SAFE Port Act
PL 109-347 (H.R.4954), enacted 10/13/2006

120 STAT. 1884
PUBLIC LAW 109–347—OCT. 13, 2006
Public Law 109–347
109th Congress
An Act
To improve maritime and cargo security through enhanced layered defenses, 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 ‘‘Security and
Accountability For Every Port Act of 2006’’ or the ‘‘SAFE Port
Act’’.
(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—SECURITY OF UNITED STATES SEAPORTS
Subtitle A—General Provisions
Sec. 101. Area Maritime Transportation Security Plan to include salvage response
plan.
Sec. 102. Requirements relating to maritime facility security plans.
Sec. 103. Unannounced inspections of maritime facilities.
Sec. 104. Transportation security card.
Sec. 105. Study to identify redundant background records checks.
Sec. 106. Prohibition of issuance of transportation security cards to persons con-
victed of certain felonies.
Sec. 107. Long-range vessel tracking.
Sec. 108. Establishment of interagency operational centers for port security.
Sec. 109. Notice of arrival for foreign vessels on the Outer Continental Shelf.
Sec. 110. Enhanced crewmember identification.
Subtitle B—Port Security Grants; Training and Exercise Programs
Sec. 111. Risk assessment tool.
Sec. 112. Port security grants.
Sec. 113. Port Security Training Program.
Sec. 114. Port Security Exercise Program.
Sec. 115. Facility exercise requirements.
Subtitle C—Port Operations
Sec. 121. Domestic radiation detection and imaging.
Sec. 122. Inspection of car ferries entering from abroad.
Sec. 123. Random searches of containers.
Sec. 124. Work stoppages and employee-employer disputes.
Sec. 125. Threat assessment screening of port truck drivers.
Sec. 126. Border Patrol unit for United States Virgin Islands.
Sec. 127. Report on arrival and departure manifests for certain commercial vessels
in the United States Virgin Islands.
Sec. 128. Center of Excellence for Maritime Domain Awareness.
TITLE II—SECURITY OF THE INTERNATIONAL SUPPLY CHAIN
Subtitle A—General Provisions
Sec. 201. Strategic plan to enhance the security of the international supply chain.
Security and
Accountability
For Every Port
Act of 2006.
6 USC 901 note.
Oct. 13, 2006
[H.R. 4954]
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PUBLIC LAW 109–347—OCT. 13, 2006
Sec. 202. Post-incident resumption of trade.
Sec. 203. Automated Targeting System.
Sec. 204. Container security standards and procedures.
Sec. 205. Container Security Initiative.
Subtitle B—Customs–Trade Partnership Against Terrorism
Sec. 211. Establishment.
Sec. 212. Eligible entities.
Sec. 213. Minimum requirements.
Sec. 214. Tier 1 participants in C–TPAT.
Sec. 215. Tier 2 participants in C–TPAT.
Sec. 216. Tier 3 participants in C–TPAT.
Sec. 217. Consequences for lack of compliance.
Sec. 218. Third party validations.
Sec. 219. Revalidation.
Sec. 220. Noncontainerized cargo.
Sec. 221. C–TPAT program management.
Sec. 222. Additional personnel.
Sec. 223. Authorization of appropriations.
Subtitle C—Miscellaneous Provisions
Sec. 231. Pilot integrated scanning system.
Sec. 232. Screening and scanning of cargo containers.
Sec. 233. International cooperation and coordination.
Sec. 234. Foreign port assessments.
Sec. 235. Pilot program to improve the security of empty containers.
Sec. 236. Information sharing relating to supply chain security cooperation.
TITLE III—ADMINISTRATION
Sec. 301. Office of Cargo Security Policy.
Sec. 302. Reauthorization of Homeland Security Science and Technology Advisory
Committee.
Sec. 303. Research, development, test, and evaluation efforts in furtherance of mar-
itime and cargo security.
TITLE IV—AGENCY RESOURCES AND OVERSIGHT
Sec. 401. Trade and customs revenue functions of the department.
Sec. 402. Office of international trade; oversight.
Sec. 403. Resources.
Sec. 404. Negotiations.
Sec. 405. International Trade Data System.
Sec. 406. In-bond cargo.
Sec. 407. Sense of the Senate.
TITLE V—DOMESTIC NUCLEAR DETECTION OFFICE
Sec. 501. Establishment of Domestic Nuclear Detection Office.
Sec. 502. Technology research and development investment strategy for nuclear
and radiological detection.
TITLE VI—COMMERCIAL MOBILE SERVICE ALERTS
Sec. 601. Short title.
Sec. 602. Federal Communications Commission duties.
Sec. 603. Commercial Mobile Service Alert Advisory Committee.
Sec. 604. Research and development.
Sec. 605. Grant program for remote community alert systems.
Sec. 606. Funding.
Sec. 607. Essential services disaster assistance.
Sec. 608. Community disaster loans.
Sec. 609. Public facilities.
Sec. 610. Expedited payments.
Sec. 611. Use of local contracting.
Sec. 612. FEMA programs.
Sec. 613. Homeland security definition.
TITLE VII—OTHER MATTERS
Sec. 701. Security plan for essential air service and small community airports.
Sec. 702. Disclosures regarding homeland security grants.
Sec. 703. Trucking security.
Sec. 704. Air and Marine Operations of the Northern Border Air Wing.
Sec. 705. Phaseout of vessels supporting oil and gas development.
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PUBLIC LAW 109–347—OCT. 13, 2006
Sec. 706. Coast Guard property in Portland, Maine.
Sec. 707. Methamphetamine and methamphetamine precursor chemicals.
Sec. 708. Aircraft charter customer and lessee prescreening program.
Sec. 709. Protection of health and safety during disasters.
TITLE VIII—UNLAWFUL INTERNET GAMBLING ENFORCEMENT
Sec. 801. Short title.
Sec. 802. Prohibition on acceptance of any payment instrument for unlawful Inter-
net gambling.
Sec. 803. Internet gambling in or through foreign jurisdictions.
SEC. 2. DEFINITIONS.
In this Act:
(1) APPROPRIATE CONGRESSIONAL COMMITTEES.—Except as
otherwise provided, the term ‘‘appropriate congressional
committees’’ means—
(A) the Committee on Appropriations of the Senate;
(B) the Committee on Commerce, Science, and
Transportation of the Senate;
(C) the Committee on Finance of the Senate;
(D) the Committee on Homeland Security and Govern-
mental Affairs of the Senate;
(E) the Committee on Appropriations of the House
of Representatives;
(F) the Committee on Homeland Security of the House
of Representatives;
(G) the Committee on Transportation and Infrastruc-
ture of the House of Representatives;
(H) the Committee on Ways and Means of the House
of Representatives; and
(I) other congressional committees, as appropriate.
(2) COMMERCIAL OPERATIONS ADVISORY COMMITTEE.—The
term ‘‘Commercial Operations Advisory Committee’’ means the
Advisory Committee established pursuant to section 9503(c)
of the Omnibus Budget Reconciliation Act of 1987 (19 U.S.C.
2071 note) or any successor committee.
(3) COMMERCIAL SEAPORT PERSONNEL.—The term ‘‘commer-
cial seaport personnel’’ includes any person engaged in an
activity relating to the loading or unloading of cargo or pas-
sengers, the movement or tracking of cargo, the maintenance
and repair of intermodal equipment, the operation of cargo-
related equipment (whether or not integral to the vessel), and
the handling of mooring lines on the dock when a vessel is
made fast or let go in the United States.
(4) COMMISSIONER.—The term ‘‘Commissioner’’ means the
Commissioner responsible for the United States Customs and
Border Protection of the Department of Homeland Security.
(5) CONTAINER.—The term ‘‘container’’ has the meaning
given the term in the International Convention for Safe Con-
tainers, with annexes, done at Geneva, December 2, 1972 (29
UST 3707).
(6) CONTAINER
SECURITY
DEVICE.—The term ‘‘container
security device’’ means a device, or system, designed, at a
minimum, to identify positively a container, to detect and record
the unauthorized intrusion of a container, and to secure a
container against tampering throughout the supply chain. Such
a device, or system, shall have a low false alarm rate as
determined by the Secretary.
(7) DEPARTMENT.—The term ‘‘Department’’ means the
Department of Homeland Security.
6 USC 901.
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(8) EXAMINATION.—The term ‘‘examination’’ means an
inspection of cargo to detect the presence of misdeclared,
restricted, or prohibited items that utilizes nonintrusive
imaging and detection technology.
(9) INSPECTION.—The term ‘‘inspection’’ means the com-
prehensive process used by the United States Customs and
Border Protection to assess goods entering the United States
to appraise them for duty purposes, to detect the presence
of restricted or prohibited items, and to ensure compliance
with all applicable laws. The process may include screening,
conducting an examination, or conducting a search.
(10) INTERNATIONAL
SUPPLY
CHAIN.—The term ‘‘inter-
national supply chain’’ means the end-to-end process for ship-
ping goods to or from the United States beginning at the
point of origin (including manufacturer, supplier, or vendor)
through a point of distribution to the destination.
(11) RADIATION DETECTION EQUIPMENT.—The term ‘‘radi-
ation detection equipment’’ means any technology that is
capable of detecting or identifying nuclear and radiological
material or nuclear and radiological explosive devices.
(12) SCAN.—The term ‘‘scan’’ means utilizing nonintrusive
imaging equipment, radiation detection equipment, or both,
to capture data, including images of a container.
(13) SCREENING.—The term ‘‘screening’’ means a visual
or automated review of information about goods, including
manifest or entry documentation accompanying a shipment
being imported into the United States, to determine the pres-
ence of misdeclared, restricted, or prohibited items and assess
the level of threat posed by such cargo.
(14) SEARCH.—The term ‘‘search’’ means an intrusive exam-
ination in which a container is opened and its contents are
devanned 
and 
visually 
inspected 
for 
the 
presence 
of
misdeclared, restricted, or prohibited items.
(15) SECRETARY.—The term ‘‘Secretary’’ means the Sec-
retary of Homeland Security.
(16) TRANSPORTATION
DISRUPTION.—The term ‘‘transpor-
tation disruption’’ means any significant delay, interruption,
or stoppage in the flow of trade caused by a natural disaster,
heightened threat level, an act of terrorism, or any transpor-
tation security incident (as defined in section 70101(6) of title
46, United States Code).
(17) TRANSPORTATION
SECURITY
INCIDENT.—The term
‘‘transportation security incident’’ has the meaning given the
term in section 70101(6) of title 46, United States Code.
TITLE I—SECURITY OF UNITED STATES
SEAPORTS
Subtitle A—General Provisions
SEC. 101. AREA MARITIME TRANSPORTATION SECURITY PLAN TO
INCLUDE SALVAGE RESPONSE PLAN.
Section 70103(b)(2) of title 46, United States Code, is
amended—
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PUBLIC LAW 109–347—OCT. 13, 2006
(1) in subparagraph (E), by striking ‘‘and’’ after the semi-
colon;
(2) by redesignating subparagraph (F) as subparagraph
(G); and
(3) by inserting after subparagraph (E) the following:
‘‘(F) include a salvage response plan—
‘‘(i) to identify salvage equipment capable of restoring
operational trade capacity; and
‘‘(ii) to ensure that the waterways are cleared and
the flow of commerce through United States ports is
reestablished as efficiently and quickly as possible after
a maritime transportation security incident; and’’.
SEC. 102. REQUIREMENTS RELATING TO MARITIME FACILITY SECU-
RITY PLANS.
Section 70103(c) of title 46, United States Code, is amended—
(1) in paragraph (3)—
(A) in subparagraph (C)(ii), by striking ‘‘facility’’ and
inserting ‘‘facility, including access by persons engaged in
the surface transportation of intermodal containers in or
out of a port facility’’;
(B) in subparagraph (F), by striking ‘‘and’’ at the end;
(C) in subparagraph (G), by striking the period at
the end and inserting ‘‘; and’’; and
(D) by adding at the end the following:
‘‘(H) in the case of a security plan for a facility, be resub-
mitted for approval of each change in the ownership or operator
of the facility that may substantially affect the security of
the facility.’’; and
(2) by adding at the end the following:
‘‘(8)(A) The Secretary shall require that the qualified individual
having full authority to implement security actions for a facility
described in paragraph (2) shall be a citizen of the United States.
‘‘(B) The Secretary may waive the requirement of subparagraph
(A) with respect to an individual if the Secretary determines that
it is appropriate to do so based on a complete background check
of the individual and a review of all terrorist watch lists to ensure
that the individual is not identified on any such terrorist watch
list.’’.
SEC. 103. UNANNOUNCED INSPECTIONS OF MARITIME FACILITIES.
Section 70103(c)(4)(D) of title 46, United States Code, is
amended to read as follows:
‘‘(D) subject to the availability of appropriations, verify
the effectiveness of each such facility security plan periodically,
but not less than 2 times per year, at least 1 of which shall
be an inspection of the facility that is conducted without notice
to the facility.’’.
SEC. 104. TRANSPORTATION SECURITY CARD.
(a) IN GENERAL.—Section 70105 of title 46, United States Code,
is amended by adding at the end the following:
‘‘(g) APPLICATIONS FOR MERCHANT MARINERS’ DOCUMENTS.—
The Assistant Secretary of Homeland Security for the Transpor-
tation Security Administration and the Commandant of the Coast
Guard shall concurrently process an application from an individual
for merchant mariner’s documents under chapter 73 of title 46,
Citizenship.
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120 STAT. 1889
PUBLIC LAW 109–347—OCT. 13, 2006
United States Code, and an application from that individual for
a transportation security card under this section.
‘‘(h) FEES.—The Secretary shall ensure that the fees charged
each individual applying for a transportation security card under
this section who has passed a background check under section
5103a(d) of title 49, United States Code, and who has a current
hazardous materials endorsement in accordance with section 1572
of title 49, Code of Federal Regulations, and each individual with
a current merchant mariners’ document who has passed a criminal
background check under section 7302(d)—
‘‘(1) are for costs associated with the issuance, production,
and management of the transportation security card, as deter-
mined by the Secretary; and
‘‘(2) do not include costs associated with performing a back-
ground check for that individual, except for any incremental
costs in the event that the scope of such background checks
diverge.
‘‘(i) 
IMPLEMENTATION
SCHEDULE.—In 
implementing 
the
transportation security card program under this section, the Sec-
retary shall—
‘‘(1) establish a priority for each United States port based
on risk, including vulnerabilities assessed under section 70102;
and
‘‘(2) implement the program, based upon such risk and
other factors as determined by the Secretary, at all facilities
regulated under this chapter at—
‘‘(A) the 10 United States ports that the Secretary
designates top priority not later than July 1, 2007;
‘‘(B) the 40 United States ports that are next in order
of priority to the ports described in subparagraph (A) not
later than January 1, 2008; and
‘‘(C) all other United States ports not later than
January 1, 2009.
‘‘(j) TRANSPORTATION SECURITY CARD PROCESSING DEADLINE.—
Not later than January 1, 2009, the Secretary shall process and
issue or deny each application for a transportation security card
under this section for individuals with current and valid merchant
mariners’ documents on the date of the enactment of the SAFE
Port Act.
‘‘(k) 
DEPLOYMENT
OF
TRANSPORTATION
SECURITY
CARD
READERS.—
‘‘(1) PILOT PROGRAM.—
‘‘(A) IN GENERAL.—The Secretary shall conduct a pilot
program to test the business processes, technology, and
operational impacts required to deploy transportation secu-
rity card readers at secure areas of the marine transpor-
tation system.
‘‘(B) GEOGRAPHIC LOCATIONS.—The pilot program shall
take place at not fewer than 5 distinct geographic locations,
to include vessels and facilities in a variety of environ-
mental settings.
‘‘(C) COMMENCEMENT.—The pilot program shall com-
mence not later than 180 days after the date of the enact-
ment of the SAFE Port Act.
‘‘(2) 
CORRELATION
WITH
TRANSPORTATION
SECURITY
CARDS.—
Deadlines.
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PUBLIC LAW 109–347—OCT. 13, 2006
‘‘(A) IN GENERAL.—The pilot program described in para-
graph (1) shall be conducted concurrently with the issuance
of the transportation security cards described in subsection
(b) to ensure card and card reader interoperability.
‘‘(B) FEE.—An individual charged a fee for a transpor-
tation security card issued under this section may not
be charged an additional fee if the Secretary determines
different transportation security cards are needed based
on the results of the pilot program described in paragraph
(1) or for other reasons related to the technology require-
ments for the transportation security card program.
‘‘(3) REGULATIONS.—Not later than 2 years after the
commencement of the pilot program under paragraph (1)(C),
the Secretary, after a notice and comment period that includes
at least 1 public hearing, shall promulgate final regulations
that require the deployment of transportation security card
readers that are consistent with the findings of the pilot pro-
gram and build upon the regulations prescribed under sub-
section (a).
‘‘(4) REPORT.—Not later than 120 days before the promulga-
tion of regulations under paragraph (3), the Secretary shall
submit a comprehensive report to the appropriate congressional
committees (as defined in section 2(1) of SAFE Port Act) that
includes—
‘‘(A) the findings of the pilot program with respect
to technical and operational impacts of implementing a
transportation security card reader system;
‘‘(B) any actions that may be necessary to ensure that
all vessels and facilities to which this section applies are
able to comply with such regulations; and
‘‘(C) an analysis of the viability of equipment under
the extreme weather conditions of the marine environment.
‘‘(l) PROGRESS REPORTS.—Not later than 6 months after the
date of the enactment of the SAFE Port Act, and every 6 months
thereafter until the requirements under this section are fully imple-
mented, the Secretary shall submit a report on progress being
made in implementing such requirements to the appropriate
congressional committees (as defined in section 2(1) of the SAFE
Port Act).
‘‘(m) LIMITATION.—The Secretary may not require the place-
ment of an electronic reader for transportation security cards on
a vessel unless—
‘‘(1) the vessel has more individuals on the crew that are
required to have a transportation security card than the number
the Secretary determines, by regulation issued under subsection
(k)(3), warrants such a reader; or
‘‘(2) the Secretary determines that the vessel is at risk
of a severe transportation security incident.’’.
(b) CLARIFICATION OF ELIGIBILITY FOR TRANSPORTATION SECU-
RITY CARDS.—Section 70105 of title 46, United States Code, is
amended—
(1) in subsection (b)(2)—
(A) in subparagraph (E), by striking ‘‘and’’ at the end;
(B) in subparagraph (F), by striking the period at the
end and inserting ‘‘; and’’; and
(C) by adding at the end the following:
Deadline.
Notice.
Public comment.
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PUBLIC LAW 109–347—OCT. 13, 2006
‘‘(G) other individuals as determined appropriate by
the Secretary including individuals employed at a port
not otherwise covered by this subsection.’’; and
(2) in subsection (c)(2), by inserting ‘‘subparagraph (A),
(B), or (D)’’ before ‘‘paragraph (1)’’.
(c) DEADLINE FOR SECTION 70105 REGULATIONS.—Not later than
January 1, 2007, the Secretary shall promulgate final regulations
implementing the requirements for issuing transportation security
cards under section 70105 of title 46, United States Code. The
regulations shall include a background check process to enable
newly hired workers to begin working unless the Secretary makes
an initial determination that the worker poses a security risk.
Such process shall include a check against the consolidated and
integrated terrorist watch list maintained by the Federal Govern-
ment.
SEC. 105. STUDY TO IDENTIFY REDUNDANT BACKGROUND RECORDS
CHECKS.
(a) STUDY.—The Comptroller General of the United States shall
conduct a study of background records checks carried out for the
Department that are similar to the background records check
required under section 5103a of title 49, United States Code, to
identify redundancies and inefficiencies in connection with such
checks.
(b) REPORT.—Not later than 6 months after the date of the
enactment of this Act, the Comptroller General of the United States
shall submit a report to Congress on the results of the study,
including—
(1) an identification of redundancies and inefficiencies
referred to in subsection (a); and
(2) recommendations for eliminating such redundancies and
inefficiencies.
SEC. 106. PROHIBITION OF ISSUANCE OF TRANSPORTATION SECURITY
CARDS TO PERSONS CONVICTED OF CERTAIN FELONIES.
The Secretary, in issuing a final rule pursuant to section 70105
of title 46, United States Code, shall provide for the disqualification
of individuals who have been found guilty or have been found
not guilty by reason of insanity of a felony, involving—
(1) treason, or conspiracy to commit treason;
(2) espionage, or conspiracy to commit espionage;
(3) sedition, or conspiracy to commit sedition; or
(4) a crime listed in chapter 113B of title 18, United States
Code, a comparable State law, or conspiracy to commit such
crime.
SEC. 107. LONG-RANGE VESSEL TRACKING.
(a) REGULATIONS.—Section 70115 of title 46, United States
Code, is amended in the first sentence by striking ‘‘The Secretary’’
and inserting ‘‘Not later than April 1, 2007, the Secretary’’.
(b) VOLUNTARY PROGRAM.—The Secretary may issue regulations
to establish a voluntary long-range automated vessel tracking
system for vessels described in section 70115 of title 46, United
States Code, during the period before regulations are issued under
such section.
46 USC 70105
note.
46 USC 70105
note.
46 USC 70105
note.
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PUBLIC LAW 109–347—OCT. 13, 2006
SEC. 108. ESTABLISHMENT OF INTERAGENCY OPERATIONAL CENTERS
FOR PORT SECURITY.
(a) IN GENERAL.—Chapter 701 of title 46, United States Code,
is amended by inserting after section 70107 the following:
‘‘§ 70107A. Interagency operational centers for port security
‘‘(a) IN GENERAL.—The Secretary shall establish interagency
operational centers for port security at all high-priority ports not
later than 3 years after the date of the enactment of the SAFE
Port Act.
‘‘(b) CHARACTERISTICS.—The interagency operational centers
established under this section shall—
‘‘(1) utilize, as appropriate, the compositional and oper-
ational characteristics of existing centers, including—
‘‘(A) the pilot project interagency operational centers
for port security in Miami, Florida; Norfolk/Hampton
Roads, Virginia; Charleston, South Carolina; and San
Diego, California; and
‘‘(B) the virtual operation center of the Port of New
York and New Jersey;
‘‘(2) be organized to fit the security needs, requirements,
and resources of the individual port area at which each is
operating;
‘‘(3) in addition to the Coast Guard, provide, as the Sec-
retary determines appropriate, for participation by representa-
tives of the United States Customs and Border Protection,
the United States Immigration and Customs Enforcement, the
Transportation Security Administration, the Department of
Justice, the Department of Defense, and other Federal agencies,
State and local law enforcement or port security personnel,
members of the Area Maritime Security Committee, and other
public and private sector stakeholders adversely affected by
a transportation security incident or transportation disruption;
and
‘‘(4) be incorporated in the implementation and administra-
tion of—
‘‘(A) maritime transportation security plans developed
under section 70103;
‘‘(B) maritime intelligence activities under section
70113 and information sharing activities consistent with
section 1016 of the National Security Intelligence Reform
Act of 2004 (6 U.S.C. 485) and the Homeland Security
Information Sharing Act (6 U.S.C. 481 et seq.);
‘‘(C) short- and long-range vessel tracking under sec-
tions 70114 and 70115;
‘‘(D) protocols under section 201(b)(10) of the SAFE
Port Act;
‘‘(E) the transportation security incident response plans
required by section 70104; and
‘‘(F) other activities, as determined by the Secretary.
‘‘(c) SECURITY CLEARANCES.—The Secretary shall sponsor and
expedite individuals participating in interagency operational centers
in gaining or maintaining their security clearances. Through the
Captain of the Port, the Secretary may identify key individuals
who should participate. The port or other entities may appeal
to the Captain of the Port for sponsorship.
Deadline.
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PUBLIC LAW 109–347—OCT. 13, 2006
‘‘(d) SECURITY INCIDENTS.—During a transportation security
incident on or adjacent to waters subject to the jurisdiction of
the United States, the Coast Guard Captain of the Port designated
by the Commandant of the Coast Guard in a maritime security
command center described in subsection (a) shall act as the incident
commander, unless otherwise directed by the President.
‘‘(e) RULE OF CONSTRUCTION.—Nothing in this section shall
be construed to affect the normal command and control procedures
for operational entities in the Department, unless so directed by
the Secretary.
‘‘(f) AUTHORIZATION OF APPROPRIATIONS.—There are authorized
to be appropriated $60,000,000 for each of the fiscal years 2007
through 2012 to carry out this section.’’.
(b) REPORT REQUIREMENT.—Nothing in this section or the
amendments made by this section relieves the Commandant of
the Coast Guard from complying with the requirements of section
807 of the Coast Guard and Maritime Transportation Act of 2004
(Public Law 108–293; 118 Stat. 1082). The Commandant shall uti-
lize the information developed in making the report required by
that section in carrying out the requirements of this section.
(c) BUDGET AND COST-SHARING ANALYSIS.—Not later than 180
days after the date of the enactment of this Act, the Secretary
of the department in which the Coast Guard is operating shall
submit to the appropriate congressional committees a proposed
budget analysis for implementing section 70107A of title 46, United
States Code, as added by subsection (a), including cost-sharing
arrangements with other Federal departments and agencies
involved in the interagency operation of the centers to be established
under such section.
