    [107th Congress Public Law 56]
    [From the U.S. Government Printing Office]

    <DOC>
    [DOCID: f:publ056.107]

    [[Page 271]]

        UNITING AND STRENGTHENING AMERICA BY PROVIDING APPROPRIATE TOOLS
     REQUIRED TO INTERCEPT AND OBSTRUCT TERRORISM (USA PATRIOT ACT) ACT OF
                                      2001

    [[Page 115 STAT. 272]]

    Public Law 107-56
    107th Congress

                                     An Act

     To deter and punish terrorist acts in the United States and around the
      world, to enhance law enforcement investigatory tools, and for other
                purposes. <<NOTE: Oct. 26, 2001 -  [H.R. 3162]>>

        Be it enacted by the Senate and House of Representatives of the
    United States of America <<NOTE: Uniting and Strengthening America by
    Providing Appropriate Tools Required to Intercept and Obstruct Terrorism
    (USA PATRIOT ACT) Act of 2001.>> in Congress assembled,

    SECTION 1. SHORT TITLE AND TABLE OF CONTENTS.

        (a) Short <<NOTE: 18 USC 1 note.>> Title.--This Act may be cited as
    the ``Uniting and Strengthening America by Providing Appropriate Tools
    Required to Intercept and Obstruct Terrorism (USA PATRIOT ACT) Act of
    2001''.

        (b) Table of Contents.--The table of contents for this Act is as
    follows:

    Sec. 1. Short title and table of contents.
    Sec. 2. Construction; severability.

             TITLE I--ENHANCING DOMESTIC SECURITY AGAINST TERRORISM

    Sec. 101. Counterterrorism fund.
    Sec. 102. Sense of Congress condemning discrimination against Arab and
               Muslim Americans.
    Sec. 103. Increased funding for the technical support center at the
               Federal Bureau of Investigation.
    Sec. 104. Requests for military assistance to enforce prohibition in
               certain emergencies.
    Sec. 105. Expansion of National Electronic Crime Task Force Initiative.
    Sec. 106. Presidential authority.

                   TITLE II--ENHANCED SURVEILLANCE PROCEDURES

    Sec. 201. Authority to intercept wire, oral, and electronic
               communications relating to terrorism.
    Sec. 202. Authority to intercept wire, oral, and electronic
               communications relating to computer fraud and abuse offenses.
    Sec. 203. Authority to share criminal investigative information.
    Sec. 204. Clarification of intelligence exceptions from limitations on
               interception and disclosure of wire, oral, and electronic
               communications.
    Sec. 205. Employment of translators by the Federal Bureau of
               Investigation.
    Sec. 206. Roving surveillance authority under the Foreign Intelligence
               Surveillance Act of 1978.
    Sec. 207. Duration of FISA surveillance of non-United States persons who
               are agents of a foreign power.
    Sec. 208. Designation of judges.
    Sec. 209. Seizure of voice-mail messages pursuant to warrants.
    Sec. 210. Scope of subpoenas for records of electronic communications.
    Sec. 211. Clarification of scope.
    Sec. 212. Emergency disclosure of electronic communications to protect
               life and limb.
    Sec. 213. Authority for delaying notice of the execution of a warrant.
    Sec. 214. Pen register and trap and trace authority under FISA.
    Sec. 215. Access to records and other items under the Foreign
               Intelligence Surveillance Act.
    Sec. 216. Modification of authorities relating to use of pen registers
               and trap and trace devices.

    [[Page 115 STAT. 273]]

    Sec. 217. Interception of computer trespasser communications.
    Sec. 218. Foreign intelligence information.
    Sec. 219. Single-jurisdiction search warrants for terrorism.
    Sec. 220. Nationwide service of search warrants for electronic evidence.
    Sec. 221. Trade sanctions.
    Sec. 222. Assistance to law enforcement agencies.
    Sec. 223. Civil liability for certain unauthorized disclosures.
    Sec. 224. Sunset.
    Sec. 225. Immunity for compliance with FISA wiretap.

     TITLE III--INTERNATIONAL MONEY LAUNDERING ABATEMENT AND ANTI-TERRORIST
                              FINANCING ACT OF 2001

    Sec. 301. Short title.
    Sec. 302. Findings and purposes.
    Sec. 303. 4-year congressional review; expedited consideration.

     Subtitle A--International Counter Money Laundering and Related Measures

    Sec. 311. Special measures for jurisdictions, financial institutions, or
               international transactions of primary money laundering
               concern.
    Sec. 312. Special due diligence for correspondent accounts and private
               banking accounts.
    Sec. 313. Prohibition on United States correspondent accounts with
               foreign shell banks.
    Sec. 314. Cooperative efforts to deter money laundering.
    Sec. 315. Inclusion of foreign corruption offenses as money laundering
               crimes.
    Sec. 316. Anti-terrorist forfeiture protection.
    Sec. 317. Long-arm jurisdiction over foreign money launderers.
    Sec. 318. Laundering money through a foreign bank.
    Sec. 319. Forfeiture of funds in United States interbank accounts.
    Sec. 320. Proceeds of foreign crimes.
    Sec. 321. Financial institutions specified in subchapter II of chapter
               53 of title 31, United States code.
    Sec. 322. Corporation represented by a fugitive.
    Sec. 323. Enforcement of foreign judgments.
    Sec. 324. Report and recommendation.
    Sec. 325. Concentration accounts at financial institutions.
    Sec. 326. Verification of identification.
    Sec. 327. Consideration of anti-money laundering record.
    Sec. 328. International cooperation on identification of originators of
               wire transfers.
    Sec. 329. Criminal penalties.
    Sec. 330. International cooperation in investigations of money
               laundering, financial crimes, and the finances of terrorist
               groups.

        Subtitle B--Bank Secrecy Act Amendments and Related Improvements

    Sec. 351. Amendments relating to reporting of suspicious activities.
    Sec. 352. Anti-money laundering programs.
    Sec. 353. Penalties for violations of geographic targeting orders and
               certain recordkeeping requirements, and lengthening effective
               period of geographic targeting orders.
    Sec. 354. Anti-money laundering strategy.
    Sec. 355. Authorization to include suspicions of illegal activity in
               written employment references.
    Sec. 356. Reporting of suspicious activities by securities brokers and
               dealers; investment company study.
    Sec. 357. Special report on administration of bank secrecy provisions.
    Sec. 358. Bank secrecy provisions and activities of United States
               intelligence agencies to fight international terrorism.
    Sec. 359. Reporting of suspicious activities by underground banking
               systems.
    Sec. 360. Use of authority of United States Executive Directors.
    Sec. 361. Financial crimes enforcement network.
    Sec. 362. Establishment of highly secure network.
    Sec. 363. Increase in civil and criminal penalties for money laundering.
    Sec. 364. Uniform protection authority for Federal Reserve facilities.
    Sec. 365. Reports relating to coins and currency received in
               nonfinancial trade or business.
    Sec. 366. Efficient use of currency transaction report system.

                   Subtitle C--Currency Crimes and Protection

    Sec. 371. Bulk cash smuggling into or out of the United States.
    Sec. 372. Forfeiture in currency reporting cases.

    [[Page 115 STAT. 274]]

    Sec. 373. Illegal money transmitting businesses.
    Sec. 374. Counterfeiting domestic currency and obligations.
    Sec. 375. Counterfeiting foreign currency and obligations.
    Sec. 376. Laundering the proceeds of terrorism.
    Sec. 377. Extraterritorial jurisdiction.

                         TITLE IV--PROTECTING THE BORDER

                   Subtitle A--Protecting the Northern Border

    Sec. 401. Ensuring adequate personnel on the northern border.
    Sec. 402. Northern border personnel.
    Sec. 403. Access by the Department of State and the INS to certain
               identifying information in the criminal history records of
               visa applicants and applicants for admission to the United
               States.
    Sec. 404. Limited authority to pay overtime.
    Sec. 405. Report on the integrated automated fingerprint identification
               system for ports of entry and overseas consular posts.

                   Subtitle B--Enhanced Immigration Provisions

    Sec. 411. Definitions relating to terrorism.
    Sec. 412. Mandatory detention of suspected terrorists; habeas corpus;
               judicial review.
    Sec. 413. Multilateral cooperation against terrorists.
    Sec. 414. Visa integrity and security.
    Sec. 415. Participation of Office of Homeland Security on Entry-Exit
               Task Force.
    Sec. 416. Foreign student monitoring program.
    Sec. 417. Machine readable passports.
    Sec. 418. Prevention of consulate shopping.

        Subtitle C--Preservation of Immigration Benefits for Victims of
                                    Terrorism

    Sec. 421. Special immigrant status.
    Sec. 422. Extension of filing or reentry deadlines.
    Sec. 423. Humanitarian relief for certain surviving spouses and
               children.
    Sec. 424. ``Age-out'' protection for children.
    Sec. 425. Temporary administrative relief.
    Sec. 426. Evidence of death, disability, or loss of employment.
    Sec. 427. No benefits to terrorists or family members of terrorists.
    Sec. 428. Definitions.

             TITLE V--REMOVING OBSTACLES TO INVESTIGATING TERRORISM

    Sec. 501. Attorney General's authority to pay rewards to combat
               terrorism.
    Sec. 502. Secretary of State's authority to pay rewards.
    Sec. 503. DNA identification of terrorists and other violent offenders.
    Sec. 504. Coordination with law enforcement.
    Sec. 505. Miscellaneous national security authorities.
    Sec. 506. Extension of Secret Service jurisdiction.
    Sec. 507. Disclosure of educational records.
    Sec. 508. Disclosure of information from NCES surveys.

     TITLE VI--PROVIDING FOR VICTIMS OF TERRORISM, PUBLIC SAFETY OFFICERS,
                               AND THEIR FAMILIES

              Subtitle A--Aid to Families of Public Safety Officers

    Sec. 611. Expedited payment for public safety officers involved in the
               prevention, investigation, rescue, or recovery efforts
               related to a terrorist attack.
    Sec. 612. Technical correction with respect to expedited payments for
               heroic public safety officers.
    Sec. 613. Public safety officers benefit program payment increase.
    Sec. 614. Office of Justice programs.

           Subtitle B--Amendments to the Victims of Crime Act of 1984

    Sec. 621. Crime victims fund.
    Sec. 622. Crime victim compensation.
    Sec. 623. Crime victim assistance.
    Sec. 624. Victims of terrorism.

      TITLE VII--INCREASED INFORMATION SHARING FOR CRITICAL INFRASTRUCTURE
                                   PROTECTION

    Sec. 701. Expansion of regional information sharing system to facilitate
               Federal-State-local law enforcement response related to
               terrorist attacks.

    [[Page 115 STAT. 275]]

          TITLE VIII--STRENGTHENING THE CRIMINAL LAWS AGAINST TERRORISM

    Sec. 801. Terrorist attacks and other acts of violence against mass
               transportation systems.
    Sec. 802. Definition of domestic terrorism.
    Sec. 803. Prohibition against harboring terrorists.
    Sec. 804. Jurisdiction over crimes committed at U.S. facilities abroad.
    Sec. 805. Material support for terrorism.
    Sec. 806. Assets of terrorist organizations.
    Sec. 807. Technical clarification relating to provision of material
               support to terrorism.
    Sec. 808. Definition of Federal crime of terrorism.
    Sec. 809. No statute of limitation for certain terrorism offenses.
    Sec. 810. Alternate maximum penalties for terrorism offenses.
    Sec. 811. Penalties for terrorist conspiracies.
    Sec. 812. Post-release supervision of terrorists.
    Sec. 813. Inclusion of acts of terrorism as racketeering activity.
    Sec. 814. Deterrence and prevention of cyberterrorism.
    Sec. 815. Additional defense to civil actions relating to preserving
               records in response to Government requests.
    Sec. 816. Development and support of cybersecurity forensic
               capabilities.
    Sec. 817. Expansion of the biological weapons statute.

                         TITLE IX--IMPROVED INTELLIGENCE

    Sec. 901. Responsibilities of Director of Central Intelligence regarding
               foreign intelligence collected under Foreign Intelligence
               Surveillance Act of 1978.
    Sec. 902. Inclusion of international terrorist activities within scope
               of foreign intelligence under National Security Act of 1947.
    Sec. 903. Sense of Congress on the establishment and maintenance of
               intelligence relationships to acquire information on
               terrorists and terrorist organizations.
    Sec. 904. Temporary authority to defer submittal to Congress of reports
               on intelligence and intelligence-related matters.
    Sec. 905. Disclosure to Director of Central Intelligence of foreign
               intelligence-related information with respect to criminal
               investigations.
    Sec. 906. Foreign terrorist asset tracking center.
    Sec. 907. National Virtual Translation Center.
    Sec. 908. Training of government officials regarding identification and
               use of foreign intelligence.

                             TITLE X--MISCELLANEOUS

    Sec. 1001. Review of the department of justice.
    Sec. 1002. Sense of congress.
    Sec. 1003. Definition of ``electronic surveillance''.
    Sec. 1004. Venue in money laundering cases.
    Sec. 1005. First responders assistance act.
    Sec. 1006. Inadmissibility of aliens engaged in money laundering.
    Sec. 1007. Authorization of funds for dea police training in south and
               central asia.
    Sec. 1008. Feasibility study on use of biometric identifier scanning
               system with access to the fbi integrated automated
               fingerprint identification system at overseas consular posts
               and points of entry to the United States.
    Sec. 1009. Study of access.
    Sec. 1010. Temporary authority to contract with local and State
               governments for performance of security functions at United
               States military installations.
    Sec. 1011. Crimes against charitable americans.
    Sec. 1012. Limitation on issuance of hazmat licenses.
    Sec. 1013. Expressing the sense of the senate concerning the provision
               of funding for bioterrorism preparedness and response.
    Sec. 1014. Grant program for State and local domestic preparedness
               support.
    Sec. 1015. Expansion and reauthorization of the crime identification
               technology act for antiterrorism grants to States and
               localities.
    Sec. 1016. Critical infrastructures protection.

    SEC. 2. <<NOTE: 18 USC 1 note.>> CONSTRUCTION; SEVERABILITY.

        Any provision of this Act held to be invalid or unenforceable by its
    terms, or as applied to any person or circumstance, shall be construed
    so as to give it the maximum effect permitted by law, unless such
    holding shall be one of utter invalidity or unenforceability, in which
    event such provision shall be deemed

    [[Page 115 STAT. 276]]

    severable from this Act and shall not affect the remainder thereof or
    the application of such provision to other persons not similarly
    situated or to other, dissimilar circumstances.

             TITLE I--ENHANCING DOMESTIC SECURITY AGAINST TERRORISM

    SEC. 101. <<NOTE: 28 USC 524 note.>> COUNTERTERRORISM FUND.

        (a) Establishment; Availability.--There is hereby established in the
    Treasury of the United States a separate fund to be known as the
    ``Counterterrorism Fund'', amounts in which shall remain available
    without fiscal year limitation--
                (1) to reimburse any Department of Justice component for any
            costs incurred in connection with--
                        (A) reestablishing the operational capability of an
                    office or facility that has been damaged or destroyed as
                    the result of any domestic or international terrorism
                    incident;
                        (B) providing support to counter, investigate, or
                    prosecute domestic or international terrorism,
                    including, without limitation, paying rewards in
                    connection with these activities; and
                        (C) conducting terrorism threat assessments of
                    Federal agencies and their facilities; and
                (2) to reimburse any department or agency of the Federal
            Government for any costs incurred in connection with detaining
            in foreign countries individuals accused of acts of terrorism
            that violate the laws of the United States.

        (b) No Effect on Prior Appropriations.--Subsection (a) shall not be
    construed to affect the amount or availability of any appropriation to
    the Counterterrorism Fund made before the date of the enactment of this
    Act.

    SEC. 102. SENSE OF CONGRESS CONDEMNING DISCRIMINATION AGAINST ARAB AND
                MUSLIM AMERICANS.

        (a) Findings.--Congress makes the following findings:
                (1) Arab Americans, Muslim Americans, and Americans from
            South Asia play a vital role in our Nation and are entitled to
            nothing less than the full rights of every American.
                (2) The acts of violence that have been taken against Arab
            and Muslim Americans since the September 11, 2001, attacks
            against the United States should be and are condemned by all
            Americans who value freedom.
                (3) The concept of individual responsibility for wrongdoing
            is sacrosanct in American society, and applies equally to all
            religious, racial, and ethnic groups.
                (4) When American citizens commit acts of violence against
            those who are, or are perceived to be, of Arab or Muslim
            descent, they should be punished to the full extent of the law.
                (5) Muslim Americans have become so fearful of harassment
            that many Muslim women are changing the way they dress to avoid
            becoming targets.
                (6) Many Arab Americans and Muslim Americans have acted
            heroically during the attacks on the United States, including
            Mohammed Salman Hamdani, a 23-year-old New Yorker of Pakistani
            descent, who is believed to have gone

    [[Page 115 STAT. 277]]

            to the World Trade Center to offer rescue assistance and is now
            missing.

        (b) Sense of Congress.--It is the sense of Congress that--
                (1) the civil rights and civil liberties of all Americans,
            including Arab Americans, Muslim Americans, and Americans from
            South Asia, must be protected, and that every effort must be
            taken to preserve their safety;
                (2) any acts of violence or discrimination against any
            Americans be condemned; and
                (3) the Nation is called upon to recognize the patriotism of
            fellow citizens from all ethnic, racial, and religious
            backgrounds.

    SEC. 103. INCREASED FUNDING FOR THE TECHNICAL SUPPORT CENTER AT THE
                FEDERAL BUREAU OF INVESTIGATION.

        There are authorized to be appropriated for the Technical Support
    Center established in section 811 of the Antiterrorism and Effective
    Death Penalty Act of 1996 (Public Law 104-132) to help meet the demands
    for activities to combat terrorism and support and enhance the technical
    support and tactical operations of the FBI, $200,000,000 for each of the
    fiscal years 2002, 2003, and 2004.

    SEC. 104. REQUESTS FOR MILITARY ASSISTANCE TO ENFORCE PROHIBITION IN
                CERTAIN EMERGENCIES.

        Section 2332e of title 18, United States Code, is amended--
                (1) by striking ``2332c'' and inserting ``2332a''; and
                (2) by striking ``chemical''.

    SEC. 105. <<NOTE: 18 USC 3056 note.>> EXPANSION OF NATIONAL ELECTRONIC
                CRIME TASK FORCE INITIATIVE.

        The Director of the United States Secret Service shall take
    appropriate actions to develop a national network of electronic crime
    task forces, based on the New York Electronic Crimes Task Force model,
    throughout the United States, for the purpose of preventing, detecting,
    and investigating various forms of electronic crimes, including
    potential terrorist attacks against critical infrastructure and
    financial payment systems.

    SEC. 106. PRESIDENTIAL AUTHORITY.

        Section 203 of the International Emergency Powers Act (50 U.S.C.
    1702) is amended--
                (1) in subsection (a)(1)--
                        (A) at the end of subparagraph (A) (flush to that
                    subparagraph), by striking ``; and'' and inserting a
                    comma and the following:
            ``by any person, or with respect to any property, subject to the
            jurisdiction of the United States;'';
                        (B) in subparagraph (B)--
                              (i) by inserting ``, block during the pendency
                          of an investigation'' after ``investigate''; and
                              (ii) by striking ``interest;'' and inserting
                          ``interest by any person, or with respect to any
                          property, subject to the jurisdiction of the
                          United States; and'';
                        (C) by striking ``by any person, or with respect to
                    any property, subject to the jurisdiction of the United
                    States`; and
                        (D) by inserting at the end the following:

    [[Page 115 STAT. 278]]

                        ``(C) when the United States is engaged in armed
                    hostilities or has been attacked by a foreign country or
                    foreign nationals, confiscate any property, subject to
                    the jurisdiction of the United States, of any foreign
                    person, foreign organization, or foreign country that he
                    determines has planned, authorized, aided, or engaged in
                    such hostilities or attacks against the United States;
                    and all right, title, and interest in any property so
                    confiscated shall vest, when, as, and upon the terms
                    directed by the President, in such agency or person as
                    the President may designate from time to time, and upon
                    such terms and conditions as the President may
                    prescribe, such interest or property shall be held,
                    used, administered, liquidated, sold, or otherwise dealt
                    with in the interest of and for the benefit of the
                    United States, and such designated agency or person may
                    perform any and all acts incident to the accomplishment
                    or furtherance of these purposes.''; and
                (2) by inserting at the end the following:

        ``(c) Classified Information.--In any judicial review of a
    determination made under this section, if the determination was based on
    classified information (as defined in section 1(a) of the Classified
    Information Procedures Act) such information may be submitted to the
    reviewing court ex parte and in camera. This subsection does not confer
    or imply any right to judicial review.''.

                   TITLE II--ENHANCED SURVEILLANCE PROCEDURES

    SEC. 201. AUTHORITY TO INTERCEPT WIRE, ORAL, AND ELECTRONIC
                COMMUNICATIONS RELATING TO TERRORISM.

        Section 2516(1) of title 18, United States Code, is amended--
                (1) by redesignating paragraph (p), as so redesignated by
            section 434(2) of the Antiterrorism and Effective Death Penalty
            Act of 1996 (Public Law 104-132; 110 Stat. 1274), as paragraph
            (r); and
                (2) by inserting after paragraph (p), as so redesignated by
            section 201(3) of the Illegal Immigration Reform and Immigrant
            Responsibility Act of 1996 (division C of Public Law 104-208;
            110 Stat. 3009-565), the following new paragraph:

        ``(q) any criminal violation of section 229 (relating to chemical
    weapons); or sections 2332, 2332a, 2332b, 2332d, 2339A, or 2339B of this
    title (relating to terrorism); or''.

    SEC. 202. AUTHORITY TO INTERCEPT WIRE, ORAL, AND ELECTRONIC
                COMMUNICATIONS RELATING TO COMPUTER FRAUD AND ABUSE
                OFFENSES.

        Section 2516(1)(c) of title 18, United States Code, is amended by
    striking ``and section 1341 (relating to mail fraud),'' and inserting
    ``section 1341 (relating to mail fraud), a felony violation of section
    1030 (relating to computer fraud and abuse),''.

    SEC. 203. <<NOTE: 18 USC app.>> AUTHORITY TO SHARE CRIMINAL
                INVESTIGATIVE INFORMATION.

        (a) Authority To Share Grand Jury Information.--

    [[Page 115 STAT. 279]]

                (1) In general.--Rule 6(e)(3)(C) of the Federal Rules of
            Criminal Procedure is amended to read as follows:
                        ``(C)(i) Disclosure otherwise prohibited by this
                    rule of matters occurring before the grand jury may also
                    be made--
                              ``(I) when so directed by a court
                          preliminarily to or in connection with a judicial
                          proceeding;
                              ``(II) when permitted by a court at the
                          request of the defendant, upon a showing that
                          grounds may exist for a motion to dismiss the
                          indictment because of matters occurring before the
                          grand jury;
                              ``(III) when the disclosure is made by an
                          attorney for the government to another Federal
                          grand jury;
                              ``(IV) when permitted by a court at the
                          request of an attorney for the government, upon a
                          showing that such matters may disclose a violation
                          of State criminal law, to an appropriate official
                          of a State or subdivision of a State for the
                          purpose of enforcing such law; or
                              ``(V) when the matters involve foreign
                          intelligence or counterintelligence (as defined in
                          section 3 of the National Security Act of 1947 (50
                          U.S.C. 401a)), or foreign intelligence information
                          (as defined in clause (iv) of this subparagraph),
                          to any Federal law enforcement, intelligence,
                          protective, immigration, national defense, or
                          national security official in order to assist the
                          official receiving that information in the
                          performance of his official duties.
                        ``(ii) If the court orders disclosure of matters
                    occurring before the grand jury, the disclosure shall be
                    made in such manner, at such time, and under such
                    conditions as the court may direct.
                        ``(iii) Any Federal official to whom information is
                    disclosed pursuant to clause (i)(V) of this subparagraph
                    may use that information only as necessary in the
                    conduct of that person's official duties subject to any
                    limitations on the unauthorized disclosure of such
                    information. Within a reasonable time after such
                    disclosure, an attorney for the government shall file
                    under seal a notice with the court stating the fact that
                    such information was disclosed and the departments,
                    agencies, or entities to which the disclosure was made.
                        ``(iv) In clause (i)(V) of this subparagraph, the
                    term `foreign intelligence information' means--
                              ``(I) information, whether or not concerning a
                          United States person, that relates to the ability
                          of the United States to protect against--
                                        ``(aa) actual or potential attack or
                                    other grave hostile acts of a foreign
                                    power or an agent of a foreign power;
                                        ``(bb) sabotage or international
                                    terrorism by a foreign power or an agent
                                    of a foreign power; or
                                        ``(cc) clandestine intelligence
                                    activities by an intelligence service or
                                    network of a foreign power or by an
                                    agent of foreign power; or

    [[Page 115 STAT. 280]]

                              ``(II) information, whether or not concerning
                          a United States person, with respect to a foreign
                          power or foreign territory that relates to--
                                        ``(aa) the national defense or the
                                    security of the United States; or
                                        ``(bb) the conduct of the foreign
                                    affairs of the United States.''.
                (2) Conforming amendment.--Rule 6(e)(3)(D) of the Federal
            Rules of Criminal Procedure is amended by striking
            ``(e)(3)(C)(i)'' and inserting ``(e)(3)(C)(i)(I)''.

        (b) Authority To Share Electronic, Wire, and Oral Interception
    Information.--
                (1) Law enforcement.--Section 2517 of title 18, United
            States Code, is amended by inserting at the end the following:

        ``(6) Any investigative or law enforcement officer, or attorney for
    the Government, who by any means authorized by this chapter, has
    obtained knowledge of the contents of any wire, oral, or electronic
    communication, or evidence derived therefrom, may disclose such contents
    to any other Federal law enforcement, intelligence, protective,
    immigration, national defense, or national security official to the
    extent that such contents include foreign intelligence or
    counterintelligence (as defined in section 3 of the National Security
    Act of 1947 (50 U.S.C. 401a)), or foreign intelligence information (as
    defined in subsection (19) of section 2510 of this title), to assist the
    official who is to receive that information in the performance of his
    official duties. Any Federal official who receives information pursuant
    to this provision may use that information only as necessary in the
    conduct of that person's official duties subject to any limitations on
    the unauthorized disclosure of such information.''.
                (2) Definition.--Section 2510 of title 18, United States
            Code, is amended by--
                        (A) in paragraph (17), by striking ``and'' after the
                    semicolon;
                        (B) in paragraph (18), by striking the period and
                    inserting ``; and''; and
                        (C) by inserting at the end the following:
                ``(19) `foreign intelligence information' means--
                        ``(A) information, whether or not concerning a
                    United States person, that relates to the ability of the
                    United States to protect against--
                              ``(i) actual or potential attack or other
                          grave hostile acts of a foreign power or an agent
                          of a foreign power;
                              ``(ii) sabotage or international terrorism by
                          a foreign power or an agent of a foreign power; or
                              ``(iii) clandestine intelligence activities by
                          an intelligence service or network of a foreign
                          power or by an agent of a foreign power; or
                        ``(B) information, whether or not concerning a
                    United States person, with respect to a foreign power or
                    foreign territory that relates to--
                              ``(i) the national defense or the security of
                          the United States; or
                              ``(ii) the conduct of the foreign affairs of
                          the United States.''.

        (c) Procedures.--The <<NOTE: 18 USC 2517 note.>> Attorney General
    shall establish procedures for the disclosure of information pursuant to
    section 2517(6)

    [[Page 115 STAT. 281]]

    and Rule 6(e)(3)(C)(i)(V) of the Federal Rules of Criminal Procedure
    that identifies a United States person, as defined in section 101 of the
    Foreign Intelligence Surveillance Act of 1978 (50 U.S.C. 1801)).

        (d) Foreign <<NOTE: 50 USC 403-5d.>> Intelligence Information.--
                (1) In general.--Notwithstanding any other provision of law,
            it shall be lawful for foreign intelligence or
            counterintelligence (as defined in section 3 of the National
            Security Act of 1947 (50 U.S.C. 401a)) or foreign intelligence
            information obtained as part of a criminal investigation to be
            disclosed to any Federal law enforcement, intelligence,
            protective, immigration, national defense, or national security
            official in order to assist the official receiving that
            information in the performance of his official duties. Any
            Federal official who receives information pursuant to this
            provision may use that information only as necessary in the
            conduct of that person's official duties subject to any
            limitations on the unauthorized disclosure of such information.
                (2) Definition.--In this subsection, the term ``foreign
            intelligence information'' means--
                        (A) information, whether or not concerning a United
                    States person, that relates to the ability of the United
                    States to protect against--
                              (i) actual or potential attack or other grave
                          hostile acts of a foreign power or an agent of a
                          foreign power;
                              (ii) sabotage or international terrorism by a
                          foreign power or an agent of a foreign power; or
                              (iii) clandestine intelligence activities by
                          an intelligence service or network of a foreign
                          power or by an agent of a foreign power; or
                        (B) information, whether or not concerning a United
                    States person, with respect to a foreign power or
                    foreign territory that relates to--
                              (i) the national defense or the security of
                          the United States; or
                              (ii) the conduct of the foreign affairs of the
                          United States.

    SEC. 204. CLARIFICATION OF INTELLIGENCE EXCEPTIONS FROM LIMITATIONS ON
                INTERCEPTION AND DISCLOSURE OF WIRE, ORAL, AND ELECTRONIC
                COMMUNICATIONS.

        Section 2511(2)(f) of title 18, United States Code, is amended--
                (1) by striking ``this chapter or chapter 121'' and
            inserting ``this chapter or chapter 121 or 206 of this title'';
            and
                (2) by striking ``wire and oral'' and inserting ``wire,
            oral, and electronic''.

    SEC. 205. <<NOTE: 28 USC 532 note.>> EMPLOYMENT OF TRANSLATORS BY THE
                FEDERAL BUREAU OF INVESTIGATION.

        (a) Authority.--The Director of the Federal Bureau of Investigation
    is authorized to expedite the employment of personnel as translators to
    support counterterrorism investigations and operations without regard to
    applicable Federal personnel requirements and limitations.
        (b) Security Requirements.--The Director of the Federal Bureau of
    Investigation shall establish such security requirements as are
    necessary for the personnel employed as translators under subsection
    (a).

    [[Page 115 STAT. 282]]

        (c) Report.--The Attorney General shall report to the Committees on
    the Judiciary of the House of Representatives and the Senate on--
                (1) the number of translators employed by the FBI and other
            components of the Department of Justice;
                (2) any legal or practical impediments to using translators
            employed by other Federal, State, or local agencies, on a full,
            part-time, or shared basis; and
                (3) the needs of the FBI for specific translation services
            in certain languages, and recommendations for meeting those
            needs.

    SEC. 206. ROVING SURVEILLANCE AUTHORITY UNDER THE FOREIGN INTELLIGENCE
                SURVEILLANCE ACT OF 1978.

        Section 105(c)(2)(B) of the Foreign Intelligence Surveillance Act of
    1978 (50 U.S.C. 1805(c)(2)(B)) is amended by inserting ``, or in
    circumstances where the Court finds that the actions of the target of
    the application may have the effect of thwarting the identification of a
    specified person, such other persons,'' after ``specified person''.

    SEC. 207. DURATION OF FISA SURVEILLANCE OF NON-UNITED STATES PERSONS WHO
                ARE AGENTS OF A FOREIGN POWER.

        (a) Duration.--
                (1) Surveillance.--Section 105(e)(1) of the Foreign
            Intelligence Surveillance Act of 1978 (50 U.S.C. 1805(e)(1)) is
            amended by--
                        (A) inserting ``(A)'' after ``except that''; and
                        (B) inserting before the period the following: ``,
                    and (B) an order under this Act for a surveillance
                    targeted against an agent of a foreign power, as defined
                    in section 101(b)(1)(A) may be for the period specified
                    in the application or for 120 days, whichever is less''.

        (2) Physical Search.--Section 304(d)(1) of the Foreign Intelligence
    Surveillance Act of 1978 (50 U.S.C. 1824(d)(1)) is amended by--
                (A) striking ``forty-five'' and inserting ``90'';
                (B) inserting ``(A)'' after ``except that''; and
                (C) inserting before the period the following: ``, and (B)
            an order under this section for a physical search targeted
            against an agent of a foreign power as defined in section
            101(b)(1)(A) may be for the period specified in the application
            or for 120 days, whichever is less''.

        (b) Extension.--
                (1) In general.--Section 105(d)(2) of the Foreign
            Intelligence Surveillance Act of 1978 (50 U.S.C. 1805(d)(2)) is
            amended by--
                        (A) inserting ``(A)'' after ``except that''; and
                        (B) inserting before the period the following: ``,
                    and (B) an extension of an order under this Act for a
                    surveillance targeted against an agent of a foreign
                    power as defined in section 101(b)(1)(A) may be for a
                    period not to exceed 1 year''.
                (2) Defined term.--Section 304(d)(2) of the Foreign
            Intelligence Surveillance Act of 1978 (50 U.S.C. 1824(d)(2) is
            amended by inserting after ``not a United States person,'' the
            following: ``or against an agent of a foreign power as defined
            in section 101(b)(1)(A),''.

    [[Page 115 STAT. 283]]

    SEC. 208. DESIGNATION OF JUDGES.

        Section 103(a) of the Foreign Intelligence Surveillance Act of 1978
    (50 U.S.C. 1803(a)) is amended by--
                (1) striking ``seven district court judges'' and inserting
            ``11 district court judges''; and
                (2) inserting ``of whom no fewer than 3 shall reside within
            20 miles of the District of Columbia'' after ``circuits''.

    SEC. 209. SEIZURE OF VOICE-MAIL MESSAGES PURSUANT TO WARRANTS.

        Title 18, United States Code, is amended--
                (1) in section 2510--
                        (A) in paragraph (1), by striking beginning with
                    ``and such'' and all that follows through
                    ``communication''; and
                        (B) in paragraph (14), by inserting ``wire or''
                    after ``transmission of''; and
                (2) in subsections (a) and (b) of section 2703--
                        (A) by striking ``Contents of electronic'' and
                    inserting ``Contents of wire or electronic'' each place
                    it appears;
                        (B) by striking ``contents of an electronic'' and
                    inserting ``contents of a wire or electronic'' each
                    place it appears; and
                        (C) by striking ``any electronic'' and inserting
                    ``any wire or electronic'' each place it appears.

    SEC. 210. SCOPE OF SUBPOENAS FOR RECORDS OF ELECTRONIC COMMUNICATIONS.

        Section 2703(c)(2) of title 18, United States Code, as redesignated
    by section 212, is amended--
                (1) by striking ``entity the name, address, local and long
            distance telephone toll billing records, telephone number or
            other subscriber number or identity, and length of service of a
            subscriber'' and inserting the following: ``entity the--
                ``(A) name;
                ``(B) address;
                ``(C) local and long distance telephone connection records,
            or records of session times and durations;
                ``(D) length of service (including start date) and types of
            service utilized;
                ``(E) telephone or instrument number or other subscriber
            number or identity, including any temporarily assigned network
            address; and
                ``(F) means and source of payment for such service
            (including any credit card or bank account number),

    of a subscriber''; and
                (2) by striking ``and the types of services the subscriber
            or customer utilized,''.

    SEC. 211. CLARIFICATION OF SCOPE.

        Section 631 of the Communications Act of 1934 (47 U.S.C. 551) is
    amended--
                (1) in subsection (c)(2)--
                        (A) in subparagraph (B), by striking ``or'';
                        (B) in subparagraph (C), by striking the period at
                    the end and inserting ``; or''; and
                        (C) by inserting at the end the following:

    [[Page 115 STAT. 284]]

                ``(D) to a government entity as authorized under chapters
            119, 121, or 206 of title 18, United States Code, except that
            such disclosure shall not include records revealing cable
            subscriber selection of video programming from a cable
            operator.''; and
                (2) in subsection (h), by striking ``A governmental entity''
            and inserting ``Except as provided in subsection (c)(2)(D), a
            governmental entity''.

    SEC. 212. EMERGENCY DISCLOSURE OF ELECTRONIC COMMUNICATIONS TO PROTECT
                LIFE AND LIMB.

        (a) Disclosure of Contents.--
                (1) In general.--Section 2702 of title 18, United States
            Code, is amended--
                        (A) by striking the section heading and inserting
                    the following:

    ``Sec. 2702. Voluntary disclosure of customer communications or
                            records'';

                        (B) in subsection (a)--
                              (i) in paragraph (2)(A), by striking ``and''
                          at the end;
                              (ii) in paragraph (2)(B), by striking the
                          period and inserting ``; and''; and
                              (iii) by inserting after paragraph (2) the
                          following:
                ``(3) a provider of remote computing service or electronic
            communication service to the public shall not knowingly divulge
            a record or other information pertaining to a subscriber to or
            customer of such service (not including the contents of
            communications covered by paragraph (1) or (2)) to any
            governmental entity.'';
                        (C) in subsection (b), by striking ``Exceptions.--A
                    person or entity'' and inserting ``Exceptions for
                    disclosure of communications.-- A provider described in
                    subsection (a)'';
                        (D) in subsection (b)(6)--
                              (i) in subparagraph (A)(ii), by striking
                          ``or'';
                              (ii) in subparagraph (B), by striking the
                          period and inserting ``; or''; and
                              (iii) by adding after subparagraph (B) the
                          following:
                        ``(C) if the provider reasonably believes that an
                    emergency involving immediate danger of death or serious
                    physical injury to any person requires disclosure of the
                    information without delay.''; and
                        (E) by inserting after subsection (b) the following:

        ``(c) Exceptions for Disclosure of Customer Records.--A provider
    described in subsection (a) may divulge a record or other information
    pertaining to a subscriber to or customer of such service (not including
    the contents of communications covered by subsection (a)(1) or (a)(2))--
                ``(1) as otherwise authorized in section 2703;
                ``(2) with the lawful consent of the customer or subscriber;
                ``(3) as may be necessarily incident to the rendition of the
            service or to the protection of the rights or property of the
            provider of that service;

    [[Page 115 STAT. 285]]

                ``(4) to a governmental entity, if the provider reasonably
            believes that an emergency involving immediate danger of death
            or serious physical injury to any person justifies disclosure of
            the information; or
                ``(5) to any person other than a governmental entity.''.
                (2) Technical and conforming amendment.--The table of
            sections for chapter 121 of title 18, United States Code, is
            amended by striking the item relating to section 2702 and
            inserting the following:

    ``2702. Voluntary disclosure of customer communications or records.''.

        (b) Requirements for Government Access.--
                (1) In general.--Section 2703 of title 18, United States
            Code, is amended--
                        (A) by striking the section heading and inserting
                    the following:

    ``Sec. 2703. Required disclosure of customer communications or
                            records'';

                        (B) in subsection (c) by redesignating paragraph (2)
                    as paragraph (3);
                        (C) in subsection (c)(1)--
                              (i) by striking ``(A) Except as provided in
                          subparagraph (B), a provider of electronic
                          communication service or remote computing service
                          may'' and inserting ``A governmental entity may
                          require a provider of electronic communication
                          service or remote computing service to'';
                              (ii) by striking ``covered by subsection (a)
                          or (b) of this section) to any person other than a
                          governmental entity.
                        ``(B) A provider of electronic communication service
                    or remote computing service shall disclose a record or
                    other information pertaining to a subscriber to or
                    customer of such service (not including the contents of
                    communications covered by subsection (a) or (b) of this
                    section) to a governmental entity'' and inserting ``)'';
                              (iii) by redesignating subparagraph (C) as
                          paragraph (2);
                              (iv) by redesignating clauses (i), (ii),
                          (iii), and (iv) as subparagraphs (A), (B), (C),
                          and (D), respectively;
                              (v) in subparagraph (D) (as redesignated) by
                          striking the period and inserting ``; or''; and
                              (vi) by inserting after subparagraph (D) (as
                          redesignated) the following:
                        ``(E) seeks information under paragraph (2).''; and
                        (D) in paragraph (2) (as redesignated) by striking
                    ``subparagraph (B)'' and insert ``paragraph (1)''.
                (2) Technical and conforming amendment.--The table of
            sections for chapter 121 of title 18, United States Code, is
            amended by striking the item relating to section 2703 and
            inserting the following:

    ``2703. Required disclosure of customer communications or records.''.

    SEC. 213. AUTHORITY FOR DELAYING NOTICE OF THE EXECUTION OF A WARRANT.

        Section 3103a of title 18, United States Code, is amended--

    [[Page 115 STAT. 286]]

                (1) by inserting ``(a) In General.--'' before ``In
            addition''; and
                (2) by adding at the end the following:

        ``(b) Delay.--With respect to the issuance of any warrant or court
    order under this section, or any other rule of law, to search for and
    seize any property or material that constitutes evidence of a criminal
    offense in violation of the laws of the United States, any notice
    required, or that may be required, to be given may be delayed if--
                ``(1) the court finds reasonable cause to believe that
            providing immediate notification of the execution of the warrant
            may have an adverse result (as defined in section 2705);
                ``(2) the warrant prohibits the seizure of any tangible
            property, any wire or electronic communication (as defined in
            section 2510), or, except as expressly provided in chapter 121,
            any stored wire or electronic information, except where the
            court finds reasonable necessity for the seizure; and
                ``(3) the warrant provides for the giving of such notice
            within a reasonable period of its execution, which period may
            thereafter be extended by the court for good cause shown.''.

    SEC. 214. PEN REGISTER AND TRAP AND TRACE AUTHORITY UNDER FISA.

        (a) Applications and Orders.--Section 402 of the Foreign
    Intelligence Surveillance Act of 1978 (50 U.S.C. 1842) is amended--
                (1) in subsection (a)(1), by striking ``for any
            investigation to gather foreign intelligence information or
            information concerning international terrorism'' and inserting
            ``for any investigation to obtain foreign intelligence
            information not concerning a United States person or to protect
            against international terrorism or clandestine intelligence
            activities, provided that such investigation of a United States
            person is not conducted solely upon the basis of activities
            protected by the first amendment to the Constitution'';
                (2) by amending subsection (c)(2) to read as follows:
                ``(2) a certification by the applicant that the information
            likely to be obtained is foreign intelligence information not
            concerning a United States person or is relevant to an ongoing
            investigation to protect against international terrorism or
            clandestine intelligence activities, provided that such
            investigation of a United States person is not conducted solely
            upon the basis of activities protected by the first amendment to
            the Constitution.'';
                (3) by striking subsection (c)(3); and
                (4) by amending subsection (d)(2)(A) to read as follows:
                        ``(A) shall specify--
                              ``(i) the identity, if known, of the person
                          who is the subject of the investigation;
                              ``(ii) the identity, if known, of the person
                          to whom is leased or in whose name is listed the
                          telephone line or other facility to which the pen
                          register or trap and trace device is to be
                          attached or applied;
                              ``(iii) the attributes of the communications
                          to which the order applies, such as the number or
                          other identifier, and, if known, the location of
                          the telephone line or other facility to which the
                          pen register or trap and trace device is to be
                          attached or applied and,

    [[Page 115 STAT. 287]]

                          in the case of a trap and trace device, the
                          geographic limits of the trap and trace order.''.

        (b) Authorization During Emergencies.--Section 403 of the Foreign
    Intelligence Surveillance Act of 1978 (50 U.S.C. 1843) is amended--
                (1) in subsection (a), by striking ``foreign intelligence
            information or information concerning international terrorism''
            and inserting ``foreign intelligence information not concerning
            a United States person or information to protect against
            international terrorism or clandestine intelligence activities,
            provided that such investigation of a United States person is
            not conducted solely upon the basis of activities protected by
            the first amendment to the Constitution''; and
                (2) in subsection (b)(1), by striking ``foreign intelligence
            information or information concerning international terrorism''
            and inserting ``foreign intelligence information not concerning
            a United States person or information to protect against
            international terrorism or clandestine intelligence activities,
            provided that such investigation of a United States person is
            not conducted solely upon the basis of activities protected by
            the first amendment to the Constitution''.

    SEC. 215. ACCESS TO RECORDS AND OTHER ITEMS UNDER THE FOREIGN
                INTELLIGENCE SURVEILLANCE ACT.

