10 November 1999
Source: http://www.access.gpo.gov/su_docs/aces/aaces002.html

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[Congressional Record: November 5, 1999 (House)]
[Page H11630-H11643]
From the Congressional Record Online via GPO Access [wais.access.gpo.gov]
[DOCID:cr05no99-89]


                     CONFERENCE REPORT ON H.R. 1555

  Mr. GOSS submitted the following conference report and statement on
the bill (H.R. 1555), to authorize appropriations for fiscal year 2000
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:

                  Conference Report (H. Rept. 106-457)

       The committee of conference on the disagreeing votes of the
     two Houses on the amendment of the Senate to the bill (H.R.
     1555), to authorize appropriations for fiscal year 2000 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 House recede from its disagreement to the
     amendment of the Senate and agree to the same with an
     amendment as follows:
       In lieu of the matter proposed to be inserted by the Senate
     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 2000''.
       (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. Intelligence Community Management Account.
Sec. 105. Authorization of emergency supplemental appropriations for
              fiscal year 1999.

 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. Diplomatic intelligence support centers.
Sec. 304. Protection of identity of retired covert agents.
Sec. 305. Access to computers and computer data of executive branch
              employees with access to classified information.
Sec. 306. Naturalization of certain persons affiliated with a Communist
              or similar party.
Sec. 307. Technical amendment.
Sec. 308. Declassification review of intelligence estimate on Vietnam-
              era prisoners of war and missing in action personnel and
              critical assessment of estimate.
Sec. 309. Report on legal standards applied for electronic
              surveillance.
Sec. 310. Report on effects of foreign espionage on the United States.
Sec. 311. Report on activities of the Central Intelligence Agency in
              Chile.
Sec. 312. Report on Kosova Liberation Army.
Sec. 313. Reaffirmation of longstanding prohibition against drug
              trafficking by employees of the intelligence community.
Sec. 314. Sense of Congress on classification and declassification.
Sec. 315. Sense of Congress on intelligence community contracting.

                 TITLE IV--CENTRAL INTELLIGENCE AGENCY

Sec. 401. Improvement and extension of central services program.
Sec. 402. Extension of CIA Voluntary Separation Pay Act.

         TITLE V--DEPARTMENT OF DEFENSE INTELLIGENCE ACTIVITIES

Sec. 501. Protection of operational files of the National Imagery and
              Mapping Agency.

[[Page H11631]]

Sec. 502. Funding for infrastructure and quality of life improvements
              at Menwith Hill and Bad Aibling stations.

   TITLE VI--FOREIGN COUNTERINTELLIGENCE AND INTERNATIONAL TERRORISM
                             INVESTIGATIONS

Sec. 601. Expansion of definition of ``agent of a foreign power'' for
              purposes of the Foreign Intelligence Surveillance Act of
              1978.
Sec. 602. Federal Bureau of Investigation reports to other executive
              agencies on results of counterintelligence activities.

     TITLE VII--NATIONAL COMMISSION FOR THE REVIEW OF THE NATIONAL
                         RECONNAISSANCE OFFICE

Sec. 701. Findings.
Sec. 702. National Commission for the Review of the National
              Reconnaissance Office.
Sec. 703. Duties of commission.
Sec. 704. Powers of commission.
Sec. 705. Staff of commission.
Sec. 706. Compensation and travel expenses.
Sec. 707. Treatment of information relating to national security.
Sec. 708. Final report; termination.
Sec. 709. Assessments of final report.
Sec. 710. Inapplicability of certain administrative provisions.
Sec. 711. Funding.
Sec. 712. Congressional intelligence committees defined.

            TITLE VIII--INTERNATIONAL NARCOTICS TRAFFICKING

Sec. 801. Short title.
Sec. 802. Findings and policy.
Sec. 803. Purpose.
Sec. 804. Public identification of significant foreign narcotics
              traffickers and required reports.
Sec. 805. Blocking assets and prohibiting transactions.
Sec. 806. Authorities.
Sec. 807. Enforcement.
Sec. 808. Definitions.
Sec. 809. Exclusion of persons who have benefited from illicit
              activities of drug traffickers.
Sec. 810. Judicial Review Commission on Foreign Asset Control.
Sec. 811. Effective date.
                    TITLE I--INTELLIGENCE ACTIVITIES

     SEC. 101. AUTHORIZATION OF APPROPRIATIONS.

       Funds are hereby authorized to be appropriated for fiscal
     year 2000 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 National Reconnaissance Office.
       (11) 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, 2000,
     for the conduct of the intelligence and intelligence-related
     activities of the elements listed in such section, are those
     specified in the classified Schedule of Authorizations
     prepared to accompany the conference report on the bill H.R.
     1555 of the One Hundred Sixth Congress.
       (b) Availability of Classified Schedule of
     Authorizations.--The classified 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
     2000 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. INTELLIGENCE COMMUNITY MANAGEMENT ACCOUNT.

       (a) Authorization of Appropriations.--There is authorized
     to be appropriated for the Intelligence Community Management
     Account of the Director of Central Intelligence for fiscal
     year 2000 the sum of $170,672,000.
       (b) Authorized Personnel Levels.--The elements within the
     Community Management Account of the Director of Central
     Intelligence are authorized a total of 348 full-time
     personnel as of September 30, 2000. 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 2000 such additional amounts as are
     specified in the classified Schedule of Authorizations
     referred to in section 102(a). Such additional amounts shall
     remain available until September 30, 2001.
       (2) Authorization of personnel.--In addition to the
     personnel authorized by subsection (b) for elements of the
     Community Management Account as of September 30, 2000, 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 (50 U.S.C. 404h), during
     fiscal year 2000, 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
     nonreimbursable 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), $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, 2001, and funds provided for procurement
     purposes shall remain available until September 30, 2002.
       (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 activities of the
     Center.
       (3) Limitation.--Amounts available for the National Drug
     Intelligence 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 National Drug Intelligence Center.

     SEC. 105. AUTHORIZATION OF EMERGENCY SUPPLEMENTAL
                   APPROPRIATIONS FOR FISCAL YEAR 1999.

       (a) Authorization.--Amounts authorized to be appropriated
     for fiscal year 1999 under section 101 of the Intelligence
     Authorization Act for Fiscal Year 1999 (Public Law 105-272)
     for the conduct of the intelligence activities of elements of
     the United States Government listed in such section are
     hereby increased, with respect to any such authorized amount,
     by the amount by which appropriations pursuant to such
     authorization were increased by the 1999 Emergency
     Supplemental Appropriations Act (Public Law 106-31), for such
     amounts as are designated by Congress as an emergency
     requirement pursuant to section 251(b)(2)(A) of the Balanced
     Budget and Emergency Deficit Control Act of 1985 (2 U.S.C.
     901(b)(2)(A)).
       (b) Ratification.--For purposes of section 504 of the
     National Security Act of 1947 (50 U.S.C. 414), any obligation
     or expenditure of amounts appropriated in the 1999 Emergency
     Supplemental Appropriations Act for intelligence activities
     is hereby ratified and confirmed, to the extent such amounts
     are designated by Congress as an emergency requirement
     pursuant to the Balanced Budget and Emergency Deficit Control
     Act of 1985.
 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 2000 the sum of $209,100,000.
                     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 by such 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. DIPLOMATIC INTELLIGENCE SUPPORT CENTERS.

       (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:

 ``limitation on establishment or operation of diplomatic intelligence
                            support centers

       ``Sec. 115. (a) In General.--(1) A diplomatic intelligence
     support center may not be established, operated, or
     maintained without the prior approval of the Director of
     Central Intelligence.

[[Page H11632]]

       ``(2) The Director may only approve the establishment,
     operation, or maintenance of a diplomatic intelligence
     support center if the Director determines that the
     establishment, operation, or maintenance of such center is
     required to provide necessary intelligence support in
     furtherance of the national security interests of the United
     States.
       ``(b) Prohibition of Use of Appropriations.--Amounts
     appropriated pursuant to authorizations by law for
     intelligence and intelligence-related activities may not be
     obligated or expended for the establishment, operation, or
     maintenance of a diplomatic intelligence support center that
     is not approved by the Director of Central Intelligence.
       ``(c) Definitions.--In this section:
       ``(1) The term `diplomatic intelligence support center'
     means an entity to which employees of the various elements of
     the intelligence community (as defined in section 3(4)) are
     detailed for the purpose of providing analytical intelligence
     support that--
       ``(A) consists of intelligence analyses on military or
     political matters and expertise to conduct limited
     assessments and dynamic taskings for a chief of mission; and
       ``(B) is not intelligence support traditionally provided to
     a chief of mission by the Director of Central Intelligence.
       ``(2) The term `chief of mission' has the meaning given
     that term by section 102(3) of the Foreign Service Act of
     1980 (22 U.S.C. 3902(3)), and includes ambassadors at large
     and ministers of diplomatic missions of the United States, or
     persons appointed to lead United States offices abroad
     designated by the Secretary of State as diplomatic in nature.
       ``(d) Termination.--This section shall cease to be
     effective on October 1, 2000.''.
       (b) Clerical Amendment.--The table of contents contained in
     the first section of such Act is amended by inserting after
     the item relating to section 114 the following new item:
``Sec. 115. Limitation on establishment or operation of diplomatic
              intelligence support centers.''.

     SEC. 304. PROTECTION OF IDENTITY OF RETIRED COVERT AGENTS.

       (a) In General.--Section 606(4)(A) of the National Security
     Act of 1947 (50 U.S.C. 426(4)(A)) is amended--
       (1) by striking ``an officer or employee'' and inserting
     ``a present or retired officer or employee''; and
       (2) by striking ``a member'' and inserting ``a present or
     retired member''.
       (b) Prison Sentences for Violations.--
       (1) Imposition of consecutive sentences.--Section 601 of
     the National Security Act of 1947 (50 U.S.C. 421) is amended
     by adding at the end the following new subsection:
       ``(d) A term of imprisonment imposed under this section
     shall be consecutive to any other sentence of
     imprisonment.''.
       (2) Technical amendments.--Such section 601 is further
     amended--
       (A) in subsection (a), by striking ``shall be fined not
     more than $50,000'' and inserting ``shall be fined under
     title 18, United States Code,'';
       (B) in subsection (b), by striking ``shall be fined not
     more than $25,000'' and inserting ``shall be fined under
     title 18, United States Code,''; and
       (C) in subsection (c), by striking ``shall be fined not
     more than $15,000'' and inserting ``shall be fined under
     title 18, United States Code,''.

     SEC. 305. ACCESS TO COMPUTERS AND COMPUTER DATA OF EXECUTIVE
                   BRANCH EMPLOYEES WITH ACCESS TO CLASSIFIED
                   INFORMATION.

       (a) Access.--Section 801(a)(3) of the National Security Act
     of 1947 (50 U.S.C. 435(a)(3)) is amended by striking ``and
     travel records'' and inserting ``travel records, and
     computers used in the performance of government duties''.
       (b) Computer Defined.--Section 804 of that Act (50 U.S.C.
     438) is amended--
       (1) by striking ``and'' at the end of paragraph (6);
       (2) by striking the period at the end of paragraph (7) and
     inserting ``; and''; and
       (3) by adding at the end the following:
       ``(8) the term `computer' means any electronic, magnetic,
     optical, electrochemical, or other high speed data processing
     device performing logical, arithmetic, or storage functions,
     and includes any data storage facility or communications
     facility directly related to or operating in conjunction with
     such device and any data or other information stored or
     contained in such device.''.
       (c) Applicability.--The President shall modify the
     procedures required by section 801(a)(3) of the National
     Security Act of 1947 to take into account the amendment to
     that section made by subsection (a) of this section not later
     than 90 days after the date of the enactment of this Act.

     SEC. 306. NATURALIZATION OF CERTAIN PERSONS AFFILIATED WITH A
                   COMMUNIST OR SIMILAR PARTY.

       Section 313 of the Immigration and Nationality Act (8
     U.S.C. 1424) is amended by adding at the end the following
     new subsection:
       ``(e) A person may be naturalized under this title without
     regard to the prohibitions in subsections (a)(2) and (c) of
     this section if the person--
       ``(1) is otherwise eligible for naturalization;
       ``(2) is within the class described in subsection (a)(2)
     solely because of past membership in, or past affiliation
     with, a party or organization described in that subsection;
       ``(3) does not fall within any other of the classes
     described in that subsection; and
       ``(4) is determined by the Director of Central
     Intelligence, in consultation with the Secretary of Defense,
     and with the concurrence of the Attorney General, to have
     made a contribution to the national security or to the
     national intelligence mission of the United States.''.

     SEC. 307. TECHNICAL AMENDMENT.

       Section 305(b)(2) of the Intelligence Authorization Act for
     Fiscal Year 1997 (Public Law 104-293, 110 Stat. 3465; 8
     U.S.C. 1427 note) is amended by striking ``subparagraph (A),
     (B), (C), or (D) of section 243(h)(2) of such Act'' and
     inserting ``clauses (i) through (iv) of section 241(b)(3)(B)
     of such Act''.

     SEC. 308. DECLASSIFICATION REVIEW OF INTELLIGENCE ESTIMATE ON
                   VIETNAM-ERA PRISONERS OF WAR AND MISSING IN
                   ACTION PERSONNEL AND CRITICAL ASSESSMENT OF
                   ESTIMATE.

