I 
110TH CONGRESS 
2D SESSION 
H. R. 5577 
To amend the Homeland Security Act of 2002 to extend, modify, and recodify 
the authority of the Secretary of Homeland Security to enhance security 
and protect against acts of terrorism against chemical facilities, and 
for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
MARCH 11, 2008 
Mr. THOMPSON of Mississippi (for himself, Ms. JACKSON-LEE of Texas, Mr. 
MARKEY, Ms. LORETTA SANCHEZ of California, Mr. DICKS, Ms. HAR-
MAN, Mr. DEFAZIO, Mrs. LOWEY, Ms. NORTON, Ms. ZOE LOFGREN of 
California, Mrs. CHRISTENSEN, Mr. ETHERIDGE, Mr. LANGEVIN, Mr. 
CUELLAR, Mr. CARNEY, Ms. CLARKE, Mr. AL GREEN of Texas, Mr. 
PERLMUTTER, and Mr. PASCRELL) introduced the following bill; which 
was referred to the Committee on Homeland Security, and in addition to 
the Committee on Energy and Commerce, for a period to be subsequently 
determined by the Speaker, in each case for consideration of such provi-
sions as fall within the jurisdiction of the committee concerned 
A BILL 
To amend the Homeland Security Act of 2002 to extend, 
modify, and recodify the authority of the Secretary of 
Homeland Security to enhance security and protect 
against acts of terrorism against chemical facilities, and 
for other purposes. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
VerDate Aug 31 2005 
03:47 Mar 12, 2008
Jkt 069200
PO 00000
Frm 00001
Fmt 6652
Sfmt 6201
E:\BILLS\H5577.IH
H5577
smartinez on PRODPC61 with BILLS
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Chemical Facility Anti- 
Terrorism Act of 2008’’. 
SEC. 2. FINDINGS AND PURPOSE. 
(a) FINDINGS.—Congress makes the following find-
ings: 
(1) The Nation’s chemical sector represents a 
target that terrorists could exploit to cause con-
sequences, including death, injury, or serious adverse 
effects to human health, the environment, critical in-
frastructure, national security, the national econ-
omy, and public welfare. 
(2) Chemical facilities that pose such potential 
consequences and that are vulnerable to terrorist at-
tacks must be protected. 
(3) The Secretary of Homeland Security has 
statutory authority pursuant to section 550 of the 
Department of Homeland Security Appropriations 
Act, 2007 (Public Law 109–295) to regulate the se-
curity practices at chemical facilities that are at sig-
nificant risk of being terrorist targets. 
(4) The Secretary of Homeland Security issued 
interim final regulations called the Chemical Facility 
Anti-Terrorism Standards (hereinafter referred to in 
this section as ‘‘CFATS’’), which became effective 
on June 8, 2007. 
VerDate Aug 31 2005 
03:47 Mar 12, 2008
Jkt 069200
PO 00000
Frm 00002
Fmt 6652
Sfmt 6201
E:\BILLS\H5577.IH
H5577
smartinez on PRODPC61 with BILLS
(5) Such regulations, which are in the process 
of being implemented by the Secretary, largely ad-
dress the concerns of Congress with respect to chem-
ical facility security. 
(6) However, under current law, the statutory 
authority of the Secretary of Homeland Security to 
regulate security practices at chemical facilities and 
the CFATS regulations will sunset in October of 
2009. 
(b) PURPOSE.—The purpose of this Act is to give 
permanent status to the CFATS regulations and to pro-
vide additional Congressional guidance for the future im-
plementation of such regulations. 
SEC. 3. SENSE OF CONGRESS. 
(a) SENSE OF CONGRESS WITH RESPECT TO CFATS 
REGULATIONS.—It is the sense of Congress that— 
(1) the Secretary of Homeland Security should 
develop and administer all requirements of this Act 
to extend and modify the regulations called the 
Chemical Facility Anti-Terrorism Standards (herein-
after referred to in this section as ‘‘CFATS’’), as in 
effect on the date of the enactment of this Act; and 
(2) in carrying out this Act, the Secretary 
should use such rules, regulations, or tools developed 
for purposes of the CFATS regulations as the Sec-
VerDate Aug 31 2005 
03:47 Mar 12, 2008
Jkt 069200
PO 00000
Frm 00003
Fmt 6652
Sfmt 6201
E:\BILLS\H5577.IH
H5577
smartinez on PRODPC61 with BILLS
retary determines are appropriate, including the list 
of chemicals of concern under Appendix A and the 
Top Screen tool used to determine which facilities 
are covered facilities under such regulations. 
(b) SENSE OF CONGRESS WITH RESPECT TO CHEM-
ICAL SECURITY.—It is the sense of Congress that— 
(1) the Secretary of Homeland Security should 
take a holistic approach to securing sources of 
chemicals against a terrorist attack, which should 
not only secure the physical facilities at which haz-
ardous chemicals are stored or manufactured, but 
should also secure the supply chain of such chemi-
cals; and 
(2) in keeping with the direction that Congress 
has previously issued to the Secretary to address 
various aspects of the supply of hazardous chemi-
cals, the Secretary should expediently exercise the 
Secretary’s existing authority to ensure that by fo-
cusing on chemicals at fixed-site facilities, risk is not 
transferred to other potential sources of such chemi-
cals. 
VerDate Aug 31 2005 
03:47 Mar 12, 2008
Jkt 069200
PO 00000
Frm 00004
Fmt 6652
Sfmt 6201
E:\BILLS\H5577.IH
H5577
smartinez on PRODPC61 with BILLS
SEC. 4. EXTENSION, MODIFICATION, AND RECODIFICATION 
OF AUTHORITY OF SECRETARY OF HOME-
LAND SECURITY TO REGULATE SECURITY 
PRACTICES AT CHEMICAL FACILITIES. 
(a) IN GENERAL.—The Homeland Security Act of 
2002 (6 U.S.C. 101 et seq.) is amended by adding at the 
end the following new title: 
‘‘TITLE XXI—REGULATION OF SE-
CURITY PRACTICES AT CHEM-
ICAL FACILITIES 
‘‘SEC. 2101. DEFINITIONS. 
‘‘In this title, the following definitions apply: 
‘‘(1) The term ‘chemical facility’ means any fa-
cility— 
‘‘(A) at which a chemical is or may be 
used, stored, manufactured, processed or dis-
tributed; and 
‘‘(B) for which the Secretary requires the 
owner or operator of the chemical facility to 
submit 
information 
pursuant 
to 
section 
2102(b)(2). 
‘‘(2) The term ‘chemical facility security per-
formance standard’ means a risk-based standard es-
tablished by the Secretary to ensure or enhance the 
security of a chemical facility against a chemical fa-
cility terrorist incident that is designed to address— 
VerDate Aug 31 2005 
03:47 Mar 12, 2008
Jkt 069200
PO 00000
Frm 00005
Fmt 6652
Sfmt 6201
E:\BILLS\H5577.IH
H5577
smartinez on PRODPC61 with BILLS
‘‘(A) restricting the area perimeter; 
‘‘(B) securing site assets; 
‘‘(C) screening and controlling access to 
the facility and to restricted areas within the 
facility by screening or inspecting individuals 
and vehicles as they enter, including— 
‘‘(i) measures to deter the unauthor-
ized introduction of dangerous substances 
and devices that may facilitate a chemical 
facility terrorist incident or actions having 
serious negative consequences for the pop-
ulation surrounding the chemical facility; 
and 
‘‘(ii) measures implementing a regu-
larly updated identification system that 
checks the identification of chemical facil-
ity personnel and other persons seeking ac-
cess to the chemical facility and that dis-
courages abuse through established dis-
ciplinary measures; 
‘‘(D) methods to deter, detect, and delay a 
chemical facility terrorist incident, creating suf-
ficient time between detection of a chemical fa-
cility terrorist incident and the point at which 
VerDate Aug 31 2005 
03:47 Mar 12, 2008
Jkt 069200
PO 00000
Frm 00006
Fmt 6652
Sfmt 6201
E:\BILLS\H5577.IH
H5577
smartinez on PRODPC61 with BILLS
the chemical facility terrorist incident becomes 
successful, including measures to— 
‘‘(i) deter vehicles from penetrating 
the chemical facility perimeter, gaining un-
authorized access to restricted areas, or 
otherwise presenting a hazard to poten-
tially critical targets; 
‘‘(ii) deter chemical facility terrorist 
incidents through visible, professional, well- 
maintained security measures and systems, 
including security personnel, detection sys-
tems, barriers and barricades, and hard-
ened or reduced value targets; 
‘‘(iii) detect chemical facility terrorist 
incidents at early stages through counter 
surveillance, frustration of opportunity to 
observe potential targets, surveillance and 
sensing systems, and barriers and barri-
cades; and 
‘‘(iv) delay a chemical facility terrorist 
incident for a sufficient period of time so 
as to allow appropriate response through 
on-site security response, barriers and bar-
ricades, hardened targets, and well-coordi-
nated response planning; 
VerDate Aug 31 2005 
03:47 Mar 12, 2008
Jkt 069200
PO 00000
Frm 00007
Fmt 6652
Sfmt 6201
E:\BILLS\H5577.IH
H5577
smartinez on PRODPC61 with BILLS
‘‘(E) securing and monitoring the shipping, 
receipt, and storage of a substance of concern 
for the chemical facility; 
‘‘(F) deterring theft or diversion of a sub-
stance of concern; 
‘‘(G) deterring insider sabotage; 
‘‘(H) deterring cyber sabotage, including 
by preventing unauthorized onsite or remote ac-
cess to critical process controls, including super-
visory control and data acquisition systems, dis-
tributed control systems, process control sys-
tems, industrial control systems, critical busi-
ness systems, and other sensitive computerized 
systems; 
‘‘(I) developing an emergency plan to re-
spond to chemical facility terrorist incidents 
with the guidance of the Secretary that in-
cludes, as appropriate, an early warning system 
for local emergency response providers and the 
community surrounding the facility, and exer-
cising such plan internally and with the assist-
ance of local law enforcement officials and 
emergency response providers to enhance the 
collective response to terrorism; 
VerDate Aug 31 2005 
03:47 Mar 12, 2008
Jkt 069200
PO 00000
Frm 00008
Fmt 6652
Sfmt 6201
E:\BILLS\H5577.IH
H5577
smartinez on PRODPC61 with BILLS
‘‘(J) 
maintaining 
effective 
monitoring, 
communications, and warning systems, includ-
ing— 
‘‘(i) measures designed to ensure that 
security systems and equipment are in 
good working order and inspected, tested, 
calibrated, and otherwise maintained; 
‘‘(ii) measures designed to regularly 
test security systems, note deficiencies, 
correct for detected deficiencies, and record 
results so that they are available for in-
spection by the Department; and 
‘‘(iii) measures to allow the chemical 
facility to promptly identify and respond to 
security system and equipment failures or 
malfunctions; 
‘‘(K) ensuring mandatory annual security 
training, exercises, and drills of chemical facil-
ity personnel; 
‘‘(L) performing personnel surety for indi-
viduals with access to restricted areas or critical 
assets by conducting appropriate background 
checks and ensuring appropriate credentials for 
unescorted visitors and chemical facility per-
sonnel, including permanent and part-time per-
VerDate Aug 31 2005 
03:47 Mar 12, 2008
Jkt 069200
PO 00000
Frm 00009
Fmt 6652
Sfmt 6201
E:\BILLS\H5577.IH
H5577
smartinez on PRODPC61 with BILLS
sonnel, temporary personnel, and contract per-
sonnel, including— 
‘‘(i) measures designed to verify and 
validate identity; 
‘‘(ii) measures designed to check 
criminal history; 
‘‘(iii) measures designed to verify and 
validate legal authorization to work; and 
‘‘(iv) measures designed to identify 
people with terrorist ties; 
‘‘(M) escalating the level of protective 
measures for periods of elevated threat; 
‘‘(N) specific threats, vulnerabilities, or 
risks identified by the Secretary for that chem-
ical facility; 
‘‘(O) reporting of significant security inci-
dents to the Department and to appropriate 
local law enforcement officials; 
‘‘(P) identifying, investigating, reporting, 
and maintaining records of significant security 
incidents and suspicious activities in or near the 
site; 
‘‘(Q) establishing one or more officials and 
an organization responsible for security and for 
compliance with these standards; 
VerDate Aug 31 2005 
03:47 Mar 12, 2008
Jkt 069200
PO 00000
Frm 00010
Fmt 6652
Sfmt 6201
E:\BILLS\H5577.IH
H5577
smartinez on PRODPC61 with BILLS
‘‘(R) maintaining appropriate records re-
lating to the security of the facility; 
‘‘(S) assessing, as appropriate, or utilizing 
methods to reduce the consequences of a ter-
rorist attack; or 
‘‘(T) any additional security performance 
standards the Secretary may specify. 
