Intelligence Authorization Agreement of 2004

The Intelligence Authorization Agreement of 2004, officially known as the 'Intelligence Authorization Act for Fiscal Year 2004', was signed into law by President George W. Bush on December 13, 2003, as Public Law No: 108-177.

"The specific provision that is the focus of concern is Sec. 374, Modification to Definition of Financial Institution in Right to Financial Privacy Act. The definition now mirrors that of Title 31, Subtitle IV, Chapter 53, Subchapter II, Sec. 5312, USC, thereby expanding the range of organizations from whom financial data may be obtained to include the United States Postal Service, casinos and gaming establishments, ISPs, travel agencies, pawnbrokers, insurance companies, auto dealers, airplane and boat sales, real estate agents and brokers, and 'any other business designated by the Secretary whose cash transactions have a high degree of usefulness in criminal, tax, or regulatory matters.'"

---

On December 22, 2003, Alex Jones' infowars.com published the following article: "While Saddam was Captured: Stealth enactment of the 'Patriot Act II' legislation." The same article was posted on a number of web sites, including Michigan Indymedia, as well as comments and analysis from wired news, which posts additional Congressional documents.

• "While CNN and other media outlets are rejoicing because of the capture of Saddam Hussein, Bush again introduced new legislation last Saturday which increased the federal powers to investigate and reduces the privacy rights of American citizens: H.R. 2417, Intelligence Authorizatin Agreement of 2004.

• H.R. 2417, Intelligence Authorization Agreement of 2004 (51-page pdf): "AN ACT To authorize appropriations for fiscal year 2004 for intelligence and intelligence-related activities of the United States Government, the Community Management Account, and the Central Intelligence Agency Retirement and Disability System, and for other purposes." "SHORT TITLE.--This Act may be cited as the 'Intelligence Authorization Act for Fiscal Year 2004'."

---

June 2003

H.R. 2417.

• Title: To authorize appropriations for fiscal year 2004 for intelligence and intelligence-related activities of the United States Government, the Community Management Account, and the Central Intelligence Agency Retirement and Disability System, and for other purposes.
  

• Sponsor: Rep Porter J. Goss [FL-14] (Introduced 6/11/2003).
  
• Cosponsors: (none).
  

• Related Bills:

• H.RES.295 (Introduced by Rep. Sue Myrick [NC-9] 6/24/03; Passed/agreed to in House 6/25/03).
• H.RES.451 (Introduced by Rep. Goss 11/19/03; Passed/agreed to in House 11/20/03).
• S.1025 (Introduced by Senator Pat Roberts [KS] 5/8/03; 7/31/03 Senate floor actions. Status: Returned to the Calendar. Calendar No. 172.).
  

• Latest Major Action: 12/13/2003 Became Public Law No: 108-177.
  

• H.R. 2417 RH, Union Calendar No. 80, 108th CONGRESS, 1st Session: Report 108-163, June 18, 2003, to accompany H.R. 2417.

• Statement of Administration Policy, Office of Management and Budget, June 25, 2003, H.R. 2417, Intelligence Authorization Act for Fiscal Year 2004:

• "The Administration would strenuously object if certain high priority transformational development programs affecting the IC's future collection and research and development strategies, are not authorized as requested.

"The Administration appreciates the Committee's support for our initiatives to improve our nation's intelligence capabilities, and believes that section 336, regarding improved information sharing among federal, State, and local government officials, addresses significant and important issues. However, the Administration has concerns with this and other sections of the bill (such as section 321) which seek to direct specific roles and responsibilities to be carried out by particular components of the Executive Branch. They could impinge on the President's constitutional authority to determine how Executive Branch agencies should be organized to carry out national defense and anti-terrorism activities."

• Providing for Consideration H.R. 2417, Intelligence Authorization Act for Fiscal Year 2004, Congressional Record: June 25, 2003 (House) (Page H5866-H5870). (House Debate).

