[Congressional Record Volume 158, Number 113 (Thursday, July 26, 2012)]
[Senate]
[Pages S5495-S5622]
From the Congressional Record Online through the Government Printing Office [www.gpo.gov]




                           TEXT OF AMENDMENTS

  SA 2581. Mrs. HUTCHISON (for herself, Mr. McCain, Mr. Chambliss, Mr. 
Grassley, Ms. Murkowski, Mr. Coats, Mr. Burr, and Mr. Johnson of 
Wisconsin) submitted an amendment intended to be proposed by her to the 
bill S. 3414, to enhance the security and resiliency of the cyber and 
communications infrastructure of the United States; which was ordered 
to lie on the table; as follows:

       Strike all after the enacting clause and insert the 
     following:

     SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

       (a) Short Title.--This Act may be cited as the 
     ``Strengthening and Enhancing Cybersecurity by Using 
     Research, Education, Information, and Technology Act of 
     2012'' or ``SECURE IT''.
       (b) Table of Contents.--The table of contents of this Act 
     is as follows:

Sec. 1. Short title; table of contents.

       TITLE I--FACILITATING SHARING OF CYBER THREAT INFORMATION

Sec. 101. Definitions.
Sec. 102. Authorization to share cyber threat information.
Sec. 103. Information sharing by the Federal government.
Sec. 104. Construction.
Sec. 105. Report on implementation.
Sec. 106. Inspector General review.
Sec. 107. Technical amendments.
Sec. 108. Access to classified information.

     TITLE II--COORDINATION OF FEDERAL INFORMATION SECURITY POLICY

Sec. 201. Coordination of Federal information security policy.
Sec. 202. Management of information technology.
Sec. 203. No new funding.
Sec. 204. Technical and conforming amendments.
Sec. 205. Clarification of authorities.

                     TITLE III--CRIMINAL PENALTIES

Sec. 301. Penalties for fraud and related activity in connection with 
              computers.
Sec. 302. Trafficking in passwords.
Sec. 303. Conspiracy and attempted computer fraud offenses.
Sec. 304. Criminal and civil forfeiture for fraud and related activity 
              in connection with computers.
Sec. 305. Damage to critical infrastructure computers.
Sec. 306. Limitation on actions involving unauthorized use.
Sec. 307. No new funding.

            TITLE IV--CYBERSECURITY RESEARCH AND DEVELOPMENT

Sec. 401. National High-Performance Computing Program planning and 
              coordination.
Sec. 402. Research in areas of national importance.
Sec. 403. Program improvements.
Sec. 404. Improving education of networking and information technology, 
              including high performance computing.
Sec. 405. Conforming and technical amendments to the High-Performance 
              Computing Act of 1991.
Sec. 406. Federal cyber scholarship-for-service program.
Sec. 407. Study and analysis of certification and training of 
              information infrastructure professionals.
Sec. 408. International cybersecurity technical standards.
Sec. 409. Identity management research and development.
Sec. 410. Federal cybersecurity research and development.

       TITLE I--FACILITATING SHARING OF CYBER THREAT INFORMATION

     SEC. 101. DEFINITIONS.

       In this title:
       (1) Agency.--The term ``agency'' has the meaning given the 
     term in section 3502 of title 44, United States Code.
       (2) Antitrust laws.--The term ``antitrust laws''--
       (A) has the meaning given the term in section 1(a) of the 
     Clayton Act (15 U.S.C. 12(a));
       (B) includes section 5 of the Federal Trade Commission Act 
     (15 U.S.C. 45) to the extent that section 5 of that Act 
     applies to unfair methods of competition; and
       (C) includes any State law that has the same intent and 
     effect as the laws under subparagraphs (A) and (B).
       (3) Countermeasure.--The term ``countermeasure'' means an 
     automated or a manual action with defensive intent to 
     mitigate cyber threats.
       (4) Cyber threat information.--The term ``cyber threat 
     information'' means information that indicates or describes--
       (A) a technical or operation vulnerability or a cyber 
     threat mitigation measure;
       (B) an action or operation to mitigate a cyber threat;
       (C) malicious reconnaissance, including anomalous patterns 
     of network activity that appear to be transmitted for the 
     purpose of gathering technical information related to a 
     cybersecurity threat;
       (D) a method of defeating a technical control;
       (E) a method of defeating an operational control;
       (F) network activity or protocols known to be associated 
     with a malicious cyber actor or that signify malicious cyber 
     intent;
       (G) a method of causing a user with legitimate access to an 
     information system or information that is stored on, 
     processed by, or transiting an information system to 
     inadvertently enable the defeat of a technical or operational 
     control;
       (H) any other attribute of a cybersecurity threat or cyber 
     defense information that would foster situational awareness 
     of the United States cybersecurity posture, if disclosure of 
     such attribute or information is not otherwise prohibited by 
     law;
       (I) the actual or potential harm caused by a cyber 
     incident, including information exfiltrated when it is 
     necessary in order to identify or describe a cybersecurity 
     threat; or
       (J) any combination of subparagraphs (A) through (I).
       (5) Cybersecurity center.--The term ``cybersecurity 
     center'' means the Department of Defense Cyber Crime Center, 
     the Intelligence Community Incident Response Center, the 
     United States Cyber Command Joint

[[Page S5496]]

     Operations Center, the National Cyber Investigative Joint 
     Task Force, the National Security Agency/Central Security 
     Service Threat Operations Center, the National Cybersecurity 
     and Communications Integration Center, and any successor 
     center.
       (6) Cybersecurity system.--The term ``cybersecurity 
     system'' means a system designed or employed to ensure the 
     integrity, confidentiality, or availability of, or to 
     safeguard, a system or network, including measures intended 
     to protect a system or network from--
       (A) efforts to degrade, disrupt, or destroy such system or 
     network; or
       (B) theft or misappropriations of private or government 
     information, intellectual property, or personally 
     identifiable information.
       (7) Entity.--
       (A) In general.--The term ``entity'' means any private 
     entity, non-Federal government agency or department, or 
     State, tribal, or local government agency or department 
     (including an officer, employee, or agent thereof).
       (B) Inclusions.--The term ``entity'' includes a government 
     agency or department (including an officer, employee, or 
     agent thereof) of the District of Columbia, the Commonwealth 
     of Puerto Rico, the Virgin Islands, Guam, American Samoa, the 
     Northern Mariana Islands, and any other territory or 
     possession of the United States.
       (8) Federal information system.--The term ``Federal 
     information system'' means an information system of a Federal 
     department or agency used or operated by an executive agency, 
     by a contractor of an executive agency, or by another 
     organization on behalf of an executive agency.
       (9) Information security.--The term ``information 
     security'' means protecting information and information 
     systems from disruption or unauthorized access, use, 
     disclosure, modification, or destruction in order to 
     provide--
       (A) integrity, by guarding against improper information 
     modification or destruction, including by ensuring 
     information nonrepudiation and authenticity;
       (B) confidentiality, by preserving authorized restrictions 
     on access and disclosure, including means for protecting 
     personal privacy and proprietary information; or
       (C) availability, by ensuring timely and reliable access to 
     and use of information.
       (10) Information system.--The term ``information system'' 
     has the meaning given the term in section 3502 of title 44, 
     United States Code.
       (11) Local government.--The term ``local government'' means 
     any borough, city, county, parish, town, township, village, 
     or other general purpose political subdivision of a State.
       (12) Malicious reconnaissance.--The term ``malicious 
     reconnaissance'' means a method for actively probing or 
     passively monitoring an information system for the purpose of 
     discerning technical vulnerabilities of the information 
     system, if such method is associated with a known or 
     suspected cybersecurity threat.
       (13) Operational control.--The term ``operational control'' 
     means a security control for an information system that 
     primarily is implemented and executed by people.
       (14) Operational vulnerability.--The term ``operational 
     vulnerability'' means any attribute of policy, process, or 
     procedure that could enable or facilitate the defeat of an 
     operational control.
       (15) Private entity.--The term ``private entity'' means any 
     individual or any private group, organization, or 
     corporation, including an officer, employee, or agent 
     thereof.
       (16) Significant cyber incident.--The term ``significant 
     cyber incident'' means a cyber incident resulting in, or an 
     attempted cyber incident that, if successful, would have 
     resulted in--
       (A) the exfiltration from a Federal information system of 
     data that is essential to the operation of the Federal 
     information system; or
       (B) an incident in which an operational or technical 
     control essential to the security or operation of a Federal 
     information system was defeated.
       (17) Technical control.--The term ``technical control'' 
     means a hardware or software restriction on, or audit of, 
     access or use of an information system or information that is 
     stored on, processed by, or transiting an information system 
     that is intended to ensure the confidentiality, integrity, or 
     availability of that system.
       (18) Technical vulnerability.--The term ``technical 
     vulnerability'' means any attribute of hardware or software 
     that could enable or facilitate the defeat of a technical 
     control.
       (19) Tribal.--The term ``tribal'' has the meaning given the 
     term ``Indian tribe'' in section 4 of the Indian Self-
     Determination and Education Assistance Act (25 U.S.C. 450b).

     SEC. 102. AUTHORIZATION TO SHARE CYBER THREAT INFORMATION.

       (a) Voluntary Disclosure.--
       (1) Private entities.--Notwithstanding any other provision 
     of law, a private entity may, for the purpose of preventing, 
     investigating, or otherwise mitigating threats to information 
     security, on its own networks, or as authorized by another 
     entity, on such entity's networks, employ countermeasures and 
     use cybersecurity systems in order to obtain, identify, or 
     otherwise possess cyber threat information.
       (2) Entities.--Notwithstanding any other provision of law, 
     an entity may disclose cyber threat information to--
       (A) a cybersecurity center; or
       (B) any other entity in order to assist with preventing, 
     investigating, or otherwise mitigating threats to information 
     security.
       (3) Information security providers.--If the cyber threat 
     information described in paragraph (1) is obtained, 
     identified, or otherwise possessed in the course of providing 
     information security products or services under contract to 
     another entity, that entity shall be given, at any time prior 
     to disclosure of such information, a reasonable opportunity 
     to authorize or prevent such disclosure, to request 
     anonymization of such information, or to request that 
     reasonable efforts be made to safeguard such information that 
     identifies specific persons from unauthorized access or 
     disclosure.
       (b) Significant Cyber Incidents Involving Federal 
     Information Systems.--
       (1) In general.--An entity providing electronic 
     communication services, remote computing services, or 
     information security services to a Federal department or 
     agency shall inform the Federal department or agency of a 
     significant cyber incident involving the Federal information 
     system of that Federal department or agency that--
       (A) is directly known to the entity as a result of 
     providing such services;
       (B) is directly related to the provision of such services 
     by the entity; and
       (C) as determined by the entity, has impeded or will impede 
     the performance of a critical mission of the Federal 
     department or agency.
       (2) Advance coordination.--A Federal department or agency 
     receiving the services described in paragraph (1) shall 
     coordinate in advance with an entity described in paragraph 
     (1) to develop the parameters of any information that may be 
     provided under paragraph (1), including clarification of the 
     type of significant cyber incident that will impede the 
     performance of a critical mission of the Federal department 
     or agency.
       (3) Report.--A Federal department or agency shall report 
     information provided under this subsection to a cybersecurity 
     center.
       (4) Construction.--Any information provided to a 
     cybersecurity center under paragraph (3) shall be treated in 
     the same manner as information provided to a cybersecurity 
     center under subsection (a).
       (c) Information Shared With or Provided to a Cybersecurity 
     Center.--Cyber threat information provided to a cybersecurity 
     center under this section--
       (1) may be disclosed to, retained by, and used by, 
     consistent with otherwise applicable Federal law, any Federal 
     agency or department, component, officer, employee, or agent 
     of the Federal government for a cybersecurity purpose, a 
     national security purpose, or in order to prevent, 
     investigate, or prosecute any of the offenses listed in 
     section 2516 of title 18, United States Code, and such 
     information shall not be disclosed to, retained by, or used 
     by any Federal agency or department for any use not permitted 
     under this paragraph;
       (2) may, with the prior written consent of the entity 
     submitting such information, be disclosed to and used by a 
     State, tribal, or local government or government agency for 
     the purpose of protecting information systems, or in 
     furtherance of preventing, investigating, or prosecuting a 
     criminal act, except that if the need for immediate 
     disclosure prevents obtaining written consent, such consent 
     may be provided orally with subsequent documentation of such 
     consent;
       (3) shall be considered the commercial, financial, or 
     proprietary information of the entity providing such 
     information to the Federal government and any disclosure 
     outside the Federal government may only be made upon the 
     prior written consent by such entity and shall not constitute 
     a waiver of any applicable privilege or protection provided 
     by law, except that if the need for immediate disclosure 
     prevents obtaining written consent, such consent may be 
     provided orally with subsequent documentation of such 
     consent;
       (4) shall be deemed voluntarily shared information and 
     exempt from disclosure under section 552 of title 5, United 
     States Code, and any State, tribal, or local law requiring 
     disclosure of information or records;
       (5) shall be, without discretion, withheld from the public 
     under section 552(b)(3)(B) of title 5, United States Code, 
     and any State, tribal, or local law requiring disclosure of 
     information or records;
       (6) shall not be subject to the rules of any Federal agency 
     or department or any judicial doctrine regarding ex parte 
     communications with a decision-making official;
       (7) shall not, if subsequently provided to a State, tribal, 
     or local government or government agency, otherwise be 
     disclosed or distributed to any entity by such State, tribal, 
     or local government or government agency without the prior 
     written consent of the entity submitting such information, 
     notwithstanding any State, tribal, or local law requiring 
     disclosure of information or records, except that if the need 
     for immediate disclosure prevents obtaining written consent, 
     such consent may be provided orally with subsequent 
     documentation of such consent; and
       (8) shall not be directly used by any Federal, State, 
     tribal, or local department or agency to regulate the lawful 
     activities of an entity, including activities relating to 
     obtaining, identifying, or otherwise possessing

[[Page S5497]]

     cyber threat information, except that the procedures required 
     to be developed and implemented under this title shall not be 
     considered regulations within the meaning of this paragraph.
       (d) Procedures Relating to Information Sharing With a 
     Cybersecurity Center.--Not later than 60 days after the date 
     of enactment of this Act, the heads of each department or 
     agency containing a cybersecurity center shall jointly 
     develop, promulgate, and submit to Congress procedures to 
     ensure that cyber threat information shared with or provided 
     to--
       (1) a cybersecurity center under this section--
       (A) may be submitted to a cybersecurity center by an 
     entity, to the greatest extent possible, through a uniform, 
     publicly available process or format that is easily 
     accessible on the website of such cybersecurity center, and 
     that includes the ability to provide relevant details about 
     the cyber threat information and written consent to any 
     subsequent disclosures authorized by this paragraph;
       (B) shall immediately be further shared with each 
     cybersecurity center in order to prevent, investigate, or 
     otherwise mitigate threats to information security across the 
     Federal government;
       (C) is handled by the Federal government in a reasonable 
     manner, including consideration of the need to protect the 
     privacy and civil liberties of individuals through 
     anonymization or other appropriate methods, while fully 
     accomplishing the objectives of this title, and the 
     Federal government may undertake efforts consistent with 
     this subparagraph to limit the impact on privacy and civil 
     liberties of the sharing of cyber threat information with 
     the Federal government; and
       (D) except as provided in this section, shall only be used, 
     disclosed, or handled in accordance with the provisions of 
     subsection (c); and
       (2) a Federal agency or department under subsection (b) is 
     provided immediately to a cybersecurity center in order to 
     prevent, investigate, or otherwise mitigate threats to 
     information security across the Federal government.
       (e) Information Shared Between Entities.--
       (1) In general.--An entity sharing cyber threat information 
     with another entity under this title may restrict the use or 
     sharing of such information by such other entity.
       (2) Further sharing.--Cyber threat information shared by 
     any entity with another entity under this title--
       (A) shall only be further shared in accordance with any 
     restrictions placed on the sharing of such information by the 
     entity authorizing such sharing, such as appropriate 
     anonymization of such information; and
       (B) may not be used by any entity to gain an unfair 
     competitive advantage to the detriment of the entity 
     authorizing the sharing of such information, except that the 
     conduct described in paragraph (3) shall not constitute 
     unfair competitive conduct.
       (3) Information shared with state, tribal, or local 
     government or government agency.--Cyber threat information 
     shared with a State, tribal, or local government or 
     government agency under this title--
       (A) may, with the prior written consent of the entity 
     sharing such information, be disclosed to and used by a 
     State, tribal, or local government or government agency for 
     the purpose of protecting information systems, or in 
     furtherance of preventing, investigating, or prosecuting a 
     criminal act, except if the need for immediate disclosure 
     prevents obtaining written consent, consent may be provided 
     orally with subsequent documentation of the consent;
       (B) shall be deemed voluntarily shared information and 
     exempt from disclosure under any State, tribal, or local law 
     requiring disclosure of information or records;
       (C) shall not be disclosed or distributed to any entity by 
     the State, tribal, or local government or government agency 
     without the prior written consent of the entity submitting 
     such information, notwithstanding any State, tribal, or local 
     law requiring disclosure of information or records, except if 
     the need for immediate disclosure prevents obtaining written 
     consent, consent may be provided orally with subsequent 
     documentation of the consent; and
       (D) shall not be directly used by any State, tribal, or 
     local department or agency to regulate the lawful activities 
     of an entity, including activities relating to obtaining, 
     identifying, or otherwise possessing cyber threat 
     information, except that the procedures required to be 
     developed and implemented under this title shall not be 
     considered regulations within the meaning of this 
     subparagraph.
       (4) Antitrust exemption.--The exchange or provision of 
     cyber threat information or assistance between 2 or more 
     private entities under this title shall not be considered a 
     violation of any provision of antitrust laws if exchanged or 
     provided in order to assist with--
       (A) facilitating the prevention, investigation, or 
     mitigation of threats to information security; or
       (B) communicating or disclosing of cyber threat information 
     to help prevent, investigate or otherwise mitigate the 
     effects of a threat to information security.
       (5) No right or benefit.--The provision of cyber threat 
     information to an entity under this section shall not create 
     a right or a benefit to similar information by such entity or 
     any other entity.
       (f) Federal Preemption.--
       (1) In general.--This section supersedes any statute or 
     other law of a State or political subdivision of a State that 
     restricts or otherwise expressly regulates an activity 
     authorized under this section.
       (2) State law enforcement.--Nothing in this section shall 
     be construed to supersede any statute or other law of a State 
     or political subdivision of a State concerning the use of 
     authorized law enforcement techniques.
       (3) Public disclosure.--No information shared with or 
     provided to a State, tribal, or local government or 
     government agency pursuant to this section shall be made 
     publicly available pursuant to any State, tribal, or local 
     law requiring disclosure of information or records.
       (g) Civil and Criminal Liability.--
       (1) General protections.--
       (A) Private entities.--No cause of action shall lie or be 
     maintained in any court against any private entity for--
       (i) the use of countermeasures and cybersecurity systems as 
     authorized by this title;
       (ii) the use, receipt, or disclosure of any cyber threat 
     information as authorized by this title; or
       (iii) the subsequent actions or inactions of any lawful 
     recipient of cyber threat information provided by such 
     private entity.
       (B) Entities.--No cause of action shall lie or be 
     maintained in any court against any entity for--
       (i) the use, receipt, or disclosure of any cyber threat 
     information as authorized by this title; or
       (ii) the subsequent actions or inactions of any lawful 
     recipient of cyber threat information provided by such 
     entity.
       (2) Construction.--Nothing in this subsection shall be 
     construed as creating any immunity against, or otherwise 
     affecting, any action brought by the Federal government, or 
     any agency or department thereof, to enforce any law, 
     executive order, or procedure governing the appropriate 
     handling, disclosure, and use of classified information.
       (h) Otherwise Lawful Disclosures.--Nothing in this section 
     shall be construed to limit or prohibit otherwise lawful 
     disclosures of communications, records, or other information 
     by a private entity to any other governmental or private 
     entity not covered under this section.
       (i) Whistleblower Protection.--Nothing in this Act shall be 
     construed to preempt or preclude any employee from exercising 
     rights currently provided under any whistleblower law, rule, 
     or regulation.
       (j) Relationship to Other Laws.--The submission of cyber 
     threat information under this section to a cybersecurity 
     center shall not affect any requirement under any other 
     provision of law for an entity to provide information to the 
     Federal government.

     SEC. 103. INFORMATION SHARING BY THE FEDERAL GOVERNMENT.

       (a) Classified Information.--
       (1) Procedures.--Consistent with the protection of 
     intelligence sources and methods, and as otherwise determined 
     appropriate, the Director of National Intelligence and the 
     Secretary of Defense, in consultation with the heads of the 
     appropriate Federal departments or agencies, shall develop 
     and promulgate procedures to facilitate and promote--
       (A) the immediate sharing, through the cybersecurity 
     centers, of classified cyber threat information in the 
     possession of the Federal government with appropriately 
     cleared representatives of any appropriate entity; and
       (B) the declassification and immediate sharing, through the 
     cybersecurity centers, with any entity or, if appropriate, 
     public availability of cyber threat information in the 
     possession of the Federal government;
       (2) Handling of classified information.--The procedures 
     developed under paragraph (1) shall ensure that each entity 
     receiving classified cyber threat information pursuant to 
     this section has acknowledged in writing the ongoing 
     obligation to comply with all laws, executive orders, and 
     procedures concerning the appropriate handling, disclosure, 
     or use of classified information.
       (b) Unclassified Cyber Threat Information.--The heads of 
     each department or agency containing a cybersecurity center 
     shall jointly develop and promulgate procedures that ensure 
     that, consistent with the provisions of this section, 
     unclassified, including controlled unclassified, cyber threat 
     information in the possession of the Federal government--
       (1) is shared, through the cybersecurity centers, in an 
     immediate and adequate manner with appropriate entities; and
       (2) if appropriate, is made publicly available.
       (c) Development of Procedures.--
       (1) In general.--The procedures developed under this 
     section shall incorporate, to the greatest extent possible, 
     existing processes utilized by sector specific information 
     sharing and analysis centers.
       (2) Coordination with entities.--In developing the 
     procedures required under this section, the Director of 
     National Intelligence and the heads of each department or 
     agency containing a cybersecurity center shall coordinate 
     with appropriate entities to ensure that protocols are 
     implemented that will facilitate and promote the sharing of 
     cyber threat information by the Federal government.

[[Page S5498]]

       (d) Additional Responsibilities of Cybersecurity Centers.--
     Consistent with section 102, a cybersecurity center shall--
       (1) facilitate information sharing, interaction, and 
     collaboration among and between cybersecurity centers and--
       (A) other Federal entities;
       (B) any entity; and
       (C) international partners, in consultation with the 
     Secretary of State;
       (2) disseminate timely and actionable cybersecurity threat, 
     vulnerability, mitigation, and warning information, including 
     alerts, advisories, indicators, signatures, and mitigation 
     and response measures, to improve the security and protection 
     of information systems; and
       (3) coordinate with other Federal entities, as appropriate, 
     to integrate information from across the Federal government 
     to provide situational awareness of the cybersecurity posture 
     of the United States.
       (e) Sharing Within the Federal Government.--The heads of 
     appropriate Federal departments and agencies shall ensure 
     that cyber threat information in the possession of such 
     Federal departments or agencies that relates to the 
     prevention, investigation, or mitigation of threats to 
     information security across the Federal government is shared 
     effectively with the cybersecurity centers.
       (f) Submission to Congress.--Not later than 60 days after 
     the date of enactment of this Act, the Director of National 
     Intelligence, in coordination with the appropriate head of a 
     department or an agency containing a cybersecurity center, 
     shall submit the procedures required by this section to 
     Congress.

     SEC. 104. CONSTRUCTION.

       (a) Information Sharing Relationships.--Nothing in this 
     title shall be construed--
       (1) to limit or modify an existing information sharing 
     relationship;
       (2) to prohibit a new information sharing relationship;
       (3) to require a new information sharing relationship 
     between any entity and the Federal government, except as 
     specified under section 102(b); or
       (4) to modify the authority of a department or agency of 
     the Federal government to protect sources and methods and the 
     national security of the United States.
       (b) Anti-tasking Restriction.--Nothing in this title shall 
     be construed to permit the Federal government--
       (1) to require an entity to share information with the 
     Federal government, except as expressly provided under 
     section 102(b); or
       (2) to condition the sharing of cyber threat information 
     with an entity on such entity's provision of cyber threat 
     information to the Federal government.
       (c) No Liability for Non-participation.--Nothing in this 
     title shall be construed to subject any entity to liability 
     for choosing not to engage in the voluntary activities 
     authorized under this title.
       (d) Use and Retention of Information.--Nothing in this 
     title shall be construed to authorize, or to modify any 
     existing authority of, a department or agency of the Federal 
     government to retain or use any information shared under 
     section 102 for any use other than a use permitted under 
     subsection 102(c)(1).
       (e) No New Funding.--An applicable Federal agency shall 
     carry out the provisions of this title with existing 
     facilities and funds otherwise available, through such means 
     as the head of the agency considers appropriate.

     SEC. 105. REPORT ON IMPLEMENTATION.

       (a) Content of Report.--Not later than 1 year after the 
     date of enactment of this Act, and biennially thereafter, the 
     heads of each department or agency containing a cybersecurity 
     center shall jointly submit, in coordination with the privacy 
     and civil liberties officials of such departments or agencies 
     and the Privacy and Civil Liberties Oversight Board, a 
     detailed report to Congress concerning the implementation of 
     this title, including--
       (1) an assessment of the sufficiency of the procedures 
     developed under section 103 of this Act in ensuring that 
     cyber threat information in the possession of the Federal 
     government is provided in an immediate and adequate manner to 
     appropriate entities or, if appropriate, is made publicly 
     available;
       (2) an assessment of whether information has been 
     appropriately classified and an accounting of the number of 
     security clearances authorized by the Federal government for 
     purposes of this title;
       (3) a review of the type of cyber threat information shared 
     with a cybersecurity center under section 102 of this Act, 
     including whether such information meets the definition of 
     cyber threat information under section 101, the degree to 
     which such information may impact the privacy and civil 
     liberties of individuals, any appropriate metrics to 
     determine any impact of the sharing of such information with 
     the Federal government on privacy and civil liberties, and 
     the adequacy of any steps taken to reduce such impact;
       (4) a review of actions taken by the Federal government 
     based on information provided to a cybersecurity center under 
     section 102 of this Act, including the appropriateness of any 
     subsequent use under section 102(c)(1) of this Act and 
     whether there was inappropriate stovepiping within the 
     Federal government of any such information;
       (5) a description of any violations of the requirements of 
     this title by the Federal government;
       (6) a classified list of entities that received classified 
     information from the Federal government under section 103 of 
     this Act and a description of any indication that such 
     information may not have been appropriately handled;
       (7) a summary of any breach of information security, if 
     known, attributable to a specific failure by any entity or 
     the Federal government to act on cyber threat information in 
     the possession of such entity or the Federal government that 
     resulted in substantial economic harm or injury to a specific 
     entity or the Federal government; and
       (8) any recommendation for improvements or modifications to 
     the authorities under this title.
       (b) Form of Report.--The report under subsection (a) shall 
     be submitted in unclassified form, but shall include a 
     classified annex.

     SEC. 106. INSPECTOR GENERAL REVIEW.

       (a) In General.--The Council of the Inspectors General on 
     Integrity and Efficiency are authorized to review compliance 
     by the cybersecurity centers, and by any Federal department 
     or agency receiving cyber threat information from such 
     cybersecurity centers, with the procedures required under 
     section 102 of this Act.
       (b) Scope of Review.--The review under subsection (a) shall 
     consider whether the Federal government has handled such 
     cyber threat information in a reasonable manner, including 
     consideration of the need to protect the privacy and civil 
     liberties of individuals through anonymization or other 
     appropriate methods, while fully accomplishing the objectives 
     of this title.
       (c) Report to Congress.--Each review conducted under this 
     section shall be provided to Congress not later than 30 days 
     after the date of completion of the review.

     SEC. 107. TECHNICAL AMENDMENTS.

       Section 552(b) of title 5, United States Code, is amended--
       (1) in paragraph (8), by striking ``or'';
       (2) in paragraph (9), by striking ``wells.'' and inserting 
     ``wells; or''; and
       (3) by adding at the end the following:
       ``(10) information shared with or provided to a 
     cybersecurity center under section 102 of title I of the 
     Strengthening and Enhancing Cybersecurity by Using Research, 
     Education, Information, and Technology Act of 2012.''.

     SEC. 108. ACCESS TO CLASSIFIED INFORMATION.

       (a) Authorization Required.--No person shall be provided 
     with access to classified information (as defined in section 
     6.1 of Executive Order 13526 (50 U.S.C. 435 note; relating to 
     classified national security information)) relating to cyber 
     security threats or cyber security vulnerabilities under this 
     title without the appropriate security clearances.
       (b) Security Clearances.--The appropriate Federal agencies 
     or departments shall, consistent with applicable procedures 
     and requirements, and if otherwise deemed appropriate, assist 
     an individual in timely obtaining an appropriate security 
     clearance where such individual has been determined to be 
     eligible for such clearance and has a need-to-know (as 
     defined in section 6.1 of that Executive Order) classified 
     information to carry out this title.

     TITLE II--COORDINATION OF FEDERAL INFORMATION SECURITY POLICY

     SEC. 201. COORDINATION OF FEDERAL INFORMATION SECURITY 
                   POLICY.

       (a) In General.--Chapter 35 of title 44, United States 
     Code, is amended by striking subchapters II and III and 
     inserting the following:

                 ``SUBCHAPTER II--INFORMATION SECURITY

     ``Sec. 3551. Purposes

       ``The purposes of this subchapter are--
       ``(1) to provide a comprehensive framework for ensuring the 
     effectiveness of information security controls over 
     information resources that support Federal operations and 
     assets;
       ``(2) to recognize the highly networked nature of the 
     current Federal computing environment and provide effective 
     government-wide management of policies, directives, 
     standards, and guidelines, as well as effective and nimble 
     oversight of and response to information security risks, 
     including coordination of information security efforts 
     throughout the Federal civilian, national security, and law 
     enforcement communities;
       ``(3) to provide for development and maintenance of 
     controls required to protect agency information and 
     information systems and contribute to the overall improvement 
     of agency information security posture;
       ``(4) to provide for the development of tools and methods 
     to assess and respond to real-time situational risk for 
     Federal information system operations and assets; and
       ``(5) to provide a mechanism for improving agency 
     information security programs through continuous monitoring 
     of agency information systems and streamlined reporting 
     requirements rather than overly prescriptive manual 
     reporting.

     ``Sec. 3552. Definitions

       ``In this subchapter:
       ``(1) Adequate security.--The term `adequate security' 
     means security commensurate with the risk and magnitude of 
     the harm resulting from the unauthorized access to or loss, 
     misuse, destruction, or modification of information.
       ``(2) Agency.--The term `agency' has the meaning given the 
     term in section 3502 of title 44.

[[Page S5499]]

       ``(3) Cybersecurity center.--The term `cybersecurity 
     center' means the Department of Defense Cyber Crime Center, 
     the Intelligence Community Incident Response Center, the 
     United States Cyber Command Joint Operations Center, the 
     National Cyber Investigative Joint Task Force, the National 
     Security Agency/Central Security Service Threat Operations 
     Center, the National Cybersecurity and Communications 
     Integration Center, and any successor center.
       ``(4) Cyber threat information.--The term `cyber threat 
     information' means information that indicates or describes--
       ``(A) a technical or operation vulnerability or a cyber 
     threat mitigation measure;
       ``(B) an action or operation to mitigate a cyber threat;
       ``(C) malicious reconnaissance, including anomalous 
     patterns of network activity that appear to be transmitted 
     for the purpose of gathering technical information related to 
     a cybersecurity threat;
       ``(D) a method of defeating a technical control;
       ``(E) a method of defeating an operational control;
       ``(F) network activity or protocols known to be associated 
     with a malicious cyber actor or that signify malicious cyber 
     intent;
       ``(G) a method of causing a user with legitimate access to 
     an information system or information that is stored on, 
     processed by, or transiting an information system to 
     inadvertently enable the defeat of a technical or operational 
     control;
       ``(H) any other attribute of a cybersecurity threat or 
     cyber defense information that would foster situational 
     awareness of the United States cybersecurity posture, if 
     disclosure of such attribute or information is not otherwise 
     prohibited by law;
       ``(I) the actual or potential harm caused by a cyber 
     incident, including information exfiltrated when it is 
     necessary in order to identify or describe a cybersecurity 
     threat; or
       ``(J) any combination of subparagraphs (A) through (I).
       ``(5) Director.--The term `Director' means the Director of 
     the Office of Management and Budget unless otherwise 
     specified.
       ``(6) Environment of operation.--The term `environment of 
     operation' means the information system and environment in 
     which those systems operate, including changing threats, 
     vulnerabilities, technologies, and missions and business 
     practices.
       ``(7) Federal information system.--The term `Federal 
     information system' means an information system used or 
     operated by an executive agency, by a contractor of an 
     executive agency, or by another organization on behalf of an 
     executive agency.
       ``(8) Incident.--The term `incident' means an occurrence 
     that--
       ``(A) actually or imminently jeopardizes the integrity, 
     confidentiality, or availability of an information system or 
     the information that system controls, processes, stores, or 
     transmits; or
       ``(B) constitutes a violation of law or an imminent threat 
     of violation of a law, a security policy, a security 
     procedure, or an acceptable use policy.
       ``(9) Information resources.--The term `information 
     resources' has the meaning given the term in section 3502 of 
     title 44.
       ``(10) Information security.--The term `information 
     security' means protecting information and information 
     systems from disruption or unauthorized access, use, 
     disclosure, modification, or destruction in order to 
     provide--
       ``(A) integrity, by guarding against improper information 
     modification or destruction, including by ensuring 
     information nonrepudiation and authenticity;
       ``(B) confidentiality, by preserving authorized 
     restrictions on access and disclosure, including means for 
     protecting personal privacy and proprietary information; or
       ``(C) availability, by ensuring timely and reliable access 
     to and use of information.
       ``(11) Information system.--The term `information system' 
     has the meaning given the term in section 3502 of title 44.
       ``(12) Information technology.--The term `information 
     technology' has the meaning given the term in section 11101 
     of title 40.
       ``(13) Malicious reconnaissance.--The term `malicious 
     reconnaissance' means a method for actively probing or 
     passively monitoring an information system for the purpose of 
     discerning technical vulnerabilities of the information 
     system, if such method is associated with a known or 
     suspected cybersecurity threat.
       ``(14) National security system.--
       ``(A) In general.--The term `national security system' 
     means any information system (including any 
     telecommunications system) used or operated by an agency or 
     by a contractor of an agency, or other organization on behalf 
     of an agency--
       ``(i) the function, operation, or use of which--

       ``(I) involves intelligence activities;

       ``(II) involves cryptologic activities related to national 
     security;
       ``(III) involves command and control of military forces;
       ``(IV) involves equipment that is an integral part of a 
     weapon or weapons system; or
       ``(V) subject to subparagraph (B), is critical to the 
     direct fulfillment of military or intelligence missions; or

       ``(ii) is protected at all times by procedures established 
     for information that have been specifically authorized under 
     criteria established by an Executive Order or an Act of 
     Congress to be kept classified in the interest of national 
     defense or foreign policy.
       ``(B) Limitation.--Subparagraph (A)(i)(V) does not include 
     a system that is to be used for routine administrative and 
     business applications (including payroll, finance, logistics, 
     and personnel management applications).
       ``(15) Operational control.--The term `operational control' 
     means a security control for an information system that 
     primarily is implemented and executed by people.
       ``(16) Person.--The term `person' has the meaning given the 
     term in section 3502 of title 44.
       ``(17) Secretary.--The term `Secretary' means the Secretary 
     of Commerce unless otherwise specified.
       ``(18) Security control.--The term `security control' means 
     the management, operational, and technical controls, 
     including safeguards or countermeasures, prescribed for an 
     information system to protect the confidentiality, integrity, 
     and availability of the system and its information.
       ``(19) Significant cyber incident.--The term `significant 
     cyber incident' means a cyber incident resulting in, or an 
     attempted cyber incident that, if successful, would have 
     resulted in--
       ``(A) the exfiltration from a Federal information system of 
     data that is essential to the operation of the Federal 
     information system; or
       ``(B) an incident in which an operational or technical 
     control essential to the security or operation of a Federal 
     information system was defeated.
       ``(20) Technical control.--The term `technical control' 
     means a hardware or software restriction on, or audit of, 
     access or use of an information system or information that is 
     stored on, processed by, or transiting an information system 
     that is intended to ensure the confidentiality, integrity, or 
     availability of that system.

     ``Sec. 3553. Federal information security authority and 
       coordination

       ``(a) In General.--The Secretary, in consultation with the 
     Secretary of Homeland Security, shall--
       ``(1) issue compulsory and binding policies and directives 
     governing agency information security operations, and require 
     implementation of such policies and directives, including--
       ``(A) policies and directives consistent with the standards 
     and guidelines promulgated under section 11331 of title 40 to 
     identify and provide information security protections 
     prioritized and commensurate with the risk and impact 
     resulting from the unauthorized access, use, disclosure, 
     disruption, modification, or destruction of--
       ``(i) information collected or maintained by or on behalf 
     of an agency; or
       ``(ii) information systems used or operated by an agency or 
     by a contractor of an agency or other organization on behalf 
     of an agency;
       ``(B) minimum operational requirements for Federal 
     Government to protect agency information systems and provide 
     common situational awareness across all agency information 
     systems;
       ``(C) reporting requirements, consistent with relevant law, 
     regarding information security incidents and cyber threat 
     information;
       ``(D) requirements for agencywide information security 
     programs;
       ``(E) performance requirements and metrics for the security 
     of agency information systems;
       ``(F) training requirements to ensure that agencies are 
     able to fully and timely comply with the policies and 
     directives issued by the Secretary under this subchapter;
       ``(G) training requirements regarding privacy, civil 
     rights, and civil liberties, and information oversight for 
     agency information security personnel;
       ``(H) requirements for the annual reports to the Secretary 
     under section 3554(d);
       ``(I) any other information security operations or 
     information security requirements as determined by the 
     Secretary in coordination with relevant agency heads; and
       ``(J) coordinating the development of standards and 
     guidelines under section 20 of the National Institute of 
     Standards and Technology Act (15 U.S.C. 278g-3) with agencies 
     and offices operating or exercising control of national 
     security systems (including the National Security Agency) to 
     assure, to the maximum extent feasible, that such standards 
     and guidelines are complementary with standards and 
     guidelines developed for national security systems;
       ``(2) review the agencywide information security programs 
     under section 3554; and
       ``(3) designate an individual or an entity at each 
     cybersecurity center, among other responsibilities--
       ``(A) to receive reports and information about information 
     security incidents, cyber threat information, and 
     deterioration of security control affecting agency 
     information systems; and
       ``(B) to act on or share the information under subparagraph 
     (A) in accordance with this subchapter.
       ``(b) Considerations.--When issuing policies and directives 
     under subsection (a), the Secretary shall consider any 
     applicable standards or guidelines developed by the National 
     Institute of Standards and Technology under section 11331 of 
     title 40.
       ``(c) Limitation of Authority.--The authorities of the 
     Secretary under this section

[[Page S5500]]

     shall not apply to national security systems. Information 
     security policies, directives, standards and guidelines for 
     national security systems shall be overseen as directed by 
     the President and, in accordance with that direction, carried 
     out under the authority of the heads of agencies that operate 
     or exercise authority over such national security systems.
       ``(d) Statutory Construction.--Nothing in this subchapter 
     shall be construed to alter or amend any law regarding the 
     authority of any head of an agency over such agency.

     ``Sec. 3554. Agency responsibilities

       ``(a) In General.--The head of each agency shall--
       ``(1) be responsible for--
       ``(A) complying with the policies and directives issued 
     under section 3553;
       ``(B) providing information security protections 
     commensurate with the risk resulting from unauthorized 
     access, use, disclosure, disruption, modification, or 
     destruction of--
       ``(i) information collected or maintained by the agency or 
     by a contractor of an agency or other organization on behalf 
     of an agency; and
       ``(ii) information systems used or operated by an agency or 
     by a contractor of an agency or other organization on behalf 
     of an agency;
       ``(C) complying with the requirements of this subchapter, 
     including--
       ``(i) information security standards and guidelines 
     promulgated under section 11331 of title 40;
       ``(ii) for any national security systems operated or 
     controlled by that agency, information security policies, 
     directives, standards and guidelines issued as directed by 
     the President; and
       ``(iii) for any non-national security systems operated or 
     controlled by that agency, information security policies, 
     directives, standards and guidelines issued under section 
     3553;
       ``(D) ensuring that information security management 
     processes are integrated with agency strategic and 
     operational planning processes;
       ``(E) reporting and sharing, for an agency operating or 
     exercising control of a national security system, information 
     about information security incidents, cyber threat 
     information, and deterioration of security controls to the 
     individual or entity designated at each cybersecurity center 
     and to other appropriate entities consistent with policies 
     and directives for national security systems issued as 
     directed by the President; and
       ``(F) reporting and sharing, for those agencies operating 
     or exercising control of non-national security systems, 
     information about information security incidents, cyber 
     threat information, and deterioration of security controls to 
     the individual or entity designated at each cybersecurity 
     center and to other appropriate entities consistent with 
     policies and directives for non-national security systems as 
     prescribed under section 3553(a), including information to 
     assist the entity designated under section 3555(a) with the 
     ongoing security analysis under section 3555;
       ``(2) ensure that each senior agency official provides 
     information security for the information and information 
     systems that support the operations and assets under the 
     senior agency official's control, including by--
       ``(A) assessing the risk and impact that could result from 
     the unauthorized access, use, disclosure, disruption, 
     modification, or destruction of such information or 
     information systems;
       ``(B) determining the level of information security 
     appropriate to protect such information and information 
     systems in accordance with policies and directives issued 
     under section 3553(a), and standards and guidelines 
     promulgated under section 11331 of title 40 for information 
     security classifications and related requirements;
       ``(C) implementing policies, procedures, and capabilities 
     to reduce risks to an acceptable level in a cost-effective 
     manner;
       ``(D) actively monitoring the effective implementation of 
     information security controls and techniques; and
       ``(E) reporting information about information security 
     incidents, cyber threat information, and deterioration of 
     security controls in a timely and adequate manner to the 
     entity designated under section 3553(a)(3) in accordance with 
     paragraph (1);
       ``(3) assess and maintain the resiliency of information 
     technology systems critical to agency mission and operations;
       ``(4) designate the agency Inspector General (or an 
     independent entity selected in consultation with the Director 
     and the Council of Inspectors General on Integrity and 
     Efficiency if the agency does not have an Inspector General) 
     to conduct the annual independent evaluation required under 
     section 3556, and allow the agency Inspector General to 
     contract with an independent entity to perform such 
     evaluation;
       ``(5) delegate to the Chief Information Officer or 
     equivalent (or to a senior agency official who reports to the 
     Chief Information Officer or equivalent)--
       ``(A) the authority and primary responsibility to implement 
     an agencywide information security program; and
       ``(B) the authority to provide information security for the 
     information collected and maintained by the agency (or by a 
     contractor, other agency, or other source on behalf of the 
     agency) and for the information systems that support the 
     operations, assets, and mission of the agency (including any 
     information system provided or managed by a contractor, other 
     agency, or other source on behalf of the agency);
       ``(6) delegate to the appropriate agency official (who is 
     responsible for a particular agency system or subsystem) the 
     responsibility to ensure and enforce compliance with all 
     requirements of the agency's agencywide information security 
     program in coordination with the Chief Information Officer or 
     equivalent (or the senior agency official who reports to the 
     Chief Information Officer or equivalent) under paragraph (5);
       ``(7) ensure that an agency has trained personnel who have 
     obtained any necessary security clearances to permit them to 
     assist the agency in complying with this subchapter;
       ``(8) ensure that the Chief Information Officer or 
     equivalent (or the senior agency official who reports to the 
     Chief Information Officer or equivalent) under paragraph (5), 
     in coordination with other senior agency officials, reports 
     to the agency head on the effectiveness of the agencywide 
     information security program, including the progress of any 
     remedial actions; and
       ``(9) ensure that the Chief Information Officer or 
     equivalent (or the senior agency official who reports to the 
     Chief Information Officer or equivalent) under paragraph (5) 
     has the necessary qualifications to administer the functions 
     described in this subchapter and has information security 
     duties as a primary duty of that official.
       ``(b) Chief Information Officers.--Each Chief Information 
     Officer or equivalent (or the senior agency official who 
     reports to the Chief Information Officer or equivalent) under 
     subsection (a)(5) shall--
       ``(1) establish and maintain an enterprise security 
     operations capability that on a continuous basis--
       ``(A) detects, reports, contains, mitigates, and responds 
     to information security incidents that impair adequate 
     security of the agency's information or information system in 
     a timely manner and in accordance with the policies and 
     directives under section 3553; and
       ``(B) reports any information security incident under 
     subparagraph (A) to the entity designated under section 3555;
       ``(2) develop, maintain, and oversee an agencywide 
     information security program;
       ``(3) develop, maintain, and oversee information security 
     policies, procedures, and control techniques to address 
     applicable requirements, including requirements under section 
     3553 of this title and section 11331 of title 40; and
       ``(4) train and oversee the agency personnel who have 
     significant responsibility for information security with 
     respect to that responsibility.
       ``(c) Agencywide Information Security Programs.--
       ``(1) In general.--Each agencywide information security 
     program under subsection (b)(2) shall include--
       ``(A) relevant security risk assessments, including 
     technical assessments and others related to the acquisition 
     process;
       ``(B) security testing commensurate with risk and impact;
       ``(C) mitigation of deterioration of security controls 
     commensurate with risk and impact;
       ``(D) risk-based continuous monitoring and threat 
     assessment of the operational status and security of agency 
     information systems to enable evaluation of the effectiveness 
     of and compliance with information security policies, 
     procedures, and practices, including a relevant and 
     appropriate selection of security controls of information 
     systems identified in the inventory under section 3505(c);
       ``(E) operation of appropriate technical capabilities in 
     order to detect, mitigate, report, and respond to information 
     security incidents, cyber threat information, and 
     deterioration of security controls in a manner that is 
     consistent with the policies and directives under section 
     3553, including--
       ``(i) mitigating risks associated with such information 
     security incidents;
       ``(ii) notifying and consulting with the entity designated 
     under section 3555; and
       ``(iii) notifying and consulting with, as appropriate--

       ``(I) law enforcement and the relevant Office of the 
     Inspector General; and
       ``(II) any other entity, in accordance with law and as 
     directed by the President;

       ``(F) a process to ensure that remedial action is taken to 
     address any deficiencies in the information security 
     policies, procedures, and practices of the agency; and
       ``(G) a plan and procedures to ensure the continuity of 
     operations for information systems that support the 
     operations and assets of the agency.
       ``(2) Risk management strategies.--Each agencywide 
     information security program under subsection (b)(2) shall 
     include the development and maintenance of a risk management 
     strategy for information security. The risk management 
     strategy shall include--
       ``(A) consideration of information security incidents, 
     cyber threat information, and deterioration of security 
     controls; and
       ``(B) consideration of the consequences that could result 
     from the unauthorized access, use, disclosure, disruption, 
     modification, or destruction of information and information 
     systems that support the operations and assets of the agency, 
     including any information system provided or managed by a 
     contractor, other agency, or other source on behalf of the 
     agency;

[[Page S5501]]

       ``(3) Policies and procedures.--Each agencywide information 
     security program under subsection (b)(2) shall include 
     policies and procedures that--
       ``(A) are based on the risk management strategy under 
     paragraph (2);
       ``(B) reduce information security risks to an acceptable 
     level in a cost-effective manner;
       ``(C) ensure that cost-effective and adequate information 
     security is addressed as part of the acquisition and ongoing 
     management of each agency information system; and
       ``(D) ensure compliance with--
       ``(i) this subchapter; and
       ``(ii) any other applicable requirements.
       ``(4) Training requirements.--Each agencywide information 
     security program under subsection (b)(2) shall include 
     information security, privacy, civil rights, civil liberties, 
     and information oversight training that meets any applicable 
     requirements under section 3553. The training shall inform 
     each information security personnel that has access to agency 
     information systems (including contractors and other users of 
     information systems that support the operations and assets of 
     the agency) of--
       ``(A) the information security risks associated with the 
     information security personnel's activities; and
       ``(B) the individual's responsibility to comply with the 
     agency policies and procedures that reduce the risks under 
     subparagraph (A).
       ``(d) Annual Report.--Each agency shall submit a report 
     annually to the Secretary of Homeland Security on its 
     agencywide information security program and information 
     systems.

     ``Sec. 3555. Multiagency ongoing threat assessment

       ``(a) Implementation.--The Director of the Office of 
     Management and Budget, in coordination with the Secretary of 
     Homeland Security, shall designate an entity to implement 
     ongoing security analysis concerning agency information 
     systems--
       ``(1) based on cyber threat information;
       ``(2) based on agency information system and environment of 
     operation changes, including--
       ``(A) an ongoing evaluation of the information system 
     security controls; and
       ``(B) the security state, risk level, and environment of 
     operation of an agency information system, including--
       ``(i) a change in risk level due to a new cyber threat;
       ``(ii) a change resulting from a new technology;
       ``(iii) a change resulting from the agency's mission; and
       ``(iv) a change resulting from the business practice; and
       ``(3) using automated processes to the maximum extent 
     possible--
       ``(A) to increase information system security;
       ``(B) to reduce paper-based reporting requirements; and
       ``(C) to maintain timely and actionable knowledge of the 
     state of the information system security.
       ``(b) Standards.--The National Institute of Standards and 
     Technology may promulgate standards, in coordination with the 
     Secretary of Homeland Security, to assist an agency with its 
     duties under this section.
       ``(c) Compliance.--The head of each appropriate department 
     and agency shall be responsible for ensuring compliance and 
     implementing necessary procedures to comply with this 
     section. The head of each appropriate department and agency, 
     in consultation with the Director of the Office of Management 
     and Budget and the Secretary of Homeland Security, shall--
       ``(1) monitor compliance under this section;
       ``(2) develop a timeline and implement for the department 
     or agency--
       ``(A) adoption of any technology, system, or method that 
     facilitates continuous monitoring and threat assessments of 
     an agency information system;
       ``(B) adoption or updating of any technology, system, or 
     method that prevents, detects, or remediates a significant 
     cyber incident to a Federal information system of the 
     department or agency that has impeded, or is reasonably 
     likely to impede, the performance of a critical mission of 
     the department or agency; and
       ``(C) adoption of any technology, system, or method that 
     satisfies a requirement under this section.
       ``(d) Limitation of Authority.--The authorities of the 
     Director of the Office of Management and Budget and of the 
     Secretary of Homeland Security under this section shall not 
     apply to national security systems.
       ``(e) Report.--Not later than 6 months after the date of 
     enactment of the Strengthening and Enhancing Cybersecurity by 
     Using Research, Education, Information, and Technology Act of 
     2012, the Government Accountability Office shall issue a 
     report evaluating each agency's status toward implementing 
     this section.

     ``Sec. 3556. Independent evaluations

       ``(a) In General.--The Council of the Inspectors General on 
     Integrity and Efficiency, in consultation with the Director 
     and the Secretary of Homeland Security, the Secretary of 
     Commerce, and the Secretary of Defense, shall issue and 
     maintain criteria for the timely, cost-effective, risk-based, 
     and independent evaluation of each agencywide information 
     security program (and practices) to determine the 
     effectiveness of the agencywide information security program 
     (and practices). The criteria shall include measures to 
     assess any conflicts of interest in the performance of the 
     evaluation and whether the agencywide information security 
     program includes appropriate safeguards against disclosure of 
     information where such disclosure may adversely affect 
     information security.
       ``(b) Annual Independent Evaluations.--Each agency shall 
     perform an annual independent evaluation of its agencywide 
     information security program (and practices) in accordance 
     with the criteria under subsection (a).
       ``(c) Distribution of Reports.--Not later than 30 days 
     after receiving an independent evaluation under subsection 
     (b), each agency head shall transmit a copy of the 
     independent evaluation to the Secretary of Homeland Security, 
     the Secretary of Commerce, and the Secretary of Defense.
       ``(d) National Security Systems.--Evaluations involving 
     national security systems shall be conducted as directed by 
     President.

     ``Sec. 3557. National security systems.

       ``The head of each agency operating or exercising control 
     of a national security system shall be responsible for 
     ensuring that the agency--
       ``(1) provides information security protections 
     commensurate with the risk and magnitude of the harm 
     resulting from the unauthorized access, use, disclosure, 
     disruption, modification, or destruction of the information 
     contained in such system; and
       ``(2) implements information security policies and 
     practices as required by standards and guidelines for 
     national security systems, issued in accordance with law and 
     as directed by the President.''.
       (b) Savings Provisions.--
       (1) Policy and compliance guidance.--Policy and compliance 
     guidance issued by the Director before the date of enactment 
     of this Act under section 3543(a)(1) of title 44, United 
     States Code (as in effect on the day before the date of 
     enactment of this Act), shall continue in effect, according 
     to its terms, until modified, terminated, superseded, or 
     repealed pursuant to section 3553(a)(1) of title 44, United 
     States Code.
       (2) Standards and guidelines.--Standards and guidelines 
     issued by the Secretary of Commerce or by the Director before 
     the date of enactment of this Act under section 11331(a)(1) 
     of title 40, United States Code, (as in effect on the day 
     before the date of enactment of this Act) shall continue in 
     effect, according to their terms, until modified, terminated, 
     superseded, or repealed pursuant to section 11331(a)(1) of 
     title 40, United States Code, as amended by this Act.
       (c) Technical and Conforming Amendments.--
       (1) Chapter analysis.--The chapter analysis for chapter 35 
     of title 44, United States Code, is amended--
       (A) by striking the items relating to sections 3531 through 
     3538;
       (B) by striking the items relating to sections 3541 through 
     3549; and
       (C) by inserting the following:

``3551. Purposes.
``3552. Definitions.
``3553. Federal information security authority and coordination.
``3554. Agency responsibilities.
``3555. Multiagency ongoing threat assessment.
``3556. Independent evaluations.
``3557. National security systems.''.

       (2) Other references.--
       (A) Section 1001(c)(1)(A) of the Homeland Security Act of 
     2002 (6 U.S.C. 511(1)(A)) is amended by striking ``section 
     3532(3)'' and inserting ``section 3552''.
       (B) Section 2222(j)(5) of title 10, United States Code, is 
     amended by striking ``section 3542(b)(2)'' and inserting 
     ``section 3552''.
       (C) Section 2223(c)(3) of title 10, United States Code, is 
     amended, by striking ``section 3542(b)(2)'' and inserting 
     ``section 3552''.
       (D) Section 2315 of title 10, United States Code, is 
     amended by striking ``section 3542(b)(2)'' and inserting 
     ``section 3552''.
       (E) Section 20 of the National Institute of Standards and 
     Technology Act (15 U.S.C. 278g-3) is amended--
       (i) in subsection (a)(2), by striking ``section 
     3532(b)(2)'' and inserting ``section 3552'';
       (ii) in subsection (c)(3), by striking ``Director of the 
     Office of Management and Budget'' and inserting ``Secretary 
     of Commerce'';
       (iii) in subsection (d)(1), by striking ``Director of the 
     Office of Management and Budget'' and inserting ``Secretary 
     of Commerce'';
       (iv) in subsection (d)(8) by striking ``Director of the 
     Office of Management and Budget'' and inserting ``Secretary 
     of Commerce'';
       (v) in subsection (d)(8), by striking ``submitted to the 
     Director'' and inserting ``submitted to the Secretary'';
       (vi) in subsection (e)(2), by striking ``section 3532(1) of 
     such title'' and inserting ``section 3552 of title 44''; and
       (vii) in subsection (e)(5), by striking ``section 
     3532(b)(2) of such title'' and inserting ``section 3552 of 
     title 44''.
       (F) Section 8(d)(1) of the Cyber Security Research and 
     Development Act (15 U.S.C. 7406(d)(1)) is amended by striking 
     ``section 3534(b)'' and inserting ``section 3554(b)(2)''.

     SEC. 202. MANAGEMENT OF INFORMATION TECHNOLOGY.

       (a) In General.--Section 11331 of title 40, United States 
     Code, is amended to read as follows:

[[Page S5502]]

     ``Sec. 11331. Responsibilities for Federal information 
       systems standards

       ``(a) Standards and Guidelines.--
       ``(1) Authority to prescribe.--Except as provided under 
     paragraph (2), the Secretary of Commerce shall prescribe 
     standards and guidelines pertaining to Federal information 
     systems--
       ``(A) in consultation with the Secretary of Homeland 
     Security; and
       ``(B) on the basis of standards and guidelines developed by 
     the National Institute of Standards and Technology under 
     paragraphs (2) and (3) of section 20(a) of the National 
     Institute of Standards and Technology Act (15 U.S.C. 278g-
     3(a)(2) and (a)(3)).
       ``(2) National security systems.--Standards and guidelines 
     for national security systems shall be developed, prescribed, 
     enforced, and overseen as otherwise authorized by law and as 
     directed by the President.
       ``(b) Mandatory Standards and Guidelines.--
       ``(1) Authority to make mandatory standards and 
     guidelines.--The Secretary of Commerce shall make standards 
     and guidelines under subsection (a)(1) compulsory and binding 
     to the extent determined necessary by the Secretary of 
     Commerce to improve the efficiency of operation or security 
     of Federal information systems.
       ``(2) Required mandatory standards and guidelines.--
       ``(A) In general.--Standards and guidelines under 
     subsection (a)(1) shall include information security 
     standards that--
       ``(i) provide minimum information security requirements as 
     determined under section 20(b) of the National Institute of 
     Standards and Technology Act (15 U.S.C. 278g-3(b)); and
       ``(ii) are otherwise necessary to improve the security of 
     Federal information and information systems.
       ``(B) Binding effect.--Information security standards under 
     subparagraph (A) shall be compulsory and binding.
       ``(c) Exercise of Authority.--To ensure fiscal and policy 
     consistency, the Secretary of Commerce shall exercise the 
     authority conferred by this section subject to direction by 
     the President and in coordination with the Director.
       ``(d) Application of More Stringent Standards and 
     Guidelines.--The head of an executive agency may employ 
     standards for the cost-effective information security for 
     information systems within or under the supervision of that 
     agency that are more stringent than the standards and 
     guidelines the Secretary of Commerce prescribes under this 
     section if the more stringent standards and guidelines--
       ``(1) contain at least the applicable standards and 
     guidelines made compulsory and binding by the Secretary of 
     Commerce; and
       ``(2) are otherwise consistent with the policies, 
     directives, and implementation memoranda issued under section 
     3553(a) of title 44.
       ``(e) Decisions on Promulgation of Standards and 
     Guidelines.--The decision by the Secretary of Commerce 
     regarding the promulgation of any standard or guideline under 
     this section shall occur not later than 6 months after the 
     date of submission of the proposed standard to the Secretary 
     of Commerce by the National Institute of Standards and 
     Technology under section 20 of the National Institute of 
     Standards and Technology Act (15 U.S.C. 278g-3).
       ``(f) Notice and Comment.--A decision by the Secretary of 
     Commerce to significantly modify, or not promulgate, a 
     proposed standard submitted to the Secretary by the National 
     Institute of Standards and Technology under section 20 of the 
     National Institute of Standards and Technology Act (15 U.S.C. 
     278g-3) shall be made after the public is given an 
     opportunity to comment on the Secretary's proposed decision.
       ``(g) Definitions.--In this section:
       ``(1) Federal information system.--The term `Federal 
     information system' has the meaning given the term in section 
     3552 of title 44.
       ``(2) Information security.--The term `information 
     security' has the meaning given the term in section 3552 of 
     title 44.
       ``(3) National security system.--The term `national 
     security system' has the meaning given the term in section 
     3552 of title 44.''.

     SEC. 203. NO NEW FUNDING.

       An applicable Federal agency shall carry out the provisions 
     of this title with existing facilities and funds otherwise 
     available, through such means as the head of the agency 
     considers appropriate.

     SEC. 204. TECHNICAL AND CONFORMING AMENDMENTS.

       Section 21(b) of the National Institute of Standards and 
     Technology Act (15 U.S.C. 278g-4(b)) is amended--
       (1) in paragraph (2), by striking ``and the Director of the 
     Office of Management and Budget'' and inserting ``, the 
     Secretary of Commerce, and the Secretary of Homeland 
     Security''; and
       (2) in paragraph (3), by inserting ``, the Secretary of 
     Homeland Security,'' after ``the Secretary of Commerce''.

     SEC. 205. CLARIFICATION OF AUTHORITIES.

       Nothing in this title shall be construed to convey any new 
     regulatory authority to any government entity implementing or 
     complying with any provision of this title.

                     TITLE III--CRIMINAL PENALTIES

     SEC. 301. PENALTIES FOR FRAUD AND RELATED ACTIVITY IN 
                   CONNECTION WITH COMPUTERS.

       Section 1030(c) of title 18, United States Code, is amended 
     to read as follows:
       ``(c) The punishment for an offense under subsection (a) or 
     (b) of this section is--
       ``(1) a fine under this title or imprisonment for not more 
     than 20 years, or both, in the case of an offense under 
     subsection (a)(1) of this section;
       ``(2)(A) except as provided in subparagraph (B), a fine 
     under this title or imprisonment for not more than 3 years, 
     or both, in the case of an offense under subsection (a)(2); 
     or
       ``(B) a fine under this title or imprisonment for not more 
     than ten years, or both, in the case of an offense under 
     subsection (a)(2) of this section, if--
       ``(i) the offense was committed for purposes of commercial 
     advantage or private financial gain;
       ``(ii) the offense was committed in the furtherance of any 
     criminal or tortious act in violation of the Constitution or 
     laws of the United States, or of any State; or
       ``(iii) the value of the information obtained, or that 
     would have been obtained if the offense was completed, 
     exceeds $5,000;
       ``(3) a fine under this title or imprisonment for not more 
     than 10 years, or both, in the case of an offense under 
     subsection (a)(3) of this section;
       ``(4) a fine under this title or imprisonment of not more 
     than 20 years, or both, in the case of an offense under 
     subsection (a)(4) of this section;
       ``(5)(A) except as provided in subparagraph (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) of 
     this section, if the offense 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;
       ``(v) damage affecting a computer used by, or on behalf of, 
     an entity of the United States Government in furtherance of 
     the administration of justice, national defense, or national 
     security; or
       ``(vi) damage affecting 10 or more protected computers 
     during any 1-year period;
       ``(B) a fine under this title, imprisonment for not more 
     than 20 years, or both, in the case of an offense under 
     subsection (a)(5)(B), if the offense caused a harm provided 
     in clause (i) through (vi) of subparagraph (A) of this 
     subsection;
       ``(C) if the offender attempts to cause or knowingly or 
     recklessly causes death from conduct in violation of 
     subsection (a)(5)(A), a fine under this title, imprisonment 
     for any term of years or for life, or both;
       ``(D) a fine under this title, imprisonment for not more 
     than 10 years, or both, for any other offense under 
     subsection (a)(5);
       ``(E) a fine under this title or imprisonment for not more 
     than 10 years, or both, in the case of an offense under 
     subsection (a)(6) of this section; or
       ``(F) a fine under this title or imprisonment for not more 
     than 10 years, or both, in the case of an offense under 
     subsection (a)(7) of this section.''.

     SEC. 302. TRAFFICKING IN PASSWORDS.

       Section 1030(a)(6) of title 18, United States Code, is 
     amended to read as follows:
       ``(6) knowingly and with intent to defraud traffics (as 
     defined in section 1029) in any password or similar 
     information or means of access through which a protected 
     computer (as defined in subparagraphs (A) and (B) of 
     subsection (e)(2)) may be accessed without authorization.''.

     SEC. 303. CONSPIRACY AND ATTEMPTED COMPUTER FRAUD OFFENSES.

       Section 1030(b) of title 18, United States Code, is amended 
     by inserting ``as if for the completed offense'' after 
     ``punished as provided''.

     SEC. 304. CRIMINAL AND CIVIL FORFEITURE FOR FRAUD AND RELATED 
                   ACTIVITY IN CONNECTION WITH COMPUTERS.

       Section 1030 of title 18, United States Code, is amended by 
     striking subsections (i) and (j) and inserting the following:
       ``(i) Criminal Forfeiture.--
       ``(1) The court, in imposing sentence on any person 
     convicted of a violation of this section, or convicted of 
     conspiracy to violate this section, shall order, in addition 
     to any other sentence imposed and irrespective of any 
     provision of State law, that such person forfeit to the 
     United States--
       ``(A) such persons interest in any property, real or 
     personal, that was used, or intended to be used, to commit or 
     facilitate the commission of such violation; and
       ``(B) any property, real or personal, constituting or 
     derived from any gross proceeds, or any property traceable to 
     such property, that such person obtained, directly or 
     indirectly, as a result of such violation.
       ``(2) The criminal forfeiture of property under this 
     subsection, including any seizure and disposition of the 
     property, and any related judicial or administrative 
     proceeding, shall be governed by the provisions of section 
     413 of the Comprehensive Drug Abuse Prevention and Control 
     Act of 1970 (21 U.S.C. 853), except subsection (d) of that 
     section.
       ``(j) Civil Forfeiture.--
       ``(1) The following shall be subject to forfeiture to the 
     United States and no property right, real or personal, shall 
     exist in them:
       ``(A) Any property, real or personal, that was used, or 
     intended to be used, to commit

[[Page S5503]]

     or facilitate the commission of any violation of this 
     section, or a conspiracy to violate this section.
       ``(B) Any property, real or personal, constituting or 
     derived from any gross proceeds obtained directly or 
     indirectly, or any property traceable to such property, as a 
     result of the commission of any violation of this section, or 
     a conspiracy to violate this section.
       ``(2) Seizures and forfeitures under this subsection shall 
     be governed by the provisions in chapter 46 relating to civil 
     forfeitures, except that such duties as are imposed on the 
     Secretary of the Treasury under the customs laws described in 
     section 981(d) shall be performed by such officers, agents 
     and other persons as may be designated for that purpose by 
     the Secretary of Homeland Security or the Attorney 
     General.''.

     SEC. 305. DAMAGE TO CRITICAL INFRASTRUCTURE COMPUTERS.

       (a) In General.--Chapter 47 of title 18, United States 
     Code, is amended by inserting after section 1030 the 
     following:

     ``Sec. 1030A. Aggravated damage to a critical infrastructure 
       computer

       ``(a) Definitions.--In this section--
       ``(1) the term `computer' has the meaning given the term in 
     section 1030;
       ``(2) the term `critical infrastructure computer' means a 
     computer that manages or controls systems or assets vital to 
     national defense, national security, national economic 
     security, public health or safety, or any combination of 
     those matters, whether publicly or privately owned or 
     operated, including--
       ``(A) oil and gas production, storage, conversion, and 
     delivery systems;
       ``(B) water supply systems;
       ``(C) telecommunication networks;
       ``(D) electrical power generation and delivery systems;
       ``(E) finance and banking systems;
       ``(F) emergency services;
       ``(G) transportation systems and services; and
       ``(H) government operations that provide essential services 
     to the public; and
       ``(3) the term `damage' has the meaning given the term in 
     section 1030.
       ``(b) Offense.--It shall be unlawful, during and in 
     relation to a felony violation of section 1030, to knowingly 
     cause or attempt to cause damage to a critical infrastructure 
     computer if the damage results in (or, in the case of an 
     attempt, if completed, would have resulted in) the 
     substantial impairment--
       ``(1) of the operation of the critical infrastructure 
     computer; or
       ``(2) of the critical infrastructure associated with the 
     computer.
       ``(c) Penalty.--Any person who violates subsection (b) 
     shall be--
       ``(1) fined under this title;
       ``(2) imprisoned for not less than 3 years but not more 
     than 20 years; or
       ``(3) penalized under paragraphs (1) and (2).
       ``(d) Consecutive Sentence.--Notwithstanding any other 
     provision of law--
       ``(1) a court shall not place on probation any person 
     convicted of a violation of this section;
       ``(2) except as provided in paragraph (4), no term of 
     imprisonment imposed on a person under this section shall run 
     concurrently with any other term of imprisonment, including 
     any term of imprisonment imposed on the person under any 
     other provision of law, including any term of imprisonment 
     imposed for a felony violation of section 1030;
       ``(3) in determining any term of imprisonment to be imposed 
     for a felony violation of section 1030, a court shall not in 
     any way reduce the term to be imposed for such crime so as to 
     compensate for, or otherwise take into account, any separate 
     term of imprisonment imposed or to be imposed for a violation 
     of this section; and
       ``(4) a term of imprisonment imposed on a person for a 
     violation of this section may, in the discretion of the 
     court, run concurrently, in whole or in part, only with 
     another term of imprisonment that is imposed by the court at 
     the same time on that person for an additional violation of 
     this section, provided that such discretion shall be 
     exercised in accordance with any applicable guidelines and 
     policy statements issued by the United States Sentencing 
     Commission pursuant to section 994 of title 28.''.
       (b) Technical and Conforming Amendment.--The chapter 
     analysis for chapter 47 of title 18, United States Code, is 
     amended by inserting after the item relating to section 1030 
     the following:

``1030A. Aggravated damage to a critical infrastructure computer.''.

     SEC. 306. LIMITATION ON ACTIONS INVOLVING UNAUTHORIZED USE.

       Section 1030(e)(6) of title 18, United States Code, is 
     amended by striking ``alter;'' and inserting ``alter, but 
     does not include access in violation of a contractual 
     obligation or agreement, such as an acceptable use policy or 
     terms of service agreement, with an Internet service 
     provider, Internet website, or non-government employer, if 
     such violation constitutes the sole basis for determining 
     that access to a protected computer is unauthorized;''.

     SEC. 307. NO NEW FUNDING.

       An applicable Federal agency shall carry out the provisions 
     of this title with existing facilities and funds otherwise 
     available, through such means as the head of the agency 
     considers appropriate.

            TITLE IV--CYBERSECURITY RESEARCH AND DEVELOPMENT

     SEC. 401. NATIONAL HIGH-PERFORMANCE COMPUTING PROGRAM 
                   PLANNING AND COORDINATION.

       (a) Goals and Priorities.--Section 101 of the High-
     Performance Computing Act of 1991 (15 U.S.C. 5511) is amended 
     by adding at the end the following:
       ``(d) Goals and Priorities.--The goals and priorities for 
     Federal high-performance computing research, development, 
     networking, and other activities under subsection (a)(2)(A) 
     shall include--
       ``(1) encouraging and supporting mechanisms for 
     interdisciplinary research and development in networking and 
     information technology, including--
       ``(A) through collaborations across agencies;
       ``(B) through collaborations across Program Component 
     Areas;
       ``(C) through collaborations with industry;
       ``(D) through collaborations with institutions of higher 
     education;
       ``(E) through collaborations with Federal laboratories (as 
     defined in section 4 of the Stevenson-Wydler Technology 
     Innovation Act of 1980 (15 U.S.C. 3703)); and
       ``(F) through collaborations with international 
     organizations;
       ``(2) addressing national, multi-agency, multi-faceted 
     challenges of national importance; and
       ``(3) fostering the transfer of research and development 
     results into new technologies and applications for the 
     benefit of society.''.
       (b) Development of Strategic Plan.--Section 101 of the 
     High-Performance Computing Act of 1991 (15 U.S.C. 5511) is 
     amended by adding at the end the following:
       ``(e) Strategic Plan.--
       ``(1) In general.--Not later than 1 year after the date of 
     enactment of the Strengthening and Enhancing Cybersecurity by 
     Using Research, Education, Information, and Technology Act of 
     2012, the agencies under subsection (a)(3)(B), working 
     through the National Science and Technology Council and with 
     the assistance of the Office of Science and Technology Policy 
     shall develop a 5-year strategic plan to guide the activities 
     under subsection (a)(1).
       ``(2) Contents.--The strategic plan shall specify--
       ``(A) the near-term objectives for the Program;
       ``(B) the long-term objectives for the Program;
       ``(C) the anticipated time frame for achieving the near-
     term objectives;
       ``(D) the metrics that will be used to assess any progress 
     made toward achieving the near-term objectives and the long-
     term objectives; and
       ``(E) how the Program will achieve the goals and priorities 
     under subsection (d).
       ``(3) Implementation roadmap.--
       ``(A) In general.--The agencies under subsection (a)(3)(B) 
     shall develop and annually update an implementation roadmap 
     for the strategic plan.
       ``(B) Requirements.--The information in the implementation 
     roadmap shall be coordinated with the database under section 
     102(c) and the annual report under section 101(a)(3). The 
     implementation roadmap shall--
       ``(i) specify the role of each Federal agency in carrying 
     out or sponsoring research and development to meet the 
     research objectives of the strategic plan, including a 
     description of how progress toward the research objectives 
     will be evaluated, with consideration of any relevant 
     recommendations of the advisory committee;
       ``(ii) specify the funding allocated to each major research 
     objective of the strategic plan and the source of funding by 
     agency for the current fiscal year; and
       ``(iii) estimate the funding required for each major 
     research objective of the strategic plan for the next 3 
     fiscal years.
       ``(4) Recommendations.--The agencies under subsection 
     (a)(3)(B) shall take into consideration when developing the 
     strategic plan under paragraph (1) the recommendations of--
       ``(A) the advisory committee under subsection (b); and
       ``(B) the stakeholders under section 102(a)(3).
       ``(5) Report to congress.--The Director of the Office of 
     Science and Technology Policy shall transmit the strategic 
     plan under this subsection, including the implementation 
     roadmap and any updates under paragraph (3), to--
       ``(A) the advisory committee under subsection (b);
       ``(B) the Committee on Commerce, Science, and 
     Transportation of the Senate; and
       ``(C) the Committee on Science and Technology of the House 
     of Representatives.''.
       (c) Periodic Reviews.--Section 101 of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5511) is amended by adding 
     at the end the following:
       ``(f) Periodic Reviews.--The agencies under subsection 
     (a)(3)(B) shall--
       ``(1) periodically assess the contents and funding levels 
     of the Program Component Areas and restructure the Program 
     when warranted, taking into consideration any relevant 
     recommendations of the advisory committee under subsection 
     (b); and
       ``(2) ensure that the Program includes national, multi-
     agency, multi-faceted research and development activities, 
     including activities described in section 104.''.
       (d) Additional Responsibilities of Director.--Section 
     101(a)(2) of the High-Performance Computing Act of 1991 (15 
     U.S.C. 5511(a)(2)) is amended--

[[Page S5504]]

       (1) by redesignating subparagraphs (E) and (F) as 
     subparagraphs (G) and (H), respectively; and
       (2) by inserting after subparagraph (D) the following:
       ``(E) encourage and monitor the efforts of the agencies 
     participating in the Program to allocate the level of 
     resources and management attention necessary--
       ``(i) to ensure that the strategic plan under subsection 
     (e) is developed and executed effectively; and
       ``(ii) to ensure that the objectives of the Program are 
     met;
       ``(F) working with the Office of Management and Budget and 
     in coordination with the creation of the database under 
     section 102(c), direct the Office of Science and Technology 
     Policy and the agencies participating in the Program to 
     establish a mechanism (consistent with existing law) to track 
     all ongoing and completed research and development projects 
     and associated funding;''.
       (e) Advisory Committee.--Section 101(b) of the High-
     Performance Computing Act of 1991 (15 U.S.C. 5511(b)) is 
     amended--
       (1) in paragraph (1)--
       (A) by inserting after the first sentence the following: 
     ``The co-chairs of the advisory committee shall meet the 
     qualifications of committee members and may be members of the 
     Presidents Council of Advisors on Science and Technology.''; 
     and
       (B) by striking ``high-performance'' in subparagraph (D) 
     and inserting ``high-end''; and
       (2) by amending paragraph (2) to read as follows:
       ``(2) In addition to the duties under paragraph (1), the 
     advisory committee shall conduct periodic evaluations of the 
     funding, management, coordination, implementation, and 
     activities of the Program. The advisory committee shall 
     report its findings and recommendations not less frequently 
     than once every 3 fiscal years to the Committee on Commerce, 
     Science, and Transportation of the Senate and the Committee 
     on Science and Technology of the House of Representatives. 
     The report shall be submitted in conjunction with the update 
     of the strategic plan.''.
       (f) Report.--Section 101(a)(3) of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5511(a)(3)) is amended--
       (1) in subparagraph (C)--
       (A) by striking ``is submitted,'' and inserting ``is 
     submitted, the levels for the previous fiscal year,''; and
       (B) by striking ``each Program Component Area'' and 
     inserting ``each Program Component Area and each research 
     area supported in accordance with section 104'';
       (2) in subparagraph (D)--
       (A) by striking ``each Program Component Area,'' and 
     inserting ``each Program Component Area and each research 
     area supported in accordance with section 104,'';
       (B) by striking ``is submitted,'' and inserting ``is 
     submitted, the levels for the previous fiscal year,''; and
       (C) by striking ``and'' after the semicolon;
       (3) by redesignating subparagraph (E) as subparagraph (G); 
     and
       (4) by inserting after subparagraph (D) the following:
       ``(E) include a description of how the objectives for each 
     Program Component Area, and the objectives for activities 
     that involve multiple Program Component Areas, relate to the 
     objectives of the Program identified in the strategic plan 
     under subsection (e);
       ``(F) include--
       ``(i) a description of the funding required by the Office 
     of Science and Technology Policy to perform the functions 
     under subsections (a) and (c) of section 102 for the next 
     fiscal year by category of activity;
       ``(ii) a description of the funding required by the Office 
     of Science and Technology Policy to perform the functions 
     under subsections (a) and (c) of section 102 for the current 
     fiscal year by category of activity; and
       ``(iii) the amount of funding provided for the Office of 
     Science and Technology Policy for the current fiscal year by 
     each agency participating in the Program; and''.
       (g) Definitions.--Section 4 of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5503) is amended--
       (1) by redesignating paragraphs (1) and (2) as paragraphs 
     (2) and (3), respectively;
       (2) by redesignating paragraph (3) as paragraph (6);
       (3) by redesignating paragraphs (6) and (7) as paragraphs 
     (7) and (8), respectively;
       (4) by inserting before paragraph (2), as redesignated, the 
     following:
       ``(1) `cyber-physical systems' means physical or engineered 
     systems whose networking and information technology functions 
     and physical elements are deeply integrated and are actively 
     connected to the physical world through sensors, actuators, 
     or other means to perform monitoring and control 
     functions;'';
       (5) in paragraph (3), as redesignated, by striking ``high-
     performance computing'' and inserting ``networking and 
     information technology'';
       (6) in paragraph (6), as redesignated--
       (A) by striking ``high-performance computing'' and 
     inserting ``networking and information technology''; and
       (B) by striking ``supercomputer'' and inserting ``high-end 
     computing'';
       (7) in paragraph (5), by striking ``network referred to 
     as'' and all that follows through the semicolon and inserting 
     ``network, including advanced computer networks of Federal 
     agencies and departments''; and
       (8) in paragraph (7), as redesignated, by striking 
     ``National High-Performance Computing Program'' and inserting 
     ``networking and information technology research and 
     development program''.

     SEC. 402. RESEARCH IN AREAS OF NATIONAL IMPORTANCE.

       (a) Research in Areas of National Importance.--Title I of 
     the High-Performance Computing Act of 1991 (15 U.S.C. 5511 et 
     seq.) is amended by adding at the end the following:

     ``SEC. 104. RESEARCH IN AREAS OF NATIONAL IMPORTANCE.

       ``(a) In General.--The Program shall encourage agencies 
     under section 101(a)(3)(B) to support, maintain, and improve 
     national, multi-agency, multi-faceted, research and 
     development activities in networking and information 
     technology directed toward application areas that have the 
     potential for significant contributions to national economic 
     competitiveness and for other significant societal benefits.
       ``(b) Technical Solutions.--An activity under subsection 
     (a) shall be designed to advance the development of research 
     discoveries by demonstrating technical solutions to important 
     problems in areas including--
       ``(1) cybersecurity;
       ``(2) health care;
       ``(3) energy management and low-power systems and devices;
       ``(4) transportation, including surface and air 
     transportation;
       ``(5) cyber-physical systems;
       ``(6) large-scale data analysis and modeling of physical 
     phenomena;
       ``(7) large scale data analysis and modeling of behavioral 
     phenomena;
       ``(8) supply chain quality and security; and
       ``(9) privacy protection and protected disclosure of 
     confidential data.
       ``(c) Recommendations.--The advisory committee under 
     section 101(b) shall make recommendations to the Program for 
     candidate research and development areas for support under 
     this section.
       ``(d) Characteristics.--
       ``(1) In general.--Research and development activities 
     under this section--
       ``(A) shall include projects selected on the basis of 
     applications for support through a competitive, merit-based 
     process;
       ``(B) shall leverage, when possible, Federal investments 
     through collaboration with related State initiatives;
       ``(C) shall include a plan for fostering the transfer of 
     research discoveries and the results of technology 
     demonstration activities, including from institutions of 
     higher education and Federal laboratories, to industry for 
     commercial development;
       ``(D) shall involve collaborations among researchers in 
     institutions of higher education and industry; and
       ``(E) may involve collaborations among nonprofit research 
     institutions and Federal laboratories, as appropriate.
       ``(2) Cost-sharing.--In selecting applications for support, 
     the agencies under section 101(a)(3)(B) shall give special 
     consideration to projects that include cost sharing from non-
     Federal sources.
       ``(3) Multidisciplinary research centers.--Research and 
     development activities under this section shall be supported 
     through multidisciplinary research centers, including Federal 
     laboratories, that are organized to investigate basic 
     research questions and carry out technology demonstration 
     activities in areas described in subsection (a). Research may 
     be carried out through existing multidisciplinary centers, 
     including those authorized under section 7024(b)(2) of the 
     America COMPETES Act (42 U.S.C. 1862o-10(2)).''.
       (b) Cyber-Physical Systems.--Section 101(a)(1) of the High-
     Performance Computing Act of 1991 (15 U.S.C. 5511(a)(1)) is 
     amended--
       (1) in subparagraph (H), by striking ``and'' after the 
     semicolon;
       (2) in subparagraph (I), by striking the period at the end 
     and inserting a semicolon; and
       (3) by adding at the end the following:
       ``(J) provide for increased understanding of the scientific 
     principles of cyber-physical systems and improve the methods 
     available for the design, development, and operation of 
     cyber-physical systems that are characterized by high 
     reliability, safety, and security; and
       ``(K) provide for research and development on human-
     computer interactions, visualization, and big data.''.
       (c) Task Force.--Title I of the High-Performance Computing 
     Act of 1991 (15 U.S.C. 5511 et seq.), as amended by section 
     402(a) of this Act, is amended by adding at the end the 
     following:

     ``SEC. 105. TASK FORCE.

       ``(a) Establishment.--Not later than 180 days after the 
     date of enactment the Strengthening and Enhancing 
     Cybersecurity by Using Research, Education, Information, and 
     Technology Act of 2012, the Director of the Office of Science 
     and Technology Policy under section 102 shall convene a task 
     force to explore mechanisms for carrying out collaborative 
     research and development activities for cyber-physical 
     systems (including the related technologies required to 
     enable these systems) through a consortium or other 
     appropriate entity with participants from institutions of 
     higher education, Federal laboratories, and industry.
       ``(b) Functions.--The task force shall--
       ``(1) develop options for a collaborative model and an 
     organizational structure for such entity under which the 
     joint research and development activities could be planned,

[[Page S5505]]

     managed, and conducted effectively, including mechanisms for 
     the allocation of resources among the participants in such 
     entity for support of such activities;
       ``(2) propose a process for developing a research and 
     development agenda for such entity, including guidelines to 
     ensure an appropriate scope of work focused on nationally 
     significant challenges and requiring collaboration and to 
     ensure the development of related scientific and 
     technological milestones;
       ``(3) define the roles and responsibilities for the 
     participants from institutions of higher education, Federal 
     laboratories, and industry in such entity;
       ``(4) propose guidelines for assigning intellectual 
     property rights and for transferring research results to the 
     private sector; and
       ``(5) make recommendations for how such entity could be 
     funded from Federal, State, and non-governmental sources.
       ``(c) Composition.--In establishing the task force under 
     subsection (a), the Director of the Office of Science and 
     Technology Policy shall appoint an equal number of 
     individuals from institutions of higher education and from 
     industry with knowledge and expertise in cyber-physical 
     systems, and may appoint not more than 2 individuals from 
     Federal laboratories.
       ``(d) Report.--Not later than 1 year after the date of 
     enactment of the Strengthening and Enhancing Cybersecurity by 
     Using Research, Education, Information, and Technology Act of 
     2012, the Director of the Office of Science and Technology 
     Policy shall transmit to the Committee on Commerce, Science, 
     and Transportation of the Senate and the Committee on Science 
     and Technology of the House of Representatives a report 
     describing the findings and recommendations of the task 
     force.
       ``(e) Termination.--The task force shall terminate upon 
     transmittal of the report required under subsection (d).
       ``(f) Compensation and Expenses.--Members of the task force 
     shall serve without compensation.''.

     SEC. 403. PROGRAM IMPROVEMENTS.

       Section 102 of the High-Performance Computing Act of 1991 
     (15 U.S.C. 5512) is amended to read as follows:

     ``SEC. 102. PROGRAM IMPROVEMENTS.

       ``(a) Functions.--The Director of the Office of Science and 
     Technology Policy shall continue--
       ``(1) to provide technical and administrative support to--
       ``(A) the agencies participating in planning and 
     implementing the Program, including support needed to develop 
     the strategic plan under section 101(e); and
       ``(B) the advisory committee under section 101(b);
       ``(2) to serve as the primary point of contact on Federal 
     networking and information technology activities for 
     government agencies, academia, industry, professional 
     societies, State computing and networking technology 
     programs, interested citizen groups, and others to exchange 
     technical and programmatic information;
       ``(3) to solicit input and recommendations from a wide 
     range of stakeholders during the development of each 
     strategic plan under section 101(e) by convening at least 1 
     workshop with invitees from academia, industry, Federal 
     laboratories, and other relevant organizations and 
     institutions;
       ``(4) to conduct public outreach, including the 
     dissemination of the advisory committee's findings and 
     recommendations, as appropriate;
       ``(5) to promote access to and early application of the 
     technologies, innovations, and expertise derived from Program 
     activities to agency missions and systems across the Federal 
     Government and to United States industry;
       ``(6) to ensure accurate and detailed budget reporting of 
     networking and information technology research and 
     development investment; and
       ``(7) to encourage agencies participating in the Program to 
     use existing programs and resources to strengthen networking 
     and information technology education and training, and 
     increase participation in such fields, including by women and 
     underrepresented minorities.
       ``(b) Source of Funding.--
       ``(1) In general.--The functions under this section shall 
     be supported by funds from each agency participating in the 
     Program.
       ``(2) Specifications.--The portion of the total budget of 
     the Office of Science and Technology Policy that is provided 
     by each agency participating in the Program for each fiscal 
     year shall be in the same proportion as each agency's share 
     of the total budget for the Program for the previous fiscal 
     year, as specified in the database under section 102(c).
       ``(c) Database.--
       ``(1) In general.--The Director of the Office of Science 
     and Technology Policy shall develop and maintain a database 
     of projects funded by each agency for the fiscal year for 
     each Program Component Area.
       ``(2) Public accessibility.--The Director of the Office of 
     Science and Technology Policy shall make the database 
     accessible to the public.
       ``(3) Database contents.--The database shall include, for 
     each project in the database--
       ``(A) a description of the project;
       ``(B) each agency, industry, institution of higher 
     education, Federal laboratory, or international institution 
     involved in the project;
       ``(C) the source funding of the project (set forth by 
     agency);
       ``(D) the funding history of the project; and
       ``(E) whether the project has been completed.''.

     SEC. 404. IMPROVING EDUCATION OF NETWORKING AND INFORMATION 
                   TECHNOLOGY, INCLUDING HIGH PERFORMANCE 
                   COMPUTING.

       Section 201(a) of the High-Performance Computing Act of 
     1991 (15 U.S.C. 5521(a)) is amended--
       (1) by redesignating paragraphs (2) through (4) as 
     paragraphs (3) through (5), respectively; and
       (2) by inserting after paragraph (1) the following:
       ``(2) the National Science Foundation shall use its 
     existing programs, in collaboration with other agencies, as 
     appropriate, to improve the teaching and learning of 
     networking and information technology at all levels of 
     education and to increase participation in networking and 
     information technology fields;''.

     SEC. 405. CONFORMING AND TECHNICAL AMENDMENTS TO THE HIGH-
                   PERFORMANCE COMPUTING ACT OF 1991.

       (a) Section 3.--Section 3 of the High-Performance Computing 
     Act of 1991 (15 U.S.C. 5502) is amended--
       (1) in the matter preceding paragraph (1), by striking 
     ``high-performance computing'' and inserting ``networking and 
     information technology'';
       (2) in paragraph (1)--
       (A) in the matter preceding subparagraph (A), by striking 
     ``high-performance computing'' and inserting ``networking and 
     information technology'';
       (B) in subparagraphs (A), (F), and (G), by striking ``high-
     performance computing'' each place it appears and inserting 
     ``networking and information technology''; and
       (C) in subparagraph (H), by striking ``high-performance'' 
     and inserting ``high-end''; and
       (3) in paragraph (2)--
       (A) by striking ``high-performance computing and'' and 
     inserting ``networking and information technology, and''; and
       (B) by striking ``high-performance computing network'' and 
     inserting ``networking and information technology''.
       (b) Title Heading.--The heading of title I of the High-
     Performance Computing Act of 1991 (105 Stat. 1595) is amended 
     by striking ``HIGH-PERFORMANCE COMPUTING'' and inserting 
     ``NETWORKING AND INFORMATION TECHNOLOGY''.
       (c) Section 101.--Section 101 of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5511) is amended--
       (1) in the section heading, by striking ``high-performance 
     computing'' and inserting ``networking and information 
     technology research and development'';
       (2) in subsection (a)--
       (A) in the subsection heading, by striking ``National High-
     Performance Computing'' and inserting ``Networking and 
     Information Technology Research and Development'';
       (B) in paragraph (1)--
       (i) by striking ``National High-Performance Computing 
     Program'' and inserting ``networking and information 
     technology research and development program'';
       (ii) in subparagraph (A), by striking ``high-performance 
     computing, including networking'' and inserting ``networking 
     and information technology'';
       (iii) in subparagraphs (B) and (G), by striking ``high-
     performance'' each place it appears and inserting ``high-
     end''; and
       (iv) in subparagraph (C), by striking ``high-performance 
     computing and networking'' and inserting ``high-end 
     computing, distributed, and networking''; and
       (C) in paragraph (2)--
       (i) in subparagraphs (A) and (C)--

       (I) by striking ``high-performance computing'' each place 
     it appears and inserting ``networking and information 
     technology''; and
       (II) by striking ``development, networking,'' each place it 
     appears and inserting ``development,''; and

       (ii) in subparagraphs (G) and (H), as redesignated by 
     section 401(d) of this Act, by striking ``high-performance'' 
     each place it appears and inserting ``high-end'';
       (3) in subsection (b)(1), in the matter preceding 
     subparagraph (A), by striking ``high-performance computing'' 
     each place it appears and inserting ``networking and 
     information technology''; and
       (4) in subsection (c)(1)(A), by striking ``high-performance 
     computing'' and inserting ``networking and information 
     technology''.
       (d) Section 201.--Section 201(a)(1) of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5521(a)(1)) is amended by 
     striking ``high-performance computing and advanced high-speed 
     computer networking'' and inserting ``networking and 
     information technology research and development''.
       (e) Section 202.--Section 202(a) of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5522(a)) is amended by 
     striking ``high-performance computing'' and inserting 
     ``networking and information technology''.
       (f) Section 203.--Section 203(a) of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5523(a)) is amended--
       (1) in paragraph (1), by striking ``high-performance 
     computing and networking'' and inserting ``networking and 
     information technology''; and
       (2) in paragraph (2)(A), by striking ``high-performance'' 
     and inserting ``high-end''.
       (g) Section 204.--Section 204 of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5524) is amended--

[[Page S5506]]

       (1) in subsection (a)(1)--
       (A) in subparagraph (A), by striking ``high-performance 
     computing systems and networks'' and inserting ``networking 
     and information technology systems and capabilities'';
       (B) in subparagraph (B), by striking ``interoperability of 
     high-performance computing systems in networks and for common 
     user interfaces to systems'' and inserting ``interoperability 
     and usability of networking and information technology 
     systems''; and
       (C) in subparagraph (C), by striking ``high-performance 
     computing'' and inserting ``networking and information 
     technology''; and
       (2) in subsection (b)--
       (A) by striking ``High-Performance Computing and Network'' 
     in the heading and inserting ``Networking and Information 
     Technology''; and
       (B) by striking ``sensitive''.
       (h) Section 205.--Section 205(a) of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5525(a)) is amended by 
     striking ``computational'' and inserting ``networking and 
     information technology''.
       (i) Section 206.--Section 206(a) of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5526(a)) is amended by 
     striking ``computational research'' and inserting 
     ``networking and information technology research''.
       (j) Section 207.--Section 207 of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5527) is amended by striking 
     ``high-performance computing'' and inserting ``networking and 
     information technology''.
       (k) Section 208.--Section 208 of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5528) is amended--
       (1) in the section heading, by striking ``HIGH-PERFORMANCE 
     COMPUTING'' and inserting ``NETWORKING AND INFORMATION 
     TECHNOLOGY''; and
       (2) in subsection (a)--
       (A) in paragraph (1), by striking ``High-performance 
     computing and associated'' and inserting ``Networking and 
     information'';
       (B) in paragraph (2), by striking ``high-performance 
     computing'' and inserting ``networking and information 
     technologies'';
       (C) in paragraph (3), by striking ``high-performance'' and 
     inserting ``high-end'';
       (D) in paragraph (4), by striking ``high-performance 
     computers and associated'' and inserting ``networking and 
     information''; and
       (E) in paragraph (5), by striking ``high-performance 
     computing and associated'' and inserting ``networking and 
     information''.

     SEC. 406. FEDERAL CYBER SCHOLARSHIP-FOR-SERVICE PROGRAM.

       (a) In General.--The Director of the National Science 
     Foundation, in coordination with the Secretary of Homeland 
     Security, shall carry out a Federal cyber scholarship-for-
     service program to recruit and train the next generation of 
     information technology professionals and security managers to 
     meet the needs of the cybersecurity mission for the Federal 
     government.
       (b) Program Description and Components.--The program 
     shall--
       (1) annually assess the workforce needs of the Federal 
     government for cybersecurity professionals, including network 
     engineers, software engineers, and other experts in order to 
     determine how many scholarships should be awarded annually to 
     ensure that the workforce needs following graduation match 
     the number of scholarships awarded;
       (2) provide scholarships for up to 1,000 students per year 
     in their pursuit of undergraduate or graduate degrees in the 
     cybersecurity field, in an amount that may include coverage 
     for full tuition, fees, and a stipend;
       (3) require each scholarship recipient, as a condition of 
     receiving a scholarship under the program, to serve in a 
     Federal information technology workforce for a period equal 
     to one and one-half times each year, or partial year, of 
     scholarship received, in addition to an internship in the 
     cybersecurity field, if applicable, following graduation;
       (4) provide a procedure for the National Science Foundation 
     or a Federal agency, consistent with regulations of the 
     Office of Personnel Management, to request and fund a 
     security clearance for a scholarship recipient, including 
     providing for clearance during a summer internship and upon 
     graduation; and
       (5) provide opportunities for students to receive temporary 
     appointments for meaningful employment in the Federal 
     information technology workforce during school vacation 
     periods and for internships.
       (c) Hiring Authority.--
       (1) In general.--For purposes of any law or regulation 
     governing the appointment of an individual in the Federal 
     civil service, upon the successful completion of the 
     student's studies, a student receiving a scholarship under 
     the program may--
       (A) be hired under section 213.3102(r) of title 5, Code of 
     Federal Regulations; and
       (B) be exempt from competitive service.
       (2) Competitive service.--Upon satisfactory fulfillment of 
     the service term under paragraph (1), an individual may be 
     converted to a competitive service position without 
     competition if the individual meets the requirements for that 
     position.
       (d) Eligibility.--The eligibility requirements for a 
     scholarship under this section shall include that a 
     scholarship applicant--
       (1) be a citizen of the United States;
       (2) be eligible to be granted a security clearance;
       (3) maintain a grade point average of 3.2 or above on a 4.0 
     scale for undergraduate study or a 3.5 or above on a 4.0 
     scale for postgraduate study;
       (4) demonstrate a commitment to a career in improving the 
     security of the information infrastructure; and
       (5) has demonstrated a level of proficiency in math or 
     computer sciences.
       (e) Failure to Complete Service Obligation.--
       (1) In general.--A scholarship recipient under this section 
     shall be liable to the United States under paragraph (2) if 
     the scholarship recipient--
       (A) fails to maintain an acceptable level of academic 
     standing in the educational institution in which the 
     individual is enrolled, as determined by the Director;
       (B) is dismissed from such educational institution for 
     disciplinary reasons;
       (C) withdraws from the program for which the award was made 
     before the completion of such program;
       (D) declares that the individual does not intend to fulfill 
     the service obligation under this section;
       (E) fails to fulfill the service obligation of the 
     individual under this section; or
       (F) loses a security clearance or becomes ineligible for a 
     security clearance.
       (2) Repayment amounts.--
       (A) Less than 1 year of service.--If a circumstance under 
     paragraph (1) occurs before the completion of 1 year of a 
     service obligation under this section, the total amount of 
     awards received by the individual under this section shall be 
     repaid.
       (B) One or more years of service.--If a circumstance 
     described in subparagraph (D) or (E) of paragraph (1) occurs 
     after the completion of 1 year of a service obligation under 
     this section, the total amount of scholarship awards received 
     by the individual under this section, reduced by the ratio of 
     the number of years of service completed divided by the 
     number of years of service required, shall be repaid.
       (f) Evaluation and Report.--The Director of the National 
     Science Foundation shall--
       (1) evaluate the success of recruiting individuals for 
     scholarships under this section and of hiring and retaining 
     those individuals in the public sector workforce, including 
     the annual cost and an assessment of how the program actually 
     improves the Federal workforce; and
       (2) periodically report the findings under paragraph (1) to 
     Congress.
       (g) Authorization of Appropriations.--From amounts made 
     available under section 503 of the America COMPETES 
     Reauthorization Act of 2010 (124 Stat. 4005), the Secretary 
     may use funds to carry out the requirements of this section 
     for fiscal years 2012 through 2013.

     SEC. 407. STUDY AND ANALYSIS OF CERTIFICATION AND TRAINING OF 
                   INFORMATION INFRASTRUCTURE PROFESSIONALS.

       (a) Study.--The President shall enter into an agreement 
     with the National Academies to conduct a comprehensive study 
     of government, academic, and private-sector accreditation, 
     training, and certification programs for personnel working in 
     information infrastructure. The agreement shall require the 
     National Academies to consult with sector coordinating 
     councils and relevant governmental agencies, regulatory 
     entities, and nongovernmental organizations in the course of 
     the study.
       (b) Scope.--The study shall include--
       (1) an evaluation of the body of knowledge and various 
     skills that specific categories of personnel working in 
     information infrastructure should possess in order to secure 
     information systems;
       (2) an assessment of whether existing government, academic, 
     and private-sector accreditation, training, and certification 
     programs provide the body of knowledge and various skills 
     described in paragraph (1);
       (3) an analysis of any barriers to the Federal Government 
     recruiting and hiring cybersecurity talent, including 
     barriers relating to compensation, the hiring process, job 
     classification, and hiring flexibility; and
       (4) an analysis of the sources and availability of 
     cybersecurity talent, a comparison of the skills and 
     expertise sought by the Federal Government and the private 
     sector, an examination of the current and future capacity of 
     United States institutions of higher education, including 
     community colleges, to provide current and future 
     cybersecurity professionals, through education and training 
     activities, with those skills sought by the Federal 
     Government, State and local entities, and the private sector.
       (c) Report.--Not later than 1 year after the date of 
     enactment of this Act, the National Academies shall submit to 
     the President and Congress a report on the results of the 
     study. The report shall include--
       (1) findings regarding the state of information 
     infrastructure accreditation, training, and certification 
     programs, including specific areas of deficiency and 
     demonstrable progress; and
       (2) recommendations for the improvement of information 
     infrastructure accreditation, training, and certification 
     programs.

     SEC. 408. INTERNATIONAL CYBERSECURITY TECHNICAL STANDARDS.

       (a) In General.--The Director of the National Institute of 
     Standards and Technology, in coordination with appropriate 
     Federal authorities, shall--
       (1) as appropriate, ensure coordination of Federal agencies 
     engaged in the development of international technical 
     standards related to information system security; and
       (2) not later than 1 year after the date of enactment of 
     this Act, develop and transmit to Congress a plan for 
     ensuring such Federal agency coordination.

[[Page S5507]]

       (b) Consultation With the Private Sector.--In carrying out 
     the activities under subsection (a)(1), the Director shall 
     ensure consultation with appropriate private sector 
     stakeholders.

     SEC. 409. IDENTITY MANAGEMENT RESEARCH AND DEVELOPMENT.

       The Director of the National Institute of Standards and 
     Technology shall continue a program to support the 
     development of technical standards, metrology, testbeds, and 
     conformance criteria, taking into account appropriate user 
     concerns--
       (1) to improve interoperability among identity management 
     technologies;
       (2) to strengthen authentication methods of identity 
     management systems;
       (3) to improve privacy protection in identity management 
     systems, including health information technology systems, 
     through authentication and security protocols; and
       (4) to improve the usability of identity management 
     systems.

     SEC. 410. FEDERAL CYBERSECURITY RESEARCH AND DEVELOPMENT.

