H.R. 2082
5-11-07, Bill Passed House 225-197
2-13-08, Bill Passed Senate 51-45
3-8-07, Vetoed by President Bush
3-11-08, House Failed to Override Veto (2/3 Required) 225-188
One Hundred Tenth Congress
of the
United States of America
AT THE SECOND SESSION
Begun and held at the City of Washington on Thursday,
the third day of January, two thousand and eight
An Act
To authorize appropriations for fiscal year 2008 for intelligence
and intelligence-related activities of the United States Government, the Community
Management Account, and the Central Intelligence Agency Retirement and Disability
System, and for other purposes.
Be it enacted by the Senate and House of Representatives of the United
States of America in Congress assembled,
SECTION 1. SHORT TITLE; TABLE OF CONTENTS.
(a) Short Title- This Act may be cited as the `Intelligence Authorization
Act for Fiscal Year 2008'.
(b) Table of Contents- The table of contents for this Act is as follows:
Sec. 1. Short title; table of contents.
TITLE I--BUDGET AND PERSONNEL AUTHORIZATIONS
Sec. 101. Authorization of appropriations.
Sec. 102. Classified Schedule of Authorizations.
Sec. 103. Personnel ceiling adjustments.
Sec. 104. Intelligence Community Management Account.
Sec. 105. Specific authorization of funds within the National Intelligence
Program for which fiscal year 2008 appropriations exceed amounts authorized.
TITLE II--CENTRAL INTELLIGENCE AGENCY RETIREMENT AND DISABILITY SYSTEM
Sec. 201. Authorization of appropriations.
Sec. 202. Technical modification to mandatory retirement provision of the
Central Intelligence Agency Retirement Act.
TITLE III--GENERAL INTELLIGENCE COMMUNITY MATTERS
Subtitle A--Personnel Matters
Sec. 301. Increase in employee compensation and benefits authorized by law.
Sec. 302. Enhanced flexibility in nonreimbursable details to elements of
the intelligence community.
Sec. 303. Multi-level security clearances.
Sec. 304. Pay authority for critical positions.
Sec. 305. Delegation of authority for travel on common carriers for intelligence
collection personnel.
Sec. 306. Annual personnel level assessments for the intelligence community.
Sec. 307. Comprehensive report on intelligence community contractors.
Sec. 308. Report on proposed pay for performance intelligence community
personnel management system.
Sec. 309. Report on plans to increase diversity within the intelligence
community.
Subtitle B--Acquisition Matters
Sec. 311. Vulnerability assessments of major systems.
Sec. 312. Business enterprise architecture and business system modernization
for the intelligence community.
Sec. 313. Reports on the acquisition of major systems.
Sec. 314. Excessive cost growth of major systems.
Subtitle C--Other Matters
Sec. 321. Restriction on conduct of intelligence activities.
Sec. 322. Clarification of definition of intelligence community under the
National Security Act of 1947.
Sec. 323. Modification of availability of funds for different intelligence
activities.
Sec. 324. Protection of certain national security information.
Sec. 325. Extension of authority to delete information about receipt and
disposition of foreign gifts and decorations.
Sec. 326. Report on compliance with the Detainee Treatment Act of 2005 and
related provisions of the Military Commissions Act of 2006.
Sec. 327. Limitation on interrogation techniques.
Sec. 328. Limitation on use of funds.
Sec. 329. Incorporation of reporting requirements.
Sec. 330. Repeal of certain reporting requirements.
TITLE IV--MATTERS RELATING TO ELEMENTS OF THE INTELLIGENCE COMMUNITY
Subtitle A--Office of the Director of National Intelligence
Sec. 401. Clarification of limitation on colocation of the Office of the
Director of National Intelligence.
Sec. 402. Membership of the Director of National Intelligence on the Transportation
Security Oversight Board.
Sec. 403. Additional duties of the Director of Science and Technology.
Sec. 404. Leadership and location of certain offices and officials.
Sec. 405. Plan to implement recommendations of the data center energy efficiency
reports.
Sec. 406. Comprehensive listing of special access programs.
Sec. 407. Reports on the nuclear programs of Iran and North Korea.
Sec. 408. Requirements for accountability reviews by the Director of National
Intelligence.
Sec. 409. Modification of limitation on delegation by the Director of National
Intelligence of the protection of intelligence sources and methods.
Sec. 410. Authorities for intelligence information sharing.
Sec. 411. Authorities of the Director of National Intelligence for interagency
funding.
Sec. 412. Title of Chief Information Officer of the Intelligence Community.
Sec. 413. Inspector General of the Intelligence Community.
Sec. 414. Annual report on foreign language proficiency in the intelligence
community.
Sec. 415. Director of National Intelligence report on retirement benefits
for former employees of Air America.
Sec. 416. Space intelligence.
Sec. 417. Operational files in the Office of the Director of National Intelligence.
Sec. 418. Inapplicability of Federal Advisory Committee Act to advisory
committees of the Office of the Director of National Intelligence.
Sec. 419. Applicability of the Privacy Act to the Director of National Intelligence
and the Office of the Director of National Intelligence.
Sec. 420. Repeal of certain authorities relating to the Office of the National
Counterintelligence Executive.
Subtitle B--Central Intelligence Agency
Sec. 431. Review of covert action programs by Inspector General of the Central
Intelligence Agency.
Sec. 432. Inapplicability to Director of the Central Intelligence Agency
of requirement for annual report on progress in auditable financial statements.
Sec. 433. Additional functions and authorities for protective personnel
of the Central Intelligence Agency.
Sec. 434. Technical amendments relating to titles of certain Central Intelligence
Agency positions.
Sec. 435. Clarifying amendments relating to section 105 of the Intelligence
Authorization Act for Fiscal Year 2004.
Subtitle C--Defense Intelligence Components
Sec. 441. Enhancement of National Security Agency training program.
Sec. 442. Codification of authorities of National Security Agency protective
personnel.
Sec. 443. Inspector general matters.
Sec. 444. Confirmation of appointment of heads of certain components of
the intelligence community.
Sec. 445. Clarification of national security missions of National Geospatial-Intelligence
Agency for analysis and dissemination of certain intelligence information.
Sec. 446. Security clearances in the National Geospatial-Intelligence Agency.
Subtitle D--Other Elements
Sec. 451. Clarification of inclusion of Coast Guard and Drug Enforcement
Administration as elements of the intelligence community.
TITLE V--OTHER MATTERS
Subtitle A--General Intelligence Matters
Sec. 501. Extension of National Commission for the Review of the Research
and Development Programs of the United States Intelligence Community.
Sec. 502. Report on intelligence activities.
Sec. 503. Aerial reconnaissance platforms.
Subtitle B--Technical Amendments
Sec. 511. Technical amendments to title 10, United States Code, arising
from enactment of the Intelligence Reform and Terrorism Prevention Act of
2004.
Sec. 512. Technical amendment to the Central Intelligence Agency Act of
1949.
Sec. 513. Technical amendments relating to the multiyear National Intelligence
Program.
Sec. 514. Technical clarification of certain references to Joint Military
Intelligence Program and Tactical Intelligence and Related Activities.
Sec. 515. Technical amendments to the National Security Act of 1947.
Sec. 516. Technical amendments to the Intelligence Reform and Terrorism
Prevention Act of 2004.
Sec. 517. Technical amendments to the Executive Schedule.
SEC. 2. DEFINITIONS.
(1) CONGRESSIONAL INTELLIGENCE COMMITTEES- The term `congressional intelligence
committees' means--
(A) the Select Committee on Intelligence of the Senate; and
(B) the Permanent Select Committee on Intelligence of the House of Representatives.
(2) ELEMENT OF THE INTELLIGENCE COMMUNITY- The term `element of the intelligence
community' means an element of the intelligence community listed in or designated
under section 3(4) of the National Security Act of 1947 (50 U.S.C. 401a(4)).
(3) INTELLIGENCE COMMUNITY- The term `intelligence community' has the meaning
given that term in section 3(4) of the National Security Act of 1947 (50
U.S.C. 401a(4)).
TITLE I--BUDGET AND PERSONNEL AUTHORIZATIONS
SEC. 101. AUTHORIZATION OF APPROPRIATIONS.
Funds are hereby authorized to be appropriated for fiscal year 2008 for the
conduct of the intelligence and intelligence-related activities of the following
elements of the United States Government:
(1) The Office of the Director of National Intelligence.
(2) The Central Intelligence Agency.
(3) The Department of Defense.
(4) The Defense Intelligence Agency.
(5) The National Security Agency.
(6) The Department of the Army, the Department of the Navy, and the Department
of the Air Force.
(8) The Department of State.
(9) The Department of the Treasury.
(10) The Department of Energy.
(11) The Department of Justice.
(12) The Federal Bureau of Investigation.
(13) The Drug Enforcement Administration.
(14) The National Reconnaissance Office.
(15) The National Geospatial-Intelligence Agency.
(16) The Department of Homeland Security.
SEC. 102. CLASSIFIED SCHEDULE OF AUTHORIZATIONS.
