Congressional Record: July 25, 2007 (House)]
[Page H8496-H8546]



 CONFERENCE REPORT ON H.R. 1, IMPLEMENTING RECOMMENDATIONS OF THE 9/11
                         COMMISSION ACT OF 2007

  Mr. THOMPSON of Mississippi submitted the following conference report
and statement on the bill (H.R. 1) to provide for the implementation of
the recommendations of the National Commission on Terrorist Attacks
Upon the United States:

                  Conference Report (H. Rept. 110-259)

[...]

  TITLE V--IMPROVING INTELLIGENCE AND INFORMATION SHARING WITHIN THE
    FEDERAL GOVERNMENT AND WITH STATE, LOCAL, AND TRIBAL GOVERNMENTS

     Subtitle A--Homeland Security Information Sharing Enhancement

     SEC. 501. HOMELAND SECURITY ADVISORY SYSTEM AND INFORMATION
                   SHARING.

       (a) Advisory System and Information Sharing.--
       (1) In general.--Subtitle A of title II of the Homeland
     Security Act of 2002 (6 U.S.C. 121 et seq.) is amended by
     adding at the end the following:

     ``SEC. 203. 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;

[[Page H8508]]

       ``(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. 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. 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. 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.''.
       (2) Technical and conforming amendments.--
       (A) In general.--Section 201(d) of the Homeland Security
     Act of 2002 (6 U.S.C. 121(d)) is amended--
       (i) by striking paragraph (7); and
       (ii) by redesignating paragraphs (8) through (19) as
     paragraphs (7) through (18), respectively.
       (B) Table of contents.--The table of contents in section
     1(b) of the Homeland Security Act of 2002 (6 U.S.C. 101 et
     seq.) is amended by inserting after the item relating to
     section 202 the following:

       ``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.''.

       (b) Office of Intelligence and Analysis and Office of
     Infrastructure Protection.--Section 201(d) of the Homeland
     Security Act of 2002 (6 U.S.C. 121(d)) is amended--
       (1) in paragraph (1), by inserting ``, 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),'' after ``and to integrate such information''; and
       (2) by striking paragraph (7), as redesignated by
     subsection (a)(2)(A)(ii) of this section, and inserting the
     following:
       ``(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.''.
       (c) Report on Comprehensive Information Technology Network
     Architecture.--Not later than 120 days after the date of
     enactment of this Act, the Secretary of Homeland Security
     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 progress of the Secretary in developing the comprehensive
     information technology network architecture required under
     section 205 of the Homeland Security Act of 2002, as added by
     subsection (a). The report shall include:
       (1) a description of the priorities for the development of
     the comprehensive information technology network architecture
     and a rationale for such priorities;
       (2) an explanation of how the various components of the
     comprehensive information technology network architecture
     will work together and interconnect;
       (3) a description of the technological challenges that the
     Secretary expects the Office of Intelligence and Analysis
     will face in implementing the comprehensive information
     technology network architecture;
       (4) a description of the technological options that are
     available or are in development that may be incorporated into
     the comprehensive information technology network
     architecture, the feasibility of incorporating such options,
     and the advantages and disadvantages of doing so;
       (5) an explanation of any security protections to be
     developed as part of the comprehensive information technology
     network architecture;
       (6) a description of safeguards for civil liberties and
     privacy to be built into the comprehensive information
     technology network architecture; and
       (7) an operational best practices plan.

     SEC. 502. INTELLIGENCE COMPONENT DEFINED.

       (a) In General.--Section 2 of the Homeland Security Act of
     2002 (6 U.S.C. 101) is amended--
       (1) by redesignating paragraphs (9) through (16) as
     paragraphs (10) through (17), respectively; and
       (2) by inserting after paragraph (8) the following:
       ``(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

[[Page H8509]]

     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)).''.
       (b) Receipt of Information From United States Secret
     Service.--
       (1) In general.--The Under Secretary for Intelligence and
     Analysis shall receive from the United States Secret Service
     homeland security information, terrorism information, weapons
     of mass destruction information (as these terms are defined
     in Section 1016 of the Intelligence Reform and Terrorism
     Prevention Act of 2004 (6 U.S.C. 485)), or national
     intelligence, as defined in Section 3(5) of the National
     Security Act of 1947 (50 U.S.C. 401a(5)), as well as suspect
     information obtained in criminal investigations. The United
     States Secret Service shall cooperate with the Under
     Secretary for Intelligence and Analysis with respect to
     activities under sections 204 and 205 of the Homeland
     Security Act of 2002.
       (2) Savings clause.--Nothing in this Act shall interfere
     with the operation of Section 3056(g) of Title 18, United
     States Code, or with the authority of the Secretary of
     Homeland Security or the Director of the United States Secret
     Service regarding the budget of the United States Secret
     Service.
       (c) Technical and Conforming Amendments.--
       (1) Homeland security act of 2002.--Paragraph (13) of
     section 501 of the Homeland Security Act of 2002 (6 U.S.C.
     311), as redesignated by section 401, is amended by striking
     ``section 2(10)(B)'' and inserting ``section 2(11)(B)''.
       (2) Other law.--Section 712(a) of title 14, United States
     Code, is amended by striking ``section 2(15) of the Homeland
     Security Act of 2002 (6 U.S.C. 101(15))'' and inserting
     ``section 2(16) of the Homeland Security Act of 2002 (6
     U.S.C. 101(16))''.

     SEC. 503. ROLE OF INTELLIGENCE COMPONENTS, TRAINING, AND
                   INFORMATION SHARING.

       (a) In General.--Subtitle A of title II of the Homeland
     Security Act of 2002 is further amended by adding at the end
     the following:

     ``SEC. 207. 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. 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. 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. 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.''.
       (b) Clerical Amendment.--The table of contents in section
     1(b) of the Homeland Security Act of 2002 (6 U.S.C. 101 et
     seq.) is amended further by inserting after the item relating
     to section 206 the following:

       ``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. 504. INFORMATION SHARING.

       Section 1016 of the Intelligence Reform and Terrorism
     Prevention Act of 2004 (6 U.S.C. 485) is amended--
       (1) in subsection (a)--
       (A) by redesignating paragraphs (1) through (4) as
     paragraphs (2) through (5), respectively;
       (B) by inserting before paragraph (2), as so redesignated,
     the following:
       ``(1) Homeland security information.--The term `homeland
     security information' has the meaning given that term in
     section 892(f) of the Homeland Security Act of 2002 (6 U.S.C.
     482(f)).'';
       (C) by striking paragraph (3), as so redesignated, and
     inserting the following:
       ``(3) Information sharing environment.--The terms
     `information sharing environment' and `ISE' mean an approach
     that facilitates the sharing of terrorism and homeland
     security information, which may include any method determined
     necessary and appropriate for carrying out this section.''.
       (D) by striking paragraph (5), as so redesignated, and
     inserting the following:
       ``(5) Terrorism information.--The term `terrorism
     information'--
       ``(A) means all information, whether collected, produced,
     or distributed by intelligence, law enforcement, military,
     homeland security, or other activities relating to--
       ``(i) the existence, organization, capabilities, plans,
     intentions, vulnerabilities, means of finance or material
     support, or activities of foreign or international terrorist
     groups or individuals, or of domestic groups or individuals
     involved in transnational terrorism;
       ``(ii) threats posed by such groups or individuals to the
     United States, United States persons, or United States
     interests, or to those of other nations;
       ``(iii) communications of or by such groups or individuals;
     or
       ``(iv) groups or individuals reasonably believed to be
     assisting or associated with such groups or individuals; and
       ``(B) includes weapons of mass destruction information.'';
     and
       (E) by adding at the end the following:
       ``(6) Weapons of mass destruction information.--The term
     `weapons of mass destruction information' means information
     that could reasonably be expected to assist in the
     development,