       (a) Declassification Review.--Subject to subsection (b),
     the Director of Central Intelligence shall review for
     declassification the following:
       (1) National Intelligence Estimate 98-03 dated April 1998
     and entitled ``Vietnamese Intentions, Capabilities, and
     Performance Concerning the POW/MIA Issue''.
       (2) The assessment dated November 1998 and entitled ``A
     Critical Assessment of National Intelligence Estimate 98-03
     prepared by the United States Chairman of the Vietnam War
     Working Group of the United States-Russia Joint Commission on
     POWs and MIAs''.
       (b) Limitations.--The Director shall not declassify any
     text contained in the estimate or assessment referred to in
     subsection (a) which would--
       (1) reveal intelligence sources and methods; or
       (2) disclose by name the identity of a living foreign
     individual who has cooperated with United States efforts to
     account for missing personnel from the Vietnam era.
       (c) Deadline.--The Director shall complete the
     declassification review of the estimate and assessment under
     subsection (a) not later than 30 days after the date of the
     enactment of this Act.

     SEC. 309. REPORT ON LEGAL STANDARDS APPLIED FOR ELECTRONIC
                   SURVEILLANCE.

       (a) Report.--Not later than 60 days after the date of the
     enactment of this Act, the Director of Central Intelligence,
     the Director of the National Security Agency, and the
     Attorney General shall jointly prepare, and the Director of
     the National Security Agency shall submit to the appropriate
     congressional committees, a report in classified and
     unclassified form providing a detailed analysis of the legal
     standards employed by elements of the intelligence community
     in conducting signals intelligence activities, including
     electronic surveillance.
       (b) Matters Specifically Addressed.--The report shall
     specifically include a statement of each of the following
     legal standards:
       (1) The legal standards for interception of communications
     when such interception may result in the acquisition of
     information from a communication to or from United States
     persons.
       (2) The legal standards for intentional targeting of the
     communications to or from United States persons.
       (3) The legal standards for receipt from non-United States
     sources of information pertaining to communications to or
     from United States persons.
       (4) The legal standards for dissemination of information
     acquired through the interception of the communications to or
     from United States persons.
       (c) Definitions.--As used in this section:
       (1) The term ``intelligence community'' has the meaning
     given that term under section 3(4) of the National Security
     Act of 1947 (50 U.S.C. 401a(4)).
       (2) The term ``United States persons'' has the meaning
     given that term under section 101(i) of the Foreign
     Intelligence Surveillance Act of 1978 (50 U.S.C. 1801(i)).
       (3) The term ``appropriate congressional committees'' means
     the Permanent Select Committee on Intelligence and the
     Committee on the Judiciary of the House of Representatives
     and the Select Committee on Intelligence and the Committee on
     the Judiciary of the Senate.

     SEC. 310. REPORT ON EFFECTS OF FOREIGN ESPIONAGE ON THE
                   UNITED STATES.

       Not later than 270 days after the date of the enactment of
     this Act, the Director of Central Intelligence shall submit
     to Congress a report describing the effects of espionage
     against the United States, conducted by or on behalf of other
     nations, on United States trade secrets, patents, and
     technology development. The report shall also include an
     analysis of other effects of such espionage on the United
     States.

     SEC. 311. REPORT ON ACTIVITIES OF THE CENTRAL INTELLIGENCE
                   AGENCY IN CHILE.

       (a) In General.--By not later than 270 days after the date
     of the enactment of this Act, the Director of Central
     Intelligence shall submit to the appropriate congressional
     committees a report describing all activities of officers,
     covert agents, and employees of all elements in the
     intelligence community with respect to the following events
     in the Republic of Chile:
       (1) The assassination of President Salvador Allende in
     September 1973.
       (2) The accession of General Augusto Pinochet to the
     Presidency of the Republic of Chile.
       (3) Violations of human rights committed by officers or
     agents of former President Pinochet.
       (b) Definition.--In this section, the term ``appropriate
     congressional committees'' means the Permanent Select
     Committee on Intelligence and the Committee on Appropriations
     of the House of Representatives and the Select Committee on
     Intelligence and the Committee on Appropriations of the
     Senate.

     SEC. 312. REPORT ON KOSOVA LIBERATION ARMY.

       (a) Report.--Not later than 30 days after the date of the
     enactment of this Act, the Director of Central Intelligence
     shall submit to the appropriate congressional committees a
     report (in

[[Page H11633]]

     both classified and unclassified form) on the organized
     resistance in Kosovo known as the Kosova Liberation Army. The
     report shall include the following:
       (1) A summary of the history of the Kosova Liberation Army.
       (2) As of the date of the enactment of this Act--
       (A) the number of individuals currently participating in or
     supporting combat operations of the Kosova Liberation Army
     (fielded forces), and the number of individuals in training
     for such service (recruits);
       (B) the types, and quantity of each type, of weapon
     employed by the Kosova Liberation Army, the training afforded
     to such fielded forces in the use of such weapons, and the
     sufficiency of such training to conduct effective military
     operations; and
       (C) minimum additional weaponry and training required to
     improve substantially the efficacy of such military
     operations.
       (3) An estimate of the percentage of funding (if any) of
     the Kosova Liberation Army that is attributable to profits
     from the sale of illicit narcotics.
       (4) A description of the involvement (if any) of the Kosova
     Liberation Army in terrorist activities.
       (5) A description of the number of killings of noncombatant
     civilians (if any) carried out by the Kosova Liberation Army
     since its formation.
       (6) A description of the leadership of the Kosova
     Liberation Army, including an analysis of--
       (A) the political philosophy and program of the leadership;
     and
       (B) the sentiment of the leadership toward the United
     States.
       (b) Appropriate Congressional Committees Defined.--As used
     in this section, the term ``appropriate congressional
     committees'' means the Committee on International Relations
     and the Permanent Select Committee on Intelligence of the
     House of Representatives and the Committee on Foreign
     Relations and the Select Committee on Intelligence of the
     Senate.

     SEC. 313. REAFFIRMATION OF LONGSTANDING PROHIBITION AGAINST
                   DRUG TRAFFICKING BY EMPLOYEES OF THE
                   INTELLIGENCE COMMUNITY.

       (a) Finding.--Congress finds that longstanding statutes,
     regulations, and policies of the United States prohibit
     employees, agents, and assets of the elements of the
     intelligence community, and of every other Federal department
     and agency, from engaging in the illegal manufacture,
     purchase, sale, transport, and distribution of drugs.
       (b) Obligation of Employees of Intelligence Community.--Any
     employee of the intelligence community having knowledge of a
     fact or circumstance that reasonably indicates that an
     employee, agent, or asset of an element of the intelligence
     community is involved in any activity that violates a
     statute, regulation, or policy described in subsection (a)
     shall report such knowledge to an appropriate official.
       (c) Intelligence Community Defined.--In this section, the
     term ``intelligence community'' has the meaning given that
     term in section 3(4) of the National Security Act of 1947 (50
     U.S.C. 401a(4)).

     SEC. 314. SENSE OF CONGRESS ON CLASSIFICATION AND
                   DECLASSIFICATION.

       It is the sense of Congress that the systematic
     declassification of records of permanent historical value is
     in the public interest and that the management of
     classification and declassification by Executive branch
     agencies requires comprehensive reform and the dedication by
     the Executive branch of additional resources.

     SEC. 315. 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.
                 TITLE IV--CENTRAL INTELLIGENCE AGENCY

     SEC. 401. IMPROVEMENT AND EXTENSION OF CENTRAL SERVICES
                   PROGRAM.

       (a) Scope of Provision of Items and Services.--Subsection
     (a) of section 21 of the Central Intelligence Agency Act of
     1949 (50 U.S.C. 403u) is amended by striking ``and to other''
     and inserting ``, nonappropriated fund entities or
     instrumentalities associated or affiliated with the Agency,
     and other''.
       (b) Deposits in Central Services Working Capital Fund.--
     Subsection (c)(2) of that section is amended--
       (1) by amending subparagraph (D) to read as follows:
       ``(D) Amounts received in payment for loss or damage to
     equipment or property of a central service provider as a
     result of activities under the program.'';
       (2) by redesignating subparagraph (E) as subparagraph (F);
     and
       (3) by inserting after subparagraph (D), as so amended, the
     following new subparagraph (E):
       ``(E) Other receipts from the sale or exchange of equipment
     or property of a central service provider as a result of
     activities under the program.''.
       (c) Availability of Fees.--Subsection (f)(2)(A) of that
     section is amended by inserting ``central service providers
     and any'' before ``elements of the Agency''.
       (d) Extension of Program.--Subsection (h)(1) of that
     section is amended by striking ``March 31, 2000'' and
     inserting ``March 31, 2002''.

     SEC. 402. EXTENSION OF CIA VOLUNTARY SEPARATION PAY ACT.

       (a) Extension of Authority.--Section 2(f) of the Central
     Intelligence Agency Voluntary Separation Pay Act (50 U.S.C.
     403-4 note) is amended by striking ``September 30, 1999'' and
     inserting ``September 30, 2002''.
       (b) Remittance of Funds.--Section 2(i) of that Act is
     amended by striking ``or fiscal year 1999'' and inserting ``,
     1999, 2000, 2001, or 2002''.
         TITLE V--DEPARTMENT OF DEFENSE INTELLIGENCE ACTIVITIES

     SEC. 501. PROTECTION OF OPERATIONAL FILES OF THE NATIONAL
                   IMAGERY AND MAPPING AGENCY.

       (a) In General.--(1) Title I of the National Security Act
     of 1947 (50 U.S.C. 401 et seq.) is amended by inserting after
     section 105A (50 U.S.C. 403-5a) the following new section:

 ``protection of operational files of the national imagery and mapping
                                 agency

       ``Sec. 105B. (a) Exemption of Certain Operational Files
     From Search, Review, Publication, or Disclosure.--(1) The
     Director of the National Imagery and Mapping Agency, with the
     coordination of the Director of Central Intelligence, may
     exempt operational files of the National Imagery and Mapping
     Agency from the provisions of section 552 of title 5, United
     States Code, which require publication, disclosure, search,
     or review in connection therewith.
       ``(2)(A) Subject to subparagraph (B), for the purposes of
     this section, the term `operational files' means files of the
     National Imagery and Mapping Agency (hereinafter in this
     section referred to as `NIMA') concerning the activities of
     NIMA that before the establishment of NIMA were performed by
     the National Photographic Interpretation Center of the
     Central Intelligence Agency (NPIC), that document the means
     by which foreign intelligence or counterintelligence is
     collected through scientific and technical systems.
       ``(B) Files which are the sole repository of disseminated
     intelligence are not operational files.
       ``(3) Notwithstanding paragraph (1), exempted operational
     files shall continue to be subject to search and review for
     information concerning--
       ``(A) United States citizens or aliens lawfully admitted
     for permanent residence who have requested information on
     themselves pursuant to the provisions of section 552 or 552a
     of title 5, United States Code;
       ``(B) any special activity the existence of which is not
     exempt from disclosure under the provisions of section 552 of
     title 5, United States Code; or
       ``(C) the specific subject matter of an investigation by
     any of the following for any impropriety, or violation of
     law, Executive order, or Presidential directive, in the
     conduct of an intelligence activity:
       ``(i) The Permanent Select Committee on Intelligence of the
     House of Representatives.
       ``(ii) The Select Committee on Intelligence of the Senate.
       ``(iii) The Intelligence Oversight Board.
       ``(iv) The Department of Justice.
       ``(v) The Office of General Counsel of NIMA.
       ``(vi) The Office of the Director of NIMA.
       ``(4)(A) Files that are not exempted under paragraph (1)
     which contain information derived or disseminated from
     exempted operational files shall be subject to search and
     review.
       ``(B) The inclusion of information from exempted
     operational files in files that are not exempted under
     paragraph (1) shall not affect the exemption under paragraph
     (1) of the originating operational files from search, review,
     publication, or disclosure.
       ``(C) Records from exempted operational files which have
     been disseminated to and referenced in files that are not
     exempted under paragraph (1) and which have been returned to
     exempted operational files for sole retention shall be
     subject to search and review.
       ``(5) The provisions of paragraph (1) may not be superseded
     except by a provision of law which is enacted after the date
     of the enactment of this section, and which specifically
     cites and repeals or modifies its provisions.
       ``(6)(A) Except as provided in subparagraph (B), whenever
     any person who has requested agency records under section 552
     of title 5, United States Code, alleges that NIMA has
     withheld records improperly because of failure to comply with
     any provision of this section, judicial review shall be
     available under the terms set forth in section 552(a)(4)(B)
     of title 5, United States Code.
       ``(B) Judicial review shall not be available in the manner
     provided for under subparagraph (A) as follows:
       ``(i) In any case in which information specifically
     authorized under criteria established by an Executive Order
     to be kept secret in the interests of national defense or
     foreign relations is filed with, or produced for, the court
     by NIMA, such information shall be examined ex parte, in
     camera by the court.
       ``(ii) The court shall, to the fullest extent practicable,
     determine the issues of fact based on sworn written
     submissions of the parties.
       ``(iii) When a complainant alleges that requested records
     are improperly withheld because of improper placement solely
     in exempted operational files, the complainant shall support
     such allegation with a sworn written submission based upon
     personal knowledge or otherwise admissible evidence.
       ``(iv)(I) When a complainant alleges that requested records
     were improperly withheld because of improper exemption of
     operational files, NIMA shall meet its burden under section
     552(a)(4)(B) of title 5, United States Code, by demonstrating
     to the court by sworn written submission that exempted
     operational files likely to contain responsible records
     currently perform the functions set forth in paragraph (2).
       ``(II) The court may not order NIMA to review the content
     of any exempted operational file or

