of Personnel Management, rather than 
     assigned individual numerical ratings.
       ``(b) Within each quality category established under 
     subsection (a), preference-eligibles shall be listed ahead of 
     individuals who are not preference eligibles. For other than 
     scientific and professional positions at GS-9 of the General 
     Schedule (equivalent or higher), qualified preference-
     eligibles who have a compensable service-connected disability 
     of 10 percent or more shall be listed in the highest quality 
     category.
       ``(c)(1) An appointing official may select any applicant in 
     the highest quality category or, if fewer than 3 candidates 
     have been assigned to the highest quality category, in a 
     merged category consisting of the highest and the second 
     highest quality categories.
       ``(2) Notwithstanding paragraph (1), the appointing 
     official may not pass over a preference-eligible in the same 
     category from which selection is made, unless the 
     requirements of section 3317(b) or 3318(b), as applicable, 
     are satisfied.
       ``(d) Each agency that establishes a category rating system 
     under this section shall submit in each of the 3 years 
     following that establishment, a report to Congress on that 
     system including information on--
       ``(1) the number of employees hired under that system;
       ``(2) the impact that system has had on the hiring of 
     veterans and minorities, including those who are American 
     Indian or Alaska Natives, Asian, Black or African American, 
     and native Hawaiian or other Pacific Islanders; and
       ``(3) the way in which managers were trained in the 
     administration of that system.
       ``(e) The Office of Personnel Management may prescribe such 
     regulations as it considers necessary to carry out the 
     provisions of this section.''.
       (b) Technical and Conforming Amendment.--The table of 
     sections for chapter 33 of title 5, United States Code, is 
     amended by striking the item relating to section 3319 and 
     inserting the following:

``3319. Alternative ranking and selection procedures.''.

     SEC. 2203. PERMANENT EXTENSION, REVISION, AND EXPANSION OF 
                   AUTHORITIES FOR USE OF VOLUNTARY SEPARATION 
                   INCENTIVE PAY AND VOLUNTARY EARLY RETIREMENT.

       (a) Voluntary Separation Incentive Payments.--
       (1) In general.--
       (A) Amendment to title 5, united states code.--Chapter 35 
     of title 5, United States Code, is amended by inserting after 
     subchapter I the following:

        ``SUBCHAPTER II--VOLUNTARY SEPARATION INCENTIVE PAYMENTS

     ``Sec. 3521. Definitions

       ``In this subchapter, the term--
       ``(1) `agency' means an Executive agency as defined under 
     section 105; and
       ``(2) `employee'--
       ``(A) means an employee as defined under section 2105 
     employed by an agency and an individual employed by a county 
     committee established under section 8(b)(5) of the Soil 
     Conservation and Domestic Allotment Act (16 U.S.C. 
     590h(b)(5)) who--
       ``(i) is serving under an appointment without time 
     limitation; and
       ``(ii) has been currently employed for a continuous period 
     of at least 3 years; and
       ``(B) shall include--
       ``(i) a reemployed annuitant under subchapter III of 
     chapter 83 or 84 or another retirement system for employees 
     of the Government;
       ``(ii) an employee having a disability on the basis of 
     which such employee is or would be eligible for disability 
     retirement under subchapter III of chapter 83 or 84 or 
     another retirement system for employees of the Government.
       ``(iii) an employee who is in receipt of a decision notice 
     of involuntary separation for misconduct or unacceptable 
     performance;
       ``(iv) an employee who has previously received any 
     voluntary separation incentive payment from the Federal 
     Government under this subchapter or any other authority;
       ``(v) an employee covered by statutory reemployment rights 
     who is on transfer employment with another organization; or
       ``(vi) any employee who--

       ``(I) during the 36-month period preceding the date of 
     separation of that employee, performed service for which a 
     student loan repayment benefit was or is to be paid under 
     section 5379;
       ``(II) during the 24-month period preceding the date of 
     separation of that employee, performed service for which a 
     recruitment or relocation bonus was or is to be paid under 
     section 5753; or
       ``(III) during the 12-month period preceding the date of 
     separation of that employee, performed service for which a 
     retention bonus was or is to be paid under section 5754.

     ``Sec. 3522. Agency plans; approval

       ``(a) Before obligating any resources for voluntary 
     separation incentive payments, the head of each agency shall 
     submit to the Office of Personnel Management a plan outlining 
     the intended use of such incentive payments and a proposed 
     organizational chart for the agency once such incentive 
     payments have been completed.
       ``(b) The plan of an agency under subsection (a) shall 
     include--
       ``(1) the specific positions and functions to be reduced or 
     eliminated;
       ``(2) a description of which categories of employees will 
     be offered incentives;
       ``(3) the time period during which incentives may be paid;
       ``(4) the number and amounts of voluntary separation 
     incentive payments to be offered; and
       ``(5) a description of how the agency will operate without 
     the eliminated positions and functions.
       ``(c) The Director of the Office of Personnel Management 
     shall review each agency's plan an may make any appropriate 
     modifications in the plan, in consultation with the Director 
     of the Office of Management and Budget. A plan under this 
     section may not be implemented without the approval of the 
     Directive of the Office of Personnel Management.

     ``Sec. 3523. Authority to provide voluntary separation 
       incentive payments

       ``(a) A voluntary separation incentive payment under this 
     subchapter may be paid to an employee only as provided in the 
     plan of an agency established under section 3522.
       ``(b) A voluntary incentive payment--
       ``(1) shall be offered to agency employees on the basis 
     of--
       ``(A) 1 or more organizational units;
       ``(B) 1 or more occupational series or levels;
       ``(C) 1 or more geographical locations;
       ``(D) skills, knowledge, or other factors related to a 
     position;

[[Page S9332]]

       ``(E) specific periods of time during which eligible 
     employees may elect a voluntary incentive payment; or
       ``(F) any appropriate combination of such factors;
       ``(2) shall be paid in a lump sum after the employee's 
     separation;
       ``(3) shall be equal to the lesser of--
       ``(A) an amount equal to the amount the employee would be 
     entitled to receive under section 5595(c)if the employee were 
     entitled to payment under such section (without adjustment 
     for any previous payment made); or
       ``(B) an amount determined by the agency head, not to 
     exceed $25,000;
       ``(4) may be made only in the case of an employee who 
     voluntarily separates (whether by retirement or resignation) 
     under this subchapter;
       ``(5) shall not be a basis for payment, and shall not be 
     included in the computation, of any other type of Government 
     benefit;
       ``(6) shall not be taken into account in determining the 
     amount of any severance pay to which the employee may be 
     entitled under section 5595, based on another other 
     separation; and
       ``(7) shall be paid from appropriations or funds available 
     for the payment of the basic pay of the employee.

     ``Sec. 3524. Effect of subsequent employment with the 
       Government

       ``(a) The term `employment'--
       ``(1) in subsection (b) includes employment under a 
     personal services contract (or other direct contract) with 
     the United States Government (other than an entity in the 
     legislative branch); and
       ``(2) in subsection (c) does not include employment under 
     such a contract.
       ``(b) An individual who has received a voluntary separation 
     incentive payment under this subchapter and accepts any 
     employment for compensation with the Government of the United 
     States with 5 years after the date of the separation on which 
     the payment is based shall be required to pay, before the 
     individual's first day of employment, the entire amount of 
     the incentive payment to he agency that paid the incentive 
     payment.
       ``(c)(1) If the employment under this section is with an 
     agency, other than the General Accounting Office, the United 
     States Postal Service, or the Postal Rate Commission, the 
     Director of the Office of Personnel Management may, at the 
     request of the head of the agency, may waive the repayment 
     if--
       ``(A) the individual involved possesses unique abilities 
     and is the only qualified applicant available for the 
     position; or
       ``(B) in case of an emergency involving a direct threat to 
     life or property, the individual--
       ``(i) has skills directly related to resolving the 
     emergency; and
       ``(ii) will serve on a temporary basis only so long as that 
     individual's services are made necessary by the emergency.
       ``(2) If the employment under this section is with an 
     entity in the legislative branch, the head of the entity or 
     the appointing official may waive the repayment if the 
     individual involved possesses unique abilities and is the 
     only qualified applicant available for the position.
       ``(3) If the employment under this section is with the 
     judicial branch, the Director of the Administrative Office of 
     the United States Courts may waive the repayment if the 
     individual involved possesses unique abilities and is the 
     only qualified applicant available for the position.

     ``Sec. 3525. Regulations

       ``The Office of Personnel Management may prescribe 
     regulations to carry out this subchapter.''.
       (B) Technical and conforming amendments.--Chapter 35 of 
     title 5, United States Code, is amended--
       (i) by striking the chapter heading and inserting the 
     following:

  ``CHAPTER 35--RETENTION PREFERENCE, VOLUNTARY SEPARATION INCENTIVE 
               PAYMENTS, RESTORATION, AND REEMPLOYMENT'';

     and
       (ii) in the table of sections by inserting after the item 
     relating to section 3504 the following:


