[House Report 105-350]
[From the U.S. Government Printing Office]
105th Congress Report
HOUSE OF REPRESENTATIVES
1st Session 105-350
_______________________________________________________________________
INTELLIGENCE AUTHORIZATION ACT FOR FISCAL YEAR 1998
_______
October 28, 1997.--Ordered to be printed
_______________________________________________________________________
Mr. Goss, from the committee of conference, submitted the following
CONFERENCE REPORT
[To accompany S. 858]
The committee of conference on the disagreeing votes of the
two Houses on the amendment of the House to the bill (S. 858),
to authorize appropriations for fiscal year 1998 for
intelligence and intelligence-related activities of the United
States Government, the Community Management Account, and the
Central Intelligence Agency Retirement and Disability System,
and for other purposes, having met, after full and free
conference, have agreed to recommend and do recommend to their
respective Houses as follows:
That the Senate recede from its disagreement to the
amendment of the House and agree to the same with an amendment
as follows:
In lieu of the matter proposed to be inserted by the House
amendment, insert the following:
SECTION 1. SHORT TITLE; TABLE OF CONTENTS.
(a) Short Title.--This Act may be cited as the
``Intelligence Authorization Act for Fiscal Year 1998''.
(b) Table of Contents.--The table of contents for this Act
is as follows:
Sec. 1. Short title; table of contents.
TITLE I--INTELLIGENCE ACTIVITIES
Sec. 101. Authorization of appropriations.
Sec. 102. Classified schedule of authorizations.
Sec. 103. Personnel ceiling adjustments.
Sec. 104. Community Management Account.
TITLE II--CENTRAL INTELLIGENCE AGENCY RETIREMENT AND DISABILITY SYSTEM
Sec. 201. Authorization of appropriations.
TITLE III--GENERAL PROVISIONS
Sec. 301. Increase in employee compensation and benefits authorized by
law.
Sec. 302. Restriction on conduct of intelligence activities.
Sec. 303. Detail of intelligence community personnel.
Sec. 304. Extension of application of sanctions laws to intelligence
activities.
Sec. 305. Sense of Congress on intelligence community contracting.
Sec. 306. Sense of Congress on receipt of classified information.
Sec. 307. Provision of information on certain violent crimes abroad to
victims and victims' families.
Sec. 308. Annual reports on intelligence activities of the People's
Republic of China.
Sec. 309. Standards for spelling of foreign names and places and for use
of geographic coordinates.
Sec. 310. Review of studies on chemical weapons in the Persian Gulf
during the Persian Gulf War.
Sec. 311. Amendments to Fair Credit Reporting Act.
TITLE IV--CENTRAL INTELLIGENCE AGENCY
Sec. 401. Multiyear leasing authority.
Sec. 402. Subpoena authority for the Inspector General of the Central
Intelligence Agency.
Sec. 403. CIA central services program.
Sec. 404. Protection of CIA facilities.
Sec. 405. Administrative location of the Office of the Director of
Central Intelligence.
TITLE V--DEPARTMENT OF DEFENSE INTELLIGENCE ACTIVITIES
Sec. 501. Authority to award academic degree of Bachelor of Science in
Intelligence.
Sec. 502. Funding for infrastructure and quality of life improvements at
Menwith Hill and Bad Aibling stations.
Sec. 503. Unauthorized use of name, initials, or seal of National
Reconnaissance Office.
TITLE I--INTELLIGENCE ACTIVITIES
SEC. 101. AUTHORIZATION OF APPROPRIATIONS.
Funds are hereby authorized to be appropriated for fiscal
year 1998 for the conduct of the intelligence and intelligence-
related activities of the following elements of the United
States Government:
(1) The Central Intelligence Agency.
(2) The Department of Defense.
(3) The Defense Intelligence Agency.
(4) The National Security Agency.
(5) The Department of the Army, the Department of
the Navy, and the Department of the Air Force.
(6) The Department of State.
(7) The Department of the Treasury.
(8) The Department of Energy.
(9) The Federal Bureau of Investigation.
(10) The Drug Enforcement Administration.
(11) The National Reconnaissance Office.
(12) The National Imagery and Mapping Agency.
SEC. 102. CLASSIFIED SCHEDULE OF AUTHORIZATIONS.
(a) Specifications of Amounts and Personnel Ceilings.--The
amounts authorized to be appropriated under section 101, and
the authorized personnel ceilings as of September 30, 1998, for
the conduct of the intelligence and intelligence-related
activities of theelements listed in such section, are those
specified in the classified Schedule of Authorizations prepared to
accompany the conference report on the bill S.858 of the One Hundred
Fifth Congress.
(b) Availability of Classified Schedule of
Authorizations.--The Schedule of Authorizations shall be made
available to the Committees on Appropriations of the Senate and
House of Representatives and to the President. The President
shall provide for suitable distribution of the Schedule, or of
appropriate portions of the Schedule, within the Executive
Branch.
SEC. 103. PERSONNEL CEILING ADJUSTMENTS.
(a) Authority for Adjustments.--With the approval of the
Director of the Office of Management and Budget, the Director
of Central Intelligence may authorize employment of civilian
personnel in excess of the number authorized for fiscal year
1998 under section 102 when the Director of Central
Intelligence determines that such action is necessary to the
performance of important intelligence functions, except that
the number of personnel employed in excess of the number
authorized under such section may not, for any element of the
intelligence community, exceed two percent of the number of
civilian personnel authorized under such section for such
element.
(b) Notice to Intelligence Committees.--The Director of
Central Intelligence shall promptly notify the Permanent Select
Committee on Intelligence of the House of Representatives and
the Select Committee on Intelligence of the Senate whenever the
Director exercises the authority granted by this section.
SEC. 104. COMMUNITY MANAGEMENT ACCOUNT.
(a) Authorization of Appropriations.--
(1) Authorization.--There is authorized to be
appropriated for the Community Management Account of
the Director of Central Intelligence for fiscal year
1998 the sum of $121,580,000.
(2) Availability of certain funds.--Within such
amount, funds identified in the classified Schedule of
Authorizations referred to in section 102(a) for the
Advanced Research and Development Committee and the
Environmental Intelligence and Applications Program
shall remain available until September 30, 1999.
(b) Authorized Personnel Levels.--The elements within the
Community Management Account of the Director of Central
Intelligence are authorized a total of 283 full-time personnel
as of September 30, 1998. Personnel serving in such elements
may be permanent employees of the Community Management Account
element or personnel detailed from other elements of the United
States Government.
(c) Classified Authorizations.--
(1) Authorization of appropriations.--In addition
to amounts authorized to be appropriated for the
Community Management Account by subsection (a), there
is also authorized to be appropriated for the Community
Management Account for fiscal year 1998 such additional
amounts as are specified in the classified Schedule of
Authorizations referred to in section 102(a).
(2) Authorization of personnel.--In addition to the
personnel authorized by subsection (b) for elements of
the Community Management Account as of September 30,
1998, there is hereby authorized such additional
personnel for such elements as of that date as is
specified in the classified Schedule of Authorizations.
(d) Reimbursement.--Except as provided in section 113 of
the National Security Act of 1947 (as added by section 303 of
this Act), during fiscal year 1998, any officer or employee of
the United States or member of the Armed Forces who is detailed
to the staff of an element within the Community Management
Account from another element of the United States Government
shall be detailed on a reimbursable basis, except that any such
officer, employee, or member may be detailed on a non-
reimbursable basis for a period of less than one year for the
performance of temporary functions as required by the Director
of Central Intelligence.
(e) National Drug Intelligence Center.--
(1) In general.--Of the amount authorized to be
appropriated in subsection (a), the amount of
$27,000,000 shall be available for the National Drug
Intelligence Center. Within such amount, funds provided
for research, development, test, and evaluation
purposes shall remain available until September 30,
1999, and funds provided for procurement purposes shall
remain available until September 30, 2000.
(2) Transfer of funds.--The Director of Central
Intelligence shall transfer to the Attorney General of
the United States funds available for the National Drug
Intelligence Center under paragraph (1). The Attorney
General shall utilize funds so transferred for the
activities of the Center.
(3) Limitation.--Amounts available for the Center
may not be used in contravention of the provisions of
section 103(d)(1) of the National Security Act of 1947
(50 U.S.C. 403-3(d)(1)).
(4) Authority.--Notwithstanding any other provision
of law, the Attorney General shall retain full
authority over the operations of the Center.
TITLE II--CENTRAL INTELLIGENCE AGENCY RETIREMENT AND DISABILITY SYSTEM
SEC. 201. AUTHORIZATION OF APPROPRIATIONS.
There is authorized to be appropriated for the Central
Intelligence Agency Retirement and Disability Fund for fiscal
year 1998 the sum of $196,900,000.
TITLE III--GENERAL PROVISIONS
SEC. 301. INCREASE IN EMPLOYEE COMPENSATION AND BENEFITS AUTHORIZED BY
LAW.