[[Page H8510]]

     proliferation, or use of a weapon of mass destruction
     (including a chemical, biological, radiological, or nuclear
     weapon) that could be used by a terrorist or a terrorist
     organization against the United States, including information
     about the location of any stockpile of nuclear materials that
     could be exploited for use in such a weapon that could be
     used by a terrorist or a terrorist organization against the
     United States.'';
       (2) in subsection (b)(2)--
       (A) in subparagraph (H), by striking ``and'' at the end;
       (B) in subparagraph (I), by striking the period at the end
     and inserting a semicolon; and
       (C) by adding at the end the following:
       ``(J) integrates the information within the scope of the
     information sharing environment, including any such
     information in legacy technologies;
       ``(K) integrates technologies, including all legacy
     technologies, through Internet-based services, consistent
     with appropriate security protocols and safeguards, to enable
     connectivity among required users at the Federal, State, and
     local levels;
       ``(L) allows the full range of analytic and operational
     activities without the need to centralize information within
     the scope of the information sharing environment;
       ``(M) permits analysts to collaborate both independently
     and in a group (commonly known as `collective and
     noncollective collaboration'), and across multiple levels of
     national security information and controlled unclassified
     information;
       ``(N) provides a resolution process that enables changes by
     authorized officials regarding rules and policies for the
     access, use, and retention of information within the scope of
     the information sharing environment; and
       ``(O) incorporates continuous, real-time, and immutable
     audit capabilities, to the maximum extent practicable.'';
       (3) in subsection (f)--
       (A) in paragraph (1)--
       (i) by striking ``during the two-year period beginning on
     the date of designation under this paragraph unless sooner
     removed from service and replaced'' and inserting ``until
     removed from service or replaced''; and
       (ii) by striking ``The program manager shall have and
     exercise governmentwide authority.'' and inserting ``The
     program manager, in consultation with the head of any
     affected department or agency, shall have and exercise
     governmentwide authority over the sharing of information
     within the scope of the information sharing environment,
     including homeland security information, terrorism
     information, and weapons of mass destruction information, by
     all Federal departments, agencies, and components,
     irrespective of the Federal department, agency, or component
     in which the program manager may be administratively located,
     except as otherwise expressly provided by law.''; and
       (B) in paragraph (2)(A)--
       (i) by redesignating clause (iii) as clause (v); and
       (ii) by striking clause (ii) and inserting the following:
       ``(ii) assist in the development of policies, as
     appropriate, to foster the development and proper operation
     of the ISE;
       ``(iii) consistent with the direction and policies issued
     by the President, the Director of National Intelligence, and
     the Director of the Office of Management and Budget, issue
     governmentwide procedures, guidelines, instructions, and
     functional standards, as appropriate, for the management,
     development, and proper operation of the ISE;
       ``(iv) identify and resolve information sharing disputes
     between Federal departments, agencies, and components; and'';
       (4) in subsection (g)--
       (A) in paragraph (1), by striking ``during the two-year
     period beginning on the date of the initial designation of
     the program manager by the President under subsection (f)(1),
     unless sooner removed from service and replaced'' and
     inserting ``until removed from service or replaced'';
       (B) in paragraph (2)--
       (i) in subparagraph (F), by striking ``and'' at the end;
       (ii) by redesignating subparagraph (G) as subparagraph (I);
     and
       (iii) by inserting after subparagraph (F) the following:
       ``(G) assist the program manager in identifying and
     resolving information sharing disputes between Federal
     departments, agencies, and components;
       ``(H) identify appropriate personnel for assignment to the
     program manager to support staffing needs identified by the
     program manager; and'';
       (C) in paragraph (4), by inserting ``(including any
     subsidiary group of the Information Sharing Council)'' before
     ``shall not be subject''; and
       (D) by adding at the end the following:
       ``(5) Detailees.--Upon a request by the Director of
     National Intelligence, the departments and agencies
     represented on the Information Sharing Council shall detail
     to the program manager, on a reimbursable basis, appropriate
     personnel identified under paragraph (2)(H).'';
       (5) in subsection (h)(1), by striking ``and annually
     thereafter'' and inserting ``and not later than June 30 of
     each year thereafter''; and
       (6) by striking subsection (j) and inserting the following:
       ``(j) Report on the Information Sharing Environment.--
       ``(1) In general.--Not later than 180 days after the date
     of enactment of the Implementing Recommendations of the 9/11
     Commission Act of 2007, the President shall report to the
     Committee on Homeland Security and Governmental Affairs of
     the Senate, the Select Committee on Intelligence of the
     Senate, the Committee on Homeland Security of the House of
     Representatives, and the Permanent Select Committee on
     Intelligence of the House of Representatives on the
     feasibility of--
       ``(A) eliminating the use of any marking or process
     (including `Originator Control') intended to, or having the
     effect of, restricting the sharing of information within the
     scope of the information sharing environment, including
     homeland security information, terrorism information, and
     weapons of mass destruction information, between and among
     participants in the information sharing environment, unless
     the President has--
       ``(i) specifically exempted categories of information from
     such elimination; and
       ``(ii) reported that exemption to the committees of
     Congress described in the matter preceding this subparagraph;
     and
       ``(B) continuing to use Federal agency standards in effect
     on such date of enactment for the collection, sharing, and
     access to information within the scope of the information
     sharing environment, including homeland security information,
     terrorism information, and weapons of mass destruction
     information, relating to citizens and lawful permanent
     residents;
       ``(C) replacing the standards described in subparagraph (B)
     with a standard that would allow mission-based or threat-
     based permission to access or share information within the
     scope of the information sharing environment, including
     homeland security information, terrorism information, and
     weapons of mass destruction information, for a particular
     purpose that the Federal Government, through an appropriate
     process established in consultation with the Privacy and
     Civil Liberties Oversight Board established under section
     1061, has determined to be lawfully permissible for a
     particular agency, component, or employee (commonly known as
     an `authorized use' standard); and
       ``(D) the use of anonymized data by Federal departments,
     agencies, or components collecting, possessing,
     disseminating, or handling information within the scope of
     the information sharing environment, including homeland
     security information, terrorism information, and weapons of
     mass destruction information, in any cases in which--
       ``(i) the use of such information is reasonably expected to
     produce results materially equivalent to the use of
     information that is transferred or stored in a non-anonymized
     form; and
       ``(ii) such use is consistent with any mission of that
     department, agency, or component (including any mission under
     a Federal statute or directive of the President) that
     involves the storage, retention, sharing, or exchange of
     personally identifiable information.
       ``(2) Definition.--In this subsection, the term `anonymized
     data' means data in which the individual to whom the data
     pertains is not identifiable with reasonable efforts,
     including information that has been encrypted or hidden
     through the use of other technology.
       ``(k) Additional Positions.--The program manager is
     authorized to hire not more than 40 full-time employees to
     assist the program manager in--
       ``(1) activities associated with the implementation of the
     information sharing environment, including--
       ``(A) implementing the requirements under subsection
     (b)(2); and
       ``(B) any additional implementation initiatives to enhance
     and expedite the creation of the information sharing
     environment; and
       ``(2) identifying and resolving information sharing
     disputes between Federal departments, agencies, and
     components under subsection (f)(2)(A)(iv).
       ``(l) Authorization of Appropriations.--There is authorized
     to be appropriated to carry out this section $30,000,000 for
     each of fiscal years 2008 and 2009.''.

