In determining which individuals are to receive bonuses
under this section, appropriate consideration shall be given
to the Directorate’s critical need for linguists.
‘‘(b) BONUS AMOUNT, FORM, ETC.—
‘‘(1) IN
GENERAL.—The amount of a bonus
under this section shall be determined under regula-
tions issued by the Secretary of Homeland Security,
with the concurrence of the Director of National In-
telligence, but may not exceed 50 percent of the an-
nual rate of basic pay of the position involved. The
Director of National Intelligence shall concur in
such regulations only if the amount of the bonus is
not disproportionate to recruitment bonuses offered
to intelligence analysts in other intelligence commu-
nity agencies.
‘‘(2) FORM OF PAYMENT.—A bonus under this
section shall be paid in the form of a lump-sum pay-
ment and shall not be considered to be part of basic
pay.
‘‘(3) COMPUTATION
RULE.—For purposes of
paragraph (1), the annual rate of basic pay of a po-
sition does not include any comparability payment
under section 5304 or any similar authority.
‘‘(c) SERVICE AGREEMENTS.—Payment of a bonus
under this section shall be contingent upon the employee
entering into a written service agreement with the Depart-
ment of Homeland Security. The agreement shall
include—
‘‘(1) the period of service the individual shall be
required to complete in return for the bonus; and
‘‘(2) the conditions under which the agreement
may be terminated before the agreed-upon service
period has been completed, and the effect of any
such termination.
‘‘(d) ELIGIBILITY.—A bonus under this section may
not be paid to recruit an individual for—
‘‘(1) a position to which an individual is ap-
pointed by the President, by and with the advice and
consent of the Senate;
‘‘(2) a position in the Senior Executive Service
as a noncareer appointee (as defined under section
3132(a)); or
‘‘(3) a position which has been excepted from
the competitive service by reason of its confidential,
policy-determining, policy-making, or policy-advo-
cating character.
‘‘(e) TERMINATION.—The authority to pay bonuses
under this section shall terminate on September 30, 2008.
‘‘§ 9703. Reemployed annuitants
‘‘(a) IN GENERAL.—If an annuitant receiving an an-
nuity from the Civil Service Retirement and Disability
Fund becomes employed in a position within the Direc-
torate for Information Analysis and Infrastructure Protec-
tion of the Department of Homeland Security, the annu-
itant’s annuity shall continue. An annuitant so reemployed
shall not be considered an employee for the purposes of
chapter 83 or 84.
‘‘(b) TERMINATION.—The exclusion pursuant to this
section of the Directorate for Information Analysis and
Infrastructure Protection from the reemployed annuitant
provisions of chapters 83 and 84 shall terminate 3 years
after the date of the enactment of this section, unless ex-
tended by the Secretary of Homeland Security. Any such
extension shall be for a period of 1 year and shall be re-
newable.
‘‘(c) ANNUITANT DEFINED.—For purposes of this
section, the term ‘annuitant’ has the meaning given such
term under section 8331 or 8401, whichever is appro-
priate.
‘‘§ 9704. Regulations
‘‘The Secretary of Homeland Security, in consulta-
tion with the Director of the Office of Personnel Manage-
ment, may prescribe any regulations necessary to carry
out section 9702 or 9703.’’.
(b) CLERICAL AMENDMENT.—The analysis for chap-
ter 97 of title 5, United States Code, is amended by add-
ing after the item relating to section 9701 the following:
‘‘9702. Recruitment bonuses.
‘‘9703. Reemployed annuitants.
‘‘9704. Regulations.’’.
SEC. 222. HOMELAND SECURITY INFORMATION REQUIRE-
MENTS.
(a) HOMELAND SECURITY INFORMATION REQUIRE-
MENTS.—The Joint Intelligence Community Council shall
advise the Director of National Intelligence with respect
to homeland security intelligence requirements.
(b) DESIGNATION
OF MEMBERS.—The President
may designate officers of the United States Government
in addition to the members named in or designated under
section 101A(b) of the National Security Act to serve on
the Joint Intelligence Community Council in a capacity
limited to consideration of homeland security intelligence
requirements.
