Faster and Smarter Funding for First Responders Act of 2004

        [Congressional Bills 108th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3266 Reported in House (RH)]

Union Calendar No. 325
108th CONGRESS
2d Session
H. R. 3266

[Report No. 108-460, Parts I, II, III, and IV]

To authorize the Secretary of Homeland Security to make grants to first
responders, and for other purposes.

_______________________________________________________________________

IN THE HOUSE OF REPRESENTATIVES

October 8, 2003

Mr. Cox introduced the following bill; which was referred to the Select
Committee on Homeland Security, and in addition to the Committees on
Transportation and Infrastructure, the Judiciary, and Energy and
Commerce, for a period to be subsequently determined by the Speaker, in
each case for consideration of such provisions as fall within the
jurisdiction of the committee concerned

April 2, 2004

Reported from the Select Committee on Homeland Security with an
amendment
[Strike out all after the enacting clause and insert the part printed
in italic]

April 2, 2004

Referral to the Committees on Transportation and Infrastructure, the
Judiciary, and Energy and Commerce extended for a period ending not
later than June 7, 2004

April 2, 2004

Referred to the Committee on Science for a period ending not later than
April 2, 2004 for consideration of such provisions of the bill and
amendment as fall within the jurisdiction of that committee pursuant to
clause 1(n), rule X

April 2, 2004

The Committee on Science discharged

June 3, 2004

Referral to the Committees on Transportation and Infrastructure, the
Judiciary, and Energy and Commerce extended for a period ending not
later than June 14, 2004

June 14, 2004

Referral to the Committees on Transportation and Infrastructure, the
Judiciary, and Energy and Commerce extended for a period ending not
later than June 21, 2004

June 14, 2004

Reported from the Committee on Energy and Commerce with an amendment
[Strike out all after the enacting clause and insert the part printed
in boldface italic]

June 21, 2004

Reported from the Committee on Transportation and Infrastructure with
amendments
[Strike out all after the enacting clause and insert the part printed
in boldface roman and amend the title]

June 21, 2004

Additional sponsors: Mrs. Myrick, Mr. Shays, Mr. Weldon of
Pennsylvania, Ms. Dunn, Mr. Gibbons, Mr. Shadegg, Mr. King of New York,
Mr. Sweeney, Mr. Fossella, Mr. Wilson of South Carolina, Mrs. Miller of
Michigan, Mr. Brady of Texas, Mr. Frost, Mr. Turner of Ohio, Mr.
Rangel, Mr. Garrett of New Jersey, Mr. Camp, Mr. Lincoln Diaz-Balart of
Florida, Mr. Thornberry, Mr. Sessions, Mr. Smith of Michigan, Mr.
Calvert, Mr. Ruppersberger, Mrs. Napolitano, Mr. Stenholm, Mr. Turner
of Texas, Ms. Jackson-Lee of Texas, Mr. Pascrell, Mr. Markey, Mrs.
McCarthy of New York, Mr. Owens, Mr. Langevin, Mr. Weiner, Mr. Smith of
Texas, Mr. Hunter, Mr. Boehlert, Mr. Holden, Mr. Gallegly, Mr. Nadler,
Mrs. Christensen, Mr. Cardin, Mr. Gonzalez, Mr. Dicks, Mr. Feeney, Ms.
Harman, Mr. Keller, Mr. Andrews, Mr. Meek of Florida, Mr. Weldon of
Florida, Mr. Mario Diaz-Balart of Florida, Mr. Rogers of Michigan, Mr.
Goss, Mr. Goodlatte, Mr. Holt, Mr. Lewis of California, Mr. Becerra,
Mr. Lantos, Mr. Meehan, Mrs. Davis of California, Mr. Smith of New
Jersey, Mrs. Maloney, and Mr. Lewis of Georgia

June 21, 2004

Reported from the Committee on the Judiciary with an amendment;
committed to the Committee of the Whole House on the State of the Union
and ordered to be printed
[Strike out all after the enacting clause and insert the part printed
in italic in brackets]
[For text of introduced bill, see copy of bill as introduced on October
8, 2003]

_______________________________________________________________________

A BILL

To authorize the Secretary of Homeland Security to make grants to first
responders, and for other purposes.

Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

(a) Short Title.--This Act may be cited as the ``Faster and Smarter
Funding for First Responders Act of 2004''.
(b) Table of Contents.--The table of contents for this Act is as
follows:

Sec. 1. Short title; table of contents.
Sec. 2. Findings.
Sec. 3. Faster and Smarter Funding for First Responders.

``TITLE XVIII--FUNDING FOR FIRST RESPONDERS

``1801. Faster and smarter funding for first responders.
``1802. Essential capabilities for first responders.
``1803. Task Force on Essential Capabilities for First
Responders.
``1804. Covered grant eligibility and criteria.
``1805. Use of funds and accountability requirements.
``1806. National standards for first responder equipment and
training.
``1807. Definitions.
Sec. 4. Modification of Homeland Security Advisory System.
``Sec. 203. Homeland Security Advisory System.
Sec. 5. Coordination of industry efforts.
Sec. 6. Superseded provision.
Sec. 7. Sense of Congress regarding interoperable communications.
Sec. 8. Sense of Congress regarding Citizen Corps councils.
Sec. 9. Study regarding nationwide emergency notification system.
Sec. 10. Authorization of appropriations.

SEC. 2. FINDINGS.

The Congress finds the following:
(1) In order to achieve its objective of minimizing the
damage, and assisting in the recovery, from terrorist attacks,
the Department of Homeland Security must play a leading role in
assisting communities to reach the level of preparedness they
need to respond to a terrorist attack.
(2) First responder funding is not reaching the men and
women of our Nation's first response teams quickly enough, and
sometimes not at all.
(3) To reform the current bureaucratic process so that
homeland security dollars reach the first responders who need
it most, it is necessary to clarify and consolidate the
authority and procedures of the Department of Homeland Security
to support first responders.
(4) Ensuring adequate resources for the new national
mission of homeland security requires a discrete and separate
grant making process for homeland security funds for first
response to terrorist acts, on the one hand, and for first
responder programs designed to meet pre-9/11 priorities, on the
other.
(5) Homeland security grants to first responders must be
based on the best intelligence concerning the capabilities and
intentions of our terrorist enemies, and that intelligence must
be used to target resources to the Nation's greatest risks,
vulnerabilities, and consequences.
(6) The Nation's first response capabilities will be
improved by sharing resources, training, planning, personnel,
and equipment among neighboring jurisdictions through mutual
aid agreements and regional cooperation. Such regional
cooperation should be supported, where appropriate, through
direct grants from the Department of Homeland Security.
(7) An essential prerequisite to achieving the Nation's
homeland security objectives for first responders is the
establishment of well-defined national goals for terrorism
preparedness. These goals should delineate the essential
capabilities that every jurisdiction in the United States
should possess or to which it should have access.
(8) A national determination of essential capabilities is
needed to identify levels of State and local government
terrorism preparedness, to determine the nature and extent of
State and local first responder needs, to identify the human
and financial resources required to fulfill them, and to direct
funding to meet those needs and to measure preparedness levels
on a national scale.
(9) To facilitate progress in attaining essential
capabilities for State and local first responders, the
Department of Homeland Security should seek to allocate
homeland security funding for first responders to meet
nationwide needs.
(10) Private sector resources and citizen volunteers can
perform critical functions in assisting in preventing and
responding to terrorist attacks, and should be integrated into
State and local planning efforts to ensure that their
capabilities and roles are understood, so as to provide
enhanced State and local operational capability and surge
capacity.
(11) Public-private partnerships, such as the partnerships
between the Business Executives for National Security and the
States of New Jersey and Georgia, can be useful to identify and
coordinate private sector support for State and local first
responders. Such models should be expanded to cover all States
and territories.
(12) An important component of national standards is
measurability, so that it is possible to determine how prepared
a State or local government is now, and what additional steps
it needs to take, in order to respond to acts of terrorism.
(13) The Department of Homeland Security should establish,
publish, and regularly update national voluntary consensus
standards for both equipment and training, in cooperation with
both public and private sector standard setting organizations,
to assist State and local governments in obtaining the
equipment and training to attain the essential capabilities for
first response to acts of terrorism, and to ensure that first
responder funds are spent wisely.

SEC. 3. FASTER AND SMARTER FUNDING FOR FIRST RESPONDERS.

(a) In General.--The Homeland Security Act of 2002 (Public Law 107-
296; 6 U.S.C. 361 et seq.) is amended--
(1) in section 1(b) in the table of contents by adding at
the end the following:

``TITLE XVIII--FUNDING FOR FIRST RESPONDERS

``1801. Faster and smarter funding for first responders.
``1802. Essential capabilities for first responders.
``1803. Task Force on Essential Capabilities for First Responders.
``1804. Covered grant eligibility and criteria.
``1805. Use of funds and accountability requirements.
``1806. National standards for first responder equipment and training.
``1807. Definitions.''; and
(2) by adding at the end the following:

``TITLE XVIII--FUNDING FOR FIRST RESPONDERS

``SEC. 1801. FASTER AND SMARTER FUNDING FOR FIRST RESPONDERS.

``(a) Covered Grants.--This title applies to any grant provided by
the Department to States or regions to improve the ability of first
responders to prevent, prepare for, respond to, or mitigate threatened
or actual terrorist attacks, especially those involving weapons of mass
destruction, and including any grant under the following:
``(1) State homeland security grant program.--The State
Homeland Security Grant Program of the Department, or any
successor to such grant program.
``(2) Urban area security initiative.--The Urban Area
Security Initiative of the Department, or any successor to such
grant program.
``(b) Excluded Programs.--This title does not apply to or otherwise
affect the following Federal grant programs or any grant under such a
program:
``(1) Nondepartment programs.--Any Federal grant program
that is not administered by the Department.
``(2) Fire grant programs.--The fire grant programs
authorized by sections 33 and 34 of the Federal Fire Prevention
and Control Act of 1974 (15 U.S.C. 2229, 2229a).
``(3) Emergency management planning and assistance account
grants.--The Emergency Management Performance Grant program and
the Urban Search and Rescue Grants program authorized by title
VI of the Robert T. Stafford Disaster Relief and Emergency
Assistance Act (42 U.S.C. 5195 et seq.); the Departments of
Veterans Affairs and Housing and Urban Development, and
Independent Agencies Appropriations Act, 2000 (113 Stat. 1047
et seq.); and the Earthquake Hazards Reduction Act of 1977 (42
U.S.C. 7701 et seq.).

``SEC. 1802. ESSENTIAL CAPABILITIES FOR FIRST RESPONDERS.

``(a) Establishment of Essential Capabilities.--
``(1) In general.--The Secretary shall establish clearly
defined essential capabilities for State and local government
preparedness for terrorism, in consultation with--
``(A) the Task Force on Essential Capabilities for
First Responders established under section 1803;
``(B) the Under Secretaries for Emergency
Preparedness and Response, Border and Transportation
Security, Information Analysis and Infrastructure
Protection, and Science and Technology, and the
Director of the Office for Domestic Preparedness;
``(C) other appropriate Federal agencies;
``(D) State and local first responder agencies and
officials; and
``(E) groups responsible for setting standards
relevant to the first responder community.
``(2) Deadlines.--The Secretary shall--
``(A) establish essential capabilities under
paragraph (1) within 30 days after receipt of the
initial submission of a final report under section
1803(c)(2); and
``(B) regularly update such essential capabilities
as necessary, but not less than every 3 years.
``(3) Provision of essential capabilities.--The Secretary
shall ensure that essential capabilities established under
paragraph (1) are provided promptly to the States and to the
Congress. The States shall make the essential capabilities
available as necessary and appropriate to local governments
within their jurisdictions.
``(b) Objectives.--The Secretary shall ensure that essential
capabilities established under subsection (a)(1) meet the following
objectives:
``(1) Specificity.--The determination of essential
capabilities specifically shall describe the training,
planning, personnel, and equipment that different types of
communities in the Nation should possess, or to which they
should have access, in order to meet the Department's goals for
terrorism preparedness based upon--
``(A) the most current risk assessment available by
the Directorate for Information Analysis and
Infrastructure Protection of the threats of terrorism
against the United States; and
``(B) the types of threats, vulnerabilities,
geography, size, and other factors that the Secretary
has determined to be applicable to each different type
of community.
``(2) Flexibility.--The establishment of essential
capabilities shall be sufficiently flexible to allow State and
local government officials to set priorities based on
particular needs, while reaching nationally determined
terrorism preparedness levels within a specified time period.
``(3) Measurability.--The establishment of essential
capabilities shall be designed to enable measurement of
progress towards specific terrorism preparedness goals.
``(c) Threats to Be Considered.--
``(1) In general.--In establishing essential capabilities
under subsection (a)(1), the Secretary specifically shall
consider the variables of threat, vulnerability, and
consequences with respect to the Nation's population (including
transient commuting and tourist populations) and critical
infrastructure. Such consideration shall be based upon the most
current risk assessment available by the Directorate for
Information Analysis and Infrastructure Protection of the
threats of terrorism against the United States.
``(2) Critical infrastructure sectors.--The Secretary
specifically shall consider threats of terrorism against the
following critical infrastructure sectors in all areas of the
Nation, urban and rural:
``(A) Agriculture.
``(B) Banking and finance.
``(C) Chemical industries.
``(D) The defense industrial base.
``(E) Emergency services.
``(F) Energy.
``(G) Food.
``(H) Government.
``(I) Postal and shipping.
``(J) Public health.
``(K) Information and telecommunications networks.
``(L) Transportation.
``(M) Water.
The order in which the critical infrastructure sectors are
listed in this paragraph shall not be construed as an order of
priority for consideration of the importance of such sectors.
``(3) Consideration of additional threats.--In establishing
essential capabilities under subsection (a)(1), the Secretary
shall take into account any other specific threat to a
population (including a transient commuting or tourist
population) or critical infrastructure sector that the
Secretary has determined to exist.

``SEC. 1803. TASK FORCE ON ESSENTIAL CAPABILITIES FOR FIRST RESPONDERS.