(a) Specifications of Amounts and Personnel Levels- The amounts authorized
to be appropriated under section 101 and, subject to section 103, the authorized
personnel ceilings as of September 30, 2008, for the conduct of the intelligence
activities of the elements listed in paragraphs (1) through (16) of section
101, are those specified in the classified Schedule of Authorizations prepared
to accompany the conference report on the bill H.R. 2082 of the One Hundred
Tenth Congress.
(b) Availability of Classified Schedule of Authorizations- The classified
Schedule of Authorizations referred to in subsection (a) shall be made available
to the Committee on Appropriations of the Senate, the Committee on Appropriations
of the House of Representatives, and to the President. The President shall
provide for suitable distribution of the Schedule, or of appropriate portions
of the Schedule, within the executive branch.
SEC. 103. PERSONNEL CEILING ADJUSTMENTS.
(a) Authority for Increases- With the approval of the Director of the Office
of Management and Budget, the Director of National Intelligence may authorize
employment of civilian personnel in excess of the number authorized for fiscal
year 2008 by the classified Schedule of Authorizations referred to in section
102(a) if the Director of National Intelligence determines that such action
is necessary to the performance of important intelligence functions, except
that the number of personnel employed in excess of the number authorized under
such section may not, for any element of the intelligence community, exceed
3 percent of the number of civilian personnel authorized under such Schedule
for such element.
(b) Transition to Full-Time Equivalency-
(1) TREATMENT FOR FISCAL YEAR 2008- For fiscal year 2008, the Director of
National Intelligence, in consultation with the head of each element of
the intelligence community, may treat the personnel ceilings authorized
under the classified Schedule of Authorizations referred to in section 102(a)
as full-time equivalents.
(2) CONSIDERATION- In exercising the authority described in paragraph (1),
the Director of National Intelligence may consider the circumstances under
which civilian employees are employed and accounted for at each element
of the intelligence community in--
(A) a student program, trainee program, or similar program;
(B) reserve corps or equivalent status as a reemployed annuitant or other
employee;
(C) a joint duty rotational assignment; or
(D) other full-time or part-time status.
(3) NOTIFICATION TO CONGRESS- Not later than 90 days after the date of the
enactment of this Act, the Director of National Intelligence shall notify
the congressional intelligence committees in writing of--
(A) the policies for implementing the authorities described in paragraphs
(1) and (2); and
(B) the number of all civilian personnel employed by, or anticipated to
be employed by, each element of the intelligence community during fiscal
year 2008 accounted for--
(ii) by full-time equivalency; or
(iii) by any other method.
(4) TREATMENT FOR FISCAL YEAR 2009- The Director of National Intelligence
shall express the personnel levels for all civilian employees for each element
of the intelligence community in the congressional budget justifications
submitted for fiscal year 2009 as full-time equivalent positions.
(c) Authority for Conversion of Activities Performed by Contractors- In addition
to the authority in subsection (a), upon a determination by the head of an
element of the intelligence community that activities currently being performed
by contractor employees should be performed by government employees, the concurrence
of the Director of National Intelligence in such determination, and the approval
of the Director of the Office of Management and Budget, the Director of National
Intelligence may authorize for that purpose employment of additional full-time
equivalent personnel in such element of the intelligence community equal to
the number that is--
(1) in the case of personnel of Office of the Director of National Intelligence,
not more than 5 percent of the number of such personnel authorized for fiscal
year 2008 by the classified Schedule of Authorizations referred to in section
102(a); or
(2) except as provided in paragraph (1), not more than 10 percent of the
number authorized for fiscal year 2008 by the classified Schedule of Authorizations
referred to in section 102(a).
(d) Notice to Congressional Intelligence Committees- The Director of National
Intelligence shall notify the congressional intelligence committees in writing
at least 15 days prior to each exercise of an authority described in subsection
(a) or (c).
SEC. 104. INTELLIGENCE COMMUNITY MANAGEMENT ACCOUNT.
(a) Authorization of Appropriations- There is authorized to be appropriated
for the Intelligence Community Management Account of the Director of National
Intelligence for fiscal year 2008 the sum of $734,126,000. Within such amount,
funds identified in the classified Schedule of Authorizations referred to
in section 102(a) for advanced research and development shall remain available
until September 30, 2009.
(b) Authorized Personnel Levels- The elements within the Intelligence Community
Management Account of the Director of National Intelligence are authorized
952 full-time or full-time equivalent personnel as of September 30, 2008.
Personnel serving in such elements may be permanent employees of the Office
of the Director of National Intelligence or personnel detailed from other
elements of the United States Government.
(c) Construction of Authorities- The authorities available to the Director
of National Intelligence under section 103 are also available to the Director
for the adjustment of personnel levels within the Intelligence Community Management
Account.
(d) Classified Authorizations-
(1) AUTHORIZATION OF APPROPRIATIONS- In addition to amounts authorized to
be appropriated for the Intelligence Community Management Account by subsection
(a), there are authorized to be appropriated for the Community Management
Account for fiscal year 2008 such additional amounts as are specified in
the classified Schedule of Authorizations referred to in section 102(a).
Such additional amounts for advanced research and development shall remain
available until September 30, 2009.
(2) AUTHORIZATION OF PERSONNEL- In addition to the personnel authorized
by subsection (b) for elements of the Intelligence Community Management
Account as of September 30, 2008, there are authorized such additional personnel
for the Community Management Account as of that date as are specified in
the classified Schedule of Authorizations referred to in section 102(a).
(e) National Drug Intelligence Center-
(1) IN GENERAL- Of the amount authorized to be appropriated in subsection
(a), $39,000,000 shall be available for the National Drug Intelligence Center.
Within such amount, funds provided for research, development, testing, and
evaluation purposes shall remain available until September 30, 2009, and
funds provided for procurement purposes shall remain available until September
30, 2010.
(2) TRANSFER OF FUNDS- The Director of National Intelligence shall transfer
to the Attorney General funds available for the National Drug Intelligence
Center under paragraph (1). The Attorney General shall utilize funds so
transferred for the activities of the National Drug Intelligence Center.
(3) LIMITATION- Amounts available for the National Drug Intelligence Center
may not be used for purposes of exercising police, subpoena, or law enforcement
powers or internal security functions.
(4) AUTHORITY- Notwithstanding any other provision of law, the Attorney
General shall retain full authority over the operations of the National
Drug Intelligence Center.
SEC. 105. SPECIFIC AUTHORIZATION OF FUNDS WITHIN THE NATIONAL INTELLIGENCE
PROGRAM FOR WHICH FISCAL YEAR 2008 APPROPRIATIONS EXCEED AMOUNTS AUTHORIZED.
Funds appropriated for an intelligence or intelligence-related activity within
the National Intelligence Program for fiscal year 2008 in excess of the amount
specified for such activity in the classified Schedule of Authorizations referred
to in section 102(a) shall be deemed to be specifically authorized by Congress
for purposes of section 504(a)(3) of the National Security Act of 1947 (50
U.S.C. 414(a)(3)).
TITLE II--CENTRAL INTELLIGENCE AGENCY RETIREMENT AND DISABILITY SYSTEM
SEC. 201. AUTHORIZATION OF APPROPRIATIONS.
There is authorized to be appropriated for the Central Intelligence Agency
Retirement and Disability Fund for fiscal year 2008 the sum of $262,500,000.
SEC. 202. TECHNICAL MODIFICATION TO MANDATORY RETIREMENT PROVISION OF THE
CENTRAL INTELLIGENCE AGENCY RETIREMENT ACT.
Subparagraph (A) of section 235(b)(1) of the Central Intelligence Agency Retirement
Act (50 U.S.C. 2055(b)(1)) is amended by striking `receiving compensation
under the Senior Intelligence Service pay schedule at the rate' and inserting
`who is at the Senior Intelligence Service rank'.
TITLE III--GENERAL INTELLIGENCE COMMUNITY MATTERS
Subtitle A--Personnel Matters
SEC. 301. INCREASE IN EMPLOYEE COMPENSATION AND BENEFITS AUTHORIZED BY LAW.
Appropriations authorized by this Act for salary, pay, retirement, and other
benefits for Federal employees may be increased by such additional or supplemental
amounts as may be necessary for increases in such compensation or benefits
authorized by law.
SEC. 302. ENHANCED FLEXIBILITY IN NONREIMBURSABLE DETAILS TO ELEMENTS OF
THE INTELLIGENCE COMMUNITY.
Except as provided in section 113 of the National Security Act of 1947 (50
U.S.C. 404h) and section 904(g)(2) of the Counterintelligence Enhancement
Act of 2002 (title IX of Public Law 107-306; 50 U.S.C. 402c(g)(2)) and notwithstanding
any other provision of law, in any fiscal year after fiscal year 2007 an officer
or employee of the United States or member of the Armed Forces may be detailed
to the staff of an element of the intelligence community funded through the
Community Management Account from another element of the United States Government
on a reimbursable or nonreimbursable basis, as jointly agreed to by the Director
of National Intelligence and the head of the detailing element (or the designees
of such officials), for a period not to exceed 2 years.