        Title V of the Foreign Intelligence Surveillance Act of 1978 (50
    U.S.C. 1861 et seq.) is amended by striking sections 501 through 503 and
    inserting the following:

    ``SEC. 501. <<NOTE: 50 USC 1861.>> ACCESS TO CERTAIN BUSINESS RECORDS
                FOR FOREIGN INTELLIGENCE AND INTERNATIONAL TERRORISM
                INVESTIGATIONS.

        ``(a)(1) The Director of the Federal Bureau of Investigation or a
    designee of the Director (whose rank shall be no lower than Assistant
    Special Agent in Charge) may make an application for an order requiring
    the production of any tangible things (including books, records, papers,
    documents, and other items) for an investigation to protect against
    international terrorism or clandestine intelligence activities, provided
    that such investigation of a United States person is not conducted
    solely upon the basis of activities protected by the first amendment to
    the Constitution.
        ``(2) An investigation conducted under this section shall--
                ``(A) be conducted under guidelines approved by the Attorney
            General under Executive Order 12333 (or a successor order); and
                ``(B) not be conducted of a United States person solely upon
            the basis of activities protected by the first amendment to the
            Constitution of the United States.

        ``(b) Each application under this section--
                ``(1) shall be made to--
                        ``(A) a judge of the court established by section
                    103(a); or
                        ``(B) a United States Magistrate Judge under chapter
                    43 of title 28, United States Code, who is publicly
                    designated by the Chief Justice of the United States to
                    have the power to hear applications and grant orders for
                    the production of tangible things under this section on
                    behalf of a judge of that court; and

    [[Page 115 STAT. 288]]

                ``(2) shall specify that the records concerned are sought
            for an authorized investigation conducted in accordance with
            subsection (a)(2) to obtain foreign intelligence information not
            concerning a United States person or to protect against
            international terrorism or clandestine intelligence activities.

        ``(c)(1) Upon an application made pursuant to this section, the
    judge shall enter an ex parte order as requested, or as modified,
    approving the release of records if the judge finds that the application
    meets the requirements of this section.
        ``(2) An order under this subsection shall not disclose that it is
    issued for purposes of an investigation described in subsection (a).
        ``(d) No person shall disclose to any other person (other than those
    persons necessary to produce the tangible things under this section)
    that the Federal Bureau of Investigation has sought or obtained tangible
    things under this section.
        ``(e) A person who, in good faith, produces tangible things under an
    order pursuant to this section shall not be liable to any other person
    for such production. Such production shall not be deemed to constitute a
    waiver of any privilege in any other proceeding or context.

    ``SEC. 502. <<NOTE: 50 USC 1862.>> CONGRESSIONAL OVERSIGHT.

        ``(a) On a semiannual basis, the Attorney General shall fully inform
    the Permanent Select Committee on Intelligence of the House of
    Representatives and the Select Committee on Intelligence of the Senate
    concerning all requests for the production of tangible things under
    section 402.
        ``(b) On a semiannual basis, the Attorney General shall provide to
    the Committees on the Judiciary of the House of Representatives and the
    Senate a report setting forth with respect to the preceding 6-month
    period--
                ``(1) the total number of applications made for orders
            approving requests for the production of tangible things under
            section 402; and
                ``(2) the total number of such orders either granted,
            modified, or denied.''.

    SEC. 216. MODIFICATION OF AUTHORITIES RELATING TO USE OF PEN REGISTERS
                AND TRAP AND TRACE DEVICES.

        (a) General Limitations.--Section 3121(c) of title 18, United States
    Code, is amended--
                (1) by inserting ``or trap and trace device'' after ``pen
            register'';
                (2) by inserting ``, routing, addressing,'' after
            ``dialing''; and
                (3) by striking ``call processing'' and inserting ``the
            processing and transmitting of wire or electronic communications
            so as not to include the contents of any wire or electronic
            communications''.

        (b) Issuance of Orders.--
                (1) In general.--Section 3123(a) of title 18, United States
            Code, is amended to read as follows:

        ``(a) In General.--
                ``(1) Attorney for the government.--Upon an application made
            under section 3122(a)(1), the court shall enter an ex parte
            order authorizing the installation and use of a pen register or
            trap and trace device anywhere within the United States, if the
            court finds that the attorney for the Government

    [[Page 115 STAT. 289]]

            has certified to the court that the information likely to be
            obtained by such installation and use is relevant to an ongoing
            criminal investigation. The order, upon service of that order,
            shall apply to any person or entity providing wire or electronic
            communication service in the United States whose assistance may
            facilitate the execution of the order. Whenever such an order is
            served on any person or entity not specifically named in the
            order, upon request of such person or entity, the attorney for
            the Government or law enforcement or investigative officer that
            is serving the order shall provide written or electronic
            certification that the order applies to the person or entity
            being served.
                ``(2) State investigative or law enforcement officer.--Upon
            an application made under section 3122(a)(2), the court shall
            enter an ex parte order authorizing the installation and use of
            a pen register or trap and trace device within the jurisdiction
            of the court, if the court finds that the State law enforcement
            or investigative officer has certified to the court that the
            information likely to be obtained by such installation and use
            is relevant to an ongoing criminal investigation.
                ``(3)(A) Where the law enforcement agency implementing an ex
            parte order under this subsection seeks to do so by installing
            and using its own pen register or trap and trace device on a
            packet-switched data network of a provider of electronic
            communication service to the public, the agency shall ensure
            that a record will be maintained which will identify--
                        ``(i) any officer or officers who installed the
                    device and any officer or officers who accessed the
                    device to obtain information from the network;
                        ``(ii) the date and time the device was installed,
                    the date and time the device was uninstalled, and the
                    date, time, and duration of each time the device is
                    accessed to obtain information;
                        ``(iii) the configuration of the device at the time
                    of its installation and any subsequent modification
                    thereof; and
                        ``(iv) any information which has been collected by
                    the device.
            To the extent that the pen register or trap and trace device can
            be set automatically to record this information electronically,
            the record shall be maintained electronically throughout the
            installation and use of such device.
                ``(B) The record maintained under subparagraph (A) shall be
            provided ex parte and under seal to the court which entered the
            ex parte order authorizing the installation and use of the
            device within 30 days after termination of the order (including
            any extensions thereof).''.
                (2) Contents of order.--Section 3123(b)(1) of title 18,
            United States Code, is amended--
                        (A) in subparagraph (A)--
                              (i) by inserting ``or other facility'' after
                          ``telephone line''; and
                              (ii) by inserting before the semicolon at the
                          end ``or applied''; and
                        (B) by striking subparagraph (C) and inserting the
                    following:

    [[Page 115 STAT. 290]]

                        ``(C) the attributes of the communications to which
                    the order applies, including the number or other
                    identifier and, if known, the location of the telephone
                    line or other facility to which the pen register or trap
                    and trace device is to be attached or applied, and, in
                    the case of an order authorizing installation and use of
                    a trap and trace device under subsection (a)(2), the
                    geographic limits of the order; and''.
                (3) Nondisclosure requirements.--Section 3123(d)(2) of title
            18, United States Code, is amended--
                        (A) by inserting ``or other facility'' after ``the
                    line''; and
                        (B) by striking ``, or who has been ordered by the
                    court'' and inserting ``or applied, or who is obligated
                    by the order''.

        (c) Definitions.--
                (1) Court of competent jurisdiction.--Section 3127(2) of
            title 18, United States Code, is amended by striking
            subparagraph (A) and inserting the following:
                        ``(A) any district court of the United States
                    (including a magistrate judge of such a court) or any
                    United States court of appeals having jurisdiction over
                    the offense being investigated; or''.
                (2) Pen register.--Section 3127(3) of title 18, United
            States Code, is amended--
                        (A) by striking ``electronic or other impulses'' and
                    all that follows through ``is attached'' and inserting
                    ``dialing, routing, addressing, or signaling information
                    transmitted by an instrument or facility from which a
                    wire or electronic communication is transmitted,
                    provided, however, that such information shall not
                    include the contents of any communication''; and
                        (B) by inserting ``or process'' after ``device''
                    each place it appears.
                (3) Trap and trace device.--Section 3127(4) of title 18,
            United States Code, is amended--
                        (A) by striking ``of an instrument'' and all that
                    follows through the semicolon and inserting ``or other
                    dialing, routing, addressing, and signaling information
                    reasonably likely to identify the source of a wire or
                    electronic communication, provided, however, that such
                    information shall not include the contents of any
                    communication;''; and
                        (B) by inserting ``or process'' after ``a device''.
                (4) Conforming amendment.--Section 3127(1) of title 18,
            United States Code, is amended--
                        (A) by striking ``and''; and
                        (B) by inserting ``, and `contents' '' after
                    ``electronic communication service''.
                (5) Technical amendment.--Section 3124(d) of title 18,
            United States Code, is amended by striking ``the terms of''.
                (6) Conforming amendment.--Section 3124(b) of title 18,
            United States Code, is amended by inserting ``or other
            facility'' after ``the appropriate line''.

    SEC. 217. INTERCEPTION OF COMPUTER TRESPASSER COMMUNICATIONS.

        Chapter 119 of title 18, United States Code, is amended--

    [[Page 115 STAT. 291]]

                (1) in section 2510--
                        (A) in paragraph (18), by striking ``and'' at the
                    end;
                        (B) in paragraph (19), by striking the period and
                    inserting a semicolon; and
                        (C) by inserting after paragraph (19) the following:
                ``(20) `protected computer' has the meaning set forth in
            section 1030; and
                ``(21) `computer trespasser'--
                        ``(A) means a person who accesses a protected
                    computer without authorization and thus has no
                    reasonable expectation of privacy in any communication
                    transmitted to, through, or from the protected computer;
                    and
                        ``(B) does not include a person known by the owner
                    or operator of the protected computer to have an
                    existing contractual relationship with the owner or
                    operator of the protected computer for access to all or
                    part of the protected computer.''; and
                (2) in section 2511(2), by inserting at the end the
            following:

        ``(i) It shall not be unlawful under this chapter for a person
    acting under color of law to intercept the wire or electronic
    communications of a computer trespasser transmitted to, through, or from
    the protected computer, if--
                ``(I) the owner or operator of the protected computer
            authorizes the interception of the computer trespasser's
            communications on the protected computer;
                ``(II) the person acting under color of law is lawfully
            engaged in an investigation;
                ``(III) the person acting under color of law has reasonable
            grounds to believe that the contents of the computer
            trespasser's communications will be relevant to the
            investigation; and
                ``(IV) such interception does not acquire communications
            other than those transmitted to or from the computer
            trespasser.''.

    SEC. 218. FOREIGN INTELLIGENCE INFORMATION.

        Sections 104(a)(7)(B) and section 303(a)(7)(B) (50 U.S.C.
    1804(a)(7)(B) and 1823(a)(7)(B)) of the Foreign Intelligence
    Surveillance Act of 1978 are each amended by striking ``the purpose''
    and inserting ``a significant purpose''.

    SEC. 219. <<NOTE: 18 USC app.>> SINGLE-JURISDICTION SEARCH WARRANTS FOR
                TERRORISM.

        Rule 41(a) of the Federal Rules of Criminal Procedure is amended by
    inserting after ``executed'' the following: ``and (3) in an
    investigation of domestic terrorism or international terrorism (as
    defined in section 2331 of title 18, United States Code), by a Federal
    magistrate judge in any district in which activities related to the
    terrorism may have occurred, for a search of property or for a person
    within or outside the district''.

    SEC. 220. NATIONWIDE SERVICE OF SEARCH WARRANTS FOR ELECTRONIC EVIDENCE.

        (a) In General.--Chapter 121 of title 18, United States Code, is
    amended--
                (1) in section 2703, by striking ``under the Federal Rules
            of Criminal Procedure'' every place it appears and inserting
            ``using the procedures described in the Federal Rules of

    [[Page 115 STAT. 292]]

            Criminal Procedure by a court with jurisdiction over the offense
            under investigation''; and
                (2) in section 2711--
                        (A) in paragraph (1), by striking ``and'';
                        (B) in paragraph (2), by striking the period and
                    inserting ``; and''; and
                        (C) by inserting at the end the following:
                ``(3) the term `court of competent jurisdiction' has the
            meaning assigned by section 3127, and includes any Federal court
            within that definition, without geographic limitation.''.

        (b) Conforming Amendment.--Section 2703(d) of title 18, United
    States Code, is amended by striking ``described in section 3127(2)(A)''.

    SEC. 221. TRADE SANCTIONS.

        (a) In general.--The Trade Sanctions Reform and Export Enhancement
    Act of 2000 (Public Law 106-387; 114 Stat. 1549A-67) is amended--
                (1) by amending section 904(2)(C) to read as follows:
                        ``(C) used to facilitate the design, development, or
                    production of chemical or biological weapons, missiles,
                    or weapons of mass destruction.'';
                (2) in section 906(a)(1)--
                        (A) by inserting ``, the Taliban or the territory of
                    Afghanistan controlled by the Taliban,'' after ``Cuba'';
                    and
                        (B) by inserting ``, or in the territory of
                    Afghanistan controlled by the Taliban,'' after ``within
                    such country''; and
                (3) in section 906(a)(2), by inserting ``, or to any other
            entity in Syria or North Korea'' after ``Korea''.

        (b) Application <<NOTE: 22 USC 7210.>> of the Trade Sanctions Reform
    and Export Enhancement Act.--Nothing in the Trade Sanctions Reform and
    Export Enhancement Act of 2000 shall limit the application or scope of
    any law establishing criminal or civil penalties, including any
    Executive order or regulation promulgated pursuant to such laws (or
    similar or successor laws), for the unlawful export of any agricultural
    commodity, medicine, or medical device to--
                (1) a foreign organization, group, or person designated
            pursuant to Executive Order No. 12947 of January 23, 1995, as
            amended;
                (2) a Foreign Terrorist Organization pursuant to the
            Antiterrorism and Effective Death Penalty Act of 1996 (Public
            Law 104-132);
                (3) a foreign organization, group, or person designated
            pursuant to Executive Order No. 13224 (September 23, 2001);
                (4) any narcotics trafficking entity designated pursuant to
            Executive Order No. 12978 (October 21, 1995) or the Foreign
            Narcotics Kingpin Designation Act (Public Law 106-120); or
                (5) any foreign organization, group, or persons subject to
            any restriction for its involvement in weapons of mass
            destruction or missile proliferation.

    SEC. 222. <<NOTE: 18 USC 3124 note.>> ASSISTANCE TO LAW ENFORCEMENT
                AGENCIES.

        Nothing in this Act shall impose any additional technical obligation
    or requirement on a provider of a wire or electronic communication
    service or other person to furnish facilities or technical assistance. A
    provider of a wire or electronic communication service,

    [[Page 115 STAT. 293]]

    landlord, custodian, or other person who furnishes facilities or
    technical assistance pursuant to section 216 shall be reasonably
    compensated for such reasonable expenditures incurred in providing such
    facilities or assistance.

    SEC. 223. CIVIL LIABILITY FOR CERTAIN UNAUTHORIZED DISCLOSURES.

        (a) Section 2520 of title 18, United States Code, is amended--
                (1) in subsection (a), after ``entity'', by inserting ``,
            other than the United States,'';
                (2) by adding at the end the following:

        ``(f) Administrative Discipline.--If a court or appropriate
    department or agency determines that the United States or any of its
    departments or agencies has violated any provision of this chapter, and
    the court or appropriate department or agency finds that the
    circumstances surrounding the violation raise serious questions about
    whether or not an officer or employee of the United States acted
    willfully or intentionally with respect to the violation, the department
    or agency shall, upon receipt of a true and correct copy of the decision
    and findings of the court or appropriate department or agency promptly
    initiate a proceeding to determine whether disciplinary action against
    the officer or employee is warranted. If the head of the department or
    agency involved determines that disciplinary action is not warranted, he
    or she shall notify the Inspector General with jurisdiction over the
    department or agency concerned and shall provide the Inspector General
    with the reasons for such determination.''; and
                (3) by adding a new subsection (g), as follows:

        ``(g) Improper Disclosure Is Violation.--Any willful disclosure or
    use by an investigative or law enforcement officer or governmental
    entity of information beyond the extent permitted by section 2517 is a
    violation of this chapter for purposes of section 2520(a).''.
        (b) Section 2707 of title 18, United States Code, is amended--
                (1) in subsection (a), after ``entity'', by inserting ``,
            other than the United States,'';
                (2) by striking subsection (d) and inserting the following:

        ``(d) Administrative Discipline.--If a court or appropriate
    department or agency determines that the United States or any of its
    departments or agencies has violated any provision of this chapter, and
    the court or appropriate department or agency finds that the
    circumstances surrounding the violation raise serious questions about
    whether or not an officer or employee of the United States acted
    willfully or intentionally with respect to the violation, the department
    or agency shall, upon receipt of a true and correct copy of the decision
    and findings of the court or appropriate department or agency promptly
    initiate a proceeding to determine whether disciplinary action against
    the officer or employee is warranted. If the head of the department or
    agency involved determines that disciplinary action is not warranted, he
    or she shall notify the Inspector General with jurisdiction over the
    department or agency concerned and shall provide the Inspector General
    with the reasons for such determination.''; and
                (3) by adding a new subsection (g), as follows:

        ``(g) Improper Disclosure.--Any willful disclosure of a `record', as
    that term is defined in section 552a(a) of title 5, United States Code,
    obtained by an investigative or law enforcement officer, or a
    governmental entity, pursuant to section 2703 of this title, or

    [[Page 115 STAT. 294]]

    from a device installed pursuant to section 3123 or 3125 of this title,
    that is not a disclosure made in the proper performance of the official
    functions of the officer or governmental entity making the disclosure,
    is a violation of this chapter. This provision shall not apply to
    information previously lawfully disclosed (prior to the commencement of
    any civil or administrative proceeding under this chapter) to the public
    by a Federal, State, or local governmental entity or by the plaintiff in
    a civil action under this chapter.''.
        (c)(1) Chapter 121 of title 18, United States Code, is amended by
    adding at the end the following:

    ``Sec. 2712. Civil actions against the United States

        ``(a) In General.--Any person who is aggrieved by any willful
    violation of this chapter or of chapter 119 of this title or of sections
    106(a), 305(a), or 405(a) of the Foreign Intelligence Surveillance Act
    of 1978 (50 U.S.C. 1801 et seq.) may commence an action in United States
    District Court against the United States to recover money damages. In
    any such action, if a person who is aggrieved successfully establishes
    such a violation of this chapter or of chapter 119 of this title or of
    the above specific provisions of title 50, the Court may assess as
    damages--
                ``(1) actual damages, but not less than $10,000, whichever
            amount is greater; and
                ``(2) litigation costs, reasonably incurred.

        ``(b) Procedures.--(1) Any action against the United States under
    this section may be commenced only after a claim is presented to the
    appropriate department or agency under the procedures of the Federal
    Tort Claims Act, as set forth in title 28, United States Code.
        ``(2) Any action against the United States under this section shall
    be forever barred unless it is presented in writing to the appropriate
    Federal agency within 2 years after such claim accrues or unless action
    is begun within 6 months after the date of mailing, by certified or
    registered mail, of notice of final denial of the claim by the agency to
    which it was presented. The claim shall accrue on the date upon which
    the claimant first has a reasonable opportunity to discover the
    violation.
        ``(3) Any action under this section shall be tried to the court
    without a jury.
        ``(4) Notwithstanding any other provision of law, the procedures set
    forth in section 106(f), 305(g), or 405(f) of the Foreign Intelligence
    Surveillance Act of 1978 (50 U.S.C. 1801 et seq.) shall be the exclusive
    means by which materials governed by those sections may be reviewed.
        ``(5) An amount equal to any award against the United States under
    this section shall be reimbursed by the department or agency concerned
    to the fund described in section 1304 of title 31, United States Code,
    out of any appropriation, fund, or other account (excluding any part of
    such appropriation, fund, or account that is available for the
    enforcement of any Federal law) that is available for the operating
    expenses of the department or agency concerned.
        ``(c) Administrative Discipline.--If a court or appropriate
    department or agency determines that the United States or any of its
    departments or agencies has violated any provision of this chapter, and
    the court or appropriate department or agency finds that the
    circumstances surrounding the violation raise serious questions about
    whether or not an officer or employee of the United

    [[Page 115 STAT. 295]]

    States acted willfully or intentionally with respect to the violation,
    the department or agency shall, upon receipt of a true and correct copy
    of the decision and findings of the court or appropriate department or
    agency promptly initiate a proceeding to determine whether disciplinary
    action against the officer or employee is warranted. If the head of the
    department or agency involved determines that disciplinary action is not
    warranted, he or she shall notify the Inspector General with
    jurisdiction over the department or agency concerned and shall provide
    the Inspector General with the reasons for such determination.
        ``(d) Exclusive Remedy.--Any action against the United States under
    this subsection shall be the exclusive remedy against the United States
    for any claims within the purview of this section.
        ``(e) Stay of Proceedings.--(1) Upon the motion of the United
    States, the court shall stay any action commenced under this section if
    the court determines that civil discovery will adversely affect the
    ability of the Government to conduct a related investigation or the
    prosecution of a related criminal case. Such a stay shall toll the
    limitations periods of paragraph (2) of subsection (b).
        ``(2) In this subsection, the terms `related criminal case' and
    `related investigation' mean an actual prosecution or investigation in
    progress at the time at which the request for the stay or any subsequent
    motion to lift the stay is made. In determining whether an investigation
    or a criminal case is related to an action commenced under this section,
    the court shall consider the degree of similarity between the parties,
    witnesses, facts, and circumstances involved in the 2 proceedings,
    without requiring that any one or more factors be identical.
        ``(3) In requesting a stay under paragraph (1), the Government may,
    in appropriate cases, submit evidence ex parte in order to avoid
    disclosing any matter that may adversely affect a related investigation
    or a related criminal case. If the Government makes such an ex parte
    submission, the plaintiff shall be given an opportunity to make a
    submission to the court, not ex parte, and the court may, in its
    discretion, request further information from either party.''.
        (2) The table of sections at the beginning of chapter 121 is amended
    to read as follows:

    ``2712. Civil action against the United States.''.

    SEC. 224. <<NOTE: 18 USC 2510 note.>> SUNSET.

        (a) In General.--Except as provided in subsection (b), this title
    and the amendments made by this title (other than sections 203(a),
    203(c), 205, 208, 210, 211, 213, 216, 219, 221, and 222, and the
    amendments made by those sections) shall cease to have effect on
    December 31, 2005.
        (b) Exception.--With respect to any particular foreign intelligence
    investigation that began before the date on which the provisions
    referred to in subsection (a) cease to have effect, or with respect to
    any particular offense or potential offense that began or occurred
    before the date on which such provisions cease to have effect, such
    provisions shall continue in effect.

    SEC. 225. IMMUNITY FOR COMPLIANCE WITH FISA WIRETAP.

        Section 105 of the Foreign Intelligence Surveillance Act of 1978 (50
    U.S.C. 1805) is amended by inserting after subsection (g) the following:

    [[Page 115 STAT. 296]]

        ``(h) No cause of action shall lie in any court against any provider
    of a wire or electronic communication service, landlord, custodian, or
    other person (including any officer, employee, agent, or other specified
    person thereof) that furnishes any information, facilities, or technical
    assistance in accordance with a court order or request for emergency
    assistance under this Act.''.

      TITLE <<NOTE: International Money Laundering Abatement and Financial
       Anti-Terrorism Act of 2001.>> III--INTERNATIONAL MONEY LAUNDERING
    ABATEMENT AND ANTI-TERRORIST FINANCING ACT OF 2001

    SEC. 301. <<NOTE: 31 USC 5301 note.>> SHORT TITLE.

        This title may be cited as the ``International Money Laundering
    Abatement and Financial Anti-Terrorism Act of 2001''.

    SEC. 302. <<NOTE: 31 USC 5311 note.>> FINDINGS AND PURPOSES.

        (a) Findings.--The Congress finds that--
                (1) money laundering, estimated by the International
            Monetary Fund to amount to between 2 and 5 percent of global
            gross domestic product, which is at least $600,000,000,000
            annually, provides the financial fuel that permits transnational
            criminal enterprises to conduct and expand their operations to
            the detriment of the safety and security of American citizens;
                (2) money laundering, and the defects in financial
            transparency on which money launderers rely, are critical to the
            financing of global terrorism and the provision of funds for
            terrorist attacks;
                (3) money launderers subvert legitimate financial mechanisms
            and banking relationships by using them as protective covering
            for the movement of criminal proceeds and the financing of crime
            and terrorism, and, by so doing, can threaten the safety of
            United States citizens and undermine the integrity of United
            States financial institutions and of the global financial and
            trading systems upon which prosperity and growth depend;
                (4) certain jurisdictions outside of the United States that
            offer ``offshore'' banking and related facilities designed to
            provide anonymity, coupled with weak financial supervisory and
            enforcement regimes, provide essential tools to disguise
            ownership and movement of criminal funds, derived from, or used
            to commit, offenses ranging from narcotics trafficking,
            terrorism, arms smuggling, and trafficking in human beings, to
            financial frauds that prey on law-abiding citizens;
                (5) transactions involving such offshore jurisdictions make
            it difficult for law enforcement officials and regulators to
            follow the trail of money earned by criminals, organized
            international criminal enterprises, and global terrorist
            organizations;
                (6) correspondent banking facilities are one of the banking
            mechanisms susceptible in some circumstances to manipulation by
            foreign banks to permit the laundering of funds by hiding the
            identity of real parties in interest to financial transactions;
                (7) private banking services can be susceptible to
            manipulation by money launderers, for example corrupt foreign
            government officials, particularly if those services include the
            creation of offshore accounts and facilities for large personal
            funds transfers to channel funds into accounts around the globe;

    [[Page 115 STAT. 297]]

                (8) United States anti-money laundering efforts are impeded
            by outmoded and inadequate statutory provisions that make
            investigations, prosecutions, and forfeitures more difficult,
            particularly in cases in which money laundering involves foreign
            persons, foreign banks, or foreign countries;
                (9) the ability to mount effective counter-measures to
            international money launderers requires national, as well as
            bilateral and multilateral action, using tools specially
            designed for that effort; and
                (10) the Basle Committee on Banking Regulation and
            Supervisory Practices and the Financial Action Task Force on
            Money Laundering, of both of which the United States is a
            member, have each adopted international anti-money laundering
            principles and recommendations.

        (b) Purposes.--The purposes of this title are--
                (1) to increase the strength of United States measures to
            prevent, detect, and prosecute international money laundering
            and the financing of terrorism;
                (2) to ensure that--
                        (A) banking transactions and financial relationships
                    and the conduct of such transactions and relationships,
                    do not contravene the purposes of subchapter II of
                    chapter 53 of title 31, United States Code, section 21
                    of the Federal Deposit Insurance Act, or chapter 2 of
                    title I of Public Law 91-508 (84 Stat. 1116), or
                    facilitate the evasion of any such provision; and
                        (B) the purposes of such provisions of law continue
                    to be fulfilled, and such provisions of law are
                    effectively and efficiently administered;
                (3) to strengthen the provisions put into place by the Money
            Laundering Control Act of 1986 (18 U.S.C. 981 note), especially
            with respect to crimes by non-United States nationals and
            foreign financial institutions;
                (4) to provide a clear national mandate for subjecting to
            special scrutiny those foreign jurisdictions, financial
            institutions operating outside of the United States, and classes
            of international transactions or types of accounts that pose
            particular, identifiable opportunities for criminal abuse;
                (5) to provide the Secretary of the Treasury (in this title
            referred to as the ``Secretary'') with broad discretion, subject
            to the safeguards provided by the Administrative Procedure Act
            under title 5, United States Code, to take measures tailored to
            the particular money laundering problems presented by specific
            foreign jurisdictions, financial institutions operating outside
            of the United States, and classes of international transactions
            or types of accounts;
                (6) to ensure that the employment of such measures by the
            Secretary permits appropriate opportunity for comment by
            affected financial institutions;
                (7) to provide guidance to domestic financial institutions
            on particular foreign jurisdictions, financial institutions
            operating outside of the United States, and classes of
            international transactions that are of primary money laundering
            concern to the United States Government;
                (8) to ensure that the forfeiture of any assets in
            connection with the anti-terrorist efforts of the United States
            permits

    [[Page 115 STAT. 298]]

            for adequate challenge consistent with providing due process
            rights;
                (9) to clarify the terms of the safe harbor from civil
            liability for filing suspicious activity reports;
                (10) to strengthen the authority of the Secretary to issue
            and administer geographic targeting orders, and to clarify that
            violations of such orders or any other requirement imposed under
            the authority contained in chapter 2 of title I of Public Law
            91-508 and subchapters II and III of chapter 53 of title 31,
            United States Code, may result in criminal and civil penalties;
                (11) to ensure that all appropriate elements of the
            financial services industry are subject to appropriate
            requirements to report potential money laundering transactions
            to proper authorities, and that jurisdictional disputes do not
            hinder examination of compliance by financial institutions with
            relevant reporting requirements;
                (12) to strengthen the ability of financial institutions to
            maintain the integrity of their employee population; and
                (13) to strengthen measures to prevent the use of the United
            States financial system for personal gain by corrupt foreign
            officials and to facilitate the repatriation of any stolen
            assets to the citizens of countries to whom such assets belong.

    SEC. 303. <<NOTE: 31 USC 5311 note.>> 4-YEAR CONGRESSIONAL REVIEW;
                EXPEDITED CONSIDERATION.

        (a) In General.--Effective <<NOTE: Effective date.>> on and after
    the first day of fiscal year 2005, the provisions of this title and the
    amendments made by this title shall terminate if the Congress enacts a
    joint resolution, the text after the resolving clause of which is as
    follows: ``That provisions of the International Money Laundering
    Abatement and Anti-Terrorist Financing Act of 2001, and the amendments
    made thereby, shall no longer have the force of law.''.

        (b) Expedited Consideration.--Any joint resolution submitted
    pursuant to this section should be considered by the Congress
    expeditiously. In particular, it shall be considered in the Senate in
    accordance with the provisions of section 601(b) of the International
    Security Assistance and Arms Control Act of 1976.

     Subtitle A--International Counter Money Laundering and Related Measures

    SEC. 311. SPECIAL MEASURES FOR JURISDICTIONS, FINANCIAL INSTITUTIONS, OR
                INTERNATIONAL TRANSACTIONS OF PRIMARY MONEY LAUNDERING
                CONCERN.

        (a) In General.--Subchapter II of chapter 53 of title 31, United
    States Code, is amended by inserting after section 5318 the following
    new section:

    ``Sec. 5318A. Special measures for jurisdictions, financial
                            institutions, or international transactions of
                            primary money laundering concern

        ``(a) International Counter-Money Laundering Requirements.--
                ``(1) In general.--The Secretary of the Treasury may require
            domestic financial institutions and domestic financial

    [[Page 115 STAT. 299]]

            agencies to take 1 or more of the special measures described in
            subsection (b) if the Secretary finds that reasonable grounds
            exist for concluding that a jurisdiction outside of the United
            States, 1 or more financial institutions operating outside of
            the United States, 1 or more classes of transactions within, or
            involving, a jurisdiction outside of the United States, or 1 or
            more types of accounts is of primary money laundering concern,
            in accordance with subsection (c).
                ``(2) Form of requirement.--The special measures described
            in--
                        ``(A) subsection (b) may be imposed in such sequence
                    or combination as the Secretary shall determine;
                        ``(B) paragraphs (1) through (4) of subsection (b)
                    may be imposed by regulation, order, or otherwise as
                    permitted by law; and
                        ``(C) subsection (b)(5) may be imposed only by
                    regulation.
                ``(3) Duration of orders; rulemaking.--Any order by which a
            special measure described in paragraphs (1) through (4) of
            subsection (b) is imposed (other than an order described in
            section 5326)--
                        ``(A) shall be issued together with a notice of
                    proposed rulemaking relating to the imposition of such
                    special measure; and
                        ``(B) may not remain in effect for more than 120
                    days, except pursuant to a rule promulgated on or before
                    the end of the 120-day period beginning on the date of
                    issuance of such order.
                ``(4) Process for selecting special measures.--In selecting
            which special measure or measures to take under this subsection,
            the Secretary of the Treasury--
                        ``(A) shall consult with the Chairman of the Board
                    of Governors of the Federal Reserve System, any other
                    appropriate Federal banking agency, as defined in
                    section 3 of the Federal Deposit Insurance Act, the
                    Secretary of State, the Securities and Exchange
                    Commission, the Commodity Futures Trading Commission,
                    the National Credit Union Administration Board, and in
                    the sole discretion of the Secretary, such other
                    agencies and interested parties as the Secretary may
                    find to be appropriate; and
                        ``(B) shall consider--
                              ``(i) whether similar action has been or is
                          being taken by other nations or multilateral
                          groups;
                              ``(ii) whether the imposition of any
                          particular special measure would create a
                          significant competitive disadvantage, including
                          any undue cost or burden associated with
                          compliance, for financial institutions organized
                          or licensed in the United States;
                              ``(iii) the extent to which the action or the
                          timing of the action would have a significant
                          adverse systemic impact on the international
                          payment, clearance, and settlement system, or on
                          legitimate business activities involving the
                          particular jurisdiction, institution, or class of
                          transactions; and
                              ``(iv) the effect of the action on United
                          States national security and foreign policy.

    [[Page 115 STAT. 300]]

                ``(5) No limitation on other authority.--This section shall
            not be construed as superseding or otherwise restricting any
            other authority granted to the Secretary, or to any other
            agency, by this subchapter or otherwise.

        ``(b) Special Measures.--The special measures referred to in
    subsection (a), with respect to a jurisdiction outside of the United
    States, financial institution operating outside of the United States,
    class of transaction within, or involving, a jurisdiction outside of the
    United States, or 1 or more types of accounts are as follows:
                ``(1) Recordkeeping and reporting of certain financial
            transactions.--
                        ``(A) In general.--The Secretary of the Treasury may
                    require any domestic financial institution or domestic
                    financial agency to maintain records, file reports, or
                    both, concerning the aggregate amount of transactions,
                    or concerning each transaction, with respect to a
                    jurisdiction outside of the United States, 1 or more
                    financial institutions operating outside of the United
                    States, 1 or more classes of transactions within, or
                    involving, a jurisdiction outside of the United States,
                    or 1 or more types of accounts if the Secretary finds
                    any such jurisdiction, institution, or class of
                    transactions to be of primary money laundering concern.
                        ``(B) Form of records and reports.--Such records and
                    reports shall be made and retained at such time, in such
                    manner, and for such period of time, as the Secretary
                    shall determine, and shall include such information as
                    the Secretary may determine, including--
                              ``(i) the identity and address of the
                          participants in a transaction or relationship,
                          including the identity of the originator of any
                          funds transfer;
                              ``(ii) the legal capacity in which a
                          participant in any transaction is acting;
                              ``(iii) the identity of the beneficial owner
                          of the funds involved in any transaction, in
                          accordance with such procedures as the Secretary
                          determines to be reasonable and practicable to
                          obtain and retain the information; and
                              ``(iv) a description of any transaction.
                ``(2) Information relating to beneficial ownership.--In
            addition to any other requirement under any other provision of
            law, the Secretary may require any domestic financial
            institution or domestic financial agency to take such steps as
            the Secretary may determine to be reasonable and practicable to
            obtain and retain information concerning the beneficial
            ownership of any account opened or maintained in the United
            States by a foreign person (other than a foreign entity whose
            shares are subject to public reporting requirements or are
            listed and traded on a regulated exchange or trading market), or
            a representative of such a foreign person, that involves a
            jurisdiction outside of the United States, 1 or more financial
            institutions operating outside of the United States, 1 or more
            classes of transactions within, or involving, a jurisdiction
            outside of the United States, or 1 or more types of accounts if
            the Secretary finds any such jurisdiction, institution, or
            transaction or type of account to be of primary money laundering
            concern.

    [[Page 115 STAT. 301]]

                ``(3) Information relating to certain payable-through
            accounts.--If the Secretary finds a jurisdiction outside of the
            United States, 1 or more financial institutions operating
            outside of the United States, or 1 or more classes of
            transactions within, or involving, a jurisdiction outside of the
            United States to be of primary money laundering concern, the
            Secretary may require any domestic financial institution or
            domestic financial agency that opens or maintains a payable-
            through account in the United States for a foreign financial
            institution involving any such jurisdiction or any such
            financial institution operating outside of the United States, or
            a payable through account through which any such transaction may
            be conducted, as a condition of opening or maintaining such
            account--
                        ``(A) to identify each customer (and representative
                    of such customer) of such financial institution who is
                    permitted to use, or whose transactions are routed
                    through, such payable-through account; and
                        ``(B) to obtain, with respect to each such customer
                    (and each such representative), information that is
                    substantially comparable to that which the depository
                    institution obtains in the ordinary course of business
                    with respect to its customers residing in the United
                    States.
                ``(4) Information relating to certain correspondent
            accounts.--If the Secretary finds a jurisdiction outside of the
            United States, 1 or more financial institutions operating
            outside of the United States, or 1 or more classes of
            transactions within, or involving, a jurisdiction outside of the
            United States to be of primary money laundering concern, the
            Secretary may require any domestic financial institution or
            domestic financial agency that opens or maintains a
            correspondent account in the United States for a foreign
            financial institution involving any such jurisdiction or any
            such financial institution operating outside of the United
            States, or a correspondent account through which any such
            transaction may be conducted, as a condition of opening or
            maintaining such account--
                        ``(A) to identify each customer (and representative
                    of such customer) of any such financial institution who
                    is permitted to use, or whose transactions are routed
                    through, such correspondent account; and
                        ``(B) to obtain, with respect to each such customer
                    (and each such representative), information that is
                    substantially comparable to that which the depository
                    institution obtains in the ordinary course of business
                    with respect to its customers residing in the United
                    States.
                ``(5) Prohibitions or conditions on opening or maintaining
            certain correspondent or payable-through accounts.--If the
            Secretary finds a jurisdiction outside of the United States, 1
            or more financial institutions operating outside of the United
            States, or 1 or more classes of transactions within, or
            involving, a jurisdiction outside of the United States to be of
            primary money laundering concern, the Secretary, in consultation
            with the Secretary of State, the Attorney General, and the
            Chairman of the Board of Governors of the Federal Reserve
            System, may prohibit, or impose conditions upon, the opening or
            maintaining in the United States of a correspondent account or
            payable- through account by any domestic financial institution
            or domestic financial agency for or on behalf of

    [[Page 115 STAT. 302]]

            a foreign banking institution, if such correspondent account or
            payable-through account involves any such jurisdiction or
            institution, or if any such transaction may be conducted through
            such correspondent account or payable-through account.

        ``(c) Consultations and Information To Be Considered in Finding
    Jurisdictions, Institutions, Types of Accounts, or Transactions To Be of
    Primary Money Laundering Concern.--
                ``(1) In general.--In making a finding that reasonable
            grounds exist for concluding that a jurisdiction outside of the
            United States, 1 or more financial institutions operating
            outside of the United States, 1 or more classes of transactions
            within, or involving, a jurisdiction outside of the United
            States, or 1 or more types of accounts is of primary money
            laundering concern so as to authorize the Secretary of the
            Treasury to take 1 or more of the special measures described in
            subsection (b), the Secretary shall consult with the Secretary
            of State and the Attorney General.
                ``(2) Additional considerations.--In making a finding
            described in paragraph (1), the Secretary shall consider in
            addition such information as the Secretary determines to be
            relevant, including the following potentially relevant factors:
                        ``(A) Jurisdictional factors.--In the case of a
                    particular jurisdiction--
                              ``(i) evidence that organized criminal groups,
                          international terrorists, or both, have transacted
                          business in that jurisdiction;
                              ``(ii) the extent to which that jurisdiction
                          or financial institutions operating in that
                          jurisdiction offer bank secrecy or special
                          regulatory advantages to nonresidents or
                          nondomiciliaries of that jurisdiction;
                              ``(iii) the substance and quality of
                          administration of the bank supervisory and
                          counter-money laundering laws of that
                          jurisdiction;
                              ``(iv) the relationship between the volume of
                          financial transactions occurring in that
                          jurisdiction and the size of the economy of the
                          jurisdiction;
                              ``(v) the extent to which that jurisdiction is
                          characterized as an offshore banking or secrecy
                          haven by credible international organizations or
                          multilateral expert groups;
                              ``(vi) whether the United States has a mutual
                          legal assistance treaty with that jurisdiction,
                          and the experience of United States law
                          enforcement officials and regulatory officials in
                          obtaining information about transactions
                          originating in or routed through or to such
                          jurisdiction; and
                              ``(vii) the extent to which that jurisdiction
                          is characterized by high levels of official or
                          institutional corruption.
                        ``(B) Institutional factors.--In the case of a
                    decision to apply 1 or more of the special measures
                    described in subsection (b) only to a financial
                    institution or institutions, or to a transaction or
                    class of transactions, or to a type of account, or to
                    all 3, within or involving a particular jurisdiction--
                              ``(i) the extent to which such financial
                          institutions, transactions, or types of accounts
                          are used to facilitate

    [[Page 115 STAT. 303]]

                          or promote money laundering in or through the
                          jurisdiction;
                              ``(ii) the extent to which such institutions,
                          transactions, or types of accounts are used for
                          legitimate business purposes in the jurisdiction;
                          and
                              ``(iii) the extent to which such action is
                          sufficient to ensure, with respect to transactions
                          involving the jurisdiction and institutions
                          operating in the jurisdiction, that the purposes
                          of this subchapter continue to be fulfilled, and
                          to guard against international money laundering
                          and other financial crimes.

        ``(d) Notification of Special Measures Invoked by the Secretary.--
    Not later <<NOTE: Deadline.>>  than 10 days after the date of any action
    taken by the Secretary of the Treasury under subsection (a)(1), the
    Secretary shall notify, in writing, the Committee on Financial Services
    of the House of Representatives and the Committee on Banking, Housing,
    and Urban Affairs of the Senate of any such action.

        ``(e) Definitions.--Notwithstanding any other provision of this
    subchapter, for purposes of this section and subsections (i) and (j) of
    section 5318, the following definitions shall apply:
                ``(1) Bank definitions.--The following definitions shall
            apply with respect to a bank:
                        ``(A) Account.--The term `account'--
                              ``(i) means a formal banking or business
                          relationship established to provide regular
                          services, dealings, and other financial
                          transactions; and
                              ``(ii) includes a demand deposit, savings
                          deposit, or other transaction or asset account and
                          a credit account or other extension of credit.
                        ``(B) Correspondent account.--The term
                    `correspondent account' means an account established to
                    receive deposits from, make payments on behalf of a
                    foreign financial institution, or handle other financial
                    transactions related to such institution.
                        ``(C) Payable-through account.--The term `payable-
                    through account' means an account, including a
                    transaction account (as defined in section 19(b)(1)(C)
                    of the Federal Reserve Act), opened at a depository
                    institution by a foreign financial institution by means
                    of which the foreign financial institution permits its
                    customers to engage, either directly or through a
                    subaccount, in banking activities usual in connection
                    with the business of banking in the United States.
                ``(2) Definitions applicable to institutions other than
            banks.--With respect to any financial institution other than a
            bank, the Secretary shall, after consultation with the
            appropriate Federal functional regulators (as defined in section
            509 of the Gramm-Leach-Bliley Act), define by regulation the
            term `account', and shall include within the meaning of that
            term, to the extent, if any, that the Secretary deems
            appropriate, arrangements similar to payable-through and
            correspondent accounts.
                ``(3) Regulatory definition of beneficial ownership.--The
            Secretary shall promulgate regulations defining beneficial
            ownership of an account for purposes of this section and
            subsections (i) and (j) of section 5318. Such regulations shall
            address issues related to an individual's authority to fund,

    [[Page 115 STAT. 304]]

            direct, or manage the account (including, without limitation,
            the power to direct payments into or out of the account), and an
            individual's material interest in the income or corpus of the
            account, and shall ensure that the identification of individuals
            under this section does not extend to any individual whose
            beneficial interest in the income or corpus of the account is
            immaterial.
                ``(4) Other terms.--The Secretary may, by regulation,
            further define the terms in paragraphs (1), (2), and (3), and
            define other terms for the purposes of this section, as the
            Secretary deems appropriate.''.

        (b) Clerical Amendment.--The table of sections for subchapter II of
    chapter 53 of title 31, United States Code, is amended by inserting
    after the item relating to section 5318 the following new item:

    ``5318A. Special measures for jurisdictions, financial institutions, or
               international transactions of primary money laundering
               concern.''.

