363
(1) criminal and regulatory violations of the 
Federal firearms, explosives, arson, alcohol, and to-
bacco smuggling laws; 
(2) the functions transferred by subsection (c); 
and 
(3) any other function related to the investiga-
tion of violent crime or domestic terrorism that is 
delegated to the Bureau by the Attorney General. 
(c) TRANSFER OF AUTHORITIES, FUNCTIONS, PER-
SONNEL, AND ASSETS TO THE DEPARTMENT OF JUS-
TICE.—
(1) IN GENERAL.—Subject to paragraph (2), 
but notwithstanding any other provision of law, 
there are transferred to the Department of Justice 
the authorities, functions, personnel, and assets of 
the Bureau of Alcohol, Tobacco and Firearms, which 
shall be maintained as a distinct entity within the 
Department of Justice, including the related func-
tions of the Secretary of the Treasury. 
(2) ADMINISTRATION AND REVENUE COLLEC-
TION FUNCTIONS.—There shall be retained within 
the Department of the Treasury the authorities, 
functions, personnel, and assets of the Bureau of Al-
cohol, Tobacco and Firearms relating to the admin-
istration and enforcement of chapters 51 and 52 of
364
the Internal Revenue Code of 1986, sections 4181 
and 4182 of the Internal Revenue Code of 1986, 
and title 27, United States Code. 
(3) BUILDING PROSPECTUS.—Prospectus PDC-
98W10, giving the General Services Administration 
the authority for site acquisition, design, and con-
struction of a new headquarters building for the Bu-
reau of Alcohol, Tobacco and Firearms, is trans-
ferred, and deemed to apply, to the Bureau of Alco-
hol, Tobacco, Firearms, and Explosives established 
in the Department of Justice under subsection (a). 
(d) TAX AND TRADE BUREAU.—
(1) ESTABLISHMENT.—There is established 
within the Department of the Treasury the Tax and 
Trade Bureau. 
(2) ADMINISTRATOR.—The Tax and Trade Bu-
reau shall be headed by an Administrator, who shall 
perform such duties as assigned by the Under Sec-
retary for Enforcement of the Department of the 
Treasury. The Administrator shall occupy a career-
reserved position within the Senior Executive Serv-
ice. 
(3) RESPONSIBILITIES.—The authorities, func-
tions, personnel, and assets of the Bureau of Alco-
hol, Tobacco and Firearms that are not transferred
365
to the Department of Justice under this section shall 
be retained and administered by the Tax and Trade 
Bureau. 
SEC. 1112. TECHNICAL AND CONFORMING AMENDMENTS. 
(a) The Inspector General Act of 1978 (5 U.S.C. 
App.) is amended—
(1) in section 8D(b)(1) by striking ‘‘Bureau of 
Alcohol, Tobacco and Firearms’’ and inserting ‘‘Tax 
and Trade Bureau’’; and 
(2) 
in 
section 
9(a)(1)(L)(i), 
by 
striking 
‘‘Bureau of Alcohol, Tobacco, and Firearms’’ and in-
serting ‘‘Tax and Trade Bureau’’. 
(b) Section 1109(c)(2)(A)(i) of the Consolidated Om-
nibus Budget Reconciliation Act of 1985 (7 U.S.C. 1445-
3(c)(2)(A)(i)) is amended by striking ‘‘(on ATF Form 
3068) by manufacturers of tobacco products to the Bu-
reau of Alcohol, Tobacco and Firearms’’ and inserting ‘‘by 
manufacturers of tobacco products to the Tax and Trade 
Bureau’’. 
(c) Section 2(4)(J) of the Enhanced Border Security 
and Visa Entry Reform Act of 2002 (Public Law 107-
173; 8 U.S.C.A. 1701(4)(J)) is amended by striking 
‘‘Bureau of Alcohol, Tobacco, and Firearms’’ and insert-
ing ‘‘Bureau of Alcohol, Tobacco, Firearms, and Explo-
sives, Department of Justice’’.
366
(d) Section 3(1)(E) of the Firefighters’ Safety Study 
Act (15 U.S.C. 2223b(1)(E)) is amended by striking ‘‘the 
Bureau of Alcohol, Tobacco, and Firearms,’’ and inserting 
‘‘the Bureau of Alcohol, Tobacco, Firearms, and Explo-
sives, Department of Justice,’’. 
(e) Chapter 40 of title 18, United States Code, is 
amended—
(1) by striking section 841(k) and inserting the 
following: 
‘‘(k) ‘Attorney General’ means the Attorney General 
of the United States.’’; 
(2) in section 846(a), by striking ‘‘the Attorney Gen-
eral and the Federal Bureau of Investigation, together 
with the Secretary’’ and inserting ‘‘the Federal Bureau 
of Investigation, together with the Bureau of Alcohol, To-
bacco, Firearms, and Explosives’’; and 
(3) by striking ‘‘Secretary’’ each place it ap-
pears and inserting ‘‘Attorney General’’. 
(f) Chapter 44 of title 18, United States Code, is 
amended—
(1) 
in 
section 
921(a)(4)(B), 
by 
striking 
‘‘Secretary’’ and inserting ‘‘Attorney General’’; 
(2) in section 921(a)(4), by striking ‘‘Secretary 
of the Treasury’’ and inserting ‘‘Attorney General’’;
367
(3) in section 921(a), by striking paragraph 
(18) and inserting the following: 
‘‘(18) The term ‘Attorney General’ means the 
Attorney General of the United States’’; 
(4) in section 922(p)(5)(A), by striking ‘‘after 
consultation with the Secretary’’ and inserting 
‘‘after consultation with the Attorney General’’; 
(5) in section 923(l), by striking ‘‘Secretary of 
the Treasury’’ and inserting ‘‘Attorney General’’; 
and 
(6) by striking ‘‘Secretary’’ each place it ap-
pears, except before ‘‘of the Army’’ in section 
921(a)(4) and before ‘‘of Defense’’ in section 
922(p)(5)(A), and inserting the term ‘‘Attorney 
General’’. 
(g) Section 1261(a) of title 18, United States Code, 
is amended to read as follows: 
‘‘(a) The Attorney General—
‘‘(1) shall enforce the provisions of this chapter; 
and 
‘‘(2) has the authority to issue regulations to 
carry out the provisions of this chapter.’’. 
(h) Section 1952(c) of title 18, United States Code, 
is amended by striking ‘‘Secretary of the Treasury’’ and 
inserting ‘‘Attorney General’’.
368
(i) Chapter 114 of title 18, United States Code, is 
amended—
(1) by striking section 2341(5), and inserting 
the following: 
‘‘(5) the term ‘Attorney General’ means the At-
torney General of the United States’’; and 
(2) by striking ‘‘Secretary’’ each place it ap-
pears and inserting ‘‘Attorney General’’. 
(j) Section 6103(i)(8)(A)(i) of the Internal Revenue 
Code of 1986 (relating to confidentiality and disclosure 
of returns and return information) is amended by striking 
‘‘or the Bureau of Alcohol, Tobacco and Firearms’’ and 
inserting ‘‘, the Bureau of Alcohol, Tobacco, Firearms, 
and Explosives, Department of Justice, or the Tax and 
Trade Bureau, Department of the Treasury,’’. 
(k) Section 7801(a) of the Internal Revenue Code of 
1986 (relating to the authority of the Department of the 
Treasury) is amended—
(1) by striking ‘‘SECRETARY.—Except’’ and in-
serting ‘‘SECRETARY.—
‘‘(1) IN GENERAL.—Except’’; and 
(2) by adding at the end the following: 
‘‘(2) ADMINISTRATION AND ENFORCEMENT OF 
CERTAIN PROVISIONS BY ATTORNEY GENERAL.—
369
‘‘(A) IN
GENERAL.—The administration 
and enforcement of the following provisions of 
this title shall be performed by or under the su-
pervision of the Attorney General; and the term 
‘Secretary’ or ‘Secretary of the Treasury’ shall, 
when applied to those provisions, mean the At-
torney General; and the term ‘internal revenue 
officer’ shall, when applied to those provisions, 
mean any officer of the Bureau of Alcohol, To-
bacco, Firearms, and Explosives so designated 
by the Attorney General: 
‘‘(i) Chapter 53. 
‘‘(ii) Chapters 61 through 80, to the 
extent such chapters relate to the enforce-
ment and administration of the provisions 
referred to in clause (i). 
‘‘(B) USE OF EXISTING RULINGS AND IN-
TERPRETATIONS.—Nothing in this Act alters or 
repeals the rulings and interpretations of the 
Bureau of Alcohol, Tobacco, and Firearms in 
effect on the effective date of the Homeland Se-
curity Act of 2002, which concern the provi-
sions of this title referred to in subparagraph 
(A). The Attorney General shall consult with 
the Secretary to achieve uniformity and consist-
370
ency in administering provisions under chapter 
53 of title 26, United States Code.’’. 
(l) Section 2006(2) of title 28, United States Code, 
is amended by inserting ‘‘, the Director, Bureau of Alco-
hol, Tobacco, Firearms, and Explosives, Department of 
Justice,’’ after ‘‘the Secretary of the Treasury’’. 
(m) Section 713 of title 31, United States Code, is 
amended—
(1) by striking the section heading and insert-
ing the following: 
‘‘§ 713. Audit of Internal Revenue Service, Tax and 
Trade Bureau, and Bureau of Alcohol, To-
bacco, Firearms, and Explosives’’; 
(2) in subsection (a), by striking ‘‘Bureau of 
Alcohol, Tobacco, and Firearms,’’ and inserting 
‘‘Tax and Trade Bureau, Department of the Treas-
ury, and the Bureau of Alcohol, Tobacco, Firearms, 
and Explosives, Department of Justice’’; and 
(3) in subsection (b) 
(A) in paragraph (1)(B), by striking ‘‘or 
the Bureau’’ and inserting ‘‘or either Bureau’’; 
(B) in paragraph (2)—
(i) by striking ‘‘or the Bureau’’ and 
inserting ‘‘or either Bureau’’; and
371
(ii) by striking ‘‘and the Director of 
the Bureau’’ and inserting ‘‘the Tax and 
Trade Bureau, Department of the Treas-
ury, and the Director of the Bureau of Al-
cohol, Tobacco, Firearms, and Explosives, 
Department of Justice’’; and 
(C) in paragraph (3), by striking ‘‘or the 
Bureau’’ and inserting ‘‘or either Bureau’’. 
(n) Section 9703 of title 31, United States Code, is 
amended—
(1) in subsection (a)(2)(B)—
(A) in clause (iii)(III), by inserting ‘‘and’’ 
after the semicolon; 
(B) in clause (iv), by striking ‘‘; and’’ and 
inserting a period; and 
(C) by striking clause (v); 
(2) by striking subsection (o); 
(3) by redesignating existing subsection (p) as 
subsection (o); and 
(4) in subsection (o)(1), as redesignated by 
paragraph (3), by striking ‘‘Bureau of Alcohol, To-
bacco and Firearms’’ and inserting ‘‘Tax and Trade 
Bureau’’. 
(o) Section 609N(2)(L) of the Justice Assistance Act 
of 1984 (42 U.S.C. 10502(2)(L)) is amended by striking
372
‘‘Bureau of Alcohol, Tobacco, and Firearms’’ and insert-
ing ‘‘Bureau of Alcohol, Tobacco, Firearms, and Explo-
sives, Department of Justice’’. 
(p) Section 32401(a) of the Violent Crime Control 
and Law Enforcement Act of 1994 (42 U.S.C. 13921(a)) 
is amended—
(1) by striking ‘‘Secretary of the Treasury’’ 
each place it appears and inserting ‘‘Attorney Gen-
eral’’; and 
(2) in subparagraph (3)(B), by striking 
‘‘Bureau of Alcohol, Tobacco and Firearms’’ and in-
serting ‘‘Bureau of Alcohol, Tobacco, Firearms, and 
Explosives, Department of Justice’’. 
(q) Section 80303 of title 49, United States Code, 
is amended—
(1) by inserting ‘‘or, when the violation of this 
chapter involves contraband described in paragraph 
(2) or (5) of section 80302(a), the Attorney Gen-
eral’’ after ‘‘section 80304 of this title.’’; and 
(2) by inserting ‘‘, the Attorney General,’’ after 
‘‘by the Secretary’’. 
(r) Section 80304 of title 49, United States Code, 
is amended—
(1) in subsection (a), by striking ‘‘(b) and (c)’’ 
and inserting ‘‘(b), (c), and (d)’’;
373
(2) by redesignating subsection (d) as sub-
section (e); and 
(3) by inserting after subsection (c), the fol-
lowing: 
‘‘(d) ATTORNEY GENERAL.—The Attorney General, 
or officers, employees, or agents of the Bureau of Alcohol, 
Tobacco, Firearms, and Explosives, Department of Jus-
tice designated by the Attorney General, shall carry out 
the laws referred to in section 80306(b) of this title to 
the extent that the violation of this chapter involves con-
traband described in section 80302 (a)(2) or (a)(5).’’. 
(s) Section 103 of the Gun Control Act of 1968 
(Public Law 90–618; 82 Stat. 1226) is amended by strik-
ing ‘‘Secretary of the Treasury’’ and inserting ‘‘Attorney 
General’’. 
SEC. 1113. POWERS OF AGENTS OF THE BUREAU OF ALCO-
HOL, TOBACCO, FIREARMS, AND EXPLOSIVES. 
Chapter 203 of title 18, United States Code, is 
amended by adding the following: 
‘‘§ 3051. Powers of Special Agents of Bureau of Alco-
hol, Tobacco, Firearms, and Explosives 
‘‘(a) Special agents of the Bureau of Alcohol, To-
bacco, Firearms, and Explosives, as well as any other in-
vestigator or officer charged by the Attorney General with 
the duty of enforcing any of the criminal, seizure, or for-
374
feiture provisions of the laws of the United States, may 
carry firearms, serve warrants and subpoenas issued 
under the authority of the United States and make arrests 
without warrant for any offense against the United States 
committed in their presence, or for any felony cognizable 
under the laws of the United States if they have reason-
able grounds to believe that the person to be arrested has 
committed or is committing such felony. 
‘‘(b) Any special agent of the Bureau of Alcohol, To-
bacco, Firearms, and Explosives may, in respect to the 
performance of his or her duties, make seizures of prop-
erty subject to forfeiture to the United States. 
‘‘(c)(1) Except as provided in paragraphs (2) and (3), 
and except to the extent that such provisions conflict with 
the provisions of section 983 of title 18, United States 
Code, insofar as section 983 applies, the provisions of the 
Customs laws relating to—
‘‘(A) the seizure, summary and judicial for-
feiture, and condemnation of property; 
‘‘(B) the disposition of such property; 
‘‘(C) the remission or mitigation of such for-
feiture; and 
‘‘(D) the compromise of claims, 
shall apply to seizures and forfeitures incurred, or alleged 
to have been incurred, under any applicable provision of
375
law enforced or administered by the Bureau of Alcohol, 
Tobacco, Firearms, and Explosives. 
‘‘(2) For purposes of paragraph (1), duties that are 
imposed upon a customs officer or any other person with 
respect to the seizure and forfeiture of property under the 
customs laws of the United States shall be performed with 
respect to seizures and forfeitures of property under this 
section by such officers, agents, or any other person as 
may be authorized or designated for that purpose by the 
Attorney General. 
‘‘(3) Notwithstanding any other provision of law, the 
disposition of firearms forfeited by reason of a violation 
of any law of the United States shall be governed by the 
provisions of section 5872(b) of the Internal Revenue Code 
of 1986.’’. 
SEC. 1114. EXPLOSIVES TRAINING AND RESEARCH FACIL-
ITY. 
(a) ESTABLISHMENT.—There is established within 
the Bureau an Explosives Training and Research Facility 
at Fort AP Hill, Fredericksburg, Virginia. 
(b) PURPOSE.—The facility established under sub-
section (a) shall be utilized to train Federal, State, and 
local law enforcement officers to— 
(1) investigate bombings and explosions;
376
(2) properly handle, utilize, and dispose of ex-
plosive materials and devices; 
(3) train canines on explosive detection; and 
(4) conduct research on explosives. 
(c) AUTHORIZATION OF APPROPRIATIONS.—
(1) IN GENERAL.—There are authorized to be 
appropriated such sums as may be necessary to es-
tablish and maintain the facility established under 
subsection (a). 