• Roll Call Vote On Passage, June 27, 2003, 02:42 AM.

• Lee of California Amendment, June 26, 2003 (did not pass).
• Kucinich of Ohio Amendment, June 26, 2003 (did not pass).
• Hastings of Florida Amendment, June 26, 2003 (did not pass).

• Roll Call Vote, Intelligence budget, Concord Monitor (NH), June 29, 2003: "By a vote of 410 for and nine against, the House sent the Senate a fiscal 2004 budget (HR 2417) for the web of U.S. intelligence agencies. The classified budget is reported to be at least $35 billion. The bill funds more than a dozen agencies, among them the CIA, National Security Agency, Defense Intelligence Agency, National Reconnaissance Organization and National Imagery and Mapping Agency. In part, the bill emphasizes greater reliance on human intelligence; upgrades digital communication between the CIA and FBI; provides certain personnel with limited immunity against law suits; establishes a Treasury Department unit to track terrorist financing, and steps up U.S. intelligence support of Colombia's efforts to combat drug trafficking and terrorism."

---

November 2003

• Intelligence Authorization Act for Fiscal Year 2004, November 19, 2003, ordered to be printed, Conference Report to accompany H.R. 2417.

• House of Representatives Speeches in Opposition to the Bill, November 20, 2003: Mark Udall, Colordado; Betty McCollum, Minnesota; Ron Paul, Texas; and Dennis Moore, Kansas.

• Comments of Ron Paul, Congressman for Texas on H.R. 2417:

"It appears we are witnessing a stealth enactment of the enormously unpopular 'Patriot II' legislation that was first leaked several months ago. Perhaps the national outcry when a draft of the Patriot II act was leaked has led its supporters to enact it one piece at a time in secret. Whatever the case, this is outrageous and unacceptable. I urge each of my colleagues to join me in rejecting this bill and its incredibly dangerous expansion of Federal police powers."

• Congressional Record: November 22, 2003 (Extensions) (Page E2399), H.R. 2417, Intelligence Authorization Agreement, Speech (in opposition to the bill) of Hon. Mark Udall of Colorado in the House of Representatives, November 20, 2003: "I have concerns about a provision in the conference report that would expand financial surveillance authority of our intelligence agencies. I also had concerns about this provision in the first version of the bill that passed the House, but I supported the bill then in the hope that the language would be further clarified in the final conference report. It has not been. ... Mr. Speaker, this provision in the conference report involves the privacy rights of Americans--rights that I believe strongly we must protect even as we work to combat terrorism. Because I'm concerned that this conference report does not strike the right balance, I am voting against it today."

• Congressional Record: December 9, 2003 (Extensions) (Page E2491), Conference Report on H.R. 2417, Intelligence Authorization Act for Fiscal Year 2004, Speech of Hon. Dennis Moore of Kansas, in the House of Representatives, November 20, 2003: "While this new provision of law included in the conference report does not amend the PATRIOT Act, I agree with the six Senators who recently wrote to the Senate Intelligence Committee and asked them not to move ahead with such a significant expansion of the FBI's investigatory powers without further review. As they stated, public hearings, public debate and legislative protocol are essential in legislation involving the privacy rights of Americans. As a member of the House Financial Services Committee, I am concerned that these new provisions of law could be used to seize personal financial records that traditionally have been protected by financial privacy laws. The rush to judgment following the attacks of September 11, 2001, led to the rapid enactment of the PATRIOT Act, a measure which has caused substantial concerns among many Americans who value our constitutionally-protected liberties. Now that we are able to legislate in this area with a lessened sense of urgency, I urge my colleagues to step back and return this provision of H.R. 2417 to committee, where it can undergo the rigors of the normal legislative process so that Congress, and all Americans, can pass an informed judgment upon its merit."

• HR 2417 was cleared by the Congress on November 21, 2003.