       (a) National Science Foundation Computer and Network 
     Security Research Grant Areas.--Section 4(a)(1) of the Cyber 
     Security Research and Development Act (15 U.S.C. 7403(a)(1)) 
     is amended--
       (1) in subparagraph (H), by striking ``and'' after the 
     semicolon;
       (2) in subparagraph (I), by striking ``property.'' and 
     inserting ``property;''; and
       (3) by adding at the end the following:
       ``(J) secure fundamental protocols that are at the heart of 
     inter-network communications and data exchange;
       ``(K) system security that addresses the building of secure 
     systems from trusted and untrusted components;
       ``(L) monitoring and detection; and
       ``(M) resiliency and rapid recovery methods.''.
       (b) National Science Foundation Computer and Network 
     Security Grants.--Section 4(a)(3) of the Cyber Security 
     Research and Development Act (15 U.S.C. 7403(a)(3)) is 
     amended--
       (1) in subparagraph (D), by striking ``and'';
       (2) in subparagraph (E), by striking ``2007.'' and 
     inserting ``2007;''; and
       (3) by adding at the end the following:
       ``(F) such funds from amounts made available under section 
     503 of the America COMPETES Reauthorization Act of 2010 (124 
     Stat. 4005), as the Secretary finds necessary to carry out 
     the requirements of this subsection for fiscal years 2012 
     through 2013.''.
       (c) Computer and Network Security Centers.--Section 4(b)(7) 
     of the Cyber Security Research and Development Act (15 U.S.C. 
     7403(b)(7)) is amended--
       (1) in subparagraph (D), by striking ``and'';
       (2) in subparagraph (E), by striking ``2007.'' and 
     inserting ``2007;''; and
       (3) by adding at the end the following:
       ``(F) such funds from amounts made available under section 
     503 of the America COMPETES Reauthorization Act of 2010 (124 
     Stat. 4005), as the Secretary finds necessary to carry out 
     the requirements of this subsection for fiscal years 2012 
     through 2013.''.
       (d) Computer and Network Security Capacity Building 
     Grants.--Section 5(a)(6) of the Cyber Security Research and 
     Development Act (15 U.S.C. 7404(a)(6)) is amended--
       (1) in subparagraph (D), by striking ``and'';
       (2) in subparagraph (E), by striking ``2007.'' and 
     inserting ``2007;''; and
       (3) by adding at the end the following:
       ``(F) such funds from amounts made available under section 
     503 of the America COMPETES Reauthorization Act of 2010 (124 
     Stat. 4005), as the Secretary finds necessary to carry out 
     the requirements of this subsection for fiscal years 2012 
     through 2013.''.
       (e) Scientific and Advanced Technology Act Grants.--Section 
     5(b)(2) of the Cyber Security Research and Development Act 
     (15 U.S.C. 7404(b)(2)) is amended--
       (1) in subparagraph (D), by striking ``and'';
       (2) in subparagraph (E), by striking ``2007.'' and 
     inserting ``2007;''; and
       (3) by adding at the end the following:
       ``(F) such funds from amounts made available under section 
     503 of the America COMPETES Reauthorization Act of 2010 (124 
     Stat. 4005), as the Secretary finds necessary to carry out 
     the requirements of this subsection for fiscal years 2012 
     through 2013.''.
       (f) Graduate Traineeships in Computer and Network Security 
     Research.--Section 5(c)(7) of the Cyber Security Research and 
     Development Act (15 U.S.C. 7404(c)(7)) is amended--
       (1) in subparagraph (D), by striking ``and'';
       (2) in subparagraph (E), by striking ``2007.'' and 
     inserting ``2007;''; and
       (3) by adding at the end the following:
       ``(F) such funds from amounts made available under section 
     503 of the America COMPETES Reauthorization Act of 2010 (124 
     Stat. 4005), as the Secretary finds necessary to carry out 
     the requirements of this subsection for fiscal years 2012 
     through 2013.''.
                                 ______
                                 
  SA 2582. Mrs. HUTCHISON (for herself, Mr. McCain, Mr. Chambliss, Mr. 
Grassley, Ms. Murkowski, Mr. Coats, Mr. Burr, and Mr. Johnson of 
Wisconsin) submitted an amendment intended to be proposed by her to the 
bill S. 3414, to enhance the security and resiliency of the cyber and 
communications infrastructure of the United States; which was ordered 
to lie on the table; as follows:

       Beginning on page 1, strike line 3 and all that follows 
     through page 211, line 6 and insert the following:

     SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

       (a) Short Title.--This Act may be cited as the 
     ``Strengthening and Enhancing Cybersecurity by Using 
     Research, Education, Information, and Technology Act of 
     2012'' or ``SECURE IT''.
       (b) Table of Contents.--The table of contents of this Act 
     is as follows:

Sec. 1. Short title; table of contents.

       TITLE I--FACILITATING SHARING OF CYBER THREAT INFORMATION

Sec. 101. Definitions.
Sec. 102. Authorization to share cyber threat information.
Sec. 103. Information sharing by the Federal government.
Sec. 104. Construction.
Sec. 105. Report on implementation.
Sec. 106. Inspector General review.
Sec. 107. Technical amendments.
Sec. 108. Access to classified information.

     TITLE II--COORDINATION OF FEDERAL INFORMATION SECURITY POLICY

Sec. 201. Coordination of Federal information security policy.
Sec. 202. Management of information technology.
Sec. 203. No new funding.
Sec. 204. Technical and conforming amendments.
Sec. 205. Clarification of authorities.

                     TITLE III--CRIMINAL PENALTIES

Sec. 301. Penalties for fraud and related activity in connection with 
              computers.
Sec. 302. Trafficking in passwords.
Sec. 303. Conspiracy and attempted computer fraud offenses.
Sec. 304. Criminal and civil forfeiture for fraud and related activity 
              in connection with computers.
Sec. 305. Damage to critical infrastructure computers.
Sec. 306. Limitation on actions involving unauthorized use.
Sec. 307. No new funding.

            TITLE IV--CYBERSECURITY RESEARCH AND DEVELOPMENT

Sec. 401. National High-Performance Computing Program planning and 
              coordination.
Sec. 402. Research in areas of national importance.
Sec. 403. Program improvements.
Sec. 404. Improving education of networking and information technology, 
              including high performance computing.
Sec. 405. Conforming and technical amendments to the High-Performance 
              Computing Act of 1991.
Sec. 406. Federal cyber scholarship-for-service program.
Sec. 407. Study and analysis of certification and training of 
              information infrastructure professionals.
Sec. 408. International cybersecurity technical standards.
Sec. 409. Identity management research and development.
Sec. 410. Federal cybersecurity research and development.

       TITLE I--FACILITATING SHARING OF CYBER THREAT INFORMATION

     SEC. 101. DEFINITIONS.

       In this title:
       (1) Agency.--The term ``agency'' has the meaning given the 
     term in section 3502 of title 44, United States Code.
       (2) Antitrust laws.--The term ``antitrust laws''--
       (A) has the meaning given the term in section 1(a) of the 
     Clayton Act (15 U.S.C. 12(a));
       (B) includes section 5 of the Federal Trade Commission Act 
     (15 U.S.C. 45) to the extent that section 5 of that Act 
     applies to unfair methods of competition; and
       (C) includes any State law that has the same intent and 
     effect as the laws under subparagraphs (A) and (B).
       (3) Countermeasure.--The term ``countermeasure'' means an 
     automated or a manual action with defensive intent to 
     mitigate cyber threats.
       (4) Cyber threat information.--The term ``cyber threat 
     information'' means information that indicates or describes--
       (A) a technical or operation vulnerability or a cyber 
     threat mitigation measure;
       (B) an action or operation to mitigate a cyber threat;
       (C) malicious reconnaissance, including anomalous patterns 
     of network activity that appear to be transmitted for the 
     purpose of gathering technical information related to a 
     cybersecurity threat;
       (D) a method of defeating a technical control;
       (E) a method of defeating an operational control;
       (F) network activity or protocols known to be associated 
     with a malicious cyber actor or that signify malicious cyber 
     intent;
       (G) a method of causing a user with legitimate access to an 
     information system or information that is stored on, 
     processed by, or transiting an information system to 
     inadvertently enable the defeat of a technical or operational 
     control;
       (H) any other attribute of a cybersecurity threat or cyber 
     defense information that would foster situational awareness 
     of the United States cybersecurity posture, if disclosure of 
     such attribute or information is not otherwise prohibited by 
     law;
       (I) the actual or potential harm caused by a cyber 
     incident, including information exfiltrated when it is 
     necessary in order to

[[Page S5508]]

     identify or describe a cybersecurity threat; or
       (J) any combination of subparagraphs (A) through (I).
       (5) Cybersecurity center.--The term ``cybersecurity 
     center'' means the Department of Defense Cyber Crime Center, 
     the Intelligence Community Incident Response Center, the 
     United States Cyber Command Joint Operations Center, the 
     National Cyber Investigative Joint Task Force, the National 
     Security Agency/Central Security Service Threat Operations 
     Center, the National Cybersecurity and Communications 
     Integration Center, and any successor center.
       (6) Cybersecurity system.--The term ``cybersecurity 
     system'' means a system designed or employed to ensure the 
     integrity, confidentiality, or availability of, or to 
     safeguard, a system or network, including measures intended 
     to protect a system or network from--
       (A) efforts to degrade, disrupt, or destroy such system or 
     network; or
       (B) theft or misappropriations of private or government 
     information, intellectual property, or personally 
     identifiable information.
       (7) Entity.--
       (A) In general.--The term ``entity'' means any private 
     entity, non-Federal government agency or department, or 
     State, tribal, or local government agency or department 
     (including an officer, employee, or agent thereof).
       (B) Inclusions.--The term ``entity'' includes a government 
     agency or department (including an officer, employee, or 
     agent thereof) of the District of Columbia, the Commonwealth 
     of Puerto Rico, the Virgin Islands, Guam, American Samoa, the 
     Northern Mariana Islands, and any other territory or 
     possession of the United States.
       (8) Federal information system.--The term ``Federal 
     information system'' means an information system of a Federal 
     department or agency used or operated by an executive agency, 
     by a contractor of an executive agency, or by another 
     organization on behalf of an executive agency.
       (9) Information security.--The term ``information 
     security'' means protecting information and information 
     systems from disruption or unauthorized access, use, 
     disclosure, modification, or destruction in order to 
     provide--
       (A) integrity, by guarding against improper information 
     modification or destruction, including by ensuring 
     information nonrepudiation and authenticity;
       (B) confidentiality, by preserving authorized restrictions 
     on access and disclosure, including means for protecting 
     personal privacy and proprietary information; or
       (C) availability, by ensuring timely and reliable access to 
     and use of information.
       (10) Information system.--The term ``information system'' 
     has the meaning given the term in section 3502 of title 44, 
     United States Code.
       (11) Local government.--The term ``local government'' means 
     any borough, city, county, parish, town, township, village, 
     or other general purpose political subdivision of a State.
       (12) Malicious reconnaissance.--The term ``malicious 
     reconnaissance'' means a method for actively probing or 
     passively monitoring an information system for the purpose of 
     discerning technical vulnerabilities of the information 
     system, if such method is associated with a known or 
     suspected cybersecurity threat.
       (13) Operational control.--The term ``operational control'' 
     means a security control for an information system that 
     primarily is implemented and executed by people.
       (14) Operational vulnerability.--The term ``operational 
     vulnerability'' means any attribute of policy, process, or 
     procedure that could enable or facilitate the defeat of an 
     operational control.
       (15) Private entity.--The term ``private entity'' means any 
     individual or any private group, organization, or 
     corporation, including an officer, employee, or agent 
     thereof.
       (16) Significant cyber incident.--The term ``significant 
     cyber incident'' means a cyber incident resulting in, or an 
     attempted cyber incident that, if successful, would have 
     resulted in--
       (A) the exfiltration from a Federal information system of 
     data that is essential to the operation of the Federal 
     information system; or
       (B) an incident in which an operational or technical 
     control essential to the security or operation of a Federal 
     information system was defeated.
       (17) Technical control.--The term ``technical control'' 
     means a hardware or software restriction on, or audit of, 
     access or use of an information system or information that is 
     stored on, processed by, or transiting an information system 
     that is intended to ensure the confidentiality, integrity, or 
     availability of that system.
       (18) Technical vulnerability.--The term ``technical 
     vulnerability'' means any attribute of hardware or software 
     that could enable or facilitate the defeat of a technical 
     control.
       (19) Tribal.--The term ``tribal'' has the meaning given the 
     term ``Indian tribe'' in section 4 of the Indian Self-
     Determination and Education Assistance Act (25 U.S.C. 450b).

     SEC. 102. AUTHORIZATION TO SHARE CYBER THREAT INFORMATION.

       (a) Voluntary Disclosure.--
       (1) Private entities.--Notwithstanding any other provision 
     of law, a private entity may, for the purpose of preventing, 
     investigating, or otherwise mitigating threats to information 
     security, on its own networks, or as authorized by another 
     entity, on such entity's networks, employ countermeasures and 
     use cybersecurity systems in order to obtain, identify, or 
     otherwise possess cyber threat information.
       (2) Entities.--Notwithstanding any other provision of law, 
     an entity may disclose cyber threat information to--
       (A) a cybersecurity center; or
       (B) any other entity in order to assist with preventing, 
     investigating, or otherwise mitigating threats to information 
     security.
       (3) Information security providers.--If the cyber threat 
     information described in paragraph (1) is obtained, 
     identified, or otherwise possessed in the course of providing 
     information security products or services under contract to 
     another entity, that entity shall be given, at any time prior 
     to disclosure of such information, a reasonable opportunity 
     to authorize or prevent such disclosure, to request 
     anonymization of such information, or to request that 
     reasonable efforts be made to safeguard such information that 
     identifies specific persons from unauthorized access or 
     disclosure.
       (b) Significant Cyber Incidents Involving Federal 
     Information Systems.--
       (1) In general.--An entity providing electronic 
     communication services, remote computing services, or 
     information security services to a Federal department or 
     agency shall inform the Federal department or agency of a 
     significant cyber incident involving the Federal information 
     system of that Federal department or agency that--
       (A) is directly known to the entity as a result of 
     providing such services;
       (B) is directly related to the provision of such services 
     by the entity; and
       (C) as determined by the entity, has impeded or will impede 
     the performance of a critical mission of the Federal 
     department or agency.
       (2) Advance coordination.--A Federal department or agency 
     receiving the services described in paragraph (1) shall 
     coordinate in advance with an entity described in paragraph 
     (1) to develop the parameters of any information that may be 
     provided under paragraph (1), including clarification of the 
     type of significant cyber incident that will impede the 
     performance of a critical mission of the Federal department 
     or agency.
       (3) Report.--A Federal department or agency shall report 
     information provided under this subsection to a cybersecurity 
     center.
       (4) Construction.--Any information provided to a 
     cybersecurity center under paragraph (3) shall be treated in 
     the same manner as information provided to a cybersecurity 
     center under subsection (a).
       (c) Information Shared With or Provided to a Cybersecurity 
     Center.--Cyber threat information provided to a cybersecurity 
     center under this section--
       (1) may be disclosed to, retained by, and used by, 
     consistent with otherwise applicable Federal law, any Federal 
     agency or department, component, officer, employee, or agent 
     of the Federal government for a cybersecurity purpose, a 
     national security purpose, or in order to prevent, 
     investigate, or prosecute any of the offenses listed in 
     section 2516 of title 18, United States Code, and such 
     information shall not be disclosed to, retained by, or used 
     by any Federal agency or department for any use not permitted 
     under this paragraph;
       (2) may, with the prior written consent of the entity 
     submitting such information, be disclosed to and used by a 
     State, tribal, or local government or government agency for 
     the purpose of protecting information systems, or in 
     furtherance of preventing, investigating, or prosecuting a 
     criminal act, except that if the need for immediate 
     disclosure prevents obtaining written consent, such consent 
     may be provided orally with subsequent documentation of such 
     consent;
       (3) shall be considered the commercial, financial, or 
     proprietary information of the entity providing such 
     information to the Federal government and any disclosure 
     outside the Federal government may only be made upon the 
     prior written consent by such entity and shall not constitute 
     a waiver of any applicable privilege or protection provided 
     by law, except that if the need for immediate disclosure 
     prevents obtaining written consent, such consent may be 
     provided orally with subsequent documentation of such 
     consent;
       (4) shall be deemed voluntarily shared information and 
     exempt from disclosure under section 552 of title 5, United 
     States Code, and any State, tribal, or local law requiring 
     disclosure of information or records;
       (5) shall be, without discretion, withheld from the public 
     under section 552(b)(3)(B) of title 5, United States Code, 
     and any State, tribal, or local law requiring disclosure of 
     information or records;
       (6) shall not be subject to the rules of any Federal agency 
     or department or any judicial doctrine regarding ex parte 
     communications with a decision-making official;
       (7) shall not, if subsequently provided to a State, tribal, 
     or local government or government agency, otherwise be 
     disclosed or distributed to any entity by such State, tribal, 
     or local government or government agency without the prior 
     written consent of the entity submitting such information, 
     notwithstanding any State, tribal, or local law requiring 
     disclosure of information or records,

[[Page S5509]]

     except that if the need for immediate disclosure prevents 
     obtaining written consent, such consent may be provided 
     orally with subsequent documentation of such consent; and
       (8) shall not be directly used by any Federal, State, 
     tribal, or local department or agency to regulate the lawful 
     activities of an entity, including activities relating to 
     obtaining, identifying, or otherwise possessing cyber threat 
     information, except that the procedures required to be 
     developed and implemented under this title shall not be 
     considered regulations within the meaning of this paragraph.
       (d) Procedures Relating to Information Sharing With a 
     Cybersecurity Center.--Not later than 60 days after the date 
     of enactment of this Act, the heads of each department or 
     agency containing a cybersecurity center shall jointly 
     develop, promulgate, and submit to Congress procedures to 
     ensure that cyber threat information shared with or provided 
     to--
       (1) a cybersecurity center under this section--
       (A) may be submitted to a cybersecurity center by an 
     entity, to the greatest extent possible, through a uniform, 
     publicly available process or format that is easily 
     accessible on the website of such cybersecurity center, and 
     that includes the ability to provide relevant details about 
     the cyber threat information and written consent to any 
     subsequent disclosures authorized by this paragraph;
       (B) shall immediately be further shared with each 
     cybersecurity center in order to prevent, investigate, or 
     otherwise mitigate threats to information security across the 
     Federal government;
       (C) is handled by the Federal government in a reasonable 
     manner, including consideration of the need to protect the 
     privacy and civil liberties of individuals through 
     anonymization or other appropriate methods, while fully 
     accomplishing the objectives of this title, and the Federal 
     government may undertake efforts consistent with this 
     subparagraph to limit the impact on privacy and civil 
     liberties of the sharing of cyber threat information with the 
     Federal government; and
       (D) except as provided in this section, shall only be used, 
     disclosed, or handled in accordance with the provisions of 
     subsection (c); and
       (2) a Federal agency or department under subsection (b) is 
     provided immediately to a cybersecurity center in order to 
     prevent, investigate, or otherwise mitigate threats to 
     information security across the Federal government.
       (e) Information Shared Between Entities.--
       (1) In general.--An entity sharing cyber threat information 
     with another entity under this title may restrict the use or 
     sharing of such information by such other entity.
       (2) Further sharing.--Cyber threat information shared by 
     any entity with another entity under this title--
       (A) shall only be further shared in accordance with any 
     restrictions placed on the sharing of such information by the 
     entity authorizing such sharing, such as appropriate 
     anonymization of such information; and
       (B) may not be used by any entity to gain an unfair 
     competitive advantage to the detriment of the entity 
     authorizing the sharing of such information, except that the 
     conduct described in paragraph (3) shall not constitute 
     unfair competitive conduct.
       (3) Information shared with state, tribal, or local 
     government or government agency.--Cyber threat information 
     shared with a State, tribal, or local government or 
     government agency under this title--
       (A) may, with the prior written consent of the entity 
     sharing such information, be disclosed to and used by a 
     State, tribal, or local government or government agency for 
     the purpose of protecting information systems, or in 
     furtherance of preventing, investigating, or prosecuting a 
     criminal act, except if the need for immediate disclosure 
     prevents obtaining written consent, consent may be provided 
     orally with subsequent documentation of the consent;
       (B) shall be deemed voluntarily shared information and 
     exempt from disclosure under any State, tribal, or local law 
     requiring disclosure of information or records;
       (C) shall not be disclosed or distributed to any entity by 
     the State, tribal, or local government or government agency 
     without the prior written consent of the entity submitting 
     such information, notwithstanding any State, tribal, or local 
     law requiring disclosure of information or records, except if 
     the need for immediate disclosure prevents obtaining written 
     consent, consent may be provided orally with subsequent 
     documentation of the consent; and
       (D) shall not be directly used by any State, tribal, or 
     local department or agency to regulate the lawful activities 
     of an entity, including activities relating to obtaining, 
     identifying, or otherwise possessing cyber threat 
     information, except that the procedures required to be 
     developed and implemented under this title shall not be 
     considered regulations within the meaning of this 
     subparagraph.
       (4) Antitrust exemption.--The exchange or provision of 
     cyber threat information or assistance between 2 or more 
     private entities under this title shall not be considered a 
     violation of any provision of antitrust laws if exchanged or 
     provided in order to assist with--
       (A) facilitating the prevention, investigation, or 
     mitigation of threats to information security; or
       (B) communicating or disclosing of cyber threat information 
     to help prevent, investigate or otherwise mitigate the 
     effects of a threat to information security.
       (5) No right or benefit.--The provision of cyber threat 
     information to an entity under this section shall not create 
     a right or a benefit to similar information by such entity or 
     any other entity.
       (f) Federal Preemption.--
       (1) In general.--This section supersedes any statute or 
     other law of a State or political subdivision of a State that 
     restricts or otherwise expressly regulates an activity 
     authorized under this section.
       (2) State law enforcement.--Nothing in this section shall 
     be construed to supersede any statute or other law of a State 
     or political subdivision of a State concerning the use of 
     authorized law enforcement techniques.
       (3) Public disclosure.--No information shared with or 
     provided to a State, tribal, or local government or 
     government agency pursuant to this section shall be made 
     publicly available pursuant to any State, tribal, or local 
     law requiring disclosure of information or records.
       (g) Civil and Criminal Liability.--
       (1) General protections.--
       (A) Private entities.--No cause of action shall lie or be 
     maintained in any court against any private entity for--
       (i) the use of countermeasures and cybersecurity systems as 
     authorized by this title;
       (ii) the use, receipt, or disclosure of any cyber threat 
     information as authorized by this title; or
       (iii) the subsequent actions or inactions of any lawful 
     recipient of cyber threat information provided by such 
     private entity.
       (B) Entities.--No cause of action shall lie or be 
     maintained in any court against any entity for--
       (i) the use, receipt, or disclosure of any cyber threat 
     information as authorized by this title; or
       (ii) the subsequent actions or inactions of any lawful 
     recipient of cyber threat information provided by such 
     entity.
       (2) Construction.--Nothing in this subsection shall be 
     construed as creating any immunity against, or otherwise 
     affecting, any action brought by the Federal government, or 
     any agency or department thereof, to enforce any law, 
     executive order, or procedure governing the appropriate 
     handling, disclosure, and use of classified information.
       (h) Otherwise Lawful Disclosures.--Nothing in this section 
     shall be construed to limit or prohibit otherwise lawful 
     disclosures of communications, records, or other information 
     by a private entity to any other governmental or private 
     entity not covered under this section.
       (i) Whistleblower Protection.--Nothing in this Act shall be 
     construed to preempt or preclude any employee from exercising 
     rights currently provided under any whistleblower law, rule, 
     or regulation.
       (j) Relationship to Other Laws.--The submission of cyber 
     threat information under this section to a cybersecurity 
     center shall not affect any requirement under any other 
     provision of law for an entity to provide information to the 
     Federal government.

     SEC. 103. INFORMATION SHARING BY THE FEDERAL GOVERNMENT.

       (a) Classified Information.--
       (1) Procedures.--Consistent with the protection of 
     intelligence sources and methods, and as otherwise determined 
     appropriate, the Director of National Intelligence and the 
     Secretary of Defense, in consultation with the heads of the 
     appropriate Federal departments or agencies, shall develop 
     and promulgate procedures to facilitate and promote--
       (A) the immediate sharing, through the cybersecurity 
     centers, of classified cyber threat information in the 
     possession of the Federal government with appropriately 
     cleared representatives of any appropriate entity; and
       (B) the declassification and immediate sharing, through the 
     cybersecurity centers, with any entity or, if appropriate, 
     public availability of cyber threat information in the 
     possession of the Federal government;
       (2) Handling of classified information.--The procedures 
     developed under paragraph (1) shall ensure that each entity 
     receiving classified cyber threat information pursuant to 
     this section has acknowledged in writing the ongoing 
     obligation to comply with all laws, executive orders, and 
     procedures concerning the appropriate handling, disclosure, 
     or use of classified information.
       (b) Unclassified Cyber Threat Information.--The heads of 
     each department or agency containing a cybersecurity center 
     shall jointly develop and promulgate procedures that ensure 
     that, consistent with the provisions of this section, 
     unclassified, including controlled unclassified, cyber threat 
     information in the possession of the Federal government--
       (1) is shared, through the cybersecurity centers, in an 
     immediate and adequate manner with appropriate entities; and
       (2) if appropriate, is made publicly available.
       (c) Development of Procedures.--
       (1) In general.--The procedures developed under this 
     section shall incorporate, to the greatest extent possible, 
     existing processes utilized by sector specific information 
     sharing and analysis centers.

[[Page S5510]]

       (2) Coordination with entities.--In developing the 
     procedures required under this section, the Director of 
     National Intelligence and the heads of each department or 
     agency containing a cybersecurity center shall coordinate 
     with appropriate entities to ensure that protocols are 
     implemented that will facilitate and promote the sharing of 
     cyber threat information by the Federal government.
       (d) Additional Responsibilities of Cybersecurity Centers.--
     Consistent with section 102, a cybersecurity center shall--
       (1) facilitate information sharing, interaction, and 
     collaboration among and between cybersecurity centers and--
       (A) other Federal entities;
       (B) any entity; and
       (C) international partners, in consultation with the 
     Secretary of State;
       (2) disseminate timely and actionable cybersecurity threat, 
     vulnerability, mitigation, and warning information, including 
     alerts, advisories, indicators, signatures, and mitigation 
     and response measures, to improve the security and protection 
     of information systems; and
       (3) coordinate with other Federal entities, as appropriate, 
     to integrate information from across the Federal government 
     to provide situational awareness of the cybersecurity posture 
     of the United States.
       (e) Sharing Within the Federal Government.--The heads of 
     appropriate Federal departments and agencies shall ensure 
     that cyber threat information in the possession of such 
     Federal departments or agencies that relates to the 
     prevention, investigation, or mitigation of threats to 
     information security across the Federal government is shared 
     effectively with the cybersecurity centers.
       (f) Submission to Congress.--Not later than 60 days after 
     the date of enactment of this Act, the Director of National 
     Intelligence, in coordination with the appropriate head of a 
     department or an agency containing a cybersecurity center, 
     shall submit the procedures required by this section to 
     Congress.

     SEC. 104. CONSTRUCTION.

       (a) Information Sharing Relationships.--Nothing in this 
     title shall be construed--
       (1) to limit or modify an existing information sharing 
     relationship;
       (2) to prohibit a new information sharing relationship;
       (3) to require a new information sharing relationship 
     between any entity and the Federal government, except as 
     specified under section 102(b); or
       (4) to modify the authority of a department or agency of 
     the Federal government to protect sources and methods and the 
     national security of the United States.
       (b) Anti-tasking Restriction.--Nothing in this title shall 
     be construed to permit the Federal government--
       (1) to require an entity to share information with the 
     Federal government, except as expressly provided under 
     section 102(b); or
       (2) to condition the sharing of cyber threat information 
     with an entity on such entity's provision of cyber threat 
     information to the Federal government.
       (c) No Liability for Non-participation.--Nothing in this 
     title shall be construed to subject any entity to liability 
     for choosing not to engage in the voluntary activities 
     authorized under this title.
       (d) Use and Retention of Information.--Nothing in this 
     title shall be construed to authorize, or to modify any 
     existing authority of, a department or agency of the Federal 
     government to retain or use any information shared under 
     section 102 for any use other than a use permitted under 
     subsection 102(c)(1).
       (e) No New Funding.--An applicable Federal agency shall 
     carry out the provisions of this title with existing 
     facilities and funds otherwise available, through such means 
     as the head of the agency considers appropriate.

     SEC. 105. REPORT ON IMPLEMENTATION.

       (a) Content of Report.--Not later than 1 year after the 
     date of enactment of this Act, and biennially thereafter, the 
     heads of each department or agency containing a cybersecurity 
     center shall jointly submit, in coordination with the privacy 
     and civil liberties officials of such departments or agencies 
     and the Privacy and Civil Liberties Oversight Board, a 
     detailed report to Congress concerning the implementation of 
     this title, including--
       (1) an assessment of the sufficiency of the procedures 
     developed under section 103 of this Act in ensuring that 
     cyber threat information in the possession of the Federal 
     government is provided in an immediate and adequate manner to 
     appropriate entities or, if appropriate, is made publicly 
     available;
       (2) an assessment of whether information has been 
     appropriately classified and an accounting of the number of 
     security clearances authorized by the Federal government for 
     purposes of this title;
       (3) a review of the type of cyber threat information shared 
     with a cybersecurity center under section 102 of this Act, 
     including whether such information meets the definition of 
     cyber threat information under section 101, the degree to 
     which such information may impact the privacy and civil 
     liberties of individuals, any appropriate metrics to 
     determine any impact of the sharing of such information with 
     the Federal government on privacy and civil liberties, and 
     the adequacy of any steps taken to reduce such impact;
       (4) a review of actions taken by the Federal government 
     based on information provided to a cybersecurity center under 
     section 102 of this Act, including the appropriateness of any 
     subsequent use under section 102(c)(1) of this Act and 
     whether there was inappropriate stovepiping within the 
     Federal government of any such information;
       (5) a description of any violations of the requirements of 
     this title by the Federal government;
       (6) a classified list of entities that received classified 
     information from the Federal government under section 103 of 
     this Act and a description of any indication that such 
     information may not have been appropriately handled;
       (7) a summary of any breach of information security, if 
     known, attributable to a specific failure by any entity or 
     the Federal government to act on cyber threat information in 
     the possession of such entity or the Federal government that 
     resulted in substantial economic harm or injury to a specific 
     entity or the Federal government; and
       (8) any recommendation for improvements or modifications to 
     the authorities under this title.
       (b) Form of Report.--The report under subsection (a) shall 
     be submitted in unclassified form, but shall include a 
     classified annex.

     SEC. 106. INSPECTOR GENERAL REVIEW.

       (a) In General.--The Council of the Inspectors General on 
     Integrity and Efficiency are authorized to review compliance 
     by the cybersecurity centers, and by any Federal department 
     or agency receiving cyber threat information from such 
     cybersecurity centers, with the procedures required under 
     section 102 of this Act.
       (b) Scope of Review.--The review under subsection (a) shall 
     consider whether the Federal government has handled such 
     cyber threat information in a reasonable manner, including 
     consideration of the need to protect the privacy and civil 
     liberties of individuals through anonymization or other 
     appropriate methods, while fully accomplishing the objectives 
     of this title.
       (c) Report to Congress.--Each review conducted under this 
     section shall be provided to Congress not later than 30 days 
     after the date of completion of the review.

     SEC. 107. TECHNICAL AMENDMENTS.

       Section 552(b) of title 5, United States Code, is amended--
       (1) in paragraph (8), by striking ``or'';
       (2) in paragraph (9), by striking ``wells.'' and inserting 
     ``wells; or''; and
       (3) by adding at the end the following:
       ``(10) information shared with or provided to a 
     cybersecurity center under section 102 of title I of the 
     Strengthening and Enhancing Cybersecurity by Using Research, 
     Education, Information, and Technology Act of 2012.''.

     SEC. 108. ACCESS TO CLASSIFIED INFORMATION.

       (a) Authorization Required.--No person shall be provided 
     with access to classified information (as defined in section 
     6.1 of Executive Order 13526 (50 U.S.C. 435 note; relating to 
     classified national security information)) relating to cyber 
     security threats or cyber security vulnerabilities under this 
     title without the appropriate security clearances.
       (b) Security Clearances.--The appropriate Federal agencies 
     or departments shall, consistent with applicable procedures 
     and requirements, and if otherwise deemed appropriate, assist 
     an individual in timely obtaining an appropriate security 
     clearance where such individual has been determined to be 
     eligible for such clearance and has a need-to-know (as 
     defined in section 6.1 of that Executive Order) classified 
     information to carry out this title.

     TITLE II--COORDINATION OF FEDERAL INFORMATION SECURITY POLICY

     SEC. 201. COORDINATION OF FEDERAL INFORMATION SECURITY 
                   POLICY.

       (a) In General.--Chapter 35 of title 44, United States 
     Code, is amended by striking subchapters II and III and 
     inserting the following:

                 ``SUBCHAPTER II--INFORMATION SECURITY

     ``Sec. 3551. Purposes

       ``The purposes of this subchapter are--
       ``(1) to provide a comprehensive framework for ensuring the 
     effectiveness of information security controls over 
     information resources that support Federal operations and 
     assets;
       ``(2) to recognize the highly networked nature of the 
     current Federal computing environment and provide effective 
     government-wide management of policies, directives, 
     standards, and guidelines, as well as effective and nimble 
     oversight of and response to information security risks, 
     including coordination of information security efforts 
     throughout the Federal civilian, national security, and law 
     enforcement communities;
       ``(3) to provide for development and maintenance of 
     controls required to protect agency information and 
     information systems and contribute to the overall improvement 
     of agency information security posture;
       ``(4) to provide for the development of tools and methods 
     to assess and respond to real-time situational risk for 
     Federal information system operations and assets; and
       ``(5) to provide a mechanism for improving agency 
     information security programs through continuous monitoring 
     of agency information systems and streamlined reporting 
     requirements rather than overly prescriptive manual 
     reporting.

     ``Sec. 3552. Definitions

       ``In this subchapter:
       ``(1) Adequate security.--The term `adequate security' 
     means security commensurate with the risk and magnitude of 
     the

[[Page S5511]]

     harm resulting from the unauthorized access to or loss, 
     misuse, destruction, or modification of information.
       ``(2) Agency.--The term `agency' has the meaning given the 
     term in section 3502 of title 44.
       ``(3) Cybersecurity center.--The term `cybersecurity 
     center' means the Department of Defense Cyber Crime Center, 
     the Intelligence Community Incident Response Center, the 
     United States Cyber Command Joint Operations Center, the 
     National Cyber Investigative Joint Task Force, the National 
     Security Agency/Central Security Service Threat Operations 
     Center, the National Cybersecurity and Communications 
     Integration Center, and any successor center.
       ``(4) Cyber threat information.--The term `cyber threat 
     information' means information that indicates or describes--
       ``(A) a technical or operation vulnerability or a cyber 
     threat mitigation measure;
       ``(B) an action or operation to mitigate a cyber threat;
       ``(C) malicious reconnaissance, including anomalous 
     patterns of network activity that appear to be transmitted 
     for the purpose of gathering technical information related to 
     a cybersecurity threat;
       ``(D) a method of defeating a technical control;
       ``(E) a method of defeating an operational control;
       ``(F) network activity or protocols known to be associated 
     with a malicious cyber actor or that signify malicious cyber 
     intent;
       ``(G) a method of causing a user with legitimate access to 
     an information system or information that is stored on, 
     processed by, or transiting an information system to 
     inadvertently enable the defeat of a technical or operational 
     control;
       ``(H) any other attribute of a cybersecurity threat or 
     cyber defense information that would foster situational 
     awareness of the United States cybersecurity posture, if 
     disclosure of such attribute or information is not otherwise 
     prohibited by law;
       ``(I) the actual or potential harm caused by a cyber 
     incident, including information exfiltrated when it is 
     necessary in order to identify or describe a cybersecurity 
     threat; or
       ``(J) any combination of subparagraphs (A) through (I).
       ``(5) Director.--The term `Director' means the Director of 
     the Office of Management and Budget unless otherwise 
     specified.
       ``(6) Environment of operation.--The term `environment of 
     operation' means the information system and environment in 
     which those systems operate, including changing threats, 
     vulnerabilities, technologies, and missions and business 
     practices.
       ``(7) Federal information system.--The term `Federal 
     information system' means an information system used or 
     operated by an executive agency, by a contractor of an 
     executive agency, or by another organization on behalf of an 
     executive agency.
       ``(8) Incident.--The term `incident' means an occurrence 
     that--
       ``(A) actually or imminently jeopardizes the integrity, 
     confidentiality, or availability of an information system or 
     the information that system controls, processes, stores, or 
     transmits; or
       ``(B) constitutes a violation of law or an imminent threat 
     of violation of a law, a security policy, a security 
     procedure, or an acceptable use policy.
       ``(9) Information resources.--The term `information 
     resources' has the meaning given the term in section 3502 of 
     title 44.
       ``(10) Information security.--The term `information 
     security' means protecting information and information 
     systems from disruption or unauthorized access, use, 
     disclosure, modification, or destruction in order to 
     provide--
       ``(A) integrity, by guarding against improper information 
     modification or destruction, including by ensuring 
     information nonrepudiation and authenticity;
       ``(B) confidentiality, by preserving authorized 
     restrictions on access and disclosure, including means for 
     protecting personal privacy and proprietary information; or
       ``(C) availability, by ensuring timely and reliable access 
     to and use of information.
       ``(11) Information system.--The term `information system' 
     has the meaning given the term in section 3502 of title 44.
       ``(12) Information technology.--The term `information 
     technology' has the meaning given the term in section 11101 
     of title 40.
       ``(13) Malicious reconnaissance.--The term `malicious 
     reconnaissance' means a method for actively probing or 
     passively monitoring an information system for the purpose of 
     discerning technical vulnerabilities of the information 
     system, if such method is associated with a known or 
     suspected cybersecurity threat.
       ``(14) National security system.--
       ``(A) In general.--The term `national security system' 
     means any information system (including any 
     telecommunications system) used or operated by an agency or 
     by a contractor of an agency, or other organization on behalf 
     of an agency--
       ``(i) the function, operation, or use of which--

       ``(I) involves intelligence activities;
       ``(II) involves cryptologic activities related to national 
     security;
       ``(III) involves command and control of military forces;
       ``(IV) involves equipment that is an integral part of a 
     weapon or weapons system; or
       ``(V) subject to subparagraph (B), is critical to the 
     direct fulfillment of military or intelligence missions; or

       ``(ii) is protected at all times by procedures established 
     for information that have been specifically authorized under 
     criteria established by an Executive Order or an Act of 
     Congress to be kept classified in the interest of national 
     defense or foreign policy.
       ``(B) Limitation.--Subparagraph (A)(i)(V) does not include 
     a system that is to be used for routine administrative and 
     business applications (including payroll, finance, logistics, 
     and personnel management applications).
       ``(15) Operational control.--The term `operational control' 
     means a security control for an information system that 
     primarily is implemented and executed by people.
       ``(16) Person.--The term `person' has the meaning given the 
     term in section 3502 of title 44.
       ``(17) Secretary.--The term `Secretary' means the Secretary 
     of Commerce unless otherwise specified.
       ``(18) Security control.--The term `security control' means 
     the management, operational, and technical controls, 
     including safeguards or countermeasures, prescribed for an 
     information system to protect the confidentiality, integrity, 
     and availability of the system and its information.
       ``(19) Significant cyber incident.--The term `significant 
     cyber incident' means a cyber incident resulting in, or an 
     attempted cyber incident that, if successful, would have 
     resulted in--
       ``(A) the exfiltration from a Federal information system of 
     data that is essential to the operation of the Federal 
     information system; or
       ``(B) an incident in which an operational or technical 
     control essential to the security or operation of a Federal 
     information system was defeated.
       ``(20) Technical control.--The term `technical control' 
     means a hardware or software restriction on, or audit of, 
     access or use of an information system or information that is 
     stored on, processed by, or transiting an information system 
     that is intended to ensure the confidentiality, integrity, or 
     availability of that system.

     ``Sec. 3553. Federal information security authority and 
       coordination

       ``(a) In General.--The Secretary, in consultation with the 
     Secretary of Homeland Security, shall--
       ``(1) issue compulsory and binding policies and directives 
     governing agency information security operations, and require 
     implementation of such policies and directives, including--
       ``(A) policies and directives consistent with the standards 
     and guidelines promulgated under section 11331 of title 40 to 
     identify and provide information security protections 
     prioritized and commensurate with the risk and impact 
     resulting from the unauthorized access, use, disclosure, 
     disruption, modification, or destruction of--
       ``(i) information collected or maintained by or on behalf 
     of an agency; or
       ``(ii) information systems used or operated by an agency or 
     by a contractor of an agency or other organization on behalf 
     of an agency;
       ``(B) minimum operational requirements for Federal 
     Government to protect agency information systems and provide 
     common situational awareness across all agency information 
     systems;
       ``(C) reporting requirements, consistent with relevant law, 
     regarding information security incidents and cyber threat 
     information;
       ``(D) requirements for agencywide information security 
     programs;
       ``(E) performance requirements and metrics for the security 
     of agency information systems;
       ``(F) training requirements to ensure that agencies are 
     able to fully and timely comply with the policies and 
     directives issued by the Secretary under this subchapter;
       ``(G) training requirements regarding privacy, civil 
     rights, and civil liberties, and information oversight for 
     agency information security personnel;
       ``(H) requirements for the annual reports to the Secretary 
     under section 3554(d);
       ``(I) any other information security operations or 
     information security requirements as determined by the 
     Secretary in coordination with relevant agency heads; and
       ``(J) coordinating the development of standards and 
     guidelines under section 20 of the National Institute of 
     Standards and Technology Act (15 U.S.C. 278g-3) with agencies 
     and offices operating or exercising control of national 
     security systems (including the National Security Agency) to 
     assure, to the maximum extent feasible, that such standards 
     and guidelines are complementary with standards and 
     guidelines developed for national security systems;
       ``(2) review the agencywide information security programs 
     under section 3554; and
       ``(3) designate an individual or an entity at each 
     cybersecurity center, among other responsibilities--
       ``(A) to receive reports and information about information 
     security incidents, cyber threat information, and 
     deterioration of security control affecting agency 
     information systems; and
       ``(B) to act on or share the information under subparagraph 
     (A) in accordance with this subchapter.
       ``(b) Considerations.--When issuing policies and directives 
     under subsection (a), the

[[Page S5512]]

     Secretary shall consider any applicable standards or 
     guidelines developed by the National Institute of Standards 
     and Technology under section 11331 of title 40.
       ``(c) Limitation of Authority.--The authorities of the 
     Secretary under this section shall not apply to national 
     security systems. Information security policies, directives, 
     standards and guidelines for national security systems shall 
     be overseen as directed by the President and, in accordance 
     with that direction, carried out under the authority of the 
     heads of agencies that operate or exercise authority over 
     such national security systems.
       ``(d) Statutory Construction.--Nothing in this subchapter 
     shall be construed to alter or amend any law regarding the 
     authority of any head of an agency over such agency.

     ``Sec. 3554. Agency responsibilities

       ``(a) In General.--The head of each agency shall--
       ``(1) be responsible for--
       ``(A) complying with the policies and directives issued 
     under section 3553;
       ``(B) providing information security protections 
     commensurate with the risk resulting from unauthorized 
     access, use, disclosure, disruption, modification, or 
     destruction of--
       ``(i) information collected or maintained by the agency or 
     by a contractor of an agency or other organization on behalf 
     of an agency; and
       ``(ii) information systems used or operated by an agency or 
     by a contractor of an agency or other organization on behalf 
     of an agency;
       ``(C) complying with the requirements of this subchapter, 
     including--
       ``(i) information security standards and guidelines 
     promulgated under section 11331 of title 40;
       ``(ii) for any national security systems operated or 
     controlled by that agency, information security policies, 
     directives, standards and guidelines issued as directed by 
     the President; and
       ``(iii) for any non-national security systems operated or 
     controlled by that agency, information security policies, 
     directives, standards and guidelines issued under section 
     3553;
       ``(D) ensuring that information security management 
     processes are integrated with agency strategic and 
     operational planning processes;
       ``(E) reporting and sharing, for an agency operating or 
     exercising control of a national security system, information 
     about information security incidents, cyber threat 
     information, and deterioration of security controls to the 
     individual or entity designated at each cybersecurity center 
     and to other appropriate entities consistent with policies 
     and directives for national security systems issued as 
     directed by the President; and
       ``(F) reporting and sharing, for those agencies operating 
     or exercising control of non-national security systems, 
     information about information security incidents, cyber 
     threat information, and deterioration of security controls to 
     the individual or entity designated at each cybersecurity 
     center and to other appropriate entities consistent with 
     policies and directives for non-national security systems as 
     prescribed under section 3553(a), including information to 
     assist the entity designated under section 3555(a) with the 
     ongoing security analysis under section 3555;
       ``(2) ensure that each senior agency official provides 
     information security for the information and information 
     systems that support the operations and assets under the 
     senior agency official's control, including by--
       ``(A) assessing the risk and impact that could result from 
     the unauthorized access, use, disclosure, disruption, 
     modification, or destruction of such information or 
     information systems;
       ``(B) determining the level of information security 
     appropriate to protect such information and information 
     systems in accordance with policies and directives issued 
     under section 3553(a), and standards and guidelines 
     promulgated under section 11331 of title 40 for information 
     security classifications and related requirements;
       ``(C) implementing policies, procedures, and capabilities 
     to reduce risks to an acceptable level in a cost-effective 
     manner;
       ``(D) actively monitoring the effective implementation of 
     information security controls and techniques; and
       ``(E) reporting information about information security 
     incidents, cyber threat information, and deterioration of 
     security controls in a timely and adequate manner to the 
     entity designated under section 3553(a)(3) in accordance with 
     paragraph (1);
       ``(3) assess and maintain the resiliency of information 
     technology systems critical to agency mission and operations;
       ``(4) designate the agency Inspector General (or an 
     independent entity selected in consultation with the Director 
     and the Council of Inspectors General on Integrity and 
     Efficiency if the agency does not have an Inspector General) 
     to conduct the annual independent evaluation required under 
     section 3556, and allow the agency Inspector General to 
     contract with an independent entity to perform such 
     evaluation;
       ``(5) delegate to the Chief Information Officer or 
     equivalent (or to a senior agency official who reports to the 
     Chief Information Officer or equivalent)--
       ``(A) the authority and primary responsibility to implement 
     an agencywide information security program; and
       ``(B) the authority to provide information security for the 
     information collected and maintained by the agency (or by a 
     contractor, other agency, or other source on behalf of the 
     agency) and for the information systems that support the 
     operations, assets, and mission of the agency (including any 
     information system provided or managed by a contractor, other 
     agency, or other source on behalf of the agency);
       ``(6) delegate to the appropriate agency official (who is 
     responsible for a particular agency system or subsystem) the 
     responsibility to ensure and enforce compliance with all 
     requirements of the agency's agencywide information security 
     program in coordination with the Chief Information Officer or 
     equivalent (or the senior agency official who reports to the 
     Chief Information Officer or equivalent) under paragraph (5);
       ``(7) ensure that an agency has trained personnel who have 
     obtained any necessary security clearances to permit them to 
     assist the agency in complying with this subchapter;
       ``(8) ensure that the Chief Information Officer or 
     equivalent (or the senior agency official who reports to the 
     Chief Information Officer or equivalent) under paragraph (5), 
     in coordination with other senior agency officials, reports 
     to the agency head on the effectiveness of the agencywide 
     information security program, including the progress of any 
     remedial actions; and
       ``(9) ensure that the Chief Information Officer or 
     equivalent (or the senior agency official who reports to the 
     Chief Information Officer or equivalent) under paragraph (5) 
     has the necessary qualifications to administer the functions 
     described in this subchapter and has information security 
     duties as a primary duty of that official.
       ``(b) Chief Information Officers.--Each Chief Information 
     Officer or equivalent (or the senior agency official who 
     reports to the Chief Information Officer or equivalent) under 
     subsection (a)(5) shall--
       ``(1) establish and maintain an enterprise security 
     operations capability that on a continuous basis--
       ``(A) detects, reports, contains, mitigates, and responds 
     to information security incidents that impair adequate 
     security of the agency's information or information system in 
     a timely manner and in accordance with the policies and 
     directives under section 3553; and
       ``(B) reports any information security incident under 
     subparagraph (A) to the entity designated under section 3555;
       ``(2) develop, maintain, and oversee an agencywide 
     information security program;
       ``(3) develop, maintain, and oversee information security 
     policies, procedures, and control techniques to address 
     applicable requirements, including requirements under section 
     3553 of this title and section 11331 of title 40; and
       ``(4) train and oversee the agency personnel who have 
     significant responsibility for information security with 
     respect to that responsibility.
       ``(c) Agencywide Information Security Programs.--
       ``(1) In general.--Each agencywide information security 
     program under subsection (b)(2) shall include--
       ``(A) relevant security risk assessments, including 
     technical assessments and others related to the acquisition 
     process;
       ``(B) security testing commensurate with risk and impact;
       ``(C) mitigation of deterioration of security controls 
     commensurate with risk and impact;
       ``(D) risk-based continuous monitoring and threat 
     assessment of the operational status and security of agency 
     information systems to enable evaluation of the effectiveness 
     of and compliance with information security policies, 
     procedures, and practices, including a relevant and 
     appropriate selection of security controls of information 
     systems identified in the inventory under section 3505(c);
       ``(E) operation of appropriate technical capabilities in 
     order to detect, mitigate, report, and respond to information 
     security incidents, cyber threat information, and 
     deterioration of security controls in a manner that is 
     consistent with the policies and directives under section 
     3553, including--
       ``(i) mitigating risks associated with such information 
     security incidents;
       ``(ii) notifying and consulting with the entity designated 
     under section 3555; and
       ``(iii) notifying and consulting with, as appropriate--

       ``(I) law enforcement and the relevant Office of the 
     Inspector General; and
       ``(II) any other entity, in accordance with law and as 
     directed by the President;

       ``(F) a process to ensure that remedial action is taken to 
     address any deficiencies in the information security 
     policies, procedures, and practices of the agency; and
       ``(G) a plan and procedures to ensure the continuity of 
     operations for information systems that support the 
     operations and assets of the agency.
       ``(2) Risk management strategies.--Each agencywide 
     information security program under subsection (b)(2) shall 
     include the development and maintenance of a risk management 
     strategy for information security. The risk management 
     strategy shall include--
       ``(A) consideration of information security incidents, 
     cyber threat information, and deterioration of security 
     controls; and

[[Page S5513]]

       ``(B) consideration of the consequences that could result 
     from the unauthorized access, use, disclosure, disruption, 
     modification, or destruction of information and information 
     systems that support the operations and assets of the agency, 
     including any information system provided or managed by a 
     contractor, other agency, or other source on behalf of the 
     agency;
       ``(3) Policies and procedures.--Each agencywide information 
     security program under subsection (b)(2) shall include 
     policies and procedures that--
       ``(A) are based on the risk management strategy under 
     paragraph (2);
       ``(B) reduce information security risks to an acceptable 
     level in a cost-effective manner;
       ``(C) ensure that cost-effective and adequate information 
     security is addressed as part of the acquisition and ongoing 
     management of each agency information system; and
       ``(D) ensure compliance with--
       ``(i) this subchapter; and
       ``(ii) any other applicable requirements.
       ``(4) Training requirements.--Each agencywide information 
     security program under subsection (b)(2) shall include 
     information security, privacy, civil rights, civil liberties, 
     and information oversight training that meets any applicable 
     requirements under section 3553. The training shall inform 
     each information security personnel that has access to agency 
     information systems (including contractors and other users of 
     information systems that support the operations and assets of 
     the agency) of--
       ``(A) the information security risks associated with the 
     information security personnel's activities; and
       ``(B) the individual's responsibility to comply with the 
     agency policies and procedures that reduce the risks under 
     subparagraph (A).
       ``(d) Annual Report.--Each agency shall submit a report 
     annually to the Secretary of Homeland Security on its 
     agencywide information security program and information 
     systems.

     ``Sec. 3555. Multiagency ongoing threat assessment

       ``(a) Implementation.--The Director of the Office of 
     Management and Budget, in coordination with the Secretary of 
     Homeland Security, shall designate an entity to implement 
     ongoing security analysis concerning agency information 
     systems--
       ``(1) based on cyber threat information;
       ``(2) based on agency information system and environment of 
     operation changes, including--
       ``(A) an ongoing evaluation of the information system 
     security controls; and
       ``(B) the security state, risk level, and environment of 
     operation of an agency information system, including--
       ``(i) a change in risk level due to a new cyber threat;
       ``(ii) a change resulting from a new technology;
       ``(iii) a change resulting from the agency's mission; and
       ``(iv) a change resulting from the business practice; and
       ``(3) using automated processes to the maximum extent 
     possible--
       ``(A) to increase information system security;
       ``(B) to reduce paper-based reporting requirements; and
       ``(C) to maintain timely and actionable knowledge of the 
     state of the information system security.
       ``(b) Standards.--The National Institute of Standards and 
     Technology may promulgate standards, in coordination with the 
     Secretary of Homeland Security, to assist an agency with its 
     duties under this section.
       ``(c) Compliance.--The head of each appropriate department 
     and agency shall be responsible for ensuring compliance and 
     implementing necessary procedures to comply with this 
     section. The head of each appropriate department and agency, 
     in consultation with the Director of the Office of Management 
     and Budget and the Secretary of Homeland Security, shall--
       ``(1) monitor compliance under this section;
       ``(2) develop a timeline and implement for the department 
     or agency--
       ``(A) adoption of any technology, system, or method that 
     facilitates continuous monitoring and threat assessments of 
     an agency information system;
       ``(B) adoption or updating of any technology, system, or 
     method that prevents, detects, or remediates a significant 
     cyber incident to a Federal information system of the 
     department or agency that has impeded, or is reasonably 
     likely to impede, the performance of a critical mission of 
     the department or agency; and
       ``(C) adoption of any technology, system, or method that 
     satisfies a requirement under this section.
       ``(d) Limitation of Authority.--The authorities of the 
     Director of the Office of Management and Budget and of the 
     Secretary of Homeland Security under this section shall not 
     apply to national security systems.
       ``(e) Report.--Not later than 6 months after the date of 
     enactment of the Strengthening and Enhancing Cybersecurity by 
     Using Research, Education, Information, and Technology Act of 
     2012, the Government Accountability Office shall issue a 
     report evaluating each agency's status toward implementing 
     this section.

     ``Sec. 3556. Independent evaluations

       ``(a) In General.--The Council of the Inspectors General on 
     Integrity and Efficiency, in consultation with the Director 
     and the Secretary of Homeland Security, the Secretary of 
     Commerce, and the Secretary of Defense, shall issue and 
     maintain criteria for the timely, cost-effective, risk-based, 
     and independent evaluation of each agencywide information 
     security program (and practices) to determine the 
     effectiveness of the agencywide information security program 
     (and practices). The criteria shall include measures to 
     assess any conflicts of interest in the performance of the 
     evaluation and whether the agencywide information security 
     program includes appropriate safeguards against disclosure of 
     information where such disclosure may adversely affect 
     information security.
       ``(b) Annual Independent Evaluations.--Each agency shall 
     perform an annual independent evaluation of its agencywide 
     information security program (and practices) in accordance 
     with the criteria under subsection (a).
       ``(c) Distribution of Reports.--Not later than 30 days 
     after receiving an independent evaluation under subsection 
     (b), each agency head shall transmit a copy of the 
     independent evaluation to the Secretary of Homeland Security, 
     the Secretary of Commerce, and the Secretary of Defense.
       ``(d) National Security Systems.--Evaluations involving 
     national security systems shall be conducted as directed by 
     President.

     ``Sec. 3557. National security systems.

       ``The head of each agency operating or exercising control 
     of a national security system shall be responsible for 
     ensuring that the agency--
       ``(1) provides information security protections 
     commensurate with the risk and magnitude of the harm 
     resulting from the unauthorized access, use, disclosure, 
     disruption, modification, or destruction of the information 
     contained in such system; and
       ``(2) implements information security policies and 
     practices as required by standards and guidelines for 
     national security systems, issued in accordance with law and 
     as directed by the President.''.
       (b) Savings Provisions.--
       (1) Policy and compliance guidance.--Policy and compliance 
     guidance issued by the Director before the date of enactment 
     of this Act under section 3543(a)(1) of title 44, United 
     States Code (as in effect on the day before the date of 
     enactment of this Act), shall continue in effect, according 
     to its terms, until modified, terminated, superseded, or 
     repealed pursuant to section 3553(a)(1) of title 44, United 
     States Code.
       (2) Standards and guidelines.--Standards and guidelines 
     issued by the Secretary of Commerce or by the Director before 
     the date of enactment of this Act under section 11331(a)(1) 
     of title 40, United States Code, (as in effect on the day 
     before the date of enactment of this Act) shall continue in 
     effect, according to their terms, until modified, terminated, 
     superseded, or repealed pursuant to section 11331(a)(1) of 
     title 40, United States Code, as amended by this Act.
       (c) Technical and Conforming Amendments.--
       (1) Chapter analysis.--The chapter analysis for chapter 35 
     of title 44, United States Code, is amended--
       (A) by striking the items relating to sections 3531 through 
     3538;
       (B) by striking the items relating to sections 3541 through 
     3549; and
       (C) by inserting the following:

``3551. Purposes.
``3552. Definitions.
``3553. Federal information security authority and coordination.
``3554. Agency responsibilities.
``3555. Multiagency ongoing threat assessment.
``3556. Independent evaluations.
``3557. National security systems.''.
       (2) Other references.--
       (A) Section 1001(c)(1)(A) of the Homeland Security Act of 
     2002 (6 U.S.C. 511(1)(A)) is amended by striking ``section 
     3532(3)'' and inserting ``section 3552''.
       (B) Section 2222(j)(5) of title 10, United States Code, is 
     amended by striking ``section 3542(b)(2)'' and inserting 
     ``section 3552''.
       (C) Section 2223(c)(3) of title 10, United States Code, is 
     amended, by striking ``section 3542(b)(2)'' and inserting 
     ``section 3552''.
       (D) Section 2315 of title 10, United States Code, is 
     amended by striking ``section 3542(b)(2)'' and inserting 
     ``section 3552''.
       (E) Section 20 of the National Institute of Standards and 
     Technology Act (15 U.S.C. 278g-3) is amended--
       (i) in subsection (a)(2), by striking ``section 
     3532(b)(2)'' and inserting ``section 3552'';
       (ii) in subsection (c)(3), by striking ``Director of the 
     Office of Management and Budget'' and inserting ``Secretary 
     of Commerce'';
       (iii) in subsection (d)(1), by striking ``Director of the 
     Office of Management and Budget'' and inserting ``Secretary 
     of Commerce'';
       (iv) in subsection (d)(8) by striking ``Director of the 
     Office of Management and Budget'' and inserting ``Secretary 
     of Commerce'';
       (v) in subsection (d)(8), by striking ``submitted to the 
     Director'' and inserting ``submitted to the Secretary'';
       (vi) in subsection (e)(2), by striking ``section 3532(1) of 
     such title'' and inserting ``section 3552 of title 44''; and
       (vii) in subsection (e)(5), by striking ``section 
     3532(b)(2) of such title'' and inserting ``section 3552 of 
     title 44''.

[[Page S5514]]

       (F) Section 8(d)(1) of the Cyber Security Research and 
     Development Act (15 U.S.C. 7406(d)(1)) is amended by striking 
     ``section 3534(b)'' and inserting ``section 3554(b)(2)''.

     SEC. 202. MANAGEMENT OF INFORMATION TECHNOLOGY.

       (a) In General.--Section 11331 of title 40, United States 
     Code, is amended to read as follows:

     ``Sec. 11331. Responsibilities for Federal information 
       systems standards

       ``(a) Standards and Guidelines.--
       ``(1) Authority to prescribe.--Except as provided under 
     paragraph (2), the Secretary of Commerce shall prescribe 
     standards and guidelines pertaining to Federal information 
     systems--
       ``(A) in consultation with the Secretary of Homeland 
     Security; and
       ``(B) on the basis of standards and guidelines developed by 
     the National Institute of Standards and Technology under 
     paragraphs (2) and (3) of section 20(a) of the National 
     Institute of Standards and Technology Act (15 U.S.C. 278g-
     3(a)(2) and (a)(3)).
       ``(2) National security systems.--Standards and guidelines 
     for national security systems shall be developed, prescribed, 
     enforced, and overseen as otherwise authorized by law and as 
     directed by the President.
       ``(b) Mandatory Standards and Guidelines.--
       ``(1) Authority to make mandatory standards and 
     guidelines.--The Secretary of Commerce shall make standards 
     and guidelines under subsection (a)(1) compulsory and binding 
     to the extent determined necessary by the Secretary of 
     Commerce to improve the efficiency of operation or security 
     of Federal information systems.
       ``(2) Required mandatory standards and guidelines.--
       ``(A) In general.--Standards and guidelines under 
     subsection (a)(1) shall include information security 
     standards that--
       ``(i) provide minimum information security requirements as 
     determined under section 20(b) of the National Institute of 
     Standards and Technology Act (15 U.S.C. 278g-3(b)); and
       ``(ii) are otherwise necessary to improve the security of 
     Federal information and information systems.
       ``(B) Binding effect.--Information security standards under 
     subparagraph (A) shall be compulsory and binding.
       ``(c) Exercise of Authority.--To ensure fiscal and policy 
     consistency, the Secretary of Commerce shall exercise the 
     authority conferred by this section subject to direction by 
     the President and in coordination with the Director.
       ``(d) Application of More Stringent Standards and 
     Guidelines.--The head of an executive agency may employ 
     standards for the cost-effective information security for 
     information systems within or under the supervision of that 
     agency that are more stringent than the standards and 
     guidelines the Secretary of Commerce prescribes under this 
     section if the more stringent standards and guidelines--
       ``(1) contain at least the applicable standards and 
     guidelines made compulsory and binding by the Secretary of 
     Commerce; and
       ``(2) are otherwise consistent with the policies, 
     directives, and implementation memoranda issued under section 
     3553(a) of title 44.
       ``(e) Decisions on Promulgation of Standards and 
     Guidelines.--The decision by the Secretary of Commerce 
     regarding the promulgation of any standard or guideline under 
     this section shall occur not later than 6 months after the 
     date of submission of the proposed standard to the Secretary 
     of Commerce by the National Institute of Standards and 
     Technology under section 20 of the National Institute of 
     Standards and Technology Act (15 U.S.C. 278g-3).
       ``(f) Notice and Comment.--A decision by the Secretary of 
     Commerce to significantly modify, or not promulgate, a 
     proposed standard submitted to the Secretary by the National 
     Institute of Standards and Technology under section 20 of the 
     National Institute of Standards and Technology Act (15 U.S.C. 
     278g-3) shall be made after the public is given an 
     opportunity to comment on the Secretary's proposed decision.
       ``(g) Definitions.--In this section:
       ``(1) Federal information system.--The term `Federal 
     information system' has the meaning given the term in section 
     3552 of title 44.
       ``(2) Information security.--The term `information 
     security' has the meaning given the term in section 3552 of 
     title 44.
       ``(3) National security system.--The term `national 
     security system' has the meaning given the term in section 
     3552 of title 44.''.

     SEC. 203. NO NEW FUNDING.

       An applicable Federal agency shall carry out the provisions 
     of this title with existing facilities and funds otherwise 
     available, through such means as the head of the agency 
     considers appropriate.

     SEC. 204. TECHNICAL AND CONFORMING AMENDMENTS.

       Section 21(b) of the National Institute of Standards and 
     Technology Act (15 U.S.C. 278g-4(b)) is amended--
       (1) in paragraph (2), by striking ``and the Director of the 
     Office of Management and Budget'' and inserting ``, the 
     Secretary of Commerce, and the Secretary of Homeland 
     Security''; and
       (2) in paragraph (3), by inserting ``, the Secretary of 
     Homeland Security,'' after ``the Secretary of Commerce''.

     SEC. 205. CLARIFICATION OF AUTHORITIES.

       Nothing in this title shall be construed to convey any new 
     regulatory authority to any government entity implementing or 
     complying with any provision of this title.

                     TITLE III--CRIMINAL PENALTIES

     SEC. 301. PENALTIES FOR FRAUD AND RELATED ACTIVITY IN 
                   CONNECTION WITH COMPUTERS.

       Section 1030(c) of title 18, United States Code, is amended 
     to read as follows:
       ``(c) The punishment for an offense under subsection (a) or 
     (b) of this section is--
       ``(1) a fine under this title or imprisonment for not more 
     than 20 years, or both, in the case of an offense under 
     subsection (a)(1) of this section;
       ``(2)(A) except as provided in subparagraph (B), a fine 
     under this title or imprisonment for not more than 3 years, 
     or both, in the case of an offense under subsection (a)(2); 
     or
       ``(B) a fine under this title or imprisonment for not more 
     than ten years, or both, in the case of an offense under 
     subsection (a)(2) of this section, if--
       ``(i) the offense was committed for purposes of commercial 
     advantage or private financial gain;
       ``(ii) the offense was committed in the furtherance of any 
     criminal or tortious act in violation of the Constitution or 
     laws of the United States, or of any State; or
       ``(iii) the value of the information obtained, or that 
     would have been obtained if the offense was completed, 
     exceeds $5,000;
       ``(3) a fine under this title or imprisonment for not more 
     than 10 years, or both, in the case of an offense under 
     subsection (a)(3) of this section;
       ``(4) a fine under this title or imprisonment of not more 
     than 20 years, or both, in the case of an offense under 
     subsection (a)(4) of this section;
       ``(5)(A) except as provided in subparagraph (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) of 
     this section, if the offense 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;
       ``(v) damage affecting a computer used by, or on behalf of, 
     an entity of the United States Government in furtherance of 
     the administration of justice, national defense, or national 
     security; or
       ``(vi) damage affecting 10 or more protected computers 
     during any 1-year period;
       ``(B) a fine under this title, imprisonment for not more 
     than 20 years, or both, in the case of an offense under 
     subsection (a)(5)(B), if the offense caused a harm provided 
     in clause (i) through (vi) of subparagraph (A) of this 
     subsection;
       ``(C) if the offender attempts to cause or knowingly or 
     recklessly causes death from conduct in violation of 
     subsection (a)(5)(A), a fine under this title, imprisonment 
     for any term of years or for life, or both;
       ``(D) a fine under this title, imprisonment for not more 
     than 10 years, or both, for any other offense under 
     subsection (a)(5);
       ``(E) a fine under this title or imprisonment for not more 
     than 10 years, or both, in the case of an offense under 
     subsection (a)(6) of this section; or
       ``(F) a fine under this title or imprisonment for not more 
     than 10 years, or both, in the case of an offense under 
     subsection (a)(7) of this section.''.

     SEC. 302. TRAFFICKING IN PASSWORDS.

       Section 1030(a)(6) of title 18, United States Code, is 
     amended to read as follows:
       ``(6) knowingly and with intent to defraud traffics (as 
     defined in section 1029) in any password or similar 
     information or means of access through which a protected 
     computer (as defined in subparagraphs (A) and (B) of 
     subsection (e)(2)) may be accessed without authorization.''.

     SEC. 303. CONSPIRACY AND ATTEMPTED COMPUTER FRAUD OFFENSES.

       Section 1030(b) of title 18, United States Code, is amended 
     by inserting ``as if for the completed offense'' after 
     ``punished as provided''.

     SEC. 304. CRIMINAL AND CIVIL FORFEITURE FOR FRAUD AND RELATED 
                   ACTIVITY IN CONNECTION WITH COMPUTERS.

       Section 1030 of title 18, United States Code, is amended by 
     striking subsections (i) and (j) and inserting the following:
       ``(i) Criminal Forfeiture.--
       ``(1) The court, in imposing sentence on any person 
     convicted of a violation of this section, or convicted of 
     conspiracy to violate this section, shall order, in addition 
     to any other sentence imposed and irrespective of any 
     provision of State law, that such person forfeit to the 
     United States--
       ``(A) such persons interest in any property, real or 
     personal, that was used, or intended to be used, to commit or 
     facilitate the commission of such violation; and
       ``(B) any property, real or personal, constituting or 
     derived from any gross proceeds, or any property traceable to 
     such property, that such person obtained, directly or 
     indirectly, as a result of such violation.
       ``(2) The criminal forfeiture of property under this 
     subsection, including any seizure and disposition of the 
     property, and any related judicial or administrative 
     proceeding, shall be governed by the provisions of section 
     413 of the Comprehensive Drug Abuse

[[Page S5515]]

     Prevention and Control Act of 1970 (21 U.S.C. 853), except 
     subsection (d) of that section.
       ``(j) Civil Forfeiture.--
       ``(1) The following shall be subject to forfeiture to the 
     United States and no property right, real or personal, shall 
     exist in them:
       ``(A) Any property, real or personal, that was used, or 
     intended to be used, to commit or facilitate the commission 
     of any violation of this section, or a conspiracy to violate 
     this section.
       ``(B) Any property, real or personal, constituting or 
     derived from any gross proceeds obtained directly or 
     indirectly, or any property traceable to such property, as a 
     result of the commission of any violation of this section, or 
     a conspiracy to violate this section.
       ``(2) Seizures and forfeitures under this subsection shall 
     be governed by the provisions in chapter 46 relating to civil 
     forfeitures, except that such duties as are imposed on the 
     Secretary of the Treasury under the customs laws described in 
     section 981(d) shall be performed by such officers, agents 
     and other persons as may be designated for that purpose by 
     the Secretary of Homeland Security or the Attorney 
     General.''.

     SEC. 305. DAMAGE TO CRITICAL INFRASTRUCTURE COMPUTERS.

       (a) In General.--Chapter 47 of title 18, United States 
     Code, is amended by inserting after section 1030 the 
     following:

     ``Sec. 1030A. Aggravated damage to a critical infrastructure 
       computer

       ``(a) Definitions.--In this section--
       ``(1) the term `computer' has the meaning given the term in 
     section 1030;
       ``(2) the term `critical infrastructure computer' means a 
     computer that manages or controls systems or assets vital to 
     national defense, national security, national economic 
     security, public health or safety, or any combination of 
     those matters, whether publicly or privately owned or 
     operated, including--
       ``(A) oil and gas production, storage, conversion, and 
     delivery systems;
       ``(B) water supply systems;
       ``(C) telecommunication networks;
       ``(D) electrical power generation and delivery systems;
       ``(E) finance and banking systems;
       ``(F) emergency services;
       ``(G) transportation systems and services; and
       ``(H) government operations that provide essential services 
     to the public; and
       ``(3) the term `damage' has the meaning given the term in 
     section 1030.
       ``(b) Offense.--It shall be unlawful, during and in 
     relation to a felony violation of section 1030, to knowingly 
     cause or attempt to cause damage to a critical infrastructure 
     computer if the damage results in (or, in the case of an 
     attempt, if completed, would have resulted in) the 
     substantial impairment--
       ``(1) of the operation of the critical infrastructure 
     computer; or
       ``(2) of the critical infrastructure associated with the 
     computer.
       ``(c) Penalty.--Any person who violates subsection (b) 
     shall be--
       ``(1) fined under this title;
       ``(2) imprisoned for not less than 3 years but not more 
     than 20 years; or
       ``(3) penalized under paragraphs (1) and (2).
       ``(d) Consecutive Sentence.--Notwithstanding any other 
     provision of law--
       ``(1) a court shall not place on probation any person 
     convicted of a violation of this section;
       ``(2) except as provided in paragraph (4), no term of 
     imprisonment imposed on a person under this section shall run 
     concurrently with any other term of imprisonment, including 
     any term of imprisonment imposed on the person under any 
     other provision of law, including any term of imprisonment 
     imposed for a felony violation of section 1030;
       ``(3) in determining any term of imprisonment to be imposed 
     for a felony violation of section 1030, a court shall not in 
     any way reduce the term to be imposed for such crime so as to 
     compensate for, or otherwise take into account, any separate 
     term of imprisonment imposed or to be imposed for a violation 
     of this section; and
       ``(4) a term of imprisonment imposed on a person for a 
     violation of this section may, in the discretion of the 
     court, run concurrently, in whole or in part, only with 
     another term of imprisonment that is imposed by the court at 
     the same time on that person for an additional violation of 
     this section, provided that such discretion shall be 
     exercised in accordance with any applicable guidelines and 
     policy statements issued by the United States Sentencing 
     Commission pursuant to section 994 of title 28.''.
       (b) Technical and Conforming Amendment.--The chapter 
     analysis for chapter 47 of title 18, United States Code, is 
     amended by inserting after the item relating to section 1030 
     the following:

``1030A. Aggravated damage to a critical infrastructure computer.''.

     SEC. 306. LIMITATION ON ACTIONS INVOLVING UNAUTHORIZED USE.

       Section 1030(e)(6) of title 18, United States Code, is 
     amended by striking ``alter;'' and inserting ``alter, but 
     does not include access in violation of a contractual 
     obligation or agreement, such as an acceptable use policy or 
     terms of service agreement, with an Internet service 
     provider, Internet website, or non-government employer, if 
     such violation constitutes the sole basis for determining 
     that access to a protected computer is unauthorized;''.

     SEC. 307. NO NEW FUNDING.

       An applicable Federal agency shall carry out the provisions 
     of this title with existing facilities and funds otherwise 
     available, through such means as the head of the agency 
     considers appropriate.

            TITLE IV--CYBERSECURITY RESEARCH AND DEVELOPMENT

     SEC. 401. NATIONAL HIGH-PERFORMANCE COMPUTING PROGRAM 
                   PLANNING AND COORDINATION.

       (a) Goals and Priorities.--Section 101 of the High-
     Performance Computing Act of 1991 (15 U.S.C. 5511) is amended 
     by adding at the end the following:
       ``(d) Goals and Priorities.--The goals and priorities for 
     Federal high-performance computing research, development, 
     networking, and other activities under subsection (a)(2)(A) 
     shall include--
       ``(1) encouraging and supporting mechanisms for 
     interdisciplinary research and development in networking and 
     information technology, including--
       ``(A) through collaborations across agencies;
       ``(B) through collaborations across Program Component 
     Areas;
       ``(C) through collaborations with industry;
       ``(D) through collaborations with institutions of higher 
     education;
       ``(E) through collaborations with Federal laboratories (as 
     defined in section 4 of the Stevenson-Wydler Technology 
     Innovation Act of 1980 (15 U.S.C. 3703)); and
       ``(F) through collaborations with international 
     organizations;
       ``(2) addressing national, multi-agency, multi-faceted 
     challenges of national importance; and
       ``(3) fostering the transfer of research and development 
     results into new technologies and applications for the 
     benefit of society.''.
       (b) Development of Strategic Plan.--Section 101 of the 
     High-Performance Computing Act of 1991 (15 U.S.C. 5511) is 
     amended by adding at the end the following:
       ``(e) Strategic Plan.--
       ``(1) In general.--Not later than 1 year after the date of 
     enactment of the Strengthening and Enhancing Cybersecurity by 
     Using Research, Education, Information, and Technology Act of 
     2012, the agencies under subsection (a)(3)(B), working 
     through the National Science and Technology Council and with 
     the assistance of the Office of Science and Technology Policy 
     shall develop a 5-year strategic plan to guide the activities 
     under subsection (a)(1).
       ``(2) Contents.--The strategic plan shall specify--
       ``(A) the near-term objectives for the Program;
       ``(B) the long-term objectives for the Program;
       ``(C) the anticipated time frame for achieving the near-
     term objectives;
       ``(D) the metrics that will be used to assess any progress 
     made toward achieving the near-term objectives and the long-
     term objectives; and
       ``(E) how the Program will achieve the goals and priorities 
     under subsection (d).
       ``(3) Implementation roadmap.--
       ``(A) In general.--The agencies under subsection (a)(3)(B) 
     shall develop and annually update an implementation roadmap 
     for the strategic plan.
       ``(B) Requirements.--The information in the implementation 
     roadmap shall be coordinated with the database under section 
     102(c) and the annual report under section 101(a)(3). The 
     implementation roadmap shall--
       ``(i) specify the role of each Federal agency in carrying 
     out or sponsoring research and development to meet the 
     research objectives of the strategic plan, including a 
     description of how progress toward the research objectives 
     will be evaluated, with consideration of any relevant 
     recommendations of the advisory committee;
       ``(ii) specify the funding allocated to each major research 
     objective of the strategic plan and the source of funding by 
     agency for the current fiscal year; and
       ``(iii) estimate the funding required for each major 
     research objective of the strategic plan for the next 3 
     fiscal years.
       ``(4) Recommendations.--The agencies under subsection 
     (a)(3)(B) shall take into consideration when developing the 
     strategic plan under paragraph (1) the recommendations of--
       ``(A) the advisory committee under subsection (b); and
       ``(B) the stakeholders under section 102(a)(3).
       ``(5) Report to congress.--The Director of the Office of 
     Science and Technology Policy shall transmit the strategic 
     plan under this subsection, including the implementation 
     roadmap and any updates under paragraph (3), to--
       ``(A) the advisory committee under subsection (b);
       ``(B) the Committee on Commerce, Science, and 
     Transportation of the Senate; and
       ``(C) the Committee on Science and Technology of the House 
     of Representatives.''.
       (c) Periodic Reviews.--Section 101 of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5511) is amended by adding 
     at the end the following:
       ``(f) Periodic Reviews.--The agencies under subsection 
     (a)(3)(B) shall--
       ``(1) periodically assess the contents and funding levels 
     of the Program Component Areas and restructure the Program 
     when warranted, taking into consideration any relevant 
     recommendations of the advisory committee under subsection 
     (b); and

[[Page S5516]]

       ``(2) ensure that the Program includes national, multi-
     agency, multi-faceted research and development activities, 
     including activities described in section 104.''.
       (d) Additional Responsibilities of Director.--Section 
     101(a)(2) of the High-Performance Computing Act of 1991 (15 
     U.S.C. 5511(a)(2)) is amended--
       (1) by redesignating subparagraphs (E) and (F) as 
     subparagraphs (G) and (H), respectively; and
       (2) by inserting after subparagraph (D) the following:
       ``(E) encourage and monitor the efforts of the agencies 
     participating in the Program to allocate the level of 
     resources and management attention necessary--
       ``(i) to ensure that the strategic plan under subsection 
     (e) is developed and executed effectively; and
       ``(ii) to ensure that the objectives of the Program are 
     met;
       ``(F) working with the Office of Management and Budget and 
     in coordination with the creation of the database under 
     section 102(c), direct the Office of Science and Technology 
     Policy and the agencies participating in the Program to 
     establish a mechanism (consistent with existing law) to track 
     all ongoing and completed research and development projects 
     and associated funding;''.
       (e) Advisory Committee.--Section 101(b) of the High-
     Performance Computing Act of 1991 (15 U.S.C. 5511(b)) is 
     amended--
       (1) in paragraph (1)--
       (A) by inserting after the first sentence the following: 
     ``The co-chairs of the advisory committee shall meet the 
     qualifications of committee members and may be members of the 
     Presidents Council of Advisors on Science and Technology.''; 
     and
       (B) by striking ``high-performance'' in subparagraph (D) 
     and inserting ``high-end''; and
       (2) by amending paragraph (2) to read as follows:
       ``(2) In addition to the duties under paragraph (1), the 
     advisory committee shall conduct periodic evaluations of the 
     funding, management, coordination, implementation, and 
     activities of the Program. The advisory committee shall 
     report its findings and recommendations not less frequently 
     than once every 3 fiscal years to the Committee on Commerce, 
     Science, and Transportation of the Senate and the Committee 
     on Science and Technology of the House of Representatives. 
     The report shall be submitted in conjunction with the update 
     of the strategic plan.''.
       (f) Report.--Section 101(a)(3) of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5511(a)(3)) is amended--
       (1) in subparagraph (C)--
       (A) by striking ``is submitted,'' and inserting ``is 
     submitted, the levels for the previous fiscal year,''; and
       (B) by striking ``each Program Component Area'' and 
     inserting ``each Program Component Area and each research 
     area supported in accordance with section 104'';
       (2) in subparagraph (D)--
       (A) by striking ``each Program Component Area,'' and 
     inserting ``each Program Component Area and each research 
     area supported in accordance with section 104,'';
       (B) by striking ``is submitted,'' and inserting ``is 
     submitted, the levels for the previous fiscal year,''; and
       (C) by striking ``and'' after the semicolon;
       (3) by redesignating subparagraph (E) as subparagraph (G); 
     and
       (4) by inserting after subparagraph (D) the following:
       ``(E) include a description of how the objectives for each 
     Program Component Area, and the objectives for activities 
     that involve multiple Program Component Areas, relate to the 
     objectives of the Program identified in the strategic plan 
     under subsection (e);
       ``(F) include--
       ``(i) a description of the funding required by the Office 
     of Science and Technology Policy to perform the functions 
     under subsections (a) and (c) of section 102 for the next 
     fiscal year by category of activity;
       ``(ii) a description of the funding required by the Office 
     of Science and Technology Policy to perform the functions 
     under subsections (a) and (c) of section 102 for the current 
     fiscal year by category of activity; and
       ``(iii) the amount of funding provided for the Office of 
     Science and Technology Policy for the current fiscal year by 
     each agency participating in the Program; and''.
       (g) Definitions.--Section 4 of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5503) is amended--
       (1) by redesignating paragraphs (1) and (2) as paragraphs 
     (2) and (3), respectively;
       (2) by redesignating paragraph (3) as paragraph (6);
       (3) by redesignating paragraphs (6) and (7) as paragraphs 
     (7) and (8), respectively;
       (4) by inserting before paragraph (2), as redesignated, the 
     following:
       ``(1) `cyber-physical systems' means physical or engineered 
     systems whose networking and information technology functions 
     and physical elements are deeply integrated and are actively 
     connected to the physical world through sensors, actuators, 
     or other means to perform monitoring and control 
     functions;'';
       (5) in paragraph (3), as redesignated, by striking ``high-
     performance computing'' and inserting ``networking and 
     information technology'';
       (6) in paragraph (6), as redesignated--
       (A) by striking ``high-performance computing'' and 
     inserting ``networking and information technology''; and
       (B) by striking ``supercomputer'' and inserting ``high-end 
     computing'';
       (7) in paragraph (5), by striking ``network referred to 
     as'' and all that follows through the semicolon and inserting 
     ``network, including advanced computer networks of Federal 
     agencies and departments''; and
       (8) in paragraph (7), as redesignated, by striking 
     ``National High-Performance Computing Program'' and inserting 
     ``networking and information technology research and 
     development program''.

     SEC. 402. RESEARCH IN AREAS OF NATIONAL IMPORTANCE.

       (a) Research in Areas of National Importance.--Title I of 
     the High-Performance Computing Act of 1991 (15 U.S.C. 5511 et 
     seq.) is amended by adding at the end the following:

     ``SEC. 104. RESEARCH IN AREAS OF NATIONAL IMPORTANCE.

       ``(a) In General.--The Program shall encourage agencies 
     under section 101(a)(3)(B) to support, maintain, and improve 
     national, multi-agency, multi-faceted, research and 
     development activities in networking and information 
     technology directed toward application areas that have the 
     potential for significant contributions to national economic 
     competitiveness and for other significant societal benefits.
       ``(b) Technical Solutions.--An activity under subsection 
     (a) shall be designed to advance the development of research 
     discoveries by demonstrating technical solutions to important 
     problems in areas including--
       ``(1) cybersecurity;
       ``(2) health care;
       ``(3) energy management and low-power systems and devices;
       ``(4) transportation, including surface and air 
     transportation;
       ``(5) cyber-physical systems;
       ``(6) large-scale data analysis and modeling of physical 
     phenomena;
       ``(7) large scale data analysis and modeling of behavioral 
     phenomena;
       ``(8) supply chain quality and security; and
       ``(9) privacy protection and protected disclosure of 
     confidential data.
       ``(c) Recommendations.--The advisory committee under 
     section 101(b) shall make recommendations to the Program for 
     candidate research and development areas for support under 
     this section.
       ``(d) Characteristics.--
       ``(1) In general.--Research and development activities 
     under this section--
       ``(A) shall include projects selected on the basis of 
     applications for support through a competitive, merit-based 
     process;
       ``(B) shall leverage, when possible, Federal investments 
     through collaboration with related State initiatives;
       ``(C) shall include a plan for fostering the transfer of 
     research discoveries and the results of technology 
     demonstration activities, including from institutions of 
     higher education and Federal laboratories, to industry for 
     commercial development;
       ``(D) shall involve collaborations among researchers in 
     institutions of higher education and industry; and
       ``(E) may involve collaborations among nonprofit research 
     institutions and Federal laboratories, as appropriate.
       ``(2) Cost-sharing.--In selecting applications for support, 
     the agencies under section 101(a)(3)(B) shall give special 
     consideration to projects that include cost sharing from non-
     Federal sources.
       ``(3) Multidisciplinary research centers.--Research and 
     development activities under this section shall be supported 
     through multidisciplinary research centers, including Federal 
     laboratories, that are organized to investigate basic 
     research questions and carry out technology demonstration 
     activities in areas described in subsection (a). Research may 
     be carried out through existing multidisciplinary centers, 
     including those authorized under section 7024(b)(2) of the 
     America COMPETES Act (42 U.S.C. 1862o-10(2)).''.
       (b) Cyber-Physical Systems.--Section 101(a)(1) of the High-
     Performance Computing Act of 1991 (15 U.S.C. 5511(a)(1)) is 
     amended--
       (1) in subparagraph (H), by striking ``and'' after the 
     semicolon;
       (2) in subparagraph (I), by striking the period at the end 
     and inserting a semicolon; and
       (3) by adding at the end the following:
       ``(J) provide for increased understanding of the scientific 
     principles of cyber-physical systems and improve the methods 
     available for the design, development, and operation of 
     cyber-physical systems that are characterized by high 
     reliability, safety, and security; and
       ``(K) provide for research and development on human-
     computer interactions, visualization, and big data.''.
       (c) Task Force.--Title I of the High-Performance Computing 
     Act of 1991 (15 U.S.C. 5511 et seq.), as amended by section 
     402(a) of this Act, is amended by adding at the end the 
     following:

     ``SEC. 105. TASK FORCE.

       ``(a) Establishment.--Not later than 180 days after the 
     date of enactment the Strengthening and Enhancing 
     Cybersecurity by Using Research, Education, Information, and 
     Technology Act of 2012, the Director of the Office of Science 
     and Technology Policy under section 102 shall convene a task 
     force to explore mechanisms for carrying out collaborative 
     research and development activities for cyber-physical 
     systems (including the related technologies required to 
     enable

[[Page S5517]]

     these systems) through a consortium or other appropriate 
     entity with participants from institutions of higher 
     education, Federal laboratories, and industry.
       ``(b) Functions.--The task force shall--
       ``(1) develop options for a collaborative model and an 
     organizational structure for such entity under which the 
     joint research and development activities could be planned, 
     managed, and conducted effectively, including mechanisms for 
     the allocation of resources among the participants in such 
     entity for support of such activities;
       ``(2) propose a process for developing a research and 
     development agenda for such entity, including guidelines to 
     ensure an appropriate scope of work focused on nationally 
     significant challenges and requiring collaboration and to 
     ensure the development of related scientific and 
     technological milestones;
       ``(3) define the roles and responsibilities for the 
     participants from institutions of higher education, Federal 
     laboratories, and industry in such entity;
       ``(4) propose guidelines for assigning intellectual 
     property rights and for transferring research results to the 
     private sector; and
       ``(5) make recommendations for how such entity could be 
     funded from Federal, State, and non-governmental sources.
       ``(c) Composition.--In establishing the task force under 
     subsection (a), the Director of the Office of Science and 
     Technology Policy shall appoint an equal number of 
     individuals from institutions of higher education and from 
     industry with knowledge and expertise in cyber-physical 
     systems, and may appoint not more than 2 individuals from 
     Federal laboratories.
       ``(d) Report.--Not later than 1 year after the date of 
     enactment of the Strengthening and Enhancing Cybersecurity by 
     Using Research, Education, Information, and Technology Act of 
     2012, the Director of the Office of Science and Technology 
     Policy shall transmit to the Committee on Commerce, Science, 
     and Transportation of the Senate and the Committee on Science 
     and Technology of the House of Representatives a report 
     describing the findings and recommendations of the task 
     force.
       ``(e) Termination.--The task force shall terminate upon 
     transmittal of the report required under subsection (d).
       ``(f) Compensation and Expenses.--Members of the task force 
     shall serve without compensation.''.

     SEC. 403. PROGRAM IMPROVEMENTS.

       Section 102 of the High-Performance Computing Act of 1991 
     (15 U.S.C. 5512) is amended to read as follows:

     ``SEC. 102. PROGRAM IMPROVEMENTS.

       ``(a) Functions.--The Director of the Office of Science and 
     Technology Policy shall continue--
       ``(1) to provide technical and administrative support to--
       ``(A) the agencies participating in planning and 
     implementing the Program, including support needed to develop 
     the strategic plan under section 101(e); and
       ``(B) the advisory committee under section 101(b);
       ``(2) to serve as the primary point of contact on Federal 
     networking and information technology activities for 
     government agencies, academia, industry, professional 
     societies, State computing and networking technology 
     programs, interested citizen groups, and others to exchange 
     technical and programmatic information;
       ``(3) to solicit input and recommendations from a wide 
     range of stakeholders during the development of each 
     strategic plan under section 101(e) by convening at least 1 
     workshop with invitees from academia, industry, Federal 
     laboratories, and other relevant organizations and 
     institutions;
       ``(4) to conduct public outreach, including the 
     dissemination of the advisory committee's findings and 
     recommendations, as appropriate;
       ``(5) to promote access to and early application of the 
     technologies, innovations, and expertise derived from Program 
     activities to agency missions and systems across the Federal 
     Government and to United States industry;
       ``(6) to ensure accurate and detailed budget reporting of 
     networking and information technology research and 
     development investment; and
       ``(7) to encourage agencies participating in the Program to 
     use existing programs and resources to strengthen networking 
     and information technology education and training, and 
     increase participation in such fields, including by women and 
     underrepresented minorities.
       ``(b) Source of Funding.--
       ``(1) In general.--The functions under this section shall 
     be supported by funds from each agency participating in the 
     Program.
       ``(2) Specifications.--The portion of the total budget of 
     the Office of Science and Technology Policy that is provided 
     by each agency participating in the Program for each fiscal 
     year shall be in the same proportion as each agency's share 
     of the total budget for the Program for the previous fiscal 
     year, as specified in the database under section 102(c).
       ``(c) Database.--
       ``(1) In general.--The Director of the Office of Science 
     and Technology Policy shall develop and maintain a database 
     of projects funded by each agency for the fiscal year for 
     each Program Component Area.
       ``(2) Public accessibility.--The Director of the Office of 
     Science and Technology Policy shall make the database 
     accessible to the public.
       ``(3) Database contents.--The database shall include, for 
     each project in the database--
       ``(A) a description of the project;
       ``(B) each agency, industry, institution of higher 
     education, Federal laboratory, or international institution 
     involved in the project;
       ``(C) the source funding of the project (set forth by 
     agency);
       ``(D) the funding history of the project; and
       ``(E) whether the project has been completed.''.

     SEC. 404. IMPROVING EDUCATION OF NETWORKING AND INFORMATION 
                   TECHNOLOGY, INCLUDING HIGH PERFORMANCE 
                   COMPUTING.

       Section 201(a) of the High-Performance Computing Act of 
     1991 (15 U.S.C. 5521(a)) is amended--
       (1) by redesignating paragraphs (2) through (4) as 
     paragraphs (3) through (5), respectively; and
       (2) by inserting after paragraph (1) the following:
       ``(2) the National Science Foundation shall use its 
     existing programs, in collaboration with other agencies, as 
     appropriate, to improve the teaching and learning of 
     networking and information technology at all levels of 
     education and to increase participation in networking and 
     information technology fields;''.

     SEC. 405. CONFORMING AND TECHNICAL AMENDMENTS TO THE HIGH-
                   PERFORMANCE COMPUTING ACT OF 1991.

       (a) Section 3.--Section 3 of the High-Performance Computing 
     Act of 1991 (15 U.S.C. 5502) is amended--
       (1) in the matter preceding paragraph (1), by striking 
     ``high-performance computing'' and inserting ``networking and 
     information technology'';
       (2) in paragraph (1)--
       (A) in the matter preceding subparagraph (A), by striking 
     ``high-performance computing'' and inserting ``networking and 
     information technology'';
       (B) in subparagraphs (A), (F), and (G), by striking ``high-
     performance computing'' each place it appears and inserting 
     ``networking and information technology''; and
       (C) in subparagraph (H), by striking ``high-performance'' 
     and inserting ``high-end''; and
       (3) in paragraph (2)--
       (A) by striking ``high-performance computing and'' and 
     inserting ``networking and information technology, and''; and
       (B) by striking ``high-performance computing network'' and 
     inserting ``networking and information technology''.
       (b) Title Heading.--The heading of title I of the High-
     Performance Computing Act of 1991 (105 Stat. 1595) is amended 
     by striking ``HIGH-PERFORMANCE COMPUTING'' and inserting 
     ``NETWORKING AND INFORMATION TECHNOLOGY''.
       (c) Section 101.--Section 101 of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5511) is amended--
       (1) in the section heading, by striking ``high-performance 
     computing'' and inserting ``networking and information 
     technology research and development'';
       (2) in subsection (a)--
       (A) in the subsection heading, by striking ``National High-
     Performance Computing'' and inserting ``Networking and 
     Information Technology Research and Development'';
       (B) in paragraph (1)--
       (i) by striking ``National High-Performance Computing 
     Program'' and inserting ``networking and information 
     technology research and development program'';
       (ii) in subparagraph (A), by striking ``high-performance 
     computing, including networking'' and inserting ``networking 
     and information technology'';
       (iii) in subparagraphs (B) and (G), by striking ``high-
     performance'' each place it appears and inserting ``high-
     end''; and
       (iv) in subparagraph (C), by striking ``high-performance 
     computing and networking'' and inserting ``high-end 
     computing, distributed, and networking''; and
       (C) in paragraph (2)--
       (i) in subparagraphs (A) and (C)--

       (I) by striking ``high-performance computing'' each place 
     it appears and inserting ``networking and information 
     technology''; and
       (II) by striking ``development, networking,'' each place it 
     appears and inserting ``development,''; and

       (ii) in subparagraphs (G) and (H), as redesignated by 
     section 401(d) of this Act, by striking ``high-performance'' 
     each place it appears and inserting ``high-end'';
       (3) in subsection (b)(1), in the matter preceding 
     subparagraph (A), by striking ``high-performance computing'' 
     each place it appears and inserting ``networking and 
     information technology''; and
       (4) in subsection (c)(1)(A), by striking ``high-performance 
     computing'' and inserting ``networking and information 
     technology''.
       (d) Section 201.--Section 201(a)(1) of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5521(a)(1)) is amended by 
     striking ``high-performance computing and advanced high-speed 
     computer networking'' and inserting ``networking and 
     information technology research and development''.
       (e) Section 202.--Section 202(a) of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5522(a)) is amended by 
     striking ``high-performance computing'' and inserting 
     ``networking and information technology''.
       (f) Section 203.--Section 203(a) of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5523(a)) is amended--

[[Page S5518]]

       (1) in paragraph (1), by striking ``high-performance 
     computing and networking'' and inserting ``networking and 
     information technology''; and
       (2) in paragraph (2)(A), by striking ``high-performance'' 
     and inserting ``high-end''.
       (g) Section 204.--Section 204 of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5524) is amended--
       (1) in subsection (a)(1)--
       (A) in subparagraph (A), by striking ``high-performance 
     computing systems and networks'' and inserting ``networking 
     and information technology systems and capabilities'';
       (B) in subparagraph (B), by striking ``interoperability of 
     high-performance computing systems in networks and for common 
     user interfaces to systems'' and inserting ``interoperability 
     and usability of networking and information technology 
     systems''; and
       (C) in subparagraph (C), by striking ``high-performance 
     computing'' and inserting ``networking and information 
     technology''; and
       (2) in subsection (b)--
       (A) by striking ``High-Performance Computing and Network'' 
     in the heading and inserting ``Networking and Information 
     Technology''; and
       (B) by striking ``sensitive''.
       (h) Section 205.--Section 205(a) of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5525(a)) is amended by 
     striking ``computational'' and inserting ``networking and 
     information technology''.
       (i) Section 206.--Section 206(a) of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5526(a)) is amended by 
     striking ``computational research'' and inserting 
     ``networking and information technology research''.
       (j) Section 207.--Section 207 of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5527) is amended by striking 
     ``high-performance computing'' and inserting ``networking and 
     information technology''.
       (k) Section 208.--Section 208 of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5528) is amended--
       (1) in the section heading, by striking ``high-performance 
     computing'' and inserting ``networking and information 
     technology''; and
       (2) in subsection (a)--
       (A) in paragraph (1), by striking ``High-performance 
     computing and associated'' and inserting ``Networking and 
     information'';
       (B) in paragraph (2), by striking ``high-performance 
     computing'' and inserting ``networking and information 
     technologies'';
       (C) in paragraph (3), by striking ``high-performance'' and 
     inserting ``high-end'';
       (D) in paragraph (4), by striking ``high-performance 
     computers and associated'' and inserting ``networking and 
     information''; and
       (E) in paragraph (5), by striking ``high-performance 
     computing and associated'' and inserting ``networking and 
     information''.

     SEC. 406. FEDERAL CYBER SCHOLARSHIP-FOR-SERVICE PROGRAM.

       (a) In General.--The Director of the National Science 
     Foundation, in coordination with the Secretary of Homeland 
     Security, shall carry out a Federal cyber scholarship-for-
     service program to recruit and train the next generation of 
     information technology professionals and security managers to 
     meet the needs of the cybersecurity mission for the Federal 
     government.
       (b) Program Description and Components.--The program 
     shall--
       (1) annually assess the workforce needs of the Federal 
     government for cybersecurity professionals, including network 
     engineers, software engineers, and other experts in order to 
     determine how many scholarships should be awarded annually to 
     ensure that the workforce needs following graduation match 
     the number of scholarships awarded;
       (2) provide scholarships for up to 1,000 students per year 
     in their pursuit of undergraduate or graduate degrees in the 
     cybersecurity field, in an amount that may include coverage 
     for full tuition, fees, and a stipend;
       (3) require each scholarship recipient, as a condition of 
     receiving a scholarship under the program, to serve in a 
     Federal information technology workforce for a period equal 
     to one and one-half times each year, or partial year, of 
     scholarship received, in addition to an internship in the 
     cybersecurity field, if applicable, following graduation;
       (4) provide a procedure for the National Science Foundation 
     or a Federal agency, consistent with regulations of the 
     Office of Personnel Management, to request and fund a 
     security clearance for a scholarship recipient, including 
     providing for clearance during a summer internship and upon 
     graduation; and
       (5) provide opportunities for students to receive temporary 
     appointments for meaningful employment in the Federal 
     information technology workforce during school vacation 
     periods and for internships.
       (c) Hiring Authority.--
       (1) In general.--For purposes of any law or regulation 
     governing the appointment of an individual in the Federal 
     civil service, upon the successful completion of the 
     student's studies, a student receiving a scholarship under 
     the program may--
       (A) be hired under section 213.3102(r) of title 5, Code of 
     Federal Regulations; and
       (B) be exempt from competitive service.
       (2) Competitive service.--Upon satisfactory fulfillment of 
     the service term under paragraph (1), an individual may be 
     converted to a competitive service position without 
     competition if the individual meets the requirements for that 
     position.
       (d) Eligibility.--The eligibility requirements for a 
     scholarship under this section shall include that a 
     scholarship applicant--
       (1) be a citizen of the United States;
       (2) be eligible to be granted a security clearance;
       (3) maintain a grade point average of 3.2 or above on a 4.0 
     scale for undergraduate study or a 3.5 or above on a 4.0 
     scale for postgraduate study;
       (4) demonstrate a commitment to a career in improving the 
     security of the information infrastructure; and
       (5) has demonstrated a level of proficiency in math or 
     computer sciences.
       (e) Failure to Complete Service Obligation.--
       (1) In general.--A scholarship recipient under this section 
     shall be liable to the United States under paragraph (2) if 
     the scholarship recipient--
       (A) fails to maintain an acceptable level of academic 
     standing in the educational institution in which the 
     individual is enrolled, as determined by the Director;
       (B) is dismissed from such educational institution for 
     disciplinary reasons;
       (C) withdraws from the program for which the award was made 
     before the completion of such program;
       (D) declares that the individual does not intend to fulfill 
     the service obligation under this section;
       (E) fails to fulfill the service obligation of the 
     individual under this section; or
       (F) loses a security clearance or becomes ineligible for a 
     security clearance.
       (2) Repayment amounts.--
       (A) Less than 1 year of service.--If a circumstance under 
     paragraph (1) occurs before the completion of 1 year of a 
     service obligation under this section, the total amount of 
     awards received by the individual under this section shall be 
     repaid.
       (B) One or more years of service.--If a circumstance 
     described in subparagraph (D) or (E) of paragraph (1) occurs 
     after the completion of 1 year of a service obligation under 
     this section, the total amount of scholarship awards received 
     by the individual under this section, reduced by the ratio of 
     the number of years of service completed divided by the 
     number of years of service required, shall be repaid.
       (f) Evaluation and Report.--The Director of the National 
     Science Foundation shall--
       (1) evaluate the success of recruiting individuals for 
     scholarships under this section and of hiring and retaining 
     those individuals in the public sector workforce, including 
     the annual cost and an assessment of how the program actually 
     improves the Federal workforce; and
       (2) periodically report the findings under paragraph (1) to 
     Congress.
       (g) Authorization of Appropriations.--From amounts made 
     available under section 503 of the America COMPETES 
     Reauthorization Act of 2010 (124 Stat. 4005), the Secretary 
     may use funds to carry out the requirements of this section 
     for fiscal years 2012 through 2013.