SEC. 303. MULTI-LEVEL SECURITY CLEARANCES.
(a) In General- Section 102A of the National Security Act of 1947 (50 U.S.C.
403-1) is amended by adding at the end the following new subsection:
`(s) Multi-Level Security Clearances- The Director of National Intelligence
shall be responsible for ensuring that the elements of the intelligence community
adopt a multi-level security clearance approach in order to enable the intelligence
community to make more effective and efficient use of persons proficient in
foreign languages or with cultural, linguistic, or other subject matter expertise
that is critical to national security.'.
(b) Implementation- The Director of National Intelligence shall issue guidelines
to the intelligence community on the implementation of subsection (s) of section
102A of the National Security Act of 1947, as added by subsection (a), not
later than 180 days after the date of the enactment of this Act.
SEC. 304. PAY AUTHORITY FOR CRITICAL POSITIONS.
Section 102A of the National Security Act of 1947 (50 U.S.C. 403-1), as amended
by section 303 of this Act, is further amended by adding at the end the following
new subsection:
`(t) Pay Authority for Critical Positions- (1) Notwithstanding any pay limitation
established under any other provision of law applicable to employees in elements
of the intelligence community, the Director of National Intelligence may,
in consultation with the Director of the Office of Personnel Management and
the Director of the Office of Management and Budget, grant authority to fix
the rate of basic pay for 1 or more positions within the intelligence community
at a rate in excess of any applicable limitation, subject to the provisions
of this subsection. The exercise of authority so granted is at the discretion
of the head of the department or agency employing the individual in a position
covered by such authority, subject to the provisions of this subsection and
any conditions established by the Director of National Intelligence when granting
such authority.
`(2) Authority under this subsection may be granted or exercised--
`(A) only with respect to a position which requires an extremely high level
of expertise and is critical to successful accomplishment of an important
mission; and
`(B) only to the extent necessary to recruit or retain an individual exceptionally
well qualified for the position.
`(3) A rate of basic pay may not be fixed under this subsection at a rate
greater than the rate payable for level II of the Executive Schedule under
section 5312 of title 5, United States Code, except upon written approval
of the Director of National Intelligence or as otherwise authorized by law.
`(4) A rate of basic pay may not be fixed under this subsection at a rate
greater than the rate payable for level I of the Executive Schedule under
section 5311 of title 5, United States Code, except upon written approval
of the President in response to a request by the Director of National Intelligence
or as otherwise authorized by law.
`(5) Any grant of authority under this subsection for a position shall terminate
at the discretion of the Director of National Intelligence.'.
SEC. 305. DELEGATION OF AUTHORITY FOR TRAVEL ON COMMON CARRIERS FOR INTELLIGENCE
COLLECTION PERSONNEL.
(a) Delegation of Authority- Section 116(b) of the National Security Act of
1947 (50 U.S.C. 404k(b)) is amended--
(1) by inserting `(1)' before `The Director';
(2) in paragraph (1), as designated by paragraph (1) of this subsection,
by striking `may only delegate' and all that follows and inserting `may
delegate the authority in subsection (a) to the head of any other element
of the intelligence community.'; and
(3) by adding at the end the following new paragraph:
`(2) The head of an element of the intelligence community to whom the authority
in subsection (a) is delegated pursuant to paragraph (1) may further delegate
such authority to such senior officials of such element as are specified in
guidelines prescribed by the Director of National Intelligence for purposes
of this paragraph.'.
(b) Submission of Guidelines to Congress- Not later than 6 months after the
date of the enactment of this Act, the Director of National Intelligence shall
prescribe and submit to the congressional intelligence committees the guidelines
referred to in paragraph (2) of section 116(b) of the National Security Act
of 1947, as added by subsection (a).
SEC. 306. ANNUAL PERSONNEL LEVEL ASSESSMENTS FOR THE INTELLIGENCE COMMUNITY.
(a) In General- Title V of the National Security Act of 1947 (50 U.S.C. 413
et seq.) is amended by inserting after section 506A the following new section:
`SEC. 506B. ANNUAL PERSONNEL LEVEL ASSESSMENTS FOR THE INTELLIGENCE COMMUNITY.
`(a) Requirement To Provide- The Director of National Intelligence shall,
in consultation with the head of the element of the intelligence community
concerned, prepare an annual personnel level assessment for such element of
the intelligence community that assesses the personnel levels for each such
element for the fiscal year following the fiscal year in which the assessment
is submitted.
`(b) Schedule- Each assessment required by subsection (a) shall be submitted
to the congressional intelligence committees each year along with the budget
submitted by the President under section 1105 of title 31, United States Code.
`(c) Contents- Each assessment required by subsection (a) submitted during
a fiscal year shall contain, at a minimum, the following information for the
element of the intelligence community concerned:
`(1) The budget submission for personnel costs for the upcoming fiscal year.
`(2) The dollar and percentage increase or decrease of such costs as compared
to the personnel costs of the current fiscal year.
`(3) The dollar and percentage increase or decrease of such costs as compared
to the personnel costs during the prior 5 fiscal years.
`(4) The number of personnel positions requested for the upcoming fiscal
year.
`(5) The numerical and percentage increase or decrease of such number as
compared to the number of personnel positions of the current fiscal year.
`(6) The numerical and percentage increase or decrease of such number as
compared to the number of personnel positions during the prior 5 fiscal
years.
`(7) The best estimate of the number and costs of contractors to be funded
by the element for the upcoming fiscal year.
`(8) The numerical and percentage increase or decrease of such costs of
contractors as compared to the best estimate of the costs of contractors
of the current fiscal year.
`(9) The numerical and percentage increase or decrease of such costs of
contractors as compared to the cost of contractors, and the number of contractors,
during the prior 5 fiscal years.
`(10) A written justification for the requested personnel and contractor
levels.
`(11) The number of intelligence collectors and analysts employed or contracted
by each element of the intelligence community.
`(12) A list of all contractors that have been the subject of an investigation
completed by the Inspector General of any element of the intelligence community
during the preceding fiscal year, or are or have been the subject of an
investigation by such an Inspector General during the current fiscal year.
`(13) A statement by the Director of National Intelligence that, based on
current and projected funding, the element concerned will have sufficient--
`(A) internal infrastructure to support the requested personnel and contractor
levels;
`(B) training resources to support the requested personnel levels; and
`(C) funding to support the administrative and operational activities
of the requested personnel levels.'.
(b) Clerical Amendment- The table of contents in the first section of that
Act is amended by inserting after the item relating to section 506A the following
new item:
`Sec. 506B. Annual personnel levels assessment for the intelligence community.'.
SEC. 307. COMPREHENSIVE REPORT ON INTELLIGENCE COMMUNITY CONTRACTORS.
(a) Requirement for Report- Not later than March 31, 2008, the Director of
National Intelligence shall submit to the congressional intelligence committees
a report describing the personal services activities performed by contractors
across the intelligence community, the impact of such contractors on the intelligence
community workforce, plans for conversion of contractor employment into government
employment, and the accountability mechanisms that govern the performance
of such contractors.
(1) IN GENERAL- The report submitted under subsection (a) shall include--
(A) a description of any relevant regulations or guidance issued by the
Director of National Intelligence or the head of an element of the intelligence
community relating to minimum standards required regarding the hiring,
training, security clearance, and assignment of contract personnel and
how those standards may differ from those for government employees performing
substantially similar functions;
(B) an identification of contracts where the contractor is providing a
substantially similar functions to a government employee;
(C) an assessment of costs incurred or savings achieved by awarding contracts
for the performance of such functions referred to in subparagraph (B)
instead of using full-time employees of the elements of the intelligence
community to perform such functions;
(D) an assessment of the appropriateness of using contractors to perform
the activities described in paragraph (2);
(E) an estimate of the number of contracts, and the number of personnel
working under such contracts, related to the performance of activities
described in paragraph (2);
(F) a comparison of the compensation of contract employees and government
employees performing substantially similar functions;
(G) an analysis of the attrition of government personnel for contractor
positions that provide substantially similar functions;
(H) a description of positions that will be converted from contractor
employment to government employment under the authority described in section
103(c) of this Act and the justification for such conversion;
(I) an analysis of accountability mechanisms within services contracts
awarded for intelligence activities by each element of the intelligence
community during fiscal years 2006 and 2007;
(J) an analysis of procedures in use in the intelligence community for
conducting oversight of contractors to ensure identification and prosecution
of criminal violations, financial waste, fraud, or other abuses committed
by contractors or contract personnel; and
(K) an identification of best practices of accountability mechanisms within
services contracts.
(2) ACTIVITIES- Activities described in this paragraph are the following:
(A) Intelligence collection.
(B) Intelligence analysis.
(C) Covert actions, including rendition, detention, and interrogation
activities.
SEC. 308. REPORT ON PROPOSED PAY FOR PERFORMANCE INTELLIGENCE COMMUNITY
PERSONNEL MANAGEMENT SYSTEM.