Appropriations authorized by this Act for salary, pay,
retirement, and other benefits for Federal employees may be
increased bysuch additional or supplemental amounts as may be
necessary for increases in such compensation or benefits authorized by
law.
SEC. 302. RESTRICTION ON CONDUCT OF INTELLIGENCE ACTIVITIES.
The authorization of appropriations by this Act shall not
be deemed to constitute authority for the conduct of any
intelligence activity which is not otherwise authorized by the
Constitution or the laws of the United States.
SEC. 303. DETAIL OF INTELLIGENCE COMMUNITY PERSONNEL.
(a) In General.--Title I of the National Security Act of
1947 (50 U.S.C. 401 et seq.) is amended by adding at the end
the following new section:
``detail of intelligence community personnel--intelligence community
assignment program
``Sec. 113. (a) Detail.--(1) Notwithstanding any other
provision of law, the head of a department with an element in
the intelligence community or the head of an intelligence
community agency or element may detail any employee within that
department, agency, or element to serve in any position in the
Intelligence Community Assignment Program on a reimbursable or
a nonreimbursable basis.
``(2) Nonreimbursable details may be for such periods as
are agreed to between the heads of the parent and host
agencies, up to a maximum of three years, except that such
details may be extended for a period not to exceed one year
when the heads of the parent and host agencies determine that
such extension is in the public interest.
``(b) Benefits, Allowances, Travel, Incentives.--An
employee detailed under subsection (a) may be authorized any
benefit, allowance, travel, or incentive otherwise provided to
enhance staffing by the organization from which the employee is
detailed.
``(c) Annual Report.--Not later than March 1, 1999, and
annually thereafter, the Director of Central Intelligence shall
submit to the Permanent Select Committee on Intelligence of the
House of Representatives and the Select Committee on
Intelligence of the Senate a report describing the detail of
intelligence community personnel pursuant to subsection (a)
during the 12-month period ending on the date of the report.
The report shall set forth the number of personnel detailed,
the identity of parent and host agencies or elements, and an
analysis of the benefits of the details.''.
(b) Technical Amendment.--Sections 120, 121, and 110 of the
National Security Act of 1947 are hereby redesignated as
sections 110, 111, and 112, respectively.
(c) Clerical Amendment.--The table of contents in the first
section of such Act is amended by striking out the items
relating to sections 120, 121, and 110 and inserting in lieu
thereof the following:
``Sec. 110. National mission of National Imagery and Mapping Agency.
``Sec. 111. Collection tasking authority.
``Sec. 112. Restrictions on intelligence sharing with the United
Nations.
``Sec. 113. Detail of intelligence community personnel--intelligence
community assignment program.''.
(d) Effective Date.--The amendment made by subsection (a)
shall apply to an employee on detail on or after January 1,
1997.
SEC. 304. EXTENSION OF APPLICATION OF SANCTIONS LAWS TO INTELLIGENCE
ACTIVITIES.
Section 905 of the National Security Act of 1947 (50 U.S.C.
441d) is amended by striking out ``January 6, 1998'' and
inserting in lieu thereof ``January 6, 1999''.
SEC. 305. SENSE OF CONGRESS ON INTELLIGENCE COMMUNITY CONTRACTING.
It is the sense of Congress that the Director of Central
Intelligence should continue to direct that elements of the
intelligence community, whenever compatible with the national
security interests of the United States and consistent with
operational and security concerns related to the conduct of
intelligence activities, and where fiscally sound, should
competitively award contracts in a manner that maximizes the
procurement of products properly designated as having been made
in the United States.
SEC. 306. SENSE OF CONGRESS ON RECEIPT OF CLASSIFIED INFORMATION.
It is the sense of Congress that Members of Congress have
equal standing with officials of the Executive Branch to
receive classified information so that Congress may carry out
its oversight responsibilities under the Constitution.
SEC. 307. PROVISION OF INFORMATION ON CERTAIN VIOLENT CRIMES ABROAD TO
VICTIMS AND VICTIMS' FAMILIES.
(a) Sense of Congress.--It is the sense of Congress that--
(1) it is in the national interests of the United
States to provide information regarding the killing,
abduction, torture, or other serious mistreatment of
United States citizens abroad to the victims of such
crimes, or the families of victims of such crimes if
they are United States citizens; and
(2) the provision of such information is
sufficiently important that the discharge of the
responsibility for identifying and disseminating such
information should be vested in a cabinet-level officer
of the United States Government.
(b) Responsibility.--The Secretary of State shall take
appropriate actions to ensure that the United States Government
takes all appropriate actions to--
(1) identify promptly information (including
classified information) in the possession of the
departments and agencies of the United States
Government regarding the killing, abduction, torture,
or other serious mistreatment of United States citizens
abroad; and
(2) subject to subsection (c), promptly make such
information available to--
(A) the victims of such crimes; or
(B) when appropriate, the family members of
the victims of such crimes if such family
members are United States citizens.
(c) Limitations.--The Secretary shall work with the heads
of appropriate departments and agencies of the United States
Government in order to ensure that information relevant to a
crime covered by subsection (b) is promptly reviewed and, to
the maximum extent practicable, without jeopardizing sensitive
sources and methods or other vital national security interests,
or without jeopardizing an on-going criminal investigation or
proceeding, made availableunder that subsection unless such
disclosure is specifically prohibited by law.
SEC. 308. ANNUAL REPORTS ON INTELLIGENCE ACTIVITIES OF THE PEOPLE'S
REPUBLIC OF CHINA.
(a) Report to Congress.--Not later than 90 days after the
date of enactment of this Act and annually thereafter, the
Director of Central Intelligence and the Director of the
Federal Bureau of Investigation, jointly and in consultation
with the heads of other appropriate Federal agencies, including
the National Security Agency and the Departments of Defense,
Justice, Treasury, and State, shall prepare and transmit to
Congress a report on intelligence activities of the People's
Republic of China directed against or affecting the interests
of the United States.
(b) Delivery of Report.--The Director of Central
Intelligence and the Director of the Federal Bureau of
Investigation shall jointly transmit classified and
unclassified versions of the report to the Speaker and Minority
leader of the House of Representatives, the Majority and
Minority leaders of the Senate, the Chairman and Ranking Member
of the Permanent Select Committee on Intelligence of the House
of Representatives, and the Chairman and Vice-Chairman of the
Select Committee on Intelligence of the Senate.
SEC. 309. STANDARDS FOR SPELLING OF FOREIGN NAMES AND PLACES AND FOR
USE OF GEOGRAPHIC COORDINATES.
(a) Survey of Current Standards.--
(1) Survey.--The Director of Central Intelligence
shall carry out a survey of current standards for the
spelling of foreign names and places, and the use of
geographic coordinates for such places, among the
elements of the intelligence community.
(2) Report.--Not later than 90 days after the date
of enactment of this Act, the Director shall submit to
the congressional intelligence committees a report on
the survey carried out under paragraph (1). The report
shall be submitted in unclassified form, but may
include a classified annex.
(b) Guidelines.--
(1) Issuance.--Not later than 180 days after the
date of enactment of this Act, the Director shall issue
guidelines to ensure the use of uniform spelling of
foreign names and places and the uniform use of
geographic coordinates for such places. The guidelines
shall apply to all intelligence reports, intelligence
products, and intelligence databases prepared and
utilized by the elements of the intelligence community.
(2) Basis.--The guidelines under paragraph (1)
shall, to the maximum extent practicable, be based on
current United States Government standards for the
transliteration of foreign names, standards for foreign
place names developed by the Board on Geographic Names,
and a standard set of geographic coordinates.
(3) Submittal to congress.--The Director shall
submit a copy of the guidelines to the congressional
intelligence committees.
(c) Congressional Intelligence Committees Defined.--In this
section, the term ``congressional intelligence committees''
means the following:
(1) The Select Committee on Intelligence of the
Senate.
(2) The Permanent Select Committee on Intelligence
of the House of Representatives.
SEC. 310. REVIEW OF STUDIES ON CHEMICAL WEAPONS IN THE PERSIAN GULF
DURING THE PERSIAN GULF WAR.
(a) Review.--
(1) In general.--Not later than May 31, 1998, the
Inspector General of the Central Intelligence Agency
shall complete a review of the studies conducted by the
Federal Government regarding the presence, use, or
destruction of chemical weapons in the Persian Gulf
theater of operations during the Persian Gulf War.
(2) Purpose.--The purpose of the review is to
identify any additional investigation or research that
may be necessary--
(A) to determine fully and completely the
extent of Central Intelligence Agency knowledge
of the presence, use, or destruction of such
weapons in that theater of operations during
that war; and
(B) with respect to any other issue
relating to the presence, use, or destruction
of such weapons in that theater of operations
during that war that the Inspector General
considers appropriate.
