Unsecured Server Act of 2016

To amend the Intelligence Reform and Terrorism Prevention Act of 2004 to ensure that individuals who are found to have stored classified information on unsecured servers are disqualified from receiving security clearances, and for other purposes. 1. Short title This Act may be cited as the Unsecured Server Act of 2016 2. Denial of the granting or renewing of security clearances (a) Disqualification (1) In general Paragraph (1) of subsection (c) of section 3002 of the Intelligence Reform and Terrorism Prevention Act of 2004 ( 50 U.S.C. 3343(c) (A) in subparagraph (B), by striking ; or (B) in subparagraph (C), by striking the period at the end and inserting ; or (C) by adding at the end the following new subparagraph: (D) as determined by the head of the Federal agency, knowingly stored classified information on, or transmitted classified information to or from, an unsecured server. . (2) Covered security clearances Such subsection is further amended— (A) by redesignating paragraph (4) as paragraph (5); (B) in paragraph (3), by striking This subsection Except as provided by paragraph (4), this subsection (C) by inserting after paragraph (3) the following new paragraph: (4) Additional covered security clearances With respect to a disqualification in this subsection by reason of paragraph (1)(D), this subsection applies to any security clearance. . (3) Modification to waiver authority Such subsection is further amended— (A) in paragraph (2), by inserting paragraph (5) and only in accordance with (B) in paragraph (5), as redesignated by paragraph (2)(A)— (i) by striking the paragraph heading and inserting Notice and wait (ii) by striking subparagraph (A) and inserting the following new subparagraph (A): (A) Notification A waiver may not be made under paragraph (2) until a 30-day period elapses following the date on which the head of the Federal agency proposing the waiver submits to the appropriate committees of Congress notification of the proposed waiver. Such notification shall not reveal the identity of the person covered by the waiver, but shall include the disqualifying factor under paragraph (1) and the reasons for the waiver of the disqualifying factor. ; and (iii) in subparagraph (B)(i), by striking a report submitted a notification made (4) Unsecured server defined Subsection (a) of such section is amended by adding at the end the following new paragraph: (5) Unsecured server The term unsecured server 50 U.S.C. 3003 . (5) Application The amendment made by paragraph (1)(C) shall apply with respect to an individual who, on or after the date that is 10 years before the date of the enactment of this Act, meets the condition described in paragraph (1)(D) of section 3002(c) of the Intelligence Reform and Terrorism Prevention Act of 2004 ( 50 U.S.C. 3343(c) (b) Grounds for revocation A determination made by the head of a Federal agency that an individual knowingly stored classified information on, or transmitted classified information to or from, an unsecured server (as defined in section 3002(a)(5) of the Intelligence Reform and Terrorism Prevention Act of 2004 ( 50 U.S.C. 3343(a)(5) 3. Unsecure storage or transmission of classified information Section 798 of title 18, United States Code, is amended by adding at the end the following: (e) Whoever knowingly stores classified information on, or transmits classified information to or from, an unsecured server (as that term is defined in section 3002(a)(5) of the Intelligence Reform and Terrorism Prevention Act of 2004), or causes the same to be so stored or transmitted, shall be fined under this title, imprisoned not more than 10 years, or both. .

Summary: Unsecured Server Act of 2016 This bill amends the Intelligence Reform and Terrorism Prevention Act of 2004 to prohibit federal agencies from granting or renewing security clearances to federal officers or employees, military members on active duty or in an active status, or federal contractors if an agency head determines that they have knowingly stored classified information on, or transmitted classified information to or from, an unsecured computer server that is not authorized by federal intelligence agencies. This prohibition applies retroactively to individuals who used an unsecured server during the 10-year period before enactment of this bill. Agencies may waive security clearance prohibitions to grant clearances to disqualified individuals, but only if the agency notifies Congress 30 days before the proposed waiver. The use of an unsecured server for classified information shall be grounds for revoking an individual's security clearance. The bill establishes a criminal penalty of a fine or imprisonment for up to 10 years for anyone who knowingly stores classified information on, or transmits classified information to or from, an unsecured server or who causes such information to be so stored or transmitted.