In the Senate of the United States, 
September 27, 2010. 
Resolved, That the bill from the House of Representa-
tives (H.R. 553) entitled ‘‘An Act to require the Secretary of 
Homeland Security to develop a strategy to prevent the over- 
classification of homeland security and other information and 
to promote the sharing of unclassified homeland security and 
other information, and for other purposes.’’, do pass with the 
following 
AMENDMENT: 
In lieu of the matter proposed to be inserted, insert 
the following: 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Reducing Over-Classi-
fication Act’’. 
SEC. 2. FINDINGS. 
Congress finds the following: 
(1) The National Commission on Terrorist At-
tacks Upon the United States (commonly known as 
the ‘‘9/11 Commission’’) concluded that security re-
† HR 553 EAS 
quirements nurture over-classification and excessive 
compartmentation of information among agencies. 
(2) The 9/11 Commission and others have ob-
served that the over-classification of information 
interferes with accurate, actionable, and timely infor-
mation sharing, increases the cost of information se-
curity, and needlessly limits stakeholder and public 
access to information. 
(3) Over-classification of information causes con-
siderable confusion regarding what information may 
be shared with whom, and negatively affects the dis-
semination of information within the Federal Govern-
ment and with State, local, and tribal entities, and 
with the private sector. 
(4) Over-classification of information is antithet-
ical to the creation and operation of the information 
sharing environment established under section 1016 of 
the Intelligence Reform and Terrorism Prevention Act 
of 2004 (6 U.S.C. 485). 
(5) Federal departments or agencies authorized 
to make original classification decisions or that per-
form derivative classification of information are re-
sponsible for developing, implementing, and admin-
istering policies, procedures, and programs that pro-
mote compliance with applicable laws, executive or-
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ders, and other authorities pertaining to the proper 
use of classification markings and the policies of the 
National Archives and Records Administration. 
SEC. 3. DEFINITIONS. 
In this Act: 
(1) DERIVATIVE CLASSIFICATION AND ORIGINAL 
CLASSIFICATION.—The terms ‘‘derivative classifica-
tion’’ and ‘‘original classification’’ have the meanings 
given those terms in Executive Order No. 13526. 
(2) EXECUTIVE AGENCY.—The term ‘‘Executive 
agency’’ has the meaning given that term in section 
105 of title 5, United States Code. 
(3) EXECUTIVE
ORDER
NO. 13526.—The term 
‘‘Executive Order No. 13526’’ means Executive Order 
No. 13526 (75 Fed. Reg. 707; relating to classified 
national security information) or any subsequent cor-
responding executive order. 
SEC. 4. CLASSIFIED INFORMATION ADVISORY OFFICER. 
(a) IN GENERAL.—Subtitle A of title II of the Home-
land Security Act of 2002 (6 U.S.C. 121 et seq.) is amended 
by adding at the end the following: 
‘‘SEC. 210F. CLASSIFIED INFORMATION ADVISORY OFFICER. 
‘‘(a) REQUIREMENT TO ESTABLISH.—The Secretary 
shall identify and designate within the Department a Clas-
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sified Information Advisory Officer, as described in this sec-
tion. 
‘‘(b) RESPONSIBILITIES.—The responsibilities of the 
Classified Information Advisory Officer shall be as follows: 
‘‘(1) To develop and disseminate educational 
materials and to develop and administer training 
programs to assist State, local, and tribal govern-
ments (including State, local, and tribal law enforce-
ment agencies) and private sector entities— 
‘‘(A) in developing plans and policies to re-
spond to requests related to classified informa-
tion without communicating such information to 
individuals who lack appropriate security clear-
ances; 
‘‘(B) regarding the appropriate procedures 
for challenging classification designations of in-
formation received by personnel of such entities; 
and 
‘‘(C) on the means by which such personnel 
may apply for security clearances. 
‘‘(2) To inform the Under Secretary for Intel-
ligence and Analysis on policies and procedures that 
could facilitate the sharing of classified information 
with such personnel, as appropriate.
