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Committee on Homeland Security, U.S. House of Representatives

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Title: Homeland Security Act of 2002
       Updated Through October 14, 2008

Author: Committee on Homeland Security, U.S. House of Representatives

Editor: Michael Twinchek

Release Date: December 8, 2009 [EBook #30632]

Language: English

Character set encoding: ASCII

*** START OF THIS PROJECT GUTENBERG EBOOK HOMELAND SECURITY ACT OF 2002 ***




Produced by Michael Twinchek









<DOC>
[110 House Committee Prints]
[From the U.S. Government Printing Office via GPO Access]
[DOCID: f:45834.wais]


   110th Congress                                     Committee
     2nd Session            COMMITTEE PRINT         Print 110-C
_______________________________________________________________________


                              COMPILATION

                                 of the

                           HOMELAND SECURITY
                                 ACT OF
                                  2002

                 (updated with amendments made through
                    p.l. 110-417 (october 14, 2008))

                               __________

                      prepared for the use of the

                     COMMITTEE ON HOMELAND SECURITY

                                 of the

                        HOUSE OF REPRESENTATIVES

                             SECOND SESSION

                               __________



                 [GRAPHIC NOT AVAILABLE IN TIFF FORMAT]
                               __________

                   U.S. GOVERNMENT PRINTING OFFICE
45-834                       WASHINGTON : 2008







                     COMMITTEE ON HOMELAND SECURITY

               BENNIE G. THOMPSON, Mississippi, Chairman

LORETTA SANCHEZ, California,         PETER T. KING, New York
EDWARD J. MARKEY, Massachusetts      LAMAR SMITH, Texas
NORMAN D. DICKS, Washington          CHRISTOPHER SHAYS, Connecticut
JANE HARMAN, California              MARK E. SOUDER, Indiana
PETER A. DeFAZIO, Oregon             TOM DAVIS, Virginia
NITA M. LOWEY, New York              DANIEL E. LUNGREN, California
ELEANOR HOLMES NORTON, District of   MIKE ROGERS, Alabama
Columbia                             DAVID G. REICHERT, Washington
ZOE LOFGREN, California              MICHAEL T. McCAUL, Texas
SHEILA JACKSON-LEE, Texas            CHARLES W. DENT, Pennsylvania
DONNA M. CHRISTENSEN, U.S. Virgin    GINNY BROWN-WAITE, Florida
Islands                              GUS M. BILIRAKIS, Florida
BOB ETHERIDGE, North Carolina        DAVID DAVIS, Tennessee
JAMES R. LANGEVIN, Rhode Island      PAUL C. BROUN, Georgia
HENRY CUELLAR, Texas                 CANDICE S. MILLER, Michigan
CHRISTOPHER P. CARNEY, Pennsylvania
YVETTE D. CLARKE, New York
AL GREEN, Texas
ED PERLMUTTER, Colorado
BILL PASCRELL, Jr., Colorado

                    I. Lanier Avant, Staff Director
                     Rosaline Cohen, Chief Counsel
                     Michael Twinchek, Chief Clerk
                Robert O'Connor, Minority Staff Director

                                  (II)










                             P R E F A C E

This book is designed as a ready reference of the Homeland
  Security Act of 2002 (Public Law 107-296), as amended through
  Public Law 110-417. The information contained herein is current
  as of December 2008.
This document was prepared by the Office of the Legislative
  Counsel. The Committee is appreciative of their hard work and
  dedication. The Committee would like to acknowledge the work of
  the Staff of the Office of the Legislative Counsel including:
  Craig Sterkx, Pam Griffiths, and Tom Meryweather.











                            C O N T E N T S

      Homeland Security Act of 2002 - Amended through P.L. 110-417

    Title I-Department of Homeland Security......................    10
    Title II-Information Analysis and Infrastructure Protection..    14
        Subtitle A-Information Analysis and Infrastructure
          Protection; Access to Information......................    14
        Subtitle B-Critical Infrastructure Information...........    40
    Title III-Science and Technology In Support of Homeland
      Security...................................................    53
    Title IV-Directorate of Border and Transportation Security...    74
        Subtitle A-Under Secretary for Border and Transportation
          Security...............................................    74
        Subtitle B-United States Customs Service.................    75
        Subtitle C-Miscellaneous Provisions......................    78
        Subtitle D-Immigration Enforcement Functions.............    87
        Subtitle E-Citizenship and Immigration Services..........    90
        Subtitle F-General Immigration Provisions................   101
    Title V-National Emergency Management........................   108
    Title VI-Treatment of Charitable Trusts for members of the
      Armed Forces of the United States and Other Governmental
      Organizations..............................................   134
    Title VII-Management.........................................   137
    Title VIII-Coordination with Non-Federal Entities; Inspector
      General; United States Secret Servicel Coast Guard; General
      Provisions.................................................   145
        Subtitle A-Coordination with Non-Federal Entitites.......   145
        Subtitle B-Inspector General.............................   149
        Subtitle C-United States Secret Service..................   146
        Subtitle D-Acquisitions..................................   147
        Subtitle E-Human Resources Management....................   152
        Subtitle F-Federal Emergency Procurement Flexibility.....   158
        Subtitle G-Support Anti-terrorism by Fostering Effective
          Technologies Act of 2002...............................   161
        Subtitle H-Miscellaneous Provisions......................   165
        Subtitle I-Information Sharing...........................   176
        Subtitle J-Secure Handling of Ammonium Nitrate...........   181
    Title IX-National Homeland Security Council..................   188
    Title X-Information Security.................................   189
    Title XI-Department of Justice Divisions.....................   189
        Subtitle A-Executive Office for Immigration Review.......  1189
        Subtitle B-Transfer of the Bureau of Alcohol, Tobacco and
          Firearms to the Department of Justice..................   190
        Subtitle C-Explosives....................................   192
    Title XII-Airline War Risk Insurance Legislation.............   192
    Title XIII-Federal Workforce Improvement.....................   193
        Subtitle A-Chief Human Cap[ital Officers.................   193
        Subtitle B-Reforms Relating to Federal Human Capital
          Management.............................................   194
        Subtitle C-Reforms Relating to the Senior Executive
          Service................................................   195
        Subtitle D-Academic Training.............................   195
    Title XIV-Arming Pilots Against Terrorism....................   196
    Title XV-Transition..........................................   197
        Subtitle A-Reorganization Plan...........................   197
        Subtitle B-Transitional Provisions.......................   198
    Title XVII-Conformaing and Technical Amendments..............   201
    Title XVIII-Emergency Communications.........................   203
    Title XIX-Domestic Nuclear Detection Office..................   216
    Title XX-Homeland Security Grants............................   220
        Subtitle A-Grants to States and High-Risk Urban Areas....   223
        Subtitle B-Grants Administration.........................   235
                     HOMELAND SECURITY ACT OF 2002

      [As Amended Through P.L. 110-417, Enacted October 14, 2008]

AN ACT To establish the Department of Homeland Security, and for other
                               purposes.

    Be it enacted by the Senate and House of Representatives of
the United States of America in Congress assembled,

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

    (a) [6 U.S.C. 101] Short Title.--This Act may be cited as
the ``Homeland Security Act of 2002''.
    (b) 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.

                TITLE I--DEPARTMENT OF HOMELAND SECURITY

Sec. 101. Executive department; mission.
Sec. 102. Secretary; functions.
Sec. 103. Other officers.

      TITLE II--INFORMATION ANALYSIS AND INFRASTRUCTURE PROTECTION

  Subtitle A--Information and Analysis and Infrastructure Protection;
                          Access to Information

Sec. 201. Information and Analysis and Infrastructure Protection.
Sec. 202. Access to information.
Sec. 203. Homeland Security Advisory System.
Sec. 204. Homeland security information sharing.
Sec. 205. Comprehensive information technology network architecture.
Sec. 206. Coordination with information sharing environment.
Sec. 207. Intelligence components.
Sec. 208. Training for employees of intelligence components.
Sec. 209. Intelligence training development for State and local
          government officials.
Sec. 210. Information sharing incentives.
Sec. 210A. Department of Homeland Security State, Local, and Regional
          Information Fusion Center Initiative.
Sec. 210B. Homeland Security Information Sharing Fellows Program.
Sec. 210C. Rural Policing Institute.
Sec. 210D. Interagency Threat Assessment and Coordination Group.
Sec. 210E. National Asset Database.

             Subtitle B--Critical Infrastructure Information

Sec. 211. Short title.
Sec. 212. Definitions.
Sec. 213. Designation of critical infrastructure protection program.
Sec. 214. Protection of voluntarily shared critical infrastructure
          information.
Sec. 215. No private right of action.

                    Subtitle C--Information Security

Sec. 221. Procedures for sharing information.
Sec. 222. Privacy Officer.
Sec. 223. Enhancement of non-Federal cybersecurity.
Sec. 224. Net guard.
Sec. 225. Cyber Security Enhancement Act of 2002.

              Subtitle D--Office of Science and Technology

Sec. 231. Establishment of office; Director.
Sec. 232. Mission of office; duties.
Sec. 233. Definition of law enforcement technology.
Sec. 234. Abolishment of Office of Science and Technology of National
          Institute of Justice; transfer of functions.
Sec. 235. National Law Enforcement and Corrections Technology Centers.
Sec. 236. Coordination with other entities within Department of Justice.
Sec. 237. Amendments relating to National Institute of Justice.

    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. Federally funded research and development centers.
Sec. 306. Miscellaneous provisions.
Sec. 307. Homeland Security Advanced Research Projects Agency.
Sec. 308. Conduct of research, development, demonstration, testing and
          evaluation.
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. Homeland Security Science and Technology Advisory Committee.
Sec. 312. Homeland Security Institute.
Sec. 313. Technology clearinghouse to encourage and support innovative
          solutions to enhance homeland security.
Sec. 314. Office for Interoperability and Compatibility.
Sec. 315. Emergency communications interoperability research and
          development.
Sec. 316. National Biosurveillance Integration Center.
Sec. 317. Promoting antiterrorism through international cooperation
          program.

       TITLE IV--DIRECTORATE OF BORDER AND TRANSPORTATION SECURITY

   Subtitle A--Under Secretary for Border and Transportation Security

Sec. 401. Under Secretary for Border and Transportation Security.
Sec. 402. Responsibilities.
Sec. 403. Functions transferred.

                Subtitle B--United States Customs Service

Sec. 411. Establishment; Commissioner of Customs.
Sec. 412. Retention of customs revenue functions by Secretary of the
          Treasury.
Sec. 413. Preservation of customs funds.
Sec. 414. Separate budget request for customs.
Sec. 415. Definition.
Sec. 416. GAO report to Congress.
Sec. 417. Allocation of resources by the Secretary.
Sec. 418. Reports to Congress.
Sec. 419. Customs user fees.

                  Subtitle C--Miscellaneous Provisions

Sec. 421. Transfer of certain agricultural inspection functions of the
          Department of Agriculture.
Sec. 422. Functions of Administrator of General Services.
Sec. 423. Functions of Transportation Security Administration.
Sec. 424. Preservation of Transportation Security Administration as a
          distinct entity.
Sec. 425. Explosive detection systems.
Sec. 426. Transportation security.
Sec. 427. Coordination of information and information technology.
Sec. 428. Visa issuance.
Sec. 429. Information on visa denials required to be entered into
          electronic data system.
Sec. 430. Office for Domestic Preparedness.
Sec. 431. Office of Cargo Security Policy.

              Subtitle D--Immigration Enforcement Functions

Sec. 441. Transfer of functions to Under Secretary for Border and
          Transportation Security.
Sec. 442. Establishment of Bureau of Border Security.
Sec. 443. Professional responsibility and quality review.
Sec. 444. Employee discipline.
Sec. 445. Report on improving enforcement functions.
Sec. 446. Sense of Congress regarding construction of fencing near San
          Diego, California.

            Subtitle E--Citizenship and Immigration Services

Sec. 451. Establishment of Bureau of Citizenship and Immigration
          Services.
Sec. 452. Citizenship and Immigration Services Ombudsman.
Sec. 453. Professional responsibility and quality review.
Sec. 454. Employee discipline.
Sec. 455. Effective date.
Sec. 456. Transition.
Sec. 457. Funding for citizenship and immigration services.
Sec. 458. Backlog elimination.
Sec. 459. Report on improving immigration services.
Sec. 460. Report on responding to fluctuating needs.
Sec. 461. Application of Internet-based technologies.
Sec. 462. Children's affairs.

               Subtitle F--General Immigration Provisions

Sec. 471. Abolishment of INS.
Sec. 472. Voluntary separation incentive payments.
Sec. 473. Authority to conduct a demonstration project relating to
          disciplinary action.
Sec. 474. Sense of Congress.
Sec. 475. Director of Shared Services.
Sec. 476. Separation of funding.
Sec. 477. Reports and implementation plans.
Sec. 478. Immigration functions.

                 TITLE V--NATIONAL EMERGENCY MANAGEMENT

Sec. 501. Definitions.
Sec. 502. Definition.
Sec. 503. Federal Emergency Management Agency.
Sec. 504. Authorities and responsibilities.
Sec. 505. Functions transferred.
Sec. 506. Preserving the Federal Emergency Management Agency.
Sec. 507. Regional Offices.
Sec. 508. National Advisory Council.
Sec. 509. National Integration Center.
Sec. 510. Credentialing and typing.
Sec. 511. The National Infrastructure Simulation and Analysis Center.
Sec. 512. Evacuation plans and exercises.
Sec. 513. Disability Coordinator.
Sec. 514. Department and Agency officials.
Sec. 515. National Operations Center.
Sec. 516. Chief Medical Officer.
Sec. 517. Nuclear incident response.
Sec. 518. Conduct of certain public health-related activities.
Sec. 519. Use of national private sector networks in emergency response.
Sec. 520. Use of commercially available technology, goods, and services.
Sec. 521. Procurement of security countermeasures for strategic national
          stockpile.
Sec. 522. Model standards and guidelines for critical infrastructure
          workers.
Sec. 523. Guidance and recommendations. \1\
Sec. 524. Voluntary private sector preparedness accreditation and
          certification program. \1\

---------------------------------------------------------------------------
    \1\ The placement of items relating to sections 523 and 524 in the
table of contents in section 1(b) were added at the end of the items in
title V in order to reflect the probable intent of Congress. See
amendment made by section 901(e) of Public Law 110-53.
---------------------------------------------------------------------------

TITLE VI--TREATMENT OF CHARITABLE TRUSTS FOR MEMBERS OF THE ARMED FORCES
        OF THE UNITED STATES AND OTHER GOVERNMENTAL ORGANIZATIONS

Sec. 601. Treatment of charitable trusts for members of the Armed Forces
          of the United States and other governmental organizations.

                          TITLE VII--MANAGEMENT

Sec. 701. Under Secretary for Management.
Sec. 702. Chief Financial Officer.
Sec. 703. Chief Information Officer.
Sec. 704. Chief Human Capital Officer.
Sec. 705. Establishment of Officer for Civil Rights and Civil Liberties.
Sec. 706. Consolidation and co-location of offices.
Sec. 707. Quadrennial Homeland Security Review.

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

           Subtitle A--Coordination with Non-Federal Entities

Sec. 801. Office for State and Local Government Coordination.

                      Subtitle B--Inspector General

Sec. 811. Authority of the Secretary.
Sec. 812. Law enforcement powers of Inspector General agents.

                Subtitle C--United States Secret Service

Sec. 821. Functions transferred.

                        Subtitle D--Acquisitions

Sec. 831. Research and development projects.
Sec. 832. Personal services.
Sec. 833. Special streamlined acquisition authority.
Sec. 834. Unsolicited proposals.
Sec. 835. Prohibition on contracts with corporate expatriates.

                 Subtitle E--Human Resources Management

Sec. 841. Establishment of Human Resources Management System.
Sec. 842. Labor-management relations.
Sec. 843. Use of counternarcotics enforcement activities in certain
          employee performance appraisals.
Sec. 844. Homeland Security Rotation Program.
Sec. 845. Homeland Security Education Program.

          Subtitle F--Federal Emergency Procurement Flexibility

Sec. 851. Definition.
Sec. 852. Procurements for defense against or recovery from terrorism or
          nuclear, biological, chemical, or radiological attack.
Sec. 853. Increased simplified acquisition threshold for procurements in
          support of humanitarian or peacekeeping operations or
          contingency operations.
Sec. 854. Increased micro-purchase threshold for certain procurements.
Sec. 855. Application of certain commercial items authorities to certain
          procurements.
Sec. 856. Use of streamlined procedures.
Sec. 857. Review and report by Comptroller General.
Sec. 858. Identification of new entrants into the Federal marketplace.

 Subtitle G--Support Anti-terrorism by Fostering Effective Technologies
                               Act of 2002

Sec. 861. Short title.
Sec. 862. Administration.
Sec. 863. Litigation management.
Sec. 864. Risk management.
Sec. 865. Definitions.

                  Subtitle H--Miscellaneous Provisions

Sec. 871. Advisory committees.
Sec. 872. Reorganization.
Sec. 873. Use of appropriated funds.
Sec. 874. Future Year Homeland Security Program.
Sec. 875. Miscellaneous authorities.
Sec. 876. Military activities.
Sec. 877. Regulatory authority and preemption.
Sec. 878. Counternarcotics officer.
Sec. 879. Office of International Affairs.
Sec. 880. Prohibition of the Terrorism Information and Prevention
          System.
Sec. 881. Review of pay and benefit plans.
Sec. 882. Office for National Capital Region Coordination.
Sec. 883. Requirement to comply with laws protecting equal employment
          opportunity and providing whistleblower protections.
Sec. 884. Federal Law Enforcement Training Center.
Sec. 885. Joint Interagency Task Force.
Sec. 886. Sense of Congress reaffirming the continued importance and
          applicability of the Posse Comitatus Act.
Sec. 887. Coordination with the Department of Health and Human Services
          under the Public Health Service Act.
Sec. 888. Preserving Coast Guard mission performance.
Sec. 889. Homeland security funding analysis in President's budget.
Sec. 890. Air Transportation Safety and System Stabilization Act.

                     Subtitle I--Information Sharing

Sec. 891. Short title; findings; and sense of Congress.
Sec. 892. Facilitating homeland security information sharing procedures.
Sec. 893. Report.
Sec. 894. Authorization of appropriations.
Sec. 895. Authority to share grand jury information.
Sec. 896. Authority to share electronic, wire, and oral interception
          information.
Sec. 897. Foreign intelligence information.
Sec. 898. Information acquired from an electronic surveillance.
Sec. 899. Information acquired from a physical search.

             Subtitle J--Secure Handling of Ammonium Nitrate

Sec. 899A. Definitions.
Sec. 899B. Regulation of the sale and transfer of ammonium nitrate.
Sec. 899C. Inspection and auditing of records.
Sec. 899D. Administrative provisions.
Sec. 899E. Theft reporting requirement.
Sec. 899F. Prohibitions and penalty.
Sec. 899G. Protection from civil liability.
Sec. 899H. Preemption of other laws.
Sec. 899I. Deadlines for regulations.
Sec. 899J. Authorization of appropriations.

              TITLE IX--NATIONAL HOMELAND SECURITY COUNCIL

Sec. 901. National Homeland Security Council.
Sec. 902. Function.
Sec. 903. Membership.
Sec. 904. Other functions and activities.
Sec. 905. Staff composition.
Sec. 906. Relation to the National Security Council.

                      TITLE X--INFORMATION SECURITY

Sec. 1001. Information security.
Sec. 1002. Management of information technology.
Sec. 1003. National Institute of Standards and Technology.
Sec. 1004. Information Security and Privacy Advisory Board.
Sec. 1005. Technical and conforming amendments.
Sec. 1006. Construction.

                TITLE XI--DEPARTMENT OF JUSTICE DIVISIONS

           Subtitle A--Executive Office for Immigration Review

Sec. 1101. Legal status of EOIR.
Sec. 1102. Authorities of the Attorney General.
Sec. 1103. Statutory construction.

 Subtitle B--Transfer of the Bureau of Alcohol, Tobacco and Firearms to
                        the Department of Justice

Sec. 1111. Bureau of Alcohol, Tobacco, Firearms, and Explosives.
Sec. 1112. Technical and conforming amendments.
Sec. 1113. Powers of agents of the Bureau of Alcohol, Tobacco, Firearms,
          and Explosives.
Sec. 1114. Explosives training and research facility.
Sec. 1115. Personnel management demonstration project.

                         Subtitle C--Explosives

Sec. 1121. Short title.
Sec. 1122. Permits for purchasers of explosives.
Sec. 1123. Persons prohibited from receiving or possessing explosive
          materials.
Sec. 1124. Requirement to provide samples of explosive materials and
          ammonium nitrate.
Sec. 1125. Destruction of property of institutions receiving Federal
          financial assistance.
Sec. 1126. Relief from disabilities.
Sec. 1127. Theft reporting requirement.
Sec. 1128. Authorization of appropriations.

            TITLE XII--AIRLINE WAR RISK INSURANCE LEGISLATION

Sec. 1201. Air carrier liability for third party claims arising out of
          acts of terrorism.
Sec. 1202. Extension of insurance policies.
Sec. 1203. Correction of reference.
Sec. 1204. Report.

                TITLE XIII--FEDERAL WORKFORCE IMPROVEMENT

                Subtitle A--Chief Human Capital Officers

Sec. 1301. Short title.
Sec. 1302. Agency Chief Human Capital Officers.
Sec. 1303. Chief Human Capital Officers Council.
Sec. 1304. Strategic human capital management.
Sec. 1305. Effective date.

    Subtitle B--Reforms Relating to Federal Human Capital Management

Sec. 1311. Inclusion of agency human capital strategic planning in
          performance plans and programs performance reports.
Sec. 1312. Reform of the competitive service hiring process.
Sec. 1313. Permanent extension, revision, and expansion of authorities
          for use of voluntary separation incentive pay and voluntary
          early retirement.
Sec. 1314. Student volunteer transit subsidy.

      Subtitle C--Reforms Relating to the Senior Executive Service

Sec. 1321. Repeal of recertification requirements of senior executives.
Sec. 1322. Adjustment of limitation on total annual compensation.

                      Subtitle D--Academic Training

Sec. 1331. Academic training.
Sec. 1332. Modifications to National Security Education Program.

               TITLE XIV--ARMING PILOTS AGAINST TERRORISM

Sec. 1401. Short title.
Sec. 1402. Federal Flight Deck Officer Program.
Sec. 1403. Crew training.
Sec. 1404. Commercial airline security study.
Sec. 1405. Authority to arm flight deck crew with less-than-lethal
          weapons.
Sec. 1406. Technical amendments.

                          TITLE XV--TRANSITION

                     Subtitle A--Reorganization Plan

Sec. 1501. Definitions.
Sec. 1502. Reorganization plan.
Sec. 1503. Review of congressional committee structures.

                   Subtitle B--Transitional Provisions

Sec. 1511. Transitional authorities.
Sec. 1512. Savings provisions.
Sec. 1513. Terminations.
Sec. 1514. National identification system not authorized.
Sec. 1515. Continuity of Inspector General oversight.
Sec. 1516. Incidental transfers.
Sec. 1517. Reference.

       TITLE XVI--CORRECTIONS TO EXISTING LAW RELATING TO AIRLINE
                         TRANSPORTATION SECURITY

Sec. 1601. Retention of security sensitive information authority at
          Department of Transportation.
Sec. 1602. Increase in civil penalties.
Sec. 1603. Allowing United States citizens and United States nationals
          as screeners.

             TITLE XVII--CONFORMING AND TECHNICAL AMENDMENTS

Sec. 1701. Inspector General Act of 1978.
Sec. 1702. Executive Schedule.
Sec. 1703. United States Secret Service.
Sec. 1704. Coast Guard.
Sec. 1705. Strategic national stockpile and smallpox vaccine
          development.
Sec. 1706. Transfer of certain security and law enforcement functions
          and authorities.
Sec. 1707. Transportation security regulations.
Sec. 1708. National Bio-Weapons Defense Analysis Center.
Sec. 1709. Collaboration with the Secretary of Homeland Security.
Sec. 1710. Railroad safety to include railroad security.
Sec. 1711. Hazmat safety to include hazmat security.
Sec. 1712. Office of Science and Technology Policy.
Sec. 1713. National Oceanographic Partnership Program.
Sec. 1714. Clarification of definition of manufacturer.
Sec. 1715. Clarification of definition of vaccine-related injury or
          death.
Sec. 1716. Clarification of definition of vaccine.
Sec. 1717. Effective date.

                  TITLE XVIII--EMERGENCY COMMUNICATIONS

Sec. 1801. Office for Emergency Communications.
Sec. 1802. National Emergency Communications Plan.
Sec. 1803. Assessments and reports.
Sec. 1804. Coordination of Federal emergency communications grant
          programs.
Sec. 1805. Regional emergency communications coordination.
Sec. 1806. Emergency Communications Preparedness Center.
Sec. 1807. Urban and other high risk area communications capabilities.
Sec. 1808. Definition.
Sec. 1809. Interoperable Emergency Communications Grant Program.
Sec. 1810. Border interoperability demonstration project.

              TITLE XIX--DOMESTIC NUCLEAR DETECTION OFFICE

Sec. 1901. Domestic Nuclear Detection Office.
Sec. 1902. Mission of Office.
Sec. 1903. Hiring authority.
Sec. 1904. Testing authority.
Sec. 1905. Relationship to other Department entities and Federal
          agencies.
Sec. 1906. Contracting and grant making authorities.
Sec. 1907. Joint annual interagency review of global nuclear detection
          architecture.

                   TITLE XX--HOMELAND SECURITY GRANTS

Sec. 2001. Definitions.

         Subtitle A--Grants to States and High-Risk Urban Areas

Sec. 2002. Homeland Security Grant Programs.
Sec. 2003. Urban Area Security Initiative.
Sec. 2004. State Homeland Security Grant Program.
Sec. 2005. Grants to directly eligible tribes.
Sec. 2006. Terrorism prevention.
Sec. 2007. Prioritization.
Sec. 2008. Use of funds.

                    Subtitle B--Grants Administration

Sec. 2021. Administration and coordination.
Sec. 2022. Accountability.

SEC. 2. [6 U.S.C. 101] DEFINITIONS.

    In this Act, the following definitions apply:
            (1) Each of the terms ``American homeland'' and
        ``homeland'' means the United States.
            (2) The term ``appropriate congressional
        committee'' means any committee of the House of
        Representatives or the Senate having legislative or
        oversight jurisdiction under the Rules of the House of
        Representatives or the Senate, respectively, over the
        matter concerned.
            (3) The term ``assets'' includes contracts,
        facilities, property, records, unobligated or
        unexpended balances of appropriations, and other funds
        or resources (other than personnel).
            (4) The term ``critical infrastructure'' has the
        meaning given that term in section 1016(e) of Public
        Law 107-56 (42 U.S.C. 5195c(e)).
            (5) The term ``Department'' means the Department of
        Homeland Security.
            (6) The term ``emergency response providers''
        includes Federal, State, and local governmental and
        nongovernmental emergency public safety, fire, law
        enforcement, emergency response, emergency medical
        (including hospital emergency facilities), and related
        personnel, agencies, and authorities.
            (7) 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.
            (8) The term ``functions'' includes authorities,
        powers, rights, privileges, immunities, programs,
        projects, activities, duties, and responsibilities.
            (9) The term ``intelligence component of the
        Department'' means any element or entity of the
        Department that collects, gathers, processes, analyzes,
        produces, or disseminates intelligence information
        within the scope of the information sharing
        environment, including homeland security information,
        terrorism information, and weapons of mass destruction
        information, or national intelligence, as defined under
        section 3(5) of the National Security Act of 1947 (50
        U.S.C. 401a(5)), except--
                    (A) the United States Secret Service; and
                    (B) the Coast Guard, when operating under
                the direct authority of the Secretary of
                Defense or Secretary of the Navy pursuant to
                section 3 of title 14, United States Code,
                except that nothing in this paragraph shall
                affect or diminish the authority and
                responsibilities of the Commandant of the Coast
                Guard to command or control the Coast Guard as
                an armed force or the authority of the Director
                of National Intelligence with respect to the
                Coast Guard as an element of the intelligence
                community (as defined under section 3(4) of the
                National Security Act of 1947 (50 U.S.C.
                401a(4)).
            (10) The term ``key resources'' means publicly or
        privately controlled resources essential to the minimal
        operations of the economy and government.
            (11) The term ``local government'' means--
                    (A) a county, municipality, city, town,
                township, local public authority, school
                district, special district, intrastate
                district, council of governments (regardless of
                whether the council of governments is
                incorporated as a nonprofit corporation under
                State law), regional or interstate government
                entity, or agency or instrumentality of a local
                government;
                    (B) an Indian tribe or authorized tribal
                organization, or in Alaska a Native village or
                Alaska Regional Native Corporation; and
                    (C) a rural community, unincorporated town
                or village, or other public entity.
            (12) The term ``major disaster'' has the meaning
        given in section 102(2) of the Robert T. Stafford
        Disaster Relief and Emergency Assistance Act (42 U.S.C.
        5122).
            (13) The term ``personnel'' means officers and
        employees.
            (14) The term ``Secretary'' means the Secretary of
        Homeland Security.
            (15) The term ``State'' means any State of the
        United States, the District of Columbia, the
        Commonwealth of Puerto Rico, the Virgin Islands, Guam,
        American Samoa, the Commonwealth of the Northern
        Mariana Islands, and any possession of the United
        States.
            (16) The term ``terrorism'' means any activity
        that--
                    (A) involves an act that--
                            (i) is dangerous to human life or
                        potentially destructive of critical
                        infrastructure or key resources; and
                            (ii) is a violation of the criminal
                        laws of the United States or of any
                        State or other subdivision of the
                        United States; and
                    (B) appears to be intended--
                            (i) to intimidate or coerce a
                        civilian population;
                            (ii) to influence the policy of a
                        government by intimidation or coercion;
                        or
                            (iii) to affect the conduct of a
                        government by mass destruction,
                        assassination, or kidnapping.
            (17)(A) The term ``United States'', when used in a
        geographic sense, means any State of the United States,
        the District of Columbia, the Commonwealth of Puerto
        Rico, the Virgin Islands, Guam, American Samoa, the
        Commonwealth of the Northern Mariana Islands, any
        possession of the United States, and any waters within
        the jurisdiction of the United States.
            (B) Nothing in this paragraph or any other
        provision of this Act shall be construed to modify the
        definition of ``United States'' for the purposes of the
        Immigration and Nationality Act or any other
        immigration or nationality law.
            (18) The term ``voluntary preparedness standards''
        means a common set of criteria for preparedness,
        disaster management, emergency management, and business
        continuity programs, such as the American National
        Standards Institute's National Fire Protection
        Association Standard on Disaster/Emergency Management
        and Business Continuity Programs (ANSI/NFPA 1600).

SEC. 3. [6 U.S.C. 102] 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. [6 U.S.C. 101 NOTE] EFFECTIVE DATE.

    This Act shall take effect 60 days after the date of
enactment.

                TITLE I--DEPARTMENT OF HOMELAND SECURITY

SEC. 101. [6 U.S.C. 111] 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) 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;
                    (C) minimize the damage, and assist in the
                recovery, from terrorist attacks that do occur
                within the United States;
                    (D) carry out all functions of entities
                transferred to the Department, including by
                acting as a focal point regarding natural and
                manmade crises and emergency planning;
                    (E) ensure that the functions of the
                agencies and subdivisions within the Department
                that are not related directly to securing the
                homeland are not diminished or neglected except
                by a specific explicit Act of Congress;
                    (F) ensure that the overall economic
                security of the United States is not diminished
                by efforts, activities, and programs aimed at
                securing the homeland;
                    (G) ensure that the civil rights and civil
                liberties of persons are not diminished by
                efforts, activities, and programs aimed at
                securing the homeland; and
                    (H) monitor connections between illegal
                drug trafficking and terrorism, coordinate
                efforts to sever such connections, and
                otherwise contribute to efforts to interdict
                illegal drug trafficking.
            (2) Responsibility for investigating and
        prosecuting terrorism.--Except as specifically provided
        by law with respect to entities transferred to the
        Department under this Act, primary responsibility for
        investigating and prosecuting acts of terrorism shall
        be vested not in the Department, but rather in Federal,
        State, and local law enforcement agencies with
        jurisdiction over the acts in question.

SEC. 102. [6 U.S.C. 112] SECRETARY; FUNCTIONS.

    (a) Secretary.--
            (1) In general.--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) Functions vested in secretary.--All functions
        of all officers, employees, and organizational units of
        the Department are vested in the Secretary.
    (b) Functions.--The Secretary--
            (1) except as otherwise provided by this Act, may
        delegate any of the Secretary's functions to any
        officer, employee, or organizational unit of the
        Department;
            (2) shall have 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 the Secretary's
        responsibilities under this Act or otherwise provided
        by law; and
            (3) shall take reasonable steps to ensure that
        information systems and databases of the Department are
        compatible with each other and with appropriate
        databases of other Departments.
    (c) Coordination With Non-Federal Entities.--With respect
to homeland security, the Secretary shall coordinate through
the Office of State and Local Coordination (established under
section 801) (including the provision of training and
equipment) with State and local government personnel, agencies,
and authorities, with the private sector, and with other
entities, including by--
            (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; and
            (3) distributing or, as appropriate, coordinating
        the distribution of, warnings and information to State
        and local government personnel, agencies, and
        authorities and to the public.
    (d) Meetings of National Security Council.--The Secretary
may, subject to the direction of the President, attend and
participate in meetings of the National Security Council.
    (e) Issuance of Regulations.--The issuance of regulations
by the Secretary shall be governed by the provisions of chapter
5 of title 5, United States Code, except as specifically
provided in this Act, in laws granting regulatory authorities
that are transferred by this Act, and in laws enacted after the
date of enactment of this Act.
    (f) Special Assistant to the Secretary.--The Secretary
shall appoint a Special Assistant to the Secretary who shall be
responsible for--
            (1) creating and fostering strategic communications
        with the private sector to enhance the primary mission
        of the Department to protect the American homeland;
            (2) advising the Secretary on the impact of the
        Department's policies, regulations, processes, and
        actions on the private sector;
            (3) interfacing with other relevant Federal
        agencies with homeland security missions to assess the
        impact of these agencies' actions on the private
        sector;
            (4) creating and managing private sector advisory
        councils composed of representatives of industries and
        associations designated by the Secretary to--
                    (A) advise the Secretary on private sector
                products, applications, and solutions as they
                relate to homeland security challenges;
                    (B) advise the Secretary on homeland
                security policies, regulations, processes, and
                actions that affect the participating
                industries and associations; and
                    (C) advise the Secretary on private sector
                preparedness issues, including effective
                methods for--
                            (i) promoting voluntary
                        preparedness standards to the private
                        sector; and
                            (ii) assisting the private sector
                        in adopting voluntary preparedness
                        standards;
            (5) working with Federal laboratories, federally
        funded research and development centers, other
        federally funded organizations, academia, and the
        private sector to develop innovative approaches to
        address homeland security challenges to produce and
        deploy the best available technologies for homeland
        security missions;
            (6) promoting existing public-private partnerships
        and developing new public-private partnerships to
        provide for collaboration and mutual support to address
        homeland security challenges;
            (7) assisting in the development and promotion of
        private sector best practices to secure critical
        infrastructure;
            (8) providing information to the private sector
        regarding voluntary preparedness standards and the
        business justification for preparedness and promoting
        to the private sector the adoption of voluntary
        preparedness standards;
            (9) coordinating industry efforts, with respect to
        functions of the Department of Homeland Security, to
        identify private sector resources and capabilities that
        could be effective in supplementing Federal, State, and
        local government agency efforts to prevent or respond
        to a terrorist attack;
            (10) coordinating with the Directorate of Border
        and Transportation Security and the Assistant Secretary
        for Trade Development of the Department of Commerce on
        issues related to the travel and tourism industries;
        and
            (11) consulting with the Office of State and Local
        Government Coordination and Preparedness on all matters
        of concern to the private sector, including the tourism
        industry.
    (g) Standards Policy.--All standards activities of the
Department shall be conducted in accordance with section 12(d)
of the National Technology Transfer Advancement Act of 1995 (15
U.S.C. 272 note) and Office of Management and Budget Circular
A-119.

SEC. 103. [6 U.S.C. 113] OTHER OFFICERS.

    (a) Deputy Secretary; Under Secretaries.--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 subchapter III of chapter 33 of title 5, United
        States Code.
            (2) An Under Secretary for Science and Technology.
            (3) An Under Secretary for Border and
        Transportation Security.
            (4) An Administrator of the Federal Emergency
        Management Agency.
            (5) A Director of the Bureau of Citizenship and
        Immigration Services.
            (6) An Under Secretary for Management.
            (7) A Director of the Office of Counternarcotics
        Enforcement.
            (8) An Under Secretary responsible for overseeing
        critical infrastructure protection, cybersecurity, and
        other related programs of the Department.
            (9) Not more than 12 Assistant Secretaries.
            (10) A General Counsel, who shall be the chief
        legal officer of the Department.
    (b) Inspector General.--There shall be in the Department an
Office of Inspector General and an Inspector General at the
head of such office, as provided in the Inspector General Act
of 1978 (5 U.S.C. App.).
    (c) Commandant of the Coast Guard.--To assist the Secretary
in the performance of the Secretary's functions, there is a
Commandant of the Coast Guard, who shall be appointed as
provided in section 44 of title 14, United States Code, and who
shall report directly to the Secretary. In addition to such
duties as may be provided in this Act and as assigned to the
Commandant by the Secretary, the duties of the Commandant shall
include those required by section 2 of title 14, United States
Code.
    (d) Other Officers.--To assist the Secretary in the
performance of the Secretary's functions, there are the
following officers, appointed by the President:
            (1) A Director of the Secret Service.
            (2) A Chief Information Officer.
            (3) An Officer for Civil Rights and Civil
        Liberties.
            (4) A Director for Domestic Nuclear Detection.
    (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 the official's
office or prescribed by the Secretary.
    (e) Chief Financial Officer.--There shall be in the
Department a Chief Financial Officer, as provided in chapter 9
of title 31, United States Code.

      TITLE II--INFORMATION ANALYSIS AND INFRASTRUCTURE PROTECTION

  Subtitle A--Information and Analysis and Infrastructure Protection;
                         Access to Information

SEC. 201. [6 U.S.C. 121] INFORMATION AND ANALYSIS AND INFRASTRUCTURE
                    PROTECTION.

    (a) Intelligence and Analysis and Infrastructure
Protection.--There shall be in the Department an Office of
Intelligence and Analysis and an Office of Infrastructure
Protection.
    (b) Under Secretary for Intelligence and Analysis and
Assistant Secretary for Infrastructure Protection.--
            (1) Office of intelligence and analysis.--The
        Office of Intelligence and Analysis shall be headed by
        an Under Secretary for Intelligence and Analysis, who
        shall be appointed by the President, by and with the
        advice and consent of the Senate.
            (2) Chief intelligence officer.--The Under
        Secretary for Intelligence and Analysis shall serve as
        the Chief Intelligence Officer of the Department.
            (3) Office of infrastructure protection.--The
        Office of Infrastructure Protection shall be headed by
        an Assistant Secretary for Infrastructure Protection,
        who shall be appointed by the President.
    (c) Discharge of Responsibilities.--The Secretary shall
ensure that the responsibilities of the Department relating to
information analysis and infrastructure protection, including
those described in subsection (d), are carried out through the
Under Secretary for Intelligence and Analysis or the Assistant
Secretary for Infrastructure Protection, as appropriate.
    (d) Responsibilities of Secretary Relating To Intelligence
and Analysis and Infrastructure Protection.--The
responsibilities of the Secretary relating to intelligence and
analysis and infrastructure protection shall be as follows:
            (1) To access, receive, and analyze law enforcement
        information, intelligence 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 support of the
        mission responsibilities of the Department and the
        functions of the National Counterterrorism Center
        established under section 119 of the National Security
        Act of 1947 (50 U.S.C. 404o), in order to--
                    (A) identify and assess the nature and
                scope of terrorist threats to the homeland;
                    (B) detect and identify threats of
                terrorism against the United States; 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 and support 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.
            (5) To develop a comprehensive national plan for
        securing the key resources and critical infrastructure
        of the United States, including power production,
        generation, and distribution systems, information
        technology and telecommunications systems (including
        satellites), electronic financial and property record
        storage and transmission systems, emergency
        preparedness communications systems, and the physical
        and technological assets that support such systems.
            (6) To recommend 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 review, analyze, and make recommendations
        for improvements to the policies and procedures
        governing the sharing of information within the scope
        of the information sharing environment established
        under section 1016 of the Intelligence Reform and
        Terrorism Prevention Act of 2004 (6 U.S.C. 485),
        including homeland security information, terrorism
        information, and weapons of mass destruction
        information, and any policies, guidelines, procedures,
        instructions, or standards established under that
        section.
            (8) 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.
            (9) To consult with the Director of National
        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.
            (10) 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.
            (11) To ensure that--
                    (A) any material received pursuant to this
                Act is protected from unauthorized disclosure
                and handled and used only for the performance
                of official duties; and
                    (B) any intelligence information under this
                Act is shared, retained, and disseminated
                consistent with the authority of the Director
                of National 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.
            (12) To request 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 assigned by the
        Secretary, including the entry into cooperative
        agreements through the Secretary to obtain such
        information.
            (13) 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.
            (14) 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.
            (15) 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.
            (16) To coordinate with elements of the
        intelligence community and with Federal, State, and
        local law enforcement agencies, and the private sector,
        as appropriate.
            (17) To provide intelligence and information
        analysis and support to other elements of the
        Department.
            (18) To coordinate and enhance integration among
        the intelligence components of the Department,
        including through strategic oversight of the
        intelligence activities of such components.
            (19) To establish the intelligence collection,
        processing, analysis, and dissemination priorities,
        policies, processes, standards, guidelines, and
        procedures for the intelligence components of the
        Department, consistent with any directions from the
        President and, as applicable, the Director of National
        Intelligence.
            (20) To establish a structure and process to
        support the missions and goals of the intelligence
        components of the Department.
            (21) To ensure that, whenever possible, the
        Department--
                    (A) produces and disseminates unclassified
                reports and analytic products based on open-
                source information; and
                    (B) produces and disseminates such reports
                and analytic products contemporaneously with
                reports or analytic products concerning the
                same or similar information that the Department
                produced and disseminated in a classified
                format.
            (22) To establish within the Office of Intelligence
        and Analysis an internal continuity of operations plan.
            (23) Based on intelligence priorities set by the
        President, and guidance from the Secretary and, as
        appropriate, the Director of National Intelligence--
                    (A) to provide to the heads of each
                intelligence component of the Department
                guidance for developing the budget pertaining
                to the activities of such component; and
                    (B) to present to the Secretary a
                recommendation for a consolidated budget for
                the intelligence components of the Department,
                together with any comments from the heads of
                such components.
            (24) To perform such other duties relating to such
        responsibilities as the Secretary may provide.
            (25) To prepare and submit to the Committee on
        Homeland Security and Governmental Affairs of the
        Senate and the Committee on Homeland Security in the
        House of Representatives, and to other appropriate
        congressional committees having jurisdiction over the
        critical infrastructure or key resources, for each
        sector identified in the National Infrastructure
        Protection Plan, a report on the comprehensive
        assessments carried out by the Secretary of the
        critical infrastructure and key resources of the United
        States, evaluating threat, vulnerability, and
        consequence, as required under this subsection. Each
        such report--
                    (A) shall contain, if applicable, actions
                or countermeasures recommended or taken by the
                Secretary or the head of another Federal agency
                to address issues identified in the
                assessments;
                    (B) shall be required for fiscal year 2007
                and each subsequent fiscal year and shall be
                submitted not later than 35 days after the last
                day of the fiscal year covered by the report;
                and
                    (C) may be classified.
    (e) Staff.--
            (1) In general.--The Secretary shall provide the
        Office of Intelligence and Analysis and the Office of
        Infrastructure Protection with a staff of analysts
        having appropriate expertise and experience to assist
        such offices 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 Office of
        Intelligence and Analysis and the Office of
        Infrastructure Protection 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
                \1\.
---------------------------------------------------------------------------
    \1\ The reference to ``National Imagery and Mapping Agency'' in
subsection (f)(2)(E) probably should be to ``National Geospatial-
Intelligence Agency''. Section 931(b)(5) of Public Law 110-417 amends
section 201(e)(2) by striking ``National Imagery and Mapping Agency''
and inserting ``National Geospatial-Intelligence Agency''. The
amendment was not executed.
---------------------------------------------------------------------------
                    (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 XV,
there shall be transferred to the Secretary, for assignment to
the Office of Intelligence and Analysis and the Office of
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 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.
            (5) The Federal Computer Incident Response Center
        of the General Services Administration, including the
        functions of the Administrator of General Services
        relating thereto.

           *       *       *       *       *       *       *


SEC. 202. [6 U.S.C. 122] 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
        relating to threats of terrorism against the United
        States and to other areas of responsibility assigned by
        the Secretary, 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 assigned by the
                Secretary;
                    (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 any other 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. [6 U.S.C. 124] HOMELAND SECURITY ADVISORY SYSTEM.

    (a) Requirement.--The Secretary shall administer the
Homeland Security Advisory System in accordance with this
section to provide advisories or warnings regarding the threat
or risk that acts of terrorism will be committed on the
homeland to Federal, State, local, and tribal government
authorities and to the people of the United States, as
appropriate. The Secretary shall exercise primary
responsibility for providing such advisories or warnings.
    (b) Required Elements.--In administering the Homeland
Security Advisory System, the Secretary shall--
            (1) establish criteria for the issuance and
        revocation of such advisories or warnings;
            (2) develop a methodology, relying on the criteria
        established under paragraph (1), for the issuance and
        revocation of such advisories or warnings;
            (3) provide, in each such advisory or warning,
        specific information and advice regarding appropriate
        protective measures and countermeasures that may be
        taken in response to the threat or risk, at the maximum
        level of detail practicable to enable individuals,
        government entities, emergency response providers, and
        the private sector to act appropriately;
            (4) whenever possible, limit the scope of each such
        advisory or warning to a specific region, locality, or
        economic sector believed to be under threat or at risk;
        and
            (5) not, in issuing any advisory or warning, use
        color designations as the exclusive means of specifying
        homeland security threat conditions that are the
        subject of the advisory or warning.

SEC. 204. [6 U.S.C. 124A] HOMELAND SECURITY INFORMATION SHARING.

    (a) Information Sharing.--Consistent with section 1016 of
the Intelligence Reform and Terrorism Prevention Act of 2004 (6
U.S.C. 485), the Secretary, acting through the Under Secretary
for Intelligence and Analysis, shall integrate the information
and standardize the format of the products of the intelligence
components of the Department containing homeland security
information, terrorism information, weapons of mass destruction
information, or national intelligence (as defined in section
3(5) of the National Security Act of 1947 (50 U.S.C. 401a(5)))
except for any internal security protocols or personnel
information of such intelligence components, or other
administrative processes that are administered by any chief
security officer of the Department.
    (b) Information Sharing and Knowledge Management
Officers.--For each intelligence component of the Department,
the Secretary shall designate an information sharing and
knowledge management officer who shall report to the Under
Secretary for Intelligence and Analysis regarding coordinating
the different systems used in the Department to gather and
disseminate homeland security information or national
intelligence (as defined in section 3(5) of the National
Security Act of 1947 (50 U.S.C. 401a(5))).
    (c) State, Local, and Private-Sector Sources of
Information.--
            (1) Establishment of business processes.--The
        Secretary, acting through the Under Secretary for
        Intelligence and Analysis or the Assistant Secretary
        for Infrastructure Protection, as appropriate, shall--
                    (A) establish Department-wide procedures
                for the review and analysis of information
                provided by State, local, and tribal
                governments and the private sector;
                    (B) as appropriate, integrate such
                information into the information gathered by
                the Department and other departments and
                agencies of the Federal Government; and
                    (C) make available such information, as
                appropriate, within the Department and to other
                departments and agencies of the Federal
                Government.
            (2) Feedback.--The Secretary shall develop
        mechanisms to provide feedback regarding the analysis
        and utility of information provided by any entity of
        State, local, or tribal government or the private
        sector that provides such information to the
        Department.
    (d) Training and Evaluation of Employees.--
            (1) Training.--The Secretary, acting through the
        Under Secretary for Intelligence and Analysis or the
        Assistant Secretary for Infrastructure Protection, as
        appropriate, shall provide to employees of the
        Department opportunities for training and education to
        develop an understanding of--
                    (A) the definitions of homeland security
                information and national intelligence (as
                defined in section 3(5) of the National
                Security Act of 1947 (50 U.S.C. 401a(5))); and
                    (B) how information available to such
                employees as part of their duties--
                            (i) might qualify as homeland
                        security information or national
                        intelligence; and
                            (ii) might be relevant to the
                        Office of Intelligence and Analysis and
                        the intelligence components of the
                        Department.
            (2) Evaluations.--The Under Secretary for
        Intelligence and Analysis shall--
                    (A) on an ongoing basis, evaluate how
                employees of the Office of Intelligence and
                Analysis and the intelligence components of the
                Department are utilizing homeland security
                information or national intelligence, sharing
                information within the Department, as described
                in this title, and participating in the
                information sharing environment established
                under section 1016 of the Intelligence Reform
                and Terrorism Prevention Act of 2004 (6 U.S.C.
                485); and
                    (B) provide to the appropriate component
                heads regular reports regarding the evaluations
                under subparagraph (A).

SEC. 205. [6 U.S.C. 124B] COMPREHENSIVE INFORMATION TECHNOLOGY NETWORK
                    ARCHITECTURE.

    (a) Establishment.--The Secretary, acting through the Under
Secretary for Intelligence and Analysis, shall establish,
consistent with the policies and procedures developed under
section 1016 of the Intelligence Reform and Terrorism
Prevention Act of 2004 (6 U.S.C. 485), and consistent with the
enterprise architecture of the Department, a comprehensive
information technology network architecture for the Office of
Intelligence and Analysis that connects the various databases
and related information technology assets of the Office of
Intelligence and Analysis and the intelligence components of
the Department in order to promote internal information sharing
among the intelligence and other personnel of the Department.
    (b) Comprehensive Information Technology Network
Architecture Defined.--The term ``comprehensive information
technology network architecture'' means an integrated framework
for evolving or maintaining existing information technology and
acquiring new information technology to achieve the strategic
management and information resources management goals of the
Office of Intelligence and Analysis.

SEC. 206. [6 U.S.C. 124C] COORDINATION WITH INFORMATION SHARING
                    ENVIRONMENT.

    (a) Guidance.--All activities to comply with sections 203,
204, and 205 shall be--
            (1) consistent with any policies, guidelines,
        procedures, instructions, or standards established
        under section 1016 of the Intelligence Reform and
        Terrorism Prevention Act of 2004 (6 U.S.C. 485);
            (2) implemented in coordination with, as
        appropriate, the program manager for the information
        sharing environment established under that section;
            (3) consistent with any applicable guidance issued
        by the Director of National Intelligence; and
            (4) consistent with any applicable guidance issued
        by the Secretary relating to the protection of law
        enforcement information or proprietary information.
    (b) Consultation.--In carrying out the duties and
responsibilities under this subtitle, the Under Secretary for
Intelligence and Analysis shall take into account the views of
the heads of the intelligence components of the Department.

SEC. 207. [6 U.S.C. 124D] INTELLIGENCE COMPONENTS.

    Subject to the direction and control of the Secretary, and
consistent with any applicable guidance issued by the Director
of National Intelligence, the responsibilities of the head of
each intelligence component of the Department are as follows:
            (1) To ensure that the collection, processing,
        analysis, and dissemination of information within the
        scope of the information sharing environment, including
        homeland security information, terrorism information,
        weapons of mass destruction information, and national
        intelligence (as defined in section 3(5) of the
        National Security Act of 1947 (50 U.S.C. 401a(5))), are
        carried out effectively and efficiently in support of
        the intelligence mission of the Department, as led by
        the Under Secretary for Intelligence and Analysis.
            (2) To otherwise support and implement the
        intelligence mission of the Department, as led by the
        Under Secretary for Intelligence and Analysis.
            (3) To incorporate the input of the Under Secretary
        for Intelligence and Analysis with respect to
        performance appraisals, bonus or award recommendations,
        pay adjustments, and other forms of commendation.
            (4) To coordinate with the Under Secretary for
        Intelligence and Analysis in developing policies and
        requirements for the recruitment and selection of
        intelligence officials of the intelligence component.
            (5) To advise and coordinate with the Under
        Secretary for Intelligence and Analysis on any plan to
        reorganize or restructure the intelligence component
        that would, if implemented, result in realignments of
        intelligence functions.
            (6) To ensure that employees of the intelligence
        component have knowledge of, and comply with, the
        programs and policies established by the Under
        Secretary for Intelligence and Analysis and other
        appropriate officials of the Department and that such
        employees comply with all applicable laws and
        regulations.
            (7) To perform such other activities relating to
        such responsibilities as the Secretary may provide.

SEC. 208. [6 U.S.C. 124E] TRAINING FOR EMPLOYEES OF INTELLIGENCE
                    COMPONENTS.

    The Secretary shall provide training and guidance for
employees, officials, and senior executives of the intelligence
components of the Department to develop knowledge of laws,
regulations, operations, policies, procedures, and programs
that are related to the functions of the Department relating to
the collection, processing, analysis, and dissemination of
information within the scope of the information sharing
environment, including homeland security information, terrorism
information, and weapons of mass destruction information, or
national intelligence (as defined in section 3(5) of the
National Security Act of 1947 (50 U.S.C. 401a(5))).

SEC. 209. [6 U.S.C. 124F] INTELLIGENCE TRAINING DEVELOPMENT FOR STATE
                    AND LOCAL GOVERNMENT OFFICIALS.

    (a) Curriculum.--The Secretary, acting through the Under
Secretary for Intelligence and Analysis, shall--
            (1) develop a curriculum for training State, local,
        and tribal government officials, including law
        enforcement officers, intelligence analysts, and other
        emergency response providers, in the intelligence cycle
        and Federal laws, practices, and regulations regarding
        the development, handling, and review of intelligence
        and other information; and
            (2) ensure that the curriculum includes executive
        level training for senior level State, local, and
        tribal law enforcement officers, intelligence analysts,
        and other emergency response providers.
    (b) Training.--To the extent possible, the Federal Law
Enforcement Training Center and other existing Federal entities
with the capacity and expertise to train State, local, and
tribal government officials based on the curriculum developed
under subsection (a) shall be used to carry out the training
programs created under this section. If such entities do not
have the capacity, resources, or capabilities to conduct such
training, the Secretary may approve another entity to conduct
such training.
    (c) Consultation.--In carrying out the duties described in
subsection (a), the Under Secretary for Intelligence and
Analysis shall consult with the Director of the Federal Law
Enforcement Training Center, the Attorney General, the Director
of National Intelligence, the Administrator of the Federal
Emergency Management Agency, and other appropriate parties,
such as private industry, institutions of higher education,
nonprofit institutions, and other intelligence agencies of the
Federal Government.

SEC. 210. [6 U.S.C. 124G] INFORMATION SHARING INCENTIVES.

    (a) Awards.--In making cash awards under chapter 45 of
title 5, United States Code, the President or the head of an
agency, in consultation with the program manager designated
under section 1016 of the Intelligence Reform and Terrorism
Prevention Act of 2004 (6 U.S.C. 485), may consider the success
of an employee in appropriately sharing information within the
scope of the information sharing environment established under
that section, including homeland security information,
terrorism information, and weapons of mass destruction
information, or national intelligence (as defined in section
3(5) of the National Security Act of 1947 (50 U.S.C. 401a(5)),
in a manner consistent with any policies, guidelines,
procedures, instructions, or standards established by the
President or, as appropriate, the program manager of that
environment for the implementation and management of that
environment.
    (b) Other Incentives.--The head of each department or
agency described in section 1016(i) of the Intelligence Reform
and Terrorism Prevention Act of 2004 (6 U.S.C. 485(i)), in
consultation with the program manager designated under section
1016 of the Intelligence Reform and Terrorism Prevention Act of
2004 (6 U.S.C. 485), shall adopt best practices regarding
effective ways to educate and motivate officers and employees
of the Federal Government to participate fully in the
information sharing environment, including--
            (1) promotions and other nonmonetary awards; and
            (2) publicizing information sharing accomplishments
        by individual employees and, where appropriate, the
        tangible end benefits that resulted.

SEC. 210A. [6 U.S.C. 124H] DEPARTMENT OF HOMELAND SECURITY STATE,
                    LOCAL, AND REGIONAL FUSION CENTER INITIATIVE.

    (a) Establishment.--The Secretary, in consultation with the
program manager of the information sharing environment
established under section 1016 of the Intelligence Reform and
Terrorism Prevention Act of 2004 (6 U.S.C. 485), the Attorney
General, the Privacy Officer of the Department, the Officer for
Civil Rights and Civil Liberties of the Department, and the
Privacy and Civil Liberties Oversight Board established under
section 1061 of the Intelligence Reform and Terrorism
Prevention Act of 2004 (5 U.S.C. 601 note), shall establish a
Department of Homeland Security State, Local, and Regional
Fusion Center Initiative to establish partnerships with State,
local, and regional fusion centers.
    (b) Department Support and Coordination.--Through the
Department of Homeland Security State, Local, and Regional
Fusion Center Initiative, and in coordination with the
principal officials of participating State, local, or regional
fusion centers and the officers designated as the Homeland
Security Advisors of the States, the Secretary shall--
            (1) provide operational and intelligence advice and
        assistance to State, local, and regional fusion
        centers;
            (2) support efforts to include State, local, and
        regional fusion centers into efforts to establish an
        information sharing environment;
            (3) conduct tabletop and live training exercises to
        regularly assess the capability of individual and
        regional networks of State, local, and regional fusion
        centers to integrate the efforts of such networks with
        the efforts of the Department;
            (4) coordinate with other relevant Federal entities
        engaged in homeland security-related activities;
            (5) provide analytic and reporting advice and
        assistance to State, local, and regional fusion
        centers;
            (6) review information within the scope of the
        information sharing environment, including homeland
        security information, terrorism information, and
        weapons of mass destruction information, that is
        gathered by State, local, and regional fusion centers,
        and to incorporate such information, as appropriate,
        into the Department's own such information;
            (7) provide management assistance to State, local,
        and regional fusion centers;
            (8) serve as a point of contact to ensure the
        dissemination of information within the scope of the
        information sharing environment, including homeland
        security information, terrorism information, and
        weapons of mass destruction information;
            (9) facilitate close communication and coordination
        between State, local, and regional fusion centers and
        the Department;
            (10) provide State, local, and regional fusion
        centers with expertise on Department resources and
        operations;
            (11) provide training to State, local, and regional
        fusion centers and encourage such fusion centers to
        participate in terrorism threat-related exercises
        conducted by the Department; and
            (12) carry out such other duties as the Secretary
        determines are appropriate.
    (c) Personnel Assignment.--
            (1) In general.--The Under Secretary for
        Intelligence and Analysis shall, to the maximum extent
        practicable, assign officers and intelligence analysts
        from components of the Department to participating
        State, local, and regional fusion centers.
            (2) Personnel sources.--Officers and intelligence
        analysts assigned to participating fusion centers under
        this subsection may be assigned from the following
        Department components, in coordination with the
        respective component head and in consultation with the
        principal officials of participating fusion centers:
                    (A) Office of Intelligence and Analysis.
                    (B) Office of Infrastructure Protection.
                    (C) Transportation Security Administration.
                    (D) United States Customs and Border
                Protection.
                    (E) United States Immigration and Customs
                Enforcement.
                    (F) United States Coast Guard.
                    (G) Other components of the Department, as
                determined by the Secretary.
            (3) Qualifying criteria.--
                    (A) In general.--The Secretary shall
                develop qualifying criteria for a fusion center
                to participate in the assigning of Department
                officers or intelligence analysts under this
                section.
                    (B) Criteria.--Any criteria developed under
                subparagraph (A) may include--
                            (i) whether the fusion center,
                        through its mission and governance
                        structure, focuses on a broad
                        counterterrorism approach, and whether
                        that broad approach is pervasive
                        through all levels of the organization;
                            (ii) whether the fusion center has
                        sufficient numbers of adequately
                        trained personnel to support a broad
                        counterterrorism mission;
                            (iii) whether the fusion center
                        has--
                                    (I) access to relevant law
                                enforcement, emergency
                                response, private sector, open
                                source, and national security
                                data; and
                                    (II) the ability to share
                                and analytically utilize that
                                data for lawful purposes;
                            (iv) whether the fusion center is
                        adequately funded by the State, local,
                        or regional government to support its
                        counterterrorism mission; and
                            (v) the relevancy of the mission of
                        the fusion center to the particular
                        source component of Department officers
                        or intelligence analysts.
            (4) Prerequisite.--
                    (A) Intelligence analysis, privacy, and
                civil liberties training.--Before being
                assigned to a fusion center under this section,
                an officer or intelligence analyst shall
                undergo--
                            (i) appropriate intelligence
                        analysis or information sharing
                        training using an intelligence-led
                        policing curriculum that is consistent
                        with--
                                    (I) standard training and
                                education programs offered to
                                Department law enforcement and
                                intelligence personnel; and
                                    (II) the Criminal
                                Intelligence Systems Operating
                                Policies under part 23 of title
                                28, Code of Federal Regulations
                                (or any corresponding similar
                                rule or regulation);
                            (ii) appropriate privacy and civil
                        liberties training that is developed,
                        supported, or sponsored by the Privacy
                        Officer appointed under section 222 and
                        the Officer for Civil Rights and Civil
                        Liberties of the Department, in
                        consultation with the Privacy and Civil
                        Liberties Oversight Board established
                        under section 1061 of the Intelligence
                        Reform and Terrorism Prevention Act of
                        2004 (5 U.S.C. 601 note); and
                            (iii) such other training
                        prescribed by the Under Secretary for
                        Intelligence and Analysis.
                    (B) Prior work experience in area.--In
                determining the eligibility of an officer or
                intelligence analyst to be assigned to a fusion
                center under this section, the Under Secretary
                for Intelligence and Analysis shall consider
                the familiarity of the officer or intelligence
                analyst with the State, locality, or region, as
                determined by such factors as whether the
                officer or intelligence analyst--
                            (i) has been previously assigned in
                        the geographic area; or
                            (ii) has previously worked with
                        intelligence officials or law
                        enforcement or other emergency response
                        providers from that State, locality, or
                        region.
            (5) Expedited security clearance processing.--The
        Under Secretary for Intelligence and Analysis--
                    (A) shall ensure that each officer or
                intelligence analyst assigned to a fusion
                center under this section has the appropriate
                security clearance to contribute effectively to
                the mission of the fusion center; and
                    (B) may request that security clearance
                processing be expedited for each such officer
                or intelligence analyst and may use available
                funds for such purpose.
            (6) Further qualifications.--Each officer or
        intelligence analyst assigned to a fusion center under
        this section shall satisfy any other qualifications the
        Under Secretary for Intelligence and Analysis may
        prescribe.
    (d) Responsibilities.--An officer or intelligence analyst
assigned to a fusion center under this section shall--
            (1) assist law enforcement agencies and other
        emergency response providers of State, local, and
        tribal governments and fusion center personnel in using
        information within the scope of the information sharing
        environment, including homeland security information,
        terrorism information, and weapons of mass destruction
        information, to develop a comprehensive and accurate
        threat picture;
            (2) review homeland security-relevant information
        from law enforcement agencies and other emergency
        response providers of State, local, and tribal
        government;
            (3) create intelligence and other information
        products derived from such information and other
        homeland security-relevant information provided by the
        Department; and
            (4) assist in the dissemination of such products,
        as coordinated by the Under Secretary for Intelligence
        and Analysis, to law enforcement agencies and other
        emergency response providers of State, local, and
        tribal government, other fusion centers, and
        appropriate Federal agencies.
    (e) Border Intelligence Priority.--
            (1) In general.--The Secretary shall make it a
        priority to assign officers and intelligence analysts
        under this section from United States Customs and
        Border Protection, United States Immigration and
        Customs Enforcement, and the Coast Guard to
        participating State, local, and regional fusion centers
        located in jurisdictions along land or maritime borders
        of the United States in order to enhance the integrity
        of and security at such borders by helping Federal,
        State, local, and tribal law enforcement authorities to
        identify, investigate, and otherwise interdict persons,
        weapons, and related contraband that pose a threat to
        homeland security.
            (2) Border intelligence products.--When performing
        the responsibilities described in subsection (d),
        officers and intelligence analysts assigned to
        participating State, local, and regional fusion centers
        under this section shall have, as a primary
        responsibility, the creation of border intelligence
        products that--
                    (A) assist State, local, and tribal law
                enforcement agencies in deploying their
                resources most efficiently to help detect and
                interdict terrorists, weapons of mass
                destruction, and related contraband at land or
                maritime borders of the United States;
                    (B) promote more consistent and timely
                sharing of border security-relevant information
                among jurisdictions along land or maritime
                borders of the United States; and
                    (C) enhance the Department's situational
                awareness of the threat of acts of terrorism at
                or involving the land or maritime borders of
                the United States.
    (f) Database Access.--In order to fulfill the objectives
described under subsection (d), each officer or intelligence
analyst assigned to a fusion center under this section shall
have appropriate access to all relevant Federal databases and
information systems, consistent with any policies, guidelines,
procedures, instructions, or standards established by the
President or, as appropriate, the program manager of the
information sharing environment for the implementation and
management of that environment.
    (g) Consumer Feedback.--
            (1) In general.--The Secretary shall create a
        voluntary mechanism for any State, local, or tribal law
        enforcement officer or other emergency response
        provider who is a consumer of the intelligence or other
        information products referred to in subsection (d) to
        provide feedback to the Department on the quality and
        utility of such intelligence products.
            (2) Report.--Not later than one year after the date
        of the enactment of the Implementing Recommendations of
        the 9/11 Commission Act of 2007, and annually
        thereafter, the Secretary shall submit to the Committee
        on Homeland Security and Governmental Affairs of the
        Senate and the Committee on Homeland Security of the
        House of Representatives a report that includes a
        description of the consumer feedback obtained under
        paragraph (1) and, if applicable, how the Department
        has adjusted its production of intelligence products in
        response to that consumer feedback.
    (h) Rule of Construction.--
            (1) In general.--The authorities granted under this
        section shall supplement the authorities granted under
        section 201(d) and nothing in this section shall be
        construed to abrogate the authorities granted under
        section 201(d).
            (2) Participation.--Nothing in this section shall
        be construed to require a State, local, or regional
        government or entity to accept the assignment of
        officers or intelligence analysts of the Department
        into the fusion center of that State, locality, or
        region.
    (i) Guidelines.--The Secretary, in consultation with the
Attorney General, shall establish guidelines for fusion centers
created and operated by State and local governments, to include
standards that any such fusion center shall--
            (1) collaboratively develop a mission statement,
        identify expectations and goals, measure performance,
        and determine effectiveness for that fusion center;
            (2) create a representative governance structure
        that includes law enforcement officers and other
        emergency response providers and, as appropriate, the
        private sector;
            (3) create a collaborative environment for the
        sharing of intelligence and information among Federal,
        State, local, and tribal government agencies (including
        law enforcement officers and other emergency response
        providers), the private sector, and the public,
        consistent with any policies, guidelines, procedures,
        instructions, or standards established by the President
        or, as appropriate, the program manager of the
        information sharing environment;
            (4) leverage the databases, systems, and networks
        available from public and private sector entities, in
        accordance with all applicable laws, to maximize
        information sharing;
            (5) develop, publish, and adhere to a privacy and
        civil liberties policy consistent with Federal, State,
        and local law;
            (6) provide, in coordination with the Privacy
        Officer of the Department and the Officer for Civil
        Rights and Civil Liberties of the Department,
        appropriate privacy and civil liberties training for
        all State, local, tribal, and private sector
        representatives at the fusion center;
            (7) ensure appropriate security measures are in
        place for the facility, data, and personnel;
            (8) select and train personnel based on the needs,
        mission, goals, and functions of that fusion center;
            (9) offer a variety of intelligence and information
        services and products to recipients of fusion center
        intelligence and information; and
            (10) incorporate law enforcement officers, other
        emergency response providers, and, as appropriate, the
        private sector, into all relevant phases of the
        intelligence and fusion process, consistent with the
        mission statement developed under paragraph (1), either
        through full time representatives or liaison
        relationships with the fusion center to enable the
        receipt and sharing of information and intelligence.
    (j) Definitions.--In this section--
            (1) the term ``fusion center'' means a
        collaborative effort of 2 or more Federal, State,
        local, or tribal government agencies that combines
        resources, expertise, or information with the goal of
        maximizing the ability of such agencies to detect,
        prevent, investigate, apprehend, and respond to
        criminal or terrorist activity;
            (2) the term ``information sharing environment''
        means the information sharing environment established
        under section 1016 of the Intelligence Reform and
        Terrorism Prevention Act of 2004 (6 U.S.C. 485);
            (3) the term ``intelligence analyst'' means an
        individual who regularly advises, administers,
        supervises, or performs work in the collection,
        gathering, analysis, evaluation, reporting, production,
        or dissemination of information on political, economic,
        social, cultural, physical, geographical, scientific,
        or military conditions, trends, or forces in foreign or
        domestic areas that directly or indirectly affect
        national security;
            (4) the term ``intelligence-led policing'' means
        the collection and analysis of information to produce
        an intelligence end product designed to inform law
        enforcement decision making at the tactical and
        strategic levels; and
            (5) the term ``terrorism information'' has the
        meaning given that term in section 1016 of the
        Intelligence Reform and Terrorism Prevention Act of
        2004 (6 U.S.C. 485).
    (k) Authorization of Appropriations.--There is authorized
to be appropriated $10,000,000 for each of fiscal years 2008
through 2012, to carry out this section, except for subsection
(i), including for hiring officers and intelligence analysts to
replace officers and intelligence analysts who are assigned to
fusion centers under this section.