(a) Prohibition on Pay for Performance Until Report- The Director of National
Intelligence and the head of an element of the intelligence community may
not implement a plan that provides compensation to personnel of that element
of the intelligence community based on performance until the date that is
45 days after the date on which the Director of National Intelligence submits
a report for that element under subsection (b).
(b) Report- The Director of National Intelligence shall submit to Congress
a report on performance-based compensation for each element of the intelligence
community, including, with respect to each such element--
(1) an implementation time line which includes target dates for completion
of--
(A) the development of performance appraisal plans;
(B) establishment of oversight and appeal mechanisms;
(C) deployment of information technology systems;
(F) compensation transition; and
(G) full operational capacity;
(2) an estimated budget for the implementation of the performance-based
compensation system;
(3) an evaluation plan to monitor the implementation of the performance-based
compensation system and to improve and modify such system;
(4) written standards for measuring the performance of employees;
(5) a description of the performance-based compensation system, including
budget oversight mechanisms to ensure sufficient funds to pay employees
for bonuses;
(6) a description of internal and external accountability mechanisms to
ensure the fair treatment of employees;
(7) a plan for initial and ongoing training for senior executives, managers,
and employees;
(8) a description of the role of any advisory committee or other mechanism
designed to gather the input of employees relating to the creation and implementation
of the system;
(9) an assessment of the impact of the performance-based compensation system
on women, minorities, persons with disabilities, and veterans; and
(10) an assessment of the consistency of the plan described in subsection
(a) for such element with the plans of the Director of National Intelligence
for a performance-based compensation system for the intelligence community.
SEC. 309. REPORT ON PLANS TO INCREASE DIVERSITY WITHIN THE INTELLIGENCE
COMMUNITY.
(a) Requirement for Report- Not later than March 31, 2008, the Director of
National Intelligence, in coordination with the heads of the elements of the
intelligence community, shall submit to the congressional intelligence committees
a report on the plans of each element to increase diversity within the intelligence
community.
(b) Content- The report required by subsection (a) shall include specific
implementation plans to increase diversity within each element of the intelligence
community, including--
(1) specific implementation plans for each such element designed to achieve
the goals articulated in the strategic plan of the Director of National
Intelligence on equal employment opportunity and diversity;
(2) specific plans and initiatives for each such element to increase recruiting
and hiring of diverse candidates;
(3) specific plans and initiatives for each such element to improve retention
of diverse Federal employees at the junior, midgrade, senior, and management
levels;
(4) a description of specific diversity awareness training and education
programs for senior officials and managers of each such element; and
(5) a description of performance metrics to measure the success of carrying
out the plans, initiatives, and programs described in paragraphs (1) through
(4).
Subtitle B--Acquisition Matters
SEC. 311. VULNERABILITY ASSESSMENTS OF MAJOR SYSTEMS.
(a) In General- Title V of the National Security Act of 1947 (50 U.S.C. 413
et seq.), as amended by section 306 of this Act, is further amended by inserting
after section 506B, as added by section 306(a), the following new section:
`VULNERABILITY ASSESSMENTS OF MAJOR SYSTEMS
`Sec. 506C. (a) Initial Vulnerability Assessments- The Director of National
Intelligence shall conduct an initial vulnerability assessment for any major
system and its significant items of supply that is proposed for inclusion
in the National Intelligence Program prior to completion of Milestone B or
an equivalent acquisition decision. The initial vulnerability assessment of
a major system and its significant items of supply shall, at a minimum, use
an analysis-based approach to--
`(1) identify vulnerabilities;
`(2) define exploitation potential;
`(3) examine the system's potential effectiveness;
`(4) determine overall vulnerability; and
`(5) make recommendations for risk reduction.
`(b) Subsequent Vulnerability Assessments- (1) The Director of National Intelligence
shall conduct subsequent vulnerability assessments of each major system and
its significant items of supply within the National Intelligence Program--
`(A) periodically throughout the life span of the major system;
`(B) whenever the Director determines that a change in circumstances warrants
the issuance of a subsequent vulnerability assessment; or
`(C) upon the request of a congressional intelligence committee.
`(2) Any subsequent vulnerability assessment of a major system and its significant
items of supply shall, at a minimum, use an analysis-based approach and, if
applicable, a testing-based approach, to monitor the exploitation potential
of such system and reexamine the factors described in paragraphs (1) through
(5) of subsection (a).
`(c) Major System Management- The Director of National Intelligence shall
give due consideration to the vulnerability assessments prepared for a given
major system when developing and determining the annual consolidated National
Intelligence Program budget.
`(d) Congressional Oversight- (1) The Director of National Intelligence shall
provide to the congressional intelligence committees a copy of each vulnerability
assessment conducted under subsection (a) or (b) not later than 10 days after
the date of the completion of such assessment.
`(2) The Director of National Intelligence shall provide the congressional
intelligence committees with a proposed schedule for subsequent vulnerability
assessments of a major system under subsection (b) when providing such committees
with the initial vulnerability assessment under subsection (a) of such system
as required by subsection (d).
`(e) Definitions- In this section:
`(1) The term `items of supply'--
`(A) means any individual part, component, subassembly, assembly, or subsystem
integral to a major system, and other property which may be replaced during
the service life of the major system, including spare parts and replenishment
parts; and
`(B) does not include packaging or labeling associated with shipment or
identification of items.
`(2) The term `major system' has the meaning given that term in section
506A(e).
`(3) The term `Milestone B' means a decision to enter into system development
and demonstration pursuant to guidance prescribed by the Director of National
Intelligence.
`(4) The term `vulnerability assessment' means the process of identifying
and quantifying vulnerabilities in a major system and its significant items
of supply.'.
(b) Clerical Amendment- The table of contents in the first section of the
National Security Act of 1947, as amended by section 306 of this Act, is further
amended by inserting after the item relating to section 506B, as added by
section 306(b), the following:
`Sec. 506C. Vulnerability assessments of major systems.'.
SEC. 312. BUSINESS ENTERPRISE ARCHITECTURE AND BUSINESS SYSTEM MODERNIZATION
FOR THE INTELLIGENCE COMMUNITY.
(a) Business Enterprise Architecture and Business System Modernization-
(1) IN GENERAL- Title V of the National Security Act of 1947 (50 U.S.C.
413 et seq.), as amended by sections 306 and 311 of this Act, is further
amended by inserting after section 506C, as added by section 311(a), the
following new section:
`INTELLIGENCE COMMUNITY BUSINESS SYSTEMS, ARCHITECTURE, ACCOUNTABILITY,
AND MODERNIZATION
`Sec. 506D. (a) Limitation on Obligation of Funds for Intelligence Community
Business System Modernization- (1) After April 1, 2008, no funds appropriated
to any element of the intelligence community may be obligated for an intelligence
community business system modernization described in paragraph (2) unless--
`(A) the approval authority designated by the Director of National Intelligence
under subsection (c)(2) makes the certification described in paragraph (3)
with respect to the intelligence community business system modernization;
and
`(B) the certification is approved by the Intelligence Community Business
Systems Management Committee established under subsection (f).
`(2) An intelligence community business system modernization described in
this paragraph is an intelligence community business system modernization
that--
`(A) will have a total cost in excess of $1,000,000; and
`(B) will receive more than 50 percent of the funds for such cost from amounts
appropriated for the National Intelligence Program.
`(3) The certification described in this paragraph for an intelligence community
business system modernization is a certification, made by the approval authority
designated by the Director under subsection (c)(2) to the Intelligence Community
Business Systems Management Committee, that the intelligence community business
system modernization--
`(A) complies with the enterprise architecture under subsection (b); or
`(i) to achieve a critical national security capability or address a critical
requirement in an area such as safety or security; or
`(ii) to prevent a significant adverse effect on a project that is needed
to achieve an essential capability, taking into consideration the alternative
solutions for preventing such adverse effect.
`(4) The obligation of funds for an intelligence community business system
modernization that does not comply with the requirements of this subsection
shall be treated as a violation of section 1341(a)(1)(A) of title 31, United
States Code.
`(b) Enterprise Architecture for Intelligence Community Business Systems-
(1) The Director of National Intelligence shall, acting through the Intelligence
Community Business Systems Management Committee established under subsection
(f), develop and implement an enterprise architecture to cover all intelligence
community business systems, and the functions and activities supported by
such business systems. The enterprise architecture shall be sufficiently defined
to effectively guide, constrain, and permit implementation of interoperable
intelligence community business system solutions, consistent with applicable
policies and procedures established by the Director of the Office of Management
and Budget.
`(2) The enterprise architecture under paragraph (1) shall include the following:
`(A) An information infrastructure that, at a minimum, will enable the intelligence
community to--
`(i) comply with all Federal accounting, financial management, and reporting
requirements;
`(ii) routinely produce timely, accurate, and reliable financial information
for management purposes;
`(iii) integrate budget, accounting, and program information and systems;
and
`(iv) provide for the systematic measurement of performance, including
the ability to produce timely, relevant, and reliable cost information.
`(B) Policies, procedures, data standards, and system interface requirements
that apply uniformly throughout the intelligence community.