    SEC. 312. SPECIAL DUE DILIGENCE FOR CORRESPONDENT ACCOUNTS AND PRIVATE
                BANKING ACCOUNTS.

        (a) In General.--Section 5318 of title 31, United States Code, is
    amended by adding at the end the following:
        ``(i) Due Diligence for United States Private Banking and
    Correspondent Bank Accounts Involving Foreign Persons.--
                ``(1) In general.--Each financial institution that
            establishes, maintains, administers, or manages a private
            banking account or a correspondent account in the United States
            for a non-United States person, including a foreign individual
            visiting the United States, or a representative of a non-United
            States person shall establish appropriate, specific, and, where
            necessary, enhanced, due diligence policies, procedures, and
            controls that are reasonably designed to detect and report
            instances of money laundering through those accounts.
                ``(2) Additional standards for certain correspondent
            accounts.--
                        ``(A) In general.--Subparagraph (B) shall apply if a
                    correspondent account is requested or maintained by, or
                    on behalf of, a foreign bank operating--
                              ``(i) under an offshore banking license; or
                              ``(ii) under a banking license issued by a
                          foreign country that has been designated--
                                        ``(I) as noncooperative with
                                    international anti-money laundering
                                    principles or procedures by an
                                    intergovernmental group or organization
                                    of which the United States is a member,
                                    with which designation the United States
                                    representative to the group or
                                    organization concurs; or
                                        ``(II) by the Secretary of the
                                    Treasury as warranting special measures
                                    due to money laundering concerns.
                        ``(B) Policies, procedures, and controls.--The
                    enhanced due diligence policies, procedures, and
                    controls required under paragraph (1) shall, at a
                    minimum, ensure that the financial institution in the
                    United States takes reasonable steps--
                              ``(i) to ascertain for any such foreign bank,
                          the shares of which are not publicly traded, the
                          identity

    [[Page 115 STAT. 305]]

                          of each of the owners of the foreign bank, and the
                          nature and extent of the ownership interest of
                          each such owner;
                              ``(ii) to conduct enhanced scrutiny of such
                          account to guard against money laundering and
                          report any suspicious transactions under
                          subsection (g); and
                              ``(iii) to ascertain whether such foreign bank
                          provides correspondent accounts to other foreign
                          banks and, if so, the identity of those foreign
                          banks and related due diligence information, as
                          appropriate under paragraph (1).
                ``(3) Minimum standards for private banking accounts.--If a
            private banking account is requested or maintained by, or on
            behalf of, a non-United States person, then the due diligence
            policies, procedures, and controls required under paragraph (1)
            shall, at a minimum, ensure that the financial institution takes
            reasonable steps--
                        ``(A) to ascertain the identity of the nominal and
                    beneficial owners of, and the source of funds deposited
                    into, such account as needed to guard against money
                    laundering and report any suspicious transactions under
                    subsection (g); and
                        ``(B) to conduct enhanced scrutiny of any such
                    account that is requested or maintained by, or on behalf
                    of, a senior foreign political figure, or any immediate
                    family member or close associate of a senior foreign
                    political figure that is reasonably designed to detect
                    and report transactions that may involve the proceeds of
                    foreign corruption.
                ``(4) Definition.--For purposes of this subsection, the
            following definitions shall apply:
                        ``(A) Offshore banking license.--The term `offshore
                    banking license' means a license to conduct banking
                    activities which, as a condition of the license,
                    prohibits the licensed entity from conducting banking
                    activities with the citizens of, or with the local
                    currency of, the country which issued the license.
                        ``(B) Private banking account.--The term `private
                    banking account' means an account (or any combination of
                    accounts) that--
                              ``(i) requires a minimum aggregate deposits of
                          funds or other assets of not less than $1,000,000;
                              ``(ii) is established on behalf of 1 or more
                          individuals who have a direct or beneficial
                          ownership interest in the account; and
                              ``(iii) is assigned to, or is administered or
                          managed by, in whole or in part, an officer,
                          employee, or agent of a financial institution
                          acting as a liaison between the financial
                          institution and the direct or beneficial owner of
                          the account.''.

        (b) Regulatory <<NOTE: 31 USC 5318 note.>> Authority and Effective
    Date.--
                (1) Regulatory <<NOTE: Deadline.>> authority.--Not later
            than 180 days after the date of enactment of this Act, the
            Secretary, in consultation with the appropriate Federal
            functional regulators (as defined in section 509 of the Gramm-
            Leach-Bliley Act) of the affected financial institutions, shall
            further delineate, by regulation, the due diligence policies,
            procedures, and controls required

    [[Page 115 STAT. 306]]

            under section 5318(i)(1) of title 31, United States Code, as
            added by this section.
                (2) Effective date.--Section 5318(i) of title 31, United
            States Code, as added by this section, shall take effect 270
            days after the date of enactment of this Act, whether or not
            final regulations are issued under paragraph (1), and the
            failure to issue such regulations shall in no way affect the
            enforceability of this section or the amendments made by this
            section. Section 5318(i) of title 31, United States Code, as
            added by this section, shall apply with respect to accounts
            covered by that section 5318(i), that are opened before, on, or
            after the date of enactment of this Act.

    SEC. 313. PROHIBITION ON UNITED STATES CORRESPONDENT ACCOUNTS WITH
                FOREIGN SHELL BANKS.

        (a) In General.--Section 5318 of title 31, United States Code, as
    amended by this title, is amended by adding at the end the following:
        ``(j) Prohibition on United States Correspondent Accounts With
    Foreign Shell Banks.--
                ``(1) In general.--A financial institution described in
            subparagraphs (A) through (G) of section 5312(a)(2) (in this
            subsection referred to as a `covered financial institution')
            shall not establish, maintain, administer, or manage a
            correspondent account in the United States for, or on behalf of,
            a foreign bank that does not have a physical presence in any
            country.
                ``(2) Prevention of indirect service to foreign shell
            banks.--A covered financial institution shall take reasonable
            steps to ensure that any correspondent account established,
            maintained, administered, or managed by that covered financial
            institution in the United States for a foreign bank is not being
            used by that foreign bank to indirectly provide banking services
            to another foreign bank that does not have a physical presence
            in any country. The Secretary of the Treasury shall, by
            regulation, delineate the reasonable steps necessary to comply
            with this paragraph.
                ``(3) Exception.--Paragraphs (1) and (2) do not prohibit a
            covered financial institution from providing a correspondent
            account to a foreign bank, if the foreign bank--
                        ``(A) is an affiliate of a depository institution,
                    credit union, or foreign bank that maintains a physical
                    presence in the United States or a foreign country, as
                    applicable; and
                        ``(B) is subject to supervision by a banking
                    authority in the country regulating the affiliated
                    depository institution, credit union, or foreign bank
                    described in subparagraph (A), as applicable.
                ``(4) Definitions.--For purposes of this subsection--
                        ``(A) the term `affiliate' means a foreign bank that
                    is controlled by or is under common control with a
                    depository institution, credit union, or foreign bank;
                    and
                        ``(B) the term `physical presence' means a place of
                    business that--
                              ``(i) is maintained by a foreign bank;
                              ``(ii) is located at a fixed address (other
                          than solely an electronic address) in a country in
                          which the foreign

    [[Page 115 STAT. 307]]

                          bank is authorized to conduct banking activities,
                          at which location the foreign bank--
                                        ``(I) employs 1 or more individuals
                                    on a full-time basis; and
                                        ``(II) maintains operating records
                                    related to its banking activities; and
                              ``(iii) is subject to inspection by the
                          banking authority which licensed the foreign bank
                          to conduct banking activities.''.

        (b) Effective <<NOTE: 31 USC 5318 note.>> Date.--The amendment made
    by subsection (a) shall take effect at the end of the 60-day period
    beginning on the date of enactment of this Act.

    SEC. 314. <<NOTE: 31 USC 5311 note.>> COOPERATIVE EFFORTS TO DETER MONEY
                LAUNDERING.

        (a) Cooperation Among Financial Institutions, Regulatory
    Authorities, and Law Enforcement Authorities.--
                (1) Regulations.--The <<NOTE: Deadline.>> Secretary shall,
            within 120 days after the date of enactment of this Act, adopt
            regulations to encourage further cooperation among financial
            institutions, their regulatory authorities, and law enforcement
            authorities, with the specific purpose of encouraging regulatory
            authorities and law enforcement authorities to share with
            financial institutions information regarding individuals,
            entities, and organizations engaged in or reasonably suspected
            based on credible evidence of engaging in terrorist acts or
            money laundering activities.
                (2) Cooperation and information sharing procedures.--The
            regulations adopted under paragraph (1) may include or create
            procedures for cooperation and information sharing focusing on--
                        (A) matters specifically related to the finances of
                    terrorist groups, the means by which terrorist groups
                    transfer funds around the world and within the United
                    States, including through the use of charitable
                    organizations, nonprofit organizations, and
                    nongovernmental organizations, and the extent to which
                    financial institutions in the United States are
                    unwittingly involved in such finances and the extent to
                    which such institutions are at risk as a result;
                        (B) the relationship, particularly the financial
                    relationship, between international narcotics
                    traffickers and foreign terrorist organizations, the
                    extent to which their memberships overlap and engage in
                    joint activities, and the extent to which they cooperate
                    with each other in raising and transferring funds for
                    their respective purposes; and
                        (C) means of facilitating the identification of
                    accounts and transactions involving terrorist groups and
                    facilitating the exchange of information concerning such
                    accounts and transactions between financial institutions
                    and law enforcement organizations.
                (3) Contents.--The regulations adopted pursuant to paragraph
            (1) may--
                        (A) require that each financial institution
                    designate 1 or more persons to receive information
                    concerning, and to monitor accounts of individuals,
                    entities, and organizations identified, pursuant to
                    paragraph (1); and
                        (B) further establish procedures for the protection
                    of the shared information, consistent with the capacity,
                    size,

    [[Page 115 STAT. 308]]

                    and nature of the institution to which the particular
                    procedures apply.
                (4) Rule of construction.--The receipt of information by a
            financial institution pursuant to this section shall not relieve
            or otherwise modify the obligations of the financial institution
            with respect to any other person or account.
                (5) Use of information.--Information received by a financial
            institution pursuant to this section shall not be used for any
            purpose other than identifying and reporting on activities that
            may involve terrorist acts or money laundering activities.

        (b) Cooperation Among Financial Institutions.--Upon notice provided
    to the Secretary, 2 or more financial institutions and any association
    of financial institutions may share information with one another
    regarding individuals, entities, organizations, and countries suspected
    of possible terrorist or money laundering activities. A financial
    institution or association that transmits, receives, or shares such
    information for the purposes of identifying and reporting activities
    that may involve terrorist acts or money laundering activities shall not
    be liable to any person under any law or regulation of the United
    States, any constitution, law, or regulation of any State or political
    subdivision thereof, or under any contract or other legally enforceable
    agreement (including any arbitration agreement), for such disclosure or
    for any failure to provide notice of such disclosure to the person who
    is the subject of such disclosure, or any other person identified in the
    disclosure, except where such transmission, receipt, or sharing violates
    this section or regulations promulgated pursuant to this section.
        (c) Rule of Construction.--Compliance with the provisions of this
    title requiring or allowing financial institutions and any association
    of financial institutions to disclose or share information regarding
    individuals, entities, and organizations engaged in or suspected of
    engaging in terrorist acts or money laundering activities shall not
    constitute a violation of the provisions of title V of the Gramm-Leach-
    Bliley Act (Public Law 106-102).
        (d) Reports to the Financial Services Industry on Suspicious
    Financial Activities.--At least semiannually, the Secretary shall--
                (1) publish a report containing a detailed analysis
            identifying patterns of suspicious activity and other
            investigative insights derived from suspicious activity reports
            and investigations conducted by Federal, State, and local law
            enforcement agencies to the extent appropriate; and
                (2) distribute such report to financial institutions (as
            defined in section 5312 of title 31, United States Code).

    SEC. 315. INCLUSION OF FOREIGN CORRUPTION OFFENSES AS MONEY LAUNDERING
                CRIMES.

        Section 1956(c)(7) of title 18, United States Code, is amended--
                (1) in subparagraph (B)--
                        (A) in clause (ii), by striking ``or destruction of
                    property by means of explosive or fire'' and inserting
                    ``destruction of property by means of explosive or fire,
                    or a crime of violence (as defined in section 16)'';
                        (B) in clause (iii), by striking ``1978'' and
                    inserting ``1978)''; and
                        (C) by adding at the end the following:

    [[Page 115 STAT. 309]]

                              ``(iv) bribery of a public official, or the
                          misappropriation, theft, or embezzlement of public
                          funds by or for the benefit of a public official;
                              ``(v) smuggling or export control violations
                          involving--
                                        ``(I) an item controlled on the
                                    United States Munitions List established
                                    under section 38 of the Arms Export
                                    Control Act (22 U.S.C. 2778); or
                                        ``(II) an item controlled under
                                    regulations under the Export
                                    Administration Regulations (15 C.F.R.
                                    Parts 730-774); or
                              ``(vi) an offense with respect to which the
                          United States would be obligated by a multilateral
                          treaty, either to extradite the alleged offender
                          or to submit the case for prosecution, if the
                          offender were found within the territory of the
                          United States;''; and
                (2) in subparagraph (D)--
                        (A) by inserting ``section 541 (relating to goods
                    falsely classified),'' before ``section 542'';
                        (B) by inserting ``section 922(1) (relating to the
                    unlawful importation of firearms), section 924(n)
                    (relating to firearms trafficking),'' before ``section
                    956'';
                        (C) by inserting ``section 1030 (relating to
                    computer fraud and abuse),'' before ``1032''; and
                        (D) by inserting ``any felony violation of the
                    Foreign Agents Registration Act of 1938,'' before ``or
                    any felony violation of the Foreign Corrupt Practices
                    Act''.

    SEC. 316. ANTI-TERRORIST FORFEITURE PROTECTION.

        (a) Right <<NOTE: 18 USC 983 note.>> to Contest.--An owner of
    property that is confiscated under any provision of law relating to the
    confiscation of assets of suspected international terrorists, may
    contest that confiscation by filing a claim in the manner set forth in
    the Federal Rules of Civil Procedure (Supplemental Rules for Certain
    Admiralty and Maritime Claims), and asserting as an affirmative defense
    that--
                (1) the property is not subject to confiscation under such
            provision of law; or
                (2) the innocent owner provisions of section 983(d) of title
            18, United States Code, apply to the case.

        (b) Evidence.--In <<NOTE: 18 USC 983 note.>> considering a claim
    filed under this section, a court may admit evidence that is otherwise
    inadmissible under the Federal Rules of Evidence, if the court
    determines that the evidence is reliable, and that compliance with the
    Federal Rules of Evidence may jeopardize the national security interests
    of the United States.

        (c) <<NOTE: 18 USC 983 note.>> Clarifications.--
                (1) Protection of rights.--The exclusion of certain
            provisions of Federal law from the definition of the term
            ``civil forfeiture statute'' in section 983(i) of title 18,
            United States Code, shall not be construed to deny an owner of
            property the right to contest the confiscation of assets of
            suspected international terrorists under--
                        (A) subsection (a) of this section;
                        (B) the Constitution; or

    [[Page 115 STAT. 310]]

                        (C) subchapter II of chapter 5 of title 5, United
                    States Code (commonly known as the ``Administrative
                    Procedure Act'').
                (2) Savings clause.--Nothing in this section shall limit or
            otherwise affect any other remedies that may be available to an
            owner of property under section 983 of title 18, United States
            Code, or any other provision of law.

        (d) Technical Correction.--Section 983(i)(2)(D) of title 18, United
    States Code, is amended by inserting ``or the International Emergency
    Economic Powers Act (IEEPA) (50 U.S.C. 1701 et seq.)'' before the
    semicolon.

    SEC. 317. LONG-ARM JURISDICTION OVER FOREIGN MONEY LAUNDERERS.

        Section 1956(b) of title 18, United States Code, is amended--
                (1) by redesignating paragraphs (1) and (2) as subparagraphs
            (A) and (B), respectively, and moving the margins 2 ems to the
            right;
                (2) by inserting after ``(b)'' the following: ``Penalties.--
                ``(1) In general.--'';
                (3) by inserting ``, or section 1957'' after ``or (a)(3)'';
            and
                (4) by adding at the end the following:
                ``(2) Jurisdiction over foreign persons.--For purposes of
            adjudicating an action filed or enforcing a penalty ordered
            under this section, the district courts shall have jurisdiction
            over any foreign person, including any financial institution
            authorized under the laws of a foreign country, against whom the
            action is brought, if service of process upon the foreign person
            is made under the Federal Rules of Civil Procedure or the laws
            of the country in which the foreign person is found, and--
                        ``(A) the foreign person commits an offense under
                    subsection (a) involving a financial transaction that
                    occurs in whole or in part in the United States;
                        ``(B) the foreign person converts, to his or her own
                    use, property in which the United States has an
                    ownership interest by virtue of the entry of an order of
                    forfeiture by a court of the United States; or
                        ``(C) the foreign person is a financial institution
                    that maintains a bank account at a financial institution
                    in the United States.
                ``(3) Court authority over assets.--A court described in
            paragraph (2) may issue a pretrial restraining order or take any
            other action necessary to ensure that any bank account or other
            property held by the defendant in the United States is available
            to satisfy a judgment under this section.
                ``(4) Federal receiver.--
                        ``(A) In general.--A court described in paragraph
                    (2) may appoint a Federal Receiver, in accordance with
                    subparagraph (B) of this paragraph, to collect, marshal,
                    and take custody, control, and possession of all assets
                    of the defendant, wherever located, to satisfy a civil
                    judgment under this subsection, a forfeiture judgment
                    under section 981 or 982, or a criminal sentence under
                    section 1957 or subsection (a) of this section,
                    including an order of restitution to any victim of a
                    specified unlawful activity.

    [[Page 115 STAT. 311]]

                        ``(B) Appointment and authority.--A Federal Receiver
                    described in subparagraph (A)--
                              ``(i) may be appointed upon application of a
                          Federal prosecutor or a Federal or State
                          regulator, by the court having jurisdiction over
                          the defendant in the case;
                              ``(ii) shall be an officer of the court, and
                          the powers of the Federal Receiver shall include
                          the powers set out in section 754 of title 28,
                          United States Code; and
                              ``(iii) shall have standing equivalent to that
                          of a Federal prosecutor for the purpose of
                          submitting requests to obtain information
                          regarding the assets of the defendant--
                                        ``(I) from the Financial Crimes
                                    Enforcement Network of the Department of
                                    the Treasury; or
                                        ``(II) from a foreign country
                                    pursuant to a mutual legal assistance
                                    treaty, multilateral agreement, or other
                                    arrangement for international law
                                    enforcement assistance, provided that
                                    such requests are in accordance with the
                                    policies and procedures of the Attorney
                                    General.''.

    SEC. 318. LAUNDERING MONEY THROUGH A FOREIGN BANK.

        Section 1956(c) of title 18, United States Code, is amended by
    striking paragraph (6) and inserting the following:
                ``(6) the term `financial institution' includes--
                        ``(A) any financial institution, as defined in
                    section 5312(a)(2) of title 31, United States Code, or
                    the regulations promulgated thereunder; and
                        ``(B) any foreign bank, as defined in section 1 of
                    the International Banking Act of 1978 (12 U.S.C.
                    3101).''.

    SEC. 319. FORFEITURE OF FUNDS IN UNITED STATES INTERBANK ACCOUNTS.

        (a) Forfeiture From United States Interbank Account.--Section 981 of
    title 18, United States Code, is amended by adding at the end the
    following:
        ``(k) Interbank Accounts.--
                ``(1) In general.--
                        ``(A) In general.--For the purpose of a forfeiture
                    under this section or under the Controlled Substances
                    Act (21 U.S.C. 801 et seq.), if funds are deposited into
                    an account at a foreign bank, and that foreign bank has
                    an interbank account in the United States with a covered
                    financial institution (as defined in section 5318(j)(1)
                    of title 31), the funds shall be deemed to have been
                    deposited into the interbank account in the United
                    States, and any restraining order, seizure warrant, or
                    arrest warrant in rem regarding the funds may be served
                    on the covered financial institution, and funds in the
                    interbank account, up to the value of the funds
                    deposited into the account at the foreign bank, may be
                    restrained, seized, or arrested.
                        ``(B) Authority to suspend.--The Attorney General,
                    in consultation with the Secretary of the Treasury, may
                    suspend or terminate a forfeiture under this section if
                    the Attorney General determines that a conflict of law
                    exists between the laws of the jurisdiction in which the
                    foreign bank is located and the laws of the United
                    States

    [[Page 115 STAT. 312]]

                    with respect to liabilities arising from the restraint,
                    seizure, or arrest of such funds, and that such
                    suspension or termination would be in the interest of
                    justice and would not harm the national interests of the
                    United States.
                ``(2) No requirement for government to trace funds.--If a
            forfeiture action is brought against funds that are restrained,
            seized, or arrested under paragraph (1), it shall not be
            necessary for the Government to establish that the funds are
            directly traceable to the funds that were deposited into the
            foreign bank, nor shall it be necessary for the Government to
            rely on the application of section 984.
                ``(3) Claims brought by owner of the funds.--If a forfeiture
            action is instituted against funds restrained, seized, or
            arrested under paragraph (1), the owner of the funds deposited
            into the account at the foreign bank may contest the forfeiture
            by filing a claim under section 983.
                ``(4) Definitions.--For purposes of this subsection, the
            following definitions shall apply:
                        ``(A) Interbank account.--The term `interbank
                    account' has the same meaning as in section
                    984(c)(2)(B).
                        ``(B) Owner.--
                              ``(i) In general.--Except as provided in
                          clause (ii), the term `owner'--
                                        ``(I) means the person who was the
                                    owner, as that term is defined in
                                    section 983(d)(6), of the funds that
                                    were deposited into the foreign bank at
                                    the time such funds were deposited; and
                                        ``(II) does not include either the
                                    foreign bank or any financial
                                    institution acting as an intermediary in
                                    the transfer of the funds into the
                                    interbank account.
                              ``(ii) Exception.--The foreign bank may be
                          considered the `owner' of the funds (and no other
                          person shall qualify as the owner of such funds)
                          only if--
                                        ``(I) the basis for the forfeiture
                                    action is wrongdoing committed by the
                                    foreign bank; or
                                        ``(II) the foreign bank establishes,
                                    by a preponderance of the evidence, that
                                    prior to the restraint, seizure, or
                                    arrest of the funds, the foreign bank
                                    had discharged all or part of its
                                    obligation to the prior owner of the
                                    funds, in which case the foreign bank
                                    shall be deemed the owner of the funds
                                    to the extent of such discharged
                                    obligation.''.

        (b) Bank Records.--Section 5318 of title 31, United States Code, as
    amended by this title, is amended by adding at the end the following:
        ``(k) Bank Records Related to Anti-Money Laundering Programs.--
                ``(1) Definitions.--For purposes of this subsection, the
            following definitions shall apply:
                        ``(A) Appropriate federal banking agency.--The term
                    `appropriate Federal banking agency' has the same
                    meaning as in section 3 of the Federal Deposit Insurance
                    Act (12 U.S.C. 1813).
                        ``(B) Incorporated term.--The term `correspondent
                    account' has the same meaning as in section
                    5318A(f)(1)(B).

    [[Page 115 STAT. 313]]

                ``(2) 120-hour rule.--Not <<NOTE: Deadline.>>  later than
            120 hours after receiving a request by an appropriate Federal
            banking agency for information related to anti-money laundering
            compliance by a covered financial institution or a customer of
            such institution, a covered financial institution shall provide
            to the appropriate Federal banking agency, or make available at
            a location specified by the representative of the appropriate
            Federal banking agency, information and account documentation
            for any account opened, maintained, administered or managed in
            the United States by the covered financial institution.
                ``(3) Foreign bank records.--
                        ``(A) Summons or subpoena of records.--
                              ``(i) In general.--The Secretary of the
                          Treasury or the Attorney General may issue a
                          summons or subpoena to any foreign bank that
                          maintains a correspondent account in the United
                          States and request records related to such
                          correspondent account, including records
                          maintained outside of the United States relating
                          to the deposit of funds into the foreign bank.
                              ``(ii) Service of summons or subpoena.--A
                          summons or subpoena referred to in clause (i) may
                          be served on the foreign bank in the United States
                          if the foreign bank has a representative in the
                          United States, or in a foreign country pursuant to
                          any mutual legal assistance treaty, multilateral
                          agreement, or other request for international law
                          enforcement assistance.
                        ``(B) Acceptance of service.--
                              ``(i) Maintaining records in the united
                          states.--Any covered financial institution which
                          maintains a correspondent account in the United
                          States for a foreign bank shall maintain records
                          in the United States identifying the owners of
                          such foreign bank and the name and address of a
                          person who resides in the United States and is
                          authorized to accept service of legal process for
                          records regarding the correspondent account.
                              ``(ii) Law <<NOTE: Deadline.>> enforcement
                          request.--Upon receipt of a written request from a
                          Federal law enforcement officer for information
                          required to be maintained under this paragraph,
                          the covered financial institution shall provide
                          the information to the requesting officer not
                          later than 7 days after receipt of the request.
                        ``(C) Termination of correspondent relationship.--
                              ``(i) Termination upon receipt of notice.--A
                          covered financial institution shall terminate any
                          correspondent relationship with a foreign bank not
                          later than 10 business days after receipt of
                          written notice from the Secretary or the Attorney
                          General (in each case, after consultation with the
                          other) that the foreign bank has failed--
                                        ``(I) to comply with a summons or
                                    subpoena issued under subparagraph (A);
                                    or
                                        ``(II) to initiate proceedings in a
                                    United States court contesting such
                                    summons or subpoena.

    [[Page 115 STAT. 314]]

                              ``(ii) Limitation on liability.--A covered
                          financial institution shall not be liable to any
                          person in any court or arbitration proceeding for
                          terminating a correspondent relationship in
                          accordance with this subsection.
                              ``(iii) Failure to terminate relationship.--
                          Failure to terminate a correspondent relationship
                          in accordance with this subsection shall render
                          the covered financial institution liable for a
                          civil penalty of up to $10,000 per day until the
                          correspondent relationship is so terminated.''.

        (c) Grace <<NOTE: 31 USC 5318 note.>> Period.--Financial
    institutions shall have 60 days from the date of enactment of this Act
    to comply with the provisions of section 5318(k) of title 31, United
    States Code, as added by this section.

        (d) Authority To Order Convicted Criminal To Return Property Located
    Abroad.--
                (1) Forfeiture of substitute property.--Section 413(p) of
            the Controlled Substances Act (21 U.S.C. 853) is amended to read
            as follows:

        ``(p) Forfeiture of Substitute Property.--
                ``(1) In general.--Paragraph (2) of this subsection shall
            apply, if any property described in subsection (a), as a result
            of any act or omission of the defendant--
                        ``(A) cannot be located upon the exercise of due
                    diligence;
                        ``(B) has been transferred or sold to, or deposited
                    with, a third party;
                        ``(C) has been placed beyond the jurisdiction of the
                    court;
                        ``(D) has been substantially diminished in value; or
                        ``(E) has been commingled with other property which
                    cannot be divided without difficulty.
                ``(2) Substitute property.--In any case described in any of
            subparagraphs (A) through (E) of paragraph (1), the court shall
            order the forfeiture of any other property of the defendant, up
            to the value of any property described in subparagraphs (A)
            through (E) of paragraph (1), as applicable.
                ``(3) Return of property to jurisdiction.--In the case of
            property described in paragraph (1)(C), the court may, in
            addition to any other action authorized by this subsection,
            order the defendant to return the property to the jurisdiction
            of the court so that the property may be seized and
            forfeited.''.
                (2) Protective orders.--Section 413(e) of the Controlled
            Substances Act (21 U.S.C. 853(e)) is amended by adding at the
            end the following:
                ``(4) Order to repatriate and deposit.--
                        ``(A) In general.--Pursuant to its authority to
                    enter a pretrial restraining order under this section,
                    the court may order a defendant to repatriate any
                    property that may be seized and forfeited, and to
                    deposit that property pending trial in the registry of
                    the court, or with the United States Marshals Service or
                    the Secretary of the Treasury, in an interest-bearing
                    account, if appropriate.
                        ``(B) Failure to comply.--Failure to comply with an
                    order under this subsection, or an order to repatriate
                    property under subsection (p), shall be punishable as a
                    civil

    [[Page 115 STAT. 315]]

                    or criminal contempt of court, and may also result in an
                    enhancement of the sentence of the defendant under the
                    obstruction of justice provision of the Federal
                    Sentencing Guidelines.''.

    SEC. 320. PROCEEDS OF FOREIGN CRIMES.

        Section 981(a)(1)(B) of title 18, United States Code, is amended to
    read as follows:
                ``(B) Any property, real or personal, within the
            jurisdiction of the United States, constituting, derived from,
            or traceable to, any proceeds obtained directly or indirectly
            from an offense against a foreign nation, or any property used
            to facilitate such an offense, if the offense--
                        ``(i) involves the manufacture, importation, sale,
                    or distribution of a controlled substance (as that term
                    is defined for purposes of the Controlled Substances
                    Act), or any other conduct described in section
                    1956(c)(7)(B);
                        ``(ii) would be punishable within the jurisdiction
                    of the foreign nation by death or imprisonment for a
                    term exceeding 1 year; and
                        ``(iii) would be punishable under the laws of the
                    United States by imprisonment for a term exceeding 1
                    year, if the act or activity constituting the offense
                    had occurred within the jurisdiction of the United
                    States.''.

    SEC. 321. FINANCIAL INSTITUTIONS SPECIFIED IN SUBCHAPTER II OF CHAPTER
                53 OF TITLE 31, UNITED STATES CODE.

        (a) Credit Unions.--Subparagraph (E) of section 5312(2) of title 31,
    United States Code, is amended to read as follows:
                        ``(E) any credit union;''.

        (b) Futures Commission Merchant; Commodity Trading Advisor;
    Commodity Pool Operator.--Section 5312 of title 31, United States Code,
    is amended by adding at the end the following new subsection:
        ``(c) Additional Definitions.--For purposes of this subchapter, the
    following definitions shall apply:
                ``(1) Certain institutions included in definition.--The term
            `financial institution' (as defined in subsection (a)) includes
            the following:
                        ``(A) Any futures commission merchant, commodity
                    trading advisor, or commodity pool operator registered,
                    or required to register, under the Commodity Exchange
                    Act.''.

        (c) CFTC <<NOTE: 31 USC 5318 note.>> Included.--For purposes of this
    Act and any amendment made by this Act to any other provision of law,
    the term ``Federal functional regulator'' includes the Commodity Futures
    Trading Commission.

    SEC. 322. CORPORATION REPRESENTED BY A FUGITIVE.

        Section 2466 of title 18, United States Code, is amended by
    designating the present matter as subsection (a), and adding at the end
    the following:
        ``(b) Subsection (a) may be applied to a claim filed by a
    corporation if any majority shareholder, or individual filing the claim
    on behalf of the corporation is a person to whom subsection (a)
    applies.''.

    SEC. 323. ENFORCEMENT OF FOREIGN JUDGMENTS.

        Section 2467 of title 28, United States Code, is amended--

    [[Page 115 STAT. 316]]

                (1) in subsection (d), by adding the following after
            paragraph (2):
                ``(3) Preservation of property.--
                        ``(A) In general.--To preserve the availability of
                    property subject to a foreign forfeiture or confiscation
                    judgment, the Government may apply for, and the court
                    may issue, a restraining order pursuant to section
                    983(j) of title 18, at any time before or after an
                    application is filed pursuant to subsection (c)(1) of
                    this section.
                        ``(B) Evidence.--The court, in issuing a restraining
                    order under subparagraph (A)--
                              ``(i) may rely on information set forth in an
                          affidavit describing the nature of the proceeding
                          or investigation underway in the foreign country,
                          and setting forth a reasonable basis to believe
                          that the property to be restrained will be named
                          in a judgment of forfeiture at the conclusion of
                          such proceeding; or
                              ``(ii) may register and enforce a restraining
                          order that has been issued by a court of competent
                          jurisdiction in the foreign country and certified
                          by the Attorney General pursuant to subsection
                          (b)(2).
                        ``(C) Limit on grounds for objection.--No person may
                    object to a restraining order under subparagraph (A) on
                    any ground that is the subject of parallel litigation
                    involving the same property that is pending in a foreign
                    court.'';
                (2) in subsection (b)(1)(C), by striking ``establishing that
            the defendant received notice of the proceedings in sufficient
            time to enable the defendant'' and inserting ``establishing that
            the foreign nation took steps, in accordance with the principles
            of due process, to give notice of the proceedings to all persons
            with an interest in the property in sufficient time to enable
            such persons'';
                (3) in subsection (d)(1)(D), by striking ``the defendant in
            the proceedings in the foreign court did not receive notice''
            and inserting ``the foreign nation did not take steps, in
            accordance with the principles of due process, to give notice of
            the proceedings to a person with an interest in the property'';
            and
                (4) in subsection (a)(2)(A), by inserting ``, any violation
            of foreign law that would constitute a violation or an offense
            for which property could be forfeited under Federal law if the
            offense were committed in the United States'' after ``United
            Nations Convention''.

    SEC. 324. <<NOTE: 31 USC 5311 note.>> REPORT AND RECOMMENDATION.

        Not <<NOTE: Deadline.>> later than 30 months after the date of
    enactment of this Act, the Secretary, in consultation with the Attorney
    General, the Federal banking agencies (as defined at section 3 of the
    Federal Deposit Insurance Act), the National Credit Union Administration
    Board, the Securities and Exchange Commission, and such other agencies
    as the Secretary may determine, at the discretion of the Secretary,
    shall evaluate the operations of the provisions of this subtitle and
    make recommendations to Congress as to any legislative action with
    respect to this subtitle as the Secretary may determine to be necessary
    or advisable.

    [[Page 115 STAT. 317]]

    SEC. 325. CONCENTRATION ACCOUNTS AT FINANCIAL INSTITUTIONS.

        Section 5318(h) of title 31, United States Code, as amended by
    section 202 of this title, is amended by adding at the end the
    following:
                ``(3) Concentration accounts.--The Secretary may prescribe
            regulations under this subsection that govern maintenance of
            concentration accounts by financial institutions, in order to
            ensure that such accounts are not used to prevent association of
            the identity of an individual customer with the movement of
            funds of which the customer is the direct or beneficial owner,
            which regulations shall, at a minimum--
                        ``(A) prohibit financial institutions from allowing
                    clients to direct transactions that move their funds
                    into, out of, or through the concentration accounts of
                    the financial institution;
                        ``(B) prohibit financial institutions and their
                    employees from informing customers of the existence of,
                    or the means of identifying, the concentration accounts
                    of the institution; and
                        ``(C) require each financial institution to
                    establish written procedures governing the documentation
                    of all transactions involving a concentration account,
                    which procedures shall ensure that, any time a
                    transaction involving a concentration account commingles
                    funds belonging to 1 or more customers, the identity of,
                    and specific amount belonging to, each customer is
                    documented.''.

    SEC. 326. VERIFICATION OF IDENTIFICATION.

        (a) In General.--Section 5318 of title 31, United States Code, as
    amended by this title, is amended by adding at the end the following:
        ``(l) Identification and Verification of Accountholders.--
                ``(1) In general.--Subject <<NOTE: Regulations.>> to the
            requirements of this subsection, the Secretary of the Treasury
            shall prescribe regulations setting forth the minimum standards
            for financial institutions and their customers regarding the
            identity of the customer that shall apply in connection with the
            opening of an account at a financial institution.
                ``(2) Minimum requirements.--The regulations shall, at a
            minimum, require financial institutions to implement, and
            customers (after being given adequate notice) to comply with,
            reasonable procedures for--
                        ``(A) verifying the identity of any person seeking
                    to open an account to the extent reasonable and
                    practicable;
                        ``(B) maintaining records of the information used to
                    verify a person's identity, including name, address, and
                    other identifying information; and
                        ``(C) consulting lists of known or suspected
                    terrorists or terrorist organizations provided to the
                    financial institution by any government agency to
                    determine whether a person seeking to open an account
                    appears on any such list.
                ``(3) Factors to be considered.--In prescribing regulations
            under this subsection, the Secretary shall take into
            consideration the various types of accounts maintained by
            various types of financial institutions, the various methods of
            opening

    [[Page 115 STAT. 318]]

            accounts, and the various types of identifying information
            available.
                ``(4) Certain financial institutions.--In the case of any
            financial institution the business of which is engaging in
            financial activities described in section 4(k) of the Bank
            Holding Company Act of 1956 (including financial activities
            subject to the jurisdiction of the Commodity Futures Trading
            Commission), the regulations prescribed by the Secretary under
            paragraph (1) shall be prescribed jointly with each Federal
            functional regulator (as defined in section 509 of the Gramm-
            Leach-Bliley Act, including the Commodity Futures Trading
            Commission) appropriate for such financial institution.
                ``(5) Exemptions.--The Secretary (and, in the case of any
            financial institution described in paragraph (4), any Federal
            agency described in such paragraph) may, by regulation or order,
            exempt any financial institution or type of account from the
            requirements of any regulation prescribed under this subsection
            in accordance with such standards and procedures as the
            Secretary may prescribe.
                ``(6) Effective date.--Final regulations prescribed under
            this subsection shall take effect before the end of the 1-year
            period beginning on the date of enactment of the International
            Money Laundering Abatement and Financial Anti-Terrorism Act of
            2001.''.

        (b) Study <<NOTE: Deadline.>> and Report Required.--Within 6 months
    after the date of enactment of this Act, the Secretary, in consultation
    with the Federal functional regulators (as defined in section 509 of the
    Gramm-Leach-Bliley Act) and other appropriate Government agencies, shall
    submit a report to the Congress containing recommendations for--
                (1) determining the most timely and effective way to require
            foreign nationals to provide domestic financial institutions and
            agencies with appropriate and accurate information, comparable
            to that which is required of United States nationals, concerning
            the identity, address, and other related information about such
            foreign nationals necessary to enable such institutions and
            agencies to comply with the requirements of this section;
                (2) requiring foreign nationals to apply for and obtain,
            before opening an account with a domestic financial institution,
            an identification number which would function similarly to a
            Social Security number or tax identification number; and
                (3) establishing a system for domestic financial
            institutions and agencies to review information maintained by
            relevant Government agencies for purposes of verifying the
            identities of foreign nationals seeking to open accounts at
            those institutions and agencies.

    SEC. 327. CONSIDERATION OF ANTI-MONEY LAUNDERING RECORD.

        (a) Bank Holding Company Act of 1956.--
                (1) In general.--Section 3(c) of the Bank Holding Company
            Act of 1956 (12 U.S.C. 1842(c)) is amended by adding at the end
            the following new paragraph:
                ``(6) Money laundering.--In every case, the Board shall take
            into consideration the effectiveness of the company or companies
            in combatting money laundering activities, including in overseas
            branches.''.

    [[Page 115 STAT. 319]]

        (2) Scope <<NOTE: 12 USC 1842 note.>> of application.--The amendment
    made by paragraph (1) shall apply with respect to any application
    submitted to the Board of Governors of the Federal Reserve System under
    section 3 of the Bank Holding Company Act of 1956 after December 31,
    2001, which has not been approved by the Board before the date of
    enactment of this Act.

        (b) Mergers Subject to Review Under Federal Deposit Insurance Act.--
                (1) In general.--Section 18(c) of the Federal Deposit
            Insurance Act (12 U.S.C. 1828(c)) is amended--
                        (A) by redesignating paragraph (11) as paragraph
                    (12); and
                        (B) by inserting after paragraph (10), the following
                    new paragraph:
                ``(11) Money laundering.--In every case, the responsible
            agency, shall take into consideration the effectiveness of any
            insured depository institution involved in the proposed merger
            transaction in combatting money laundering activities, including
            in overseas branches.''.
                (2) Scope <<NOTE: 12 USC 1828 note.>> of application.--The
            amendment made by paragraph (1) shall apply with respect to any
            application submitted to the responsible agency under section
            18(c) of the Federal Deposit Insurance Act after December 31,
            2001, which has not been approved by all appropriate responsible
            agencies before the date of enactment of this Act.

    SEC. 328. <<NOTE: 31 USC 5311 note.>> INTERNATIONAL COOPERATION ON
                IDENTIFICATION OF ORIGINATORS OF WIRE TRANSFERS.

        The Secretary shall--
                (1) in consultation with the Attorney General and the
            Secretary of State, take all reasonable steps to encourage
            foreign governments to require the inclusion of the name of the
            originator in wire transfer instructions sent to the United
            States and other countries, with the information to remain with
            the transfer from its origination until the point of
            disbursement; and
                (2) report annually to the Committee on Financial Services
            of the House of Representatives and the Committee on Banking,
            Housing, and Urban Affairs of the Senate on--
                        (A) progress toward the goal enumerated in paragraph
                    (1), as well as impediments to implementation and an
                    estimated compliance rate; and
                        (B) impediments to instituting a regime in which all
                    appropriate identification, as defined by the Secretary,
                    about wire transfer recipients shall be included with
                    wire transfers from their point of origination until
                    disbursement.

    SEC. 329. <<NOTE: 31 USC 5311 note.>> CRIMINAL PENALTIES.

        Any person who is an official or employee of any department, agency,
    bureau, office, commission, or other entity of the Federal Government,
    and any other person who is acting for or on behalf of any such entity,
    who, directly or indirectly, in connection with the administration of
    this title, corruptly demands, seeks, receives, accepts, or agrees to
    receive or accept anything of value personally or for any other person
    or entity in return for--
                (1) being influenced in the performance of any official act;

    [[Page 115 STAT. 320]]

                (2) being influenced to commit or aid in the committing, or
            to collude in, or allow, any fraud, or make opportunity for the
            commission of any fraud, on the United States; or
                (3) being induced to do or omit to do any act in violation
            of the official duty of such official or person,

    shall be fined in an amount not more than 3 times the monetary
    equivalent of the thing of value, or imprisoned for not more than 15
    years, or both. A violation of this section shall be subject to chapter
    227 of title 18, United States Code, and the provisions of the United
    States Sentencing Guidelines.

    SEC. 330. INTERNATIONAL COOPERATION IN INVESTIGATIONS OF MONEY
                LAUNDERING, FINANCIAL CRIMES, AND THE FINANCES OF TERRORIST
                GROUPS.

      (a) Negotiations.--It is the sense of the Congress that the President
    should direct the Secretary of State, the Attorney General, or the
    Secretary of the Treasury, as appropriate, and in consultation with the
    Board of Governors of the Federal Reserve System, to seek to enter into
    negotiations with the appropriate financial supervisory agencies and
    other officials of any foreign country the financial institutions of
    which do business with United States financial institutions or which may
    be utilized by any foreign terrorist organization (as designated under
    section 219 of the Immigration and Nationality Act), any person who is a
    member or representative of any such organization, or any person engaged
    in money laundering or financial or other crimes.
        (b) Purposes of Negotiations.--It is the sense of the Congress that,
    in carrying out any negotiations described in paragraph (1), the
    President should direct the Secretary of State, the Attorney General, or
    the Secretary of the Treasury, as appropriate, to seek to enter into and
    further cooperative efforts, voluntary information exchanges, the use of
    letters rogatory, mutual legal assistance treaties, and international
    agreements to--
                (1) ensure that foreign banks and other financial
            institutions maintain adequate records of transaction and
            account information relating to any foreign terrorist
            organization (as designated under section 219 of the Immigration
            and Nationality Act), any person who is a member or
            representative of any such organization, or any person engaged
            in money laundering or financial or other crimes; and
              (2) establish a mechanism whereby such records may be made
            available to United States law enforcement officials and
            domestic financial institution supervisors, when appropriate.

        Subtitle B--Bank Secrecy Act Amendments and Related Improvements

    SEC. 351. AMENDMENTS RELATING TO REPORTING OF SUSPICIOUS ACTIVITIES.