``(a) Establishment.--To assist the Secretary in establishing
essential capabilities under section 1802(a)(1), the Secretary shall
establish an advisory body to be known as the Task Force on Essential
Capabilities for First Responders not later than 60 days after the date
of the enactment of this section.
``(b) Draft Report.--
``(1) In general.--The Task Force shall submit to the
Secretary, not later than one year after its establishment by
the Secretary under subsection (a) and every 3 years
thereafter, a draft report on its recommendations for the
essential capabilities all State and local government first
responders should possess, or to which they should have access,
to enhance terrorism preparedness, including--
``(A) to prevent a terrorist attack;
``(B) to protect persons and critical
infrastructure against attack; and
``(C) to enhance terrorism response and mitigation
capabilities if such an attack occurs.
``(2) Threats to be considered in determining essential
capabilities.--
``(A) In general.--In reporting to the Secretary on
its recommendations for essential capabilities, the
Task Force specifically shall consider the critical
infrastructure sectors described in section 1802(c)(2),
and the threats to populations in all areas of the
Nation, urban and rural, including the following:
``(i) Biological threats.
``(ii) Nuclear threats.
``(iii) Radiological threats.
``(iv) Incendiary threats.
``(v) Chemical threats.
``(vi) Explosives.
``(vii) Suicide bombers.
``(viii) Cyber threats.
``(ix) Any other threats based on proximity
to specific past acts of terrorism or the known
activity of any terrorist group.
``(B) No priority.--The order in which the threats
are listed in subparagraph (A) shall not be construed
as an order of priority for consideration of the
importance of such threats.
``(3) Risk-based.--The draft report shall be based upon the
most current risk assessment available by the Directorate for
Information Analysis and Infrastructure Protection of the
threats of terrorism against the United States provided to the
Task Force pursuant to subsection (d).
``(4) Contents.--The draft report shall--
``(A) include a priority ranking of essential
capabilities, in order to provide guidance to the
Secretary and to the Congress on determining the
appropriate allocation of, and funding levels for,
first responder needs;
``(B) set forth a methodology by which any State or
local government will be able to determine the extent
to which it possesses or has access to the essential
capabilities that States and local governments having
similar risks should obtain;
``(C) describe the availability of national
voluntary consensus standards, and whether there is a
need for new national voluntary consensus standards,
with respect to first responder training and equipment;
``(D) include such additional matters as the
Secretary may specify in order to further the terrorism
preparedness capabilities of first responders; and
``(E) include such revisions to the contents of
past reports as are necessary to take into account
changes in the most current risk assessment available
by the Directorate for Information Analysis and
Infrastructure Protection or other relevant information
as determined by the Secretary.
``(c) Review and Revision of Draft Report.--
``(1) Review and comments.--Within 30 days after the date
of the submission of the draft report by the Task Force under
subsection (b), the Secretary shall review and provide comments
to the Task Force on the contents of the draft report.
``(2) Revision and submission of final report.--Within 30
days after receiving the Secretary's comments, the Task Force
shall--
``(A) revise its draft report based on the comments
provided by the Secretary, and any other comments it
has solicited and received, if the Task Force
determines that such revisions are appropriate; and
``(B) submit the final report on essential
capabilities to the Secretary and to the Congress.
``(d) Task Force Access to Information.--
``(1) Security clearances.--For purposes of carrying out
its responsibilities under this section, the Task Force shall
be provided as a matter of priority appropriate security
clearances, including interim security clearances.
``(2) Access to finished intelligence.--For purposes of
carrying out its responsibilities under this section, the Task
Force shall be provided access to all finished intelligence and
analytic products it may request from the Directorate for
Information Analysis and Infrastructure Protection or other
sources within the Department concerning the nature and
likelihood of terrorist attacks on the territory of the United
States.
``(3) Access to assessment tools.--For purposes of carrying
out its responsibilities under this section, the Task Force
shall be provided access to all tools or methodologies
currently or formerly used by the Department and its
predecessor organizations to assess the preparedness
capabilities of State and local governments.
``(4) Valid clearances.--Nothing in this section shall be
considered to authorize a member of the Task Force to have
access to classified information unless that member possesses a
valid clearance to receive such information.
``(e) Membership.--
``(1) In general.--The Task Force shall consist of 25
members appointed by the Secretary, and shall--
``(A) represent a cross section of first responder
disciplines; and
``(B) include both State and local representatives
within each discipline.
``(2) Term of members.--Each appointed member of the Task
Force shall serve for a term not to exceed 18 months. No
individual may be appointed as a member of the Task Force for
more than 2 terms.
``(3) Selection of members.--The Secretary shall include in
the membership of the Task Force--
``(A) members selected from the emergency response
field, including firefighters and law enforcement,
hazardous materials response, emergency medical
services, and emergency management personnel (including
public works personnel routinely engaged in emergency
response);
``(B) health scientists, emergency and inpatient
medical providers, and public health professionals,
including experts in emergency health care response to
chemical, biological, radiological, and nuclear
terrorism, and experts in providing mental health care
during emergency response operations;
``(C) experts from Federal, State, and local
governments, and the private sector, representing
standards-setting organizations, including
representation from the voluntary consensus codes and
standards development community, particularly those
with expertise in firefighting, law enforcement, and
emergency medical services delivery; and
``(D) State and local officials with expertise in
terrorism preparedness, subject to the condition that
if any such officials are elected officials, an equal
number shall be selected from each of the two major
political parties.
``(4) Ex officio members.--The Secretary shall designate
one or more officers of the Department to serve as ex officio
members of the Task Force, one of whom shall be the designated
officer of the Federal Government for purposes of subsection
(e) of section 10 of the Federal Advisory Committee Act.
``(5) Diversity in composition of task force.--In
appointing members to the Task Force, the Secretary shall
ensure, to the extent practicable, that its membership--
``(A) is geographically diverse;
``(B) includes representatives from both rural and
urban jurisdictions;
``(C) includes representatives from both management
and labor;
``(D) includes representatives from both uniformed
and nonuniformed professions;
``(E) includes representatives from both voluntary
and professional services;
``(F) includes representatives from both government
and nongovernment emergency medical services; and
``(G) includes sufficient personnel with security
clearances necessary to review classified materials
that may be needed to conduct the business of the Task
Force.
``(6) Chair.--At the first meeting of the Task Force, the
membership of the Task Force appointed under paragraph (3)
shall elect a chair of the Task Force.
``(f) Meetings.--The Task Force shall meet as often as necessary to
complete reports in accordance with this section.
``(g) Pay.--
``(1) In general.--Members of the Task Force shall serve
without pay by reason of their work on the Task Force.
``(2) Federal officers and employees.--Members of the Task
Force who are officers or employees of the United States shall
receive no additional pay by reason of their service as a
member of the Task Force.
``(h) Travel Expenses.--Members of the Task Force shall be allowed
travel expenses, including per diem in lieu of subsistence, at rates
authorized for employees of agencies under subchapter I of chapter 57
of title 5, United States Code, while away from their homes or regular
places of business in the performance of services for the Task Force.
``(i) Services, Funds, and Staff.--The Secretary shall provide to
the Task Force, on a non-reimbursable basis, such administrative
services, funds, staff, facilities, and other support services as the
Secretary determines necessary, in consultation with the chair of the
Task Force, for the Task Force to perform its duties efficiently and in
accordance with this section.
``(j) Details.--Upon the request of the Task Force, the Secretary
may detail, without reimbursement, any personnel of the Department to
assist the Task Force in carrying out its duties. Any such detail of an
employee shall be without interruption or loss of civil service status
or privilege.
``(k) Applicability of Federal Advisory Committee Act.--The Federal
Advisory Committee Act (5 U.S.C. App.), including subsections (a), (b),
and (d) of section 10 of such Act, and section 552b(c) of title 5,
United States Code, shall apply to the Task Force.

``SEC. 1804. COVERED GRANT ELIGIBILITY AND CRITERIA.

``(a) Grant Eligibility.--Any State or region shall be eligible to
apply for a covered grant.
``(b) Grant Criteria.--In awarding covered grants, the Secretary
shall assist States and local governments in achieving the essential
capabilities for first responders established by the Secretary under
section 1802.
``(c) State Homeland Security Plans.--
``(1) Submission of plans.--The Secretary shall require
that any State applying to the Secretary for a covered grant
must submit to the Secretary a 3-year State homeland security
plan that--
``(A) demonstrates the extent to which the State
has achieved the essential capabilities that apply to
the State, and describes the extent to which the State
used the methodology developed pursuant to section
1803(b)(4)(B) to evaluate the level of its essential
capabilities;
``(B) demonstrates the additional needs of the
State necessary to achieve the essential capabilities
that apply to the State;
``(C) includes a prioritization of such additional
needs based on threat, vulnerability, and consequence
assessment factors applicable to the State;
``(D) describes how the State intends--
``(i) to address such additional needs at
the city, county, regional, State, and
interstate level;
``(ii) to use all Federal, State, and local
resources available for the purpose of
addressing such additional needs; and
``(iii) to give particular emphasis to
regional planning and cooperation, both within
its jurisdictional borders and with neighboring
States; and
``(E) is developed in consultation with and subject
to appropriate comment by local governments within the
State.
``(2) Approval by secretary.--The Secretary may not award
any covered grant to a State unless the Secretary has approved
the applicable State homeland security plan.
``(d) Consistency With State Plans.--The Secretary shall ensure
that each covered grant is used to supplement and support, in a
consistent and coordinated manner, the applicable State homeland
security plan or plans.
``(e) Application for Grant.--
``(1) In general.--Any State or region may apply for a
covered grant by submitting to the Secretary an application at
such time, in such manner, and containing such information as
is required under this subsection, or as the Secretary may
reasonably require.
``(2) Deadlines for applications and awards.--All
applications for covered grants must be submitted to the
Secretary no later than February 15 of the fiscal year for
which they are submitted. The Secretary shall award covered
grants pursuant to all approved applications for such fiscal
year as soon as practicable, but not later than July 31 of such
year.
``(3) Availability of funds.--All funds awarded by the
Secretary under covered grants in a fiscal year shall be
available for obligation through the end of the subsequent
fiscal year.
``(4) Minimum contents of application.--The Secretary shall
require that each applicant include in its application, at a
minimum--
``(A) the purpose for which the applicant seeks
covered grant funds and the reasons why the applicant
needs the covered grant to meet the essential
capabilities for terrorism preparedness within the
State or region to which the application pertains;
``(B) a description of how, by reference to the
applicable State homeland security plan or plans under
subsection (c), the allocation of grant funding
proposed in the application, including, where
applicable, the amount not passed through under section
1805(e)(1), would assist in fulfilling the essential
capabilities specified in such plan or plans;
``(C) a statement of whether a mutual aid agreement
applies to the use of all or any portion of the covered
grant funds;
``(D) if the applicant is a region--
``(i) a precise geographical description of
the region and a specification of all
participating and nonparticipating local
governments within the geographical area
comprising that region;
``(ii) a specification of what governmental
entity within the region will administer the
expenditure of funds under the covered grant;
and
``(iii) a designation of a specific
individual to serve as regional liaison;
``(E) a capital budget showing how the applicant
intends to allocate and expend the covered grant funds;
and
``(F) a statement of how the applicant intends to
meet the matching requirement, if any, that applies
under section 1805(e)(2).
``(5) Regional applications.--
``(A) Submission to state or states.--To ensure the
consistency required under subsection (d), an applicant
that is a region must simultaneously submit its
application to the Department and to each State of
which any part is included in the region.
``(B) Opportunity for state comment.--Before
awarding any covered grant to a region, the Secretary
shall provide an opportunity to each State of which any
part is included in a region, during the 30-day period
beginning on the date on which the region submits an
application for a covered grant, to comment to the
Secretary on the consistency of the region's plan with
the State's homeland security plan.
``(C) Final authority.--The Secretary shall have
final authority to determine the consistency of any
regional application with the applicable State homeland
security plan or plans and approve any regional
application. The Secretary shall notify each State of
which any part is included in a region of the approval
of a regional application for that region.
``(D) Regional liaisons.--A regional liaison
designated under paragraph (4)(D)(iii) shall--
``(i) coordinate with Federal, State,
local, regional, and private officials within
the region concerning terrorism preparedness;
``(ii) develop a process for receiving
input from Federal, State, local, regional, and
private sector officials within the region to
assist in the development of the regional
application and to improve the region's access
to covered grants; and
``(iii) administer, in consultation with
State, local, regional, and private officials
within the region, covered grants awarded to
the region.
``(6) Equipment standards.--If an applicant for a covered
grant proposes to upgrade or purchase, with assistance provided
under the grant, new equipment or systems that do not meet or
exceed any applicable national voluntary consensus standards
established by the Secretary under section 1806(a), the
applicant shall include in the application an explanation of
why such equipment or systems will serve the needs of the
applicant better than equipment or systems that meet or exceed
such standards.
``(f) First Responder Grants Board.--
``(1) Establishment of board.--The Secretary shall
establish a First Responder Grants Board, consisting of--
``(A) the Secretary;
``(B) the Under Secretary for Emergency
Preparedness and Response;
``(C) the Under Secretary for Border and
Transportation Security;
``(D) the Under Secretary for Information Analysis
and Infrastructure Protection;
``(E) the Under Secretary for Science and
Technology; and
``(F) the Director of the Office for Domestic
Preparedness.
``(2) Chairman.--
``(A) In general.--The Secretary shall be the
Chairman of the Board.
``(B) Exercise of authorities by deputy
secretary.--The Deputy Secretary of Homeland Security
may exercise the authorities of the Chairman, if the
Secretary so directs.
``(3) Ranking of grant applications.--
``(A) Prioritization of grants.--The Board shall
evaluate and annually prioritize all pending
applications for covered grants based upon the degree
to which they would lessen the threat to, vulnerability
of, and consequences for persons and critical
infrastructure.
``(B) Achieving nationwide capability.--In
evaluating and prioritizing grant applications under
subparagraph (A), the Board shall--
``(i) seek to achieve and enhance essential
capabilities throughout the Nation; and
``(ii) seek to allocate a portion of the
funds available for covered grants each fiscal
year for the purpose of making covered grants
to each approved applicant that the Board
determines has demonstrated a valid need in its
application.
``(4) Functions of under secretaries.--The Under
Secretaries referred to in paragraph (1) shall seek to ensure
that the relevant expertise and input of the staff of their
directorates are available to and considered by the Board.

``SEC. 1805. USE OF FUNDS AND ACCOUNTABILITY REQUIREMENTS.