(d) CLERICAL AMENDMENT.—The chapter analysis for chapter
701 of title 46, United States Code, is amended by inserting after
the item relating to section 70107 the following:
‘‘70107A. Interagency operational centers for port security’’.
SEC. 109. NOTICE OF ARRIVAL FOR FOREIGN VESSELS ON THE OUTER
CONTINENTAL SHELF.
(a) NOTICE OF ARRIVAL.—Not later than 180 days after the
date of the enactment of this Act, the Secretary of the department
in which the Coast Guard is operating shall update and finalize
the rulemaking on notice of arrival for foreign vessels on the Outer
Continental Shelf.
(b) CONTENT OF REGULATIONS.—The regulations promulgated
pursuant to subsection (a) shall be consistent with information
required under the Notice of Arrival under section 160.206 of title
33, Code of Federal Regulations, as in effect on the date of the
enactment of this Act.
SEC. 110. ENHANCED CREWMEMBER IDENTIFICATION.
Section 70111 of title 46, United States Code, is amended—
(1) in subsection (a) by striking ‘‘The’’ and inserting ‘‘Not
later than 1 year after the date of enactment of the SAFE
Port Act, the’’; and
(2) in subsection (b) by striking ‘‘The’’ and inserting ‘‘Not
later than 1 year after the date of enactment of the SAFE
Port Act, the’’.
Deadline.
Regulations.
33 USC 1223
note.
Deadline.
46 USC 70107A
note.
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Subtitle B—Port Security Grants; Training
and Exercise Programs
SEC. 111. RISK ASSESSMENT TOOL.
In updating Area Maritime Security Plans required under sec-
tion 70103(b)(2)(F) of title 46, United States Code, and in applying
for grants under section 70107 of such title, the Secretary of the
Department in which the Coast Guard is operating shall make
available, and Area Maritime Security Committees may use a risk
assessment tool that uses standardized risk criteria, such as the
Maritime Security Risk Assessment Tool used by the Coast Guard.
SEC. 112. PORT SECURITY GRANTS.
(a) BASIS FOR GRANTS.—Section 70107(a) of title 46, United
States Code, is amended by striking ‘‘for making a fair and equitable
allocation of funds’’ and inserting ‘‘for the allocation of funds based
on risk’’.
(b) ELIGIBLE USES.—Section 70107(b) of title 46, United States
Code, is amended—
(1) in paragraph (2), by inserting after ‘‘crewmembers.’’
the following: ‘‘Grants awarded under this section may not
be used to construct buildings or other physical facilities, except
those which are constructed under terms and conditions con-
sistent with the requirements under section 611(j)(8) of the
Robert T. Stafford Disaster Relief and Emergency Assistance
Act (42 U.S.C. 5121(j)(8)), including those facilities in support
of this paragraph, and specifically approved by the Secretary.
Costs eligible for funding under this paragraph may not exceed
the greater of—
‘‘(A) $1,000,000 per project; or
‘‘(B) such greater amount as may be approved by the
Secretary, which may not exceed 10 percent of the total
amount of the grant.’’; and
(2) by adding at the end the following:
‘‘(5) The cost of conducting exercises or training for preven-
tion and detection of, preparedness for, response to, or recovery
from terrorist attacks.
‘‘(6) The cost of establishing or enhancing mechanisms for
sharing terrorism threat information and ensuring that the
mechanisms are interoperable with Federal, State, and local
agencies.
‘‘(7) The cost of equipment (including software) required
to receive, transmit, handle, and store classified information.’’.
(c) MULTIPLE-YEAR PROJECTS, ETC.—Section 70107 of title 46,
United States Code, is amended—
(1) by redesignating subsections (e), (f), (g), (h), and (i)
as subsections (i), (j), (k), (l), and (m), respectively, and by
inserting after subsection (d) the following:
‘‘(e) MULTIPLE-YEAR PROJECTS.—
‘‘(1) LETTERS OF INTENT.—The Secretary may execute let-
ters of intent to commit funding to such authorities, operators,
and agencies.
‘‘(2) LIMITATION.—Not more than 20 percent of the grant
funds awarded under this subsection in any fiscal year may
be awarded for projects that span multiple years.
46 USC 70103
note.
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‘‘(f) CONSISTENCY WITH PLANS.—The Secretary shall ensure
that each grant awarded under subsection (e)—
‘‘(1) is used to supplement and support, in a consistent
and coordinated manner, the applicable Area Maritime
Transportation Security Plan; and
‘‘(2) is coordinated with any applicable State or Urban
Area Homeland Security Plan.
‘‘(g) APPLICATIONS.—Any entity subject to an Area Maritime
Transportation Security Plan may submit an application for a grant
under this section, at such time, in such form, and containing
such information and assurances as the Secretary may require.
‘‘(h) REPORTS.—Not later than 180 days after the date of the
enactment of the SAFE Port Act, the Secretary, acting through
the Commandant of the Coast Guard, shall submit a report to
Congress, in a secure format, describing the methodology used
to allocate port security grant funds on the basis of risk.’’; and
(2) in subsection (i)(1), as redesignated, by striking ‘‘pro-
gram’’ and inserting ‘‘Secretary’’.
(d) AUTHORIZATION
OF APPROPRIATIONS.—Section 70107(l) of
title 46, United States Code, as redesignated, is amended to read
as follows:
‘‘(l) AUTHORIZATION OF APPROPRIATIONS.—There are authorized
to be appropriated $400,000,000 for each of the fiscal years 2007
through 2011 to carry out this section.’’.
(e) BASIS FOR GRANTS.—Section 70107(a) of title 46, United
States Code, is amended by striking ‘‘national economic and stra-
tegic defense concerns’’ and inserting ‘‘national economic, energy,
and strategic defense concerns based upon the most current risk
assessments available’’.
SEC. 113. PORT SECURITY TRAINING PROGRAM.
(a) IN GENERAL.—The Secretary, acting through the Under
Secretary for Preparedness and in coordination with the Com-
mandant of the Coast Guard, shall establish a Port Security
Training Program (referred to in this section as the ‘‘Training
Program’’) for the purpose of enhancing the capabilities of each
facility required to submit a plan under section 70103(c) of title
46, United States Code, to prevent, prepare for, respond to, mitigate
against, and recover from threatened or actual acts of terrorism,
natural disasters, and other emergencies.
(b) REQUIREMENTS.—The Training Program shall provide vali-
dated training that—
(1) reaches multiple disciplines, including Federal, State,
and local government officials, commercial seaport personnel
and management, and governmental and nongovernmental
emergency response providers;
(2) provides training at the awareness, performance, and
management and planning levels;
(3) utilizes multiple training mediums and methods;
(4) addresses port security topics, including—
(A) facility security plans and procedures, including
how security plans and procedures are adjusted when
threat levels increase;
(B) facility security force operations and management;
(C) physical security and access control at facilities;
(D) methods of security for preventing and countering
cargo theft;
6 USC 911.
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(E) container security;
(F) recognition and detection of weapons, dangerous
substances, and devices;
(G) operation and maintenance of security equipment
and systems;
(H) security threats and patterns;
(I) security incident procedures, including procedures
for communicating with governmental and nongovern-
mental emergency response providers; and
(J) evacuation procedures;
(5) is consistent with, and supports implementation of,
the National Incident Management System, the National
Response Plan, the National Infrastructure Protection Plan,
the National Preparedness Guidance, the National Prepared-
ness Goal, the National Maritime Transportation Security Plan,
and other such national initiatives;
(6) is evaluated against clear and consistent performance
measures;
(7) addresses security requirements under facility security
plans; and
(8) educates, trains, and involves individuals in neighbor-
hoods around facilities required to submit a plan under section
70103(c) of title 46, United States Code, on how to observe
and report security risks.
(c) VESSEL AND FACILITY SECURITY PLANS.—Section 70103(c)(3)
of title 46, United States Code, is amended—
(1) by redesignating subparagraphs (F), (G), and (H) (as
added by section 102(1)(D)) as subparagraphs (G), (H), and
(I), respectively; and
(2) by inserting after subparagraph (E) the following:
‘‘(F) provide a strategy and timeline for conducting training
and periodic unannounced drills;’’.
(d) CONSULTATION.—The Secretary shall ensure that, in car-
rying out the Program, the Office of Grants and Training shall
consult with commercial seaport personnel and management.
(e) TRAINING PARTNERS.—In developing and delivering training
under the Training Program, the Secretary, in coordination with
the Maritime Administration of the Department of Transportation,
and consistent with section 109 of the Maritime Transportation
Security Act of 2002 (46 U.S.C. 70101 note), shall—
(1) work with government training facilities, academic
institutions, private organizations, employee organizations, and
other entities that provide specialized, state-of-the-art training
for governmental and nongovernmental emergency responder
providers or commercial seaport personnel and management;
and
(2) utilize, as appropriate, government training facilities,
courses provided by community colleges, public safety acad-
emies, State and private universities, and other facilities.
SEC. 114. PORT SECURITY EXERCISE PROGRAM.
(a) IN GENERAL.—The Secretary, acting through the Under
Secretary for Preparedness and in coordination with the Com-
mandant of the Coast Guard, shall establish a Port Security Exer-
cise Program (referred to in this section as the ‘‘Exercise Program’’)
for the purpose of testing and evaluating the capabilities of Federal,
State, local, and foreign governments, commercial seaport personnel
6 USC 912.
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and management, governmental and nongovernmental emergency
response providers, the private sector, or any other organization
or entity, as the Secretary determines to be appropriate, to prevent,
prepare for, mitigate against, respond to, and recover from acts
of terrorism, natural disasters, and other emergencies at facilities
required to submit a plan under section 70103(c) of title 46, United
States Code.
(b) REQUIREMENTS.—The Secretary shall ensure that the Exer-
cise Program—
(1) conducts, on a periodic basis, port security exercises
at such facilities that are—
(A) scaled and tailored to the needs of each facility;
(B) live, in the case of the most at-risk facilities;
(C) as realistic as practicable and based on current
risk 
assessments, 
including 
credible 
threats,
vulnerabilities, and consequences;
(D) consistent with the National Incident Management
System, the National Response Plan, the National Infra-
structure Protection Plan, the National Preparedness Guid-
ance, the National Preparedness Goal, the National Mari-
time Transportation Security Plan, and other such national
initiatives;
(E) evaluated against clear and consistent performance
measures;
(F) assessed to learn best practices, which shall be
shared with appropriate Federal, State, and local officials,
commercial seaport personnel and management, govern-
mental and nongovernmental emergency response pro-
viders, and the private sector; and
(G) followed by remedial action in response to lessons
learned; and
(2) assists State and local governments and facilities in
designing, implementing, and evaluating exercises that—
(A) conform to the requirements of paragraph (1); and
(B) are consistent with any applicable Area Maritime
Transportation Security Plan and State or Urban Area
Homeland Security Plan.
(c) IMPROVEMENT PLAN.—The Secretary shall establish a port
security exercise improvement plan process to—
(1) identify and analyze each port security exercise for
lessons learned and best practices;
(2) disseminate lessons learned and best practices to
participants in the Exercise Program;
(3) monitor the implementation of lessons learned and best
practices by participants in the Exercise Program; and
(4) conduct remedial action tracking and long-term trend
analysis.
SEC. 115. FACILITY EXERCISE REQUIREMENTS.
The Secretary of the Department in which the Coast Guard
is operating shall require each high risk facility to conduct live
or full-scale exercises described in section 105.220(c) of title 33,
Code of Federal Regulations, not less frequently than once every
2 years, in accordance with the facility security plan required under
section 70103(c) of title 46, United States Code.
6 USC 913.
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PUBLIC LAW 109–347—OCT. 13, 2006
Subtitle C—Port Operations
SEC. 121. DOMESTIC RADIATION DETECTION AND IMAGING.
(a) SCANNING CONTAINERS.—Subject to section 1318 of title
19, United States Code, not later than December 31, 2007, all
containers entering the United States through the 22 ports through
which the greatest volume of containers enter the United States
by vessel shall be scanned for radiation. To the extent practicable,
the Secretary shall deploy next generation radiation detection tech-
nology.
(b) STRATEGY.—The Secretary shall develop a strategy for the
deployment of radiation detection capabilities that includes—
(1) a risk-based prioritization of ports of entry at which
radiation detection equipment will be deployed;
(2) a proposed timeline of when radiation detection equip-
ment will be deployed at each port of entry identified under
paragraph (1);
(3) the type of equipment to be used at each port of entry
identified under paragraph (1), including the joint deployment
and utilization of radiation detection equipment and nonintru-
sive imaging equipment;
(4) standard operating procedures for examining containers
with such equipment, including sensor alarming, networking,
and communications and response protocols;
(5) operator training plans;
(6) an evaluation of the environmental health and safety
impacts of nonintrusive imaging technology and a radiation
risk reduction plan, in consultation with the Nuclear Regulatory
Commission, the Occupational Safety and Health Administra-
tion, and the National Institute for Occupational Safety and
Health, that seeks to minimize radiation exposure of workers
and the public to levels as low as reasonably achievable;
(7) the policy of the Department for using nonintrusive
imaging equipment in tandem with radiation detection equip-
ment; and
(8) a classified annex that—
(A) details plans for covert testing; and
(B) outlines the risk-based prioritization of ports of
entry identified under paragraph (1).
(c) REPORT.—Not later than 90 days after the date of the
enactment of this Act, the Secretary shall submit the strategy
developed under subsection (b) to the appropriate congressional
committees.
(d) UPDATE.—Not later than 180 days after the date of the
submission of the report under subsection (c), the Secretary shall
provide a more complete evaluation under subsection (b)(6).
(e) OTHER WEAPONS
OF MASS DESTRUCTION THREATS.—Not
later than 180 days after the date of the enactment of this Act,
the Secretary shall submit to the appropriate congressional commit-
tees a report on the feasibility of, and a strategy for, the develop-
ment of equipment to detect and prevent shielded nuclear and
radiological threat material and chemical, biological, and other
weapons of mass destruction from entering the United States.
(f) STANDARDS.—The Secretary, acting through the Director
for Domestic Nuclear Detection and in collaboration with the
Publication.
Deadline.
Reports.
Deadline.
Deadline.
6 USC 921.
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National Institute of Standards and Technology, shall publish tech-
nical capability standards and recommended standard operating
procedures for the use of nonintrusive imaging and radiation detec-
tion equipment in the United States. Such standards and
procedures—
(1) should take into account relevant standards and proce-
dures utilized by other Federal departments or agencies as
well as those developed by international bodies; and
(2) shall not be designed so as to endorse specific companies
or create sovereignty conflicts with participating countries.
(g) IMPLEMENTATION.—Not later than 3 years after the date
of the enactment of this Act, the Secretary shall fully implement
the strategy developed under subsection (b).
(h) EXPANSION TO OTHER UNITED STATES PORTS OF ENTRY.—
(1) IN GENERAL.—As soon as practicable after—
(A) implementation of the program for the examination
of containers for radiation at ports of entry described in
subsection (a); and
(B) submission of the strategy developed under sub-
section (b) (and updating, if any, of that strategy under
subsection (c)),
but not later than December 31, 2008, the Secretary shall
expand the strategy developed under subsection (b), in a
manner consistent with the requirements of subsection (b),
to provide for the deployment of radiation detection capabilities
at all other United States ports of entry not covered by the
strategy developed under subsection (b).
(2) RISK ASSESSMENT.—In expanding the strategy under
paragraph (1), the Secretary shall identify and assess the risks
to those other ports of entry in order to determine what equip-
ment and practices will best mitigate the risks.
(i) INTERMODAL RAIL RADIATION DETECTION TEST CENTER.—
(1) ESTABLISHMENT.—In accordance with subsection (b),
and in order to comply with this section, the Secretary shall
establish an Intermodal Rail Radiation Detection Test Center
(referred to in this subsection as the ‘‘Test Center’’).
(2) PROJECTS.—The Secretary shall conduct multiple,
concurrent projects at the Test Center to rapidly identify and
test concepts specific to the challenges posed by on-dock rail.
(3) LOCATION.—The Test Center shall be located within
a public port facility at which a majority of the containerized
cargo is directly laden from (or unladen to) on-dock, intermodal
rail.
SEC. 122. INSPECTION OF CAR FERRIES ENTERING FROM ABROAD.
Not later than 120 days after the date of the enactment of
this Act, the Secretary, acting through the Commissioner, and in
coordination with the Secretary of State and in cooperation with
ferry operators and appropriate foreign government officials, shall
seek to develop a plan for the inspection of passengers and vehicles
before such passengers board, or such vehicles are loaded onto,
a ferry bound for a United States facility required to submit a
plan under section 70103(c) of title 46, United States Code.
SEC. 123. RANDOM SEARCHES OF CONTAINERS.
Not later than 1 year after the date of the enactment of this
Act, the Secretary, acting through the Commissioner, shall develop
and implement a plan, utilizing best practices for empirical scientific
Deadline.
6 USC 923.
Deadline.
6 USC 922.
Deadline.
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research design and random sampling, to conduct random searches
of containers in addition to any targeted or preshipment inspection
of such containers required by law or regulation or conducted under
any other program conducted by the Secretary. Nothing in this
section shall be construed to mean that implementation of the
random sampling plan precludes additional searches of containers
not inspected pursuant to the plan.
SEC. 124. WORK STOPPAGES AND EMPLOYEE-EMPLOYER DISPUTES.
Section 70101(6) of title 46, United States Code, is amended
by adding at the end the following: ‘‘In this paragraph, the term
‘economic disruption’ does not include a work stoppage or other
employee-related action not related to terrorism and resulting from
an employee-employer dispute.’’.
SEC. 125. THREAT ASSESSMENT SCREENING OF PORT TRUCK DRIVERS.
Not later than 90 days after the date of the enactment of
this Act, the Secretary shall implement a threat assessment
screening, including name-based checks against terrorist watch lists
and immigration status check, for all port truck drivers with access
to secure areas of a port who have a commercial driver’s license
but do not have a current and valid hazardous materials endorse-
ment issued in accordance with section 1572 of title 49, Code
of Federal Regulations, that is the same as the threat assessment
screening required for facility employees and longshoremen by the
Commandant of the Coast Guard under Coast Guard Notice USCG–
2006–24189 (Federal Register, Vol. 71, No. 82, Friday, April 28,
2006).
SEC. 126. BORDER PATROL UNIT FOR UNITED STATES VIRGIN ISLANDS.
(a) IN GENERAL.—The Secretary may establish at least 1 Border
Patrol unit for the United States Virgin Islands.
(b) REPORT.—Not later than 180 days after the date of the
enactment of this Act, the Secretary shall submit a report to the
appropriate congressional committees that includes the schedule,
if any, for carrying out subsection (a).
SEC. 127. REPORT ON ARRIVAL AND DEPARTURE MANIFESTS FOR CER-
TAIN COMMERCIAL VESSELS IN THE UNITED STATES
VIRGIN ISLANDS.
Not later than 90 days after the date of the enactment of
this Act, the Secretary shall submit to the appropriate congressional
committees a report on the impact of implementing the require-
ments of section 231 of the Immigration and Nationality Act (8
U.S.C. 1221) (relating to providing United States border officers
with arrival and departure manifests) with respect to commercial
vessels that are fewer than 300 gross tons and operate exclusively
between the territorial waters of the United States Virgin Islands
and the territorial waters of the British Virgin Islands.
SEC. 128. CENTER OF EXCELLENCE FOR MARITIME DOMAIN AWARE-
NESS.
(a) ESTABLISHMENT.—The Secretary shall establish a univer-
sity-based Center for Excellence for Maritime Domain Awareness
following the merit-review processes and procedures that have been
established by the Secretary for selecting university program cen-
ters of excellence.
6 USC 926.
6 USC 925.
Deadline.
6 USC 924.
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(b) DUTIES.—The Center established under subsection (a)
shall—
(1) prioritize its activities based on the ‘‘National Plan
To Improve Maritime Domain Awareness’’ published by the
Department in October 2005;
(2) recognize the extensive previous and ongoing work and
existing competence in the field of maritime domain awareness
at numerous academic and research institutions, such as the
Naval Postgraduate School;
(3) leverage existing knowledge and continue development
of a broad base of expertise within academia and industry
in maritime domain awareness; and
(4) provide educational, technical, and analytical assistance
to Federal agencies with responsibilities for maritime domain
awareness, including the Coast Guard, to focus on the need
for interoperability, information sharing, and common informa-
tion technology standards and architecture.
TITLE II—SECURITY OF THE
INTERNATIONAL SUPPLY CHAIN
Subtitle A—General Provisions
SEC. 201. STRATEGIC PLAN TO ENHANCE THE SECURITY OF THE
INTERNATIONAL SUPPLY CHAIN.
(a) STRATEGIC PLAN.—The Secretary, in consultation with
appropriate Federal, State, local, and tribal government agencies
and private sector stakeholders responsible for security matters
that affect or relate to the movement of containers through the
international supply chain, shall develop, implement, and update,
as appropriate, a strategic plan to enhance the security of the
international supply chain.
(b) REQUIREMENTS.—The strategic plan required under sub-
section (a) shall—
(1) describe the roles, responsibilities, and authorities of
Federal, State, local, and tribal government agencies and pri-
vate-sector stakeholders that relate to the security of the move-
ment of containers through the international supply chain;
(2) identify and address gaps and unnecessary overlaps
in the roles, responsibilities, or authorities described in para-
graph (1);
(3) identify and make recommendations regarding legisla-
tive, regulatory, and organizational changes necessary to
improve coordination among the entities or to enhance the
security of the international supply chain;
(4) provide measurable goals, including objectives, mecha-
nisms, and a schedule, for furthering the security of commercial
operations from point of origin to point of destination;
(5) build on available resources and consider costs and
benefits;
(6) provide incentives for additional voluntary measures
to enhance cargo security, as recommended by the Commis-
sioner;
(7) consider the impact of supply chain security require-
ments on small- and medium-sized companies;
6 USC 941.
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(8) include a process for sharing intelligence and informa-
tion with private-sector stakeholders to assist in their security
efforts;
(9) identify a framework for prudent and measured
response in the event of a transportation security incident
involving the international supply chain;
(10) provide protocols for the expeditious resumption of
the flow of trade in accordance with section 202;
(11) consider the linkages between supply chain security
and security programs within other systems of movement,
including travel security and terrorism finance programs; and
(12) expand upon and relate to existing strategies and
plans, including the National Response Plan, the National Mari-
time Transportation Security Plan, the National Strategy for
Maritime Security, and the 8 supporting plans of the Strategy,
as required by Homeland Security Presidential Directive 13.
(c) CONSULTATION.—In developing protocols under subsection
(b)(10), the Secretary shall consult with Federal, State, local, and
private sector stakeholders, including the National Maritime Secu-
rity Advisory Committee and the Commercial Operations Advisory
Committee.
(d) COMMUNICATION.—To the extent practicable, the strategic
plan developed under subsection (a) shall provide for coordination
with, and lines of communication among, appropriate Federal, State,
local, and private-sector stakeholders on law enforcement actions,
intermodal rerouting plans, and other strategic infrastructure issues
resulting from a transportation security incident or transportation
disruption.
(e) UTILIZATION
OF ADVISORY COMMITTEES.—As part of the
consultations described in subsection (a), the Secretary shall, to
the extent practicable, utilize the Homeland Security Advisory Com-
mittee, the National Maritime Security Advisory Committee, and
the Commercial Operations Advisory Committee to review, as nec-
essary, the draft strategic plan and any subsequent updates to
the strategic plan.
(f) INTERNATIONAL STANDARDS AND PRACTICES.—In furtherance
of the strategic plan required under subsection (a), the Secretary
is encouraged to consider proposed or established standards and
practices of foreign governments and international organizations,
including the International Maritime Organization, the World Cus-
toms Organization, the International Labor Organization, and the
International Organization for Standardization, as appropriate, to
establish standards and best practices for the security of containers
moving through the international supply chain.
(g) REPORT.—
(1) INITIAL REPORT.—Not later than 270 days after the
date of the enactment of this Act, the Secretary shall submit
to the appropriate congressional committees a report that con-
tains the strategic plan required by subsection (a).
(2) FINAL REPORT.—Not later than 3 years after the date
on which the strategic plan is submitted under paragraph (1),
the Secretary shall submit a report to the appropriate congres-
sional committees that contains an update of the strategic
plan.
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SEC. 202. POST-INCIDENT RESUMPTION OF TRADE.
(a) IN GENERAL.—The Secretary shall develop and update, as
necessary, protocols for the resumption of trade in accordance with
section 201(b)(10) in the event of a transportation disruption or
a transportation security incident. The protocols shall include—
(1) the identification of the appropriate initial incident
commander, if the Commandant of the Coast Guard is not
the appropriate person, and lead departments, agencies, or
offices to execute such protocols;
(2) a plan to redeploy resources and personnel, as nec-
essary, to reestablish the flow of trade;
(3) a plan to provide training for the periodic instruction
of personnel of the United States Customs and Border Protec-
tion, the Coast Guard, and the Transportation Security
Administration in trade resumption functions and responsibil-
ities; and
(4) appropriate factors for establishing prioritization of ves-
sels and cargo determined by the President to be critical for
response and recovery, including factors relating to public
health, national security, and economic need.
