(ii) in subparagraph (C), by striking 
‘‘Border and Transportation Security’’ and 
inserting ‘‘Policy’’; 
(9) in section 443, by striking ‘‘The Under Sec-
retary for Border and Transportation Security’’ and 
inserting ‘‘Subject to the direction and control of the 
Secretary, the Deputy Secretary’’; 
(10) in section 444, by striking ‘‘The Under 
Secretary for Border and Transportation Security’’ 
and inserting ‘‘Subject to the direction and control 
of the Secretary, the Deputy Secretary’’; 
(11) in section 472(e), by striking ‘‘or the 
Under Secretary for Border and Transportation Se-
curity’’; and 
(12) in section 878(e), by striking ‘‘the Direc-
torate of Border and Transportation Security’’ and 
inserting ‘‘United States Customs and Border Pro-
tection, Immigration and Customs Enforcement’’. 
(d) CLERICAL AMENDMENTS.—The table of contents 
in section 1(b) of such Act is amended—
(1) by striking the item relating to title IV and 
inserting the following:
‘‘TITLE IV—DIRECTORATE FOR POLICY’’;
and 
(2) by striking the items relating to subtitle A 
of title IV and inserting the following:
‘‘Subtitle A—Under Secretary for Policy 
‘‘Sec. 401. Directorate for Policy.’’.
SEC. 202. DIRECT LINE AUTHORITY FOR CHIEF OPERATING 
OFFICERS. 
(a) IN GENERAL.—Title VII of the Homeland Secu-
rity Act of 2002 (6 U.S.C. 341 et seq.) is amended by 
adding at the end the following new section: 
‘‘SEC. 707. CHIEF OPERATING OFFICERS. 
‘‘(a) IN GENERAL.—The Chief Operating Officers of 
the Department include the following officials of the De-
partment: 
‘‘(1) The Chief Financial Officer. 
‘‘(2) The Chief Procurement Officer. 
‘‘(3) The Chief Information Officer. 
‘‘(4) The Chief Human Capital Officer. 
‘‘(5) The Chief Administrative Officer. 
‘‘(6) The Chief Security Officer. 
‘‘(b) COORDINATION.—The Secretary shall direct the 
Chief Operating Officer of each component agency to co-
ordinate with that Officer’s respective Chief Operating Of-
ficer of the Department to ensure that the component 
agency adheres to Government-wide laws, rules, regula-
tions, and policies to which the Department is subject and 
which the Chief Operating Officer is responsible for imple-
menting.
‘‘(c) COORDINATION WITH HEADS OF COMPONENT 
AGENCIES.—In coordinating with a Chief Operating Offi-
cer of the Department as required under subsection (b), 
a Chief Operating Officer of a component agency shall co-
ordinate with the head of that component agency.’’. 
(b) CLERICAL AMENDMENT.—The table of contents 
in section 1(b) of such Act is amended by inserting after 
the item relating to section 706 the following:
‘‘Sec. 707. Chief Operating Officers.’’.
SEC. 203. COMPREHENSIVE HOMELAND SECURITY REVIEW. 
(a) COMPREHENSIVE HOMELAND SECURITY RE-
VIEW.—Subtitle A of title IV of the Homeland Security 
Act of 2002 is further amended by adding at the end the 
following: 
‘‘SEC. 402. COMPREHENSIVE HOMELAND SECURITY RE-
VIEW. 
‘‘(a) REQUIREMENT TO CONDUCT REVIEWS.—The 
Secretary, acting through the Under Secretary for Policy, 
shall conduct a comprehensive examination of the Depart-
ment, to be known as the Comprehensive Homeland Secu-
rity Review. The Secretary shall conduct the first such re-
view in fiscal year 2009, and shall conduct a subsequent 
review in the first fiscal year in which there begins the 
first presidential term of a new presidential administra-
tion.
‘‘(b) PURPOSE OF REVIEW.—In each Comprehensive 
Homeland Security Review, the Secretary shall—
‘‘(1) include a Department of Homeland Secu-
rity Strategy that is consistent with the most recent 
National Strategy for Homeland Security prescribed 
by the President; 
‘‘(2) define sufficient personnel and appropriate 
organizational structure and other requirements nec-
essary for the successful execution of the full range 
of missions called for in the Department of Home-
land Security Strategy; and 
‘‘(3) identify a budget plan, acquisition strat-
egy, procurement process, and any other resources, 
that are necessary to provide sufficient resources for 
the successful execution of the full range of missions 
called for in the Department of Homeland Security 
Strategy. 
‘‘(c) CONDUCT OF REVIEW.—
‘‘(1) CONSULTATION
REQUIRED.—The Sec-
retary shall conduct each review required under sub-
section (a) in consultation with key officials of the 
Department, including the Assistant Secretary of the 
Transportation Security Administration, the Com-
missioner of United States Customs and Border 
Protection, the Director of United States Citizenship
and Immigration Services, the Assistant Secretary 
for Immigration and Customs Enforcement, the Di-
rector of the United States Secret Service, the Ad-
ministrator of the Federal Emergency Management 
Agency, the Director of the Federal Law Enforce-
ment Training Center, and the Commandant of the 
Coast Guard. 