        ``Subchapter II--Voluntary Separation Incentive Payments

``3521. Definitions.
``3522. Agency plans; approval.
``3523. Authority to provide voluntary separation incentive payments.
``3524. Effect of subsequent employment with the Government.
``3525. Regulations.''.
       (2) Administrative office of the united states courts.--The 
     Director of the Administrative Office of the United States 
     Courts may, by regulation, establish a program substantially 
     similar to the program established under paragraph (1) for 
     individuals serving in the judicial branch.
       (3) Continuation of other authority.--Any agency exercising 
     any voluntary separation incentive authority in effect on the 
     effective date of this subsection may continue to offer 
     voluntary separation incentives consistent with that 
     authority until that authority expires.
       (4) Effective date.--This subsection shall take effect 60 
     days after the date of enactment of this Act.
       (b) Federal Employee Voluntary Early Retirement.--
       (1) Civil service retirement system.--Section 8336(d)(2) of 
     title 5, United States Code, is amended to read as follows:
       ``(2)(A) has been employed continuously, by the agency in 
     which the employee is serving, for at least the 31-day period 
     ending on the date on which such agency requests the 
     determination referred to in subparagraph (D);
       ``(B) is serving under an appointment that is not time 
     limited;
       ``(C) has not been duly notified that such employee is to 
     be involuntarily separated for misconduct or unacceptable 
     performance;
       ``(D) is separated from the service voluntarily during a 
     period in which, as determined by the office of Personnel 
     Management (upon request of the agency) under regulations 
     prescribed by the Office--
       ``(i) such agency (or, if applicable, the component in 
     which the employee is serving) is undergoing substantial 
     delayering, substantial reorganization, substantial 
     reductions in force, substantial transfer of function, or 
     other substantial workforce restructuring (or shaping);
       ``(ii) a significant percentage of employees servicing in 
     such agency (or component) are likely to be separated or 
     subject to an immediate reduction in the rate of basic pay 
     (without regard to subchapter VI of chapter 53, or comparable 
     provisions); or
       ``(iii) identified as being in positions which are becoming 
     surplus or excess to the agency's future ability to carry out 
     its mission effectively; and
       ``(E) as determined by the agency under regulations 
     prescribed by the Office, is within the scope of the offer of 
     voluntary early retirement, which may be made on the basis 
     of--
       ``(i) 1 or more organizational units;
       ``(ii) 1 or more occupational series or levels;
       ``(iii) 1 or more geographical locations;
       ``(iv) specific periods;
       ``(v) skills, knowledge, or other factors related to a 
     position; or
       ``(vi) any appropriate combination of such factors;''.
       (2) Federal employees' retirement system.--Section 
     8414(b)(1) of title 5, United States Code, is amended by 
     striking subparagraph (B) and inserting the following:
       ``(B)(i) has been employed continuously, by the agency in 
     which the employee is serving, for at least the 31-day period 
     ending on the date on which such agency requests the 
     determination referred to in clause (iv);
       ``(ii) is serving under an appointment that is not time 
     limited;
       ``(iii) has not been duly notified that such employee is to 
     be involuntarily separated for misconduct or unacceptable 
     performance;
       ``(iv) is separate from the service voluntarily during a 
     period in which, as determined by the Office of Personnel 
     Management (upon request of the agency) under regulations 
     prescribed by the Office--
       ``(I) such agency (or, if applicable, the component in 
     which the employee is serving) is undergoing substantial 
     delayering, substantial reorganization, substantial 
     reductions in force, substantial transfer of function, or 
     other substantial workforce restructuring (or shaping);
       ``(II) a significant percentage of employees serving in 
     such agency (or component) are likely to be separated or 
     subject to an immediate reduction in the rate of basic pay 
     (without regard to subchapter VI of chapter 53, or comparable 
     provisions); or
       ``(III) identified as being in positions which are becoming 
     surplus or excess to the agency's future ability to carry out 
     its mission effectively; and
       ``(v) as determined by the agency under regulations 
     prescribed by the Office, is within the scope of the offer of 
     voluntary early retirement, which may be made on the basis 
     of--
       ``(I) 1 or more organizational units;
       ``(II) 1 or more occupational series or levels;
       ``(III) 1 or more geographical locations;
       ``(IV) specific periods;
       ``(V) skills, knowledge, or other factors related to a 
     position; or
       ``(VI) any appropriate combination of such factors.''.
       (3) General accounting office authority.--The amendments 
     made by this subsection shall not be construed to affect the 
     authority under section 1 of Public Law 106-303 (5 U.S.C. 
     8336 note; 114 State. 1063).
       (4) Technical and conforming amendments.--Section 7001 of 
     the 1998 Supplemental Appropriations and Rescissions Act 
     (Public Law 105-174; 112 Stat. 91) is repealed.
       (5) Regulations.--The Office of Personnel Management may 
     prescribe regulations to carry out this subsection.
       (c) Sense of Congress.--It is the sense of Congress that 
     the implementation of this section is intended to reshape the 
     Federal workforce and not downsize the Federal workforce.

     SEC. 2204. STUDENT VOLUNTEER TRANSIT SUBSIDY.

       (a) In General.--Section 7905(a)(1) of title 5, United 
     States Code, is amended by striking ``and a member of a 
     uniformed service'' and inserting ``, a member of a uniformed 
     service, and a student who provides voluntary services under 
     section 3111''.
       (b) Technical and Conforming Amendment.--Section 3111(c)(1) 
     of title 5, United States Code, is amended by striking 
     ``chapter 81 of this title'' and inserting ``section 7905 
     (relating to commuting by means other than single-occupancy 
     motor vehicles), chapter 81''.

[[Page S9333]]

     TITLE XXIII--REFORMS RELATING TO THE SENIOR EXECUTIVE SERVICE

     SEC. 2301. REPEAL OF RECERTIFICATION REQUIREMENTS OF SENIOR 
                   EXECUTIVES.

       (a) In General.--Title 5, United States Code, is amended--
       (1) in chapter 33--
       (A) in section 3393(g) by striking ``3393a'';
       (B) by repealing section 3393a; and
       (C) in the table of sections by striking the item relating 
     to section 3393a;
       (2) in chapter 35--
       (A) in section 3592(a)--
       (i) in paragraph (1), by inserting ``or'' at the end;
       (ii) in paragraph (2), by striking ``or'' at the end;
       (iii) by striking paragraph (3); and
       (iv) by striking the last sentence;
       (B) in section 3593(a), by striking paragraph (2) and 
     inserting the following:
       ``(2) the appointee left the Senior Executive Service for 
     reasons other than misconduct, neglect of duty, malfeasance, 
     or less than fully successful executive performance as 
     determined under subchapter II of chapter 43.''; and
       (C) in section 3594(b)--
       (i) in paragraph (1), by inserting ``or'' at the end;
       (ii) in paragraph (2), by striking ``or'' at the end; and
       (iii) by striking paragraph (3);
       (3) in section 7701(c)(1)(A), by striking ``or removal from 
     the Senior Executive Service for failure to be recertified 
     under section 3393a'';
       (4) in chapter 83--
       (A) in section 8336(h)(1), by striking ``for failure to be 
     recertified as a senior executive under section 3393a or''; 
     and
       (B) in section 8339(h), in the first sentence, by striking 
     ``, except that such reduction shall not apply in the case of 
     an employee retiring under section 8336(h) for failure to be 
     recertified as a senior executive''; and
       (5) in chapter 84--
       (A) in section 8414(a)(1), by striking ``for failure to be 
     recertified as a senior executive under section 3393a or''; 
     and
       (B) in section 8421(a)(2), by striking ``, except that an 
     individual entitled to an annuity under section 8414(a) for 
     failure to be recertified as a senior executive shall be 
     entitled to an annuity supplement without regard to such 
     applicable retirement age''.
       (b) Savings Provision.--Notwithstanding the amendments made 
     by subsection (a)(2)(A), an appeal under the final sentence 
     of section 3592(a) of title 5, United States Code, that is 
     pending on the day before the effective date of this 
     section--
       (1) shall not abate by reason of the enactment of the 
     amendments made by subsection (a)(2)(A); and
       (2) shall continue as if such amendments had not been 
     enacted.
       (c) Application.--The amendment made by subsection 
     (a)(2)(B) shall not apply with respect to an individual who, 
     before the effective date of this section, leaves the Senior 
     Executive Service for failure to be recertified as a senior 
     executive under section 3393a of title 5, United States Code.

     SEC. 2302. ADJUSTMENT OF LIMITATION ON TOTAL ANNUAL 
                   COMPENSATION.

       Section 5307(a) of title 5, United States Code, is amended 
     by adding at the end the following:
       ``(3) Notwithstanding paragraph (1), the total payment 
     referred to under such paragraph with respect to an employee 
     paid under section 5372, 5376, or 5383 of title 5 or section 
     332(f), 603, or 604 of title 28 shall not exceed the total 
     annual compensation payable to the Vice President under 
     section 104 of title 3. Regulations prescribed under 
     subsection (c) may extend the application of this paragraph 
     to other equivalent categories of employees.''.

                     TITLE XXIV--ACADEMIC TRAINING

     SEC. 2401. ACADEMIC TRAINING.

       (a) Academic Degree Training.--Section 4107 of title 5, 
     United States Code, is amended to read as follows:

     ``Sec.  4107. Academic degree training

       ``(a) Subject to subsection (b), an agency may select and 
     assign an employee to academic degree training and may pay or 
     reimburse the costs of academic degree training from 
     appropriated or other available funds if such training--
       ``(1) contributes significantly to--
       ``(A) meeting an identified agency training need;
       ``(B) resolving an identified agency staffing problem; or
       ``(C) accomplishing goals in the strategic plan of the 
     agency;
       ``(2) is part of a planned, systemic, and coordinated 
     agency employee development program linked to accomplishing 
     the strategic goals of the agency; and
       ``(3) is accredited and is provided by a college or 
     university that is accredited by a nationally recognized 
     body.
       ``(b) In exercising authority under subsection (a), an 
     agency shall--
       ``(1) consistent with the merit system principles set forth 
     in paragraphs (2) and (7) of section 2301(b), take into 
     consideration the need to--
       ``(A) maintain a balanced workforce in which women, members 
     of racial and ethnic minority groups, and persons with 
     disabilities are appropriately represented in Government 
     service; and
       ``(B) provide employees effective education and training to 
     improve organizational and individual performance;
       ``(2) assure that the training is not for the sole purpose 
     of providing an employee an opportunity to obtain an academic 
     degree or qualify for appointment to a particular position 
     for which the academic degree is a basic requirement;
       ``(3) assure that no authority under this subsection is 
     exercised on behalf of any employee occupying or seeking to 
     qualify for--
       ``(A) a noncareer appointment in the senior Executive 
     Service; or
       ``(B) appointment to any position that is excepted from the 
     competitive service because of its confidential policy-
     determining, policy-making or policy-advocating character; 
     and
       ``(4) to the greatest extent practicable, facilitate the 
     use of online degree training.''.
       (b) Technical and Conforming Amendment.--The table of 
     sections for chapter 41 of title 5, United States Code, is 
     amended by striking the item relating to section 4107 and 
     inserting the following:

``4107. Academic degree training.''.

     SEC. 2402. MODIFICATIONS TO NATIONAL SECURITY EDUCATION 
                   PROGRAM.

       (a) Findings and Policies.--
       (1) Findings.--Congress finds that--
       (A) the United States Government actively encourages and 
     financially supports the training, education, and development 
     of many United States citizens;
       (B) as a condition of some of those supports, many of those 
     citizens have an obligation to seek either compensated or 
     uncompensated employment in the Federal sector; and
       (C) it is in the United States national interest to 
     maximize the return to the Nation of funds invested in the 
     development of such citizens by seeking to employ them in the 
     Federal sector.
       (2) Policy.--It shall be the policy of the United States 
     Government to--
       (A) establish procedures for ensuring that United States 
     citizens who have incurred service obligations as the result 
     of receiving financial support for education and training 
     from the United States Government and have applied for 
     Federal positions are considered in all recruitment and 
     hiring initiatives of Federal departments, bureaus, agencies, 
     and offices; and
       (B) advertise and open all Federal positions to United 
     States citizens who have incurred service obligations with 
     the United States Government as the result of receiving 
     financial support for education and training from the United 
     States Government.
       (b) Fulfillment of Service Requirement if National Security 
     Positions Are Unavailable.--Section 802(b)(2) of the David L. 
     Boren National Security Education Act of 1991 (50 U.S.C. 
     1902) is amended--
       (1) in subparagraph (A), by striking clause (ii) and 
     inserting the following:
       ``(ii) if the recipient demonstrates to the Secretary (in 
     accordance with such regulations) that no national security 
     position in an agency or office of the Federal Government 
     having national security responsibilities is available, work 
     in other offices or agencies of the Federal Government or in 
     the field of higher education in a discipline relating to the 
     foreign country, foreign language, area study, or 
     international field of study for which the scholarship was 
     awarded, for a period specified by the Secretary, which 
     period shall be determined in accordance with clause (i); 
     or''; and
       (2) in subparagraph (B), by striking clause (ii) and 
     inserting the following:
       ``(ii) if the recipient demonstrates to the Secretary (in 
     accordance with such regulations) that no national security 
     position is available upon the completion of the degree, work 
     in other offices or agencies of the Federal Government or in 
     the field of higher education in a discipline relating to 
     foreign country, foreign language, area study, or 
     international field of study for which the fellowship was 
     awarded, for a period specified by the Secretary, which 
     period shall be determined in accordance with clause (i); 
     and''.

     SEC. 2403. COMPENSATION TIME OFF FOR TRAVEL.

