H. R. 2701 
One Hundred Eleventh Congress 
of the 
United States of America 
AT THE SECOND SESSION 
Begun and held at the City of Washington on Tuesday, 
the fifth day of January, two thousand and ten 
An Act 
To authorize appropriations for fiscal year 2010 for intelligence and intelligence- 
related activities of the United States Government, the Community Management 
Account, and the Central Intelligence Agency Retirement and Disability System, 
and for other purposes. 
Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE; TABLE OF CONTENTS. 
(a) SHORT TITLE.—This Act may be cited as the ‘‘Intelligence 
Authorization Act for Fiscal Year 2010’’. 
(b) TABLE OF CONTENTS.—The table of contents for this Act 
is as follows: 
Sec. 1. Short title; table of contents. 
Sec. 2. Definitions. 
TITLE I—BUDGET AND PERSONNEL AUTHORIZATIONS 
Sec. 101. Authorization of appropriations. 
Sec. 102. Restriction on conduct of intelligence activities. 
Sec. 103. Budgetary provisions. 
TITLE II—CENTRAL INTELLIGENCE AGENCY RETIREMENT AND 
DISABILITY SYSTEM 
Sec. 201. Technical modification to mandatory retirement provision of the Central 
Intelligence Agency Retirement Act. 
TITLE III—GENERAL INTELLIGENCE COMMUNITY MATTERS 
Subtitle A—Personnel Matters 
Sec. 301. Increase in employee compensation and benefits authorized by law. 
Sec. 302. Enhanced flexibility in nonreimbursable details to elements of the intel-
ligence community. 
Sec. 303. Pay authority for critical positions. 
Sec. 304. Award of rank to members of the Senior National Intelligence Service. 
Sec. 305. Annual personnel level assessments for the intelligence community. 
Sec. 306. Temporary personnel authorizations for critical language training. 
Sec. 307. Conflict of interest regulations for intelligence community employees. 
Subtitle B—Education Programs 
Sec. 311. Permanent authorization for the Pat Roberts Intelligence Scholars Pro-
gram. 
Sec. 312. Modifications to the Louis Stokes Educational Scholarship Program. 
Sec. 313. Intelligence officer training program. 
Sec. 314. Pilot program for intensive language instruction in African languages. 
Subtitle C—Acquisition Matters 
Sec. 321. Vulnerability assessments of major systems. 
Sec. 322. Intelligence community business system transformation. 
Sec. 323. Reports on the acquisition of major systems. 
Sec. 324. Critical cost growth in major systems. 
Sec. 325. Future budget projections.
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Sec. 326. National Intelligence Program funded acquisitions. 
Subtitle D—Congressional Oversight, Plans, and Reports 
Sec. 331. Notification procedures. 
Sec. 332. Certification of compliance with oversight requirements. 
Sec. 333. Report on detention and interrogation activities. 
Sec. 334. Summary of intelligence relating to terrorist recidivism of detainees held 
at United States Naval Station, Guantanamo Bay, Cuba. 
Sec. 335. Report and strategic plan on biological weapons. 
Sec. 336. Cybersecurity oversight. 
Sec. 337. Report on foreign language proficiency in the intelligence community. 
Sec. 338. Report on plans to increase diversity within the intelligence community. 
Sec. 339. Report on intelligence community contractors. 
Sec. 340. Study on electronic waste destruction practices of the intelligence commu-
nity. 
Sec. 341. Review of records relating to potential health risks among Desert Storm 
veterans. 
Sec. 342. Review of Federal Bureau of Investigation exercise of enforcement juris-
diction in foreign nations. 
Sec. 343. Public release of information on procedures used in narcotics airbridge de-
nial program in Peru. 
Sec. 344. Report on threat from dirty bombs. 
Sec. 345. Report on creation of space intelligence office. 
Sec. 346. Report on attempt to detonate explosive device on Northwest Airlines 
flight 253. 
Sec. 347. Repeal or modification of certain reporting requirements. 
Sec. 348. Information access by the Comptroller General of the United States. 
Sec. 349. Conforming amendments for report submission dates. 
Subtitle E—Other Matters 
Sec. 361. Extension of authority to delete information about receipt and disposition 
of foreign gifts and decorations. 
Sec. 362. Modification of availability of funds for different intelligence activities. 
Sec. 363. Protection of certain national security information. 
Sec. 364. National Intelligence Program budget. 
Sec. 365. Improving the review authority of the Public Interest Declassification 
Board. 
Sec. 366. Authority to designate undercover operations to collect foreign intel-
ligence or counterintelligence. 
Sec. 367. Security clearances: reports; reciprocity. 
Sec. 368. Correcting long-standing material weaknesses. 
Sec. 369. Intelligence community financial improvement and audit readiness. 
TITLE IV—MATTERS RELATING TO ELEMENTS OF THE INTELLIGENCE 
COMMUNITY 
Subtitle A—Office of the Director of National Intelligence 
Sec. 401. Accountability reviews by the Director of National Intelligence. 
Sec. 402. Authorities for intelligence information sharing. 
Sec. 403. Location of the Office of the Director of National Intelligence. 
Sec. 404. Title and appointment of Chief Information Officer of the Intelligence 
Community. 
Sec. 405. Inspector General of the Intelligence Community. 
Sec. 406. Chief Financial Officer of the Intelligence Community. 
Sec. 407. Leadership and location of certain offices and officials. 
Sec. 408. Protection of certain files of the Office of the Director of National Intel-
ligence. 
Sec. 409. Counterintelligence initiatives for the intelligence community. 
Sec. 410. Inapplicability of Federal Advisory Committee Act to advisory committees 
of the Office of the Director of National Intelligence. 
Sec. 411. Membership of the Director of National Intelligence on the Transpor-
tation Security Oversight Board. 
Sec. 412. Repeal of certain authorities relating to the Office of the National Coun-
terintelligence Executive. 
Sec. 413. Misuse of the Office of the Director of National Intelligence name, initials, 
or seal. 
Sec. 414. Plan to implement recommendations of the data center energy efficiency 
reports. 
Sec. 415. Director of National Intelligence support for reviews of International 
Traffic in Arms Regulations and Export Administration Regulations. 
Subtitle B—Central Intelligence Agency 
Sec. 421. Additional functions and authorities for protective personnel of the Cen-
tral Intelligence Agency.
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Sec. 422. Appeals from decisions involving contracts of the Central Intelligence 
Agency. 
Sec. 423. Deputy Director of the Central Intelligence Agency. 
Sec. 424. Authority to authorize travel on a common carrier. 
Sec. 425. Inspector General for the Central Intelligence Agency. 
Sec. 426. Budget of the Inspector General for the Central Intelligence Agency. 
Sec. 427. Public availability of unclassified versions of certain intelligence products. 
Subtitle C—Defense Intelligence Components 
Sec. 431. Inspector general matters. 
Sec. 432. Clarification of national security missions of National Geospatial-Intel-
ligence Agency for analysis and dissemination of certain intelligence in-
formation. 
Sec. 433. Director of Compliance of the National Security Agency. 
Subtitle D—Other Elements 
Sec. 441. Codification of additional elements of the intelligence community. 
Sec. 442. Authorization of appropriations for Coast Guard National Tactical Inte-
gration Office. 
Sec. 443. Retention and relocation bonuses for the Federal Bureau of Investigation. 
Sec. 444. Extension of the authority of the Federal Bureau of Investigation to waive 
mandatory retirement provisions. 
Sec. 445. Report and assessments on transformation of the intelligence capabilities 
of the Federal Bureau of Investigation. 
TITLE V—REORGANIZATION OF THE DIPLOMATIC TELECOMMUNICATIONS 
SERVICE PROGRAM OFFICE 
Sec. 501. Reorganization of the Diplomatic Telecommunications Service Program 
Office. 
TITLE VI—FOREIGN INTELLIGENCE AND INFORMATION COMMISSION ACT 
Sec. 601. Short title. 
Sec. 602. Definitions. 
Sec. 603. Establishment and functions of the Commission. 
Sec. 604. Members and staff of the Commission. 
Sec. 605. Powers and duties of the Commission. 
Sec. 606. Report of the Commission. 
Sec. 607. Termination. 
Sec. 608. Nonapplicability of Federal Advisory Committee Act. 
Sec. 609. Authorization of appropriations. 
TITLE VII—OTHER MATTERS 
Sec. 701. Extension of National Commission for the Review of the Research and 
Development Programs of the United States Intelligence Community. 
Sec. 702. Classification review of executive branch materials in the possession of 
the congressional intelligence committees. 
TITLE VIII—TECHNICAL AMENDMENTS 
Sec. 801. Technical amendments to the Foreign Intelligence Surveillance Act of 
1978. 
Sec. 802. Technical amendments to the Central Intelligence Agency Act of 1949. 
Sec. 803. Technical amendments to title 10, United States Code. 
Sec. 804. Technical amendments to the National Security Act of 1947. 
Sec. 805. Technical amendments relating to the multiyear National Intelligence 
Program. 
Sec. 806. Technical amendments to the Intelligence Reform and Terrorism Preven-
tion Act of 2004. 
Sec. 807. Technical amendments to the Executive Schedule. 
Sec. 808. Technical amendments to section 105 of the Intelligence Authorization 
Act for Fiscal Year 2004. 
Sec. 809. Technical amendments to section 602 of the Intelligence Authorization 
Act for Fiscal Year 1995. 
Sec. 810. Technical amendments to section 403 of the Intelligence Authorization 
Act, Fiscal Year 1992. 
SEC. 2. DEFINITIONS. 
In this Act: 
(1) CONGRESSIONAL INTELLIGENCE COMMITTEES.—The term 
‘‘congressional intelligence committees’’ means—
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(A) the Select Committee on Intelligence of the Senate; 
and 
(B) the Permanent Select Committee on Intelligence 
of the House of Representatives. 
(2) INTELLIGENCE
COMMUNITY.—The term ‘‘intelligence 
community’’ has the meaning given that term in section 3(4) 
of the National Security Act of 1947 (50 U.S.C. 401a(4)). 
TITLE I—BUDGET AND PERSONNEL 
AUTHORIZATIONS 
SEC. 101. AUTHORIZATION OF APPROPRIATIONS. 
For the purposes of section 504 of the National Security Act 
of 1947 (50 U.S.C. 414), appropriated funds available to an intel-
ligence agency may be obligated or expended for an intelligence 
or intelligence-related activity as appropriated for fiscal year 2010, 
as modified by such reprogramming and transfers of funds author-
ized by and reported to the appropriate congressional committees. 
SEC. 102. RESTRICTION ON CONDUCT OF INTELLIGENCE ACTIVITIES. 
The authorization of appropriations by this Act shall not be 
deemed to constitute authority for the conduct of any intelligence 
activity that is not otherwise authorized by the Constitution or 
the laws of the United States. 
SEC. 103. BUDGETARY PROVISIONS. 
The budgetary effects of this Act, for the purpose of complying 
with the Statutory Pay-As-You-Go-Act of 2010, shall be determined 
by reference to the latest statement titled ‘‘Budgetary Effects of 
PAYGO Legislation’’ for this Act, submitted for printing in the 
Congressional Record by the Chairman of the Senate Budget Com-
mittee, provided that such statement has been submitted prior 
to the vote on passage. 
TITLE 
II—CENTRAL 
INTELLIGENCE 
AGENCY 
RETIREMENT 
AND 
DIS-
ABILITY SYSTEM 
SEC. 201. TECHNICAL MODIFICATION TO MANDATORY RETIREMENT 
PROVISION OF THE CENTRAL INTELLIGENCE AGENCY 
RETIREMENT ACT. 
Subparagraph (A) of section 235(b)(1) of the Central Intelligence 
Agency Retirement Act (50 U.S.C. 2055(b)(1)) is amended by 
striking ‘‘receiving compensation under the Senior Intelligence 
Service pay schedule at the rate’’ and inserting ‘‘who is at the 
Senior Intelligence Service rank’’.
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TITLE III—GENERAL INTELLIGENCE 
COMMUNITY MATTERS 
Subtitle A—Personnel Matters 
SEC. 301. INCREASE IN EMPLOYEE COMPENSATION AND BENEFITS 
AUTHORIZED BY LAW. 
Appropriations authorized by this Act for salary, pay, retire-
ment, and other benefits for Federal employees may be increased 
by such additional or supplemental amounts as may be necessary 
for increases in such compensation or benefits authorized by law. 
SEC. 302. ENHANCED FLEXIBILITY IN NONREIMBURSABLE DETAILS 
TO ELEMENTS OF THE INTELLIGENCE COMMUNITY. 
(a) IN GENERAL.—Title I of the National Security Act of 1947 
(50 U.S.C. 402 et seq.) is amended by inserting after section 113 
the following new section: 
‘‘DETAIL OF OTHER PERSONNEL 
‘‘SEC. 113A. Except as provided in section 904(g)(2) of the 
Counterintelligence Enhancement Act of 2002 (50 U.S.C. 402c(g)(2)) 
and section 113 of this Act, and notwithstanding any other provision 
of law, an officer or employee of the United States or member 
of the Armed Forces may be detailed to the staff of an element 
of the intelligence community funded through the National Intel-
ligence Program from another element of the intelligence community 
or from another element of the United States Government on a 
reimbursable or nonreimbursable basis, as jointly agreed to by 
the head of the receiving element and the head of the detailing 
element, for a period not to exceed 2 years.’’. 
(b) TABLE OF CONTENTS AMENDMENT.—The table of contents 
in the first section of such Act is amended by inserting after 
the item relating to section 113 the following new item: 
‘‘Sec. 113A. Detail of other personnel.’’. 
SEC. 303. PAY AUTHORITY FOR CRITICAL POSITIONS. 
Section 102A of the National Security Act of 1947 (50 U.S.C. 
403–1) is amended by adding at the end the following new sub-
section: 
‘‘(s) PAY AUTHORITY
FOR CRITICAL POSITIONS.—(1) Notwith-
standing any pay limitation established under any other provision 
of law applicable to employees in elements of the intelligence 
community, the Director of National Intelligence may, in coordina-
tion with the Director of the Office of Personnel Management and 
the Director of the Office of Management and Budget, grant 
authority to the head of a department or agency to fix the rate 
of basic pay for one or more positions within the intelligence commu-
nity at a rate in excess of any applicable limitation, subject to 
the provisions of this subsection. The exercise of authority so 
granted is at the discretion of the head of the department or 
agency employing the individual in a position covered by such 
authority, subject to the provisions of this subsection and any 
conditions established by the Director of National Intelligence when 
granting such authority.
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‘‘(2) Authority under this subsection may be granted or exer-
cised only— 
‘‘(A) with respect to a position that requires an extremely 
high level of expertise and is critical to successful accomplish-
ment of an important mission; and 
‘‘(B) to the extent necessary to recruit or retain an indi-
vidual exceptionally well qualified for the position. 
‘‘(3) The head of a department or agency may not fix a rate 
of basic pay under this subsection at a rate greater than the 
rate payable for level II of the Executive Schedule under section 
5313 of title 5, United States Code, except upon written approval 
of the Director of National Intelligence or as otherwise authorized 
by law. 
‘‘(4) The head of a department or agency may not fix a rate 
of basic pay under this subsection at a rate greater than the 
rate payable for level I of the Executive Schedule under section 
5312 of title 5, United States Code, except upon written approval 
of the President in response to a request by the Director of National 
Intelligence or as otherwise authorized by law. 
‘‘(5) Any grant of authority under this subsection for a position 
shall terminate at the discretion of the Director of National Intel-
ligence. 
‘‘(6)(A) The Director of National Intelligence shall notify the 
congressional intelligence committees not later than 30 days after 
the date on which the Director grants authority to the head of 
a department or agency under this subsection. 
‘‘(B) The head of a department or agency to which the Director 
of National Intelligence grants authority under this subsection shall 
notify the congressional intelligence committees and the Director 
of the exercise of such authority not later than 30 days after 
the date on which such head exercises such authority.’’. 
SEC. 304. AWARD OF RANK TO MEMBERS OF THE SENIOR NATIONAL 
INTELLIGENCE SERVICE. 
Section 102A of the National Security Act of 1947 (50 U.S.C. 
403–1), as amended by section 303 of this Act, is further amended 
by adding at the end the following new subsection: 
‘‘(t) AWARD OF RANK TO MEMBERS OF THE SENIOR NATIONAL 
INTELLIGENCE SERVICE.—(1) The President, based on the rec-
ommendation of the Director of National Intelligence, may award 
a rank to a member of the Senior National Intelligence Service 
or other intelligence community senior civilian officer not already 
covered by such a rank award program in the same manner in 
which a career appointee of an agency may be awarded a rank 
under section 4507 of title 5, United States Code. 
‘‘(2) The President may establish procedures to award a rank 
under paragraph (1) to a member of the Senior National Intelligence 
Service or a senior civilian officer of the intelligence community 
whose identity as such a member or officer is classified information 
(as defined in section 606(1)).’’. 
SEC. 305. ANNUAL PERSONNEL LEVEL ASSESSMENTS FOR THE INTEL-
LIGENCE COMMUNITY. 
(a) ASSESSMENT.—Title V of the National Security Act of 1947 
(50 U.S.C. 413 et seq.) is amended by inserting after section 506A 
the following new section:
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‘‘ANNUAL PERSONNEL LEVEL ASSESSMENTS FOR THE INTELLIGENCE 
COMMUNITY 
‘‘SEC. 506B. (a) REQUIREMENT TO PROVIDE.—The Director of 
National Intelligence shall, in consultation with the head of each 
element of the intelligence community, prepare an annual personnel 
level assessment for such element that assesses the personnel levels 
for such element for the fiscal year following the fiscal year in 
which the assessment is submitted. 
‘‘(b) SCHEDULE.—Each assessment required by subsection (a) 
shall be submitted to the congressional intelligence committees 
each year at the time that the President submits to Congress 
the budget for a fiscal year pursuant to section 1105 of title 31, 
United States Code. 
‘‘(c) CONTENTS.—Each assessment required by subsection (a) 
submitted during a fiscal year shall contain the following informa-
tion for the element of the intelligence community concerned: 
‘‘(1) The budget submission for personnel costs for the 
upcoming fiscal year. 
‘‘(2) The dollar and percentage increase or decrease of such 
costs as compared to the personnel costs of the current fiscal 
year. 
‘‘(3) The dollar and percentage increase or decrease of such 
costs as compared to the personnel costs during the prior 5 
fiscal years. 
‘‘(4) The number of full-time equivalent positions that is 
the basis for which personnel funds are requested for the 
upcoming fiscal year. 
‘‘(5) The numerical and percentage increase or decrease 
of the number referred to in paragraph (4) as compared to 
the number of full-time equivalent positions of the current 
fiscal year. 
‘‘(6) The numerical and percentage increase or decrease 
of the number referred to in paragraph (4) as compared to 
the number of full-time equivalent positions during the prior 
5 fiscal years. 
‘‘(7) The best estimate of the number and costs of core 
contract personnel to be funded by the element for the upcoming 
fiscal year. 
‘‘(8) The numerical and percentage increase or decrease 
of such costs of core contract personnel as compared to the 
best estimate of the costs of core contract personnel of the 
current fiscal year. 
‘‘(9) The numerical and percentage increase or decrease 
of such number and such costs of core contract personnel as 
compared to the number and cost of core contract personnel 
during the prior 5 fiscal years. 
‘‘(10) A justification for the requested personnel and core 
contract personnel levels. 
‘‘(11) The best estimate of the number of intelligence collec-
tors and analysts employed or contracted by each element of 
the intelligence community. 
‘‘(12) A statement by the Director of National Intelligence 
that, based on current and projected funding, the element con-
cerned will have sufficient— 
‘‘(A) internal infrastructure to support the requested 
personnel and core contract personnel levels;
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‘‘(B) training resources to support the requested per-
sonnel levels; and 
‘‘(C) funding to support the administrative and oper-
ational activities of the requested personnel levels.’’. 
(b) APPLICABILITY DATE.—The first assessment required to be 
submitted under section 506B(b) of the National Security Act of 
1947, as added by subsection (a), shall be submitted to the congres-
sional intelligence committees at the time that the President sub-
mits to Congress the budget for fiscal year 2012 pursuant to section 
1105 of title 31, United States Code. 
(c) TABLE OF CONTENTS AMENDMENT.—The table of contents 
in the first section of such Act, as amended by section 302 of 
this Act, is further amended by inserting after the item relating 
to section 506A the following new item: 
‘‘Sec. 506B. Annual personnel level assessments for the intelligence community.’’. 
SEC. 306. TEMPORARY PERSONNEL AUTHORIZATIONS FOR CRITICAL 
LANGUAGE TRAINING. 
Section 102A(e) of the National Security Act of 1947 (50 U.S.C. 
403–1(e)) is amended by— 
(1) redesignating paragraph (3) as paragraph (4); and 
(2) inserting after paragraph (2) the following new para-
graph: 
‘‘(3)(A) In addition to the number of full-time equivalent posi-
tions authorized for the Office of the Director of National Intel-
ligence for a fiscal year, there is authorized for such Office for 
each fiscal year an additional 100 full-time equivalent positions 
that may be used only for the purposes described in subparagraph 
(B). 
‘‘(B) Except as provided in subparagraph (C), the Director of 
National Intelligence may use a full-time equivalent position author-
ized under subparagraph (A) only for the purpose of providing 
a temporary transfer of personnel made in accordance with para-
graph (2) to an element of the intelligence community to enable 
such element to increase the total number of personnel authorized 
for such element, on a temporary basis— 
‘‘(i) during a period in which a permanent employee of 
such element is absent to participate in critical language 
training; or 
‘‘(ii) to accept a permanent employee of another element 
of the intelligence community to provide language-capable serv-
ices. 
‘‘(C) Paragraph (2)(B) shall not apply with respect to a transfer 
of personnel made under subparagraph (B). 
‘‘(D) The Director of National Intelligence shall submit to the 
congressional intelligence committees an annual report on the use 
of authorities under this paragraph. Each such report shall include 
a description of— 
‘‘(i) the number of transfers of personnel made by the 
Director pursuant to subparagraph (B), disaggregated by each 
element of the intelligence community; 
‘‘(ii) the critical language needs that were fulfilled or par-
tially fulfilled through the use of such transfers; and 
‘‘(iii) the cost to carry out subparagraph (B).’’.
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SEC. 307. CONFLICT OF INTEREST REGULATIONS FOR INTELLIGENCE 
COMMUNITY EMPLOYEES. 
Section 102A of the National Security Act of 1947 (50 U.S.C. 