(c) PARTICIPATION
IN NATIONAL INTELLIGENCE
COLLECTION REQUIREMENTS AND MANAGEMENT PROC-
ESSES.—The Secretary shall be a member of any Director
of National Intelligence-established interagency collection
and requirements management board that develops and
reviews national intelligence collection requirements in re-
sponse to Presidential intelligence guidelines.
SEC. 223. HOMELAND SECURITY ADVISORY SYSTEM.
(a) IN GENERAL.—Subtitle A of title II of the Home-
land Security Act of 2002 is further amended—
(1) in section 201(d)(7) (6 U.S.C. 121(d)(7))
by inserting ‘‘under section 205’’ after ‘‘System’’;
and
(2) by adding at the end the following:
‘‘SEC. 205. HOMELAND SECURITY ADVISORY SYSTEM.
‘‘(a) REQUIREMENT.—The Under Secretary for In-
formation Analysis and Infrastructure Protection shall im-
plement a Homeland Security Advisory System in accord-
ance with this section to provide public advisories and
alerts regarding threats to homeland security, including
national, regional, local, and economic sector advisories
and alerts, as appropriate.
‘‘(b) REQUIRED ELEMENTS.—The Under Secretary,
under the System—
‘‘(1) shall include, in each advisory and alert re-
garding a threat, information on appropriate protec-
tive measures and countermeasures that may be
taken in response to the threat;
‘‘(2) shall, whenever possible, limit the scope of
each advisory and alert to a specific region, locality,
or economic sector believed to be at risk; and
‘‘(3) shall not, in issuing any advisory or alert,
use color designations as the exclusive means of
specifying the homeland security threat conditions
that are the subject of the advisory or alert.
‘‘(c) CONSULTATION.—In carrying out this section,
the Under Secretary shall consult with the Homeland Se-
curity Center of Excellence for Behavioral and Social Re-
search on Terrorism and Counter-Terrorism and with
such other academic research centers with expertise in risk
communications as the Under Secretary considers appro-
priate.’’.
(b) CLERICAL AMENDMENT.—The table of contents
in section 1(b) of such Act is further amended by adding
at the end of the items relating to subtitle A of title II
the following:
‘‘Sec. 205. Homeland Security Advisory System.’’.
SEC. 224. USE OF OPEN-SOURCE INFORMATION.
Section 201(d) of the Homeland Security Act of 2002
(6 U.S.C. 121(d)) is further amended by adding at the
end the following:
‘‘(25) To ensure that, whenever possible—
‘‘(A) the Assistant Secretary for Informa-
tion Analysis utilizes open-source information
and produces reports and analytic products
based on such information that do not require
a national security classification under applica-
ble law; and
‘‘(B) such unclassified open-source reports
are produced, to the extent consistent with the
protection of intelligence sources and methods
from 
unauthorized 
disclosure, 
contempora-
neously with reports or analytic products con-
cerning the same or similar information that
the Assistant Secretary for Information Anal-
ysis produces in a classified format.’’.
SEC. 225. FULL AND EFFICIENT USE OF OPEN-SOURCE IN-
FORMATION.
(a) REQUIREMENT.—Subtitle A of title II of the
Homeland Security Act of 2002 (6 U.S.C. 121 et seq.)
is further amended by adding at the end the following:
‘‘SEC. 206. FULL AND EFFICIENT USE OF OPEN-SOURCE IN-
FORMATION.
‘‘The Under Secretary shall ensure that, in meeting
their analytic responsibilities under section 201(d) and in
formulating requirements for collection of additional infor-
mation, the Assistant Secretary for Information Analysis
and the Assistant Secretary for Infrastructure Protection
make full and efficient use of open-source information
wherever possible.’’.
(b) CLERICAL AMENDMENT.—The table of contents
in section 1(b) of such Act is further amended by inserting
after the item relating to section 205 the following:
‘‘Sec. 206. Full and efficient use of open-source information.’’.
SEC. 226. COORDINATION WITH THE INTELLIGENCE COM-
MUNITY.