``(a) In General.--A covered grant may be used for--
``(1) purchasing or upgrading equipment, including computer
software, to enhance terrorism preparedness and response;
``(2) exercises to strengthen terrorism preparedness and
response;
``(3) training for prevention (including detection) of,
preparedness for, or response to attacks involving weapons of
mass destruction, including training in the use of equipment
and computer software;
``(4) developing or updating response plans;
``(5) establishing or enhancing mechanisms for sharing
terrorism threat information pursuant to this Act;
``(6) systems architecture and engineering, program
planning and management, strategy formulation and strategic
planning, life-cycle systems design, product and technology
evaluation, and prototype development for terrorism
preparedness and response purposes;
``(7) additional personnel costs resulting from--
``(A) elevations in the threat alert level of the
Homeland Security Advisory System;
``(B) travel to and participation in exercises and
training in the use of equipment and on prevention
activities; and
``(C) the temporary replacement of personnel during
any period of travel to and participation in exercises
and training in the use of equipment and on prevention
activities;
``(8) the costs of equipment (including software) required
to receive, transmit, handle, and store classified information;
``(9) enhancing facilities to serve as operations centers,
or hardening critical infrastructure against potential attack
by the addition of barriers, fences, gates, and other such
devices;
``(10) the costs of commercially available equipment that
complies with, where applicable, national voluntary consensus
standards, and that facilitates interoperability, coordination,
and integration between emergency communications systems,
including--
``(A) mobile vehicles that contain equipment such
as commercial telephone trunk lines, VHF and UHF
radios, patch panels, and crosspatches, among other
technologies and equipment; and
``(B) communications system overlay software and
hardware that allow multiple disparate communications
networks to act as one network;
``(11) educational curricula development for first
responders to ensure that they are prepared for terrorist
attacks;
``(12) training and exercises to assist public elementary
and secondary schools in developing and implementing programs
to instruct students regarding age-appropriate skills to
prepare for and respond to an act of terrorism; and
``(13) other appropriate activities as determined by the
Secretary.
``(b) Prohibited Uses.--Funds provided as a covered grant may not
be used--
``(1) to supplant State or local funds for, or otherwise
support, traditional missions of State and local law
enforcement, firefighters, emergency medical services, or
public health agencies, unless such support serves a dual
purpose and the funds are primarily intended to enhance
terrorism preparedness;
``(2) to construct buildings or other physical facilities;
``(3) to acquire land; or
``(4) for any State or local government cost sharing
contribution.
``(c) Assistance Requirement.--The Secretary may not request that
equipment paid for, wholly or in part, with funds provided as a covered
grant be made available for responding to emergencies in surrounding
States, regions, and localities, unless the Secretary undertakes to pay
the costs directly attributable to transporting and operating such
equipment during such response.
``(d) Flexibility in Unspent Homeland Security Grant Funds.--Upon
request by the recipient of a covered grant, the Secretary may
authorize the grantee to transfer all or part of funds provided as the
covered grant from uses specified in the grant agreement to other uses
authorized under this section, if the Secretary determines that such
transfer is in the interests of homeland security.
``(e) State and Regional Responsibilities.--
``(1) Pass-through.--The Secretary shall require a
recipient of a covered grant that is a State to obligate or
otherwise make available to local governments, first
responders, and other local groups, to the extent required
under the State homeland security plan or plans specified in
the application for the grant, not less than 80 percent of the
grant funds, resources purchased with the grant funds having a
value equal to at least 80 percent of the amount of the grant,
or a combination thereof, by not later than the end of the 45-
day period beginning on the date the grant recipient receives
the grant funds.
``(2) Cost sharing.--
``(A) In general.--The Federal share of the costs
of an activity carried out with a covered grant to a
State or region awarded after the 2-year period
beginning on the date of the enactment of this section
shall not exceed 75 percent.
``(B) Interim rule.--The Federal share of the costs
of an activity carried out with a covered grant awarded
before the end of the 2-year period beginning on the
date of the enactment of this section shall be 100
percent.
``(C) In-kind matching.--Each recipient of a
covered grant may meet the matching requirement under
subparagraph (A) by making in-kind contributions of
goods or services that are directly linked with the
purpose for which the grant is made, including, but not
limited to, any necessary personnel overtime,
contractor services, administrative costs, equipment
fuel and maintenance, and rental space.
``(3) Certifications regarding distribution of grant funds
to local governments.--Any State that receives a covered grant
shall certify to the Secretary, by not later than 30 days after
the expiration of the period described in paragraph (1) with
respect to the grant, that the State has made available for
expenditure by local governments, first responders, and other
local groups the required amount of grant funds pursuant to
paragraph (1).
``(4) Report on homeland security spending.--Each recipient
of a covered grant shall submit a report to the Secretary not
later than 60 days after the end of each fiscal year. Each
recipient of a covered grant that is a region must
simultaneously submit its report to each State of which any
part is included in the region. Each report must include the
following:
``(A) The amount, ultimate recipients, and dates of
receipt of all funds received under the grant during
the previous fiscal year.
``(B) The amount and the dates of disbursements of
all such funds expended in compliance with paragraph
(1) or pursuant to mutual aid agreements or other
sharing arrangements that apply within the State or
region, as applicable, during the previous fiscal year.
``(C) How the funds were utilized by each ultimate
recipient or beneficiary during the preceding fiscal
year.
``(D) The extent to which essential capabilities
identified in the applicable State homeland security
plan or plans were achieved or enhanced as the result
of the expenditure of grant funds during the preceding
fiscal year.
``(E) The extent to which essential capabilities
identified in the applicable State homeland security
plan or plans remain unmet.
``(5) Inclusion of restricted annexes.--A recipient of a
covered grant may submit to the Secretary an annex to the
report under paragraph (4) that is subject to appropriate
handling restrictions, if the recipient believes that
discussion in the report of unmet needs would reveal sensitive
but unclassified information.
``(6) Provision of reports.--The Secretary shall ensure
that each report under paragraph (4) is provided to the Under
Secretary for Emergency Preparedness and Response and the
Director of the Office for Domestic Preparedness.
``(f) Incentives to Efficient Administration of Homeland Security
Grants.--
``(1) Penalties for delay in passing through local share.--
If a recipient of a covered grant that is a State fails to pass
through to local governments, first responders, and other local
groups funds or resources required by subsection (e)(1) within
45 days after receiving funds under the grant, the Secretary
may--
``(A) reduce grant payments to the grant recipient
from the portion of grant funds that is not required to
be passed through under subsection (e)(1);
``(B) terminate payment of funds under the grant to
the recipient, and transfer the appropriate portion of
those funds directly to local first responders that
were intended to receive funding under that grant; or
``(C) impose additional restrictions or burdens on
the recipient's use of funds under the grant, which may
include--
``(i) prohibiting use of such funds to pay
the grant recipient's grant-related overtime or
other expenses;
``(ii) requiring the grant recipient to
distribute to local government beneficiaries
all or a portion of grant funds that are not
required to be passed through under subsection
(e)(1); or
``(iii) for each day that the grant
recipient fails to pass through funds or
resources in accordance with subsection (e)(1),
reducing grant payments to the grant recipient
from the portion of grant funds that is not
required to be passed through under subsection
(e)(1), except that the total amount of such
reduction may not exceed 20 percent of the
total amount of the grant.
``(2) Extension of period.--The Governor of a State may
request in writing that the Secretary extend the 45-day period
under paragraph (1) for an additional 15-day period. The
Secretary may approve such a request, and may extend such
period for additional 15-day periods, if the Secretary
determines that the resulting delay in providing grant funding
to the local government entities that will receive funding
under the grant will not have a significant detrimental impact
on such entities' terrorism preparedness efforts.
``(3) Provision of non-local share to local government.--
``(A) In general.--The Secretary may upon request
by a local government pay to the local government a
portion of the amount of a covered grant awarded to a
State in which the local government is located, if--
``(i) the local government will use the
amount paid to expedite planned enhancements to
its terrorism preparedness as described in any
applicable State homeland security plan or
plans;
``(ii) the State has failed to pass through
funds or resources in accordance with
subsection (e)(1); and
``(iii) the local government complies with
subparagraphs (B) and (C).
``(B) Showing required.--To receive a payment under
this paragraph, a local government must demonstrate
that--
``(i) it is identified explicitly as an
ultimate recipient or intended beneficiary in
the approved grant application;
``(ii) it was intended by the grantee to
receive a severable portion of the overall
grant for a specific purpose that is identified
in the grant application;
``(iii) it petitioned the grantee for the
funds or resources after expiration of the
period within which the funds or resources were
required to be passed through under subsection
(e)(1); and
``(iv) it did not receive the portion of
the overall grant that was earmarked or
designated for its use or benefit.
``(C) Effect of payment.--Payment of grant funds to
a local government under this paragraph--
``(i) shall not affect any payment to
another local government under this paragraph;
and
``(ii) shall not prejudice consideration of
a request for payment under this paragraph that
is submitted by another local government.
``(D) Deadline for action by secretary.--The
Secretary shall approve or disapprove each request for
payment under this paragraph by not later than 15 days
after the date the request is received by the
Department.
``(g) Reports to Congress.--The Secretary shall submit an annual
report to the Congress by December 31 of each year--
``(1) describing in detail the amount of Federal funds
provided as covered grants that were directed to each State and
region in the preceding fiscal year;
``(2) containing information on the use of such grant funds
by grantees; and
``(3) describing, on a nationwide and State-by-State
basis--
``(A) the extent to which essential capabilities
identified in applicable State homeland security plan
or plans were created or enhanced as the result of the
expenditure of covered grant funds during the preceding
fiscal year;
``(B) the extent to which essential capabilities
identified in applicable State homeland security plan
or plans remain unmet; and
``(C) an estimate of the amount of Federal, State,
and local expenditures required to attain across the
United States the essential capabilities established
under section 1802(a).

``SEC. 1806. NATIONAL STANDARDS FOR FIRST RESPONDER EQUIPMENT AND
TRAINING.

``(a) Equipment Standards.--
``(1) In general.--The Secretary, in consultation with the
Under Secretary for Science and Technology and the Director of
the Office for Domestic Preparedness, shall, not later than 6
months after the date of enactment of this section, support the
development of, promulgate, and update as necessary national
voluntary consensus standards for the performance, use, and
validation of first responder equipment for purposes of section
1804(e)(6). Such standards--
``(A) shall be, to the maximum extent practicable,
consistent with any existing voluntary consensus
standards;
``(B) shall take into account, as appropriate, new
types of terrorism threats that may not have been
contemplated when such existing standards were
developed; and
``(C) shall be focused on maximizing
interoperability, interchangeability, durability,
flexibility, efficiency, efficacy, portability,
sustainability, and safety.
``(2) Required categories.--In carrying out paragraph (1),
the Secretary shall specifically consider the following
categories of first responder equipment:
``(A) Thermal imaging equipment.
``(B) Radiation detection and analysis equipment.
``(C) Biological detection and analysis equipment.
``(D) Chemical detection and analysis equipment.
``(E) Decontamination and sterilization equipment.
``(F) Personal protective equipment, including
garments, boots, gloves, and hoods and other protective
clothing.
``(G) Respiratory protection equipment.
``(H) Interoperable communications, including
wireless and wireline voice, video, and data networks.
``(I) Explosive mitigation devices and explosive
detection and analysis equipment.
``(J) Containment vessels.
``(K) Contaminant-resistant vehicles.
``(L) Such other equipment for which the Secretary
determines that national voluntary consensus standards
would be appropriate.
``(b) Training Standards.--
``(1) In general.--The Secretary, in consultation with the
Under Secretaries for Emergency Preparedness and Response and
Science and Technology and the Director of the Office for
Domestic Preparedness, shall support the development of,
promulgate, and regularly update as necessary national
voluntary consensus standards for first responder training
carried out with amounts provided under covered grant programs,
that will enable State and local government first responders to
achieve optimal levels of terrorism preparedness as quickly as
practicable. Such standards shall give priority to providing
training to--
``(A) enable first responders to prevent, prepare
for, respond to, and mitigate terrorist threats,
including threats from chemical, biological, nuclear,
and radiological weapons and explosive devices capable
of inflicting significant human casualties; and
``(B) familiarize first responders with the proper
use of equipment, including software, developed
pursuant to the standards established under subsection
(a).
``(2) Required categories.--In carrying out paragraph (1),
the Secretary specifically shall include the following
categories of first responder activities:
``(A) Regional planning.
``(B) Joint exercises.
``(C) Intelligence collection, analysis, and
sharing.
``(D) Emergency notification of affected
populations.
``(E) Detection of biological, nuclear,
radiological, and chemical weapons of mass destruction.
``(F) Such other activities for which the Secretary
determines that national voluntary consensus training
standards would be appropriate.
``(c) Consultation With Standards Organizations.--In establishing
national voluntary consensus standards for first responder equipment
and training under this section, the Secretary shall consult with
relevant public and private sector groups, including--
``(1) the National Institute of Standards and Technology;
``(2) the National Fire Protection Association;
``(3) the National Association of County and City Health
Officials;
``(4) the Association of State and Territorial Health
Officials;
``(5) the American National Standards Institute;
``(6) the National Institute of Justice;
``(7) the Inter-Agency Board for Equipment Standardization
and Interoperability;
``(8) the National Public Health Performance Standards
Program;
``(9) the National Institute for Occupational Safety and
Health;
``(10) ASTM International; and
``(11) to the extent the Secretary considers appropriate,
other national voluntary consensus standards development
organizations, other interested Federal, State, and local
agencies, and other interested persons.

``SEC. 1807. DEFINITIONS.

``In this title:
``(1) Board.--The term `Board' means the First Responder
Grants Board established under section 1804(f).
``(2) Covered grant.--The term `covered grant' means any
grant to which this title applies under section 1801.
``(3) Elevations in the threat alert level.--The term
`elevations in the threat alert level' means any designation
(including those that are less than national in scope) that
raises the homeland security threat level to either the highest
or second highest threat level under the Homeland Security
Advisory System referred to in section 201(d)(7).
``(4) Essential capabilities.--The term `essential
capabilities' means the levels, availability, and competence of
emergency personnel, planning, training, and equipment across a
variety of disciplines needed to effectively and efficiently
prevent, prepare for, and respond to acts of terrorism
consistent with established practices.
``(5) Region.--The term `region' means--
``(A) any geographic area consisting of all or
parts of 2 or more contiguous States, counties,
municipalities, or other local governments that have a
combined population of at least 1,650,000 or have an
area of not less than 20,000 square miles, and that,
for purposes of an application for a covered grant, is
represented by 1 or more governments or governmental
agencies within such geographic area, and that is
established by law or by agreement of 2 or more such
governments or governmental agencies in a mutual aid
agreement; or
``(B) any other combination of contiguous local
government units (including such a combination
established by law or agreement of two or more
governments or governmental agencies in a mutual aid
agreement) that is formally certified by the Secretary
as a region for purposes of this Act with the consent
of--
``(i) the State or States in which they are
located, including a multi-State entity
established by a compact between two or more
States; and
``(ii) the incorporated municipalities,
counties, and parishes which they encompass.
``(6) Task force.--The term `Task Force' means the Task
Force on Essential Capabilities for First Responders
established under section 1803.
``(7) First responder.--The term `first responder' shall
have the same meaning as the term `emergency response
provider'.''.
(b) Definition of Emergency Response Providers.--Section 2(6) of
the Homeland Security Act of 2002 (Public Law 107-296; 6 U.S.C. 101(6))
is amended by inserting ``fire,'' after ``law enforcement,''.
(c) Temporary Limitation on Application.--The following provisions
of title XVIII of the Homeland Security Act of 2002, as amended by
subsection (a), shall not apply during the 2 year period beginning on
the date of the enactment of this Act:
(1) Subsections (b), (c), (e) (except paragraph (5) of such
subsection), and (f)(3)(B) of section 1804.
(2) Subparagraphs (D) and (E) of section 1805(e)(4).
(3) Section 1805(g)(3).

SEC. 4. MODIFICATION OF HOMELAND SECURITY ADVISORY SYSTEM.

(a) In General.--Subtitle A of title II of the Homeland Security
Act of 2002 (Public Law 107-296; 6 U.S.C. 121 et seq.) is amended by
adding at the end the following:

``SEC. 203. HOMELAND SECURITY ADVISORY SYSTEM.

``(a) In General.--The Secretary shall revise the Homeland Security
Advisory System referred to in section 201(d)(7) to require that any
designation of a threat level or other warning shall be accompanied by
a designation of the geographic regions or economic sectors to which
the designation applies.
``(b) Reports.--The Secretary shall report to the Congress annually
by not later than December 31 each year regarding the geographic
region-specific warnings and economic sector-specific warnings issued
during the preceding fiscal year under the Homeland Security Advisory
System referred to in section 201(d)(7), and the bases for such
warnings. The report shall be submitted in unclassified form and may,
as necessary, include a classified annex.''.
(b) Clerical Amendment.--The table of contents in section 1(b) of
the Homeland Security Act of 2002 (6 U.S.C. 101 et seq.) is amended by
inserting after the item relating to section 202 the following:

``203. Homeland Security Advisory System.''.

SEC. 5. COORDINATION OF INDUSTRY EFFORTS.

Section 102(f) of the Homeland Security Act of 2002 (Public Law
107-296; 6 U.S.C. 112(f)) is amended by striking ``and'' after the
semicolon at the end of paragraph (6), by striking the period at the
end of paragraph (7) and inserting ``; and'', and by adding at the end
the following:
``(8) coordinating industry efforts to identify private
sector resources and capabilities that could be effective in
supplementing Federal, State, and local government agency
efforts to prevent or respond to a terrorist attack.''.

SEC. 6. SUPERSEDED PROVISION.

This Act supersedes section 1014 of Public Law 107-56.

SEC. 7. SENSE OF CONGRESS REGARDING INTEROPERABLE COMMUNICATIONS.

(a) Finding.--The Congress finds that--
(1) many first responders working in the same jurisdiction
or in different jurisdictions cannot effectively and
efficiently communicate with one another, and
(2) their inability to do so threatens the public's safety
and may result in unnecessary loss of lives and property.
(b) Sense of Congress.--It is the sense of the Congress that it is
of national importance that interoperable emergency communications
systems that to the extent possible meet national voluntary consensus
standards should be developed and promulgated as soon as practicable
for use by the first responder community.

SEC. 8. SENSE OF CONGRESS REGARDING CITIZEN CORPS COUNCILS.