(b) VESSELS.—In determining the prioritization of vessels
accessing facilities (as defined under section 70101 of title 46,
United States Code), the Commandant of the Coast Guard may,
to the extent practicable and consistent with the protocols and
plans required under this section to ensure the safe and secure
transit of vessels to ports in the United States after a transportation
security incident, give priority to a vessel—
(1) that has an approved security plan under section
70103(c) of title 46, United States Code, or a valid international
ship security certificate, as provided under part 104 of title
33, Code of Federal Regulations;
(2) that is manned by individuals who are described in
section 70105(b)(2)(B) of title 46, United States Code; and
(3) that is operated by validated participants in the Cus-
toms-Trade Partnership Against Terrorism program.
(c) CARGO.—In determining the prioritization of the resumption
of the flow of cargo and consistent with the protocols established
under this section, the Commissioner may give preference to cargo—
(1) entering a port of entry directly from a foreign seaport
designated under the Container Security Initiative;
(2) from the supply chain of a validated C–TPAT partici-
pant and other private sector entities, as appropriate; or
(3) that has undergone—
(A) a nuclear or radiological detection scan;
(B) an x-ray, density, or other imaging scan; and
(C) a system to positively identify the container at
the last port of departure prior to arrival in the United
States, which data has been evaluated and analyzed by
personnel of the United States Customs and Border Protec-
tion.
(d) COORDINATION.—The Secretary shall ensure that there is
appropriate coordination among the Commandant of the Coast
Guard, the Commissioner, and other Federal officials following a
maritime disruption or maritime transportation security incident
in order to provide for the resumption of trade.
(e) COMMUNICATION.—Consistent with section 201, the Com-
mandant of the Coast Guard, Commissioner, and other appropriate
6 USC 942.
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Federal officials, shall promptly communicate any revised proce-
dures or instructions intended for the private sector following a
maritime disruption or maritime transportation security incident.
SEC. 203. AUTOMATED TARGETING SYSTEM.
(a) IN GENERAL.—The Secretary, acting through the Commis-
sioner, shall—
(1) identify and seek the submission of data related to
the movement of a shipment of cargo through the international
supply chain; and
(2) analyze the data described in paragraph (1) to identify
high-risk cargo for inspection.
(b) REQUIREMENT.—The Secretary, acting through the Commis-
sioner, shall require the electronic transmission to the Department
of additional data elements for improved high-risk targeting,
including appropriate security elements of entry data, as determined
by the Secretary, to be provided as advanced information with
respect to cargo destined for importation into the United States
prior to loading of such cargo on vessels at foreign seaports.
(c) 
CONSIDERATION.—The 
Secretary, 
acting 
through 
the
Commissioner, shall—
(1) consider the cost, benefit, and feasibility of—
(A) requiring additional nonmanifest documentation;
(B) reducing the time period allowed by law for revi-
sions to a container cargo manifest;
(C) reducing the time period allowed by law for submis-
sion of certain elements of entry data, for vessel or cargo;
and
(D) such other actions the Secretary considers bene-
ficial for improving the information relied upon for the
Automated Targeting System and any successor targeting
system in furthering the security and integrity of the inter-
national supply chain; and
(2) consult with stakeholders, including the Commercial
Operations Advisory Committee, and identify to them the need
for such information, and the appropriate timing of its submis-
sion.
(d) REGULATIONS.—The Secretary shall promulgate regulations
to carry out this section. In promulgating such regulations, the
Secretary shall adhere to the parameters applicable to the develop-
ment of regulations under section 343(a) of the Trade Act of 2002
(19 U.S.C. 2071 note), including provisions relating to consultation,
technology, analysis, use of information, confidentiality, and timing
requirements.
(e) SYSTEM IMPROVEMENTS.—The Secretary, acting through the
Commissioner, shall—
(1) conduct, through an independent panel, a review of
the effectiveness and capabilities of the Automated Targeting
System;
(2) consider future iterations of the Automated Targeting
System, which would incorporate smart features, such as more
complex algorithms and real-time intelligence, instead of
relying solely on rule sets that are periodically updated;
(3) ensure that the Automated Targeting System has the
capability to electronically compare manifest and other avail-
able data for cargo entered into or bound for the United States
6 USC 943.
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to detect any significant anomalies between such data and
facilitate the resolution of such anomalies;
(4) ensure that the Automated Targeting System has the
capability to electronically identify, compile, and compare select
data elements for cargo entered into or bound for the United
States following a maritime transportation security incident,
in order to efficiently identify cargo for increased inspection
or expeditious release; and
(5) develop a schedule to address the recommendations
of the Comptroller General of the United States, the Inspector
General of the Department of the Treasury, and the Inspector
General of the Department with respect to the operation of
the Automated Targeting System.
(f) SECURE
TRANSMISSION
OF
CERTAIN
INFORMATION.—All
information required by the Department from supply chain partners
shall be transmitted in a secure fashion, as determined by the
Secretary, so as to protect the information from unauthorized access.
(g) AUTHORIZATION OF APPROPRIATIONS.—There are authorized
to be appropriated to the United States Customs and Border Protec-
tion to carry out the Automated Targeting System for identifying
high-risk oceanborne container cargo for inspection—
(1) $33,200,000 for fiscal year 2008;
(2) $35,700,000 for fiscal year 2009; and
(3) $37,485,000 for fiscal year 2010.
SEC. 204. CONTAINER SECURITY STANDARDS AND PROCEDURES.
(a) ESTABLISHMENT.—
(1) IN GENERAL.—Not later than 90 days after the date
of the enactment of this Act, the Secretary shall initiate a
rulemaking proceeding to establish minimum standards and
procedures for securing containers in transit to the United
States.
(2) INTERIM RULE.—Not later than 180 days after the date
of the enactment of this Act, the Secretary shall issue an
interim final rule pursuant to the proceeding described in para-
graph (1).
(3) MISSED DEADLINE.—If the Secretary is unable to meet
the deadline established pursuant to paragraph (2), the Sec-
retary shall submit a letter to the appropriate congressional
committees explaining why the Secretary is unable to meet
that deadline and describing what must be done before such
minimum standards and procedures can be established.
(4) DEADLINE FOR ENFORCEMENT.—Not later than 2 years
after the date on which the standards and procedures are
established pursuant to paragraph (1), all containers bound
for ports of entry in the United States shall meet such stand-
ards and procedures.
(b) REVIEW AND ENHANCEMENT.—The Secretary shall regularly
review and enhance the standards and procedures established
pursuant to subsection (a), as appropriate, based on tests of tech-
nologies as they become commercially available to detect container
intrusion and the highest consequence threats, particularly weapons
of mass destruction.
(c) INTERNATIONAL CARGO SECURITY STANDARDS.—The Sec-
retary, in consultation with the Secretary of State, the Secretary
of Energy, and other Federal Government officials, as appropriate,
and with the Commercial Operations Advisory Committee, the
Deadline.
Deadline.
6 USC 944.
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Homeland Security Advisory Committee, and the National Maritime
Security Advisory Committee, is encouraged to promote and estab-
lish international standards for the security of containers moving
through the international supply chain with foreign governments
and international organizations, including the International Mari-
time Organization, the International Organization for Standardiza-
tion, the International Labor Organization, and the World Customs
Organization.
(d) INTERNATIONAL TRADE AND OTHER OBLIGATIONS.—In car-
rying out this section, the Secretary shall consult with appropriate
Federal departments and agencies and private sector stakeholders
and ensure that actions under this section do not violate inter-
national trade obligations or other international obligations of the
United States.
SEC. 205. CONTAINER SECURITY INITIATIVE.
(a) ESTABLISHMENT.—The Secretary, acting through the
Commissioner, shall establish and implement a program (referred
to in this section as the ‘‘Container Security Initiative’’ or ‘‘CSI’’)
to identify and examine or search maritime containers that pose
a security risk before loading such containers in a foreign port
for shipment to the United States, either directly or through a
foreign port.
(b) ASSESSMENT.—The Secretary, acting through the Commis-
sioner, may designate foreign seaports to participate in the Con-
tainer Security Initiative after the Secretary has assessed the costs,
benefits, and other factors associated with such designation,
including—
(1) the level of risk for the potential compromise of con-
tainers by terrorists, or other threats as determined by the
Secretary;
(2) the volume of cargo being imported to the United States
directly from, or being transshipped through, the foreign sea-
port;
(3) the results of the Coast Guard assessments conducted
pursuant to section 70108 of title 46, United States Code;
(4) the commitment of the government of the country in
which the foreign seaport is located to cooperating with the
Department in sharing critical data and risk management
information and to maintain programs to ensure employee
integrity; and
(5) the potential for validation of security practices at the
foreign seaport by the Department.
(c) NOTIFICATION.—The Secretary shall notify the appropriate
congressional committees of the designation of a foreign port under
the Container Security Initiative or the revocation of such a designa-
tion before notifying the public of such designation or revocation.
(d) NEGOTIATIONS.—The Secretary, in cooperation with the Sec-
retary of State and in consultation with the United States Trade
Representative, may enter into negotiations with the government
of each foreign nation in which a seaport is designated under
the Container Security Initiative to ensure full compliance with
the requirements under the Container Security Initiative.
(e) OVERSEAS INSPECTIONS.—
(1) 
REQUIREMENTS
AND
PROCEDURES.—The 
Secretary
shall—
6 USC 945.
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(A) establish minimum technical capability criteria and
standard operating procedures for the use of nonintrusive
inspection and nuclear and radiological detection systems
in conjunction with CSI;
(B) require each port designated under CSI to operate
nonintrusive inspection and nuclear and radiological detec-
tion systems in accordance with the technical capability
criteria and standard operating procedures established
under subparagraph (A);
(C) continually monitor the technologies, processes, and
techniques used to inspect cargo at ports designated under
CSI to ensure adherence to such criteria and the use of
such procedures; and
(D) consult with the Secretary of Energy in establishing
the minimum technical capability criteria and standard
operating procedures established under subparagraph (A)
pertaining to radiation detection technologies to promote
consistency in detection systems at foreign ports designated
under CSI.
(2) CONSTRAINTS.—The criteria and procedures established
under paragraph (1)(A)—
(A) shall be consistent, as practicable, with relevant
standards and procedures utilized by other Federal depart-
ments or agencies, or developed by international bodies
if the United States consents to such standards and proce-
dures;
(B) shall not apply to activities conducted under the
Megaports Initiative of the Department of Energy; and
(C) shall not be designed to endorse the product or
technology of any specific company or to conflict with the
sovereignty of a country in which a foreign seaport des-
ignated under the Container Security Initiative is located.
(f) SAVINGS PROVISION.—The authority of the Secretary under
this section shall not affect any authority or duplicate any efforts
or responsibilities of the Federal Government with respect to the
deployment of radiation detection equipment outside of the United
States.
(g) COORDINATION.—The Secretary shall—
(1) coordinate with the Secretary of Energy, as necessary,
to provide radiation detection equipment required to support
the Container Security Initiative through the Department of
Energy’s Second Line of Defense Program and Megaports Initia-
tive; or
(2) work with the private sector or host governments, when
possible, to obtain radiation detection equipment that meets
the Department’s and the Department of Energy’s technical
specifications for such equipment.
(h) STAFFING.—The Secretary shall develop a human capital
management plan to determine adequate staffing levels in the
United States and in foreign seaports including, as appropriate,
the remote location of personnel in countries in which foreign sea-
ports are designated under the Container Security Initiative.
(i) ANNUAL DISCUSSIONS.—The Secretary, in coordination with
the appropriate Federal officials, shall hold annual discussions with
foreign governments of countries in which foreign seaports des-
ignated under the Container Security Initiative are located
regarding best practices, technical assistance, training needs, and
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technological developments that will assist in ensuring the efficient
and secure movement of international cargo.
(j) LESSER RISK PORT.—The Secretary, acting through the
Commissioner, may treat cargo loaded in a foreign seaport des-
ignated under the Container Security Initiative as presenting a
lesser risk than similar cargo loaded in a foreign seaport that
is not designated under the Container Security Initiative, for the
purpose of clearing such cargo into the United States.
(k) PROHIBITION.—
(1) IN GENERAL.—The Secretary shall issue a ‘‘do not load’’
order, using existing authorities, to prevent the onload of any
cargo loaded at a port designated under CSI that has been
identified as high risk, including by the Automated Targeting
System, unless the cargo is determined to no longer be high
risk through—
(A) a scan of the cargo with nonintrusive imaging
equipment and radiation detection equipment;
(B) a search of the cargo; or
(C) additional information received by the Department.
(2) RULE OF CONSTRUCTION.—Nothing in this subsection
shall be construed to interfere with the ability of the Secretary
to deny entry of any cargo into the United States.
(l) REPORT.—
(1) IN GENERAL.—Not later than September 30, 2007, the
Secretary, acting through the Commissioner, shall, in consulta-
tion with other appropriate government officials and the
Commercial Operations Advisory Committee, submit a report
to the appropriate congressional committees on the effectiveness
of, and the need for any improvements to, the Container Secu-
rity Initiative. The report shall include—
(A) a description of the technical assistance delivered
to, as well as needed at, each designated seaport;
(B) a description of the human capital management
plan at each designated seaport;
(C) a summary of the requests made by the United
States to foreign governments to conduct physical or non-
intrusive inspections of cargo at designated seaports, and
whether each such request was granted or denied by the
foreign government;
(D) an assessment of the effectiveness of screening,
scanning, and inspection protocols and technologies utilized
at designated seaports and the effect on the flow of com-
merce at such seaports, as well as any recommendations
for improving the effectiveness of screening, scanning, and
inspection protocols and technologies utilized at designated
seaports;
(E) a description and assessment of the outcome of
any security incident involving a foreign seaport designated
under the Container Security Initiative;
(F) the rationale for the continuance of each port des-
ignated under CSI;
(G) a description of the potential for remote targeting
to decrease the number of personnel who are deployed
at foreign ports under CSI; and
(H) a summary and assessment of the aggregate
number and extent of trade compliance lapses at each
seaport designated under the Container Security Initiative.
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(2) UPDATED REPORT.—Not later than September 30, 2010,
the Secretary, acting through the Commissioner, shall, in con-
sultation with other appropriate government officials and the
Commercial Operations Advisory Committee, submit an
updated report to the appropriate congressional committees
on the effectiveness of, and the need for any improvements
to, the Container Security Initiative. The updated report shall
address each of the elements required to be included in the
report provided for under paragraph (1).
(m) AUTHORIZATION OF APPROPRIATIONS.—There are authorized
to be appropriated to the United States Customs and Border Protec-
tion to carry out the provisions of this section—
(1) $144,000,000 for fiscal year 2008;
(2) $146,000,000 for fiscal year 2009; and
(3) $153,300,000 for fiscal year 2010.
Subtitle B—Customs–Trade Partnership
Against Terrorism
SEC. 211. ESTABLISHMENT.
(a) ESTABLISHMENT.—The Secretary, acting through the
Commissioner, is authorized to establish a voluntary government-
private sector program (to be known as the ‘‘Customs–Trade Part-
nership Against Terrorism’’ or ‘‘C–TPAT’’) to strengthen and
improve the overall security of the international supply chain and
United States border security, and to facilitate the movement of
secure cargo through the international supply chain, by providing
benefits to participants meeting or exceeding the program require-
ments. Participants in C–TPAT shall include Tier 1 participants,
Tier 2 participants, and Tier 3 participants.
(b) MINIMUM SECURITY REQUIREMENTS.—The Secretary, acting
through the Commissioner, shall review the minimum security
requirements of C–TPAT at least once every year and update such
requirements as necessary.
SEC. 212. ELIGIBLE ENTITIES.
Importers, customs brokers, forwarders, air, sea, land carriers,
contract logistics providers, and other entities in the international
supply chain and intermodal transportation system are eligible
to apply to voluntarily enter into partnerships with the Department
under C–TPAT.
SEC. 213. MINIMUM REQUIREMENTS.
An applicant seeking to participate in C–TPAT shall—
(1) demonstrate a history of moving cargo in the inter-
national supply chain;
(2) conduct an assessment of its supply chain based upon
security criteria established by the Secretary, acting through
the Commissioner, including—
(A) business partner requirements;
(B) container security;
(C) physical security and access controls;
(D) personnel security;
(E) procedural security;
(F) security training and threat awareness; and
(G) information technology security;
6 USC 963.
6 USC 962.
6 USC 961.
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(3) implement and maintain security measures and supply
chain security practices meeting security criteria established
by the Commissioner; and
(4) meet all other requirements established by the Commis-
sioner, in consultation with the Commercial Operations
Advisory Committee.
SEC. 214. TIER 1 PARTICIPANTS IN C–TPAT.
(a) BENEFITS.—The Secretary, acting through the Commis-
sioner, shall offer limited benefits to a Tier 1 participant who
has been certified in accordance with the guidelines referred to
in subsection (b). Such benefits may include a reduction in the
score assigned pursuant to the Automated Targeting System of
not greater than 20 percent of the high-risk threshold established
by the Secretary.
(b) GUIDELINES.—Not later than 180 days after the date of
the enactment of this Act, the Secretary, acting through the
Commissioner, shall update the guidelines for certifying a C–TPAT
participant’s security measures and supply chain security practices
under this section. Such guidelines shall include a background
investigation and extensive documentation review.
(c) TIMEFRAME.—To the extent practicable, the Secretary, acting
through the Commissioner, shall complete the Tier 1 certification
process within 90 days of receipt of an application for participation
in C–TPAT.
SEC. 215. TIER 2 PARTICIPANTS IN C–TPAT.
(a) VALIDATION.—The Secretary, acting through the Commis-
sioner, shall validate the security measures and supply chain secu-
rity practices of a Tier 1 participant in accordance with the guide-
lines referred to in subsection (c). Such validation shall include
on-site assessments at appropriate foreign locations utilized by the
Tier 1 participant in its supply chain and shall, to the extent
practicable, be completed not later than 1 year after certification
as a Tier 1 participant.
(b) BENEFITS.—The Secretary, acting through the Commis-
sioner, shall extend benefits to each C–TPAT participant that has
been validated as a Tier 2 participant under this section, which
may include—
(1) reduced scores in the Automated Targeting System;
(2) reduced examinations of cargo; and
(3) priority searches of cargo.
(c) GUIDELINES.—Not later than 180 days after the date of
the enactment of this Act, the Secretary, acting through the
Commissioner, shall develop a schedule and update the guidelines
for validating a participant’s security measures and supply chain
security practices under this section.
SEC. 216. TIER 3 PARTICIPANTS IN C–TPAT.
(a) IN GENERAL.—The Secretary, acting through the Commis-
sioner, shall establish a third tier of C–TPAT participation that
offers additional benefits to participants who demonstrate a sus-
tained commitment to maintaining security measures and supply
chain security practices that exceed the guidelines established for
validation as a Tier 2 participant in C–TPAT under section 215.
(b) CRITERIA.—The Secretary, acting through the Commis-
sioner, shall designate criteria for validating a C–TPAT participant
6 USC 966.
Deadline.
6 USC 965.
Deadline.
6 USC 964.
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as a Tier 3 participant under this section. Such criteria may
include—
(1) compliance with any additional guidelines established
by the Secretary that exceed the guidelines established pursu-
ant to section 215 of this Act for validating a C–TPAT partici-
pant as a Tier 2 participant, particularly with respect to con-
trols over access to cargo throughout the supply chain;
(2) submission of additional information regarding cargo
prior to loading, as determined by the Secretary;
(3) utilization of container security devices, technologies,
policies, or practices that meet standards and criteria estab-
lished by the Secretary; and
(4) compliance with any other cargo requirements estab-
lished by the Secretary.
(c) BENEFITS.—The Secretary, acting through the Commis-
sioner, in consultation with the Commercial Operations Advisory
Committee and the National Maritime Security Advisory Com-
mittee, shall extend benefits to each C–TPAT participant that has
been validated as a Tier 3 participant under this section, which
may include—
(1) the expedited release of a Tier 3 participant’s cargo
in destination ports within the United States during all threat
levels designated by the Secretary;
(2) further reduction in examinations of cargo;
(3) priority for examinations of cargo; and
(4) further reduction in the risk score assigned pursuant
to the Automated Targeting System; and
(5) inclusion in joint incident management exercises, as
appropriate.
(d) DEADLINE.—Not later than 2 years after the date of the
enactment of this Act, the Secretary, acting through the Commis-
sioner, shall designate appropriate criteria pursuant to subsection
(b) and provide benefits to validated Tier 3 participants pursuant
to subsection (c).
SEC. 217. CONSEQUENCES FOR LACK OF COMPLIANCE.
(a) IN GENERAL.—If at any time a C–TPAT participant’s secu-
rity measures and supply chain security practices fail to meet
any of the requirements under this subtitle, the Commissioner
may deny the participant benefits otherwise available under this
subtitle, in whole or in part. The Commissioner shall develop proce-
dures that provide appropriate protections to C–TPAT participants
before benefits are revoked. Such procedures may not limit the
ability of the Commissioner to take actions to protect the national
security of the United States.
(b) FALSE OR MISLEADING INFORMATION.—If a C–TPAT partici-
pant knowingly provides false or misleading information to the
Commissioner during the validation process provided for under
this subtitle, the Commissioner shall suspend or expel the partici-
pant from C–TPAT for an appropriate period of time. The Commis-
sioner, after the completion of the process under subsection (c),
may publish in the Federal Register a list of participants who
have been suspended or expelled from C–TPAT pursuant to this
subsection, and may make such list available to C–TPAT partici-
pants.
(c) RIGHT OF APPEAL.—
6 USC 967.
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(1) IN GENERAL.—A C–TPAT participant may appeal a deci-
sion of the Commissioner pursuant to subsection (a). Such
appeal shall be filed with the Secretary not later than 90
days after the date of the decision, and the Secretary shall
issue a determination not later than 180 days after the appeal
is filed.
(2) APPEALS OF OTHER DECISIONS.—A C–TPAT participant
may appeal a decision of the Commissioner pursuant to sub-
section (b). Such appeal shall be filed with the Secretary not
later than 30 days after the date of the decision, and the
Secretary shall issue a determination not later than 180 days
after the appeal is filed.
SEC. 218. THIRD PARTY VALIDATIONS.
(a) PLAN.—The Secretary, acting through the Commissioner,
shall develop a plan to implement a 1-year voluntary pilot program
to test and assess the feasibility, costs, and benefits of using third
party entities to conduct validations of C–TPAT participants.
(b) CONSULTATIONS.—Not later than 120 days after the date
of the enactment of this Act, after consulting with private sector
stakeholders, including the Commercial Operations Advisory Com-
mittee, the Secretary shall submit a report to the appropriate
congressional committees on the plan described in subsection (a).
(c) PILOT PROGRAM.—
(1) IN GENERAL.—Not later than 1 year after the consulta-
tions described in subsection (b), the Secretary shall carry
out the 1-year pilot program to conduct validations of C–TPAT
participants using third party entities described in subsection
(a).
(2) AUTHORITY OF THE SECRETARY.—The decision to validate
a C–TPAT participant is solely within the discretion of the
Secretary, or the Secretary’s designee.
(d) CERTIFICATION OF THIRD PARTY ENTITIES.—The Secretary
shall certify a third party entity to conduct validations under sub-
section (c) if the entity—
(1) demonstrates to the satisfaction of the Secretary that
the entity has the ability to perform validations in accordance
with standard operating procedures and requirements des-
ignated by the Secretary; and
(2) agrees—
(A) to perform validations in accordance with such
standard operating procedures and requirements (and
updates to such procedures and requirements); and
(B) to maintain liability insurance coverage at policy
limits and in accordance with conditions to be established
by the Secretary; and
(3) signs an agreement to protect all proprietary informa-
tion of C–TPAT participants with respect to which the entity
will conduct validations.
(e) INFORMATION FOR ESTABLISHING LIMITS OF LIABILITY INSUR-
ANCE.—A third party entity seeking a certificate under subsection
(d) shall submit to the Secretary necessary information for estab-
lishing the limits of liability insurance required to be maintained
by the entity under this Act.
(f) ADDITIONAL REQUIREMENTS.—The Secretary shall ensure
that—
Deadline.
Deadline.
Reports.
6 USC 968.
Deadlines.
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(1) any third party entity certified under this section does
not have—
(A) any beneficial interest in or any direct or indirect
control over the C–TPAT participant for which the valida-
tion services are performed; or
(B) any other conflict of interest with respect to the
C–TPAT participant; and
(2) the C–TPAT participant has entered into a contract
with the third party entity under which the C–TPAT participant
agrees to pay all costs associated with the validation.
(g) MONITORING.—
(1) IN GENERAL.—The Secretary shall regularly monitor
and inspect the operations of a third party entity conducting
validations under subsection (c) to ensure that the entity is
meeting the minimum standard operating procedures and
requirements for the validation of C–TPAT participants estab-
lished by the Secretary and all other applicable requirements
for validation services.
(2) REVOCATION.—If the Secretary determines that a third
party entity is not meeting the minimum standard operating
procedures and requirements designated by the Secretary under
subsection (d)(1), the Secretary shall—
(A) revoke the entity’s certificate of conformance issued
under subsection (d)(1); and
(B) review any validations conducted by the entity.