SEC. 210B. [6 U.S.C. 124I] HOMELAND SECURITY INFORMATION SHARING
                    FELLOWS PROGRAM.

    (a) Establishment.--
            (1) In general.--The Secretary, acting through the
        Under Secretary for Intelligence and Analysis, and in
        consultation with the Chief Human Capital Officer,
        shall establish a fellowship program in accordance with
        this section for the purpose of--
                    (A) detailing State, local, and tribal law
                enforcement officers and intelligence analysts
                to the Department in accordance with subchapter
                VI of chapter 33 of title 5, United States
                Code, to participate in the work of the Office
                of Intelligence and Analysis in order to become
                familiar with--
                            (i) the relevant missions and
                        capabilities of the Department and
                        other Federal agencies; and
                            (ii) the role, programs, products,
                        and personnel of the Office of
                        Intelligence and Analysis; and
                    (B) promoting information sharing between
                the Department and State, local, and tribal law
                enforcement officers and intelligence analysts
                by assigning such officers and analysts to--
                            (i) serve as a point of contact in
                        the Department to assist in the
                        representation of State, local, and
                        tribal information requirements;
                            (ii) identify information within
                        the scope of the information sharing
                        environment, including homeland
                        security information, terrorism
                        information, and weapons of mass
                        destruction information, that is of
                        interest to State, local, and tribal
                        law enforcement officers, intelligence
                        analysts, and other emergency response
                        providers;
                            (iii) assist Department analysts in
                        preparing and disseminating products
                        derived from information within the
                        scope of the information sharing
                        environment, including homeland
                        security information, terrorism
                        information, and weapons of mass
                        destruction information, that are
                        tailored to State, local, and tribal
                        law enforcement officers and
                        intelligence analysts and designed to
                        prepare for and thwart acts of
                        terrorism; and
                            (iv) assist Department analysts in
                        preparing products derived from
                        information within the scope of the
                        information sharing environment,
                        including homeland security
                        information, terrorism information, and
                        weapons of mass destruction
                        information, that are tailored to
                        State, local, and tribal emergency
                        response providers and assist in the
                        dissemination of such products through
                        appropriate Department channels.
            (2) Program name.--The program under this section
        shall be known as the ``Homeland Security Information
        Sharing Fellows Program''.
    (b) Eligibility.--
            (1) In general.--In order to be eligible for
        selection as an Information Sharing Fellow under the
        program under this section, an individual shall--
                    (A) have homeland security-related
                responsibilities;
                    (B) be eligible for an appropriate security
                clearance;
                    (C) possess a valid need for access to
                classified information, as determined by the
                Under Secretary for Intelligence and Analysis;
                    (D) be an employee of an eligible entity;
                and
                    (E) have undergone appropriate privacy and
                civil liberties training that is developed,
                supported, or sponsored by the Privacy Officer
                and the Officer for Civil Rights and Civil
                Liberties, in consultation with the Privacy and
                Civil Liberties Oversight Board established
                under section 1061 of the Intelligence Reform
                and Terrorism Prevention Act of 2004 (5 U.S.C.
                601 note).
            (2) Eligible entities.--In this subsection, the
        term ``eligible entity'' means--
                    (A) a State, local, or regional fusion
                center;
                    (B) a State or local law enforcement or
                other government entity that serves a major
                metropolitan area, suburban area, or rural
                area, as determined by the Secretary;
                    (C) a State or local law enforcement or
                other government entity with port, border, or
                agricultural responsibilities, as determined by
                the Secretary;
                    (D) a tribal law enforcement or other
                authority; or
                    (E) such other entity as the Secretary
                determines is appropriate.
    (c) Optional Participation.--No State, local, or tribal law
enforcement or other government entity shall be required to
participate in the Homeland Security Information Sharing
Fellows Program.
    (d) Procedures for Nomination and Selection.--
            (1) In general.--The Under Secretary for
        Intelligence and Analysis shall establish procedures to
        provide for the nomination and selection of individuals
        to participate in the Homeland Security Information
        Sharing Fellows Program.
            (2) Limitations.--The Under Secretary for
        Intelligence and Analysis shall--
                    (A) select law enforcement officers and
                intelligence analysts representing a broad
                cross-section of State, local, and tribal
                agencies; and
                    (B) ensure that the number of Information
                Sharing Fellows selected does not impede the
                activities of the Office of Intelligence and
                Analysis.

SEC. 210C. [6 U.S.C. 124J] RURAL POLICING INSTITUTE.

    (a) In General.--The Secretary shall establish a Rural
Policing Institute, which shall be administered by the Federal
Law Enforcement Training Center, to target training to law
enforcement agencies and other emergency response providers
located in rural areas. The Secretary, through the Rural
Policing Institute, shall--
            (1) evaluate the needs of law enforcement agencies
        and other emergency response providers in rural areas;
            (2) develop expert training programs designed to
        address the needs of law enforcement agencies and other
        emergency response providers in rural areas as
        identified in the evaluation conducted under paragraph
        (1), including training programs about intelligence-led
        policing and protections for privacy, civil rights, and
        civil liberties;
            (3) provide the training programs developed under
        paragraph (2) to law enforcement agencies and other
        emergency response providers in rural areas; and
            (4) conduct outreach efforts to ensure that local
        and tribal governments in rural areas are aware of the
        training programs developed under paragraph (2) so they
        can avail themselves of such programs.
    (b) Curricula.--The training at the Rural Policing
Institute established under subsection (a) shall--
            (1) be configured in a manner so as not to
        duplicate or displace any law enforcement or emergency
        response program of the Federal Law Enforcement
        Training Center or a local or tribal government entity
        in existence on the date of enactment of the
        Implementing Recommendations of the 9/11 Commission Act
        of 2007; and
            (2) to the maximum extent practicable, be delivered
        in a cost-effective manner at facilities of the
        Department, on closed military installations with
        adequate training facilities, or at facilities operated
        by the participants.
    (c) Definition.--In this section, the term ``rural'' means
an area that is not located in a metropolitan statistical area,
as defined by the Office of Management and Budget.
    (d) Authorization of Appropriations.--There are authorized
to be appropriated to carry out this section (including for
contracts, staff, and equipment)--
            (1) $10,000,000 for fiscal year 2008; and
            (2) $5,000,000 for each of fiscal years 2009
        through 2013.

SEC. 210D. [6 U.S.C. 124K] INTERAGENCY THREAT ASSESSMENT AND
                    COORDINATION GROUP.

    (a) In General.--To improve the sharing of information
within the scope of the information sharing environment
established under section 1016 of the Intelligence Reform and
Terrorism Prevention Act of 2004 (6 U.S.C. 485) with State,
local, tribal, and private sector officials, the Director of
National Intelligence, through the program manager for the
information sharing environment, in coordination with the
Secretary, shall coordinate and oversee the creation of an
Interagency Threat Assessment and Coordination Group (referred
to in this section as the ``ITACG'').
    (b) Composition of ITACG.--The ITACG shall consist of--
            (1) an ITACG Advisory Council to set policy and
        develop processes for the integration, analysis, and
        dissemination of federally-coordinated information
        within the scope of the information sharing
        environment, including homeland security information,
        terrorism information, and weapons of mass destruction
        information; and
            (2) an ITACG Detail comprised of State, local, and
        tribal homeland security and law enforcement officers
        and intelligence analysts detailed to work in the
        National Counterterrorism Center with Federal
        intelligence analysts for the purpose of integrating,
        analyzing, and assisting in the dissemination of
        federally-coordinated information within the scope of
        the information sharing environment, including homeland
        security information, terrorism information, and
        weapons of mass destruction information, through
        appropriate channels identified by the ITACG Advisory
        Council.
    (c) Responsibilities of Program Manager.--The program
manager, in consultation with the Information Sharing Council,
shall--
            (1) monitor and assess the efficacy of the ITACG;
        and
            (2) not later than 180 days after the date of the
        enactment of the Implementing Recommendations of the 9/
        11 Commission Act of 2007, and at least annually
        thereafter, submit to the Secretary, the Attorney
        General, the Director of National Intelligence, the
        Committee on Homeland Security and Governmental Affairs
        of the Senate and the Committee on Homeland Security of
        the House of Representatives a report on the progress
        of the ITACG.
    (d) Responsibilities of Secretary.--The Secretary, or the
Secretary's designee, in coordination with the Director of the
National Counterterrorism Center and the ITACG Advisory
Council, shall--
            (1) create policies and standards for the creation
        of information products derived from information within
        the scope of the information sharing environment,
        including homeland security information, terrorism
        information, and weapons of mass destruction
        information, that are suitable for dissemination to
        State, local, and tribal governments and the private
        sector;
            (2) evaluate and develop processes for the timely
        dissemination of federally-coordinated information
        within the scope of the information sharing
        environment, including homeland security information,
        terrorism information, and weapons of mass destruction
        information, to State, local, and tribal governments
        and the private sector;
            (3) establish criteria and a methodology for
        indicating to State, local, and tribal governments and
        the private sector the reliability of information
        within the scope of the information sharing
        environment, including homeland security information,
        terrorism information, and weapons of mass destruction
        information, disseminated to them;
            (4) educate the intelligence community about the
        requirements of the State, local, and tribal homeland
        security, law enforcement, and other emergency response
        providers regarding information within the scope of the
        information sharing environment, including homeland
        security information, terrorism information, and
        weapons of mass destruction information;
            (5) establish and maintain the ITACG Detail, which
        shall assign an appropriate number of State, local, and
        tribal homeland security and law enforcement officers
        and intelligence analysts to work in the National
        Counterterrorism Center who shall--
                    (A) educate and advise National
                Counterterrorism Center intelligence analysts
                about the requirements of the State, local, and
                tribal homeland security and law enforcement
                officers, and other emergency response
                providers regarding information within the
                scope of the information sharing environment,
                including homeland security information,
                terrorism information, and weapons of mass
                destruction information;
                    (B) assist National Counterterrorism Center
                intelligence analysts in integrating,
                analyzing, and otherwise preparing versions of
                products derived from information within the
                scope of the information sharing environment,
                including homeland security information,
                terrorism information, and weapons of mass
                destruction information that are unclassified
                or classified at the lowest possible level and
                suitable for dissemination to State, local, and
                tribal homeland security and law enforcement
                agencies in order to help deter and prevent
                terrorist attacks;
                    (C) implement, in coordination with
                National Counterterrorism Center intelligence
                analysts, the policies, processes, procedures,
                standards, and guidelines developed by the
                ITACG Advisory Council;
                    (D) assist in the dissemination of products
                derived from information within the scope of
                the information sharing environment, including
                homeland security information, terrorism
                information, and weapons of mass destruction
                information, to State, local, and tribal
                jurisdictions only through appropriate channels
                identified by the ITACG Advisory Council; and
                    (E) report directly to the senior
                intelligence official from the Department under
                paragraph (6);
            (6) detail a senior intelligence official from the
        Department of Homeland Security to the National
        Counterterrorism Center, who shall--
                    (A) manage the day-to-day operations of the
                ITACG Detail;
                    (B) report directly to the Director of the
                National Counterterrorism Center or the
                Director's designee; and
                    (C) in coordination with the Director of
                the Federal Bureau of Investigation, and
                subject to the approval of the Director of the
                National Counterterrorism Center, select a
                deputy from the pool of available detailees
                from the Federal Bureau of Investigation in the
                National Counterterrorism Center; and
            (7) establish, within the ITACG Advisory Council, a
        mechanism to select law enforcement officers and
        intelligence analysts for placement in the National
        Counterterrorism Center consistent with paragraph (5),
        using criteria developed by the ITACG Advisory Council
        that shall encourage participation from a broadly
        representative group of State, local, and tribal
        homeland security and law enforcement agencies.
    (e) Membership.--The Secretary, or the Secretary's
designee, shall serve as the chair of the ITACG Advisory
Council, which shall include--
            (1) representatives of--
                    (A) the Department;
                    (B) the Federal Bureau of Investigation;
                    (C) the National Counterterrorism Center;
                    (D) the Department of Defense;
                    (E) the Department of Energy;
                    (F) the Department of State; and
                    (G) other Federal entities as appropriate;
            (2) the program manager of the information sharing
        environment, designated under section 1016(f) of the
        Intelligence Reform and Terrorism Prevention Act of
        2004 (6 U.S.C. 485(f)), or the program manager's
        designee; and
            (3) executive level law enforcement and
        intelligence officials from State, local, and tribal
        governments.
    (f) Criteria.--The Secretary, in consultation with the
Director of National Intelligence, the Attorney General, and
the program manager of the information sharing environment
established under section 1016 of the Intelligence Reform and
Terrorism Prevention Act of 2004 (6 U.S.C. 485), shall--
            (1) establish procedures for selecting members of
        the ITACG Advisory Council and for the proper handling
        and safeguarding of products derived from information
        within the scope of the information sharing
        environment, including homeland security information,
        terrorism information, and weapons of mass destruction
        information, by those members; and
            (2) ensure that at least 50 percent of the members
        of the ITACG Advisory Council are from State, local,
        and tribal governments.
    (g) Operations.--
            (1) In general.--Beginning not later than 90 days
        after the date of enactment of the Implementing
        Recommendations of the 9/11 Commission Act of 2007, the
        ITACG Advisory Council shall meet regularly, but not
        less than quarterly, at the facilities of the National
        Counterterrorism Center of the Office of the Director
        of National Intelligence.
            (2) Management.--Pursuant to section 119(f)(E) of
        the National Security Act of 1947 (50 U.S.C.
        404o(f)(E)), the Director of the National
        Counterterrorism Center, acting through the senior
        intelligence official from the Department of Homeland
        Security detailed pursuant to subsection (d)(6), shall
        ensure that--
                    (A) the products derived from information
                within the scope of the information sharing
                environment, including homeland security
                information, terrorism information, and weapons
                of mass destruction information, prepared by
                the National Counterterrorism Center and the
                ITACG Detail for distribution to State, local,
                and tribal homeland security and law
                enforcement agencies reflect the requirements
                of such agencies and are produced consistently
                with the policies, processes, procedures,
                standards, and guidelines established by the
                ITACG Advisory Council;
                    (B) in consultation with the ITACG Advisory
                Council and consistent with sections
                102A(f)(1)(B)(iii) and 119(f)(E) of the
                National Security Act of 1947 (50 U.S.C. 402 et
                seq.), all products described in subparagraph
                (A) are disseminated through existing channels
                of the Department and the Department of Justice
                and other appropriate channels to State, local,
                and tribal government officials and other
                entities;
                    (C) all detailees under subsection (d)(5)
                have appropriate access to all relevant
                information within the scope of the information
                sharing environment, including homeland
                security information, terrorism information,
                and weapons of mass destruction information,
                available at the National Counterterrorism
                Center in order to accomplish the objectives
                under that paragraph;
                    (D) all detailees under subsection (d)(5)
                have the appropriate security clearances and
                are trained in the procedures for handling,
                processing, storing, and disseminating
                classified products derived from information
                within the scope of the information sharing
                environment, including homeland security
                information, terrorism information, and weapons
                of mass destruction information; and
                    (E) all detailees under subsection (d)(5)
                complete appropriate privacy and civil
                liberties training.
    (h) Inapplicability of the Federal Advisory Committee
Act.--The Federal Advisory Committee Act (5 U.S.C. App.) shall
not apply to the ITACG or any subsidiary groups thereof.
    (i) Authorization of Appropriations.--There are authorized
to be appropriated such sums as may be necessary for each of
fiscal years 2008 through 2012 to carry out this section,
including to obtain security clearances for the State, local,
and tribal participants in the ITACG.

SEC. 210E. [6 U.S.C. 124L] NATIONAL ASSET DATABASE.

    (a) Establishment.--
            (1) National asset database.--The Secretary shall
        establish and maintain a national database of each
        system or asset that--
                    (A) the Secretary, in consultation with
                appropriate homeland security officials of the
                States, determines to be vital and the loss,
                interruption, incapacity, or destruction of
                which would have a negative or debilitating
                effect on the economic security, public health,
                or safety of the United States, any State, or
                any local government; or
                    (B) the Secretary determines is appropriate
                for inclusion in the database.
            (2) Prioritized critical infrastructure list.--In
        accordance with Homeland Security Presidential
        Directive-7, as in effect on January 1, 2007, the
        Secretary shall establish and maintain a single
        classified prioritized list of systems and assets
        included in the database under paragraph (1) that the
        Secretary determines would, if destroyed or disrupted,
        cause national or regional catastrophic effects.
    (b) Use of Database.--The Secretary shall use the database
established under subsection (a)(1) in the development and
implementation of Department plans and programs as appropriate.
    (c) Maintenance of Database.--
            (1) In general.--The Secretary shall maintain and
        annually update the database established under
        subsection (a)(1) and the list established under
        subsection (a)(2), including--
                    (A) establishing data collection guidelines
                and providing such guidelines to the
                appropriate homeland security official of each
                State;
                    (B) regularly reviewing the guidelines
                established under subparagraph (A), including
                by consulting with the appropriate homeland
                security officials of States, to solicit
                feedback about the guidelines, as appropriate;
                    (C) after providing the homeland security
                official of a State with the guidelines under
                subparagraph (A), allowing the official a
                reasonable amount of time to submit to the
                Secretary any data submissions recommended by
                the official for inclusion in the database
                established under subsection (a)(1);
                    (D) examining the contents and identifying
                any submissions made by such an official that
                are described incorrectly or that do not meet
                the guidelines established under subparagraph
                (A); and
                    (E) providing to the appropriate homeland
                security official of each relevant State a list
                of submissions identified under subparagraph
                (D) for review and possible correction before
                the Secretary finalizes the decision of which
                submissions will be included in the database
                established under subsection (a)(1).
            (2) Organization of information in database.--The
        Secretary shall organize the contents of the database
        established under subsection (a)(1) and the list
        established under subsection (a)(2) as the Secretary
        determines is appropriate. Any organizational structure
        of such contents shall include the categorization of
        the contents--
                    (A) according to the sectors listed in
                National Infrastructure Protection Plan
                developed pursuant to Homeland Security
                Presidential Directive-7; and
                    (B) by the State and county of their
                location.
            (3) Private sector integration.--The Secretary
        shall identify and evaluate methods, including the
        Department's Protected Critical Infrastructure
        Information Program, to acquire relevant private sector
        information for the purpose of using that information
        to generate any database or list, including the
        database established under subsection (a)(1) and the
        list established under subsection (a)(2).
            (4) Retention of classification.--The
        classification of information required to be provided
        to Congress, the Department, or any other department or
        agency under this section by a sector-specific agency,
        including the assignment of a level of classification
        of such information, shall be binding on Congress, the
        Department, and that other Federal agency.
    (d) Reports.--
            (1) Report required.--Not later than 180 days after
        the date of the enactment of the Implementing
        Recommendations of the 9/11 Commission Act of 2007, and
        annually thereafter, the Secretary shall submit to the
        Committee on Homeland Security and Governmental Affairs
        of the Senate and the Committee on Homeland Security of
        the House of Representatives a report on the database
        established under subsection (a)(1) and the list
        established under subsection (a)(2).
            (2) Contents of report.--Each such report shall
        include the following:
                    (A) The name, location, and sector
                classification of each of the systems and
                assets on the list established under subsection
                (a)(2).
                    (B) The name, location, and sector
                classification of each of the systems and
                assets on such list that are determined by the
                Secretary to be most at risk to terrorism.
                    (C) Any significant challenges in compiling
                the list of the systems and assets included on
                such list or in the database established under
                subsection (a)(1).
                    (D) Any significant changes from the
                preceding report in the systems and assets
                included on such list or in such database.
                    (E) If appropriate, the extent to which
                such database and such list have been used,
                individually or jointly, for allocating funds
                by the Federal Government to prevent, reduce,
                mitigate, or respond to acts of terrorism.
                    (F) The amount of coordination between the
                Department and the private sector, through any
                entity of the Department that meets with
                representatives of private sector industries
                for purposes of such coordination, for the
                purpose of ensuring the accuracy of such
                database and such list.
                    (G) Any other information the Secretary
                deems relevant.
            (3) Classified information.--The report shall be
        submitted in unclassified form but may contain a
        classified annex.
    (e) Inspector General Study.--By not later than two years
after the date of enactment of the Implementing Recommendations
of the 9/11 Commission Act of 2007, the Inspector General of
the Department shall conduct a study of the implementation of
this section.
    (f) National Infrastructure Protection Consortium.--The
Secretary may establish a consortium to be known as the
``National Infrastructure Protection Consortium''. The
Consortium may advise the Secretary on the best way to
identify, generate, organize, and maintain any database or list
of systems and assets established by the Secretary, including
the database established under subsection (a)(1) and the list
established under subsection (a)(2). If the Secretary
establishes the National Infrastructure Protection Consortium,
the Consortium may--
            (1) be composed of national laboratories, Federal
        agencies, State and local homeland security
        organizations, academic institutions, or national
        Centers of Excellence that have demonstrated experience
        working with and identifying critical infrastructure
        and key resources; and
            (2) provide input to the Secretary on any request
        pertaining to the contents of such database or such
        list.

            Subtitle B--Critical Infrastructure Information

SEC. 211. [6 U.S.C. 101 NOTE] SHORT TITLE.

    This subtitle may be cited as the ``Critical Infrastructure
Information Act of 2002''.

SEC. 212. [6 U.S.C. 131] DEFINITIONS.

    In this subtitle:
            (1) Agency.--The term ``agency'' has the meaning
        given it in section 551 of title 5, United States Code.
            (2) Covered federal agency.--The term ``covered
        Federal agency'' means the Department of Homeland
        Security.
            (3) Critical infrastructure information.--The term
        ``critical infrastructure information'' means
        information not customarily in the public domain and
        related to the security of critical infrastructure or
        protected systems--
                    (A) actual, potential, or threatened
                interference with, attack on, compromise of, or
                incapacitation of critical infrastructure or
                protected systems by either physical or
                computer-based attack or other similar conduct
                (including the misuse of or unauthorized access
                to all types of communications and data
                transmission systems) that violates Federal,
                State, or local law, harms interstate commerce
                of the United States, or threatens public
                health or safety;
                    (B) the ability of any critical
                infrastructure or protected system to resist
                such interference, compromise, or
                incapacitation, including any planned or past
                assessment, projection, or estimate of the
                vulnerability of critical infrastructure or a
                protected system, including security testing,
                risk evaluation thereto, risk management
                planning, or risk audit; or
                    (C) any planned or past operational problem
                or solution regarding critical infrastructure
                or protected systems, including repair,
                recovery, reconstruction, insurance, or
                continuity, to the extent it is related to such
                interference, compromise, or incapacitation.
            (4) Critical infrastructure protection program.--
        The term ``critical infrastructure protection program''
        means any component or bureau of a covered Federal
        agency that has been designated by the President or any
        agency head to receive critical infrastructure
        information.
            (5) Information sharing and analysis
        organization.--The term ``Information Sharing and
        Analysis Organization'' means any formal or informal
        entity or collaboration created or employed by public
        or private sector organizations, for purposes of--
                    (A) gathering and analyzing critical
                infrastructure information in order to better
                understand security problems and
                interdependencies related to critical
                infrastructure and protected systems, so as to
                ensure the availability, integrity, and
                reliability thereof;
                    (B) communicating or disclosing critical
                infrastructure information to help prevent,
                detect, mitigate, or recover from the effects
                of a interference, compromise, or a
                incapacitation problem related to critical
                infrastructure or protected systems; and
                    (C) voluntarily disseminating critical
                infrastructure information to its members,
                State, local, and Federal Governments, or any
                other entities that may be of assistance in
                carrying out the purposes specified in
                subparagraphs (A) and (B).
            (6) Protected system.--The term ``protected
        system''--
                    (A) means any service, physical or
                computer-based system, process, or procedure
                that directly or indirectly affects the
                viability of a facility of critical
                infrastructure; and
                    (B) includes any physical or computer-based
                system, including a computer, computer system,
                computer or communications network, or any
                component hardware or element thereof, software
                program, processing instructions, or
                information or data in transmission or storage
                therein, irrespective of the medium of
                transmission or storage.
            (7) Voluntary.--
                    (A) In general.--The term ``voluntary'', in
                the case of any submittal of critical
                infrastructure information to a covered Federal
                agency, means the submittal thereof in the
                absence of such agency's exercise of legal
                authority to compel access to or submission of
                such information and may be accomplished by a
                single entity or an Information Sharing and
                Analysis Organization on behalf of itself or
                its members.
                    (B) Exclusions.--The term ``voluntary''--
                            (i) in the case of any action
                        brought under the securities laws as is
                        defined in section 3(a)(47) of the
                        Securities Exchange Act of 1934 (15
                        U.S.C. 78c(a)(47))--
                                    (I) does not include
                                information or statements
                                contained in any documents or
                                materials filed with the
                                Securities and Exchange
                                Commission, or with Federal
                                banking regulators, pursuant to
                                section 12(i) of the Securities
                                Exchange Act of 1934 (15 U.S.C.
                                781(I)); and
                                    (II) with respect to the
                                submittal of critical
                                infrastructure information,
                                does not include any disclosure
                                or writing that when made
                                accompanied the solicitation of
                                an offer or a sale of
                                securities; and
                            (ii) does not include information
                        or statements submitted or relied upon
                        as a basis for making licensing or
                        permitting determinations, or during
                        regulatory proceedings.

SEC. 213. [6 U.S.C. 132] DESIGNATION OF CRITICAL INFRASTRUCTURE
                    PROTECTION PROGRAM.

    A critical infrastructure protection program may be
designated as such by one of the following:
            (1) The President.
            (2) The Secretary of Homeland Security.

SEC. 214. [6 U.S.C. 123] PROTECTION OF VOLUNTARILY SHARED CRITICAL
                    INFRASTRUCTURE INFORMATION.

    (a) Protection.--
            (1) In general.--Notwithstanding any other
        provision of law, critical infrastructure information
        (including the identity of the submitting person or
        entity) that is voluntarily submitted to a covered
        Federal agency for use by that agency regarding the
        security of critical infrastructure and protected
        systems, analysis, warning, interdependency study,
        recovery, reconstitution, or other informational
        purpose, when accompanied by an express statement
        specified in paragraph (2)--
                    (A) shall be exempt from disclosure under
                section 552 of title 5, United States Code
                (commonly referred to as the Freedom of
                Information Act);
                    (B) shall not be subject to any agency
                rules or judicial doctrine regarding ex parte
                communications with a decision making official;
                    (C) shall not, without the written consent
                of the person or entity submitting such
                information, be used directly by such agency,
                any other Federal, State, or local authority,
                or any third party, in any civil action arising
                under Federal or State law if such information
                is submitted in good faith;
                    (D) shall not, without the written consent
                of the person or entity submitting such
                information, be used or disclosed by any
                officer or employee of the United States for
                purposes other than the purposes of this
                subtitle, except--
                            (i) in furtherance of an
                        investigation or the prosecution of a
                        criminal act; or
                            (ii) when disclosure of the
                        information would be--
                                    (I) to either House of
                                Congress, or to the extent of
                                matter within its jurisdiction,
                                any committee or subcommittee
                                thereof, any joint committee
                                thereof or subcommittee of any
                                such joint committee; or
                                    (II) to the Comptroller
                                General, or any authorized
                                representative of the
                                Comptroller General, in the
                                course of the performance of
                                the duties of the General
                                Accounting Office.
                    (E) shall not, if provided to a State or
                local government or government agency--
                            (i) be made available pursuant to
                        any State or local law requiring
                        disclosure of information or records;
                            (ii) otherwise be disclosed or
                        distributed to any party by said State
                        or local government or government
                        agency without the written consent of
                        the person or entity submitting such
                        information; or
                            (iii) be used other than for the
                        purpose of protecting critical
                        infrastructure or protected systems, or
                        in furtherance of an investigation or
                        the prosecution of a criminal act; and
                    (F) does not constitute a waiver of any
                applicable privilege or protection provided
                under law, such as trade secret protection.
            (2) Express statement.--For purposes of paragraph
        (1), the term ``express statement'', with respect to
        information or records, means--
                    (A) in the case of written information or
                records, a written marking on the information
                or records substantially similar to the
                following: ``This information is voluntarily
                submitted to the Federal Government in
                expectation of protection from disclosure as
                provided by the provisions of the Critical
                Infrastructure Information Act of 2002.''; or
                    (B) in the case of oral information, a
                similar written statement submitted within a
                reasonable period following the oral
                communication.
    (b) Limitation.--No communication of critical
infrastructure information to a covered Federal agency made
pursuant to this subtitle shall be considered to be an action
subject to the requirements of the Federal Advisory Committee
Act (5 U.S.C. App. 2).
    (c) Independently Obtained Information.--Nothing in this
section shall be construed to limit or otherwise affect the
ability of a State, local, or Federal Government entity,
agency, or authority, or any third party, under applicable law,
to obtain critical infrastructure information in a manner not
covered by subsection (a), including any information lawfully
and properly disclosed generally or broadly to the public and
to use such information in any manner permitted by law.
    (d) Treatment of Voluntary Submittal of Information.--The
voluntary submittal to the Government of information or records
that are protected from disclosure by this subtitle shall not
be construed to constitute compliance with any requirement to
submit such information to a Federal agency under any other
provision of law.
    (e) Procedures.--
            (1) In general.--The Secretary of the Department of
        Homeland Security shall, in consultation with
        appropriate representatives of the National Security
        Council and the Office of Science and Technology
        Policy, establish uniform procedures for the receipt,
        care, and storage by Federal agencies of critical
        infrastructure information that is voluntarily
        submitted to the Government. The procedures shall be
        established not later than 90 days after the date of
        the enactment of this subtitle.
            (2) Elements.--The procedures established under
        paragraph (1) shall include mechanisms regarding--
                    (A) the acknowledgement of receipt by
                Federal agencies of critical infrastructure
                information that is voluntarily submitted to
                the Government;
                    (B) the maintenance of the identification
                of such information as voluntarily submitted to
                the Government for purposes of and subject to
                the provisions of this subtitle;
                    (C) the care and storage of such
                information; and
                    (D) the protection and maintenance of the
                confidentiality of such information so as to
                permit the sharing of such information within
                the Federal Government and with State and local
                governments, and the issuance of notices and
                warnings related to the protection of critical
                infrastructure and protected systems, in such
                manner as to protect from public disclosure the
                identity of the submitting person or entity, or
                information that is proprietary, business
                sensitive, relates specifically to the
                submitting person or entity, and is otherwise
                not appropriately in the public domain.
    (f) Penalties.--Whoever, being an officer or employee of
the United States or of any department or agency thereof,
knowingly publishes, divulges, discloses, or makes known in any
manner or to any extent not authorized by law, any critical
infrastructure information protected from disclosure by this
subtitle coming to him in the course of this employment or
official duties or by reason of any examination or
investigation made by, or return, report, or record made to or
filed with, such department or agency or officer or employee
thereof, shall be fined under title 18 of the United States
Code, imprisoned not more than 1 year, or both, and shall be
removed from office or employment.
    (g) Authority To Issue Warnings.--The Federal Government
may provide advisories, alerts, and warnings to relevant
companies, targeted sectors, other governmental entities, or
the general public regarding potential threats to critical
infrastructure as appropriate. In issuing a warning, the
Federal Government shall take appropriate actions to protect
from disclosure--
            (1) the source of any voluntarily submitted
        critical infrastructure information that forms the
        basis for the warning; or
            (2) information that is proprietary, business
        sensitive, relates specifically to the submitting
        person or entity, or is otherwise not appropriately in
        the public domain.
    (h) Authority To Delegate.--The President may delegate
authority to a critical infrastructure protection program,
designated under section 213, to enter into a voluntary
agreement to promote critical infrastructure security,
including with any Information Sharing and Analysis
Organization, or a plan of action as otherwise defined in
section 708 of the Defense Production Act of 1950 (50 U.S.C.
App. 2158).

SEC. 215. [6 U.S.C. 134] NO PRIVATE RIGHT OF ACTION.

    Nothing in this subtitle may be construed to create a
private right of action for enforcement of any provision of
this Act.

                    Subtitle C--Information Security

SEC. 221. [6 U.S.C. 141] PROCEDURES FOR SHARING INFORMATION.

    The Secretary shall establish procedures on the use of
information shared under this title that--
            (1) limit the redissemination of such information
        to ensure that it is not used for an unauthorized
        purpose;
            (2) ensure the security and confidentiality of such
        information;
            (3) protect the constitutional and statutory rights
        of any individuals who are subjects of such
        information; and
            (4) provide data integrity through the timely
        removal and destruction of obsolete or erroneous names
        and information.

SEC. 222. [6 U.S.C. 142] PRIVACY OFFICER.

    (a) Appointment and Responsibilities.--The Secretary shall
appoint a senior official in the Department, who shall report
directly to the Secretary, to assume primary responsibility for
privacy policy, including--
            (1) assuring that the use of technologies sustain,
        and do not erode, privacy protections relating to the
        use, collection, and disclosure of personal
        information;
            (2) assuring that personal information contained in
        Privacy Act systems of records is handled in full
        compliance with fair information practices as set out
        in the Privacy Act of 1974;
            (3) evaluating legislative and regulatory proposals
        involving collection, use, and disclosure of personal
        information by the Federal Government;
            (4) conducting a privacy impact assessment of
        proposed rules of the Department or that of the
        Department on the privacy of personal information,
        including the type of personal information collected
        and the number of people affected;
            (5) coordinating with the Officer for Civil Rights
        and Civil Liberties to ensure that--
                    (A) programs, policies, and procedures
                involving civil rights, civil liberties, and
                privacy considerations are addressed in an
                integrated and comprehensive manner; and
                    (B) Congress receives appropriate reports
                on such programs, policies, and procedures; and
            (6) preparing a report to Congress on an annual
        basis on activities of the Department that affect
        privacy, including complaints of privacy violations,
        implementation of the Privacy Act of 1974, internal
        controls, and other matters.
    (b) Authority To Investigate.--
            (1) In general.--The senior official appointed
        under subsection (a) may--
                    (A) have access to all records, reports,
                audits, reviews, documents, papers,
                recommendations, and other materials available
                to the Department that relate to programs and
                operations with respect to the responsibilities
                of the senior official under this section;
                    (B) make such investigations and reports
                relating to the administration of the programs
                and operations of the Department as are, in the
                senior official's judgment, necessary or
                desirable;
                    (C) subject to the approval of the
                Secretary, require by subpoena the production,
                by any person other than a Federal agency, of
                all information, documents, reports, answers,
                records, accounts, papers, and other data and
                documentary evidence necessary to performance
                of the responsibilities of the senior official
                under this section; and
                    (D) administer to or take from any person
                an oath, affirmation, or affidavit, whenever
                necessary to performance of the
                responsibilities of the senior official under
                this section.
            (2) Enforcement of subpoenas.--Any subpoena issued
        under paragraph (1)(C) shall, in the case of contumacy
        or refusal to obey, be enforceable by order of any
        appropriate United States district court.
            (3) Effect of oaths.--Any oath, affirmation, or
        affidavit administered or taken under paragraph (1)(D)
        by or before an employee of the Privacy Office
        designated for that purpose by the senior official
        appointed under subsection (a) shall have the same
        force and effect as if administered or taken by or
        before an officer having a seal of office.
    (c) Supervision and Coordination.--
            (1) In general.--The senior official appointed
        under subsection (a) shall--
                    (A) report to, and be under the general
                supervision of, the Secretary; and
                    (B) coordinate activities with the
                Inspector General of the Department in order to
                avoid duplication of effort.
            (2) Coordination with the inspector general.--
                    (A) In general.--Except as provided in
                subparagraph (B), the senior official appointed
                under subsection (a) may investigate any matter
                relating to possible violations or abuse
                concerning the administration of any program or
                operation of the Department relevant to the
                purposes under this section.
                    (B) Coordination.--
                            (i) Referral.--Before initiating
                        any investigation described under
                        subparagraph (A), the senior official
                        shall refer the matter and all related
                        complaints, allegations, and
                        information to the Inspector General of
                        the Department.
                            (ii) Determinations and
                        notifications by the inspector
                        general.--
                                    (I) In general.--Not later
                                than 30 days after the receipt
                                of a matter referred under
                                clause (i), the Inspector
                                General shall--
                                            (aa) make a
                                        determination regarding
                                        whether the Inspector
                                        General intends to
                                        initiate an audit or
                                        investigation of the
                                        matter referred under
                                        clause (i); and
                                            (bb) notify the
                                        senior official of that
                                        determination.
                                    (II) Investigation not
                                initiated.--If the Inspector
                                General notifies the senior
                                official under subclause
                                (I)(bb) that the Inspector
                                General intended to initiate an
                                audit or investigation, but
                                does not initiate that audit or
                                investigation within 90 days
                                after providing that
                                notification, the Inspector
                                General shall further notify
                                the senior official that an
                                audit or investigation was not
                                initiated. The further
                                notification under this
                                subclause shall be made not
                                later than 3 days after the end
                                of that 90-day period.
                            (iii) Investigation by senior
                        official.--The senior official may
                        investigate a matter referred under
                        clause (i) if--
                                    (I) the Inspector General
                                notifies the senior official
                                under clause (ii)(I)(bb) that
                                the Inspector General does not
                                intend to initiate an audit or
                                investigation relating to that
                                matter; or
                                    (II) the Inspector General
                                provides a further notification
                                under clause (ii)(II) relating
                                to that matter.
                            (iv) Privacy training.--Any
                        employee of the Office of Inspector
                        General who audits or investigates any
                        matter referred under clause (i) shall
                        be required to receive adequate
                        training on privacy laws, rules, and
                        regulations, to be provided by an
                        entity approved by the Inspector
                        General in consultation with the senior
                        official appointed under subsection
                        (a).
    (d) Notification to Congress on Removal.--If the Secretary
removes the senior official appointed under subsection (a) or
transfers that senior official to another position or location
within the Department, the Secretary shall--
            (1) promptly submit a written notification of the
        removal or transfer to Houses of Congress; and
            (2) include in any such notification the reasons
        for the removal or transfer.
    (e) Reports by Senior Official to Congress.--The senior
official appointed under subsection (a) shall--
            (1) submit reports directly to the Congress
        regarding performance of the responsibilities of the
        senior official under this section, without any prior
        comment or amendment by the Secretary, Deputy
        Secretary, or any other officer or employee of the
        Department or the Office of Management and Budget; and
            (2) inform the Committee on Homeland Security and
        Governmental Affairs of the Senate and the Committee on
        Homeland Security of the House of Representatives not
        later than--
                    (A) 30 days after the Secretary disapproves
                the senior official's request for a subpoena
                under subsection (b)(1)(C) or the Secretary
                substantively modifies the requested subpoena;
                or
                    (B) 45 days after the senior official's
                request for a subpoena under subsection
                (b)(1)(C), if that subpoena has not either been
                approved or disapproved by the Secretary.

SEC. 223. [6 U.S.C. 143] ENHANCEMENT OF NON-FEDERAL CYBERSECURITY.

    In carrying out the responsibilities under section 201, the
Under Secretary for Intelligence and Analysis, in cooperation
with the Assistant Secretary for Infrastructure Protection
shall--
            (1) as appropriate, provide to State and local
        government entities, and upon request to private
        entities that own or operate critical information
        systems--
                    (A) analysis and warnings related to
                threats to, and vulnerabilities of, critical
                information systems; and
                    (B) in coordination with the Under
                Secretary for Emergency Preparedness and
                Response, crisis management support in response
                to threats to, or attacks on, critical
                information systems; and
            (2) as appropriate, provide technical assistance,
        upon request, to the private sector and other
        government entities, in coordination with the Under
        Secretary for Emergency Preparedness and Response, with
        respect to emergency recovery plans to respond to major
        failures of critical information systems.

SEC. 224. [6 U.S.C. 144] NET GUARD.

    The Assistant Secretary for Infrastructure Protection may
establish a national technology guard, to be known as ``NET
Guard'', comprised of local teams of volunteers with expertise
in relevant areas of science and technology, to assist local
communities to respond and recover from attacks on information
systems and communications networks.

SEC. 225. [6 U.S.C. 145] CYBER SECURITY ENHANCEMENT ACT OF 2002.

    (a) Short Title.--This section may be cited as the ``Cyber
Security Enhancement Act of 2002''.
    (b) Amendment of Sentencing Guidelines Relating to Certain
Computer Crimes.--
            (1) Directive to the united states sentencing
        commission.--Pursuant to its authority under section
        994(p) of title 28, United States Code, and in
        accordance with this subsection, the United States
        Sentencing Commission shall review and, if appropriate,
        amend its guidelines and its policy statements
        applicable to persons convicted of an offense under
        section 1030 of title 18, United States Code.
            (2) Requirements.--In carrying out this subsection,
        the Sentencing Commission shall--
                    (A) ensure that the sentencing guidelines
                and policy statements reflect the serious
                nature of the offenses described in paragraph
                (1), the growing incidence of such offenses,
                and the need for an effective deterrent and
                appropriate punishment to prevent such
                offenses;
                    (B) consider the following factors and the
                extent to which the guidelines may or may not
                account for them--
                            (i) the potential and actual loss
                        resulting from the offense;
                            (ii) the level of sophistication
                        and planning involved in the offense;
                            (iii) whether the offense was
                        committed for purposes of commercial
                        advantage or private financial benefit;
                            (iv) whether the defendant acted
                        with malicious intent to cause harm in
                        committing the offense;
                            (v) the extent to which the offense
                        violated the privacy rights of
                        individuals harmed;
                            (vi) whether the offense involved a
                        computer used by the government in
                        furtherance of national defense,
                        national security, or the
                        administration of justice;
                            (vii) whether the violation was
                        intended to or had the effect of
                        significantly interfering with or
                        disrupting a critical infrastructure;
                        and
                            (viii) whether the violation was
                        intended to or had the effect of
                        creating a threat to public health or
                        safety, or injury to any person;
                    (C) assure reasonable consistency with
                other relevant directives and with other
                sentencing guidelines;
                    (D) account for any additional aggravating
                or mitigating circumstances that might justify
                exceptions to the generally applicable
                sentencing ranges;
                    (E) make any necessary conforming changes
                to the sentencing guidelines; and
                    (F) assure that the guidelines adequately
                meet the purposes of sentencing as set forth in
                section 3553(a)(2) of title 18, United States
                Code.
    (c) Study and Report on Computer Crimes.--Not later than
May 1, 2003, the United States Sentencing Commission shall
submit a brief report to Congress that explains any actions
taken by the Sentencing Commission in response to this section
and includes any recommendations the Commission may have
regarding statutory penalties for offenses under section 1030
of title 18, United States Code.
    (d) Emergency Disclosure Exception.--
            (1)  * * *

           *       *       *       *       *       *       *

            (2) Reporting of disclosures.--A government entity
        that receives a disclosure under section 2702(b) of
        title 18, United States Code, shall file, not later
        than 90 days after such disclosure, a report to the
        Attorney General stating the paragraph of that section
        under which the disclosure was made, the date of the
        disclosure, the entity to which the disclosure was
        made, the number of customers or subscribers to whom
        the information disclosed pertained, and the number of
        communications, if any, that were disclosed. The
        Attorney General shall publish all such reports into a
        single report to be submitted to Congress 1 year after
        the date of enactment of this Act.

           *       *       *       *       *       *       *


              Subtitle D--Office of Science and Technology

SEC. 231. [6 U.S.C. 161] ESTABLISHMENT OF OFFICE; DIRECTOR.

    (a) Establishment.--
            (1) In general.--There is hereby established within
        the Department of Justice an Office of Science and
        Technology (hereinafter in this title referred to as
        the ``Office'').
            (2) Authority.--The Office shall be under the
        general authority of the Assistant Attorney General,
        Office of Justice Programs, and shall be established
        within the National Institute of Justice.
    (b) Director.--The Office shall be headed by a Director,
who shall be an individual appointed based on approval by the
Office of Personnel Management of the executive qualifications
of the individual.

SEC. 232. [6 U.S.C. 162] MISSION OF OFFICE; DUTIES.

    (a) Mission.--The mission of the Office shall be--
            (1) to serve as the national focal point for work
        on law enforcement technology; and
            (2) to carry out programs that, through the
        provision of equipment, training, and technical
        assistance, improve the safety and effectiveness of law
        enforcement technology and improve access to such
        technology by Federal, State, and local law enforcement
        agencies.
    (b) Duties.--In carrying out its mission, the Office shall
have the following duties:
            (1) To provide recommendations and advice to the
        Attorney General.
            (2) To establish and maintain advisory groups
        (which shall be exempt from the provisions of the
        Federal Advisory Committee Act (5 U.S.C. App.)) to
        assess the law enforcement technology needs of Federal,
        State, and local law enforcement agencies.
            (3) To establish and maintain performance standards
        in accordance with the National Technology Transfer and
        Advancement Act of 1995 (Public Law 104-113) for, and
        test and evaluate law enforcement technologies that may
        be used by, Federal, State, and local law enforcement
        agencies.
            (4) To establish and maintain a program to certify,
        validate, and mark or otherwise recognize law
        enforcement technology products that conform to
        standards established and maintained by the Office in
        accordance with the National Technology Transfer and
        Advancement Act of 1995 (Public Law 104-113). The
        program may, at the discretion of the Office, allow for
        supplier's declaration of conformity with such
        standards.
            (5) To work with other entities within the
        Department of Justice, other Federal agencies, and the
        executive office of the President to establish a
        coordinated Federal approach on issues related to law
        enforcement technology.
            (6) To carry out research, development, testing,
        evaluation, and cost-benefit analyses in fields that
        would improve the safety, effectiveness, and efficiency
        of law enforcement technologies used by Federal, State,
        and local law enforcement agencies, including, but not
        limited to--
                    (A) weapons capable of preventing use by
                unauthorized persons, including personalized
                guns;
                    (B) protective apparel;
                    (C) bullet-resistant and explosion-
                resistant glass;
                    (D) monitoring systems and alarm systems
                capable of providing precise location
                information;
                    (E) wire and wireless interoperable
                communication technologies;
                    (F) tools and techniques that facilitate
                investigative and forensic work, including
                computer forensics;
                    (G) equipment for particular use in
                counterterrorism, including devices and
                technologies to disable terrorist devices;
                    (H) guides to assist State and local law
                enforcement agencies;
                    (I) DNA identification technologies; and
                    (J) tools and techniques that facilitate
                investigations of computer crime.
            (7) To administer a program of research,
        development, testing, and demonstration to improve the
        interoperability of voice and data public safety
        communications.
            (8) To serve on the Technical Support Working Group
        of the Department of Defense, and on other relevant
        interagency panels, as requested.
            (9) To develop, and disseminate to State and local
        law enforcement agencies, technical assistance and
        training materials for law enforcement personnel,
        including prosecutors.
            (10) To operate the regional National Law
        Enforcement and Corrections Technology Centers and, to
        the extent necessary, establish additional centers
        through a competitive process.
            (11) To administer a program of acquisition,
        research, development, and dissemination of advanced
        investigative analysis and forensic tools to assist
        State and local law enforcement agencies in combating
        cybercrime.
            (12) To support research fellowships in support of
        its mission.
            (13) To serve as a clearinghouse for information on
        law enforcement technologies.
            (14) To represent the United States and State and
        local law enforcement agencies, as requested, in
        international activities concerning law enforcement
        technology.
            (15) To enter into contracts and cooperative
        agreements and provide grants, which may require in-
        kind or cash matches from the recipient, as necessary
        to carry out its mission.
            (16) To carry out other duties assigned by the
        Attorney General to accomplish the mission of the
        Office.
    (c) Competition Required.--Except as otherwise expressly
provided by law, all research and development carried out by or
through the Office shall be carried out on a competitive basis.
    (d) Information From Federal Agencies.--Federal agencies
shall, upon request from the Office and in accordance with
Federal law, provide the Office with any data, reports, or
other information requested, unless compliance with such
request is otherwise prohibited by law.
    (e) Publications.--Decisions concerning publications issued
by the Office shall rest solely with the Director of the
Office.
    (f) Transfer of Funds.--The Office may transfer funds to
other Federal agencies or provide funding to non-Federal
entities through grants, cooperative agreements, or contracts
to carry out its duties under this section: Provided, That any
such transfer or provision of funding shall be carried out in
accordance with section 605 of Public Law 107-77.
    (g) Annual Report.--The Director of the Office shall
include with the budget justification materials submitted to
Congress in support of the Department of Justice budget for
each fiscal year (as submitted with the budget of the President
under section 1105(a) of title 31, United States Code) a report
on the activities of the Office. Each such report shall include
the following:
            (1) For the period of 5 fiscal years beginning with
        the fiscal year for which the budget is submitted--
                    (A) the Director's assessment of the needs
                of Federal, State, and local law enforcement
                agencies for assistance with respect to law
                enforcement technology and other matters
                consistent with the mission of the Office; and
                    (B) a strategic plan for meeting such needs
                of such law enforcement agencies.
            (2) For the fiscal year preceding the fiscal year
        for which such budget is submitted, a description of
        the activities carried out by the Office and an
        evaluation of the extent to which those activities
        successfully meet the needs assessed under paragraph
        (1)(A) in previous reports.

SEC. 233. [6 U.S.C. 163] DEFINITION OF LAW ENFORCEMENT TECHNOLOGY.

    For the purposes of this title, the term ``law enforcement
technology'' includes investigative and forensic technologies,
corrections technologies, and technologies that support the
judicial process.

SEC. 234. [6 U.S.C. 164] ABOLISHMENT OF OFFICE OF SCIENCE AND
                    TECHNOLOGY OF NATIONAL INSTITUTE OF JUSTICE;
                    TRANSFER OF FUNCTIONS.

    (a) Authority To Transfer Functions.--The Attorney General
may transfer to the Office any other program or activity of the
Department of Justice that the Attorney General, in
consultation with the Committee on the Judiciary of the Senate
and the Committee on the Judiciary of the House of
Representatives, determines to be consistent with the mission
of the Office.
    (b) Transfer of Personnel and Assets.--With respect to any
function, power, or duty, or any program or activity, that is
established in the Office, those employees and assets of the
element of the Department of Justice from which the transfer is
made that the Attorney General determines are needed to perform
that function, power, or duty, or for that program or activity,
as the case may be, shall be transferred to the Office:
Provided, That any such transfer shall be carried out in
accordance with section 605 of Public Law 107-77.
    (c) Report on Implementation.--Not later than 1 year after
the date of the enactment of this Act, the Attorney General
shall submit to the Committee on the Judiciary of the Senate
and the Committee on the Judiciary of the House of
Representatives a report on the implementation of this title.
The report shall--
            (1) provide an accounting of the amounts and
        sources of funding available to the Office to carry out
        its mission under existing authorizations and
        appropriations, and set forth the future funding needs
        of the Office; and
            (2) include such other information and
        recommendations as the Attorney General considers
        appropriate.

SEC. 235. [6 U.S.C. 165] NATIONAL LAW ENFORCEMENT AND CORRECTIONS
                    TECHNOLOGY CENTERS.

    (a) In General.--The Director of the Office shall operate
and support National Law Enforcement and Corrections Technology
Centers (hereinafter in this section referred to as
``Centers'') and, to the extent necessary, establish new
centers through a merit-based, competitive process.
    (b) Purpose of Centers.--The purpose of the Centers shall
be to--
            (1) support research and development of law
        enforcement technology;
            (2) support the transfer and implementation of
        technology;
            (3) assist in the development and dissemination of
        guidelines and technological standards; and
            (4) provide technology assistance, information, and
        support for law enforcement, corrections, and criminal
        justice purposes.
    (c) Annual Meeting.--Each year, the Director shall convene
a meeting of the Centers in order to foster collaboration and
communication between Center participants.
    (d) Report.--Not later than 12 months after the date of the
enactment of this Act, the Director shall transmit to the
Congress a report assessing the effectiveness of the existing
system of Centers and identify the number of Centers necessary
to meet the technology needs of Federal, State, and local law
enforcement in the United States.

           *       *       *       *       *       *       *


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

SEC. 301. [6 U.S.C. 181] 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. [6 U.S.C. 182] RESPONSIBILITIES AND AUTHORITIES OF THE UNDER
                    SECRETARY FOR SCIENCE AND TECHNOLOGY.

    The Secretary, acting through the Under Secretary for
Science and Technology, shall have the responsibility for--
            (1) advising the Secretary regarding research and
        development efforts and priorities in support of the
        Department's missions;
            (2) developing, in consultation with other
        appropriate executive agencies, a national policy and
        strategic plan for, identifying priorities, goals,
        objectives and policies for, and coordinating the
        Federal Government's civilian efforts to identify and
        develop countermeasures to chemical, biological,, \1\
        and other emerging terrorist threats, including the
        development of comprehensive, research-based definable
        goals for such efforts and development of annual
        measurable objectives and specific targets to
        accomplish and evaluate the goals for such efforts;
---------------------------------------------------------------------------
    \1\ Two commas so in law. See section 501(b)(2)(A) of Public Law
109-347 (120 Stat. 1935).
---------------------------------------------------------------------------
            (3) supporting the Under Secretary for Intelligence
        and Analysis and the Assistant Secretary for
        Infrastructure Protection, by assessing and testing
        homeland security vulnerabilities and possible threats;
            (4) conducting basic and applied research,
        development, demonstration, testing, and evaluation
        activities that are relevant to any or all elements of
        the Department, through both intramural and extramural
        programs, except that such responsibility does not
        extend to human health-related research and development
        activities;
            (5) establishing priorities for, directing,
        funding, and conducting national research, development,
        test and evaluation, and procurement of technology and
        systems for--
                    (A) preventing the importation of chemical,
                biological,, \1\ and related weapons and
                material; and
---------------------------------------------------------------------------
    \1\ Two commas so in law. See section 501(b)(2)(B) of Public Law
109-347 (120 Stat. 1935).
---------------------------------------------------------------------------
                    (B) 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 work agreements, joint
        sponsorships, contracts, or any other 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
        and the Attorney General as provided in section 212 of
        the Agricultural Bioterrorism Protection Act of 2002 (7
        U.S.C. 8401), as amended by section 1709(b);
            (9) collaborating with the Secretary of Health and
        Human Services and the Attorney General in determining
        any new 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);
            (10) supporting United States leadership in science
        and technology;
            (11) establishing and administering the primary
        research and development activities of the Department,
        including the long-term research and development needs
        and capabilities for all elements of the Department;
            (12) coordinating and integrating all research,
        development, demonstration, testing, and evaluation
        activities of the Department;
            (13) coordinating with other appropriate executive
        agencies in developing and carrying out the science and
        technology agenda of the Department to reduce
        duplication and identify unmet needs; and
            (14) developing and overseeing the administration
        of guidelines for merit review of research and
        development projects throughout the Department, and for
        the dissemination of research conducted or sponsored by
        the Department.

SEC. 303. [6 U.S.C. 183] FUNCTIONS TRANSFERRED.

    In accordance with title XV, 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.

SEC. 304. [6 U.S.C. 184] CONDUCT OF CERTAIN PUBLIC HEALTH-RELATED
                    ACTIVITIES.

    (a) In General.--With respect to civilian human health-
related research and development activities relating to
countermeasures for 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, goals, objectives, and policies and
develop a coordinated strategy for such activities in
collaboration with the Secretary of Homeland Security to ensure
consistency with the national policy and strategic plan
developed pursuant to section 302(2).
    (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. 305. [6 U.S.C. 185] FEDERALLY FUNDED RESEARCH AND DEVELOPMENT
                    CENTERS.

    The Secretary, acting through the Under Secretary for
Science and Technology, shall have the authority to establish
or contract with 1 or more federally funded research and
development centers to provide independent analysis of homeland
security issues, or to carry out other responsibilities under
this Act, including coordinating and integrating both the
extramural and intramural programs described in section 308.

SEC. 306. [6 U.S.C. 186] MISCELLANEOUS PROVISIONS.

    (a) Classification.--To the greatest extent practicable,
research conducted or supported by the Department shall be
unclassified.
    (b) Construction.--Nothing in this title shall be construed
to preclude any Under Secretary of the Department from carrying
out research, development, demonstration, or deployment
activities, as long as such activities are coordinated through
the Under Secretary for Science and Technology.
    (c) Regulations.--The Secretary, acting through the Under
Secretary for Science and Technology, may issue necessary
regulations with respect to research, development,
demonstration, testing, and evaluation activities of the
Department, including the conducting, funding, and reviewing of
such activities.
    (d) Notification of Presidential Life Sciences
Designations.--Not later than 60 days before effecting any
transfer of Department of Energy life sciences activities
pursuant to section 303(1)(D) of this Act, the President shall
notify the appropriate congressional committees of the proposed
transfer and shall include the reasons for the transfer and a
description of the effect of the transfer on the activities of
the Department of Energy.