       Subchapter V of chapter 55 of title 5, United States Code, 
     is amended by adding at end the following:

     ``Sec. 5550b. Compensatory time off for travel

       ``(a) An employee shall receive 1 hour of compensatory time 
     off for each hour spent by the employee in travel status away 
     from the official duty station of the employee, to the extent 
     that the time spent in travel status is not otherwise 
     compensable.
       ``(b) Not later than 30 days after the date of enactment of 
     this section, the Office of Personnel Management shall 
     prescribe regulations to implement this section.''.

     SEC. 2404. EXTENSION OF CUSTOMS USER FEES.

       Section 13031(j)(3) of the Consolidated Omnibus Budget 
     Reconciliation Act of 1985 (19 U.S.C. 58c(j)(3)) is amended 
     by striking ``September 30, 2003'' and inserting ``December 
     31, 2007.''.

 TITLE XXXI--NATIONAL COMMISSION ON TERRORIST ATTACKS UPON THE UNITED 
                                 STATES

     SEC. 3101. ESTABLISHMENT OF COMMISSION.

       There is established the National Commission on Terrorist 
     Attacks Upon the United States (in this title referred to as 
     the ``Commission'').

     SEC. 3102. PURPOSES.

       The purposes of the Commission are to--
       (1) examine and report upon the facts and causes relating 
     to the terrorist attacks of

[[Page S9334]]

     September 11, 2001, occurring at the World Trade Center in 
     New York, New York and at the Pentagon in Virginia;
       (2) ascertain, evaluate, and report on the evidence 
     developed by all relevant governmental agencies regarding the 
     facts and circumstances surrounding the attacks;
       (3) build upon the investigations of other entities, and 
     avoid unnecessary duplication, by reviewing the findings, 
     conclusions, and recommendations of--
       (A) the Joint Inquiry of the Select Committee on 
     Intelligence of the Senate and the Permanent Select Committee 
     on Intelligence of the House of Representatives regarding the 
     terrorist attacks of September 11, 2001;
       (B) other executive branch, congressional, or independent 
     commission investigations into the terrorist attacks of 
     September 11, 2001, other terrorist attacks, and terrorism 
     generally;
       (4) make a full and complete accounting of the 
     circumstances surrounding the attacks, and the extent of the 
     United States' preparedness for, and response to, the 
     attacks; and
       (5) investigate and report to the President and Congress on 
     its findings, conclusions, and recommendations for corrective 
     measures that can be taken to prevent acts of terrorism.

     SEC. 3103. COMPOSITION OF THE COMMISSION.

       (a) Members.--The Commission shall be composed of 10 
     members, of whom--
       (1) 3 members shall be appointed by the majority leader of 
     the Senate;
       (2) 3 members shall be appointed by the Speaker of the 
     House of Representatives;
       (3) 2 members shall be appointed by the minority leader of 
     the Senate; and
       (4) 2 members shall be appointed by the minority leader of 
     the House of Representatives.
       (b) Chairperson; Vice Chairperson.--
       (1) In general.--Subject to paragraph (2), the Chairperson 
     and Vice Chairperson of the Commission shall be elected by 
     the members.
       (2) Political party affiliation.--The Chairperson and Vice 
     Chairperson shall not be from the same political party.
       (c) Qualifications; Initial Meeting.--
       (1) Political party affiliation.--Not more than 5 members 
     of the Commission shall be from the same political party.
       (2) Nongovernmental appointees.--An individual appointed to 
     the Commission may not be an officer or employee of the 
     Federal Government or any State or local government.
       (3) Other qualifications.--It is the sense of Congress that 
     individuals appointed to the Commission should be prominent 
     United States citizens, with national recognition and 
     significant depth of experience in such professions as 
     governmental service, law enforcement, the armed services, 
     legal practice, public administration, intelligence 
     gathering, commerce, including aviation matters, and foreign 
     affairs.
       (4) Initial meeting.--If 60 days after the date of 
     enactment of this Act, 6 or more members of the Commission 
     have been appointed, those members who have been appointed 
     may meet and, if necessary, select a temporary chairperson, 
     who may begin the operations of the Commission, including the 
     hiring of staff.
       (d) Quorum; Vacancies.--After its initial meeting, the 
     Commission shall meet upon the call of the chairperson or a 
     majority of its members. Six members of the Commission shall 
     constitute a quorum. Any vacancy in the Commission shall not 
     affect its powers, but shall be filled in the same manner in 
     which the original appointment was made.

     SEC. 3104. FUNCTIONS OF THE COMMISSION.

       The functions of the Commission are to--
       (1) conduct an investigation that--
       (A) investigates relevant facts and circumstances relating 
     to the terrorist attacks of September 11, 2001, including any 
     relevant legislation, Executive order, regulation, plan, 
     policy, practice, or procedure; and
       (B) may include relevant facts and circumstances relating 
     to--
       (i) intelligence agencies;
       (ii) law enforcement agencies;
       (iii) diplomacy;
       (iv) immigration, nonimmigrant visas, and border control;
       (v) the flow of assets to terrorist organizations;
       (vi) commercial aviation; and
       (vii) other areas of the public and private sectors 
     determined relevant by the Commission for its inquiry;
       (2) identify, review, and evaluate the lessons learned from 
     the terrorist attacks of September 11, 2001, regarding the 
     structure, coordination, management policies, and procedures 
     of the Federal Government, and, if appropriate, State and 
     local governments and nongovernmental entities, relative to 
     detecting, preventing, and responding to such terrorist 
     attacks; and
       (3) submit to the President and Congress such reports as 
     are required by this title containing such findings, 
     conclusions, and recommendations as the Commission shall 
     determine, including proposing organization, coordination, 
     planning, management arrangements, procedures, rules, and 
     regulations.

     SEC. 3105. POWERS OF THE COMMISSION.

       (a) In General.--
       (1) Hearings and evidence.--The Commission or, on the 
     authority of the Commission, any subcommittee or member 
     thereof, may, for the purpose of carrying out this title--
       (A) hold such hearings and sit and act at such times and 
     places, take such testimony, receive such evidence, 
     administer such oaths; and
       (B) require, by subpoena or otherwise, the attendance and 
     testimony of such witnesses and the production of such books, 
     records, correspondence, memoranda, papers, and documents, as 
     the Commission or such designated subcommittee or designated 
     member may determine advisable.
       (2) Subpoenas.--
       (A) Issuance.--Subpoenas issued under paragraph (1)(B) may 
     be issued under the signature of the chairperson of the 
     Commission, the vice chairperson of the Commission, the 
     chairperson of any subcommittee created by a majority of the 
     Commission, or any member designated by a majority of the 
     Commission, and may be served by any person designated by the 
     chairperson, subcommittee chairperson, or member.
       (B) Enforcement.--
       (i) In general.--In the case of contumacy or failure to 
     obey a subpoena issued under paragraph (1)(B), the United 
     States district court for the judicial district in which the 
     subpoenaed person resides, is served, or may be found, or 
     where the subpoena is returnable, may issue an order 
     requiring such person to appear at any designated place to 
     testify or to produce documentary or other evidence. Any 
     failure to obey the order of the court may be punished by the 
     court as a contempt of that court.
       (ii) Additional enforcement.--In the case of any failure of 
     any witness to comply with any subpoena or to testify when 
     summoned under authority of this section, the Commission may, 
     by majority vote, certify a statement of fact constituting 
     such failure to the appropriate United States attorney, who 
     may bring the matter before the grand jury for its action, 
     under the same statutory authority and procedures as if the 
     United States attorney had received a certification under 
     sections 102 through 104 of the Revised Statutes of the 
     United States (2 U.S.C. 192 through 194).
       (b) Closed Meetings.--
       (1) In general.--Meetings of the Commission may be closed 
     to the public under section 10(d) of the Federal Advisory 
     Committee Act (5 U.S.C. App.) or other applicable law.
       (2) Additional authority.--In addition to the authority 
     under paragraph (1), section 10(a)(1) and (3) of the Federal 
     Advisory Committee Act (5 U.S.C. App.) shall not apply to any 
     portion of a Commission meeting if the President determines 
     that such portion or portions of that meeting is likely to 
     disclose matters that could endanger national security. If 
     the President makes such determination, the requirements 
     relating to a determination under section 10(d) of that Act 
     shall apply.
       (c) Contracting.--The Commission may, to such extent and in 
     such amounts as are provided in appropriation Acts, enter 
     into contracts to enable the Commission to discharge its 
     duties under this title.
       (d) Information From Federal Agencies.--The Commission is 
     authorized to secure directly from any executive department, 
     bureau, agency, board, commission, office, independent 
     establishment, or instrumentality of the Government 
     information, suggestions, estimates, and statistics for the 
     purposes of this title. Each department, bureau, agency, 
     board, commission, office, independent establishment, or 
     instrumentality shall, to the extent authorized by law, 
     furnish such information, suggestions, estimates, and 
     statistics directly to the Commission, upon request made by 
     the chairperson, the chairperson of any subcommittee created 
     by a majority of the Commission, or any member designated by 
     a majority of the Commission.
       (e) Assistance From Federal Agencies.--
       (1) General services administration.--The Administrator of 
     General Services shall provide to the Commission on a 
     reimbursable basis administrative support and other services 
     for the performance of the Commission's functions.
       (2) Other departments and agencies.--In addition to the 
     assistance prescribed in paragraph (1), departments and 
     agencies of the United States are authorized to provide to 
     the Commission such services, funds, facilities, staff, and 
     other support services as they may determine advisable and as 
     may be authorized by law.
       (f) Gifts.--The Commission may accept, use, and dispose of 
     gifts or donations of services or property.
       (g) Postal Services.--The Commission may use the United 
     States mails in the same manner and under the same conditions 
     as departments and agencies of the United States.

     SEC. 3106. STAFF OF THE COMMISSION.

       (a) In General.--
       (1) Appointment and compensation.--The chairperson, in 
     accordance with rules agreed upon by the Commission, may 
     appoint and fix the compensation of a staff director and such 
     other personnel as may be necessary to enable the Commission 
     to carry out its functions, without regard to the provisions 
     of title 5, United States Code, governing appointments in the 
     competitive service, and without regard to the provisions of 
     chapter 51 and subchapter III of chapter 53 of such title 
     relating to classification and General Schedule pay rates, 
     except that no rate of pay fixed under this subsection may 
     exceed the equivalent of that payable for a position at level 
     V of the Executive Schedule under section 5316 of title 5, 
     United States Code.
       (2) Personnel as federal employees.--
       (A) In general.--The executive director and any personnel 
     of the Commission who

[[Page S9335]]

     are employees shall be employees under section 2105 of title 
     5, United States Code, for purposes of chapters 63, 81, 83, 
     84, 85, 87, 89, and 90 of that title.
       (B) Members of commission.--Subparagraph (A) shall not be 
     construed to apply to members of the Commission.
       (b) Detailees.--Any Federal Government employee may be 
     detailed to the Commission without reimbursement from the 
     Commission, and such detailee shall retain the rights, 
     status, and privileges of his or her regular employment 
     without interruption.
       (c) Consultant Services.--The Commission is authorized to 
     procure the services of experts and consultants in accordance 
     with section 3109 of title 5, United States Code, but at 
     rates not to exceed the daily rate paid a person occupying a 
     position at level IV of the Executive Schedule under section 
     5315 of title 5, United States Code.

     SEC. 3107. COMPENSATION AND TRAVEL EXPENSES.