(a) Finding.--The Congress finds that Citizen Corps councils help
to enhance local citizen participation in terrorism preparedness by
coordinating multiple Citizen Corps programs, developing community
action plans, assessing possible threats, and identifying local
resources.
(b) Sense of Congress.--It is the sense of the Congress that
individual Citizen Corps councils should seek to enhance the
preparedness and response capabilities of all organizations
participating in the councils, including by providing funding to as
many of their participating organizations as practicable to promote
local terrorism preparedness programs.

SEC. 9. STUDY REGARDING NATIONWIDE EMERGENCY NOTIFICATION SYSTEM.

(a) Study.--The Secretary of Homeland Security, in consultation
with the heads of other appropriate Federal agencies and
representatives of providers and participants in the telecommunications
industry, shall conduct a study to determine whether it is cost-
effective, efficient, or feasible to establish and implement an
emergency telephonic alert notification system that will--
(1) alert persons in the United States of imminent or
current hazardous events caused by acts of terrorism; and
(2) provide information to individuals regarding
appropriate measures that may be undertaken to alleviate or
minimize threats to their safety and welfare posed by such
events.
(b) Technologies to Consider.--In conducting the study, the
Secretary shall consider the use of the telephone, wireless
communications, and other existing communications networks to provide
such notification.
(c) Report.--Not later than 9 months after the date of the
enactment of this Act, the Secretary shall submit to the Congress a
report regarding the conclusions of the study.

SEC. 10. AUTHORIZATION OF APPROPRIATIONS.

For making covered grants (as that term is defined in section 1807
of the Homeland Security Act of 2002, as amended by this Act) there is
authorized to be appropriated to the Secretary of Homeland Security
$3,400,000,000 for fiscal year 2006.

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

(a) Short Title.--This Act may be cited as the ``Faster and Smarter
Funding for First Responders Act of 2004''.
(b) Table of Contents.--The table of contents for this Act is as
follows:

Sec. 1. Short title; table of contents.
Sec. 2. Findings.
Sec. 3. Faster and Smarter Funding for First Responders.
``TITLE XVIII--FUNDING FOR FIRST RESPONDERS

``1801. Faster and smarter funding for first responders.
``1802. Essential capabilities for first responders.
``1803. Covered grant eligibility and criteria.
``1804. Use of funds and accountability requirements.
``1805. National standards for first responder equipment and
training.
``1806. Definitions.
Sec. 4. Modification of Homeland Security Advisory System.
``Sec. 203. Homeland Security Advisory System.
Sec. 5. Coordination of industry efforts.
Sec. 6. Superseded provision.
Sec. 7. Sense of Congress regarding interoperable communications.
Sec. 8. Sense of Congress regarding Citizen Corps councils.
Sec. 9. Study regarding nationwide emergency notification system.
Sec. 10. Authorization of appropriations.

SEC. 2. FINDINGS.

The Congress finds the following:
(1) In order to achieve its objective of minimizing the
damage, and assisting in the recovery, from terrorist attacks,
the Department of Homeland Security must play a leading role in
assisting communities to reach the level of preparedness they
need to respond to a terrorist attack.
(2) First responder funding is not reaching the men and
women of our Nation's first response teams quickly enough, and
sometimes not at all.
(3) To reform the current bureaucratic process so that
homeland security dollars reach the first responders who need
it most, it is necessary to clarify and consolidate the
authority and procedures of the Department of Homeland Security
to support first responders.
(4) Ensuring adequate resources for the new national
mission of homeland security requires a discrete and separate
grant making process for homeland security funds for first
response to terrorist acts, on the one hand, and for first
responder programs designed to meet pre-9/11 priorities, on the
other.
(5) Homeland security grants to first responders must be
based on the best intelligence concerning the capabilities and
intentions of our terrorist enemies, and that intelligence must
be used to target resources to the Nation's greatest risks,
vulnerabilities, and consequences.
(6) The Nation's first response capabilities will be
improved by sharing resources, training, planning, personnel,
and equipment among neighboring jurisdictions through mutual
aid agreements and regional cooperation. Such regional
cooperation should be supported, where appropriate, through
direct grants from the Department of Homeland Security.
(7) An essential prerequisite to achieving the Nation's
homeland security objectives for first responders is the
establishment of well-defined national goals for terrorism
preparedness. These goals should delineate the essential
capabilities that every jurisdiction in the United States
should possess or to which it should have access.
(8) A national determination of essential capabilities is
needed to identify levels of State and local government
terrorism preparedness, to determine the nature and extent of
State and local first responder needs, to identify the human
and financial resources required to fulfill them, and to direct
funding to meet those needs and to measure preparedness levels
on a national scale.
(9) To facilitate progress in attaining essential
capabilities for State and local first responders, the
Department of Homeland Security should seek to allocate
homeland security funding for first responders to meet
nationwide needs.
(10) Private sector resources and citizen volunteers can
perform critical functions in assisting in preventing and
responding to terrorist attacks, and should be integrated into
State and local planning efforts to ensure that their
capabilities and roles are understood, so as to provide
enhanced State and local operational capability and surge
capacity.
(11) Public-private partnerships, such as the partnerships
between the Business Executives for National Security and the
States of New Jersey and Georgia, can be useful to identify and
coordinate private sector support for State and local first
responders. Such models should be expanded to cover all States
and territories.
(12) An important component of national standards is
measurability, so that it is possible to determine how prepared
a State or local government is now, and what additional steps
it needs to take, in order to respond to acts of terrorism.
(13) The Department of Homeland Security should establish,
publish, and regularly update national voluntary consensus
standards for both equipment and training, in cooperation with
both public and private sector standard setting organizations,
to assist State and local governments in obtaining the
equipment and training to attain the essential capabilities for
first response to acts of terrorism, and to ensure that first
responder funds are spent wisely.

SEC. 3. FASTER AND SMARTER FUNDING FOR FIRST RESPONDERS.

(a) In General.--The Homeland Security Act of 2002 (Public Law 107-
296; 6 U.S.C. 361 et seq.) is amended--
(1) in section 1(b) in the table of contents by adding at
the end the following:

``TITLE XVIII--FUNDING FOR FIRST RESPONDERS

``1801. Faster and smarter funding for first responders.
``1802. Essential capabilities for first responders.
``1803. Covered grant eligibility and criteria.
``1804. Use of funds and accountability requirements.
``1805. National standards for first responder equipment and training.
``1806. Definitions.''; and
(2) by adding at the end the following:

``TITLE XVIII--FUNDING FOR FIRST RESPONDERS

``SEC. 1801. FASTER AND SMARTER FUNDING FOR FIRST RESPONDERS.

``(a) Covered Grants.--This title applies to any grant provided by
the Department to States or regions to improve the ability of first
responders to prevent, prepare for, respond to, or mitigate threatened
or actual terrorist attacks, especially those involving weapons of mass
destruction, and including any grant under the following:
``(1) State homeland security grant program.--The State
Homeland Security Grant Program of the Department, or any
successor to such grant program.
``(2) Urban area security initiative.--The Urban Area
Security Initiative of the Department, or any successor to such
grant program.
``(b) Excluded Programs.--This title does not apply to or otherwise
affect the following Federal grant programs or any grant under such a
program:
``(1) Nondepartment programs.--Any Federal grant program
that is not administered by the Department.
``(2) Fire grant programs.--The fire grant programs
authorized by sections 33 and 34 of the Federal Fire Prevention
and Control Act of 1974 (15 U.S.C. 2229, 2229a).
``(3) Emergency management planning and assistance account
grants.--The Emergency Management Performance Grant program and
the Urban Search and Rescue Grants program authorized by title
VI of the Robert T. Stafford Disaster Relief and Emergency
Assistance Act (42 U.S.C. 5195 et seq.); the Departments of
Veterans Affairs and Housing and Urban Development, and
Independent Agencies Appropriations Act, 2000 (113 Stat. 1047
et seq.); and the Earthquake Hazards Reduction Act of 1977 (42
U.S.C. 7701 et seq.).

``SEC. 1802. ESSENTIAL CAPABILITIES FOR FIRST RESPONDERS.

``(a) Establishment of Essential Capabilities.--
``(1) In general.--For purposes of covered grants, the
Secretary shall establish clearly defined essential
capabilities for State and local government preparedness for
terrorism, in consultation with--
``(A) the Under Secretaries for Emergency
Preparedness and Response, Border and Transportation
Security, Information Analysis and Infrastructure
Protection, and Science and Technology, and the
Director of the Office for Domestic Preparedness;
``(B) other appropriate Federal agencies;
``(C) State and local first responder agencies and
officials; and
``(D) groups responsible for setting standards
relevant to the first responder community.
``(2) Deadlines.--The Secretary shall--
``(A) establish essential capabilities under
paragraph (1) not later than 120 days after the date of
the enactment of this section; and
``(B) regularly update such essential capabilities
as necessary, but not less than every 3 years.
``(3) Provision of essential capabilities.--The Secretary
shall ensure that essential capabilities established under
paragraph (1) are provided promptly to the States and to the
Congress. The States shall make the essential capabilities
available as necessary and appropriate to local governments
within their jurisdictions.
``(b) Objectives.--The Secretary shall ensure that essential
capabilities established under subsection (a)(1) meet the following
objectives:
``(1) Specificity.--The determination of essential
capabilities specifically shall describe the training,
planning, personnel, and equipment that different types of
communities in the Nation should possess, or to which they
should have access, in order to meet the Department's goals for
terrorism preparedness based upon--
``(A) the most current risk assessment available by
the Directorate for Information Analysis and
Infrastructure Protection of the threats of terrorism
against the United States; and
``(B) the types of threats, vulnerabilities,
geography, size, and other factors that the Secretary
has determined to be applicable to each different type
of community.
``(2) Flexibility.--The establishment of essential
capabilities shall be sufficiently flexible to allow State and
local government officials to set priorities based on
particular needs, while reaching nationally determined
terrorism preparedness levels within a specified time period.
``(3) Measurability.--The establishment of essential
capabilities shall be designed to enable measurement of
progress towards specific terrorism preparedness goals.
``(c) Threats to Be Considered.--
``(1) In general.--In establishing essential capabilities
under subsection (a)(1), the Secretary specifically shall
consider the variables of threat, vulnerability, and
consequences with respect to the Nation's population (including
transient commuting and tourist populations) and critical
infrastructure. Such consideration shall be based upon the most
current risk assessment available by the Directorate for
Information Analysis and Infrastructure Protection of the
threats of terrorism against the United States.
``(2) Critical infrastructure sectors.--The Secretary
specifically shall consider threats of terrorism against the
following critical infrastructure sectors in all areas of the
Nation, urban and rural:
``(A) Agriculture.
``(B) Banking and finance.
``(C) Chemical industries.
``(D) The defense industrial base.
``(E) Emergency services.
``(F) Energy.
``(G) Food.
``(H) Government.
``(I) Postal and shipping.
``(J) Public health.
``(K) Information and telecommunications networks.
``(L) Transportation.
``(M) Water.
The order in which the critical infrastructure sectors are
listed in this paragraph shall not be construed as an order of
priority for consideration of the importance of such sectors.
``(3) Consideration of additional threats.--In establishing
essential capabilities under subsection (a)(1), the Secretary
shall take into account any other specific threat to a
population (including a transient commuting or tourist
population) or critical infrastructure sector that the
Secretary has determined to exist.

``SEC. 1803. COVERED GRANT ELIGIBILITY AND CRITERIA.

``(a) Grant Eligibility.--Any State or region shall be eligible to
apply for a covered grant.
``(b) Grant Criteria.--In awarding covered grants, the Secretary
shall assist States and local governments in achieving the essential
capabilities for first responders established by the Secretary under
section 1802.
``(c) State Homeland Security Plans.--
``(1) Submission of plans.--The Secretary shall require
that any State applying to the Secretary for a covered grant
must submit to the Secretary a 3-year State homeland security
plan that--
``(A) demonstrates the extent to which the State
has achieved the essential capabilities that apply to
the State;
``(B) demonstrates the additional needs of the
State necessary to achieve the essential capabilities
that apply to the State;
``(C) includes a prioritization of such additional
needs based on threat, vulnerability, and consequence
assessment factors applicable to the State;
``(D) describes how the State intends--
``(i) to address such additional needs at
the city, county, regional, State, and
interstate level;
``(ii) to use all Federal, State, and local
resources available for the purpose of
addressing such additional needs; and
``(iii) to give particular emphasis to
regional planning and cooperation, both within
its jurisdictional borders and with neighboring
States; and
``(E) is developed in consultation with and subject
to appropriate comment by local governments within the
State.
``(2) Approval by secretary.--The Secretary may not award
any covered grant to a State unless the Secretary has approved
the applicable State homeland security plan.
``(d) Consistency With State Plans.--The Secretary shall ensure
that each covered grant is used to supplement and support, in a
consistent and coordinated manner, the applicable State homeland
security plan or plans.
``(e) Application for Grant.--
``(1) In general.--Any State or region may apply for a
covered grant by submitting to the Secretary an application at
such time, in such manner, and containing such information as
is required under this subsection, or as the Secretary may
reasonably require.
``(2) Deadlines for applications and awards.--All
applications for covered grants must be submitted to the
Secretary no later than February 15 of the fiscal year for
which they are submitted. The Secretary shall award covered
grants pursuant to all approved applications for such fiscal
year as soon as practicable, but not later than July 31 of such
year.
``(3) Availability of funds.--All funds awarded by the
Secretary under covered grants in a fiscal year shall be
available for obligation through the end of the subsequent
fiscal year.
``(4) Minimum contents of application.--The Secretary shall
require that each applicant include in its application, at a
minimum--
``(A) the purpose for which the applicant seeks
covered grant funds and the reasons why the applicant
needs the covered grant to meet the essential
capabilities for terrorism preparedness within the
State or region to which the application pertains;
``(B) a description of how, by reference to the
applicable State homeland security plan or plans under
subsection (c), the allocation of grant funding
proposed in the application, including, where
applicable, the amount not passed through under section
1804(e)(1), would assist in fulfilling the essential
capabilities specified in such plan or plans;
``(C) a statement of whether a mutual aid agreement
applies to the use of all or any portion of the covered
grant funds;
``(D) if the applicant is a region--
``(i) a precise geographical description of
the region and a specification of all
participating and nonparticipating local
governments within the geographical area
comprising that region;
``(ii) a specification of what governmental
entity within the region will administer the
expenditure of funds under the covered grant;
and
``(iii) a designation of a specific
individual to serve as regional liaison;
``(E) a capital budget showing how the applicant
intends to allocate and expend the covered grant funds;
and
``(F) a statement of how the applicant intends to
meet the matching requirement, if any, that applies
under section 1804(e)(2).
``(5) Regional applications.--
``(A) Submission to state or states.--To ensure the
consistency required under subsection (d), an applicant
that is a region must simultaneously submit its
application to the Department and to each State of
which any part is included in the region.
``(B) Opportunity for state comment.--Before
awarding any covered grant to a region, the Secretary
shall provide an opportunity to each State of which any
part is included in a region, during the 30-day period
beginning on the date on which the region submits an
application for a covered grant, to comment to the
Secretary on the consistency of the region's plan with
the State's homeland security plan.
``(C) Final authority.--The Secretary shall have
final authority to determine the consistency of any
regional application with the applicable State homeland
security plan or plans and approve any regional
application. The Secretary shall notify each State of
which any part is included in a region of the approval
of a regional application for that region.
``(D) Regional liaisons.--A regional liaison
designated under paragraph (4)(D)(iii) shall--
``(i) coordinate with Federal, State,
local, regional, and private officials within
the region concerning terrorism preparedness;
``(ii) develop a process for receiving
input from Federal, State, local, regional, and
private sector officials within the region to
assist in the development of the regional
application and to improve the region's access
to covered grants; and
``(iii) administer, in consultation with
State, local, regional, and private officials
within the region, covered grants awarded to
the region.
``(6) Equipment standards.--If an applicant for a covered
grant proposes to upgrade or purchase, with assistance provided
under the grant, new equipment or systems that do not meet or
exceed any applicable national voluntary consensus standards
established by the Secretary under section 1805(a), the
applicant shall include in the application an explanation of
why such equipment or systems will serve the needs of the
applicant better than equipment or systems that meet or exceed
such standards.
``(f) First Responder Grants Board.--
``(1) Establishment of board.--The Secretary shall
establish a First Responder Grants Board, consisting of--
``(A) the Secretary;
``(B) the Under Secretary for Emergency
Preparedness and Response;
``(C) the Under Secretary for Border and
Transportation Security;
``(D) the Under Secretary for Information Analysis
and Infrastructure Protection;
``(E) the Under Secretary for Science and
Technology; and
``(F) the Director of the Office for Domestic
Preparedness.
``(2) Chairman.--
``(A) In general.--The Secretary shall be the
Chairman of the Board.
``(B) Exercise of authorities by deputy
secretary.--The Deputy Secretary of Homeland Security
may exercise the authorities of the Chairman, if the
Secretary so directs.
``(3) Ranking of grant applications.--
``(A) Prioritization of grants.--The Board shall
evaluate and annually prioritize all pending
applications for covered grants based upon the degree
to which they would lessen the threat to, vulnerability
of, and consequences for persons and critical
infrastructure.
``(B) Achieving nationwide capability.--In
evaluating and prioritizing grant applications under
subparagraph (A), the Board shall--
``(i) seek to achieve and enhance essential
capabilities throughout the Nation; and
``(ii) seek to allocate a portion of the
funds available for covered grants each fiscal
year for the purpose of making covered grants
to each approved applicant that the Board
determines has demonstrated a valid need in its
application.
``(4) Functions of under secretaries.--The Under
Secretaries referred to in paragraph (1) shall seek to ensure
that the relevant expertise and input of the staff of their
directorates are available to and considered by the Board.

