USC Subchapter III

USC Subchapter III
in effect

50 U.S.C. § 3091 General congressional oversight provisions

(a) Reports to congressional committees of intelligence activities and anticipated activities(1) The President shall ensure that the congressional intelligence committees are kept fully and currently informed of the intelligence activities of the United States, including any significant anticipated intelligence activity as required by this subchapter. (2) Nothing in this subchapter shall be construed as requiring the approval of the congressional intelligence committees as a condition precedent to the initiation of any significant anticipated intelligence activity. (b) Reports concerning illegal intelligence activitiesThe President shall ensure that any illegal intelligence activity is reported promptly to the congressional intelligence committees, as well as any corrective action that has been taken or is planned in connection with such illegal activity. (c) Procedures for reporting informationThe President and the congressional intelligence committees shall each establish such written procedures as may be necessary to carry out the provisions of this subchapter. (d) Procedures to protect from unauthorized disclosureThe House of Representatives and the Senate shall each establish, by rule or resolution of such House, procedures to protect from unauthorized disclosure all classified information, and all information relating to intelligence sources and methods, that is furnished to the congressional intelligence committees or to Members of Congress under this subchapter. Such procedures shall be established in consultation with the Director of National Intelligence. In accordance with such procedures, each of the congressional intelligence committees shall promptly call to the attention of its respective House, or to any appropriate committee or committees of its respective House, any matter relating to intelligence activities requiring the attention of such House or such committee or committees. (e) Construction of authority conferredNothing in this chapter shall be construed as authority to withhold information from the congressional intelligence committees on the grounds that providing the information to the congressional intelligence committees would constitute the unauthorized disclosure of classified information or information relating to intelligence sources and methods. (f) “Intelligence activities” definedAs used in this section, the term “intelligence activities” includes covert actions as defined in section 3093(e) of this title, and includes financial intelligence activities.

50 U.S.C. § 3091a Congressional oversight of controlled access programs

(a) Periodic briefings(1) RequirementNot less frequently than semiannually or upon request by one of the appropriate congressional committees or a member of congressional leadership, the Director of National Intelligence shall provide to such committees and congressional leadership a briefing on each controlled access program in effect. (2) ContentsEach briefing provided under paragraph (1) shall include, at a minimum, the following:(A) A description of the activity of the controlled access programs during the period covered by the briefing. (B) Documentation with respect to how the controlled access programs have achieved outcomes consistent with requirements documented by the Director and, as applicable, the Secretary of Defense. (b) Limitations(1) EstablishmentA head of an element of the intelligence community may not establish a controlled access program, or a compartment or subcompartment therein, until the head notifies the appropriate congressional committees and congressional leadership of such controlled access program, compartment, or subcompartment, as the case may be. (2) Transfers(A) LimitationExcept as provided in subparagraph (B), a head of an element of the intelligence community may not transfer a capability from a controlled access program, including from a compartment or subcompartment therein to a compartment or subcompartment of another controlled access program, to a special access program (as defined in section 3348(g) of this title), or to anything else outside the controlled access program, until the head submits to the appropriate congressional committees and congressional leadership notice of the intent of the head to make such transfer. (B) ExceptionThe head of an element of the intelligence community may make a transfer described in subparagraph (A) without prior congressional notification if the head determines that doing so—(i) is required to mitigate an urgent counterintelligence issue; or (ii) is necessary to maintain access in the event of an organizational restructuring. (c) Limitation on spendingFunds authorized to be appropriated for the National Intelligence Program may not be obligated or expended for any controlled access program, or a compartment or subcompartment therein, until the head of the element of the intelligence community responsible for the establishment of such program, compartment, or subcompartment, submits the notification required by subsection (b). (d) Annual reports(1) RequirementOn an annual basis, the head of each element of the intelligence community shall submit to the appropriate congressional committees and congressional leadership a report on controlled access programs administered by the head. (2) Matters includedEach report submitted under paragraph (1) shall include, with respect to the period covered by the report, the following:(A) A list of all compartments and subcompartments of controlled access programs active as of the date of the report. (B) A list of all compartments and subcompartments of controlled access programs terminated during the period covered by the report. (C) With respect to the report submitted by the Director of National Intelligence, in addition to the matters specified in clauses (A) and (B)—(i) a certification regarding whether the creation, validation, or substantial modification, including termination, for all existing and proposed controlled access programs, and the compartments and subcompartments within each, are substantiated and justified based on the information required by clause (ii); and (ii) for each certification—(I) the rationale for the revalidation, validation, or substantial modification, including termination, of each controlled access program, compartment, and subcompartment; (II) the identification of a control officer for each controlled access program; and (III) a statement of protection requirements for each controlled access program. (e) DefinitionsIn this section:(1) Appropriate congressional committeesThe term “appropriate congressional committees” means—(A) the congressional intelligence committees; (B) the Committee on Appropriations of the Senate; and (C) the Committee on Appropriations of the House of Representatives. (2) Congressional leadershipThe term “congressional leadership” means—(A) the majority leader of the Senate; (B) the minority leader of the Senate; (C) the Speaker of the House of Representatives; and (D) the minority leader of the House of Representatives. (3) Controlled access programThe term “controlled access program” means a program created or managed pursuant to Intelligence Community Directive 906, or successor directive.

50 U.S.C. § 3092 Reporting of intelligence activities other than covert actions

(a) In generalTo the extent consistent with due regard for the protection from unauthorized disclosure of classified information relating to sensitive intelligence sources and methods or other exceptionally sensitive matters, the Director of National Intelligence and the heads of all departments, agencies, and other entities of the United States Government involved in intelligence activities shall—(1) keep the congressional intelligence committees fully and currently informed of all intelligence activities, other than a covert action (as defined in section 3093(e) of this title), which are the responsibility of, are engaged in by, or are carried out for or on behalf of, any department, agency, or entity of the United States Government, including any significant anticipated intelligence activity and any significant intelligence failure; and (2) furnish the congressional intelligence committees any information or material concerning intelligence activities (including the legal basis under which the intelligence activity is being or was conducted), other than covert actions, which is within their custody or control, and which is requested by either of the congressional intelligence committees in order to carry out its authorized responsibilities. (b) Form and contents of certain reportsAny report relating to a significant anticipated intelligence activity or a significant intelligence failure that is submitted to the congressional intelligence committees for purposes of subsection (a)(1) shall be in writing, and shall contain the following:(1) A concise statement of any facts pertinent to such report. (2) An explanation of the significance of the intelligence activity or intelligence failure covered by such report. (c) Standards and procedures for certain reportsThe Director of National Intelligence, in consultation with the heads of the departments, agencies, and entities referred to in subsection (a), shall establish standards and procedures applicable to reports covered by subsection (b).