(2) AVAILABILITY
OF
FUNDS.—Any amounts 
appropriated pursuant to paragraph (1) shall remain 
available until expended. 
SEC. 1115. PERSONNEL MANAGEMENT DEMONSTRATION 
PROJECT. 
Notwithstanding any other provision of law, the Per-
sonnel Management Demonstration Project established 
under section 102 of title I of Division C of the Omnibus 
Consolidated and Emergency Supplemental Appropria-
tions Act for Fiscal Year 1999 (Pub. L. 105–277; 122 
Stat. 2681–585) shall be transferred to the Attorney Gen-
eral of the United States for continued use by the Bureau 
of Alcohol, Tobacco, Firearms, and Explosives, Depart-
ment of Justice, and the Secretary of the Treasury for 
continued use by the Tax and Trade Bureau.
377
Subtitle C—Explosives 
SEC. 1121. SHORT TITLE. 
This subtitle may be referred to as the ‘‘Safe Explo-
sives Act’’. 
SEC. 1122. PERMITS FOR PURCHASERS OF EXPLOSIVES. 
(a) DEFINITIONS.—Section 841 of title 18, United 
States Code, is amended—
(1) by striking subsection (j) and inserting the 
following: 
‘‘(j) ‘Permittee’ means any user of explosives 
for a lawful purpose, who has obtained either a user 
permit or a limited permit under the provisions of 
this chapter.’’; and 
(2) by adding at the end the following: 
‘‘(r) ‘Alien’ means any person who is not a cit-
izen or national of the United States. 
‘‘(s) ‘Responsible person’ means an individual 
who has the power to direct the management and 
policies of the applicant pertaining to explosive ma-
terials.’’. 
(b) PERMITS FOR PURCHASE OF EXPLOSIVES.—Sec-
tion 842 of title 18, United States Code, is amended—
(1) in subsection (a)(2), by striking ‘‘and’’ at 
the end;
378
(2) by striking subsection (a)(3) and inserting 
the following: 
‘‘(3) other than a licensee or permittee know-
ingly—
‘‘(A) to transport, ship, cause to be trans-
ported, or receive any explosive materials; or 
‘‘(B) to distribute explosive materials to 
any person other than a licensee or permittee; 
or 
‘‘(4) who is a holder of a limited permit—
‘‘(A) to transport, ship, cause to be trans-
ported, or receive in interstate or foreign com-
merce any explosive materials; or 
‘‘(B) to receive explosive materials from a 
licensee or permittee, whose premises are lo-
cated outside the State of residence of the lim-
ited permit holder, or on more than 6 separate 
occasions, during the period of the permit, to 
receive explosive materials from 1 or more li-
censees or permittees whose premises are lo-
cated within the State of residence of the lim-
ited permit holder.’’; and 
(3) by striking subsection (b) and inserting the 
following:
379
‘‘(b) It shall be unlawful for any licensee or permittee 
to knowingly distribute any explosive materials to any per-
son other than—
‘‘(1) a licensee; 
‘‘(2) a holder of a user permit; or 
‘‘(3) a holder of a limited permit who is a resi-
dent of the State where distribution is made and in 
which the premises of the transferor are located.’’. 
(c) LICENSES AND USER PERMITS.—Section 843(a) 
of title 18, United States Code, is amended—
(1) in the first sentence—
(A) by inserting ‘‘or limited permit’’ after 
‘‘user permit’’; and 
(B) by inserting before the period at the 
end the following: ‘‘, including the names of and 
appropriate identifying information regarding 
all employees who will be authorized by the ap-
plicant to possess explosive materials, as well as 
fingerprints and a photograph of each respon-
sible person’’; 
(2) in the second sentence, by striking ‘‘$200 
for each’’ and inserting ‘‘$50 for a limited permit 
and $200 for any other’’; and 
(3) by striking the third sentence and inserting 
‘‘Each license or user permit shall be valid for not
380
longer than 3 years from the date of issuance and 
each limited permit shall be valid for not longer than 
1 year from the date of issuance. Each license or 
permit shall be renewable upon the same conditions 
and subject to the same restrictions as the original 
license or permit, and upon payment of a renewal 
fee not to exceed one-half of the original fee.’’. 
(d) CRITERIA FOR APPROVING LICENSES AND PER-
MITS.—Section 843(b) of title 18, United States Code, is 
amended—
(1) by striking paragraph (1) and inserting the 
following: 
‘‘(1) the applicant (or, if the applicant is a corpora-
tion, partnership, or association, each responsible person 
with respect to the applicant) is not a person described 
in section 842(i);’’; 
(2) in paragraph (4)—
(A) by inserting ‘‘(A) the Secretary verifies 
by inspection or, if the application is for an 
original limited permit or the first or second re-
newal of such a permit, by such other means as 
the Secretary determines appropriate, that’’ be-
fore ‘‘the applicant’’; and 
(B) by adding at the end the following:
381
‘‘(B) subparagraph (A) shall not apply to 
an applicant for the renewal of a limited permit 
if the Secretary has verified, by inspection with-
in the preceding 3 years, the matters described 
in subparagraph (A) with respect to the appli-
cant; and’’; 
(3) in paragraph (5), by striking the period at 
the end and inserting a semicolon; and 
(4) by adding at the end the following: 
‘‘(6) none of the employees of the applicant who 
will be authorized by the applicant to possess explo-
sive materials is any person described in section 
842(i); and 
‘‘(7) in the case of a limited permit, the appli-
cant has certified in writing that the applicant will 
not receive explosive materials on more than 6 sepa-
rate occasions during the 12-month period for which 
the limited permit is valid.’’. 
(e) APPLICATION APPROVAL.—Section 843(c) of title 
18, United States Code, is amended by striking ‘‘forty-
five days’’ and inserting ‘‘90 days for licenses and per-
mits,’’. 
(f) INSPECTION AUTHORITY.—Section 843(f) of title 
18, United States Code, is amended—
(1) in the first sentence—
382
(A) by striking ‘‘permittees’’ and inserting 
‘‘holders of user permits’’; and 
(B) by inserting ‘‘licensees and permittees’’ 
before ‘‘shall submit’’; 
(2) in the second sentence, by striking 
‘‘permittee’’ the first time it appears and inserting 
‘‘holder of a user permit’’; and 
(3) by adding at the end the following: ‘‘The 
Secretary may inspect the places of storage for ex-
plosive materials of an applicant for a limited permit 
or, at the time of renewal of such permit, a holder 
of a limited permit, only as provided in subsection 
(b)(4). 
(g) POSTING OF PERMITS.—Section 843(g) of title 
18, United States Code, is amended by inserting ‘‘user’’ 
before ‘‘permits’’. 
(h) BACKGROUND CHECKS; CLEARANCES.—Section 
843 of title 18, United States Code, is amended by adding 
at the end the following: 
‘‘(h)(1) If the Secretary receives, from an employer, 
the name and other identifying information of a respon-
sible person or an employee who will be authorized by the 
employer to possess explosive materials in the course of 
employment with the employer, the Secretary shall deter-
mine whether the responsible person or employee is one
383
of the persons described in any paragraph of section 
842(i). In making the determination, the Secretary may 
take into account a letter or document issued under para-
graph (2). 
‘‘(2)(A) If the Secretary determines that the respon-
sible person or the employee is not one of the persons de-
scribed in any paragraph of section 842(i), the Secretary 
shall notify the employer in writing or electronically of the 
determination and issue, to the responsible person or em-
ployee, a letter of clearance, which confirms the deter-
mination. 
‘‘(B) If the Secretary determines that the responsible 
person or employee is one of the persons described in any 
paragraph of section 842(i), the Secretary shall notify the 
employer in writing or electronically of the determination 
and issue to the responsible person or the employee, as 
the case may be, a document that—
‘‘(i) confirms the determination; 
‘‘(ii) explains the grounds for the determina-
tion; 
‘‘(iii) provides information on how the disability 
may be relieved; and 
‘‘(iv) explains how the determination may be 
appealed.’’. 
(i) EFFECTIVE DATE.—
384
(1) IN GENERAL.—The amendments made by 
this section shall take effect 180 days after the date 
of enactment of this Act. 
(2) EXCEPTION.—Notwithstanding any provi-
sion of this Act, a license or permit issued under 
section 843 of title 18, United States Code, before 
the date of enactment of this Act, shall remain valid 
until that license or permit is revoked under section 
843(d) or expires, or until a timely application for 
renewal is acted upon. 
SEC. 1123. PERSONS PROHIBITED FROM RECEIVING OR 
POSSESSING EXPLOSIVE MATERIALS. 
(a) DISTRIBUTION OF EXPLOSIVES.—Section 842(d) 
of title 18, United States Code, is amended—
(1) in paragraph (5), by striking ‘‘or’’ at the 
end; 
(2) in paragraph (6), by striking the period at 
the end and inserting ‘‘or who has been committed 
to a mental institution;’’; and 
(3) by adding at the end the following: 
‘‘(7) is an alien, other than an alien who—
‘‘(A) is lawfully admitted for permanent 
residence (as defined in section 101 (a)(20) of 
the Immigration and Nationality Act); or
385
‘‘(B) is in lawful nonimmigrant status, is 
a refugee admitted under section 207 of the 
Immigration and Nationality Act (8 U.S.C. 
1157), or is in asylum status under section 208 
of the Immigration and Nationality Act (8 
U.S.C. 1158), and— 
‘‘(i) is a foreign law enforcement offi-
cer of a friendly foreign government, as de-
termined by the Secretary in consultation 
with the Secretary of State, entering the 
United States on official law enforcement 
business, and the shipping, transporting, 
possession, or receipt of explosive materials 
is in furtherance of this official law en-
forcement business; 
‘‘(ii) is a person having the power to 
direct or cause the direction of the man-
agement and policies of a corporation, 
partnership, or association licensed pursu-
ant to section 843(a), and the shipping, 
transporting, possession, or receipt of ex-
plosive materials is in furtherance of such 
power; 
‘‘(iii) is a member of a North Atlantic 
Treaty Organization (NATO) or other
386
friendly foreign military force, as deter-
mined by the Secretary in consultation 
with the Secretary of Defense, (whether or 
not admitted in a nonimmigrant status) 
who is present in the United States under 
military orders for training or other mili-
tary purpose authorized by the United 
States, and the shipping, transporting, 
possession, or receipt of explosive materials 
is in furtherance of the military purpose; 
or 
‘‘(iv) is lawfully present in the United 
States in cooperation with the Director of 
Central Intelligence, and the shipment, 
transportation, receipt, or possession of the 
explosive materials is in furtherance of 
such cooperation; 
‘‘(8) has been discharged from the armed forces 
under dishonorable conditions; 
‘‘(9) having been a citizen of the United States, 
has renounced the citizenship of that person.’’. 
(b) POSSESSION OF EXPLOSIVE MATERIALS.—Sec-
tion 842(i) of title 18, United States Code, is amended—
(1) in paragraph (3), by striking ‘‘or’’ at the 
end; and
387
(2) by inserting after paragraph (4) the fol-
lowing: 
‘‘(5) who is an alien, other than an alien who—
‘‘(A) is lawfully admitted for permanent 
residence (as that term is defined in section 
101(a)(20) of the Immigration and Nationality 
Act); or 
‘‘(B) is in lawful nonimmigrant status, is 
a refugee admitted under section 207 of the 
Immigration and Nationality Act (8 U.S.C. 
1157), or is in asylum status under section 208 
of the Immigration and Nationality Act (8 
U.S.C. 1158), and—
‘‘(i) is a foreign law enforcement offi-
cer of a friendly foreign government, as de-
termined by the Secretary in consultation 
with the Secretary of State, entering the 
United States on official law enforcement 
business, and the shipping, transporting, 
possession, or receipt of explosive materials 
is in furtherance of this official law en-
forcement business; 
‘‘(ii) is a person having the power to 
direct or cause the direction of the man-
agement and policies of a corporation,
388
partnership, or association licensed pursu-
ant to section 843(a), and the shipping, 
transporting, possession, or receipt of ex-
plosive materials is in furtherance of such 
power; 
‘‘(iii) is a member of a North Atlantic 
Treaty Organization (NATO) or other 
friendly foreign military force, as deter-
mined by the Secretary in consultation 
with the Secretary of Defense, (whether or 
not admitted in a nonimmigrant status) 
who is present in the United States under 
military orders for training or other mili-
tary purpose authorized by the United 
States, and the shipping, transporting, 
possession, or receipt of explosive materials 
is in furtherance of the military purpose; 
or 
‘‘(iv) is lawfully present in the United 
States in cooperation with the Director of 
Central Intelligence, and the shipment, 
transportation, receipt, or possession of the 
explosive materials is in furtherance of 
such cooperation;
389
‘‘(6) who has been discharged from the armed 
forces under dishonorable conditions; 
‘‘(7) who, having been a citizen of the United 
States, has renounced the citizenship of that per-
son’’; and 
(3) 
by 
inserting 
‘‘or 
affecting’’ 
before 
‘‘interstate’’ each place that term appears. 
SEC. 1124. REQUIREMENT TO PROVIDE SAMPLES OF EX-
PLOSIVE MATERIALS AND AMMONIUM NI-
TRATE. 
Section 843 of title 18, United States Code, as 
amended by this Act, is amended by adding at the end 
the following: 
‘‘(i) FURNISHING OF SAMPLES.—
‘‘(1) IN
GENERAL.—Licensed manufacturers 
and licensed importers and persons who manufac-
ture or import explosive materials or ammonium ni-
trate shall, when required by letter issued by the 
Secretary, furnish—
‘‘(A) samples of such explosive materials or 
ammonium nitrate; 
‘‘(B) information on chemical composition 
of those products; and 
‘‘(C) any other information that the Sec-
retary determines is relevant to the identifica-
390
tion of the explosive materials or to identifica-
tion of the ammonium nitrate.
‘‘(2) REIMBURSEMENT.—The Secretary shall, 
by regulation, authorize reimbursement of the fair 
market value of samples furnished pursuant to this 
subsection, as well as the reasonable costs of ship-
ment.’’.
SEC. 1125. DESTRUCTION OF PROPERTY OF INSTITUTIONS 
RECEIVING 
FEDERAL 
FINANCIAL 
ASSIST-
ANCE. 
Section 844(f)(1) of title 18, United States Code, is 
amended by inserting before the word ‘‘shall’’ the fol-
lowing: ‘‘or any institution or organization receiving Fed-
eral financial assistance,’’. 
SEC. 1126. RELIEF FROM DISABILITIES. 
Section 845(b) of title 18, United States Code, is 
amended to read as follows: 
‘‘(b)(1) A person who is prohibited from shipping, 
transporting, receiving, or possessing any explosive under 
section 842(i) may apply to the Secretary for relief from 
such prohibition. 
‘‘(2) The Secretary may grant the relief requested 
under paragraph (1) if the Secretary determines that the 
circumstances regarding the applicability of section 842(i), 
and the applicant’s record and reputation, are such that
391
the applicant will not be likely to act in a manner dan-
gerous to public safety and that the granting of such relief 
is not contrary to the public interest. 
‘‘(3) A licensee or permittee who applies for relief, 
under this subsection, from the disabilities incurred under 
this chapter as a result of an indictment for or conviction 
of a crime punishable by imprisonment for a term exceed-
ing 1 year shall not be barred by such disability from fur-
ther operations under the license or permit pending final 
action on an application for relief filed pursuant to this 
section.’’. 
SEC. 1127. THEFT REPORTING REQUIREMENT. 
Section 844 of title 18, United States Code, is 
amended by adding at the end the following: 
‘‘(p) THEFT REPORTING REQUIREMENT.—
‘‘(1) IN GENERAL.—A holder of a license or 
permit who knows that explosive materials have been 
stolen from that licensee or permittee, shall report 
the theft to the Secretary not later than 24 hours 
after the discovery of the theft. 
‘‘(2) PENALTY.—A holder of a license or permit 
who does not report a theft in accordance with para-
graph (1), shall be fined not more than $10,000, im-
prisoned not more than 5 years, or both.’’.
392
SEC. 1128. AUTHORIZATION OF APPROPRIATIONS. 
There is authorized to be appropriated such sums as 
necessary to carry out this subtitle and the amendments 
made by this subtitle. 