        (a) Amendment Relating to Civil Liability Immunity for
    Disclosures.--Section 5318(g)(3) of title 31, United States Code, is
    amended to read as follows:
                ``(3) Liability for disclosures.--
                        ``(A) In general.--Any financial institution that
                    makes a voluntary disclosure of any possible violation
                    of law or regulation to a government agency or makes a
                    disclosure

    [[Page 115 STAT. 321]]

                    pursuant to this subsection or any other authority, and
                    any director, officer, employee, or agent of such
                    institution who makes, or requires another to make any
                    such disclosure, shall not be liable to any person under
                    any law or regulation of the United States, any
                    constitution, law, or regulation of any State or
                    political subdivision of any State, or under any
                    contract or other legally enforceable agreement
                    (including any arbitration agreement), for such
                    disclosure or for any failure to provide notice of such
                    disclosure to the person who is the subject of such
                    disclosure or any other person identified in the
                    disclosure.
                        ``(B) Rule of construction.--Subparagraph (A) shall
                    not be construed as creating--
                              ``(i) any inference that the term `person', as
                          used in such subparagraph, may be construed more
                          broadly than its ordinary usage so as to include
                          any government or agency of government; or
                              ``(ii) any immunity against, or otherwise
                          affecting, any civil or criminal action brought by
                          any government or agency of government to enforce
                          any constitution, law, or regulation of such
                          government or agency.''.

        (b) Prohibition on Notification of Disclosures.--Section 5318(g)(2)
    of title 31, United States Code, is amended to read as follows:
                ``(2) Notification prohibited.--
                        ``(A) In general.--If a financial institution or any
                    director, officer, employee, or agent of any financial
                    institution, voluntarily or pursuant to this section or
                    any other authority, reports a suspicious transaction to
                    a government agency--
                              ``(i) the financial institution, director,
                          officer, employee, or agent may not notify any
                          person involved in the transaction that the
                          transaction has been reported; and
                              ``(ii) no officer or employee of the Federal
                          Government or of any State, local, tribal, or
                          territorial government within the United States,
                          who has any knowledge that such report was made
                          may disclose to any person involved in the
                          transaction that the transaction has been
                          reported, other than as necessary to fulfill the
                          official duties of such officer or employee.
                        ``(B) Disclosures in certain employment
                    references.--
                              ``(i) Rule of construction.--Notwithstanding
                          the application of subparagraph (A) in any other
                          context, subparagraph (A) shall not be construed
                          as prohibiting any financial institution, or any
                          director, officer, employee, or agent of such
                          institution, from including information that was
                          included in a report to which subparagraph (A)
                          applies--
                                        ``(I) in a written employment
                                    reference that is provided in accordance
                                    with section 18(w) of the Federal
                                    Deposit Insurance Act in response to a
                                    request from another financial
                                    institution; or
                                        ``(II) in a written termination
                                    notice or employment reference that is
                                    provided in accordance with

    [[Page 115 STAT. 322]]

                                    the rules of a self-regulatory
                                    organization registered with the
                                    Securities and Exchange Commission or
                                    the Commodity Futures Trading
                                    Commission,
                          except that such written reference or notice may
                          not disclose that such information was also
                          included in any such report, or that such report
                          was made.
                              ``(ii) Information not required.--Clause (i)
                          shall not be construed, by itself, to create any
                          affirmative duty to include any information
                          described in clause (i) in any employment
                          reference or termination notice referred to in
                          clause (i).''.

    SEC. 352. ANTI-MONEY LAUNDERING PROGRAMS.

        (a) In General.--Section 5318(h) of title 31, United States Code, is
    amended to read as follows:
        ``(h) Anti-money Laundering Programs.--
                ``(1) In general.--In order to guard against money
            laundering through financial institutions, each financial
            institution shall establish anti-money laundering programs,
            including, at a minimum--
                        ``(A) the development of internal policies,
                    procedures, and controls;
                        ``(B) the designation of a compliance officer;
                        ``(C) an ongoing employee training program; and
                        ``(D) an independent audit function to test
                    programs.
                ``(2) Regulations.--The Secretary of the Treasury, after
            consultation with the appropriate Federal functional regulator
            (as defined in section 509 of the Gramm-Leach-Bliley Act), may
            prescribe minimum standards for programs established under
            paragraph (1), and may exempt from the application of those
            standards any financial institution that is not subject to the
            provisions of the rules contained in part 103 of title 31, of
            the Code of Federal Regulations, or any successor rule thereto,
            for so long as such financial institution is not subject to the
            provisions of such rules.''.

        (b) Effective <<NOTE: 31 USC 5318 note.>> Date.--The amendment made
    by subsection (a) shall take effect at the end of the 180-day period
    beginning on the date of enactment of this Act.

        (c) Date <<NOTE: 31 USC 5318 note.>> of Application of Regulations;
    Factors to Be Taken Into Account.--Before the end of the 180-day period
    beginning on the date of enactment of this Act, the Secretary shall
    prescribe regulations that consider the extent to which the requirements
    imposed under this section are commensurate with the size, location, and
    activities of the financial institutions to which such regulations
    apply.

    SEC. 353. PENALTIES FOR VIOLATIONS OF GEOGRAPHIC TARGETING ORDERS AND
                CERTAIN RECORDKEEPING REQUIREMENTS, AND LENGTHENING
                EFFECTIVE PERIOD OF GEOGRAPHIC TARGETING ORDERS.

        (a) Civil Penalty for Violation of Targeting Order.--Section
    5321(a)(1) of title 31, United States Code, is amended--
                (1) by inserting ``or order issued'' after ``subchapter or a
            regulation prescribed''; and
                (2) by inserting ``, or willfully violating a regulation
            prescribed under section 21 of the Federal Deposit Insurance Act

    [[Page 115 STAT. 323]]

            or section 123 of Public Law 91-508,'' after ``sections 5314 and
            5315)''.

        (b) Criminal Penalties for Violation of Targeting Order.--Section
    5322 of title 31, United States Code, is amended--
                (1) in subsection (a)--
                        (A) by inserting ``or order issued'' after
                    ``willfully violating this subchapter or a regulation
                    prescribed''; and
                        (B) by inserting ``, or willfully violating a
                    regulation prescribed under section 21 of the Federal
                    Deposit Insurance Act or section 123 of Public Law 91-
                    508,'' after ``under section 5315 or 5324)''; and
                (2) in subsection (b)--
                        (A) by inserting ``or order issued'' after
                    ``willfully violating this subchapter or a regulation
                    prescribed''; and
                        (B) by inserting ``or willfully violating a
                    regulation prescribed under section 21 of the Federal
                    Deposit Insurance Act or section 123 of Public Law 91-
                    508,'' after ``under section 5315 or 5324),''.

        (c) Structuring Transactions To Evade Targeting Order or Certain
    Recordkeeping Requirements.--Section 5324(a) of title 31, United States
    Code, is amended--
                (1) by inserting a comma after ``shall'';
                (2) by striking ``section--'' and inserting ``section, the
            reporting or recordkeeping requirements imposed by any order
            issued under section 5326, or the recordkeeping requirements
            imposed by any regulation prescribed under section 21 of the
            Federal Deposit Insurance Act or section 123 of Public Law 91-
            508--'';
                (3) in paragraph (1), by inserting ``, to file a report or
            to maintain a record required by an order issued under section
            5326, or to maintain a record required pursuant to any
            regulation prescribed under section 21 of the Federal Deposit
            Insurance Act or section 123 of Public Law 91-508'' after
            ``regulation prescribed under any such section''; and
                (4) in paragraph (2), by inserting ``, to file a report or
            to maintain a record required by any order issued under section
            5326, or to maintain a record required pursuant to any
            regulation prescribed under section 5326, or to maintain a
            record required pursuant to any regulation prescribed under
            section 21 of the Federal Deposit Insurance Act or section 123
            of Public Law 91-508,'' after ``regulation prescribed under any
            such section''.

        (d) Lengthening Effective Period of Geographic Targeting Orders.--
    Section 5326(d) of title 31, United States Code, is amended by striking
    ``more than 60'' and inserting ``more than 180''.

    SEC. 354. ANTI-MONEY LAUNDERING STRATEGY.

        Section 5341(b) of title 31, United States Code, is amended by
    adding at the end the following:
                ``(12) Data regarding funding of terrorism.--Data concerning
            money laundering efforts related to the funding of acts of
            international terrorism, and efforts directed at the prevention,
            detection, and prosecution of such funding.''.

    [[Page 115 STAT. 324]]

    SEC. 355. AUTHORIZATION TO INCLUDE SUSPICIONS OF ILLEGAL ACTIVITY IN
                WRITTEN EMPLOYMENT REFERENCES.

        Section 18 of the Federal Deposit Insurance Act (12 U.S.C. 1828) is
    amended by adding at the end the following:
        ``(w) Written Employment References May Contain Suspicions of
    Involvement in Illegal Activity.--
                ``(1) Authority to disclose information.--Notwithstanding
            any other provision of law, any insured depository institution,
            and any director, officer, employee, or agent of such
            institution, may disclose in any written employment reference
            relating to a current or former institution-affiliated party of
            such institution which is provided to another insured depository
            institution in response to a request from such other
            institution, information concerning the possible involvement of
            such institution-affiliated party in potentially unlawful
            activity.
                ``(2) Information not required.--Nothing in paragraph (1)
            shall be construed, by itself, to create any affirmative duty to
            include any information described in paragraph (1) in any
            employment reference referred to in paragraph (1).
                ``(3) Malicious intent.--Notwithstanding any other provision
            of this subsection, voluntary disclosure made by an insured
            depository institution, and any director, officer, employee, or
            agent of such institution under this subsection concerning
            potentially unlawful activity that is made with malicious
            intent, shall not be shielded from liability from the person
            identified in the disclosure.
                ``(4) Definition.--For purposes of this subsection, the term
            `insured depository institution' includes any uninsured branch
            or agency of a foreign bank.''.

    SEC. 356. REPORTING OF SUSPICIOUS ACTIVITIES BY SECURITIES BROKERS AND
                DEALERS; INVESTMENT COMPANY STUDY.

        (a) Deadline <<NOTE: 31 USC 5318 note.>> for Suspicious Activity
    Reporting Requirements for Registered Brokers
    and <<NOTE: Regulations.3Federal Register, publication.>> Dealers.--The
    Secretary, after consultation with the Securities and Exchange
    Commission and the Board of Governors of the Federal Reserve System,
    shall publish proposed regulations in the Federal Register before
    January 1, 2002, requiring brokers and dealers registered with the
    Securities and Exchange Commission under the Securities Exchange Act of
    1934 to submit suspicious activity reports under section 5318(g) of
    title 31, United States Code. Such regulations shall be published in
    final form not later than July 1, 2002.

        (b) Suspicious <<NOTE: 31 USC 5318 note.>> Activity Reporting
    Requirements For Futures Commission Merchants, Commodity Trading
    Advisors, and Commodity Pool Operators.--The Secretary, in consultation
    with the Commodity Futures Trading Commission, may prescribe regulations
    requiring futures commission merchants, commodity trading advisors, and
    commodity pool operators registered under the Commodity Exchange Act to
    submit suspicious activity reports under section 5318(g) of title 31,
    United States Code.

        (c) Report <<NOTE: 31 USC 5311 note.>> on Investment Companies.--
                (1) In <<NOTE: Deadline.>> general.--Not later than 1 year
            after the date of enactment of this Act, the Secretary, the
            Board of Governors of the Federal Reserve System, and the
            Securities and Exchange Commission shall jointly submit a report
            to the Congress on recommendations for effective regulations to
            apply the requirements of subchapter II of chapter 53 of title
            31,

    [[Page 115 STAT. 325]]

            United States Code, to investment companies pursuant to section
            5312(a)(2)(I) of title 31, United States Code.
                (2) Definition.--For purposes of this subsection, the term
            ``investment company''--
                        (A) has the same meaning as in section 3 of the
                    Investment Company Act of 1940 (15 U.S.C. 80a-3); and
                        (B) includes any person that, but for the exceptions
                    provided for in paragraph (1) or (7) of section 3(c) of
                    the Investment Company Act of 1940 (15 U.S.C. 80a-3(c)),
                    would be an investment company.
                (3) Additional recommendations.--The report required by
            paragraph (1) may make different recommendations for different
            types of entities covered by this subsection.
                (4) Beneficial ownership of personal holding companies.--The
            report described in paragraph (1) shall also include
            recommendations as to whether the Secretary should promulgate
            regulations to treat any corporation or business or other
            grantor trust whose assets are predominantly securities, bank
            certificates of deposit, or other securities or investment
            instruments (other than such as relate to operating subsidiaries
            of such corporation or trust) and that has 5 or fewer common
            shareholders or holders of beneficial or other equity interest,
            as a financial institution within the meaning of that phrase in
            section 5312(a)(2)(I) and whether to require such corporations
            or trusts to disclose their beneficial owners when opening
            accounts or initiating funds transfers at any domestic financial
            institution.

    SEC. 357. SPECIAL REPORT ON ADMINISTRATION OF BANK SECRECY PROVISIONS.

        (a) Report <<NOTE: Deadline.>> Required.--Not later than 6 months
    after the date of enactment of this Act, the Secretary shall submit a
    report to the Congress relating to the role of the Internal Revenue
    Service in the administration of subchapter II of chapter 53 of title
    31, United States Code (commonly known as the ``Bank Secrecy Act'').

        (b) Contents.--The report required by subsection (a)--
                (1) shall specifically address, and contain recommendations
            concerning--
                        (A) whether it is advisable to shift the processing
                    of information reporting to the Department of the
                    Treasury under the Bank Secrecy Act provisions to
                    facilities other than those managed by the Internal
                    Revenue Service; and
                        (B) whether it remains reasonable and efficient, in
                    light of the objective of both anti-money-laundering
                    programs and Federal tax administration, for the
                    Internal Revenue Service to retain authority and
                    responsibility for audit and examination of the
                    compliance of money services businesses and gaming
                    institutions with those Bank Secrecy Act provisions; and
                (2) shall, if the Secretary determines that the information
            processing responsibility or the audit and examination
            responsibility of the Internal Revenue Service, or both, with
            respect to those Bank Secrecy Act provisions should be
            transferred to other agencies, include the specific
            recommendations of the Secretary regarding the agency or
            agencies to which any such function should be transferred,
            complete with a budgetary and resources plan for expeditiously
            accomplishing the transfer.

    [[Page 115 STAT. 326]]

    SEC. 358. BANK SECRECY PROVISIONS AND ACTIVITIES OF UNITED STATES
                INTELLIGENCE AGENCIES TO FIGHT INTERNATIONAL TERRORISM.

        (a) Amendment Relating to the Purposes of Chapter 53 of Title 31,
    United States Code.--Section 5311 of title 31, United States Code, is
    amended by inserting before the period at the end the following: ``, or
    in the conduct of intelligence or counterintelligence activities,
    including analysis, to protect against international terrorism''.
        (b) Amendment Relating to Reporting of Suspicious Activities.--
    Section 5318(g)(4)(B) of title 31, United States Code, is amended by
    striking ``or supervisory agency'' and inserting ``, supervisory agency,
    or United States intelligence agency for use in the conduct of
    intelligence or counterintelligence activities, including analysis, to
    protect against international terrorism''.
        (c) Amendment Relating to Availability of Reports.--Section 5319 of
    title 31, United States Code, is amended to read as follows:

    ``Sec. 5319. Availability of reports

        ``The Secretary of the Treasury shall make information in a report
    filed under this subchapter available to an agency, including any State
    financial institutions supervisory agency, United States intelligence
    agency or self-regulatory organization registered with the Securities
    and Exchange Commission or the Commodity Futures Trading Commission,
    upon request of the head of the agency or organization. The report shall
    be available for a purpose that is consistent with this subchapter. The
    Secretary may only require reports on the use of such information by any
    State financial institutions supervisory agency for other than
    supervisory purposes or by United States intelligence agencies. However,
    a report and records of reports are exempt from disclosure under section
    552 of title 5.''.
        (d) Amendment Relating to the Purposes of the Bank Secrecy Act
    Provisions.--Section 21(a) of the Federal Deposit Insurance Act (12
    U.S.C. 1829b(a)) is amended to read as follows:
        ``(a) Congressional Findings and Declaration of Purpose.--
                ``(1) Findings.--Congress finds that--
                        ``(A) adequate records maintained by insured
                    depository institutions have a high degree of usefulness
                    in criminal, tax, and regulatory investigations or
                    proceedings, and that, given the threat posed to the
                    security of the Nation on and after the terrorist
                    attacks against the United States on September 11, 2001,
                    such records may also have a high degree of usefulness
                    in the conduct of intelligence or counterintelligence
                    activities, including analysis, to protect against
                    domestic and international terrorism; and
                        ``(B) microfilm or other reproductions and other
                    records made by insured depository institutions of
                    checks, as well as records kept by such institutions, of
                    the identity of persons maintaining or authorized to act
                    with respect to accounts therein, have been of
                    particular value in proceedings described in
                    subparagraph (A).
                ``(2) Purpose.--It is the purpose of this section to require
            the maintenance of appropriate types of records by insured
            depository institutions in the United States where such records

    [[Page 115 STAT. 327]]

            have a high degree of usefulness in criminal, tax, or regulatory
            investigations or proceedings, recognizes that, given the threat
            posed to the security of the Nation on and after the terrorist
            attacks against the United States on September 11, 2001, such
            records may also have a high degree of usefulness in the conduct
            of intelligence or counterintelligence activities, including
            analysis, to protect against international terrorism.''.

        (e) Amendment Relating to the Purposes of the Bank Secrecy Act.--
    Section 123(a) of Public Law 91-508 (12 U.S.C. 1953(a)) is amended to
    read as follows:
        ``(a) Regulations.--If the Secretary determines that the maintenance
    of appropriate records and procedures by any uninsured bank or uninsured
    institution, or any person engaging in the business of carrying on in
    the United States any of the functions referred to in subsection (b),
    has a high degree of usefulness in criminal, tax, or regulatory
    investigations or proceedings, and that, given the threat posed to the
    security of the Nation on and after the terrorist attacks against the
    United States on September 11, 2001, such records may also have a high
    degree of usefulness in the conduct of intelligence or
    counterintelligence activities, including analysis, to protect against
    international terrorism, he may by regulation require such bank,
    institution, or person.''.
        (f) Amendments to the Right to Financial Privacy Act.--The Right to
    Financial Privacy Act of 1978 is amended--
                (1) in section 1112(a) (12 U.S.C. 3412(a)), by inserting ``,
            or intelligence or counterintelligence activity, investigation
            or analysis related to international terrorism'' after
            ``legitimate law enforcement inquiry'';
                (2) in section 1114(a)(1) (12 U.S.C. 3414(a)(1))--
                        (A) in subparagraph (A), by striking ``or'' at the
                    end;
                        (B) in subparagraph (B), by striking the period at
                    the end and inserting ``; or''; and
                        (C) by adding at the end the following:
                        ``(C) a Government authority authorized to conduct
                    investigations of, or intelligence or
                    counterintelligence analyses related to, international
                    terrorism for the purpose of conducting such
                    investigations or analyses.''; and
                (3) in section 1120(a)(2) (12 U.S.C. 3420(a)(2)), by
            inserting ``, or for a purpose authorized by section 1112(a)''
            before the semicolon at the end.

        (g) Amendment to the Fair Credit Reporting Act.--
                (1) In general.--The Fair Credit Reporting Act (15 U.S.C.
            1681 et seq.) is amended--
                        (A) by redesignating the second of the 2 sections
                    designated as section 624 (15 U.S.C. 1681u) (relating to
                    disclosure to FBI for counterintelligence purposes) as
                    section 625; and
                        (B) by adding at the end the following new section:

    ``Sec. 626. <<NOTE: 15 USC 1681v.>> Disclosures to governmental agencies
                            for counterterrorism purposes

        ``(a) Disclosure.--Notwithstanding section 604 or any other
    provision of this title, a consumer reporting agency shall furnish a
    consumer report of a consumer and all other information in a consumer's
    file to a government agency authorized to conduct investigations of, or
    intelligence or counterintelligence activities or analysis related to,
    international terrorism when presented with

    [[Page 115 STAT. 328]]

    a written certification by such government agency that such information
    is necessary for the agency's conduct or such investigation, activity or
    analysis.
        ``(b)  Form of Certification.--The certification described in
    subsection (a) shall be signed by a supervisory official designated by
    the head of a Federal agency or an officer of a Federal agency whose
    appointment to office is required to be made by the President, by and
    with the advice and consent of the Senate.
        ``(c) Confidentiality.--No consumer reporting agency, or officer,
    employee, or agent of such consumer reporting agency, shall disclose to
    any person, or specify in any consumer report, that a government agency
    has sought or obtained access to information under subsection (a).
        ``(d) Rule of Construction.--Nothing in section 625 shall be
    construed to limit the authority of the Director of the Federal Bureau
    of Investigation under this section.
        ``(e) Safe Harbor.--Notwithstanding any other provision of this
    title, any consumer reporting agency or agent or employee thereof making
    disclosure of consumer reports or other information pursuant to this
    section in good-faith reliance upon a certification of a governmental
    agency pursuant to the provisions of this section shall not be liable to
    any person for such disclosure under this subchapter, the constitution
    of any State, or any law or regulation of any State or any political
    subdivision of any State.''.
                (2) Clerical amendments.--The table of sections for the Fair
            Credit Reporting Act (15 U.S.C. 1681 et seq.) is amended--
                        (A) by redesignating the second of the 2 items
                    designated as section 624 as section 625; and
                        (B) by inserting after the item relating to section
                    625 (as so redesignated) the following new item:

    ``626. Disclosures to governmental agencies for counterterrorism
               purposes.''.

        (h) Application <<NOTE: 12 USC 1829b note.>> of Amendments.--The
    amendments made by this section shall apply with respect to reports
    filed or records maintained on, before, or after the date of enactment
    of this Act.

    SEC. 359. REPORTING OF SUSPICIOUS ACTIVITIES BY UNDERGROUND BANKING
                SYSTEMS.

        (a) Definition for Subchapter.--Section 5312(a)(2)(R) of title 31,
    United States Code, is amended to read as follows:
                        ``(R) a licensed sender of money or any other person
                    who engages as a business in the transmission of funds,
                    including any person who engages as a business in an
                    informal money transfer system or any network of people
                    who engage as a business in facilitating the transfer of
                    money domestically or internationally outside of the
                    conventional financial institutions system;''.

        (b) Money Transmitting Business.--Section 5330(d)(1)(A) of title 31,
    United States Code, is amended by inserting before the semicolon the
    following: ``or any other person who engages as a business in the
    transmission of funds, including any person who engages as a business in
    an informal money transfer system or any network of people who engage as
    a business in facilitating the transfer of money domestically or
    internationally outside of the conventional financial institutions
    system;''.
        (c) Applicability of Rules.--Section 5318 of title 31, United States
    Code, as amended by this title, is amended by adding at the end the
    following:

    [[Page 115 STAT. 329]]

        ``(l) Applicability of Rules.--Any rules promulgated pursuant to the
    authority contained in section 21 of the Federal Deposit Insurance Act
    (12 U.S.C. 1829b) shall apply, in addition to any other financial
    institution to which such rules apply, to any person that engages as a
    business in the transmission of funds, including any person who engages
    as a business in an informal money transfer system or any network of
    people who engage as a business in facilitating the transfer of money
    domestically or internationally outside of the conventional financial
    institutions system.''.
        (d) Report.--Not <<NOTE: Deadline. 31 USC 5311 note.>> later than 1
    year after the date of enactment of this Act, the Secretary of the
    Treasury shall report to Congress on the need for any additional
    legislation relating to persons who engage as a business in an informal
    money transfer system or any network of people who engage as a business
    in facilitating the transfer of money domestically or internationally
    outside of the conventional financial institutions system, counter money
    laundering and regulatory controls relating to underground money
    movement and banking systems, including whether the threshold for the
    filing of suspicious activity reports under section 5318(g) of title 31,
    United States Code should be lowered in the case of such systems.

    SEC. 360. <<NOTE: 22 USC 262p-4r.>> USE OF AUTHORITY OF UNITED STATES
                EXECUTIVE DIRECTORS.

        (a) Action by the President.--If the President determines that a
    particular foreign country has taken or has committed to take actions
    that contribute to efforts of the United States to respond to, deter, or
    prevent acts of international terrorism, the Secretary may, consistent
    with other applicable provisions of law, instruct the United States
    Executive Director of each international financial institution to use
    the voice and vote of the Executive Director to support any loan or
    other utilization of the funds of respective institutions for such
    country, or any public or private entity within such country.
        (b) Use of Voice and Vote.--The Secretary may instruct the United
    States Executive Director of each international financial institution to
    aggressively use the voice and vote of the Executive Director to require
    an auditing of disbursements at such institutions to ensure that no
    funds are paid to persons who commit, threaten to commit, or support
    terrorism.
        (c) Definition.--For purposes of this section, the term
    ``international financial institution'' means an institution described
    in section 1701(c)(2) of the International Financial Institutions Act
    (22 U.S.C. 262r(c)(2)).

    SEC. 361. FINANCIAL CRIMES ENFORCEMENT NETWORK.

        (a) In General.--Subchapter I of chapter 3 of title 31, United
    States Code, is amended--
                (1) by redesignating section 310 as section 311; and
                (2) by inserting after section 309 the following new
            section:

    ``Sec. 310. Financial Crimes Enforcement Network

        ``(a) In General.--The Financial Crimes Enforcement Network
    established by order of the Secretary of the Treasury (Treasury Order
    Numbered 105-08, in this section referred to as `FinCEN') on April 25,
    1990, shall be a bureau in the Department of the Treasury.
        ``(b) Director.--

    [[Page 115 STAT. 330]]

                ``(1) Appointment.--The head of FinCEN shall be the
            Director, who shall be appointed by the Secretary of the
            Treasury.
                ``(2) Duties and powers.--The duties and powers of the
            Director are as follows:
                        ``(A) Advise and make recommendations on matters
                    relating to financial intelligence, financial criminal
                    activities, and other financial activities to the Under
                    Secretary of the Treasury for Enforcement.
                        ``(B) Maintain a government-wide data access
                    service, with access, in accordance with applicable
                    legal requirements, to the following:
                              ``(i) Information collected by the Department
                          of the Treasury, including report information
                          filed under subchapter II of chapter 53 of this
                          title (such as reports on cash transactions,
                          foreign financial agency transactions and
                          relationships, foreign currency transactions,
                          exporting and importing monetary instruments, and
                          suspicious activities), chapter 2 of title I of
                          Public Law 91-508, and section 21 of the Federal
                          Deposit Insurance Act.
                              ``(ii) Information regarding national and
                          international currency flows.
                              ``(iii) Other records and data maintained by
                          other Federal, State, local, and foreign agencies,
                          including financial and other records developed in
                          specific cases.
                              ``(iv) Other privately and publicly available
                          information.
                        ``(C) Analyze and disseminate the available data in
                    accordance with applicable legal requirements and
                    policies and guidelines established by the Secretary of
                    the Treasury and the Under Secretary of the Treasury for
                    Enforcement to--
                              ``(i) identify possible criminal activity to
                          appropriate Federal, State, local, and foreign law
                          enforcement agencies;
                              ``(ii) support ongoing criminal financial
                          investigations and prosecutions and related
                          proceedings, including civil and criminal tax and
                          forfeiture proceedings;
                              ``(iii) identify possible instances of
                          noncompliance with subchapter II of chapter 53 of
                          this title, chapter 2 of title I of Public Law 91-
                          508, and section 21 of the Federal Deposit
                          Insurance Act to Federal agencies with statutory
                          responsibility for enforcing compliance with such
                          provisions and other appropriate Federal
                          regulatory agencies;
                              ``(iv) evaluate and recommend possible uses of
                          special currency reporting requirements under
                          section 5326;
                              ``(v) determine emerging trends and methods in
                          money laundering and other financial crimes;
                              ``(vi) support the conduct of intelligence or
                          counterintelligence activities, including
                          analysis, to protect against international
                          terrorism; and
                              ``(vii) support government initiatives against
                          money laundering.

    [[Page 115 STAT. 331]]

                        ``(D) Establish and maintain a financial crimes
                    communications center to furnish law enforcement
                    authorities with intelligence information related to
                    emerging or ongoing investigations and undercover
                    operations.
                        ``(E) Furnish research, analytical, and
                    informational services to financial institutions,
                    appropriate Federal regulatory agencies with regard to
                    financial institutions, and appropriate Federal, State,
                    local, and foreign law enforcement authorities, in
                    accordance with policies and guidelines established by
                    the Secretary of the Treasury or the Under Secretary of
                    the Treasury for Enforcement, in the interest of
                    detection, prevention, and prosecution of terrorism,
                    organized crime, money laundering, and other financial
                    crimes.
                        ``(F) Assist Federal, State, local, and foreign law
                    enforcement and regulatory authorities in combatting the
                    use of informal, nonbank networks and payment and barter
                    system mechanisms that permit the transfer of funds or
                    the equivalent of funds without records and without
                    compliance with criminal and tax laws.
                        ``(G) Provide computer and data support and data
                    analysis to the Secretary of the Treasury for tracking
                    and controlling foreign assets.
                        ``(H) Coordinate with financial intelligence units
                    in other countries on anti-terrorism and anti-money
                    laundering initiatives, and similar efforts.
                        ``(I) Administer the requirements of subchapter II
                    of chapter 53 of this title, chapter 2 of title I of
                    Public Law 91-508, and section 21 of the Federal Deposit
                    Insurance Act, to the extent delegated such authority by
                    the Secretary of the Treasury.
                        ``(J) Such other duties and powers as the Secretary
                    of the Treasury may delegate or prescribe.

        ``(c) Requirements Relating to Maintenance and Use of Data Banks.--
    The Secretary of the Treasury shall establish and maintain operating
    procedures with respect to the government-wide data access service and
    the financial crimes communications center maintained by FinCEN which
    provide--
                ``(1) for the coordinated and efficient transmittal of
            information to, entry of information into, and withdrawal of
            information from, the data maintenance system maintained by the
            Network, including--
                        ``(A) the submission of reports through the Internet
                    or other secure network, whenever possible;
                        ``(B) the cataloguing of information in a manner
                    that facilitates rapid retrieval by law enforcement
                    personnel of meaningful data; and
                        ``(C) a procedure that provides for a prompt initial
                    review of suspicious activity reports and other reports,
                    or such other means as the Secretary may provide, to
                    identify information that warrants immediate action; and
                ``(2) in accordance with section 552a of title 5 and the
            Right to Financial Privacy Act of 1978, appropriate standards
            and guidelines for determining--
                        ``(A) who is to be given access to the information
                    maintained by the Network;
                        ``(B) what limits are to be imposed on the use of
                    such information; and

    [[Page 115 STAT. 332]]

                        ``(C) how information about activities or
                    relationships which involve or are closely associated
                    with the exercise of constitutional rights is to be
                    screened out of the data maintenance system.

        ``(d) Authorization of Appropriations.--There are authorized to be
    appropriated for FinCEN such sums as may be necessary for fiscal years
    2002, 2003, 2004, and 2005.''.
        (b) Compliance <<NOTE: 31 USC 5314 note.>> With Reporting
    Requirements.--The Secretary of the Treasury shall study methods for
    improving compliance with the reporting requirements established in
    section 5314 of title 31, United States Code, and shall submit a report
    on such study to the Congress by the end of the 6-month period beginning
    on the date of enactment of this Act and each 1-year period thereafter.
    The initial report shall include historical data on compliance with such
    reporting requirements.

        (c) Clerical Amendment.--The table of sections for subchapter I of
    chapter 3 of title 31, United States Code, is amended--
                (1) by redesignating the item relating to section 310 as
            section 311; and
                (2) by inserting after the item relating to section 309 the
            following new item:

    ``310. Financial Crimes Enforcement Network.''.

    SEC. 362. <<NOTE: 31 USC 310 note.>> ESTABLISHMENT OF HIGHLY SECURE
                NETWORK.

        (a) In General.--The Secretary shall establish a highly secure
    network in the Financial Crimes Enforcement Network that--
                (1) allows financial institutions to file reports required
            under subchapter II or III of chapter 53 of title 31, United
            States Code, chapter 2 of Public Law 91-508, or section 21 of
            the Federal Deposit Insurance Act through the secure network;
            and
                (2) provides financial institutions with alerts and other
            information regarding suspicious activities that warrant
            immediate and enhanced scrutiny.

        (b) Expedited Development.--The Secretary shall take such action as
    may be necessary to ensure that the secure network required under
    subsection (a) is fully operational before the end of the 9-month period
    beginning on the date of enactment of this Act.

    SEC. 363. INCREASE IN CIVIL AND CRIMINAL PENALTIES FOR MONEY LAUNDERING.

        (a) Civil Penalties.--Section 5321(a) of title 31, United States
    Code, is amended by adding at the end the following:
                ``(7) Penalties for international counter money laundering
            violations.--The Secretary may impose a civil money penalty in
            an amount equal to not less than 2 times the amount of the
            transaction, but not more than $1,000,000, on any financial
            institution or agency that violates any provision of subsection
            (i) or (j) of section 5318 or any special measures imposed under
            section 5318A.''.

        (b) Criminal Penalties.--Section 5322 of title 31, United States
    Code, is amended by adding at the end the following:
        ``(d) A financial institution or agency that violates any provision
    of subsection (i) or (j) of section 5318, or any special measures
    imposed under section 5318A, or any regulation prescribed under
    subsection (i) or (j) of section 5318 or section 5318A, shall be

    [[Page 115 STAT. 333]]

    fined in an amount equal to not less than 2 times the amount of the
    transaction, but not more than $1,000,000.''.

    SEC. 364. UNIFORM PROTECTION AUTHORITY FOR FEDERAL RESERVE FACILITIES.

        Section 11 of the Federal Reserve Act (12 U.S.C. 248) is amended by
    adding at the end the following:
        ``(q) Uniform Protection Authority for Federal Reserve Facilities.--
                ``(1) Notwithstanding any other provision of law, to
            authorize personnel to act as law enforcement officers to
            protect and safeguard the premises, grounds, property,
            personnel, including members of the Board, of the Board, or any
            Federal reserve bank, and operations conducted by or on behalf
            of the Board or a reserve bank.
                ``(2) The Board may, subject to the regulations prescribed
            under paragraph (5), delegate authority to a Federal reserve
            bank to authorize personnel to act as law enforcement officers
            to protect and safeguard the bank's premises, grounds, property,
            personnel, and operations conducted by or on behalf of the bank.
                ``(3) Law enforcement officers designated or authorized by
            the Board or a reserve bank under paragraph (1) or (2) are
            authorized while on duty to carry firearms and make arrests
            without warrants for any offense against the United States
            committed in their presence, or for any felony cognizable under
            the laws of the United States committed or being committed
            within the buildings and grounds of the Board or a reserve bank
            if they have reasonable grounds to believe that the person to be
            arrested has committed or is committing such a felony. Such
            officers shall have access to law enforcement information that
            may be necessary for the protection of the property or personnel
            of the Board or a reserve bank.
                ``(4) For purposes of this subsection, the term `law
            enforcement officers' means personnel who have successfully
            completed law enforcement training and are authorized to carry
            firearms and make arrests pursuant to this subsection.
                ``(5) The law enforcement authorities provided for in this
            subsection may be exercised only pursuant to regulations
            prescribed by the Board and approved by the Attorney General.''.

    SEC. 365. REPORTS RELATING TO COINS AND CURRENCY RECEIVED IN
                NONFINANCIAL TRADE OR BUSINESS.

        (a) Reports Required.--Subchapter II of chapter 53 of title 31,
    United States Code, is amended by adding at the end the following new
    section:

    ``Sec. 5331. Reports relating to coins and currency received in
                            nonfinancial trade or business

        ``(a) Coin and Currency Receipts of More Than $10,000.--Any person--
                ``(1) who is engaged in a trade or business; and
                ``(2) who, in the course of such trade or business, receives
            more than $10,000 in coins or currency in 1 transaction (or 2 or
            more related transactions),

    shall file a report described in subsection (b) with respect to such
    transaction (or related transactions) with the Financial Crimes

    [[Page 115 STAT. 334]]

    Enforcement Network at such time and in such manner as the Secretary
    may, by regulation, prescribe.
        ``(b) Form and Manner of Reports.--A report is described in this
    subsection if such report--
                ``(1) is in such form as the Secretary may prescribe;
                ``(2) contains--
                        ``(A) the name and address, and such other
                    identification information as the Secretary may require,
                    of the person from whom the coins or currency was
                    received;
                        ``(B) the amount of coins or currency received;
                        ``(C) the date and nature of the transaction; and
                        ``(D) such other information, including the
                    identification of the person filing the report, as the
                    Secretary may prescribe.

        ``(c) Exceptions.--
                ``(1) Amounts received by financial institutions.--
            Subsection (a) shall not apply to amounts received in a
            transaction reported under section 5313 and regulations
            prescribed under such section.
                ``(2) Transactions occurring outside the united states.--
            Except to the extent provided in regulations prescribed by the
            Secretary, subsection (a) shall not apply to any transaction if
            the entire transaction occurs outside the United States.

        ``(d) Currency Includes Foreign Currency and Certain Monetary
    Instruments.--
                ``(1) In general.--For purposes of this section, the term
            `currency' includes--
                        ``(A) foreign currency; and
                        ``(B) to the extent provided in regulations
                    prescribed by the Secretary, any monetary instrument
                    (whether or not in bearer form) with a face amount of
                    not more than $10,000.
                ``(2) Scope of application.--Paragraph (1)(B) shall not
            apply to any check drawn on the account of the writer in a
            financial institution referred to in subparagraph (A), (B), (C),
            (D), (E), (F), (G), (J), (K), (R), or (S) of section
            5312(a)(2).''.

        (b) Prohibition on Structuring Transactions.--
                (1) In general.--Section 5324 of title 31, United States
            Code, is amended--
                        (A) by redesignating subsections (b) and (c) as
                    subsections (c) and (d), respectively; and
                        (B) by inserting after subsection (a) the following
                    new subsection:

        ``(b) Domestic Coin and Currency Transactions Involving Nonfinancial
    Trades or Businesses.--No person shall, for the purpose of evading the
    report requirements of section 5333 or any regulation prescribed under
    such section--
                ``(1) cause or attempt to cause a nonfinancial trade or
            business to fail to file a report required under section 5333 or
            any regulation prescribed under such section;
                ``(2) cause or attempt to cause a nonfinancial trade or
            business to file a report required under section 5333 or any
            regulation prescribed under such section that contains a
            material omission or misstatement of fact; or

    [[Page 115 STAT. 335]]

                ``(3) structure or assist in structuring, or attempt to
            structure or assist in structuring, any transaction with 1 or
            more nonfinancial trades or businesses.''.
                (2) Technical and conforming amendments.--
                        (A) The heading for subsection (a) of section 5324
                    of title 31, United States Code, is amended by inserting
                    ``Involving Financial Institutions'' after
                    ``Transactions''.
                        (B) Section 5317(c) of title 31, United States Code,
                    is amended by striking ``5324(b)'' and inserting
                    ``5324(c)''.

        (c) Definition of Nonfinancial Trade or Business.--
                (1) In general.--Section 5312(a) of title 31, United States
            Code, is amended--
                        (A) by redesignating paragraphs (4) and (5) as
                    paragraphs (5) and (6), respectively; and
                        (B) by inserting after paragraph (3) the following
                    new paragraph:
                ``(4) Nonfinancial trade or business.--The term
            `nonfinancial trade or business' means any trade or business
            other than a financial institution that is subject to the
            reporting requirements of section 5313 and regulations
            prescribed under such section.''.
                (2) Technical and conforming amendments.--
                        (A) Section 5312(a)(3)(C) of title 31, United States
                    Code, is amended by striking ``section 5316,'' and
                    inserting ``sections 5333 and 5316,''.
                        (B) Subsections (a) through (f) of section 5318 of
                    title 31, United States Code, and sections 5321, 5326,
                    and 5328 of such title are each amended--
                              (i) by inserting ``or nonfinancial trade or
                          business'' after ``financial institution'' each
                          place such term appears; and
                              (ii) by inserting ``or nonfinancial trades or
                          businesses'' after ``financial institutions'' each
                          place such term appears.

        (c) Clerical Amendment.--The table of sections for chapter 53 of
    title 31, United States Code, is amended by inserting after the item
    relating to section 5332 (as added by section 112 of this title) the
    following new item:

    ``5331. Reports relating to coins and currency received in nonfinancial
               trade or business.''.

        (f) Regulations.--Regulations <<NOTE: Publication. 31 USC 5331
    note.>> which the Secretary determines are necessary to implement this
    section shall be published in final form before the end of the 6-month
    period beginning on the date of enactment of this Act.

    SEC. 366. <<NOTE: 31 USC 5313 note.>> EFFICIENT USE OF CURRENCY
                TRANSACTION REPORT SYSTEM.

        (a) Findings.--The Congress finds the following:
                (1) The Congress established the currency transaction
            reporting requirements in 1970 because the Congress found then
            that such reports have a high degree of usefulness in criminal,
            tax, and regulatory investigations and proceedings and the
            usefulness of such reports has only increased in the years since
            the requirements were established.
                (2) In 1994, in response to reports and testimony that
            excess amounts of currency transaction reports were interfering

    [[Page 115 STAT. 336]]

            with effective law enforcement, the Congress reformed the
            currency transaction report exemption requirements to provide--
                        (A) mandatory exemptions for certain reports that
                    had little usefulness for law enforcement, such as cash
                    transfers between depository institutions and cash
                    deposits from government agencies; and
                        (B) discretionary authority for the Secretary of the
                    Treasury to provide exemptions, subject to criteria and
                    guidelines established by the Secretary, for financial
                    institutions with regard to regular business customers
                    that maintain accounts at an institution into which
                    frequent cash deposits are made.
                (3) Today there is evidence that some financial institutions
            are not utilizing the exemption system, or are filing reports
            even if there is an exemption in effect, with the result that
            the volume of currency transaction reports is once again
            interfering with effective law enforcement.

        (b) Study and Report.--
                (1) Study required.--The Secretary shall conduct a study
            of--
                        (A) the possible expansion of the statutory
                    exemption system in effect under section 5313 of title
                    31, United States Code; and
                        (B) methods for improving financial institution
                    utilization of the statutory exemption provisions as a
                    way of reducing the submission of currency transaction
                    reports that have little or no value for law enforcement
                    purposes, including improvements in the systems in
                    effect at financial institutions for regular review of
                    the exemption procedures used at the institution and the
                    training of personnel in its effective use.
                (2) Report required.--The Secretary of the Treasury shall
            submit a report to the Congress before the end of the 1-year
            period beginning on the date of enactment of this Act containing
            the findings and conclusions of the Secretary with regard to the
            study required under subsection (a), and such recommendations
            for legislative or administrative action as the Secretary
            determines to be appropriate.

                   Subtitle C--Currency Crimes and Protection

    SEC. 371. BULK CASH SMUGGLING INTO OR OUT OF THE UNITED STATES.

        (a) Findings.--The <<NOTE: 31 USC 5332 note.>> Congress finds the
    following:
                (1) Effective enforcement of the currency reporting
            requirements of subchapter II of chapter 53 of title 31, United
            States Code, and the regulations prescribed under such
            subchapter, has forced drug dealers and other criminals engaged
            in cash-based businesses to avoid using traditional financial
            institutions.
                (2) In their effort to avoid using traditional financial
            institutions, drug dealers and other criminals are forced to
            move large quantities of currency in bulk form to and through
            the airports, border crossings, and other ports of entry where
            the currency can be smuggled out of the United States and

    [[Page 115 STAT. 337]]

            placed in a foreign financial institution or sold on the black
            market.
                (3) The transportation and smuggling of cash in bulk form
            may now be the most common form of money laundering, and the
            movement of large sums of cash is one of the most reliable
            warning signs of drug trafficking, terrorism, money laundering,
            racketeering, tax evasion and similar crimes.
                (4) The intentional transportation into or out of the United
            States of large amounts of currency or monetary instruments, in
            a manner designed to circumvent the mandatory reporting
            provisions of subchapter II of chapter 53 of title 31, United
            States Code,, is the equivalent of, and creates the same harm
            as, the smuggling of goods.
                (5) The arrest and prosecution of bulk cash smugglers are
            important parts of law enforcement's effort to stop the
            laundering of criminal proceeds, but the couriers who attempt to
            smuggle the cash out of the United States are typically low-
            level employees of large criminal organizations, and thus are
            easily replaced. Accordingly, only the confiscation of the
            smuggled bulk cash can effectively break the cycle of criminal
            activity of which the laundering of the bulk cash is a critical
            part.
                (6) The current penalties for violations of the currency
            reporting requirements are insufficient to provide a deterrent
            to the laundering of criminal proceeds. In particular, in cases
            where the only criminal violation under current law is a
            reporting offense, the law does not adequately provide for the
            confiscation of smuggled currency. In contrast, if the smuggling
            of bulk cash were itself an offense, the cash could be
            confiscated as the corpus delicti of the smuggling offense.