``SEC. 1804. USE OF FUNDS AND ACCOUNTABILITY REQUIREMENTS.

``(a) In General.--A covered grant may be used for--
``(1) purchasing or upgrading equipment, including computer
software, to enhance terrorism preparedness and response;
``(2) exercises to strengthen terrorism preparedness and
response;
``(3) training for prevention (including detection) of,
preparedness for, or response to attacks involving weapons of
mass destruction, including training in the use of equipment
and computer software;
``(4) developing or updating response plans;
``(5) establishing or enhancing mechanisms for sharing
terrorism threat information pursuant to this Act;
``(6) systems architecture and engineering, program
planning and management, strategy formulation and strategic
planning, life-cycle systems design, product and technology
evaluation, and prototype development for terrorism
preparedness and response purposes;
``(7) additional personnel costs resulting from--
``(A) elevations in the threat alert level of the
Homeland Security Advisory System;
``(B) travel to and participation in exercises and
training in the use of equipment and on prevention
activities; and
``(C) the temporary replacement of personnel during
any period of travel to and participation in exercises
and training in the use of equipment and on prevention
activities;
``(8) the costs of equipment (including software) required
to receive, transmit, handle, and store classified information;
``(9) enhancing facilities to serve as operations centers,
or hardening critical infrastructure against potential attack
by the addition of barriers, fences, gates, and other such
devices;
``(10) the costs of commercially available interoperable
communications equipment (which, where applicable, is based on
national, voluntary consensus standards) that the Secretary, in
consultation with the Chairman of the Federal Communications
Commission, deems best suited to facilitate interoperability,
coordination, and integration between and among emergency
communications systems, and that complies with prevailing grant
guidance of the Department for interoperable communications;
``(11) educational curricula development for first
responders to ensure that they are prepared for terrorist
attacks;
``(12) training and exercises to assist public elementary
and secondary schools in developing and implementing programs
to instruct students regarding age-appropriate skills to
prepare for and respond to an act of terrorism; and
``(13) other appropriate activities as determined by the
Secretary.
``The costs of training described in this subsection include such costs
for full-time, part-time, and volunteer first responders.
``(b) Prohibited Uses.--Funds provided as a covered grant may not
be used--
``(1) to supplant State or local funds for, or otherwise
support, traditional missions of State and local law
enforcement, firefighters, emergency medical services, or
public health agencies, unless such support serves a dual
purpose and the funds are primarily intended to enhance
terrorism preparedness;
``(2) to construct buildings or other physical facilities;
``(3) to acquire land; or
``(4) for any State or local government cost sharing
contribution.
``(c) Assistance Requirement.--The Secretary may not request that
equipment paid for, wholly or in part, with funds provided as a covered
grant be made available for responding to emergencies in surrounding
States, regions, and localities, unless the Secretary undertakes to pay
the costs directly attributable to transporting and operating such
equipment during such response.
``(d) Flexibility in Unspent Homeland Security Grant Funds.--Upon
request by the recipient of a covered grant, the Secretary may
authorize the grantee to transfer all or part of funds provided as the
covered grant from uses specified in the grant agreement to other uses
authorized under this section, if the Secretary determines that such
transfer is in the interests of homeland security.
``(e) State and Regional Responsibilities.--
``(1) Pass-through.--The Secretary shall require a
recipient of a covered grant that is a State to obligate or
otherwise make available to local governments, first
responders, and other local groups, to the extent required
under the State homeland security plan or plans specified in
the application for the grant, not less than 80 percent of the
grant funds, resources purchased with the grant funds having a
value equal to at least 80 percent of the amount of the grant,
or a combination thereof, by not later than the end of the 45-
day period beginning on the date the grant recipient receives
the grant funds.
``(2) Cost sharing.--
``(A) In general.--The Federal share of the costs
of an activity carried out with a covered grant to a
State or region awarded after the 2-year period
beginning on the date of the enactment of this section
shall not exceed 75 percent.
``(B) Interim rule.--The Federal share of the costs
of an activity carried out with a covered grant awarded
before the end of the 2-year period beginning on the
date of the enactment of this section shall be 100
percent.
``(C) In-kind matching.--Each recipient of a
covered grant may meet the matching requirement under
subparagraph (A) by making in-kind contributions of
goods or services that are directly linked with the
purpose for which the grant is made, including, but not
limited to, any necessary personnel overtime,
contractor services, administrative costs, equipment
fuel and maintenance, and rental space.
``(3) Certifications regarding distribution of grant funds
to local governments.--Any State that receives a covered grant
shall certify to the Secretary, by not later than 30 days after
the expiration of the period described in paragraph (1) with
respect to the grant, that the State has made available for
expenditure by local governments, first responders, and other
local groups the required amount of grant funds pursuant to
paragraph (1).
``(4) Report on homeland security spending.--Each recipient
of a covered grant shall submit a report to the Secretary not
later than 60 days after the end of each fiscal year. Each
recipient of a covered grant that is a region must
simultaneously submit its report to each State of which any
part is included in the region. Each report must include the
following:
``(A) The amount, ultimate recipients, and dates of
receipt of all funds received under the grant during
the previous fiscal year.
``(B) The amount and the dates of disbursements of
all such funds expended in compliance with paragraph
(1) or pursuant to mutual aid agreements or other
sharing arrangements that apply within the State or
region, as applicable, during the previous fiscal year.
``(C) How the funds were utilized by each ultimate
recipient or beneficiary during the preceding fiscal
year.
``(D) The extent to which essential capabilities
identified in the applicable State homeland security
plan or plans were achieved or enhanced as the result
of the expenditure of grant funds during the preceding
fiscal year.
``(E) The extent to which essential capabilities
identified in the applicable State homeland security
plan or plans remain unmet.
``(5) Inclusion of restricted annexes.--A recipient of a
covered grant may submit to the Secretary an annex to the
report under paragraph (4) that is subject to appropriate
handling restrictions, if the recipient believes that
discussion in the report of unmet needs would reveal sensitive
but unclassified information.
``(6) Provision of reports.--The Secretary shall ensure
that each report under paragraph (4) is provided to the Under
Secretary for Emergency Preparedness and Response and the
Director of the Office for Domestic Preparedness.
``(f) Incentives to Efficient Administration of Homeland Security
Grants.--
``(1) Penalties for delay in passing through local share.--
If a recipient of a covered grant that is a State fails to pass
through to local governments, first responders, and other local
groups funds or resources required by subsection (e)(1) within
45 days after receiving funds under the grant, the Secretary
may--
``(A) reduce grant payments to the grant recipient
from the portion of grant funds that is not required to
be passed through under subsection (e)(1);
``(B) terminate payment of funds under the grant to
the recipient, and transfer the appropriate portion of
those funds directly to local first responders that
were intended to receive funding under that grant; or
``(C) impose additional restrictions or burdens on
the recipient's use of funds under the grant, which may
include--
``(i) prohibiting use of such funds to pay
the grant recipient's grant-related overtime or
other expenses;
``(ii) requiring the grant recipient to
distribute to local government beneficiaries
all or a portion of grant funds that are not
required to be passed through under subsection
(e)(1); or
``(iii) for each day that the grant
recipient fails to pass through funds or
resources in accordance with subsection (e)(1),
reducing grant payments to the grant recipient
from the portion of grant funds that is not
required to be passed through under subsection
(e)(1), except that the total amount of such
reduction may not exceed 20 percent of the
total amount of the grant.
``(2) Extension of period.--The Governor of a State may
request in writing that the Secretary extend the 45-day period
under paragraph (1) for an additional 15-day period. The
Secretary may approve such a request, and may extend such
period for additional 15-day periods, if the Secretary
determines that the resulting delay in providing grant funding
to the local government entities that will receive funding
under the grant will not have a significant detrimental impact
on such entities' terrorism preparedness efforts.
``(3) Provision of non-local share to local government.--
``(A) In general.--The Secretary may upon request
by a local government pay to the local government a
portion of the amount of a covered grant awarded to a
State in which the local government is located, if--
``(i) the local government will use the
amount paid to expedite planned enhancements to
its terrorism preparedness as described in any
applicable State homeland security plan or
plans;
``(ii) the State has failed to pass through
funds or resources in accordance with
subsection (e)(1); and
``(iii) the local government complies with
subparagraphs (B) and (C).
``(B) Showing required.--To receive a payment under
this paragraph, a local government must demonstrate
that--
``(i) it is identified explicitly as an
ultimate recipient or intended beneficiary in
the approved grant application;
``(ii) it was intended by the grantee to
receive a severable portion of the overall
grant for a specific purpose that is identified
in the grant application;
``(iii) it petitioned the grantee for the
funds or resources after expiration of the
period within which the funds or resources were
required to be passed through under subsection
(e)(1); and
``(iv) it did not receive the portion of
the overall grant that was earmarked or
designated for its use or benefit.
``(C) Effect of payment.--Payment of grant funds to
a local government under this paragraph--
``(i) shall not affect any payment to
another local government under this paragraph;
and
``(ii) shall not prejudice consideration of
a request for payment under this paragraph that
is submitted by another local government.
``(D) Deadline for action by secretary.--The
Secretary shall approve or disapprove each request for
payment under this paragraph by not later than 15 days
after the date the request is received by the
Department.
``(g) Reports to Congress.--The Secretary shall submit an annual
report to the Congress by December 31 of each year--
``(1) describing in detail the amount of Federal funds
provided as covered grants that were directed to each State and
region in the preceding fiscal year;
``(2) containing information on the use of such grant funds
by grantees; and
``(3) describing, on a nationwide and State-by-State
basis--
``(A) the extent to which essential capabilities
identified in applicable State homeland security plan
or plans were created or enhanced as the result of the
expenditure of covered grant funds during the preceding
fiscal year;
``(B) the extent to which essential capabilities
identified in applicable State homeland security plan
or plans remain unmet; and
``(C) an estimate of the amount of Federal, State,
and local expenditures required to attain across the
United States the essential capabilities established
under section 1802(a).

``SEC. 1805. NATIONAL STANDARDS FOR FIRST RESPONDER EQUIPMENT AND
TRAINING.

``(a) Equipment Standards.--
``(1) In general.--The Secretary, in consultation with the
Under Secretary for Science and Technology and the Director of
the Office for Domestic Preparedness, shall, not later than 6
months after the date of enactment of this section, support the
development of, promulgate, and update as necessary national
voluntary consensus standards for the performance, use, and
validation of first responder equipment for purposes of section
1803(e)(6). Such standards--
``(A) shall be, to the maximum extent practicable,
consistent with any existing voluntary consensus
standards;
``(B) shall take into account, as appropriate, new
types of terrorism threats that may not have been
contemplated when such existing standards were
developed; and
``(C) shall be focused on maximizing
interoperability, interchangeability, durability,
flexibility, efficiency, efficacy, portability,
sustainability, and safety.
``(2) Required categories.--In carrying out paragraph (1),
the Secretary shall specifically consider the following
categories of first responder equipment:
``(A) Thermal imaging equipment.
``(B) Radiation detection and analysis equipment.
``(C) Biological detection and analysis equipment.
``(D) Chemical detection and analysis equipment.
``(E) Decontamination and sterilization equipment.
``(F) Personal protective equipment, including
garments, boots, gloves, and hoods and other protective
clothing.
``(G) Respiratory protection equipment.
``(H) Interoperable communications, including
wireless and wireline voice, video, and data networks.
``(I) Explosive mitigation devices and explosive
detection and analysis equipment.
``(J) Containment vessels.
``(K) Contaminant-resistant vehicles.
``(L) Such other equipment for which the Secretary
determines that national voluntary consensus standards
would be appropriate.
``(b) Training Standards.--
``(1) In general.--The Secretary, in consultation with the
Under Secretaries for Emergency Preparedness and Response and
Science and Technology and the Director of the Office for
Domestic Preparedness, shall support the development of,
promulgate, and regularly update as necessary national
voluntary consensus standards for first responder training
carried out with amounts provided under covered grant programs,
that will enable State and local government first responders to
achieve optimal levels of terrorism preparedness as quickly as
practicable. Such standards shall give priority to providing
training to--
``(A) enable first responders to prevent, prepare
for, respond to, and mitigate terrorist threats,
including threats from chemical, biological, nuclear,
and radiological weapons and explosive devices capable
of inflicting significant human casualties; and
``(B) familiarize first responders with the proper
use of equipment, including software, developed
pursuant to the standards established under subsection
(a).
``(2) Required categories.--In carrying out paragraph (1),
the Secretary specifically shall include the following
categories of first responder activities:
``(A) Regional planning.
``(B) Joint exercises.
``(C) Intelligence collection, analysis, and
sharing.
``(D) Emergency notification of affected
populations.
``(E) Detection of biological, nuclear,
radiological, and chemical weapons of mass destruction.
``(F) Such other activities for which the Secretary
determines that national voluntary consensus training
standards would be appropriate.
``(c) Consultation With Standards Organizations.--In establishing
national voluntary consensus standards for first responder equipment
and training under this section, the Secretary shall consult with
relevant public and private sector groups, including--
``(1) the National Institute of Standards and Technology;
``(2) the National Fire Protection Association;
``(3) the National Association of County and City Health
Officials;
``(4) the Association of State and Territorial Health
Officials;
``(5) the American National Standards Institute;
``(6) the National Institute of Justice;
``(7) the Inter-Agency Board for Equipment Standardization
and Interoperability;
``(8) the National Public Health Performance Standards
Program;
``(9) the National Institute for Occupational Safety and
Health;
``(10) ASTM International;
``(11) the International Safety Equipment Association; and
``(12) to the extent the Secretary considers appropriate,
other national voluntary consensus standards development
organizations, other interested Federal, State, and local
agencies, and other interested persons.
``(d) Coordination with Secretary of HHS.--In establishing any
national voluntary consensus standards under this section for first
responder equipment or training that involve or relate to public health
professionals, including emergency medical professionals, the Secretary
shall coordinate activities under this section with the Secretary of
Health and Human Services.

