In the Senate of the United States, 

September 27, 2010. 

Resolved, That the bill from the House of Representatives (H.R. 553) entitled ‘‘An Act to require the Secretary of 

Homeland Security to develop a strategy to prevent the overclassification of homeland security and other information and 

to promote the sharing of unclassified homeland security and 

other information, and for other purposes.’’, do pass with the 

following 

AMENDMENT: 

In lieu of the matter proposed to be inserted, insert 

the following: 

1 SECTION 1. SHORT TITLE. 

2 This Act may be cited as the ‘‘Reducing Over-Classi3 fication Act’’. 

4 SEC. 2. FINDINGS. 

5 Congress finds the following: 

6 (1) The National Commission on Terrorist At7 tacks Upon the United States (commonly known as 

8 the ‘‘9/11 Commission’’) concluded that security re-
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1 quirements nurture over-classification and excessive 

2 compartmentation of information among agencies. 

3 (2) The 9/11 Commission and others have ob4 served that the over-classification of information 

5 interferes with accurate, actionable, and timely infor6 mation sharing, increases the cost of information se7 curity, and needlessly limits stakeholder and public 

8 access to information. 

9 (3) Over-classification of information causes con10 siderable confusion regarding what information may 

11 be shared with whom, and negatively affects the dis12 semination of information within the Federal Govern13 ment and with State, local, and tribal entities, and 

14 with the private sector. 

15 (4) Over-classification of information is antithet16 ical to the creation and operation of the information 

17 sharing environment established under section 1016 of 

18 the Intelligence Reform and Terrorism Prevention Act 

19 of 2004 (6 U.S.C. 485). 

20 (5) Federal departments or agencies authorized 

21 to make original classification decisions or that per22 form derivative classification of information are re23 sponsible for developing, implementing, and admin24 istering policies, procedures, and programs that pro25 mote compliance with applicable laws, executive or-
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1 ders, and other authorities pertaining to the proper 

2 use of classification markings and the policies of the 

3 National Archives and Records Administration. 

4 SEC. 3. DEFINITIONS. 

5 In this Act: 

6 (1) DERIVATIVE CLASSIFICATION AND ORIGINAL

7 CLASSIFICATION.—The terms ‘‘derivative classifica8 tion’’ and ‘‘original classification’’ have the meanings 

9 given those terms in Executive Order No. 13526. 

10 (2) EXECUTIVE AGENCY.—The term ‘‘Executive 

11 agency’’ has the meaning given that term in section 

12 105 of title 5, United States Code. 

13 (3) EXECUTIVE ORDER NO. 13526.—The term 

14 ‘‘Executive Order No. 13526’’ means Executive Order 

15 No. 13526 (75 Fed. Reg. 707; relating to classified 

16 national security information) or any subsequent cor17 responding executive order. 

18 SEC. 4. CLASSIFIED INFORMATION ADVISORY OFFICER. 

19 (a) IN GENERAL.—Subtitle A of title II of the Home20 land Security Act of 2002 (6 U.S.C. 121 et seq.) is amended 

21 by adding at the end the following: 

22 ‘‘SEC. 210F. CLASSIFIED INFORMATION ADVISORY OFFICER. 

23 ‘‘(a) REQUIREMENT TO ESTABLISH.—The Secretary 

24 shall identify and designate within the Department a Clas-
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† HR 553 EAS 

1 sified Information Advisory Officer, as described in this sec2 tion. 

3 ‘‘(b) RESPONSIBILITIES.—The responsibilities of the 

4 Classified Information Advisory Officer shall be as follows: 

5 ‘‘(1) To develop and disseminate educational 

6 materials and to develop and administer training 

7 programs to assist State, local, and tribal govern8 ments (including State, local, and tribal law enforce9 ment agencies) and private sector entities— 

10 ‘‘(A) in developing plans and policies to re11 spond to requests related to classified informa12 tion without communicating such information to 

13 individuals who lack appropriate security clear14 ances; 

15 ‘‘(B) regarding the appropriate procedures 

16 for challenging classification designations of in17 formation received by personnel of such entities; 

18 and 

19 ‘‘(C) on the means by which such personnel 

20 may apply for security clearances. 