     SEC. 407. STUDY AND ANALYSIS OF CERTIFICATION AND TRAINING OF 
                   INFORMATION INFRASTRUCTURE PROFESSIONALS.

       (a) Study.--The President shall enter into an agreement 
     with the National Academies to conduct a comprehensive study 
     of government, academic, and private-sector accreditation, 
     training, and certification programs for personnel working in 
     information infrastructure. The agreement shall require the 
     National Academies to consult with sector coordinating 
     councils and relevant governmental agencies, regulatory 
     entities, and nongovernmental organizations in the course of 
     the study.
       (b) Scope.--The study shall include--
       (1) an evaluation of the body of knowledge and various 
     skills that specific categories of personnel working in 
     information infrastructure should possess in order to secure 
     information systems;
       (2) an assessment of whether existing government, academic, 
     and private-sector accreditation, training, and certification 
     programs provide the body of knowledge and various skills 
     described in paragraph (1);
       (3) an analysis of any barriers to the Federal Government 
     recruiting and hiring cybersecurity talent, including 
     barriers relating to compensation, the hiring process, job 
     classification, and hiring flexibility; and
       (4) an analysis of the sources and availability of 
     cybersecurity talent, a comparison of the skills and 
     expertise sought by the Federal Government and the private 
     sector, an examination of the current and future capacity of 
     United States institutions of higher education, including 
     community colleges, to provide current and future 
     cybersecurity professionals, through education and training 
     activities, with those skills sought by the Federal 
     Government, State and local entities, and the private sector.
       (c) Report.--Not later than 1 year after the date of 
     enactment of this Act, the National Academies shall submit to 
     the President and Congress a report on the results of the 
     study. The report shall include--
       (1) findings regarding the state of information 
     infrastructure accreditation, training, and certification 
     programs, including specific areas of deficiency and 
     demonstrable progress; and
       (2) recommendations for the improvement of information 
     infrastructure accreditation, training, and certification 
     programs.

     SEC. 408. INTERNATIONAL CYBERSECURITY TECHNICAL STANDARDS.

       (a) In General.--The Director of the National Institute of 
     Standards and Technology, in coordination with appropriate 
     Federal authorities, shall--

[[Page S5519]]

       (1) as appropriate, ensure coordination of Federal agencies 
     engaged in the development of international technical 
     standards related to information system security; and
       (2) not later than 1 year after the date of enactment of 
     this Act, develop and transmit to Congress a plan for 
     ensuring such Federal agency coordination.
       (b) Consultation With the Private Sector.--In carrying out 
     the activities under subsection (a)(1), the Director shall 
     ensure consultation with appropriate private sector 
     stakeholders.

     SEC. 409. IDENTITY MANAGEMENT RESEARCH AND DEVELOPMENT.

       The Director of the National Institute of Standards and 
     Technology shall continue a program to support the 
     development of technical standards, metrology, testbeds, and 
     conformance criteria, taking into account appropriate user 
     concerns--
       (1) to improve interoperability among identity management 
     technologies;
       (2) to strengthen authentication methods of identity 
     management systems;
       (3) to improve privacy protection in identity management 
     systems, including health information technology systems, 
     through authentication and security protocols; and
       (4) to improve the usability of identity management 
     systems.

     SEC. 410. FEDERAL CYBERSECURITY RESEARCH AND DEVELOPMENT.

       (a) National Science Foundation Computer and Network 
     Security Research Grant Areas.--Section 4(a)(1) of the Cyber 
     Security Research and Development Act (15 U.S.C. 7403(a)(1)) 
     is amended--
       (1) in subparagraph (H), by striking ``and'' after the 
     semicolon;
       (2) in subparagraph (I), by striking ``property.'' and 
     inserting ``property;''; and
       (3) by adding at the end the following:
       ``(J) secure fundamental protocols that are at the heart of 
     inter-network communications and data exchange;
       ``(K) system security that addresses the building of secure 
     systems from trusted and untrusted components;
       ``(L) monitoring and detection; and
       ``(M) resiliency and rapid recovery methods.''.
       (b) National Science Foundation Computer and Network 
     Security Grants.--Section 4(a)(3) of the Cyber Security 
     Research and Development Act (15 U.S.C. 7403(a)(3)) is 
     amended--
       (1) in subparagraph (D), by striking ``and'';
       (2) in subparagraph (E), by striking ``2007.'' and 
     inserting ``2007;''; and
       (3) by adding at the end the following:
       ``(F) such funds from amounts made available under section 
     503 of the America COMPETES Reauthorization Act of 2010 (124 
     Stat. 4005), as the Secretary finds necessary to carry out 
     the requirements of this subsection for fiscal years 2012 
     through 2013.''.
       (c) Computer and Network Security Centers.--Section 4(b)(7) 
     of the Cyber Security Research and Development Act (15 U.S.C. 
     7403(b)(7)) is amended--
       (1) in subparagraph (D), by striking ``and'';
       (2) in subparagraph (E), by striking ``2007.'' and 
     inserting ``2007;''; and
       (3) by adding at the end the following:
       ``(F) such funds from amounts made available under section 
     503 of the America COMPETES Reauthorization Act of 2010 (124 
     Stat. 4005), as the Secretary finds necessary to carry out 
     the requirements of this subsection for fiscal years 2012 
     through 2013.''.
       (d) Computer and Network Security Capacity Building 
     Grants.--Section 5(a)(6) of the Cyber Security Research and 
     Development Act (15 U.S.C. 7404(a)(6)) is amended--
       (1) in subparagraph (D), by striking ``and'';
       (2) in subparagraph (E), by striking ``2007.'' and 
     inserting ``2007;''; and
       (3) by adding at the end the following:
       ``(F) such funds from amounts made available under section 
     503 of the America COMPETES Reauthorization Act of 2010 (124 
     Stat. 4005), as the Secretary finds necessary to carry out 
     the requirements of this subsection for fiscal years 2012 
     through 2013.''.
       (e) Scientific and Advanced Technology Act Grants.--Section 
     5(b)(2) of the Cyber Security Research and Development Act 
     (15 U.S.C. 7404(b)(2)) is amended--
       (1) in subparagraph (D), by striking ``and'';
       (2) in subparagraph (E), by striking ``2007.'' and 
     inserting ``2007;''; and
       (3) by adding at the end the following:
       ``(F) such funds from amounts made available under section 
     503 of the America COMPETES Reauthorization Act of 2010 (124 
     Stat. 4005), as the Secretary finds necessary to carry out 
     the requirements of this subsection for fiscal years 2012 
     through 2013.''.
       (f) Graduate Traineeships in Computer and Network Security 
     Research.--Section 5(c)(7) of the Cyber Security Research and 
     Development Act (15 U.S.C. 7404(c)(7)) is amended--
       (1) in subparagraph (D), by striking ``and'';
       (2) in subparagraph (E), by striking ``2007.'' and 
     inserting ``2007;''; and
       (3) by adding at the end the following:
       ``(F) such funds from amounts made available under section 
     503 of the America COMPETES Reauthorization Act of 2010 (124 
     Stat. 4005), as the Secretary finds necessary to carry out 
     the requirements of this subsection for fiscal years 2012 
     through 2013.''.
                                 ______
                                 
  SA 2583. Mr. GRASSLEY submitted an amendment intended to be proposed 
by him to the bill S. 3414, to enhance the security and resiliency of 
the cyber and communications infrastructure of the United States; which 
was ordered to lie on the table; as follows:

       Beginning on page 192, strike line 11 and all that follows 
     through page 193, line 22.
                                 ______
                                 
  SA 2584. Mr. GRASSLEY submitted an amendment intended to be proposed 
by him to the bill S. 3414, to enhance the security and resiliency of 
the cyber and communications infrastructure of the United States; which 
was ordered to lie on the table; as follows:

       On page 18, strike line 16 and all that follows through 
     page 19, line 2, and insert the following:
       (5) Limitation.--The Council may not identify critical 
     infrastructure as a category of critical cyber infrastructure 
     under this section based solely on activities protected by 
     the first amendment to the Constitution of the United States.
                                 ______
                                 
  SA 2585. Mr. GRASSLEY submitted an amendment intended to be proposed 
by him to the bill S. 3414, to enhance the security and resiliency of 
the cyber and communications infrastructure of the United States; which 
was ordered to lie on the table; as follows:

       At the end, add the following:

                     TITLE VIII--CRIMINAL PENALTIES

     SEC. 801. PENALTIES FOR FRAUD AND RELATED ACTIVITY IN 
                   CONNECTION WITH COMPUTERS.

       Section 1030(c) of title 18, United States Code, is amended 
     to read as follows:
       ``(c) The punishment for an offense under subsection (a) or 
     (b) of this section is--
       ``(1) a fine under this title or imprisonment for not more 
     than 20 years, or both, in the case of an offense under 
     subsection (a)(1) of this section;
       ``(2)(A) except as provided in subparagraph (B), a fine 
     under this title or imprisonment for not more than 3 years, 
     or both, in the case of an offense under subsection (a)(2); 
     or
       ``(B) a fine under this title or imprisonment for not more 
     than ten years, or both, in the case of an offense under 
     subsection (a)(2) of this section, if--
       ``(i) the offense was committed for purposes of commercial 
     advantage or private financial gain;
       ``(ii) the offense was committed in the furtherance of any 
     criminal or tortious act in violation of the Constitution or 
     laws of the United States, or of any State; or
       ``(iii) the value of the information obtained, or that 
     would have been obtained if the offense was completed, 
     exceeds $5,000;
       ``(3) a fine under this title or imprisonment for not more 
     than 10 years, or both, in the case of an offense under 
     subsection (a)(3) of this section;
       ``(4) a fine under this title or imprisonment of not more 
     than 20 years, or both, in the case of an offense under 
     subsection (a)(4) of this section; and
       ``(5)(A) except as provided in subparagraph (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) of 
     this section, if the offense 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;
       ``(v) damage affecting a computer used by, or on behalf of, 
     an entity of the United States Government in furtherance of 
     the administration of justice, national defense, or national 
     security; or
       ``(vi) damage affecting 10 or more protected computers 
     during any 1-year period;
       ``(B) a fine under this title, imprisonment for not more 
     than 20 years, or both, in the case of an offense under 
     subsection (a)(5)(B), if the offense caused a harm described 
     in clause (i) through (vi) of subparagraph (A) of this 
     subsection;
       ``(C) if the offender attempts to cause or knowingly or 
     recklessly causes death from conduct in violation of 
     subsection (a)(5)(A), a fine under this title, imprisonment 
     for any term of years or for life, or both;
       ``(D) a fine under this title, imprisonment for not more 
     than 10 years, or both, for any other offense under 
     subsection (a)(5);
       ``(E) a fine under this title or imprisonment for not more 
     than 10 years, or both, in the case of an offense under 
     subsection (a)(6) of this section; or
       ``(F) a fine under this title or imprisonment for not more 
     than 10 years, or both, in the case of an offense under 
     subsection (a)(7) of this section.''.

     SEC. 802. TRAFFICKING IN PASSWORDS.

       Section 1030(a)(6) of title 18, United States Code, is 
     amended to read as follows:
       ``(6) knowingly and with intent to defraud traffics (as 
     defined in section 1029) in any password or similar 
     information or means of access through which a protected 
     computer (as defined in subparagraphs (A) and (B) of 
     subsection (e)(2)) may be accessed without authorization; 
     or''.

     SEC. 803. CONSPIRACY AND ATTEMPTED COMPUTER FRAUD OFFENSES.

       Section 1030(b) of title 18, United States Code, is amended 
     by inserting ``as if for the

[[Page S5520]]

     completed offense'' after ``punished as provided''.

     SEC. 804. CRIMINAL AND CIVIL FORFEITURE FOR FRAUD AND RELATED 
                   ACTIVITY IN CONNECTION WITH COMPUTERS.

       Section 1030 of title 18, United States Code, is amended by 
     striking subsections (i) and (j) and inserting the following:
       ``(i) Criminal Forfeiture.--
       ``(1) The court, in imposing sentence on any person 
     convicted of a violation of this section, or convicted of 
     conspiracy to violate this section, shall order, in addition 
     to any other sentence imposed and irrespective of any 
     provision of State law, that such person forfeit to the 
     United States--
       ``(A) such person's interest in any property, real or 
     personal, that was used, or intended to be used, to commit or 
     facilitate the commission of such violation; and
       ``(B) any property, real or personal, constituting or 
     derived from any gross proceeds, or any property traceable to 
     such property, that such person obtained, directly or 
     indirectly, as a result of such violation.
       ``(2) The criminal forfeiture of property under this 
     subsection, including any seizure and disposition of the 
     property, and any related judicial or administrative 
     proceeding, shall be governed by the provisions of section 
     413 of the Comprehensive Drug Abuse Prevention and Control 
     Act of 1970 (21 U.S.C. 853), except subsection (d) of that 
     section.
       ``(j) Civil Forfeiture.--
       ``(1) The following shall be subject to forfeiture to the 
     United States and no property right, real or personal, shall 
     exist in them:
       ``(A) Any property, real or personal, that was used, or 
     intended to be used, to commit or facilitate the commission 
     of any violation of this section, or a conspiracy to violate 
     this section.
       ``(B) Any property, real or personal, constituting or 
     derived from any gross proceeds obtained directly or 
     indirectly, or any property traceable to such property, as a 
     result of the commission of any violation of this section, or 
     a conspiracy to violate this section.
       ``(2) Seizures and forfeitures under this subsection shall 
     be governed by the provisions in chapter 46 relating to civil 
     forfeitures, except that such duties as are imposed on the 
     Secretary of the Treasury under the customs laws described in 
     section 981(d) shall be performed by such officers, agents 
     and other persons as may be designated for that purpose by 
     the Secretary of Homeland Security or the Attorney 
     General.''.

     SEC. 805. DAMAGE TO CRITICAL INFRASTRUCTURE COMPUTERS.

       (a) In General.--Chapter 47 of title 18, United States 
     Code, is amended by inserting after section 1030 the 
     following:

     ``Sec. 1030A. Aggravated damage to a critical infrastructure 
       computer

       ``(a) Definitions.--In this section--
       ``(1) the term `computer' has the meaning given the term in 
     section 1030;
       ``(2) the term `critical infrastructure computer' means a 
     computer that manages or controls systems or assets vital to 
     national defense, national security, national economic 
     security, public health or safety, or any combination of 
     those matters, whether publicly or privately owned or 
     operated, including--
       ``(A) oil and gas production, storage, conversion, and 
     delivery systems;
       ``(B) water supply systems;
       ``(C) telecommunication networks;
       ``(D) electrical power generation and delivery systems;
       ``(E) finance and banking systems;
       ``(F) emergency services;
       ``(G) transportation systems and services; and
       ``(H) government operations that provide essential services 
     to the public; and
       ``(3) the term `damage' has the meaning given the term in 
     section 1030.
       ``(b) Offense.--It shall be unlawful, during and in 
     relation to a felony violation of section 1030, to knowingly 
     cause or attempt to cause damage to a critical infrastructure 
     computer if the damage results in (or, in the case of an 
     attempt, if completed, would have resulted in) the 
     substantial impairment--
       ``(1) of the operation of the critical infrastructure 
     computer; or
       ``(2) of the critical infrastructure associated with the 
     computer.
       ``(c) Penalty.--Any person who violates subsection (b) 
     shall be fined under this title, imprisoned for not less than 
     3 years but not more than 20 years, or both.
       ``(d) Consecutive Sentence.--Notwithstanding any other 
     provision of law--
       ``(1) a court shall not place on probation any person 
     convicted of a violation of this section;
       ``(2) except as provided in paragraph (4), no term of 
     imprisonment imposed on a person under this section shall run 
     concurrently with any other term of imprisonment, including 
     any term of imprisonment imposed on the person under any 
     other provision of law, including any term of imprisonment 
     imposed for a felony violation of section 1030;
       ``(3) in determining any term of imprisonment to be imposed 
     for a felony violation of section 1030, a court shall not in 
     any way reduce the term to be imposed for such crime so as to 
     compensate for, or otherwise take into account, any separate 
     term of imprisonment imposed or to be imposed for a violation 
     of this section; and
       ``(4) a term of imprisonment imposed on a person for a 
     violation of this section may, in the discretion of the 
     court, run concurrently, in whole or in part, only with 
     another term of imprisonment that is imposed by the court at 
     the same time on that person for an additional violation of 
     this section, provided that such discretion shall be 
     exercised in accordance with any applicable guidelines and 
     policy statements issued by the United States Sentencing 
     Commission pursuant to section 994 of title 28.''.
       (b) Technical and Conforming Amendment.--The chapter 
     analysis for chapter 47 of title 18, United States Code, is 
     amended by inserting after the item relating to section 1030 
     the following:

``1030A. Aggravated damage to a critical infrastructure computer.''.

     SEC. 806. LIMITATION ON ACTIONS INVOLVING UNAUTHORIZED USE.

       Section 1030(e)(6) of title 18, United States Code, is 
     amended by striking ``alter;'' and inserting ``alter, but 
     does not include access in violation of a contractual 
     obligation or agreement, such as an acceptable use policy or 
     terms of service agreement, with an Internet service 
     provider, Internet website, or non-government employer, if 
     such violation constitutes the sole basis for determining 
     that access to a protected computer is unauthorized;''.

     SEC. 807. NO NEW FUNDING.

       An applicable Federal agency shall carry out the provisions 
     of this title with existing facilities and funds otherwise 
     available, through such means as the head of the agency 
     considers appropriate.
                                 ______
                                 
  SA 2586. Mr. McCAIN submitted an amendment intended to be proposed by 
him to the bill S. 3414, to enhance the security and resiliency of the 
cyber and communications infrastructure of the United States; which was 
ordered to lie on the table; as follows:

       On page 22, strike lines 8 through 18.
                                 ______
                                 
  SA 2587. Mr. McCAIN submitted an amendment intended to be proposed by 
him to the bill S. 3414, to enhance the security and resiliency of the 
cyber and communications infrastructure of the United States; which was 
ordered to lie on the table; as follows:

       On page 30, after line 24, add the following:
       (C) Rule of construction.--Nothing in this paragraph shall 
     be construed to establish a civil cause of action, or a 
     presumption of negligence in a civil action, against an owner 
     that does not participate in the Voluntary Cybersecurity 
     Program for Critical Infrastructure established under this 
     section.
                                 ______
                                 
  SA 2588. Mr. McCAIN submitted an amendment intended to be proposed by 
him to the bill S. 3414, to enhance the security and resiliency of the 
cyber and communications infrastructure of the United States; which was 
ordered to lie on the table; as follows:

       On page 22, line 10, strike ``fails'' and all that follows 
     through line 18 and insert ``chooses not to propose to the 
     Council cybersecurity practices under subsection (a), not 
     later than 180 days after the date of enactment of this Act 
     the sector coordinating council shall submit a report to the 
     Council explaining why it chose not to propose cybersecurity 
     practices.''.
                                 ______
                                 
  SA 2589. Mr. McCAIN submitted an amendment intended to be proposed by 
him to the bill S. 3414, to enhance the security and resiliency of the 
cyber and communications infrastructure of the United States; which was 
ordered to lie on the table; as follows:

       On page 30, line 8, after ``106'' insert the following: 
     ``and may not be used for other regulatory purposes by the 
     Federal Government or a State or local government''.
                                 ______
                                 
  SA 2590. Mr. McCAIN submitted an amendment intended to be proposed by 
him to the bill S. 3414, to enhance the security and resiliency of the 
cyber and communications infrastructure of the United States; which was 
ordered to lie on the table; as follows:

       On page 21, strike line 8 and all that follows through page 
     22, line 7, and insert the following:
       (B) review relevant regulations or compulsory standards or 
     guidelines; and
       (C) review cybersecurity practices proposed under 
     subsection (a) to ensure sufficient protection against cyber 
     risks.
       (2) Adoption.--
       (A) In general.--Not later than 1 year after the date of 
     enactment of this Act, the Council shall--
       (i) adopt any cybersecurity practices proposed under 
     subsection (a) that adequately remediate or mitigate 
     identified cyber risks and any associated consequences 
     identified through an assessment conducted under section 
     102(a); and
       (ii) conduct a cost-benefit analysis in accordance with 
     Executive Order 13563 (5 U.S.C. 601 note; relating to 
     improving regulation and regulatory review), including 
     sections 1 and 3 of such Executive Order.
                                 ______
                                 
  SA 2591. Mr. McCAIN submitted an amendment intended to be proposed by 
him to the bill S. 3414, to enhance the security and resiliency of the 
cyber and communications infrastructure of the United States; which was 
ordered to lie on the table; as follows:

       On page 16, line 8, after ``mechanism'' insert ``, under 
     which it shall be unlawful for

[[Page S5521]]

     the Federal Government to compel participation,''.
                                 ______
                                 
  SA 2592. Mr. McCAIN submitted an amendment intended to be proposed by 
him to the bill S. 3414, to enhance the security and resiliency of the 
cyber and communications infrastructure of the United States; which was 
ordered to lie on the table; as follows:

       Strike title IV.
                                 ______
                                 
  SA 2593. Mr. McCAIN submitted an amendment intended to be proposed by 
him to the bill S. 3414, to enhance the security and resiliency of the 
cyber and communications infrastructure of the United States; which was 
ordered to lie on the table; as follows:

       On page 10, line 12, after ``shall'' insert the following: 
     ``designate a Federal agency subject to full congressional 
     oversight to''.
                                 ______
                                 
  SA 2594. Mr. McCAIN submitted an amendment intended to be proposed by 
him to the bill S. 3414, to enhance the security and resiliency of the 
cyber and communications infrastructure of the United States; which was 
ordered to lie on the table; as follows:

       On page 20, line 2, after ``paragraph (1).'' insert the 
     following: ``If Congress passes a resolution of disapproval 
     of the identification of a category of critical 
     infrastructure as critical cyber infrastructure, the category 
     shall be removed from the list of identified categories of 
     critical cyber infrastructure and may not be identified as a 
     category of critical cyber infrastructure during the 2 year 
     period beginning on the date on which Congress passes the 
     resolution of disapproval.''.
                                 ______
                                 
  SA 2595. Mr. McCAIN submitted an amendment intended to be proposed by 
him to the bill S. 3414, to enhance the security and resiliency of the 
cyber and communications infrastructure of the United States; which was 
ordered to lie on the table; as follows:

       On page 23, strike line 22 and all that follows through 
     page 24, line 13, and insert the following:

     critical infrastructure may not adopt the cybersecurity 
     practices as mandatory requirements.
       (B) Rule of construction.--Nothing in
                                 ______
                                 
  SA 2596. Mr. McCAIN submitted an amendment intended to be proposed by 
him to the bill S. 3414, to enhance the security and resiliency of the 
cyber and communications infrastructure of the United States; which was 
ordered to lie on the table; as follows:

       On page 13, line 11, insert ``In addition, any authority of 
     a Federal agency under another provision of law to compel 
     owners or operators to provide information to the Federal 
     Government may not be used in furtherance of this Act.'' 
     after the period.
                                 ______
                                 
  SA 2597. Mr. McCAIN submitted an amendment intended to be proposed by 
him to the bill S. 3414, to enhance the security and resiliency of the 
cyber and communications infrastructure of the United States; which was 
ordered to lie on the table; as follows:

       Strike title I.
                                 ______
                                 
  SA 2598. Mr. McCAIN submitted an amendment intended to be proposed by 
him to the bill S. 3414, to enhance the security and resiliency of the 
cyber and communications infrastructure of the United States; which was 
ordered to lie on the table; as follows:

       On page 16, line 21, strike ``and''.
       On page 16, line 23, strike the period and insert ``; 
     and''.
       On page 16, between lines 23 and 24, insert the following:
       (H) submit to the President and the appropriate 
     congressional committees a report, which may be in classified 
     or unclassified form, explaining the methodologies use to 
     identify and results of the identification of categories of 
     critical cyber infrastructure.
                                 ______
                                 
  SA 2599. Mr. McCAIN submitted an amendment intended to be proposed by 
him to the bill S. 3414, to enhance the security and resiliency of the 
cyber and communications infrastructure of the United States; which was 
ordered to lie on the table; as follows:

       On page 24, strike lines 3 through 12 and insert the 
     following:

     adopted the cybersecurity practices as mandatory 
     requirements, the Federal agency shall submit to the 
     appropriate congressional committees a report on the reasons 
     the Federal agency did so, including an explanation of how 
     the Federal agency conducted a detailed cost-benefit analysis 
     in accordance with Executive Order 13563 (5 U.S.C. 601 note; 
     relating to improving regulation and regulatory review), 
     including sections 1 and 3 of such Executive Order.
                                 ______
                                 
  SA 2600. Mr. McCAIN submitted an amendment intended to be proposed by 
him to the bill S. 3414, to enhance the security and resiliency of the 
cyber and communications infrastructure of the United States; which was 
ordered to lie on the table; as follows:

       Beginning on page 18, strike line 18 and all that follows 
     through page 19, line 2, and insert the following: ``under 
     this section critical infrastructure based solely on 
     activities protected by the first amendment to the 
     Constitution of the United States.''.
                                 ______
                                 
  SA 2601. Mr. McCAIN submitted an amendment intended to be proposed by 
him to the bill S. 3414, to enhance the security and resiliency of the 
cyber and communications infrastructure of the United States; which was 
ordered to lie on the table; as follows:

       On page 34, strike lines 3 through 19 and insert the 
     following:
       (1) provide additional authority for any sector-specific 
     agency or any Federal agency that is not a sector-specific 
     agency with responsibilities for regulating the security of 
     critical infrastructure to establish standards or other 
     cybersecurity measures that are applicable to the security of 
     critical infrastructure not otherwise authorized by law;
       (2) limit or restrict the authority of the Department, or 
     any other Federal agency, under any other provision of law; 
     or
       (3) permit any owner (including a certified owner) to fail 
     to comply with any other law or regulation, unless 
     specifically authorized.
                                 ______
                                 
  SA 2602. Mr. McCAIN submitted an amendment intended to be proposed by 
him to the bill S. 3414, to enhance the security and resiliency of the 
cyber and communications infrastructure of the United States; which was 
ordered to lie on the table; as follows:

       On page 173, beginning on line 14, strike ``The Secretary 
     of Homeland Security, in consultation with'' and insert ``The 
     President, in consultation with the Secretary,''.
       On page 173, line 19, strike ``civilian''.
       On page 174, line 11, strike ``Civilian''.
       On page 174, beginning on line 13, strike ``The Secretary, 
     in consultation with'' and insert ``The President, in 
     consultation with the Secretary,''.
       On page 174, line 16, strike ``civilian''.
       On page 174, beginning on line 21, strike ``civilian''.
       On page 177, line 2, strike ``civilian''.
       On page 177, line 6, strike ``Civilian''.
       On page 177, beginning on line 8, strike ``the Secretary, 
     in consultation with'' and insert ``the President, in 
     consultation with the Secretary,''.
       On page 177, line 11, strike ``civilian''.
       On page 177, line 23, strike ``the Secretary'' and insert 
     ``the President''.
       On page 178, line 21, strike ``The Secretary'' and insert 
     ``The President''.
       On page 179, beginning on line 6, strike ``The Secretary, 
     in coordination with the Director of National Intelligence, 
     the Attorney General, and the Secretary of Defense,'' and 
     insert ``The President''.
       On page 183, beginning on line 15, strike ``the Secretary 
     and approved by the Attorney General'' and insert ``the 
     President''.
       On page 184, beginning on line 19, strike ``The Secretary, 
     in consultation with privacy and civil liberties experts,'' 
     and insert ``The President, in consultation with privacy and 
     civil liberties experts, the Secretary,''.
       On page 186, strike lines 16 through 22.
       On page 186, line 24, strike ``The Secretary'' and insert 
     ``The President''.
       On page 187, beginning on line 10, strike ``The Secretary 
     and the Attorney General'' and insert ``The President, in 
     consultation with the Secretary and the Attorney General,''.
       On page 187, beginning on line 20, strike ``the Secretary 
     and approved by the Attorney General'' and insert ``the 
     President''.
       On page 187, beginning on line 23, strike ``the Attorney 
     General'' and insert ``the President''.
       On page 188, line 1, strike ``the Attorney General'' and 
     insert ``the President''.
       On page 188, line 3, strike ``the Attorney General'' and 
     insert ``the President''.
       On page 202, beginning on line 21, strike ``the Secretary, 
     the Director of National Intelligence, the Attorney General, 
     and the Secretary of Defense shall jointly'' and insert ``the 
     President, in consultation with the Secretary, the Director 
     of National Intelligence, the Attorney General, and the 
     Secretary of Defense, shall''.
                                 ______
                                 
  SA 2603. Mr. McCAIN submitted an amendment intended to be proposed by 
him to the bill S. 3414, to enhance the security and resiliency of the 
cyber and communications infrastructure of the United States; which was 
ordered to lie on the table; as follows:

       On page 173, beginning on line 14, strike ``The Secretary 
     of Homeland Security, in consultation with'' and insert ``The 
     President, in consultation with the Secretary,''.
       On page 173, line 19, strike ``civilian''.
       On page 174, line 11, strike ``Civilian''.
       On page 174, beginning on line 13, strike ``The Secretary, 
     in consultation with'' and insert ``The President, in 
     consultation with the Secretary,''.
       On page 174, line 16, strike ``civilian''.
       On page 174, beginning on line 21, strike ``civilian''.
       On page 177, line 2, strike ``civilian''.
       On page 177, line 6, strike ``Civilian''.
       On page 177, beginning on line 8, strike ``the Secretary, 
     in consultation with'' and

[[Page S5522]]

     insert ``the President, in consultation with the 
     Secretary,''.
       On page 177, line 11, strike ``civilian''.
       On page 177, line 23, strike ``the Secretary'' and insert 
     ``the President''.
       On page 178, line 21, strike ``The Secretary'' and insert 
     ``The President''.
       On page 179, beginning on line 6, strike ``The Secretary, 
     in coordination with the Director of National Intelligence, 
     the Attorney General, and the Secretary of Defense,'' and 
     insert ``The President''.
       On page 183, beginning on line 15, strike ``the Secretary 
     and approved by the Attorney General'' and insert ``the 
     President''.
       On page 184, beginning on line 19, strike ``The Secretary, 
     in consultation with privacy and civil liberties experts,'' 
     and insert ``The President, in consultation with privacy and 
     civil liberties experts, the Secretary,''.
       On page 186, strike lines 16 through 22.
       On page 186, line 24, strike ``The Secretary'' and insert 
     ``The President''.
       On page 187, beginning on line 10, strike ``The Secretary 
     and the Attorney General'' and insert ``The President, in 
     consultation with the Secretary and the Attorney General,''.
       On page 187, beginning on line 20, strike ``the Secretary 
     and approved by the Attorney General'' and insert ``the 
     President''.
       On page 187, beginning on line 23, strike ``the Attorney 
     General'' and insert ``the President''.
       On page 188, line 1, strike ``the Attorney General'' and 
     insert ``the President''.
       On page 188, line 3, strike ``the Attorney General'' and 
     insert ``the President''.
       On page 199, strike lines 12 through 17.
       On page 202, beginning on line 21, strike ``the Secretary, 
     the Director of National Intelligence, the Attorney General, 
     and the Secretary of Defense shall jointly'' and insert ``the 
     President, in consultation with the Secretary, the Director 
     of National Intelligence, the Attorney General, and the 
     Secretary of Defense, shall''.
                                 ______
                                 
  SA 2604. Mr. McCAIN submitted an amendment intended to be proposed by 
him to the bill S. 3414, to enhance the security and resiliency of the 
cyber and communications infrastructure of the United States; which was 
ordered to lie on the table; as follows:

       At the end of title I, add the following:

     SEC. 111. SUNSET.

       This title is repealed effective on the date that is 4 
     years after the date of enactment of this Act.
                                 ______
                                 
  SA 2605. Mr. McCAIN (for himself, Mrs. Hutchison, Mr. Chambliss, Mr. 
Grassley, Ms. Murkowski, Mr. Coats, Mr. Burr, and Mr. Johnson of 
Wisconsin) submitted an amendment intended to be proposed by him to the 
bill S. 3414, to enhance the security and resiliency of the cyber and 
communications infrastructure of the United States; which was ordered 
to lie on the table; as follows:

       Strike all after the enacting clause and insert the 
     following:

     SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

       (a) Short Title.--This Act may be cited as the 
     ``Strengthening and Enhancing Cybersecurity by Using 
     Research, Education, Information, and Technology Act of 
     2012'' or ``SECURE IT''.
       (b) Table of Contents.--The table of contents of this Act 
     is as follows:

Sec. 1. Short title; table of contents.

       TITLE I--FACILITATING SHARING OF CYBER THREAT INFORMATION

Sec. 101. Definitions.
Sec. 102. Authorization to share cyber threat information.
Sec. 103. Information sharing by the Federal government.
Sec. 104. Construction.
Sec. 105. Report on implementation.
Sec. 106. Inspector General review.
Sec. 107. Technical amendments.
Sec. 108. Access to classified information.

     TITLE II--COORDINATION OF FEDERAL INFORMATION SECURITY POLICY

Sec. 201. Coordination of Federal information security policy.
Sec. 202. Management of information technology.
Sec. 203. No new funding.
Sec. 204. Technical and conforming amendments.
Sec. 205. Clarification of authorities.

                     TITLE III--CRIMINAL PENALTIES

Sec. 301. Penalties for fraud and related activity in connection with 
              computers.
Sec. 302. Trafficking in passwords.
Sec. 303. Conspiracy and attempted computer fraud offenses.
Sec. 304. Criminal and civil forfeiture for fraud and related activity 
              in connection with computers.
Sec. 305. Damage to critical infrastructure computers.
Sec. 306. Limitation on actions involving unauthorized use.
Sec. 307. No new funding.

            TITLE IV--CYBERSECURITY RESEARCH AND DEVELOPMENT

Sec. 401. National High-Performance Computing Program planning and 
              coordination.
Sec. 402. Research in areas of national importance.
Sec. 403. Program improvements.
Sec. 404. Improving education of networking and information technology, 
              including high performance computing.
Sec. 405. Conforming and technical amendments to the High-Performance 
              Computing Act of 1991.
Sec. 406. Federal cyber scholarship-for-service program.
Sec. 407. Study and analysis of certification and training of 
              information infrastructure professionals.
Sec. 408. International cybersecurity technical standards.
Sec. 409. Identity management research and development.
Sec. 410. Federal cybersecurity research and development.

       TITLE I--FACILITATING SHARING OF CYBER THREAT INFORMATION

     SEC. 101. DEFINITIONS.

       In this title:
       (1) Agency.--The term ``agency'' has the meaning given the 
     term in section 3502 of title 44, United States Code.
       (2) Antitrust laws.--The term ``antitrust laws''--
       (A) has the meaning given the term in section 1(a) of the 
     Clayton Act (15 U.S.C. 12(a));
       (B) includes section 5 of the Federal Trade Commission Act 
     (15 U.S.C. 45) to the extent that section 5 of that Act 
     applies to unfair methods of competition; and
       (C) includes any State law that has the same intent and 
     effect as the laws under subparagraphs (A) and (B).
       (3) Countermeasure.--The term ``countermeasure'' means an 
     automated or a manual action with defensive intent to 
     mitigate cyber threats.
       (4) Cyber threat information.--The term ``cyber threat 
     information'' means information that indicates or describes--
       (A) a technical or operation vulnerability or a cyber 
     threat mitigation measure;
       (B) an action or operation to mitigate a cyber threat;
       (C) malicious reconnaissance, including anomalous patterns 
     of network activity that appear to be transmitted for the 
     purpose of gathering technical information related to a 
     cybersecurity threat;
       (D) a method of defeating a technical control;
       (E) a method of defeating an operational control;
       (F) network activity or protocols known to be associated 
     with a malicious cyber actor or that signify malicious cyber 
     intent;
       (G) a method of causing a user with legitimate access to an 
     information system or information that is stored on, 
     processed by, or transiting an information system to 
     inadvertently enable the defeat of a technical or operational 
     control;
       (H) any other attribute of a cybersecurity threat or cyber 
     defense information that would foster situational awareness 
     of the United States cybersecurity posture, if disclosure of 
     such attribute or information is not otherwise prohibited by 
     law;
       (I) the actual or potential harm caused by a cyber 
     incident, including information exfiltrated when it is 
     necessary in order to identify or describe a cybersecurity 
     threat; or
       (J) any combination of subparagraphs (A) through (I).
       (5) Cybersecurity center.--The term ``cybersecurity 
     center'' means the Department of Defense Cyber Crime Center, 
     the Intelligence Community Incident Response Center, the 
     United States Cyber Command Joint Operations Center, the 
     National Cyber Investigative Joint Task Force, the National 
     Security Agency/Central Security Service Threat Operations 
     Center, the National Cybersecurity and Communications 
     Integration Center, and any successor center.
       (6) Cybersecurity system.--The term ``cybersecurity 
     system'' means a system designed or employed to ensure the 
     integrity, confidentiality, or availability of, or to 
     safeguard, a system or network, including measures intended 
     to protect a system or network from--
       (A) efforts to degrade, disrupt, or destroy such system or 
     network; or
       (B) theft or misappropriations of private or government 
     information, intellectual property, or personally 
     identifiable information.
       (7) Entity.--
       (A) In general.--The term ``entity'' means any private 
     entity, non-Federal government agency or department, or 
     State, tribal, or local government agency or department 
     (including an officer, employee, or agent thereof).
       (B) Inclusions.--The term ``entity'' includes a government 
     agency or department (including an officer, employee, or 
     agent thereof) of the District of Columbia, the Commonwealth 
     of Puerto Rico, the Virgin Islands, Guam, American Samoa, the 
     Northern Mariana Islands, and any other territory or 
     possession of the United States.
       (8) Federal information system.--The term ``Federal 
     information system'' means an information system of a Federal 
     department or agency used or operated by an executive agency, 
     by a contractor of an executive agency, or by another 
     organization on behalf of an executive agency.
       (9) Information security.--The term ``information 
     security'' means protecting information and information 
     systems from disruption or unauthorized access, use, 
     disclosure, modification, or destruction in order to 
     provide--
       (A) integrity, by guarding against improper information 
     modification or destruction, including by ensuring 
     information nonrepudiation and authenticity;

[[Page S5523]]

       (B) confidentiality, by preserving authorized restrictions 
     on access and disclosure, including means for protecting 
     personal privacy and proprietary information; or
       (C) availability, by ensuring timely and reliable access to 
     and use of information.
       (10) Information system.--The term ``information system'' 
     has the meaning given the term in section 3502 of title 44, 
     United States Code.
       (11) Local government.--The term ``local government'' means 
     any borough, city, county, parish, town, township, village, 
     or other general purpose political subdivision of a State.
       (12) Malicious reconnaissance.--The term ``malicious 
     reconnaissance'' means a method for actively probing or 
     passively monitoring an information system for the purpose of 
     discerning technical vulnerabilities of the information 
     system, if such method is associated with a known or 
     suspected cybersecurity threat.
       (13) Operational control.--The term ``operational control'' 
     means a security control for an information system that 
     primarily is implemented and executed by people.
       (14) Operational vulnerability.--The term ``operational 
     vulnerability'' means any attribute of policy, process, or 
     procedure that could enable or facilitate the defeat of an 
     operational control.
       (15) Private entity.--The term ``private entity'' means any 
     individual or any private group, organization, or 
     corporation, including an officer, employee, or agent 
     thereof.
       (16) Significant cyber incident.--The term ``significant 
     cyber incident'' means a cyber incident resulting in, or an 
     attempted cyber incident that, if successful, would have 
     resulted in--
       (A) the exfiltration from a Federal information system of 
     data that is essential to the operation of the Federal 
     information system; or
       (B) an incident in which an operational or technical 
     control essential to the security or operation of a Federal 
     information system was defeated.
       (17) Technical control.--The term ``technical control'' 
     means a hardware or software restriction on, or audit of, 
     access or use of an information system or information that is 
     stored on, processed by, or transiting an information system 
     that is intended to ensure the confidentiality, integrity, or 
     availability of that system.
       (18) Technical vulnerability.--The term ``technical 
     vulnerability'' means any attribute of hardware or software 
     that could enable or facilitate the defeat of a technical 
     control.
       (19) Tribal.--The term ``tribal'' has the meaning given the 
     term ``Indian tribe'' in section 4 of the Indian Self-
     Determination and Education Assistance Act (25 U.S.C. 450b).

     SEC. 102. AUTHORIZATION TO SHARE CYBER THREAT INFORMATION.

       (a) Voluntary Disclosure.--
       (1) Private entities.--Notwithstanding any other provision 
     of law, a private entity may, for the purpose of preventing, 
     investigating, or otherwise mitigating threats to information 
     security, on its own networks, or as authorized by another 
     entity, on such entity's networks, employ countermeasures and 
     use cybersecurity systems in order to obtain, identify, or 
     otherwise possess cyber threat information.
       (2) Entities.--Notwithstanding any other provision of law, 
     an entity may disclose cyber threat information to--
       (A) a cybersecurity center; or
       (B) any other entity in order to assist with preventing, 
     investigating, or otherwise mitigating threats to information 
     security.
       (3) Information security providers.--If the cyber threat 
     information described in paragraph (1) is obtained, 
     identified, or otherwise possessed in the course of providing 
     information security products or services under contract to 
     another entity, that entity shall be given, at any time prior 
     to disclosure of such information, a reasonable opportunity 
     to authorize or prevent such disclosure, to request 
     anonymization of such information, or to request that 
     reasonable efforts be made to safeguard such information that 
     identifies specific persons from unauthorized access or 
     disclosure.
       (b) Significant Cyber Incidents Involving Federal 
     Information Systems.--
       (1) In general.--An entity providing electronic 
     communication services, remote computing services, or 
     information security services to a Federal department or 
     agency shall inform the Federal department or agency of a 
     significant cyber incident involving the Federal information 
     system of that Federal department or agency that--
       (A) is directly known to the entity as a result of 
     providing such services;
       (B) is directly related to the provision of such services 
     by the entity; and
       (C) as determined by the entity, has impeded or will impede 
     the performance of a critical mission of the Federal 
     department or agency.
       (2) Advance coordination.--A Federal department or agency 
     receiving the services described in paragraph (1) shall 
     coordinate in advance with an entity described in paragraph 
     (1) to develop the parameters of any information that may be 
     provided under paragraph (1), including clarification of the 
     type of significant cyber incident that will impede the 
     performance of a critical mission of the Federal department 
     or agency.
       (3) Report.--A Federal department or agency shall report 
     information provided under this subsection to a cybersecurity 
     center.
       (4) Construction.--Any information provided to a 
     cybersecurity center under paragraph (3) shall be treated in 
     the same manner as information provided to a cybersecurity 
     center under subsection (a).
       (c) Information Shared With or Provided to a Cybersecurity 
     Center.--Cyber threat information provided to a cybersecurity 
     center under this section--
       (1) may be disclosed to, retained by, and used by, 
     consistent with otherwise applicable Federal law, any Federal 
     agency or department, component, officer, employee, or agent 
     of the Federal government for a cybersecurity purpose, a 
     national security purpose, or in order to prevent, 
     investigate, or prosecute any of the offenses listed in 
     section 2516 of title 18, United States Code, and such 
     information shall not be disclosed to, retained by, or used 
     by any Federal agency or department for any use not permitted 
     under this paragraph;
       (2) may, with the prior written consent of the entity 
     submitting such information, be disclosed to and used by a 
     State, tribal, or local government or government agency for 
     the purpose of protecting information systems, or in 
     furtherance of preventing, investigating, or prosecuting a 
     criminal act, except that if the need for immediate 
     disclosure prevents obtaining written consent, such consent 
     may be provided orally with subsequent documentation of such 
     consent;
       (3) shall be considered the commercial, financial, or 
     proprietary information of the entity providing such 
     information to the Federal government and any disclosure 
     outside the Federal government may only be made upon the 
     prior written consent by such entity and shall not constitute 
     a waiver of any applicable privilege or protection provided 
     by law, except that if the need for immediate disclosure 
     prevents obtaining written consent, such consent may be 
     provided orally with subsequent documentation of such 
     consent;
       (4) shall be deemed voluntarily shared information and 
     exempt from disclosure under section 552 of title 5, United 
     States Code, and any State, tribal, or local law requiring 
     disclosure of information or records;
       (5) shall be, without discretion, withheld from the public 
     under section 552(b)(3)(B) of title 5, United States Code, 
     and any State, tribal, or local law requiring disclosure of 
     information or records;
       (6) shall not be subject to the rules of any Federal agency 
     or department or any judicial doctrine regarding ex parte 
     communications with a decision-making official;
       (7) shall not, if subsequently provided to a State, tribal, 
     or local government or government agency, otherwise be 
     disclosed or distributed to any entity by such State, tribal, 
     or local government or government agency without the prior 
     written consent of the entity submitting such information, 
     notwithstanding any State, tribal, or local law requiring 
     disclosure of information or records, except that if the need 
     for immediate disclosure prevents obtaining written consent, 
     such consent may be provided orally with subsequent 
     documentation of such consent; and
       (8) shall not be directly used by any Federal, State, 
     tribal, or local department or agency to regulate the lawful 
     activities of an entity, including activities relating to 
     obtaining, identifying, or otherwise possessing cyber threat 
     information, except that the procedures required to be 
     developed and implemented under this title shall not be 
     considered regulations within the meaning of this paragraph.
       (d) Procedures Relating to Information Sharing With a 
     Cybersecurity Center.--Not later than 60 days after the date 
     of enactment of this Act, the heads of each department or 
     agency containing a cybersecurity center shall jointly 
     develop, promulgate, and submit to Congress procedures to 
     ensure that cyber threat information shared with or provided 
     to--
       (1) a cybersecurity center under this section--
       (A) may be submitted to a cybersecurity center by an 
     entity, to the greatest extent possible, through a uniform, 
     publicly available process or format that is easily 
     accessible on the website of such cybersecurity center, and 
     that includes the ability to provide relevant details about 
     the cyber threat information and written consent to any 
     subsequent disclosures authorized by this paragraph;
       (B) shall immediately be further shared with each 
     cybersecurity center in order to prevent, investigate, or 
     otherwise mitigate threats to information security across the 
     Federal government;
       (C) is handled by the Federal government in a reasonable 
     manner, including consideration of the need to protect the 
     privacy and civil liberties of individuals through 
     anonymization or other appropriate methods, while fully 
     accomplishing the objectives of this title, and the Federal 
     government may undertake efforts consistent with this 
     subparagraph to limit the impact on privacy and civil 
     liberties of the sharing of cyber threat information with the 
     Federal government; and
       (D) except as provided in this section, shall only be used, 
     disclosed, or handled in accordance with the provisions of 
     subsection (c); and
       (2) a Federal agency or department under subsection (b) is 
     provided immediately to a cybersecurity center in order to 
     prevent, investigate, or otherwise mitigate threats to

[[Page S5524]]

     information security across the Federal government.
       (e) Information Shared Between Entities.--
       (1) In general.--An entity sharing cyber threat information 
     with another entity under this title may restrict the use or 
     sharing of such information by such other entity.
       (2) Further sharing.--Cyber threat information shared by 
     any entity with another entity under this title--
       (A) shall only be further shared in accordance with any 
     restrictions placed on the sharing of such information by the 
     entity authorizing such sharing, such as appropriate 
     anonymization of such information; and
       (B) may not be used by any entity to gain an unfair 
     competitive advantage to the detriment of the entity 
     authorizing the sharing of such information, except that the 
     conduct described in paragraph (3) shall not constitute 
     unfair competitive conduct.
       (3) Information shared with state, tribal, or local 
     government or government agency.--Cyber threat information 
     shared with a State, tribal, or local government or 
     government agency under this title--
       (A) may, with the prior written consent of the entity 
     sharing such information, be disclosed to and used by a 
     State, tribal, or local government or government agency for 
     the purpose of protecting information systems, or in 
     furtherance of preventing, investigating, or prosecuting a 
     criminal act, except if the need for immediate disclosure 
     prevents obtaining written consent, consent may be provided 
     orally with subsequent documentation of the consent;
       (B) shall be deemed voluntarily shared information and 
     exempt from disclosure under any State, tribal, or local law 
     requiring disclosure of information or records;
       (C) shall not be disclosed or distributed to any entity by 
     the State, tribal, or local government or government agency 
     without the prior written consent of the entity submitting 
     such information, notwithstanding any State, tribal, or local 
     law requiring disclosure of information or records, except if 
     the need for immediate disclosure prevents obtaining written 
     consent, consent may be provided orally with subsequent 
     documentation of the consent; and
       (D) shall not be directly used by any State, tribal, or 
     local department or agency to regulate the lawful activities 
     of an entity, including activities relating to obtaining, 
     identifying, or otherwise possessing cyber threat 
     information, except that the procedures required to be 
     developed and implemented under this title shall not be 
     considered regulations within the meaning of this 
     subparagraph.
       (4) Antitrust exemption.--The exchange or provision of 
     cyber threat information or assistance between 2 or more 
     private entities under this title shall not be considered a 
     violation of any provision of antitrust laws if exchanged or 
     provided in order to assist with--
       (A) facilitating the prevention, investigation, or 
     mitigation of threats to information security; or
       (B) communicating or disclosing of cyber threat information 
     to help prevent, investigate or otherwise mitigate the 
     effects of a threat to information security.
       (5) No right or benefit.--The provision of cyber threat 
     information to an entity under this section shall not create 
     a right or a benefit to similar information by such entity or 
     any other entity.
       (f) Federal Preemption.--
       (1) In general.--This section supersedes any statute or 
     other law of a State or political subdivision of a State that 
     restricts or otherwise expressly regulates an activity 
     authorized under this section.
       (2) State law enforcement.--Nothing in this section shall 
     be construed to supersede any statute or other law of a State 
     or political subdivision of a State concerning the use of 
     authorized law enforcement techniques.
       (3) Public disclosure.--No information shared with or 
     provided to a State, tribal, or local government or 
     government agency pursuant to this section shall be made 
     publicly available pursuant to any State, tribal, or local 
     law requiring disclosure of information or records.
       (g) Civil and Criminal Liability.--
       (1) General protections.--
       (A) Private entities.--No cause of action shall lie or be 
     maintained in any court against any private entity for--
       (i) the use of countermeasures and cybersecurity systems as 
     authorized by this title;
       (ii) the use, receipt, or disclosure of any cyber threat 
     information as authorized by this title; or
       (iii) the subsequent actions or inactions of any lawful 
     recipient of cyber threat information provided by such 
     private entity.
       (B) Entities.--No cause of action shall lie or be 
     maintained in any court against any entity for--
       (i) the use, receipt, or disclosure of any cyber threat 
     information as authorized by this title; or
       (ii) the subsequent actions or inactions of any lawful 
     recipient of cyber threat information provided by such 
     entity.
       (2) Construction.--Nothing in this subsection shall be 
     construed as creating any immunity against, or otherwise 
     affecting, any action brought by the Federal government, or 
     any agency or department thereof, to enforce any law, 
     executive order, or procedure governing the appropriate 
     handling, disclosure, and use of classified information.
       (h) Otherwise Lawful Disclosures.--Nothing in this section 
     shall be construed to limit or prohibit otherwise lawful 
     disclosures of communications, records, or other information 
     by a private entity to any other governmental or private 
     entity not covered under this section.
       (i) Whistleblower Protection.--Nothing in this Act shall be 
     construed to preempt or preclude any employee from exercising 
     rights currently provided under any whistleblower law, rule, 
     or regulation.
       (j) Relationship to Other Laws.--The submission of cyber 
     threat information under this section to a cybersecurity 
     center shall not affect any requirement under any other 
     provision of law for an entity to provide information to the 
     Federal government.

     SEC. 103. INFORMATION SHARING BY THE FEDERAL GOVERNMENT.

       (a) Classified Information.--
       (1) Procedures.--Consistent with the protection of 
     intelligence sources and methods, and as otherwise determined 
     appropriate, the Director of National Intelligence and the 
     Secretary of Defense, in consultation with the heads of the 
     appropriate Federal departments or agencies, shall develop 
     and promulgate procedures to facilitate and promote--
       (A) the immediate sharing, through the cybersecurity 
     centers, of classified cyber threat information in the 
     possession of the Federal government with appropriately 
     cleared representatives of any appropriate entity; and
       (B) the declassification and immediate sharing, through the 
     cybersecurity centers, with any entity or, if appropriate, 
     public availability of cyber threat information in the 
     possession of the Federal government;
       (2) Handling of classified information.--The procedures 
     developed under paragraph (1) shall ensure that each entity 
     receiving classified cyber threat information pursuant to 
     this section has acknowledged in writing the ongoing 
     obligation to comply with all laws, executive orders, and 
     procedures concerning the appropriate handling, disclosure, 
     or use of classified information.
       (b) Unclassified Cyber Threat Information.--The heads of 
     each department or agency containing a cybersecurity center 
     shall jointly develop and promulgate procedures that ensure 
     that, consistent with the provisions of this section, 
     unclassified, including controlled unclassified, cyber threat 
     information in the possession of the Federal government--
       (1) is shared, through the cybersecurity centers, in an 
     immediate and adequate manner with appropriate entities; and
       (2) if appropriate, is made publicly available.
       (c) Development of Procedures.--
       (1) In general.--The procedures developed under this 
     section shall incorporate, to the greatest extent possible, 
     existing processes utilized by sector specific information 
     sharing and analysis centers.
       (2) Coordination with entities.--In developing the 
     procedures required under this section, the Director of 
     National Intelligence and the heads of each department or 
     agency containing a cybersecurity center shall coordinate 
     with appropriate entities to ensure that protocols are 
     implemented that will facilitate and promote the sharing of 
     cyber threat information by the Federal government.
       (d) Additional Responsibilities of Cybersecurity Centers.--
     Consistent with section 102, a cybersecurity center shall--
       (1) facilitate information sharing, interaction, and 
     collaboration among and between cybersecurity centers and--
       (A) other Federal entities;
       (B) any entity; and
       (C) international partners, in consultation with the 
     Secretary of State;
       (2) disseminate timely and actionable cybersecurity threat, 
     vulnerability, mitigation, and warning information, including 
     alerts, advisories, indicators, signatures, and mitigation 
     and response measures, to improve the security and protection 
     of information systems; and
       (3) coordinate with other Federal entities, as appropriate, 
     to integrate information from across the Federal government 
     to provide situational awareness of the cybersecurity posture 
     of the United States.
       (e) Sharing Within the Federal Government.--The heads of 
     appropriate Federal departments and agencies shall ensure 
     that cyber threat information in the possession of such 
     Federal departments or agencies that relates to the 
     prevention, investigation, or mitigation of threats to 
     information security across the Federal government is shared 
     effectively with the cybersecurity centers.
       (f) Submission to Congress.--Not later than 60 days after 
     the date of enactment of this Act, the Director of National 
     Intelligence, in coordination with the appropriate head of a 
     department or an agency containing a cybersecurity center, 
     shall submit the procedures required by this section to 
     Congress.

     SEC. 104. CONSTRUCTION.

       (a) Information Sharing Relationships.--Nothing in this 
     title shall be construed--
       (1) to limit or modify an existing information sharing 
     relationship;
       (2) to prohibit a new information sharing relationship;
       (3) to require a new information sharing relationship 
     between any entity and the Federal government, except as 
     specified under section 102(b); or
       (4) to modify the authority of a department or agency of 
     the Federal government

[[Page S5525]]

     to protect sources and methods and the national security of 
     the United States.
       (b) Anti-tasking Restriction.--Nothing in this title shall 
     be construed to permit the Federal government--
       (1) to require an entity to share information with the 
     Federal government, except as expressly provided under 
     section 102(b); or
       (2) to condition the sharing of cyber threat information 
     with an entity on such entity's provision of cyber threat 
     information to the Federal government.
       (c) No Liability for Non-participation.--Nothing in this 
     title shall be construed to subject any entity to liability 
     for choosing not to engage in the voluntary activities 
     authorized under this title.
       (d) Use and Retention of Information.--Nothing in this 
     title shall be construed to authorize, or to modify any 
     existing authority of, a department or agency of the Federal 
     government to retain or use any information shared under 
     section 102 for any use other than a use permitted under 
     subsection 102(c)(1).
       (e) No New Funding.--An applicable Federal agency shall 
     carry out the provisions of this title with existing 
     facilities and funds otherwise available, through such means 
     as the head of the agency considers appropriate.

     SEC. 105. REPORT ON IMPLEMENTATION.

       (a) Content of Report.--Not later than 1 year after the 
     date of enactment of this Act, and biennially thereafter, the 
     heads of each department or agency containing a cybersecurity 
     center shall jointly submit, in coordination with the privacy 
     and civil liberties officials of such departments or agencies 
     and the Privacy and Civil Liberties Oversight Board, a 
     detailed report to Congress concerning the implementation of 
     this title, including--
       (1) an assessment of the sufficiency of the procedures 
     developed under section 103 of this Act in ensuring that 
     cyber threat information in the possession of the Federal 
     government is provided in an immediate and adequate manner to 
     appropriate entities or, if appropriate, is made publicly 
     available;
       (2) an assessment of whether information has been 
     appropriately classified and an accounting of the number of 
     security clearances authorized by the Federal government for 
     purposes of this title;
       (3) a review of the type of cyber threat information shared 
     with a cybersecurity center under section 102 of this Act, 
     including whether such information meets the definition of 
     cyber threat information under section 101, the degree to 
     which such information may impact the privacy and civil 
     liberties of individuals, any appropriate metrics to 
     determine any impact of the sharing of such information with 
     the Federal government on privacy and civil liberties, and 
     the adequacy of any steps taken to reduce such impact;
       (4) a review of actions taken by the Federal government 
     based on information provided to a cybersecurity center under 
     section 102 of this Act, including the appropriateness of any 
     subsequent use under section 102(c)(1) of this Act and 
     whether there was inappropriate stovepiping within the 
     Federal government of any such information;
       (5) a description of any violations of the requirements of 
     this title by the Federal government;
       (6) a classified list of entities that received classified 
     information from the Federal government under section 103 of 
     this Act and a description of any indication that such 
     information may not have been appropriately handled;
       (7) a summary of any breach of information security, if 
     known, attributable to a specific failure by any entity or 
     the Federal government to act on cyber threat information in 
     the possession of such entity or the Federal government that 
     resulted in substantial economic harm or injury to a specific 
     entity or the Federal government; and
       (8) any recommendation for improvements or modifications to 
     the authorities under this title.
       (b) Form of Report.--The report under subsection (a) shall 
     be submitted in unclassified form, but shall include a 
     classified annex.

     SEC. 106. INSPECTOR GENERAL REVIEW.

       (a) In General.--The Council of the Inspectors General on 
     Integrity and Efficiency are authorized to review compliance 
     by the cybersecurity centers, and by any Federal department 
     or agency receiving cyber threat information from such 
     cybersecurity centers, with the procedures required under 
     section 102 of this Act.
       (b) Scope of Review.--The review under subsection (a) shall 
     consider whether the Federal government has handled such 
     cyber threat information in a reasonable manner, including 
     consideration of the need to protect the privacy and civil 
     liberties of individuals through anonymization or other 
     appropriate methods, while fully accomplishing the objectives 
     of this title.
       (c) Report to Congress.--Each review conducted under this 
     section shall be provided to Congress not later than 30 days 
     after the date of completion of the review.

     SEC. 107. TECHNICAL AMENDMENTS.

       Section 552(b) of title 5, United States Code, is amended--
       (1) in paragraph (8), by striking ``or'';
       (2) in paragraph (9), by striking ``wells.'' and inserting 
     ``wells; or''; and
       (3) by adding at the end the following:
       ``(10) information shared with or provided to a 
     cybersecurity center under section 102 of title I of the 
     Strengthening and Enhancing Cybersecurity by Using Research, 
     Education, Information, and Technology Act of 2012.''.

     SEC. 108. ACCESS TO CLASSIFIED INFORMATION.

       (a) Authorization Required.--No person shall be provided 
     with access to classified information (as defined in section 
     6.1 of Executive Order 13526 (50 U.S.C. 435 note; relating to 
     classified national security information)) relating to cyber 
     security threats or cyber security vulnerabilities under this 
     title without the appropriate security clearances.
       (b) Security Clearances.--The appropriate Federal agencies 
     or departments shall, consistent with applicable procedures 
     and requirements, and if otherwise deemed appropriate, assist 
     an individual in timely obtaining an appropriate security 
     clearance where such individual has been determined to be 
     eligible for such clearance and has a need-to-know (as 
     defined in section 6.1 of that Executive Order) classified 
     information to carry out this title.

     TITLE II--COORDINATION OF FEDERAL INFORMATION SECURITY POLICY

     SEC. 201. COORDINATION OF FEDERAL INFORMATION SECURITY 
                   POLICY.

       (a) In General.--Chapter 35 of title 44, United States 
     Code, is amended by striking subchapters II and III and 
     inserting the following:

                 ``SUBCHAPTER II--INFORMATION SECURITY

     ``Sec. 3551. Purposes

       ``The purposes of this subchapter are--
       ``(1) to provide a comprehensive framework for ensuring the 
     effectiveness of information security controls over 
     information resources that support Federal operations and 
     assets;
       ``(2) to recognize the highly networked nature of the 
     current Federal computing environment and provide effective 
     government-wide management of policies, directives, 
     standards, and guidelines, as well as effective and nimble 
     oversight of and response to information security risks, 
     including coordination of information security efforts 
     throughout the Federal civilian, national security, and law 
     enforcement communities;
       ``(3) to provide for development and maintenance of 
     controls required to protect agency information and 
     information systems and contribute to the overall improvement 
     of agency information security posture;
       ``(4) to provide for the development of tools and methods 
     to assess and respond to real-time situational risk for 
     Federal information system operations and assets; and
       ``(5) to provide a mechanism for improving agency 
     information security programs through continuous monitoring 
     of agency information systems and streamlined reporting 
     requirements rather than overly prescriptive manual 
     reporting.

     ``Sec. 3552. Definitions

       ``In this subchapter:
       ``(1) Adequate security.--The term `adequate security' 
     means security commensurate with the risk and magnitude of 
     the harm resulting from the unauthorized access to or loss, 
     misuse, destruction, or modification of information.
       ``(2) Agency.--The term `agency' has the meaning given the 
     term in section 3502 of title 44.
       ``(3) Cybersecurity center.--The term `cybersecurity 
     center' means the Department of Defense Cyber Crime Center, 
     the Intelligence Community Incident Response Center, the 
     United States Cyber Command Joint Operations Center, the 
     National Cyber Investigative Joint Task Force, the National 
     Security Agency/Central Security Service Threat Operations 
     Center, the National Cybersecurity and Communications 
     Integration Center, and any successor center.
       ``(4) Cyber threat information.--The term `cyber threat 
     information' means information that indicates or describes--
       ``(A) a technical or operation vulnerability or a cyber 
     threat mitigation measure;
       ``(B) an action or operation to mitigate a cyber threat;
       ``(C) malicious reconnaissance, including anomalous 
     patterns of network activity that appear to be transmitted 
     for the purpose of gathering technical information related to 
     a cybersecurity threat;
       ``(D) a method of defeating a technical control;
       ``(E) a method of defeating an operational control;
       ``(F) network activity or protocols known to be associated 
     with a malicious cyber actor or that signify malicious cyber 
     intent;
       ``(G) a method of causing a user with legitimate access to 
     an information system or information that is stored on, 
     processed by, or transiting an information system to 
     inadvertently enable the defeat of a technical or operational 
     control;
       ``(H) any other attribute of a cybersecurity threat or 
     cyber defense information that would foster situational 
     awareness of the United States cybersecurity posture, if 
     disclosure of such attribute or information is not otherwise 
     prohibited by law;
       ``(I) the actual or potential harm caused by a cyber 
     incident, including information exfiltrated when it is 
     necessary in order to identify or describe a cybersecurity 
     threat; or
       ``(J) any combination of subparagraphs (A) through (I).
       ``(5) Director.--The term `Director' means the Director of 
     the Office of Management and Budget unless otherwise 
     specified.
       ``(6) Environment of operation.--The term `environment of 
     operation' means the information system and environment in

[[Page S5526]]

     which those systems operate, including changing threats, 
     vulnerabilities, technologies, and missions and business 
     practices.
       ``(7) Federal information system.--The term `Federal 
     information system' means an information system used or 
     operated by an executive agency, by a contractor of an 
     executive agency, or by another organization on behalf of an 
     executive agency.
       ``(8) Incident.--The term `incident' means an occurrence 
     that--
       ``(A) actually or imminently jeopardizes the integrity, 
     confidentiality, or availability of an information system or 
     the information that system controls, processes, stores, or 
     transmits; or
       ``(B) constitutes a violation of law or an imminent threat 
     of violation of a law, a security policy, a security 
     procedure, or an acceptable use policy.
       ``(9) Information resources.--The term `information 
     resources' has the meaning given the term in section 3502 of 
     title 44.
       ``(10) Information security.--The term `information 
     security' means protecting information and information 
     systems from disruption or unauthorized access, use, 
     disclosure, modification, or destruction in order to 
     provide--
       ``(A) integrity, by guarding against improper information 
     modification or destruction, including by ensuring 
     information nonrepudiation and authenticity;
       ``(B) confidentiality, by preserving authorized 
     restrictions on access and disclosure, including means for 
     protecting personal privacy and proprietary information; or
       ``(C) availability, by ensuring timely and reliable access 
     to and use of information.
       ``(11) Information system.--The term `information system' 
     has the meaning given the term in section 3502 of title 44.
       ``(12) Information technology.--The term `information 
     technology' has the meaning given the term in section 11101 
     of title 40.
       ``(13) Malicious reconnaissance.--The term `malicious 
     reconnaissance' means a method for actively probing or 
     passively monitoring an information system for the purpose of 
     discerning technical vulnerabilities of the information 
     system, if such method is associated with a known or 
     suspected cybersecurity threat.
       ``(14) National security system.--
       ``(A) In general.--The term `national security system' 
     means any information system (including any 
     telecommunications system) used or operated by an agency or 
     by a contractor of an agency, or other organization on behalf 
     of an agency--
       ``(i) the function, operation, or use of which--

       ``(I) involves intelligence activities;
       ``(II) involves cryptologic activities related to national 
     security;
       ``(III) involves command and control of military forces;
       ``(IV) involves equipment that is an integral part of a 
     weapon or weapons system; or
       ``(V) subject to subparagraph (B), is critical to the 
     direct fulfillment of military or intelligence missions; or

       ``(ii) is protected at all times by procedures established 
     for information that have been specifically authorized under 
     criteria established by an Executive Order or an Act of 
     Congress to be kept classified in the interest of national 
     defense or foreign policy.
       ``(B) Limitation.--Subparagraph (A)(i)(V) does not include 
     a system that is to be used for routine administrative and 
     business applications (including payroll, finance, logistics, 
     and personnel management applications).
       ``(15) Operational control.--The term `operational control' 
     means a security control for an information system that 
     primarily is implemented and executed by people.
       ``(16) Person.--The term `person' has the meaning given the 
     term in section 3502 of title 44.
       ``(17) Secretary.--The term `Secretary' means the Secretary 
     of Commerce unless otherwise specified.
       ``(18) Security control.--The term `security control' means 
     the management, operational, and technical controls, 
     including safeguards or countermeasures, prescribed for an 
     information system to protect the confidentiality, integrity, 
     and availability of the system and its information.
       ``(19) Significant cyber incident.--The term `significant 
     cyber incident' means a cyber incident resulting in, or an 
     attempted cyber incident that, if successful, would have 
     resulted in--
       ``(A) the exfiltration from a Federal information system of 
     data that is essential to the operation of the Federal 
     information system; or
       ``(B) an incident in which an operational or technical 
     control essential to the security or operation of a Federal 
     information system was defeated.
       ``(20) Technical control.--The term `technical control' 
     means a hardware or software restriction on, or audit of, 
     access or use of an information system or information that is 
     stored on, processed by, or transiting an information system 
     that is intended to ensure the confidentiality, integrity, or 
     availability of that system.

     ``Sec. 3553. Federal information security authority and 
       coordination

       ``(a) In General.--The Secretary, in consultation with the 
     Secretary of Homeland Security, shall--
       ``(1) issue compulsory and binding policies and directives 
     governing agency information security operations, and require 
     implementation of such policies and directives, including--
       ``(A) policies and directives consistent with the standards 
     and guidelines promulgated under section 11331 of title 40 to 
     identify and provide information security protections 
     prioritized and commensurate with the risk and impact 
     resulting from the unauthorized access, use, disclosure, 
     disruption, modification, or destruction of--
       ``(i) information collected or maintained by or on behalf 
     of an agency; or
       ``(ii) information systems used or operated by an agency or 
     by a contractor of an agency or other organization on behalf 
     of an agency;
       ``(B) minimum operational requirements for Federal 
     Government to protect agency information systems and provide 
     common situational awareness across all agency information 
     systems;
       ``(C) reporting requirements, consistent with relevant law, 
     regarding information security incidents and cyber threat 
     information;
       ``(D) requirements for agencywide information security 
     programs;
       ``(E) performance requirements and metrics for the security 
     of agency information systems;
       ``(F) training requirements to ensure that agencies are 
     able to fully and timely comply with the policies and 
     directives issued by the Secretary under this subchapter;
       ``(G) training requirements regarding privacy, civil 
     rights, and civil liberties, and information oversight for 
     agency information security personnel;
       ``(H) requirements for the annual reports to the Secretary 
     under section 3554(d);
       ``(I) any other information security operations or 
     information security requirements as determined by the 
     Secretary in coordination with relevant agency heads; and
       ``(J) coordinating the development of standards and 
     guidelines under section 20 of the National Institute of 
     Standards and Technology Act (15 U.S.C. 278g-3) with agencies 
     and offices operating or exercising control of national 
     security systems (including the National Security Agency) to 
     assure, to the maximum extent feasible, that such standards 
     and guidelines are complementary with standards and 
     guidelines developed for national security systems;
       ``(2) review the agencywide information security programs 
     under section 3554; and
       ``(3) designate an individual or an entity at each 
     cybersecurity center, among other responsibilities--
       ``(A) to receive reports and information about information 
     security incidents, cyber threat information, and 
     deterioration of security control affecting agency 
     information systems; and
       ``(B) to act on or share the information under subparagraph 
     (A) in accordance with this subchapter.
       ``(b) Considerations.--When issuing policies and directives 
     under subsection (a), the Secretary shall consider any 
     applicable standards or guidelines developed by the National 
     Institute of Standards and Technology under section 11331 of 
     title 40.
       ``(c) Limitation of Authority.--The authorities of the 
     Secretary under this section shall not apply to national 
     security systems. Information security policies, directives, 
     standards and guidelines for national security systems shall 
     be overseen as directed by the President and, in accordance 
     with that direction, carried out under the authority of the 
     heads of agencies that operate or exercise authority over 
     such national security systems.
       ``(d) Statutory Construction.--Nothing in this subchapter 
     shall be construed to alter or amend any law regarding the 
     authority of any head of an agency over such agency.

     ``Sec. 3554. Agency responsibilities

       ``(a) In General.--The head of each agency shall--
       ``(1) be responsible for--
       ``(A) complying with the policies and directives issued 
     under section 3553;
       ``(B) providing information security protections 
     commensurate with the risk resulting from unauthorized 
     access, use, disclosure, disruption, modification, or 
     destruction of--
       ``(i) information collected or maintained by the agency or 
     by a contractor of an agency or other organization on behalf 
     of an agency; and
       ``(ii) information systems used or operated by an agency or 
     by a contractor of an agency or other organization on behalf 
     of an agency;
       ``(C) complying with the requirements of this subchapter, 
     including--
       ``(i) information security standards and guidelines 
     promulgated under section 11331 of title 40;
       ``(ii) for any national security systems operated or 
     controlled by that agency, information security policies, 
     directives, standards and guidelines issued as directed by 
     the President; and
       ``(iii) for any non-national security systems operated or 
     controlled by that agency, information security policies, 
     directives, standards and guidelines issued under section 
     3553;
       ``(D) ensuring that information security management 
     processes are integrated with agency strategic and 
     operational planning processes;
       ``(E) reporting and sharing, for an agency operating or 
     exercising control of a national security system, information 
     about information security incidents, cyber threat 
     information, and deterioration of security controls to the 
     individual or entity designated

[[Page S5527]]

     at each cybersecurity center and to other appropriate 
     entities consistent with policies and directives for national 
     security systems issued as directed by the President; and
       ``(F) reporting and sharing, for those agencies operating 
     or exercising control of non-national security systems, 
     information about information security incidents, cyber 
     threat information, and deterioration of security controls to 
     the individual or entity designated at each cybersecurity 
     center and to other appropriate entities consistent with 
     policies and directives for non-national security systems as 
     prescribed under section 3553(a), including information to 
     assist the entity designated under section 3555(a) with the 
     ongoing security analysis under section 3555;
       ``(2) ensure that each senior agency official provides 
     information security for the information and information 
     systems that support the operations and assets under the 
     senior agency official's control, including by--
       ``(A) assessing the risk and impact that could result from 
     the unauthorized access, use, disclosure, disruption, 
     modification, or destruction of such information or 
     information systems;
       ``(B) determining the level of information security 
     appropriate to protect such information and information 
     systems in accordance with policies and directives issued 
     under section 3553(a), and standards and guidelines 
     promulgated under section 11331 of title 40 for information 
     security classifications and related requirements;
       ``(C) implementing policies, procedures, and capabilities 
     to reduce risks to an acceptable level in a cost-effective 
     manner;
       ``(D) actively monitoring the effective implementation of 
     information security controls and techniques; and
       ``(E) reporting information about information security 
     incidents, cyber threat information, and deterioration of 
     security controls in a timely and adequate manner to the 
     entity designated under section 3553(a)(3) in accordance with 
     paragraph (1);
       ``(3) assess and maintain the resiliency of information 
     technology systems critical to agency mission and operations;
       ``(4) designate the agency Inspector General (or an 
     independent entity selected in consultation with the Director 
     and the Council of Inspectors General on Integrity and 
     Efficiency if the agency does not have an Inspector General) 
     to conduct the annual independent evaluation required under 
     section 3556, and allow the agency Inspector General to 
     contract with an independent entity to perform such 
     evaluation;
       ``(5) delegate to the Chief Information Officer or 
     equivalent (or to a senior agency official who reports to the 
     Chief Information Officer or equivalent)--
       ``(A) the authority and primary responsibility to implement 
     an agencywide information security program; and
       ``(B) the authority to provide information security for the 
     information collected and maintained by the agency (or by a 
     contractor, other agency, or other source on behalf of the 
     agency) and for the information systems that support the 
     operations, assets, and mission of the agency (including any 
     information system provided or managed by a contractor, other 
     agency, or other source on behalf of the agency);
       ``(6) delegate to the appropriate agency official (who is 
     responsible for a particular agency system or subsystem) the 
     responsibility to ensure and enforce compliance with all 
     requirements of the agency's agencywide information security 
     program in coordination with the Chief Information Officer or 
     equivalent (or the senior agency official who reports to the 
     Chief Information Officer or equivalent) under paragraph (5);
       ``(7) ensure that an agency has trained personnel who have 
     obtained any necessary security clearances to permit them to 
     assist the agency in complying with this subchapter;
       ``(8) ensure that the Chief Information Officer or 
     equivalent (or the senior agency official who reports to the 
     Chief Information Officer or equivalent) under paragraph (5), 
     in coordination with other senior agency officials, reports 
     to the agency head on the effectiveness of the agencywide 
     information security program, including the progress of any 
     remedial actions; and
       ``(9) ensure that the Chief Information Officer or 
     equivalent (or the senior agency official who reports to the 
     Chief Information Officer or equivalent) under paragraph (5) 
     has the necessary qualifications to administer the functions 
     described in this subchapter and has information security 
     duties as a primary duty of that official.
       ``(b) Chief Information Officers.--Each Chief Information 
     Officer or equivalent (or the senior agency official who 
     reports to the Chief Information Officer or equivalent) under 
     subsection (a)(5) shall--
       ``(1) establish and maintain an enterprise security 
     operations capability that on a continuous basis--
       ``(A) detects, reports, contains, mitigates, and responds 
     to information security incidents that impair adequate 
     security of the agency's information or information system in 
     a timely manner and in accordance with the policies and 
     directives under section 3553; and
       ``(B) reports any information security incident under 
     subparagraph (A) to the entity designated under section 3555;
       ``(2) develop, maintain, and oversee an agencywide 
     information security program;
       ``(3) develop, maintain, and oversee information security 
     policies, procedures, and control techniques to address 
     applicable requirements, including requirements under section 
     3553 of this title and section 11331 of title 40; and
       ``(4) train and oversee the agency personnel who have 
     significant responsibility for information security with 
     respect to that responsibility.
       ``(c) Agencywide Information Security Programs.--
       ``(1) In general.--Each agencywide information security 
     program under subsection (b)(2) shall include--
       ``(A) relevant security risk assessments, including 
     technical assessments and others related to the acquisition 
     process;
       ``(B) security testing commensurate with risk and impact;
       ``(C) mitigation of deterioration of security controls 
     commensurate with risk and impact;
       ``(D) risk-based continuous monitoring and threat 
     assessment of the operational status and security of agency 
     information systems to enable evaluation of the effectiveness 
     of and compliance with information security policies, 
     procedures, and practices, including a relevant and 
     appropriate selection of security controls of information 
     systems identified in the inventory under section 3505(c);
       ``(E) operation of appropriate technical capabilities in 
     order to detect, mitigate, report, and respond to information 
     security incidents, cyber threat information, and 
     deterioration of security controls in a manner that is 
     consistent with the policies and directives under section 
     3553, including--
       ``(i) mitigating risks associated with such information 
     security incidents;
       ``(ii) notifying and consulting with the entity designated 
     under section 3555; and
       ``(iii) notifying and consulting with, as appropriate--

       ``(I) law enforcement and the relevant Office of the 
     Inspector General; and
       ``(II) any other entity, in accordance with law and as 
     directed by the President;

       ``(F) a process to ensure that remedial action is taken to 
     address any deficiencies in the information security 
     policies, procedures, and practices of the agency; and
       ``(G) a plan and procedures to ensure the continuity of 
     operations for information systems that support the 
     operations and assets of the agency.
       ``(2) Risk management strategies.--Each agencywide 
     information security program under subsection (b)(2) shall 
     include the development and maintenance of a risk management 
     strategy for information security. The risk management 
     strategy shall include--
       ``(A) consideration of information security incidents, 
     cyber threat information, and deterioration of security 
     controls; and
       ``(B) consideration of the consequences that could result 
     from the unauthorized access, use, disclosure, disruption, 
     modification, or destruction of information and information 
     systems that support the operations and assets of the agency, 
     including any information system provided or managed by a 
     contractor, other agency, or other source on behalf of the 
     agency;
       ``(3) Policies and procedures.--Each agencywide information 
     security program under subsection (b)(2) shall include 
     policies and procedures that--
       ``(A) are based on the risk management strategy under 
     paragraph (2);
       ``(B) reduce information security risks to an acceptable 
     level in a cost-effective manner;
       ``(C) ensure that cost-effective and adequate information 
     security is addressed as part of the acquisition and ongoing 
     management of each agency information system; and
       ``(D) ensure compliance with--
       ``(i) this subchapter; and
       ``(ii) any other applicable requirements.
       ``(4) Training requirements.--Each agencywide information 
     security program under subsection (b)(2) shall include 
     information security, privacy, civil rights, civil liberties, 
     and information oversight training that meets any applicable 
     requirements under section 3553. The training shall inform 
     each information security personnel that has access to agency 
     information systems (including contractors and other users of 
     information systems that support the operations and assets of 
     the agency) of--
       ``(A) the information security risks associated with the 
     information security personnel's activities; and
       ``(B) the individual's responsibility to comply with the 
     agency policies and procedures that reduce the risks under 
     subparagraph (A).
       ``(d) Annual Report.--Each agency shall submit a report 
     annually to the Secretary of Homeland Security on its 
     agencywide information security program and information 
     systems.

     ``Sec. 3555. Multiagency ongoing threat assessment

       ``(a) Implementation.--The Director of the Office of 
     Management and Budget, in coordination with the Secretary of 
     Homeland Security, shall designate an entity to implement 
     ongoing security analysis concerning agency information 
     systems--
       ``(1) based on cyber threat information;
       ``(2) based on agency information system and environment of 
     operation changes, including--
       ``(A) an ongoing evaluation of the information system 
     security controls; and

[[Page S5528]]

       ``(B) the security state, risk level, and environment of 
     operation of an agency information system, including--
       ``(i) a change in risk level due to a new cyber threat;
       ``(ii) a change resulting from a new technology;
       ``(iii) a change resulting from the agency's mission; and
       ``(iv) a change resulting from the business practice; and
       ``(3) using automated processes to the maximum extent 
     possible--
       ``(A) to increase information system security;
       ``(B) to reduce paper-based reporting requirements; and
       ``(C) to maintain timely and actionable knowledge of the 
     state of the information system security.
       ``(b) Standards.--The National Institute of Standards and 
     Technology may promulgate standards, in coordination with the 
     Secretary of Homeland Security, to assist an agency with its 
     duties under this section.
       ``(c) Compliance.--The head of each appropriate department 
     and agency shall be responsible for ensuring compliance and 
     implementing necessary procedures to comply with this 
     section. The head of each appropriate department and agency, 
     in consultation with the Director of the Office of Management 
     and Budget and the Secretary of Homeland Security, shall--
       ``(1) monitor compliance under this section;
       ``(2) develop a timeline and implement for the department 
     or agency--
       ``(A) adoption of any technology, system, or method that 
     facilitates continuous monitoring and threat assessments of 
     an agency information system;
       ``(B) adoption or updating of any technology, system, or 
     method that prevents, detects, or remediates a significant 
     cyber incident to a Federal information system of the 
     department or agency that has impeded, or is reasonably 
     likely to impede, the performance of a critical mission of 
     the department or agency; and
       ``(C) adoption of any technology, system, or method that 
     satisfies a requirement under this section.
       ``(d) Limitation of Authority.--The authorities of the 
     Director of the Office of Management and Budget and of the 
     Secretary of Homeland Security under this section shall not 
     apply to national security systems.
       ``(e) Report.--Not later than 6 months after the date of 
     enactment of the Strengthening and Enhancing Cybersecurity by 
     Using Research, Education, Information, and Technology Act of 
     2012, the Government Accountability Office shall issue a 
     report evaluating each agency's status toward implementing 
     this section.

     ``Sec. 3556. Independent evaluations

       ``(a) In General.--The Council of the Inspectors General on 
     Integrity and Efficiency, in consultation with the Director 
     and the Secretary of Homeland Security, the Secretary of 
     Commerce, and the Secretary of Defense, shall issue and 
     maintain criteria for the timely, cost-effective, risk-based, 
     and independent evaluation of each agencywide information 
     security program (and practices) to determine the 
     effectiveness of the agencywide information security program 
     (and practices). The criteria shall include measures to 
     assess any conflicts of interest in the performance of the 
     evaluation and whether the agencywide information security 
     program includes appropriate safeguards against disclosure of 
     information where such disclosure may adversely affect 
     information security.
       ``(b) Annual Independent Evaluations.--Each agency shall 
     perform an annual independent evaluation of its agencywide 
     information security program (and practices) in accordance 
     with the criteria under subsection (a).
       ``(c) Distribution of Reports.--Not later than 30 days 
     after receiving an independent evaluation under subsection 
     (b), each agency head shall transmit a copy of the 
     independent evaluation to the Secretary of Homeland Security, 
     the Secretary of Commerce, and the Secretary of Defense.
       ``(d) National Security Systems.--Evaluations involving 
     national security systems shall be conducted as directed by 
     President.

     ``Sec. 3557. National security systems.

       ``The head of each agency operating or exercising control 
     of a national security system shall be responsible for 
     ensuring that the agency--
       ``(1) provides information security protections 
     commensurate with the risk and magnitude of the harm 
     resulting from the unauthorized access, use, disclosure, 
     disruption, modification, or destruction of the information 
     contained in such system; and
       ``(2) implements information security policies and 
     practices as required by standards and guidelines for 
     national security systems, issued in accordance with law and 
     as directed by the President.''.
       (b) Savings Provisions.--
       (1) Policy and compliance guidance.--Policy and compliance 
     guidance issued by the Director before the date of enactment 
     of this Act under section 3543(a)(1) of title 44, United 
     States Code (as in effect on the day before the date of 
     enactment of this Act), shall continue in effect, according 
     to its terms, until modified, terminated, superseded, or 
     repealed pursuant to section 3553(a)(1) of title 44, United 
     States Code.
       (2) Standards and guidelines.--Standards and guidelines 
     issued by the Secretary of Commerce or by the Director before 
     the date of enactment of this Act under section 11331(a)(1) 
     of title 40, United States Code, (as in effect on the day 
     before the date of enactment of this Act) shall continue in 
     effect, according to their terms, until modified, terminated, 
     superseded, or repealed pursuant to section 11331(a)(1) of 
     title 40, United States Code, as amended by this Act.
       (c) Technical and Conforming Amendments.--
       (1) Chapter analysis.--The chapter analysis for chapter 35 
     of title 44, United States Code, is amended--
       (A) by striking the items relating to sections 3531 through 
     3538;
       (B) by striking the items relating to sections 3541 through 
     3549; and
       (C) by inserting the following:

``3551. Purposes.
``3552. Definitions.
``3553. Federal information security authority and coordination.
``3554. Agency responsibilities.
``3555. Multiagency ongoing threat assessment.
``3556. Independent evaluations.
``3557. National security systems.''.
       (2) Other references.--
       (A) Section 1001(c)(1)(A) of the Homeland Security Act of 
     2002 (6 U.S.C. 511(1)(A)) is amended by striking ``section 
     3532(3)'' and inserting ``section 3552''.
       (B) Section 2222(j)(5) of title 10, United States Code, is 
     amended by striking ``section 3542(b)(2)'' and inserting 
     ``section 3552''.
       (C) Section 2223(c)(3) of title 10, United States Code, is 
     amended, by striking ``section 3542(b)(2)'' and inserting 
     ``section 3552''.
       (D) Section 2315 of title 10, United States Code, is 
     amended by striking ``section 3542(b)(2)'' and inserting 
     ``section 3552''.
       (E) Section 20 of the National Institute of Standards and 
     Technology Act (15 U.S.C. 278g-3) is amended--
       (i) in subsection (a)(2), by striking ``section 
     3532(b)(2)'' and inserting ``section 3552'';
       (ii) in subsection (c)(3), by striking ``Director of the 
     Office of Management and Budget'' and inserting ``Secretary 
     of Commerce'';
       (iii) in subsection (d)(1), by striking ``Director of the 
     Office of Management and Budget'' and inserting ``Secretary 
     of Commerce'';
       (iv) in subsection (d)(8) by striking ``Director of the 
     Office of Management and Budget'' and inserting ``Secretary 
     of Commerce'';
       (v) in subsection (d)(8), by striking ``submitted to the 
     Director'' and inserting ``submitted to the Secretary'';
       (vi) in subsection (e)(2), by striking ``section 3532(1) of 
     such title'' and inserting ``section 3552 of title 44''; and
       (vii) in subsection (e)(5), by striking ``section 
     3532(b)(2) of such title'' and inserting ``section 3552 of 
     title 44''.
       (F) Section 8(d)(1) of the Cyber Security Research and 
     Development Act (15 U.S.C. 7406(d)(1)) is amended by striking 
     ``section 3534(b)'' and inserting ``section 3554(b)(2)''.

     SEC. 202. MANAGEMENT OF INFORMATION TECHNOLOGY.

       (a) In General.--Section 11331 of title 40, United States 
     Code, is amended to read as follows:

     ``Sec. 11331. Responsibilities for Federal information 
       systems standards

       ``(a) Standards and Guidelines.--
       ``(1) Authority to prescribe.--Except as provided under 
     paragraph (2), the Secretary of Commerce shall prescribe 
     standards and guidelines pertaining to Federal information 
     systems--
       ``(A) in consultation with the Secretary of Homeland 
     Security; and
       ``(B) on the basis of standards and guidelines developed by 
     the National Institute of Standards and Technology under 
     paragraphs (2) and (3) of section 20(a) of the National 
     Institute of Standards and Technology Act (15 U.S.C. 278g-
     3(a)(2) and (a)(3)).
       ``(2) National security systems.--Standards and guidelines 
     for national security systems shall be developed, prescribed, 
     enforced, and overseen as otherwise authorized by law and as 
     directed by the President.
       ``(b) Mandatory Standards and Guidelines.--
       ``(1) Authority to make mandatory standards and 
     guidelines.--The Secretary of Commerce shall make standards 
     and guidelines under subsection (a)(1) compulsory and binding 
     to the extent determined necessary by the Secretary of 
     Commerce to improve the efficiency of operation or security 
     of Federal information systems.
       ``(2) Required mandatory standards and guidelines.--
       ``(A) In general.--Standards and guidelines under 
     subsection (a)(1) shall include information security 
     standards that--
       ``(i) provide minimum information security requirements as 
     determined under section 20(b) of the National Institute of 
     Standards and Technology Act (15 U.S.C. 278g-3(b)); and
       ``(ii) are otherwise necessary to improve the security of 
     Federal information and information systems.
       ``(B) Binding effect.--Information security standards under 
     subparagraph (A) shall be compulsory and binding.
       ``(c) Exercise of Authority.--To ensure fiscal and policy 
     consistency, the Secretary of Commerce shall exercise the 
     authority conferred by this section subject to direction by 
     the President and in coordination with the Director.
       ``(d) Application of More Stringent Standards and 
     Guidelines.--The head of an executive agency may employ 
     standards for the cost-effective information security for

[[Page S5529]]

     information systems within or under the supervision of that 
     agency that are more stringent than the standards and 
     guidelines the Secretary of Commerce prescribes under this 
     section if the more stringent standards and guidelines--
       ``(1) contain at least the applicable standards and 
     guidelines made compulsory and binding by the Secretary of 
     Commerce; and
       ``(2) are otherwise consistent with the policies, 
     directives, and implementation memoranda issued under section 
     3553(a) of title 44.
       ``(e) Decisions on Promulgation of Standards and 
     Guidelines.--The decision by the Secretary of Commerce 
     regarding the promulgation of any standard or guideline under 
     this section shall occur not later than 6 months after the 
     date of submission of the proposed standard to the Secretary 
     of Commerce by the National Institute of Standards and 
     Technology under section 20 of the National Institute of 
     Standards and Technology Act (15 U.S.C. 278g-3).
       ``(f) Notice and Comment.--A decision by the Secretary of 
     Commerce to significantly modify, or not promulgate, a 
     proposed standard submitted to the Secretary by the National 
     Institute of Standards and Technology under section 20 of the 
     National Institute of Standards and Technology Act (15 U.S.C. 
     278g-3) shall be made after the public is given an 
     opportunity to comment on the Secretary's proposed decision.
       ``(g) Definitions.--In this section:
       ``(1) Federal information system.--The term `Federal 
     information system' has the meaning given the term in section 
     3552 of title 44.
       ``(2) Information security.--The term `information 
     security' has the meaning given the term in section 3552 of 
     title 44.
       ``(3) National security system.--The term `national 
     security system' has the meaning given the term in section 
     3552 of title 44.''.

     SEC. 203. NO NEW FUNDING.

       An applicable Federal agency shall carry out the provisions 
     of this title with existing facilities and funds otherwise 
     available, through such means as the head of the agency 
     considers appropriate.

     SEC. 204. TECHNICAL AND CONFORMING AMENDMENTS.

       Section 21(b) of the National Institute of Standards and 
     Technology Act (15 U.S.C. 278g-4(b)) is amended--
       (1) in paragraph (2), by striking ``and the Director of the 
     Office of Management and Budget'' and inserting ``, the 
     Secretary of Commerce, and the Secretary of Homeland 
     Security''; and
       (2) in paragraph (3), by inserting ``, the Secretary of 
     Homeland Security,'' after ``the Secretary of Commerce''.

     SEC. 205. CLARIFICATION OF AUTHORITIES.

       Nothing in this title shall be construed to convey any new 
     regulatory authority to any government entity implementing or 
     complying with any provision of this title.

                     TITLE III--CRIMINAL PENALTIES

     SEC. 301. PENALTIES FOR FRAUD AND RELATED ACTIVITY IN 
                   CONNECTION WITH COMPUTERS.

       Section 1030(c) of title 18, United States Code, is amended 
     to read as follows:
       ``(c) The punishment for an offense under subsection (a) or 
     (b) of this section is--
       ``(1) a fine under this title or imprisonment for not more 
     than 20 years, or both, in the case of an offense under 
     subsection (a)(1) of this section;
       ``(2)(A) except as provided in subparagraph (B), a fine 
     under this title or imprisonment for not more than 3 years, 
     or both, in the case of an offense under subsection (a)(2); 
     or
       ``(B) a fine under this title or imprisonment for not more 
     than ten years, or both, in the case of an offense under 
     subsection (a)(2) of this section, if--
       ``(i) the offense was committed for purposes of commercial 
     advantage or private financial gain;
       ``(ii) the offense was committed in the furtherance of any 
     criminal or tortious act in violation of the Constitution or 
     laws of the United States, or of any State; or
       ``(iii) the value of the information obtained, or that 
     would have been obtained if the offense was completed, 
     exceeds $5,000;
       ``(3) a fine under this title or imprisonment for not more 
     than 10 years, or both, in the case of an offense under 
     subsection (a)(3) of this section;
       ``(4) a fine under this title or imprisonment of not more 
     than 20 years, or both, in the case of an offense under 
     subsection (a)(4) of this section;
       ``(5)(A) except as provided in subparagraph (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) of 
     this section, if the offense 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;
       ``(v) damage affecting a computer used by, or on behalf of, 
     an entity of the United States Government in furtherance of 
     the administration of justice, national defense, or national 
     security; or
       ``(vi) damage affecting 10 or more protected computers 
     during any 1-year period;
       ``(B) a fine under this title, imprisonment for not more 
     than 20 years, or both, in the case of an offense under 
     subsection (a)(5)(B), if the offense caused a harm provided 
     in clause (i) through (vi) of subparagraph (A) of this 
     subsection;
       ``(C) if the offender attempts to cause or knowingly or 
     recklessly causes death from conduct in violation of 
     subsection (a)(5)(A), a fine under this title, imprisonment 
     for any term of years or for life, or both;
       ``(D) a fine under this title, imprisonment for not more 
     than 10 years, or both, for any other offense under 
     subsection (a)(5);
       ``(E) a fine under this title or imprisonment for not more 
     than 10 years, or both, in the case of an offense under 
     subsection (a)(6) of this section; or
       ``(F) a fine under this title or imprisonment for not more 
     than 10 years, or both, in the case of an offense under 
     subsection (a)(7) of this section.''.

     SEC. 302. TRAFFICKING IN PASSWORDS.

       Section 1030(a)(6) of title 18, United States Code, is 
     amended to read as follows:
       ``(6) knowingly and with intent to defraud traffics (as 
     defined in section 1029) in any password or similar 
     information or means of access through which a protected 
     computer (as defined in subparagraphs (A) and (B) of 
     subsection (e)(2)) may be accessed without authorization.''.

     SEC. 303. CONSPIRACY AND ATTEMPTED COMPUTER FRAUD OFFENSES.

       Section 1030(b) of title 18, United States Code, is amended 
     by inserting ``as if for the completed offense'' after 
     ``punished as provided''.

     SEC. 304. CRIMINAL AND CIVIL FORFEITURE FOR FRAUD AND RELATED 
                   ACTIVITY IN CONNECTION WITH COMPUTERS.

       Section 1030 of title 18, United States Code, is amended by 
     striking subsections (i) and (j) and inserting the following:
       ``(i) Criminal Forfeiture.--
       ``(1) The court, in imposing sentence on any person 
     convicted of a violation of this section, or convicted of 
     conspiracy to violate this section, shall order, in addition 
     to any other sentence imposed and irrespective of any 
     provision of State law, that such person forfeit to the 
     United States--
       ``(A) such person's interest in any property, real or 
     personal, that was used, or intended to be used, to commit or 
     facilitate the commission of such violation; and
       ``(B) any property, real or personal, constituting or 
     derived from any gross proceeds, or any property traceable to 
     such property, that such person obtained, directly or 
     indirectly, as a result of such violation.
       ``(2) The criminal forfeiture of property under this 
     subsection, including any seizure and disposition of the 
     property, and any related judicial or administrative 
     proceeding, shall be governed by the provisions of section 
     413 of the Comprehensive Drug Abuse Prevention and Control 
     Act of 1970 (21 U.S.C. 853), except subsection (d) of that 
     section.
       ``(j) Civil Forfeiture.--
       ``(1) The following shall be subject to forfeiture to the 
     United States and no property right, real or personal, shall 
     exist in them:
       ``(A) Any property, real or personal, that was used, or 
     intended to be used, to commit or facilitate the commission 
     of any violation of this section, or a conspiracy to violate 
     this section.
       ``(B) Any property, real or personal, constituting or 
     derived from any gross proceeds obtained directly or 
     indirectly, or any property traceable to such property, as a 
     result of the commission of any violation of this section, or 
     a conspiracy to violate this section.
       ``(2) Seizures and forfeitures under this subsection shall 
     be governed by the provisions in chapter 46 relating to civil 
     forfeitures, except that such duties as are imposed on the 
     Secretary of the Treasury under the customs laws described in 
     section 981(d) shall be performed by such officers, agents 
     and other persons as may be designated for that purpose by 
     the Secretary of Homeland Security or the Attorney 
     General.''.

     SEC. 305. DAMAGE TO CRITICAL INFRASTRUCTURE COMPUTERS.

       (a) In General.--Chapter 47 of title 18, United States 
     Code, is amended by inserting after section 1030 the 
     following:

     ``Sec. 1030A. Aggravated damage to a critical infrastructure 
       computer

       ``(a) Definitions.--In this section--
       ``(1) the term `computer' has the meaning given the term in 
     section 1030;
       ``(2) the term `critical infrastructure computer' means a 
     computer that manages or controls systems or assets vital to 
     national defense, national security, national economic 
     security, public health or safety, or any combination of 
     those matters, whether publicly or privately owned or 
     operated, including--
       ``(A) oil and gas production, storage, conversion, and 
     delivery systems;
       ``(B) water supply systems;
       ``(C) telecommunication networks;
       ``(D) electrical power generation and delivery systems;
       ``(E) finance and banking systems;
       ``(F) emergency services;
       ``(G) transportation systems and services; and
       ``(H) government operations that provide essential services 
     to the public; and
       ``(3) the term `damage' has the meaning given the term in 
     section 1030.
       ``(b) Offense.--It shall be unlawful, during and in 
     relation to a felony violation of section 1030, to knowingly 
     cause or attempt to cause damage to a critical infrastructure 
     computer if the damage results in (or, in the

[[Page S5530]]

     case of an attempt, if completed, would have resulted in) the 
     substantial impairment--
       ``(1) of the operation of the critical infrastructure 
     computer; or
       ``(2) of the critical infrastructure associated with the 
     computer.
       ``(c) Penalty.--Any person who violates subsection (b) 
     shall be--
       ``(1) fined under this title;
       ``(2) imprisoned for not less than 3 years but not more 
     than 20 years; or
       ``(3) penalized under paragraphs (1) and (2).
       ``(d) Consecutive Sentence.--Notwithstanding any other 
     provision of law--
       ``(1) a court shall not place on probation any person 
     convicted of a violation of this section;
       ``(2) except as provided in paragraph (4), no term of 
     imprisonment imposed on a person under this section shall run 
     concurrently with any other term of imprisonment, including 
     any term of imprisonment imposed on the person under any 
     other provision of law, including any term of imprisonment 
     imposed for a felony violation of section 1030;
       ``(3) in determining any term of imprisonment to be imposed 
     for a felony violation of section 1030, a court shall not in 
     any way reduce the term to be imposed for such crime so as to 
     compensate for, or otherwise take into account, any separate 
     term of imprisonment imposed or to be imposed for a violation 
     of this section; and
       ``(4) a term of imprisonment imposed on a person for a 
     violation of this section may, in the discretion of the 
     court, run concurrently, in whole or in part, only with 
     another term of imprisonment that is imposed by the court at 
     the same time on that person for an additional violation of 
     this section, provided that such discretion shall be 
     exercised in accordance with any applicable guidelines and 
     policy statements issued by the United States Sentencing 
     Commission pursuant to section 994 of title 28.''.
       (b) Technical and Conforming Amendment.--The chapter 
     analysis for chapter 47 of title 18, United States Code, is 
     amended by inserting after the item relating to section 1030 
     the following:

``1030A. Aggravated damage to a critical infrastructure computer.''.

     SEC. 306. LIMITATION ON ACTIONS INVOLVING UNAUTHORIZED USE.

       Section 1030(e)(6) of title 18, United States Code, is 
     amended by striking ``alter;'' and inserting ``alter, but 
     does not include access in violation of a contractual 
     obligation or agreement, such as an acceptable use policy or 
     terms of service agreement, with an Internet service 
     provider, Internet website, or non-government employer, if 
     such violation constitutes the sole basis for determining 
     that access to a protected computer is unauthorized;''.

     SEC. 307. NO NEW FUNDING.

       An applicable Federal agency shall carry out the provisions 
     of this title with existing facilities and funds otherwise 
     available, through such means as the head of the agency 
     considers appropriate.

            TITLE IV--CYBERSECURITY RESEARCH AND DEVELOPMENT

     SEC. 401. NATIONAL HIGH-PERFORMANCE COMPUTING PROGRAM 
                   PLANNING AND COORDINATION.