‘‘(3) The term ‘chemical facility terrorist inci-
dent’ means an act or attempted act of terrorism 
committed at, near, or against a chemical facility, 
including— 
‘‘(A) the release of a substance of concern 
from a chemical facility into the surrounding 
area as a consequence of an act of terrorism; 
‘‘(B) the obtaining of a substance of con-
cern by any person for the purpose of using the 
substance at a location other than the chemical 
facility in furtherance of an act of terrorism; or 
‘‘(C) the sabotage of a chemical facility or 
a substance of concern at a chemical facility in 
furtherance of an act of terrorism. 
‘‘(4) The term ‘employee representative’ means 
a representative of the certified or recognized bar-
gaining agent engaged in a collective bargaining re-
VerDate Aug 31 2005 
03:47 Mar 12, 2008
Jkt 069200
PO 00000
Frm 00011
Fmt 6652
Sfmt 6201
E:\BILLS\H5577.IH
H5577
smartinez on PRODPC61 with BILLS
lationship with a private or public owner or operator 
of a chemical facility. 
‘‘(5) The term ‘covered individual’ means a per-
manent, temporary, full-time, or part-time employee 
of a covered chemical facility or an employee of an 
entity with which the covered chemical facility has 
entered into a contract who is performing respon-
sibilities at the facility pursuant to the contract. 
‘‘(6) The term ‘covered chemical facility’ means 
a chemical facility that the Secretary assigns to a 
risk-based tier under section 2102(c) that is re-
quired to submit a security vulnerability assessment 
and site security plan under section 2103. 
‘‘(7) The term ‘environment’ has the meaning 
given the term in section 101 of the Comprehensive 
Environmental Response Compensation and Liability 
Act of 1980 (42 U.S.C. 9601). 
‘‘(8) The term ‘owner or operator of a chemical 
facility’ means any of the following: 
‘‘(A) The person who owns a chemical fa-
cility. 
‘‘(B) The person who leases such a facility. 
‘‘(C) The person who operates such a facil-
ity. 
VerDate Aug 31 2005 
03:47 Mar 12, 2008
Jkt 069200
PO 00000
Frm 00012
Fmt 6652
Sfmt 6201
E:\BILLS\H5577.IH
H5577
smartinez on PRODPC61 with BILLS
‘‘(9) The term ‘release’ has the meaning given 
the term in section 101 of the Comprehensive Envi-
ronmental Response Compensation and Liability Act 
of 1980 (42 U.S.C. 9601). 
‘‘(10) The term ‘substance of concern’ means a 
chemical substance in quantity and form that is des-
ignated by the Secretary under section 2102(a) as a 
chemical substance that poses a risk of being used 
in furtherance of a chemical facility terrorist inci-
dent. 
‘‘(11) The term ‘method to reduce the con-
sequences of a terrorist attack’ includes— 
‘‘(A) input substitution; 
‘‘(B) catalyst or carrier substitution; 
‘‘(C) process redesign (including reuse or 
recycling of a substance of concern); 
‘‘(D) product reformulation; 
‘‘(E) procedure simplification; 
‘‘(F) technology modification; 
‘‘(G) use of less hazardous substances or 
benign substances; 
‘‘(H) use of smaller quantities of sub-
stances of concern; 
‘‘(I) reduction of hazardous pressures or 
temperatures; 
VerDate Aug 31 2005 
03:47 Mar 12, 2008
Jkt 069200
PO 00000
Frm 00013
Fmt 6652
Sfmt 6201
E:\BILLS\H5577.IH
H5577
smartinez on PRODPC61 with BILLS
‘‘(J) reduction of the possibility and poten-
tial consequences of equipment failure and 
human error; 
‘‘(K) improvement of inventory control and 
chemical use efficiency; and 
‘‘(L) reduction or elimination of the stor-
age, transportation, handling, disposal, and dis-
charge of substances of concern. 
‘‘SEC. 2102. RISK-BASED DESIGNATION AND RANKING OF 
CHEMICAL FACILITIES. 
‘‘(a) SUBSTANCES OF CONCERN.— 
‘‘(1) DESIGNATION BY THE SECRETARY.—The 
Secretary may designate any chemical substance as 
a substance of concern and establish and revise the 
threshold quantity for a substance of concern. 
‘‘(2) MATTERS FOR CONSIDERATION.—In desig-
nating a chemical substance or establishing or ad-
justing the threshold quantity for a chemical sub-
stance under paragraph (1), the Secretary shall con-
sider the potential extent of death, injury, and seri-
ous adverse effects to human health, the environ-
ment, critical infrastructure, national security, the 
national economy, and public welfare that would re-
sult from a chemical facility terrorist incident. 
‘‘(b) LIST OF COVERED CHEMICAL FACILITIES.— 
VerDate Aug 31 2005 
03:47 Mar 12, 2008
Jkt 069200
PO 00000
Frm 00014
Fmt 6652
Sfmt 6201
E:\BILLS\H5577.IH
H5577
smartinez on PRODPC61 with BILLS
‘‘(1) CRITERIA FOR LIST OF FACILITIES.—The 
Secretary shall maintain a list of covered chemical 
facilities that the Secretary determines are of suffi-
cient security risk for inclusion on the list based on 
the following criteria: 
‘‘(A) The potential threat or likelihood that 
the chemical facility will be the target of a 
chemical facility terrorist incident. 
‘‘(B) The potential extent and likelihood of 
death, injury, or serious adverse effects to 
human health, the environment, critical infra-
structure, national security, the national econ-
omy, and public welfare that could result from 
a chemical facility terrorist incident. 
‘‘(C) The proximity of the chemical facility 
to population centers. 
‘‘(2) SUBMISSION OF INFORMATION.—The Sec-
retary may require the submission of information 
with respect to the quantities of substances of con-
cern that are used, stored, manufactured, processed, 
or distributed by any chemical facility to determine 
whether to designate a chemical facility as a covered 
chemical facility for purposes of this title. 
‘‘(c) ASSIGNMENT
OF CHEMICAL FACILITIES
TO 
RISK-BASED TIERS.— 
VerDate Aug 31 2005 
03:47 Mar 12, 2008
Jkt 069200
PO 00000
Frm 00015
Fmt 6652
Sfmt 6201
E:\BILLS\H5577.IH
H5577
smartinez on PRODPC61 with BILLS
‘‘(1) ASSIGNMENT.—The Secretary shall assign 
each covered chemical facility to one of at least four 
risk-based tiers established by the Secretary. 
‘‘(2) PROVISION OF INFORMATION.—The Sec-
retary may request, and the owner or operator of a 
covered chemical facility shall provide, any additional 
information beyond any information required to be 
submitted under subsection (b)(2) that is needed for 
the Secretary to assign the chemical facility to the 
appropriate tier under paragraph (1). 
‘‘(3) HIGH-RISK
CHEMICAL
FACILITIES.—At 
least one of the tiers established by the Secretary for 
the assignment of chemical facilities under this sub-
section shall be a tier designated for high-risk chem-
ical facilities. 
‘‘(4) AUTHORITY TO REVIEW.—The Secretary 
shall periodically review the criteria under subsection 
(b)(1) and may, at any time, determine whether a 
chemical facility is a covered chemical facility or is 
no longer a covered chemical facility or change the 
tier assignment under paragraph (1) of any covered 
chemical facility. 
‘‘(5) NOTIFICATION.—Not later than 60 days 
after the date on which the Secretary determines 
that a chemical facility is a covered chemical facility 
VerDate Aug 31 2005 
03:47 Mar 12, 2008
Jkt 069200
PO 00000
Frm 00016
Fmt 6652
Sfmt 6201
E:\BILLS\H5577.IH
H5577
smartinez on PRODPC61 with BILLS
or is no longer a covered chemical facility or changes 
the tier assignment under paragraph (1) of a cov-
ered chemical facility, the Secretary shall notify the 
owner or operator of that chemical facility of that 
determination or change together with the reason for 
the determination or change. 
‘‘SEC. 2103. SECURITY VULNERABILITY ASSESSMENTS AND 
SITE SECURITY PLANS. 