• Spy Budget, Centre Daily Times, November 24, 2003: "Members approved, 264-163, the conference report on a fiscal 2004 intelligence budget reported unofficially at about $40 billion. The bill broadens federal power to obtain data without a court order from firms suspected of terrorist links. A yes vote backed HR 2417."

• Congressional Budget Office Cost Estimate, November 25, 2003, for H.R. 2417, Intelligence Authorization Act for Fiscal Year 2004, As cleared by the Congress on November 21, 2003.

"H.R. 2417 would authorize appropriations for fiscal year 2004 for intelligence activities of the U.S. government, the Intelligence Community Management Account, and the Central Intelligence Agency Retirement and Disability System (CIARDS). The act also would make changes to other laws related to intelligence programs.

"CBO was unable to obtain the necessary information to estimate the costs for the entire act because certain parts are classified. The unclassified portion of the act would affect direct spending and revenues; although CBO estimates these effects would be insignificant for each year."

---

December 2003

• Whitehouse Statement on HR 2417 (December 13, 2003): "On Saturday, December 13, 2003, the President signed into law: H.R. 2417, the 'Intelligence Authorization Act for Fiscal Year 2004,' which authorizes FY 2004 appropriations for U.S. intelligence-related activities; and amends various intelligence-related authorities."

• Statement by the President on H.R. 2417, December 13, 2003.

• Supplemental List of Public Laws, Update for December 16, 2003: "H.R. 2417 / Public Law 108-177, Intelligence Authorization Act for Fiscal Year 2004 (Dec. 13, 2003; 117 Stat. 2599; 38 pages)."

---

Other Related SourceWatch Resources

• Bank Secrecy Act
• civil liberties
• banking
• data mining
• Department of Homeland Security
• Financial Crimes Enforcement Network (FinCEN)
• Money Services Businesses
• National Security Act of 1947 (50 U.S.C. 401 et seq.)
• Patriot Act I
• Patriot Act abuses
• suspicious transactions
• war on terrorism

External links

Other Related Government Documents

• 42 Current Republican House Members Have Co-Sponsored At Least One Civil Asset Forfeiture Reform Bill, MPP's Eye on Congress. "H.R. 2417, H.R. 1916, and H.R. 1835 were introduced by U.S. Rep. Henry Hyde; H.R. 3347 was introduced by U.S. Rep. John Conyers; H.R. 3315 was introduced by U.S. Rep. Craig Washington."
• H.R.2417 Intelligence Authorization Act 2004, Subtitle C--Counterintelligence, SEC. 321. COUNTERINTELLIGENCE INITIATIVES FOR THE INTELLIGENCE COMMUNITY. (a) IN GENERAL- (1) Title XI of the National Security Act of 1947 (50 U.S.C. 401 et seq.) is amended by adding at the end the following new section: COUNTERINTELLIGENCE INITIATIVES."