       (a) Goals and Priorities.--Section 101 of the High-
     Performance Computing Act of 1991 (15 U.S.C. 5511) is amended 
     by adding at the end the following:
       ``(d) Goals and Priorities.--The goals and priorities for 
     Federal high-performance computing research, development, 
     networking, and other activities under subsection (a)(2)(A) 
     shall include--
       ``(1) encouraging and supporting mechanisms for 
     interdisciplinary research and development in networking and 
     information technology, including--
       ``(A) through collaborations across agencies;
       ``(B) through collaborations across Program Component 
     Areas;
       ``(C) through collaborations with industry;
       ``(D) through collaborations with institutions of higher 
     education;
       ``(E) through collaborations with Federal laboratories (as 
     defined in section 4 of the Stevenson-Wydler Technology 
     Innovation Act of 1980 (15 U.S.C. 3703)); and
       ``(F) through collaborations with international 
     organizations;
       ``(2) addressing national, multi-agency, multi-faceted 
     challenges of national importance; and
       ``(3) fostering the transfer of research and development 
     results into new technologies and applications for the 
     benefit of society.''.
       (b) Development of Strategic Plan.--Section 101 of the 
     High-Performance Computing Act of 1991 (15 U.S.C. 5511) is 
     amended by adding at the end the following:
       ``(e) Strategic Plan.--
       ``(1) In general.--Not later than 1 year after the date of 
     enactment of the Strengthening and Enhancing Cybersecurity by 
     Using Research, Education, Information, and Technology Act of 
     2012, the agencies under subsection (a)(3)(B), working 
     through the National Science and Technology Council and with 
     the assistance of the Office of Science and Technology Policy 
     shall develop a 5-year strategic plan to guide the activities 
     under subsection (a)(1).
       ``(2) Contents.--The strategic plan shall specify--
       ``(A) the near-term objectives for the Program;
       ``(B) the long-term objectives for the Program;
       ``(C) the anticipated time frame for achieving the near-
     term objectives;
       ``(D) the metrics that will be used to assess any progress 
     made toward achieving the near-term objectives and the long-
     term objectives; and
       ``(E) how the Program will achieve the goals and priorities 
     under subsection (d).
       ``(3) Implementation roadmap.--
       ``(A) In general.--The agencies under subsection (a)(3)(B) 
     shall develop and annually update an implementation roadmap 
     for the strategic plan.
       ``(B) Requirements.--The information in the implementation 
     roadmap shall be coordinated with the database under section 
     102(c) and the annual report under section 101(a)(3). The 
     implementation roadmap shall--
       ``(i) specify the role of each Federal agency in carrying 
     out or sponsoring research and development to meet the 
     research objectives of the strategic plan, including a 
     description of how progress toward the research objectives 
     will be evaluated, with consideration of any relevant 
     recommendations of the advisory committee;
       ``(ii) specify the funding allocated to each major research 
     objective of the strategic plan and the source of funding by 
     agency for the current fiscal year; and
       ``(iii) estimate the funding required for each major 
     research objective of the strategic plan for the next 3 
     fiscal years.
       ``(4) Recommendations.--The agencies under subsection 
     (a)(3)(B) shall take into consideration when developing the 
     strategic plan under paragraph (1) the recommendations of--
       ``(A) the advisory committee under subsection (b); and
       ``(B) the stakeholders under section 102(a)(3).
       ``(5) Report to congress.--The Director of the Office of 
     Science and Technology Policy shall transmit the strategic 
     plan under this subsection, including the implementation 
     roadmap and any updates under paragraph (3), to--
       ``(A) the advisory committee under subsection (b);
       ``(B) the Committee on Commerce, Science, and 
     Transportation of the Senate; and
       ``(C) the Committee on Science and Technology of the House 
     of Representatives.''.
       (c) Periodic Reviews.--Section 101 of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5511) is amended by adding 
     at the end the following:
       ``(f) Periodic Reviews.--The agencies under subsection 
     (a)(3)(B) shall--
       ``(1) periodically assess the contents and funding levels 
     of the Program Component Areas and restructure the Program 
     when warranted, taking into consideration any relevant 
     recommendations of the advisory committee under subsection 
     (b); and
       ``(2) ensure that the Program includes national, multi-
     agency, multi-faceted research and development activities, 
     including activities described in section 104.''.
       (d) Additional Responsibilities of Director.--Section 
     101(a)(2) of the High-Performance Computing Act of 1991 (15 
     U.S.C. 5511(a)(2)) is amended--
       (1) by redesignating subparagraphs (E) and (F) as 
     subparagraphs (G) and (H), respectively; and
       (2) by inserting after subparagraph (D) the following:
       ``(E) encourage and monitor the efforts of the agencies 
     participating in the Program to allocate the level of 
     resources and management attention necessary--
       ``(i) to ensure that the strategic plan under subsection 
     (e) is developed and executed effectively; and
       ``(ii) to ensure that the objectives of the Program are 
     met;
       ``(F) working with the Office of Management and Budget and 
     in coordination with the creation of the database under 
     section 102(c), direct the Office of Science and Technology 
     Policy and the agencies participating in the Program to 
     establish a mechanism (consistent with existing law) to track 
     all ongoing and completed research and development projects 
     and associated funding;''.
       (e) Advisory Committee.--Section 101(b) of the High-
     Performance Computing Act of 1991 (15 U.S.C. 5511(b)) is 
     amended--
       (1) in paragraph (1)--
       (A) by inserting after the first sentence the following: 
     ``The co-chairs of the advisory committee shall meet the 
     qualifications of committee members and may be members of the 
     Presidents Council of Advisors on Science and Technology.''; 
     and
       (B) by striking ``high-performance'' in subparagraph (D) 
     and inserting ``high-end''; and
       (2) by amending paragraph (2) to read as follows:
       ``(2) In addition to the duties under paragraph (1), the 
     advisory committee shall conduct periodic evaluations of the 
     funding, management, coordination, implementation, and 
     activities of the Program. The advisory committee shall 
     report its findings and recommendations not less frequently 
     than once every 3 fiscal years to the Committee on Commerce, 
     Science, and Transportation of the Senate and the Committee 
     on Science and Technology of the House of Representatives. 
     The report shall be submitted in conjunction with the update 
     of the strategic plan.''.
       (f) Report.--Section 101(a)(3) of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5511(a)(3)) is amended--
       (1) in subparagraph (C)--
       (A) by striking ``is submitted,'' and inserting ``is 
     submitted, the levels for the previous fiscal year,''; and

[[Page S5531]]

       (B) by striking ``each Program Component Area'' and 
     inserting ``each Program Component Area and each research 
     area supported in accordance with section 104'';
       (2) in subparagraph (D)--
       (A) by striking ``each Program Component Area,'' and 
     inserting ``each Program Component Area and each research 
     area supported in accordance with section 104,'';
       (B) by striking ``is submitted,'' and inserting ``is 
     submitted, the levels for the previous fiscal year,''; and
       (C) by striking ``and'' after the semicolon;
       (3) by redesignating subparagraph (E) as subparagraph (G); 
     and
       (4) by inserting after subparagraph (D) the following:
       ``(E) include a description of how the objectives for each 
     Program Component Area, and the objectives for activities 
     that involve multiple Program Component Areas, relate to the 
     objectives of the Program identified in the strategic plan 
     under subsection (e);
       ``(F) include--
       ``(i) a description of the funding required by the Office 
     of Science and Technology Policy to perform the functions 
     under subsections (a) and (c) of section 102 for the next 
     fiscal year by category of activity;
       ``(ii) a description of the funding required by the Office 
     of Science and Technology Policy to perform the functions 
     under subsections (a) and (c) of section 102 for the current 
     fiscal year by category of activity; and
       ``(iii) the amount of funding provided for the Office of 
     Science and Technology Policy for the current fiscal year by 
     each agency participating in the Program; and''.
       (g) Definitions.--Section 4 of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5503) is amended--
       (1) by redesignating paragraphs (1) and (2) as paragraphs 
     (2) and (3), respectively;
       (2) by redesignating paragraph (3) as paragraph (6);
       (3) by redesignating paragraphs (6) and (7) as paragraphs 
     (7) and (8), respectively;
       (4) by inserting before paragraph (2), as redesignated, the 
     following:
       ``(1) `cyber-physical systems' means physical or engineered 
     systems whose networking and information technology functions 
     and physical elements are deeply integrated and are actively 
     connected to the physical world through sensors, actuators, 
     or other means to perform monitoring and control 
     functions;'';
       (5) in paragraph (3), as redesignated, by striking ``high-
     performance computing'' and inserting ``networking and 
     information technology'';
       (6) in paragraph (6), as redesignated--
       (A) by striking ``high-performance computing'' and 
     inserting ``networking and information technology''; and
       (B) by striking ``supercomputer'' and inserting ``high-end 
     computing'';
       (7) in paragraph (5), by striking ``network referred to 
     as'' and all that follows through the semicolon and inserting 
     ``network, including advanced computer networks of Federal 
     agencies and departments''; and
       (8) in paragraph (7), as redesignated, by striking 
     ``National High-Performance Computing Program'' and inserting 
     ``networking and information technology research and 
     development program''.

     SEC. 402. RESEARCH IN AREAS OF NATIONAL IMPORTANCE.

       (a) Research in Areas of National Importance.--Title I of 
     the High-Performance Computing Act of 1991 (15 U.S.C. 5511 et 
     seq.) is amended by adding at the end the following:

     ``SEC. 104. RESEARCH IN AREAS OF NATIONAL IMPORTANCE.

       ``(a) In General.--The Program shall encourage agencies 
     under section 101(a)(3)(B) to support, maintain, and improve 
     national, multi-agency, multi-faceted, research and 
     development activities in networking and information 
     technology directed toward application areas that have the 
     potential for significant contributions to national economic 
     competitiveness and for other significant societal benefits.
       ``(b) Technical Solutions.--An activity under subsection 
     (a) shall be designed to advance the development of research 
     discoveries by demonstrating technical solutions to important 
     problems in areas including--
       ``(1) cybersecurity;
       ``(2) health care;
       ``(3) energy management and low-power systems and devices;
       ``(4) transportation, including surface and air 
     transportation;
       ``(5) cyber-physical systems;
       ``(6) large-scale data analysis and modeling of physical 
     phenomena;
       ``(7) large scale data analysis and modeling of behavioral 
     phenomena;
       ``(8) supply chain quality and security; and
       ``(9) privacy protection and protected disclosure of 
     confidential data.
       ``(c) Recommendations.--The advisory committee under 
     section 101(b) shall make recommendations to the Program for 
     candidate research and development areas for support under 
     this section.
       ``(d) Characteristics.--
       ``(1) In general.--Research and development activities 
     under this section--
       ``(A) shall include projects selected on the basis of 
     applications for support through a competitive, merit-based 
     process;
       ``(B) shall leverage, when possible, Federal investments 
     through collaboration with related State initiatives;
       ``(C) shall include a plan for fostering the transfer of 
     research discoveries and the results of technology 
     demonstration activities, including from institutions of 
     higher education and Federal laboratories, to industry for 
     commercial development;
       ``(D) shall involve collaborations among researchers in 
     institutions of higher education and industry; and
       ``(E) may involve collaborations among nonprofit research 
     institutions and Federal laboratories, as appropriate.
       ``(2) Cost-sharing.--In selecting applications for support, 
     the agencies under section 101(a)(3)(B) shall give special 
     consideration to projects that include cost sharing from non-
     Federal sources.
       ``(3) Multidisciplinary research centers.--Research and 
     development activities under this section shall be supported 
     through multidisciplinary research centers, including Federal 
     laboratories, that are organized to investigate basic 
     research questions and carry out technology demonstration 
     activities in areas described in subsection (a). Research may 
     be carried out through existing multidisciplinary centers, 
     including those authorized under section 7024(b)(2) of the 
     America COMPETES Act (42 U.S.C. 1862o-10(2)).''.
       (b) Cyber-Physical Systems.--Section 101(a)(1) of the High-
     Performance Computing Act of 1991 (15 U.S.C. 5511(a)(1)) is 
     amended--
       (1) in subparagraph (H), by striking ``and'' after the 
     semicolon;
       (2) in subparagraph (I), by striking the period at the end 
     and inserting a semicolon; and
       (3) by adding at the end the following:
       ``(J) provide for increased understanding of the scientific 
     principles of cyber-physical systems and improve the methods 
     available for the design, development, and operation of 
     cyber-physical systems that are characterized by high 
     reliability, safety, and security; and
       ``(K) provide for research and development on human-
     computer interactions, visualization, and big data.''.
       (c) Task Force.--Title I of the High-Performance Computing 
     Act of 1991 (15 U.S.C. 5511 et seq.), as amended by section 
     402(a) of this Act, is amended by adding at the end the 
     following:

     ``SEC. 105. TASK FORCE.

       ``(a) Establishment.--Not later than 180 days after the 
     date of enactment the Strengthening and Enhancing 
     Cybersecurity by Using Research, Education, Information, and 
     Technology Act of 2012, the Director of the Office of Science 
     and Technology Policy under section 102 shall convene a task 
     force to explore mechanisms for carrying out collaborative 
     research and development activities for cyber-physical 
     systems (including the related technologies required to 
     enable these systems) through a consortium or other 
     appropriate entity with participants from institutions of 
     higher education, Federal laboratories, and industry.
       ``(b) Functions.--The task force shall--
       ``(1) develop options for a collaborative model and an 
     organizational structure for such entity under which the 
     joint research and development activities could be planned, 
     managed, and conducted effectively, including mechanisms for 
     the allocation of resources among the participants in such 
     entity for support of such activities;
       ``(2) propose a process for developing a research and 
     development agenda for such entity, including guidelines to 
     ensure an appropriate scope of work focused on nationally 
     significant challenges and requiring collaboration and to 
     ensure the development of related scientific and 
     technological milestones;
       ``(3) define the roles and responsibilities for the 
     participants from institutions of higher education, Federal 
     laboratories, and industry in such entity;
       ``(4) propose guidelines for assigning intellectual 
     property rights and for transferring research results to the 
     private sector; and
       ``(5) make recommendations for how such entity could be 
     funded from Federal, State, and non-governmental sources.
       ``(c) Composition.--In establishing the task force under 
     subsection (a), the Director of the Office of Science and 
     Technology Policy shall appoint an equal number of 
     individuals from institutions of higher education and from 
     industry with knowledge and expertise in cyber-physical 
     systems, and may appoint not more than 2 individuals from 
     Federal laboratories.
       ``(d) Report.--Not later than 1 year after the date of 
     enactment of the Strengthening and Enhancing Cybersecurity by 
     Using Research, Education, Information, and Technology Act of 
     2012, the Director of the Office of Science and Technology 
     Policy shall transmit to the Committee on Commerce, Science, 
     and Transportation of the Senate and the Committee on Science 
     and Technology of the House of Representatives a report 
     describing the findings and recommendations of the task 
     force.
       ``(e) Termination.--The task force shall terminate upon 
     transmittal of the report required under subsection (d).
       ``(f) Compensation and Expenses.--Members of the task force 
     shall serve without compensation.''.

     SEC. 403. PROGRAM IMPROVEMENTS.

       Section 102 of the High-Performance Computing Act of 1991 
     (15 U.S.C. 5512) is amended to read as follows:

     ``SEC. 102. PROGRAM IMPROVEMENTS.

       ``(a) Functions.--The Director of the Office of Science and 
     Technology Policy shall continue--
       ``(1) to provide technical and administrative support to--

[[Page S5532]]

       ``(A) the agencies participating in planning and 
     implementing the Program, including support needed to develop 
     the strategic plan under section 101(e); and
       ``(B) the advisory committee under section 101(b);
                                 ______
                                 
  SA 2606. Mr. McCAIN (for himself, Mrs. Hutchison, Mr. Chambliss, Mr. 
Grassley, Ms. Murkowski, Mr. Coats, Mr. Burr, and Mr. Johnson of 
Wisconsin) submitted an amendment intended to be proposed by him to the 
bill S. 3414, to enhance the security and resiliency of the cyber and 
communications infrastructure of the United States; which was ordered 
to lie on the table; as follows:

       Beginning on page 1, strike line 3 and all that follows 
     through page 211, line 6 and insert the following:

     SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

       (a) Short Title.--This Act may be cited as the 
     ``Strengthening and Enhancing Cybersecurity by Using 
     Research, Education, Information, and Technology Act of 
     2012'' or ``SECURE IT''.
       (b) Table of Contents.--The table of contents of this Act 
     is as follows:

Sec. 1. Short title; table of contents.

       TITLE I--FACILITATING SHARING OF CYBER THREAT INFORMATION

Sec. 101. Definitions.
Sec. 102. Authorization to share cyber threat information.
Sec. 103. Information sharing by the Federal government.
Sec. 104. Construction.
Sec. 105. Report on implementation.
Sec. 106. Inspector General review.
Sec. 107. Technical amendments.
Sec. 108. Access to classified information.

     TITLE II--COORDINATION OF FEDERAL INFORMATION SECURITY POLICY

Sec. 201. Coordination of Federal information security policy.
Sec. 202. Management of information technology.
Sec. 203. No new funding.
Sec. 204. Technical and conforming amendments.
Sec. 205. Clarification of authorities.

                     TITLE III--CRIMINAL PENALTIES

Sec. 301. Penalties for fraud and related activity in connection with 
              computers.
Sec. 302. Trafficking in passwords.
Sec. 303. Conspiracy and attempted computer fraud offenses.
Sec. 304. Criminal and civil forfeiture for fraud and related activity 
              in connection with computers.
Sec. 305. Damage to critical infrastructure computers.
Sec. 306. Limitation on actions involving unauthorized use.
Sec. 307. No new funding.

            TITLE IV--CYBERSECURITY RESEARCH AND DEVELOPMENT

Sec. 401. National High-Performance Computing Program planning and 
              coordination.
Sec. 402. Research in areas of national importance.
Sec. 403. Program improvements.
Sec. 404. Improving education of networking and information technology, 
              including high performance computing.
Sec. 405. Conforming and technical amendments to the High-Performance 
              Computing Act of 1991.
Sec. 406. Federal cyber scholarship-for-service program.
Sec. 407. Study and analysis of certification and training of 
              information infrastructure professionals.
Sec. 408. International cybersecurity technical standards.
Sec. 409. Identity management research and development.
Sec. 410. Federal cybersecurity research and development.

       TITLE I--FACILITATING SHARING OF CYBER THREAT INFORMATION

     SEC. 101. DEFINITIONS.

       In this title:
       (1) Agency.--The term ``agency'' has the meaning given the 
     term in section 3502 of title 44, United States Code.
       (2) Antitrust laws.--The term ``antitrust laws''--
       (A) has the meaning given the term in section 1(a) of the 
     Clayton Act (15 U.S.C. 12(a));
       (B) includes section 5 of the Federal Trade Commission Act 
     (15 U.S.C. 45) to the extent that section 5 of that Act 
     applies to unfair methods of competition; and
       (C) includes any State law that has the same intent and 
     effect as the laws under subparagraphs (A) and (B).
       (3) Countermeasure.--The term ``countermeasure'' means an 
     automated or a manual action with defensive intent to 
     mitigate cyber threats.
       (4) Cyber threat information.--The term ``cyber threat 
     information'' means information that indicates or describes--
       (A) a technical or operation vulnerability or a cyber 
     threat mitigation measure;
       (B) an action or operation to mitigate a cyber threat;
       (C) malicious reconnaissance, including anomalous patterns 
     of network activity that appear to be transmitted for the 
     purpose of gathering technical information related to a 
     cybersecurity threat;
       (D) a method of defeating a technical control;
       (E) a method of defeating an operational control;
       (F) network activity or protocols known to be associated 
     with a malicious cyber actor or that signify malicious cyber 
     intent;
       (G) a method of causing a user with legitimate access to an 
     information system or information that is stored on, 
     processed by, or transiting an information system to 
     inadvertently enable the defeat of a technical or operational 
     control;
       (H) any other attribute of a cybersecurity threat or cyber 
     defense information that would foster situational awareness 
     of the United States cybersecurity posture, if disclosure of 
     such attribute or information is not otherwise prohibited by 
     law;
       (I) the actual or potential harm caused by a cyber 
     incident, including information exfiltrated when it is 
     necessary in order to identify or describe a cybersecurity 
     threat; or
       (J) any combination of subparagraphs (A) through (I).
       (5) Cybersecurity center.--The term ``cybersecurity 
     center'' means the Department of Defense Cyber Crime Center, 
     the Intelligence Community Incident Response Center, the 
     United States Cyber Command Joint Operations Center, the 
     National Cyber Investigative Joint Task Force, the National 
     Security Agency/Central Security Service Threat Operations 
     Center, the National Cybersecurity and Communications 
     Integration Center, and any successor center.
       (6) Cybersecurity system.--The term ``cybersecurity 
     system'' means a system designed or employed to ensure the 
     integrity, confidentiality, or availability of, or to 
     safeguard, a system or network, including measures intended 
     to protect a system or network from--
       (A) efforts to degrade, disrupt, or destroy such system or 
     network; or
       (B) theft or misappropriations of private or government 
     information, intellectual property, or personally 
     identifiable information.
       (7) Entity.--
       (A) In general.--The term ``entity'' means any private 
     entity, non-Federal government agency or department, or 
     State, tribal, or local government agency or department 
     (including an officer, employee, or agent thereof).
       (B) Inclusions.--The term ``entity'' includes a government 
     agency or department (including an officer, employee, or 
     agent thereof) of the District of Columbia, the Commonwealth 
     of Puerto Rico, the Virgin Islands, Guam, American Samoa, the 
     Northern Mariana Islands, and any other territory or 
     possession of the United States.
       (8) Federal information system.--The term ``Federal 
     information system'' means an information system of a Federal 
     department or agency used or operated by an executive agency, 
     by a contractor of an executive agency, or by another 
     organization on behalf of an executive agency.
       (9) Information security.--The term ``information 
     security'' means protecting information and information 
     systems from disruption or unauthorized access, use, 
     disclosure, modification, or destruction in order to 
     provide--
       (A) integrity, by guarding against improper information 
     modification or destruction, including by ensuring 
     information nonrepudiation and authenticity;
       (B) confidentiality, by preserving authorized restrictions 
     on access and disclosure, including means for protecting 
     personal privacy and proprietary information; or
       (C) availability, by ensuring timely and reliable access to 
     and use of information.
       (10) Information system.--The term ``information system'' 
     has the meaning given the term in section 3502 of title 44, 
     United States Code.
       (11) Local government.--The term ``local government'' means 
     any borough, city, county, parish, town, township, village, 
     or other general purpose political subdivision of a State.
       (12) Malicious reconnaissance.--The term ``malicious 
     reconnaissance'' means a method for actively probing or 
     passively monitoring an information system for the purpose of 
     discerning technical vulnerabilities of the information 
     system, if such method is associated with a known or 
     suspected cybersecurity threat.
       (13) Operational control.--The term ``operational control'' 
     means a security control for an information system that 
     primarily is implemented and executed by people.
       (14) Operational vulnerability.--The term ``operational 
     vulnerability'' means any attribute of policy, process, or 
     procedure that could enable or facilitate the defeat of an 
     operational control.
       (15) Private entity.--The term ``private entity'' means any 
     individual or any private group, organization, or 
     corporation, including an officer, employee, or agent 
     thereof.
       (16) Significant cyber incident.--The term ``significant 
     cyber incident'' means a cyber incident resulting in, or an 
     attempted cyber incident that, if successful, would have 
     resulted in--
       (A) the exfiltration from a Federal information system of 
     data that is essential to the operation of the Federal 
     information system; or
       (B) an incident in which an operational or technical 
     control essential to the security or operation of a Federal 
     information system was defeated.

[[Page S5533]]

       (17) Technical control.--The term ``technical control'' 
     means a hardware or software restriction on, or audit of, 
     access or use of an information system or information that is 
     stored on, processed by, or transiting an information system 
     that is intended to ensure the confidentiality, integrity, or 
     availability of that system.
       (18) Technical vulnerability.--The term ``technical 
     vulnerability'' means any attribute of hardware or software 
     that could enable or facilitate the defeat of a technical 
     control.
       (19) Tribal.--The term ``tribal'' has the meaning given the 
     term ``Indian tribe'' in section 4 of the Indian Self-
     Determination and Education Assistance Act (25 U.S.C. 450b).

     SEC. 102. AUTHORIZATION TO SHARE CYBER THREAT INFORMATION.

       (a) Voluntary Disclosure.--
       (1) Private entities.--Notwithstanding any other provision 
     of law, a private entity may, for the purpose of preventing, 
     investigating, or otherwise mitigating threats to information 
     security, on its own networks, or as authorized by another 
     entity, on such entity's networks, employ countermeasures and 
     use cybersecurity systems in order to obtain, identify, or 
     otherwise possess cyber threat information.
       (2) Entities.--Notwithstanding any other provision of law, 
     an entity may disclose cyber threat information to--
       (A) a cybersecurity center; or
       (B) any other entity in order to assist with preventing, 
     investigating, or otherwise mitigating threats to information 
     security.
       (3) Information security providers.--If the cyber threat 
     information described in paragraph (1) is obtained, 
     identified, or otherwise possessed in the course of providing 
     information security products or services under contract to 
     another entity, that entity shall be given, at any time prior 
     to disclosure of such information, a reasonable opportunity 
     to authorize or prevent such disclosure, to request 
     anonymization of such information, or to request that 
     reasonable efforts be made to safeguard such information that 
     identifies specific persons from unauthorized access or 
     disclosure.
       (b) Significant Cyber Incidents Involving Federal 
     Information Systems.--
       (1) In general.--An entity providing electronic 
     communication services, remote computing services, or 
     information security services to a Federal department or 
     agency shall inform the Federal department or agency of a 
     significant cyber incident involving the Federal information 
     system of that Federal department or agency that--
       (A) is directly known to the entity as a result of 
     providing such services;
       (B) is directly related to the provision of such services 
     by the entity; and
       (C) as determined by the entity, has impeded or will impede 
     the performance of a critical mission of the Federal 
     department or agency.
       (2) Advance coordination.--A Federal department or agency 
     receiving the services described in paragraph (1) shall 
     coordinate in advance with an entity described in paragraph 
     (1) to develop the parameters of any information that may be 
     provided under paragraph (1), including clarification of the 
     type of significant cyber incident that will impede the 
     performance of a critical mission of the Federal department 
     or agency.
       (3) Report.--A Federal department or agency shall report 
     information provided under this subsection to a cybersecurity 
     center.
       (4) Construction.--Any information provided to a 
     cybersecurity center under paragraph (3) shall be treated in 
     the same manner as information provided to a cybersecurity 
     center under subsection (a).
       (c) Information Shared With or Provided to a Cybersecurity 
     Center.--Cyber threat information provided to a cybersecurity 
     center under this section--
       (1) may be disclosed to, retained by, and used by, 
     consistent with otherwise applicable Federal law, any Federal 
     agency or department, component, officer, employee, or agent 
     of the Federal government for a cybersecurity purpose, a 
     national security purpose, or in order to prevent, 
     investigate, or prosecute any of the offenses listed in 
     section 2516 of title 18, United States Code, and such 
     information shall not be disclosed to, retained by, or used 
     by any Federal agency or department for any use not permitted 
     under this paragraph;
       (2) may, with the prior written consent of the entity 
     submitting such information, be disclosed to and used by a 
     State, tribal, or local government or government agency for 
     the purpose of protecting information systems, or in 
     furtherance of preventing, investigating, or prosecuting a 
     criminal act, except that if the need for immediate 
     disclosure prevents obtaining written consent, such consent 
     may be provided orally with subsequent documentation of such 
     consent;
       (3) shall be considered the commercial, financial, or 
     proprietary information of the entity providing such 
     information to the Federal government and any disclosure 
     outside the Federal government may only be made upon the 
     prior written consent by such entity and shall not constitute 
     a waiver of any applicable privilege or protection provided 
     by law, except that if the need for immediate disclosure 
     prevents obtaining written consent, such consent may be 
     provided orally with subsequent documentation of such 
     consent;
       (4) shall be deemed voluntarily shared information and 
     exempt from disclosure under section 552 of title 5, United 
     States Code, and any State, tribal, or local law requiring 
     disclosure of information or records;
       (5) shall be, without discretion, withheld from the public 
     under section 552(b)(3)(B) of title 5, United States Code, 
     and any State, tribal, or local law requiring disclosure of 
     information or records;
       (6) shall not be subject to the rules of any Federal agency 
     or department or any judicial doctrine regarding ex parte 
     communications with a decision-making official;
       (7) shall not, if subsequently provided to a State, tribal, 
     or local government or government agency, otherwise be 
     disclosed or distributed to any entity by such State, tribal, 
     or local government or government agency without the prior 
     written consent of the entity submitting such information, 
     notwithstanding any State, tribal, or local law requiring 
     disclosure of information or records, except that if the need 
     for immediate disclosure prevents obtaining written consent, 
     such consent may be provided orally with subsequent 
     documentation of such consent; and
       (8) shall not be directly used by any Federal, State, 
     tribal, or local department or agency to regulate the lawful 
     activities of an entity, including activities relating to 
     obtaining, identifying, or otherwise possessing cyber threat 
     information, except that the procedures required to be 
     developed and implemented under this title shall not be 
     considered regulations within the meaning of this paragraph.
       (d) Procedures Relating to Information Sharing With a 
     Cybersecurity Center.--Not later than 60 days after the date 
     of enactment of this Act, the heads of each department or 
     agency containing a cybersecurity center shall jointly 
     develop, promulgate, and submit to Congress procedures to 
     ensure that cyber threat information shared with or provided 
     to--
       (1) a cybersecurity center under this section--
       (A) may be submitted to a cybersecurity center by an 
     entity, to the greatest extent possible, through a uniform, 
     publicly available process or format that is easily 
     accessible on the website of such cybersecurity center, and 
     that includes the ability to provide relevant details about 
     the cyber threat information and written consent to any 
     subsequent disclosures authorized by this paragraph;
       (B) shall immediately be further shared with each 
     cybersecurity center in order to prevent, investigate, or 
     otherwise mitigate threats to information security across the 
     Federal government;
       (C) is handled by the Federal government in a reasonable 
     manner, including consideration of the need to protect the 
     privacy and civil liberties of individuals through 
     anonymization or other appropriate methods, while fully 
     accomplishing the objectives of this title, and the Federal 
     government may undertake efforts consistent with this 
     subparagraph to limit the impact on privacy and civil 
     liberties of the sharing of cyber threat information with the 
     Federal government; and
       (D) except as provided in this section, shall only be used, 
     disclosed, or handled in accordance with the provisions of 
     subsection (c); and
       (2) a Federal agency or department under subsection (b) is 
     provided immediately to a cybersecurity center in order to 
     prevent, investigate, or otherwise mitigate threats to 
     information security across the Federal government.
       (e) Information Shared Between Entities.--
       (1) In general.--An entity sharing cyber threat information 
     with another entity under this title may restrict the use or 
     sharing of such information by such other entity.
       (2) Further sharing.--Cyber threat information shared by 
     any entity with another entity under this title--
       (A) shall only be further shared in accordance with any 
     restrictions placed on the sharing of such information by the 
     entity authorizing such sharing, such as appropriate 
     anonymization of such information; and
       (B) may not be used by any entity to gain an unfair 
     competitive advantage to the detriment of the entity 
     authorizing the sharing of such information, except that the 
     conduct described in paragraph (3) shall not constitute 
     unfair competitive conduct.
       (3) Information shared with state, tribal, or local 
     government or government agency.--Cyber threat information 
     shared with a State, tribal, or local government or 
     government agency under this title--
       (A) may, with the prior written consent of the entity 
     sharing such information, be disclosed to and used by a 
     State, tribal, or local government or government agency for 
     the purpose of protecting information systems, or in 
     furtherance of preventing, investigating, or prosecuting a 
     criminal act, except if the need for immediate disclosure 
     prevents obtaining written consent, consent may be provided 
     orally with subsequent documentation of the consent;
       (B) shall be deemed voluntarily shared information and 
     exempt from disclosure under any State, tribal, or local law 
     requiring disclosure of information or records;
       (C) shall not be disclosed or distributed to any entity by 
     the State, tribal, or local government or government agency 
     without the prior written consent of the entity submitting 
     such information, notwithstanding any

[[Page S5534]]

     State, tribal, or local law requiring disclosure of 
     information or records, except if the need for immediate 
     disclosure prevents obtaining written consent, consent may be 
     provided orally with subsequent documentation of the consent; 
     and
       (D) shall not be directly used by any State, tribal, or 
     local department or agency to regulate the lawful activities 
     of an entity, including activities relating to obtaining, 
     identifying, or otherwise possessing cyber threat 
     information, except that the procedures required to be 
     developed and implemented under this title shall not be 
     considered regulations within the meaning of this 
     subparagraph.
       (4) Antitrust exemption.--The exchange or provision of 
     cyber threat information or assistance between 2 or more 
     private entities under this title shall not be considered a 
     violation of any provision of antitrust laws if exchanged or 
     provided in order to assist with--
       (A) facilitating the prevention, investigation, or 
     mitigation of threats to information security; or
       (B) communicating or disclosing of cyber threat information 
     to help prevent, investigate or otherwise mitigate the 
     effects of a threat to information security.
       (5) No right or benefit.--The provision of cyber threat 
     information to an entity under this section shall not create 
     a right or a benefit to similar information by such entity or 
     any other entity.
       (f) Federal Preemption.--
       (1) In general.--This section supersedes any statute or 
     other law of a State or political subdivision of a State that 
     restricts or otherwise expressly regulates an activity 
     authorized under this section.
       (2) State law enforcement.--Nothing in this section shall 
     be construed to supersede any statute or other law of a State 
     or political subdivision of a State concerning the use of 
     authorized law enforcement techniques.
       (3) Public disclosure.--No information shared with or 
     provided to a State, tribal, or local government or 
     government agency pursuant to this section shall be made 
     publicly available pursuant to any State, tribal, or local 
     law requiring disclosure of information or records.
       (g) Civil and Criminal Liability.--
       (1) General protections.--
       (A) Private entities.--No cause of action shall lie or be 
     maintained in any court against any private entity for--
       (i) the use of countermeasures and cybersecurity systems as 
     authorized by this title;
       (ii) the use, receipt, or disclosure of any cyber threat 
     information as authorized by this title; or
       (iii) the subsequent actions or inactions of any lawful 
     recipient of cyber threat information provided by such 
     private entity.
       (B) Entities.--No cause of action shall lie or be 
     maintained in any court against any entity for--
       (i) the use, receipt, or disclosure of any cyber threat 
     information as authorized by this title; or
       (ii) the subsequent actions or inactions of any lawful 
     recipient of cyber threat information provided by such 
     entity.
       (2) Construction.--Nothing in this subsection shall be 
     construed as creating any immunity against, or otherwise 
     affecting, any action brought by the Federal government, or 
     any agency or department thereof, to enforce any law, 
     executive order, or procedure governing the appropriate 
     handling, disclosure, and use of classified information.
       (h) Otherwise Lawful Disclosures.--Nothing in this section 
     shall be construed to limit or prohibit otherwise lawful 
     disclosures of communications, records, or other information 
     by a private entity to any other governmental or private 
     entity not covered under this section.
       (i) Whistleblower Protection.--Nothing in this Act shall be 
     construed to preempt or preclude any employee from exercising 
     rights currently provided under any whistleblower law, rule, 
     or regulation.
       (j) Relationship to Other Laws.--The submission of cyber 
     threat information under this section to a cybersecurity 
     center shall not affect any requirement under any other 
     provision of law for an entity to provide information to the 
     Federal government.

     SEC. 103. INFORMATION SHARING BY THE FEDERAL GOVERNMENT.

       (a) Classified Information.--
       (1) Procedures.--Consistent with the protection of 
     intelligence sources and methods, and as otherwise determined 
     appropriate, the Director of National Intelligence and the 
     Secretary of Defense, in consultation with the heads of the 
     appropriate Federal departments or agencies, shall develop 
     and promulgate procedures to facilitate and promote--
       (A) the immediate sharing, through the cybersecurity 
     centers, of classified cyber threat information in the 
     possession of the Federal government with appropriately 
     cleared representatives of any appropriate entity; and
       (B) the declassification and immediate sharing, through the 
     cybersecurity centers, with any entity or, if appropriate, 
     public availability of cyber threat information in the 
     possession of the Federal government;
       (2) Handling of classified information.--The procedures 
     developed under paragraph (1) shall ensure that each entity 
     receiving classified cyber threat information pursuant to 
     this section has acknowledged in writing the ongoing 
     obligation to comply with all laws, executive orders, and 
     procedures concerning the appropriate handling, disclosure, 
     or use of classified information.
       (b) Unclassified Cyber Threat Information.--The heads of 
     each department or agency containing a cybersecurity center 
     shall jointly develop and promulgate procedures that ensure 
     that, consistent with the provisions of this section, 
     unclassified, including controlled unclassified, cyber threat 
     information in the possession of the Federal government--
       (1) is shared, through the cybersecurity centers, in an 
     immediate and adequate manner with appropriate entities; and
       (2) if appropriate, is made publicly available.
       (c) Development of Procedures.--
       (1) In general.--The procedures developed under this 
     section shall incorporate, to the greatest extent possible, 
     existing processes utilized by sector specific information 
     sharing and analysis centers.
       (2) Coordination with entities.--In developing the 
     procedures required under this section, the Director of 
     National Intelligence and the heads of each department or 
     agency containing a cybersecurity center shall coordinate 
     with appropriate entities to ensure that protocols are 
     implemented that will facilitate and promote the sharing of 
     cyber threat information by the Federal government.
       (d) Additional Responsibilities of Cybersecurity Centers.--
     Consistent with section 102, a cybersecurity center shall--
       (1) facilitate information sharing, interaction, and 
     collaboration among and between cybersecurity centers and--
       (A) other Federal entities;
       (B) any entity; and
       (C) international partners, in consultation with the 
     Secretary of State;
       (2) disseminate timely and actionable cybersecurity threat, 
     vulnerability, mitigation, and warning information, including 
     alerts, advisories, indicators, signatures, and mitigation 
     and response measures, to improve the security and protection 
     of information systems; and
       (3) coordinate with other Federal entities, as appropriate, 
     to integrate information from across the Federal government 
     to provide situational awareness of the cybersecurity posture 
     of the United States.
       (e) Sharing Within the Federal Government.--The heads of 
     appropriate Federal departments and agencies shall ensure 
     that cyber threat information in the possession of such 
     Federal departments or agencies that relates to the 
     prevention, investigation, or mitigation of threats to 
     information security across the Federal government is shared 
     effectively with the cybersecurity centers.
       (f) Submission to Congress.--Not later than 60 days after 
     the date of enactment of this Act, the Director of National 
     Intelligence, in coordination with the appropriate head of a 
     department or an agency containing a cybersecurity center, 
     shall submit the procedures required by this section to 
     Congress.

     SEC. 104. CONSTRUCTION.

       (a) Information Sharing Relationships.--Nothing in this 
     title shall be construed--
       (1) to limit or modify an existing information sharing 
     relationship;
       (2) to prohibit a new information sharing relationship;
       (3) to require a new information sharing relationship 
     between any entity and the Federal government, except as 
     specified under section 102(b); or
       (4) to modify the authority of a department or agency of 
     the Federal government to protect sources and methods and the 
     national security of the United States.
       (b) Anti-tasking Restriction.--Nothing in this title shall 
     be construed to permit the Federal government--
       (1) to require an entity to share information with the 
     Federal government, except as expressly provided under 
     section 102(b); or
       (2) to condition the sharing of cyber threat information 
     with an entity on such entity's provision of cyber threat 
     information to the Federal government.
       (c) No Liability for Non-participation.--Nothing in this 
     title shall be construed to subject any entity to liability 
     for choosing not to engage in the voluntary activities 
     authorized under this title.
       (d) Use and Retention of Information.--Nothing in this 
     title shall be construed to authorize, or to modify any 
     existing authority of, a department or agency of the Federal 
     government to retain or use any information shared under 
     section 102 for any use other than a use permitted under 
     subsection 102(c)(1).
       (e) No New Funding.--An applicable Federal agency shall 
     carry out the provisions of this title with existing 
     facilities and funds otherwise available, through such means 
     as the head of the agency considers appropriate.

     SEC. 105. REPORT ON IMPLEMENTATION.

       (a) Content of Report.--Not later than 1 year after the 
     date of enactment of this Act, and biennially thereafter, the 
     heads of each department or agency containing a cybersecurity 
     center shall jointly submit, in coordination with the privacy 
     and civil liberties officials of such departments or agencies 
     and the Privacy and Civil Liberties Oversight Board, a 
     detailed report to Congress concerning the implementation of 
     this title, including--
       (1) an assessment of the sufficiency of the procedures 
     developed under section 103 of this Act in ensuring that 
     cyber threat information in the possession of the Federal 
     government is provided in an immediate and adequate manner to 
     appropriate entities or, if appropriate, is made publicly 
     available;

[[Page S5535]]

       (2) an assessment of whether information has been 
     appropriately classified and an accounting of the number of 
     security clearances authorized by the Federal government for 
     purposes of this title;
       (3) a review of the type of cyber threat information shared 
     with a cybersecurity center under section 102 of this Act, 
     including whether such information meets the definition of 
     cyber threat information under section 101, the degree to 
     which such information may impact the privacy and civil 
     liberties of individuals, any appropriate metrics to 
     determine any impact of the sharing of such information with 
     the Federal government on privacy and civil liberties, and 
     the adequacy of any steps taken to reduce such impact;
       (4) a review of actions taken by the Federal government 
     based on information provided to a cybersecurity center under 
     section 102 of this Act, including the appropriateness of any 
     subsequent use under section 102(c)(1) of this Act and 
     whether there was inappropriate stovepiping within the 
     Federal government of any such information;
       (5) a description of any violations of the requirements of 
     this title by the Federal government;
       (6) a classified list of entities that received classified 
     information from the Federal government under section 103 of 
     this Act and a description of any indication that such 
     information may not have been appropriately handled;
       (7) a summary of any breach of information security, if 
     known, attributable to a specific failure by any entity or 
     the Federal government to act on cyber threat information in 
     the possession of such entity or the Federal government that 
     resulted in substantial economic harm or injury to a specific 
     entity or the Federal government; and
       (8) any recommendation for improvements or modifications to 
     the authorities under this title.
       (b) Form of Report.--The report under subsection (a) shall 
     be submitted in unclassified form, but shall include a 
     classified annex.

     SEC. 106. INSPECTOR GENERAL REVIEW.

       (a) In General.--The Council of the Inspectors General on 
     Integrity and Efficiency are authorized to review compliance 
     by the cybersecurity centers, and by any Federal department 
     or agency receiving cyber threat information from such 
     cybersecurity centers, with the procedures required under 
     section 102 of this Act.
       (b) Scope of Review.--The review under subsection (a) shall 
     consider whether the Federal government has handled such 
     cyber threat information in a reasonable manner, including 
     consideration of the need to protect the privacy and civil 
     liberties of individuals through anonymization or other 
     appropriate methods, while fully accomplishing the objectives 
     of this title.
       (c) Report to Congress.--Each review conducted under this 
     section shall be provided to Congress not later than 30 days 
     after the date of completion of the review.

     SEC. 107. TECHNICAL AMENDMENTS.

       Section 552(b) of title 5, United States Code, is amended--
       (1) in paragraph (8), by striking ``or'';
       (2) in paragraph (9), by striking ``wells.'' and inserting 
     ``wells; or''; and
       (3) by adding at the end the following:
       ``(10) information shared with or provided to a 
     cybersecurity center under section 102 of title I of the 
     Strengthening and Enhancing Cybersecurity by Using Research, 
     Education, Information, and Technology Act of 2012.''.

     SEC. 108. ACCESS TO CLASSIFIED INFORMATION.

       (a) Authorization Required.--No person shall be provided 
     with access to classified information (as defined in section 
     6.1 of Executive Order 13526 (50 U.S.C. 435 note; relating to 
     classified national security information)) relating to cyber 
     security threats or cyber security vulnerabilities under this 
     title without the appropriate security clearances.
       (b) Security Clearances.--The appropriate Federal agencies 
     or departments shall, consistent with applicable procedures 
     and requirements, and if otherwise deemed appropriate, assist 
     an individual in timely obtaining an appropriate security 
     clearance where such individual has been determined to be 
     eligible for such clearance and has a need-to-know (as 
     defined in section 6.1 of that Executive Order) classified 
     information to carry out this title.

     TITLE II--COORDINATION OF FEDERAL INFORMATION SECURITY POLICY

     SEC. 201. COORDINATION OF FEDERAL INFORMATION SECURITY 
                   POLICY.

       (a) In General.--Chapter 35 of title 44, United States 
     Code, is amended by striking subchapters II and III and 
     inserting the following:

                 ``SUBCHAPTER II--INFORMATION SECURITY

     ``Sec. 3551. Purposes

       ``The purposes of this subchapter are--
       ``(1) to provide a comprehensive framework for ensuring the 
     effectiveness of information security controls over 
     information resources that support Federal operations and 
     assets;
       ``(2) to recognize the highly networked nature of the 
     current Federal computing environment and provide effective 
     government-wide management of policies, directives, 
     standards, and guidelines, as well as effective and nimble 
     oversight of and response to information security risks, 
     including coordination of information security efforts 
     throughout the Federal civilian, national security, and law 
     enforcement communities;
       ``(3) to provide for development and maintenance of 
     controls required to protect agency information and 
     information systems and contribute to the overall improvement 
     of agency information security posture;
       ``(4) to provide for the development of tools and methods 
     to assess and respond to real-time situational risk for 
     Federal information system operations and assets; and
       ``(5) to provide a mechanism for improving agency 
     information security programs through continuous monitoring 
     of agency information systems and streamlined reporting 
     requirements rather than overly prescriptive manual 
     reporting.

     ``Sec. 3552. Definitions

       ``In this subchapter:
       ``(1) Adequate security.--The term `adequate security' 
     means security commensurate with the risk and magnitude of 
     the harm resulting from the unauthorized access to or loss, 
     misuse, destruction, or modification of information.
       ``(2) Agency.--The term `agency' has the meaning given the 
     term in section 3502 of title 44.
       ``(3) Cybersecurity center.--The term `cybersecurity 
     center' means the Department of Defense Cyber Crime Center, 
     the Intelligence Community Incident Response Center, the 
     United States Cyber Command Joint Operations Center, the 
     National Cyber Investigative Joint Task Force, the National 
     Security Agency/Central Security Service Threat Operations 
     Center, the National Cybersecurity and Communications 
     Integration Center, and any successor center.
       ``(4) Cyber threat information.--The term `cyber threat 
     information' means information that indicates or describes--
       ``(A) a technical or operation vulnerability or a cyber 
     threat mitigation measure;
       ``(B) an action or operation to mitigate a cyber threat;
       ``(C) malicious reconnaissance, including anomalous 
     patterns of network activity that appear to be transmitted 
     for the purpose of gathering technical information related to 
     a cybersecurity threat;
       ``(D) a method of defeating a technical control;
       ``(E) a method of defeating an operational control;
       ``(F) network activity or protocols known to be associated 
     with a malicious cyber actor or that signify malicious cyber 
     intent;
       ``(G) a method of causing a user with legitimate access to 
     an information system or information that is stored on, 
     processed by, or transiting an information system to 
     inadvertently enable the defeat of a technical or operational 
     control;
       ``(H) any other attribute of a cybersecurity threat or 
     cyber defense information that would foster situational 
     awareness of the United States cybersecurity posture, if 
     disclosure of such attribute or information is not otherwise 
     prohibited by law;
       ``(I) the actual or potential harm caused by a cyber 
     incident, including information exfiltrated when it is 
     necessary in order to identify or describe a cybersecurity 
     threat; or
       ``(J) any combination of subparagraphs (A) through (I).
       ``(5) Director.--The term `Director' means the Director of 
     the Office of Management and Budget unless otherwise 
     specified.
       ``(6) Environment of operation.--The term `environment of 
     operation' means the information system and environment in 
     which those systems operate, including changing threats, 
     vulnerabilities, technologies, and missions and business 
     practices.
       ``(7) Federal information system.--The term `Federal 
     information system' means an information system used or 
     operated by an executive agency, by a contractor of an 
     executive agency, or by another organization on behalf of an 
     executive agency.
       ``(8) Incident.--The term `incident' means an occurrence 
     that--
       ``(A) actually or imminently jeopardizes the integrity, 
     confidentiality, or availability of an information system or 
     the information that system controls, processes, stores, or 
     transmits; or
       ``(B) constitutes a violation of law or an imminent threat 
     of violation of a law, a security policy, a security 
     procedure, or an acceptable use policy.
       ``(9) Information resources.--The term `information 
     resources' has the meaning given the term in section 3502 of 
     title 44.
       ``(10) Information security.--The term `information 
     security' means protecting information and information 
     systems from disruption or unauthorized access, use, 
     disclosure, modification, or destruction in order to 
     provide--
       ``(A) integrity, by guarding against improper information 
     modification or destruction, including by ensuring 
     information nonrepudiation and authenticity;
       ``(B) confidentiality, by preserving authorized 
     restrictions on access and disclosure, including means for 
     protecting personal privacy and proprietary information; or
       ``(C) availability, by ensuring timely and reliable access 
     to and use of information.
       ``(11) Information system.--The term `information system' 
     has the meaning given the term in section 3502 of title 44.
       ``(12) Information technology.--The term `information 
     technology' has the meaning given the term in section 11101 
     of title 40.
       ``(13) Malicious reconnaissance.--The term `malicious 
     reconnaissance' means a method for actively probing or 
     passively monitoring an information system for the purpose of 
     discerning technical

[[Page S5536]]

     vulnerabilities of the information system, if such method is 
     associated with a known or suspected cybersecurity threat.
       ``(14) National security system.--
       ``(A) In general.--The term `national security system' 
     means any information system (including any 
     telecommunications system) used or operated by an agency or 
     by a contractor of an agency, or other organization on behalf 
     of an agency--
       ``(i) the function, operation, or use of which--

       ``(I) involves intelligence activities;
       ``(II) involves cryptologic activities related to national 
     security;
       ``(III) involves command and control of military forces;
       ``(IV) involves equipment that is an integral part of a 
     weapon or weapons system; or
       ``(V) subject to subparagraph (B), is critical to the 
     direct fulfillment of military or intelligence missions; or

       ``(ii) is protected at all times by procedures established 
     for information that have been specifically authorized under 
     criteria established by an Executive Order or an Act of 
     Congress to be kept classified in the interest of national 
     defense or foreign policy.
       ``(B) Limitation.--Subparagraph (A)(i)(V) does not include 
     a system that is to be used for routine administrative and 
     business applications (including payroll, finance, logistics, 
     and personnel management applications).
       ``(15) Operational control.--The term `operational control' 
     means a security control for an information system that 
     primarily is implemented and executed by people.
       ``(16) Person.--The term `person' has the meaning given the 
     term in section 3502 of title 44.
       ``(17) Secretary.--The term `Secretary' means the Secretary 
     of Commerce unless otherwise specified.
       ``(18) Security control.--The term `security control' means 
     the management, operational, and technical controls, 
     including safeguards or countermeasures, prescribed for an 
     information system to protect the confidentiality, integrity, 
     and availability of the system and its information.
       ``(19) Significant cyber incident.--The term `significant 
     cyber incident' means a cyber incident resulting in, or an 
     attempted cyber incident that, if successful, would have 
     resulted in--
       ``(A) the exfiltration from a Federal information system of 
     data that is essential to the operation of the Federal 
     information system; or
       ``(B) an incident in which an operational or technical 
     control essential to the security or operation of a Federal 
     information system was defeated.
       ``(20) Technical control.--The term `technical control' 
     means a hardware or software restriction on, or audit of, 
     access or use of an information system or information that is 
     stored on, processed by, or transiting an information system 
     that is intended to ensure the confidentiality, integrity, or 
     availability of that system.

     ``Sec. 3553. Federal information security authority and 
       coordination

       ``(a) In General.--The Secretary, in consultation with the 
     Secretary of Homeland Security, shall--
       ``(1) issue compulsory and binding policies and directives 
     governing agency information security operations, and require 
     implementation of such policies and directives, including--
       ``(A) policies and directives consistent with the standards 
     and guidelines promulgated under section 11331 of title 40 to 
     identify and provide information security protections 
     prioritized and commensurate with the risk and impact 
     resulting from the unauthorized access, use, disclosure, 
     disruption, modification, or destruction of--
       ``(i) information collected or maintained by or on behalf 
     of an agency; or
       ``(ii) information systems used or operated by an agency or 
     by a contractor of an agency or other organization on behalf 
     of an agency;
       ``(B) minimum operational requirements for Federal 
     Government to protect agency information systems and provide 
     common situational awareness across all agency information 
     systems;
       ``(C) reporting requirements, consistent with relevant law, 
     regarding information security incidents and cyber threat 
     information;
       ``(D) requirements for agencywide information security 
     programs;
       ``(E) performance requirements and metrics for the security 
     of agency information systems;
       ``(F) training requirements to ensure that agencies are 
     able to fully and timely comply with the policies and 
     directives issued by the Secretary under this subchapter;
       ``(G) training requirements regarding privacy, civil 
     rights, and civil liberties, and information oversight for 
     agency information security personnel;
       ``(H) requirements for the annual reports to the Secretary 
     under section 3554(d);
       ``(I) any other information security operations or 
     information security requirements as determined by the 
     Secretary in coordination with relevant agency heads; and
       ``(J) coordinating the development of standards and 
     guidelines under section 20 of the National Institute of 
     Standards and Technology Act (15 U.S.C. 278g-3) with agencies 
     and offices operating or exercising control of national 
     security systems (including the National Security Agency) to 
     assure, to the maximum extent feasible, that such standards 
     and guidelines are complementary with standards and 
     guidelines developed for national security systems;
       ``(2) review the agencywide information security programs 
     under section 3554; and
       ``(3) designate an individual or an entity at each 
     cybersecurity center, among other responsibilities--
       ``(A) to receive reports and information about information 
     security incidents, cyber threat information, and 
     deterioration of security control affecting agency 
     information systems; and
       ``(B) to act on or share the information under subparagraph 
     (A) in accordance with this subchapter.
       ``(b) Considerations.--When issuing policies and directives 
     under subsection (a), the Secretary shall consider any 
     applicable standards or guidelines developed by the National 
     Institute of Standards and Technology under section 11331 of 
     title 40.
       ``(c) Limitation of Authority.--The authorities of the 
     Secretary under this section shall not apply to national 
     security systems. Information security policies, directives, 
     standards and guidelines for national security systems shall 
     be overseen as directed by the President and, in accordance 
     with that direction, carried out under the authority of the 
     heads of agencies that operate or exercise authority over 
     such national security systems.
       ``(d) Statutory Construction.--Nothing in this subchapter 
     shall be construed to alter or amend any law regarding the 
     authority of any head of an agency over such agency.

     ``Sec. 3554. Agency responsibilities

       ``(a) In General.--The head of each agency shall--
       ``(1) be responsible for--
       ``(A) complying with the policies and directives issued 
     under section 3553;
       ``(B) providing information security protections 
     commensurate with the risk resulting from unauthorized 
     access, use, disclosure, disruption, modification, or 
     destruction of--
       ``(i) information collected or maintained by the agency or 
     by a contractor of an agency or other organization on behalf 
     of an agency; and
       ``(ii) information systems used or operated by an agency or 
     by a contractor of an agency or other organization on behalf 
     of an agency;
       ``(C) complying with the requirements of this subchapter, 
     including--
       ``(i) information security standards and guidelines 
     promulgated under section 11331 of title 40;
       ``(ii) for any national security systems operated or 
     controlled by that agency, information security policies, 
     directives, standards and guidelines issued as directed by 
     the President; and
       ``(iii) for any non-national security systems operated or 
     controlled by that agency, information security policies, 
     directives, standards and guidelines issued under section 
     3553;
       ``(D) ensuring that information security management 
     processes are integrated with agency strategic and 
     operational planning processes;
       ``(E) reporting and sharing, for an agency operating or 
     exercising control of a national security system, information 
     about information security incidents, cyber threat 
     information, and deterioration of security controls to the 
     individual or entity designated at each cybersecurity center 
     and to other appropriate entities consistent with policies 
     and directives for national security systems issued as 
     directed by the President; and
       ``(F) reporting and sharing, for those agencies operating 
     or exercising control of non-national security systems, 
     information about information security incidents, cyber 
     threat information, and deterioration of security controls to 
     the individual or entity designated at each cybersecurity 
     center and to other appropriate entities consistent with 
     policies and directives for non-national security systems as 
     prescribed under section 3553(a), including information to 
     assist the entity designated under section 3555(a) with the 
     ongoing security analysis under section 3555;
       ``(2) ensure that each senior agency official provides 
     information security for the information and information 
     systems that support the operations and assets under the 
     senior agency official's control, including by--
       ``(A) assessing the risk and impact that could result from 
     the unauthorized access, use, disclosure, disruption, 
     modification, or destruction of such information or 
     information systems;
       ``(B) determining the level of information security 
     appropriate to protect such information and information 
     systems in accordance with policies and directives issued 
     under section 3553(a), and standards and guidelines 
     promulgated under section 11331 of title 40 for information 
     security classifications and related requirements;
       ``(C) implementing policies, procedures, and capabilities 
     to reduce risks to an acceptable level in a cost-effective 
     manner;
       ``(D) actively monitoring the effective implementation of 
     information security controls and techniques; and
       ``(E) reporting information about information security 
     incidents, cyber threat information, and deterioration of 
     security controls in a timely and adequate manner to the 
     entity designated under section 3553(a)(3) in accordance with 
     paragraph (1);
       ``(3) assess and maintain the resiliency of information 
     technology systems critical to agency mission and operations;

[[Page S5537]]

       ``(4) designate the agency Inspector General (or an 
     independent entity selected in consultation with the Director 
     and the Council of Inspectors General on Integrity and 
     Efficiency if the agency does not have an Inspector General) 
     to conduct the annual independent evaluation required under 
     section 3556, and allow the agency Inspector General to 
     contract with an independent entity to perform such 
     evaluation;
       ``(5) delegate to the Chief Information Officer or 
     equivalent (or to a senior agency official who reports to the 
     Chief Information Officer or equivalent)--
       ``(A) the authority and primary responsibility to implement 
     an agencywide information security program; and
       ``(B) the authority to provide information security for the 
     information collected and maintained by the agency (or by a 
     contractor, other agency, or other source on behalf of the 
     agency) and for the information systems that support the 
     operations, assets, and mission of the agency (including any 
     information system provided or managed by a contractor, other 
     agency, or other source on behalf of the agency);
       ``(6) delegate to the appropriate agency official (who is 
     responsible for a particular agency system or subsystem) the 
     responsibility to ensure and enforce compliance with all 
     requirements of the agency's agencywide information security 
     program in coordination with the Chief Information Officer or 
     equivalent (or the senior agency official who reports to the 
     Chief Information Officer or equivalent) under paragraph (5);
       ``(7) ensure that an agency has trained personnel who have 
     obtained any necessary security clearances to permit them to 
     assist the agency in complying with this subchapter;
       ``(8) ensure that the Chief Information Officer or 
     equivalent (or the senior agency official who reports to the 
     Chief Information Officer or equivalent) under paragraph (5), 
     in coordination with other senior agency officials, reports 
     to the agency head on the effectiveness of the agencywide 
     information security program, including the progress of any 
     remedial actions; and
       ``(9) ensure that the Chief Information Officer or 
     equivalent (or the senior agency official who reports to the 
     Chief Information Officer or equivalent) under paragraph (5) 
     has the necessary qualifications to administer the functions 
     described in this subchapter and has information security 
     duties as a primary duty of that official.
       ``(b) Chief Information Officers.--Each Chief Information 
     Officer or equivalent (or the senior agency official who 
     reports to the Chief Information Officer or equivalent) under 
     subsection (a)(5) shall--
       ``(1) establish and maintain an enterprise security 
     operations capability that on a continuous basis--
       ``(A) detects, reports, contains, mitigates, and responds 
     to information security incidents that impair adequate 
     security of the agency's information or information system in 
     a timely manner and in accordance with the policies and 
     directives under section 3553; and
       ``(B) reports any information security incident under 
     subparagraph (A) to the entity designated under section 3555;
       ``(2) develop, maintain, and oversee an agencywide 
     information security program;
       ``(3) develop, maintain, and oversee information security 
     policies, procedures, and control techniques to address 
     applicable requirements, including requirements under section 
     3553 of this title and section 11331 of title 40; and
       ``(4) train and oversee the agency personnel who have 
     significant responsibility for information security with 
     respect to that responsibility.
       ``(c) Agencywide Information Security Programs.--
       ``(1) In general.--Each agencywide information security 
     program under subsection (b)(2) shall include--
       ``(A) relevant security risk assessments, including 
     technical assessments and others related to the acquisition 
     process;
       ``(B) security testing commensurate with risk and impact;
       ``(C) mitigation of deterioration of security controls 
     commensurate with risk and impact;
       ``(D) risk-based continuous monitoring and threat 
     assessment of the operational status and security of agency 
     information systems to enable evaluation of the effectiveness 
     of and compliance with information security policies, 
     procedures, and practices, including a relevant and 
     appropriate selection of security controls of information 
     systems identified in the inventory under section 3505(c);
       ``(E) operation of appropriate technical capabilities in 
     order to detect, mitigate, report, and respond to information 
     security incidents, cyber threat information, and 
     deterioration of security controls in a manner that is 
     consistent with the policies and directives under section 
     3553, including--
       ``(i) mitigating risks associated with such information 
     security incidents;
       ``(ii) notifying and consulting with the entity designated 
     under section 3555; and
       ``(iii) notifying and consulting with, as appropriate--

       ``(I) law enforcement and the relevant Office of the 
     Inspector General; and
       ``(II) any other entity, in accordance with law and as 
     directed by the President;

       ``(F) a process to ensure that remedial action is taken to 
     address any deficiencies in the information security 
     policies, procedures, and practices of the agency; and
       ``(G) a plan and procedures to ensure the continuity of 
     operations for information systems that support the 
     operations and assets of the agency.
       ``(2) Risk management strategies.--Each agencywide 
     information security program under subsection (b)(2) shall 
     include the development and maintenance of a risk management 
     strategy for information security. The risk management 
     strategy shall include--
       ``(A) consideration of information security incidents, 
     cyber threat information, and deterioration of security 
     controls; and
       ``(B) consideration of the consequences that could result 
     from the unauthorized access, use, disclosure, disruption, 
     modification, or destruction of information and information 
     systems that support the operations and assets of the agency, 
     including any information system provided or managed by a 
     contractor, other agency, or other source on behalf of the 
     agency;
       ``(3) Policies and procedures.--Each agencywide information 
     security program under subsection (b)(2) shall include 
     policies and procedures that--
       ``(A) are based on the risk management strategy under 
     paragraph (2);
       ``(B) reduce information security risks to an acceptable 
     level in a cost-effective manner;
       ``(C) ensure that cost-effective and adequate information 
     security is addressed as part of the acquisition and ongoing 
     management of each agency information system; and
       ``(D) ensure compliance with--
       ``(i) this subchapter; and
       ``(ii) any other applicable requirements.
       ``(4) Training requirements.--Each agencywide information 
     security program under subsection (b)(2) shall include 
     information security, privacy, civil rights, civil liberties, 
     and information oversight training that meets any applicable 
     requirements under section 3553. The training shall inform 
     each information security personnel that has access to agency 
     information systems (including contractors and other users of 
     information systems that support the operations and assets of 
     the agency) of--
       ``(A) the information security risks associated with the 
     information security personnel's activities; and
       ``(B) the individual's responsibility to comply with the 
     agency policies and procedures that reduce the risks under 
     subparagraph (A).
       ``(d) Annual Report.--Each agency shall submit a report 
     annually to the Secretary of Homeland Security on its 
     agencywide information security program and information 
     systems.

     ``Sec. 3555. Multiagency ongoing threat assessment

       ``(a) Implementation.--The Director of the Office of 
     Management and Budget, in coordination with the Secretary of 
     Homeland Security, shall designate an entity to implement 
     ongoing security analysis concerning agency information 
     systems--
       ``(1) based on cyber threat information;
       ``(2) based on agency information system and environment of 
     operation changes, including--
       ``(A) an ongoing evaluation of the information system 
     security controls; and
       ``(B) the security state, risk level, and environment of 
     operation of an agency information system, including--
       ``(i) a change in risk level due to a new cyber threat;
       ``(ii) a change resulting from a new technology;
       ``(iii) a change resulting from the agency's mission; and
       ``(iv) a change resulting from the business practice; and
       ``(3) using automated processes to the maximum extent 
     possible--
       ``(A) to increase information system security;
       ``(B) to reduce paper-based reporting requirements; and
       ``(C) to maintain timely and actionable knowledge of the 
     state of the information system security.
       ``(b) Standards.--The National Institute of Standards and 
     Technology may promulgate standards, in coordination with the 
     Secretary of Homeland Security, to assist an agency with its 
     duties under this section.
       ``(c) Compliance.--The head of each appropriate department 
     and agency shall be responsible for ensuring compliance and 
     implementing necessary procedures to comply with this 
     section. The head of each appropriate department and agency, 
     in consultation with the Director of the Office of Management 
     and Budget and the Secretary of Homeland Security, shall--
       ``(1) monitor compliance under this section;
       ``(2) develop a timeline and implement for the department 
     or agency--
       ``(A) adoption of any technology, system, or method that 
     facilitates continuous monitoring and threat assessments of 
     an agency information system;
       ``(B) adoption or updating of any technology, system, or 
     method that prevents, detects, or remediates a significant 
     cyber incident to a Federal information system of the 
     department or agency that has impeded, or is reasonably 
     likely to impede, the performance of a critical mission of 
     the department or agency; and
       ``(C) adoption of any technology, system, or method that 
     satisfies a requirement under this section.

[[Page S5538]]

       ``(d) Limitation of Authority.--The authorities of the 
     Director of the Office of Management and Budget and of the 
     Secretary of Homeland Security under this section shall not 
     apply to national security systems.
       ``(e) Report.--Not later than 6 months after the date of 
     enactment of the Strengthening and Enhancing Cybersecurity by 
     Using Research, Education, Information, and Technology Act of 
     2012, the Government Accountability Office shall issue a 
     report evaluating each agency's status toward implementing 
     this section.

     ``Sec. 3556. Independent evaluations

       ``(a) In General.--The Council of the Inspectors General on 
     Integrity and Efficiency, in consultation with the Director 
     and the Secretary of Homeland Security, the Secretary of 
     Commerce, and the Secretary of Defense, shall issue and 
     maintain criteria for the timely, cost-effective, risk-based, 
     and independent evaluation of each agencywide information 
     security program (and practices) to determine the 
     effectiveness of the agencywide information security program 
     (and practices). The criteria shall include measures to 
     assess any conflicts of interest in the performance of the 
     evaluation and whether the agencywide information security 
     program includes appropriate safeguards against disclosure of 
     information where such disclosure may adversely affect 
     information security.
       ``(b) Annual Independent Evaluations.--Each agency shall 
     perform an annual independent evaluation of its agencywide 
     information security program (and practices) in accordance 
     with the criteria under subsection (a).
       ``(c) Distribution of Reports.--Not later than 30 days 
     after receiving an independent evaluation under subsection 
     (b), each agency head shall transmit a copy of the 
     independent evaluation to the Secretary of Homeland Security, 
     the Secretary of Commerce, and the Secretary of Defense.
       ``(d) National Security Systems.--Evaluations involving 
     national security systems shall be conducted as directed by 
     President.

     ``Sec. 3557. National security systems.

       ``The head of each agency operating or exercising control 
     of a national security system shall be responsible for 
     ensuring that the agency--
       ``(1) provides information security protections 
     commensurate with the risk and magnitude of the harm 
     resulting from the unauthorized access, use, disclosure, 
     disruption, modification, or destruction of the information 
     contained in such system; and
       ``(2) implements information security policies and 
     practices as required by standards and guidelines for 
     national security systems, issued in accordance with law and 
     as directed by the President.''.
       (b) Savings Provisions.--
       (1) Policy and compliance guidance.--Policy and compliance 
     guidance issued by the Director before the date of enactment 
     of this Act under section 3543(a)(1) of title 44, United 
     States Code (as in effect on the day before the date of 
     enactment of this Act), shall continue in effect, according 
     to its terms, until modified, terminated, superseded, or 
     repealed pursuant to section 3553(a)(1) of title 44, United 
     States Code.
       (2) Standards and guidelines.--Standards and guidelines 
     issued by the Secretary of Commerce or by the Director before 
     the date of enactment of this Act under section 11331(a)(1) 
     of title 40, United States Code, (as in effect on the day 
     before the date of enactment of this Act) shall continue in 
     effect, according to their terms, until modified, terminated, 
     superseded, or repealed pursuant to section 11331(a)(1) of 
     title 40, United States Code, as amended by this Act.
       (c) Technical and Conforming Amendments.--
       (1) Chapter analysis.--The chapter analysis for chapter 35 
     of title 44, United States Code, is amended--
       (A) by striking the items relating to sections 3531 through 
     3538;
       (B) by striking the items relating to sections 3541 through 
     3549; and
       (C) by inserting the following:

``3551. Purposes.
``3552. Definitions.
``3553. Federal information security authority and coordination.
``3554. Agency responsibilities.
``3555. Multiagency ongoing threat assessment.
``3556. Independent evaluations.
``3557. National security systems.''.
       (2) Other references.--
       (A) Section 1001(c)(1)(A) of the Homeland Security Act of 
     2002 (6 U.S.C. 511(1)(A)) is amended by striking ``section 
     3532(3)'' and inserting ``section 3552''.
       (B) Section 2222(j)(5) of title 10, United States Code, is 
     amended by striking ``section 3542(b)(2)'' and inserting 
     ``section 3552''.
       (C) Section 2223(c)(3) of title 10, United States Code, is 
     amended, by striking ``section 3542(b)(2)'' and inserting 
     ``section 3552''.
       (D) Section 2315 of title 10, United States Code, is 
     amended by striking ``section 3542(b)(2)'' and inserting 
     ``section 3552''.
       (E) Section 20 of the National Institute of Standards and 
     Technology Act (15 U.S.C. 278g-3) is amended--
       (i) in subsection (a)(2), by striking ``section 
     3532(b)(2)'' and inserting ``section 3552'';
       (ii) in subsection (c)(3), by striking ``Director of the 
     Office of Management and Budget'' and inserting ``Secretary 
     of Commerce'';
       (iii) in subsection (d)(1), by striking ``Director of the 
     Office of Management and Budget'' and inserting ``Secretary 
     of Commerce'';
       (iv) in subsection (d)(8) by striking ``Director of the 
     Office of Management and Budget'' and inserting ``Secretary 
     of Commerce'';
       (v) in subsection (d)(8), by striking ``submitted to the 
     Director'' and inserting ``submitted to the Secretary'';
       (vi) in subsection (e)(2), by striking ``section 3532(1) of 
     such title'' and inserting ``section 3552 of title 44''; and
       (vii) in subsection (e)(5), by striking ``section 
     3532(b)(2) of such title'' and inserting ``section 3552 of 
     title 44''.
       (F) Section 8(d)(1) of the Cyber Security Research and 
     Development Act (15 U.S.C. 7406(d)(1)) is amended by striking 
     ``section 3534(b)'' and inserting ``section 3554(b)(2)''.

     SEC. 202. MANAGEMENT OF INFORMATION TECHNOLOGY.

       (a) In General.--Section 11331 of title 40, United States 
     Code, is amended to read as follows:

     ``Sec. 11331. Responsibilities for Federal information 
       systems standards

       ``(a) Standards and Guidelines.--
       ``(1) Authority to prescribe.--Except as provided under 
     paragraph (2), the Secretary of Commerce shall prescribe 
     standards and guidelines pertaining to Federal information 
     systems--
       ``(A) in consultation with the Secretary of Homeland 
     Security; and
       ``(B) on the basis of standards and guidelines developed by 
     the National Institute of Standards and Technology under 
     paragraphs (2) and (3) of section 20(a) of the National 
     Institute of Standards and Technology Act (15 U.S.C. 278g-
     3(a)(2) and (a)(3)).
       ``(2) National security systems.--Standards and guidelines 
     for national security systems shall be developed, prescribed, 
     enforced, and overseen as otherwise authorized by law and as 
     directed by the President.
       ``(b) Mandatory Standards and Guidelines.--
       ``(1) Authority to make mandatory standards and 
     guidelines.--The Secretary of Commerce shall make standards 
     and guidelines under subsection (a)(1) compulsory and binding 
     to the extent determined necessary by the Secretary of 
     Commerce to improve the efficiency of operation or security 
     of Federal information systems.
       ``(2) Required mandatory standards and guidelines.--
       ``(A) In general.--Standards and guidelines under 
     subsection (a)(1) shall include information security 
     standards that--
       ``(i) provide minimum information security requirements as 
     determined under section 20(b) of the National Institute of 
     Standards and Technology Act (15 U.S.C. 278g-3(b)); and
       ``(ii) are otherwise necessary to improve the security of 
     Federal information and information systems.
       ``(B) Binding effect.--Information security standards under 
     subparagraph (A) shall be compulsory and binding.
       ``(c) Exercise of Authority.--To ensure fiscal and policy 
     consistency, the Secretary of Commerce shall exercise the 
     authority conferred by this section subject to direction by 
     the President and in coordination with the Director.
       ``(d) Application of More Stringent Standards and 
     Guidelines.--The head of an executive agency may employ 
     standards for the cost-effective information security for 
     information systems within or under the supervision of that 
     agency that are more stringent than the standards and 
     guidelines the Secretary of Commerce prescribes under this 
     section if the more stringent standards and guidelines--
       ``(1) contain at least the applicable standards and 
     guidelines made compulsory and binding by the Secretary of 
     Commerce; and
       ``(2) are otherwise consistent with the policies, 
     directives, and implementation memoranda issued under section 
     3553(a) of title 44.
       ``(e) Decisions on Promulgation of Standards and 
     Guidelines.--The decision by the Secretary of Commerce 
     regarding the promulgation of any standard or guideline under 
     this section shall occur not later than 6 months after the 
     date of submission of the proposed standard to the Secretary 
     of Commerce by the National Institute of Standards and 
     Technology under section 20 of the National Institute of 
     Standards and Technology Act (15 U.S.C. 278g-3).
       ``(f) Notice and Comment.--A decision by the Secretary of 
     Commerce to significantly modify, or not promulgate, a 
     proposed standard submitted to the Secretary by the National 
     Institute of Standards and Technology under section 20 of the 
     National Institute of Standards and Technology Act (15 U.S.C. 
     278g-3) shall be made after the public is given an 
     opportunity to comment on the Secretary's proposed decision.
       ``(g) Definitions.--In this section:
       ``(1) Federal information system.--The term `Federal 
     information system' has the meaning given the term in section 
     3552 of title 44.
       ``(2) Information security.--The term `information 
     security' has the meaning given the term in section 3552 of 
     title 44.
       ``(3) National security system.--The term `national 
     security system' has the meaning given the term in section 
     3552 of title 44.''.

     SEC. 203. NO NEW FUNDING.

       An applicable Federal agency shall carry out the provisions 
     of this title with existing facilities and funds otherwise 
     available, through such means as the head of the agency 
     considers appropriate.

[[Page S5539]]

     SEC. 204. TECHNICAL AND CONFORMING AMENDMENTS.

       Section 21(b) of the National Institute of Standards and 
     Technology Act (15 U.S.C. 278g-4(b)) is amended--
       (1) in paragraph (2), by striking ``and the Director of the 
     Office of Management and Budget'' and inserting ``, the 
     Secretary of Commerce, and the Secretary of Homeland 
     Security''; and
       (2) in paragraph (3), by inserting ``, the Secretary of 
     Homeland Security,'' after ``the Secretary of Commerce''.

     SEC. 205. CLARIFICATION OF AUTHORITIES.

       Nothing in this title shall be construed to convey any new 
     regulatory authority to any government entity implementing or 
     complying with any provision of this title.

                     TITLE III--CRIMINAL PENALTIES

     SEC. 301. PENALTIES FOR FRAUD AND RELATED ACTIVITY IN 
                   CONNECTION WITH COMPUTERS.

       Section 1030(c) of title 18, United States Code, is amended 
     to read as follows:
       ``(c) The punishment for an offense under subsection (a) or 
     (b) of this section is--
       ``(1) a fine under this title or imprisonment for not more 
     than 20 years, or both, in the case of an offense under 
     subsection (a)(1) of this section;
       ``(2)(A) except as provided in subparagraph (B), a fine 
     under this title or imprisonment for not more than 3 years, 
     or both, in the case of an offense under subsection (a)(2); 
     or
       ``(B) a fine under this title or imprisonment for not more 
     than ten years, or both, in the case of an offense under 
     subsection (a)(2) of this section, if--
       ``(i) the offense was committed for purposes of commercial 
     advantage or private financial gain;
       ``(ii) the offense was committed in the furtherance of any 
     criminal or tortious act in violation of the Constitution or 
     laws of the United States, or of any State; or
       ``(iii) the value of the information obtained, or that 
     would have been obtained if the offense was completed, 
     exceeds $5,000;
       ``(3) a fine under this title or imprisonment for not more 
     than 10 years, or both, in the case of an offense under 
     subsection (a)(3) of this section;
       ``(4) a fine under this title or imprisonment of not more 
     than 20 years, or both, in the case of an offense under 
     subsection (a)(4) of this section;
       ``(5)(A) except as provided in subparagraph (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) of 
     this section, if the offense 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;
       ``(v) damage affecting a computer used by, or on behalf of, 
     an entity of the United States Government in furtherance of 
     the administration of justice, national defense, or national 
     security; or
       ``(vi) damage affecting 10 or more protected computers 
     during any 1-year period;
       ``(B) a fine under this title, imprisonment for not more 
     than 20 years, or both, in the case of an offense under 
     subsection (a)(5)(B), if the offense caused a harm provided 
     in clause (i) through (vi) of subparagraph (A) of this 
     subsection;
       ``(C) if the offender attempts to cause or knowingly or 
     recklessly causes death from conduct in violation of 
     subsection (a)(5)(A), a fine under this title, imprisonment 
     for any term of years or for life, or both;
       ``(D) a fine under this title, imprisonment for not more 
     than 10 years, or both, for any other offense under 
     subsection (a)(5);
       ``(E) a fine under this title or imprisonment for not more 
     than 10 years, or both, in the case of an offense under 
     subsection (a)(6) of this section; or
       ``(F) a fine under this title or imprisonment for not more 
     than 10 years, or both, in the case of an offense under 
     subsection (a)(7) of this section.''.

     SEC. 302. TRAFFICKING IN PASSWORDS.

       Section 1030(a)(6) of title 18, United States Code, is 
     amended to read as follows:
       ``(6) knowingly and with intent to defraud traffics (as 
     defined in section 1029) in any password or similar 
     information or means of access through which a protected 
     computer (as defined in subparagraphs (A) and (B) of 
     subsection (e)(2)) may be accessed without authorization.''.

     SEC. 303. CONSPIRACY AND ATTEMPTED COMPUTER FRAUD OFFENSES.

       Section 1030(b) of title 18, United States Code, is amended 
     by inserting ``as if for the completed offense'' after 
     ``punished as provided''.

     SEC. 304. CRIMINAL AND CIVIL FORFEITURE FOR FRAUD AND RELATED 
                   ACTIVITY IN CONNECTION WITH COMPUTERS.

       Section 1030 of title 18, United States Code, is amended by 
     striking subsections (i) and (j) and inserting the following:
       ``(i) Criminal Forfeiture.--
       ``(1) The court, in imposing sentence on any person 
     convicted of a violation of this section, or convicted of 
     conspiracy to violate this section, shall order, in addition 
     to any other sentence imposed and irrespective of any 
     provision of State law, that such person forfeit to the 
     United States--
       ``(A) such persons interest in any property, real or 
     personal, that was used, or intended to be used, to commit or 
     facilitate the commission of such violation; and
       ``(B) any property, real or personal, constituting or 
     derived from any gross proceeds, or any property traceable to 
     such property, that such person obtained, directly or 
     indirectly, as a result of such violation.
       ``(2) The criminal forfeiture of property under this 
     subsection, including any seizure and disposition of the 
     property, and any related judicial or administrative 
     proceeding, shall be governed by the provisions of section 
     413 of the Comprehensive Drug Abuse Prevention and Control 
     Act of 1970 (21 U.S.C. 853), except subsection (d) of that 
     section.
       ``(j) Civil Forfeiture.--
       ``(1) The following shall be subject to forfeiture to the 
     United States and no property right, real or personal, shall 
     exist in them:
       ``(A) Any property, real or personal, that was used, or 
     intended to be used, to commit or facilitate the commission 
     of any violation of this section, or a conspiracy to violate 
     this section.
       ``(B) Any property, real or personal, constituting or 
     derived from any gross proceeds obtained directly or 
     indirectly, or any property traceable to such property, as a 
     result of the commission of any violation of this section, or 
     a conspiracy to violate this section.
       ``(2) Seizures and forfeitures under this subsection shall 
     be governed by the provisions in chapter 46 relating to civil 
     forfeitures, except that such duties as are imposed on the 
     Secretary of the Treasury under the customs laws described in 
     section 981(d) shall be performed by such officers, agents 
     and other persons as may be designated for that purpose by 
     the Secretary of Homeland Security or the Attorney 
     General.''.

     SEC. 305. DAMAGE TO CRITICAL INFRASTRUCTURE COMPUTERS.

       (a) In General.--Chapter 47 of title 18, United States 
     Code, is amended by inserting after section 1030 the 
     following:

     ``Sec. 1030A. Aggravated damage to a critical infrastructure 
       computer

       ``(a) Definitions.--In this section--
       ``(1) the term `computer' has the meaning given the term in 
     section 1030;
       ``(2) the term `critical infrastructure computer' means a 
     computer that manages or controls systems or assets vital to 
     national defense, national security, national economic 
     security, public health or safety, or any combination of 
     those matters, whether publicly or privately owned or 
     operated, including--
       ``(A) oil and gas production, storage, conversion, and 
     delivery systems;
       ``(B) water supply systems;
       ``(C) telecommunication networks;
       ``(D) electrical power generation and delivery systems;
       ``(E) finance and banking systems;
       ``(F) emergency services;
       ``(G) transportation systems and services; and
       ``(H) government operations that provide essential services 
     to the public; and
       ``(3) the term `damage' has the meaning given the term in 
     section 1030.
       ``(b) Offense.--It shall be unlawful, during and in 
     relation to a felony violation of section 1030, to knowingly 
     cause or attempt to cause damage to a critical infrastructure 
     computer if the damage results in (or, in the case of an 
     attempt, if completed, would have resulted in) the 
     substantial impairment--
       ``(1) of the operation of the critical infrastructure 
     computer; or
       ``(2) of the critical infrastructure associated with the 
     computer.
       ``(c) Penalty.--Any person who violates subsection (b) 
     shall be--
       ``(1) fined under this title;
       ``(2) imprisoned for not less than 3 years but not more 
     than 20 years; or
       ``(3) penalized under paragraphs (1) and (2).
       ``(d) Consecutive Sentence.--Notwithstanding any other 
     provision of law--
       ``(1) a court shall not place on probation any person 
     convicted of a violation of this section;
       ``(2) except as provided in paragraph (4), no term of 
     imprisonment imposed on a person under this section shall run 
     concurrently with any other term of imprisonment, including 
     any term of imprisonment imposed on the person under any 
     other provision of law, including any term of imprisonment 
     imposed for a felony violation of section 1030;
       ``(3) in determining any term of imprisonment to be imposed 
     for a felony violation of section 1030, a court shall not in 
     any way reduce the term to be imposed for such crime so as to 
     compensate for, or otherwise take into account, any separate 
     term of imprisonment imposed or to be imposed for a violation 
     of this section; and
       ``(4) a term of imprisonment imposed on a person for a 
     violation of this section may, in the discretion of the 
     court, run concurrently, in whole or in part, only with 
     another term of imprisonment that is imposed by the court at 
     the same time on that person for an additional violation of 
     this section, provided that such discretion shall be 
     exercised in accordance with any applicable guidelines and 
     policy statements issued by the United States Sentencing 
     Commission pursuant to section 994 of title 28.''.
       (b) Technical and Conforming Amendment.--The chapter 
     analysis for chapter 47 of title 18, United States Code, is 
     amended by inserting after the item relating to section 1030 
     the following:


[[Page S5540]]


``1030A. Aggravated damage to a critical infrastructure computer.''.

     SEC. 306. LIMITATION ON ACTIONS INVOLVING UNAUTHORIZED USE.

       Section 1030(e)(6) of title 18, United States Code, is 
     amended by striking ``alter;'' and inserting ``alter, but 
     does not include access in violation of a contractual 
     obligation or agreement, such as an acceptable use policy or 
     terms of service agreement, with an Internet service 
     provider, Internet website, or non-government employer, if 
     such violation constitutes the sole basis for determining 
     that access to a protected computer is unauthorized;''.

     SEC. 307. NO NEW FUNDING.

       An applicable Federal agency shall carry out the provisions 
     of this title with existing facilities and funds otherwise 
     available, through such means as the head of the agency 
     considers appropriate.

            TITLE IV--CYBERSECURITY RESEARCH AND DEVELOPMENT

     SEC. 401. NATIONAL HIGH-PERFORMANCE COMPUTING PROGRAM 
                   PLANNING AND COORDINATION.

       (a) Goals and Priorities.--Section 101 of the High-
     Performance Computing Act of 1991 (15 U.S.C. 5511) is amended 
     by adding at the end the following:
       ``(d) Goals and Priorities.--The goals and priorities for 
     Federal high-performance computing research, development, 
     networking, and other activities under subsection (a)(2)(A) 
     shall include--
       ``(1) encouraging and supporting mechanisms for 
     interdisciplinary research and development in networking and 
     information technology, including--
       ``(A) through collaborations across agencies;
       ``(B) through collaborations across Program Component 
     Areas;
       ``(C) through collaborations with industry;
       ``(D) through collaborations with institutions of higher 
     education;
       ``(E) through collaborations with Federal laboratories (as 
     defined in section 4 of the Stevenson-Wydler Technology 
     Innovation Act of 1980 (15 U.S.C. 3703)); and
       ``(F) through collaborations with international 
     organizations;
       ``(2) addressing national, multi-agency, multi-faceted 
     challenges of national importance; and
       ``(3) fostering the transfer of research and development 
     results into new technologies and applications for the 
     benefit of society.''.
       (b) Development of Strategic Plan.--Section 101 of the 
     High-Performance Computing Act of 1991 (15 U.S.C. 5511) is 
     amended by adding at the end the following:
       ``(e) Strategic Plan.--
       ``(1) In general.--Not later than 1 year after the date of 
     enactment of the Strengthening and Enhancing Cybersecurity by 
     Using Research, Education, Information, and Technology Act of 
     2012, the agencies under subsection (a)(3)(B), working 
     through the National Science and Technology Council and with 
     the assistance of the Office of Science and Technology Policy 
     shall develop a 5-year strategic plan to guide the activities 
     under subsection (a)(1).
       ``(2) Contents.--The strategic plan shall specify--
       ``(A) the near-term objectives for the Program;
       ``(B) the long-term objectives for the Program;
       ``(C) the anticipated time frame for achieving the near-
     term objectives;
       ``(D) the metrics that will be used to assess any progress 
     made toward achieving the near-term objectives and the long-
     term objectives; and
       ``(E) how the Program will achieve the goals and priorities 
     under subsection (d).
       ``(3) Implementation roadmap.--
       ``(A) In general.--The agencies under subsection (a)(3)(B) 
     shall develop and annually update an implementation roadmap 
     for the strategic plan.
       ``(B) Requirements.--The information in the implementation 
     roadmap shall be coordinated with the database under section 
     102(c) and the annual report under section 101(a)(3). The 
     implementation roadmap shall--
       ``(i) specify the role of each Federal agency in carrying 
     out or sponsoring research and development to meet the 
     research objectives of the strategic plan, including a 
     description of how progress toward the research objectives 
     will be evaluated, with consideration of any relevant 
     recommendations of the advisory committee;
       ``(ii) specify the funding allocated to each major research 
     objective of the strategic plan and the source of funding by 
     agency for the current fiscal year; and
       ``(iii) estimate the funding required for each major 
     research objective of the strategic plan for the next 3 
     fiscal years.
       ``(4) Recommendations.--The agencies under subsection 
     (a)(3)(B) shall take into consideration when developing the 
     strategic plan under paragraph (1) the recommendations of--
       ``(A) the advisory committee under subsection (b); and
       ``(B) the stakeholders under section 102(a)(3).
       ``(5) Report to congress.--The Director of the Office of 
     Science and Technology Policy shall transmit the strategic 
     plan under this subsection, including the implementation 
     roadmap and any updates under paragraph (3), to--
       ``(A) the advisory committee under subsection (b);
       ``(B) the Committee on Commerce, Science, and 
     Transportation of the Senate; and
       ``(C) the Committee on Science and Technology of the House 
     of Representatives.''.
       (c) Periodic Reviews.--Section 101 of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5511) is amended by adding 
     at the end the following:
       ``(f) Periodic Reviews.--The agencies under subsection 
     (a)(3)(B) shall--
       ``(1) periodically assess the contents and funding levels 
     of the Program Component Areas and restructure the Program 
     when warranted, taking into consideration any relevant 
     recommendations of the advisory committee under subsection 
     (b); and
       ``(2) ensure that the Program includes national, multi-
     agency, multi-faceted research and development activities, 
     including activities described in section 104.''.
       (d) Additional Responsibilities of Director.--Section 
     101(a)(2) of the High-Performance Computing Act of 1991 (15 
     U.S.C. 5511(a)(2)) is amended--
       (1) by redesignating subparagraphs (E) and (F) as 
     subparagraphs (G) and (H), respectively; and
       (2) by inserting after subparagraph (D) the following:
       ``(E) encourage and monitor the efforts of the agencies 
     participating in the Program to allocate the level of 
     resources and management attention necessary--
       ``(i) to ensure that the strategic plan under subsection 
     (e) is developed and executed effectively; and
       ``(ii) to ensure that the objectives of the Program are 
     met;
       ``(F) working with the Office of Management and Budget and 
     in coordination with the creation of the database under 
     section 102(c), direct the Office of Science and Technology 
     Policy and the agencies participating in the Program to 
     establish a mechanism (consistent with existing law) to track 
     all ongoing and completed research and development projects 
     and associated funding;''.
       (e) Advisory Committee.--Section 101(b) of the High-
     Performance Computing Act of 1991 (15 U.S.C. 5511(b)) is 
     amended--
       (1) in paragraph (1)--
       (A) by inserting after the first sentence the following: 
     ``The co-chairs of the advisory committee shall meet the 
     qualifications of committee members and may be members of the 
     Presidents Council of Advisors on Science and Technology.''; 
     and
       (B) by striking ``high-performance'' in subparagraph (D) 
     and inserting ``high-end''; and
       (2) by amending paragraph (2) to read as follows:
       ``(2) In addition to the duties under paragraph (1), the 
     advisory committee shall conduct periodic evaluations of the 
     funding, management, coordination, implementation, and 
     activities of the Program. The advisory committee shall 
     report its findings and recommendations not less frequently 
     than once every 3 fiscal years to the Committee on Commerce, 
     Science, and Transportation of the Senate and the Committee 
     on Science and Technology of the House of Representatives. 
     The report shall be submitted in conjunction with the update 
     of the strategic plan.''.
       (f) Report.--Section 101(a)(3) of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5511(a)(3)) is amended--
       (1) in subparagraph (C)--
       (A) by striking ``is submitted,'' and inserting ``is 
     submitted, the levels for the previous fiscal year,''; and
       (B) by striking ``each Program Component Area'' and 
     inserting ``each Program Component Area and each research 
     area supported in accordance with section 104'';
       (2) in subparagraph (D)--
       (A) by striking ``each Program Component Area,'' and 
     inserting ``each Program Component Area and each research 
     area supported in accordance with section 104,'';
       (B) by striking ``is submitted,'' and inserting ``is 
     submitted, the levels for the previous fiscal year,''; and
       (C) by striking ``and'' after the semicolon;
       (3) by redesignating subparagraph (E) as subparagraph (G); 
     and
       (4) by inserting after subparagraph (D) the following:
       ``(E) include a description of how the objectives for each 
     Program Component Area, and the objectives for activities 
     that involve multiple Program Component Areas, relate to the 
     objectives of the Program identified in the strategic plan 
     under subsection (e);
       ``(F) include--
       ``(i) a description of the funding required by the Office 
     of Science and Technology Policy to perform the functions 
     under subsections (a) and (c) of section 102 for the next 
     fiscal year by category of activity;
       ``(ii) a description of the funding required by the Office 
     of Science and Technology Policy to perform the functions 
     under subsections (a) and (c) of section 102 for the current 
     fiscal year by category of activity; and
       ``(iii) the amount of funding provided for the Office of 
     Science and Technology Policy for the current fiscal year by 
     each agency participating in the Program; and''.
       (g) Definitions.--Section 4 of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5503) is amended--
       (1) by redesignating paragraphs (1) and (2) as paragraphs 
     (2) and (3), respectively;
       (2) by redesignating paragraph (3) as paragraph (6);
       (3) by redesignating paragraphs (6) and (7) as paragraphs 
     (7) and (8), respectively;
       (4) by inserting before paragraph (2), as redesignated, the 
     following:
       ``(1) `cyber-physical systems' means physical or engineered 
     systems whose networking

[[Page S5541]]

     and information technology functions and physical elements 
     are deeply integrated and are actively connected to the 
     physical world through sensors, actuators, or other means to 
     perform monitoring and control functions;'';
       (5) in paragraph (3), as redesignated, by striking ``high-
     performance computing'' and inserting ``networking and 
     information technology'';
       (6) in paragraph (6), as redesignated--
       (A) by striking ``high-performance computing'' and 
     inserting ``networking and information technology''; and
       (B) by striking ``supercomputer'' and inserting ``high-end 
     computing'';
       (7) in paragraph (5), by striking ``network referred to 
     as'' and all that follows through the semicolon and inserting 
     ``network, including advanced computer networks of Federal 
     agencies and departments''; and
       (8) in paragraph (7), as redesignated, by striking 
     ``National High-Performance Computing Program'' and inserting 
     ``networking and information technology research and 
     development program''.

     SEC. 402. RESEARCH IN AREAS OF NATIONAL IMPORTANCE.

       (a) Research in Areas of National Importance.--Title I of 
     the High-Performance Computing Act of 1991 (15 U.S.C. 5511 et 
     seq.) is amended by adding at the end the following:

     ``SEC. 104. RESEARCH IN AREAS OF NATIONAL IMPORTANCE.

       ``(a) In General.--The Program shall encourage agencies 
     under section 101(a)(3)(B) to support, maintain, and improve 
     national, multi-agency, multi-faceted, research and 
     development activities in networking and information 
     technology directed toward application areas that have the 
     potential for significant contributions to national economic 
     competitiveness and for other significant societal benefits.
       ``(b) Technical Solutions.--An activity under subsection 
     (a) shall be designed to advance the development of research 
     discoveries by demonstrating technical solutions to important 
     problems in areas including--
       ``(1) cybersecurity;
       ``(2) health care;
       ``(3) energy management and low-power systems and devices;
       ``(4) transportation, including surface and air 
     transportation;
       ``(5) cyber-physical systems;
       ``(6) large-scale data analysis and modeling of physical 
     phenomena;
       ``(7) large scale data analysis and modeling of behavioral 
     phenomena;
       ``(8) supply chain quality and security; and
       ``(9) privacy protection and protected disclosure of 
     confidential data.
       ``(c) Recommendations.--The advisory committee under 
     section 101(b) shall make recommendations to the Program for 
     candidate research and development areas for support under 
     this section.
       ``(d) Characteristics.--
       ``(1) In general.--Research and development activities 
     under this section--
       ``(A) shall include projects selected on the basis of 
     applications for support through a competitive, merit-based 
     process;
       ``(B) shall leverage, when possible, Federal investments 
     through collaboration with related State initiatives;
       ``(C) shall include a plan for fostering the transfer of 
     research discoveries and the results of technology 
     demonstration activities, including from institutions of 
     higher education and Federal laboratories, to industry for 
     commercial development;
       ``(D) shall involve collaborations among researchers in 
     institutions of higher education and industry; and
       ``(E) may involve collaborations among nonprofit research 
     institutions and Federal laboratories, as appropriate.
       ``(2) Cost-sharing.--In selecting applications for support, 
     the agencies under section 101(a)(3)(B) shall give special 
     consideration to projects that include cost sharing from non-
     Federal sources.
       ``(3) Multidisciplinary research centers.--Research and 
     development activities under this section shall be supported 
     through multidisciplinary research centers, including Federal 
     laboratories, that are organized to investigate basic 
     research questions and carry out technology demonstration 
     activities in areas described in subsection (a). Research may 
     be carried out through existing multidisciplinary centers, 
     including those authorized under section 7024(b)(2) of the 
     America COMPETES Act (42 U.S.C. 1862o-10(2)).''.
       (b) Cyber-Physical Systems.--Section 101(a)(1) of the High-
     Performance Computing Act of 1991 (15 U.S.C. 5511(a)(1)) is 
     amended--
       (1) in subparagraph (H), by striking ``and'' after the 
     semicolon;
       (2) in subparagraph (I), by striking the period at the end 
     and inserting a semicolon; and
       (3) by adding at the end the following:
       ``(J) provide for increased understanding of the scientific 
     principles of cyber-physical systems and improve the methods 
     available for the design, development, and operation of 
     cyber-physical systems that are characterized by high 
     reliability, safety, and security; and
       ``(K) provide for research and development on human-
     computer interactions, visualization, and big data.''.
       (c) Task Force.--Title I of the High-Performance Computing 
     Act of 1991 (15 U.S.C. 5511 et seq.), as amended by section 
     402(a) of this Act, is amended by adding at the end the 
     following:

     ``SEC. 105. TASK FORCE.

       ``(a) Establishment.--Not later than 180 days after the 
     date of enactment the Strengthening and Enhancing 
     Cybersecurity by Using Research, Education, Information, and 
     Technology Act of 2012, the Director of the Office of Science 
     and Technology Policy under section 102 shall convene a task 
     force to explore mechanisms for carrying out collaborative 
     research and development activities for cyber-physical 
     systems (including the related technologies required to 
     enable these systems) through a consortium or other 
     appropriate entity with participants from institutions of 
     higher education, Federal laboratories, and industry.
       ``(b) Functions.--The task force shall--
       ``(1) develop options for a collaborative model and an 
     organizational structure for such entity under which the 
     joint research and development activities could be planned, 
     managed, and conducted effectively, including mechanisms for 
     the allocation of resources among the participants in such 
     entity for support of such activities;
       ``(2) propose a process for developing a research and 
     development agenda for such entity, including guidelines to 
     ensure an appropriate scope of work focused on nationally 
     significant challenges and requiring collaboration and to 
     ensure the development of related scientific and 
     technological milestones;
       ``(3) define the roles and responsibilities for the 
     participants from institutions of higher education, Federal 
     laboratories, and industry in such entity;
       ``(4) propose guidelines for assigning intellectual 
     property rights and for transferring research results to the 
     private sector; and
       ``(5) make recommendations for how such entity could be 
     funded from Federal, State, and non-governmental sources.
       ``(c) Composition.--In establishing the task force under 
     subsection (a), the Director of the Office of Science and 
     Technology Policy shall appoint an equal number of 
     individuals from institutions of higher education and from 
     industry with knowledge and expertise in cyber-physical 
     systems, and may appoint not more than 2 individuals from 
     Federal laboratories.
       ``(d) Report.--Not later than 1 year after the date of 
     enactment of the Strengthening and Enhancing Cybersecurity by 
     Using Research, Education, Information, and Technology Act of 
     2012, the Director of the Office of Science and Technology 
     Policy shall transmit to the Committee on Commerce, Science, 
     and Transportation of the Senate and the Committee on Science 
     and Technology of the House of Representatives a report 
     describing the findings and recommendations of the task 
     force.
       ``(e) Termination.--The task force shall terminate upon 
     transmittal of the report required under subsection (d).
       ``(f) Compensation and Expenses.--Members of the task force 
     shall serve without compensation.''.

     SEC. 403. PROGRAM IMPROVEMENTS.

       Section 102 of the High-Performance Computing Act of 1991 
     (15 U.S.C. 5512) is amended to read as follows:

     ``SEC. 102. PROGRAM IMPROVEMENTS.

       ``(a) Functions.--The Director of the Office of Science and 
     Technology Policy shall continue--
       ``(1) to provide technical and administrative support to--
       ``(A) the agencies participating in planning and 
     implementing the Program, including support needed to develop 
     the strategic plan under section 101(e); and
       ``(B) the advisory committee under section 101(b);
       ``(2) to serve as the primary point of contact on Federal 
     networking and information technology activities for 
     government agencies, academia, industry, professional 
     societies, State computing and networking technology 
     programs, interested citizen groups, and others to exchange 
     technical and programmatic information;
       ``(3) to solicit input and recommendations from a wide 
     range of stakeholders during the development of each 
     strategic plan under section 101(e) by convening at least 1 
     workshop with invitees from academia, industry, Federal 
     laboratories, and other relevant organizations and 
     institutions;
       ``(4) to conduct public outreach, including the 
     dissemination of the advisory committee's findings and 
     recommendations, as appropriate;
       ``(5) to promote access to and early application of the 
     technologies, innovations, and expertise derived from Program 
     activities to agency missions and systems across the Federal 
     Government and to United States industry;
       ``(6) to ensure accurate and detailed budget reporting of 
     networking and information technology research and 
     development investment; and
       ``(7) to encourage agencies participating in the Program to 
     use existing programs and resources to strengthen networking 
     and information technology education and training, and 
     increase participation in such fields, including by women and 
     underrepresented minorities.
       ``(b) Source of Funding.--
       ``(1) In general.--The functions under this section shall 
     be supported by funds from each agency participating in the 
     Program.
       ``(2) Specifications.--The portion of the total budget of 
     the Office of Science and Technology Policy that is provided 
     by each agency participating in the Program for each

[[Page S5542]]

     fiscal year shall be in the same proportion as each agency's 
     share of the total budget for the Program for the previous 
     fiscal year, as specified in the database under section 
     102(c).
       ``(c) Database.--
       ``(1) In general.--The Director of the Office of Science 
     and Technology Policy shall develop and maintain a database 
     of projects funded by each agency for the fiscal year for 
     each Program Component Area.
       ``(2) Public accessibility.--The Director of the Office of 
     Science and Technology Policy shall make the database 
     accessible to the public.
       ``(3) Database contents.--The database shall include, for 
     each project in the database--
       ``(A) a description of the project;
       ``(B) each agency, industry, institution of higher 
     education, Federal laboratory, or international institution 
     involved in the project;
       ``(C) the source funding of the project (set forth by 
     agency);
       ``(D) the funding history of the project; and
       ``(E) whether the project has been completed.''.