(b) Report on Review.--
(1) Requirement.--Upon the completion of the
review, the Inspector General shall submit to the
Select Committee on Intelligence of the Senate and the
Permanent Select Committee on Intelligence of the House
of Representatives a report on the results of the
review. The report shall include such recommendations
for additional investigations or research as the
Inspector General considers appropriate.
(2) Form.--The report shall be submitted in
unclassified form, but may include a classified annex.
SEC. 311. AMENDMENTS TO FAIR CREDIT REPORTING ACT.
(a) Exception to Consumer Disclosure Requirement.--Section
604(b) of the Fair Credit Reporting Act (15 U.S.C. 1681b(b))
(as amended by chapter 1 of subtitle D of the Economic Growth
and Regulatory Paperwork Reduction Act of 1996) is amended by
adding at the end the following new paragraph:
``(4) Exception for national security
investigations.--
``(A) In general.--In the case of an agency
or department of the United States Government
which seeks to obtain and use a consumer report
for employment purposes, paragraph (3) shall
not apply to any adverse action by such agency
or department which is based in part on such
consumer report, if the head of such agency or
department makes a written finding that--
``(i) the consumer report is
relevant to a national security
investigation of such agency or
department;
``(ii) the investigation is within
the jurisdiction of such agency or
department;
``(iii) there is reason to believe
that compliance with paragraph (3)
will--
``(I) endanger the life or
physical safety of any person;
``(II) result in flight
from prosecution;
``(III) result in the
destruction of, or tampering
with, evidence relevant to the
investigation;
``(IV) result in the
intimidation of a potential
witness relevant to the
investigation;
``(V) result in the
compromise of classified
information; or
``(VI) otherwise seriously
jeopardize or unduly delay the
investigation or another
official proceeding.
``(B) Notification of consumer upon
conclusion of investigation.--Upon the
conclusion of a national security investigation
described in subparagraph (A), or upon the
determination that the exception under
subparagraph (A) is no longer required for the
reasons set forth in such subparagraph, the
official exercising the authority in such
subparagraph shall provide to the consumer who
is the subject of the consumer report with
regard to which such finding was made--
``(i) a copy of such consumer
report with any classified information
redacted as necessary;
``(ii) notice of any adverse action
which is based, in part, on the
consumer report; and
``(iii) the identification with
reasonable specificity of the nature of
the investigation for which the
consumer report was sought.
``(C) Delegation by head of agency or
department.--For purposes of subparagraphs (A)
and (B), the head of any agency or department
of the United States Government may delegate
his or her authorities under this paragraph to
an official of such agency or department who
has personnel security responsibilities and is
a member of the Senior Executive Service or
equivalent civilian or military rank.
``(D) Report to the congress.--Not later
than January 31 of each year, the head of each
agency and department of the United States
Government that exercised authority under this
paragraph during the preceding year shall
submit a report to the Congress on the number
of times the department or agency exercised
such authority during the year.
``(E) Definitions.--For purposes of this
paragraph, the following definitions shall
apply:
``(i) Classified information.--The
term `classified information' means
information that is protected from
unauthorized disclosure under Executive
Order No. 12958 or successor orders.
``(ii) National security
investigation.--The term `national
security investigation' means any
official inquiry by an agency or
department of the United States
Government to determine the eligibility
of a consumer to receive access or
continued access to classified
information or to determine whether
classified information has been lost or
compromised.''.
(b) Resale of Consumer Report to a Federal Agency or
Department.--Section 607(e) of the Fair Credit Reporting Act
(12 U.S.C. 1681e(e)) (as amended by chapter 1 of subtitle D of
the Economic Growth and Regulatory Paperwork Reduction Act of
1996) is amended by adding at the end the following new
paragraph:
``(3) Resale of consumer report to a federal agency
or department.--Notwithstanding paragraph (1) or (2), a
person who procures a consumer report for purposes of
reselling the report (or any information in the report)
shall not disclose the identity of the end-user of the
report under paragraph (1) or (2) if--
``(A) the end user is an agency or
department of the United States Government
which procures the report from the person for
purposes of determining the eligibility of the
consumer concerned to receive access or
continued access to classified information (as
defined in section 604(b)(4)(E)(i)); and
``(B) the agency or department certifies in
writing to the person reselling the report that
nondisclosure is necessary to protect
classified information or the safety of persons
employed by or contracting with, or undergoing
investigation for work or contracting with the
agency or department.''.
(c) Effective Date.--The amendments made by subsections (a)
and (b) shall take effect as if such amendments had been
included in chapter 1 of subtitle D of the Economic Growth and
Regulatory Paperwork Reduction Act of 1996 as of the date of
the enactment of such Act.
TITLE IV--CENTRAL INTELLIGENCE AGENCY
SEC. 401. MULTIYEAR LEASING AUTHORITY.
(a) In General.--Section 5 of the Central Intelligence
Agency Act of 1949 (50 U.S.C. 403f) is amended--
(1) by redesignating paragraphs (a) through (f) as
paragraphs (1) through (6), respectively;
(2) by inserting ``(a)'' after ``Sec. 5.'';
(3) in paragraph (5), as so redesignated, by
striking out ``without regard'' and all that follows
through ``; and'' and inserting in lieu thereof a
semicolon;
(4) by striking out the period at the end of
paragraph (6), as so redesignated, and inserting in
lieu thereof ``; and'';
(5) by inserting after paragraph (6) the following
new paragraph:
``(7) Notwithstanding section 1341(a)(1) of title
31, United States Code, enter into multiyear leases for
up to 15 years.''; and
(6) by inserting at the end the following new
subsection:
``(b)(1) The authority to enter into a multiyear lease
under subsection (a)(7) shall be subject to appropriations
provided in advance for--
``(A) the entire lease; or
``(B) the first 12 months of the lease and the
Government's estimated termination liability.
``(2) In the case of any such lease entered into under
subparagraph (B) of paragraph (1)--
``(A) such lease shall include a clause that
provides that the contract shall be terminated if
budget authority (as defined by section 3(2) of the
Congressional Budget and Impoundment Control Act of
1974 (2 U.S.C. 622(2))) is not provided specifically
for that project in an appropriations Act in advance of
an obligation of funds in respect thereto;
``(B) notwithstanding section 1552 of title 31,
United States Code, amounts obligated for paying
termination costs with respect to such lease shall
remain available until the costs associated with
termination of such lease are paid;
``(C) funds available for termination liability
shall remain available to satisfy rental obligations
with respect to such lease in subsequent fiscal years
in the event such lease is not terminated early, but
only to the extent those funds are in excess of the
amount of termination liability at the time of their
use to satisfy such rental obligations; and
``(D) funds appropriated for a fiscal year may be
used to make payments on such lease, for a maximum of
12 months, beginning any time during such fiscal
year.''.
(b) Effective Date.--The amendments made by subsection (a)
apply to multiyear leases entered into under section 5 of the
Central Intelligence Agency Act of 1949, as so amended, on or
after October 1, 1997.
SEC. 402. SUBPOENA AUTHORITY FOR THE INSPECTOR GENERAL OF THE CENTRAL
INTELLIGENCE AGENCY.
(a) Authority.--Subsection (e) of section 17 of the Central
Intelligence Agency Act of 1949 (50 U.S.C. 403q) is amended--
(1) by redesignating paragraphs (5) through (7) as
paragraphs (6) through (8), respectively; and
(2) by inserting after paragraph (4) the following
new paragraph (5):
``(5)(A) Except as provided in subparagraph (B), the
Inspector General is authorized to require by subpoena the
production of all information, documents, reports, answers,
records, accounts, papers, and other data and documentary
evidence necessary in the performance of the duties and
responsibilities of the Inspector General.
``(B) In the case of Government agencies, the Inspector
General shall obtain information, documents, reports, answers,
records, accounts, papers, and other data and evidence for the
purpose specified in subparagraph (A) using procedures other
than by subpoenas.
``(C) The Inspector General may not issue a subpoena for or
on behalf of any other element or component of the Agency.
``(D) In the case of contumacy or refusal to obey a
subpoena issued under this paragraph, the subpoena shall be
enforceable by order of any appropriate district court of the
United States.
``(E) Not later than January 31 and July 31 of each year,
the Inspector General shall submit to the Select Committee on
Intelligence of the Senate and the Permanent Select Committee
on Intelligence of the House of Representatives a report of the
Inspector General's exercise of authority under this paragraph
during the preceding six months.''.
(b) Limitation on Authority for Protection of National
Security.--Subsection (b)(3) of that section is amended by
inserting ``, or from issuing any subpoena, after the Inspector
General has decided to initiate, carry out, or complete such
audit, inspection, or investigation or to issue such
subpoena,'' after ``or investigation''.
SEC. 403. CIA CENTRAL SERVICES PROGRAM.