SEC. 307. [6 U.S.C. 187] 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 in subsection (c).
            (2) Homeland security research.--The term
        ``homeland security research'' means research relevant
        to 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
        in subsection (b).
            (4) Under secretary.--The term ``Under Secretary''
        means the Under Secretary for Science and Technology.
    (b) Homeland Security Advanced Research Projects Agency.--
            (1) Establishment.--There is established the
        Homeland Security Advanced Research Projects Agency.
            (2) Director.--HSARPA shall be headed by a
        Director, who shall be appointed by the Secretary. The
        Director shall report to the Under Secretary.
            (3) Responsibilities.--The Director shall
        administer the Fund to award competitive, merit-
        reviewed grants, cooperative agreements or contracts to
        public or private entities, including businesses,
        federally funded research and development centers, and
        universities. The Director shall administer the Fund
        to--
                    (A) support basic and applied homeland
                security research to promote revolutionary
                changes in technologies that would promote
                homeland security;
                    (B) advance the development, testing and
                evaluation, and deployment of critical homeland
                security technologies; and
                    (C) accelerate the prototyping and
                deployment of technologies that would address
                homeland security vulnerabilities.
            (4) Targeted competitions.--The Director may
        solicit proposals to address specific vulnerabilities
        identified by the Director.
            (5) Coordination.--The Director shall ensure that
        the activities of HSARPA are coordinated with those of
        other relevant research agencies, and may run projects
        jointly with other agencies.
            (6) Personnel.--In hiring personnel for HSARPA, the
        Secretary shall have the 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). 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.
            (7) Demonstrations.--The Director, periodically,
        shall hold homeland security technology demonstrations
        to improve contact among technology developers, vendors
        and acquisition personnel.
    (c) Fund.--
            (1) Establishment.--There is established the
        Acceleration Fund for Research and Development of
        Homeland Security Technologies, which shall be
        administered by the Director of HSARPA.
            (2) 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
        thereafter.
            (3) Coast guard.--Of the funds authorized to be
        appropriated under paragraph (2), 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.

SEC. 308. [6 U.S.C. 188] CONDUCT OF RESEARCH, DEVELOPMENT,
                    DEMONSTRATION, TESTING AND EVALUATION.

    (a) In General.--The Secretary, acting through the Under
Secretary for Science and Technology, shall carry out the
responsibilities under section 302(4) through both extramural
and intramural programs.
    (b) Extramural Programs.--
            (1) In general.--The Secretary, acting through the
        Under Secretary for Science and Technology, shall
        operate extramural research, development,
        demonstration, testing, and evaluation programs so as
        to--
                    (A) ensure that colleges, universities,
                private research institutes, and companies (and
                consortia thereof) from as many areas of the
                United States as practicable participate;
                    (B) ensure that the research funded is of
                high quality, as determined through merit
                review processes developed under section
                302(14); and
                    (C) distribute funds through grants,
                cooperative agreements, and contracts.
            (2) University-based centers for homeland
        security.--
                    (A) Designation.--The Secretary, acting
                through the Under Secretary for Science and
                Technology, shall designate a university-based
                center or several university-based centers for
                homeland security. The purpose of the center or
                these centers shall be to establish a
                coordinated, university-based system to enhance
                the Nation's homeland security.
                    (B) Criteria for designation.--Criteria for
                the designation of colleges or universities as
                a center for homeland security, shall include,
                but are not limited to, demonstrated expertise
                in--
                            (i) The training of first
                        responders.
                            (ii) Responding to incidents
                        involving weapons of mass destruction
                        and biological warfare.
                            (iii) Emergency and diagnostic
                        medical services.
                            (iv) Chemical, biological,
                        radiological, and nuclear
                        countermeasures or detection.
                            (v) Animal and plant health and
                        diagnostics.
                            (vi) Food safety.
                            (vii) Water and wastewater
                        operations.
                            (viii) Port and waterway security.
                            (ix) Multi-modal transportation.
                            (x) Information security and
                        information engineering.
                            (xi) Engineering.
                            (xii) Educational outreach and
                        technical assistance.
                            (xiii) Border transportation and
                        security.
                            (xiv) The public policy
                        implications and public dissemination
                        of homeland security related research
                        and development.
                    (C) Discretion of secretary.--To the extent
                that exercising such discretion is in the
                interest of homeland security, and with respect
                to the designation of any given university-
                based center for homeland security, the
                Secretary may except certain criteria as
                specified in section 308(b)(2)(B) and consider
                additional criteria beyond those specified in
                section 308(b)(2)(B). Upon designation of a
                university-based center for homeland security,
                the Secretary shall that day publish in the
                Federal Register the criteria that were
                excepted or added in the selection process and
                the justification for the set of criteria that
                were used for that designation.
                    (D) Report to congress.--The Secretary
                shall report annually, from the date of
                enactment, to Congress concerning the
                implementation of this section. That report
                shall indicate which center or centers have
                been designated and how the designation or
                designations enhance homeland security, as well
                as report any decisions to revoke or modify
                such designations.
                    (E) Authorization of appropriations.--There
                are authorized to be appropriated such sums as
                may be necessary to carry out this paragraph.
    (c) Intramural Programs.--
            (1) Consultation.--In carrying out the duties under
        section 302, the Secretary, acting through the Under
        Secretary for Science and Technology, may draw upon the
        expertise of any laboratory of the Federal Government,
        whether operated by a contractor or the Government.
            (2) Laboratories.--The Secretary, acting through
        the Under Secretary for Science and Technology, may
        establish a headquarters laboratory for the Department
        at any laboratory or site and may establish additional
        laboratory units at other laboratories or sites.
            (3) Criteria for headquarters laboratory.--If the
        Secretary chooses to establish a headquarters
        laboratory pursuant to paragraph (2), then the
        Secretary shall do the following:
                    (A) Establish criteria for the selection of
                the headquarters laboratory in consultation
                with the National Academy of Sciences,
                appropriate Federal agencies, and other
                experts.
                    (B) Publish the criteria in the Federal
                Register.
                    (C) Evaluate all appropriate laboratories
                or sites against the criteria.
                    (D) Select a laboratory or site on the
                basis of the criteria.
                    (E) Report to the appropriate congressional
                committees on which laboratory was selected,
                how the selected laboratory meets the published
                criteria, and what duties the headquarters
                laboratory shall perform.
            (4) Limitation on operation of laboratories.--No
        laboratory shall begin operating as the headquarters
        laboratory of the Department until at least 30 days
        after the transmittal of the report required by
        paragraph (3)(E).

SEC. 309. [6 U.S.C. 189] UTILIZATION OF DEPARTMENT OF ENERGY NATIONAL
                    LABORATORIES AND SITES IN SUPPORT OF HOMELAND
                    SECURITY ACTIVITIES.

    (a) Authority to Utilize National Laboratories and Sites.--
            (1) In general.--In carrying out the missions of
        the Department, the Secretary may utilize the
        Department of Energy national laboratories and sites
        through any 1 or more of the following methods, as the
        Secretary considers appropriate:
                    (A) A joint sponsorship arrangement
                referred to in subsection (b).
                    (B) A direct contract between the
                Department and the applicable Department of
                Energy laboratory or site, subject to
                subsection (c).
                    (C) Any ``work for others'' basis made
                available by that laboratory or site.
                    (D) Any other method provided by law.
            (2) Acceptance and Performance by Labs and Sites.--
        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 and perform work for the Secretary, consistent
        with resources provided, and perform such work on an
        equal basis to other missions at the laboratory and not
        on a noninterference basis with other missions of such
        laboratory or site.
    (b) Joint Sponsorship Arrangements.--
            (1) Laboratories.--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.
            (2) Sites.--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.
            (3) Primary sponsor.--The Department of Energy
        shall be the primary sponsor under a multiple agency
        sponsorship arrangement referred to in paragraph (1) or
        (2).
            (4) Lead agent.--The Secretary of Energy shall act
        as the lead agent in coordinating the formation and
        performance of a joint sponsorship arrangement under
        this subsection between the Department and a Department
        of Energy national laboratory or site.
            (5) Federal acquisition regulation.--Any work
        performed by a Department of Energy national laboratory
        or site under a joint sponsorship arrangement under
        this subsection shall comply with the policy on the use
        of federally funded research and development centers
        under the Federal Acquisition Regulations.
            (6) Funding.--The Department shall provide funds
        for work at the Department of Energy national
        laboratories or sites, as the case may be, under a
        joint sponsorship arrangement under this subsection
        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 this
        subsection.
    (c) Separate Contracting.--To the extent that programs or
activities transferred by this Act from the Department of
Energy to the Department of Homeland Security are being carried
out through direct contracts with the operator of a national
laboratory or site of the Department of Energy, the Secretary
of Homeland Security and the Secretary of Energy shall ensure
that direct contracts for such programs and activities between
the Department of Homeland Security and such operator are
separate from the direct contracts of the Department of Energy
with such operator.
    (d) Authority With Respect to Cooperative Research and
Development Agreements and Licensing Agreements.--In connection
with any utilization of the Department of Energy national
laboratories and sites under this section, the Secretary may
permit the director of any such 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 that
Act (15 U.S.C. 3710, 3710a).
    (e) Reimbursement of Costs.--In the case of an activity
carried out by the operator of a Department of Energy national
laboratory or site in connection with any utilization of such
laboratory or site under this section, the Department of
Homeland Security shall reimburse the Department of Energy for
costs of such activity through a method under which the
Secretary of Energy waives any requirement for the Department
of Homeland Security to pay administrative charges or personnel
costs of the Department of Energy or its contractors in excess
of the amount that the Secretary of Energy pays for an activity
carried out by such contractor and paid for by the Department
of Energy.
    (f) Laboratory Directed Research and Development by the
Department of Energy.--No funds authorized to be appropriated
or otherwise made available to the Department in any fiscal
year may be obligated or expended for laboratory directed
research and development activities carried out by the
Department of Energy unless such activities support the
missions of the Department of Homeland Security.
    (g) 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 under this section in a manner
to create a networked laboratory system for the purpose of
supporting the missions of the Department.
    (h) Department of Energy Coordination on Homeland Security
Related Research.--The Secretary of Energy shall ensure that
any research, development, test, and evaluation activities
conducted within the Department of Energy that are directly or
indirectly related to homeland security are fully coordinated
with the Secretary to minimize duplication of effort and
maximize the effective application of Federal budget resources.

SEC. 310. [6 U.S.C. 190] TRANSFER OF PLUM ISLAND ANIMAL DISEASE CENTER,
                    DEPARTMENT OF AGRICULTURE.

    (a) In General.--In accordance with title XV, 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 1501).

SEC. 311. [6 U.S.C. 191] HOMELAND SECURITY SCIENCE AND TECHNOLOGY
                    ADVISORY COMMITTEE.

    (a) Establishment.--There is established within the
Department a Homeland Security Science and Technology Advisory
Committee (in this section referred to as the ``Advisory
Committee''). The Advisory Committee shall make recommendations
with respect to the activities of the Under Secretary for
Science and Technology, including identifying research areas of
potential importance to the security of the Nation.
    (b) Membership.--
            (1) Appointment.--The Advisory Committee shall
        consist of 20 members appointed by the Under Secretary
        for Science and Technology, which shall include
        emergency first-responders or representatives of
        organizations or associations of emergency first-
        responders. The Advisory Committee shall also include
        representatives of citizen groups, including
        economically disadvantaged communities. The individuals
        appointed as members of the Advisory Committee--
                    (A) shall be eminent in fields such as
                emergency response, research, engineering, new
                product development, business, and management
                consulting;
                    (B) shall be selected solely on the basis
                of established records of distinguished
                service;
                    (C) shall not be employees of the Federal
                Government; and
                    (D) shall be so selected as to provide
                representation of a cross-section of the
                research, development, demonstration, and
                deployment activities supported by the Under
                Secretary for Science and Technology.
            (2) National research council.--The Under Secretary
        for Science and Technology may enter into an
        arrangement for the National Research Council to select
        members of the Advisory Committee, but only if the
        panel used by the National Research Council reflects
        the representation described in paragraph (1).
    (c) Terms of Office.--
            (1) In general.--Except as otherwise provided in
        this subsection, the term of office of each member of
        the Advisory Committee shall be 3 years.
            (2) Original appointments.--The original members of
        the Advisory Committee shall be appointed to three
        classes. One class of six shall have a term of 1 year,
        one class of seven a term of 2 years, and one class of
        seven a term of 3 years.
            (3) Vacancies.--A member appointed to fill a
        vacancy occurring before the expiration of the term for
        which the member's predecessor was appointed shall be
        appointed for the remainder of such term.
    (d) Eligibility.--A person who has completed two
consecutive full terms of service on the Advisory Committee
shall thereafter be ineligible for appointment during the 1-
year period following the expiration of the second such term.
    (e) Meetings.--The Advisory Committee shall meet at least
quarterly at the call of the Chair or whenever one-third of the
members so request in writing. Each member shall be given
appropriate notice of the call of each meeting, whenever
possible not less than 15 days before the meeting.
    (f) Quorum.--A majority of the members of the Advisory
Committee not having a conflict of interest in the matter being
considered by the Advisory Committee shall constitute a quorum.
    (g) Conflict of Interest Rules.--The Advisory Committee
shall establish rules for determining when 1 of its members has
a conflict of interest in a matter being considered by the
Advisory Committee.
    (h) Reports.--
            (1) Annual report.--The Advisory Committee shall
        render an annual report to the Under Secretary for
        Science and Technology for transmittal to Congress on
        or before January 31 of each year. Such report shall
        describe the activities and recommendations of the
        Advisory Committee during the previous year.
            (2) Additional reports.--The Advisory Committee may
        render to the Under Secretary for transmittal to
        Congress such additional reports on specific policy
        matters as it considers appropriate.
    (i) Federal Advisory Committee Act Exemption.--Section 14
of the Federal Advisory Committee Act shall not apply to the
Advisory Committee.
    (j) Termination.--The Department of Homeland Security
Science and Technology Advisory Committee shall terminate on
December 31, 2008.

SEC. 312. [6 U.S.C. 192] HOMELAND SECURITY INSTITUTE.

    (a) Establishment.--The Secretary shall establish a
federally funded research and development center to be known as
the ``Homeland Security Institute'' (in this section referred
to as the ``Institute'').
    (b) Administration.--The Institute shall be administered as
a separate entity by the Secretary.
    (c) Duties.--The duties of the Institute shall be
determined by the Secretary, and may include the following:
            (1) Systems analysis, risk analysis, and simulation
        and modeling to determine the vulnerabilities of the
        Nation's critical infrastructures and the effectiveness
        of the systems deployed to reduce those
        vulnerabilities.
            (2) Economic and policy analysis to assess the
        distributed costs and benefits of alternative
        approaches to enhancing security.
            (3) Evaluation of the effectiveness of measures
        deployed to enhance the security of institutions,
        facilities, and infrastructure that may be terrorist
        targets.
            (4) Identification of instances when common
        standards and protocols could improve the
        interoperability and effective utilization of tools
        developed for field operators and first responders.
            (5) Assistance for Federal agencies and departments
        in establishing testbeds to evaluate the effectiveness
        of technologies under development and to assess the
        appropriateness of such technologies for deployment.
            (6) Design of metrics and use of those metrics to
        evaluate the effectiveness of homeland security
        programs throughout the Federal Government, including
        all national laboratories.
            (7) Design of and support for the conduct of
        homeland security-related exercises and simulations.
            (8) Creation of strategic technology development
        plans to reduce vulnerabilities in the Nation's
        critical infrastructure and key resources.
    (d) Consultation on Institute Activities.--In carrying out
the duties described in subsection (c), the Institute shall
consult widely with representatives from private industry,
institutions of higher education, nonprofit institutions, other
Government agencies, and federally funded research and
development centers.
    (e) Use of Centers.--The Institute shall utilize the
capabilities of the National Infrastructure Simulation and
Analysis Center.
    (f) Annual Reports.--The Institute shall transmit to the
Secretary and Congress an annual report on the activities of
the Institute under this section.
    (g) Termination.--The Homeland Security Institute shall
terminate 5 years after its establishment.

SEC. 313. [6 U.S.C. 193] TECHNOLOGY CLEARINGHOUSE TO ENCOURAGE AND
                    SUPPORT INNOVATIVE SOLUTIONS TO ENHANCE HOMELAND
                    SECURITY.

    (a) Establishment of Program.--The Secretary, acting
through the Under Secretary for Science and Technology, shall
establish and promote a program to encourage technological
innovation in facilitating the mission of the Department (as
described in section 101).
    (b) Elements of Program.--The program described in
subsection (a) shall include the following components:
            (1) The establishment of a centralized Federal
        clearinghouse for information relating to technologies
        that would further the mission of the Department for
        dissemination, as appropriate, to Federal, State, and
        local government and private sector entities for
        additional review, purchase, or use.
            (2) The issuance of announcements seeking unique
        and innovative technologies to advance the mission of
        the Department.
            (3) The establishment of a technical assistance
        team to assist in screening, as appropriate, proposals
        submitted to the Secretary (except as provided in
        subsection (c)(2)) to assess the feasibility,
        scientific and technical merits, and estimated cost of
        such proposals, as appropriate.
            (4) The provision of guidance, recommendations, and
        technical assistance, as appropriate, to assist
        Federal, State, and local government and private sector
        efforts to evaluate and implement the use of
        technologies described in paragraph (1) or (2).
            (5) The provision of information for persons
        seeking guidance on how to pursue proposals to develop
        or deploy technologies that would enhance homeland
        security, including information relating to Federal
        funding, regulation, or acquisition.
    (c) Miscellaneous Provisions.--
            (1) In general.--Nothing in this section shall be
        construed as authorizing the Secretary or the technical
        assistance team established under subsection (b)(3) to
        set standards for technology to be used by the
        Department, any other executive agency, any State or
        local government entity, or any private sector entity.
            (2) Certain proposals.--The technical assistance
        team established under subsection (b)(3) shall not
        consider or evaluate proposals submitted in response to
        a solicitation for offers for a pending procurement or
        for a specific agency requirement.
            (3) Coordination.--In carrying out this section,
        the Secretary shall coordinate with the Technical
        Support Working Group (organized under the April 1982
        National Security Decision Directive Numbered 30).

SEC. 314. OFFICE FOR INTEROPERABILITY AND COMPATIBILITY.

    (a) Clarification of Responsibilities.--The Director of the
Office for Interoperability and Compatibility shall--
            (1) assist the Secretary in developing and
        implementing the science and technology aspects of the
        program described in subparagraphs (D), (E), (F), and
        (G) of section 7303(a)(1) of the Intelligence Reform
        and Terrorism Prevention Act of 2004 (6 U.S.C.
        194(a)(1));
            (2) in coordination with the Federal Communications
        Commission, the National Institute of Standards and
        Technology, and other Federal departments and agencies
        with responsibility for standards, support the creation
        of national voluntary consensus standards for
        interoperable emergency communications;
            (3) establish a comprehensive research,
        development, testing, and evaluation program for
        improving interoperable emergency communications;
            (4) establish, in coordination with the Director
        for Emergency Communications, requirements for
        interoperable emergency communications capabilities,
        which shall be nonproprietary where standards for such
        capabilities exist, for all public safety radio and
        data communications systems and equipment purchased
        using homeland security assistance administered by the
        Department, excluding any alert and warning device,
        technology, or system;
            (5) carry out the Department's responsibilities and
        authorities relating to research, development, testing,
        evaluation, or standards-related elements of the
        SAFECOM Program;
            (6) evaluate and assess new technology in real-
        world environments to achieve interoperable emergency
        communications capabilities;
            (7) encourage more efficient use of existing
        resources, including equipment, to achieve
        interoperable emergency communications capabilities;
            (8) test public safety communications systems that
        are less prone to failure, support new nonvoice
        services, use spectrum more efficiently, and cost less
        than existing systems;
            (9) coordinate with the private sector to develop
        solutions to improve emergency communications
        capabilities and achieve interoperable emergency
        communications capabilities; and
            (10) conduct pilot projects, in coordination with
        the Director for Emergency Communications, to test and
        demonstrate technologies, including data and video,
        that enhance--
                    (A) the ability of emergency response
                providers and relevant government officials to
                continue to communicate in the event of natural
                disasters, acts of terrorism, and other man-
                made disasters; and
                    (B) interoperable emergency communications
                capabilities.
    (b) Coordination.--The Director of the Office for
Interoperability and Compatibility shall coordinate with the
Director for Emergency Communications with respect to the
SAFECOM program.
    (c) Sufficiency of Resources.--The Secretary shall provide
the Office for Interoperability and Compatibility the resources
and staff necessary to carry out the responsibilities under
this section.

SEC. 315. EMERGENCY COMMUNICATIONS INTEROPERABILITY RESEARCH AND
                    DEVELOPMENT.

    (a) In General.--The Under Secretary for Science and
Technology, acting through the Director of the Office for
Interoperability and Compatibility, shall establish a
comprehensive research and development program to support and
promote--
            (1) the ability of emergency response providers and
        relevant government officials to continue to
        communicate in the event of natural disasters, acts of
        terrorism, and other man-made disasters; and
            (2) interoperable emergency communications
        capabilities among emergency response providers and
        relevant government officials, including by--
                    (A) supporting research on a competitive
                basis, including through the Directorate of
                Science and Technology and Homeland Security
                Advanced Research Projects Agency; and
                    (B) considering the establishment of a
                Center of Excellence under the Department of
                Homeland Security Centers of Excellence Program
                focused on improving emergency response
                providers' communication capabilities.
    (b) Purposes.--The purposes of the program established
under subsection (a) include--
            (1) supporting research, development, testing, and
        evaluation on emergency communication capabilities;
            (2) understanding the strengths and weaknesses of
        the public safety communications systems in use;
            (3) examining how current and emerging technology
        can make emergency response providers more effective,
        and how Federal, State, local, and tribal government
        agencies can use this technology in a coherent and
        cost-effective manner;
            (4) investigating technologies that could lead to
        long-term advancements in emergency communications
        capabilities and supporting research on advanced
        technologies and potential systemic changes to
        dramatically improve emergency communications; and
            (5) evaluating and validating advanced technology
        concepts, and facilitating the development and
        deployment of interoperable emergency communication
        capabilities.
    (c) Definitions.--For purposes of this section, the term
``interoperable'', with respect to emergency communications,
has the meaning given the term in section 1808.

SEC. 316. [6 U.S.C. 195B] NATIONAL BIOSURVEILLANCE INTEGRATION CENTER.

    (a) Establishment.--The Secretary shall establish, operate,
and maintain a National Biosurveillance Integration Center
(referred to in this section as the ``NBIC''), which shall be
headed by a Directing Officer, under an office or directorate
of the Department that is in existence as of the date of the
enactment of this section.
    (b) Primary Mission.--The primary mission of the NBIC is
to--
            (1) enhance the capability of the Federal
        Government to--
                    (A) rapidly identify, characterize,
                localize, and track a biological event of
                national concern by integrating and analyzing
                data relating to human health, animal, plant,
                food, and environmental monitoring systems
                (both national and international); and
                    (B) disseminate alerts and other
                information to Member Agencies and, in
                coordination with (and where possible through)
                Member Agencies, to agencies of State, local,
                and tribal governments, as appropriate, to
                enhance the ability of such agencies to respond
                to a biological event of national concern; and
            (2) oversee development and operation of the
        National Biosurveillance Integration System.
    (c) Requirements.--The NBIC shall detect, as early as
possible, a biological event of national concern that presents
a risk to the United States or the infrastructure or key assets
of the United States, including by--
            (1) consolidating data from all relevant
        surveillance systems maintained by Member Agencies to
        detect biological events of national concern across
        human, animal, and plant species;
            (2) seeking private sources of surveillance, both
        foreign and domestic, when such sources would enhance
        coverage of critical surveillance gaps;
            (3) using an information technology system that
        uses the best available statistical and other
        analytical tools to identify and characterize
        biological events of national concern in as close to
        real-time as is practicable;
            (4) providing the infrastructure for such
        integration, including information technology systems
        and space, and support for personnel from Member
        Agencies with sufficient expertise to enable analysis
        and interpretation of data;
            (5) working with Member Agencies to create
        information technology systems that use the minimum
        amount of patient data necessary and consider patient
        confidentiality and privacy issues at all stages of
        development and apprise the Privacy Officer of such
        efforts; and
            (6) alerting Member Agencies and, in coordination
        with (and where possible through) Member Agencies,
        public health agencies of State, local, and tribal
        governments regarding any incident that could develop
        into a biological event of national concern.
    (d) Responsibilities of the Directing Officer of the
NBIC.--
            (1) In general.--The Directing Officer of the NBIC
        shall--
                    (A) on an ongoing basis, monitor the
                availability and appropriateness of
                surveillance systems used by the NBIC and those
                systems that could enhance biological
                situational awareness or the overall
                performance of the NBIC;
                    (B) on an ongoing basis, review and seek to
                improve the statistical and other analytical
                methods used by the NBIC;
                    (C) receive and consider other relevant
                homeland security information, as appropriate;
                and
                    (D) provide technical assistance, as
                appropriate, to all Federal, regional, State,
                local, and tribal government entities and
                private sector entities that contribute data
                relevant to the operation of the NBIC.
            (2) Assessments.--The Directing Officer of the NBIC
        shall--
                    (A) on an ongoing basis, evaluate available
                data for evidence of a biological event of
                national concern; and
                    (B) integrate homeland security information
                with NBIC data to provide overall situational
                awareness and determine whether a biological
                event of national concern has occurred.
            (3) Information sharing.--
                    (A) In general.--The Directing Officer of
                the NBIC shall--
                            (i) establish a method of real-time
                        communication with the National
                        Operations Center;
                            (ii) in the event that a biological
                        event of national concern is detected,
                        notify the Secretary and disseminate
                        results of NBIC assessments relating to
                        that biological event of national
                        concern to appropriate Federal response
                        entities and, in coordination with
                        relevant Member Agencies, regional,
                        State, local, and tribal governmental
                        response entities in a timely manner;
                            (iii) provide any report on NBIC
                        assessments to Member Agencies and, in
                        coordination with relevant Member
                        Agencies, any affected regional, State,
                        local, or tribal government, and any
                        private sector entity considered
                        appropriate that may enhance the
                        mission of such Member Agencies,
                        governments, or entities or the ability
                        of the Nation to respond to biological
                        events of national concern; and
                            (iv) share NBIC incident or
                        situational awareness reports, and
                        other relevant information, consistent
                        with the information sharing
                        environment established under section
                        1016 of the Intelligence Reform and
                        Terrorism Prevention Act of 2004 (6
                        U.S.C. 485) and any policies,
                        guidelines, procedures, instructions,
                        or standards established under that
                        section.
                    (B) Consultation.--The Directing Officer of
                the NBIC shall implement the activities
                described in subparagraph (A) consistent with
                the policies, guidelines, procedures,
                instructions, or standards established under
                section 1016 of the Intelligence Reform and
                Terrorism Prevention Act of 2004 (6 U.S.C. 485)
                and in consultation with the Director of
                National Intelligence, the Under Secretary for
                Intelligence and Analysis, and other offices or
                agencies of the Federal Government, as
                appropriate.
    (e) Responsibilities of the NBIC Member Agencies.--
            (1) In general.--Each Member Agency shall--
                    (A) use its best efforts to integrate
                biosurveillance information into the NBIC, with
                the goal of promoting information sharing
                between Federal, State, local, and tribal
                governments to detect biological events of
                national concern;
                    (B) provide timely information to assist
                the NBIC in maintaining biological situational
                awareness for accurate detection and response
                purposes;
                    (C) enable the NBIC to receive and use
                biosurveillance information from member
                agencies to carry out its requirements under
                subsection (c);
                    (D) connect the biosurveillance data
                systems of that Member Agency to the NBIC data
                system under mutually agreed protocols that are
                consistent with subsection (c)(5);
                    (E) participate in the formation of
                strategy and policy for the operation of the
                NBIC and its information sharing;
                    (F) provide personnel to the NBIC under an
                interagency personnel agreement and consider
                the qualifications of such personnel necessary
                to provide human, animal, and environmental
                data analysis and interpretation support to the
                NBIC; and
                    (G) retain responsibility for the
                surveillance and intelligence systems of that
                department or agency, if applicable.
    (f) Administrative Authorities.--
            (1) Hiring of experts.--The Directing Officer of
        the NBIC shall hire individuals with the necessary
        expertise to develop and operate the NBIC.
            (2) Detail of personnel.--Upon the request of the
        Directing Officer of the NBIC, the head of any Federal
        department or agency may detail, on a reimbursable
        basis, any of the personnel of that department or
        agency to the Department to assist the NBIC in carrying
        out this section.
    (g) NBIC Interagency Working Group.--The Directing Officer
of the NBIC shall--
            (1) establish an interagency working group to
        facilitate interagency cooperation and to advise the
        Directing Officer of the NBIC regarding recommendations
        to enhance the biosurveillance capabilities of the
        Department; and
            (2) invite Member Agencies to serve on that working
        group.
    (h) Relationship to Other Departments and Agencies.--The
authority of the Directing Officer of the NBIC under this
section shall not affect any authority or responsibility of any
other department or agency of the Federal Government with
respect to biosurveillance activities under any program
administered by that department or agency.
    (i) Authorization of Appropriations.--There are authorized
to be appropriated such sums as are necessary to carry out this
section.
    (j) Definitions.--In this section:
            (1) The terms ``biological agent'' and ``toxin''
        have the meanings given those terms in section 178 of
        title 18, United States Code.
            (2) The term ``biological event of national
        concern'' means--
                    (A) an act of terrorism involving a
                biological agent or toxin; or
                    (B) a naturally occurring outbreak of an
                infectious disease that may result in a
                national epidemic.
            (3) The term ``homeland security information'' has
        the meaning given that term in section 892.
            (4) The term ``Member Agency'' means any Federal
        department or agency that, at the discretion of the
        head of that department or agency, has entered a
        memorandum of understanding regarding participation in
        the NBIC.
            (5) The term ``Privacy Officer'' means the Privacy
        Officer appointed under section 222.

SEC. 317. [6 U.S.C. 195C] PROMOTING ANTITERRORISM THROUGH INTERNATIONAL
                    COOPERATION PROGRAM.

    (a) Definitions.--In this section:
            (1) Director.--The term ``Director'' means the
        Director selected under subsection (b)(2).
            (2) International cooperative activity.--The term
        ``international cooperative activity'' includes--
                    (A) coordinated research projects, joint
                research projects, or joint ventures;
                    (B) joint studies or technical
                demonstrations;
                    (C) coordinated field exercises, scientific
                seminars, conferences, symposia, and workshops;
                    (D) training of scientists and engineers;
                    (E) visits and exchanges of scientists,
                engineers, or other appropriate personnel;
                    (F) exchanges or sharing of scientific and
                technological information; and
                    (G) joint use of laboratory facilities and
                equipment.
    (b) Science and Technology Homeland Security International
Cooperative Programs Office.--
            (1) Establishment.--The Under Secretary shall
        establish the Science and Technology Homeland Security
        International Cooperative Programs Office.
            (2) Director.--The Office shall be headed by a
        Director, who--
                    (A) shall be selected, in consultation with
                the Assistant Secretary for International
                Affairs, by and shall report to the Under
                Secretary; and
                    (B) may be an officer of the Department
                serving in another position.
            (3) Responsibilities.--
                    (A) Development of mechanisms.--The
                Director shall be responsible for developing,
                in coordination with the Department of State
                and, as appropriate, the Department of Defense,
                the Department of Energy, and other Federal
                agencies, understandings and agreements to
                allow and to support international cooperative
                activity in support of homeland security.
                    (B) Priorities.--The Director shall be
                responsible for developing, in coordination
                with the Office of International Affairs and
                other Federal agencies, strategic priorities
                for international cooperative activity for the
                Department in support of homeland security.
                    (C) Activities.--The Director shall
                facilitate the planning, development, and
                implementation of international cooperative
                activity to address the strategic priorities
                developed under subparagraph (B) through
                mechanisms the Under Secretary considers
                appropriate, including grants, cooperative
                agreements, or contracts to or with foreign
                public or private entities, governmental
                organizations, businesses (including small
                businesses and socially and economically
                disadvantaged small businesses (as those terms
                are defined in sections 3 and 8 of the Small
                Business Act (15 U.S.C. 632 and 637),
                respectively)), federally funded research and
                development centers, and universities.
                    (D) Identification of partners.--The
                Director shall facilitate the matching of
                United States entities engaged in homeland
                security research with non-United States
                entities engaged in homeland security research
                so that they may partner in homeland security
                research activities.
            (4) Coordination.--The Director shall ensure that
        the activities under this subsection are coordinated
        with the Office of International Affairs and the
        Department of State and, as appropriate, the Department
        of Defense, the Department of Energy, and other
        relevant Federal agencies or interagency bodies. The
        Director may enter into joint activities with other
        Federal agencies.
    (c) Matching Funding.--
            (1) In general.--
                    (A) Equitability.--The Director shall
                ensure that funding and resources expended in
                international cooperative activity will be
                equitably matched by the foreign partner
                government or other entity through direct
                funding, funding of complementary activities,
                or the provision of staff, facilities,
                material, or equipment.
                    (B) Grant matching and repayment.--
                            (i) In general.--The Secretary may
                        require a recipient of a grant under
                        this section--
                                    (I) to make a matching
                                contribution of not more than
                                50 percent of the total cost of
                                the proposed project for which
                                the grant is awarded; and
                                    (II) to repay to the
                                Secretary the amount of the
                                grant (or a portion thereof),
                                interest on such amount at an
                                appropriate rate, and such
                                charges for administration of
                                the grant as the Secretary
                                determines appropriate.
                            (ii) Maximum amount.--The Secretary
                        may not require that repayment under
                        clause (i)(II) be more than 150 percent
                        of the amount of the grant, adjusted
                        for inflation on the basis of the
                        Consumer Price Index.
            (2) Foreign partners.--Partners may include Israel,
        the United Kingdom, Canada, Australia, Singapore, and
        other allies in the global war on terrorism as
        determined to be appropriate by the Secretary of
        Homeland Security and the Secretary of State.
            (3) Loans of equipment.--The Director may make or
        accept loans of equipment for research and development
        and comparative testing purposes.
    (d) Foreign Reimbursements.--If the Science and Technology
Homeland Security International Cooperative Programs Office
participates in an international cooperative activity with a
foreign partner on a cost-sharing basis, any reimbursements or
contributions received from that foreign partner to meet its
share of the project may be credited to appropriate current
appropriations accounts of the Directorate of Science and
Technology.
    (e) Report to Congress on International Cooperative
Activities.--Not later than one year after the date of
enactment of this section, and every 5 years thereafter, the
Under Secretary, acting through the Director, shall submit to
Congress a report containing--
            (1) a brief description of each grant, cooperative
        agreement, or contract made or entered into under
        subsection (b)(3)(C), including the participants,
        goals, and amount and sources of funding; and
            (2) a list of international cooperative activities
        underway, including the participants, goals, expected
        duration, and amount and sources of funding, including
        resources provided to support the activities in lieu of
        direct funding.
    (f) Animal and Zoonotic Diseases.--As part of the
international cooperative activities authorized in this
section, the Under Secretary, in coordination with the Chief
Medical Officer, the Department of State, and appropriate
officials of the Department of Agriculture, the Department of
Defense, and the Department of Health and Human Services, may
enter into cooperative activities with foreign countries,
including African nations, to strengthen American preparedness
against foreign animal and zoonotic diseases overseas that
could harm the Nation's agricultural and public health sectors
if they were to reach the United States.
    (g) Construction; Authorities of the Secretary of State.--
Nothing in this section shall be construed to alter or affect
the following provisions of law:
            (1) Title V of the Foreign Relations Authorization
        Act, Fiscal Year 1979 (22 U.S.C. 2656a et seq.).
            (2) Section 112b(c) of title 1, United States Code.
            (3) Section 1(e)(2) of the State Department Basic
        Authorities Act of 1956 (22 U.S.C. 2651a(e)(2)).
            (4) Sections 2 and 27 of the Arms Export Control
        Act (22 U.S.C. 2752 and 22 U.S.C. 2767).
            (5) Section 622(c) of the Foreign Assistance Act of
        1961 (22 U.S.C. 2382(c)).
    (h) Authorization of Appropriations.--There are authorized
to be appropriated to carry out this section such sums as are
necessary.

      TITLE IV--DIRECTORATE OF BORDER AND TRANSPORTATION SECURITY

   Subtitle A--Under Secretary for Border and Transportation Security

SEC. 401. [6 U.S.C. 201] UNDER SECRETARY FOR BORDER AND TRANSPORTATION
                    SECURITY.

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

SEC. 402. [6 U.S.C. 202] RESPONSIBILITIES.

    The Secretary, acting through the Under Secretary for
Border and Transportation Security, shall be responsible for
the following:
            (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 those functions transferred
        to the Department at ports of entry.
            (3) Carrying out the immigration enforcement
        functions vested by statute in, or performed by, the
        Commissioner of Immigration and Naturalization (or any
        officer, employee, or component of the Immigration and
        Naturalization Service) immediately before the date on
        which the transfer of functions specified under section
        441 takes effect.
            (4) Establishing and administering rules, in
        accordance with section 428, governing the granting of
        visas or other forms of permission, including parole,
        to enter the United States to individuals who are not a
        citizen or an alien lawfully admitted for permanent
        residence in the United States.
            (5) Establishing national immigration enforcement
        policies and priorities.
            (6) Except as provided in subtitle C, administering
        the customs laws of the United States.
            (7) Conducting the inspection and related
        administrative functions of the Department of
        Agriculture transferred to the Secretary of Homeland
        Security under section 421.
            (8) In carrying out the foregoing responsibilities,
        ensuring the speedy, orderly, and efficient flow of
        lawful traffic and commerce.

SEC. 403. [6 U.S.C. 203] FUNCTIONS TRANSFERRED.

    In accordance with title XV (relating to transition
provisions), 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;
            (4) the Federal Law Enforcement Training Center of
        the Department of the Treasury; and
            (5) the Office for Domestic Preparedness of the
        Office of Justice Programs, including the functions of
        the Attorney General relating thereto.

               Subtitle B--United States Customs Service

SEC. 411. [6 U.S.C. 211] ESTABLISHMENT; COMMISSIONER OF CUSTOMS.

    (a) Establishment.--There is established in the Department
the United States Customs Service, under the authority of the
Under Secretary for Border and Transportation Security, which
shall be vested with those functions including, but not limited
to those set forth in section 415(7), and the personnel,
assets, and liabilities attributable to those functions.
    (b) Commissioner of Customs.--
            (1) In general.--There shall be at the head of the
        Customs Service a Commissioner of Customs, who shall be
        appointed by the President, by and with the advice and
        consent of the Senate.

           *       *       *       *       *       *       *

            (3) Continuation in office.--The individual serving
        as the Commissioner of Customs on the day before the
        effective date of this Act may serve as the
        Commissioner of Customs on and after such effective
        date until a Commissioner of Customs is appointed under
        paragraph (1).

SEC. 412. [6 U.S.C. 212] RETENTION OF CUSTOMS REVENUE FUNCTIONS BY
                    SECRETARY OF THE TREASURY.

    (a) Retention of Customs Revenue Functions by Secretary of
the Treasury.--
            (1) Retention of authority.--Notwithstanding
        section 403(a)(1), authority related to Customs revenue
        functions that was vested in the Secretary of the
        Treasury by law before the effective date of this Act
        under those provisions of law set forth in paragraph
        (2) shall not be transferred to the Secretary by reason
        of this Act, and on and after the effective date of
        this Act, the Secretary of the Treasury may delegate
        any such authority to the Secretary at the discretion
        of the Secretary of the Treasury. The Secretary of the
        Treasury shall consult with the Secretary regarding the
        exercise of any such authority not delegated to the
        Secretary.
            (2) Statutes.--The provisions of law referred to in
        paragraph (1) are the following: the Tariff Act of
        1930; section 249 of the Revised Statutes of the United
        States (19 U.S.C. 3); section 2 of the Act of March 4,
        1923 (19 U.S.C. 6); section 13031 of the Consolidated
        Omnibus Budget Reconciliation Act of 1985 (19 U.S.C.
        58c); section 251 of the Revised Statutes of the United
        States (19 U.S.C. 66); section 1 of the Act of June 26,
        1930 (19 U.S.C. 68); the Foreign Trade Zones Act (19
        U.S.C. 81a et seq.); section 1 of the Act of March 2,
        1911 (19 U.S.C. 198); the Trade Act of 1974; the Trade
        Agreements Act of 1979; the North American Free Trade
        Area Implementation Act; the Uruguay Round Agreements
        Act; the Caribbean Basin Economic Recovery Act; the
        Andean Trade Preference Act; the African Growth and
        Opportunity Act; and any other provision of law vesting
        customs revenue functions in the Secretary of the
        Treasury.
    (b) Maintenance of Customs Revenue Functions.--
            (1) Maintenance of functions.--Notwithstanding any
        other provision of this Act, the Secretary may not
        consolidate, discontinue, or diminish those functions
        described in paragraph (2) performed by the United
        States Customs Service (as established under section
        411) on or after the effective date of this Act, reduce
        the staffing level, or reduce the resources
        attributable to such functions, and the Secretary shall
        ensure that an appropriate management structure is
        implemented to carry out such functions.
            (2) Functions.--The functions referred to in
        paragraph (1) are those functions performed by the
        following personnel, and associated support staff, of
        the United States Customs Service on the day before the
        effective date of this Act: Import Specialists, Entry
        Specialists, Drawback Specialists, National Import
        Specialist, Fines and Penalties Specialists, attorneys
        of the Office of Regulations and Rulings, Customs
        Auditors, International Trade Specialists, Financial
        Systems Specialists.
    (c) New Personnel.--The Secretary of the Treasury is
authorized to appoint up to 20 new personnel to work with
personnel of the Department in performing customs revenue
functions.

SEC. 413. [6 U.S.C. 213] PRESERVATION OF CUSTOMS FUNDS.

    Notwithstanding any other provision of this Act, no funds
available to the United States Customs Service or collected
under paragraphs (1) through (8) of section 13031(a) of the
Consolidated Omnibus Budget Reconciliation Act of 1985 may be
transferred for use by any other agency or office in the
Department.

SEC. 414. [6 U.S.C. 214] SEPARATE BUDGET REQUEST FOR CUSTOMS.

    The President shall include in each budget transmitted to
Congress under section 1105 of title 31, United States Code, a
separate budget request for the United States Customs Service.

SEC. 415. [6 U.S.C. 215] DEFINITION.

    In this subtitle, the term ``customs revenue function''
means the following:
            (1) Assessing and collecting customs duties
        (including antidumping and countervailing duties and
        duties imposed under safeguard provisions), excise
        taxes, fees, and penalties due on imported merchandise,
        including classifying and valuing merchandise for
        purposes of such assessment.
            (2) Processing and denial of entry of persons,
        baggage, cargo, and mail, with respect to the
        assessment and collection of import duties.
            (3) Detecting and apprehending persons engaged in
        fraudulent practices designed to circumvent the customs
        laws of the United States.
            (4) Enforcing section 337 of the Tariff Act of 1930
        and provisions relating to import quotas and the
        marking of imported merchandise, and providing Customs
        Recordations for copyrights, patents, and trademarks.
            (5) Collecting accurate import data for compilation
        of international trade statistics.
            (6) Enforcing reciprocal trade agreements.
            (7) Functions performed by the following personnel,
        and associated support staff, of the United States
        Customs Service on the day before the effective date of
        this Act: Import Specialists, Entry Specialists,
        Drawback Specialists, National Import Specialist, Fines
        and Penalties Specialists, attorneys of the Office of
        Regulations and Rulings, Customs Auditors,
        International Trade Specialists, Financial Systems
        Specialists.
            (8) Functions performed by the following offices,
        with respect to any function described in any of
        paragraphs (1) through (7), and associated support
        staff, of the United States Customs Service on the day
        before the effective date of this Act: the Office of
        Information and Technology, the Office of Laboratory
        Services, the Office of the Chief Counsel, the Office
        of Congressional Affairs, the Office of International
        Affairs, and the Office of Training and Development.

SEC. 416. [6 U.S.C. 216] GAO REPORT TO CONGRESS.

    Not later than 3 months after the effective date of this
Act, the Comptroller General of the United States shall submit
to Congress a report that sets forth all trade functions
performed by the executive branch, specifying each agency that
performs each such function.

SEC. 417. [6 U.S.C. 217] ALLOCATION OF RESOURCES BY THE SECRETARY.

    (a) In General.--The Secretary shall ensure that adequate
staffing is provided to assure that levels of customs revenue
services provided on the day before the effective date of this
Act shall continue to be provided.
    (b) Notification of Congress.--The Secretary shall notify
the Committee on Ways and Means of the House of Representatives
and the Committee on Finance of the Senate at least 90 days
prior to taking any action which would--
            (1) result in any significant reduction in customs
        revenue services, including hours of operation,
        provided at any office within the Department or any
        port of entry;
            (2) eliminate or relocate any office of the
        Department which provides customs revenue services; or
            (3) eliminate any port of entry.
    (c) Definition.--In this section, the term ``customs
revenue services'' means those customs revenue functions
described in paragraphs (1) through (6) and paragraph (8) of
section 415.

SEC. 418. [6 U.S.C. 218] REPORTS TO CONGRESS.

    (a) Continuing Reports.--The United States Customs Service
shall, on and after the effective date of this Act, continue to
submit to the Committee on Ways and Means of the House of
Representatives and the Committee on Finance of the Senate any
report required, on the day before such the effective date of
this Act, to be so submitted under any provision of law.
    (b) Report on Conforming Amendments.--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 section 412(a)(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.

           *       *       *       *       *       *       *


                  Subtitle C--Miscellaneous Provisions

SEC. 421. [6 U.S.C. 231] 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) Section 1 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 functions transferred under subsection (a) under a
        law specified in subsection (b).
            (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 of Homeland Security 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 1501,
        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 agreement required by this
        subsection shall specifically address the following:
                    (A) The supervision by the Secretary of
                Agriculture of the training of employees of the
                Secretary to carry out the functions
                transferred pursuant to subsection (a).
                    (B) The transfer of funds to the Secretary
                under subsection (f).
            (3) Cooperation and reciprocity.--The Secretary of
        Agriculture and the Secretary may include as part of
        the agreement the following:
                    (A) Authority for the Secretary to perform
                functions delegated to the Animal and Plant
                Health 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).
                    (B) Authority for the Secretary of
                Agriculture to use employees of the Department
                of Homeland Security 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.--Out of funds collected by
        fees authorized 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 transfer, from time to time in accordance with
        the agreement under subsection (e), to the Secretary
        funds for activities carried out by the Secretary for
        which such fees were collected.
            (2) Limitation.--The proportion of fees collected
        pursuant to such sections that are transferred to the
        Secretary under this subsection may not exceed the
        proportion of the costs incurred by the Secretary to
        all costs incurred to carry out activities funded by
        such fees.
    (g) Transfer of Department of Agriculture Employees.--Not
later than the completion of the transition period defined
under section 1501, the Secretary of Agriculture shall transfer
to the Secretary not more than 3,200 full-time equivalent
positions of the Department of Agriculture.

           *       *       *       *       *       *       *


SEC. 422. [6 U.S.C. 232] FUNCTIONS OF ADMINISTRATOR OF GENERAL
                    SERVICES.

    (a) Operation, Maintenance, and Protection of Federal
Buildings and Grounds.--Nothing in this Act may be construed to
affect the functions or authorities of the Administrator of
General Services with respect to the operation, maintenance,
and protection of buildings and grounds owned or occupied by
the Federal Government and under the jurisdiction, custody, or
control of the Administrator. Except for the law enforcement
and related security functions transferred under section
403(3), the Administrator shall retain all powers, functions,
and authorities vested in the Administrator under chapter 10 of
title 40, United States Code, and other provisions of law that
are necessary for the operation, maintenance, and protection of
such buildings and grounds.
    (b) Collection of Rents and Fees; Federal Buildings Fund.--
            (1) Statutory construction.--Nothing in this Act
        may be construed--
                    (A) to direct the transfer of, or affect,
                the authority of the Administrator of General
                Services to collect rents and fees, including
                fees collected for protective services; or
                    (B) to authorize the Secretary or any other
                official in the Department to obligate amounts
                in the Federal Buildings Fund established by
                section 490(f) of title 40, United States Code.
            (2) Use of transferred amounts.--Any amounts
        transferred by the Administrator of General Services to
        the Secretary out of rents and fees collected by the
        Administrator shall be used by the Secretary solely for
        the protection of buildings or grounds owned or
        occupied by the Federal Government.

SEC. 423. [6 U.S.C. 233] FUNCTIONS OF TRANSPORTATION SECURITY
                    ADMINISTRATION.

    (a) Consultation With Federal Aviation Administration.--The
Secretary and other officials in the Department shall consult
with the Administrator of the Federal Aviation Administration
before taking any action that might affect aviation safety, air
carrier operations, aircraft airworthiness, or the use of
airspace. The Secretary shall establish a liaison office within
the Department for the purpose of consulting with the
Administrator of the Federal Aviation Administration.
    (b) Report to Congress.--Not later than 60 days after the
date of enactment of this Act, the Secretary of Transportation
shall transmit to Congress a report containing a plan for
complying with the requirements of section 44901(d) of title
49, United States Code, as amended by section 425 of this Act.
    (c) Limitations on Statutory Construction.--
            (1) Grant of authority.--Nothing in this Act may be
        construed to vest in the Secretary or any other
        official in the Department any authority over
        transportation security that is not vested in the Under
        Secretary of Transportation for Security, or in the
        Secretary of Transportation under chapter 449 of title
        49, United States Code, on the day before the date of
        enactment of this Act.
            (2) Obligation of aip funds.--Nothing in this Act
        may be construed to authorize the Secretary or any
        other official in the Department to obligate amounts
        made available under section 48103 of title 49, United
        States Code.

SEC. 424. [6 U.S.C. 234] PRESERVATION OF TRANSPORTATION SECURITY
                    ADMINISTRATION AS A DISTINCT ENTITY.

    (a) In General.--Notwithstanding any other provision of
this Act, and subject to subsection (b), the Transportation
Security Administration shall be maintained as a distinct
entity within the Department under the Under Secretary for
Border Transportation and Security.
    (b) Sunset.--Subsection (a) shall cease to apply 2 years
after the date of enactment of this Act.

           *       *       *       *       *       *       *


SEC. 427. [6 U.S.C. 235] 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. 428. [6 U.S.C. 236] 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, and shall have the authority to refuse visas in
        accordance with law and to develop programs of homeland
        security training for consular officers (in addition to
        consular training provided by the Secretary of State),
        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; and
            (2) 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, consistent with the Secretary of Homeland
        Security's authority to refuse visas in accordance with
        law, 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 section 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)), consistent with the
        Secretary of Homeland Security's authority to refuse
        visas in accordance with law.
    (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:
                    (A) Provide expert advice and training to
                consular officers regarding specific security
                threats relating to the adjudication of
                individual visa applications or classes of
                applications.
                    (B) 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.
                    (C) 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, interview techniques, and
                fraud detection techniques, 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.
    (g) Study Regarding Use of Foreign Nationals.--
            (1) In general.--The Secretary of Homeland Security
        shall conduct a study of the role of foreign nationals
        in the granting or refusal of visas and other documents
        authorizing entry of aliens into the United States. The
        study shall address the following:
                    (A) The proper role, if any, of foreign
                nationals in the process of rendering decisions
                on such grants and refusals.
                    (B) Any security concerns involving the
                employment of foreign nationals.
                    (C) Whether there are cost-effective
                alternatives to the use of foreign nationals.
            (2) Report.--Not later than 1 year after the date
        of the enactment of this Act, the Secretary shall
        submit a report containing the findings of the study
        conducted under paragraph (1) to the Committee on the
        Judiciary, the Committee on International Relations,
        and the Committee on Government Reform of the House of
        Representatives, and the Committee on the Judiciary,
        the Committee on Foreign Relations, and the Committee
        on Government Affairs of the Senate.
    (h) Report.--Not later than 120 days after the date of the
enactment of this Act, the Director of the Office of Science
and Technology Policy shall submit to Congress a report on how
the provisions of this section will affect procedures for the
issuance of student visas.
    (i) Visa Issuance Program for Saudi Arabia.--
Notwithstanding any other provision of law, after the date of
the enactment of this Act all third party screening programs in
Saudi Arabia shall be terminated. On-site personnel of the
Department of Homeland Security shall review all visa
applications prior to adjudication.

SEC. 429. [6 U.S.C. 237] 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. 430. [6 U.S.C. 238] OFFICE FOR DOMESTIC PREPAREDNESS.

    (a) In General.--The Office for Domestic Preparedness shall
be within the Directorate of Border and Transportation
Security.
    (b) Director.--There shall be a Director of the Office for
Domestic Preparedness, who shall be appointed by the President,
by and with the advice and consent of the Senate. The Director
of the Office for Domestic Preparedness shall report directly
to the Under Secretary for Border and Transportation Security.
    (c) Responsibilities.--The Office for Domestic Preparedness
shall have the primary responsibility within the executive
branch of Government for the preparedness of the United States
for acts of terrorism, including--
            (1) coordinating preparedness efforts at the
        Federal level, and working with all State, local,
        tribal, parish, and private sector emergency response
        providers on all matters pertaining to combating
        terrorism, including training, exercises, and equipment
        support;
            (2) coordinating or, as appropriate, consolidating
        communications and systems of communications relating
        to homeland security at all levels of government;
            (3) directing and supervising terrorism
        preparedness grant programs of the Federal Government
        (other than those programs administered by the
        Department of Health and Human Services) for all
        emergency response providers;
            (4) incorporating the Strategy priorities into
        planning guidance on an agency level for the
        preparedness efforts of the Office for Domestic
        Preparedness;
            (5) providing agency-specific training for agents
        and analysts within the Department, other agencies, and
        State and local agencies and international entities;
            (6) as the lead executive branch agency for
        preparedness of the United States for acts of
        terrorism, cooperating closely with the Federal
        Emergency Management Agency, which shall have the
        primary responsibility within the executive branch to
        prepare for and mitigate the effects of nonterrorist-
        related disasters in the United States;
            (7) assisting and supporting the Secretary, in
        coordination with other Directorates and entities
        outside the Department, in conducting appropriate risk
        analysis and risk management activities of State,
        local, and tribal governments consistent with the
        mission and functions of the Directorate;
            (8) those elements of the Office of National
        Preparedness of the Federal Emergency Management Agency
        which relate to terrorism, which shall be consolidated
        within the Department in the Office for Domestic
        Preparedness established under this section; and
            (9) helping to ensure the acquisition of
        interoperable communication technology by State and
        local governments and emergency response providers.
    (d) Fiscal Years 2003 and 2004.--During fiscal year 2003
and fiscal year 2004, the Director of the Office for Domestic
Preparedness established under this section shall manage and
carry out those functions of the Office for Domestic
Preparedness of the Department of Justice (transferred under
this section) before September 11, 2001, under the same terms,
conditions, policies, and authorities, and with the required
level of personnel, assets, and budget before September 11,
2001.

SEC. 431. [6 U.S.C. 239] OFFICE OF CARGO SECURITY POLICY.

    (a) Establishment.--There is established within the
Department an Office of Cargo Security Policy (referred to in
this section as the ``Office'').
    (b) Purpose.--The Office shall--
            (1) coordinate all Department policies relating to
        cargo security; and
            (2) consult with stakeholders and coordinate with
        other Federal agencies in the establishment of
        standards and regulations and to promote best
        practices.
    (c) Director.--
            (1) Appointment.--The Office shall be headed by a
        Director, who shall--
                    (A) be appointed by the Secretary; and
                    (B) report to the Assistant Secretary for
                Policy.
            (2) Responsibilities.--The Director shall--
                    (A) advise the Assistant Secretary for
                Policy in the development of Department-wide
                policies regarding cargo security;
                    (B) coordinate all policies relating to
                cargo security among the agencies and offices
                within the Department relating to cargo
                security; and
                    (C) coordinate the cargo security policies
                of the Department with the policies of other
                executive agencies.

             Subtitle D--Immigration Enforcement Functions

SEC. 441. [6 U.S.C. 251] TRANSFER OF FUNCTIONS TO UNDER SECRETARY FOR
                    BORDER AND TRANSPORTATION SECURITY.

    In accordance with title XV (relating to transition
provisions), there shall be transferred from the Commissioner
of Immigration and Naturalization to the Under Secretary for
Border and Transportation Security all functions performed
under the following programs, and all personnel, assets, and
liabilities pertaining to such programs, immediately before
such transfer occurs:
            (1) The Border Patrol program.
            (2) The detention and removal program.
            (3) The intelligence program.
            (4) The investigations program.
            (5) The inspections program.

SEC. 442. [6 U.S.C. 252] ESTABLISHMENT OF BUREAU OF BORDER SECURITY.

    (a) Establishment of Bureau.--
            (1) In general.--There shall be in the Department
        of Homeland Security a bureau to be known as the
        ``Bureau of Border Security''.
            (2) Assistant secretary.--The head of the Bureau of
        Border Security shall be the Assistant Secretary of the
        Bureau of Border Security, who--
                    (A) shall report directly to the Under
                Secretary for Border and Transportation
                Security; and
                    (B) shall have a minimum of 5 years
                professional experience in law enforcement, and
                a minimum of 5 years of management experience.
            (3) Functions.--The Assistant Secretary of the
        Bureau of Border Security--
                    (A) shall establish the policies for
                performing such functions as are--
                            (i) transferred to the Under
                        Secretary for Border and Transportation
                        Security by section 441 and delegated
                        to the Assistant Secretary by the Under
                        Secretary for Border and Transportation
                        Security; or
                            (ii) otherwise vested in the
                        Assistant Secretary by law;
                    (B) shall oversee the administration of
                such policies; and
                    (C) shall advise the Under Secretary for
                Border and Transportation Security with respect
                to any policy or operation of the Bureau of
                Border Security that may affect the Bureau of
                Citizenship and Immigration Services
                established under subtitle E, including
                potentially conflicting policies or operations.
            (4) Program to collect information relating to
        foreign students.--The Assistant Secretary of the
        Bureau of Border Security shall be responsible for
        administering the program to collect information
        relating to nonimmigrant foreign students and other
        exchange program participants described in section 641
        of the Illegal Immigration Reform and Immigrant
        Responsibility Act of 1996 (8 U.S.C. 1372), including
        the Student and Exchange Visitor Information System
        established under that section, and shall use such
        information to carry out the enforcement functions of
        the Bureau.
            (5) Managerial rotation program.--
                    (A) In general.--Not later than 1 year
                after the date on which the transfer of
                functions specified under section 441 takes
                effect, the Assistant Secretary of the Bureau
                of Border Security shall design and implement a
                managerial rotation program under which
                employees of such bureau holding positions
                involving supervisory or managerial
                responsibility and classified, in accordance
                with chapter 51 of title 5, United States Code,
                as a GS-14 or above, shall--
                            (i) gain some experience in all the
                        major functions performed by such
                        bureau; and
                            (ii) work in at least one local
                        office of such bureau.
                    (B) Report.--Not later than 2 years after
                the date on which the transfer of functions
                specified under section 441 takes effect, the
                Secretary shall submit a report to the Congress
                on the implementation of such program.
    (b) Chief of Policy and Strategy.--
            (1) In general.--There shall be a position of Chief
        of Policy and Strategy for the Bureau of Border
        Security.
            (2) Functions.--In consultation with Bureau of
        Border Security personnel in local offices, the Chief
        of Policy and Strategy shall be responsible for--
                    (A) making policy recommendations and
                performing policy research and analysis on
                immigration enforcement issues; and
                    (B) coordinating immigration policy issues
                with the Chief of Policy and Strategy for the
                Bureau of Citizenship and Immigration Services
                (established under subtitle E), as appropriate.
    (c) Legal Advisor.--There shall be a principal legal
advisor to the Assistant Secretary of the Bureau of Border
Security. The legal advisor shall provide specialized legal
advice to the Assistant Secretary of the Bureau of Border
Security and shall represent the bureau in all exclusion,
deportation, and removal proceedings before the Executive
Office for Immigration Review.

SEC. 443. [6 U.S.C. 253] PROFESSIONAL RESPONSIBILITY AND QUALITY
                    REVIEW.

    The Under Secretary for Border and Transportation Security
shall be responsible for--
            (1) conducting investigations of noncriminal
        allegations of misconduct, corruption, and fraud
        involving any employee of the Bureau of Border Security
        that are not subject to investigation by the Inspector
        General for the Department;
            (2) inspecting the operations of the Bureau of
        Border Security and providing assessments of the
        quality of the operations of such bureau as a whole and
        each of its components; and
            (3) providing an analysis of the management of the
        Bureau of Border Security.

SEC. 444. [6 U.S.C. 254] EMPLOYEE DISCIPLINE.

    The Under Secretary for Border and Transportation Security
may, notwithstanding any other provision of law, impose
disciplinary action, including termination of employment,
pursuant to policies and procedures applicable to employees of
the Federal Bureau of Investigation, on any employee of the
Bureau of Border Security who willfully deceives the Congress
or agency leadership on any matter.

SEC. 445. [6 U.S.C. 255] REPORT ON IMPROVING ENFORCEMENT FUNCTIONS.

    (a) In General.--The Secretary, not later than 1 year after
being sworn into office, shall submit to the Committees on
Appropriations and the Judiciary of the House of
Representatives and of the Senate a report with a plan
detailing how the Bureau of Border Security, after the transfer
of functions specified under section 441 takes effect, will
enforce comprehensively, effectively, and fairly all the
enforcement provisions of the Immigration and Nationality Act
(8 U.S.C. 1101 et seq.) relating to such functions.
    (b) Consultation.--In carrying out subsection (a), the
Secretary of Homeland Security shall consult with the Attorney
General, the Secretary of State, the Director of the Federal
Bureau of Investigation, the Secretary of the Treasury, the
Secretary of Labor, the Commissioner of Social Security, the
Director of the Executive Office for Immigration Review, and
the heads of State and local law enforcement agencies to
determine how to most effectively conduct enforcement
operations.

SEC. 446. [6 U.S.C. 256] SENSE OF CONGRESS REGARDING CONSTRUCTION OF
                    FENCING NEAR SAN DIEGO, CALIFORNIA.

    It is the sense of the Congress that completing the 14-mile
border fence project required to be carried out under section
102(b) of the Illegal Immigration Reform and Immigrant
Responsibility Act of 1996 (8 U.S.C. 1103 note) should be a
priority for the Secretary.

            Subtitle E--Citizenship and Immigration Services

SEC. 451. [6 U.S.C. 271] ESTABLISHMENT OF BUREAU OF CITIZENSHIP AND
                    IMMIGRATION SERVICES.