‘‘(a) SECURITY VULNERABILITY ASSESSMENT AND 
SITE SECURITY PLAN REQUIRED FOR COVERED CHEM-
ICAL FACILITIES.— 
‘‘(1) REQUIREMENT
FOR
SECURITY
VULNER-
ABILITY ASSESSMENT AND SITE SECURITY PLAN.— 
The Secretary shall— 
‘‘(A) establish standards, protocols, and 
procedures for security vulnerability assess-
ments and site security plans to be required for 
covered chemical facilities; 
‘‘(B) provide to the owner or operator of 
each covered chemical facility— 
‘‘(i) the number of individuals at risk 
of death, injury, or severe adverse effects 
to human health as a result of a worst case 
chemical facility terrorist incident at the 
covered chemical facility; 
VerDate Aug 31 2005 
03:47 Mar 12, 2008
Jkt 069200
PO 00000
Frm 00017
Fmt 6652
Sfmt 6201
E:\BILLS\H5577.IH
H5577
smartinez on PRODPC61 with BILLS
‘‘(ii) information related to the criti-
cality of the covered chemical facility for 
purposes of assessing the degree to which 
the facility is critical to the economy or na-
tional security of the United States; 
‘‘(iii) the proximity or interrelation-
ship of the covered chemical facility to 
other critical infrastructure, including any 
utility or infrastructure (including trans-
portation) upon which the chemical facility 
relies to operate safely and securely; and 
‘‘(iv) recommended best practices for 
securing chemical facilities; 
‘‘(C) require the owner or operator of each 
such covered chemical facility to— 
‘‘(i) conduct an assessment of the vul-
nerability of the covered chemical facility 
to a chemical facility terrorist incident; 
‘‘(ii) prepare and implement a site se-
curity plan for that covered chemical facil-
ity that addresses the security vulnerability 
assessment and the risk-based chemical se-
curity performance standards under sub-
section (c); and 
VerDate Aug 31 2005 
03:47 Mar 12, 2008
Jkt 069200
PO 00000
Frm 00018
Fmt 6652
Sfmt 6201
E:\BILLS\H5577.IH
H5577
smartinez on PRODPC61 with BILLS
‘‘(iii) include appropriate supervisory 
and non-supervisory employees of the cov-
ered chemical facility, and any employee 
representatives, as appropriate, in devel-
oping the security vulnerability assessment 
and site security plan required under this 
clause; and 
‘‘(D) set deadlines for the completion of se-
curity vulnerability assessments and site secu-
rity plans. 
‘‘(2) CRITERIA.—The Secretary shall ensure 
that the requirements under paragraph (1)— 
‘‘(A) are risk-based; 
‘‘(B) are performance-based; and 
‘‘(C) take into consideration— 
‘‘(i) the cost and technical feasibility 
of compliance by a covered chemical facil-
ity with the requirements under this title; 
‘‘(ii) the different quantities and 
forms of substances of concern stored, 
used, and handled at covered chemical fa-
cilities; and 
‘‘(iii) 
the 
criteria 
under 
section 
2102(a)(2). 
VerDate Aug 31 2005 
03:47 Mar 12, 2008
Jkt 069200
PO 00000
Frm 00019
Fmt 6652
Sfmt 6201
E:\BILLS\H5577.IH
H5577
smartinez on PRODPC61 with BILLS
‘‘(b) MINIMUM
REQUIREMENTS
FOR
HIGH-RISK 
CHEMICAL FACILITIES.— 
‘‘(1) REQUIREMENTS FOR SECURITY VULNER-
ABILITY ASSESSMENTS.—In the case of a covered 
chemical facility assigned to a high-risk tier under 
section 2102(c)(3), the Secretary shall require that 
the security vulnerability assessment required under 
this section for that chemical facility include each of 
the following: 
‘‘(A) The identification of any hazard that 
could result from a chemical facility terrorist 
incident at the facility. 
‘‘(B) Any vulnerability of the chemical fa-
cility with respect to— 
‘‘(i) physical security; 
‘‘(ii) programmable electronic devices, 
computers, computer or communications 
networks, Supervisory Control and Data 
Acquisition systems, Process Control Sys-
tems, or other automated systems used by 
the chemical facility; 
‘‘(iii) alarms, cameras, and other pro-
tection systems; 
‘‘(iv) communication systems; 
‘‘(v) insider threats; and 
VerDate Aug 31 2005 
03:47 Mar 12, 2008
Jkt 069200
PO 00000
Frm 00020
Fmt 6652
Sfmt 6201
E:\BILLS\H5577.IH
H5577
smartinez on PRODPC61 with BILLS
‘‘(vi) the structural integrity of equip-
ment for storage, handling, and other pur-
poses. 
‘‘(C) Consideration of information relating 
to threats relevant to the chemical facility that 
is provided by the Secretary in accordance with 
paragraph (3). 
‘‘(D) Such other information as the Sec-
retary determines is appropriate. 
‘‘(2) REQUIREMENTS
FOR
SITE
SECURITY 
PLANS.—In the case of a covered chemical facility 
assigned 
to 
a 
high-risk 
tier 
under 
section 
2102(c)(3), the Secretary shall require that the site 
security plan required under this section for that 
chemical facility include each of the following: 
‘‘(A) A description of security measures se-
lected by the facility that— 
‘‘(i) address the vulnerabilities of the 
facility identified in the security vulner-
ability assessment; and 
‘‘(ii) meet the risk-based chemical fa-
cility security performance standards es-
tablished by the Secretary. 
‘‘(B) A plan and schedule for periodic 
drills and exercises to be conducted at the 
VerDate Aug 31 2005 
03:47 Mar 12, 2008
Jkt 069200
PO 00000
Frm 00021
Fmt 6652
Sfmt 6201
E:\BILLS\H5577.IH
H5577
smartinez on PRODPC61 with BILLS
chemical facility the development and execution 
of which includes participation by appropriate 
supervisory and non-supervisory facility employ-
ees and any employee representatives, local law 
enforcement agencies, and emergency response 
providers. 
‘‘(C) Equipment, plans, and procedures to 
be implemented or used by or at the chemical 
facility in the event of a chemical facility ter-
rorist incident that affects the facility, including 
site evacuation, release mitigation, and contain-
ment plans. 
‘‘(D) An identification of any steps taken 
to coordinate with State, local, and tribal law 
enforcement agencies, emergency response pro-
viders, the Department and other Federal agen-
cies, and Federal officials on security measures 
and plans for the collective response to a chem-
ical facility terrorist incident. 
‘‘(E) A specification of the security officer 
who will be the point of contact for incident 
management purposes and for Federal, State, 
local, and tribal law enforcement and emer-
gency response providers. 
VerDate Aug 31 2005 
03:47 Mar 12, 2008
Jkt 069200
PO 00000
Frm 00022
Fmt 6652
Sfmt 6201
E:\BILLS\H5577.IH
H5577
smartinez on PRODPC61 with BILLS
‘‘(F) A description of enhanced security 
measures to be used during periods of time 
when the Secretary determines that heightened 
terrorist threat conditions exist. 
‘‘(G) An assessment and, as appropriate, a 
plan to implement methods to reduce the con-
sequences of a terrorist attack. 
‘‘(3) PROVISION OF THREAT-RELATED INFOR-
MATION.— 
‘‘(A) RESPONSIBILITIES
OF
THE
SEC-
RETARY.—The Secretary shall provide in a 
timely manner, to the maximum extent prac-
ticable under applicable authority and in the in-
terests of national security, to an owner, oper-
ator, or security officer of a chemical facility as-
signed to the high-risk tier under section 
2102(c)(3), or another appropriate person, 
threat information that is relevant to that 
chemical facility, including an assessment of the 
most likely method that could be used by ter-
rorists to exploit any vulnerabilities of the 
chemical facility and the likelihood of the suc-
cess of such method. 
‘‘(B) RESPONSIBILITIES OF OWNER OR OP-
ERATOR.—The Secretary shall require the 
VerDate Aug 31 2005 
03:47 Mar 12, 2008
Jkt 069200
PO 00000
Frm 00023
Fmt 6652
Sfmt 6201
E:\BILLS\H5577.IH
H5577
smartinez on PRODPC61 with BILLS
owner or operator of a covered chemical facility 
to provide in a timely manner to the Secretary 
a full report on any intentional, attempted, or 
accidental penetration of the physical security 
or cyber security of the covered chemical facil-
ity. 
‘‘(4) RED
TEAM
EXERCISES.—The Secretary 
shall conduct red team exercises at chemical facili-
ties selected by the Secretary that have been as-
signed to a high-risk tier under section 2102(c)(3). 
The Secretary shall ensure that each such facility 
shall undergo a red team exercise during the six-year 
period that begins on the effective date of the regu-
lations prescribed to carry out this title. The exer-
cises required under this paragraph shall be— 
‘‘(A) conducted after informing the owner 
or operator and any employee representative of 
the selected chemical facility and receiving posi-
tive confirmation from such owner or operator 
and employee representative, if any; 
‘‘(B) designed to identify at the selected 
chemical facility— 
‘‘(i) any vulnerabilities of the chemical 
facility; 
VerDate Aug 31 2005 
03:47 Mar 12, 2008
Jkt 069200
PO 00000
Frm 00024
Fmt 6652
Sfmt 6201
E:\BILLS\H5577.IH
H5577
smartinez on PRODPC61 with BILLS
‘‘(ii) possible methods of a chemical 
facility terrorist incident at that facility; 
and 
‘‘(iii) any weaknesses in the security 
plan of the chemical facility; and 
‘‘(C) conducted so as not to compromise 
the security or safety of the chemical facility 
during the exercises. 
‘‘(5) PROVISION OF TECHNICAL GUIDANCE.— 
The Secretary shall provide, upon request, assistance 
and guidance to a covered chemical facility con-
ducting a security vulnerability assessment or site 
security plan required under this section. 
‘‘(c) RISK-BASED CHEMICAL SECURITY PERFORM-
ANCE STANDARDS.— 
‘‘(1) IN GENERAL.—The Secretary shall estab-
lish risk-based chemical security performance stand-
ards for the site security plans required to be pre-
pared by covered chemical facilities. The standards 
shall— 
‘‘(A) require separate and increasingly 
stringent risk-based chemical security perform-
ance standards for site security plans as the 
level of risk associated with the tier increases; 
and 
VerDate Aug 31 2005 
03:47 Mar 12, 2008
Jkt 069200
PO 00000
Frm 00025
Fmt 6652
Sfmt 6201
E:\BILLS\H5577.IH
H5577
smartinez on PRODPC61 with BILLS
‘‘(B) permit each covered chemical facility 
submitting a site security plan to select a com-
bination of security measures that satisfy the 
risk-based chemical security performance stand-
ards established by the Secretary under this 
subsection. 