Section 201 of the Homeland Security Act of 2002
(6 U.S.C. 121) is amended by adding at the end the fol-
lowing:
‘‘(h) COORDINATION WITH THE INTELLIGENCE COM-
MUNITY.—The Under Secretary shall ensure that, as to
the responsibilities specified in subsection (d), the Assist-
ant Secretary for Information Analysis serves as the offi-
cial responsible for coordinating, as appropriate, with ele-
ments of the intelligence community.’’.
SEC. 227. CONSISTENCY WITH APPLICABLE FEDERAL LAWS.
Unless otherwise expressly stated in this subtitle, the
Secretary of Homeland Security shall ensure that all ac-
tivities carried out under this subtitle are consistent with
any applicable Federal laws relating to information policy
of Federal agencies.
TITLE 
III—DOMESTIC 
PRE-
PAREDNESS 
AND 
PROTEC-
TION
Subtitle A—Preparedness and
Protection
SEC. 301. NATIONAL TERRORISM EXERCISE PROGRAM.
(a) IN GENERAL.—Section 430(c) of the Homeland
Security Act of 2002 (6 U.S.C. 238) is amended by strik-
ing ‘‘and’’ after the semicolon at the end of paragraph
(8), by striking the period at the end of paragraph (9)
and inserting ‘‘; and’’, and by adding at the end the fol-
lowing:
‘‘(10) designing, developing, performing, and
evaluating exercises at the national, State, terri-
torial, regional, local, and tribal levels of government
that incorporate government officials, emergency re-
sponse providers, public safety agencies, the private
sector, international governments and organizations,
and other appropriate entities to test the Nation’s
capability to prevent, prepare for, respond to, and
recover from threatened or actual acts of ter-
rorism.’’.
(b) NATIONAL TERRORISM EXERCISE PROGRAM.—
(1) ESTABLISHMENT OF PROGRAM.—Title VIII
of the Homeland Security Act of 2002 (Public Law
107–296) is amended by adding at the end the fol-
lowing new subtitle:
‘‘Subtitle J—Terrorism
Preparedness Exercises
‘‘SEC. 899a. NATIONAL TERRORISM EXERCISE PROGRAM.
‘‘(a) IN GENERAL.—The Secretary, through the Of-
fice for Domestic Preparedness, shall establish a National
Terrorism Exercise Program for the purpose of testing
and evaluating the Nation’s capabilities to prevent, pre-
pare for, respond to, and recover from threatened or ac-
tual acts of terrorism that—
‘‘(1) enhances coordination for terrorism pre-
paredness between all levels of government, emer-
gency response providers, international governments
and organizations, and the private sector;
‘‘(2) is—
‘‘(A) multidisciplinary in nature, including,
as 
appropriate, 
information 
analysis 
and
cybersecurity components;
‘‘(B) as realistic as practicable and based
on current risk assessments, including credible
threats, vulnerabilities, and consequences;
‘‘(C) carried out with the minimum degree
of notice to involved parties regarding the tim-
ing and details of such exercises, consistent
with safety considerations;
‘‘(D) evaluated against performance meas-
ures and followed by corrective action to solve
identified deficiencies; and
‘‘(E) assessed to learn best practices,
which shall be shared with appropriate Federal,
State, territorial, regional, local, and tribal per-
sonnel, authorities, and training institutions for
emergency response providers; and
‘‘(3) assists State, territorial, local, and tribal
governments with the design, implementation, and
evaluation of exercises that—
‘‘(A) conform to the requirements of para-
graph (2); and
‘‘(B) are consistent with any applicable
State homeland security strategy or plan.
‘‘(b) NATIONAL LEVEL EXERCISES.—The Secretary,
through the National Terrorism Exercise Program, shall
perform on a periodic basis national terrorism prepared-
ness exercises for the purposes of—
‘‘(1) involving top officials from Federal, State,
territorial, local, tribal, and international govern-
ments, as the Secretary considers appropriate;
‘‘(2) testing and evaluating, in coordination
with the Attorney General, the Nation’s capability to
detect, disrupt, and prevent threatened or actual
catastrophic acts of terrorism, especially those in-
volving weapons of mass destruction; and
‘‘(3) testing and evaluating the Nation’s readi-
ness to respond to and recover from catastrophic
acts of terrorism, especially those involving weapons
of mass destruction.