    (a) Establishment of Bureau.--
            (1) In general.--There shall be in the Department a
        bureau to be known as the ``Bureau of Citizenship and
        Immigration Services''.
            (2) Director.--The head of the Bureau of
        Citizenship and Immigration Services shall be the
        Director of the Bureau of Citizenship and Immigration
        Services, who--
                    (A) shall report directly to the Deputy
                Secretary;
                    (B) shall have a minimum of 5 years of
                management experience; and
                    (C) shall be paid at the same level as the
                Assistant Secretary of the Bureau of Border
                Security.
            (3) Functions.--The Director of the Bureau of
        Citizenship and Immigration Services--
                    (A) shall establish the policies for
                performing such functions as are transferred to
                the Director by this section or this Act or
                otherwise vested in the Director by law;
                    (B) shall oversee the administration of
                such policies;
                    (C) shall advise the Deputy Secretary with
                respect to any policy or operation of the
                Bureau of Citizenship and Immigration Services
                that may affect the Bureau of Border Security
                of the Department, including potentially
                conflicting policies or operations;
                    (D) shall establish national immigration
                services policies and priorities;
                    (E) shall meet regularly with the Ombudsman
                described in section 452 to correct serious
                service problems identified by the Ombudsman;
                and
                    (F) shall establish procedures requiring a
                formal response to any recommendations
                submitted in the Ombudsman's annual report to
                Congress within 3 months after its submission
                to Congress.
            (4) Managerial rotation program.--
                    (A) In general.--Not later than 1 year
                after the effective date specified in section
                455, the Director of the Bureau of Citizenship
                and Immigration Services shall design and
                implement a managerial rotation program under
                which employees of such bureau holding
                positions involving supervisory or managerial
                responsibility and classified, in accordance
                with chapter 51 of title 5, United States Code,
                as a GS-14 or above, shall--
                            (i) gain some experience in all the
                        major functions performed by such
                        bureau; and
                            (ii) work in at least one field
                        office and one service center of such
                        bureau.
                    (B) Report.--Not later than 2 years after
                the effective date specified in section 455,
                the Secretary shall submit a report to Congress
                on the implementation of such program.
            (5) Pilot initiatives for backlog elimination.--The
        Director of the Bureau of Citizenship and Immigration
        Services is authorized to implement innovative pilot
        initiatives to eliminate any remaining backlog in the
        processing of immigration benefit applications, and to
        prevent any backlog in the processing of such
        applications from recurring, in accordance with section
        204(a) of the Immigration Services and Infrastructure
        Improvements Act of 2000 (8 U.S.C. 1573(a)). Such
        initiatives may include measures such as increasing
        personnel, transferring personnel to focus on areas
        with the largest potential for backlog, and
        streamlining paperwork.
    (b) Transfer of Functions From Commissioner.--In accordance
with title XV (relating to transition provisions), there are
transferred from the Commissioner of Immigration and
Naturalization to the Director of the Bureau of Citizenship and
Immigration Services the following functions, and all
personnel, infrastructure, and funding provided to the
Commissioner in support of such functions immediately before
the effective date specified in section 455:
            (1) Adjudications of immigrant visa petitions.
            (2) Adjudications of naturalization petitions.
            (3) Adjudications of asylum and refugee
        applications.
            (4) Adjudications performed at service centers.
            (5) All other adjudications performed by the
        Immigration and Naturalization Service immediately
        before the effective date specified in section 455.
    (c) Chief of Policy and Strategy.--
            (1) In general.--There shall be a position of Chief
        of Policy and Strategy for the Bureau of Citizenship
        and Immigration Services.
            (2) Functions.--In consultation with Bureau of
        Citizenship and Immigration Services personnel in field
        offices, the Chief of Policy and Strategy shall be
        responsible for--
                    (A) making policy recommendations and
                performing policy research and analysis on
                immigration services issues; and
                    (B) coordinating immigration policy issues
                with the Chief of Policy and Strategy for the
                Bureau of Border Security of the Department.
    (d) Legal Advisor.--
            (1) In general.--There shall be a principal legal
        advisor to the Director of the Bureau of Citizenship
        and Immigration Services.
            (2) Functions.--The legal advisor shall be
        responsible for--
                    (A) providing specialized legal advice,
                opinions, determinations, regulations, and any
                other assistance to the Director of the Bureau
                of Citizenship and Immigration Services with
                respect to legal matters affecting the Bureau
                of Citizenship and Immigration Services; and
                    (B) representing the Bureau of Citizenship
                and Immigration Services in visa petition
                appeal proceedings before the Executive Office
                for Immigration Review.
    (e) Budget Officer.--
            (1) In general.--There shall be a Budget Officer
        for the Bureau of Citizenship and Immigration Services.
            (2) Functions.--
                    (A) In general.--The Budget Officer shall
                be responsible for--
                            (i) formulating and executing the
                        budget of the Bureau of Citizenship and
                        Immigration Services;
                            (ii) financial management of the
                        Bureau of Citizenship and Immigration
                        Services; and
                            (iii) collecting all payments,
                        fines, and other debts for the Bureau
                        of Citizenship and Immigration
                        Services.
    (f) Chief of Office of Citizenship.--
            (1) In general.--There shall be a position of Chief
        of the Office of Citizenship for the Bureau of
        Citizenship and Immigration Services.
            (2) Functions.--The Chief of the Office of
        Citizenship for the Bureau of Citizenship and
        Immigration Services shall be responsible for promoting
        instruction and training on citizenship
        responsibilities for aliens interested in becoming
        naturalized citizens of the United States, including
        the development of educational materials.
    (g) \1\ Office of the FBI Liaison.--
---------------------------------------------------------------------------
    \1\ Subsection (g) of section 451 was added by section 2(a) of
Public Law 110-382. Section 4 of such Public Law provides:

SEC. 4. SUNSET PROVISION.
---------------------------------------------------------------------------
    This Act and the amendments made by this Act are repealed on the
date that is 5 years after the date of the enactment of this Act.
[enactment date is October 9, 2008]
---------------------------------------------------------------------------
            (1) In general.--There shall be an Office of the
        FBI Liaison in the Department of Homeland Security.
            (2) Functions.--The Office of the FBI Liaison shall
        monitor the progress of the functions of the Federal
        Bureau of Investigation in the naturalization process
        to assist in the expeditious completion of all such
        functions pertaining to naturalization applications
        filed by, or on behalf of--
                    (A) current or former members of the Armed
                Forces under section 328 or 329 of the
                Immigration and Nationality Act (8 U.S.C. 1439
                and 1440);
                    (B) current spouses of United States
                citizens who are currently serving on active
                duty in the Armed Forces, who qualify for
                naturalization under section 319(b) of the
                Immigration and Nationality Act (8 U.S.C.
                1430(b)), and surviving spouses and children
                who qualify for naturalization under section
                319(d) of such Act; or
                    (C) a deceased individual who is eligible
                for posthumous citizenship under section 329A
                of the Immigration and Nationality Act (8
                U.S.C. 1440-1).
            (3) Authorization of appropriations.--There are
        authorized to be appropriated such sums as may be
        necessary to carry out this subsection.

SEC. 452. [6 U.S.C. 272] CITIZENSHIP AND IMMIGRATION SERVICES
                    OMBUDSMAN.

    (a) In General.--Within the Department, there shall be a
position of Citizenship and Immigration Services Ombudsman (in
this section referred to as the ``Ombudsman''). The Ombudsman
shall report directly to the Deputy Secretary. The Ombudsman
shall have a background in customer service as well as
immigration law.
    (b) Functions.--It shall be the function of the Ombudsman--
            (1) to assist individuals and employers in
        resolving problems with the Bureau of Citizenship and
        Immigration Services;
            (2) to identify areas in which individuals and
        employers have problems in dealing with the Bureau of
        Citizenship and Immigration Services; and
            (3) to the extent possible, to propose changes in
        the administrative practices of the Bureau of
        Citizenship and Immigration Services to mitigate
        problems identified under paragraph (2).
    (c) Annual Reports.--
            (1) Objectives.--Not later than June 30 of each
        calendar year, the Ombudsman shall report to the
        Committee on the Judiciary of the House of
        Representatives and the Senate on the objectives of the
        Office of the Ombudsman for the fiscal year beginning
        in such calendar year. Any such report shall contain
        full and substantive analysis, in addition to
        statistical information, and--
                    (A) shall identify the recommendations the
                Office of the Ombudsman has made on improving
                services and responsiveness of the Bureau of
                Citizenship and Immigration Services;
                    (B) shall contain a summary of the most
                pervasive and serious problems encountered by
                individuals and employers, including a
                description of the nature of such problems;
                    (C) shall contain an inventory of the items
                described in subparagraphs (A) and (B) for
                which action has been taken and the result of
                such action;
                    (D) shall contain an inventory of the items
                described in subparagraphs (A) and (B) for
                which action remains to be completed and the
                period during which each item has remained on
                such inventory;
                    (E) shall contain an inventory of the items
                described in subparagraphs (A) and (B) for
                which no action has been taken, the period
                during which each item has remained on such
                inventory, the reasons for the inaction, and
                shall identify any official of the Bureau of
                Citizenship and Immigration Services who is
                responsible for such inaction;
                    (F) shall contain recommendations for such
                administrative action as may be appropriate to
                resolve problems encountered by individuals and
                employers, including problems created by
                excessive backlogs in the adjudication and
                processing of immigration benefit petitions and
                applications; and
                    (G) shall include such other information as
                the Ombudsman may deem advisable.
            (2) Report to be submitted directly.--Each report
        required under this subsection shall be provided
        directly to the committees described in paragraph (1)
        without any prior comment or amendment from the
        Secretary, Deputy Secretary, Director of the Bureau of
        Citizenship and Immigration Services, or any other
        officer or employee of the Department or the Office of
        Management and Budget.
    (d) Other Responsibilities.--The Ombudsman--
            (1) shall monitor the coverage and geographic
        allocation of local offices of the Ombudsman;
            (2) shall develop guidance to be distributed to all
        officers and employees of the Bureau of Citizenship and
        Immigration Services outlining the criteria for
        referral of inquiries to local offices of the
        Ombudsman;
            (3) shall ensure that the local telephone number
        for each local office of the Ombudsman is published and
        available to individuals and employers served by the
        office; and
            (4) shall meet regularly with the Director of the
        Bureau of Citizenship and Immigration Services to
        identify serious service problems and to present
        recommendations for such administrative action as may
        be appropriate to resolve problems encountered by
        individuals and employers.
    (e) Personnel Actions.--
            (1) In general.--The Ombudsman shall have the
        responsibility and authority--
                    (A) to appoint local ombudsmen and make
                available at least 1 such ombudsman for each
                State; and
                    (B) to evaluate and take personnel actions
                (including dismissal) with respect to any
                employee of any local office of the Ombudsman.
            (2) Consultation.--The Ombudsman may consult with
        the appropriate supervisory personnel of the Bureau of
        Citizenship and Immigration Services in carrying out
        the Ombudsman's responsibilities under this subsection.
    (f) Responsibilities of Bureau of Citizenship and
Immigration Services.--The Director of the Bureau of
Citizenship and Immigration Services shall establish procedures
requiring a formal response to all recommendations submitted to
such director by the Ombudsman within 3 months after submission
to such director.
    (g) Operation of Local Offices.--
            (1) In general.--Each local ombudsman--
                    (A) shall report to the Ombudsman or the
                delegate thereof;
                    (B) may consult with the appropriate
                supervisory personnel of the Bureau of
                Citizenship and Immigration Services regarding
                the daily operation of the local office of such
                ombudsman;
                    (C) shall, at the initial meeting with any
                individual or employer seeking the assistance
                of such local office, notify such individual or
                employer that the local offices of the
                Ombudsman operate independently of any other
                component of the Department and report directly
                to Congress through the Ombudsman; and
                    (D) at the local ombudsman's discretion,
                may determine not to disclose to the Bureau of
                Citizenship and Immigration Services contact
                with, or information provided by, such
                individual or employer.
            (2) Maintenance of independent communications.--
        Each local office of the Ombudsman shall maintain a
        phone, facsimile, and other means of electronic
        communication access, and a post office address, that
        is separate from those maintained by the Bureau of
        Citizenship and Immigration Services, or any component
        of the Bureau of Citizenship and Immigration Services.

SEC. 453. [6 U.S.C. 273] PROFESSIONAL RESPONSIBILITY AND QUALITY
                    REVIEW.

    (a) In General.--The Director of the Bureau of Citizenship
and Immigration Services shall be responsible for--
            (1) conducting investigations of noncriminal
        allegations of misconduct, corruption, and fraud
        involving any employee of the Bureau of Citizenship and
        Immigration Services that are not subject to
        investigation by the Inspector General for the
        Department;
            (2) inspecting the operations of the Bureau of
        Citizenship and Immigration Services and providing
        assessments of the quality of the operations of such
        bureau as a whole and each of its components; and
            (3) providing an analysis of the management of the
        Bureau of Citizenship and Immigration Services.
    (b) Special Considerations.--In providing assessments in
accordance with subsection (a)(2) with respect to a decision of
the Bureau of Citizenship and Immigration Services, or any of
its components, consideration shall be given to--
            (1) the accuracy of the findings of fact and
        conclusions of law used in rendering the decision;
            (2) any fraud or misrepresentation associated with
        the decision; and
            (3) the efficiency with which the decision was
        rendered.

SEC. 454. [6 U.S.C. 274] EMPLOYEE DISCIPLINE.

    The Director of the Bureau of Citizenship and Immigration
Services may, notwithstanding any other provision of law,
impose disciplinary action, including termination of
employment, pursuant to policies and procedures applicable to
employees of the Federal Bureau of Investigation, on any
employee of the Bureau of Citizenship and Immigration Services
who willfully deceives Congress or agency leadership on any
matter.

SEC. 455. [6 U.S.C. 271 NOTE] EFFECTIVE DATE.

    Notwithstanding section 4, sections 451 through 456, and
the amendments made by such sections, shall take effect on the
date on which the transfer of functions specified under section
441 takes effect.

SEC. 456. [6 U.S.C. 275] TRANSITION.

    (a) References.--With respect to any function transferred
by this subtitle to, and exercised on or after the effective
date specified in section 455 by, the Director of the Bureau of
Citizenship and Immigration Services, 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 Bureau of Citizenship and
        Immigration Services; or
            (2) to such component is deemed to refer to the
        Bureau of Citizenship and Immigration Services.
    (b) Other Transition Issues.--
            (1) Exercise of authorities.--Except as otherwise
        provided by law, a Federal official to whom a function
        is transferred by this subtitle 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 section 455.
            (2) Transfer and allocation of appropriations and
        personnel.--The personnel of the Department of Justice
        employed in connection with the functions transferred
        by this subtitle (and functions that the Secretary
        determines are properly related to the functions of the
        Bureau of Citizenship and Immigration Services), and
        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 subtitle, subject to section 202 of the Budget and
        Accounting Procedures Act of 1950, shall be transferred
        to the Director of the Bureau of Citizenship and
        Immigration Services for allocation to the appropriate
        component of the Department. Unexpended funds
        transferred pursuant to this paragraph shall be used
        only for the purposes for which the funds were
        originally authorized and appropriated. The Secretary
        shall have the right to adjust or realign transfers of
        funds and personnel effected pursuant to this subtitle
        for a period of 2 years after the effective date
        specified in section 455.
          * * * * * * *

SEC. 459. [6 U.S.C. 276] REPORT ON IMPROVING IMMIGRATION SERVICES.

    (a) In General.--The Secretary, not later than 1 year after
the effective date of this Act, shall submit to the Committees
on the Judiciary and Appropriations of the House of
Representatives and of the Senate a report with a plan
detailing how the Bureau of Citizenship and Immigration
Services, after the transfer of functions specified in this
subtitle takes effect, will complete efficiently, fairly, and
within a reasonable time, the adjudications described in
paragraphs (1) through (5) of section 451(b).
    (b) Contents.--For each type of adjudication to be
undertaken by the Director of the Bureau of Citizenship and
Immigration Services, the report shall include the following:
            (1) Any potential savings of resources that may be
        implemented without affecting the quality of the
        adjudication.
            (2) The goal for processing time with respect to
        the application.
            (3) Any statutory modifications with respect to the
        adjudication that the Secretary considers advisable.
    (c) Consultation.--In carrying out subsection (a), the
Secretary shall consult with the Secretary of State, the
Secretary of Labor, the Assistant Secretary of the Bureau of
Border Security of the Department, and the Director of the
Executive Office for Immigration Review to determine how to
streamline and improve the process for applying for and making
adjudications described in section 451(b) and related
processes.

SEC. 460. [6 U.S.C. 277] REPORT ON RESPONDING TO FLUCTUATING NEEDS.

    Not later than 30 days after the date of the enactment of
this Act, the Attorney General shall submit to Congress a
report on changes in law, including changes in authorizations
of appropriations and in appropriations, that are needed to
permit the Immigration and Naturalization Service, and, after
the transfer of functions specified in this subtitle takes
effect, the Bureau of Citizenship and Immigration Services of
the Department, to ensure a prompt and timely response to
emergent, unforeseen, or impending changes in the number of
applications for immigration benefits, and otherwise to ensure
the accommodation of changing immigration service needs.

SEC. 461. [6 U.S.C. 278] APPLICATION OF INTERNET-BASED TECHNOLOGIES.

    (a) Establishment of Tracking System.--The Secretary, not
later than 1 year after the effective date of this Act, in
consultation with the Technology Advisory Committee established
under subsection (c), shall establish an Internet-based system,
that will permit a person, employer, immigrant, or nonimmigrant
who has filings with the Secretary for any benefit under the
Immigration and Nationality Act (8 U.S.C. 1101 et seq.), access
to online information about the processing status of the filing
involved.
    (b) Feasibility Study for Online Filing and Improved
Processing.--
            (1) Online filing.--The Secretary, in consultation
        with the Technology Advisory Committee established
        under subsection (c), shall conduct a feasibility study
        on the online filing of the filings described in
        subsection (a). The study shall include a review of
        computerization and technology of the Immigration and
        Naturalization Service relating to the immigration
        services and processing of filings related to immigrant
        services. The study shall also include an estimate of
        the timeframe and cost and shall consider other factors
        in implementing such a filing system, including the
        feasibility of fee payment online.
            (2) Report.--A report on the study under this
        subsection shall be submitted to the Committees on the
        Judiciary of the House of Representatives and the
        Senate not later than 1 year after the effective date
        of this Act.
    (c) Technology Advisory Committee.--
            (1) Establishment.--The Secretary shall establish,
        not later than 60 days after the effective date of this
        Act, an advisory committee (in this section referred to
        as the ``Technology Advisory Committee'') to assist the
        Secretary in--
                    (A) establishing the tracking system under
                subsection (a); and
                    (B) conducting the study under subsection
                (b).
        The Technology Advisory Committee shall be established
        after consultation with the Committees on the Judiciary
        of the House of Representatives and the Senate.
            (2) Composition.--The Technology Advisory Committee
        shall be composed of representatives from high
        technology companies capable of establishing and
        implementing the system in an expeditious manner, and
        representatives of persons who may use the tracking
        system described in subsection (a) and the online
        filing system described in subsection (b)(1).

SEC. 462. [6 U.S.C. 279] CHILDREN'S AFFAIRS.

    (a) 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 laws of the United States with respect to the care
of unaccompanied alien children that were vested by statute in,
or performed by, the Commissioner of Immigration and
Naturalization (or any officer, employee, or component of the
Immigration and Naturalization Service) immediately before the
effective date specified in subsection (d).
    (b) Functions.--
            (1) In general.--Pursuant to the transfer made by
        subsection (a), the Director of the Office of Refugee
        Resettlement shall be responsible for--
                    (A) coordinating and implementing the care
                and placement of unaccompanied alien children
                who are in Federal custody by reason of their
                immigration status, including developing a plan
                to be submitted to Congress on how to ensure
                that qualified and independent legal counsel is
                timely appointed to represent the interests of
                each such child, 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
                child are considered in decisions and actions
                relating to the care and custody of an
                unaccompanied alien child;
                    (C) making placement determinations for all
                unaccompanied alien children who are in Federal
                custody by reason of their immigration status;
                    (D) implementing the placement
                determinations;
                    (E) implementing policies with respect to
                the care and placement of unaccompanied alien
                children;
                    (F) identifying a sufficient number of
                qualified individuals, entities, and facilities
                to house unaccompanied alien children;
                    (G) overseeing the infrastructure and
                personnel of facilities in which unaccompanied
                alien children reside;
                    (H) reuniting unaccompanied alien children
                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 children;
                    (J) maintaining statistical information and
                other data on unaccompanied alien children for
                whose care and placement the Director is
                responsible, which shall include--
                            (i) biographical information, such
                        as a child's name, gender, date of
                        birth, country of birth, and country of
                        habitual residence;
                            (ii) the date on which the child
                        came into Federal custody by reason of
                        his or her immigration status;
                            (iii) information relating to the
                        child's placement, removal, or release
                        from each facility in which the child
                        has resided;
                            (iv) in any case in which the child
                        is placed in detention or released, an
                        explanation relating to the detention
                        or release; and
                            (v) the disposition of any actions
                        in which the child 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
                children; and
                    (L) conducting investigations and
                inspections of facilities and other entities in
                which unaccompanied alien children 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 the
                Bureau of Citizenship and Immigration Services,
                and the Assistant Secretary of the Bureau of
                Border Security to ensure that such
                determinations ensure that unaccompanied alien
                children described in such subparagraph--
                            (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 exploitive
                        activity; and
                            (iii) are placed in a setting in
                        which they are not likely to pose a
                        danger to themselves or others; and
                    (B) shall not release such children 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 use 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 children.
    (c) Rule of Construction.--Nothing in this section may be
construed to transfer the responsibility for adjudicating
benefit 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.
    (d) Effective Date.--Notwithstanding section 4, this
section shall take effect on the date on which the transfer of
functions specified under section 441 takes effect.
    (e) 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.
    (f) Other Transition Issues.--
            (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 (d).
            (2) Savings provisions.--Subsections (a), (b), and
        (c) of section 1512 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 and
        personnel.--The personnel of the Department of Justice
        employed in connection with the functions transferred
        by this section, and 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) Definitions.--As used in this section--
            (1) the term ``placement'' means the placement of
        an unaccompanied alien child in either a detention
        facility or an alternative to such a facility; and
            (2) the term ``unaccompanied alien child'' means a
        child who--
                    (A) has no lawful immigration status 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.

               Subtitle F--General Immigration Provisions

SEC. 471. [6 U.S.C. 291] ABOLISHMENT OF INS.

    (a) In General.--Upon completion of all transfers from the
Immigration and Naturalization Service as provided for by this
Act, the Immigration and Naturalization Service of the
Department of Justice is abolished.
    (b) Prohibition.--The authority provided by section 1502
may be used to reorganize functions or organizational units
within the Bureau of Border Security or the Bureau of
Citizenship and Immigration Services, but may not be used to
recombine the two bureaus into a single agency or otherwise to
combine, join, or consolidate functions or organizational units
of the two bureaus with each other.

SEC. 472. [6 U.S.C. 292] VOLUNTARY SEPARATION INCENTIVE PAYMENTS.

    (a) Definitions.--For purposes of this section--
            (1) the term ``employee'' means an employee (as
        defined by section 2105 of title 5, United States Code)
        who--
                    (A) has completed at least 3 years of
                current continuous service with 1 or more
                covered entities; and
                    (B) is serving under an appointment without
                time limitation,
        but does not include any person under subparagraphs
        (A)-(G) of section 663(a)(2) of Public Law 104-208 (5
        U.S.C. 5597 note);
            (2) the term ``covered entity'' means--
                    (A) the Immigration and Naturalization
                Service;
                    (B) the Bureau of Border Security of the
                Department of Homeland Security; and
                    (C) the Bureau of Citizenship and
                Immigration Services of the Department of
                Homeland Security; and
            (3) the term ``transfer date'' means the date on
        which the transfer of functions specified under section
        441 takes effect.
    (b) Strategic Restructuring Plan.--Before the Attorney
General or the Secretary obligates any resources for voluntary
separation incentive payments under this section, such official
shall submit to the appropriate committees of Congress a
strategic restructuring plan, which shall include--
            (1) an organizational chart depicting the covered
        entities after their restructuring pursuant to this
        Act;
            (2) a summary description of how the authority
        under this section will be used to help carry out that
        restructuring; and
            (3) the information specified in section 663(b)(2)
        of Public Law 104-208 (5 U.S.C. 5597 note).
As used in the preceding sentence, the ``appropriate committees
of Congress'' are the Committees on Appropriations, Government
Reform, and the Judiciary of the House of Representatives, and
the Committees on Appropriations, Governmental Affairs, and the
Judiciary of the Senate.
    (c) Authority.--The Attorney General and the Secretary may,
to the extent necessary to help carry out their respective
strategic restructuring plan described in subsection (b), make
voluntary separation incentive payments to employees. Any such
payment--
            (1) shall be paid to the employee, in a lump sum,
        after the employee has separated from service;
            (2) shall be paid from appropriations or funds
        available for the payment of basic pay of the employee;
            (3) shall be equal to the lesser of--
                    (A) the amount the employee would be
                entitled to receive under section 5595(c) of
                title 5, United States Code; or
                    (B) an amount not to exceed $25,000, as
                determined by the Attorney General or the
                Secretary;
            (4) may not be made except in the case of any
        qualifying employee who voluntarily separates (whether
        by retirement or resignation) before the end of--
                    (A) the 3-month period beginning on the
                date on which such payment is offered or made
                available to such employee; or
                    (B) the 3-year period beginning on the date
                of the enactment of this Act,
        whichever occurs first;
            (5) shall not be a basis for payment, and shall not
        be included in the computation, of any other type of
        Government benefit; and
            (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 of title 5, United
        States Code, based on any other separation.
    (d) Additional Agency Contributions to the Retirement
Fund.--
            (1) In general.--In addition to any payments which
        it is otherwise required to make, the Department of
        Justice and the Department of Homeland Security shall,
        for each fiscal year with respect to which it makes any
        voluntary separation incentive payments under this
        section, remit to the Office of Personnel Management
        for deposit in the Treasury of the United States to the
        credit of the Civil Service Retirement and Disability
        Fund the amount required under paragraph (2).
            (2) Amount required.--The amount required under
        this paragraph shall, for any fiscal year, be the
        amount under subparagraph (A) or (B), whichever is
        greater.
                    (A) First method.--The amount under this
                subparagraph shall, for any fiscal year, be
                equal to the minimum amount necessary to offset
                the additional costs to the retirement systems
                under title 5, United States Code (payable out
                of the Civil Service Retirement and Disability
                Fund) resulting from the voluntary separation
                of the employees described in paragraph (3), as
                determined under regulations of the Office of
                Personnel Management.
                    (B) Second method.--The amount under this
                subparagraph shall, for any fiscal year, be
                equal to 45 percent of the sum total of the
                final basic pay of the employees described in
                paragraph (3).
            (3) Computations to be based on separations
        occurring in the fiscal year involved.--The employees
        described in this paragraph are those employees who
        receive a voluntary separation incentive payment under
        this section based on their separating from service
        during the fiscal year with respect to which the
        payment under this subsection relates.
            (4) Final basic pay defined.--In this subsection,
        the term ``final basic pay'' means, with respect to an
        employee, the total amount of basic pay which would be
        payable for a year of service by such employee,
        computed using the employee's final rate of basic pay,
        and, if last serving on other than a full-time basis,
        with appropriate adjustment therefor.
    (e) Effect of Subsequent Employment With the Government.--
An individual who receives a voluntary separation incentive
payment under this section and who, within 5 years after the
date of the separation on which the payment is based, accepts
any compensated employment with the Government or works for any
agency of the Government through a personal services contract,
shall be required to pay, prior to the individual's first day
of employment, the entire amount of the incentive payment. Such
payment shall be made to the covered entity from which the
individual separated or, if made on or after the transfer date,
to the Deputy Secretary or the Under Secretary for Border and
Transportation Security (for transfer to the appropriate
component of the Department of Homeland Security, if
necessary).
    (f) Effect on Employment Levels.--
            (1) Intended effect.--Voluntary separations under
        this section are not intended to necessarily reduce the
        total number of full-time equivalent positions in any
        covered entity.
            (2) Use of voluntary separations.--A covered entity
        may redeploy or use the full-time equivalent positions
        vacated by voluntary separations under this section to
        make other positions available to more critical
        locations or more critical occupations.

SEC. 473. [6 U.S.C. 293] AUTHORITY TO CONDUCT A DEMONSTRATION PROJECT
                    RELATING TO DISCIPLINARY ACTION.

    (a) In General.--The Attorney General and the Secretary may
each, during a period ending not later than 5 years after the
date of the enactment of this Act, conduct a demonstration
project for the purpose of determining whether one or more
changes in the policies or procedures relating to methods for
disciplining employees would result in improved personnel
management.
    (b) Scope.--A demonstration project under this section--
            (1) may not cover any employees apart from those
        employed in or under a covered entity; and
            (2) shall not be limited by any provision of
        chapter 43, 75, or 77 of title 5, United States Code.
    (c) Procedures.--Under the demonstration project--
            (1) the use of alternative means of dispute
        resolution (as defined in section 571 of title 5,
        United States Code) shall be encouraged, whenever
        appropriate; and
            (2) each covered entity under the jurisdiction of
        the official conducting the project shall be required
        to provide for the expeditious, fair, and independent
        review of any action to which section 4303 or
        subchapter II of chapter 75 of such title 5 would
        otherwise apply (except an action described in section
        7512(5) of such title 5).
    (d) Actions Involving Discrimination.--Notwithstanding any
other provision of this section, if, in the case of any matter
described in section 7702(a)(1)(B) of title 5, United States
Code, there is no judicially reviewable action under the
demonstration project within 120 days after the filing of an
appeal or other formal request for review (referred to in
subsection (c)(2)), an employee shall be entitled to file a
civil action to the same extent and in the same manner as
provided in section 7702(e)(1) of such title 5 (in the matter
following subparagraph (C) thereof).
    (e) Certain Employees.--Employees shall not be included
within any project under this section if such employees are--
            (1) neither managers nor supervisors; and
            (2) within a unit with respect to which a labor
        organization is accorded exclusive recognition under
        chapter 71 of title 5, United States Code.
Notwithstanding the preceding sentence, an aggrieved employee
within a unit (referred to in paragraph (2)) may elect to
participate in a complaint procedure developed under the
demonstration project in lieu of any negotiated grievance
procedure and any statutory procedure (as such term is used in
section 7121 of such title 5).
    (f) Reports.--The General Accounting Office shall prepare
and submit to the Committees on Government Reform and the
Judiciary of the House of Representatives and the Committees on
Governmental Affairs and the Judiciary of the Senate periodic
reports on any demonstration project conducted under this
section, such reports to be submitted after the second and
fourth years of its operation. Upon request, the Attorney
General or the Secretary shall furnish such information as the
General Accounting Office may require to carry out this
subsection.
    (g) Definition.--In this section, the term ``covered
entity'' has the meaning given such term in section 472(a)(2).

SEC. 474. [6 U.S.C. 294] SENSE OF CONGRESS.

    It is the sense of Congress that--
            (1) the missions of the Bureau of Border Security
        and the Bureau of Citizenship and Immigration Services
        are equally important and, accordingly, they each
        should be adequately funded; and
            (2) the functions transferred under this subtitle
        should not, after such transfers take effect, operate
        at levels below those in effect prior to the enactment
        of this Act.

SEC. 475. [6 U.S.C. 295] DIRECTOR OF SHARED SERVICES.

    (a) In General.--Within the Office of Deputy Secretary,
there shall be a Director of Shared Services.
    (b) Functions.--The Director of Shared Services shall be
responsible for the coordination of resources for the Bureau of
Border Security and the Bureau of Citizenship and Immigration
Services, including--
            (1) information resources management, including
        computer databases and information technology;
            (2) records and file management; and
            (3) forms management.

SEC. 476. [6 U.S.C. 296] SEPARATION OF FUNDING.

    (a) In General.--There shall be established separate
accounts in the Treasury of the United States for appropriated
funds and other deposits available for the Bureau of
Citizenship and Immigration Services and the Bureau of Border
Security.
    (b) Separate Budgets.--To ensure that the Bureau of
Citizenship and Immigration Services and the Bureau of Border
Security are funded to the extent necessary to fully carry out
their respective functions, the Director of the Office of
Management and Budget shall separate the budget requests for
each such entity.
    (c) Fees.--Fees imposed for a particular service,
application, or benefit shall be deposited into the account
established under subsection (a) that is for the bureau with
jurisdiction over the function to which the fee relates.
    (d) Fees Not Transferable.--No fee may be transferred
between the Bureau of Citizenship and Immigration Services and
the Bureau of Border Security for purposes not authorized by
section 286 of the Immigration and Nationality Act (8 U.S.C.
1356).

SEC. 477. [6 U.S.C. 297] REPORTS AND IMPLEMENTATION PLANS.

    (a) Division of Funds.--The Secretary, not later than 120
days after the effective date of this Act, shall submit to the
Committees on Appropriations and the Judiciary of the House of
Representatives and of the Senate a report on the proposed
division and transfer of funds, including unexpended funds,
appropriations, and fees, between the Bureau of Citizenship and
Immigration Services and the Bureau of Border Security.
    (b) Division of Personnel.--The Secretary, not later than
120 days after the effective date of this Act, shall submit to
the Committees on Appropriations and the Judiciary of the House
of Representatives and of the Senate a report on the proposed
division of personnel between the Bureau of Citizenship and
Immigration Services and the Bureau of Border Security.
    (c) Implementation Plan.--
            (1) In general.--The Secretary, not later than 120
        days after the effective date of this Act, and every 6
        months thereafter until the termination of fiscal year
        2005, shall submit to the Committees on Appropriations
        and the Judiciary of the House of Representatives and
        of the Senate an implementation plan to carry out this
        Act.
            (2) Contents.--The implementation plan should
        include details concerning the separation of the Bureau
        of Citizenship and Immigration Services and the Bureau
        of Border Security, including the following:
                    (A) Organizational structure, including the
                field structure.
                    (B) Chain of command.
                    (C) Procedures for interaction among such
                bureaus.
                    (D) Fraud detection and investigation.
                    (E) The processing and handling of removal
                proceedings, including expedited removal and
                applications for relief from removal.
                    (F) Recommendations for conforming
                amendments to the Immigration and Nationality
                Act (8 U.S.C. 1101 et seq.).
                    (G) Establishment of a transition team.
                    (H) Methods to phase in the costs of
                separating the administrative support systems
                of the Immigration and Naturalization Service
                in order to provide for separate administrative
                support systems for the Bureau of Citizenship
                and Immigration Services and the Bureau of
                Border Security.
    (d) Comptroller General Studies and Reports.--
            (1) Status reports on transition.--Not later than
        18 months after the date on which the transfer of
        functions specified under section 441 takes effect, and
        every 6 months thereafter, until full implementation of
        this subtitle has been completed, the Comptroller
        General of the United States shall submit to the
        Committees on Appropriations and on the Judiciary of
        the House of Representatives and the Senate a report
        containing the following:
                    (A) A determination of whether the
                transfers of functions made by subtitles D and
                E have been completed, and if a transfer of
                functions has not taken place, identifying the
                reasons why the transfer has not taken place.
                    (B) If the transfers of functions made by
                subtitles D and E have been completed, an
                identification of any issues that have arisen
                due to the completed transfers.
                    (C) An identification of any issues that
                may arise due to any future transfer of
                functions.
            (2) Report on management.--Not later than 4 years
        after the date on which the transfer of functions
        specified under section 441 takes effect, the
        Comptroller General of the United States shall submit
        to the Committees on Appropriations and on the
        Judiciary of the House of Representatives and the
        Senate a report, following a study, containing the
        following:
                    (A) Determinations of whether the transfer
                of functions from the Immigration and
                Naturalization Service to the Bureau of
                Citizenship and Immigration Services and the
                Bureau of Border Security have improved, with
                respect to each function transferred, the
                following:
                            (i) Operations.
                            (ii) Management, including
                        accountability and communication.
                            (iii) Financial administration.
                            (iv) Recordkeeping, including
                        information management and technology.
                    (B) A statement of the reasons for the
                determinations under subparagraph (A).
                    (C) Any recommendations for further
                improvements to the Bureau of Citizenship and
                Immigration Services and the Bureau of Border
                Security.
            (3) Report on fees.--Not later than 1 year after
        the date of the enactment of this Act, the Comptroller
        General of the United States shall submit to the
        Committees on the Judiciary of the House of
        Representatives and of the Senate a report examining
        whether the Bureau of Citizenship and Immigration
        Services is likely to derive sufficient funds from fees
        to carry out its functions in the absence of
        appropriated funds.

SEC. 478. [6 U.S.C. 298] IMMIGRATION FUNCTIONS.

    (a) Annual Report.--
            (1) In general.--One year after the date of the
        enactment of this Act, and each year thereafter, the
        Secretary shall submit a report to the President, to
        the Committees on the Judiciary and Government Reform
        of the House of Representatives, and to the Committees
        on the Judiciary and Government Affairs of the Senate,
        on the impact the transfers made by this subtitle has
        had on immigration functions.
            (2) Matter included.--The report shall address the
        following with respect to the period covered by the
        report:
                    (A) The aggregate number of all immigration
                applications and petitions received, and
                processed, by the Department.
                    (B) Region-by-region statistics on the
                aggregate number of immigration applications
                and petitions filed by an alien (or filed on
                behalf of an alien) and denied, disaggregated
                by category of denial and application or
                petition type.
                    (C) The quantity of backlogged immigration
                applications and petitions that have been
                processed, the aggregate number awaiting
                processing, and a detailed plan for eliminating
                the backlog.
                    (D) The average processing period for
                immigration applications and petitions,
                disaggregated by application or petition type.
                    (E) The number and types of immigration-
                related grievances filed with any official of
                the Department of Justice, and if those
                grievances were resolved.
                    (F) Plans to address grievances and improve
                immigration services.
                    (G) Whether immigration-related fees were
                used consistent with legal requirements
                regarding such use.
                    (H) Whether immigration-related questions
                conveyed by customers to the Department
                (whether conveyed in person, by telephone, or
                by means of the Internet) were answered
                effectively and efficiently.
    (b) Sense of Congress Regarding Immigration Services.--It
is the sense of Congress that--
            (1) the quality and efficiency of immigration
        services rendered by the Federal Government should be
        improved after the transfers made by this subtitle take
        effect; and
            (2) the Secretary should undertake efforts to
        guarantee that concerns regarding the quality and
        efficiency of immigration services are addressed after
        such effective date.

                 TITLE V--NATIONAL EMERGENCY MANAGEMENT

SEC. 501. [6 U.S.C. 311] DEFINITIONS.

    In this title--
            (1) the term ``Administrator'' means the
        Administrator of the Agency;
            (2) the term ``Agency'' means the Federal Emergency
        Management Agency;
            (3) the term ``catastrophic incident'' means any
        natural disaster, act of terrorism, or other man-made
        disaster that results in extraordinary levels of
        casualties or damage or disruption severely affecting
        the population (including mass evacuations),
        infrastructure, environment, economy, national morale,
        or government functions in an area;
            (4) the terms ``credentialed'' and
        ``credentialing'' mean having provided, or providing,
        respectively, documentation that identifies personnel
        and authenticates and verifies the qualifications of
        such personnel by ensuring that such personnel possess
        a minimum common level of training, experience,
        physical and medical fitness, and capability
        appropriate for a particular position in accordance
        with standards created under section 510;
            (5) the term ``Federal coordinating officer'' means
        a Federal coordinating officer as described in section
        302 of the Robert T. Stafford Disaster Relief and
        Emergency Assistance Act (42 U.S.C. 5143);
            (6) the term ``interoperable'' has the meaning
        given the term ``interoperable communications'' under
        section 7303(g)(1) of the Intelligence Reform and
        Terrorism Prevention Act of 2004 (6 U.S.C. 194(g)(1));
            (7) the term ``National Incident Management
        System'' means a system to enable effective, efficient,
        and collaborative incident management;
            (8) the term ``National Response Plan'' means the
        National Response Plan or any successor plan prepared
        under section 502(a)(6);
            (9) the term ``Regional Administrator'' means a
        Regional Administrator appointed under section 507;
            (10) the term ``Regional Office'' means a Regional
        Office established under section 507;
            (11) the term ``resources'' means personnel and
        major items of equipment, supplies, and facilities
        available or potentially available for responding to a
        natural disaster, act of terrorism, or other man-made
        disaster;
            (12) the term ``surge capacity'' means the ability
        to rapidly and substantially increase the provision of
        search and rescue capabilities, food, water, medicine,
        shelter and housing, medical care, evacuation capacity,
        staffing (including disaster assistance employees), and
        other resources necessary to save lives and protect
        property during a catastrophic incident;
            (13) the term ``tribal government'' means the
        government of any entity described in section 2(11)(B);
        and
            (14) the terms ``typed'' and ``typing'' mean having
        evaluated, or evaluating, respectively, a resource in
        accordance with standards created under section 510.

SEC. 502. [6 U.S.C. 312] 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.

SEC. 503. [6 U.S.C. 313] FEDERAL EMERGENCY MANAGEMENT AGENCY.

    (a) In General.--There is in the Department the Federal
Emergency Management Agency, headed by an Administrator.
    (b) Mission.--
            (1) Primary mission.--The primary mission of the
        Agency is to reduce the loss of life and property and
        protect the Nation from all hazards, including natural
        disasters, acts of terrorism, and other man-made
        disasters, by leading and supporting the Nation in a
        risk-based, comprehensive emergency management system
        of preparedness, protection, response, recovery, and
        mitigation.
            (2) Specific activities.--In support of the primary
        mission of the Agency, the Administrator shall--
                    (A) lead the Nation's efforts to prepare
                for, protect against, respond to, recover from,
                and mitigate against the risk of natural
                disasters, acts of terrorism, and other man-
                made disasters, including catastrophic
                incidents;
                    (B) partner with State, local, and tribal
                governments and emergency response providers,
                with other Federal agencies, with the private
                sector, and with nongovernmental organizations
                to build a national system of emergency
                management that can effectively and efficiently
                utilize the full measure of the Nation's
                resources to respond to natural disasters, acts
                of terrorism, and other man-made disasters,
                including catastrophic incidents;
                    (C) develop a Federal response capability
                that, when necessary and appropriate, can act
                effectively and rapidly to deliver assistance
                essential to saving lives or protecting or
                preserving property or public health and safety
                in a natural disaster, act of terrorism, or
                other man-made disaster;
                    (D) integrate the Agency's emergency
                preparedness, protection, response, recovery,
                and mitigation responsibilities to confront
                effectively the challenges of a natural
                disaster, act of terrorism, or other man-made
                disaster;
                    (E) develop and maintain robust Regional
                Offices that will work with State, local, and
                tribal governments, emergency response
                providers, and other appropriate entities to
                identify and address regional priorities;
                    (F) under the leadership of the Secretary,
                coordinate with the Commandant of the Coast
                Guard, the Director of Customs and Border
                Protection, the Director of Immigration and
                Customs Enforcement, the National Operations
                Center, and other agencies and offices in the
                Department to take full advantage of the
                substantial range of resources in the
                Department;
                    (G) provide funding, training, exercises,
                technical assistance, planning, and other
                assistance to build tribal, local, State,
                regional, and national capabilities (including
                communications capabilities), necessary to
                respond to a natural disaster, act of
                terrorism, or other man-made disaster; and
                    (H) develop and coordinate the
                implementation of a risk-based, all-hazards
                strategy for preparedness that builds those
                common capabilities necessary to respond to
                natural disasters, acts of terrorism, and other
                man-made disasters while also building the
                unique capabilities necessary to respond to
                specific types of incidents that pose the
                greatest risk to our Nation.
    (c) Administrator.--
            (1) In general.--The Administrator shall be
        appointed by the President, by and with the advice and
        consent of the Senate.
            (2) Qualifications.--The Administrator shall be
        appointed from among individuals who have--
                    (A) a demonstrated ability in and knowledge
                of emergency management and homeland security;
                and
                    (B) not less than 5 years of executive
                leadership and management experience in the
                public or private sector.
            (3) Reporting.--The Administrator shall report to
        the Secretary, without being required to report through
        any other official of the Department.
            (4) Principal advisor on emergency management.--
                    (A) In general.--The Administrator is the
                principal advisor to the President, the
                Homeland Security Council, and the Secretary
                for all matters relating to emergency
                management in the United States.
                    (B) Advice and recommendations.--
                            (i) In general.--In presenting
                        advice with respect to any matter to
                        the President, the Homeland Security
                        Council, or the Secretary, the
                        Administrator shall, as the
                        Administrator considers appropriate,
                        inform the President, the Homeland
                        Security Council, or the Secretary, as
                        the case may be, of the range of
                        emergency preparedness, protection,
                        response, recovery, and mitigation
                        options with respect to that matter.
                            (ii) Advice on request.--The
                        Administrator, as the principal advisor
                        on emergency management, shall provide
                        advice to the President, the Homeland
                        Security Council, or the Secretary on a
                        particular matter when the President,
                        the Homeland Security Council, or the
                        Secretary requests such advice.
                            (iii) Recommendations to
                        congress.--After informing the
                        Secretary, the Administrator may make
                        such recommendations to Congress
                        relating to emergency management as the
                        Administrator considers appropriate.
            (5) Cabinet status.--
                    (A) In general.--The President may
                designate the Administrator to serve as a
                member of the Cabinet in the event of natural
                disasters, acts of terrorism, or other man-made
                disasters.
                    (B) Retention of authority.--Nothing in
                this paragraph shall be construed as affecting
                the authority of the Secretary under this Act.

SEC. 504. [6 U.S.C. 314] AUTHORITY AND RESPONSIBILITIES.

    (a) In General.--The Administrator shall provide Federal
leadership necessary to prepare for, protect against, respond
to, recover from, or mitigate against a natural disaster, act
of terrorism, or other man-made disaster, including--
            (1) helping to ensure the effectiveness of
        emergency response providers to 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 National Disaster Medical
                System, \1\ and (when operating as an
                organizational unit of the Department pursuant
                to this title) the Nuclear Incident Response
                Team;
---------------------------------------------------------------------------
    \1\ The phrase ``, the National Disaster Medical System,'' in
subsection (a)(3)(B) probably should not appear. Section 301(c)(1) of
Public Law 109-417 (120 Stat. 2854) provides for an amendment to the
Homeland Security Act of 2002 as follows:

          (1) in section 502(3)(B), by striking ``, the National
---------------------------------------------------------------------------
        Disaster Medical System,''; and

     The amendment was not executed because section 502 of the Homeland
Security Act of 2002 was redesignated as section 504 by section 611(8)
of Public Law 109-295 (120 Stat 1395).
---------------------------------------------------------------------------
                    (C) overseeing the Metropolitan Medical
                Response System; and
                    (D) coordinating other Federal response
                resources, including requiring deployment of
                the Strategic National Stockpile, 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;
            (7) helping ensure the acquisition of operable and
        interoperable communications capabilities by Federal,
        State, local, and tribal governments and emergency
        response providers;
            (8) assisting the President in carrying out the
        functions under the Robert T. Stafford Disaster Relief
        and Emergency Assistance Act (42 U.S.C. 5121 et seq.)
        and carrying out all functions and authorities given to
        the Administrator under that Act;
            (9) carrying out the mission of the Agency to
        reduce the loss of life and property and protect the
        Nation from all hazards by leading and supporting the
        Nation in a risk-based, comprehensive emergency
        management system of--
                    (A) mitigation, by taking sustained actions
                to reduce or eliminate long-term risks to
                people and property from hazards and their
                effects;
                    (B) preparedness, by planning, training,
                and building the emergency management
                profession to prepare effectively for, mitigate
                against, respond to, and recover from any
                hazard;
                    (C) response, by conducting emergency
                operations to save lives and property through
                positioning emergency equipment, personnel, and
                supplies, through evacuating potential victims,
                through providing food, water, shelter, and
                medical care to those in need, and through
                restoring critical public services; and
                    (D) recovery, by rebuilding communities so
                individuals, businesses, and governments can
                function on their own, return to normal life,
                and protect against future hazards;
            (10) increasing efficiencies, by coordinating
        efforts relating to preparedness, protection, response,
        recovery, and mitigation;
            (11) helping to ensure the effectiveness of
        emergency response providers in responding to a natural
        disaster, act of terrorism, or other man-made disaster;
            (12) supervising grant programs administered by the
        Agency;
            (13) administering and ensuring the implementation
        of the National Response Plan, including coordinating
        and ensuring the readiness of each emergency support
        function under the National Response Plan;
            (14) coordinating with the National Advisory
        Council established under section 508;
            (15) preparing and implementing the plans and
        programs of the Federal Government for--
                    (A) continuity of operations;
                    (B) continuity of government; and
                    (C) continuity of plans;
            (16) minimizing, to the extent practicable,
        overlapping planning and reporting requirements
        applicable to State, local, and tribal governments and
        the private sector;
            (17) maintaining and operating within the Agency
        the National Response Coordination Center or its
        successor;
            (18) developing a national emergency management
        system that is capable of preparing for, protecting
        against, responding to, recovering from, and mitigating
        against catastrophic incidents;
            (19) assisting the President in carrying out the
        functions under the national preparedness goal and the
        national preparedness system and carrying out all
        functions and authorities of the Administrator under
        the national preparedness System;
            (20) carrying out all authorities of the Federal
        Emergency Management Agency and the Directorate of
        Preparedness of the Department as transferred under
        section 505; and
            (21) otherwise carrying out the mission of the
        Agency as described in section 503(b).
    (b) All-Hazards Approach.--In carrying out the
responsibilities under this section, the Administrator shall
coordinate the implementation of a risk-based, all-hazards
strategy that builds those common capabilities necessary to
prepare for, protect against, respond to, recover from, or
mitigate against natural disasters, acts of terrorism, and
other man-made disasters, while also building the unique
capabilities necessary to prepare for, protect against, respond
to, recover from, or mitigate against the risks of specific
types of incidents that pose the greatest risk to the Nation.

SEC. 505. [6 U.S.C. 315] FUNCTIONS TRANSFERRED.

    (a) In General.--Except as provided in subsection (b),
there are transferred to the Agency the following:
            (1) All functions of the Federal Emergency
        Management Agency, including existing responsibilities
        for emergency alert systems and continuity of
        operations and continuity of government plans and
        programs as constituted on June 1, 2006, including all
        of its personnel, assets, components, authorities,
        grant programs, and liabilities, and including the
        functions of the Under Secretary for Federal Emergency
        Management relating thereto.
            (2) The Directorate of Preparedness, as constituted
        on June 1, 2006, including all of its functions,
        personnel, assets, components, authorities, grant
        programs, and liabilities, and including the functions
        of the Under Secretary for Preparedness relating
        thereto.
    (b) Exceptions.--The following within the Preparedness
Directorate shall not be transferred:
            (1) The Office of Infrastructure Protection.
            (2) The National Communications System.
            (3) The National Cybersecurity Division.
            (4) The Office of the Chief Medical Officer.
            (5) The functions, personnel, assets, components,
        authorities, and liabilities of each component
        described under paragraphs (1) through (4).

SEC. 506. [6 U.S.C. 316] PRESERVING THE FEDERAL EMERGENCY MANAGEMENT
                    AGENCY.

    (a) Distinct Entity.--The Agency shall be maintained as a
distinct entity within the Department.
    (b) Reorganization.--Section 872 shall not apply to the
Agency, including any function or organizational unit of the
Agency.
    (c) Prohibition on Changes to Missions.--
            (1) In general.--The Secretary may not
        substantially or significantly reduce the authorities,
        responsibilities, or functions of the Agency or the
        capability of the Agency to perform those missions,
        authorities, responsibilities, except as otherwise
        specifically provided in an Act enacted after the date
        of enactment of the Post-Katrina Emergency Management
        Reform Act of 2006.
            (2) Certain transfers prohibited.--No asset,
        function, or mission of the Agency may be diverted to
        the principal and continuing use of any other
        organization, unit, or entity of the Department, except
        for details or assignments that do not reduce the
        capability of the Agency to perform its missions.
    (d) Reprogramming and Transfer of Funds.--In reprogramming
or transferring funds, the Secretary shall comply with any
applicable provisions of any Act making appropriations for the
Department for fiscal year 2007, or any succeeding fiscal year,
relating to the reprogramming or transfer of funds.

SEC. 507. [6 U.S.C. 317] REGIONAL OFFICES.

    (a) In General.--There are in the Agency 10 regional
offices, as identified by the Administrator.
    (b) Management of Regional Offices.--
            (1) Regional administrator.--Each Regional Office
        shall be headed by a Regional Administrator who shall
        be appointed by the Administrator, after consulting
        with State, local, and tribal government officials in
        the region. Each Regional Administrator shall report
        directly to the Administrator and be in the Senior
        Executive Service.
            (2) Qualifications.--
                    (A) In general.--Each Regional
                Administrator shall be appointed from among
                individuals who have a demonstrated ability in
                and knowledge of emergency management and
                homeland security.
                    (B) Considerations.--In selecting a
                Regional Administrator for a Regional Office,
                the Administrator shall consider the
                familiarity of an individual with the
                geographical area and demographic
                characteristics of the population served by
                such Regional Office.
    (c) Responsibilities.--
            (1) In general.--The Regional Administrator shall
        work in partnership with State, local, and tribal
        governments, emergency managers, emergency response
        providers, medical providers, the private sector,
        nongovernmental organizations, multijurisdictional
        councils of governments, and regional planning
        commissions and organizations in the geographical area
        served by the Regional Office to carry out the
        responsibilities of a Regional Administrator under this
        section.
            (2) Responsibilities.--The responsibilities of a
        Regional Administrator include--
                    (A) ensuring effective, coordinated, and
                integrated regional preparedness, protection,
                response, recovery, and mitigation activities
                and programs for natural disasters, acts of
                terrorism, and other man-made disasters
                (including planning, training, exercises, and
                professional development);
                    (B) assisting in the development of
                regional capabilities needed for a national
                catastrophic response system;
                    (C) coordinating the establishment of
                effective regional operable and interoperable
                emergency communications capabilities;
                    (D) staffing and overseeing 1 or more
                strike teams within the region under subsection
                (f), to serve as the focal point of the Federal
                Government's initial response efforts for
                natural disasters, acts of terrorism, and other
                man-made disasters within that region, and
                otherwise building Federal response
                capabilities to respond to natural disasters,
                acts of terrorism, and other man-made disasters
                within that region;
                    (E) designating an individual responsible
                for the development of strategic and
                operational regional plans in support of the
                National Response Plan;
                    (F) fostering the development of mutual aid
                and other cooperative agreements;
                    (G) identifying critical gaps in regional
                capabilities to respond to populations with
                special needs;
                    (H) maintaining and operating a Regional
                Response Coordination Center or its successor;
                    (I) coordinating with the private sector to
                help ensure private sector preparedness for
                natural disasters, acts of terrorism, and other
                man-made disasters;
                    (J) assisting State, local, and tribal
                governments, where appropriate, to preidentify
                and evaluate suitable sites where a
                multijurisdictional incident command system may
                quickly be established and operated from, if
                the need for such a system arises; and
                    (K) performing such other duties relating
                to such responsibilities as the Administrator
                may require.
            (3) Training and exercise requirements.--
                    (A) Training.--The Administrator shall
                require each Regional Administrator to undergo
                specific training periodically to complement
                the qualifications of the Regional
                Administrator. Such training, as appropriate,
                shall include training with respect to the
                National Incident Management System, the
                National Response Plan, and such other subjects
                as determined by the Administrator.
                    (B) Exercises.--The Administrator shall
                require each Regional Administrator to
                participate as appropriate in regional and
                national exercises.
    (d) Area Offices.--
            (1) In general.--There is an Area Office for the
        Pacific and an Area Office for the Caribbean, as
        components in the appropriate Regional Offices.
            (2) Alaska.--The Administrator shall establish an
        Area Office in Alaska, as a component in the
        appropriate Regional Office.
    (e) Regional Advisory Council.--
            (1) Establishment.--Each Regional Administrator
        shall establish a Regional Advisory Council.
            (2) Nominations.--A State, local, or tribal
        government located within the geographic area served by
        the Regional Office may nominate officials, including
        Adjutants General and emergency managers, to serve as
        members of the Regional Advisory Council for that
        region.
            (3) Responsibilities.--Each Regional Advisory
        Council shall--
                    (A) advise the Regional Administrator on
                emergency management issues specific to that
                region;
                    (B) identify any geographic, demographic,
                or other characteristics peculiar to any State,
                local, or tribal government within the region
                that might make preparedness, protection,
                response, recovery, or mitigation more
                complicated or difficult; and
                    (C) advise the Regional Administrator of
                any weaknesses or deficiencies in preparedness,
                protection, response, recovery, and mitigation
                for any State, local, and tribal government
                within the region of which the Regional
                Advisory Council is aware.
    (f) Regional Office Strike Teams.--
            (1) In general.--In coordination with other
        relevant Federal agencies, each Regional Administrator
        shall oversee multi-agency strike teams authorized
        under section 303 of the Robert T. Stafford Disaster
        Relief and Emergency Assistance Act (42 U.S.C. 5144)
        that shall consist of--
                    (A) a designated Federal coordinating
                officer;
                    (B) personnel trained in incident
                management;
                    (C) public affairs, response and recovery,
                and communications support personnel;
                    (D) a defense coordinating officer;
                    (E) liaisons to other Federal agencies;
                    (F) such other personnel as the
                Administrator or Regional Administrator
                determines appropriate; and
                    (G) individuals from the agencies with
                primary responsibility for each of the
                emergency support functions in the National
                Response Plan.
            (2) Other duties.--The duties of an individual
        assigned to a Regional Office strike team from another
        relevant agency when such individual is not functioning
        as a member of the strike team shall be consistent with
        the emergency preparedness activities of the agency
        that employs such individual.
            (3) Location of members.--The members of each
        Regional Office strike team, including representatives
        from agencies other than the Department, shall be based
        primarily within the region that corresponds to that
        strike team.
            (4) Coordination.--Each Regional Office strike team
        shall coordinate the training and exercises of that
        strike team with the State, local, and tribal
        governments and private sector and nongovernmental
        entities which the strike team shall support when a
        natural disaster, act of terrorism, or other man-made
        disaster occurs.
            (5) Preparedness.--Each Regional Office strike team
        shall be trained as a unit on a regular basis and
        equipped and staffed to be well prepared to respond to
        natural disasters, acts of terrorism, and other man-
        made disasters, including catastrophic incidents.
            (6) Authorities.--If the Administrator determines
        that statutory authority is inadequate for the
        preparedness and deployment of individuals in strike
        teams under this subsection, the Administrator shall
        report to Congress regarding the additional statutory
        authorities that the Administrator determines are
        necessary.

SEC. 508. [6 U.S.C. 318] NATIONAL ADVISORY COUNCIL.

    (a) Establishment.--Not later than 60 days after the date
of enactment of the Post-Katrina Emergency Management Reform
Act of 2006, the Secretary shall establish an advisory body
under section 871(a) to ensure effective and ongoing
coordination of Federal preparedness, protection, response,
recovery, and mitigation for natural disasters, acts of
terrorism, and other man-made disasters, to be known as the
National Advisory Council.
    (b) Responsibilities.--
            (1) In general.--The National Advisory Council
        shall advise the Administrator on all aspects of
        emergency management. The National Advisory Council
        shall incorporate State, local, and tribal government
        and private sector input in the development and
        revision of the national preparedness goal, the
        national preparedness system, the National Incident
        Management System, the National Response Plan, and
        other related plans and strategies.
            (2) Consultation on grants.--To ensure input from
        and coordination with State, local, and tribal
        governments and emergency response providers, the
        Administrator shall regularly consult and work with the
        National Advisory Council on the administration and
        assessment of grant programs administered by the
        Department, including with respect to the development
        of program guidance and the development and evaluation
        of risk-assessment methodologies, as appropriate.
    (c) Membership.--
            (1) In general.--The members of the National
        Advisory Council shall be appointed by the
        Administrator, and shall, to the extent practicable,
        represent a geographic (including urban and rural) and
        substantive cross section of officials, emergency
        managers, and emergency response providers from State,
        local, and tribal governments, the private sector, and
        nongovernmental organizations, including as
        appropriate--
                    (A) members selected from the emergency
                management field and emergency response
                providers, including fire service, law
                enforcement, hazardous materials response,
                emergency medical services, and emergency
                management personnel, or organizations
                representing such individuals;
                    (B) health scientists, emergency and
                inpatient medical providers, and public health
                professionals;
                    (C) experts from Federal, State, local, and
                tribal governments, and the private sector,
                representing standards-setting and accrediting
                organizations, including representatives from
                the voluntary consensus codes and standards
                development community, particularly those with
                expertise in the emergency preparedness and
                response field;
                    (D) State, local, and tribal government
                officials with expertise in preparedness,
                protection, response, recovery, and mitigation,
                including Adjutants General;
                    (E) elected State, local, and tribal
                government executives;
                    (F) experts in public and private sector
                infrastructure protection, cybersecurity, and
                communications;
                    (G) representatives of individuals with
                disabilities and other populations with special
                needs; and
                    (H) such other individuals as the
                Administrator determines to be appropriate.
            (2) Coordination with the departments of health and
        human services and transportation.--In the selection of
        members of the National Advisory Council who are health
        or emergency medical services professionals, the
        Administrator shall work with the Secretary of Health
        and Human Services and the Secretary of Transportation.
            (3) Ex officio members.--The Administrator shall
        designate 1 or more officers of the Federal Government
        to serve as ex officio members of the National Advisory
        Council.
            (4) Terms of office.--
                    (A) In general.--Except as provided in
                subparagraph (B), the term of office of each
                member of the National Advisory Council shall
                be 3 years.
                    (B) Initial appointments.--Of the members
                initially appointed to the National Advisory
                Council--
                            (i) one-third shall be appointed
                        for a term of 1 year; and
                            (ii) one-third shall be appointed
                        for a term of 2 years.
    (d) Applicability of Federal Advisory Committee Act.--
            (1) In general.--Notwithstanding section 871(a) and
        subject to paragraph (2), the Federal Advisory
        Committee Act (5 U.S.C. App.), including subsections
        (a), (b), and (d) of section 10 of such Act, and
        section 552b(c) of title 5, United States Code, shall
        apply to the National Advisory Council.
            (2) Termination.--Section 14(a)(2) of the Federal
        Advisory Committee Act (5 U.S.C. App.) shall not apply
        to the National Advisory Council.

SEC. 509. [6 U.S.C. 319] NATIONAL INTEGRATION CENTER.

    (a) In General.--There is established in the Agency a
National Integration Center.
    (b) Responsibilities.--
            (1) In general.--The Administrator, through the
        National Integration Center, and in consultation with
        other Federal departments and agencies and the National
        Advisory Council, shall ensure ongoing management and
        maintenance of the National Incident Management System,
        the National Response Plan, and any successor to such
        system or plan.
            (2) Specific responsibilities.--The National
        Integration Center shall periodically review, and
        revise as appropriate, the National Incident Management
        System and the National Response Plan, including--
                    (A) establishing, in consultation with the
                Director of the Corporation for National and
                Community Service, a process to better use
                volunteers and donations;
                    (B) improving the use of Federal, State,
                local, and tribal resources and ensuring the
                effective use of emergency response providers
                at emergency scenes; and
                    (C) revising the Catastrophic Incident
                Annex, finalizing and releasing the
                Catastrophic Incident Supplement to the
                National Response Plan, and ensuring that both
                effectively address response requirements in
                the event of a catastrophic incident.
    (c) Incident Management.--
            (1) In general.--
                    (A) National response plan.--The Secretary,
                acting through the Administrator, shall ensure
                that the National Response Plan provides for a
                clear chain of command to lead and coordinate
                the Federal response to any natural disaster,
                act of terrorism, or other man-made disaster.
                    (B) Administrator.--The chain of the
                command specified in the National Response Plan
                shall--
                            (i) provide for a role for the
                        Administrator consistent with the role
                        of the Administrator as the principal
                        emergency management advisor to the
                        President, the Homeland Security
                        Council, and the Secretary under
                        section 503(c)(4) and the
                        responsibility of the Administrator
                        under the Post-Katrina Emergency
                        Management Reform Act of 2006, and the
                        amendments made by that Act, relating
                        to natural disasters, acts of
                        terrorism, and other man-made
                        disasters; and
                            (ii) provide for a role for the
                        Federal Coordinating Officer consistent
                        with the responsibilities under section
                        302(b) of the Robert T. Stafford
                        Disaster Relief and Emergency
                        Assistance Act (42 U.S.C. 5143(b)).
            (2) Principal federal official.--The Principal
        Federal Official (or the successor thereto) shall not--
                    (A) direct or replace the incident command
                structure established at the incident; or
                    (B) have directive authority over the
                Senior Federal Law Enforcement Official,
                Federal Coordinating Officer, or other Federal
                and State officials.