TITLE XII—AIRLINE WAR RISK 
INSURANCE LEGISLATION 
SEC. 1201. AIR CARRIER LIABILITY FOR THIRD PARTY 
CLAIMS ARISING OUT OF ACTS OF TER-
RORISM. 
Section 44303 of title 49, United States Code, is 
amended—
(1) by inserting ‘‘(a) IN GENERAL.—’’ before 
‘‘The Secretary of Transportation’’; 
(2) by moving the text of paragraph (2) of sec-
tion 201(b) of the Air Transportation Safety and 
System Stabilization Act (115 Stat. 235) to the end 
and redesignating such paragraph as subsection (b); 
(3) in subsection (b) (as so redesignated)—
(A) by striking the subsection heading and 
inserting ‘‘AIR CARRIER LIABILITY FOR THIRD 
PARTY CLAIMS ARISING OUT OF ACTS OF TER-
RORISM.—’’; 
(B) in the first sentence by striking ‘‘the 
180-day period following the date of enactment 
of this Act, the Secretary of Transportation’’ 
and inserting ‘‘the period beginning on Sep-
393
tember 22, 2001, and ending on December 31, 
2003, the Secretary’’; and 
(C) in the last sentence by striking ‘‘this 
paragraph’’ and inserting ‘‘this subsection’’. 
SEC. 1202. EXTENSION OF INSURANCE POLICIES. 
Section 44302 of title 49, United States Code, is 
amended by adding at the end the following: 
‘‘(f) EXTENSION OF POLICIES.—
‘‘(1) IN GENERAL.—The Secretary shall extend 
through August 31, 2003, and may extend through 
December 31, 2003, the termination date of any in-
surance policy that the Department of Transpor-
tation issued to an air carrier under subsection (a) 
and that is in effect on the date of enactment of this 
subsection on no less favorable terms to the air car-
rier than existed on June 19, 2002; except that the 
Secretary shall amend the insurance policy, subject 
to such terms and conditions as the Secretary may 
prescribe, to add coverage for losses or injuries to 
aircraft hulls, passengers, and crew at the limits car-
ried by air carriers for such losses and injuries as 
of such date of enactment and at an additional pre-
mium comparable to the premium charged for third-
party casualty coverage under such policy.
394
‘‘(2) SPECIAL RULES.—Notwithstanding para-
graph (1)—
‘‘(A) in no event shall the total premium 
paid by the air carrier for the policy, as amend-
ed, be more than twice the premium that the 
air carrier was paying to the Department of 
Transportation for its third party policy as of 
June 19, 2002; and 
‘‘(B) the coverage in such policy shall 
begin with the first dollar of any covered loss 
that is incurred.’’. 
SEC. 1203. CORRECTION OF REFERENCE. 
Effective November 19, 2001, section 147 of the 
Aviation and Transportation Security Act (Public Law 
107–71) is amended by striking ‘‘(b)’’ and inserting ‘‘(c)’’. 
SEC. 1204. REPORT. 
Not later than 90 days after the date of enactment 
of this Act, the Secretary shall transmit to the Committee 
on Commerce, Science, and Transportation of the Senate 
and the Committee on Transportation and Infrastructure 
of the House of Representatives a report that—
(A) evaluates the availability and cost of 
commercial war risk insurance for air carriers 
and other aviation entities for passengers and 
third parties;
395
(B) analyzes the economic effect upon air 
carriers and other aviation entities of available 
commercial war risk insurance; and 
(C) describes the manner in which the De-
partment could provide an alternative means of 
providing aviation war risk reinsurance covering 
passengers, crew, and third parties through use 
of a risk-retention group or by other means. 
TITLE XIII—FEDERAL 
WORKFORCE IMPROVEMENT 
Subtitle A—Chief Human Capital 
Officers 
SEC. 1301. SHORT TITLE. 
This title may be cited as the ‘‘Chief Human Capital 
Officers Act of 2002’’. 
SEC. 1302. AGENCY CHIEF HUMAN CAPITAL OFFICERS. 
(a) IN GENERAL.—Part II of title 5, United States 
Code, is amended by inserting after chapter 13 the fol-
lowing: 
‘‘CHAPTER 14—AGENCY CHIEF HUMAN 
CAPITAL OFFICERS
‘‘Sec. 
‘‘1401. Establishment of agency Chief Human Capital Officers. 
‘‘1402. Authority and functions of agency Chief Human Capital Officers.
396
‘‘§ 1401. Establishment of agency Chief Human Cap-
ital Officers 
‘‘The head of each agency referred to under para-
graphs (1) and (2) of section 901(b) of title 31 shall ap-
point or designate a Chief Human Capital Officer, who 
shall—
‘‘(1) advise and assist the head of the agency 
and other agency officials in carrying out the agen-
cy’s responsibilities for selecting, developing, train-
ing, and managing a high-quality, productive work-
force in accordance with merit system principles; 
‘‘(2) implement the rules and regulations of the 
President and the Office of Personnel Management 
and the laws governing the civil service within the 
agency; and 
‘‘(3) carry out such functions as the primary 
duty of the Chief Human Capital Officer. 
‘‘§ 1402. Authority and functions of agency Chief 
Human Capital Officers 
‘‘(a) The functions of each Chief Human Capital Of-
ficer shall include—
‘‘(1) setting the workforce development strategy 
of the agency; 
‘‘(2) assessing workforce characteristics and fu-
ture needs based on the agency’s mission and stra-
tegic plan;
397
‘‘(3) aligning the agency’s human resources 
policies and programs with organization mission, 
strategic goals, and performance outcomes; 
‘‘(4) developing and advocating a culture of 
continuous learning to attract and retain employees 
with superior abilities; 
‘‘(5) 
identifying 
best 
practices 
and 
benchmarking studies, and 
‘‘(6) applying methods for measuring intellec-
tual capital and identifying links of that capital to 
organizational performance and growth. 
‘‘(b) In addition to the authority otherwise provided 
by this section, each agency Chief Human Capital Offi-
cer—
‘‘(1) shall have access to all records, reports, 
audits, reviews, documents, papers, recommenda-
tions, or other material that—
‘‘(A) are the property of the agency or are 
available to the agency; and 
‘‘(B) relate to programs and operations 
with respect to which that agency Chief Human 
Capital Officer has responsibilities under this 
chapter; and 
‘‘(2) may request such information or assist-
ance as may be necessary for carrying out the duties
398
and responsibilities provided by this chapter from 
any Federal, State, or local governmental entity.’’. 
(b) TECHNICAL AND CONFORMING AMENDMENT.—
The table of chapters for chapters for part II of title 5, 
United States Code, is amended by inserting after the 
item relating to chapter 13 the following:
‘‘14. Agency Chief Human Capital Officers ............................. 1401’’.
SEC. 1303. CHIEF HUMAN CAPITAL OFFICERS COUNCIL. 
(a) ESTABLISHMENT.—There is established a Chief 
Human Capital Officers Council, consisting of—
(1) the Director of the Office of Personnel 
Management, who shall act as chairperson of the 
Council; 
(2) the Deputy Director for Management of the 
Office of Management and Budget, who shall act as 
vice chairperson of the Council; and 
(3) the Chief Human Capital Officers of Execu-
tive departments and any other members who are 
designated by the Director of the Office of Personnel 
Management. 
(b) FUNCTIONS.—The Chief Human Capital Officers 
Council shall meet periodically to advise and coordinate 
the activities of the agencies of its members on such mat-
ters as modernization of human resources systems, im-
proved quality of human resources information, and legis-
399
lation affecting human resources operations and organiza-
tions. 
(c) EMPLOYEE LABOR ORGANIZATIONS AT MEET-
INGS.—The Chief Human Capital Officers Council shall 
ensure that representatives of Federal employee labor or-
ganizations are present at a minimum of 1 meeting of the 
Council each year. Such representatives shall not be mem-
bers of the Council. 
(d) ANNUAL REPORT.—Each year the Chief Human 
Capital Officers Council shall submit a report to Congress 
on the activities of the Council. 
SEC. 1304. STRATEGIC HUMAN CAPITAL MANAGEMENT. 
Section 1103 of title 5, United States Code, is 
amended by adding at the end the following: 
‘‘(c)(1) The Office of Personnel Management shall 
design a set of systems, including appropriate metrics, for 
assessing the management of human capital by Federal 
agencies. 
‘‘(2) The systems referred to under paragraph (1) 
shall be defined in regulations of the Office of Personnel 
Management and include standards for—
‘‘(A)(i) aligning human capital strategies of 
agencies with the missions, goals, and organizational 
objectives of those agencies; and
400
‘‘(ii) integrating those strategies into the budget 
and strategic plans of those agencies; 
‘‘(B) closing skill gaps in mission critical occu-
pations; 
‘‘(C) ensuring continuity of effective leadership 
through implementation of recruitment, develop-
ment, and succession plans; 
‘‘(D) sustaining a culture that cultivates and 
develops a high performing workforce; 
‘‘(E) developing and implementing a knowledge 
management strategy supported by appropriate in-
vestment in training and technology; and 
‘‘(F) holding managers and human resources 
officers accountable for efficient and effective human 
resources management in support of agency missions 
in accordance with merit system principles.’’. 
SEC. 1305. EFFECTIVE DATE. 
This subtitle shall take effect 180 days after the date 
of enactment of this Act.
401
Subtitle B—Reforms Relating to 
Federal Human Capital Manage-
ment 
SEC. 1311. INCLUSION OF AGENCY HUMAN CAPITAL STRA-
TEGIC PLANNING IN PERFORMANCE PLANS 
AND PROGRAMS PERFORMANCE REPORTS. 
(a) PERFORMANCE PLANS.—Section 1115 of title 31, 
United States Code, is amended—
(1) in subsection (a), by striking paragraph (3) 
and inserting the following: 
‘‘(3) provide a description of how the perform-
ance goals and objectives are to be achieved, includ-
ing the operation processes, training, skills and tech-
nology, and the human, capital, information, and 
other resources and strategies required to meet 
those performance goals and objectives.’’; 
(2) by redesignating subsection (f) as sub-
section (g); and 
(3) by inserting after subsection (e) the fol-
lowing: 
‘‘(f) With respect to each agency with a Chief Human 
Capital Officer, the Chief Human Capital Officer shall 
prepare that portion of the annual performance plan de-
scribed under subsection (a)(3).’’.
402
(b) PROGRAM PERFORMANCE REPORTS.—Section 
1116(d) of title 31, United States Code, is amended—
(1) in paragraph (4), by striking ‘‘and’’ after 
the semicolon; 
(2) by redesignating paragraph (5) as para-
graph (6); and 
(3) by inserting after paragraph (4) the fol-
lowing: 
‘‘(5) include a review of the performance goals 
and evaluation of the performance plan relative to 
the agency’s strategic human capital management; 
and’’. 
SEC. 1312. REFORM OF THE COMPETITIVE SERVICE HIRING 
PROCESS. 
(a) IN GENERAL.—Chapter 33 of title 5, United 
States Code, is amended—
(1) in section 3304(a)—
(A) in paragraph (1), by striking ‘‘and’’ 
after the semicolon; 
(B) in paragraph (2), by striking the pe-
riod and inserting ‘‘; and’’; and 
(C) by adding at the end of the following: 
‘‘(3) authority for agencies to appoint, without 
regard to the provision of sections 3309 through 
3318, candidates directly to positions for which—
403
‘‘(A) public notice has been given; and 
‘‘(B) the Office of Personnel Management 
has determined that there exists a severe short-
age of candidates or there is a critical hiring 
need. 
The Office shall prescribe, by regulation, criteria for iden-
tifying such positions and may delegate authority to make 
determinations under such criteria.’’; and 
(2) by inserting after section 3318 the fol-
lowing: 
‘‘§ 3319. Alternative ranking and selection procedures 
‘‘(a) The Office, in exercising its authority under sec-
tion 3304, or an agency to which the Office has delegated 
examining authority under section 1104(a)(2), may estab-
lish category rating systems for evaluating applicants for 
positions in the competitive service, under 2 or more qual-
ity categories based on merit consistent with regulations 
prescribed by the Office of Personnel Management, rather 
than assigned individual numerical ratings. 
‘‘(b) Within each quality category established under 
subsection (a), preference-eligibles shall be listed ahead of 
individuals who are not preference eligibles. For other 
than scientific and professional positions at GS–9 of the 
General Schedule (equivalent or higher), qualified pref-
erence-eligibles who have a compensable service-connected
404
disability of 10 percent or more shall be listed in the high-
est quality category. 
‘‘(c)(1) An appointing official may select any appli-
cant in the highest quality category or, if fewer than 3 
candidates have been assigned to the highest quality cat-
egory, in a merged category consisting of the highest and 
the second highest quality categories. 
‘‘(2) Notwithstanding paragraph (1), the appointing 
official may not pass over a preference-eligible in the same 
category from which selection is made, unless the require-
ments of section 3317(b) or 3318(b), as applicable, are 
satisfied. 
‘‘(d) Each agency that establishes a category rating 
system under this section shall submit in each of the 3 
years following that establishment, a report to Congress 
on that system including information on—
‘‘(1) the number of employees hired under that 
system; 
‘‘(2) the impact that system has had on the hir-
ing of veterans and minorities, including those who 
are American Indian or Alaska Natives, Asian, 
Black or African American, and native Hawaiian or 
other Pacific Islanders; and 
‘‘(3) the way in which managers were trained in 
the administration of that system.
405
‘‘(e) The Office of Personnel Management may pre-
scribe such regulations as it considers necessary to carry 
out the provisions of this section.’’. 
(b) TECHNICAL AND CONFORMING AMENDMENT.—
The table of sections for chapter 33 of title 5, United 
States Code, is amended by striking the item relating to 
section 3319 and inserting the following:
‘‘3319. Alternative ranking and selection procedures.’’.
SEC. 1313. PERMANENT EXTENSION, REVISION, AND EXPAN-
SION OF AUTHORITIES FOR USE OF VOL-
UNTARY SEPARATION INCENTIVE PAY AND 
VOLUNTARY EARLY RETIREMENT. 
(a) VOLUNTARY
SEPARATION
INCENTIVE
PAY-
MENTS.—
(1) IN GENERAL.—
(A) AMENDMENT
TO
TITLE
5, UNITED 
STATES CODE.—Chapter 35 of title 5, United 
States Code, is amended by inserting after sub-
chapter I the following: 
‘‘SUBCHAPTER II—VOLUNTARY SEPARATION 
INCENTIVE PAYMENTS 
‘‘§ 3521. Definitions 
‘‘In this subchapter, the term—
‘‘(1) ‘agency’ means an Executive agency as de-
fined under section 105; and 
‘‘(2) ‘employee’—
406
‘‘(A) means an employee as defined under 
section 2105 employed by an agency and an in-
dividual employed by a county committee estab-
lished under section 8(b)(5) of the Soil Con-
servation and Domestic Allotment Act (16 
U.S.C. 590h(b)(5)) who—
‘‘(i) is serving under an appointment 
without time limitation; and 
‘‘(ii) has been currently employed for 
a continuous period of at least 3 years; 
and 
‘‘(B) shall not include—
‘‘(i) a reemployed annuitant under 
subchapter III of chapter 83 or 84 or an-
other retirement system for employees of 
the Government; 
‘‘(ii) an employee having a disability 
on the basis of which such employee is or 
would be eligible for disability retirement 
under subchapter III of chapter 83 or 84 
or another retirement system for employees 
of the Government. 
‘‘(iii) an employee who is in receipt of 
a decision notice of involuntary separation
407
for misconduct or unacceptable perform-
ance; 
‘‘(iv) an employee who has previously 
received any voluntary separation incentive 
payment from the Federal Government 
under this subchapter or any other author-
ity; 
‘‘(v) an employee covered by statutory 
reemployment rights who is on transfer 
employment with another organization; or 
‘‘(vi) any employee who—
‘‘(I) during the 36-month period 
preceding the date of separation of 
that employee, performed service for 
which a student loan repayment ben-
efit was or is to be paid under section 
5379; 
‘‘(II) during the 24-month period 
preceding the date of separation of 
that employee, performed service for 
which a recruitment or relocation 
bonus was or is to be paid under sec-
tion 5753; or 
‘‘(III) during the 12-month pe-
riod preceding the date of separation
408
of that employee, performed service 
for which a retention bonus was or is 
to be paid under section 5754. 