     Subtitle B--Homeland Security Information Sharing Partnerships

     SEC. 511. DEPARTMENT OF HOMELAND SECURITY STATE, LOCAL, AND
                   REGIONAL FUSION CENTER INITIATIVE.

       (a) In General.--Subtitle A of title II of the Homeland
     Security Act of 2002 (6 U.S.C. 121 et seq.) is further
     amended by adding at the end the following:

     ``SEC. 210A. 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,

[[Page H8511]]

     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

[[Page H8512]]

     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.''.
       (b) Training for Predeployed Officers and Analysts.--An
     officer or analyst assigned to a fusion center by the
     Secretary of Homeland Security before the date of the
     enactment of this Act shall undergo the training described in
     section 210A(c)(4)(A) of the Homeland Security Act of 2002,
     as added by subsection (a), by not later than six months
     after such date.
       (c) Technical and Conforming Amendment.--The table of
     contents in section 1(b) of the Homeland Security Act of 2002
     (6 U.S.C. 101 et seq.) is further amended by inserting after
     the item relating to section 210 the following:

       ``Sec. 210A.Department of Homeland Security State, Local,
           and Regional Information Fusion Center Initiative.''.

       (d) Reports.--
       (1) Concept of operations.--Not later than 90 days after
     the date of enactment of this Act and before the Department
     of Homeland Security State, Local, and Regional Fusion Center
     Initiative under section 210A of the Homeland Security Act of
     2002, as added by subsection (a), (in this section referred
     to as the ``program'') has been implemented, the Secretary,
     in consultation with 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 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 contains a concept of operations for the program, which
     shall--
       (A) include a clear articulation of the purposes, goals,
     and specific objectives for which the program is being
     developed;
       (B) identify stakeholders in the program and provide an
     assessment of their needs;
       (C) contain a developed set of quantitative metrics to
     measure, to the extent possible, program output;
       (D) contain a developed set of qualitative instruments
     (including surveys and expert interviews) to assess the
     extent to which stakeholders believe their needs are being
     met; and
       (E) include a privacy and civil liberties impact
     assessment.
       (2) Privacy and civil liberties.--Not later than 1 year
     after the date of the enactment of this Act, the Privacy
     Officer of the Department of Homeland Security and the
     Officer for Civil Liberties and Civil Rights of the
     Department of Homeland Security, consistent with any policies
     of 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
     submit to the Committee on Homeland Security and Governmental
     Affairs of the Senate and the Committee on Homeland Security
     of the House of Representatives, the Secretary of Homeland
     Security, the Under Secretary of Homeland Security for
     Intelligence and Analysis, and the Privacy and Civil
     Liberties Oversight Board a report on the privacy and civil
     liberties impact of the program.

     SEC. 512. HOMELAND SECURITY INFORMATION SHARING FELLOWS
                   PROGRAM.

       (a) Establishment of Program.--Subtitle A of title II of
     the Homeland Security Act of 2002 (6 U.S.C. 121 et seq.) is
     further amended by adding at the end the following:

     ``SEC. 210B. 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.

[[Page H8513]]

       ``(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.''.
       (b) Technical and Conforming Amendment.--The table of
     contents in section 1(b) of the Homeland Security Act of 2002
     (6 U.S.C. 101 et seq.) is further amended by inserting after
     the item relating to section 210A the following:

       ``Sec. 210B. Homeland Security Information Sharing Fellows
           Program.''.

       (c) Reports.--
       (1) Concept of operations.--Not later than 90 days after
     the date of enactment of this Act, and before the
     implementation of the Homeland Security Information Sharing
     Fellows Program under section 210B of the Homeland Security
     Act of 2002, as added by subsection (a), (in this section
     referred to as the ``Program'') the Secretary, in
     consultation with 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 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 contains a concept of operations for the Program, which
     shall include a privacy and civil liberties impact
     assessment.
       (2) Review of privacy impact.--Not later than 1 year after
     the date on which the program is implemented, the Privacy
     Officer of the Department and the Officer for Civil Rights
     and Civil Liberties of the Department, consistent with any
     policies of 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
     submit to the Committee on Homeland Security and Governmental
     Affairs of the Senate and the Committee on Homeland Security
     of the House of Representatives, the Secretary of Homeland
     Security, the Under Secretary of Homeland Security for
     Intelligence and Analysis, and the Privacy and Civil
     Liberties Oversight Board, a report on the privacy and civil
     liberties impact of the program.

     SEC. 513. RURAL POLICING INSTITUTE.

       (a) Establishment.--Subtitle A of title II of the Homeland
     Security Act of 2002 (6 U.S.C. 121 et seq.) is further
     amended by adding at the end the following:

     ``SEC. 210C. 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.''.
       (b) Clerical Amendment.--The table of contents in section
     1(b) of such Act is further amended by inserting after the
     item relating to section 210B the following:

``Sec. 210C. Rural Policing Institute.''.

    Subtitle C--Interagency Threat Assessment and Coordination Group

     SEC. 521. INTERAGENCY THREAT ASSESSMENT AND COORDINATION
                   GROUP.

       (a) Establishment.--Subtitle A of title II of the Homeland
     Security Act of 2002 (6 U.S.C. 121 et seq.) is further
     amended by adding at the end the following:

     ``SEC. 210D. 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);

[[Page H8514]]

       ``(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.''.
       (b) Clerical Amendment.--The table of contents in section
     1(b) of such Act is amended by inserting after the item
     relating to section 210C the following:

``Sec. 210D. Interagency Threat Assessment and Coordination Group.''.
       (c) Privacy and Civil Liberties Impact Assessment.--Not
     later than 90 days after the date of the enactment of this
     Act, the Privacy Officer and the Officer for Civil Rights and
     Civil Liberties of the Department of Homeland Security and
     the Chief Privacy and Civil Liberties Officer for the
     Department of Justice, in consultation with the Civil
     Liberties Protection Officer of the Office of the Director of
     National Intelligence, shall submit to the Secretary of
     Homeland Security, the Director of the Federal Bureau of
     Investigation, the Attorney General, the Director of the
     National Counterterrorism Center, the Director of National
     Intelligence, the Privacy and Civil Liberties Oversight
     Board, and the Committee on Homeland Security and
     Governmental Affairs of the Senate, the Committee on Homeland
     Security of the House of Representatives, the Select
     Committee on Intelligence of the Senate, and the Permanent
     Select Committee on Intelligence of the House of
     Representatives, a privacy and civil liberties impact
     assessment of the Interagency Threat Assessment and
     Coordination Group under section 210D of the Homeland
     Security Act of 2002, as added by subsection (a), including
     the use of State, local, and tribal detailees at the National
     Counterterrorism Center, as described in subsection (d)(5) of
     that section.