[[Page H11634]]

     files in order to make the demonstration required under
     subclause (I), unless the complainant disputes NIMA's showing
     with a sworn written submission based on personal knowledge
     or otherwise admissible evidence.
       ``(v) In proceedings under clauses (iii) and (iv), the
     parties may not obtain discovery pursuant to rules 26 through
     36 of the Federal Rules of Civil Procedure, except that
     requests for admissions may be made pursuant to rules 26 and
     36.
       ``(vi) If the court finds under this paragraph that NIMA
     has improperly withheld requested records because of failure
     to comply with any provision of this subsection, the court
     shall order NIMA to search and review the appropriate
     exempted operational file or files for the requested records
     and make such records, or portions thereof, available in
     accordance with the provisions of section 552 of title 5,
     United States Code, and such order shall be the exclusive
     remedy for failure to comply with this subsection.
       ``(vii) If at any time following the filing of a complaint
     pursuant to this paragraph NIMA agrees to search the
     appropriate exempted operational file or files for the
     requested records, the court shall dismiss the claim based
     upon such complaint.
       ``(viii) Any information filed with, or produced for the
     court pursuant to clauses (i) and (iv) shall be coordinated
     with the Director of Central Intelligence prior to submission
     to the court.
       ``(b) Decennial Review of Exempted Operational Files.--(1)
     Not less than once every ten years, the Director of the
     National Imagery and Mapping Agency and the Director of
     Central Intelligence shall review the exemptions in force
     under subsection (a)(1) to determine whether such exemptions
     may be removed from the category of exempted files or any
     portion thereof. The Director of Central Intelligence must
     approve any determination to remove such exemptions.
       ``(2) The review required by paragraph (1) shall include
     consideration of the historical value or other public
     interest in the subject matter of the particular category of
     files or portions thereof and the potential for declassifying
     a significant part of the information contained therein.
       ``(3) A complainant that alleges that NIMA has improperly
     withheld records because of failure to comply with this
     subsection may seek judicial review in the district court of
     the United States of the district in which any of the parties
     reside, or in the District of Columbia. In such a proceeding,
     the court's review shall be limited to determining the
     following:
       ``(A) Whether NIMA has conducted the review required by
     paragraph (1) before the expiration of the ten-year period
     beginning on the date of the enactment of this section or
     before the expiration of the 10-year period beginning on the
     date of the most recent review.
       ``(B) Whether NIMA, in fact, considered the criteria set
     forth in paragraph (2) in conducting the required review.''.
       (2) The table of contents contained in the first section of
     such Act is amended by inserting after the item relating to
     section 105A the following new item:
``Sec. 105B. Protection of operational files of the National Imagery
              and Mapping Agency.''.

       (b) Treatment of Certain Transferred Records.--Any record
     transferred to the National Imagery and Mapping Agency from
     exempted operational files of the Central Intelligence Agency
     covered by section 701(a) of the National Security Act of
     1947 (50 U.S.C. 431(a)) shall be placed in the operational
     files of the National Imagery and Mapping Agency that are
     established pursuant to section 105B of the National Security
     Act of 1947, as added by subsection (a).

     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), as
     amended by section 502 of the Intelligence Authorization Act
     for Fiscal Year 1998 (Public Law 105-107; 111 Stat. 2262), is
     further amended by striking ``for fiscal years 1998 and
     1999'' and inserting ``for fiscal years 2000 and 2001''.
   TITLE VI--FOREIGN COUNTERINTELLIGENCE AND INTERNATIONAL TERRORISM
                             INVESTIGATIONS

     SEC. 601. EXPANSION OF DEFINITION OF ``AGENT OF A FOREIGN
                   POWER'' FOR PURPOSES OF THE FOREIGN
                   INTELLIGENCE SURVEILLANCE ACT OF 1978.

       Section 101(b)(2) of the Foreign Intelligence Surveillance
     Act of 1978 (50 U.S.C. 1801(b)(2)) is amended--
       (1) in subparagraph (C), by striking ``or'' at the end;
       (2) by redesignating subparagraph (D) as subparagraph (E);
     and
       (3) by inserting after subparagraph (C) the following new
     subparagraph (D):
       ``(D) knowingly enters the United States under a false or
     fraudulent identity for or on behalf of a foreign power or,
     while in the United States, knowingly assumes a false or
     fraudulent identity for or on behalf of a foreign power;
     or''.

     SEC. 602. FEDERAL BUREAU OF INVESTIGATION REPORTS TO OTHER
                   EXECUTIVE AGENCIES ON RESULTS OF
                   COUNTERINTELLIGENCE ACTIVITIES.

       Section 811(c)(2) of the Counterintelligence and Security
     Enhancements Act of 1994 (title VIII of Public Law 103-359;
     108 Stat. 3455; 50 U.S.C. 402a(c)(2)) is amended by striking
     ``after a report has been provided pursuant to paragraph
     (1)(A)''.
     TITLE VII--NATIONAL COMMISSION FOR THE REVIEW OF THE NATIONAL
                         RECONNAISSANCE OFFICE

     SEC. 701. FINDINGS.

       Congress makes the following findings:
       (1) Imagery and signals intelligence satellites are vitally
     important to the security of the Nation.
       (2) The National Reconnaissance Office (in this title
     referred to as the ``NRO'') and its predecessor organizations
     have helped protect and defend the United States for more
     than 30 years.
       (3) The end of the Cold War and the enormous growth in
     usage of information technology have changed the environment
     in which the intelligence community must operate. At the same
     time, the intelligence community has undergone significant
     changes in response to dynamic developments in strategy and
     in budgetary matters. The acquisition and maintenance of
     satellite systems are essential to providing timely
     intelligence to national policymakers and achieving
     information superiority for military leaders.
       (4) There is a need to evaluate the roles and mission,
     organizational structure, technical skills, contractor
     relationships, use of commercial imagery, acquisition of
     launch vehicles, launch services, and launch infrastructure,
     mission assurance, acquisition authorities, and relationship
     to other agencies and departments of the Federal Government
     of the NRO in order to assure continuing success in satellite
     reconnaissance in the new millennium.

     SEC. 702. NATIONAL COMMISSION FOR THE REVIEW OF THE NATIONAL
                   RECONNAISSANCE OFFICE.

       (a) Establishment.--There is established a commission to be
     known as the ``National Commission for the Review of the
     National Reconnaissance Office'' (in this title referred to
     as the ``Commission'').
       (b) Composition.--The Commission shall be composed of
     eleven members, as follows:
       (1) The Deputy Director of Central Intelligence for
     Community Management.
       (2) Three members appointed by the Majority Leader of the
     Senate, in consultation with the Chairman of the Select
     Committee on Intelligence of the Senate, one from Members of
     the Senate and two from private life.
       (3) Two members appointed by the Minority Leader of the
     Senate, in consultation with the Vice Chairman of the Select
     Committee on Intelligence of the Senate, one from Members of
     the Senate and one from private life.
       (4) Three members appointed by the Speaker of the House of
     Representatives, in consultation with the Chairman of the
     Permanent Select Committee on Intelligence of the House of
     Representatives, one from Members of the House of
     Representatives and two from private life.
       (5) Two members appointed by the Minority Leader of the
     House of Representatives, in consultation with the ranking
     member of the Permanent Select Committee on Intelligence of
     the House of Representatives, one from Members of the House
     of Representatives and one from private life.
     The Director of the National Reconnaissance Office shall be
     an ex officio member of the Commission.
       (c) Membership.--(1) The individuals appointed as members
     of the Commission shall be individuals who are nationally
     recognized for expertise, knowledge, or experience in--
       (A) technical intelligence collection systems and methods;
       (B) research and development programs;
       (C) acquisition management;
       (D) use of intelligence information by national
     policymakers and military leaders; or
       (E) the implementation, funding, or oversight of the
     national security policies of the United States.
       (2) An official who appoints members of the Commission may
     not appoint an individual as a member of the Commission if,
     in the judgment of the official, such individual possesses
     any personal or financial interest in the discharge of any of
     the duties of the Commission.
       (3) All members of the Commission appointed from private
     life shall possess an appropriate security clearance in
     accordance with applicable laws and regulations concerning
     the handling of classified information.
       (d) Co-Chairs.--(1) The Commission shall have two co-
     chairs, selected from among the members of the Commission.
       (2) One co-chair of the Commission shall be a member of the
     Democratic Party, and one co-chair shall be a member of the
     Republican Party.
       (3) The individuals who serve as the co-chairs of the
     Commission shall be jointly agreed upon by the President, the
     Majority Leader of the Senate, the Minority Leader of the
     Senate, and Speaker of the House of Representatives, and the
     Minority Leader of the House of Representatives.
       (e) Appointment; Initial Meeting.--(1) Members of the
     Commission shall be appointed not later than 45 days after
     the date of the enactment of this Act.
       (2) The Commission shall hold its initial meeting on the
     date that is 60 days after the date of the enactment of this
     Act.
       (f) Meetings; Quorum; Vacancies.--(1) After its initial
     meeting, the Commission shall meet upon the call of the co-
     chairs of the Commission.
       (2) Six members of the Commission shall constitute a quorum
     for purposes of conducting business, except that two members
     of the Commission shall constitute a quorum for purposes of
     receiving testimony.
       (3) Any vacancy in the Commission shall not affect its
     powers, but shall be filled in the same manner in which the
     original appointment was made.
       (4) If vacancies in the Commission occur on any day after
     45 days after the date of the enactment of this Act, a quorum
     shall consist of a

[[Page H11635]]

     majority of the members of the Commission as of such day.
       (g) Actions of Commission.--(1) The Commission shall act by
     resolution agreed to by a majority of the members of the
     Commission voting and present.
       (2) The Commission may establish panels composed of less
     than the full membership of the Commission for purposes of
     carrying out the duties of the Commission under this title.
     The actions of any such panel shall be subject to the review
     and control of the Commission. Any findings and
     determinations made by such a panel shall not be considered
     the findings and determinations of the Commission unless
     approved by the Commission.
       (3) Any member, agent, or staff of the Commission may, if
     authorized by the co-chairs of the Commission, take any
     action which the Commission is authorized to take pursuant to
     this title.

     SEC. 703. DUTIES OF COMMISSION.

       (a) In General.--The duties of the Commission shall be--
       (1) to conduct, until not later than the date on which the
     Commission submits the report under section 708(a), the
     review described in subsection (b); and
       (2) to submit to the congressional intelligence committees,
     the Director of Central Intelligence, and the Secretary of
     Defense a final report on the results of the review.
       (b) Review.--The Commission shall review the current
     organization, practices, and authorities of the NRO, in
     particular with respect to--
       (1) roles and mission;
       (2) organizational structure;
       (3) technical skills;
       (4) contractor relationships;
       (5) use of commercial imagery;
       (6) acquisition of launch vehicles, launch services, and
     launch infrastructure, and mission assurance;
       (7) acquisition authorities; and
       (8) relationships with other agencies and departments of
     the Federal Government.

     SEC. 704. POWERS OF COMMISSION.

       (a) In General.--(1) The Commission or, on the
     authorization of the Commission, any subcommittee or member
     thereof, may, for the purpose of carrying out the provisions
     of this title--
       (A) hold such hearings and sit and act at such times and
     places, take such testimony, receive such evidence, and
     administer such oaths, and
       (B) require, by subpoena or otherwise, the attendance and
     testimony of such witnesses and the production of such books,
     records, correspondence, memoranda, papers, and documents,
     as the Commission or such designated subcommittee or
     designated member considers necessary.
       (2) Subpoenas may be issued under paragraph (1)(B) under
     the signature of the co-chairs of the Commission, and may be
     served by any person designated by such co-chairs.
       (3) The provisions of sections 102 through 104 of the
     Revised Statutes of the United States (2 U.S.C. 192-194)
     shall apply in the case of any failure of a witness to comply
     with any subpoena or to testify when summoned under authority
     of this section.
       (b) Contracting.--The Commission may, to such extent and in
     such amounts as are provided in advance in appropriation
     Acts, enter into contracts to enable the Commission to
     discharge its duties under this title.
       (c) Information From Federal Agencies.--The Commission may
     secure directly from any executive department, agency,
     bureau, board, commission, office, independent establishment,
     or instrumentality of the Government information,
     suggestions, estimates, and statistics for the purposes of
     this title. Each such department, agency, bureau, board,
     commission, office, establishment, or instrumentality shall,
     to the extent authorized by law, furnish such information,
     suggestions, estimates, and statistics directly to the
     Commission, upon request of the co-chairs of the Commission.
     The Commission shall handle and protect all classified
     information provided to it under this section in accordance
     with applicable statutes and regulations.
       (d) Assistance From Federal Agencies.--(1) The Director of
     Central Intelligence shall provide to the Commission, on a
     nonreimbursable basis, such administrative services, funds,
     staff, facilities, and other support services as are
     necessary for the performance of the Commission's duties
     under this title.
       (2) The Secretary of Defense may provide the Commission, on
     a nonreimbursable basis, with such administrative services,
     staff, and other support services as the Commission may
     request.
       (3) In addition to the assistance set forth in paragraphs
     (1) and (2), other departments and agencies of the United
     States may provide the Commission such services, funds,
     facilities, staff, and other support as such departments and
     agencies consider advisable and as may be authorized by law.
       (4) The Commission shall receive the full and timely
     cooperation of any official, department, or agency of the
     United States Government whose assistance is necessary for
     the fulfillment of the duties of the Commission under this
     title, including the provision of full and current briefings
     and analyses.
       (e) Prohibition on Withholding Information.--No department
     or agency of the Government may withhold information from the
     Commission on the grounds that providing the information to
     the Commission would constitute the unauthorized disclosure
     of classified information or information relating to
     intelligence sources or methods.
       (f) Postal Services.--The Commission may use the United
     States mails in the same manner and under the same conditions
     as the departments and agencies of the United States.
       (g) Gifts.--The Commission may accept, use, and dispose of
     gifts or donations of services or property in carrying out
     its duties under this title.