‘‘§ 3522. Agency plans; approval 
‘‘(a) Before obligating any resources for voluntary 
separation incentive payments, the head of each agency 
shall submit to the Office of Personnel Management a 
plan outlining the intended use of such incentive payments 
and a proposed organizational chart for the agency once 
such incentive payments have been completed. 
‘‘(b) The plan of an agency under subsection (a) shall 
include—
‘‘(1) the specific positions and functions to be 
reduced or eliminated; 
‘‘(2) a description of which categories of em-
ployees will be offered incentives; 
‘‘(3) the time period during which incentives 
may be paid; 
‘‘(4) the number and amounts of voluntary sep-
aration incentive payments to be offered; and 
‘‘(5) a description of how the agency will oper-
ate without the eliminated positions and functions. 
‘‘(c) The Director of the Office of Personnel Manage-
ment shall review each agency’s plan an may make any 
appropriate modifications in the plan, in consultation with
409
the Director of the Office of Management and Budget. A 
plan under this section may not be implemented without 
the approval of the Directive of the Office of Personnel 
Management. 
‘‘§ 3523. Authority to provide voluntary separation in-
centive payments 
‘‘(a) A voluntary separation incentive payment under 
this subchapter may be paid to an employee only as pro-
vided in the plan of an agency established under section 
3522. 
‘‘(b) A voluntary incentive payment—
‘‘(1) shall be offered to agency employees on the 
basis of—
‘‘(A) 1 or more organizational units; 
‘‘(B) 1 or more occupational series or lev-
els; 
‘‘(C) 1 or more geographical locations; 
‘‘(D) skills, knowledge, or other factors re-
lated to a position; 
‘‘(E) specific periods of time during which 
eligible employees may elect a voluntary incen-
tive payment; or 
‘‘(F) any appropriate combination of such 
factors;
410
‘‘(2) shall be paid in a lump sum after the em-
ployee’s separation; 
‘‘(3) shall be equal to the lesser of—
‘‘(A) an amount equal to the amount the 
employee would be entitled to receive under sec-
tion 5595(c) if the employee were entitled to 
payment under such section (without adjust-
ment for any previous payment made); or 
‘‘(B) an amount determined by the agency 
head, not to exceed $25,000; 
‘‘(4) may be made only in the case of an em-
ployee who voluntarily separates (whether by retire-
ment or resignation) under this subchapter; 
‘‘(5) shall not be a basis for payment, and shall 
not be included in the computation, of any other 
type of Government benefit; 
‘‘(6) shall not be taken into account in deter-
mining the amount of any severance pay to which 
the employee may be entitled under section 5595, 
based on another other separation; and 
‘‘(7) shall be paid from appropriations or funds 
available for the payment of the basic pay of the em-
ployee.
411
‘‘§ 3524. Effect of subsequent employment with the 
Government 
‘‘(a) The term ‘employment’—
‘‘(1) in subsection (b) includes employment 
under a personal services contract (or other direct 
contract) with the United States Government (other 
than an entity in the legislative branch); and 
‘‘(2) in subsection (c) does not include employ-
ment under such a contract. 
‘‘(b) An individual who has received a voluntary sepa-
ration incentive payment under this subchapter and ac-
cepts any employment for compensation with the Govern-
ment of the United States with 5 years after the date of 
the separation on which the payment is based shall be re-
quired to pay, before the individual’s first day of employ-
ment, the entire amount of the incentive payment to the 
agency that paid the incentive payment. 
‘‘(c)(1) If the employment under this section is with 
an agency, other than the General Accounting Office, the 
United States Postal Service, or the Postal Rate Commis-
sion, the Director of the Office of Personnel Management 
may, at the request of the head of the agency, may waive 
the repayment if—
‘‘(A) the individual involved possesses unique 
abilities and is the only qualified applicant available 
for the position; or
412
‘‘(B) in case of an emergency involving a direct 
threat to life or property, the individual—
‘‘(i) has skills directly related to resolving 
the emergency; and 
‘‘(ii) will serve on a temporary basis only 
so long as that individual’s services are made 
necessary by the emergency. 
‘‘(2) If the employment under this section is with an 
entity in the legislative branch, the head of the entity or 
the appointing official may waive the repayment if the in-
dividual involved possesses unique abilities and is the only 
qualified applicant available for the position. 
‘‘(3) If the employment under this section is with the 
judicial branch, the Director of the Administrative Office 
of the United States Courts may waive the repayment if 
the individual involved possesses unique abilities and is the 
only qualified applicant available for the position. 
‘‘§ 3525. Regulations 
‘‘The Office of Personnel Management may prescribe 
regulations to carry out this subchapter.’’. 
(B) TECHNICAL AND CONFORMING AMEND-
MENTS.—Chapter 35 of title 5, United States 
Code, is amended—
(i) by striking the chapter heading 
and inserting the following:
413
‘‘CHAPTER 35—RETENTION PREFERENCE, 
VOLUNTARY SEPARATION INCENTIVE 
PAYMENTS, RESTORATION, AND RE-
EMPLOYMENT’’; 
and 
(ii) in the table of sections by insert-
ing after the item relating to section 3504 
the following:
‘‘SUBCHAPTER II—VOLUNTARY SEPARATION INCENTIVE PAYMENTS 
‘‘3521. Definitions. 
‘‘3522. Agency plans; approval. 
‘‘3523. Authority to provide voluntary separation incentive pay-
ments. 
‘‘3524. Effect of subsequent employment with the Government. 
‘‘3525. Regulations.’’.
(2) ADMINISTRATIVE OFFICE OF THE UNITED 
STATES COURTS.—The Director of the Administra-
tive Office of the United States Courts may, by reg-
ulation, establish a program substantially similar to 
the program established under paragraph (1) for in-
dividuals serving in the judicial branch. 
(3) CONTINUATION
OF
OTHER
AUTHORITY.—
Any agency exercising any voluntary separation in-
centive authority in effect on the effective date of 
this subsection may continue to offer voluntary sepa-
ration incentives consistent with that authority until 
that authority expires.
414
(4) EFFECTIVE
DATE.—This subsection shall 
take effect 60 days after the date of enactment of 
this Act. 
(b) FEDERAL EMPLOYEE VOLUNTARY EARLY RE-
TIREMENT.—
(1) CIVIL SERVICE RETIREMENT SYSTEM.—Sec-
tion 8336(d)(2) of title 5, United States Code, is 
amended to read as follows: 
‘‘(2)(A) has been employed continuously, by the 
agency in which the employee is serving, for at least 
the 31-day period ending on the date on which such 
agency requests the determination referred to in 
subparagraph (D); 
‘‘(B) is serving under an appointment that is 
not time limited; 
‘‘(C) has not been duly notified that such em-
ployee is to be involuntarily separated for mis-
conduct or unacceptable performance; 
‘‘(D) is separated from the service voluntarily 
during a period in which, as determined by the office 
of Personnel Management (upon request of the 
agency) under regulations prescribed by the Office—
‘‘(i) such agency (or, if applicable, the 
component in which the employee is serving) is 
undergoing substantial delayering, substantial
415
reorganization, substantial reductions in force, 
substantial transfer of function, or other sub-
stantial workforce restructuring (or shaping); 
‘‘(ii) a significant percentage of employees 
servicing in such agency (or component) are 
likely to be separated or subject to an imme-
diate reduction in the rate of basic pay (without 
regard to subchapter VI of chapter 53, or com-
parable provisions); or 
‘‘(iii) identified as being in positions which 
are becoming surplus or excess to the agency’s 
future ability to carry out its mission effec-
tively; and 
‘‘(E) as determined by the agency under regula-
tions prescribed by the Office, is within the scope of 
the offer of voluntary early retirement, which may be 
made on the basis of—
‘‘(i) 1 or more organizational units; 
‘‘(ii) 1 or more occupational series or lev-
els; 
‘‘(iii) 1 or more geographical locations; 
‘‘(iv) specific periods; 
‘‘(v) skills, knowledge, or other factors re-
lated to a position; or
416
‘‘(vi) any appropriate combination of such 
factors;’’. 
(2) FEDERAL EMPLOYEES’ RETIREMENT SYS-
TEM.—Section 8414(b)(1) of title 5, United States 
Code, is amended by striking subparagraph (B) and 
inserting the following: 
‘‘(B)(i) has been employed continuously, by 
the agency in which the employee is serving, for 
at least the 31-day period ending on the date 
on which such agency requests the determina-
tion referred to in clause (iv); 
‘‘(ii) is serving under an appointment that 
is not time limited; 
‘‘(iii) has not been duly notified that such 
employee is to be involuntarily separated for 
misconduct or unacceptable performance; 
‘‘(iv) is separate from the service volun-
tarily during a period in which, as determined 
by the Office of Personnel Management (upon 
request of the agency) under regulations pre-
scribed by the Office—
‘‘(I) such agency (or, if applicable, the 
component in which the employee is serv-
ing) is undergoing substantial delayering, 
substantial reorganization, substantial re-
417
ductions in force, substantial transfer of 
function, or other substantial workforce re-
structuring (or shaping); 
‘‘(II) a significant percentage of em-
ployees serving in such agency (or compo-
nent) are likely to be separated or subject 
to an immediate reduction in the rate of 
basic pay (without regard to subchapter VI 
of chapter 53, or comparable provisions); 
or 
‘‘(III) identified as being in positions 
which are becoming surplus or excess to 
the agency’s future ability to carry out its 
mission effectively; and 
‘‘(v) as determined by the agency under 
regulations prescribed by the Office, is within 
the scope of the offer of voluntary early retire-
ment, which may be made on the basis of—
‘‘(I) 1 or more organizational units; 
‘‘(II) 1 or more occupational series or 
levels; 
‘‘(III) 1 or more geographical loca-
tions; 
‘‘(IV) specific periods;
418
‘‘(V) skills, knowledge, or other fac-
tors related to a position; or 
‘‘(VI) any appropriate combination of 
such factors.’’. 
(3) GENERAL
ACCOUNTING
OFFICE
AUTHOR-
ITY.—The amendments made by this subsection 
shall not be construed to affect the authority under 
section 1 of Public Law 106–303 (5 U.S.C. 8336 
note; 114 State. 1063). 
(4) TECHNICAL
AND
CONFORMING
AMEND-
MENTS.—Section 7001 of the 1998 Supplemental 
Appropriations and Rescissions Act (Public Law 
105–174; 112 Stat. 91) is repealed. 
(5) REGULATIONS.—The Office of Personnel 
Management may prescribe regulations to carry out 
this subsection. 
(c) SENSE OF CONGRESS.—It is the sense of Con-
gress that the implementation of this section is intended 
to reshape the Federal workforce and not downsize the 
Federal workforce. 
SEC. 1314. STUDENT VOLUNTEER TRANSIT SUBSIDY. 
(a) IN GENERAL.—Section 7905(a)(1) of title 5, 
United States Code, is amended by striking ‘‘and a mem-
ber of a uniformed service’’ and inserting ‘‘, a member
419
of a uniformed service, and a student who provides vol-
untary services under section 3111’’. 
(b) TECHNICAL AND CONFORMING AMENDMENT.—
Section 3111(c)(1) of title 5, United States Code, is 
amended by striking ‘‘chapter 81 of this title’’ and insert-
ing ‘‘section 7905 (relating to commuting by means other 
than single-occupancy motor vehicles), chapter 81’’. 
Subtitle C—Reforms Relating to 
the Senior Executive Service 
SEC. 1321. REPEAL OF RECERTIFICATION REQUIREMENTS 
OF SENIOR EXECUTIVES. 
(a) IN GENERAL.—Title 5, United States Code, is 
amended—
(1) in chapter 33—
(A) 
in 
section 
3393(g) 
by 
striking 
‘‘3393a’’; 
(B) by repealing section 3393a; and 
(C) in the table of sections by striking the 
item relating to section 3393a; 
(2) in chapter 35—
(A) in section 3592(a)—
(i) in paragraph (1), by inserting ‘‘or’’ 
at the end; 
(ii) in paragraph (2), by striking ‘‘or’’ 
at the end;
420
(iii) by striking paragraph (3); and 
(iv) by striking the last sentence; 
(B) in section 3593(a), by striking para-
graph (2) and inserting the following: 
‘‘(2) the appointee left the Senior Executive 
Service for reasons other than misconduct, neglect of 
duty, malfeasance, or less than fully successful exec-
utive performance as determined under subchapter 
II of chapter 43.’’; and 
(C) in section 3594(b)—
(i) in paragraph (1), by inserting ‘‘or’’ 
at the end; 
(ii) in paragraph (2), by striking ‘‘or’’ 
at the end; and 
(iii) by striking paragraph (3); 
(3) in section 7701(c)(1)(A), by striking ‘‘or re-
moval from the Senior Executive Service for failure 
to be recertified under section 3393a’’; 
(4) in chapter 83—
(A) in section 8336(h)(1), by striking ‘‘for 
failure to be recertified as a senior executive 
under section 3393a or’’; and 
(B) in section 8339(h), in the first sen-
tence, by striking ‘‘, except that such reduction 
shall not apply in the case of an employee retir-
421
ing under section 8336(h) for failure to be re-
certified as a senior executive’’; and 
(5) in chapter 84—
(A) in section 8414(a)(1), by striking ‘‘for 
failure to be recertified as a senior executive 
under section 3393a or’’; and 
(B) in section 8421(a)(2), by striking ‘‘, 
except that an individual entitled to an annuity 
under section 8414(a) for failure to be recer-
tified as a senior executive shall be entitled to 
an annuity supplement without regard to such 
applicable retirement age’’. 
(b) 
SAVINGS
PROVISION.—Notwithstanding 
the 
amendments made by subsection (a)(2)(A), an appeal 
under the final sentence of section 3592(a) of title 5, 
United States Code, that is pending on the day before the 
effective date of this section—
(1) shall not abate by reason of the enactment 
of the amendments made by subsection (a)(2)(A); 
and 
(2) shall continue as if such amendments had 
not been enacted. 
(c) APPLICATION.—The amendment made by sub-
section (a)(2)(B) shall not apply with respect to an indi-
vidual who, before the effective date of this section, leaves
422
the Senior Executive Service for failure to be recertified 
as a senior executive under section 3393a of title 5, United 
States Code. 
SEC. 1322. ADJUSTMENT OF LIMITATION ON TOTAL AN-
NUAL COMPENSATION. 
(a) IN GENERAL.—Section 5307 of title 5, United 
States Code, is amended by adding at the end the fol-
lowing: 
‘‘(d)(1) Notwithstanding any other provision of this 
section, subsection (a)(1) shall be applied by substituting 
‘the total annual compensation payable to the Vice Presi-
dent under section 104 of title 3’ for ‘the annual rate of 
basic pay payable for level I of the Executive Schedule’ 
in the case of any employee who—
‘‘(A) is paid under section 5376 or 5383 of this 
title or section 332(f), 603, or 604 of title 28; and 
‘‘(B) holds a position in or under an agency 
which is described in paragraph (2). 
‘‘(2) An agency described in this paragraph is any 
agency which, for purposes of the calendar year involved, 
has been certified under this subsection as having a per-
formance appraisal system which (as designed and ap-
plied) makes meaningful distinctions based on relative per-
formance.
423
‘‘(3)(A) The Office of Personnel Management and the 
Office of Management and Budget jointly shall promul-
gate such regulations as may be necessary to carry out 
this subsection, including the criteria and procedures in 
accordance with which any determinations under this sub-
section shall be made. 
‘‘(B) An agency’s certification under this subsection 
shall be for a period of 2 calendar years, except that such 
certification may be terminated at any time, for purposes 
of either or both of those years, upon a finding that the 
actions of such agency have not remained in conformance 
with applicable requirements. 
‘‘(C) Any certification or decertification under this 
subsection shall be made by the Office of Personnel Man-
agement, with the concurrence of the Office of Manage-
ment and Budget. 
‘‘(4) Notwithstanding any provision of paragraph (3), 
any regulations, certifications, or other measures nec-
essary to carry out this subsection with respect to employ-
ees within the judicial branch shall be the responsibility 
of the Director of the Administrative Office of the United 
States Courts. However, the regulations under this para-
graph shall be consistent with those promulgated under 
paragraph (3).’’.
