pensation in an amount by which the annual rate of com-
pensation payable for such position exceeds the total of that
officer’s annual rate of military pay and allowances.
Subtitle C—The Intelligence
Community
SEC. 131. ELEMENTS OF THE INTELLIGENCE COMMUNITY.
The Intelligence Community of the United States Gov-
ernment consists of the following:
(1) The Office of the Director of Central Intel-
ligence, which shall include the Offices of the Deputy
Directors of Central Intelligence and such other offices
as the Director may designate.
(2) The Community Management Staff.
(3) The National Intelligence Evaluation Coun-
cil.
(4) The Central Intelligence Agency.
(5) The Defense Intelligence Agency.
(6) The National Security Agency.
(7) The National Reconnaissance Office.
(8) The Central Imagery Office.
(9) The Infrastructure Support Office.
(10) The intelligence elements of the Army, the
Navy, the Air Force, the Marine Corps, and the Coast
Guard.
(11) The intelligence elements of the Federal Bu-
reau of Investigation, the Department of the Treas-
ury, the Department of Energy, and the Drug En-
forcement Administration.
(12) The Bureau of Intelligence and Research of
the Department of State.
(13) Such other offices and entities as are estab-
lished by law under the authority of the Director of
Central Intelligence or as may be provided by law or
by the President to be a component of the Intelligence
Community.
SEC. 132. INTELLIGENCE COMMUNITY INSPECTOR GEN-
ERAL FORUM.
(a) ESTABLISHMENT.—There is hereby established an
Intelligence Community Inspector General Forum (herein-
after in this section referred to as the ‘‘Forum’’).
(b) MISSION.—The Forum shall provide a mechanism
for sharing information among those Inspectors General
whose duties and responsibilities include audit, inspection,
or investigation relating to programs and operations of ele-
ments within the Intelligence Community to ensure ade-
quate Inspector General oversight with respect to those pro-
grams and operations and to coordinate efforts with a view
toward preventing duplication.
(c) MEMBERSHIP.—
(1) The Forum shall consist of the following
members:
(A) The Inspector General of the Depart-
ment of Defense.
(B) The Inspector General of the Central
Intelligence Agency.
(C) The Inspector General of the Depart-
ment of State.
(D) The Inspector General of the Depart-
ment of the Treasury.
(E) The Inspector General of the Depart-
ment of Justice.
(F) The Inspector General of the Depart-
ment of Energy.
(G) The Inspector General of any other ele-
ment within the Intelligence Community, regard-
less of whether the position of such Inspector
General is created by statute.
(H) Such other Federal officials as the co-
chairs of the Forum may invite to attend meet-
ings whenever matters of interest to them are
scheduled to be discussed.
(2) The Forum shall be co-chaired by the Inspec-
tor General of the Department of Defense and the In-
spector General of the Central Intelligence Agency.
(3) The co-chairs may establish such subcommit-
tees or working groups as they consider appropriate
to support the work of the Forum.
(4) There shall be an Executive Secretary for the
Forum to be appointed from the Office of the Inspec-
tor General of the Department of Defense.
(d) MEETINGS.—The Forum shall meet at least quar-
terly, and more often as the co-chairs consider necessary.
The Director of Central Intelligence, the Secretaries of De-
fense, State, the Treasury, and Energy, and the Attorney
General of the United States shall be given as much advance
notice as practicable before each meeting of the Forum.
(e) FUNCTIONS.—
(1) The Forum shall ensure adequate Inspector
General oversight over programs and operations of
elements within the Intelligence Community under the
jurisdiction of two or more statutory Inspectors Gen-
eral. In this regard, the Director of Central Intel-
ligence, the Secretaries of Defense, State, the Treas-
ury, and Energy, and the Attorney General may each
submit to the Forum or to their respective statutory
Inspector General requests for an Inspector General
audit, inspection, or investigation with respect to any
program or operation of an element within the Intel-
ligence Community under the jurisdiction of two or
more statutory Inspectors General.
(2) The Forum shall serve as a focal point for
discussions of mutual interest to the Inspectors Gen-
eral concerning oversight of elements within the Intel-
ligence Community, including—
(A) policies and procedures for conducting
audits, inspections, or investigations into pro-
grams and operations of elements within the In-
telligence Community under the jurisdiction of
two or more statutory Inspectors General; and
(B) qualifications and training for audi-
tors, inspectors, and investigators who will be as-
signed to conduct audits, inspections, or inves-
tigations into programs and operations of ele-
ments within the Intelligence Community under
the jurisdiction of two or more statutory Inspec-
tors General.
(3) The Forum shall keep the Director of Central
Intelligence, the Secretary of the appropriate Depart-
ment, and the head of the appropriate element within
the Intelligence Community informed of issues identi-
fied in audits, inspections or investigations of pro-
grams, or operations of elements within the Intel-
ligence Community under the jurisdiction of two or
more statutory Inspectors General.