       (a) Compensation.--Each member of the Commission may be 
     compensated at not to exceed the daily equivalent of the 
     annual rate of basic pay in effect for a position at level IV 
     of the Executive Schedule under section 5315 of title 5, 
     United States Code, for each day during which that member is 
     engaged in the actual performance of the duties of the 
     Commission.
       (b) Travel Expenses.--While away from their homes or 
     regular places of business in the performance of services for 
     the Commission, members of the Commission shall be allowed 
     travel expenses, including per diem in lieu of subsistence, 
     in the same manner as persons employed intermittently in the 
     Government service are allowed expenses under section 5703(b) 
     of title 5, United States Code.

     SEC. 3108. SECURITY CLEARANCES FOR COMMISSION MEMBERS AND 
                   STAFF.

       The appropriate executive departments and agencies shall 
     cooperate with the Commission in expeditiously providing to 
     the Commission members and staff appropriate security 
     clearances in a manner consistent with existing procedures 
     and requirements, except that no person shall be provided 
     with access to classified information under this section who 
     would not otherwise qualify for such security clearance.

     SEC. 3109. REPORTS OF THE COMMISSION; TERMINATION.

       (a) Initial Report.--Not later than 6 months after the date 
     of the first meeting of the Commission, the Commission shall 
     submit to the President and Congress an initial report 
     containing such findings, conclusions, and recommendations 
     for corrective measures as have been agreed to by a majority 
     of Commission members.
       (b) Additional Reports.--Not later than 1 year after the 
     submission of the initial report of the Commission, the 
     Commission shall submit to the President and Congress a 
     second report containing such findings, conclusions, and 
     recommendations for corrective measures as have been agreed 
     to by a majority of Commission members.
       (c) Termination.--
       (1) In general.--The Commission, and all the authorities of 
     this title, shall terminate 60 days after the date on which 
     the second report is submitted under subsection (b).
       (2) Administrative activities before termination.--The 
     Commission may use the 60-day period referred to in paragraph 
     (1) for the purpose of concluding its activities, including 
     providing testimony to committees of Congress concerning its 
     reports and disseminating the second report.

     SEC. 3110. AUTHORIZATION OF APPROPRIATIONS.

       There are authorized to be appropriated to the Commission 
     to carry out this title $3,000,000, to remain available until 
     expended.

                              TITLE XXXII

     SEC.   . PRESERVATION OF THE PRESIDENTIAL NATIONAL SECURITY 
                   POWER.

       ``Notwithstanding any other provision in this Act, nothing 
     in this Act shall be construed to take away the statutory 
     authority of the President to act in a manner consistent with 
     national security requirements and considerations as existed 
     on the day of the terrorist attacks on September 11, 2001.''
       These provisions shall take effect two days after the date 
     of enactment.
                                 ______
                                 
  SA 4745. Mr. DASCHLE submitted an amendment intended to be proposed 
to amendment SA 4744 submitted by Mr. Daschle and intended to be 
proposed to the amendment SA 4471 proposed by Mr. Lieberman to the bill 
H.R. 5005, to establish the Department of Homeland Security, and for 
other purposes; which was ordered to lie on the table; as follows:

       On page 96, strike line 2 and all that follows through page 
     109, line 13, and insert the following:

     SEC. 730 ESTABLISHMENT OF HUMAN RESOURCES MANAGEMENT SYSTEM.

       (a) Authority.--
       (1) Sense of congress.--It is the sense of Congress that--
       (A) it is extremely important that employees of the 
     Department be allowed to participate in a meaningful way in 
     the creation of any human resources management system 
     affecting them;
       (B) such employees have the most direct knowledge of the 
     demands of their jobs and have a direct interest in ensuring 
     that their human resources management system is conducive to 
     achieving optimal operational efficiencies;
       (C) the 21st century human resources management system 
     envisioned for the Department should be one that benefits 
     from the input of its employees; and
       (D) this collaborative effort will help secure our 
     homeland.
       (2) In general.--Subpart I of part III of title 5, United 
     States Code, is amended by adding at the end the following:

             ``CHAPTER 97--DEPARTMENT OF HOMELAND SECURITY

``Sec.
``9701. Establishment of human resources management system.

     ``Sec. 9701. Establishment of human resources management 
       system

       ``(a) In General.--Notwithstanding any other provision of 
     this part, the Secretary may, in regulations prescribed 
     jointly with the Director of the Office of Personnel 
     Management, establish, and from time to time adjust, a human 
     resources management system for some or all of the 
     organizational units of the Department.
       ``(b) System Requirements.--Any system established under 
     subsection (a) shall--
       ``(1) be flexible;
       ``(2) be contemporary;
       ``(3) not waive, modify, or otherwise affect--
       ``(A) the public employment principles of merit and fitness 
     set forth in section 2301, including the principles of hiring 
     based on merit, fair treatment without regard to political 
     affiliation or other nonmerit considerations, equal pay for 
     equal work, and protection of employees against reprisal for 
     whistleblowing;
       ``(B) any provision of section 2302, relating to prohibited 
     personnel practices;
       ``(C)(i) any provision of law referred to in section 
     2302(b)(1); or
       ``(ii) any provision of law implementing any provision of 
     law referred to in section 2302(b)(1) by--
       ``(I) providing for equal employment opportunity through 
     affirmative action; or
       ``(II) providing any right or remedy available to any 
     employee or applicant for employment in the civil service;
       ``(D) any other provision of this part (as described in 
     subsection (c)); or
       ``(E) any rule or regulation prescribed under any provision 
     of law referred to in any of the preceding subparagraphs of 
     this paragraph;
       ``(4) ensure that employees may organize, bargain 
     collectively, and participate through labor organizations of 
     their own choosing in decisions which affect them, subject to 
     any exclusion from coverage or limitation on negotiability 
     established by law; and
       ``(5) permit the use of a category rating system for 
     evaluating applicants for positions in the competitive 
     service.
       ``(c) Other Nonwaivable Provisions.--The other provisions 
     of this part as referred to in subsection (b)(3)(D), are (to 
     the extent not otherwise specified in subparagraph (A), (B), 
     (C), or (D) of subsection (b)(3))--
       ``(1) subparts A, B, E, G, and H of this part; and
       ``(2) chapters 41, 45, 47, 55, 57, 59, 71, 72, 73, 77, and 
     79, and this chapter.
       ``(d) Limitations Relating to Pay.--Nothing in this section 
     shall constitute authority--
       ``(1) to modify the pay of any employee who serves in--
       ``(A) an Executive Schedule position under subchapter II of 
     chapter 53 of title 5, United States Code; or
       ``(B) a position for which the rate of basic pay is fixed 
     in statute by reference to a section or level under 
     subchapter II of chapter 53 of such title 5;
       ``(2) to fix pay for any employee or position at an annual 
     rate greater than the maximum amount of cash compensation 
     allowable under section 5307 of such title 5 in a year; or
       ``(3) to exempt any employee from the application of such 
     section 5307.
       ``(e) Provisions To Ensure Collaboration With Employee 
     Representatives.--
       ``(1) In general.--In order to ensure that the authority of 
     this section is exercised in collaboration with, and in a 
     manner that ensures the direct participation of employee 
     representatives in the planning development, and 
     implementation of any human resources management system or 
     adjustments under this section, the Secretary and the 
     Director of the Office of Personnel Management shall provide 
     for the following:
       ``(A) Notice of proposal.-- The Secretary and the Director 
     shall, with respect to any proposed system or adjustment--
       ``(i) provide to each employee representative representing 
     any employees who might be affected, a written description of 
     the proposed system or adjustment (including the reasons why 
     it is considered necessary);
       ``(ii) give each representative at least 60 days (unless 
     extraordinary circumstances require earlier action) to review 
     and make recommendations with respect to the proposal; and
       ``(iii) give any recommendations received from any such 
     representatives under clause (ii) full and fair consideration 
     in deciding whether or how to proceed with the proposal.
       ``(B) Preimplementation requirements.--If the Secretary and 
     the Director decide to implement a proposal described in 
     subparagraph (A), they shall before implementation--
       ``(i) give each representative details of the decision to 
     implement the proposal, together with the information upon 
     which the decision is based;
       ``(ii) give each representative an opportunity to make 
     recommendations with respect to the proposal; and

[[Page S9336]]

       ``(iii) give such recommendation full and fair 
     consideration, including the providing of reasons to an 
     employee representative if any of its recommendations are 
     rejected.
       ``(C) Continuing collaboration.--If a proposal described in 
     subparagraph (A) is implemented, the Secretary and the 
     Director shall--
       ``(i) develop a method for each employee representative to 
     participate in any further planning or development which 
     might become necessary; and
       ``(ii) give each employee representative adequate access to 
     information to make that participation productive.
       ``(2) Procedures.--Any procedures necessary to carry out 
     this subsection shall be established by the Secretary and the 
     Director jointly. Such procedures shall include measures to 
     ensure--
       ``(A) in the case of employees within a unit with respect 
     to which a labor organization is accorded exclusive 
     recognition, representation by individuals designated or from 
     among individuals nominated by such organization;
       ``(B) in the case of any employees who are not within such 
     a unit, representation by any appropriate organization which 
     represents a substantial percentage of those employees or, if 
     none, in such other manner as may be appropriate, consistent 
     with the purposes of the subsection; and
       ``(C) the selection of representatives in a manner 
     consistent with the relative number of employees represented 
     by the organizations or other representatives involved.
       ``(3) Written agreement.--Notwithstanding any other 
     provision of this part, employees within a unit to which a 
     labor organization is accorded exclusive recognition under 
     chapter 71 shall not be subject to any system provided under 
     this section unless the exclusive representative and the 
     Secretary have entered into a written agreement, which 
     specifically provides for the inclusion of such employees 
     within such system. Such written agreement may be imposed by 
     the Federal Service Impasses Panel under section 7119, after 
     negotiations consistent with section 7117.
       ``(f) Provisions Relating to Appellate Procedures.--
       (1) Sense of congress.--It is the sense of Congress that--
       ``(A) employees of the Department are entitled to fair 
     treatment in any appeals that they bring in decisions 
     relating to their employment; and
       ``(B) in prescribing regulations for any such appeals 
     procedures, the Secretary and the Director of the Office of 
     Personnel Management--
       ``(i) should ensure that employees of the Department are 
     afforded the protections of due process; and
       ``(ii) toward that end, should be required to consult with 
     the Merit Systems Protection Board before issuing any such 
     regulations.
       ``(2) Requirements.--Any regulations under this section 
     which relate to any matters within the purview of chapter 
     77--
       ``(A) shall be issued only after consultation with the 
     Merit Systems Protection Board;
       ``(B) shall ensure the availability of procedures which 
     shall--
       ``(i) be consistent with requirements of due process; and
       ``(ii) provide, to the maximum extent practicable, for the 
     expeditious handling of any matters involving the Department; 
     and
       ``(C) shall modify procedures under chapter 77 only insofar 
     as such modifications are designed to further the fair, 
     efficient, and expeditious resolution of matters involving 
     the employees of the Department.
       ``(g) Sunset Provision.--Effective 5 years after the 
     conclusion of the transition period defined under section 801 
     of the Homeland Security Act of 2002, all authority to issue 
     regulations under this section (including regulations which 
     would modify, supersede, or terminate any regulations 
     previously issued under this section) shall cease to be 
     available.''.
       (3) Clerical amendment.--The table of chapters for part III 
     of title 5, United States Code, is amended by adding at the 
     end of the following:

``97. Department of Homeland Security.......................9701''.....

