Intelligence Transformation Act

Comprehensive Reform

Addressing Lessons Learned

 Need for Reform

• DCI spends majority of his time managing CIA

- His "two constituencies are the President and the 17,000 people who work at CIA"*

- Little attention given to intelligence community issues

- Rarely opposes CIA in intelligence community disputes

Information sharing is still the exception rather than the rule

• CIA, NSA, NGA pursue independent collection & analysis strategies

• The war on terrorism requires intelligence integration from tactical to strategic to the local domestic
- Must be able to integrate across intelligence organizations and better leverage DOD tactical capabilities and
federal and local law enforcement information

• DCI's staff and the USD(I)'s staff often compete and negate each other

Intelligence community is "Balkanized" - allegiance is to home agency not 1C

* Bob Woodward : "Plan of Attack"

 Intelligence Transformation Act
Guiding Principles

Separate the director of the intelligence community from CIA, while strengthening the
director's ability to direct the entire intelligence community

National Security threats require all intelligence assets to work together

- Some shared power between DCI and Secretary of Defense necessary and inevitable

- Separating "national agencies" from DOD will result in a diminished NFIP and will inhibit
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cruciajjntegration of NFIP, TIARA, and JMIP
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Address systemic information sharing issues

Create a "joint" intelligence culture - learn from Goldwater Nichols /

Modern information technology and business processes can enable information sharing,
dynamic tasking, and mission-based "virtual" organizations

Preserve strengths of diverse analytic organizations

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 Director of National Intelligence
Focused on Intelligence Community Priorities

Separate Director of Central Intelligence Agency (D/CIA)

All existing DCI authorities, plus:

- Daily tasking of collection, analysis, and dissemination with integrated HUMINT,
SIGINT, and IMINT tasking strategies

- Authority to create mission-based intelligence community centers

- Strengthened budgetary control

- Greater role in selection of Intelligence Community Leadership

- Enhanced acquisition oversight

- Authority to establish SCI reciprocity across federal government

- Sole authority for standards, policies, & procedures on access to information

 Deputy Director of National Intelligence

Deputy Director of National Intelligence also serves as Under Secretary of Defense for
Intelligence
- Adds Secretary of Defense "management, direction, and control" authorities to those of the DNI

- Shifts relationship from competitive to cooperative - integrated power sharing

• Mitigate ruinous conflict between the DCI and USD(I) staffs

• Avoid conflicting direction from DCI and USD(I)

- Enables the integration of national and tactical intelligence budgets, systems, and organizations
Deputy Director of National Intelligence for Operations
Strengthening DNI Tasking Authority

Deputy Director of National Intelligence for Operations (DDNI/O) responsible for daily
intelligence tasking
DDNI/O's Joint Tasking Organization
- Develops coordinated collection, analysis, & dissemination strategies across the intelligence disciplines
- Daily tasking of national collection, analysis, & dissemination
• Through NSA, CIA, and NGA tasking directors, who report to the DDNI/O
• Other NFIP collection and analysis organizations
- Establishes tipping & cueing mechanisms across 1C
Assistant Director of National Intelligence for Defense (ADNI/D) reports to the DDNI/O
- General/flag officer selected by Secretary of Defense from a combatant command
- Advisory tasking of DOD intelligence, surveillance, and reconnaissance (ISR) assets
- Coordinates DOD ISR tasking with national tasking - coordinated intelligence campaign planning
- Represents defense intelligence needs
DDNI/O authorized to establish mission based intelligence centers as required
Deputy Director of National Intelligence for Resources
Strengthening DNI Budgetary Controls

Establishes a Deputy Director of National Intelligence for Resources

- All NFIP organizations required to provide budget execution data

Establishes a Joint Intelligence Comptroller within the Office of the Under Secretary of Defense
(Comptroller)
- Director jointly selected by the DNI and the Secretary of Defense

- Staffed with DOD comptroller and DNI personnel

- Provides DNI and Secretary of Defense unfettered access to NFIP budget execution data

- Provides Secretary of Defense access to JMIP and TIARA

DNI authority to transfer NFIP funds across federal departments

- Affected secretary can submit a written objection to the President
 Eliminates Information Sharing Barriers

Establishes an integrated intelligence communications network - connecting the intelligence

community to:
- Databases
- Collection sources - national, tactical, and domestic
- Customers

DNI solely responsible for classification, access, and release guidelines

- Eliminates national agency control of intelligence
- Move from a "need to know" culture to a "need to share" culture

DNI solely responsible for SCI security clearance processes with complete SCI reciprocity
- Enable free flow of people across federal government

National agency directors responsible for privacy protection compliance results in limited access
to data - bill would make the DNI solely responsible for privacy protection compliance
- Uniform privacy procedures and training
 Joint Intelligence Specialty
Modeled after Goldwater Nichols

Creates a Joint Intelligence Specialty

- Joint Intelligence Specialty personnel selected by DNI, recommended by 1C directors

- Positions throughout 1C reserved for Joint Intelligence Specialty personnel

Senior intelligence community positions require joint experience

Promotion to senior executive level requires joint experience

DNI reviews promotions of all joint assignees

 9-11 Commission Findings/HR4104 Provisions

"Vision of central coordination has not been realized", "Who is in charge of intelligence"
- Establishes a DNI separate from the CIA with management and administrative tools to run the 1C

"Management of collection efforts is critical"

- Establishes the Deputy Director of National Intelligence for Operations (DDN1/O) & Joint Tasking Office-
Collection strategies and daily tasking

"1C did not have a financial accounting system"

- Establish a Deputy Director of National Intelligence for Resources (DDNI/R) with access to NFEP expenditure data

"Develop a management strategy .... detail the proposed expenditures and organizational changes
required"
- Use information from DDNI/O and DDNI/R to develop management strategies

"The Community lacked a common information architecture to ensure the integration of CT data"
- Establishes an integrated intelligence communications network and common analytic environment to enable
information sharing and collaboration
9-11 Commission Findings/HR4104 Provisions(Continued)

"Community of loosely associated agencies and departmental offices that lacked the
incentives to cooperate, collaborate, and share information
- Establishes joint intelligence specialty and mandates joint assignments for advancement

- Changes security clearance and access procedures to move 1C from a "need to know" to a
"need to share" culture

- DDNI/O authorized to establish IC-wide communities of interest with access to all intelligence