``SEC. 1806. DEFINITIONS.

``In this title:
``(1) Board.--The term `Board' means the First Responder
Grants Board established under section 1803(f).
``(2) Covered grant.--The term `covered grant' means any
grant to which this title applies under section 1801.
``(3) Elevations in the threat alert level.--The term
`elevations in the threat alert level' means any designation
(including those that are less than national in scope) that
raises the homeland security threat level to either the highest
or second highest threat level under the Homeland Security
Advisory System referred to in section 201(d)(7).
``(4) Essential capabilities.--The term `essential
capabilities' means the levels, availability, and competence of
emergency personnel, planning, training, and equipment across a
variety of disciplines needed to effectively and efficiently
prevent, prepare for, and respond to acts of terrorism
consistent with established practices.
``(5) Region.--The term `region' means--
``(A) any geographic area consisting of all or
parts of 2 or more contiguous States, counties,
municipalities, or other local governments that have a
combined population of at least 1,650,000 or have an
area of not less than 20,000 square miles, and that,
for purposes of an application for a covered grant, is
represented by 1 or more governments or governmental
agencies within such geographic area, and that is
established by law or by agreement of 2 or more such
governments or governmental agencies in a mutual aid
agreement; or
``(B) any other combination of contiguous local
government units (including such a combination
established by law or agreement of two or more
governments or governmental agencies in a mutual aid
agreement) that is formally certified by the Secretary
as a region for purposes of this Act with the consent
of--
``(i) the State or States in which they are
located, including a multi-State entity
established by a compact between two or more
States; and
``(ii) the incorporated municipalities,
counties, and parishes which they encompass.
``(6) First responder.--The term `first responder' shall
have the same meaning as the term `emergency response
provider'.''.
(b) Definition of Emergency Response Providers.--Paragraph (6) of
section 2 of the Homeland Security Act of 2002 (Public Law 107-296; 6
U.S.C. 101(6)) is amended by striking ``includes'' and all that follows
and inserting ``includes Federal, State, and local governmental and
nongovernmental emergency public safety, law enforcement, fire,
emergency response, emergency medical (including hospital emergency
facilities), and related personnel, organizations, agencies, and
authorities.''.
(c) Temporary Limitation on Application.--The following provisions
of title XVIII of the Homeland Security Act of 2002, as amended by
subsection (a), shall not apply during the 2-year period beginning on
the date of the enactment of this Act:
(1) Subsections (b), (c), (e) (except paragraph (5) of such
subsection), and (f)(3)(B) of section 1803.
(2) Subparagraphs (D) and (E) of section 1804(e)(4).
(3) Section 1804(g)(3).

SEC. 4. MODIFICATION OF HOMELAND SECURITY ADVISORY SYSTEM.

(a) In General.--Subtitle A of title II of the Homeland Security
Act of 2002 (Public Law 107-296; 6 U.S.C. 121 et seq.) is amended by
adding at the end the following:

``SEC. 203. HOMELAND SECURITY ADVISORY SYSTEM.

``(a) In General.--The Secretary shall revise the Homeland Security
Advisory System referred to in section 201(d)(7) to require that any
designation of a threat level or other warning shall be accompanied by
a designation of the geographic regions or economic sectors to which
the designation applies.
``(b) Reports.--The Secretary shall report to the Congress annually
by not later than December 31 each year regarding the geographic
region-specific warnings and economic sector-specific warnings issued
during the preceding fiscal year under the Homeland Security Advisory
System referred to in section 201(d)(7), and the bases for such
warnings. The report shall be submitted in unclassified form and may,
as necessary, include a classified annex.''.
(b) Clerical Amendment.--The table of contents in section 1(b) of
the Homeland Security Act of 2002 (6 U.S.C. 101 et seq.) is amended by
inserting after the item relating to section 202 the following:

``203. Homeland Security Advisory System.''.

SEC. 5. COORDINATION OF INDUSTRY EFFORTS.

Section 102(f) of the Homeland Security Act of 2002 (Public Law
107-296; 6 U.S.C. 112(f)) is amended by striking ``and'' after the
semicolon at the end of paragraph (6), by striking the period at the
end of paragraph (7) and inserting ``; and'', and by adding at the end
the following:
``(8) coordinating industry efforts, with respect to
functions of the Department of Homeland Security, to identify
private sector resources and capabilities that could be
effective in supplementing Federal, State, and local government
agency efforts to prevent or respond to a terrorist attack.''.

SEC. 6. SUPERSEDED PROVISION.

This Act supersedes section 1014 of Public Law 107-56.

SEC. 7. SENSE OF CONGRESS REGARDING INTEROPERABLE COMMUNICATIONS.

(a) Finding.--The Congress finds that--
(1) many first responders working in the same jurisdiction
or in different jurisdictions cannot effectively and
efficiently communicate with one another; and
(2) their inability to do so threatens the public's safety
and may result in unnecessary loss of lives and property.
(b) Sense of Congress.--It is the sense of the Congress that
interoperable emergency communications systems and radios should
continue to be deployed as soon as practicable for use by the first
responder community, and that upgraded and new digital communications
systems and new digital radios must meet prevailing national, voluntary
consensus standards for interoperability.

SEC. 8. SENSE OF CONGRESS REGARDING CITIZEN CORPS COUNCILS.

(a) Finding.--The Congress finds that Citizen Corps councils help
to enhance local citizen participation in terrorism preparedness by
coordinating multiple Citizen Corps programs, developing community
action plans, assessing possible threats, and identifying local
resources.
(b) Sense of Congress.--It is the sense of the Congress that
individual Citizen Corps councils should seek to enhance the
preparedness and response capabilities of all organizations
participating in the councils, including by providing funding to as
many of their participating organizations as practicable to promote
local terrorism preparedness programs.

SEC. 9. STUDY REGARDING NATIONWIDE EMERGENCY NOTIFICATION SYSTEM.

(a) Study.--The Secretary of Homeland Security, in consultation
with the heads of other appropriate Federal agencies and
representatives of providers and participants in the telecommunications
industry, shall conduct a study to determine whether it is cost-
effective, efficient, or feasible to establish and implement an
emergency telephonic alert notification system that will--
(1) alert persons in the United States of imminent or
current hazardous events caused by acts of terrorism; and
(2) provide information to individuals regarding
appropriate measures that may be undertaken to alleviate or
minimize threats to their safety and welfare posed by such
events.
(b) Technologies to Consider.--In conducting the study, the
Secretary shall consider the use of the telephone, wireless
communications, and other existing communications networks to provide
such notification.
(c) Report.--Not later than 9 months after the date of the
enactment of this Act, the Secretary shall submit to the Congress a
report regarding the conclusions of the study.

SEC. 10. AUTHORIZATION OF APPROPRIATIONS.

(a) In General.--For the purpose of making covered grants (as that
term is defined in section 1806 of the Homeland Security Act of 2002,
as amended by this Act), there is authorized to be appropriated to the
Secretary of Homeland Security $3,400,000,000 for fiscal year 2006.
(b) Metropolitan Medical Response System.--In addition to the
purpose specified in subsection (a), the authorization of
appropriations in subsection (a) may be used for the Metropolitan
Medical Response System.

SECTION 1. SHORT TITLE.

This Act may be cited as the ``Faster and Smarter Funding for First
Responders Act of 2004''.

SEC. 2. FINDINGS.

Congress finds the following:
(1) The first responsibility of governments at all levels
is to protect the lives and property of their citizens.
(2) In order to achieve its objective of minimizing the
damage, and assisting in the recovery, from major disasters and
emergencies, including those caused by terrorist attacks, the
Department of Homeland Security must play a leading role in
assisting communities to reach the level of preparedness they
need to respond to a major disaster or emergency.
(3) An all-hazards preparedness program encourages
governments at all levels to develop flexible and consistent
plans to prevent, prepare for, mitigate against, respond to,
and recover from major disasters and emergencies, including
those caused by terrorist attacks.
(4) Since 1979, the United States has developed a
preparedness system that has enabled the Nation to effectively
address all disasters it has thus far faced.
(5) The United States must build upon this foundation to
better address acts of terrorism, particularly those involving
weapons of mass destruction, without degrading the ability to
face other types of disasters.
(6) The Nation's first response capabilities will be
improved by sharing resources, training, planning, personnel,
and equipment among neighboring jurisdictions through mutual
aid agreements and regional cooperation.
(7) Securing Indian reservations and tribal lands is an
important part of the overall goal of securing the American
homeland. Tribal governments should be encouraged to meet the
same national goals for preparedness as State and local
governments, and should be fully included in State and regional
preparedness plans. In order to achieve this goal, Indian
tribes should have an opportunity to work and coordinate with
States for the purposes of preparedness and funding.
(8) An essential prerequisite to achieving the Nation's
homeland security objectives for first responders is the
establishment of a well-defined national preparedness goal.
This goal should delineate the essential capabilities that
every jurisdiction in the United States should possess or to
which it should have access.
(9) A national determination of essential capabilities is
needed to identify levels of State and local government
preparedness, to determine the nature and extent of State and
local first responder needs, to identify the human and
financial resources required to fulfill them, and to direct
funding to meet those needs and to measure preparedness levels
on a national scale.
(10) Terrorists by their nature are unpredictable, and
therefore the Federal Government should support a strategy that
provides a basic level of preparedness to all States.
(11) Private sector resources and citizen volunteers can
perform critical functions in assisting in preventing and
responding to major disasters and emergencies, including those
caused by terrorist attacks, and should be integrated into
State and local planning efforts to ensure that their
capabilities and roles are understood, so as to provide
enhanced State and local operational capability and surge
capacity.
(12) An important component of national standards is
measurability, so that it is possible to determine how prepared
a State or local government is now, and what additional steps
it needs to take, in order to respond to major disasters and
emergencies, including those caused by terrorist attacks.
(13) The Department of Homeland Security should establish,
publish, and regularly update national voluntary consensus
standards for both equipment and training, in cooperation with
both public and private sector standard setting organizations,
to assist State and local governments in obtaining the
equipment and training needed to attain the essential
capabilities for first response to major disasters and
emergencies, including those caused by terrorist attacks, and
to ensure that first responder funds are spent wisely.

SEC. 3. DEFINITIONS.

(a) Definition of Major Disaster.--Section 102(2) of the Robert T.
Stafford Disaster Relief and Emergency Assistance Act (42 U.S.C.
5122(2)) is amended to read as follows:
``(2) Major disaster.--The term `major disaster' means any
natural catastrophe (including any hurricane, tornado, storm,
high water, winddriven water, tidal wave, tsunami, earthquake,
volcanic eruption, landslide, mudslide, snowstorm, or drought),
or, regardless of cause, any fire, flood, explosion, act of
terrorism, or other catastrophic event in any part of the
United States, which in the determination of the President
causes damage of sufficient severity and magnitude to warrant
major disaster assistance under this Act to supplement the
efforts and available resources of States, local governments,
and disaster relief organizations in alleviating the damage,
loss, hardship, or suffering caused thereby.''.
(b) Definition of Emergency Response Providers.--Section 2(6) of
the Homeland Security Act of 2002 (Public Law 107-296; 6 U.S.C. 101(6))
is amended by inserting ``fire,'' after ``law enforcement,''.

SEC. 4. NATIONAL PREPAREDNESS AND FUNDING FOR FIRST RESPONDERS.

(a) In General.--The Robert T. Stafford Disaster Relief and
Emergency Assistance Act (42 U.S.C. 5121 et seq.) is amended--
(1) by redesignating title VII as title VIII;
(2) by redesignating sections 701 through 705 as sections
801 through 805, respectively; and
(3) by inserting after title VI the following:

``TITLE VII--NATIONAL PREPAREDNESS AND FUNDING FOR FIRST RESPONDERS

``SEC. 701. PURPOSES.

``The purposes of this title are--
``(1) to prepare the United States to prevent, mitigate,
respond to, and recover from major disasters and emergencies,
including those caused by terrorist attacks;
``(2) to ensure federally funded preparedness efforts are
consistent with an all-hazards preparedness strategy;
``(3) to ensure effective coordination of Federal
preparedness efforts; and
``(4) to provide preparedness assistance to State and local
authorities in a timely manner and provide for accountability
with respect to the use of such assistance.

``SEC. 702. DEFINITIONS.

``In this title, the following definitions apply:
``(1) Covered grant.--The term `covered grant' means a
grant referred to in section 731.
``(2) Department.--The term `Department' means the
Department of Homeland Security.
``(3) Elevations in the threat alert level.--The term
`elevations in the threat alert level' means any designation
(including those that are less than national in scope) that
raises the homeland security threat level to either the highest
or second highest threat level under the Homeland Security
Advisory System referred to in section 201(d)(7) of the
Homeland Security Act of 2002 (6 U.S.C. 121(d)(7)).
``(4) Essential capabilities.--The term `essential
capabilities' means the levels, availability, and competence of
emergency personnel, planning, training, and equipment across a
variety of disciplines needed to effectively and efficiently
prevent, prepare for, and respond to major disasters and
emergencies, including those caused by terrorist attacks,
consistent with established practices.
``(5) First responder.--The term `first responder' has the
meaning such term has under section 2(6) of the Homeland
Security Act of 2002 (Public Law 107-296; 6 U.S.C. 101(6)).
``(6) Hazard.--The term `hazard' means an emergency or
disaster resulting from--
``(A) a natural disaster; or
``(B) an accidental or man-caused event, including
a domestic terrorist attack.
``(7) National preparedness goal.--The term `national
preparedness goal' means the national domestic all-hazards
preparedness goal developed under section 711.
``(8) Prevention.--The term `prevention' means activities
undertaken by the first responder community during the early
stages of an incident to reduce the likelihood or consequences
of threatened or actual terrorist attacks. The term does not
include more general and broader efforts to deter, disrupt, or
thwart terrorism.
``(9) Secretary.--The term `Secretary' means the Secretary
of Homeland Security.
``(10) Statewide preparedness strategy.--The term
`statewide preparedness strategy' means a statewide
comprehensive all-hazards preparedness strategy prepared under
section 714.
``(11) Weapon of mass destruction.--The term `weapon of
mass destruction' has the meaning such term has under section
1403 of the Defense Against Weapons of Mass Destruction Act of
1996 (50 U.S.C. 2302).

``Subtitle A--Preparedness Goals, Essential Capabilities, Standards,
and Strategies

``SEC. 711. NATIONAL PREPAREDNESS GOAL.

``(a) Development.--To help ensure the preparedness of the Nation
to prevent, respond to, and recover from major disasters and
emergencies, including those caused by terrorist attacks, the
Secretary, in coordination with the heads of other appropriate Federal
departments and agencies and in consultation with State and local
governments, shall develop a national domestic all-hazards preparedness
goal not later than February 28, 2005.
``(b) Elements.--
``(1) Readiness priorities and targets.--The national
preparedness goal shall establish measurable readiness
priorities and targets that appropriately balance the potential
threat and magnitude of major disasters and emergencies,
including those caused by terrorist attacks, with the resources
required to prevent, respond to, and recover from such
disasters and emergencies.
``(2) Readiness metrics and measures; assessment system.--
The national preparedness goal shall include--
``(A) readiness metrics and measures, including
standards for preparedness assessments and strategies;
and
``(B) a system for assessing the Nation's overall
preparedness to respond to major disasters and
emergencies, including those caused by terrorist
attacks.
``(3) National response plan and national incident
management system.--The national preparedness goal, to the
greatest extent practicable, shall be consistent with the
National Response Plan and National Incident Management System.
``(c) Activities of Federal Departments and Agencies.--Federal
departments and agencies shall work to achieve the national
preparedness goal by--
``(1) providing for effective, efficient, and timely
delivery of Federal preparedness assistance to State and local
governments; and
``(2) supporting efforts to ensure first responders are
prepared to respond to major disasters and emergencies,
including those caused by terrorist attacks.