50 U.S.C. § 3093 Presidential approval and reporting of covert actions

(a) Presidential findingsThe President may not authorize the conduct of a covert action by departments, agencies, or entities of the United States Government unless the President determines such an action is necessary to support identifiable foreign policy objectives of the United States and is important to the national security of the United States, which determination shall be set forth in a finding that shall meet each of the following conditions:(1) Each finding shall be in writing, unless immediate action by the United States is required and time does not permit the preparation of a written finding, in which case a written record of the President’s decision shall be contemporaneously made and shall be reduced to a written finding as soon as possible but in no event more than 48 hours after the decision is made. (2) Except as permitted by paragraph (1), a finding may not authorize or sanction a covert action, or any aspect of any such action, which already has occurred. (3) Each finding shall specify each department, agency, or entity of the United States Government authorized to fund or otherwise participate in any significant way in such action. Any employee, contractor, or contract agent of a department, agency, or entity of the United States Government other than the Central Intelligence Agency directed to participate in any way in a covert action shall be subject either to the policies and regulations of the Central Intelligence Agency, or to written policies or regulations adopted by such department, agency, or entity, to govern such participation. (4) Each finding shall specify whether it is contemplated that any third party which is not an element of, or a contractor or contract agent of, the United States Government, or is not otherwise subject to United States Government policies and regulations, will be used to fund or otherwise participate in any significant way in the covert action concerned, or be used to undertake the covert action concerned on behalf of the United States. (5) A finding may not authorize any action that would violate the Constitution or any statute of the United States. (b) Reports to congressional intelligence committees; production of informationTo the extent consistent with due regard for the protection from unauthorized disclosure of classified information relating to sensitive intelligence sources and methods or other exceptionally sensitive matters, the Director of National Intelligence and the heads of all departments, agencies, and entities of the United States Government involved in a covert action—(1) shall keep the congressional intelligence committees fully and currently informed of all covert actions which are the responsibility of, are engaged in by, or are carried out for or on behalf of, any department, agency, or entity of the United States Government, including significant failures; and (2) shall furnish to the congressional intelligence committees any information or material concerning covert actions (including the legal basis under which the covert action is being or was conducted) which is in the possession, custody, or control of any department, agency, or entity of the United States Government and which is requested by either of the congressional intelligence committees in order to carry out its authorized responsibilities. (c) Timing of reports; access to finding(1) The President shall ensure that any finding approved pursuant to subsection (a) shall be reported in writing to the congressional intelligence committees as soon as possible after such approval and before the initiation of the covert action authorized by the finding, except as otherwise provided in paragraph (2) and paragraph (3). (2) If the President determines that it is essential to limit access to the finding to meet extraordinary circumstances affecting vital interests of the United States, the finding may be reported to the chairmen and ranking minority members of the congressional intelligence committees, the Speaker and minority leader of the House of Representatives, the majority and minority leaders of the Senate, and such other member or members of the congressional leadership as may be included by the President. (3) Whenever a finding is not reported pursuant to paragraph (1) or (2) of this subsection, the President shall fully inform the congressional intelligence committees in a timely fashion and shall provide a statement of the reasons for not giving prior notice. (4) In a case under paragraph (1), (2), or (3), a copy of the finding, signed by the President, shall be provided to the chairman of each congressional intelligence committee. (5)(A) When access to a finding, or a notification provided under subsection (d)(1), is limited to the Members of Congress specified in paragraph (2), a written statement of the reasons for limiting such access shall also be provided. (B) Not later than 180 days after a statement of reasons is submitted in accordance with subparagraph (A) or this subparagraph, the President shall ensure that—(i) all members of the congressional intelligence committees are provided access to the finding or notification; or (ii) a statement of reasons that it is essential to continue to limit access to such finding or such notification to meet extraordinary circumstances affecting vital interests of the United States is submitted to the Members of Congress specified in paragraph (2). (d) Changes in previously approved actions(1) The President shall ensure that the congressional intelligence committees, or, if applicable, the Members of Congress specified in subsection (c)(2), are notified in writing of any significant change in a previously approved covert action, or any significant undertaking pursuant to a previously approved finding, in the same manner as findings are reported pursuant to subsection (c). (2) In determining whether an activity constitutes a significant undertaking for purposes of paragraph (1), the President shall consider whether the activity—(A) involves significant risk of loss of life; (B) requires an expansion of existing authorities, including authorities relating to research, development, or operations; (C) results in the expenditure of significant funds or other resources; (D) requires notification under section 3094 of this title; (E) gives rise to a significant risk of disclosing intelligence sources or methods; or (F) presents a reasonably foreseeable risk of serious damage to the diplomatic relations of the United States if such activity were disclosed without authorization. (e) “Covert action” definedAs used in this subchapter, the term “covert action” means an activity or activities of the United States Government to influence political, economic, or military conditions abroad, where it is intended that the role of the United States Government will not be apparent or acknowledged publicly, but does not include—(1) activities the primary purpose of which is to acquire intelligence, traditional counterintelligence activities, traditional activities to improve or maintain the operational security of United States Government programs, or administrative activities; (2) traditional diplomatic or military activities or routine support to such activities; (3) traditional law enforcement activities conducted by United States Government law enforcement agencies or routine support to such activities; or (4) activities to provide routine support to the overt activities (other than activities described in paragraph (1), (2), or (3)) of other United States Government agencies abroad. (f) Prohibition on covert actions intended to influence United States political processes, etc.No covert action may be conducted which is intended to influence United States political processes, public opinion, policies, or media. (g) Notice and general description where access to finding or notification limited; maintenance of records and written statements(1) In any case where access to a finding reported under subsection (c) or notification provided under subsection (d)(1) is not made available to all members of a congressional intelligence committee in accordance with subsection (c)(2), the President shall notify all members of such committee that such finding or such notification has been provided only to the members specified in subsection (c)(2). (2) In any case where access to a finding reported under subsection (c) or notification provided under subsection (d)(1) is not made available to all members of a congressional intelligence committee in accordance with subsection (c)(2), the President shall provide to all members of such committee a general description regarding the finding or notification, as applicable, consistent with the reasons for not yet fully informing all members of such committee. (3) The President shall maintain—(A) a record of the members of Congress to whom a finding is reported under subsection (c) or notification is provided under subsection (d)(1) and the date on which each member of Congress receives such finding or notification; and (B) each written statement provided under subsection (c)(5). (h) Plan to respond to unauthorized public disclosure of covert actionFor each type of activity undertaken as part of a covert action, the President shall establish in writing a plan to respond to the unauthorized public disclosure of that type of activity.

50 U.S.C. § 3094 Funding of intelligence activities

(a) Obligations and expenditures for intelligence or intelligence-related activity; prerequisitesAppropriated funds available to an intelligence agency may be obligated or expended for an intelligence or intelligence-related activity only if—(1) those funds were specifically authorized by Congress for use for such intelligence or intelligence-related activities; or (2) in the case of funds from the Reserve for Contingencies of the Central Intelligence Agency and consistent with the provisions of section 3093 of this title concerning any significant anticipated intelligence activity, the Director of the Central Intelligence Agency has notified the appropriate congressional committees of the intent to make such funds available for such activity; or (3) in the case of funds specifically authorized by the Congress for a different activity—(A) the activity to be funded is a higher priority intelligence or intelligence-related activity; (B) the use of such funds for such activity supports an emergent need, improves program effectiveness, or increases efficiency; and (C) the Director of National Intelligence, the Secretary of Defense, or the Attorney General, as appropriate, has notified the appropriate congressional committees of the intent to make such funds available for such activity; (4) nothing in this subsection prohibits obligation or expenditure of funds available to an intelligence agency in accordance with sections 1535 and 1536 of title 31. (b) Activities denied funding by CongressFunds available to an intelligence agency may not be made available for any intelligence or intelligence-related activity for which funds were denied by the Congress. (c) Presidential finding required for expenditure of funds on covert actionNo funds appropriated for, or otherwise available to, any department, agency, or entity of the United States Government may be expended, or may be directed to be expended, for any covert action, as defined in section 3093(e) of this title, unless and until a Presidential finding required by subsection (a) of section 3093 of this title has been signed or otherwise issued in accordance with that subsection. (d) Report to congressional committees required for expenditure of nonappropriated funds for intelligence activity(1) Except as otherwise specifically provided by law, funds available to an intelligence agency that are not appropriated funds may be obligated or expended for an intelligence or intelligence-related activity only if those funds are used for activities reported to the appropriate congressional committees pursuant to procedures which identify—(A) the types of activities for which nonappropriated funds may be expended; and (B) the circumstances under which an activity must be reported as a significant anticipated intelligence activity before such funds can be expended. (2) Procedures for purposes of paragraph (1) shall be jointly agreed upon by the congressional intelligence committees and, as appropriate, the Director of National Intelligence or the Secretary of Defense. (e) DefinitionsAs used in this section—(1) the term “intelligence agency” means any department, agency, or other entity of the United States involved in intelligence or intelligence-related activities; (2) 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; and (3) the term “specifically authorized by the Congress” means that—(A) the activity and the amount of funds proposed to be used for that activity were identified in a formal budget request to the Congress, but funds shall be deemed to be specifically authorized for that activity only to the extent that the Congress both authorized the funds to be appropriated for that activity and appropriated the funds for that activity; or (B) although the funds were not formally requested, the Congress both specifically authorized the appropriation of the funds for the activity and appropriated the funds for the activity.

50 U.S.C. § 3095 Notice to Congress of certain transfers of defense articles and defense services

(a)(1) The transfer of a defense article or defense service, or the anticipated transfer in any fiscal year of any aggregation of defense articles or defense services, exceeding $1,000,000 in value by an intelligence agency to a recipient outside that agency shall be considered a significant anticipated intelligence activity for the purpose of this subchapter. (2) Paragraph (1) does not apply if—(A) the transfer is being made to a department, agency, or other entity of the United States (so long as there will not be a subsequent retransfer of the defense articles or defense services outside the United States Government in conjunction with an intelligence or intelligence-related activity); or (B) the transfer—(i) is being made pursuant to authorities contained in part II of the Foreign Assistance Act of 1961 [22 U.S.C. 2301 et seq.], the Arms Export Control Act [22 U.S.C. 2751 et seq.], title 10 (including a law enacted pursuant to section 8677(a) of title 10), or chapters 1 to 11 of title 40 and division C (except sections 3302, 3307(e), 3501(b), 3509, 3906, 4710, and 4711) of subtitle I of title 41, and (ii) is not being made in conjunction with an intelligence or intelligence-related activity. (3) An intelligence agency may not transfer any defense articles or defense services outside the agency in conjunction with any intelligence or intelligence-related activity for which funds were denied by the Congress. (b) As used in this section—(1) the term “intelligence agency” means any department, agency, or other entity of the United States involved in intelligence or intelligence-related activities; (2) the terms “defense articles” and “defense services” mean the items on the United States Munitions List pursuant to section 38 of the Arms Export Control Act [22 U.S.C. 2778] (22 CFR part 121); (3) the term “transfer” means—(A) in the case of defense articles, the transfer of possession of those articles; and (B) in the case of defense services, the provision of those services; and (4) the term “value” means—(A) in the case of defense articles, the greater of—(i) the original acquisition cost to the United States Government, plus the cost of improvements or other modifications made by or on behalf of the Government; or (ii) the replacement cost; and (B) in the case of defense services, the full cost to the Government of providing the services.

50 U.S.C. § 3096 Specificity of National Intelligence Program budget amounts for counterterrorism, counterproliferation, counternarcotics, and counterintelligence

(a) In generalThe budget justification materials submitted to Congress in support of the budget of the President for a fiscal year that is submitted to Congress under section 1105(a) of title 31 shall set forth separately the aggregate amount requested for that fiscal year for the National Intelligence Program for each of the following:(1) Counterterrorism. (2) Counterproliferation. (3) Counternarcotics. (4) Counterintelligence. (b) Election of classified or unclassified formAmounts set forth under subsection (a) may be set forth in unclassified form or classified form, at the election of the Director of National Intelligence.