21 ‘‘(2) To inform the Under Secretary for Intel22 ligence and Analysis on policies and procedures that 

23 could facilitate the sharing of classified information 

24 with such personnel, as appropriate. 
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† HR 553 EAS 

1 ‘‘(c) INITIAL DESIGNATION.—Not later than 90 days 

2 after the date of the enactment of the Reducing Over-Classi3 fication Act, the Secretary shall— 

4 ‘‘(1) designate the initial Classified Information 

5 Advisory Officer; and 

6 ‘‘(2) submit to the Committee on Homeland Se7 curity and Governmental Affairs of the Senate and 

8 the Committee on Homeland Security of the House of 

9 Representatives a written notification of the designa10 tion.’’. 

11 (b) CLERICAL AMENDMENT.—The table of contents in 

12 section 1(b) of the Homeland Security Act of 2002 (6 U.S.C. 

13 101 et seq.) is amended by inserting after the item relating 

14 to section 210E the following: 

‘‘Sec. 210F. Classified Information Advisory Officer.’’. 

15 SEC. 5. INTELLIGENCE INFORMATION SHARING. 

16 (a) DEVELOPMENT OF GUIDANCE FOR INTELLIGENCE

17 PRODUCTS.—Paragraph (1) of section 102A(g) of the Na18 tional Security Act of 1947 (50 U.S.C. 403–1(g)) is amend19 ed— 

20 (1) in subparagraph (E), by striking ‘‘and’’ at 

21 the end; 

22 (2) in subparagraph (F), by striking the period 

23 at the end and inserting a semicolon and ‘‘and’’; and 

24 (3) by adding at the end the following: 
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† HR 553 EAS 

1 ‘‘(G) in accordance with Executive Order 

2 No. 13526 (75 Fed. Reg. 707; relating to classi3 fied national security information) (or any sub4 sequent corresponding executive order), and part 

5 2001 of title 32, Code of Federal Regulations (or 

6 any subsequent corresponding regulation), estab7 lish— 

8 ‘‘(i) guidance to standardize, in appro9 priate cases, the formats for classified and 

10 unclassified intelligence products created by 

11 elements of the intelligence community for 

12 purposes of promoting the sharing of intel13 ligence products; and 

14 ‘‘(ii) policies and procedures requiring 

15 the increased use, in appropriate cases, and 

16 including portion markings, of the classi17 fication of portions of information within 

18 one intelligence product.’’. 

19 (b) CREATION OF UNCLASSIFIED INTELLIGENCE

20 PRODUCTS AS APPROPRIATE FOR STATE, LOCAL, TRIBAL, 

21 AND PRIVATE SECTOR STAKEHOLDERS.— 

22 (1) RESPONSIBILITIES OF SECRETARY RELATING

23 TO INTELLIGENCE AND ANALYSIS AND INFRASTRUC24 TURE PROTECTION.—Paragraph (3) of section 201(d) 
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† HR 553 EAS 

1 of the Homeland Security Act of 2002 (6 U.S.C. 

2 121(d)) is amended to read as follows: 

3 ‘‘(3) To integrate relevant information, analysis, 

4 and vulnerability assessments (regardless of whether 

5 such information, analysis or assessments are pro6 vided by or produced by the Department) in order 

7 to— 

8 ‘‘(A) identify priorities for protective and 

9 support measures regarding terrorist and other 

10 threats to homeland security by the Department, 

11 other agencies of the Federal Government, State, 

12 and local government agencies and authorities, 

13 the private sector, and other entities; and 

14 ‘‘(B) prepare finished intelligence and in15 formation products in both classified and unclas16 sified formats, as appropriate, whenever reason17 ably expected to be of benefit to a State, local, or 

18 tribal government (including a State, local, or 

19 tribal law enforcement agency) or a private sec20 tor entity.’’. 