(4) This section shall not preclude and is not in-
tended to preclude an Inspector General from inde-
pendently initiating any audit, inspection, or inves-
tigation of programs or operations within their re-
spective establishment as they consider appropriate in
accordance with the Inspector General Act of 1978, or
section 17 of the Central Intelligence Agency Act of
1949, as appropriate.
(f) 
RESPONSIBILITIES.—Members 
of 
the 
Forum
shall—
(1) designate a point of contact within their re-
spective organizations to receive and provide informa-
tion regarding Forum activities; and
(2) provide staff and other resources for the au-
dits, inspections and investigations of programs, or
operations that involve two or more elements within
the Intelligence Community.
(g) REPORT ON INSPECTOR GENERAL FOR THE INTEL-
LIGENCE COMMUNITY.—Not later than April 15, 1997, the
Forum shall submit to the congressional intelligence com-
mittees a report on the feasibility of, and costs and benefits
associated with, creating an Inspector General for the Intel-
ligence Community.
Subtitle D—Annual Reports
SEC. 141. ANNUAL REPORT ON INTELLIGENCE COMMUNITY
ACTIVITIES.
(a) IN GENERAL.—The Director of Central Intelligence
shall submit to Congress an annual report on the activities
of the Intelligence Community. The annual report shall be
unclassified.
(b) MATTERS TO BE COVERED IN ANNUAL REPORT.—
Each report under this section shall describe—
(1) the activities of the Intelligence Community
during the preceding fiscal year, including significant
successes and failures that can be described in an un-
classified manner; and
(2) the areas of the world and the issues that the
Director expects will require increased or unusual at-
tention from the Intelligence Community during the
next fiscal year.
(c) TIME FOR SUBMISSION.—The report under this sec-
tion for any year shall be submitted at the same time that
the President submits the budget for the next fiscal year
pursuant to section 1105 of title 31, United States Code.
TITLE II—INTELLIGENCE
COMMUNITY MANAGEMENT
Subtitle A—Intelligence Community
Functions
SEC. 201. COMMUNITY MANAGEMENT STAFF.
There is a Community Management Staff.
SEC. 202. FUNCTIONS OF THE COMMUNITY MANAGEMENT
STAFF.
(a) IN GENERAL.—The Deputy Director of Central In-
telligence for Community Management, acting through the
Community Management Staff, shall provide corporate
management of the following Intelligence Community-wide
functions:
(1) Requirements and collection management.
(2) Planning, programming, budgeting, and ac-
counting for the National Foreign Intelligence Pro-
gram.
(3) Research and development activities.
(b) COORDINATION WITH THE DMI STAFF.—The Dep-
uty Director of Central Intelligence for Community Man-
agement shall coordinate the functions referred to in para-
graphs (1) through (3) of subsection (a) with the Director
of Military Intelligence.
Subtitle B—National Foreign
Intelligence Program
SEC. 221. BUDGETS.
(a) PREPARATION.—The Deputy Director of Central
Intelligence for Community Management, in consultation
with the elements of the Intelligence Community, shall pre-
pare the annual budgets of the National Foreign Intel-
ligence Program.
(b) APPROVAL OF BUDGETS.—The Director of Central
Intelligence shall approve the budgets prepared under sub-
section (a) before their incorporation in the National For-
eign Intelligence Program.
(c) ACCOUNTING.—The Director of Central Intel-
ligence, acting through the Deputy Director of Central In-
telligence for Community Management, shall budget and ac-
count for financial resources on a community-wide basis
by the functional categories of collection, processing, exploi-
tation, analysis, dissemination, and infrastructure.
(d) IDENTIFICATION OF CONSTITUENT COMPONENTS
OF BASE INTELLIGENCE BUDGET.—The Director of Central
Intelligence shall include in the congressional budget jus-
tification materials provided to the congressional intel-
ligence committees in connection with the annual submis-
sion of the National Foreign Intelligence Program for a fis-
cal year the same level of budgetary detail for that part
of the National Foreign Intelligence Program budget identi-
fied as the Base Budget that is provided for that part of
such budget identified as Ongoing Initiatives and New Ini-
tiatives.
SEC. 222. COMPTROLLER FUNCTIONS OF COMMUNITY MAN-
AGEMENT STAFF.
(a) EXECUTION REVIEW.—The Community Manage-
ment Staff shall perform budget execution review of ele-
ments of the Intelligence Community and shall have the au-
thority to recommend to the comptroller of the Department
of Defense that authorized and appropriated intelligence
funds be withheld in those instances in which elements of
the Intelligence Community within the Department of De-
fense are not complying with guidance from the Director
of Central Intelligence or applicable law.
(b) ACCOUNTING SYSTEM.—The Deputy Director of
Central Intelligence for Community Management shall es-
tablish and maintain an Intelligence Community-wide
automated system for programming, budgeting, accounting,
and execution review of the National Foreign Intelligence
Program.