News Articles

• Administrative Subpoenas for the FBI: A Grab for Unchecked Executive Power, Center for Democracy & Technology, September 24, 2003: "The Administration recently renewed its effort to obtain administrative subpoena authority for the FBI in criminal terrorism cases. The President called for it in his speech marking the second anniversary of 9/11. Rep. Tom Feeney (R-FL) has introduced H.R. 3037, which would grant the FBI administrative subpoena power. The draft of the Justice Department's Domestic Security Enhancement Act, or PATRIOT II, which was leaked last February, also contained broad administrative subpoena authority for the FBI. And recent drafts of Senator Hatch's so-called VICTORY Act, which has not yet been introduced, contain provisions that would also grant the FBI the ability to issue administrative subpoenas. ... In CDT's view, these administrative subpoena proposals represent a grab for unchecked executive power. The FBI does not need this authority to combat terrorism effectively." Further discussion from the CDT.
• Eric Lichtblau, F.B.I.'s Reach Into Records Is Set to Grow (Abstract), New York Times, November 12, 2003: "Little-noticed measure approved by House and Senate would significantly expand FBI's power to demand financial records, without judge's approval, from variety of businesses, in furtherance of terrorism and espionage investigations; measure is tucked into authorization bill for intelligence agencies and mirrors Pres Bush's recent proposal."
• FBI to Get New Record Seizing Powers, talkleft, November 12, 2003: "Another stealth attack by Congress is upon us. This time it's a buried provision in the intelligence communities' budget bill for the coming year. It expands the FBI's authority to issue "national security letters" to obtain business records without prior judicial approval. ... Currently, the FBI can issue these letters (they are like subpoenas) to banks and other financial institutions in terror and espionage investigations. The budget bill expands the businesses to which such letters may be issued: [The measure now awaiting final approval in Congress would significantly broaden the law to include securities dealers, currency exchanges, car dealers, travel agencies, post offices, casinos, pawnbrokers and any other institution doing cash transactions with 'a high degree of usefulness in criminal, tax or regulatory matters.'"] ... Bush proposed such expansion in a speech two months ago."
• ACLU Says Expansion of 'National Security Letter' Authority Would Allow FBI Access to Many More Business Records Without Court Oversight, November 12, 2003.
• Bob Bauman, Stealth Attack! Act -- or Lose Your Freedom!, Sovereign Society, November 14, 2003.
• ACLU Letter to the House and Senate Committees on Intelligence Urging Opposition to Expanded Authority of 'National Security Letters' in H.R. 2417 and S. 1025, the Intelligence Authorization Act for FY2004, November 17, 2003.
• ACLU Disappointed at First Significant Expansion of PATRIOT ACT in Intelligence Bill, Takes Heart in Closer-Than-Expected Vote, November 20, 2003.
• Bill authorizing Intelligence Community contains Hoekstra provision further, hoekstraforcongress, November 20, 2003: "A bill authorizing funding levels for the U.S. Intelligence Community in 2004 contains a provision authored by U.S. Rep. Pete Hoekstra, R-Holland, that provides the Central Intelligence Agency relief from Federal Prison Industries' (FPI) status as a sole source of supply."
• Eric Lichtblau, Lawmakers Approve Expansion Of F.B.I.'s Antiterrorism Powers (Abstract), New York Times, November 20, 2003: "Congressional negotiators approve measure to expand FBI's counterterrorism powers, despite concern from some lawmakers who say measure gives government too much authority and that public has been shut out of debate; measure gives FBI greater authority to demand records from businesses in terrorism cases without approval of judge or grand jury."
• F.B.I. Gets New Anti-Terrorism Powers, talkleft, November 20, 2003: "The House-Senate conference negotiators Wednesday hammered out a compromise version of separate bills passed by the House and Senate granting more power to the FBI in obtaining business records."
• Ken Guggenheim, Senate Approves Intelligence Bill, AP, November 21, 2003: "Supporters of the change say it will help authorities identify money laundering and other activities that fund terrorism. But some lawmakers and civil liberties advocates say the change doesn't provide enough safeguards to ensure that authorities won't violate the privacy of innocent people. ... A report accompanying the bill said that research on the programs can proceed even though Congress has prevented the programs from being implemented. But it said any experiments can be conducted only on government foreign intelligence databases. It also required an examination of the programs' legal and civil liberty implications."
• Frank Tiboni, Intell bill funds office to track terrorist money, Federal Computer Week, December 1, 2003.
• Audrey Hudson, HR 2417: A Threat to Civil Liberties?, Washington Times, December 4, 2003: "Tucked inside a intelligence spending bill awaiting the president's signature [by Dec. 13] is a provision that allows the FBI to obtain an individual's financial records from pawn shops, casinos, car dealers and travel agents without a court order."
• Bush Signs Bill Expanding FBI Authority, AP, December 14, 2003.
• Bush Cabal Hides Patriot II Police State in HR2417, Rep. Ron Paul/Rep Dennis Moore, prisonplanet.com, December 19, 2003.