‘‘(2) RELATIONSHIP
WITH
FUTURE
YEARS 
HOMELAND
SECURITY
PROGRAM.—The Secretary 
shall ensure that each review conducted under this 
section is consistent with the Future Years Home-
land Security Program required under section 874. 
‘‘(d) REPORT TO CONGRESS AND THE PRESIDENT.—
‘‘(1) REPORT.—The Secretary shall submit to 
the Committee on Homeland Security and the Com-
mittee on Transportation and Infrastructure of the 
House of Representatives, to the Committee on 
Homeland Security and Governmental Affairs of the 
Senate, and to the President a report on each Com-
prehensive Homeland Security Review. Each such 
report shall be submitted during the fiscal year fol-
lowing the fiscal year in which the review is con-
ducted, but not later than the date on which the 
President submits to Congress the budget under sec-
tion 1105(a) of title 31, United States Code, for the
fiscal year following the fiscal year in which the re-
port is to be submitted. 
‘‘(2) CONTENTS.—Each such report shall in-
clude the following, with a focus on reducing and 
managing risk and in preparing for, mitigating 
against, responding to, and recovering from terrorist 
attacks, major disasters, and other emergencies: 
‘‘(A) A comprehensive assessment of the 
level of alignment between the Department of 
Homeland Security Strategy and the human re-
sources, infrastructure, assets, and organiza-
tional structure of the Department. 
‘‘(B) An explanation of any and all under-
lying assumptions used in conducting the Re-
view. 
‘‘(C) The human resources requirements 
and response capabilities of the Department as 
they relate to the risks of terrorist attacks, 
major disasters, and other emergencies. 
‘‘(D) The strategic and tactical air, border 
sea, and land capabilities and requirements to 
support the Department of Homeland Security 
Strategy. 
‘‘(E) The nature and appropriateness of 
homeland security operational capabilities, in-
cluding operational scientific and technical re-
sources and capabilities and the anticipated ef-
fects on the human resources capabilities, costs, 
efficiencies, resources, and planning of the De-
partment of any technology or operational capa-
bilities anticipated to be available during the 
years subsequent to the Review. 
‘‘(F) Any other matter the Secretary con-
siders appropriate to include in the Review. 
‘‘(3) DEADLINE
FOR
INITIAL
REPORT.—Not-
withstanding paragraph (1), the Secretary shall sub-
mit the first Report required under subsection (a) 
not later than September 30, 2010. 
‘‘(e) PREPARATIONS FOR FISCAL YEAR 2008 RE-
VIEW.—In fiscal year 2008, the Under Secretary for Pol-
icy shall make all preparations for the conduct of the first 
Comprehensive Homeland Security Review in fiscal year 
2009, including—
‘‘(1) determining the tasks to be performed; 
‘‘(2) estimating the human, financial, and other 
resources required to perform each task; 
‘‘(3) establishing the schedule for the execution 
of all project tasks; 
‘‘(4) ensuring that these resources will be avail-
able as needed; and
‘‘(5) all other preparations considered necessary 
by the Under Secretary.’’. 
(b) CLERICAL AMENDMENT.—The table of contents 
in section 1(b) of such Act is amended by inserting after 
the item relating to section 401 the following:
‘‘Sec. 402. Comprehensive Homeland Security Review.’’.
SEC. 204. QUALIFICATIONS FOR THE UNDER SECRETARY 
FOR MANAGEMENT. 
(a) QUALIFICATIONS.—Section 701 of the Homeland 
Security Act of 2002 (6 U.S.C. 341) is amended by adding 
at the end the following: 
‘‘(c) QUALIFICATIONS.—The Under Secretary for 
Management shall have all of the following qualifications: 
‘‘(1) Extensive executive level leadership and 
management experience in the public or private sec-
tor. 
‘‘(2) Strong leadership skills. 
‘‘(3) A demonstrated ability to manage large 
and complex organizations. 
‘‘(4) A proven record of achieving positive oper-
ational results.’’. 
(b) DEADLINE FOR APPOINTMENT; INCUMBENT.—
Not later than 90 days after the date of the enactment 
of this Act, the Secretary of Homeland Security shall 
name an individual who meets the qualifications of section 
701 of the Homeland Security Act (6 U.S.C. 341), as
amended by subsection (a), to serve as the Under Sec-
retary for Management. The Secretary may submit the 
name of the individual who serves in the position of Under 
Secretary for Management of the Department of Home-
land Security on the date of enactment of this Act to-
gether with a statement the informs the Congress that the 
individual meets the qualifications of such section as so 
amended. 
SEC. 205. SENSE OF CONGRESS REGARDING CONSOLIDA-
TION OF DEPARTMENT HEADQUARTERS. 