21 (2) ITACG DETAIL.—Section 210D(d) of the 

22 Homeland Security Act of 2002 (6 U.S.C. 124k(d)) is 

23 amended— 

24 (A) in paragraph (5)— 
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† HR 553 EAS 

1 (i) in subparagraph (D), by striking 

2 ‘‘and’’ at the end; 

3 (ii) by redesignating subparagraph (E) 

4 as subparagraph (F); and 

5 (iii) by inserting after subparagraph 

6 (D) the following: 

7 ‘‘(E) make recommendations, as appro8 priate, to the Secretary or the Secretary’s des9 ignee, for the further dissemination of intel10 ligence products that could likely inform or im11 prove the security of a State, local, or tribal gov12 ernment, (including a State, local, or tribal law 

13 enforcement agency) or a private sector entity; 

14 and’’; 

15 (B) in paragraph (6)(C), by striking ‘‘and’’ 

16 at the end; 

17 (C) in paragraph (7), by striking the period 

18 at the end and inserting a semicolon and ‘‘and’’; 

19 and 

20 (D) by adding at the end the following: 

21 ‘‘(8) compile an annual assessment of the ITACG 

22 Detail’s performance, including summaries of cus23 tomer feedback, in preparing, disseminating, and re24 questing the dissemination of intelligence products in25 tended for State, local and tribal government (includ-
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† HR 553 EAS 

1 ing State, local, and tribal law enforcement agencies) 

2 and private sector entities; and 

3 ‘‘(9) provide the assessment developed pursuant 

4 to paragraph (8) to the program manager for use in 

5 the annual reports required by subsection (c)(2).’’. 

6 (c) INTERAGENCY THREAT ASSESSMENT AND COORDI7 NATION GROUP ANNUAL REPORT MODIFICATION.—Sub8 section (c) of section 210D of the Homeland Security Act 

9 of 2002 (6 U.S.C. 124k) is amended— 

10 (1) in the matter preceding paragraph (1), by 

11 striking ‘‘, in consultation with the Information 

12 Sharing Council,’’; 

13 (2) in paragraph (1), by striking ‘‘and’’ at the 

14 end; 

15 (3) in paragraph (2), by striking the period at 

16 the end and inserting a semicolon and ‘‘and’’; and 

17 (4) by adding at the end the following: 

18 ‘‘(3) in each report required by paragraph (2) 

19 submitted after the date of the enactment of the Re20 ducing Over-Classification Act, include an assessment 

21 of whether the detailees under subsection (d)(5) have 

22 appropriate access to all relevant information, as re23 quired by subsection (g)(2)(C).’’. 
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† HR 553 EAS 

1 SEC. 6. PROMOTION OF ACCURATE CLASSIFICATION OF IN2 FORMATION. 

3 (a) INCENTIVES FOR ACCURATE CLASSIFICATIONS.— 

4 In making cash awards under chapter 45 of title 5, United 

5 States Code, the President or the head of an Executive agen6 cy with an officer or employee who is authorized to make 

7 original classification decisions or derivative classification 

8 decisions may consider such officer’s or employee’s con9 sistent and proper classification of information. 

10 (b) INSPECTOR GENERAL EVALUATIONS.— 

11 (1) REQUIREMENT FOR EVALUATIONS.—Not later 

12 than September 30, 2016, the inspector general of 

13 each department or agency of the United States with 

14 an officer or employee who is authorized to make 

15 original classifications, in consultation with the In16 formation Security Oversight Office, shall carry out 

17 no less than two evaluations of that department or 

18 agency or a component of the department or agency— 

19 (A) to assess whether applicable classifica20 tion policies, procedures, rules, and regulations 

21 have been adopted, followed, and effectively ad22 ministered within such department, agency, or 

23 component; and 

24 (B) to identify policies, procedures, rules, 

25 regulations, or management practices that may 

26 be contributing to persistent misclassification of 
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1 material within such department, agency or 

2 component. 