50 U.S.C. § 3097 Budget treatment of costs of acquisition of major systems by the intelligence community

(a) Independent cost estimates(1) The Director of National Intelligence shall, in consultation with the head of each element of the intelligence community concerned, prepare an independent cost estimate of the full life-cycle cost of development, procurement, and operation of each major system to be acquired by the intelligence community. (2)(A) Each independent cost estimate for a major system shall, to the maximum extent practicable, specify the amount required to be appropriated and obligated to develop, procure, and operate the major system in each fiscal year of the proposed period of development, procurement, and operation of the major system. (B) For major system acquisitions requiring a service or capability from another acquisition or program to deliver the end-to-end functionality for the intelligence community end users, independent cost estimates shall include, to the maximum extent practicable, all estimated costs across all pertinent elements of the intelligence community. For collection programs, such cost estimates shall include the cost of new analyst training, new hardware and software for data exploitation and analysis, and any unique or additional costs for data processing, storing, and power, space, and cooling across the life cycle of the program. If such costs for processing, exploitation, dissemination, and storage are scheduled to be executed in other elements of the intelligence community, the independent cost estimate shall identify and annotate such costs for such other elements accordingly. (3)(A) In the case of a program of the intelligence community that qualifies as a major system, an independent cost estimate shall be prepared before the submission to Congress of the budget of the President for the first fiscal year in which appropriated funds are anticipated to be obligated for the development or procurement of such major system. (B) In the case of a program of the intelligence community for which an independent cost estimate was not previously required to be prepared under this section, including a program for which development or procurement commenced before December 13, 2003, if the aggregate future costs of development or procurement (or any combination of such activities) of the program will exceed $500,000,000 (in current fiscal year dollars), the program shall qualify as a major system for purposes of this section, and an independent cost estimate for such major system shall be prepared before the submission to Congress of the budget of the President for the first fiscal year thereafter in which appropriated funds are anticipated to be obligated for such major system. (4) The independent cost estimate for a major system shall be updated upon—(A) the completion of any preliminary design review associated with the major system; (B) any significant modification to the anticipated design of the major system; or (C) any change in circumstances that renders the current independent cost estimate for the major system inaccurate. (5) Any update of an independent cost estimate for a major system under paragraph (4) shall meet all requirements for independent cost estimates under this section, and shall be treated as the most current independent cost estimate for the major system until further updated under that paragraph. (b) Preparation of independent cost estimates(1) The Director shall establish within the Office of the Director of National Intelligence for Community Management an office which shall be responsible for preparing independent cost estimates, and any updates thereof, under subsection (a), unless a designation is made under paragraph (2). (2) In the case of the acquisition of a major system for an element of the intelligence community within the Department of Defense, the Director and the Secretary of Defense shall provide that the independent cost estimate, and any updates thereof, under subsection (a) be prepared by an entity jointly designated by the Director and the Secretary in accordance with section 2434(b)(1)(A) 11 See References in Text note below. of title 10. (c) Utilization in budgets of President(1) If the budget of the President requests appropriations for any fiscal year for the development or procurement of a major system by the intelligence community, the President shall, subject to paragraph (2), request in such budget an amount of appropriations for the development or procurement, as the case may be, of the major system that is equivalent to the amount of appropriations identified in the most current independent cost estimate for the major system for obligation for each fiscal year for which appropriations are requested for the major system in such budget. (2) If the amount of appropriations requested in the budget of the President for the development or procurement of a major system is less than the amount of appropriations identified in the most current independent cost estimate for the major system for obligation for each fiscal year for which appropriations are requested for the major system in such budget, the President shall include in the budget justification materials submitted to Congress in support of such budget—(A) an explanation for the difference between the amount of appropriations requested and the amount of appropriations identified in the most current independent cost estimate; (B) a description of the importance of the major system to the national security; (C) an assessment of the consequences for the funding of all programs of the National Intelligence Program in future fiscal years if the most current independent cost estimate for the major system is accurate and additional appropriations are required in future fiscal years to ensure the continued development or procurement of the major system, including the consequences of such funding shortfalls on the major system and all other programs of the National Intelligence Program; and (D) such other information on the funding of the major system as the President considers appropriate. (d) Inclusion of estimates in budget justification materialsThe budget justification materials submitted to Congress in support of the budget of the President shall include the most current independent cost estimate under this section for each major system for which appropriations are requested in such budget for any fiscal year. (e) DefinitionsIn this section:(1) The term “budget of the President” means the budget of the President for a fiscal year as submitted to Congress under section 1105(a) of title 31. (2)(A) The term “independent cost estimate” means a pragmatic and neutral analysis, assessment, and quantification of all costs and risks associated with the development, acquisition, procurement, operation, and sustainment of a major system across its proposed life cycle, which shall be based on programmatic and technical specifications provided by the office within the element of the intelligence community with primary responsibility for the development, procurement, or operation of the major system. (B) In accordance with subsection (a)(2)(B), each independent cost estimate shall include all costs required across elements of the intelligence community to develop, acquire, procure, operate, and sustain the system to provide the end-to-end intelligence functionality of the system, including—(i) for collection programs, the cost of new analyst training, new hardware and software for data exploitation and analysis, and any unique or additional costs for data processing, storing, and power, space, and cooling across the life cycle of the program; and (ii) costs for processing, exploitation, dissemination, and storage scheduled to be executed in other elements of the intelligence community. (3) The term “major system” means any significant program of an element of the intelligence community with projected total development and procurement costs exceeding $500,000,000 (based on fiscal year 2010 constant dollars), which costs shall include all end-to-end program costs, including costs associated with the development and procurement of the program and any other costs associated with the development and procurement of systems required to support or utilize the program.

50 U.S.C. § 3099 Vulnerability assessments of major systems

(a) Initial vulnerability assessments(1)(A) Except as provided in subparagraph (B), the Director of National Intelligence shall conduct and submit to the congressional intelligence committees an initial vulnerability assessment for each major system and its significant items of supply—(i) except as provided in clause (ii), prior to the completion of Milestone B or an equivalent acquisition decision for the major system; or (ii) prior to the date that is 1 year after October 7, 2010, in the case of a major system for which Milestone B or an equivalent acquisition decision—(I) was completed prior to such date; or (II) is completed on a date during the 180-day period following such date. (B) The Director may submit to the congressional intelligence committees an initial vulnerability assessment required by clause (ii) of subparagraph (A) not later than 180 days after the date such assessment is required to be submitted under such clause if the Director notifies the congressional intelligence committees of the extension of the submission date under this subparagraph and provides a justification for such extension. (C) The initial vulnerability assessment of a major system and its significant items of supply shall include use of an analysis-based approach to—(i) identify vulnerabilities; (ii) define exploitation potential; (iii) examine the system’s potential effectiveness; (iv) determine overall vulnerability; and (v) make recommendations for risk reduction. (2) If an initial vulnerability assessment for a major system is not submitted to the congressional intelligence committees as required by paragraph (1), funds appropriated for the acquisition of the major system may not be obligated for a major contract related to the major system. Such prohibition on the obligation of funds for the acquisition of the major system shall cease to apply on the date on which the congressional intelligence committees receive the initial vulnerability assessment. (b) Subsequent vulnerability assessments(1) The Director of National Intelligence shall, periodically throughout the procurement of a major system or if the Director determines that a change in circumstances warrants the issuance of a subsequent vulnerability assessment, conduct a subsequent vulnerability assessment of each major system and its significant items of supply within the National Intelligence Program. (2) Upon the request of a congressional intelligence committee, the Director of National Intelligence may, if appropriate, recertify the previous vulnerability assessment or may conduct a subsequent vulnerability assessment of a particular major system and its significant items of supply within the National Intelligence Program. (3) Any subsequent vulnerability assessment of a major system and its significant items of supply shall include use of an analysis-based approach and, if applicable, a testing-based approach, to monitor the exploitation potential of such system and reexamine the factors described in clauses (i) through (v) of subsection (a)(1)(C). (c) Major system managementThe Director of National Intelligence shall give due consideration to the vulnerability assessments prepared for a given major system when developing and determining the National Intelligence Program budget. (d) Congressional oversight(1) The Director of National Intelligence shall provide to the congressional intelligence committees a copy of each vulnerability assessment conducted under subsection (a) or (b) not later than 10 days after the date of the completion of such assessment. (2) The Director of National Intelligence shall provide the congressional intelligence committees with a proposed schedule for subsequent periodic vulnerability assessments of a major system under subsection (b)(1) when providing such committees with the initial vulnerability assessment under subsection (a) of such system as required by paragraph (1). (e) DefinitionsIn this section:(1) The term “item of supply” has the meaning given that term in section 4(10) 11 See References in Text note below. of the Office of Federal Procurement Policy Act (41 U.S.C. 403(10)). (2) The term “major contract” means each of the 6 largest prime, associate, or Government-furnished equipment contracts under a major system that is in excess of $40,000,000 and that is not a firm, fixed price contract. (3) The term “major system” has the meaning given that term in section 3097(e) of this title. (4) The term “Milestone B” means a decision to enter into major system development and demonstration pursuant to guidance prescribed by the Director of National Intelligence. (5) The term “vulnerability assessment” means the process of identifying and quantifying vulnerabilities in a major system and its significant items of supply.