(a) FINDINGS.—Congress finds that—
(1) the Department of Homeland Security and 
its component headquarters facilities are currently 
scattered widely throughout the National Capital 
Region (NCR); 
(2) this geographic dispersal disrupts the De-
partment’s ability to operate in an efficient manner, 
and could impair its ability to prevent, deter, pre-
pare for, and respond to a terrorist attack, major 
disaster, or other emergencies; 
(3) the Government Accountability Office con-
tinues to list ‘‘Implementing and Transforming the 
Department of Homeland Security’’ on its ‘‘High 
Risk list’’;
(4) 
consolidating 
the 
Department’s 
head-
quarters and component facilities, to the greatest ex-
tent practicable, would be an important step in fa-
cilitating the transformation and integration of the 
Department; and 
(5) the President has provided funding for De-
partment consolidation in the fiscal year 2008 budg-
et, and has determined that the only site under the 
control of the Federal Government and in the NCR 
with the size, capacity, and security features to meet 
the Department of Homeland Security’s minimum 
consolidation needs as identified in the Department 
of Homeland Security NCR Housing Master Plan 
submitted to Congress on October 24, 2006, is the 
West Campus of St. Elizabeths Hospital in the Dis-
trict of Columbia. 
(b) SENSE OF CONGRESS.—It is the sense of Con-
gress that the consolidation of the Department and its key 
component headquarters on the West Campus of St. Eliza-
beths Hospital, to the maximum extent practicable con-
sistent with the Department’s Housing Plan as submitted 
to Congress in October 2006, should move forward as ex-
peditiously as possible with all the agencies involved in this 
effort bearing those costs for which they are responsible.
SEC. 206. REQUIRED BUDGET LINE ITEM FOR OFFICE OF 
COUNTERNARCOTICS ENFORCEMENT. 
In each fiscal year budget request for the Department 
of Homeland Security, the Secretary of Homeland Secu-
rity shall include a separate line item for the fiscal year 
for expenditures by the Office of Counternarcotics En-
forcement of the Department of Homeland Security. 
SEC. 
207. 
DESIGNATION 
OF 
OFFICE 
OF 
COUNTER-
NARCOTICS ENFORCEMENT AS PRIMARY DE-
PARTMENT COUNTERNARCOTICS ENFORCE-
MENT REPRESENTATIVE. 
Section 878(d)(5) of the Homeland Security Act of 
2002 (6 U.S.C. 458(d)(5)) is amended by striking ‘‘to be 
a representative’’ and inserting ‘‘to be the primary rep-
resentative’’. 
SEC. 208. GRANTING LINE AUTHORITY TO THE ASSISTANT 
SECRETARY FOR LEGISLATIVE AFFAIRS. 
Section 701 of the Homeland Security Act of 2002 
(6 U.S.C. 341) is further amended by adding at the end 
the following: 
‘‘(d) AUTHORITY
OF ASSISTANT SECRETARY
FOR 
LEGISLATIVE AFFAIRS OVER DEPARTMENTAL COUNTER-
PARTS.—The Secretary for the Department shall ensure 
that the Assistant Secretary for Legislative Affairs has 
adequate authority or the Assistant Secretary’s respective 
counterparts in component agencies of the Department to
ensure that such component agencies adhere to the laws, 
rules, and regulations to which the Department is subject 
and the departmental policies that the Assistant Secretary 
for Legislative Affairs is responsible for implementing.’’. 
TITLE III—OVERSIGHT 
IMPROVEMENTS 
SEC. 301. SECURE BORDER INITIATIVE FINANCIAL AC-
COUNTABILITY. 
(a) IN GENERAL.—The Inspector General of the De-
partment of Homeland Security shall review each contract 
action related to the Department’s Secure Border Initia-
tive having a value greater than $20,000,000, to deter-
mine whether each such action fully complies with applica-
ble cost requirements, performance objectives, program 
milestones, inclusion of small, minority, and women-owned 
business, and timelines. The Inspector General shall com-
plete a review under this subsection with respect to a con-
tract action—
(1) not later than 60 days after the date of the 
initiation of the action; and 
(2) upon the conclusion of the performance of 
the contract. 
(b) REPORT BY INSPECTOR GENERAL.—Upon com-
pletion of each review required under subsection (a), the 
Inspector General shall submit to the Secretary of Home-
land Security a report containing the findings of the re-
view, including findings regarding any cost overruns, sig-
nificant delays in contract execution, lack of rigorous de-
partmental contract management, insufficient depart-
mental financial oversight, bundling that limits the ability 
of small business to compete, or other high risk business 
practices. 
(c) REPORT BY SECRETARY.—Not later than 30 days 
after the receipt of each report required under subsection 
(b), the Secretary of Homeland Security shall submit to 
the Committee on Homeland Security and the Committee 
on Oversight and Government Reform of the House of 
Representatives and the Committee on Homeland Security 
and Governmental Affairs of the Senate a report on the 
findings of the report by the Inspector General and the 
steps the Secretary has taken, or plans to take, to address 
the findings in such report. 
(d) AUTHORIZATION
OF APPROPRIATIONS.—There 
are authorized to be appropriated for the Office of the In-
spector General of the Department of Homeland Security 
to carry out enhanced oversight of the Secure Border Ini-
tiative—
(1) for fiscal year 2008, of the amount author-
ized by section 101 and in addition to the amount 
authorized by section 303, $5,500,000;