       (b) Effect on Personnel.--
       (1) Nonseparation or nonreduction in grade or compensation 
     of full-time personnel and part-time personnel holding 
     permanent positions.--Except as otherwise provided in this 
     Act, the transfer pursuant to this act of full-time personnel 
     (except special Government employees) and part-time personnel 
     holding permanent positions shall not cause any such employee 
     to be separated or reduced in grade or compensation for one 
     year after the date of transfer to the Department.
       (2) Positions compensated in accordance with executive 
     schedule.--Any person who, on the day preceding such person's 
     date of transfer pursuant to this Act, held a position 
     compensated in accordance with the Executive Schedule 
     prescribed in chapter 53 of title 5, United States Code, and 
     who, without a break in service, is appointed in the 
     Department to a position having duties comparable to the 
     duties performed immediately preceding such appointment shall 
     continue to be compensated in such new position at not less 
     than the rate provided for such position, for the duration of 
     the service of such person in such new position.
       (3) Coordination rule.--Any exercise of authority under 
     chapter 97 of title 5, United States Code (as amended by 
     subsection (a)), including under any system established under 
     such chapter, shall be in conformance with the requirements 
     of this subsection.

     SEC. ____. LABOR-MANAGEMENT RELATIONS.

       (a) Limitation on Exclusionary Authority.--
       (1) In general.--No agency or subdivision of an agency 
     which is transferred to the Department pursuant to this Act 
     shall be excluded from the coverage of chapter 71 of title 5, 
     United States Code, as a result of any order issued under 
     section 7103(b)(1) of such title 5 after June 18, 2002, 
     unless--
       (A) the mission and responsibilities of the agency (or 
     subdivision) materially change; and
       (B) a majority of the employees within such agency (or 
     subdivision) have as their primary duty intelligence, 
     counterintelligence, or investigative work directly related 
     to terrorism investigation.
       (2) Exclusions allowable.--Nothing in paragraph (1) shall 
     affect the effectiveness of any order to the extent that such 
     order excludes any portion of an agency or subdivision of an 
     agency as to which--
       (A) recognition as an appropriate unit has never been 
     conferred for purposes of chapter 71 of title 5, United 
     States Code; or
       (B) any such recognition has been revoked or otherwise 
     terminated as a result of a determination under subsection 
     (b)(1).
       (b) Provisions Relating to Bargaining Units.--
       (1) Limitation relating to appropriate units.--Each unit 
     which is recognized as an appropriate unit for purposes of 
     chapter 71 of title 5, United States Code, as of the day 
     before the effective date of this Act (and any subdivision of 
     any such unit) shall, if such unit (or subdivision) is 
     transferred to the Department pursuant to this Act, continue 
     to be so recognized for such purposes, unless--
       (A) the mission and responsibilities of such unit (or 
     subdivision) materially change; and
       (B) a majority of the employees within such unit (or 
     subdivision) have as their primary duty intelligence, 
     counterintelligence, or investigative work directly related 
     to terrorism investigation.
       (2) Limitation relating to positions or employees.--No 
     position or employee within a unit (or subdivision of a unit) 
     as to which continued recognition is given in accordance with 
     paragraph (1) shall be excluded from such unit (or 
     subdivision), for purposes of chapter 71 of title 5, United 
     States Code, unless the primary job duty of such position or 
     employee--
       (A) materially changes; and
       (B) consists of intelligence, counterintelligence, or 
     investigative work directly related to terrorism 
     investigation.
     In the case of any positions within a unit (or subdivision) 
     which are first established on or after the effective date of 
     this Act and any employee first appointed on or after such 
     date, the preceding sentence shall be applied disregarding 
     subparagraph (A).
       (c) Coordination Rule.--No other provision of this Act or 
     of any amendment made by this Act may be construed or applied 
     in a manner so as to limit, supersede, or otherwise affect 
     the provisions of this section, except to the extent that it 
     does so by specific reference to this section.
       (d) Savings Clause.--Notwithstanding any other provision of 
     this Act, Title XXXII is null and void.
       These provisions shall take effect one day after enactment.
                                 ______
                                 
  SA 4746. Mr. KENNEDY submitted an amendment intended to be proposed 
by him to the bill H.R. 5005, to establish the Department of Homeland 
Security, and for other purposes; which was ordered to lie on the 
table; as follows:

       On page 232, strike lines 2 through 10 and insert the 
     following:
       ``(1) In general.--The Attorney General shall have such 
     authorities and functions under this Act as may be necessary 
     to carry out the authorities and functions of immigration 
     judges, appellate immigration judges, and the chief 
     administrative hearing officer under this Act through the 
     Executive Office of Immigration Review of the Department of 
     Justice.
                                 ______
                                 
  SA 4747. Mr. KENNEDY submitted an amendment intended to be proposed 
by him to the bill H.R. 5005, to establish the Department of Homeland 
Security, and for other purposes; which was ordered to lie on the 
table; as follows:

       On page 55, lines 11 and 12, strike ``, including the 
     establishment of rules,''.
                                 ______
                                 
  SA 4748. Mr. KENNEDY submitted an amendment intended to be proposed 
by him to the bill H.R. 5005, to establish the Department of Homeland 
Security, and for other purposes; which was ordered to lie on the 
table; as follows:

       On page 55, line 16, before the semicolon insert the 
     following: ``, except that this paragraph shall be restricted 
     to functions transferred by this Act to the Directorate for 
     Border and Transportation Security''.
                                 ______
                                 
  SA 4749. Mr. KENNEDY submitted an amendment intended to be proposed 
by him to the bill H.R. 5005, to establish the Department of Homeland 
Security, and for other purposes; which was ordered to lie on the 
table; as follows:


[[Page S9337]]


       At the end of section 1103 of the amendment, add the 
     following:
       (c) Inspections.--The Under Secretary of Immigration 
     Affairs shall assign officers, with expertise and training in 
     immigration and nationality law, to major ports of entry in 
     the United States to assist in the inspection of aliens. For 
     other ports of entry, the Under Secretary shall take steps to 
     ensure such officers participate in the inspections process.
       (d) Training for Border Patrol and Inspectors.--The Under 
     Secretary of Immigration Affairs, in consultation with the 
     Under Secretary of Border and Transportation Protection, will 
     provide training in immigration and nationality law to 
     personnel performing the border patrol and inspections 
     functions in the Border and Transportation Protection 
     Directorate.
                                 ______
                                 
  SA 4750. Mr. KENNEDY submitted an amendment intended to be proposed 
by him to the bill H.R. 5005, to establish the Department of Homeland 
Security, and for other purposes; which was ordered to lie on the 
table; as follows:

       Strike title XIII and insert the following:

          TITLE XIII--EXECUTIVE OFFICE FOR IMMIGRATION REVIEW

     SEC. 1301. ESTABLISHMENT.

       (a) In General.--There is within the Department of Justice 
     the Executive Office for Immigration Review.
       (b) Statutory Construction.--Nothing in title XI, or any 
     amendment made by that title, may be construed to authorize 
     or require the transfer or delegation of any function vested 
     in, or exercised by, the Executive Office for Immigration 
     Review of the Department of Justice, or any officer, 
     employee, or component thereof, immediately prior to the 
     effective date of title XI.

     SEC. 1302. DIRECTOR OF THE AGENCY.

       (a) Appointment.--There shall be at the head of the 
     Executive Office for Immigration Review a Director who shall 
     be appointed by the President, by and with the advice and 
     consent of the Senate.
       (b) Offices.--The Director shall appoint a Deputy Director, 
     General Counsel, Pro Bono Coordinator, and other offices as 
     may be necessary to carry out this title.
       (c) Responsibilities.--The Director shall--
       (1) administer the Executive Office for Immigration Review 
     and be responsible for the promulgation of rules and 
     regulations affecting the agency; and
       (2) appoint and fix the compensation of attorneys, clerks, 
     administrative assistants, and other personnel as may be 
     necessary.

     SEC. 1303. BOARD OF IMMIGRATION APPEALS.

       (a) In General.--The Board of Immigration Appeals (in this 
     title referred to as the ``Board'') shall perform the 
     appellate functions of the Executive Office for Immigration 
     Review. The Board shall consist of a Chair and not less than 
     14 other immigration appeals judges.
       (b) Appointment.--Members of the Board shall be appointed 
     by the Attorney General, in consultation with the Director 
     and the Chair of the Board of Immigration Appeals.
       (c) Qualifications.--The Chair and each other Member of the 
     Board shall be an attorney in good standing of a bar of a 
     State or the District of Columbia and shall have at least 7 
     years of pertinent legal expertise.
       (d) Jurisdiction.--
       (1) In general.--The Board shall have such jurisdiction as 
     was, prior to the date of enactment of this Act, provided by 
     statute or regulation to the Board of Immigration Appeals (as 
     in effect under the Executive Office of Immigration Review).
       (2) De novo review.--The Board shall have de novo review of 
     any decision by an immigration judge, including any final 
     order of removal.
       (e) Independence of Board Members.--The Members of the 
     Board shall exercise their independent judgment and 
     discretion in the cases coming before the Board.
       (f) Referral of Cases to the Attorney General.--
       (1) In general.--The Board shall refer to the Attorney 
     General for review of any case that--
       (A) the Attorney General directs the Board to refer to the 
     Attorney General;
       (B) the Chairman or a majority of the Board believes should 
     be referred to the Attorney General for review; or
       (C) the Under Secretary of Homeland Security for 
     Immigration Affairs requests be referred to the Attorney 
     General for review.
       (2) Decision of the attorney general.--In any case in which 
     the Attorney General reviews the decision of the Board, the 
     decision of the Attorney General shall be stated in writing 
     and shall be transmitted to the Board for transmittal and 
     service as provided by regulations.

     SEC. 1304. CHIEF IMMIGRATION JUDGE.

       (a) Establishment of Office.--There shall be within the 
     Executive Office for Immigration Review the position of Chief 
     Immigration Judge, who shall administer the immigration 
     courts.
       (b) Duties of the Chief Immigration Judge.--The Chief 
     Immigration Judge shall be responsible for the general 
     supervision, direction, and procurement of resource and 
     facilities and for the general management of immigration 
     court dockets.
       (c) Appointment of Immigration Judges.--Immigration judges 
     shall be appointed by the Attorney General, in consultation 
     with the Director and the Chief Immigration Judge.
       (d) Qualifications.--Each immigration judge, including the 
     Chief Immigration Judge, shall be an attorney in good 
     standing of a bar of a State or the District of Columbia and 
     shall have at least 7 years of pertinent legal expertise.
       (e) Jurisdiction and Authority of Immigration Courts.--The 
     immigration courts shall have such jurisdiction as was, prior 
     to the date of enactment of this Act, provided by statute or 
     regulation to the immigration courts within the Executive 
     Office for Immigration Review of the Department of Justice.
       (f) Independence of Immigration Judges.--The immigration 
     judges shall exercise their independent judgment and 
     discretion in the cases coming before the Immigration Court.

     SEC. 1305. CHIEF ADMINISTRATIVE HEARING OFFICER.

       (a) Establishment of Position.--There shall be within the 
     Executive Office for Immigration Review the position of Chief 
     Administrative Hearing Officer.
       (b) Duties of the Chief Administrative Hearing Officer.--
     The Chief Administrative Hearing Officer shall hear cases 
     brought under sections 274A, 274B, and 274C of the 
     Immigration and Nationality Act.