50 U.S.C. § 3100 Intelligence community business system transformation

(a) Limitation on obligation of funds(1) Subject to paragraph (3), no funds appropriated to any element of the intelligence community may be obligated for an intelligence community business system transformation that will have a total cost in excess of $3,000,000 unless—(A) the Director of the Office of Business Transformation of the Office of the Director of National Intelligence makes a certification described in paragraph (2) with respect to such intelligence community business system transformation; and (B) such certification is approved by the board established under subsection (f). (2) The certification described in this paragraph for an intelligence community business system transformation is a certification made by the Director of the Office of Business Transformation of the Office of the Director of National Intelligence that the intelligence community business system transformation—(A) complies with the enterprise architecture under subsection (b) and such other policies and standards that the Director of National Intelligence considers appropriate; or (B) is necessary—(i) to achieve a critical national security capability or address a critical requirement; or (ii) to prevent a significant adverse effect on a project that is needed to achieve an essential capability, taking into consideration any alternative solutions for preventing such adverse effect. (3) With respect to a fiscal year after fiscal year 2010, the amount referred to in paragraph (1) in the matter preceding subparagraph (A) shall be equal to the sum of—(A) the amount in effect under such paragraph (1) for the preceding fiscal year (determined after application of this paragraph), plus (B) such amount multiplied by the annual percentage increase in the consumer price index (all items; U.S. city average) as of September of the previous fiscal year. (b) Enterprise architecture for intelligence community business systems(1) The Director of National Intelligence shall, acting through the board established under subsection (f), develop and implement an enterprise architecture to cover all intelligence community business systems, and the functions and activities supported by such business systems. The enterprise architecture shall be sufficiently defined to effectively guide, constrain, and permit implementation of interoperable intelligence community business system solutions, consistent with applicable policies and procedures established by the Director of the Office of Management and Budget. (2) The enterprise architecture under paragraph (1) shall include the following:(A) An information infrastructure that will enable the intelligence community to—(i) comply with all Federal accounting, financial management, and reporting requirements; (ii) routinely produce timely, accurate, and reliable financial information for management purposes; (iii) integrate budget, accounting, and program information and systems; and (iv) provide for the measurement of performance, including the ability to produce timely, relevant, and reliable cost information. (B) Policies, procedures, data standards, and system interface requirements that apply uniformly throughout the intelligence community. (c) Responsibilities for intelligence community business system transformationThe Director of National Intelligence shall be responsible for the entire life cycle of an intelligence community business system transformation, including review, approval, and oversight of the planning, design, acquisition, deployment, operation, and maintenance of the business system transformation. (d) Intelligence community business system investment review(1) The Director of the Office of Business Transformation of the Office of the Director of National Intelligence shall establish and implement, not later than 60 days after October 7, 2010, an investment review process for the intelligence community business systems for which the Director of the Office of Business Transformation is responsible. (2) The investment review process under paragraph (1) shall—(A) meet the requirements of section 11312 of title 40; and (B) specifically set forth the responsibilities of the Director of the Office of Business Transformation under such review process. (3) The investment review process under paragraph (1) shall include the following elements:(A) Review and approval by an investment review board (consisting of appropriate representatives of the intelligence community) of each intelligence community business system as an investment before the obligation of funds for such system. (B) Periodic review, but not less often than annually, of every intelligence community business system investment. (C) Thresholds for levels of review to ensure appropriate review of intelligence community business system investments depending on the scope, complexity, and cost of the system involved. (D) Procedures for making certifications in accordance with the requirements of subsection (a)(2). (e) Repealed. Pub. L. 112–277, title III, § 310(a)(3), Jan. 14, 2013, 126 Stat. 2475 (f) Intelligence community business system transformation governance board(1) The Director of National Intelligence shall establish a board within the intelligence community business system transformation governance structure (in this subsection referred to as the “Board”). (2) The Board shall—(A) recommend to the Director policies and procedures necessary to effectively integrate all business activities and any transformation, reform, reorganization, or process improvement initiatives undertaken within the intelligence community; (B) review and approve any major update of—(i) the enterprise architecture developed under subsection (b); and (ii) any plans for an intelligence community business systems modernization; (C) manage cross-domain integration consistent with such enterprise architecture; (D) coordinate initiatives for intelligence community business system transformation to maximize benefits and minimize costs for the intelligence community, and periodically report to the Director on the status of efforts to carry out an intelligence community business system transformation; (E) ensure that funds are obligated for intelligence community business system transformation in a manner consistent with subsection (a); and (F) carry out such other duties as the Director shall specify. (g) Relation to annual registration requirementsNothing in this section shall be construed to alter the requirements of section 8083 of the Department of Defense Appropriations Act, 2005 (Public Law 108–287; 118 Stat. 989), with regard to information technology systems (as defined in subsection (d) of such section). (h) Relationship to defense business enterprise architectureNothing in this section shall be construed to exempt funds authorized to be appropriated to the Department of Defense from the requirements of section 2222 of title 10 to the extent that such requirements are otherwise applicable. (i) Relation to Clinger-Cohen Act(1) Executive agency responsibilities in chapter 113 of title 40 for any intelligence community business system transformation shall be exercised jointly by—(A) the Director of National Intelligence and the Chief Information Officer of the Intelligence Community; and (B) the head of the executive agency that contains the element of the intelligence community involved and the chief information officer of that executive agency. (2) The Director of National Intelligence and the head of the executive agency referred to in paragraph (1)(B) shall enter into a Memorandum of Understanding to carry out the requirements of this section in a manner that best meets the needs of the intelligence community and the executive agency. (j) ReportsNot later than March 31 of each of the years 2011 through 2014, the Director of National Intelligence shall submit to the congressional intelligence committees a report on the compliance of the intelligence community with the requirements of this section. Each such report shall—(1) describe actions taken and proposed for meeting the requirements of subsection (a), including—(A) specific milestones and actual performance against specified performance measures, and any revision of such milestones and performance measures; and (B) specific actions on the intelligence community business system transformations submitted for certification under such subsection; (2) identify the number of intelligence community business system transformations that received a certification described in subsection (a)(2); and (3) describe specific improvements in business operations and cost savings resulting from successful intelligence community business systems transformation efforts. (k) DefinitionsIn this section:(1) The term “enterprise architecture” has the meaning given that term in section 3601(4) of title 44. (2) The terms “information system” and “information technology” have the meanings given those terms in section 11101 of title 40. (3) The term “intelligence community business system” means an information system, including a national security system, that is operated by, for, or on behalf of an element of the intelligence community, including a financial system, mixed system, financial data feeder system, and the business infrastructure capabilities shared by the systems of the business enterprise architecture, including people, process, and technology, that build upon the core infrastructure used to support business activities, such as acquisition, financial management, logistics, strategic planning and budgeting, installations and environment, and human resource management. (4) The term “intelligence community business system transformation” means—(A) the acquisition or development of a new intelligence community business system; or (B) any significant modification or enhancement of an existing intelligence community business system (other than necessary to maintain current services). (5) The term “national security system” has the meaning given that term in section 3542 11 See References in Text note below. of title 44. (6) The term “Office of Business Transformation of the Office of the Director of National Intelligence” includes any successor office that assumes the functions of the Office of Business Transformation of the Office of the Director of National Intelligence as carried out by the Office of Business Transformation on October 7, 2010.