     SEC. 404. IMPROVING EDUCATION OF NETWORKING AND INFORMATION 
                   TECHNOLOGY, INCLUDING HIGH PERFORMANCE 
                   COMPUTING.

       Section 201(a) of the High-Performance Computing Act of 
     1991 (15 U.S.C. 5521(a)) is amended--
       (1) by redesignating paragraphs (2) through (4) as 
     paragraphs (3) through (5), respectively; and
       (2) by inserting after paragraph (1) the following:
       ``(2) the National Science Foundation shall use its 
     existing programs, in collaboration with other agencies, as 
     appropriate, to improve the teaching and learning of 
     networking and information technology at all levels of 
     education and to increase participation in networking and 
     information technology fields;''.

     SEC. 405. CONFORMING AND TECHNICAL AMENDMENTS TO THE HIGH-
                   PERFORMANCE COMPUTING ACT OF 1991.

       (a) Section 3.--Section 3 of the High-Performance Computing 
     Act of 1991 (15 U.S.C. 5502) is amended--
       (1) in the matter preceding paragraph (1), by striking 
     ``high-performance computing'' and inserting ``networking and 
     information technology'';
       (2) in paragraph (1)--
       (A) in the matter preceding subparagraph (A), by striking 
     ``high-performance computing'' and inserting ``networking and 
     information technology'';
       (B) in subparagraphs (A), (F), and (G), by striking ``high-
     performance computing'' each place it appears and inserting 
     ``networking and information technology''; and
       (C) in subparagraph (H), by striking ``high-performance'' 
     and inserting ``high-end''; and
       (3) in paragraph (2)--
       (A) by striking ``high-performance computing and'' and 
     inserting ``networking and information technology, and''; and
       (B) by striking ``high-performance computing network'' and 
     inserting ``networking and information technology''.
       (b) Title Heading.--The heading of title I of the High-
     Performance Computing Act of 1991 (105 Stat. 1595) is amended 
     by striking ``HIGH-PERFORMANCE COMPUTING'' and inserting 
     ``NETWORKING AND INFORMATION TECHNOLOGY''.
       (c) Section 101.--Section 101 of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5511) is amended--
       (1) in the section heading, by striking ``high-performance 
     computing'' and inserting ``networking and information 
     technology research and development'';
       (2) in subsection (a)--
       (A) in the subsection heading, by striking ``National High-
     Performance Computing'' and inserting ``Networking and 
     Information Technology Research and Development'';
       (B) in paragraph (1)--
       (i) by striking ``National High-Performance Computing 
     Program'' and inserting ``networking and information 
     technology research and development program'';
       (ii) in subparagraph (A), by striking ``high-performance 
     computing, including networking'' and inserting ``networking 
     and information technology'';
       (iii) in subparagraphs (B) and (G), by striking ``high-
     performance'' each place it appears and inserting ``high-
     end''; and
       (iv) in subparagraph (C), by striking ``high-performance 
     computing and networking'' and inserting ``high-end 
     computing, distributed, and networking''; and
       (C) in paragraph (2)--
       (i) in subparagraphs (A) and (C)--

       (I) by striking ``high-performance computing'' each place 
     it appears and inserting ``networking and information 
     technology''; and
       (II) by striking ``development, networking,'' each place it 
     appears and inserting ``development,''; and

       (ii) in subparagraphs (G) and (H), as redesignated by 
     section 401(d) of this Act, by striking ``high-performance'' 
     each place it appears and inserting ``high-end'';
       (3) in subsection (b)(1), in the matter preceding 
     subparagraph (A), by striking ``high-performance computing'' 
     each place it appears and inserting ``networking and 
     information technology''; and
       (4) in subsection (c)(1)(A), by striking ``high-performance 
     computing'' and inserting ``networking and information 
     technology''.
       (d) Section 201.--Section 201(a)(1) of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5521(a)(1)) is amended by 
     striking ``high-performance computing and advanced high-speed 
     computer networking'' and inserting ``networking and 
     information technology research and development''.
       (e) Section 202.--Section 202(a) of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5522(a)) is amended by 
     striking ``high-performance computing'' and inserting 
     ``networking and information technology''.
       (f) Section 203.--Section 203(a) of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5523(a)) is amended--
       (1) in paragraph (1), by striking ``high-performance 
     computing and networking'' and inserting ``networking and 
     information technology''; and
       (2) in paragraph (2)(A), by striking ``high-performance'' 
     and inserting ``high-end''.
       (g) Section 204.--Section 204 of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5524) is amended--
       (1) in subsection (a)(1)--
       (A) in subparagraph (A), by striking ``high-performance 
     computing systems and networks'' and inserting ``networking 
     and information technology systems and capabilities'';
       (B) in subparagraph (B), by striking ``interoperability of 
     high-performance computing systems in networks and for common 
     user interfaces to systems'' and inserting ``interoperability 
     and usability of networking and information technology 
     systems''; and
       (C) in subparagraph (C), by striking ``high-performance 
     computing'' and inserting ``networking and information 
     technology''; and
       (2) in subsection (b)--
       (A) by striking ``High-Performance Computing and Network'' 
     in the heading and inserting ``Networking and Information 
     Technology''; and
       (B) by striking ``sensitive''.
       (h) Section 205.--Section 205(a) of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5525(a)) is amended by 
     striking ``computational'' and inserting ``networking and 
     information technology''.
       (i) Section 206.--Section 206(a) of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5526(a)) is amended by 
     striking ``computational research'' and inserting 
     ``networking and information technology research''.
       (j) Section 207.--Section 207 of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5527) is amended by striking 
     ``high-performance computing'' and inserting ``networking and 
     information technology''.
       (k) Section 208.--Section 208 of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5528) is amended--
       (1) in the section heading, by striking ``high-performance 
     computing'' and inserting ``networking and information 
     technology''; and
       (2) in subsection (a)--
       (A) in paragraph (1), by striking ``High-performance 
     computing and associated'' and inserting ``Networking and 
     information'';
       (B) in paragraph (2), by striking ``high-performance 
     computing'' and inserting ``networking and information 
     technologies'';
       (C) in paragraph (3), by striking ``high-performance'' and 
     inserting ``high-end'';
       (D) in paragraph (4), by striking ``high-performance 
     computers and associated'' and inserting ``networking and 
     information''; and
       (E) in paragraph (5), by striking ``high-performance 
     computing and associated'' and inserting ``networking and 
     information''.

     SEC. 406. FEDERAL CYBER SCHOLARSHIP-FOR-SERVICE PROGRAM.

       (a) In General.--The Director of the National Science 
     Foundation, in coordination with the Secretary of Homeland 
     Security, shall carry out a Federal cyber scholarship-for-
     service program to recruit and train the next generation of 
     information technology professionals and security managers to 
     meet the needs of the cybersecurity mission for the Federal 
     government.
       (b) Program Description and Components.--The program 
     shall--
       (1) annually assess the workforce needs of the Federal 
     government for cybersecurity professionals, including network 
     engineers, software engineers, and other experts in order to 
     determine how many scholarships should be awarded annually to 
     ensure that the workforce needs following graduation match 
     the number of scholarships awarded;
       (2) provide scholarships for up to 1,000 students per year 
     in their pursuit of undergraduate or graduate degrees in the 
     cybersecurity field, in an amount that may include coverage 
     for full tuition, fees, and a stipend;
       (3) require each scholarship recipient, as a condition of 
     receiving a scholarship under the program, to serve in a 
     Federal information technology workforce for a period equal 
     to one and one-half times each year, or partial year, of 
     scholarship received, in addition to an internship in the 
     cybersecurity field, if applicable, following graduation;
       (4) provide a procedure for the National Science Foundation 
     or a Federal agency, consistent with regulations of the 
     Office of Personnel Management, to request and fund a 
     security clearance for a scholarship recipient, including 
     providing for clearance during a summer internship and upon 
     graduation; and
       (5) provide opportunities for students to receive temporary 
     appointments for meaningful employment in the Federal 
     information technology workforce during school vacation 
     periods and for internships.
       (c) Hiring Authority.--
       (1) In general.--For purposes of any law or regulation 
     governing the appointment of an

[[Page S5543]]

     individual in the Federal civil service, upon the successful 
     completion of the student's studies, a student receiving a 
     scholarship under the program may--
       (A) be hired under section 213.3102(r) of title 5, Code of 
     Federal Regulations; and
       (B) be exempt from competitive service.
       (2) Competitive service.--Upon satisfactory fulfillment of 
     the service term under paragraph (1), an individual may be 
     converted to a competitive service position without 
     competition if the individual meets the requirements for that 
     position.
       (d) Eligibility.--The eligibility requirements for a 
     scholarship under this section shall include that a 
     scholarship applicant--
       (1) be a citizen of the United States;
       (2) be eligible to be granted a security clearance;
       (3) maintain a grade point average of 3.2 or above on a 4.0 
     scale for undergraduate study or a 3.5 or above on a 4.0 
     scale for postgraduate study;
       (4) demonstrate a commitment to a career in improving the 
     security of the information infrastructure; and
       (5) has demonstrated a level of proficiency in math or 
     computer sciences.
       (e) Failure to Complete Service Obligation.--
       (1) In general.--A scholarship recipient under this section 
     shall be liable to the United States under paragraph (2) if 
     the scholarship recipient--
       (A) fails to maintain an acceptable level of academic 
     standing in the educational institution in which the 
     individual is enrolled, as determined by the Director;
       (B) is dismissed from such educational institution for 
     disciplinary reasons;
       (C) withdraws from the program for which the award was made 
     before the completion of such program;
       (D) declares that the individual does not intend to fulfill 
     the service obligation under this section;
       (E) fails to fulfill the service obligation of the 
     individual under this section; or
       (F) loses a security clearance or becomes ineligible for a 
     security clearance.
       (2) Repayment amounts.--
       (A) Less than 1 year of service.--If a circumstance under 
     paragraph (1) occurs before the completion of 1 year of a 
     service obligation under this section, the total amount of 
     awards received by the individual under this section shall be 
     repaid.
       (B) One or more years of service.--If a circumstance 
     described in subparagraph (D) or (E) of paragraph (1) occurs 
     after the completion of 1 year of a service obligation under 
     this section, the total amount of scholarship awards received 
     by the individual under this section, reduced by the ratio of 
     the number of years of service completed divided by the 
     number of years of service required, shall be repaid.
       (f) Evaluation and Report.--The Director of the National 
     Science Foundation shall--
       (1) evaluate the success of recruiting individuals for 
     scholarships under this section and of hiring and retaining 
     those individuals in the public sector workforce, including 
     the annual cost and an assessment of how the program actually 
     improves the Federal workforce; and
       (2) periodically report the findings under paragraph (1) to 
     Congress.
       (g) Authorization of Appropriations.--From amounts made 
     available under section 503 of the America COMPETES 
     Reauthorization Act of 2010 (124 Stat. 4005), the Secretary 
     may use funds to carry out the requirements of this section 
     for fiscal years 2012 through 2013.

     SEC. 407. STUDY AND ANALYSIS OF CERTIFICATION AND TRAINING OF 
                   INFORMATION INFRASTRUCTURE PROFESSIONALS.

       (a) Study.--The President shall enter into an agreement 
     with the National Academies to conduct a comprehensive study 
     of government, academic, and private-sector accreditation, 
     training, and certification programs for personnel working in 
     information infrastructure. The agreement shall require the 
     National Academies to consult with sector coordinating 
     councils and relevant governmental agencies, regulatory 
     entities, and nongovernmental organizations in the course of 
     the study.
       (b) Scope.--The study shall include--
       (1) an evaluation of the body of knowledge and various 
     skills that specific categories of personnel working in 
     information infrastructure should possess in order to secure 
     information systems;
       (2) an assessment of whether existing government, academic, 
     and private-sector accreditation, training, and certification 
     programs provide the body of knowledge and various skills 
     described in paragraph (1);
       (3) an analysis of any barriers to the Federal Government 
     recruiting and hiring cybersecurity talent, including 
     barriers relating to compensation, the hiring process, job 
     classification, and hiring flexibility; and
       (4) an analysis of the sources and availability of 
     cybersecurity talent, a comparison of the skills and 
     expertise sought by the Federal Government and the private 
     sector, an examination of the current and future capacity of 
     United States institutions of higher education, including 
     community colleges, to provide current and future 
     cybersecurity professionals, through education and training 
     activities, with those skills sought by the Federal 
     Government, State and local entities, and the private sector.
       (c) Report.--Not later than 1 year after the date of 
     enactment of this Act, the National Academies shall submit to 
     the President and Congress a report on the results of the 
     study. The report shall include--
       (1) findings regarding the state of information 
     infrastructure accreditation, training, and certification 
     programs, including specific areas of deficiency and 
     demonstrable progress; and
       (2) recommendations for the improvement of information 
     infrastructure accreditation, training, and certification 
     programs.

     SEC. 408. INTERNATIONAL CYBERSECURITY TECHNICAL STANDARDS.

       (a) In General.--The Director of the National Institute of 
     Standards and Technology, in coordination with appropriate 
     Federal authorities, shall--
       (1) as appropriate, ensure coordination of Federal agencies 
     engaged in the development of international technical 
     standards related to information system security; and
       (2) not later than 1 year after the date of enactment of 
     this Act, develop and transmit to Congress a plan for 
     ensuring such Federal agency coordination.
       (b) Consultation With the Private Sector.--In carrying out 
     the activities under subsection (a)(1), the Director shall 
     ensure consultation with appropriate private sector 
     stakeholders.

     SEC. 409. IDENTITY MANAGEMENT RESEARCH AND DEVELOPMENT.

       The Director of the National Institute of Standards and 
     Technology shall continue a program to support the 
     development of technical standards, metrology, testbeds, and 
     conformance criteria, taking into account appropriate user 
     concerns--
       (1) to improve interoperability among identity management 
     technologies;
       (2) to strengthen authentication methods of identity 
     management systems;
       (3) to improve privacy protection in identity management 
     systems, including health information technology systems, 
     through authentication and security protocols; and
       (4) to improve the usability of identity management 
     systems.

     SEC. 410. FEDERAL CYBERSECURITY RESEARCH AND DEVELOPMENT.

       (a) National Science Foundation Computer and Network 
     Security Research Grant Areas.--Section 4(a)(1) of the Cyber 
     Security Research and Development Act (15 U.S.C. 7403(a)(1)) 
     is amended--
       (1) in subparagraph (H), by striking ``and'' after the 
     semicolon;
       (2) in subparagraph (I), by striking ``property.'' and 
     inserting ``property;''; and
       (3) by adding at the end the following:
       ``(J) secure fundamental protocols that are at the heart of 
     inter-network communications and data exchange;
       ``(K) system security that addresses the building of secure 
     systems from trusted and untrusted components;
       ``(L) monitoring and detection; and
       ``(M) resiliency and rapid recovery methods.''.
       (b) National Science Foundation Computer and Network 
     Security Grants.--Section 4(a)(3) of the Cyber Security 
     Research and Development Act (15 U.S.C. 7403(a)(3)) is 
     amended--
       (1) in subparagraph (D), by striking ``and'';
       (2) in subparagraph (E), by striking ``2007.'' and 
     inserting ``2007;''; and
       (3) by adding at the end the following:
       ``(F) such funds from amounts made available under section 
     503 of the America COMPETES Reauthorization Act of 2010 (124 
     Stat. 4005), as the Secretary finds necessary to carry out 
     the requirements of this subsection for fiscal years 2012 
     through 2013.''.
       (c) Computer and Network Security Centers.--Section 4(b)(7) 
     of the Cyber Security Research and Development Act (15 U.S.C. 
     7403(b)(7)) is amended--
       (1) in subparagraph (D), by striking ``and'';
       (2) in subparagraph (E), by striking ``2007.'' and 
     inserting ``2007;''; and
       (3) by adding at the end the following:
       ``(F) such funds from amounts made available under section 
     503 of the America COMPETES Reauthorization Act of 2010 (124 
     Stat. 4005), as the Secretary finds necessary to carry out 
     the requirements of this subsection for fiscal years 2012 
     through 2013.''.
       (d) Computer and Network Security Capacity Building 
     Grants.--Section 5(a)(6) of the Cyber Security Research and 
     Development Act (15 U.S.C. 7404(a)(6)) is amended--
       (1) in subparagraph (D), by striking ``and'';
       (2) in subparagraph (E), by striking ``2007.'' and 
     inserting ``2007;''; and
       (3) by adding at the end the following:
       ``(F) such funds from amounts made available under section 
     503 of the America COMPETES Reauthorization Act of 2010 (124 
     Stat. 4005), as the Secretary finds necessary to carry out 
     the requirements of this subsection for fiscal years 2012 
     through 2013.''.
       (e) Scientific and Advanced Technology Act Grants.--Section 
     5(b)(2) of the Cyber Security Research and Development Act 
     (15 U.S.C. 7404(b)(2)) is amended--
       (1) in subparagraph (D), by striking ``and'';
       (2) in subparagraph (E), by striking ``2007.'' and 
     inserting ``2007;''; and
       (3) by adding at the end the following:
       ``(F) such funds from amounts made available under section 
     503 of the America COMPETES Reauthorization Act of 2010 (124 
     Stat. 4005), as the Secretary finds necessary to carry out 
     the requirements of this subsection for fiscal years 2012 
     through 2013.''.
       (f) Graduate Traineeships in Computer and Network Security 
     Research.--Section 5(c)(7) of the Cyber Security Research and 
     Development Act (15 U.S.C. 7404(c)(7)) is amended--

[[Page S5544]]

       (1) in subparagraph (D), by striking ``and'';
       (2) in subparagraph (E), by striking ``2007.'' and 
     inserting ``2007;''; and
       (3) by adding at the end the following:
       ``(F) such funds from amounts made available under section 
     503 of the America COMPETES Reauthorization Act of 2010 (124 
     Stat. 4005), as the Secretary finds necessary to carry out 
     the requirements of this subsection for fiscal years 2012 
     through 2013.''.
                                 ______
                                 
  SA 2607. Mr. McCAIN (for himself, Mrs. Hutchison, Mr. Chambliss, Mr. 
Grassley, Ms. Murkowski, Mr. Coats, Mr. Burr, and Mr. Johnson of 
Wisconsin) submitted an amendment intended to be proposed by him to the 
bill S. 3414, to enhance the security and resiliency of the cyber and 
communications infrastructure of the United States; which was ordered 
to lie on the table; as follows:

       Beginning on page 1, strike line 3 and all that follows 
     through page 211, line 6 and insert the following:

     SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

       (a) Short Title.--This Act may be cited as the 
     ``Strengthening and Enhancing Cybersecurity by Using 
     Research, Education, Information, and Technology Act of 
     2012'' or ``SECURE IT''.
       (b) Table of Contents.--The table of contents of this Act 
     is as follows:

Sec. 1. Short title; table of contents.

       TITLE I--FACILITATING SHARING OF CYBER THREAT INFORMATION

Sec. 101. Definitions.
Sec. 102. Authorization to share cyber threat information.
Sec. 103. Information sharing by the Federal government.
Sec. 104. Construction.
Sec. 105. Report on implementation.
Sec. 106. Inspector General review.
Sec. 107. Technical amendments.
Sec. 108. Access to classified information.

     TITLE II--COORDINATION OF FEDERAL INFORMATION SECURITY POLICY

Sec. 201. Coordination of Federal information security policy.
Sec. 202. Management of information technology.
Sec. 203. No new funding.
Sec. 204. Technical and conforming amendments.
Sec. 205. Clarification of authorities.

                     TITLE III--CRIMINAL PENALTIES

Sec. 301. Penalties for fraud and related activity in connection with 
              computers.
Sec. 302. Trafficking in passwords.
Sec. 303. Conspiracy and attempted computer fraud offenses.
Sec. 304. Criminal and civil forfeiture for fraud and related activity 
              in connection with computers.
Sec. 305. Damage to critical infrastructure computers.
Sec. 306. Limitation on actions involving unauthorized use.
Sec. 307. No new funding.

            TITLE IV--CYBERSECURITY RESEARCH AND DEVELOPMENT

Sec. 401. National High-Performance Computing Program planning and 
              coordination.
Sec. 402. Research in areas of national importance.
Sec. 403. Program improvements.
Sec. 404. Improving education of networking and information technology, 
              including high performance computing.
Sec. 405. Conforming and technical amendments to the High-Performance 
              Computing Act of 1991.
Sec. 406. Federal cyber scholarship-for-service program.
Sec. 407. Study and analysis of certification and training of 
              information infrastructure professionals.
Sec. 408. International cybersecurity technical standards.
Sec. 409. Identity management research and development.
Sec. 410. Federal cybersecurity research and development.

       TITLE I--FACILITATING SHARING OF CYBER THREAT INFORMATION

     SEC. 101. DEFINITIONS.

       In this title:
       (1) Agency.--The term ``agency'' has the meaning given the 
     term in section 3502 of title 44, United States Code.
       (2) Antitrust laws.--The term ``antitrust laws''--
       (A) has the meaning given the term in section 1(a) of the 
     Clayton Act (15 U.S.C. 12(a));
       (B) includes section 5 of the Federal Trade Commission Act 
     (15 U.S.C. 45) to the extent that section 5 of that Act 
     applies to unfair methods of competition; and
       (C) includes any State law that has the same intent and 
     effect as the laws under subparagraphs (A) and (B).
       (3) Countermeasure.--The term ``countermeasure'' means an 
     automated or a manual action with defensive intent to 
     mitigate cyber threats.
       (4) Cyber threat information.--The term ``cyber threat 
     information'' means information that indicates or describes--
       (A) a technical or operation vulnerability or a cyber 
     threat mitigation measure;
       (B) an action or operation to mitigate a cyber threat;
       (C) malicious reconnaissance, including anomalous patterns 
     of network activity that appear to be transmitted for the 
     purpose of gathering technical information related to a 
     cybersecurity threat;
       (D) a method of defeating a technical control;
       (E) a method of defeating an operational control;
       (F) network activity or protocols known to be associated 
     with a malicious cyber actor or that signify malicious cyber 
     intent;
       (G) a method of causing a user with legitimate access to an 
     information system or information that is stored on, 
     processed by, or transiting an information system to 
     inadvertently enable the defeat of a technical or operational 
     control;
       (H) any other attribute of a cybersecurity threat or cyber 
     defense information that would foster situational awareness 
     of the United States cybersecurity posture, if disclosure of 
     such attribute or information is not otherwise prohibited by 
     law;
       (I) the actual or potential harm caused by a cyber 
     incident, including information exfiltrated when it is 
     necessary in order to identify or describe a cybersecurity 
     threat; or
       (J) any combination of subparagraphs (A) through (I).
       (5) Cybersecurity center.--The term ``cybersecurity 
     center'' means the Department of Defense Cyber Crime Center, 
     the Intelligence Community Incident Response Center, the 
     United States Cyber Command Joint Operations Center, the 
     National Cyber Investigative Joint Task Force, the National 
     Security Agency/Central Security Service Threat Operations 
     Center, the National Cybersecurity and Communications 
     Integration Center, and any successor center.
       (6) Cybersecurity system.--The term ``cybersecurity 
     system'' means a system designed or employed to ensure the 
     integrity, confidentiality, or availability of, or to 
     safeguard, a system or network, including measures intended 
     to protect a system or network from--
       (A) efforts to degrade, disrupt, or destroy such system or 
     network; or
       (B) theft or misappropriations of private or government 
     information, intellectual property, or personally 
     identifiable information.
       (7) Entity.--
       (A) In general.--The term ``entity'' means any private 
     entity, non-Federal government agency or department, or 
     State, tribal, or local government agency or department 
     (including an officer, employee, or agent thereof).
       (B) Inclusions.--The term ``entity'' includes a government 
     agency or department (including an officer, employee, or 
     agent thereof) of the District of Columbia, the Commonwealth 
     of Puerto Rico, the Virgin Islands, Guam, American Samoa, the 
     Northern Mariana Islands, and any other territory or 
     possession of the United States.
       (8) Federal information system.--The term ``Federal 
     information system'' means an information system of a Federal 
     department or agency used or operated by an executive agency, 
     by a contractor of an executive agency, or by another 
     organization on behalf of an executive agency.
       (9) Information security.--The term ``information 
     security'' means protecting information and information 
     systems from disruption or unauthorized access, use, 
     disclosure, modification, or destruction in order to 
     provide--
       (A) integrity, by guarding against improper information 
     modification or destruction, including by ensuring 
     information nonrepudiation and authenticity;
       (B) confidentiality, by preserving authorized restrictions 
     on access and disclosure, including means for protecting 
     personal privacy and proprietary information; or
       (C) availability, by ensuring timely and reliable access to 
     and use of information.
       (10) Information system.--The term ``information system'' 
     has the meaning given the term in section 3502 of title 44, 
     United States Code.
       (11) Local government.--The term ``local government'' means 
     any borough, city, county, parish, town, township, village, 
     or other general purpose political subdivision of a State.
       (12) Malicious reconnaissance.--The term ``malicious 
     reconnaissance'' means a method for actively probing or 
     passively monitoring an information system for the purpose of 
     discerning technical vulnerabilities of the information 
     system, if such method is associated with a known or 
     suspected cybersecurity threat.
       (13) Operational control.--The term ``operational control'' 
     means a security control for an information system that 
     primarily is implemented and executed by people.
       (14) Operational vulnerability.--The term ``operational 
     vulnerability'' means any attribute of policy, process, or 
     procedure that could enable or facilitate the defeat of an 
     operational control.
       (15) Private entity.--The term ``private entity'' means any 
     individual or any private group, organization, or 
     corporation, including an officer, employee, or agent 
     thereof.
       (16) Significant cyber incident.--The term ``significant 
     cyber incident'' means a cyber incident resulting in, or an 
     attempted cyber incident that, if successful, would have 
     resulted in--
       (A) the exfiltration from a Federal information system of 
     data that is essential to the operation of the Federal 
     information system; or
       (B) an incident in which an operational or technical 
     control essential to the security or

[[Page S5545]]

     operation of a Federal information system was defeated.
       (17) Technical control.--The term ``technical control'' 
     means a hardware or software restriction on, or audit of, 
     access or use of an information system or information that is 
     stored on, processed by, or transiting an information system 
     that is intended to ensure the confidentiality, integrity, or 
     availability of that system.
       (18) Technical vulnerability.--The term ``technical 
     vulnerability'' means any attribute of hardware or software 
     that could enable or facilitate the defeat of a technical 
     control.
       (19) Tribal.--The term ``tribal'' has the meaning given the 
     term ``Indian tribe'' in section 4 of the Indian Self-
     Determination and Education Assistance Act (25 U.S.C. 450b).

     SEC. 102. AUTHORIZATION TO SHARE CYBER THREAT INFORMATION.

       (a) Voluntary Disclosure.--
       (1) Private entities.--Notwithstanding any other provision 
     of law, a private entity may, for the purpose of preventing, 
     investigating, or otherwise mitigating threats to information 
     security, on its own networks, or as authorized by another 
     entity, on such entity's networks, employ countermeasures and 
     use cybersecurity systems in order to obtain, identify, or 
     otherwise possess cyber threat information.
       (2) Entities.--Notwithstanding any other provision of law, 
     an entity may disclose cyber threat information to--
       (A) a cybersecurity center; or
       (B) any other entity in order to assist with preventing, 
     investigating, or otherwise mitigating threats to information 
     security.
       (3) Information security providers.--If the cyber threat 
     information described in paragraph (1) is obtained, 
     identified, or otherwise possessed in the course of providing 
     information security products or services under contract to 
     another entity, that entity shall be given, at any time prior 
     to disclosure of such information, a reasonable opportunity 
     to authorize or prevent such disclosure, to request 
     anonymization of such information, or to request that 
     reasonable efforts be made to safeguard such information that 
     identifies specific persons from unauthorized access or 
     disclosure.
       (b) Significant Cyber Incidents Involving Federal 
     Information Systems.--
       (1) In general.--An entity providing electronic 
     communication services, remote computing services, or 
     information security services to a Federal department or 
     agency shall inform the Federal department or agency of a 
     significant cyber incident involving the Federal information 
     system of that Federal department or agency that--
       (A) is directly known to the entity as a result of 
     providing such services;
       (B) is directly related to the provision of such services 
     by the entity; and
       (C) as determined by the entity, has impeded or will impede 
     the performance of a critical mission of the Federal 
     department or agency.
       (2) Advance coordination.--A Federal department or agency 
     receiving the services described in paragraph (1) shall 
     coordinate in advance with an entity described in paragraph 
     (1) to develop the parameters of any information that may be 
     provided under paragraph (1), including clarification of the 
     type of significant cyber incident that will impede the 
     performance of a critical mission of the Federal department 
     or agency.
       (3) Report.--A Federal department or agency shall report 
     information provided under this subsection to a cybersecurity 
     center.
       (4) Construction.--Any information provided to a 
     cybersecurity center under paragraph (3) shall be treated in 
     the same manner as information provided to a cybersecurity 
     center under subsection (a).
       (c) Information Shared With or Provided to a Cybersecurity 
     Center.--Cyber threat information provided to a cybersecurity 
     center under this section--
       (1) may be disclosed to, retained by, and used by, 
     consistent with otherwise applicable Federal law, any Federal 
     agency or department, component, officer, employee, or agent 
     of the Federal government for a cybersecurity purpose, a 
     national security purpose, or in order to prevent, 
     investigate, or prosecute any of the offenses listed in 
     section 2516 of title 18, United States Code, and such 
     information shall not be disclosed to, retained by, or used 
     by any Federal agency or department for any use not permitted 
     under this paragraph;
       (2) may, with the prior written consent of the entity 
     submitting such information, be disclosed to and used by a 
     State, tribal, or local government or government agency for 
     the purpose of protecting information systems, or in 
     furtherance of preventing, investigating, or prosecuting a 
     criminal act, except that if the need for immediate 
     disclosure prevents obtaining written consent, such consent 
     may be provided orally with subsequent documentation of such 
     consent;
       (3) shall be considered the commercial, financial, or 
     proprietary information of the entity providing such 
     information to the Federal government and any disclosure 
     outside the Federal government may only be made upon the 
     prior written consent by such entity and shall not constitute 
     a waiver of any applicable privilege or protection provided 
     by law, except that if the need for immediate disclosure 
     prevents obtaining written consent, such consent may be 
     provided orally with subsequent documentation of such 
     consent;
       (4) shall be deemed voluntarily shared information and 
     exempt from disclosure under section 552 of title 5, United 
     States Code, and any State, tribal, or local law requiring 
     disclosure of information or records;
       (5) shall be, without discretion, withheld from the public 
     under section 552(b)(3)(B) of title 5, United States Code, 
     and any State, tribal, or local law requiring disclosure of 
     information or records;
       (6) shall not be subject to the rules of any Federal agency 
     or department or any judicial doctrine regarding ex parte 
     communications with a decision-making official;
       (7) shall not, if subsequently provided to a State, tribal, 
     or local government or government agency, otherwise be 
     disclosed or distributed to any entity by such State, tribal, 
     or local government or government agency without the prior 
     written consent of the entity submitting such information, 
     notwithstanding any State, tribal, or local law requiring 
     disclosure of information or records, except that if the need 
     for immediate disclosure prevents obtaining written consent, 
     such consent may be provided orally with subsequent 
     documentation of such consent; and
       (8) shall not be directly used by any Federal, State, 
     tribal, or local department or agency to regulate the lawful 
     activities of an entity, including activities relating to 
     obtaining, identifying, or otherwise possessing cyber threat 
     information, except that the procedures required to be 
     developed and implemented under this title shall not be 
     considered regulations within the meaning of this paragraph.
       (d) Procedures Relating to Information Sharing With a 
     Cybersecurity Center.--Not later than 60 days after the date 
     of enactment of this Act, the heads of each department or 
     agency containing a cybersecurity center shall jointly 
     develop, promulgate, and submit to Congress procedures to 
     ensure that cyber threat information shared with or provided 
     to--
       (1) a cybersecurity center under this section--
       (A) may be submitted to a cybersecurity center by an 
     entity, to the greatest extent possible, through a uniform, 
     publicly available process or format that is easily 
     accessible on the website of such cybersecurity center, and 
     that includes the ability to provide relevant details about 
     the cyber threat information and written consent to any 
     subsequent disclosures authorized by this paragraph;
       (B) shall immediately be further shared with each 
     cybersecurity center in order to prevent, investigate, or 
     otherwise mitigate threats to information security across the 
     Federal government;
       (C) is handled by the Federal government in a reasonable 
     manner, including consideration of the need to protect the 
     privacy and civil liberties of individuals through 
     anonymization or other appropriate methods, while fully 
     accomplishing the objectives of this title, and the Federal 
     government may undertake efforts consistent with this 
     subparagraph to limit the impact on privacy and civil 
     liberties of the sharing of cyber threat information with the 
     Federal government; and
       (D) except as provided in this section, shall only be used, 
     disclosed, or handled in accordance with the provisions of 
     subsection (c); and
       (2) a Federal agency or department under subsection (b) is 
     provided immediately to a cybersecurity center in order to 
     prevent, investigate, or otherwise mitigate threats to 
     information security across the Federal government.
       (e) Information Shared Between Entities.--
       (1) In general.--An entity sharing cyber threat information 
     with another entity under this title may restrict the use or 
     sharing of such information by such other entity.
       (2) Further sharing.--Cyber threat information shared by 
     any entity with another entity under this title--
       (A) shall only be further shared in accordance with any 
     restrictions placed on the sharing of such information by the 
     entity authorizing such sharing, such as appropriate 
     anonymization of such information; and
       (B) may not be used by any entity to gain an unfair 
     competitive advantage to the detriment of the entity 
     authorizing the sharing of such information, except that the 
     conduct described in paragraph (3) shall not constitute 
     unfair competitive conduct.
       (3) Information shared with state, tribal, or local 
     government or government agency.--Cyber threat information 
     shared with a State, tribal, or local government or 
     government agency under this title--
       (A) may, with the prior written consent of the entity 
     sharing such information, be disclosed to and used by a 
     State, tribal, or local government or government agency for 
     the purpose of protecting information systems, or in 
     furtherance of preventing, investigating, or prosecuting a 
     criminal act, except if the need for immediate disclosure 
     prevents obtaining written consent, consent may be provided 
     orally with subsequent documentation of the consent;
       (B) shall be deemed voluntarily shared information and 
     exempt from disclosure under any State, tribal, or local law 
     requiring disclosure of information or records;
       (C) shall not be disclosed or distributed to any entity by 
     the State, tribal, or local government or government agency 
     without the prior written consent of the entity submitting 
     such information, notwithstanding any

[[Page S5546]]

     State, tribal, or local law requiring disclosure of 
     information or records, except if the need for immediate 
     disclosure prevents obtaining written consent, consent may be 
     provided orally with subsequent documentation of the consent; 
     and
       (D) shall not be directly used by any State, tribal, or 
     local department or agency to regulate the lawful activities 
     of an entity, including activities relating to obtaining, 
     identifying, or otherwise possessing cyber threat 
     information, except that the procedures required to be 
     developed and implemented under this title shall not be 
     considered regulations within the meaning of this 
     subparagraph.
       (4) Antitrust exemption.--The exchange or provision of 
     cyber threat information or assistance between 2 or more 
     private entities under this title shall not be considered a 
     violation of any provision of antitrust laws if exchanged or 
     provided in order to assist with--
       (A) facilitating the prevention, investigation, or 
     mitigation of threats to information security; or
       (B) communicating or disclosing of cyber threat information 
     to help prevent, investigate or otherwise mitigate the 
     effects of a threat to information security.
       (5) No right or benefit.--The provision of cyber threat 
     information to an entity under this section shall not create 
     a right or a benefit to similar information by such entity or 
     any other entity.
       (f) Federal Preemption.--
       (1) In general.--This section supersedes any statute or 
     other law of a State or political subdivision of a State that 
     restricts or otherwise expressly regulates an activity 
     authorized under this section.
       (2) State law enforcement.--Nothing in this section shall 
     be construed to supersede any statute or other law of a State 
     or political subdivision of a State concerning the use of 
     authorized law enforcement techniques.
       (3) Public disclosure.--No information shared with or 
     provided to a State, tribal, or local government or 
     government agency pursuant to this section shall be made 
     publicly available pursuant to any State, tribal, or local 
     law requiring disclosure of information or records.
       (g) Civil and Criminal Liability.--
       (1) General protections.--
       (A) Private entities.--No cause of action shall lie or be 
     maintained in any court against any private entity for--
       (i) the use of countermeasures and cybersecurity systems as 
     authorized by this title;
       (ii) the use, receipt, or disclosure of any cyber threat 
     information as authorized by this title; or
       (iii) the subsequent actions or inactions of any lawful 
     recipient of cyber threat information provided by such 
     private entity.
       (B) Entities.--No cause of action shall lie or be 
     maintained in any court against any entity for--
       (i) the use, receipt, or disclosure of any cyber threat 
     information as authorized by this title; or
       (ii) the subsequent actions or inactions of any lawful 
     recipient of cyber threat information provided by such 
     entity.
       (2) Construction.--Nothing in this subsection shall be 
     construed as creating any immunity against, or otherwise 
     affecting, any action brought by the Federal government, or 
     any agency or department thereof, to enforce any law, 
     executive order, or procedure governing the appropriate 
     handling, disclosure, and use of classified information.
       (h) Otherwise Lawful Disclosures.--Nothing in this section 
     shall be construed to limit or prohibit otherwise lawful 
     disclosures of communications, records, or other information 
     by a private entity to any other governmental or private 
     entity not covered under this section.
       (i) Whistleblower Protection.--Nothing in this Act shall be 
     construed to preempt or preclude any employee from exercising 
     rights currently provided under any whistleblower law, rule, 
     or regulation.
       (j) Relationship to Other Laws.--The submission of cyber 
     threat information under this section to a cybersecurity 
     center shall not affect any requirement under any other 
     provision of law for an entity to provide information to the 
     Federal government.

     SEC. 103. INFORMATION SHARING BY THE FEDERAL GOVERNMENT.

       (a) Classified Information.--
       (1) Procedures.--Consistent with the protection of 
     intelligence sources and methods, and as otherwise determined 
     appropriate, the Director of National Intelligence and the 
     Secretary of Defense, in consultation with the heads of the 
     appropriate Federal departments or agencies, shall develop 
     and promulgate procedures to facilitate and promote--
       (A) the immediate sharing, through the cybersecurity 
     centers, of classified cyber threat information in the 
     possession of the Federal government with appropriately 
     cleared representatives of any appropriate entity; and
       (B) the declassification and immediate sharing, through the 
     cybersecurity centers, with any entity or, if appropriate, 
     public availability of cyber threat information in the 
     possession of the Federal government;
       (2) Handling of classified information.--The procedures 
     developed under paragraph (1) shall ensure that each entity 
     receiving classified cyber threat information pursuant to 
     this section has acknowledged in writing the ongoing 
     obligation to comply with all laws, executive orders, and 
     procedures concerning the appropriate handling, disclosure, 
     or use of classified information.
       (b) Unclassified Cyber Threat Information.--The heads of 
     each department or agency containing a cybersecurity center 
     shall jointly develop and promulgate procedures that ensure 
     that, consistent with the provisions of this section, 
     unclassified, including controlled unclassified, cyber threat 
     information in the possession of the Federal government--
       (1) is shared, through the cybersecurity centers, in an 
     immediate and adequate manner with appropriate entities; and
       (2) if appropriate, is made publicly available.
       (c) Development of Procedures.--
       (1) In general.--The procedures developed under this 
     section shall incorporate, to the greatest extent possible, 
     existing processes utilized by sector specific information 
     sharing and analysis centers.
       (2) Coordination with entities.--In developing the 
     procedures required under this section, the Director of 
     National Intelligence and the heads of each department or 
     agency containing a cybersecurity center shall coordinate 
     with appropriate entities to ensure that protocols are 
     implemented that will facilitate and promote the sharing of 
     cyber threat information by the Federal government.
       (d) Additional Responsibilities of Cybersecurity Centers.--
     Consistent with section 102, a cybersecurity center shall--
       (1) facilitate information sharing, interaction, and 
     collaboration among and between cybersecurity centers and--
       (A) other Federal entities;
       (B) any entity; and
       (C) international partners, in consultation with the 
     Secretary of State;
       (2) disseminate timely and actionable cybersecurity threat, 
     vulnerability, mitigation, and warning information, including 
     alerts, advisories, indicators, signatures, and mitigation 
     and response measures, to improve the security and protection 
     of information systems; and
       (3) coordinate with other Federal entities, as appropriate, 
     to integrate information from across the Federal government 
     to provide situational awareness of the cybersecurity posture 
     of the United States.
       (e) Sharing Within the Federal Government.--The heads of 
     appropriate Federal departments and agencies shall ensure 
     that cyber threat information in the possession of such 
     Federal departments or agencies that relates to the 
     prevention, investigation, or mitigation of threats to 
     information security across the Federal government is shared 
     effectively with the cybersecurity centers.
       (f) Submission to Congress.--Not later than 60 days after 
     the date of enactment of this Act, the Director of National 
     Intelligence, in coordination with the appropriate head of a 
     department or an agency containing a cybersecurity center, 
     shall submit the procedures required by this section to 
     Congress.

     SEC. 104. CONSTRUCTION.

       (a) Information Sharing Relationships.--Nothing in this 
     title shall be construed--
       (1) to limit or modify an existing information sharing 
     relationship;
       (2) to prohibit a new information sharing relationship;
       (3) to require a new information sharing relationship 
     between any entity and the Federal government, except as 
     specified under section 102(b); or
       (4) to modify the authority of a department or agency of 
     the Federal government to protect sources and methods and the 
     national security of the United States.
       (b) Anti-tasking Restriction.--Nothing in this title shall 
     be construed to permit the Federal government--
       (1) to require an entity to share information with the 
     Federal government, except as expressly provided under 
     section 102(b); or
       (2) to condition the sharing of cyber threat information 
     with an entity on such entity's provision of cyber threat 
     information to the Federal government.
       (c) No Liability for Non-participation.--Nothing in this 
     title shall be construed to subject any entity to liability 
     for choosing not to engage in the voluntary activities 
     authorized under this title.
       (d) Use and Retention of Information.--Nothing in this 
     title shall be construed to authorize, or to modify any 
     existing authority of, a department or agency of the Federal 
     government to retain or use any information shared under 
     section 102 for any use other than a use permitted under 
     subsection 102(c)(1).
       (e) No New Funding.--An applicable Federal agency shall 
     carry out the provisions of this title with existing 
     facilities and funds otherwise available, through such means 
     as the head of the agency considers appropriate.

     SEC. 105. REPORT ON IMPLEMENTATION.

       (a) Content of Report.--Not later than 1 year after the 
     date of enactment of this Act, and biennially thereafter, the 
     heads of each department or agency containing a cybersecurity 
     center shall jointly submit, in coordination with the privacy 
     and civil liberties officials of such departments or agencies 
     and the Privacy and Civil Liberties Oversight Board, a 
     detailed report to Congress concerning the implementation of 
     this title, including--
       (1) an assessment of the sufficiency of the procedures 
     developed under section 103 of this Act in ensuring that 
     cyber threat information in the possession of the Federal 
     government is provided in an immediate and adequate manner to 
     appropriate entities or, if appropriate, is made publicly 
     available;

[[Page S5547]]

       (2) an assessment of whether information has been 
     appropriately classified and an accounting of the number of 
     security clearances authorized by the Federal government for 
     purposes of this title;
       (3) a review of the type of cyber threat information shared 
     with a cybersecurity center under section 102 of this Act, 
     including whether such information meets the definition of 
     cyber threat information under section 101, the degree to 
     which such information may impact the privacy and civil 
     liberties of individuals, any appropriate metrics to 
     determine any impact of the sharing of such information with 
     the Federal government on privacy and civil liberties, and 
     the adequacy of any steps taken to reduce such impact;
       (4) a review of actions taken by the Federal government 
     based on information provided to a cybersecurity center under 
     section 102 of this Act, including the appropriateness of any 
     subsequent use under section 102(c)(1) of this Act and 
     whether there was inappropriate stovepiping within the 
     Federal government of any such information;
       (5) a description of any violations of the requirements of 
     this title by the Federal government;
       (6) a classified list of entities that received classified 
     information from the Federal government under section 103 of 
     this Act and a description of any indication that such 
     information may not have been appropriately handled;
       (7) a summary of any breach of information security, if 
     known, attributable to a specific failure by any entity or 
     the Federal government to act on cyber threat information in 
     the possession of such entity or the Federal government that 
     resulted in substantial economic harm or injury to a specific 
     entity or the Federal government; and
       (8) any recommendation for improvements or modifications to 
     the authorities under this title.
       (b) Form of Report.--The report under subsection (a) shall 
     be submitted in unclassified form, but shall include a 
     classified annex.

     SEC. 106. INSPECTOR GENERAL REVIEW.

       (a) In General.--The Council of the Inspectors General on 
     Integrity and Efficiency are authorized to review compliance 
     by the cybersecurity centers, and by any Federal department 
     or agency receiving cyber threat information from such 
     cybersecurity centers, with the procedures required under 
     section 102 of this Act.
       (b) Scope of Review.--The review under subsection (a) shall 
     consider whether the Federal government has handled such 
     cyber threat information in a reasonable manner, including 
     consideration of the need to protect the privacy and civil 
     liberties of individuals through anonymization or other 
     appropriate methods, while fully accomplishing the objectives 
     of this title.
       (c) Report to Congress.--Each review conducted under this 
     section shall be provided to Congress not later than 30 days 
     after the date of completion of the review.

     SEC. 107. TECHNICAL AMENDMENTS.

       Section 552(b) of title 5, United States Code, is amended--
       (1) in paragraph (8), by striking ``or'';
       (2) in paragraph (9), by striking ``wells.'' and inserting 
     ``wells; or''; and
       (3) by adding at the end the following:
       ``(10) information shared with or provided to a 
     cybersecurity center under section 102 of title I of the 
     Strengthening and Enhancing Cybersecurity by Using Research, 
     Education, Information, and Technology Act of 2012.''.

     SEC. 108. ACCESS TO CLASSIFIED INFORMATION.

       (a) Authorization Required.--No person shall be provided 
     with access to classified information (as defined in section 
     6.1 of Executive Order 13526 (50 U.S.C. 435 note; relating to 
     classified national security information)) relating to cyber 
     security threats or cyber security vulnerabilities under this 
     title without the appropriate security clearances.
       (b) Security Clearances.--The appropriate Federal agencies 
     or departments shall, consistent with applicable procedures 
     and requirements, and if otherwise deemed appropriate, assist 
     an individual in timely obtaining an appropriate security 
     clearance where such individual has been determined to be 
     eligible for such clearance and has a need-to-know (as 
     defined in section 6.1 of that Executive Order) classified 
     information to carry out this title.

     TITLE II--COORDINATION OF FEDERAL INFORMATION SECURITY POLICY

     SEC. 201. COORDINATION OF FEDERAL INFORMATION SECURITY 
                   POLICY.

       (a) In General.--Chapter 35 of title 44, United States 
     Code, is amended by striking subchapters II and III and 
     inserting the following:

                 ``SUBCHAPTER II--INFORMATION SECURITY

     ``Sec. 3551. Purposes

       ``The purposes of this subchapter are--
       ``(1) to provide a comprehensive framework for ensuring the 
     effectiveness of information security controls over 
     information resources that support Federal operations and 
     assets;
       ``(2) to recognize the highly networked nature of the 
     current Federal computing environment and provide effective 
     government-wide management of policies, directives, 
     standards, and guidelines, as well as effective and nimble 
     oversight of and response to information security risks, 
     including coordination of information security efforts 
     throughout the Federal civilian, national security, and law 
     enforcement communities;
       ``(3) to provide for development and maintenance of 
     controls required to protect agency information and 
     information systems and contribute to the overall improvement 
     of agency information security posture;
       ``(4) to provide for the development of tools and methods 
     to assess and respond to real-time situational risk for 
     Federal information system operations and assets; and
       ``(5) to provide a mechanism for improving agency 
     information security programs through continuous monitoring 
     of agency information systems and streamlined reporting 
     requirements rather than overly prescriptive manual 
     reporting.

     ``Sec. 3552. Definitions

       ``In this subchapter:
       ``(1) Adequate security.--The term `adequate security' 
     means security commensurate with the risk and magnitude of 
     the harm resulting from the unauthorized access to or loss, 
     misuse, destruction, or modification of information.
       ``(2) Agency.--The term `agency' has the meaning given the 
     term in section 3502 of title 44.
       ``(3) Cybersecurity center.--The term `cybersecurity 
     center' means the Department of Defense Cyber Crime Center, 
     the Intelligence Community Incident Response Center, the 
     United States Cyber Command Joint Operations Center, the 
     National Cyber Investigative Joint Task Force, the National 
     Security Agency/Central Security Service Threat Operations 
     Center, the National Cybersecurity and Communications 
     Integration Center, and any successor center.
       ``(4) Cyber threat information.--The term `cyber threat 
     information' means information that indicates or describes--
       ``(A) a technical or operation vulnerability or a cyber 
     threat mitigation measure;
       ``(B) an action or operation to mitigate a cyber threat;
       ``(C) malicious reconnaissance, including anomalous 
     patterns of network activity that appear to be transmitted 
     for the purpose of gathering technical information related to 
     a cybersecurity threat;
       ``(D) a method of defeating a technical control;
       ``(E) a method of defeating an operational control;
       ``(F) network activity or protocols known to be associated 
     with a malicious cyber actor or that signify malicious cyber 
     intent;
       ``(G) a method of causing a user with legitimate access to 
     an information system or information that is stored on, 
     processed by, or transiting an information system to 
     inadvertently enable the defeat of a technical or operational 
     control;
       ``(H) any other attribute of a cybersecurity threat or 
     cyber defense information that would foster situational 
     awareness of the United States cybersecurity posture, if 
     disclosure of such attribute or information is not otherwise 
     prohibited by law;
       ``(I) the actual or potential harm caused by a cyber 
     incident, including information exfiltrated when it is 
     necessary in order to identify or describe a cybersecurity 
     threat; or
       ``(J) any combination of subparagraphs (A) through (I).
       ``(5) Director.--The term `Director' means the Director of 
     the Office of Management and Budget unless otherwise 
     specified.
       ``(6) Environment of operation.--The term `environment of 
     operation' means the information system and environment in 
     which those systems operate, including changing threats, 
     vulnerabilities, technologies, and missions and business 
     practices.
       ``(7) Federal information system.--The term `Federal 
     information system' means an information system used or 
     operated by an executive agency, by a contractor of an 
     executive agency, or by another organization on behalf of an 
     executive agency.
       ``(8) Incident.--The term `incident' means an occurrence 
     that--
       ``(A) actually or imminently jeopardizes the integrity, 
     confidentiality, or availability of an information system or 
     the information that system controls, processes, stores, or 
     transmits; or
       ``(B) constitutes a violation of law or an imminent threat 
     of violation of a law, a security policy, a security 
     procedure, or an acceptable use policy.
       ``(9) Information resources.--The term `information 
     resources' has the meaning given the term in section 3502 of 
     title 44.
       ``(10) Information security.--The term `information 
     security' means protecting information and information 
     systems from disruption or unauthorized access, use, 
     disclosure, modification, or destruction in order to 
     provide--
       ``(A) integrity, by guarding against improper information 
     modification or destruction, including by ensuring 
     information nonrepudiation and authenticity;
       ``(B) confidentiality, by preserving authorized 
     restrictions on access and disclosure, including means for 
     protecting personal privacy and proprietary information; or
       ``(C) availability, by ensuring timely and reliable access 
     to and use of information.
       ``(11) Information system.--The term `information system' 
     has the meaning given the term in section 3502 of title 44.
       ``(12) Information technology.--The term `information 
     technology' has the meaning given the term in section 11101 
     of title 40.
       ``(13) Malicious reconnaissance.--The term `malicious 
     reconnaissance' means a method for actively probing or 
     passively monitoring an information system for the purpose of 
     discerning technical

[[Page S5548]]

     vulnerabilities of the information system, if such method is 
     associated with a known or suspected cybersecurity threat.
       ``(14) National security system.--
       ``(A) In general.--The term `national security system' 
     means any information system (including any 
     telecommunications system) used or operated by an agency or 
     by a contractor of an agency, or other organization on behalf 
     of an agency--
       ``(i) the function, operation, or use of which--

       ``(I) involves intelligence activities;
       ``(II) involves cryptologic activities related to national 
     security;
       ``(III) involves command and control of military forces;
       ``(IV) involves equipment that is an integral part of a 
     weapon or weapons system; or
       ``(V) subject to subparagraph (B), is critical to the 
     direct fulfillment of military or intelligence missions; or

       ``(ii) is protected at all times by procedures established 
     for information that have been specifically authorized under 
     criteria established by an Executive Order or an Act of 
     Congress to be kept classified in the interest of national 
     defense or foreign policy.
       ``(B) Limitation.--Subparagraph (A)(i)(V) does not include 
     a system that is to be used for routine administrative and 
     business applications (including payroll, finance, logistics, 
     and personnel management applications).
       ``(15) Operational control.--The term `operational control' 
     means a security control for an information system that 
     primarily is implemented and executed by people.
       ``(16) Person.--The term `person' has the meaning given the 
     term in section 3502 of title 44.
       ``(17) Secretary.--The term `Secretary' means the Secretary 
     of Commerce unless otherwise specified.
       ``(18) Security control.--The term `security control' means 
     the management, operational, and technical controls, 
     including safeguards or countermeasures, prescribed for an 
     information system to protect the confidentiality, integrity, 
     and availability of the system and its information.
       ``(19) Significant cyber incident.--The term `significant 
     cyber incident' means a cyber incident resulting in, or an 
     attempted cyber incident that, if successful, would have 
     resulted in--
       ``(A) the exfiltration from a Federal information system of 
     data that is essential to the operation of the Federal 
     information system; or
       ``(B) an incident in which an operational or technical 
     control essential to the security or operation of a Federal 
     information system was defeated.
       ``(20) Technical control.--The term `technical control' 
     means a hardware or software restriction on, or audit of, 
     access or use of an information system or information that is 
     stored on, processed by, or transiting an information system 
     that is intended to ensure the confidentiality, integrity, or 
     availability of that system.

     ``Sec. 3553. Federal information security authority and 
       coordination

       ``(a) In General.--The Secretary, in consultation with the 
     Secretary of Homeland Security, shall--
       ``(1) issue compulsory and binding policies and directives 
     governing agency information security operations, and require 
     implementation of such policies and directives, including--
       ``(A) policies and directives consistent with the standards 
     and guidelines promulgated under section 11331 of title 40 to 
     identify and provide information security protections 
     prioritized and commensurate with the risk and impact 
     resulting from the unauthorized access, use, disclosure, 
     disruption, modification, or destruction of--
       ``(i) information collected or maintained by or on behalf 
     of an agency; or
       ``(ii) information systems used or operated by an agency or 
     by a contractor of an agency or other organization on behalf 
     of an agency;
       ``(B) minimum operational requirements for Federal 
     Government to protect agency information systems and provide 
     common situational awareness across all agency information 
     systems;
       ``(C) reporting requirements, consistent with relevant law, 
     regarding information security incidents and cyber threat 
     information;
       ``(D) requirements for agencywide information security 
     programs;
       ``(E) performance requirements and metrics for the security 
     of agency information systems;
       ``(F) training requirements to ensure that agencies are 
     able to fully and timely comply with the policies and 
     directives issued by the Secretary under this subchapter;
       ``(G) training requirements regarding privacy, civil 
     rights, and civil liberties, and information oversight for 
     agency information security personnel;
       ``(H) requirements for the annual reports to the Secretary 
     under section 3554(d);
       ``(I) any other information security operations or 
     information security requirements as determined by the 
     Secretary in coordination with relevant agency heads; and
       ``(J) coordinating the development of standards and 
     guidelines under section 20 of the National Institute of 
     Standards and Technology Act (15 U.S.C. 278g-3) with agencies 
     and offices operating or exercising control of national 
     security systems (including the National Security Agency) to 
     assure, to the maximum extent feasible, that such standards 
     and guidelines are complementary with standards and 
     guidelines developed for national security systems;
       ``(2) review the agencywide information security programs 
     under section 3554; and
       ``(3) designate an individual or an entity at each 
     cybersecurity center, among other responsibilities--
       ``(A) to receive reports and information about information 
     security incidents, cyber threat information, and 
     deterioration of security control affecting agency 
     information systems; and
       ``(B) to act on or share the information under subparagraph 
     (A) in accordance with this subchapter.
       ``(b) Considerations.--When issuing policies and directives 
     under subsection (a), the Secretary shall consider any 
     applicable standards or guidelines developed by the National 
     Institute of Standards and Technology under section 11331 of 
     title 40.
       ``(c) Limitation of Authority.--The authorities of the 
     Secretary under this section shall not apply to national 
     security systems. Information security policies, directives, 
     standards and guidelines for national security systems shall 
     be overseen as directed by the President and, in accordance 
     with that direction, carried out under the authority of the 
     heads of agencies that operate or exercise authority over 
     such national security systems.
       ``(d) Statutory Construction.--Nothing in this subchapter 
     shall be construed to alter or amend any law regarding the 
     authority of any head of an agency over such agency.

     ``Sec. 3554. Agency responsibilities

       ``(a) In General.--The head of each agency shall--
       ``(1) be responsible for--
       ``(A) complying with the policies and directives issued 
     under section 3553;
       ``(B) providing information security protections 
     commensurate with the risk resulting from unauthorized 
     access, use, disclosure, disruption, modification, or 
     destruction of--
       ``(i) information collected or maintained by the agency or 
     by a contractor of an agency or other organization on behalf 
     of an agency; and
       ``(ii) information systems used or operated by an agency or 
     by a contractor of an agency or other organization on behalf 
     of an agency;
       ``(C) complying with the requirements of this subchapter, 
     including--
       ``(i) information security standards and guidelines 
     promulgated under section 11331 of title 40;
       ``(ii) for any national security systems operated or 
     controlled by that agency, information security policies, 
     directives, standards and guidelines issued as directed by 
     the President; and
       ``(iii) for any non-national security systems operated or 
     controlled by that agency, information security policies, 
     directives, standards and guidelines issued under section 
     3553;
       ``(D) ensuring that information security management 
     processes are integrated with agency strategic and 
     operational planning processes;
       ``(E) reporting and sharing, for an agency operating or 
     exercising control of a national security system, information 
     about information security incidents, cyber threat 
     information, and deterioration of security controls to the 
     individual or entity designated at each cybersecurity center 
     and to other appropriate entities consistent with policies 
     and directives for national security systems issued as 
     directed by the President; and
       ``(F) reporting and sharing, for those agencies operating 
     or exercising control of non-national security systems, 
     information about information security incidents, cyber 
     threat information, and deterioration of security controls to 
     the individual or entity designated at each cybersecurity 
     center and to other appropriate entities consistent with 
     policies and directives for non-national security systems as 
     prescribed under section 3553(a), including information to 
     assist the entity designated under section 3555(a) with the 
     ongoing security analysis under section 3555;
       ``(2) ensure that each senior agency official provides 
     information security for the information and information 
     systems that support the operations and assets under the 
     senior agency official's control, including by--
       ``(A) assessing the risk and impact that could result from 
     the unauthorized access, use, disclosure, disruption, 
     modification, or destruction of such information or 
     information systems;
       ``(B) determining the level of information security 
     appropriate to protect such information and information 
     systems in accordance with policies and directives issued 
     under section 3553(a), and standards and guidelines 
     promulgated under section 11331 of title 40 for information 
     security classifications and related requirements;
       ``(C) implementing policies, procedures, and capabilities 
     to reduce risks to an acceptable level in a cost-effective 
     manner;
       ``(D) actively monitoring the effective implementation of 
     information security controls and techniques; and
       ``(E) reporting information about information security 
     incidents, cyber threat information, and deterioration of 
     security controls in a timely and adequate manner to the 
     entity designated under section 3553(a)(3) in accordance with 
     paragraph (1);
       ``(3) assess and maintain the resiliency of information 
     technology systems critical to agency mission and operations;

[[Page S5549]]

       ``(4) designate the agency Inspector General (or an 
     independent entity selected in consultation with the Director 
     and the Council of Inspectors General on Integrity and 
     Efficiency if the agency does not have an Inspector General) 
     to conduct the annual independent evaluation required under 
     section 3556, and allow the agency Inspector General to 
     contract with an independent entity to perform such 
     evaluation;
       ``(5) delegate to the Chief Information Officer or 
     equivalent (or to a senior agency official who reports to the 
     Chief Information Officer or equivalent)--
       ``(A) the authority and primary responsibility to implement 
     an agencywide information security program; and
       ``(B) the authority to provide information security for the 
     information collected and maintained by the agency (or by a 
     contractor, other agency, or other source on behalf of the 
     agency) and for the information systems that support the 
     operations, assets, and mission of the agency (including any 
     information system provided or managed by a contractor, other 
     agency, or other source on behalf of the agency);
       ``(6) delegate to the appropriate agency official (who is 
     responsible for a particular agency system or subsystem) the 
     responsibility to ensure and enforce compliance with all 
     requirements of the agency's agencywide information security 
     program in coordination with the Chief Information Officer or 
     equivalent (or the senior agency official who reports to the 
     Chief Information Officer or equivalent) under paragraph (5);
       ``(7) ensure that an agency has trained personnel who have 
     obtained any necessary security clearances to permit them to 
     assist the agency in complying with this subchapter;
       ``(8) ensure that the Chief Information Officer or 
     equivalent (or the senior agency official who reports to the 
     Chief Information Officer or equivalent) under paragraph (5), 
     in coordination with other senior agency officials, reports 
     to the agency head on the effectiveness of the agencywide 
     information security program, including the progress of any 
     remedial actions; and
       ``(9) ensure that the Chief Information Officer or 
     equivalent (or the senior agency official who reports to the 
     Chief Information Officer or equivalent) under paragraph (5) 
     has the necessary qualifications to administer the functions 
     described in this subchapter and has information security 
     duties as a primary duty of that official.
       ``(b) Chief Information Officers.--Each Chief Information 
     Officer or equivalent (or the senior agency official who 
     reports to the Chief Information Officer or equivalent) under 
     subsection (a)(5) shall--
       ``(1) establish and maintain an enterprise security 
     operations capability that on a continuous basis--
       ``(A) detects, reports, contains, mitigates, and responds 
     to information security incidents that impair adequate 
     security of the agency's information or information system in 
     a timely manner and in accordance with the policies and 
     directives under section 3553; and
       ``(B) reports any information security incident under 
     subparagraph (A) to the entity designated under section 3555;
       ``(2) develop, maintain, and oversee an agencywide 
     information security program;
       ``(3) develop, maintain, and oversee information security 
     policies, procedures, and control techniques to address 
     applicable requirements, including requirements under section 
     3553 of this title and section 11331 of title 40; and
       ``(4) train and oversee the agency personnel who have 
     significant responsibility for information security with 
     respect to that responsibility.
       ``(c) Agencywide Information Security Programs.--
       ``(1) In general.--Each agencywide information security 
     program under subsection (b)(2) shall include--
       ``(A) relevant security risk assessments, including 
     technical assessments and others related to the acquisition 
     process;
       ``(B) security testing commensurate with risk and impact;
       ``(C) mitigation of deterioration of security controls 
     commensurate with risk and impact;
       ``(D) risk-based continuous monitoring and threat 
     assessment of the operational status and security of agency 
     information systems to enable evaluation of the effectiveness 
     of and compliance with information security policies, 
     procedures, and practices, including a relevant and 
     appropriate selection of security controls of information 
     systems identified in the inventory under section 3505(c);
       ``(E) operation of appropriate technical capabilities in 
     order to detect, mitigate, report, and respond to information 
     security incidents, cyber threat information, and 
     deterioration of security controls in a manner that is 
     consistent with the policies and directives under section 
     3553, including--
       ``(i) mitigating risks associated with such information 
     security incidents;
       ``(ii) notifying and consulting with the entity designated 
     under section 3555; and
       ``(iii) notifying and consulting with, as appropriate--

       ``(I) law enforcement and the relevant Office of the 
     Inspector General; and
       ``(II) any other entity, in accordance with law and as 
     directed by the President;

       ``(F) a process to ensure that remedial action is taken to 
     address any deficiencies in the information security 
     policies, procedures, and practices of the agency; and
       ``(G) a plan and procedures to ensure the continuity of 
     operations for information systems that support the 
     operations and assets of the agency.
       ``(2) Risk management strategies.--Each agencywide 
     information security program under subsection (b)(2) shall 
     include the development and maintenance of a risk management 
     strategy for information security. The risk management 
     strategy shall include--
       ``(A) consideration of information security incidents, 
     cyber threat information, and deterioration of security 
     controls; and
       ``(B) consideration of the consequences that could result 
     from the unauthorized access, use, disclosure, disruption, 
     modification, or destruction of information and information 
     systems that support the operations and assets of the agency, 
     including any information system provided or managed by a 
     contractor, other agency, or other source on behalf of the 
     agency;
       ``(3) Policies and procedures.--Each agencywide information 
     security program under subsection (b)(2) shall include 
     policies and procedures that--
       ``(A) are based on the risk management strategy under 
     paragraph (2);
       ``(B) reduce information security risks to an acceptable 
     level in a cost-effective manner;
       ``(C) ensure that cost-effective and adequate information 
     security is addressed as part of the acquisition and ongoing 
     management of each agency information system; and
       ``(D) ensure compliance with--
       ``(i) this subchapter; and
       ``(ii) any other applicable requirements.
       ``(4) Training requirements.--Each agencywide information 
     security program under subsection (b)(2) shall include 
     information security, privacy, civil rights, civil liberties, 
     and information oversight training that meets any applicable 
     requirements under section 3553. The training shall inform 
     each information security personnel that has access to agency 
     information systems (including contractors and other users of 
     information systems that support the operations and assets of 
     the agency) of--
       ``(A) the information security risks associated with the 
     information security personnel's activities; and
       ``(B) the individual's responsibility to comply with the 
     agency policies and procedures that reduce the risks under 
     subparagraph (A).
       ``(d) Annual Report.--Each agency shall submit a report 
     annually to the Secretary of Homeland Security on its 
     agencywide information security program and information 
     systems.

     ``Sec. 3555. Multiagency ongoing threat assessment

       ``(a) Implementation.--The Director of the Office of 
     Management and Budget, in coordination with the Secretary of 
     Homeland Security, shall designate an entity to implement 
     ongoing security analysis concerning agency information 
     systems--
       ``(1) based on cyber threat information;
       ``(2) based on agency information system and environment of 
     operation changes, including--
       ``(A) an ongoing evaluation of the information system 
     security controls; and
       ``(B) the security state, risk level, and environment of 
     operation of an agency information system, including--
       ``(i) a change in risk level due to a new cyber threat;
       ``(ii) a change resulting from a new technology;
       ``(iii) a change resulting from the agency's mission; and
       ``(iv) a change resulting from the business practice; and
       ``(3) using automated processes to the maximum extent 
     possible--
       ``(A) to increase information system security;
       ``(B) to reduce paper-based reporting requirements; and
       ``(C) to maintain timely and actionable knowledge of the 
     state of the information system security.
       ``(b) Standards.--The National Institute of Standards and 
     Technology may promulgate standards, in coordination with the 
     Secretary of Homeland Security, to assist an agency with its 
     duties under this section.
       ``(c) Compliance.--The head of each appropriate department 
     and agency shall be responsible for ensuring compliance and 
     implementing necessary procedures to comply with this 
     section. The head of each appropriate department and agency, 
     in consultation with the Director of the Office of Management 
     and Budget and the Secretary of Homeland Security, shall--
       ``(1) monitor compliance under this section;
       ``(2) develop a timeline and implement for the department 
     or agency--
       ``(A) adoption of any technology, system, or method that 
     facilitates continuous monitoring and threat assessments of 
     an agency information system;
       ``(B) adoption or updating of any technology, system, or 
     method that prevents, detects, or remediates a significant 
     cyber incident to a Federal information system of the 
     department or agency that has impeded, or is reasonably 
     likely to impede, the performance of a critical mission of 
     the department or agency; and
       ``(C) adoption of any technology, system, or method that 
     satisfies a requirement under this section.

[[Page S5550]]

       ``(d) Limitation of Authority.--The authorities of the 
     Director of the Office of Management and Budget and of the 
     Secretary of Homeland Security under this section shall not 
     apply to national security systems.
       ``(e) Report.--Not later than 6 months after the date of 
     enactment of the Strengthening and Enhancing Cybersecurity by 
     Using Research, Education, Information, and Technology Act of 
     2012, the Government Accountability Office shall issue a 
     report evaluating each agency's status toward implementing 
     this section.

     ``Sec. 3556. Independent evaluations

       ``(a) In General.--The Council of the Inspectors General on 
     Integrity and Efficiency, in consultation with the Director 
     and the Secretary of Homeland Security, the Secretary of 
     Commerce, and the Secretary of Defense, shall issue and 
     maintain criteria for the timely, cost-effective, risk-based, 
     and independent evaluation of each agencywide information 
     security program (and practices) to determine the 
     effectiveness of the agencywide information security program 
     (and practices). The criteria shall include measures to 
     assess any conflicts of interest in the performance of the 
     evaluation and whether the agencywide information security 
     program includes appropriate safeguards against disclosure of 
     information where such disclosure may adversely affect 
     information security.
       ``(b) Annual Independent Evaluations.--Each agency shall 
     perform an annual independent evaluation of its agencywide 
     information security program (and practices) in accordance 
     with the criteria under subsection (a).
       ``(c) Distribution of Reports.--Not later than 30 days 
     after receiving an independent evaluation under subsection 
     (b), each agency head shall transmit a copy of the 
     independent evaluation to the Secretary of Homeland Security, 
     the Secretary of Commerce, and the Secretary of Defense.
       ``(d) National Security Systems.--Evaluations involving 
     national security systems shall be conducted as directed by 
     President.

     ``Sec. 3557. National security systems.

       ``The head of each agency operating or exercising control 
     of a national security system shall be responsible for 
     ensuring that the agency--
       ``(1) provides information security protections 
     commensurate with the risk and magnitude of the harm 
     resulting from the unauthorized access, use, disclosure, 
     disruption, modification, or destruction of the information 
     contained in such system; and
       ``(2) implements information security policies and 
     practices as required by standards and guidelines for 
     national security systems, issued in accordance with law and 
     as directed by the President.''.
       (b) Savings Provisions.--
       (1) Policy and compliance guidance.--Policy and compliance 
     guidance issued by the Director before the date of enactment 
     of this Act under section 3543(a)(1) of title 44, United 
     States Code (as in effect on the day before the date of 
     enactment of this Act), shall continue in effect, according 
     to its terms, until modified, terminated, superseded, or 
     repealed pursuant to section 3553(a)(1) of title 44, United 
     States Code.
       (2) Standards and guidelines.--Standards and guidelines 
     issued by the Secretary of Commerce or by the Director before 
     the date of enactment of this Act under section 11331(a)(1) 
     of title 40, United States Code, (as in effect on the day 
     before the date of enactment of this Act) shall continue in 
     effect, according to their terms, until modified, terminated, 
     superseded, or repealed pursuant to section 11331(a)(1) of 
     title 40, United States Code, as amended by this Act.
       (c) Technical and Conforming Amendments.--
       (1) Chapter analysis.--The chapter analysis for chapter 35 
     of title 44, United States Code, is amended--
       (A) by striking the items relating to sections 3531 through 
     3538;
       (B) by striking the items relating to sections 3541 through 
     3549; and
       (C) by inserting the following:

``3551. Purposes.
``3552. Definitions.
``3553. Federal information security authority and coordination.
``3554. Agency responsibilities.
``3555. Multiagency ongoing threat assessment.
``3556. Independent evaluations.
``3557. National security systems.''.
       (2) Other references.--
       (A) Section 1001(c)(1)(A) of the Homeland Security Act of 
     2002 (6 U.S.C. 511(1)(A)) is amended by striking ``section 
     3532(3)'' and inserting ``section 3552''.
       (B) Section 2222(j)(5) of title 10, United States Code, is 
     amended by striking ``section 3542(b)(2)'' and inserting 
     ``section 3552''.
       (C) Section 2223(c)(3) of title 10, United States Code, is 
     amended, by striking ``section 3542(b)(2)'' and inserting 
     ``section 3552''.
       (D) Section 2315 of title 10, United States Code, is 
     amended by striking ``section 3542(b)(2)'' and inserting 
     ``section 3552''.
       (E) Section 20 of the National Institute of Standards and 
     Technology Act (15 U.S.C. 278g-3) is amended--
       (i) in subsection (a)(2), by striking ``section 
     3532(b)(2)'' and inserting ``section 3552'';
       (ii) in subsection (c)(3), by striking ``Director of the 
     Office of Management and Budget'' and inserting ``Secretary 
     of Commerce'';
       (iii) in subsection (d)(1), by striking ``Director of the 
     Office of Management and Budget'' and inserting ``Secretary 
     of Commerce'';
       (iv) in subsection (d)(8) by striking ``Director of the 
     Office of Management and Budget'' and inserting ``Secretary 
     of Commerce'';
       (v) in subsection (d)(8), by striking ``submitted to the 
     Director'' and inserting ``submitted to the Secretary'';
       (vi) in subsection (e)(2), by striking ``section 3532(1) of 
     such title'' and inserting ``section 3552 of title 44''; and
       (vii) in subsection (e)(5), by striking ``section 
     3532(b)(2) of such title'' and inserting ``section 3552 of 
     title 44''.
       (F) Section 8(d)(1) of the Cyber Security Research and 
     Development Act (15 U.S.C. 7406(d)(1)) is amended by striking 
     ``section 3534(b)'' and inserting ``section 3554(b)(2)''.

     SEC. 202. MANAGEMENT OF INFORMATION TECHNOLOGY.

       (a) In General.--Section 11331 of title 40, United States 
     Code, is amended to read as follows:

     ``Sec. 11331. Responsibilities for Federal information 
       systems standards

       ``(a) Standards and Guidelines.--
       ``(1) Authority to prescribe.--Except as provided under 
     paragraph (2), the Secretary of Commerce shall prescribe 
     standards and guidelines pertaining to Federal information 
     systems--
       ``(A) in consultation with the Secretary of Homeland 
     Security; and
       ``(B) on the basis of standards and guidelines developed by 
     the National Institute of Standards and Technology under 
     paragraphs (2) and (3) of section 20(a) of the National 
     Institute of Standards and Technology Act (15 U.S.C. 278g-
     3(a)(2) and (a)(3)).
       ``(2) National security systems.--Standards and guidelines 
     for national security systems shall be developed, prescribed, 
     enforced, and overseen as otherwise authorized by law and as 
     directed by the President.
       ``(b) Mandatory Standards and Guidelines.--
       ``(1) Authority to make mandatory standards and 
     guidelines.--The Secretary of Commerce shall make standards 
     and guidelines under subsection (a)(1) compulsory and binding 
     to the extent determined necessary by the Secretary of 
     Commerce to improve the efficiency of operation or security 
     of Federal information systems.
       ``(2) Required mandatory standards and guidelines.--
       ``(A) In general.--Standards and guidelines under 
     subsection (a)(1) shall include information security 
     standards that--
       ``(i) provide minimum information security requirements as 
     determined under section 20(b) of the National Institute of 
     Standards and Technology Act (15 U.S.C. 278g-3(b)); and
       ``(ii) are otherwise necessary to improve the security of 
     Federal information and information systems.
       ``(B) Binding effect.--Information security standards under 
     subparagraph (A) shall be compulsory and binding.
       ``(c) Exercise of Authority.--To ensure fiscal and policy 
     consistency, the Secretary of Commerce shall exercise the 
     authority conferred by this section subject to direction by 
     the President and in coordination with the Director.
       ``(d) Application of More Stringent Standards and 
     Guidelines.--The head of an executive agency may employ 
     standards for the cost-effective information security for 
     information systems within or under the supervision of that 
     agency that are more stringent than the standards and 
     guidelines the Secretary of Commerce prescribes under this 
     section if the more stringent standards and guidelines--
       ``(1) contain at least the applicable standards and 
     guidelines made compulsory and binding by the Secretary of 
     Commerce; and
       ``(2) are otherwise consistent with the policies, 
     directives, and implementation memoranda issued under section 
     3553(a) of title 44.
       ``(e) Decisions on Promulgation of Standards and 
     Guidelines.--The decision by the Secretary of Commerce 
     regarding the promulgation of any standard or guideline under 
     this section shall occur not later than 6 months after the 
     date of submission of the proposed standard to the Secretary 
     of Commerce by the National Institute of Standards and 
     Technology under section 20 of the National Institute of 
     Standards and Technology Act (15 U.S.C. 278g-3).
       ``(f) Notice and Comment.--A decision by the Secretary of 
     Commerce to significantly modify, or not promulgate, a 
     proposed standard submitted to the Secretary by the National 
     Institute of Standards and Technology under section 20 of the 
     National Institute of Standards and Technology Act (15 U.S.C. 
     278g-3) shall be made after the public is given an 
     opportunity to comment on the Secretary's proposed decision.
       ``(g) Definitions.--In this section:
       ``(1) Federal information system.--The term `Federal 
     information system' has the meaning given the term in section 
     3552 of title 44.
       ``(2) Information security.--The term `information 
     security' has the meaning given the term in section 3552 of 
     title 44.
       ``(3) National security system.--The term `national 
     security system' has the meaning given the term in section 
     3552 of title 44.''.

     SEC. 203. NO NEW FUNDING.

       An applicable Federal agency shall carry out the provisions 
     of this title with existing facilities and funds otherwise 
     available, through such means as the head of the agency 
     considers appropriate.

[[Page S5551]]

     SEC. 204. TECHNICAL AND CONFORMING AMENDMENTS.

       Section 21(b) of the National Institute of Standards and 
     Technology Act (15 U.S.C. 278g-4(b)) is amended--
       (1) in paragraph (2), by striking ``and the Director of the 
     Office of Management and Budget'' and inserting ``, the 
     Secretary of Commerce, and the Secretary of Homeland 
     Security''; and
       (2) in paragraph (3), by inserting ``, the Secretary of 
     Homeland Security,'' after ``the Secretary of Commerce''.

     SEC. 205. CLARIFICATION OF AUTHORITIES.

       Nothing in this title shall be construed to convey any new 
     regulatory authority to any government entity implementing or 
     complying with any provision of this title.

                     TITLE III--CRIMINAL PENALTIES

     SEC. 301. PENALTIES FOR FRAUD AND RELATED ACTIVITY IN 
                   CONNECTION WITH COMPUTERS.

       Section 1030(c) of title 18, United States Code, is amended 
     to read as follows:
       ``(c) The punishment for an offense under subsection (a) or 
     (b) of this section is--
       ``(1) a fine under this title or imprisonment for not more 
     than 20 years, or both, in the case of an offense under 
     subsection (a)(1) of this section;
       ``(2)(A) except as provided in subparagraph (B), a fine 
     under this title or imprisonment for not more than 3 years, 
     or both, in the case of an offense under subsection (a)(2); 
     or
       ``(B) a fine under this title or imprisonment for not more 
     than ten years, or both, in the case of an offense under 
     subsection (a)(2) of this section, if--
       ``(i) the offense was committed for purposes of commercial 
     advantage or private financial gain;
       ``(ii) the offense was committed in the furtherance of any 
     criminal or tortious act in violation of the Constitution or 
     laws of the United States, or of any State; or
       ``(iii) the value of the information obtained, or that 
     would have been obtained if the offense was completed, 
     exceeds $5,000;
       ``(3) a fine under this title or imprisonment for not more 
     than 10 years, or both, in the case of an offense under 
     subsection (a)(3) of this section;
       ``(4) a fine under this title or imprisonment of not more 
     than 20 years, or both, in the case of an offense under 
     subsection (a)(4) of this section;
       ``(5)(A) except as provided in subparagraph (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) of 
     this section, if the offense 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;
       ``(v) damage affecting a computer used by, or on behalf of, 
     an entity of the United States Government in furtherance of 
     the administration of justice, national defense, or national 
     security; or
       ``(vi) damage affecting 10 or more protected computers 
     during any 1-year period;
       ``(B) a fine under this title, imprisonment for not more 
     than 20 years, or both, in the case of an offense under 
     subsection (a)(5)(B), if the offense caused a harm provided 
     in clause (i) through (vi) of subparagraph (A) of this 
     subsection;
       ``(C) if the offender attempts to cause or knowingly or 
     recklessly causes death from conduct in violation of 
     subsection (a)(5)(A), a fine under this title, imprisonment 
     for any term of years or for life, or both;
       ``(D) a fine under this title, imprisonment for not more 
     than 10 years, or both, for any other offense under 
     subsection (a)(5);
       ``(E) a fine under this title or imprisonment for not more 
     than 10 years, or both, in the case of an offense under 
     subsection (a)(6) of this section; or
       ``(F) a fine under this title or imprisonment for not more 
     than 10 years, or both, in the case of an offense under 
     subsection (a)(7) of this section.''.

     SEC. 302. TRAFFICKING IN PASSWORDS.

       Section 1030(a)(6) of title 18, United States Code, is 
     amended to read as follows:
       ``(6) knowingly and with intent to defraud traffics (as 
     defined in section 1029) in any password or similar 
     information or means of access through which a protected 
     computer (as defined in subparagraphs (A) and (B) of 
     subsection (e)(2)) may be accessed without authorization.''.

     SEC. 303. CONSPIRACY AND ATTEMPTED COMPUTER FRAUD OFFENSES.

       Section 1030(b) of title 18, United States Code, is amended 
     by inserting ``as if for the completed offense'' after 
     ``punished as provided''.

     SEC. 304. CRIMINAL AND CIVIL FORFEITURE FOR FRAUD AND RELATED 
                   ACTIVITY IN CONNECTION WITH COMPUTERS.

       Section 1030 of title 18, United States Code, is amended by 
     striking subsections (i) and (j) and inserting the following:
       ``(i) Criminal Forfeiture.--
       ``(1) The court, in imposing sentence on any person 
     convicted of a violation of this section, or convicted of 
     conspiracy to violate this section, shall order, in addition 
     to any other sentence imposed and irrespective of any 
     provision of State law, that such person forfeit to the 
     United States--
       ``(A) such persons interest in any property, real or 
     personal, that was used, or intended to be used, to commit or 
     facilitate the commission of such violation; and
       ``(B) any property, real or personal, constituting or 
     derived from any gross proceeds, or any property traceable to 
     such property, that such person obtained, directly or 
     indirectly, as a result of such violation.
       ``(2) The criminal forfeiture of property under this 
     subsection, including any seizure and disposition of the 
     property, and any related judicial or administrative 
     proceeding, shall be governed by the provisions of section 
     413 of the Comprehensive Drug Abuse Prevention and Control 
     Act of 1970 (21 U.S.C. 853), except subsection (d) of that 
     section.
       ``(j) Civil Forfeiture.--
       ``(1) The following shall be subject to forfeiture to the 
     United States and no property right, real or personal, shall 
     exist in them:
       ``(A) Any property, real or personal, that was used, or 
     intended to be used, to commit or facilitate the commission 
     of any violation of this section, or a conspiracy to violate 
     this section.
       ``(B) Any property, real or personal, constituting or 
     derived from any gross proceeds obtained directly or 
     indirectly, or any property traceable to such property, as a 
     result of the commission of any violation of this section, or 
     a conspiracy to violate this section.
       ``(2) Seizures and forfeitures under this subsection shall 
     be governed by the provisions in chapter 46 relating to civil 
     forfeitures, except that such duties as are imposed on the 
     Secretary of the Treasury under the customs laws described in 
     section 981(d) shall be performed by such officers, agents 
     and other persons as may be designated for that purpose by 
     the Secretary of Homeland Security or the Attorney 
     General.''.

     SEC. 305. DAMAGE TO CRITICAL INFRASTRUCTURE COMPUTERS.

       (a) In General.--Chapter 47 of title 18, United States 
     Code, is amended by inserting after section 1030 the 
     following:

     ``Sec. 1030A. Aggravated damage to a critical infrastructure 
       computer

       ``(a) Definitions.--In this section--
       ``(1) the term `computer' has the meaning given the term in 
     section 1030;
       ``(2) the term `critical infrastructure computer' means a 
     computer that manages or controls systems or assets vital to 
     national defense, national security, national economic 
     security, public health or safety, or any combination of 
     those matters, whether publicly or privately owned or 
     operated, including--
       ``(A) oil and gas production, storage, conversion, and 
     delivery systems;
       ``(B) water supply systems;
       ``(C) telecommunication networks;
       ``(D) electrical power generation and delivery systems;
       ``(E) finance and banking systems;
       ``(F) emergency services;
       ``(G) transportation systems and services; and
       ``(H) government operations that provide essential services 
     to the public; and
       ``(3) the term `damage' has the meaning given the term in 
     section 1030.
       ``(b) Offense.--It shall be unlawful, during and in 
     relation to a felony violation of section 1030, to knowingly 
     cause or attempt to cause damage to a critical infrastructure 
     computer if the damage results in (or, in the case of an 
     attempt, if completed, would have resulted in) the 
     substantial impairment--
       ``(1) of the operation of the critical infrastructure 
     computer; or
       ``(2) of the critical infrastructure associated with the 
     computer.
       ``(c) Penalty.--Any person who violates subsection (b) 
     shall be--
       ``(1) fined under this title;
       ``(2) imprisoned for not less than 3 years but not more 
     than 20 years; or
       ``(3) penalized under paragraphs (1) and (2).
       ``(d) Consecutive Sentence.--Notwithstanding any other 
     provision of law--
       ``(1) a court shall not place on probation any person 
     convicted of a violation of this section;
       ``(2) except as provided in paragraph (4), no term of 
     imprisonment imposed on a person under this section shall run 
     concurrently with any other term of imprisonment, including 
     any term of imprisonment imposed on the person under any 
     other provision of law, including any term of imprisonment 
     imposed for a felony violation of section 1030;
       ``(3) in determining any term of imprisonment to be imposed 
     for a felony violation of section 1030, a court shall not in 
     any way reduce the term to be imposed for such crime so as to 
     compensate for, or otherwise take into account, any separate 
     term of imprisonment imposed or to be imposed for a violation 
     of this section; and
       ``(4) a term of imprisonment imposed on a person for a 
     violation of this section may, in the discretion of the 
     court, run concurrently, in whole or in part, only with 
     another term of imprisonment that is imposed by the court at 
     the same time on that person for an additional violation of 
     this section, provided that such discretion shall be 
     exercised in accordance with any applicable guidelines and 
     policy statements issued by the United States Sentencing 
     Commission pursuant to section 994 of title 28.''.
       (b) Technical and Conforming Amendment.--The chapter 
     analysis for chapter 47 of title 18, United States Code, is 
     amended by inserting after the item relating to section 1030 
     the following:


[[Page S5552]]


``1030A. Aggravated damage to a critical infrastructure computer.''.

     SEC. 306. LIMITATION ON ACTIONS INVOLVING UNAUTHORIZED USE.

       Section 1030(e)(6) of title 18, United States Code, is 
     amended by striking ``alter;'' and inserting ``alter, but 
     does not include access in violation of a contractual 
     obligation or agreement, such as an acceptable use policy or 
     terms of service agreement, with an Internet service 
     provider, Internet website, or non-government employer, if 
     such violation constitutes the sole basis for determining 
     that access to a protected computer is unauthorized;''.

     SEC. 307. NO NEW FUNDING.

       An applicable Federal agency shall carry out the provisions 
     of this title with existing facilities and funds otherwise 
     available, through such means as the head of the agency 
     considers appropriate.

            TITLE IV--CYBERSECURITY RESEARCH AND DEVELOPMENT

     SEC. 401. NATIONAL HIGH-PERFORMANCE COMPUTING PROGRAM 
                   PLANNING AND COORDINATION.

       (a) Goals and Priorities.--Section 101 of the High-
     Performance Computing Act of 1991 (15 U.S.C. 5511) is amended 
     by adding at the end the following:
       ``(d) Goals and Priorities.--The goals and priorities for 
     Federal high-performance computing research, development, 
     networking, and other activities under subsection (a)(2)(A) 
     shall include--
       ``(1) encouraging and supporting mechanisms for 
     interdisciplinary research and development in networking and 
     information technology, including--
       ``(A) through collaborations across agencies;
       ``(B) through collaborations across Program Component 
     Areas;
       ``(C) through collaborations with industry;
       ``(D) through collaborations with institutions of higher 
     education;
       ``(E) through collaborations with Federal laboratories (as 
     defined in section 4 of the Stevenson-Wydler Technology 
     Innovation Act of 1980 (15 U.S.C. 3703)); and
       ``(F) through collaborations with international 
     organizations;
       ``(2) addressing national, multi-agency, multi-faceted 
     challenges of national importance; and
       ``(3) fostering the transfer of research and development 
     results into new technologies and applications for the 
     benefit of society.''.
       (b) Development of Strategic Plan.--Section 101 of the 
     High-Performance Computing Act of 1991 (15 U.S.C. 5511) is 
     amended by adding at the end the following:
       ``(e) Strategic Plan.--
       ``(1) In general.--Not later than 1 year after the date of 
     enactment of the Strengthening and Enhancing Cybersecurity by 
     Using Research, Education, Information, and Technology Act of 
     2012, the agencies under subsection (a)(3)(B), working 
     through the National Science and Technology Council and with 
     the assistance of the Office of Science and Technology Policy 
     shall develop a 5-year strategic plan to guide the activities 
     under subsection (a)(1).
       ``(2) Contents.--The strategic plan shall specify--
       ``(A) the near-term objectives for the Program;
       ``(B) the long-term objectives for the Program;
       ``(C) the anticipated time frame for achieving the near-
     term objectives;
       ``(D) the metrics that will be used to assess any progress 
     made toward achieving the near-term objectives and the long-
     term objectives; and
       ``(E) how the Program will achieve the goals and priorities 
     under subsection (d).
       ``(3) Implementation roadmap.--
       ``(A) In general.--The agencies under subsection (a)(3)(B) 
     shall develop and annually update an implementation roadmap 
     for the strategic plan.
       ``(B) Requirements.--The information in the implementation 
     roadmap shall be coordinated with the database under section 
     102(c) and the annual report under section 101(a)(3). The 
     implementation roadmap shall--
       ``(i) specify the role of each Federal agency in carrying 
     out or sponsoring research and development to meet the 
     research objectives of the strategic plan, including a 
     description of how progress toward the research objectives 
     will be evaluated, with consideration of any relevant 
     recommendations of the advisory committee;
       ``(ii) specify the funding allocated to each major research 
     objective of the strategic plan and the source of funding by 
     agency for the current fiscal year; and
       ``(iii) estimate the funding required for each major 
     research objective of the strategic plan for the next 3 
     fiscal years.
       ``(4) Recommendations.--The agencies under subsection 
     (a)(3)(B) shall take into consideration when developing the 
     strategic plan under paragraph (1) the recommendations of--
       ``(A) the advisory committee under subsection (b); and
       ``(B) the stakeholders under section 102(a)(3).
       ``(5) Report to congress.--The Director of the Office of 
     Science and Technology Policy shall transmit the strategic 
     plan under this subsection, including the implementation 
     roadmap and any updates under paragraph (3), to--
       ``(A) the advisory committee under subsection (b);
       ``(B) the Committee on Commerce, Science, and 
     Transportation of the Senate; and
       ``(C) the Committee on Science and Technology of the House 
     of Representatives.''.
       (c) Periodic Reviews.--Section 101 of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5511) is amended by adding 
     at the end the following:
       ``(f) Periodic Reviews.--The agencies under subsection 
     (a)(3)(B) shall--
       ``(1) periodically assess the contents and funding levels 
     of the Program Component Areas and restructure the Program 
     when warranted, taking into consideration any relevant 
     recommendations of the advisory committee under subsection 
     (b); and
       ``(2) ensure that the Program includes national, multi-
     agency, multi-faceted research and development activities, 
     including activities described in section 104.''.
       (d) Additional Responsibilities of Director.--Section 
     101(a)(2) of the High-Performance Computing Act of 1991 (15 
     U.S.C. 5511(a)(2)) is amended--
       (1) by redesignating subparagraphs (E) and (F) as 
     subparagraphs (G) and (H), respectively; and
       (2) by inserting after subparagraph (D) the following:
       ``(E) encourage and monitor the efforts of the agencies 
     participating in the Program to allocate the level of 
     resources and management attention necessary--
       ``(i) to ensure that the strategic plan under subsection 
     (e) is developed and executed effectively; and
       ``(ii) to ensure that the objectives of the Program are 
     met;
       ``(F) working with the Office of Management and Budget and 
     in coordination with the creation of the database under 
     section 102(c), direct the Office of Science and Technology 
     Policy and the agencies participating in the Program to 
     establish a mechanism (consistent with existing law) to track 
     all ongoing and completed research and development projects 
     and associated funding;''.
       (e) Advisory Committee.--Section 101(b) of the High-
     Performance Computing Act of 1991 (15 U.S.C. 5511(b)) is 
     amended--
       (1) in paragraph (1)--
       (A) by inserting after the first sentence the following: 
     ``The co-chairs of the advisory committee shall meet the 
     qualifications of committee members and may be members of the 
     Presidents Council of Advisors on Science and Technology.''; 
     and
       (B) by striking ``high-performance'' in subparagraph (D) 
     and inserting ``high-end''; and
       (2) by amending paragraph (2) to read as follows:
       ``(2) In addition to the duties under paragraph (1), the 
     advisory committee shall conduct periodic evaluations of the 
     funding, management, coordination, implementation, and 
     activities of the Program. The advisory committee shall 
     report its findings and recommendations not less frequently 
     than once every 3 fiscal years to the Committee on Commerce, 
     Science, and Transportation of the Senate and the Committee 
     on Science and Technology of the House of Representatives. 
     The report shall be submitted in conjunction with the update 
     of the strategic plan.''.
       (f) Report.--Section 101(a)(3) of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5511(a)(3)) is amended--
       (1) in subparagraph (C)--
       (A) by striking ``is submitted,'' and inserting ``is 
     submitted, the levels for the previous fiscal year,''; and
       (B) by striking ``each Program Component Area'' and 
     inserting ``each Program Component Area and each research 
     area supported in accordance with section 104'';
       (2) in subparagraph (D)--
       (A) by striking ``each Program Component Area,'' and 
     inserting ``each Program Component Area and each research 
     area supported in accordance with section 104,'';
       (B) by striking ``is submitted,'' and inserting ``is 
     submitted, the levels for the previous fiscal year,''; and
       (C) by striking ``and'' after the semicolon;
       (3) by redesignating subparagraph (E) as subparagraph (G); 
     and
       (4) by inserting after subparagraph (D) the following:
       ``(E) include a description of how the objectives for each 
     Program Component Area, and the objectives for activities 
     that involve multiple Program Component Areas, relate to the 
     objectives of the Program identified in the strategic plan 
     under subsection (e);
       ``(F) include--
       ``(i) a description of the funding required by the Office 
     of Science and Technology Policy to perform the functions 
     under subsections (a) and (c) of section 102 for the next 
     fiscal year by category of activity;
       ``(ii) a description of the funding required by the Office 
     of Science and Technology Policy to perform the functions 
     under subsections (a) and (c) of section 102 for the current 
     fiscal year by category of activity; and
       ``(iii) the amount of funding provided for the Office of 
     Science and Technology Policy for the current fiscal year by 
     each agency participating in the Program; and''.
       (g) Definitions.--Section 4 of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5503) is amended--
       (1) by redesignating paragraphs (1) and (2) as paragraphs 
     (2) and (3), respectively;
       (2) by redesignating paragraph (3) as paragraph (6);
       (3) by redesignating paragraphs (6) and (7) as paragraphs 
     (7) and (8), respectively;
       (4) by inserting before paragraph (2), as redesignated, the 
     following:
       ``(1) `cyber-physical systems' means physical or engineered 
     systems whose networking

[[Page S5553]]

     and information technology functions and physical elements 
     are deeply integrated and are actively connected to the 
     physical world through sensors, actuators, or other means to 
     perform monitoring and control functions;'';
       (5) in paragraph (3), as redesignated, by striking ``high-
     performance computing'' and inserting ``networking and 
     information technology'';
       (6) in paragraph (6), as redesignated--
       (A) by striking ``high-performance computing'' and 
     inserting ``networking and information technology''; and
       (B) by striking ``supercomputer'' and inserting ``high-end 
     computing'';
       (7) in paragraph (5), by striking ``network referred to 
     as'' and all that follows through the semicolon and inserting 
     ``network, including advanced computer networks of Federal 
     agencies and departments''; and
       (8) in paragraph (7), as redesignated, by striking 
     ``National High-Performance Computing Program'' and inserting 
     ``networking and information technology research and 
     development program''.

     SEC. 402. RESEARCH IN AREAS OF NATIONAL IMPORTANCE.

       (a) Research in Areas of National Importance.--Title I of 
     the High-Performance Computing Act of 1991 (15 U.S.C. 5511 et 
     seq.) is amended by adding at the end the following:

     ``SEC. 104. RESEARCH IN AREAS OF NATIONAL IMPORTANCE.

       ``(a) In General.--The Program shall encourage agencies 
     under section 101(a)(3)(B) to support, maintain, and improve 
     national, multi-agency, multi-faceted, research and 
     development activities in networking and information 
     technology directed toward application areas that have the 
     potential for significant contributions to national economic 
     competitiveness and for other significant societal benefits.
       ``(b) Technical Solutions.--An activity under subsection 
     (a) shall be designed to advance the development of research 
     discoveries by demonstrating technical solutions to important 
     problems in areas including--
       ``(1) cybersecurity;
       ``(2) health care;
       ``(3) energy management and low-power systems and devices;
       ``(4) transportation, including surface and air 
     transportation;
       ``(5) cyber-physical systems;
       ``(6) large-scale data analysis and modeling of physical 
     phenomena;
       ``(7) large scale data analysis and modeling of behavioral 
     phenomena;
       ``(8) supply chain quality and security; and
       ``(9) privacy protection and protected disclosure of 
     confidential data.
       ``(c) Recommendations.--The advisory committee under 
     section 101(b) shall make recommendations to the Program for 
     candidate research and development areas for support under 
     this section.
       ``(d) Characteristics.--
       ``(1) In general.--Research and development activities 
     under this section--
       ``(A) shall include projects selected on the basis of 
     applications for support through a competitive, merit-based 
     process;
       ``(B) shall leverage, when possible, Federal investments 
     through collaboration with related State initiatives;
       ``(C) shall include a plan for fostering the transfer of 
     research discoveries and the results of technology 
     demonstration activities, including from institutions of 
     higher education and Federal laboratories, to industry for 
     commercial development;
       ``(D) shall involve collaborations among researchers in 
     institutions of higher education and industry; and
       ``(E) may involve collaborations among nonprofit research 
     institutions and Federal laboratories, as appropriate.
       ``(2) Cost-sharing.--In selecting applications for support, 
     the agencies under section 101(a)(3)(B) shall give special 
     consideration to projects that include cost sharing from non-
     Federal sources.
       ``(3) Multidisciplinary research centers.--Research and 
     development activities under this section shall be supported 
     through multidisciplinary research centers, including Federal 
     laboratories, that are organized to investigate basic 
     research questions and carry out technology demonstration 
     activities in areas described in subsection (a). Research may 
     be carried out through existing multidisciplinary centers, 
     including those authorized under section 7024(b)(2) of the 
     America COMPETES Act (42 U.S.C. 1862o-10(2)).''.
       (b) Cyber-Physical Systems.--Section 101(a)(1) of the High-
     Performance Computing Act of 1991 (15 U.S.C. 5511(a)(1)) is 
     amended--
       (1) in subparagraph (H), by striking ``and'' after the 
     semicolon;
       (2) in subparagraph (I), by striking the period at the end 
     and inserting a semicolon; and
       (3) by adding at the end the following:
       ``(J) provide for increased understanding of the scientific 
     principles of cyber-physical systems and improve the methods 
     available for the design, development, and operation of 
     cyber-physical systems that are characterized by high 
     reliability, safety, and security; and
       ``(K) provide for research and development on human-
     computer interactions, visualization, and big data.''.
       (c) Task Force.--Title I of the High-Performance Computing 
     Act of 1991 (15 U.S.C. 5511 et seq.), as amended by section 
     402(a) of this Act, is amended by adding at the end the 
     following:

     ``SEC. 105. TASK FORCE.