424
(b) 
CONFORMING
AMENDMENTS.—(1) 
Section 
5307(a) of title 5, United States Code, is amended by in-
serting ‘‘or as otherwise provided under subsection (d),’’ 
after ‘‘under law,’’. 
(2) Section 5307(c) of such title is amended by strik-
ing ‘‘this section,’’ and inserting ‘‘this section (subject to 
subsection (d)),’’. 
Subtitle D—Academic Training 
SEC. 1331. ACADEMIC TRAINING. 
(a) ACADEMIC DEGREE TRAINING.—Section 4107 of 
title 5, United States Code, is amended to read as follows: 
‘‘§ 4107. Academic degree training 
‘‘(a) Subject to subsection (b), an agency may select 
and assign an employee to academic degree training and 
may pay or reimburse the costs of academic degree train-
ing from appropriated or other available funds if such 
training—
‘‘(1) contributes significantly to—
‘‘(A) meeting an identified agency training 
need; 
‘‘(B) resolving an identified agency staffing 
problem; or 
‘‘(C) accomplishing goals in the strategic 
plan of the agency;
425
‘‘(2) is part of a planned, systemic, and coordi-
nated agency employee development program linked 
to accomplishing the strategic goals of the agency; 
and 
‘‘(3) is accredited and is provided by a college 
or university that is accredited by a nationally recog-
nized body. 
‘‘(b) In exercising authority under subsection (a), an 
agency shall—
‘‘(1) consistent with the merit system principles 
set forth in paragraphs (2) and (7) of section 
2301(b), take into consideration the need to—
‘‘(A) maintain a balanced workforce in 
which women, members of racial and ethnic mi-
nority groups, and persons with disabilities are 
appropriately represented in Government serv-
ice; and 
‘‘(B) provide employees effective education 
and training to improve organizational and indi-
vidual performance; 
‘‘(2) assure that the training is not for the sole 
purpose of providing an employee an opportunity to 
obtain an academic degree or qualify for appoint-
ment to a particular position for which the academic 
degree is a basic requirement;
426
‘‘(3) assure that no authority under this sub-
section is exercised on behalf of any employee occu-
pying or seeking to qualify for—
‘‘(A) a noncareer appointment in the sen-
ior Executive Service; or 
‘‘(B) appointment to any position that is 
excepted from the competitive service because of 
its confidential policy-determining, policy-mak-
ing or policy-advocating character; and 
‘‘(4) to the greatest extent practicable, facilitate 
the use of online degree training.’’. 
(b) TECHNICAL AND CONFORMING AMENDMENT.—
The table of sections for chapter 41 of title 5, United 
States Code, is amended by striking the item relating to 
section 4107 and inserting the following:
‘‘4107. Academic degree training.’’.
SEC. 1332. MODIFICATIONS TO NATIONAL SECURITY EDU-
CATION PROGRAM. 
(a) FINDINGS AND POLICIES.—
(1) FINDINGS.—Congress finds that—
(A) the United States Government actively 
encourages and financially supports the train-
ing, education, and development of many 
United States citizens; 
(B) as a condition of some of those sup-
ports, many of those citizens have an obligation
427
to seek either compensated or uncompensated 
employment in the Federal sector; and 
(C) it is in the United States national in-
terest to maximize the return to the Nation of 
funds invested in the development of such citi-
zens by seeking to employ them in the Federal 
sector. 
(2) POLICY.—It shall be the policy of the 
United States Government to—
(A) establish procedures for ensuring that 
United States citizens who have incurred serv-
ice obligations as the result of receiving finan-
cial support for education and training from the 
United States Government and have applied for 
Federal positions are considered in all recruit-
ment and hiring initiatives of Federal depart-
ments, bureaus, agencies, and offices; and 
(B) advertise and open all Federal posi-
tions to United States citizens who have in-
curred service obligations with the United 
States Government as the result of receiving fi-
nancial support for education and training from 
the United States Government. 
(b) FULFILLMENT OF SERVICE REQUIREMENT IF 
NATIONAL SECURITY POSITIONS ARE UNAVAILABLE.—
429
tion is available upon the completion of the 
degree, work in other offices or agencies of 
the Federal Government or in the field of 
higher education in a discipline relating to 
foreign country, foreign language, area 
study, or international field of study for 
which the fellowship was awarded, for a 
period specified by the Secretary, which pe-
riod shall be determined in accordance 
with clause (i); and’’. 
TITLE XIV—ARMING PILOTS 
AGAINST TERRORISM 
SEC. 1401. SHORT TITLE. 
This title may be cited as the ‘‘Arming Pilots Against 
Terrorism Act’’. 
SEC. 1402. FEDERAL FLIGHT DECK OFFICER PROGRAM. 
(a) IN GENERAL.—Subchapter I of chapter 449 of 
title 49, United States Code, is amended by adding at the 
end the following: 
‘‘§ 44921. Federal flight deck officer program 
‘‘(a) ESTABLISHMENT.—The Under Secretary of 
Transportation for Security shall establish a program to 
deputize volunteer pilots of air carriers providing pas-
senger air transportation or intrastate passenger air 
transportation as Federal law enforcement officers to de-
430
fend the flight decks of aircraft of such air carriers against 
acts of criminal violence or air piracy. Such officers shall 
be known as ‘Federal flight deck officers’. 
‘‘(b) PROCEDURAL REQUIREMENTS.—
‘‘(1) IN GENERAL.—Not later than 3 months 
after the date of enactment of this section, the 
Under Secretary shall establish procedural require-
ments to carry out the program under this section. 
‘‘(2) COMMENCEMENT
OF
PROGRAM.—Begin-
ning 3 months after the date of enactment of this 
section, the Under Secretary shall begin the process 
of training and deputizing pilots who are qualified to 
be Federal flight deck officers as Federal flight deck 
officers under the program. 
‘‘(3) ISSUES TO BE ADDRESSED.—The proce-
dural requirements established under paragraph (1) 
shall address the following issues: 
‘‘(A) The type of firearm to be used by a 
Federal flight deck officer. 
‘‘(B) The type of ammunition to be used 
by a Federal flight deck officer. 
‘‘(C) The standards and training needed to 
qualify and requalify as a Federal flight deck 
officer.
431
‘‘(D) The placement of the firearm of a 
Federal flight deck officer on board the aircraft 
to ensure both its security and its ease of re-
trieval in an emergency. 
‘‘(E) An analysis of the risk of cata-
strophic failure of an aircraft as a result of the 
discharge (including an accidental discharge) of 
a firearm to be used in the program into the 
avionics, electrical systems, or other sensitive 
areas of the aircraft. 
‘‘(F) The division of responsibility between 
pilots in the event of an act of criminal violence 
or air piracy if only 1 pilot is a Federal flight 
deck officer and if both pilots are Federal flight 
deck officers. 
‘‘(G) Procedures for ensuring that the fire-
arm of a Federal flight deck officer does not 
leave the cockpit if there is a disturbance in the 
passenger cabin of the aircraft or if the pilot 
leaves the cockpit for personal reasons. 
‘‘(H) Interaction between a Federal flight 
deck officer and a Federal air marshal on board 
the aircraft. 
‘‘(I) The process for selection of pilots to 
participate in the program based on their fit-
432
ness to participate in the program, including 
whether an additional background check should 
be required beyond that required by section 
44936(a)(1). 
‘‘(J) Storage and transportation of fire-
arms between flights, including international 
flights, to ensure the security of the firearms, 
focusing particularly on whether such security 
would be enhanced by requiring storage of the 
firearm at the airport when the pilot leaves the 
airport to remain overnight away from the pi-
lot’s base airport. 
‘‘(K) Methods for ensuring that security 
personnel will be able to identify whether a pilot 
is authorized to carry a firearm under the pro-
gram. 
‘‘(L) Methods for ensuring that pilots 
(including Federal flight deck officers) will be 
able to identify whether a passenger is a law 
enforcement officer who is authorized to carry 
a firearm aboard the aircraft. 
‘‘(M) Any other issues that the Under Sec-
retary considers necessary. 
‘‘(N) The Under Secretary’s decisions re-
garding the methods for implementing each of
433
the foregoing procedural requirements shall be 
subject to review only for abuse of discretion. 
‘‘(4) PREFERENCE.—In selecting pilots to par-
ticipate in the program, the Under Secretary shall 
give preference to pilots who are former military or 
law enforcement personnel. 
‘‘(5) 
CLASSIFIED
INFORMATION.—Notwith-
standing section 552 of title 5 but subject to section 
40119 of this title, information developed under 
paragraph (3)(E) shall not be disclosed. 
‘‘(6) NOTICE TO CONGRESS.—The Under Sec-
retary shall provide notice to the Committee on 
Transportation and Infrastructure of the House of 
Representatives and the Committee on Commerce, 
Science, and Transportation of the Senate after 
completing the analysis required by paragraph 
(3)(E). 
‘‘(7) MINIMIZATION
OF
RISK.—If the Under 
Secretary determines as a result of the analysis 
under paragraph (3)(E) that there is a significant 
risk of the catastrophic failure of an aircraft as a re-
sult of the discharge of a firearm, the Under Sec-
retary shall take such actions as may be necessary 
to minimize that risk. 
‘‘(c) TRAINING, SUPERVISION, AND EQUIPMENT.—
434
‘‘(1) IN GENERAL.—The Under Secretary shall 
only be obligated to provide the training, super-
vision, and equipment necessary for a pilot to be a 
Federal flight deck officer under this section at no 
expense to the pilot or the air carrier employing the 
pilot. 
‘‘(2) TRAINING.—
‘‘(A) IN GENERAL.—The Under Secretary 
shall base the requirements for the training of 
Federal flight deck officers under subsection (b) 
on the training standards applicable to Federal 
air marshals; except that the Under Secretary 
shall take into account the differing roles and 
responsibilities of Federal flight deck officers 
and Federal air marshals. 
‘‘(B) ELEMENTS.—The training of a Fed-
eral flight deck officer shall include, at a min-
imum, the following elements: 
‘‘(i) Training to ensure that the offi-
cer achieves the level of proficiency with a 
firearm 
required 
under 
subparagraph 
(C)(i). 
‘‘(ii) Training to ensure that the offi-
cer maintains exclusive control over the of-
435
ficer’s firearm at all times, including train-
ing in defensive maneuvers. 
‘‘(iii) Training to assist the officer in 
determining when it is appropriate to use 
the officer’s firearm and when it is appro-
priate to use less than lethal force. 
‘‘(C) TRAINING IN USE OF FIREARMS.—
‘‘(i) STANDARD.—In order to be depu-
tized as a Federal flight deck officer, a 
pilot must achieve a level of proficiency 
with a firearm that is required by the 
Under Secretary. Such level shall be com-
parable to the level of proficiency required 
of Federal air marshals. 
‘‘(ii) CONDUCT
OF
TRAINING.—The 
training of a Federal flight deck officer in 
the use of a firearm may be conducted by 
the Under Secretary or by a firearms 
training facility approved by the Under 
Secretary. 
‘‘(iii) REQUALIFICATION.—The Under 
Secretary shall require a Federal flight 
deck officer to requalify to carry a firearm 
under the program. Such requalification
436
shall occur at an interval required by the 
Under Secretary. 
‘‘(d) DEPUTIZATION.—
‘‘(1) IN GENERAL.—The Under Secretary may 
deputize, as a Federal flight deck officer under this 
section, a pilot who submits to the Under Secretary 
a request to be such an officer and whom the Under 
Secretary determines is qualified to be such an offi-
cer. 
‘‘(2) QUALIFICATION.—A pilot is qualified to be 
a Federal flight deck officer under this section if—
‘‘(A) the pilot is employed by an air car-
rier; 
‘‘(B) the Under Secretary determines (in 
the Under Secretary’s discretion) that the pilot 
meets the standards established by the Under 
Secretary for being such an officer; and 
‘‘(C) the Under Secretary determines that 
the pilot has completed the training required by 
the Under Secretary. 
‘‘(3) DEPUTIZATION BY OTHER FEDERAL AGEN-
CIES.—The Under Secretary may request another 
Federal agency to deputize, as Federal flight deck 
officers under this section, those pilots that the
437
Under Secretary determines are qualified to be such 
officers. 
‘‘(4) REVOCATION.—The Under Secretary may, 
(in the Under Secretary’s discretion) revoke the dep-
utization of a pilot as a Federal flight deck officer 
if the Under Secretary finds that the pilot is no 
longer qualified to be such an officer. 
‘‘(e) COMPENSATION.—Pilots participating in the 
program under this section shall not be eligible for com-
pensation from the Federal Government for services pro-
vided as a Federal flight deck officer. The Federal Govern-
ment and air carriers shall not be obligated to compensate 
a pilot for participating in the program or for the pilot’s 
training or qualification and requalification to carry fire-
arms under the program. 
‘‘(f) AUTHORITY TO CARRY FIREARMS.—
‘‘(1) IN GENERAL.—The Under Secretary shall 
authorize a Federal flight deck officer to carry a 
firearm while engaged in providing air transpor-
tation or intrastate air transportation. Notwith-
standing subsection (c)(1), the officer may purchase 
a firearm and carry that firearm aboard an aircraft 
of which the officer is the pilot in accordance with 
this section if the firearm is of a type that may be 
used under the program.
438
‘‘(2) PREEMPTION.—Notwithstanding any other 
provision of Federal or State law, a Federal flight 
deck officer, whenever necessary to participate in the 
program, may carry a firearm in any State and from 
1 State to another State. 
‘‘(3) CARRYING
FIREARMS
OUTSIDE
UNITED 
STATES.—In consultation with the Secretary of 
State, the Under Secretary may take such action as 
may be necessary to ensure that a Federal flight 
deck officer may carry a firearm in a foreign country 
whenever necessary to participate in the program. 
‘‘(g) AUTHORITY TO USE FORCE.—Notwithstanding 
section 44903(d), the Under Secretary shall prescribe the 
standards and circumstances under which a Federal flight 
deck officer may use, while the program under this section 
is in effect, force (including lethal force) against an indi-
vidual in the defense of the flight deck of an aircraft in 
air transportation or intrastate air transportation. 
‘‘(h) LIMITATION ON LIABILITY.—
‘‘(1) LIABILITY OF AIR CARRIERS.—An air car-
rier shall not be liable for damages in any action 
brought in a Federal or State court arising out of 
a Federal flight deck officer’s use of or failure to use 
a firearm.
439
‘‘(2) LIABILITY OF FEDERAL FLIGHT DECK OF-
FICERS.—A Federal flight deck officer shall not be 
liable for damages in any action brought in a Fed-
eral or State court arising out of the acts or omis-
sions of the officer in defending the flight deck of an 
aircraft against acts of criminal violence or air pi-
racy unless the officer is guilty of gross negligence 
or willful misconduct. 
‘‘(3) LIABILITY OF FEDERAL GOVERNMENT.—
For purposes of an action against the United States 
with respect to an act or omission of a Federal flight 
deck officer in defending the flight deck of an air-
craft, the officer shall be treated as an employee of 
the Federal Government under chapter 171 of title 
28, relating to tort claims procedure. 
‘‘(i) PROCEDURES FOLLOWING ACCIDENTAL DIS-
CHARGES.—If an accidental discharge of a firearm under 
the pilot program results in the injury or death of a pas-
senger or crew member on an aircraft, the Under Sec-
retary—
‘‘(1) shall revoke the deputization of the Fed-
eral flight deck officer responsible for that firearm 
if the Under Secretary determines that the discharge 
was attributable to the negligence of the officer; and
440
‘‘(2) if the Under Secretary determines that a 
shortcoming in standards, training, or procedures 
was responsible for the accidental discharge, the 
Under Secretary may temporarily suspend the pro-
gram until the shortcoming is corrected. 
‘‘(j) LIMITATION
ON
AUTHORITY
OF
AIR
CAR-
RIERS.—No air carrier shall prohibit or threaten any re-
taliatory action against a pilot employed by the air carrier 
from becoming a Federal flight deck officer under this sec-
tion. No air carrier shall—
‘‘(1) prohibit a Federal flight deck officer from 
piloting an aircraft operated by the air carrier, or 
‘‘(2) terminate the employment of a Federal 
flight deck officer, solely on the basis of his or her 
volunteering for or participating in the program 
under this section. 