SEC. 223. LIMITATIONS ON TRANSFERS AND REPROGRAM-
MING.
(a) LIMITATION ON NEW USE OF FUNDS AVAILABLE
FOR INTELLIGENCE ACTIVITIES.—Funds may not be made
available through transfer, reprogramming, or other means
between the Central Intelligence Agency and the Depart-
ment of Defense for any intelligence or special activity dif-
ferent from that previously justified to the Congress unless
the Director of Central Intelligence or the Secretary of De-
fense notifies in advance the Permanent Select Committee
on Intelligence of the House of Representatives, the Select
Committee on Intelligence of the Senate, and the Commit-
tees on Appropriations of the Senate and House of Rep-
resentatives of the intent to make such funds available for
such activity.
(b) LIMITATION
ON AMOUNTS TRANSFERRED.—The
amount that may be transferred from any account of an
element of the Intelligence Community for any fiscal year
may not exceed five percent of the aggregate portion of the
National Foreign Intelligence Program budget of that ele-
ment for that fiscal year.
(c) LIMITATION ON TRANSFER OF FUNDS AVAILABLE
FOR
DRUG
INTERDICTION
OR
COUNTER-DRUG
PUR-
POSES.—None of the funds available to the Central Intel-
ligence Agency for any fiscal year for drug interdiction and
counter-drug activities may be transferred to any other de-
partment or agency of the United States except as specifi-
cally provided in an appropriations law.
SEC. 224. TRANSFER OF FUNDS OR PERSONNEL WITHIN
THE NATIONAL FOREIGN INTELLIGENCE PRO-
GRAM.
(a) GENERAL AUTHORITY.—In addition to any other
authorities available under law for such purposes, the Di-
rector of Central Intelligence, with the approval of the Di-
rector of the Office of Management and Budget, may trans-
fer funds appropriated for a program within the National
Foreign Intelligence Program to another such program and,
in accordance with procedures to be developed by the Direc-
tor and the heads of affected departments and agencies, may
transfer personnel authorized for an element of the Intel-
ligence Community to another such element for periods up
to a year.
(b) CONDITIONS.—A transfer of funds or personnel
may be made under this section only if—
(1) the funds or personnel are being transferred
to an activity that is a higher priority intelligence
activity;
(2) the need for funds or personnel for such ac-
tivity is based on unforeseen requirements;
(3) the transfer does not involve a transfer of
funds to the Reserve for Contingencies of the Director
of Central Intelligence; and
(4) the transfer does not involve a transfer of
funds or personnel from the Federal Bureau of Inves-
tigation.
(c) AVAILABILITY OF TRANSFERRED FUNDS.—Funds
transferred under this subsection shall remain available for
the same period as the appropriations account to which
such funds are transferred.
(d) NOTIFICATION OF CONGRESS.—Any transfer of
funds under this section shall be carried out in accordance
with existing procedures applicable to reprogramming noti-
fications for the appropriate congressional committees. Any
proposed transfer for which notice is given to the appro-
priate congressional committees shall be accompanied by a
report explaining the nature of the proposed transfer and
how it satisfies the requirements of this subsection. In addi-
tion, the congressional intelligence committees shall be
promptly notified of any transfer of funds made pursuant
to this subsection in any case in which the transfer would
not have otherwise required reprogramming notification
under procedures in effect as of October 24, 1992.
(e) REPORT ON PERSONNEL TRANSFERS.—The Direc-
tor shall promptly submit to the congressional intelligence
committees and, in the case of the transfer of personnel to
or from the Department of Defense, the Committee on
Armed Services of the Senate and the Committee on Na-
tional Security of the House of Representatives, a report
on any transfer of personnel made pursuant to this section.
The Director shall include in any such report an expla-
nation of the nature of the transfer and how it satisfies the
requirements of this subsection.
SEC. 225. LIMITATION ON REPROGRAMMING.
No funds made available under the National Foreign
Intelligence Program may be reprogrammed by any element
of the Intelligence Community without the prior approval
of the Director of Central Intelligence except in accordance
with procedures issued by the Director.
Subtitle C—Personnel
SEC. 231. USE OF PERSONNEL.
The Director of Central Intelligence shall, in coordina-
tion with the heads of departments and agencies with ele-
ments in the Intelligence Community, institute policies and
programs within the Intelligence Community—
(1) to provide for the rotation of personnel be-
tween the elements of the Intelligence Community,
where appropriate, and to make such rotated service
a factor to be considered for promotion to senior posi-
tions;
(2) to consolidate, wherever possible, personnel,
administrative, and security programs to reduce the
overall costs of these activities within the Intelligence
Community;
(3) to ensure the maintenance of effective per-
formance evaluation systems with common standards
throughout the national Intelligence Community; and
(4) to develop a community-wide career develop-
ment program that emphasizes corporate management
skills.