(h) LIMITATION ON AUTHORITY.—The Secretary may only grant
a C–TPAT validation by a third party entity pursuant to subsection
(c) if the C–TPAT participant voluntarily submits to validation
by such third party entity.
(i) REPORT.—Not later than 30 days after the completion of
the pilot program conducted pursuant to subsection (c), the Sec-
retary shall submit a report to the appropriate congressional
committees that contains—
(1) the results of the pilot program, including the extent
to which the pilot program ensured sufficient protection for
proprietary commercial information;
(2) the cost and efficiency associated with validations under
the pilot program;
(3) the impact of the pilot program on the rate of validations
conducted under C–TPAT;
(4) any impact on national security of the pilot program;
and
(5) any recommendations by the Secretary based upon the
results of the pilot program.
SEC. 219. REVALIDATION.
The Secretary, acting through the Commissioner, shall develop
and implement—
(1) a revalidation process for Tier 2 and Tier 3 participants;
(2) a framework based upon objective criteria for identifying
participants for periodic revalidation not less frequently than
once during each 4-year period following the initial validation;
and
(3) an annual plan for revalidation that includes—
(A) performance measures;
(B) an assessment of the personnel needed to perform
the revalidations; and
6 USC 969.
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(C) the number of participants that will be revalidated
during the following year.
SEC. 220. NONCONTAINERIZED CARGO.
The Secretary, acting through the Commissioner, shall consider
the potential for participation in C–TPAT by importers of non-
containerized cargoes that otherwise meet the requirements under
this subtitle.
SEC. 221. C–TPAT PROGRAM MANAGEMENT.
(a) IN GENERAL.—The Secretary, acting through the Commis-
sioner, shall establish sufficient internal quality controls and record
management to support the management systems of C–TPAT. In
managing the program, the Secretary shall ensure that the program
includes:
(1) STRATEGIC PLAN.—A 5-year plan to identify outcome-
based goals and performance measures of the program.
(2) ANNUAL PLAN.—An annual plan for each fiscal year
designed to match available resources to the projected workload.
(3) STANDARDIZED WORK PROGRAM.—A standardized work
program to be used by agency personnel to carry out the certifi-
cations, validations, and revalidations of participants. The Sec-
retary shall keep records and monitor staff hours associated
with the completion of each such review.
(b) DOCUMENTATION
OF
REVIEWS.—The Secretary, acting
through the Commissioner, shall maintain a record management
system to document determinations on the reviews of each C–
TPAT paricipant, including certifications, validations, and revalida-
tions.
(c) CONFIDENTIAL INFORMATION SAFEGUARDS.—In consultation
with the Commercial Operations Advisory Committee, the Sec-
retary, acting through the Commissioner, shall develop and imple-
ment procedures to ensure the protection of confidential data col-
lected, stored, or shared with government agencies or as part of
the application, certification, validation, and revalidation processes.
(d) RESOURCE MANAGEMENT STAFFING PLAN.—The Secretary,
acting through the Commissioner, shall—
(1) develop a staffing plan to recruit and train staff
(including a formalized training program) to meet the objectives
identified in the strategic plan of the C–TPAT program; and
(2) provide cross-training in postincident trade resumption
for personnel who administer the C–TPAT program.
(e) REPORT TO CONGRESS.—In connection with the President’s
annual budget submission for the Department, the Secretary shall
report to the appropriate congressional committees on the progress
made by the Commissioner to certify, validate, and revalidate C–
TPAT participants. Such report shall be due on the same date
that the President’s budget is submitted to the Congress.
SEC. 222. ADDITIONAL PERSONNEL.
For fiscal years 2008 and 2009, the Commissioner shall increase
by not less than 50 the number of full-time personnel engaged
in the validation and revalidation of C–TPAT participants (over
the number of such personnel on the last day of the previous
fiscal year), and shall provide appropriate training and support
to such additional personnel.
6 USC 972.
Procedures.
6 USC 971.
6 USC 970.
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SEC. 223. AUTHORIZATION OF APPROPRIATIONS.
(a) C–TPAT.—There are authorized to be appropriated to the
United States Customs and Border Protection to carry out the
provisions of sections 211 through 221 to remain available until
expended—
(1) $65,000,000 for fiscal year 2008;
(2) $72,000,000 for fiscal year 2009; and
(3) $75,600,000 for fiscal year 2010.
(b) ADDITIONAL PERSONNEL.—In addition to any amounts other-
wise appropriated to the United States Customs and Border Protec-
tion, there are authorized to be appropriated for the purpose of
meeting the staffing requirement provided for in section 222, to
remain available until expended—
(1) $8,500,000 for fiscal year 2008;
(2) $17,600,000 for fiscal year 2009;
(3) $19,000,000 for fiscal year 2010;
(4) $20,000,000 for fiscal year 2011; and
(5) $21,000,000 for fiscal year 2012.
Subtitle C—Miscellaneous Provisions
SEC. 231. PILOT INTEGRATED SCANNING SYSTEM.
(a) DESIGNATIONS.—Not later than 90 days after the date of
the enactment of this Act, the Secretary shall designate 3 foreign
seaports through which containers pass or are transshipped to
the United States for the establishment of pilot integrated scanning
systems that couple nonintrusive imaging equipment and radiation
detection equipment. In making the designations under this sub-
section, the Secretary shall consider 3 distinct ports with unique
features and differing levels of trade volume.
(b) COORDINATION.—The Secretary shall—
(1) coordinate with the Secretary of Energy, as necessary,
to provide radiation detection equipment through the Depart-
ment of Energy’s Second Line of Defense and Megaports pro-
grams; or
(2) work with the private sector or, when possible, host
governments to obtain radiation detection equipment that
meets both the Department’s and the Department of Energy’s
technical specifications for such equipment.
(c) PILOT SYSTEM IMPLEMENTATION.—Not later than 1 year
after the date of the enactment of this Act, the Secretary shall
achieve a full-scale implementation of the pilot integrated scanning
system at the ports designated under subsection (a), which—
(1) shall scan all containers destined for the United States
that are loaded in such ports;
(2) shall electronically transmit the images and information
to appropriate United States Government personnel in the
country in which the port is located or in the United States
for evaluation and analysis;
(3) shall resolve every radiation alarm according to estab-
lished Department procedures;
(4) shall utilize the information collected to enhance the
Automated Targeting System or other relevant programs;
(5) shall store the information for later retrieval and anal-
ysis; and
Deadline.
Deadline.
6 USC 981.
6 USC 973.
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(6) may provide an automated notification of questionable
or high-risk cargo as a trigger for further inspection by appro-
priately trained personnel.
(d) REPORT.—Not later than 180 days after achieving full-scale
implementation under subsection (c), the Secretary, in consultation
with the Secretary of State and, as appropriate, the Secretary
of Energy, shall submit a report to the appropriate congressional
committees, that includes—
(1) an evaluation of the lessons derived from the pilot
system implemented under this subsection;
(2) an analysis of the efficacy of the Automated Targeting
System or other relevant programs in utilizing the images
captured to examine high-risk containers;
(3) an evaluation of the effectiveness of the integrated
scanning system in detecting shielded and unshielded nuclear
and radiological material;
(4) an evaluation of software and other technologies that
are capable of automatically identifying potential anomalies
in scanned containers; and
(5) an analysis of the need and feasibility of expanding
the integrated scanning system to other container security ini-
tiative ports, including—
(A) an analysis of the infrastructure requirements;
(B) a projection of the effect on current average proc-
essing speed of containerized cargo;
(C) an evaluation of the scalability of the system to
meet both current and future forecasted trade flows;
(D) the ability of the system to automatically maintain
and catalog appropriate data for reference and analysis
in the event of a transportation disruption;
(E) an analysis of requirements, including costs, to
install and maintain an integrated scanning system;
(F) the ability of administering personnel to efficiently
manage and utilize the data produced by a nonintrusive
scanning system;
(G) the ability to safeguard commercial data generated
by, or submitted to, a nonintrusive scanning system; and
(H) an assessment of the reliability of currently avail-
able technology to implement an integrated scanning
system.
SEC. 232. SCREENING AND SCANNING OF CARGO CONTAINERS.
(a) ONE HUNDRED PERCENT SCREENING OF CARGO CONTAINERS
AND 100 PERCENT SCANNING OF HIGH-RISK CONTAINERS.—
(1) SCREENING OF CARGO CONTAINERS.—The Secretary shall
ensure that 100 percent of the cargo containers originating
outside the United States and unloaded at a United States
seaport undergo a screening to identify high-risk containers.
(2) SCANNING OF HIGH-RISK CONTAINERS.—The Secretary
shall ensure that 100 percent of the containers that have been
identified as high-risk under paragraph (1), or through other
means, are scanned or searched before such containers leave
a United States seaport facility.
(b) FULL-SCALE IMPLEMENTATION.—The Secretary, in coordina-
tion with the Secretary of Energy and foreign partners, as appro-
priate, shall ensure integrated scanning systems are fully deployed
6 USC 982.
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to scan, using nonintrusive imaging equipment and radiation detec-
tion equipment, all containers entering the United States before
such containers arrive in the United States as soon as possible,
but not before the Secretary determines that the integrated scan-
ning system—
(1) meets the requirements set forth in section 231(c);
(2) has a sufficiently low false alarm rate for use in the
supply chain;
(3) is capable of being deployed and operated at ports
overseas;
(4) is capable of integrating, as necessary, with existing
systems;
(5) does not significantly impact trade capacity and flow
of cargo at foreign or United States ports; and
(6) provides an automated notification of questionable or
high-risk cargo as a trigger for further inspection by appro-
priately trained personnel.
(c) REPORT.—Not later than 6 months after the submission
of a report under section 231(d), and every 6 months thereafter,
the Secretary shall submit a report to the appropriate congressional
committees describing the status of full-scale deployment under
subsection (b) and the cost of deploying the system at each foreign
port at which the integrated scanning systems are deployed.
SEC. 233. INTERNATIONAL COOPERATION AND COORDINATION.
(a) INSPECTION TECHNOLOGY AND TRAINING.—
(1) IN GENERAL.—The Secretary, in coordination with the
Secretary of State, the Secretary of Energy, and appropriate
representatives of other Federal agencies, may provide technical
assistance, 
equipment, 
and 
training 
to 
facilitate 
the
implementation of supply chain security measures at ports
designated under the Container Security Initiative.
(2) ACQUISITION AND TRAINING.—Unless otherwise prohib-
ited by law, the Secretary may—
(A) lease, loan, provide, or otherwise assist in the
deployment of nonintrusive inspection and radiation detec-
tion equipment at foreign land and sea ports under such
terms and conditions as the Secretary prescribes, including
nonreimbursable loans or the transfer of ownership of
equipment; and
(B) provide training and technical assistance for
domestic or foreign personnel responsible for operating or
maintaining such equipment.
(b) ACTIONS AND ASSISTANCE FOR FOREIGN PORTS AND UNITED
STATES TERRITORIES.—Section 70110 of title 46, United States Code,
is amended—
(1) by striking the section header and inserting the fol-
lowing:
‘‘§ 70110. Actions and assistance for foreign ports and United
States territories’’;
and
(2) by adding at the end the following:
‘‘(e) ASSISTANCE FOR FOREIGN PORTS AND UNITED STATES TERRI-
TORIES.—
‘‘(1) IN GENERAL.—The Secretary, in consultation with the
Secretary of Transportation, the Secretary of State, and the
6 USC 983.
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Secretary of Energy, shall identify assistance programs that
could facilitate implementation of port security antiterrorism
measures in foreign countries and territories of the United
States. The Secretary shall establish a program to utilize the
programs that are capable of implementing port security
antiterrorism measures at ports in foreign countries and terri-
tories of the United States that the Secretary finds to lack
effective antiterrorism measures.
‘‘(2) CARIBBEAN BASIN.—The Secretary, in coordination with
the Secretary of State and in consultation with the Organization
of American States and the Commandant of the Coast Guard,
shall place particular emphasis on utilizing programs to facili-
tate the implementation of port security antiterrorism measures
at the ports located in the Caribbean Basin, as such ports
pose unique security and safety threats to the United States
due to—
‘‘(A) the strategic location of such ports between South
America and the United States;
‘‘(B) the relative openness of such ports; and
‘‘(C) the significant number of shipments of narcotics
to the United States that are moved through such ports.’’.
(c) REPORT ON SECURITY AT PORTS IN THE CARIBBEAN BASIN.—
(1) IN GENERAL.—Not later than 180 days after the date
of the enactment of this Act, the Comptroller General of the
United States shall submit a report to the appropriate congres-
sional committees on the security of ports in the Caribbean
Basin.
(2) CONTENTS.—The report submitted under paragraph
(1)—
(A) shall include—
(i) an assessment of the effectiveness of the meas-
ures employed to improve security at ports in the
Caribbean Basin and recommendations for any addi-
tional measures to improve such security;
(ii) an estimate of the number of ports in the
Caribbean Basin that will not be secured by January
1, 2007;
(iii) an estimate of the financial impact in the
United States of any action taken pursuant to section
70110 of title 46, United States Code, that affects
trade between such ports and the United States; and
(iv) an assessment of the additional resources and
program changes that are necessary to maximize secu-
rity at ports in the Caribbean Basin; and
(B) may be submitted in both classified and redacted
formats.
(d) CLERICAL AMENDMENT.—The chapter analysis for chapter
701 of title 46, United States Code, is amended by striking the
item relating to section 70110 and inserting the following:
‘‘70110. Actions and assistance for foreign ports and United States territories.’’.
SEC. 234. FOREIGN PORT ASSESSMENTS.
Section 70108 of title 46, United States Code, is amended
by adding at the end the following:
‘‘(d) PERIODIC REASSESSMENT.—The Secretary, acting through
the Commandant of the Coast Guard, shall reassess the effective-
ness of antiterrorism measures maintained at ports as described
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under subsection (a) and of procedures described in subsection
(b) not less than once every 3 years.’’.
SEC. 235. PILOT PROGRAM TO IMPROVE THE SECURITY OF EMPTY
CONTAINERS.
(a) IN GENERAL.—The Secretary shall conduct a 1-year pilot
program to assess the risk posed by and improve the security
of empty containers at United States seaports to ensure the safe
and secure delivery of cargo and to prevent potential acts of ter-
rorism involving such containers. The pilot program shall include
the use of visual searches of empty containers at United States
seaports.
(b) REPORT.—Not later than 90 days after the completion of
the pilot program under paragraph (1), the Secretary shall prepare
and submit to the appropriate congressional committees a report
that contains—
(1) the results of the pilot program; and
(2) the determination of the Secretary on whether to expand
the pilot program.
SEC. 236. INFORMATION SHARING RELATING TO SUPPLY CHAIN SECU-
RITY COOPERATION.
(a) PURPOSES.—The purposes of this section are—
(1) to establish continuing liaison and to provide for supply
chain security cooperation between Department and the private
sector; and
(2) to provide for regular and timely interchange of informa-
tion between the private sector and the Department concerning
developments and security risks in the supply chain environ-
ment.
(b) SYSTEM.—The Secretary shall develop a system to collect
from and share appropriate risk information related to the supply
chain with the private sector entities determined appropriate by
the Secretary.
(c) CONSULTATION.—In developing the system under subsection
(b), the Secretary shall consult with the Commercial Operations
Advisory Committee and a broad range of public and private sector
entities likely to utilize the system, including importers, exporters,
carriers, customs brokers, and freight forwarders, among other par-
ties.
(d) INDEPENDENTLY OBTAINED INFORMATION.—Nothing in this
section shall be construed to limit or otherwise affect the ability
of a Federal, State, or local government entity, under applicable
law, to obtain supply chain security information, including any
information lawfully and properly disclosed generally or broadly
to the public and to use such information in any manner permitted
by law.
(e) AUTHORITY TO ISSUE WARNINGS.—The Secretary may pro-
vide advisories, alerts, and warnings to relevant companies, tar-
geted sectors, other governmental entities, or the general public
regarding potential risks to the supply chain as appropriate. In
issuing a warning, the Secretary shall take appropriate actions
to protect from disclosure—
(1) the source of any voluntarily submitted supply chain
security information that forms the basis for the warning; and
(2) information that is proprietary, business sensitive,
relates specifically to the submitting person or entity, or is
otherwise not appropriately in the public domain.
6 USC 985.
6 USC 984.
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PUBLIC LAW 109–347—OCT. 13, 2006
TITLE III—ADMINISTRATION
SEC. 301. OFFICE OF CARGO SECURITY POLICY.
(a) ESTABLISHMENT.—Subtitle C of title IV of the Homeland
Security Act of 2002 (6 U.S.C. 231 et seq.) is amended by adding
at the end the following:
‘‘SEC. 431. OFFICE OF CARGO SECURITY POLICY.
‘‘(a) ESTABLISHMENT.—There is established within the Depart-
ment an Office of Cargo Security Policy (referred to in this section
as the ‘Office’).
‘‘(b) PURPOSE.—The Office shall—
‘‘(1) coordinate all Department policies relating to cargo
security; and
‘‘(2) consult with stakeholders and coordinate with other
Federal agencies in the establishment of standards and regula-
tions and to promote best practices.
‘‘(c) DIRECTOR.—
‘‘(1) APPOINTMENT.—The Office shall be headed by a
Director, who shall—
‘‘(A) be appointed by the Secretary; and
‘‘(B) report to the Assistant Secretary for Policy.
‘‘(2) RESPONSIBILITIES.—The Director shall—
‘‘(A) advise the Assistant Secretary for Policy in the
development of Department-wide policies regarding cargo
security;
‘‘(B) coordinate all policies relating to cargo security
among the agencies and offices within the Department
relating to cargo security; and
‘‘(C) coordinate the cargo security policies of the
Department with the policies of other executive agencies.’’.
(b) DESIGNATION
OF
LIAISON
OFFICE
OF
DEPARTMENT
OF
STATE.—The Secretary of State shall designate a liaison office
within the Department of State to assist the Secretary, as appro-
priate, in negotiating cargo security-related international agree-
ments.
(c) RULE OF CONSTRUCTION.—Nothing in this section shall be
construed to affect—
(1) the authorities, functions, or capabilities of the Coast
Guard to perform its missions; or
(2) the requirement under section 888 of the Homeland
Security Act (6 U.S.C. 468) that those authorities, functions,
and capabilities be maintained intact.
(d) CLERICAL AMENDMENT.—The table of contents of the Home-
land Security Act of 2002 (6 U.S.C. 101 et seq.) is amended by
inserting after the item relating to section 430 the following:
‘‘Sec. 431. Office of Cargo Security Policy.’’.
SEC. 302. REAUTHORIZATION OF HOMELAND SECURITY SCIENCE AND
TECHNOLOGY ADVISORY COMMITTEE.
(a) IN GENERAL.—Section 311(j) of the Homeland Security Act
of 2002 (6 U.S.C. 191(j)) is amended by striking ‘‘3 years after
the effective date of this Act’’ and inserting ‘‘on December 31,
2008’’.
6 USC 239 note.
6 USC 1001.
6 USC 239.
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(b) EFFECTIVE DATE.—The amendment made by subsection (a)
shall be effective as if enacted on the date of the enactment of
the Homeland Security Act of 2002 (6 U.S.C. 101 et seq.).
(c) ADVISORY COMMITTEE.—The Under Secretary for Science
and Technology shall utilize the Homeland Security Science and
Technology Advisory Committee, as appropriate, to provide outside
expertise in advancing cargo security technology.
SEC. 
303. 
RESEARCH, 
DEVELOPMENT, 
TEST, 
AND 
EVALUATION
EFFORTS IN FURTHERANCE OF MARITIME AND CARGO
SECURITY.
(a) IN GENERAL.—The Secretary shall—
(1) direct research, development, testing, and evaluation
efforts in furtherance of maritime and cargo security;
(2) coordinate with public and private sector entities to
develop and test technologies, and process innovations in fur-
therance of these objectives; and
(3) evaluate such technologies.
(b) COORDINATION.—The Secretary, in coordination with the
Under Secretary for Science and Technology, the Assistant Sec-
retary for Policy, the Commandant of the Coast Guard, the Director
for Domestic Nuclear Detection, the Chief Financial Officer, and
the heads of other appropriate offices or entities of the Department,
shall ensure that—
(1) research, development, testing, and evaluation efforts
funded by the Department in furtherance of maritime and
cargo security are coordinated within the Department and with
other appropriate Federal agencies to avoid duplication of
efforts; and
(2) the results of such efforts are shared throughout the
Department and with other Federal, State, and local agencies,
as appropriate.
TITLE IV—AGENCY RESOURCES AND
OVERSIGHT
SEC. 401. TRADE AND CUSTOMS REVENUE FUNCTIONS OF THE
DEPARTMENT.
(a) TRADE AND CUSTOMS REVENUE FUNCTIONS.—
(1) DESIGNATION OF APPROPRIATE OFFICIAL.—The Secretary
shall designate an appropriate senior official in the office of
the Secretary who shall—
(A) ensure that the trade and customs revenue func-
tions of the Department are coordinated within the Depart-
ment and with other Federal departments and agencies,
and that the impact on legitimate trade is taken into
account in any action impacting the functions; and
(B) monitor and report to Congress on the Depart-
ment’s mandate to ensure that the trade and customs
revenue functions of the Department are not diminished,
including how spending, operations, and personnel related
to these functions have kept pace with the level of trade
entering the United States.
(2) DIRECTOR OF TRADE POLICY.—There shall be a Director
of Trade Policy (in this subsection referred to as the ‘‘Director’’),
6 USC 115.
6 USC 1003.
6 USC 1002.
6 USC 191 note.
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who shall be subject to the direction and control of the official
designated pursuant to paragraph (1). The Director shall—
(A) advise the official designated pursuant to para-
graph (1) regarding all aspects of Department policies
relating to the trade and customs revenue functions of
the Department;
(B) coordinate the development of Department-wide
policies regarding trade and customs revenue functions
and trade facilitation; and
(C) coordinate the trade and customs revenue-related
policies of the Department with the policies of other Federal
departments and agencies.
(b) STUDY; REPORT.—
(1) IN GENERAL.—The Comptroller General of the United
States shall conduct a study evaluating the extent to which
the Department of Homeland Security is meeting its obligations
under section 412(b) of the Homeland Security Act of 2002
(6 U.S.C. 212(b)) with respect to the maintenance of customs
revenue functions.
(2) ANALYSIS.—The study shall include an analysis of—
(A) the extent to which the customs revenue functions
carried out by the former United States Customs Service
have been consolidated with other functions of the Depart-
ment (including the assignment of noncustoms revenue
functions to personnel responsible for customs revenue
collection), discontinued, or diminished following the
transfer of the United States Customs Service to the
Department;
(B) the extent to which staffing levels or resources
attributable to customs revenue functions have decreased
since the transfer of the United States Customs Service
to the Department; and
(C) the extent to which the management structure
created by the Department ensures effective trade facilita-
tion and customs revenue collection.
(3) REPORT.—Not later than 180 days after the date of
the enactment of this Act, the Comptroller General shall submit
to the appropriate congressional committees a report on the
results of the study conducted under subsection (a).
(4) MAINTENANCE
OF
FUNCTIONS.—Not later than Sep-
tember 30, 2007, the Secretary shall ensure that the require-
ments of section 412(b) of the Homeland Security Act of 2002
(6 U.S.C. 212(b)) are fully satisfied and shall report to the
Committee on Finance of the Senate and the Committee on
Ways and Means of the House of Representatives regarding
implementation of this paragraph.
(5) DEFINITION.—In this section, the term ‘‘customs revenue
functions’’ means the functions described in section 412(b)(2)
of the Homeland Security Act of 2002 (6 U.S.C. 212(b)(2)).
(c) CONSULTATION ON TRADE AND CUSTOMS REVENUE FUNC-
TIONS.—
(1) BUSINESS COMMUNITY CONSULTATIONS.—The Secretary
shall consult with representatives of the business community
involved in international trade, including seeking the advice
and recommendations of the Commercial Operations Advisory
Committee, on Department policies and actions that have a
Deadline.
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significant impact on international trade and customs revenue
functions.
(2) CONGRESSIONAL CONSULTATION AND NOTIFICATION.—
(A) IN GENERAL.—Subject to subparagraph (B), the Sec-
retary shall notify the appropriate congressional commit-
tees not later than 30 days prior to the finalization of
any Department policies, initiatives, or actions that will
have a major impact on trade and customs revenue func-
tions. Such notifications shall include a description of the
proposed policies, initiatives, or actions and any comments
or recommendations provided by the Commercial Oper-
ations Advisory Committee and other relevant groups
regarding the proposed policies, initiatives, or actions.
(B) EXCEPTION.—If the Secretary determines that it
is important to the national security interest of the United
States to finalize any Department policies, initiatives, or
actions prior to the consultation described in subparagraph
(A), the Secretary shall—
(i) notify and provide any recommendations of the
Commercial Operations Advisory Committee received
to the appropriate congressional committees not later
than 45 days after the date on which the policies,
initiatives, or actions are finalized; and
(ii) to the extent appropriate, modify the policies,
initiatives, or actions based upon the consultations
with the appropriate congressional committees.