     SEC. 1306. AUTHORIZATION OF APPROPRIATIONS.

       There are authorized to be appropriated to the Executive 
     Office for Immigration Review such sums as may be necessary 
     to carry out this title.
                                 ______
                                 
  SA 4751. Mr. KENNEDY submitted an amendment intended to be proposed 
by him to the bill H.R. 5005, to establish the Department of Homeland 
Security, and for other purposes; which was ordered to lie on the 
table; as follows:

       On page 232, line 10, before the period insert the 
     following: ``, except that the Attorney General may not 
     exercise the authorities and functions in this paragraph in a 
     manner that does not respect the independence of immigration 
     judges''.
                                 ______
                                 
  SA 4752. Mr. HOLLINGS (for Mr. Graham) proposed an amendment to the 
bill S. 2506, to authorize appropriations for fiscal year 2003 for 
intelligence and intelligence-related activities of the United States 
Government, the Community Management Account, and the Central 
Intelligence Agency Retirement and Disability System, and for other 
purposes; as follows:

       Strike all after the enacting clause and 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 2003''.
       (b) Table of Contents.--The table of contents of this Act 
     is as follows:

Sec. 1. Short title; table of contents.

                    TITLE I--INTELLIGENCE ACTIVITIES

Sec. 101. Authorization of appropriations.
Sec. 102. Classified schedule of authorizations.
Sec. 103. Personnel ceiling adjustments.
Sec. 104. Intelligence Community Management Account.
Sec. 105. Incorporation of reporting requirements.
Sec. 106. Preparation and submittal of reports, reviews, studies, and 
              plans relating to intelligence activities of Department 
              of Defense or Department of Energy.

 TITLE II--CENTRAL INTELLIGENCE AGENCY RETIREMENT AND DISABILITY SYSTEM

Sec. 201. Authorization of appropriations.

                     TITLE III--GENERAL PROVISIONS

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

[[Page S9338]]

Sec. 315. Two-year extension of Central Intelligence Agency Voluntary 
              Separation Pay Act.
Sec. 316. Additional one-year suspension of reorganization of 
              Diplomatic Telecommunications Service Program Office.

                    TITLE IV--REPORTING REQUIREMENTS

      Subtitle A--Submittal of Reports to Intelligence Committees

Sec. 401. Dates for submittal of various annual and semi-annual reports 
              to the congressional intelligence committees.

                  Subtitle B--Recurring Annual Reports

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

                       Subtitle C--Other Reports

Sec. 431. Report on effect of country-release restrictions on allied 
              intelligence-sharing relationships.
Sec. 432. Evaluation of policies and procedures of Department of State 
              on protection of classified information at department 
              headquarters.
Sec. 433. Study of Department of State Consular Services.

           Subtitle D--Repeal of Certain Report Requirements

Sec. 441. Repeal of certain report requirements.

                TITLE V--COUNTERINTELLIGENCE ACTIVITIES

Sec. 501. Short title; purpose.
Sec. 502. National Counterintelligence Executive.
Sec. 503. National Counterintelligence Policy Board.
Sec. 504. Office of the National Counterintelligence Executive.

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

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

                    TITLE I--INTELLIGENCE ACTIVITIES

     SEC. 101. AUTHORIZATION OF APPROPRIATIONS.

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

     SEC. 102. CLASSIFIED SCHEDULE OF AUTHORIZATIONS.

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

     SEC. 103. PERSONNEL CEILING ADJUSTMENTS.

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

     SEC. 104. INTELLIGENCE COMMUNITY MANAGEMENT ACCOUNT.

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

     SEC. 105. INCORPORATION OF REPORTING REQUIREMENTS.

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

[[Page S9339]]

     ``congressional intelligence committees'' means--
       (1) the Select Committee on Intelligence of the Senate; and
       (2) the Permanent Select Committee on Intelligence of the 
     House of Representatives.

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

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

 TITLE II--CENTRAL INTELLIGENCE AGENCY RETIREMENT AND DISABILITY SYSTEM

     SEC. 201. AUTHORIZATION OF APPROPRIATIONS.

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

                     TITLE III--GENERAL PROVISIONS

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

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

     SEC. 302. RESTRICTION ON CONDUCT OF INTELLIGENCE ACTIVITIES.

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

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

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

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

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


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

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

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

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

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

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

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


   ``authority to furnish information on intelligence activities to 
                                congress

       ``Sec. 503A. Notwithstanding any other provision of law, 
     and consistent with the obligations of the Director of 
     Central Intelligence to protect intelligence sources and 
     methods, it shall not be unlawful for the Director, or a 
     designee of the Director, to furnish to the congressional 
     intelligence committees information in the possession of an 
     element of the intelligence community on intelligence 
     activities in furtherance of the reporting responsibilities 
     of such element under sections 501, 502, and 503 or any other

[[Page S9340]]

     provision of law requiring the reporting of information on 
     intelligence activities to Congress.''.
       (b) Clerical Amendment.--The table of sections for the 
     National Security Act of 1947 is amended by inserting after 
     the item relating to section 503 the following new item:

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

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

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

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

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

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

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

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

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

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

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

[[Page S9341]]

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

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

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


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

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

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

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

                      ``TITLE XI--OTHER PROVISIONS

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

     SEC. 311. NATIONAL VIRTUAL TRANSLATION CENTER.

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

     SEC. 312. FOREIGN TERRORIST ASSET TRACKING CENTER.

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

     SEC. 313. TERRORIST IDENTIFICATION CLASSIFICATION SYSTEM.

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

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

       (a) Annual Report Required.--The Director of Central 
     Intelligence shall submit to

[[Page S9342]]

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

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

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

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

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

                    TITLE IV--REPORTING REQUIREMENTS

      Subtitle A--Submittal of Reports to Intelligence Committees

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

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


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

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

[[Page S9343]]

     date for the submittal to the congressional intelligence 
     committees of any report described in subparagraph (B) may be 
     postponed by not more than 30 days from the date otherwise 
     specified in the provision of law for the submittal of such 
     report if the official required to submit such report submits 
     to the congressional intelligence committees a written 
     notification of such postponement.
       ``(B) A report described in this subparagraph is any report 
     on intelligence or intelligence-related activities of the 
     United States Government that is submitted under a provision 
     of law requiring the submittal of only a single report.
       ``(3)(A) The date for the submittal of a report whose 
     submittal is postponed under paragraph (1) or (2) may be 
     postponed beyond the time provided for the submittal of such 
     report under such paragraph if the official required to 
     submit such report submits to the congressional intelligence 
     committees a written certification that preparation and 
     submittal of such report at such time will impede the work of 
     officers or employees of the intelligence community in a 
     manner that will be detrimental to the national security of 
     the United States.
       ``(B) A certification with respect to a report under 
     subparagraph (A) shall include a proposed submittal date for 
     such report, and such report shall be submitted not later 
     than that date.
       ``(e) Construction.--The provisions of this section shall 
     not affect the date for the submittal of any report covered 
     by this section to a Member or committee of Congress other 
     than the congressional intelligence committees, or to an 
     official of the Executive branch.''.
       (2) The table of sections for the National Security Act of 
     1947, as amended by section 304 of this Act, is further 
     amended by inserting after the item relating to section 506 
     the following new item:

``Sec. 507. Dates for submittal of various annual and semi-annual 
              reports to the congressional intelligence committees.''.