(a) Authority for Program.--The Central Intelligence Agency
Act of 1949 (50 U.S.C. 403a et seq.) is amended by adding at
the end the following new section:
``central services program
``Sec. 21. (a) In General.--The Director may carry out a
program under which elements of the Agency provide items and
services on a reimbursable basis to other elements of the
Agency and to other Government agencies. The Director shall
carry out the program in accordance with the provisions of this
section.
``(b) Participation of Agency Elements.--(1) In order to
carry out the program, the Director shall--
``(A) designate the elements of the Agency that are
to provide items or services under the program (in this
section referred to as `central service providers');
``(B) specify the items or services to be provided
under the program by such providers; and
``(C) assign to such providers for purposes of the
program such inventories, equipment, and other assets
(including equipment on order) as the Director
determines necessary to permit such providers to
provide items or services under the program.
``(2) The designation of elements and the specification of
items and services under paragraph (1) shall be subject to the
approval of the Director of the Office of Management and
Budget.
``(c) Central Services Working Capital Fund.--(1) There is
established a fund to be known as the Central Services Working
Capital Fund (in this section referred to as the `Fund'). The
purpose of the Fund is to provide sums for activities under the
program.
``(2) There shall be deposited in the Fund the following:
``(A) Amounts appropriated to the Fund.
``(B) Amounts credited to the Fund from payments
received by central service providers under subsection
(e).
``(C) Fees imposed and collected under subsection
(f)(1).
``(D) Amounts collected in payment for loss or
damage to equipment or other property of a central
service provider as a result of activities under the
program.
``(E) Such other amounts as the Director is
authorized to deposit in or transfer to the Fund.
``(3) Amounts in the Fund shall be available, without
fiscal year limitation, for the following purposes:
``(A) To pay the costs of providing items or
services under the program.
``(B) To pay the costs of carrying out activities
under subsection (f)(2).
``(d) Limitation on Amount of Orders.--The total value of
all orders for items or services to be provided under the
program in any fiscal year may not exceed an amount specified
in advance by the Director of the Office of Management and
Budget.
``(e) Payment for Items and Services.--(1) A Government
agency provided items or services under the program shall pay
the central service provider concerned for such items or
services an amount equal to the costs incurred by the provider
in providing such items or services plus any fee imposed under
subsection (f). In calculating such costs, the Director shall
take into account personnel costs (including costs associated
with salaries, annual leave, and workers' compensation), plant
and equipment costs (including depreciation of plant and
equipment), operation and maintenance expenses, amortized
costs, and other expenses.
``(2) Payment for items or services under paragraph (1) may
take the form of an advanced payment by an agency from
appropriations available to such agency for the procurement of
such items or services.
``(f) Fees.--(1) The Director may permit a central service
provider to impose and collect a fee with respect to the
provision of an item or service under the program. The amount
of the fee may not exceed an amount equal to four percent of
the payment received by the provider for the item or service.
``(2)(A) Subject to subparagraph (B), the Director may
obligate and expend amounts in the Fund that are attributable
to the fees imposed and collected under paragraph (1) to
acquire equipment or systems for, or to improve the equipment
or systems of, elements of the Agency that are not designated
for participation in the program in order to facilitate the
designation of such elements for future participation in the
program.
``(B) The Director may not expend amounts in the Fund for
purposes specified in subparagraph (A) in fiscal year 1998,
1999, or 2000 unless the Director--
``(i) secures the prior approval of the Director of
the Office of Management and Budget; and
``(ii) submits notice of the proposed expenditure
to the Permanent Select Committee on Intelligence of
the House of Representatives and the Select Committee
on Intelligence of the Senate.
``(g) Audit.--(1) Not later than December 31 each year, the
Inspector General of the Central Intelligence Agency shall
conduct an audit of the activities under the program during the
preceding fiscal year.
``(2) The Director of the Office of Management and Budget
shall determine the form and content of annual audits under
paragraph (1). Such audits shall include an itemized accounting
of the items or services provided, the costs associated with
the items or services provided, the payments and any fees
received for the items or services provided, and the agencies
provided items or services.
``(3) Not later than 30 days after the completion of an
audit under paragraph (1), the Inspector General shall submit a
copy of the audit to the following:
``(A) The Director of the Office of Management and
Budget.
``(B) The Director of Central Intelligence.
``(C) The Permanent Select Committee on
Intelligence of the House of Representatives.
``(D) The Select Committee on Intelligence of the
Senate.
``(h) Termination.--(1) The authority of the Director to
carry out the program under this section shall terminate on
March 31, 2000.
``(2) Subject to paragraph (3), the Director of Central
Intelligence and the Director of the Office of Management and
Budget, acting jointly--
``(A) may terminate the program under this section
and the Fund at any time; and
``(B) upon such termination, shall provide for the
disposition of the personnel, assets, liabilities,
grants, contracts, property, records, and unexpended
balances of appropriations, authorizations,
allocations, and other funds held, used, arising from,
available to, or to be made available in connection
with the program or the Fund.
``(3) The Director of Central Intelligence and the Director
of the Office of Management and Budget may not undertake any
action under paragraph (2) until 60 days after the date on
which the Directors jointly submit notice of such action to the
Permanent Select Committee on Intelligence of the House of
Representatives and the Select Committee on Intelligence of the
Senate.''.
(b) Availability of Funds.--Of the amount appropriated
pursuant to the authorization of appropriations in section 101,
$2,000,000 shall be available for deposit in the Central
Services Working Capital Fund established by section 21(c) of
the Central Intelligence Agency Act of 1949, as added by
subsection (a).
SEC. 404. PROTECTION OF CIA FACILITIES.
Subsection (a) of section 15 of the Central Intelligence
Agency Act of 1949 (50 U.S.C. 403o) is amended--
(1) by inserting ``(1)'' after ``(a)'';
(2) by striking out ``powers only within Agency
installations,'' and all that follows through the end
and inserting in lieu thereof the following: ``powers--
``(A) within the Agency Headquarters Compound and
the property controlled and occupied by the Federal
Highway Administration located immediately adjacent to
such Compound;
``(B) in the streets, sidewalks, and the open areas
within the zone beginning at the outside boundary of
such Compound and property and extending outward 500
feet;
``(C) within any other Agency installation and
protected property; and
``(D) in the streets, sidewalks, and open areas
within the zone beginning at the outside boundary of
any installation or property referred to in
subparagraph (C) and extending outward 500 feet.''; and
(3) by adding at the end the following new
paragraphs:
``(2) The performance of functions and exercise of powers
under subparagraph (B) or (D) of paragraph (1) shall be limited
to those circumstances where such personnel can identify
specific and articulable facts giving such personnel reason to
believe that the performance of such functions and exercise of
such powers is reasonable to protect against physical damage or
injury, or threats ofphysical damage or injury, to Agency
installations, property, or employees.
``(3) Nothing in this subsection shall be construed to
preclude, or limit in any way, the authority of any Federal,
State, or local law enforcement agency, or any other Federal
police or Federal protective service.
``(4) The rules and regulations enforced by such personnel
shall be the rules and regulations prescribed by the Director
and shall only be applicable to the areas referred to in
subparagraph (A) or (C) of paragraph (1).
``(5) Not later than December 1, 1998, and annually
thereafter, the Director shall submit a report to the Permanent
Select Committee on Intelligence of the House of
Representatives and the Select Committee on Intelligence of the
Senate that describes in detail the exercise of the authority
granted by this subsection, and the underlying facts supporting
the exercise of such authority, during the preceding fiscal
year. The Director shall make such report available to the
Inspector General of the Central Intelligence Agency.''.
SEC. 405. ADMINISTRATIVE LOCATION OF THE OFFICE OF THE DIRECTOR OF
CENTRAL INTELLIGENCE.
Section 102(e) of the National Security Act of 1947 (50
U.S.C. 403(e)) is amended by adding at the end the following:
``(4) The Office of the Director of Central Intelligence
shall, for administrative purposes, be within the Central
Intelligence Agency.''.
TITLE V--DEPARTMENT OF DEFENSE INTELLIGENCE ACTIVITIES
SEC. 501. AUTHORITY TO AWARD ACADEMIC DEGREE OF BACHELOR OF SCIENCE IN
INTELLIGENCE.
(a) Authority for New Bachelor's Degree.--Section 2161 of
title 10, United States Code, is amended to read as follows:
``Sec. 2161. Joint Military Intelligence College: academic degrees
``Under regulations prescribed by the Secretary of Defense,
the president of the Joint Military Intelligence College may,
upon recommendation by the faculty of the college, confer upon
a graduate of the college who has fulfilled the requirements
for the degree the following:
``(1) The degree of Master of Science of Strategic
Intelligence (MSSI).
``(2) The degree of Bachelor of Science in
Intelligence (BSI).''.
(b) Clerical Amendment.--The item relating to that section
in the table of sections at the beginning of chapter 108 of
such title is amended to read as follows:
``2161. Joint Military Intelligence College: academic degrees.''.