SEC. 232. AUTHORITY TO TERMINATE EMPLOYMENT OF
CERTAIN EMPLOYEES.
(a) IN GENERAL.—The Director of Central Intelligence
may, in the Director’s discretion, terminate the employment
of any officer or employee of the Central Intelligence Agency
or the Community Management Staff whenever the Director
considers such termination to be necessary or advisable in
the interests of the United States.
(b) OTHER EMPLOYMENT IN THE GOVERNMENT.—Any
such termination does not affect the right of the individual
whose employment is so terminated to seek or accept em-
ployment in any other department or agency of the Govern-
ment if declared eligible for such employment by the Office
of Personnel Management.
SEC. 233. INTELLIGENCE COMMUNITY RESERVE.
(a) ESTABLISHMENT.—The Director of Central Intel-
ligence shall establish an Intelligence Community Reserve.
(b) MEMBERS.—The Intelligence Community Reserve
may consist of former or retired personnel of elements of
the Intelligence Community (including individuals with ex-
pertise in all-source analysis and individuals who are lin-
guists) and of other qualified individuals drawn from non-
Intelligence Community sources, as determined by the Di-
rector of Central Intelligence. Each member of the Intel-
ligence Community Reserve shall agree that, during any pe-
riod of emergency (as determined by the Director), the mem-
ber shall enter into or return to active civilian status within
the Intelligence Community and shall perform such duties
as the Director may assign.
(c) MONETARY INCENTIVES.—In order to attract indi-
viduals to become members of the Intelligence Community
Reserve, the Director, without regard to subchapter IV of
chapter 55 of title 5, United States Code, may provide spe-
cial monetary incentives to individuals eligible to become
members of the Reserve who agree to become members of
the Intelligence Community Reserve and to acquire or re-
tain proficiency in such skills as the Director shall specify.
(d) TRAINING AND SUPPORT.—In order to provide
training and support for members of the Intelligence Com-
munity Reserve, the Director—
(1) may pay all or part of the expenses related
to the training of individuals in the Intelligence Com-
munity Reserve; and
(2) may pay benefits and allowances in accord-
ance with chapters 57 and 59 of title 5, United States
Code, to individuals in the Intelligence Community
Reserve who are assigned to training at sites away
from their homes or regular places of business.
(e) SERVICE AGREEMENTS.—(1) The Director, before
providing training under this section to any individual,
may obtain an agreement with that individual that—
(A) in the case of current employees, pertains to
continuation of service of the employee, and repay-
ment of the expenses of such training for failure to
fulfill the agreement, consistent with the provisions of
section 4108 of title 5, United States Code; and
(B) in the case of individuals accepted for mem-
bership in the Intelligence Community Reserve, per-
tains to return to service when requested, and repay-
ment of the expenses of such training for failure to
fulfill the agreement, consistent with the provisions of
section 4108 of title 5, United States Code.
(2) The Director, under regulations prescribed under
this section, may waive, in whole or in part, a right of
recovery under an agreement made under this subsection
if it is shown that the recovery would be against equity
and good conscience or against the public interest.
(f) APPLICABILITY OF VOLUNTARY SEPARATION PAY
ACT.—(1) Participation in the Intelligence Community Re-
serve through the receipt of monetary incentives under sub-
section (c) does not constitute employment with the Govern-
ment of the United States for purposes of the Central Intel-
ligence Agency Voluntary Separation Pay Act (50 U.S.C.
403–4).
(2) Performing service in an active duty status under
subsection (d) does constitute employment with the Govern-
ment of the United States for purposes of the Central Intel-
ligence Agency Voluntary Separation Pay Act (50 U.S.C.
403–4), and the repayment requirement of section 2(b) of
that Act applies unless waived in accordance with such sec-
tion 2(b).
Subtitle D—Infrastructure Support
Office
SEC. 241. ESTABLISHMENT OF INFRASTRUCTURE SUPPORT
OFFICE.
(a) ESTABLISHMENT.—There is within the Intelligence
Community the Infrastructure Support Office.
(b) DIRECTOR.—The Office shall be headed by a Direc-
tor, who shall be appointed by the Director of Central Intel-
ligence.
SEC. 242. RESPONSIBILITIES OF DIRECTOR OF THE INFRA-
STRUCTURE SUPPORT OFFICE.
(a) IN GENERAL.—Under the direction of the Deputy
Director of Central Intelligence for Community Manage-
ment, the Director of the Infrastructure Support Office shall
be responsible for administrative and logistical functions
relating to infrastructure and services of common concern
to elements of the Intelligence Community. Such functions
shall include the following:
(1) Personnel management.
(2) Security.
(3) Community-level training.
(4) Communications.
(5) Automation.
(6) Such additional functions as may be as-
signed by the Director of Central Intelligence.