`(c) Responsibilities for Intelligence Community Business System Modernization-
(1) The Director of National Intelligence shall be responsible for review,
approval, and oversight of the planning, design, acquisition, deployment,
operation, and maintenance of an intelligence community business system modernization
if more than 50 percent of the cost of the intelligence community business
system modernization is funded by amounts appropriated for the National Intelligence
Program.
`(2) The Director shall designate 1 or more appropriate officials of the intelligence
community to be responsible for making certifications with respect to intelligence
community business system modernizations under subsection (a)(3).
`(d) Intelligence Community Business System Investment Review- (1) The approval
authority designated under subsection (c)(2) shall establish and implement,
not later than March 31, 2008, an investment review process for the review
of the planning, design, acquisition, development, deployment, operation,
maintenance, modernization, project cost, benefits, and risks of the intelligence
community business systems for which the approval authority is responsible.
`(2) The investment review process under paragraph (1) shall--
`(A) meet the requirements of section 11312 of title 40, United States Code;
and
`(B) specifically set forth the responsibilities of the approval authority
under such review process.
`(3) The investment review process under paragraph (1) shall include the following
elements:
`(A) Review and approval by an investment review board (consisting of appropriate
representatives of the intelligence community) of each intelligence community
business system as an investment before the obligation of funds for such
system.
`(B) Periodic review, but not less often than annually, of every intelligence
community business system investment.
`(C) Thresholds for levels of review to ensure appropriate review of intelligence
community business system investments depending on the scope, complexity,
and cost of the system involved.
`(D) Procedures for making certifications in accordance with the requirements
of subsection (a)(3).
`(E) Mechanisms to ensure the consistency of the investment review process
with applicable guidance issued by the Director of National Intelligence
and the Intelligence Community Business Systems Management Committee established
under subsection (f).
`(F) Common decision criteria, including standards, requirements, and priorities,
for purposes of ensuring the integration of intelligence community business
systems.
`(e) Budget Information- For each fiscal year after fiscal year 2009, the
Director of National Intelligence shall include in the materials the Director
submits to Congress in support of the budget for such fiscal year that is
submitted to Congress under section 1105 of title 31, United States Code,
the following information:
`(1) An identification of each intelligence community business system for
which funding is proposed in such budget.
`(2) An identification of all funds, by appropriation, proposed in such
budget for each such system, including--
`(A) funds for current services to operate and maintain such system; and
`(B) funds for business systems modernization identified for each specific
appropriation.
`(3) For each such system, identification of approval authority designated
for such system under subsection (c)(2).
`(4) The certification, if any, made under subsection (a)(3) with respect
to each such system.
`(f) Intelligence Community Business Systems Management Committee- (1) The
Director of National Intelligence shall establish an Intelligence Community
Business Systems Management Committee (in this subsection referred to as the
`Committee').
`(2) The Committee shall--
`(A) recommend to the Director policies and procedures necessary to effectively
integrate all business activities and any transformation, reform, reorganization,
or process improvement initiatives undertaken within the intelligence community;
`(B) review and approve any major update of--
`(i) the enterprise architecture developed under subsection (b); and
`(ii) any plans for an intelligence community business systems modernization;
`(C) manage cross-domain integration consistent with such enterprise architecture;
`(D) be responsible for coordinating initiatives for intelligence community
business system modernization to maximize benefits and minimize costs for
the intelligence community, and periodically report to the Director on the
status of efforts to carry out an intelligence community business system
modernization;
`(E) ensure that funds are obligated for intelligence community business
system modernization in a manner consistent with subsection (a); and
`(F) carry out such other duties as the Director shall specify.
`(g) Relation to Annual Registration Requirements- Nothing in this section
shall be construed to alter the requirements of section 8083 of the Department
of Defense Appropriations Act, 2005 (Public Law 108-287; 118 Stat. 989), with
regard to information technology systems (as defined in subsection (d) of
such section).
`(h) Relation to Defense Business Systems Architecture, Accountability, and
Modernization Requirements- An intelligence community business system that
receives more than 50 percent of its funds from amounts available for the
National Intelligence Program shall be exempt from the requirements of section
2222 of title 10, United States Code.
`(i) Relation to Clinger-Cohen Act- (1) The Director of National Intelligence
and the Chief Information Officer of the Intelligence Community shall fulfill
the executive agency responsibilities in chapter 113 of title 40, United States
Code, for any intelligence community business system that receives more than
50 percent of its funding from amounts appropriated for the National Intelligence
Program.
`(2) Any intelligence community business system covered by paragraph (1) shall
be exempt from the requirements of such chapter 113 that would otherwise apply
to the executive agency that contains the element of the intelligence community
involved.
`(j) Reports- Not later than March 15 of each of the years 2009 through 2014,
the Director of National Intelligence shall submit to the congressional intelligence
committees a report on the compliance of the intelligence community with the
requirements of this section. Each such report shall--
`(1) describe actions taken and proposed for meeting the requirements of
subsection (a), including--
`(A) specific milestones and actual performance against specified performance
measures, and any revision of such milestones and performance measures;
and
`(B) specific actions on the intelligence community business system modernizations
submitted for certification under such subsection;
`(2) identify the number of intelligence community business system modernizations
that received a certification described in subsection (a)(3)(B); and
`(3) describe specific improvements in business operations and cost savings
resulting from successful intelligence community business systems modernization
efforts.
`(k) Definitions- In this section:
`(1) The term `enterprise architecture' has the meaning given that term
in section 3601(4) of title 44, United States Code.
`(2) The terms `information system' and `information technology' have the
meanings given those terms in section 11101 of title 40, United States Code.
`(3) The term `intelligence community business system' means an information
system, other than a national security system, that is operated by, for,
or on behalf of the intelligence community, including financial systems,
mixed systems, financial data feeder systems, and the business infrastructure
capabilities shared by the systems of the business enterprise architecture
that build upon the core infrastructure used to support business activities,
such as acquisition, financial management, logistics, strategic planning
and budgeting, installations and environment, and human resource management.
`(4) The term `intelligence community business system modernization' means--
`(A) the acquisition or development of a new intelligence community business
system; or
`(B) any significant modification or enhancement of an existing intelligence
community business system (other than necessary to maintain current services).
`(5) The term `national security system' has the meaning given that term
in section 3542 of title 44, United States Code.'.
(2) CLERICAL AMENDMENT- The table of contents in the first section of that
Act, as amended by sections 306 and 311 of this Act, is further amended
by inserting after the item relating to section 506C, as added by section
311(b), the following new item:
`Sec. 506D. Intelligence community business systems, architecture, accountability,
and modernization.'.
(1) CERTAIN DUTIES- Not later than 60 days after the date of the enactment
of this Act, the Director of National Intelligence shall--
(A) complete the delegation of responsibility for the review, approval,
and oversight of the planning, design, acquisition, deployment, operation,
maintenance, and modernization of intelligence community business systems
required by subsection (c) of section 506D of the National Security Act
of 1947 (as added by subsection (a)); and
(B) designate a vice chairman and personnel to serve on the Intelligence
Community Business System Management Committee established under subsection
(f) of such section 506D (as so added).
(2) ENTERPRISE ARCHITECTURE-
(A) SCHEDULE FOR DEVELOPMENT- The Director shall develop the enterprise
architecture required by subsection (b) of such section 506D (as so added)
by not later than September 1, 2008.
(B) REQUIREMENT FOR IMPLEMENTATION PLAN- In developing such enterprise
architecture, the Director shall develop an implementation plan for such
enterprise architecture that includes the following:
(i) An acquisition strategy for new systems that are expected to be
needed to complete such enterprise architecture, including specific
time-phased milestones, performance metrics, and a statement of the
financial and nonfinancial resource needs.
(ii) An identification of the intelligence community business systems
in operation or planned as of December 31, 2006, that will not be a
part of such enterprise architecture, together with the schedule for
the phased termination of the utilization of any such systems.
(iii) An identification of the intelligence community business systems
in operation or planned as of December 31, 2006, that will be a part
of such enterprise architecture, together with a strategy for modifying
such systems to ensure that such systems comply with such enterprise
architecture.
(C) SUBMISSION OF ACQUISITION STRATEGY- The Director shall submit the
acquisition strategy described in subparagraph (B)(i) to the congressional
intelligence committees not later than March 1, 2008.
SEC. 313. REPORTS ON THE ACQUISITION OF MAJOR SYSTEMS.
(a) In General- Title V of the National Security Act of 1947 (50 U.S.C. 413
et seq.), as amended by sections 306, 311, and 312 of this Act, is further
amended by inserting after section 506D, as added by section 312(a)(1), the
following new section:
`REPORTS ON THE ACQUISITION OF MAJOR SYSTEMS
`Sec. 506E. (a) Annual Reports Required- (1) The Director of National Intelligence
shall submit to the congressional intelligence committees each year, at the
same time the budget of the President for the fiscal year beginning in such
year is submitted to Congress pursuant to section 1105 of title 31, United
States Code, a separate report on each acquisition of a major system by an
element of the intelligence community.
`(2) Each report under this section shall be known as a `Report on the Acquisition
of Major Systems'.