403–1), as amended by section 304 of this Act, is further amended 
by adding at the end the following new subsection: 
‘‘(u) CONFLICT OF INTEREST REGULATIONS.—(1) The Director 
of National Intelligence, in consultation with the Director of the 
Office of Government Ethics, shall issue regulations prohibiting 
an officer or employee of an element of the intelligence community 
from engaging in outside employment if such employment creates 
a conflict of interest or appearance thereof. 
‘‘(2) The Director of National Intelligence shall annually submit 
to the congressional intelligence committees a report describing 
all outside employment for officers and employees of elements of 
the intelligence community that was authorized by the head of 
an element of the intelligence community during the preceding 
calendar year. Such report shall be submitted each year on the 
date provided in section 507.’’. 
Subtitle B—Education Programs 
SEC. 311. PERMANENT AUTHORIZATION FOR THE PAT ROBERTS INTEL-
LIGENCE SCHOLARS PROGRAM. 
(a) PERMANENT AUTHORIZATION.—Subtitle C of title X of the 
National Security Act of 1947 (50 U.S.C. 441m et seq.) is amended 
by adding at the end the following new section: 
‘‘PROGRAM ON RECRUITMENT AND TRAINING 
‘‘SEC. 1022. (a) PROGRAM.—(1) The Director of National Intel-
ligence shall carry out a program to ensure that selected students 
or former students are provided funds to continue academic 
training, or are reimbursed for academic training previously 
obtained, in areas of specialization that the Director, in consultation 
with the other heads of the elements of the intelligence community, 
identifies as areas in which the current capabilities of the intel-
ligence community are deficient or in which future capabilities 
of the intelligence community are likely to be deficient. 
‘‘(2) A student or former student selected for participation in 
the program shall commit to employment with an element of the 
intelligence community, following completion of appropriate aca-
demic training, under such terms and conditions as the Director 
considers appropriate. 
‘‘(3) The program shall be known as the Pat Roberts Intelligence 
Scholars Program. 
‘‘(b) ELEMENTS.—In carrying out the program under subsection 
(a), the Director shall— 
‘‘(1) establish such requirements relating to the academic 
training of participants as the Director considers appropriate 
to ensure that participants are prepared for employment as 
intelligence professionals; and 
‘‘(2) periodically review the areas of specialization of the 
elements of the intelligence community to determine the areas 
in which such elements are, or are likely to be, deficient in 
capabilities.
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‘‘(c) USE OF FUNDS.—Funds made available for the program 
under subsection (a) shall be used— 
‘‘(1) to provide a monthly stipend for each month that 
a student is pursuing a course of study; 
‘‘(2) to pay the full tuition of a student or former student 
for the completion of such course of study; 
‘‘(3) to pay for books and materials that the student or 
former student requires or required to complete such course 
of study; 
‘‘(4) to pay the expenses of the student or former student 
for travel requested by an element of the intelligence commu-
nity in relation to such program; or 
‘‘(5) for such other purposes the Director considers reason-
ably appropriate to carry out such program.’’. 
(b) CONFORMING AMENDMENTS.— 
(1) TABLE OF CONTENTS AMENDMENT.—The table of contents 
in the first section of such Act, as amended by section 305 
of this Act, is further amended— 
(A) by transferring the item relating to section 1002 
so such item immediately follows the item relating to sec-
tion 1001; and 
(B) by inserting after the item relating to section 1021 
the following new item: 
‘‘Sec. 1022. Program on recruitment and training.’’. 
(2) REPEAL OF PILOT PROGRAM.— 
(A) AUTHORITY.—Section 318 of the Intelligence 
Authorization Act for Fiscal Year 2004 (Public Law 108– 
177; 50 U.S.C. 441g note) is repealed. 
(B) TABLE
OF
CONTENTS
AMENDMENT.—The table of 
contents in section 1 of the Intelligence Authorization Act 
for Fiscal Year 2004 (Public Law 108–177; 117 Stat. 2599) 
is amended by striking the item relating to section 318. 
SEC. 312. MODIFICATIONS TO THE LOUIS STOKES EDUCATIONAL 
SCHOLARSHIP PROGRAM. 
(a) EXPANSION OF THE LOUIS STOKES EDUCATIONAL SCHOLAR-
SHIP PROGRAM TO GRADUATE STUDENTS.—Section 16 of the National 
Security Agency Act of 1959 (50 U.S.C. 402 note) is amended— 
(1) in subsection (a)— 
(A) by inserting ‘‘and graduate’’ after ‘‘undergraduate’’; 
and 
(B) by striking ‘‘the baccalaureate’’ and inserting ‘‘a 
baccalaureate or graduate’’; 
(2) in subsection (b), by inserting ‘‘or graduate’’ after 
‘‘undergraduate’’; 
(3) in subsection (e)(2), by inserting ‘‘and graduate’’ after 
‘‘undergraduate’’; and 
(4) by adding at the end the following new subsection: 
‘‘(h) The undergraduate and graduate training program estab-
lished under this section shall be known as the Louis Stokes Edu-
cational Scholarship Program.’’. 
(b) AUTHORITY FOR PARTICIPATION BY INDIVIDUALS WHO ARE 
NOT EMPLOYED BY THE UNITED STATES GOVERNMENT.— 
(1) IN
GENERAL.—Subsection (b) of section 16 of the 
National Security Agency Act of 1959 (50 U.S.C. 402 note), 
as amended by subsection (a)(2), is further amended by striking
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‘‘civilian employees’’ and inserting ‘‘civilians who may or may 
not be employees’’. 
(2) CONFORMING AMENDMENTS.—Section 16 of the National 
Security Agency Act of 1959 (50 U.S.C. 402 note), as amended 
by subsection (a), is further amended— 
(A) in subsection (c), by striking ‘‘employees’’ and 
inserting ‘‘program participants’’; and 
(B) in subsection (d)— 
(i) in paragraph (1)— 
(I) in the matter preceding subparagraph (A), 
strike ‘‘an employee of the Agency,’’ and insert 
‘‘a program participant,’’; 
(II) 
in 
subparagraph 
(A), 
by 
striking 
‘‘employee’’ and inserting ‘‘program participant’’; 
(III) in subparagraph (C)— 
(aa) by striking ‘‘employee’’ each place that 
term appears and inserting ‘‘program partici-
pant’’; and 
(bb) by striking ‘‘employee’s’’ each place 
that term appears and inserting ‘‘program 
participant’s’’; and 
(IV) in subparagraph (D)— 
(aa) by striking ‘‘employee’’ each place that 
term appears and inserting ‘‘program partici-
pant’’; and 
(bb) by striking ‘‘employee’s’’ each place 
that term appears and inserting ‘‘program 
participant’s’’; and 
(ii) in paragraph (3)(C)— 
(I) by striking ‘‘employee’’ both places that 
term appears and inserting ‘‘program participant’’; 
and 
(II) by striking ‘‘employee’s’’ and inserting 
‘‘program participant’s’’. 
(c) TERMINATION
OF
PROGRAM
PARTICIPANTS.—Subsection 
(d)(1)(C) of section 16 of the National Security Agency Act of 1959 
(50 U.S.C. 402 note), as amended by subsection (b)(2)(B)(i)(III), 
is further amended by striking ‘‘terminated’’ and all that follows 
and inserting ‘‘terminated— 
‘‘(i) by the Agency due to misconduct by the program 
participant; 
‘‘(ii) by the program participant voluntarily; or 
‘‘(iii) by the Agency for the failure of the program 
participant to maintain such level of academic standing 
in the educational course of training as the Director of 
the National Security Agency shall have specified in the 
agreement of the program participant under this sub-
section; and’’. 
(d) AUTHORITY TO WITHHOLD DISCLOSURE OF AFFILIATION WITH 
NSA.—Subsection (e) of Section 16 of the National Security Agency 
Act of 1959 (50 U.S.C. 402 note) is amended by striking ‘‘(1) When 
an employee’’ and all that follows through ‘‘(2) Agency efforts’’ 
and inserting ‘‘Agency efforts’’. 
(e) AUTHORITY OF ELEMENTS OF THE INTELLIGENCE COMMUNITY 
TO ESTABLISH A STOKES EDUCATIONAL SCHOLARSHIP PROGRAM.— 
(1) AUTHORITY.—Subtitle C of title X of the National Secu-
rity Act of 1947 (50 U.S.C. 441m et seq.), as amended by
H. R. 2701—12 
section 311 of this Act, is further amended by adding at the 
end the following new section: 
‘‘EDUCATIONAL SCHOLARSHIP PROGRAM 
‘‘SEC. 1023. The head of a department or agency containing 
an element of the intelligence community may establish an under-
graduate or graduate training program with respect to civilian 
employees and prospective civilian employees of such element 
similar in purpose, conditions, content, and administration to the 
program that the Secretary of Defense is authorized to establish 
under section 16 of the National Security Agency Act of 1959 
(50 U.S.C. 402 note).’’. 
(2) TABLE OF CONTENTS AMENDMENT.—The table of contents 
in the first section of the National Security Act of 1947, as 
amended by section 311 of this Act, is further amended by 
inserting after the item relating to section 1022, as added 
by such section 311, the following new item: 
‘‘Sec. 1023. Educational scholarship program.’’. 
SEC. 313. INTELLIGENCE OFFICER TRAINING PROGRAM. 
(a) PROGRAM.—Subtitle C of title X of the National Security 
Act of 1947 (50 U.S.C. 441m et seq.), as amended by section 312(e) 
of this Act, is further amended by adding at the end the following 
new section: 
‘‘INTELLIGENCE OFFICER TRAINING PROGRAM 
‘‘SEC. 1024. (a) PROGRAMS.—(1) The Director of National Intel-
ligence may carry out grant programs in accordance with subsection 
(b) to enhance the recruitment and retention of an ethnically and 
culturally diverse intelligence community workforce with capabili-
ties critical to the national security interests of the United States. 
‘‘(2) In carrying out paragraph (1), the Director shall identify 
the skills necessary to meet current or emergent needs of the 
intelligence community and the educational disciplines that will 
provide individuals with such skills. 
‘‘(b) INSTITUTIONAL GRANT PROGRAM.—(1) The Director may 
provide grants to institutions of higher education to support the 
establishment or continued development of programs of study in 
educational disciplines identified under subsection (a)(2). 
‘‘(2) A grant provided under paragraph (1) may, with respect 
to the educational disciplines identified under subsection (a)(2), 
be used for the following purposes: 
‘‘(A) Curriculum or program development. 
‘‘(B) Faculty development. 
‘‘(C) Laboratory equipment or improvements. 
‘‘(D) Faculty research. 
‘‘(c) APPLICATION.—An institution of higher education seeking 
a grant under this section shall submit an application describing 
the proposed use of the grant at such time and in such manner 
as the Director may require. 
‘‘(d) REPORTS.—An institution of higher education that receives 
a grant under this section shall submit to the Director regular 
reports regarding the use of such grant, including— 
‘‘(1) a description of the benefits to students who participate 
in the course of study funded by such grant;
H. R. 2701—13 
‘‘(2) a description of the results and accomplishments 
related to such course of study; and 
‘‘(3) any other information that the Director may require. 
‘‘(e) REGULATIONS.—The Director shall prescribe such regula-
tions as may be necessary to carry out this section. 
‘‘(f) DEFINITIONS.—In this section: 
‘‘(1) The term ‘Director’ means the Director of National 
Intelligence. 
‘‘(2) The term ‘institution of higher education’ has the 
meaning given the term in section 101 of the Higher Education 
Act of 1965 (20 U.S.C. 1001).’’. 
(b) REPEAL OF DUPLICATIVE PROVISIONS.— 
(1) IN
GENERAL.—The following provisions of law are 
repealed: 
(A) Subsections (b) through (g) of section 319 of the 
Intelligence Authorization Act for Fiscal Year 2004 (Public 
Law 108–177; 50 U.S.C. 403 note). 
(B) Section 1003 of the National Security Act of 1947 
(50 U.S.C. 441g–2). 
(C) Section 922 of the Ronald W. Reagan National 
Defense Authorization Act for Fiscal Year 2005 (Public 
Law 108–375; 50 U.S.C. 402 note). 
(2) EXISTING AGREEMENTS.—Notwithstanding the repeals 
made by paragraph (1), nothing in this subsection shall be 
construed to amend, modify, or abrogate any agreement, con-
tract, or employment relationship that was in effect in relation 
to the provisions repealed under paragraph (1) on the day 
prior to the date of the enactment of this Act. 
(3) TECHNICAL
AMENDMENT.—Section 319 of the Intel-
ligence Authorization Act for Fiscal Year 2004 (Public Law 
108–177; 50 U.S.C. 403 note) is amended by striking ‘‘(a) 
FINDINGS.—’’. 
(c) TABLE OF CONTENTS AMENDMENT.—The table of contents 
in the first section of the National Security Act of 1947, as amended 
by section 312 of this Act, is further amended by striking the 
item relating to section 1003 and inserting the following new item: 
‘‘Sec. 1024. Intelligence officer training program.’’. 
SEC. 314. PILOT PROGRAM FOR INTENSIVE LANGUAGE INSTRUCTION 
IN AFRICAN LANGUAGES. 
(a) ESTABLISHMENT.—The Director of National Intelligence, in 
consultation with the National Security Education Board estab-
lished under section 803(a) of the David L. Boren National Security 
Education Act of 1991 (50 U.S.C. 1903(a)), may establish a pilot 
program for intensive language instruction in African languages. 
(b) PROGRAM.—A pilot program established under subsection 
(a) shall provide scholarships for programs that provide intensive 
language instruction— 
(1) in any of the five highest priority African languages 
for which scholarships are not offered under the David L. 
Boren National Security Education Act of 1991 (50 U.S.C. 1901 
et seq.), as determined by the Director of National Intelligence; 
and 
(2) both in the United States and in a country in which 
the language is the native language of a significant portion 
of the population, as determined by the Director of National 
Intelligence.
H. R. 2701—14 
(c) TERMINATION.—A pilot program established under sub-
section (a) shall terminate on the date that is five years after 
the date on which such pilot program is established. 
(d) AUTHORIZATION OF APPROPRIATIONS.— 
(1) IN GENERAL.—There is authorized to be appropriated 
to carry out this section $2,000,000. 
(2) AVAILABILITY.—Funds authorized to be appropriated 
under paragraph (1) shall remain available until the termi-
nation of the pilot program in accordance with subsection (c). 
Subtitle C—Acquisition Matters 
SEC. 321. VULNERABILITY ASSESSMENTS OF MAJOR SYSTEMS. 
(a) VULNERABILITY ASSESSMENTS OF MAJOR SYSTEMS.— 
(1) IN GENERAL.—Title V of the National Security Act of 
1947 (50 U.S.C. 413 et seq.), as amended by section 305 of 
this Act, is further amended by inserting after section 506B, 
as added by section 305(a), the following new section: 
‘‘VULNERABILITY ASSESSMENTS OF MAJOR SYSTEMS 
‘‘SEC. 506C. (a) INITIAL VULNERABILITY ASSESSMENTS.—(1)(A) 
Except as provided in subparagraph (B), the Director of National 
Intelligence shall conduct and submit to the congressional intel-
ligence committees an initial vulnerability assessment for each 
major system and its significant items of supply— 
‘‘(i) except as provided in clause (ii), prior to the completion 
of Milestone B or an equivalent acquisition decision for the 
major system; or 
‘‘(ii) prior to the date that is 1 year after the date of 
the enactment of the Intelligence Authorization Act for Fiscal 
Year 2010 in the case of a major system for which Milestone 
B or an equivalent acquisition decision— 
‘‘(I) was completed prior to such date of enactment; 
or 
‘‘(II) is completed on a date during the 180-day period 
following such date of enactment. 
‘‘(B) The Director may submit to the congressional intelligence 
committees an initial vulnerability assessment required by clause 
(ii) of subparagraph (A) not later than 180 days after the date 
such assessment is required to be submitted under such clause 
if the Director notifies the congressional intelligence committees 
of the extension of the submission date under this subparagraph 
and provides a justification for such extension. 
‘‘(C) The initial vulnerability assessment of a major system 
and its significant items of supply shall include use of an analysis- 
based approach to— 
‘‘(i) identify vulnerabilities; 
‘‘(ii) define exploitation potential; 
‘‘(iii) examine the system’s potential effectiveness; 
‘‘(iv) determine overall vulnerability; and 
‘‘(v) make recommendations for risk reduction. 
‘‘(2) If an initial vulnerability assessment for a major system 
is not submitted to the congressional intelligence committees as 
required by paragraph (1), funds appropriated for the acquisition 
of the major system may not be obligated for a major contract 
related to the major system. Such prohibition on the obligation
H. R. 2701—15 
of funds for the acquisition of the major system shall cease to 
apply on the date on which the congressional intelligence commit-
tees receive the initial vulnerability assessment. 
‘‘(b) 
SUBSEQUENT
VULNERABILITY
ASSESSMENTS.—(1) 
The 
Director of National Intelligence shall, periodically throughout the 
procurement of a major system or if the Director determines that 
a change in circumstances warrants the issuance of a subsequent 
vulnerability assessment, conduct a subsequent vulnerability 
assessment of each major system and its significant items of supply 
within the National Intelligence Program. 
‘‘(2) Upon the request of a congressional intelligence committee, 
the Director of National Intelligence may, if appropriate, recertify 
the previous vulnerability assessment or may conduct a subsequent 
vulnerability assessment of a particular major system and its 
significant items of supply within the National Intelligence Pro-
gram. 
‘‘(3) Any subsequent vulnerability assessment of a major system 
and its significant items of supply shall include use of an analysis- 
based approach and, if applicable, a testing-based approach, to 
monitor the exploitation potential of such system and reexamine 
the factors described in clauses (i) through (v) of subsection (a)(1)(C). 
‘‘(c) MAJOR SYSTEM MANAGEMENT.—The Director of National 
Intelligence shall give due consideration to the vulnerability assess-
ments prepared for a given major system when developing and 
determining the National Intelligence Program budget. 
‘‘(d) CONGRESSIONAL OVERSIGHT.—(1) The Director of National 
Intelligence shall provide to the congressional intelligence commit-
tees a copy of each vulnerability assessment conducted under sub-
section (a) or (b) not later than 10 days after the date of the 
completion of such assessment. 
‘‘(2) The Director of National Intelligence shall provide the 
congressional intelligence committees with a proposed schedule for 
subsequent periodic vulnerability assessments of a major system 
under subsection (b)(1) when providing such committees with the 
initial vulnerability assessment under subsection (a) of such system 
as required by paragraph (1). 
‘‘(e) DEFINITIONS.—In this section: 
‘‘(1) The term ‘item of supply’ has the meaning given that 
term in section 4(10) of the Office of Federal Procurement 
Policy Act (41 U.S.C. 403(10)). 
‘‘(2) The term ‘major contract’ means each of the 6 largest 
prime, associate, or Government-furnished equipment contracts 
under a major system that is in excess of $40,000,000 and 
that is not a firm, fixed price contract. 
‘‘(3) The term ‘major system’ has the meaning given that 
term in section 506A(e). 
‘‘(4) The term ‘Milestone B’ means a decision to enter 
into major system development and demonstration pursuant 
to guidance prescribed by the Director of National Intelligence. 
‘‘(5) The term ‘vulnerability assessment’ means the process 
of identifying and quantifying vulnerabilities in a major system 
and its significant items of supply.’’. 
(2) TABLE OF CONTENTS AMENDMENT.—The table of contents 
in the first section of the National Security Act of 1947, as 
amended by section 313 of this Act, is further amended by
H. R. 2701—16 
inserting after the item relating to section 506B, as added 
by section 305(c) of this Act, the following new item: 
‘‘Sec. 506C. Vulnerability assessments of major systems.’’. 
(b) DEFINITION OF MAJOR SYSTEM.—Paragraph (3) of section 
506A(e) of the National Security Act of 1947 (50 U.S.C. 415a– 
1(e)) is amended by striking ‘‘(in current fiscal year dollars)’’ and 
inserting ‘‘(based on fiscal year 2010 constant dollars)’’. 
SEC. 322. INTELLIGENCE COMMUNITY BUSINESS SYSTEM TRANS-
FORMATION. 
(a) INTELLIGENCE
COMMUNITY
BUSINESS
SYSTEM
TRANS-
FORMATION.— 
(1) IN GENERAL.—Title V of the National Security Act of 
1947 (50 U.S.C. 413 et seq.), as amended by section 321 of 
this Act, is further amended by inserting after section 506C, 
as added by section 321(a), the following new section: 
‘‘INTELLIGENCE COMMUNITY BUSINESS SYSTEM TRANSFORMATION 
‘‘SEC. 506D. (a) LIMITATION
ON OBLIGATION
OF FUNDS.—(1) 
Subject to paragraph (3), no funds appropriated to any element 
of the intelligence community may be obligated for an intelligence 
community business system transformation that will have a total 
cost in excess of $3,000,000 unless— 
‘‘(A) the Director of the Office of Business Transformation 
of the Office of the Director of National Intelligence makes 
a certification described in paragraph (2) with respect to such 
intelligence community business system transformation; and 
‘‘(B) such certification is approved by the board established 
under subsection (f). 
‘‘(2) The certification described in this paragraph for an intel-
ligence community business system transformation is a certification 
made by the Director of the Office of Business Transformation 
of the Office of the Director of National Intelligence that the intel-
ligence community business system transformation— 
‘‘(A) complies with the enterprise architecture under sub-
section (b) and such other policies and standards that the 
Director of National Intelligence considers appropriate; or 
‘‘(B) is necessary— 
‘‘(i) to achieve a critical national security capability 
or address a critical requirement; or 
‘‘(ii) to prevent a significant adverse effect on a project 
that is needed to achieve an essential capability, taking 
into consideration any alternative solutions for preventing 
such adverse effect. 
‘‘(3) With respect to a fiscal year after fiscal year 2010, the 
amount referred to in paragraph (1) in the matter preceding 
subparagraph (A) shall be equal to the sum of— 
‘‘(A) the amount in effect under such paragraph (1) for 
the preceding fiscal year (determined after application of this 
paragraph), plus 
‘‘(B) such amount multiplied by the annual percentage 
increase in the consumer price index (all items; U.S. city aver-
age) as of September of the previous fiscal year. 
‘‘(b) ENTERPRISE ARCHITECTURE FOR INTELLIGENCE COMMUNITY 
BUSINESS SYSTEMS.—(1) The Director of National Intelligence shall, 
acting through the board established under subsection (f), develop
H. R. 2701—17 
and implement an enterprise architecture to cover all intelligence 
community business systems, and the functions and activities sup-
ported by such business systems. The enterprise architecture shall 
be sufficiently defined to effectively guide, constrain, and permit 
implementation of interoperable intelligence community business 
system solutions, consistent with applicable policies and procedures 
established by the Director of the Office of Management and Budget. 