(b) AUTOMATION EQUIPMENT.—The Director of the In-
frastructure Support Office shall establish standards and
information architectures 
for 
automation 
equipment
throughout the Intelligence Community. The Director shall
be responsible for life-cycle management, replacement, and
upgrading of such equipment.
(c) COORDINATION AMONG ELEMENTS
OF INTEL-
LIGENCE COMMUNITY.—The Director of Central Intelligence
and the Secretary of Defense, as appropriate, shall require
the head of each element of the Intelligence Community to
report to the Director of the Infrastructure Support Office
on those functions and activities that can be consolidated
in the Infrastructure Support Office so as to achieve cost
savings and efficiencies for the Intelligence Community as
a whole.
Subtitle E—Intelligence Community
Administration
SEC. 251. SECRECY AGREEMENTS USED IN INTELLIGENCE
ACTIVITIES.
Notwithstanding any other provision of law not spe-
cifically referencing this section, a nondisclosure policy
form or agreement that is to be executed by a person con-
nected with the conduct of an intelligence or intelligence-
related activity, other than an employee or officer of the
United States Government, may contain provisions appro-
priate to the particular activity for which such document
is to be used. Such form or agreement shall, at a mini-
mum—
(1) require that the person will not disclose any
classified information received in the course of such
activity unless specifically authorized to do so by the
United States Government; and
(2) provide that the form or agreement does not
bar—
(A) disclosures to Congress; or
(B) disclosures to an authorized official of
an executive agency that are considered essential
to reporting a violation of United States law.
SEC. 252. COORDINATION OF COUNTERINTELLIGENCE MAT-
TERS WITH THE FEDERAL BUREAU OF INVES-
TIGATION.
(a) COORDINATION
BY
OTHER
AGENCIES
WITH
FBI.—(1) The head of each department or agency within
the executive branch shall ensure that the Director of the
Federal Bureau of Investigation is informed immediately
of any information, regardless of its origin, which indicates
that classified information is being, or may have been, dis-
closed in an unauthorized manner to a foreign power or
an agent of a foreign power.
(2) Following the making of a report under paragraph
(1), the head of the department or agency making the report
shall ensure that the Director of the Federal Bureau of In-
vestigation is consulted with respect to all subsequent ac-
tions that may be undertaken by the department or agency
to determine the source of such unauthorized disclosure.
(3) When, after appropriate consultation with the head
of the department or agency concerned, the Director of the
Federal Bureau of Investigation undertakes investigative
activities to determine the source of the unauthorized disclo-
sure, the head of the department or agency concerned shall
ensure that the Director is given complete and timely access
to the employees and records of that department or agency
for purposes of such investigative activities.
(b) COORDINATION BY FBI WITH OTHER AGENCIES.—
(1) The Director of the Federal Bureau of Investigation
shall ensure that when the Bureau obtains espionage infor-
mation pertaining to the personnel, operations, or informa-
tion of another department or agency of the executive
branch, such information is provided through appropriate
channels to the head of that department or agency.
(2) The Director shall ensure that when the Bureau
undertakes an espionage investigation which involves the
personnel, operations, or information of another depart-
ment or agency of the executive branch after a report is
provided pursuant to subsection (a)(1), the head of that de-
partment or agency is consulted with respect to that inves-
tigation.
(c) PRESIDENTIAL WAIVER AUTHORITY.—(1) When es-
sential to meet extraordinary circumstances affecting vital
national security interests of the United States as deter-
mined by the President, the President may, on a case-by-
case basis, waive the requirements of subsection (a) or (b),
as they apply to the head of a particular department or
agency or to the Director of the Federal Bureau of Inves-
tigation.
(2) Such a waiver shall be in writing and shall fully
state the justification for the waiver.
(3) Within 30 days after issuing such a waiver, the
President shall notify the congressional intelligence commit-
tees that the waiver has been issued and, at that time or
as soon thereafter as national security considerations per-
mit, shall provide those committees with a complete expla-
nation of the circumstances which necessitated the waiver.
(d) ANNUAL REPORT.—The Director of the Federal
Bureau of Investigation shall, not later than February 1
of each year, submit to the congressional intelligence com-
mittees and, in accordance with applicable security proce-
dures, the Committees on the Judiciary of the Senate and
House of Representatives a report with respect to compli-
ance with subsections (a) and (b) during the previous cal-
endar year. Each such report shall be prepared in consulta-
tion with the Director of Central Intelligence and the Sec-
retary of Defense.
(e) RELATIONSHIP TO DEPARTMENT OF DEFENSE AU-
THORITY OVER PERSONS SUBJECT TO UCMJ.—Nothing in
this section may be construed to—
(1) alter the jurisdictional arrangements in effect
as of October 14, 1994, between the Federal Bureau
of Investigation and the Department of Defense with
respect to investigations of persons subject to the Uni-
form Code of Military Justice (chapter 47 of title 10,
United States Code); or
(2) impose reporting requirements upon the De-
partment of Defense with respect to such investiga-
tions beyond those required by law and executive
branch policy as of October 14, 1994.