       ``(a) Establishment.--Not later than 180 days after the 
     date of enactment the Strengthening and Enhancing 
     Cybersecurity by Using Research, Education, Information, and 
     Technology Act of 2012, the Director of the Office of Science 
     and Technology Policy under section 102 shall convene a task 
     force to explore mechanisms for carrying out collaborative 
     research and development activities for cyber-physical 
     systems (including the related technologies required to 
     enable these systems) through a consortium or other 
     appropriate entity with participants from institutions of 
     higher education, Federal laboratories, and industry.
       ``(b) Functions.--The task force shall--
       ``(1) develop options for a collaborative model and an 
     organizational structure for such entity under which the 
     joint research and development activities could be planned, 
     managed, and conducted effectively, including mechanisms for 
     the allocation of resources among the participants in such 
     entity for support of such activities;
       ``(2) propose a process for developing a research and 
     development agenda for such entity, including guidelines to 
     ensure an appropriate scope of work focused on nationally 
     significant challenges and requiring collaboration and to 
     ensure the development of related scientific and 
     technological milestones;
       ``(3) define the roles and responsibilities for the 
     participants from institutions of higher education, Federal 
     laboratories, and industry in such entity;
       ``(4) propose guidelines for assigning intellectual 
     property rights and for transferring research results to the 
     private sector; and
       ``(5) make recommendations for how such entity could be 
     funded from Federal, State, and non-governmental sources.
       ``(c) Composition.--In establishing the task force under 
     subsection (a), the Director of the Office of Science and 
     Technology Policy shall appoint an equal number of 
     individuals from institutions of higher education and from 
     industry with knowledge and expertise in cyber-physical 
     systems, and may appoint not more than 2 individuals from 
     Federal laboratories.
       ``(d) Report.--Not later than 1 year after the date of 
     enactment of the Strengthening and Enhancing Cybersecurity by 
     Using Research, Education, Information, and Technology Act of 
     2012, the Director of the Office of Science and Technology 
     Policy shall transmit to the Committee on Commerce, Science, 
     and Transportation of the Senate and the Committee on Science 
     and Technology of the House of Representatives a report 
     describing the findings and recommendations of the task 
     force.
       ``(e) Termination.--The task force shall terminate upon 
     transmittal of the report required under subsection (d).
       ``(f) Compensation and Expenses.--Members of the task force 
     shall serve without compensation.''.

     SEC. 403. PROGRAM IMPROVEMENTS.

       Section 102 of the High-Performance Computing Act of 1991 
     (15 U.S.C. 5512) is amended to read as follows:

     ``SEC. 102. PROGRAM IMPROVEMENTS.

       ``(a) Functions.--The Director of the Office of Science and 
     Technology Policy shall continue--
       ``(1) to provide technical and administrative support to--
       ``(A) the agencies participating in planning and 
     implementing the Program, including support needed to develop 
     the strategic plan under section 101(e); and
       ``(B) the advisory committee under section 101(b);
       ``(2) to serve as the primary point of contact on Federal 
     networking and information technology activities for 
     government agencies, academia, industry, professional 
     societies, State computing and networking technology 
     programs, interested citizen groups, and others to exchange 
     technical and programmatic information;
       ``(3) to solicit input and recommendations from a wide 
     range of stakeholders during the development of each 
     strategic plan under section 101(e) by convening at least 1 
     workshop with invitees from academia, industry, Federal 
     laboratories, and other relevant organizations and 
     institutions;
       ``(4) to conduct public outreach, including the 
     dissemination of the advisory committee's findings and 
     recommendations, as appropriate;
       ``(5) to promote access to and early application of the 
     technologies, innovations, and expertise derived from Program 
     activities to agency missions and systems across the Federal 
     Government and to United States industry;
       ``(6) to ensure accurate and detailed budget reporting of 
     networking and information technology research and 
     development investment; and
       ``(7) to encourage agencies participating in the Program to 
     use existing programs and resources to strengthen networking 
     and information technology education and training, and 
     increase participation in such fields, including by women and 
     underrepresented minorities.
       ``(b) Source of Funding.--
       ``(1) In general.--The functions under this section shall 
     be supported by funds from each agency participating in the 
     Program.
       ``(2) Specifications.--The portion of the total budget of 
     the Office of Science and Technology Policy that is provided 
     by each agency participating in the Program for each

[[Page S5554]]

     fiscal year shall be in the same proportion as each agency's 
     share of the total budget for the Program for the previous 
     fiscal year, as specified in the database under section 
     102(c).
       ``(c) Database.--
       ``(1) In general.--The Director of the Office of Science 
     and Technology Policy shall develop and maintain a database 
     of projects funded by each agency for the fiscal year for 
     each Program Component Area.
       ``(2) Public accessibility.--The Director of the Office of 
     Science and Technology Policy shall make the database 
     accessible to the public.
       ``(3) Database contents.--The database shall include, for 
     each project in the database--
       ``(A) a description of the project;
       ``(B) each agency, industry, institution of higher 
     education, Federal laboratory, or international institution 
     involved in the project;
       ``(C) the source funding of the project (set forth by 
     agency);
       ``(D) the funding history of the project; and
       ``(E) whether the project has been completed.''.

     SEC. 404. IMPROVING EDUCATION OF NETWORKING AND INFORMATION 
                   TECHNOLOGY, INCLUDING HIGH PERFORMANCE 
                   COMPUTING.

       Section 201(a) of the High-Performance Computing Act of 
     1991 (15 U.S.C. 5521(a)) is amended--
       (1) by redesignating paragraphs (2) through (4) as 
     paragraphs (3) through (5), respectively; and
       (2) by inserting after paragraph (1) the following:
       ``(2) the National Science Foundation shall use its 
     existing programs, in collaboration with other agencies, as 
     appropriate, to improve the teaching and learning of 
     networking and information technology at all levels of 
     education and to increase participation in networking and 
     information technology fields;''.

     SEC. 405. CONFORMING AND TECHNICAL AMENDMENTS TO THE HIGH-
                   PERFORMANCE COMPUTING ACT OF 1991.

       (a) Section 3.--Section 3 of the High-Performance Computing 
     Act of 1991 (15 U.S.C. 5502) is amended--
       (1) in the matter preceding paragraph (1), by striking 
     ``high-performance computing'' and inserting ``networking and 
     information technology'';
       (2) in paragraph (1)--
       (A) in the matter preceding subparagraph (A), by striking 
     ``high-performance computing'' and inserting ``networking and 
     information technology'';
       (B) in subparagraphs (A), (F), and (G), by striking ``high-
     performance computing'' each place it appears and inserting 
     ``networking and information technology''; and
       (C) in subparagraph (H), by striking ``high-performance'' 
     and inserting ``high-end''; and
       (3) in paragraph (2)--
       (A) by striking ``high-performance computing and'' and 
     inserting ``networking and information technology, and''; and
       (B) by striking ``high-performance computing network'' and 
     inserting ``networking and information technology''.
       (b) Title Heading.--The heading of title I of the High-
     Performance Computing Act of 1991 (105 Stat. 1595) is amended 
     by striking ``HIGH-PERFORMANCE COMPUTING'' and inserting 
     ``NETWORKING AND INFORMATION TECHNOLOGY''.
       (c) Section 101.--Section 101 of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5511) is amended--
       (1) in the section heading, by striking ``high-performance 
     computing'' and inserting ``networking and information 
     technology research and development'';
       (2) in subsection (a)--
       (A) in the subsection heading, by striking ``National High-
     Performance Computing'' and inserting ``Networking and 
     Information Technology Research and Development'';
       (B) in paragraph (1)--
       (i) by striking ``National High-Performance Computing 
     Program'' and inserting ``networking and information 
     technology research and development program'';
       (ii) in subparagraph (A), by striking ``high-performance 
     computing, including networking'' and inserting ``networking 
     and information technology'';
       (iii) in subparagraphs (B) and (G), by striking ``high-
     performance'' each place it appears and inserting ``high-
     end''; and
       (iv) in subparagraph (C), by striking ``high-performance 
     computing and networking'' and inserting ``high-end 
     computing, distributed, and networking''; and
       (C) in paragraph (2)--
       (i) in subparagraphs (A) and (C)--

       (I) by striking ``high-performance computing'' each place 
     it appears and inserting ``networking and information 
     technology''; and
       (II) by striking ``development, networking,'' each place it 
     appears and inserting ``development,''; and

       (ii) in subparagraphs (G) and (H), as redesignated by 
     section 401(d) of this Act, by striking ``high-performance'' 
     each place it appears and inserting ``high-end'';
       (3) in subsection (b)(1), in the matter preceding 
     subparagraph (A), by striking ``high-performance computing'' 
     each place it appears and inserting ``networking and 
     information technology''; and
       (4) in subsection (c)(1)(A), by striking ``high-performance 
     computing'' and inserting ``networking and information 
     technology''.
       (d) Section 201.--Section 201(a)(1) of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5521(a)(1)) is amended by 
     striking ``high-performance computing and advanced high-speed 
     computer networking'' and inserting ``networking and 
     information technology research and development''.
       (e) Section 202.--Section 202(a) of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5522(a)) is amended by 
     striking ``high-performance computing'' and inserting 
     ``networking and information technology''.
       (f) Section 203.--Section 203(a) of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5523(a)) is amended--
       (1) in paragraph (1), by striking ``high-performance 
     computing and networking'' and inserting ``networking and 
     information technology''; and
       (2) in paragraph (2)(A), by striking ``high-performance'' 
     and inserting ``high-end''.
       (g) Section 204.--Section 204 of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5524) is amended--
       (1) in subsection (a)(1)--
       (A) in subparagraph (A), by striking ``high-performance 
     computing systems and networks'' and inserting ``networking 
     and information technology systems and capabilities'';
       (B) in subparagraph (B), by striking ``interoperability of 
     high-performance computing systems in networks and for common 
     user interfaces to systems'' and inserting ``interoperability 
     and usability of networking and information technology 
     systems''; and
       (C) in subparagraph (C), by striking ``high-performance 
     computing'' and inserting ``networking and information 
     technology''; and
       (2) in subsection (b)--
       (A) by striking ``High-Performance Computing and Network'' 
     in the heading and inserting ``Networking and Information 
     Technology''; and
       (B) by striking ``sensitive''.
       (h) Section 205.--Section 205(a) of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5525(a)) is amended by 
     striking ``computational'' and inserting ``networking and 
     information technology''.
       (i) Section 206.--Section 206(a) of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5526(a)) is amended by 
     striking ``computational research'' and inserting 
     ``networking and information technology research''.
       (j) Section 207.--Section 207 of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5527) is amended by striking 
     ``high-performance computing'' and inserting ``networking and 
     information technology''.
       (k) Section 208.--Section 208 of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5528) is amended--
       (1) in the section heading, by striking ``high-performance 
     computing'' and inserting ``networking and information 
     technology''; and
       (2) in subsection (a)--
       (A) in paragraph (1), by striking ``High-performance 
     computing and associated'' and inserting ``Networking and 
     information'';
       (B) in paragraph (2), by striking ``high-performance 
     computing'' and inserting ``networking and information 
     technologies'';
       (C) in paragraph (3), by striking ``high-performance'' and 
     inserting ``high-end'';
       (D) in paragraph (4), by striking ``high-performance 
     computers and associated'' and inserting ``networking and 
     information''; and
       (E) in paragraph (5), by striking ``high-performance 
     computing and associated'' and inserting ``networking and 
     information''.

     SEC. 406. FEDERAL CYBER SCHOLARSHIP-FOR-SERVICE PROGRAM.

       (a) In General.--The Director of the National Science 
     Foundation, in coordination with the Secretary of Homeland 
     Security, shall carry out a Federal cyber scholarship-for-
     service program to recruit and train the next generation of 
     information technology professionals and security managers to 
     meet the needs of the cybersecurity mission for the Federal 
     government.
       (b) Program Description and Components.--The program 
     shall--
       (1) annually assess the workforce needs of the Federal 
     government for cybersecurity professionals, including network 
     engineers, software engineers, and other experts in order to 
     determine how many scholarships should be awarded annually to 
     ensure that the workforce needs following graduation match 
     the number of scholarships awarded;
       (2) provide scholarships for up to 1,000 students per year 
     in their pursuit of undergraduate or graduate degrees in the 
     cybersecurity field, in an amount that may include coverage 
     for full tuition, fees, and a stipend;
       (3) require each scholarship recipient, as a condition of 
     receiving a scholarship under the program, to serve in a 
     Federal information technology workforce for a period equal 
     to one and one-half times each year, or partial year, of 
     scholarship received, in addition to an internship in the 
     cybersecurity field, if applicable, following graduation;
       (4) provide a procedure for the National Science Foundation 
     or a Federal agency, consistent with regulations of the 
     Office of Personnel Management, to request and fund a 
     security clearance for a scholarship recipient, including 
     providing for clearance during a summer internship and upon 
     graduation; and
       (5) provide opportunities for students to receive temporary 
     appointments for meaningful employment in the Federal 
     information technology workforce during school vacation 
     periods and for internships.
       (c) Hiring Authority.--
       (1) In general.--For purposes of any law or regulation 
     governing the appointment of an

[[Page S5555]]

     individual in the Federal civil service, upon the successful 
     completion of the student's studies, a student receiving a 
     scholarship under the program may--
       (A) be hired under section 213.3102(r) of title 5, Code of 
     Federal Regulations; and
       (B) be exempt from competitive service.
       (2) Competitive service.--Upon satisfactory fulfillment of 
     the service term under paragraph (1), an individual may be 
     converted to a competitive service position without 
     competition if the individual meets the requirements for that 
     position.
       (d) Eligibility.--The eligibility requirements for a 
     scholarship under this section shall include that a 
     scholarship applicant--
       (1) be a citizen of the United States;
       (2) be eligible to be granted a security clearance;
       (3) maintain a grade point average of 3.2 or above on a 4.0 
     scale for undergraduate study or a 3.5 or above on a 4.0 
     scale for postgraduate study;
       (4) demonstrate a commitment to a career in improving the 
     security of the information infrastructure; and
       (5) has demonstrated a level of proficiency in math or 
     computer sciences.
       (e) Failure to Complete Service Obligation.--
       (1) In general.--A scholarship recipient under this section 
     shall be liable to the United States under paragraph (2) if 
     the scholarship recipient--
       (A) fails to maintain an acceptable level of academic 
     standing in the educational institution in which the 
     individual is enrolled, as determined by the Director;
       (B) is dismissed from such educational institution for 
     disciplinary reasons;
       (C) withdraws from the program for which the award was made 
     before the completion of such program;
       (D) declares that the individual does not intend to fulfill 
     the service obligation under this section;
       (E) fails to fulfill the service obligation of the 
     individual under this section; or
       (F) loses a security clearance or becomes ineligible for a 
     security clearance.
       (2) Repayment amounts.--
       (A) Less than 1 year of service.--If a circumstance under 
     paragraph (1) occurs before the completion of 1 year of a 
     service obligation under this section, the total amount of 
     awards received by the individual under this section shall be 
     repaid.
       (B) One or more years of service.--If a circumstance 
     described in subparagraph (D) or (E) of paragraph (1) occurs 
     after the completion of 1 year of a service obligation under 
     this section, the total amount of scholarship awards received 
     by the individual under this section, reduced by the ratio of 
     the number of years of service completed divided by the 
     number of years of service required, shall be repaid.
       (f) Evaluation and Report.--The Director of the National 
     Science Foundation shall--
       (1) evaluate the success of recruiting individuals for 
     scholarships under this section and of hiring and retaining 
     those individuals in the public sector workforce, including 
     the annual cost and an assessment of how the program actually 
     improves the Federal workforce; and
       (2) periodically report the findings under paragraph (1) to 
     Congress.
       (g) Authorization of Appropriations.--From amounts made 
     available under section 503 of the America COMPETES 
     Reauthorization Act of 2010 (124 Stat. 4005), the Director 
     may use funds to carry out the requirements of this section 
     for fiscal years 2012 through 2013.

     SEC. 407. STUDY AND ANALYSIS OF CERTIFICATION AND TRAINING OF 
                   INFORMATION INFRASTRUCTURE PROFESSIONALS.

       (a) Study.--The President shall enter into an agreement 
     with the National Academies to conduct a comprehensive study 
     of government, academic, and private-sector accreditation, 
     training, and certification programs for personnel working in 
     information infrastructure. The agreement shall require the 
     National Academies to consult with sector coordinating 
     councils and relevant governmental agencies, regulatory 
     entities, and nongovernmental organizations in the course of 
     the study.
       (b) Scope.--The study shall include--
       (1) an evaluation of the body of knowledge and various 
     skills that specific categories of personnel working in 
     information infrastructure should possess in order to secure 
     information systems;
       (2) an assessment of whether existing government, academic, 
     and private-sector accreditation, training, and certification 
     programs provide the body of knowledge and various skills 
     described in paragraph (1);
       (3) an analysis of any barriers to the Federal Government 
     recruiting and hiring cybersecurity talent, including 
     barriers relating to compensation, the hiring process, job 
     classification, and hiring flexibility; and
       (4) an analysis of the sources and availability of 
     cybersecurity talent, a comparison of the skills and 
     expertise sought by the Federal Government and the private 
     sector, an examination of the current and future capacity of 
     United States institutions of higher education, including 
     community colleges, to provide current and future 
     cybersecurity professionals, through education and training 
     activities, with those skills sought by the Federal 
     Government, State and local entities, and the private sector.
       (c) Report.--Not later than 1 year after the date of 
     enactment of this Act, the National Academies shall submit to 
     the President and Congress a report on the results of the 
     study. The report shall include--
       (1) findings regarding the state of information 
     infrastructure accreditation, training, and certification 
     programs, including specific areas of deficiency and 
     demonstrable progress; and
       (2) recommendations for the improvement of information 
     infrastructure accreditation, training, and certification 
     programs.

     SEC. 408. INTERNATIONAL CYBERSECURITY TECHNICAL STANDARDS.

       (a) In General.--The Director of the National Institute of 
     Standards and Technology, in coordination with appropriate 
     Federal authorities, shall--
       (1) as appropriate, ensure coordination of Federal agencies 
     engaged in the development of international technical 
     standards related to information system security; and
       (2) not later than 1 year after the date of enactment of 
     this Act, develop and transmit to Congress a plan for 
     ensuring such Federal agency coordination.
       (b) Consultation With the Private Sector.--In carrying out 
     the activities under subsection (a)(1), the Director shall 
     ensure consultation with appropriate private sector 
     stakeholders.

     SEC. 409. IDENTITY MANAGEMENT RESEARCH AND DEVELOPMENT.

       The Director of the National Institute of Standards and 
     Technology shall continue a program to support the 
     development of technical standards, metrology, testbeds, and 
     conformance criteria, taking into account appropriate user 
     concerns--
       (1) to improve interoperability among identity management 
     technologies;
       (2) to strengthen authentication methods of identity 
     management systems;
       (3) to improve privacy protection in identity management 
     systems, including health information technology systems, 
     through authentication and security protocols; and
       (4) to improve the usability of identity management 
     systems.

     SEC. 410. FEDERAL CYBERSECURITY RESEARCH AND DEVELOPMENT.

       (a) National Science Foundation Computer and Network 
     Security Research Grant Areas.--Section 4(a)(1) of the Cyber 
     Security Research and Development Act (15 U.S.C. 7403(a)(1)) 
     is amended--
       (1) in subparagraph (H), by striking ``and'' after the 
     semicolon;
       (2) in subparagraph (I), by striking ``property.'' and 
     inserting ``property;''; and
       (3) by adding at the end the following:
       ``(J) secure fundamental protocols that are at the heart of 
     inter-network communications and data exchange;
       ``(K) system security that addresses the building of secure 
     systems from trusted and untrusted components;
       ``(L) monitoring and detection; and
       ``(M) resiliency and rapid recovery methods.''.
       (b) National Science Foundation Computer and Network 
     Security Grants.--Section 4(a)(3) of the Cyber Security 
     Research and Development Act (15 U.S.C. 7403(a)(3)) is 
     amended--
       (1) in subparagraph (D), by striking ``and'';
       (2) in subparagraph (E), by striking ``2007.'' and 
     inserting ``2007;''; and
       (3) by adding at the end the following:
       ``(F) such funds from amounts made available under section 
     503 of the America COMPETES Reauthorization Act of 2010 (124 
     Stat. 4005), as the Director finds necessary to carry out the 
     requirements of this subsection for fiscal years 2012 through 
     2013.''.
       (c) Computer and Network Security Centers.--Section 4(b)(7) 
     of the Cyber Security Research and Development Act (15 U.S.C. 
     7403(b)(7)) is amended--
       (1) in subparagraph (D), by striking ``and'';
       (2) in subparagraph (E), by striking ``2007.'' and 
     inserting ``2007;''; and
       (3) by adding at the end the following:
       ``(F) such funds from amounts made available under section 
     503 of the America COMPETES Reauthorization Act of 2010 (124 
     Stat. 4005), as the Director finds necessary to carry out the 
     requirements of this subsection for fiscal years 2012 through 
     2013.''.
       (d) Computer and Network Security Capacity Building 
     Grants.--Section 5(a)(6) of the Cyber Security Research and 
     Development Act (15 U.S.C. 7404(a)(6)) is amended--
       (1) in subparagraph (D), by striking ``and'';
       (2) in subparagraph (E), by striking ``2007.'' and 
     inserting ``2007;''; and
       (3) by adding at the end the following:
       ``(F) such funds from amounts made available under section 
     503 of the America COMPETES Reauthorization Act of 2010 (124 
     Stat. 4005), as the Director finds necessary to carry out the 
     requirements of this subsection for fiscal years 2012 through 
     2013.''.
       (e) Scientific and Advanced Technology Act Grants.--Section 
     5(b)(2) of the Cyber Security Research and Development Act 
     (15 U.S.C. 7404(b)(2)) is amended--
       (1) in subparagraph (D), by striking ``and'';
       (2) in subparagraph (E), by striking ``2007.'' and 
     inserting ``2007;''; and
       (3) by adding at the end the following:
       ``(F) such funds from amounts made available under section 
     503 of the America COMPETES Reauthorization Act of 2010 (124 
     Stat. 4005), as the Director finds necessary to carry out the 
     requirements of this subsection for fiscal years 2012 through 
     2013.''.
       (f) Graduate Traineeships in Computer and Network Security 
     Research.--Section 5(c)(7) of the Cyber Security Research and 
     Development Act (15 U.S.C. 7404(c)(7)) is amended--

[[Page S5556]]

       (1) in subparagraph (D), by striking ``and'';
       (2) in subparagraph (E), by striking ``2007.'' and 
     inserting ``2007;''; and
       (3) by adding at the end the following:
       ``(F) such funds from amounts made available under section 
     503 of the America COMPETES Reauthorization Act of 2010 (124 
     Stat. 4005), as the Director finds necessary to carry out the 
     requirements of this subsection for fiscal years 2012 through 
     2013.''.
                                 ______
                                 
  SA 2608. Mr. McCAIN (for himself, Mrs. Hutchison, Mr. Chambliss, Mr. 
Grassley, Ms. Murkowski, Mr. Coats, Mr. Burr, and Mr. Johnson of 
Wisconsin) submitted an amendment intended to be proposed by him to the 
bill S. 3414, to enhance the security and resiliency of the cyber and 
communications infrastrucutre of the United States; which was ordered 
to lie on the table; as follows:

       Strike all after the enacting clause and insert the 
     following:

     SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

       (a) Short Title.--This Act may be cited as the 
     ``Strengthening and Enhancing Cybersecurity by Using 
     Research, Education, Information, and Technology Act of 
     2012'' or ``SECURE IT''.
       (b) Table of Contents.--The table of contents of this Act 
     is as follows:

Sec. 1. Short title; table of contents.

       TITLE I--FACILITATING SHARING OF CYBER THREAT INFORMATION

Sec. 101. Definitions.
Sec. 102. Authorization to share cyber threat information.
Sec. 103. Information sharing by the Federal government.
Sec. 104. Construction.
Sec. 105. Report on implementation.
Sec. 106. Inspector General review.
Sec. 107. Technical amendments.
Sec. 108. Access to classified information.

     TITLE II--COORDINATION OF FEDERAL INFORMATION SECURITY POLICY

Sec. 201. Coordination of Federal information security policy.
Sec. 202. Management of information technology.
Sec. 203. No new funding.
Sec. 204. Technical and conforming amendments.
Sec. 205. Clarification of authorities.

                     TITLE III--CRIMINAL PENALTIES

Sec. 301. Penalties for fraud and related activity in connection with 
              computers.
Sec. 302. Trafficking in passwords.
Sec. 303. Conspiracy and attempted computer fraud offenses.
Sec. 304. Criminal and civil forfeiture for fraud and related activity 
              in connection with computers.
Sec. 305. Damage to critical infrastructure computers.
Sec. 306. Limitation on actions involving unauthorized use.
Sec. 307. No new funding.

            TITLE IV--CYBERSECURITY RESEARCH AND DEVELOPMENT

Sec. 401. National High-Performance Computing Program planning and 
              coordination.
Sec. 402. Research in areas of national importance.
Sec. 403. Program improvements.
Sec. 404. Improving education of networking and information technology, 
              including high performance computing.
Sec. 405. Conforming and technical amendments to the High-Performance 
              Computing Act of 1991.
Sec. 406. Federal cyber scholarship-for-service program.
Sec. 407. Study and analysis of certification and training of 
              information infrastructure professionals.
Sec. 408. International cybersecurity technical standards.
Sec. 409. Identity management research and development.
Sec. 410. Federal cybersecurity research and development.

       TITLE I--FACILITATING SHARING OF CYBER THREAT INFORMATION

     SEC. 101. DEFINITIONS.

       In this title:
       (1) Agency.--The term ``agency'' has the meaning given the 
     term in section 3502 of title 44, United States Code.
       (2) Antitrust laws.--The term ``antitrust laws''--
       (A) has the meaning given the term in section 1(a) of the 
     Clayton Act (15 U.S.C. 12(a));
       (B) includes section 5 of the Federal Trade Commission Act 
     (15 U.S.C. 45) to the extent that section 5 of that Act 
     applies to unfair methods of competition; and
       (C) includes any State law that has the same intent and 
     effect as the laws under subparagraphs (A) and (B).
       (3) Countermeasure.--The term ``countermeasure'' means an 
     automated or a manual action with defensive intent to 
     mitigate cyber threats.
       (4) Cyber threat information.--The term ``cyber threat 
     information'' means information that indicates or describes--
       (A) a technical or operation vulnerability or a cyber 
     threat mitigation measure;
       (B) an action or operation to mitigate a cyber threat;
       (C) malicious reconnaissance, including anomalous patterns 
     of network activity that appear to be transmitted for the 
     purpose of gathering technical information related to a 
     cybersecurity threat;
       (D) a method of defeating a technical control;
       (E) a method of defeating an operational control;
       (F) network activity or protocols known to be associated 
     with a malicious cyber actor or that signify malicious cyber 
     intent;
       (G) a method of causing a user with legitimate access to an 
     information system or information that is stored on, 
     processed by, or transiting an information system to 
     inadvertently enable the defeat of a technical or operational 
     control;
       (H) any other attribute of a cybersecurity threat or cyber 
     defense information that would foster situational awareness 
     of the United States cybersecurity posture, if disclosure of 
     such attribute or information is not otherwise prohibited by 
     law;
       (I) the actual or potential harm caused by a cyber 
     incident, including information exfiltrated when it is 
     necessary in order to identify or describe a cybersecurity 
     threat; or
       (J) any combination of subparagraphs (A) through (I).
       (5) Cybersecurity center.--The term ``cybersecurity 
     center'' means the Department of Defense Cyber Crime Center, 
     the Intelligence Community Incident Response Center, the 
     United States Cyber Command Joint Operations Center, the 
     National Cyber Investigative Joint Task Force, the National 
     Security Agency/Central Security Service Threat Operations 
     Center, the National Cybersecurity and Communications 
     Integration Center, and any successor center.
       (6) Cybersecurity system.--The term ``cybersecurity 
     system'' means a system designed or employed to ensure the 
     integrity, confidentiality, or availability of, or to 
     safeguard, a system or network, including measures intended 
     to protect a system or network from--
       (A) efforts to degrade, disrupt, or destroy such system or 
     network; or
       (B) theft or misappropriations of private or government 
     information, intellectual property, or personally 
     identifiable information.
       (7) Entity.--
       (A) In general.--The term ``entity'' means any private 
     entity, non-Federal government agency or department, or 
     State, tribal, or local government agency or department 
     (including an officer, employee, or agent thereof).
       (B) Inclusions.--The term ``entity'' includes a government 
     agency or department (including an officer, employee, or 
     agent thereof) of the District of Columbia, the Commonwealth 
     of Puerto Rico, the Virgin Islands, Guam, American Samoa, the 
     Northern Mariana Islands, and any other territory or 
     possession of the United States.
       (8) Federal information system.--The term ``Federal 
     information system'' means an information system of a Federal 
     department or agency used or operated by an executive agency, 
     by a contractor of an executive agency, or by another 
     organization on behalf of an executive agency.
       (9) Information security.--The term ``information 
     security'' means protecting information and information 
     systems from disruption or unauthorized access, use, 
     disclosure, modification, or destruction in order to 
     provide--
       (A) integrity, by guarding against improper information 
     modification or destruction, including by ensuring 
     information nonrepudiation and authenticity;
       (B) confidentiality, by preserving authorized restrictions 
     on access and disclosure, including means for protecting 
     personal privacy and proprietary information; or
       (C) availability, by ensuring timely and reliable access to 
     and use of information.
       (10) Information system.--The term ``information system'' 
     has the meaning given the term in section 3502 of title 44, 
     United States Code.
       (11) Local government.--The term ``local government'' means 
     any borough, city, county, parish, town, township, village, 
     or other general purpose political subdivision of a State.
       (12) Malicious reconnaissance.--The term ``malicious 
     reconnaissance'' means a method for actively probing or 
     passively monitoring an information system for the purpose of 
     discerning technical vulnerabilities of the information 
     system, if such method is associated with a known or 
     suspected cybersecurity threat.
       (13) Operational control.--The term ``operational control'' 
     means a security control for an information system that 
     primarily is implemented and executed by people.
       (14) Operational vulnerability.--The term ``operational 
     vulnerability'' means any attribute of policy, process, or 
     procedure that could enable or facilitate the defeat of an 
     operational control.
       (15) Private entity.--The term ``private entity'' means any 
     individual or any private group, organization, or 
     corporation, including an officer, employee, or agent 
     thereof.
       (16) Significant cyber incident.--The term ``significant 
     cyber incident'' means a cyber incident resulting in, or an 
     attempted cyber incident that, if successful, would have 
     resulted in--
       (A) the exfiltration from a Federal information system of 
     data that is essential to the operation of the Federal 
     information system; or
       (B) an incident in which an operational or technical 
     control essential to the security or

[[Page S5557]]

     operation of a Federal information system was defeated.
       (17) Technical control.--The term ``technical control'' 
     means a hardware or software restriction on, or audit of, 
     access or use of an information system or information that is 
     stored on, processed by, or transiting an information system 
     that is intended to ensure the confidentiality, integrity, or 
     availability of that system.
       (18) Technical vulnerability.--The term ``technical 
     vulnerability'' means any attribute of hardware or software 
     that could enable or facilitate the defeat of a technical 
     control.
       (19) Tribal.--The term ``tribal'' has the meaning given the 
     term ``Indian tribe'' in section 4 of the Indian Self-
     Determination and Education Assistance Act (25 U.S.C. 450b).

     SEC. 102. AUTHORIZATION TO SHARE CYBER THREAT INFORMATION.

       (a) Voluntary Disclosure.--
       (1) Private entities.--Notwithstanding any other provision 
     of law, a private entity may, for the purpose of preventing, 
     investigating, or otherwise mitigating threats to information 
     security, on its own networks, or as authorized by another 
     entity, on such entity's networks, employ countermeasures and 
     use cybersecurity systems in order to obtain, identify, or 
     otherwise possess cyber threat information.
       (2) Entities.--Notwithstanding any other provision of law, 
     an entity may disclose cyber threat information to--
       (A) a cybersecurity center; or
       (B) any other entity in order to assist with preventing, 
     investigating, or otherwise mitigating threats to information 
     security.
       (3) Information security providers.--If the cyber threat 
     information described in paragraph (1) is obtained, 
     identified, or otherwise possessed in the course of providing 
     information security products or services under contract to 
     another entity, that entity shall be given, at any time prior 
     to disclosure of such information, a reasonable opportunity 
     to authorize or prevent such disclosure, to request 
     anonymization of such information, or to request that 
     reasonable efforts be made to safeguard such information that 
     identifies specific persons from unauthorized access or 
     disclosure.
       (b) Significant Cyber Incidents Involving Federal 
     Information Systems.--
       (1) In general.--An entity providing electronic 
     communication services, remote computing services, or 
     information security services to a Federal department or 
     agency shall inform the Federal department or agency of a 
     significant cyber incident involving the Federal information 
     system of that Federal department or agency that--
       (A) is directly known to the entity as a result of 
     providing such services;
       (B) is directly related to the provision of such services 
     by the entity; and
       (C) as determined by the entity, has impeded or will impede 
     the performance of a critical mission of the Federal 
     department or agency.
       (2) Advance coordination.--A Federal department or agency 
     receiving the services described in paragraph (1) shall 
     coordinate in advance with an entity described in paragraph 
     (1) to develop the parameters of any information that may be 
     provided under paragraph (1), including clarification of the 
     type of significant cyber incident that will impede the 
     performance of a critical mission of the Federal department 
     or agency.
       (3) Report.--A Federal department or agency shall report 
     information provided under this subsection to a cybersecurity 
     center.
       (4) Construction.--Any information provided to a 
     cybersecurity center under paragraph (3) shall be treated in 
     the same manner as information provided to a cybersecurity 
     center under subsection (a).
       (c) Information Shared With or Provided to a Cybersecurity 
     Center.--Cyber threat information provided to a cybersecurity 
     center under this section--
       (1) may be disclosed to, retained by, and used by, 
     consistent with otherwise applicable Federal law, any Federal 
     agency or department, component, officer, employee, or agent 
     of the Federal government for a cybersecurity purpose, a 
     national security purpose, or in order to prevent, 
     investigate, or prosecute any of the offenses listed in 
     section 2516 of title 18, United States Code, and such 
     information shall not be disclosed to, retained by, or used 
     by any Federal agency or department for any use not permitted 
     under this paragraph;
       (2) may, with the prior written consent of the entity 
     submitting such information, be disclosed to and used by a 
     State, tribal, or local government or government agency for 
     the purpose of protecting information systems, or in 
     furtherance of preventing, investigating, or prosecuting a 
     criminal act, except that if the need for immediate 
     disclosure prevents obtaining written consent, such consent 
     may be provided orally with subsequent documentation of such 
     consent;
       (3) shall be considered the commercial, financial, or 
     proprietary information of the entity providing such 
     information to the Federal government and any disclosure 
     outside the Federal government may only be made upon the 
     prior written consent by such entity and shall not constitute 
     a waiver of any applicable privilege or protection provided 
     by law, except that if the need for immediate disclosure 
     prevents obtaining written consent, such consent may be 
     provided orally with subsequent documentation of such 
     consent;
       (4) shall be deemed voluntarily shared information and 
     exempt from disclosure under section 552 of title 5, United 
     States Code, and any State, tribal, or local law requiring 
     disclosure of information or records;
       (5) shall be, without discretion, withheld from the public 
     under section 552(b)(3)(B) of title 5, United States Code, 
     and any State, tribal, or local law requiring disclosure of 
     information or records;
       (6) shall not be subject to the rules of any Federal agency 
     or department or any judicial doctrine regarding ex parte 
     communications with a decision-making official;
       (7) shall not, if subsequently provided to a State, tribal, 
     or local government or government agency, otherwise be 
     disclosed or distributed to any entity by such State, tribal, 
     or local government or government agency without the prior 
     written consent of the entity submitting such information, 
     notwithstanding any State, tribal, or local law requiring 
     disclosure of information or records, except that if the need 
     for immediate disclosure prevents obtaining written consent, 
     such consent may be provided orally with subsequent 
     documentation of such consent; and
       (8) shall not be directly used by any Federal, State, 
     tribal, or local department or agency to regulate the lawful 
     activities of an entity, including activities relating to 
     obtaining, identifying, or otherwise possessing cyber threat 
     information, except that the procedures required to be 
     developed and implemented under this title shall not be 
     considered regulations within the meaning of this paragraph.
       (d) Procedures Relating to Information Sharing With a 
     Cybersecurity Center.--Not later than 60 days after the date 
     of enactment of this Act, the heads of each department or 
     agency containing a cybersecurity center shall jointly 
     develop, promulgate, and submit to Congress procedures to 
     ensure that cyber threat information shared with or provided 
     to--
       (1) a cybersecurity center under this section--
       (A) may be submitted to a cybersecurity center by an 
     entity, to the greatest extent possible, through a uniform, 
     publicly available process or format that is easily 
     accessible on the website of such cybersecurity center, and 
     that includes the ability to provide relevant details about 
     the cyber threat information and written consent to any 
     subsequent disclosures authorized by this paragraph;
       (B) shall immediately be further shared with each 
     cybersecurity center in order to prevent, investigate, or 
     otherwise mitigate threats to information security across the 
     Federal government;
       (C) is handled by the Federal government in a reasonable 
     manner, including consideration of the need to protect the 
     privacy and civil liberties of individuals through 
     anonymization or other appropriate methods, while fully 
     accomplishing the objectives of this title, and the Federal 
     government may undertake efforts consistent with this 
     subparagraph to limit the impact on privacy and civil 
     liberties of the sharing of cyber threat information with the 
     Federal government; and
       (D) except as provided in this section, shall only be used, 
     disclosed, or handled in accordance with the provisions of 
     subsection (c); and
       (2) a Federal agency or department under subsection (b) is 
     provided immediately to a cybersecurity center in order to 
     prevent, investigate, or otherwise mitigate threats to 
     information security across the Federal government.
       (e) Information Shared Between Entities.--
       (1) In general.--An entity sharing cyber threat information 
     with another entity under this title may restrict the use or 
     sharing of such information by such other entity.
       (2) Further sharing.--Cyber threat information shared by 
     any entity with another entity under this title--
       (A) shall only be further shared in accordance with any 
     restrictions placed on the sharing of such information by the 
     entity authorizing such sharing, such as appropriate 
     anonymization of such information; and
       (B) may not be used by any entity to gain an unfair 
     competitive advantage to the detriment of the entity 
     authorizing the sharing of such information, except that the 
     conduct described in paragraph (3) shall not constitute 
     unfair competitive conduct.
       (3) Information shared with state, tribal, or local 
     government or government agency.--Cyber threat information 
     shared with a State, tribal, or local government or 
     government agency under this title--
       (A) may, with the prior written consent of the entity 
     sharing such information, be disclosed to and used by a 
     State, tribal, or local government or government agency for 
     the purpose of protecting information systems, or in 
     furtherance of preventing, investigating, or prosecuting a 
     criminal act, except if the need for immediate disclosure 
     prevents obtaining written consent, consent may be provided 
     orally with subsequent documentation of the consent;
       (B) shall be deemed voluntarily shared information and 
     exempt from disclosure under any State, tribal, or local law 
     requiring disclosure of information or records;
       (C) shall not be disclosed or distributed to any entity by 
     the State, tribal, or local government or government agency 
     without the prior written consent of the entity submitting 
     such information, notwithstanding any

[[Page S5558]]

     State, tribal, or local law requiring disclosure of 
     information or records, except if the need for immediate 
     disclosure prevents obtaining written consent, consent may be 
     provided orally with subsequent documentation of the consent; 
     and
       (D) shall not be directly used by any State, tribal, or 
     local department or agency to regulate the lawful activities 
     of an entity, including activities relating to obtaining, 
     identifying, or otherwise possessing cyber threat 
     information, except that the procedures required to be 
     developed and implemented under this title shall not be 
     considered regulations within the meaning of this 
     subparagraph.
       (4) Antitrust exemption.--The exchange or provision of 
     cyber threat information or assistance between 2 or more 
     private entities under this title shall not be considered a 
     violation of any provision of antitrust laws if exchanged or 
     provided in order to assist with--
       (A) facilitating the prevention, investigation, or 
     mitigation of threats to information security; or
       (B) communicating or disclosing of cyber threat information 
     to help prevent, investigate or otherwise mitigate the 
     effects of a threat to information security.
       (5) No right or benefit.--The provision of cyber threat 
     information to an entity under this section shall not create 
     a right or a benefit to similar information by such entity or 
     any other entity.
       (f) Federal Preemption.--
       (1) In general.--This section supersedes any statute or 
     other law of a State or political subdivision of a State that 
     restricts or otherwise expressly regulates an activity 
     authorized under this section.
       (2) State law enforcement.--Nothing in this section shall 
     be construed to supersede any statute or other law of a State 
     or political subdivision of a State concerning the use of 
     authorized law enforcement techniques.
       (3) Public disclosure.--No information shared with or 
     provided to a State, tribal, or local government or 
     government agency pursuant to this section shall be made 
     publicly available pursuant to any State, tribal, or local 
     law requiring disclosure of information or records.
       (g) Civil and Criminal Liability.--
       (1) General protections.--
       (A) Private entities.--No cause of action shall lie or be 
     maintained in any court against any private entity for--
       (i) the use of countermeasures and cybersecurity systems as 
     authorized by this title;
       (ii) the use, receipt, or disclosure of any cyber threat 
     information as authorized by this title; or
       (iii) the subsequent actions or inactions of any lawful 
     recipient of cyber threat information provided by such 
     private entity.
       (B) Entities.--No cause of action shall lie or be 
     maintained in any court against any entity for--
       (i) the use, receipt, or disclosure of any cyber threat 
     information as authorized by this title; or
       (ii) the subsequent actions or inactions of any lawful 
     recipient of cyber threat information provided by such 
     entity.
       (2) Construction.--Nothing in this subsection shall be 
     construed as creating any immunity against, or otherwise 
     affecting, any action brought by the Federal government, or 
     any agency or department thereof, to enforce any law, 
     executive order, or procedure governing the appropriate 
     handling, disclosure, and use of classified information.
       (h) Otherwise Lawful Disclosures.--Nothing in this section 
     shall be construed to limit or prohibit otherwise lawful 
     disclosures of communications, records, or other information 
     by a private entity to any other governmental or private 
     entity not covered under this section.
       (i) Whistleblower Protection.--Nothing in this Act shall be 
     construed to preempt or preclude any employee from exercising 
     rights currently provided under any whistleblower law, rule, 
     or regulation.
       (j) Relationship to Other Laws.--The submission of cyber 
     threat information under this section to a cybersecurity 
     center shall not affect any requirement under any other 
     provision of law for an entity to provide information to the 
     Federal government.

     SEC. 103. INFORMATION SHARING BY THE FEDERAL GOVERNMENT.

       (a) Classified Information.--
       (1) Procedures.--Consistent with the protection of 
     intelligence sources and methods, and as otherwise determined 
     appropriate, the Director of National Intelligence and the 
     Secretary of Defense, in consultation with the heads of the 
     appropriate Federal departments or agencies, shall develop 
     and promulgate procedures to facilitate and promote--
       (A) the immediate sharing, through the cybersecurity 
     centers, of classified cyber threat information in the 
     possession of the Federal government with appropriately 
     cleared representatives of any appropriate entity; and
       (B) the declassification and immediate sharing, through the 
     cybersecurity centers, with any entity or, if appropriate, 
     public availability of cyber threat information in the 
     possession of the Federal government;
       (2) Handling of classified information.--The procedures 
     developed under paragraph (1) shall ensure that each entity 
     receiving classified cyber threat information pursuant to 
     this section has acknowledged in writing the ongoing 
     obligation to comply with all laws, executive orders, and 
     procedures concerning the appropriate handling, disclosure, 
     or use of classified information.
       (b) Unclassified Cyber Threat Information.--The heads of 
     each department or agency containing a cybersecurity center 
     shall jointly develop and promulgate procedures that ensure 
     that, consistent with the provisions of this section, 
     unclassified, including controlled unclassified, cyber threat 
     information in the possession of the Federal government--
       (1) is shared, through the cybersecurity centers, in an 
     immediate and adequate manner with appropriate entities; and
       (2) if appropriate, is made publicly available.
       (c) Development of Procedures.--
       (1) In general.--The procedures developed under this 
     section shall incorporate, to the greatest extent possible, 
     existing processes utilized by sector specific information 
     sharing and analysis centers.
       (2) Coordination with entities.--In developing the 
     procedures required under this section, the Director of 
     National Intelligence and the heads of each department or 
     agency containing a cybersecurity center shall coordinate 
     with appropriate entities to ensure that protocols are 
     implemented that will facilitate and promote the sharing of 
     cyber threat information by the Federal government.
       (d) Additional Responsibilities of Cybersecurity Centers.--
     Consistent with section 102, a cybersecurity center shall--
       (1) facilitate information sharing, interaction, and 
     collaboration among and between cybersecurity centers and--
       (A) other Federal entities;
       (B) any entity; and
       (C) international partners, in consultation with the 
     Secretary of State;
       (2) disseminate timely and actionable cybersecurity threat, 
     vulnerability, mitigation, and warning information, including 
     alerts, advisories, indicators, signatures, and mitigation 
     and response measures, to improve the security and protection 
     of information systems; and
       (3) coordinate with other Federal entities, as appropriate, 
     to integrate information from across the Federal government 
     to provide situational awareness of the cybersecurity posture 
     of the United States.
       (e) Sharing Within the Federal Government.--The heads of 
     appropriate Federal departments and agencies shall ensure 
     that cyber threat information in the possession of such 
     Federal departments or agencies that relates to the 
     prevention, investigation, or mitigation of threats to 
     information security across the Federal government is shared 
     effectively with the cybersecurity centers.
       (f) Submission to Congress.--Not later than 60 days after 
     the date of enactment of this Act, the Director of National 
     Intelligence, in coordination with the appropriate head of a 
     department or an agency containing a cybersecurity center, 
     shall submit the procedures required by this section to 
     Congress.

     SEC. 104. CONSTRUCTION.

       (a) Information Sharing Relationships.--Nothing in this 
     title shall be construed--
       (1) to limit or modify an existing information sharing 
     relationship;
       (2) to prohibit a new information sharing relationship;
       (3) to require a new information sharing relationship 
     between any entity and the Federal government, except as 
     specified under section 102(b); or
       (4) to modify the authority of a department or agency of 
     the Federal government to protect sources and methods and the 
     national security of the United States.
       (b) Anti-tasking Restriction.--Nothing in this title shall 
     be construed to permit the Federal government--
       (1) to require an entity to share information with the 
     Federal government, except as expressly provided under 
     section 102(b); or
       (2) to condition the sharing of cyber threat information 
     with an entity on such entity's provision of cyber threat 
     information to the Federal government.
       (c) No Liability for Non-participation.--Nothing in this 
     title shall be construed to subject any entity to liability 
     for choosing not to engage in the voluntary activities 
     authorized under this title.
       (d) Use and Retention of Information.--Nothing in this 
     title shall be construed to authorize, or to modify any 
     existing authority of, a department or agency of the Federal 
     government to retain or use any information shared under 
     section 102 for any use other than a use permitted under 
     subsection 102(c)(1).
       (e) No New Funding.--An applicable Federal agency shall 
     carry out the provisions of this title with existing 
     facilities and funds otherwise available, through such means 
     as the head of the agency considers appropriate.

     SEC. 105. REPORT ON IMPLEMENTATION.

       (a) Content of Report.--Not later than 1 year after the 
     date of enactment of this Act, and biennially thereafter, the 
     heads of each department or agency containing a cybersecurity 
     center shall jointly submit, in coordination with the privacy 
     and civil liberties officials of such departments or agencies 
     and the Privacy and Civil Liberties Oversight Board, a 
     detailed report to Congress concerning the implementation of 
     this title, including--
       (1) an assessment of the sufficiency of the procedures 
     developed under section 103 of this Act in ensuring that 
     cyber threat information in the possession of the Federal 
     government is provided in an immediate and adequate manner to 
     appropriate entities or, if appropriate, is made publicly 
     available;

[[Page S5559]]

       (2) an assessment of whether information has been 
     appropriately classified and an accounting of the number of 
     security clearances authorized by the Federal government for 
     purposes of this title;
       (3) a review of the type of cyber threat information shared 
     with a cybersecurity center under section 102 of this Act, 
     including whether such information meets the definition of 
     cyber threat information under section 101, the degree to 
     which such information may impact the privacy and civil 
     liberties of individuals, any appropriate metrics to 
     determine any impact of the sharing of such information with 
     the Federal government on privacy and civil liberties, and 
     the adequacy of any steps taken to reduce such impact;
       (4) a review of actions taken by the Federal government 
     based on information provided to a cybersecurity center under 
     section 102 of this Act, including the appropriateness of any 
     subsequent use under section 102(c)(1) of this Act and 
     whether there was inappropriate stovepiping within the 
     Federal government of any such information;
       (5) a description of any violations of the requirements of 
     this title by the Federal government;
       (6) a classified list of entities that received classified 
     information from the Federal government under section 103 of 
     this Act and a description of any indication that such 
     information may not have been appropriately handled;
       (7) a summary of any breach of information security, if 
     known, attributable to a specific failure by any entity or 
     the Federal government to act on cyber threat information in 
     the possession of such entity or the Federal government that 
     resulted in substantial economic harm or injury to a specific 
     entity or the Federal government; and
       (8) any recommendation for improvements or modifications to 
     the authorities under this title.
       (b) Form of Report.--The report under subsection (a) shall 
     be submitted in unclassified form, but shall include a 
     classified annex.

     SEC. 106. INSPECTOR GENERAL REVIEW.

       (a) In General.--The Council of the Inspectors General on 
     Integrity and Efficiency are authorized to review compliance 
     by the cybersecurity centers, and by any Federal department 
     or agency receiving cyber threat information from such 
     cybersecurity centers, with the procedures required under 
     section 102 of this Act.
       (b) Scope of Review.--The review under subsection (a) shall 
     consider whether the Federal government has handled such 
     cyber threat information in a reasonable manner, including 
     consideration of the need to protect the privacy and civil 
     liberties of individuals through anonymization or other 
     appropriate methods, while fully accomplishing the objectives 
     of this title.
       (c) Report to Congress.--Each review conducted under this 
     section shall be provided to Congress not later than 30 days 
     after the date of completion of the review.

     SEC. 107. TECHNICAL AMENDMENTS.

       Section 552(b) of title 5, United States Code, is amended--
       (1) in paragraph (8), by striking ``or'';
       (2) in paragraph (9), by striking ``wells.'' and inserting 
     ``wells; or''; and
       (3) by adding at the end the following:
       ``(10) information shared with or provided to a 
     cybersecurity center under section 102 of title I of the 
     Strengthening and Enhancing Cybersecurity by Using Research, 
     Education, Information, and Technology Act of 2012.''.

     SEC. 108. ACCESS TO CLASSIFIED INFORMATION.

       (a) Authorization Required.--No person shall be provided 
     with access to classified information (as defined in section 
     6.1 of Executive Order 13526 (50 U.S.C. 435 note; relating to 
     classified national security information)) relating to cyber 
     security threats or cyber security vulnerabilities under this 
     title without the appropriate security clearances.
       (b) Security Clearances.--The appropriate Federal agencies 
     or departments shall, consistent with applicable procedures 
     and requirements, and if otherwise deemed appropriate, assist 
     an individual in timely obtaining an appropriate security 
     clearance where such individual has been determined to be 
     eligible for such clearance and has a need-to-know (as 
     defined in section 6.1 of that Executive Order) classified 
     information to carry out this title.

     TITLE II--COORDINATION OF FEDERAL INFORMATION SECURITY POLICY

     SEC. 201. COORDINATION OF FEDERAL INFORMATION SECURITY 
                   POLICY.

       (a) In General.--Chapter 35 of title 44, United States 
     Code, is amended by striking subchapters II and III and 
     inserting the following:

                 ``SUBCHAPTER II--INFORMATION SECURITY

     ``Sec. 3551. Purposes

       ``The purposes of this subchapter are--
       ``(1) to provide a comprehensive framework for ensuring the 
     effectiveness of information security controls over 
     information resources that support Federal operations and 
     assets;
       ``(2) to recognize the highly networked nature of the 
     current Federal computing environment and provide effective 
     government-wide management of policies, directives, 
     standards, and guidelines, as well as effective and nimble 
     oversight of and response to information security risks, 
     including coordination of information security efforts 
     throughout the Federal civilian, national security, and law 
     enforcement communities;
       ``(3) to provide for development and maintenance of 
     controls required to protect agency information and 
     information systems and contribute to the overall improvement 
     of agency information security posture;
       ``(4) to provide for the development of tools and methods 
     to assess and respond to real-time situational risk for 
     Federal information system operations and assets; and
       ``(5) to provide a mechanism for improving agency 
     information security programs through continuous monitoring 
     of agency information systems and streamlined reporting 
     requirements rather than overly prescriptive manual 
     reporting.

     ``Sec. 3552. Definitions

       ``In this subchapter:
       ``(1) Adequate security.--The term `adequate security' 
     means security commensurate with the risk and magnitude of 
     the harm resulting from the unauthorized access to or loss, 
     misuse, destruction, or modification of information.
       ``(2) Agency.--The term `agency' has the meaning given the 
     term in section 3502 of title 44.
       ``(3) Cybersecurity center.--The term `cybersecurity 
     center' means the Department of Defense Cyber Crime Center, 
     the Intelligence Community Incident Response Center, the 
     United States Cyber Command Joint Operations Center, the 
     National Cyber Investigative Joint Task Force, the National 
     Security Agency/Central Security Service Threat Operations 
     Center, the National Cybersecurity and Communications 
     Integration Center, and any successor center.
       ``(4) Cyber threat information.--The term `cyber threat 
     information' means information that indicates or describes--
       ``(A) a technical or operation vulnerability or a cyber 
     threat mitigation measure;
       ``(B) an action or operation to mitigate a cyber threat;
       ``(C) malicious reconnaissance, including anomalous 
     patterns of network activity that appear to be transmitted 
     for the purpose of gathering technical information related to 
     a cybersecurity threat;
       ``(D) a method of defeating a technical control;
       ``(E) a method of defeating an operational control;
       ``(F) network activity or protocols known to be associated 
     with a malicious cyber actor or that signify malicious cyber 
     intent;
       ``(G) a method of causing a user with legitimate access to 
     an information system or information that is stored on, 
     processed by, or transiting an information system to 
     inadvertently enable the defeat of a technical or operational 
     control;
       ``(H) any other attribute of a cybersecurity threat or 
     cyber defense information that would foster situational 
     awareness of the United States cybersecurity posture, if 
     disclosure of such attribute or information is not otherwise 
     prohibited by law;
       ``(I) the actual or potential harm caused by a cyber 
     incident, including information exfiltrated when it is 
     necessary in order to identify or describe a cybersecurity 
     threat; or
       ``(J) any combination of subparagraphs (A) through (I).
       ``(5) Director.--The term `Director' means the Director of 
     the Office of Management and Budget unless otherwise 
     specified.
       ``(6) Environment of operation.--The term `environment of 
     operation' means the information system and environment in 
     which those systems operate, including changing threats, 
     vulnerabilities, technologies, and missions and business 
     practices.
       ``(7) Federal information system.--The term `Federal 
     information system' means an information system used or 
     operated by an executive agency, by a contractor of an 
     executive agency, or by another organization on behalf of an 
     executive agency.
       ``(8) Incident.--The term `incident' means an occurrence 
     that--
       ``(A) actually or imminently jeopardizes the integrity, 
     confidentiality, or availability of an information system or 
     the information that system controls, processes, stores, or 
     transmits; or
       ``(B) constitutes a violation of law or an imminent threat 
     of violation of a law, a security policy, a security 
     procedure, or an acceptable use policy.
       ``(9) Information resources.--The term `information 
     resources' has the meaning given the term in section 3502 of 
     title 44.
       ``(10) Information security.--The term `information 
     security' means protecting information and information 
     systems from disruption or unauthorized access, use, 
     disclosure, modification, or destruction in order to 
     provide--
       ``(A) integrity, by guarding against improper information 
     modification or destruction, including by ensuring 
     information nonrepudiation and authenticity;
       ``(B) confidentiality, by preserving authorized 
     restrictions on access and disclosure, including means for 
     protecting personal privacy and proprietary information; or
       ``(C) availability, by ensuring timely and reliable access 
     to and use of information.
       ``(11) Information system.--The term `information system' 
     has the meaning given the term in section 3502 of title 44.
       ``(12) Information technology.--The term `information 
     technology' has the meaning given the term in section 11101 
     of title 40.
       ``(13) Malicious reconnaissance.--The term `malicious 
     reconnaissance' means a method for actively probing or 
     passively monitoring an information system for the purpose of 
     discerning technical

[[Page S5560]]

     vulnerabilities of the information system, if such method is 
     associated with a known or suspected cybersecurity threat.
       ``(14) National security system.--
       ``(A) In general.--The term `national security system' 
     means any information system (including any 
     telecommunications system) used or operated by an agency or 
     by a contractor of an agency, or other organization on behalf 
     of an agency--
       ``(i) the function, operation, or use of which--

       ``(I) involves intelligence activities;

       ``(II) involves cryptologic activities related to national 
     security;
       ``(III) involves command and control of military forces;
       ``(IV) involves equipment that is an integral part of a 
     weapon or weapons system; or
       ``(V) subject to subparagraph (B), is critical to the 
     direct fulfillment of military or intelligence missions; or

       ``(ii) is protected at all times by procedures established 
     for information that have been specifically authorized under 
     criteria established by an Executive Order or an Act of 
     Congress to be kept classified in the interest of national 
     defense or foreign policy.
       ``(B) Limitation.--Subparagraph (A)(i)(V) does not include 
     a system that is to be used for routine administrative and 
     business applications (including payroll, finance, logistics, 
     and personnel management applications).
       ``(15) Operational control.--The term `operational control' 
     means a security control for an information system that 
     primarily is implemented and executed by people.
       ``(16) Person.--The term `person' has the meaning given the 
     term in section 3502 of title 44.
       ``(17) Secretary.--The term `Secretary' means the Secretary 
     of Commerce unless otherwise specified.
       ``(18) Security control.--The term `security control' means 
     the management, operational, and technical controls, 
     including safeguards or countermeasures, prescribed for an 
     information system to protect the confidentiality, integrity, 
     and availability of the system and its information.
       ``(19) Significant cyber incident.--The term `significant 
     cyber incident' means a cyber incident resulting in, or an 
     attempted cyber incident that, if successful, would have 
     resulted in--
       ``(A) the exfiltration from a Federal information system of 
     data that is essential to the operation of the Federal 
     information system; or
       ``(B) an incident in which an operational or technical 
     control essential to the security or operation of a Federal 
     information system was defeated.
       ``(20) Technical control.--The term `technical control' 
     means a hardware or software restriction on, or audit of, 
     access or use of an information system or information that is 
     stored on, processed by, or transiting an information system 
     that is intended to ensure the confidentiality, integrity, or 
     availability of that system.

     ``Sec. 3553. Federal information security authority and 
       coordination

       ``(a) In General.--The Secretary, in consultation with the 
     Secretary of Homeland Security, shall--
       ``(1) issue compulsory and binding policies and directives 
     governing agency information security operations, and require 
     implementation of such policies and directives, including--
       ``(A) policies and directives consistent with the standards 
     and guidelines promulgated under section 11331 of title 40 to 
     identify and provide information security protections 
     prioritized and commensurate with the risk and impact 
     resulting from the unauthorized access, use, disclosure, 
     disruption, modification, or destruction of--
       ``(i) information collected or maintained by or on behalf 
     of an agency; or
       ``(ii) information systems used or operated by an agency or 
     by a contractor of an agency or other organization on behalf 
     of an agency;
       ``(B) minimum operational requirements for Federal 
     Government to protect agency information systems and provide 
     common situational awareness across all agency information 
     systems;
       ``(C) reporting requirements, consistent with relevant law, 
     regarding information security incidents and cyber threat 
     information;
       ``(D) requirements for agencywide information security 
     programs;
       ``(E) performance requirements and metrics for the security 
     of agency information systems;
       ``(F) training requirements to ensure that agencies are 
     able to fully and timely comply with the policies and 
     directives issued by the Secretary under this subchapter;
       ``(G) training requirements regarding privacy, civil 
     rights, and civil liberties, and information oversight for 
     agency information security personnel;
       ``(H) requirements for the annual reports to the Secretary 
     under section 3554(d);
       ``(I) any other information security operations or 
     information security requirements as determined by the 
     Secretary in coordination with relevant agency heads; and
       ``(J) coordinating the development of standards and 
     guidelines under section 20 of the National Institute of 
     Standards and Technology Act (15 U.S.C. 278g-3) with agencies 
     and offices operating or exercising control of national 
     security systems (including the National Security Agency) to 
     assure, to the maximum extent feasible, that such standards 
     and guidelines are complementary with standards and 
     guidelines developed for national security systems;
       ``(2) review the agencywide information security programs 
     under section 3554; and
       ``(3) designate an individual or an entity at each 
     cybersecurity center, among other responsibilities--
       ``(A) to receive reports and information about information 
     security incidents, cyber threat information, and 
     deterioration of security control affecting agency 
     information systems; and
       ``(B) to act on or share the information under subparagraph 
     (A) in accordance with this subchapter.
       ``(b) Considerations.--When issuing policies and directives 
     under subsection (a), the Secretary shall consider any 
     applicable standards or guidelines developed by the National 
     Institute of Standards and Technology under section 11331 of 
     title 40.
       ``(c) Limitation of Authority.--The authorities of the 
     Secretary under this section shall not apply to national 
     security systems. Information security policies, directives, 
     standards and guidelines for national security systems shall 
     be overseen as directed by the President and, in accordance 
     with that direction, carried out under the authority of the 
     heads of agencies that operate or exercise authority over 
     such national security systems.
       ``(d) Statutory Construction.--Nothing in this subchapter 
     shall be construed to alter or amend any law regarding the 
     authority of any head of an agency over such agency.

     ``Sec. 3554. Agency responsibilities

       ``(a) In General.--The head of each agency shall--
       ``(1) be responsible for--
       ``(A) complying with the policies and directives issued 
     under section 3553;
       ``(B) providing information security protections 
     commensurate with the risk resulting from unauthorized 
     access, use, disclosure, disruption, modification, or 
     destruction of--
       ``(i) information collected or maintained by the agency or 
     by a contractor of an agency or other organization on behalf 
     of an agency; and
       ``(ii) information systems used or operated by an agency or 
     by a contractor of an agency or other organization on behalf 
     of an agency;
       ``(C) complying with the requirements of this subchapter, 
     including--
       ``(i) information security standards and guidelines 
     promulgated under section 11331 of title 40;
       ``(ii) for any national security systems operated or 
     controlled by that agency, information security policies, 
     directives, standards and guidelines issued as directed by 
     the President; and
       ``(iii) for any non-national security systems operated or 
     controlled by that agency, information security policies, 
     directives, standards and guidelines issued under section 
     3553;
       ``(D) ensuring that information security management 
     processes are integrated with agency strategic and 
     operational planning processes;
       ``(E) reporting and sharing, for an agency operating or 
     exercising control of a national security system, information 
     about information security incidents, cyber threat 
     information, and deterioration of security controls to the 
     individual or entity designated at each cybersecurity center 
     and to other appropriate entities consistent with policies 
     and directives for national security systems issued as 
     directed by the President; and
       ``(F) reporting and sharing, for those agencies operating 
     or exercising control of non-national security systems, 
     information about information security incidents, cyber 
     threat information, and deterioration of security controls to 
     the individual or entity designated at each cybersecurity 
     center and to other appropriate entities consistent with 
     policies and directives for non-national security systems as 
     prescribed under section 3553(a), including information to 
     assist the entity designated under section 3555(a) with the 
     ongoing security analysis under section 3555;
       ``(2) ensure that each senior agency official provides 
     information security for the information and information 
     systems that support the operations and assets under the 
     senior agency official's control, including by--
       ``(A) assessing the risk and impact that could result from 
     the unauthorized access, use, disclosure, disruption, 
     modification, or destruction of such information or 
     information systems;
       ``(B) determining the level of information security 
     appropriate to protect such information and information 
     systems in accordance with policies and directives issued 
     under section 3553(a), and standards and guidelines 
     promulgated under section 11331 of title 40 for information 
     security classifications and related requirements;
       ``(C) implementing policies, procedures, and capabilities 
     to reduce risks to an acceptable level in a cost-effective 
     manner;
       ``(D) actively monitoring the effective implementation of 
     information security controls and techniques; and
       ``(E) reporting information about information security 
     incidents, cyber threat information, and deterioration of 
     security controls in a timely and adequate manner to the 
     entity designated under section 3553(a)(3) in accordance with 
     paragraph (1);
       ``(3) assess and maintain the resiliency of information 
     technology systems critical to agency mission and operations;

[[Page S5561]]

       ``(4) designate the agency Inspector General (or an 
     independent entity selected in consultation with the Director 
     and the Council of Inspectors General on Integrity and 
     Efficiency if the agency does not have an Inspector General) 
     to conduct the annual independent evaluation required under 
     section 3556, and allow the agency Inspector General to 
     contract with an independent entity to perform such 
     evaluation;
       ``(5) delegate to the Chief Information Officer or 
     equivalent (or to a senior agency official who reports to the 
     Chief Information Officer or equivalent)--
       ``(A) the authority and primary responsibility to implement 
     an agencywide information security program; and
       ``(B) the authority to provide information security for the 
     information collected and maintained by the agency (or by a 
     contractor, other agency, or other source on behalf of the 
     agency) and for the information systems that support the 
     operations, assets, and mission of the agency (including any 
     information system provided or managed by a contractor, other 
     agency, or other source on behalf of the agency);
       ``(6) delegate to the appropriate agency official (who is 
     responsible for a particular agency system or subsystem) the 
     responsibility to ensure and enforce compliance with all 
     requirements of the agency's agencywide information security 
     program in coordination with the Chief Information Officer or 
     equivalent (or the senior agency official who reports to the 
     Chief Information Officer or equivalent) under paragraph (5);
       ``(7) ensure that an agency has trained personnel who have 
     obtained any necessary security clearances to permit them to 
     assist the agency in complying with this subchapter;
       ``(8) ensure that the Chief Information Officer or 
     equivalent (or the senior agency official who reports to the 
     Chief Information Officer or equivalent) under paragraph (5), 
     in coordination with other senior agency officials, reports 
     to the agency head on the effectiveness of the agencywide 
     information security program, including the progress of any 
     remedial actions; and
       ``(9) ensure that the Chief Information Officer or 
     equivalent (or the senior agency official who reports to the 
     Chief Information Officer or equivalent) under paragraph (5) 
     has the necessary qualifications to administer the functions 
     described in this subchapter and has information security 
     duties as a primary duty of that official.
       ``(b) Chief Information Officers.--Each Chief Information 
     Officer or equivalent (or the senior agency official who 
     reports to the Chief Information Officer or equivalent) under 
     subsection (a)(5) shall--
       ``(1) establish and maintain an enterprise security 
     operations capability that on a continuous basis--
       ``(A) detects, reports, contains, mitigates, and responds 
     to information security incidents that impair adequate 
     security of the agency's information or information system in 
     a timely manner and in accordance with the policies and 
     directives under section 3553; and
       ``(B) reports any information security incident under 
     subparagraph (A) to the entity designated under section 3555;
       ``(2) develop, maintain, and oversee an agencywide 
     information security program;
       ``(3) develop, maintain, and oversee information security 
     policies, procedures, and control techniques to address 
     applicable requirements, including requirements under section 
     3553 of this title and section 11331 of title 40; and
       ``(4) train and oversee the agency personnel who have 
     significant responsibility for information security with 
     respect to that responsibility.
       ``(c) Agencywide Information Security Programs.--
       ``(1) In general.--Each agencywide information security 
     program under subsection (b)(2) shall include--
       ``(A) relevant security risk assessments, including 
     technical assessments and others related to the acquisition 
     process;
       ``(B) security testing commensurate with risk and impact;
       ``(C) mitigation of deterioration of security controls 
     commensurate with risk and impact;
       ``(D) risk-based continuous monitoring and threat 
     assessment of the operational status and security of agency 
     information systems to enable evaluation of the effectiveness 
     of and compliance with information security policies, 
     procedures, and practices, including a relevant and 
     appropriate selection of security controls of information 
     systems identified in the inventory under section 3505(c);
       ``(E) operation of appropriate technical capabilities in 
     order to detect, mitigate, report, and respond to information 
     security incidents, cyber threat information, and 
     deterioration of security controls in a manner that is 
     consistent with the policies and directives under section 
     3553, including--
       ``(i) mitigating risks associated with such information 
     security incidents;
       ``(ii) notifying and consulting with the entity designated 
     under section 3555; and
       ``(iii) notifying and consulting with, as appropriate--

       ``(I) law enforcement and the relevant Office of the 
     Inspector General; and
       ``(II) any other entity, in accordance with law and as 
     directed by the President;

       ``(F) a process to ensure that remedial action is taken to 
     address any deficiencies in the information security 
     policies, procedures, and practices of the agency; and
       ``(G) a plan and procedures to ensure the continuity of 
     operations for information systems that support the 
     operations and assets of the agency.
       ``(2) Risk management strategies.--Each agencywide 
     information security program under subsection (b)(2) shall 
     include the development and maintenance of a risk management 
     strategy for information security. The risk management 
     strategy shall include--
       ``(A) consideration of information security incidents, 
     cyber threat information, and deterioration of security 
     controls; and
       ``(B) consideration of the consequences that could result 
     from the unauthorized access, use, disclosure, disruption, 
     modification, or destruction of information and information 
     systems that support the operations and assets of the agency, 
     including any information system provided or managed by a 
     contractor, other agency, or other source on behalf of the 
     agency;
       ``(3) Policies and procedures.--Each agencywide information 
     security program under subsection (b)(2) shall include 
     policies and procedures that--
       ``(A) are based on the risk management strategy under 
     paragraph (2);
       ``(B) reduce information security risks to an acceptable 
     level in a cost-effective manner;
       ``(C) ensure that cost-effective and adequate information 
     security is addressed as part of the acquisition and ongoing 
     management of each agency information system; and
       ``(D) ensure compliance with--
       ``(i) this subchapter; and
       ``(ii) any other applicable requirements.
       ``(4) Training requirements.--Each agencywide information 
     security program under subsection (b)(2) shall include 
     information security, privacy, civil rights, civil liberties, 
     and information oversight training that meets any applicable 
     requirements under section 3553. The training shall inform 
     each information security personnel that has access to agency 
     information systems (including contractors and other users of 
     information systems that support the operations and assets of 
     the agency) of--
       ``(A) the information security risks associated with the 
     information security personnel's activities; and
       ``(B) the individual's responsibility to comply with the 
     agency policies and procedures that reduce the risks under 
     subparagraph (A).
       ``(d) Annual Report.--Each agency shall submit a report 
     annually to the Secretary of Homeland Security on its 
     agencywide information security program and information 
     systems.

     ``Sec. 3555. Multiagency ongoing threat assessment

       ``(a) Implementation.--The Director of the Office of 
     Management and Budget, in coordination with the Secretary of 
     Homeland Security, shall designate an entity to implement 
     ongoing security analysis concerning agency information 
     systems--
       ``(1) based on cyber threat information;
       ``(2) based on agency information system and environment of 
     operation changes, including--
       ``(A) an ongoing evaluation of the information system 
     security controls; and
       ``(B) the security state, risk level, and environment of 
     operation of an agency information system, including--
       ``(i) a change in risk level due to a new cyber threat;
       ``(ii) a change resulting from a new technology;
       ``(iii) a change resulting from the agency's mission; and
       ``(iv) a change resulting from the business practice; and
       ``(3) using automated processes to the maximum extent 
     possible--
       ``(A) to increase information system security;
       ``(B) to reduce paper-based reporting requirements; and
       ``(C) to maintain timely and actionable knowledge of the 
     state of the information system security.
       ``(b) Standards.--The National Institute of Standards and 
     Technology may promulgate standards, in coordination with the 
     Secretary of Homeland Security, to assist an agency with its 
     duties under this section.
       ``(c) Compliance.--The head of each appropriate department 
     and agency shall be responsible for ensuring compliance and 
     implementing necessary procedures to comply with this 
     section. The head of each appropriate department and agency, 
     in consultation with the Director of the Office of Management 
     and Budget and the Secretary of Homeland Security, shall--
       ``(1) monitor compliance under this section;
       ``(2) develop a timeline and implement for the department 
     or agency--
       ``(A) adoption of any technology, system, or method that 
     facilitates continuous monitoring and threat assessments of 
     an agency information system;
       ``(B) adoption or updating of any technology, system, or 
     method that prevents, detects, or remediates a significant 
     cyber incident to a Federal information system of the 
     department or agency that has impeded, or is reasonably 
     likely to impede, the performance of a critical mission of 
     the department or agency; and
       ``(C) adoption of any technology, system, or method that 
     satisfies a requirement under this section.

[[Page S5562]]

       ``(d) Limitation of Authority.--The authorities of the 
     Director of the Office of Management and Budget and of the 
     Secretary of Homeland Security under this section shall not 
     apply to national security systems.
       ``(e) Report.--Not later than 6 months after the date of 
     enactment of the Strengthening and Enhancing Cybersecurity by 
     Using Research, Education, Information, and Technology Act of 
     2012, the Government Accountability Office shall issue a 
     report evaluating each agency's status toward implementing 
     this section.

     ``Sec. 3556. Independent evaluations

       ``(a) In General.--The Council of the Inspectors General on 
     Integrity and Efficiency, in consultation with the Director 
     and the Secretary of Homeland Security, the Secretary of 
     Commerce, and the Secretary of Defense, shall issue and 
     maintain criteria for the timely, cost-effective, risk-based, 
     and independent evaluation of each agencywide information 
     security program (and practices) to determine the 
     effectiveness of the agencywide information security program 
     (and practices). The criteria shall include measures to 
     assess any conflicts of interest in the performance of the 
     evaluation and whether the agencywide information security 
     program includes appropriate safeguards against disclosure of 
     information where such disclosure may adversely affect 
     information security.
       ``(b) Annual Independent Evaluations.--Each agency shall 
     perform an annual independent evaluation of its agencywide 
     information security program (and practices) in accordance 
     with the criteria under subsection (a).
       ``(c) Distribution of Reports.--Not later than 30 days 
     after receiving an independent evaluation under subsection 
     (b), each agency head shall transmit a copy of the 
     independent evaluation to the Secretary of Homeland Security, 
     the Secretary of Commerce, and the Secretary of Defense.
       ``(d) National Security Systems.--Evaluations involving 
     national security systems shall be conducted as directed by 
     President.

     ``Sec. 3557. National security systems.

       ``The head of each agency operating or exercising control 
     of a national security system shall be responsible for 
     ensuring that the agency--
       ``(1) provides information security protections 
     commensurate with the risk and magnitude of the harm 
     resulting from the unauthorized access, use, disclosure, 
     disruption, modification, or destruction of the information 
     contained in such system; and
       ``(2) implements information security policies and 
     practices as required by standards and guidelines for 
     national security systems, issued in accordance with law and 
     as directed by the President.''.
       (b) Savings Provisions.--
       (1) Policy and compliance guidance.--Policy and compliance 
     guidance issued by the Director before the date of enactment 
     of this Act under section 3543(a)(1) of title 44, United 
     States Code (as in effect on the day before the date of 
     enactment of this Act), shall continue in effect, according 
     to its terms, until modified, terminated, superseded, or 
     repealed pursuant to section 3553(a)(1) of title 44, United 
     States Code.
       (2) Standards and guidelines.--Standards and guidelines 
     issued by the Secretary of Commerce or by the Director before 
     the date of enactment of this Act under section 11331(a)(1) 
     of title 40, United States Code, (as in effect on the day 
     before the date of enactment of this Act) shall continue in 
     effect, according to their terms, until modified, terminated, 
     superseded, or repealed pursuant to section 11331(a)(1) of 
     title 40, United States Code, as amended by this Act.
       (c) Technical and Conforming Amendments.--
       (1) Chapter analysis.--The chapter analysis for chapter 35 
     of title 44, United States Code, is amended--
       (A) by striking the items relating to sections 3531 through 
     3538;
       (B) by striking the items relating to sections 3541 through 
     3549; and
       (C) by inserting the following:

``3551. Purposes.
``3552. Definitions.
``3553. Federal information security authority and coordination.
``3554. Agency responsibilities.
``3555. Multiagency ongoing threat assessment.
``3556. Independent evaluations.
``3557. National security systems.''.
       (2) Other references.--
       (A) Section 1001(c)(1)(A) of the Homeland Security Act of 
     2002 (6 U.S.C. 511(1)(A)) is amended by striking ``section 
     3532(3)'' and inserting ``section 3552''.
       (B) Section 2222(j)(5) of title 10, United States Code, is 
     amended by striking ``section 3542(b)(2)'' and inserting 
     ``section 3552''.
       (C) Section 2223(c)(3) of title 10, United States Code, is 
     amended, by striking ``section 3542(b)(2)'' and inserting 
     ``section 3552''.
       (D) Section 2315 of title 10, United States Code, is 
     amended by striking ``section 3542(b)(2)'' and inserting 
     ``section 3552''.
       (E) Section 20 of the National Institute of Standards and 
     Technology Act (15 U.S.C. 278g-3) is amended--
       (i) in subsection (a)(2), by striking ``section 
     3532(b)(2)'' and inserting ``section 3552'';
       (ii) in subsection (c)(3), by striking ``Director of the 
     Office of Management and Budget'' and inserting ``Secretary 
     of Commerce'';
       (iii) in subsection (d)(1), by striking ``Director of the 
     Office of Management and Budget'' and inserting ``Secretary 
     of Commerce'';
       (iv) in subsection (d)(8) by striking ``Director of the 
     Office of Management and Budget'' and inserting ``Secretary 
     of Commerce'';
       (v) in subsection (d)(8), by striking ``submitted to the 
     Director'' and inserting ``submitted to the Secretary'';
       (vi) in subsection (e)(2), by striking ``section 3532(1) of 
     such title'' and inserting ``section 3552 of title 44''; and
       (vii) in subsection (e)(5), by striking ``section 
     3532(b)(2) of such title'' and inserting ``section 3552 of 
     title 44''.
       (F) Section 8(d)(1) of the Cyber Security Research and 
     Development Act (15 U.S.C. 7406(d)(1)) is amended by striking 
     ``section 3534(b)'' and inserting ``section 3554(b)(2)''.

     SEC. 202. MANAGEMENT OF INFORMATION TECHNOLOGY.

       (a) In General.--Section 11331 of title 40, United States 
     Code, is amended to read as follows:

     ``Sec. 11331. Responsibilities for Federal information 
       systems standards

       ``(a) Standards and Guidelines.--
       ``(1) Authority to prescribe.--Except as provided under 
     paragraph (2), the Secretary of Commerce shall prescribe 
     standards and guidelines pertaining to Federal information 
     systems--
       ``(A) in consultation with the Secretary of Homeland 
     Security; and
       ``(B) on the basis of standards and guidelines developed by 
     the National Institute of Standards and Technology under 
     paragraphs (2) and (3) of section 20(a) of the National 
     Institute of Standards and Technology Act (15 U.S.C. 278g-
     3(a)(2) and (a)(3)).
       ``(2) National security systems.--Standards and guidelines 
     for national security systems shall be developed, prescribed, 
     enforced, and overseen as otherwise authorized by law and as 
     directed by the President.
       ``(b) Mandatory Standards and Guidelines.--
       ``(1) Authority to make mandatory standards and 
     guidelines.--The Secretary of Commerce shall make standards 
     and guidelines under subsection (a)(1) compulsory and binding 
     to the extent determined necessary by the Secretary of 
     Commerce to improve the efficiency of operation or security 
     of Federal information systems.
       ``(2) Required mandatory standards and guidelines.--
       ``(A) In general.--Standards and guidelines under 
     subsection (a)(1) shall include information security 
     standards that--
       ``(i) provide minimum information security requirements as 
     determined under section 20(b) of the National Institute of 
     Standards and Technology Act (15 U.S.C. 278g-3(b)); and
       ``(ii) are otherwise necessary to improve the security of 
     Federal information and information systems.
       ``(B) Binding effect.--Information security standards under 
     subparagraph (A) shall be compulsory and binding.
       ``(c) Exercise of Authority.--To ensure fiscal and policy 
     consistency, the Secretary of Commerce shall exercise the 
     authority conferred by this section subject to direction by 
     the President and in coordination with the Director.
       ``(d) Application of More Stringent Standards and 
     Guidelines.--The head of an executive agency may employ 
     standards for the cost-effective information security for 
     information systems within or under the supervision of that 
     agency that are more stringent than the standards and 
     guidelines the Secretary of Commerce prescribes under this 
     section if the more stringent standards and guidelines--
       ``(1) contain at least the applicable standards and 
     guidelines made compulsory and binding by the Secretary of 
     Commerce; and
       ``(2) are otherwise consistent with the policies, 
     directives, and implementation memoranda issued under section 
     3553(a) of title 44.
       ``(e) Decisions on Promulgation of Standards and 
     Guidelines.--The decision by the Secretary of Commerce 
     regarding the promulgation of any standard or guideline under 
     this section shall occur not later than 6 months after the 
     date of submission of the proposed standard to the Secretary 
     of Commerce by the National Institute of Standards and 
     Technology under section 20 of the National Institute of 
     Standards and Technology Act (15 U.S.C. 278g-3).
       ``(f) Notice and Comment.--A decision by the Secretary of 
     Commerce to significantly modify, or not promulgate, a 
     proposed standard submitted to the Secretary by the National 
     Institute of Standards and Technology under section 20 of the 
     National Institute of Standards and Technology Act (15 U.S.C. 
     278g-3) shall be made after the public is given an 
     opportunity to comment on the Secretary's proposed decision.
       ``(g) Definitions.--In this section:
       ``(1) Federal information system.--The term `Federal 
     information system' has the meaning given the term in section 
     3552 of title 44.
       ``(2) Information security.--The term `information 
     security' has the meaning given the term in section 3552 of 
     title 44.
       ``(3) National security system.--The term `national 
     security system' has the meaning given the term in section 
     3552 of title 44.''.

     SEC. 203. NO NEW FUNDING.

       An applicable Federal agency shall carry out the provisions 
     of this title with existing facilities and funds otherwise 
     available, through such means as the head of the agency 
     considers appropriate.

[[Page S5563]]

     SEC. 204. TECHNICAL AND CONFORMING AMENDMENTS.

       Section 21(b) of the National Institute of Standards and 
     Technology Act (15 U.S.C. 278g-4(b)) is amended--
       (1) in paragraph (2), by striking ``and the Director of the 
     Office of Management and Budget'' and inserting ``, the 
     Secretary of Commerce, and the Secretary of Homeland 
     Security''; and
       (2) in paragraph (3), by inserting ``, the Secretary of 
     Homeland Security,'' after ``the Secretary of Commerce''.

     SEC. 205. CLARIFICATION OF AUTHORITIES.

       Nothing in this title shall be construed to convey any new 
     regulatory authority to any government entity implementing or 
     complying with any provision of this title.

                     TITLE III--CRIMINAL PENALTIES

     SEC. 301. PENALTIES FOR FRAUD AND RELATED ACTIVITY IN 
                   CONNECTION WITH COMPUTERS.

       Section 1030(c) of title 18, United States Code, is amended 
     to read as follows:
       ``(c) The punishment for an offense under subsection (a) or 
     (b) of this section is--
       ``(1) a fine under this title or imprisonment for not more 
     than 20 years, or both, in the case of an offense under 
     subsection (a)(1) of this section;
       ``(2)(A) except as provided in subparagraph (B), a fine 
     under this title or imprisonment for not more than 3 years, 
     or both, in the case of an offense under subsection (a)(2); 
     or
       ``(B) a fine under this title or imprisonment for not more 
     than ten years, or both, in the case of an offense under 
     subsection (a)(2) of this section, if--
       ``(i) the offense was committed for purposes of commercial 
     advantage or private financial gain;
       ``(ii) the offense was committed in the furtherance of any 
     criminal or tortious act in violation of the Constitution or 
     laws of the United States, or of any State; or
       ``(iii) the value of the information obtained, or that 
     would have been obtained if the offense was completed, 
     exceeds $5,000;
       ``(3) a fine under this title or imprisonment for not more 
     than 10 years, or both, in the case of an offense under 
     subsection (a)(3) of this section;
       ``(4) a fine under this title or imprisonment of not more 
     than 20 years, or both, in the case of an offense under 
     subsection (a)(4) of this section;
       ``(5)(A) except as provided in subparagraph (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) of 
     this section, if the offense 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;
       ``(v) damage affecting a computer used by, or on behalf of, 
     an entity of the United States Government in furtherance of 
     the administration of justice, national defense, or national 
     security; or
       ``(vi) damage affecting 10 or more protected computers 
     during any 1-year period;
       ``(B) a fine under this title, imprisonment for not more 
     than 20 years, or both, in the case of an offense under 
     subsection (a)(5)(B), if the offense caused a harm provided 
     in clause (i) through (vi) of subparagraph (A) of this 
     subsection;
       ``(C) if the offender attempts to cause or knowingly or 
     recklessly causes death from conduct in violation of 
     subsection (a)(5)(A), a fine under this title, imprisonment 
     for any term of years or for life, or both;
       ``(D) a fine under this title, imprisonment for not more 
     than 10 years, or both, for any other offense under 
     subsection (a)(5);
       ``(E) a fine under this title or imprisonment for not more 
     than 10 years, or both, in the case of an offense under 
     subsection (a)(6) of this section; or
       ``(F) a fine under this title or imprisonment for not more 
     than 10 years, or both, in the case of an offense under 
     subsection (a)(7) of this section.''.

     SEC. 302. TRAFFICKING IN PASSWORDS.

       Section 1030(a)(6) of title 18, United States Code, is 
     amended to read as follows:
       ``(6) knowingly and with intent to defraud traffics (as 
     defined in section 1029) in any password or similar 
     information or means of access through which a protected 
     computer (as defined in subparagraphs (A) and (B) of 
     subsection (e)(2)) may be accessed without authorization.''.

     SEC. 303. CONSPIRACY AND ATTEMPTED COMPUTER FRAUD OFFENSES.

       Section 1030(b) of title 18, United States Code, is amended 
     by inserting ``as if for the completed offense'' after 
     ``punished as provided''.

     SEC. 304. CRIMINAL AND CIVIL FORFEITURE FOR FRAUD AND RELATED 
                   ACTIVITY IN CONNECTION WITH COMPUTERS.

       Section 1030 of title 18, United States Code, is amended by 
     striking subsections (i) and (j) and inserting the following:
       ``(i) Criminal Forfeiture.--
       ``(1) The court, in imposing sentence on any person 
     convicted of a violation of this section, or convicted of 
     conspiracy to violate this section, shall order, in addition 
     to any other sentence imposed and irrespective of any 
     provision of State law, that such person forfeit to the 
     United States--
       ``(A) such persons interest in any property, real or 
     personal, that was used, or intended to be used, to commit or 
     facilitate the commission of such violation; and
       ``(B) any property, real or personal, constituting or 
     derived from any gross proceeds, or any property traceable to 
     such property, that such person obtained, directly or 
     indirectly, as a result of such violation.
       ``(2) The criminal forfeiture of property under this 
     subsection, including any seizure and disposition of the 
     property, and any related judicial or administrative 
     proceeding, shall be governed by the provisions of section 
     413 of the Comprehensive Drug Abuse Prevention and Control 
     Act of 1970 (21 U.S.C. 853), except subsection (d) of that 
     section.
       ``(j) Civil Forfeiture.--
       ``(1) The following shall be subject to forfeiture to the 
     United States and no property right, real or personal, shall 
     exist in them:
       ``(A) Any property, real or personal, that was used, or 
     intended to be used, to commit or facilitate the commission 
     of any violation of this section, or a conspiracy to violate 
     this section.
       ``(B) Any property, real or personal, constituting or 
     derived from any gross proceeds obtained directly or 
     indirectly, or any property traceable to such property, as a 
     result of the commission of any violation of this section, or 
     a conspiracy to violate this section.
       ``(2) Seizures and forfeitures under this subsection shall 
     be governed by the provisions in chapter 46 relating to civil 
     forfeitures, except that such duties as are imposed on the 
     Secretary of the Treasury under the customs laws described in 
     section 981(d) shall be performed by such officers, agents 
     and other persons as may be designated for that purpose by 
     the Secretary of Homeland Security or the Attorney 
     General.''.

     SEC. 305. DAMAGE TO CRITICAL INFRASTRUCTURE COMPUTERS.

       (a) In General.--Chapter 47 of title 18, United States 
     Code, is amended by inserting after section 1030 the 
     following:

     ``Sec. 1030A. Aggravated damage to a critical infrastructure 
       computer

       ``(a) Definitions.--In this section--
       ``(1) the term `computer' has the meaning given the term in 
     section 1030;
       ``(2) the term `critical infrastructure computer' means a 
     computer that manages or controls systems or assets vital to 
     national defense, national security, national economic 
     security, public health or safety, or any combination of 
     those matters, whether publicly or privately owned or 
     operated, including--
       ``(A) oil and gas production, storage, conversion, and 
     delivery systems;
       ``(B) water supply systems;
       ``(C) telecommunication networks;
       ``(D) electrical power generation and delivery systems;
       ``(E) finance and banking systems;
       ``(F) emergency services;
       ``(G) transportation systems and services; and
       ``(H) government operations that provide essential services 
     to the public; and
       ``(3) the term `damage' has the meaning given the term in 
     section 1030.
       ``(b) Offense.--It shall be unlawful, during and in 
     relation to a felony violation of section 1030, to knowingly 
     cause or attempt to cause damage to a critical infrastructure 
     computer if the damage results in (or, in the case of an 
     attempt, if completed, would have resulted in) the 
     substantial impairment--
       ``(1) of the operation of the critical infrastructure 
     computer; or
       ``(2) of the critical infrastructure associated with the 
     computer.
       ``(c) Penalty.--Any person who violates subsection (b) 
     shall be--
       ``(1) fined under this title;
       ``(2) imprisoned for not less than 3 years but not more 
     than 20 years; or
       ``(3) penalized under paragraphs (1) and (2).
       ``(d) Consecutive Sentence.--Notwithstanding any other 
     provision of law--
       ``(1) a court shall not place on probation any person 
     convicted of a violation of this section;
       ``(2) except as provided in paragraph (4), no term of 
     imprisonment imposed on a person under this section shall run 
     concurrently with any other term of imprisonment, including 
     any term of imprisonment imposed on the person under any 
     other provision of law, including any term of imprisonment 
     imposed for a felony violation of section 1030;
       ``(3) in determining any term of imprisonment to be imposed 
     for a felony violation of section 1030, a court shall not in 
     any way reduce the term to be imposed for such crime so as to 
     compensate for, or otherwise take into account, any separate 
     term of imprisonment imposed or to be imposed for a violation 
     of this section; and
       ``(4) a term of imprisonment imposed on a person for a 
     violation of this section may, in the discretion of the 
     court, run concurrently, in whole or in part, only with 
     another term of imprisonment that is imposed by the court at 
     the same time on that person for an additional violation of 
     this section, provided that such discretion shall be 
     exercised in accordance with any applicable guidelines and 
     policy statements issued by the United States Sentencing 
     Commission pursuant to section 994 of title 28.''.
       (b) Technical and Conforming Amendment.--The chapter 
     analysis for chapter 47 of title 18, United States Code, is 
     amended by inserting after the item relating to section 1030 
     the following:


[[Page S5564]]


``1030A. Aggravated damage to a critical infrastructure computer.''.

     SEC. 306. LIMITATION ON ACTIONS INVOLVING UNAUTHORIZED USE.

       Section 1030(e)(6) of title 18, United States Code, is 
     amended by striking ``alter;'' and inserting ``alter, but 
     does not include access in violation of a contractual 
     obligation or agreement, such as an acceptable use policy or 
     terms of service agreement, with an Internet service 
     provider, Internet website, or non-government employer, if 
     such violation constitutes the sole basis for determining 
     that access to a protected computer is unauthorized;''.

     SEC. 307. NO NEW FUNDING.

       An applicable Federal agency shall carry out the provisions 
     of this title with existing facilities and funds otherwise 
     available, through such means as the head of the agency 
     considers appropriate.

            TITLE IV--CYBERSECURITY RESEARCH AND DEVELOPMENT

     SEC. 401. NATIONAL HIGH-PERFORMANCE COMPUTING PROGRAM 
                   PLANNING AND COORDINATION.

       (a) Goals and Priorities.--Section 101 of the High-
     Performance Computing Act of 1991 (15 U.S.C. 5511) is amended 
     by adding at the end the following:
       ``(d) Goals and Priorities.--The goals and priorities for 
     Federal high-performance computing research, development, 
     networking, and other activities under subsection (a)(2)(A) 
     shall include--
       ``(1) encouraging and supporting mechanisms for 
     interdisciplinary research and development in networking and 
     information technology, including--
       ``(A) through collaborations across agencies;
       ``(B) through collaborations across Program Component 
     Areas;
       ``(C) through collaborations with industry;
       ``(D) through collaborations with institutions of higher 
     education;
       ``(E) through collaborations with Federal laboratories (as 
     defined in section 4 of the Stevenson-Wydler Technology 
     Innovation Act of 1980 (15 U.S.C. 3703)); and
       ``(F) through collaborations with international 
     organizations;
       ``(2) addressing national, multi-agency, multi-faceted 
     challenges of national importance; and
       ``(3) fostering the transfer of research and development 
     results into new technologies and applications for the 
     benefit of society.''.
       (b) Development of Strategic Plan.--Section 101 of the 
     High-Performance Computing Act of 1991 (15 U.S.C. 5511) is 
     amended by adding at the end the following:
       ``(e) Strategic Plan.--
       ``(1) In general.--Not later than 1 year after the date of 
     enactment of the Strengthening and Enhancing Cybersecurity by 
     Using Research, Education, Information, and Technology Act of 
     2012, the agencies under subsection (a)(3)(B), working 
     through the National Science and Technology Council and with 
     the assistance of the Office of Science and Technology Policy 
     shall develop a 5-year strategic plan to guide the activities 
     under subsection (a)(1).
       ``(2) Contents.--The strategic plan shall specify--
       ``(A) the near-term objectives for the Program;
       ``(B) the long-term objectives for the Program;
       ``(C) the anticipated time frame for achieving the near-
     term objectives;
       ``(D) the metrics that will be used to assess any progress 
     made toward achieving the near-term objectives and the long-
     term objectives; and
       ``(E) how the Program will achieve the goals and priorities 
     under subsection (d).
       ``(3) Implementation roadmap.--
       ``(A) In general.--The agencies under subsection (a)(3)(B) 
     shall develop and annually update an implementation roadmap 
     for the strategic plan.
       ``(B) Requirements.--The information in the implementation 
     roadmap shall be coordinated with the database under section 
     102(c) and the annual report under section 101(a)(3). The 
     implementation roadmap shall--
       ``(i) specify the role of each Federal agency in carrying 
     out or sponsoring research and development to meet the 
     research objectives of the strategic plan, including a 
     description of how progress toward the research objectives 
     will be evaluated, with consideration of any relevant 
     recommendations of the advisory committee;
       ``(ii) specify the funding allocated to each major research 
     objective of the strategic plan and the source of funding by 
     agency for the current fiscal year; and
       ``(iii) estimate the funding required for each major 
     research objective of the strategic plan for the next 3 
     fiscal years.
       ``(4) Recommendations.--The agencies under subsection 
     (a)(3)(B) shall take into consideration when developing the 
     strategic plan under paragraph (1) the recommendations of--
       ``(A) the advisory committee under subsection (b); and
       ``(B) the stakeholders under section 102(a)(3).
       ``(5) Report to congress.--The Director of the Office of 
     Science and Technology Policy shall transmit the strategic 
     plan under this subsection, including the implementation 
     roadmap and any updates under paragraph (3), to--
       ``(A) the advisory committee under subsection (b);
       ``(B) the Committee on Commerce, Science, and 
     Transportation of the Senate; and
       ``(C) the Committee on Science and Technology of the House 
     of Representatives.''.
       (c) Periodic Reviews.--Section 101 of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5511) is amended by adding 
     at the end the following:
       ``(f) Periodic Reviews.--The agencies under subsection 
     (a)(3)(B) shall--
       ``(1) periodically assess the contents and funding levels 
     of the Program Component Areas and restructure the Program 
     when warranted, taking into consideration any relevant 
     recommendations of the advisory committee under subsection 
     (b); and
       ``(2) ensure that the Program includes national, multi-
     agency, multi-faceted research and development activities, 
     including activities described in section 104.''.
       (d) Additional Responsibilities of Director.--Section 
     101(a)(2) of the High-Performance Computing Act of 1991 (15 
     U.S.C. 5511(a)(2)) is amended--
       (1) by redesignating subparagraphs (E) and (F) as 
     subparagraphs (G) and (H), respectively; and
       (2) by inserting after subparagraph (D) the following:
       ``(E) encourage and monitor the efforts of the agencies 
     participating in the Program to allocate the level of 
     resources and management attention necessary--
       ``(i) to ensure that the strategic plan under subsection 
     (e) is developed and executed effectively; and
       ``(ii) to ensure that the objectives of the Program are 
     met;
       ``(F) working with the Office of Management and Budget and 
     in coordination with the creation of the database under 
     section 102(c), direct the Office of Science and Technology 
     Policy and the agencies participating in the Program to 
     establish a mechanism (consistent with existing law) to track 
     all ongoing and completed research and development projects 
     and associated funding;''.
       (e) Advisory Committee.--Section 101(b) of the High-
     Performance Computing Act of 1991 (15 U.S.C. 5511(b)) is 
     amended--
       (1) in paragraph (1)--
       (A) by inserting after the first sentence the following: 
     ``The co-chairs of the advisory committee shall meet the 
     qualifications of committee members and may be members of the 
     Presidents Council of Advisors on Science and Technology.''; 
     and
       (B) by striking ``high-performance'' in subparagraph (D) 
     and inserting ``high-end''; and
       (2) by amending paragraph (2) to read as follows:
       ``(2) In addition to the duties under paragraph (1), the 
     advisory committee shall conduct periodic evaluations of the 
     funding, management, coordination, implementation, and 
     activities of the Program. The advisory committee shall 
     report its findings and recommendations not less frequently 
     than once every 3 fiscal years to the Committee on Commerce, 
     Science, and Transportation of the Senate and the Committee 
     on Science and Technology of the House of Representatives. 
     The report shall be submitted in conjunction with the update 
     of the strategic plan.''.
       (f) Report.--Section 101(a)(3) of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5511(a)(3)) is amended--
       (1) in subparagraph (C)--
       (A) by striking ``is submitted,'' and inserting ``is 
     submitted, the levels for the previous fiscal year,''; and
       (B) by striking ``each Program Component Area'' and 
     inserting ``each Program Component Area and each research 
     area supported in accordance with section 104'';
       (2) in subparagraph (D)--
       (A) by striking ``each Program Component Area,'' and 
     inserting ``each Program Component Area and each research 
     area supported in accordance with section 104,'';
       (B) by striking ``is submitted,'' and inserting ``is 
     submitted, the levels for the previous fiscal year,''; and
       (C) by striking ``and'' after the semicolon;
       (3) by redesignating subparagraph (E) as subparagraph (G); 
     and
       (4) by inserting after subparagraph (D) the following:
       ``(E) include a description of how the objectives for each 
     Program Component Area, and the objectives for activities 
     that involve multiple Program Component Areas, relate to the 
     objectives of the Program identified in the strategic plan 
     under subsection (e);
       ``(F) include--
       ``(i) a description of the funding required by the Office 
     of Science and Technology Policy to perform the functions 
     under subsections (a) and (c) of section 102 for the next 
     fiscal year by category of activity;
       ``(ii) a description of the funding required by the Office 
     of Science and Technology Policy to perform the functions 
     under subsections (a) and (c) of section 102 for the current 
     fiscal year by category of activity; and
       ``(iii) the amount of funding provided for the Office of 
     Science and Technology Policy for the current fiscal year by 
     each agency participating in the Program; and''.
       (g) Definitions.--Section 4 of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5503) is amended--
       (1) by redesignating paragraphs (1) and (2) as paragraphs 
     (2) and (3), respectively;
       (2) by redesignating paragraph (3) as paragraph (6);
       (3) by redesignating paragraphs (6) and (7) as paragraphs 
     (7) and (8), respectively;
       (4) by inserting before paragraph (2), as redesignated, the 
     following:
       ``(1) `cyber-physical systems' means physical or engineered 
     systems whose networking

[[Page S5565]]

     and information technology functions and physical elements 
     are deeply integrated and are actively connected to the 
     physical world through sensors, actuators, or other means to 
     perform monitoring and control functions;'';
       (5) in paragraph (3), as redesignated, by striking ``high-
     performance computing'' and inserting ``networking and 
     information technology'';
       (6) in paragraph (6), as redesignated--
       (A) by striking ``high-performance computing'' and 
     inserting ``networking and information technology''; and
       (B) by striking ``supercomputer'' and inserting ``high-end 
     computing'';
       (7) in paragraph (5), by striking ``network referred to 
     as'' and all that follows through the semicolon and inserting 
     ``network, including advanced computer networks of Federal 
     agencies and departments''; and
       (8) in paragraph (7), as redesignated, by striking 
     ``National High-Performance Computing Program'' and inserting 
     ``networking and information technology research and 
     development program''.

     SEC. 402. RESEARCH IN AREAS OF NATIONAL IMPORTANCE.

       (a) Research in Areas of National Importance.--Title I of 
     the High-Performance Computing Act of 1991 (15 U.S.C. 5511 et 
     seq.) is amended by adding at the end the following:

     ``SEC. 104. RESEARCH IN AREAS OF NATIONAL IMPORTANCE.