‘‘(2) The enterprise architecture under paragraph (1) shall 
include the following: 
‘‘(A) An information infrastructure that will enable the 
intelligence community to— 
‘‘(i) comply with all Federal accounting, financial 
management, and reporting requirements; 
‘‘(ii) routinely produce timely, accurate, and reliable 
financial information for management purposes; 
‘‘(iii) integrate budget, accounting, and program 
information and systems; and 
‘‘(iv) provide for the measurement of performance, 
including the ability to produce timely, relevant, and reli-
able cost information. 
‘‘(B) Policies, procedures, data standards, and system inter-
face requirements that apply uniformly throughout the intel-
ligence community. 
‘‘(c) RESPONSIBILITIES FOR INTELLIGENCE COMMUNITY BUSINESS 
SYSTEM TRANSFORMATION.—The Director of National Intelligence 
shall be responsible for the entire life cycle of an intelligence 
community business system transformation, including review, 
approval, and oversight of the planning, design, acquisition, deploy-
ment, operation, and maintenance of the business system trans-
formation. 
‘‘(d) INTELLIGENCE COMMUNITY BUSINESS SYSTEM INVESTMENT 
REVIEW.—(1) The Director of the Office of Business Transformation 
of the Office of the Director of National Intelligence shall establish 
and implement, not later than 60 days after the enactment of 
the Intelligence Authorization Act for Fiscal Year 2010, an invest-
ment review process for the intelligence community business sys-
tems for which the Director of the Office of Business Transformation 
is responsible. 
‘‘(2) The investment review process under paragraph (1) shall— 
‘‘(A) meet the requirements of section 11312 of title 40, 
United States Code; and 
‘‘(B) specifically set forth the responsibilities of the Director 
of the Office of Business Transformation under such review 
process. 
‘‘(3) The investment review process under paragraph (1) shall 
include the following elements: 
‘‘(A) Review and approval by an investment review board 
(consisting of appropriate representatives of the intelligence 
community) of each intelligence community business system 
as an investment before the obligation of funds for such system. 
‘‘(B) Periodic review, but not less often than annually, 
of every intelligence community business system investment. 
‘‘(C) Thresholds for levels of review to ensure appropriate 
review of intelligence community business system investments 
depending on the scope, complexity, and cost of the system 
involved.
H. R. 2701—18 
‘‘(D) Procedures for making certifications in accordance with 
the requirements of subsection (a)(2). 
‘‘(e) BUDGET INFORMATION.—For each fiscal year after fiscal 
year 2011, the Director of National Intelligence shall include in 
the materials the Director submits to Congress in support of the 
budget for such fiscal year that is submitted to Congress under 
section 1105 of title 31, United States Code, the following informa-
tion: 
‘‘(1) An identification of each intelligence community busi-
ness system for which funding is proposed in such budget. 
‘‘(2) An identification of all funds, by appropriation, pro-
posed in such budget for each such system, including— 
‘‘(A) funds for current services to operate and maintain 
such system; 
‘‘(B) funds for business systems modernization identi-
fied for each specific appropriation; and 
‘‘(C) funds for associated business process improvement 
or reengineering efforts. 
‘‘(3) The certification, if any, made under subsection (a)(2) 
with respect to each such system. 
‘‘(f) INTELLIGENCE
COMMUNITY
BUSINESS
SYSTEM
TRANS-
FORMATION GOVERNANCE BOARD.—(1) The Director of National 
Intelligence shall establish a board within the intelligence commu-
nity business system transformation governance structure (in this 
subsection referred to as the ‘Board’). 
‘‘(2) The Board shall— 
‘‘(A) recommend to the Director policies and procedures 
necessary to effectively integrate all business activities and 
any transformation, reform, reorganization, or process improve-
ment initiatives undertaken within the intelligence community; 
‘‘(B) review and approve any major update of— 
‘‘(i) the enterprise architecture developed under sub-
section (b); and 
‘‘(ii) any plans for an intelligence community business 
systems modernization; 
‘‘(C) manage cross-domain integration consistent with such 
enterprise architecture; 
‘‘(D) coordinate initiatives for intelligence community busi-
ness system transformation to maximize benefits and minimize 
costs for the intelligence community, and periodically report 
to the Director on the status of efforts to carry out an intel-
ligence community business system transformation; 
‘‘(E) ensure that funds are obligated for intelligence commu-
nity business system transformation in a manner consistent 
with subsection (a); and 
‘‘(F) carry out such other duties as the Director shall 
specify. 
‘‘(g) RELATION
TO ANNUAL REGISTRATION REQUIREMENTS.— 
Nothing in this section shall be construed to alter the requirements 
of section 8083 of the Department of Defense Appropriations Act, 
2005 (Public Law 108–287; 118 Stat. 989), with regard to informa-
tion technology systems (as defined in subsection (d) of such section). 
‘‘(h) 
RELATIONSHIP
TO
DEFENSE
BUSINESS
ENTERPRISE 
ARCHITECTURE.—Nothing in this section shall be construed to 
exempt funds authorized to be appropriated to the Department 
of Defense from the requirements of section 2222 of title 10, United
H. R. 2701—19 
States Code, to the extent that such requirements are otherwise 
applicable. 
‘‘(i) RELATION TO CLINGER-COHEN ACT.—(1) Executive agency 
responsibilities in chapter 113 of title 40, United States Code, 
for any intelligence community business system transformation 
shall be exercised jointly by— 
‘‘(A) the Director of National Intelligence and the Chief 
Information Officer of the Intelligence Community; and 
‘‘(B) the head of the executive agency that contains the 
element of the intelligence community involved and the chief 
information officer of that executive agency. 
‘‘(2) The Director of National Intelligence and the head of 
the executive agency referred to in paragraph (1)(B) shall enter 
into a Memorandum of Understanding to carry out the requirements 
of this section in a manner that best meets the needs of the 
intelligence community and the executive agency. 
‘‘(j) REPORTS.—Not later than March 31 of each of the years 
2011 through 2015, the Director of National Intelligence shall 
submit to the congressional intelligence committees a report on 
the compliance of the intelligence community with the requirements 
of this section. Each such report shall— 
‘‘(1) describe actions taken and proposed for meeting the 
requirements of subsection (a), including— 
‘‘(A) specific milestones and actual performance against 
specified performance measures, and any revision of such 
milestones and performance measures; and 
‘‘(B) specific actions on the intelligence community 
business system transformations submitted for certification 
under such subsection; 
‘‘(2) identify the number of intelligence community business 
system transformations that received a certification described 
in subsection (a)(2); and 
‘‘(3) describe specific improvements in business operations 
and cost savings resulting from successful intelligence commu-
nity business systems transformation efforts. 
‘‘(k) DEFINITIONS.—In this section: 
‘‘(1) The term ‘enterprise architecture’ has the meaning 
given that term in section 3601(4) of title 44, United States 
Code. 
‘‘(2) The terms ‘information system’ and ‘information tech-
nology’ have the meanings given those terms in section 11101 
of title 40, United States Code. 
‘‘(3) The term ‘intelligence community business system’ 
means an information system, including a national security 
system, that is operated by, for, or on behalf of an element 
of the intelligence community, including a financial system, 
mixed system, financial data feeder system, and the business 
infrastructure capabilities shared by the systems of the busi-
ness enterprise architecture, including people, process, and 
technology, that build upon the core infrastructure used to 
support business activities, such as acquisition, financial 
management, logistics, strategic planning and budgeting, 
installations and environment, and human resource manage-
ment. 
‘‘(4) The term ‘intelligence community business system 
transformation’ means—
H. R. 2701—20 
‘‘(A) the acquisition or development of a new intel-
ligence community business system; or 
‘‘(B) any significant modification or enhancement of 
an existing intelligence community business system (other 
than necessary to maintain current services). 
‘‘(5) The term ‘national security system’ has the meaning 
given that term in section 3542 of title 44, United States 
Code. 
‘‘(6) The term ‘Office of Business Transformation of the 
Office of the Director of National Intelligence’ includes any 
successor office that assumes the functions of the Office of 
Business Transformation of the Office of the Director of 
National Intelligence as carried out by the Office of Business 
Transformation on the date of the enactment of the Intelligence 
Authorization Act for Fiscal Year 2010.’’. 
(2) TABLE OF CONTENTS AMENDMENT.—The table of contents 
in the first section of that Act, as amended by section 321 
of this Act, is further amended by inserting after the item 
relating to section 506C, as added by section 321(a)(2), the 
following new item: 
‘‘Sec. 506D. Intelligence community business system transformation.’’. 
(b) IMPLEMENTATION.— 
(1) CERTAIN
DUTIES.—Not later than 60 days after the 
date of the enactment of this Act, the Director of National 
Intelligence shall designate a chair and other members to serve 
on the board established under subsection (f) of such section 
506D of the National Security Act of 1947 (as added by sub-
section (a)). 
(2) ENTERPRISE ARCHITECTURE.— 
(A) SCHEDULE FOR DEVELOPMENT.—The Director shall 
develop the enterprise architecture required by subsection 
(b) of such section 506D (as so added), including the initial 
Business Enterprise Architecture for business trans-
formation, not later than 60 days after the enactment 
of this Act. 
(B) REQUIREMENT
FOR
IMPLEMENTATION
PLAN.—In 
developing such an enterprise architecture, the Director 
shall develop an implementation plan for such enterprise 
architecture that includes the following: 
(i) An acquisition strategy for new systems that 
are expected to be needed to complete such enterprise 
architecture, including specific time-phased milestones, 
performance metrics, and a statement of the financial 
and nonfinancial resource needs. 
(ii) An identification of the intelligence community 
business systems in operation or planned as of the 
date that is 60 days after the enactment of this Act 
that will not be a part of such enterprise architecture, 
together with the schedule for the phased termination 
of the utilization of any such systems. 
(iii) An identification of the intelligence community 
business systems in operation or planned as of such 
date, that will be a part of such enterprise architecture, 
together with a strategy for modifying such systems 
to ensure that such systems comply with such enter-
prise architecture.
H. R. 2701—21 
(C) SUBMISSION OF ACQUISITION STRATEGY.—Based on 
the results of an enterprise process management review 
and the availability of funds, the Director shall submit 
the acquisition strategy described in subparagraph (B)(i) 
to the congressional intelligence committees not later than 
March 31, 2011. 
SEC. 323. REPORTS ON THE ACQUISITION OF MAJOR SYSTEMS. 
(a) REPORTS.— 
(1) IN GENERAL.—Title V of the National Security Act of 
1947 (50 U.S.C. 413 et seq.), as amended by section 322 of 
this Act, is further amended by inserting after section 506D, 
as added by section 322(a)(1), the following new section: 
‘‘REPORTS ON THE ACQUISITION OF MAJOR SYSTEMS 
‘‘SEC. 506E. (a) DEFINITIONS.—In this section: 
‘‘(1) The term ‘cost estimate’— 
‘‘(A) means an assessment and quantification of all 
costs and risks associated with the acquisition of a major 
system based upon reasonably available information at the 
time the Director establishes the 2010 adjusted total 
acquisition cost for such system pursuant to subsection 
(h) or restructures such system pursuant to section 506F(c); 
and 
‘‘(B) does not mean an ‘independent cost estimate’. 
‘‘(2) The term ‘critical cost growth threshold’ means a 
percentage increase in the total acquisition cost for a major 
system of at least 25 percent over the total acquisition cost 
for the major system as shown in the current Baseline Estimate 
for the major system. 
‘‘(3)(A) The term ‘current Baseline Estimate’ means the 
projected total acquisition cost of a major system that is— 
‘‘(i) approved by the Director, or a designee of the 
Director, at Milestone B or an equivalent acquisition deci-
sion for the development, procurement, and construction 
of such system; 
‘‘(ii) approved by the Director at the time such system 
is restructured pursuant to section 506F(c); or 
‘‘(iii) the 2010 adjusted total acquisition cost deter-
mined pursuant to subsection (h). 
‘‘(B) A current Baseline Estimate may be in the form of 
an independent cost estimate. 
‘‘(4) Except as otherwise specifically provided, the term 
‘Director’ means the Director of National Intelligence. 
‘‘(5) The term ‘independent cost estimate’ has the meaning 
given that term in section 506A(e). 
‘‘(6) The term ‘major contract’ means each of the 6 largest 
prime, associate, or Government-furnished equipment contracts 
under a major system that is in excess of $40,000,000 and 
that is not a firm, fixed price contract. 
‘‘(7) The term ‘major system’ has the meaning given that 
term in section 506A(e). 
‘‘(8) The term ‘Milestone B’ means a decision to enter 
into major system development and demonstration pursuant 
to guidance prescribed by the Director. 
‘‘(9) The term ‘program manager’ means—
H. R. 2701—22 
‘‘(A) the head of the element of the intelligence commu-
nity that is responsible for the budget, cost, schedule, and 
performance of a major system; or 
‘‘(B) in the case of a major system within the Office 
of the Director of National Intelligence, the deputy who 
is responsible for the budget, cost, schedule, and perform-
ance of the major system. 
‘‘(10) The term ‘significant cost growth threshold’ means 
the percentage increase in the total acquisition cost for a major 
system of at least 15 percent over the total acquisition cost 
for such system as shown in the current Baseline Estimate 
for such system. 
‘‘(11) The term ‘total acquisition cost’ means the amount 
equal to the total cost for development and procurement of, 
and system-specific construction for, a major system. 
‘‘(b) MAJOR SYSTEM COST REPORTS.—(1) The program manager 
for a major system shall, on a quarterly basis, submit to the 
Director a major system cost report as described in paragraph 
(2). 
‘‘(2) A major system cost report shall include the following 
information (as of the last day of the quarter for which the report 
is made): 
‘‘(A) The total acquisition cost for the major system. 
‘‘(B) Any cost variance or schedule variance in a major 
contract for the major system since the contract was entered 
into. 
‘‘(C) Any changes from a major system schedule milestones 
or performances that are known, expected, or anticipated by 
the program manager. 
‘‘(D) Any significant changes in the total acquisition cost 
for development and procurement of any software component 
of the major system, schedule milestones for such software 
component of the major system, or expected performance of 
such software component of the major system that are known, 
expected, or anticipated by the program manager. 
‘‘(3) Each major system cost report required by paragraph (1) 
shall be submitted not more than 30 days after the end of the 
reporting quarter. 
‘‘(c) REPORTS FOR BREACH OF SIGNIFICANT OR CRITICAL COST 
GROWTH THRESHOLDS.—If the program manager of a major system 
for which a report has previously been submitted under subsection 
(b) determines at any time during a quarter that there is reasonable 
cause to believe that the total acquisition cost for the major system 
has increased by a percentage equal to or greater than the signifi-
cant cost growth threshold or critical cost growth threshold and 
if a report indicating an increase of such percentage or more has 
not previously been submitted to the Director, then the program 
manager shall immediately submit to the Director a major system 
cost report containing the information, determined as of the date 
of the report, required under subsection (b). 
‘‘(d) NOTIFICATION TO CONGRESS OF COST GROWTH.—(1) When-
ever a major system cost report is submitted to the Director, the 
Director shall determine whether the current acquisition cost for 
the major system has increased by a percentage equal to or greater 
than the significant cost growth threshold or the critical cost growth 
threshold.
H. R. 2701—23 
‘‘(2) If the Director determines that the current total acquisition 
cost has increased by a percentage equal to or greater than the 
significant cost growth threshold or critical cost growth threshold, 
the Director shall submit to Congress a Major System Congressional 
Report pursuant to subsection (e). 
‘‘(e) 
REQUIREMENT
FOR
MAJOR
SYSTEM
CONGRESSIONAL 
REPORT.—(1) Whenever the Director determines under subsection 
(d) that the total acquisition cost of a major system has increased 
by a percentage equal to or greater than the significant cost growth 
threshold for the major system, a Major System Congressional 
Report shall be submitted to Congress not later than 45 days 
after the date on which the Director receives the major system 
cost report for such major system. 
‘‘(2) If the total acquisition cost of a major system (as deter-
mined by the Director under subsection (d)) increases by a percent-
age equal to or greater than the critical cost growth threshold 
for the program or subprogram, the Director shall take actions 
consistent with the requirements of section 506F. 
‘‘(f) MAJOR SYSTEM CONGRESSIONAL REPORT ELEMENTS.—(1) 
Except as provided in paragraph (2), each Major System Congres-
sional Report shall include the following: 
‘‘(A) The name of the major system. 
‘‘(B) The date of the preparation of the report. 
‘‘(C) The program phase of the major system as of the 
date of the preparation of the report. 
‘‘(D) The estimate of the total acquisition cost for the major 
system expressed in constant base-year dollars and in current 
dollars. 
‘‘(E) The current Baseline Estimate for the major system 
in constant base-year dollars and in current dollars. 
‘‘(F) A statement of the reasons for any increase in total 
acquisition cost for the major system. 
‘‘(G) The completion status of the major system— 
‘‘(i) expressed as the percentage that the number of 
years for which funds have been appropriated for the major 
system is of the number of years for which it is planned 
that funds will be appropriated for the major system; and 
‘‘(ii) expressed as the percentage that the amount of 
funds that have been appropriated for the major system 
is of the total amount of funds which it is planned will 
be appropriated for the major system. 
‘‘(H) The fiscal year in which the major system was first 
authorized and in which funds for such system were first appro-
priated by Congress. 
‘‘(I) The current change and the total change, in dollars 
and expressed as a percentage, in the total acquisition cost 
for the major system, stated both in constant base-year dollars 
and in current dollars. 
‘‘(J) The quantity of end items to be acquired under the 
major system and the current change and total change, if 
any, in that quantity. 
‘‘(K) The identities of the officers responsible for manage-
ment and cost control of the major system. 
‘‘(L) The action taken and proposed to be taken to control 
future cost growth of the major system. 
‘‘(M) Any changes made in the performance or schedule 
milestones of the major system and the extent to which such
H. R. 2701—24 
changes have contributed to the increase in total acquisition 
cost for the major system. 
‘‘(N) The following contract performance assessment 
information with respect to each major contract under the 
major system: 
‘‘(i) The name of the contractor. 
‘‘(ii) The phase that the contract is in at the time 
of the preparation of the report. 
‘‘(iii) The percentage of work under the contract that 
has been completed. 
‘‘(iv) Any current change and the total change, in dol-
lars and expressed as a percentage, in the contract cost. 
‘‘(v) The percentage by which the contract is currently 
ahead of or behind schedule. 
‘‘(vi) A narrative providing a summary explanation of 
the most significant occurrences, including cost and 
schedule variances under major contracts of the major 
system, contributing to the changes identified and a discus-
sion of the effect these occurrences will have on the future 
costs and schedule of the major system. 
‘‘(O) In any case in which one or more problems with 
a software component of the major system significantly contrib-
uted to the increase in costs of the major system, the action 
taken and proposed to be taken to solve such problems. 
‘‘(2) A Major System Congressional Report prepared for a major 
system for which the increase in the total acquisition cost is due 
to termination or cancellation of the entire major system shall 
include only— 
‘‘(A) the information described in subparagraphs (A) 
through (F) of paragraph (1); and 
‘‘(B) the total percentage change in total acquisition cost 
for such system. 
‘‘(g) PROHIBITION ON OBLIGATION OF FUNDS.—If a determination 
of an increase by a percentage equal to or greater than the signifi-
cant cost growth threshold is made by the Director under subsection 
(d) and a Major System Congressional Report containing the 
information described in subsection (f) is not submitted to Congress 
under subsection (e)(1), or if a determination of an increase by 
a percentage equal to or greater than the critical cost growth 
threshold is made by the Director under subsection (d) and the 
Major System Congressional Report containing the information 
described in subsection (f) and section 506F(b)(3) and the certifi-
cation required by section 506F(b)(2) are not submitted to Congress 
under subsection (e)(2), funds appropriated for construction, 
research, development, test, evaluation, and procurement may not 
be obligated for a major contract under the major system. The 
prohibition on the obligation of funds for a major system shall 
cease to apply at the end of the 45-day period that begins on 
the date— 
‘‘(1) on which Congress receives the Major System Congres-
sional Report under subsection (e)(1) with respect to that major 
system, in the case of a determination of an increase by a 
percentage equal to or greater than the significant cost growth 
threshold (as determined in subsection (d)); or 
‘‘(2) on which Congress receives both the Major System 
Congressional Report under subsection (e)(2) and the certifi-
cation of the Director under section 506F(b)(2) with respect
H. R. 2701—25 
to that major system, in the case of an increase by a percentage 
equal to or greater than the critical cost growth threshold 
(as determined under subsection (d)). 
‘‘(h) TREATMENT OF COST INCREASES PRIOR TO ENACTMENT OF 
INTELLIGENCE AUTHORIZATION ACT FOR FISCAL YEAR 2010.—(1) Not 
later than 180 days after the date of the enactment of the Intel-
ligence Authorization Act for Fiscal Year 2010, the Director— 
‘‘(A) shall, for each major system, determine if the total 
acquisition cost of such major system increased by a percentage 
equal to or greater than the significant cost growth threshold 
or the critical cost growth threshold prior to such date of 
enactment; 
‘‘(B) shall establish for each major system for which the 
total acquisition cost has increased by a percentage equal to 
or greater than the significant cost growth threshold or the 
critical cost growth threshold prior to such date of enactment 
a revised current Baseline Estimate based upon an updated 
cost estimate; 
‘‘(C) may, for a major system not described in subparagraph 
(B), establish a revised current Baseline Estimate based upon 
an updated cost estimate; and 
‘‘(D) shall submit to Congress a report describing— 
‘‘(i) each determination made under subparagraph (A); 
‘‘(ii) each revised current Baseline Estimate established 
for a major system under subparagraph (B); and 
‘‘(iii) each revised current Baseline Estimate estab-
lished for a major system under subparagraph (C), 
including the percentage increase of the total acquisition 
cost of such major system that occurred prior to the date 
of the enactment of such Act. 
‘‘(2) The revised current Baseline Estimate established for a 
major system under subparagraph (B) or (C) of paragraph (1) shall 
be the 2010 adjusted total acquisition cost for the major system 
and may include the estimated cost of conducting any vulnerability 
assessments for such major system required under section 506C. 
‘‘(i) REQUIREMENTS TO USE BASE YEAR DOLLARS.—Any deter-
mination of a percentage increase under this section shall be stated 
in terms of constant base year dollars. 
‘‘(j) FORM OF REPORT.—Any report required to be submitted 
under this section may be submitted in a classified form.’’. 