3 (2) DEADLINES FOR EVALUATIONS.— 

4 (A) INITIAL EVALUATIONS.—Each first eval5 uation required by paragraph (1) shall be com6 pleted no later than September 30, 2013. 

7 (B) SECOND EVALUATIONS.—Each second 

8 evaluation required by paragraph (1) shall re9 view progress made pursuant to the results of the 

10 first evaluation and shall be completed no later 

11 than September 30, 2016. 

12 (3) REPORTS.— 

13 (A) REQUIREMENT.—Each inspector gen14 eral who is required to carry out an evaluation 

15 under paragraph (1) shall submit to the appro16 priate entities a report on each such evaluation. 

17 (B) CONTENT.—Each report submitted 

18 under subparagraph (A) shall include a descrip19 tion of— 

20 (i) the policies, procedures, rules, regu21 lations, or management practices, if any, 

22 identified by the inspector general under 

23 paragraph (1)(B); and 

24 (ii) the recommendations, if any, of the 

25 inspector general to address any such iden-
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1 tified policies, procedures, rules, regulations, 

2 or management practices. 

3 (C) COORDINATION.—The inspectors general 

4 who are required to carry out evaluations under 

5 paragraph (1) shall coordinate with each other 

6 and with the Information Security Oversight Of7 fice to ensure that evaluations follow a consistent 

8 methodology, as appropriate, that allows for 

9 cross-agency comparisons. 

10 (4) APPROPRIATE ENTITIES DEFINED.—In this 

11 subsection, the term ‘‘appropriate entities’’ means— 

12 (A) the Committee on Homeland Security 

13 and Governmental Affairs and the Select Com14 mittee on Intelligence of the Senate; 

15 (B) the Committee on Homeland Security, 

16 the Committee on Oversight and Government Re17 form, and the Permanent Select Committee on 

18 Intelligence of the House of Representatives; 

19 (C) any other committee of Congress with 

20 jurisdiction over a department or agency referred 

21 to in paragraph (1); 

22 (D) the head of a department or agency re23 ferred to in paragraph (1); and 

24 (E) the Director of the Information Secu25 rity Oversight Office. 
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† HR 553 EAS 

1 SEC. 7. CLASSIFICATION TRAINING PROGRAM. 

2 (a) IN GENERAL.—The head of each Executive agency, 

3 in accordance with Executive Order 13526, shall require 

4 annual training for each employee who has original classi5 fication authority. For employees who perform derivative 

6 classification, or are responsible for analysis, dissemina7 tion, preparation, production, receipt, publication, or other8 wise communication of classified information, training 

9 shall be provided at least every two years. Such training 

10 shall— 

11 (1) educate the employee, as appropriate, regard12 ing— 

13 (A) the guidance established under subpara14 graph (G) of section 102A(g)(1) of the National 

15 Security Act of 1947 (50 U.S.C. 403–1(g)(1)), as 

16 added by section 5(a)(3), regarding the for17 matting of finished intelligence products; 

18 (B) the proper use of classification mark19 ings, including portion markings that indicate 

20 the classification of portions of information; and 

21 (C) any incentives and penalties related to 

22 the proper classification of intelligence informa23 tion; and 

24 (2) ensure such training is a prerequisite, once 

25 completed successfully, as evidenced by an appro26 priate certificate or other record, for— 
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† HR 553 EAS 

1 (A) obtaining original classification author2 ity or derivatively classifying information; and 

3 (B) maintaining such authority. 

4 (b) RELATIONSHIP TO OTHER PROGRAMS.—The head 

5 of each Executive agency shall ensure that the training re6 quired by subsection (a) is conducted efficiently and in con7 junction with any other required security, intelligence, or 

8 other training programs to reduce the costs and administra9 tive burdens associated with carrying out the training re10 quired by subsection (a). 

Attest: 

Secretary. 

111TH CONGRESS 

2D SESSION H.R. 553 

AMENDMENT