``SEC. 712. ESSENTIAL CAPABILITIES FOR FIRST RESPONDERS.

``(a) Establishment of Guidance on Essential Capabilities.--
``(1) In general.--Not later than February 28, 2005, the
Secretary shall establish guidance that clearly defines the
essential capabilities for State and local government
preparedness for major disasters and emergencies, including
those caused by terrorist attacks.
``(2) Provision of essential capabilities.--The Secretary
shall ensure that the guidance is provided promptly to the
States and to Congress. The States shall make the guidance
available as necessary and appropriate to local governments
within their jurisdictions.
``(b) Objectives.--The Secretary shall ensure that the guidance
established under subsection (a)(1) meets the following objectives:
``(1) Specificity.--The guidance specifically shall
describe the training, planning, personnel, and equipment that
different types of communities in the Nation should possess, or
to which they should have access, in order to meet the
Department's national preparedness goals.
``(2) Flexibility.--The guidance shall be sufficiently
flexible to allow State and local government officials to set
priorities based on particular needs, while achieving
nationally determined preparedness levels within a specified
time period.
``(3) Measurability.--The guidance shall be designed to
enable measurement of progress towards specific preparedness
levels.
``(c) Threats To Be Considered.--
``(1) In general.--In establishing the guidance under
subsection (a)(1), the Secretary specifically shall consider
the variables of risk, threat, vulnerability, and consequences
with respect to the Nation's population (including transient
commuting and tourist populations) and critical infrastructure.
``(2) Critical infrastructure sectors.--In carrying out
paragraph (1), the Secretary specifically shall consider risks
to the following critical infrastructure sectors in all areas
of the Nation, urban and rural:
``(A) Agriculture.
``(B) Banking and finance.
``(C) Chemical industries.
``(D) The defense industrial base.
``(E) Emergency services.
``(F) Energy.
``(G) Food.
``(H) Government.
``(I) Information and telecommunications networks.
``(J) Postal and shipping.
``(K) Public health.
``(L) Transportation.
``(M) Water.
``(3) Consideration of additional threats.--In carrying out
paragraph (1), the Secretary shall take into account any other
specific threat to a population (including a transient
commuting or tourist population) or critical infrastructure
sector that the Secretary has determined to exist.

``SEC. 713. NATIONAL STANDARDS FOR FIRST RESPONDER EQUIPMENT AND
TRAINING.

``(a) Equipment Standards.--
``(1) In general.--The Secretary shall develop, promulgate,
and update as necessary national voluntary consensus standards
for first responder equipment intended for use in the field.
Such standards--
``(A) shall support nationwide interoperability and
other capabilities consistent with the national
preparedness goal, including the safety and health of
first responders;
``(B) shall be, to the maximum extent practicable,
consistent with any existing voluntary consensus
standards;
``(C) shall, to the maximum extent practicable,
utilize technologies already certified by other
departments and agencies of the United States;
``(D) shall take into account, as appropriate,
threats that may not have been contemplated when such
existing standards were developed; and
``(E) shall be focused on maximizing
interoperability, interchangeability, durability,
flexibility, efficiency, efficacy, portability,
sustainability, and safety.
``(2) Required categories.--In carrying out paragraph (1),
the Secretary shall specifically consider the following
categories of first responder equipment:
``(A) Thermal imaging equipment.
``(B) Radiation detection and analysis equipment.
``(C) Biological detection and analysis equipment.
``(D) Chemical detection and analysis equipment.
``(E) Decontamination and sterilization equipment.
``(F) Personal protective equipment, including
garments, boots, gloves, and hoods and other protective
clothing.
``(G) Respiratory protection equipment.
``(H) Interoperable communications, including
wireless and wireline voice, video, and data networks.
``(I) Explosive mitigation devices and explosive
detection and analysis equipment.
``(J) Containment vessels.
``(K) Contaminant-resistant vehicles.
``(L) Such other equipment for which the Secretary
determines that national voluntary consensus standards
would be appropriate.
``(3) Deadline.--The Secretary shall promulgate initial
standards under this subsection not later than September 30,
2005.
``(b) Training Standards.--
``(1) In general.--The Secretary shall support the
development of, promulgate, and regularly update as necessary
national voluntary consensus standards for first responder
training carried out with amounts provided under covered grant
programs that will enable State and local government first
responders to achieve optimal levels of preparedness as quickly
as practicable. Such standards shall give priority to providing
training in those areas where the Secretary has identified
significant need, including training--
``(A) to prevent, prepare for, respond to, and
mitigate threats from chemical, biological, and
radiological materials and explosive devices capable of
inflicting significant human casualties; and
``(B) to familiarize first responders with the
proper use of equipment, including software, developed
pursuant to the standards established under subsection
(a).
``(2) Required categories.--In carrying out paragraph (1),
the Secretary specifically shall include the following
categories of first responder activities:
``(A) Regional planning.
``(B) Joint exercises.
``(C) Intelligence collection, analysis, and
sharing.
``(D) Emergency notification of affected
populations.
``(E) Detection of biological, nuclear,
radiological, and chemical weapons of mass destruction.
``(F) Such other activities for which the Secretary
determines that national voluntary consensus training
standards would be appropriate.
``(3) Deadline.--The Secretary shall promulgate initial
standards under this subsection not later than September 30,
2005.
``(c) Consultation With Standards Organizations.--In establishing
national voluntary consensus standards for first responder equipment
and training under this section, the Secretary shall consult with
relevant public and private sector groups.

``SEC. 714. STATEWIDE PREPAREDNESS STRATEGIES.

``As a condition for receipt of a covered grant under subtitle B
after September 30, 2005, the Secretary shall require that a State
develop a statewide comprehensive all-hazards preparedness strategy
that--
``(1) is consistent with the national preparedness goal
and, as necessary, the State response plan;
``(2) demonstrates the extent to which the State has
achieved the essential capabilities that apply to the State;
``(3) demonstrates the additional needs of the State
necessary to achieve the essential capabilities that apply to
the State;
``(4) includes a prioritization of such additional needs
based on risk, threat, vulnerability, and consequence
assessment factors applicable to the State;
``(5) describes how the State intends--
``(A) to address such additional needs at the city,
county, tribal, regional, State, and interstate level;
``(B) to use all Federal, State, and local
resources available for the purpose of addressing such
additional needs; and
``(C) to give particular emphasis to regional
planning and cooperation, including the activities of
multi-jurisdictional planning agencies governed by
local officials, both within its jurisdictional borders
and with neighboring States; and
``(6) is developed in consultation with and subject to
appropriate comment by local, regional, and tribal governments
within the State.

``Subtitle B--Grant Programs

``SEC. 731. COVERED GRANTS.

``Under this subtitle, a covered grant is any grant under the
following:
``(1) State homeland security grant program.--The State
Homeland Security Grant Program of the Department or any
successor to such grant program.
``(2) Urban area security initiative.--The Urban Area
Security Initiative of the Department or any successor to such
grant program.

``SEC. 732. AWARD OF COVERED GRANTS.

``(a) Grant Eligibility.--Beginning in fiscal year 2006, any State
shall be eligible to apply for a covered grant.
``(b) Grant Criteria.--In awarding covered grants, the Secretary
shall carry out the national preparedness goal and assist State,
tribal, and local governments in achieving essential capabilities for
first responders in accordance with the guidance developed under
section 712.
``(c) Application for Grant.--
``(1) In general.--A State may apply for a covered grant by
submitting to the Secretary an application at such time, in
such manner, and containing such information as is required
under this subsection or as the Secretary may reasonably
require.
``(2) Minimum contents of application.--The Secretary shall
require that each State include in its application, at a
minimum--
``(A) a statewide preparedness strategy that has
been approved by the Secretary;
``(B) a description of the purpose for which the
State seeks covered grant funds and the reasons why the
State needs the covered grant to meet the essential
capabilities for preparedness within the State;
``(C) a description of how, by reference to the
State's statewide preparedness strategy, the allocation
of grant funding proposed in the application,
including, where applicable, the amount not passed
through under section 733(e)(1), would assist in
fulfilling the essential capabilities specified in such
strategy;
``(D) a statement of whether a mutual aid agreement
applies to the use of all or any portion of the covered
grant funds;
``(E) a capital budget showing how the State
intends to allocate and expend the covered grant funds;
and
``(F) a statement of how the State intends to meet
the matching requirement, if any, that applies under
section 733(e)(2).
``(3) Consistency with state plans.--The Secretary shall
ensure that each covered grant is used to supplement and
support, in a consistent and coordinated manner, the applicable
statewide preparedness strategy.
``(4) Equipment standards.--If a State proposes to upgrade
or purchase, with assistance provided under a covered grant,
new equipment or systems that do not meet or exceed any
applicable national voluntary consensus standard established by
the Secretary under section 713(a), the State shall include in
the application an explanation of why such equipment or systems
will serve the needs of the State better than equipment or
systems that meet or exceed such standards.
``(d) Deadline for Award.--The Secretary shall make final
determinations concerning the amount to be awarded to each State in
covered grants for a fiscal year and award the grants as soon as
practicable, but not later than June 30 of the fiscal year.
``(e) Allocation.--
``(1) Minimum amounts.--Of the total amount made available
for covered grants for a fiscal year, the Secretary shall
award--
``(A) to each State (other than a State referred to
in subparagraph (B)) not less than 0.55 percent; and
``(B) to each of the United States Virgin Islands,
Guam, American Samoa, and the Commonwealth of the
Northern Mariana Islands not less than 0.18 percent.
``(2) Allocation of remaining amounts.--In allocating
amounts that remain available for covered grants for a fiscal
year after setting aside amounts required under paragraph (1),
the Secretary shall prioritize applications based on the degree
to which a grant to a State will--
``(A) lessen the risk, threat, vulnerability, and
consequences of a major disaster or emergency,
including those caused by terrorist attacks, to persons
and critical infrastructure; and
``(B) enhance or achieve the essential capabilities
of first responders in the State in accordance with the
guidance developed under section 712.
``(3) Basis of allocations.--
``(A) Publication.--The Secretary shall publish
annually the basis on which funds are awarded under
paragraph (2).
``(B) Limitation on statutory construction.--
Nothing in this paragraph shall be construed as
requiring the Secretary to disclose any classified
information or other sensitive information.

``SEC. 733. USE OF FUNDS AND ACCOUNTABILITY REQUIREMENTS.

``(a) In General.--A covered grant may be used for--
``(1) purchasing commercially available equipment that
complies with, where applicable, national voluntary consensus
standards, and that facilitates interoperability, coordination,
and integration between emergency communications systems,
including--
``(A) mobile vehicles that contain equipment such
as commercial telephone trunk lines, VHF and UHF
radios, patch panels, and crosspatches, among other
technologies and equipment; and
``(B) communications system overlay software and
hardware that allow multiple disparate communications
networks to act as one network;
``(2) purchasing or upgrading equipment, including computer
software, to enhance preparedness and response;
``(3) conducting exercises to strengthen preparedness and
response;
``(4) training, including training for prevention or
detection of, preparedness for, or response to attacks
involving weapons of mass destruction, including training in
the use of equipment and computer software;
``(5) developing or updating response plans;
``(6) establishing or enhancing mechanisms for sharing
terrorism threat information;
``(7) developing systems architecture and engineering,
program planning and management, strategy formulation and
strategic planning, life-cycle systems design, product and
technology evaluation, and prototype development for
preparedness and response purposes;
``(8) paying the additional personnel costs resulting
from--
``(A) elevations in the threat alert level of the
Homeland Security Advisory System;
``(B) travel to and participation in exercises and
training in the use of equipment and on prevention
activities; and
``(C) the temporary replacement of personnel during
any period of travel to and participation in exercises
and training in the use of equipment and on prevention
activities;
``(9) paying the costs of equipment (including software)
required to receive, transmit, handle, and store classified
information;
``(10) constructing or enhancing facilities to serve as
emergency operations centers;
``(11) developing educational curricula for first
responders to ensure that they are prepared for all hazards;
``(12) implementing training and exercises to assist public
elementary and secondary schools in developing and implementing
programs to instruct students regarding age-appropriate skills
to prepare for and respond to an act of terrorism;
``(13) paying of administrative expenses directly related
to administration of the grant, but not to exceed 3 percent of
the amount of the grant; and
``(14) other appropriate activities as determined by the
Secretary.
``(b) Prohibited Uses.--Funds provided under covered grant may not
be used--
``(1) to supplant State, tribal, or local funds;
``(2) to construct buildings or other physical facilities,
except as provided in subsection (a)(10);
``(3) to acquire land; or
``(4) for any State, tribal, or local government cost
sharing contribution.
``(c) Assistance Requirement.--The Secretary may not request that
equipment paid for, wholly or in part, with funds provided under
covered grant be made available for responding to emergencies in
surrounding States, reservations and tribal lands regions, and
localities unless the Secretary undertakes to pay the costs directly
attributable to transporting and operating such equipment during such
response.
``(d) Flexibility in Unspent Grant Funds.--Upon request of a State,
the Secretary may authorize the State to transfer all or part of funds
provided under a covered grant from uses specified in the grant
agreement to other uses authorized under this section if the Secretary
determines that such transfer is in furtherance of the statewide
preparedness strategy.
``(e) State Responsibilities.--
``(1) Pass-through.--The Secretary shall require a State to
obligate or otherwise make available to tribal and local
governments, first responders, and other local groups, to the
extent required under the statewide preparedness strategy
specified in the application for the grant, not less than 80
percent of the grant funds or resources purchased with the
grant funds having a value equal to at least 80 percent of the
amount of the grant, or a combination thereof, as soon as
practicable but not later than 60 days after the date of
receipt of the grant funds by the State. A State shall provide
funds, or resources purchased with funds, made available under
section 732 directly to an Indian tribe.
``(2) Certifications regarding distribution of grant funds
to local governments.--Any State that receives a covered grant
shall certify to the Secretary that the State has made
available for expenditure by tribal and local governments,
first responders, and other local groups the required amount of
grant funds pursuant to paragraph (1).
``(3) Report on preparedness spending.--Each State shall
submit a report to the Secretary not later than 60 days after
the end of each fiscal year. Each report shall include the
following:
``(A) The amount, ultimate recipients, and dates of
receipt of all funds received under the grant during
the previous fiscal year.
``(B) The amount and the dates of disbursements of
all such funds expended in compliance with paragraph
(1) or pursuant to mutual aid agreements or other
sharing arrangements that apply within the State during
the previous fiscal year.
``(C) How the funds were utilized by each ultimate
recipient or beneficiary during the preceding fiscal
year.
``(D) The extent to which essential capabilities
identified in the State's statewide preparedness
strategy were achieved or enhanced as the result of the
expenditure of grant funds during the preceding fiscal
year.
``(E) The extent to which essential capabilities
identified in the State's statewide preparedness
strategy remain unmet.
``(4) Inclusion of restricted annexes.--A State may submit
to the Secretary an annex to the report under paragraph (3)
that is subject to appropriate handling restrictions, if the
State believes that discussion in the report of unmet needs
would reveal sensitive but unclassified information.
``(5) Provision of reports.--The Secretary shall ensure
that each report under paragraph (3) is provided to the Under
Secretary for Emergency Preparedness and Response and the
Director of the Office for Domestic Preparedness.
``(f) Cost sharing.--
``(1) In general.--The Federal share of the costs of an
activity carried out with a covered grant to a State awarded
after the 2-year period beginning on the date of the enactment
of this section shall not exceed 75 percent.
``(2) Interim rule.--
``(A) In general.--The Federal share of the costs
of an activity carried out with a covered grant awarded
before the end of the 2-year period beginning on the
date of the enactment of this section shall be 100
percent.
``(B) Limitation.--This paragraph shall not apply
to funds used for construction or enhancement of
facilities for emergency operations centers.
``(3) In-kind matching.--Each State may meet the matching
requirement under subparagraph (A) by making in-kind
contributions of goods or services that are directly linked
with the purpose for which the grant is made, including any
necessary personnel overtime, contractor services,
administrative costs, equipment fuel and maintenance, and
rental space.