‘‘(k) APPLICABILITY.—
‘‘(1) EXEMPTION.—This section shall not apply 
to air carriers operating under part 135 of title 14, 
Code of Federal Regulations, and to pilots employed 
by such carriers to the extent that such carriers and 
pilots are covered by section 135.119 of such title or 
any successor to such section. 
‘‘(2) PILOT DEFINED.—The term ‘pilot’ means 
an individual who has final authority and responsi-
441
bility for the operation and safety of the flight or, 
if more than 1 pilot is required for the operation of 
the aircraft or by the regulations under which the 
flight is being conducted, the individual designated 
as second in command.’’. 
(b) CONFORMING AMENDMENTS.—
(1) CHAPTER ANALYSIS.—The analysis for such 
chapter is amended by inserting after the item relat-
ing to section 44920 the following:
‘‘44921.
Federal flight deck officer program.’’.
(2) FLIGHT DECK SECURITY.—Section 128 of 
the Aviation and Transportation Security Act 
(Public Law 107–71) is repealed. 
(c) FEDERAL AIR MARSHAL PROGRAM.—
(1) SENSE OF CONGRESS.—It is the sense of 
Congress that the Federal air marshal program is 
critical to aviation security. 
(2) LIMITATION
ON
STATUTORY
CONSTRUC-
TION.—Nothing in this Act, including any amend-
ment made by this Act, shall be construed as pre-
venting the Under Secretary of Transportation for 
Security from implementing and training Federal air 
marshals. 
SEC. 1403. CREW TRAINING. 
(a) IN GENERAL.—Section 44918(e) of title 49, 
United States Code, is amended—
442
(1) by striking ‘‘The Administrator’’ and insert-
ing the following: 
‘‘(1) IN GENERAL.—The Under Secretary’’; 
(2) by adding at the end the following: 
‘‘(2) ADDITIONAL REQUIREMENTS.—In updat-
ing the training guidance, the Under Secretary, in 
consultation with the Administrator, shall issue a 
rule to—
‘‘(A) require both classroom and effective 
hands-on situational training in the following 
elements of self defense: 
‘‘(i) recognizing suspicious activities 
and determining the seriousness of an oc-
currence; 
‘‘(ii) deterring a passenger who might 
present a problem; 
‘‘(iii) crew communication and coordi-
nation; 
‘‘(iv) the proper commands to give to 
passengers and attackers; 
‘‘(v) methods to subdue and restrain 
an attacker; 
‘‘(vi) use of available items aboard the 
aircraft for self-defense;
443
‘‘(vii) appropriate and effective re-
sponses to defend oneself, including the 
use of force against an attacker; 
‘‘(viii) use of protective devices as-
signed to crew members (to the extent 
such devices are approved by the Adminis-
trator or Under Secretary); 
‘‘(ix) the psychology of terrorists to 
cope with their behavior and passenger re-
sponses to that behavior; 
‘‘(x) how to respond to aircraft ma-
neuvers that may be authorized to defend 
against an act of criminal violence or air 
piracy; 
‘‘(B) require training in the proper con-
duct of a cabin search, including the duty time 
required to conduct the search; 
‘‘(C) establish the required number of 
hours of training and the qualifications for the 
training instructors; 
‘‘(D) establish the intervals, number of 
hours, and elements of recurrent training; 
‘‘(E) ensure that air carriers provide the 
initial training required by this paragraph with-
444
in 24 months of the date of enactment of this 
subparagraph; and 
‘‘(F) ensure that no person is required to 
participate in any hands-on training activity 
that that person believes will have an adverse 
impact on his or her health or safety. 
‘‘(3) 
RESPONSIBILITY
OF
UNDER
SEC-
RETARY.—
‘‘(A) CONSULTATION.—In developing the 
rule under paragraph (2), the Under Secretary 
shall consult with law enforcement personnel 
and security experts who have expertise in self-
defense training, terrorism experts, and rep-
resentatives of air carriers, the provider of self-
defense training for Federal air marshals, flight 
attendants, labor organizations representing 
flight attendants, and educational institutions 
offering law enforcement training programs. 
‘‘(B) DESIGNATION
OF
OFFICIAL.—The 
Under Secretary shall designate an official in 
the Transportation Security Administration to 
be responsible for overseeing the implementa-
tion of the training program under this sub-
section.
445
‘‘(C) NECESSARY RESOURCES AND KNOWL-
EDGE.—The Under Secretary shall ensure that 
employees of the Administration responsible for 
monitoring the training program have the nec-
essary resources and knowledge.’’; and 
(3) by aligning the remainder of the text of 
paragraph (1) (as designated by paragraph (1) of 
this section) with paragraphs (2) and (3) (as added 
by paragraph (2) of this section). 
(b) 
ENHANCE
SECURITY
MEASURES.—Section 
109(a) of the Aviation and Transportation Security Act 
(49 U.S.C. 114 note; 115 Stat. 613–614) is amended by 
adding at the end the following: 
‘‘(9) Require that air carriers provide flight at-
tendants with a discreet, hands-free, wireless method 
of communicating with the pilots.’’. 
(c) BENEFITS AND RISKS OF PROVIDING FLIGHT AT-
TENDANTS WITH NONLETHAL WEAPONS.—
(1) STUDY.—The Under Secretary of Transpor-
tation for Security shall conduct a study to evaluate 
the benefits and risks of providing flight attendants 
with nonlethal weapons to aide in combating air pi-
racy and criminal violence on commercial airlines. 
(2) REPORT.—Not later than 6 months after 
the date of enactment of this Act, the Under Sec-
446
retary shall transmit to Congress a report on the re-
sults of the study. 
SEC. 1404. COMMERCIAL AIRLINE SECURITY STUDY. 
(a) STUDY.—The Secretary of Transportation shall 
conduct a study of the following: 
(1) The number of armed Federal law enforce-
ment officers (other than Federal air marshals), who 
travel on commercial airliners annually and the fre-
quency of their travel. 
(2) The cost and resources necessary to provide 
such officers with supplemental training in aircraft 
anti-terrorism training that is comparable to the 
training that Federal air marshals are provided. 
(3) The cost of establishing a program at a 
Federal law enforcement training center for the pur-
pose of providing new Federal law enforcement re-
cruits with standardized training comparable to the 
training that Federal air marshals are provided. 
(4) The feasibility of implementing a certifi-
cation program designed for the purpose of ensuring 
Federal law enforcement officers have completed the 
training described in paragraph (2) and track their 
travel over a 6-month period. 
(5) The feasibility of staggering the flights of 
such officers to ensure the maximum amount of
447
flights have a certified trained Federal officer on 
board. 
(b) REPORT.—Not later than 6 months after the date 
of enactment of this Act, the Secretary shall transmit to 
Congress a report on the results of the study. The report 
may be submitted in classified and redacted form. 
SEC. 1405. AUTHORITY TO ARM FLIGHT DECK CREW WITH 
LESS-THAN-LETHAL WEAPONS. 
(a) IN GENERAL.—Section 44903(i) of title 49, 
United States Code (as redesignated by section 6 of this 
Act) is amended by adding at the end the following: 
‘‘(3) REQUEST OF AIR CARRIERS TO USE LESS-
THAN-LETHAL WEAPONS.—If, after the date of en-
actment of this paragraph, the Under Secretary re-
ceives a request from an air carrier for authorization 
to allow pilots of the air carrier to carry less-than-
lethal weapons, the Under Secretary shall respond to 
that request within 90 days.’’. 
(b) CONFORMING AMENDMENTS.—Such section is 
further amended—
(1) in paragraph (1) by striking ‘‘Secretary’’ 
the first and third places it appears and inserting 
‘‘Under Secretary’’; and
448
(2) in paragraph (2) by striking ‘‘Secretary’’ 
each place it appears and inserting ‘‘Under Sec-
retary’’. 
SEC. 1406. TECHNICAL AMENDMENTS. 
Section 44903 of title 49, United States Code, is 
amended—
(1) by redesignating subsection (i) (relating to 
short-term assessment and deployment of emerging 
security technologies and procedures) as subsection 
(j); 
(2) by redesignating the second subsection (h) 
(relating to authority to arm flight deck crew with 
less-than-lethal weapons) as subsection (i); and 
(3) by redesignating the third subsection (h) 
(relating to limitation on liability for acts to thwart 
criminal violence for aircraft piracy) as subsection 
(k). 
TITLE XV—TRANSITION 
Subtitle A—Reorganization Plan 
SEC. 1501. DEFINITIONS. 
For purposes of this title: 
(1) The term ‘‘agency’’ includes any entity, or-
ganizational unit, program, or function.
449
(2) The term ‘‘transition period’’ means the 12-
month period beginning on the effective date of this 
Act. 
SEC. 1502. REORGANIZATION PLAN. 
(a) SUBMISSION OF PLAN.—Not later than 60 days 
after the date of the enactment of this Act, the President 
shall transmit to the appropriate congressional committees 
a reorganization plan regarding the following: 
(1) The transfer of agencies, personnel, assets, 
and obligations to the Department pursuant to this 
Act. 
(2) 
Any 
consolidation, 
reorganization, 
or 
streamlining of agencies transferred to the Depart-
ment pursuant to this Act. 
(b) PLAN ELEMENTS.—The plan transmitted under 
subsection (a) shall contain, consistent with this Act, such 
elements as the President deems appropriate, including 
the following: 
(1) Identification of any functions of agencies 
transferred to the Department pursuant to this Act 
that will not be transferred to the Department under 
the plan. 
(2) Specification of the steps to be taken by the 
Secretary to organize the Department, including the 
delegation or assignment of functions transferred to
450
the Department among officers of the Department 
in order to permit the Department to carry out the 
functions transferred under the plan. 
(3) Specification of the funds available to each 
agency that will be transferred to the Department as 
a result of transfers under the plan.
(4) Specification of the proposed allocations 
within the Department of unexpended funds trans-
ferred in connection with transfers under the plan. 
(5) Specification of any proposed disposition of 
property, facilities, contracts, records, and other as-
sets and obligations of agencies transferred under 
the plan.
(6) Specification of the proposed allocations 
within the Department of the functions of the agen-
cies and subdivisions that are not related directly to 
securing the homeland. 
(c) MODIFICATION OF PLAN.—The President may, 
on the basis of consultations with the appropriate congres-
sional committees, modify or revise any part of the plan 
until that part of the plan becomes effective in accordance 
with subsection (d). 
(d) EFFECTIVE DATE.— 
(1) IN GENERAL.—The reorganization plan de-
scribed in this section, including any modifications
451
or revisions of the plan under subsection (d), shall 
become effective for an agency on the earlier of—
(A) the date specified in the plan (or the 
plan as modified pursuant to subsection (d)), 
except that such date may not be earlier than 
90 days after the date the President has trans-
mitted the reorganization plan to the appro-
priate congressional committees pursuant to 
subsection (a); or 
(B) the end of the transition period. 
(2) STATUTORY
CONSTRUCTION.—Nothing in 
this subsection may be construed to require the 
transfer of functions, personnel, records, balances of 
appropriations, or other assets of an agency on a 
single date. 
(3) SUPERSEDES
EXISTING
LAW.—Paragraph 
(1) shall apply notwithstanding section 905(b) of 
title 5, United States Code. 
SEC. 
1503. 
REVIEW 
OF 
CONGRESSIONAL 
COMMITTEE 
STRUCTURES. 
It is the sense of Congress that each House of Con-
gress should review its committee structure in light of the 
reorganization of responsibilities within the executive 
branch by the establishment of the Department.
452
Subtitle B—Transitional Provisions 
SEC. 1511. TRANSITIONAL AUTHORITIES. 
(a) PROVISION
OF ASSISTANCE
BY OFFICIALS.—
Until the transfer of an agency to the Department, any 
official having authority over or functions relating to the 
agency immediately before the effective date of this Act 
shall provide to the Secretary such assistance, including 
the use of personnel and assets, as the Secretary may re-
quest in preparing for the transfer and integration of the 
agency into the Department. 
(b) SERVICES AND PERSONNEL.—During the transi-
tion period, upon the request of the Secretary, the head 
of any executive agency may, on a reimbursable basis, pro-
vide services or detail personnel to assist with the transi-
tion. 
(c) ACTING OFFICIALS.—(1) During the transition 
period, pending the advice and consent of the Senate to 
the appointment of an officer required by this Act to be 
appointed by and with such advice and consent, the Presi-
dent may designate any officer whose appointment was re-
quired to be made by and with such advice and consent 
and who was such an officer immediately before the effec-
tive date of this Act (and who continues in office) or im-
mediately before such designation, to act in such office 
until the same is filled as provided in this Act. While so
453
acting, such officers shall receive compensation at the 
higher of—
(A) the rates provided by this Act for the re-
spective offices in which they act; or 
(B) the rates provided for the offices held at 
the time of designation. 
(2) Nothing in this Act shall be understood to require 
the advice and consent of the Senate to the appointment 
by the President to a position in the Department of any 
officer whose agency is transferred to the Department 
pursuant to this Act and whose duties following such 
transfer are germane to those performed before such 
transfer. 
(d) TRANSFER OF PERSONNEL, ASSETS, OBLIGA-
TIONS, AND FUNCTIONS.—Upon the transfer of an agency 
to the Department—
(1) the personnel, assets, and obligations held 
by or available in connection with the agency shall 
be transferred to the Secretary for appropriate allo-
cation, subject to the approval of the Director of the 
Office of Management and Budget and in accord-
ance with the provisions of section 1531(a)(2) of 
title 31, United States Code; and 
(2) the Secretary shall have all functions relat-
ing to the agency that any other official could by law
454
exercise in relation to the agency immediately before 
such transfer, and shall have in addition all func-
tions vested in the Secretary by this Act or other 
law. 
(e) PROHIBITION
ON USE
OF TRANSPORTATION 
TRUST FUNDS.—
(1) IN GENERAL.—Notwithstanding any other 
provision of this Act, no funds derived from the 
Highway Trust Fund, Airport and Airway Trust 
Fund, Inland Waterway Trust Fund, or Harbor 
Maintenance Trust Fund, may be transferred to, 
made available to, or obligated by the Secretary or 
any other official in the Department. 
(2) LIMITATION.—This subsection shall not 
apply to security-related funds provided to the Fed-
eral Aviation Administration for fiscal years pre-
ceding fiscal year 2003 for (A) operations, (B) facili-
ties and equipment, or (C) research, engineering, 
and development. 
SEC. 1512. SAVINGS PROVISIONS. 
(a) COMPLETED
ADMINISTRATIVE
ACTIONS.—(1) 
Completed administrative actions of an agency shall not 
be affected by the enactment of this Act or the transfer 
of such agency to the Department, but shall continue in 
effect according to their terms until amended, modified,
455
superseded, terminated, set aside, or revoked in accord-
ance with law by an officer of the United States or a court 
of competent jurisdiction, or by operation of law. 
(2) For purposes of paragraph (1), the term 
‘‘completed administrative action’’ includes orders, deter-
minations, rules, regulations, personnel actions, permits, 
agreements, grants, contracts, certificates, licenses, reg-
istrations, and privileges.
(b) PENDING PROCEEDINGS.—Subject to the author-
ity of the Secretary under this Act—
(1) pending proceedings in an agency, including 
notices of proposed rulemaking, and applications for 
licenses, permits, certificates, grants, and financial 
assistance, shall continue notwithstanding the enact-
ment of this Act or the transfer of the agency to the 
Department, unless discontinued or modified under 
the same terms and conditions and to the same ex-
tent that such discontinuance could have occurred if 
such enactment or transfer had not occurred; and 
(2) orders issued in such proceedings, and ap-
peals therefrom, and payments made pursuant to 
such orders, shall issue in the same manner and on 
the same terms as if this Act had not been enacted 
or the agency had not been transferred, and any 
such orders shall continue in effect until amended,
456
modified, superseded, terminated, set aside, or re-
voked by an officer of the United States or a court 
of competent jurisdiction, or by operation of law. 
(c) PENDING CIVIL ACTIONS.—Subject to the author-
ity of the Secretary under this Act, pending civil actions 
shall continue notwithstanding the enactment of this Act
or the transfer of an agency to the Department, and in 
such civil actions, proceedings shall be had, appeals taken, 
and judgments rendered and enforced in the same manner 
and with the same effect as if such enactment or transfer 
had not occurred. 