`(b) Elements- Each report under this section shall include, for the acquisition
of a major system, information on the following:
`(1) The current total acquisition cost for such system, and the history
of such cost from the date the system was first included in a report under
this section to the end of the calendar quarter immediately proceeding the
submittal of the report under this section.
`(2) The current development schedule for the system, including an estimate
of annual development costs until development is completed.
`(3) The planned procurement schedule for the system, including the best
estimate of the Director of National Intelligence of the annual costs and
units to be procured until procurement is completed.
`(4) A full life-cycle cost analysis for such system.
`(5) The result of any significant test and evaluation of such major system
as of the date of the submittal of such report, or, if a significant test
and evaluation has not been conducted, a statement of the reasons therefor
and the results of any other test and evaluation that has been conducted
of such system.
`(6) The reasons for any change in acquisition cost, or schedule, for such
system from the previous report under this section, if applicable.
`(7) The major contracts or subcontracts related to the major system.
`(8) If there is any cost or schedule variance under a contract referred
to in paragraph (7) since the previous report under this section, the reasons
for such cost or schedule variance.
`(c) Determination of Increase in Costs- Any determination of a percentage
increase in the acquisition costs of a major system for which a report is
filed under this section shall be stated in terms of constant dollars from
the first fiscal year in which funds are appropriated for such contract.
`(d) Definitions- In this section:
`(1) The term `acquisition cost', with respect to a major system, means
the amount equal to the total cost for development and procurement of, and
system-specific construction for, such system.
`(2) The term `full life-cycle cost', with respect to the acquisition of
a major system, means all costs of development, procurement, construction,
deployment, and operation and support for such program, without regard to
funding source or management control, including costs of development and
procurement required to support or utilize such system.
`(3) The term `major contract,' with respect to a major system acquisition,
means each of the 6 largest prime, associate, or government-furnished equipment
contracts under the program that is in excess of $40,000,000 and that is
not a firm, fixed price contract.
`(4) The term `major system' has the meaning given that term in section
506A(e).
`(5) The term `significant test and evaluation' means the functional or
environmental testing of a major system or of the subsystems that combine
to create a major system.'.
(b) Clerical Amendment- The table of contents in the first section of that
Act, as amended by sections 306, 311, and 312 of this Act, is further amended
by inserting after the item relating to section 506D, as added by section
312(a)(2), the following new item:
`Sec. 506E. Reports on the acquisition of major systems.'.
SEC. 314. EXCESSIVE COST GROWTH OF MAJOR SYSTEMS.
(a) Notification- Title V of the National Security Act of 1947, as amended
by sections 306, 311, 312, and 313 of this Act, is further amended by inserting
after section 506E, as added by section 313(a), the following new section:
`EXCESSIVE COST GROWTH OF MAJOR SYSTEMS
`Sec. 506F. (a) Cost Increases of at Least 25 Percent- (1)(A) On a continuing
basis, and separate from the submission of any report on a major system required
by section 506E of this Act, the program manager shall determine if the acquisition
cost of such major system has increased by at least 25 percent as compared
to the baseline cost of such major system.
`(B) Not later than 10 days after the date that a program manager determines
that an increase described in subparagraph (A) has occurred, the program manager
shall submit to the Director of National Intelligence notification of such
increase.
`(2)(A) If, after receiving a notification described in paragraph (1)(B),
the Director of National Intelligence determines that the acquisition cost
of a major system has increased by at least 25 percent, the Director shall
submit to the congressional intelligence committees a written notification
of such determination as described in subparagraph (B), a description of the
amount of the increase in the acquisition cost of such major system, and a
certification as described in subparagraph (C).
`(B) The notification required by subparagraph (A) shall include--
`(i) an updated cost estimate;
`(ii) the date on which the determination covered by such notification was
made;
`(iii) contract performance assessment information with respect to each
significant contract or sub-contract related to such major system, including
the name of the contractor, the phase of the contract at the time of the
report, the percentage of work under the contract that has been completed,
any change in contract cost, the percentage by which the contract is currently
ahead or behind schedule, and a summary explanation of significant occurrences,
such as cost and schedule variances, and the effect of such occurrences
on future costs and schedules;
`(iv) the prior estimate of the full life-cycle cost for such major system,
expressed in constant dollars and in current year dollars;
`(v) the current estimated full life-cycle cost of such major system, expressed
in constant dollars and current year dollars;
`(vi) a statement of the reasons for any increases in the full life-cycle
cost of such major system;
`(vii) the current change and the total change, in dollars and expressed
as a percentage, in the full life-cycle cost applicable to such major system,
stated both in constant dollars and current year dollars;
`(viii) the completion status of such major system expressed as the percentage--
`(I) of the total number of years for which funds have been appropriated
for such major system compared to the number of years for which it is
planned that such funds will be appropriated; and
`(II) of the amount of funds that have been appropriated for such major
system compared to the total amount of such funds which it is planned
will be appropriated;
`(ix) the action taken and proposed to be taken to control future cost growth
of such major system; and
`(x) any changes made in the performance or schedule of such major system
and the extent to which such changes have contributed to the increase in
full life-cycle costs of such major system.
`(C) The certification described in this subparagraph is a written certification
made by the Director and submitted to the congressional intelligence committees
that--
`(i) the acquisition of such major system is essential to the national security;
`(ii) there are no alternatives to such major system that will provide equal
or greater intelligence capability at equal or lesser cost to completion;
`(iii) the new estimates of the full life-cycle cost for such major system
are reasonable; and
`(iv) the management structure for the acquisition of such major system
is adequate to manage and control full life-cycle cost of such major system.
`(b) Cost Increases of at Least 50 Percent- (1)(A) On a continuing basis,
and separate from the submission of any report on a major system required
by section 506E of this Act, the program manager shall determine if the acquisition
cost of such major system has increased by at least 50 percent as compared
to the baseline cost of such major system.
`(B) Not later than 10 days after the date that a program manager determines
that an increase described in subparagraph (A) has occurred, the program manager
shall submit to the Director of National Intelligence notification of such
increase.
`(2) If, after receiving a notification described in paragraph (1)(B), the
Director of National Intelligence determines that the acquisition cost of
a major system has increased by at least 50 percent as compared to the baseline
cost of such major system, the Director shall submit to the congressional
intelligence committees a written certification stating that--
`(A) the acquisition of such major system is essential to the national security;
`(B) there are no alternatives to such major system that will provide equal
or greater intelligence capability at equal or lesser cost to completion;
`(C) the new estimates of the full life-cycle cost for such major system
are reasonable; and
`(D) the management structure for the acquisition of such major system is
adequate to manage and control the full life-cycle cost of such major system.
`(3) In addition to the certification required by paragraph (2), the Director
of National Intelligence shall submit to the congressional intelligence committees
an updated notification, with current accompanying information, as required
by subsection (a)(2).
`(c) Prohibition on Obligation of Funds- (1) If a written certification required
under subsection (a)(2)(A) is not submitted to the congressional intelligence
committees within 60 days of the determination made under subsection (a)(1),
funds appropriated for the acquisition of a major system may not be obligated
for a major contract under the program. Such prohibition on the obligation
of funds shall cease to apply at the end of the 30-day period of a continuous
session of Congress that begins on the date on which Congress receives the
notification required under subsection (a)(2)(A).
`(2) If a written certification required under subsection (b)(2) is not submitted
to the congressional intelligence committees within 60 days of the determination
made under subsection (b)(2), funds appropriated for the acquisition of a
major system may not be obligated for a major contract under the program.
Such prohibition on the obligation of funds for the acquisition of a major
system shall cease to apply at the end of the 30-day period of a continuous
session of Congress that begins on the date on which Congress receives the
notification required under subsection (b)(3).
`(d) Definitions- In this section:
`(1) The term `acquisition cost' has the meaning given that term in section
506E(d).
`(2) The term `baseline cost', with respect to a major system, means the
projected acquisition cost of such system that is approved by the Director
of National Intelligence at Milestone B or an equivalent acquisition decision
for the development, procurement, and construction of such system. The baseline
cost may be in the form of an independent cost estimate.
`(3) The term `full life-cycle cost' has the meaning given that term in
section 506E(d).
`(4) The term `independent cost estimate' has the meaning given that term
in section 506A(e).
`(5) The term `major system' has the meaning given that term in section
506A(e).
`(6) The term `Milestone B' means a decision to enter into system development
and demonstration pursuant to guidance prescribed by the Director of National
Intelligence.
`(7) The term `program manager', with respect to a major system, means--
`(A) the head of the element of the intelligence community which is responsible
for the budget, cost, schedule, and performance of the major system; or
`(B) in the case of a major system within the Office of the Director of
National Intelligence, the deputy who is responsible for the budget, cost,
schedule, and performance of the major system.'.
(b) Clerical Amendment- The table of contents in the first section of that
Act, as amended by sections 304, 311, 312, and 313 of this Act, is further
amended by inserting after the items relating to section 506E, as added by
section 313(b), the following new item:
`Sec. 506F. Excessive cost growth of major systems.'.