SEC. 502. FUNDING FOR INFRASTRUCTURE AND QUALITY OF LIFE IMPROVEMENTS
AT MENWITH HILL AND BAD AIBLING STATIONS.
Section 506(b) of the Intelligence Authorization Act for
Fiscal Year 1996 (Public Law 104-93; 109 Stat. 974) is amended
by striking out ``for fiscal years 1996 and 1997'' and
inserting in lieu thereof ``for fiscal years 1998 and 1999''.
SEC. 503. UNAUTHORIZED USE OF NAME, INITIALS, OR SEAL OF NATIONAL
RECONNAISSANCE OFFICE.
(a) Extension, Reorganization, and Consolidation of
Authorities.--Subchapter I of chapter 21 of title 10, United
States Code, is amended by adding at the end the following new
section:
``Sec. 425. Prohibition of unauthorized use of name, initials, or seal:
specified intelligence agencies
``(a) Prohibition.--Except with the written permission of
both the Secretary of Defense and the Director of Central
Intelligence, no person may knowingly use, in connection with
any merchandise, retail product, impersonation, solicitation,
or commercial activity in a manner reasonably calculated to
convey the impression that such use is approved, endorsed, or
authorized by the Secretary and the Director, any of the
following (or any colorable imitation thereof):
``(1) The words `Defense Intelligence Agency', the
initials `DIA', or the seal of the Defense Intelligence
Agency.
``(2) The words `National Reconnaissance Office',
the initials `NRO', or the seal of the National
Reconnaissance Office.
``(3) The words `National Imagery and Mapping
Agency', the initials `NIMA', or the seal of the
National Imagery and Mapping Agency.
``(4) The words `Defense Mapping Agency', the
initials `DMA', or the seal of the Defense Mapping
Agency.''.
(b) Transfer of Enforcement Authority.--Subsection (b) of
section 202 of title 10, United States Code, is transferred to
the end of section 425 of such title, as added by subsection
(a), and is amended by inserting ``Authority To Enjoin
Violations.--'' after ``(b)''.
(c) Repeal of Reorganized Provisions.--Sections 202 and 445
of title 10, United States Code, are repealed.
(d) Clerical Amendments.--
(1) The table of sections at the beginning of
subchapter II of chapter 8 of title 10, United States
Code, is amended by striking out the item relating to
section 202.
(2) The table of sections at the beginning of
subchapter I of chapter 21 of title 10, United States
Code, is amended by striking out the items relating to
sections 424 and 425 and inserting in lieu thereof the
following:
``424. Disclosure of organizational and personnel information: exemption
for Defense Intelligence Agency, National Reconnaissance
Office, and National Imagery and Mapping Agency.
``425. Prohibition of unauthorized use of name, initials, or seal:
specified intelligence agencies.''.
(3) The table of sections at the beginning of
subchapter I of chapter 22 of title 10, United States
Code, is amended by striking out the item relating to
section 445.
And the House agree to the same.
From the Permanent Select Committee on
Intelligence, for consideration of the Senate
bill, and the House amendment, and
modifications committed to conference:
Porter Goss,
Bill Young,
Jerry Lewis,
Bud Shuster,
Bill McCollum,
Michael N. Castle,
Sherwood Boehlert,
Charles F. Bass,
Jim Gibbons,
Norm Dicks,
Julian C. Dixon,
David E. Skaggs,
Nancy Pelosi,
Jane Harman,
Ike Skelton,
Sanford D. Bishop,
From the Committee on National Security, for
consideration of defense tactical intelligence
and related activities:
Floyd Spence,
Bob Stump,
Managers on the Part of the House.
From the Select Committee on Intelligence:
Richard Shelby,
John H. Chafee,
Dick Lugar,
Mike DeWine,
Jon Kyl,
James Inhofe,
Orrin Hatch,
Pat Roberts,
Wayne Allard,
Daniel Coats,
Bob Kerrey,
John Glenn,
Richard H. Bryan,
Bob Graham,
John F. Kerry,
Max Baucus,
Chuck Robb,
Frank Lautenberg,
Carl Levin,
From the Committee on Armed Services:
Strom Thurmond,
Managers on the Part of the Senate.
JOINT EXPLANATORY STATEMENT OF THE COMMITTEE OF CONFERENCE
The managers on the part of the Senate and the House at
the conference on the disagreeing votes of the two Houses on
the amendment of the House of Representatives to the bill (S.
858) to authorize appropriations for fiscal year 1998 for
intelligence and the intelligence-related activities of the
United States Government, the Community Management Account, and
the Central Intelligence Agency Retirement and Disability
System, and for other purposes, submit the following joint
statement to the Senate and the House in explanation of the
effect of the action agreed upon by the managers and
recommended in the accompanying conference report:
The House amendment struck all of the Senate bill after
the enacting clause and inserted a substitute text.
The Senate recedes from its disagreement to the amendment
of the House with an amendment that is a substitute for the
Senate bill and the House amendment. The differences between
the Senate bill, the House amendment, and the substitute agreed
to in conference are noted below, except for clerical
corrections, conforming changes made necessary by agreements
reached by the conferees, and minor drafting and clerical
changes.
Title I--Intelligence Activities
sec. 101. authorization for appropriations
Section 101 of the conference report lists the
departments, agencies, and other elements of the United States
Government for whose intelligence and intelligence-related
activities the Act authorizes appropriations for fiscal year
1998. Section 101 is identical to section 101 of the Senate
bill and section 101 of the House amendment.
sec. 102. classified schedule of authorizations
Section 102 of the conference report makes clear that the
details of the amounts authorized to be appropriated for
intelligence and intelligence-related activities and applicable
personnel ceilings covered under this title for fiscal year
1998 are contained in a classified Schedule of Authorizations.
The classified Schedule of Authorizations is incorporated into
the Act by this section. The details of the Schedule are
explained in the classified annex to this report. Section 102
is identical to section 102 of the Senate bill and section 102
of the House amendment.
sec. 103. personnel ceiling adjustments
Section 103 of the conference report authorizes the
Director of Central Intelligence, with the approval of the
Director of the Office of Management and Budget, in fiscal year
1998 to authorize employment of civilian personnel in excess of
the personnel ceilings applicable to the components of the
Intelligence Community under section 102 by an amount not to
exceed two percent of the total of the ceilings applicable
under section 102. The Director of Central Intelligence may
exercise this authority only when doing so is necessary to the
performance of important intelligence functions. Any exercise
of this authority must be reported to the two intelligence
committees of the Congress.
The managers emphasize that the authority conferred by
section 103 is not intended to permit the wholesale raising of
personnel strength in any intelligence component. Rather, the
section provides the Director of Central Intelligence with
flexibility to adjust personnel levels temporarily for
contingencies and for overages caused by an imbalance between
hiring of new employees and attrition of current employees. The
managers do not expect the Director of Central Intelligence to
allow heads of intelligence components to plan to exceed levels
set in the Schedule of Authorizations except for the
satisfaction of clearly identified hiring needs which are
consistent with the authorization of personnel strengths in
this bill. In no case is this authority to be used to provide
for positions denied by this bill. Section 103 is identical to
section 103 of the Senate bill and section 103 of the House
amendment.
sec. 104. community management account
Section 104 of the conference report authorizes
appropriations for the Community Management Account of the
Director of Central Intelligence and sets the personnel end-
strength for the Intelligence Community Management Staff for
fiscal year 1998.
Subsection (a) authorizes appropriations of $121,580,000
for fiscal year 1998 for the activities of the Community
Management Account (CMA) of the Director of Central
Intelligence. This amount includes funds identified for the
Advanced Research and Development Committee and the
Environmental Intelligence and Applications Program, which
shall remain available until September 30, 1999.
Subsection (b) authorizes 283 full-time personnel for the
Community Management Staff for fiscal year 1998 and provides
that such personnel may be permanent employees of the Staff or
detailed from various elements of the United States Government.
Subsection (c) authorizes additional appropriations and
personnel for the Community Management Account as specified in
the classified Schedule of Authorizations.
Subsection (d) requires, except as provided in Section
303 of this Act, or for temporary situations of less than one
year, that personnel from another element of the United States
Government be detailed to an element of the Community
Management Account on a reimbursable basis.
Subsection (e) authorizes $27,000,000 of the amount
authorized in subsection (a) to bemade available for the
National Drug Intelligence Center (NDIC). This subsection is identical
to subsection (e) in the House amendment. The Senate bill had no
similar provision. The Senate recedes. The managers agree that
continued funding of the NDIC from the NFIP deserves considerable
study, and many remain concerned that the balance between law
enforcement and national security equities in the NDIC's operations is
skewed in favor of the law enforcement community. This is due, in part,
to placement of the NDIC within the Department of Justice.