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‘‘(c) INITIAL DESIGNATION.—Not later than 90 days 
after the date of the enactment of the Reducing Over-Classi-
fication Act, the Secretary shall— 
‘‘(1) designate the initial Classified Information 
Advisory Officer; and 
‘‘(2) submit to the Committee on Homeland Se-
curity and Governmental Affairs of the Senate and 
the Committee on Homeland Security of the House of 
Representatives a written notification of the designa-
tion.’’. 
(b) CLERICAL AMENDMENT.—The table of contents in 
section 1(b) of the Homeland Security Act of 2002 (6 U.S.C. 
101 et seq.) is amended by inserting after the item relating 
to section 210E the following: 
‘‘Sec. 210F. Classified Information Advisory Officer.’’. 
SEC. 5. INTELLIGENCE INFORMATION SHARING. 
(a) DEVELOPMENT OF GUIDANCE FOR INTELLIGENCE 
PRODUCTS.—Paragraph (1) of section 102A(g) of the Na-
tional Security Act of 1947 (50 U.S.C. 403–1(g)) is amend-
ed— 
(1) in subparagraph (E), by striking ‘‘and’’ at 
the end; 
(2) in subparagraph (F), by striking the period 
at the end and inserting a semicolon and ‘‘and’’; and 
(3) by adding at the end the following:
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‘‘(G) in accordance with Executive Order 
No. 13526 (75 Fed. Reg. 707; relating to classi-
fied national security information) (or any sub-
sequent corresponding executive order), and part 
2001 of title 32, Code of Federal Regulations (or 
any subsequent corresponding regulation), estab-
lish— 
‘‘(i) guidance to standardize, in appro-
priate cases, the formats for classified and 
unclassified intelligence products created by 
elements of the intelligence community for 
purposes of promoting the sharing of intel-
ligence products; and 
‘‘(ii) policies and procedures requiring 
the increased use, in appropriate cases, and 
including portion markings, of the classi-
fication of portions of information within 
one intelligence product.’’. 
(b) CREATION
OF
UNCLASSIFIED
INTELLIGENCE 
PRODUCTS AS APPROPRIATE FOR STATE, LOCAL, TRIBAL, 
AND PRIVATE SECTOR STAKEHOLDERS.— 
(1) RESPONSIBILITIES OF SECRETARY RELATING 
TO INTELLIGENCE AND ANALYSIS AND INFRASTRUC-
TURE PROTECTION.—Paragraph (3) of section 201(d)
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ing State, local, and tribal law enforcement agencies) 
and private sector entities; and 
‘‘(9) provide the assessment developed pursuant 
to paragraph (8) to the program manager for use in 
the annual reports required by subsection (c)(2).’’. 
(c) INTERAGENCY THREAT ASSESSMENT AND COORDI-
NATION GROUP ANNUAL REPORT MODIFICATION.—Sub-
section (c) of section 210D of the Homeland Security Act 
of 2002 (6 U.S.C. 124k) is amended— 
(1) in the matter preceding paragraph (1), by 
striking ‘‘, in consultation with the Information 
Sharing Council,’’; 
(2) in paragraph (1), by striking ‘‘and’’ at the 
end; 
(3) in paragraph (2), by striking the period at 
the end and inserting a semicolon and ‘‘and’’; and 
(4) by adding at the end the following: 
‘‘(3) in each report required by paragraph (2) 
submitted after the date of the enactment of the Re-
ducing Over-Classification Act, include an assessment 
of whether the detailees under subsection (d)(5) have 
appropriate access to all relevant information, as re-
quired by subsection (g)(2)(C).’’.
† HR 553 EAS 
SEC. 6. PROMOTION OF ACCURATE CLASSIFICATION OF IN-
FORMATION. 
(a) INCENTIVES FOR ACCURATE CLASSIFICATIONS.— 
In making cash awards under chapter 45 of title 5, United 
States Code, the President or the head of an Executive agen-
cy with an officer or employee who is authorized to make 
original classification decisions or derivative classification 
decisions may consider such officer’s or employee’s con-
sistent and proper classification of information. 