(2) APPLICABILITY DATE OF QUARTERLY REPORTS.—The first 
report required to be submitted under subsection (b) of section 
506E of the National security Act of 1947, as added by para-
graph (1) of this subsection, shall be submitted with respect 
to the first fiscal quarter that begins on a date that is not 
less than 180 days after the date of the enactment of this 
Act. 
(3) TABLE OF CONTENTS AMENDMENT.—The table of contents 
in the first section of that Act, as amended by section 322 
of this Act, is further amended by inserting after the item 
relating to section 506D, as added by section 322(a)(2), the 
following new item: 
‘‘Sec. 506E. Reports on the acquisition of major systems.’’. 
(b) MAJOR DEFENSE ACQUISITION PROGRAMS.—Nothing in this 
section, section 324, or an amendment made by this section or 
section 324, shall be construed to exempt an acquisition program
H. R. 2701—26 
of the Department of Defense from the requirements of chapter 
144 of title 10, United States Code or Department of Defense 
Directive 5000, to the extent that such requirements are otherwise 
applicable. 
SEC. 324. CRITICAL COST GROWTH IN MAJOR SYSTEMS. 
(a) IN GENERAL.—Title V of the National Security Act of 1947 
(50 U.S.C. 413 et seq.), as amended by section 323 of this Act, 
is further amended by inserting after section 506E, as added by 
section 323(a), the following new section: 
‘‘CRITICAL COST GROWTH IN MAJOR SYSTEMS 
‘‘SEC. 506F. (a) REASSESSMENT
OF MAJOR SYSTEM.—If the 
Director of National Intelligence determines under section 506E(d) 
that the total acquisition cost of a major system has increased 
by a percentage equal to or greater than the critical cost growth 
threshold for the major system, the Director shall— 
‘‘(1) determine the root cause or causes of the critical cost 
growth, in accordance with applicable statutory requirements, 
policies, procedures, and guidance; and 
‘‘(2) carry out an assessment of— 
‘‘(A) the projected cost of completing the major system 
if current requirements are not modified; 
‘‘(B) the projected cost of completing the major system 
based on reasonable modification of such requirements; 
‘‘(C) the rough order of magnitude of the costs of any 
reasonable alternative system or capability; and 
‘‘(D) the need to reduce funding for other systems due 
to the growth in cost of the major system. 
‘‘(b) PRESUMPTION OF TERMINATION.—(1) After conducting the 
reassessment required by subsection (a) with respect to a major 
system, the Director shall terminate the major system unless the 
Director submits to Congress a Major System Congressional Report 
containing a certification in accordance with paragraph (2) and 
the information described in paragraph (3). The Director shall 
submit such Major System Congressional Report and certification 
not later than 90 days after the date the Director receives the 
relevant major system cost report under subsection (b) or (c) of 
section 506E. 
‘‘(2) A certification described by this paragraph with respect 
to a major system is a written certification that— 
‘‘(A) the continuation of the major system is essential to 
the national security; 
‘‘(B) there are no alternatives to the major system that 
will provide acceptable capability to meet the intelligence 
requirement at less cost; 
‘‘(C) the new estimates of the total acquisition cost have 
been determined by the Director to be reasonable; 
‘‘(D) the major system is a higher priority than other sys-
tems whose funding must be reduced to accommodate the 
growth in cost of the major system; and 
‘‘(E) the management structure for the major system is 
adequate to manage and control the total acquisition cost. 
‘‘(3) A Major System Congressional Report accompanying a 
written certification under paragraph (2) shall include, in addition 
to the requirements of section 506E(e), the root cause analysis 
and assessment carried out pursuant to subsection (a), the basis
H. R. 2701—27 
for each determination made in accordance with subparagraphs 
(A) through (E) of paragraph (2), and a description of all funding 
changes made as a result of the growth in the cost of the major 
system, including reductions made in funding for other systems 
to accommodate such cost growth, together with supporting docu-
mentation. 
‘‘(c) ACTIONS
IF MAJOR SYSTEM NOT TERMINATED.—If the 
Director elects not to terminate a major system pursuant to sub-
section (b), the Director shall— 
‘‘(1) restructure the major system in a manner that 
addresses the root cause or causes of the critical cost growth, 
as identified pursuant to subsection (a), and ensures that the 
system has an appropriate management structure as set forth 
in the certification submitted pursuant to subsection (b)(2)(E); 
‘‘(2) rescind the most recent Milestone approval for the 
major system; 
‘‘(3) require a new Milestone approval for the major system 
before taking any action to enter a new contract, exercise 
an option under an existing contract, or otherwise extend the 
scope of an existing contract under the system, except to the 
extent determined necessary by the Milestone Decision 
Authority, on a nondelegable basis, to ensure that the system 
may be restructured as intended by the Director without 
unnecessarily wasting resources; 
‘‘(4) establish a revised current Baseline Estimate for the 
major system based upon an updated cost estimate; and 
‘‘(5) conduct regular reviews of the major system. 
‘‘(d) ACTIONS IF MAJOR SYSTEM TERMINATED.—If a major system 
is terminated pursuant to subsection (b), the Director shall submit 
to Congress a written report setting forth— 
‘‘(1) an explanation of the reasons for terminating the major 
system; 
‘‘(2) the alternatives considered to address any problems 
in the major system; and 
‘‘(3) the course the Director plans to pursue to meet any 
intelligence requirements otherwise intended to be met by the 
major system. 
‘‘(e) FORM
OF REPORT.—Any report or certification required 
to be submitted under this section may be submitted in a classified 
form. 
‘‘(f) WAIVER.—(1) The Director may waive the requirements 
of subsections (d)(2), (e), and (g) of section 506E and subsections 
(a)(2), (b), (c), and (d) of this section with respect to a major 
system if the Director determines that at least 90 percent of the 
amount of the current Baseline Estimate for the major system 
has been expended. 
‘‘(2)(A) If the Director grants a waiver under paragraph (1) 
with respect to a major system, the Director shall submit to the 
congressional intelligence committees written notice of the waiver 
that includes— 
‘‘(i) the information described in section 506E(f); and 
‘‘(ii) if the current total acquisition cost of the major system 
has increased by a percentage equal to or greater than the 
critical cost growth threshold— 
‘‘(I) a determination of the root cause or causes of 
the critical cost growth, as described in subsection (a)(1); 
and
H. R. 2701—28 
‘‘(II) a certification that includes the elements described 
in subparagraphs (A), (B), and (E) of subsection (b)(2). 
‘‘(B) The Director shall submit the written notice required by 
subparagraph (A) not later than 90 days after the date that the 
Director receives a major system cost report under subsection (b) 
or (c) of section 506E that indicates that the total acquisition 
cost for the major system has increased by a percentage equal 
to or greater than the significant cost growth threshold or critical 
cost growth threshold. 
‘‘(g) DEFINITIONS.—In this section, the terms ‘cost estimate’, 
‘critical cost growth threshold’, ‘current Baseline Estimate’, ‘major 
system’, and ‘total acquisition cost’ have the meaning given those 
terms in section 506E(a).’’. 
(b) TABLE OF CONTENTS AMENDMENT.—The table of contents 
in the first section of that Act, as amended by section 323 of 
this Act, is further amended by inserting after the items relating 
to section 506E, as added by section 323(a)(3), the following new 
item: 
‘‘Sec. 506F. Critical cost growth in major systems.’’. 
SEC. 325. FUTURE BUDGET PROJECTIONS. 
(a) IN GENERAL.—Title V of the National Security Act of 1947 
(50 U.S.C. 413 et seq.), as amended by section 324 of this Act, 
is further amended by inserting after section 506F, as added by 
section 324(a), the following new section: 
‘‘FUTURE BUDGET PROJECTIONS 
‘‘SEC. 506G. (a) FUTURE YEAR INTELLIGENCE PLANS.—(1) The 
Director of National Intelligence, with the concurrence of the 
Director of the Office of Management and Budget, shall provide 
to the congressional intelligence committees a Future Year Intel-
ligence Plan, as described in paragraph (2), for— 
‘‘(A) each expenditure center in the National Intelligence 
Program; and 
‘‘(B) each major system in the National Intelligence Pro-
gram. 
‘‘(2)(A) A Future Year Intelligence Plan submitted under this 
subsection shall include the year-by-year proposed funding for each 
center or system referred to in subparagraph (A) or (B) of paragraph 
(1), for the budget year for which the Plan is submitted and not 
less than the 4 subsequent fiscal years. 
‘‘(B) A Future Year Intelligence Plan submitted under subpara-
graph (B) of paragraph (1) for a major system shall include— 
‘‘(i) the estimated total life-cycle cost of such major system; 
and 
‘‘(ii) major milestones that have significant resource 
implications for such major system. 
‘‘(b) LONG-TERM BUDGET PROJECTIONS.—(1) The Director of 
National Intelligence, with the concurrence of the Director of the 
Office of Management and Budget, shall provide to the congressional 
intelligence committees a Long-term Budget Projection for each 
element of the intelligence community funded under the National 
Intelligence Program acquiring a major system that includes the 
budget for such element for the 5-year period that begins on the 
day after the end of the last fiscal year for which year-by-year
H. R. 2701—29 
proposed funding is included in a Future Year Intelligence Plan 
for such major system in accordance with subsection (a)(2)(A). 
‘‘(2) A Long-term Budget Projection submitted under paragraph 
(1) shall include— 
‘‘(A) projections for the appropriate element of the intel-
ligence community for— 
‘‘(i) pay and benefits of officers and employees of such 
element; 
‘‘(ii) other operating and support costs and minor 
acquisitions of such element; 
‘‘(iii) research and technology required by such element; 
‘‘(iv) current and planned major system acquisitions 
for such element; 
‘‘(v) any future major system acquisitions for such ele-
ment; and 
‘‘(vi) any additional funding projections that the 
Director of National Intelligence considers appropriate; 
‘‘(B) a budget projection based on effective cost and schedule 
execution of current or planned major system acquisitions and 
application of Office of Management and Budget inflation esti-
mates to future major system acquisitions; 
‘‘(C) any additional assumptions and projections that the 
Director of National Intelligence considers appropriate; and 
‘‘(D) a description of whether, and to what extent, the 
total projection for each year exceeds the level that would 
result from applying the most recent Office of Management 
and Budget inflation estimate to the budget of that element 
of the intelligence community. 
‘‘(c) SUBMISSION TO CONGRESS.—The Director of National Intel-
ligence, with the concurrence of the Director of the Office of Manage-
ment and Budget, shall submit to the congressional intelligence 
committees each Future Year Intelligence Plan or Long-term Budget 
Projection required under subsection (a) or (b) for a fiscal year 
at the time that the President submits to Congress the budget 
for such fiscal year pursuant section 1105 of title 31, United States 
Code. 
‘‘(d) MAJOR SYSTEM AFFORDABILITY REPORT.—(1) The Director 
of National Intelligence, with the concurrence of the Director of 
the Office of Management and Budget, shall prepare a report on 
the acquisition of a major system funded under the National Intel-
ligence Program before the time that the President submits to 
Congress the budget for the first fiscal year in which appropriated 
funds are anticipated to be obligated for the development or procure-
ment of such major system. 
‘‘(2) The report on such major system shall include an assess-
ment of whether, and to what extent, such acquisition, if developed, 
procured, and operated, is projected to cause an increase in the 
most recent Future Year Intelligence Plan and Long-term Budget 
Projection submitted under section 506G for an element of the 
intelligence community. 
‘‘(3) The Director of National Intelligence shall update the 
report whenever an independent cost estimate must be updated 
pursuant to section 506A(a)(4). 
‘‘(4) The Director of National Intelligence shall submit each 
report required by this subsection at the time that the President 
submits to Congress the budget for a fiscal year pursuant to section 
1105 of title 31, United States Code.
H. R. 2701—30 
‘‘(e) DEFINITIONS.—In this section: 
‘‘(1) BUDGET YEAR.—The term ‘budget year’ means the next 
fiscal year for which the President is required to submit to 
Congress a budget pursuant to section 1105 of title 31, United 
States Code. 
‘‘(2) INDEPENDENT
COST
ESTIMATE; MAJOR
SYSTEM.—The 
terms ‘independent cost estimate’ and ‘major system’ have the 
meaning given those terms in section 506A(e).’’. 
(b) APPLICABILITY DATE.—The first Future Year Intelligence 
Plan and Long-term Budget Projection required to be submitted 
under subsection (a) and (b) of section 506G of the National Security 
Act of 1947, as added by subsection (a), shall be submitted to 
the congressional intelligence committees at the time that the Presi-
dent submits to Congress the budget for fiscal year 2012 pursuant 
to section 1105 of title 31, United States Code. 
(c) CONFORMING AMENDMENTS.— 
(1) TABLE OF CONTENTS AMENDMENT.—The table of contents 
in the first section of that Act, as amended by section 324 
of this Act, is further amended by inserting after the items 
relating to section 506F, as added by section 324(b), the fol-
lowing new item: 
‘‘Sec. 506G. Future budget projections.’’. 
(2) REPEAL OF DUPLICATIVE PROVISION.—Section 8104 of 
the Department of Defense Appropriations Act, 2010 (50 U.S.C. 
415a–3; Public Law 111–118; 123 Stat. 3451) is repealed. 
SEC. 326. NATIONAL INTELLIGENCE PROGRAM FUNDED ACQUISI-
TIONS. 
Subsection (n) of section 102A of the National Security Act 
of 1947 (50 U.S.C. 403–1) is amended by adding at the end the 
following new paragraph: 
‘‘(4)(A) In addition to the authority referred to in paragraph 
(1), the Director of National Intelligence may authorize the head 
of an element of the intelligence community to exercise an acquisi-
tion authority referred to in section 3 or 8(a) of the Central Intel-
ligence Agency Act of 1949 (50 U.S.C. 403c and 403j(a)) for an 
acquisition by such element that is more than 50 percent funded 
under the National Intelligence Program. 
‘‘(B) The head of an element of the intelligence community 
may not exercise an authority referred to in subparagraph (A) 
until— 
‘‘(i) the head of such element (without delegation) submits 
to the Director of National Intelligence a written request that 
includes— 
‘‘(I) a description of such authority requested to be 
exercised; 
‘‘(II) an explanation of the need for such authority, 
including an explanation of the reasons that other authori-
ties are insufficient; and 
‘‘(III) a certification that the mission of such element 
would be— 
‘‘(aa) impaired if such authority is not exercised; 
or 
‘‘(bb) significantly and measurably enhanced if 
such authority is exercised; and
H. R. 2701—31 
‘‘(ii) the Director of National Intelligence issues a written 
authorization that includes— 
‘‘(I) a description of the authority referred to in 
subparagraph (A) that is authorized to be exercised; and 
‘‘(II) a justification to support the exercise of such 
authority. 
‘‘(C) A request and authorization to exercise an authority 
referred to in subparagraph (A) may be made with respect to 
an individual acquisition or with respect to a specific class of 
acquisitions described in the request and authorization referred 
to in subparagraph (B). 
‘‘(D)(i) A request from a head of an element of the intelligence 
community located within one of the departments described in 
clause (ii) to exercise an authority referred to in subparagraph 
(A) shall be submitted to the Director of National Intelligence 
in accordance with any procedures established by the head of such 
department. 
‘‘(ii) The departments described in this clause are the Depart-
ment of Defense, the Department of Energy, the Department of 
Homeland Security, the Department of Justice, the Department 
of State, and the Department of the Treasury. 
‘‘(E)(i) The head of an element of the intelligence community 
may not be authorized to utilize an authority referred to in subpara-
graph (A) for a class of acquisitions for a period of more than 
3 years, except that the Director of National Intelligence (without 
delegation) may authorize the use of such an authority for not 
more than 6 years. 
‘‘(ii) Each authorization to utilize an authority referred to in 
subparagraph (A) may be extended in accordance with the require-
ments of subparagraph (B) for successive periods of not more than 
3 years, except that the Director of National Intelligence (without 
delegation) may authorize an extension period of not more than 
6 years. 
‘‘(F) Subject to clauses (i) and (ii) of subparagraph (E), the 
Director of National Intelligence may only delegate the authority 
of the Director under subparagraphs (A) through (E) to the Principal 
Deputy Director of National Intelligence or a Deputy Director of 
National Intelligence. 
‘‘(G) The Director of National Intelligence shall submit— 
‘‘(i) to the congressional intelligence committees a notifica-
tion of an authorization to exercise an authority referred to 
in subparagraph (A) or an extension of such authorization 
that includes the written authorization referred to in subpara-
graph (B)(ii); and 
‘‘(ii) to the Director of the Office of Management and Budget 
a notification of an authorization to exercise an authority 
referred to in subparagraph (A) for an acquisition or class 
of acquisitions that will exceed $50,000,000 annually. 
‘‘(H) Requests and authorizations to exercise an authority 
referred to in subparagraph (A) shall remain available within the 
Office of the Director of National Intelligence for a period of at 
least 6 years following the date of such request or authorization. 
‘‘(I) Nothing in this paragraph may be construed to alter or 
otherwise limit the authority of the Central Intelligence Agency 
to independently exercise an authority under section 3 or 8(a) 
of the Central Intelligence Agency Act of 1949 (50 U.S.C. 403c 
and 403j(a)).’’.
H. R. 2701—32 
Subtitle D—Congressional Oversight, 
Plans, and Reports 
SEC. 331. NOTIFICATION PROCEDURES. 
(a) PROCEDURES.—Section 501(c) of the National Security Act 
of 1947 (50 U.S.C. 413(c)) is amended by striking ‘‘such procedures’’ 
and inserting ‘‘such written procedures’’. 
(b) INTELLIGENCE ACTIVITIES.—Section 502(a)(2) of such Act 
(50 U.S.C. 413a(a)(2)) is amended by inserting ‘‘(including the legal 
basis under which the intelligence activity is being or was con-
ducted)’’ after ‘‘concerning intelligence activities’’. 
(c) COVERT ACTIONS.—Section 503 of such Act (50 U.S.C. 413b) 
is amended— 
(1) in subsection (b)(2), by inserting ‘‘(including the legal 
basis under which the covert action is being or was conducted)’’ 
after ‘‘concerning covert actions’’; 
(2) in subsection (c)— 
(A) in paragraph (1), by inserting ‘‘in writing’’ after 
‘‘be reported’’; 
(B) in paragraph (4), by striking ‘‘committee. When’’ 
and inserting the following: ‘‘committee. 
‘‘(5)(A) When’’; and 
(C) in paragraph (5), as designated by subparagraph 
(B)— 
(i) in subparagraph (A), as so designated— 
(I) by inserting ‘‘, or a notification provided 
under subsection (d)(1),’’ after ‘‘access to a finding’’; 
(II) by inserting ‘‘written’’ before ‘‘statement’’; 
and 
(ii) by adding at the end the following new 
subparagraph: 
‘‘(B) Not later than 180 days after a statement of 
reasons is submitted in accordance with subparagraph (A) 
or this subparagraph, the President shall ensure that— 
‘‘(i) all members of the congressional intelligence 
committees are provided access to the finding or 
notification; or 
‘‘(ii) a statement of reasons that it is essential 
to continue to limit access to such finding or such 
notification 
to 
meet 
extraordinary 
circumstances 
affecting vital interests of the United States is sub-
mitted to the Members of Congress specified in para-
graph (2).’’; 
(3) in subsection (d)— 
(A) by striking ‘‘(d) The President’’ and inserting ‘‘(d)(1) 
The President’’; 
(B) in paragraph (1), as designated by subparagraph 
(A), by inserting ‘‘in writing’’ after ‘‘notified’’; and 
(C) by adding at the end the following new paragraph: 
‘‘(2) In determining whether an activity constitutes a 
significant undertaking for purposes of paragraph (1), the Presi-
dent shall consider whether the activity— 
‘‘(A) involves significant risk of loss of life; 
‘‘(B) requires an expansion of existing authorities, 
including authorities relating to research, development, or 
operations;
H. R. 2701—33 
‘‘(C) results in the expenditure of significant funds 
or other resources; 
‘‘(D) requires notification under section 504; 
‘‘(E) gives rise to a significant risk of disclosing intel-
ligence sources or methods; or 
‘‘(F) presents a reasonably foreseeable risk of serious 
damage to the diplomatic relations of the United States 
if such activity were disclosed without authorization.’’; and 
(4) by adding at the end the following new subsection: 
‘‘(g)(1) In any case where access to a finding reported under 
subsection (c) or notification provided under subsection (d)(1) is 
not made available to all members of a congressional intelligence 
committee in accordance with subsection (c)(2), the President shall 
notify all members of such committee that such finding or such 
notification has been provided only to the members specified in 
subsection (c)(2). 
‘‘(2) In any case where access to a finding reported under 
subsection (c) or notification provided under subsection (d)(1) is 
not made available to all members of a congressional intelligence 
committee in accordance with subsection (c)(2), the President shall 
provide to all members of such committee a general description 
regarding the finding or notification, as applicable, consistent with 
the reasons for not yet fully informing all members of such com-
mittee. 
‘‘(3) The President shall maintain— 
‘‘(A) a record of the members of Congress to whom a finding 
is reported under subsection (c) or notification is provided under 
subsection (d)(1) and the date on which each member of Con-
gress receives such finding or notification; and 
‘‘(B) each written statement provided under subsection 
(c)(5).’’. 
SEC. 
332. 
CERTIFICATION 
OF 
COMPLIANCE 
WITH 
OVERSIGHT 
REQUIREMENTS. 
(a) IN GENERAL.—Title V of the National Security Act of 1947 
(50 U.S.C. 413 et seq.), as amended by section 325 of this Act, 
is further amended by adding at the end the following new section: 
‘‘CERTIFICATION OF COMPLIANCE WITH OVERSIGHT REQUIREMENTS 
‘‘SEC. 508. The head of each element of the intelligence commu-
nity shall annually submit to the congressional intelligence commit-
tees— 
‘‘(1) a certification that, to the best of the knowledge of 
the head of such element— 
‘‘(A) the head of such element is in full compliance 
with the requirements of this title; and 
‘‘(B) any information required to be submitted by the 
head of such element under this Act before the date of 
the submission of such certification has been properly sub-
mitted; or 
‘‘(2) if the head of such element is unable to submit a 
certification under paragraph (1), a statement— 
‘‘(A) of the reasons the head of such element is unable 
to submit such a certification; 
‘‘(B) describing any information required to be sub-
mitted by the head of such element under this Act before
H. R. 2701—34 
the date of the submission of such statement that has 
not been properly submitted; and 
‘‘(C) that the head of such element will submit such 
information as soon as possible after the submission of 
such statement.’’. 