The managers urge the President to carefully examine this
problem and report to the Committees before April 1, 1998. This
examination should be undertaken and reported as a part of the
National Counter-Narcotics Architecture Review currently being
prepared by the Office of National Drug Control Policy. The
report should describe current and proposed efforts to
structure the NDIC to effectively coordinate and consolidate
strategic drug intelligence from national security and law
enforcement agencies. It should also describe what steps have
been taken to ensure that the relevant national security and
law enforcement agencies are providing the NDIC with access to
data needed to accomplish this task. The managers agree that
upon receipt of this report the intelligence committees will
reconsider whether it is appropriate to continue funding the
NDIC as a part of the National Foreign Intelligence Program.
Title II--Central Intelligence Agency Retirement and Disability System
sec. 201. authorization of appropriations
Section 201 is identical to section 201 of the House
amendment and section 201 of the Senate bill.
Title III--General Provisions
sec. 301. increase in employee compensation and benefits authorized by
law
Section 301 is identical to section 301 of the House
amendment and section 301 of the Senate bill.
sec. 302. restriction on conduct of intelligence activities
Section 302 is identical to section 302 of the House
amendment and section 302 of the Senate bill.
sec 303. detail of intelligence community personnel
The managers strongly support the inauguration of the
Intelligence Community Assignment Program (ICAP). This type of
initiative is critical if the Intelligence Community is to
prepare itself for future challenges that will require an ever
increasing level of coordination and cooperation between the
various elements of the community. Section 303 is similar to
section 304 of the House amendment and section 303 of the
Senate bill. The managers agreed to a provision that is nearly
identical to that found in the House amendment. Section 303 of
the conference report does not, however, terminate this
authority on September 30, 2002.
sec. 304. extension of application of sanctions laws to intelligence
activities
Section 304 of the conference report extends until
January 6, 1999 the authority granted by section 303 of the
Intelligence Authorization Act of Fiscal Year 1996 for the
President to stay the imposition of an economic, cultural,
diplomatic, or other sanction or related action when the
President determines and reports to Congress that to proceed
without delay would seriously risk the compromise of an
intelligence source or method, or an ongoing criminal
investigation. Section 304 is similar to section 305 of the
House amendment and section 304 of the Senate bill. The Senate
bill extended the deferral authority until January 6, 2001,
whereas the House amendment extended the authority until
January 6, 1999. The managers agreed to adopt the House
amendment with minor technical changes.
sec. 305. sense of congress on intelligence community contracting
Section 305 expresses the sense of the Congress that the
Director of Central Intelligence should continue to direct
elements of the Intelligence Community to award contracts in a
manner that would maximize the procurement of products produced
in the United States, when such action is compatible with the
national security interests of the United States, consistent
with operational and security concerns, and fiscally sound. A
provision similar to section 305 has been included in previous
intelligence authorization acts. Section 305 is similar in
intent to sections 306 through 308 of the House amendment. The
Senate bill had no similar provision.
sec. 306. sense of congress on receipt of classified information
Section 306 expresses the sense of the Congress that
Members of Congress have equal standing with officials of the
executive branch to receive classified information so that
Congress may carry out its oversight responsibilities. The
Senate bill contained a provision that directed the President
to inform all employees of the executive branch, and employees
of contractorscarrying out duties under classified contracts,
that the disclosure of classified information reasonably believed by
the person to be evidence of a violation of law, regulation, or rule;
false statement to Congress; gross mismanagement, waste of funds, abuse
of authority; or a substantial and specific danger to public safety, is
not contrary to law, executive order, regulation, or is otherwise not
contrary to public policy. The Senate provision would have allowed
disclosure of such information to any Member or staff member of a
committee of Congress having oversight responsibility for the
department, agency, or element of the Federal Government to which such
information relates. The Senate bill would also have allowed disclosure
of such classified information to the employee's own Representative.
The House amendment had no similar provision.
The managers decided not to include section 306 of the
Senate bill in the conference report. Such action should not,
however, be interpreted as agreement with the Administration's
position on whether it is constitutional for Congress to
legislate on this subject matter. The managers' action also
should not be further interpreted as agreement with the opinion
of the Justice Department's Office of Legal Counsel, which
explicitly stated that only the President may determine when
executive branch employees may disclose classified information
to Members of Congress. The managers assert that members of
congressional committees have a need to know information,
classified or otherwise, that directly relates to their
responsibility to conduct vigorous and thorough oversight of
the activities of the executive departments and agencies within
their committees' jurisdiction.
While the managers recognize the Chief Executive's
inherent constitutional authority to protect sensitive national
security information, they do not agree that this authority may
be asserted against Congress to withhold evidence of wrongdoing
and thereby impede Congress in exercising its legislative
oversight authority. Therefore, the managers committed to hold
hearings on this issue and develop appropriate legislative
solutions.
sec. 307. provision of information on certain violent crimes abroad to
victims and victims' families
Section 307 directs the Secretary of State to ensure that
the United States Government takes all appropriate actions to
identify promptly all unclassified and classified information
in the possession of the United States Government regarding the
killing, abduction, torture, or other serious mistreatment of a
U.S. citizen abroad. The provision further requires the
Secretary of State to ensure that all information is promptly
reviewed and, to the maximum extent practicable, without
jeopardizing sensitive sources and methods or other vital
national security interests, or without jeopardizing an on-
going criminal investigation or proceeding, made available to
the victim or victim's family if they are United States
citizens, unless such a disclosure is specifically prohibited
by law.
Section 307 is similar to section 307 of the Senate bill.
The House amendment had no similar provision. The managers
agreed to a provision that limits the release of information to
U.S. citizens. The managers also exempted from disclosure
information that may jeopardize an on-going criminal
investigation or proceeding. Additionally, the managers
acknowledged that there are certain statutes that specifically
prohibit disclosure of certain types or categories of
information and, therefore, added language that defers to those
statutory prohibitions.
The managers recognized that the term ``information'' is
very broad and may be interpreted to include all forms of
information in the possession of the United States Government.
The managers also recognized that the various agencies and
departments of the United States Government may have in their
possession non-official information that is readily available
to the public via other means, e.g. press clippings. Therefore,
the managers intend the term ``information'' to be construed to
mean information that is not available to the victims or
families unless provided to them by the United States
Government.
sec. 308. report on intelligence activities of the people's republic of
china
Section 308 directs the Director of Central Intelligence
and the Director of the Federal Bureau of Investigation, in
consultation with the heads of other appropriate Federal
agencies, to prepare and transmit to Congress a report on the
intelligence activities of the People's Republic of China
directed against or affecting the interests of the United
States. Section 308 is similar to section 309 of the House
amendment. The Senate bill had no similar provision.
sec. 309. standards for spelling of foreign names and places and for
use of geographic coordinates
Section 309 directs the Director of Central Intelligence
to carry out a survey of current standards for the spelling of
foreign names and places, and the geographic coordinates for
such places. This provision further directs the Director of
Central Intelligence to submit the results of the survey to the
congressional intelligence committees and issue guidelines to
ensure uniform spelling of foreign names and places and the
uniform use of geographic coordinates for such places.
Section 309 is nearly identical to section 308 of the
Senate bill. The House amendment had no similar provision.
sec. 310. review of studies on chemical weapons in the persian gulf
during the persian gulf war
Section 310 directs the Inspector General (IG) of the
Central Intelligence Agency to complete a review of the studies
conducted by the Federal Government regarding the presence,use,
or destruction of chemical weapons in the Persian Gulf theater of
operations during the Persian Gulf War. This review is required to be
completed not later than May 31, 1998. Section 310 is similar to
section 310 of the House amendment. The Senate bill had no similar
provision.
The managers were aware of at lest ten investigations or
studies that were in various states of completion. The managers
noted that the CIA IG is already in the final stages of two
major projects related to chemical weapons and the Persian Gulf
War. At the request of former Director of Central Intelligence
Deutch, the IG is assessing allegations made by two former
Agency employees regarding the CIA's handling of information
concerning the possible exposure of United States personnel to
chemical weapons. Additionally, in support of the Presidential
Advisory Committee on Gulf War Veterans' Illnesses, the CIA IG
is conducting a special assessment of the Agency's handling of
information related to the Iraqi ammunition storage depot at
Khamisiyah. Both of these studies are expected to be completed
in October 1997. The remaining studies that relate to the
possible exposure of United States forces to chemical weapons
during the Persian Gulf War include the following:
1. The CIA's Persian Gulf War Illness Task Force
published an unclassified report on Khamisiyah, ``An Historical
Perspective on Related Intelligence,'' in April 1997. The
Agency's Directorate of Intelligence published an unclassified
``Report on Intelligence Related to Gulf War Illnesses,'' in
August 1996.
2. The Assistant to the Secretary of Defense for
Intelligence Oversight is preparing a report on what
information was available to the Department of Defense
concerning Iraqi chemical weapons before and during the Gulf
War, and what the Department did with that information.