(b) INSPECTOR GENERAL EVALUATIONS.— 
(1) REQUIREMENT FOR EVALUATIONS.—Not later 
than September 30, 2016, the inspector general of 
each department or agency of the United States with 
an officer or employee who is authorized to make 
original classifications, in consultation with the In-
formation Security Oversight Office, shall carry out 
no less than two evaluations of that department or 
agency or a component of the department or agency— 
(A) to assess whether applicable classifica-
tion policies, procedures, rules, and regulations 
have been adopted, followed, and effectively ad-
ministered within such department, agency, or 
component; and 
(B) to identify policies, procedures, rules, 
regulations, or management practices that may 
be contributing to persistent misclassification of
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material within such department, agency or 
component. 
(2) DEADLINES FOR EVALUATIONS.— 
(A) INITIAL EVALUATIONS.—Each first eval-
uation required by paragraph (1) shall be com-
pleted no later than September 30, 2013. 
(B) SECOND
EVALUATIONS.—Each second 
evaluation required by paragraph (1) shall re-
view progress made pursuant to the results of the 
first evaluation and shall be completed no later 
than September 30, 2016. 
(3) REPORTS.— 
(A) REQUIREMENT.—Each inspector gen-
eral who is required to carry out an evaluation 
under paragraph (1) shall submit to the appro-
priate entities a report on each such evaluation. 
(B) 
CONTENT.—Each 
report 
submitted 
under subparagraph (A) shall include a descrip-
tion of— 
(i) the policies, procedures, rules, regu-
lations, or management practices, if any, 
identified by the inspector general under 
paragraph (1)(B); and 
(ii) the recommendations, if any, of the 
inspector general to address any such iden-
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tified policies, procedures, rules, regulations, 
or management practices. 
(C) COORDINATION.—The inspectors general 
who are required to carry out evaluations under 
paragraph (1) shall coordinate with each other 
and with the Information Security Oversight Of-
fice to ensure that evaluations follow a consistent 
methodology, as appropriate, that allows for 
cross-agency comparisons. 
(4) APPROPRIATE ENTITIES DEFINED.—In this 
subsection, the term ‘‘appropriate entities’’ means— 
(A) the Committee on Homeland Security 
and Governmental Affairs and the Select Com-
mittee on Intelligence of the Senate; 
(B) the Committee on Homeland Security, 
the Committee on Oversight and Government Re-
form, and the Permanent Select Committee on 
Intelligence of the House of Representatives; 
(C) any other committee of Congress with 
jurisdiction over a department or agency referred 
to in paragraph (1); 
(D) the head of a department or agency re-
ferred to in paragraph (1); and 
(E) the Director of the Information Secu-
rity Oversight Office.
† HR 553 EAS 
SEC. 7. CLASSIFICATION TRAINING PROGRAM. 
(a) IN GENERAL.—The head of each Executive agency, 
in accordance with Executive Order 13526, shall require 
annual training for each employee who has original classi-
fication authority. For employees who perform derivative 
classification, or are responsible for analysis, dissemina-
tion, preparation, production, receipt, publication, or other-
wise communication of classified information, training 
shall be provided at least every two years. Such training 
shall— 
(1) educate the employee, as appropriate, regard-
ing— 
(A) the guidance established under subpara-
graph (G) of section 102A(g)(1) of the National 
Security Act of 1947 (50 U.S.C. 403–1(g)(1)), as 
added by section 5(a)(3), regarding the for-
matting of finished intelligence products; 
(B) the proper use of classification mark-
ings, including portion markings that indicate 
the classification of portions of information; and 
(C) any incentives and penalties related to 
the proper classification of intelligence informa-
tion; and 
(2) ensure such training is a prerequisite, once 
completed successfully, as evidenced by an appro-
priate certificate or other record, for—
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(A) obtaining original classification author-
ity or derivatively classifying information; and 
(B) maintaining such authority. 
(b) RELATIONSHIP TO OTHER PROGRAMS.—The head 
of each Executive agency shall ensure that the training re-
quired by subsection (a) is conducted efficiently and in con-
junction with any other required security, intelligence, or 
other training programs to reduce the costs and administra-
tive burdens associated with carrying out the training re-
quired by subsection (a). 
Attest: 
Secretary.