‘‘(c) CONSULTATION WITH FIRST RESPONDERS.—In
implementing the responsibilities described in subsections
(a) and (b), the Secretary shall consult with a geographic
(including urban and rural) and substantive cross section
of governmental and nongovernmental first responder dis-
ciplines, including as appropriate—
‘‘(1) Federal, State, and local first responder
training institutions;
‘‘(2) representatives of emergency response pro-
viders; and
‘‘(3) State and local officials with an expertise
in terrorism preparedness.’’.
(2) CLERICAL AMENDMENT.—The table of con-
tents in section 1(b) of such Act is amended by add-
ing at the end of the items relating to title VIII the
following:
‘‘Subtitle J—Terrorism Preparedness Exercises
‘‘Sec. 899a. National terrorism exercise program.’’.
(c) TOPOFF PREVENTION EXERCISE.—No later
than one year after the date of enactment of this Act, the
Secretary of Homeland Security shall design and carry out
a national terrorism prevention exercise for the purposes
of—
(1) involving top officials from Federal, State,
territorial, local, tribal, and international govern-
ments as the Secretary considers appropriate; and
(2) testing and evaluating, in coordination with
the Attorney General, the Nation’s capability to de-
tect, disrupt, and prevent threatened or actual cata-
strophic acts of terrorism, especially those involving
weapons of mass destruction.
SEC. 302. TECHNOLOGY DEVELOPMENT AND TRANSFER.
(a) ESTABLISHMENT OF TECHNOLOGY CLEARING-
HOUSE.—Not later than 90 days after the date of enact-
ment of this Act, the Secretary shall complete the estab-
lishment of the Technology Clearinghouse under section
313 of the Homeland Security Act of 2002.
(b) TRANSFER PROGRAM.—Section 313 of the Home-
land Security Act of 2002 (6 U.S.C. 193) is amended—
(1) by adding at the end of subsection (b) the
following new paragraph:
‘‘(6) The establishment of a homeland security
technology transfer program to facilitate the identi-
fication, modification, and commercialization of tech-
nology and equipment for use by Federal, State, and
local governmental agencies, emergency response
providers, and the private sector to prevent, prepare
for, or respond to acts of terrorism.’’;
(2) by redesignating subsection (c) as sub-
section (e); and
(3) by inserting after subsection (b) the fol-
lowing new subsections:
‘‘(c) ELEMENTS OF THE TECHNOLOGY TRANSFER
PROGRAM.—The activities of the program described in
subsection (b)(6) shall include—
‘‘(1) identifying available technologies that have
been, or are in the process of being, developed, test-
ed, evaluated, or demonstrated by the Department,
other Federal agencies, the private sector, or foreign
governments and international organizations, and re-
viewing whether such technologies may be useful in
assisting Federal, State, and local governmental
agencies, emergency response providers, or the pri-
vate sector to prevent, prepare for, or respond to
acts of terrorism; and
‘‘(2) communicating to Federal, State, and local
governmental agencies, emergency response pro-
viders, or the private sector the availability of such
technologies for antiterrorism use, as well as the
technology’s specifications, satisfaction of appro-
priate standards, and the appropriate grants avail-
able from the Department to purchase such tech-
nologies;
‘‘(d) RESPONSIBILTIES OF UNDER SECRETARY FOR
SCIENCE AND TECHNOLOGY.—In support of the activities
described in subsection (c), the Under Secretary for
Science and Technology shall—
‘‘(1) conduct or support, based on the Depart-
ment’s current risk assessments of terrorist threats,
research, development, demonstrations, tests, and
evaluations, as appropriate, of technologies identified
under subparagraph (c)(1), including of any nec-
essary modifications to such technologies for
antiterrorism use;
‘‘(2) ensure that the technology transfer activi-
ties throughout the Directorate of Science and Tech-
nology are coordinated, including the technology
transfer aspects of projects and grants awarded to
the private sector and academia;
‘‘(3) consult with the other Under Secretaries
of the Department and the Director of the Office for
Domestic Preparedness, on an ongoing basis;
‘‘(4) consult with Federal, State, and local
emergency response providers;
‘‘(5) consult with government agencies and
standards development organizations as appropriate;
‘‘(6) enter into agreements and coordinate with
other Federal agencies, foreign governments, and
national and international organizations as the Sec-
retary determines appropriate, in order to maximize
