November 18, 2002

Following extensive negotiations between the White House and members of the U.S. Senate and House of Representatives last week, an agreement was reached on legislation to create a new Department of Homeland Security. The negotiators were able to resolve issues related to civil service protection and management flexibility that had previously stalled the bill.

However, the bill does not contain an authorization for any new first responder assistance, and Congress did not appropriate the $3.5 billion called for by President Bush, having instead passed a continuing resolution until next January.

In commenting on the new bill, Conference President Boston Mayor Thomas M. Menino said, "The nation's mayors are pleased that the President and Congress have acted to streamline homeland security preparedness and prevention efforts at the federal level through the creation of the new department as we have long advocated."

"However, we are extremely disappointed that Congress will soon leave town and adjourn for the year without providing the $3.5 billion in first responder assistance that President Bush has called for. The President and Homeland Security Director Ridge strongly understand the importance of providing needed resources to our nation's first responders - our police, fire and emergency response personnel, but Congress has not seen this as a priority. We can only hope that the 108th Congress will choose to move quickly on this matter when they convene next year."

The Homeland Security Act of 2002, a 484 page bill, passed the House by a vote of 299- 121 on November 13. As USMAYOR went to press, the Senate was still debating amendments to the bill, with concern being raised by a number of Senators regarding provisions in the bill related to issues such as liability protection and tort reform.

The new Department of Homeland Security would be comprised of 22 agencies now scattered throughout the federal government. The department will be organized around four major areas:

• A division of information analysis and infrastructure protection would coordinate with the CIA, FBI and other intelligence agencies to assess threats.
• A division of science and technology would promote measures to defend against nuclear, chemical or biological attacks.
• A division of emergency preparedness and response — built around the current Federal Emergency Management Agency — would prepare for and respond to disasters.
• A division, for border and transportation security, would encompass what is now the Customs Service, the Transportation Security Administration and the Border Patrol.

In addition to those federal agencies mentioned above, the new department will include the Secret Service, Coast Guard and a new Bureau of Citizenship and Immigration Services. The Immigration and Naturalization Service would be abolished and nearly all of its employees would be moved to the new department from the Justice Department.

The bill would also move most of the Bureau of Alcohol, Tobacco and Firearms from the Treasury Department to the Justice Department and rename it the Bureau of Alcohol, Tobacco, Firearms and Explosives.

Included in the bill is the establishment of an Office for State and Local Coordination charged with functions including advocating for the resources needed by state and local governments to implement the national strategy for combating terrorism, providing information to state and local governments, and developing a process for receiving input from state and local governments.

Also contained in the bill is a requirement for the new Department to conduct a cost analysis of what state and local governments are spending on homeland security.

Information Sharing Approved

Included in the omnibus bill is a section entitled the "Homeland Security Information Sharing Act" which directs the new department and federal intelligence agencies such as the FBI and CIA to share information about possible terrorist attacks with governors, mayors, law enforcement and first responders.

This has been a top priority of the Conference of Mayors, which originally called for such language one month after September 11, 2001 at an Emergency Safety and Security Summit. The Conference has testified many times in support of the legislation in an effort led by Federal- Local Law Enforcement Task Force Co-Chairs Mayors Scott King of Gary and Martin O'Malley of Baltimore.

In commenting on this, Mayor Menino said, "We are extremely pleased that important information sharing legislation has been included in the bill which will allow mayors and police chiefs to gain access to critically needed foreign and domestic intelligence."

The bill directs that critical threat information be shared between federal law enforcement and intelligence agencies with state and local personnel, including granting security clearances to appropriate state and local personnel.

The bill also directs the President to develop procedures by which federal agencies will share homeland security information with state and local personnel (and vice versa). It ensures that information sharing systems have the capability to transmit classified or unclassified information, have the capability to restrict delivery of information based on a recipient's need to know, and be accessible to appropriate state and local personnel.

The new law also contains amendments to the USA PATRIOT Act to remove legal barriers to allow certain types of information to be shared with appropriate state and local officials including mayors. This information would include foreign intelligence information and homeland security information gained during a grand jury investigation, through an electronic, wire, or oral intercept, or through electronic surveillance or physical search.