        (b) Purposes.--The <<NOTE: 31 USC 5332 note.>> purposes of this
    section are--
                (1) to make the act of smuggling bulk cash itself a criminal
            offense;
                (2) to authorize forfeiture of any cash or instruments of
            the smuggling offense; and
                (3) to emphasize the seriousness of the act of bulk cash
            smuggling.

        (c) Enactment of Bulk Cash Smuggling Offense.--Subchapter II of
    chapter 53 of title 31, United States Code, is amended by adding at the
    end the following:

    ``Sec. 5332. Bulk cash smuggling into or out of the United States

        ``(a) Criminal Offense.--
                ``(1) In general.--Whoever, with the intent to evade a
            currency reporting requirement under section 5316, knowingly
            conceals more than $10,000 in currency or other monetary
            instruments on the person of such individual or in any
            conveyance, article of luggage, merchandise, or other container,
            and transports or transfers or attempts to transport or transfer
            such currency or monetary instruments from a place within the
            United States to a place outside of the United States, or from a
            place outside the United States to a place within the United
            States, shall be guilty of a currency smuggling offense and
            subject to punishment pursuant to subsection (b).
                ``(2) Concealment on person.--For purposes of this section,
            the concealment of currency on the person of any individual
            includes concealment in any article of clothing worn

    [[Page 115 STAT. 338]]

            by the individual or in any luggage, backpack, or other
            container worn or carried by such individual.

        ``(b) Penalty.--
                ``(1) Term of imprisonment.--A person convicted of a
            currency smuggling offense under subsection (a), or a conspiracy
            to commit such offense, shall be imprisoned for not more than 5
            years.
                ``(2) Forfeiture.--In addition, the court, in imposing
            sentence under paragraph (1), shall order that the defendant
            forfeit to the United States, any property, real or personal,
            involved in the offense, and any property traceable to such
            property, subject to subsection (d) of this section.
                ``(3) Procedure.--The seizure, restraint, and forfeiture of
            property under this section shall be governed by section 413 of
            the Controlled Substances Act.
                ``(4) Personal money judgment.--If the property subject to
            forfeiture under paragraph (2) is unavailable, and the defendant
            has insufficient substitute property that may be forfeited
            pursuant to section 413(p) of the Controlled Substances Act, the
            court shall enter a personal money judgment against the
            defendant for the amount that would be subject to forfeiture.

        ``(c) Civil Forfeiture.--
                ``(1) In general.--Any property involved in a violation of
            subsection (a), or a conspiracy to commit such violation, and
            any property traceable to such violation or conspiracy, may be
            seized and, subject to subsection (d) of this section, forfeited
            to the United States.
                ``(2) Procedure.--The seizure and forfeiture shall be
            governed by the procedures governing civil forfeitures in money
            laundering cases pursuant to section 981(a)(1)(A) of title 18,
            United States Code.
                ``(3) Treatment of certain property as involved in the
            offense.--For purposes of this subsection and subsection (b),
            any currency or other monetary instrument that is concealed or
            intended to be concealed in violation of subsection (a) or a
            conspiracy to commit such violation, any article, container, or
            conveyance used, or intended to be used, to conceal or transport
            the currency or other monetary instrument, and any other
            property used, or intended to be used, to facilitate the
            offense, shall be considered property involved in the
            offense.''.

        (c) Clerical Amendment.--The table of sections for subchapter II of
    chapter 53 of title 31, United States Code, is amended by inserting
    after the item relating to section 5331, as added by this Act, the
    following new item:

    ``5332. Bulk cash smuggling into or out of the United States.''.

    SEC. 372. FORFEITURE IN CURRENCY REPORTING CASES.

        (a) In General.--Subsection (c) of section 5317 of title 31, United
    States Code, is amended to read as follows:
        ``(c) Forfeiture.--
                ``(1) Criminal forfeiture.--
                        ``(A) In general.--The court in imposing sentence
                    for any violation of section 5313, 5316, or 5324 of this
                    title, or any conspiracy to commit such violation, shall
                    order the defendant to forfeit all property, real or
                    personal, involved in the offense and any property
                    traceable thereto.

    [[Page 115 STAT. 339]]

                        ``(B) Procedure.--Forfeitures under this paragraph
                    shall be governed by the procedures established in
                    section 413 of the Controlled Substances Act.
                ``(2) Civil forfeiture.--Any property involved in a
            violation of section 5313, 5316, or 5324 of this title, or any
            conspiracy to commit any such violation, and any property
            traceable to any such violation or conspiracy, may be seized and
            forfeited to the United States in accordance with the procedures
            governing civil forfeitures in money laundering cases pursuant
            to section 981(a)(1)(A) of title 18, United States Code.''.

        (b) Conforming Amendments.--
                (1) Section 981(a)(1)(A) of title 18, United States Code, is
            amended--
                        (A) by striking ``of section 5313(a) or 5324(a) of
                    title 31, or''; and
                        (B) by striking ``However'' and all that follows
                    through the end of the subparagraph.
                (2) Section 982(a)(1) of title 18, United States Code, is
            amended--
                        (A) by striking ``of section 5313(a), 5316, or 5324
                    of title 31, or''; and
                        (B) by striking ``However'' and all that follows
                    through the end of the paragraph.

    SEC. 373. ILLEGAL MONEY TRANSMITTING BUSINESSES.

        (a) Scienter Requirement for Section 1960 Violation.--Section 1960
    of title 18, United States Code, is amended to read as follows:

    ``Sec. 1960. Prohibition of unlicensed money transmitting businesses

        ``(a) Whoever knowingly conducts, controls, manages, supervises,
    directs, or owns all or part of an unlicensed money transmitting
    business, shall be fined in accordance with this title or imprisoned not
    more than 5 years, or both.
        ``(b) As used in this section--
                ``(1) the term `unlicensed money transmitting business'
            means a money transmitting business which affects interstate or
            foreign commerce in any manner or degree and--
                        ``(A) is operated without an appropriate money
                    transmitting license in a State where such operation is
                    punishable as a misdemeanor or a felony under State law,
                    whether or not the defendant knew that the operation was
                    required to be licensed or that the operation was so
                    punishable;
                        ``(B) fails to comply with the money transmitting
                    business registration requirements under section 5330 of
                    title 31, United States Code, or regulations prescribed
                    under such section; or
                        ``(C) otherwise involves the transportation or
                    transmission of funds that are known to the defendant to
                    have been derived from a criminal offense or are
                    intended to be used to be used to promote or support
                    unlawful activity;
                ``(2) the term `money transmitting' includes transferring
            funds on behalf of the public by any and all means including but
            not limited to transfers within this country or to locations
            abroad by wire, check, draft, facsimile, or courier; and

    [[Page 115 STAT. 340]]

                ``(3) the term `State' means any State of the United States,
            the District of Columbia, the Northern Mariana Islands, and any
            commonwealth, territory, or possession of the United States.''.

        (b) Seizure of Illegally Transmitted Funds.--Section 981(a)(1)(A) of
    title 18, United States Code, is amended by striking ``or 1957'' and
    inserting ``, 1957 or 1960''.
        (c) Clerical Amendment.--The table of sections for chapter 95 of
    title 18, United States Code, is amended in the item relating to section
    1960 by striking ``illegal'' and inserting ``unlicensed''.

    SEC. 374. COUNTERFEITING DOMESTIC CURRENCY AND OBLIGATIONS.

        (a) Counterfeit Acts Committed Outside the United States.--Section
    470 of title 18, United States Code, is amended--
                (1) in paragraph (2), by inserting ``analog, digital, or
            electronic image,'' after ``plate, stone,''; and
                (2) by striking ``shall be fined under this title,
            imprisoned not more than 20 years, or both'' and inserting
            ``shall be punished as is provided for the like offense within
            the United States''.

        (b) Obligations or securities of the United States.--Section 471 of
    title 18, United States Code, is amended by striking ``fifteen years''
    and inserting ``20 years''.
        (c) Uttering Counterfeit Obligations or Securities.--Section 472 of
    title 18, United States Code, is amended by striking ``fifteen years''
    and inserting ``20 years''.
        (d) Dealing in Counterfeit Obligations or Securities.--Section 473
    of title 18, United States Code, is amended by striking ``ten years''
    and inserting ``20 years''.
        (e) Plates, Stones, or Analog, Digital, or Electronic Images For
    Counterfeiting Obligations or Securities.--
                (1) In general.--Section 474(a) of title 18, United States
            Code, is amended by inserting after the second paragraph the
            following new paragraph:

        ``Whoever, with intent to defraud, makes, executes, acquires, scans,
    captures, records, receives, transmits, reproduces, sells, or has in
    such person's control, custody, or possession, an analog, digital, or
    electronic image of any obligation or other security of the United
    States; or''.
                (2) Amendment to definition.--Section 474(b) of title 18,
            United States Code, is amended by striking the first sentence
            and inserting the following new sentence: ``For purposes of this
            section, the term `analog, digital, or electronic image'
            includes any analog, digital, or electronic method used for the
            making, execution, acquisition, scanning, capturing, recording,
            retrieval, transmission, or reproduction of any obligation or
            security, unless such use is authorized by the Secretary of the
            Treasury.''.
                (3) Technical and conforming amendment.--The heading for
            section 474 of title 18, United States Code, is amended by
            striking ``or stones'' and inserting ``, stones, or analog,
            digital, or electronic images''.
                (4) Clerical amendment.--The table of sections for chapter
            25 of title 18, United States Code, is amended in the item
            relating to section 474 by striking ``or stones'' and inserting
            ``, stones, or analog, digital, or electronic images''.

    [[Page 115 STAT. 341]]

        (f) Taking Impressions of Tools Used for Obligations or
    Securities.--Section 476 of title 18, United States Code, is amended--
                (1) by inserting ``analog, digital, or electronic image,''
            after ``impression, stamp,''; and
                (2) by striking ``ten years'' and inserting ``25 years''.

        (g) Possessing or Selling Impressions of Tools Used for Obligations
    or Securities.--Section 477 of title 18, United States Code, is
    amended--
                (1) in the first paragraph, by inserting ``analog, digital,
            or electronic image,'' after ``imprint, stamp,'';
                (2) in the second paragraph, by inserting ``analog, digital,
            or electronic image,'' after ``imprint, stamp,''; and
                (3) in the third paragraph, by striking ``ten years'' and
            inserting ``25 years''.

        (h) Connecting Parts of Different Notes.--Section 484 of title 18,
    United States Code, is amended by striking ``five years'' and inserting
    ``10 years''.
        (i) Bonds and Obligations of Certain Lending Agencies.--The first
    and second paragraphs of section 493 of title 18, United States Code,
    are each amended by striking ``five years'' and inserting ``10 years''.

    SEC. 375. COUNTERFEITING FOREIGN CURRENCY AND OBLIGATIONS.

        (a) Foreign Obligations or Securities.--Section 478 of title 18,
    United States Code, is amended by striking ``five years'' and inserting
    ``20 years''.
        (b) Uttering Counterfeit Foreign Obligations or Securities.--Section
    479 of title 18, United States Code, is amended by striking ``three
    years'' and inserting ``20 years''.
        (c) Possessing Counterfeit Foreign Obligations or Securities.--
    Section 480 of title 18, United States Code, is amended by striking
    ``one year'' and inserting ``20 years''.
        (d) Plates, Stones, or Analog, Digital, or Electronic Images for
    Counterfeiting Foreign Obligations or Securities.--
                (1) In general.--Section 481 of title 18, United States
            Code, is amended by inserting after the second paragraph the
            following new paragraph:

        ``Whoever, with intent to defraud, makes, executes, acquires, scans,
    captures, records, receives, transmits, reproduces, sells, or has in
    such person's control, custody, or possession, an analog, digital, or
    electronic image of any bond, certificate, obligation, or other security
    of any foreign government, or of any treasury note, bill, or promise to
    pay, lawfully issued by such foreign government and intended to
    circulate as money; or''.
                (2) Increased sentence.--The last paragraph of section 481
            of title 18, United States Code, is amended by striking ``five
            years'' and inserting ``25 years''.
                (3) Technical and conforming amendment.--The heading for
            section 481 of title 18, United States Code, is amended by
            striking ``or stones'' and inserting ``, stones, or analog,
            digital, or electronic images''.
                (4) Clerical amendment.--The table of sections for chapter
            25 of title 18, United States Code, is amended in the item
            relating to section 481 by striking ``or stones'' and inserting
            ``, stones, or analog, digital, or electronic images''.

    [[Page 115 STAT. 342]]

        (e) Foreign Bank Notes.--Section 482 of title 18, United States
    Code, is amended by striking ``two years'' and inserting ``20 years''.
        (f) Uttering Counterfeit Foreign Bank Notes.--Section 483 of title
    18, United States Code, is amended by striking ``one year'' and
    inserting ``20 years''.

    SEC. 376. LAUNDERING THE PROCEEDS OF TERRORISM.

        Section 1956(c)(7)(D) of title 18, United States Code, is amended by
    inserting ``or 2339B'' after ``2339A''.

    SEC. 377. EXTRATERRITORIAL JURISDICTION.

        Section 1029 of title 18, United States Code, is amended by adding
    at the end the following:
        ``(h) Any person who, outside the jurisdiction of the United States,
    engages in any act that, if committed within the jurisdiction of the
    United States, would constitute an offense under subsection (a) or (b)
    of this section, shall be subject to the fines, penalties, imprisonment,
    and forfeiture provided in this title if--
                ``(1) the offense involves an access device issued, owned,
            managed, or controlled by a financial institution, account
            issuer, credit card system member, or other entity within the
            jurisdiction of the United States; and
                ``(2) the person transports, delivers, conveys, transfers to
            or through, or otherwise stores, secrets, or holds within the
            jurisdiction of the United States, any article used to assist in
            the commission of the offense or the proceeds of such offense or
            property derived therefrom.''.

                         TITLE IV--PROTECTING THE BORDER

                   Subtitle A--Protecting the Northern Border

    SEC. 401. ENSURING ADEQUATE PERSONNEL ON THE NORTHERN BORDER.

        The Attorney General is authorized to waive any FTE cap on personnel
    assigned to the Immigration and Naturalization Service on the Northern
    border.

    SEC. 402. NORTHERN BORDER PERSONNEL.

        There <<NOTE: Appropriation authorization.>> are authorized to be
    appropriated--
                (1) such sums as may be necessary to triple the number of
            Border Patrol personnel (from the number authorized under
            current law), and the necessary personnel and facilities to
            support such personnel, in each State along the Northern Border;
                (2) such sums as may be necessary to triple the number of
            Customs Service personnel (from the number authorized under
            current law), and the necessary personnel and facilities to
            support such personnel, at ports of entry in each State along
            the Northern Border;
                (3) such sums as may be necessary to triple the number of
            INS inspectors (from the number authorized on the date of the
            enactment of this Act), and the necessary personnel

    [[Page 115 STAT. 343]]

            and facilities to support such personnel, at ports of entry in
            each State along the Northern Border; and
                (4) an additional $50,000,000 each to the Immigration and
            Naturalization Service and the United States Customs Service for
            purposes of making improvements in technology for monitoring the
            Northern Border and acquiring additional equipment at the
            Northern Border.

    SEC. 403. ACCESS BY THE DEPARTMENT OF STATE AND THE INS TO CERTAIN
                IDENTIFYING INFORMATION IN THE CRIMINAL HISTORY RECORDS OF
                VISA APPLICANTS AND APPLICANTS FOR ADMISSION TO THE UNITED
                STATES.

        (a) Amendment of the Immigration and Nationality Act.--Section 105
    of the Immigration and Nationality Act (8 U.S.C. 1105) is amended--
                (1) in the section heading, by inserting ``; data exchange''
            after ``security officers'';
                (2) by inserting ``(a)'' after ``Sec. 105.'';
                (3) in subsection (a), by inserting ``and border'' after
            ``internal'' the second place it appears; and
                (4) by adding at the end the following:

        ``(b)(1) The Attorney General and the Director of the Federal Bureau
    of Investigation shall provide the Department of State and the Service
    access to the criminal history record information contained in the
    National Crime Information Center's Interstate Identification Index
    (NCIC-III), Wanted Persons File, and to any other files maintained by
    the National Crime Information Center that may be mutually agreed upon
    by the Attorney General and the agency receiving the access, for the
    purpose of determining whether or not a visa applicant or applicant for
    admission has a criminal history record indexed in any such file.
        ``(2) Such access shall be provided by means of extracts of the
    records for placement in the automated visa lookout or other appropriate
    database, and shall be provided without any fee or charge.
        ``(3) The Federal Bureau of Investigation shall provide periodic
    updates of the extracts at intervals mutually agreed upon with the
    agency receiving the access. Upon receipt of such updated extracts, the
    receiving agency shall make corresponding updates to its database and
    destroy previously provided extracts.
        ``(4) Access to an extract does not entitle the Department of State
    to obtain the full content of the corresponding automated criminal
    history record. To obtain the full content of a criminal history record,
    the Department of State shall submit the applicant's fingerprints and
    any appropriate fingerprint processing fee authorized by law to the
    Criminal Justice Information Services Division of the Federal Bureau of
    Investigation.
        ``(c) The provision of the extracts described in subsection (b) may
    be reconsidered by the Attorney General and the receiving agency upon
    the development and deployment of a more cost-effective and efficient
    means of sharing the information.
        ``(d) <<NOTE: Deadline. Regulations.>> For purposes of administering
    this section, the Department of State shall, prior to receiving access
    to NCIC data but not later than 4 months after the date of enactment of
    this subsection, promulgate final regulations--
                ``(1) to implement procedures for the taking of
            fingerprints; and

    [[Page 115 STAT. 344]]

                ``(2) to establish the conditions for the use of the
            information received from the Federal Bureau of Investigation,
            in order--
                        ``(A) to limit the redissemination of such
                    information;
                        ``(B) to ensure that such information is used solely
                    to determine whether or not to issue a visa to an alien
                    or to admit an alien to the United States;
                        ``(C) to ensure the security, confidentiality, and
                    destruction of such information; and
                        ``(D) to protect any privacy rights of individuals
                    who are subjects of such information.''.

        (b) Reporting <<NOTE: Deadline. 8 USC 1105 note.>> Requirement.--Not
    later than 2 years after the date of enactment of this Act, the Attorney
    General and the Secretary of State jointly shall report to Congress on
    the implementation of the amendments made by this section.

        (c) Technology <<NOTE: 8 USC 1379.>> Standard to Confirm Identity.--
                (1) In <<NOTE: Deadline.>> General.--The Attorney General
            and the Secretary of State jointly, through the National
            Institute of Standards and Technology (NIST), and in
            consultation with the Secretary of the Treasury and other
            Federal law enforcement and intelligence agencies the Attorney
            General or Secretary of State deems appropriate and in
            consultation with Congress, shall within 2 years after the date
            of the enactment of this section, develop and certify a
            technology standard that can be used to verify the identity of
            persons applying for a United States visa or such persons
            seeking to enter the United States pursuant to a visa for the
            purposes of conducting background checks, confirming identity,
            and ensuring that a person has not received a visa under a
            different name or such person seeking to enter the United States
            pursuant to a visa.
                (2) Integrated.--The technology standard developed pursuant
            to paragraph (1), shall be the technological basis for a cross-
            agency, cross-platform electronic system that is a cost-
            effective, efficient, fully integrated means to share law
            enforcement and intelligence information necessary to confirm
            the identity of such persons applying for a United States visa
            or such person seeking to enter the United States pursuant to a
            visa.
                (3) Accessible.--The electronic system described in
            paragraph (2), once implemented, shall be readily and easily
            accessible to--
                        (A) all consular officers responsible for the
                    issuance of visas;
                        (B) all Federal inspection agents at all United
                    States border inspection points; and
                        (C) all law enforcement and intelligence officers as
                    determined by regulation to be responsible for
                    investigation or identification of aliens admitted to
                    the United States pursuant to a visa.
                (4) Report.--Not <<NOTE: Deadline.>> later than 18 months
            after the date of the enactment of this Act, and every 2 years
            thereafter, the Attorney General and the Secretary of State
            shall jointly, in consultation with the Secretary of Treasury,
            report to Congress describing the development, implementation,
            efficacy, and privacy implications of the technology standard
            and electronic database system described in this subsection.
                (5) Funding.--There is authorized to be appropriated to the
            Secretary of State, the Attorney General, and the Director

    [[Page 115 STAT. 345]]

            of the National Institute of Standards and Technology such sums
            as may be necessary to carry out the provisions of this
            subsection.

        (d) Statutory <<NOTE: 8 USC 1105 note.>> Construction.--Nothing in
    this section, or in any other law, shall be construed to limit the
    authority of the Attorney General or the Director of the Federal Bureau
    of Investigation to provide access to the criminal history record
    information contained in the National Crime Information Center's (NCIC)
    Interstate Identification Index (NCIC-III), or to any other information
    maintained by the NCIC, to any Federal agency or officer authorized to
    enforce or administer the immigration laws of the United States, for the
    purpose of such enforcement or administration, upon terms that are
    consistent with the National Crime Prevention and Privacy Compact Act of
    1998 (subtitle A of title II of Public Law 105-251; 42 U.S.C. 14611-16)
    and section 552a of title 5, United States Code.

    SEC. 404. LIMITED AUTHORITY TO PAY OVERTIME.

        The matter under the headings ``Immigration And Naturalization
    Service: Salaries and Expenses, Enforcement And Border Affairs'' and
    ``Immigration And Naturalization Service: Salaries and Expenses,
    Citizenship And Benefits, Immigration And Program Direction'' in the
    Department of Justice Appropriations Act, 2001 (as enacted into law by
    Appendix B (H.R. 5548) of Public Law 106-553 (114 Stat. 2762A-58 to
    2762A-59)) is amended by striking the following each place it occurs:
    ``Provided, That none of the funds available to the Immigration and
    Naturalization Service shall be available to pay any employee overtime
    pay in an amount in excess of $30,000 during the calendar year beginning
    January 1, 2001:''.

    SEC. 405. <<NOTE: 8 USC 1379 note.>> REPORT ON THE INTEGRATED AUTOMATED
                FINGERPRINT IDENTIFICATION SYSTEM FOR PORTS OF ENTRY AND
                OVERSEAS CONSULAR POSTS.

        (a) In General.--The Attorney General, in consultation with the
    appropriate heads of other Federal agencies, including the Secretary of
    State, Secretary of the Treasury, and the Secretary of Transportation,
    shall report to Congress on the feasibility of enhancing the Integrated
    Automated Fingerprint Identification System (IAFIS) of the Federal
    Bureau of Investigation and other identification systems in order to
    better identify a person who holds a foreign passport or a visa and may
    be wanted in connection with a criminal investigation in the United
    States or abroad, before the issuance of a visa to that person or the
    entry or exit from the United States by that person.
        (b) Authorization of Appropriations.--There is authorized to be
    appropriated not less than $2,000,000 to carry out this section.

                   Subtitle B--Enhanced Immigration Provisions

    SEC. 411. DEFINITIONS RELATING TO TERRORISM.

        (a) Grounds of Inadmissibility.--Section 212(a)(3) of the
    Immigration and Nationality Act (8 U.S.C. 1182(a)(3)) is amended--
                (1) in subparagraph (B)--
                        (A) in clause (i)--

    [[Page 115 STAT. 346]]

                              (i) by amending subclause (IV) to read as
                          follows:
                                        ``(IV) is a representative (as
                                    defined in clause (v)) of--
                                                ``(aa) a foreign terrorist
                                            organization, as designated by
                                            the Secretary of State under
                                            section 219, or
                                                ``(bb) a political, social
                                            or other similar group whose
                                            public endorsement of acts of
                                            terrorist activity the Secretary
                                            of State has determined
                                            undermines United States efforts
                                            to reduce or eliminate terrorist
                                            activities,'';
                              (ii) in subclause (V), by inserting ``or''
                          after ``section 219,''; and
                              (iii) by adding at the end the following new
                          subclauses:
                                        ``(VI) has used the alien's position
                                    of prominence within any country to
                                    endorse or espouse terrorist activity,
                                    or to persuade others to support
                                    terrorist activity or a terrorist
                                    organization, in a way that the
                                    Secretary of State has determined
                                    undermines United States efforts to
                                    reduce or eliminate terrorist
                                    activities, or
                                        ``(VII) is the spouse or child of an
                                    alien who is inadmissible under this
                                    section, if the activity causing the
                                    alien to be found inadmissible occurred
                                    within the last 5 years,'';
                        (B) by redesignating clauses (ii), (iii), and (iv)
                    as clauses (iii), (iv), and (v), respectively;
                        (C) in clause (i)(II), by striking ``clause (iii)''
                    and inserting ``clause (iv)'';
                        (D) by inserting after clause (i) the following:
                              ``(ii) Exception.--Subclause (VII) of clause
                          (i) does not apply to a spouse or child--
                                        ``(I) who did not know or should not
                                    reasonably have known of the activity
                                    causing the alien to be found
                                    inadmissible under this section; or
                                        ``(II) whom the consular officer or
                                    Attorney General has reasonable grounds
                                    to believe has renounced the activity
                                    causing the alien to be found
                                    inadmissible under this section.'';
                        (E) in clause (iii) (as redesignated by subparagraph
                    (B))--
                              (i) by inserting ``it had been'' before
                          ``committed in the United States''; and
                              (ii) in subclause (V)(b), by striking ``or
                          firearm'' and inserting ``, firearm, or other
                          weapon or dangerous device'';
                        (F) by amending clause (iv) (as redesignated by
                    subparagraph (B)) to read as follows:
                              ``(iv) Engage in terrorist activity defined.--
                          As used in this chapter, the term `engage in
                          terrorist activity' means, in an individual
                          capacity or as a member of an organization--
                                        ``(I) to commit or to incite to
                                    commit, under circumstances indicating
                                    an intention to cause death or serious
                                    bodily injury, a terrorist activity;
                                        ``(II) to prepare or plan a
                                    terrorist activity;

    [[Page 115 STAT. 347]]

                                        ``(III) to gather information on
                                    potential targets for terrorist
                                    activity;
                                        ``(IV) to solicit funds or other
                                    things of value for--
                                                ``(aa) a terrorist activity;
                                                ``(bb) a terrorist
                                            organization described in clause
                                            (vi)(I) or (vi)(II); or
                                                ``(cc) a terrorist
                                            organization described in clause
                                            (vi)(III), unless the solicitor
                                            can demonstrate that he did not
                                            know, and should not reasonably
                                            have known, that the
                                            solicitation would further the
                                            organization's terrorist
                                            activity;
                                        ``(V) to solicit any individual--
                                                ``(aa) to engage in conduct
                                            otherwise described in this
                                            clause;
                                                ``(bb) for membership in a
                                            terrorist organization described
                                            in clause (vi)(I) or (vi)(II);
                                            or
                                                ``(cc) for membership in a
                                            terrorist organization described
                                            in clause (vi)(III), unless the
                                            solicitor can demonstrate that
                                            he did not know, and should not
                                            reasonably have known, that the
                                            solicitation would further the
                                            organization's terrorist
                                            activity; or
                                        ``(VI) to commit an act that the
                                    actor knows, or reasonably should know,
                                    affords material support, including a
                                    safe house, transportation,
                                    communications, funds, transfer of funds
                                    or other material financial benefit,
                                    false documentation or identification,
                                    weapons (including chemical, biological,
                                    or radiological weapons), explosives, or
                                    training--
                                                ``(aa) for the commission of
                                            a terrorist activity;
                                                ``(bb) to any individual who
                                            the actor knows, or reasonably
                                            should know, has committed or
                                            plans to commit a terrorist
                                            activity;
                                                ``(cc) to a terrorist
                                            organization described in clause
                                            (vi)(I) or (vi)(II); or
                                                ``(dd) to a terrorist
                                            organization described in clause
                                            (vi)(III), unless the actor can
                                            demonstrate that he did not
                                            know, and should not reasonably
                                            have known, that the act would
                                            further the organization's
                                            terrorist activity.
                                    This clause shall not apply to any
                                    material support the alien afforded to
                                    an organization or individual that has
                                    committed terrorist activity, if the
                                    Secretary of State, after consultation
                                    with the Attorney General, or the
                                    Attorney General, after consultation
                                    with the Secretary of State, concludes
                                    in his sole unreviewable discretion,
                                    that this clause should not apply.'';
                                    and
                        (G) by adding at the end the following new clause:
                              ``(vi) Terrorist organization defined.--As
                          used in clause (i)(VI) and clause (iv), the term
                          `terrorist organization' means an organization--

    [[Page 115 STAT. 348]]

                                        ``(I) designated under section 219;
                                        ``(II) otherwise designated, upon
                                    publication in the Federal Register, by
                                    the Secretary of State in consultation
                                    with or upon the request of the Attorney
                                    General, as a terrorist organization,
                                    after finding that the organization
                                    engages in the activities described in
                                    subclause (I), (II), or (III) of clause
                                    (iv), or that the organization provides
                                    material support to further terrorist
                                    activity; or
                                        ``(III) that is a group of two or
                                    more individuals, whether organized or
                                    not, which engages in the activities
                                    described in subclause (I), (II), or
                                    (III) of clause (iv).''; and
                (2) by adding at the end the following new subparagraph:
                        ``(F) Association with terrorist organizations.--Any
                    alien who the Secretary of State, after consultation
                    with the Attorney General, or the Attorney General,
                    after consultation with the Secretary of State,
                    determines has been associated with a terrorist
                    organization and intends while in the United States to
                    engage solely, principally, or incidentally in
                    activities that could endanger the welfare, safety, or
                    security of the United States is inadmissible.''.

        (b) Conforming Amendments.--
                (1) Section 237(a)(4)(B) of the Immigration and Nationality
            Act (8 U.S.C. 1227(a)(4)(B)) is amended by striking ``section
            212(a)(3)(B)(iii)'' and inserting ``section 212(a)(3)(B)(iv)''.
                (2) Section 208(b)(2)(A)(v) of the Immigration and
            Nationality Act (8 U.S.C. 1158(b)(2)(A)(v)) is amended by
            striking ``or (IV)'' and inserting ``(IV), or (VI)''.

        (c) Retroactive <<NOTE: 8 USC 1182 note.>> Application of
    Amendments.--
                (1) In general.--Except as otherwise provided in this
            subsection, the amendments made by this section shall take
            effect on the date of the enactment of this Act and shall apply
            to--
                        (A) actions taken by an alien before, on, or after
                    such date; and
                        (B) all aliens, without regard to the date of entry
                    or attempted entry into the United States--
                              (i) in removal proceedings on or after such
                          date (except for proceedings in which there has
                          been a final administrative decision before such
                          date); or
                              (ii) seeking admission to the United States on
                          or after such date.
                (2) Special rule for aliens in exclusion or deportation
            proceedings.--Notwithstanding any other provision of law,
            sections 212(a)(3)(B) and 237(a)(4)(B) of the Immigration and
            Nationality Act, as amended by this Act, shall apply to all
            aliens in exclusion or deportation proceedings on or after the
            date of the enactment of this Act (except for proceedings in
            which there has been a final administrative decision before such
            date) as if such proceedings were removal proceedings.
                (3) Special rule for section 219 organizations and
            organizations designated under section 212(a)(3)(B)(vi)(II).--
                        (A) In general.--Notwithstanding paragraphs (1) and
                    (2), no alien shall be considered inadmissible under
                    section 212(a)(3) of the Immigration and Nationality Act
                    (8 U.S.C.

    [[Page 115 STAT. 349]]

                    1182(a)(3)), or deportable under section 237(a)(4)(B) of
                    such Act (8 U.S.C. 1227(a)(4)(B)), by reason of the
                    amendments made by subsection (a), on the ground that
                    the alien engaged in a terrorist activity described in
                    subclause (IV)(bb), (V)(bb), or (VI)(cc) of section
                    212(a)(3)(B)(iv) of such Act (as so amended) with
                    respect to a group at any time when the group was not a
                    terrorist organization designated by the Secretary of
                    State under section 219 of such Act (8 U.S.C. 1189) or
                    otherwise designated under section 212(a)(3)(B)(vi)(II)
                    of such Act (as so amended).
                        (B) Statutory construction.--Subparagraph (A) shall
                    not be construed to prevent an alien from being
                    considered inadmissible or deportable for having engaged
                    in a terrorist activity--
                              (i) described in subclause (IV)(bb), (V)(bb),
                          or (VI)(cc) of section 212(a)(3)(B)(iv) of such
                          Act (as so amended) with respect to a terrorist
                          organization at any time when such organization
                          was designated by the Secretary of State under
                          section 219 of such Act or otherwise designated
                          under section 212(a)(3)(B)(vi)(II) of such Act (as
                          so amended); or
                              (ii) described in subclause (IV)(cc), (V)(cc),
                          or (VI)(dd) of section 212(a)(3)(B)(iv) of such
                          Act (as so amended) with respect to a terrorist
                          organization described in section
                          212(a)(3)(B)(vi)(III) of such Act (as so amended).
                (4) Exception.--The Secretary of State, in consultation with
            the Attorney General, may determine that the amendments made by
            this section shall not apply with respect to actions by an alien
            taken outside the United States before the date of the enactment
            of this Act upon the recommendation of a consular officer who
            has concluded that there is not reasonable ground to believe
            that the alien knew or reasonably should have known that the
            actions would further a terrorist activity.

        (c) Designation of Foreign Terrorist Organizations.--Section 219(a)
    of the Immigration and Nationality Act (8 U.S.C. 1189(a)) is amended--
                (1) in paragraph (1)(B), by inserting ``or terrorism (as
            defined in section 140(d)(2) of the Foreign Relations
            Authorization Act, Fiscal Years 1988 and 1989 (22 U.S.C.
            2656f(d)(2)), or retains the capability and intent to engage in
            terrorist activity or terrorism'' after ``212(a)(3)(B)'';
                (2) in paragraph (1)(C), by inserting ``or terrorism'' after
            ``terrorist activity'';
                (3) by amending paragraph (2)(A) to read as follows:
                        ``(A) <<NOTE: Classified information.>> Notice.--
                              ``(i) To congressional leaders.--Seven days
                          before making a designation under this subsection,
                          the Secretary shall, by classified communication,
                          notify the Speaker and Minority Leader of the
                          House of Representatives, the President pro
                          tempore, Majority Leader, and Minority Leader of
                          the Senate, and the members of the relevant
                          committees of the House of Representatives and the
                          Senate, in writing, of the

    [[Page 115 STAT. 350]]

                          intent to designate an organization under this
                          subsection, together with the findings made under
                          paragraph (1) with respect to that organization,
                          and the factual basis therefor.
                              ``(ii) Publication in federal register.--The
                          Secretary shall publish the designation in the
                          Federal Register seven days after providing the
                          notification under clause (i).'';
                (4) in paragraph (2)(B)(i), by striking ``subparagraph (A)''
            and inserting ``subparagraph (A)(ii)'';
                (5) in paragraph (2)(C), by striking ``paragraph (2)'' and
            inserting ``paragraph (2)(A)(i)'';
                (6) in paragraph (3)(B), by striking ``subsection (c)'' and
            inserting ``subsection (b)'';
                (7) in paragraph (4)(B), by inserting after the first
            sentence the following: ``The Secretary also may redesignate
            such organization at the end of any 2-year redesignation period
            (but not sooner than 60 days prior to the termination of such
            period) for an additional 2-year period upon a finding that the
            relevant circumstances described in paragraph (1) still exist.
            Any redesignation shall be effective immediately following the
            end of the prior 2-year designation or redesignation period
            unless a different effective date is provided in such
            redesignation.'';
                (8) in paragraph (6)(A)--
                        (A) by inserting ``or a redesignation made under
                    paragraph (4)(B)'' after ``paragraph (1)'';
                        (B) in clause (i)--
                              (i) by inserting ``or redesignation'' after
                          ``designation'' the first place it appears; and
                              (ii) by striking ``of the designation''; and
                        (C) in clause (ii), by striking ``of the
                    designation'';
                (9) in paragraph (6)(B)--
                        (A) by striking ``through (4)'' and inserting ``and
                    (3)''; and
                        (B) by inserting at the end the following new
                    sentence: ``Any revocation shall take effect on the date
                    specified in the revocation or upon publication in the
                    Federal Register if no effective date is specified.'';
                (10) in paragraph (7), by inserting ``, or the revocation of
            a redesignation under paragraph (6),'' after ``paragraph (5) or
            (6)''; and
                (11) in paragraph (8)--
                        (A) by striking ``paragraph (1)(B)'' and inserting
                    ``paragraph (2)(B), or if a redesignation under this
                    subsection has become effective under paragraph
                    (4)(B)'';
                        (B) by inserting ``or an alien in a removal
                    proceeding'' after ``criminal action''; and
                        (C) by inserting ``or redesignation'' before ``as a
                    defense''.

    SEC. 412. MANDATORY DETENTION OF SUSPECTED TERRORISTS; HABEAS CORPUS;
                JUDICIAL REVIEW.

        (a) In General.--The Immigration and Nationality Act (8 U.S.C. 1101
    et seq.) is amended by inserting after section 236 the following:

    [[Page 115 STAT. 351]]

     ``mandatory detention of suspected terrorists; habeas corpus; judicial
                                     review

        ``Sec. 236A. <<NOTE: 8 USC 1226a.>> (a) Detention of Terrorist
    Aliens.--
                ``(1) Custody.--The Attorney General shall take into custody
            any alien who is certified under paragraph (3).
                ``(2) Release.--Except as provided in paragraphs (5) and
            (6), the Attorney General shall maintain custody of such an
            alien until the alien is removed from the United States. Except
            as provided in paragraph (6), such custody shall be maintained
            irrespective of any relief from removal for which the alien may
            be eligible, or any relief from removal granted the alien, until
            the Attorney General determines that the alien is no longer an
            alien who may be certified under paragraph (3). If the alien is
            finally determined not to be removable, detention pursuant to
            this subsection shall terminate.
                ``(3) Certification.--The Attorney General may certify an
            alien under this paragraph if the Attorney General has
            reasonable grounds to believe that the alien--
                        ``(A) is described in section 212(a)(3)(A)(i),
                    212(a)(3)(A)(iii), 212(a)(3)(B), 237(a)(4)(A)(i),
                    237(a)(4)(A)(iii), or 237(a)(4)(B); or
                        ``(B) is engaged in any other activity that
                    endangers the national security of the United States.
                ``(4) Nondelegation.--The Attorney General may delegate the
            authority provided under paragraph (3) only to the Deputy
            Attorney General. The Deputy Attorney General may not delegate
            such authority.
                ``(5) Commencement <<NOTE: Deadline.>> of proceedings.--The
            Attorney General shall place an alien detained under paragraph
            (1) in removal proceedings, or shall charge the alien with a
            criminal offense, not later than 7 days after the commencement
            of such detention. If the requirement of the preceding sentence
            is not satisfied, the Attorney General shall release the alien.
                ``(6) Limitation on indefinite detention.--An alien detained
            solely under paragraph (1) who has not been removed under
            section 241(a)(1)(A), and whose removal is unlikely in the
            reasonably foreseeable future, may be detained for additional
            periods of up to six months only if the release of the alien
            will threaten the national security of the United States or the
            safety of the community or any person.
                ``(7) Review of certification.--The Attorney General shall
            review the certification made under paragraph (3) every 6
            months. If the Attorney General determines, in the Attorney
            General's discretion, that the certification should be revoked,
            the alien may be released on such conditions as the Attorney
            General deems appropriate, unless such release is otherwise
            prohibited by law. The alien may request each 6 months in
            writing that the Attorney General reconsider the certification
            and may submit documents or other evidence in support of that
            request.

        ``(b) Habeas Corpus and Judicial Review.--
                ``(1) In general.--Judicial review of any action or decision
            relating to this section (including judicial review of the
            merits of a determination made under subsection (a)(3) or
            (a)(6)) is available exclusively in habeas corpus proceedings
            consistent

    [[Page 115 STAT. 352]]

            with this subsection. Except as provided in the preceding
            sentence, no court shall have jurisdiction to review, by habeas
            corpus petition or otherwise, any such action or decision.
                ``(2) Application.--
                        ``(A) In general.--Notwithstanding any other
                    provision of law, including section 2241(a) of title 28,
                    United States Code, habeas corpus proceedings described
                    in paragraph (1) may be initiated only by an application
                    filed with--
                              ``(i) the Supreme Court;
                              ``(ii) any justice of the Supreme Court;
                              ``(iii) any circuit judge of the United States
                          Court of Appeals for the District of Columbia
                          Circuit; or
                              ``(iv) any district court otherwise having
                          jurisdiction to entertain it.
                        ``(B) Application transfer.--Section 2241(b) of
                    title 28, United States Code, shall apply to an
                    application for a writ of habeas corpus described in
                    subparagraph (A).
                ``(3) Appeals.--Notwithstanding any other provision of law,
            including section 2253 of title 28, in habeas corpus proceedings
            described in paragraph (1) before a circuit or district judge,
            the final order shall be subject to review, on appeal, by the
            United States Court of Appeals for the District of Columbia
            Circuit. There shall be no right of appeal in such proceedings
            to any other circuit court of appeals.
                ``(4) Rule of decision.--The law applied by the Supreme
            Court and the United States Court of Appeals for the District of
            Columbia Circuit shall be regarded as the rule of decision in
            habeas corpus proceedings described in paragraph (1).

        ``(c) Statutory Construction.--The provisions of this section shall
    not be applicable to any other provision of this Act.''.
        (b) Clerical Amendment.--The table of contents of the Immigration
    and Nationality Act is amended by inserting after the item relating to
    section 236 the following:

    ``Sec. 236A. Mandatory detention of suspected terrorist; habeas corpus;
               judicial review.''.

        (c) Reports.--Not <<NOTE: Deadline. 8 USC 1226a note.>> later than 6
    months after the date of the enactment of this Act, and every 6 months
    thereafter, the Attorney General shall submit a report to the Committee
    on the Judiciary of the House of Representatives and the Committee on
    the Judiciary of the Senate, with respect to the reporting period, on--
                (1) the number of aliens certified under section 236A(a)(3)
            of the Immigration and Nationality Act, as added by subsection
            (a);
                (2) the grounds for such certifications;
                (3) the nationalities of the aliens so certified;
                (4) the length of the detention for each alien so certified;
            and
                (5) the number of aliens so certified who--
                        (A) were granted any form of relief from removal;
                        (B) were removed;
                        (C) the Attorney General has determined are no
                    longer aliens who may be so certified; or
                        (D) were released from detention.

    [[Page 115 STAT. 353]]

    SEC. 413. MULTILATERAL COOPERATION AGAINST TERRORISTS.

        Section 222(f) of the Immigration and Nationality Act (8 U.S.C.
    1202(f)) is amended--
                (1) by striking ``except that in the discretion of'' and
            inserting the following: ``except that--
                ``(1) in the discretion of''; and
                (2) by adding at the end the following:
                ``(2) the Secretary of State, in the Secretary's discretion
            and on the basis of reciprocity, may provide to a foreign
            government information in the Department of State's computerized
            visa lookout database and, when necessary and appropriate, other
            records covered by this section related to information in the
            database--
                        ``(A) with regard to individual aliens, at any time
                    on a case-by-case basis for the purpose of preventing,
                    investigating, or punishing acts that would constitute a
                    crime in the United States, including, but not limited
                    to, terrorism or trafficking in controlled substances,
                    persons, or illicit weapons; or
                        ``(B) with regard to any or all aliens in the
                    database, pursuant to such conditions as the Secretary
                    of State shall establish in an agreement with the
                    foreign government in which that government agrees to
                    use such information and records for the purposes
                    described in subparagraph (A) or to deny visas to
                    persons who would be inadmissible to the United
                    States.''.

    SEC. 414. <<NOTE: 8 USC 1365a note.>> VISA INTEGRITY AND SECURITY.