(d) NOTIFICATION OF REORGANIZATION OF CUSTOMS REVENUE
FUNCTIONS.—
(1) IN GENERAL.—Not less than 45 days prior to any change
in the organization of any of the customs revenue functions
of the Department, the Secretary shall notify the Committee
on Appropriations, the Committee on Finance, and the Com-
mittee on Homeland Security and Governmental Affairs of the
Senate, and the Committee on Appropriations, the Committee
on Homeland Security, and the Committee on Ways and Means
of the House of Representatives of the specific assets, functions,
or personnel to be transferred as part of such reorganization,
and the reason for such transfer. The notification shall also
include—
(A) an explanation of how trade enforcement functions
will be impacted by the reorganization;
(B) an explanation of how the reorganization meets
the requirements of section 412(b) of the Homeland Secu-
rity Act of 2002 (6 U.S.C. 212(b)) that the Department
not diminish the customs revenue and trade facilitation
functions formerly performed by the United States Customs
Service; and
(C) any comments or recommendations provided by
the Commercial Operations Advisory Committee regarding
such reorganization.
(2) ANALYSIS.—Any congressional committee referred to in
paragraph (1) may request that the Commercial Operations
Advisory Committee provide a report to the committee ana-
lyzing the impact of the reorganization and providing any rec-
ommendations for modifying the reorganization.
(3) REPORT.—Not later than 1 year after any reorganization
referred to in paragraph (1) takes place, the Secretary, in
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consultation with the Commercial Operations Advisory Com-
mittee, shall submit a report to the Committee on Finance
of the Senate and the Committee on Ways and Means of the
House of Representatives. Such report shall include an assess-
ment of the impact of, and any suggested modifications to,
such reorganization.
SEC. 402. OFFICE OF INTERNATIONAL TRADE; OVERSIGHT.
Section 2 of the Act of March 3, 1927 (44 Stat. 1381, chapter
348; 19 U.S.C. 2072), is amended by adding at the end the following:
‘‘(d) OFFICE OF INTERNATIONAL TRADE.—
‘‘(1) ESTABLISHMENT.—There is established within the
United States Customs and Border Protection an Office of
International Trade that shall be headed by an Assistant
Commissioner.
‘‘(2) TRANSFER
OF
ASSETS, FUNCTIONS, AND
PERSONNEL;
ELIMINATION OF OFFICES.—
‘‘(A) OFFICE OF STRATEGIC TRADE.—
‘‘(i) IN
GENERAL.—Not later than 90 days after
the date of the enactment of the SAFE Port Act, the
Commissioner shall transfer the assets, functions, and
personnel of the Office of Strategic Trade to the Office
of International Trade established pursuant to para-
graph (1) and the Office of Strategic Trade shall be
abolished.
‘‘(ii) LIMITATION
ON
FUNDS.—No funds appro-
priated to the United States Customs and Border
Protection may be used to transfer the assets, func-
tions, or personnel of the Office of Strategic Trade,
to an office other than the office established pursuant
to paragraph (1) of this subsection.
‘‘(B) OFFICE OF REGULATIONS AND RULINGS.—
‘‘(i) IN
GENERAL.—Not later than 90 days after
the date of the enactment of the SAFE Port Act, the
Commissioner shall transfer the assets, functions, and
personnel of the Office of Regulations and Rulings
to the Office of International Trade established pursu-
ant to paragraph (1) and the Office of Regulations
and Rulings shall be abolished.
‘‘(ii) LIMITATION
ON
FUNDS.—No funds appro-
priated to the United States Customs and Border
Protection may be used to transfer the assets, func-
tions, or personnel of the Office of Regulations and
Rulings, to an office other than the office established
pursuant to paragraph (1) of this subsection.
‘‘(C) OTHER TRANSFERS.—The Commissioner is author-
ized to transfer any other assets, functions, or personnel
within the United States Customs and Border Protection
to the Office of International Trade established pursuant
to paragraph (1). Not less than 45 days prior to each
such transfer, the Commissioner shall notify the Committee
on Appropriations, the Committee on Finance, and the
Committee on Homeland Security and Governmental
Affairs of the Senate and the Committee on Appropriations,
the Committee on Homeland Security, and the Committee
on Ways and Means of the House of Representatives of
the specific assets, functions, or personnel to be transferred,
Notification.
Deadline.
Abolished.
Deadline.
Abolished.
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and the reason for such transfer. Such notification shall
also include—
‘‘(i) an explanation of how trade enforcement func-
tions will be impacted by the reorganization;
‘‘(ii) an explanation of how the reorganization
meets the requirements of section 412(b) of the Home-
land Security Act of 2002 (6 U.S.C. 212(b)) that the
Department of Homeland Security not diminish the
customs revenue and trade facilitation functions for-
merly performed by the United States Customs Service;
and
‘‘(iii) any comments or recommendations provided
by the Commercial Operations Advisory Committee
regarding such reorganization.
‘‘(D) REPORT.—Not later than 1 year after any reorga-
nization pursuant to subparagraph (C) takes place, the
Commissioner, in consultation with the Commercial Oper-
ations Advisory Committee, shall report to the Committee
on Finance of the Senate and the Committee on Ways
and Means of the House of Representatives. Such report
shall include an assessment of the impact of, and any
suggested modifications to, such reorganization.
‘‘(E) LIMITATION ON AUTHORITY.—Notwithstanding any
other provision of law, the Commissioner shall not transfer
any assets, functions, or personnel from United States ports
of entry, associated with the enforcement of laws relating
to trade in textiles and apparel, to the Office of Inter-
national Trade established pursuant to paragraph (1), until
the following conditions are met:
‘‘(i) The Commissioner submits the initial Resource
Allocation Model required by section 301(h) of the Cus-
toms and Procedural Reform and Simplification Act
of 1978 (19 U.S.C. 2075) and includes in such Resource
Allocation Model a section addressing the allocation
of assets, functions, and personnel associated with the
enforcement of laws relating to trade in textiles and
apparel.
‘‘(ii) The Commissioner consults with the Com-
mittee on Finance of the Senate and the Committee
on Ways and Means of the House of Representatives
regarding any subsequent transfer of assets, functions,
or personnel associated with the enforcement of laws
relating to trade in textiles and apparel, not less than
45 days prior to such transfer.
‘‘(F) LIMITATION ON APPROPRIATIONS.—No funds appro-
priated to the United States Customs and Border Protection
may be used to transfer the assets, functions, or personnel
associated with the enforcement of laws relating to trade
in textiles and apparel, before the Commissioner consults
with the congressional committees pursuant to subpara-
graph (E)(ii).
‘‘(e) INTERNATIONAL TRADE COMMITTEE.—
‘‘(1) ESTABLISHMENT.—The Commissioner shall establish
an International Trade Committee, to be chaired by the
Commissioner, and to include the Deputy Commissioner, the
Assistant Commissioner in the Office of Field Operations, the
Assistant Commissioner in the Office of Finance, the Assistant
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Commissioner in the Office of International Affairs, the Assist-
ant Commissioner in the Office of International Trade, the
Director of the Office of Trade Relations, and any other official
determined by the Commissioner to be important to the work
of the Committee.
‘‘(2) RESPONSIBILITIES.—The International Trade Com-
mittee shall—
‘‘(A) be responsible for advising the Commissioner with
respect to the commercial customs and trade facilitation
functions of the United States Customs and Border Protec-
tion;
‘‘(B) assist the Commissioner in coordinating with the
Secretary regarding commercial customs and trade facilita-
tion functions; and
‘‘(C) oversee the operation of all programs and systems
that are involved in the assessment and collection of duties,
bonds, and other charges or penalties associated with the
entry of cargo into the United States, or the export of
cargo from the United States, including the administration
of duty drawback and the collection of antidumping and
countervailing duties.
‘‘(3) ANNUAL REPORT.—Not later than 30 days after the
end of each fiscal year, the International Trade Committee
shall submit a report to the Committee on Finance of the
Senate and the Committee on Ways and Means of the House
of Representatives. The report shall—
‘‘(A) detail the activities of the International Trade
Committee during the preceding fiscal year; and
‘‘(B) identify the priorities of the International Trade
Committee for the fiscal year in which the report is filed.
‘‘(f) DEFINITION.—In this section:
‘‘(1) COMMISSIONER.—The term ‘Commissioner’ means the
Commissioner responsible for the United States Customs and
Border Protection in the Department of Homeland Security.
‘‘(2) COMMERCIAL OPERATIONS ADVISORY COMMITTEE.—The
term ‘Commercial Operations Advisory Committee’ means the
Advisory Committee established pursuant to section 9503(c)
of the Omnibus Budget Reconciliation Act of 1987 (19 U.S.C.
2071 note) or any successor committee.’’.
SEC. 403. RESOURCES.
Section 301 of the Customs Procedural Reform and Simplifica-
tion Act of 1978 (19 U.S.C. 2075) is amended by adding at the
end the following:
‘‘(h) RESOURCE ALLOCATION MODEL.—
‘‘(1) RESOURCE ALLOCATION MODEL.—Not later than June
30, 2007, and every 2 years thereafter, the Commissioner shall
prepare and submit to the Committee on Finance of the Senate
and the Committee on Ways and Means of the House of Rep-
resentatives a Resource Allocation Model to determine the
optimal staffing levels required to carry out the commercial
operations of United States Customs and Border Protection,
including commercial inspection and release of cargo and the
revenue functions described in section 412(b)(2) of the Home-
land Security Act of 2002 (6 U.S.C. 212(b)(2)). The Model shall
comply with the requirements of section 412(b)(1) of such Act
and shall take into account previous staffing models, historic
Deadlines.
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PUBLIC LAW 109–347—OCT. 13, 2006
and projected trade volumes, and trends. The Resource Alloca-
tion Model shall apply both risk-based and random sampling
approaches for determining adequate staffing needs for priority
trade functions, including—
‘‘(A) performing revenue functions;
‘‘(B) enforcing antidumping and countervailing duty
laws;
‘‘(C) protecting intellectual property rights;
‘‘(D) enforcing provisions of law relating to trade in
textiles and apparel;
‘‘(E) conducting agricultural inspections;
‘‘(F) enforcing fines, penalties, and forfeitures; and
‘‘(G) facilitating trade.
‘‘(2) PERSONNEL.—
‘‘(A) IN GENERAL.—Not later than September 30, 2007,
the Commissioner shall ensure that the requirements of
section 412(b) of the Homeland Security Act of 2002 (6
U.S.C. 212(b)) are fully satisfied and shall report to the
Committee on Finance of the Senate and the Committee
on Ways and Means of the House of Representatives
regarding the implementation of this subparagraph.
‘‘(B) CUSTOMS
AND
BORDER
PROTECTION
OFFICERS.—
The initial Resource Allocation Model required pursuant
to paragraph (1) shall provide for the hiring of a minimum
of 200 additional Customs and Border Protection Officers
per year for each of the fiscal years 2008 through 2012.
The Commissioner shall hire such additional Officers sub-
ject to the appropriation of funds to pay for the salaries
and expenses of such Officers. In assigning the 1,000 addi-
tional Officers authorized by this subparagraph, the
Commissioner shall—
‘‘(i) consider the volume of trade and the incidence
of nonvoluntarily disclosed customs and trade law vio-
lations in addition to security priorities among United
States ports of entry; and
‘‘(ii) before October 1, 2010, assign at least 10
additional Officers among each service port and the
ports of entry serviced by such service port, except
as provided in subparagraph (C).
‘‘(C) ASSIGNMENT.—In assigning such Officers pursuant
to subparagraph (B), the Commissioner shall consult with
the port directors of each service port and the other ports
of entry serviced by such service port. The Commissioner
shall not assign an Officer to a port of entry pursuant
to subparagraph (B)(ii) if the port director of the service
port that services such port of entry certifies to the
Commissioner that an additional Officer is not needed at
such port of entry.
‘‘(D) REPORT.—Not later than 60 days after the begin-
ning of each of the fiscal years 2008 through 2012, the
Commissioner shall submit a report to the Committee on
Finance of the Senate, the Committee on Homeland Secu-
rity and Governmental Affairs of the Senate, the Committee
on Homeland Security of the House of Representatives,
and the Committee on Ways and Means of the House
of Representatives, that describes how the additional Offi-
cers authorized under subparagraph (B) will be allocated
Deadline.
Deadline.
Reports.
Applicability.
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PUBLIC LAW 109–347—OCT. 13, 2006
among the ports of entry in the United States in accordance
with subparagraph (C).
‘‘(3) AUTHORIZATION
OF
APPROPRIATIONS.—In addition to
any monies hereafter appropriated to United States Customs
and Border Protection in the Department of Homeland Security,
there are authorized to be appropriated for the purpose of
meeting the requirements of paragraph (2)(B), to remain avail-
able until expended—
‘‘(A) $36,000,000 for fiscal year 2008;
‘‘(B) $75,000,000 for fiscal year 2009;
‘‘(C) $118,000,000 for fiscal year 2010;
‘‘(D) $165,000,000 for fiscal year 2011; and
‘‘(E) $217,000,000 for fiscal year 2012.
‘‘(4) REPORT.—Not later than 30 days after the end of
each fiscal year, the Commissioner shall report to the Com-
mittee on Finance of the Senate and the Committee on Ways
and Means of the House of Representatives on the resources
directed to commercial and trade facilitation functions within
the Office of Field Operations for the preceding fiscal year.
Such information shall be reported for each category of per-
sonnel within the Office of Field Operations.
‘‘(5) REGULATIONS TO IMPLEMENT TRADE AGREEMENTS.—Not
later than 30 days after the date of the enactment of the
SAFE Port Act, the Commissioner shall designate and maintain
not less than 5 attorneys within the Office of International
Trade established pursuant to section 2 of the Act of March
3, 1927 (44 Stat. 1381, chapter 348; 19 U.S.C. 2072), with
responsibility for the prompt development and promulgation
of regulations necessary to implement any trade agreement
entered into by the United States, in addition to any other
responsibilities assigned by the Commissioner.
‘‘(6) DEFINITION.—In this subsection, the term ‘Commis-
sioner’ means the Commissioner responsible for United States
Customs and Border Protection in the Department of Homeland
Security.’’.
SEC. 404. NEGOTIATIONS.
Section 629 of the Tariff Act of 1930 (19 U.S.C. 1629) is
amended by adding at the end the following:
‘‘(h) CUSTOMS PROCEDURES AND COMMITMENTS.—
‘‘(1) IN GENERAL.—The Secretary of Homeland Security,
the United States Trade Representative, and other appropriate
Federal officials shall work through appropriate international
organizations including the World Customs Organization
(WCO), the World Trade Organization (WTO), the International
Maritime Organization, and the Asia-Pacific Economic Coopera-
tion, to align, to the extent practicable, customs procedures,
standards, requirements, and commitments in order to facilitate
the efficient flow of international trade.
‘‘(2) UNITED STATES TRADE REPRESENTATIVE.—
‘‘(A) IN GENERAL.—The United States Trade Represent-
ative shall seek commitments in negotiations in the WTO
regarding the articles of GATT 1994 that are described
in subparagraph (B) that make progress in achieving—
‘‘(i) harmonization of import and export data col-
lected by WTO members for customs purposes, to the
extent practicable;
Deadline.
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‘‘(ii) enhanced procedural fairness and trans-
parency with respect to the regulation of imports and
exports by WTO members;
‘‘(iii) transparent standards for the efficient release
of cargo by WTO members, to the extent practicable;
and
‘‘(iv) the protection of confidential commercial data.
‘‘(B) ARTICLES DESCRIBED.—The articles of the GATT
1994 described in this subparagraph are the following:
‘‘(i) Article V (relating to transit).
‘‘(ii) Article VIII (relating to fees and formalities
associated with importation and exportation).
‘‘(iii) Article X (relating to publication and adminis-
tration of trade regulations).
‘‘(C) GATT 1994.—The term ‘GATT 1994’ means the
General Agreement on Tariff and Trade annexed to the
WTO Agreement.
‘‘(3) CUSTOMS.—The Secretary of Homeland Security, acting
through the Commissioner and in consultation with the United
States Trade Representative, shall work with the WCO to facili-
tate the efficient flow of international trade, taking into account
existing international agreements and the negotiating objec-
tives of the WTO. The Commissioner shall work to—
‘‘(A) harmonize, to the extent practicable, import data
collected by WCO members for customs purposes;
‘‘(B) automate and harmonize, to the extent practicable,
the collection and storage of commercial data by WCO
members;
‘‘(C) develop, to the extent practicable, transparent
standards for the release of cargo by WCO members;
‘‘(D) develop and harmonize, to the extent practicable,
standards, technologies, and protocols for physical or non-
intrusive examinations that will facilitate the efficient flow
of international trade; and
‘‘(E) ensure the protection of confidential commercial
data.
‘‘(4) DEFINITION.—In this subsection, the term ‘Commis-
sioner’ means the Commissioner responsible for the United
States Customs and Border Protection in the Department of
Homeland Security.’’.
SEC. 405. INTERNATIONAL TRADE DATA SYSTEM.
Section 411 of the Tariff Act of 1930 (19 U.S.C. 1411) is
amended by adding at the end the following:
‘‘(d) INTERNATIONAL TRADE DATA SYSTEM.—
‘‘(1) ESTABLISHMENT.—
‘‘(A) IN GENERAL.—The Secretary of the Treasury (in
this subsection, referred to as the ‘Secretary’) shall oversee
the establishment of an electronic trade data interchange
system to be known as the ‘International Trade Data
System’ (ITDS). The ITDS shall be implemented not later
than the date that the Automated Commercial Environ-
ment (commonly referred to as ‘ACE’) is fully implemented.
‘‘(B) PURPOSE.—The purpose of the ITDS is to eliminate
redundant information requirements, to efficiently regulate
the flow of commerce, and to effectively enforce laws and
regulations relating to international trade, by establishing
Deadline.
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PUBLIC LAW 109–347—OCT. 13, 2006
a single portal system, operated by the United States Cus-
toms and Border Protection, for the collection and distribu-
tion of standard electronic import and export data required
by all participating Federal agencies.
‘‘(C) PARTICIPATION.—
‘‘(i) IN GENERAL.—All Federal agencies that require
documentation for clearing or licensing the importation
and exportation of cargo shall participate in the ITDS.
‘‘(ii) WAIVER.—The Director of the Office of
Management and Budget may waive, in whole or in
part, the requirement for participation for any Federal
agency based on the vital national interest of the
United States.
‘‘(D) CONSULTATION.—The Secretary shall consult with
and assist the United States Customs and Border Protec-
tion and other agencies in the transition from paper to
electronic format for the submission, issuance, and storage
of documents relating to data required to enter cargo into
the United States. In so doing, the Secretary shall also
consult with private sector stakeholders, including the
Commercial Operations Advisory Committee, in developing
uniform data submission requirements, procedures, and
schedules, for the ITDS.
‘‘(E) COORDINATION.—The Secretary shall be respon-
sible for coordinating the operation of the ITDS among
the participating agencies and the office within the United
States Customs and Border Protection that is responsible
for maintaining the ITDS.
‘‘(2) DATA ELEMENTS.—
‘‘(A) IN
GENERAL.—The Interagency Steering Com-
mittee (established under paragraph (3)) shall, in consulta-
tion with the agencies participating in the ITDS, define
the standard set of data elements to be collected, stored,
and shared in the ITDS, consistent with laws applicable
to the collection and protection of import and export
information. The Interagency Steering Committee shall
periodically review the data elements in order to update
the standard set of data elements, as necessary.
‘‘(B) COMMITMENTS
AND
OBLIGATIONS.—The Inter-
agency Steering Committee shall ensure that the ITDS
data requirements are compatible with the commitments
and obligations of the United States as a member of the
World Customs Organization (WCO) and the World Trade
Organization (WTO) for the entry and movement of cargo.
‘‘(3) INTERAGENCY STEERING COMMITTEE.—There is estab-
lished an Interagency Steering Committee (in this section,
referred to as the ‘Committee’). The members of the Committee
shall include the Secretary (who shall serve as the chairperson
of the Committee), the Director of the Office of Management
and Budget, and the head of each agency participating in
the ITDS. The Committee shall assist the Secretary in over-
seeing the implementation of, and participation in, the ITDS.
‘‘(4) REPORT.—The President shall submit a report before
the end of each fiscal year to the Committee on Finance of
the Senate and the Committee on Ways and Means of the
House of Representatives. Each report shall include information
on—
President.
Estabishment.
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‘‘(A) the status of the ITDS implementation;
‘‘(B) the extent of participation in the ITDS by Federal
agencies;
‘‘(C) the remaining barriers to any agency’s participa-
tion;
‘‘(D) the consistency of the ITDS with applicable stand-
ards established by the World Customs Organization and
the World Trade Organization;
‘‘(E) recommendations for technological and other
improvements to the ITDS; and
‘‘(F) the status of the development, implementation,
and management of the Automated Commercial Environ-
ment within the United States Customs and Border Protec-
tion.
‘‘(5) SENSE OF CONGRESS.—It is the sense of Congress that
agency participation in the ITDS is an important priority of
the Federal Government and that the Secretary shall coordinate
the operation of the ITDS closely among the participating agen-
cies and the office within the United States Customs and Border
Protection that is responsible for maintaining the ITDS.
‘‘(6) CONSTRUCTION.—Nothing in this section shall be con-
strued as amending or modifying subsection (g) of section 301
of title 13, United States Code.
‘‘(7) 
DEFINITION.—The 
term 
‘Commercial 
Operations
Advisory Committee’ means the Advisory Committee estab-
lished pursuant to section 9503(c) of the Omnibus Budget Rec-
onciliation Act of 1987 (19 U.S.C. 2071 note) or any successor
committee.’’.
SEC. 406. IN-BOND CARGO.
Title IV of the Tariff Act of 1930 is amended by inserting
after section 553 the following:
‘‘SEC. 553A. REPORT ON IN-BOND CARGO.
‘‘(a) REPORT.—Not later than June 30, 2007, the Commissioner
shall submit a report to the Committee on Commerce, Science,
and Transportation of the Senate, the Committee on Finance of
the Senate, the Committee on Homeland Security and Govern-
mental Affairs of the Senate, the Committee on Homeland Security
of the House of Representatives, the Committee on Transportation
and Infrastructure of the House of Representatives, and the Com-
mittee on Ways and Means of the House of Representatives that
includes—
‘‘(1) a plan for closing in-bond entries at the port of arrival;
‘‘(2) an assessment of the personnel required to ensure
100 percent reconciliation of in-bond entries between the port
of arrival and the port of destination or exportation;
‘‘(3) an assessment of the status of investigations of overdue
in-bond shipments and an evaluation of the resources required
to ensure adequate investigation of overdue in-bond shipments;
‘‘(4) a plan for tracking in-bond cargo within the Automated
Commercial Environment (ACE);
‘‘(5) an assessment of whether any particular technologies
should be required in the transport of in-bond cargo;
‘‘(6) an assessment of whether ports of arrival should
require any additional information regarding shipments of in-
bond cargo;
19 USC 1553–1.
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‘‘(7) an evaluation of the criteria for targeting and exam-
ining in-bond cargo; and
‘‘(8) an assessment of the feasibility of reducing the transit
time for in-bond shipments, including an assessment of the
impact of such a change on domestic and international trade.
‘‘(b) DEFINITION.—In this section, the term ‘Commissioner’
means the Commissioner responsible for the United States Customs
and Border Protection in the Department of Homeland Security.’’.
SEC. 407. SENSE OF THE SENATE.
It is the sense of the Senate that nothing in sections 111
through 114, 121, and 201 through 236, or the amendments made
by such sections, shall be construed to affect the jurisdiction of
any Standing Committee of the Senate.
TITLE V—DOMESTIC NUCLEAR
DETECTION OFFICE
SEC. 501. ESTABLISHMENT OF DOMESTIC NUCLEAR DETECTION
OFFICE.
(a) ESTABLISHMENT OF OFFICE.—The Homeland Security Act
of 2002 (6 U.S.C. 101 et seq.) is amended by adding at the end
the following:
‘‘TITLE XVIII—DOMESTIC NUCLEAR
DETECTION OFFICE
‘‘SEC. 1801. DOMESTIC NUCLEAR DETECTION OFFICE.
‘‘(a) ESTABLISHMENT.—There shall be established in the Depart-
ment a Domestic Nuclear Detection Office (referred to in this title
as the ‘Office’). The Secretary may request that the Secretary of
Defense, the Secretary of Energy, the Secretary of State, the
Attorney General, the Nuclear Regulatory Commission, and the
directors of other Federal agencies, including elements of the Intel-
ligence Community, provide for the reimbursable detail of personnel
with relevant expertise to the Office.
‘‘(b) DIRECTOR.—The Office shall be headed by a Director for
Domestic Nuclear Detection, who shall be appointed by the Presi-
dent.
‘‘SEC. 1802. MISSION OF OFFICE.
‘‘(a) MISSION.—The Office shall be responsible for coordinating
Federal efforts to detect and protect against the unauthorized
importation, possession, storage, transportation, development, or
use of a nuclear explosive device, fissile material, or radiological
material in the United States, and to protect against attack using
such devices or materials against the people, territory, or interests
of the United States and, to this end, shall—
‘‘(1) serve as the primary entity of the United States
Government to further develop, acquire, and support the deploy-
ment of an enhanced domestic system to detect and report
on attempts to import, possess, store, transport, develop, or
use an unauthorized nuclear explosive device, fissile material,
or radiological material in the United States, and improve
that system over time;
6 USC 592.
President.