SEC. 510. [6 U.S.C. 320] CREDENTIALING AND TYPING.

    (a) In General.--The Administrator shall enter into a
memorandum of understanding with the administrators of the
Emergency Management Assistance Compact, State, local, and
tribal governments, and organizations that represent emergency
response providers, to collaborate on developing standards for
deployment capabilities, including for credentialing and typing
of incident management personnel, emergency response providers,
and other personnel (including temporary personnel) and
resources likely needed to respond to natural disasters, acts
of terrorism, and other man-made disasters.
    (b) Distribution.--
            (1) In general.--Not later than 1 year after the
        date of enactment of the Implementing Recommendations
        of the 9/11 Commission Act of 2007, the Administrator
        shall provide the standards developed under subsection
        (a), including detailed written guidance, to--
                    (A) each Federal agency that has
                responsibilities under the National Response
                Plan to aid that agency with credentialing and
                typing incident management personnel, emergency
                response providers, and other personnel
                (including temporary personnel) and resources
                likely needed to respond to a natural disaster,
                act of terrorism, or other man-made disaster;
                and
                    (B) State, local, and tribal governments,
                to aid such governments with credentialing and
                typing of State, local, and tribal incident
                management personnel, emergency response
                providers, and other personnel (including
                temporary personnel) and resources likely
                needed to respond to a natural disaster, act of
                terrorism, or other man-made disaster.
            (2) Assistance.--The Administrator shall provide
        expertise and technical assistance to aid Federal,
        State, local, and tribal government agencies with
        credentialing and typing incident management personnel,
        emergency response providers, and other personnel
        (including temporary personnel) and resources likely
        needed to respond to a natural disaster, act of
        terrorism, or other man-made disaster.
    (c) Credentialing and Typing of Personnel.--Not later than
6 months after receiving the standards provided under
subsection (b), each Federal agency with responsibilities under
the National Response Plan shall ensure that incident
management personnel, emergency response providers, and other
personnel (including temporary personnel) and resources likely
needed to respond to a natural disaster, act of terrorism, or
other manmade disaster are credentialed and typed in accordance
with this section.
    (d) Consultation on Health Care Standards.--In developing
standards for credentialing health care professionals under
this section, the Administrator shall consult with the
Secretary of Health and Human Services.

SEC. 511. [6 U.S.C. 321] THE NATIONAL INFRASTRUCTURE SIMULATION AND
                    ANALYSIS CENTER.

    (a) Definition.--In this section, the term ``National
Infrastructure Simulation and Analysis Center'' means the
National Infrastructure Simulation and Analysis Center
established under section 1016(d) of the USA PATRIOT Act (42
U.S.C. 5195c(d)).
    (b) Authority.--
            (1) In general.--There is in the Department the
        National Infrastructure Simulation and Analysis Center
        which shall serve as a source of national expertise to
        address critical infrastructure protection and
        continuity through support for activities related to--
                    (A) counterterrorism, threat assessment,
                and risk mitigation; and
                    (B) a natural disaster, act of terrorism,
                or other man-made disaster.
            (2) Infrastructure modeling.--
                    (A) Particular support.--The support
                provided under paragraph (1) shall include
                modeling, simulation, and analysis of the
                systems and assets comprising critical
                infrastructure, in order to enhance
                preparedness, protection, response, recovery,
                and mitigation activities.
                    (B) Relationship with other agencies.--Each
                Federal agency and department with critical
                infrastructure responsibilities under Homeland
                Security Presidential Directive 7, or any
                successor to such directive, shall establish a
                formal relationship, including an agreement
                regarding information sharing, between the
                elements of such agency or department and the
                National Infrastructure Simulation and Analysis
                Center, through the Department.
                    (C) Purpose.--
                            (i) In general.--The purpose of the
                        relationship under subparagraph (B)
                        shall be to permit each Federal agency
                        and department described in
                        subparagraph (B) to take full advantage
                        of the capabilities of the National
                        Infrastructure Simulation and Analysis
                        Center (particularly vulnerability and
                        consequence analysis), consistent with
                        its work load capacity and priorities,
                        for real-time response to reported and
                        projected natural disasters, acts of
                        terrorism, and other man-made
                        disasters.
                            (ii) Recipient of certain
                        support.--Modeling, simulation, and
                        analysis provided under this subsection
                        shall be provided to relevant Federal
                        agencies and departments, including
                        Federal agencies and departments with
                        critical infrastructure
                        responsibilities under Homeland
                        Security Presidential Directive 7, or
                        any successor to such directive.

SEC. 512. [6 U.S.C. 321A] EVACUATION PLANS AND EXERCISES.

    (a) In General.--Notwithstanding any other provision of
law, and subject to subsection (d), grants made to States or
local or tribal governments by the Department through the State
Homeland Security Grant Program or the Urban Area Security
Initiative may be used to--
            (1) establish programs for the development and
        maintenance of mass evacuation plans under subsection
        (b) in the event of a natural disaster, act of
        terrorism, or other man-made disaster;
            (2) prepare for the execution of such plans,
        including the development of evacuation routes and the
        purchase and stockpiling of necessary supplies and
        shelters; and
            (3) conduct exercises of such plans.
    (b) Plan Development.--In developing the mass evacuation
plans authorized under subsection (a), each State, local, or
tribal government shall, to the maximum extent practicable--
            (1) establish incident command and decision making
        processes;
            (2) ensure that State, local, and tribal government
        plans, including evacuation routes, are coordinated and
        integrated;
            (3) identify primary and alternative evacuation
        routes and methods to increase evacuation capabilities
        along such routes such as conversion of two-way traffic
        to one-way evacuation routes;
            (4) identify evacuation transportation modes and
        capabilities, including the use of mass and public
        transit capabilities, and coordinating and integrating
        evacuation plans for all populations including for
        those individuals located in hospitals, nursing homes,
        and other institutional living facilities;
            (5) develop procedures for informing the public of
        evacuation plans before and during an evacuation,
        including individuals--
                    (A) with disabilities or other special
                needs, including the elderly;
                    (B) with limited English proficiency; or
                    (C) who might otherwise have difficulty in
                obtaining such information; and
            (6) identify shelter locations and capabilities.
    (c) Assistance.--
            (1) In general.--The Administrator may establish
        any guidelines, standards, or requirements determined
        appropriate to administer this section and to ensure
        effective mass evacuation planning for State, local,
        and tribal areas.
            (2) Requested assistance.--The Administrator shall
        make assistance available upon request of a State,
        local, or tribal government to assist hospitals,
        nursing homes, and other institutions that house
        individuals with special needs to establish, maintain,
        and exercise mass evacuation plans that are coordinated
        and integrated into the plans developed by that State,
        local, or tribal government under this section.
    (d) Multipurpose Funds.--Nothing in this section may be
construed to preclude a State, local, or tribal government from
using grant funds in a manner that enhances preparedness for a
natural or man-made disaster unrelated to an act of terrorism,
if such use assists such government in building capabilities
for terrorism preparedness.

SEC. 513. [6 U.S.C. 321B] DISABILITY COORDINATOR.

    (a) In General.--After consultation with organizations
representing individuals with disabilities, the National
Council on Disabilities, and the Interagency Coordinating
Council on Preparedness and Individuals with Disabilities,
established under Executive Order No. 13347 (6 U.S.C. 312
note), the Administrator shall appoint a Disability
Coordinator. The Disability Coordinator shall report directly
to the Administrator, in order to ensure that the needs of
individuals with disabilities are being properly addressed in
emergency preparedness and disaster relief.
    (b) Responsibilities.--The Disability Coordinator shall be
responsible for--
            (1) providing guidance and coordination on matters
        related to individuals with disabilities in emergency
        planning requirements and relief efforts in the event
        of a natural disaster, act of terrorism, or other man-
        made disaster;
            (2) interacting with the staff of the Agency, the
        National Council on Disabilities, the Interagency
        Coordinating Council on Preparedness and Individuals
        with Disabilities established under Executive Order No.
        13347 (6 U.S.C. 312 note), other agencies of the
        Federal Government, and State, local, and tribal
        government authorities regarding the needs of
        individuals with disabilities in emergency planning
        requirements and relief efforts in the event of a
        natural disaster, act of terrorism, or other man-made
        disaster;
            (3) consulting with organizations that represent
        the interests and rights of individuals with
        disabilities about the needs of individuals with
        disabilities in emergency planning requirements and
        relief efforts in the event of a natural disaster, act
        of terrorism, or other man-made disaster;
            (4) ensuring the coordination and dissemination of
        best practices and model evacuation plans for
        individuals with disabilities;
            (5) ensuring the development of training materials
        and a curriculum for training of emergency response
        providers, State, local, and tribal government
        officials, and others on the needs of individuals with
        disabilities;
            (6) promoting the accessibility of telephone
        hotlines and websites regarding emergency preparedness,
        evacuations, and disaster relief;
            (7) working to ensure that video programming
        distributors, including broadcasters, cable operators,
        and satellite television services, make emergency
        information accessible to individuals with hearing and
        vision disabilities;
            (8) ensuring the availability of accessible
        transportation options for individuals with
        disabilities in the event of an evacuation;
            (9) providing guidance and implementing policies to
        ensure that the rights and wishes of individuals with
        disabilities regarding post-evacuation residency and
        relocation are respected;
            (10) ensuring that meeting the needs of individuals
        with disabilities are included in the components of the
        national preparedness system established under section
        644 of the Post-Katrina Emergency Management Reform Act
        of 2006; and
            (11) any other duties as assigned by the
        Administrator.

SEC. 514. [6 U.S.C. 321C] DEPARTMENT AND AGENCY OFFICIALS.

    (a) Deputy Administrators.--The President may appoint, by
and with the advice and consent of the Senate, not more than 4
Deputy Administrators to assist the Administrator in carrying
out this title.
    (b) Cybersecurity and Communications.--There is in the
Department an Assistant Secretary for Cybersecurity and
Communications.
    (c) United States Fire Administration.--The Administrator
of the United States Fire Administration shall have a rank
equivalent to an assistant secretary of the Department.

SEC. 515. [6 U.S.C. 321D] NATIONAL OPERATIONS CENTER.

    (a) Definition.--In this section, the term ``situational
awareness'' means information gathered from a variety of
sources that, when communicated to emergency managers and
decision makers, can form the basis for incident management
decisionmaking.
    (b) Establishment.--The National Operations Center is the
principal operations center for the Department and shall--
            (1) provide situational awareness and a common
        operating picture for the entire Federal Government,
        and for State, local, and tribal governments as
        appropriate, in the event of a natural disaster, act of
        terrorism, or other man-made disaster; and
            (2) ensure that critical terrorism and disaster-
        related information reaches government decision-makers.
    (c) State and Local Fire Service Representation.--
            (1) Establishment of position.--The Secretary
        shall, in consultation with the Administrator of the
        United States Fire Administration, establish a fire
        service position at the National Operations Center
        established under subsection (b) to ensure the
        effective sharing of information between the Federal
        Government and State and local fire services.
            (2) Designation of position.--The Secretary shall
        designate, on a rotating basis, a State or local fire
        service official for the position described in
        paragraph (1).
            (3) Management.--The Secretary shall manage the
        position established pursuant to paragraph (1) in
        accordance with such rules, regulations, and practices
        as govern other similar rotating positions at the
        National Operations Center.

SEC. 516. [6 U.S.C. 321E] CHIEF MEDICAL OFFICER.

    (a) In General.--There is in the Department a Chief Medical
Officer, who shall be appointed by the President, by and with
the advice and consent of the Senate.
    (b) Qualifications.--The individual appointed as Chief
Medical Officer shall possess a demonstrated ability in and
knowledge of medicine and public health.
    (c) Responsibilities.--The Chief Medical Officer shall have
the primary responsibility within the Department for medical
issues related to natural disasters, acts of terrorism, and
other man-made disasters, including--
            (1) serving as the principal advisor to the
        Secretary and the Administrator on medical and public
        health issues;
            (2) coordinating the biodefense activities of the
        Department;
            (3) ensuring internal and external coordination of
        all medical preparedness and response activities of the
        Department, including training, exercises, and
        equipment support;
            (4) serving as the Department's primary point of
        contact with the Department of Agriculture, the
        Department of Defense, the Department of Health and
        Human Services, the Department of Transportation, the
        Department of Veterans Affairs, and other Federal
        departments or agencies, on medical and public health
        issues;
            (5) serving as the Department's primary point of
        contact for State, local, and tribal governments, the
        medical community, and others within and outside the
        Department, with respect to medical and public health
        matters;
            (6) discharging, in coordination with the Under
        Secretary for Science and Technology, the
        responsibilities of the Department related to Project
        Bioshield; and
            (7) performing such other duties relating to such
        responsibilities as the Secretary may require.

SEC. 517. [6 U.S.C. 321F] 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 in the United States), 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. 518. [6 U.S.C. 321G] 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. 519. [6 U.S.C. 321H] USE OF NATIONAL PRIVATE SECTOR NETWORKS IN
                    EMERGENCY RESPONSE.

    To the maximum extent practicable, the Secretary shall use
national private sector networks and infrastructure for
emergency response to chemical, biological, radiological,
nuclear, or explosive disasters, and other major disasters.

SEC. 520. [6 U.S.C. 321I] USE OF COMMERCIALLY AVAILABLE TECHNOLOGY,
                    GOODS, AND SERVICES.

    It is the sense of Congress that--
            (1) the Secretary should, to the maximum extent
        possible, use off-the-shelf commercially developed
        technologies to ensure that the Department's
        information technology systems allow the Department to
        collect, manage, share, analyze, and disseminate
        information securely over multiple channels of
        communication; and
            (2) in order to further the policy of the United
        States to avoid competing commercially with the private
        sector, the Secretary should rely on commercial sources
        to supply the goods and services needed by the
        Department.

SEC. 521. [6 U.S.C. 321J] PROCUREMENT OF SECURITY COUNTERMEASURES FOR
                    STRATEGIC NATIONAL STOCKPILE.

    (a) Authorization of Appropriations.--For the procurement
of security countermeasures under section 319F-2(c) of the
Public Health Service Act (referred to in this section as the
``security countermeasures program''), there is authorized to
be appropriated up to $5,593,000,000 for the fiscal years 2004
through 2013. Of the amounts appropriated under the preceding
sentence, not to exceed $3,418,000,000 may be obligated during
the fiscal years 2004 through 2008, of which not to exceed
$890,000,000 may be obligated during fiscal year 2004. None of
the funds made available under this subsection shall be used to
procure countermeasures to diagnose, mitigate, prevent, or
treat harm resulting from any naturally occurring infectious
disease or other public health threat that are not security
countermeasures under section 319F-2(c)(1)(B). \1\
---------------------------------------------------------------------------
    \1\ The last sentence in section 521(a) was added to reflect the
probable intent of Congress. Section 403(c) of Public Law 109-417 (120
Stat. 2874) provides as follows:

    (c) Limitation on Use of Funds.--Section 510(a) of the Homeland
Security Act of 2002 (6 U.S.C. 320(a)) is amended by adding at the end
the following: ``None of the funds made available under this subsection
shall be used to procure countermeasures to diagnose, mitigate,
prevent, or treat harm resulting from any naturally occurring
infectious disease or other public health threat that are not security
countermeasures under section 319F-2(c)(1)(B).''.

     Section 510 of the Homeland Security Act of 2002 was redesignated
as section 521 by section 611(7) of Public Law 109-295 (120 Stat.
1395).
---------------------------------------------------------------------------
    (b) Special Reserve Fund.--For purposes of the security
countermeasures program, the term ``special reserve fund''
means the ``Biodefense Countermeasures'' appropriations account
or any other appropriation made under subsection (a).
    (c) Availability.--Amounts appropriated under subsection
(a) become available for a procurement under the security
countermeasures program only upon the approval by the President
of such availability for the procurement in accordance with
paragraph (6)(B) of such program.
    (d) Related Authorizations of Appropriations.--
            (1) Threat assessment capabilities.--For the
        purpose of carrying out the responsibilities of the
        Secretary for terror threat assessment under the
        security countermeasures program, there are authorized
        to be appropriated such sums as may be necessary for
        each of the fiscal years 2004 through 2006, for the
        hiring of professional personnel within the Office of
        Intelligence and Analysis, who shall be analysts
        responsible for chemical, biological, radiological, and
        nuclear threat assessment (including but not limited to
        analysis of chemical, biological, radiological, and
        nuclear agents, the means by which such agents could be
        weaponized or used in a terrorist attack, and the
        capabilities, plans, and intentions of terrorists and
        other non-state actors who may have or acquire such
        agents). All such analysts shall meet the applicable
        standards and qualifications for the performance of
        intelligence activities promulgated by the Director of
        Central Intelligence pursuant to section 104 of the
        National Security Act of 1947.
            (2) Intelligence sharing infrastructure.--For the
        purpose of carrying out the acquisition and deployment
        of secure facilities (including information technology
        and physical infrastructure, whether mobile and
        temporary, or permanent) sufficient to permit the
        Secretary to receive, not later than 180 days after the
        date of enactment of the Project BioShield Act of 2004,
        all classified information and products to which the
        Under Secretary for Intelligence and Analysis is
        entitled under subtitle A of title II, there are
        authorized to be appropriated such sums as may be
        necessary for each of the fiscal years 2004 through
        2006.

SEC. 522. [6 U.S.C. 321K] MODEL STANDARDS AND GUIDELINES FOR CRITICAL
                    INFRASTRUCTURE WORKERS.

    (a) In General.--Not later than 12 months after the date of
enactment of the Implementing Recommendations of the 9/11
Commission Act of 2007, and in coordination with appropriate
national professional organizations, Federal, State, local, and
tribal government agencies, and private-sector and
nongovernmental entities, the Administrator shall establish
model standards and guidelines for credentialing critical
infrastructure workers that may be used by a State to
credential critical infrastructure workers that may respond to
a natural disaster, act of terrorism, or other man-made
disaster.
    (b) Distribution and Assistance.--The Administrator shall
provide the standards developed under subsection (a), including
detailed written guidance, to State, local, and tribal
governments, and provide expertise and technical assistance to
aid such governments with credentialing critical infrastructure
workers that may respond to a natural disaster, act of
terrorism, or other manmade disaster.

SEC. 523. [6 U.S.C. 321L] GUIDANCE AND RECOMMENDATIONS.

    (a) In General.--Consistent with their responsibilities and
authorities under law, as of the day before the date of the
enactment of this section, the Administrator and the Assistant
Secretary for Infrastructure Protection, in consultation with
the private sector, may develop guidance or recommendations and
identify best practices to assist or foster action by the
private sector in--
            (1) identifying potential hazards and assessing
        risks and impacts;
            (2) mitigating the impact of a wide variety of
        hazards, including weapons of mass destruction;
            (3) managing necessary emergency preparedness and
        response resources;
            (4) developing mutual aid agreements;
            (5) developing and maintaining emergency
        preparedness and response plans, and associated
        operational procedures;
            (6) developing and conducting training and
        exercises to support and evaluate emergency
        preparedness and response plans and operational
        procedures;
            (7) developing and conducting training programs for
        security guards to implement emergency preparedness and
        response plans and operations procedures; and
            (8) developing procedures to respond to requests
        for information from the media or the public.
    (b) Issuance and Promotion.--Any guidance or
recommendations developed or best practices identified under
subsection (a) shall be--
            (1) issued through the Administrator; and
            (2) promoted by the Secretary to the private
        sector.
    (c) Small Business Concerns.--In developing guidance or
recommendations or identifying best practices under subsection
(a), the Administrator and the Assistant Secretary for
Infrastructure Protection shall take into consideration small
business concerns (under the meaning given that term in section
3 of the Small Business Act (15 U.S.C. 632)), including any
need for separate guidance or recommendations or best
practices, as necessary and appropriate.
    (d) Rule of Construction.--Nothing in this section may be
construed to supersede any requirement established under any
other provision of law.

SEC. 524. [6 U.S.C. 321M] VOLUNTARY PRIVATE SECTOR PREPAREDNESS
                    ACCREDITATION AND CERTIFICATION PROGRAM.

    (a) Establishment.--
            (1) In general.--The Secretary, acting through the
        officer designated under paragraph (2), shall establish
        and implement the voluntary private sector preparedness
        accreditation and certification program in accordance
        with this section.
            (2) Designation of officer.--The Secretary shall
        designate an officer responsible for the accreditation
        and certification program under this section. Such
        officer (hereinafter referred to in this section as the
        ``designated officer'') shall be one of the following:
                    (A) The Administrator, based on
                consideration of--
                            (i) the expertise of the
                        Administrator in emergency management
                        and preparedness in the United States;
                        and
                            (ii) the responsibilities of the
                        Administrator as the principal advisor
                        to the President for all matters
                        relating to emergency management in the
                        United States.
                    (B) The Assistant Secretary for
                Infrastructure Protection, based on
                consideration of the expertise of the Assistant
                Secretary in, and responsibilities for--
                            (i) protection of critical
                        infrastructure;
                            (ii) risk assessment methodologies;
                        and
                            (iii) interacting with the private
                        sector on the issues described in
                        clauses (i) and (ii).
                    (C) The Under Secretary for Science and
                Technology, based on consideration of the
                expertise of the Under Secretary in, and
                responsibilities associated with, standards.
            (3) Coordination.--In carrying out the
        accreditation and certification program under this
        section, the designated officer shall coordinate with--
                    (A) the other officers of the Department
                referred to in paragraph (2), using the
                expertise and responsibilities of such
                officers; and
                    (B) the Special Assistant to the Secretary
                for the Private Sector, based on consideration
                of the expertise of the Special Assistant in,
                and responsibilities for, interacting with the
                private sector.
    (b) Voluntary Private Sector Preparedness Standards;
Voluntary Accreditation and Certification Program for the
Private Sector.--
            (1) Accreditation and certification program.--Not
        later than 210 days after the date of enactment of the
        Implementing Recommendations of the 9/11 Commission Act
        of 2007, the designated officer shall--
                    (A) begin supporting the development and
                updating, as necessary, of voluntary
                preparedness standards through appropriate
                organizations that coordinate or facilitate the
                development and use of voluntary consensus
                standards and voluntary consensus standards
                development organizations; and
                    (B) in consultation with representatives of
                appropriate organizations that coordinate or
                facilitate the development and use of voluntary
                consensus standards, appropriate voluntary
                consensus standards development organizations,
                each private sector advisory council created
                under section 102(f)(4), appropriate
                representatives of State and local governments,
                including emergency management officials, and
                appropriate private sector advisory groups,
                such as sector coordinating councils and
                information sharing and analysis centers--
                            (i) develop and promote a program
                        to certify the preparedness of private
                        sector entities that voluntarily choose
                        to seek certification under the
                        program; and
                            (ii) implement the program under
                        this subsection through any entity with
                        which the designated officer enters
                        into an agreement under paragraph
                        (3)(A), which shall accredit third
                        parties to carry out the certification
                        process under this section.
            (2) Program elements.--
                    (A) In general.--
                            (i) Program.--The program developed
                        and implemented under this subsection
                        shall assess whether a private sector
                        entity complies with voluntary
                        preparedness standards.
                            (ii) Guidelines.--In developing the
                        program under this subsection, the
                        designated officer shall develop
                        guidelines for the accreditation and
                        certification processes established
                        under this subsection.
                    (B) Standards.--The designated officer, in
                consultation with representatives of
                appropriate organizations that coordinate or
                facilitate the development and use of voluntary
                consensus standards, representatives of
                appropriate voluntary consensus standards
                development organizations, each private sector
                advisory council created under section
                102(f)(4), appropriate representatives of State
                and local governments, including emergency
                management officials, and appropriate private
                sector advisory groups such as sector
                coordinating councils and information sharing
                and analysis centers--
                            (i) shall adopt one or more
                        appropriate voluntary preparedness
                        standards that promote preparedness,
                        which may be tailored to address the
                        unique nature of various sectors within
                        the private sector, as necessary and
                        appropriate, that shall be used in the
                        accreditation and certification program
                        under this subsection; and
                            (ii) after the adoption of one or
                        more standards under clause (i), may
                        adopt additional voluntary preparedness
                        standards or modify or discontinue the
                        use of voluntary preparedness standards
                        for the accreditation and certification
                        program, as necessary and appropriate
                        to promote preparedness.
                    (C) Submission of recommendations.--In
                adopting one or more standards under
                subparagraph (B), the designated officer may
                receive recommendations from any entity
                described in that subparagraph relating to
                appropriate voluntary preparedness standards,
                including appropriate sector specific
                standards, for adoption in the program.
                    (D) Small business concerns.--The
                designated officer and any entity with which
                the designated officer enters into an agreement
                under paragraph (3)(A) shall establish separate
                classifications and methods of certification
                for small business concerns (under the meaning
                given that term in section 3 of the Small
                Business Act (15 U.S.C. 632)) for the program
                under this subsection.
                    (E) Considerations.--In developing and
                implementing the program under this subsection,
                the designated officer shall--
                            (i) consider the unique nature of
                        various sectors within the private
                        sector, including preparedness
                        standards, business continuity
                        standards, or best practices,
                        established--
                                    (I) under any other
                                provision of Federal law; or
                                    (II) by any sector-specific
                                agency, as defined under
                                Homeland Security Presidential
                                Directive-7; and
                            (ii) coordinate the program, as
                        appropriate, with--
                                    (I) other Department
                                private sector related
                                programs; and
                                    (II) preparedness and
                                business continuity programs in
                                other Federal agencies.
            (3) Accreditation and certification processes.--
                    (A) Agreement.--
                            (i) In general.--Not later than 210
                        days after the date of enactment of the
                        Implementing Recommendations of the 9/
                        11 Commission Act of 2007, the
                        designated officer shall enter into one
                        or more agreements with a highly
                        qualified nongovernmental entity with
                        experience or expertise in coordinating
                        and facilitating the development and
                        use of voluntary consensus standards
                        and in managing or implementing
                        accreditation and certification
                        programs for voluntary consensus
                        standards, or a similarly qualified
                        private sector entity, to carry out
                        accreditations and oversee the
                        certification process under this
                        subsection. An entity entering into an
                        agreement with the designated officer
                        under this clause (hereinafter referred
                        to in this section as a ``selected
                        entity'') shall not perform
                        certifications under this subsection.
                            (ii) Contents.--A selected entity
                        shall manage the accreditation process
                        and oversee the certification process
                        in accordance with the program
                        established under this subsection and
                        accredit qualified third parties to
                        carry out the certification program
                        established under this subsection.
                    (B) Procedures and requirements for
                accreditation and certification.--
                            (i) In general.--Any selected
                        entity shall collaborate to develop
                        procedures and requirements for the
                        accreditation and certification
                        processes under this subsection, in
                        accordance with the program established
                        under this subsection and guidelines
                        developed under paragraph (2)(A)(ii).
                            (ii) Contents and use.--The
                        procedures and requirements developed
                        under clause (i) shall--
                                    (I) ensure reasonable
                                uniformity in any accreditation
                                and certification processes if
                                there is more than one selected
                                entity; and
                                    (II) be used by any
                                selected entity in conducting
                                accreditations and overseeing
                                the certification process under
                                this subsection.
                            (iii) Disagreement.--Any
                        disagreement among selected entities in
                        developing procedures under clause (i)
                        shall be resolved by the designated
                        officer.
                    (C) Designation.--A selected entity may
                accredit any qualified third party to carry out
                the certification process under this
                subsection.
                    (D) Disadvantaged business involvement.--In
                accrediting qualified third parties to carry
                out the certification process under this
                subsection, a selected entity shall ensure, to
                the extent practicable, that the third parties
                include qualified small, minority, women-owned,
                or disadvantaged business concerns when
                appropriate. The term ``disadvantaged business
                concern'' means a small business that is owned
                and controlled by socially and economically
                disadvantaged individuals, as defined in
                section 124 of title 13, United States Code of
                Federal Regulations.
                    (E) Treatment of other certifications.--At
                the request of any entity seeking
                certification, any selected entity may
                consider, as appropriate, other relevant
                certifications acquired by the entity seeking
                certification. If the selected entity
                determines that such other certifications are
                sufficient to meet the certification
                requirement or aspects of the certification
                requirement under this section, the selected
                entity may give credit to the entity seeking
                certification, as appropriate, to avoid
                unnecessarily duplicative certification
                requirements.
                    (F) Third parties.--To be accredited under
                subparagraph (C), a third party shall--
                            (i) demonstrate that the third
                        party has the ability to certify
                        private sector entities in accordance
                        with the procedures and requirements
                        developed under subparagraph (B);
                            (ii) agree to perform
                        certifications in accordance with such
                        procedures and requirements;
                            (iii) agree not to have any
                        beneficial interest in or any direct or
                        indirect control over--
                                    (I) a private sector entity
                                for which that third party
                                conducts a certification under
                                this subsection; or
                                    (II) any organization that
                                provides preparedness
                                consulting services to private
                                sector entities;
                            (iv) agree not to have any other
                        conflict of interest with respect to
                        any private sector entity for which
                        that third party conducts a
                        certification under this subsection;
                            (v) maintain liability insurance
                        coverage at policy limits in accordance
                        with the requirements developed under
                        subparagraph (B); and
                            (vi) enter into an agreement with
                        the selected entity accrediting that
                        third party to protect any proprietary
                        information of a private sector entity
                        obtained under this subsection.
                    (G) Monitoring.--
                            (i) In general.--The designated
                        officer and any selected entity shall
                        regularly monitor and inspect the
                        operations of any third party
                        conducting certifications under this
                        subsection to ensure that the third
                        party is complying with the procedures
                        and requirements established under
                        subparagraph (B) and all other
                        applicable requirements.
                            (ii) Revocation.--If the designated
                        officer or any selected entity
                        determines that a third party is not
                        meeting the procedures or requirements
                        established under subparagraph (B), the
                        selected entity shall--
                                    (I) revoke the
                                accreditation of that third
                                party to conduct certifications
                                under this subsection; and
                                    (II) review any
                                certification conducted by that
                                third party, as necessary and
                                appropriate.
            (4) Annual review.--
                    (A) In general.--The designated officer, in
                consultation with representatives of
                appropriate organizations that coordinate or
                facilitate the development and use of voluntary
                consensus standards, appropriate voluntary
                consensus standards development organizations,
                appropriate representatives of State and local
                governments, including emergency management
                officials, and each private sector advisory
                council created under section 102(f)(4), shall
                annually review the voluntary accreditation and
                certification program established under this
                subsection to ensure the effectiveness of such
                program (including the operations and
                management of such program by any selected
                entity and the selected entity's inclusion of
                qualified disadvantaged business concerns under
                paragraph (3)(D)) and make improvements and
                adjustments to the program as necessary and
                appropriate.
                    (B) Review of standards.--Each review under
                subparagraph (A) shall include an assessment of
                the voluntary preparedness standard or
                standards used in the program under this
                subsection.
            (5) Voluntary participation.--Certification under
        this subsection shall be voluntary for any private
        sector entity.
            (6) Public listing.--The designated officer shall
        maintain and make public a listing of any private
        sector entity certified as being in compliance with the
        program established under this subsection, if that
        private sector entity consents to such listing.
    (c) Rule of Construction.--Nothing in this section may be
construed as--
            (1) a requirement to replace any preparedness,
        emergency response, or business continuity standards,
        requirements, or best practices established--
                    (A) under any other provision of federal
                law; or
                    (B) by any sector-specific agency, as those
                agencies are defined under Homeland Security
                Presidential Directive-7; or
            (2) exempting any private sector entity seeking
        certification or meeting certification requirements
        under subsection (b) from compliance with all
        applicable statutes, regulations, directives, policies,
        and industry codes of practice.

   TITLE VI--TREATMENT OF CHARITABLE TRUSTS FOR MEMBERS OF THE ARMED
    FORCES OF THE UNITED STATES AND OTHER GOVERNMENTAL ORGANIZATIONS

SEC. 601. [6 U.S.C. 331] TREATMENT OF CHARITABLE TRUSTS FOR MEMBERS OF
                    THE ARMED FORCES OF THE UNITED STATES AND OTHER
                    GOVERNMENTAL ORGANIZATIONS.

    (a) Findings.--Congress finds the following:
            (1) Members of the Armed Forces of the United
        States defend the freedom and security of our Nation.
            (2) Members of the Armed Forces of the United
        States have lost their lives while battling the evils
        of terrorism around the world.
            (3) Personnel of the Central Intelligence Agency
        (CIA) charged with the responsibility of covert
        observation of terrorists around the world are often
        put in harm's way during their service to the United
        States.
            (4) Personnel of the Central Intelligence Agency
        have also lost their lives while battling the evils of
        terrorism around the world.
            (5) Employees of the Federal Bureau of
        Investigation (FBI) and other Federal agencies charged
        with domestic protection of the United States put their
        lives at risk on a daily basis for the freedom and
        security of our Nation.
            (6) United States military personnel, CIA
        personnel, FBI personnel, and other Federal agents in
        the service of the United States are patriots of the
        highest order.
            (7) CIA officer Johnny Micheal Spann became the
        first American to give his life for his country in the
        War on Terrorism declared by President George W. Bush
        following the terrorist attacks of September 11, 2001.
            (8) Johnny Micheal Spann left behind a wife and
        children who are very proud of the heroic actions of
        their patriot father.
            (9) Surviving dependents of members of the Armed
        Forces of the United States who lose their lives as a
        result of terrorist attacks or military operations
        abroad receive a $6,000 death benefit, plus a small
        monthly benefit.
            (10) The current system of compensating spouses and
        children of American patriots is inequitable and needs
        improvement.
    (b) Designation of Johnny Micheal Spann Patriot Trusts.--
Any charitable corporation, fund, foundation, or trust (or
separate fund or account thereof) which otherwise meets all
applicable requirements under law with respect to charitable
entities and meets the requirements described in subsection (c)
shall be eligible to characterize itself as a ``Johnny Micheal
Spann Patriot Trust''.
    (c) Requirements for the Designation of Johnny Micheal
Spann Patriot Trusts.--The requirements described in this
subsection are as follows:
            (1) Not taking into account funds or donations
        reasonably necessary to establish a trust, at least 85
        percent of all funds or donations (including any
        earnings on the investment of such funds or donations)
        received or collected by any Johnny Micheal Spann
        Patriot Trust must be distributed to (or, if placed in
        a private foundation, held in trust for) surviving
        spouses, children, or dependent parents, grandparents,
        or siblings of 1 or more of the following:
                    (A) members of the Armed Forces of the
                United States;
                    (B) personnel, including contractors, of
                elements of the intelligence community, as
                defined in section 3(4) of the National
                Security Act of 1947;
                    (C) employees of the Federal Bureau of
                Investigation; and
                    (D) officers, employees, or contract
                employees of the United States Government,
        whose deaths occur in the line of duty and arise out of
        terrorist attacks, military operations, intelligence
        operations, or law enforcement operations or accidents
        connected with activities occurring after September 11,
        2001, and related to domestic or foreign efforts to
        curb international terrorism, including the
        Authorization for Use of Military Force (Public Law
        107-40; 115 Stat. 224).
            (2) Other than funds or donations reasonably
        necessary to establish a trust, not more than 15
        percent of all funds or donations (or 15 percent of
        annual earnings on funds invested in a private
        foundation) may be used for administrative purposes.
            (3) No part of the net earnings of any Johnny
        Micheal Spann Patriot Trust may inure to the benefit of
        any individual based solely on the position of such
        individual as a shareholder, an officer or employee of
        such Trust.
            (4) None of the activities of any Johnny Micheal
        Spann Patriot Trust shall be conducted in a manner
        inconsistent with any law that prohibits attempting to
        influence legislation.
            (5) No Johnny Micheal Spann Patriot Trust may
        participate in or intervene in any political campaign
        on behalf of (or in opposition to) any candidate for
        public office, including by publication or distribution
        of statements.
            (6) Each Johnny Micheal Spann Patriot Trust shall
        comply with the instructions and directions of the
        Director of Central Intelligence, the Attorney General,
        or the Secretary of Defense relating to the protection
        of intelligence sources and methods, sensitive law
        enforcement information, or other sensitive national
        security information, including methods for
        confidentially disbursing funds.
            (7) Each Johnny Micheal Spann Patriot Trust that
        receives annual contributions totaling more than
        $1,000,000 must be audited annually by an independent
        certified public accounting firm. Such audits shall be
        filed with the Internal Revenue Service, and shall be
        open to public inspection, except that the conduct,
        filing, and availability of the audit shall be
        consistent with the protection of intelligence sources
        and methods, of sensitive law enforcement information,
        and of other sensitive national security information.
            (8) Each Johnny Micheal Spann Patriot Trust shall
        make distributions to beneficiaries described in
        paragraph (1) at least once every calendar year,
        beginning not later than 12 months after the formation
        of such Trust, and all funds and donations received and
        earnings not placed in a private foundation dedicated
        to such beneficiaries must be distributed within 36
        months after the end of the fiscal year in which such
        funds, donations, and earnings are received.
            (9)(A) When determining the amount of a
        distribution to any beneficiary described in paragraph
        (1), a Johnny Micheal Spann Patriot Trust should take
        into account the amount of any collateral source
        compensation that the beneficiary has received or is
        entitled to receive as a result of the death of an
        individual described in paragraph (1).
            (B) Collateral source compensation includes all
        compensation from collateral sources, including life
        insurance, pension funds, death benefit programs, and
        payments by Federal, State, or local governments
        related to the death of an individual described in
        paragraph (1).
    (d) Treatment of Johnny Micheal Spann Patriot Trusts.--Each
Johnny Micheal Spann Patriot Trust shall refrain from
conducting the activities described in clauses (i) and (ii) of
section 301(20)(A) of the Federal Election Campaign Act of 1971
so that a general solicitation of funds by an individual
described in paragraph (1) of section 323(e) of such Act will
be permissible if such solicitation meets the requirements of
paragraph (4)(A) of such section.
    (e) Notification of Trust Beneficiaries.--Notwithstanding
any other provision of law, and in a manner consistent with the
protection of intelligence sources and methods and sensitive
law enforcement information, and other sensitive national
security information, the Secretary of Defense, the Director of
the Federal Bureau of Investigation, or the Director of Central
Intelligence, or their designees, as applicable, may forward
information received from an executor, administrator, or other
legal representative of the estate of a decedent described in
subparagraph (A), (B), (C), or (D) of subsection (c)(1), to a
Johnny Micheal Spann Patriot Trust on how to contact
individuals eligible for a distribution under subsection (c)(1)
for the purpose of providing assistance from such Trust:
Provided, That, neither forwarding nor failing to forward any
information under this subsection shall create any cause of
action against any Federal department, agency, officer, agent,
or employee.
    (f) Regulations.--Not later than 90 days after the date of
enactment of this Act, the Secretary of Defense, in
coordination with the Attorney General, the Director of the
Federal Bureau of Investigation, and the Director of Central
Intelligence, shall prescribe regulations to carry out this
section.

                         TITLE VII--MANAGEMENT

SEC. 701. [6 U.S.C. 341] UNDER SECRETARY FOR MANAGEMENT.

    (a) In General.--The Under Secretary for Management shall
serve as the Chief Management Officer and principal advisor to
the Secretary on matters related to the management of the
Department, including management integration and transformation
in support of homeland security operations and programs. The
Secretary, acting through the Under Secretary for Management,
shall be responsible for the management and administration of
the Department, including the following:
            (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.
            (7) Strategic management planning and annual
        performance planning and identification and tracking of
        performance measures relating to the responsibilities
        of the Department.
            (8) Grants and other assistance management
        programs.
            (9) The management integration and transformation
        process, as well as the transition process, to ensure
        an efficient and orderly consolidation of functions and
        personnel in the Department and transition, including--
                    (A) the development of a management
                integration strategy for the Department, and
                    (B) before December 1 of any year in which
                a Presidential election is held, the
                development of a transition and succession
                plan, to be made available to the incoming
                Secretary and Under Secretary for Management,
                to guide the transition of management functions
                to a new Administration.
            (10) The conduct of internal audits and management
        analyses of the programs and activities of the
        Department.
            (11) Any other management duties that the Secretary
        may designate.
    (b) Immigration.--
            (1) In general.--In addition to the
        responsibilities described in subsection (a), the Under
        Secretary for Management shall be responsible for the
        following:
                    (A) Maintenance of all immigration
                statistical information of the Bureau of Border
                Security and the Bureau of Citizenship and
                Immigration Services. Such statistical
                information shall include information and
                statistics of the type contained in the
                publication entitled ``Statistical Yearbook of
                the Immigration and Naturalization Service''
                prepared by the Immigration and Naturalization
                Service (as in effect immediately before the
                date on which the transfer of functions
                specified under section 441 takes effect),
                including region-by-region statistics on the
                aggregate number of applications and petitions
                filed by an alien (or filed on behalf of an
                alien) and denied by such bureau, and the
                reasons for such denials, disaggregated by
                category of denial and application or petition
                type.
                    (B) Establishment of standards of
                reliability and validity for immigration
                statistics collected by such bureaus.
            (2) Transfer of functions.--In accordance with
        title XV, there shall be transferred to the Under
        Secretary for Management all functions performed
        immediately before such transfer occurs by the
        Statistics Branch of the Office of Policy and Planning
        of the Immigration and Naturalization Service with
        respect to the following programs:
                    (A) The Border Patrol program.
                    (B) The detention and removal program.
                    (C) The intelligence program.
                    (D) The investigations program.
                    (E) The inspections program.
                    (F) Adjudication of immigrant visa
                petitions.
                    (G) Adjudication of naturalization
                petitions.
                    (H) Adjudication of asylum and refugee
                applications.
                    (I) Adjudications performed at service
                centers.
                    (J) All other adjudications performed by
                the Immigration and Naturalization Service.
    (c) Appointment and Evaluation.--The Under Secretary for
Management shall--
            (1) be appointed by the President, by and with the
        advice and consent of the Senate, from among persons
        who have--
                    (A) extensive executive level leadership
                and management experience in the public or
                private sector;
                    (B) strong leadership skills;
                    (C) a demonstrated ability to manage large
                and complex organizations; and
                    (D) a proven record in achieving positive
                operational results;
            (2) enter into an annual performance agreement with
        the Secretary that shall set forth measurable
        individual and organizational goals; and
            (3) be subject to an annual performance evaluation
        by the Secretary, who shall determine as part of each
        such evaluation whether the Under Secretary for
        Management has made satisfactory progress toward
        achieving the goals set out in the performance
        agreement required under paragraph (2).

SEC. 702. [6 U.S.C. 342] CHIEF FINANCIAL OFFICER.

    (a) In General.--The Chief Financial Officer shall perform
functions as specified in chapter 9 of title 31, United States
Code, and, with respect to all such functions and other
responsibilities that may be assigned to the Chief Financial
Officer from time to time, shall also report to the Under
Secretary for Management.
    (b) Program Analysis and Evaluation Function.--
            (1) Establishment of office of program analysis and
        evaluation.--Not later than 90 days after the date of
        enactment of this subsection, the Secretary shall
        establish an Office of Program Analysis and Evaluation
        within the Department (in this section referred to as
        the ``Office'').
            (2) Responsibilities.--The Office shall perform the
        following functions:
                    (A) Analyze and evaluate plans, programs,
                and budgets of the Department in relation to
                United States homeland security objectives,
                projected threats, vulnerability assessments,
                estimated costs, resource constraints, and the
                most recent homeland security strategy
                developed pursuant to section 874(b)(2).
                    (B) Develop and perform analyses and
                evaluations of alternative plans, programs,
                personnel levels, and budget submissions for
                the Department in relation to United States
                homeland security objectives, projected
                threats, vulnerability assessments, estimated
                costs, resource constraints, and the most
                recent homeland security strategy developed
                pursuant to section 874(b)(2).
                    (C) Establish policies for, and oversee the
                integration of, the planning, programming, and
                budgeting system of the Department.
                    (D) Review and ensure that the Department
                meets performance-based budget requirements
                established by the Office of Management and
                Budget.
                    (E) Provide guidance for, and oversee the
                development of, the Future Years Homeland
                Security Program of the Department, as
                specified under section 874.
                    (F) Ensure that the costs of Department
                programs, including classified programs, are
                presented accurately and completely.
                    (G) Oversee the preparation of the annual
                performance plan for the Department and the
                program and performance section of the annual
                report on program performance for the
                Department, consistent with sections 1115 and
                1116, respectively, of title 31, United States
                Code.
                    (H) Provide leadership in developing and
                promoting improved analytical tools and methods
                for analyzing homeland security planning and
                the allocation of resources.
                    (I) Any other responsibilities delegated by
                the Secretary consistent with an effective
                program analysis and evaluation function.
            (3) Director of program analysis and evaluation.--
        There shall be a Director of Program Analysis and
        Evaluation, who--
                    (A) shall be a principal staff assistant to
                the Chief Financial Officer of the Department
                for program analysis and evaluation; and
                    (B) shall report to an official no lower
                than the Chief Financial Officer.
            (4) Reorganization.--
                    (A) In general.--The Secretary may allocate
                or reallocate the functions of the Office, or
                discontinue the Office, in accordance with
                section 872(a).
                    (B) Exemption from limitations.--Section
                872(b) shall not apply to any action by the
                Secretary under this paragraph.
    (c) Notification Regarding Transfer or Reprogramming of
Funds.--In any case in which appropriations available to the
Department or any officer of the Department are transferred or
reprogrammed and notice of such transfer or reprogramming is
submitted to the Congress (including any officer, office, or
Committee of the Congress), the Chief Financial Officer of the
Department shall simultaneously submit such notice to the
Select Committee on Homeland Security (or any successor to the
jurisdiction of that committee) and the Committee on Government
Reform of the House of Representatives, and to the Committee on
Governmental Affairs of the Senate.

SEC. 703. [6 U.S.C. 343] CHIEF INFORMATION OFFICER.

    (a) In General.--The Chief Information Officer shall report
to the Secretary, or to another official of the Department, as
the Secretary may direct.
    (b) Geospatial Information Functions.--
            (1) Definitions.--As used in this subsection:
                    (A) Geospatial information.--The term
                ``geospatial information'' means graphical or
                digital data depicting natural or manmade
                physical features, phenomena, or boundaries of
                the earth and any information related thereto,
                including surveys, maps, charts, remote sensing
                data, and images.
                    (B) Geospatial technology.--The term
                ``geospatial technology'' means any technology
                utilized by analysts, specialists, surveyors,
                photogrammetrists, hydrographers, geodesists,
                cartographers, architects, or engineers for the
                collection, storage, retrieval, or
                dissemination of geospatial information,
                including--
                            (i) global satellite surveillance
                        systems;
                            (ii) global position systems;
                            (iii) geographic information
                        systems;
                            (iv) mapping equipment;
                            (v) geocoding technology; and
                            (vi) remote sensing devices.
            (2) Office of geospatial management.--
                    (A) Establishment.--The Office of
                Geospatial Management is established within the
                Office of the Chief Information Officer.
                    (B) Geospatial information officer.--
                            (i) Appointment.--The Office of
                        Geospatial Management shall be
                        administered by the Geospatial
                        Information Officer, who shall be
                        appointed by the Secretary and serve
                        under the direction of the Chief
                        Information Officer.
                            (ii) Functions.--The Geospatial
                        Information Officer shall assist the
                        Chief Information Officer in carrying
                        out all functions under this section
                        and in coordinating the geospatial
                        information needs of the Department.
                    (C) Coordination of geospatial
                information.--The Chief Information Officer
                shall establish and carry out a program to
                provide for the efficient use of geospatial
                information, which shall include--
                            (i) providing such geospatial
                        information as may be necessary to
                        implement the critical infrastructure
                        protection programs;
                            (ii) providing leadership and
                        coordination in meeting the geospatial
                        information requirements of those
                        responsible for planning, prevention,
                        mitigation, assessment and response to
                        emergencies, critical infrastructure
                        protection, and other functions of the
                        Department; and
                            (iii) coordinating with users of
                        geospatial information within the
                        Department to assure interoperability
                        and prevent unnecessary duplication.
                    (D) Responsibilities.--In carrying out this
                subsection, the responsibilities of the Chief
                Information Officer shall include--
                            (i) coordinating the geospatial
                        information needs and activities of the
                        Department;
                            (ii) implementing standards, as
                        adopted by the Director of the Office
                        of Management and Budget under the
                        processes established under section 216
                        of the E-Government Act of 2002 (44
                        U.S.C. 3501 note), to facilitate the
                        interoperability of geospatial
                        information pertaining to homeland
                        security among all users of such
                        information within--
                                    (I) the Department;
                                    (II) State and local
                                government; and
                                    (III) the private sector;
                            (iii) coordinating with the Federal
                        Geographic Data Committee and carrying
                        out the responsibilities of the
                        Department pursuant to Office of
                        Management and Budget Circular A-16 and
                        Executive Order 12906; and
                            (iv) making recommendations to the
                        Secretary and the Executive Director of
                        the Office for State and Local
                        Government Coordination and
                        Preparedness on awarding grants to--
                                    (I) fund the creation of
                                geospatial data; and
                                    (II) execute information
                                sharing agreements regarding
                                geospatial data with State,
                                local, and tribal governments.
            (3) Authorization of appropriations.--There are
        authorized to be appropriated such sums as may be
        necessary to carry out this subsection for each fiscal
        year.

SEC. 704. [6 U.S.C. 344] 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.

SEC. 705. [6 U.S.C. 345] ESTABLISHMENT OF OFFICER FOR CIVIL RIGHTS AND
                    CIVIL LIBERTIES.

    (a) In General.--The Officer for Civil Rights and Civil
Liberties, who shall report directly to the Secretary, shall--
            (1) review and assess information concerning abuses
        of civil rights, civil liberties, and profiling on the
        basis of race, ethnicity, or religion, by employees and
        officials of the Department;
            (2) make public through the Internet, radio,
        television, or newspaper advertisements information on
        the responsibilities and functions of, and how to
        contact, the Officer;
            (3) assist the Secretary, directorates, and offices
        of the Department to develop, implement, and
        periodically review Department policies and procedures
        to ensure that the protection of civil rights and civil
        liberties is appropriately incorporated into Department
        programs and activities;
            (4) oversee compliance with constitutional,
        statutory, regulatory, policy, and other requirements
        relating to the civil rights and civil liberties of
        individuals affected by the programs and activities of
        the Department;
            (5) coordinate with the Privacy Officer to ensure
        that--
                    (A) programs, policies, and procedures
                involving civil rights, civil liberties, and
                privacy considerations are addressed in an
                integrated and comprehensive manner; and
                    (B) Congress receives appropriate reports
                regarding such programs, policies, and
                procedures; and
            (6) investigate complaints and information
        indicating possible abuses of civil rights or civil
        liberties, unless the Inspector General of the
        Department determines that any such complaint or
        information should be investigated by the Inspector
        General.
            (b) Report.--The Secretary shall submit to the
        President of the Senate, the Speaker of the House of
        Representatives, and the appropriate committees and
        subcommittees of Congress on an annual basis a report
        on the implementation of this section, including the
        use of funds appropriated to carry out this section,
        and detailing any allegations of abuses described under
        subsection (a)(1) and any actions taken by the
        Department in response to such allegations.

SEC. 706. [6 U.S.C. 346] CONSOLIDATION AND CO-LOCATION OF OFFICES.

    Not later than 1 year after the date of the enactment of
this Act, the Secretary shall develop and submit to Congress a
plan for consolidating and co-locating--
            (1) any regional offices or field offices of
        agencies that are transferred to the Department under
        this Act, if such officers are located in the same
        municipality; and
            (2) portions of regional and field offices of other
        Federal agencies, to the extent such offices perform
        functions that are transferred to the Secretary under
        this Act.

SEC. 707. [6 U.S.C. 347] QUADRENNIAL HOMELAND SECURITY REVIEW.

    (a) Requirement.--
            (1) Quadrennial reviews required.--In fiscal year
        2009, and every 4 years thereafter, the Secretary shall
        conduct a review of the homeland security of the Nation
        (in this section referred to as a ``quadrennial
        homeland security review'').
            (2) Scope of reviews.--Each quadrennial homeland
        security review shall be a comprehensive examination of
        the homeland security strategy of the Nation, including
        recommendations regarding the long-term strategy and
        priorities of the Nation for homeland security and
        guidance on the programs, assets, capabilities, budget,
        policies, and authorities of the Department.
            (3) Consultation.--The Secretary shall conduct each
        quadrennial homeland security review under this
        subsection in consultation with--
                    (A) the heads of other Federal agencies,
                including the Attorney General, the Secretary
                of State, the Secretary of Defense, the
                Secretary of Health and Human Services, the
                Secretary of the Treasury, the Secretary of
                Agriculture, and the Director of National
                Intelligence;
                    (B) key officials of the Department; and
                    (C) other relevant governmental and
                nongovernmental entities, including State,
                local, and tribal government officials, members
                of Congress, private sector representatives,
                academics, and other policy experts.
            (4) Relationship with future years homeland
        security program.--The Secretary shall ensure that each
        review conducted under this section is coordinated with
        the Future Years Homeland Security Program required
        under section 874.
    (b) Contents of Review.--In each quadrennial homeland
security review, the Secretary shall--
            (1) delineate and update, as appropriate, the
        national homeland security strategy, consistent with
        appropriate national and Department strategies,
        strategic plans, and Homeland Security Presidential
        Directives, including the National Strategy for
        Homeland Security, the National Response Plan, and the
        Department Security Strategic Plan;
            (2) outline and prioritize the full range of the
        critical homeland security mission areas of the Nation;
            (3) describe the interagency cooperation,
        preparedness of Federal response assets,
        infrastructure, budget plan, and other elements of the
        homeland security program and policies of the Nation
        associated with the national homeland security
        strategy, required to execute successfully the full
        range of missions called for in the national homeland
        security strategy described in paragraph (1) and the
        homeland security mission areas outlined under
        paragraph (2);
            (4) identify the budget plan required to provide
        sufficient resources to successfully execute the full
        range of missions called for in the national homeland
        security strategy described in paragraph (1) and the
        homeland security mission areas outlined under
        paragraph (2);
            (5) include an assessment of the organizational
        alignment of the Department with the national homeland
        security strategy referred to in paragraph (1) and the
        homeland security mission areas outlined under
        paragraph (2); and
            (6) review and assess the effectiveness of the
        mechanisms of the Department for executing the process
        of turning the requirements developed in the
        quadrennial homeland security review into an
        acquisition strategy and expenditure plan within the
        Department.
    (c) Reporting.--
            (1) In general.--Not later than December 31 of the
        year in which a quadrennial homeland security review is
        conducted, the Secretary shall submit to Congress a
        report regarding that quadrennial homeland security
        review.
            (2) Contents of report.--Each report submitted
        under paragraph (1) shall include--
                    (A) the results of the quadrennial homeland
                security review;
                    (B) a description of the threats to the
                assumed or defined national homeland security
                interests of the Nation that were examined for
                the purposes of that review;
                    (C) the national homeland security
                strategy, including a prioritized list of the
                critical homeland security missions of the
                Nation;
                    (D) a description of the interagency
                cooperation, preparedness of Federal response
                assets, infrastructure, budget plan, and other
                elements of the homeland security program and
                policies of the Nation associated with the
                national homeland security strategy, required
                to execute successfully the full range of
                missions called for in the applicable national
                homeland security strategy referred to in
                subsection (b)(1) and the homeland security
                mission areas outlined under subsection (b)(2);
                    (E) an assessment of the organizational
                alignment of the Department with the applicable
                national homeland security strategy referred to
                in subsection (b)(1) and the homeland security
                mission areas outlined under subsection (b)(2),
                including the Department's organizational
                structure, management systems, budget and
                accounting systems, human resources systems,
                procurement systems, and physical and technical
                infrastructure;
                    (F) a discussion of the status of
                cooperation among Federal agencies in the
                effort to promote national homeland security;
                    (G) a discussion of the status of
                cooperation between the Federal Government and
                State, local, and tribal governments in
                preventing terrorist attacks and preparing for
                emergency response to threats to national
                homeland security;
                    (H) an explanation of any underlying
                assumptions used in conducting the review; and
                    (I) any other matter the Secretary
                considers appropriate.
            (3) Public availability.--The Secretary shall,
        consistent with the protection of national security and
        other sensitive matters, make each report submitted
        under paragraph (1) publicly available on the Internet
        website of the Department.
    (d) Authorization of Appropriations.--There are authorized
to be appropriated such sums as may be necessary to carry out
this section.

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

           Subtitle A--Coordination with Non-Federal Entities

SEC. 801. [6 U.S.C. 361] OFFICE FOR STATE AND LOCAL GOVERNMENT
                    COORDINATION.

    (a) Establishment.--There is established within the Office
of the Secretary the Office for State and Local Government
Coordination, to oversee and coordinate departmental programs
for and relationships with State and local governments.
    (b) Responsibilities.--The Office established under
subsection (a) shall--
            (1) coordinate the activities of the Department
        relating to State and local government;
            (2) assess, and advocate for, the resources needed
        by State and local government to implement the national
        strategy for combating terrorism;
            (3) provide State and local government with regular
        information, research, and technical support to assist
        local efforts at securing the homeland; and
            (4) develop a process for receiving meaningful
        input from State and local government to assist the
        development of the national strategy for combating
        terrorism and other homeland security activities.

                     Subtitle B--Inspector General

[SEC. 811. REPEALED]

          * * * * * * *

SEC. 812. LAW ENFORCEMENT POWERS OF INSPECTOR GENERAL AGENTS.

    (a)  * * *
          * * * * * * *
    (b) [5 U.S.C. app. 6 note] 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) [5 U.S.C. app. 6 note] 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. 821. [6 U.S.C. 381] FUNCTIONS TRANSFERRED.

    In accordance with title XV, there shall be transferred to
the Secretary the functions, personnel, assets, and obligations
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--Acquisitions

SEC. 831. [6 U.S.C. 391] RESEARCH AND DEVELOPMENT PROJECTS.

    (a) Authority.--Until September 30, 2009 and subject to
subsection (d), the Secretary may carry out a pilot program
under which the Secretary may exercise the following
authorities:
            (1) In general.--When the Secretary carries out
        basic, applied, and advanced research and development
        projects, including the expenditure of funds for such
        projects, the Secretary 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 (b) of this 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) Report.--Not later than 2 years after the effective
date of this Act, and annually thereafter, the Comptroller
General shall report to the Committee on Government Reform of
the House of Representatives and the Committee on Governmental
Affairs of the Senate on--
            (1) whether use of the authorities described in
        subsection (a) attracts nontraditional Government
        contractors and results in the acquisition of needed
        technologies; and
            (2) if such authorities were to be made permanent,
        whether additional safeguards are needed with respect
        to the use of such authorities.
    (c) 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.
    (d) Additional Requirements.--
            (1) In general.--The authority of the Secretary
        under this section shall terminate September 30, 2009,
        unless before that date the Secretary--
                    (A) issues policy guidance detailing the
                appropriate use of that authority; and
                    (B) provides training to each employee that
                is authorized to exercise that authority.
            (2) Report.--The Secretary shall provide an annual
        report to the Committees on Appropriations of the
        Senate and the House of Representatives, the Committee
        on Homeland Security and Governmental Affairs of the
        Senate, and the Committee on Homeland Security of the
        House of Representatives detailing the projects for
        which the authority granted by subsection (a) was used,
        the rationale for its use, the funds spent using that
        authority, the outcome of each project for which that
        authority was used, and the results of any audits of
        such projects.
    (e) Definition of Nontraditional Government Contractor.--In
this section, the term ``nontraditional Government contractor''
has the same meaning as the term ``nontraditional defense
contractor'' as defined in section 845(e) of the National
Defense Authorization Act for Fiscal Year 1994 (Public Law 103-
160; 10 U.S.C. 2371 note).

SEC. 832. [6 U.S.C. 392] PERSONAL SERVICES.

    The Secretary--
            (1) may procure the temporary or intermittent
        services of experts or consultants (or organizations
        thereof) in accordance with section 3109 of title 5,
        United States Code; and
            (2) may, 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. 833. [6 U.S.C. 393] SPECIAL STREAMLINED ACQUISITION AUTHORITY.

    (a) Authority.--
            (1) In general.--The Secretary may use the
        authorities set forth in this section with respect to
        any procurement made during the period beginning on the
        effective date of this Act and ending September 30,
        2007, if the Secretary determines in writing that the
        mission of the Department (as described in section 101)
        would be seriously impaired without the use of such
        authorities.
            (2) Delegation.--The authority to make the
        determination described in paragraph (1) may not be
        delegated by the Secretary to an officer of the
        Department who is not appointed by the President with
        the advice and consent of the Senate.
            (3) Notification.--Not later than the date that is
        7 days after the date of any determination under
        paragraph (1), the Secretary shall submit to the
        Committee on Government Reform of the House of
        Representatives and the Committee on Governmental
        Affairs of the Senate--
            (A) notification of such determination; and
            (B) the justification for such determination.
    (b) Increased Micro-Purchase Threshold For Certain
Procurements.--
            (1) In general.--The Secretary may designate
        certain employees of the Department to make
        procurements described in subsection (a) for which in
        the administration of section 32 of the Office of
        Federal Procurement Policy Act (41 U.S.C. 428) the
        amount specified in subsections (c), (d), and (f) of
        such section 32 shall be deemed to be $7,500.
            (2) Number of employees.--The number of employees
        designated under paragraph (1) shall be--
                    (A) fewer than the number of employees of
                the Department who are authorized to make
                purchases without obtaining competitive
                quotations, pursuant to section 32(c) of the
                Office of Federal Procurement Policy Act (41
                U.S.C. 428(c));
                    (B) sufficient to ensure the geographic
                dispersal of the availability of the use of the
                procurement authority under such paragraph at
                locations reasonably considered to be potential
                terrorist targets; and
                    (C) sufficiently limited to allow for the
                careful monitoring of employees designated
                under such paragraph.
            (3) Review.--Procurements made under the authority
        of this subsection shall be subject to review by a
        designated supervisor on not less than a monthly basis.
        The supervisor responsible for the review shall be
        responsible for no more than 7 employees making
        procurements under this subsection.
    (c) Simplified Acquisition Procedures.--
            (1) In general.--With respect to a procurement
        described in subsection (a), the Secretary may deem the
        simplified acquisition threshold referred to in section
        4(11) of the Office of Federal Procurement Policy Act
        (41 U.S.C. 403(11)) to be--
                    (A) in the case of a contract to be awarded
                and performed, or purchase to be made, within
                the United States, $200,000; and
                    (B) in the case of a contract to be awarded
                and performed, or purchase to be made, outside
                of the United States, $300,000.
          * * * * * * *
    (d) Application of Certain Commercial Items Authorities.--
            (1) In general.--With respect to a procurement
        described in subsection (a), the Secretary may deem any
        item or service to be a commercial item for the purpose
        of Federal procurement laws.
            (2) Limitation.--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)) 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 be deemed to be $7,500,000 for
        purposes of property or services under the authority of
        this subsection.
            (3) Certain authority.--Authority under a provision
        of law referred to in paragraph (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 a procurement described in
        subsection (a).
    (e) Report.--Not later than 180 days after the end of
fiscal year 2005, the Comptroller General shall submit to the
Committee on Governmental Affairs of the Senate and the
Committee on Government Reform of the House of Representatives
a report on the use of the authorities provided in this
section. The report shall contain the following:
            (1) An assessment of the extent to which property
        and services acquired using authorities provided under
        this section contributed to the capacity of the Federal
        workforce to facilitate the mission of the Department
        as described in section 101.
            (2) An assessment of the extent to which prices for
        property and services acquired using authorities
        provided under this section reflected the best value.
            (3) The number of employees designated by each
        executive agency under subsection (b)(1).
            (4) An assessment of the extent to which the
        Department has implemented subsections (b)(2) and
        (b)(3) to monitor the use of procurement authority by
        employees designated under subsection (b)(1).
            (5) Any recommendations of the Comptroller General
        for improving the effectiveness of the implementation
        of the provisions of this section.