       ``(a) In General.--The Program shall encourage agencies 
     under section 101(a)(3)(B) to support, maintain, and improve 
     national, multi-agency, multi-faceted, research and 
     development activities in networking and information 
     technology directed toward application areas that have the 
     potential for significant contributions to national economic 
     competitiveness and for other significant societal benefits.
       ``(b) Technical Solutions.--An activity under subsection 
     (a) shall be designed to advance the development of research 
     discoveries by demonstrating technical solutions to important 
     problems in areas including--
       ``(1) cybersecurity;
       ``(2) health care;
       ``(3) energy management and low-power systems and devices;
       ``(4) transportation, including surface and air 
     transportation;
       ``(5) cyber-physical systems;
       ``(6) large-scale data analysis and modeling of physical 
     phenomena;
       ``(7) large scale data analysis and modeling of behavioral 
     phenomena;
       ``(8) supply chain quality and security; and
       ``(9) privacy protection and protected disclosure of 
     confidential data.
       ``(c) Recommendations.--The advisory committee under 
     section 101(b) shall make recommendations to the Program for 
     candidate research and development areas for support under 
     this section.
       ``(d) Characteristics.--
       ``(1) In general.--Research and development activities 
     under this section--
       ``(A) shall include projects selected on the basis of 
     applications for support through a competitive, merit-based 
     process;
       ``(B) shall leverage, when possible, Federal investments 
     through collaboration with related State initiatives;
       ``(C) shall include a plan for fostering the transfer of 
     research discoveries and the results of technology 
     demonstration activities, including from institutions of 
     higher education and Federal laboratories, to industry for 
     commercial development;
       ``(D) shall involve collaborations among researchers in 
     institutions of higher education and industry; and
       ``(E) may involve collaborations among nonprofit research 
     institutions and Federal laboratories, as appropriate.
       ``(2) Cost-sharing.--In selecting applications for support, 
     the agencies under section 101(a)(3)(B) shall give special 
     consideration to projects that include cost sharing from non-
     Federal sources.
       ``(3) Multidisciplinary research centers.--Research and 
     development activities under this section shall be supported 
     through multidisciplinary research centers, including Federal 
     laboratories, that are organized to investigate basic 
     research questions and carry out technology demonstration 
     activities in areas described in subsection (a). Research may 
     be carried out through existing multidisciplinary centers, 
     including those authorized under section 7024(b)(2) of the 
     America COMPETES Act (42 U.S.C. 1862o-10(2)).''.
       (b) Cyber-Physical Systems.--Section 101(a)(1) of the High-
     Performance Computing Act of 1991 (15 U.S.C. 5511(a)(1)) is 
     amended--
       (1) in subparagraph (H), by striking ``and'' after the 
     semicolon;
       (2) in subparagraph (I), by striking the period at the end 
     and inserting a semicolon; and
       (3) by adding at the end the following:
       ``(J) provide for increased understanding of the scientific 
     principles of cyber-physical systems and improve the methods 
     available for the design, development, and operation of 
     cyber-physical systems that are characterized by high 
     reliability, safety, and security; and
       ``(K) provide for research and development on human-
     computer interactions, visualization, and big data.''.
       (c) Task Force.--Title I of the High-Performance Computing 
     Act of 1991 (15 U.S.C. 5511 et seq.), as amended by section 
     402(a) of this Act, is amended by adding at the end the 
     following:

     ``SEC. 105. TASK FORCE.

       ``(a) Establishment.--Not later than 180 days after the 
     date of enactment the Strengthening and Enhancing 
     Cybersecurity by Using Research, Education, Information, and 
     Technology Act of 2012, the Director of the Office of Science 
     and Technology Policy under section 102 shall convene a task 
     force to explore mechanisms for carrying out collaborative 
     research and development activities for cyber-physical 
     systems (including the related technologies required to 
     enable these systems) through a consortium or other 
     appropriate entity with participants from institutions of 
     higher education, Federal laboratories, and industry.
       ``(b) Functions.--The task force shall--
       ``(1) develop options for a collaborative model and an 
     organizational structure for such entity under which the 
     joint research and development activities could be planned, 
     managed, and conducted effectively, including mechanisms for 
     the allocation of resources among the participants in such 
     entity for support of such activities;
       ``(2) propose a process for developing a research and 
     development agenda for such entity, including guidelines to 
     ensure an appropriate scope of work focused on nationally 
     significant challenges and requiring collaboration and to 
     ensure the development of related scientific and 
     technological milestones;
       ``(3) define the roles and responsibilities for the 
     participants from institutions of higher education, Federal 
     laboratories, and industry in such entity;
       ``(4) propose guidelines for assigning intellectual 
     property rights and for transferring research results to the 
     private sector; and
       ``(5) make recommendations for how such entity could be 
     funded from Federal, State, and non-governmental sources.
       ``(c) Composition.--In establishing the task force under 
     subsection (a), the Director of the Office of Science and 
     Technology Policy shall appoint an equal number of 
     individuals from institutions of higher education and from 
     industry with knowledge and expertise in cyber-physical 
     systems, and may appoint not more than 2 individuals from 
     Federal laboratories.
       ``(d) Report.--Not later than 1 year after the date of 
     enactment of the Strengthening and Enhancing Cybersecurity by 
     Using Research, Education, Information, and Technology Act of 
     2012, the Director of the Office of Science and Technology 
     Policy shall transmit to the Committee on Commerce, Science, 
     and Transportation of the Senate and the Committee on Science 
     and Technology of the House of Representatives a report 
     describing the findings and recommendations of the task 
     force.
       ``(e) Termination.--The task force shall terminate upon 
     transmittal of the report required under subsection (d).
       ``(f) Compensation and Expenses.--Members of the task force 
     shall serve without compensation.''.

     SEC. 403. PROGRAM IMPROVEMENTS.

       Section 102 of the High-Performance Computing Act of 1991 
     (15 U.S.C. 5512) is amended to read as follows:

     ``SEC. 102. PROGRAM IMPROVEMENTS.

       ``(a) Functions.--The Director of the Office of Science and 
     Technology Policy shall continue--
       ``(1) to provide technical and administrative support to--
       ``(A) the agencies participating in planning and 
     implementing the Program, including support needed to develop 
     the strategic plan under section 101(e); and
       ``(B) the advisory committee under section 101(b);
       ``(2) to serve as the primary point of contact on Federal 
     networking and information technology activities for 
     government agencies, academia, industry, professional 
     societies, State computing and networking technology 
     programs, interested citizen groups, and others to exchange 
     technical and programmatic information;
       ``(3) to solicit input and recommendations from a wide 
     range of stakeholders during the development of each 
     strategic plan under section 101(e) by convening at least 1 
     workshop with invitees from academia, industry, Federal 
     laboratories, and other relevant organizations and 
     institutions;
       ``(4) to conduct public outreach, including the 
     dissemination of the advisory committee's findings and 
     recommendations, as appropriate;
       ``(5) to promote access to and early application of the 
     technologies, innovations, and expertise derived from Program 
     activities to agency missions and systems across the Federal 
     Government and to United States industry;
       ``(6) to ensure accurate and detailed budget reporting of 
     networking and information technology research and 
     development investment; and
       ``(7) to encourage agencies participating in the Program to 
     use existing programs and resources to strengthen networking 
     and information technology education and training, and 
     increase participation in such fields, including by women and 
     underrepresented minorities.
       ``(b) Source of Funding.--
       ``(1) In general.--The functions under this section shall 
     be supported by funds from each agency participating in the 
     Program.
       ``(2) Specifications.--The portion of the total budget of 
     the Office of Science and Technology Policy that is provided 
     by each agency participating in the Program for each

[[Page S5566]]

     fiscal year shall be in the same proportion as each agency's 
     share of the total budget for the Program for the previous 
     fiscal year, as specified in the database under section 
     102(c).
       ``(c) Database.--
       ``(1) In general.--The Director of the Office of Science 
     and Technology Policy shall develop and maintain a database 
     of projects funded by each agency for the fiscal year for 
     each Program Component Area.
       ``(2) Public accessibility.--The Director of the Office of 
     Science and Technology Policy shall make the database 
     accessible to the public.
       ``(3) Database contents.--The database shall include, for 
     each project in the database--
       ``(A) a description of the project;
       ``(B) each agency, industry, institution of higher 
     education, Federal laboratory, or international institution 
     involved in the project;
       ``(C) the source funding of the project (set forth by 
     agency);
       ``(D) the funding history of the project; and
       ``(E) whether the project has been completed.''.

     SEC. 404. IMPROVING EDUCATION OF NETWORKING AND INFORMATION 
                   TECHNOLOGY, INCLUDING HIGH PERFORMANCE 
                   COMPUTING.

       Section 201(a) of the High-Performance Computing Act of 
     1991 (15 U.S.C. 5521(a)) is amended--
       (1) by redesignating paragraphs (2) through (4) as 
     paragraphs (3) through (5), respectively; and
       (2) by inserting after paragraph (1) the following:
       ``(2) the National Science Foundation shall use its 
     existing programs, in collaboration with other agencies, as 
     appropriate, to improve the teaching and learning of 
     networking and information technology at all levels of 
     education and to increase participation in networking and 
     information technology fields;''.

     SEC. 405. CONFORMING AND TECHNICAL AMENDMENTS TO THE HIGH-
                   PERFORMANCE COMPUTING ACT OF 1991.

       (a) Section 3.--Section 3 of the High-Performance Computing 
     Act of 1991 (15 U.S.C. 5502) is amended--
       (1) in the matter preceding paragraph (1), by striking 
     ``high-performance computing'' and inserting ``networking and 
     information technology'';
       (2) in paragraph (1)--
       (A) in the matter preceding subparagraph (A), by striking 
     ``high-performance computing'' and inserting ``networking and 
     information technology'';
       (B) in subparagraphs (A), (F), and (G), by striking ``high-
     performance computing'' each place it appears and inserting 
     ``networking and information technology''; and
       (C) in subparagraph (H), by striking ``high-performance'' 
     and inserting ``high-end''; and
       (3) in paragraph (2)--
       (A) by striking ``high-performance computing and'' and 
     inserting ``networking and information technology, and''; and
       (B) by striking ``high-performance computing network'' and 
     inserting ``networking and information technology''.
       (b) Title Heading.--The heading of title I of the High-
     Performance Computing Act of 1991 (105 Stat. 1595) is amended 
     by striking ``HIGH-PERFORMANCE COMPUTING'' and inserting 
     ``NETWORKING AND INFORMATION TECHNOLOGY''.
       (c) Section 101.--Section 101 of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5511) is amended--
       (1) in the section heading, by striking ``high-performance 
     computing'' and inserting ``networking and information 
     technology research and development'';
       (2) in subsection (a)--
       (A) in the subsection heading, by striking ``National High-
     Performance Computing'' and inserting ``Networking and 
     Information Technology Research and Development'';
       (B) in paragraph (1)--
       (i) by striking ``National High-Performance Computing 
     Program'' and inserting ``networking and information 
     technology research and development program'';
       (ii) in subparagraph (A), by striking ``high-performance 
     computing, including networking'' and inserting ``networking 
     and information technology'';
       (iii) in subparagraphs (B) and (G), by striking ``high-
     performance'' each place it appears and inserting ``high-
     end''; and
       (iv) in subparagraph (C), by striking ``high-performance 
     computing and networking'' and inserting ``high-end 
     computing, distributed, and networking''; and
       (C) in paragraph (2)--
       (i) in subparagraphs (A) and (C)--

       (I) by striking ``high-performance computing'' each place 
     it appears and inserting ``networking and information 
     technology''; and
       (II) by striking ``development, networking,'' each place it 
     appears and inserting ``development,''; and

       (ii) in subparagraphs (G) and (H), as redesignated by 
     section 401(d) of this Act, by striking ``high-performance'' 
     each place it appears and inserting ``high-end'';
       (3) in subsection (b)(1), in the matter preceding 
     subparagraph (A), by striking ``high-performance computing'' 
     each place it appears and inserting ``networking and 
     information technology''; and
       (4) in subsection (c)(1)(A), by striking ``high-performance 
     computing'' and inserting ``networking and information 
     technology''.
       (d) Section 201.--Section 201(a)(1) of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5521(a)(1)) is amended by 
     striking ``high-performance computing and advanced high-speed 
     computer networking'' and inserting ``networking and 
     information technology research and development''.
       (e) Section 202.--Section 202(a) of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5522(a)) is amended by 
     striking ``high-performance computing'' and inserting 
     ``networking and information technology''.
       (f) Section 203.--Section 203(a) of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5523(a)) is amended--
       (1) in paragraph (1), by striking ``high-performance 
     computing and networking'' and inserting ``networking and 
     information technology''; and
       (2) in paragraph (2)(A), by striking ``high-performance'' 
     and inserting ``high-end''.
       (g) Section 204.--Section 204 of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5524) is amended--
       (1) in subsection (a)(1)--
       (A) in subparagraph (A), by striking ``high-performance 
     computing systems and networks'' and inserting ``networking 
     and information technology systems and capabilities'';
       (B) in subparagraph (B), by striking ``interoperability of 
     high-performance computing systems in networks and for common 
     user interfaces to systems'' and inserting ``interoperability 
     and usability of networking and information technology 
     systems''; and
       (C) in subparagraph (C), by striking ``high-performance 
     computing'' and inserting ``networking and information 
     technology''; and
       (2) in subsection (b)--
       (A) by striking ``High-Performance Computing and Network'' 
     in the heading and inserting ``Networking and Information 
     Technology''; and
       (B) by striking ``sensitive''.
       (h) Section 205.--Section 205(a) of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5525(a)) is amended by 
     striking ``computational'' and inserting ``networking and 
     information technology''.
       (i) Section 206.--Section 206(a) of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5526(a)) is amended by 
     striking ``computational research'' and inserting 
     ``networking and information technology research''.
       (j) Section 207.--Section 207 of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5527) is amended by striking 
     ``high-performance computing'' and inserting ``networking and 
     information technology''.
       (k) Section 208.--Section 208 of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5528) is amended--
       (1) in the section heading, by striking ``HIGH-PERFORMANCE 
     COMPUTING'' and inserting ``NETWORKING AND INFORMATION 
     TECHNOLOGY''; and
       (2) in subsection (a)--
       (A) in paragraph (1), by striking ``High-performance 
     computing and associated'' and inserting ``Networking and 
     information'';
       (B) in paragraph (2), by striking ``high-performance 
     computing'' and inserting ``networking and information 
     technologies'';
       (C) in paragraph (3), by striking ``high-performance'' and 
     inserting ``high-end'';
       (D) in paragraph (4), by striking ``high-performance 
     computers and associated'' and inserting ``networking and 
     information''; and
       (E) in paragraph (5), by striking ``high-performance 
     computing and associated'' and inserting ``networking and 
     information''.

     SEC. 406. FEDERAL CYBER SCHOLARSHIP-FOR-SERVICE PROGRAM.

       (a) In General.--The Director of the National Science 
     Foundation, in coordination with the Secretary of Homeland 
     Security, shall carry out a Federal cyber scholarship-for-
     service program to recruit and train the next generation of 
     information technology professionals and security managers to 
     meet the needs of the cybersecurity mission for the Federal 
     government.
       (b) Program Description and Components.--The program 
     shall--
       (1) annually assess the workforce needs of the Federal 
     government for cybersecurity professionals, including network 
     engineers, software engineers, and other experts in order to 
     determine how many scholarships should be awarded annually to 
     ensure that the workforce needs following graduation match 
     the number of scholarships awarded;
       (2) provide scholarships for up to 1,000 students per year 
     in their pursuit of undergraduate or graduate degrees in the 
     cybersecurity field, in an amount that may include coverage 
     for full tuition, fees, and a stipend;
       (3) require each scholarship recipient, as a condition of 
     receiving a scholarship under the program, to serve in a 
     Federal information technology workforce for a period equal 
     to one and one-half times each year, or partial year, of 
     scholarship received, in addition to an internship in the 
     cybersecurity field, if applicable, following graduation;
       (4) provide a procedure for the National Science Foundation 
     or a Federal agency, consistent with regulations of the 
     Office of Personnel Management, to request and fund a 
     security clearance for a scholarship recipient, including 
     providing for clearance during a summer internship and upon 
     graduation; and
       (5) provide opportunities for students to receive temporary 
     appointments for meaningful employment in the Federal 
     information technology workforce during school vacation 
     periods and for internships.
       (c) Hiring Authority.--
       (1) In general.--For purposes of any law or regulation 
     governing the appointment of an

[[Page S5567]]

     individual in the Federal civil service, upon the successful 
     completion of the student's studies, a student receiving a 
     scholarship under the program may--
       (A) be hired under section 213.3102(r) of title 5, Code of 
     Federal Regulations; and
       (B) be exempt from competitive service.
       (2) Competitive service.--Upon satisfactory fulfillment of 
     the service term under paragraph (1), an individual may be 
     converted to a competitive service position without 
     competition if the individual meets the requirements for that 
     position.
       (d) Eligibility.--The eligibility requirements for a 
     scholarship under this section shall include that a 
     scholarship applicant--
       (1) be a citizen of the United States;
       (2) be eligible to be granted a security clearance;
       (3) maintain a grade point average of 3.2 or above on a 4.0 
     scale for undergraduate study or a 3.5 or above on a 4.0 
     scale for postgraduate study;
       (4) demonstrate a commitment to a career in improving the 
     security of the information infrastructure; and
       (5) has demonstrated a level of proficiency in math or 
     computer sciences.
       (e) Failure to Complete Service Obligation.--
       (1) In general.--A scholarship recipient under this section 
     shall be liable to the United States under paragraph (2) if 
     the scholarship recipient--
       (A) fails to maintain an acceptable level of academic 
     standing in the educational institution in which the 
     individual is enrolled, as determined by the Director;
       (B) is dismissed from such educational institution for 
     disciplinary reasons;
       (C) withdraws from the program for which the award was made 
     before the completion of such program;
       (D) declares that the individual does not intend to fulfill 
     the service obligation under this section;
       (E) fails to fulfill the service obligation of the 
     individual under this section; or
       (F) loses a security clearance or becomes ineligible for a 
     security clearance.
       (2) Repayment amounts.--
       (A) Less than 1 year of service.--If a circumstance under 
     paragraph (1) occurs before the completion of 1 year of a 
     service obligation under this section, the total amount of 
     awards received by the individual under this section shall be 
     repaid.
       (B) One or more years of service.--If a circumstance 
     described in subparagraph (D) or (E) of paragraph (1) occurs 
     after the completion of 1 year of a service obligation under 
     this section, the total amount of scholarship awards received 
     by the individual under this section, reduced by the ratio of 
     the number of years of service completed divided by the 
     number of years of service required, shall be repaid.
       (f) Evaluation and Report.--The Director of the National 
     Science Foundation shall--
       (1) evaluate the success of recruiting individuals for 
     scholarships under this section and of hiring and retaining 
     those individuals in the public sector workforce, including 
     the annual cost and an assessment of how the program actually 
     improves the Federal workforce; and
       (2) periodically report the findings under paragraph (1) to 
     Congress.
       (g) Authorization of Appropriations.--From amounts made 
     available under section 503 of the America COMPETES 
     Reauthorization Act of 2010 (124 Stat. 4005), the Director 
     may use funds to carry out the requirements of this section 
     for fiscal years 2012 through 2013.

     SEC. 407. STUDY AND ANALYSIS OF CERTIFICATION AND TRAINING OF 
                   INFORMATION INFRASTRUCTURE PROFESSIONALS.

       (a) Study.--The President shall enter into an agreement 
     with the National Academies to conduct a comprehensive study 
     of government, academic, and private-sector accreditation, 
     training, and certification programs for personnel working in 
     information infrastructure. The agreement shall require the 
     National Academies to consult with sector coordinating 
     councils and relevant governmental agencies, regulatory 
     entities, and nongovernmental organizations in the course of 
     the study.
       (b) Scope.--The study shall include--
       (1) an evaluation of the body of knowledge and various 
     skills that specific categories of personnel working in 
     information infrastructure should possess in order to secure 
     information systems;
       (2) an assessment of whether existing government, academic, 
     and private-sector accreditation, training, and certification 
     programs provide the body of knowledge and various skills 
     described in paragraph (1);
       (3) an analysis of any barriers to the Federal Government 
     recruiting and hiring cybersecurity talent, including 
     barriers relating to compensation, the hiring process, job 
     classification, and hiring flexibility; and
       (4) an analysis of the sources and availability of 
     cybersecurity talent, a comparison of the skills and 
     expertise sought by the Federal Government and the private 
     sector, an examination of the current and future capacity of 
     United States institutions of higher education, including 
     community colleges, to provide current and future 
     cybersecurity professionals, through education and training 
     activities, with those skills sought by the Federal 
     Government, State and local entities, and the private sector.
       (c) Report.--Not later than 1 year after the date of 
     enactment of this Act, the National Academies shall submit to 
     the President and Congress a report on the results of the 
     study. The report shall include--
       (1) findings regarding the state of information 
     infrastructure accreditation, training, and certification 
     programs, including specific areas of deficiency and 
     demonstrable progress; and
       (2) recommendations for the improvement of information 
     infrastructure accreditation, training, and certification 
     programs.

     SEC. 408. INTERNATIONAL CYBERSECURITY TECHNICAL STANDARDS.

       (a) In General.--The Director of the National Institute of 
     Standards and Technology, in coordination with appropriate 
     Federal authorities, shall--
       (1) as appropriate, ensure coordination of Federal agencies 
     engaged in the development of international technical 
     standards related to information system security; and
       (2) not later than 1 year after the date of enactment of 
     this Act, develop and transmit to Congress a plan for 
     ensuring such Federal agency coordination.
       (b) Consultation With the Private Sector.--In carrying out 
     the activities under subsection (a)(1), the Director shall 
     ensure consultation with appropriate private sector 
     stakeholders.

     SEC. 409. IDENTITY MANAGEMENT RESEARCH AND DEVELOPMENT.

       The Director of the National Institute of Standards and 
     Technology shall continue a program to support the 
     development of technical standards, metrology, testbeds, and 
     conformance criteria, taking into account appropriate user 
     concerns--
       (1) to improve interoperability among identity management 
     technologies;
       (2) to strengthen authentication methods of identity 
     management systems;
       (3) to improve privacy protection in identity management 
     systems, including health information technology systems, 
     through authentication and security protocols; and
       (4) to improve the usability of identity management 
     systems.

     SEC. 410. FEDERAL CYBERSECURITY RESEARCH AND DEVELOPMENT.

       (a) National Science Foundation Computer and Network 
     Security Research Grant Areas.--Section 4(a)(1) of the Cyber 
     Security Research and Development Act (15 U.S.C. 7403(a)(1)) 
     is amended--
       (1) in subparagraph (H), by striking ``and'' after the 
     semicolon;
       (2) in subparagraph (I), by striking ``property.'' and 
     inserting ``property;''; and
       (3) by adding at the end the following:
       ``(J) secure fundamental protocols that are at the heart of 
     inter-network communications and data exchange;
       ``(K) system security that addresses the building of secure 
     systems from trusted and untrusted components;
       ``(L) monitoring and detection; and
       ``(M) resiliency and rapid recovery methods.''.
       (b) National Science Foundation Computer and Network 
     Security Grants.--Section 4(a)(3) of the Cyber Security 
     Research and Development Act (15 U.S.C. 7403(a)(3)) is 
     amended--
       (1) in subparagraph (D), by striking ``and'';
       (2) in subparagraph (E), by striking ``2007.'' and 
     inserting ``2007;''; and
       (3) by adding at the end the following:
       ``(F) such funds from amounts made available under section 
     503 of the America COMPETES Reauthorization Act of 2010 (124 
     Stat. 4005), as the Director finds necessary to carry out the 
     requirements of this subsection for fiscal years 2012 through 
     2013.''.
       (c) Computer and Network Security Centers.--Section 4(b)(7) 
     of the Cyber Security Research and Development Act (15 U.S.C. 
     7403(b)(7)) is amended--
       (1) in subparagraph (D), by striking ``and'';
       (2) in subparagraph (E), by striking ``2007.'' and 
     inserting ``2007;''; and
       (3) by adding at the end the following:
       ``(F) such funds from amounts made available under section 
     503 of the America COMPETES Reauthorization Act of 2010 (124 
     Stat. 4005), as the Director finds necessary to carry out the 
     requirements of this subsection for fiscal years 2012 through 
     2013.''.
       (d) Computer and Network Security Capacity Building 
     Grants.--Section 5(a)(6) of the Cyber Security Research and 
     Development Act (15 U.S.C. 7404(a)(6)) is amended--
       (1) in subparagraph (D), by striking ``and'';
       (2) in subparagraph (E), by striking ``2007.'' and 
     inserting ``2007;''; and
       (3) by adding at the end the following:
       ``(F) such funds from amounts made available under section 
     503 of the America COMPETES Reauthorization Act of 2010 (124 
     Stat. 4005), as the Director finds necessary to carry out the 
     requirements of this subsection for fiscal years 2012 through 
     2013.''.
       (e) Scientific and Advanced Technology Act Grants.--Section 
     5(b)(2) of the Cyber Security Research and Development Act 
     (15 U.S.C. 7404(b)(2)) is amended--
       (1) in subparagraph (D), by striking ``and'';
       (2) in subparagraph (E), by striking ``2007.'' and 
     inserting ``2007;''; and
       (3) by adding at the end the following:
       ``(F) such funds from amounts made available under section 
     503 of the America COMPETES Reauthorization Act of 2010 (124 
     Stat. 4005), as the Director finds necessary to carry out the 
     requirements of this subsection for fiscal years 2012 through 
     2013.''.
       (f) Graduate Traineeships in Computer and Network Security 
     Research.--Section 5(c)(7) of the Cyber Security Research and 
     Development Act (15 U.S.C. 7404(c)(7)) is amended--

[[Page S5568]]

       (1) in subparagraph (D), by striking ``and'';
       (2) in subparagraph (E), by striking ``2007.'' and 
     inserting ``2007;''; and
       (3) by adding at the end the following:
       ``(F) such funds from amounts made available under section 
     503 of the America COMPETES Reauthorization Act of 2010 (124 
     Stat. 4005), as the Director finds necessary to carry out the 
     requirements of this subsection for fiscal years 2012 through 
     2013.''.
                                 ______
                                 
  SA 2609. Mr. PAUL submitted an amendment intended to be proposed by 
him to the bill S. 3414, to enhance the security and resiliency of the 
cyber and communications infrastructure of the United States; which was 
ordered to lie on the table; as follows:

       At the appropriate place, insert the following:

     SEC. __. LIMITATION ON FOREIGN ASSISTANCE TO PAKISTAN.

       No amounts may be obligated or expended to provide any 
     direct United States assistance to the Government of Pakistan 
     unless the President certifies to Congress that--
       (1) Dr. Shakil Afridi has been released from prison in 
     Pakistan;
       (2) any criminal charges brought against Dr. Afridi, 
     including treason, have been dropped; and
       (3) if necessary to ensure his freedom, Dr. Afridi has been 
     allowed to leave Pakistan.
                                 ______
                                 
  SA 2610. Mrs. HUTCHISON submitted an amendment intended to be 
proposed by her to the bill S. 3414, to enhance the security and 
resiliency of the cyber and communications infrastructure of the United 
States; which was ordered to lie on the table; as follows:

       Beginning on page 106, strike line 8 and all that follows 
     through page 156, line 13, and insert the following:

           TITLE III--CYBERSECURITY RESEARCH AND DEVELOPMENT

     SEC. 301. NATIONAL HIGH-PERFORMANCE COMPUTING PROGRAM 
                   PLANNING AND COORDINATION.

       (a) Goals and Priorities.--Section 101 of the High-
     Performance Computing Act of 1991 (15 U.S.C. 5511) is amended 
     by adding at the end the following:
       ``(d) Goals and Priorities.--The goals and priorities for 
     Federal high-performance computing research, development, 
     networking, and other activities under subsection (a)(2)(A) 
     shall include--
       ``(1) encouraging and supporting mechanisms for 
     interdisciplinary research and development in networking and 
     information technology, including--
       ``(A) through collaborations across agencies;
       ``(B) through collaborations across Program Component 
     Areas;
       ``(C) through collaborations with industry;
       ``(D) through collaborations with institutions of higher 
     education;
       ``(E) through collaborations with Federal laboratories (as 
     defined in section 4 of the Stevenson-Wydler Technology 
     Innovation Act of 1980 (15 U.S.C. 3703)); and
       ``(F) through collaborations with international 
     organizations;
       ``(2) addressing national, multi-agency, multi-faceted 
     challenges of national importance; and
       ``(3) fostering the transfer of research and development 
     results into new technologies and applications for the 
     benefit of society.''.
       (b) Development of Strategic Plan.--Section 101 of the 
     High-Performance Computing Act of 1991 (15 U.S.C. 5511) is 
     amended by adding at the end the following:
       ``(e) Strategic Plan.--
       ``(1) In general.--Not later than 1 year after the date of 
     enactment of the Cybersecurity Act of 2012, the agencies 
     under subsection (a)(3)(B), working through the National 
     Science and Technology Council and with the assistance of the 
     Office of Science and Technology Policy shall develop a 5-
     year strategic plan to guide the activities under subsection 
     (a)(1).
       ``(2) Contents.--The strategic plan shall specify--
       ``(A) the near-term objectives for the Program;
       ``(B) the long-term objectives for the Program;
       ``(C) the anticipated time frame for achieving the near-
     term objectives;
       ``(D) the metrics that will be used to assess any progress 
     made toward achieving the near-term objectives and the long-
     term objectives; and
       ``(E) how the Program will achieve the goals and priorities 
     under subsection (d).
       ``(3) Implementation roadmap.--
       ``(A) In general.--The agencies under subsection (a)(3)(B) 
     shall develop and annually update an implementation roadmap 
     for the strategic plan.
       ``(B) Requirements.--The information in the implementation 
     roadmap shall be coordinated with the database under section 
     102(c) and the annual report under section 101(a)(3). The 
     implementation roadmap shall--
       ``(i) specify the role of each Federal agency in carrying 
     out or sponsoring research and development to meet the 
     research objectives of the strategic plan, including a 
     description of how progress toward the research objectives 
     will be evaluated, with consideration of any relevant 
     recommendations of the advisory committee;
       ``(ii) specify the funding allocated to each major research 
     objective of the strategic plan and the source of funding by 
     agency for the current fiscal year; and
       ``(iii) estimate the funding required for each major 
     research objective of the strategic plan for the next 3 
     fiscal years.
       ``(4) Recommendations.--The agencies under subsection 
     (a)(3)(B) shall take into consideration when developing the 
     strategic plan under paragraph (1) the recommendations of--
       ``(A) the advisory committee under subsection (b); and
       ``(B) the stakeholders under section 102(a)(3).
       ``(5) Report to congress.--The Director of the Office of 
     Science and Technology Policy shall transmit the strategic 
     plan under this subsection, including the implementation 
     roadmap and any updates under paragraph (3), to--
       ``(A) the advisory committee under subsection (b);
       ``(B) the Committee on Commerce, Science, and 
     Transportation of the Senate; and
       ``(C) the Committee on Science and Technology of the House 
     of Representatives.''.
       (c) Periodic Reviews.--Section 101 of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5511) is amended by adding 
     at the end the following:
       ``(f) Periodic Reviews.--The agencies under subsection 
     (a)(3)(B) shall--
       ``(1) periodically assess the contents and funding levels 
     of the Program Component Areas and restructure the Program 
     when warranted, taking into consideration any relevant 
     recommendations of the advisory committee under subsection 
     (b); and
       ``(2) ensure that the Program includes national, multi-
     agency, multi-faceted research and development activities, 
     including activities described in section 104.''.
       (d) Additional Responsibilities of Director.--Section 
     101(a)(2) of the High-Performance Computing Act of 1991 (15 
     U.S.C. 5511(a)(2)) is amended--
       (1) by redesignating subparagraphs (E) and (F) as 
     subparagraphs (G) and (H), respectively; and
       (2) by inserting after subparagraph (D) the following:
       ``(E) encourage and monitor the efforts of the agencies 
     participating in the Program to allocate the level of 
     resources and management attention necessary--
       ``(i) to ensure that the strategic plan under subsection 
     (e) is developed and executed effectively; and
       ``(ii) to ensure that the objectives of the Program are 
     met;
       ``(F) working with the Office of Management and Budget and 
     in coordination with the creation of the database under 
     section 102(c), direct the Office of Science and Technology 
     Policy and the agencies participating in the Program to 
     establish a mechanism (consistent with existing law) to track 
     all ongoing and completed research and development projects 
     and associated funding;''.
       (e) Advisory Committee.--Section 101(b) of the High-
     Performance Computing Act of 1991 (15 U.S.C. 5511(b)) is 
     amended--
       (1) in paragraph (1)--
       (A) by inserting after the first sentence the following: 
     ``The co-chairs of the advisory committee shall meet the 
     qualifications of committee members and may be members of the 
     Presidents Council of Advisors on Science and Technology.''; 
     and
       (B) by striking ``high-performance'' in subparagraph (D) 
     and inserting ``high-end''; and
       (2) by amending paragraph (2) to read as follows:
       ``(2) In addition to the duties under paragraph (1), the 
     advisory committee shall conduct periodic evaluations of the 
     funding, management, coordination, implementation, and 
     activities of the Program. The advisory committee shall 
     report its findings and recommendations not less frequently 
     than once every 3 fiscal years to the Committee on Commerce, 
     Science, and Transportation of the Senate and the Committee 
     on Science and Technology of the House of Representatives. 
     The report shall be submitted in conjunction with the update 
     of the strategic plan.''.
       (f) Report.--Section 101(a)(3) of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5511(a)(3)) is amended--
       (1) in subparagraph (C)--
       (A) by striking ``is submitted,'' and inserting ``is 
     submitted, the levels for the previous fiscal year,''; and
       (B) by striking ``each Program Component Area'' and 
     inserting ``each Program Component Area and each research 
     area supported in accordance with section 104'';
       (2) in subparagraph (D)--
       (A) by striking ``each Program Component Area,'' and 
     inserting ``each Program Component Area and each research 
     area supported in accordance with section 104,'';
       (B) by striking ``is submitted,'' and inserting ``is 
     submitted, the levels for the previous fiscal year,''; and
       (C) by striking ``and'' after the semicolon;
       (3) by redesignating subparagraph (E) as subparagraph (G); 
     and
       (4) by inserting after subparagraph (D) the following:
       ``(E) include a description of how the objectives for each 
     Program Component Area, and the objectives for activities 
     that involve multiple Program Component Areas, relate to the 
     objectives of the Program identified in the strategic plan 
     under subsection (e);
       ``(F) include--

[[Page S5569]]

       ``(i) a description of the funding required by the Office 
     of Science and Technology Policy to perform the functions 
     under subsections (a) and (c) of section 102 for the next 
     fiscal year by category of activity;
       ``(ii) a description of the funding required by the Office 
     of Science and Technology Policy to perform the functions 
     under subsections (a) and (c) of section 102 for the current 
     fiscal year by category of activity; and
       ``(iii) the amount of funding provided for the Office of 
     Science and Technology Policy for the current fiscal year by 
     each agency participating in the Program; and''.
       (g) Definitions.--Section 4 of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5503) is amended--
       (1) by redesignating paragraphs (1) and (2) as paragraphs 
     (2) and (3), respectively;
       (2) by redesignating paragraph (3) as paragraph (6);
       (3) by redesignating paragraphs (6) and (7) as paragraphs 
     (7) and (8), respectively;
       (4) by inserting before paragraph (2), as redesignated, the 
     following:
       ``(1) `cyber-physical systems' means physical or engineered 
     systems whose networking and information technology functions 
     and physical elements are deeply integrated and are actively 
     connected to the physical world through sensors, actuators, 
     or other means to perform monitoring and control 
     functions;'';
       (5) in paragraph (3), as redesignated, by striking ``high-
     performance computing'' and inserting ``networking and 
     information technology'';
       (6) in paragraph (6), as redesignated--
       (A) by striking ``high-performance computing'' and 
     inserting ``networking and information technology''; and
       (B) by striking ``supercomputer'' and inserting ``high-end 
     computing'';
       (7) in paragraph (5), by striking ``network referred to 
     as'' and all that follows through the semicolon and inserting 
     ``network, including advanced computer networks of Federal 
     agencies and departments''; and
       (8) in paragraph (7), as redesignated, by striking 
     ``National High-Performance Computing Program'' and inserting 
     ``networking and information technology research and 
     development program''.

     SEC. 302. RESEARCH IN AREAS OF NATIONAL IMPORTANCE.

       (a) Research in Areas of National Importance.--Title I of 
     the High-Performance Computing Act of 1991 (15 U.S.C. 5511 et 
     seq.) is amended by adding at the end the following:

     ``SEC. 104. RESEARCH IN AREAS OF NATIONAL IMPORTANCE.

       ``(a) In General.--The Program shall encourage agencies 
     under section 101(a)(3)(B) to support, maintain, and improve 
     national, multi-agency, multi-faceted, research and 
     development activities in networking and information 
     technology directed toward application areas that have the 
     potential for significant contributions to national economic 
     competitiveness and for other significant societal benefits.
       ``(b) Technical Solutions.--An activity under subsection 
     (a) shall be designed to advance the development of research 
     discoveries by demonstrating technical solutions to important 
     problems in areas including--
       ``(1) cybersecurity;
       ``(2) health care;
       ``(3) energy management and low-power systems and devices;
       ``(4) transportation, including surface and air 
     transportation;
       ``(5) cyber-physical systems;
       ``(6) large-scale data analysis and modeling of physical 
     phenomena;
       ``(7) large scale data analysis and modeling of behavioral 
     phenomena;
       ``(8) supply chain quality and security; and
       ``(9) privacy protection and protected disclosure of 
     confidential data.
       ``(c) Recommendations.--The advisory committee under 
     section 101(b) shall make recommendations to the Program for 
     candidate research and development areas for support under 
     this section.
       ``(d) Characteristics.--
       ``(1) In general.--Research and development activities 
     under this section--
       ``(A) shall include projects selected on the basis of 
     applications for support through a competitive, merit-based 
     process;
       ``(B) shall leverage, when possible, Federal investments 
     through collaboration with related State initiatives;
       ``(C) shall include a plan for fostering the transfer of 
     research discoveries and the results of technology 
     demonstration activities, including from institutions of 
     higher education and Federal laboratories, to industry for 
     commercial development;
       ``(D) shall involve collaborations among researchers in 
     institutions of higher education and industry; and
       ``(E) may involve collaborations among nonprofit research 
     institutions and Federal laboratories, as appropriate.
       ``(2) Cost-sharing.--In selecting applications for support, 
     the agencies under section 101(a)(3)(B) shall give special 
     consideration to projects that include cost sharing from non-
     Federal sources.
       ``(3) Multidisciplinary research centers.--Research and 
     development activities under this section shall be supported 
     through multidisciplinary research centers, including Federal 
     laboratories, that are organized to investigate basic 
     research questions and carry out technology demonstration 
     activities in areas described in subsection (a). Research may 
     be carried out through existing multidisciplinary centers, 
     including those authorized under section 7024(b)(2) of the 
     America COMPETES Act (42 U.S.C. 1862o-10(2)).''.
       (b) Cyber-Physical Systems.--Section 101(a)(1) of the High-
     Performance Computing Act of 1991 (15 U.S.C. 5511(a)(1)) is 
     amended--
       (1) in subparagraph (H), by striking ``and'' after the 
     semicolon;
       (2) in subparagraph (I), by striking the period at the end 
     and inserting a semicolon; and
       (3) by adding at the end the following:
       ``(J) provide for increased understanding of the scientific 
     principles of cyber-physical systems and improve the methods 
     available for the design, development, and operation of 
     cyber-physical systems that are characterized by high 
     reliability, safety, and security; and
       ``(K) provide for research and development on human-
     computer interactions, visualization, and big data.''.
       (c) Task Force.--Title I of the High-Performance Computing 
     Act of 1991 (15 U.S.C. 5511 et seq.), as amended by section 
     302(a) of this Act, is amended by adding at the end the 
     following:

     ``SEC. 105. TASK FORCE.

       ``(a) Establishment.--Not later than 180 days after the 
     date of enactment the Cybersecurity Act of 2012, the Director 
     of the Office of Science and Technology Policy under section 
     102 shall convene a task force to explore mechanisms for 
     carrying out collaborative research and development 
     activities for cyber-physical systems (including the related 
     technologies required to enable these systems) through a 
     consortium or other appropriate entity with participants from 
     institutions of higher education, Federal laboratories, and 
     industry.
       ``(b) Functions.--The task force shall--
       ``(1) develop options for a collaborative model and an 
     organizational structure for such entity under which the 
     joint research and development activities could be planned, 
     managed, and conducted effectively, including mechanisms for 
     the allocation of resources among the participants in such 
     entity for support of such activities;
       ``(2) propose a process for developing a research and 
     development agenda for such entity, including guidelines to 
     ensure an appropriate scope of work focused on nationally 
     significant challenges and requiring collaboration and to 
     ensure the development of related scientific and 
     technological milestones;
       ``(3) define the roles and responsibilities for the 
     participants from institutions of higher education, Federal 
     laboratories, and industry in such entity;
       ``(4) propose guidelines for assigning intellectual 
     property rights and for transferring research results to the 
     private sector; and
       ``(5) make recommendations for how such entity could be 
     funded from Federal, State, and non-governmental sources.
       ``(c) Composition.--In establishing the task force under 
     subsection (a), the Director of the Office of Science and 
     Technology Policy shall appoint an equal number of 
     individuals from institutions of higher education and from 
     industry with knowledge and expertise in cyber-physical 
     systems, and may appoint not more than 2 individuals from 
     Federal laboratories.
       ``(d) Report.--Not later than 1 year after the date of 
     enactment of the Cybersecurity Act of 2012, the Director of 
     the Office of Science and Technology Policy shall transmit to 
     the Committee on Commerce, Science, and Transportation of the 
     Senate and the Committee on Science and Technology of the 
     House of Representatives a report describing the findings and 
     recommendations of the task force.
       ``(e) Termination.--The task force shall terminate upon 
     transmittal of the report required under subsection (d).
       ``(f) Compensation and Expenses.--Members of the task force 
     shall serve without compensation.''.

     SEC. 303. PROGRAM IMPROVEMENTS.

       Section 102 of the High-Performance Computing Act of 1991 
     (15 U.S.C. 5512) is amended to read as follows:

     ``SEC. 102. PROGRAM IMPROVEMENTS.

       ``(a) Functions.--The Director of the Office of Science and 
     Technology Policy shall continue--
       ``(1) to provide technical and administrative support to--
       ``(A) the agencies participating in planning and 
     implementing the Program, including support needed to develop 
     the strategic plan under section 101(e); and
       ``(B) the advisory committee under section 101(b);
       ``(2) to serve as the primary point of contact on Federal 
     networking and information technology activities for 
     government agencies, academia, industry, professional 
     societies, State computing and networking technology 
     programs, interested citizen groups, and others to exchange 
     technical and programmatic information;
       ``(3) to solicit input and recommendations from a wide 
     range of stakeholders during the development of each 
     strategic plan under section 101(e) by convening at least 1 
     workshop with invitees from academia, industry, Federal 
     laboratories, and other relevant organizations and 
     institutions;
       ``(4) to conduct public outreach, including the 
     dissemination of the advisory committee's findings and 
     recommendations, as appropriate;
       ``(5) to promote access to and early application of the 
     technologies, innovations, and expertise derived from Program 
     activities to

[[Page S5570]]

     agency missions and systems across the Federal Government and 
     to United States industry;
       ``(6) to ensure accurate and detailed budget reporting of 
     networking and information technology research and 
     development investment; and
       ``(7) to encourage agencies participating in the Program to 
     use existing programs and resources to strengthen networking 
     and information technology education and training, and 
     increase participation in such fields, including by women and 
     underrepresented minorities.
       ``(b) Source of Funding.--
       ``(1) In general.--The functions under this section shall 
     be supported by funds from each agency participating in the 
     Program.
       ``(2) Specifications.--The portion of the total budget of 
     the Office of Science and Technology Policy that is provided 
     by each agency participating in the Program for each fiscal 
     year shall be in the same proportion as each agency's share 
     of the total budget for the Program for the previous fiscal 
     year, as specified in the database under section 102(c).
       ``(c) Database.--
       ``(1) In general.--The Director of the Office of Science 
     and Technology Policy shall develop and maintain a database 
     of projects funded by each agency for the fiscal year for 
     each Program Component Area.
       ``(2) Public accessibility.--The Director of the Office of 
     Science and Technology Policy shall make the database 
     accessible to the public.
       ``(3) Database contents.--The database shall include, for 
     each project in the database--
       ``(A) a description of the project;
       ``(B) each agency, industry, institution of higher 
     education, Federal laboratory, or international institution 
     involved in the project;
       ``(C) the source funding of the project (set forth by 
     agency);
       ``(D) the funding history of the project; and
       ``(E) whether the project has been completed.''.

     SEC. 304. IMPROVING EDUCATION OF NETWORKING AND INFORMATION 
                   TECHNOLOGY, INCLUDING HIGH PERFORMANCE 
                   COMPUTING.

       Section 201(a) of the High-Performance Computing Act of 
     1991 (15 U.S.C. 5521(a)) is amended--
       (1) by redesignating paragraphs (2) through (4) as 
     paragraphs (3) through (5), respectively; and
       (2) by inserting after paragraph (1) the following:
       ``(2) the National Science Foundation shall use its 
     existing programs, in collaboration with other agencies, as 
     appropriate, to improve the teaching and learning of 
     networking and information technology at all levels of 
     education and to increase participation in networking and 
     information technology fields;''.

     SEC. 305. CONFORMING AND TECHNICAL AMENDMENTS TO THE HIGH-
                   PERFORMANCE COMPUTING ACT OF 1991.

       (a) Section 3.--Section 3 of the High-Performance Computing 
     Act of 1991 (15 U.S.C. 5502) is amended--
       (1) in the matter preceding paragraph (1), by striking 
     ``high-performance computing'' and inserting ``networking and 
     information technology'';
       (2) in paragraph (1)--
       (A) in the matter preceding subparagraph (A), by striking 
     ``high-performance computing'' and inserting ``networking and 
     information technology'';
       (B) in subparagraphs (A), (F), and (G), by striking ``high-
     performance computing'' each place it appears and inserting 
     ``networking and information technology''; and
       (C) in subparagraph (H), by striking ``high-performance'' 
     and inserting ``high-end''; and
       (3) in paragraph (2)--
       (A) by striking ``high-performance computing and'' and 
     inserting ``networking and information technology, and''; and
       (B) by striking ``high-performance computing network'' and 
     inserting ``networking and information technology''.
       (b) Title Heading.--The heading of title I of the High-
     Performance Computing Act of 1991 (105 Stat. 1595) is amended 
     by striking ``HIGH-PERFORMANCE COMPUTING'' and inserting 
     ``NETWORKING AND INFORMATION TECHNOLOGY''.
       (c) Section 101.--Section 101 of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5511) is amended--
       (1) in the section heading, by striking ``high-performance 
     computing'' and inserting ``networking and information 
     technology research and development'';
       (2) in subsection (a)--
       (A) in the subsection heading, by striking ``National High-
     Performance Computing'' and inserting ``Networking and 
     Information Technology Research and Development'';
       (B) in paragraph (1)--
       (i) by striking ``National High-Performance Computing 
     Program'' and inserting ``networking and information 
     technology research and development program'';
       (ii) in subparagraph (A), by striking ``high-performance 
     computing, including networking'' and inserting ``networking 
     and information technology'';
       (iii) in subparagraphs (B) and (G), by striking ``high-
     performance'' each place it appears and inserting ``high-
     end''; and
       (iv) in subparagraph (C), by striking ``high-performance 
     computing and networking'' and inserting ``high-end 
     computing, distributed, and networking''; and
       (C) in paragraph (2)--
       (i) in subparagraphs (A) and (C)--

       (I) by striking ``high-performance computing'' each place 
     it appears and inserting ``networking and information 
     technology''; and
       (II) by striking ``development, networking,'' each place it 
     appears and inserting ``development,''; and

       (ii) in subparagraphs (G) and (H), as redesignated by 
     section 301(d) of this Act, by striking ``high-performance'' 
     each place it appears and inserting ``high-end'';
       (3) in subsection (b)(1), in the matter preceding 
     subparagraph (A), by striking ``high-performance computing'' 
     each place it appears and inserting ``networking and 
     information technology''; and
       (4) in subsection (c)(1)(A), by striking ``high-performance 
     computing'' and inserting ``networking and information 
     technology''.
       (d) Section 201.--Section 201(a)(1) of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5521(a)(1)) is amended by 
     striking ``high-performance computing and advanced high-speed 
     computer networking'' and inserting ``networking and 
     information technology research and development''.
       (e) Section 202.--Section 202(a) of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5522(a)) is amended by 
     striking ``high-performance computing'' and inserting 
     ``networking and information technology''.
       (f) Section 203.--Section 203(a) of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5523(a)) is amended--
       (1) in paragraph (1), by striking ``high-performance 
     computing and networking'' and inserting ``networking and 
     information technology''; and
       (2) in paragraph (2)(A), by striking ``high-performance'' 
     and inserting ``high-end''.
       (g) Section 204.--Section 204 of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5524) is amended--
       (1) in subsection (a)(1)--
       (A) in subparagraph (A), by striking ``high-performance 
     computing systems and networks'' and inserting ``networking 
     and information technology systems and capabilities'';
       (B) in subparagraph (B), by striking ``interoperability of 
     high-performance computing systems in networks and for common 
     user interfaces to systems'' and inserting ``interoperability 
     and usability of networking and information technology 
     systems''; and
       (C) in subparagraph (C), by striking ``high-performance 
     computing'' and inserting ``networking and information 
     technology''; and
       (2) in subsection (b)--
       (A) by striking ``High-Performance Computing and Network'' 
     in the heading and inserting ``Networking and Information 
     Technology''; and
       (B) by striking ``sensitive''.
       (h) Section 205.--Section 205(a) of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5525(a)) is amended by 
     striking ``computational'' and inserting ``networking and 
     information technology''.
       (i) Section 206.--Section 206(a) of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5526(a)) is amended by 
     striking ``computational research'' and inserting 
     ``networking and information technology research''.
       (j) Section 207.--Section 207 of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5527) is amended by striking 
     ``high-performance computing'' and inserting ``networking and 
     information technology''.
       (k) Section 208.--Section 208 of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5528) is amended--
       (1) in the section heading, by striking ``HIGH-PERFORMANCE 
     COMPUTING'' and inserting ``NETWORKING AND INFORMATION 
     TECHNOLOGY''; and
       (2) in subsection (a)--
       (A) in paragraph (1), by striking ``High-performance 
     computing and associated'' and inserting ``Networking and 
     information'';
       (B) in paragraph (2), by striking ``high-performance 
     computing'' and inserting ``networking and information 
     technologies'';
       (C) in paragraph (3), by striking ``high-performance'' and 
     inserting ``high-end'';
       (D) in paragraph (4), by striking ``high-performance 
     computers and associated'' and inserting ``networking and 
     information''; and
       (E) in paragraph (5), by striking ``high-performance 
     computing and associated'' and inserting ``networking and 
     information''.

     SEC. 306. FEDERAL CYBER SCHOLARSHIP-FOR-SERVICE PROGRAM.

       (a) In General.--The Director of the National Science 
     Foundation, in coordination with the Secretary of Homeland 
     Security, shall carry out a Federal cyber scholarship-for-
     service program to recruit and train the next generation of 
     information technology professionals and security managers to 
     meet the needs of the cybersecurity mission for the Federal 
     government.
       (b) Program Description and Components.--The program 
     shall--
       (1) annually assess the workforce needs of the Federal 
     government for cybersecurity professionals, including network 
     engineers, software engineers, and other experts in order to 
     determine how many scholarships should be awarded annually to 
     ensure that the workforce needs following graduation match 
     the number of scholarships awarded;
       (2) provide scholarships for up to 1,000 students per year 
     in their pursuit of undergraduate or graduate degrees in the 
     cybersecurity field, in an amount that may include coverage 
     for full tuition, fees, and a stipend;
       (3) require each scholarship recipient, as a condition of 
     receiving a scholarship under the program, to serve in a 
     Federal information technology workforce for a period equal

[[Page S5571]]

     to one and one-half times each year, or partial year, of 
     scholarship received, in addition to an internship in the 
     cybersecurity field, if applicable, following graduation;
       (4) provide a procedure for the National Science Foundation 
     or a Federal agency, consistent with regulations of the 
     Office of Personnel Management, to request and fund a 
     security clearance for a scholarship recipient, including 
     providing for clearance during a summer internship and upon 
     graduation; and
       (5) provide opportunities for students to receive temporary 
     appointments for meaningful employment in the Federal 
     information technology workforce during school vacation 
     periods and for internships.
       (c) Hiring Authority.--
       (1) In general.--For purposes of any law or regulation 
     governing the appointment of an individual in the Federal 
     civil service, upon the successful completion of the 
     student's studies, a student receiving a scholarship under 
     the program may--
       (A) be hired under section 213.3102(r) of title 5, Code of 
     Federal Regulations; and
       (B) be exempt from competitive service.
       (2) Competitive service.--Upon satisfactory fulfillment of 
     the service term under paragraph (1), an individual may be 
     converted to a competitive service position without 
     competition if the individual meets the requirements for that 
     position.
       (d) Eligibility.--The eligibility requirements for a 
     scholarship under this section shall include that a 
     scholarship applicant--
       (1) be a citizen of the United States;
       (2) be eligible to be granted a security clearance;
       (3) maintain a grade point average of 3.2 or above on a 4.0 
     scale for undergraduate study or a 3.5 or above on a 4.0 
     scale for postgraduate study;
       (4) demonstrate a commitment to a career in improving the 
     security of the information infrastructure; and
       (5) has demonstrated a level of proficiency in math or 
     computer sciences.
       (e) Failure to Complete Service Obligation.--
       (1) In general.--A scholarship recipient under this section 
     shall be liable to the United States under paragraph (2) if 
     the scholarship recipient--
       (A) fails to maintain an acceptable level of academic 
     standing in the educational institution in which the 
     individual is enrolled, as determined by the Director;
       (B) is dismissed from such educational institution for 
     disciplinary reasons;
       (C) withdraws from the program for which the award was made 
     before the completion of such program;
       (D) declares that the individual does not intend to fulfill 
     the service obligation under this section;
       (E) fails to fulfill the service obligation of the 
     individual under this section; or
       (F) loses a security clearance or becomes ineligible for a 
     security clearance.
       (2) Repayment amounts.--
       (A) Less than 1 year of service.--If a circumstance under 
     paragraph (1) occurs before the completion of 1 year of a 
     service obligation under this section, the total amount of 
     awards received by the individual under this section shall be 
     repaid.
       (B) One or more years of service.--If a circumstance 
     described in subparagraph (D) or (E) of paragraph (1) occurs 
     after the completion of 1 year of a service obligation under 
     this section, the total amount of scholarship awards received 
     by the individual under this section, reduced by the ratio of 
     the number of years of service completed divided by the 
     number of years of service required, shall be repaid.
       (f) Evaluation and Report.--The Director of the National 
     Science Foundation shall--
       (1) evaluate the success of recruiting individuals for 
     scholarships under this section and of hiring and retaining 
     those individuals in the public sector workforce, including 
     the annual cost and an assessment of how the program actually 
     improves the Federal workforce; and
       (2) periodically report the findings under paragraph (1) to 
     Congress.
       (g) Authorization of Appropriations.--From amounts made 
     available under section 503 of the America COMPETES 
     Reauthorization Act of 2010 (124 Stat. 4005), the Director 
     may use funds to carry out the requirements of this section 
     for fiscal years 2012 through 2013.

     SEC. 307. STUDY AND ANALYSIS OF CERTIFICATION AND TRAINING OF 
                   INFORMATION INFRASTRUCTURE PROFESSIONALS.

       (a) Study.--The President shall enter into an agreement 
     with the National Academies to conduct a comprehensive study 
     of government, academic, and private-sector accreditation, 
     training, and certification programs for personnel working in 
     information infrastructure. The agreement shall require the 
     National Academies to consult with sector coordinating 
     councils and relevant governmental agencies, regulatory 
     entities, and nongovernmental organizations in the course of 
     the study.
       (b) Scope.--The study shall include--
       (1) an evaluation of the body of knowledge and various 
     skills that specific categories of personnel working in 
     information infrastructure should possess in order to secure 
     information systems;
       (2) an assessment of whether existing government, academic, 
     and private-sector accreditation, training, and certification 
     programs provide the body of knowledge and various skills 
     described in paragraph (1);
       (3) an analysis of any barriers to the Federal Government 
     recruiting and hiring cybersecurity talent, including 
     barriers relating to compensation, the hiring process, job 
     classification, and hiring flexibility; and
       (4) an analysis of the sources and availability of 
     cybersecurity talent, a comparison of the skills and 
     expertise sought by the Federal Government and the private 
     sector, an examination of the current and future capacity of 
     United States institutions of higher education, including 
     community colleges, to provide current and future 
     cybersecurity professionals, through education and training 
     activities, with those skills sought by the Federal 
     Government, State and local entities, and the private sector.
       (c) Report.--Not later than 1 year after the date of 
     enactment of this Act, the National Academies shall submit to 
     the President and Congress a report on the results of the 
     study. The report shall include--
       (1) findings regarding the state of information 
     infrastructure accreditation, training, and certification 
     programs, including specific areas of deficiency and 
     demonstrable progress; and
       (2) recommendations for the improvement of information 
     infrastructure accreditation, training, and certification 
     programs.

     SEC. 308. INTERNATIONAL CYBERSECURITY TECHNICAL STANDARDS.

       (a) In General.--The Director of the National Institute of 
     Standards and Technology, in coordination with appropriate 
     Federal authorities, shall--
       (1) as appropriate, ensure coordination of Federal agencies 
     engaged in the development of international technical 
     standards related to information system security; and
       (2) not later than 1 year after the date of enactment of 
     this Act, develop and transmit to Congress a plan for 
     ensuring such Federal agency coordination.
       (b) Consultation With the Private Sector.--In carrying out 
     the activities under subsection (a)(1), the Director shall 
     ensure consultation with appropriate private sector 
     stakeholders.

     SEC. 309. IDENTITY MANAGEMENT RESEARCH AND DEVELOPMENT.

       The Director of the National Institute of Standards and 
     Technology shall continue a program to support the 
     development of technical standards, metrology, testbeds, and 
     conformance criteria, taking into account appropriate user 
     concerns--
       (1) to improve interoperability among identity management 
     technologies;
       (2) to strengthen authentication methods of identity 
     management systems;
       (3) to improve privacy protection in identity management 
     systems, including health information technology systems, 
     through authentication and security protocols; and
       (4) to improve the usability of identity management 
     systems.

     SEC. 310. FEDERAL CYBERSECURITY RESEARCH AND DEVELOPMENT.

       (a) National Science Foundation Computer and Network 
     Security Research Grant Areas.--Section 4(a)(1) of the Cyber 
     Security Research and Development Act (15 U.S.C. 7403(a)(1)) 
     is amended--
       (1) in subparagraph (H), by striking ``and'' after the 
     semicolon;
       (2) in subparagraph (I), by striking ``property.'' and 
     inserting ``property;''; and
       (3) by adding at the end the following:
       ``(J) secure fundamental protocols that are at the heart of 
     inter-network communications and data exchange;
       ``(K) system security that addresses the building of secure 
     systems from trusted and untrusted components;
       ``(L) monitoring and detection; and
       ``(M) resiliency and rapid recovery methods.''.
       (b) National Science Foundation Computer and Network 
     Security Grants.--Section 4(a)(3) of the Cyber Security 
     Research and Development Act (15 U.S.C. 7403(a)(3)) is 
     amended--
       (1) in subparagraph (D), by striking ``and'';
       (2) in subparagraph (E), by striking ``2007.'' and 
     inserting ``2007;''; and
       (3) by adding at the end the following:
       ``(F) such funds from amounts made available under section 
     503 of the America COMPETES Reauthorization Act of 2010 (124 
     Stat. 4005), as the Director finds necessary to carry out the 
     requirements of this subsection for fiscal years 2012 through 
     2013.''.
       (c) Computer and Network Security Centers.--Section 4(b)(7) 
     of the Cyber Security Research and Development Act (15 U.S.C. 
     7403(b)(7)) is amended--
       (1) in subparagraph (D), by striking ``and'';
       (2) in subparagraph (E), by striking ``2007.'' and 
     inserting ``2007;''; and
       (3) by adding at the end the following:
       ``(F) such funds from amounts made available under section 
     503 of the America COMPETES Reauthorization Act of 2010 (124 
     Stat. 4005), as the Director finds necessary to carry out the 
     requirements of this subsection for fiscal years 2012 through 
     2013.''.
       (d) Computer and Network Security Capacity Building 
     Grants.--Section 5(a)(6) of the Cyber Security Research and 
     Development Act (15 U.S.C. 7404(a)(6)) is amended--
       (1) in subparagraph (D), by striking ``and'';
       (2) in subparagraph (E), by striking ``2007.'' and 
     inserting ``2007;''; and
       (3) by adding at the end the following:
       ``(F) such funds from amounts made available under section 
     503 of the America COMPETES Reauthorization Act of 2010 (124 
     Stat. 4005), as the Director finds necessary to carry out the 
     requirements of this subsection for fiscal years 2012 through 
     2013.''.

[[Page S5572]]

       (e) Scientific and Advanced Technology Act Grants.--Section 
     5(b)(2) of the Cyber Security Research and Development Act 
     (15 U.S.C. 7404(b)(2)) is amended--
       (1) in subparagraph (D), by striking ``and'';
       (2) in subparagraph (E), by striking ``2007.'' and 
     inserting ``2007;''; and
       (3) by adding at the end the following:
       ``(F) such funds from amounts made available under section 
     503 of the America COMPETES Reauthorization Act of 2010 (124 
     Stat. 4005), as the Director finds necessary to carry out the 
     requirements of this subsection for fiscal years 2012 through 
     2013.''.
       (f) Graduate Traineeships in Computer and Network Security 
     Research.--Section 5(c)(7) of the Cyber Security Research and 
     Development Act (15 U.S.C. 7404(c)(7)) is amended--
       (1) in subparagraph (D), by striking ``and'';
       (2) in subparagraph (E), by striking ``2007.'' and 
     inserting ``2007;''; and
       (3) by adding at the end the following:
       ``(F) such funds from amounts made available under section 
     503 of the America COMPETES Reauthorization Act of 2010 (124 
     Stat. 4005), as the Director finds necessary to carry out the 
     requirements of this subsection for fiscal years 2012 through 
     2013.''.
                                 ______
                                 
  SA 2611. Mrs. HUTCHISON submitted an amendment intended to be 
proposed by her to the bill S. 3414, to enhance the security and 
resiliency of the cyber and communications infrastructure of the United 
States; which was ordered to lie on the table; as follows:

       Beginning on page 45, strike line 1 and all that follows 
     through page 87, line 22, and insert the following:

     TITLE II--COORDINATION OF FEDERAL INFORMATION SECURITY POLICY

     SEC. 201. COORDINATION OF FEDERAL INFORMATION SECURITY 
                   POLICY.

       (a) In General.--Chapter 35 of title 44, United States 
     Code, is amended by striking subchapters II and III and 
     inserting the following:

                 ``SUBCHAPTER II--INFORMATION SECURITY

     ``Sec. 3551. Purposes

       ``The purposes of this subchapter are--
       ``(1) to provide a comprehensive framework for ensuring the 
     effectiveness of information security controls over 
     information resources that support Federal operations and 
     assets;
       ``(2) to recognize the highly networked nature of the 
     current Federal computing environment and provide effective 
     government-wide management of policies, directives, 
     standards, and guidelines, as well as effective and nimble 
     oversight of and response to information security risks, 
     including coordination of information security efforts 
     throughout the Federal civilian, national security, and law 
     enforcement communities;
       ``(3) to provide for development and maintenance of 
     controls required to protect agency information and 
     information systems and contribute to the overall improvement 
     of agency information security posture;
       ``(4) to provide for the development of tools and methods 
     to assess and respond to real-time situational risk for 
     Federal information system operations and assets; and
       ``(5) to provide a mechanism for improving agency 
     information security programs through continuous monitoring 
     of agency information systems and streamlined reporting 
     requirements rather than overly prescriptive manual 
     reporting.

     ``Sec. 3552. Definitions

       ``In this subchapter:
       ``(1) Adequate security.--The term `adequate security' 
     means security commensurate with the risk and magnitude of 
     the harm resulting from the unauthorized access to or loss, 
     misuse, destruction, or modification of information.
       ``(2) Agency.--The term `agency' has the meaning given the 
     term in section 3502 of title 44.
       ``(3) Cybersecurity center.--The term `cybersecurity 
     center' means the Department of Defense Cyber Crime Center, 
     the Intelligence Community Incident Response Center, the 
     United States Cyber Command Joint Operations Center, the 
     National Cyber Investigative Joint Task Force, the National 
     Security Agency/Central Security Service Threat Operations 
     Center, the National Cybersecurity and Communications 
     Integration Center, and any successor center.
       ``(4) Cyber threat information.--The term `cyber threat 
     information' means information that indicates or describes--
       ``(A) a technical or operation vulnerability or a cyber 
     threat mitigation measure;
       ``(B) an action or operation to mitigate a cyber threat;
       ``(C) malicious reconnaissance, including anomalous 
     patterns of network activity that appear to be transmitted 
     for the purpose of gathering technical information related to 
     a cybersecurity threat;
       ``(D) a method of defeating a technical control;
       ``(E) a method of defeating an operational control;
       ``(F) network activity or protocols known to be associated 
     with a malicious cyber actor or that signify malicious cyber 
     intent;
       ``(G) a method of causing a user with legitimate access to 
     an information system or information that is stored on, 
     processed by, or transiting an information system to 
     inadvertently enable the defeat of a technical or operational 
     control;
       ``(H) any other attribute of a cybersecurity threat or 
     cyber defense information that would foster situational 
     awareness of the United States cybersecurity posture, if 
     disclosure of such attribute or information is not otherwise 
     prohibited by law;
       ``(I) the actual or potential harm caused by a cyber 
     incident, including information exfiltrated when it is 
     necessary in order to identify or describe a cybersecurity 
     threat; or
       ``(J) any combination of subparagraphs (A) through (I).
       ``(5) Director.--The term `Director' means the Director of 
     the Office of Management and Budget unless otherwise 
     specified.
       ``(6) Environment of operation.--The term `environment of 
     operation' means the information system and environment in 
     which those systems operate, including changing threats, 
     vulnerabilities, technologies, and missions and business 
     practices.
       ``(7) Federal information system.--The term `Federal 
     information system' means an information system used or 
     operated by an executive agency, by a contractor of an 
     executive agency, or by another organization on behalf of an 
     executive agency.
       ``(8) Incident.--The term `incident' means an occurrence 
     that--
       ``(A) actually or imminently jeopardizes the integrity, 
     confidentiality, or availability of an information system or 
     the information that system controls, processes, stores, or 
     transmits; or
       ``(B) constitutes a violation of law or an imminent threat 
     of violation of a law, a security policy, a security 
     procedure, or an acceptable use policy.
       ``(9) Information resources.--The term `information 
     resources' has the meaning given the term in section 3502 of 
     title 44.
       ``(10) Information security.--The term `information 
     security' means protecting information and information 
     systems from disruption or unauthorized access, use, 
     disclosure, modification, or destruction in order to 
     provide--
       ``(A) integrity, by guarding against improper information 
     modification or destruction, including by ensuring 
     information nonrepudiation and authenticity;
       ``(B) confidentiality, by preserving authorized 
     restrictions on access and disclosure, including means for 
     protecting personal privacy and proprietary information; or
       ``(C) availability, by ensuring timely and reliable access 
     to and use of information.
       ``(11) Information system.--The term `information system' 
     has the meaning given the term in section 3502 of title 44.
       ``(12) Information technology.--The term `information 
     technology' has the meaning given the term in section 11101 
     of title 40.
       ``(13) Malicious reconnaissance.--The term `malicious 
     reconnaissance' means a method for actively probing or 
     passively monitoring an information system for the purpose of 
     discerning technical vulnerabilities of the information 
     system, if such method is associated with a known or 
     suspected cybersecurity threat.
       ``(14) National security system.--
       ``(A) In general.--The term `national security system' 
     means any information system (including any 
     telecommunications system) used or operated by an agency or 
     by a contractor of an agency, or other organization on behalf 
     of an agency--
       ``(i) the function, operation, or use of which--

       ``(I) involves intelligence activities;
       ``(II) involves cryptologic activities related to national 
     security;
       ``(III) involves command and control of military forces;
       ``(IV) involves equipment that is an integral part of a 
     weapon or weapons system; or
       ``(V) subject to subparagraph (B), is critical to the 
     direct fulfillment of military or intelligence missions; or

       ``(ii) is protected at all times by procedures established 
     for information that have been specifically authorized under 
     criteria established by an Executive Order or an Act of 
     Congress to be kept classified in the interest of national 
     defense or foreign policy.
       ``(B) Limitation.--Subparagraph (A)(i)(V) does not include 
     a system that is to be used for routine administrative and 
     business applications (including payroll, finance, logistics, 
     and personnel management applications).
       ``(15) Operational control.--The term `operational control' 
     means a security control for an information system that 
     primarily is implemented and executed by people.
       ``(16) Person.--The term `person' has the meaning given the 
     term in section 3502 of title 44.
       ``(17) Secretary.--The term `Secretary' means the Secretary 
     of Commerce unless otherwise specified.
       ``(18) Security control.--The term `security control' means 
     the management, operational, and technical controls, 
     including safeguards or countermeasures, prescribed for an 
     information system to protect the confidentiality, integrity, 
     and availability of the system and its information.
       ``(19) Significant cyber incident.--The term `significant 
     cyber incident' means a cyber incident resulting in, or an 
     attempted cyber incident that, if successful, would have 
     resulted in--
       ``(A) the exfiltration from a Federal information system of 
     data that is essential to the operation of the Federal 
     information system; or
       ``(B) an incident in which an operational or technical 
     control essential to the security or

[[Page S5573]]

     operation of a Federal information system was defeated.
       ``(20) Technical control.--The term `technical control' 
     means a hardware or software restriction on, or audit of, 
     access or use of an information system or information that is 
     stored on, processed by, or transiting an information system 
     that is intended to ensure the confidentiality, integrity, or 
     availability of that system.

     ``Sec. 3553. Federal information security authority and 
       coordination

       ``(a) In General.--The Secretary, in consultation with the 
     Secretary of Homeland Security, shall--
       ``(1) issue compulsory and binding policies and directives 
     governing agency information security operations, and require 
     implementation of such policies and directives, including--
       ``(A) policies and directives consistent with the standards 
     and guidelines promulgated under section 11331 of title 40 to 
     identify and provide information security protections 
     prioritized and commensurate with the risk and impact 
     resulting from the unauthorized access, use, disclosure, 
     disruption, modification, or destruction of--
       ``(i) information collected or maintained by or on behalf 
     of an agency; or
       ``(ii) information systems used or operated by an agency or 
     by a contractor of an agency or other organization on behalf 
     of an agency;
       ``(B) minimum operational requirements for Federal 
     Government to protect agency information systems and provide 
     common situational awareness across all agency information 
     systems;
       ``(C) reporting requirements, consistent with relevant law, 
     regarding information security incidents and cyber threat 
     information;
       ``(D) requirements for agencywide information security 
     programs;
       ``(E) performance requirements and metrics for the security 
     of agency information systems;
       ``(F) training requirements to ensure that agencies are 
     able to fully and timely comply with the policies and 
     directives issued by the Secretary under this subchapter;
       ``(G) training requirements regarding privacy, civil 
     rights, and civil liberties, and information oversight for 
     agency information security personnel;
       ``(H) requirements for the annual reports to the Secretary 
     under section 3554(d);
       ``(I) any other information security operations or 
     information security requirements as determined by the 
     Secretary in coordination with relevant agency heads; and
       ``(J) coordinating the development of standards and 
     guidelines under section 20 of the National Institute of 
     Standards and Technology Act (15 U.S.C. 278g-3) with agencies 
     and offices operating or exercising control of national 
     security systems (including the National Security Agency) to 
     assure, to the maximum extent feasible, that such standards 
     and guidelines are complementary with standards and 
     guidelines developed for national security systems;
       ``(2) review the agencywide information security programs 
     under section 3554; and
       ``(3) designate an individual or an entity at each 
     cybersecurity center, among other responsibilities--
       ``(A) to receive reports and information about information 
     security incidents, cyber threat information, and 
     deterioration of security control affecting agency 
     information systems; and
       ``(B) to act on or share the information under subparagraph 
     (A) in accordance with this subchapter.
       ``(b) Considerations.--When issuing policies and directives 
     under subsection (a), the Secretary shall consider any 
     applicable standards or guidelines developed by the National 
     Institute of Standards and Technology under section 11331 of 
     title 40.
       ``(c) Limitation of Authority.--The authorities of the 
     Secretary under this section shall not apply to national 
     security systems. Information security policies, directives, 
     standards and guidelines for national security systems shall 
     be overseen as directed by the President and, in accordance 
     with that direction, carried out under the authority of the 
     heads of agencies that operate or exercise authority over 
     such national security systems.
       ``(d) Statutory Construction.--Nothing in this subchapter 
     shall be construed to alter or amend any law regarding the 
     authority of any head of an agency over such agency.

     ``Sec. 3554. Agency responsibilities

       ``(a) In General.--The head of each agency shall--
       ``(1) be responsible for--
       ``(A) complying with the policies and directives issued 
     under section 3553;
       ``(B) providing information security protections 
     commensurate with the risk resulting from unauthorized 
     access, use, disclosure, disruption, modification, or 
     destruction of--
       ``(i) information collected or maintained by the agency or 
     by a contractor of an agency or other organization on behalf 
     of an agency; and
       ``(ii) information systems used or operated by an agency or 
     by a contractor of an agency or other organization on behalf 
     of an agency;
       ``(C) complying with the requirements of this subchapter, 
     including--
       ``(i) information security standards and guidelines 
     promulgated under section 11331 of title 40;
       ``(ii) for any national security systems operated or 
     controlled by that agency, information security policies, 
     directives, standards and guidelines issued as directed by 
     the President; and
       ``(iii) for any non-national security systems operated or 
     controlled by that agency, information security policies, 
     directives, standards and guidelines issued under section 
     3553;
       ``(D) ensuring that information security management 
     processes are integrated with agency strategic and 
     operational planning processes;
       ``(E) reporting and sharing, for an agency operating or 
     exercising control of a national security system, information 
     about information security incidents, cyber threat 
     information, and deterioration of security controls to the 
     individual or entity designated at each cybersecurity center 
     and to other appropriate entities consistent with policies 
     and directives for national security systems issued as 
     directed by the President; and
       ``(F) reporting and sharing, for those agencies operating 
     or exercising control of non-national security systems, 
     information about information security incidents, cyber 
     threat information, and deterioration of security controls to 
     the individual or entity designated at each cybersecurity 
     center and to other appropriate entities consistent with 
     policies and directives for non-national security systems as 
     prescribed under section 3553(a), including information to 
     assist the entity designated under section 3555(a) with the 
     ongoing security analysis under section 3555;
       ``(2) ensure that each senior agency official provides 
     information security for the information and information 
     systems that support the operations and assets under the 
     senior agency official's control, including by--
       ``(A) assessing the risk and impact that could result from 
     the unauthorized access, use, disclosure, disruption, 
     modification, or destruction of such information or 
     information systems;
       ``(B) determining the level of information security 
     appropriate to protect such information and information 
     systems in accordance with policies and directives issued 
     under section 3553(a), and standards and guidelines 
     promulgated under section 11331 of title 40 for information 
     security classifications and related requirements;
       ``(C) implementing policies, procedures, and capabilities 
     to reduce risks to an acceptable level in a cost-effective 
     manner;
       ``(D) actively monitoring the effective implementation of 
     information security controls and techniques; and
       ``(E) reporting information about information security 
     incidents, cyber threat information, and deterioration of 
     security controls in a timely and adequate manner to the 
     entity designated under section 3553(a)(3) in accordance with 
     paragraph (1);
       ``(3) assess and maintain the resiliency of information 
     technology systems critical to agency mission and operations;
       ``(4) designate the agency Inspector General (or an 
     independent entity selected in consultation with the Director 
     and the Council of Inspectors General on Integrity and 
     Efficiency if the agency does not have an Inspector General) 
     to conduct the annual independent evaluation required under 
     section 3556, and allow the agency Inspector General to 
     contract with an independent entity to perform such 
     evaluation;
       ``(5) delegate to the Chief Information Officer or 
     equivalent (or to a senior agency official who reports to the 
     Chief Information Officer or equivalent)--
       ``(A) the authority and primary responsibility to implement 
     an agencywide information security program; and
       ``(B) the authority to provide information security for the 
     information collected and maintained by the agency (or by a 
     contractor, other agency, or other source on behalf of the 
     agency) and for the information systems that support the 
     operations, assets, and mission of the agency (including any 
     information system provided or managed by a contractor, other 
     agency, or other source on behalf of the agency);
       ``(6) delegate to the appropriate agency official (who is 
     responsible for a particular agency system or subsystem) the 
     responsibility to ensure and enforce compliance with all 
     requirements of the agency's agencywide information security 
     program in coordination with the Chief Information Officer or 
     equivalent (or the senior agency official who reports to the 
     Chief Information Officer or equivalent) under paragraph (5);
       ``(7) ensure that an agency has trained personnel who have 
     obtained any necessary security clearances to permit them to 
     assist the agency in complying with this subchapter;
       ``(8) ensure that the Chief Information Officer or 
     equivalent (or the senior agency official who reports to the 
     Chief Information Officer or equivalent) under paragraph (5), 
     in coordination with other senior agency officials, reports 
     to the agency head on the effectiveness of the agencywide 
     information security program, including the progress of any 
     remedial actions; and
       ``(9) ensure that the Chief Information Officer or 
     equivalent (or the senior agency official who reports to the 
     Chief Information Officer or equivalent) under paragraph (5) 
     has the necessary qualifications to administer the functions 
     described in this subchapter and has information security 
     duties as a primary duty of that official.
       ``(b) Chief Information Officers.--Each Chief Information 
     Officer or equivalent (or the senior agency official who 
     reports to the

[[Page S5574]]

     Chief Information Officer or equivalent) under subsection 
     (a)(5) shall--
       ``(1) establish and maintain an enterprise security 
     operations capability that on a continuous basis--
       ``(A) detects, reports, contains, mitigates, and responds 
     to information security incidents that impair adequate 
     security of the agency's information or information system in 
     a timely manner and in accordance with the policies and 
     directives under section 3553; and
       ``(B) reports any information security incident under 
     subparagraph (A) to the entity designated under section 3555;
       ``(2) develop, maintain, and oversee an agencywide 
     information security program;
       ``(3) develop, maintain, and oversee information security 
     policies, procedures, and control techniques to address 
     applicable requirements, including requirements under section 
     3553 of this title and section 11331 of title 40; and
       ``(4) train and oversee the agency personnel who have 
     significant responsibility for information security with 
     respect to that responsibility.
       ``(c) Agencywide Information Security Programs.--
       ``(1) In general.--Each agencywide information security 
     program under subsection (b)(2) shall include--
       ``(A) relevant security risk assessments, including 
     technical assessments and others related to the acquisition 
     process;
       ``(B) security testing commensurate with risk and impact;
       ``(C) mitigation of deterioration of security controls 
     commensurate with risk and impact;
       ``(D) risk-based continuous monitoring and threat 
     assessment of the operational status and security of agency 
     information systems to enable evaluation of the effectiveness 
     of and compliance with information security policies, 
     procedures, and practices, including a relevant and 
     appropriate selection of security controls of information 
     systems identified in the inventory under section 3505(c);
       ``(E) operation of appropriate technical capabilities in 
     order to detect, mitigate, report, and respond to information 
     security incidents, cyber threat information, and 
     deterioration of security controls in a manner that is 
     consistent with the policies and directives under section 
     3553, including--
       ``(i) mitigating risks associated with such information 
     security incidents;
       ``(ii) notifying and consulting with the entity designated 
     under section 3555; and
       ``(iii) notifying and consulting with, as appropriate--

       ``(I) law enforcement and the relevant Office of the 
     Inspector General; and
       ``(II) any other entity, in accordance with law and as 
     directed by the President;

       ``(F) a process to ensure that remedial action is taken to 
     address any deficiencies in the information security 
     policies, procedures, and practices of the agency; and
       ``(G) a plan and procedures to ensure the continuity of 
     operations for information systems that support the 
     operations and assets of the agency.
       ``(2) Risk management strategies.--Each agencywide 
     information security program under subsection (b)(2) shall 
     include the development and maintenance of a risk management 
     strategy for information security. The risk management 
     strategy shall include--
       ``(A) consideration of information security incidents, 
     cyber threat information, and deterioration of security 
     controls; and
       ``(B) consideration of the consequences that could result 
     from the unauthorized access, use, disclosure, disruption, 
     modification, or destruction of information and information 
     systems that support the operations and assets of the agency, 
     including any information system provided or managed by a 
     contractor, other agency, or other source on behalf of the 
     agency;
       ``(3) Policies and procedures.--Each agencywide information 
     security program under subsection (b)(2) shall include 
     policies and procedures that--
       ``(A) are based on the risk management strategy under 
     paragraph (2);
       ``(B) reduce information security risks to an acceptable 
     level in a cost-effective manner;
       ``(C) ensure that cost-effective and adequate information 
     security is addressed as part of the acquisition and ongoing 
     management of each agency information system; and
       ``(D) ensure compliance with--
       ``(i) this subchapter; and
       ``(ii) any other applicable requirements.
       ``(4) Training requirements.--Each agencywide information 
     security program under subsection (b)(2) shall include 
     information security, privacy, civil rights, civil liberties, 
     and information oversight training that meets any applicable 
     requirements under section 3553. The training shall inform 
     each information security personnel that has access to agency 
     information systems (including contractors and other users of 
     information systems that support the operations and assets of 
     the agency) of--
       ``(A) the information security risks associated with the 
     information security personnel's activities; and
       ``(B) the individual's responsibility to comply with the 
     agency policies and procedures that reduce the risks under 
     subparagraph (A).
       ``(d) Annual Report.--Each agency shall submit a report 
     annually to the Secretary of Homeland Security on its 
     agencywide information security program and information 
     systems.

     ``Sec. 3555. Multiagency ongoing threat assessment

       ``(a) Implementation.--The Director of the Office of 
     Management and Budget, in coordination with the Secretary of 
     Homeland Security, shall designate an entity to implement 
     ongoing security analysis concerning agency information 
     systems--
       ``(1) based on cyber threat information;
       ``(2) based on agency information system and environment of 
     operation changes, including--
       ``(A) an ongoing evaluation of the information system 
     security controls; and
       ``(B) the security state, risk level, and environment of 
     operation of an agency information system, including--
       ``(i) a change in risk level due to a new cyber threat;
       ``(ii) a change resulting from a new technology;
       ``(iii) a change resulting from the agency's mission; and
       ``(iv) a change resulting from the business practice; and
       ``(3) using automated processes to the maximum extent 
     possible--
       ``(A) to increase information system security;
       ``(B) to reduce paper-based reporting requirements; and
       ``(C) to maintain timely and actionable knowledge of the 
     state of the information system security.
       ``(b) Standards.--The National Institute of Standards and 
     Technology may promulgate standards, in coordination with the 
     Secretary of Homeland Security, to assist an agency with its 
     duties under this section.
       ``(c) Compliance.--The head of each appropriate department 
     and agency shall be responsible for ensuring compliance and 
     implementing necessary procedures to comply with this 
     section. The head of each appropriate department and agency, 
     in consultation with the Director of the Office of Management 
     and Budget and the Secretary of Homeland Security, shall--
       ``(1) monitor compliance under this section;
       ``(2) develop a timeline and implement for the department 
     or agency--
       ``(A) adoption of any technology, system, or method that 
     facilitates continuous monitoring and threat assessments of 
     an agency information system;
       ``(B) adoption or updating of any technology, system, or 
     method that prevents, detects, or remediates a significant 
     cyber incident to a Federal information system of the 
     department or agency that has impeded, or is reasonably 
     likely to impede, the performance of a critical mission of 
     the department or agency; and
       ``(C) adoption of any technology, system, or method that 
     satisfies a requirement under this section.
       ``(d) Limitation of Authority.--The authorities of the 
     Director of the Office of Management and Budget and of the 
     Secretary of Homeland Security under this section shall not 
     apply to national security systems.
       ``(e) Report.--Not later than 6 months after the date of 
     enactment of the Cybersecurity Act of 2012, the Government 
     Accountability Office shall issue a report evaluating each 
     agency's status toward implementing this section.

     ``Sec. 3556. Independent evaluations

       ``(a) In General.--The Council of the Inspectors General on 
     Integrity and Efficiency, in consultation with the Director 
     and the Secretary of Homeland Security, the Secretary of 
     Commerce, and the Secretary of Defense, shall issue and 
     maintain criteria for the timely, cost-effective, risk-based, 
     and independent evaluation of each agencywide information 
     security program (and practices) to determine the 
     effectiveness of the agencywide information security program 
     (and practices). The criteria shall include measures to 
     assess any conflicts of interest in the performance of the 
     evaluation and whether the agencywide information security 
     program includes appropriate safeguards against disclosure of 
     information where such disclosure may adversely affect 
     information security.
       ``(b) Annual Independent Evaluations.--Each agency shall 
     perform an annual independent evaluation of its agencywide 
     information security program (and practices) in accordance 
     with the criteria under subsection (a).
       ``(c) Distribution of Reports.--Not later than 30 days 
     after receiving an independent evaluation under subsection 
     (b), each agency head shall transmit a copy of the 
     independent evaluation to the Secretary of Homeland Security, 
     the Secretary of Commerce, and the Secretary of Defense.
       ``(d) National Security Systems.--Evaluations involving 
     national security systems shall be conducted as directed by 
     President.

     ``Sec. 3557. National security systems.

       ``The head of each agency operating or exercising control 
     of a national security system shall be responsible for 
     ensuring that the agency--
       ``(1) provides information security protections 
     commensurate with the risk and magnitude of the harm 
     resulting from the unauthorized access, use, disclosure, 
     disruption, modification, or destruction of the information 
     contained in such system; and
       ``(2) implements information security policies and 
     practices as required by standards and guidelines for 
     national security systems,

[[Page S5575]]

     issued in accordance with law and as directed by the 
     President.''.
       (b) Savings Provisions.--
       (1) Policy and compliance guidance.--Policy and compliance 
     guidance issued by the Director before the date of enactment 
     of this Act under section 3543(a)(1) of title 44, United 
     States Code (as in effect on the day before the date of 
     enactment of this Act), shall continue in effect, according 
     to its terms, until modified, terminated, superseded, or 
     repealed pursuant to section 3553(a)(1) of title 44, United 
     States Code.
       (2) Standards and guidelines.--Standards and guidelines 
     issued by the Secretary of Commerce or by the Director before 
     the date of enactment of this Act under section 11331(a)(1) 
     of title 40, United States Code, (as in effect on the day 
     before the date of enactment of this Act) shall continue in 
     effect, according to their terms, until modified, terminated, 
     superseded, or repealed pursuant to section 11331(a)(1) of 
     title 40, United States Code, as amended by this Act.
       (c) Technical and Conforming Amendments.--
       (1) Chapter analysis.--The chapter analysis for chapter 35 
     of title 44, United States Code, is amended--
       (A) by striking the items relating to sections 3531 through 
     3538;
       (B) by striking the items relating to sections 3541 through 
     3549; and
       (C) by inserting the following:

``3551. Purposes.
``3552. Definitions.
``3553. Federal information security authority and coordination.
``3554. Agency responsibilities.
``3555. Multiagency ongoing threat assessment.
``3556. Independent evaluations.
``3557. National security systems.''.

       (2) Other references.--
       (A) Section 1001(c)(1)(A) of the Homeland Security Act of 
     2002 (6 U.S.C. 511(1)(A)) is amended by striking ``section 
     3532(3)'' and inserting ``section 3552''.
       (B) Section 2222(j)(5) of title 10, United States Code, is 
     amended by striking ``section 3542(b)(2)'' and inserting 
     ``section 3552''.
       (C) Section 2223(c)(3) of title 10, United States Code, is 
     amended, by striking ``section 3542(b)(2)'' and inserting 
     ``section 3552''.
       (D) Section 2315 of title 10, United States Code, is 
     amended by striking ``section 3542(b)(2)'' and inserting 
     ``section 3552''.
       (E) Section 20 of the National Institute of Standards and 
     Technology Act (15 U.S.C. 278g-3) is amended--
       (i) in subsection (a)(2), by striking ``section 
     3532(b)(2)'' and inserting ``section 3552'';
       (ii) in subsection (c)(3), by striking ``Director of the 
     Office of Management and Budget'' and inserting ``Secretary 
     of Commerce'';
       (iii) in subsection (d)(1), by striking ``Director of the 
     Office of Management and Budget'' and inserting ``Secretary 
     of Commerce'';
       (iv) in subsection (d)(8) by striking ``Director of the 
     Office of Management and Budget'' and inserting ``Secretary 
     of Commerce'';
       (v) in subsection (d)(8), by striking ``submitted to the 
     Director'' and inserting ``submitted to the Secretary'';
       (vi) in subsection (e)(2), by striking ``section 3532(1) of 
     such title'' and inserting ``section 3552 of title 44''; and
       (vii) in subsection (e)(5), by striking ``section 
     3532(b)(2) of such title'' and inserting ``section 3552 of 
     title 44''.
       (F) Section 8(d)(1) of the Cyber Security Research and 
     Development Act (15 U.S.C. 7406(d)(1)) is amended by striking 
     ``section 3534(b)'' and inserting ``section 3554(b)(2)''.

     SEC. 202. MANAGEMENT OF INFORMATION TECHNOLOGY.

       (a) In General.--Section 11331 of title 40, United States 
     Code, is amended to read as follows:

     ``Sec. 11331. Responsibilities for Federal information 
       systems standards

       ``(a) Standards and Guidelines.--
       ``(1) Authority to prescribe.--Except as provided under 
     paragraph (2), the Secretary of Commerce shall prescribe 
     standards and guidelines pertaining to Federal information 
     systems--
       ``(A) in consultation with the Secretary of Homeland 
     Security; and
       ``(B) on the basis of standards and guidelines developed by 
     the National Institute of Standards and Technology under 
     paragraphs (2) and (3) of section 20(a) of the National 
     Institute of Standards and Technology Act (15 U.S.C. 278g-
     3(a)(2) and (a)(3)).
       ``(2) National security systems.--Standards and guidelines 
     for national security systems shall be developed, prescribed, 
     enforced, and overseen as otherwise authorized by law and as 
     directed by the President.
       ``(b) Mandatory Standards and Guidelines.--
       ``(1) Authority to make mandatory standards and 
     guidelines.--The Secretary of Commerce shall make standards 
     and guidelines under subsection (a)(1) compulsory and binding 
     to the extent determined necessary by the Secretary of 
     Commerce to improve the efficiency of operation or security 
     of Federal information systems.
       ``(2) Required mandatory standards and guidelines.--
       ``(A) In general.--Standards and guidelines under 
     subsection (a)(1) shall include information security 
     standards that--
       ``(i) provide minimum information security requirements as 
     determined under section 20(b) of the National Institute of 
     Standards and Technology Act (15 U.S.C. 278g-3(b)); and
       ``(ii) are otherwise necessary to improve the security of 
     Federal information and information systems.
       ``(B) Binding effect.--Information security standards under 
     subparagraph (A) shall be compulsory and binding.
       ``(c) Exercise of Authority.--To ensure fiscal and policy 
     consistency, the Secretary of Commerce shall exercise the 
     authority conferred by this section subject to direction by 
     the President and in coordination with the Director.
       ``(d) Application of More Stringent Standards and 
     Guidelines.--The head of an executive agency may employ 
     standards for the cost-effective information security for 
     information systems within or under the supervision of that 
     agency that are more stringent than the standards and 
     guidelines the Secretary of Commerce prescribes under this 
     section if the more stringent standards and guidelines--
       ``(1) contain at least the applicable standards and 
     guidelines made compulsory and binding by the Secretary of 
     Commerce; and
       ``(2) are otherwise consistent with the policies, 
     directives, and implementation memoranda issued under section 
     3553(a) of title 44.
       ``(e) Decisions on Promulgation of Standards and 
     Guidelines.--The decision by the Secretary of Commerce 
     regarding the promulgation of any standard or guideline under 
     this section shall occur not later than 6 months after the 
     date of submission of the proposed standard to the Secretary 
     of Commerce by the National Institute of Standards and 
     Technology under section 20 of the National Institute of 
     Standards and Technology Act (15 U.S.C. 278g-3).
       ``(f) Notice and Comment.--A decision by the Secretary of 
     Commerce to significantly modify, or not promulgate, a 
     proposed standard submitted to the Secretary by the National 
     Institute of Standards and Technology under section 20 of the 
     National Institute of Standards and Technology Act (15 U.S.C. 
     278g-3) shall be made after the public is given an 
     opportunity to comment on the Secretary's proposed decision.
       ``(g) Definitions.--In this section:
       ``(1) Federal information system.--The term `Federal 
     information system' has the meaning given the term in section 
     3552 of title 44.
       ``(2) Information security.--The term `information 
     security' has the meaning given the term in section 3552 of 
     title 44.
       ``(3) National security system.--The term `national 
     security system' has the meaning given the term in section 
     3552 of title 44.''.

     SEC. 203. NO NEW FUNDING.

       An applicable Federal agency shall carry out the provisions 
     of this title with existing facilities and funds otherwise 
     available, through such means as the head of the agency 
     considers appropriate.

     SEC. 204. TECHNICAL AND CONFORMING AMENDMENTS.

       Section 21(b) of the National Institute of Standards and 
     Technology Act (15 U.S.C. 278g-4(b)) is amended--
       (1) in paragraph (2), by striking ``and the Director of the 
     Office of Management and Budget'' and inserting ``, the 
     Secretary of Commerce, and the Secretary of Homeland 
     Security''; and
       (2) in paragraph (3), by inserting ``, the Secretary of 
     Homeland Security,'' after ``the Secretary of Commerce''.

     SEC. 205. CLARIFICATION OF AUTHORITIES.

       Nothing in this title shall be construed to convey any new 
     regulatory authority to any government entity implementing or 
     complying with any provision of this title.
                                 ______
                                 
  SA 2612. Mrs. HUTCHISON submitted an amendment intended to be 
proposed by her to the bill S. 3414, to enhance the security and 
resiliency of the cyber and communications infrastructure of the United 
States; which was ordered to lie on the table; as follows:

       Beginning on page 45, strike line 1 and all that follows 
     through the undesignated matter between lines 7 and 8 on page 
     106, and insert the following:

     TITLE II--COORDINATION OF FEDERAL INFORMATION SECURITY POLICY

     SEC. 201. COORDINATION OF FEDERAL INFORMATION SECURITY 
                   POLICY.

       (a) In General.--Chapter 35 of title 44, United States 
     Code, is amended by striking subchapters II and III and 
     inserting the following:

                 ``SUBCHAPTER II--INFORMATION SECURITY

     ``Sec. 3551. Purposes

       ``The purposes of this subchapter are--
       ``(1) to provide a comprehensive framework for ensuring the 
     effectiveness of information security controls over 
     information resources that support Federal operations and 
     assets;
       ``(2) to recognize the highly networked nature of the 
     current Federal computing environment and provide effective 
     government-wide management of policies, directives, 
     standards, and guidelines, as well as effective and nimble 
     oversight of and response to information security risks, 
     including coordination of information security efforts 
     throughout the Federal civilian, national security, and law 
     enforcement communities;
       ``(3) to provide for development and maintenance of 
     controls required to protect agency information and 
     information systems and contribute to the overall improvement 
     of agency information security posture;

[[Page S5576]]

       ``(4) to provide for the development of tools and methods 
     to assess and respond to real-time situational risk for 
     Federal information system operations and assets; and
       ``(5) to provide a mechanism for improving agency 
     information security programs through continuous monitoring 
     of agency information systems and streamlined reporting 
     requirements rather than overly prescriptive manual 
     reporting.

     ``Sec. 3552. Definitions

       ``In this subchapter:
       ``(1) Adequate security.--The term `adequate security' 
     means security commensurate with the risk and magnitude of 
     the harm resulting from the unauthorized access to or loss, 
     misuse, destruction, or modification of information.
       ``(2) Agency.--The term `agency' has the meaning given the 
     term in section 3502 of title 44.
       ``(3) Cybersecurity center.--The term `cybersecurity 
     center' means the Department of Defense Cyber Crime Center, 
     the Intelligence Community Incident Response Center, the 
     United States Cyber Command Joint Operations Center, the 
     National Cyber Investigative Joint Task Force, the National 
     Security Agency/Central Security Service Threat Operations 
     Center, the National Cybersecurity and Communications 
     Integration Center, and any successor center.
       ``(4) Cyber threat information.--The term `cyber threat 
     information' means information that indicates or describes--
       ``(A) a technical or operation vulnerability or a cyber 
     threat mitigation measure;
       ``(B) an action or operation to mitigate a cyber threat;
       ``(C) malicious reconnaissance, including anomalous 
     patterns of network activity that appear to be transmitted 
     for the purpose of gathering technical information related to 
     a cybersecurity threat;
       ``(D) a method of defeating a technical control;
       ``(E) a method of defeating an operational control;
       ``(F) network activity or protocols known to be associated 
     with a malicious cyber actor or that signify malicious cyber 
     intent;
       ``(G) a method of causing a user with legitimate access to 
     an information system or information that is stored on, 
     processed by, or transiting an information system to 
     inadvertently enable the defeat of a technical or operational 
     control;
       ``(H) any other attribute of a cybersecurity threat or 
     cyber defense information that would foster situational 
     awareness of the United States cybersecurity posture, if 
     disclosure of such attribute or information is not otherwise 
     prohibited by law;
       ``(I) the actual or potential harm caused by a cyber 
     incident, including information exfiltrated when it is 
     necessary in order to identify or describe a cybersecurity 
     threat; or
       ``(J) any combination of subparagraphs (A) through (I).
       ``(5) Director.--The term `Director' means the Director of 
     the Office of Management and Budget unless otherwise 
     specified.
       ``(6) Environment of operation.--The term `environment of 
     operation' means the information system and environment in 
     which those systems operate, including changing threats, 
     vulnerabilities, technologies, and missions and business 
     practices.
       ``(7) Federal information system.--The term `Federal 
     information system' means an information system used or 
     operated by an executive agency, by a contractor of an 
     executive agency, or by another organization on behalf of an 
     executive agency.
       ``(8) Incident.--The term `incident' means an occurrence 
     that--
       ``(A) actually or imminently jeopardizes the integrity, 
     confidentiality, or availability of an information system or 
     the information that system controls, processes, stores, or 
     transmits; or
       ``(B) constitutes a violation of law or an imminent threat 
     of violation of a law, a security policy, a security 
     procedure, or an acceptable use policy.
       ``(9) Information resources.--The term `information 
     resources' has the meaning given the term in section 3502 of 
     title 44.
       ``(10) Information security.--The term `information 
     security' means protecting information and information 
     systems from disruption or unauthorized access, use, 
     disclosure, modification, or destruction in order to 
     provide--
       ``(A) integrity, by guarding against improper information 
     modification or destruction, including by ensuring 
     information nonrepudiation and authenticity;
       ``(B) confidentiality, by preserving authorized 
     restrictions on access and disclosure, including means for 
     protecting personal privacy and proprietary information; or
       ``(C) availability, by ensuring timely and reliable access 
     to and use of information.
       ``(11) Information system.--The term `information system' 
     has the meaning given the term in section 3502 of title 44.
       ``(12) Information technology.--The term `information 
     technology' has the meaning given the term in section 11101 
     of title 40.
       ``(13) Malicious reconnaissance.--The term `malicious 
     reconnaissance' means a method for actively probing or 
     passively monitoring an information system for the purpose of 
     discerning technical vulnerabilities of the information 
     system, if such method is associated with a known or 
     suspected cybersecurity threat.
       ``(14) National security system.--
       ``(A) In general.--The term `national security system' 
     means any information system (including any 
     telecommunications system) used or operated by an agency or 
     by a contractor of an agency, or other organization on behalf 
     of an agency--
       ``(i) the function, operation, or use of which--

       ``(I) involves intelligence activities;
       ``(II) involves cryptologic activities related to national 
     security;
       ``(III) involves command and control of military forces;
       ``(IV) involves equipment that is an integral part of a 
     weapon or weapons system; or
       ``(V) subject to subparagraph (B), is critical to the 
     direct fulfillment of military or intelligence missions; or

       ``(ii) is protected at all times by procedures established 
     for information that have been specifically authorized under 
     criteria established by an Executive Order or an Act of 
     Congress to be kept classified in the interest of national 
     defense or foreign policy.
       ``(B) Limitation.--Subparagraph (A)(i)(V) does not include 
     a system that is to be used for routine administrative and 
     business applications (including payroll, finance, logistics, 
     and personnel management applications).
       ``(15) Operational control.--The term `operational control' 
     means a security control for an information system that 
     primarily is implemented and executed by people.
       ``(16) Person.--The term `person' has the meaning given the 
     term in section 3502 of title 44.
       ``(17) Secretary.--The term `Secretary' means the Secretary 
     of Commerce unless otherwise specified.
       ``(18) Security control.--The term `security control' means 
     the management, operational, and technical controls, 
     including safeguards or countermeasures, prescribed for an 
     information system to protect the confidentiality, integrity, 
     and availability of the system and its information.
       ``(19) Significant cyber incident.--The term `significant 
     cyber incident' means a cyber incident resulting in, or an 
     attempted cyber incident that, if successful, would have 
     resulted in--
       ``(A) the exfiltration from a Federal information system of 
     data that is essential to the operation of the Federal 
     information system; or
       ``(B) an incident in which an operational or technical 
     control essential to the security or operation of a Federal 
     information system was defeated.
       ``(20) Technical control.--The term `technical control' 
     means a hardware or software restriction on, or audit of, 
     access or use of an information system or information that is 
     stored on, processed by, or transiting an information system 
     that is intended to ensure the confidentiality, integrity, or 
     availability of that system.