6 USC 591.
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‘‘(2) enhance and coordinate the nuclear detection efforts
of Federal, State, local, and tribal governments and the private
sector to ensure a managed, coordinated response;
‘‘(3) establish, with the approval of the Secretary and in
coordination with the Attorney General, the Secretary of
Defense, and the Secretary of Energy, additional protocols and
procedures for use within the United States to ensure that
the detection of unauthorized nuclear explosive devices, fissile
material, or radiological material is promptly reported to the
Attorney General, the Secretary, the Secretary of Defense, the
Secretary of Energy, and other appropriate officials or their
respective designees for appropriate action by law enforcement,
military, emergency response, or other authorities;
‘‘(4) develop, with the approval of the Secretary and in
coordination with the Attorney General, the Secretary of State,
the Secretary of Defense, and the Secretary of Energy, an
enhanced 
global 
nuclear 
detection 
architecture 
with
implementation under which—
‘‘(A) the Office will be responsible for the implementa-
tion of the domestic portion of the global architecture;
‘‘(B) the Secretary of Defense will retain responsibility
for implementation of Department of Defense requirements
within and outside the United States; and
‘‘(C) the Secretary of State, the Secretary of Defense,
and the Secretary of Energy will maintain their respective
responsibilities for policy guidance and implementation of
the portion of the global architecture outside the United
States, which will be implemented consistent with
applicable law and relevant international arrangements;
‘‘(5) ensure that the expertise necessary to accurately inter-
pret detection data is made available in a timely manner for
all technology deployed by the Office to implement the global
nuclear detection architecture;
‘‘(6) conduct, support, coordinate, and encourage an aggres-
sive, expedited, evolutionary, and transformational program of
research and development to generate and improve technologies
to detect and prevent the illicit entry, transport, assembly,
or potential use within the United States of a nuclear explosive
device or fissile or radiological material, and coordinate with
the Under Secretary for Science and Technology on basic and
advanced or transformational research and development efforts
relevant to the mission of both organizations;
‘‘(7) carry out a program to test and evaluate technology
for detecting a nuclear explosive device and fissile or radio-
logical material, in coordination with the Secretary of Defense
and the Secretary of Energy, as appropriate, and establish
performance metrics for evaluating the effectiveness of indi-
vidual detectors and detection systems in detecting such devices
or material—
‘‘(A) under realistic operational and environmental
conditions; and
‘‘(B) against realistic adversary tactics and counter-
measures;
‘‘(8) support and enhance the effective sharing and use
of appropriate information generated by the intelligence
community, 
law 
enforcement 
agencies, 
counterterrorism
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community, other government agencies, and foreign govern-
ments, as well as provide appropriate information to such enti-
ties;
‘‘(9) further enhance and maintain continuous awareness
by analyzing information from all Office mission-related detec-
tion systems; and
‘‘(10) perform other duties as assigned by the Secretary.
‘‘SEC. 1803. HIRING AUTHORITY.
‘‘In hiring personnel for the Office, the Secretary shall have
the hiring and management authorities provided in section 1101
of the Strom Thurmond National Defense Authorization Act for
Fiscal Year 1999 (5 U.S.C. 3104 note). The term of appointments
for employees under subsection (c)(1) of such section may not exceed
5 years before granting any extension under subsection (c)(2) of
such section.
‘‘SEC. 1804. TESTING AUTHORITY.
‘‘(a) IN GENERAL.—The Director shall coordinate with the
responsible Federal agency or other entity to facilitate the use
by the Office, by its contractors, or by other persons or entities,
of existing Government laboratories, centers, ranges, or other
testing facilities for the testing of materials, equipment, models,
computer software, and other items as may be related to the mis-
sions identified in section 1802. Any such use of Government facili-
ties shall be carried out in accordance with all applicable laws,
regulations, and contractual provisions, including those governing
security, safety, and environmental protection, including, when
applicable, the provisions of section 309. The Office may direct
that private sector entities utilizing Government facilities in accord-
ance with this section pay an appropriate fee to the agency that
owns or operates those facilities to defray additional costs to the
Government resulting from such use.
‘‘(b) CONFIDENTIALITY OF TEST RESULTS.—The results of tests
performed with services made available shall be confidential and
shall not be disclosed outside the Federal Government without
the consent of the persons for whom the tests are performed.
‘‘(c) FEES.—Fees for services made available under this section
shall not exceed the amount necessary to recoup the direct and
indirect costs involved, such as direct costs of utilities, contractor
support, and salaries of personnel that are incurred by the United
States to provide for the testing.
‘‘(d) USE OF FEES.—Fees received for services made available
under this section may be credited to the appropriation from which
funds were expended to provide such services.
‘‘SEC. 1805. RELATIONSHIP TO OTHER DEPARTMENT ENTITIES AND
FEDERAL AGENCIES.
‘‘The authority of the Director under this title shall not affect
the authorities or responsibilities of any officer of the Department
or of any officer of any other department or agency of the United
States with respect to the command, control, or direction of the
functions, personnel, funds, assets, and liabilities of any entity
within the Department or any Federal department or agency.
6 USC 595.
6 USC 594.
6 USC 593.
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‘‘SEC. 1806. CONTRACTING AND GRANT MAKING AUTHORITIES.
‘‘The Secretary, acting through the Director for Domestic
Nuclear Detection, in carrying out the responsibilities under para-
graphs (6) and (7) of section 1802(a), shall—
‘‘(1) operate extramural and intramural programs and dis-
tribute funds through grants, cooperative agreements, and
other transactions and contracts;
‘‘(2) ensure that activities under paragraphs (6) and (7)
of section 1802(a) include investigations of radiation detection
equipment in configurations suitable for deployment at sea-
ports, which may include underwater or water surface detection
equipment and detection equipment that can be mounted on
cranes and straddle cars used to move shipping containers;
and
‘‘(3) have the authority to establish or contract with 1
or more federally funded research and development centers
to provide independent analysis of homeland security issues
and carry out other responsibilities under this title.’’.
(b) TECHNICAL AND CONFORMING AMENDMENTS.—The Home-
land Security Act of 2002 (6 U.S.C. 101 et seq.) is amended—
(1) in section 103(d) (6 U.S.C. 113(d)), by adding at the
end the following:
‘‘(5) A Director for Domestic Nuclear Detection.’’;
(2) in section 302 (6 U.S.C. 182)—
(A) in paragraph (2), by striking ‘‘radiological, nuclear’’;
and
(B) in paragraph (5)(A), by striking ‘‘radiological,
nuclear’’; and
(3) in the table of contents, by adding at the end the
following:
‘‘TITLE XVIII—DOMESTIC NUCLEAR DETECTION OFFICE
‘‘Sec. 1801. Domestic Nuclear Detection Office.
‘‘Sec. 1802. Mission of Office.
‘‘Sec. 1803. Hiring authority.
‘‘Sec. 1804. Testing authority.
‘‘Sec. 1805. Relationship to other Department entities and Federal agencies.
‘‘Sec. 1806. Contracting and grant making authorities.’’.
SEC. 502. TECHNOLOGY RESEARCH AND DEVELOPMENT INVESTMENT
STRATEGY FOR NUCLEAR AND RADIOLOGICAL DETEC-
TION.
(a) IN GENERAL.—Not later than 1 year after the date of the
enactment of this Act, the Secretary, the Secretary of Energy,
the Secretary of Defense, and the Director of National Intelligence
shall submit to Congress a research and development investment
strategy for nuclear and radiological detection.
(b) CONTENTS.—The strategy under subsection (a) shall
include—
(1) a long term technology roadmap for nuclear and radio-
logical detection applicable to the mission needs of the Depart-
ment, the Department of Energy, the Department of Defense,
and the Office of the Director of National Intelligence;
(2) budget requirements necessary to meet the roadmap;
and
(3) documentation of how the Department, the Department
of Energy, the Department of Defense, and the Office of the
Director of National Intelligence will execute this strategy.
Deadline.
6 USC 592a.
6 USC 596.
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(c) INITIAL REPORT.—Not later than 1 year after the date of
the enactment of this Act, the Secretary shall submit a report
to the appropriate congressional committees on—
(1) the impact of this title, and the amendments made
by this title, on the responsibilities under section 302 of the
Homeland Security Act of 2002 (6 U.S.C. 182); and
(2) the efforts of the Department to coordinate, integrate,
and establish priorities for conducting all basic and applied
research, development, testing, and evaluation of technology
and systems to detect, prevent, protect, and respond to chem-
ical, biological, radiological, and nuclear terrorist attacks.
(d) ANNUAL REPORT.—The Director for Domestic Nuclear Detec-
tion and the Under Secretary for Science and Technology shall
jointly and annually notify Congress that the strategy and tech-
nology road map for nuclear and radiological detection developed
under subsections (a) and (b) is consistent with the national policy
and strategic plan for identifying priorities, goals, objectives, and
policies for coordinating the Federal Government’s civilian efforts
to identify and develop countermeasures to terrorist threats from
weapons of mass destruction that are required under section 302(2)
of the Homeland Security Act of 2002 (6 U.S.C. 182(2)).
TITLE VI—COMMERCIAL MOBILE
SERVICE ALERTS
SEC. 601. SHORT TITLE.
This title may be cited as the ‘‘Warning, Alert, and Response
Network Act’’.
SEC. 602. FEDERAL COMMUNICATIONS COMMISSION DUTIES.
(a) COMMERCIAL
MOBILE
SERVICE
ALERT
REGULATIONS.—
Within 180 days after the date on which the Commercial Mobile
Service Alert Advisory Committee, established pursuant to section
603(a), transmits recommendations to the Federal Communications
Commission, the Commission shall complete a proceeding to adopt
relevant technical standards, protocols, procedures, and other tech-
nical requirements based on the recommendations of such Advisory
Committee necessary to enable commercial mobile service alerting
capability for commercial mobile service providers that voluntarily
elect to transmit emergency alerts. The Commission shall consult
with the National Institute of Standards and Technology regarding
the adoption of technical standards under this subsection.
(b) COMMERCIAL MOBILE SERVICE ELECTION.—
(1) 
AMENDMENT
OF
COMMERCIAL
MOBILE
SERVICE
LICENSE.—Within 120 days after the date on which the Federal
Communications Commission adopts relevant technical stand-
ards and other technical requirements pursuant to subsection
(a), the Commission shall complete a proceeding—
(A) to allow any licensee providing commercial mobile
service (as defined in section 332(d)(1) of the Communica-
tions Act of 1934 (47 U.S.C. 332(d)(1))) to transmit emer-
gency alerts to subscribers to, or users of, the commercial
mobile service provided by such licensee;
(B) to require any licensee providing commercial mobile
service that elects, in whole or in part, under paragraph
(2) not to transmit emergency alerts to provide clear and
Deadline.
Deadline.
42 USC 1201.
42 USC 1201
note.
Warning, Alert,
and Response
Network Act.
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conspicuous notice at the point of sale of any devices with
which its commercial mobile service is included, that it
will not transmit such alerts via the service it provides
for the device; and
(C) to require any licensee providing commercial mobile
service that elects under paragraph (2) not to transmit
emergency alerts to notify its existing subscribers of its
election.
(2) ELECTION.—
(A) IN GENERAL.—Within 30 days after the Commission
issues its order under paragraph (1), each licensee pro-
viding commercial mobile service shall file an election with
the Commission with respect to whether or not it intends
to transmit emergency alerts.
(B) TRANSMISSION
STANDARDS; NOTIFICATION.—If a
licensee providing commercial mobile service elects to
transmit emergency alerts via its commercial mobile
service, the licensee shall—
(i) notify the Commission of its election; and
(ii) agree to transmit such alerts in a manner
consistent with the technical standards, protocols,
procedures, and other technical requirements imple-
mented by the Commission.
(C) NO FEE FOR SERVICE.—A commercial mobile service
licensee that elects to transmit emergency alerts may not
impose a separate or additional charge for such trans-
mission or capability.
(D) WITHDRAWAL; LATE
ELECTION.—The Commission
shall establish a procedure—
(i) for a commercial mobile service licensee that
has elected to transmit emergency alerts to withdraw
its election without regulatory penalty or forfeiture
upon advance written notification of the withdrawal
to its affected subscribers;
(ii) for a commercial mobile service licensee to
elect to transmit emergency alerts at a date later than
provided in subparagraph (A); and
(iii) under which a subscriber may terminate a
subscription to service provided by a commercial mobile
service licensee that withdraws its election without
penalty or early termination fee.
(E) CONSUMER CHOICE TECHNOLOGY.—Any commercial
mobile service licensee electing to transmit emergency
alerts may offer subscribers the capability of preventing
the subscriber’s device from receiving such alerts, or classes
of such alerts, other than an alert issued by the President.
Within 2 years after the Commission completes the pro-
ceeding under paragraph (1), the Commission shall
examine the issue of whether a commercial mobile service
provider should continue to be permitted to offer its sub-
scribers such capability. The Commission shall submit a
report with its recommendations to the Committee on Com-
merce, Science, and Transportation of the Senate and the
Committee on Energy and Commerce of the House of Rep-
resentatives.
Reports.
Deadline.
Procedures.
Deadline.
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(c) DIGITAL TELEVISION TRANSMISSION TOWERS RETRANSMISSION
CAPABILITY.—Within 90 days after the date on which the Commis-
sion adopts relevant technical standards based on recommendations
of the Commercial Mobile Service Alert Advisory Committee, estab-
lished pursuant to section 603(a), the Commission shall complete
a proceeding to require licensees and permittees of noncommercial
educational broadcast stations or public broadcast stations (as those
terms are defined in section 397(6) of the Communications Act
of 1934 (47 U.S.C. 397(6))) to install necessary equipment and
technologies on, or as part of, any broadcast television digital signal
transmitter to enable the distribution of geographically targeted
alerts by commercial mobile service providers that have elected
to transmit emergency alerts under this section.
(d) FCC REGULATION OF COMPLIANCE.—The Federal Commu-
nications Commission may enforce compliance with this title but
shall have no rulemaking authority under this title, except as
provided in subsections (a), (b), (c), and (f).
(e) LIMITATION OF LIABILITY.—
(1) IN GENERAL.—Any commercial mobile service provider
(including its officers, directors, employees, vendors, and agents)
that transmits emergency alerts and meets its obligations under
this title shall not be liable to any subscriber to, or user
of, such person’s service or equipment for—
(A) any act or omission related to or any harm resulting
from the transmission of, or failure to transmit, an emer-
gency alert; or
(B) the release to a government agency or entity, public
safety, fire service, law enforcement official, emergency
medical service, or emergency facility of subscriber informa-
tion used in connection with delivering such an alert.
(2) ELECTION NOT TO TRANSMIT ALERTS.—The election by
a commercial mobile service provider under subsection (b)(2)(A)
not to transmit emergency alerts, or to withdraw its election
to transmit such alerts under subsection (b)(2)(D) shall not,
by itself, provide a basis for liability against the provider
(including its officers, directors, employees, vendors, and
agents).
(f) TESTING.—The Commission shall require by regulation tech-
nical testing for commercial mobile service providers that elect
to transmit emergency alerts and for the devices and equipment
used by such providers for transmitting such alerts.
SEC. 603. COMMERCIAL MOBILE SERVICE ALERT ADVISORY COM-
MITTEE.
(a) ESTABLISHMENT.—Not later than 60 days after the date
of enactment of this Act, the chairman of the Federal Communica-
tions Commission shall establish an advisory committee, to be
known as the Commercial Mobile Service Alert Advisory Committee
(referred to in this section as the ‘‘Advisory Committee’’).
(b) MEMBERSHIP.—The chairman of the Federal Communica-
tions Commission shall appoint the members of the Advisory Com-
mittee, as soon as practicable after the date of enactment of this
Act, from the following groups:
(1) STATE
AND
LOCAL
GOVERNMENT
REPRESENTATIVES.—
Representatives of State and local governments and representa-
tives of emergency response providers, selected from among
Deadline.
47 USC 1202.
Regulations.
Deadline.
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PUBLIC LAW 109–347—OCT. 13, 2006
individuals nominated by national organizations representing
such governments and personnel.
(2) TRIBAL GOVERNMENTS.—Representatives from Federally
recognized Indian tribes and National Indian organizations.
(3) SUBJECT MATTER EXPERTS.—Individuals who have the
requisite technical knowledge and expertise to serve on the
Advisory Committee in the fulfillment of its duties, including
representatives of—
(A) communications service providers;
(B) vendors, developers, and manufacturers of systems,
facilities, equipment, and capabilities for the provision of
communications services;
(C) third-party service bureaus;
(D) technical experts from the broadcasting industry;
(E) the national organization representing the licensees
and permittees of noncommercial broadcast television sta-
tions;
(F) national organizations representing individuals
with special needs, including individuals with disabilities
and the elderly; and
(G) other individuals with relevant technical expertise.
(4) QUALIFIED REPRESENTATIVES OF OTHER STAKEHOLDERS
AND INTERESTED PARTIES.—Qualified representatives of such
other stakeholders and interested and affected parties as the
chairman deems appropriate.
(c) DEVELOPMENT OF SYSTEM-CRITICAL RECOMMENDATIONS.—
Within 1 year 1after the date of enactment of this Act, the Advisory
Committee shall develop and submit to the Federal Communications
Commission recommendations—
(1) for protocols, technical capabilities, and technical proce-
dures through which electing commercial mobile service pro-
viders receive, verify, and transmit alerts to subscribers;
(2) for the establishment of technical standards for priority
transmission of alerts by electing commercial mobile service
providers to subscribers;
(3) for relevant technical standards for devices and equip-
ment and technologies used by electing commercial mobile
service providers to transmit emergency alerts to subscribers;
(4) for the technical capability to transmit emergency alerts
by electing commercial mobile providers to subscribers in lan-
guages in addition to English, to the extent practicable and
feasible;
(5) under which electing commercial mobile service pro-
viders may offer subscribers the capability of preventing the
subscriber’s device from receiving emergency alerts, or classes
of such alerts, (other than an alert issued by the President),
consistent with section 602(b)(2)(E);
(6) for a process under which commercial mobile service
providers can elect to transmit emergency alerts if—
(A) not all of the devices or equipment used by such
provider are capable of receiving such alerts; or
(B) the provider cannot offer such alerts throughout
the entirety of its service area; and
(7) as otherwise necessary to enable electing commercial
mobile service providers to transmit emergency alerts to sub-
scribers.
(d) MEETINGS.—
Deadline.
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(1) INITIAL MEETING.—The initial meeting of the Advisory
Committee shall take place not later than 60 days after the
date of the enactment of this Act.
(2) OTHER
MEETINGS.—After the initial meeting, the
Advisory Committee shall meet at the call of the chair.
(3) NOTICE; OPEN MEETINGS.—Any meetings held by the
Advisory Committee shall be duly noticed at least 14 days
in advance and shall be open to the public.
(e) RULES.—
(1) QUORUM.—One-third of the members of the Advisory
Committee shall constitute a quorum for conducting business
of the Advisory Committee.
(2) SUBCOMMITTEES.—To assist the Advisory Committee
in carrying out its functions, the chair may establish appro-
priate subcommittees composed of members of the Advisory
Committee and other subject matter experts as deemed nec-
essary.
(3) ADDITIONAL
RULES.—The Advisory Committee may
adopt other rules as needed.
(f) FEDERAL ADVISORY COMMITTEE ACT.—Neither the Federal
Advisory Committee Act (5 U.S.C. App.) nor any rule, order, or
regulation promulgated under that Act shall apply to the Advisory
Committee.
(g) CONSULTATION WITH NIST.—The Advisory Committee shall
consult with the National Institute of Standards and Technology
in its work on developing recommendations under paragraphs (2)
and (3) of subsection (c).
SEC. 604. RESEARCH AND DEVELOPMENT.
(a) IN GENERAL.—The Under Secretary of Homeland Security
for Science and Technology, in consultation with the director of
the National Institute of Standards and Technology and the chair-
man of the Federal Communications Commission, shall establish
a research, development, testing, and evaluation program based
on the recommendations of the Commercial Mobile Service Alert
Advisory Committee, established pursuant to section 603(a), to sup-
port the development of technologies to increase the number of
commercial mobile service devices that can receive emergency alerts.
(b) FUNCTIONS.—The program established under subsection (a)
shall—
(1) fund research, development, testing, and evaluation
at academic institutions, private sector entities, government
laboratories, and other appropriate entities; and
(2) ensure that the program addresses, at a minimum—
(A) developing innovative technologies that will
transmit geographically targeted emergency alerts to the
public; and
(B) research on understanding and improving public
response to warnings.
SEC. 605. GRANT PROGRAM FOR REMOTE COMMUNITY ALERT SYS-
TEMS.
(a) GRANT PROGRAM.—The Under Secretary of Commerce for
Oceans and Atmosphere, in consultation with the Secretary of
Homeland Security, shall establish a program under which grants
may be made to provide for outdoor alerting technologies in remote
communities effectively unserved by commercial mobile service (as
determined by the Federal Communications Commission within
Deadline.
47 USC 1204.
47 USC 1203.
Deadline.
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PUBLIC LAW 109–347—OCT. 13, 2006
180 days after the date of enactment of this Act) for the purpose
of enabling residents of those communities to receive emergency
alerts.
(b) APPLICATIONS AND CONDITIONS.—In conducting the program,
the Under Secretary—
(1) shall establish a notification and application procedure;
and
(2) may establish such conditions, and require such assur-
ances, as may be appropriate to ensure the efficiency and
integrity of the grant program.
(c) SUNSET.—The Under Secretary may not make grants under
subsection (a) more than 5 years after the date of enactment of
this Act.
(d) LIMITATION.—The sum of the amounts awarded for all fiscal
years as grants under this section may not exceed $10,000,000.
SEC. 606. FUNDING.
(a) IN GENERAL.—In addition to any amounts provided by
appropriation Acts, funding for this title shall be provided from
the Digital Transition and Public Safety Fund in accordance with
section 3010 of the Digital Television Transition and Public Safety
Act of 2005 (47 U.S.C. 309 note).
(b) COMPENSATION.—The Assistant Secretary of Commerce
for7Communications and Information shall compensate any such
broadcast station licensee or permittee for reasonable costs incurred
in complying with the requirements imposed pursuant to section
602(c) from funds made available under this section. The Assistant
Secretary shall ensure that sufficient funds are made available
to effectuate geographically targeted alerts.
(c) CREDIT.—The Assistant Secretary of Commerce for Commu-
nications and Information, in consultation with the Under Secretary
of Homeland Security for Science and Technology and the Under
Secretary of Commerce for Oceans and Atmosphere, may borrow
from the Treasury beginning on October 1, 2006, such sums as
may be necessary, but not to exceed $106,000,000, to implement
this title. The Assistant Secretary of Commerce for Communications
and Information shall ensure that the Under Secretary of Homeland
Security for Science and Technology and the Under Secretary of
Commerce for Oceans and Atmosphere are provided adequate funds
to carry out their responsibilities under sections 604 and 605 of
this title. The Treasury shall be reimbursed, without interest, from
amounts in the Digital Television Transition and Public Safety
Fund as funds are deposited into the Fund.
SEC. 607. ESSENTIAL SERVICES DISASTER ASSISTANCE.
Title IV of the Robert T. Stafford Disaster Relief and Emergency
Assistance Act (42 U.S.C. 5170 et seq.) is amended by adding
at the end the following:
‘‘SEC. 425. ESSENTIAL SERVICE PROVIDERS.
‘‘(a) DEFINITION.—In this section, the term ‘essential service
provider’ means an entity that—
‘‘(1) provides—
‘‘(A) telecommunications service;
‘‘(B) electrical power;
‘‘(C) natural gas;
‘‘(D) water and sewer services; or
42 USC 5189e.
Reimbursement.
Effective date.
47 USC 1205.
Procedures.
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‘‘(E) any other essential service, as determined by the
President;
‘‘(2) is—
‘‘(A) a municipal entity;
‘‘(B) a nonprofit entity; or
‘‘(C) a private, for profit entity; and
‘‘(3) is contributing to efforts to respond to an emergency
or major disaster.
‘‘(b) AUTHORIZATION
FOR ACCESSIBILITY.—Unless exceptional
circumstances apply, in an emergency or major disaster, the head
of a Federal agency, to the greatest extent practicable, shall not—
‘‘(1) deny or impede access to the disaster site to an essen-
tial service provider whose access is necessary to restore and
repair an essential service; or
‘‘(2) impede the restoration or repair of the services
described in subsection (a)(1).
‘‘(c) IMPLEMENTATION.—In implementing this section, the head
of a Federal agency shall follow all applicable Federal laws, regula-
tions, and policies.’’.
SEC. 608. COMMUNITY DISASTER LOANS.
Section 417(b) of the Robert T. Stafford Disaster Relief and
Emergency Assistance Act (42 U.S.C. 5184(b)) is amended—
(1) by striking ‘‘exceed 25 per centum’’ and inserting the
following: ‘‘exceed—
‘‘(1) 25 percent’’; and
(2) by striking the period at the end and inserting the
following: ‘‘; or
‘‘(2) if the loss of tax and other revenues of the local
government as a result of the major disaster is at least 75
percent of the annual operating budget of that local government
for the fiscal year in which the major disaster occurs, 50 percent
of the annual operating budget of that local government for
the fiscal year in which the major disaster occurs, and shall
not exceed $5,000,000.’’.