‘‘(2) CRITERIA.—In establishing the risk-based 
chemical security performance standards under 
paragraph (1), the Secretary shall consider the cri-
teria under subsection (a)(2). 
‘‘(3) GUIDANCE.—The Secretary shall provide 
guidance to each covered chemical facility regarding 
the types of security performance measures that, if 
applied, could satisfy the requirements under this 
section, including measures using methods to reduce 
the consequences of a terrorist attack that, if ap-
plied, could result in the Secretary removing the fa-
cility from the list or assigning the facility to a lower 
risk tier. 
‘‘(d) CO-LOCATED CHEMICAL FACILITIES.—The Sec-
retary shall allow the owner or operator of two or more 
chemical facilities that are located geographically close to 
each other or otherwise co-located to develop and imple-
ment coordinated security vulnerability assessments and 
VerDate Aug 31 2005 
03:47 Mar 12, 2008
Jkt 069200
PO 00000
Frm 00026
Fmt 6652
Sfmt 6201
E:\BILLS\H5577.IH
H5577
smartinez on PRODPC61 with BILLS
site security plans, at the discretion of the owner or oper-
ator of the chemical facilities. 
‘‘(e) ALTERNATE SECURITY PROGRAMS SATISFYING 
REQUIREMENTS FOR SECURITY VULNERABILITY ASSESS-
MENT AND SITE SECURITY PLAN.— 
‘‘(1) DETERMINATION BY THE SECRETARY.—In 
response to a request by an owner or operator of a 
covered chemical facility, or at the discretion of the 
Secretary, the Secretary may accept an alternative 
security program that the Secretary determines 
meets all or part of the requirements of this section 
and that provides for an equivalent level of security 
to the level of security provided for by the require-
ments of this title. 
‘‘(2) USE
OF
ALTERNATE
SECURITY
PRO-
GRAMS.— 
‘‘(A) USE BY INDIVIDUAL CHEMICAL FA-
CILITIES.—Upon review and written determina-
tion by the Secretary under paragraph (1) that 
the alternate security program of a covered 
chemical facility subject to the requirements of 
this section satisfies some or all of the require-
ments of this section, the chemical facility may 
use that alternate security program. 
VerDate Aug 31 2005 
03:47 Mar 12, 2008
Jkt 069200
PO 00000
Frm 00027
Fmt 6652
Sfmt 6201
E:\BILLS\H5577.IH
H5577
smartinez on PRODPC61 with BILLS
‘‘(B) USE BY CLASSES OF CHEMICAL FA-
CILITIES.—At the discretion of the Secretary, 
the Secretary may identify a class or category 
of covered chemical facilities subject to the re-
quirements of this section that may use an al-
ternate security program recognized under this 
section in order to comply with all or part of 
the requirements of this section. 
‘‘(3) PARTIAL RECOGNITION.—If the Secretary 
finds that an alternate security program satisfies 
only part of the requirements of this section, the 
Secretary may allow a covered chemical facility sub-
ject to the requirements of this section to comply 
with that alternate security program for purposes of 
that requirement, but shall require the covered 
chemical facility to submit any additional informa-
tion required to satisfy the requirements of this sec-
tion not met by that alternate security program. 
‘‘(4) NOTIFICATION.—If the Secretary does not 
approve an alternate security program for which a 
petition is submitted under paragraph (1), the Sec-
retary shall provide to the person submitting a peti-
tion under paragraph (1) written notification that 
includes an explanation of the reasons why the ap-
proval was not made. 
VerDate Aug 31 2005 
03:47 Mar 12, 2008
Jkt 069200
PO 00000
Frm 00028
Fmt 6652
Sfmt 6201
E:\BILLS\H5577.IH
H5577
smartinez on PRODPC61 with BILLS
‘‘(5) REVIEW REQUIRED.—Nothing in this sub-
section shall relieve the Secretary of the obligation— 
‘‘(A) to review a security vulnerability as-
sessment and site security plan submitted by a 
covered chemical facility under this section; and 
‘‘(B) to approve or disapprove each such 
assessment or plan on an individual basis. 
‘‘(f) OTHER AUTHORITIES.— 
‘‘(1) OTHER PROVISIONS OF LAW.—A covered 
chemical facility that is required to prepare a secu-
rity vulnerability assessment or site security plan or 
to submit or develop other relevant documents under 
chapter 701 of title 46, United States Code, the 
Federal Water Pollution Control Act (33 U.S.C. 
1251 et seq.), or section 1433 of the Safe Drinking 
Water Act (42 U.S.C. 300i–2) shall submit such 
plan or documents to the Secretary. The Secretary 
shall determine the extent to which actions taken by 
such a chemical facility pursuant to another provi-
sion of law fulfill the requirements of this section 
and may require such a chemical facility to complete 
any additional action required by this section. The 
Secretary shall work with the heads of the other 
Federal departments and agencies with authority 
with respect to such a covered chemical facility to 
VerDate Aug 31 2005 
03:47 Mar 12, 2008
Jkt 069200
PO 00000
Frm 00029
Fmt 6652
Sfmt 6201
E:\BILLS\H5577.IH
H5577
smartinez on PRODPC61 with BILLS
ensure that requirements under other provisions of 
law and the requirements under this title are non- 
duplicative and non-contradictory. 
‘‘(2) COORDINATION
OF
STORAGE
LICENSING 
OR PERMITTING REQUIREMENT.—In the case of any 
storage required to be licensed or permitted under 
chapter 40 of title 18, United States Code, the Sec-
retary shall prescribe the rules and regulations for 
the implementation of this section with the concur-
rence of the Attorney General and avoid unnecessary 
duplication of regulatory requirements. 
‘‘(g) ROLE OF EMPLOYEES.— 
‘‘(1) DESCRIPTION
OF
ROLE
REQUIRED.—As 
appropriate, security vulnerability assessments or 
site security plans required under this section should 
describe the roles or responsibilities that chemical 
facility employees are expected to perform to deter 
or respond to a chemical facility terrorist incident. 
‘‘(2) TRAINING FOR EMPLOYEES.—The owner 
or operator of a covered facility required to submit 
a site security plan under this section shall annually 
provide each employee of the facility with a min-
imum of 8 hours of training. Such training shall in-
clude— 
VerDate Aug 31 2005 
03:47 Mar 12, 2008
Jkt 069200
PO 00000
Frm 00030
Fmt 6652
Sfmt 6201
E:\BILLS\H5577.IH
H5577
smartinez on PRODPC61 with BILLS
‘‘(A) an identification and discussion of 
substances of concern that pose a risk to the 
workforce, emergency response providers, and 
the community; 
‘‘(B) a discussion of the prevention, pre-
paredness, and response plan for the facility, 
including off-site consequence impacts; 
‘‘(C) an identification of opportunities to 
reduce or eliminate the vulnerability of the fa-
cility to a terrorist incident through the use of 
methods to reduce the consequences of a ter-
rorist attack; and 
‘‘(D) a discussion and practice of appro-
priate emergency response procedures. 
‘‘SEC. 2104. RECORD KEEPING; SITE INSPECTIONS. 
‘‘(a) RECORD KEEPING.—The Secretary shall require 
each covered chemical facility required to submit a secu-
rity vulnerability assessment or site security plan under 
section 2103 to maintain a current copy of the assessment 
and the plan at the chemical facility. 
‘‘(b) RIGHT OF ENTRY.—For purposes of carrying 
out this title, the Secretary (or a designee of the Sec-
retary) shall have, at a reasonable time and on presen-
tation of credentials, a right of entry to, on, or through 
any property of a covered chemical facility or any property 
VerDate Aug 31 2005 
03:47 Mar 12, 2008
Jkt 069200
PO 00000
Frm 00031
Fmt 6652
Sfmt 6201
E:\BILLS\H5577.IH
H5577
smartinez on PRODPC61 with BILLS
on which any record required to be maintained under this 
section is located. 
‘‘(c) INSPECTIONS AND VERIFICATIONS.— 
‘‘(1) IN
GENERAL.—The Secretary shall, at 
such time and place as the Secretary determines to 
be reasonable and appropriate, conduct or require 
the conduct of chemical facility security inspections 
and verifications and may, by regulation, authorize 
third-party inspections and verifications by persons 
trained and certified by the Secretary for that pur-
pose. 
‘‘(2) REQUIREMENTS.—To ensure and evaluate 
compliance with this title, including any regulations 
or requirements adopted by the Secretary in further-
ance of the purposes of this title, in conducting or 
requiring an inspection or verification under para-
graph (1), the Secretary shall— 
‘‘(A) consult with owners, operators, and 
supervisory and non-supervisory employees of 
the covered chemical facility, and any employee 
representatives, as appropriate; and 
‘‘(B) provide an opportunity to such own-
ers, operators, employees, and employee rep-
resentatives to be present during the inspection 
VerDate Aug 31 2005 
03:47 Mar 12, 2008
Jkt 069200
PO 00000
Frm 00032
Fmt 6652
Sfmt 6201
E:\BILLS\H5577.IH
H5577
smartinez on PRODPC61 with BILLS
or verification for the purpose of providing as-
sistance when and where it is appropriate. 
‘‘(d) REQUESTS FOR RECORDS.— 
‘‘(1) IN GENERAL.—In carrying out this title, 
the Secretary (or a designee of the Secretary) may 
require the submission of or, on presentation of cre-
dentials, may at reasonable times obtain access to 
and copy any documentation necessary for— 
‘‘(A) reviewing or analyzing a security vul-
nerability assessment or site security plan sub-
mitted under section 2103; or 
‘‘(B) implementing such a site security 
plan. 
‘‘(2) PROPER HANDLING OF RECORDS.—In ac-
cessing or copying any documentation under para-
graph (1), the Secretary (or a designee of the Sec-
retary) shall ensure that the documentation is han-
dled and secured appropriately. 
‘‘(e) PROVISION OF RECORDS TO EMPLOYEE REP-
RESENTATIVES.—If a covered chemical facility required to 
submit a security vulnerability assessment or site security 
plan submitted under section 2103 has an employee rep-
resentative, the owner or operator of the facility shall pro-
vide the employee representative with a copy of any secu-
rity vulnerability assessment or site security plan sub-
VerDate Aug 31 2005 
03:47 Mar 12, 2008
Jkt 069200
PO 00000
Frm 00033
Fmt 6652
Sfmt 6201
E:\BILLS\H5577.IH
H5577
smartinez on PRODPC61 with BILLS
mitted. The employee representative shall ensure that any 
such assessment or plan provided to the representative is 
handled and secured appropriately in accordance with sec-
tion 2108. 