   Subtitle D--Homeland Security Intelligence Offices Reorganization

     SEC. 531. OFFICE OF INTELLIGENCE AND ANALYSIS AND OFFICE OF
                   INFRASTRUCTURE PROTECTION.

       (a) In General.--Section 201 of the Homeland Security Act
     of 2002 (6 U.S.C. 201) is amended--
       (1) in the section heading, by striking ``directorate
     for information'' and inserting
     ``information and'';
       (2) by striking subsections (a) through (c) and inserting
     the following:
       ``(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.'';
       (3) in subsection (d)--
       (A) in the subsection heading, by striking ``Under
     Secretary'' and inserting ``Secretary Relating To
     Intelligence and Analysis and Infrastructure Protection'';
       (B) in the matter preceding paragraph (1), by striking
     ``Subject to the direction'' and all that follows through
     ``Infrastructure Protection'' and inserting the following:
     ``The responsibilities of the Secretary relating to
     intelligence and analysis and infrastructure protection'';
       (C) in paragraph (9), as redesignated under section
     510(a)(2)(A)(ii), by striking ``Director of Central
     Intelligence'' and inserting ``Director of National
     Intelligence'';
       (D) in paragraph (11)(B), as so redesignated, by striking
     ``Director of Central Intelligence'' and inserting ``Director
     of National Intelligence'';
       (E) by redesignating paragraph (18), as so redesignated, as
     paragraph (24); and
       (F) by inserting after paragraph (17), as so redesignated,
     the following:
       ``(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

[[Page H8515]]

     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.'';
       (4) in subsection (e)(1)--
       (A) by striking ``Directorate'' the first place that term
     appears and inserting ``Office of Intelligence and Analysis
     and the Office of Infrastructure Protection''; and
       (B) by striking ``the Directorate in discharging'' and
     inserting ``such offices in discharging'';
       (5) in subsection (f)(1), by striking ``Directorate'' and
     inserting ``Office of Intelligence and Analysis and the
     Office of Infrastructure Protection''; and
       (6) In subsection (g), in the matter preceding paragraph
     (1), by striking ``Under Secretary for Information Analysis
     and Infrastructure Protection'' and inserting ``Office of
     Intelligence and Analysis and the Office of Infrastructure
     Protection''.
       (b) Technical and Conforming Amendments.--
       (1) In general.--Such Act is further amended--
       (A) in section 223, by striking ``Under Secretary for
     Information Analysis and Infrastructure Protection'' and
     inserting ``Under Secretary for Intelligence and Analysis, in
     cooperation with the Assistant Secretary for Infrastructure
     Protection'';
       (B) in section 224, by striking ``Under Secretary for
     Information Analysis and Infrastructure Protection'' and
     inserting ``Assistant Secretary for Infrastructure
     Protection'';
       (C) in section 302(3), by striking ``Under Secretary for
     Information Analysis and Infrastructure Protection'' and
     inserting ``Under Secretary for Intelligence and Analysis and
     the Assistant Secretary for Infrastructure Protection''; and
       (D) in section 521(d)--
       (i) in paragraph (1), by striking ``Directorate for
     Information Analysis and Infrastructure Protection'' and
     inserting ``Office of Intelligence and Analysis''; and
       (ii) in paragraph (2), by striking ``Under Secretary for
     Information Analysis and Infrastructure Protection'' and
     inserting ``Under Secretary for Intelligence and Analysis''.
       (2) Additional under secretary.--Section 103(a) of the
     Homeland Security Act of 2002 (6 U.S.C. 113(a)) is amended--
       (A) by redesignating paragraphs (8) and (9) as paragraphs
     (9) and (10), respectively; and
       (B) by inserting after paragraph (7) the following:
       ``(8) An Under Secretary responsible for overseeing
     critical infrastructure protection, cybersecurity, and other
     related programs of the Department.''.
       (3) Heading.--Subtitle A of title II of the Homeland
     Security Act of 2002 (6 U.S.C. 121 et seq.) is amended in the
     subtitle heading by striking ``Directorate for Information''
     and inserting ``Information and''.
       (4) Table of contents.--The Homeland Security Act of 2002
     (6 U.S.C. 101 et seq.) is amended in the table of contents in
     section 1(b)--
       (A) by striking the items relating to subtitle A of title
     II and section 201 and inserting the following:

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

``Sec. 201. Information and Analysis and Infrastructure Protection.'';
              and
       (5) National security act of 1947.--Section 106(b)(2)(I) of
     the National Security Act of 1947 (50 U.S.C. 403-6) is
     amended to read as follows:
       ``(I) The Under Secretary of Homeland Security for
     Intelligence and Analysis.''.
       (c) Treatment of Incumbent.--The individual
     administratively performing the duties of the Under Secretary
     for Intelligence and Analysis as of the date of the enactment
     of this Act may continue to perform such duties after the
     date on which the President nominates an individual to serve
     as the Under Secretary pursuant to section 201 of the
     Homeland Security Act of 2002, as amended by this section,
     and until the individual so appointed assumes the duties of
     the position

              Subtitle E--Authorization of Appropriations

     SEC. 541. AUTHORIZATION OF APPROPRIATIONS.

       There is authorized to be appropriated for each of fiscal
     years 2008 through 2012 such sums as may be necessary to
     carry out this title and the amendments made by this title.



	 


                  Conference Report (H. Rept. 110-259)

	 [...]