(b) APPLICABILITY DATE.—The first certification or statement 
required to be submitted by the head of each element of the intel-
ligence community under section 508 of the National Security Act 
of 1947, as added by subsection (a), shall be submitted not later 
than 90 days after the date of the enactment of this Act. 
(c) TABLE OF CONTENTS AMENDMENT.—The table of contents 
in the first section of the National Security Act of 1947, as amended 
by section 325 of this Act, is further amended by inserting after 
the item related to section 507 the following new item: 
‘‘Sec. 508. Certification of compliance with oversight requirements.’’. 
SEC. 333. REPORT ON DETENTION AND INTERROGATION ACTIVITIES. 
(a) REQUIREMENT FOR REPORT.—Not later than December 1, 
2010, the Director of National Intelligence, in coordination with 
the Attorney General and the Secretary of Defense, shall submit 
to the congressional intelligence committees a comprehensive report 
containing— 
(1) the policies and procedures of the United States Govern-
ment governing participation by an element of the intelligence 
community in the interrogation of individuals detained by the 
United States who are suspected of international terrorism 
with the objective, in whole or in part, of acquiring national 
intelligence, including such policies and procedures of each 
appropriate element of the intelligence community or inter-
agency body established to carry out interrogations; 
(2) the policies and procedures relating to any detention 
by the Central Intelligence Agency of such individuals in accord-
ance with Executive Order 13491; 
(3) the legal basis for the policies and procedures referred 
to in paragraphs (1) and (2); 
(4) the training and research to support the policies and 
procedures referred to in paragraphs (1) and (2); and 
(5) any action that has been taken to implement section 
1004 of the Detainee Treatment Act of 2005 (42 U.S.C. 2000dd– 
1). 
(b) OTHER SUBMISSION OF REPORT.— 
(1) CONGRESSIONAL ARMED SERVICES COMMITTEES.—To the 
extent that the report required by subsection (a) addresses 
an element of the intelligence community within the Depart-
ment of Defense, the Director of National Intelligence, in con-
sultation with the Secretary of Defense, shall submit that por-
tion of the report, and any associated material that is necessary 
to make that portion understandable, to the Committee on 
Armed Services of the Senate and the Committee on Armed 
Services of the House of Representatives. The Director of 
National Intelligence may authorize redactions of the report 
and any associated materials submitted pursuant to this para-
graph, if such redactions are consistent with the protection 
of sensitive intelligence sources and methods. 
(2) CONGRESSIONAL JUDICIARY COMMITTEES.—To the extent 
that the report required by subsection (a) addresses an element 
of the intelligence community within the Department of Justice,
H. R. 2701—35 
the Director of National Intelligence, in consultation with the 
Attorney General, shall submit that portion of the report, and 
any associated material that is necessary to make that portion 
understandable, to the Committee on the Judiciary of the 
Senate and the Committee on the Judiciary of the House of 
Representatives. The Director of National Intelligence may 
authorize redactions of the report and any associated materials 
submitted pursuant to this paragraph, if such redactions are 
consistent with the protection of sensitive intelligence sources 
and methods. 
(c) FORM
OF SUBMISSIONS.—Any submission required under 
this section may be submitted in classified form. 
SEC. 334. SUMMARY OF INTELLIGENCE RELATING TO TERRORIST 
RECIDIVISM OF DETAINEES HELD AT UNITED STATES 
NAVAL STATION, GUANTANAMO BAY, CUBA. 
Not later than 60 days after the date of the enactment of 
this Act, the Director of National Intelligence, in consultation with 
the Director of the Central Intelligence Agency and the Director 
of the Defense Intelligence Agency, shall make publicly available 
an unclassified summary of— 
(1) intelligence relating to recidivism of detainees currently 
or formerly held at the Naval Detention Facility at Guantanamo 
Bay, Cuba, by the Department of Defense; and 
(2) an assessment of the likelihood that such detainees 
will engage in terrorism or communicate with persons in ter-
rorist organizations. 
SEC. 335. REPORT AND STRATEGIC PLAN ON BIOLOGICAL WEAPONS. 
(a) REQUIREMENT FOR REPORT.—Not later than 180 days after 
the date of the enactment of this Act, the Director of National 
Intelligence shall submit to the congressional intelligence commit-
tees a report on— 
(1) the intelligence collection efforts of the United States 
dedicated to assessing the threat from biological weapons from 
state, nonstate, or rogue actors, either foreign or domestic; 
and 
(2) efforts to protect the biodefense knowledge and infra-
structure of the United States. 
(b) CONTENT.—The report required by subsection (a) shall 
include— 
(1) an assessment of the intelligence collection efforts of 
the United States dedicated to detecting the development or 
use of biological weapons by state, nonstate, or rogue actors, 
either foreign or domestic; 
(2) information on fiscal, human, technical, open-source, 
and other intelligence collection resources of the United States 
dedicated for use to detect or protect against the threat of 
biological weapons; 
(3) an assessment of any problems that may reduce the 
overall effectiveness of United States intelligence collection and 
analysis to identify and protect biological weapons targets, 
including— 
(A) intelligence collection gaps or inefficiencies; 
(B) inadequate information sharing practices; or 
(C) inadequate cooperation among departments or 
agencies of the United States;
H. R. 2701—36 
(4) a strategic plan prepared by the Director of National 
Intelligence, in coordination with the Attorney General, the 
Secretary of Defense, and the Secretary of Homeland Security, 
that provides for actions for the appropriate elements of the 
intelligence community to close important intelligence gaps 
related to biological weapons; 
(5) a description of appropriate goals, schedules, milestones, 
or metrics to measure the long-term effectiveness of actions 
implemented to carry out the plan described in paragraph 
(4); and 
(6) any long-term resource and human capital issues related 
to the collection of intelligence regarding biological weapons, 
including any recommendations to address shortfalls of experi-
enced and qualified staff possessing relevant scientific, lan-
guage, and technical skills. 
(c) IMPLEMENTATION OF STRATEGIC PLAN.—Not later than 30 
days after the date on which the Director of National Intelligence 
submits the report required by subsection (a), the Director shall 
begin implementation of the strategic plan referred to in subsection 
(b)(4). 
SEC. 336. CYBERSECURITY OVERSIGHT. 
(a) NOTIFICATION OF CYBERSECURITY PROGRAMS.— 
(1) REQUIREMENT FOR NOTIFICATION.— 
(A) EXISTING PROGRAMS.—Not later than 30 days after 
the date of the enactment of this Act, the President shall 
submit to Congress a notification for each cybersecurity 
program in operation on such date that includes the docu-
mentation referred to in subparagraphs (A) through (F) 
of paragraph (2). 
(B) NEW PROGRAMS.—Not later than 30 days after the 
date of the commencement of operations of a new cybersecu-
rity program, the President shall submit to Congress a 
notification of such commencement that includes the docu-
mentation referred to in subparagraphs (A) through (F) 
of paragraph (2). 
(2) DOCUMENTATION.—A notification required by paragraph 
(1) for a cybersecurity program shall include— 
(A) the legal basis for the cybersecurity program; 
(B) the certification, if any, made pursuant to section 
2511(2)(a)(ii)(B) of title 18, United States Code, or other 
statutory certification of legality for the cybersecurity pro-
gram; 
(C) the concept for the operation of the cybersecurity 
program that is approved by the head of the appropriate 
department or agency of the United States; 
(D) the assessment, if any, of the privacy impact of 
the cybersecurity program prepared by the privacy or civil 
liberties protection officer or comparable officer of such 
department or agency; 
(E) the plan, if any, for independent audit or review 
of the cybersecurity program to be carried out by the head 
of such department or agency, in conjunction with the 
appropriate inspector general; and 
(F) recommendations, if any, for legislation to improve 
the capabilities of the United States Government to protect 
the cybersecurity of the United States.
H. R. 2701—37 
(b) PROGRAM REPORTS.— 
(1) REQUIREMENT FOR REPORTS.—The head of a department 
or agency of the United States with responsibility for a cyberse-
curity program for which a notification was submitted under 
subsection (a), in consultation with the inspector general for 
that department or agency, shall submit to Congress and the 
President a report on such cybersecurity program that 
includes— 
(A) the results of any audit or review of the cybersecu-
rity program carried out under the plan referred to in 
subsection (a)(2)(E), if any; and 
(B) an assessment of whether the implementation of 
the cybersecurity program— 
(i) is in compliance with— 
(I) the legal basis referred to in subsection 
(a)(2)(A); and 
(II) an assessment referred to in subsection 
(a)(2)(D), if any; 
(ii) is adequately described by the concept of oper-
ation referred to in subsection (a)(2)(C); and 
(iii) includes an adequate independent audit or 
review system and whether improvements to such inde-
pendent audit or review system are necessary. 
(2) SCHEDULE FOR SUBMISSION OF REPORTS.— 
(A) EXISTING PROGRAMS.—Not later than 180 days after 
the date of the enactment of this Act, and annually there-
after, the head of a department or agency of the United 
States with responsibility for a cybersecurity program for 
which a notification is required to be submitted under 
subsection (a)(1)(A) shall submit a report required under 
paragraph (1). 
(B) NEW PROGRAMS.—Not later than 120 days after 
the date on which a certification is submitted under sub-
section (a)(1)(B), and annually thereafter, the head of a 
department or agency of the United States with responsi-
bility for the cybersecurity program for which such certifi-
cation is submitted shall submit a report required under 
paragraph (1). 
(3) COOPERATION AND COORDINATION.— 
(A) COOPERATION.—The head of each department or 
agency of the United States required to submit a report 
under paragraph (1) for a particular cybersecurity program, 
and the inspector general of each such department or 
agency, shall, to the extent practicable, work in conjunction 
with any other such head or inspector general required 
to submit such a report for such cybersecurity program. 
(B) COORDINATION.—The heads of all of the depart-
ments and agencies of the United States required to submit 
a report under paragraph (1) for a particular cybersecurity 
program shall designate one such head to coordinate the 
conduct of the reports on such program. 
(c) INFORMATION SHARING REPORT.—Not later than one year 
after the date of the enactment of this Act, the Inspector General 
of the Department of Homeland Security and the Inspector General 
of the Intelligence Community shall jointly submit to Congress 
and the President a report on the status of the sharing of cyber- 
threat information, including—
H. R. 2701—38 
(1) a description of how cyber-threat intelligence informa-
tion, including classified information, is shared among the agen-
cies and departments of the United States and with persons 
responsible for critical infrastructure; 
(2) a description of the mechanisms by which classified 
cyber-threat information is distributed; 
(3) an assessment of the effectiveness of cyber-threat 
information sharing and distribution; and 
(4) any other matters identified by either Inspector General 
that would help to fully inform Congress or the President 
regarding the effectiveness and legality of cybersecurity pro-
grams. 
(d) PERSONNEL DETAILS.— 
(1) AUTHORITY
TO
DETAIL.—Notwithstanding any other 
provision of law, the head of an element of the intelligence 
community that is funded through the National Intelligence 
Program may detail an officer or employee of such element 
to the National Cyber Investigative Joint Task Force or to 
the Department of Homeland Security to assist the Task Force 
or the Department with cybersecurity, as jointly agreed by 
the head of such element and the Task Force or the Depart-
ment. 
(2) BASIS
FOR
DETAIL.—A personnel detail made under 
paragraph (1) may be made— 
(A) for a period of not more than three years; and 
(B) on a reimbursable or nonreimbursable basis. 
(e) ADDITIONAL PLAN.—Not later than 180 days after the date 
of the enactment of this Act, the Director of National Intelligence 
shall submit to Congress a plan for recruiting, retaining, and 
training a highly-qualified cybersecurity intelligence community 
workforce to secure the networks of the intelligence community. 
Such plan shall include— 
(1) an assessment of the capabilities of the current 
workforce; 
(2) an examination of issues of recruiting, retention, and 
the professional development of such workforce, including the 
possibility of providing retention bonuses or other forms of 
compensation; 
(3) an assessment of the benefits of outreach and training 
with both private industry and academic institutions with 
respect to such workforce; 
(4) an assessment of the impact of the establishment of 
the Department of Defense Cyber Command on such workforce; 
(5) an examination of best practices for making the intel-
ligence community workforce aware of cybersecurity best prac-
tices and principles; and 
(6) strategies for addressing such other matters as the 
Director of National Intelligence considers necessary to the 
cybersecurity of the intelligence community. 
(f) REPORT
ON GUIDELINES
AND LEGISLATION TO IMPROVE 
CYBERSECURITY OF THE UNITED STATES.— 
(1) INITIAL.—Not later than one year after the date of 
the enactment of this Act, the Director of National Intelligence, 
in coordination with the Attorney General, the Director of the 
National Security Agency, the White House Cybersecurity 
Coordinator, and any other officials the Director of National 
Intelligence considers appropriate, shall submit to Congress
H. R. 2701—39 
a report containing guidelines or legislative recommendations, 
if appropriate, to improve the capabilities of the intelligence 
community and law enforcement agencies to protect the cyber-
security of the United States. Such report shall include guide-
lines or legislative recommendations on— 
(A) improving the ability of the intelligence community 
to detect hostile actions and attribute attacks to specific 
parties; 
(B) the need for data retention requirements to assist 
the intelligence community and law enforcement agencies; 
(C) improving the ability of the intelligence community 
to anticipate nontraditional targets of foreign intelligence 
services; and 
(D) the adequacy of existing criminal statutes to 
successfully 
deter 
cyber 
attacks, 
including 
statutes 
criminalizing the facilitation of criminal acts, the scope 
of laws for which a cyber crime constitutes a predicate 
offense, trespassing statutes, data breach notification 
requirements, and victim restitution statutes. 
(2) SUBSEQUENT.—Not later than one year after the date 
on which the initial report is submitted under paragraph (1), 
and annually thereafter for two years, the Director of National 
Intelligence, in consultation with the Attorney General, the 
Director of the National Security Agency, the White House 
Cybersecurity Coordinator, and any other officials the Director 
of National Intelligence considers appropriate, shall submit to 
Congress an update of the report required under paragraph 
(1). 
(g) SUNSET.—The requirements and authorities of subsections 
(a) through (e) shall terminate on December 31, 2013. 
(h) DEFINITIONS.—In this section: 
(1) CYBERSECURITY
PROGRAM.—The term ‘‘cybersecurity 
program’’ means a class or collection of similar cybersecurity 
operations of a department or agency of the United States 
that involves personally identifiable data that is— 
(A) screened by a cybersecurity system outside of the 
department or agency of the United States that was the 
intended recipient of the personally identifiable data; 
(B) transferred, for the purpose of cybersecurity, out-
side the department or agency of the United States that 
was the intended recipient of the personally identifiable 
data; or 
(C) transferred, for the purpose of cybersecurity, to 
an element of the intelligence community. 
(2) NATIONAL CYBER INVESTIGATIVE JOINT TASK FORCE.— 
The term ‘‘National Cyber Investigative Joint Task Force’’ 
means the multiagency cyber investigation coordination 
organization overseen by the Director of the Federal Bureau 
of Investigation known as the National Cyber Investigative 
Joint Task Force that coordinates, integrates, and provides 
pertinent information related to cybersecurity investigations. 
(3) CRITICAL INFRASTRUCTURE.—The term ‘‘critical infra-
structure’’ has the meaning given that term in section 1016 
of the USA PATRIOT Act (42 U.S.C. 5195c).
H. R. 2701—40 
SEC. 337. REPORT ON FOREIGN LANGUAGE PROFICIENCY IN THE 
INTELLIGENCE COMMUNITY. 
(a) REPORT.—Not later than one year after the date of the 
enactment of this Act, and biennially thereafter for four years, 
the Director of National Intelligence shall submit to the congres-
sional intelligence committees and the Committees on Armed Serv-
ices of the House of Representatives and the Senate a report on 
the proficiency in foreign languages and, as appropriate, in foreign 
dialects, of each element of the intelligence community, including— 
(1) the number of positions authorized for such element 
that require foreign language proficiency and a description 
of the level of proficiency required; 
(2) an estimate of the number of such positions that such 
element will require during the five-year period beginning on 
the date of the submission of the report; 
(3) the number of positions authorized for such element 
that require foreign language proficiency that are filled by— 
(A) military personnel; and 
(B) civilian personnel; 
(4) the number of applicants for positions in such element 
in the preceding fiscal year that indicated foreign language 
proficiency, including the foreign language indicated and the 
proficiency level; 
(5) the number of persons hired by such element with 
foreign language proficiency, including the foreign language 
and a description of the proficiency level of such persons; 
(6) the number of personnel of such element currently 
attending foreign language training, including the provider of 
such training; 
(7) a description of the efforts of such element to recruit, 
hire, train, and retain personnel that are proficient in a foreign 
language; 
(8) an assessment of methods and models for basic, 
advanced, and intensive foreign language training utilized by 
such element; 
(9) for each foreign language and, as appropriate, dialect 
of a foreign language— 
(A) the number of positions of such element that 
require proficiency in the foreign language or dialect; 
(B) the number of personnel of such element that are 
serving in a position that requires proficiency in the foreign 
language or dialect to perform the primary duty of the 
position; 
(C) the number of personnel of such element that are 
serving in a position that does not require proficiency in 
the foreign language or dialect to perform the primary 
duty of the position; 
(D) the number of personnel of such element rated 
at each level of proficiency of the Interagency Language 
Roundtable; 
(E) whether the number of personnel at each level 
of proficiency of the Interagency Language Roundtable 
meets the requirements of such element; 
(F) the number of personnel serving or hired to serve 
as linguists for such element that are not qualified as 
linguists under the standards of the Interagency Language 
Roundtable;
H. R. 2701—41 
(G) the number of personnel hired to serve as linguists 
for such element during the preceding calendar year; 
(H) the number of personnel serving as linguists that 
discontinued serving such element during the preceding 
calendar year; 
(I) the percentage of work requiring linguistic skills 
that is fulfilled by a foreign country, international organiza-
tion, or other foreign entity; and 
(J) the percentage of work requiring linguistic skills 
that is fulfilled by contractors; 
(10) an assessment of the foreign language capacity and 
capabilities of the intelligence community as a whole; 
(11) an identification of any critical gaps in foreign lan-
guage proficiency with respect to such element and rec-
ommendations for eliminating such gaps; 
(12) recommendations, if any, for eliminating required 
reports relating to foreign-language proficiency that the 
Director of National Intelligence considers outdated or no longer 
relevant; and 
(13) an assessment of the feasibility of employing foreign 
nationals lawfully present in the United States who have pre-
viously worked as translators or interpreters for the Armed 
Forces or another department or agency of the United States 
Government in Iraq or Afghanistan to meet the critical lan-
guage needs of such element. 
(b) FORM.—The report required under subsection (a) shall be 
submitted in unclassified form, but may include a classified annex. 
SEC. 338. REPORT ON PLANS TO INCREASE DIVERSITY WITHIN THE 
INTELLIGENCE COMMUNITY. 
(a) REQUIREMENT FOR REPORT.—Not later than one year after 
the date of the enactment of this Act, the Director of National 
Intelligence, in coordination with the head of each element of the 
intelligence community, shall submit to the congressional intel-
ligence committees a report on the plans of each such element 
to increase diversity within the intelligence community. 
(b) CONTENT.—The report required by subsection (a) shall 
include specific implementation plans to increase diversity within 
each element of the intelligence community, including— 
(1) specific implementation plans for each such element 
designed to achieve the goals articulated in the strategic plan 
of the Director of National Intelligence on equal employment 
opportunity and diversity; 
(2) specific plans and initiatives for each such element 
to increase recruiting and hiring of diverse candidates; 
(3) specific plans and initiatives for each such element 
to improve retention of diverse Federal employees at the junior, 
midgrade, senior, and management levels; 
(4) a description of specific diversity awareness training 
and education programs for senior officials and managers of 
each such element; and 
(5) a description of performance metrics to measure the 
success of carrying out the plans, initiatives, and programs 
described in paragraphs (1) through (4). 
(c) FORM.—The report required by subsection (a) shall be sub-
mitted in unclassified form, but may include a classified annex.
H. R. 2701—42 
SEC. 339. REPORT ON INTELLIGENCE COMMUNITY CONTRACTORS. 
(a) REQUIREMENT FOR REPORT.—Not later than February 1, 
2011, the Director of National Intelligence shall submit to the 
congressional intelligence committees and the Committees on 
Armed Services of the House of Representatives and the Senate 
a report describing the use of personal services contracts across 
the intelligence community, the impact of the use of such contracts 
on the intelligence community workforce, plans for conversion of 
contractor employment into United States Government employment, 
and the accountability mechanisms that govern the performance 
of such personal services contracts. 
(b) CONTENT.— 
(1) IN GENERAL.—The report submitted under subsection 
(a) shall include— 
(A) a description of any relevant regulations or guid-
ance issued by the Director of National Intelligence or 
the head of an element of the intelligence community and 
in effect as of February 1, 2011, relating to minimum 
standards required regarding the hiring, training, security 
clearance, and assignment of contract personnel and how 
those standards may differ from those for United States 
Government employees performing substantially similar 
functions; 
(B) an identification of contracts in effect during the 
preceding fiscal year under which the contractor is per-
forming substantially similar functions to a United States 
Government employee; 
(C) an assessment of costs incurred or savings achieved 
during the preceding fiscal year by awarding contracts 
for the performance of such functions referred to in 
subparagraph (B) instead of using full-time employees of 
the elements of the intelligence community to perform such 
functions; 
(D) an assessment of the appropriateness of using con-
tractors to perform the activities described in paragraph 
(2); 
(E) an estimate of the number of contracts, and the 
number of personnel working under such contracts, related 
to the performance of activities described in paragraph 
(2); 
(F) a comparison of the compensation of contract 
employees and United States Government employees per-
forming substantially similar functions during the pre-
ceding fiscal year; 
(G) an analysis of the attrition of United States Govern-
ment employees for contractor positions that provide 
substantially similar functions during the preceding fiscal 
year; 
(H) a description of positions that have been or will 
be converted from contractor employment to United States 
Government employment during fiscal years 2011 and 
2012; 
(I) an analysis of the oversight and accountability 
mechanisms applicable to personal services contracts 
awarded for intelligence activities by each element of the 
intelligence community during fiscal years 2009 and 2010;
H. R. 2701—43 
(J) an analysis of procedures in use in the intelligence 
community as of February 1, 2011, for conducting oversight 
of contractors to ensure identification and prosecution of 
criminal violations, financial waste, fraud, or other abuses 
committed by contractors or contract personnel; and 
(K) an identification of best practices for oversight 
and accountability mechanisms applicable to personal serv-
ices contracts. 
(2) ACTIVITIES.—Activities described in this paragraph are 
the following: 
(A) Intelligence collection. 
(B) Intelligence analysis. 