(d) REFERENCES.—References relating to an agency 
that is transferred to the Department in statutes, Execu-
tive orders, rules, regulations, directives, or delegations of 
authority that precede such transfer or the effective date 
of this Act shall be deemed to refer, as appropriate, to 
the Department, to its officers, employees, or agents, or 
to its corresponding organizational units or functions. 
Statutory reporting requirements that applied in relation 
to such an agency immediately before the effective date 
of this Act shall continue to apply following such transfer 
if they refer to the agency by name. 
(e) 
EMPLOYMENT
PROVISIONS.—(1) 
Notwith-
standing the generality of the foregoing (including sub-
sections (a) and (d)), in and for the Department the Sec-
457
retary may, in regulations prescribed jointly with the Di-
rector of the Office of Personnel Management, adopt the 
rules, procedures, terms, and conditions, established by 
statute, rule, or regulation before the effective date of this 
Act, relating to employment in any agency transferred to 
the Department pursuant to this Act; and 
(2) except as otherwise provided in this Act, or under 
authority granted by this Act, the transfer pursuant to 
this Act of personnel shall not alter the terms and condi-
tions of employment, including compensation, of any em-
ployee so transferred. 
(f) STATUTORY REPORTING REQUIREMENTS.—Any 
statutory reporting requirement that applied to an agency, 
transferred to the Department under this Act, imme-
diately before the effective date of this Act shall continue 
to apply following that transfer if the statutory require-
ment refers to the agency by name. 
SEC. 1513. TERMINATIONS. 
Except as otherwise provided in this Act, whenever 
all the functions vested by law in any agency have been 
transferred pursuant to this Act, each position and office 
the incumbent of which was authorized to receive com-
pensation at the rates prescribed for an office or position 
at level II, III, IV, or V, of the Executive Schedule, shall 
terminate.
458
SEC. 1514. NATIONAL IDENTIFICATION SYSTEM NOT AU-
THORIZED. 
Nothing in this Act shall be construed to authorize 
the development of a national identification system or 
card. 
SEC. 1515. CONTINUITY OF INSPECTOR GENERAL OVER-
SIGHT. 
Notwithstanding the transfer of an agency to the De-
partment pursuant to this Act, the Inspector General that 
exercised oversight of such agency prior to such transfer 
shall continue to exercise oversight of such agency during 
the period of time, if any, between the transfer of such 
agency to the Department pursuant to this Act and the 
appointment of the Inspector General of the Department 
of Homeland Security in accordance with section 103(b). 
SEC. 1516. INCIDENTAL TRANSFERS. 
The Director of the Office of Management and Budg-
et, in consultation with the Secretary, is authorized and 
directed to make such additional incidental dispositions of 
personnel, assets, and liabilities held, used, arising from, 
available, or to be made available, in connection with the 
functions transferred by this Act, as the Director may de-
termine necessary to accomplish the purposes of this Act. 
SEC. 1517. REFERENCE. 
With respect to any function transferred by or under 
this Act (including under a reorganization plan that be-
459
comes effective under section 1502) and exercised on or 
after the effective date of this Act, reference in any other 
Federal law to any department, commission, or agency or 
any officer or office the functions of which are so trans-
ferred shall be deemed to refer to the Secretary, other offi-
cial, or component of the Department to which such func-
tion is so transferred.
TITLE 
XVI—CORRECTIONS 
TO 
EXISTING LAW RELATING TO 
AIRLINE 
TRANSPORTATION 
SECURITY 
SEC. 1601. RETENTION OF SECURITY SENSITIVE INFORMA-
TION 
AUTHORITY 
AT 
DEPARTMENT 
OF 
TRANSPORTATION. 
(a) Section 40119 of title 49, United States Code, 
is amended—
(1) in subsection (a)—
(A) by inserting ‘‘and the Administrator of 
the Federal Aviation Administration each’’ after 
‘‘for Security’’; and 
(B) by striking ‘‘criminal violence and air-
craft piracy’’ and inserting ‘‘criminal violence, 
aircraft piracy, and terrorism and to ensure se-
curity’’; and 
(2) in subsection (b)(1)—
460
(A) by striking ‘‘, the Under Secretary’’ 
and inserting ‘‘and the establishment of a De-
partment of Homeland Security, the Secretary 
of Transportation’’; 
(B) by striking ‘‘carrying out’’ and all that 
follows through ‘‘if the Under Secretary’’ and 
inserting ‘‘ensuring security under this title if 
the Secretary of Transportation’’; and 
(C) in subparagraph (C) by striking ‘‘the 
safety of passengers in transportation’’ and in-
serting ‘‘transportation safety’’. 
(b) Section 114 of title 49, United States Code, is 
amended by adding at the end the following: 
‘‘(s) NONDISCLOSURE OF SECURITY ACTIVITIES.—
‘‘(1) IN
GENERAL.—Notwithstanding section 
552 of title 5, the Under Secretary shall prescribe 
regulations prohibiting the disclosure of information 
obtained or developed in carrying out security under 
authority of the Aviation and Transportation Secu-
rity Act (Public Law 107–71) or under chapter 449 
of this title if the Under Secretary decides that dis-
closing the information would—
‘‘(A) be an unwarranted invasion of per-
sonal privacy;
461
‘‘(B) reveal a trade secret or privileged or 
confidential commercial or financial informa-
tion; or 
‘‘(C) be detrimental to the security of 
transportation. 
‘‘(2) AVAILABILITY OF INFORMATION TO CON-
GRESS.—Paragraph (1) does not authorize informa-
tion to be withheld from a committee of Congress 
authorized to have the information. 
‘‘(3) LIMITATION ON TRANSFERABILITY OF DU-
TIES.—Except as otherwise provided by law, the 
Under Secretary may not transfer a duty or power 
under this subsection to another department, agen-
cy, or instrumentality of the United States.’’. 
SEC. 1602. INCREASE IN CIVIL PENALTIES. 
Section 46301(a) of title 49, United States Code, is 
amended by adding at the end the following: 
‘‘(8) AVIATION
SECURITY
VIOLATIONS.—Not-
withstanding paragraphs (1) and (2) of this sub-
section, the maximum civil penalty for violating 
chapter 449 or another requirement under this title 
administered by the Under Secretary of Transpor-
tation for Security shall be $10,000; except that the 
maximum civil penalty shall be $25,000 in the case 
of a person operating an aircraft for the transpor-
462
tation of passengers or property for compensation 
(except an individual serving as an airman).’’.
SEC. 1603. ALLOWING UNITED STATES CITIZENS AND 
UNITED STATES NATIONALS AS SCREENERS. 
Section 44935(e)(2)(A)(ii) of title 49, United States 
Code, is amended by striking ‘‘citizen of the United 
States’’ and inserting ‘‘citizen of the United States or a 
national of the United States, as defined in section 
1101(a)(22) of the Immigration and Nationality Act (8 
U.S.C. 1101(a)(22))’’.
TITLE XVII—CONFORMING AND 
TECHNICAL AMENDMENTS 
SEC. 1701. INSPECTOR GENERAL ACT OF 1978. 
Section 11 of the Inspector General Act of 1978 
(Public Law 95–452) is amended—
(1) by inserting ‘‘Homeland Security,’’ after 
‘‘Transportation,’’ each place it appears; and 
(2) by striking ‘‘; and’’ each place it appears in 
paragraph (1) and inserting ‘‘;’’; 
SEC. 1702. EXECUTIVE SCHEDULE. 
(a) IN GENERAL.—Title 5, United States Code, is 
amended—
(1) in section 5312, by inserting ‘‘Secretary of 
Homeland Security.’’ as a new item after ‘‘Affairs.’’;
463
(2) in section 5313, by inserting ‘‘Deputy Sec-
retary of Homeland Security.’’ as a new item after 
‘‘Affairs.’’; 
(3) in section 5314, by inserting ‘‘Under Secre-
taries, 
Department 
of 
Homeland 
Security.’’, 
‘‘Director of the Bureau of Citizenship and Immi-
gration Services.’’ as new items after ‘‘Affairs.’’ the 
third place it appears; 
(4) in section 5315, by inserting ‘‘Assistant 
Secretaries, Department of Homeland Security.’’, 
‘‘General Counsel, Department of Homeland Secu-
rity.’’, ‘‘Officer for Civil Rights and Civil Liberties, 
Department of Homeland Security.’’, ‘‘Chief Finan-
cial Officer, Department of Homeland Security.’’, 
‘‘Chief Information Officer, Department of Home-
land Security.’’, and ‘‘Inspector General, Depart-
ment of Homeland Security.’’ as new items after 
‘‘Affairs.’’ the first place it appears; and 
(5) in section 5315, by striking ‘‘Commissioner 
of Immigration and Naturalization, Department of 
Justice.’’. 
(b) SPECIAL EFFECTIVE DATE.—Notwithstanding 
section 4, the amendment made by subsection (a)(5) shall 
take effect on the date on which the transfer of functions 
specified under section 441 takes effect.
464
SEC. 1703. UNITED STATES SECRET SERVICE. 
(a) IN GENERAL.—(1) The United States Code is 
amended in section 202 of title 3, and in section 3056 
of title 18, by striking ‘‘of the Treasury’’, each place it 
appears and inserting ‘‘of Homeland Security’’. 
(2) Section 208 of title 3, United States Code, is 
amended by striking ‘‘of Treasury’’ each place it appears 
and inserting ‘‘of Homeland Security’’. 
(b) EFFECTIVE DATE.—The amendments made by 
this section shall take effect on the date of transfer of 
the United States Secret Service to the Department. 
SEC. 1704. COAST GUARD. 
(a) TITLE 14, U.S.C.—Title 14, United States Code, 
is amended in sections 1, 3, 53, 95, 145, 516, 666, 669, 
673, 673a (as redesignated by subsection (e)(1)), 674, 
687, and 688 by striking ‘‘of Transportation’’ each place 
it appears and inserting ‘‘of Homeland Security’’. 
(b) TITLE 10, U.S.C.—(1) Title 10, United States 
Code, is amended in sections 101(9), 130b(a), 130b(c)(4), 
130c(h)(1), 379, 513(d), 575(b)(2), 580(e)(6), 580a(e), 
651(a), 671(c)(2), 708(a), 716(a), 717, 806(d)(2), 815(e), 
888, 946(c)(1), 973(d), 978(d), 983(b)(1), 985(a), 
1033(b)(1), 1033(d), 1034, 1037(c), 1044d(f), 1058(c), 
1059(a), 1059(k)(1), 1073(a), 1074(c)(1), 1089(g)(2), 
1090, 1091(a), 1124, 1143, 1143a(h), 1144, 1145(e), 
1148, 1149, 1150(c), 1152(a), 1152(d)(1), 1153, 1175,
465
1212(a), 1408(h)(2), 1408(h)(8), 1463(a)(2), 1482a(b), 
1510, 1552(a)(1), 1565(f), 1588(f)(4), 1589, 2002(a), 
2302(1), 2306b(b), 2323(j)(2), 2376(2), 2396(b)(1), 
2410a(a), 2572(a), 2575(a), 2578, 2601(b)(4), 2634(e), 
2635(a), 2734(g), 2734a, 2775, 2830(b)(2), 2835, 2836, 
4745(a), 5013a(a), 7361(b), 10143(b)(2), 10146(a), 
10147(a), 
10149(b), 
10150, 
10202(b), 
10203(d), 
10205(b), 
10301(b), 
12103(b), 
12103(d), 
12304, 
12311(c), 12522(c), 12527(a)(2), 12731(b), 12731a(e), 
16131(a), 16136(a), 16301(g), and 18501 by striking ‘‘of 
Transportation’’ each place it appears and inserting ‘‘of 
Homeland Security’’. 
(2) Section 801(1) of such title is amended by strik-
ing ‘‘the General Counsel of the Department of Transpor-
tation’’ and inserting ‘‘an official designated to serve as 
Judge Advocate General of the Coast Guard by the Sec-
retary of Homeland Security’’. 
(3) Section 983(d)(2)(B) of such title is amended by 
striking ‘‘Department of Transportation’’ and inserting 
‘‘Department of Homeland Security’’. 
(4) Section 2665(b) of such title is amended by strik-
ing ‘‘Department of Transportation’’ and inserting 
‘‘Department in which the Coast Guard is operating’’. 
(5) Section 7045 of such title is amended—
466
(A) in subsections (a)(1) and (b), by striking 
‘‘Secretaries of the Army, Air Force, and Transpor-
tation’’ both places it appears and inserting 
‘‘Secretary of the Army, the Secretary of the Air 
Force, and the Secretary of Homeland Security’’; 
and 
(B) in subsection (b), by striking ‘‘Department 
of Transportation’’ and inserting ‘‘Department of 
Homeland Security’’. 
(6) Section 7361(b) of such title is amended in the 
subsection heading by striking ‘‘TRANSPORTATION’’ and 
inserting ‘‘HOMELAND SECURITY’’. 
(7) Section 12522(c) of such title is amended in the 
subsection heading by striking ‘‘TRANSPORTATION’’ and 
inserting ‘‘HOMELAND SECURITY’’. 
(c) TITLE 37, U.S.C.—Title 37, United States Code, 
is amended in sections 101(5), 204(i)(4), 301a(a)(3), 
306(d), 307(c), 308(a)(1), 308(d)(2), 308(f), 308b(e), 
308c(c), 308d(a), 308e(f), 308g(g), 308h(f), 308i(e), 
309(d), 316(d), 323(b), 323(g)(1), 325(i), 402(d), 
402a(g)(1), 403(f)(3), 403(l)(1), 403b(i)(5), 406(b)(1), 
417(a), 417(b), 418(a), 703, 1001(c), 1006(f), 1007(a), 
and 1011(d) by striking ‘‘of Transportation’’ each place 
it appears and inserting ‘‘of Homeland Security’’.
468
(4) Section 4466(h) of Public Law 102–484 (10 
U.S.C. 1143 note) is amended by striking ‘‘of Transpor-
tation’’ and inserting ‘‘of Homeland Security’’.
(5) Section 542(d) of Public Law 103–337 (10 
U.S.C. 1293 note) is amended by striking ‘‘of Transpor-
tation’’ and inserting ‘‘of Homeland Security’’. 
(6) Section 740 of Public Law 106–181 (10 U.S.C. 
2576 note) is amended in subsections (b)(2), (c), and 
(d)(1) by striking ‘‘of Transportation’’ each place it ap-
pears and inserting ‘‘of Homeland Security’’. 
(7) Section 1407(b)(2) of the Defense Dependents’ 
Education Act of 1978 (20 U.S.C. 926(b)) is amended by 
striking ‘‘of Transportation’’ both places it appears and 
inserting ‘‘of Homeland Security’’. 
(8) Section 2301(5)(D) of the Elementary and Sec-
ondary Education Act of 1965 (20 U.S.C. 6671(5)(D)) 
is amended by striking ‘‘of Transportation’’ and inserting 
‘‘of Homeland Security’’. 
(9) Section 2307(a) of the Elementary and Secondary 
Education Act of 1965 (20 U.S.C. 6677(a)) is amended 
by striking ‘‘of Transportation’’ and inserting ‘‘of Home-
land Security’’. 
(10) Section 1034(a) of Public Law 105–85 (21 
U.S.C. 1505a(a)) is amended by striking ‘‘of Transpor-
tation’’ and inserting ‘‘of Homeland Security’’.
469
(11) The Military Selective Service Act is amended—
(A) in section 4(a) (50 U.S.C. App. 454(a)), by 
striking ‘‘of Transportation’’ in the fourth para-
graph and inserting ‘‘of Homeland Security’’; 
(B) in section 4(b) (50 U.S.C. App. 454(b)), by 
striking ‘‘of Transportation’’ both places it appears 
and inserting ‘‘of Homeland Security’’; 
(C) in section 6(d)(1) (50 U.S.C. App. 
456(d)(1)), by striking ‘‘of Transportation’’ both 
places it appears and inserting ‘‘of Homeland Secu-
rity’’; 
(D) in section 9(c) (50 U.S.C. App. 459(c)), by 
striking ‘‘Secretaries of Army, Navy, Air Force, or 
Transportation’’ and inserting ‘‘Secretary of a mili-
tary department, and the Secretary of Homeland Se-
curity with respect to the Coast Guard,’’; and 
(E) in section 15(e) (50 U.S.C. App. 465(e)), 
by striking ‘‘of Transportation’’ both places it ap-
pears and inserting ‘‘of Homeland Security’’. 