	   TITLE V--IMPROVING INTELLIGENCE AND INFORMATION SHARING WITHIN THE
    FEDERAL GOVERNMENT AND WITH STATE, LOCAL, AND TRIBAL GOVERNMENTS

     Section 501. Homeland security information sharing
       Section 723 of the House bill includes several provisions
     to improve homeland security information sharing. Among other
     things, it directs the Secretary of Homeland Security (the
     Secretary), acting through the Under Secretary for
     Intelligence and Analysis, to establish a comprehensive
     information technology network architecture for the
     Department of Homeland Security's (the Department or DHS)
     Office of Intelligence and Analysis; requires the Secretary
     to submit an implementation plan and progress report to
     Congress in order to monitor the development of that
     architecture; and encourages its developers to adopt the
     functions, methods, policies, and network qualities
     recommended by the Markle Foundation.
       There is no comparable Senate provision.
       The Conference substitute adopts the House provision, with
     modifications. It deletes the reference to an implementation
     plan for the comprehensive information technology network
     architecture and instead includes new text to reflect the
     purpose of that architecture: to connect 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 within the Department. The Conference
     substitute likewise deletes references to the Markle
     Foundation. The Conference nevertheless concurs that the
     architecture in question should, to the extent possible,
     incorporate the approaches, features, and functions of the
     information sharing network proposed by the Markle Foundation
     in reports issued in October 2002 and December 2003, known as
     the System-wide Homeland Security Analysis and Resource
     Exchange (SHARE) Network.
       The Conference substitute also directs the Secretary to
     designate ``Information Sharing and Knowledge Management
     Officers'' within each intelligence component to coordinate
     information sharing efforts and assist the Secretary with the
     development of feedback mechanisms to State, local, tribal,
     and private sector entities. The Conference concurs that the
     Department's outreach to State, local, and tribal
     intelligence and law enforcement officials has been haphazard
     and often accompanied by less than timely results. While it
     can point to many successful examples of coordination and
     collaboration with State, local, tribal, and private sector
     officials, the Office of Intelligence and Analysis must
     increase its involvement with them and appropriately
     incorporate their non-Federal information into the
     Department's intelligence products. In addition, it is
     essential that the Department provide feedback to these non-
     Federal partners--both to encourage their contributions going
     forward and to provide helpful guidance for future
     contributions. The information sharing and knowledge
     management officers under this section should play a key role
     in helping to address these gaps.
     Section 502. Intelligence component defined
       Section 723 of the House bill defines ``intelligence
     component of the Department'' as ``any directorate, agency,
     or element of the Department that gathers, receives,
     analyzes, produces, or disseminates homeland security
     information'' except: (1) ``a directorate, agency, or element
     of the Department that is required to be maintained as a
     distinct entity'' under the Homeland Security Act of 2002 (6
     U.S.C. 101); and (2) ``any personnel security, physical
     security, document security, or communications security
     program within any directorate, agency, or element of the
     Department.''
       Although Section 111 of the Senate bill includes a similar
     definition for ``intelligence component of the Department,''
     it does not include either of the two exceptions enumerated
     by the House provision.
       The Conference substitute adopts the House provision, with
     modifications. In order to capture all of the intelligence
     information being gathered, received, analyzed, produced, or
     disseminated that might qualify an element or entity of the
     Department as an ``intelligence component,'' the Conference
     has chosen to refer to that universe of information as
     ``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 * * *''
     This phrase appears numerous times throughout the Conference
     substitute.
       The Conference is aware that the Conference substitute
     defines ``terrorism information'' to include ``weapons of
     mass destruction information'' in section 504 of the
     Conference substitute. The Conference, nevertheless, has
     included both terms when describing ``intelligence
     information within the scope of the information sharing
     environment'' for illustrative purposes. This phrase should
     not be interpreted to give the term ``weapons of mass
     destruction information'' any meaning other than the
     definition for it provided in section 504 of the Conference
     substitute.
       The Conference substitute establishes the position of Under
     Secretary for Intelligence and Analysis to replace the
     Assistant Secretary for Information Analysis, commonly known
     as the Department's Chief Intelligence Officer. The Under
     Secretary shall also serve as the Department's Chief
     Intelligence Officer. Through the Secretary, the Under
     Secretary shall be given new responsibilities, in addition to
     those of the Assistant Secretary for Information Analysis, in
     order to drive a common intelligence mission at the
     Department that involves the full participation of the
     Department's intelligence components.
       The Conference substitute carves out the United States
     Secret Service from the definition of ``intelligence
     component of the Department'' entirely. Subsection (b)
     nevertheless would require that the Secret Service share all
     homeland security information, terrorism information, weapons
     of mass destruction information, national intelligence, or
     suspect information obtained in criminal investigations with
     the Under Secretary for Intelligence and Analysis. In
     addition, the United States Secret Service will cooperate
     with the Under Secretary concerning information sharing and
     information technology activities outlined in sections 204
     and 205 of the Homeland Security Act of 2002. The Conference
     also expects that the Secret Service will provide training
     and guidance to its employees, officials, and senior
     executives in a manner that is comparable to the training
     provided to intelligence component personnel under section
     208 of the Homeland Security Act of 2002.
       The Conference intends that the United States Secret
     Service should participate to the fullest extent in the
     integration and management of the intelligence enterprise of
     the Department. Given unique operational equities of the
     United States Secret Service, however, the Conference does
     not believe that it is appropriate to specifically identify
     the United States Secret Service as an ``intelligence
     component'' of the Department. The provision also clarifies
     that nothing in this Act interferes with the position of the
     United States Secret Service as a ``distinct entity'' within
     the Department.
       Subsection (b) carves out the Coast Guard from the
     definition of ``intelligence component of the Department''
     when it is engaged in certain activities or acting under or
     pursuant to particular authorities. The Conference concurs
     that nothing in this section shall provide the Under
     Secretary for Intelligence and Analysis with operational
     or other tasking authority over the Coast Guard. The
     Conference nevertheless believes that the Coast Guard
     should collaborate and participate in the intelligence
     enterprise of the Department of Homeland Security.
     Section 503. Role of intelligence components, training, and
         information sharing
       Section 742 of the House bill delineates several key
     responsibilities for the head of each intelligence component
     of the Department regarding support for, and coordination and
     cooperation with, the Under Secretary for Intelligence and
     Analysis in the areas of acquisition, analysis, and
     dissemination of homeland security information; performance
     appraisals, bonus or award recommendations, pay adjustments,
     and other forms of commendation; recruitment and selection of
     intelligence officials of intelligence components detailed to
     the Office of Intelligence and Analysis; reorganization and
     restructuring of intelligence components; and program and
     policy compliance.
       Section 114 of the Senate bill, in turn, establishes
     information sharing incentives for employees and officers
     across the Federal Government by providing the President and
     agency heads with the discretion to consider, when making
     cash awards for outstanding performance, an employee's or
     officer's success in sharing information within the scope of
     the information sharing environment (ISE) described in
     Section 1016 of the Intelligence Reform and Terrorism
     Prevention Act of 2004 (6 U.S.C. 485). It also requires
     agency and department heads to adopt best