(f) DEFINITIONS.—As used in this section, the terms
‘‘foreign power’’ and ‘‘agent of a foreign power’’ have the
meanings set forth in sections 101(a) and 101(b), respec-
tively, of the Foreign Intelligence Surveillance Act of 1978
(50 U.S.C. 1801).
SEC. 253. INTELLIGENCE COMMUNITY CONTRACTING.
The Director of Central Intelligence shall direct that
elements of the Intelligence Community, whenever compat-
ible with the national security interests of the United States
and consistent with the operational and security concerns
related to the conduct of intelligence activities, and where
fiscally sound, shall award contracts in a manner that
would maximize the procurement of products in the United
States.
TITLE III—INTELLIGENCE
COMMUNITY AGENCIES
Subtitle A—Central Intelligence
Agency
SEC. 301. CENTRAL INTELLIGENCE AGENCY.
There is a Central Intelligence Agency. The Central In-
telligence Agency is the principal all-source national intel-
ligence analytical agency. The Director of Central Intel-
ligence is the head of the Central Intelligence Agency.
SEC. 302. DUTIES OF DIRECTOR OF CENTRAL INTEL-
LIGENCE WITH REGARD TO THE CENTRAL IN-
TELLIGENCE AGENCY.
The Director of Central Intelligence, as head of the
Central Intelligence Agency, shall—
(1) correlate and evaluate intelligence related to
the national security;
(2) provide appropriate dissemination of such
intelligence; and
(3) coordinate and manage all human intel-
ligence activities within the Intelligence Community.
SEC. 303. FUNCTIONS OF THE CENTRAL INTELLIGENCE
AGENCY.
The Director of Central Intelligence, as head of the
Central Intelligence Agency, shall perform the following
functions:
(1) ANALYSIS AND PRODUCTION.—
(A) Correlating and evaluating intelligence
related to national security collected from all
sources available throughout the Intelligence
Community and facilitating appropriate dis-
semination of such intelligence.
(B) Coordinating analyses conducted by the
elements of the Intelligence Community and es-
tablishing procedures for collaborative all-source
analysis.
(C) Producing national intelligence esti-
mates.
(D) Managing the acquisition and incorpo-
ration of all-source intelligence into the commu-
nity all-source analytical process.
(2) COLLECTION
OF
INTELLIGENCE
THROUGH
HUMAN SOURCES.—
(A) Collecting national intelligence clandes-
tinely through human sources and by other ap-
propriate means, using the elements of the Intel-
ligence Community authorized to undertake such
collection.
(B) Ensuring that the most effective use is
made of resources authorized for the purposes of
subparagraph (A) and minimizing the risks to
the United States inherent in clandestine collec-
tion operations.
(C) Managing the administrative and tech-
nical support activities of the Intelligence Com-
munity necessary to carrying out clandestine
collection.
(D) Performing such other functions as the
Director of Central Intelligence may direct.
SEC. 304. AGREEMENT TO TRANSFER DOD CLANDESTINE
HUMINT TO CIA.
The Secretary of Defense shall enter into an agreement
with the Director of Central Intelligence to transfer from
the Secretary of Defense the responsibilities and authorities
of the Secretary for the clandestine collection of intelligence
by human sources conducted by the Defense Human Intel-
ligence Service as of the date of the enactment of this Act.
Subtitle B—The National
Intelligence Evaluation Council
SEC. 321. NATIONAL INTELLIGENCE EVALUATION COUNCIL.
(a) ESTABLISHMENT.—There is within the Intelligence
Community the National Intelligence Evaluation Council.
(b) MEMBERS.—The National Intelligence Evaluation
Council shall be composed of senior analysts within the In-
telligence Community and may include substantive experts
from the public and private sector. Members of the Council
shall be appointed by, report to, and serve at the pleasure
of, the Director of Central Intelligence. The Director of
Central Intelligence shall appoint the head of the Council
from among its members, who shall report directly to the
Director of Central Intelligence.
(c) SECURITY
REQUIREMENTS.—The Director of
Central Intelligence shall prescribe appropriate security re-
quirements for personnel appointed from the private sector
as a condition of service on the Council to ensure the protec-
tion of intelligence sources and methods while avoiding,
wherever possible, unduly intrusive requirements which the
Director considers to be unnecessary for this purpose.
SEC. 322. FUNCTIONS OF THE NATIONAL INTELLIGENCE
EVALUATION COUNCIL.
The National Intelligence Evaluation Council shall
evaluate Intelligence Community-wide collection and pro-
duction of intelligence, as well as the requirements and re-
sources for such collection and production. Such evaluation
shall be performed in consultation with both Deputy Direc-
tors of Central Intelligence and with the Director of Mili-
tary Intelligence.