Subtitle C--Other Matters
SEC. 321. RESTRICTION ON CONDUCT OF INTELLIGENCE ACTIVITIES.
The authorization of appropriations by this Act shall not be deemed to constitute
authority for the conduct of any intelligence activity which is not otherwise
authorized by the Constitution or the laws of the United States.
SEC. 322. CLARIFICATION OF DEFINITION OF INTELLIGENCE COMMUNITY UNDER THE
NATIONAL SECURITY ACT OF 1947.
Subparagraph (L) of section 3(4) of the National Security Act of 1947 (50
U.S.C. 401a(4)) is amended by striking `other' the second place it appears.
SEC. 323. MODIFICATION OF AVAILABILITY OF FUNDS FOR DIFFERENT INTELLIGENCE
ACTIVITIES.
Subparagraph (B) of section 504(a)(3) of the National Security Act of 1947
(50 U.S.C. 414(a)(3)) is amended to read as follows:
`(B) the use of such funds for such activity supports an emergent need,
improves program effectiveness, or increases efficiency; and'.
SEC. 324. PROTECTION OF CERTAIN NATIONAL SECURITY INFORMATION.
(a) Increase in Penalties for Disclosure of Undercover Intelligence Officers
and Agents-
(1) DISCLOSURE OF AGENT AFTER ACCESS TO INFORMATION IDENTIFYING AGENT- Subsection
(a) of section 601 of the National Security Act of 1947 (50 U.S.C. 421)
is amended by striking `ten years' and inserting `15 years'.
(2) DISCLOSURE OF AGENT AFTER ACCESS TO CLASSIFIED INFORMATION- Subsection
(b) of such section is amended by striking `five years' and inserting `10
years'.
(b) Modifications to Annual Report on Protection of Intelligence Identities-
The first sentence of section 603(a) of the National Security Act of 1947
(50 U.S.C. 423(a)) is amended by inserting `including an assessment of the
need for any modification of this title for the purpose of improving legal
protections for covert agents,' after `measures to protect the identities
of covert agents,'.
SEC. 325. EXTENSION OF AUTHORITY TO DELETE INFORMATION ABOUT RECEIPT AND
DISPOSITION OF FOREIGN GIFTS AND DECORATIONS.
Paragraph (4) of section 7342(f) of title 5, United States Code, is amended
to read as follows:
`(4)(A) In transmitting such listings for an element of the intelligence community,
the head of such element may delete the information described in subparagraph
(A) or (C) of paragraph (2) or in subparagraph (A) or (C) of paragraph (3)
if the head of such element certifies in writing to the Secretary of State
that the publication of such information could adversely affect United States
intelligence sources or methods.
`(B) Any information not provided to the Secretary of State pursuant to the
authority in subparagraph (A) shall be transmitted to the Director of National
Intelligence who shall keep a record of such information.
`(C) In this paragraph, the term `element of the intelligence community' means
an element of the intelligence community listed in or designated under section
3(4) of the National Security Act of 1947 (50 U.S.C. 401a(4)).'.
SEC. 326. REPORT ON COMPLIANCE WITH THE DETAINEE TREATMENT ACT OF 2005 AND
RELATED PROVISIONS OF THE MILITARY COMMISSIONS ACT OF 2006.
(a) Report Required- Not later than 45 days after the date of the enactment
of this Act, the Director of National Intelligence shall submit to the congressional
intelligence committees a comprehensive report on all measures taken by the
Office of the Director of National Intelligence and by each element, if any,
of the intelligence community with relevant responsibilities to comply with
the provisions of the Detainee Treatment Act of 2005 (title X of division
A of Public Law 109-148; 119 Stat. 2739) and related provisions of the Military
Commissions Act of 2006 (Public Law 109-366; 120 Stat. 2600).
(b) Elements- The report required by subsection (a) shall include the following:
(1) A description of the detention or interrogation methods, if any, that
have been determined to comply with section 1003 of the Detainee Treatment
Act of 2005 (119 Stat. 2739; 42 U.S.C. 2000dd) and section 6 of the Military
Commissions Act of 2006 (120 Stat. 2632; 18 U.S.C. 2441 note) (including
the amendments made by such section 6), and, with respect to each such method--
(A) an identification of the official making such determination; and
(B) a statement of the basis for such determination.
(2) A description of the detention or interrogation methods, if any, whose
use has been discontinued pursuant to the Detainee Treatment Act of 2005
or the Military Commission Act of 2006, and, with respect to each such method--
(A) an identification of the official making the determination to discontinue
such method; and
(B) a statement of the basis for such determination.
(3) A description of any actions that have been taken to implement section
1004 of the Detainee Treatment Act of 2005 (119 Stat. 2740; 42 U.S.C. 2000dd-1),
and, with respect to each such action--
(A) an identification of the official taking such action; and
(B) a statement of the basis for such action.
(4) Any other matters that the Director considers necessary to fully and
currently inform the congressional intelligence committees about the implementation
of the Detainee Treatment Act of 2005 and related provisions of the Military
Commissions Act of 2006.
(5) An appendix containing--
(A) all guidelines for the application of the Detainee Treatment Act of
2005 and related provisions of the Military Commissions Act of 2006 to
the detention or interrogation activities, if any, of any element of the
intelligence community; and
(B) the legal justifications of any office of the Department of Justice
about the meaning or application of the Detainee Treatment Act of 2005
or related provisions of the Military Commissions Act of 2006 with respect
to the detention or interrogation activities, if any, of any element of
the intelligence community.
(c) Form- The report required by subsection (a) shall be submitted in classified
form.
(d) Submission to the Congressional Armed Services Committees- To the extent
that the report required by subsection (a) addresses an element of the intelligence
community within the Department of Defense, that portion of the report, and
any associated material that is necessary to make that portion understandable,
shall also be submitted by the Director of National Intelligence to the congressional
armed services committees.
(e) Congressional Armed Services Committee Defined- In this section, the term
`congressional armed services committees' means--
(1) the Committee on Armed Services of the Senate; and
(2) the Committee on Armed Services of the House of Representatives.
SEC. 327. LIMITATION ON INTERROGATION TECHNIQUES.
(a) Limitation- No individual in the custody or under the effective control
of an element of the intelligence community or instrumentality thereof, regardless
of nationality or physical location, shall be subject to any treatment or
technique of interrogation not authorized by the United States Army Field
Manual on Human Intelligence Collector Operations.
(b) Instrumentality Defined- In this section, the term `instrumentality',
with respect to an element of the intelligence community, means a contractor
or subcontractor at any tier of the element of the intelligence community.
SEC. 328. LIMITATION ON USE OF FUNDS.
Not more than 30 percent of the funds authorized to be appropriated for the
Expenditure Center referred to on page 157 of Volume VI, Book 1 of the Fiscal
Year 2008 - Fiscal Year 2009 Congressional Budget Justification, National
Intelligence Program, may be obligated or expended until each member of the
congressional intelligence committees has been fully and currently informed
with respect to intelligence regarding a facility in Syria subject to reported
military action by the State of Israel on September 6, 2007, including intelligence
relating to any agent or citizen of North Korea, Iran, or any other foreign
country present at the facility, and any intelligence provided to the Federal
Government by a foreign country regarding the facility (as available).
SEC. 329. INCORPORATION OF REPORTING REQUIREMENTS.
Each requirement to submit a report to the congressional intelligence committees
that is included in the classified annex to this Act is hereby incorporated
into this Act and is hereby made a requirement in law.
SEC. 330. REPEAL OF CERTAIN REPORTING REQUIREMENTS.
(a) Annual Report on Intelligence-
(1) REPEAL- Section 109 of the National Security Act of 1947 (50 U.S.C.
404d) is repealed.
(2) CLERICAL AMENDMENT- The table of contents in the first section of the
National Security Act of 1947 is amended by striking the item relating to
section 109.
(b) Annual and Special Reports on Intelligence Sharing With the United Nations-
Section 112 of the National Security Act of 1947 (50 U.S.C. 404g) is amended--
(1) by striking subsection (b); and
(2) by redesignating subsections (c), (d), and (e) as subsections (b), (c),
and (d), respectively.
(c) Annual Certification on Counterintelligence Initiatives- Section 1102(b)
of the National Security Act of 1947 (50 U.S.C. 442a(b)) is amended--
(1) by striking `(1)'; and
(2) by striking paragraph (2).
(d) Report and Certification Under Terrorist Identification Classification
System- Section 343 of the Intelligence Authorization Act for Fiscal Year
2003 (50 U.S.C. 404n-2) is amended--
(1) by striking subsection (d); and
(2) by redesignating subsections (e), (f), (g), and (h) as subsections (d),
(e), (f), and (g), respectively.
(e) Annual Report on Counterdrug Intelligence Matters- Section 826 of the
Intelligence Authorization Act for Fiscal Year 2003 (Public Law 107-306; 116
Stat. 2429; 21 U.S.C. 873 note) is repealed.