‘‘(f) COMPLIANCE.—If the Secretary determines that 
an owner or operator of a covered chemical facility re-
quired to submit a security vulnerability assessment or site 
security plan under section 2103 fails to maintain, 
produce, or allow access to records or to the property of 
the covered chemical facility as required by this section, 
the Secretary shall issue an order requiring compliance 
with this section. 
‘‘SEC. 2105. ENFORCEMENT. 
‘‘(a) SUBMISSION OF INFORMATION.— 
‘‘(1) INITIAL SUBMISSION.—The Secretary shall 
establish specific deadlines for the submission to the 
Secretary of the security vulnerability assessments 
and site security plans required under this title. The 
Secretary may establish different submission re-
quirements for the different tiers of chemical facili-
ties under section 2102(c). 
‘‘(2) MAJOR
CHANGES
REQUIREMENT.—The 
Secretary shall establish specific deadlines and re-
quirements for the submission by a covered chemical 
facility of information describing— 
VerDate Aug 31 2005 
03:47 Mar 12, 2008
Jkt 069200
PO 00000
Frm 00034
Fmt 6652
Sfmt 6201
E:\BILLS\H5577.IH
H5577
smartinez on PRODPC61 with BILLS
‘‘(2) DISAPPROVAL.—The Secretary shall dis-
approve a security vulnerability assessment or site 
security plan if the Secretary determines that— 
‘‘(A) the security vulnerability assessment 
or site security plan does not comply with the 
requirements under section 2103; or 
‘‘(B) in the case of a site security plan, the 
plan or the implementation of the plan is insuf-
ficient to address any vulnerabilities identified 
in a security vulnerability assessment of the 
covered chemical facility or associated oversight 
actions taken under section 2103 or section 
2104, including a red team exercise. 
‘‘(3) PROVISION
OF
NOTIFICATION
OF
DIS-
APPROVAL.—If the Secretary disapproves the secu-
rity vulnerability assessment or site security plan 
submitted by a covered chemical facility under this 
title or the implementation of a site security plan by 
such a chemical facility, the Secretary shall— 
‘‘(A) provide the owner or operator of the 
covered chemical facility a written notification 
of the disapproval, that— 
‘‘(i) includes a clear explanation of de-
ficiencies in the assessment, plan, or imple-
mentation of the plan; and 
VerDate Aug 31 2005 
03:47 Mar 12, 2008
Jkt 069200
PO 00000
Frm 00036
Fmt 6652
Sfmt 6201
E:\BILLS\H5577.IH
H5577
smartinez on PRODPC61 with BILLS
a chemical facility assigned to a high-risk tier under 
section 2102(c)(3) continues to be in noncompliance 
after an order for compliance is issued under para-
graph (3), the Secretary may issue an order to the 
owner or operator to cease operations at the facility 
until the owner or operator complies with the order 
issued under paragraph (3). Notwithstanding the 
preceding sentence, the Secretary may not issue an 
order to cease operations under this paragraph to 
the owner or operator of a drinking water or waste-
water facility unless the Secretary determines that 
continued operation of the facility represents a clear 
and present danger to homeland security. 
‘‘(c) REPORTING PROCESS.— 
‘‘(1) ESTABLISHMENT.—The Secretary shall es-
tablish, and provide information to the public re-
garding a process by which any person may submit 
a report to the Secretary regarding problems, defi-
ciencies, or vulnerabilities at a covered chemical fa-
cility associated with the risk of a chemical facility 
terrorist incident. 
‘‘(2) CONFIDENTIALITY.—The Secretary shall 
keep confidential the identity of a person that sub-
mits a report under paragraph (1) and any such re-
port shall be treated as protected information under 
VerDate Aug 31 2005 
03:47 Mar 12, 2008
Jkt 069200
PO 00000
Frm 00038
Fmt 6652
Sfmt 6201
E:\BILLS\H5577.IH
H5577
smartinez on PRODPC61 with BILLS
section 2108(f) to the extent that it does not consist 
of publicly available information. 
‘‘(3) ACKNOWLEDGMENT OF RECEIPT.—If a re-
port submitted under paragraph (1) identifies the 
person submitting the report, the Secretary shall re-
spond promptly to such person to acknowledge re-
ceipt of the report. 
‘‘(4) STEPS TO ADDRESS PROBLEMS.—The Sec-
retary shall review and consider the information pro-
vided in any report submitted under paragraph (1) 
and shall take appropriate steps under this title to 
address any problem, deficiency, or vulnerability 
identified in the report. 
‘‘(d) RETALIATION PROHIBITED.— 
‘‘(1) PROHIBITION.—No owner or operator of a 
chemical facility, profit or not-for-profit corporation, 
association, or any contractor, subcontractor or 
agent thereof, or a Federal, State, local, or tribal 
government agency may discharge any employee or 
otherwise discriminate against any employee with re-
spect to his compensation, terms, conditions, secu-
rity clearance or other access to classified or sen-
sitive information, or other privileges of employment 
because the employee (or any person acting pursu-
ant to a request of the employee)— 
VerDate Aug 31 2005 
03:47 Mar 12, 2008
Jkt 069200
PO 00000
Frm 00039
Fmt 6652
Sfmt 6201
E:\BILLS\H5577.IH
H5577
smartinez on PRODPC61 with BILLS
‘‘(A) notified the Secretary, the owner or 
operator of a chemical facility, or the employ-
ee’s employer of an alleged violation of this 
title, including communications related to car-
rying out the employee’s job duties; 
‘‘(B) refused to engage in any practice 
made unlawful by this title, if the employee has 
identified the alleged illegality to the employer; 
‘‘(C) testified before or otherwise provided 
information relevant for Congress or for any 
Federal or State proceeding regarding any pro-
vision (or proposed provision) of this title; 
‘‘(D) commenced, caused to be commenced, 
or is about to commence or cause to be com-
menced a proceeding under this title; 
‘‘(E) testified or is about to testify in any 
such proceeding; or 
‘‘(F) assisted or participated or is about to 
assist or participate in any manner in such a 
proceeding or in any other manner in such a 
proceeding or in any other action to carry out 
the purposes of this title. 
‘‘(2) ENFORCEMENT
ACTION.—Any employee 
covered by this section who alleges discrimination by 
an employer in violation of subsection (a) may bring 
VerDate Aug 31 2005 
03:47 Mar 12, 2008
Jkt 069200
PO 00000
Frm 00040
Fmt 6652
Sfmt 6201
E:\BILLS\H5577.IH
H5577
smartinez on PRODPC61 with BILLS
an action governed by the rules and procedures, 
legal burdens of proof, and remedies applicable 
under subsections (c) through (g) of section 20109 
of title 49, United States Code. 
‘‘SEC. 2106. PENALTIES. 
‘‘(a) CIVIL PENALTIES.— 
‘‘(1) IN GENERAL.—The Secretary may bring 
an action in a United States district court against 
any owner or operator of a chemical facility that vio-
lates or fails to comply with— 
‘‘(A) any order issued by the Secretary 
under this title; or 
‘‘(B) any site security plan approved by 
the Secretary under this title. 
‘‘(2) RELIEF.—In any action under paragraph 
(1), a court may issue an order for injunctive relief 
and may award a civil penalty of not more than 
$50,000 for each day on which a violation occurs or 
a failure to comply continues. 
‘‘(b) PENALTIES
FOR
UNAUTHORIZED
DISCLO-
SURE.—Any officer or employee of a Federal, State, local, 
or tribal government agency who, in a manner or to an 
extent not authorized by law, knowingly discloses any 
record containing protected information described in sec-
tion 2108(f) shall— 
VerDate Aug 31 2005 
03:47 Mar 12, 2008
Jkt 069200
PO 00000
Frm 00041
Fmt 6652
Sfmt 6201
E:\BILLS\H5577.IH
H5577
smartinez on PRODPC61 with BILLS
‘‘(1) be imprisoned not more than 1 year, fined 
under chapter 227 of title 18, United States Code, 
or both; and 
‘‘(2) if an officer or employee of the Govern-
ment, be removed from Federal office or employ-
ment. 
‘‘(c) TREATMENT OF INFORMATION IN ADJUDICA-
TIVE PROCEEDINGS.—In a proceeding under this title, in-
formation protected under section 2108, or related vulner-
ability or security information, shall be treated in any judi-
cial or administrative action as if the information were 
classified material. 
‘‘SEC. 2107. FEDERAL PREEMPTION. 
‘‘(a) IN GENERAL.—Nothing in this title shall pre-
clude or deny any right of any State or political subdivi-
sion thereof to adopt or enforce any regulation, require-
ment, or standard of performance with respect to chemical 
facility security to deter, detect, or respond to a chemical 
facility terrorist incident that is more stringent than a reg-
ulation, requirement, or standard of performance issued 
pursuant to this title, or shall otherwise impair any right 
or jurisdiction of any State or political subdivision thereof 
with respect to chemical facilities within that State or po-
litical subdivision thereof unless a direct conflict exists be-
tween this title and the regulation, requirement, or stand-
VerDate Aug 31 2005 
03:47 Mar 12, 2008
Jkt 069200
PO 00000
Frm 00042
Fmt 6652
Sfmt 6201
E:\BILLS\H5577.IH
H5577
smartinez on PRODPC61 with BILLS
ard of performance issued by a State or political subdivi-
sion thereof. 
‘‘(b) OTHER REQUIREMENTS.—Nothing in this title 
shall preclude or deny the right of any State or political 
subdivision thereof to adopt or enforce any regulation, re-
quirement, or standard of performance relating to environ-
mental protection, health, or safety. 
‘‘SEC. 2108. PROTECTION OF INFORMATION. 
‘‘(a) PROHIBITION OF PUBLIC DISCLOSURE OF PRO-
TECTED INFORMATION.— 
‘‘(1) IN GENERAL.—The Secretary shall ensure 
that protected information, as described in sub-
section (f), is not disclosed except as provided in this 
title. 
‘‘(2) SPECIFIC PROHIBITIONS.—In carrying out 
paragraph (1), the Secretary shall ensure that pro-
tected information is not disclosed— 
‘‘(A) by any Federal agency under section 
552 of title 5, United States Code; or 
‘‘(B) under any State or local law. 
‘‘(b) REGULATIONS.— 
‘‘(1) IN GENERAL.—In carrying out the require-
ments of this title, the Secretary shall prescribe such 
regulations, and may issue such orders, as necessary 
VerDate Aug 31 2005 
03:47 Mar 12, 2008
Jkt 069200
PO 00000
Frm 00043
Fmt 6652
Sfmt 6201
E:\BILLS\H5577.IH
H5577
smartinez on PRODPC61 with BILLS
to prohibit the unauthorized disclosure of protected 
information, as described in subsection (f). 