     SEC. 705. STAFF OF COMMISSION.

       (a) In General.--(1) The co-chairs of the Commission, in
     accordance with rules agreed upon by the Commission, shall
     appoint and fix the compensation of a staff director and such
     other personnel as may be necessary to enable the Commission
     to carry out its duties, without regard to the provisions of
     title 5, United States Code, governing appointments in the
     competitive service, and without regard to the provisions of
     chapter 51 and subchapter III or chapter 53 of such title
     relating to classification and General Schedule pay rates,
     except that no rate of pay fixed under this subsection may
     exceed the equivalent of that payable to a person
     occupying a position at level V of the Executive Schedule
     under section 5316 of such title.
       (2) Any Federal Government employee may be detailed to the
     Commission without reimbursement from the Commission, and
     such detailee shall retain the rights, status, and privileges
     of his or her regular employment without interruption.
       (3) All staff of the Commission shall possess a security
     clearance in accordance with applicable laws and regulations
     concerning the handling of classified information.
       (b) Consultant Services.--(1) The Commission may procure
     the services of experts and consultants in accordance with
     section 3109 of title 5, United States Code, but at rates not
     to exceed the daily rate paid a person occupying a position
     at level IV of the Executive Schedule under section 5315 of
     such title.
       (2) All experts and consultants employed by the Commission
     shall possess a security clearance in accordance with
     applicable laws and regulations concerning the handling of
     classified information.

     SEC. 706. COMPENSATION AND TRAVEL EXPENSES.

       (a) Compensation.--(1) Except as provided in paragraph (2),
     each member of the Commission may be compensated at not to
     exceed the daily equivalent of the annual rate of basic pay
     in effect for a position at level IV of the Executive
     Schedule under section 5315 of title 5, United States Code,
     for each day during which that member is engaged in the
     actual performance of the duties of the Commission under this
     title.
       (2) Members of the Commission who are officers or employees
     of the United States or Members of Congress shall receive no
     additional pay by reason of their service on the Commission.
       (b) Travel Expenses.--While away from their homes or
     regular places of business in the performance of services for
     the Commission, members of the Commission may be allowed
     travel expenses, including per diem in lieu of subsistence,
     in the same manner as persons employed intermittently in the
     Government service are allowed expenses under section 5703(b)
     of title 5, United States Code.

     SEC. 707. TREATMENT OF INFORMATION RELATING TO NATIONAL
                   SECURITY.

       (a) In General.--(1) The Director of Central Intelligence
     shall assume responsibility for the handling and disposition
     of any information related to the national security of the
     United States that is received, considered, or used by the
     Commission under this title.
       (2) Any information related to the national security of the
     United States that is provided to the Commission by a
     congressional intelligence committee may not be further
     provided or released without the approval of the chairman of
     such committee.
       (b) Access After Termination of Commission.--
     Notwithstanding any other provision of law, after the
     termination of the Commission under section 708, only the
     Members and designated staff of the congressional
     intelligence committees, the Director of Central Intelligence
     and the designees of the Director, and such other officials
     of the executive branch as the President may designate shall
     have access to information related to the national security
     of the United States that is received, considered, or used by
     the Commission.

     SEC. 708. FINAL REPORT; TERMINATION.

       (a) Final Report.--Not later than November 1, 2000, the
     Commission shall submit to the congressional intelligence
     committees, the Director of Central Intelligence, and the
     Secretary of Defense a final report as required by section
     703(a).
       (b) Termination.--(1) The Commission, and all the
     authorities of this title, shall terminate at the end of the
     120-day period beginning on the date on which the final
     report under subsection (a) is transmitted to the
     congressional intelligence committees.
       (2) The Commission may use the 120-day period referred to
     in paragraph (1) for the purposes of concluding its
     activities, including providing testimony to committees of
     Congress concerning the final report referred to in that
     paragraph and disseminating the report.

     SEC. 709. ASSESSMENTS OF FINAL REPORT.

       Not later than 60 days after receipt of the final report
     under section 708(a), the Director of Central Intelligence
     and the Secretary of Defense shall each submit to the
     congressional intelligence committees an assessment by the
     Director or the Secretary, as the case may be, of the final
     report. Each assessment shall include such comments on the
     findings and recommendations contained in the final report as
     the Director or Secretary, as the case may be, considers
     appropriate.

     SEC. 710. INAPPLICABILITY OF CERTAIN ADMINISTRATIVE
                   PROVISIONS.

       (a) Federal Advisory Committee Act.--The provisions of the
     Federal Advisory Committee Act (5 U.S.C. App.) shall not
     apply to the activities of the Commission under this title.
       (b) Freedom of Information Act.--The provisions of section
     552 of title 5, United States Code (commonly referred to as
     the Freedom of

[[Page H11636]]

     Information Act), shall not apply to the activities, records,
     and proceedings of the Commission under this title.

     SEC. 711. FUNDING.

       (a) Transfer From NRO.--Of the amounts authorized to be
     appropriated by this Act for the National Reconnaissance
     Office, the Director of the National Reconnaissance Office
     shall transfer to the Director of Central Intelligence
     $5,000,000 for purposes of the activities of the Commission
     under this title.
       (b) Availability In General.--The Director of Central
     Intelligence shall make available to the Commission, from the
     amount transferred to the Director under subsection (a), such
     amounts as the Commission may require for purposes of the
     activities of the Commission under this title.
       (c) Duration of Availability.--Amounts made available to
     the Commission under subsection (b) shall remain available
     until expended.

     SEC. 712. CONGRESSIONAL INTELLIGENCE COMMITTEES DEFINED.

       In this title, 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.
            TITLE VIII--INTERNATIONAL NARCOTICS TRAFFICKING

     SEC. 801. SHORT TITLE.

       This title may be cited as the ``Foreign Narcotics Kingpin
     Designation Act''.

     SEC. 802. FINDINGS AND POLICY.

       (a) Findings.--Congress makes the following findings:
       (1) Presidential Decision Directive 42, issued on October
     21, 1995, ordered agencies of the executive branch of the
     United States Government to, inter alia, increase the
     priority and resources devoted to the direct and immediate
     threat international crime presents to national security,
     work more closely with other governments to develop a global
     response to this threat, and use aggressively and creatively
     all legal means available to combat international crime.
       (2) Executive Order No. 12978 of October 21, 1995, provides
     for the use of the authorities in the International Emergency
     Economic Powers Act (IEEPA) (50 U.S.C. 1701 et seq.) to
     target and apply sanctions to 4 international narcotics
     traffickers and their organizations that operate from
     Colombia.
       (3) IEEPA was successfully applied to international
     narcotics traffickers in Colombia and based on that
     successful case study, Congress believes similar authorities
     should be applied worldwide.
       (4) There is a national emergency resulting from the
     activities of international narcotics traffickers and their
     organizations that threatens the national security, foreign
     policy, and economy of the United States.
       (b) Policy.--It shall be the policy of the United States to
     apply economic and other financial sanctions to significant
     foreign narcotics traffickers and their organizations
     worldwide to protect the national security, foreign policy,
     and economy of the United States from the threat described in
     subsection (a)(4).

     SEC. 803. PURPOSE.

       The purpose of this title is to provide authority for the
     identification of, and application of sanctions on a
     worldwide basis to, significant foreign narcotics
     traffickers, their organizations, and the foreign persons who
     provide support to those significant foreign narcotics
     traffickers and their organizations, whose activities
     threaten the national security, foreign policy, and economy
     of the United States.

     SEC. 804. PUBLIC IDENTIFICATION OF SIGNIFICANT FOREIGN
                   NARCOTICS TRAFFICKERS AND REQUIRED REPORTS.

       (a) Provision of Information to the President.--The
     Secretary of the Treasury, the Attorney General, the
     Secretary of Defense, the Secretary of State, and the
     Director of Central Intelligence shall consult among
     themselves and provide the appropriate and necessary
     information to enable the President to submit the report
     under subsection (b). This information shall also be provided
     to the Director of the Office of National Drug Control
     Policy.
       (b) Public Identification and Sanctioning of Significant
     Foreign Narcotics Traffickers.--Not later than June 1, 2000,
     and not later than June 1 of each year thereafter, the
     President shall submit a report to the Permanent Select
     Committee on Intelligence, and the Committees on the
     Judiciary, International Relations, Armed Services, and Ways
     and Means of the House of Representatives; and to the Select
     Committee on Intelligence, and the Committees on the
     Judiciary, Foreign Relations, Armed Services, and Finance of
     the Senate--
       (1) identifying publicly the foreign persons that the
     President determines are appropriate for sanctions pursuant
     to this title; and
       (2) detailing publicly the President's intent to impose
     sanctions upon these significant foreign narcotics
     traffickers pursuant to this title.

     The report required in this subsection shall not include
     information on persons upon which United States sanctions
     imposed under this title, or otherwise on account of
     narcotics trafficking, are already in effect.
       (c) Unclassified Report Required.--The report required by
     subsection (b) shall be submitted in unclassified form and
     made available to the public.
       (d) Classified Report.--(1) Not later than July 1, 2000,
     and not later than July 1 of each year thereafter, the
     President shall provide the Permanent Select Committee on
     Intelligence of the House of Representatives and the Select
     Committee on Intelligence of the Senate with a report in
     classified form describing in detail the status of the
     sanctions imposed under this title, including the personnel
     and resources directed towards the imposition of such
     sanctions during the preceding fiscal year, and providing
     background information with respect to newly-identified
     significant foreign narcotics traffickers and their
     activities.
       (2) Such classified report shall describe actions the
     President intends to undertake or has undertaken with respect
     to such significant foreign narcotics traffickers.
       (3) The report required under this subsection is in
     addition to the President's obligations to keep the
     intelligence committees of Congress fully and currently
     informed pursuant to the provisions of the National Security
     Act of 1947.
       (e) Exclusion of Certain Information.--
       (1) Intelligence.--Notwithstanding any other provision of
     this section, the reports described in subsections (b) and
     (d) shall not disclose the identity of any person, if the
     Director of Central Intelligence determines that such
     disclosure could compromise an intelligence operation,
     activity, source, or method of the United States.
       (2) Law enforcement.--Notwithstanding any other provision
     of this section, the reports described in subsections (b) and
     (d) shall not disclose the name of any person if the Attorney
     General, in coordination as appropriate with the Director of
     the Federal Bureau of Investigation, the Administrator of the
     Drug Enforcement Administration, and the Secretary of the
     Treasury, determines that such disclosure could reasonably
     be expected to--
       (A) compromise the identity of a confidential source,
     including a State, local, or foreign agency or authority or
     any private institution that furnished information on a
     confidential basis;
       (B) jeopardize the integrity or success of an ongoing
     criminal investigation or prosecution;
       (C) endanger the life or physical safety of any person; or
       (D) cause substantial harm to physical property.
       (f) Notification Required.--(1) Whenever either the
     Director of Central Intelligence or the Attorney General
     makes a determination under subsection (e), the Director of
     Central Intelligence or the Attorney General shall notify the
     Permanent Select Committee on Intelligence of the House of
     Representatives and the Select Committee on Intelligence of
     the Senate, and explain the reasons for such determination.
       (2) The notification required under this subsection shall
     be submitted to the Permanent Select Committee on
     Intelligence of the House of Representatives and the Select
     Committee on Intelligence of the Senate not later than July
     1, 2000, and on an annual basis thereafter.
       (g) Determinations Not To Apply Sanctions.--(1) The
     President may waive the application to a significant foreign
     narcotics trafficker of any sanction authorized by this title
     if the President determines that the application of sanctions
     under this title would significantly harm the national
     security of the United States.
       (2) When the President determines not to apply sanctions
     that are authorized by this title to any significant foreign
     narcotics trafficker, the President shall notify the
     Permanent Select Committee on Intelligence, and the
     Committees on the Judiciary, International Relations, Armed
     Services, and Ways and Means of the House of Representatives,
     and the Select Committee on Intelligence, and the Committees
     on the Judiciary, Foreign Relations, Armed Services, and
     Finance of the Senate not later than 21 days after making
     such determination.
       (h) Changes in Determinations to Impose Sanctions.--
       (1) Additional determinations.--(A) If at any time after
     the report required under subsection (b) the President finds
     that a foreign person is a significant foreign narcotics
     trafficker and such foreign person has not been publicly
     identified in a report required under subsection (b), the
     President shall submit an additional public report containing
     the information described in subsection (b) with respect to
     such foreign person to the Permanent Select Committee on
     Intelligence, and the Committees on the Judiciary,
     International Relations, Armed Services, and Ways and Means
     of the House of Representatives, and the Select Committee on
     Intelligence, and the Committees on the Judiciary, Foreign
     Relations, Armed Services, and Finance of the Senate.
       (B) The President may apply sanctions authorized under this
     title to the significant foreign narcotics trafficker
     identified in the report submitted under subparagraph (A) as
     if the trafficker were originally included in the report
     submitted pursuant to subsection (b) of this section.
       (C) The President shall notify the Secretary of the
     Treasury of any determination made under this paragraph.
       (2) Revocation of determination.--(A) Whenever the
     President finds that a foreign person that has been publicly
     identified as a significant foreign narcotics trafficker in
     the report required under subsection (b) or this subsection
     no longer engages in those activities for which sanctions
     under this title may be applied, the President shall issue
     public notice of such a finding.
       (B) Not later than the date of the public notice issued
     pursuant to subparagraph (A), the President shall notify, in
     writing and in classified or unclassified form, the Permanent
     Select Committee on Intelligence, and the Committees on the
     Judiciary, International Relations, Armed Services, and Ways
     and Means of the House of Representatives, and the Select
     Committee on Intelligence, and the Committees on the
     Judiciary, Foreign Relations, Armed Services, and Finance of
     the Senate of actions taken under this paragraph and a
     description of the basis for such actions.