SEC. 834. [6 U.S.C. 394] UNSOLICITED PROPOSALS.

    (a) Regulations Required.--Within 1 year of the date of
enactment of this Act, the Federal Acquisition Regulation shall
be revised to include regulations with regard to unsolicited
proposals.
    (b) Content of Regulations.--The regulations prescribed
under subsection (a) shall require that before initiating a
comprehensive evaluation, an agency contact point shall
consider, among other factors, that the proposal--
            (1) is not submitted in response to a previously
        published agency requirement; and
            (2) contains technical and cost information for
        evaluation and overall scientific, technical or
        socioeconomic merit, or cost-related or price-related
        factors.

SEC. 835. [6 U.S.C. 395] PROHIBITION ON CONTRACTS WITH CORPORATE
                    EXPATRIATES.

    (a) In General.--The Secretary may not enter into any
contract with a foreign incorporated entity which is treated as
an inverted domestic corporation under subsection (b), or any
subsidiary of such an entity.
    (b) Inverted Domestic Corporation.--For purposes of this
section, a foreign incorporated entity shall be treated as an
inverted domestic corporation if, pursuant to a plan (or a
series of related transactions)--
            (1) the entity completes before, on, or after the
        date of enactment of this Act, the direct or indirect
        acquisition of substantially all of the properties held
        directly or indirectly by a domestic corporation or
        substantially all of the properties constituting a
        trade or business of a domestic partnership;
            (2) after the acquisition at least 80 percent of
        the stock (by vote or value) of the entity is held--
                    (A) in the case of an acquisition with
                respect to a domestic corporation, by former
                shareholders of the domestic corporation by
                reason of holding stock in the domestic
                corporation; or
                    (B) in the case of an acquisition with
                respect to a domestic partnership, by former
                partners of the domestic partnership by reason
                of holding a capital or profits interest in the
                domestic partnership; and
            (3) the expanded affiliated group which after the
        acquisition includes the entity does not have
        substantial business activities in the foreign country
        in which or under the law of which the entity is
        created or organized when compared to the total
        business activities of such expanded affiliated group.
    (c) Definitions and Special Rules.--
            (1) Rules for application of subsection (b).--In
        applying subsection (b) for purposes of subsection (a),
        the following rules shall apply:
                    (A) Certain stock disregarded.--There shall
                not be taken into account in determining
                ownership for purposes of subsection (b)(2)--
                            (i) stock held by members of the
                        expanded affiliated group which
                        includes the foreign incorporated
                        entity; or
                            (ii) stock of such entity which is
                        sold in a public offering related to
                        the acquisition described in subsection
                        (b)(1).
                    (B) Plan deemed in certain cases.--If a
                foreign incorporated entity acquires directly
                or indirectly substantially all of the
                properties of a domestic corporation or
                partnership during the 4-year period beginning
                on the date which is 2 years before the
                ownership requirements of subsection (b)(2) are
                met, such actions shall be treated as pursuant
                to a plan.
                    (C) Certain transfers disregarded.--The
                transfer of properties or liabilities
                (including by contribution or distribution)
                shall be disregarded if such transfers are part
                of a plan a principal purpose of which is to
                avoid the purposes of this section.
                    (D) Special rule for related
                partnerships.--For purposes of applying
                subsection (b) to the acquisition of a domestic
                partnership, except as provided in regulations,
                all domestic partnerships which are under
                common control (within the meaning of section
                482 of the Internal Revenue Code of 1986) shall
                be treated as I partnership.
                    (E) Treatment of certain rights.--The
                Secretary shall prescribe such regulations as
                may be necessary to--
                            (i) treat warrants, options,
                        contracts to acquire stock, convertible
                        debt instruments, and other similar
                        interests as stock; and
                            (ii) treat stock as not stock.
            (2) Expanded affiliated group.--The term ``expanded
        affiliated group'' means an affiliated group as defined
        in section 1504(a) of the Internal Revenue Code of 1986
        (without regard to section 1504(b) of such Code),
        except that section 1504 of such Code shall be applied
        by substituting ``more than 50 percent'' for ``at least
        80 percent'' each place it appears.
            (3) Foreign incorporated entity.--The term
        ``foreign incorporated entity'' means any entity which
        is, or but for subsection (b) would be, treated as a
        foreign corporation for purposes of the Internal
        Revenue Code of 1986.
            (4) Other definitions.--The terms ``person'',
        ``domestic'', and ``foreign'' have the meanings given
        such terms by paragraphs (1), (4), and (5) of section
        7701(a) of the Internal Revenue Code of 1986,
        respectively.
    (d) Waivers.--The Secretary shall waive subsection (a) with
respect to any specific contract if the Secretary determines
that the waiver is required in the interest of national
security.
          * * * * * * *

                 Subtitle E--Human Resources Management

SEC. 841. [6 U.S.C. 411] 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.
          * * * * * * *
    (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 under 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 1
        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. 842. [6 U.S.C. 412] 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 employees first
        appointed on or after such date, the preceding sentence
        shall be applied disregarding subparagraph (A).
    (c) Waiver.--If the President determines that the
application of subsections (a), (b), and (d) would have a
substantial adverse impact on the ability of the Department to
protect homeland security, the President may waive the
application of such subsections 10 days after the President has
submitted to Congress a written explanation of the reasons for
such determination.
    (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.
    (e) Rule of Construction.--Nothing in section 9701(e) of
title 5, United States Code, shall be considered to apply with
respect to any agency or subdivision of any agency, which is
excluded from the coverage of chapter 71 of title 5, United
States Code, by virtue of an order issued in accordance with
section 7103(b) of such title and the preceding provisions of
this section (as applicable), or to any employees of any such
agency or subdivision or to any individual or entity
representing any such employees or any representatives thereof.

SEC. 843. [6 U.S.C. 413] USE OF COUNTERNARCOTICS ENFORCEMENT ACTIVITIES
                    IN CERTAIN EMPLOYEE PERFORMANCE APPRAISALS.

    (a) In General.--Each subdivision of the Department that is
a National Drug Control Program Agency shall include as one of
the criteria in its performance appraisal system, for each
employee directly or indirectly involved in the enforcement of
Federal, State, or local narcotics laws, the performance of
that employee with respect to the enforcement of Federal,
State, or local narcotics laws, relying to the greatest extent
practicable on objective performance measures, including--
            (1) the contribution of that employee to seizures
        of narcotics and arrests of violators of Federal,
        State, or local narcotics laws; and
            (2) the degree to which that employee cooperated
        with or contributed to the efforts of other employees,
        either within the Department or other Federal, State,
        or local agencies, in counternarcotics enforcement.
    (b) Definitions.--For purposes of this section--
            (1) the term ``National Drug Control Program
        Agency'' means--
                    (A) a National Drug Control Program Agency,
                as defined in section 702(7) of the Office of
                National Drug Control Policy Reauthorization
                Act of 1998 (as last in effect); and
                    (B) any subdivision of the Department that
                has a significant counternarcotics
                responsibility, as determined by--
                            (i) the counternarcotics officer,
                        appointed under section 878; or
                            (ii) if applicable, the
                        counternarcotics officer's successor in
                        function (as determined by the
                        Secretary); and
            (2) the term ``performance appraisal system'' means
        a system under which periodic appraisals of job
        performance of employees are made, whether under
        chapter 43 of title 5, United States Code, or
        otherwise.

SEC. 844. HOMELAND SECURITY ROTATION PROGRAM.

    (a) Establishment.--
            (1) In general.--Not later than 180 days after the
        date of enactment of this section, the Secretary shall
        establish the Homeland Security Rotation Program (in
        this section referred to as the ``Rotation Program'')
        for employees of the Department. The Rotation Program
        shall use applicable best practices, including those
        from the Chief Human Capital Officers Council.
            (2) Goals.--The Rotation Program established by the
        Secretary shall--
                    (A) be established in accordance with the
                Human Capital Strategic Plan of the Department;
                    (B) provide middle and senior level
                employees in the Department the opportunity to
                broaden their knowledge through exposure to
                other components of the Department;
                    (C) expand the knowledge base of the
                Department by providing for rotational
                assignments of employees to other components;
                    (D) build professional relationships and
                contacts among the employees in the Department;
                    (E) invigorate the workforce with exciting
                and professionally rewarding opportunities;
                    (F) incorporate Department human capital
                strategic plans and activities, and address
                critical human capital deficiencies,
                recruitment and retention efforts, and
                succession planning within the Federal
                workforce of the Department; and
                    (G) complement and incorporate (but not
                replace) rotational programs within the
                Department in effect on the date of enactment
                of this section.
            (3) Administration.--
                    (A) In general.--The Chief Human Capital
                Officer shall administer the Rotation Program.
                    (B) Responsibilities.--The Chief Human
                Capital Officer shall--
                            (i) provide oversight of the
                        establishment and implementation of the
                        Rotation Program;
                            (ii) establish a framework that
                        supports the goals of the Rotation
                        Program and promotes cross-disciplinary
                        rotational opportunities;
                            (iii) establish eligibility for
                        employees to participate in the
                        Rotation Program and select
                        participants from employees who apply;
                            (iv) establish incentives for
                        employees to participate in the
                        Rotation Program, including promotions
                        and employment preferences;
                            (v) ensure that the Rotation
                        Program provides professional education
                        and training;
                            (vi) ensure that the Rotation
                        Program develops qualified employees
                        and future leaders with broad-based
                        experience throughout the Department;
                            (vii) provide for greater
                        interaction among employees in
                        components of the Department; and
                            (viii) coordinate with rotational
                        programs within the Department in
                        effect on the date of enactment of this
                        section.
            (4) Allowances, privileges, and benefits.--All
        allowances, privileges, rights, seniority, and other
        benefits of employees participating in the Rotation
        Program shall be preserved.
            (5) Reporting.--Not later than 180 days after the
        date of the establishment of the Rotation Program, the
        Secretary shall submit a report on the status of the
        Rotation Program, including a description of the
        Rotation Program, the number of employees
        participating, and how the Rotation Program is used in
        succession planning and leadership development to the
        appropriate committees of Congress.

SEC. 845. HOMELAND SECURITY EDUCATION PROGRAM.

    (a) Establishment.--The Secretary, acting through the
Administrator, shall establish a graduate-level Homeland
Security Education Program in the National Capital Region to
provide educational opportunities to senior Federal officials
and selected State and local officials with homeland security
and emergency management responsibilities. The Administrator
shall appoint an individual to administer the activities under
this section.
    (b) Leveraging of Existing Resources.--To maximize
efficiency and effectiveness in carrying out the Program, the
Administrator shall use existing Department-reviewed Master's
Degree curricula in homeland security, including curricula
pending accreditation, together with associated learning
materials, quality assessment tools, digital libraries,
exercise systems and other educational facilities, including
the National Domestic Preparedness Consortium, the National
Fire Academy, and the Emergency Management Institute. The
Administrator may develop additional educational programs, as
appropriate.
    (c) Student Enrollment.--
            (1) Sources.--The student body of the Program shall
        include officials from Federal, State, local, and
        tribal governments, and from other sources designated
        by the Administrator.
            (2) Enrollment priorities and selection criteria.--
        The Administrator shall establish policies governing
        student enrollment priorities and selection criteria
        that are consistent with the mission of the Program.
            (3) Diversity.--The Administrator shall take
        reasonable steps to ensure that the student body
        represents racial, gender, and ethnic diversity.
    (d) Service Commitment.--
            (1) In general.--Before any employee selected for
        the Program may be assigned to participate in the
        program, the employee shall agree in writing--
                    (A) to continue in the service of the
                agency sponsoring the employee during the 2-
                year period beginning on the date on which the
                employee completes the program, unless the
                employee is involuntarily separated from the
                service of that agency for reasons other than a
                reduction in force; and
                    (B) to pay to the Government the amount of
                the additional expenses incurred by the
                Government in connection with the employee's
                education if the employee is voluntarily
                separated from the service to the agency before
                the end of the period described in subparagraph
                (A).
            (2) Payment of expenses.--
                    (A) Exemption.--An employee who leaves the
                service of the sponsoring agency to enter into
                the service of another agency in any branch of
                the Government shall not be required to make a
                payment under paragraph (1)(B), unless the head
                of the agency that sponsored the education of
                the employee notifies that employee before the
                date on which the employee enters the service
                of the other agency that payment is required
                under that paragraph.
                    (B) Amount of payment.--If an employee is
                required to make a payment under paragraph
                (1)(B), the agency that sponsored the education
                of the employee shall determine the amount of
                the payment, except that such amount may not
                exceed the pro rata share of the expenses
                incurred for the time remaining in the 2-year
                period.
            (3) Recovery of payment.--If an employee who is
        required to make a payment under this subsection does
        not make the payment, a sum equal to the amount of the
        expenses incurred by the Government for the education
        of that employee is recoverable by the Government from
        the employee or his estate by--
                    (A) setoff against accrued pay,
                compensation, amount of retirement credit, or
                other amount due the employee from the
                Government; or
                    (B) such other method as is provided by lay
                for the recovery of amounts owing to the
                Government.

         Subtitle F--Federal Emergency Procurement Flexibility

SEC. 851. [6 U.S.C. 421] DEFINITION.

    In this subtitle, 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. 852. [6 U.S.C. 422] 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. 853. [6 U.S.C. 423] 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 852 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, $200,000; or
            (2) in the case of a contract to be awarded and
        performed, or purchase to be made, outside the United
        States, $300,000.
    (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. 854. [6 U.S.C. 424] 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 852, the amount specified
in subsections (c), (d), and (f) of such section 32 shall be
deemed to be $7,500.

SEC. 855. [6 U.S.C. 425] 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 852 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. 856. [6 U.S.C. 426] 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 852, 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 852.

SEC. 857. [6 U.S.C. 427] 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. 858. [6 U.S.C. 428] 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--Support Anti-terrorism by Fostering Effective Technologies
                              Act of 2002

SEC. 861. [6 U.S.C. 101 NOTE] SHORT TITLE.

    This subtitle may be cited as the ``Support Anti-terrorism
by Fostering Effective Technologies Act of 2002'' or the
``SAFETY Act''.

SEC. 862. [6 U.S.C. 441] ADMINISTRATION.

    (a) In General.--The Secretary shall be responsible for the
administration of this subtitle.
    (b) Designation of Qualified Anti-Terrorism Technologies.--
The Secretary may designate anti-terrorism technologies that
qualify for protection under the system of risk management set
forth in this subtitle in accordance with criteria that shall
include, but not be limited to, the following:
            (1) Prior United States Government use or
        demonstrated substantial utility and effectiveness.
            (2) Availability of the technology for immediate
        deployment in public and private settings.
            (3) Existence of extraordinarily large or
        extraordinarily unquantifiable potential third party
        liability risk exposure to the Seller or other provider
        of such anti-terrorism technology.
            (4) Substantial likelihood that such anti-terrorism
        technology will not be deployed unless protections
        under the system of risk management provided under this
        subtitle are extended.
            (5) Magnitude of risk exposure to the public if
        such anti-terrorism technology is not deployed.
            (6) Evaluation of all scientific studies that can
        be feasibly conducted in order to assess the capability
        of the technology to substantially reduce risks of
        harm.
            (7) Anti-terrorism technology that would be
        effective in facilitating the defense against acts of
        terrorism, including technologies that prevent, defeat
        or respond to such acts.
    (c) Regulations.--The Secretary may issue such regulations,
after notice and comment in accordance with section 553 of
title 5, United States Code, as may be necessary to carry out
this subtitle.

SEC. 863. [6 U.S.C. 442] LITIGATION MANAGEMENT.

    (a) Federal Cause of Action.--
            (1) In general.--There shall exist a Federal cause
        of action for claims arising out of, relating to, or
        resulting from an act of terrorism when qualified anti-
        terrorism technologies have been deployed in defense
        against or response or recovery from such act and such
        claims result or may result in loss to the Seller. The
        substantive law for decision in any such action shall
        be derived from the law, including choice of law
        principles, of the State in which such acts of
        terrorism occurred, unless such law is inconsistent
        with or preempted by Federal law. Such Federal cause of
        action shall be brought only for claims for injuries
        that are proximately caused by sellers that provide
        qualified anti-terrorism technology to Federal and non-
        Federal government customers.
            (2) Jurisdiction.--Such appropriate district court
        of the United States shall have original and exclusive
        jurisdiction over all actions for any claim for loss of
        property, personal injury, or death arising out of,
        relating to, or resulting from an act of terrorism when
        qualified anti-terrorism technologies have been
        deployed in defense against or response or recovery
        from such act and such claims result or may result in
        loss to the Seller.
    (b) Special Rules.--In an action brought under this section
for damages the following provisions apply:
            (1) Punitive damages.--No punitive damages intended
        to punish or deter, exemplary damages, or other damages
        not intended to compensate a plaintiff for actual
        losses may be awarded, nor shall any party be liable
        for interest prior to the judgment.
            (2) Noneconomic damages.--
                    (A) In general.--Noneconomic damages may be
                awarded against a defendant only in an amount
                directly proportional to the percentage of
                responsibility of such defendant for the harm
                to the plaintiff, and no plaintiff may recover
                noneconomic damages unless the plaintiff
                suffered physical harm.
                    (B) Definition.--For purposes of
                subparagraph (A), the term ``noneconomic
                damages'' means damages for losses for physical
                and emotional pain, suffering, inconvenience,
                physical impairment, mental anguish,
                disfigurement, loss of enjoyment of life, loss
                of society and companionship, loss of
                consortium, hedonic damages, injury to
                reputation, and any other nonpecuniary losses.
    (c) Collateral Sources.--Any recovery by a plaintiff in an
action under this section shall be reduced by the amount of
collateral source compensation, if any, that the plaintiff has
received or is entitled to receive as a result of such acts of
terrorism that result or may result in loss to the Seller.
    (d) Government Contractor Defense.--
            (1) In general.--Should a product liability or
        other lawsuit be filed for claims arising out of,
        relating to, or resulting from an act of terrorism when
        qualified anti-terrorism technologies approved by the
        Secretary, as provided in paragraphs (2) and (3) of
        this subsection, have been deployed in defense against
        or response or recovery from such act and such claims
        result or may result in loss to the Seller, there shall
        be a rebuttable presumption that the government
        contractor defense applies in such lawsuit. This
        presumption shall only be overcome by evidence showing
        that the Seller acted fraudulently or with willful
        misconduct in submitting information to the Secretary
        during the course of the Secretary's consideration of
        such technology under this subsection. This presumption
        of the government contractor defense shall apply
        regardless of whether the claim against the Seller
        arises from a sale of the product to Federal Government
        or non-Federal Government customers.
            (2) Exclusive responsibility.--The Secretary will
        be exclusively responsible for the review and approval
        of anti-terrorism technology for purposes of
        establishing a government contractor defense in any
        product liability lawsuit for claims arising out of,
        relating to, or resulting from an act of terrorism when
        qualified anti-terrorism technologies approved by the
        Secretary, as provided in this paragraph and paragraph
        (3), have been deployed in defense against or response
        or recovery from such act and such claims result or may
        result in loss to the Seller. Upon the Seller's
        submission to the Secretary for approval of anti-
        terrorism technology, the Secretary will conduct a
        comprehensive review of the design of such technology
        and determine whether it will perform as intended,
        conforms to the Seller's specifications, and is safe
        for use as intended. The Seller will conduct safety and
        hazard analyses on such technology and will supply the
        Secretary with all such information.
            (3) Certificate.--For anti-terrorism technology
        reviewed and approved by the Secretary, the Secretary
        will issue a certificate of conformance to the Seller
        and place the anti-terrorism technology on an Approved
        Product List for Homeland Security.
    (e) Exclusion.--Nothing in this section shall in any way
limit the ability of any person to seek any form of recovery
from any person, government, or other entity that--
            (1) attempts to commit, knowingly participates in,
        aids and abets, or commits any act of terrorism, or any
        criminal act related to or resulting from such act of
        terrorism; or
            (2) participates in a conspiracy to commit any such
        act of terrorism or any such criminal act.

SEC. 864. [6 U.S.C. 443] RISK MANAGEMENT.

    (a) In General.--
            (1) Liability insurance required.--Any person or
        entity that sells or otherwise provides a qualified
        anti-terrorism technology to Federal and non-Federal
        Government customers (``Seller'') shall obtain
        liability insurance of such types and in such amounts
        as shall be required in accordance with this section
        and certified by the Secretary to satisfy otherwise
        compensable third-party claims arising out of, relating
        to, or resulting from an act of terrorism when
        qualified anti-terrorism technologies have been
        deployed in defense against or response or recovery
        from such act.
            (2) Maximum amount.--For the total claims related
        to 1 such act of terrorism, the Seller is not required
        to obtain liability insurance of more than the maximum
        amount of liability insurance reasonably available from
        private sources on the world market at prices and terms
        that will not unreasonably distort the sales price of
        Seller's anti-terrorism technologies.
            (3) Scope of coverage.--Liability insurance
        obtained pursuant to this subsection shall, in addition
        to the Seller, protect the following, to the extent of
        their potential liability for involvement in the
        manufacture, qualification, sale, use, or operation of
        qualified anti-terrorism technologies deployed in
        defense against or response or recovery from an act of
        terrorism:
                    (A) Contractors, subcontractors, suppliers,
                vendors and customers of the Seller.
                    (B) Contractors, subcontractors, suppliers,
                and vendors of the customer.
            (4) Third party claims.--Such liability insurance
        under this section shall provide coverage against third
        party claims arising out of, relating to, or resulting
        from the sale or use of anti-terrorism technologies.
    (b) Reciprocal Waiver of Claims.--The Seller shall enter
into a reciprocal waiver of claims with its contractors,
subcontractors, suppliers, vendors and customers, and
contractors and subcontractors of the customers, involved in
the manufacture, sale, use or operation of qualified anti-
terrorism technologies, under which each party to the waiver
agrees to be responsible for losses, including business
interruption losses, that it sustains, or for losses sustained
by its own employees resulting from an activity resulting from
an act of terrorism when qualified anti-terrorism technologies
have been deployed in defense against or response or recovery
from such act.
    (c) Extent of Liability.--Notwithstanding any other
provision of law, liability for all claims against a Seller
arising out of, relating to, or resulting from an act of
terrorism when qualified anti-terrorism technologies have been
deployed in defense against or response or recovery from such
act and such claims result or may result in loss to the Seller,
whether for compensatory or punitive damages or for
contribution or indemnity, shall not be in an amount greater
than the limits of liability insurance coverage required to be
maintained by the Seller under this section.

SEC. 865. [6 U.S.C. 444] DEFINITIONS.

    For purposes of this subtitle, the following definitions
apply:
            (1) Qualified anti-terrorism technology.--For
        purposes of this subtitle, the term ``qualified anti-
        terrorism technology'' means any product, equipment,
        service (including support services), device, or
        technology (including information technology) designed,
        developed, modified, or procured for the specific
        purpose of preventing, detecting, identifying, or
        deterring acts of terrorism or limiting the harm such
        acts might otherwise cause, that is designated as such
        by the Secretary.
            (2) Act of terrorism.--(A) The term ``act of
        terrorism'' means any act that the Secretary determines
        meets the requirements under subparagraph (B), as such
        requirements are further defined and specified by the
        Secretary.
            (B) Requirements.--An act meets the requirements of
        this subparagraph if the act--
                    (i) is unlawful;
                    (ii) causes harm to a person, property, or
                entity, in the United States, or in the case of
                a domestic United States air carrier or a
                United States-flag vessel (or a vessel based
                principally in the United States on which
                United States income tax is paid and whose
                insurance coverage is subject to regulation in
                the United States), in or outside the United
                States; and
                    (iii) uses or attempts to use
                instrumentalities, weapons or other methods
                designed or intended to cause mass destruction,
                injury or other loss to citizens or
                institutions of the United States.
            (3) Insurance carrier.--The term ``insurance
        carrier'' means any corporation, association, society,
        order, firm, company, mutual, partnership, individual
        aggregation of individuals, or any other legal entity
        that provides commercial property and casualty
        insurance. Such term includes any affiliates of a
        commercial insurance carrier.
            (4) Liability insurance.--
                    (A) In general.--The term ``liability
                insurance'' means insurance for legal
                liabilities incurred by the insured resulting
                from--
                            (i) loss of or damage to property
                        of others;
                            (ii) ensuing loss of income or
                        extra expense incurred because of loss
                        of or damage to property of others;
                            (iii) bodily injury (including) to
                        persons other than the insured or its
                        employees; or
                            (iv) loss resulting from debt or
                        default of another.
            (5) Loss.--The term ``loss'' means death, bodily
        injury, or loss of or damage to property, including
        business interruption loss.
            (6) Non-federal government customers.--The term
        ``non-Federal Government customers'' means any customer
        of a Seller that is not an agency or instrumentality of
        the United States Government with authority under
        Public Law 85-804 to provide for indemnification under
        certain circumstances for third-party claims against
        its contractors, including but not limited to State and
        local authorities and commercial entities.

                  Subtitle H--Miscellaneous Provisions

SEC. 871. [6 U.S.C. 451] ADVISORY COMMITTEES.

    (a) In General.--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.
    (b) Termination.--Any advisory committee established by the
Secretary shall terminate 2 years after the date of its
establishment, unless the Secretary makes a written
determination to extend the advisory committee to a specified
date, which shall not be more than 2 years after the date on
which such determination is made. The Secretary may make any
number of subsequent extensions consistent with this
subsection.

SEC. 872. [6 U.S.C. 452] REORGANIZATION.

    (a) Reorganization.--The Secretary may allocate or
reallocate functions among the officers of the Department, and
may establish, consolidate, alter, or discontinue
organizational units within the Department, but only--
            (1) pursuant to section 1502(b); or
            (2) after the expiration of 60 days after providing
        notice of such action to the appropriate congressional
        committees, which shall include an explanation of the
        rationale for the action.
    (b) Limitations.--
            (1) In general.--Authority under subsection (a)(1)
        does not extend to the abolition of any agency, entity,
        organizational unit, program, or function established
        or required to be maintained by this Act.
            (2) Abolitions.--Authority under subsection (a)(2)
        does not extend to the abolition of any agency, entity,
        organizational unit, program, or function established
        or required to be maintained by statute.

SEC. 873. [6 U.S.C. 453] USE OF APPROPRIATED FUNDS.

    (a) 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.
    (b) Gifts.--Except as authorized by section 2601 of title
10, United States Code, and by section 93 of title 14, United
States Code, gifts \1\ 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.
---------------------------------------------------------------------------
    \1\ Section 103(3) of Public Law 108-7 (117 Stat. 529) amends
subsection (b) by inserting ``Except as authorized by section 2601 of
title 10, United States Code, and by section 93 of title 14, United
States Code,'' before the word ``Gifts'' in the second place it appears
and by striking the letter ``G'' and inserting in lieu thereof ``g'' in
the word ``Gifts'' in the second place it appears. The word ``Gifts''
appears once in the text, however, the amendments have been executed to
reflect the probable intent of Congress.
---------------------------------------------------------------------------
    (c) 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. 874. [6 U.S.C. 454] 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--
            (1) include the same type of information,
        organizational structure, and level of detail as the
        future years defense program submitted to Congress by
        the Secretary of Defense under section 221 of title 10,
        United States Code;
            (2) set forth the homeland security strategy of the
        Department, which shall be developed and updated as
        appropriate annually by the Secretary, that was used to
        develop program planning guidance for the Future Years
        Homeland Security Program; and
            (3) include an explanation of how the resource
        allocations included in the Future Years Homeland
        Security Program correlate to the homeland security
        strategy set forth under paragraph (2).
    (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. 875. [6 U.S.C. 455] MISCELLANEOUS AUTHORITIES.

    (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. 876. [6 U.S.C. 456] MILITARY ACTIVITIES.

    Nothing in this Act shall confer upon the Secretary any
authority to engage in warfighting, the military defense of the
United States, or other military activities, nor shall anything
in this Act limit the existing authority of the Department of
Defense or the Armed Forces to engage in warfighting, the
military defense of the United States, or other military
activities.

SEC. 877. [6 U.S.C. 457] REGULATORY AUTHORITY AND PREEMPTION.

    (a) Regulatory Authority.--Except as otherwise provided in
sections 306(c), 862(c), and 1706(b), this Act vests no new
regulatory authority 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 may
not be construed as altering or diminishing the regulatory
authority of any other executive agency, except to the extent
that this Act transfers such authority from the agency.
    (b) Preemption of State or Local Law.--Except as otherwise
provided in this Act, this Act preempts no State or local law,
except that any authority to preempt State or local law vested
in any Federal agency or official transferred to the Department
pursuant to this Act shall be transferred to the Department
effective on the date of the transfer to the Department of that
Federal agency or official.

SEC. 878. [6 U.S.C. 458] OFFICE OF COUNTERNARCOTICS ENFORCEMENT.

    (a) Office.--There is established in the Department an
Office of Counternarcotics Enforcement, which shall be headed
by a Director appointed by the President, by and with the
advice and consent of the Senate.
    (b) Assignment of Personnel.--
            (1) In general.--The Secretary shall assign
        permanent staff to the Office, consistent with
        effective management of Department resources.
            (2) Liaisons.--The Secretary shall designate senior
        employees from each appropriate subdivision of the
        Department that has significant counternarcotics
        responsibilities to act as a liaison between that
        subdivision and the Office of Counternarcotics
        Enforcement.
    (c) Limitation on Concurrent Employment.--The Director of
the Office of Counternarcotics Enforcement shall not be
employed by, assigned to, or serve as the head of, any other
branch of the Federal Government, any State or local
government, or any subdivision of the Department other than the
Office of Counternarcotics Enforcement.
    (d) Responsibilities.--The Secretary shall direct the
Director of the Office of Counternarcotics Enforcement--
            (1) to coordinate policy and operations within the
        Department, between the Department and other Federal
        departments and agencies, and between the Department
        and State and local agencies with respect to stopping
        the entry of illegal drugs into the United States;
            (2) to ensure the adequacy of resources within the
        Department for stopping the entry of illegal drugs into
        the United States;
            (3) to recommend the appropriate financial and
        personnel resources necessary to help the Department
        better fulfill its responsibility to stop the entry of
        illegal drugs into the United States;
            (4) within the Joint Terrorism Task Force construct
        to track and sever connections between illegal drug
        trafficking and terrorism; and
            (5) to be a representative of the Department on all
        task forces, committees, or other entities whose
        purpose is to coordinate the counternarcotics
        enforcement activities of the Department and other
        Federal, State or local agencies.
    (e) Savings Clause.--Nothing in this section shall be
construed to authorize direct control of the operations
conducted by the Directorate of Border and Transportation
Security, the Coast Guard, or joint terrorism task forces.
    (f) Reports to Congress.--
            (1) Annual budget review.--The Director of the
        Office of Counternarcotics Enforcement shall, not later
        than 30 days after the submission by the President to
        Congress of any request for expenditures for the
        Department, submit to the Committees on Appropriations
        and the authorizing committees of jurisdiction of the
        House of Representatives and the Senate a review and
        evaluation of such request. The review and evaluation
        shall--
                    (A) identify any request or subpart of any
                request that affects or may affect the
                counternarcotics activities of the Department
                or any of its subdivisions, or that affects the
                ability of the Department or any subdivision of
                the Department to meet its responsibility to
                stop the entry of illegal drugs into the United
                States;
                    (B) describe with particularity how such
                requested funds would be or could be expended
                in furtherance of counternarcotics activities;
                and
                    (C) compare such requests with requests for
                expenditures and amounts appropriated by
                Congress in the previous fiscal year.
            (2) Evaluation of counternarcotics activities.--The
        Director of the Office of Counternarcotics Enforcement
        shall, not later than February 1 of each year, submit
        to the Committees on Appropriations and the authorizing
        committees of jurisdiction of the House of
        Representatives and the Senate a review and evaluation
        of the counternarcotics activities of the Department
        for the previous fiscal year. The review and evaluation
        shall--
                    (A) describe the counternarcotics
                activities of the Department and each
                subdivision of the Department (whether
                individually or in cooperation with other
                subdivisions of the Department, or in
                cooperation with other branches of the Federal
                Government or with State or local agencies),
                including the methods, procedures, and systems
                (including computer systems) for collecting,
                analyzing, sharing, and disseminating
                information concerning narcotics activity
                within the Department and between the
                Department and other Federal, State, and local
                agencies;
                    (B) describe the results of those
                activities, using quantifiable data whenever
                possible;
                    (C) state whether those activities were
                sufficient to meet the responsibility of the
                Department to stop the entry of illegal drugs
                into the United States, including a description
                of the performance measures of effectiveness
                that were used in making that determination;
                and
                    (D) recommend, where appropriate, changes
                to those activities to improve the performance
                of the Department in meeting its responsibility
                to stop the entry of illegal drugs into the
                United States.
            (3) Classified or law enforcement sensitive
        information.--Any content of a review and evaluation
        described in the reports required in this subsection
        that involves information classified under criteria
        established by an Executive order, or whose public
        disclosure, as determined by the Secretary, would be
        detrimental to the law enforcement or national security
        activities of the Department or any other Federal,
        State, or local agency, shall be presented to Congress
        separately from the rest of the review and evaluation.

SEC. 879. [6 U.S.C. 459] 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 a senior official
appointed by the Secretary.
    (b) Duties of the Director.--The Director shall have the
following duties:
            (1) To promote information and education exchange
        with nations friendly to the United States in order to
        promote sharing of best practices and technologies
        relating to homeland security. Such exchange shall
        include the following:
                    (A) Exchange of information on research and
                development on homeland security technologies.
                    (B) Joint training exercises of first
                responders.
                    (C) Exchange of expertise on terrorism
                prevention, response, and crisis management.
            (2) To identify areas for homeland security
        information and training exchange where the United
        States has a demonstrated weakness and another friendly
        nation or nations have a demonstrated expertise.
            (3) To plan and undertake international
        conferences, exchange programs, and training
        activities.
            (4) To manage international activities within the
        Department in coordination with other Federal officials
        with responsibility for counter-terrorism matters.

SEC. 880. [6 U.S.C. 460] PROHIBITION OF THE TERRORISM INFORMATION AND
                    PREVENTION SYSTEM.

    Any and all activities of the Federal Government to
implement the proposed component program of the Citizen Corps
known as Operation TIPS (Terrorism Information and Prevention
System) are hereby prohibited.

SEC. 881. [6 U.S.C. 461] REVIEW OF PAY AND BENEFIT PLANS.

    Notwithstanding any other provision of this Act, the
Secretary shall, in consultation with the Director of the
Office of Personnel Management, review the pay and benefit
plans of each agency whose functions are transferred under this
Act to the Department and, within 90 days after the date of
enactment, submit a plan to the President of the Senate and the
Speaker of the House of Representatives and the appropriate
committees and subcommittees of Congress, for ensuring, to the
maximum extent practicable, the elimination of disparities in
pay and benefits throughout the Department, especially among
law enforcement personnel, that are inconsistent with merit
system principles set forth in section 2301 of title 5, United
States Code.

SEC. 882. [6 U.S.C. 462] OFFICE FOR NATIONAL CAPITAL REGION
                    COORDINATION.

    (a) Establishment.--
            (1) In general.--There is established within the
        Office of the Secretary the Office of National Capital
        Region Coordination, to oversee and coordinate Federal
        programs for and relationships with State, local, and
        regional authorities in the National Capital Region, as
        defined under section 2674(f)(2) of title 10, United
        States Code.
            (2) Director.--The Office established under
        paragraph (1) shall be headed by a Director, who shall
        be appointed by the Secretary.
            (3) Cooperation.--The Secretary shall cooperate
        with the Mayor of the District of Columbia, the
        Governors of Maryland and Virginia, and other State,
        local, and regional officers in the National Capital
        Region to integrate the District of Columbia, Maryland,
        and Virginia into the planning, coordination, and
        execution of the activities of the Federal Government
        for the enhancement of domestic preparedness against
        the consequences of terrorist attacks.
    (b) Responsibilities.--The Office established under
subsection (a)(1) shall--
            (1) coordinate the activities of the Department
        relating to the National Capital Region, including
        cooperation with the Office for State and Local
        Government Coordination;
            (2) assess, and advocate for, the resources needed
        by State, local, and regional authorities in the
        National Capital Region to implement efforts to secure
        the homeland;
            (3) provide State, local, and regional authorities
        in the National Capital Region with regular
        information, research, and technical support to assist
        the efforts of State, local, and regional authorities
        in the National Capital Region in securing the
        homeland;
            (4) develop a process for receiving meaningful
        input from State, local, and regional authorities and
        the private sector in the National Capital Region to
        assist in the development of the homeland security
        plans and activities of the Federal Government;
            (5) coordinate with Federal agencies in the
        National Capital Region on terrorism preparedness, to
        ensure adequate planning, information sharing,
        training, and execution of the Federal role in domestic
        preparedness activities;
            (6) coordinate with Federal, State, local, and
        regional agencies, and the private sector in the
        National Capital Region on terrorism preparedness to
        ensure adequate planning, information sharing,
        training, and execution of domestic preparedness
        activities among these agencies and entities; and
            (7) serve as a liaison between the Federal
        Government and State, local, and regional authorities,
        and private sector entities in the National Capital
        Region to facilitate access to Federal grants and other
        programs.
    (c) Annual Report.--The Office established under subsection
(a) shall submit an annual report to Congress that includes--
            (1) the identification of the resources required to
        fully implement homeland security efforts in the
        National Capital Region;
            (2) an assessment of the progress made by the
        National Capital Region in implementing homeland
        security efforts; and
            (3) recommendations to Congress regarding the
        additional resources needed to fully implement homeland
        security efforts in the National Capital Region.
    (d) Limitation.--Nothing contained in this section shall be
construed as limiting the power of State and local governments.

SEC. 883. [6 U.S.C. 463] REQUIREMENT TO COMPLY WITH LAWS PROTECTING
                    EQUAL EMPLOYMENT OPPORTUNITY AND PROVIDING
                    WHISTLEBLOWER PROTECTIONS.

    Nothing in this Act shall be construed as exempting the
Department from requirements applicable with respect to
executive agencies--
            (1) to provide equal employment protection for
        employees of the Department (including pursuant to the
        provisions in section 2302(b)(1) of title 5, United
        States Code, and the Notification and Federal Employee
        Antidiscrimination and Retaliation Act of 2002 (Public
        Law 107-174)); or
            (2) to provide whistleblower protections for
        employees of the Department (including pursuant to the
        provisions in section 2302(b)(8) and (9) of such title
        and the Notification and Federal Employee
        Antidiscrimination and Retaliation Act of 2002).

SEC. 884. [6 U.S.C. 464] FEDERAL LAW ENFORCEMENT TRAINING CENTER.

    (a) In General.--The transfer of an authority or an agency
under this Act to the Department of Homeland Security does not
affect training agreements already entered into with the
Federal Law Enforcement Training Center with respect to the
training of personnel to carry out that authority or the duties
of that transferred agency.
    (b) Continuity of Operations.--All activities of the
Federal Law Enforcement Training Center transferred to the
Department of Homeland Security under this Act shall continue
to be carried out at the locations such activities were carried
out before such transfer.

SEC. 885. [6 U.S.C. 465] JOINT INTERAGENCY TASK FORCE.

    (a) Establishment.--The Secretary may establish and operate
a permanent Joint Interagency Homeland Security Task Force
composed of representatives from military and civilian agencies
of the United States Government for the purposes of
anticipating terrorist threats against the United States and
taking appropriate actions to prevent harm to the United
States.
    (b) Structure.--It is the sense of Congress that the
Secretary should model the Joint Interagency Homeland Security
Task Force on the approach taken by the Joint Interagency Task
Forces for drug interdiction at Key West, Florida and Alameda,
California, to the maximum extent feasible and appropriate.

SEC. 886. [6 U.S.C. 466] SENSE OF CONGRESS REAFFIRMING THE CONTINUED
                    IMPORTANCE AND APPLICABILITY OF THE POSSE COMITATUS
                    ACT.

    (a) Findings.--Congress finds the following:
            (1) Section 1385 of title 18, United States Code
        (commonly known as the ``Posse Comitatus Act''),
        prohibits the use of the Armed Forces as a posse
        comitatus to execute the laws except in cases and under
        circumstances expressly authorized by the Constitution
        or Act of Congress.
            (2) Enacted in 1878, the Posse Comitatus Act was
        expressly intended to prevent United States Marshals,
        on their own initiative, from calling on the Army for
        assistance in enforcing Federal law.
            (3) The Posse Comitatus Act has served the Nation
        well in limiting the use of the Armed Forces to enforce
        the law.
            (4) Nevertheless, by its express terms, the Posse
        Comitatus Act is not a complete barrier to the use of
        the Armed Forces for a range of domestic purposes,
        including law enforcement functions, when the use of
        the Armed Forces is authorized by Act of Congress or
        the President determines that the use of the Armed
        Forces is required to fulfill the President's
        obligations under the Constitution to respond promptly
        in time of war, insurrection, or other serious
        emergency.
            (5) Existing laws, including chapter 15 of title
        10, United States Code (commonly known as the
        ``Insurrection Act''), and the Robert T. Stafford
        Disaster Relief and Emergency Assistance Act (42 U.S.C.
        5121 et seq.), grant the President broad powers that
        may be invoked in the event of domestic emergencies,
        including an attack against the Nation using weapons of
        mass destruction, and these laws specifically authorize
        the President to use the Armed Forces to help restore
        public order.
    (b) Sense of Congress.--Congress reaffirms the continued
importance of section 1385 of title 18, United States Code, and
it is the sense of Congress that nothing in this Act should be
construed to alter the applicability of such section to any use
of the Armed Forces as a posse comitatus to execute the laws.

SEC. 887. [6 U.S.C. 467] 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 Department 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.

SEC. 888. [6 U.S.C. 468] 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 (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, and capabilities of the Coast Guard to
perform its missions shall be maintained intact and without
significant reduction after the transfer of the Coast Guard to
the Department, except as specified in subsequent Acts.
    (d) Certain Transfers Prohibited.--No mission, function, or
asset (including for purposes of this subsection any ship,
aircraft, or helicopter) of the Coast Guard may be diverted to
the principal and continuing use of any other organization,
unit, or entity of the Department, except for details or
assignments that do not reduce the Coast Guard's capability to
perform its missions.
    (e) Changes to Missions.--
            (1) Prohibition.--The Secretary may not
        substantially or significantly reduce the missions of
        the Coast Guard or the Coast Guard's capability to
        perform those missions, except as specified in
        subsequent Acts.
            (2) Waiver.--The Secretary may waive the
        restrictions under paragraph (1) for a period of not to
        exceed 90 days upon a declaration and certification by
        the Secretary to Congress that a clear, compelling, and
        immediate need exists for 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 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 report under this paragraph shall
        be submitted 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.
    (i) Report on Accelerating the Integrated Deepwater
System.--Not later than 90 days after the date of enactment of
this Act, the Secretary, in consultation with the Commandant of
the Coast Guard, shall submit a report to the Committee on
Commerce, Science, and Transportation of the Senate, the
Committee on Transportation and Infrastructure of the House of
Representatives, and the Committees on Appropriations of the
Senate and the House of Representatives that--
            (1) analyzes the feasibility of accelerating the
        rate of procurement in the Coast Guard's Integrated
        Deepwater System from 20 years to 10 years;
            (2) includes an estimate of additional resources
        required;
            (3) describes the resulting increased capabilities;
            (4) outlines any increases in the Coast Guard's
        homeland security readiness;
            (5) describes any increases in operational
        efficiencies; and
            (6) provides a revised asset phase-in time line.
          * * * * * * *

SEC. 889. HOMELAND SECURITY FUNDING ANALYSIS IN PRESIDENT'S BUDGET.

    (a)  * * *
          * * * * * * *
    (c) [31 U.S.C. 1105 note] Effective Date.--This section and
the amendment made by this section shall apply beginning with
respect to the fiscal year 2005 budget submission.
          * * * * * * *

                    Subtitle I--Information Sharing

SEC. 891. [6 U.S.C. 481] SHORT TITLE; FINDINGS; AND SENSE OF CONGRESS.

    (a) Short Title.--This subtitle may be cited as the
``Homeland Security Information Sharing Act''.
    (b) Findings.--Congress finds the following:
            (1) The Federal Government is required by the
        Constitution to provide for the common defense, which
        includes terrorist attack.
            (2) The Federal Government relies on State and
        local personnel to protect against terrorist attack.
            (3) The Federal Government collects, creates,
        manages, and protects classified and sensitive but
        unclassified information to enhance homeland security.
            (4) Some homeland security information is needed by
        the State and local personnel to prevent and prepare
        for terrorist attack.
            (5) The needs of State and local personnel to have
        access to relevant homeland security information to
        combat terrorism must be reconciled with the need to
        preserve the protected status of such information and
        to protect the sources and methods used to acquire such
        information.
            (6) Granting security clearances to certain State
        and local personnel is one way to facilitate the
        sharing of information regarding specific terrorist
        threats among Federal, State, and local levels of
        government.
            (7) Methods exist to declassify, redact, or
        otherwise adapt classified information so it may be
        shared with State and local personnel without the need
        for granting additional security clearances.
            (8) State and local personnel have capabilities and
        opportunities to gather information on suspicious
        activities and terrorist threats not possessed by
        Federal agencies.
            (9) The Federal Government and State and local
        governments and agencies in other jurisdictions may
        benefit from such information.
            (10) Federal, State, and local governments and
        intelligence, law enforcement, and other emergency
        preparation and response agencies must act in
        partnership to maximize the benefits of information
        gathering and analysis to prevent and respond to
        terrorist attacks.
            (11) Information systems, including the National
        Law Enforcement Telecommunications System and the
        Terrorist Threat Warning System, have been established
        for rapid sharing of classified and sensitive but
        unclassified information among Federal, State, and
        local entities.
            (12) Increased efforts to share homeland security
        information should avoid duplicating existing
        information systems.
    (c) Sense of Congress.--It is the sense of Congress that
Federal, State, and local entities should share homeland
security information to the maximum extent practicable, with
special emphasis on hard-to-reach urban and rural communities.

SEC. 892. [6 U.S.C. 482] FACILITATING HOMELAND SECURITY INFORMATION
                    SHARING PROCEDURES.

    (a) Procedures for Determining Extent of Sharing of
Homeland Security Information.--
            (1) The President shall prescribe and implement
        procedures under which relevant Federal agencies--
                    (A) share relevant and appropriate homeland
                security information with other Federal
                agencies, including the Department, and
                appropriate State and local personnel;
                    (B) identify and safeguard homeland
                security information that is sensitive but
                unclassified; and
                    (C) to the extent such information is in
                classified form, determine whether, how, and to
                what extent to remove classified information,
                as appropriate, and with which such personnel
                it may be shared after such information is
                removed.
            (2) The President shall ensure that such procedures
        apply to all agencies of the Federal Government.
            (3) Such procedures shall not change the
        substantive requirements for the classification and
        safeguarding of classified information.
            (4) Such procedures shall not change the
        requirements and authorities to protect sources and
        methods.
    (b) Procedures for Sharing of Homeland Security
Information.--
            (1) Under procedures prescribed by the President,
        all appropriate agencies, including the intelligence
        community, shall, through information sharing systems,
        share homeland security information with Federal
        agencies and appropriate State and local personnel to
        the extent such information may be shared, as
        determined in accordance with subsection (a), together
        with assessments of the credibility of such
        information.
            (2) Each information sharing system through which
        information is shared under paragraph (1) shall--
                    (A) have the capability to transmit
                unclassified or classified information, though
                the procedures and recipients for each
                capability may differ;
                    (B) have the capability to restrict
                delivery of information to specified subgroups
                by geographic location, type of organization,
                position of a recipient within an organization,
                or a recipient's need to know such information;
                    (C) be configured to allow the efficient
                and effective sharing of information; and
                    (D) be accessible to appropriate State and
                local personnel.
            (3) The procedures prescribed under paragraph (1)
        shall establish conditions on the use of information
        shared under paragraph (1)--
                    (A) to limit the redissemination of such
                information to ensure that such information is
                not used for an unauthorized purpose;
                    (B) to ensure the security and
                confidentiality of such information;
                    (C) to protect the constitutional and
                statutory rights of any individuals who are
                subjects of such information; and
                    (D) to provide data integrity through the
                timely removal and destruction of obsolete or
                erroneous names and information.
            (4) The procedures prescribed under paragraph (1)
        shall ensure, to the greatest extent practicable, that
        the information sharing system through which
        information is shared under such paragraph include
        existing information sharing systems, including, but
        not limited to, the National Law Enforcement
        Telecommunications System, the Regional Information
        Sharing System, and the Terrorist Threat Warning System
        of the Federal Bureau of Investigation.
            (5) Each appropriate Federal agency, as determined
        by the President, shall have access to each information
        sharing system through which information is shared
        under paragraph (1), and shall therefore have access to
        all information, as appropriate, shared under such
        paragraph.
            (6) The procedures prescribed under paragraph (1)
        shall ensure that appropriate State and local personnel
        are authorized to use such information sharing
        systems--
                    (A) to access information shared with such
                personnel; and
                    (B) to share, with others who have access
                to such information sharing systems, the
                homeland security information of their own
                jurisdictions, which shall be marked
                appropriately as pertaining to potential
                terrorist activity.
            (7) Under procedures prescribed jointly by the
        Director of Central Intelligence and the Attorney
        General, each appropriate Federal agency, as determined
        by the President, shall review and assess the
        information shared under paragraph (6) and integrate
        such information with existing intelligence.
    (c) Sharing of Classified Information and Sensitive but
Unclassified Information With State and Local Personnel.--
            (1) The President shall prescribe procedures under
        which Federal agencies may, to the extent the President
        considers necessary, share with appropriate State and
        local personnel homeland security information that
        remains classified or otherwise protected after the
        determinations prescribed under the procedures set
        forth in subsection (a).
            (2) It is the sense of Congress that such
        procedures may include 1 or more of the following
        means:
                    (A) Carrying out security clearance
                investigations with respect to appropriate
                State and local personnel.
                    (B) With respect to information that is
                sensitive but unclassified, entering into
                nondisclosure agreements with appropriate State
                and local personnel.
                    (C) Increased use of information-sharing
                partnerships that include appropriate State and
                local personnel, such as the Joint Terrorism
                Task Forces of the Federal Bureau of
                Investigation, the Anti-Terrorism Task Forces
                of the Department of Justice, and regional
                Terrorism Early Warning Groups.
            (3)(A) The Secretary shall establish a program to
        provide appropriate training to officials described in
        subparagraph (B) in order to assist such officials in--
                    (i) identifying sources of potential
                terrorist threats through such methods as the
                Secretary determines appropriate;
                    (ii) reporting information relating to such
                potential terrorist threats to the appropriate
                Federal agencies in the appropriate form and
                manner;
                    (iii) assuring that all reported
                information is systematically submitted to and
                passed on by the Department for use by
                appropriate Federal agencies; and
                    (iv) understanding the mission and roles of
                the intelligence community to promote more
                effective information sharing among Federal,
                State, and local officials and representatives
                of the private sector to prevent terrorist
                attacks against the United States.
            (B) The officials referred to in subparagraph (A)
        are officials of State and local government agencies
        and representatives of private sector entities with
        responsibilities relating to the oversight and
        management of first responders, counterterrorism
        activities, or critical infrastructure.
            (C) The Secretary shall consult with the Attorney
        General to ensure that the training program established
        in subparagraph (A) does not duplicate the training
        program established in section 908 of the USA PATRIOT
        Act (Public Law 107-56; 28 U.S.C. 509 note).
            (D) The Secretary shall carry out this paragraph in
        consultation with the Director of Central Intelligence
        and the Attorney General.
    (d) Responsible Officials.--For each affected Federal
agency, the head of such agency shall designate an official to
administer this Act with respect to such agency.
    (e) Federal Control of Information.--Under procedures
prescribed under this section, information obtained by a State
or local government from a Federal agency under this section
shall remain under the control of the Federal agency, and a
State or local law authorizing or requiring such a government
to disclose information shall not apply to such information.
    (f) Definitions.--As used in this section:
            (1) The term ``homeland security information''
        means any information possessed by a Federal, State, or
        local agency that--
                    (A) relates to the threat of terrorist
                activity;
                    (B) relates to the ability to prevent,
                interdict, or disrupt terrorist activity;
                    (C) would improve the identification or
                investigation of a suspected terrorist or
                terrorist organization; or
                    (D) would improve the response to a
                terrorist act.
            (2) The term ``intelligence community'' has the
        meaning given such term in section 3(4) of the National
        Security Act of 1947 (50 U.S.C. 401a(4)).
            (3) The term ``State and local personnel'' means
        any of the following persons involved in prevention,
        preparation, or response for terrorist attack:
                    (A) State Governors, mayors, and other
                locally elected officials.
                    (B) State and local law enforcement
                personnel and firefighters.
                    (C) Public health and medical
                professionals.
                    (D) Regional, State, and local emergency
                management agency personnel, including State
                adjutant generals.
                    (E) Other appropriate emergency response
                agency personnel.
                    (F) Employees of private-sector entities
                that affect critical infrastructure, cyber,
                economic, or public health security, as
                designated by the Federal Government in
                procedures developed pursuant to this section.
            (4) The term ``State'' includes the District of
        Columbia and any commonwealth, territory, or possession
        of the United States.
    (g) Construction.--Nothing in this Act shall be construed
as authorizing any department, bureau, agency, officer, or
employee of the Federal Government to request, receive, or
transmit to any other Government entity or personnel, or
transmit to any State or local entity or personnel otherwise
authorized by this Act to receive homeland security
information, any information collected by the Federal
Government solely for statistical purposes in violation of any
other provision of law relating to the confidentiality of such
information.

SEC. 893. [6 U.S.C. 483] REPORT.

    (a) Report Required.--Not later than 12 months after the
date of the enactment of this Act, the President shall submit
to the congressional committees specified in subsection (b) a
report on the implementation of section 892. The report shall
include any recommendations for additional measures or
appropriation requests, beyond the requirements of section 892,
to increase the effectiveness of sharing of information between
and among Federal, State, and local entities.
    (b) Specified Congressional Committees.--The congressional
committees referred to in subsection (a) are the following
committees:
            (1) The Permanent Select Committee on Intelligence
        and the Committee on the Judiciary of the House of
        Representatives.
            (2) The Select Committee on Intelligence and the
        Committee on the Judiciary of the Senate.

SEC. 894. [6 U.S.C. 484] AUTHORIZATION OF APPROPRIATIONS.

    There are authorized to be appropriated such sums as may be
necessary to carry out section 892.
          * * * * * * *

            Subtitle J--Secure Handling of Ammonium Nitrate

SEC. 899A. [6 U.S.C. 488] DEFINITIONS.

    In this subtitle:
            (1) Ammonium nitrate.--The term ``ammonium
        nitrate'' means--
                    (A) solid ammonium nitrate that is chiefly
                the ammonium salt of nitric acid and contains
                not less than 33 percent nitrogen by weight;
                and
                    (B) any mixture containing a percentage of
                ammonium nitrate that is equal to or greater
                than the percentage determined by the Secretary
                under section 899B(b).
            (2) Ammonium nitrate facility.--The term ``ammonium
        nitrate facility'' means any entity that produces,
        sells or otherwise transfers ownership of, or provides
        application services for ammonium nitrate.
            (3) Ammonium nitrate purchaser.--The term
        ``ammonium nitrate purchaser'' means any person who
        purchases ammonium nitrate from an ammonium nitrate
        facility.

SEC. 899B. [6 U.S.C. 488A] REGULATION OF THE SALE AND TRANSFER OF
                    AMMONIUM NITRATE.

    (a) In General.--The Secretary shall regulate the sale and
transfer of ammonium nitrate by an ammonium nitrate facility in
accordance with this subtitle to prevent the misappropriation
or use of ammonium nitrate in an act of terrorism.
    (b) Ammonium Nitrate Mixtures.--Not later than 90 days
after the date of the enactment of this subtitle, the
Secretary, in consultation with the heads of appropriate
Federal departments and agencies (including the Secretary of
Agriculture), shall, after notice and an opportunity for
comment, establish a threshold percentage for ammonium nitrate
in a substance.
    (c) Registration of Owners of Ammonium Nitrate
Facilities.--
            (1) Registration.--The Secretary shall establish a
        process by which any person that--
                    (A) owns an ammonium nitrate facility is
                required to register with the Department; and
                    (B) registers under subparagraph (A) is
                issued a registration number for purposes of
                this subtitle.
            (2)  Registration information.--Any person applying
        to register under paragraph (1) shall submit to the
        Secretary--
                    (A) the name, address, and telephone number
                of each ammonium nitrate facility owned by that
                person;
                    (B) the name of the person designated by
                that person as the point of contact for each
                such facility, for purposes of this subtitle;
                and
                    (C) such other information as the Secretary
                may determine is appropriate.
    (d) Registration of Ammonium Nitrate Purchasers.--
            (1) Registration.--The Secretary shall establish a
        process by which any person that--
                    (A) intends to be an ammonium nitrate
                purchaser is required to register with the
                Department; and
                    (B) registers under subparagraph (A) is
                issued a registration number for purposes of
                this subtitle.
            (2)  Registration information.--Any person applying
        to register under paragraph (1) as an ammonium nitrate
        purchaser shall submit to the Secretary--
                    (A) the name, address, and telephone number
                of the applicant; and
                    (B) the intended use of ammonium nitrate to
                be purchased by the applicant.
    (e) Records.--
            (1) Maintenance of records.--The owner of an
        ammonium nitrate facility shall--
                    (A) maintain a record of each sale or
                transfer of ammonium nitrate, during the two-
                year period beginning on the date of that sale
                or transfer; and
                    (B) include in such record the information
                described in paragraph (2).
            (2) Specific information required.--For each sale
        or transfer of ammonium nitrate, the owner of an
        ammonium nitrate facility shall--
                    (A) record the name, address, telephone
                number, and registration number issued under
                subsection (c) or (d) of each person that
                purchases ammonium nitrate, in a manner
                prescribed by the Secretary;
                    (B) if applicable, record the name,
                address, and telephone number of an agent
                acting on behalf of the person described in
                subparagraph (A), at the point of sale;
                    (C) record the date and quantity of
                ammonium nitrate sold or transferred; and
                    (D) verify the identity of the persons
                described in subparagraphs (A) and (B), as
                applicable, in accordance with a procedure
                established by the Secretary.
            (3) Protection of information.--In maintaining
        records in accordance with paragraph (1), the owner of
        an ammonium nitrate facility shall take reasonable
        actions to ensure the protection of the information
        included in such records.
    (f) Exemption for Explosive Purposes.--The Secretary may
exempt from this subtitle a person producing, selling, or
purchasing ammonium nitrate exclusively for use in the
production of an explosive under a license or permit issued
under chapter 40 of title 18, United States Code.
    (g) Consultation.--In carrying out this section, the
Secretary shall consult with the Secretary of Agriculture,
States, and appropriate private sector entities, to ensure that
the access of agricultural producers to ammonium nitrate is not
unduly burdened.
    (h) Data Confidentiality.--
            (1) In general.--Notwithstanding section 552 of
        title 5, United States Code, or the USA PATRIOT ACT
        (Public Law 107-56; 115 Stat. 272), and except as
        provided in paragraph (2), the Secretary may not
        disclose to any person any information obtained under
        this subtitle.
            (2) Exception.--The Secretary may disclose any
        information obtained by the Secretary under this
        subtitle to--
                    (A) an officer or employee of the United
                States, or a person that has entered into a
                contract with the United States, who has a need
                to know the information to perform the duties
                of the officer, employee, or person; or
                    (B) to a State agency under section 899D,
                under appropriate arrangements to ensure the
                protection of the information.
    (i) Registration Procedures and Check of Terrorist
Screening Database.--
            (1) Registration procedures.--
                    (A) Generally.--The Secretary shall
                establish procedures to efficiently receive
                applications for registration numbers under
                this subtitle, conduct the checks required
                under paragraph (2), and promptly issue or deny
                a registration number.
                    (B) Initial six-month registration
                period.--The Secretary shall take steps to
                maximize the number of registration
                applications that are submitted and processed
                during the six-month period described in
                section 899F(e).
            (2) Check of terrorist screening database.--
                    (A) Check required.--The Secretary shall
                conduct a check of appropriate identifying
                information of any person seeking to register
                with the Department under subsection (c) or (d)
                against identifying information that appears in
                the terrorist screening database of the
                Department.
                    (B) Authority to deny registration
                number.--If the identifying information of a
                person seeking to register with the Department
                under subsection (c) or (d) appears in the
                terrorist screening database of the Department,
                the Secretary may deny issuance of a
                registration number under this subtitle.
            (3) Expedited review of applications.--
                    (A) In general.--Following the six-month
                period described in section 899F(e), the
                Secretary shall, to the extent practicable,
                issue or deny registration numbers under this
                subtitle not later than 72 hours after the time
                the Secretary receives a complete registration
                application, unless the Secretary determines,
                in the interest of national security, that
                additional time is necessary to review an
                application.
                    (B) Notice of application status.--In all
                cases, the Secretary shall notify a person
                seeking to register with the Department under
                subsection (c) or (d) of the status of the
                application of that person not later than 72
                hours after the time the Secretary receives a
                complete registration application.
            (4) Expedited appeals process.--
                    (A) Requirement.--
                            (i) Appeals process.--The Secretary
                        shall establish an expedited appeals
                        process for persons denied a
                        registration number under this
                        subtitle.
                            (ii) Time period for resolution.--
                        The Secretary shall, to the extent
                        practicable, resolve appeals not later
                        than 72 hours after receiving a
                        complete request for appeal unless the
                        Secretary determines, in the interest
                        of national security, that additional
                        time is necessary to resolve an appeal.
                    (B) Consultation.--The Secretary, in
                developing the appeals process under
                subparagraph (A), shall consult with
                appropriate stakeholders.
                    (C) Guidance.--The Secretary shall provide
                guidance regarding the procedures and
                information required for an appeal under
                subparagraph (A) to any person denied a
                registration number under this subtitle.
            (5) Restrictions on use and maintenance of
        information.--
                    (A) In general.--Any information
                constituting grounds for denial of a
                registration number under this section shall be
                maintained confidentially by the Secretary and
                may be used only for making determinations
                under this section.
                    (B) Sharing of information.--
                Notwithstanding any other provision of this
                subtitle, the Secretary may share any such
                information with Federal, State, local, and
                tribal law enforcement agencies, as
                appropriate.
            (6) Registration information.--
                    (A) Authority to require information.--The
                Secretary may require a person applying for a
                registration number under this subtitle to
                submit such information as may be necessary to
                carry out the requirements of this section.
                    (B) Requirement to update information.--The
                Secretary may require persons issued a
                registration under this subtitle to update
                registration information submitted to the
                Secretary under this subtitle, as appropriate.
            (7) Re-checks against terrorist screening
        database.--
                    (A) Re-checks.--The Secretary shall, as
                appropriate, recheck persons provided a
                registration number pursuant to this subtitle
                against the terrorist screening database of the
                Department, and may revoke such registration
                number if the Secretary determines such person
                may pose a threat to national security.
                    (B) Notice of revocation.--The Secretary
                shall, as appropriate, provide prior notice to
                a person whose registration number is revoked
                under this section and such person shall have
                an opportunity to appeal, as provided in
                paragraph (4).