(C) Covert actions, including rendition, detention, and 
interrogation activities. 
SEC. 340. STUDY ON ELECTRONIC WASTE DESTRUCTION PRACTICES 
OF THE INTELLIGENCE COMMUNITY. 
(a) STUDY.—The Inspector General of the Intelligence Commu-
nity shall conduct a study on the electronic waste destruction prac-
tices of the intelligence community. Such study shall assess— 
(1) the security of the electronic waste disposal practices 
of the intelligence community, including the potential for 
counterintelligence exploitation of destroyed, discarded, or 
recycled materials; 
(2) the environmental impact of such disposal practices; 
and 
(3) methods to improve the security and environmental 
impact of such disposal practices, including steps to prevent 
the forensic exploitation of electronic waste. 
(b) REPORT.—Not later than one year after the date of the 
enactment of this Act, the Inspector General of the Intelligence 
Community shall submit to the congressional intelligence commit-
tees a report containing the results of the study conducted under 
subsection (a). 
SEC. 341. REVIEW OF RECORDS RELATING TO POTENTIAL HEALTH 
RISKS AMONG DESERT STORM VETERANS. 
(a) REVIEW.—The Director of the Central Intelligence Agency 
shall conduct a classification review of the records of the Agency 
that are relevant to the known or potential health effects suffered 
by veterans of Operation Desert Storm as described in the 
November 2008, report by the Department of Veterans Affairs 
Research Advisory Committee on Gulf War Veterans’ Illnesses. 
(b) REPORT.—Not later than one year after the date of the 
enactment of this Act, the Director of the Central Intelligence 
Agency shall submit to Congress the results of the classification 
review conducted under subsection (a), including the total number 
of records of the Agency that are relevant. 
(c) FORM.—The report required under subsection (b) shall be 
submitted in unclassified form, but may include a classified annex. 
SEC. 342. REVIEW OF FEDERAL BUREAU OF INVESTIGATION EXERCISE 
OF ENFORCEMENT JURISDICTION IN FOREIGN NATIONS. 
Not later than 120 days after the date of the enactment of 
this Act, the Director of the Federal Bureau of Investigation, in 
consultation with the Secretary of State, shall submit to Congress 
a review of constraints under international law and the laws of 
foreign nations to the assertion of enforcement jurisdiction with
H. R. 2701—44 
respect to criminal investigations of terrorism offenses under the 
laws of the United States conducted by agents of the Federal 
Bureau of Investigation in foreign nations and using funds made 
available for the National Intelligence Program, including con-
straints identified in section 432 of the Restatement (Third) of 
the Foreign Relations Law of the United States. 
SEC. 343. PUBLIC RELEASE OF INFORMATION ON PROCEDURES USED 
IN NARCOTICS AIRBRIDGE DENIAL PROGRAM IN PERU. 
Not later than 30 days after the date of the enactment of 
this Act, the Director of the Central Intelligence Agency shall make 
publicly available an unclassified version of the report of the 
Inspector General of the Central Intelligence Agency entitled ‘‘Proce-
dures Used in Narcotics Airbridge Denial Program in Peru, 1995– 
2001’’, dated August 25, 2008. 
SEC. 344. REPORT ON THREAT FROM DIRTY BOMBS. 
Not later than 180 days after the date of the enactment of 
this Act, the Director of National Intelligence, in consultation with 
the Nuclear Regulatory Commission, shall submit to Congress a 
report summarizing intelligence related to the threat to the United 
States from weapons that use radiological materials, including 
highly dispersible substances such as cesium-137. 
SEC. 345. REPORT ON CREATION OF SPACE INTELLIGENCE OFFICE. 
Not later than 60 days after the date of the enactment of 
this Act, the Director of National Intelligence shall submit to Con-
gress a report on the feasibility and advisability of creating a 
national space intelligence office to manage space-related intel-
ligence assets and access to such assets. 
SEC. 346. REPORT ON ATTEMPT TO DETONATE EXPLOSIVE DEVICE 
ON NORTHWEST AIRLINES FLIGHT 253. 
Not later than 180 days after the date of the enactment of 
this Act, the Director of National Intelligence shall submit to Con-
gress a report on the attempt to detonate an explosive device 
aboard Northwest Airlines flight number 253 on December 25, 
2009. Such report shall describe the failures, if any, to share or 
analyze intelligence or other information and the measures that 
the intelligence community has taken or will take to prevent such 
failures, including— 
(1) a description of the roles and responsibilities of the 
counterterrorism analytic components of the intelligence 
community in synchronizing, correlating, and analyzing all 
sources of intelligence related to terrorism; 
(2) an assessment of the technological capabilities of the 
United 
States 
Government 
to 
assess 
terrorist 
threats, 
including— 
(A) a list of all databases used by counterterrorism 
analysts; 
(B) a description of the steps taken by the intelligence 
community to integrate all relevant terrorist databases 
and allow for cross-database searches; 
(C) a description of the steps taken by the intelligence 
community to correlate biographic information with ter-
rorism-related intelligence; and
H. R. 2701—45 
(D) a description of the improvements to information 
technology needed to enable the United States Government 
to better share information; 
(3) any recommendations that the Director considers appro-
priate for legislation to improve the sharing of intelligence 
or information relating to terrorists; 
(4) a description of the steps taken by the intelligence 
community to train analysts on watchlisting processes and 
procedures; 
(5) a description of the manner in which watchlisting 
information is entered, reviewed, searched, analyzed, and acted 
upon by the relevant elements of the United States Govern-
ment; 
(6) a description of the steps the intelligence community 
is taking to enhance the rigor and raise the standard of 
tradecraft of intelligence analysis related to uncovering and 
preventing terrorist plots; 
(7) a description of the processes and procedures by which 
the intelligence community prioritizes terrorism threat leads 
and the standards used by elements of the intelligence commu-
nity to determine if follow-up action is appropriate; 
(8) a description of the steps taken to enhance record 
information on possible terrorists in the Terrorist Identities 
Datamart Environment; 
(9) an assessment of how to meet the challenge associated 
with exploiting the ever-increasing volume of information avail-
able to the intelligence community; and 
(10) a description of the steps the intelligence community 
has taken or will take to respond to any findings and rec-
ommendations of the congressional intelligence committees, 
with respect to any such failures, that have been transmitted 
to the Director of National Intelligence. 
SEC. 347. REPEAL OR MODIFICATION OF CERTAIN REPORTING 
REQUIREMENTS. 
(a) ANNUAL REPORT
ON INTELLIGENCE.—Section 109 of the 
National Security Act of 1947 (50 U.S.C. 404d) is repealed. 
(b) ANNUAL AND SPECIAL REPORTS ON INTELLIGENCE SHARING 
WITH THE UNITED NATIONS.—Section 112 of the National Security 
Act of 1947 (50 U.S.C. 404g) is amended— 
(1) by striking subsection (b); and 
(2) by redesignating subsections (c), (d), and (e) as sub-
sections (b), (c), and (d), respectively. 
(c) ANNUAL REPORT
ON PROGRESS
IN AUDITABLE FINANCIAL 
STATEMENTS.—Section 114A of the National Security Act of 1947 
(50 U.S.C. 404i–1) is repealed. 
(d) REPORT
ON
FINANCIAL
INTELLIGENCE
ON
TERRORIST 
ASSETS.—Section 118 of the National Security Act of 1947 (50 
U.S.C. 404m) is amended— 
(1) in the heading, by striking ‘‘SEMIANNUAL’’ and inserting 
‘‘ANNUAL’’; 
(2) in subsection (a)— 
(A) in the heading, by striking ‘‘SEMIANNUAL’’ and 
inserting ‘‘ANNUAL’’; 
(B) in the matter preceding paragraph (1)— 
(i) by striking ‘‘semiannual basis’’ and inserting 
‘‘annual basis’’; and
H. R. 2701—46 
(ii) by striking ‘‘preceding six-month period’’ and 
inserting ‘‘preceding one-year period’’; 
(C) by striking paragraph (2); and 
(D) by redesignating paragraphs (3) and (4) as para-
graphs (2) and (3), respectively; and 
(3) in subsection (d)— 
(A) in paragraph (1), by inserting ‘‘the Committee on 
Armed Services,’’ after ‘‘the Committee on Appropriations,’’; 
and 
(B) in paragraph (2), by inserting ‘‘the Committee on 
Armed Services,’’ after ‘‘the Committee on Appropriations,’’. 
(e) ANNUAL CERTIFICATION ON COUNTERINTELLIGENCE INITIA-
TIVES.—Section 1102(b) of the National Security Act of 1947 (50 
U.S.C. 442a(b)) is amended— 
(1) by striking ‘‘(1)’’; and 
(2) by striking paragraph (2). 
(f) REPORT AND CERTIFICATION UNDER TERRORIST IDENTIFICA-
TION CLASSIFICATION SYSTEM.—Section 343 of the Intelligence 
Authorization Act for Fiscal Year 2003 (50 U.S.C. 404n–2) is 
amended— 
(1) by striking subsection (d); and 
(2) by redesignating subsections (e), (f), (g), and (h) as 
subsections (d), (e), (f), and (g), respectively. 
(g) ANNUAL REPORT
ON COUNTERDRUG INTELLIGENCE MAT-
TERS.—Section 826 of the Intelligence Authorization Act for Fiscal 
Year 2003 (Public Law 107–306; 21 U.S.C. 873 note) is repealed. 
(h) BIENNIAL REPORT ON FOREIGN INDUSTRIAL ESPIONAGE.— 
Subsection (b) of section 809 of the Intelligence Authorization Act 
for Fiscal Year 1995 (50 U.S.C. App. 2170b) is amended— 
(1) in the heading, by striking ‘‘ANNUAL UPDATE’’ and 
inserting ‘‘BIENNIAL REPORT’’; 
(2) by striking paragraphs (1) and (2) and inserting the 
following new paragraph: 
‘‘(1) REQUIREMENT TO SUBMIT.—Not later than February 
1, 2011, and once every two years thereafter, the President 
shall submit to the congressional intelligence committees and 
congressional leadership a report updating the information 
referred to in subsection (a)(1)D).’’; and 
(3) by redesignating paragraph (3) as paragraph (2). 
(i) TABLE OF CONTENTS AMENDMENTS.— 
(1) NATIONAL SECURITY ACT OF 1947.—The table of contents 
in the first section of the National Security Act of 1947, as 
amended by section 332 of this Act, is further amended— 
(A) by striking the item relating to section 109; 
(B) by striking the item relating to section 114A; and 
(C) by striking the item relating to section 118 and 
inserting the following new item: 
‘‘Sec. 118. Annual report on financial intelligence on terrorist assets.’’. 
(2) INTELLIGENCE
AUTHORIZATION
ACT
FOR
FISCAL
YEAR 
2003.—The table of contents in the first section of the Intel-
ligence Authorization Act for Fiscal Year 2003 (Public Law 
107–306; 116 Stat. 2383) is amended by striking the item 
relating to section 826.
H. R. 2701—47 
SEC. 348. INFORMATION ACCESS BY THE COMPTROLLER GENERAL 
OF THE UNITED STATES. 
(a) DNI DIRECTIVE GOVERNING ACCESS.— 
(1) REQUIREMENT FOR DIRECTIVE.—The Director of National 
Intelligence, in consultation with the Comptroller General of 
the United States, shall issue a written directive governing 
the access of the Comptroller General to information in the 
possession of an element of the intelligence community. 
(2) AMENDMENT TO DIRECTIVE.—The Director of National 
Intelligence, in consultation with the Comptroller General, may 
issue an amendment to the directive issued under paragraph 
(1) at any time the Director determines such an amendment 
is appropriate. 
(3) RELATIONSHIP TO OTHER LAWS.—The directive issued 
under paragraph (1) and any amendment to such directive 
issued under paragraph (2) shall be consistent with the provi-
sions of— 
(A) chapter 7 of title 31, United States Code; and 
(B) the National Security Act of 1947 (50 U.S.C. 401 
et seq.). 
(b) CONFIDENTIALITY OF INFORMATION.— 
(1) REQUIREMENT FOR CONFIDENTIALITY.—The Comptroller 
General of the United States shall ensure that the level of 
confidentiality of information made available to the Comptroller 
General pursuant to the directive issued under subsection (a)(1) 
or an amendment to such directive issued under subsection 
(a)(2) is not less than the level of confidentiality of such informa-
tion required of the head of the element of the intelligence 
community from which such information was obtained. 
(2) PENALTIES FOR UNAUTHORIZED DISCLOSURE.—An officer 
or employee of the Government Accountability Office shall be 
subject to the same statutory penalties for unauthorized disclo-
sure or use of such information as an officer or employee 
of the element of the intelligence community from which such 
information was obtained. 
(c) SUBMISSION TO CONGRESS.— 
(1) SUBMISSION OF DIRECTIVE.—The directive issued under 
subsection (a)(1) shall be submitted to Congress by the Director 
of National Intelligence, together with any comments of the 
Comptroller General of the United States, no later than May 
1, 2011. 
(2) SUBMISSION OF AMENDMENT.—Any amendment to such 
directive issued under subsection (a)(2) shall be submitted to 
Congress by the Director, together with any comments of the 
Comptroller General. 
(d) EFFECTIVE DATE.—The directive issued under subsection 
(a)(1) and any amendment to such directive issued under subsection 
(a)(2) shall take effect 60 days after the date such directive or 
amendment is submitted to Congress under subsection (c), unless 
the Director determines that for reasons of national security the 
directive or amendment should take effect sooner. 
SEC. 349. CONFORMING AMENDMENTS FOR REPORT SUBMISSION 
DATES. 
Section 507 of the National Security Act of 1947 (50 U.S.C. 
415b) is amended— 
(1) in subsection (a)—
H. R. 2701—48 
(A) in paragraph (1)— 
(i) by striking subparagraphs (A), (B), and (G); 
(ii) by redesignating subparagraphs (C), (D), (E), 
(F), (H), (I), and (N) as subparagraphs (A), (B), (C), 
(D), (E), (F), and (G), respectively; and 
(iii) by adding at the end the following new sub-
paragraphs: 
‘‘(H) The annual report on outside employment of employees 
of elements of the intelligence community required by section 
102A(u)(2). 
‘‘(I) The annual report on financial intelligence on terrorist 
assets required by section 118.’’; and 
(B) in paragraph (2), by striking subparagraphs (C) 
and (D); and 
(2) in subsection (b), by striking paragraph (6). 
Subtitle E—Other Matters 
SEC. 361. EXTENSION OF AUTHORITY TO DELETE INFORMATION 
ABOUT RECEIPT AND DISPOSITION OF FOREIGN GIFTS 
AND DECORATIONS. 
Paragraph (4) of section 7342(f) of title 5, United States Code, 
is amended to read as follows: 
‘‘(4)(A) In transmitting such listings for an element of the 
intelligence community, the head of such element may delete the 
information described in subparagraph (A) or (C) of paragraph 
(2) or in subparagraph (A) or (C) of paragraph (3) if the head 
of such element certifies in writing to the Secretary of State that 
the publication of such information could adversely affect United 
States intelligence sources or methods. 
‘‘(B) Any information not provided to the Secretary of State 
pursuant to the authority in subparagraph (A) shall be transmitted 
to the Director of National Intelligence who shall keep a record 
of such information. 
‘‘(C) In this paragraph, the term ‘intelligence community’ has 
the meaning given that term in section 3(4) of the National Security 
Act of 1947 (50 U.S.C. 401a(4)).’’. 
SEC. 362. MODIFICATION OF AVAILABILITY OF FUNDS FOR DIFFERENT 
INTELLIGENCE ACTIVITIES. 
Subparagraph (B) of section 504(a)(3) of the National Security 
Act of 1947 (50 U.S.C. 414(a)(3)) is amended to read as follows: 
‘‘(B) the use of such funds for such activity supports an 
emergent need, improves program effectiveness, or increases 
efficiency; and’’. 
SEC. 363. PROTECTION OF CERTAIN NATIONAL SECURITY INFORMA-
TION. 
(a) INCREASE IN PENALTIES FOR DISCLOSURE OF UNDERCOVER 
INTELLIGENCE OFFICERS AND AGENTS.— 
(1) DISCLOSURE OF AGENT AFTER ACCESS TO INFORMATION 
IDENTIFYING
AGENT.—Subsection (a) of section 601 of the 
National Security Act of 1947 (50 U.S.C. 421) is amended 
by striking ‘‘ten years’’ and inserting ‘‘15 years’’. 
(2) DISCLOSURE
OF
AGENT
AFTER
ACCESS
TO
CLASSIFIED 
INFORMATION.—Subsection (b) of such section is amended by 
striking ‘‘five years’’ and inserting ‘‘10 years’’.
H. R. 2701—49 
(b) MODIFICATIONS
TO ANNUAL REPORT
ON PROTECTION
OF 
INTELLIGENCE IDENTITIES.—The first sentence of section 603(a) of 
the National Security Act of 1947 (50 U.S.C. 423(a)) is amended 
by inserting ‘‘including an assessment of the need, if any, for modi-
fication of this title for the purpose of improving legal protections 
for covert agents,’’ after ‘‘measures to protect the identities of covert 
agents,’’. 
SEC. 364. NATIONAL INTELLIGENCE PROGRAM BUDGET. 
Section 601 of the Implementing Recommendations of the 9/ 
11 Commission Act of 2007 (50 U.S.C. 415c) is amended to read 
as follows: 
‘‘SEC. 601. AVAILABILITY TO PUBLIC OF CERTAIN INTELLIGENCE 
FUNDING INFORMATION. 
‘‘(a) BUDGET REQUEST.—At the time that the President submits 
to Congress the budget for a fiscal year pursuant to section 1105 
of title 31, United States Code, the President shall disclose to 
the public the aggregate amount of appropriations requested for 
that fiscal year for the National Intelligence Program. 
‘‘(b) AMOUNTS APPROPRIATED EACH FISCAL YEAR.—Not later 
than 30 days after the end of each fiscal year, the Director of 
National Intelligence shall disclose to the public the aggregate 
amount of funds appropriated by Congress for the National Intel-
ligence Program for such fiscal year. 
‘‘(c) WAIVER.— 
‘‘(1) IN GENERAL.—The President may waive or postpone 
the disclosure required by subsection (a) or (b) for a fiscal 
year by submitting to the Select Committee on Intelligence 
of the Senate and Permanent Select Committee on Intelligence 
of the House of Representatives— 
‘‘(A) a statement, in unclassified form, that the disclo-
sure required in subsection (a) or (b) for that fiscal year 
would damage national security; and 
‘‘(B) a statement detailing the reasons for the waiver 
or postponement, which may be submitted in classified 
form. 
‘‘(2) SUBMISSION DATES.—The President shall submit the 
statements required under paragraph (1)— 
‘‘(A) in the case of a waiver or postponement of a 
disclosure required under subsection (a), at the time of 
the submission of the budget for the fiscal year for which 
such disclosure is waived or postponed; and 
‘‘(B) in the case of a waiver or postponement of a 
disclosure required under subsection (b), not later than 
30 days after the date of the end of the fiscal year for 
which such disclosure is waived or postponed. 
‘‘(d) DEFINITION.—As used in this section, the term ‘National 
Intelligence Program’ has the meaning given the term in section 
3(6) of the National Security Act of 1947 (50 U.S.C. 401a(6)).’’. 
SEC. 365. IMPROVING THE REVIEW AUTHORITY OF THE PUBLIC 
INTEREST DECLASSIFICATION BOARD. 
Paragraph (5) of section 703(b) of the Public Interest Declas-
sification Act of 2000 (50 U.S.C. 435 note) is amended— 
(1) by striking ‘‘jurisdiction,’’ and inserting ‘‘jurisdiction 
or by a member of the committee of jurisdiction,’’; and
H. R. 2701—50 
(2) by inserting ‘‘, to evaluate the proper classification 
of certain records,’’ after ‘‘certain records’’. 
SEC. 366. AUTHORITY TO DESIGNATE UNDERCOVER OPERATIONS TO 
COLLECT FOREIGN INTELLIGENCE OR COUNTERINTEL-
LIGENCE. 
Paragraph (1) of section 102(b) of the Department of Justice 
and Related Agencies Appropriations Act, 1993 (Public Law 102– 
395; 28 U.S.C. 533 note) is amended in the flush text following 
subparagraph (D) by striking ‘‘(or, if designated by the Director, 
the Assistant Director, Intelligence Division) and the Attorney Gen-
eral (or, if designated by the Attorney General, the Assistant 
Attorney General for National Security)’’ and inserting ‘‘(or a des-
ignee of the Director who is in a position not lower than Deputy 
Assistant Director in the National Security Branch or a similar 
successor position) and the Attorney General (or a designee of 
the Attorney General who is in the National Security Division 
in a position not lower than Deputy Assistant Attorney General 
or a similar successor position)’’. 
SEC. 367. SECURITY CLEARANCES: REPORTS; RECIPROCITY. 
(a) REPORTS RELATING TO SECURITY CLEARANCES.— 
(1) QUADRENNIAL AUDIT; SECURITY CLEARANCE DETERMINA-
TIONS.— 
(A) IN GENERAL.—Title V of the National Security Act 
of 1947 (50 U.S.C. 413 et seq.), as amended by section 
325 of this Act, is further amended by inserting after 
section 506G, as added by section 325(a), the following 
new section: 
‘‘REPORTS ON SECURITY CLEARANCES 
‘‘SEC. 506H. (a) QUADRENNIAL AUDIT OF POSITION REQUIRE-
MENTS.—(1) The President shall every four years conduct an audit 
of the manner in which the executive branch determines whether 
a security clearance is required for a particular position in the 
United States Government. 
‘‘(2) Not later than 30 days after the completion of an audit 
conducted under paragraph (1), the President shall submit to Con-
gress the results of such audit. 