        (a) Sense of Congress Regarding the Need To Expedite Implementation
    of Integrated Entry and Exit Data System.--
                (1) Sense of congress.--In light of the terrorist attacks
            perpetrated against the United States on September 11, 2001, it
            is the sense of the Congress that--
                        (A) the Attorney General, in consultation with the
                    Secretary of State, should fully implement the
                    integrated entry and exit data system for airports,
                    seaports, and land border ports of entry, as specified
                    in section 110 of the Illegal Immigration Reform and
                    Immigrant Responsibility Act of 1996 (8 U.S.C. 1365a),
                    with all deliberate speed and as expeditiously as
                    practicable; and
                        (B) the Attorney General, in consultation with the
                    Secretary of State, the Secretary of Commerce, the
                    Secretary of the Treasury, and the Office of Homeland
                    Security, should immediately begin establishing the
                    Integrated Entry and Exit Data System Task Force, as
                    described in section 3 of the Immigration and
                    Naturalization Service Data Management Improvement Act
                    of 2000 (Public Law 106-215).
                (2) Authorization of appropriations.--There is authorized to
            be appropriated such sums as may be necessary to fully implement
            the system described in paragraph (1)(A).

        (b) Development of the System.--In the development of the integrated
    entry and exit data system under section 110 of the Illegal Immigration
    Reform and Immigrant Responsibility Act of 1996 (8 U.S.C. 1365a), the
    Attorney General and the Secretary of State shall particularly focus
    on--
                (1) the utilization of biometric technology; and

    [[Page 115 STAT. 354]]

                (2) the development of tamper-resistant documents readable
            at ports of entry.

        (c) Interface With Law Enforcement Databases.--The entry and exit
    data system described in this section shall be able to interface with
    law enforcement databases for use by Federal law enforcement to identify
    and detain individuals who pose a threat to the national security of the
    United States.
        (d) Report <<NOTE: Deadline.>> on Screening Information.--Not later
    than 12 months after the date of enactment of this Act, the Office of
    Homeland Security shall submit a report to Congress on the information
    that is needed from any United States agency to effectively screen visa
    applicants and applicants for admission to the United States to identify
    those affiliated with terrorist organizations or those that pose any
    threat to the safety or security of the United States, including the
    type of information currently received by United States agencies and the
    regularity with which such information is transmitted to the Secretary
    of State and the Attorney General.

    SEC. 415. PARTICIPATION OF OFFICE OF HOMELAND SECURITY ON ENTRY-EXIT
                TASK FORCE.

        Section 3 of the Immigration and Naturalization Service Data
    Management Improvement Act of 2000 <<NOTE: 8 USC 1365a note.>> (Public
    Law 106-215) is amended by striking ``and the Secretary of the
    Treasury,'' and inserting ``the Secretary of the Treasury, and the
    Office of Homeland Security''.

    SEC. 416. FOREIGN STUDENT MONITORING PROGRAM.

        (a) Full <<NOTE: 8 USC 1372 note.>> Implementation and Expansion of
    Foreign Student Visa Monitoring Program Required.--The Attorney General,
    in consultation with the Secretary of State, shall fully implement and
    expand the program established by section 641(a) of the Illegal
    Immigration Reform and Immigrant Responsibility Act of 1996 (8 U.S.C.
    1372(a)).

        (b) Integration <<NOTE: 8 USC 1372 note.>> With Port of Entry
    Information.--For each alien with respect to whom information is
    collected under section 641 of the Illegal Immigration Reform and
    Immigrant Responsibility Act of 1996 (8 U.S.C. 1372), the Attorney
    General, in consultation with the Secretary of State, shall include
    information on the date of entry and port of entry.

        (c) Expansion of System To Include Other Approved Educational
    Institutions.--Section 641 of the Illegal Immigration Reform and
    Immigrant Responsibility Act of 1996 (8 U.S.C.1372) is amended--
                (1) in subsection (a)(1), subsection (c)(4)(A), and
            subsection (d)(1) (in the text above subparagraph (A)), by
            inserting ``, other approved educational institutions,'' after
            ``higher education'' each place it appears;
                (2) in subsections (c)(1)(C), (c)(1)(D), and (d)(1)(A), by
            inserting ``, or other approved educational institution,'' after
            ``higher education'' each place it appears;
                (3) in subsections (d)(2), (e)(1), and (e)(2), by inserting
            ``, other approved educational institution,'' after ``higher
            education'' each place it appears; and
                (4) in subsection (h), by adding at the end the following
            new paragraph:
                ``(3) Other approved educational institution.--The term
            `other approved educational institution' includes any air flight
            school, language training school, or vocational school,

    [[Page 115 STAT. 355]]

            approved by the Attorney General, in consultation with the
            Secretary of Education and the Secretary of State, under
            subparagraph (F), (J), or (M) of section 101(a)(15) of the
            Immigration and Nationality Act.''.

        (d) Authorization <<NOTE: Effective date. Termination date.>> of
    Appropriations.--There is authorized to be appropriated to the
    Department of Justice $36,800,000 for the period beginning on the date
    of enactment of this Act and ending on January 1, 2003, to fully
    implement and expand prior to January 1, 2003, the program established
    by section 641(a) of the Illegal Immigration Reform and Immigrant
    Responsibility Act of 1996 (8 U.S.C. 1372(a)).

    SEC. 417. MACHINE READABLE PASSPORTS.

        (a) Audits.--The <<NOTE: Termination date. 8 USC 1187
    note.>> Secretary of State shall, each fiscal year until September 30,
    2007--
                (1) perform annual audits of the implementation of section
            217(c)(2)(B) of the Immigration and Nationality Act (8 U.S.C.
            1187(c)(2)(B));
                (2) check for the implementation of precautionary measures
            to prevent the counterfeiting and theft of passports; and
                (3) ascertain that countries designated under the visa
            waiver program have established a program to develop tamper-
            resistant passports.

        (b) Periodic <<NOTE: Effective date. Termination date. 8 USC 1187
    note.>> Reports.--Beginning one year after the date of enactment of this
    Act, and every year thereafter until 2007, the Secretary of State shall
    submit a report to Congress setting forth the findings of the most
    recent audit conducted under subsection (a)(1).

        (c) Advancing Deadline for Satisfaction of Requirement.--Section
    217(a)(3) of the Immigration and Nationality Act (8 U.S.C. 1187(a)(3))
    is amended by striking ``2007'' and inserting ``2003''.
        (d) Waiver.--Section 217(a)(3) of the Immigration and Nationality
    Act (8 U.S.C. 1187(a)(3)) is amended--
                (1) by striking ``On or after'' and inserting the following:
                        ``(A) In general.--Except as provided in
                    subparagraph (B), on or after''; and
                (2) by adding at the end the following:
                        ``(B) Limited <<NOTE: Effective date. Termination
                    date.>> waiver authority.--For the period beginning
                    October 1, 2003, and ending September 30, 2007, the
                    Secretary of State may waive the requirement of
                    subparagraph (A) with respect to nationals of a program
                    country (as designated under subsection (c)), if the
                    Secretary of State finds that the program country--
                              ``(i) is making progress toward ensuring that
                          passports meeting the requirement of subparagraph
                          (A) are generally available to its nationals; and
                              ``(ii) has taken appropriate measures to
                          protect against misuse of passports the country
                          has issued that do not meet the requirement of
                          subparagraph (A).''.

    SEC. 418. <<NOTE: 8 USC 1201 note.>> PREVENTION OF CONSULATE SHOPPING.

        (a) Review.--The Secretary of State shall review how consular
    officers issue visas to determine if consular shopping is a problem.

    [[Page 115 STAT. 356]]

        (b) Actions to be Taken.--If the Secretary of State determines under
    subsection (a) that consular shopping is a problem, the Secretary shall
    take steps to address the problem and shall submit a report to Congress
    describing what action was taken.

        Subtitle C--Preservation of Immigration Benefits for Victims of
                                    Terrorism

    SEC. 421. SPECIAL IMMIGRANT STATUS.

        (a) In General.--For purposes of the Immigration and Nationality Act
    (8 U.S.C. 1101 et seq.), the Attorney General may provide an alien
    described in subsection (b) with the status of a special immigrant under
    section 101(a)(27) of such Act (8 U.S.C. 1101(a(27)), if the alien--
                (1) files with the Attorney General a petition under section
            204 of such Act (8 U.S.C. 1154) for classification under section
            203(b)(4) of such Act (8 U.S.C. 1153(b)(4)); and
                (2) is otherwise eligible to receive an immigrant visa and
            is otherwise admissible to the United States for permanent
            residence, except in determining such admissibility, the grounds
            for inadmissibility specified in section 212(a)(4) of such Act
            (8 U.S.C. 1182(a)(4)) shall not apply.

        (b) Aliens Described.--
                (1) Principal aliens.--An alien is described in this
            subsection if--
                        (A) the alien was the beneficiary of--
                              (i) a petition that was filed with the
                          Attorney General on or before September 11, 2001--
                                        (I) under section 204 of the
                                    Immigration and Nationality Act (8
                                    U.S.C. 1154) to classify the alien as a
                                    family-sponsored immigrant under section
                                    203(a) of such Act (8 U.S.C. 1153(a)) or
                                    as an employment-based immigrant under
                                    section 203(b) of such Act (8 U.S.C.
                                    1153(b)); or
                                        (II) under section 214(d) (8 U.S.C.
                                    1184(d)) of such Act to authorize the
                                    issuance of a nonimmigrant visa to the
                                    alien under section 101(a)(15)(K) of
                                    such Act (8 U.S.C. 1101(a)(15)(K)); or
                              (ii) an application for labor certification
                          under section 212(a)(5)(A) of such Act (8 U.S.C.
                          1182(a)(5)(A)) that was filed under regulations of
                          the Secretary of Labor on or before such date; and
                        (B) such petition or application was revoked or
                    terminated (or otherwise rendered null), either before
                    or after its approval, due to a specified terrorist
                    activity that directly resulted in--
                              (i) the death or disability of the petitioner,
                          applicant, or alien beneficiary; or
                              (ii) loss of employment due to physical damage
                          to, or destruction of, the business of the
                          petitioner or applicant.
                (2) Spouses and children.--
                        (A) In general.--An alien is described in this
                    subsection if--

    [[Page 115 STAT. 357]]

                              (i) the alien was, on September 10, 2001, the
                          spouse or child of a principal alien described in
                          paragraph (1); and
                              (ii) the alien--
                                        (I) is accompanying such principal
                                    alien; or
                                        (II) is following to join such
                                    principal alien not later than September
                                    11, 2003.
                        (B) Construction.--For purposes of construing the
                    terms ``accompanying'' and ``following to join'' in
                    subparagraph (A)(ii), any death of a principal alien
                    that is described in paragraph (1)(B)(i) shall be
                    disregarded.
                (3) Grandparents of orphans.--An alien is described in this
            subsection if the alien is a grandparent of a child, both of
            whose parents died as a direct result of a specified terrorist
            activity, if either of such deceased parents was, on September
            10, 2001, a citizen or national of the United States or an alien
            lawfully admitted for permanent residence in the United States.

        (c) Priority Date.--Immigrant visas made available under this
    section shall be issued to aliens in the order in which a petition on
    behalf of each such alien is filed with the Attorney General under
    subsection (a)(1), except that if an alien was assigned a priority date
    with respect to a petition described in subsection (b)(1)(A)(i), the
    alien may maintain that priority date.
        (d) Numerical Limitations.--For purposes of the application of
    sections 201 through 203 of the Immigration and Nationality Act (8
    U.S.C. 1151-1153) in any fiscal year, aliens eligible to be provided
    status under this section shall be treated as special immigrants
    described in section 101(a)(27) of such Act (8 U.S.C. 1101(a)(27)) who
    are not described in subparagraph (A), (B), (C), or (K) of such section.

    SEC. 422. EXTENSION OF FILING OR REENTRY DEADLINES.

        (a) Automatic Extension of Nonimmigrant Status.--
                (1) In general.--Notwithstanding section 214 of the
            Immigration and Nationality Act (8 U.S.C. 1184), in the case of
            an alien described in paragraph (2) who was lawfully present in
            the United States as a nonimmigrant on September 10, 2001, the
            alien may remain lawfully in the United States in the same
            nonimmigrant status until the later of--
                        (A) the date such lawful nonimmigrant status
                    otherwise would have terminated if this subsection had
                    not been enacted; or
                        (B) 1 year after the death or onset of disability
                    described in paragraph (2).
                (2) Aliens described.--
                        (A) Principal aliens.--An alien is described in this
                    paragraph if the alien was disabled as a direct result
                    of a specified terrorist activity.
                        (B) Spouses and children.--An alien is described in
                    this paragraph if the alien was, on September 10, 2001,
                    the spouse or child of--
                              (i) a principal alien described in
                          subparagraph (A); or
                              (ii) an alien who died as a direct result of a
                          specified terrorist activity.

    [[Page 115 STAT. 358]]

                (3) Authorized employment.--During the period in which a
            principal alien or alien spouse is in lawful nonimmigrant status
            under paragraph (1), the alien shall be provided an ``employment
            authorized'' endorsement or other appropriate document
            signifying authorization of employment not later than 30 days
            after the alien requests such authorization.

        (b) New Deadlines for Extension or Change of Nonimmigrant Status.--
                (1) Filing delays.--In the case of an alien who was lawfully
            present in the United States as a nonimmigrant on September 10,
            2001, if the alien was prevented from filing a timely
            application for an extension or change of nonimmigrant status as
            a direct result of a specified terrorist activity, the alien's
            application shall be considered timely filed if it is filed not
            later than 60 days after it otherwise would have been due.
                (2) Departure delays.--In the case of an alien who was
            lawfully present in the United States as a nonimmigrant on
            September 10, 2001, if the alien is unable timely to depart the
            United States as a direct result of a specified terrorist
            activity, the alien shall not be considered to have been
            unlawfully present in the United States during the period
            beginning on September 11, 2001, and ending on the date of the
            alien's departure, if such departure occurs on or before
            November 11, 2001.
                (3) Special rule for aliens unable to return from abroad.--
                        (A) Principal aliens.--In the case of an alien who
                    was in a lawful nonimmigrant status on September 10,
                    2001, but who was not present in the United States on
                    such date, if the alien was prevented from returning to
                    the United States in order to file a timely application
                    for an extension of nonimmigrant status as a direct
                    result of a specified terrorist activity--
                              (i) the alien's application shall be
                          considered timely filed if it is filed not later
                          than 60 days after it otherwise would have been
                          due; and
                              (ii) the alien's lawful nonimmigrant status
                          shall be considered to continue until the later
                          of--
                                        (I) the date such status otherwise
                                    would have terminated if this
                                    subparagraph had not been enacted; or
                                        (II) the date that is 60 days after
                                    the date on which the application
                                    described in clause (i) otherwise would
                                    have been due.
                        (B) Spouses and children.--In the case of an alien
                    who is the spouse or child of a principal alien
                    described in subparagraph (A), if the spouse or child
                    was in a lawful nonimmigrant status on September 10,
                    2001, the spouse or child may remain lawfully in the
                    United States in the same nonimmigrant status until the
                    later of--
                              (i) the date such lawful nonimmigrant status
                          otherwise would have terminated if this
                          subparagraph had not been enacted; or
                              (ii) the date that is 60 days after the date
                          on which the application described in subparagraph
                          (A) otherwise would have been due.
                (4) Circumstances preventing timely action.--

    [[Page 115 STAT. 359]]

                        (A) Filing delays.--For purposes of paragraph (1),
                    circumstances preventing an alien from timely acting
                    are--
                              (i) office closures;
                              (ii) mail or courier service cessations or
                          delays; and
                              (iii) other closures, cessations, or delays
                          affecting case processing or travel necessary to
                          satisfy legal requirements.
                        (B) Departure and return delays.--For purposes of
                    paragraphs (2) and (3), circumstances preventing an
                    alien from timely acting are--
                              (i) office closures;
                              (ii) airline flight cessations or delays; and
                              (iii) other closures, cessations, or delays
                          affecting case processing or travel necessary to
                          satisfy legal requirements.

        (c) Diversity Immigrants.--
                (1) Waiver of fiscal year limitation.--Notwithstanding
            section 203(e)(2) of the Immigration and Nationality Act (8
            U.S.C. 1153(e)(2)), an immigrant visa number issued to an alien
            under section 203(c) of such Act for fiscal year 2001 may be
            used by the alien during the period beginning on October 1,
            2001, and ending on April 1, 2002, if the alien establishes that
            the alien was prevented from using it during fiscal year 2001 as
            a direct result of a specified terrorist activity.
                (2) Worldwide level.--In the case of an alien entering the
            United States as a lawful permanent resident, or adjusting to
            that status, under paragraph (1) or (3), the alien shall be
            counted as a diversity immigrant for fiscal year 2001 for
            purposes of section 201(e) of the Immigration and Nationality
            Act (8 U.S.C. 1151(e)), unless the worldwide level under such
            section for such year has been exceeded, in which case the alien
            shall be counted as a diversity immigrant for fiscal year 2002.
                (3) Treatment of family members of certain aliens.--In the
            case of a principal alien issued an immigrant visa number under
            section 203(c) of the Immigration and Nationality Act (8 U.S.C.
            1153(c)) for fiscal year 2001, if such principal alien died as a
            direct result of a specified terrorist activity, the aliens who
            were, on September 10, 2001, the spouse and children of such
            principal alien shall, until June 30, 2002, if not otherwise
            entitled to an immigrant status and the immediate issuance of a
            visa under subsection (a), (b), or (c) of section 203 of such
            Act, be entitled to the same status, and the same order of
            consideration, that would have been provided to such alien
            spouse or child under section 203(d) of such Act as if the
            principal alien were not deceased and as if the spouse or
            child's visa application had been adjudicated by September 30,
            2001.
                (4) Circumstances preventing timely action.--For purposes of
            paragraph (1), circumstances preventing an alien from using an
            immigrant visa number during fiscal year 2001 are--
                        (A) office closures;
                        (B) mail or courier service cessations or delays;
                        (C) airline flight cessations or delays; and
                        (D) other closures, cessations, or delays affecting
                    case processing or travel necessary to satisfy legal
                    requirements.

    [[Page 115 STAT. 360]]

        (d) Extension of Expiration of Immigrant Visas.--
                (1) In general.--Notwithstanding the limitations under
            section 221(c) of the Immigration and Nationality Act (8 U.S.C.
            1201(c)), in the case of any immigrant visa issued to an alien
            that expires or expired before December 31, 2001, if the alien
            was unable to effect entry into the United States as a direct
            result of a specified terrorist activity, then the period of
            validity of the visa is extended until December 31, 2001, unless
            a longer period of validity is otherwise provided under this
            subtitle.
                (2) Circumstances preventing entry.--For purposes of this
            subsection, circumstances preventing an alien from effecting
            entry into the United States are--
                        (A) office closures;
                        (B) airline flight cessations or delays; and
                        (C) other closures, cessations, or delays affecting
                    case processing or travel necessary to satisfy legal
                    requirements.

        (e) Grants of Parole Extended.--
                (1) In general.--In the case of any parole granted by the
            Attorney General under section 212(d)(5) of the Immigration and
            Nationality Act (8 U.S.C. 1182(d)(5)) that expires on a date on
            or after September 11, 2001, if the alien beneficiary of the
            parole was unable to return to the United States prior to the
            expiration date as a direct result of a specified terrorist
            activity, the parole is deemed extended for an additional 90
            days.
                (2) Circumstances preventing return.--For purposes of this
            subsection, circumstances preventing an alien from timely
            returning to the United States are--
                        (A) office closures;
                        (B) airline flight cessations or delays; and
                        (C) other closures, cessations, or delays affecting
                    case processing or travel necessary to satisfy legal
                    requirements.

        (f) Voluntary Departure.--Notwithstanding section 240B of the
    Immigration and Nationality Act (8 U.S.C. 1229c), if a period for
    voluntary departure under such section expired during the period
    beginning on September 11, 2001, and ending on October 11, 2001, such
    voluntary departure period is deemed extended for an additional 30 days.

    SEC. 423. HUMANITARIAN RELIEF FOR CERTAIN SURVIVING SPOUSES AND
                CHILDREN.

        (a) Treatment as Immediate Relatives.--
                (1) Spouses.--Notwithstanding the second sentence of section
            201(b)(2)(A)(i) of the Immigration and Nationality Act (8 U.S.C.
            1151(b)(2)(A)(i)), in the case of an alien who was the spouse of
            a citizen of the United States at the time of the citizen's
            death and was not legally separated from the citizen at the time
            of the citizen's death, if the citizen died as a direct result
            of a specified terrorist activity, the alien (and each child of
            the alien) shall be considered, for purposes of section 201(b)
            of such Act, to remain an immediate relative after the date of
            the citizen's death, but only if the alien files a petition
            under section 204(a)(1)(A)(ii) of such Act within 2 years after
            such date and only until the date the alien remarries. For
            purposes of such section 204(a)(1)(A)(ii), an alien granted
            relief under the preceding sentence shall be considered

    [[Page 115 STAT. 361]]

            an alien spouse described in the second sentence of section
            201(b)(2)(A)(i) of such Act.
                (2) Children.--
                        (A) In general.--In the case of an alien who was the
                    child of a citizen of the United States at the time of
                    the citizen's death, if the citizen died as a direct
                    result of a specified terrorist activity, the alien
                    shall be considered, for purposes of section 201(b) of
                    the Immigration and Nationality Act (8 U.S.C. 1151(b)),
                    to remain an immediate relative after the date of the
                    citizen's death (regardless of changes in age or marital
                    status thereafter), but only if the alien files a
                    petition under subparagraph (B) within 2 years after
                    such date.
                        (B) Petitions.--An alien described in subparagraph
                    (A) may file a petition with the Attorney General for
                    classification of the alien under section
                    201(b)(2)(A)(i) of the Immigration and Nationality Act
                    (8 U.S.C. 1151(b)(2)(A)(i)). For purposes of such Act,
                    such a petition shall be considered a petition filed
                    under section 204(a)(1)(A) of such Act (8 U.S.C.
                    1154(a)(1)(A)).

        (b) Spouses, Children, Unmarried Sons and Daughters of Lawful
    Permanent Resident Aliens.--
                (1) In general.--Any spouse, child, or unmarried son or
            daughter of an alien described in paragraph (3) who is included
            in a petition for classification as a family-sponsored immigrant
            under section 203(a)(2) of the Immigration and Nationality Act
            (8 U.S.C. 1153(a)(2)) that was filed by such alien before
            September 11, 2001, shall be considered (if the spouse, child,
            son, or daughter has not been admitted or approved for lawful
            permanent residence by such date) a valid petitioner for
            preference status under such section with the same priority date
            as that assigned prior to the death described in paragraph
            (3)(A). No new petition shall be required to be filed. Such
            spouse, child, son, or daughter may be eligible for deferred
            action and work authorization.
                (2) Self-petitions.--Any spouse, child, or unmarried son or
            daughter of an alien described in paragraph (3) who is not a
            beneficiary of a petition for classification as a family-
            sponsored immigrant under section 203(a)(2) of the Immigration
            and Nationality Act may file a petition for such classification
            with the Attorney General, if the spouse, child, son, or
            daughter was present in the United States on September 11, 2001.
            Such spouse, child, son, or daughter may be eligible for
            deferred action and work authorization.
                (3) Aliens described.--An alien is described in this
            paragraph if the alien--
                        (A) died as a direct result of a specified terrorist
                    activity; and
                        (B) on the day of such death, was lawfully admitted
                    for permanent residence in the United States.

        (c) Applications for Adjustment of Status by Surviving Spouses and
    Children of Employment-Based Immigrants.--
                (1) In general.--Any alien who was, on September 10, 2001,
            the spouse or child of an alien described in paragraph (2), and
            who applied for adjustment of status prior to the death
            described in paragraph (2)(A), may have such application
            adjudicated as if such death had not occurred.

    [[Page 115 STAT. 362]]

                (2) Aliens described.--An alien is described in this
            paragraph if the alien--
                        (A) died as a direct result of a specified terrorist
                    activity; and
                        (B) on the day before such death, was--
                              (i) an alien lawfully admitted for permanent
                          residence in the United States by reason of having
                          been allotted a visa under section 203(b) of the
                          Immigration and Nationality Act (8 U.S.C.
                          1153(b)); or
                              (ii) an applicant for adjustment of status to
                          that of an alien described in clause (i), and
                          admissible to the United States for permanent
                          residence.

        (d) Waiver of Public Charge Grounds.--In determining the
    admissibility of any alien accorded an immigration benefit under this
    section, the grounds for inadmissibility specified in section 212(a)(4)
    of the Immigration and Nationality Act (8 U.S.C. 1182(a)(4)) shall not
    apply.

    SEC. 424. ``AGE-OUT'' PROTECTION FOR CHILDREN.

        For purposes of the administration of the Immigration and
    Nationality Act (8 U.S.C. 1101 et seq.), in the case of an alien--
                (1) whose 21st birthday occurs in September 2001, and who is
            the beneficiary of a petition or application filed under such
            Act on or before September 11, 2001, the alien shall be
            considered to be a child for 90 days after the alien's 21st
            birthday for purposes of adjudicating such petition or
            application; and
                (2) whose 21st birthday occurs after September 2001, and who
            is the beneficiary of a petition or application filed under such
            Act on or before September 11, 2001, the alien shall be
            considered to be a child for 45 days after the alien's 21st
            birthday for purposes of adjudicating such petition or
            application.

    SEC. 425. TEMPORARY ADMINISTRATIVE RELIEF.

        The Attorney General, for humanitarian purposes or to ensure family
    unity, may provide temporary administrative relief to any alien who--
                (1) was lawfully present in the United States on September
            10, 2001;
                (2) was on such date the spouse, parent, or child of an
            individual who died or was disabled as a direct result of a
            specified terrorist activity; and
                (3) is not otherwise entitled to relief under any other
            provision of this subtitle.

    SEC. 426. EVIDENCE OF DEATH, DISABILITY, OR LOSS OF EMPLOYMENT.

        (a) In General.--The Attorney General shall establish appropriate
    standards for evidence demonstrating, for purposes of this subtitle,
    that any of the following occurred as a direct result of a specified
    terrorist activity:
                (1) Death.
                (2) Disability.
                (3) Loss of employment due to physical damage to, or
            destruction of, a business.

        (b) Waiver of Regulations.--The Attorney General shall carry out
    subsection (a) as expeditiously as possible. The Attorney General

    [[Page 115 STAT. 363]]

    is not required to promulgate regulations prior to implementing this
    subtitle.

    SEC. 427. NO BENEFITS TO TERRORISTS OR FAMILY MEMBERS OF TERRORISTS.

        Notwithstanding any other provision of this subtitle, nothing in
    this subtitle shall be construed to provide any benefit or relief to--
                (1) any individual culpable for a specified terrorist
            activity; or
                (2) any family member of any individual described in
            paragraph (1).

    SEC. 428. DEFINITIONS.

        (a) Application of Immigration and Nationality Act Provisions.--
    Except as otherwise specifically provided in this subtitle, the
    definitions used in the Immigration and Nationality Act (excluding the
    definitions applicable exclusively to title III of such Act) shall apply
    in the administration of this subtitle.
        (b) Specified Terrorist Activity.--For purposes of this subtitle,
    the term ``specified terrorist activity'' means any terrorist activity
    conducted against the Government or the people of the United States on
    September 11, 2001.

             TITLE V--REMOVING OBSTACLES TO INVESTIGATING TERRORISM

    SEC. 501. <<NOTE: 18 USC 3071 note.>> ATTORNEY GENERAL'S AUTHORITY TO
                PAY REWARDS TO COMBAT TERRORISM.

        (a) Payment of Rewards To Combat Terrorism.--Funds available to the
    Attorney General may be used for the payment of rewards pursuant to
    public advertisements for assistance to the Department of Justice to
    combat terrorism and defend the Nation against terrorist acts, in
    accordance with procedures and regulations established or issued by the
    Attorney General.
        (b) Conditions.--In making rewards under this section--
                (1) no such reward of $250,000 or more may be made or
            offered without the personal approval of either the Attorney
            General or the President;
                (2) <<NOTE: Notice. Deadline.>> the Attorney General shall
            give written notice to the Chairmen and ranking minority members
            of the Committees on Appropriations and the Judiciary of the
            Senate and of the House of Representatives not later than 30
            days after the approval of a reward under paragraph (1);
                (3) any executive agency or military department (as defined,
            respectively, in sections 105 and 102 of title 5, United States
            Code) may provide the Attorney General with funds for the
            payment of rewards;
                (4) neither the failure of the Attorney General to authorize
            a payment nor the amount authorized shall be subject to judicial
            review; and
                (5) no such reward shall be subject to any per- or aggregate
            reward spending limitation established by law, unless that law
            expressly refers to this section, and no reward paid pursuant to
            any such offer shall count toward any such aggregate reward
            spending limitation.

    [[Page 115 STAT. 364]]

    SEC. 502. SECRETARY OF STATE'S AUTHORITY TO PAY REWARDS.

        Section 36 of the State Department Basic Authorities Act of 1956
    (Public Law 885, August 1, 1956; 22 U.S.C. 2708) is amended--
                (1) in subsection (b)--
                        (A) in paragraph (4), by striking ``or'' at the end;
                        (B) in paragraph (5), by striking the period at the
                    end and inserting ``, including by dismantling an
                    organization in whole or significant part; or''; and
                        (C) by adding at the end the following:
                ``(6) the identification or location of an individual who
            holds a key leadership position in a terrorist organization.'';
                (2) in subsection (d), by striking paragraphs (2) and (3)
            and redesignating paragraph (4) as paragraph (2); and
                (3) in subsection (e)(1), by inserting ``, except as
            personally authorized by the Secretary of State if he determines
            that offer or payment of an award of a larger amount is
            necessary to combat terrorism or defend the Nation against
            terrorist acts.'' after ``$5,000,000''.

    SEC. 503. DNA IDENTIFICATION OF TERRORISTS AND OTHER VIOLENT OFFENDERS.

        Section 3(d)(2) of the DNA Analysis Backlog Elimination Act of 2000
    (42 U.S.C. 14135a(d)(2)) is amended to read as follows:
                ``(2) In addition to the offenses described in paragraph
            (1), the following offenses shall be treated for purposes of
            this section as qualifying Federal offenses, as determined by
            the Attorney General:
                        ``(A) Any offense listed in section 2332b(g)(5)(B)
                    of title 18, United States Code.
                        ``(B) Any crime of violence (as defined in section
                    16 of title 18, United States Code).
                        ``(C) Any attempt or conspiracy to commit any of the
                    above offenses.''.

    SEC. 504. COORDINATION WITH LAW ENFORCEMENT.

        (a) Information Acquired From an Electronic Surveillance.--Section
    106 of the Foreign Intelligence Surveillance Act of 1978 (50 U.S.C.
    1806), is amended by adding at the end the following:
        ``(k)(1) Federal officers who conduct electronic surveillance to
    acquire foreign intelligence information under this title may consult
    with Federal law enforcement officers to coordinate efforts to
    investigate or protect against--
                ``(A) actual or potential attack or other grave hostile acts
            of a foreign power or an agent of a foreign power;
                ``(B) sabotage or international terrorism by a foreign power
            or an agent of a foreign power; or
                ``(C) clandestine intelligence activities by an intelligence
            service or network of a foreign power or by an agent of a
            foreign power.

        ``(2) Coordination authorized under paragraph (1) shall not preclude
    the certification required by section 104(a)(7)(B) or the entry of an
    order under section 105.''.
        (b) Information Acquired From a Physical Search.--Section 305 of the
    Foreign Intelligence Surveillance Act of 1978 (50 U.S.C. 1825) is
    amended by adding at the end the following:

    [[Page 115 STAT. 365]]

        ``(k)(1) Federal officers who conduct physical searches to acquire
    foreign intelligence information under this title may consult with
    Federal law enforcement officers to coordinate efforts to investigate or
    protect against--
                ``(A) actual or potential attack or other grave hostile acts
            of a foreign power or an agent of a foreign power;
                ``(B) sabotage or international terrorism by a foreign power
            or an agent of a foreign power; or
                ``(C) clandestine intelligence activities by an intelligence
            service or network of a foreign power or by an agent of a
            foreign power.

        ``(2) Coordination authorized under paragraph (1) shall not preclude
    the certification required by section 303(a)(7) or the entry of an order
    under section 304.''.

    SEC. 505. MISCELLANEOUS NATIONAL SECURITY AUTHORITIES.

        (a) Telephone Toll and Transactional Records.--Section 2709(b) of
    title 18, United States Code, is amended--
                (1) in the matter preceding paragraph (1), by inserting ``at
            Bureau headquarters or a Special Agent in Charge in a Bureau
            field office designated by the Director'' after ``Assistant
            Director'';
                (2) in paragraph (1)--
                        (A) by striking ``in a position not lower than
                    Deputy Assistant Director''; and
                        (B) by striking ``made that'' and all that follows
                    and inserting the following: ``made that the name,
                    address, length of service, and toll billing records
                    sought are relevant to an authorized investigation to
                    protect against international terrorism or clandestine
                    intelligence activities, provided that such an
                    investigation of a United States person is not conducted
                    solely on the basis of activities protected by the first
                    amendment to the Constitution of the United States;
                    and''; and
                (3) in paragraph (2)--
                        (A) by striking ``in a position not lower than
                    Deputy Assistant Director''; and
                        (B) by striking ``made that'' and all that follows
                    and inserting the following: ``made that the information
                    sought is relevant to an authorized investigation to
                    protect against international terrorism or clandestine
                    intelligence activities, provided that such an
                    investigation of a United States person is not conducted
                    solely upon the basis of activities protected by the
                    first amendment to the Constitution of the United
                    States.''.

        (b) Financial Records.--Section 1114(a)(5)(A) of the Right to
    Financial Privacy Act of 1978 (12 U.S.C. 3414(a)(5)(A)) is amended--
                (1) by inserting ``in a position not lower than Deputy
            Assistant Director at Bureau headquarters or a Special Agent in
            Charge in a Bureau field office designated by the Director''
            after ``designee''; and
                (2) by striking ``sought'' and all that follows and
            inserting ``sought for foreign counter intelligence purposes to
            protect against international terrorism or clandestine
            intelligence activities, provided that such an investigation of
            a United States

    [[Page 115 STAT. 366]]

            person is not conducted solely upon the basis of activities
            protected by the first amendment to the Constitution of the
            United States.''.

        (c) Consumer Reports.--Section 624 of the Fair Credit Reporting Act
    (15 U.S.C. 1681u) is amended--
                (1) in subsection (a)--
                        (A) by inserting ``in a position not lower than
                    Deputy Assistant Director at Bureau headquarters or a
                    Special Agent in Charge of a Bureau field office
                    designated by the Director'' after ``designee'' the
                    first place it appears; and
                        (B) by striking ``in writing that'' and all that
                    follows through the end and inserting the following:
                    ``in writing, that such information is sought for the
                    conduct of an authorized investigation to protect
                    against international terrorism or clandestine
                    intelligence activities, provided that such an
                    investigation of a United States person is not conducted
                    solely upon the basis of activities protected by the
                    first amendment to the Constitution of the United
                    States.'';
                (2) in subsection (b)--
                        (A) by inserting ``in a position not lower than
                    Deputy Assistant Director at Bureau headquarters or a
                    Special Agent in Charge of a Bureau field office
                    designated by the Director'' after ``designee'' the
                    first place it appears; and
                        (B) by striking ``in writing that'' and all that
                    follows through the end and inserting the following:
                    ``in writing that such information is sought for the
                    conduct of an authorized investigation to protect
                    against international terrorism or clandestine
                    intelligence activities, provided that such an
                    investigation of a United States person is not conducted
                    solely upon the basis of activities protected by the
                    first amendment to the Constitution of the United
                    States.''; and
                (3) in subsection (c)--
                        (A) by inserting ``in a position not lower than
                    Deputy Assistant Director at Bureau headquarters or a
                    Special Agent in Charge in a Bureau field office
                    designated by the Director'' after ``designee of the
                    Director''; and
                        (B) by striking ``in camera that'' and all that
                    follows through ``States.'' and inserting the following:
                    ``in camera that the consumer report is sought for the
                    conduct of an authorized investigation to protect
                    against international terrorism or clandestine
                    intelligence activities, provided that such an
                    investigation of a United States person is not conducted
                    solely upon the basis of activities protected by the
                    first amendment to the Constitution of the United
                    States.''.

    SEC. 506. EXTENSION OF SECRET SERVICE JURISDICTION.

        (a) Concurrent Jurisdiction Under 18 U.S.C. 1030.--Section 1030(d)
    of title 18, United States Code, is amended to read as follows:
        ``(d)(1) The United States Secret Service shall, in addition to any
    other agency having such authority, have the authority to investigate
    offenses under this section.

    [[Page 115 STAT. 367]]

        ``(2) The Federal Bureau of Investigation shall have primary
    authority to investigate offenses under subsection (a)(1) for any cases
    involving espionage, foreign counterintelligence, information protected
    against unauthorized disclosure for reasons of national defense or
    foreign relations, or Restricted Data (as that term is defined in
    section 11y of the Atomic Energy Act of 1954 (42 U.S.C. 2014(y)), except
    for offenses affecting the duties of the United States Secret Service
    pursuant to section 3056(a) of this title.
        ``(3) Such authority shall be exercised in accordance with an
    agreement which shall be entered into by the Secretary of the Treasury
    and the Attorney General.''.
        (b) Reauthorization of Jurisdiction under 18 U.S.C. 1344.--Section
    3056(b)(3) of title 18, United States Code, is amended by striking
    ``credit and debit card frauds, and false identification documents or
    devices'' and inserting ``access device frauds, false identification
    documents or devices, and any fraud or other criminal or unlawful
    activity in or against any federally insured financial institution''.

    SEC. 507. DISCLOSURE OF EDUCATIONAL RECORDS.

        Section 444 of the General Education Provisions Act (20 U.S.C.
    1232g), is amended by adding after subsection (i) a new subsection (j)
    to read as follows:
        ``(j) Investigation and Prosecution of Terrorism.--
                ``(1) In general.--Notwithstanding subsections (a) through
            (i) or any provision of State law, the Attorney General (or any
            Federal officer or employee, in a position not lower than an
            Assistant Attorney General, designated by the Attorney General)
            may submit a written application to a court of competent
            jurisdiction for an ex parte order requiring an educational
            agency or institution to permit the Attorney General (or his
            designee) to--
                        ``(A) collect education records in the possession of
                    the educational agency or institution that are relevant
                    to an authorized investigation or prosecution of an
                    offense listed in section 2332b(g)(5)(B) of title 18
                    United States Code, or an act of domestic or
                    international terrorism as defined in section 2331 of
                    that title; and
                        ``(B) for official purposes related to the
                    investigation or prosecution of an offense described in
                    paragraph (1)(A), retain, disseminate, and use
                    (including as evidence at trial or in other
                    administrative or judicial proceedings) such records,
                    consistent with such guidelines as the Attorney General,
                    after consultation with the Secretary, shall issue to
                    protect confidentiality.
                ``(2) Application and approval.--
                        ``(A) In general.--An application under paragraph
                    (1) shall certify that there are specific and
                    articulable facts giving reason to believe that the
                    education records are likely to contain information
                    described in paragraph (1)(A).
                        ``(B) <<NOTE: Courts.>> The court shall issue an
                    order described in paragraph (1) if the court finds that
                    the application for the order includes the certification
                    described in subparagraph (A).
                ``(3) Protection of educational agency or institution.--An
            educational agency or institution that, in good faith, produces
            education records in accordance with an order issued

    [[Page 115 STAT. 368]]

            under this subsection shall not be liable to any person for that
            production.
                ``(4) Record-keeping.--Subsection (b)(4) does not apply to
            education records subject to a court order under this
            subsection.''.

    SEC. 508. DISCLOSURE OF INFORMATION FROM NCES SURVEYS.

        Section 408 of the National Education Statistics Act of 1994 (20
    U.S.C. 9007), is amended by adding after subsection (b) a new subsection
    (c) to read as follows:
        ``(c) Investigation and Prosecution of Terrorism.--
                ``(1) In General.--Notwithstanding subsections (a) and (b),
            the Attorney General (or any Federal officer or employee, in a
            position not lower than an Assistant Attorney General,
            designated by the Attorney General) may submit a written
            application to a court of competent jurisdiction for an ex parte
            order requiring the Secretary to permit the Attorney General (or
            his designee) to--
                        ``(A) collect reports, records, and information
                    (including individually identifiable information) in the
                    possession of the center that are relevant to an
                    authorized investigation or prosecution of an offense
                    listed in section 2332b(g)(5)(B) of title 18, United
                    States Code, or an act of domestic or international
                    terrorism as defined in section 2331 of that title; and
                        ``(B) for official purposes related to the
                    investigation or prosecution of an offense described in
                    paragraph (1)(A), retain, disseminate, and use
                    (including as evidence at trial or in other
                    administrative or judicial proceedings) such
                    information, consistent with such guidelines as the
                    Attorney General, after consultation with the Secretary,
                    shall issue to protect confidentiality.
                ``(2) Application and approval.--
                        ``(A) In <<NOTE: Certification.>> general.--An
                    application under paragraph (1) shall certify that there
                    are specific and articulable facts giving reason to
                    believe that the information sought is described in
                    paragraph (1)(A).
                        ``(B) <<NOTE: Courts.>> The court shall issue an
                    order described in paragraph (1) if the court finds that
                    the application for the order includes the certification
                    described in subparagraph (A).
                        ``(3) Protection.--An officer or employee of the
                    Department who, in good faith, produces information in
                    accordance with an order issued under this subsection
                    does not violate subsection (b)(2) and shall not be
                    liable to any person for that production.''.

    [[Page 115 STAT. 369]]

     TITLE VI--PROVIDING FOR VICTIMS OF TERRORISM, PUBLIC SAFETY OFFICERS,
                               AND THEIR FAMILIES

              Subtitle A--Aid to Families of Public Safety Officers

    SEC. 611. <<NOTE: 42 USC 3796c-1.>> EXPEDITED PAYMENT FOR PUBLIC SAFETY
                OFFICERS INVOLVED IN THE PREVENTION, INVESTIGATION, RESCUE,
                OR RECOVERY EFFORTS RELATED TO A TERRORIST ATTACK.

        (a) In General.--Notwithstanding the limitations of subsection (b)
    of section 1201 or the provisions of subsections (c), (d), and (e) of
    such section or section 1202 of title I of the Omnibus Crime Control and
    Safe Streets Act of 1968 (42 U.S.C. 3796, 3796a), upon certification
    (containing identification of all eligible payees of benefits pursuant
    to section 1201 of such Act) by a public agency that a public safety
    officer employed by such agency was killed or suffered a catastrophic
    injury producing permanent and total disability as a direct and
    proximate result of a personal injury sustained in the line of duty as
    described in section 1201 of such Act in connection with prevention,
    investigation, rescue, or recovery efforts related to a terrorist
    attack, the Director of the Bureau of Justice Assistance shall authorize
    payment to qualified beneficiaries, said payment to be made not later
    than 30 days after receipt of such certification, benefits described
    under subpart 1 of part L of such Act (42 U.S.C. 3796 et seq.).
        (b) Definitions.--For purposes of this section, the terms
    ``catastrophic injury'', ``public agency'', and ``public safety
    officer'' have the same meanings given such terms in section 1204 of
    title I of the Omnibus Crime Control and Safe Streets Act of 1968 (42
    U.S.C. 3796b).

    SEC. 612. TECHNICAL CORRECTION WITH RESPECT TO EXPEDITED PAYMENTS FOR
                HEROIC PUBLIC SAFETY OFFICERS.

        Section 1 of Public Law 107-37 (an Act to provide for the expedited
    payment of certain benefits for a public safety officer who was killed
    or suffered a catastrophic injury as a direct and proximate result of a
    personal injury sustained in the line of duty in
    connection <<NOTE: Ante, p. 219.>> with the terrorist attacks of
    September 11, 2001) is amended by--
                (1) inserting before ``by a'' the following: ``(containing
            identification of all eligible payees of benefits pursuant to
            section 1201)'';
                (2) inserting ``producing permanent and total disability''
            after ``suffered a catastrophic injury''; and
                (3) striking ``1201(a)'' and inserting ``1201''.

    SEC. 613. PUBLIC SAFETY OFFICERS BENEFIT PROGRAM PAYMENT INCREASE.

        (a) Payments.--Section 1201(a) of the Omnibus Crime Control and Safe
    Streets Act of 1968 (42 U.S.C. 3796) is amended by striking ``$100,000''
    and inserting ``$250,000''.

    [[Page 115 STAT. 370]]

        (b) Applicability.--The <<NOTE: 42 USC 3796 note.>> amendment made
    by subsection (a) shall apply to any death or disability occurring on or
    after January 1, 2001.