SEC. 899C. [6 U.S.C. 488B] INSPECTION AND AUDITING OF RECORDS.

    The Secretary shall establish a process for the periodic
inspection and auditing of the records maintained by owners of
ammonium nitrate facilities for the purpose of monitoring
compliance with this subtitle or for the purpose of deterring
or preventing the misappropriation or use of ammonium nitrate
in an act of terrorism.

SEC. 899D. [6 U.S.C. 488C] ADMINISTRATIVE PROVISIONS.

    (a) Cooperative Agreements.--The Secretary--
            (1) may enter into a cooperative agreement with the
        Secretary of Agriculture, or the head of any State
        department of agriculture or its designee involved in
        agricultural regulation, in consultation with the State
        agency responsible for homeland security, to carry out
        the provisions of this subtitle; and
            (2) wherever possible, shall seek to cooperate with
        State agencies or their designees that oversee ammonium
        nitrate facility operations when seeking cooperative
        agreements to implement the registration and
        enforcement provisions of this subtitle.
    (b) Delegation.--
            (1) Authority.--The Secretary may delegate to a
        State the authority to assist the Secretary in the
        administration and enforcement of this subtitle.
            (2) Delegation required.--At the request of a
        Governor of a State, the Secretary shall delegate to
        that State the authority to carry out functions under
        sections 899B and 899C, if the Secretary determines
        that the State is capable of satisfactorily carrying
        out such functions.
            (3) Funding.--Subject to the availability of
        appropriations, if the Secretary delegates functions to
        a State under this subsection, the Secretary shall
        provide to that State sufficient funds to carry out the
        delegated functions.
    (c) Provision of Guidance and Notification Materials to
Ammonium Nitrate Facilities.--
            (1) Guidance.--The Secretary shall make available
        to each owner of an ammonium nitrate facility
        registered under section 899B(c)(1) guidance on--
                    (A) the identification of suspicious
                ammonium nitrate purchases or transfers or
                attempted purchases or transfers;
                    (B) the appropriate course of action to be
                taken by the ammonium nitrate facility owner
                with respect to such a purchase or transfer or
                attempted purchase or transfer, including--
                            (i) exercising the right of the
                        owner of the ammonium nitrate facility
                        to decline sale of ammonium nitrate;
                        and
                            (ii) notifying appropriate law
                        enforcement entities; and
                    (C) additional subjects determined
                appropriate to prevent the misappropriation or
                use of ammonium nitrate in an act of terrorism.
            (2) Use of materials and programs.--In providing
        guidance under this subsection, the Secretary shall, to
        the extent practicable, leverage any relevant materials
        and programs.
            (3) Notification materials.--
                    (A) In general.--The Secretary shall make
                available materials suitable for posting at
                locations where ammonium nitrate is sold.
                    (B) Design of materials.--Materials made
                available under subparagraph (A) shall be
                designed to notify prospective ammonium nitrate
                purchasers of--
                            (i) the record-keeping requirements
                        under section 899B; and
                            (ii) the penalties for violating
                        such requirements.

SEC. 899E. [6 U.S.C. 488D] THEFT REPORTING REQUIREMENT.

    Any person who is required to comply with section 899B(e)
who has knowledge of the theft or unexplained loss of ammonium
nitrate shall report such theft or loss to the appropriate
Federal law enforcement authorities not later than 1 calendar
day of the date on which the person becomes aware of such theft
or loss. Upon receipt of such report, the relevant Federal
authorities shall inform State, local, and tribal law
enforcement entities, as appropriate.

SEC. 899F. [6 U.S.C. 488E] PROHIBITIONS AND PENALTY.

    (a) Prohibitions.--
            (1) Taking possession.--No person shall purchase
        ammonium nitrate from an ammonium nitrate facility
        unless such person is registered under subsection (c)
        or (d) of section 899B, or is an agent of a person
        registered under subsection (c) or (d) of that section.
            (2) Transferring possession.--An owner of an
        ammonium nitrate facility shall not transfer possession
        of ammonium nitrate from the ammonium nitrate facility
        to any ammonium nitrate purchaser who is not registered
        under subsection (c) or (d) of section 899B, or to any
        agent acting on behalf of an ammonium nitrate purchaser
        when such purchaser is not registered under subsection
        (c) or (d) of section 899B.
            (3) Other prohibitions.--No person shall--
                    (A) purchase ammonium nitrate without a
                registration number required under subsection
                (c) or (d) of section 899B;
                    (B) own or operate an ammonium nitrate
                facility without a registration number required
                under section 899B(c); or
                    (C) fail to comply with any requirement or
                violate any other prohibition under this
                subtitle.
    (b) Civil Penalty.--A person that violates this subtitle
may be assessed a civil penalty by the Secretary of not more
than $50,000 per violation.
    (c) Penalty Considerations.--In determining the amount of a
civil penalty under this section, the Secretary shall
consider--
            (1) the nature and circumstances of the violation;
            (2) with respect to the person who commits the
        violation, any history of prior violations, the ability
        to pay the penalty, and any effect the penalty is
        likely to have on the ability of such person to do
        business; and
            (3) any other matter that the Secretary determines
        that justice requires.
    (d) Notice and Opportunity for a Hearing.--No civil penalty
may be assessed under this subtitle unless the person liable
for the penalty has been given notice and an opportunity for a
hearing on the violation for which the penalty is to be
assessed in the county, parish, or incorporated city of
residence of that person.
    (e) Delay in Application of Prohibition.--Paragraphs (1)
and (2) of subsection (a) shall apply on and after the date
that is 6 months after the date that the Secretary issues a
final rule implementing this subtitle.

SEC. 899G. [6 U.S.C. 488F] PROTECTION FROM CIVIL LIABILITY.

    (a) In General.--Notwithstanding any other provision of
law, an owner of an ammonium nitrate facility that in good
faith refuses to sell or transfer ammonium nitrate to any
person, or that in good faith discloses to the Department or to
appropriate law enforcement authorities an actual or attempted
purchase or transfer of ammonium nitrate, based upon a
reasonable belief that the person seeking purchase or transfer
of ammonium nitrate may use the ammonium nitrate to create an
explosive device to be employed in an act of terrorism (as
defined in section 3077 of title 18, United States Code), or to
use ammonium nitrate for any other unlawful purpose, shall not
be liable in any civil action relating to that refusal to sell
ammonium nitrate or that disclosure.
    (b) Reasonable Belief.--A reasonable belief that a person
may use ammonium nitrate to create an explosive device to be
employed in an act of terrorism under subsection (a) may not
solely be based on the race, sex, national origin, creed,
religion, status as a veteran, or status as a member of the
Armed Forces of the United States of that person.

SEC. 899H. [6 U.S.C. 488G] PREEMPTION OF OTHER LAWS.

    (a) Other Federal Regulations.--Except as provided in
section 899G, nothing in this subtitle affects any regulation
issued by any agency other than an agency of the Department.
    (b) State Law.--Subject to section 899G, this subtitle
preempts the laws of any State to the extent that such laws are
inconsistent with this subtitle, except that this subtitle
shall not preempt any State law that provides additional
protection against the acquisition of ammonium nitrate by
terrorists or the use of ammonium nitrate in explosives in acts
of terrorism or for other illicit purposes, as determined by
the Secretary.

SEC. 899I. [6 U.S.C. 488H] DEADLINES FOR REGULATIONS.

    The Secretary--
            (1) shall issue a proposed rule implementing this
        subtitle not later than 6 months after the date of the
        enactment of this subtitle; and
            (2) issue a final rule implementing this subtitle
        not later than 1 year after such date of enactment.

SEC. 899J. [6 U.S.C. 488I] AUTHORIZATION OF APPROPRIATIONS.

    There are authorized to be appropriated to the Secretary--
            (1) $2,000,000 for fiscal year 2008; and
            (2) $10,750,000 for each of fiscal years 2009
        through 2012.

              TITLE IX--NATIONAL HOMELAND SECURITY COUNCIL

SEC. 901. [6 U.S.C. 491] NATIONAL HOMELAND SECURITY COUNCIL.

    There is established within the Executive Office of the
President a council to be known as the ``Homeland Security
Council'' (in this title referred to as the ``Council'').

SEC. 902. [6 U.S.C. 492] FUNCTION.

    The function of the Council shall be to advise the
President on homeland security matters.

SEC. 903. [6 U.S.C. 493] MEMBERSHIP.

    (a) Members-- \1\The members of the Council shall be the
following:
---------------------------------------------------------------------------
    \1\ A period probably should appear prior to the dash in the
heading for subsection (a) of section 903.
---------------------------------------------------------------------------
            (1) The President.
            (2) The Vice President.
            (3) The Secretary of Homeland Security.
            (4) The Attorney General.
            (5) The Secretary of Defense.
            (6) Such other individuals as may be designated by
        the President.
    (b) Attendance of Chairman of Joint Chiefs of Staff at
Meetings.--The Chairman of the Joint Chiefs of Staff (or, in
the absence of the Chairman, the Vice Chairman of the Joint
Chiefs of Staff) may, in the role of the Chairman of the Joint
Chiefs of Staff as principal military adviser to the Council
and subject to the direction of the President, attend and
participate in meetings of the Council.

SEC. 904. [6 U.S.C. 494] OTHER FUNCTIONS AND ACTIVITIES.

    For the purpose of more effectively coordinating the
policies and functions of the United States Government relating
to homeland security, the Council shall--
            (1) assess the objectives, commitments, and risks
        of the United States in the interest of homeland
        security and to make resulting recommendations to the
        President;
            (2) oversee and review homeland security policies
        of the Federal Government and to make resulting
        recommendations to the President; and
            (3) perform such other functions as the President
        may direct.

SEC. 905. [6 U.S.C. 495] STAFF COMPOSITION.

    The Council shall have a staff, the head of which shall be
a civilian Executive Secretary, who shall be appointed by the
President. The President is authorized to fix the pay of the
Executive Secretary at a rate not to exceed the rate of pay
payable to the Executive Secretary of the National Security
Council.

SEC. 906. [6 U.S.C. 496] RELATION TO THE NATIONAL SECURITY COUNCIL.

    The President may convene joint meetings of the Homeland
Security Council and the National Security Council with
participation by members of either Council or as the President
may otherwise direct.

                     TITLE X--INFORMATION SECURITY

SEC. 1001. INFORMATION SECURITY.

    (a) [6 U.S.C. 101 note] Short Title.--This title may be
cited as the ``Federal Information Security Management Act of
2002''.

           *       *       *       *       *       *       *

    (c) [6 U.S.C. 511] Information Security Responsibilities of
Certain Agencies.--
            (1) National security responsibilities.--(A)
        Nothing in this Act (including any amendment made by
        this Act) shall supersede any authority of the
        Secretary of Defense, the Director of Central
        Intelligence, or other agency head, as authorized by
        law and as directed by the President, with regard to
        the operation, control, or management of national
        security systems, as defined by section 3532(3) of
        title 44, United States Code.

           *       *       *       *       *       *       *

            (2) Atomic energy act of 1954.--Nothing in this Act
        shall supersede any requirement made by or under the
        Atomic Energy Act of 1954 (42 U.S.C. 2011 et seq.).
        Restricted Data or Formerly Restricted Data shall be
        handled, protected, classified, downgraded, and
        declassified in conformity with the Atomic Energy Act
        of 1954 (42 U.S.C. 2011 et seq.).

           *       *       *       *       *       *       *


SEC. 1006. [6 U.S.C. 512] CONSTRUCTION.

    Nothing in this Act, or the amendments made by this Act,
affects the authority of the National Institute of Standards
and Technology or the Department of Commerce relating to the
development and promulgation of standards or guidelines under
paragraphs (1) and (2) of section 20(a) of the National
Institute of Standards and Technology Act (15 U.S.C. 278g-
3(a)).

               TITLE XI--DEPARTMENT OF JUSTICE DIVISIONS

          Subtitle A--Executive Office for Immigration Review

SEC. 1101. LEGAL STATUS OF EOIR.

    (a) [6 U.S.C. 521] 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 1102.

           *       *       *       *       *       *       *


SEC. 1103. [6 U.S.C. 522] 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 1102, 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.

Subtitle B--Transfer of the Bureau of Alcohol, Tobacco and Firearms to
                       the Department of Justice

SEC. 1111. [6 U.S.C. 531] BUREAU OF ALCOHOL, TOBACCO, FIREARMS, AND
                    EXPLOSIVES.

    (a) Establishment.--
            (1) In general.--There is established within the
        Department of Justice under the general authority of
        the Attorney General the Bureau of Alcohol, Tobacco,
        Firearms, and Explosives (in this section referred to
        as the ``Bureau'').
            (2) Director.--There shall be at the head of the
        Bureau a Director, Bureau of Alcohol, Tobacco,
        Firearms, and Explosives (in this subtitle referred to
        as the ``Director''). The Director shall be appointed
        by the President, by and with the advice and consent of
        the Senate and shall perform such functions as the
        Attorney General shall direct. The Director shall
        receive compensation at the rate prescribed by law
        under section 5314 of title V, United States Code, for
        positions at level III of the Executive Schedule.
            (3) Coordination.--The Attorney General, acting
        through the Director and such other officials of the
        Department of Justice as the Attorney General may
        designate, shall provide for the coordination of all
        firearms, explosives, tobacco enforcement, and arson
        enforcement functions vested in the Attorney General so
        as to assure maximum cooperation between and among any
        officer, employee, or agency of the Department of
        Justice involved in the performance of these and
        related functions.
            (4) Performance of transferred functions.--The
        Attorney General may make such provisions as the
        Attorney General determines appropriate to authorize
        the performance by any officer, employee, or agency of
        the Department of Justice of any function transferred
        to the Attorney General under this section.
    (b) Responsibilities.--Subject to the direction of the
Attorney General, the Bureau shall be responsible for
investigating--
            (1) criminal and regulatory violations of the
        Federal firearms, explosives, arson, alcohol, and
        tobacco smuggling laws;
            (2) the functions transferred by subsection (c);
        and
            (3) any other function related to the investigation
        of violent crime or domestic terrorism that is
        delegated to the Bureau by the Attorney General.
    (c) Transfer of Authorities, Functions, Personnel, and
Assets to the Department of Justice.--
            (1) In general.--Subject to paragraph (2), but
        notwithstanding any other provision of law, there are
        transferred to the Department of Justice the
        authorities, functions, personnel, and assets of the
        Bureau of Alcohol, Tobacco and Firearms, which shall be
        maintained as a distinct entity within the Department
        of Justice, including the related functions of the
        Secretary of the Treasury.
            (2) Administration and revenue collection
        functions.--There shall be retained within the
        Department of the Treasury the authorities, functions,
        personnel, and assets of the Bureau of Alcohol, Tobacco
        and Firearms relating to the administration and
        enforcement of chapters 51 and 52 of the Internal
        Revenue Code of 1986, sections 4181 and 4182 of the
        Internal Revenue Code of 1986, and title 27, United
        States Code.
            (3) Building prospectus.--Prospectus PDC-98W10,
        giving the General Services Administration the
        authority for site acquisition, design, and
        construction of a new headquarters building for the
        Bureau of Alcohol, Tobacco and Firearms, is
        transferred, and deemed to apply, to the Bureau of
        Alcohol, Tobacco, Firearms, and Explosives established
        in the Department of Justice under subsection (a).
    (d) Tax and Trade Bureau.--
            (1) Establishment.--There is established within the
        Department of the Treasury the Tax and Trade Bureau.
            (2) Administrator.--The Tax and Trade Bureau shall
        be headed by an Administrator, who shall perform such
        duties as assigned by the Under Secretary for
        Enforcement of the Department of the Treasury. The
        Administrator shall occupy a career-reserved position
        within the Senior Executive Service.
            (3) Responsibilities.--The authorities, functions,
        personnel, and assets of the Bureau of Alcohol, Tobacco
        and Firearms that are not transferred to the Department
        of Justice under this section shall be retained and
        administered by the Tax and Trade Bureau.

           *       *       *       *       *       *       *


SEC. 1114. [6 U.S.C. 532] EXPLOSIVES TRAINING AND RESEARCH FACILITY.

    (a) Establishment.--There is established within the Bureau
an Explosives Training and Research Facility at Fort AP Hill,
Fredericksburg, Virginia.
    (b) Purpose.--The facility established under subsection (a)
shall be utilized to train Federal, State, and local law
enforcement officers to--
            (1) investigate bombings and explosions;
            (2) properly handle, utilize, and dispose of
        explosive materials and devices;
            (3) train canines on explosive detection; and
            (4) conduct research on explosives.
    (c) Authorization of Appropriations.--
            (1) In general.--There are authorized to be
        appropriated such sums as may be necessary to establish
        and maintain the facility established under subsection
        (a).
            (2) Availability of funds.--Any amounts
        appropriated pursuant to paragraph (1) shall remain
        available until expended.

SEC. 1115. [6 U.S.C. 533] PERSONNEL MANAGEMENT DEMONSTRATION PROJECT.

    Notwithstanding any other provision of law, the Personnel
Management Demonstration Project established under section 102
of title I of division C of the Omnibus Consolidated and
Emergency Supplemental Appropriations Act for Fiscal Year 1999
(Public Law 105-277; 122 Stat. 2681-585) shall be transferred
to the Attorney General of the United States for continued use
by the Bureau of Alcohol, Tobacco, Firearms, and Explosives,
Department of Justice, and the Secretary of the Treasury for
continued use by the Tax and Trade Bureau.

                         Subtitle C--Explosives

SEC. 1121. [18 U.S.C. 841 NOTE] SHORT TITLE.

    This subtitle may be referred to as the ``Safe Explosives
Act''.

SEC. 1122. PERMITS FOR PURCHASERS OF EXPLOSIVES.

    (a)  * * *

           *       *       *       *       *       *       *

    (i) [18 U.S.C. 843 note] Effective Date.--
            (1) In general.--The amendments made by this
        section shall take effect 180 days after the date of
        enactment of this Act.
            (2) Exception.--Notwithstanding any provision of
        this Act, a license or permit issued under section 843
        of title 18, United States Code, before the date of
        enactment of this Act, shall remain valid until that
        license or permit is revoked under section 843(d) or
        expires, or until a timely application for renewal is
        acted upon.

           *       *       *       *       *       *       *


SEC. 1128. AUTHORIZATION OF APPROPRIATIONS.

    There is authorized to be appropriated such sums as
necessary to carry out this subtitle and the amendments made by
this subtitle.

TITLE XII--AIRLINE WAR RISK INSURANCE LEGISLATION

           *       *       *       *       *       *       *


SEC. 1204. REPORT.

    Not later than 90 days after the date of enactment of this
Act, the Secretary shall transmit to the Committee on Commerce,
Science, and Transportation of the Senate and the Committee on
Transportation and Infrastructure of the House of
Representatives a report that--
                    (A) evaluates the availability and cost of
                commercial war risk insurance for air carriers
                and other aviation entities for passengers and
                third parties;
                    (B) analyzes the economic effect upon air
                carriers and other aviation entities of
                available commercial war risk insurance; and
                    (C) describes the manner in which the
                Department could provide an alternative means
                of providing aviation war risk reinsurance
                covering passengers, crew, and third parties
                through use of a risk-retention group or by
                other means.

               TITLE XIII--FEDERAL WORKFORCE IMPROVEMENT

                Subtitle A--Chief Human Capital Officers

SEC. 1301. [5 U.S.C. 101 NOTE] SHORT TITLE.

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

           *       *       *       *       *       *       *


SEC. 1303. [5 U.S.C. 1401 NOTE] 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. 1305. [5 U.S.C. 1103 NOTE] EFFECTIVE DATE.

    This subtitle shall take effect 180 days after the date of
enactment of this Act.

Subtitle B--Reforms Relating to Federal Human Capital Management

           *       *       *       *       *       *       *


SEC. 1313. PERMANENT EXTENSION, REVISION, AND EXPANSION OF AUTHORITIES
                    FOR USE OF VOLUNTARY SEPARATION INCENTIVE PAY AND
                    VOLUNTARY EARLY RETIREMENT.

    (a) Voluntary Separation Incentive Payments.--
            (1)  * * *

           *       *       *       *       *       *       *

            (2) [5 U.S.C. 3521 note] 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) [5 U.S.C. 3521 note] 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) [5 U.S.C. 3521 note] Effective date.--This
        subsection shall take effect 60 days after the date of
        enactment of this Act.

           *       *       *       *       *       *       *

    (b) Federal Employee Voluntary Early Retirement.--
            (1)  * * *

           *       *       *       *       *       *       *

            (3) [5 U.S.C. 8336 note] 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).

           *       *       *       *       *       *       *

            (5) [5 U.S.C. 8336 note] Regulations.--The Office
        of Personnel Management may prescribe regulations to
        carry out this subsection.
    (c) [5 U.S.C. 3521 note] 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.

           *       *       *       *       *       *       *


Subtitle C--Reforms Relating to the Senior Executive Service

           *       *       *       *       *       *       *


SEC. 1321. REPEAL OF RECERTIFICATION REQUIREMENTS OF SENIOR EXECUTIVES.

    (a)  * * *

           *       *       *       *       *       *       *

    (b) [5 U.S.C. 3592 note] 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) [5 U.S.C. 3593 note] 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.

           *       *       *       *       *       *       *


Subtitle D--Academic Training

           *       *       *       *       *       *       *


SEC. 1332. MODIFICATIONS TO NATIONAL SECURITY EDUCATION PROGRAM.

    (a) [5 U.S.C. 3301 note] 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.

           *       *       *       *       *       *       *


               TITLE XIV--ARMING PILOTS AGAINST TERRORISM

SEC. 1401. [49 U.S.C. 40101 NOTE] SHORT TITLE.

    This title may be cited as the ``Arming Pilots Against
Terrorism Act''.

SEC. 1402. FEDERAL FLIGHT DECK OFFICER PROGRAM.

    (a)  * * *

           *       *       *       *       *       *       *

    (c) [6 U.S.C. 513] Federal Air Marshal Program.--
            (1) Sense of congress.--It is the sense of Congress
        that the Federal air marshal program is critical to
        aviation security.
            (2) Limitation on statutory construction.--Nothing
        in this Act, including any amendment made by this Act,
        shall be construed as preventing the Under Secretary of
        Transportation for Security from implementing and
        training Federal air marshals.

SEC. 1403. CREW TRAINING.

    (a)  * * *

           *       *       *       *       *       *       *

    (c) Benefits and Risks of Providing Flight Attendants With
Nonlethal Weapons.--
            (1) Study.--The Under Secretary of Transportation
        for Security shall conduct a study to evaluate the
        benefits and risks of providing flight attendants with
        nonlethal weapons to aide in combating air piracy and
        criminal violence on commercial airlines.
            (2) Report.--Not later than 6 months after the date
        of enactment of this Act, the Under Secretary shall
        transmit to Congress a report on the results of the
        study.

SEC. 1404. COMMERCIAL AIRLINE SECURITY STUDY.

    (a) Study.--The Secretary of Transportation shall conduct a
study of the following:
            (1) The number of armed Federal law enforcement
        officers (other than Federal air marshals), who travel
        on commercial airliners annually and the frequency of
        their travel.
            (2) The cost and resources necessary to provide
        such officers with supplemental training in aircraft
        anti-terrorism training that is comparable to the
        training that Federal air marshals are provided.
            (3) The cost of establishing a program at a Federal
        law enforcement training center for the purpose of
        providing new Federal law enforcement recruits with
        standardized training comparable to the training that
        Federal air marshals are provided.
            (4) The feasibility of implementing a certification
        program designed for the purpose of ensuring Federal
        law enforcement officers have completed the training
        described in paragraph (2) and track their travel over
        a 6-month period.
            (5) The feasibility of staggering the flights of
        such officers to ensure the maximum amount of flights
        have a certified trained Federal officer on board.
    (b) Report.--Not later than 6 months after the date of
enactment of this Act, the Secretary shall transmit to Congress
a report on the results of the study. The report may be
submitted in classified and redacted form.

           *       *       *       *       *       *       *


                          TITLE XV--TRANSITION

                    Subtitle A--Reorganization Plan

SEC. 1501. [6 U.S.C. 541] DEFINITIONS.

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

SEC. 1502. [6 U.S.C. 542] REORGANIZATION PLAN.

    (a) Submission of Plan.--Not later than 60 days after the
date of the enactment of this Act, the President shall transmit
to the appropriate congressional committees a reorganization
plan regarding the following:
            (1) The transfer of agencies, personnel, assets,
        and obligations to the Department pursuant to this Act.
            (2) Any consolidation, reorganization, or
        streamlining of agencies transferred to the Department
        pursuant to this Act.
    (b) Plan Elements.--The plan transmitted under subsection
(a) shall contain, consistent with this Act, such elements as
the President deems appropriate, including the following:
            (1) Identification of any functions of agencies
        transferred to the Department pursuant to this Act that
        will not be transferred to the Department under the
        plan.
            (2) Specification of the steps to be taken by the
        Secretary to organize the Department, including the
        delegation or assignment of functions transferred to
        the Department among officers of the Department in
        order to permit the Department to carry out the
        functions transferred under the plan.
            (3) Specification of the funds available to each
        agency that will be transferred to the Department as a
        result of transfers under the plan.
            (4) Specification of the proposed allocations
        within the Department of unexpended funds transferred
        in connection with transfers under the plan.
            (5) Specification of any proposed disposition of
        property, facilities, contracts, records, and other
        assets and obligations of agencies transferred under
        the plan.
            (6) Specification of the proposed allocations
        within the Department of the functions of the agencies
        and subdivisions that are not related directly to
        securing the homeland.
    (c) Modification of Plan.--The President may, on the basis
of consultations with the appropriate congressional committees,
modify or revise any part of the plan until that part of the
plan becomes effective in accordance with subsection (d).
    (d) Effective Date.--
            (1) In general.--The reorganization plan described
        in this section, including any modifications or
        revisions of the plan under subsection (d), shall
        become effective for an agency on the earlier of--
                    (A) the date specified in the plan (or the
                plan as modified pursuant to subsection (d)),
                except that such date may not be earlier than
                90 days after the date the President has
                transmitted the reorganization plan to the
                appropriate congressional committees pursuant
                to subsection (a); or
                    (B) the end of the transition period.
            (2) Statutory construction.--Nothing in this
        subsection may be construed to require the transfer of
        functions, personnel, records, balances of
        appropriations, or other assets of an agency on a
        single date.
            (3) Supersedes existing law.--Paragraph (1) shall
        apply notwithstanding section 905(b) of title 5, United
        States Code.

SEC. 1503. [6 U.S.C. 543] REVIEW OF CONGRESSIONAL COMMITTEE STRUCTURES.

    It is the sense of Congress that each House of Congress
should review its committee structure in light of the
reorganization of responsibilities within the executive branch
by the establishment of the Department.

                  Subtitle B--Transitional Provisions

SEC. 1511. [6 U.S.C. 551] 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 basis, provide services or detail
personnel to assist with the transition.
    (c) Acting Officials.--(1) 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. While
so acting, such officers shall receive compensation at the
higher of--
            (A) the rates provided by this Act for the
        respective offices in which they act; or
            (B) the rates provided for the offices held at the
        time of designation.
    (2) Nothing in this Act shall be understood 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
agency is transferred to the Department pursuant to this Act
and whose duties following such transfer are germane to those
performed before such transfer.
    (d) Transfer of Personnel, Assets, Obligations, and
Functions.--Upon the transfer of an agency to the Department--
            (1) the personnel, assets, and obligations 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 in accordance
        with the provisions of section 1531(a)(2) of title 31,
        United States Code; and
            (2) the Secretary shall have all functions relating
        to the agency that any other official could by law
        exercise in relation to the agency immediately before
        such transfer, and shall have in addition all functions
        vested in the Secretary by this Act or other law.
    (e) Prohibition on Use of Transportation Trust Funds.--
            (1) In general.--Notwithstanding any other
        provision of this Act, no funds derived from the
        Highway Trust Fund, Airport and Airway Trust Fund,
        Inland Waterway Trust Fund, or Harbor Maintenance Trust
        Fund, may be transferred to, made available to, or
        obligated by the Secretary or any other official in the
        Department.
            (2) Limitation.--This subsection shall not apply to
        security-related funds provided to the Federal Aviation
        Administration for fiscal years preceding fiscal year
        2003 for (A) operations, (B) facilities and equipment,
        or (C) research, engineering, and development, and to
        any funds provided to the Coast Guard from the Sport
        Fish Restoration and Boating Trust Fund for boating
        safety programs.

SEC. 1512. [6 U.S.C. 552] SAVINGS PROVISIONS.

    (a) Completed Administrative Actions.--(1) 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) For purposes of paragraph (1), the term ``completed
administrative action'' 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. Statutory reporting
requirements that applied in relation to such an agency
immediately before the effective date of this Act shall
continue to apply following such transfer if they refer to the
agency by name.
    (e) Employment Provisions.--(1) Notwithstanding the
generality of the foregoing (including subsections (a) and
(d)), in and for the Department the Secretary may, in
regulations prescribed jointly with the Director of the Office
of Personnel Management, adopt the rules, procedures, terms,
and conditions, established by statute, rule, or regulation
before the effective date of this Act, relating to employment
in any agency transferred to the Department pursuant to this
Act; and
    (2) except as otherwise provided in this Act, or under
authority granted by this Act, the transfer pursuant to this
Act of personnel shall not alter the terms and conditions of
employment, including compensation, of any employee so
transferred.
    (f) 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.

SEC. 1513. [6 U.S.C. 553] TERMINATIONS.

    Except as otherwise provided in this Act, whenever all the
functions vested by law in any agency have been transferred
pursuant to 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. 1514. [6 U.S.C. 554] NATIONAL IDENTIFICATION SYSTEM NOT
                    AUTHORIZED.

    Nothing in this Act shall be construed to authorize the
development of a national identification system or card.

SEC. 1515. [6 U.S.C. 555] CONTINUITY OF INSPECTOR GENERAL OVERSIGHT.

    Notwithstanding the transfer of an agency to the Department
pursuant to this Act, the Inspector General that exercised
oversight of such agency prior to such transfer shall continue
to exercise oversight of such agency during the period of time,
if any, between the transfer of such agency to the Department
pursuant to this Act and the appointment of the Inspector
General of the Department of Homeland Security in accordance
with section 103(b).

SEC. 1516. [6 U.S.C. 556] 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.

SEC. 1517. [6 U.S.C. 557] REFERENCE.

    With respect to any function transferred by or under this
Act (including under a reorganization plan that becomes
effective under section 1502) and exercised on or after the
effective date of this Act, reference in any other Federal law
to any department, commission, or agency or any officer or
office the functions of which are so transferred shall be
deemed to refer to the Secretary, other official, or component
of the Department to which such function is so transferred.

           *       *       *       *       *       *       *


TITLE XVII--CONFORMING AND TECHNICAL AMENDMENTS

           *       *       *       *       *       *       *


SEC. 1702. EXECUTIVE SCHEDULE.

    (a)  * * *

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    (b) [5 U.S.C. 5315 note] Special Effective Date.--
Notwithstanding section 4, the amendment made by subsection
(a)(5) shall take effect on the date on which the transfer of
functions specified under section 441 takes effect.

SEC. 1703. UNITED STATES SECRET SERVICE.

    (a)  * * *
    (b) [3 U.S.C. 202 note] 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. 1704. COAST GUARD.

    (a)  * * *

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    (g) [10 U.S.C. 101 note] Effective Date.--The amendments
made by this section (other than subsection (f)) shall take
effect on the date of transfer of the Coast Guard to the
Department.

SEC. 1705. STRATEGIC NATIONAL STOCKPILE AND SMALLPOX VACCINE
                    DEVELOPMENT.

    (a)  * * *

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    (b) [42 U.S.C. 247d-6b note] 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. 1706. TRANSFER OF CERTAIN SECURITY AND LAW ENFORCEMENT FUNCTIONS
                    AND AUTHORITIES.

    (a)  * * *

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            (2) [40 U.S.C. 1315 note] Delegation of
        authority.--The Secretary may delegate authority for
        the protection of specific buildings to another Federal
        agency where, in the Secretary's discretion, the
        Secretary determines it necessary for the protection of
        that building.

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SEC. 1708. [50 U.S.C. 1522 NOTE] 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.

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    Sec. 1714. [6 U.S.C. 103] Notwithstanding any other
provision of this Act, any report, notification, or
consultation addressing directly or indirectly the use of
appropriated funds and stipulated by this Act to be submitted
to, or held with, the Congress or any Congressional committee
shall also be submitted to, or held with, the Committees on
Appropriations of the Senate and the House of Representatives
under the same conditions and with the same restrictions as
stipulated by this Act.

                 TITLE XVIII--EMERGENCY COMMUNICATIONS

SEC. 1801. [6 U.S.C. 571] OFFICE OF EMERGENCY COMMUNICATIONS.

    (a) In General.--There is established in the Department an
Office of Emergency Communications.
    (b) Director.--The head of the office shall be the Director
for Emergency Communications. The Director shall report to the
Assistant Secretary for Cybersecurity and Communications.
    (c) Responsibilities.--The Director for Emergency
Communications shall--
            (1) assist the Secretary in developing and
        implementing the program described in section
        7303(a)(1) of the Intelligence Reform and Terrorism
        Prevention Act of 2004 (6 U.S.C. 194(a)(1)), except as
        provided in section 314;
            (2) administer the Department's responsibilities
        and authorities relating to the SAFECOM Program,
        excluding elements related to research, development,
        testing, and evaluation and standards;
            (3) administer the Department's responsibilities
        and authorities relating to the Integrated Wireless
        Network program;
            (4) conduct extensive, nationwide outreach to
        support and promote the ability of emergency response
        providers and relevant government officials to continue
        to communicate in the event of natural disasters, acts
        of terrorism, and other man-made disasters;
            (5) conduct extensive, nationwide outreach and
        foster the development of interoperable emergency
        communications capabilities by State, regional, local,
        and tribal governments and public safety agencies, and
        by regional consortia thereof;
            (6) provide technical assistance to State,
        regional, local, and tribal government officials with
        respect to use of interoperable emergency
        communications capabilities;
            (7) coordinate with the Regional Administrators
        regarding the activities of Regional Emergency
        Communications Coordination Working Groups under
        section 1805;
            (8) promote the development of standard operating
        procedures and best practices with respect to use of
        interoperable emergency communications capabilities for
        incident response, and facilitate the sharing of
        information on such best practices for achieving,
        maintaining, and enhancing interoperable emergency
        communications capabilities for such response;
            (9) coordinate, in cooperation with the National
        Communications System, the establishment of a national
        response capability with initial and ongoing planning,
        implementation, and training for the deployment of
        communications equipment for relevant State, local, and
        tribal governments and emergency response providers in
        the event of a catastrophic loss of local and regional
        emergency communications services;
            (10) assist the President, the National Security
        Council, the Homeland Security Council, and the
        Director of the Office of Management and Budget in
        ensuring the continued operation of the
        telecommunications functions and responsibilities of
        the Federal Government, excluding spectrum management;
            (11) establish, in coordination with the Director
        of the Office for Interoperability and Compatibility,
        requirements for interoperable emergency communications
        capabilities, which shall be nonproprietary where
        standards for such capabilities exist, for all public
        safety radio and data communications systems and
        equipment purchased using homeland security assistance
        administered by the Department, excluding any alert and
        warning device, technology, or system;
            (12) review, in consultation with the Assistant
        Secretary for Grants and Training, all interoperable
        emergency communications plans of Federal, State,
        local, and tribal governments, including Statewide and
        tactical interoperability plans, developed pursuant to
        homeland security assistance administered by the
        Department, but excluding spectrum allocation and
        management related to such plans;
            (13) develop and update periodically, as
        appropriate, a National Emergency Communications Plan
        under section 1802;
            (14) perform such other duties of the Department
        necessary to support and promote the ability of
        emergency response providers and relevant government
        officials to continue to communicate in the event of
        natural disasters, acts of terrorism, and other man-
        made disasters; and
            (15) perform other duties of the Department
        necessary to achieve the goal of and maintain and
        enhance interoperable emergency communications
        capabilities.
    (d) Performance of Previously Transferred Functions.--The
Secretary shall transfer to, and administer through, the
Director for Emergency Communications the following programs
and responsibilities:
            (1) The SAFECOM Program, excluding elements related
        to research, development, testing, and evaluation and
        standards.
            (2) The responsibilities of the Chief Information
        Officer related to the implementation of the Integrated
        Wireless Network.
            (3) The Interoperable Communications Technical
        Assistance Program.
    (e) Coordination.--The Director for Emergency
Communications shall coordinate--
            (1) as appropriate, with the Director of the Office
        for Interoperability and Compatibility with respect to
        the responsibilities described in section 314; and
            (2) with the Administrator of the Federal Emergency
        Management Agency with respect to the responsibilities
        described in this title.
    (f) Sufficiency of Resources Plan.--
            (1) Report.--Not later than 120 days after the date
        of enactment of this section, the Secretary shall
        submit to Congress a report on the resources and staff
        necessary to carry out fully the responsibilities under
        this title.
            (2) Comptroller general review.--The Comptroller
        General shall review the validity of the report
        submitted by the Secretary under paragraph (1). Not
        later than 60 days after the date on which such report
        is submitted, the Comptroller General shall submit to
        Congress a report containing the findings of such
        review.

SEC. 1802. [6 U.S.C. 572] NATIONAL EMERGENCY COMMUNICATIONS PLAN.

    (a) In General.--The Secretary, acting through the Director
for Emergency Communications, and in cooperation with the
Department of National Communications System (as appropriate),
shall, in cooperation with State, local, and tribal
governments, Federal departments and agencies, emergency
response providers, and the private sector, develop not later
than 180 days after the completion of the baseline assessment
under section 1803, and periodically update, a National
Emergency Communications Plan to provide recommendations
regarding how the United States should--
            (1) support and promote the ability of emergency
        response providers and relevant government officials to
        continue to communicate in the event of natural
        disasters, acts of terrorism, and other man-made
        disasters; and
            (2) ensure, accelerate, and attain interoperable
        emergency communications nationwide.
    (b) Coordination.--The Emergency Communications
Preparedness Center under section 1806 shall coordinate the
development of the Federal aspects of the National Emergency
Communications Plan.
    (c) Contents.--The National Emergency Communications Plan
shall--
            (1) include recommendations developed in
        consultation with the Federal Communications Commission
        and the National Institute of Standards and Technology
        for a process for expediting national voluntary
        consensus standards for emergency communications
        equipment for the purchase and use by public safety
        agencies of interoperable emergency communications
        equipment and technologies;
            (2) identify the appropriate capabilities necessary
        for emergency response providers and relevant
        government officials to continue to communicate in the
        event of natural disasters, acts of terrorism, and
        other man-made disasters;
            (3) identify the appropriate interoperable
        emergency communications capabilities necessary for
        Federal, State, local, and tribal governments in the
        event of natural disasters, acts of terrorism, and
        other man-made disasters;
            (4) recommend both short-term and long-term
        solutions for ensuring that emergency response
        providers and relevant government officials can
        continue to communicate in the event of natural
        disasters, acts of terrorism, and other man-made
        disasters;
            (5) recommend both short-term and long-term
        solutions for deploying interoperable emergency
        communications systems for Federal, State, local, and
        tribal governments throughout the Nation, including
        through the provision of existing and emerging
        technologies;
            (6) identify how Federal departments and agencies
        that respond to natural disasters, acts of terrorism,
        and other man-made disasters can work effectively with
        State, local, and tribal governments, in all States,
        and with other entities;
            (7) identify obstacles to deploying interoperable
        emergency communications capabilities nationwide and
        recommend short-term and long-term measures to overcome
        those obstacles, including recommendations for
        multijurisdictional coordination among Federal, State,
        local, and tribal governments;
            (8) recommend goals and timeframes for the
        deployment of emergency, command-level communications
        systems based on new and existing equipment across the
        United States and develop a timetable for the
        deployment of interoperable emergency communications
        systems nationwide;
            (9) recommend appropriate measures that emergency
        response providers should employ to ensure the
        continued operation of relevant governmental
        communications infrastructure in the event of natural
        disasters, acts of terrorism, or other man-made
        disasters; and
            (10) set a date, including interim benchmarks, as
        appropriate, by which State, local, and tribal
        governments, Federal departments and agencies, and
        emergency response providers expect to achieve a
        baseline level of national interoperable
        communications, as that term is defined under section
        7303(g)(1) of the Intelligence Reform and Terrorism
        Prevention Act of 2004 (6 U.S.C. 194(g)(1)).

SEC. 1803. [6 U.S.C. 573] ASSESSMENTS AND REPORTS.

    (a) Baseline Assessment.--Not later than 1 year after the
date of enactment of this section and not less than every 5
years thereafter, the Secretary, acting through the Director
for Emergency Communications, shall conduct an assessment of
Federal, State, local, and tribal governments that--
            (1) defines the range of capabilities needed by
        emergency response providers and relevant government
        officials to continue to communicate in the event of
        natural disasters, acts of terrorism, and other man-
        made disasters;
            (2) defines the range of interoperable emergency
        communications capabilities needed for specific events;
            (3) assesses the current available capabilities to
        meet such communications needs;
            (4) identifies the gap between such current
        capabilities and defined requirements; and
            (5) includes a national interoperable emergency
        communications inventory to be completed by the
        Secretary of Homeland Security, the Secretary of
        Commerce, and the Chairman of the Federal
        Communications Commission that--
                    (A) identifies for each Federal department
                and agency--
                            (i) the channels and frequencies
                        used;
                            (ii) the nomenclature used to refer
                        to each channel or frequency used; and
                            (iii) the types of communications
                        systems and equipment used; and
                    (B) identifies the interoperable emergency
                communications systems in use by public safety
                agencies in the United States.
    (b) Classified Annex.--The baseline assessment under this
section may include a classified annex including information
provided under subsection (a)(5)(A).
    (c) Savings Clause.--In conducting the baseline assessment
under this section, the Secretary may incorporate findings from
assessments conducted before, or ongoing on, the date of
enactment of this title.
    (d) Progress Reports.--Not later than one year after the
date of enactment of this section and biennially thereafter,
the Secretary, acting through the Director for Emergency
Communications, shall submit to Congress a report on the
progress of the Department in achieving the goals of, and
carrying out its responsibilities under, this title,
including--
            (1) a description of the findings of the most
        recent baseline assessment conducted under subsection
        (a);
            (2) a determination of the degree to which
        interoperable emergency communications capabilities
        have been attained to date and the gaps that remain for
        interoperability to be achieved;
            (3) an evaluation of the ability to continue to
        communicate and to provide and maintain interoperable
        emergency communications by emergency managers,
        emergency response providers, and relevant government
        officials in the event of--
                    (A) natural disasters, acts of terrorism,
                or other man-made disasters, including
                Incidents of National Significance declared by
                the Secretary under the National Response Plan;
                and
                    (B) a catastrophic loss of local and
                regional communications services;
            (4) a list of best practices relating to the
        ability to continue to communicate and to provide and
        maintain interoperable emergency communications in the
        event of natural disasters, acts of terrorism, or other
        man-made disasters; and
                    (A) an evaluation of the feasibility and
                desirability of the Department developing, on
                its own or in conjunction with the Department
                of Defense, a mobile communications capability,
                modeled on the Army Signal Corps, that could be
                deployed to support emergency communications at
                the site of natural disasters, acts of
                terrorism, or other man-made disasters.

SEC. 1804. [6 U.S.C. 574] COORDINATION OF DEPARTMENT EMERGENCY
                    COMMUNICATIONS GRANT PROGRAMS.

    (a) Coordination of Grants and Standards Programs.--The
Secretary, acting through the Director for Emergency
Communications, shall ensure that grant guidelines for the use
of homeland security assistance administered by the Department
relating to interoperable emergency communications are
coordinated and consistent with the goals and recommendations
in the National Emergency Communications Plan under section
1802.
    (b) Denial of Eligibility for Grants.--
            (1) In general.--The Secretary, acting through the
        Assistant Secretary for Grants and Planning, and in
        consultation with the Director for Emergency
        Communications, may prohibit any State, local, or
        tribal government from using homeland security
        assistance administered by the Department to achieve,
        maintain, or enhance emergency communications
        capabilities, if--
                    (A) such government has not complied with
                the requirement to submit a Statewide
                Interoperable Communications Plan as required
                by section 7303(f) of the Intelligence Reform
                and Terrorism Prevention Act of 2004 (6 U.S.C.
                194(f));
                    (B) such government has proposed to upgrade
                or purchase new equipment or systems that do
                not meet or exceed any applicable national
                voluntary consensus standards and has not
                provided a reasonable explanation of why such
                equipment or systems will serve the needs of
                the applicant better than equipment or systems
                that meet or exceed such standards; and
                    (C) as of the date that is 3 years after
                the date of the completion of the initial
                National Emergency Communications Plan under
                section 1802, national voluntary consensus
                standards for interoperable emergency
                communications capabilities have not been
                developed and promulgated.
            (2) Standards.--The Secretary, in coordination with
        the Federal Communications Commission, the National
        Institute of Standards and Technology, and other
        Federal departments and agencies with responsibility
        for standards, shall support the development,
        promulgation, and updating as necessary of national
        voluntary consensus standards for interoperable
        emergency communications.

SEC. 1805. [6 U.S.C. 575] REGIONAL EMERGENCY COMMUNICATIONS
                    COORDINATION.

    (a) In General.--There is established in each Regional
Office a Regional Emergency Communications Coordination Working
Group (in this section referred to as an ``RECC Working
Group''). Each RECC Working Group shall report to the relevant
Regional Administrator and coordinate its activities with the
relevant Regional Advisory Council.
    (b) Membership.--Each RECC Working Group shall consist of
the following:
            (1) Non-federal.--Organizations representing the
        interests of the following:
                    (A) State officials.
                    (B) Local government officials, including
                sheriffs.
                    (C) State police departments.
                    (D) Local police departments.
                    (E) Local fire departments.
                    (F) Public safety answering points (9-1-1
                services).
                    (G) State emergency managers, homeland
                security directors, or representatives of State
                Administrative Agencies.
                    (H) Local emergency managers or homeland
                security directors.
                    (I) Other emergency response providers as
                appropriate.
            (2) Federal.--Representatives from the Department,
        the Federal Communications Commission, and other
        Federal departments and agencies with responsibility
        for coordinating interoperable emergency communications
        with or providing emergency support services to State,
        local, and tribal governments.
    (c) Coordination.--Each RECC Working Group shall coordinate
its activities with the following:
            (1) Communications equipment manufacturers and
        vendors (including broadband data service providers).
            (2) Local exchange carriers.
            (3) Local broadcast media.
            (4) Wireless carriers.
            (5) Satellite communications services.
            (6) Cable operators.
            (7) Hospitals.
            (8) Public utility services.
            (9) Emergency evacuation transit services.
            (10) Ambulance services.
            (11) HAM and amateur radio operators.
            (12) Representatives from other private sector
        entities and nongovernmental organizations as the
        Regional Administrator determines appropriate.
    (d) Duties.--The duties of each RECC Working Group shall
include--
            (1) assessing the survivability, sustainability,
        and interoperability of local emergency communications
        systems to meet the goals of the National Emergency
        Communications Plan;
            (2) reporting annually to the relevant Regional
        Administrator, the Director for Emergency
        Communications, the Chairman of the Federal
        Communications Commission, and the Assistant Secretary
        for Communications and Information of the Department of
        Commerce on the status of its region in building robust
        and sustainable interoperable voice and data emergency
        communications networks and, not later than 60 days
        after the completion of the initial National Emergency
        Communications Plan under section 1802, on the progress
        of the region in meeting the goals of such plan;
            (3) ensuring a process for the coordination of
        effective multijurisdictional, multi-agency emergency
        communications networks for use during natural
        disasters, acts of terrorism, and other man-made
        disasters through the expanded use of emergency
        management and public safety communications mutual aid
        agreements; and
            (4) coordinating the establishment of Federal,
        State, local, and tribal support services and networks
        designed to address the immediate and critical human
        needs in responding to natural disasters, acts of
        terrorism, and other man-made disasters.

SEC. 1806. [6 U.S.C. 576] EMERGENCY COMMUNICATIONS PREPAREDNESS CENTER.

    (a) Establishment.--There is established the Emergency
Communications Preparedness Center (in this section referred to
as the ``Center'').
    (b) Operation.--The Secretary, the Chairman of the Federal
Communications Commission, the Secretary of Defense, the
Secretary of Commerce, the Attorney General of the United
States, and the heads of other Federal departments and agencies
or their designees shall jointly operate the Center in
accordance with the Memorandum of Understanding entitled,
``Emergency Communications Preparedness Center (ECPC)
Charter''.
    (c) Functions.--The Center shall--
            (1) serve as the focal point for interagency
        efforts and as a clearinghouse with respect to all
        relevant intergovernmental information to support and
        promote (including specifically by working to avoid
        duplication, hindrances, and counteractive efforts
        among the participating Federal departments and
        agencies)--
                    (A) the ability of emergency response
                providers and relevant government officials to
                continue to communicate in the event of natural
                disasters, acts of terrorism, and other man-
                made disasters; and
                    (B) interoperable emergency communications;
            (2) prepare and submit to Congress, on an annual
        basis, a strategic assessment regarding the
        coordination efforts of Federal departments and
        agencies to advance--
                    (A) the ability of emergency response
                providers and relevant government officials to
                continue to communicate in the event of natural
                disasters, acts of terrorism, and other man-
                made disasters; and
                    (B) interoperable emergency communications;
            (3) consider, in preparing the strategic assessment
        under paragraph (2), the goals stated in the National
        Emergency Communications Plan under section 1802; and
            (4) perform such other functions as are provided in
        the Emergency Communications Preparedness Center (ECPC)
        Charter described in subsection (b)(1).

SEC. 1807. [6 U.S.C. 577] URBAN AND OTHER HIGH RISK AREA COMMUNICATIONS
                    CAPABILITIES.

    (a) In General.--The Secretary, in consultation with the
Chairman of the Federal Communications Commission and the
Secretary of Defense, and with appropriate State, local, and
tribal government officials, shall provide technical guidance,
training, and other assistance, as appropriate, to support the
rapid establishment of consistent, secure, and effective
interoperable emergency communications capabilities in the
event of an emergency in urban and other areas determined by
the Secretary to be at consistently high levels of risk from
natural disasters, acts of terrorism, and other man-made
disasters.
    (b) Minimum Capabilities.--The interoperable emergency
communications capabilities established under subsection (a)
shall ensure the ability of all levels of government, emergency
response providers, the private sector, and other organizations
with emergency response capabilities--
            (1) to communicate with each other in the event of
        an emergency;
            (2) to have appropriate and timely access to the
        Information Sharing Environment described in section
        1016 of the National Security Intelligence Reform Act
        of 2004 (6 U.S.C. 321); and
            (3) to be consistent with any applicable State or
        Urban Area homeland strategy or plan.

SEC. 1808. [6 U.S.C. 578] DEFINITION.

    In this title, the term ``interoperable'' has the meaning
given the term ``interoperable communications'' under section
7303(g)(1) of the Intelligence Reform and Terrorism Prevention
Act of 2004 (6 U.S.C. 194(g)(1)).

SEC. 1809. [6 U.S.C. 579] INTEROPERABLE EMERGENCY COMMUNICATIONS GRANT
                    PROGRAM.

    (a) Establishment.--The Secretary shall establish the
Interoperable Emergency Communications Grant Program to make
grants to States to carry out initiatives to improve local,
tribal, statewide, regional, national and, where appropriate,
international interoperable emergency communications, including
communications in collective response to natural disasters,
acts of terrorism, and other man-made disasters.
    (b) Policy.--The Director for Emergency Communications
shall ensure that a grant awarded to a State under this section
is consistent with the policies established pursuant to the
responsibilities and authorities of the Office of Emergency
Communications under this title, including ensuring that
activities funded by the grant--
            (1) comply with the statewide plan for that State
        required by section 7303(f) of the Intelligence Reform
        and Terrorism Prevention Act of 2004 (6 U.S.C. 194(f));
        and
            (2) comply with the National Emergency
        Communications Plan under section 1802, when completed.
    (c) Administration.--
            (1) In general.--The Administrator of the Federal
        Emergency Management Agency shall administer the
        Interoperable Emergency Communications Grant Program
        pursuant to the responsibilities and authorities of the
        Administrator under title V of the Act.
            (2) Guidance.--In administering the grant program,
        the Administrator shall ensure that the use of grants
        is consistent with guidance established by the Director
        of Emergency Communications pursuant to section
        7303(a)(1)(H) of the Intelligence Reform and Terrorism
        Prevention Act of 2004 (6 U.S.C. 194(a)(1)(H)).
    (d) Use of Funds.--A State that receives a grant under this
section shall use the grant to implement that State's Statewide
Interoperability Plan required under section 7303(f) of the
Intelligence Reform and Terrorism Prevention Act of 2004 (6
U.S.C. 194(f)) and approved under subsection (e), and to assist
with activities determined by the Secretary to be integral to
interoperable emergency communications.
    (e) Approval of Plans.--
            (1) Approval as condition of grant.--Before a State
        may receive a grant under this section, the Director of
        Emergency Communications shall approve the State's
        Statewide Interoperable Communications Plan required
        under section 7303(f) of the Intelligence Reform and
        Terrorism Prevention Act of 2004 (6 U.S.C. 194(f)).
            (2) Plan requirements.--In approving a plan under
        this subsection, the Director of Emergency
        Communications shall ensure that the plan--
                    (A) is designed to improve interoperability
                at the city, county, regional, State and
                interstate level;
                    (B) considers any applicable local or
                regional plan; and
                    (C) complies, to the maximum extent
                practicable, with the National Emergency
                Communications Plan under section 1802.
            (3) Approval of revisions.--The Director of
        Emergency Communications may approve revisions to a
        State's plan if the Director determines that doing so
        is likely to further interoperability.
    (f) Limitations on Uses of Funds.--
            (1) In general.--The recipient of a grant under
        this section may not use the grant--
                    (A) to supplant State or local funds;
                    (B) for any State or local government cost-
                sharing contribution; or
                    (C) for recreational or social purposes.
            (2) Penalties.--In addition to other remedies
        currently available, the Secretary may take such
        actions as necessary to ensure that recipients of grant
        funds are using the funds for the purpose for which
        they were intended.
    (g) Limitations on Award of Grants.--
            (1) National emergency communications plan
        required.--The Secretary may not award a grant under
        this section before the date on which the Secretary
        completes and submits to Congress the National
        Emergency Communications Plan required under section
        1802.
            (2) Voluntary consensus standards.--The Secretary
        may not award a grant to a State under this section for
        the purchase of equipment that does not meet applicable
        voluntary consensus standards, unless the State
        demonstrates that there are compelling reasons for such
        purchase.
    (h) Award of Grants.--In approving applications and
awarding grants under this section, the Secretary shall
consider--
            (1) the risk posed to each State by natural
        disasters, acts of terrorism, or other manmade
        disasters, including--
                    (A) the likely need of a jurisdiction
                within the State to respond to such risk in
                nearby jurisdictions;
                    (B) the degree of threat, vulnerability,
                and consequences related to critical
                infrastructure (from all critical
                infrastructure sectors) or key resources
                identified by the Administrator or the State
                homeland security and emergency management
                plans, including threats to, vulnerabilities
                of, and consequences from damage to critical
                infrastructure and key resources in nearby
                jurisdictions;
                    (C) the size of the population and density
                of the population of the State, including
                appropriate consideration of military, tourist,
                and commuter populations;
                    (D) whether the State is on or near an
                international border;
                    (E) whether the State encompasses an
                economically significant border crossing; and
                    (F) whether the State has a coastline
                bordering an ocean, a major waterway used for
                interstate commerce, or international waters;
                and
            (2) the anticipated effectiveness of the State's
        proposed use of grant funds to improve
        interoperability.
    (i) Opportunity to Amend Applications.--In considering
applications for grants under this section, the Administrator
shall provide applicants with a reasonable opportunity to
correct defects in the application, if any, before making final
awards.
    (j) Minimum Grant Amounts.--
            (1) States.--In awarding grants under this section,
        the Secretary shall ensure that for each fiscal year,
        except as provided in paragraph (2), no State receives
        a grant in an amount that is less than the following
        percentage of the total amount appropriated for grants
        under this section for that fiscal year:
                    (A) For fiscal year 2008, 0.50 percent.
                    (B) For fiscal year 2009, 0.50 percent.
                    (C) For fiscal year 2010, 0.45 percent.
                    (D) For fiscal year 2011, 0.40 percent.
                    (E) For fiscal year 2012 and each
                subsequent fiscal year, 0.35 percent.
            (2) Territories and possessions.--In awarding
        grants under this section, the Secretary shall ensure
        that for each fiscal year, American Samoa, the
        Commonwealth of the Northern Mariana Islands, Guam, and
        the Virgin Islands each receive grants in amounts that
        are not less than 0.08 percent of the total amount
        appropriated for grants under this section for that
        fiscal year.
    (k) Certification.--Each State that receives a grant under
this section shall certify that the grant is used for the
purpose for which the funds were intended and in compliance
with the State's approved Statewide Interoperable
Communications Plan.
    (l) State Responsibilities.--
            (1) Availability of funds to local and tribal
        governments.--Not later than 45 days after receiving
        grant funds, any State that receives a grant under this
        section shall obligate or otherwise make available to
        local and tribal governments--
                    (A) not less than 80 percent of the grant
                funds;
                    (B) with the consent of local and tribal
                governments, eligible expenditures having a
                value of not less than 80 percent of the amount
                of the grant; or
                    (C) grant funds combined with other
                eligible expenditures having a total value of
                not less than 80 percent of the amount of the
                grant.
            (2) Allocation of funds.--A State that receives a
        grant under this section shall allocate grant funds to
        tribal governments in the State to assist tribal
        communities in improving interoperable communications,
        in a manner consistent with the Statewide Interoperable
        Communications Plan. A State may not impose
        unreasonable or unduly burdensome requirements on a
        tribal government as a condition of providing grant
        funds or resources to the tribal government.
            (3) Penalties.--If a State violates the
        requirements of this subsection, in addition to other
        remedies available to the Secretary, the Secretary may
        terminate or reduce the amount of the grant awarded to
        that State or transfer grant funds previously awarded
        to the State directly to the appropriate local or
        tribal government.
    (m) Reports.--
            (1) Annual reports by state grant recipients.--A
        State that receives a grant under this section shall
        annually submit to the Director of Emergency
        Communications a report on the progress of the State in
        implementing that State's Statewide Interoperable
        Communications Plans required under section 7303(f) of
        the Intelligence Reform and Terrorism Prevention Act of
        2004 (6 U.S.C. 194(f)) and achieving interoperability
        at the city, county, regional, State, and interstate
        levels. The Director shall make the reports publicly
        available, including by making them available on the
        Internet website of the Office of Emergency
        Communications, subject to any redactions that the
        Director determines are necessary to protect classified
        or other sensitive information.
            (2) Annual reports to congress.--At least once each
        year, the Director of Emergency Communications shall
        submit to Congress a report on the use of grants
        awarded under this section and any progress in
        implementing Statewide Interoperable Communications
        Plans and improving interoperability at the city,
        county, regional, State, and interstate level, as a
        result of the award of such grants.
    (n) Rule of Construction.--Nothing in this section shall be
construed or interpreted to preclude a State from using a grant
awarded under this section for interim or long-term Internet
Protocol-based interoperable solutions.
    (o) Authorization of Appropriations.--There are authorized
to be appropriated for grants under this section--
            (1) for fiscal year 2008, such sums as may be
        necessary;
            (2) for each of fiscal years 2009 through 2012,
        $400,000,000; and
            (3) for each subsequent fiscal year, such sums as
        may be necessary.

SEC. 1810. [6 U.S.C. 580] BORDER INTEROPERABILITY DEMONSTRATION
                    PROJECT.

    (a) In General.--
            (1) Establishment.--The Secretary, acting through
        the Director of the Office of Emergency Communications
        (referred to in this section as the ``Director''), and
        in coordination with the Federal Communications
        Commission and the Secretary of Commerce, shall
        establish an International Border Community
        Interoperable Communications Demonstration Project
        (referred to in this section as the ``demonstration
        project'').
            (2) Minimum number of communities.--The Director
        shall select no fewer than 6 communities to participate
        in a demonstration project.
            (3) Location of communities.--No fewer than 3 of
        the communities selected under paragraph (2) shall be
        located on the northern border of the United States and
        no fewer than 3 of the communities selected under
        paragraph (2) shall be located on the southern border
        of the United States.
    (b) Conditions.--The Director, in coordination with the
Federal Communications Commission and the Secretary of
Commerce, shall ensure that the project is carried out as soon
as adequate spectrum is available as a result of the 800
megahertz rebanding process in border areas, and shall ensure
that the border projects do not impair or impede the rebanding
process, but under no circumstances shall funds be distributed
under this section unless the Federal Communications Commission
and the Secretary of Commerce agree that these conditions have
been met.
    (c) Program Requirements.--Consistent with the
responsibilities of the Office of Emergency Communications
under section 1801, the Director shall foster local, tribal,
State, and Federal interoperable emergency communications, as
well as interoperable emergency communications with appropriate
Canadian and Mexican authorities in the communities selected
for the demonstration project. The Director shall--
            (1) identify solutions to facilitate interoperable
        communications across national borders expeditiously;
            (2) help ensure that emergency response providers
        can communicate with each other in the event of natural
        disasters, acts of terrorism, and other man-made
        disasters;
            (3) provide technical assistance to enable
        emergency response providers to deal with threats and
        contingencies in a variety of environments;
            (4) identify appropriate joint-use equipment to
        ensure communications access;
            (5) identify solutions to facilitate communications
        between emergency response providers in communities of
        differing population densities; and
            (6) take other actions or provide equipment as the
        Director deems appropriate to foster interoperable
        emergency communications.
    (d) Distribution of Funds.--
            (1) In general.--The Secretary shall distribute
        funds under this section to each community
        participating in the demonstration project through the
        State, or States, in which each community is located.
            (2) Other participants.--A State shall make the
        funds available promptly to the local and tribal
        governments and emergency response providers selected
        by the Secretary to participate in the demonstration
        project.
            (3) Report.--Not later than 90 days after a State
        receives funds under this subsection the State shall
        report to the Director on the status of the
        distribution of such funds to local and tribal
        governments.
    (e) Maximum Period of Grants.--The Director may not fund
any participant under the demonstration project for more than 3
years.
    (f) Transfer of Information and Knowledge.--The Director
shall establish mechanisms to ensure that the information and
knowledge gained by participants in the demonstration project
are transferred among the participants and to other interested
parties, including other communities that submitted
applications to the participant in the project.
    (g) Authorization of Appropriations.--There is authorized
to be appropriated for grants under this section such sums as
may be necessary.