SEC. 323. STAFFING OF THE NATIONAL INTELLIGENCE
EVALUATION COUNCIL.
The Director of Central Intelligence shall make avail-
able to the National Intelligence Evaluation Council such
staff as may be necessary to permit the Council to carry
out its responsibilities under this subtitle and shall take ap-
propriate measures to ensure that the Council and its staff
satisfy the needs of policymaking officials and other con-
sumers of intelligence.
Subtitle C—Future of Intelligence
Collection
SEC. 331. PANEL ON THE FUTURE OF INTELLIGENCE COL-
LECTION.
(a) STUDY.—The Director of Central Intelligence and
the Secretary of Defense shall arrange for a study to be con-
ducted on the future of intelligence collection, in terms of
managing collection resources in a more consolidated, syn-
ergistic manner. The study is not limited to, but should in-
clude specific examination of the following:
(1) Establishing within the Intelligence Commu-
nity a single agency with responsibility for—
(A) the clandestine collection of intelligence
through human sources and other clandestine
techniques;
(B) covert action; and
(C) representing the Director of Central In-
telligence in liaison with foreign intelligence and
security services.
(2) Establishing a single agency for the conduct
of technical intelligence collection activities, includ-
ing—
(A) signals intelligence (SIGINT), imagery
intelligence (IMINT), and measurement and sig-
natures intelligence (MASINT);
(B) first-phase (or initial) exploitation of
the results of such collection;
(C) dissemination of such collection in a
timely manner;
(D) development of processing and exploi-
tation technologies to support these functions;
and
(E) serving as the sole agent within the In-
telligence Community for—
(i) the specification of technical re-
quirements for such reconnaissance systems
as may be needed to meet the signals intel-
ligence, imagery intelligence, and measure-
ment and signatures intelligence collection
requirements of the Intelligence Community;
and
(ii) the operation and final disposition
of such systems.
(3) Establishing a single agency—
(1) take into account current and future techno-
logical capabilities and intelligence requirements;
(2) take into account the costs and benefits asso-
ciated with establishing each of the agencies described
in paragraphs (1) through (4) of subsection (a) as
well as the costs and benefits of maintaining the cur-
rent system of distinct ‘‘collection stovepipes’’; and
(3) examine establishing each of the agencies de-
scribed in paragraphs (1) through (4) of subsection
(a) both on their individual merits and also with a
view toward having such agencies co-exist as an en-
tire new organizational structure.
(c) PANEL MEMBERS.—
(1) SELECTION.—The Director of Central Intel-
ligence and the Secretary of Defense, jointly, shall se-
lect individuals for membership on a panel to conduct
the study under subsection (a) who are—
(A) current and former members of the In-
telligence Community and senior policy makers
who are knowledgeable about a diverse range of
intelligence requirements; and
(B) such other public or private individuals
as the Director and the Secretary deem appro-
priate.
(2) BALANCE.—Membership on the panel shall be
balanced in terms of technical and operational knowl-
edge and views so as to ensure the objectivity of the
panel’s report.
(3) DIRECTOR.—The Director of Central Intel-
ligence shall appoint a director of the panel from
among its members. The director of the panel may
create such sub-panels as the director deems appro-
priate.
(d) REPORT.—No later than April 15, 1997, the panel
shall submit a report of the study to the Director of Central
Intelligence, who shall forward the report to the President,
the Secretary of Defense, and to the congressional intel-
ligence committees.
TITLE IV—DEPARTMENT OF DE-
FENSE FUNCTIONS IN THE IN-
TELLIGENCE COMMUNITY
Subtitle A—Secretary of Defense
SEC. 401. OVERALL SECRETARY OF DEFENSE FUNCTIONS.
The Secretary of Defense shall perform such intel-
ligence functions as may be directed by the President by
Executive order or otherwise.
SEC. 402. REQUIREMENT THAT BUDGETS FOR INTEL-
LIGENCE COMPONENTS BE ADEQUATE.
The Secretary of Defense shall ensure that the budgets
of the elements of the Intelligence Community within the
Department of Defense for any fiscal year are adequate to
satisfy the overall intelligence needs of the Department of
Defense, including—
(1) the needs of the chairman of the Joint Chiefs
of Staff;
(2) the needs of the commanders of the unified
and specified commands; and
(3) the needs of other departments and agencies,
as appropriate.
SEC. 403. IMPLEMENTATION OF DIRECTOR OF CENTRAL IN-
TELLIGENCE POLICIES AND RESOURCE DECI-
SIONS.
The Secretary of Defense shall ensure appropriate im-
plementation of the policies and resource decisions of the
Director of Central Intelligence by elements of the Depart-
ment of Defense within the National Foreign Intelligence
Program.
SEC. 404. RELATIONSHIP OF NFIP ACTIVITIES TO TACTICAL
INTELLIGENCE ACTIVITIES.