[[Page H8577]]

     practices to educate and motivate employees and officers to
     participate fully in that environment--through, among other
     things, promotions, other nonmonetary awards, and recognition
     for a job well done.
       The Conference substitute combines the House and Senate
     provisions, with modifications.
       The Conference concurs that creating these additional
     responsibilities for the heads of the intelligence components
     will institute a clearer relationship between the Under
     Secretary for Intelligence and Analysis and the intelligence
     components of the Department. Successful implementation of
     this section should result in a strengthened departmental
     intelligence capability allowing information and intelligence
     to be seamlessly fused into intelligence products that are
     truly National. It would integrate information obtained at
     America's land and maritime borders; from State and local
     governments; and including intelligence on ports, mass
     transit facilities, chemical plants, and other critical
     infrastructure. While the Department has taken many solid
     steps in this direction since the completion of the Second
     Stage Review in July 2005, the Conference believes that the
     Secretary must redouble efforts to better integrate the
     intelligence components of the Department internally.
       The Conference notes that one of the greatest challenges to
     establishing the ISE is conveying its importance to employees
     and officers across the Federal Government who are being
     asked to do something new and--in many cases--foreign to
     them. Incentives will motivate many such employees and
     officers to educate themselves about the guidelines,
     instructions, policies, procedures, and standards that are
     applicable to the ISE and how their particular agency or
     department is incorporating them into its culture. The
     Conference observes, however, that nothing in this section
     should be construed to prohibit an agency or department head,
     in consultation with the program manager of the ISE under
     section 1016 of the Intelligence Reform and Terrorism
     Prevention Act of 2004 (6 U.S.C. 485) (``ISE Program
     Manager''), from prescribing appropriate penalties for
     failing to participate fully in the ISE.
     Section 504. Information sharing
       There is no comparable House provision.
       Section 112 of the Senate bill amends section 1016 of the
     Intelligence Reform and Terrorism Prevention Act of 2004 by
     broadening the definition of ``terrorism information'' to
     include both homeland security information and weapons of
     mass destruction information and by defining ``weapons of
     mass destruction information.'' Senate Section 112 likewise
     eliminates the temporary terms of both the ISE Program
     Manager and the Information Sharing Council, set to expire in
     April 2007, and makes them permanent. Additionally, it
     enhances the ISE Program Manager's government-wide authority
     not only by clarifying the Program Manager's existing
     authority over the information sharing activities of Federal
     agencies but also by establishing new authorities to (1)
     issue government-wide information sharing standards; (2)
     identify and resolve information sharing disputes; and (3)
     identify to the Director of National Intelligence appropriate
     personnel from agencies represented on the Information
     Sharing Council for detail assignments to the Program Manager
     to support staffing needs. Senate Section 112 also authorizes
     up to 40 FTEs and $30,000,000 in each of the next two fiscal
     years to support the Program Manager. Finally, it requires
     the government to report on the feasibility of eliminating
     Originator Control markings, adopting an authorized use
     standard for information sharing, and using anonymized data
     to promote information sharing.
       The Conference substitute adopts the Senate provision, with
     modifications. Among other things, it excludes ``homeland
     security information'', as defined in Section 892(f) of the
     Homeland Security Act of 2002, from the definition of
     ``terrorism information''. The specialized missions of the
     Department create for it a unique role within the larger
     Intelligence Community that requires, among other things,
     specific information for preventing, interdicting, and
     disrupting terrorist activity and securing the homeland in
     the aftermath of a terrorist attack. Accordingly, the
     Conferees concur that ``homeland security information'' is
     sufficiently distinct from the more broadly defined
     ``terrorism information'' to merit keeping the definitions
     separate.
     Section 511. Department of Homeland Security State, Local,
         and Regional Fusion Center initiative
       Section 732 of the House bill directs the Secretary to
     establish a DHS State, Local, and Regional Fusion Center
     Initiative to coordinate the Department's intelligence
     efforts with State, local, and regional fusion centers;
     assist fusion centers with carrying out their homeland
     security duties; facilitate information sharing efforts
     between fusion centers and the Department; encourage
     nationwide and integrated information sharing among fusion
     centers themselves; and incorporate robust privacy and civil
     liberties safeguards and training into fusion center
     operations.
       Section 121 of the Senate bill contains comparable
     language.
       The Conference concurs that the DHS State, Local, and
     Regional Fusion Center Initiative is key to Federal
     information sharing efforts and must succeed in order for the
     Department to remain relevant in the blossoming State and
     local intelligence community. State, local, and regional
     fusion centers are being successfully established across the
     country by State and local law enforcement and intelligence
     agencies. The Conference agrees that the Department's Office
     of Intelligence and Analysis, which has a primary
     responsibility for sharing information with State, local, and
     regional officials, needs to play a stronger, more
     constructive role in assisting these centers and are pleased
     to see that the Department has begun doing so. However, the
     Department must act quickly, thoroughly, and cooperatively in
     order to provide the maximum amount of support for these
     centers.
       The Conference applauds the State, local, and regional
     efforts to make fusion centers a reality and the dedication
     of those who staff those centers. The Conference notes,
     however, that although fusion centers are led, operated, and
     otherwise run by States and localities, there is a need for a
     common baseline of operations at fusion centers in order to
     attain not only their full potential but also the full
     potential of the various initiatives undertaken in the
     Conference agreement. The Conference expects that the grant
     process established in the Conference substitute, the
     qualifying criteria for fusion centers wishing to participate
     in the DHS State, Local, and Regional Fusion Center
     Initiative, and the guidelines for fusion centers included in
     the Conference substitute will all help create a common
     baseline of operations for fusion centers that will ensure
     their success into the future.
       The Conference substitute adopts Section 121 of the Senate
     bill, with modifications, to reflect the key functionalities
     and priorities of the Border Intelligence Fusion Center
     Program established in Section 712 of the House bill. That
     Program was designed to provide the Department with a more
     robust ``border intelligence'' capability--a capability
     essential to improving the Department's ability to interdict
     terrorists, weapons of mass destruction, and related
     contraband at America's land and maritime borders. The
     Conference concurs that the Department can make better use of
     its resources, and obtain better situational awareness of
     terrorist threats at or involving those borders, by
     partnering more effectively with State, local, and tribal law
     enforcement officers in relevant jurisdictions. With better
     information sharing, those officers can act as ``force
     multipliers'' that may very well help prevent the next
     terrorist attack from abroad.
       The Conference believes that by deploying officers and
     intelligence analysts from United States Customs and Border
     Protection (CBP), United States Immigration and Customs
     Enforcement (ICE), and the Coast Guard to fusion centers
     participating in the Program, the Department can increase its
     capacity to create accurate, actionable, and timely border
     intelligence products aimed at this threat. In order to
     maximize their effectiveness, CBP, ICE, and Coast Guard
     officers and analysts creating border intelligence products
     should not only include the input of police and sheriffs'
     officers as part of their process, but also should ensure
     that those products actually respond to the needs of
     officers in the field as expressed by those officers. The
     Conference accordingly believes that the Department
     personnel assigned to fusion centers under this section
     should communicate with State, local, and tribal law
     enforcement officers not only at fusion centers but also
     in their actual communities where they are headquartered.
       While the Conference believes that the Department's effort
     at State, local, and regional fusion centers is a critical
     one that should be encouraged, they note that it is not the
     only such effort. The Federal Bureau of Investigation (FBI),
     for example, has had long-standing relationships with State,
     local, and tribal law enforcement and other emergency
     response providers through Joint Terrorism Task Forces
     (JTTFs) across the country and has established Field
     Intelligence Groups (FIGs) that are, in many case, colocated
     with the fusion centers. Those relationships have continued
     through the JTTFs, FIGs, and an established and growing FBI
     presence at many fusion centers. Nothing in this section
     should be construed to subordinate the role of the FBI to the
     Department's own efforts with the JTTFs and at fusion
     centers. On the contrary, it is the Conferees hope that the
     Department, the FBI, and other Federal agencies will
     coordinate as equal players at State, local, and regional
     fusion centers in order to form a united Federal partnership
     with their State and local counterparts on the front lines of
     the nation's homeland security efforts.
       Further, the Conference recognizes that the Coast Guard is
     establishing Interagency Operations Command Centers (IOCC's)
     pursuant to the SAFE Port Act and authorized under Section
     70107A of title 46, United States Code. IOCC's are being
     developed as model Federal centers to improve interagency
     cooperation, unity of command, and the sharing of
     intelligence information in a common mission to provide
     greater protection for port and intermodal transportation
     systems against acts of terrorism in the maritime domain.
     Nothing in this section should be construed to subordinate
     the role of the Coast Guard's efforts with the IOCC's.
       Finally, the Conference recognizes, consistent with the
     Fusion Center Guidelines produced jointly by the Department
     of Justice and DHS, the important role of the public safety
     component in the fusion process.