‘‘(2) REQUIREMENTS.—The regulations pre-
scribed under paragraph (1) shall— 
‘‘(A) allow for information sharing, on a 
confidential basis, with and between, Federal, 
State, local, and tribal law enforcement offi-
cials, and emergency response providers, and 
appropriate supervisory and non-supervisory 
chemical facility personnel, and employee rep-
resentatives, if any, with security, operational, 
or fiduciary responsibility for the facility; 
‘‘(B) provide for the confidential use of 
protected information in any administrative or 
judicial proceeding, including placing under seal 
any such information that is contained in any 
filing, order, or other document used in such 
proceedings that could otherwise become part of 
the public record; 
‘‘(C) limit access to protected information 
to persons designated by the Secretary; and 
‘‘(D) ensure, to the maximum extent prac-
ticable, that— 
‘‘(i) protected information shall be 
maintained in a secure location; and 
VerDate Aug 31 2005 
03:47 Mar 12, 2008
Jkt 069200
PO 00000
Frm 00044
Fmt 6652
Sfmt 6201
E:\BILLS\H5577.IH
H5577
smartinez on PRODPC61 with BILLS
‘‘(ii) access to protected information 
shall be limited as may be necessary to— 
‘‘(I) enable enforcement of this 
title; or 
‘‘(II) address an imminent and 
substantial threat to security or an 
imminent chemical facility terrorist 
incident. 
‘‘(c) OTHER OBLIGATIONS UNAFFECTED.—Nothing 
in this section affects any obligation of the owner or oper-
ator of a chemical facility to submit or make available in-
formation to facility employees, employee organizations, or 
a Federal, State, tribal, or local government agency under, 
or otherwise to comply with, any other law. 
‘‘(d) SUBMISSION OF INFORMATION TO CONGRESS.— 
Nothing in this title shall be construed as authorizing the 
withholding of any information from Congress. 
‘‘(e) DISCLOSURE OF INDEPENDENTLY FURNISHED 
INFORMATION.—Nothing in this title shall be construed 
as affecting any authority or obligation of a Federal agen-
cy to disclose any record or information that the Federal 
agency obtains from a chemical facility under any other 
law. 
‘‘(f) PROTECTED INFORMATION.— 
VerDate Aug 31 2005 
03:47 Mar 12, 2008
Jkt 069200
PO 00000
Frm 00045
Fmt 6652
Sfmt 6201
E:\BILLS\H5577.IH
H5577
smartinez on PRODPC61 with BILLS
‘‘(1) IN GENERAL.—For purposes of this sec-
tion, protected information includes the following: 
‘‘(A) The criteria and data used by the 
Secretary to assign chemical facilities to risk- 
based tiers under section 2102 and the tier to 
which each such facility is assigned. 
‘‘(B) The security vulnerability assess-
ments and site security plans submitted to the 
Secretary under this title. 
‘‘(C) Information concerning the risk-based 
chemical facility security performance standards 
for a chemical facility under section 2103(c). 
‘‘(D) Any other information generated or 
collected by a Federal, State, local, or tribal 
government agency or by a chemical facility for 
the purpose of carrying out or complying with 
this title— 
‘‘(i) that describes any vulnerability of 
a chemical facility to an act of terrorism; 
‘‘(ii) that describes the assignment of 
any chemical facility to a risk-based tier 
under this title; or 
‘‘(iii) that describes any security 
measure (including any procedure, equip-
ment, training, or exercise) for the protec-
VerDate Aug 31 2005 
03:47 Mar 12, 2008
Jkt 069200
PO 00000
Frm 00046
Fmt 6652
Sfmt 6201
E:\BILLS\H5577.IH
H5577
smartinez on PRODPC61 with BILLS
tion of a chemical facility from an act of 
terrorism. 
‘‘(2) EXCLUSIONS.—For purposes of this sec-
tion, protected information does not include— 
‘‘(A) information that is publicly available; 
‘‘(B) information that a chemical facility 
has disclosed other than in accordance with this 
section; or 
‘‘(C) information that, if disclosed, would 
not be detrimental to the security of a chemical 
facility. 
‘‘SEC. 2109. CERTIFICATION BY THIRD-PARTY ENTITIES. 
‘‘(a) CERTIFICATION BY THIRD-PARTY ENTITIES.— 
The Secretary may designate a third-party entity to carry 
out any function under subsection (e)(5) of section 2103, 
subsection (b), (c), or (d) of section 2104, or subsection 
(b)(1) of section 2105. 
‘‘(b) QUALIFICATIONS.—The Secretary shall estab-
lish standards for the qualifications of third-party entities, 
including knowledge of physical infrastructure protection, 
cybersecurity, chemical facility security, hazard analysis, 
chemical process engineering, chemical process safety re-
views, and other such factors that the Secretary deter-
mines to be necessary. 
VerDate Aug 31 2005 
03:47 Mar 12, 2008
Jkt 069200
PO 00000
Frm 00047
Fmt 6652
Sfmt 6201
E:\BILLS\H5577.IH
H5577
smartinez on PRODPC61 with BILLS
‘‘(c) PROCEDURES AND REQUIREMENTS FOR PRI-
VATE ENTITIES.—Before designating a third-party entity 
to carry out a function under subsection (a), the Secretary 
shall— 
‘‘(1) develop, document, and update, as nec-
essary, minimum standard operating procedures and 
requirements applicable to such entities designated 
under subsection (a), including— 
‘‘(A) conducting a 90-day independent re-
view of the procedures and requirements (or up-
dates thereto) and the results of the analyses of 
such procedures (or updates thereto) pursuant 
to subtitle G of title VIII; and 
‘‘(B) upon completion of the independent 
review under subparagraph (A), designating 
any procedure or requirement (or any update 
thereto) as a qualified anti-terrorism technology 
pursuant to section 862(b); 
‘‘(2) conduct safety and hazard analyses of the 
standard operating procedures and requirements de-
veloped under paragraph (1); 
‘‘(3) conduct a review of the third-party enti-
ties’ business engagements to ensure that no conflict 
exists that could compromise the execution of any 
functions under subsection (e)(5) of section 2103, 
VerDate Aug 31 2005 
03:47 Mar 12, 2008
Jkt 069200
PO 00000
Frm 00048
Fmt 6652
Sfmt 6201
E:\BILLS\H5577.IH
H5577
smartinez on PRODPC61 with BILLS
subsection (b), (c), or (d) of section 2104, or sub-
section (c)(1) of section 2105; and 
‘‘(4) conduct a review of the third-party enti-
ties’ business practices and disqualify any of these 
organizations that offer related auditing or con-
sulting services to chemical facilities as private sec-
tor vendors. 
‘‘(d) ENSURING
CONTRACTING
WITH
CERTAIN 
SMALL BUSINESS CONCERNS.— 
‘‘(1) REQUIREMENTS FOR PRIME CONTRACTS.— 
The Secretary shall include in each contract awarded 
to a third-party entity— 
‘‘(A) a requirement that the third-party 
entity develop and implement a plan for the 
award of subcontracts, as appropriate, to small 
business concerns and disadvantaged business 
concerns in accordance with other applicable re-
quirements, including the terms of such plan, 
as appropriate; and 
‘‘(B) a requirement that the third-party 
entity shall submit to the Secretary, during per-
formance of the contract, periodic reports de-
scribing the extent to which the contractor has 
complied with such plan, including specification 
(by total dollar amount and by percentage of 
VerDate Aug 31 2005 
03:47 Mar 12, 2008
Jkt 069200
PO 00000
Frm 00049
Fmt 6652
Sfmt 6201
E:\BILLS\H5577.IH
H5577
smartinez on PRODPC61 with BILLS
the total dollar value of the contract) of the 
value of subcontracts awarded at all tiers of 
subcontracting to small business concerns, in-
cluding socially and economically disadvantaged 
small businesses concerns, small business con-
cerns owned and controlled by service-disabled 
veterans, HUBZone small business concerns, 
small business concerns eligible to be awarded 
contracts pursuant to section 8(a) of the Small 
Business Act (15 U.S.C. 637(a)), and histori-
cally black colleges and universities and His-
panic-serving institutions, tribal colleges and 
universities, and other minority institutions. 
‘‘(2) DEFINITIONS.—For purposes of this sub-
section: 
‘‘(A) The terms ‘socially and economically 
disadvantaged small businesses concern’, ‘small 
business concern owned and controlled by serv-
ice-disabled veterans’, and ‘HUBZone small 
business concern’ have the meaning given such 
terms under the Small Business Act (15 U.S.C. 
631 et seq.). 
‘‘(B) The term ‘historically black colleges 
and universities’ means part B institutions 
VerDate Aug 31 2005 
03:47 Mar 12, 2008
Jkt 069200
PO 00000
Frm 00050
Fmt 6652
Sfmt 6201
E:\BILLS\H5577.IH
H5577
smartinez on PRODPC61 with BILLS
under title III of the Higher Education Act of 
1965 (20 U.S.C. 1061). 
‘‘(C) The term ‘Hispanic-serving institu-
tion’ has the meaning given such term under 
title V of the Higher Education Act of 1965 
(20 U.S.C. 1101a(a)(5)). 
‘‘(D) The term ‘tribal colleges and univer-
sities’ has the meaning given such term under 
the Tribally Controlled College or University 
Assistance Act of 1978 (25 U.S.C. 1801 et 
seq.)). 
‘‘(3) UTILIZATION
OF
ALLIANCES.—The Sec-
retary shall, to the maximum extent practicable, 
seek to facilitate the award of contracts to conduct 
certification under subsection (a) to alliances of 
business concerns referred to in paragraph (1)(B). 
‘‘(4) ANNUAL REPORT.— 
‘‘(A) IN GENERAL.—By not later than Oc-
tober 31 of each year, the Secretary shall sub-
mit to the Committee on Homeland Security of 
the House of Representatives and the Com-
mittee on Homeland Security and Govern-
mental Affairs of the Senate a report on the 
award of contracts to conduct certification 
under subsection (a) to business concerns re-
VerDate Aug 31 2005 
03:47 Mar 12, 2008
Jkt 069200
PO 00000
Frm 00051
Fmt 6652
Sfmt 6201
E:\BILLS\H5577.IH
H5577
smartinez on PRODPC61 with BILLS
ferred to in paragraph (1)(B) during the fiscal 
year preceding the fiscal year in which the re-
port is submitted. 