50 U.S.C. § 3101 Reports on the acquisition of major systems

(a) DefinitionsIn this section:(1) The term “cost estimate”—(A) means an assessment and quantification of all costs and risks associated with the acquisition of a major system based upon reasonably available information at the time the Director establishes the 2010 adjusted total acquisition cost for such system pursuant to subsection (h) or restructures such system pursuant to section 3102(c) of this title; and (B) does not mean an “independent cost estimate”. (2) The term “critical cost growth threshold” means a percentage increase in the total acquisition cost for a major system of at least 25 percent over the total acquisition cost for the major system as shown in the current Baseline Estimate for the major system. (3)(A) The term “current Baseline Estimate” means the projected total acquisition cost of a major system that is—(i) approved by the Director, or a designee of the Director, at Milestone B or an equivalent acquisition decision for the development, procurement, and construction of such system; (ii) approved by the Director at the time such system is restructured pursuant to section 3102(c) of this title; or (iii) the 2010 adjusted total acquisition cost determined pursuant to subsection (h). (B) A current Baseline Estimate may be in the form of an independent cost estimate. (4) Except as otherwise specifically provided, the term “Director” means the Director of National Intelligence. (5) The term “independent cost estimate” has the meaning given that term in section 3097(e) of this title. (6) The term “major contract” means each of the 6 largest prime, associate, or Government-furnished equipment contracts under a major system that is in excess of $40,000,000 and that is not a firm, fixed price contract. (7) The term “major system” has the meaning given that term in section 3097(e) of this title. (8) The term “Milestone B” means a decision to enter into major system development and demonstration pursuant to guidance prescribed by the Director. (9) The term “program manager” means—(A) the head of the element of the intelligence community that is responsible for the budget, cost, schedule, and performance of a major system; or (B) in the case of a major system within the Office of the Director of National Intelligence, the deputy who is responsible for the budget, cost, schedule, and performance of the major system. (10) The term “significant cost growth threshold” means the percentage increase in the total acquisition cost for a major system of at least 15 percent over the total acquisition cost for such system as shown in the current Baseline Estimate for such system. (11) The term “total acquisition cost” means the amount equal to the total cost for development and procurement of, and system-specific construction for, a major system. (b) Major system cost reports(1) The program manager for a major system shall, on a quarterly basis, submit to the Director a major system cost report as described in paragraph (2). (2) A major system cost report shall include the following information (as of the last day of the quarter for which the report is made):(A) The total acquisition cost for the major system. (B) Any cost variance or schedule variance in a major contract for the major system since the contract was entered into. (C) Any changes from a major system schedule milestones or performances that are known, expected, or anticipated by the program manager. (D) Any significant changes in the total acquisition cost for development and procurement of any software component of the major system, schedule milestones for such software component of the major system, or expected performance of such software component of the major system that are known, expected, or anticipated by the program manager. (3) Each major system cost report required by paragraph (1) shall be submitted not more than 30 days after the end of the reporting quarter. (c) Reports for breach of significant or critical cost growth thresholdsIf the program manager of a major system for which a report has previously been submitted under subsection (b) determines at any time during a quarter that there is reasonable cause to believe that the total acquisition cost for the major system has increased by a percentage equal to or greater than the significant cost growth threshold or critical cost growth threshold and if a report indicating an increase of such percentage or more has not previously been submitted to the Director, then the program manager shall immediately submit to the Director a major system cost report containing the information, determined as of the date of the report, required under subsection (b). (d) Notification to Congress of cost growth(1) Whenever a major system cost report is submitted to the Director, the Director shall determine whether the current acquisition cost for the major system has increased by a percentage equal to or greater than the significant cost growth threshold or the critical cost growth threshold. (2) If the Director determines that the current total acquisition cost has increased by a percentage equal to or greater than the significant cost growth threshold or critical cost growth threshold, the Director shall submit to Congress a Major System Congressional Report pursuant to subsection (e). (e) Requirement for Major System Congressional Report(1) Whenever the Director determines under subsection (d) that the total acquisition cost of a major system has increased by a percentage equal to or greater than the significant cost growth threshold for the major system, a Major System Congressional Report shall be submitted to Congress not later than 45 days after the date on which the Director receives the major system cost report for such major system. (2) If the total acquisition cost of a major system (as determined by the Director under subsection (d)) increases by a percentage equal to or greater than the critical cost growth threshold for the program or subprogram, the Director shall take actions consistent with the requirements of section 3102 of this title. (f) Major System Congressional Report elements(1) Except as provided in paragraph (2), each Major System Congressional Report shall include the following:(A) The name of the major system. (B) The date of the preparation of the report. (C) The program phase of the major system as of the date of the preparation of the report. (D) The estimate of the total acquisition cost for the major system expressed in constant base-year dollars and in current dollars. (E) The current Baseline Estimate for the major system in constant base-year dollars and in current dollars. (F) A statement of the reasons for any increase in total acquisition cost for the major system. (G) The completion status of the major system—(i) expressed as the percentage that the number of years for which funds have been appropriated for the major system is of the number of years for which it is planned that funds will be appropriated for the major system; and (ii) expressed as the percentage that the amount of funds that have been appropriated for the major system is of the total amount of funds which it is planned will be appropriated for the major system. (H) The fiscal year in which the major system was first authorized and in which funds for such system were first appropriated by Congress. (I) The current change and the total change, in dollars and expressed as a percentage, in the total acquisition cost for the major system, stated both in constant base-year dollars and in current dollars. (J) The quantity of end items to be acquired under the major system and the current change and total change, if any, in that quantity. (K) The identities of the officers responsible for management and cost control of the major system. (L) The action taken and proposed to be taken to control future cost growth of the major system. (M) Any changes made in the performance or schedule milestones of the major system and the extent to which such changes have contributed to the increase in total acquisition cost for the major system. (N) The following contract performance assessment information with respect to each major contract under the major system:(i) The name of the contractor. (ii) The phase that the contract is in at the time of the preparation of the report. (iii) The percentage of work under the contract that has been completed. (iv) Any current change and the total change, in dollars and expressed as a percentage, in the contract cost. (v) The percentage by which the contract is currently ahead of or behind schedule. (vi) A narrative providing a summary explanation of the most significant occurrences, including cost and schedule variances under major contracts of the major system, contributing to the changes identified and a discussion of the effect these occurrences will have on the future costs and schedule of the major system. (O) In any case in which one or more problems with a software component of the major system significantly contributed to the increase in costs of the major system, the action taken and proposed to be taken to solve such problems. (2) A Major System Congressional Report prepared for a major system for which the increase in the total acquisition cost is due to termination or cancellation of the entire major system shall include only—(A) the information described in subparagraphs (A) through (F) of paragraph (1); and (B) the total percentage change in total acquisition cost for such system. (g) Prohibition on obligation of fundsIf a determination of an increase by a percentage equal to or greater than the significant cost growth threshold is made by the Director under subsection (d) and a Major System Congressional Report containing the information described in subsection (f) is not submitted to Congress under subsection (e)(1), or if a determination of an increase by a percentage equal to or greater than the critical cost growth threshold is made by the Director under subsection (d) and the Major System Congressional Report containing the information described in subsection (f) and section 3102(b)(3) of this title and the certification required by section 3102(b)(2) of this title are not submitted to Congress under subsection (e)(2), funds appropriated for construction, research, development, test, evaluation, and procurement may not be obligated for a major contract under the major system. The prohibition on the obligation of funds for a major system shall cease to apply at the end of the 45-day period that begins on the date—(1) on which Congress receives the Major System Congressional Report under subsection (e)(1) with respect to that major system, in the case of a determination of an increase by a percentage equal to or greater than the significant cost growth threshold (as determined in subsection (d)); or (2) on which Congress receives both the Major System Congressional Report under subsection (e)(2) and the certification of the Director under section 3102(b)(2) of this title with respect to that major system, in the case of an increase by a percentage equal to or greater than the critical cost growth threshold (as determined under subsection (d)). (h) Treatment of cost increases prior to October 7, 2010(1) Not later than 180 days after October 7, 2010, the Director—(A) shall, for each major system, determine if the total acquisition cost of such major system increased by a percentage equal to or greater than the significant cost growth threshold or the critical cost growth threshold prior to such date; (B) shall establish for each major system for which the total acquisition cost has increased by a percentage equal to or greater than the significant cost growth threshold or the critical cost growth threshold prior to such date a revised current Baseline Estimate based upon an updated cost estimate; (C) may, for a major system not described in subparagraph (B), establish a revised current Baseline Estimate based upon an updated cost estimate; and (D) shall submit to Congress a report describing—(i) each determination made under subparagraph (A); (ii) each revised current Baseline Estimate established for a major system under subparagraph (B); and (iii) each revised current Baseline Estimate established for a major system under subparagraph (C), including the percentage increase of the total acquisition cost of such major system that occurred prior to October 7, 2010. (2) The revised current Baseline Estimate established for a major system under subparagraph (B) or (C) of paragraph (1) shall be the 2010 adjusted total acquisition cost for the major system and may include the estimated cost of conducting any vulnerability assessments for such major system required under section 3099 of this title. (i) Requirements to use base year dollarsAny determination of a percentage increase under this section shall be stated in terms of constant base year dollars. (j) Form of reportAny report required to be submitted under this section may be submitted in a classified form.