[[Page H8578]]

     Emergency response providers are able to provide valuable
     information to the overall intelligence picture; likewise,
     the fusion process may provide advance information that
     enables essential preparation measures to enable a more
     effective response. Therefore, while the Conference stresses
     that State and local governments must ultimately determine
     the mission, composition, operating procedures, and
     communication channels of fusion centers and the fusion
     process, they emphasize the inherent value in including
     emergency response providers within the governance structure
     making these determinations. Nothing in this section is
     intended to mandate that representatives of the emergency
     response provider community should be physically located in
     all fusion centers or that their mission should shift
     emphasis from the missions of the intelligence and law
     enforcement communities. Rather, the Conference intends that
     fusion center governing boards and the fusion process should
     be structured so as to enable the consideration of
     nontraditional information from emergency response providers
     in a collaborative environment.
     Section 512. Homeland Security Information Sharing Fellows
         Program
       Section 733 of the House bill directs the Secretary,
     through the Under Secretary for Intelligence and Analysis, to
     establish a fellowship program for State, local, and tribal
     officials to rotate into the Office of Intelligence and
     Analysis in order to identify for Department intelligence
     analysts the kinds of homeland security information that are
     of interest to State, local, and tribal law enforcement and
     other emergency response providers; assist Department
     intelligence analysts in writing intelligence reports in a
     shareable format that provides end users with accurate,
     actionable, and timely information without disclosing
     sensitive sources and methods; serve as a point of contact
     for State, local, and tribal law enforcement officers and
     other emergency response providers in the field who want to
     share information with the Department; and assist in the
     dissemination of homeland security information to appropriate
     end users.
       Section 122 of the Senate bill contains nearly identical
     language.
       The Conference substitute adopts the Senate's provision, as
     modified. The Conference concurs that implementation of this
     section will help break down the cultural barriers to
     information sharing by teaming State, local, and tribal
     homeland security and law enforcement officers with the
     Department intelligence analysts tasked with creating
     intelligence products for them. The Conference notes that
     this section will complement the DHS State, Local, and
     Regional Fusion Center Initiative by providing State, local,
     and tribal officials with better insight and input into the
     Department's information sharing operations and allowing them
     to play a greater role in the Department's information
     sharing effort.
     Section 513. Rural Policing Institute
       There is no comparable House provision.
       Section 123 of the Senate bill creates a ``Rural Policing
     Institute'' that is to be administered by the Federal Law
     Enforcement Training Center. The Institute would provide
     training for local and tribal law enforcement officers
     located in rural areas--defined as those areas not located
     within metropolitan statistical areas, as defined by the
     Office of Management and Budget--and would be tailored to law
     enforcement requirements that are unique to those areas.
     Section 123 would require the inclusion of several law
     enforcement topics in the curriculum, including
     methamphetamine addiction and distribution, domestic
     violence, and law enforcement response to school shootings.
     It likewise requires an assessment of these and other
     requirements and the development of a curriculum to address
     those requirements. Section 123 authorizes $10 million for
     Fiscal Year 2008 for the administration of the program and $5
     million for each of Fiscal Years 2009 through 2013.
       The Conference substitute adopts the Senate provision, with
     modifications. It broadens the Institute's focus to encompass
     not only law enforcement agencies but also other emergency
     response providers located in rural areas. Moreover, it
     deletes the references to training related to specific
     criminal offenses, and replaces them with training programs
     with a greater focus on homeland security in the areas of
     intelligence-led policing and protections for privacy, civil
     right, and civil liberties.
     Section 521. Interagency Threat Assessment and Coordination
         Group
       There is no comparable House provision.
       Section 131 of the Senate bill directs the Information
     Sharing Environment (ISE) Program Manager to oversee and
     coordinate the creation of an Interagency Threat Assessment
     and Coordination Group (ITACG) that has as its primary
     mission the production of Federally coordinated products
     derived from information within the scope of the ISE for
     distribution to State, local, and tribal government officials
     and the private sector. Section 131 of the Senate bill
     locates the ITACG at the National Counterterrorism Center
     (NCTC) and directs the Secretary to assign a senior level
     officer to manage and direct the administration of the ITACG;
     to determine how specific products should be distributed to
     end users; and to establish standards for the admission of
     law enforcement and intelligence officials from State, local,
     or tribal governments into the ITACG. Section 131 of the
     Senate bill further prescribes the membership of the ITACG--
     including State, local, and tribal law enforcement and
     intelligence officials--and directs the ISE Program Manager
     to establish criteria for the selection of those officials
     and for the proper handling and safeguarding of information
     related to terrorism.
       The Conference substitute adopts the Senate provision, with
     modifications. The Conference notes that the ITACG has roots
     in, among other places, the ISE Implementation Plan (the
     Plan) prepared by the ISE Program Manager in November 2006 to
     ensure the timely and effective production, integration,
     vetting, sanitization, and communication of terrorism
     information to the Federal Government's State, local, and
     tribal partners. The Plan explained that a ``primary purpose
     of the ITACG will be to ensure that classified and
     unclassified intelligence produced by Federal organizations
     within the intelligence, law enforcement, and homeland
     security communities is fused, validated, deconflicted, and
     approved for dissemination in a concise and, where possible,
     unclassified format'' to State, local, and tribal officials.
     The ISE Program Manager envisioned having the ITACG based at
     the NCTC and managed on a day-to-day basis by a senior
     Department official. The ISE Program Manager likewise
     envisioned that the Department and the Department of Justice
     would share the decision-making authority regarding how to
     disseminate various types of information to State, local, and
     tribal officials and the private sector.
       The Conference substitute bifurcates the ITACG into two
     distinct entities. The first entity, an ITACG Advisory
     Council chaired by the Secretary or the Secretary's designee,
     shall set policy and develop processes for the integration,
     analysis, and dissemination of Federally-coordinated
     information within the scope of the ISE, including homeland
     security information, terrorism information, and weapons of
     mass destruction information. The second entity, an ITACG
     Detail created by the Secretary and managed by a senior
     Department intelligence official, shall be comprised of
     State, local, and tribal homeland security and law
     enforcement officers detailed to work in the NCTC with NCTC
     and other Federal intelligence analysts. Participants in the
     ITACG Detail shall integrate, analyze, and assist the
     dissemination of the aforementioned information to
     appropriate State, local, tribal, and private sector end
     users.
       The Conference strongly believes that the ITACG presents
     the Department with a unique opportunity to realize its
     mission as the primary source of accurate, actionable, and
     timely homeland security information for its State, local,
     tribal and private sector partners that Congress had
     originally envisioned in the Homeland Security Act of 2002
     (6 U.S.C. 101). The Department should seize the moment.
     The ITACG will provide the Department and the wider
     Intelligence Community with an unmatched ability to
     identify information that is of interest and utility to
     those partners; produce reports which can be disseminated
     to them in an unclassified format or at the lowest
     possible classification level; and assist in the targeted
     dissemination of particular intelligence products to
     appropriate end users. By building upon the Department's
     customer service approach to information sharing,
     Department leadership of the ITACG will help the
     Department and other Federal agencies co-located at the
     NCTC to leverage their existing ties with their State,
     local, tribal, and private sector counterparts and
     ultimately invigorate the two-way flow of information with
     them that the 9/11 Commission identified as critical to
     making the homeland more secure.
       While the Secretary will play the primary role in
     establishing and maintaining the ITACG Detail and shall
     detail a senior intelligence official from the Department to
     manage its day-to-day activities, the Department is reminded
     that it is a guest in the NCTC. As direct reports to the
     Director of the NCTC, the senior intelligence official from
     the Department and the ITACG detailees themselves must comply
     with all policies, procedures, and rules applicable to other
     staff working in the NCTC--including any mandatory polygraph
     examination for NCTC staff. Neither the ITACG Advisory
     Council nor the ITACG Detail are in any way intended to
     impede, replicate, or supplant the analytic and/or production
     efforts of the NCTC, nor are they intended to duplicate,
     impede, or otherwise interfere with existing and established
     counterterrorism roles and responsibilities.
       With regard to the preparation, review, and dissemination
     of products from the ITACG Detail, it is the Conference's
     intent that those products be subject to the same policies,
     procedures, and rules applicable to NCTC products. Pursuant
     to 102A(f)(1)(B)(iii) and 119(f)(E) of the National Security
     Act of 1947 (50 U.S.C. 402 et seq.), it is the Conference's
     further intent that the Director should act as a gatekeeper
     when providing products prepared by the ITACG Detail to the
     Department, the Department of Justice, and other appropriate
     agencies for dissemination to State, local, tribal, and
     private sector end users. Nothing in this section should be
     construed to mean that the Director may distribute products
     prepared by the ITACG Detail directly to those end users.
       Finally, the Conference agrees that the privacy and civil
     liberties impact assessment required under this section shall
     specifically address how the ITACG will incorporate the
     Guidelines to Implement Information Privacy Rights and other
     Legal Protections in