[[Page H11637]]

     SEC. 805. BLOCKING ASSETS AND PROHIBITING TRANSACTIONS.

       (a) Applicability of Sanctions.--A significant foreign
     narcotics trafficker publicly identified in the report
     required under subsection (b) or (h)(1) of section 804 and
     foreign persons designated by the Secretary of the Treasury
     pursuant to subsection (b) of this section shall be subject
     to any and all sanctions as authorized by this title. The
     application of sanctions on any foreign person pursuant to
     subsection (b) or (h)(1) of section 804 or subsection (b) of
     this section shall remain in effect until revoked pursuant to
     section 804(h)(2) or subsection (e)(1)(A) of this section or
     waived pursuant to section 804(g)(1).
       (b) Blocking of Assets.--Except to the extent provided in
     regulations, orders, instructions, licenses, or directives
     issued pursuant to this title, and notwithstanding any
     contract entered into or any license or permit granted prior
     to the date on which the President submits the report
     required under subsection (b) or (h)(1) of section 804, there
     are blocked as of such date, and any date thereafter, all
     such property and interests in property within the United
     States, or within the possession or control of any United
     States person, which are owned or controlled by--
       (1) any significant foreign narcotics trafficker publicly
     identified by the President in the report required under
     subsection (b) or (h)(1) of section 804;
       (2) any foreign person that the Secretary of the Treasury,
     in consultation with the Attorney General, the Director of
     Central Intelligence, the Director of the Federal Bureau of
     Investigation, the Administrator of the Drug Enforcement
     Administration, the Secretary of Defense, and the Secretary
     of State, designates as materially assisting in, or providing
     financial or technological support for or to, or providing
     goods or services in support of, the international narcotics
     trafficking activities of a significant foreign narcotics
     trafficker so identified in the report required under
     subsection (b) or (h)(1) of section 804, or foreign persons
     designated by the Secretary of the Treasury pursuant to
     this subsection;
       (3) any foreign person that the Secretary of the Treasury,
     in consultation with the Attorney General, the Director of
     Central Intelligence, the Director of the Federal Bureau of
     Investigation, the Administrator of the Drug Enforcement
     Administration, the Secretary of Defense, and the Secretary
     of State, designates as owned, controlled, or directed by, or
     acting for or on behalf of, a significant foreign narcotics
     trafficker so identified in the report required under
     subsection (b) or (h)(1) of section 804, or foreign persons
     designated by the Secretary of the Treasury pursuant to this
     subsection; and
       (4) any foreign person that the Secretary of the Treasury,
     in consultation with the Attorney General, the Director of
     Central Intelligence, the Director of the Federal Bureau of
     Investigation, the Administrator of the Drug Enforcement
     Administration, the Secretary of Defense, and the Secretary
     of State, designates as playing a significant role in
     international narcotics trafficking.
       (c) Prohibited Transactions.--Except to the extent provided
     in regulations, orders, instructions, licenses, or directives
     issued pursuant to this title, and notwithstanding any
     contract entered into or any license or permit granted prior
     to the date on which the President submits the report
     required under subsection (b) or (h)(1) of section 804, the
     following transactions are prohibited:
       (1) Any transaction or dealing by a United States person,
     or within the United States, in property or interests in
     property of any significant foreign narcotics trafficker so
     identified in the report required pursuant to subsection (b)
     or (h)(1) of section 804, and foreign persons designated by
     the Secretary of the Treasury pursuant to subsection (b) of
     this section.
       (2) Any transaction or dealing by a United States person,
     or within the United States, that evades or avoids, or has
     the effect of evading or avoiding, and any endeavor, attempt,
     or conspiracy to violate, any of the prohibitions contained
     in this title.
       (d) Law Enforcement and Intelligence Activities Not
     Affected.--Nothing in this title prohibits or otherwise
     limits the authorized law enforcement or intelligence
     activities of the United States, or the law enforcement
     activities of any State or subdivision thereof.
       (e) Implementation.--(1) The Secretary of the Treasury, in
     consultation with the Attorney General, the Director of
     Central Intelligence, the Director of the Federal Bureau of
     Investigation, the Administrator of the Drug Enforcement
     Administration, the Secretary of Defense, and the Secretary
     of State, is authorized to take such actions as may be
     necessary to carry out this title, including--
       (A) making those designations authorized by paragraphs (2),
     (3), and (4) of subsection (b) of this section and revocation
     thereof;
       (B) promulgating rules and regulations permitted under this
     title; and
       (C) employing all powers conferred on the Secretary of the
     Treasury under this title.
       (2) Each agency of the United States shall take all
     appropriate measures within its authority to carry out the
     provisions of this title.
       (3) Section 552(a)(3) of title 5, United States Code, shall
     not apply to any record or information obtained or created in
     the implementation of this title.
       (f) Judicial Review.--The determinations, identifications,
     findings, and designations made pursuant to section 804 and
     subsection (b) of this section shall not be subject to
     judicial review.

     SEC. 806. AUTHORITIES.

       (a) In General.--To carry out the purposes of this title,
     the Secretary of the Treasury may, under such regulations as
     he may prescribe, by means of instructions, licenses, or
     otherwise--
       (1) investigate, regulate, or prohibit--
       (A) any transactions in foreign exchange, currency, or
     securities; and
       (B) transfers of credit or payments between, by, through,
     or to any banking institution, to the extent that such
     transfers or payments involve any interests of any foreign
     country or a national thereof; and
       (2) investigate, block during the pendency of an
     investigation, regulate, direct and compel, nullify, void,
     prevent, or prohibit any acquisition, holding, withholding,
     use, transfer, withdrawal, transportation, placement into
     foreign or domestic commerce of, or dealing in, or exercising
     any right, power, or privilege with respect to, or
     transactions involving, any property in which any foreign
     country or a national thereof has any interest,

     by any person, or with respect to any property, subject to
     the jurisdiction of the United States.
       (b) Recordkeeping.--Pursuant to subsection (a), the
     Secretary of the Treasury may require recordkeeping,
     reporting, and production of documents to carry out the
     purposes of this title.
       (c) Defenses.--
       (1) Full and actual compliance with any regulation, order,
     license, instruction, or direction issued under this title
     shall be a defense in any proceeding alleging a violation of
     any of the provisions of this title.
       (2) No person shall be held liable in any court for or with
     respect to anything done or omitted in good faith in
     connection with the administration of, or pursuant to, and in
     reliance on this title, or any regulation, instruction, or
     direction issued under this title.
       (d) Rulemaking.--The Secretary of the Treasury may issue
     such other regulations or orders, including regulations
     prescribing recordkeeping, reporting, and production of
     documents, definitions, licenses, instructions, or
     directions, as may be necessary for the exercise of the
     authorities granted by this title.

     SEC. 807. ENFORCEMENT.

       (a) Criminal Penalties.--(1) Whoever willfully violates the
     provisions of this title, or any license rule, or regulation
     issued pursuant to this title, or willfully neglects or
     refuses to comply with any order of the President issued
     under this title shall be--
       (A) imprisoned for not more than 10 years,
       (B) fined in the amount provided in title 18, United States
     Code, or, in the case of an entity, fined not more than
     $10,000,000,
     or both.
       (2) Any officer, director, or agent of any entity who
     knowingly participates in a violation of the provisions of
     this title shall be imprisoned for not more than 30 years,
     fined not more than $5,000,000, or both.
       (b) Civil Penalties.--A civil penalty not to exceed
     $1,000,000 may be imposed by the Secretary of the Treasury on
     any person who violates any license, order, rule, or
     regulation issued in compliance with the provisions of this
     title.
       (c) Judicial Review of Civil Penalty.--Any penalty imposed
     under subsection (b) shall be subject to judicial review only
     to the extent provided in section 702 of title 5, United
     States Code.

     SEC. 808. DEFINITIONS.

       As used in this title:
       (1) Entity.--The term ``entity'' means a partnership, joint
     venture, association, corporation, organization, network,
     group, or subgroup, or any form of business collaboration.
       (2) Foreign person.--The term ``foreign person'' means any
     citizen or national of a foreign state or any entity not
     organized under the laws of the United States, but does not
     include a foreign state.
       (3) Narcotics trafficking.--The term ``narcotics
     trafficking'' means any illicit activity to cultivate,
     produce, manufacture, distribute, sell, finance, or transport
     narcotic drugs, controlled substances, or listed chemicals,
     or otherwise endeavor or attempt to do so, or to assist,
     abet, conspire, or collude with others to do so.
       (4) Narcotic drug; controlled substance; listed chemical.--
     The terms ``narcotic drug'', ``controlled substance'', and
     ``listed chemical'' have the meanings given those terms in
     section 102 of the Controlled Substances Act (21 U.S.C. 802).
       (5) Person.--The term ``person'' means an individual or
     entity.
       (6) United states person.--The term ``United States
     person'' means any United States citizen or national,
     permanent resident alien, an entity organized under the laws
     of the United States (including its foreign branches), or any
     person within the United States.
       (7) Significant foreign narcotics trafficker.--The term
     ``significant foreign narcotics trafficker'' means any
     foreign person that plays a significant role in international
     narcotics trafficking, that the President has determined to
     be appropriate for sanctions pursuant to this title, and that
     the President has publicly identified in the report required
     under subsection (b) or (h)(1) of section 804.

     SEC. 809. EXCLUSION OF PERSONS WHO HAVE BENEFITED FROM
                   ILLICIT ACTIVITIES OF DRUG TRAFFICKERS.

       Section 212(a)(2)(C) of the Immigration and Nationality Act
     (8 U.S.C. 1182(a)(2)(C)) is amended to read as follows:
       ``(C) Controlled substance traffickers.--Any alien who the
     consular officer or the Attorney General knows or has reason
     to believe--
       ``(i) is or has been an illicit trafficker in any
     controlled substance or in any listed chemical (as defined in
     section 102 of the Controlled Substances Act (21 U.S.C.
     802)), or is or has been a knowing aider, abettor, assister,
     conspirator, or colluder with others in the illicit
     trafficking in any such controlled or listed substance or
     chemical, or endeavored to do so; or
       ``(ii) is the spouse, son, or daughter of an alien
     inadmissible under clause (i), has, within

[[Page H11638]]

     the previous 5 years, obtained any financial or other benefit
     from the illicit activity of that alien, and knew or
     reasonably should have known that the financial or other
     benefit was the product of such illicit activity,

     is inadmissible.''.

     SEC. 810. JUDICIAL REVIEW COMMISSION ON FOREIGN ASSET
                   CONTROL.