              TITLE XIX--DOMESTIC NUCLEAR DETECTION OFFICE

SEC. 1901. [6 U.S.C. 591] DOMESTIC NUCLEAR DETECTION OFFICE.

    (a) Establishment.--There shall be established in the
Department a Domestic Nuclear Detection Office (referred to in
this title as the ``Office''). The Secretary may request that
the Secretary of Defense, the Secretary of Energy, the
Secretary of State, the Attorney General, the Nuclear
Regulatory Commission, and the directors of other Federal
agencies, including elements of the Intelligence Community,
provide for the reimbursable detail of personnel with relevant
expertise to the Office.
    (b) Director.--The Office shall be headed by a Director for
Domestic Nuclear Detection, who shall be appointed by the
President.

SEC. 1902. [6 U.S.C. 592] MISSION OF OFFICE.

    (a) Mission.--The Office shall be responsible for
coordinating Federal efforts to detect and protect against the
unauthorized importation, possession, storage, transportation,
development, or use of a nuclear explosive device, fissile
material, or radiological material in the United States, and to
protect against attack using such devices or materials against
the people, territory, or interests of the United States and,
to this end, shall--
            (1) serve as the primary entity of the United
        States Government to further develop, acquire, and
        support the deployment of an enhanced domestic system
        to detect and report on attempts to import, possess,
        store, transport, develop, or use an unauthorized
        nuclear explosive device, fissile material, or
        radiological material in the United States, and improve
        that system over time;
            (2) enhance and coordinate the nuclear detection
        efforts of Federal, State, local, and tribal
        governments and the private sector to ensure a managed,
        coordinated response;
            (3) establish, with the approval of the Secretary
        and in coordination with the Attorney General, the
        Secretary of Defense, and the Secretary of Energy,
        additional protocols and procedures for use within the
        United States to ensure that the detection of
        unauthorized nuclear explosive devices, fissile
        material, or radiological material is promptly reported
        to the Attorney General, the Secretary, the Secretary
        of Defense, the Secretary of Energy, and other
        appropriate officials or their respective designees for
        appropriate action by law enforcement, military,
        emergency response, or other authorities;
            (4) develop, with the approval of the Secretary and
        in coordination with the Attorney General, the
        Secretary of State, the Secretary of Defense, and the
        Secretary of Energy, an enhanced global nuclear
        detection architecture with implementation under
        which--
                    (A) the Office will be responsible for the
                implementation of the domestic portion of the
                global architecture;
                    (B) the Secretary of Defense will retain
                responsibility for implementation of Department
                of Defense requirements within and outside the
                United States; and
                    (C) the Secretary of State, the Secretary
                of Defense, and the Secretary of Energy will
                maintain their respective responsibilities for
                policy guidance and implementation of the
                portion of the global architecture outside the
                United States, which will be implemented
                consistent with applicable law and relevant
                international arrangements;
            (5) ensure that the expertise necessary to
        accurately interpret detection data is made available
        in a timely manner for all technology deployed by the
        Office to implement the global nuclear detection
        architecture;
            (6) conduct, support, coordinate, and encourage an
        aggressive, expedited, evolutionary, and
        transformational program of research and development to
        generate and improve technologies to detect and prevent
        the illicit entry, transport, assembly, or potential
        use within the United States of a nuclear explosive
        device or fissile or radiological material, and
        coordinate with the Under Secretary for Science and
        Technology on basic and advanced or transformational
        research and development efforts relevant to the
        mission of both organizations;
            (7) carry out a program to test and evaluate
        technology for detecting a nuclear explosive device and
        fissile or radiological material, in coordination with
        the Secretary of Defense and the Secretary of Energy,
        as appropriate, and establish performance metrics for
        evaluating the effectiveness of individual detectors
        and detection systems in detecting such devices or
        material--
                    (A) under realistic operational and
                environmental conditions; and
                    (B) against realistic adversary tactics and
                countermeasures;
            (8) support and enhance the effective sharing and
        use of appropriate information generated by the
        intelligence community, law enforcement agencies,
        counterterrorism community, other government agencies,
        and foreign governments, as well as provide appropriate
        information to such entities;
            (9) further enhance and maintain continuous
        awareness by analyzing information from all Office
        mission-related detection systems; and
            (10) perform other duties as assigned by the
        Secretary.

SEC. 1903. [6 U.S.C. 593] HIRING AUTHORITY.

    In hiring personnel for the Office, the Secretary shall
have the hiring and management authorities provided in section
1101 of the Strom Thurmond National Defense Authorization Act
for Fiscal Year 1999 (5 U.S.C. 3104 note). The term of
appointments for employees under subsection (c)(1) of such
section may not exceed 5 years before granting any extension
under subsection (c)(2) of such section.

SEC. 1904. [6 U.S.C. 594] TESTING AUTHORITY.

    (a) In General.--The Director shall coordinate with the
responsible Federal agency or other entity to facilitate the
use by the Office, by its contractors, or by other persons or
entities, of existing Government laboratories, centers, ranges,
or other testing facilities for the testing of materials,
equipment, models, computer software, and other items as may be
related to the missions identified in section 1902. Any such
use of Government facilities shall be carried out in accordance
with all applicable laws, regulations, and contractual
provisions, including those governing security, safety, and
environmental protection, including, when applicable, the
provisions of section 309. The Office may direct that private
sector entities utilizing Government facilities in accordance
with this section pay an appropriate fee to the agency that
owns or operates those facilities to defray additional costs to
the Government resulting from such use.
    (b) Confidentiality of Test Results.--The results of tests
performed with services made available shall be confidential
and shall not be disclosed outside the Federal Government
without the consent of the persons for whom the tests are
performed.
    (c) Fees.--Fees for services made available under this
section shall not exceed the amount necessary to recoup the
direct and indirect costs involved, such as direct costs of
utilities, contractor support, and salaries of personnel that
are incurred by the United States to provide for the testing.
    (d) Use of Fees.--Fees received for services made available
under this section may be credited to the appropriation from
which funds were expended to provide such services.

SEC. 1905. [6 U.S.C. 595] RELATIONSHIP TO OTHER DEPARTMENT ENTITIES AND
                    FEDERAL AGENCIES.

    The authority of the Director under this title shall not
affect the authorities or responsibilities of any officer of
the Department or of any officer of any other department or
agency of the United States with respect to the command,
control, or direction of the functions, personnel, funds,
assets, and liabilities of any entity within the Department or
any Federal department or agency.

SEC. 1906. [6 U.S.C. 596] CONTRACTING AND GRANT MAKING AUTHORITIES.

    The Secretary, acting through the Director for Domestic
Nuclear Detection, in carrying out the responsibilities under
paragraphs (6) and (7) of section 1902(a), shall--
            (1) operate extramural and intramural programs and
        distribute funds through grants, cooperative
        agreements, and other transactions and contracts;
            (2) ensure that activities under paragraphs (6) and
        (7) of section 1902(a) include investigations of
        radiation detection equipment in configurations
        suitable for deployment at seaports, which may include
        underwater or water surface detection equipment and
        detection equipment that can be mounted on cranes and
        straddle cars used to move shipping containers; and
            (3) have the authority to establish or contract
        with 1 or more federally funded research and
        development centers to provide independent analysis of
        homeland security issues and carry out other
        responsibilities under this title.

SEC. 1907. [6 U.S.C. 596A] JOINT ANNUAL INTERAGENCY REVIEW OF GLOBAL
                    NUCLEAR DETECTION ARCHITECTURE.

    (a) Annual Review.--
            (1) In general.--The Secretary, the Attorney
        General, the Secretary of State, the Secretary of
        Defense, the Secretary of Energy, and the Director of
        National Intelligence shall jointly ensure interagency
        coordination on the development and implementation of
        the global nuclear detection architecture by ensuring
        that, not less frequently than once each year--
                    (A) each relevant agency, office, or
                entity--
                            (i) assesses its involvement,
                        support, and participation in the
                        development, revision, and
                        implementation of the global nuclear
                        detection architecture; and
                            (ii) examines and evaluates
                        components of the global nuclear
                        detection architecture (including
                        associated strategies and acquisition
                        plans) relating to the operations of
                        that agency, office, or entity, to
                        determine whether such components
                        incorporate and address current threat
                        assessments, scenarios, or intelligence
                        analyses developed by the Director of
                        National Intelligence or other agencies
                        regarding threats relating to nuclear
                        or radiological weapons of mass
                        destruction; and
                    (B) each agency, office, or entity
                deploying or operating any nuclear or
                radiological detection technology under the
                global nuclear detection architecture--
                            (i) evaluates the deployment and
                        operation of nuclear or radiological
                        detection technologies under the global
                        nuclear detection architecture by that
                        agency, office, or entity;
                            (ii) identifies performance
                        deficiencies and operational or
                        technical deficiencies in nuclear or
                        radiological detection technologies
                        deployed under the global nuclear
                        detection architecture; and
                            (iii) assesses the capacity of that
                        agency, office, or entity to implement
                        the responsibilities of that agency,
                        office, or entity under the global
                        nuclear detection architecture.
            (2) Technology.--Not less frequently than once each
        year, the Secretary shall examine and evaluate the
        development, assessment, and acquisition of radiation
        detection technologies deployed or implemented in
        support of the domestic portion of the global nuclear
        detection architecture.
    (b) Annual Report on Joint Interagency Review.--
            (1) In general.--Not later than March 31 of each
        year, the Secretary, the Attorney General, the
        Secretary of State, the Secretary of Defense, the
        Secretary of Energy, and the Director of National
        Intelligence, shall jointly submit a report regarding
        the implementation of this section and the results of
        the reviews required under subsection (a) to--
                    (A) the President;
                    (B) the Committee on Appropriations, the
                Committee on Armed Services, the Select
                Committee on Intelligence, and the Committee on
                Homeland Security and Governmental Affairs of
                the Senate; and
                    (C) the Committee on Appropriations, the
                Committee on Armed Services, the Permanent
                Select Committee on Intelligence, the Committee
                on Homeland Security, and the Committee on
                Science and Technology of the House of
                Representatives.
            (2) Form.--The annual report submitted under
        paragraph (1) shall be submitted in unclassified form
        to the maximum extent practicable, but may include a
        classified annex.
    (c) Definition.--In this section, the term ``global nuclear
detection architecture'' means the global nuclear detection
architecture developed under section 1902.

                   TITLE XX--HOMELAND SECURITY GRANTS

SEC. 2001. [6 U.S.C. 601] DEFINITIONS.

    In this title, the following definitions shall apply:
            (1) Administrator.--The term ``Administrator''
        means the Administrator of the Federal Emergency
        Management Agency.
            (2) Appropriate committees of congress.--The term
        ``appropriate committees of Congress'' means--
                    (A) the Committee on Homeland Security and
                Governmental Affairs of the Senate; and
                    (B) those committees of the House of
                Representatives that the Speaker of the House
                of Representatives determines appropriate.
            (3) Critical infrastructure sectors.--The term
        ``critical infrastructure sectors'' means the following
        sectors, in both urban and rural areas:
                    (A) Agriculture and food.
                    (B) Banking and finance.
                    (C) Chemical industries.
                    (D) Commercial facilities.
                    (E) Commercial nuclear reactors, materials,
                and waste.
                    (F) Dams.
                    (G) The defense industrial base.
                    (H) Emergency services.
                    (I) Energy.
                    (J) Government facilities.
                    (K) Information technology.
                    (L) National monuments and icons.
                    (M) Postal and shipping.
                    (N) Public health and health care.
                    (O) Telecommunications.
                    (P) Transportation systems.
                    (Q) Water.
            (4) Directly eligible tribe.--The term ``directly
        eligible tribe'' means--
                    (A) any Indian tribe--
                            (i) that is located in the
                        continental United States;
                            (ii) that operates a law
                        enforcement or emergency response
                        agency with the capacity to respond to
                        calls for law enforcement or emergency
                        services;
                            (iii)(I) that is located on or near
                        an international border or a coastline
                        bordering an ocean (including the Gulf
                        of Mexico) or international waters;
                            (II) that is located within 10
                        miles of a system or asset included on
                        the prioritized critical infrastructure
                        list established under section
                        210E(a)(2) or has such a system or
                        asset within its territory;
                            (III) that is located within or
                        contiguous to 1 of the 50 most populous
                        metropolitan statistical areas in the
                        United States; or
                            (IV) the jurisdiction of which
                        includes not less than 1,000 square
                        miles of Indian country, as that term
                        is defined in section 1151 of title 18,
                        United States Code; and
                            (iv) that certifies to the
                        Secretary that a State has not provided
                        funds under section 2003 or 2004 to the
                        Indian tribe or consortium of Indian
                        tribes for the purpose for which direct
                        funding is sought; and
                    (B) a consortium of Indian tribes, if each
                tribe satisfies the requirements of
                subparagraph (A).
            (5) Eligible metropolitan area.--The term
        ``eligible metropolitan area'' means any of the 100
        most populous metropolitan statistical areas in the
        United States.
            (6) High-risk urban area.--The term ``high-risk
        urban area'' means a high-risk urban area designated
        under section 2003(b)(3)(A).
            (7) Indian tribe.--The term ``Indian tribe'' has
        the meaning given that term in section 4(e) of the
        Indian Self-Determination Act (25 U.S.C. 450b(e)).
            (8) Metropolitan statistical area.--The term
        ``metropolitan statistical area'' means a metropolitan
        statistical area, as defined by the Office of
        Management and Budget.
            (9) National special security event.--The term
        ``National Special Security Event'' means a designated
        event that, by virtue of its political, economic,
        social, or religious significance, may be the target of
        terrorism or other criminal activity.
            (10) Population.--The term ``population'' means
        population according to the most recent United States
        census population estimates available at the start of
        the relevant fiscal year.
            (11) Population density.--The term ``population
        density'' means population divided by land area in
        square miles.
            (12) Qualified intelligence analyst.--The term
        ``qualified intelligence analyst'' means an
        intelligence analyst (as that term is defined in
        section 210A(j)), including law enforcement personnel--
                    (A) who has successfully completed training
                to ensure baseline proficiency in intelligence
                analysis and production, as determined by the
                Secretary, which may include training using a
                curriculum developed under section 209; or
                    (B) whose experience ensures baseline
                proficiency in intelligence analysis and
                production equivalent to the training required
                under subparagraph (A), as determined by the
                Secretary.
            (13) Target capabilities.--The term ``target
        capabilities'' means the target capabilities for
        Federal, State, local, and tribal government
        preparedness for which guidelines are required to be
        established under section 646(a) of the Post-Katrina
        Emergency Management Reform Act of 2006 (6 U.S.C.
        746(a)).
            (14) Tribal government.--The term ``tribal
        government'' means the government of an Indian tribe.

         Subtitle A--Grants to States and High-Risk Urban Areas

SEC. 2002. [6 U.S.C. 603] HOMELAND SECURITY GRANT PROGRAMS.

    (a) Grants Authorized.--The Secretary, through the
Administrator, may award grants under sections 2003 and 2004 to
State, local, and tribal governments.
    (b) Programs Not Affected.--This subtitle shall not be
construed to affect any of the following Federal programs:
            (1) Firefighter and other assistance programs
        authorized under the Federal Fire Prevention and
        Control Act of 1974 (15 U.S.C. 2201 et seq.).
            (2) Grants authorized under the Robert T. Stafford
        Disaster Relief and Emergency Assistance Act (42 U.S.C.
        5121 et seq.).
            (3) Emergency Management Performance Grants under
        the amendments made by title II of the Implementing
        Recommendations of the 9/11 Commission Act of 2007.
            (4) Grants to protect critical infrastructure,
        including port security grants authorized under section
        70107 of title 46, United States Code, and the grants
        authorized under title XIV and XV of the Implementing
        Recommendations of the 9/11 Commission Act of 2007 and
        the amendments made by such titles.
            (5) The Metropolitan Medical Response System
        authorized under section 635 of the Post-Katrina
        Emergency Management Reform Act of 2006 (6 U.S.C. 723).
            (6) The Interoperable Emergency Communications
        Grant Program authorized under title XVIII.
            (7) Grant programs other than those administered by
        the Department.
    (c) Relationship to Other Laws.--
            (1) In general.--The grant programs authorized
        under sections 2003 and 2004 shall supercede all grant
        programs authorized under section 1014 of the USA
        PATRIOT Act (42 U.S.C. 3714).
            (2) Allocation.--The allocation of grants
        authorized under section 2003 or 2004 shall be governed
        by the terms of this subtitle and not by any other
        provision of law.

SEC. 2003. [6 U.S.C. 604] URBAN AREA SECURITY INITIATIVE.

    (a) Establishment.--There is established an Urban Area
Security Initiative to provide grants to assist high-risk urban
areas in preventing, preparing for, protecting against, and
responding to acts of terrorism.
    (b) Assessment and Designation of High-Risk Urban Areas.--
            (1) In general.--The Administrator shall designate
        high-risk urban areas to receive grants under this
        section based on procedures under this subsection.
            (2) Initial assessment.--
                    (A) In general.--For each fiscal year, the
                Administrator shall conduct an initial
                assessment of the relative threat,
                vulnerability, and consequences from acts of
                terrorism faced by each eligible metropolitan
                area, including consideration of--
                            (i) the factors set forth in
                        subparagraphs (A) through (H) and (K)
                        of section 2007(a)(1); and
                            (ii) information and materials
                        submitted under subparagraph (B).
                    (B) Submission of information by eligible
                metropolitan areas.--Prior to conducting each
                initial assessment under subparagraph (A), the
                Administrator shall provide each eligible
                metropolitan area with, and shall notify each
                eligible metropolitan area of, the opportunity
                to--
                            (i) submit information that the
                        eligible metropolitan area believes to
                        be relevant to the determination of the
                        threat, vulnerability, and consequences
                        it faces from acts of terrorism; and
                            (ii) review the risk assessment
                        conducted by the Department of that
                        eligible metropolitan area, including
                        the bases for the assessment by the
                        Department of the threat,
                        vulnerability, and consequences from
                        acts of terrorism faced by that
                        eligible metropolitan area, and remedy
                        erroneous or incomplete information.
            (3) Designation of high-risk urban areas.--
                    (A) Designation.--
                            (i) In general.--For each fiscal
                        year, after conducting the initial
                        assessment under paragraph (2), and
                        based on that assessment, the
                        Administrator shall designate high-risk
                        urban areas that may submit
                        applications for grants under this
                        section.
                            (ii) Additional areas.--
                        Notwithstanding paragraph (2), the
                        Administrator may--
                                    (I) in any case where an
                                eligible metropolitan area
                                consists of more than 1
                                metropolitan division (as that
                                term is defined by the Office
                                of Management and Budget)
                                designate more than 1 high-risk
                                urban area within a single
                                eligible metropolitan area; and
                                    (II) designate an area that
                                is not an eligible metropolitan
                                area as a high-risk urban area
                                based on the assessment by the
                                Administrator of the relative
                                threat, vulnerability, and
                                consequences from acts of
                                terrorism faced by the area.
                            (iii) Rule of construction.--
                        Nothing in this subsection may be
                        construed to require the Administrator
                        to--
                                    (I) designate all eligible
                                metropolitan areas that submit
                                information to the
                                Administrator under paragraph
                                (2)(B)(i) as high-risk urban
                                areas; or
                                    (II) designate all areas
                                within an eligible metropolitan
                                area as part of the high-risk
                                urban area.
                    (B) Jurisdictions included in high-risk
                urban areas.--
                            (i) In general.--In designating
                        high-risk urban areas under
                        subparagraph (A), the Administrator
                        shall determine which jurisdictions, at
                        a minimum, shall be included in each
                        high-risk urban area.
                            (ii) Additional jurisdictions.--A
                        high-risk urban area designated by the
                        Administrator may, in consultation with
                        the State or States in which such high-
                        risk urban area is located, add
                        additional jurisdictions to the high-
                        risk urban area.
    (c) Application.--
            (1) In general.--An area designated as a high-risk
        urban area under subsection (b) may apply for a grant
        under this section.
            (2) Minimum contents of application.--In an
        application for a grant under this section, a high-risk
        urban area shall submit--
                    (A) a plan describing the proposed division
                of responsibilities and distribution of funding
                among the local and tribal governments in the
                high-risk urban area;
                    (B) the name of an individual to serve as a
                high-risk urban area liaison with the
                Department and among the various jurisdictions
                in the high-risk urban area; and
                    (C) such information in support of the
                application as the Administrator may reasonably
                require.
            (3) Annual applications.--Applicants for grants
        under this section shall apply or reapply on an annual
        basis.
            (4) State review and transmission.--
                    (A) In general.--To ensure consistency with
                State homeland security plans, a high-risk
                urban area applying for a grant under this
                section shall submit its application to each
                State within which any part of that high-risk
                urban area is located for review before
                submission of such application to the
                Department.
                    (B) Deadline.--Not later than 30 days after
                receiving an application from a high-risk urban
                area under subparagraph (A), a State shall
                transmit the application to the Department.
                    (C) Opportunity for state comment.--If the
                Governor of a State determines that an
                application of a high-risk urban area is
                inconsistent with the State homeland security
                plan of that State, or otherwise does not
                support the application, the Governor shall--
                            (i) notify the Administrator, in
                        writing, of that fact; and
                            (ii) provide an explanation of the
                        reason for not supporting the
                        application at the time of transmission
                        of the application.
            (5) Opportunity to amend.--In considering
        applications for grants under this section, the
        Administrator shall provide applicants with a
        reasonable opportunity to correct defects in the
        application, if any, before making final awards.
    (d) Distribution of Awards.--
            (1) In general.--If the Administrator approves the
        application of a high-risk urban area for a grant under
        this section, the Administrator shall distribute the
        grant funds to the State or States in which that high-
        risk urban area is located.
            (2) State distribution of funds.--
                    (A) In general.--Not later than 45 days
                after the date that a State receives grant
                funds under paragraph (1), that State shall
                provide the high-risk urban area awarded that
                grant not less than 80 percent of the grant
                funds. Any funds retained by a State shall be
                expended on items, services, or activities that
                benefit the high-risk urban area.
                    (B) Funds retained.--A State shall provide
                each relevant high-risk urban area with an
                accounting of the items, services, or
                activities on which any funds retained by the
                State under subparagraph (A) were expended.
            (3) Interstate urban areas.--If parts of a high-
        risk urban area awarded a grant under this section are
        located in 2 or more States, the Administrator shall
        distribute to each such State--
                    (A) a portion of the grant funds in
                accordance with the proposed distribution set
                forth in the application; or
                    (B) if no agreement on distribution has
                been reached, a portion of the grant funds
                determined by the Administrator to be
                appropriate.
            (4) Certifications regarding distribution of grant
        funds to high-risk urban areas.--A State that receives
        grant funds under paragraph (1) shall certify to the
        Administrator that the State has made available to the
        applicable high-risk urban area the required funds
        under paragraph (2).
    (e) Authorization of Appropriations.--There are authorized
to be appropriated for grants under this section--
            (1) $850,000,000 for fiscal year 2008;
            (2) $950,000,000 for fiscal year 2009;
            (3) $1,050,000,000 for fiscal year 2010;
            (4) $1,150,000,000 for fiscal year 2011;
            (5) $1,300,000,000 for fiscal year 2012; and
            (6) such sums as are necessary for fiscal year
        2013, and each fiscal year thereafter.

SEC. 2004. [6 U.S.C. 605] STATE HOMELAND SECURITY GRANT PROGRAM.

    (a) Establishment.--There is established a State Homeland
Security Grant Program to assist State, local, and tribal
governments in preventing, preparing for, protecting against,
and responding to acts of terrorism.
    (b) Application.--
            (1) In general.--Each State may apply for a grant
        under this section, and shall submit such information
        in support of the application as the Administrator may
        reasonably require.
            (2) Minimum contents of application.--The
        Administrator shall require that each State include in
        its application, at a minimum--
                    (A) the purpose for which the State seeks
                grant funds and the reasons why the State needs
                the grant to meet the target capabilities of
                that State;
                    (B) a description of how the State plans to
                allocate the grant funds to local governments
                and Indian tribes; and
                    (C) a budget showing how the State intends
                to expend the grant funds.
            (3) Annual applications.--Applicants for grants
        under this section shall apply or reapply on an annual
        basis.
    (c) Distribution to Local and Tribal Governments.--
            (1) In general.--Not later than 45 days after
        receiving grant funds, any State receiving a grant
        under this section shall make available to local and
        tribal governments, consistent with the applicable
        State homeland security plan--
                    (A) not less than 80 percent of the grant
                funds;
                    (B) with the consent of local and tribal
                governments, items, services, or activities
                having a value of not less than 80 percent of
                the amount of the grant; or
                    (C) with the consent of local and tribal
                governments, grant funds combined with other
                items, services, or activities having a total
                value of not less than 80 percent of the amount
                of the grant.
            (2) Certifications regarding distribution of grant
        funds to local governments.--A State shall certify to
        the Administrator that the State has made the
        distribution to local and tribal governments required
        under paragraph (1).
            (3) Extension of period.--The Governor of a State
        may request in writing that the Administrator extend
        the period under paragraph (1) for an additional period
        of time. The Administrator may approve such a request
        if the Administrator determines that the resulting
        delay in providing grant funding to the local and
        tribal governments is necessary to promote effective
        investments to prevent, prepare for, protect against,
        or respond to acts of terrorism.
            (4) Exception.--Paragraph (1) shall not apply to
        the District of Columbia, the Commonwealth of Puerto
        Rico, American Samoa, the Commonwealth of the Northern
        Mariana Islands, Guam, or the Virgin Islands.
            (5) Direct funding.--If a State fails to make the
        distribution to local or tribal governments required
        under paragraph (1) in a timely fashion, a local or
        tribal government entitled to receive such distribution
        may petition the Administrator to request that grant
        funds be provided directly to the local or tribal
        government.
    (d) Multistate Applications.--
            (1) In general.--Instead of, or in addition to, any
        application for a grant under subsection (b), 2 or more
        States may submit an application for a grant under this
        section in support of multistate efforts to prevent,
        prepare for, protect against, and respond to acts of
        terrorism.
            (2) Administration of grant.--If a group of States
        applies for a grant under this section, such States
        shall submit to the Administrator at the time of
        application a plan describing--
                    (A) the division of responsibilities for
                administering the grant; and
                    (B) the distribution of funding among the
                States that are parties to the application.
    (e) Minimum Allocation.--
            (1) In general.--In allocating funds under this
        section, the Administrator shall ensure that--
                    (A) except as provided in subparagraph (B),
                each State receives, from the funds
                appropriated for the State Homeland Security
                Grant Program established under this section,
                not less than an amount equal to--
                            (i) 0.375 percent of the total
                        funds appropriated for grants under
                        this section and section 2003 in fiscal
                        year 2008;
                            (ii) 0.365 percent of the total
                        funds appropriated for grants under
                        this section and section 2003 in fiscal
                        year 2009;
                            (iii) 0.36 percent of the total
                        funds appropriated for grants under
                        this section and section 2003 in fiscal
                        year 2010;
                            (iv) 0.355 percent of the total
                        funds appropriated for grants under
                        this section and section 2003 in fiscal
                        year 2011; and
                            (v) 0.35 percent of the total funds
                        appropriated for grants under this
                        section and section 2003 in fiscal year
                        2012 and in each fiscal year
                        thereafter; and
                    (B) for each fiscal year, American Samoa,
                the Commonwealth of the Northern Mariana
                Islands, Guam, and the Virgin Islands each
                receive, from the funds appropriated for the
                State Homeland Security Grant Program
                established under this section, not less than
                an amount equal to 0.08 percent of the total
                funds appropriated for grants under this
                section and section 2003.
            (2) Effect of multistate award on state minimum.--
        Any portion of a multistate award provided to a State
        under subsection (d) shall be considered in calculating
        the minimum State allocation under this subsection.
    (f) Authorization of Appropriations.--There are authorized
to be appropriated for grants under this section--
            (1) $950,000,000 for each of fiscal years 2008
        through 2012; and
            (2) such sums as are necessary for fiscal year
        2013, and each fiscal year thereafter.

SEC. 2005. [6 U.S.C. 606] GRANTS TO DIRECTLY ELIGIBLE TRIBES.

    (a) In General.--Notwithstanding section 2004(b), the
Administrator may award grants to directly eligible tribes
under section 2004.
    (b) Tribal Applications.--A directly eligible tribe may
apply for a grant under section 2004 by submitting an
application to the Administrator that includes, as appropriate,
the information required for an application by a State under
section 2004(b).
    (c) Consistency With State Plans.--
            (1) In general.--To ensure consistency with any
        applicable State homeland security plan, a directly
        eligible tribe applying for a grant under section 2004
        shall provide a copy of its application to each State
        within which any part of the tribe is located for
        review before the tribe submits such application to the
        Department.
            (2) Opportunity for comment.--If the Governor of a
        State determines that the application of a directly
        eligible tribe is inconsistent with the State homeland
        security plan of that State, or otherwise does not
        support the application, not later than 30 days after
        the date of receipt of that application the Governor
        shall--
                    (A) notify the Administrator, in writing,
                of that fact; and
                    (B) provide an explanation of the reason
                for not supporting the application.
    (d) Final Authority.--The Administrator shall have final
authority to approve any application of a directly eligible
tribe. The Administrator shall notify each State within the
boundaries of which any part of a directly eligible tribe is
located of the approval of an application by the tribe.
    (e) Prioritization.--The Administrator shall allocate funds
to directly eligible tribes in accordance with the factors
applicable to allocating funds among States under section 2007.
    (f) Distribution of Awards to Directly Eligible Tribes.--If
the Administrator awards funds to a directly eligible tribe
under this section, the Administrator shall distribute the
grant funds directly to the tribe and not through any State.
    (g) Minimum Allocation.--
            (1) In general.--In allocating funds under this
        section, the Administrator shall ensure that, for each
        fiscal year, directly eligible tribes collectively
        receive, from the funds appropriated for the State
        Homeland Security Grant Program established under
        section 2004, not less than an amount equal to 0.1
        percent of the total funds appropriated for grants
        under sections 2003 and 2004.
            (2) Exception.--This subsection shall not apply in
        any fiscal year in which the Administrator--
                    (A) receives fewer than 5 applications
                under this section; or
                    (B) does not approve at least 2
                applications under this section.
    (h) Tribal Liaison.--A directly eligible tribe applying for
a grant under section 2004 shall designate an individual to
serve as a tribal liaison with the Department and other
Federal, State, local, and regional government officials
concerning preventing, preparing for, protecting against, and
responding to acts of terrorism.
    (i) Eligibility for Other Funds.--A directly eligible tribe
that receives a grant under section 2004 may receive funds for
other purposes under a grant from the State or States within
the boundaries of which any part of such tribe is located and
from any high-risk urban area of which it is a part, consistent
with the homeland security plan of the State or high-risk urban
area.
    (j) State Obligations.--
            (1) In general.--States shall be responsible for
        allocating grant funds received under section 2004 to
        tribal governments in order to help those tribal
        communities achieve target capabilities not achieved
        through grants to directly eligible tribes.
            (2) Distribution of grant funds.--With respect to a
        grant to a State under section 2004, an Indian tribe
        shall be eligible for funding directly from that State,
        and shall not be required to seek funding from any
        local government.
            (3) Imposition of requirements.--A State may not
        impose unreasonable or unduly burdensome requirements
        on an Indian tribe as a condition of providing the
        Indian tribe with grant funds or resources under
        section 2004.
    (k) Rule of Construction.--Nothing in this section shall be
construed to affect the authority of an Indian tribe that
receives funds under this subtitle.

SEC. 2006. [6 U.S.C. 607] TERRORISM PREVENTION.

    (a) Law Enforcement Terrorism Prevention Program.--
            (1) In general.--The Administrator shall ensure
        that not less than 25 percent of the total combined
        funds appropriated for grants under sections 2003 and
        2004 is used for law enforcement terrorism prevention
        activities.
            (2) Law enforcement terrorism prevention
        activities.--Law enforcement terrorism prevention
        activities include--
                    (A) information sharing and analysis;
                    (B) target hardening;
                    (C) threat recognition;
                    (D) terrorist interdiction;
                    (E) overtime expenses consistent with a
                State homeland security plan, including for the
                provision of enhanced law enforcement
                operations in support of Federal agencies,
                including for increased border security and
                border crossing enforcement;
                    (F) establishing, enhancing, and staffing
                with appropriately qualified personnel State,
                local, and regional fusion centers that comply
                with the guidelines established under section
                210A(i);
                    (G) paying salaries and benefits for
                personnel, including individuals employed by
                the grant recipient on the date of the relevant
                grant application, to serve as qualified
                intelligence analysts;
                    (H) any other activity permitted under the
                Fiscal Year 2007 Program Guidance of the
                Department for the Law Enforcement Terrorism
                Prevention Program; and
                    (I) any other terrorism prevention activity
                authorized by the Administrator.
            (3) Participation of underrepresented communities
        in fusion centers.--The Administrator shall ensure that
        grant funds described in paragraph (1) are used to
        support the participation, as appropriate, of law
        enforcement and other emergency response providers from
        rural and other underrepresented communities at risk
        from acts of terrorism in fusion centers.
    (b) Office for State and Local Law Enforcement.--
            (1) Establishment.--There is established in the
        Policy Directorate of the Department an Office for
        State and Local Law Enforcement, which shall be headed
        by an Assistant Secretary for State and Local Law
        Enforcement.
            (2) Qualifications.--The Assistant Secretary for
        State and Local Law Enforcement shall have an
        appropriate background with experience in law
        enforcement, intelligence, and other counterterrorism
        functions.
            (3) Assignment of personnel.--The Secretary shall
        assign to the Office for State and Local Law
        Enforcement permanent staff and, as appropriate and
        consistent with sections 506(c)(2), 821, and 888(d),
        other appropriate personnel detailed from other
        components of the Department to carry out the
        responsibilities under this subsection.
            (4) Responsibilities.--The Assistant Secretary for
        State and Local Law Enforcement shall--
                    (A) lead the coordination of Department-
                wide policies relating to the role of State and
                local law enforcement in preventing, preparing
                for, protecting against, and responding to
                natural disasters, acts of terrorism, and other
                man-made disasters within the United States;
                    (B) serve as a liaison between State,
                local, and tribal law enforcement agencies and
                the Department;
                    (C) coordinate with the Office of
                Intelligence and Analysis to ensure the
                intelligence and information sharing
                requirements of State, local, and tribal law
                enforcement agencies are being addressed;
                    (D) work with the Administrator to ensure
                that law enforcement and terrorism-focused
                grants to State, local, and tribal government
                agencies, including grants under sections 2003
                and 2004, the Commercial Equipment Direct
                Assistance Program, and other grants
                administered by the Department to support
                fusion centers and law enforcement-oriented
                programs, are appropriately focused on
                terrorism prevention activities;
                    (E) coordinate with the Science and
                Technology Directorate, the Federal Emergency
                Management Agency, the Department of Justice,
                the National Institute of Justice, law
                enforcement organizations, and other
                appropriate entities to support the
                development, promulgation, and updating, as
                necessary, of national voluntary consensus
                standards for training and personal protective
                equipment to be used in a tactical environment
                by law enforcement officers; and
                    (F) conduct, jointly with the
                Administrator, a study to determine the
                efficacy and feasibility of establishing
                specialized law enforcement deployment teams to
                assist State, local, and tribal governments in
                responding to natural disasters, acts of
                terrorism, or other man-made disasters and
                report on the results of that study to the
                appropriate committees of Congress.
            (5) Rule of construction.--Nothing in this
        subsection shall be construed to diminish, supercede,
        or replace the responsibilities, authorities, or role
        of the Administrator.

SEC. 2007. [6 U.S.C. 608] PRIORITIZATION.

    (a) In General.--In allocating funds among States and high-
risk urban areas applying for grants under section 2003 or
2004, the Administrator shall consider, for each State or high-
risk urban area--
            (1) its relative threat, vulnerability, and
        consequences from acts of terrorism, including
        consideration of--
                    (A) its population, including appropriate
                consideration of military, tourist, and
                commuter populations;
                    (B) its population density;
                    (C) its history of threats, including
                whether it has been the target of a prior act
                of terrorism;
                    (D) its degree of threat, vulnerability,
                and consequences related to critical
                infrastructure (for all critical infrastructure
                sectors) or key resources identified by the
                Administrator or the State homeland security
                plan, including threats, vulnerabilities, and
                consequences related to critical infrastructure
                or key resources in nearby jurisdictions;
                    (E) the most current threat assessments
                available to the Department;
                    (F) whether the State has, or the high-risk
                urban area is located at or near, an
                international border;
                    (G) whether it has a coastline bordering an
                ocean (including the Gulf of Mexico) or
                international waters;
                    (H) its likely need to respond to acts of
                terrorism occurring in nearby jurisdictions;
                    (I) the extent to which it has unmet target
                capabilities;
                    (J) in the case of a high-risk urban area,
                the extent to which that high-risk urban area
                includes--
                            (i) those incorporated
                        municipalities, counties, parishes, and
                        Indian tribes within the relevant
                        eligible metropolitan area, the
                        inclusion of which will enhance
                        regional efforts to prevent, prepare
                        for, protect against, and respond to
                        acts of terrorism; and
                            (ii) other local and tribal
                        governments in the surrounding area
                        that are likely to be called upon to
                        respond to acts of terrorism within the
                        high-risk urban area; and
                    (K) such other factors as are specified in
                writing by the Administrator; and
            (2) the anticipated effectiveness of the proposed
        use of the grant by the State or high-risk urban area
        in increasing the ability of that State or high-risk
        urban area to prevent, prepare for, protect against,
        and respond to acts of terrorism, to meet its target
        capabilities, and to otherwise reduce the overall risk
        to the high-risk urban area, the State, or the Nation.
    (b) Types of Threat.--In assessing threat under this
section, the Administrator shall consider the following types
of threat to critical infrastructure sectors and to populations
in all areas of the United States, urban and rural:
            (1) Biological.
            (2) Chemical.
            (3) Cyber.
            (4) Explosives.
            (5) Incendiary.
            (6) Nuclear.
            (7) Radiological.
            (8) Suicide bombers.
            (9) Such other types of threat determined relevant
        by the Administrator.

SEC. 2008. [6 U.S.C. 609] USE OF FUNDS.

    (a) Permitted Uses.--The Administrator shall permit the
recipient of a grant under section 2003 or 2004 to use grant
funds to achieve target capabilities related to preventing,
preparing for, protecting against, and responding to acts of
terrorism, consistent with a State homeland security plan and
relevant local, tribal, and regional homeland security plans,
through--
            (1) developing and enhancing homeland security,
        emergency management, or other relevant plans,
        assessments, or mutual aid agreements;
            (2) designing, conducting, and evaluating training
        and exercises, including training and exercises
        conducted under section 512 of this Act and section 648
        of the Post-Katrina Emergency Management Reform Act of
        2006 (6 U.S.C. 748);
            (3) protecting a system or asset included on the
        prioritized critical infrastructure list established
        under section 210E(a)(2);
            (4) purchasing, upgrading, storing, or maintaining
        equipment, including computer hardware and software;
            (5) ensuring operability and achieving
        interoperability of emergency communications;
            (6) responding to an increase in the threat level
        under the Homeland Security Advisory System, or to the
        needs resulting from a National Special Security Event;
            (7) establishing, enhancing, and staffing with
        appropriately qualified personnel State, local, and
        regional fusion centers that comply with the guidelines
        established under section 210A(i);
            (8) enhancing school preparedness;
            (9) supporting public safety answering points;
            (10) paying salaries and benefits for personnel,
        including individuals employed by the grant recipient
        on the date of the relevant grant application, to serve
        as qualified intelligence analysts, regardless of
        whether such analysts are current or new full-time
        employees or contract employees;
            (11) paying expenses directly related to
        administration of the grant, except that such expenses
        may not exceed 3 percent of the amount of the grant;
            (12) any activity permitted under the Fiscal Year
        2007 Program Guidance of the Department for the State
        Homeland Security Grant Program, the Urban Area
        Security Initiative (including activities permitted
        under the full-time counterterrorism staffing pilot),
        or the Law Enforcement Terrorism Prevention Program;
        and
            (13) any other appropriate activity, as determined
        by the Administrator.
    (b) Limitations on Use of Funds.--
            (1) In general.--Funds provided under section 2003
        or 2004 may not be used--
                    (A) to supplant State or local funds,
                except that nothing in this paragraph shall
                prohibit the use of grant funds provided to a
                State or high-risk urban area for otherwise
                permissible uses under subsection (a) on the
                basis that a State or high-risk urban area has
                previously used State or local funds to support
                the same or similar uses; or
                    (B) for any State or local government cost-
                sharing contribution.
            (2) Personnel.--
                    (A) In general.--Not more than 50 percent
                of the amount awarded to a grant recipient
                under section 2003 or 2004 in any fiscal year
                may be used to pay for personnel, including
                overtime and backfill costs, in support of the
                permitted uses under subsection (a).
                    (B) Waiver.--At the request of the
                recipient of a grant under section 2003 or
                2004, the Administrator may grant a waiver of
                the limitation under subparagraph (A).
            (3) Limitations on discretion.--
                    (A) In general.--With respect to the use of
                amounts awarded to a grant recipient under
                section 2003 or 2004 for personnel costs in
                accordance with paragraph (2) of this
                subsection, the Administrator may not--
                            (i) impose a limit on the amount of
                        the award that may be used to pay for
                        personnel, or personnel-related, costs
                        that is higher or lower than the
                        percent limit imposed in paragraph
                        (2)(A); or
                            (ii) impose any additional
                        limitation on the portion of the funds
                        of a recipient that may be used for a
                        specific type, purpose, or category of
                        personnel, or personnel-related, costs.
                    (B) Analysts.--If amounts awarded to a
                grant recipient under section 2003 or 2004 are
                used for paying salary or benefits of a
                qualified intelligence analyst under subsection
                (a)(10), the Administrator shall make such
                amounts available without time limitations
                placed on the period of time that the analyst
                can serve under the grant.
            (4) Construction.--
                    (A) In general.--A grant awarded under
                section 2003 or 2004 may not be used to acquire
                land or to construct buildings or other
                physical facilities.
                    (B) Exceptions.--
                            (i) In general.--Notwithstanding
                        subparagraph (A), nothing in this
                        paragraph shall prohibit the use of a
                        grant awarded under section 2003 or
                        2004 to achieve target capabilities
                        related to preventing, preparing for,
                        protecting against, or responding to
                        acts of terrorism, including through
                        the alteration or remodeling of
                        existing buildings for the purpose of
                        making such buildings secure against
                        acts of terrorism.
                            (ii) Requirements for exception.--
                        No grant awarded under section 2003 or
                        2004 may be used for a purpose
                        described in clause (i) unless--
                                    (I) specifically approved
                                by the Administrator;
                                    (II) any construction work
                                occurs under terms and
                                conditions consistent with the
                                requirements under section
                                611(j)(9) of the Robert T.
                                Stafford Disaster Relief and
                                Emergency Assistance Act (42
                                U.S.C. 5196(j)(9)); and
                                    (III) the amount allocated
                                for purposes under clause (i)
                                does not exceed the greater of
                                $1,000,000 or 15 percent of the
                                grant award.
            (5) Recreation.--Grants awarded under this subtitle
        may not be used for recreational or social purposes.
    (c) Multiple-Purpose Funds.--Nothing in this subtitle shall
be construed to prohibit State, local, or tribal governments
from using grant funds under sections 2003 and 2004 in a manner
that enhances preparedness for disasters unrelated to acts of
terrorism, if such use assists such governments in achieving
target capabilities related to preventing, preparing for,
protecting against, or responding to acts of terrorism.
    (d) Reimbursement of Costs.--
            (1) Paid-on-call or volunteer reimbursement.--In
        addition to the activities described in subsection (a),
        a grant under section 2003 or 2004 may be used to
        provide a reasonable stipend to paid-on-call or
        volunteer emergency response providers who are not
        otherwise compensated for travel to or participation in
        training or exercises related to the purposes of this
        subtitle. Any such reimbursement shall not be
        considered compensation for purposes of rendering an
        emergency response provider an employee under the Fair
        Labor Standards Act of 1938 (29 U.S.C. 201 et seq.).
            (2) Performance of federal duty.--An applicant for
        a grant under section 2003 or 2004 may petition the
        Administrator to use the funds from its grants under
        those sections for the reimbursement of the cost of any
        activity relating to preventing, preparing for,
        protecting against, or responding to acts of terrorism
        that is a Federal duty and usually performed by a
        Federal agency, and that is being performed by a State
        or local government under agreement with a Federal
        agency.
    (e) Flexibility in Unspent Homeland Security Grant Funds.--
Upon request by the recipient of a grant under section 2003 or
2004, the Administrator may authorize the grant recipient to
transfer all or part of the grant funds from uses specified in
the grant agreement to other uses authorized under this
section, if the Administrator determines that such transfer is
in the interests of homeland security.
    (f) Equipment Standards.--If an applicant for a grant under
section 2003 or 2004 proposes to upgrade or purchase, with
assistance provided under that grant, new equipment or systems
that do not meet or exceed any applicable national voluntary
consensus standards developed under section 647 of the Post-
Katrina Emergency Management Reform Act of 2006 (6 U.S.C. 747),
the applicant shall include in its application an explanation
of why such equipment or systems will serve the needs of the
applicant better than equipment or systems that meet or exceed
such standards.

                   Subtitle B--Grants Administration

SEC. 2021. [6 U.S.C. 611] ADMINISTRATION AND COORDINATION.

    (a) Regional Coordination.--The Administrator shall ensure
that--
            (1) all recipients of grants administered by the
        Department to prevent, prepare for, protect against, or
        respond to natural disasters, acts of terrorism, or
        other man-made disasters (excluding assistance provided
        under section 203, title IV, or title V of the Robert
        T. Stafford Disaster Relief and Emergency Assistance
        Act (42 U.S.C. 5133, 5170 et seq., and 5191 et seq.))
        coordinate, as appropriate, their prevention,
        preparedness, and protection efforts with neighboring
        State, local, and tribal governments; and
            (2) all high-risk urban areas and other recipients
        of grants administered by the Department to prevent,
        prepare for, protect against, or respond to natural
        disasters, acts of terrorism, or other man-made
        disasters (excluding assistance provided under section
        203, title IV, or title V of the Robert T. Stafford
        Disaster Relief and Emergency Assistance Act (42 U.S.C.
        5133, 5170 et seq., and 5191 et seq.)) that include or
        substantially affect parts or all of more than 1 State
        coordinate, as appropriate, across State boundaries,
        including, where appropriate, through the use of
        regional working groups and requirements for regional
        plans.
    (b) Planning Committees.--
            (1) In general.--Any State or high-risk urban area
        receiving a grant under section 2003 or 2004 shall
        establish a planning committee to assist in preparation
        and revision of the State, regional, or local homeland
        security plan and to assist in determining effective
        funding priorities for grants under sections 2003 and
        2004.
            (2) Composition.--
                    (A) In general.--The planning committee
                shall include representatives of significant
                stakeholders, including--
                            (i) local and tribal government
                        officials; and
                            (ii) emergency response providers,
                        which shall include representatives of
                        the fire service, law enforcement,
                        emergency medical response, and
                        emergency managers.
                    (B) Geographic representation.--The members
                of the planning committee shall be a
                representative group of individuals from the
                counties, cities, towns, and Indian tribes
                within the State or high-risk urban area,
                including, as appropriate, representatives of
                rural, high-population, and high-threat
                jurisdictions.
            (3) Existing planning committees.--Nothing in this
        subsection may be construed to require that any State
        or high-risk urban area create a planning committee if
        that State or high-risk urban area has established and
        uses a multijurisdictional planning committee or
        commission that meets the requirements of this
        subsection.
    (c) Interagency Coordination.--
            (1) In general.--Not later than 12 months after the
        date of enactment of the Implementing Recommendations
        of the 9/11 Commission Act of 2007, the Secretary
        (acting through the Administrator), the Attorney
        General, the Secretary of Health and Human Services,
        and the heads of other agencies providing assistance to
        State, local, and tribal governments for preventing,
        preparing for, protecting against, and responding to
        natural disasters, acts of terrorism, and other man-
        made disasters, shall jointly--
                    (A) compile a comprehensive list of Federal
                grant programs for State, local, and tribal
                governments for preventing, preparing for,
                protecting against, and responding to natural
                disasters, acts of terrorism, and other man-
                made disasters;
                    (B) compile the planning, reporting,
                application, and other requirements and
                guidance for the grant programs described in
                subparagraph (A);
                    (C) develop recommendations, as
                appropriate, to--
                            (i) eliminate redundant and
                        duplicative requirements for State,
                        local, and tribal governments,
                        including onerous application and
                        ongoing reporting requirements;
                            (ii) ensure accountability of the
                        programs to the intended purposes of
                        such programs;
                            (iii) coordinate allocation of
                        grant funds to avoid duplicative or
                        inconsistent purchases by the
                        recipients;
                            (iv) make the programs more
                        accessible and user friendly to
                        applicants; and
                            (v) ensure the programs are
                        coordinated to enhance the overall
                        preparedness of the Nation;
                    (D) submit the information and
                recommendations under subparagraphs (A), (B),
                and (C) to the appropriate committees of
                Congress; and
                    (E) provide the appropriate committees of
                Congress, the Comptroller General, and any
                officer or employee of the Government
                Accountability Office with full access to any
                information collected or reviewed in preparing
                the submission under subparagraph (D).
            (2) Scope of task.--Nothing in this subsection
        shall authorize the elimination, or the alteration of
        the purposes, as delineated by statute, regulation, or
        guidance, of any grant program that exists on the date
        of the enactment of the Implementing Recommendations of
        the 9/11 Commission Act of 2007, nor authorize the
        review or preparation of proposals on the elimination,
        or the alteration of such purposes, of any such grant
        program.
    (d) Sense of Congress.--It is the sense of Congress that,
in order to ensure that the Nation is most effectively able to
prevent, prepare for, protect against, and respond to all
hazards, including natural disasters, acts of terrorism, and
other man-made disasters--
            (1) the Department should administer a coherent and
        coordinated system of both terrorism-focused and all-
        hazards grants;
            (2) there should be a continuing and appropriate
        balance between funding for terrorism-focused and all-
        hazards preparedness, as reflected in the
        authorizations of appropriations for grants under the
        amendments made by titles I and II, as applicable, of
        the Implementing Recommendations of the 9/11 Commission
        Act of 2007; and
            (3) with respect to terrorism-focused grants, it is
        necessary to ensure both that the target capabilities
        of the highest risk areas are achieved quickly and that
        basic levels of preparedness, as measured by the
        attainment of target capabilities, are achieved
        nationwide.

SEC. 2022. [6 U.S.C. 612] ACCOUNTABILITY.

    (a) Audits of Grant Programs.--
            (1) Compliance requirements.--
                    (A) Audit requirement.--Each recipient of a
                grant administered by the Department that
                expends not less than $500,000 in Federal funds
                during its fiscal year shall submit to the
                Administrator a copy of the organization-wide
                financial and compliance audit report required
                under chapter 75 of title 31, United States
                Code.
                    (B) Access to information.--The Department
                and each recipient of a grant administered by
                the Department shall provide the Comptroller
                General and any officer or employee of the
                Government Accountability Office with full
                access to information regarding the activities
                carried out related to any grant administered
                by the Department.
                    (C) Improper payments.--Consistent with the
                Improper Payments Information Act of 2002 (31
                U.S.C. 3321 note), for each of the grant
                programs under sections 2003 and 2004 of this
                title and section 662 of the Post-Katrina
                Emergency Management Reform Act of 2006 (6
                U.S.C. 762), the Administrator shall specify
                policies and procedures for--
                            (i) identifying activities funded
                        under any such grant program that are
                        susceptible to significant improper
                        payments; and
                            (ii) reporting any improper
                        payments to the Department.
            (2) Agency program review.--
                    (A) In general.--Not less than once every 2
                years, the Administrator shall conduct, for
                each State and high-risk urban area receiving a
                grant administered by the Department, a
                programmatic and financial review of all grants
                awarded by the Department to prevent, prepare
                for, protect against, or respond to natural
                disasters, acts of terrorism, or other man-made
                disasters, excluding assistance provided under
                section 203, title IV, or title V of the Robert
                T. Stafford Disaster Relief and Emergency
                Assistance Act (42 U.S.C. 5133, 5170 et seq.,
                and 5191 et seq.).
                    (B) Contents.--Each review under
                subparagraph (A) shall, at a minimum, examine--
                            (i) whether the funds awarded were
                        used in accordance with the law,
                        program guidance, and State homeland
                        security plans or other applicable
                        plans; and
                            (ii) the extent to which funds
                        awarded enhanced the ability of a
                        grantee to prevent, prepare for,
                        protect against, and respond to natural
                        disasters, acts of terrorism, and other
                        man-made disasters.
                    (C) Authorization of appropriations.--In
                addition to any other amounts authorized to be
                appropriated to the Administrator, there are
                authorized to be appropriated to the
                Administrator for reviews under this
                paragraph--
                            (i) $8,000,000 for each of fiscal
                        years 2008, 2009, and 2010; and
                            (ii) such sums as are necessary for
                        fiscal year 2011, and each fiscal year
                        thereafter.
            (3) Office of inspector general performance
        audits.--
                    (A) In general.--In order to ensure the
                effective and appropriate use of grants
                administered by the Department, the Inspector
                General of the Department each year shall
                conduct audits of a sample of States and high-
                risk urban areas that receive grants
                administered by the Department to prevent,
                prepare for, protect against, or respond to
                natural disasters, acts of terrorism, or other
                man-made disasters, excluding assistance
                provided under section 203, title IV, or title
                V of the Robert T. Stafford Disaster Relief and
                Emergency Assistance Act (42 U.S.C. 5133, 5170
                et seq., and 5191 et seq.).
                    (B) Determining samples.--The sample
                selected for audits under subparagraph (A)
                shall be--
                            (i) of an appropriate size to--
                                    (I) assess the overall
                                integrity of the grant programs
                                described in subparagraph (A);
                                and
                                    (II) act as a deterrent to
                                financial mismanagement; and
                            (ii) selected based on--
                                    (I) the size of the grants
                                awarded to the recipient;
                                    (II) the past grant
                                management performance of the
                                recipient;
                                    (III) concerns identified
                                by the Administrator, including
                                referrals from the
                                Administrator; and
                                    (IV) such other factors as
                                determined by the Inspector
                                General of the Department.
                    (C) Comprehensive auditing.--During the 7-
                year period beginning on the date of enactment
                of the Implementing Recommendations of the 9/11
                Commission Act of 2007, the Inspector General
                of the Department shall conduct not fewer than
                1 audit of each State that receives funds under
                a grant under section 2003 or 2004.
                    (D) Report by the inspector general.--
                            (i) In general.--The Inspector
                        General of the Department shall submit
                        to the appropriate committees of
                        Congress an annual consolidated report
                        regarding the audits completed during
                        the fiscal year before the date of that
                        report.
                            (ii) Contents.--Each report
                        submitted under clause (i) shall
                        describe, for the fiscal year before
                        the date of that report--
                                    (I) the audits conducted
                                under subparagraph (A);
                                    (II) the findings of the
                                Inspector General with respect
                                to the audits conducted under
                                subparagraph (A);
                                    (III) whether the funds
                                awarded were used in accordance
                                with the law, program guidance,
                                and State homeland security
                                plans and other applicable
                                plans; and
                                    (IV) the extent to which
                                funds awarded enhanced the
                                ability of a grantee to
                                prevent, prepare for, protect
                                against, and respond to natural
                                disasters, acts of terrorism
                                and other man-made disasters.
                            (iii) Deadline.--For each year, the
                        report required under clause (i) shall
                        be submitted not later than December
                        31.
                    (E) Public availability on website.--The
                Inspector General of the Department shall make
                each audit conducted under subparagraph (A)
                available on the website of the Inspector
                General, subject to redaction as the Inspector
                General determines necessary to protect
                classified and other sensitive information.
                    (F) Provision of information to
                administrator.--The Inspector General of the
                Department shall provide to the Administrator
                any findings and recommendations from audits
                conducted under subparagraph (A).
                    (G) Evaluation of grants management and
                oversight.--Not later than 1 year after the
                date of enactment of the Implementing
                Recommendations of the 9/11 Commission Act of
                2007, the Inspector General of the Department
                shall review and evaluate the grants management
                and oversight practices of the Federal
                Emergency Management Agency, including
                assessment of and recommendations relating to--
                            (i) the skills, resources, and
                        capabilities of the workforce; and
                            (ii) any additional resources and
                        staff necessary to carry out such
                        management and oversight.
                    (H) Authorization of appropriations.--In
                addition to any other amounts authorized to be
                appropriated to the Inspector General of the
                Department, there are authorized to be
                appropriated to the Inspector General of the
                Department for audits under subparagraph (A)--
                            (i) $8,500,000 for each of fiscal
                        years 2008, 2009, and 2010; and
                            (ii) such sums as are necessary for
                        fiscal year 2011, and each fiscal year
                        thereafter.
            (4) Performance assessment.--In order to ensure
        that States and high-risk urban areas are using grants
        administered by the Department appropriately to meet
        target capabilities and preparedness priorities, the
        Administrator shall--
                    (A) ensure that any such State or high-risk
                urban area conducts or participates in
                exercises under section 648(b) of the Post-
                Katrina Emergency Management Reform Act of 2006
                (6 U.S.C. 748(b));
                    (B) use performance metrics in accordance
                with the comprehensive assessment system under
                section 649 of the Post-Katrina Emergency
                Management Reform Act of 2006 (6 U.S.C. 749)
                and ensure that any such State or high-risk
                urban area regularly tests its progress against
                such metrics through the exercises required
                under subparagraph (A);
                    (C) use the remedial action management
                program under section 650 of the Post-Katrina
                Emergency Management Reform Act of 2006 (6
                U.S.C. 750); and
                    (D) ensure that each State receiving a
                grant administered by the Department submits a
                report to the Administrator on its level of
                preparedness, as required by section 652(c) of
                the Post-Katrina Emergency Management Reform
                Act of 2006 (6 U.S.C. 752(c)).
            (5) Consideration of assessments.--In conducting
        program reviews and performance audits under paragraphs
        (2) and (3), the Administrator and the Inspector
        General of the Department shall take into account the
        performance assessment elements required under
        paragraph (4).
            (6) Recovery audits.--The Administrator shall
        conduct a recovery audit (as that term is defined by
        the Director of the Office of Management and Budget
        under section 3561 of title 31, United States Code) for
        any grant administered by the Department with a total
        value of not less than $1,000,000, if the Administrator
        finds that--
                    (A) a financial audit has identified
                improper payments that can be recouped; and
                    (B) it is cost effective to conduct a
                recovery audit to recapture the targeted funds.
            (7) Remedies for noncompliance.--
                    (A) In general.--If, as a result of a
                review or audit under this subsection or
                otherwise, the Administrator finds that a
                recipient of a grant under this title has
                failed to substantially comply with any
                provision of law or with any regulations or
                guidelines of the Department regarding eligible
                expenditures, the Administrator shall--
                            (i) reduce the amount of payment of
                        grant funds to the recipient by an
                        amount equal to the amount of grants
                        funds that were not properly expended
                        by the recipient;
                            (ii) limit the use of grant funds
                        to programs, projects, or activities
                        not affected by the failure to comply;
                            (iii) refer the matter to the
                        Inspector General of the Department for
                        further investigation;
                            (iv) terminate any payment of grant
                        funds to be made to the recipient; or
                            (v) take such other action as the
                        Administrator determines appropriate.
                    (B) Duration of penalty.--The Administrator
                shall apply an appropriate penalty under
                subparagraph (A) until such time as the
                Administrator determines that the grant
                recipient is in full compliance with the law
                and with applicable guidelines or regulations
                of the Department.
    (b) Reports by Grant Recipients.--
            (1) Quarterly reports on homeland security
        spending.--
                    (A) In general.--As a condition of
                receiving a grant under section 2003 or 2004, a
                State, high-risk urban area, or directly
                eligible tribe shall, not later than 30 days
                after the end of each Federal fiscal quarter,
                submit to the Administrator a report on
                activities performed using grant funds during
                that fiscal quarter.
                    (B) Contents.--Each report submitted under
                subparagraph (A) shall at a minimum include,
                for the applicable State, high-risk urban area,
                or directly eligible tribe, and each subgrantee
                thereof--
                            (i) the amount obligated to that
                        recipient under section 2003 or 2004 in
                        that quarter;
                            (ii) the amount of funds received
                        and expended under section 2003 or 2004
                        by that recipient in that quarter; and
                            (iii) a summary description of
                        expenditures made by that recipient
                        using such funds, and the purposes for
                        which such expenditures were made.
                    (C) End-of-year report.--The report
                submitted under subparagraph (A) by a State,
                high-risk urban area, or directly eligible
                tribe relating to the last quarter of any
                fiscal year shall include--
                            (i) the amount and date of receipt
                        of all funds received under the grant
                        during that fiscal year;
                            (ii) the identity of, and amount
                        provided to, any subgrantee for that
                        grant during that fiscal year;
                            (iii) the amount and the dates of
                        disbursements of all such funds
                        expended in compliance with section
                        2021(a)(1) or under mutual aid
                        agreements or other sharing
                        arrangements that apply within the
                        State, high-risk urban area, or
                        directly eligible tribe, as applicable,
                        during that fiscal year; and
                            (iv) how the funds were used by
                        each recipient or subgrantee during
                        that fiscal year.
            (2) Annual report.--Any State applying for a grant
        under section 2004 shall submit to the Administrator
        annually a State preparedness report, as required by
        section 652(c) of the Post-Katrina Emergency Management
        Reform Act of 2006 (6 U.S.C. 752(c)).
    (c) Reports by the Administrator.--
            (1) Federal preparedness report.--The Administrator
        shall submit to the appropriate committees of Congress
        annually the Federal Preparedness Report required under
        section 652(a) of the Post-Katrina Emergency Management
        Reform Act of 2006 (6 U.S.C. 752(a)).
            (2) Risk assessment.--
                    (A) In general.--For each fiscal year, the
                Administrator shall provide to the appropriate
                committees of Congress a detailed and
                comprehensive explanation of the methodologies
                used to calculate risk and compute the
                allocation of funds for grants administered by
                the Department, including--
                            (i) all variables included in the
                        risk assessment and the weights
                        assigned to each such variable;
                            (ii) an explanation of how each
                        such variable, as weighted, correlates
                        to risk, and the basis for concluding
                        there is such a correlation; and
                            (iii) any change in the
                        methodologies from the previous fiscal
                        year, including changes in variables
                        considered, weighting of those
                        variables, and computational methods.
                    (B) Classified annex.--The information
                required under subparagraph (A) shall be
                provided in unclassified form to the greatest
                extent possible, and may include a classified
                annex if necessary.
                    (C) Deadline.--For each fiscal year, the
                information required under subparagraph (A)
                shall be provided on the earlier of--
                            (i) October 31; or
                            (ii) 30 days before the issuance of
                        any program guidance for grants
                        administered by the Department.
            (3) Tribal funding report.--At the end of each
        fiscal year, the Administrator shall submit to the
        appropriate committees of Congress a report setting
        forth the amount of funding provided during that fiscal
        year to Indian tribes under any grant program
        administered by the Department, whether provided
        directly or through a subgrant from a State or high-
        risk urban area.








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