50 U.S.C. § 3102 Critical cost growth in major systems

(a) Reassessment of major systemIf the Director of National Intelligence determines under section 3101(d) of this title that the total acquisition cost of a major system has increased by a percentage equal to or greater than the critical cost growth threshold for the major system, the Director shall—(1) determine the root cause or causes of the critical cost growth, in accordance with applicable statutory requirements, policies, procedures, and guidance; and (2) carry out an assessment of—(A) the projected cost of completing the major system if current requirements are not modified; (B) the projected cost of completing the major system based on reasonable modification of such requirements; (C) the rough order of magnitude of the costs of any reasonable alternative system or capability; and (D) the need to reduce funding for other systems due to the growth in cost of the major system. (b) Presumption of termination(1) After conducting the reassessment required by subsection (a) with respect to a major system, the Director shall terminate the major system unless the Director submits to Congress a Major System Congressional Report containing a certification in accordance with paragraph (2) and the information described in paragraph (3). The Director shall submit such Major System Congressional Report and certification not later than 90 days after the date the Director receives the relevant major system cost report under subsection (b) or (c) of section 3101 of this title. (2) A certification described by this paragraph with respect to a major system is a written certification that—(A) the continuation of the major system is essential to the national security; (B) there are no alternatives to the major system that will provide acceptable capability to meet the intelligence requirement at less cost; (C) the new estimates of the total acquisition cost have been determined by the Director to be reasonable; (D) the major system is a higher priority than other systems whose funding must be reduced to accommodate the growth in cost of the major system; and (E) the management structure for the major system is adequate to manage and control the total acquisition cost. (3) A Major System Congressional Report accompanying a written certification under paragraph (2) shall include, in addition to the requirements of section 3101(e) of this title, the root cause analysis and assessment carried out pursuant to subsection (a), the basis for each determination made in accordance with subparagraphs (A) through (E) of paragraph (2), and a description of all funding changes made as a result of the growth in the cost of the major system, including reductions made in funding for other systems to accommodate such cost growth, together with supporting documentation. (c) Actions if major system not terminatedIf the Director elects not to terminate a major system pursuant to subsection (b), the Director shall—(1) restructure the major system in a manner that addresses the root cause or causes of the critical cost growth, as identified pursuant to subsection (a), and ensures that the system has an appropriate management structure as set forth in the certification submitted pursuant to subsection (b)(2)(E); (2) rescind the most recent Milestone approval for the major system; (3) require a new Milestone approval for the major system before taking any action to enter a new contract, exercise an option under an existing contract, or otherwise extend the scope of an existing contract under the system, except to the extent determined necessary by the Milestone Decision Authority, on a nondelegable basis, to ensure that the system may be restructured as intended by the Director without unnecessarily wasting resources; (4) establish a revised current Baseline Estimate for the major system based upon an updated cost estimate; and (5) conduct regular reviews of the major system. (d) Actions if major system terminatedIf a major system is terminated pursuant to subsection (b), the Director shall submit to Congress a written report setting forth—(1) an explanation of the reasons for terminating the major system; (2) the alternatives considered to address any problems in the major system; and (3) the course the Director plans to pursue to meet any intelligence requirements otherwise intended to be met by the major system. (e) Form of reportAny report or certification required to be submitted under this section may be submitted in a classified form. (f) Waiver(1) The Director may waive the requirements of subsections (d)(2), (e), and (g) of section 3101 of this title and subsections (a)(2), (b), (c), and (d) of this section with respect to a major system if the Director determines that at least 90 percent of the amount of the current Baseline Estimate for the major system has been expended. (2)(A) If the Director grants a waiver under paragraph (1) with respect to a major system, the Director shall submit to the congressional intelligence committees written notice of the waiver that includes—(i) the information described in section 3101(f) of this title; and (ii) if the current total acquisition cost of the major system has increased by a percentage equal to or greater than the critical cost growth threshold—(I) a determination of the root cause or causes of the critical cost growth, as described in subsection (a)(1); and (II) a certification that includes the elements described in subparagraphs (A), (B), and (E) of subsection (b)(2). (B) The Director shall submit the written notice required by subparagraph (A) not later than 90 days after the date that the Director receives a major system cost report under subsection (b) or (c) of section 3101 of this title that indicates that the total acquisition cost for the major system has increased by a percentage equal to or greater than the significant cost growth threshold or critical cost growth threshold. (g) DefinitionsIn this section, the terms “cost estimate”, “critical cost growth threshold”, “current Baseline Estimate”, “major system”, and “total acquisition cost” have the meaning given those terms in section 3101(a) of this title.

50 U.S.C. § 3103 Future budget projections

(a) Future Year Intelligence Plans(1) The Director of National Intelligence, with the concurrence of the Director of the Office of Management and Budget, shall provide to the congressional intelligence committees a Future Year Intelligence Plan, as described in paragraph (2), for—(A) each expenditure center in the National Intelligence Program; and (B) each major system in the National Intelligence Program. (2)(A) A Future Year Intelligence Plan submitted under this subsection shall include the year-by-year proposed funding for each center or system referred to in subparagraph (A) or (B) of paragraph (1), for the budget year for which the Plan is submitted and not less than the 4 subsequent fiscal years. (B) A Future Year Intelligence Plan submitted under subparagraph (B) of paragraph (1) for a major system shall include—(i) the estimated total life-cycle cost of such major system; and (ii) major milestones that have significant resource implications for such major system. (b) Long-term Budget Projections(1) The Director of National Intelligence, with the concurrence of the Director of the Office of Management and Budget, shall provide to the congressional intelligence committees a Long-term Budget Projection for each element of the intelligence community funded under the National Intelligence Program acquiring a major system that includes the budget for such element for the 5-year period that begins on the day after the end of the last fiscal year for which year-by-year proposed funding is included in a Future Year Intelligence Plan for such major system in accordance with subsection (a)(2)(A). (2) A Long-term Budget Projection submitted under paragraph (1) shall include—(A) projections for the appropriate element of the intelligence community for—(i) pay and benefits of officers and employees of such element; (ii) other operating and support costs and minor acquisitions of such element; (iii) research and technology required by such element; (iv) current and planned major system acquisitions for such element; (v) any future major system acquisitions for such element; and (vi) any additional funding projections that the Director of National Intelligence considers appropriate; (B) a budget projection based on effective cost and schedule execution of current or planned major system acquisitions and application of Office of Management and Budget inflation estimates to future major system acquisitions; (C) any additional assumptions and projections that the Director of National Intelligence considers appropriate; and (D) a description of whether, and to what extent, the total projection for each year exceeds the level that would result from applying the most recent Office of Management and Budget inflation estimate to the budget of that element of the intelligence community. (c) Submission to CongressThe Director of National Intelligence, with the concurrence of the Director of the Office of Management and Budget, shall submit to the congressional intelligence committees each Future Year Intelligence Plan or Long-term Budget Projection required under subsection (a) or (b) for a fiscal year at the time that the President submits to Congress the budget for such fiscal year pursuant to section 1105 of title 31. (d) Major system affordability report(1) The Director of National Intelligence, with the concurrence of the Director of the Office of Management and Budget, shall prepare a report on the acquisition of a major system funded under the National Intelligence Program before the time that the President submits to Congress the budget for the first fiscal year in which appropriated funds are anticipated to be obligated for the development or procurement of such major system. (2) The report on such major system shall include an assessment of whether, and to what extent, such acquisition, if developed, procured, and operated, is projected to cause an increase in the most recent Future Year Intelligence Plan and Long-term Budget Projection submitted under this section for an element of the intelligence community. (3) The Director of National Intelligence shall update the report whenever an independent cost estimate must be updated pursuant to section 3097(a)(4) of this title. (4) The Director of National Intelligence shall submit each report required by this subsection at the time that the President submits to Congress the budget for a fiscal year pursuant to section 1105 of title 31. (e) DefinitionsIn this section:(1) Budget yearThe term “budget year” means the next fiscal year for which the President is required to submit to Congress a budget pursuant to section 1105 of title 31. (2) Independent cost estimate; major systemThe terms “independent cost estimate” and “major system” have the meaning given those terms in section 3097(e) of this title.

50 U.S.C. § 3104 Reports on security clearances

(a) Report on security clearance determinations(1) Not later than February 1 of each year, the President shall submit to Congress a report on the security clearance process. Such report shall include, for each security clearance level—(A) the number of employees of the United States Government who—(i) held a security clearance at such level as of October 1 of the preceding year; and (ii) were approved for a security clearance at such level during the preceding fiscal year; and (B) the number of contractors to the United States Government who—(i) held a security clearance at such level as of October 1 of the preceding year; and (ii) were approved for a security clearance at such level during the preceding fiscal year. (2) For purposes of paragraph (1), the President may consider—(A) security clearances at the level of confidential and secret as one security clearance level; and (B) security clearances at the level of top secret or higher as one security clearance level. (b) Intelligence community reports(1)(A) Not later than March 1 of each year, the Director of National Intelligence shall submit a report to the congressional intelligence committees, the Committee on Homeland Security and Governmental Affairs of the Senate, the Committee on Homeland Security of the House of Representatives, and the Committee on Oversight and Reform of the House of Representatives regarding the security clearances processed by each element of the intelligence community during the preceding fiscal year. (B) The Director shall submit to the Committee on Armed Services of the Senate and the Committee on Armed Services of the House of Representatives such portions of the report submitted under subparagraph (A) as the Director determines address elements of the intelligence community that are within the Department of Defense. (C) Each report submitted under this paragraph shall separately identify security clearances processed for Federal employees and contractor employees sponsored by each such element. (2) Each report submitted under paragraph (1)(A) shall include, for each element of the intelligence community for the fiscal year covered by the report, the following:(A) The total number of initial security clearance background investigations sponsored for new applicants. (B) The total number of security clearance periodic reinvestigations sponsored for existing employees. (C) The total number of initial security clearance background investigations for new applicants that were adjudicated with notice of a determination provided to the prospective applicant, including—(i) the total number of such adjudications that were adjudicated favorably and granted access to classified information; and (ii) the total number of such adjudications that were adjudicated unfavorably and resulted in a denial or revocation of a security clearance. (D) The total number of security clearance periodic background investigations that were adjudicated with notice of a determination provided to the existing employee, including—(i) the total number of such adjudications that were adjudicated favorably; and (ii) the total number of such adjudications that were adjudicated unfavorably and resulted in a denial or revocation of a security clearance. (E) The total number of pending security clearance background investigations, including initial applicant investigations and periodic reinvestigations, that were not adjudicated as of the last day of such year and that remained pending, categorized as follows:(i) For 180 days or shorter. (ii) For longer than 180 days, but shorter than 12 months. (iii) For 12 months or longer, but shorter than 18 months. (iv) For 18 months or longer, but shorter than 24 months. (v) For 24 months or longer. (F) For any security clearance determinations completed or pending during the year preceding the year for which the report is submitted that have taken longer than 12 months to complete—(i) an explanation of the causes for the delays incurred during the period covered by the report; and (ii) the number of such delays involving a polygraph requirement. (G) The percentage of security clearance investigations, including initial and periodic reinvestigations, that resulted in a denial or revocation of a security clearance. (H) The percentage of security clearance investigations that resulted in incomplete information. (I) The percentage of security clearance investigations that did not result in enough information to make a decision on potentially adverse information. (3) The report required under this subsection shall be submitted in unclassified form, but may include a classified annex. (c) FormThe reports required under subsections (a)(1) and (b) shall be submitted in unclassified form, but may include a classified annex.