The Secretary of Defense shall ensure that the tactical
intelligence activities of the Department of Defense com-
plement, and are compatible with, intelligence activities
under the National Foreign Intelligence Program. The Sec-
retary shall carry out this section through the Director of
Military Intelligence.
SEC. 405. RESPONSIVENESS TO OPERATIONAL MILITARY
FORCES.
The Secretary of Defense shall ensure that the elements
of the Intelligence Community within the Department of
Defense are responsive and timely with respect to satisfying
the needs of operational military forces.
SEC. 406. ELIMINATION OF WASTE AND UNNECESSARY DU-
PLICATION.
The Secretary of Defense shall eliminate waste and un-
necessary duplication among the intelligence activities of
the Department of Defense.
SEC. 407. JOINT AND CORPORATE CONDUCT OF DEFENSE
INTELLIGENCE ACTIVITIES.
The Secretary of Defense shall ensure that, when ap-
propriate, intelligence activities of the Department of De-
fense are conducted (1) jointly, and (2) cooperatively with
elements of the Intelligence Community outside the Depart-
ment of Defense.
SEC. 408. SIGNALS INTELLIGENCE ACTIVITIES.
The Secretary of Defense shall ensure through the Na-
tional Security Agency (except as otherwise directed by the
President or the National Security Council), the continued
operation of an effective unified organization for the con-
duct of signals intelligence activities and shall ensure that
the product is disseminated in a timely manner to author-
ized recipients.
SEC. 409. IMAGERY COLLECTION, PROCESSING, AND EX-
PLOITATION.
The Secretary of Defense shall ensure through the
Central Imagery Office (except as otherwise directed by the
President or the National Security Council), with appro-
priate representation from the Intelligence Community, the
continued operation of an effective unified organization
within the Department of Defense for carrying out tasking
of imagery collection, for the coordination of imagery proc-
essing and exploitation activities, and for ensuring the dis-
semination of imagery in a timely manner to authorized
recipients.
SEC. 410. OVERHEAD RECONNAISSANCE SYSTEMS.
The Secretary of Defense shall ensure through the Na-
tional Reconnaissance Office (except as otherwise directed
by the President or the National Security Council), the con-
tinued operation of an effective unified organization for the
research and development, acquisition, and operation of
overhead reconnaissance systems necessary to satisfy the re-
quirements of all elements of the Intelligence Community.
SEC. 411. USE OF ELEMENTS OF DEPARTMENT OF DEFENSE.
The Secretary of Defense, in carrying out the functions
of the Secretary under this Act, may use such elements of
the Department of Defense as may be appropriate for the
execution of those functions, in addition to, or in lieu of,
the elements specifically identified in this Act for the per-
formance of those functions.
SEC. 412. CONSULTATIONS REGARDING APPOINTMENT OF
CERTAIN INTELLIGENCE OFFICIALS.
(a) IN GENERAL.—Section 201 of title 10, United
States Code, is amended to read as follows:
‘‘§ 201. Consultation regarding appointment of heads
of certain intelligence components
‘‘(a) CONSULTATIONS WITH REGARD TO DIRECTORS
OF NSA AND NRO.—Before submitting a recommendation
to the President regarding the appointment of an individ-
ual to the position of Director of the National Security
Agency or Director of the National Reconnaissance Office,
the Secretary of Defense shall consult with the Director of
Central Intelligence regarding the recommendation.
‘‘(b) APPOINTMENT OF HEAD OF CENTRAL IMAGERY
OFFICE.—The Secretary shall appoint, upon the rec-
ommendation of the Director of Central Intelligence, the
head of the Central Imagery Office within the Department
of Defense.’’.
(b) CLERICAL AMENDMENT.—The item relating to sec-
tion 201 in the table of sections at the beginning of sub-
chapter II of chapter 8 of such title is amended to read
as follows:
‘‘201. Consultation regarding appointment of heads of certain intelligence compo-
nents.’’.
Subtitle B—Director of Military
Intelligence
SEC. 421. DIRECTOR OF MILITARY INTELLIGENCE.
(a) ESTABLISHMENT OF POSITION.—There is a Direc-
tor of Military Intelligence, appointed by the President, by
and with the advice and consent of the Senate, from the
officers of the regular components of the Armed Forces on
active duty. The Director, while so serving, holds the grade
of lieutenant general or vice admiral.
(b) NOMINATION.—A recommendation by the Secretary
of Defense to the President for appointment of an officer
as Director of Military Intelligence may be made only after
consultation with the Director of Central Intelligence.
SEC. 422. FUNCTIONS OF THE DIRECTOR OF MILITARY IN-
TELLIGENCE.
(a) SENIOR MILITARY INTELLIGENCE ADVISER.—The
Director of Military Intelligence is the senior military intel-
ligence adviser to the Secretary of Defense.
(b) DIRECTOR OF DIA.—The Director of Military In-
telligence is the Director of the Defense Intelligence Agency.