       (b) Report of General Counsel of CIA on Efforts To Ensure 
     Compliance With Reporting Deadlines.--(1) Not later than 
     December 1, 2002, the General Counsel of the Central 
     Intelligence Agency shall submit to the congressional 
     intelligence committees a report on the efforts of the Office 
     of the General Counsel of the Central Intelligence Agency to 
     ensure compliance by the elements of the intelligence 
     community with the requirements of section 507 of the 
     National Security Act of 1947, as added by subsection (a).
       (c) Conforming Amendments to Existing Reporting 
     Requirements.--
       (1) National security act of 1947.--(A) Subsection (d) of 
     section 105 of the National Security Act of 1947 (50 U.S.C. 
     403-5) is amended to read as follows:
       ``(d) Annual Evaluation of Performance and Responsiveness 
     of Certain Elements of Intelligence Community.--(1) Not later 
     each year than the date provided in section 507, the Director 
     shall submit to the congressional intelligence committees the 
     evaluation described in paragraph (3).
       ``(2) The Director shall submit each year to the Committee 
     on Foreign Intelligence of the National Security Council, and 
     to the Committees on Armed Services and Appropriations of the 
     Senate and House of Representatives, the evaluation described 
     in paragraph (3).
       ``(3) An evaluation described in this paragraph is an 
     evaluation of the performance and responsiveness of the 
     National Security Agency, the National Reconnaissance Office, 
     and the National Imagery and Mapping Agency in meeting their 
     respective national missions.
       ``(4) The Director shall submit each evaluation under this 
     subsection in consultation with the Secretary of Defense and 
     the Chairman of the Joint Chiefs of Staff.''.
       (B) Section 109 of that Act (50 U.S.C. 404d) is amended--
       (i) in subsection (a), by striking paragraph (1) and 
     inserting the following new paragraph (1):
       ``(1)(A) Not later each year than the date provided in 
     section 507, the President shall submit to the congressional 
     intelligence committees a report on the requirements of the 
     United States for intelligence and the activities of the 
     intelligence community.
       ``(B) Not later than January 31 each year, and included 
     with the budget of the President for the next fiscal year 
     under section 1105(a) of title 31, United States Code, the 
     President shall submit to the appropriate congressional 
     committees the report described in subparagraph (A).'';
       (ii) in subsection (c), as amended by section 803(a) of the 
     Intelligence Renewal and Reform Act of 1996 (title VIII of 
     Public Law 104-293; 110 Stat. 3475)--
       (I) in paragraph (1), by striking ``The Select Committee on 
     Intelligence of the Senate, the Committee on 
     Appropriations,'' and inserting ``The Committee on 
     Appropriations''; and
       (II) in paragraph (2), by striking ``The Permanent Select 
     Committee on Intelligence of the Senate, the Committee on 
     Appropriations,'' and inserting ``The Committee on 
     Appropriations''; and
       (iii) by striking subsection (c), as added by section 
     304(a) of the Intelligence Authorization Act for Fiscal Year 
     1994 (Public Law 103-178; 107 Stat. 2034).
       (C) Section 112(b) of that Act (50 U.S.C. 404g(b)) is 
     amended by adding at the end the following new paragraph:
       ``(3) In the case of periodic reports required to be 
     submitted under the first sentence of paragraph (1) to the 
     congressional intelligence committees, the submittal dates 
     for such reports shall be as provided in section 507.''.
       (D) Section 113(c) of that Act (50 U.S.C. 404h(c)) is 
     amended by striking ``Not later than'' and all that follows 
     through ``a report'' and inserting ``Not later each year than 
     the date provided in section 507, the Director of Central 
     Intelligence shall submit to the congressional intelligence 
     committees an annual report''.
       (E) Section 114 of that Act (50 U.S.C. 404i) is amended--
       (i) in subsection (a)--
       (I) in paragraph (1), by striking ``the congressional 
     intelligence committees and'';
       (II) by redesignating paragraphs (2) and (3) as paragraphs 
     (3) and (4), respectively; and
       (III) by inserting after paragraph (1) the following new 
     paragraph (2):
       ``(2) Not later each year than the date provided in section 
     507, the Director shall submit to the congressional 
     intelligence committees the report required to be submitted 
     under paragraph (1) during the preceding year.'';
     and
       (ii) in subsection (b)(1), by striking ``, on an annual 
     basis'' and all that follows through ``leadership'' and 
     inserting ``submit to the congressional leadership on an 
     annual basis, and to the congressional intelligence 
     committees on the date each year provided in section 507,''.
       (F) Section 603 of that Act (50 U.S.C. 423) is amended--
       (i) in subsection (a), by adding at the end the following 
     new sentence: ``The date for the submittal of the report 
     shall be the date provided in section 507.''; and
       (ii) in subsection (b), by striking the second sentence.
       (2) Central intelligence agency act of 1949.--(A) Section 
     5(c)(2) of the Central Intelligence Agency Act of 1949 (50 
     U.S.C. 403f(c)(2)) is amended--
       (i) by striking ``The Director'' and all that follows 
     through ``an annual'' and inserting ``Not later each year 
     than the date provided in section 507 of the National 
     Security Act of 1947, the Director shall submit to the 
     congressional intelligence committees (as defined in section 
     3 of that Act (50 U.S.C. 401a)) a''; and
       (ii) by inserting ``during the preceding year'' after 
     ``paragraph (1)''.
       (B) Section 17(d)(1) of that Act (50 U.S.C. 403q(d)(1)) is 
     amended in the second sentence by striking ``Within thirty 
     days of receipt of such reports,'' and inserting ``Not later 
     than the dates each year provided for the transmittal of such 
     reports in section 507 of the National Security Act of 
     1947,''.
       (C) Section 21(g) of that Act (50 U.S.C. 403u(g)) is 
     amended by striking paragraph (3) and inserting the following 
     new paragraphs:
       ``(3) Not later than 30 days after the completion of an 
     audit under paragraph (1), the Inspector General shall submit 
     a copy of the audit to the Director of the Office of 
     Management and Budget and the Director of Central 
     Intelligence.
       ``(4) Not later each year than the date provided in section 
     507 of the National Security Act of 1947, the Inspector 
     General shall submit to the congressional intelligence 
     committees (as defined in section 3 of that Act (50 U.S.C. 
     401a)) a copy of the audit completed under paragraph (1) 
     during the preceding year.''.
       (3) National security agency act of 1959.--Section 11(a)(5) 
     of the National Security Agency Act of 1959 (50 U.S.C. 402 
     note) is amended by striking ``Not later than'' and all that 
     follows through ``the Senate'' and inserting ``Not later each 
     year than the date provided in section 507 of the National 
     Security Act of 1947, the Director shall submit to the 
     congressional intelligence committees (as defined in section 
     3 of that Act (50 U.S.C. 401a)) a report''.
       (4) Classified information procedures act.--Section 13 of 
     the Classified Information Procedures Act (5 U.S.C. App.) is 
     amended--
       (A) by redesignating subsection (b) as subsection (c); and
       (B) by inserting after subsection (a) the following new 
     subsection (b):
       ``(b) In the case of the semiannual reports (whether oral 
     or written) required to be submitted under subsection (a) to 
     the Permanent Select Committee on Intelligence of the House 
     of Representatives and the Select Committee on Intelligence 
     of the Senate, the submittal dates for such reports shall be 
     as provided in section 507 of the National Security Act of 
     1947.''.
       (5) Title 10, united states code.--(A) Section 437 of title 
     10, United States Code, is amended--
       (i) in subsection (c), by striking ``Not later than'' and 
     all that follows through ``of Congress'' and inserting ``Not 
     later each year than the date provided in section 507 of the 
     National Security Act of 1947, the Secretary shall submit to 
     the congressional intelligence committees (as defined in 
     section 3 of that Act (50 U.S.C. 401a))''; and
       (ii) by striking subsection (d).
       (B) Section 1611(e) of that title is amended--
       (i) in paragraph (1), by striking ``paragraph (2)'' and 
     inserting ``paragraph (3)'';
       (ii) by redesignating paragraph (2) as paragraph (3); and
       (iii) by inserting after paragraph (1) the following new 
     paragraph (2):

[[Page S9344]]

       ``(2) In the case of a report required to be submitted 
     under paragraph (1) to the Permanent Select Committee on 
     Intelligence of the Senate and the Select Committee on 
     Intelligence of the House of Representatives, the date for 
     the submittal of such report shall be as provided in section 
     507 of the National Security Act of 1947.''.
       (6) Intelligence authorization acts.--(A) Section 809 of 
     the Counterintelligence and Security Enhancements Act of 1994 
     (title VIII of Public Law 103-359; 108 Stat. 3454; 50 U.S.C. 
     2170b) is amended--
       (i) by striking subsection (b) and inserting the following 
     new subsection (b):
       ``(b) Annual Update.--
       ``(1) Submittal to congressional intelligence committees.--
     Not later each year than the date provided in section 507 of 
     the National Security Act of 1947, the President shall submit 
     to the congressional intelligence committees a report 
     updating the information referred to in subsection (a)(1)(D).
       ``(2) Submittal to congressional leadership.--Not later 
     than April 14 each year, the President shall submit to the 
     congressional leadership a report updating the information 
     referred to in subsection (a)(1)(D).
       ``(3) Definitions.--In this subsection:
       ``(A) Congressional intelligence committees.--The term 
     `congressional intelligence committees' has the meaning given 
     that term in section 3 of the National Security Act of 1947 
     (50 U.S.C. 401a).
       ``(B) Congressional leadership.--The term `congressional 
     leadership' means the Speaker and the minority leader of the 
     House of Representatives and the majority leader and the 
     minority leader of the Senate.''; and
       (ii) by redesignating subsection (e) as subsection (d).
       (B) Paragraph (6) of section 811(c) of that Act (50 U.S.C. 
     402a(c)) is amended to read as follows:
       ``(6)(A) Not later each year than the date provided in 
     section 507 of the National Security Act of 1947, the 
     Director of the Federal Bureau of Investigation shall submit 
     to the congressional intelligence committees (as defined in 
     section 3 of that Act (50 U.S.C. 401a)) a report with respect 
     to compliance with paragraphs (1) and (2) during the previous 
     calendar year.
       ``(B) Not later than February 1 each year, the Director 
     shall, in accordance with applicable security procedures, 
     submit to the Committees on the Judiciary of the Senate and 
     House of Representatives a report with respect to compliance 
     with paragraphs (1) and (2) during the previous calendar 
     year.
       ``(C) The Director of the Federal Bureau of Investigation 
     shall submit each report under this paragraph in consultation 
     with the Director of Central Intelligence and the Secretary 
     of Defense.''.
       (C) Section 721 of the Combatting Proliferation of Weapons 
     of Mass Destruction Act of 1996 (title VII of Public Law 104-
     293; 110 Stat. 3474; 50 U.S.C. 236) is amended--
       (i) in subsection (a), by striking ``Not later than'' and 
     all that follows through ``the Director'' and inserting ``The 
     Director'';
       (ii) by redesignating subsection (b) as subsection (c);
       (iii) by inserting after subsection (a) the following new 
     subsection (b):
       ``(b) Submittal Dates.--(1) The report required by 
     subsection (a) shall be submitted each year to the 
     congressional intelligence committees on a semiannual basis 
     on the dates provided in section 507 of the National Security 
     Act of 1947.
       ``(2) The report required by subsection (a) shall be 
     submitted each year to the congressional leadership on April 
     11 and October 11 of such year.
       ``(3) In this subsection:
       ``(A) The term `congressional intelligence committees' has 
     the meaning given that term in section 3 of the National 
     Security Act of 1947 (50 U.S.C. 401a).
       ``(B) The term `congressional leadership' means the Speaker 
     and the minority leader of the House of Representatives and 
     the majority leader and the minority leader of the Senate.''; 
     and
       (iv) in subsection (c), as so redesignated, by striking 
     ``The reports'' and inserting ``Each report''.
       (D) Section 308 of the Intelligence Authorization Act for 
     Fiscal Year 1998 (Public Law 105-107; 111 Stat. 2253; 50 
     U.S.C. 402a note) is amended--
       (i) in subsection (a)--
       (I) by striking ``Not later than'' and all that follows 
     through ``the Director of Central Intelligence'' and 
     inserting ``The Director of Central Intelligence''; and
       (II) by inserting ``on an annual basis'' after ``to 
     Congress''; and
       (ii) by adding at the end the end the following new 
     subsection (c):
       ``(c) Submittal Date of Report to Leadership of 
     Congressional Intelligence Committees.--The date each year 
     for the submittal to the Chairman and Ranking Member of the 
     Permanent Select Committee on Intelligence of the House of 
     Representatives and the Chairman and Ranking Member of the 
     Select Committee on Intelligence of the Senate of the report 
     required by subsection (a) shall be the date provided in 
     section 507 of the National Security Act of 1947.''.
       (E) Section 322(a)(6)(D) of the Intelligence Authorization 
     Act for Fiscal Year 2001 (Public Law 105-567; 114 Stat. 2844; 
     22 U.S.C. 7302(a)(6)(D)) is amended--
       (i) in clause (i), by striking ``Beginning on'' and 
     inserting ``Except as provided in clause (ii), beginning 
     on'';
       (ii) by redesignating clause (ii) as clause (iii);
       (iii) by inserting after clause (i) the following new 
     clause (ii):
       ``(ii) Submittal date of reports to congressional 
     intelligence committees.--In the case of reports required to 
     be submitted under clause (i) to the congressional 
     intelligence committees (as defined in section 3 of the 
     National Security Act of 1947 (50 U.S.C. 401a)), the 
     submittal dates for such reports shall be as provided in 
     section 507 of that Act.''; and
       (iv) in clause (iii), as so redesignated, by striking 
     ``report'' and inserting ``reports''.
       (F) Section 606(b)(2) of the Counterintelligence Reform Act 
     of 2000 (title VI of Public Law 106-567; 114 Stat. 2854) is 
     amended--
       (i) in subparagraph (A), by striking ``subparagraph (B)'' 
     and inserting ``subparagraph (C)'';
       (ii) by redesignating subparagraph (B) as subparagraph (C); 
     and
       (iii) by inserting after subparagraph (A) the following new 
     subparagraph (B):
       ``(B) In the case of a report required to be submitted 
     under subparagraph (A) to the congressional intelligence 
     committees (as defined in section 3 of the National Security 
     Act of 1947 (50 U.S.C. 401a)), the submittal date for such 
     report shall be as provided in section 507 of that Act.''.
       (7) Public law 103-337.--Section 1012(c) of the National 
     Defense Authorization Act for Fiscal Year 1995 (22 U.S.C. 
     2291-4(c)) is amended--
       (A) in paragraph (1), by striking ``Not later than'' and 
     inserting ``Except as provided in paragraph (2), not later 
     than'';
       (B) by redesignating paragraph (2) as paragraph (3); and
       (C) by inserting after paragraph (1) the following new 
     paragraph (2):
       ``(2) In the case of a report required to be submitted 
     under paragraph (1) to the congressional intelligence 
     committees (as defined in section 3 of the National Security 
     Act of 1947 (50 U.S.C. 401a)), the submittal date for such 
     report shall be as provided in section 507 of that Act.''.
       (8) David l. boren national security education act of 
     1991.--The David L. Boren National Security Education Act of 
     1991 (title VIII of Public Law 102-183; 50 U.S.C. 1901 et 
     seq.) is amended--
       (A) in section 806(a) (50 U.S.C. 1906(a))--
       (i) by inserting ``(1)'' before ``The Secretary'';
       (ii) in paragraph (1), as so designated, by striking ``the 
     Congress'' and inserting ``the congressional intelligence 
     committees'';
       (iii) by designating the second sentence as paragraph (2) 
     and indenting the left margin of such paragraph, as so 
     designated, two ems;
       (iv) in paragraph (2), as so designated, by inserting 
     ``submitted to the President'' after ``The report''; and
       (v) by adding at the end the following new paragraph (3):
       ``(3) The report submitted to the congressional 
     intelligence committees shall be submitted on the date 
     provided in section 507 of the National Security Act of 
     1947.''; and
       (B) in section 808 (50 U.S.C. 1908), by adding at the end 
     the following new paragraph (5):
       ``(5) The term `congressional intelligence committees' 
     means--
       ``(A) the Select Committee on Intelligence of the Senate; 
     and
       ``(B) the Permanent Select Committee on Intelligence of the 
     House of Representatives.''.
       (9) Fair credit reporting act.--(A) Section 604(b)(4) of 
     the Fair Credit Reporting Act (15 U.S.C. 1681b(b)(4)) is 
     amended--
       (i) in subparagraph (D), by striking ``Not later than'' and 
     inserting ``Except as provided in subparagraph (E), not later 
     than'';
       (ii) by redesignating subparagraph (E) as subparagraph (F); 
     and
       (iii) by inserting after subparagraph (D) the following new 
     subparagraph (E):
       ``(E) Reports to congressional intelligence committees.--In 
     the case of a report to be submitted under subparagraph (D) 
     to the congressional intelligence committees (as defined in 
     section 3 of the National Security Act of 1947 (50 U.S.C. 
     401a)), the submittal date for such report shall be as 
     provided in section 507 of that Act.''.
       (B) Section 624(h) of that Act (15 U.S.C. 1681u(h)) is 
     amended--
       (i) by inserting ``(1)'' before ``On a semiannual basis,''; 
     and
       (ii) by adding at the end the following new paragraph:
       ``(2) In the case of the semiannual reports required to be 
     submitted under paragraph (1) to the Permanent Select 
     Committee on Intelligence of the House of Representatives and 
     the Select Committee on Intelligence of the Senate, the 
     submittal dates for such reports shall be as provided in 
     section 507 of the National Security Act of 1947.''.
       (10) Right to financial privacy act of 1978.--Section 
     1114(a)(5)(C) of the Right to Financial Privacy Act of 1978 
     (12 U.S.C. 3414(a)(5)(C)) is amended by striking ``On a 
     semiannual'' and all that follows through ``the Senate'' and 
     inserting ``On the dates provided in section 507 of the 
     National Security Act of 1947, the Attorney General shall 
     fully inform the congressional intelligence committees (as 
     defined in section 3 of that Act (50 U.S.C. 401a))''.