50 U.S.C. § 3105 Summary of intelligence relating to terrorist recidivism of detainees held at United States Naval Station, Guantanamo Bay, Cuba

(a) In generalThe Director of National Intelligence, in consultation with the Director of the Central Intelligence Agency and the Director of the Defense Intelligence Agency, shall make publicly available an unclassified summary of—(1) intelligence relating to recidivism of detainees currently or formerly held at the Naval Detention Facility at Guantanamo Bay, Cuba, by the Department of Defense; and (2) an assessment of the likelihood that such detainees will engage in terrorism or communicate with persons in terrorist organizations. (b) UpdatesNot less frequently than annually, the Director of National Intelligence, in consultation with the Director of the Central Intelligence Agency and the Secretary of Defense, shall update and make publicly available an unclassified summary consisting of the information required by subsection (a) and the number of individuals formerly detained at Naval Station, Guantanamo Bay, Cuba, who are confirmed or suspected of returning to terrorist activities after release or transfer from such Naval Station.

50 U.S.C. § 3105a Classified intelligence budget justification materials

(a) DefinitionsIn this section:(1) BudgetThe term “budget” has the meaning given the term “budget of the President” in section 3097 of this title. (2) Classified intelligence budget justification materialsThe term “classified intelligence budget justification materials” means, with respect to a fiscal year, the materials submitted to Congress by the Director of National Intelligence in support of the budget for that fiscal year that are classified or otherwise protected from public disclosure. (b) Timely submissionNot later than 5 days after the date on which the President submits to Congress the budget for each fiscal year pursuant to section 1105(a) of title 31, the Director of National Intelligence shall submit to the congressional intelligence committees and the Committees on Appropriations of the Senate and the House of Representatives the classified intelligence budget justification materials for the element for that budget.

50 U.S.C. § 3106 Dates for submittal of various annual and semiannual reports to the congressional intelligence committees

(a) Annual reportsThe date for the submittal to the congressional intelligence committees of the following annual reports shall be the date each year provided in subsection (c)(1):(1) The annual report of the Inspectors General of the intelligence community on proposed resources and activities of their offices required by section 416(h) of title 5. (2) The annual report on certifications for immunity in interdiction of aircraft engaged in illicit drug trafficking required by section 2291–4(c)(2) of title 22. (3) The annual report on activities under the David L. Boren National Security Education Act of 1991 (title VIII of Public Law 102–183; 50 U.S.C. 1901 et seq.) required by section 806(a) of that Act (50 U.S.C. 1906(a)). (4) The annual report on hiring and retention of minority employees in the intelligence community required by section 3050(a) of this title. (5) The annual report on financial intelligence on terrorist assets required by section 3055 of this title. (6) An annual report submitted under section 3059(d)(1) of this title. (b) Semiannual reportsThe dates for the submittal to the congressional intelligence committees of the following semiannual reports shall be the dates each year provided in subsection (c)(2):(1) The semiannual reports on decisions not to prosecute certain violations of law under the Classified Information Procedures Act (18 U.S.C. App.) as required by section 13 of that Act. (2) The semiannual reports on the disclosure of information and consumer reports to the Federal Bureau of Investigation for counterintelligence purposes required by section 1681u(h)(2) of title 15.11 See References in Text note below. (3) The semiannual provision of information on requests for financial information for foreign counterintelligence purposes required by section 3414(a)(5)(C) of title 12. (c) Submittal dates for reports(1) Except as provided in subsection (d), each annual report listed in subsection (a) shall be submitted not later than February 1. (2) Except as provided in subsection (d), each semiannual report listed in subsection (b) shall be submitted not later than February 1 and August 1. (d) Postponement of submittal(1) Subject to paragraph (3), the date for the submittal of—(A) an annual report listed in subsection (a) may be postponed until March 1; and (B) a semiannual report listed in subsection (b) may be postponed until March 1 or September 1, as the case may be, if the official required to submit such report submits to the congressional intelligence committees a written notification of such postponement. (2)(A) Notwithstanding any other provision of law and subject to paragraph (3), the date for the submittal to the congressional intelligence committees of any report described in subparagraph (B) may be postponed by not more than 30 days from the date otherwise specified in the provision of law for the submittal of such report if the official required to submit such report submits to the congressional intelligence committees a written notification of such postponement. (B) A report described in this subparagraph is any report on intelligence or intelligence-related activities of the United States Government that is submitted under a provision of law requiring the submittal of only a single report. (3)(A) The date for the submittal of a report whose submittal is postponed under paragraph (1) or (2) may be postponed beyond the time provided for the submittal of such report under such paragraph if the official required to submit such report submits to the congressional intelligence committees a written certification that preparation and submittal of such report at such time will impede the work of officers or employees of the intelligence community in a manner that will be detrimental to the national security of the United States. (B) A certification with respect to a report under subparagraph (A) shall include a proposed submittal date for such report, and such report shall be submitted not later than that date.

50 U.S.C. § 3107 Certification of compliance with oversight requirements

The head of each element of the intelligence community shall annually submit to the congressional intelligence committees— (1) a certification that, to the best of the knowledge of the head of such element—(A) the head of such element is in full compliance with the requirements of this subchapter; and (B) any information required to be submitted by the head of such element under this chapter before the date of the submission of such certification has been properly submitted; or (2) if the head of such element is unable to submit a certification under paragraph (1), a statement—(A) of the reasons the head of such element is unable to submit such a certification; (B) describing any information required to be submitted by the head of such element under this chapter before the date of the submission of such statement that has not been properly submitted; and (C) that the head of such element will submit such information as soon as possible after the submission of such statement.

50 U.S.C. § 3108 Auditability of certain elements of the intelligence community

(a) Requirement for annual auditsThe head of each covered entity shall ensure that there is a full financial audit of such covered entity each year beginning with fiscal year 2014. Such audits may be conducted by an internal or external independent accounting or auditing organization. (b) Requirement for unqualified opinionBeginning as early as practicable, but in no event later than the audit required under subsection (a) for fiscal year 2016, the head of each covered entity shall take all reasonable steps necessary to ensure that each audit required under subsection (a) contains an unqualified opinion on the financial statements of such covered entity for the fiscal year covered by such audit. (c) Reports to CongressThe chief financial officer of each covered entity shall provide to the congressional intelligence committees an annual audit report from an accounting or auditing organization on each audit of the covered entity conducted pursuant to subsection (a). (d) Covered entity definedIn this section, the term “covered entity” means the Office of the Director of National Intelligence, the Central Intelligence Agency, the Defense Intelligence Agency, the National Security Agency, the National Reconnaissance Office, and the National Geospatial-Intelligence Agency.

50 U.S.C. § 3109 Significant interpretations of law concerning intelligence activities

(a) NotificationExcept as provided in subsection (c) and to the extent consistent with due regard for the protection from unauthorized disclosure of classified information relating to sensitive intelligence sources and methods or other exceptionally sensitive matters, the General Counsel of each element of the intelligence community shall notify the congressional intelligence committees, in writing, of any significant legal interpretation of the United States Constitution or Federal law affecting intelligence activities conducted by such element by not later than 30 days after the date of the commencement of any intelligence activity pursuant to such interpretation. (b) ContentEach notification under subsection (a) shall provide a summary of the significant legal interpretation and the intelligence activity or activities conducted pursuant to such interpretation. (c) ExceptionsA notification under subsection (a) shall not be required for a significant legal interpretation if—(1) notice of the significant legal interpretation was previously provided to the congressional intelligence committees under subsection (a); or (2) the significant legal interpretation was made before July 7, 2014. (d) Limited access for covert actionIf the President determines that it is essential to limit access to a covert action finding under section 3093(c)(2) of this title, the President may limit access to information concerning such finding that is subject to notification under this section to those members of Congress who have been granted access to the relevant finding under section 3093(c)(2) of this title.

50 U.S.C. § 3110 Annual report on violations of law or executive order

(a) Annual reports requiredThe Director of National Intelligence shall annually submit to the congressional intelligence committees a report on violations of law or executive order relating to intelligence activities by personnel of an element of the intelligence community that were identified during the previous calendar year. (b) ElementsEach report submitted under subsection (a) shall, consistent with the need to preserve ongoing criminal investigations, include a description of, and any action taken in response to, any violation of law or executive order (including Executive Order No. 12333 (50 U.S.C. 3001 note)) relating to intelligence activities committed by personnel of an element of the intelligence community in the course of the employment of such personnel that, during the previous calendar year, was—(1) determined by the director, head, or general counsel of any element of the intelligence community to have occurred; (2) referred to the Department of Justice for possible criminal prosecution; or (3) substantiated by the inspector general of any element of the intelligence community.