‘‘(b) REPORT ON SECURITY CLEARANCE DETERMINATIONS.—(1) 
Not later than February 1 of each year, the President shall submit 
to Congress a report on the security clearance process. Such report 
shall include, for each security clearance level— 
‘‘(A) the number of employees of the United States Govern-
ment who— 
‘‘(i) held a security clearance at such level as of October 
1 of the preceding year; and 
‘‘(ii) were approved for a security clearance at such 
level during the preceding fiscal year; 
‘‘(B) the number of contractors to the United States Govern-
ment who— 
‘‘(i) held a security clearance at such level as of October 
1 of the preceding year; and 
‘‘(ii) were approved for a security clearance at such 
level during the preceding fiscal year; and 
‘‘(C) for each element of the intelligence community—
H. R. 2701—51 
‘‘(i) the total amount of time it took to process the 
security clearance determination for such level that— 
‘‘(I) was among the 80 percent of security clearance 
determinations made during the preceding fiscal year 
that took the shortest amount of time to complete; 
and 
‘‘(II) took the longest amount of time to complete; 
‘‘(ii) the total amount of time it took to process the 
security clearance determination for such level that— 
‘‘(I) was among the 90 percent of security clearance 
determinations made during the preceding fiscal year 
that took the shortest amount of time to complete; 
and 
‘‘(II) took the longest amount of time to complete; 
‘‘(iii) the number of pending security clearance inves-
tigations for such level as of October 1 of the preceding 
year that have remained pending for— 
‘‘(I) 4 months or less; 
‘‘(II) between 4 months and 8 months; 
‘‘(III) between 8 months and one year; and 
‘‘(IV) more than one year; 
‘‘(iv) the percentage of reviews during the preceding 
fiscal year that resulted in a denial or revocation of a 
security clearance; 
‘‘(v) the percentage of investigations during the pre-
ceding fiscal year that resulted in incomplete information; 
‘‘(vi) the percentage of investigations during the pre-
ceding fiscal year that did not result in enough information 
to make a decision on potentially adverse information; and 
‘‘(vii) for security clearance determinations completed 
or pending during the preceding fiscal year that have taken 
longer than one year to complete— 
‘‘(I) the number of security clearance determina-
tions for positions as employees of the United States 
Government that required more than one year to com-
plete; 
‘‘(II) the number of security clearance determina-
tions for contractors that required more than one year 
to complete; 
‘‘(III) the agencies that investigated and adju-
dicated such determinations; and 
‘‘(IV) the cause of significant delays in such deter-
minations. 
‘‘(2) For purposes of paragraph (1), the President may con-
sider— 
‘‘(A) security clearances at the level of confidential and 
secret as one security clearance level; and 
‘‘(B) security clearances at the level of top secret or higher 
as one security clearance level. 
‘‘(c) FORM.—The results required under subsection (a)(2) and 
the reports required under subsection (b)(1) shall be submitted 
in unclassified form, but may include a classified annex.’’. 
(B) INITIAL AUDIT.—The first audit required to be con-
ducted under section 506H(a)(1) of the National Security 
Act of 1947, as added by subparagraph (A) of this para-
graph, shall be completed not later than February 1, 2011.
H. R. 2701—52 
(C) TABLE
OF
CONTENTS
AMENDMENT.—The table of 
contents in the first section of such Act, as amended by 
section 347(i) of this Act, is further amended by inserting 
after the item relating to section 506G, as added by section 
325 of this Act, the following new item: 
‘‘Sec. 506H. Reports on security clearances.’’. 
(2) REPORT ON METRICS FOR ADJUDICATION QUALITY.—Not 
later than 180 days after the date of the enactment of this 
Act, the President shall submit to Congress a report on security 
clearance investigations and adjudications. Such report shall 
include— 
(A) United States Government-wide adjudication guide-
lines and metrics for adjudication quality; 
(B) a plan to improve the professional development 
of security clearance adjudicators; 
(C) metrics to evaluate the effectiveness of interagency 
clearance reciprocity; 
(D) United States Government-wide investigation 
standards and metrics for investigation quality; and 
(E) the advisability, feasibility, counterintelligence risk, 
and cost effectiveness of— 
(i) by not later than January 1, 2012, requiring 
the investigation and adjudication of security clear-
ances to be conducted by not more than two Federal 
agencies; and 
(ii) by not later than January 1, 2015, requiring 
the investigation and adjudication of security clear-
ances to be conducted by not more than one Federal 
agency. 
(b) SECURITY CLEARANCE RECIPROCITY.— 
(1) AUDIT.—The Inspector General of the Intelligence 
Community shall conduct an audit of the reciprocity of security 
clearances among the elements of the intelligence community. 
(2) REPORT.—Not later than 180 days after the date of 
the enactment of this Act, the Inspector General of the Intel-
ligence Community shall submit to the congressional intel-
ligence committees a report containing the results of the audit 
conducted under paragraph (1). Such report shall include an 
assessment of the time required to obtain a reciprocal security 
clearance for— 
(A) an employee of an element of the intelligence 
community detailed to another element of the intelligence 
community; 
(B) an employee of an element of the intelligence 
community seeking permanent employment with another 
element of the intelligence community; and 
(C) a contractor seeking permanent employment with 
an element of the intelligence community. 
(3) FORM.—The report required under paragraph (2) shall 
be submitted in unclassified form, but may include a classified 
annex. 
SEC. 368. CORRECTING LONG-STANDING MATERIAL WEAKNESSES. 
(a) DEFINITIONS.—In this section:
H. R. 2701—53 
(1) COVERED ELEMENT OF THE INTELLIGENCE COMMUNITY.— 
The term ‘‘covered element of the intelligence community’’ 
means— 
(A) the Central Intelligence Agency; 
(B) the Defense Intelligence Agency; 
(C) the National Geospatial-Intelligence Agency; 
(D) the National Reconnaissance Office; or 
(E) the National Security Agency. 
(2) 
INDEPENDENT
AUDITOR.—The 
term 
‘‘independent 
auditor’’ means an individual who— 
(A)(i) is a Federal, State, or local government auditor 
who meets the independence standards included in gen-
erally accepted government auditing standards; or 
(ii) is a public accountant who meets such independ-
ence standards; and 
(B) is designated as an auditor by the Director of 
National Intelligence or the head of a covered element 
of the intelligence community, as appropriate. 
(3) INDEPENDENT REVIEW.—The term ‘‘independent review’’ 
means an audit, attestation, or examination conducted by an 
independent auditor in accordance with generally accepted 
government auditing standards. 
(4) LONG-STANDING, CORRECTABLE MATERIAL WEAKNESS.— 
The term ‘‘long-standing, correctable material weakness’’ means 
a material weakness— 
(A) that was first reported in the annual financial 
report of a covered element of the intelligence community 
for a fiscal year prior to fiscal year 2007; and 
(B) the correction of which is not substantially 
dependent on a business system that was not implemented 
prior to the end of fiscal year 2010. 
(5) MATERIAL WEAKNESS.—The term ‘‘material weakness’’ 
has the meaning given that term under the Office of Manage-
ment and Budget Circular A–123, entitled ‘‘Management’s 
Responsibility for Internal Control,’’ revised December 21, 2004. 
(6) SENIOR
INTELLIGENCE
MANAGEMENT
OFFICIAL.—The 
term ‘‘senior intelligence management official’’ means an official 
within a covered element of the intelligence community who 
is— 
(A)(i) compensated under the Senior Intelligence 
Service pay scale; or 
(ii) the head of a covered element of the intelligence 
community; and 
(B) compensated for employment with funds appro-
priated pursuant to an authorization of appropriations in 
this Act. 
(b) IDENTIFICATION
OF SENIOR INTELLIGENCE MANAGEMENT 
OFFICIALS.— 
(1) REQUIREMENT TO IDENTIFY.—Not later than 30 days 
after the date of the enactment of this Act, the head of a 
covered element of the intelligence community shall designate 
a senior intelligence management official of such element to 
be responsible for correcting each long-standing, correctable 
material weakness of such element. 
(2) HEAD OF A COVERED ELEMENT OF THE INTELLIGENCE 
COMMUNITY.—The head of a covered element of the intelligence
H. R. 2701—54 
community may designate himself or herself as the senior intel-
ligence management official responsible for correcting a long- 
standing, correctable material weakness under paragraph (1). 
(3) REQUIREMENT TO UPDATE DESIGNATION.—If the head 
of a covered element of the intelligence community determines 
that a senior intelligence management official designated under 
paragraph (1) is no longer responsible for correcting a long- 
standing, correctable material weakness, the head of such ele-
ment shall designate the successor to such official not later 
than 10 days after the date of such determination. 
(c) NOTIFICATION.—Not later than 10 days after the date on 
which the head of a covered element of the intelligence community 
has designated a senior intelligence management official pursuant 
to paragraph (1) or (3) of subsection (b), the head of such element 
shall provide written notification of such designation to the Director 
of National Intelligence and to such senior intelligence management 
official. 
(d) CORRECTION OF LONG-STANDING, MATERIAL WEAKNESS.— 
(1) DETERMINATION OF CORRECTION OF DEFICIENCY.—If a 
long-standing, correctable material weakness is corrected, the 
senior intelligence management official who is responsible for 
correcting such long-standing, correctable material weakness 
shall make and issue a determination of the correction. 
(2) BASIS FOR DETERMINATION.—The determination of the 
senior intelligence management official under paragraph (1) 
shall be based on the findings of an independent review. 
(3) NOTIFICATION AND SUBMISSION OF FINDINGS.—A senior 
intelligence management official who makes a determination 
under paragraph (1) shall— 
(A) notify the head of the appropriate covered element 
of the intelligence community of such determination at 
the time the determination is made; and 
(B) ensure that the independent auditor whose findings 
are the basis of a determination under paragraph (1) sub-
mits to the head of the covered element of the intelligence 
community and the Director of National Intelligence the 
findings that such determination is based on not later 
than 5 days after the date on which such determination 
is made. 
(e) CONGRESSIONAL OVERSIGHT.—The head of a covered element 
of the intelligence community shall notify the congressional intel-
ligence committees not later than 30 days after the date— 
(1) on which a senior intelligence management official is 
designated under paragraph (1) or (3) of subsection (b) and 
notified under subsection (c); or 
(2) of the correction of a long-standing, correctable material 
weakness, as verified by an independent auditor under sub-
section (d)(2). 
SEC. 369. INTELLIGENCE COMMUNITY FINANCIAL IMPROVEMENT AND 
AUDIT READINESS. 
Not later than 180 days after the date of the enactment of 
this Act, the Director of National Intelligence shall— 
(1) conduct a review of the status of the auditability compli-
ance of each element of the intelligence community; and
H. R. 2701—55 
(2) develop a plan and schedule to achieve a full, unquali-
fied audit of each element of the intelligence community not 
later than September 30, 2013. 
TITLE IV—MATTERS RELATING TO ELE-
MENTS OF THE INTELLIGENCE COM-
MUNITY 
Subtitle A—Office of the Director of 
National Intelligence 
SEC. 401. ACCOUNTABILITY REVIEWS BY THE DIRECTOR OF NATIONAL 
INTELLIGENCE. 
Subsection (f) of section 102A of the National Security Act 
of 1947 (50 U.S.C. 403–1) is amended— 
(1) by redesignating paragraphs (7) and (8) as paragraphs 
(8) and (9), respectively; and 
(2) by inserting after paragraph (6) the following new para-
graph: 
‘‘(7)(A) The Director of National Intelligence shall, if the 
Director determines it is necessary, or may, if requested by a 
congressional intelligence committee, conduct an accountability 
review of an element of the intelligence community or the personnel 
of such element in relation to a failure or deficiency within the 
intelligence community. 
‘‘(B) The Director of National Intelligence, in consultation with 
the Attorney General, shall establish guidelines and procedures 
for conducting an accountability review under subparagraph (A). 
‘‘(C)(i) The Director of National Intelligence shall provide the 
findings of an accountability review conducted under subparagraph 
(A) and the Director’s recommendations for corrective or punitive 
action, if any, to the head of the applicable element of the intel-
ligence community. Such recommendations may include a rec-
ommendation for dismissal of personnel. 
‘‘(ii) If the head of such element does not implement a rec-
ommendation made by the Director under clause (i), the head 
of such element shall submit to the congressional intelligence 
committees a notice of the determination not to implement the 
recommendation, including the reasons for the determination. 
‘‘(D) The requirements of this paragraph shall not be construed 
to limit any authority of the Director of National Intelligence under 
subsection (m) or with respect to supervision of the Central Intel-
ligence Agency.’’. 
SEC. 402. AUTHORITIES FOR INTELLIGENCE INFORMATION SHARING. 
(a) 
AUTHORITIES
FOR
INTERAGENCY
FUNDING.—Section 
102A(d)(2) of the National Security Act of 1947 (50 U.S.C. 403– 
1(d)(2)) is amended by striking ‘‘Program to another such program.’’ 
and inserting ‘‘Program— 
‘‘(A) to another such program; 
‘‘(B) to other departments or agencies of the United States 
Government for the development and fielding of systems of 
common concern related to the collection, processing, analysis, 
exploitation, and dissemination of intelligence information; or
H. R. 2701—56 
‘‘(C) to a program funded by appropriations not within 
the National Intelligence Program to address critical gaps in 
intelligence information sharing or access capabilities.’’. 
(b) AUTHORITIES OF HEADS OF OTHER DEPARTMENTS AND AGEN-
CIES.—Notwithstanding any other provision of law, the head of 
any department or agency of the United States is authorized to 
receive and utilize funds made available to the department or 
agency by the Director of National Intelligence pursuant to section 
102A(d)(2) of the National Security Act of 1947 (50 U.S.C. 403– 
1(d)(2)), as amended by subsection (a), and receive and utilize 
any system referred to in such section that is made available 
to such department or agency. 
SEC. 403. LOCATION OF THE OFFICE OF THE DIRECTOR OF NATIONAL 
INTELLIGENCE. 
Subsection (e) of section 103 of the National Security Act of 
1947 (50 U.S.C. 403–3) is amended to read as follows: 
‘‘(e) LOCATION OF THE OFFICE OF THE DIRECTOR OF NATIONAL 
INTELLIGENCE.—The headquarters of the Office of the Director of 
National Intelligence may be located in the Washington metropoli-
tan region, as that term is defined in section 8301 of title 40, 
United States Code.’’. 
SEC. 404. TITLE AND APPOINTMENT OF CHIEF INFORMATION OFFICER 
OF THE INTELLIGENCE COMMUNITY. 
Section 103G of the National Security Act of 1947 (50 U.S.C. 
403–3g) is amended— 
(1) in subsection (a)— 
(A) by inserting ‘‘of the Intelligence Community’’ after 
‘‘Chief Information Officer’’; and 
(B) by striking ‘‘President,’’ and all that follows and 
inserting ‘‘President.’’; 
(2) by striking subsection (b) and redesignating subsections 
(c) and (d) as subsections (b) and (c), respectively; 
(3) in subsection (b) (as so redesignated), by inserting ‘‘of 
the Intelligence Community’’ after ‘‘Chief Information Officer’’; 
and 
(4) in subsection (c) (as so redesignated), by inserting ‘‘of 
the Intelligence Community’’ before ‘‘may not’’. 
SEC. 405. INSPECTOR GENERAL OF THE INTELLIGENCE COMMUNITY. 
(a) ESTABLISHMENT.— 
(1) IN GENERAL.—Title I of the National Security Act of 
1947 (50 U.S.C. 402 et seq.), as amended by section 347 of 
this Act, is further amended by inserting after section 103G 
the following new section: 
‘‘INSPECTOR GENERAL OF THE INTELLIGENCE COMMUNITY 
‘‘SEC. 103H. (a) OFFICE OF INSPECTOR GENERAL OF THE INTEL-
LIGENCE COMMUNITY.—There is within the Office of the Director 
of National Intelligence an Office of the Inspector General of the 
Intelligence Community. 
‘‘(b) PURPOSE.—The purpose of the Office of the Inspector Gen-
eral of the Intelligence Community is— 
‘‘(1) to create an objective and effective office, appropriately 
accountable to Congress, to initiate and conduct independent 
investigations, inspections, audits, and reviews on programs
H. R. 2701—57 
and activities within the responsibility and authority of the 
Director of National Intelligence; 
‘‘(2) to provide leadership and coordination and recommend 
policies for activities designed— 
‘‘(A) to promote economy, efficiency, and effectiveness 
in the administration and implementation of such programs 
and activities; and 
‘‘(B) to prevent and detect fraud and abuse in such 
programs and activities; 
‘‘(3) to provide a means for keeping the Director of National 
Intelligence fully and currently informed about— 
‘‘(A) problems and deficiencies relating to the adminis-
tration of programs and activities within the responsibility 
and authority of the Director of National Intelligence; and 
‘‘(B) the necessity for, and the progress of, corrective 
actions; and 
‘‘(4) in the manner prescribed by this section, to ensure 
that the congressional intelligence committees are kept simi-
larly informed of— 
‘‘(A) significant problems and deficiencies relating to 
programs and activities within the responsibility and 
authority of the Director of National Intelligence; and 
‘‘(B) the necessity for, and the progress of, corrective 
actions. 
‘‘(c) INSPECTOR GENERAL OF THE INTELLIGENCE COMMUNITY.— 
(1) There is an Inspector General of the Intelligence Community, 
who shall be the head of the Office of the Inspector General of 
the Intelligence Community, who shall be appointed by the Presi-
dent, by and with the advice and consent of the Senate. 
‘‘(2) The nomination of an individual for appointment as 
Inspector General shall be made— 
‘‘(A) without regard to political affiliation; 
‘‘(B) on the basis of integrity, compliance with security 
standards of the intelligence community, and prior experience 
in the field of intelligence or national security; and 
‘‘(C) on the basis of demonstrated ability in accounting, 
financial analysis, law, management analysis, public adminis-
tration, or investigations. 
‘‘(3) The Inspector General shall report directly to and be under 
the general supervision of the Director of National Intelligence. 
‘‘(4) The Inspector General may be removed from office only 
by the President. The President shall communicate in writing to 
the congressional intelligence committees the reasons for the 
removal not later than 30 days prior to the effective date of such 
removal. Nothing in this paragraph shall be construed to prohibit 
a personnel action otherwise authorized by law, other than transfer 
or removal. 
‘‘(d) ASSISTANT INSPECTORS GENERAL.—Subject to the policies 
of the Director of National Intelligence, the Inspector General of 
the Intelligence Community shall— 
‘‘(1) appoint an Assistant Inspector General for Audit who 
shall have the responsibility for supervising the performance 
of auditing activities relating to programs and activities within 
the responsibility and authority of the Director; 
‘‘(2) appoint an Assistant Inspector General for Investiga-
tions who shall have the responsibility for supervising the
H. R. 2701—58 
performance of investigative activities relating to such pro-
grams and activities; and 
‘‘(3) appoint other Assistant Inspectors General that, in 
the judgment of the Inspector General, are necessary to carry 
out the duties of the Inspector General. 
‘‘(e) DUTIES AND RESPONSIBILITIES.—It shall be the duty and 
responsibility of the Inspector General of the Intelligence Commu-
nity— 
‘‘(1) to provide policy direction for, and to plan, conduct, 
supervise, and coordinate independently, the investigations, 
inspections, audits, and reviews relating to programs and activi-
ties within the responsibility and authority of the Director 
of National Intelligence; 
‘‘(2) to keep the Director of National Intelligence fully and 
currently informed concerning violations of law and regulations, 
fraud, and other serious problems, abuses, and deficiencies 
relating to the programs and activities within the responsibility 
and authority of the Director, to recommend corrective action 
concerning such problems, and to report on the progress made 
in implementing such corrective action; 
‘‘(3) to take due regard for the protection of intelligence 
sources and methods in the preparation of all reports issued 
by the Inspector General, and, to the extent consistent with 
the purpose and objective of such reports, take such measures 
as may be appropriate to minimize the disclosure of intelligence 
sources and methods described in such reports; and 
‘‘(4) in the execution of the duties and responsibilities under 
this section, to comply with generally accepted government 
auditing. 
‘‘(f) LIMITATIONS ON ACTIVITIES.—(1) The Director of National 
Intelligence may prohibit the Inspector General of the Intelligence 
Community from initiating, carrying out, or completing any inves-
tigation, inspection, audit, or review if the Director determines 
that such prohibition is necessary to protect vital national security 
interests of the United States. 
‘‘(2) Not later than seven days after the date on which the 
Director exercises the authority under paragraph (1), the Director 
shall submit to the congressional intelligence committees an appro-
priately classified statement of the reasons for the exercise of such 
authority. 
‘‘(3) The Director shall advise the Inspector General at the 
time a statement under paragraph (2) is submitted, and, to the 
extent consistent with the protection of intelligence sources and 
methods, provide the Inspector General with a copy of such state-
ment. 
‘‘(4) The Inspector General may submit to the congressional 
intelligence committees any comments on the statement of which 
the Inspector General has notice under paragraph (3) that the 
Inspector General considers appropriate. 
‘‘(g) AUTHORITIES.—(1) The Inspector General of the Intelligence 
Community shall have direct and prompt access to the Director 
of National Intelligence when necessary for any purpose pertaining 
to the performance of the duties of the Inspector General. 
‘‘(2)(A) The Inspector General shall, subject to the limitations 
in subsection (f), make such investigations and reports relating 
to the administration of the programs and activities within the
H. R. 2701—59 
authorities and responsibilities of the Director as are, in the judg-
ment of the Inspector General, necessary or desirable. 
‘‘(B) The Inspector General shall have access to any employee, 
or any employee of a contractor, of any element of the intelligence 
community needed for the performance of the duties of the Inspector 
General. 
‘‘(C) The Inspector General shall have direct access to all 
records, reports, audits, reviews, documents, papers, recommenda-
tions, or other materials that relate to the programs and activities 
with respect to which the Inspector General has responsibilities 
under this section. 
‘‘(D) The level of classification or compartmentation of informa-
tion shall not, in and of itself, provide a sufficient rationale for 
denying the Inspector General access to any materials under 
subparagraph (C). 
‘‘(E) The Director, or on the recommendation of the Director, 
another appropriate official of the intelligence community, shall 
take appropriate administrative actions against an employee, or 
an employee of a contractor, of an element of the intelligence 
community that fails to cooperate with the Inspector General. Such 
administrative action may include loss of employment or the termi-
nation of an existing contractual relationship. 
‘‘(3) The Inspector General is authorized to receive and inves-
tigate, pursuant to subsection (h), complaints or information from 
any person concerning the existence of an activity within the 
authorities and responsibilities of the Director of National Intel-
ligence constituting a violation of laws, rules, or regulations, or 
mismanagement, gross waste of funds, abuse of authority, or a 
substantial and specific danger to the public health and safety. 
Once such complaint or information has been received from an 
employee of the intelligence community— 
‘‘(A) the Inspector General shall not disclose the identity 
of the employee without the consent of the employee, unless 
the Inspector General determines that such disclosure is 
unavoidable during the course of the investigation or the disclo-
sure is made to an official of the Department of Justice respon-
sible for determining whether a prosecution should be under-
taken; and 
‘‘(B) no action constituting a reprisal, or threat of reprisal, 
for making such complaint or disclosing such information to 
the Inspector General may be taken by any employee in a 
position to take such actions, unless the complaint was made 
or the information was disclosed with the knowledge that it 
was false or with willful disregard for its truth or falsity. 