(f) Conforming Amendments- Section 507(a) of the National Security Act of
1947 (50 U.S.C. 415b(a)) is amended--
(A) by striking subparagraphs (A) and (B); and
(B) by redesignating subparagraphs (C) through (N) as subparagraphs (A)
through (L), respectively; and
(2) in paragraph (2), by striking subparagraph (D).
TITLE IV--MATTERS RELATING TO ELEMENTS OF THE INTELLIGENCE COMMUNITY
Subtitle A--Office of the Director of National Intelligence
SEC. 401. CLARIFICATION OF LIMITATION ON COLOCATION OF THE OFFICE OF THE
DIRECTOR OF NATIONAL INTELLIGENCE.
Section 103(e) of the National Security Act of 1947 (50 U.S.C. 403-3(e)) is
amended--
(1) by striking `With' and inserting `of Headquarters With Headquarters
of';
(2) by inserting `the headquarters of' before `the Office'; and
(3) by striking `any other element' and inserting `the headquarters of any
other element'.
SEC. 402. MEMBERSHIP OF THE DIRECTOR OF NATIONAL INTELLIGENCE ON THE TRANSPORTATION
SECURITY OVERSIGHT BOARD.
Subparagraph (F) of section 115(b)(1) of title 49, United States Code, is
amended to read as follows:
`(F) The Director of National Intelligence, or the Director's designee.'.
SEC. 403. ADDITIONAL DUTIES OF THE DIRECTOR OF SCIENCE AND TECHNOLOGY.
Section 103E of the National Security Act of 1947 (50 U.S.C. 403-3e) is amended--
(A) by redesignating paragraph (5) as paragraph (7);
(B) in paragraph (4), by striking `and' at the end; and
(C) by inserting after paragraph (4) the following:
`(5) assist the Director in establishing goals for basic, applied, and advanced
research to meet the technology needs of the intelligence community and
to be executed by elements of the intelligence community by--
`(A) systematically identifying, assessing, and prioritizing the most
significant intelligence challenges that require technical solutions;
and
`(B) examining options to enhance the responsiveness of research programs;
`(6) submit to Congress an annual report on the science and technology strategy
of the Director; and'; and
(2) in paragraph (3) of subsection (d)--
(A) by redesignating subparagraphs (A) and (B) as subparagraphs (B) and
(C), respectively;
(B) in subparagraph (B), as so redesignated, by inserting `and prioritize'
after `coordinate'; and
(C) by inserting before subparagraph (B), as so redesignated, the following
new subparagraph:
`(A) identify basic, advanced, and applied research programs to be executed
by elements of the intelligence community;'.
SEC. 404. LEADERSHIP AND LOCATION OF CERTAIN OFFICES AND OFFICIALS.
(a) National Counter Proliferation Center- Section 119A(a) of the National
Security Act of 1947 (50 U.S.C. 404o-1(a)) is amended--
(1) by striking `(a) Establishment- Not later than 18 months after the date
of the enactment of the National Security Intelligence Reform Act of 2004,
the' and inserting the following:
`(1) ESTABLISHMENT- The'; and
(2) by adding at the end the following new paragraphs:
`(2) DIRECTOR- The head of the National Counter Proliferation Center shall
be the Director of the National Counter Proliferation Center, who shall
be appointed by the Director of National Intelligence.
`(3) LOCATION- The National Counter Proliferation Center shall be located
within the Office of the Director of National Intelligence.'.
(b) Officers- Section 103(c) of that Act (50 U.S.C. 403-3(c)) is amended--
(1) by redesignating paragraph (9) as paragraph (13); and
(2) by inserting after paragraph (8) the following new paragraphs:
`(9) The Chief Information Officer of the Intelligence Community.
`(10) The Inspector General of the Intelligence Community.
`(11) The Director of the National Counterterrorism Center.
`(12) The Director of the National Counter Proliferation Center.'.
SEC. 405. PLAN TO IMPLEMENT RECOMMENDATIONS OF THE DATA CENTER ENERGY EFFICIENCY
REPORTS.
(a) Plan- The Director of National Intelligence shall develop a plan to implement
the recommendations of the report submitted to Congress under section 1 of
the Act entitled `An Act to study and promote the use of energy efficient
computer servers in the United States' (Public Law 109-431; 120 Stat. 2920)
across the intelligence community.
(1) IN GENERAL- Not later then February 1, 2008, the Director of National
Intelligence shall submit to the congressional intelligence committees a
report containing the plan developed under subsection (a).
(2) FORM- The report under paragraph (1) shall be submitted in unclassified
form, but may contain a classified annex.
SEC. 406. COMPREHENSIVE LISTING OF SPECIAL ACCESS PROGRAMS.
Not later than February 1, 2008, the Director of National Intelligence shall
submit to the congressional intelligence committees a classified comprehensive
listing of all special access programs under the National Intelligence Program
(as defined in section 3(6) of the National Security Act of 1947 (50 U.S.C.
401a(6))). Such listing may be submitted in a form or forms consistent with
the protection of national security.
SEC. 407. REPORTS ON THE NUCLEAR PROGRAMS OF IRAN AND NORTH KOREA.
(a) Requirement for Reports- Not less frequently than once during fiscal year
2008 and twice during fiscal year 2009, the Director of National Intelligence
shall submit to the congressional intelligence committees a report on the
intentions and capabilities of the Islamic Republic of Iran and the Democratic
People's Republic of Korea, with regard to the nuclear programs of each such
country.
(b) Content- Each report submitted by subsection (a) shall include, with respect
of the Islamic Republic of Iran and the Democratic People's Republic of Korea--
(1) an assessment of nuclear weapons programs of each such country;
(2) an evaluation, consistent with existing reporting standards and practices,
of the sources upon which the intelligence used to prepare the assessment
described in paragraph (1) is based, including the number of such sources
and an assessment of the reliability of each such source;
(3) a summary of any intelligence related to any such program gathered or
developed since the previous report was submitted under subsection (a),
including intelligence collected from both open and clandestine sources
for each such country; and
(4) a discussion of any dissents, caveats, gaps in knowledge, or other information
that would reduce confidence in the assessment described in paragraph (1).
(c) National Intelligence Estimate- The Director of National Intelligence
may submit a National Intelligence Estimate on the intentions and capabilities
of the Islamic Republic of Iran and the Democratic People's Republic of Korea
in lieu of a report required by subsection (a).
(d) Form- Each report submitted under subsection (a) may be submitted in classified
form.
SEC. 408. REQUIREMENTS FOR ACCOUNTABILITY REVIEWS BY THE DIRECTOR OF NATIONAL
INTELLIGENCE.
(a) Responsibility of the Director of National Intelligence- Subsection (b)
of section 102 of the National Security Act of 1947 (50 U.S.C. 403) is amended--
(1) in paragraph (2), by striking `and' at the end;
(A) by striking `2004,' and inserting `2004 (50 U.S.C. 403 note),'; and
(B) by striking the period at the end and inserting a semicolon and `and';
and
(3) by inserting after paragraph (3), the following new paragraph:
`(4) conduct accountability reviews of elements of the intelligence community
and the personnel of such elements, if appropriate.'.
(b) Tasking and Other Authorities- Subsection (f) of section 102A of such
Act (50 U.S.C. 403-1) is amended--
(1) by redesignating paragraphs (7) and (8), as paragraphs (8) and (9),
respectively; and
(2) by inserting after paragraph (6), the following new paragraph:
`(7)(A) The Director of National Intelligence shall, if the Director determines
it is necessary, or may, if requested by a congressional intelligence committee,
conduct accountability reviews of elements of the intelligence community or
the personnel of such elements in relation to significant failures or deficiencies
within the intelligence community.
`(B) The Director of National Intelligence, in consultation with the Attorney
General, shall establish guidelines and procedures for conducting accountability
reviews under subparagraph (A).
`(C) The requirements of this paragraph shall not limit any authority of the
Director of National Intelligence under subsection (m) or with respect to
supervision of the Central Intelligence Agency.'.
SEC. 409. MODIFICATION OF LIMITATION ON DELEGATION BY THE DIRECTOR OF NATIONAL
INTELLIGENCE OF THE PROTECTION OF INTELLIGENCE SOURCES AND METHODS.
Section 102A(i)(3) of the National Security Act of 1947 (50 U.S.C. 403-1(i)(3))
is amended by inserting before the period the following: `or the Chief Information
Officer of the Intelligence Community'.
SEC. 410. AUTHORITIES FOR INTELLIGENCE INFORMATION SHARING.
(a) Authorities for Interagency Funding- Section 102A(g)(1) of the National
Security Act of 1947 (50 U.S.C. 403-1(g)(1)) is amended--
(1) in subparagraph (E), by striking `and' at the end;
(2) in subparagraph (F), by striking the period and inserting a semicolon;
and
(3) by adding at the end the following new subparagraphs:
`(G) in carrying out this subsection, without regard to any other provision
of law (other than this Act and the National Security Intelligence Reform
Act of 2004 (title I of Public Law 108-458; 118 Stat. 3643)), expend funds
and make funds available to other departments or agencies of the United
States for, and direct the development and fielding of, systems of common