50 U.S.C. § 3111 Briefings and notifications on counterintelligence activities of the Federal Bureau of Investigation

(a) Quarterly briefingsIn addition to, and without any derogation of, the requirement under section 3091 of this title to keep the congressional intelligence committees fully and currently informed of the intelligence and counterintelligence activities of the United States, not less frequently than once each quarter, or more frequently if requested by the congressional intelligence committees, the Director of the Federal Bureau of Investigation shall provide to the congressional intelligence committees a briefing on the counterintelligence activities of the Federal Bureau of Investigation. Such briefings shall include, at a minimum, an overview and update of—(1) the counterintelligence posture of the Bureau; (2) counterintelligence investigations; and (3) any other information relating to the counterintelligence activities of the Bureau that the Director determines necessary. (b) NotificationsIn addition to the quarterly briefings under subsection (a), the Director of the Federal Bureau of Investigation shall promptly notify the congressional intelligence committees of any counterintelligence investigation carried out by the Bureau with respect to any counterintelligence risk or threat that is related to an election or campaign for Federal office. (c) Guidelines(1) Development and consultationThe Director shall develop guidelines governing the scope of the briefings provided under subsection (a), the notifications provided under subsection (b), and the information required by section 3371(a)(2) of this title. The Director shall consult the congressional intelligence committees during such development. (2) SubmissionThe Director shall submit to the congressional intelligence committees—(A) the guidelines under paragraph (1) upon issuance; and (B) any updates to such guidelines by not later than 15 days after making such update.

50 U.S.C. § 3111a Annual report on Federal Bureau of Investigation case data

(a) Annual reportNot later than 30 days after December 18, 2025, and annually thereafter, the Director of the Federal Bureau of Investigation shall submit to the congressional intelligence committees, the Committee on the Judiciary of the Senate, and the Committee on the Judiciary of the House of Representatives a report containing data on cases of the Federal Bureau of Investigation for the fiscal year preceding the fiscal year in which the report is submitted. (b) ElementsEach report required by subsection (a) shall include, for the fiscal year covered by the report, the number of active cases, the number of unique cases, and the number of cases opened, for each of the following:(1) Russia counterintelligence cases. (2) China counterintelligence cases. (3) Espionage or leak cases. (4) All other counterintelligence cases, disaggregated by country affiliation. (5) Cartel and other transnational criminal organization counterterrorism cases. (6) All other international counterterrorism cases, disaggregated by country affiliation. (7) Russia cyber national security cases. (8) China cyber national security cases. (9) All other cyber national security cases, disaggregated by country affiliation. (c) FormEach report required by subsection (a) shall be submitted in unclassified form, but may include a classified annex.

50 U.S.C. § 3112 Annual reports on the domestic activities of the intelligence community

(a) ReportsNot later than January 31 of each year, the Director of National Intelligence shall submit to the congressional intelligence committees a report—(1) identifying all domestic activities undertaken by each element of the intelligence community during the prior fiscal year; and (2) for each activity identified under paragraph (1), a statement of the legal authority authorizing such activity to be undertaken. (b) FormEach report under subsection (a) shall be submitted in unclassified form, but may include a classified annex.

50 U.S.C. § 3113 Unfunded priorities of the intelligence community: annual report

(a) Annual reportNot later than 10 days after the date on which the budget of the President for a fiscal year is submitted to Congress pursuant to section 1105 of title 31, the head of each element of the intelligence community shall prepare and submit to the Director of National Intelligence, the congressional intelligence committees, the Subcommittee on Defense of the Committee on Appropriations of the Senate, and the Subcommittee on Defense of the Committee on Appropriations of the House of Representatives a report on the unfunded priorities of the programs under the jurisdiction of such head. (b) Elements(1) In generalEach report under subsection (a) shall specify, for each unfunded priority covered by such report, the following:(A) A summary description of such priority, including the objectives to be achieved if such priority is funded (whether in whole or in part). (B) Whether such priority will satisfy a covert action or support collection against requirements identified in the National Intelligence Priorities Framework of the Office of the Director of National Intelligence (or any successor mechanism established for the prioritization of programs and activities), including a description of such requirements and the related prioritization level. (C) The additional amount of funds recommended in connection with the objectives under subparagraph (A). (D) Budget information with respect to the unfunded priority, including—(i) the appropriation account; (ii) the expenditure center; and (iii) the project and, if applicable, subproject. (2) Prioritization of prioritiesEach report shall present the unfunded priorities covered by such report in overall order of urgency of priority among unfunded priorities. (c) Unfunded priority definedIn this section, the term “unfunded priority”, in the case of a fiscal year, means a program, activity, or mission requirement of an element of the intelligence community that—(1) is not funded in the budget of the President for the fiscal year as submitted to Congress pursuant to section 1105 of title 31; (2) is necessary to fulfill a covert action or to satisfy an information requirement associated with the collection, analysis, or dissemination of intelligence that has been documented within the National Intelligence Priorities Framework; and (3) would have been recommended for funding by the head of the element of the intelligence community if—(A) additional resources had been available for the budget to fund the program, activity, or mission requirement; or (B) the program, activity, or mission requirement has emerged since the budget was formulated.

50 U.S.C. § 3114 Submission of covered documents and classified annexes

(a) Covered document definedIn this section, the term “covered document” means any executive order, memorandum, or policy directive issued by the President, including national security Presidential memoranda and Presidential policy directives, or such successor memoranda and directives. (b) RequirementNot later than 7 days after the date on which the President issues or amends a covered document, the President, acting through the Director of National Intelligence, shall submit to the congressional intelligence committees, the Subcommittee on Defense of the Committee on Appropriations of the Senate, and the Subcommittee on Defense of the Committee on Appropriations of the House of Representatives the covered document and any classified annex accompanying that document if such covered document or annex contains a direction to, establishes a requirement for, or includes a restriction on any element of the intelligence community.

50 U.S.C. § 3115 Submission of legislative proposals

Not later than 45 days after the date on which the President submits to Congress the budget for each fiscal year pursuant to section 1105(a) of title 31, the Director of National Intelligence shall submit to the congressional intelligence committees, the Committee on Appropriations of the Senate, and the Committee on Appropriations of the House of Representatives any legislative provisions that are proposed by the Director to be enacted as part of the annual intelligence authorization bill for that fiscal year.

50 U.S.C. § 3116 Notice of impact of diplomatic and consular post closings on intelligence community

(a) Notice to Director of National Intelligence and Secretary of DefenseThe Secretary of State shall provide notice to the Director of National Intelligence and the Secretary of Defense of any covered closure of a diplomatic or consular post. To the maximum extent practicable, the notice shall be provided at least 30 days before the date on which the covered closure occurs. (b) Notice to congressional committeesThe Director of National Intelligence, in consultation with the heads of the other appropriate elements of the intelligence community as determined by the Director, shall submit to the appropriate congressional committees a notice describing the impact of the closure on the intelligence community. The notice shall be submitted within 30 days after the date on which the Director receives the notice under subsection (a) and, to the maximum extent practicable, shall be submitted before the date on which the covered closure occurs. Such notice shall include a description of whether, and the extent to which, the Director and the heads of the other appropriate elements of the intelligence community were consulted in the decision-making process with respect to such closure and registered any concerns with or objections to such closure. (c) DefinitionsIn this section:(1) Appropriate congressional committeesThe term “appropriate congressional committees” means—(A) the congressional intelligence committees; (B) the Committee on Foreign Relations of the Senate and the Committee on Foreign Affairs of the House of Representatives; (C) the Committees on Armed Services of the Senate and the House of Representatives; and (D) the Committees on Appropriations of the Senate and the House of Representatives. (2) Covered closure of a diplomatic or consular post definedThe term “covered closure of a diplomatic or consular post” means the closure of a United States diplomatic or consular post abroad that is anticipated to last for 60 days or more.

50 U.S.C. § 3117 Notice of counterintelligence assessments and investigations of Federal candidates or officeholders

(a) Notice(1) Notice requiredExcept as provided in paragraph (3), the Director of the Federal Bureau of Investigation shall notify the chairmen and ranking minority members of the appropriate congressional committees, the Speaker and minority leader of the House of Representatives, and the majority and minority leaders of the Senate of each counterintelligence assessment or investigation of an individual who is—(A) a candidate for Federal office; or (B) a holder of Federal office. (2) ContentsThe notice required under paragraph (1) shall include—(A) a summary of the relevant facts associated with the counterintelligence assessment or investigation; and (B) the identity of such individual. (3) ExceptionThe Director may refrain from providing a notice under paragraph (1) to an individual who is otherwise a recipient of notices under such paragraph if that individual is a target of the counterintelligence assessment or investigation covered by the notice. (b) TimingThe Director shall provide each notice under subsection (a) not later than 15 days after the date of the commencement of the counterintelligence assessment or investigation that is the subject of such notice. With respect to counterintelligence assessments or investigations that commenced before December 18, 2025 and are ongoing as of December 18, 2025, the Director shall provide each notice under subsection (a) not later than 15 days after December 18, 2025. (c) DefinitionsIn this section:(1) The term “appropriate congressional committees” means—(A) the congressional intelligence committees; and (B) the Committees on the Judiciary of the House of Representatives and the Senate. (2) The terms “candidate” and “Federal office” have the meanings given those terms in section 30101 of title 52.

Starting a business? Corpus forms LLCs in all 50 states and DC.