‘‘(4) The Inspector General shall have the authority to admin-
ister to or take from any person an oath, affirmation, or affidavit, 
whenever necessary in the performance of the duties of the 
Inspector General, which oath, affirmation, or affidavit when 
administered or taken by or before an employee of the Office of 
the Inspector General of the Intelligence Community designated 
by the Inspector General shall have the same force and effect 
as if administered or taken by, or before, an officer having a 
seal. 
‘‘(5)(A) Except as provided in subparagraph (B), the Inspector 
General is authorized to require by subpoena the production of 
all information, documents, reports, answers, records, accounts, 
papers, and other data in any medium (including electronically
H. R. 2701—60 
stored information, as well as any tangible thing) and documentary 
evidence necessary in the performance of the duties and responsibil-
ities of the Inspector General. 
‘‘(B) In the case of departments, agencies, and other elements 
of the United States Government, the Inspector General shall obtain 
information, documents, reports, answers, records, accounts, papers, 
and other data and evidence for the purpose specified in subpara-
graph (A) using procedures other than by subpoenas. 
‘‘(C) The Inspector General may not issue a subpoena for, 
or on behalf of, any component of the Office of the Director of 
National Intelligence or any element of the intelligence community, 
including the Office of the Director of National Intelligence. 
‘‘(D) In the case of contumacy or refusal to obey a subpoena 
issued under this paragraph, the subpoena shall be enforceable 
by order of any appropriate district court of the United States. 
‘‘(6) The Inspector General may obtain services as authorized 
by section 3109 of title 5, United States Code, at rates for individ-
uals not to exceed the daily equivalent of the maximum annual 
rate of basic pay payable for grade GS–15 of the General Schedule 
under section 5332 of title 5, United States Code. 
‘‘(7) The Inspector General may, to the extent and in such 
amounts as may be provided in appropriations, enter into contracts 
and other arrangements for audits, studies, analyses, and other 
services with public agencies and with private persons, and to 
make such payments as may be necessary to carry out the provi-
sions of this section. 
‘‘(h) COORDINATION AMONG INSPECTORS GENERAL.—(1)(A) In 
the event of a matter within the jurisdiction of the Inspector General 
of the Intelligence Community that may be subject to an investiga-
tion, inspection, audit, or review by both the Inspector General 
of the Intelligence Community and an inspector general with over-
sight responsibility for an element of the intelligence community, 
the Inspector General of the Intelligence Community and such 
other inspector general shall expeditiously resolve the question 
of which inspector general shall conduct such investigation, inspec-
tion, audit, or review to avoid unnecessary duplication of the activi-
ties of the inspectors general. 
‘‘(B) In attempting to resolve a question under subparagraph 
(A), the inspectors general concerned may request the assistance 
of the Intelligence Community Inspectors General Forum estab-
lished under paragraph (2). In the event of a dispute between 
an inspector general within a department or agency of the United 
States Government and the Inspector General of the Intelligence 
Community that has not been resolved with the assistance of such 
Forum, the inspectors general shall submit the question to the 
Director of National Intelligence and the head of the affected depart-
ment or agency for resolution. 
‘‘(2)(A) There is established the Intelligence Community Inspec-
tors General Forum, which shall consist of all statutory or adminis-
trative inspectors general with oversight responsibility for an ele-
ment of the intelligence community. 
‘‘(B) The Inspector General of the Intelligence Community shall 
serve as the Chair of the Forum established under subparagraph 
(A). The Forum shall have no administrative authority over any 
inspector general, but shall serve as a mechanism for informing 
its members of the work of individual members of the Forum 
that may be of common interest and discussing questions about
H. R. 2701—61 
jurisdiction or access to employees, employees of contract personnel, 
records, audits, reviews, documents, recommendations, or other 
materials that may involve or be of assistance to more than one 
of its members. 
‘‘(3) The inspector general conducting an investigation, inspec-
tion, audit, or review covered by paragraph (1) shall submit the 
results of such investigation, inspection, audit, or review to any 
other inspector general, including the Inspector General of the 
Intelligence Community, with jurisdiction to conduct such investiga-
tion, inspection, audit, or review who did not conduct such investiga-
tion, inspection, audit, or review. 
‘‘(i) COUNSEL TO THE INSPECTOR GENERAL.—(1) The Inspector 
General of the Intelligence Community shall— 
‘‘(A) appoint a Counsel to the Inspector General who shall 
report to the Inspector General; or 
‘‘(B) obtain the services of a counsel appointed by and 
directly reporting to another inspector general or the Council 
of the Inspectors General on Integrity and Efficiency on a 
reimbursable basis. 
‘‘(2) The counsel appointed or obtained under paragraph (1) 
shall perform such functions as the Inspector General may pre-
scribe. 
‘‘(j) STAFF AND OTHER SUPPORT.—(1) The Director of National 
Intelligence shall provide the Inspector General of the Intelligence 
Community with appropriate and adequate office space at central 
and field office locations, together with such equipment, office sup-
plies, maintenance services, and communications facilities and serv-
ices as may be necessary for the operation of such offices. 
‘‘(2)(A) Subject to applicable law and the policies of the Director 
of National Intelligence, the Inspector General shall select, appoint, 
and employ such officers and employees as may be necessary to 
carry out the functions, powers, and duties of the Inspector General. 
The Inspector General shall ensure that any officer or employee 
so selected, appointed, or employed has security clearances appro-
priate for the assigned duties of such officer or employee. 
‘‘(B) In making selections under subparagraph (A), the Inspector 
General shall ensure that such officers and employees have the 
requisite training and experience to enable the Inspector General 
to carry out the duties of the Inspector General effectively. 
‘‘(C) In meeting the requirements of this paragraph, the 
Inspector General shall create within the Office of the Inspector 
General of the Intelligence Community a career cadre of sufficient 
size to provide appropriate continuity and objectivity needed for 
the effective performance of the duties of the Inspector General. 
‘‘(3) Consistent with budgetary and personnel resources allo-
cated by the Director of National Intelligence, the Inspector General 
has final approval of— 
‘‘(A) the selection of internal and external candidates for 
employment with the Office of the Inspector General; and 
‘‘(B) all other personnel decisions concerning personnel 
permanently assigned to the Office of the Inspector General, 
including selection and appointment to the Senior Intelligence 
Service, but excluding all security-based determinations that 
are not within the authority of a head of a component of 
the Office of the Director of National Intelligence. 
‘‘(4)(A) Subject to the concurrence of the Director of National 
Intelligence, the Inspector General may request such information
H. R. 2701—62 
or assistance as may be necessary for carrying out the duties 
and responsibilities of the Inspector General from any department, 
agency, or other element of the United States Government. 
‘‘(B) Upon request of the Inspector General for information 
or assistance under subparagraph (A), the head of the department, 
agency, or element concerned shall, insofar as is practicable and 
not in contravention of any existing statutory restriction or regula-
tion of the department, agency, or element, furnish to the Inspector 
General, such information or assistance. 
‘‘(C) The Inspector General of the Intelligence Community may, 
upon reasonable notice to the head of any element of the intelligence 
community and in coordination with that element’s inspector gen-
eral pursuant to subsection (h), conduct, as authorized by this 
section, an investigation, inspection, audit, or review of such ele-
ment and may enter into any place occupied by such element 
for purposes of the performance of the duties of the Inspector 
General. 
‘‘(k) REPORTS.—(1)(A) The Inspector General of the Intelligence 
Community shall, not later than January 31 and July 31 of each 
year, prepare and submit to the Director of National Intelligence 
a classified, and, as appropriate, unclassified semiannual report 
summarizing the activities of the Office of the Inspector General 
of the Intelligence Community during the immediately preceding 
6-month period ending December 31 (of the preceding year) and 
June 30, respectively. The Inspector General of the Intelligence 
Community shall provide any portion of the report involving a 
component of a department of the United States Government to 
the head of that department simultaneously with submission of 
the report to the Director of National Intelligence. 
‘‘(B) Each report under this paragraph shall include, at a min-
imum, the following: 
‘‘(i) A list of the title or subject of each investigation, 
inspection, audit, or review conducted during the period covered 
by such report. 
‘‘(ii) A description of significant problems, abuses, and defi-
ciencies relating to the administration of programs and activi-
ties of the intelligence community within the responsibility 
and authority of the Director of National Intelligence, and 
in the relationships between elements of the intelligence 
community, identified by the Inspector General during the 
period covered by such report. 
‘‘(iii) A description of the recommendations for corrective 
action made by the Inspector General during the period covered 
by such report with respect to significant problems, abuses, 
or deficiencies identified in clause (ii). 
‘‘(iv) A statement of whether or not corrective action has 
been completed on each significant recommendation described 
in previous semiannual reports, and, in a case where corrective 
action has been completed, a description of such corrective 
action. 
‘‘(v) A certification of whether or not the Inspector General 
has had full and direct access to all information relevant to 
the performance of the functions of the Inspector General. 
‘‘(vi) A description of the exercise of the subpoena authority 
under subsection (g)(5) by the Inspector General during the 
period covered by such report.
H. R. 2701—63 
‘‘(vii) Such recommendations as the Inspector General con-
siders appropriate for legislation to promote economy, efficiency, 
and effectiveness in the administration and implementation 
of programs and activities within the responsibility and 
authority of the Director of National Intelligence, and to detect 
and eliminate fraud and abuse in such programs and activities. 
‘‘(C) Not later than 30 days after the date of receipt of a 
report under subparagraph (A), the Director shall transmit the 
report to the congressional intelligence committees together with 
any comments the Director considers appropriate. The Director 
shall transmit to the committees of the Senate and of the House 
of Representatives with jurisdiction over a department of the United 
States Government any portion of the report involving a component 
of such department simultaneously with submission of the report 
to the congressional intelligence committees. 
‘‘(2)(A) The Inspector General shall report immediately to the 
Director whenever the Inspector General becomes aware of particu-
larly serious or flagrant problems, abuses, or deficiencies relating 
to programs and activities within the responsibility and authority 
of the Director of National Intelligence. 
‘‘(B) The Director shall transmit to the congressional intel-
ligence committees each report under subparagraph (A) within 7 
calendar days of receipt of such report, together with such comments 
as the Director considers appropriate. The Director shall transmit 
to the committees of the Senate and of the House of Representatives 
with jurisdiction over a department of the United States Govern-
ment any portion of each report under subparagraph (A) that 
involves a problem, abuse, or deficiency related to a component 
of such department simultaneously with transmission of the report 
to the congressional intelligence committees. 
‘‘(3)(A) In the event that— 
‘‘(i) the Inspector General is unable to resolve any dif-
ferences with the Director affecting the execution of the duties 
or responsibilities of the Inspector General; 
‘‘(ii) an investigation, inspection, audit, or review carried 
out by the Inspector General focuses on any current or former 
intelligence community official who— 
‘‘(I) holds or held a position in an element of the 
intelligence community that is subject to appointment by 
the President, whether or not by and with the advice 
and consent of the Senate, including such a position held 
on an acting basis; 
‘‘(II) holds or held a position in an element of the 
intelligence community, including a position held on an 
acting basis, that is appointed by the Director of National 
Intelligence; or 
‘‘(III) holds or held a position as head of an element 
of the intelligence community or a position covered by 
subsection (b) or (c) of section 106; 
‘‘(iii) a matter requires a report by the Inspector General 
to the Department of Justice on possible criminal conduct by 
a current or former official described in clause (ii); 
‘‘(iv) the Inspector General receives notice from the Depart-
ment of Justice declining or approving prosecution of possible 
criminal conduct of any current or former official described 
in clause (ii); or
H. R. 2701—64 
‘‘(v) the Inspector General, after exhausting all possible 
alternatives, is unable to obtain significant documentary 
information in the course of an investigation, inspection, audit, 
or review, 
the Inspector General shall immediately notify, and submit a report 
to, the congressional intelligence committees on such matter. 
‘‘(B) The Inspector General shall submit to the committees 
of the Senate and of the House of Representatives with jurisdiction 
over a department of the United States Government any portion 
of each report under subparagraph (A) that involves an investiga-
tion, inspection, audit, or review carried out by the Inspector Gen-
eral focused on any current or former official of a component of 
such department simultaneously with submission of the report to 
the congressional intelligence committees. 
‘‘(4) The Director shall submit to the congressional intelligence 
committees any report or findings and recommendations of an inves-
tigation, inspection, audit, or review conducted by the office which 
has been requested by the Chairman or Vice Chairman or ranking 
minority member of either committee. 
‘‘(5)(A) An employee of an element of the intelligence commu-
nity, an employee assigned or detailed to an element of the intel-
ligence community, or an employee of a contractor to the intelligence 
community who intends to report to Congress a complaint or 
information with respect to an urgent concern may report such 
complaint or information to the Inspector General. 
‘‘(B) Not later than the end of the 14-calendar-day period begin-
ning on the date of receipt from an employee of a complaint or 
information under subparagraph (A), the Inspector General shall 
determine whether the complaint or information appears credible. 
Upon making such a determination, the Inspector General shall 
transmit to the Director a notice of that determination, together 
with the complaint or information. 
‘‘(C) Upon receipt of a transmittal from the Inspector General 
under subparagraph (B), the Director shall, within 7 calendar days 
of such receipt, forward such transmittal to the congressional intel-
ligence committees, together with any comments the Director con-
siders appropriate. 
‘‘(D)(i) If the Inspector General does not find credible under 
subparagraph (B) a complaint or information submitted under 
subparagraph (A), or does not transmit the complaint or information 
to the Director in accurate form under subparagraph (B), the 
employee (subject to clause (ii)) may submit the complaint or 
information to Congress by contacting either or both of the congres-
sional intelligence committees directly. 
‘‘(ii) An employee may contact the congressional intelligence 
committees directly as described in clause (i) only if the employee— 
‘‘(I) before making such a contact, furnishes to the Director, 
through the Inspector General, a statement of the employee’s 
complaint or information and notice of the employee’s intent 
to contact the congressional intelligence committees directly; 
and 
‘‘(II) obtains and follows from the Director, through the 
Inspector General, direction on how to contact the congressional 
intelligence committees in accordance with appropriate security 
practices. 
‘‘(iii) A member or employee of one of the congressional intel-
ligence committees who receives a complaint or information under
H. R. 2701—65 
this subparagraph does so in that member or employee’s official 
capacity as a member or employee of such committee. 
‘‘(E) The Inspector General shall notify an employee who reports 
a complaint or information to the Inspector General under this 
paragraph of each action taken under this paragraph with respect 
to the complaint or information. Such notice shall be provided 
not later than 3 days after any such action is taken. 
‘‘(F) An action taken by the Director or the Inspector General 
under this paragraph shall not be subject to judicial review. 
‘‘(G) In this paragraph, the term ‘urgent concern’ means any 
of the following: 
‘‘(i) A serious or flagrant problem, abuse, violation of law 
or Executive order, or deficiency relating to the funding, 
administration, or operation of an intelligence activity within 
the responsibility and authority of the Director of National 
Intelligence involving classified information, but does not 
include differences of opinions concerning public policy matters. 
‘‘(ii) A false statement to Congress, or a willful withholding 
from Congress, on an issue of material fact relating to the 
funding, administration, or operation of an intelligence activity. 
‘‘(iii) An action, including a personnel action described in 
section 2302(a)(2)(A) of title 5, United States Code, constituting 
reprisal or threat of reprisal prohibited under subsection 
(g)(3)(B) of this section in response to an employee’s reporting 
an urgent concern in accordance with this paragraph. 
‘‘(H) Nothing in this section shall be construed to limit the 
protections afforded to an employee under section 17(d) of the 
Central Intelligence Agency Act of 1949 (50 U.S.C. 403q(d)) or 
section 8H of the Inspector General Act of 1978 (5 U.S.C. App.). 
‘‘(6) In accordance with section 535 of title 28, United States 
Code, the Inspector General shall expeditiously report to the 
Attorney General any information, allegation, or complaint received 
by the Inspector General relating to violations of Federal criminal 
law that involves a program or operation of an element of the 
intelligence community, or in the relationships between the ele-
ments of the intelligence community, consistent with such guide-
lines as may be issued by the Attorney General pursuant to sub-
section (b)(2) of such section. A copy of each such report shall 
be furnished to the Director. 
‘‘(l) CONSTRUCTION OF DUTIES REGARDING ELEMENTS OF INTEL-
LIGENCE COMMUNITY.—Except as resolved pursuant to subsection 
(h), the performance by the Inspector General of the Intelligence 
Community of any duty, responsibility, or function regarding an 
element of the intelligence community shall not be construed to 
modify or affect the duties and responsibilities of any other inspector 
general having duties and responsibilities relating to such element. 
‘‘(m) SEPARATE BUDGET ACCOUNT.—The Director of National 
Intelligence shall, in accordance with procedures issued by the 
Director in consultation with the congressional intelligence commit-
tees, include in the National Intelligence Program budget a separate 
account for the Office of the Inspector General of the Intelligence 
Community. 
‘‘(n) BUDGET.—(1) For each fiscal year, the Inspector General 
of the Intelligence Community shall transmit a budget estimate 
and request to the Director of National Intelligence that specifies 
for such fiscal year—
H. R. 2701—66 
‘‘(A) the aggregate amount requested for the operations 
of the Inspector General; 
‘‘(B) the amount requested for all training requirements 
of the Inspector General, including a certification from the 
Inspector General that the amount requested is sufficient to 
fund all training requirements for the Office of the Inspector 
General; and 
‘‘(C) the amount requested to support the Council of the 
Inspectors General on Integrity and Efficiency, including a 
justification for such amount. 
‘‘(2) In transmitting a proposed budget to the President for 
a fiscal year, the Director of National Intelligence shall include 
for such fiscal year— 
‘‘(A) the aggregate amount requested for the Inspector Gen-
eral of the Intelligence Community; 
‘‘(B) the amount requested for Inspector General training; 
‘‘(C) the amount requested to support the Council of the 
Inspectors General on Integrity and Efficiency; and 
‘‘(D) the comments of the Inspector General, if any, with 
respect to such proposed budget. 
‘‘(3) The Director of National Intelligence shall submit to the 
congressional intelligence committees, the Committee on Appropria-
tions of the Senate, and the Committee on Appropriations of the 
House of Representatives for each fiscal year— 
‘‘(A) a separate statement of the budget estimate trans-
mitted pursuant to paragraph (1); 
‘‘(B) the amount requested by the Director for the Inspector 
General pursuant to paragraph (2)(A); 
‘‘(C) the amount requested by the Director for the training 
of personnel of the Office of the Inspector General pursuant 
to paragraph (2)(B); 
‘‘(D) the amount requested by the Director for support 
for the Council of the Inspectors General on Integrity and 
Efficiency pursuant to paragraph (2)(C); and 
‘‘(E) the comments of the Inspector General under para-
graph (2)(D), if any, on the amounts requested pursuant to 
paragraph (2), including whether such amounts would substan-
tially inhibit the Inspector General from performing the duties 
of the Office of the Inspector General.’’. 
(2) TABLE OF CONTENTS AMENDMENT.—The table of contents 
in the first section of the National Security Act of 1947, as 
amended by section 347 of this Act, is further amended by 
inserting after the item relating to section 103G the following 
new item: 
‘‘Sec. 103H. Inspector General of the Intelligence Community.’’. 
(b) PAY OF INSPECTOR GENERAL.—Subparagraph (A) of section 
4(a)(3) of the Inspector General Reform Act of 2008 (Public Law 
110–409; 5 U.S.C. App. note) is amended by inserting ‘‘the Inspector 
General of the Intelligence Community,’’ after ‘‘basic pay of’’. 
(c) CONSTRUCTION.—Nothing in the amendment made by sub-
section (a)(1) shall be construed to alter the duties and responsibil-
ities of the General Counsel of the Office of the Director of National 
Intelligence. 
(d) REPEAL OF SUPERSEDED AUTHORITY TO ESTABLISH POSI-
TION.—Section 8K of the Inspector General Act of 1978 (5 U.S.C. 
App.) shall be repealed on the date that the President appoints,
H. R. 2701—67 
with the advice and consent of the Senate, the first individual 
to serve as Inspector General for the Intelligence Community pursu-
ant to section 103H of the National Security Act of 1947, as added 
by subsection (a), and such individual assumes the duties of the 
Inspector General. 
SEC. 406. CHIEF FINANCIAL OFFICER OF THE INTELLIGENCE COMMU-
NITY. 
(a) ESTABLISHMENT.—Title I of the National Security Act of 
1947 (50 U.S.C. 402 et seq.), as amended by section 405 of this 
Act, is further amended by inserting after section 103H, as added 
by section 405(a)(1), the following new section: 
‘‘CHIEF FINANCIAL OFFICER OF THE INTELLIGENCE COMMUNITY 
‘‘SEC. 103I. (a) CHIEF FINANCIAL OFFICER OF THE INTELLIGENCE 
COMMUNITY.—To assist the Director of National Intelligence in 
carrying out the responsibilities of the Director under this Act 
and other applicable provisions of law, there is within the Office 
of the Director of National Intelligence a Chief Financial Officer 
of the Intelligence Community who shall be appointed by the 
Director. 
‘‘(b) DUTIES AND RESPONSIBILITIES.—Subject to the direction 
of the Director of National Intelligence, the Chief Financial Officer 
of the Intelligence Community shall— 
‘‘(1) serve as the principal advisor to the Director of 
National Intelligence and the Principal Deputy Director of 
National Intelligence on the management and allocation of 
intelligence community budgetary resources; 
‘‘(2) participate in overseeing a comprehensive and 
integrated strategic process for resource management within 
the intelligence community; 
‘‘(3) ensure that the strategic plan of the Director of 
National Intelligence— 
‘‘(A) is based on budgetary constraints as specified 
in the Future Year Intelligence Plans and Long-term 
Budget Projections required under section 506G; and 
‘‘(B) contains specific goals and objectives to support 
a performance-based budget; 
‘‘(4) prior to the obligation or expenditure of funds for 
the acquisition of any major system pursuant to a Milestone 
A or Milestone B decision, receive verification from appropriate 
authorities that the national requirements for meeting the stra-
tegic plan of the Director have been established, and that 
such requirements are prioritized based on budgetary con-
straints as specified in the Future Year Intelligence Plans 
and the Long-term Budget Projections for such major system 
required under section 506G; 
‘‘(5) ensure that the collection architectures of the Director 
are based on budgetary constraints as specified in the Future 
Year Intelligence Plans and the Long-term Budget Projections 
required under section 506G; 
‘‘(6) coordinate or approve representations made to Con-
gress by the intelligence community regarding National Intel-
ligence Program budgetary resources; 
‘‘(7) participate in key mission requirements, acquisitions, 
or architectural boards formed within or by the Office of the 
Director of National Intelligence; and