3. The Inspector General to the Department of Defense has
been tasked to investigate the disappearance of military logs
related to chemical weapons alerts during the war.
4. The Inspector General of the Army is conducting a
series of investigations relating to the possible exposure of
U.S. troops to chemical weapons.
5. The augmented Persian Gulf Investigation Team, under
the direction of the Office of the Special Assistant to the
Secretary of Defense for Gulf War Illnesses, is continuing a
broad inquiry into the Gulf War illness issue, including the
role of chemical exposures.
6. The Presidential Advisory Committee on Gulf War
Veterans' Illnesses is completing its work on answering
questions from the President related to the Khamisiyah
ammunition storage depot.
7. The Senate Veterans' Affairs Committee has hired a
special investigator to look into Gulf War issues, and the
House Veterans' Affairs Committee remains active on the issue.
8. The General Accounting Office published a report
entitled ``Gulf War Illnesses: Improved Monitoring of Clinical
Progress and Reexamination of Research Emphasis are Needed,''
in June 1997. The GAO is also preparing answers to questions
posed by the House Veterans' Affairs Committee concerning DoD
logs and possible chemical weapons exposure incidents.
Therefore, instead of requiring the IG to undertake
another investigation that would essentially mirror ongoing
efforts, the managers agreed to direct the IG to conduct a
review that will identify whether any additional investigation
or research is necessary to determine the extent of the Central
Intelligence Agency's knowledge of the presence, use, or
destruction of chemical weapons and any other issue relating to
the presence, use, or destruction of such weapons. The results
of this review will allow the congressional intelligence
committees to direct the appropriate authorities to conduct
additional specific investigations without duplicating past
efforts. The managers are very concerned about the handling of
information relating to the presence, use, or destruction of
chemical weapons in the Persian Gulf theater of operations;
they remain committed to ensuring a thorough understanding of
these matters.
sec. 311. exceptions to certain fair credit reporting requirements
relating to national security investigations
Section 311 amends the Fair Credit Reporting Act (FCRA)
to allow for a limited exception to particular consumer
disclosure requirements and exempts a reseller of a consumer
report, under certain conditions, from disclosing the identity
of an end-user of a consumer report as required by P.L. 104-
208, Division A, Title II, Subtitle D, Chapter 1, Sec. 2403(b)
and Sec. 2407(c), respectively. These provisions became
effective on September 30, 1997. There was no similar provision
to section 311 in the Senate bill or the House amendment. The
managers received a letter from the Chairman of the House
Committee on Banking and Financial Services supporting this
provision. The content of the letter is as follows:
House of Representatives,
Committee on Banking and Financial Services,
Washington, DC, September 16, 1997.
Hon. Porter J. Goss,
Chairman, Permanent Select Committee on Intelligence,
Washington, DC.
Dear Mr. Chairman: I am writing with regard to the
proposed Fair Credit Reporting Act (FCRA) amendments to the
Intelligence Authorization Act for Fiscal Year 1998. I
appreciate your staff apprising the Banking Committee of these
proposed provisions.
Amendments to the FCRA that were enacted in the 104th
Congress and effective September 30, 1997, will require
employers to give advance notice to employees prior to taking
an adverse action based on an employee's consumer report. In
addition, the laws requires sellers of consumer reports to
disclose to consumers the end users of the reports. It is my
understanding that the Central Intelligence Agency (CIA) and
other intelligence representatives are concerned that these
provisions could adversely impact the ability of U.S.
government agencies involved in national security matters to
conduct investigations of employees suspected of posing a
security risk or counterintelligence risk. As a result, the
intelligence community has proposed two changes to the FCRA
which it would like included in the legislation during
conference consideration of the bill. Enclosed is legislative
language implementing these changes which has been vetted with
the intelligence community and which I can support.
The first proposed change to the FCRA would provide a
waiver for agencies engaged in national security matters from
the requirement that an employee be notified prior to his/her
employer taking an adverse action based on the employee's
consumer report. The waiver would apply when a senior
department head makes a written finding that credit information
regarding an employee is relevant to a legitimate national
security investigation and that advance notice would jeopardize
the investigation and endanger personnel and classified
information. The second proposed change to the FCRA would
provide that resellers of consumer reports are not required to
disclose the identity of the end user if the end user is a U.S.
government agency which has requested the consumer report as
part of a top secret security clearance process.
The FCRA falls under the jurisdiction of the Committee on
Banking and Financial Services. In the interest of time, and
based on Banking Committee staff discussions with Intelligence
Committee staff and officials representing the intelligence
community, the Banking Committee will not exercise its
jurisdiction at this time over the proposed FCRA amendments.
The Banking Committee does maintain, however, its jurisdiction
over the FCRA and reserves the right to referral of all
provisions related to the FCRA in the future.
Again, I appreciate your staff and officials from the
intelligence community bringing these proposed FCRA changes to
the attention of the Banking Committee. I believe that the
attached changes to the FCRA, are reasonable and should be
included in the Intelligence Authorization Act.
Sincerely,
James A. Leach, Chairman.
CIA employees and most CIA contractors with staff-like
access are required to have a Top Secret (TS) clearance with
Sensitive Compartmented Information (SCI) access. National
Security Directive 63 (NSD 63), requires all executive branch
agencies to verify the financial status and credit habits of
individuals considered for access to TS and SCI material.
Consequently, the agencies obtain a consumer report for all
applicants, employees, and contractors. Such applicants,
employees, and contractors sign a written consent to release
this information as a part of their application process or
routine reinvestigation. This consent is attached to the
Standard Form (SF) 86 (Questionnaire for National Security
Positions).
In addition to the SF 86, Title 50, United States Code,
section 435(a)(3) requires all individuals with access to
classified information to consent to the release of financial
background information during the period of such access. A
section 435 release authorizes investigative agencies to obtain
a wide variety of financial information. The release may only
be used, however, when an individual is suspected of disclosing
classified information to a foreign power, has excessive
indebtedness or unexplained wealth, or, by virtue of his access
to compromised classified information, is suspected of
disclosing such information to a foreign power. Additionally,
under Title 50, United States Code, section 436(b), the fact
that a section 435 release has been executed by an
investigative agency to obtain a consumer report may not be
legally disclosed to the consumer or anyone other than
representatives of the requesting agency. Therefore, the FCRA,
as amended, would not require notification of the consumer when
the consumer report is obtained under section 435.
The managers understand, however, that an agency or
department may need to examine an employee's consumer report to
make an early assessment of the employee's consumer spending
habits. The need for early access to a consumer report arises
in cases where there are indications that an employee presents
security or counterintelligence concerns, but the threshold to
execute a section 435 release has not been met. Under current
law, a consumer report may be obtained in such cases without
notifying the employee.
As of September 30, 1997, however, the Fair Credit
Reporting Act (15 U.S.C. Sec. 1681 et seq.), as amended by the
``Consumer Credit Reporting Reform Act of 1996,'' among other
things, requires employers to notify individuals before an
``adverse action'' is taken based in whole or in part on a
consumer report and provide the consumer with a copy of the
report. ``Adverse action'' is defined very broadly by the FCRA,
as amended. This presents a problem to agencies or departments
conducting legitimate national security investigations because
they may take ``adverse action'' based on information in a
consumer report obtained outside of a section 435 release and
will have to notify an employee in the earliest stages of an
investigation that they have taken such action. Once alerted,
the subject of the investigation who is in actual contact with
a foreign intelligence service may cease, or more carefully
conceal, contacts with foreign agents making it more difficult
to detect actual espionage activity.
Section 311(a) provides a limited exception to the
consumer notification requirement for legitimate national
security investigations when certain factors are present. The
managers are aware, however, of the abuses that prompted the
enactment of the ``Consumer Credit Reporting Reform Act of
1996'' and are sensitive to the need for the consumer
protections contained therein. Therefore, section 311(a)
requires the head of the department or agency to make a written
finding, to be maintained in the employee's personnel security
file, as to such factors before an exception may be made.
Further, an exception may be made only when adverse action is
based in part on information obtained from a consumer report.
An exception is not available for adverse action which is based
in whole on such information. Also, upon the conclusion of an
investigation or when the factors are no longer present, the
head of the department or agency is required to provide a copy
of the credit report and notice of any adverse action which is
based in part on such report. The head of the department or
agency will also have to identify the nature of the
investigation to the consumer concerned. Additionally, the
managers note that protections such as notice and opportunity
to respond and correct information are already provided by the
CIA to individuals for whom a security clearance has been
denied or revoked. The managers also understand that all
information obtained from a consumer report will be shared with
anappellant contesting an adverse security decision. The CIA
also provides the identity of the reporting agency so that an appellant
may challenge the accuracy of the report directly with the reporting
agency. The managers support these policies and urge their
continuation.