SEC. 609. PUBLIC FACILITIES.
Section 406(c)(1) of the Robert T. Stafford Disaster Relief and
Emergency Assistance Act (42 U.S.C. 5172(c)(1)) is amended—
(1) in subparagraph (A), by striking ‘‘75’’ and inserting
‘‘90’’;
(2) by striking subparagraph (B); and
(3) by redesignating subparagraphs (C) and (D) as subpara-
graphs (B) and (C), respectively.
SEC. 610. EXPEDITED PAYMENTS.
Section 407 of the Robert T. Stafford Disaster Relief and Emer-
gency Assistance Act (42 U.S.C. 5173) is amended by adding at
the end the following:
‘‘(e) EXPEDITED PAYMENTS.—
‘‘(1) GRANT ASSISTANCE.—In making a grant under sub-
section (a)(2), the President shall provide not less than 50
percent of the President’s initial estimate of the Federal share
of assistance as an initial payment in accordance with para-
graph (2).
‘‘(2) DATE OF PAYMENT.—Not later than 60 days after the
date of the estimate described in paragraph (1) and not later
Deadlines.
President.
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than 90 days after the date on which the State or local govern-
ment or owner or operator of a private nonprofit facility applies
for assistance under this section, an initial payment described
in paragraph (1) shall be paid.’’.
SEC. 611. USE OF LOCAL CONTRACTING.
Section 307(b) of the Robert T. Stafford Disaster Relief and
Emergency Assistance Act (42 U.S.C. 5150), as amended by the
Post-Katrina Emergency Management Reform Act of 2006, is
amended by adding at the end the following:
‘‘(3) FORMULATION OF REQUIREMENTS.—The head of a Fed-
eral agency, as feasible and practicable, shall formulate appro-
priate requirements to facilitate compliance with this section.’’.
SEC. 612. FEMA PROGRAMS.
Notwithstanding any other provision of Federal law, as of April
1, 2007, the Director of the Federal Emergency Management Agency
shall be responsible for the radiological emergency preparedness
program and the chemical stockpile emergency preparedness pro-
gram.
SEC. 613. HOMELAND SECURITY DEFINITION.
Section 2(6) of the Homeland Security Act of 2002 (6 U.S.C.
101(6)) is amended by inserting ‘‘governmental and nongovern-
mental’’ after ‘‘local’’.
TITLE VII—OTHER MATTERS
SEC. 701. SECURITY PLAN FOR ESSENTIAL AIR SERVICE AND SMALL
COMMUNITY AIRPORTS.
(a) IN GENERAL.—Not later than 60 days after the date of
the enactment of this Act, the Assistant Secretary for the Transpor-
tation Security Administration shall submit to Congress a security
plan for—
(1) Essential Air Service airports in the United States;
and
(2) airports whose community or consortia of communities
receive assistance under the Small Community Air Service
Development Program authorized under section 41743 of title
49, United States Code, and maintain, resume, or obtain sched-
uled passenger air carrier service with assistance from that
program in the United States.
(b) ELEMENTS OF PLAN.—The security plans required under
subsection (a) shall include the following:
(1) Recommendations for improved security measures at
such airports.
(2) Recommendations for proper passenger and cargo secu-
rity screening procedures at such airports.
(3) A timeline for implementation of recommended security
measures or procedures at such airports.
(4) Cost analysis for implementation of recommended secu-
rity measures or procedures at such airports.
SEC. 702. DISCLOSURES REGARDING HOMELAND SECURITY GRANTS.
(a) DEFINITIONS.—In this section:
6 USC 470.
Deadline.
Effective date.
6 USC 314a.
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(1) HOMELAND
SECURITY
GRANT.—The term ‘‘homeland
security grant’’ means any grant made or administered by
the Department, including—
(A) the State Homeland Security Grant Program;
(B) the Urban Area Security Initiative Grant Program;
(C) the Law Enforcement Terrorism Prevention Pro-
gram;
(D) the Citizen Corps; and
(E) the Metropolitan Medical Response System.
(2) LOCAL GOVERNMENT.—The term ‘‘local government’’ has
the meaning given the term in section 2 of the Homeland
Security Act of 2002 (6 U.S.C. 101).
(b) REQUIRED DISCLOSURES.—Each State or local government
that receives a homeland security grant shall, not later than 12
months after the later of the date of the enactment of this Act
and the date of receipt of such grant, and every 12 months there-
after until all funds provided under such grant are expended, submit
a report to the Secretary that contains a list of all expenditures
made by such State or local government using funds from such
grant.
SEC. 703. TRUCKING SECURITY.
(a) LEGAL STATUS VERIFICATION FOR LICENSED UNITED STATES
COMMERCIAL DRIVERS.—Not later than 18 months after the date
of the enactment of this Act, the Secretary of Transportation, in
cooperation with the Secretary, shall issue regulations to implement
the recommendations contained in the memorandum of the
Inspector General of the Department of Transportation issued on
June 4, 2004 (Control No. 2004–054).
(b) COMMERCIAL DRIVER’S LICENSE ANTIFRAUD PROGRAMS.—
Not later than 18 months after the date of the enactment of this
Act, the Secretary of Transportation, in cooperation with the Sec-
retary, shall issue a regulation to implement the recommendations
contained in the Report on Federal Motor Carrier Safety Adminis-
tration Oversight of the Commercial Driver’s License Program (MH–
2006–037).
(c) VERIFICATION OF COMMERCIAL MOTOR VEHICLE TRAFFIC.—
(1) GUIDELINES.—Not later than 18 months after the date
of the enactment of this Act, the Secretary, in consultation
with the Secretary of Transportation, shall draft guidelines
for Federal, State, and local law enforcement officials, including
motor carrier safety enforcement personnel, on how to identify
noncompliance with Federal laws uniquely applicable to
commercial motor vehicles and commercial motor vehicle opera-
tors engaged in cross-border traffic and communicate such non-
compliance to the appropriate Federal authorities. Such guide-
lines shall be coordinated with the training and outreach activi-
ties of the Federal Motor Carrier Safety Administration under
section 4139 of SAFETEA-LU (Public Law 109–59).
(2) VERIFICATION.—Not later than 18 months after the
date of the enactment of this Act, the Administrator of the
Federal Motor Carrier Safety Administration shall modify the
final rule regarding the enforcement of operating authority
(Docket No. FMCSA–2002–13015) to establish a system or
process by which a carrier’s operating authority can be verified
during a roadside inspection.
Deadlines
Regulations.
49 USC 31100
note.
Deadlines.
Reports.
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PUBLIC LAW 109–347—OCT. 13, 2006
SEC. 704. AIR AND MARINE OPERATIONS OF THE NORTHERN BORDER
AIR WING.
In addition to any other amounts authorized to be appropriated
for Air and Marine Operations of United States Customs and Border
Protection for fiscal year 2008, there are authorized to be appro-
priated such sums as may be necessary for operation expenses
and aviation assets, for primary and secondary sites, of the
Northern Border Air Wing Branch in Great Falls, Montana.
SEC. 705. PHASEOUT OF VESSELS SUPPORTING OIL AND GAS DEVELOP-
MENT.
(a) IN GENERAL.—Notwithstanding section 12105(c) of title 46,
United States Code, a foreign-flag vessel may be chartered by,
or on behalf of, a lessee to be employed for the setting, relocation,
or recovery of anchors or other mooring equipment of a mobile
offshore drilling unit that is located over the Outer Continental
Shelf (as defined in section 2(a) of the Outer Continental Shelf
Lands Act (43 U.S.C. 1331(a)) for operations in support of explo-
ration, or flow-testing and stimulation of wells, for offshore mineral
or energy resources in the Beaufort Sea or the Chukchi Sea adjacent
to Alaska—
(1) until December 31, 2009, if the Secretary of Transpor-
tation determines after publishing notice in the Federal Reg-
ister, that insufficient vessels documented under section
12105(c) of title 46, United States Code, are reasonably avail-
able and suitable for these support operations and all such
reasonably available and suitable vessels are employed in sup-
port of such operations; and
(2) for an additional 2-year period beginning January 1,
2010, if the Secretary of Transportation determines —
(A) as of December 31, 2009, the lessee has entered
into a binding agreement to employ an eligible vessel or
vessels to be documented under section 12105(c) of title
46, United States Code, in sufficient numbers and with
sufficient suitability to replace any vessel or vessels oper-
ating under this section; and
(B) after publishing notice in the Federal Register,
that insufficient vessels documented under section 12105(c)
of title 46, United States Code, are reasonably available
and suitable for these support operations and all such
reasonably available and suitable vessels are employed in
support of such operations.
(b) LESSEE DEFINED.—In this section, the term ‘‘lessee’’ means
the holder of a lease (as defined in section 1331(c) of title 43,
United States Code).
(c) SAVINGS PROVISION.—Nothing in subsection (a) may be con-
strued to authorize the employment in the coastwise trade of a
vessel that does not meet the requirements of section 12106 of
title 46, United States Code.
SEC. 706. COAST GUARD PROPERTY IN PORTLAND, MAINE.
Section 347(c) of the Maritime Transportation Security Act
of 2002 (Public Law 107–295; 116 Stat. 2109) is amended by striking
‘‘within 30 months from the date of conveyance’’ and inserting
‘‘by December 31, 2009’’.
Federal Register,
publication.
Extension date.
Deadline.
Federal Register,
publication.
Alaska.
Appropriation
authorization.
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PUBLIC LAW 109–347—OCT. 13, 2006
SEC. 707. METHAMPHETAMINE AND METHAMPHETAMINE PRECURSOR
CHEMICALS.
(a) COMPLIANCE WITH PERFORMANCE PLAN REQUIREMENTS.—
As part of the annual performance plan required in the budget
submission of the United States Customs and Border Protection
under section 1115 of title 31, United States Code, the Commis-
sioner shall establish performance indicators relating to the seizure
of methamphetamine and methamphetamine precursor chemicals
in order to evaluate the performance goals of the United States
Customs and Border Protection with respect to the interdiction
of illegal drugs entering the United States.
(b) STUDY AND REPORT RELATING TO METHAMPHETAMINE AND
METHAMPHETAMINE PRECURSOR CHEMICALS.—
(1) ANALYSIS.—The Commissioner shall, on an ongoing
basis, analyze the movement of methamphetamine and meth-
amphetamine precursor chemicals into the United States. In
conducting the analysis, the Commissioner shall—
(A) consider the entry of methamphetamine and meth-
amphetamine precursor chemicals through ports of entry,
between ports of entry, through international mails, and
through international courier services;
(B) examine the export procedures of each foreign
country where the shipments of methamphetamine and
methamphetamine precursor chemicals originate and deter-
mine if changes in the country’s customs over time provi-
sions would alleviate the export of methamphetamine and
methamphetamine precursor chemicals; and
(C) identify emerging trends in smuggling techniques
and strategies.
(2) REPORT.—Not later than September 30, 2007, and each
2-year period thereafter, the Commissioner, in the consultation
with the Attorney General, United States Immigration and
Customs Enforcement, the United States Drug Enforcement
Administration, and the United States Department of State,
shall submit a report to the Committee on Finance of the
Senate, the Committee on Foreign Relations of the Senate,
the Committee on the Judiciary of the Senate, the Committee
on Ways and Means of the House of Representatives, the Com-
mittee on International Relations of the House of Representa-
tives, and the Committee on the Judiciary of the House of
Representatives, that includes—
(A) a comprehensive summary of the analysis described
in paragraph (1); and
(B) a description of how the Untied States Customs
and Border Protection utilized the analysis described in
paragraph (1) to target shipments presenting a high risk
for smuggling or circumvention of the Combat Meth-
amphetamine Epidemic Act of 2005 (Public Law 109–177).
(3) AVAILABILITY OF ANALYSIS.—The Commissioner shall
ensure that the analysis described in paragraph (1) is made
available in a timely manner to the Secretary of State to
facilitate the Secretary in fulfilling the Secretary’s reporting
requirements in section 722 of the Combat Methamphetamine
Epidemic Act of 2005.
(c) DEFINITION.—In this section, the term ‘‘methamphetamine
precursor 
chemicals’’ 
means 
the 
chemicals 
ephedrine,
6 USC 220.
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pseudoephedrine, or phenylpropanolamine, including each of the
salts, optical isomers, and salts of optical isomers of such chemicals.
SEC. 
708. 
AIRCRAFT 
CHARTER 
CUSTOMER 
AND 
LESSEE
PRESCREENING PROGRAM.
(a) IMPLEMENTATION STATUS.—Not later than 270 days after
the implementation of the Department’s aircraft charter customer
and lessee prescreening process required under section 44903(j)(2)
of title 49, United States Code, the Comptroller General of the
United States shall—
(1) assess the status and implementation of the program
and the use of the program by the general aviation charter
and rental community; and
(2) submit a report containing the findings, conclusions,
and recommendations, if any, of such assessment to—
(A) the Committee on Commerce, Science, and
Transportation of the Senate;
(B) the Committee on Homeland Security of the House
of Representatives; and
(C) the Committee on Transportation and Infrastruc-
ture of the House of Representatives.
SEC. 709. PROTECTION OF HEALTH AND SAFETY DURING DISASTERS.
(a) DEFINITIONS.—In this section:
(1) CERTIFIED MONITORING PROGRAM.—The term ‘‘certified
monitoring program’’ means a medical monitoring program—
(A) in which a participating responder is a participant
as a condition of the employment of such participating
responder; and
(B) that the Secretary of Health and Human Services
certifies includes an adequate baseline medical screening.
(2) DISASTER AREA.—The term ‘‘disaster area’’ means an
area in which the President has declared a major disaster
(as that term is defined in section 102 of the Robert T. Stafford
Disaster Relief and Emergency Assistance Act (42 U.S.C. 5122)),
during the period of such declaration.
(3) HIGH EXPOSURE LEVEL.—The term ‘‘high exposure level’’
means a level of exposure to a substance of concern that is
for such a duration, or of such a magnitude, that adverse
effects on human health can be reasonably expected to occur,
as determined by the President, acting through the Secretary
of Health and Human Services, in accordance with human
monitoring or environmental or other appropriate indicators.
(4) INDIVIDUAL.—The term ‘‘individual’’ includes—
(A) a worker or volunteer who responds to a disaster,
either natural or manmade, involving any mode of
transportation in the United States or disrupting the
transportation system of the United States, including—
(i) a police officer;
(ii) a firefighter;
(iii) an emergency medical technician;
(iv) any participating member of an urban search
and rescue team; and
(v) any other relief or rescue worker or volunteer
that the President, acting through the Secretary of
Health and Human Services, determines to be appro-
priate;
42 USC
300hh–14.
Reports.
Deadline.
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(B) a worker who responds to a disaster, either natural
or manmade, involving any mode of transportation in the
United States or disrupting the transportation system of
the United States, by assisting in the cleanup or restoration
of critical infrastructure in and around a disaster area;
(C) a person whose place of residence is in a disaster
area, caused by either a natural or manmade disaster
involving any mode of transportation in the United States
or disrupting the transportation system of the United
States;
(D) a person who is employed in or attends school,
child care, or adult day care in a building located in a
disaster area, caused by either a natural or manmade
disaster involving any mode of transportation in the United
States or disrupting the transportation system of the
United States, of the United States; and
(E) any other person that the President, acting through
the Secretary of Health and Human Services, determines
to be appropriate.
(5) PARTICIPATING
RESPONDER.—The term ‘‘participating
responder’’ means an individual described in paragraph (4)(A).
(6) PROGRAM.—The term ‘‘program’’ means a program
described in subsection (b) that is carried out for a disaster
area.
(7) SUBSTANCE OF CONCERN.—The term ‘‘substance of con-
cern’’ means a chemical or other substance that is associated
with potential acute or chronic human health effects, the risk
of exposure to which could potentially be increased as the
result of a disaster, as determined by the President, acting
through the Secretary of Health and Human Services, and
in coordination with the Agency for Toxic Substances and Dis-
ease Registry, the Environmental Protection Agency, the Cen-
ters for Disease Control and Prevention, the National Institutes
of Health, the Federal Emergency Management Agency, the
Occupational Health and Safety Administration, and other
agencies.
(b) PROGRAM.—
(1) IN GENERAL.—If the President, acting through the Sec-
retary of Health and Human Services, determines that 1 or
more substances of concern are being, or have been, released
in an area declared to be a disaster area and disrupts the
transportation system of the United States, the President,
acting through the Secretary of Health and Human Services,
may carry out a program for the coordination, protection,
assessment, monitoring, and study of the health and safety
of individuals with high exposure levels to ensure that—
(A) the individuals are adequately informed about and
protected against potential health impacts of any substance
of concern in a timely manner;
(B) the individuals are monitored and studied over
time, including through baseline and followup clinical
health examinations, for—
(i) any short- and long-term health impacts of any
substance of concern; and
(ii) any mental health impacts;
(C) the individuals receive health care referrals as
needed and appropriate; and
President.
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(D) information from any such monitoring and studies
is used to prevent or protect against similar health impacts
from future disasters.
(2) ACTIVITIES.—A program under paragraph (1) may
include such activities as—
(A) collecting and analyzing environmental exposure
data;
(B) developing and disseminating information and edu-
cational materials;
(C) performing baseline and followup clinical health
and mental health examinations and taking biological sam-
ples;
(D) establishing and maintaining an exposure registry;
(E) studying the short- and long-term human health
impacts of any exposures through epidemiological and other
health studies; and
(F) providing assistance to individuals in determining
eligibility for health coverage and identifying appropriate
health services.
(3) TIMING.—To the maximum extent practicable, activities
under any program carried out under paragraph (1) (including
baseline health examinations) shall be commenced in a timely
manner that will ensure the highest level of public health
protection and effective monitoring.
(4) PARTICIPATION IN REGISTRIES AND STUDIES.—
(A) IN GENERAL.—Participation in any registry or study
that is part of a program carried out under paragraph
(1) shall be voluntary.
(B) PROTECTION
OF
PRIVACY.—The President, acting
through the Secretary of Health and Human Services, shall
take appropriate measures to protect the privacy of any
participant in a registry or study described in subparagraph
(A).
(C) PRIORITY.—
(i) IN GENERAL.—Except as provided in clause (ii),
the President, acting through the Secretary of Health
and Human Services, shall give priority in any registry
or study described in subparagraph (A) to the protec-
tion, monitoring and study of the health and safety
of individuals with the highest level of exposure to
a substance of concern.
(ii) MODIFICATIONS.—Notwithstanding clause (i),
the President, acting through the Secretary of Health
and Human Services, may modify the priority of a
registry or study described in subparagraph (A), if
the President, acting through the Secretary of Health
and Human Services, determines such modification to
be appropriate.
(5) COOPERATIVE AGREEMENTS.—
(A) IN GENERAL.—The President, acting through the
Secretary of Health and Human Services, may carry out
a program under paragraph (1) through a cooperative
agreement with a medical institution, including a local
health department, or a consortium of medical institutions.
(B) SELECTION
CRITERIA.—To the maximum extent
practicable, the President, acting through the Secretary
of Health and Human Services, shall select, to carry out
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a program under paragraph (1), a medical institution or
a consortium of medical institutions that—
(i) is located near—
(I) the disaster area with respect to which
the program is carried out; and
(II) any other area in which there reside
groups of individuals that worked or volunteered
in response to the disaster; and
(ii) has appropriate experience in the areas of
environmental or occupational health, toxicology, and
safety, including experience in—
(I) developing clinical protocols and conducting
clinical health examinations, including mental
health assessments;
(II) conducting long-term health monitoring
and epidemiological studies;
(III) conducting long-term mental health
studies; and
(IV) establishing and maintaining medical
surveillance programs and environmental exposure
or disease registries.
(6) INVOLVEMENT.—
(A) IN GENERAL.—In carrying out a program under
paragraph (1), the President, acting through the Secretary
of Health and Human Services, shall involve interested
and affected parties, as appropriate, including representa-
tives of—
(i) Federal, State, and local government agencies;
(ii) groups of individuals that worked or volun-
teered in response to the disaster in the disaster area;
(iii) local residents, businesses, and schools
(including parents and teachers);
(iv) health care providers;
(v) faith based organizations; and
(vi) other organizations and persons.
(B) COMMITTEES.—Involvement under subparagraph
(A) may be provided through the establishment of an
advisory or oversight committee or board.
(7) PRIVACY.—The President, acting through the Secretary
of Health and Human Services, shall carry out each program
under paragraph (1) in accordance with regulations relating
to privacy promulgated under section 264(c) of the Health Insur-
ance Portability and Accountability Act of 1996 (42 U.S.C.
1320d–2 note; Public Law 104–191).
(8) EXISTING PROGRAMS.—In carrying out a program under
paragraph (1), the President, acting through the Secretary of
Health and Human Services, may—
(A) include the baseline clinical health examination
of a participating responder under a certified monitoring
programs; and
(B) substitute the baseline clinical health examination
of a participating responder under a certified monitoring
program for a baseline clinical health examination under
paragraph (1).
(c) REPORTS.—Not later than 1 year after the establishment
of a program under subsection (b)(1), and every 5 years thereafter,
the President, acting through the Secretary of Health and Human
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Services, or the medical institution or consortium of such institu-
tions having entered into a cooperative agreement under subsection
(b)(5), may submit a report to the Secretary of Homeland Security,
the Secretary of Labor, the Administrator of the Environmental
Protection Agency, and appropriate committees of Congress
describing the programs and studies carried out under the program.
(d) NATIONAL ACADEMY OF SCIENCES REPORT ON DISASTER AREA
HEALTH AND ENVIRONMENTAL PROTECTION AND MONITORING.—
(1) IN
GENERAL.—The Secretary of Health and Human
Services, the Secretary of Homeland Security, and the Adminis-
trator of the Environmental Protection Agency shall jointly
enter into a contract with the National Academy of Sciences
to conduct a study and prepare a report on disaster area health
and environmental protection and monitoring.
(2) PARTICIPATION OF EXPERTS.—The report under para-
graph (1) shall be prepared with the participation of individuals
who have expertise in—
(A) environmental health, safety, and medicine;
(B) occupational health, safety, and medicine;
(C) clinical medicine, including pediatrics;
(D) environmental toxicology;
(E) epidemiology;
(F) mental health;
(G) medical monitoring and surveillance;
(H) environmental monitoring and surveillance;
(I) environmental and industrial hygiene;
(J) emergency planning and preparedness;
(K) public outreach and education;
(L) State and local health departments;
(M) State and local environmental protection depart-
ments;
(N) functions of workers that respond to disasters,
including first responders;
(O) public health; and
(P) family services, such as counseling and other dis-
aster-related services provided to families.
(3) CONTENTS.—The report under paragraph (1) shall pro-
vide advice and recommendations regarding protecting and
monitoring the health and safety of individuals potentially
exposed to any chemical or other substance associated with
potential acute or chronic human health effects as the result
of 
a 
disaster, 
including 
advice 
and 
recommendations
regarding—
(A) the establishment of protocols for monitoring and
responding to chemical or substance releases in a disaster
area to protect public health and safety, including—
(i) chemicals or other substances for which samples
should be collected in the event of a disaster, including
a terrorist attack;
(ii) chemical- or substance-specific methods of
sample collection, including sampling methodologies
and locations;
(iii) chemical- or substance-specific methods of
sample analysis;
Contracts.
Reports.
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(iv) health-based threshold levels to be used and
response actions to be taken in the event that thresh-
olds are exceeded for individual chemicals or other
substances;
(v) procedures for providing monitoring results to—
(I) appropriate Federal, State, and local
government agencies;
(II) appropriate response personnel; and
(III) the public;
(vi) responsibilities of Federal, State, and local
agencies for—
(I) collecting and analyzing samples;
(II) reporting results; and
(III) taking appropriate response actions; and
(vii) capabilities and capacity within the Federal
Government to conduct appropriate environmental
monitoring and response in the event of a disaster,
including a terrorist attack; and
(B) other issues specified by the Secretary of Health
and Human Services, the Secretary of Homeland Security,
and the Administrator of the Environmental Protection
Agency.
(4) AUTHORIZATION OF APPROPRIATIONS.—There are author-
ized to be appropriated such sums as are necessary to carry
out this subsection.
TITLE VIII—UNLAWFUL INTERNET
GAMBLING ENFORCEMENT
SEC. 801. SHORT TITLE.
This title may be cited as the ‘‘Unlawful Internet Gambling
Enforcement Act of 2006’’.
SEC. 
802. 
PROHIBITION 
ON 
ACCEPTANCE 
OF 
ANY 
PAYMENT
INSTRUMENT FOR UNLAWFUL INTERNET GAMBLING.
(a) IN GENERAL.—Chapter 53 of title 31, United States Code,
is amended by adding at the end the following:
‘‘SUBCHAPTER IV—PROHIBITION ON FUNDING OF
UNLAWFUL INTERNET GAMBLING
‘‘§ 5361. Congressional findings and purpose
‘‘(a) FINDINGS.—Congress finds the following:
‘‘(1) Internet gambling is primarily funded through personal
use of payment system instruments, credit cards, and wire
transfers.