       (a) Establishment.--There is established a commission to be
     known as the ``Judicial Review Commission on Foreign Asset
     Control'' (in this section referred to as the
     ``Commission'').
       (b) Membership and Procedural Matters.--(1) The Commission
     shall be composed of five members, as follows:
       (A) One member shall be appointed by the Chairman of the
     Select Committee on Intelligence of the Senate.
       (B) One member shall be appointed by the Vice Chairman of
     the Select Committee on Intelligence of the Senate.
       (C) One member shall be appointed by the Chairman of the
     Permanent Select Committee on Intelligence of the House of
     Representatives.
       (D) One member shall be appointed by the Ranking Minority
     Member of the Permanent Select Committee on Intelligence of
     the House of Representatives.
       (E) One member shall be appointed jointly by the members
     appointed under subparagraphs (A) through (D).
       (2) Each member of the Commission shall, for purposes of
     the activities of the Commission under this section, possess
     or obtain an appropriate security clearance in accordance
     with applicable laws and regulations regarding the handling
     of classified information.
       (3) The members of the Commission shall choose the chairman
     of the Commission from among the members of the Commission.
       (4) The members of the Commission shall establish rules
     governing the procedures and proceedings of the Commission.
       (c) Duties.--The Commission shall have as its duties the
     following:
       (1) To conduct a review of the current judicial,
     regulatory, and administrative authorities relating to the
     blocking of assets of foreign persons by the United States
     Government.
       (2) To conduct a detailed examination and evaluation of the
     remedies available to United States persons affected by the
     blocking of assets of foreign persons by the United States
     Government.
       (d) Powers.--(1) The Commission may hold such hearings, sit
     and act at such times and places, take such testimony, and
     receive such evidence as the Commission considers advisable
     to carry out the purposes of this section.
       (2) The Commission may secure directly from any executive
     department, agency, bureau, board, commission, office,
     independent establishment, or instrumentality of the
     Government information, suggestions, estimates, and
     statistics for the purposes of this section. Each such
     department, agency, bureau, board, commission, office,
     establishment, or instrumentality shall, to the extent
     authorized by law, furnish such information, suggestions,
     estimates, and statistics directly to the Commission, upon
     request of the chairman of the Commission. The Commission
     shall handle and protect all classified information provided
     to it under this section in accordance with applicable
     statutes and regulations.
       (3) The Attorney General and the Secretary of the Treasury
     shall provide to the Commission, on a nonreimbursable basis,
     such administrative services, funds, facilities, and other
     support services as are necessary for the performance of the
     Commission's duties under this section.
       (4) The Commission shall receive the full and timely
     cooperation of any official, department, or agency of the
     United States Government whose assistance is necessary for
     the fulfillment of the duties of the Commission under this
     section, including the provision of full and current
     briefings and analyses.
       (5) No department or agency of the Government may withhold
     information from the Commission on the grounds that providing
     the information to the Commission would constitute the
     unauthorized disclosure of classified information or
     information relating to intelligence sources or methods.
       (6) The Commission may use the United States mails in the
     same manner and under the same conditions as the departments
     and agencies of the United States.
       (e) Staff.--(1) Subject to paragraph (2), the chairman of
     the Commission, in accordance with rules agreed upon by the
     Commission, shall appoint and fix the compensation of a staff
     director and such other personnel as may be necessary to
     enable the Commission to carry out its duties, without regard
     to the provisions of title 5, United States Code, governing
     appointments in the competitive service, and without regard
     to the provisions of chapter 51 and subchapter III or chapter
     53 of such title relating to classification and General
     Schedule pay rates, except that no rate of pay fixed under
     this subsection may exceed the equivalent of that payable to
     a person occupying a position at level V of the Executive
     Schedule under section 5316 of such title.
       (2)(A) Any employee of a department or agency referred to
     in subparagraph (B) may be detailed to the Commission without
     reimbursement from the Commission, and such detailee shall
     retain the rights, status, and privileges of his or her
     regular employment without interruption.
       (B) The departments and agencies referred to in this
     subparagraph are as follows:
       (i) The Department of Justice.
       (ii) The Department of the Treasury.
       (iii) The Central Intelligence Agency.
       (3) All staff of the Commission shall possess a security
     clearance in accordance with applicable laws and regulations
     concerning the handling of classified information.
       (f) Compensation and Travel Expenses.--(1)(A) Except as
     provided in subparagraph (B), each member of the Commission
     may be compensated at not to exceed the daily equivalent of
     the annual rate of basic pay in effect for a position at
     level IV of the Executive Schedule under section 5315 of
     title 5, United States Code, for each day during which that
     member is engaged in the actual performance of the duties of
     the Commission under this section.
       (B) Members of the Commission who are officers or employees
     of the United States shall receive no additional pay by
     reason of their service on the Commission.
       (2) While away from their homes or regular places of
     business in the performance of services for the Commission,
     members of the Commission may be allowed travel expenses,
     including per diem in lieu of subsistence, in the same manner
     as persons employed intermittently in the Government service
     are allowed expenses under section 5703(b) of title 5, United
     States Code.
       (g) Report.--(1) Not later than one year after the date of
     the enactment of this Act, the Commissions shall submit to
     the committees of Congress referred to in paragraph (4) a
     report on the activities of the Commission under this
     section, including the findings, conclusions, and
     recommendations, if any, of the Commission as a result of the
     review under subsection (c)(1) and the examination and
     evaluation under subsection (c)(2).
       (2) The report under paragraph (1) shall include any
     additional or dissenting views of a member of the Commission
     upon the request of the member.
       (3) The report under paragraph (1) shall be submitted in
     unclassified form, but may include a classified annex.
       (4) The committees of Congress referred to in this
     paragraph are the following:
       (A) The Select Committee on Intelligence and the Committees
     on Foreign Relations and the Judiciary of the Senate.
       (B) The Permanent Select Committee on Intelligence and the
     Committees on International Relations and the Judiciary of
     the House of Representatives.
       (h) Termination.--The Commission shall terminate at the end
     of the 60-day period beginning on the date on which the
     report required by subsection (g) is submitted to the
     committees of Congress referred to in that subsection.
       (i) Inapplicability of Certain Administrative Provisions.--
     (1) The provisions of the Federal Advisory Committee Act
     (5.S.C. App.) shall not apply to the activities of the
     Commission under this section.
       (2) The provisions of section 552 of title 5, United States
     Code (commonly referred to as the Freedom of Information
     Act), shall not apply to the activities, records, and
     proceedings of the Commission under this title.
       (j) Funding.--The Attorney General shall, from amounts
     authorized to be appropriated to the Attorney General by this
     Act, make available to the Commission $1,000,000 for purposes
     of the activities of the Commission under this section.
     Amounts made available to the Commission under the preceding
     sentence shall remain available until expended.

     SEC. 811. EFFECTIVE DATE.

       This title shall take effect on the date of the enactment
     of this Act.
       And the Senate agree to the same.
     From the Permanent Select Committee on Intelligence, for
     consideration of the Senate amendment, and the House bill,
     and modifications committed to conference:
     Porter Goss,
     Jerry Lewis,
     Bill McCollum,
     Michael N. Castle,
     Sherwood Boehlert,
     Charles F. Bass,
     Jim Gibbons,
     Ray LaHood,
     Heather Wilson,
     Julian C. Dixon,
     Nancy Pelosi,
     Sanford Bishop, Jr.,
     Norman Sisisky,
     Gary Condit.
     From the Committee on Armed Services, for consideration of
     defense tactical intelligence and related activities:
     Floyd Spence,
     Bob Stump,
     Robert E. Andrews,
                                Managers on the Part of the House.
     From the Select Committee on Intelligence:
     Richard Shelby,
     Bob Kerrey,
     Richard G. Lugar,
     Mike DeWine,
     Jon Kyl,
     Jim Inhofe,
     Orrin Hatch,
     Pat Roberts,
     Wayne Allard,
     Richard H. Bryan,
     Bob Graham,
     John F. Kerry,
     Max Baucus,
     Chuck Robb,
     Frank R. Lautenberg.
     From the Committee on Armed Services:
     John Warner,
                               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 Senate to the bill (H.R. 1555) to authorize
     appropriations for fiscal year 2000 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

[[Page H11639]]

     the House in explanation of the effect of the action agreed
     upon by the managers and recommended in the accompanying
     conference report:
       The Senate amendments struck all of the House bill after
     the enacting clause and inserted a substitute text.
       The House recedes from its disagreement to the amendment of
     the Senate with an amendment that is a substitute for the
     House bill and the Senate amendment. The differences between
     the House bill, the Senate 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.
       The managers agree that the congressionally directed
     actions described in the respective committee reports or
     classified annexes should be undertaken to the extent that
     such congressional directed actions are not amended, altered,
     or otherwise specifically addressed in either this Joint
     Explanatory Statement or in the classified annex to the
     conference report on the bill H.R. 1555.

                    Title I--Intelligence Activities

               sec. 101. authorization of appropriations

       Section 101 of the conference report 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 2000. Section 101 is identical to section 101 of
     the Senate 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 2000 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 similar to section 102 of the House
     bill and section 102 of the Senate amendment.

                   sec. 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 2000 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 consistence 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 House
     bill and section 103 of the Senate amendment.

          sec. 104. intelligence community management account

       Section 104 of the conference report authorizes
     appropriations for the Community Management Account for the
     Director of Central Intelligence and sets the personnel end-
     strength for the Intelligence Community Management Staff for
     fiscal year 2000.
       Subsection (a) authorizes appropriations of $170,672,000
     for fiscal year 2000 for the activities of the Community
     Management Account (CMA) of the Director of Central
     Intelligence.
       The House bill and the Senate amendment were nearly
     identical.
       The Senate amendment, however, contained a provision
     earmarking funds from the CMA for the Information Security
     Oversight Office (ISOO). The House bill did not include a
     similar provision. The House recedes to the Senate position
     with a modification. The managers have agreed to delete the
     provision earmarking Community Management funds for the ISOO.
     The managers agree that authorizing funds from the CMA for
     the ISOO is an inappropriate allocation of intelligence
     community funds.
       Subsection (b) authorizes 347 full-time personnel for the
     Community Management Staff for fiscal year 2000 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 and permits
     these additional amounts to remain available through
     September 30, 2001.
       Subsection (d) requires, except as provided in Section 113
     of the National Security Act of 1947 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 be made available for the
     National Drug Intelligence Center (NDIC).

 Sec. 105. AUTHORIZATION OF EMERGENCY SUPPLEMENTAL APPROPRIATIONS FOR
                            FISCAL YEAR 1999

       Section 105 specifically authorizes, for purposes of
     section 504 of the National Security Act of 1947, those
     intelligence and intelligence-related activities that were
     deemed to have been authorized, pursuant to that section,
     through the 1999 Emergency Supplemental Appropriations Act
     (P.L 106-31). A provision similar to section 105 was included
     in the House bill but was not included in the Senate
     amendment. The Senate recedes to the House position. The
     managers agreed to include this provision based on the
     requirements of section 504 of the National Security Act of
     1947.

 Title II--Central Intelligence Agency Retirement and Disability System

               sec. 201. authorization of appropriations

       Section 201 is identical to section 201 of the House bill
     and section 201 of the Senate amendment.

                     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 bill
     and section 301 of the Senate amendment.

      sec. 302. restriction on conduct of intelligence activities

       Section 302 is identical to section 302 of the House bill
     and section 302 of the Senate amendment.

           sec. 303. diplomatic intelligence support centers

       Section 303 of the conference report limits the
     establishment, operation, or maintenance of Diplomatic
     Intelligence Support Centers (DISCs) in fiscal year 2000 and
     precludes the obligation or expenditure of any funds
     appropriated for fiscal year 2000 for any purpose related to
     DISCs, without the prior approval of the Director of Central
     Intelligence (DCI).
       The managers direct that prior to any NFIP funds being
     spent to establish a DISC, the DCI must, within three days of
     his approval of the establishment of a DISC, advise the
     congressional intelligence committees of his determination
     that the approved DISC is required to provide necessary
     intelligence support in furtherance of the national security
     interests of the United States.
       Neither the House bill nor the Senate amendment contained a
     similar provision. Prior to the meeting of conferees,
     however, the managers learned of efforts by the Department of
     State to establish a DISC and found the concept unwise. The
     managers are not convinced that the DISC model is an
     appropriate means for providing intelligence support to
     diplomatic missions. This is specifically so where there is
     already ample intelligence support at the disposal of the
     chief of a diplomatic mission. Nothwithstanding this
     provision limiting the establishment, operation, or
     maintenance of DISCs, the managers strongly believe that
     intelligence support to diplomatic missions is one of the
     very highest intelligence priorities.
       Nothing in this provision precludes the Department of State
     from deploying Bureau of Intelligence and Research analysts
     to any location where the Secretary of State determines there
     is a need for such support. Likewise, this provision does not
     inhibit the Director of Central Intelligence from deciding
     the appropriate level of, or the manner in which,
     intelligence support to U.S. diplomatic missions shall be
     accomplished. The managers have specifically identified in
     the classified annex to this conference report the type of
     intelligence support that is unaffected by this provision.

       sec. 304. protection of identity of retired covert agents

       The House bill contained a similar provision. The Senate
     amendment did not. The Senate recedes to the House with a
     modification replacing the mandatory minimum sentencing
     provision in the House bill with a provision specifying that
     terms of imprisonment imposed under the section shall be
     served consecutively to any other sentence of imprisonment.

  Sec. 305. access to computers and computer data of executive branch
            employees with access to classified information

       The Senate amendment contained a similar provision. The
     House bill did not. The House recedes to the Senate position.

sec. 306. naturalization of certain persons affiliated with a communist
                            or similar party

       The Senate amendment contained a similar provision. The
     House bill did not. The House recedes to the Senate position.

                     sec. 307. technical amendment

       The Senate amendment contained a similar provision. The
     House bill did not. The House recedes to the Senate position.