The FCRA, as amended, will also require a reseller of a
consumer report to disclose to the consumer reporting agency
that originally furnishes the report the identity of the end-
user of the report. Hence, the CIA will have to be identified
as the end-user in the records of the source consumer reporting
agency. Therefore, this new requirement will create significant
security and safety concerns for CIA applicants, employees, and
activities involving classified contracts because the data
bases of consumer reporting agencies are not secure and are
vulnerable to foreign intelligence services.
Section 311(b) provides an exemption to the end-user
identification requirements of the FCRA, as amended. A
department or agency that seeks an exemption under this
provision must certify to the reseller that nondisclosure is
necessary to protect classified information or the life or
physical safety of an applicant, employee, or contractor with
the agency or department.
The amendments is subsections (a) and (b) shall take
effect as if such amendments had been included in chapter 1 of
subtitle D of the Economic Growth and Regulatory Paperwork
Reduction Act of 1996. The managers believe section 311 strikes
a reasonable balance between the needs of the consumer and the
need to protect national security information.
Title IV--Central Intelligence Agency
Sec. 401. multiyear leasing authority
Section 401 amends section 5 of the Central intelligence
Agency Act of 1949 to provide clear statutory authority for the
CIA to enter into multi-year leases of terms not to exceed 15
years. Section 401 is similar to section 401 of the Senate bill
and nearly identical to section 401 of the House amendment.
The managers adopted this provision specifically without
any reference to section 8 of the CIA Act of 1949. It is the
CIA's position that section 8 authorizes the CIA to enter into
covert multi-year leases. The managers agreed that if the
reference to section 8 remained in section 401 of the
conference report it would be tantamount to a statutory
endorsement of the CIA's interpretation. The managers left that
question open and agreed that the issue requires further
analysis. Therefore, section 401 is not intended to modify or
supersede any multi-year leasing authority granted to the
Director of Central Intelligence under section 8, as presently
construed. The managers also concurred with the reporting
requirement contained in the Senate report for covert leases
and request that the report be provided to both committees.
sec. 402. subpoena authority for the inspector general of the central
intelligence agency
Section 402 amends section 17(e) of the CIA Act of 1949
to provide the CIA Inspector General (IG) with authority to
subpoena records and other documentary information necessary in
the performance of functions assigned to the IG. Section 402 is
identical to section 402 in the Senate bill. The House
amendment had no similar provision.
The Inspectors General throughout the Federal Government
are responsible for identifying corruption, waste, and fraud in
their respective agencies or departments. All other statutory
Inspectors General have subpoena authority to compel the
production of records and documents during the course of their
investigations. The CIA IG's enabling statute did not provide
subpoena authority. The managers agreed that the CIA IG needed
the same authority as other executive branch Inspectors General
to adequately fulfill the CIA IG's statutory obligations.
sec. 403. central services program
Section 403 establishes a ``Central Services Program''
and its necessary working capital fund at the CIA. Section 403
is similar to section 402 of the House amendment. The Senate
bill had no similar provision. The managers welcome this
initiative to make the administrative support services provided
by the CIA more efficient and competitive.
sec. 404. protection of cia facilities
Section 404 authorizes the CIA security protective
officers to exercise their law enforcement functions 500 feet
beyond the confines of CIA facilities and also onto the Federal
Highway Administration (FHWA) property immediately adjacent to
the CIA Headquarters compound, subject to certain limitations.
Section 404 is similar to section 403 of the House amendment.
The Senate bill had no similar provision.
The managers recognized the growing threat of terrorist
attacks and the particular attraction of CIA facilities as
potential targets of such attacks. The managers were also
sensitive, however, to the public's reaction to an unlimited
grant of jurisdiction, considering that the 500 foot zone
extends onto residential property in some areas. Therefore, the
exercise of this new authority is expressly limited to only
those circumstances where the CIA security protective officers
can identify specific and articulable facts giving them reason
to believe that the exercise of this authority is reasonable to
protect against physical damage or injury, or threats of
physical damage or injury, to CIA installations, property, or
employees. This provision also expressly states that the rules
and regulations prescribed by the Director of Central
Intelligence for agency property and installations do not
extend into the 500 foot area established by this provision.
Thus, there will be no restrictions, for example, on the taking
of photographs within the 500 foot zone.
The managers do not envision a general grant of police
authority in the 500 foot zone, butdo envision the CIA security
protective officers functioning as federal police, for limited
purposes, within the 500 foot zone with all attendant authorities,
capabilities, immunities, and liabilities. The managers expect the
Director of Central Intelligence to coordinate and establish Memoranda
of Understanding with all federal, state, or local law enforcement
agencies with which the CIA will exercise concurrent jurisdiction in
the 500 foot zones. The Director of Central Intelligence shall submit
such Memoranda of Understanding to the Select Committee on Intelligence
of the Senate and the Permanent Select Committee on Intelligence of the
House of Representatives. The Director of Central Intelligence is also
expected to develop a training plan to familiarize the Agency's
security protective officers with their new authorities and
responsibilities. The Director of Central Intelligence shall submit
such plan to the Select Committee on Intelligence of the Senate and the
Permanent Select Committee on Intelligence of the House of
Representatives not later than 30 days after the enactment of this
provision.
Section 404 also includes a reporting requirement so that
the intelligence committees may closely scrutinize the exercise
of this new authority.
sec. 405. administrative location of the office of the director of
central intelligence
Section 405 is identical to section 303 of the House
amendment and section 305 of the senate bill.
Title V--Department of Defense Intelligence Activities
sec. 501. authority to award academic degree of bachelor of science in
intelligence
Section 501 is identical to section 501 of the House
amendment and similar to section 501 of the Senate bill.
sec. 502. funding for infrastructure and quality of life improvements
at menwith hill and bad aibling stations
Section 502 is identical to section 502 of the Senate
bill and section 503 of the House amendment.
sec. 503. unauthorized use of the name, initials, or seal of the
national reconnaissance office
Section 503 prohibits the unauthorized use of the name,
initials, or seal of the National Reconnaissance Office and
consolidates all preexisting unauthorized use prohibitions for
the Intelligence Community under one in section in subchapter I
of chapter 21 of title 10, United States Code. Section 503 is
similar to section 503 of the Senate bill and section 502 of
the House amendment. The managers agreed to require the
permission of both the Secretary of Defense and the Director of
Central Intelligence before any person may use the name,
initial, or seal of the National Reconnaissance Office, Defense
Intelligence Agency, the National Imagery and Mapping Agency,
or the Defense Mapping Agency in connection with any
merchandise, retail product, impersonation, solicitation, or
commercial activity.
Provisions Not Included in the Conference Report
Sense of the Senate
Section 309 of the Senate bill expressed a sense of the
Senate that any tax legislation enacted by Congress this year
should meet a standard of fairness in its distributional impact
on upper, middle, and lower income taxpayers. The House
amendment has no similar provision. The Senate recedes.
Title VI--Miscellaneous Community Program Adjustments
Title VI of the House amendment contained eight sections.
Sections 601 through 604, and 606 through 608 addressed various
defense tactical intelligence and related activities. The
managers are aware that the conference committee negotiating
the National Defense Authorization Act for Fiscal Year 1998 is
considering these same issues, and note that several of these
provisions will likely be included in that conference report.
Without waiving jurisdiction, the managers agreed not to
include these provisions in the conference report.
Section 605 established new requirements relating to the
Congressional Budget Justification Books (CBJBs). The managers
understand that the Community Management Staff is currently
revising the structure of the CBJBs and the material contained
therein in an effort to make these documents more informative
and responsive to congressional needs. The managers urge the
Community Management Staff to continue to work with those
committees that use the CBJBs to address the concerns raised by
those committees regarding the content and structure of the
CBJBs. In light of this on-going review, the managers agreed to
defer legislative action pending the outcome of those
discussions.
From the Permanent Select Committee on
Intelligence, for consideration of the Senate
bill, and the House amendment, and
modifications committed to conference:
Porter Goss,
Bill Young,
Jerry Lewis,
Bud Shuster,
Bill McCollum,
Michael N. Castle,
Sherwood Boehlert,
Charles F. Bass,
Jim Gibbons,
Norm Dicks,
Julian C. Dixon,
David E. Skaggs,
Nancy Pelosi,
Jane Harman,
Ike Skelton,
Sanford D. Bishop,
From the Committee on National Security, for
consideration of defense tactical intelligence
and related activities:
Floyd Spence,
Bob Stump,
Managers on the Part of the House.
From the Select Committee on Intelligence:
Richard Shelby,
John H. Chafee,
Dick Lugar,
Mike DeWine,
Jon Kyl,
James Inhofe,
Orrin Hatch,
Pat Roberts,
Wayne Allard,
Daniel Coats,
Bob Kerrey,
John Glenn,
Richard H. Bryan,
Bob Graham,
John F. Kerry,
Max Baucus,
Chuck Robb,
Frank Lautenberg,
Carl Levin,
From the Committee on Armed Services:
Strom Thurmond,
Managers on the Part of the Senate.