    SEC. 614. OFFICE OF JUSTICE PROGRAMS.

        Section 112 of title I of section 101(b) of division A of Public Law
    105-277 <<NOTE: 42 USC 3751 note.>> and section 108(a) of appendix A of
    Public Law 106-113 (113 Stat. 1501A-20) are amended--
                (1) after ``that Office'', each place it occurs, by
            inserting ``(including, notwithstanding any contrary provision
            of law (unless the same should expressly refer to this section),
            any organization that administers any program established in
            title 1 of Public Law 90-351)''; and
                (2) by inserting ``functions, including any'' after ``all''.

           Subtitle B--Amendments to the Victims of Crime Act of 1984

    SEC. 621. CRIME VICTIMS FUND.

        (a) Deposit of Gifts in the Fund.--Section 1402(b) of the Victims of
    Crime Act of 1984 (42 U.S.C. 10601(b)) is amended--
                (1) in paragraph (3), by striking ``and'' at the end;
                (2) in paragraph (4), by striking the period at the end and
            inserting ``; and''; and
                (3) by adding at the end the following:
                ``(5) any gifts, bequests, or donations to the Fund from
            private entities or individuals.''.

        (b) Formula for Fund Distributions.--Section 1402(c) of the Victims
    of Crime Act of 1984 (42 U.S.C. 10601(c)) is amended to read as follows:
        ``(c) Fund Distribution; Retention of Sums in Fund; Availability for
    Expenditure Without Fiscal Year Limitation.--
                ``(1) Subject to the availability of money in the Fund, in
            each fiscal year, beginning with fiscal year 2003, the Director
            shall distribute not less than 90 percent nor more than 110
            percent of the amount distributed from the Fund in the previous
            fiscal year, except the Director may distribute up to 120
            percent of the amount distributed in the previous fiscal year in
            any fiscal year that the total amount available in the Fund is
            more than 2 times the amount distributed in the previous fiscal
            year.
                ``(2) In each fiscal year, the Director shall distribute
            amounts from the Fund in accordance with subsection (d). All
            sums not distributed during a fiscal year shall remain in
            reserve in the Fund to be distributed during a subsequent fiscal
            year. Notwithstanding any other provision of law, all sums
            deposited in the Fund that are not distributed shall remain in
            reserve in the Fund for obligation in future fiscal years,
            without fiscal year limitation.''.

        (c) Allocation of Funds for Costs and Grants.--Section 1402(d)(4) of
    the Victims of Crime Act of 1984 (42 U.S.C. 10601(d)(4)) is amended--
                (1) by striking ``deposited in'' and inserting ``to be
            distributed from'';
                (2) in subparagraph (A), by striking ``48.5'' and inserting
            ``47.5'';

    [[Page 115 STAT. 371]]

                (3) in subparagraph (B), by striking ``48.5'' and inserting
            ``47.5''; and
                (4) in subparagraph (C), by striking ``3'' and inserting
            ``5''.

        (d) Antiterrorism Emergency Reserve.--Section 1402(d)(5) of the
    Victims of Crime Act of 1984 (42 U.S.C. 10601(d)(5)) is amended to read
    as follows:
                ``(5)(A) In addition to the amounts distributed under
            paragraphs (2), (3), and (4), the Director may set aside up to
            $50,000,000 from the amounts transferred to the Fund in response
            to the airplane hijackings and terrorist acts that occurred on
            September 11, 2001, as an antiterrorism emergency reserve. The
            Director may replenish any amounts expended from such reserve in
            subsequent fiscal years by setting aside up to 5 percent of the
            amounts remaining in the Fund in any fiscal year after
            distributing amounts under paragraphs (2), (3) and (4). Such
            reserve shall not exceed $50,000,000.
                ``(B) The antiterrorism emergency reserve referred to in
            subparagraph (A) may be used for supplemental grants under
            section 1404B and to provide compensation to victims of
            international terrorism under section 1404C.
                ``(C) Amounts in the antiterrorism emergency reserve
            established pursuant to subparagraph (A) may be carried over
            from fiscal year to fiscal year. Notwithstanding subsection (c)
            and section 619 of the Departments of Commerce, Justice, and
            State, the Judiciary, and Related Agencies Appropriations Act,
            2001 (and any similar limitation on Fund obligations in any
            future Act, unless the same should expressly refer to this
            section), any such amounts carried over shall not be subject to
            any limitation on obligations from amounts deposited to or
            available in the Fund.''.

        (e) Victims <<NOTE: 42 USC 10601 note.>> of September 11, 2001.--
    Amounts transferred to the Crime Victims Fund for use in responding to
    the airplane hijackings and terrorist acts (including any related
    search, rescue, relief, assistance, or other similar activities) that
    occurred on September 11, 2001, shall not be subject to any limitation
    on obligations from amounts deposited to or available in the Fund,
    notwithstanding--
                (1) section 619 of the Departments of Commerce, Justice, and
            State, the Judiciary, and Related Agencies Appropriations Act,
            2001, and any similar limitation on Fund obligations in such Act
            for Fiscal Year 2002; and
                (2) subsections (c) and (d) of section 1402 of the Victims
            of Crime Act of 1984 (42 U.S.C. 10601).

    SEC. 622. CRIME VICTIM COMPENSATION.

        (a) Allocation of Funds for Compensation and Assistance.--Paragraphs
    (1) and (2) of section 1403(a) of the Victims of Crime Act of 1984 (42
    U.S.C. 10602(a)) are amended by inserting ``in fiscal year 2002 and of
    60 percent in subsequent fiscal years'' after ``40 percent''.
        (b) Location of Compensable Crime.--Section 1403(b)(6)(B) of the
    Victims of Crime Act of 1984 (42 U.S.C. 10602(b)(6)(B)) is amended by
    striking ``are outside the United States (if the compensable crime is
    terrorism, as defined in section 2331 of title 18), or''.
        (c) Relationship of Crime Victim Compensation to Means-Tested
    Federal Benefit Programs.--Section 1403 of the Victims

    [[Page 115 STAT. 372]]

    of Crime Act of 1984 (42 U.S.C. 10602) is amended by striking subsection
    (c) and inserting the following:
        ``(c) Exclusion From Income, Resources, and Assets for Purposes of
    Means Tests.--Notwithstanding any other law (other than title IV of
    Public Law 107-42), for the purpose of any maximum allowed income,
    resource, or asset eligibility requirement in any Federal, State, or
    local government program using Federal funds that provides medical or
    other assistance (or payment or reimbursement of the cost of such
    assistance), any amount of crime victim compensation that the applicant
    receives through a crime victim compensation program under this section
    shall not be included in the income, resources, or assets of the
    applicant, nor shall that amount reduce the amount of the assistance
    available to the applicant from Federal, State, or local government
    programs using Federal funds, unless the total amount of assistance that
    the applicant receives from all such programs is sufficient to fully
    compensate the applicant for losses suffered as a result of the
    crime.''.
        (d) Definitions of ``Compensable Crime'' and ``State''.--Section
    1403(d) of the Victims of Crime Act of 1984 (42 U.S.C. 10602(d)) is
    amended--
                (1) in paragraph (3), by striking ``crimes involving
            terrorism,''; and
                (2) in paragraph (4), by inserting ``the United States
            Virgin Islands,'' after ``the Commonwealth of Puerto Rico,''.

        (e) Relationship of Eligible Crime Victim Compensation Programs to
    the September 11th Victim Compensation Fund.--
                (1) In general.--Section 1403(e) of the Victims of Crime Act
            of 1984 (42 U.S.C. 10602(e)) is amended by inserting ``including
            the program established under title IV of Public Law 107-42,''
            after ``Federal program,''.
                (2) Compensation.--With <<NOTE: 49 USC 40101 note.>> respect
            to any compensation payable under title IV of Public Law 107-42,
            the failure of a crime victim compensation program, after the
            effective date of final regulations issued pursuant to section
            407 of Public Law 107-42, to provide compensation otherwise
            required pursuant to section 1403 of the Victims of Crime Act of
            1984 (42 U.S.C. 10602) shall not render that program ineligible
            for future grants under the Victims of Crime Act of 1984.

    SEC. 623. CRIME VICTIM ASSISTANCE.

        (a) Assistance for Victims in the District of Columbia, Puerto Rico,
    and Other Territories and Possessions.--Section 1404(a) of the Victims
    of Crime Act of 1984 (42 U.S.C. 10603(a)) is amended by adding at the
    end the following:
                ``(6) An agency of the Federal Government performing local
            law enforcement functions in and on behalf of the District of
            Columbia, the Commonwealth of Puerto Rico, the United States
            Virgin Islands, or any other territory or possession of the
            United States may qualify as an eligible crime victim assistance
            program for the purpose of grants under this subsection, or for
            the purpose of grants under subsection (c)(1).''.

        (b) Prohibition on Discrimination Against Certain Victims.--Section
    1404(b)(1) of the Victims of Crime Act of 1984 (42 U.S.C. 10603(b)(1))
    is amended--
                (1) in subparagraph (D), by striking ``and'' at the end;

    [[Page 115 STAT. 373]]

                (2) in subparagraph (E), by striking the period at the end
            and inserting ``; and''; and
                (3) by adding at the end the following:
                        ``(F) does not discriminate against victims because
                    they disagree with the way the State is prosecuting the
                    criminal case.''.

        (c) Grants for Program Evaluation and Compliance Efforts.--Section
    1404(c)(1)(A) of the Victims of Crime Act of 1984 (42 U.S.C.
    10603(c)(1)(A)) is amended by inserting ``, program evaluation,
    compliance efforts,'' after ``demonstration projects''.
        (d) Allocation of Discretionary Grants.--Section 1404(c)(2) of the
    Victims of Crime Act of 1984 (42 U.S.C. 10603(c)(2)) is amended--
                (1) in subparagraph (A), by striking ``not more than'' and
            inserting ``not less than''; and
                (2) in subparagraph (B), by striking ``not less than'' and
            inserting ``not more than''.

        (e) Fellowships and Clinical Internships.--Section 1404(c)(3) of the
    Victims of Crime Act of 1984 (42 U.S.C. 10603(c)(3)) is amended--
                (1) in subparagraph (C), by striking ``and'' at the end;
                (2) in subparagraph (D), by striking the period at the end
            and inserting ``; and''; and
                (3) by adding at the end the following:
                        ``(E) use funds made available to the Director under
                    this subsection--
                              ``(i) for fellowships and clinical
                          internships; and
                              ``(ii) to carry out programs of training and
                          special workshops for the presentation and
                          dissemination of information resulting from
                          demonstrations, surveys, and special projects.''.

    SEC. 624. VICTIMS OF TERRORISM.

        (a) Compensation and Assistance to Victims of Domestic Terrorism.--
    Section 1404B(b) of the Victims of Crime Act of 1984 (42 U.S.C.
    10603b(b)) is amended to read as follows:
        ``(b) Victims of Terrorism Within the United States.--The Director
    may make supplemental grants as provided in section 1402(d)(5) to States
    for eligible crime victim compensation and assistance programs, and to
    victim service organizations, public agencies (including Federal, State,
    or local governments) and nongovernmental organizations that provide
    assistance to victims of crime, which shall be used to provide emergency
    relief, including crisis response efforts, assistance, compensation,
    training and technical assistance, and ongoing assistance, including
    during any investigation or prosecution, to victims of terrorist acts or
    mass violence occurring within the United States.''.
        (b) Assistance to Victims of International Terrorism.--Section
    1404B(a)(1) of the Victims of Crime Act of 1984 (42 U.S.C. 10603b(a)(1))
    is amended by striking ``who are not persons eligible for compensation
    under title VIII of the Omnibus Diplomatic Security and Antiterrorism
    Act of 1986''.
        (c) Compensation to Victims of International Terrorism.--Section
    1404C(b) of the Victims of Crime of 1984 (42 U.S.C. 10603c(b)) is
    amended by adding at the end the following: ``The amount of compensation
    awarded to a victim under this subsection

    [[Page 115 STAT. 374]]

    shall be reduced by any amount that the victim received in connection
    with the same act of international terrorism under title VIII of the
    Omnibus Diplomatic Security and Antiterrorism Act of 1986.''.

      TITLE VII--INCREASED INFORMATION SHARING FOR CRITICAL INFRASTRUCTURE
                                   PROTECTION

    SEC. 701. EXPANSION OF REGIONAL INFORMATION SHARING SYSTEM TO FACILITATE
                FEDERAL-STATE-LOCAL LAW ENFORCEMENT RESPONSE RELATED TO
                TERRORIST ATTACKS.

        Section 1301 of title I of the Omnibus Crime Control and Safe
    Streets Act of 1968 (42 U.S.C. 3796h) is amended--
                (1) in subsection (a), by inserting ``and terrorist
            conspiracies and activities'' after ``activities'';
                (2) in subsection (b)--
                        (A) in paragraph (3), by striking ``and'' after the
                    semicolon;
                        (B) by redesignating paragraph (4) as paragraph (5);
                    and
                        (C) by inserting after paragraph (3) the following:
                ``(4) establishing and operating secure information sharing
            systems to enhance the investigation and prosecution abilities
            of participating enforcement agencies in addressing multi-
            jurisdictional terrorist conspiracies and activities; and (5)'';
            and
                (3) by inserting at the end the following:

        ``(d) Authorization of Appropriation to the Bureau of Justice
    Assistance.--There are authorized to be appropriated to the Bureau of
    Justice Assistance to carry out this section $50,000,000 for fiscal year
    2002 and $100,000,000 for fiscal year 2003.''.

          TITLE VIII--STRENGTHENING THE CRIMINAL LAWS AGAINST TERRORISM

    SEC. 801. TERRORIST ATTACKS AND OTHER ACTS OF VIOLENCE AGAINST MASS
                TRANSPORTATION SYSTEMS.

        Chapter 97 of title 18, United States Code, is amended by adding at
    the end the following:

    ``Sec. 1993. Terrorist attacks and other acts of violence against mass
                            transportation systems

        ``(a) General Prohibitions.--Whoever willfully--
                ``(1) wrecks, derails, sets fire to, or disables a mass
            transportation vehicle or ferry;
                ``(2) places or causes to be placed any biological agent or
            toxin for use as a weapon, destructive substance, or destructive
            device in, upon, or near a mass transportation vehicle or ferry,
            without previously obtaining the permission of the mass
            transportation provider, and with intent to endanger the safety
            of any passenger or employee of the mass transportation
            provider, or with a reckless disregard for the safety of human
            life;
                ``(3) sets fire to, or places any biological agent or toxin
            for use as a weapon, destructive substance, or destructive
            device

    [[Page 115 STAT. 375]]

            in, upon, or near any garage, terminal, structure, supply, or
            facility used in the operation of, or in support of the
            operation of, a mass transportation vehicle or ferry, without
            previously obtaining the permission of the mass transportation
            provider, and knowing or having reason to know such activity
            would likely derail, disable, or wreck a mass transportation
            vehicle or ferry used, operated, or employed by the mass
            transportation provider;
                ``(4) removes appurtenances from, damages, or otherwise
            impairs the operation of a mass transportation signal system,
            including a train control system, centralized dispatching
            system, or rail grade crossing warning signal without
            authorization from the mass transportation provider;
                ``(5) interferes with, disables, or incapacitates any
            dispatcher, driver, captain, or person while they are employed
            in dispatching, operating, or maintaining a mass transportation
            vehicle or ferry, with intent to endanger the safety of any
            passenger or employee of the mass transportation provider, or
            with a reckless disregard for the safety of human life;
                ``(6) commits an act, including the use of a dangerous
            weapon, with the intent to cause death or serious bodily injury
            to an employee or passenger of a mass transportation provider or
            any other person while any of the foregoing are on the property
            of a mass transportation provider;
                ``(7) conveys or causes to be conveyed false information,
            knowing the information to be false, concerning an attempt or
            alleged attempt being made or to be made, to do any act which
            would be a crime prohibited by this subsection; or
                ``(8) attempts, threatens, or conspires to do any of the
            aforesaid acts,

    shall be fined under this title or imprisoned not more than twenty
    years, or both, if such act is committed, or in the case of a threat or
    conspiracy such act would be committed, on, against, or affecting a mass
    transportation provider engaged in or affecting interstate or foreign
    commerce, or if in the course of committing such act, that person
    travels or communicates across a State line in order to commit such act,
    or transports materials across a State line in aid of the commission of
    such act.
        ``(b) Aggravated Offense.--Whoever commits an offense under
    subsection (a) in a circumstance in which--
                ``(1) the mass transportation vehicle or ferry was carrying
            a passenger at the time of the offense; or
                ``(2) the offense has resulted in the death of any person,

    shall be guilty of an aggravated form of the offense and shall be fined
    under this title or imprisoned for a term of years or for life, or both.
        ``(c) Definitions.--In this section--
                ``(1) the term `biological agent' has the meaning given to
            that term in section 178(1) of this title;
                ``(2) the term `dangerous weapon' has the meaning given to
            that term in section 930 of this title;
                ``(3) the term `destructive device' has the meaning given to
            that term in section 921(a)(4) of this title;
                ``(4) the term `destructive substance' has the meaning given
            to that term in section 31 of this title;
                ``(5) the term `mass transportation' has the meaning given
            to that term in section 5302(a)(7) of title 49, United States

    [[Page 115 STAT. 376]]

            Code, except that the term shall include schoolbus, charter, and
            sightseeing transportation;
                ``(6) the term `serious bodily injury' has the meaning given
            to that term in section 1365 of this title;
                ``(7) the term `State' has the meaning given to that term in
            section 2266 of this title; and
                ``(8) the term `toxin' has the meaning given to that term in
            section 178(2) of this title.''.

        (f) Conforming Amendment.--The analysis of chapter 97 of title 18,
    United States Code, is amended by adding at the end:

    ``1993. Terrorist attacks and other acts of violence against mass
               transportation systems.''.

    SEC. 802. DEFINITION OF DOMESTIC TERRORISM.

        (a) Domestic Terrorism Defined.--Section 2331 of title 18, United
    States Code, is amended--
                (1) in paragraph (1)(B)(iii), by striking ``by assassination
            or kidnapping'' and inserting ``by mass destruction,
            assassination, or kidnapping'';
                (2) in paragraph (3), by striking ``and'';
                (3) in paragraph (4), by striking the period at the end and
            inserting ``; and''; and
                (4) by adding at the end the following:
                ``(5) the term `domestic terrorism' means activities that--
                        ``(A) involve acts dangerous to human life that are
                    a violation of the criminal laws of the United States or
                    of any State;
                        ``(B) appear to be intended--
                              ``(i) to intimidate or coerce a civilian
                          population;
                              ``(ii) to influence the policy of a government
                          by intimidation or coercion; or
                              ``(iii) to affect the conduct of a government
                          by mass destruction, assassination, or kidnapping;
                          and
                        ``(C) occur primarily within the territorial
                    jurisdiction of the United States.''.

        (b) Conforming Amendment.--Section 3077(1) of title 18, United
    States Code, is amended to read as follows:
                ``(1) `act of terrorism' means an act of domestic or
            international terrorism as defined in section 2331;''.

    SEC. 803. PROHIBITION AGAINST HARBORING TERRORISTS.

        (a) In General.--Chapter 113B of title 18, United States Code, is
    amended by adding after section 2338 the following new section:

    ``Sec. 2339. Harboring or concealing terrorists

        ``(a) Whoever harbors or conceals any person who he knows, or has
    reasonable grounds to believe, has committed, or is about to commit, an
    offense under section 32 (relating to destruction of aircraft or
    aircraft facilities), section 175 (relating to biological weapons),
    section 229 (relating to chemical weapons), section 831 (relating to
    nuclear materials), paragraph (2) or (3) of section 844(f) (relating to
    arson and bombing of government property risking or causing injury or
    death), section 1366(a) (relating to the destruction of an energy
    facility), section 2280 (relating to violence against maritime
    navigation), section 2332a (relating to weapons of mass destruction), or
    section 2332b (relating to acts of terrorism transcending national
    boundaries) of this title, section 236(a) (relating to sabotage of
    nuclear facilities or fuel) of the Atomic Energy Act

    [[Page 115 STAT. 377]]

    of 1954 (42 U.S.C. 2284(a)), or section 46502 (relating to aircraft
    piracy) of title 49, shall be fined under this title or imprisoned not
    more than ten years, or both.''.
        ``(b) A violation of this section may be prosecuted in any Federal
    judicial district in which the underlying offense was committed, or in
    any other Federal judicial district as provided by law.''.
        (b) Technical Amendment.--The chapter analysis for chapter 113B of
    title 18, United States Code, is amended by inserting after the item for
    section 2338 the following:

    ``2339. Harboring or concealing terrorists.''.

    SEC. 804. JURISDICTION OVER CRIMES COMMITTED AT U.S. FACILITIES ABROAD.

        Section 7 of title 18, United States Code, is amended by adding at
    the end the following:
                ``(9) With respect to offenses committed by or against a
            national of the United States as that term is used in section
            101 of the Immigration and Nationality Act--
                        ``(A) the premises of United States diplomatic,
                    consular, military or other United States Government
                    missions or entities in foreign States, including the
                    buildings, parts of buildings, and land appurtenant or
                    ancillary thereto or used for purposes of those missions
                    or entities, irrespective of ownership; and
                        ``(B) residences in foreign States and the land
                    appurtenant or ancillary thereto, irrespective of
                    ownership, used for purposes of those missions or
                    entities or used by United States personnel assigned to
                    those missions or entities.
            Nothing in this paragraph shall be deemed to supersede any
            treaty or international agreement with which this paragraph
            conflicts. This paragraph does not apply with respect to an
            offense committed by a person described in section 3261(a) of
            this title.''.

    SEC. 805. MATERIAL SUPPORT FOR TERRORISM.

        (a) In General.--Section 2339A of title 18, United States Code, is
    amended--
                (1) in subsection (a)--
                        (A) by striking ``, within the United States,'';
                        (B) by inserting ``229,'' after ``175,'';
                        (C) by inserting ``1993,'' after ``1992,'';
                        (D) by inserting ``, section 236 of the Atomic
                    Energy Act of 1954 (42 U.S.C. 2284),'' after ``of this
                    title'';
                        (E) by inserting ``or 60123(b)'' after ``46502'';
                    and
                        (F) by inserting at the end the following: ``A
                    violation of this section may be prosecuted in any
                    Federal judicial district in which the underlying
                    offense was committed, or in any other Federal judicial
                    district as provided by law.''; and
                (2) in subsection (b)--
                        (A) by striking ``or other financial securities''
                    and inserting ``or monetary instruments or financial
                    securities''; and
                        (B) by inserting ``expert advice or assistance,''
                    after ``training,''.

    [[Page 115 STAT. 378]]

        (b) Technical Amendment.--Section 1956(c)(7)(D) of title 18, United
    States Code, is amended by inserting ``or 2339B'' after ``2339A''.

    SEC. 806. ASSETS OF TERRORIST ORGANIZATIONS.

        Section 981(a)(1) of title 18, United States Code, is amended by
    inserting at the end the following:
                ``(G) All assets, foreign or domestic--
                        ``(i) of any individual, entity, or organization
                    engaged in planning or perpetrating any act of domestic
                    or international terrorism (as defined in section 2331)
                    against the United States, citizens or residents of the
                    United States, or their property, and all assets,
                    foreign or domestic, affording any person a source of
                    influence over any such entity or organization;
                        ``(ii) acquired or maintained by any person with the
                    intent and for the purpose of supporting, planning,
                    conducting, or concealing an act of domestic or
                    international terrorism (as defined in section 2331)
                    against the United States, citizens or residents of the
                    United States, or their property; or
                        ``(iii) derived from, involved in, or used or
                    intended to be used to commit any act of domestic or
                    international terrorism (as defined in section 2331)
                    against the United States, citizens or residents of the
                    United States, or their property.''.

    SEC. 807. <<NOTE: 22 USC 7211.>> TECHNICAL CLARIFICATION RELATING TO
                PROVISION OF MATERIAL SUPPORT TO TERRORISM.

        No provision of the Trade Sanctions Reform and Export Enhancement
    Act of 2000 (title IX of Public Law 106-387) shall be construed to limit
    or otherwise affect section 2339A or 2339B of title 18, United States
    Code.

    SEC. 808. DEFINITION OF FEDERAL CRIME OF TERRORISM.

        Section 2332b of title 18, United States Code, is amended--
                (1) in subsection (f), by inserting ``and any violation of
            section 351(e), 844(e), 844(f)(1), 956(b), 1361, 1366(b),
            1366(c), 1751(e), 2152, or 2156 of this title,'' before ``and
            the Secretary''; and
                (2) in subsection (g)(5)(B), by striking clauses (i) through
            (iii) and inserting the following:
                              ``(i) section 32 (relating to destruction of
                          aircraft or aircraft facilities), 37 (relating to
                          violence at international airports), 81 (relating
                          to arson within special maritime and territorial
                          jurisdiction), 175 or 175b (relating to biological
                          weapons), 229 (relating to chemical weapons),
                          subsection (a), (b), (c), or (d) of section 351
                          (relating to congressional, cabinet, and Supreme
                          Court assassination and kidnaping), 831 (relating
                          to nuclear materials), 842(m) or (n) (relating to
                          plastic explosives), 844(f)(2) or (3) (relating to
                          arson and bombing of Government property risking
                          or causing death), 844(i) (relating to arson and
                          bombing of property used in interstate commerce),
                          930(c) (relating to killing or attempted killing
                          during an attack on a Federal facility with a
                          dangerous weapon), 956(a)(1) (relating to
                          conspiracy to murder, kidnap, or maim

    [[Page 115 STAT. 379]]

                          persons abroad), 1030(a)(1) (relating to
                          protection of computers), 1030(a)(5)(A)(i)
                          resulting in damage as defined in
                          1030(a)(5)(B)(ii) through (v) (relating to
                          protection of computers), 1114 (relating to
                          killing or attempted killing of officers and
                          employees of the United States), 1116 (relating to
                          murder or manslaughter of foreign officials,
                          official guests, or internationally protected
                          persons), 1203 (relating to hostage taking), 1362
                          (relating to destruction of communication lines,
                          stations, or systems), 1363 (relating to injury to
                          buildings or property within special maritime and
                          territorial jurisdiction of the United States),
                          1366(a) (relating to destruction of an energy
                          facility), 1751(a), (b), (c), or (d) (relating to
                          Presidential and Presidential staff assassination
                          and kidnaping), 1992 (relating to wrecking
                          trains), 1993 (relating to terrorist attacks and
                          other acts of violence against mass transportation
                          systems), 2155 (relating to destruction of
                          national defense materials, premises, or
                          utilities), 2280 (relating to violence against
                          maritime navigation), 2281 (relating to violence
                          against maritime fixed platforms), 2332 (relating
                          to certain homicides and other violence against
                          United States nationals occurring outside of the
                          United States), 2332a (relating to use of weapons
                          of mass destruction), 2332b (relating to acts of
                          terrorism transcending national boundaries), 2339
                          (relating to harboring terrorists), 2339A
                          (relating to providing material support to
                          terrorists), 2339B (relating to providing material
                          support to terrorist organizations), or 2340A
                          (relating to torture) of this title;
                              ``(ii) section 236 (relating to sabotage of
                          nuclear facilities or fuel) of the Atomic Energy
                          Act of 1954 (42 U.S.C. 2284); or
                              ``(iii) section 46502 (relating to aircraft
                          piracy), the second sentence of section 46504
                          (relating to assault on a flight crew with a
                          dangerous weapon), section 46505(b)(3) or (c)
                          (relating to explosive or incendiary devices, or
                          endangerment of human life by means of weapons, on
                          aircraft), section 46506 if homicide or attempted
                          homicide is involved (relating to application of
                          certain criminal laws to acts on aircraft), or
                          section 60123(b) (relating to destruction of
                          interstate gas or hazardous liquid pipeline
                          facility) of title 49.''.

    SEC. 809. NO STATUTE OF LIMITATION FOR CERTAIN TERRORISM OFFENSES.

        (a) In General.--Section 3286 of title 18, United States Code, is
    amended to read as follows:

    ``Sec. 3286. Extension of statute of limitation for certain terrorism
                            offenses

        ``(a) Eight-Year Limitation.--Notwithstanding section 3282, no
    person shall be prosecuted, tried, or punished for any noncapital
    offense involving a violation of any provision listed in section
    2332b(g)(5)(B), or a violation of section 112, 351(e), 1361, or 1751(e)
    of this title, or section 46504, 46505, or 46506 of title 49, unless

    [[Page 115 STAT. 380]]

    the indictment is found or the information is instituted within 8 years
    after the offense was committed. Notwithstanding the preceding sentence,
    offenses listed in section 3295 are subject to the statute of
    limitations set forth in that section.
        ``(b) No Limitation.--Notwithstanding any other law, an indictment
    may be found or an information instituted at any time without limitation
    for any offense listed in section 2332b(g)(5)(B), if the commission of
    such offense resulted in, or created a forseeable risk of, death or
    serious bodily injury to another person.''.
        (b) Application.--The <<NOTE: 18 USC 3286 note.>> amendments made by
    this section shall apply to the prosecution of any offense committed
    before, on, or after the date of the enactment of this section.

    SEC. 810. ALTERNATE MAXIMUM PENALTIES FOR TERRORISM OFFENSES.

        (a) Arson.--Section 81 of title 18, United States Code, is amended
    in the second undesignated paragraph by striking ``not more than twenty
    years'' and inserting ``for any term of years or for life''.
        (b) Destruction of an Energy Facility.--Section 1366 of title 18,
    United States Code, is amended--
                (1) in subsection (a), by striking ``ten'' and inserting
            ``20''; and
                (2) by adding at the end the following:

        ``(d) Whoever is convicted of a violation of subsection (a) or (b)
    that has resulted in the death of any person shall be subject to
    imprisonment for any term of years or life.''.
        (c) Material Support to Terrorists.--Section 2339A(a) of title 18,
    United States Code, is amended--
                (1) by striking ``10'' and inserting ``15''; and
                (2) by striking the period and inserting ``, and, if the
            death of any person results, shall be imprisoned for any term of
            years or for life.''.

        (d) Material Support to Designated Foreign Terrorist
    Organizations.--Section 2339B(a)(1) of title 18, United States Code, is
    amended--
                (1) by striking ``10'' and inserting ``15''; and
                (2) by striking the period after ``or both'' and inserting
            ``, and, if the death of any person results, shall be imprisoned
            for any term of years or for life.''.

        (e) Destruction of National-Defense Materials.--Section 2155(a) of
    title 18, United States Code, is amended--
                (1) by striking ``ten'' and inserting ``20''; and
                (2) by striking the period at the end and inserting ``, and,
            if death results to any person, shall be imprisoned for any term
            of years or for life.''.

        (f) Sabotage of Nuclear Facilities or Fuel.--Section 236 of the
    Atomic Energy Act of 1954 (42 U.S.C. 2284), is amended--
                (1) by striking ``ten'' each place it appears and inserting
            ``20'';
                (2) in subsection (a), by striking the period at the end and
            inserting ``, and, if death results to any person, shall be
            imprisoned for any term of years or for life.''; and
                (3) in subsection (b), by striking the period at the end and
            inserting ``, and, if death results to any person, shall be
            imprisoned for any term of years or for life.''.

    [[Page 115 STAT. 381]]

        (g) Special Aircraft Jurisdiction of the United States.--Section
    46505(c) of title 49, United States Code, is amended--
                (1) by striking ``15'' and inserting ``20''; and
                (2) by striking the period at the end and inserting ``, and,
            if death results to any person, shall be imprisoned for any term
            of years or for life.''.

        (h) Damaging or Destroying an Interstate Gas or Hazardous Liquid
    Pipeline Facility.--Section 60123(b) of title 49, United States Code, is
    amended--
                (1) by striking ``15'' and inserting ``20''; and
                (2) by striking the period at the end and inserting ``, and,
            if death results to any person, shall be imprisoned for any term
            of years or for life.''.

    SEC. 811. PENALTIES FOR TERRORIST CONSPIRACIES.

        (a) Arson.--Section 81 of title 18, United States Code, is amended
    in the first undesignated paragraph--
                (1) by striking ``, or attempts to set fire to or burn'';
            and
                (2) by inserting ``or attempts or conspires to do such an
            act,'' before ``shall be imprisoned''.

        (b) Killings in Federal Facilities.--Section 930(c) of title 18,
    United States Code, is amended--
                (1) by striking ``or attempts to kill'';
                (2) by inserting ``or attempts or conspires to do such an
            act,'' before ``shall be punished''; and
                (3) by striking ``and 1113'' and inserting ``1113, and
            1117''.

        (c) Communications Lines, Stations, or Systems.--Section 1362 of
    title 18, United States Code, is amended in the first undesignated
    paragraph--
                (1) by striking ``or attempts willfully or maliciously to
            injure or destroy''; and
                (2) by inserting ``or attempts or conspires to do such an
            act,'' before ``shall be fined''.

        (d) Buildings or Property Within Special Maritime and Territorial
    Jurisdiction.--Section 1363 of title 18, United States Code, is
    amended--
                (1) by striking ``or attempts to destroy or injure''; and
                (2) by inserting ``or attempts or conspires to do such an
            act,'' before ``shall be fined'' the first place it appears.

        (e) Wrecking Trains.--Section 1992 of title 18, United States Code,
    is amended by adding at the end the following:
        ``(c) A person who conspires to commit any offense defined in this
    section shall be subject to the same penalties (other than the penalty
    of death) as the penalties prescribed for the offense, the commission of
    which was the object of the conspiracy.''.
        (f) Material Support to Terrorists.--Section 2339A of title 18,
    United States Code, is amended by inserting ``or attempts or conspires
    to do such an act,'' before ``shall be fined''.
        (g) Torture.--Section 2340A of title 18, United States Code, is
    amended by adding at the end the following:
        ``(c) Conspiracy.--A person who conspires to commit an offense under
    this section shall be subject to the same penalties (other than the
    penalty of death) as the penalties prescribed for the offense, the
    commission of which was the object of the conspiracy.''.
        (h) Sabotage of Nuclear Facilities or Fuel.--Section 236 of the
    Atomic Energy Act of 1954 (42 U.S.C. 2284), is amended--
                (1) in subsection (a)--

    [[Page 115 STAT. 382]]

                        (A) by striking ``, or who intentionally and
                    willfully attempts to destroy or cause physical damage
                    to'';
                        (B) in paragraph (4), by striking the period at the
                    end and inserting a comma; and
                        (C) by inserting ``or attempts or conspires to do
                    such an act,'' before ``shall be fined''; and
                (2) in subsection (b)--
                        (A) by striking ``or attempts to cause''; and
                        (B) by inserting ``or attempts or conspires to do
                    such an act,'' before ``shall be fined''.

        (i) Interference with Flight Crew Members and Attendants.--Section
    46504 of title 49, United States Code, is amended by inserting ``or
    attempts or conspires to do such an act,'' before ``shall be fined''.
        (j) Special Aircraft Jurisdiction of the United States.--Section
    46505 of title 49, United States Code, is amended by adding at the end
    the following:
        ``(e) Conspiracy.--If two or more persons conspire to violate
    subsection (b) or (c), and one or more of such persons do any act to
    effect the object of the conspiracy, each of the parties to such
    conspiracy shall be punished as provided in such subsection.''.
        (k) Damaging or Destroying an Interstate Gas or Hazardous Liquid
    Pipeline Facility.--Section 60123(b) of title 49, United States Code, is
    amended--
                (1) by striking ``, or attempting to damage or destroy,'';
            and
                (2) by inserting ``, or attempting or conspiring to do such
            an act,'' before ``shall be fined''.

    SEC. 812. POST-RELEASE SUPERVISION OF TERRORISTS.

        Section 3583 of title 18, United States Code, is amended by adding
    at the end the following:
        ``(j) Supervised Release Terms for Terrorism Predicates.--
    Notwithstanding subsection (b), the authorized term of supervised
    release for any offense listed in section 2332b(g)(5)(B), the commission
    of which resulted in, or created a foreseeable risk of, death or serious
    bodily injury to another person, is any term of years or life.''.

    SEC. 813. INCLUSION OF ACTS OF TERRORISM AS RACKETEERING ACTIVITY.

        Section 1961(1) of title 18, United States Code, is amended--
                (1) by striking ``or (F)'' and inserting ``(F)''; and
                (2) by inserting before the semicolon at the end the
            following: ``, or (G) any act that is indictable under any
            provision listed in section 2332b(g)(5)(B)''.

    SEC. 814. DETERRENCE AND PREVENTION OF CYBERTERRORISM.

        (a) Clarification of Protection of Protected Computers.--Section
    1030(a)(5) of title 18, United States Code, is amended--
                (1) by inserting ``(i)'' after ``(A)'';
                (2) by redesignating subparagraphs (B) and (C) as clauses
            (ii) and (iii), respectively;
                (3) by adding ``and'' at the end of clause (iii), as so
            redesignated; and
                (4) by adding at the end the following:

    [[Page 115 STAT. 383]]

                        ``(B) by conduct described in clause (i), (ii), or
                    (iii) of subparagraph (A), caused (or, in the case of an
                    attempted offense, would, if completed, have caused)--
                              ``(i) loss to 1 or more persons during any 1-
                          year period (and, for purposes of an
                          investigation, prosecution, or other proceeding
                          brought by the United States only, loss resulting
                          from a related course of conduct affecting 1 or
                          more other protected computers) aggregating at
                          least $5,000 in value;
                              ``(ii) the modification or impairment, or
                          potential modification or impairment, of the
                          medical examination, diagnosis, treatment, or care
                          of 1 or more individuals;
                              ``(iii) physical injury to any person;
                              ``(iv) a threat to public health or safety; or
                              ``(v) damage affecting a computer system used
                          by or for a government entity in furtherance of
                          the administration of justice, national defense,
                          or national security;''.

        (b) Protection From Extortion.--Section 1030(a)(7) of title 18,
    United States Code, is amended by striking ``, firm, association,
    educational institution, financial institution, government entity, or
    other legal entity,''.
        (c) Penalties.--Section 1030(c) of title 18, United States Code, is
    amended--
                (1) in paragraph (2)--
                        (A) in subparagraph (A) --
                              (i) by inserting ``except as provided in
                          subparagraph (B),'' before ``a fine'';
                              (ii) by striking ``(a)(5)(C)'' and inserting
                          ``(a)(5)(A)(iii)''; and
                              (iii) by striking ``and' at the end;
                        (B) in subparagraph (B), by inserting ``or an
                    attempt to commit an offense punishable under this
                    subparagraph,'' after ``subsection (a)(2),'' in the
                    matter preceding clause (i); and
                        (C) in subparagraph (C), by striking ``and'' at the
                    end;
                (2) in paragraph (3)--
                        (A) by striking ``, (a)(5)(A), (a)(5)(B),'' both
                    places it appears; and
                        (B) by striking ``(a)(5)(C)'' and inserting
                    ``(a)(5)(A)(iii)''; and
                (3) by adding at the end the following:
                ``(4)(A) a fine under this title, imprisonment for not more
            than 10 years, or both, in the case of an offense under
            subsection (a)(5)(A)(i), or an attempt to commit an offense
            punishable under that subsection;
                ``(B) a fine under this title, imprisonment for not more
            than 5 years, or both, in the case of an offense under
            subsection (a)(5)(A)(ii), or an attempt to commit an offense
            punishable under that subsection;
                ``(C) a fine under this title, imprisonment for not more
            than 20 years, or both, in the case of an offense under
            subsection (a)(5)(A)(i) or (a)(5)(A)(ii), or an attempt to
            commit an offense punishable under either subsection, that
            occurs after a conviction for another offense under this
            section.''.

    [[Page 115 STAT. 384]]

        (d) Definitions.--Section 1030(e) of title 18, United States Code is
    amended--
                (1) in paragraph (2)(B), by inserting ``, including a
            computer located outside the United States that is used in a
            manner that affects interstate or foreign commerce or
            communication of the United States'' before the semicolon;
                (2) in paragraph (7), by striking ``and'' at the end;
                (3) by striking paragraph (8) and inserting the following:
                ``(8) the term `damage' means any impairment to the
            integrity or availability of data, a program, a system, or
            information;'';
                (4) in paragraph (9), by striking the period at the end and
            inserting a semicolon; and
                (5) by adding at the end the following:
                ``(10) the term `conviction' shall include a conviction
            under the law of any State for a crime punishable by
            imprisonment for more than 1 year, an element of which is
            unauthorized access, or exceeding authorized access, to a
            computer;
                ``(11) the term `loss' means any reasonable cost to any
            victim, including the cost of responding to an offense,
            conducting a damage assessment, and restoring the data, program,
            system, or information to its condition prior to the offense,
            and any revenue lost, cost incurred, or other consequential
            damages incurred because of interruption of service; and
                ``(12) the term `person' means any individual, firm,
            corporation, educational institution, financial institution,
            governmental entity, or legal or other entity.''.

        (e) Damages in Civil Actions.--Section 1030(g) of title 18, United
    States Code is amended--
                (1) by striking the second sentence and inserting the
            following: ``A civil action for a violation of this section may
            be brought only if the conduct involves 1 of the factors set
            forth in clause (i), (ii), (iii), (iv), or (v) of subsection
            (a)(5)(B). Damages for a violation involving only conduct
            described in subsection (a)(5)(B)(i) are limited to economic
            damages.''; and
                (2) by adding at the end the following: ``No action may be
            brought under this subsection for the negligent design or
            manufacture of computer hardware, computer software, or
            firmware.''.

        (f) Amendment <<NOTE: 28 USC 994 note.>> of Sentencing Guidelines
    Relating to Certain Computer Fraud and Abuse.--Pursuant to its authority
    under section 994(p) of title 28, United States Code, the United States
    Sentencing Commission shall amend the Federal sentencing guidelines to
    ensure that any individual convicted of a violation of section 1030 of
    title 18, United States Code, can be subjected to appropriate penalties,
    without regard to any mandatory minimum term of imprisonment.

    SEC. 815. ADDITIONAL DEFENSE TO CIVIL ACTIONS RELATING TO PRESERVING
                RECORDS IN RESPONSE TO GOVERNMENT REQUESTS.

        Section 2707(e)(1) of title 18, United States Code, is amended by
    inserting after ``or statutory authorization'' the following:
    ``(including a request of a governmental entity under section 2703(f) of
    this title)''.

    [[Page 115 STAT. 385]]

    SEC. 816. <<NOTE: 28 USC 509 note.>> DEVELOPMENT AND SUPPORT OF
                CYBERSECURITY FORENSIC CAPABILITIES.

        (a) In General.--The Attorney General shall establish such regional
    computer forensic laboratories as the Attorney General considers
    appropriate, and provide support to existing computer forensic
    laboratories, in order that all such computer forensic laboratories have
    the capability--
                (1) to provide forensic examinations with respect to seized
            or intercepted computer evidence relating to criminal activity
            (including cyberterrorism);
                (2) to provide training and education for Federal, State,
            and local law enforcement personnel and prosecutors regarding
            investigations, forensic analyses, and prosecutions of computer-
            related crime (including cyberterrorism);
                (3) to assist Federal, State, and local law enforcement in
            enforcing Federal, State, and local criminal laws relating to
            computer-related crime;
                (4) to facilitate and promote the sharing of Federal law
            enforcement expertise and information about the investigation,
            analysis, and prosecution of computer-related crime with State
            and local law enforcement personnel and prosecutors, including
            the use of multijurisdictional task forces; and
                (5) to carry out such other activities as the Attorney
            General considers appropriate.

        (b) Authorization of Appropriations.--
                (1) Authorization.--There is hereby authorized to be
            appropriated in each fiscal year $50,000,000 for purposes of
            carrying out this section.
                (2) Availability.--Amounts appropriated pursuant to the
            authorization of appropriations in paragraph (1) shall remain
            available until expended.

    SEC. 817. EXPANSION OF THE BIOLOGICAL WEAPONS STATUTE.