‘‘(B) CONTENTS.—The Secretary shall in-
clude in each report under subparagraph (A)— 
‘‘(i) a specification of the value of 
such contracts, by dollar amount and as a 
percentage of the total dollar value of all 
contracts awarded by the Department in 
such fiscal year; 
‘‘(ii) a specification of the total dollar 
value of such contracts awarded to each of 
the categories of business concerns referred 
to in paragraph (1)(B); and 
‘‘(iii) if the percentage of the total 
dollar value of contracts awarded under 
this section specified under clause (i) is 
less than 25 percent, an explanation of— 
‘‘(I) why the percentage is less 
than 25 percent; and 
‘‘(II) what will be done to ensure 
that the percentage for the following 
fiscal year will not be less than 25 
percent. 
VerDate Aug 31 2005 
03:47 Mar 12, 2008
Jkt 069200
PO 00000
Frm 00052
Fmt 6652
Sfmt 6201
E:\BILLS\H5577.IH
H5577
smartinez on PRODPC61 with BILLS
‘‘(e) TECHNICAL REVIEW AND APPROVAL.—Not later 
than 60 days after the date on which the results of the 
safety and hazard analysis of the standard operating pro-
cedures and requirements are completed under subsection 
(c)(2), the Secretary shall— 
‘‘(1) complete a technical review of the proce-
dures and requirements (or updates thereto) under 
sections 862(b) and 863(d)(2); and 
‘‘(2) approve or disapprove such procedures and 
requirements (or updates thereto). 
‘‘(f) EFFECT OF APPROVAL.— 
‘‘(1) ISSUANCE OF CERTIFICATE OF CONFORM-
ANCE.—In accordance with section 863(d)(3), the 
Secretary shall issue a certificate of conformance to 
a third-party entity to perform a function under sub-
section (a) if the entity— 
‘‘(A) demonstrates to the satisfaction of 
the Secretary the ability to perform functions in 
accordance with standard operating procedures 
and requirements (or updates thereto) approved 
by the Secretary under this section; 
‘‘(B) agrees to— 
‘‘(i) perform such function in accord-
ance with such standard operating proce-
VerDate Aug 31 2005 
03:47 Mar 12, 2008
Jkt 069200
PO 00000
Frm 00053
Fmt 6652
Sfmt 6201
E:\BILLS\H5577.IH
H5577
smartinez on PRODPC61 with BILLS
dures and requirements (or updates there-
to); and 
‘‘(ii) maintain liability insurance cov-
erage at policy limits and in accordance 
with conditions to be established by the 
Secretary pursuant to section 864; and 
‘‘(C) signs an agreement to protect the 
proprietary and confidential information of any 
chemical facility with respect to which the enti-
ty will perform such function. 
‘‘(2) LITIGATION AND RISK MANAGEMENT PRO-
TECTIONS.—A third-party entity that maintains li-
ability insurance coverage at policy limits and in ac-
cordance with conditions to be established by the 
Secretary pursuant to section 864 and receives a 
certificate of conformance under paragraph (1) shall 
receive all applicable litigation and risk management 
protections under sections 863 and 864. 
‘‘(3) RECIPROCAL WAIVER OF CLAIMS.—A re-
ciprocal waiver of claims shall be deemed to have 
been entered into between a third-party entity that 
receives a certificate of conformance under para-
graph (1) and its contractors, subcontractors, sup-
pliers, vendors, customers, and contractors and sub-
contractors of customers involved in the use or oper-
VerDate Aug 31 2005 
03:47 Mar 12, 2008
Jkt 069200
PO 00000
Frm 00054
Fmt 6652
Sfmt 6201
E:\BILLS\H5577.IH
H5577
smartinez on PRODPC61 with BILLS
ation of any function performed by the third-party 
entity under subparagraph (a). 
‘‘(4) INFORMATION FOR ESTABLISHING LIMITS 
OF
LIABILITY
INSURANCE.—A third-party entity 
seeking a certificate of conformance under para-
graph (1) shall provide to the Secretary necessary 
information for establishing the limits of liability in-
surance required to be maintained by the entity 
under section 864(a). 
‘‘(g) MONITORING.—The Secretary shall regularly 
monitor and inspect the operations of a third-party entity 
that performs a function under subsection (a) to ensure 
that the entity is meeting the minimum standard oper-
ating procedures and requirements established under sub-
section (c) and any other applicable requirement under 
this section. 
‘‘SEC. 2110. METHODS TO REDUCE THE CONSEQUENCES OF 
A TERRORIST ATTACK. 
‘‘(a) ASSESSMENT REQUIRED.—The owner or oper-
ator of a covered chemical facility shall include in the site 
security plan conducted pursuant to section 2103, an as-
sessment of methods to reduce the consequences of a ter-
rorist attack on that chemical facility, including— 
VerDate Aug 31 2005 
03:47 Mar 12, 2008
Jkt 069200
PO 00000
Frm 00055
Fmt 6652
Sfmt 6201
E:\BILLS\H5577.IH
H5577
smartinez on PRODPC61 with BILLS
‘‘(1) a description of the methods to reduce the 
consequences of a terrorist attack assessed by the 
covered chemical facility; 
‘‘(2) the degree to which each method to reduce 
the consequences of a terrorist attack could, if ap-
plied, reduce the potential extent of death, injury, or 
serious adverse effects to human health resulting 
from a terrorist release; 
‘‘(3) the technical viability, costs, avoided costs 
(including liabilities), savings, and applicability of 
applying each method to reduce the consequences of 
a terrorist attack; and 
‘‘(4) any other information that the owner or 
operator of the covered chemical facility considered 
in conducting the assessment. 
‘‘(b) IMPLEMENTATION.— 
‘‘(1) IMPLEMENTATION.—The owner or oper-
ator of a chemical facility assigned to a high-risk 
tier under section 2102(c)(3) that is required to con-
duct an assessment under subsection (a) shall imple-
ment methods to reduce the consequences of a ter-
rorist attack on the chemical facility if the Secretary 
determines, based on an assessment in subsection 
(a), that the implementation of such methods at the 
facility— 
VerDate Aug 31 2005 
03:47 Mar 12, 2008
Jkt 069200
PO 00000
Frm 00056
Fmt 6652
Sfmt 6201
E:\BILLS\H5577.IH
H5577
smartinez on PRODPC61 with BILLS
‘‘(A) would significantly reduce the risk of 
death, injury, or serious adverse effects to 
human health resulting from a chemical facility 
terrorist incident but would not increase the in-
terim storage of a substance of concern outside 
the facility or directly result in the creation of 
a new covered chemical facility assigned to a 
high-risk tier under section 2102(c)(3) or the 
assignment of an existing facility to a high-risk 
tier; 
‘‘(B) can feasibly be incorporated into the 
operation of the covered chemical facility; and 
‘‘(C) would not significantly and demon-
strably impair the ability of the owner or oper-
ator of the covered chemical facility to continue 
the business of the facility at a location within 
the United States. 
‘‘(2) REVIEW OF INABILITY TO COMPLY.— 
‘‘(A) IN GENERAL.—An owner or operator 
of a covered chemical facility who is unable to 
comply with the Secretary’s determination 
under paragraph (1) shall, within 60 days of re-
ceipt of the Secretary’s determination, provide 
to the Secretary a written explanation that in-
cludes the reasons thereto. 
VerDate Aug 31 2005 
03:47 Mar 12, 2008
Jkt 069200
PO 00000
Frm 00057
Fmt 6652
Sfmt 6201
E:\BILLS\H5577.IH
H5577
smartinez on PRODPC61 with BILLS
‘‘(B) REVIEW.—Not later than 60 days of 
receipt of an explanation submitted under sub-
paragraph (A), the Secretary after consulting 
with the owner or operator who submitted such 
explanation, shall provide to the owner or oper-
ator a written determination of whether imple-
mentation shall be required pursuant to para-
graph (1). If the Secretary determines that im-
plementation is required, the facility shall be re-
quired to begin implementation within 180 days 
of that determination. 
‘‘(c) PROVISION OF INFORMATION ON ALTERNATIVE 
APPROACHES.— 
‘‘(1) IN GENERAL.—The Secretary shall provide 
information to chemical facilities on the use and 
availability of methods to reduce the consequences of 
a terrorist attack at a covered chemical facility to 
aid a covered chemical facility in meeting the re-
quirements of subsection (a). 
‘‘(2) INFORMATION TO BE INCLUDED.—The in-
formation under paragraph (1) may include informa-
tion about— 
‘‘(A) general and specific types of such 
methods; 
VerDate Aug 31 2005 
03:47 Mar 12, 2008
Jkt 069200
PO 00000
Frm 00058
Fmt 6652
Sfmt 6201
E:\BILLS\H5577.IH
H5577
smartinez on PRODPC61 with BILLS
‘‘(B) combinations of chemical sources, 
substances of concern, and hazardous processes 
or conditions for which such methods could be 
appropriate; 
‘‘(C) the availability of specific methods to 
reduce the consequences of a terrorist attack; 
‘‘(D) the costs and cost savings resulting 
from the use of such methods; 
‘‘(E) emerging technologies that could be 
transferred from research models or prototypes 
to practical applications; 
‘‘(F) the availability of technical assistance 
and best practices; and 
‘‘(G) such other matters as the Secretary 
determines is appropriate. 
‘‘(3) COLLECTION OF INFORMATION.—The Sec-
retary may collect information necessary to fulfill 
the requirements of paragraph (1)— 
‘‘(A) from information obtained from own-
ers or operators of chemical facilities pursuant 
to this title, including those who have registered 
such facilities pursuant to part 68 of title 40 
Code of Federal Regulations (or successor regu-
lations); 
VerDate Aug 31 2005 
03:47 Mar 12, 2008
Jkt 069200
PO 00000
Frm 00059
Fmt 6652
Sfmt 6201
E:\BILLS\H5577.IH
H5577
smartinez on PRODPC61 with BILLS
‘‘(B) from studies and reports published by 
academic institutions, National Laboratories, 
and other relevant and reputable public and pri-
vate sector experts; and 
‘‘(C) through such other methods as the 
Secretary deems appropriate. 
‘‘(4) PUBLIC AVAILABILITY.—Information made 
available publicly under this subsection shall not 
identify any specific chemical facility, violate the 
protection of information provisions under section 
2108, or disclose any confidential or proprietary in-
formation. 
‘‘(d) PROTECTED
INFORMATION.—An assessment 
prepared under subsection (a) is protected information 
under section 2108(f). 