[[Page H8579]]

     the Development and Use of the Information Sharing
     Environment released by the President on November 22, 2006
     (Presidential Guidelines) to protect privacy rights and civil
     liberties.
     Section 531. Office of Intelligence and Analysis and Office
         of Infrastructure Protection
       The Homeland Security Act of 2002 (6 U.S.C. 101) created an
     Under Secretary for Information Analysis, assisted by an
     Assistant Secretary for Information and Analysis and an
     Assistant Secretary for Infrastructure Protection, and
     specified the Under Secretary's primary responsibilities.
     These include: (1) receiving and analyzing law enforcement
     information, intelligence, and other lawfully obtained
     information in order to understand the nature and scope of
     the terrorist threat to the United States homeland; (2)
     integrating relevant information to produce and disseminate
     infrastructure vulnerabilities assessments; (3) analyzing
     that information to identify and prioritize the types of
     protective measures to be taken; (4) making recommendations
     for information sharing and developing a national plan that
     would outline recommendations to improve the security of key
     resources; (5) administering the Homeland Security Advisory
     System; (6) exercising primary responsibility for public
     threat advisory and providing specific warning information to
     State and local governments and the private sector, as well
     as advice about appropriate protective actions and
     countermeasures; (7) making recommendations for improvements
     in the policies and procedures governing the sharing of law
     enforcement, intelligence, and other information relating to
     homeland security within the Federal government and between
     the Federal government and State and local governments.
       Following the completion of the Department's Second Stage
     Review in July of 2005, the Secretary renamed the Office of
     Information Analysis the ``Office of Intelligence and
     Analysis'' and gave it responsibilities in addition to those
     outlined in the Homeland Security Act. In addition to its
     statutory duties, one of the major responsibilities for the
     new Office of Intelligence and Analysis is to serve as the
     Chief Intelligence Office of the Department--taking
     responsibility for leading the intelligence components of the
     Department.
       Sections 741 and 743 of the House bill reflect these
     changes by statutorily reorganizing the Directorate for
     Information Analysis and Infrastructure Protection by doing
     away with the Directorate and the Under Secretary for
     Information Analysis and Infrastructure Protection position
     and officially establishing in its place a separate Office of
     Intelligence and Analysis, elevating the Assistant Secretary
     for Information and Analysis to an Under Secretary for
     Intelligence and Analysis as its head; and a separate Office
     of Infrastructure Protection, headed by the Assistant
     Secretary for Infrastructure Protection. Sections 741 and 743
     of the House bill likewise divide the responsibilities of the
     former Under Secretary for Information Analysis and
     Infrastructure Protection outlined in Section 201(d) of the
     Homeland Security Act between the new Under Secretary for
     Intelligence and Analysis and new Assistant Secretary for
     Infrastructure Protection. Section 741 in the House bill also
     adds several new responsibilities for the Under Secretary for
     Intelligence and Analysis.
       There is no comparable Senate provision.
       The Conference substitute adopts the House provisions, with
     substantial modifications. While the Conference agrees with
     the Department's consolidation of the duties of the Office of
     Intelligence and Analysis, they also believe that the powers
     of the Department's Chief Intelligence Officer can only be
     effectively wielded by an Under Secretary. Therefore, this
     section amends the Homeland Security Act of 2002 (6 U.S.C.
     101) to restructure the Department to reflect the changes
     wrought by the Second Stage Review by elevating the Assistant
     Secretary for Information Analysis to Under Secretary for
     Intelligence and Analysis and by officially establishing an
     Office of Intelligence and Analysis and an Office of
     Infrastructure Protection.
       The Conference substitute retains those authorities from
     Section 201(d) of the Homeland Security Act in the Secretary
     for delegation to the appropriate officials. Those
     authorities include a new authority in the Conference
     agreement, to be carried out most likely by the Under
     Secretary for Intelligence and Analysis: the provision of
     guidance to the heads of intelligence components on
     developing budgets, and the presentation of recommendations
     for a consolidated intelligence budget to the Secretary.
       Finally, the Conference substitute establishes an
     additional Under Secretary responsible for overseeing
     critical infrastructure protection, cybersecurity, and other
     related programs of the Department.


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