     ``Sec. 3553. Federal information security authority and 
       coordination

       ``(a) In General.--The Secretary, in consultation with the 
     Secretary of Homeland Security, shall--
       ``(1) issue compulsory and binding policies and directives 
     governing agency information security operations, and require 
     implementation of such policies and directives, including--
       ``(A) policies and directives consistent with the standards 
     and guidelines promulgated under section 11331 of title 40 to 
     identify and provide information security protections 
     prioritized and commensurate with the risk and impact 
     resulting from the unauthorized access, use, disclosure, 
     disruption, modification, or destruction of--
       ``(i) information collected or maintained by or on behalf 
     of an agency; or
       ``(ii) information systems used or operated by an agency or 
     by a contractor of an agency or other organization on behalf 
     of an agency;
       ``(B) minimum operational requirements for Federal 
     Government to protect agency information systems and provide 
     common situational awareness across all agency information 
     systems;
       ``(C) reporting requirements, consistent with relevant law, 
     regarding information security incidents and cyber threat 
     information;
       ``(D) requirements for agencywide information security 
     programs;
       ``(E) performance requirements and metrics for the security 
     of agency information systems;
       ``(F) training requirements to ensure that agencies are 
     able to fully and timely comply with the policies and 
     directives issued by the Secretary under this subchapter;
       ``(G) training requirements regarding privacy, civil 
     rights, and civil liberties, and information oversight for 
     agency information security personnel;
       ``(H) requirements for the annual reports to the Secretary 
     under section 3554(d);
       ``(I) any other information security operations or 
     information security requirements as determined by the 
     Secretary in coordination with relevant agency heads; and
       ``(J) coordinating the development of standards and 
     guidelines under section 20 of the National Institute of 
     Standards and Technology Act (15 U.S.C. 278g-3) with agencies 
     and offices operating or exercising control of national 
     security systems (including the National Security Agency) to 
     assure, to the maximum extent feasible, that such standards 
     and guidelines are complementary with standards and 
     guidelines developed for national security systems;
       ``(2) review the agencywide information security programs 
     under section 3554; and

[[Page S5577]]

       ``(3) designate an individual or an entity at each 
     cybersecurity center, among other responsibilities--
       ``(A) to receive reports and information about information 
     security incidents, cyber threat information, and 
     deterioration of security control affecting agency 
     information systems; and
       ``(B) to act on or share the information under subparagraph 
     (A) in accordance with this subchapter.
       ``(b) Considerations.--When issuing policies and directives 
     under subsection (a), the Secretary shall consider any 
     applicable standards or guidelines developed by the National 
     Institute of Standards and Technology under section 11331 of 
     title 40.
       ``(c) Limitation of Authority.--The authorities of the 
     Secretary under this section shall not apply to national 
     security systems. Information security policies, directives, 
     standards and guidelines for national security systems shall 
     be overseen as directed by the President and, in accordance 
     with that direction, carried out under the authority of the 
     heads of agencies that operate or exercise authority over 
     such national security systems.
       ``(d) Statutory Construction.--Nothing in this subchapter 
     shall be construed to alter or amend any law regarding the 
     authority of any head of an agency over such agency.

     ``Sec. 3554. Agency responsibilities

       ``(a) In General.--The head of each agency shall--
       ``(1) be responsible for--
       ``(A) complying with the policies and directives issued 
     under section 3553;
       ``(B) providing information security protections 
     commensurate with the risk resulting from unauthorized 
     access, use, disclosure, disruption, modification, or 
     destruction of--
       ``(i) information collected or maintained by the agency or 
     by a contractor of an agency or other organization on behalf 
     of an agency; and
       ``(ii) information systems used or operated by an agency or 
     by a contractor of an agency or other organization on behalf 
     of an agency;
       ``(C) complying with the requirements of this subchapter, 
     including--
       ``(i) information security standards and guidelines 
     promulgated under section 11331 of title 40;
       ``(ii) for any national security systems operated or 
     controlled by that agency, information security policies, 
     directives, standards and guidelines issued as directed by 
     the President; and
       ``(iii) for any non-national security systems operated or 
     controlled by that agency, information security policies, 
     directives, standards and guidelines issued under section 
     3553;
       ``(D) ensuring that information security management 
     processes are integrated with agency strategic and 
     operational planning processes;
       ``(E) reporting and sharing, for an agency operating or 
     exercising control of a national security system, information 
     about information security incidents, cyber threat 
     information, and deterioration of security controls to the 
     individual or entity designated at each cybersecurity center 
     and to other appropriate entities consistent with policies 
     and directives for national security systems issued as 
     directed by the President; and
       ``(F) reporting and sharing, for those agencies operating 
     or exercising control of non-national security systems, 
     information about information security incidents, cyber 
     threat information, and deterioration of security controls to 
     the individual or entity designated at each cybersecurity 
     center and to other appropriate entities consistent with 
     policies and directives for non-national security systems as 
     prescribed under section 3553(a), including information to 
     assist the entity designated under section 3555(a) with the 
     ongoing security analysis under section 3555;
       ``(2) ensure that each senior agency official provides 
     information security for the information and information 
     systems that support the operations and assets under the 
     senior agency official's control, including by--
       ``(A) assessing the risk and impact that could result from 
     the unauthorized access, use, disclosure, disruption, 
     modification, or destruction of such information or 
     information systems;
       ``(B) determining the level of information security 
     appropriate to protect such information and information 
     systems in accordance with policies and directives issued 
     under section 3553(a), and standards and guidelines 
     promulgated under section 11331 of title 40 for information 
     security classifications and related requirements;
       ``(C) implementing policies, procedures, and capabilities 
     to reduce risks to an acceptable level in a cost-effective 
     manner;
       ``(D) actively monitoring the effective implementation of 
     information security controls and techniques; and
       ``(E) reporting information about information security 
     incidents, cyber threat information, and deterioration of 
     security controls in a timely and adequate manner to the 
     entity designated under section 3553(a)(3) in accordance with 
     paragraph (1);
       ``(3) assess and maintain the resiliency of information 
     technology systems critical to agency mission and operations;
       ``(4) designate the agency Inspector General (or an 
     independent entity selected in consultation with the Director 
     and the Council of Inspectors General on Integrity and 
     Efficiency if the agency does not have an Inspector General) 
     to conduct the annual independent evaluation required under 
     section 3556, and allow the agency Inspector General to 
     contract with an independent entity to perform such 
     evaluation;
       ``(5) delegate to the Chief Information Officer or 
     equivalent (or to a senior agency official who reports to the 
     Chief Information Officer or equivalent)--
       ``(A) the authority and primary responsibility to implement 
     an agencywide information security program; and
       ``(B) the authority to provide information security for the 
     information collected and maintained by the agency (or by a 
     contractor, other agency, or other source on behalf of the 
     agency) and for the information systems that support the 
     operations, assets, and mission of the agency (including any 
     information system provided or managed by a contractor, other 
     agency, or other source on behalf of the agency);
       ``(6) delegate to the appropriate agency official (who is 
     responsible for a particular agency system or subsystem) the 
     responsibility to ensure and enforce compliance with all 
     requirements of the agency's agencywide information security 
     program in coordination with the Chief Information Officer or 
     equivalent (or the senior agency official who reports to the 
     Chief Information Officer or equivalent) under paragraph (5);
       ``(7) ensure that an agency has trained personnel who have 
     obtained any necessary security clearances to permit them to 
     assist the agency in complying with this subchapter;
       ``(8) ensure that the Chief Information Officer or 
     equivalent (or the senior agency official who reports to the 
     Chief Information Officer or equivalent) under paragraph (5), 
     in coordination with other senior agency officials, reports 
     to the agency head on the effectiveness of the agencywide 
     information security program, including the progress of any 
     remedial actions; and
       ``(9) ensure that the Chief Information Officer or 
     equivalent (or the senior agency official who reports to the 
     Chief Information Officer or equivalent) under paragraph (5) 
     has the necessary qualifications to administer the functions 
     described in this subchapter and has information security 
     duties as a primary duty of that official.
       ``(b) Chief Information Officers.--Each Chief Information 
     Officer or equivalent (or the senior agency official who 
     reports to the Chief Information Officer or equivalent) under 
     subsection (a)(5) shall--
       ``(1) establish and maintain an enterprise security 
     operations capability that on a continuous basis--
       ``(A) detects, reports, contains, mitigates, and responds 
     to information security incidents that impair adequate 
     security of the agency's information or information system in 
     a timely manner and in accordance with the policies and 
     directives under section 3553; and
       ``(B) reports any information security incident under 
     subparagraph (A) to the entity designated under section 3555;
       ``(2) develop, maintain, and oversee an agencywide 
     information security program;
       ``(3) develop, maintain, and oversee information security 
     policies, procedures, and control techniques to address 
     applicable requirements, including requirements under section 
     3553 of this title and section 11331 of title 40; and
       ``(4) train and oversee the agency personnel who have 
     significant responsibility for information security with 
     respect to that responsibility.
       ``(c) Agencywide Information Security Programs.--
       ``(1) In general.--Each agencywide information security 
     program under subsection (b)(2) shall include--
       ``(A) relevant security risk assessments, including 
     technical assessments and others related to the acquisition 
     process;
       ``(B) security testing commensurate with risk and impact;
       ``(C) mitigation of deterioration of security controls 
     commensurate with risk and impact;
       ``(D) risk-based continuous monitoring and threat 
     assessment of the operational status and security of agency 
     information systems to enable evaluation of the effectiveness 
     of and compliance with information security policies, 
     procedures, and practices, including a relevant and 
     appropriate selection of security controls of information 
     systems identified in the inventory under section 3505(c);
       ``(E) operation of appropriate technical capabilities in 
     order to detect, mitigate, report, and respond to information 
     security incidents, cyber threat information, and 
     deterioration of security controls in a manner that is 
     consistent with the policies and directives under section 
     3553, including--
       ``(i) mitigating risks associated with such information 
     security incidents;
       ``(ii) notifying and consulting with the entity designated 
     under section 3555; and
       ``(iii) notifying and consulting with, as appropriate--

       ``(I) law enforcement and the relevant Office of the 
     Inspector General; and
       ``(II) any other entity, in accordance with law and as 
     directed by the President;

       ``(F) a process to ensure that remedial action is taken to 
     address any deficiencies in the information security 
     policies, procedures, and practices of the agency; and
       ``(G) a plan and procedures to ensure the continuity of 
     operations for information systems that support the 
     operations and assets of the agency.

[[Page S5578]]

       ``(2) Risk management strategies.--Each agencywide 
     information security program under subsection (b)(2) shall 
     include the development and maintenance of a risk management 
     strategy for information security. The risk management 
     strategy shall include--
       ``(A) consideration of information security incidents, 
     cyber threat information, and deterioration of security 
     controls; and
       ``(B) consideration of the consequences that could result 
     from the unauthorized access, use, disclosure, disruption, 
     modification, or destruction of information and information 
     systems that support the operations and assets of the agency, 
     including any information system provided or managed by a 
     contractor, other agency, or other source on behalf of the 
     agency;
       ``(3) Policies and procedures.--Each agencywide information 
     security program under subsection (b)(2) shall include 
     policies and procedures that--
       ``(A) are based on the risk management strategy under 
     paragraph (2);
       ``(B) reduce information security risks to an acceptable 
     level in a cost-effective manner;
       ``(C) ensure that cost-effective and adequate information 
     security is addressed as part of the acquisition and ongoing 
     management of each agency information system; and
       ``(D) ensure compliance with--
       ``(i) this subchapter; and
       ``(ii) any other applicable requirements.
       ``(4) Training requirements.--Each agencywide information 
     security program under subsection (b)(2) shall include 
     information security, privacy, civil rights, civil liberties, 
     and information oversight training that meets any applicable 
     requirements under section 3553. The training shall inform 
     each information security personnel that has access to agency 
     information systems (including contractors and other users of 
     information systems that support the operations and assets of 
     the agency) of--
       ``(A) the information security risks associated with the 
     information security personnel's activities; and
       ``(B) the individual's responsibility to comply with the 
     agency policies and procedures that reduce the risks under 
     subparagraph (A).
       ``(d) Annual Report.--Each agency shall submit a report 
     annually to the Secretary of Homeland Security on its 
     agencywide information security program and information 
     systems.

     ``Sec. 3555. Multiagency ongoing threat assessment

       ``(a) Implementation.--The Director of the Office of 
     Management and Budget, in coordination with the Secretary of 
     Homeland Security, shall designate an entity to implement 
     ongoing security analysis concerning agency information 
     systems--
       ``(1) based on cyber threat information;
       ``(2) based on agency information system and environment of 
     operation changes, including--
       ``(A) an ongoing evaluation of the information system 
     security controls; and
       ``(B) the security state, risk level, and environment of 
     operation of an agency information system, including--
       ``(i) a change in risk level due to a new cyber threat;
       ``(ii) a change resulting from a new technology;
       ``(iii) a change resulting from the agency's mission; and
       ``(iv) a change resulting from the business practice; and
       ``(3) using automated processes to the maximum extent 
     possible--
       ``(A) to increase information system security;
       ``(B) to reduce paper-based reporting requirements; and
       ``(C) to maintain timely and actionable knowledge of the 
     state of the information system security.
       ``(b) Standards.--The National Institute of Standards and 
     Technology may promulgate standards, in coordination with the 
     Secretary of Homeland Security, to assist an agency with its 
     duties under this section.
       ``(c) Compliance.--The head of each appropriate department 
     and agency shall be responsible for ensuring compliance and 
     implementing necessary procedures to comply with this 
     section. The head of each appropriate department and agency, 
     in consultation with the Director of the Office of Management 
     and Budget and the Secretary of Homeland Security, shall--
       ``(1) monitor compliance under this section;
       ``(2) develop a timeline and implement for the department 
     or agency--
       ``(A) adoption of any technology, system, or method that 
     facilitates continuous monitoring and threat assessments of 
     an agency information system;
       ``(B) adoption or updating of any technology, system, or 
     method that prevents, detects, or remediates a significant 
     cyber incident to a Federal information system of the 
     department or agency that has impeded, or is reasonably 
     likely to impede, the performance of a critical mission of 
     the department or agency; and
       ``(C) adoption of any technology, system, or method that 
     satisfies a requirement under this section.
       ``(d) Limitation of Authority.--The authorities of the 
     Director of the Office of Management and Budget and of the 
     Secretary of Homeland Security under this section shall not 
     apply to national security systems.
       ``(e) Report.--Not later than 6 months after the date of 
     enactment of the Cybersecurity Act of 2012, the Government 
     Accountability Office shall issue a report evaluating each 
     agency's status toward implementing this section.

     ``Sec. 3556. Independent evaluations

       ``(a) In General.--The Council of the Inspectors General on 
     Integrity and Efficiency, in consultation with the Director 
     and the Secretary of Homeland Security, the Secretary of 
     Commerce, and the Secretary of Defense, shall issue and 
     maintain criteria for the timely, cost-effective, risk-based, 
     and independent evaluation of each agencywide information 
     security program (and practices) to determine the 
     effectiveness of the agencywide information security program 
     (and practices). The criteria shall include measures to 
     assess any conflicts of interest in the performance of the 
     evaluation and whether the agencywide information security 
     program includes appropriate safeguards against disclosure of 
     information where such disclosure may adversely affect 
     information security.
       ``(b) Annual Independent Evaluations.--Each agency shall 
     perform an annual independent evaluation of its agencywide 
     information security program (and practices) in accordance 
     with the criteria under subsection (a).
       ``(c) Distribution of Reports.--Not later than 30 days 
     after receiving an independent evaluation under subsection 
     (b), each agency head shall transmit a copy of the 
     independent evaluation to the Secretary of Homeland Security, 
     the Secretary of Commerce, and the Secretary of Defense.
       ``(d) National Security Systems.--Evaluations involving 
     national security systems shall be conducted as directed by 
     President.

     ``Sec. 3557. National security systems.

       ``The head of each agency operating or exercising control 
     of a national security system shall be responsible for 
     ensuring that the agency--
       ``(1) provides information security protections 
     commensurate with the risk and magnitude of the harm 
     resulting from the unauthorized access, use, disclosure, 
     disruption, modification, or destruction of the information 
     contained in such system; and
       ``(2) implements information security policies and 
     practices as required by standards and guidelines for 
     national security systems, issued in accordance with law and 
     as directed by the President.''.
       (b) Savings Provisions.--
       (1) Policy and compliance guidance.--Policy and compliance 
     guidance issued by the Director before the date of enactment 
     of this Act under section 3543(a)(1) of title 44, United 
     States Code (as in effect on the day before the date of 
     enactment of this Act), shall continue in effect, according 
     to its terms, until modified, terminated, superseded, or 
     repealed pursuant to section 3553(a)(1) of title 44, United 
     States Code.
       (2) Standards and guidelines.--Standards and guidelines 
     issued by the Secretary of Commerce or by the Director before 
     the date of enactment of this Act under section 11331(a)(1) 
     of title 40, United States Code, (as in effect on the day 
     before the date of enactment of this Act) shall continue in 
     effect, according to their terms, until modified, terminated, 
     superseded, or repealed pursuant to section 11331(a)(1) of 
     title 40, United States Code, as amended by this Act.
       (c) Technical and Conforming Amendments.--
       (1) Chapter analysis.--The chapter analysis for chapter 35 
     of title 44, United States Code, is amended--
       (A) by striking the items relating to sections 3531 through 
     3538;
       (B) by striking the items relating to sections 3541 through 
     3549; and
       (C) by inserting the following:

``3551. Purposes.
``3552. Definitions.
``3553. Federal information security authority and coordination.
``3554. Agency responsibilities.
``3555. Multiagency ongoing threat assessment.
``3556. Independent evaluations.
``3557. National security systems.''.
       (2) Other references.--
       (A) Section 1001(c)(1)(A) of the Homeland Security Act of 
     2002 (6 U.S.C. 511(1)(A)) is amended by striking ``section 
     3532(3)'' and inserting ``section 3552''.
       (B) Section 2222(j)(5) of title 10, United States Code, is 
     amended by striking ``section 3542(b)(2)'' and inserting 
     ``section 3552''.
       (C) Section 2223(c)(3) of title 10, United States Code, is 
     amended, by striking ``section 3542(b)(2)'' and inserting 
     ``section 3552''.
       (D) Section 2315 of title 10, United States Code, is 
     amended by striking ``section 3542(b)(2)'' and inserting 
     ``section 3552''.
       (E) Section 20 of the National Institute of Standards and 
     Technology Act (15 U.S.C. 278g-3) is amended--
       (i) in subsection (a)(2), by striking ``section 
     3532(b)(2)'' and inserting ``section 3552'';
       (ii) in subsection (c)(3), by striking ``Director of the 
     Office of Management and Budget'' and inserting ``Secretary 
     of Commerce'';
       (iii) in subsection (d)(1), by striking ``Director of the 
     Office of Management and Budget'' and inserting ``Secretary 
     of Commerce'';
       (iv) in subsection (d)(8) by striking ``Director of the 
     Office of Management and Budget'' and inserting ``Secretary 
     of Commerce'';

[[Page S5579]]

       (v) in subsection (d)(8), by striking ``submitted to the 
     Director'' and inserting ``submitted to the Secretary'';
       (vi) in subsection (e)(2), by striking ``section 3532(1) of 
     such title'' and inserting ``section 3552 of title 44''; and
       (vii) in subsection (e)(5), by striking ``section 
     3532(b)(2) of such title'' and inserting ``section 3552 of 
     title 44''.
       (F) Section 8(d)(1) of the Cyber Security Research and 
     Development Act (15 U.S.C. 7406(d)(1)) is amended by striking 
     ``section 3534(b)'' and inserting ``section 3554(b)(2)''.

     SEC. 202. MANAGEMENT OF INFORMATION TECHNOLOGY.

       (a) In General.--Section 11331 of title 40, United States 
     Code, is amended to read as follows:

     ``Sec. 11331. Responsibilities for Federal information 
       systems standards

       ``(a) Standards and Guidelines.--
       ``(1) Authority to prescribe.--Except as provided under 
     paragraph (2), the Secretary of Commerce shall prescribe 
     standards and guidelines pertaining to Federal information 
     systems--
       ``(A) in consultation with the Secretary of Homeland 
     Security; and
       ``(B) on the basis of standards and guidelines developed by 
     the National Institute of Standards and Technology under 
     paragraphs (2) and (3) of section 20(a) of the National 
     Institute of Standards and Technology Act (15 U.S.C. 278g-
     3(a)(2) and (a)(3)).
       ``(2) National security systems.--Standards and guidelines 
     for national security systems shall be developed, prescribed, 
     enforced, and overseen as otherwise authorized by law and as 
     directed by the President.
       ``(b) Mandatory Standards and Guidelines.--
       ``(1) Authority to make mandatory standards and 
     guidelines.--The Secretary of Commerce shall make standards 
     and guidelines under subsection (a)(1) compulsory and binding 
     to the extent determined necessary by the Secretary of 
     Commerce to improve the efficiency of operation or security 
     of Federal information systems.
       ``(2) Required mandatory standards and guidelines.--
       ``(A) In general.--Standards and guidelines under 
     subsection (a)(1) shall include information security 
     standards that--
       ``(i) provide minimum information security requirements as 
     determined under section 20(b) of the National Institute of 
     Standards and Technology Act (15 U.S.C. 278g-3(b)); and
       ``(ii) are otherwise necessary to improve the security of 
     Federal information and information systems.
       ``(B) Binding effect.--Information security standards under 
     subparagraph (A) shall be compulsory and binding.
       ``(c) Exercise of Authority.--To ensure fiscal and policy 
     consistency, the Secretary of Commerce shall exercise the 
     authority conferred by this section subject to direction by 
     the President and in coordination with the Director.
       ``(d) Application of More Stringent Standards and 
     Guidelines.--The head of an executive agency may employ 
     standards for the cost-effective information security for 
     information systems within or under the supervision of that 
     agency that are more stringent than the standards and 
     guidelines the Secretary of Commerce prescribes under this 
     section if the more stringent standards and guidelines--
       ``(1) contain at least the applicable standards and 
     guidelines made compulsory and binding by the Secretary of 
     Commerce; and
       ``(2) are otherwise consistent with the policies, 
     directives, and implementation memoranda issued under section 
     3553(a) of title 44.
       ``(e) Decisions on Promulgation of Standards and 
     Guidelines.--The decision by the Secretary of Commerce 
     regarding the promulgation of any standard or guideline under 
     this section shall occur not later than 6 months after the 
     date of submission of the proposed standard to the Secretary 
     of Commerce by the National Institute of Standards and 
     Technology under section 20 of the National Institute of 
     Standards and Technology Act (15 U.S.C. 278g-3).
       ``(f) Notice and Comment.--A decision by the Secretary of 
     Commerce to significantly modify, or not promulgate, a 
     proposed standard submitted to the Secretary by the National 
     Institute of Standards and Technology under section 20 of the 
     National Institute of Standards and Technology Act (15 U.S.C. 
     278g-3) shall be made after the public is given an 
     opportunity to comment on the Secretary's proposed decision.
       ``(g) Definitions.--In this section:
       ``(1) Federal information system.--The term `Federal 
     information system' has the meaning given the term in section 
     3552 of title 44.
       ``(2) Information security.--The term `information 
     security' has the meaning given the term in section 3552 of 
     title 44.
       ``(3) National security system.--The term `national 
     security system' has the meaning given the term in section 
     3552 of title 44.''.

     SEC. 203. NO NEW FUNDING.

       An applicable Federal agency shall carry out the provisions 
     of this title with existing facilities and funds otherwise 
     available, through such means as the head of the agency 
     considers appropriate.

     SEC. 204. TECHNICAL AND CONFORMING AMENDMENTS.

       Section 21(b) of the National Institute of Standards and 
     Technology Act (15 U.S.C. 278g-4(b)) is amended--
       (1) in paragraph (2), by striking ``and the Director of the 
     Office of Management and Budget'' and inserting ``, the 
     Secretary of Commerce, and the Secretary of Homeland 
     Security''; and
       (2) in paragraph (3), by inserting ``, the Secretary of 
     Homeland Security,'' after ``the Secretary of Commerce''.

     SEC. 205. CLARIFICATION OF AUTHORITIES.

       Nothing in this title shall be construed to convey any new 
     regulatory authority to any government entity implementing or 
     complying with any provision of this title.
                                 ______
                                 
  SA 2613. Mrs. HUTCHISON (for herself, Mr. McCain, Mr. Chambliss, Mr. 
Grassley, Ms. Murkowski, Mr. Coats, Mr. Burr, and Mr. Johnson of 
Wisconsin) submitted an amendment intended to be proposed by her to the 
bill S. 3414, to enhance the security and resiliency of the cyber and 
communications infrastructure of the United States; which was ordered 
to lie on the table; as follows:

       Beginning on page 1, strike line 3 and all that follows 
     through page 211, line 6 and insert the following:

     SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

       (a) Short Title.--This Act may be cited as the 
     ``Strengthening and Enhancing Cybersecurity by Using 
     Research, Education, Information, and Technology Act of 
     2012'' or ``SECURE IT''.
       (b) Table of Contents.--The table of contents of this Act 
     is as follows:

Sec. 1. Short title; table of contents.

       TITLE I--FACILITATING SHARING OF CYBER THREAT INFORMATION

Sec. 101. Definitions.
Sec. 102. Authorization to share cyber threat information.
Sec. 103. Information sharing by the Federal government.
Sec. 104. Construction.
Sec. 105. Report on implementation.
Sec. 106. Inspector General review.
Sec. 107. Technical amendments.
Sec. 108. Access to classified information.

     TITLE II--COORDINATION OF FEDERAL INFORMATION SECURITY POLICY

Sec. 201. Coordination of Federal information security policy.
Sec. 202. Management of information technology.
Sec. 203. No new funding.
Sec. 204. Technical and conforming amendments.
Sec. 205. Clarification of authorities.

                     TITLE III--CRIMINAL PENALTIES

Sec. 301. Penalties for fraud and related activity in connection with 
              computers.
Sec. 302. Trafficking in passwords.
Sec. 303. Conspiracy and attempted computer fraud offenses.
Sec. 304. Criminal and civil forfeiture for fraud and related activity 
              in connection with computers.
Sec. 305. Damage to critical infrastructure computers.
Sec. 306. Limitation on actions involving unauthorized use.
Sec. 307. No new funding.

            TITLE IV--CYBERSECURITY RESEARCH AND DEVELOPMENT

Sec. 401. National High-Performance Computing Program planning and 
              coordination.
Sec. 402. Research in areas of national importance.
Sec. 403. Program improvements.
Sec. 404. Improving education of networking and information technology, 
              including high performance computing.
Sec. 405. Conforming and technical amendments to the High-Performance 
              Computing Act of 1991.
Sec. 406. Federal cyber scholarship-for-service program.
Sec. 407. Study and analysis of certification and training of 
              information infrastructure professionals.
Sec. 408. International cybersecurity technical standards.
Sec. 409. Identity management research and development.
Sec. 410. Federal cybersecurity research and development.

       TITLE I--FACILITATING SHARING OF CYBER THREAT INFORMATION

     SEC. 101. DEFINITIONS.

       In this title:
       (1) Agency.--The term ``agency'' has the meaning given the 
     term in section 3502 of title 44, United States Code.
       (2) Antitrust laws.--The term ``antitrust laws''--
       (A) has the meaning given the term in section 1(a) of the 
     Clayton Act (15 U.S.C. 12(a));
       (B) includes section 5 of the Federal Trade Commission Act 
     (15 U.S.C. 45) to the extent that section 5 of that Act 
     applies to unfair methods of competition; and
       (C) includes any State law that has the same intent and 
     effect as the laws under subparagraphs (A) and (B).
       (3) Countermeasure.--The term ``countermeasure'' means an 
     automated or a manual action with defensive intent to 
     mitigate cyber threats.
       (4) Cyber threat information.--The term ``cyber threat 
     information'' means information that indicates or describes--
       (A) a technical or operation vulnerability or a cyber 
     threat mitigation measure;
       (B) an action or operation to mitigate a cyber threat;
       (C) malicious reconnaissance, including anomalous patterns 
     of network activity that

[[Page S5580]]

     appear to be transmitted for the purpose of gathering 
     technical information related to a cybersecurity threat;
       (D) a method of defeating a technical control;
       (E) a method of defeating an operational control;
       (F) network activity or protocols known to be associated 
     with a malicious cyber actor or that signify malicious cyber 
     intent;
       (G) a method of causing a user with legitimate access to an 
     information system or information that is stored on, 
     processed by, or transiting an information system to 
     inadvertently enable the defeat of a technical or operational 
     control;
       (H) any other attribute of a cybersecurity threat or cyber 
     defense information that would foster situational awareness 
     of the United States cybersecurity posture, if disclosure of 
     such attribute or information is not otherwise prohibited by 
     law;
       (I) the actual or potential harm caused by a cyber 
     incident, including information exfiltrated when it is 
     necessary in order to identify or describe a cybersecurity 
     threat; or
       (J) any combination of subparagraphs (A) through (I).
       (5) Cybersecurity center.--The term ``cybersecurity 
     center'' means the Department of Defense Cyber Crime Center, 
     the Intelligence Community Incident Response Center, the 
     United States Cyber Command Joint Operations Center, the 
     National Cyber Investigative Joint Task Force, the National 
     Security Agency/Central Security Service Threat Operations 
     Center, the National Cybersecurity and Communications 
     Integration Center, and any successor center.
       (6) Cybersecurity system.--The term ``cybersecurity 
     system'' means a system designed or employed to ensure the 
     integrity, confidentiality, or availability of, or to 
     safeguard, a system or network, including measures intended 
     to protect a system or network from--
       (A) efforts to degrade, disrupt, or destroy such system or 
     network; or
       (B) theft or misappropriations of private or government 
     information, intellectual property, or personally 
     identifiable information.
       (7) Entity.--
       (A) In general.--The term ``entity'' means any private 
     entity, non-Federal government agency or department, or 
     State, tribal, or local government agency or department 
     (including an officer, employee, or agent thereof).
       (B) Inclusions.--The term ``entity'' includes a government 
     agency or department (including an officer, employee, or 
     agent thereof) of the District of Columbia, the Commonwealth 
     of Puerto Rico, the Virgin Islands, Guam, American Samoa, the 
     Northern Mariana Islands, and any other territory or 
     possession of the United States.
       (8) Federal information system.--The term ``Federal 
     information system'' means an information system of a Federal 
     department or agency used or operated by an executive agency, 
     by a contractor of an executive agency, or by another 
     organization on behalf of an executive agency.
       (9) Information security.--The term ``information 
     security'' means protecting information and information 
     systems from disruption or unauthorized access, use, 
     disclosure, modification, or destruction in order to 
     provide--
       (A) integrity, by guarding against improper information 
     modification or destruction, including by ensuring 
     information nonrepudiation and authenticity;
       (B) confidentiality, by preserving authorized restrictions 
     on access and disclosure, including means for protecting 
     personal privacy and proprietary information; or
       (C) availability, by ensuring timely and reliable access to 
     and use of information.
       (10) Information system.--The term ``information system'' 
     has the meaning given the term in section 3502 of title 44, 
     United States Code.
       (11) Local government.--The term ``local government'' means 
     any borough, city, county, parish, town, township, village, 
     or other general purpose political subdivision of a State.
       (12) Malicious reconnaissance.--The term ``malicious 
     reconnaissance'' means a method for actively probing or 
     passively monitoring an information system for the purpose of 
     discerning technical vulnerabilities of the information 
     system, if such method is associated with a known or 
     suspected cybersecurity threat.
       (13) Operational control.--The term ``operational control'' 
     means a security control for an information system that 
     primarily is implemented and executed by people.
       (14) Operational vulnerability.--The term ``operational 
     vulnerability'' means any attribute of policy, process, or 
     procedure that could enable or facilitate the defeat of an 
     operational control.
       (15) Private entity.--The term ``private entity'' means any 
     individual or any private group, organization, or 
     corporation, including an officer, employee, or agent 
     thereof.
       (16) Significant cyber incident.--The term ``significant 
     cyber incident'' means a cyber incident resulting in, or an 
     attempted cyber incident that, if successful, would have 
     resulted in--
       (A) the exfiltration from a Federal information system of 
     data that is essential to the operation of the Federal 
     information system; or
       (B) an incident in which an operational or technical 
     control essential to the security or operation of a Federal 
     information system was defeated.
       (17) Technical control.--The term ``technical control'' 
     means a hardware or software restriction on, or audit of, 
     access or use of an information system or information that is 
     stored on, processed by, or transiting an information system 
     that is intended to ensure the confidentiality, integrity, or 
     availability of that system.
       (18) Technical vulnerability.--The term ``technical 
     vulnerability'' means any attribute of hardware or software 
     that could enable or facilitate the defeat of a technical 
     control.
       (19) Tribal.--The term ``tribal'' has the meaning given the 
     term ``Indian tribe'' in section 4 of the Indian Self-
     Determination and Education Assistance Act (25 U.S.C. 450b).

     SEC. 102. AUTHORIZATION TO SHARE CYBER THREAT INFORMATION.

       (a) Voluntary Disclosure.--
       (1) Private entities.--Notwithstanding any other provision 
     of law, a private entity may, for the purpose of preventing, 
     investigating, or otherwise mitigating threats to information 
     security, on its own networks, or as authorized by another 
     entity, on such entity's networks, employ countermeasures and 
     use cybersecurity systems in order to obtain, identify, or 
     otherwise possess cyber threat information.
       (2) Entities.--Notwithstanding any other provision of law, 
     an entity may disclose cyber threat information to--
       (A) a cybersecurity center; or
       (B) any other entity in order to assist with preventing, 
     investigating, or otherwise mitigating threats to information 
     security.
       (3) Information security providers.--If the cyber threat 
     information described in paragraph (1) is obtained, 
     identified, or otherwise possessed in the course of providing 
     information security products or services under contract to 
     another entity, that entity shall be given, at any time prior 
     to disclosure of such information, a reasonable opportunity 
     to authorize or prevent such disclosure, to request 
     anonymization of such information, or to request that 
     reasonable efforts be made to safeguard such information that 
     identifies specific persons from unauthorized access or 
     disclosure.
       (b) Significant Cyber Incidents Involving Federal 
     Information Systems.--
       (1) In general.--An entity providing electronic 
     communication services, remote computing services, or 
     information security services to a Federal department or 
     agency shall inform the Federal department or agency of a 
     significant cyber incident involving the Federal information 
     system of that Federal department or agency that--
       (A) is directly known to the entity as a result of 
     providing such services;
       (B) is directly related to the provision of such services 
     by the entity; and
       (C) as determined by the entity, has impeded or will impede 
     the performance of a critical mission of the Federal 
     department or agency.
       (2) Advance coordination.--A Federal department or agency 
     receiving the services described in paragraph (1) shall 
     coordinate in advance with an entity described in paragraph 
     (1) to develop the parameters of any information that may be 
     provided under paragraph (1), including clarification of the 
     type of significant cyber incident that will impede the 
     performance of a critical mission of the Federal department 
     or agency.
       (3) Report.--A Federal department or agency shall report 
     information provided under this subsection to a cybersecurity 
     center.
       (4) Construction.--Any information provided to a 
     cybersecurity center under paragraph (3) shall be treated in 
     the same manner as information provided to a cybersecurity 
     center under subsection (a).
       (c) Information Shared With or Provided to a Cybersecurity 
     Center.--Cyber threat information provided to a cybersecurity 
     center under this section--
       (1) may be disclosed to, retained by, and used by, 
     consistent with otherwise applicable Federal law, any Federal 
     agency or department, component, officer, employee, or agent 
     of the Federal government for a cybersecurity purpose, a 
     national security purpose, or in order to prevent, 
     investigate, or prosecute any of the offenses listed in 
     section 2516 of title 18, United States Code, and such 
     information shall not be disclosed to, retained by, or used 
     by any Federal agency or department for any use not permitted 
     under this paragraph;
       (2) may, with the prior written consent of the entity 
     submitting such information, be disclosed to and used by a 
     State, tribal, or local government or government agency for 
     the purpose of protecting information systems, or in 
     furtherance of preventing, investigating, or prosecuting a 
     criminal act, except that if the need for immediate 
     disclosure prevents obtaining written consent, such consent 
     may be provided orally with subsequent documentation of such 
     consent;
       (3) shall be considered the commercial, financial, or 
     proprietary information of the entity providing such 
     information to the Federal government and any disclosure 
     outside the Federal government may only be made upon the 
     prior written consent by such entity and shall not constitute 
     a waiver of any applicable privilege or protection provided 
     by law, except that if the need for immediate disclosure 
     prevents obtaining written consent, such consent may be 
     provided orally with subsequent documentation of such 
     consent;

[[Page S5581]]

       (4) shall be deemed voluntarily shared information and 
     exempt from disclosure under section 552 of title 5, United 
     States Code, and any State, tribal, or local law requiring 
     disclosure of information or records;
       (5) shall be, without discretion, withheld from the public 
     under section 552(b)(3)(B) of title 5, United States Code, 
     and any State, tribal, or local law requiring disclosure of 
     information or records;
       (6) shall not be subject to the rules of any Federal agency 
     or department or any judicial doctrine regarding ex parte 
     communications with a decision-making official;
       (7) shall not, if subsequently provided to a State, tribal, 
     or local government or government agency, otherwise be 
     disclosed or distributed to any entity by such State, tribal, 
     or local government or government agency without the prior 
     written consent of the entity submitting such information, 
     notwithstanding any State, tribal, or local law requiring 
     disclosure of information or records, except that if the need 
     for immediate disclosure prevents obtaining written consent, 
     such consent may be provided orally with subsequent 
     documentation of such consent; and
       (8) shall not be directly used by any Federal, State, 
     tribal, or local department or agency to regulate the lawful 
     activities of an entity, including activities relating to 
     obtaining, identifying, or otherwise possessing cyber threat 
     information, except that the procedures required to be 
     developed and implemented under this title shall not be 
     considered regulations within the meaning of this paragraph.
       (d) Procedures Relating to Information Sharing With a 
     Cybersecurity Center.--Not later than 60 days after the date 
     of enactment of this Act, the heads of each department or 
     agency containing a cybersecurity center shall jointly 
     develop, promulgate, and submit to Congress procedures to 
     ensure that cyber threat information shared with or provided 
     to--
       (1) a cybersecurity center under this section--
       (A) may be submitted to a cybersecurity center by an 
     entity, to the greatest extent possible, through a uniform, 
     publicly available process or format that is easily 
     accessible on the website of such cybersecurity center, and 
     that includes the ability to provide relevant details about 
     the cyber threat information and written consent to any 
     subsequent disclosures authorized by this paragraph;
       (B) shall immediately be further shared with each 
     cybersecurity center in order to prevent, investigate, or 
     otherwise mitigate threats to information security across the 
     Federal government;
       (C) is handled by the Federal government in a reasonable 
     manner, including consideration of the need to protect the 
     privacy and civil liberties of individuals through 
     anonymization or other appropriate methods, while fully 
     accomplishing the objectives of this title, and the Federal 
     government may undertake efforts consistent with this 
     subparagraph to limit the impact on privacy and civil 
     liberties of the sharing of cyber threat information with the 
     Federal government; and
       (D) except as provided in this section, shall only be used, 
     disclosed, or handled in accordance with the provisions of 
     subsection (c); and
       (2) a Federal agency or department under subsection (b) is 
     provided immediately to a cybersecurity center in order to 
     prevent, investigate, or otherwise mitigate threats to 
     information security across the Federal government.
       (e) Information Shared Between Entities.--
       (1) In general.--An entity sharing cyber threat information 
     with another entity under this title may restrict the use or 
     sharing of such information by such other entity.
       (2) Further sharing.--Cyber threat information shared by 
     any entity with another entity under this title--
       (A) shall only be further shared in accordance with any 
     restrictions placed on the sharing of such information by the 
     entity authorizing such sharing, such as appropriate 
     anonymization of such information; and
       (B) may not be used by any entity to gain an unfair 
     competitive advantage to the detriment of the entity 
     authorizing the sharing of such information, except that the 
     conduct described in paragraph (3) shall not constitute 
     unfair competitive conduct.
       (3) Information shared with state, tribal, or local 
     government or government agency.--Cyber threat information 
     shared with a State, tribal, or local government or 
     government agency under this title--
       (A) may, with the prior written consent of the entity 
     sharing such information, be disclosed to and used by a 
     State, tribal, or local government or government agency for 
     the purpose of protecting information systems, or in 
     furtherance of preventing, investigating, or prosecuting a 
     criminal act, except if the need for immediate disclosure 
     prevents obtaining written consent, consent may be provided 
     orally with subsequent documentation of the consent;
       (B) shall be deemed voluntarily shared information and 
     exempt from disclosure under any State, tribal, or local law 
     requiring disclosure of information or records;
       (C) shall not be disclosed or distributed to any entity by 
     the State, tribal, or local government or government agency 
     without the prior written consent of the entity submitting 
     such information, notwithstanding any State, tribal, or local 
     law requiring disclosure of information or records, except if 
     the need for immediate disclosure prevents obtaining written 
     consent, consent may be provided orally with subsequent 
     documentation of the consent; and
       (D) shall not be directly used by any State, tribal, or 
     local department or agency to regulate the lawful activities 
     of an entity, including activities relating to obtaining, 
     identifying, or otherwise possessing cyber threat 
     information, except that the procedures required to be 
     developed and implemented under this title shall not be 
     considered regulations within the meaning of this 
     subparagraph.
       (4) Antitrust exemption.--The exchange or provision of 
     cyber threat information or assistance between 2 or more 
     private entities under this title shall not be considered a 
     violation of any provision of antitrust laws if exchanged or 
     provided in order to assist with--
       (A) facilitating the prevention, investigation, or 
     mitigation of threats to information security; or
       (B) communicating or disclosing of cyber threat information 
     to help prevent, investigate or otherwise mitigate the 
     effects of a threat to information security.
       (5) No right or benefit.--The provision of cyber threat 
     information to an entity under this section shall not create 
     a right or a benefit to similar information by such entity or 
     any other entity.
       (f) Federal Preemption.--
       (1) In general.--This section supersedes any statute or 
     other law of a State or political subdivision of a State that 
     restricts or otherwise expressly regulates an activity 
     authorized under this section.
       (2) State law enforcement.--Nothing in this section shall 
     be construed to supersede any statute or other law of a State 
     or political subdivision of a State concerning the use of 
     authorized law enforcement techniques.
       (3) Public disclosure.--No information shared with or 
     provided to a State, tribal, or local government or 
     government agency pursuant to this section shall be made 
     publicly available pursuant to any State, tribal, or local 
     law requiring disclosure of information or records.
       (g) Civil and Criminal Liability.--
       (1) General protections.--
       (A) Private entities.--No cause of action shall lie or be 
     maintained in any court against any private entity for--
       (i) the use of countermeasures and cybersecurity systems as 
     authorized by this title;
       (ii) the use, receipt, or disclosure of any cyber threat 
     information as authorized by this title; or
       (iii) the subsequent actions or inactions of any lawful 
     recipient of cyber threat information provided by such 
     private entity.
       (B) Entities.--No cause of action shall lie or be 
     maintained in any court against any entity for--
       (i) the use, receipt, or disclosure of any cyber threat 
     information as authorized by this title; or
       (ii) the subsequent actions or inactions of any lawful 
     recipient of cyber threat information provided by such 
     entity.
       (2) Construction.--Nothing in this subsection shall be 
     construed as creating any immunity against, or otherwise 
     affecting, any action brought by the Federal government, or 
     any agency or department thereof, to enforce any law, 
     executive order, or procedure governing the appropriate 
     handling, disclosure, and use of classified information.
       (h) Otherwise Lawful Disclosures.--Nothing in this section 
     shall be construed to limit or prohibit otherwise lawful 
     disclosures of communications, records, or other information 
     by a private entity to any other governmental or private 
     entity not covered under this section.
       (i) Whistleblower Protection.--Nothing in this Act shall be 
     construed to preempt or preclude any employee from exercising 
     rights currently provided under any whistleblower law, rule, 
     or regulation.
       (j) Relationship to Other Laws.--The submission of cyber 
     threat information under this section to a cybersecurity 
     center shall not affect any requirement under any other 
     provision of law for an entity to provide information to the 
     Federal government.

     SEC. 103. INFORMATION SHARING BY THE FEDERAL GOVERNMENT.

       (a) Classified Information.--
       (1) Procedures.--Consistent with the protection of 
     intelligence sources and methods, and as otherwise determined 
     appropriate, the Director of National Intelligence and the 
     Secretary of Defense, in consultation with the heads of the 
     appropriate Federal departments or agencies, shall develop 
     and promulgate procedures to facilitate and promote--
       (A) the immediate sharing, through the cybersecurity 
     centers, of classified cyber threat information in the 
     possession of the Federal government with appropriately 
     cleared representatives of any appropriate entity; and
       (B) the declassification and immediate sharing, through the 
     cybersecurity centers, with any entity or, if appropriate, 
     public availability of cyber threat information in the 
     possession of the Federal government;
       (2) Handling of classified information.--The procedures 
     developed under paragraph (1) shall ensure that each entity 
     receiving classified cyber threat information pursuant to 
     this section has acknowledged in writing the ongoing 
     obligation to comply with all

[[Page S5582]]

     laws, executive orders, and procedures concerning the 
     appropriate handling, disclosure, or use of classified 
     information.
       (b) Unclassified Cyber Threat Information.--The heads of 
     each department or agency containing a cybersecurity center 
     shall jointly develop and promulgate procedures that ensure 
     that, consistent with the provisions of this section, 
     unclassified, including controlled unclassified, cyber threat 
     information in the possession of the Federal government--
       (1) is shared, through the cybersecurity centers, in an 
     immediate and adequate manner with appropriate entities; and
       (2) if appropriate, is made publicly available.
       (c) Development of Procedures.--
       (1) In general.--The procedures developed under this 
     section shall incorporate, to the greatest extent possible, 
     existing processes utilized by sector specific information 
     sharing and analysis centers.
       (2) Coordination with entities.--In developing the 
     procedures required under this section, the Director of 
     National Intelligence and the heads of each department or 
     agency containing a cybersecurity center shall coordinate 
     with appropriate entities to ensure that protocols are 
     implemented that will facilitate and promote the sharing of 
     cyber threat information by the Federal government.
       (d) Additional Responsibilities of Cybersecurity Centers.--
     Consistent with section 102, a cybersecurity center shall--
       (1) facilitate information sharing, interaction, and 
     collaboration among and between cybersecurity centers and--
       (A) other Federal entities;
       (B) any entity; and
       (C) international partners, in consultation with the 
     Secretary of State;
       (2) disseminate timely and actionable cybersecurity threat, 
     vulnerability, mitigation, and warning information, including 
     alerts, advisories, indicators, signatures, and mitigation 
     and response measures, to improve the security and protection 
     of information systems; and
       (3) coordinate with other Federal entities, as appropriate, 
     to integrate information from across the Federal government 
     to provide situational awareness of the cybersecurity posture 
     of the United States.
       (e) Sharing Within the Federal Government.--The heads of 
     appropriate Federal departments and agencies shall ensure 
     that cyber threat information in the possession of such 
     Federal departments or agencies that relates to the 
     prevention, investigation, or mitigation of threats to 
     information security across the Federal government is shared 
     effectively with the cybersecurity centers.
       (f) Submission to Congress.--Not later than 60 days after 
     the date of enactment of this Act, the Director of National 
     Intelligence, in coordination with the appropriate head of a 
     department or an agency containing a cybersecurity center, 
     shall submit the procedures required by this section to 
     Congress.

     SEC. 104. CONSTRUCTION.

       (a) Information Sharing Relationships.--Nothing in this 
     title shall be construed--
       (1) to limit or modify an existing information sharing 
     relationship;
       (2) to prohibit a new information sharing relationship;
       (3) to require a new information sharing relationship 
     between any entity and the Federal government, except as 
     specified under section 102(b); or
       (4) to modify the authority of a department or agency of 
     the Federal government to protect sources and methods and the 
     national security of the United States.
       (b) Anti-tasking Restriction.--Nothing in this title shall 
     be construed to permit the Federal government--
       (1) to require an entity to share information with the 
     Federal government, except as expressly provided under 
     section 102(b); or
       (2) to condition the sharing of cyber threat information 
     with an entity on such entity's provision of cyber threat 
     information to the Federal government.
       (c) No Liability for Non-participation.--Nothing in this 
     title shall be construed to subject any entity to liability 
     for choosing not to engage in the voluntary activities 
     authorized under this title.
       (d) Use and Retention of Information.--Nothing in this 
     title shall be construed to authorize, or to modify any 
     existing authority of, a department or agency of the Federal 
     government to retain or use any information shared under 
     section 102 for any use other than a use permitted under 
     subsection 102(c)(1).
       (e) No New Funding.--An applicable Federal agency shall 
     carry out the provisions of this title with existing 
     facilities and funds otherwise available, through such means 
     as the head of the agency considers appropriate.

     SEC. 105. REPORT ON IMPLEMENTATION.

       (a) Content of Report.--Not later than 1 year after the 
     date of enactment of this Act, and biennially thereafter, the 
     heads of each department or agency containing a cybersecurity 
     center shall jointly submit, in coordination with the privacy 
     and civil liberties officials of such departments or agencies 
     and the Privacy and Civil Liberties Oversight Board, a 
     detailed report to Congress concerning the implementation of 
     this title, including--
       (1) an assessment of the sufficiency of the procedures 
     developed under section 103 of this Act in ensuring that 
     cyber threat information in the possession of the Federal 
     government is provided in an immediate and adequate manner to 
     appropriate entities or, if appropriate, is made publicly 
     available;
       (2) an assessment of whether information has been 
     appropriately classified and an accounting of the number of 
     security clearances authorized by the Federal government for 
     purposes of this title;
       (3) a review of the type of cyber threat information shared 
     with a cybersecurity center under section 102 of this Act, 
     including whether such information meets the definition of 
     cyber threat information under section 101, the degree to 
     which such information may impact the privacy and civil 
     liberties of individuals, any appropriate metrics to 
     determine any impact of the sharing of such information with 
     the Federal government on privacy and civil liberties, and 
     the adequacy of any steps taken to reduce such impact;
       (4) a review of actions taken by the Federal government 
     based on information provided to a cybersecurity center under 
     section 102 of this Act, including the appropriateness of any 
     subsequent use under section 102(c)(1) of this Act and 
     whether there was inappropriate stovepiping within the 
     Federal government of any such information;
       (5) a description of any violations of the requirements of 
     this title by the Federal government;
       (6) a classified list of entities that received classified 
     information from the Federal government under section 103 of 
     this Act and a description of any indication that such 
     information may not have been appropriately handled;
       (7) a summary of any breach of information security, if 
     known, attributable to a specific failure by any entity or 
     the Federal government to act on cyber threat information in 
     the possession of such entity or the Federal government that 
     resulted in substantial economic harm or injury to a specific 
     entity or the Federal government; and
       (8) any recommendation for improvements or modifications to 
     the authorities under this title.
       (b) Form of Report.--The report under subsection (a) shall 
     be submitted in unclassified form, but shall include a 
     classified annex.

     SEC. 106. INSPECTOR GENERAL REVIEW.

       (a) In General.--The Council of the Inspectors General on 
     Integrity and Efficiency are authorized to review compliance 
     by the cybersecurity centers, and by any Federal department 
     or agency receiving cyber threat information from such 
     cybersecurity centers, with the procedures required under 
     section 102 of this Act.
       (b) Scope of Review.--The review under subsection (a) shall 
     consider whether the Federal government has handled such 
     cyber threat information in a reasonable manner, including 
     consideration of the need to protect the privacy and civil 
     liberties of individuals through anonymization or other 
     appropriate methods, while fully accomplishing the objectives 
     of this title.
       (c) Report to Congress.--Each review conducted under this 
     section shall be provided to Congress not later than 30 days 
     after the date of completion of the review.

     SEC. 107. TECHNICAL AMENDMENTS.

       Section 552(b) of title 5, United States Code, is amended--
       (1) in paragraph (8), by striking ``or'';
       (2) in paragraph (9), by striking ``wells.'' and inserting 
     ``wells; or''; and
       (3) by adding at the end the following:
       ``(10) information shared with or provided to a 
     cybersecurity center under section 102 of title I of the 
     Strengthening and Enhancing Cybersecurity by Using Research, 
     Education, Information, and Technology Act of 2012.''.

     SEC. 108. ACCESS TO CLASSIFIED INFORMATION.

       (a) Authorization Required.--No person shall be provided 
     with access to classified information (as defined in section 
     6.1 of Executive Order 13526 (50 U.S.C. 435 note; relating to 
     classified national security information)) relating to cyber 
     security threats or cyber security vulnerabilities under this 
     title without the appropriate security clearances.
       (b) Security Clearances.--The appropriate Federal agencies 
     or departments shall, consistent with applicable procedures 
     and requirements, and if otherwise deemed appropriate, assist 
     an individual in timely obtaining an appropriate security 
     clearance where such individual has been determined to be 
     eligible for such clearance and has a need-to-know (as 
     defined in section 6.1 of that Executive Order) classified 
     information to carry out this title.

     TITLE II--COORDINATION OF FEDERAL INFORMATION SECURITY POLICY

     SEC. 201. COORDINATION OF FEDERAL INFORMATION SECURITY 
                   POLICY.

       (a) In General.--Chapter 35 of title 44, United States 
     Code, is amended by striking subchapters II and III and 
     inserting the following:

                 ``SUBCHAPTER II--INFORMATION SECURITY

     ``Sec. 3551. Purposes

       ``The purposes of this subchapter are--
       ``(1) to provide a comprehensive framework for ensuring the 
     effectiveness of information security controls over 
     information resources that support Federal operations and 
     assets;
       ``(2) to recognize the highly networked nature of the 
     current Federal computing environment and provide effective 
     government-wide management of policies, directives, 
     standards, and guidelines, as well as effective and nimble 
     oversight of and response to

[[Page S5583]]

     information security risks, including coordination of 
     information security efforts throughout the Federal civilian, 
     national security, and law enforcement communities;
       ``(3) to provide for development and maintenance of 
     controls required to protect agency information and 
     information systems and contribute to the overall improvement 
     of agency information security posture;
       ``(4) to provide for the development of tools and methods 
     to assess and respond to real-time situational risk for 
     Federal information system operations and assets; and
       ``(5) to provide a mechanism for improving agency 
     information security programs through continuous monitoring 
     of agency information systems and streamlined reporting 
     requirements rather than overly prescriptive manual 
     reporting.

     ``Sec. 3552. Definitions

       ``In this subchapter:
       ``(1) Adequate security.--The term `adequate security' 
     means security commensurate with the risk and magnitude of 
     the harm resulting from the unauthorized access to or loss, 
     misuse, destruction, or modification of information.
       ``(2) Agency.--The term `agency' has the meaning given the 
     term in section 3502 of title 44.
       ``(3) Cybersecurity center.--The term `cybersecurity 
     center' means the Department of Defense Cyber Crime Center, 
     the Intelligence Community Incident Response Center, the 
     United States Cyber Command Joint Operations Center, the 
     National Cyber Investigative Joint Task Force, the National 
     Security Agency/Central Security Service Threat Operations 
     Center, the National Cybersecurity and Communications 
     Integration Center, and any successor center.
       ``(4) Cyber threat information.--The term `cyber threat 
     information' means information that indicates or describes--
       ``(A) a technical or operation vulnerability or a cyber 
     threat mitigation measure;
       ``(B) an action or operation to mitigate a cyber threat;
       ``(C) malicious reconnaissance, including anomalous 
     patterns of network activity that appear to be transmitted 
     for the purpose of gathering technical information related to 
     a cybersecurity threat;
       ``(D) a method of defeating a technical control;
       ``(E) a method of defeating an operational control;
       ``(F) network activity or protocols known to be associated 
     with a malicious cyber actor or that signify malicious cyber 
     intent;
       ``(G) a method of causing a user with legitimate access to 
     an information system or information that is stored on, 
     processed by, or transiting an information system to 
     inadvertently enable the defeat of a technical or operational 
     control;
       ``(H) any other attribute of a cybersecurity threat or 
     cyber defense information that would foster situational 
     awareness of the United States cybersecurity posture, if 
     disclosure of such attribute or information is not otherwise 
     prohibited by law;
       ``(I) the actual or potential harm caused by a cyber 
     incident, including information exfiltrated when it is 
     necessary in order to identify or describe a cybersecurity 
     threat; or
       ``(J) any combination of subparagraphs (A) through (I).
       ``(5) Director.--The term `Director' means the Director of 
     the Office of Management and Budget unless otherwise 
     specified.
       ``(6) Environment of operation.--The term `environment of 
     operation' means the information system and environment in 
     which those systems operate, including changing threats, 
     vulnerabilities, technologies, and missions and business 
     practices.
       ``(7) Federal information system.--The term `Federal 
     information system' means an information system used or 
     operated by an executive agency, by a contractor of an 
     executive agency, or by another organization on behalf of an 
     executive agency.
       ``(8) Incident.--The term `incident' means an occurrence 
     that--
       ``(A) actually or imminently jeopardizes the integrity, 
     confidentiality, or availability of an information system or 
     the information that system controls, processes, stores, or 
     transmits; or
       ``(B) constitutes a violation of law or an imminent threat 
     of violation of a law, a security policy, a security 
     procedure, or an acceptable use policy.
       ``(9) Information resources.--The term `information 
     resources' has the meaning given the term in section 3502 of 
     title 44.
       ``(10) Information security.--The term `information 
     security' means protecting information and information 
     systems from disruption or unauthorized access, use, 
     disclosure, modification, or destruction in order to 
     provide--
       ``(A) integrity, by guarding against improper information 
     modification or destruction, including by ensuring 
     information nonrepudiation and authenticity;
       ``(B) confidentiality, by preserving authorized 
     restrictions on access and disclosure, including means for 
     protecting personal privacy and proprietary information; or
       ``(C) availability, by ensuring timely and reliable access 
     to and use of information.
       ``(11) Information system.--The term `information system' 
     has the meaning given the term in section 3502 of title 44.
       ``(12) Information technology.--The term `information 
     technology' has the meaning given the term in section 11101 
     of title 40.
       ``(13) Malicious reconnaissance.--The term `malicious 
     reconnaissance' means a method for actively probing or 
     passively monitoring an information system for the purpose of 
     discerning technical vulnerabilities of the information 
     system, if such method is associated with a known or 
     suspected cybersecurity threat.
       ``(14) National security system.--
       ``(A) In general.--The term `national security system' 
     means any information system (including any 
     telecommunications system) used or operated by an agency or 
     by a contractor of an agency, or other organization on behalf 
     of an agency--
       ``(i) the function, operation, or use of which--

       ``(I) involves intelligence activities;
       ``(II) involves cryptologic activities related to national 
     security;
       ``(III) involves command and control of military forces;
       ``(IV) involves equipment that is an integral part of a 
     weapon or weapons system; or
       ``(V) subject to subparagraph (B), is critical to the 
     direct fulfillment of military or intelligence missions; or

       ``(ii) is protected at all times by procedures established 
     for information that have been specifically authorized under 
     criteria established by an Executive Order or an Act of 
     Congress to be kept classified in the interest of national 
     defense or foreign policy.
       ``(B) Limitation.--Subparagraph (A)(i)(V) does not include 
     a system that is to be used for routine administrative and 
     business applications (including payroll, finance, logistics, 
     and personnel management applications).
       ``(15) Operational control.--The term `operational control' 
     means a security control for an information system that 
     primarily is implemented and executed by people.
       ``(16) Person.--The term `person' has the meaning given the 
     term in section 3502 of title 44.
       ``(17) Secretary.--The term `Secretary' means the Secretary 
     of Commerce unless otherwise specified.
       ``(18) Security control.--The term `security control' means 
     the management, operational, and technical controls, 
     including safeguards or countermeasures, prescribed for an 
     information system to protect the confidentiality, integrity, 
     and availability of the system and its information.
       ``(19) Significant cyber incident.--The term `significant 
     cyber incident' means a cyber incident resulting in, or an 
     attempted cyber incident that, if successful, would have 
     resulted in--
       ``(A) the exfiltration from a Federal information system of 
     data that is essential to the operation of the Federal 
     information system; or
       ``(B) an incident in which an operational or technical 
     control essential to the security or operation of a Federal 
     information system was defeated.
       ``(20) Technical control.--The term `technical control' 
     means a hardware or software restriction on, or audit of, 
     access or use of an information system or information that is 
     stored on, processed by, or transiting an information system 
     that is intended to ensure the confidentiality, integrity, or 
     availability of that system.

     ``Sec. 3553. Federal information security authority and 
       coordination

       ``(a) In General.--The Secretary, in consultation with the 
     Secretary of Homeland Security, shall--
       ``(1) issue compulsory and binding policies and directives 
     governing agency information security operations, and require 
     implementation of such policies and directives, including--
       ``(A) policies and directives consistent with the standards 
     and guidelines promulgated under section 11331 of title 40 to 
     identify and provide information security protections 
     prioritized and commensurate with the risk and impact 
     resulting from the unauthorized access, use, disclosure, 
     disruption, modification, or destruction of--
       ``(i) information collected or maintained by or on behalf 
     of an agency; or
       ``(ii) information systems used or operated by an agency or 
     by a contractor of an agency or other organization on behalf 
     of an agency;
       ``(B) minimum operational requirements for Federal 
     Government to protect agency information systems and provide 
     common situational awareness across all agency information 
     systems;
       ``(C) reporting requirements, consistent with relevant law, 
     regarding information security incidents and cyber threat 
     information;
       ``(D) requirements for agencywide information security 
     programs;
       ``(E) performance requirements and metrics for the security 
     of agency information systems;
       ``(F) training requirements to ensure that agencies are 
     able to fully and timely comply with the policies and 
     directives issued by the Secretary under this subchapter;
       ``(G) training requirements regarding privacy, civil 
     rights, and civil liberties, and information oversight for 
     agency information security personnel;
       ``(H) requirements for the annual reports to the Secretary 
     under section 3554(d);
       ``(I) any other information security operations or 
     information security requirements as determined by the 
     Secretary in coordination with relevant agency heads; and
       ``(J) coordinating the development of standards and 
     guidelines under section 20 of

[[Page S5584]]

     the National Institute of Standards and Technology Act (15 
     U.S.C. 278g-3) with agencies and offices operating or 
     exercising control of national security systems (including 
     the National Security Agency) to assure, to the maximum 
     extent feasible, that such standards and guidelines are 
     complementary with standards and guidelines developed for 
     national security systems;
       ``(2) review the agencywide information security programs 
     under section 3554; and
       ``(3) designate an individual or an entity at each 
     cybersecurity center, among other responsibilities--
       ``(A) to receive reports and information about information 
     security incidents, cyber threat information, and 
     deterioration of security control affecting agency 
     information systems; and
       ``(B) to act on or share the information under subparagraph 
     (A) in accordance with this subchapter.
       ``(b) Considerations.--When issuing policies and directives 
     under subsection (a), the Secretary shall consider any 
     applicable standards or guidelines developed by the National 
     Institute of Standards and Technology under section 11331 of 
     title 40.
       ``(c) Limitation of Authority.--The authorities of the 
     Secretary under this section shall not apply to national 
     security systems. Information security policies, directives, 
     standards and guidelines for national security systems shall 
     be overseen as directed by the President and, in accordance 
     with that direction, carried out under the authority of the 
     heads of agencies that operate or exercise authority over 
     such national security systems.
       ``(d) Statutory Construction.--Nothing in this subchapter 
     shall be construed to alter or amend any law regarding the 
     authority of any head of an agency over such agency.

     ``Sec. 3554. Agency responsibilities

       ``(a) In General.--The head of each agency shall--
       ``(1) be responsible for--
       ``(A) complying with the policies and directives issued 
     under section 3553;
       ``(B) providing information security protections 
     commensurate with the risk resulting from unauthorized 
     access, use, disclosure, disruption, modification, or 
     destruction of--
       ``(i) information collected or maintained by the agency or 
     by a contractor of an agency or other organization on behalf 
     of an agency; and
       ``(ii) information systems used or operated by an agency or 
     by a contractor of an agency or other organization on behalf 
     of an agency;
       ``(C) complying with the requirements of this subchapter, 
     including--
       ``(i) information security standards and guidelines 
     promulgated under section 11331 of title 40;
       ``(ii) for any national security systems operated or 
     controlled by that agency, information security policies, 
     directives, standards and guidelines issued as directed by 
     the President; and
       ``(iii) for any non-national security systems operated or 
     controlled by that agency, information security policies, 
     directives, standards and guidelines issued under section 
     3553;
       ``(D) ensuring that information security management 
     processes are integrated with agency strategic and 
     operational planning processes;
       ``(E) reporting and sharing, for an agency operating or 
     exercising control of a national security system, information 
     about information security incidents, cyber threat 
     information, and deterioration of security controls to the 
     individual or entity designated at each cybersecurity center 
     and to other appropriate entities consistent with policies 
     and directives for national security systems issued as 
     directed by the President; and
       ``(F) reporting and sharing, for those agencies operating 
     or exercising control of non-national security systems, 
     information about information security incidents, cyber 
     threat information, and deterioration of security controls to 
     the individual or entity designated at each cybersecurity 
     center and to other appropriate entities consistent with 
     policies and directives for non-national security systems as 
     prescribed under section 3553(a), including information to 
     assist the entity designated under section 3555(a) with the 
     ongoing security analysis under section 3555;
       ``(2) ensure that each senior agency official provides 
     information security for the information and information 
     systems that support the operations and assets under the 
     senior agency official's control, including by--
       ``(A) assessing the risk and impact that could result from 
     the unauthorized access, use, disclosure, disruption, 
     modification, or destruction of such information or 
     information systems;
       ``(B) determining the level of information security 
     appropriate to protect such information and information 
     systems in accordance with policies and directives issued 
     under section 3553(a), and standards and guidelines 
     promulgated under section 11331 of title 40 for information 
     security classifications and related requirements;
       ``(C) implementing policies, procedures, and capabilities 
     to reduce risks to an acceptable level in a cost-effective 
     manner;
       ``(D) actively monitoring the effective implementation of 
     information security controls and techniques; and
       ``(E) reporting information about information security 
     incidents, cyber threat information, and deterioration of 
     security controls in a timely and adequate manner to the 
     entity designated under section 3553(a)(3) in accordance with 
     paragraph (1);
       ``(3) assess and maintain the resiliency of information 
     technology systems critical to agency mission and operations;
       ``(4) designate the agency Inspector General (or an 
     independent entity selected in consultation with the Director 
     and the Council of Inspectors General on Integrity and 
     Efficiency if the agency does not have an Inspector General) 
     to conduct the annual independent evaluation required under 
     section 3556, and allow the agency Inspector General to 
     contract with an independent entity to perform such 
     evaluation;
       ``(5) delegate to the Chief Information Officer or 
     equivalent (or to a senior agency official who reports to the 
     Chief Information Officer or equivalent)--
       ``(A) the authority and primary responsibility to implement 
     an agencywide information security program; and
       ``(B) the authority to provide information security for the 
     information collected and maintained by the agency (or by a 
     contractor, other agency, or other source on behalf of the 
     agency) and for the information systems that support the 
     operations, assets, and mission of the agency (including any 
     information system provided or managed by a contractor, other 
     agency, or other source on behalf of the agency);
       ``(6) delegate to the appropriate agency official (who is 
     responsible for a particular agency system or subsystem) the 
     responsibility to ensure and enforce compliance with all 
     requirements of the agency's agencywide information security 
     program in coordination with the Chief Information Officer or 
     equivalent (or the senior agency official who reports to the 
     Chief Information Officer or equivalent) under paragraph (5);
       ``(7) ensure that an agency has trained personnel who have 
     obtained any necessary security clearances to permit them to 
     assist the agency in complying with this subchapter;
       ``(8) ensure that the Chief Information Officer or 
     equivalent (or the senior agency official who reports to the 
     Chief Information Officer or equivalent) under paragraph (5), 
     in coordination with other senior agency officials, reports 
     to the agency head on the effectiveness of the agencywide 
     information security program, including the progress of any 
     remedial actions; and
       ``(9) ensure that the Chief Information Officer or 
     equivalent (or the senior agency official who reports to the 
     Chief Information Officer or equivalent) under paragraph (5) 
     has the necessary qualifications to administer the functions 
     described in this subchapter and has information security 
     duties as a primary duty of that official.
       ``(b) Chief Information Officers.--Each Chief Information 
     Officer or equivalent (or the senior agency official who 
     reports to the Chief Information Officer or equivalent) under 
     subsection (a)(5) shall--
       ``(1) establish and maintain an enterprise security 
     operations capability that on a continuous basis--
       ``(A) detects, reports, contains, mitigates, and responds 
     to information security incidents that impair adequate 
     security of the agency's information or information system in 
     a timely manner and in accordance with the policies and 
     directives under section 3553; and
       ``(B) reports any information security incident under 
     subparagraph (A) to the entity designated under section 3555;
       ``(2) develop, maintain, and oversee an agencywide 
     information security program;
       ``(3) develop, maintain, and oversee information security 
     policies, procedures, and control techniques to address 
     applicable requirements, including requirements under section 
     3553 of this title and section 11331 of title 40; and
       ``(4) train and oversee the agency personnel who have 
     significant responsibility for information security with 
     respect to that responsibility.
       ``(c) Agencywide Information Security Programs.--
       ``(1) In general.--Each agencywide information security 
     program under subsection (b)(2) shall include--
       ``(A) relevant security risk assessments, including 
     technical assessments and others related to the acquisition 
     process;
       ``(B) security testing commensurate with risk and impact;
       ``(C) mitigation of deterioration of security controls 
     commensurate with risk and impact;
       ``(D) risk-based continuous monitoring and threat 
     assessment of the operational status and security of agency 
     information systems to enable evaluation of the effectiveness 
     of and compliance with information security policies, 
     procedures, and practices, including a relevant and 
     appropriate selection of security controls of information 
     systems identified in the inventory under section 3505(c);
       ``(E) operation of appropriate technical capabilities in 
     order to detect, mitigate, report, and respond to information 
     security incidents, cyber threat information, and 
     deterioration of security controls in a manner that is 
     consistent with the policies and directives under section 
     3553, including--
       ``(i) mitigating risks associated with such information 
     security incidents;
       ``(ii) notifying and consulting with the entity designated 
     under section 3555; and
       ``(iii) notifying and consulting with, as appropriate--

[[Page S5585]]

       ``(I) law enforcement and the relevant Office of the 
     Inspector General; and
       ``(II) any other entity, in accordance with law and as 
     directed by the President;

       ``(F) a process to ensure that remedial action is taken to 
     address any deficiencies in the information security 
     policies, procedures, and practices of the agency; and
       ``(G) a plan and procedures to ensure the continuity of 
     operations for information systems that support the 
     operations and assets of the agency.
       ``(2) Risk management strategies.--Each agencywide 
     information security program under subsection (b)(2) shall 
     include the development and maintenance of a risk management 
     strategy for information security. The risk management 
     strategy shall include--
       ``(A) consideration of information security incidents, 
     cyber threat information, and deterioration of security 
     controls; and
       ``(B) consideration of the consequences that could result 
     from the unauthorized access, use, disclosure, disruption, 
     modification, or destruction of information and information 
     systems that support the operations and assets of the agency, 
     including any information system provided or managed by a 
     contractor, other agency, or other source on behalf of the 
     agency;
       ``(3) Policies and procedures.--Each agencywide information 
     security program under subsection (b)(2) shall include 
     policies and procedures that--
       ``(A) are based on the risk management strategy under 
     paragraph (2);
       ``(B) reduce information security risks to an acceptable 
     level in a cost-effective manner;
       ``(C) ensure that cost-effective and adequate information 
     security is addressed as part of the acquisition and ongoing 
     management of each agency information system; and
       ``(D) ensure compliance with--
       ``(i) this subchapter; and
       ``(ii) any other applicable requirements.
       ``(4) Training requirements.--Each agencywide information 
     security program under subsection (b)(2) shall include 
     information security, privacy, civil rights, civil liberties, 
     and information oversight training that meets any applicable 
     requirements under section 3553. The training shall inform 
     each information security personnel that has access to agency 
     information systems (including contractors and other users of 
     information systems that support the operations and assets of 
     the agency) of--
       ``(A) the information security risks associated with the 
     information security personnel's activities; and
       ``(B) the individual's responsibility to comply with the 
     agency policies and procedures that reduce the risks under 
     subparagraph (A).
       ``(d) Annual Report.--Each agency shall submit a report 
     annually to the Secretary of Homeland Security on its 
     agencywide information security program and information 
     systems.

     ``Sec. 3555. Multiagency ongoing threat assessment

       ``(a) Implementation.--The Director of the Office of 
     Management and Budget, in coordination with the Secretary of 
     Homeland Security, shall designate an entity to implement 
     ongoing security analysis concerning agency information 
     systems--
       ``(1) based on cyber threat information;
       ``(2) based on agency information system and environment of 
     operation changes, including--
       ``(A) an ongoing evaluation of the information system 
     security controls; and
       ``(B) the security state, risk level, and environment of 
     operation of an agency information system, including--
       ``(i) a change in risk level due to a new cyber threat;
       ``(ii) a change resulting from a new technology;
       ``(iii) a change resulting from the agency's mission; and
       ``(iv) a change resulting from the business practice; and
       ``(3) using automated processes to the maximum extent 
     possible--
       ``(A) to increase information system security;
       ``(B) to reduce paper-based reporting requirements; and
       ``(C) to maintain timely and actionable knowledge of the 
     state of the information system security.
       ``(b) Standards.--The National Institute of Standards and 
     Technology may promulgate standards, in coordination with the 
     Secretary of Homeland Security, to assist an agency with its 
     duties under this section.
       ``(c) Compliance.--The head of each appropriate department 
     and agency shall be responsible for ensuring compliance and 
     implementing necessary procedures to comply with this 
     section. The head of each appropriate department and agency, 
     in consultation with the Director of the Office of Management 
     and Budget and the Secretary of Homeland Security, shall--
       ``(1) monitor compliance under this section;
       ``(2) develop a timeline and implement for the department 
     or agency--
       ``(A) adoption of any technology, system, or method that 
     facilitates continuous monitoring and threat assessments of 
     an agency information system;
       ``(B) adoption or updating of any technology, system, or 
     method that prevents, detects, or remediates a significant 
     cyber incident to a Federal information system of the 
     department or agency that has impeded, or is reasonably 
     likely to impede, the performance of a critical mission of 
     the department or agency; and
       ``(C) adoption of any technology, system, or method that 
     satisfies a requirement under this section.
       ``(d) Limitation of Authority.--The authorities of the 
     Director of the Office of Management and Budget and of the 
     Secretary of Homeland Security under this section shall not 
     apply to national security systems.
       ``(e) Report.--Not later than 6 months after the date of 
     enactment of the Strengthening and Enhancing Cybersecurity by 
     Using Research, Education, Information, and Technology Act of 
     2012, the Government Accountability Office shall issue a 
     report evaluating each agency's status toward implementing 
     this section.

     ``Sec. 3556. Independent evaluations

       ``(a) In General.--The Council of the Inspectors General on 
     Integrity and Efficiency, in consultation with the Director 
     and the Secretary of Homeland Security, the Secretary of 
     Commerce, and the Secretary of Defense, shall issue and 
     maintain criteria for the timely, cost-effective, risk-based, 
     and independent evaluation of each agencywide information 
     security program (and practices) to determine the 
     effectiveness of the agencywide information security program 
     (and practices). The criteria shall include measures to 
     assess any conflicts of interest in the performance of the 
     evaluation and whether the agencywide information security 
     program includes appropriate safeguards against disclosure of 
     information where such disclosure may adversely affect 
     information security.
       ``(b) Annual Independent Evaluations.--Each agency shall 
     perform an annual independent evaluation of its agencywide 
     information security program (and practices) in accordance 
     with the criteria under subsection (a).
       ``(c) Distribution of Reports.--Not later than 30 days 
     after receiving an independent evaluation under subsection 
     (b), each agency head shall transmit a copy of the 
     independent evaluation to the Secretary of Homeland Security, 
     the Secretary of Commerce, and the Secretary of Defense.
       ``(d) National Security Systems.--Evaluations involving 
     national security systems shall be conducted as directed by 
     President.

     ``Sec. 3557. National security systems.

       ``The head of each agency operating or exercising control 
     of a national security system shall be responsible for 
     ensuring that the agency--
       ``(1) provides information security protections 
     commensurate with the risk and magnitude of the harm 
     resulting from the unauthorized access, use, disclosure, 
     disruption, modification, or destruction of the information 
     contained in such system; and
       ``(2) implements information security policies and 
     practices as required by standards and guidelines for 
     national security systems, issued in accordance with law and 
     as directed by the President.''.
       (b) Savings Provisions.--
       (1) Policy and compliance guidance.--Policy and compliance 
     guidance issued by the Director before the date of enactment 
     of this Act under section 3543(a)(1) of title 44, United 
     States Code (as in effect on the day before the date of 
     enactment of this Act), shall continue in effect, according 
     to its terms, until modified, terminated, superseded, or 
     repealed pursuant to section 3553(a)(1) of title 44, United 
     States Code.
       (2) Standards and guidelines.--Standards and guidelines 
     issued by the Secretary of Commerce or by the Director before 
     the date of enactment of this Act under section 11331(a)(1) 
     of title 40, United States Code, (as in effect on the day 
     before the date of enactment of this Act) shall continue in 
     effect, according to their terms, until modified, terminated, 
     superseded, or repealed pursuant to section 11331(a)(1) of 
     title 40, United States Code, as amended by this Act.
       (c) Technical and Conforming Amendments.--
       (1) Chapter analysis.--The chapter analysis for chapter 35 
     of title 44, United States Code, is amended--
       (A) by striking the items relating to sections 3531 through 
     3538;
       (B) by striking the items relating to sections 3541 through 
     3549; and
       (C) by inserting the following:

``3551. Purposes.
``3552. Definitions.
``3553. Federal information security authority and coordination.
``3554. Agency responsibilities.
``3555. Multiagency ongoing threat assessment.
``3556. Independent evaluations.
``3557. National security systems.''.

       (2) Other references.--
       (A) Section 1001(c)(1)(A) of the Homeland Security Act of 
     2002 (6 U.S.C. 511(1)(A)) is amended by striking ``section 
     3532(3)'' and inserting ``section 3552''.
       (B) Section 2222(j)(5) of title 10, United States Code, is 
     amended by striking ``section 3542(b)(2)'' and inserting 
     ``section 3552''.
       (C) Section 2223(c)(3) of title 10, United States Code, is 
     amended, by striking ``section 3542(b)(2)'' and inserting 
     ``section 3552''.
       (D) Section 2315 of title 10, United States Code, is 
     amended by striking ``section 3542(b)(2)'' and inserting 
     ``section 3552''.
       (E) Section 20 of the National Institute of Standards and 
     Technology Act (15 U.S.C. 278g-3) is amended--

[[Page S5586]]

       (i) in subsection (a)(2), by striking ``section 
     3532(b)(2)'' and inserting ``section 3552'';
       (ii) in subsection (c)(3), by striking ``Director of the 
     Office of Management and Budget'' and inserting ``Secretary 
     of Commerce'';
       (iii) in subsection (d)(1), by striking ``Director of the 
     Office of Management and Budget'' and inserting ``Secretary 
     of Commerce'';
       (iv) in subsection (d)(8) by striking ``Director of the 
     Office of Management and Budget'' and inserting ``Secretary 
     of Commerce'';
       (v) in subsection (d)(8), by striking ``submitted to the 
     Director'' and inserting ``submitted to the Secretary'';
       (vi) in subsection (e)(2), by striking ``section 3532(1) of 
     such title'' and inserting ``section 3552 of title 44''; and
       (vii) in subsection (e)(5), by striking ``section 
     3532(b)(2) of such title'' and inserting ``section 3552 of 
     title 44''.
       (F) Section 8(d)(1) of the Cyber Security Research and 
     Development Act (15 U.S.C. 7406(d)(1)) is amended by striking 
     ``section 3534(b)'' and inserting ``section 3554(b)(2)''.

     SEC. 202. MANAGEMENT OF INFORMATION TECHNOLOGY.

       (a) In General.--Section 11331 of title 40, United States 
     Code, is amended to read as follows:

     ``Sec. 11331. Responsibilities for Federal information 
       systems standards

       ``(a) Standards and Guidelines.--
       ``(1) Authority to prescribe.--Except as provided under 
     paragraph (2), the Secretary of Commerce shall prescribe 
     standards and guidelines pertaining to Federal information 
     systems--
       ``(A) in consultation with the Secretary of Homeland 
     Security; and
       ``(B) on the basis of standards and guidelines developed by 
     the National Institute of Standards and Technology under 
     paragraphs (2) and (3) of section 20(a) of the National 
     Institute of Standards and Technology Act (15 U.S.C. 278g-
     3(a)(2) and (a)(3)).
       ``(2) National security systems.--Standards and guidelines 
     for national security systems shall be developed, prescribed, 
     enforced, and overseen as otherwise authorized by law and as 
     directed by the President.
       ``(b) Mandatory Standards and Guidelines.--
       ``(1) Authority to make mandatory standards and 
     guidelines.--The Secretary of Commerce shall make standards 
     and guidelines under subsection (a)(1) compulsory and binding 
     to the extent determined necessary by the Secretary of 
     Commerce to improve the efficiency of operation or security 
     of Federal information systems.
       ``(2) Required mandatory standards and guidelines.--
       ``(A) In general.--Standards and guidelines under 
     subsection (a)(1) shall include information security 
     standards that--
       ``(i) provide minimum information security requirements as 
     determined under section 20(b) of the National Institute of 
     Standards and Technology Act (15 U.S.C. 278g-3(b)); and
       ``(ii) are otherwise necessary to improve the security of 
     Federal information and information systems.
       ``(B) Binding effect.--Information security standards under 
     subparagraph (A) shall be compulsory and binding.
       ``(c) Exercise of Authority.--To ensure fiscal and policy 
     consistency, the Secretary of Commerce shall exercise the 
     authority conferred by this section subject to direction by 
     the President and in coordination with the Director.
       ``(d) Application of More Stringent Standards and 
     Guidelines.--The head of an executive agency may employ 
     standards for the cost-effective information security for 
     information systems within or under the supervision of that 
     agency that are more stringent than the standards and 
     guidelines the Secretary of Commerce prescribes under this 
     section if the more stringent standards and guidelines--
       ``(1) contain at least the applicable standards and 
     guidelines made compulsory and binding by the Secretary of 
     Commerce; and
       ``(2) are otherwise consistent with the policies, 
     directives, and implementation memoranda issued under section 
     3553(a) of title 44.
       ``(e) Decisions on Promulgation of Standards and 
     Guidelines.--The decision by the Secretary of Commerce 
     regarding the promulgation of any standard or guideline under 
     this section shall occur not later than 6 months after the 
     date of submission of the proposed standard to the Secretary 
     of Commerce by the National Institute of Standards and 
     Technology under section 20 of the National Institute of 
     Standards and Technology Act (15 U.S.C. 278g-3).
       ``(f) Notice and Comment.--A decision by the Secretary of 
     Commerce to significantly modify, or not promulgate, a 
     proposed standard submitted to the Secretary by the National 
     Institute of Standards and Technology under section 20 of the 
     National Institute of Standards and Technology Act (15 U.S.C. 
     278g-3) shall be made after the public is given an 
     opportunity to comment on the Secretary's proposed decision.
       ``(g) Definitions.--In this section:
       ``(1) Federal information system.--The term `Federal 
     information system' has the meaning given the term in section 
     3552 of title 44.
       ``(2) Information security.--The term `information 
     security' has the meaning given the term in section 3552 of 
     title 44.
       ``(3) National security system.--The term `national 
     security system' has the meaning given the term in section 
     3552 of title 44.''.

     SEC. 203. NO NEW FUNDING.

       An applicable Federal agency shall carry out the provisions 
     of this title with existing facilities and funds otherwise 
     available, through such means as the head of the agency 
     considers appropriate.

     SEC. 204. TECHNICAL AND CONFORMING AMENDMENTS.

       Section 21(b) of the National Institute of Standards and 
     Technology Act (15 U.S.C. 278g-4(b)) is amended--
       (1) in paragraph (2), by striking ``and the Director of the 
     Office of Management and Budget'' and inserting ``, the 
     Secretary of Commerce, and the Secretary of Homeland 
     Security''; and
       (2) in paragraph (3), by inserting ``, the Secretary of 
     Homeland Security,'' after ``the Secretary of Commerce''.

     SEC. 205. CLARIFICATION OF AUTHORITIES.

       Nothing in this title shall be construed to convey any new 
     regulatory authority to any government entity implementing or 
     complying with any provision of this title.

                     TITLE III--CRIMINAL PENALTIES

     SEC. 301. PENALTIES FOR FRAUD AND RELATED ACTIVITY IN 
                   CONNECTION WITH COMPUTERS.

       Section 1030(c) of title 18, United States Code, is amended 
     to read as follows:
       ``(c) The punishment for an offense under subsection (a) or 
     (b) of this section is--
       ``(1) a fine under this title or imprisonment for not more 
     than 20 years, or both, in the case of an offense under 
     subsection (a)(1) of this section;
       ``(2)(A) except as provided in subparagraph (B), a fine 
     under this title or imprisonment for not more than 3 years, 
     or both, in the case of an offense under subsection (a)(2); 
     or
       ``(B) a fine under this title or imprisonment for not more 
     than ten years, or both, in the case of an offense under 
     subsection (a)(2) of this section, if--
       ``(i) the offense was committed for purposes of commercial 
     advantage or private financial gain;
       ``(ii) the offense was committed in the furtherance of any 
     criminal or tortious act in violation of the Constitution or 
     laws of the United States, or of any State; or
       ``(iii) the value of the information obtained, or that 
     would have been obtained if the offense was completed, 
     exceeds $5,000;
       ``(3) a fine under this title or imprisonment for not more 
     than 10 years, or both, in the case of an offense under 
     subsection (a)(3) of this section;
       ``(4) a fine under this title or imprisonment of not more 
     than 20 years, or both, in the case of an offense under 
     subsection (a)(4) of this section;
       ``(5)(A) except as provided in subparagraph (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) of 
     this section, if the offense 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;
       ``(v) damage affecting a computer used by, or on behalf of, 
     an entity of the United States Government in furtherance of 
     the administration of justice, national defense, or national 
     security; or
       ``(vi) damage affecting 10 or more protected computers 
     during any 1-year period;
       ``(B) a fine under this title, imprisonment for not more 
     than 20 years, or both, in the case of an offense under 
     subsection (a)(5)(B), if the offense caused a harm provided 
     in clause (i) through (vi) of subparagraph (A) of this 
     subsection;
       ``(C) if the offender attempts to cause or knowingly or 
     recklessly causes death from conduct in violation of 
     subsection (a)(5)(A), a fine under this title, imprisonment 
     for any term of years or for life, or both;
       ``(D) a fine under this title, imprisonment for not more 
     than 10 years, or both, for any other offense under 
     subsection (a)(5);
       ``(E) a fine under this title or imprisonment for not more 
     than 10 years, or both, in the case of an offense under 
     subsection (a)(6) of this section; or
       ``(F) a fine under this title or imprisonment for not more 
     than 10 years, or both, in the case of an offense under 
     subsection (a)(7) of this section.''.

     SEC. 302. TRAFFICKING IN PASSWORDS.

       Section 1030(a)(6) of title 18, United States Code, is 
     amended to read as follows:
       ``(6) knowingly and with intent to defraud traffics (as 
     defined in section 1029) in any password or similar 
     information or means of access through which a protected 
     computer (as defined in subparagraphs (A) and (B) of 
     subsection (e)(2)) may be accessed without authorization.''.

     SEC. 303. CONSPIRACY AND ATTEMPTED COMPUTER FRAUD OFFENSES.

       Section 1030(b) of title 18, United States Code, is amended 
     by inserting ``as if for the completed offense'' after 
     ``punished as provided''.

     SEC. 304. CRIMINAL AND CIVIL FORFEITURE FOR FRAUD AND RELATED 
                   ACTIVITY IN CONNECTION WITH COMPUTERS.

       Section 1030 of title 18, United States Code, is amended by 
     striking subsections (i) and (j) and inserting the following:

[[Page S5587]]

       ``(i) Criminal Forfeiture.--
       ``(1) The court, in imposing sentence on any person 
     convicted of a violation of this section, or convicted of 
     conspiracy to violate this section, shall order, in addition 
     to any other sentence imposed and irrespective of any 
     provision of State law, that such person forfeit to the 
     United States--
       ``(A) such persons interest in any property, real or 
     personal, that was used, or intended to be used, to commit or 
     facilitate the commission of such violation; and
       ``(B) any property, real or personal, constituting or 
     derived from any gross proceeds, or any property traceable to 
     such property, that such person obtained, directly or 
     indirectly, as a result of such violation.
       ``(2) The criminal forfeiture of property under this 
     subsection, including any seizure and disposition of the 
     property, and any related judicial or administrative 
     proceeding, shall be governed by the provisions of section 
     413 of the Comprehensive Drug Abuse Prevention and Control 
     Act of 1970 (21 U.S.C. 853), except subsection (d) of that 
     section.
       ``(j) Civil Forfeiture.--
       ``(1) The following shall be subject to forfeiture to the 
     United States and no property right, real or personal, shall 
     exist in them:
       ``(A) Any property, real or personal, that was used, or 
     intended to be used, to commit or facilitate the commission 
     of any violation of this section, or a conspiracy to violate 
     this section.
       ``(B) Any property, real or personal, constituting or 
     derived from any gross proceeds obtained directly or 
     indirectly, or any property traceable to such property, as a 
     result of the commission of any violation of this section, or 
     a conspiracy to violate this section.
       ``(2) Seizures and forfeitures under this subsection shall 
     be governed by the provisions in chapter 46 relating to civil 
     forfeitures, except that such duties as are imposed on the 
     Secretary of the Treasury under the customs laws described in 
     section 981(d) shall be performed by such officers, agents 
     and other persons as may be designated for that purpose by 
     the Secretary of Homeland Security or the Attorney 
     General.''.

     SEC. 305. DAMAGE TO CRITICAL INFRASTRUCTURE COMPUTERS.

       (a) In General.--Chapter 47 of title 18, United States 
     Code, is amended by inserting after section 1030 the 
     following:

     ``Sec. 1030A. Aggravated damage to a critical infrastructure 
       computer

       ``(a) Definitions.--In this section--
       ``(1) the term `computer' has the meaning given the term in 
     section 1030;
       ``(2) the term `critical infrastructure computer' means a 
     computer that manages or controls systems or assets vital to 
     national defense, national security, national economic 
     security, public health or safety, or any combination of 
     those matters, whether publicly or privately owned or 
     operated, including--
       ``(A) oil and gas production, storage, conversion, and 
     delivery systems;
       ``(B) water supply systems;
       ``(C) telecommunication networks;
       ``(D) electrical power generation and delivery systems;
       ``(E) finance and banking systems;
       ``(F) emergency services;
       ``(G) transportation systems and services; and
       ``(H) government operations that provide essential services 
     to the public; and
       ``(3) the term `damage' has the meaning given the term in 
     section 1030.
       ``(b) Offense.--It shall be unlawful, during and in 
     relation to a felony violation of section 1030, to knowingly 
     cause or attempt to cause damage to a critical infrastructure 
     computer if the damage results in (or, in the case of an 
     attempt, if completed, would have resulted in) the 
     substantial impairment--
       ``(1) of the operation of the critical infrastructure 
     computer; or
       ``(2) of the critical infrastructure associated with the 
     computer.
       ``(c) Penalty.--Any person who violates subsection (b) 
     shall be--
       ``(1) fined under this title;
       ``(2) imprisoned for not less than 3 years but not more 
     than 20 years; or
       ``(3) penalized under paragraphs (1) and (2).
       ``(d) Consecutive Sentence.--Notwithstanding any other 
     provision of law--
       ``(1) a court shall not place on probation any person 
     convicted of a violation of this section;
       ``(2) except as provided in paragraph (4), no term of 
     imprisonment imposed on a person under this section shall run 
     concurrently with any other term of imprisonment, including 
     any term of imprisonment imposed on the person under any 
     other provision of law, including any term of imprisonment 
     imposed for a felony violation of section 1030;
       ``(3) in determining any term of imprisonment to be imposed 
     for a felony violation of section 1030, a court shall not in 
     any way reduce the term to be imposed for such crime so as to 
     compensate for, or otherwise take into account, any separate 
     term of imprisonment imposed or to be imposed for a violation 
     of this section; and
       ``(4) a term of imprisonment imposed on a person for a 
     violation of this section may, in the discretion of the 
     court, run concurrently, in whole or in part, only with 
     another term of imprisonment that is imposed by the court at 
     the same time on that person for an additional violation of 
     this section, provided that such discretion shall be 
     exercised in accordance with any applicable guidelines and 
     policy statements issued by the United States Sentencing 
     Commission pursuant to section 994 of title 28.''.
       (b) Technical and Conforming Amendment.--The chapter 
     analysis for chapter 47 of title 18, United States Code, is 
     amended by inserting after the item relating to section 1030 
     the following:

``1030A. Aggravated damage to a critical infrastructure computer.''.

     SEC. 306. LIMITATION ON ACTIONS INVOLVING UNAUTHORIZED USE.

       Section 1030(e)(6) of title 18, United States Code, is 
     amended by striking ``alter;'' and inserting ``alter, but 
     does not include access in violation of a contractual 
     obligation or agreement, such as an acceptable use policy or 
     terms of service agreement, with an Internet service 
     provider, Internet website, or non-government employer, if 
     such violation constitutes the sole basis for determining 
     that access to a protected computer is unauthorized;''.

     SEC. 307. NO NEW FUNDING.

       An applicable Federal agency shall carry out the provisions 
     of this title with existing facilities and funds otherwise 
     available, through such means as the head of the agency 
     considers appropriate.

            TITLE IV--CYBERSECURITY RESEARCH AND DEVELOPMENT

     SEC. 401. NATIONAL HIGH-PERFORMANCE COMPUTING PROGRAM 
                   PLANNING AND COORDINATION.

       (a) Goals and Priorities.--Section 101 of the High-
     Performance Computing Act of 1991 (15 U.S.C. 5511) is amended 
     by adding at the end the following:
       ``(d) Goals and Priorities.--The goals and priorities for 
     Federal high-performance computing research, development, 
     networking, and other activities under subsection (a)(2)(A) 
     shall include--
       ``(1) encouraging and supporting mechanisms for 
     interdisciplinary research and development in networking and 
     information technology, including--
       ``(A) through collaborations across agencies;
       ``(B) through collaborations across Program Component 
     Areas;
       ``(C) through collaborations with industry;
       ``(D) through collaborations with institutions of higher 
     education;
       ``(E) through collaborations with Federal laboratories (as 
     defined in section 4 of the Stevenson-Wydler Technology 
     Innovation Act of 1980 (15 U.S.C. 3703)); and
       ``(F) through collaborations with international 
     organizations;
       ``(2) addressing national, multi-agency, multi-faceted 
     challenges of national importance; and
       ``(3) fostering the transfer of research and development 
     results into new technologies and applications for the 
     benefit of society.''.
       (b) Development of Strategic Plan.--Section 101 of the 
     High-Performance Computing Act of 1991 (15 U.S.C. 5511) is 
     amended by adding at the end the following:
       ``(e) Strategic Plan.--
       ``(1) In general.--Not later than 1 year after the date of 
     enactment of the Strengthening and Enhancing Cybersecurity by 
     Using Research, Education, Information, and Technology Act of 
     2012, the agencies under subsection (a)(3)(B), working 
     through the National Science and Technology Council and with 
     the assistance of the Office of Science and Technology Policy 
     shall develop a 5-year strategic plan to guide the activities 
     under subsection (a)(1).
       ``(2) Contents.--The strategic plan shall specify--
       ``(A) the near-term objectives for the Program;
       ``(B) the long-term objectives for the Program;
       ``(C) the anticipated time frame for achieving the near-
     term objectives;
       ``(D) the metrics that will be used to assess any progress 
     made toward achieving the near-term objectives and the long-
     term objectives; and
       ``(E) how the Program will achieve the goals and priorities 
     under subsection (d).
       ``(3) Implementation roadmap.--
       ``(A) In general.--The agencies under subsection (a)(3)(B) 
     shall develop and annually update an implementation roadmap 
     for the strategic plan.
       ``(B) Requirements.--The information in the implementation 
     roadmap shall be coordinated with the database under section 
     102(c) and the annual report under section 101(a)(3). The 
     implementation roadmap shall--
       ``(i) specify the role of each Federal agency in carrying 
     out or sponsoring research and development to meet the 
     research objectives of the strategic plan, including a 
     description of how progress toward the research objectives 
     will be evaluated, with consideration of any relevant 
     recommendations of the advisory committee;
       ``(ii) specify the funding allocated to each major research 
     objective of the strategic plan and the source of funding by 
     agency for the current fiscal year; and
       ``(iii) estimate the funding required for each major 
     research objective of the strategic plan for the next 3 
     fiscal years.
       ``(4) Recommendations.--The agencies under subsection 
     (a)(3)(B) shall take into consideration when developing the 
     strategic plan under paragraph (1) the recommendations of--
       ``(A) the advisory committee under subsection (b); and
       ``(B) the stakeholders under section 102(a)(3).
       ``(5) Report to congress.--The Director of the Office of 
     Science and Technology Policy shall transmit the strategic 
     plan under this

[[Page S5588]]

     subsection, including the implementation roadmap and any 
     updates under paragraph (3), to--
       ``(A) the advisory committee under subsection (b);
       ``(B) the Committee on Commerce, Science, and 
     Transportation of the Senate; and
       ``(C) the Committee on Science and Technology of the House 
     of Representatives.''.
       (c) Periodic Reviews.--Section 101 of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5511) is amended by adding 
     at the end the following:
       ``(f) Periodic Reviews.--The agencies under subsection 
     (a)(3)(B) shall--
       ``(1) periodically assess the contents and funding levels 
     of the Program Component Areas and restructure the Program 
     when warranted, taking into consideration any relevant 
     recommendations of the advisory committee under subsection 
     (b); and
       ``(2) ensure that the Program includes national, multi-
     agency, multi-faceted research and development activities, 
     including activities described in section 104.''.
       (d) Additional Responsibilities of Director.--Section 
     101(a)(2) of the High-Performance Computing Act of 1991 (15 
     U.S.C. 5511(a)(2)) is amended--
       (1) by redesignating subparagraphs (E) and (F) as 
     subparagraphs (G) and (H), respectively; and
       (2) by inserting after subparagraph (D) the following:
       ``(E) encourage and monitor the efforts of the agencies 
     participating in the Program to allocate the level of 
     resources and management attention necessary--
       ``(i) to ensure that the strategic plan under subsection 
     (e) is developed and executed effectively; and
       ``(ii) to ensure that the objectives of the Program are 
     met;
       ``(F) working with the Office of Management and Budget and 
     in coordination with the creation of the database under 
     section 102(c), direct the Office of Science and Technology 
     Policy and the agencies participating in the Program to 
     establish a mechanism (consistent with existing law) to track 
     all ongoing and completed research and development projects 
     and associated funding;''.
       (e) Advisory Committee.--Section 101(b) of the High-
     Performance Computing Act of 1991 (15 U.S.C. 5511(b)) is 
     amended--
       (1) in paragraph (1)--
       (A) by inserting after the first sentence the following: 
     ``The co-chairs of the advisory committee shall meet the 
     qualifications of committee members and may be members of the 
     Presidents Council of Advisors on Science and Technology.''; 
     and
       (B) by striking ``high-performance'' in subparagraph (D) 
     and inserting ``high-end''; and
       (2) by amending paragraph (2) to read as follows:
       ``(2) In addition to the duties under paragraph (1), the 
     advisory committee shall conduct periodic evaluations of the 
     funding, management, coordination, implementation, and 
     activities of the Program. The advisory committee shall 
     report its findings and recommendations not less frequently 
     than once every 3 fiscal years to the Committee on Commerce, 
     Science, and Transportation of the Senate and the Committee 
     on Science and Technology of the House of Representatives. 
     The report shall be submitted in conjunction with the update 
     of the strategic plan.''.
       (f) Report.--Section 101(a)(3) of the High-Performance 
     Computing Act of 1991 (15 U.S.C. 5511(a)(3)) is amended--
       (1) in subparagraph (C)--
       (A) by striking ``is submitted,'' and inserting ``is 
     submitted, the levels for the previous fiscal year,''; and
       (B) by striking ``each Program Component Area'' and 
     inserting ``each Program Component Area and each research 
     area supported in accordance with section 104'';
       (2) in subparagraph (D)--
       (A) by striking ``each Program Component Area,'' and 
     inserting ``each Program Component Area and each research 
     area supported in accordance with section 104,'';
       (B) by striking ``is submitted,'' and inserting ``is 
     submitted, the levels for the previous fiscal year,''; and
       (C) by striking ``and'' after the semicolon;
       (3) by redesignating subparagraph (E) as subparagraph (G); 
     and
       (4) by inserting after subparagraph (D) the following:
       ``(E) include a description of how the objectives for each 
     Program Component Area, and the objectives for activities 
     that involve multiple Program Component Areas, relate to the 
     objectives of the Program identified in the strategic plan 
     under subsection (e);
       ``(F) include--
       ``(i) a description of the funding required by the Office 
     of Science and Technology Policy to perform the functions 
     under subsections (a) and (c) of section 102 for the next 
     fiscal year by category of ac