‘‘(e) FUNDING FOR METHODS TO REDUCE THE CON-
SEQUENCES OF A TERRORIST ATTACK.—The Secretary 
shall make funds available to help defray the cost of imple-
menting methods to reduce the consequences of a terrorist 
attack to covered chemical facilities that are required by 
the Secretary to implement such methods or that volun-
tarily choose to implement such methods. In making such 
funds available, the Secretary shall give special consider-
ation to those facilities required by the Secretary to imple-
ment methods to reduce the consequences of a terrorist 
VerDate Aug 31 2005 
03:47 Mar 12, 2008
Jkt 069200
PO 00000
Frm 00060
Fmt 6652
Sfmt 6201
E:\BILLS\H5577.IH
H5577
smartinez on PRODPC61 with BILLS
attack pursuant to subsection (b) and water and waste-
water facilities administered by State, local, tribal, or mu-
nicipal authorities that are subject to the Federal Water 
Pollution Control Act (33 U.S.C. 1251 et seq.) or section 
1433 of the Safe Drinking Water Act (42 U.S.C. 300i- 
2). 
‘‘(f) PUBLICLY-OWNED WATER AND WASTEWATER 
TREATMENT
FACILITIES.—Notwithstanding any other 
provision of this title, the Secretary may not require a 
publicly-owned facility regulated under the Safe Drinking 
Water Act (42 U.S.C. 300i–2) or the Federal Water Pollu-
tion Control Act (33 U.S.C. 1251 et seq.) to implement 
methods to reduce the consequences of a terrorist attack 
under subsection (b) unless that facility receives funding 
under subsection (e). 
‘‘SEC. 2111. APPLICABILITY. 
‘‘This title shall not apply to— 
‘‘(1) any chemical facility that is owned and op-
erated by the Secretary of Defense, the Attorney 
General, or the Secretary of Energy; 
‘‘(2) the transportation in commerce, including 
incidental storage, of any substance of concern regu-
lated as a hazardous material under chapter 51 of 
title 49, United States Code; or 
VerDate Aug 31 2005 
03:47 Mar 12, 2008
Jkt 069200
PO 00000
Frm 00061
Fmt 6652
Sfmt 6201
E:\BILLS\H5577.IH
H5577
smartinez on PRODPC61 with BILLS
‘‘(3) any chemical facility that is owned or oper-
ated by a licensee or certificate holder of the Nu-
clear Regulatory Commission. 
‘‘SEC. 2112. SAVINGS CLAUSE. 
‘‘Nothing in this title shall affect or modify in any 
way any obligation or liability of any person under any 
other Federal law, including section 112 of the Clean Air 
Act (42 U.S.C. 7412), the Federal Water Pollution Con-
trol Act (33 U.S.C. 1251 et seq.), the Resource Conserva-
tion and Recovery Act of 1976 (42 U.S.C. 6901 et seq.), 
the National Environmental Policy Act of 1969 (42 U.S.C. 
4321 et seq.), the Occupational Safety and Health Act (29 
U.S.C. 651 et seq.), the National Labor Relations Act (29 
U.S.C. 151 et seq.), the Emergency Planning and Commu-
nity Right to Know Act of 1996 (42 U.S.C. 11001 et seq.), 
the Safe Drinking Water Act (42 U.S.C. 300f et seq.), 
the Maritime Transportation Security Act of 2002 (Pubic 
Law 107–295), and the Comprehensive Environmental 
Response, Compensation, and Liability Act of 1980 (42 
U.S.C. 9601 et seq.). 
‘‘SEC. 2113. OFFICE OF CHEMICAL FACILITY SECURITY. 
‘‘(a) IN GENERAL.—There is in the Department an 
Office of Chemical Facility Security, headed by a Director, 
who shall be a member of the Senior Executive Service 
in accordance with subchapter VI of chapter 33 of title 
VerDate Aug 31 2005 
03:47 Mar 12, 2008
Jkt 069200
PO 00000
Frm 00062
Fmt 6652
Sfmt 6201
E:\BILLS\H5577.IH
H5577
smartinez on PRODPC61 with BILLS
5, United States Code, under section 5382 of that title, 
and who shall be responsible for carrying out the respon-
sibilities of the Secretary under this title. 
‘‘(b) PROFESSIONAL QUALIFICATIONS.—The indi-
vidual selected by the Secretary as the Director Office of 
Chemical Facility Security should have a demonstrated 
knowledge 
of 
physical 
infrastructure 
protection, 
cybersecurity, chemical facility security, hazard analysis, 
chemical process engineering, chemical process safety re-
views, and other such factors that the Secretary deter-
mines to be necessary. 
‘‘(c) SELECTION
PROCESS.—The Secretary shall 
make a reasonable effort to select an individual to serve 
as the Director from among a group of candidates that 
is diverse with respect to race, ethnicity, age, gender, and 
disability characteristics and submit to the Committee on 
Homeland Security of the House of Representatives and 
the Committee on Homeland Security and Governmental 
Affairs of the Senate information on the selection process, 
including details on efforts to assure diversity among the 
candidates considered for this position. 
‘‘SEC. 2114. SECURITY BACKGROUND CHECKS OF COVERED 
INDIVIDUALS AT CERTAIN CHEMICAL FACILI-
TIES. 
‘‘(a) REGULATIONS ISSUED BY THE SECRETARY.— 
VerDate Aug 31 2005 
03:47 Mar 12, 2008
Jkt 069200
PO 00000
Frm 00063
Fmt 6652
Sfmt 6201
E:\BILLS\H5577.IH
H5577
smartinez on PRODPC61 with BILLS
‘‘(1) IN GENERAL.—The Secretary shall issue 
regulations to require a covered chemical facility as-
signed to a high-risk tier under section 2102(c)(3) 
to subject covered individuals who have access to re-
stricted areas or critical assets or who are deter-
mined to require security background checks under 
risk-based guidance to security background checks 
based on risk-based guidance. Such regulations shall 
set forth— 
‘‘(A) the scope of the security background 
checks, including the types of disqualifying of-
fenses and the time period covered for each cov-
ered individual; 
‘‘(B) the processes to conduct the security 
background checks; 
‘‘(C) the necessary biographical informa-
tion and other data required in order to con-
duct the security background checks; and 
‘‘(D) a redress process for adversely-af-
fected covered individuals consistent with sub-
sections (b) and (c). 
‘‘(2) ENFORCEMENT.—If the owner or operator 
of a covered chemical facility that is subject to para-
graph (1) fails to comply with the requirements of 
that paragraph, the Secretary may issue a penalty 
VerDate Aug 31 2005 
03:47 Mar 12, 2008
Jkt 069200
PO 00000
Frm 00064
Fmt 6652
Sfmt 6201
E:\BILLS\H5577.IH
H5577
smartinez on PRODPC61 with BILLS
against the owner or operator in accordance with 
section 2106. 
‘‘(3) REQUIREMENT FOR REDRESS PROCESS.— 
If a covered chemical facility performs a security 
background check on a covered individual to comply 
with regulations issued by the Secretary under para-
graph (1), the Secretary shall not consider the facil-
ity in compliance unless an adequate redress process 
as described in subsection (c) is provided to covered 
individuals. 
‘‘(b) REQUIREMENTS.—Upon issuance of a final reg-
ulation under subsection (a), or any future rule, regula-
tion, directive or guidance, by the Secretary regarding a 
security background check of a covered individual, the 
Secretary shall prohibit the covered chemical facility from 
making an adverse employment decision, including re-
moval or suspension of the employee, due to such rule, 
regulation, directive, or guidance with respect to a covered 
individual unless the covered individual— 
‘‘(1) has been convicted of, has been found not 
guilty of by reason of insanity of, or is under want, 
warrant, or indictment for a permanent disqualifying 
criminal offense listed in part 1572 of title 49, Code 
of Federal Regulations; 
VerDate Aug 31 2005 
03:47 Mar 12, 2008
Jkt 069200
PO 00000
Frm 00065
Fmt 6652
Sfmt 6201
E:\BILLS\H5577.IH
H5577
smartinez on PRODPC61 with BILLS
‘‘(2) was convicted of or found not guilty by 
reason of insanity of an interim disqualifying crimi-
nal offense listed in part 1572 of title 49, Code of 
Federal Regulations, within 7 years of the date on 
which the chemical facility performs the security 
background check; 
‘‘(3) was incarcerated for an interim disquali-
fying criminal offense listed in part 1572 of title 49, 
Code of Federal Regulations, and released from in-
carceration within 5 years of the date that the chem-
ical facility performs the security background check; 
‘‘(4) is determined, as a result of the security 
background check, to be a known terrorist or to have 
terrorist ties; or 
‘‘(5) is determined, as a result of the security 
background check, not to be legally authorized to 
work in the United States. 
‘‘(c) REDRESS PROCESS.—Upon the issuance of a 
final regulation under subsection (a), or any future rule, 
regulation, directive, or guidance, requiring a covered 
chemical facility to perform a security background check 
of a covered individual, the Secretary shall— 
‘‘(1) require an adequate redress process for a 
covered individual subjected to an adverse employ-
ment decision, including removal or suspension of 
VerDate Aug 31 2005 
03:47 Mar 12, 2008
Jkt 069200
PO 00000
Frm 00066
Fmt 6652
Sfmt 6201
E:\BILLS\H5577.IH
H5577
smartinez on PRODPC61 with BILLS
‘‘(2) MEMBERS.—The National Chemical Secu-
rity Center of Excellence shall consist of at least 
three institutions of higher education with current 
expertise or the capability to produce appropriate ex-
pertise, including— 
‘‘(A) one historically black college or uni-
versity; and 
‘‘(B) one Hispanic-serving institution. 
‘‘(3) INCLUSIONS.—The Secretary shall ensure 
that an appropriate number of any additional part-
ner colleges or universities designated by the Sec-
retary under this subsection are historically black 
colleges and universities, Hispanic-serving institu-
tions, and tribal colleges and universities. 
‘‘(4) DEFINITIONS.—For the purposes of this 
subsection, the terms ‘historically black colleges and 
universities’, ‘Hispanic-serving institutions’, and 
‘tribal colleges and universities’ have the meanings 
given such terms under section 2109(d)(2). 
‘‘SEC. 2116. AUTHORIZATION OF APPROPRIATIONS. 
‘‘There is authorized to be appropriated to the Sec-
retary of Homeland Security to carry out this title— 
‘‘(1) $325,000,000 for fiscal year 2010, of 
which $100,000,000 shall be made available to pro-
VerDate Aug 31 2005 
03:47 Mar 12, 2008
Jkt 069200
PO 00000
Frm 00073
Fmt 6652
Sfmt 6201
E:\BILLS\H5577.IH
H5577
smartinez on PRODPC61 with BILLS