‘‘(2) The National Gambling Impact Study Commission in
1999 recommended the passage of legislation to prohibit wire
transfers to Internet gambling sites or the banks which rep-
resent such sites.
‘‘(3) Internet gambling is a growing cause of debt collection
problems for insured depository institutions and the consumer
credit industry.
‘‘(4) New mechanisms for enforcing gambling laws on the
Internet are necessary because traditional law enforcement
mechanisms are often inadequate for enforcing gambling
31 USC 5301
note.
Unlawful
Internet
Gambling
Enforcement Act
of 2006.
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prohibitions or regulations on the Internet, especially where
such gambling crosses State or national borders.
‘‘(b) RULE OF CONSTRUCTION.—No provision of this subchapter
shall be construed as altering, limiting, or extending any Federal
or State law or Tribal-State compact prohibiting, permitting, or
regulating gambling within the United States.
‘‘§ 5362. Definitions
‘‘In this subchapter:
‘‘(1) BET OR WAGER.—The term ‘bet or wager’—
‘‘(A) means the staking or risking by any person of
something of value upon the outcome of a contest of others,
a sporting event, or a game subject to chance, upon an
agreement or understanding that the person or another
person will receive something of value in the event of
a certain outcome;
‘‘(B) includes the purchase of a chance or opportunity
to win a lottery or other prize (which opportunity to win
is predominantly subject to chance);
‘‘(C) includes any scheme of a type described in section
3702 of title 28;
‘‘(D) includes any instructions or information per-
taining to the establishment or movement of funds by
the bettor or customer in, to, or from an account with
the business of betting or wagering; and
‘‘(E) does not include—
‘‘(i) any activity governed by the securities laws
(as that term is defined in section 3(a)(47) of the Securi-
ties Exchange Act of 1934 for the purchase or sale
of securities (as that term is defined in section 3(a)(10)
of that Act);
‘‘(ii) any transaction conducted on or subject to
the rules of a registered entity or exempt board of
trade under the Commodity Exchange Act;
‘‘(iii) any over-the-counter derivative instrument;
‘‘(iv) any other transaction that—
‘‘(I) is excluded or exempt from regulation
under the Commodity Exchange Act; or
‘‘(II) is exempt from State gaming or bucket
shop laws under section 12(e) of the Commodity
Exchange Act or section 28(a) of the Securities
Exchange Act of 1934;
‘‘(v) any contract of indemnity or guarantee;
‘‘(vi) any contract for insurance;
‘‘(vii) any deposit or other transaction with an
insured depository institution;
‘‘(viii) participation in any game or contest in which
participants do not stake or risk anything of value
other than—
‘‘(I) personal efforts of the participants in
playing the game or contest or obtaining access
to the Internet; or
‘‘(II) points or credits that the sponsor of the
game or contest provides to participants free of
charge and that can be used or redeemed only
for participation in games or contests offered by
the sponsor; or
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PUBLIC LAW 109–347—OCT. 13, 2006
‘‘(ix) participation in any fantasy or simulation
sports game or educational game or contest in which
(if the game or contest involves a team or teams)
no fantasy or simulation sports team is based on the
current membership of an actual team that is a
member of an amateur or professional sports organiza-
tion (as those terms are defined in section 3701 of
title 28) and that meets the following conditions:
‘‘(I) All prizes and awards offered to winning
participants are established and made known to
the participants in advance of the game or contest
and their value is not determined by the number
of participants or the amount of any fees paid
by those participants.
‘‘(II) All winning outcomes reflect the relative
knowledge and skill of the participants and are
determined predominantly by accumulated statis-
tical results of the performance of individuals (ath-
letes in the case of sports events) in multiple real-
world sporting or other events.
‘‘(III) No winning outcome is based—
‘‘(aa) on the score, point-spread, or any
performance or performances of any single
real-world team or any combination of such
teams; or
‘‘(bb) solely on any single performance of
an individual athlete in any single real-world
sporting or other event.
‘‘(2) BUSINESS OF BETTING OR WAGERING.—The term ‘busi-
ness of betting or wagering’ does not include the activities
of a financial transaction provider, or any interactive computer
service or telecommunications service.
‘‘(3) DESIGNATED PAYMENT SYSTEM.—The term ‘designated
payment system’ means any system utilized by a financial
transaction provider that the Secretary and the Board of Gov-
ernors of the Federal Reserve System, in consultation with
the Attorney General, jointly determine, by regulation or order,
could be utilized in connection with, or to facilitate, any
restricted transaction.
‘‘(4) FINANCIAL TRANSACTION PROVIDER.—The term ‘finan-
cial transaction provider’ means a creditor, credit card issuer,
financial institution, operator of a terminal at which an elec-
tronic fund transfer may be initiated, money transmitting busi-
ness, or international, national, regional, or local payment net-
work utilized to effect a credit transaction, electronic fund
transfer, stored value product transaction, or money transmit-
ting service, or a participant in such network, or other partici-
pant in a designated payment system.
‘‘(5) INTERNET.—The term ‘Internet’ means the inter-
national computer network of interoperable packet switched
data networks.
‘‘(6) INTERACTIVE
COMPUTER
SERVICE.—The term ‘inter-
active computer service’ has the meaning given the term in
section 230(f) of the Communications Act of 1934 (47 U.S.C.
230(f)).
‘‘(7) RESTRICTED TRANSACTION.—The term ‘restricted trans-
action’ means any transaction or transmittal involving any
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PUBLIC LAW 109–347—OCT. 13, 2006
credit, funds, instrument, or proceeds described in any para-
graph of section 5363 which the recipient is prohibited from
accepting under section 5363.
‘‘(8) SECRETARY.—The term ‘Secretary’ means the Secretary
of the Treasury.
‘‘(9) STATE.—The term ‘State’ means any State of the
United States, the District of Columbia, or any commonwealth,
territory, or other possession of the United States.
‘‘(10) UNLAWFUL INTERNET GAMBLING.—
‘‘(A) IN GENERAL.—The term ‘unlawful Internet gam-
bling’ means to place, receive, or otherwise knowingly
transmit a bet or wager by any means which involves
the use, at least in part, of the Internet where such bet
or wager is unlawful under any applicable Federal or State
law in the State or Tribal lands in which the bet or wager
is initiated, received, or otherwise made.
‘‘(B) INTRASTATE TRANSACTIONS.—The term ‘unlawful
Internet gambling’ does not include placing, receiving, or
otherwise transmitting a bet or wager where—
‘‘(i) the bet or wager is initiated and received or
otherwise made exclusively within a single State;
‘‘(ii) the bet or wager and the method by which
the bet or wager is initiated and received or otherwise
made is expressly authorized by and placed in accord-
ance with the laws of such State, and the State law
or regulations include—
‘‘(I) age and location verification requirements
reasonably designed to block access to minors and
persons located out of such State; and
‘‘(II) appropriate data security standards to
prevent unauthorized access by any person whose
age and current location has not been verified
in accordance with such State’s law or regulations;
and
‘‘(iii) the bet or wager does not violate any provision
of—
‘‘(I) the Interstate Horseracing Act of 1978
(15 U.S.C. 3001 et seq.);
‘‘(II) chapter 178 of title 28 (commonly known
as the ‘Professional and Amateur Sports Protection
Act’);
‘‘(III) the Gambling Devices Transportation
Act (15 U.S.C. 1171 et seq.); or
‘‘(IV) the Indian Gaming Regulatory Act (25
U.S.C. 2701 et seq.).
‘‘(C) INTRATRIBAL TRANSACTIONS.—The term ‘unlawful
Internet gambling’ does not include placing, receiving, or
otherwise transmitting a bet or wager where—
‘‘(i) the bet or wager is initiated and received or
otherwise made exclusively—
‘‘(I) within the Indian lands of a single Indian
tribe (as such terms are defined under the Indian
Gaming Regulatory Act); or
‘‘(II) between the Indian lands of 2 or more
Indian tribes to the extent that intertribal gaming
is authorized by the Indian Gaming Regulatory
Act;
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‘‘(ii) the bet or wager and the method by which
the bet or wager is initiated and received or otherwise
made is expressly authorized by and complies with
the requirements of—
‘‘(I) the applicable tribal ordinance or resolu-
tion approved by the Chairman of the National
Indian Gaming Commission; and
‘‘(II) with respect to class III gaming, the
applicable Tribal-State Compact;
‘‘(iii) the applicable tribal ordinance or resolution
or Tribal-State Compact includes—
‘‘(I) age and location verification requirements
reasonably designed to block access to minors and
persons located out of the applicable Tribal lands;
and
‘‘(II) appropriate data security standards to
prevent unauthorized access by any person whose
age and current location has not been verified
in accordance with the applicable tribal ordinance
or resolution or Tribal-State Compact; and
‘‘(iv) the bet or wager does not violate any provision
of—
‘‘(I) the Interstate Horseracing Act of 1978
(15 U.S.C. 3001 et seq.);
‘‘(II) chapter 178 of title 28 (commonly known
as the ‘Professional and Amateur Sports Protection
Act’);
‘‘(III) the Gambling Devices Transportation
Act (15 U.S.C. 1171 et seq.); or
‘‘(IV) the Indian Gaming Regulatory Act (25
U.S.C. 2701 et seq.).
‘‘(D) INTERSTATE HORSERACING.—
‘‘(i) IN
GENERAL.—The term ‘unlawful Internet
gambling’ shall not include any activity that is allowed
under the Interstate Horseracing Act of 1978 (15 U.S.C.
3001 et seq.).
‘‘(ii) RULE OF CONSTRUCTION REGARDING PREEMP-
TION.—Nothing in this subchapter may be construed
to preempt any State law prohibiting gambling.
‘‘(iii) SENSE OF CONGRESS.—It is the sense of Con-
gress that this subchapter shall not change which
activities related to horse racing may or may not be
allowed under Federal law. This subparagraph is
intended to address concerns that this subchapter could
have the effect of changing the existing relationship
between the Interstate Horseracing Act and other Fed-
eral statutes in effect on the date of the enactment
of this subchapter. This subchapter is not intended
to change that relationship. This subchapter is not
intended to resolve any existing disagreements over
how to interpret the relationship between the Inter-
state Horseracing Act and other Federal statutes.
‘‘(E) 
INTERMEDIATE
ROUTING.—The 
intermediate
routing of electronic data shall not determine the location
or locations in which a bet or wager is initiated, received,
or otherwise made.
‘‘(11) OTHER TERMS.—
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120 STAT. 1957
PUBLIC LAW 109–347—OCT. 13, 2006
‘‘(A) CREDIT; 
CREDITOR; 
CREDIT
CARD; 
AND
CARD
ISSUER.—The terms ‘credit’, ‘creditor’, ‘credit card’, and ‘card
issuer’ have the meanings given the terms in section 103
of the Truth in Lending Act (15 U.S.C. 1602).
‘‘(B) ELECTRONIC
FUND
TRANSFER.—The term ‘elec-
tronic fund transfer’—
‘‘(i) has the meaning given the term in section
903 of the Electronic Fund Transfer Act (15 U.S.C.
1693a), except that the term includes transfers that
would otherwise be excluded under section 903(6)(E)
of that Act; and
‘‘(ii) includes any fund transfer covered by Article
4A of the Uniform Commercial Code, as in effect in
any State.
‘‘(C) FINANCIAL
INSTITUTION.—The term ‘financial
institution’ has the meaning given the term in section
903 of the Electronic Fund Transfer Act, except that such
term does not include a casino, sports book, or other busi-
ness at or through which bets or wagers may be placed
or received.
‘‘(D) INSURED
DEPOSITORY
INSTITUTION.—The term
‘insured depository institution’—
‘‘(i) has the meaning given the term in section
3(c) of the Federal Deposit Insurance Act (12 U.S.C.
1813(c)); and
‘‘(ii) includes an insured credit union (as defined
in section 101 of the Federal Credit Union Act).
‘‘(E) MONEY
TRANSMITTING
BUSINESS
AND
MONEY
TRANSMITTING
SERVICE.—The terms ‘money transmitting
business’ and ‘money transmitting service’ have the
meanings given the terms in section 5330(d) (determined
without regard to any regulations prescribed by the Sec-
retary thereunder).
‘‘§ 5363. 
Prohibition 
on 
acceptance 
of 
any 
financial
instrument for unlawful Internet gambling
‘‘No person engaged in the business of betting or wagering
may knowingly accept, in connection with the participation of
another person in unlawful Internet gambling—
‘‘(1) credit, or the proceeds of credit, extended to or on
behalf of such other person (including credit extended through
the use of a credit card);
‘‘(2) an electronic fund transfer, or funds transmitted by
or through a money transmitting business, or the proceeds
of an electronic fund transfer or money transmitting service,
from or on behalf of such other person;
‘‘(3) any check, draft, or similar instrument which is drawn
by or on behalf of such other person and is drawn on or
payable at or through any financial institution; or
‘‘(4) the proceeds of any other form of financial transaction,
as the Secretary and the Board of Governors of the Federal
Reserve System may jointly prescribe by regulation, which
involves a financial institution as a payor or financial inter-
mediary on behalf of or for the benefit of such other person.
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PUBLIC LAW 109–347—OCT. 13, 2006
‘‘§ 5364. Policies and procedures to identify and prevent
restricted transactions
‘‘(a) REGULATIONS.—Before the end of the 270-day period begin-
ning on the date of the enactment of this subchapter, the Secretary
and the Board of Governors of the Federal Reserve System, in
consultation with the Attorney General, shall prescribe regulations
(which the Secretary and the Board jointly determine to be appro-
priate) requiring each designated payment system, and all partici-
pants therein, to identify and block or otherwise prevent or prohibit
restricted transactions through the establishment of policies and
procedures reasonably designed to identify and block or otherwise
prevent or prohibit the acceptance of restricted transactions in
any of the following ways:
‘‘(1) The establishment of policies and procedures that—
‘‘(A) allow the payment system and any person involved
in the payment system to identify restricted transactions
by means of codes in authorization messages or by other
means; and
‘‘(B) block restricted transactions identified as a result
of the policies and procedures developed pursuant to
subparagraph (A).
‘‘(2) The establishment of policies and procedures that pre-
vent or prohibit the acceptance of the products or services
of the payment system in connection with a restricted trans-
action.
‘‘(b) REQUIREMENTS FOR POLICIES AND PROCEDURES.—In pre-
scribing regulations under subsection (a), the Secretary and the
Board of Governors of the Federal Reserve System shall—
‘‘(1) identify types of policies and procedures, including
nonexclusive examples, which would be deemed, as applicable,
to be reasonably designed to identify and block or otherwise
prevent or prohibit the acceptance of the products or services
with respect to each type of restricted transaction;
‘‘(2) to the extent practical, permit any participant in a
payment system to choose among alternative means of identi-
fying and blocking, or otherwise preventing or prohibiting the
acceptance of the products or services of the payment system
or participant in connection with, restricted transactions;
‘‘(3) exempt certain restricted transactions or designated
payment systems from any requirement imposed under such
regulations, if the Secretary and the Board jointly find that
it is not reasonably practical to identify and block, or otherwise
prevent or prohibit the acceptance of, such transactions; and
‘‘(4) ensure that transactions in connection with any activity
excluded from the definition of unlawful internet gambling
in subparagraph (B), (C), or (D)(i) of section 5362(10) are not
blocked or otherwise prevented or prohibited by the prescribed
regulations.
‘‘(c) COMPLIANCE WITH PAYMENT SYSTEM POLICIES AND PROCE-
DURES.—A financial transaction provider shall be considered to
be in compliance with the regulations prescribed under subsection
(a) if—
‘‘(1) such person relies on and complies with the policies
and procedures of a designated payment system of which it
is a member or participant to—
‘‘(A) identify and block restricted transactions; or
Deadline.
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PUBLIC LAW 109–347—OCT. 13, 2006
‘‘(B) otherwise prevent or prohibit the acceptance of
the products or services of the payment system, member,
or participant in connection with restricted transactions;
and
‘‘(2) such policies and procedures of the designated payment
system comply with the requirements of regulations prescribed
under subsection (a).
‘‘(d) NO LIABILITY
FOR BLOCKING
OR REFUSING TO HONOR
RESTRICTED TRANSACTIONS.—A person that identifies and blocks
a transaction, prevents or prohibits the acceptance of its products
or services in connection with a transaction, or otherwise refuses
to honor a transaction—
‘‘(1) that is a restricted transaction;
‘‘(2) that such person reasonably believes to be a restricted
transaction; or
‘‘(3) as a designated payment system or a member of a
designated payment system in reliance on the policies and
procedures of the payment system, in an effort to comply with
regulations prescribed under subsection (a),
shall not be liable to any party for such action.
‘‘(e) REGULATORY ENFORCEMENT.—The requirements under this
section shall be enforced exclusively by—
‘‘(1) the Federal functional regulators, with respect to the
designated payment systems and financial transaction pro-
viders subject to the respective jurisdiction of such regulators
under section 505(a) of the Gramm-Leach-Bliley Act and section
5g of the Commodities Exchange Act; and
‘‘(2) the Federal Trade Commission, with respect to des-
ignated payment systems and financial transaction providers
not otherwise subject to the jurisdiction of any Federal func-
tional regulators (including the Commission) as described in
paragraph (1).
‘‘§ 5365. Civil remedies
‘‘(a) JURISDICTION.—In addition to any other remedy under
current law, the district courts of the United States shall have
original and exclusive jurisdiction to prevent and restrain restricted
transactions by issuing appropriate orders in accordance with this
section, regardless of whether a prosecution has been initiated
under this subchapter.
‘‘(b) PROCEEDINGS.—
‘‘(1) INSTITUTION BY FEDERAL GOVERNMENT.—
‘‘(A) IN GENERAL.—The United States, acting through
the Attorney General, may institute proceedings under this
section to prevent or restrain a restricted transaction.
‘‘(B) RELIEF.—Upon application of the United States
under this paragraph, the district court may enter a tem-
porary restraining order, a preliminary injunction, or an
injunction against any person to prevent or restrain a
restricted transaction, in accordance with rule 65 of the
Federal Rules of Civil Procedure.
‘‘(2) INSTITUTION BY STATE ATTORNEY GENERAL.—
‘‘(A) IN
GENERAL.—The attorney general (or other
appropriate State official) of a State in which a restricted
transaction allegedly has been or will be initiated, received,
or otherwise made may institute proceedings under this
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PUBLIC LAW 109–347—OCT. 13, 2006
section to prevent or restrain the violation or threatened
violation.
‘‘(B) RELIEF.—Upon application of the attorney general
(or other appropriate State official) of an affected State
under this paragraph, the district court may enter a tem-
porary restraining order, a preliminary injunction, or an
injunction against any person to prevent or restrain a
restricted transaction, in accordance with rule 65 of the
Federal Rules of Civil Procedure.
‘‘(3) INDIAN LANDS.—
‘‘(A) IN GENERAL.—Notwithstanding paragraphs (1) and
(2), for a restricted transaction that allegedly has been
or will be initiated, received, or otherwise made on Indian
lands (as that term is defined in section 4 of the Indian
Gaming Regulatory Act)—
‘‘(i) the United States shall have the enforcement
authority provided under paragraph (1); and
‘‘(ii) the enforcement authorities specified in an
applicable Tribal-State Compact negotiated under sec-
tion 11 of the Indian Gaming Regulatory Act (25 U.S.C.
2710) shall be carried out in accordance with that
compact.
‘‘(B) RULE OF CONSTRUCTION.—No provision of this sec-
tion shall be construed as altering, superseding, or other-
wise affecting the application of the Indian Gaming Regu-
latory Act.
‘‘(c) LIMITATION RELATING TO INTERACTIVE COMPUTER SERV-
ICES.—
‘‘(1) IN GENERAL.—Relief granted under this section against
an interactive computer service shall—
‘‘(A) be limited to the removal of, or disabling of access
to, an online site violating section 5363, or a hypertext
link to an online site violating such section, that resides
on a computer server that such service controls or operates,
except that the limitation in this subparagraph shall not
apply if the service is subject to liability under this section
under section 5367;
‘‘(B) be available only after notice to the interactive
computer service and an opportunity for the service to
appear are provided;
‘‘(C) not impose any obligation on an interactive com-
puter service to monitor its service or to affirmatively seek
facts indicating activity violating this subchapter;
‘‘(D) specify the interactive computer service to which
it applies; and
‘‘(E) specifically identify the location of the online site
or hypertext link to be removed or access to which is
to be disabled.
‘‘(2) COORDINATION WITH OTHER LAW.—An interactive com-
puter service that does not violate this subchapter shall not
be liable under section 1084(d) of title 18, except that the
limitation in this paragraph shall not apply if an interactive
computer service has actual knowledge and control of bets
and wagers and—
‘‘(A) operates, manages, supervises, or directs an Inter-
net website at which unlawful bets or wagers may be
placed, received, or otherwise made or at which unlawful
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PUBLIC LAW 109–347—OCT. 13, 2006
bets or wagers are offered to be placed, received, or other-
wise made; or
‘‘(B) owns or controls, or is owned or controlled by,
any person who operates, manages, supervises, or directs
an Internet website at which unlawful bets or wagers may
be placed, received, or otherwise made, or at which unlaw-
ful bets or wagers are offered to be placed, received, or
otherwise made.
‘‘(d) LIMITATION
ON INJUNCTIONS AGAINST REGULATED PER-
SONS.—Notwithstanding any other provision of this section, and
subject to section 5367, no provision of this subchapter shall be
construed as authorizing the Attorney General of the United States,
or the attorney general (or other appropriate State official) of any
State to institute proceedings to prevent or restrain a restricted
transaction against any financial transaction provider, to the extent
that the person is acting as a financial transaction provider.
‘‘§ 5366. Criminal penalties
‘‘(a) IN GENERAL.—Any person who violates section 5363 shall
be fined under title 18, imprisoned for not more than 5 years,
or both.
‘‘(b) PERMANENT INJUNCTION.—Upon conviction of a person
under this section, the court may enter a permanent injunction
enjoining such person from placing, receiving, or otherwise making
bets or wagers or sending, receiving, or inviting information
assisting in the placing of bets or wagers.
‘‘§ 5367. Circumventions prohibited
‘‘Notwithstanding section 5362(2), a financial transaction pro-
vider, or any interactive computer service or telecommunications
service, may be liable under this subchapter if such person has
actual knowledge and control of bets and wagers, and—
‘‘(1) operates, manages, supervises, or directs an Internet
website at which unlawful bets or wagers may be placed,
received, or otherwise made, or at which unlawful bets or
wagers are offered to be placed, received, or otherwise made;
or
‘‘(2) owns or controls, or is owned or controlled by, any
person who operates, manages, supervises, or directs an Inter-
net website at which unlawful bets or wagers may be placed,
received, or otherwise made, or at which unlawful bets or
wagers are offered to be placed, received, or otherwise made.’’.
(b) TECHNICAL AND CONFORMING AMENDMENT.—The table of
sections for chapter 53 of title 31, United States Code, is amended
by adding at the end the following:
‘‘SUBCHAPTER IV—PROHIBITION ON FUNDING OF UNLAWFUL INTERNET GAMBLING
‘‘5361. Congressional findings and purpose.
‘‘5362. Definitions.
‘‘5363. Prohibition on acceptance of any financial instrument for unlawful Internet
gambling.
‘‘5364. Policies and procedures to identify and prevent restricted transactions.
‘‘5365. Civil remedies.
‘‘5366. Criminal penalties.
‘‘5367. Circumventions prohibited.’’.
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PUBLIC LAW 109–347—OCT. 13, 2006
LEGISLATIVE HISTORY—H.R. 4954 (S. 2008) (S. 2459):
HOUSE REPORTS: Nos. 109–447, Pt. 1 (Comm. on Homeland Security) and 109–
711 (Comm. of Conference).
CONGRESSIONAL RECORD, Vol. 152 (2006):
May 4, considered and passed House.
Sept. 7, 8, 11–14, considered and passed Senate, amended.
Sept. 29, House and Senate agreed to conference report.
WEEKLY COMPILATION OF PRESIDENTIAL DOCUMENTS, Vol. 42 (2006):
Oct. 13, Presidential remarks and statement.
SEC. 803. INTERNET GAMBLING IN OR THROUGH FOREIGN JURISDIC-
TIONS.
(a) IN GENERAL.—In deliberations between the United States
Government and any foreign country on money laundering, corrup-
tion, and crime issues, the United States Government should—
(1) encourage cooperation by foreign governments and rel-
evant international fora in identifying whether Internet gam-
bling operations are being used for money laundering, corrup-
tion, or other crimes;
(2) advance policies that promote the cooperation of foreign
governments, through information sharing or other measures,
in the enforcement of this Act; and
(3) encourage the Financial Action Task Force on Money
Laundering, in its annual report on money laundering
typologies, to study the extent to which Internet gambling
operations are being used for money laundering purposes.
(b) REPORT REQUIRED.—The Secretary of the Treasury shall
submit an annual report to the Congress on any deliberations
between the United States and other countries on issues relating
to Internet gambling.
Approved October 13, 2006.
31 USC 5361
note.
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