        Chapter 10 of title 18, United States Code, is amended--
                (1) in section 175--
                        (A) in subsection (b)--
                              (i) by striking ``does not include'' and
                          inserting ``includes'';
                              (ii) by inserting ``other than'' after
                          ``system for''; and
                              (iii) by inserting ``bona fide research''
                          after ``protective'';
                        (B) by redesignating subsection (b) as subsection
                    (c); and
                        (C) by inserting after subsection (a) the following:

        ``(b) Additional Offense.--Whoever knowingly possesses any
    biological agent, toxin, or delivery system of a type or in a quantity
    that, under the circumstances, is not reasonably justified by a
    prophylactic, protective, bona fide research, or other peaceful purpose,
    shall be fined under this title, imprisoned not more than 10 years, or
    both. In this subsection, the terms `biological agent' and `toxin' do
    not encompass any biological agent or toxin that is in its naturally
    occurring environment, if the biological agent or toxin has not been
    cultivated, collected, or otherwise extracted from its natural
    source.'';
                (2) by inserting after section 175a the following:

    [[Page 115 STAT. 386]]

    ``SEC. 175b. POSSESSION BY RESTRICTED PERSONS.

        ``(a) No restricted person described in subsection (b) shall ship or
    transport interstate or foreign commerce, or possess in or affecting
    commerce, any biological agent or toxin, or receive any biological agent
    or toxin that has been shipped or transported in interstate or foreign
    commerce, if the biological agent or toxin is listed as a select agent
    in subsection (j) of section 72.6 of title 42, Code of Federal
    Regulations, pursuant to section 511(d)(l) of the Antiterrorism and
    Effective Death Penalty Act of 1996 (Public Law 104-132), and is not
    exempted under subsection (h) of such section 72.6, or appendix A of
    part 72 of the Code of Regulations.
        ``(b) In this section:
                ``(1) The term `select agent' does not include any such
            biological agent or toxin that is in its naturally-occurring
            environment, if the biological agent or toxin has not been
            cultivated, collected, or otherwise extracted from its natural
            source.

        ``(2) The term `restricted person' means an individual who--
                        ``(A) is under indictment for a crime punishable by
                    imprisonment for a term exceeding 1 year;
                        ``(B) has been convicted in any court of a crime
                    punishable by imprisonment for a term exceeding 1 year;
                        ``(C) is a fugitive from justice;
                        ``(D) is an unlawful user of any controlled
                    substance (as defined in section 102 of the Controlled
                    Substances Act (21 U.S.C. 802));
                        ``(E) is an alien illegally or unlawfully in the
                    United States;
                        ``(F) has been adjudicated as a mental defective or
                    has been committed to any mental institution;
                        ``(G) is an alien (other than an alien lawfully
                    admitted for permanent residence) who is a national of a
                    country as to which the Secretary of State, pursuant to
                    section 6(j) of the Export Administration Act of 1979
                    (50 U.S.C. App. 2405(j)), section 620A of chapter 1 of
                    part M of the Foreign Assistance Act of 1961 (22 U.S.C.
                    2371), or section 40(d) of chapter 3 of the Arms Export
                    Control Act (22 U.S.C. 2780(d)), has made a
                    determination (that remains in effect) that such country
                    has repeatedly provided support for acts of
                    international terrorism; or
                        ``(H) has been discharged from the Armed Services of
                    the United States under dishonorable conditions.
                ``(3) The term `alien' has the same meaning as in section
            1010(a)(3) of the Immigration and Nationality Act (8 U.S.C.
            1101(a)(3)).
                ``(4) The term `lawfully admitted for permanent residence'
            has the same meaning as in section 101(a)(20) of the Immigration
            and Nationality Act (8 U.S.C. 1101(a)(20)).

        ``(c) Whoever knowingly violates this section shall be fined as
    provided in this title, imprisoned not more than 10 years, or both, but
    the prohibition contained in this section shall not apply with respect
    to any duly authorized United States governmental activity.''; and
                (3) in the chapter analysis, by inserting after the item
            relating to section 175a the following:

    ``175b. Possession by restricted persons.''.

    [[Page 115 STAT. 387]]

                         TITLE IX--IMPROVED INTELLIGENCE

    SEC. 901. RESPONSIBILITIES OF DIRECTOR OF CENTRAL INTELLIGENCE REGARDING
                FOREIGN INTELLIGENCE COLLECTED UNDER FOREIGN INTELLIGENCE
                SURVEILLANCE ACT OF 1978.

        Section 103(c) of the National Security Act of 1947 (50 U.S.C. 403-
    3(c)) is amended--
                (1) by redesignating paragraphs (6) and (7) as paragraphs
            (7) and (8), respectively; and
                (2) by inserting after paragraph (5) the following new
            paragraph (6):
                ``(6) establish requirements and priorities for foreign
            intelligence information to be collected under the Foreign
            Intelligence Surveillance Act of 1978 (50 U.S.C. 1801 et seq.),
            and provide assistance to the Attorney General to ensure that
            information derived from electronic surveillance or physical
            searches under that Act is disseminated so it may be used
            efficiently and effectively for foreign intelligence purposes,
            except that the Director shall have no authority to direct,
            manage, or undertake electronic surveillance or physical search
            operations pursuant to that Act unless otherwise authorized by
            statute or Executive order;''.

    SEC. 902. INCLUSION OF INTERNATIONAL TERRORIST ACTIVITIES WITHIN SCOPE
                OF FOREIGN INTELLIGENCE UNDER NATIONAL SECURITY ACT OF 1947.

        Section 3 of the National Security Act of 1947 (50 U.S.C. 401a) is
    amended--
                (1) in paragraph (2), by inserting before the period the
            following: ``, or international terrorist activities''; and
                (2) in paragraph (3), by striking ``and activities
            conducted'' and inserting ``, and activities conducted,''.

    SEC. 903. SENSE OF CONGRESS ON THE ESTABLISHMENT AND MAINTENANCE OF
                INTELLIGENCE RELATIONSHIPS TO ACQUIRE INFORMATION ON
                TERRORISTS AND TERRORIST ORGANIZATIONS.

        It is the sense of Congress that officers and employees of the
    intelligence community of the Federal Government, acting within the
    course of their official duties, should be encouraged, and should make
    every effort, to establish and maintain intelligence relationships with
    any person, entity, or group for the purpose of engaging in lawful
    intelligence activities, including the acquisition of information on the
    identity, location, finances, affiliations, capabilities, plans, or
    intentions of a terrorist or terrorist organization, or information on
    any other person, entity, or group (including a foreign government)
    engaged in harboring, comforting, financing, aiding, or assisting a
    terrorist or terrorist organization.

    SEC. 904. TEMPORARY AUTHORITY TO DEFER SUBMITTAL TO CONGRESS OF REPORTS
                ON INTELLIGENCE AND INTELLIGENCE-RELATED MATTERS.

        (a) Authority To Defer.--The Secretary of Defense, Attorney General,
    and Director of Central Intelligence each may, during the effective
    period of this section, defer the date of submittal

    [[Page 115 STAT. 388]]

    to Congress of any covered intelligence report under the jurisdiction of
    such official until February 1, 2002.
        (b) Covered Intelligence Report.--Except as provided in subsection
    (c), for purposes of subsection (a), a covered intelligence report is as
    follows:
                (1) Any report on intelligence or intelligence-related
            activities of the United States Government that is required to
            be submitted to Congress by an element of the intelligence
            community during the effective period of this section.
                (2) Any report or other matter that is required to be
            submitted to the Select Committee on Intelligence of the Senate
            and Permanent Select Committee on Intelligence of the House of
            Representatives by the Department of Defense or the Department
            of Justice during the effective period of this section.

        (c) Exception for Certain Reports.--For purposes of subsection (a),
    any report required by section 502 or 503 of the National Security Act
    of 1947 (50 U.S.C. 413a, 413b) is not a covered intelligence report.
        (d) Notice to Congress.--Upon deferring the date of submittal to
    Congress of a covered intelligence report under subsection (a), the
    official deferring the date of submittal of the covered intelligence
    report shall submit to Congress notice of the deferral. Notice of
    deferral of a report shall specify the provision of law, if any, under
    which the report would otherwise be submitted to Congress.
        (e) Extension <<NOTE: Certification.>> of Deferral.--(1) Each
    official specified in subsection (a) may defer the date of submittal to
    Congress of a covered intelligence report under the jurisdiction of such
    official to a date after February 1, 2002, if such official submits to
    the committees of Congress specified in subsection (b)(2) before
    February 1, 2002, a certification that preparation and submittal of the
    covered intelligence report on February 1, 2002, will impede the work of
    officers or employees who are engaged in counterterrorism activities.

        (2) A certification under paragraph (1) with respect to a covered
    intelligence report shall specify the date on which the covered
    intelligence report will be submitted to Congress.
        (f) Effective Period.--The effective period of this section is the
    period beginning on the date of the enactment of this Act and ending on
    February 1, 2002.
        (g) Element of the Intelligence Community Defined.--In this section,
    the term ``element of the intelligence community'' means any element of
    the intelligence community specified or designated under section 3(4) of
    the National Security Act of 1947 (50 U.S.C. 401a(4)).

    SEC. 905. DISCLOSURE TO DIRECTOR OF CENTRAL INTELLIGENCE OF FOREIGN
                INTELLIGENCE-RELATED INFORMATION WITH RESPECT TO CRIMINAL
                INVESTIGATIONS.

        (a) In General.--Title I of the National Security Act of 1947 (50
    U.S.C. 402 et seq.) is amended--
                (1) by redesignating <<NOTE: 50 USC 403-5b, 403-
            5c.>> subsection 105B as section 105C; and
                (2) by inserting after section 105A the following new
            section 105B:

    [[Page 115 STAT. 389]]

           ``disclosure of foreign intelligence acquired in criminal
          investigations; notice of criminal investigations of foreign
                              intelligence sources

        ``Sec. <<NOTE: 50 USC 403-5b.>> 105B. (a) Disclosure of Foreign
    Intelligence.--(1) Except as otherwise provided by law and subject to
    paragraph (2), the Attorney General, or the head of any other department
    or agency of the Federal Government with law enforcement
    responsibilities, shall expeditiously disclose to the Director of
    Central Intelligence, pursuant to guidelines developed by the Attorney
    General in consultation with the Director, foreign intelligence acquired
    by an element of the Department of Justice or an element of such
    department or agency, as the case may be, in the course of a criminal
    investigation.

        ``(2) The Attorney General by regulation and in consultation with
    the Director of Central Intelligence may provide for exceptions to the
    applicability of paragraph (1) for one or more classes of foreign
    intelligence, or foreign intelligence with respect to one or more
    targets or matters, if the Attorney General determines that disclosure
    of such foreign intelligence under that paragraph would jeopardize an
    ongoing law enforcement investigation or impair other significant law
    enforcement interests.
        ``(b) Procedures <<NOTE: Deadline.>> for Notice of Criminal
    Investigations.--Not later than 180 days after the date of enactment of
    this section, the Attorney General, in consultation with the Director of
    Central Intelligence, shall develop guidelines to ensure that after
    receipt of a report from an element of the intelligence community of
    activity of a foreign intelligence source or potential foreign
    intelligence source that may warrant investigation as criminal activity,
    the Attorney General provides notice to the Director of Central
    Intelligence, within a reasonable period of time, of his intention to
    commence, or decline to commence, a criminal investigation of such
    activity.

        ``(c) Procedures.--The Attorney General shall develop procedures for
    the administration of this section, including the disclosure of foreign
    intelligence by elements of the Department of Justice, and elements of
    other departments and agencies of the Federal Government, under
    subsection (a) and the provision of notice with respect to criminal
    investigations under subsection (b).''.
        (b) Clerical Amendment.--The table of contents in the first section
    of that Act is amended by striking the item relating to section 105B and
    inserting the following new items:

    ``Sec. 105B. Disclosure of foreign intelligence acquired in criminal
               investigations; notice of criminal investigations of foreign
               intelligence sources.
    ``Sec. 105C. Protection of the operational files of the National Imagery
               and Mapping Agency.''.

    SEC. 906. FOREIGN TERRORIST ASSET TRACKING CENTER.

        (a) Report <<NOTE: Deadline.>> on Reconfiguration.--Not later than
    February 1, 2002, the Attorney General, the Director of Central
    Intelligence, and the Secretary of the Treasury shall jointly submit to
    Congress a report on the feasibility and desirability of reconfiguring
    the Foreign Terrorist Asset Tracking Center and the Office of Foreign
    Assets Control of the Department of the Treasury in order to establish a
    capability to provide for the effective and efficient analysis and
    dissemination of foreign intelligence relating to the financial
    capabilities and resources of international terrorist organizations.

    [[Page 115 STAT. 390]]

        (b) Report Requirements.--(1) In preparing the report under
    subsection (a), the Attorney General, the Secretary, and the Director
    shall consider whether, and to what extent, the capacities and resources
    of the Financial Crimes Enforcement Center of the Department of the
    Treasury may be integrated into the capability contemplated by the
    report.
        (2) If the Attorney General, Secretary, and the Director determine
    that it is feasible and desirable to undertake the reconfiguration
    described in subsection (a) in order to establish the capability
    described in that subsection, the Attorney General, the Secretary, and
    the Director shall include with the report under that subsection a
    detailed proposal for legislation to achieve the reconfiguration.

    SEC. 907. NATIONAL VIRTUAL TRANSLATION CENTER.

        (a) Report <<NOTE: Deadline.>> on Establishment.--(1) Not later than
    February 1, 2002, the Director of Central Intelligence shall, in
    consultation with the Director of the Federal Bureau of Investigation,
    submit to the appropriate committees of Congress a report on the
    establishment and maintenance within the intelligence community of an
    element for purposes of providing timely and accurate translations of
    foreign intelligence for all other elements of the intelligence
    community. In the report, the element shall be referred to as the
    ``National Virtual Translation Center''.

        (2) The report on the element described in paragraph (1) shall
    discuss the use of state-of-the-art communications technology, the
    integration of existing translation capabilities in the intelligence
    community, and the utilization of remote-connection capacities so as to
    minimize the need for a central physical facility for the element.
        (b) Resources.--The report on the element required by subsection (a)
    shall address the following:
                (1) The assignment to the element of a staff of individuals
            possessing a broad range of linguistic and translation skills
            appropriate for the purposes of the element.
                (2) The provision to the element of communications
            capabilities and systems that are commensurate with the most
            current and sophisticated communications capabilities and
            systems available to other elements of intelligence community.
                (3) The assurance, to the maximum extent practicable, that
            the communications capabilities and systems provided to the
            element will be compatible with communications capabilities and
            systems utilized by the Federal Bureau of Investigation in
            securing timely and accurate translations of foreign language
            materials for law enforcement investigations.
                (4) The development of a communications infrastructure to
            ensure the efficient and secure use of the translation
            capabilities of the element.

        (c) Secure Communications.--The report shall include a discussion of
    the creation of secure electronic communications between the element
    described by subsection (a) and the other elements of the intelligence
    community.
        (d) Definitions.--In this section:
                (1) Foreign intelligence.--The term ``foreign intelligence''
            has the meaning given that term in section 3(2) of the National
            Security Act of 1947 (50 U.S.C. 401a(2)).
                (2) Element of the intelligence community.--The term
            ``element of the intelligence community'' means any element

    [[Page 115 STAT. 391]]

            of the intelligence community specified or designated under
            section 3(4) of the National Security Act of 1947 (50 U.S.C.
            401a(4)).

    SEC. 908. <<NOTE: 28 USC 509 note.>> TRAINING OF GOVERNMENT OFFICIALS
                REGARDING IDENTIFICATION AND USE OF FOREIGN INTELLIGENCE.

        (a) Program Required.--The Attorney General shall, in consultation
    with the Director of Central Intelligence, carry out a program to
    provide appropriate training to officials described in subsection (b) in
    order to assist such officials in--
                (1) identifying foreign intelligence information in the
            course of their duties; and
                (2) utilizing foreign intelligence information in the course
            of their duties, to the extent that the utilization of such
            information is appropriate for such duties.

        (b) Officials.--The officials provided training under subsection (a)
    are, at the discretion of the Attorney General and the Director, the
    following:
                (1) Officials of the Federal Government who are not
            ordinarily engaged in the collection, dissemination, and use of
            foreign intelligence in the performance of their duties.
                (2) Officials of State and local governments who encounter,
            or may encounter in the course of a terrorist event, foreign
            intelligence in the performance of their duties.

        (c) Authorization of Appropriations.--There is hereby authorized to
    be appropriated for the Department of Justice such sums as may be
    necessary for purposes of carrying out the program required by
    subsection (a).

                             TITLE X--MISCELLANEOUS

    SEC. 1001. <<NOTE: 5 USC app.>> REVIEW OF THE DEPARTMENT OF JUSTICE.

        The Inspector General of the Department of Justice shall designate
    one official who shall--
                (1) review information and receive complaints alleging
            abuses of civil rights and civil liberties by employees and
            officials of the Department of Justice;
                (2) <<NOTE: Public information. Internet.>> make public
            through the Internet, radio, television, and newspaper
            advertisements information on the responsibilities and functions
            of, and how to contact, the official; and
                (3) <<NOTE: Reports.>> submit to the Committee on the
            Judiciary of the House of Representatives and the Committee on
            the Judiciary of the Senate on a semi-annual basis a report on
            the implementation of this subsection and detailing any abuses
            described in paragraph (1), including a description of the use
            of funds appropriations used to carry out this subsection.

    SEC. 1002. SENSE OF CONGRESS.

        (a) Findings.--Congress finds that--
                (1) all Americans are united in condemning, in the strongest
            possible terms, the terrorists who planned and carried out the
            attacks against the United States on September 11, 2001, and in
            pursuing all those responsible for those attacks and their
            sponsors until they are brought to justice;
                (2) Sikh-Americans form a vibrant, peaceful, and law-abiding
            part of America's people;

    [[Page 115 STAT. 392]]

                (3) approximately 500,000 Sikhs reside in the United States
            and are a vital part of the Nation;
                (4) Sikh-Americans stand resolutely in support of the
            commitment of our Government to bring the terrorists and those
            that harbor them to justice;
                (5) the Sikh faith is a distinct religion with a distinct
            religious and ethnic identity that has its own places of worship
            and a distinct holy text and religious tenets;
                (6) many Sikh-Americans, who are easily recognizable by
            their turbans and beards, which are required articles of their
            faith, have suffered both verbal and physical assaults as a
            result of misguided anger toward Arab-Americans and Muslim-
            Americans in the wake of the September 11, 2001 terrorist
            attack;
                (7) Sikh-Americans, as do all Americans, condemn acts of
            prejudice against any American; and
                (8) Congress is seriously concerned by the number of crimes
            against Sikh-Americans and other Americans all across the Nation
            that have been reported in the wake of the tragic events that
            unfolded on September 11, 2001.

        (b) Sense of Congress.--Congress--
                (1) declares that, in the quest to identify, locate, and
            bring to justice the perpetrators and sponsors of the terrorist
            attacks on the United States on September 11, 2001, the civil
            rights and civil liberties of all Americans, including Sikh-
            Americans, should be protected;
                (2) condemns bigotry and any acts of violence or
            discrimination against any Americans, including Sikh-Americans;
                (3) calls upon local and Federal law enforcement authorities
            to work to prevent crimes against all Americans, including Sikh-
            Americans; and
                (4) calls upon local and Federal law enforcement authorities
            to prosecute to the fullest extent of the law all those who
            commit crimes.

    SEC. 1003. DEFINITION OF ``ELECTRONIC SURVEILLANCE''.

        Section 101(f)(2) of the Foreign Intelligence Surveillance Act (50
    U.S.C. 1801(f)(2)) is amended by adding at the end before the semicolon
    the following: ``, but does not include the acquisition of those
    communications of computer trespassers that would be permissible under
    section 2511(2)(i) of title 18, United States Code''.

    SEC. 1004. VENUE IN MONEY LAUNDERING CASES.

        Section 1956 of title 18, United States Code, is amended by adding
    at the end the following:
        ``(i) Venue.--(1) Except as provided in paragraph (2), a prosecution
    for an offense under this section or section 1957 may be brought in--
                ``(A) any district in which the financial or monetary
            transaction is conducted; or
                ``(B) any district where a prosecution for the underlying
            specified unlawful activity could be brought, if the defendant
            participated in the transfer of the proceeds of the specified
            unlawful activity from that district to the district where the
            financial or monetary transaction is conducted.

        ``(2) A prosecution for an attempt or conspiracy offense under this
    section or section 1957 may be brought in the district where venue would
    lie for the completed offense under paragraph (1),

    [[Page 115 STAT. 393]]

    or in any other district where an act in furtherance of the attempt or
    conspiracy took place.
        ``(3) For purposes of this section, a transfer of funds from 1 place
    to another, by wire or any other means, shall constitute a single,
    continuing transaction. Any person who conducts (as that term is defined
    in subsection (c)(2)) any portion of the transaction may be charged in
    any district in which the transaction takes place.''.

    SEC. 1005. <<NOTE: Inter-governmental relations. 28 USC 509
                note.>> FIRST RESPONDERS ASSISTANCE ACT.

        (a) Grant Authorization.--The Attorney General shall make grants
    described in subsections (b) and (c) to States and units of local
    government to improve the ability of State and local law enforcement,
    fire department and first responders to respond to and prevent acts of
    terrorism.
        (b) Terrorism Prevention Grants.--Terrorism prevention grants under
    this subsection may be used for programs, projects, and other activities
    to--
                (1) hire additional law enforcement personnel dedicated to
            intelligence gathering and analysis functions, including the
            formation of full-time intelligence and analysis units;
                (2) purchase technology and equipment for intelligence
            gathering and analysis functions, including wire-tap, pen links,
            cameras, and computer hardware and software;
                (3) purchase equipment for responding to a critical
            incident, including protective equipment for patrol officers
            such as quick masks;
                (4) purchase equipment for managing a critical incident,
            such as communications equipment for improved interoperability
            among surrounding jurisdictions and mobile command posts for
            overall scene management; and
                (5) fund technical assistance programs that emphasize
            coordination among neighboring law enforcement agencies for
            sharing resources, and resources coordination among law
            enforcement agencies for combining intelligence gathering and
            analysis functions, and the development of policy, procedures,
            memorandums of understanding, and other best practices.

        (c) Antiterrorism Training Grants.--Antiterrorism training grants
    under this subsection may be used for programs, projects, and other
    activities to address--
                (1) intelligence gathering and analysis techniques;
                (2) community engagement and outreach;
                (3) critical incident management for all forms of terrorist
            attack;
                (4) threat assessment capabilities;
                (5) conducting followup investigations; and
                (6) stabilizing a community after a terrorist incident.

        (d) Application.--
                (1) In general.--Each eligible entity that desires to
            receive a grant under this section shall submit an application
            to the Attorney General, at such time, in such manner, and
            accompanied by such additional information as the Attorney
            General may reasonably require.
                (2) Contents.--Each application submitted pursuant to
            paragraph (1) shall--
                        (A) describe the activities for which assistance
                    under this section is sought; and

    [[Page 115 STAT. 394]]

                        (B) provide such additional assurances as the
                    Attorney General determines to be essential to ensure
                    compliance with the requirements of this section.

        (e) Minimum Amount.--If all applications submitted by a State or
    units of local government within that State have not been funded under
    this section in any fiscal year, that State, if it qualifies, and the
    units of local government within that State, shall receive in that
    fiscal year not less than 0.5 percent of the total amount appropriated
    in that fiscal year for grants under this section.
        (f) Authorization of Appropriations.--There are authorized to be
    appropriated $25,000,000 for each of the fiscal years 2003 through 2007.

    SEC. 1006. INADMISSIBILITY OF ALIENS ENGAGED IN MONEY LAUNDERING.

        (a) Amendment to Immigration and Nationality Act.--Section 212(a)(2)
    of the Immigration and Nationality Act (8 U.S.C. 1182(a)(2)) is amended
    by adding at the end the following:
                        ``(I) Money laundering.--Any alien--
                              ``(i) who a consular officer or the Attorney
                          General knows, or has reason to believe, has
                          engaged, is engaging, or seeks to enter the United
                          States to engage, in an offense which is described
                          in section 1956 or 1957 of title 18, United States
                          Code (relating to laundering of monetary
                          instruments); or
                              ``(ii) who a consular officer or the Attorney
                          General knows is, or has been, a knowing aider,
                          abettor, assister, conspirator, or colluder with
                          others in an offense which is described in such
                          section;
                    is inadmissible.''.

        (b) Money <<NOTE: Deadline. Records. Certification. 8 USC 1182
    note.>> Laundering Watchlist.--Not later than 90 days after the date of
    the enactment of this Act, the Secretary of State shall develop,
    implement, and certify to the Congress that there has been established a
    money laundering watchlist, which identifies individuals worldwide who
    are known or suspected of money laundering, which is readily accessible
    to, and shall be checked by, a consular or other Federal official prior
    to the issuance of a visa or admission to the United States. The
    Secretary of State shall develop and continually update the watchlist in
    cooperation with the Attorney General, the Secretary of the Treasury,
    and the Director of Central Intelligence.

    SEC. 1007. AUTHORIZATION OF FUNDS FOR DEA POLICE TRAINING IN SOUTH AND
                CENTRAL ASIA.

        In addition to amounts otherwise available to carry out section 481
    of the Foreign Assistance Act of 1961 (22 U.S.C. 2291), there is
    authorized to be appropriated to the President not less than $5,000,000
    for fiscal year 2002 for regional antidrug training in the Republic of
    Turkey by the Drug Enforcement Administration for police, as well as
    increased precursor chemical control efforts in the South and Central
    Asia region.

    [[Page 115 STAT. 395]]

    SEC. 1008. FEASIBILITY STUDY ON USE OF BIOMETRIC IDENTIFIER SCANNING
                SYSTEM WITH ACCESS TO THE FBI INTEGRATED AUTOMATED
                FINGERPRINT IDENTIFICATION SYSTEM AT OVERSEAS CONSULAR POSTS
                AND POINTS OF ENTRY TO THE UNITED STATES.

        (a) In General.--The Attorney General, in consultation with the
    Secretary of State and the Secretary of Transportation, shall conduct a
    study on the feasibility of utilizing a biometric identifier
    (fingerprint) scanning system, with access to the database of the
    Federal Bureau of Investigation Integrated Automated Fingerprint
    Identification System, at consular offices abroad and at points of entry
    into the United States to enhance the ability of State Department and
    immigration officials to identify aliens who may be wanted in connection
    with criminal or terrorist investigations in the United States or abroad
    prior to the issuance of visas or entry into the United States.
        (b) Report <<NOTE: Deadline.>> to Congress.--Not later than 90 days
    after the date of the enactment of this Act, the Attorney General shall
    submit a report summarizing the findings of the study authorized under
    subsection (a) to the Committee on International Relations and the
    Committee on the Judiciary of the House of Representatives and the
    Committee on Foreign Relations and the Committee on the Judiciary of the
    Senate.

    SEC. 1009. STUDY OF ACCESS.

        (a) In <<NOTE: Deadline.>> General.--Not later than 120 days after
    enactment of this Act, the Federal Bureau of Investigation shall study
    and report to Congress on the feasibility of providing to airlines
    access via computer to the names of passengers who are suspected of
    terrorist activity by Federal officials.

        (b) Authorization.--There are authorized to be appropriated not more
    than $250,000 to carry out subsection (a).

    SEC. 1010. <<NOTE: 10 USC 2465 note.>> TEMPORARY AUTHORITY TO CONTRACT
                WITH LOCAL AND STATE GOVERNMENTS FOR PERFORMANCE OF SECURITY
                FUNCTIONS AT UNITED STATES MILITARY INSTALLATIONS.

        (a) In General.--Notwithstanding section 2465 of title 10, United
    States Code, during the period of time that United States armed forces
    are engaged in Operation Enduring Freedom, and for the period of 180
    days thereafter, funds appropriated to the Department of Defense may be
    obligated and expended for the purpose of entering into contracts or
    other agreements for the performance of security functions at any
    military installation or facility in the United States with a
    proximately located local or State government, or combination of such
    governments, whether or not any such government is obligated to provide
    such services to the general public without compensation.
        (b) Training.--Any contract or agreement entered into under this
    section shall prescribe standards for the training and other
    qualifications of local government law enforcement personnel who perform
    security functions under this section in accordance with criteria
    established by the Secretary of the service concerned.
        (c) Report.--One <<NOTE: Deadline.>> year after the date of
    enactment of this section, the Secretary of Defense shall submit a
    report to the Committees on Armed Services of the Senate and the House
    of Representatives describing the use of the authority granted under

    [[Page 115 STAT. 396]]

    this section and the use by the Department of Defense of other means to
    improve the performance of security functions on military installations
    and facilities located within the United States.

    SEC. 1011. <<NOTE: Crimes Against Charitable Americans Act of
                2001.>> CRIMES AGAINST CHARITABLE AMERICANS.

        (a) Short <<NOTE: 15 USC 6101 note.>> Title.--This section may be
    cited as the ``Crimes Against Charitable Americans Act of 2001''.

        (b) Telemarketing and Consumer Fraud Abuse.--The Telemarketing and
    Consumer Fraud and Abuse Prevention Act (15 U.S.C. 6101 et seq.) is
    amended--
                (1) in section 3(a)(2), <<NOTE: 15 USC 6102.>> by inserting
            after ``practices'' the second place it appears the following:
            ``which shall include fraudulent charitable solicitations,
            and'';
                (2) in section 3(a)(3)--
                        (A) in subparagraph (B), by striking ``and'' at the
                    end;
                        (B) in subparagraph (C), by striking the period at
                    the end and inserting ``; and''; and
                        (C) by adding at the end the following:
                        ``(D) a requirement that any person engaged in
                    telemarketing for the solicitation of charitable
                    contributions, donations, or gifts of money or any other
                    thing of value, shall promptly and clearly disclose to
                    the person receiving the call that the purpose of the
                    call is to solicit charitable contributions, donations,
                    or gifts, and make such other disclosures as the
                    Commission considers appropriate, including the name and
                    mailing address of the charitable organization on behalf
                    of which the solicitation is made.''; and
                (3) <<NOTE: 15 USC 6106.>> in section 7(4), by inserting ``,
            or a charitable contribution, donation, or gift of money or any
            other thing of value,'' after ``services''.

        (c) Red Cross Members or Agents.--Section 917 of title 18, United
    States Code, is amended by striking ``one year'' and inserting ``5
    years''.
        (d) Telemarketing Fraud.--Section 2325(1) of title 18, United States
    Code, is amended--
                (1) in subparagraph (A), by striking ``or'' at the end;
                (2) in subparagraph (B), by striking the comma at the end
            and inserting ``; or'';
                (3) by inserting after subparagraph (B) the following:
                        ``(C) a charitable contribution, donation, or gift
                    of money or any other thing of value,''; and
                (4) in the flush language, by inserting ``or charitable
            contributor, or donor'' after ``participant''.

    SEC. 1012. <<NOTE: Inter-governmental relations.>> LIMITATION ON
                ISSUANCE OF HAZMAT LICENSES.

        (a) Limitation.--
                (1) In general.--Chapter 51 of title 49, United States Code,
            is amended by inserting after section 5103 the following new
            section:

    ``Sec. 5103a. Limitation on issuance of hazmat licenses

        ``(a) Limitation.--
                ``(1) Issuance of licenses.--A State may not issue to any
            individual a license to operate a motor vehicle transporting in
            commerce a hazardous material unless the Secretary of

    [[Page 115 STAT. 397]]

            Transportation has first determined, upon receipt of a
            notification under subsection (c)(1)(B), that the individual
            does not pose a security risk warranting denial of the license.
                ``(2) Renewals included.--For the purposes of this section,
            the term `issue', with respect to a license, includes renewal of
            the license.

        ``(b) Hazardous Materials Described.--The limitation in subsection
    (a) shall apply with respect to--
                ``(1) any material defined as a hazardous material by the
            Secretary of Transportation; and
                ``(2) any chemical or biological material or agent
            determined by the Secretary of Health and Human Services or the
            Attorney General as being a threat to the national security of
            the United States.

        ``(c) Background Records Check.--
                ``(1) In general.--Upon the request of a State regarding
            issuance of a license described in subsection (a)(1) to an
            individual, the Attorney General--
                        ``(A) shall carry out a background records check
                    regarding the individual; and
                        ``(B) upon completing the background records check,
                    shall notify the Secretary of Transportation of the
                    completion and results of the background records check.
                ``(2) Scope.--A background records check regarding an
            individual under this subsection shall consist of the following:
                        ``(A) A check of the relevant criminal history data
                    bases.
                        ``(B) In the case of an alien, a check of the
                    relevant data bases to determine the status of the alien
                    under the immigration laws of the United States.
                        ``(C) As appropriate, a check of the relevant
                    international data bases through Interpol-U.S. National
                    Central Bureau or other appropriate means.

        ``(d) Reporting Requirement.--Each State shall submit to the
    Secretary of Transportation, at such time and in such manner as the
    Secretary may prescribe, the name, address, and such other information
    as the Secretary may require, concerning--
                ``(1) each alien to whom the State issues a license
            described in subsection (a); and
                ``(2) each other individual to whom such a license is
            issued, as the Secretary may require.

        ``(e) Alien Defined.--In this section, the term `alien' has the
    meaning given the term in section 101(a)(3) of the Immigration and
    Nationality Act.''.
                (2) Clerical amendment.--The table of sections at the
            beginning of such chapter is amended by inserting after the item
            relating to section 5103 the following new item:

    ``5103a. Limitation on issuance of hazmat licenses.''.

        (b) Regulation of Driver Fitness.--Section 31305(a)(5) of title 49,
    United States Code, is amended--
                (1) by striking ``and'' at the end of subparagraph (A);
                (2) by inserting ``and'' at the end of subparagraph (B); and
                (3) by adding at the end the following new subparagraph:
                        ``(C) is licensed by a State to operate the vehicle
                    after having first been determined under section 5103a
                    of this title as not posing a security risk warranting
                    denial of the license.''.

    [[Page 115 STAT. 398]]

        (c) Authorization <<NOTE: 49 USC 5103a note.>> of Appropriations.--
    There is authorized to be appropriated for the Department of
    Transportation and the Department of Justice such amounts as may be
    necessary to carry out section 5103a of title 49, United States Code, as
    added by subsection (a).

    SEC. 1013. EXPRESSING THE SENSE OF THE SENATE CONCERNING THE PROVISION
                OF FUNDING FOR BIOTERRORISM PREPAREDNESS AND RESPONSE.

        (a) Findings.--The Senate finds the following:
                (1) Additional steps must be taken to better prepare the
            United States to respond to potential bioterrorism attacks.
                (2) The threat of a bioterrorist attack is still remote, but
            is increasing for a variety of reasons, including--
                        (A) public pronouncements by Osama bin Laden that it
                    is his religious duty to acquire weapons of mass
                    destruction, including chemical and biological weapons;
                        (B) the callous disregard for innocent human life as
                    demonstrated by the terrorists' attacks of September 11,
                    2001;
                        (C) the resources and motivation of known terrorists
                    and their sponsors and supporters to use biological
                    warfare;
                        (D) recent scientific and technological advances in
                    agent delivery technology such as aerosolization that
                    have made weaponization of certain germs much easier;
                    and
                        (E) the increasing access to the technologies and
                    expertise necessary to construct and deploy chemical and
                    biological weapons of mass destruction.
                (3) Coordination of Federal, State, and local terrorism
            research, preparedness, and response programs must be improved.
                (4) States, local areas, and public health officials must
            have enhanced resources and expertise in order to respond to a
            potential bioterrorist attack.
                (5) National, State, and local communication capacities must
            be enhanced to combat the spread of chemical and biological
            illness.
                (6) Greater resources must be provided to increase the
            capacity of hospitals and local health care workers to respond
            to public health threats.
                (7) Health care professionals must be better trained to
            recognize, diagnose, and treat illnesses arising from
            biochemical attacks.
                (8) Additional supplies may be essential to increase the
            readiness of the United States to respond to a bio-attack.
                (9) Improvements must be made in assuring the safety of the
            food supply.
                (10) New vaccines and treatments are needed to assure that
            we have an adequate response to a biochemical attack.
                (11) Government research, preparedness, and response
            programs need to utilize private sector expertise and resources.
                (12) Now is the time to strengthen our public health system
            and ensure that the United States is adequately prepared to
            respond to potential bioterrorist attacks, natural infectious
            disease outbreaks, and other challenges and potential threats to
            the public health.

    [[Page 115 STAT. 399]]

        (b) Sense of the Senate.--It is the sense of the Senate that the
    United States should make a substantial new investment this year toward
    the following:
                (1) Improving State and local preparedness capabilities by
            upgrading State and local surveillance epidemiology, assisting
            in the development of response plans, assuring adequate staffing
            and training of health professionals to diagnose and care for
            victims of bioterrorism, extending the electronics
            communications networks and training personnel, and improving
            public health laboratories.
                (2) Improving hospital response capabilities by assisting
            hospitals in developing plans for a bioterrorist attack and
            improving the surge capacity of hospitals.
                (3) Upgrading the bioterrorism capabilities of the Centers
            for Disease Control and Prevention through improving rapid
            identification and health early warning systems.
                (4) Improving disaster response medical systems, such as the
            National Disaster Medical System and the Metropolitan Medical
            Response System and Epidemic Intelligence Service.
                (5) Targeting research to assist with the development of
            appropriate therapeutics and vaccines for likely bioterrorist
            agents and assisting with expedited drug and device review
            through the Food and Drug Administration.
                (6) Improving the National Pharmaceutical Stockpile program
            by increasing the amount of necessary therapies (including
            smallpox vaccines and other post-exposure vaccines) and ensuring
            the appropriate deployment of stockpiles.
                (7) Targeting activities to increase food safety at the Food
            and Drug Administration.
                (8) Increasing international cooperation to secure dangerous
            biological agents, increase surveillance, and retrain biological
            warfare specialists.

    SEC. 1014. <<NOTE: 42 USC 3711.>> GRANT PROGRAM FOR STATE AND LOCAL
                DOMESTIC PREPAREDNESS SUPPORT.

        (a) In General.--The Office for State and Local Domestic
    Preparedness Support of the Office of Justice Programs shall make a
    grant to each State, which shall be used by the State, in conjunction
    with units of local government, to enhance the capability of State and
    local jurisdictions to prepare for and respond to terrorist acts
    including events of terrorism involving weapons of mass destruction and
    biological, nuclear, radiological, incendiary, chemical, and explosive
    devices.
        (b) Use of Grant Amounts.--Grants under this section may be used to
    purchase needed equipment and to provide training and technical
    assistance to State and local first responders.
        (c) Authorization of Appropriations.--
                (1) In general.--There is authorized to be appropriated to
            carry out this section such sums as necessary for each of fiscal
            years 2002 through 2007.
                (2) Limitations.--Of the amount made available to carry out
            this section in any fiscal year not more than 3 percent may be
            used by the Attorney General for salaries and administrative
            expenses.
                (3) Minimum amount.--Each State shall be allocated in each
            fiscal year under this section not less than 0.75 percent of the
            total amount appropriated in the fiscal year for grants

    [[Page 115 STAT. 400]]

            pursuant to this section, except that the United States Virgin
            Islands, America Samoa, Guam, and the Northern Mariana Islands
            each shall be allocated 0.25 percent.

    SEC. 1015. EXPANSION AND REAUTHORIZATION OF THE CRIME IDENTIFICATION
                TECHNOLOGY ACT FOR ANTITERRORISM GRANTS TO STATES AND
                LOCALITIES.

        Section 102 of the Crime Identification Technology Act of 1998 (42
    U.S.C. 14601) is amended--
                (1) in subsection (b)--
                        (A) in paragraph (16), by striking ``and'' at the
                    end;
                        (B) in paragraph (17), by striking the period and
                    inserting ``; and''; and
                        (C) by adding at the end the following:
                ``(18) notwithstanding subsection (c), antiterrorism
            purposes as they relate to any other uses under this section or
            for other antiterrorism programs.''; and
                (2) in subsection (e)(1), by striking ``this section'' and
            all that follows and inserting ``this section $250,000,000 for
            each of fiscal years 2002 through 2007.''.

    SEC. 1016. <<NOTE: Critical Infrastructure Protection Act of 2001. 42
                USC 5195c.>> CRITICAL INFRASTRUCTURES PROTECTION.

        (a) Short Title.--This section may be cited as the ``Critical
    Infrastructures Protection Act of 2001''.
        (b) Findings.--Congress makes the following findings:
                (1) The information revolution has transformed the conduct
            of business and the operations of government as well as the
            infrastructure relied upon for the defense and national security
            of the United States.
                (2) Private business, government, and the national security
            apparatus increasingly depend on an interdependent network of
            critical physical and information infrastructures, including
            telecommunications, energy, financial services, water, and
            transportation sectors.
                (3) A continuous national effort is required to ensure the
            reliable provision of cyber and physical infrastructure services
            critical to maintaining the national defense, continuity of
            government, economic prosperity, and quality of life in the
            United States.
                (4) This national effort requires extensive modeling and
            analytic capabilities for purposes of evaluating appropriate
            mechanisms to ensure the stability of these complex and
            interdependent systems, and to underpin policy recommendations,
            so as to achieve the continuous viability and adequate
            protection of the critical infrastructure of the Nation.

        (c) Policy of the United States.--It is the policy of the United
    States--
                (1) that any physical or virtual disruption of the operation
            of the critical infrastructures of the United States be rare,
            brief, geographically limited in effect, manageable, and
            minimally detrimental to the economy, human and government
            services, and national security of the United States;
                (2) that actions necessary to achieve the policy stated in
            paragraph (1) be carried out in a public-private partnership
            involving corporate and non-governmental organizations; and
                (3) to have in place a comprehensive and effective program
            to ensure the continuity of essential Federal Government
            functions under all circumstances.

    [[Page 115 STAT. 401]]

        (d) Establishment of National Competence for Critical Infrastructure
    Protection.--
                (1) Support of critical infrastructure protection and
            continuity by national infrastructure simulation and analysis
            center.--There shall be established the National Infrastructure
            Simulation and Analysis Center (NISAC) to serve as a source of
            national competence to address critical infrastructure
            protection and continuity through support for activities related
            to counterterrorism, threat assessment, and risk mitigation.
                (2) Particular support.--The support provided under
            paragraph (1) shall include the following:
                        (A) Modeling, simulation, and analysis of the
                    systems comprising critical infrastructures, including
                    cyber infrastructure, telecommunications infrastructure,
                    and physical infrastructure, in order to enhance
                    understanding of the large-scale complexity of such
                    systems and to facilitate modification of such systems
                    to mitigate the threats to such systems and to critical
                    infrastructures generally.
                        (B) Acquisition from State and local governments and
                    the private sector of data necessary to create and
                    maintain models of such systems and of critical
                    infrastructures generally.
                        (C) Utilization of modeling, simulation, and
                    analysis under subparagraph (A) to provide education and
                    training to policymakers on matters relating to--
                              (i) the analysis conducted under that
                          subparagraph;
                              (ii) the implications of unintended or
                          unintentional disturbances to critical
                          infrastructures; and
                              (iii) responses to incidents or crises
                          involving critical infrastructures, including the
                          continuity of government and private sector
                          activities through and after such incidents or
                          crises.
                        (D) Utilization of modeling, simulation, and
                    analysis under subparagraph (A) to provide
                    recommendations to policymakers, and to departments and
                    agencies of the Federal Government and private sector
                    persons and entities upon request, regarding means of
                    enhancing the stability of, and preserving, critical
                    infrastructures.
                (3) Recipient of certain support.--Modeling, simulation, and
            analysis provided under this subsection shall be provided, in
            particular, to relevant Federal, State, and local entities
            responsible for critical infrastructure protection and policy.

        (e) Critical Infrastructure Defined.--In this section, the term
    ``critical infrastructure'' means systems and assets, whether physical
    or virtual, so vital to the United States that the incapacity or
    destruction of such systems and assets would have a debilitating impact
    on security, national economic security, national public health or
    safety, or any combination of those matters.

    [[Page 115 STAT. 402]]

        (f) Authorization of Appropriations.--There is hereby authorized for
    the Department of Defense for fiscal year 2002, $20,000,000 for the
    Defense Threat Reduction Agency for activities of the National
    Infrastructure Simulation and Analysis Center under this section in that
    fiscal year.

        Approved October 26, 2001.

    LEGISLATIVE HISTORY--H.R. 3162:
    ---------------------------------------------------------------------------

    CONGRESSIONAL RECORD, Vol. 147 (2001):
                Oct. 23, 24, considered and passed House.
                Oct. 25, considered and passed Senate.
    WEEKLY COMPILATION OF PRESIDENTIAL DOCUMENTS, Vol. 37 (2001):
                Oct. 26, Presidential remarks.

                                      <all>