[[Page H11640]]

 Sec. 308. declassification review of intelligence estimate on vietnam-
   era prisoners of war and missing in action personnel and critical
                         assessment of estimate

       The Senate amendment contained a similar provision. the
     House bill did not. the House recedes to the Senate position.

sec. 309. report on legal standards applied for electronic surveillance

       The House bill and Senate amendment contained similar
     provisions. The Senate recedes to the House provision with a
     modification.

 sec. 310. report on effects of foreign espionage on the united states

       The House bill contained a similar provision. The Senate
     amendment did not. The Senate recedes to the House position.

 sec. 311. report on activities of the central intelligence agency in
                                 chile

       Section 311 requires the Director of Central Intelligence
     to submit a report to the appropriate committees of Congress
     no later than nine months after this Act is enacted
     describing all activities of officers, covert agents, and
     employees of all elements in the intelligence community with
     respect to the assassination of President Salvador Allende in
     September 1973; the accession of General Augusto Pinochet to
     the Presidency of the Republic of Chile; and, violations of
     human rights committed by officers or agents of former
     President Pinochet.
       The conferees note that the National Security Council on
     February 1, 1999, directed the Departments of State, Justice,
     and Defense; the Central Intelligence Agency; and the
     National Archives to compile and review for public release
     all documents that shed light on human rights abuses,
     terrorism, and other acts of political violence during and
     prior to the Pinochet era in Chile. In addition, the
     conferees note that the Department of Justice is conducting a
     search for documents pertaining to the requests of the
     Spanish court investigating the abuses of the Pinochet
     regime. The managers expect the appropriate committees of
     Congress, as set forth in this section, to be given access to
     the documents responsive to these two searches, whether
     classified or publicly released.
       Section 311 is similar to Section 306(a) of the House bill
     but provides additional time for the submission of the
     report.

               sec. 312. report on kosova liberation army

       The House bill contained a similar provision. The Senate
     amendment did not. The Senate recedes to the House position.

   sec. 313. reaffirmation of longstanding prohibition against drug
         trafficking by employees of the intelligence community

       The House bill contained a similar provision. The Senate
     amendment did not. The Senate recedes to the House position
     with a modification upon the insistence of the Senate.

   sec. 314. sense of congress on classification and declassification

       The Senate amendment contained a similar provision. The
     House bill did not. The House recedes to the Senate position.

   sec. 315. sense of congress on intelligence community contracting

       The House bill contained a similar provision. The Senate
     amendment did not. The Senate recedes to the House position.

                 Title IV--Central Intelligence Agency

    sec. 401. improvement and extension of central services program

       The Senate amendment contained a similar provision. The
     House bill did not. The House recedes to the Senate position,
     with a modification.

        sec. 402. extension of cia voluntary separation pay act

       The Senate amendment contained a similar provision. The
     House bill did not. The House recedes to the Senate position,
     upon the insistence of the Senate.

         Title V--Department of Defense Intelligence Activities

 sec. 501. protection of operational files of the national imagery and
                             mapping agency

       The House bill contained a similar provision. The Senate
     amendment did not. The Senate recedes to the House position,
     with a modification making this amendment to title 50, United
     States Code, rather than in title 10, United States Code.

 sec. 502. funding for infrastructure and quality of life improvements
                at menwith hill and bad aibling stations

       The Senate amendment contained a similar provision. The
     House bill did not. The House recedes to the Senate position.

   Title VI--Foreign Counterintelligence and International Terrorism
                             Investigations

 sec. 601. expansion of definition of ``agent of a foreign power'' for
     purposes of the foreign intelligence surveillance act of 1978

       The Senate amendment contained a similar provision. The
     House bill did not. The House recedes to the Senate position.

 sec. 602. federal bureau of investigation reports to other executive
         agencies on results of counterintelligence activities

       The Senate amendment contained a similar provision. The
     House bill did not. The House recedes to the Senate position.

     Title VII--National Commission for the Review of the National
                         Reconnaissance Office

                           sec. 701. findings

       Neither the House bill nor the Senate amendment contained a
     similar provision. Prior to the meeting of conferees,
     however, the managers determined that an independent review
     of the National Reconnaissance Office (NRO) must be conducted
     to ensure that the National Reconnaissance Office (NRO) must
     be conducted to ensure that the Intelligence Community will
     acquire the most efficient, technologically capable, and
     economical satellite collection systems, and that the
     national policymakers and military leaders receive the
     intelligence they require to keep our nation secure.
     Therefore, the managers have included a provision creating
     the Commission for the Review of the National Reconnaissance
     Office.
       The managers agreed that the functions and missions carried
     out by the NRO are essential to the provision of timely
     intelligence to policymakers and military leaders. However,
     the changing threat environment and emerging technologies
     have altered both what information satellites can collect and
     how they collect it. Additionally, Congress wants to ensure
     that future generations of intelligence collection satellites
     both perform to their requirements and are purchased at a
     fair cost to the taxpayer.

     sec. 702. national commission for the review of the national
                         reconnaissance office

       The Commission will have eleven members. The Majority
     Leader of the Senate and the Speaker of the House, in
     consultation with the Chairman of the Senate Select Committee
     on Intelligence and the House Permanent Select Committee on
     Intelligence, will each appoint one commission member from
     their respective Chamber and two from private life. The
     Minority Leaders of the Senate and House, in consultation
     with the Vice Chairman of the Senate Select Committee on
     Intelligence and the ranking member of the House Permanent
     Select Committee on Intelligence, will each appoint one
     commission member from their respective Chamber and one from
     private life. Additionally, the Deputy Director of Central
     Intelligence for Community Management will be a voting member
     of the Commission and the Director of the National
     Reconnaissance Office will be an ex officio, i.e., non-
     voting, member of the Commission.
       The managers have included requirements that individuals
     appointed to the Commission will have experience and
     expertise in technical intelligence collection systems and
     methods; research and development programs; acquisition
     management; use of intelligence information by national
     policymakers and military leaders; and/or the implementation,
     funding, or oversight of the national security policies of
     the United States.
       The Co-Chairs of the Commission will be selected from among
     the members of the Commission and agreed upon by the
     President, the Majority and Minority Leaders of the Senate,
     and the Speaker and Minority Leader of the House.

                     sec. 703. duties of commission

       The Commission is tasked with reviewing the roles and
     mission of the NRO; its organizational structure; technical
     skills of its employees; its contractor relationships; its
     use of commercial imagery; its acquisition of launch
     vehicles, launch services, launch infrastructure, and mission
     assurance; its acquisition authorities; and the relationship
     to other agencies and departments of the Federal Government.

                     sec. 704. powers of commission

       The Commission is authorized to hold hearings, receive
     testimony from witnesses, receive information from federal
     agencies, and receive assistance from the Director of Central
     Intelligence and the Secretary of Defense in order to
     discharge its duties under this title.

                     sec. 705. staff of commission

       The Commission is authorized to hire staff, procure
     consultant services, and receive assistance from Federal
     Government employees detailed to the Commission in order to
     discharge its duties under this title.
       The managers agree that any member of the Commission is
     authorized to designate his or her staff to serve as liaison
     staff to the Commission. Liaison staff are required to
     possess the requisite security clearances before being given
     any access to classified information. Liaison staff shall
     have the same access to the information considered by the
     Commission as staff directly hired by the Commission.

               SEC. 706. COMPENSATION AND TRAVEL EXPENSES

       Members of the Commission are authorized to be compensated
     and be allowed travel expenses for the performance of their
     duties under this title.

    SEC. 707. TREATMENT OF INFORMATION RELATING TO NATIONAL SECURITY

       The Director of Central Intelligence shall assume
     responsibility for the handling and disposition of national
     security information received, considered, and used by
     Commission.

                  SEC. 708. FINAL REPORT; TERMINATION

       The Commission is to produce a report with recommendations
     to the congressional intelligence committees, the Director of
     Central Intelligence, and the Secretary of

[[Page H11641]]

     Defense by November 1, 2000. A copy of this report shall also
     be made available to the committees on Armed Services of the
     Senate and the House of Representatives.
       The managers realize that the nature of the subject matter
     involved in a review of the NOR may of necessity require that
     Classified report be produced, but believe strongly that an
     unclassified report should also be made available to the
     public.

                 SEC. 709. ASSESSMENTS OF FINAL REPORT

       The Director of Central Intelligence and the Secretary of
     Defense shall each submit to the congressional intelligence
     committees as assessment of the report of the Commission
     within 30 days of receipt of the report. A copy of these
     assessments shall also be made available to the Commission on
     Armed Services of the Senate and the House of
     Representatives.

     SEC. 710. INAPPLICABILITY OF CERTAIN ADMINISTRATIVE PROVISIONS

       The provisions of the Federal advisory Committee Act and
     the Freedom of Information Act shall not apply to the
     activities of the Commission.

                           SEC. 711. FUNDING

       The Director of Central Intelligence shall make available
     for purposes of the activities of the Commission $5.0 million
     from the amounts authorized to be appropriated by this Act
     for the National Reconnaissance Office.

        SEC. 712. CONGRESSIONAL INTELLIGENCE COMMITTEES DEFINED

       The congressional intelligence committees referred to in
     this title refer to the Senate Select Committee on
     Intelligence and the House Permanent Select Committee on
     Intelligence.

     Title VIII--Blocking Assets of Significant Foreign Narcotics
                              Traffickers

                         SEC. 801. SHORT TITLE

       This section provides the short title for this title:
     ``Foreign Narcotics Kingpin Designation Act.''

                     SEC. 802. FINDINGS AND POLICY

       The provisions in title VIII are intended to be global in
     scope--not country-specific--and specifically focus on the
     major cocaine, heroin, marijuana, amphetamine, and emerging
     synthetic narcotics produced and sold by foreign narco-
     trafficking organizations. The managers believe that the
     enactment of these provisions will encourage U.S. law
     enforcement an intelligence agencies to better coordinate
     their efforts against the leaders of the world's most
     dangerous multinational criminal organizations. This
     initiative will assist U.S. Government efforts to identify
     the assets, financial networks, and business associates of
     major narcotics trafficking groups. If effectively
     implemented, this strategy will disrupt these criminal
     organizations and bankrupt their leadership.
       The provisions in this title are intended to supplement--
     not to replace--the United States' policy of annual
     certification of countries based on their performance in
     combating narcotics trafficking. This title will properly
     focus our Government's efforts against the specific
     individuals most responsible for trafficking in illegal
     narcotics by attacking their sources of income and
     undermining their efforts to launder the profits generated by
     drug-trafficking into legitimate business activities.
       The intention of this legislation is to strengthen the
     ability of United States law enforcement effectively to
     target international narcotics traffickers attaching the
     fabric of our society. The legislation is based on the
     successful application of the International emergency
     Economic Powers Act (IEEPA) against Colombian narcotics
     traffickers. There is no intention that this legislation
     affect Americans who are not knowingly and willfully engaged
     in international narcotics trafficking. Nor is it intended in
     any way to derogate from existing constitutional and
     statutory due process protections for those whose assets are
     blocked or seized pursuant to law.

                           sec. 803. purpose

       The legal precedent for this title was the successful
     application of sanctions in 1995 and 1996 against the Cali
     Cartel narco-trafficking organization and its key leaders.
     Executive Order 12978, issued by the Clinton Administration
     in October 1995, had the effect of dismantling and defunding
     numerous business entities conclusively tied to the Cali
     Cartel. Relying on the authorities provided within the IEEPA,
     President Clinton found that the activities of several
     Specially Designated Narcotics Traffickers (SDNTs)
     constituted an unusual and extraordinary threat to the United
     States' national security, foreign policy, and economy. In a
     June 1998 publication of the Treasury Department, the SDNT
     program was described as follows:
       Companies and individuals are identified as SDNTs and
     placed on the SDNT list if they are determined, (a) to play a
     significant role in international narcotics trafficking
     centered in Colombia, (b) to materially assist in or provide
     financial or technological support for, or goods and services
     in support of, the narcotics trafficking activities of
     persons designated in or pursuant to the executive order, or
     (c) to be owned or controlled by, or to act for or on behalf
     of, persons designated in or pursuant to Executive order
     12978. The objectives of the SDNT program are to identify,
     expose, isolate and incapacitate the businesses and agents of
     the Colombian cartels and to deny them access to the U.S.
     financial system and to the benefits of trade and
     transactions involving United States businesses and
     individuals.
       Coordinated law enforcement efforts by the U.S. and
     Colombian Governments in support of these sanctions put the
     Cali Cartel kingpins out of business. This legislation is
     intended to follow up on the success of the Colombian SDNT
     precedent by applying similar U.S. Government authorities and
     resources against significant foreign narcotics traffickers
     around the globe--including, but not limited to, major
     narcotics traffickers and trafficking organizations based in
     Afghanistan, Bolivia, Burma, Colombia, Dominican Republic,
     Laos, Mexico, Pakistan, People's Republic of China, Peru,
     Russia, and Thailand.
       The bottom line objective of these provisions is to
     bankrupt and disrupt the major narcotics trafficking
     organizations. The targets of this legislation are not only
     the drug kingpins, but those involved in their illicit
     activities, such as: money laundering, acquiring chemical
     precursors to manufacture narcotics, manufacturing the drugs,
     transporting narcotics from the drug source countries to the
     United States, and managing the assets of these criminal
     enterprises.

   sec. 804. public identification of significant foreign narcotics
                    traffickers and required reports