(f) TECHNICAL CORRECTION.—(1) Title 14, United 
States Code, is amended by redesignating section 673 (as 
added by section 309 of Public Law 104–324) as section 
673a.
470
(2) The table of sections at the beginning of chapter 
17 of such title is amended by redesignating the item re-
lating to such section as section 673a. 
(g) EFFECTIVE DATE.—The amendments made by 
this section (other than subsection (f)) shall take effect 
on the date of transfer of the Coast Guard to the Depart-
ment. 
SEC. 1705. STRATEGIC NATIONAL STOCKPILE AND SMALL-
POX VACCINE DEVELOPMENT. 
(a) IN GENERAL.—Section 121 of the Public Health 
Security and Bioterrorism Preparedness and Response 
Act of 2002 (Public Law 107–188; 42 U.S.C. 300hh–12) 
is amended—
(1) in subsection (a)(1)—
(A) by striking ‘‘Secretary of Health and 
Human Services’’ and inserting ‘‘Secretary of 
Homeland Security’’; 
(B) by inserting ‘‘the Secretary of Health 
and Human Services and’’ between ‘‘in coordi-
nation with’’ and ‘‘the Secretary of Veterans 
Affairs’’; and 
(C) by inserting ‘‘of Health and Human 
Services’’ after ‘‘as are determined by the Sec-
retary’’; and
471
(2) in subsections (a)(2) and (b), by inserting 
‘‘of Health and Human Services’’ after ‘‘Secretary’’ 
each place it appears. 
(b) EFFECTIVE DATE.—The amendments made by 
this section shall take effect on the date of transfer of 
the Strategic National Stockpile of the Department of 
Health and Human Services to the Department. 
SEC. 1706. TRANSFER OF CERTAIN SECURITY AND LAW EN-
FORCEMENT FUNCTIONS AND AUTHORITIES. 
(a) AMENDMENT TO TITLE 40.—Section 581 of title 
40, United States Code, is amended—
(1) by striking subsection (a); and 
(2) in subsection (b)—
(A) by inserting ‘‘and’’ after the semicolon 
at the end of paragraph (1); 
(B) by striking ‘‘; and’’ at the end of para-
graph (2) and inserting a period; and 
(C) by striking paragraph (3). 
(b) LAW ENFORCEMENT AUTHORITY.—
(1) IN
GENERAL.—Section 1315 of title 40, 
United States Code, is amended to read as follows:
472
‘‘§ 1315. Law enforcement authority of Secretary of 
Homeland Security for protection of pub-
lic property 
‘‘(a) IN GENERAL.—To the extent provided for by 
transfers made pursuant to the Homeland Security Act 
of 2002, the Secretary of Homeland Security (in this sec-
tion referred to as the ‘Secretary’) shall protect the build-
ings, grounds, and property that are owned, occupied, or 
secured by the Federal Government (including any agency, 
instrumentality, or wholly owned or mixed-ownership cor-
poration thereof) and the persons on the property. 
‘‘(b) OFFICERS AND AGENTS.—
‘‘(1) DESIGNATION.—The Secretary may des-
ignate employees of the Department of Homeland 
Security, including employees transferred to the De-
partment from the Office of the Federal Protective 
Service of the General Services Administration pur-
suant to the Homeland Security Act of 2002, as offi-
cers and agents for duty in connection with the pro-
tection of property owned or occupied by the Federal 
Government and persons on the property, including 
duty in areas outside the property to the extent nec-
essary to protect the property and persons on the 
property.
473
‘‘(2) POWERS.—While engaged in the perform-
ance of official duties, an officer or agent designated 
under this subsection may—
‘‘(A) enforce Federal laws and regulations 
for the protection of persons and property; 
‘‘(B) carry firearms; 
‘‘(C) make arrests without a warrant for 
any offense against the United States com-
mitted in the presence of the officer or agent or 
for any felony cognizable under the laws of the 
United States if the officer or agent has reason-
able grounds to believe that the person to be ar-
rested has committed or is committing a felony; 
‘‘(D) serve warrants and subpoenas issued 
under the authority of the United States; and 
‘‘(E) conduct investigations, on and off the 
property in question, of offenses that may have 
been committed against property owned or oc-
cupied by the Federal Government or persons 
on the property. 
‘‘(F) carry out such other activities for the 
promotion of homeland security as the Sec-
retary may prescribe. 
‘‘(c) REGULATIONS.—
474
‘‘(1) IN GENERAL.—The Secretary, in consulta-
tion with the Administrator of General Services, may 
prescribe regulations necessary for the protection 
and administration of property owned or occupied by 
the Federal Government and persons on the prop-
erty. The regulations may include reasonable pen-
alties, within the limits prescribed in paragraph (2), 
for violations of the regulations. The regulations
shall be posted and remain posted in a conspicuous 
place on the property. 
‘‘(2) PENALTIES.—A person violating a regula-
tion prescribed under this subsection shall be fined 
under title 18, United States Code, imprisoned for 
not more than 30 days, or both. 
‘‘(d) DETAILS.—
‘‘(1) REQUESTS OF AGENCIES.—On the request 
of the head of a Federal agency having charge or 
control of property owned or occupied by the Federal 
Government, the Secretary may detail officers and 
agents designated under this section for the protec-
tion of the property and persons on the property. 
‘‘(2) APPLICABILITY
OF
REGULATIONS.—The 
Secretary may—
‘‘(A) extend to property referred to in 
paragraph (1) the applicability of regulations
475
prescribed under this section and enforce the 
regulations as provided in this section; or 
‘‘(B) utilize the authority and regulations 
of the requesting agency if agreed to in writing 
by the agencies. 
‘‘(3) FACILITIES
AND
SERVICES
OF
OTHER 
AGENCIES.—When the Secretary determines it to be 
economical and in the public interest, the Secretary 
may utilize the facilities and services of Federal, 
State, and local law enforcement agencies, with the 
consent of the agencies. 
‘‘(e) AUTHORITY OUTSIDE FEDERAL PROPERTY.—
For the protection of property owned or occupied by the 
Federal Government and persons on the property, the Sec-
retary may enter into agreements with Federal agencies 
and with State and local governments to obtain authority 
for officers and agents designated under this section to 
enforce Federal laws and State and local laws concurrently 
with other Federal law enforcement officers and with 
State and local law enforcement officers. 
‘‘(f) SECRETARY
AND ATTORNEY GENERAL AP-
PROVAL.—The powers granted to officers and agents des-
ignated under this section shall be exercised in accordance 
with guidelines approved by the Secretary and the Attor-
ney General.
476
‘‘(g) LIMITATION ON STATUTORY CONSTRUCTION.—
Nothing in this section shall be construed to—
‘‘(1) preclude or limit the authority of any Fed-
eral law enforcement agency; or 
‘‘(2) restrict the authority of the Administrator 
of General Services to promulgate regulations affect-
ing property under the Administrator’s custody and 
control.’’. 
(2) DELEGATION
OF
AUTHORITY.—The Sec-
retary may delegate authority for the protection of 
specific buildings to another Federal agency where, 
in the Secretary’s discretion, the Secretary deter-
mines it necessary for the protection of that build-
ing. 
(3) CLERICAL AMENDMENT.—The table of sec-
tions at the beginning of chapter 13 of title 40, 
United States Code, is amended by striking the item 
relating to section 1315 and inserting the following:
‘‘1315. Law enforcement authority of Secretary of Homeland Security for pro-
tection of public property.’’.
SEC. 1707. TRANSPORTATION SECURITY REGULATIONS. 
Title 49, United States Code, is amended—
(1) in section 114(l)(2)(B), by inserting ‘‘for a 
period not to exceed 90 days’’ after ‘‘effective’’; and 
(2) in section 114(l)(2)(B), by inserting 
‘‘ratified or’’ after ‘‘unless’’.
477
SEC. 1708. NATIONAL BIO-WEAPONS DEFENSE ANALYSIS 
CENTER. 
There is established in the Department of Defense 
a National Bio-Weapons Defense Analysis Center, whose 
mission is to develop countermeasures to potential attacks 
by terrorists using weapons of mass destruction. 
SEC. 1709. COLLABORATION WITH THE SECRETARY OF 
HOMELAND SECURITY. 
(a) DEPARTMENT OF HEALTH AND HUMAN SERV-
ICES.—The second sentence of section 351A(e)(1) of the 
Public Health Service Act (42 U.S.C. 262A(e)(1)) is 
amended by striking ‘‘consultation with’’ and inserting 
‘‘collaboration with the Secretary of Homeland Security 
and’’. 
(b) DEPARTMENT OF AGRICULTURE.—The second 
sentence of section 212(e)(1) of the Agricultural Bioter-
rorism Protection Act of 2002 (7 U.S.C. 8401) is amended 
by 
striking 
‘‘consultation 
with’’ 
and 
inserting 
‘‘collaboration with the Secretary of Homeland Security 
and’’. 
SEC. 1710. RAILROAD SAFETY TO INCLUDE RAILROAD SE-
CURITY. 
(a) INVESTIGATION
AND SURVEILLANCE ACTIVI-
TIES.—Section 20105 of title 49, United States Code, is 
amended—
478
(1) by striking ‘‘Secretary of Transportation’’ 
in the first sentence of subsection (a) and inserting 
‘‘Secretary concerned’’; 
(2) by striking ‘‘Secretary’’ each place it ap-
pears (except the first sentence of subsection (a)) 
and inserting ‘‘Secretary concerned’’; 
(3) by striking ‘‘Secretary’s duties under chap-
ters 203–213 of this title’’ in subsection (d) and in-
serting ‘‘duties under chapters 203–213 of this title 
(in the case of the Secretary of Transportation) and 
duties under section 114 of this title (in the case of 
the Secretary of Homeland Security)’’; 
(4) by striking ‘‘chapter.’’ in subsection (f) and 
inserting ‘‘chapter (in the case of the Secretary of 
Transportation) and duties under section 114 of this 
title (in the case of the Secretary of Homeland Secu-
rity).’’; and 
(5) by adding at the end the following new sub-
section: 
‘‘(g) DEFINITIONS.—In this section—
‘‘(1) the term ‘safety’ includes security; and 
‘‘(2) the term ‘Secretary concerned’ means—
‘‘(A) the Secretary of Transportation, with 
respect to railroad safety matters concerning
479
such Secretary under laws administered by that 
Secretary; and 
‘‘(B) the Secretary of Homeland Security, 
with respect to railroad safety matters con-
cerning such Secretary under laws administered 
by that Secretary.’’. 
(b) REGULATIONS AND ORDERS.—Section 20103(a) 
of such title is amended by inserting after ‘‘1970.’’ the 
following: ‘‘When prescribing a security regulation or 
issuing a security order that affects the safety of railroad 
operations, the Secretary of Homeland Security shall con-
sult with the Secretary.’’. 
(c) NATIONAL UNIFORMITY OF REGULATION.—Sec-
tion 20106 of such title is amended—
(1) by inserting ‘‘and laws, regulations, and or-
ders related to railroad security’’ after ‘‘safety’’ in 
the first sentence; 
(2) by inserting ‘‘or security’’ after ‘‘safety’’ 
each place it appears after the first sentence; and 
(3) by striking ‘‘Transportation’’ in the second 
sentence and inserting ‘‘Transportation (with respect 
to railroad safety matters), or the Secretary of 
Homeland Security (with respect to railroad security 
matters),’’.
480
SEC. 1711. HAZMAT SAFETY TO INCLUDE HAZMAT SECU-
RITY. 
(a) GENERAL REGULATORY AUTHORITY.—Section 
5103 of title 49, United States Code, is amended—
(1) by striking ‘‘transportation’’ the first place 
it appears in subsection (b)(1) and inserting 
‘‘transportation, including security,’’; 
(2) 
by 
striking 
‘‘aspects’’ 
in 
subsection 
(b)(1)(B) and inserting ‘‘aspects, including secu-
rity,’’; and
(3) by adding at the end the following: 
‘‘(C) CONSULTATION.—When prescribing a 
security regulation or issuing a security order 
that affects the safety of the transportation of 
hazardous material, the Secretary of Homeland 
Security shall consult with the Secretary.’’. 
(b) PREEMPTION.—Section 5125 of that title is 
amended—
(1) by striking ‘‘chapter or a regulation pre-
scribed under this chapter’’ in subsection (a)(1) and 
inserting ‘‘chapter, a regulation prescribed under 
this chapter, or a hazardous materials transpor-
tation security regulation or directive issued by the 
Secretary of Homeland Security’’; 
(2) by striking ‘‘chapter or a regulation pre-
scribed under this chapter.’’ in subsection (a)(2) and
481
inserting ‘‘chapter, a regulation prescribed under 
this chapter, or a hazardous materials transpor-
tation security regulation or directive issued by the 
Secretary of Homeland Security.’’; and 
(3) by striking ‘‘chapter or a regulation pre-
scribed under this chapter,’’ in subsection (b)(1) and 
inserting ‘‘chapter, a regulation prescribed under 
this chapter, or a hazardous materials transpor-
tation security regulation or directive issued by the 
Secretary of Homeland Security,’’. 
SEC. 1712. OFFICE OF SCIENCE AND TECHNOLOGY POLICY. 
The National Science and Technology Policy, Organi-
zation, and Priorities Act of 1976 is amended—
(1) 
in 
section 
204(b)(1) 
(42 
U.S.C. 
6613(b)(1)), by inserting ‘‘homeland security,’’ after 
‘‘national security,’’; and 
(2) 
in 
section 
208(a)(1) 
(42 
U.S.C. 
6617(a)(1)), by inserting ‘‘the Office of Homeland 
Security,’’ after ‘‘National Security Council,’’. 
SEC. 
1713. 
NATIONAL 
OCEANOGRAPHIC 
PARTNERSHIP 
PROGRAM. 
Section 7902(b) of title 10, United States Code, is 
amended by adding at the end the following new para-
graphs:
482
‘‘(13) The Under Secretary for Science and 
Technology of the Department of Homeland Secu-
rity. 
‘‘(14) Other Federal officials the Council con-
siders appropriate.’’. 
SEC. 1714. CLARIFICATION OF DEFINITION OF MANUFAC-
TURER. 
Section 2133(3) of the Public Health Service Act (42 
U.S.C. 300aa–33(3)) is amended—
(1) in the first sentence, by striking ‘‘under its 
label any vaccine set forth in the Vaccine Injury 
Table’’ and inserting ‘‘any vaccine set forth in the 
Vaccine Injury table, including any component or in-
gredient of any such vaccine’’; and 
(2) in the second sentence, by inserting 
‘‘including any component or ingredient of any such 
vaccine’’ before the period. 
SEC. 1715. CLARIFICATION OF DEFINITION OF VACCINE-RE-
LATED INJURY OR DEATH. 
Section 2133(5) of the Public Health Service Act (42 
U.S.C. 300aa–33(5)) is amended by adding at the end the 
following: ‘‘For purposes of the preceding sentence, an 
adulterant or contaminant shall not include any compo-
nent or ingredient listed in a vaccine’s product license ap-
plication or product label.’’.
483
SEC. 1716. CLARIFICATION OF DEFINITION OF VACCINE. 
Section 2133 of the Public Health Service Act (42 
U.S.C. 300aa–33) is amended by adding at the end the 
following: 
‘‘(7) The term ‘vaccine’ means any preparation 
or suspension, including but not limited to a prepa-
ration or suspension containing an attenuated or in-
active microorganism or subunit thereof or toxin, de-
veloped or administered to produce or enhance the 
body’s immune response to a disease or diseases and 
includes all components and ingredients listed in the 
vaccines’s product license application and product 
label.’’. 
SEC. 1717. EFFECTIVE DATE. 
The amendments made by sections 1714, 1715, and 
1716 shall apply to all actions or proceedings pending on 
or after the date of enactment of this Act, unless a court 
of 
competent 
jurisdiction 
has 
entered 
judgment 
(regardless of whether the time for appeal has expired) 
in such action or proceeding disposing of the entire action 
or proceeding.
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