[[Page S9345]]

                  Subtitle B--Recurring Annual Reports

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

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

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

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

     SEC. 413. ANNUAL REPORT ON COVERT LEASES.

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

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

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


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

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

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

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

       (a) Annual Report.--Chapter 33 of title 28, United States 
     Code, is amended by adding at the end the following new 
     section:

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

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

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

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

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

[[Page S9346]]

     independence and effectiveness of the office of such 
     Inspector General.
       ``(2) The submittal date for a report under paragraph (1) 
     each year shall be the date provided in section 507 of the 
     National Security Act of 1947.
       ``(3) In this subsection, the term `congressional 
     intelligence committees' shall have the meaning given that 
     term in section 3 of the National Security Act of 1947 (50 
     U.S.C. 401a).''.

     SEC. 417. ANNUAL REPORT ON COUNTERDRUG INTELLIGENCE MATTERS.

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

                       Subtitle C--Other Reports

     SEC. 431. REPORT ON EFFECT OF COUNTRY-RELEASE RESTRICTIONS ON 
                   ALLIED INTELLIGENCE-SHARING RELATIONSHIPS.

       (a) Report.--Not later than 90 days after the date of the 
     enactment of this Act, the Director of Central Intelligence 
     shall, in consultation with the Secretary of Defense, submit 
     to the congressional intelligence committees a report 
     containing an assessment of the effect of the use of 
     ``NOFORN'' classifications, and of other country-release 
     policies, procedures, and classification restrictions, on 
     intelligence-sharing relationships and coordinated 
     intelligence operations and military operations between the 
     United States and its allies. The report shall include an 
     assessment of the effect of the use of such classifications, 
     and of such policies, procedures, and restrictions, on 
     counterterrorism operations in Afghanistan and elsewhere.
       (b) Congressional Intelligence Committees Defined.--In this 
     section, the term ``congressional intelligence committee'' 
     means--
       (1) the Select Committee on Intelligence of the Senate; and
       (2) the Permanent Select Committee on Intelligence of the 
     House of Representatives.

     SEC. 432. EVALUATION OF POLICIES AND PROCEDURES OF DEPARTMENT 
                   OF STATE ON PROTECTION OF CLASSIFIED 
                   INFORMATION AT DEPARTMENT HEADQUARTERS.

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

     SEC. 433. STUDY OF DEPARTMENT OF STATE CONSULAR SERVICES.

       (a) Sense of Congress.--Congress compliments the officers 
     of the Consular Service on the important role they perform 
     daily, many times under difficult conditions, at United 
     States embassies throughout the world. However, Congress is 
     concerned that Consular Service officers, who provide the 
     first line of defense against the admission of undesirable 
     persons into the United States, are entry-level personnel and 
     rotate out of Consular Service assignments as soon as 
     possible.
       (b) Study.--The Secretary of State shall conduct a study 
     of--
       (1) the Consular Services program of the Department of 
     State and the organizational structure of the Consular 
     Service within the Department, including promotion and 
     training policies, rotation frequency, level of experience 
     and seniority, level of oversight provided by senior Consular 
     Service personnel, and consistency of consular services 
     provided among the various United States embassies and 
     consulates; and
       (2) the feasibility of establishing a separate employment 
     track within the Department of State for employees who would 
     serve in the Consular Service on a permanent basis and not 
     rotate out of Consular Service assignments.
       (c) Report.--Not later than 6 months after the date of the 
     enactment of this Act, the Secretary shall submit to the 
     appropriate committees of Congress a report containing the 
     findings of the study conducted under subsection (b).
       (d) Appropriate Committees of Congress Defined.--In this 
     section, the term ``appropriate committees of Congress'' 
     means--
       (1) the Committee on Foreign Relations and the Select 
     Committee on Intelligence of the Senate; and
       (2) the Committee on International Relations and the 
     Permanent Select Committee on Intelligence of the House of 
     Representatives.

           Subtitle D--Repeal of Certain Report Requirements

     SEC. 441. REPEAL OF CERTAIN REPORT REQUIREMENTS.

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

                TITLE  V--COUNTERINTELLIGENCE ACTIVITIES

     SEC. 501. SHORT TITLE; PURPOSE.

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

     SEC. 502. NATIONAL COUNTERINTELLIGENCE EXECUTIVE.

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

     SEC. 503. NATIONAL COUNTERINTELLIGENCE POLICY BOARD.

       (a) Chairperson.--Section 811 of the Counterintelligence 
     and Security Enhancements Act of 1994 (title VII of Public 
     Law 103-359; 50 U.S.C. 402a) is amended--
       (1) by striking subsection (b);
       (2) by redesignating subsection (c) as subsection (e); and
       (3) by inserting after subsection (a) the following new 
     subsection (b):
       ``(b) Chairperson.--The National Counterintelligence 
     Executive under section 502 of the Counterintelligence 
     Enhancement Act of 2002 shall serve as the chairperson of the 
     Board.''.
       (b) Membership.--That section is further amended by 
     inserting after subsection (b), as amended by subsection 
     (a)(3) of this section, the following new subsection (c):
       ``(c) Membership.--The membership of the National 
     Counterintelligence Policy Board shall consist of the 
     following:
       ``(1) The National Counterintelligence Executive.
       ``(2) Senior personnel of departments and elements of the 
     United States Government,

[[Page S9347]]

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

     SEC. 504. OFFICE OF THE NATIONAL COUNTERINTELLIGENCE 
                   EXECUTIVE.

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

[[Page S9348]]

     reimbursable basis amounts appropriate to reimburse such 
     department or agency for the detail of such personnel or the 
     provision of such support, as the case may be.
       (j) Contracts.--(1) Subject to paragraph (2), the National 
     Counterintelligence Executive may enter into any contract, 
     lease, cooperative agreement, or other transaction that the 
     Executive considers appropriate to carry out the functions of 
     the Office of the National Counterintelligence Executive 
     under this section.
       (2) The authority under paragraph (1) to enter into 
     contracts, leases, cooperative agreements, and other 
     transactions shall be subject to any terms, conditions, and 
     limitations applicable to the Central Intelligence Agency 
     under law with respect to similar contracts, leases, 
     cooperative agreements, and other transactions.
       (k) Treatment of Activities Under Certain Administrative 
     Laws.--(1) The provisions of the Federal Advisory Committee 
     Act (5 U.S.C. App.) shall not apply to the activities of the 
     Office of the National Counterintelligence Executive.
       (2) The files of the Office shall be treated as operational 
     files of the Central Intelligence Agency for purposes of 
     section 701 of the National Security Act of 1947 (50 U.S.C. 
     431) to the extent such files meet criteria under subsection 
     (b) of that section for treatment of files as operational 
     files of an element of the Agency.
       (l) Oversight by Congress.--The location of the Office of 
     the National Counterintelligence Executive within the 
     Executive Office of the President shall not be construed as 
     affecting access by Congress, or any committee of Congress, 
     to--
       (1) any information, document, record, or paper in the 
     possession of the Office; or
       (2) any personnel of the Office.
       (m) Designation of Office as Element of Intelligence 
     Community.--Section 3(4) of the National Security Act of 1947 
     (50 U.S.C. 401a(4)) is amended--
       (1) in subparagraph (I), by striking ``and'' at the end;
       (2) by redesignating subparagraph (J) as subparagraph (K); 
     and
       (3) by inserting after subparagraph (I) the following new 
     subparagraph (J):
       ``(J) the Office of the National Counterintelligence 
     Executive; and''.

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

     SEC. 601. FINDINGS.

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

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

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

     SEC. 603. POWERS OF COMMISSION.

       (a) In General.--(1) The Commission or, on the 
     authorization of the Commission, any subcommittee or member 
     thereof, may, for the purpose of carrying out the provisions 
     of this title--
       (A) hold such hearings and sit and act at such times and 
     places, take such testimony,

[[Page S9349]]

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

     SEC. 604. STAFF OF COMMISSION.

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

     SEC. 605. COMPENSATION AND TRAVEL EXPENSES.

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

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

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

     SEC. 607. FINAL REPORT; TERMINATION.

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

     SEC. 608. ASSESSMENTS OF FINAL REPORT.

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

     SEC. 609. INAPPLICABILITY OF CERTAIN ADMINISTRATIVE 
                   PROVISIONS.

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

     SEC. 610. FUNDING.

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

      SEC. 611. DEFINITIONS.

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




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