the effectiveness of such technologies or to facilitate
commercialization of such technologies;
‘‘(7) consult with existing technology transfer
programs and Federal and State training centers
that research, develop, test, evaluate, and transfer
military and other technologies for use by emergency
response providers; and
‘‘(8) establish a working group in coordination
with the Secretary of Defense to advise and assist
the technology clearinghouse in the identification of
military technologies that are in the process of being
developed, or are developed, by the Department of
Defense or the private sector, which may include—
‘‘(A) representatives from the Department
of Defense or retired military officers;
‘‘(B) nongovernmental organizations or
private companies that are engaged in the re-
search, development, testing, or evaluation of
related technologies or that have demonstrated
prior experience and success in searching for
and identifying technologies for Federal agen-
cies;
‘‘(C) Federal, State, and local emergency
response providers; and
‘‘(D) to the extent the Secretary considers
appropriate, other organizations, other inter-
ested Federal, State, and local agencies, and
other interested persons.’’.
(c) REPORT.—Not later than 1 year after the date
of enactment of this Act, the Under Secretary for Science
and Technology shall transmit to the appropriate congres-
sional committees a description of the progress the De-
partment has made in implementing the provisions of sec-
tion 313 of the Homeland Security Act of 2002, as amend-
ed by this Act, including a description of the process used
to review unsolicited proposals received as described in
subsection (b)(3) of such section.
(d) SAVINGS CLAUSE.—Nothing in this section (in-
cluding the amendments made by this section) shall be
construed to alter or diminish the effect of the limitation
on the authority of the Secretary of Homeland Security
under section 302(4) of the Homeland Security Act of
2002 (6 U.S.C. 182(4)) with respect to human health-re-
lated research and development activities.
SEC. 303. REVIEW OF ANTITERRORISM ACQUISITIONS.
(a) STUDY.—The Secretary of Homeland Security
shall conduct a study of all Department of Homeland Se-
curity procurements, including ongoing procurements and
anticipated procurements, to—
(1) identify those that involve any product,
equipment, service (including support services), de-
vice, or technology (including information tech-
nology) that is being designed, developed, modified,
or procured for the specific purpose of preventing,
detecting, identifying, or deterring acts of terrorism
or limiting the harm such acts might otherwise
cause; and
(2) assess whether such product, equipment,
service (including support services), device, or tech-
nology is an appropriate candidate for the litigation
and risk management protections of subtitle G of
title VIII of the Homeland Security Act of 2002.
(b) SUMMARY AND CLASSIFICATION REPORT.—Not
later than 180 days after the date of enactment of this
Act, the Secretary shall transmit to the Congress a
report—
(1) describing each product, equipment, service
(including support services), device, and technology
identified under subsection (a) that the Secretary
believes would be an appropriate candidate for the
litigation and risk management protections of sub-
title G of title VIII of the Homeland Security Act
of 2002;
(2) listing each such product, equipment, serv-
ice (including support services), device, and tech-
nology in order of priority for deployment in accord-
ance with current terrorism risk assessment infor-
mation; and
(3) setting forth specific actions taken, or to be
taken, to encourage or require persons or entities
that sell or otherwise provide such products, equip-
ment, services (including support services), devices,
and technologies to apply for the litigation and risk
management protections of subtitle G of title VIII of
the Homeland Security Act of 2002, and to ensure
prioritization of the Department’s review of such
products, equipment, services, devices, and tech-
nologies under such Act in accordance with the
prioritization set forth in paragraph (2) of this sub-
section.
SEC. 304. CENTER OF EXCELLENCE FOR BORDER SECU-
RITY.
The Secretary of Homeland Security shall establish
a university-based Center of Excellence for Border Secu-
rity following the merit-review processes and procedures
and other limitations that have been established for select-
ing and supporting University Programs Centers of Excel-
lence. The Center shall prioritize its activities on the basis