       This section requires the Secretary of the Treasury--in
     consultation with the Attorney General, the Director of
     Central Intelligence, the Secretary of Defense, and the
     Secretary of State--to provide the appropriate and necessary
     information to enable the President to prepare the
     congressionally-mandated classified and unclassified reports
     on significant foreign narcotics traffickers. The President
     then shall make the determination to formally designate any
     significant foreign narcotics traffickers on June 1, 2000
     (and not later than June 1st of each year thereafter) as
     constituting an unusual and extraordinary threat to the
     national security, foreign policy and the economy of the
     United States. On June 1, 2000 (and not later than June 1st
     of each year thereafter), the President shall submit an
     unclassified report to the Committees on Intelligence,
     International Relations, Judiciary, Armed Services, and Ways
     and Means of the House of Representatives, and the Committees
     on Intelligence, Foreign Relations, Judiciary, Armed
     Services, and Finance of the Senate for official review. This
     unclassified report shall: (1) identify publicly the foreign
     persons that the President determines are appropriate for
     sanctions pursuant to this title; and (b) detail publicly the
     President's intent to impose sanctions upon these significant
     foreign narcotics traffickers pursuant to this title.
     Individuals and entities linked to major narcotics
     trafficking groups may be added to or withdrawn from the
     kingpins' list by the President at any time during the year.
       The managers expect that the President will provide a
     classified report on July 1, 2000 (and not later than July
     1st of each year thereafter) to the House Permanent Select
     Committee on Intelligence and the Senate Select Committee on
     Intelligence detailing the overall status of the program,
     including personnel and resources directed towards the
     program, and providing background information with respect to
     newly identified significant foreign narcotics traffickers
     and their activities. The managers intend that the executive
     branch shall provide a detailed briefing after publication of
     the annual classified report with respect to its findings.
       If the Director of Central Intelligence or the Attorney
     General make a determination not to designate a foreign
     individual on the Global Kingpins list due to a possible
     compromise of intelligence or law enforcement sources and
     methods, the legislation requires that they shall notify the
     House and Senate Intelligence Committees delineating the
     basis of their determination. A formal notification of a
     determination not to designate shall be provided to the House
     and Senate Intelligence Committees not later than July 1,
     2000, and on an annual basis thereafter.
       As a general matter, it is contemplated that the Director
     of Central Intelligence, the Attorney General, and the
     Secretary of the Treasury will determine to exclude the name
     of an individual from the Global Kingpins list only: (1)
     under circumstances where the mere appearance of the name on
     the list could compromise an intelligence source or method;
     (2) could reasonably be expected to disclose the identity of
     a confidential law enforcement source; (3) would disclose
     techniques and procedures for law enforcement prosecutions;
     (4) could reasonably be expected to endanger the life or
     physical safety of any individual; or (5) where there is an
     insufficient basis upon which to rely to support that
     individual's inclusion.
       A similar version of this legislation, offered in the House
     as the ``Drug Kingpins Bankruptcy Act of 1999,'' established
     a precedent for the future content and scope of the Global
     Kingpins list, by specifically identifying the first group of
     twelve of the world's most significant narco-traffickers from
     Burma, the Caribbean Region, Colombia, Mexico and Thailand.
     The first proposed Global Kingpins/SDNT list was developed in
     consultation with the Drug Enforcement Administration, the
     Federal Bureau of investigation, the State Department, the
     Treasury Department, and the Central Intelligence Agency's
     Crime and Narcotics Center.
       The managers also believe that the annual unclassified and
     classified reports to the

[[Page H11642]]

     Congress will serve as vital oversight tools by providing
     additional data for the annual drug certification process.
     The certification process requires the President to certify
     on March 1st of each year the level of cooperation that the
     United States Government is receiving from major drug
     producing and major transit nations. The action or lack of
     action by both the Administration and these nations on the
     ``majors list'' with respect to the drug kingpins will become
     a significant annual indicator of counterdrug cooperation.
       The managers note that the Colombian Kingpins/SDNT
     initiative under Executive Order 12978 in October 1995 was
     prepared within 6 months and was based upon information
     already collected on these kingpins and their operations. The
     managers recognize that the implementation of the Global
     Kingpins list will require significant additional resources
     and personnel from the intelligence and law enforcement
     communities. The managers urge that the Administration
     provide significant additional funding in the FY2001 Budget
     for the Treasury Department's Office of Foreign Assets
     Control (OFAC) to fully implement the Global Kingpins program
     in 2000 on a worldwide basis. As an interim measure, the
     managers recommend that the Treasury Department's Office of
     Foreign Assets Control receive analytical assistance and
     technical support from the Treasury Department's Office of
     Intelligence Support, the Justice Department's National Drug
     Intelligence Center, and the CIA's Crime and Narcotics
     Center.

         sec. 805. blocking assets and prohibiting transactions

       The effect of this provision will be to block all property
     and interests in property within the United States that are
     under the direct or indirect ownership or control of
     significant foreign narcotics traffickers. Second, it will
     block all assets of any foreign persons who materially
     assist, provide financial or technical support, or offer
     goods and services to such significant foreign narcotics
     traffickers. Third, it will block the assets of any foreign
     persons, who are determined by the United States Government
     as controlled by or acting on behalf of significant foreign
     narcotics traffickers. Fourth, it will block the assets of
     any foreign persons that the Secretary of the Treasury--in
     consultation with the Director of Central Intelligence, the
     Director of the Federal Bureau of Investigation, the
     Administrator of the Drug Enforcement Administration, the
     Secretary of State, and the Secretary of Defense--designates
     as playing a significant role in international narcotics
     trafficking.
       The sanctions that would take effect against the kingpins
     designated by the President, and their organizations and
     subordinates, would include the following:
       (a) All assets of the kingpins and their organizations and
     subordinates subject to United States jurisdiction would be
     blocked; other law enforcement tools such as seizure and
     forfeiture would be available if appropriate.
       (b) U.S. individuals and companies would be prohibited from
     engaging in unlicensed transactions, including any commercial
     or financial dealings, with any of the named kingpins and
     their organizations and subordinates.
       Following the Colombia IEEPA-SDNT precedent, the Secretary
     of the Treasury will have the authority to determine and list
     persons and entities deemed to be materially assisting in,
     providing financial or technological support for, or
     providing goods or services in support of the narcotics
     trafficking activities of significant foreign narcotics
     traffickers. In order to develop this second-level list of
     facilitating persons and entities, the Secretary of the
     Treasury will rely on information collected by the U.S.
     intelligence and law enforcement communities as well as on
     information provided by foreign government intelligence and
     law enforcement organizations. This information must pass
     through a rigorous interagency review process; the
     information must be material, factual and verifiable, and
     able to withstand scrutiny in a United States Federal Court.
     The success of the Colombia IEEPA-SDNT program has largely
     been the product of close U.S. cooperation with Colombian law
     enforcement and regulatory agencies. It is expected that
     global implementation of the kingpins list will promote
     closer U.S. cooperation with foreign law enforcement and
     regulatory agencies.
       As with the Colombia IEEPA-SDNT program, the Secretary of
     the Treasury will issue all necessary administrative
     regulations and specifications to implement the Kingpins
     program on a global basis. Notification of United States
     persons and entities linked to significant foreign narcotics
     traffickers will also follow the precedents established under
     the Colombia IEEPA-SDNT program. Due to threats made against
     the U.S. officials responsible for implementation of the
     Colombia SDNT program, records and information obtained or
     created in the preparation of the Global Kingpins/SDNT list
     as well as the specific details on the implementation of
     sanctions against significant foreign narcotics traffickers
     would be exempted from the Freedom of Information Act.
       All SDNT programs require that such designations pass an
     ``arbitrary and capricious'' test; and all designations are
     based upon a non-criminal standard of ``reasonable cause to
     believe'' that the party is owned or controlled by, or acts,
     or purports to act, for or on behalf of the sanctioned non-
     state party. Furthermore, the Colombia IEEPA-SDNT executive
     order uses an additional designation basis for foreign firms
     or individuals that ``materially * * * assist in or provide
     financial or technological support for or goods or services
     in support of, the narcotics trafficking activities'' of the
     named drug kingpins or other, already designated SDNTs.
       In implementing the Colombia IEEPA-SDNT program, OFAC
     analysts identify and research foreign targets that can be
     linked by evidence to individuals or entities already
     designated pursuant to E.O. 12978. To establish sufficient
     linkage, OFAC initially relied upon a significant body of
     documentary evidence through criminal law enforcement raids
     and seizures. The President's involvement was required in the
     designation of the original four Cali cartel kingpins named
     in the annex to E.O. 12978. Additional kingpin listings in
     Colombia have been developed through close coordination
     between OFAC and the Department of Justice, and the
     preponderance of Colombian SDNTs have been designated as a
     product of OFAC's research and collection efforts.
       In the Colombia IEEPA-SDNT program, OFAC has reached
     designation determinations only after extensive reviews of
     the evidence internally and with the Department of Justice.
     E.O. 12978 has required that the State and Justice
     Departments be consulted by the Treasury prior to a
     designation. As noted above, Justice is deeply involved in
     examining the sufficiency of the evidence that occurs before
     any parties are added to the list.
       OFAC regulations provide for post-designation review and
     remedies. The usual forum for considering removal of a
     designation (such as a change in circumstances or behavior)
     is one in which the named person or entity petitions OFAC for
     removal. Most petitioners initiate the review process simply
     by writing OFAC. Exchanges of correspondence, additional
     fact-finding and meetings occur before OFAC decides whether
     there is a basis for removal. Although a number of persons
     have been removed through this means, only a very few persons
     or entities on the SDNT and other SDNT lists have ever
     petitioned for removal. Federal courts have held that no pre-
     deprivation hearing is required in blocking of assets because
     of the Executive Branch's plenary authority to act in the
     area of foreign policy and the obvious need to take immediate
     action upon designation to avoid dissipation of affected
     assets.

                         sec. 806. authorities

       This section generally restates the applicable provisions
     of the International Economic Emergency Powers Act.

                         sec. 807. enforcement

       This section generally restates the applicable provisions
     of the Trading with the Enemy Act.

                         sec. 808. definitions

       This section defines specific terms used in this title.

    sec. 809. exclusion of persons who have benefited from illicit
                     activities of drug traffickers

       This section restates the applicable provisions of the
     Immigration and Nationality Act of 1952 as amended in 8
     U.S.C. 1182(a)(2)(c). Designation on this list will result in
     the denial of visas and inadmissibility of specially
     designated narcotics traffickers, their immediate families,
     and their business associates.

     sec. 810. judicial review commission on foreign asset control

       This section creates a commission to review the current
     judicial, regulatory, and administrative authorities under
     which the United States government blocks assets of foreign
     persons and to provide a detailed constitutional examination
     and evaluation of remedies available to United States persons
     affected by the blocking of assets of foreign persons. The
     commission is required to report back to Congress no later
     than one year after the date of enactment of this act on its
     findings, conclusions, and recommendations, if any, on the
     matters under their review. The managers believe that the
     public interest can best be served if the commission can
     reach consensus on its conclusions. The managers acknowledge,
     however, that consensus may not be able to reach on the
     significant issues on which the commission will deliberate.
     To that end, therefore, the managers have provided that the
     report to be submitted to Congress at the end of the
     commission's review period shall include all additional or
     dissenting views, if any.
       Four of the commission members are to be appointed by the
     Chairmen and Ranking Democrats of the congressional
     intelligence committees. The fifth member of the Commission
     shall be appointed by the four members of the commission
     appointed by the intelligence committee Chairmen and Ranking
     Democrats. The commission shall also be provided the
     cooperation and assistance that it requests from any agency
     in the federal government.
       The managers are determined to ensure that the judicial,
     regulatory, and administrative remedies and procedures
     available to U.S. persons affected by the blocking of assets
     of foreign persons pass constitutional muster. As expected,
     the managers concern centers on the fundamental question of
     due process and whether that principle is affirmed and
     sustained in the execution of this legislation. The managers
     expect the members of the Commission to examine and report on
     at least the following constitutional and other issues:

[[Page H11643]]

       (1) whether reasonable protections of innocent U.S.
     businesses are available under the regime currently in place
     that is utilized to carry out the provisions of the
     International Emergency Economic Powers Act (``IEEPA'');
       (2) whether advance notice prior to blocking of one's
     assets is required as a matter of constitutional due process;
       (3) whether there are reasonable opportunities under the
     current IEEPA regulatory regime and the Administrative
     Procedures Act for an erroneous blocking of assets or
     mistaken listing under IEEPA to be remedied;
       (4) whether the level of proof that is required under the
     current judicial, regulatory, or administrative scheme is
     adequate to protect legitimate business interests from
     irreparable financial harm;
       (5) whether there is constitutionally adequate
     accessibility to the courts to challenge agency actions under
     IEEPA, or the designation of persons or entities under IEEPA;
       (6) whether there are remedial measures and legislative
     amendments that should be enacted to improve the current
     asset blocking scheme under IEEPA or this title; and
       (7) whether the resources made available for the Office of
     Foreign Assets Control (``OFAC'') at the Department of
     Treasury in the fiscal year 2001 budget submission are
     adequate to carry out the provisions of this title or the
     other programs currently in effect under IEEPA.

                        sec. 811. effective date

       This section establishes the effective date for this title.
     From the Permanent Select Committee on Intelligence, for
     consideration of the Senate amendment, and the House bill,
     and modifications committed to conference:
     Porter Goss,
     Jerry Lewis,
     Bill McCollum,
     Michael N. Castle,
     Sherwood Boehlert,
     Charles F. Bass,
     Jim Gibbons,
     Ray LaHood,
     Heather Wilson,
     Julian C. Dixon,
     Nancy Pelosi,
     Sanford Bishop, Jr.,
     Norman Sisisky,
     Gary Condit.
     From the Committee on Armed Services, for consideration of
     defense tactical intelligence and related activities:
     Floyd Spence,
     Bob Stump,
     Robert E. Andrews,
                                Managers on the Part of the House.

     From the Select Committee on Intelligence:
     Richard Shelby,
     Bob Kerrey,
     Richard G. Lugar,
     Mike DeWine,
     Jon Kyl,
     Jim Inhofe,
     Orrin Hatch,
     Pat Roberts,
     Wayne Allard,
     Richard H. Bryan,
     Bob Graham,
     John F. Kerry,
     Max Baucus,
     Chuck Robb,
     Frank R. Lautenberg.
     From the Committee on Armed Services:
     John Warner,
     Managers on the Part of the Senate.

                          ____________________