``SEC. 734. RESTRICTIONS ON EXISTING PROGRAMS.

``Determinations on the allocation, award, and use of grants made
under the following programs shall be made in accordance with their
authorizing statutes and without priority given to terrorism
preparedness activities:
``(1) The fire grant programs authorized by sections 33 and
34 of the Federal Fire Prevention and Control Act of 1974 (15
U.S.C. 2229; 2229a).
``(2) The Emergency Management Performance Grant program
and the Urban Search and Rescue Grants program authorized by
title VI of this Act.
``(3) The Earthquake Hazards Reduction Act of 1977 (42
U.S.C. 7701 et seq.).

``SEC. 735. AUTHORIZATION OF APPROPRIATIONS.

For making covered grants under this subtitle, there is authorized
to be appropriated to the Secretary of Homeland Security $3,400,000,000
for fiscal year 2006, and such sums as may be necessary for each of
fiscal years 2007 through 2009.

``Subtitle C--Reporting and Other Requirements

``SEC. 751. REQUIRED COORDINATION.

``The Secretary shall ensure that there is effective and ongoing
coordination of Federal preparedness and response efforts for major
disasters and emergencies, including those caused by terrorist attacks,
among the divisions of the Department, including the Emergency
Preparedness and Response Directorate and the Office of State and Local
Government Preparedness and Coordination.

``SEC. 752. ANNUAL REPORTS TO CONGRESS.

``(a) In General.--Not later than September 30, 2005, and annually
thereafter, the Secretary shall transmit to Congress an annual report
on the Nation's level of preparedness, including State capabilities,
the readiness of Federal civil response assets, and the utilization of
mutual-aid agreements.
``(b) Contents.--Each report shall include--
``(1) an assessment of how the Federal first responder
preparedness assistance programs support the national
preparedness goal;
``(2) an estimate of the amount of Federal, State, tribal,
and local expenditures required to attain the essential
capabilities established under section 712(a);
``(3) a detailed description of the amount of Federal funds
provided as covered grants that were directed to each State in
the preceding fiscal year;
``(4) information on the use of such grant funds by
grantees; and
``(5) a description on a nationwide and State-by-State
basis--
``(A) the extent to which essential capabilities
identified in applicable statewide preparedness
strategy were created or enhanced as the result of the
expenditure of covered grant funds during the preceding
fiscal year; and
``(B) the extent to which essential capabilities
identified in applicable statewide preparedness
strategy remain unmet.
``(6) Use of quantifiable performance measurement.--Each
report shall be based on quantifiable performance
measurements.''.

SEC. 5. MODIFICATION OF HOMELAND SECURITY ADVISORY SYSTEM.

(a) In General.--Subtitle A of title II of the Homeland Security
Act of 2002 (Public Law 107-296; 6 U.S.C. 121 et seq.) is amended by
adding at the end the following:

``SEC. 203. HOMELAND SECURITY ADVISORY SYSTEM.

``(a) In General.--The Secretary shall revise the Homeland Security
Advisory System referred to in section 201(d)(7) to require that any
designation of a threat level or other warning shall be accompanied by
a designation of the geographic regions or economic sectors to which
the designation applies.
``(b) Reports.--The Secretary shall report to the Congress annually
by not later than December 31 each year regarding the geographic
region-specific warnings and economic sector-specific warnings issued
during the preceding fiscal year under the Homeland Security Advisory
System referred to in section 201(d)(7), and the bases for such
warnings. The report shall be submitted in unclassified form and may,
as necessary, include a classified annex.''.
(b) Clerical Amendment.--The table of contents in section 1(b) of
the Homeland Security Act of 2002 (6 U.S.C. 101 et seq.) is amended by
inserting after the item relating to section 202 the following:

``203. Homeland Security Advisory System.''.

SEC. 6. COORDINATION OF INDUSTRY EFFORTS.

Section 102(f) of the Homeland Security Act of 2002 (Public Law
107-296; 6 U.S.C. 112(f)) is amended by striking ``and'' after the
semicolon at the end of paragraph (6), by striking the period at the
end of paragraph (7) and inserting ``; and'', and by adding at the end
the following:
``(8) coordinating industry efforts to identify private
sector resources and capabilities that could be effective in
supplementing Federal, State, and local government agency
efforts to prevent or respond to a terrorist attack.''.

SEC. 7. SENSE OF CONGRESS REGARDING INTEROPERABLE COMMUNICATIONS.

(a) Finding.--The Congress finds that--
(1) many first responders working in the same jurisdiction
or in different jurisdictions cannot effectively and
efficiently communicate with one another; and
(2) their inability to do so threatens the public's safety
and may result in unnecessary loss of lives and property.
(b) Sense of Congress.--It is the sense of the Congress that it is
of national importance that interoperable emergency communications
systems that to the extent possible meet national voluntary consensus
standards should be developed and promulgated as soon as practicable
for use by the first responder community.

SEC. 8. SENSE OF CONGRESS REGARDING CITIZEN CORPS COUNCILS.

(a) Finding.--The Congress finds that Citizen Corps councils help
to enhance local citizen participation in terrorism preparedness by
coordinating multiple Citizen Corps programs, developing community
action plans, assessing possible threats, and identifying local
resources.
(b) Sense of Congress.--It is the sense of the Congress that
individual Citizen Corps councils should seek to enhance the
preparedness and response capabilities of all organizations
participating in the councils, including by providing funding to as
many of their participating organizations as practicable to promote
local terrorism preparedness programs.

SEC. 9. STUDY REGARDING NATIONWIDE EMERGENCY NOTIFICATION SYSTEM.

(a) Study.--The Secretary of Homeland Security, in consultation
with the heads of other appropriate Federal agencies and
representatives of providers and participants in the telecommunications
industry, shall conduct a study to determine whether it is cost-
effective, efficient, or feasible to establish and implement an
emergency telephonic alert notification system that will--
(1) alert persons in the United States of imminent or
current hazardous events caused by acts of terrorism; and
(2) provide information to individuals regarding
appropriate measures that may be undertaken to alleviate or
minimize threats to their safety and welfare posed by such
events.
(b) Technologies to Consider.--In conducting the study, the
Secretary shall consider the use of the telephone, wireless
communications, and other existing communications networks to provide
such notification.
(c) Report.--Not later than 9 months after the date of the
enactment of this Act, the Secretary shall submit to the Congress a
report regarding the conclusions of the study.

SEC. 10. SENSE OF CONGRESS.

It is the sense of Congress that for purposes of emergency
planning--
(1) lack of sufficient bandwidth can have detrimental
consequences for State and local governments during times of
crisis;
(2) State and local governments should understand how
communication networks will perform in emergencies by analyzing
the experience of end users; and
(3) State and local governments should look into expanding
bandwidth efficiency by using cost effective means such as
incorporating bandwidth allocation tools into their networks to
ensure proper communication is available during times of
crisis.

[SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

[(a) Short Title.--This Act may be cited as the ``Faster and
Smarter Funding for First Responders Act of 2004''.
[(b) Table of Contents.--The table of contents for this Act is as
follows:

[Sec. 1. Short title; table of contents.
[Sec. 2. Findings.
[Sec. 3. Faster and Smarter Funding for First Responders.

[``TITLE XVIII--FUNDING FOR FIRST RESPONDERS

[``1801. Faster and smarter funding for first responders.
[``1802. Essential capabilities for first responders.
[``1803. Task Force on Essential Capabilities for First
Responders.
[``1804. Covered grant eligibility and criteria.
[``1805. Use of funds and accountability requirements.
[``1806. National standards for first responder equipment and
training.
[``1807. Definitions.
[Sec. 4. Modification of Homeland Security Advisory System.
[``Sec. 203. Homeland Security Advisory System.
[Sec. 5. Coordination of industry efforts.
[Sec. 6. Superseded provision.
[Sec. 7. Sense of Congress regarding interoperable communications.
[Sec. 8. Sense of Congress regarding Citizen Corps councils.
[Sec. 9. Study regarding nationwide emergency notification system.
[Sec. 10. Authorization of appropriations.
[Sec. 11. Authority to enter into contracts and issue Federal loan
guarantees.

[SEC. 2. FINDINGS.

[The Congress finds the following:
[(1) In order to achieve its objective of minimizing the
damage, and assisting in the recovery, from terrorist attacks,
the Department of Homeland Security must play a leading role in
assisting communities to reach the level of preparedness they
need to respond to a terrorist attack.
[(2) First responder funding is not reaching the men and
women of our Nation's first response teams quickly enough, and
sometimes not at all.
[(3) To reform the current bureaucratic process so that
homeland security dollars reach the first responders who need
it most, it is necessary to clarify and consolidate the
authority and procedures of the Department of Homeland Security
to support first responders.
[(4) Ensuring adequate resources for the new national
mission of homeland security requires a discrete and separate
grant making process for homeland security funds for first
response to terrorist acts, on the one hand, and for first
responder programs designed to meet pre-9/11 priorities, on the
other.
[(5) Homeland security grants to first responders must be
based on the best intelligence concerning the capabilities and
intentions of our terrorist enemies, and that intelligence must
be used to target resources to the Nation's greatest risks,
vulnerabilities, and consequences.
[(6) The Nation's first response capabilities will be
improved by sharing resources, training, planning, personnel,
and equipment among neighboring jurisdictions through mutual
aid agreements and regional cooperation. Such regional
cooperation should be supported, where appropriate, through
direct grants from the Department of Homeland Security.
[(7) An essential prerequisite to achieving the Nation's
homeland security objectives for first responders is the
establishment of well-defined national goals for terrorism
preparedness. These goals should delineate the essential
capabilities that every jurisdiction in the United States
should possess or to which it should have access.
[(8) A national determination of essential capabilities is
needed to identify levels of State and local government
terrorism preparedness, to determine the nature and extent of
State and local first responder needs, to identify the human
and financial resources required to fulfill them, and to direct
funding to meet those needs and to measure preparedness levels
on a national scale.
[(9) To facilitate progress in attaining essential
capabilities for State and local first responders, the
Department of Homeland Security should seek to allocate
homeland security funding for first responders to meet
nationwide needs.
[(10) Private sector resources and citizen volunteers can
perform critical functions in assisting in preventing and
responding to terrorist attacks, and should be integrated into
State and local planning efforts to ensure that their
capabilities and roles are understood, so as to provide
enhanced State and local operational capability and surge
capacity.
[(11) Public-private partnerships, such as the partnerships
between the Business Executives for National Security and the
States of New Jersey and Georgia, can be useful to identify and
coordinate private sector support for State and local first
responders. Such models should be expanded to cover all States
and territories.
[(12) An important component of national standards is
measurability, so that it is possible to determine how prepared
a State or local government is now, and what additional steps
it needs to take, in order to respond to acts of terrorism.
[(13) The Department of Homeland Security should establish,
publish, and regularly update national voluntary consensus
standards for both equipment and training, in cooperation with
both public and private sector standard setting organizations,
to assist State and local governments in obtaining the
equipment and training to attain the essential capabilities for
first response to acts of terrorism, and to ensure that first
responder funds are spent wisely.

[SEC. 3. FASTER AND SMARTER FUNDING FOR FIRST RESPONDERS.

[(a) In General.--The Homeland Security Act of 2002 (Public Law
107-296; 6 U.S.C. 361 et seq.) is amended--
[(1) in section 1(b) in the table of contents by adding at
the end the following:

``TITLE XVIII--FUNDING FOR FIRST RESPONDERS

[``1801. Faster and smarter funding for first responders.
[``1802. Essential capabilities for first responders.
[``1803. Task Force on Essential Capabilities for First Responders.
[``1804. Covered grant eligibility and criteria.
[``1805. Use of funds and accountability requirements.
[``1806. National standards for first responder equipment and training.
[``1807. Definitions.''; and
[(2) by adding at the end the following:

[``TITLE XVIII--FUNDING FOR FIRST RESPONDERS

[``SEC. 1801. FASTER AND SMARTER FUNDING FOR FIRST RESPONDERS.

[``(a) Covered Grants.--This title applies to any grant provided by
the Department to States, regions, or directly eligible tribes to
improve the ability of first responders to prevent, prepare for,
respond to, or mitigate threatened or actual terrorist attacks,
especially those involving weapons of mass destruction, and including
any grant under the following:
[``(1) State homeland security grant program.--The State
Homeland Security Grant Program of the Department, or any
successor to such grant program.
[``(2) Urban area security initiative.--The Urban Area
Security Initiative of the Department, or any successor to such
grant program.
[``(b) Excluded Programs.--This title does not apply to or
otherwise affect the following Federal grant programs or any grant
under such a program:
[``(1) Nondepartment programs.--Any Federal grant program
that is not administered by the Department.
[``(2) Fire grant programs.--The fire grant programs
authorized by sections 33 and 34 of the Federal Fire Prevention
and Control Act of 1974 (15 U.S.C. 2229, 2229a).
[``(3) Emergency management planning and assistance account
grants.--The Emergency Management Performance Grant program and
the Urban Search and Rescue Grants program authorized by title
VI of the Robert T. Stafford Disaster Relief and Emergency
Assistance Act (42 U.S.C. 5195 et seq.); the Departments of
Veterans Affairs and Housing and Urban Development, and
Independent Agencies Appropriations Act, 2000 (113 Stat. 1047
et seq.); and the Earthquake Hazards Reduction Act of 1977 (42
U.S.C. 7701 et seq.).

[``SEC. 1802. ESSENTIAL CAPABILITIES FOR FIRST RESPONDERS.

[``(a) Establishment of Essential Capabilities.--
[``(1) In general.--The Secretary shall establish clearly
defined essential capabilities for State and local government
preparedness for terrorism, in consultation with--
[``(A) the Task Force on Essential Capabilities for
First Responders established under section 1803;
[``(B) the Under Secretaries for Emergency
Preparedness and Response, Border and Transportation
Security, Information Analysis and Infrastructure
Protection, and Science and Technology, and the
Director of the Office for Domestic Preparedness;
[``(C) other appropriate Federal agencies;
[``(D) State and local first responder agencies and
officials; and
[``(E) groups responsible for setting standards
relevant to the first responder community.
[``(2) Deadlines.--The Secretary shall--
[``(A) establish essential capabilities under
paragraph (1) within 30 days after receipt of the
initial submission of a final report under section
1803(c)(2); and
[``(B) regularly update such essential capabilities
as necessary, but not less than every 3 years.
[``(3) Provision of essential capabilities.--The Secretary
shall ensure that essential capabilities established under
paragraph (1) are provided promptly to the States and to the
Congress. The States shall make the essential capabilities
available as necessary and appropriate to local governments
within their jurisdictions.
[``(b) Objectives.--The Secretary shall ensure that essential
capabilities established under subsection (a)(1) meet the following
objectives:
[``(1) Specificity.--The determination of essential
capabilities specifically shall describe the training,
planning, personnel, and equipment that different types of
communities in the Nation should possess, or to which they
should have access, in order to meet the Department's goals for
terrorism preparedness based upon--
[``(A) the most current risk assessment available
by the Directorate for Information Analysis and
Infrastructure Protection of the threats of terrorism
against the United States; and
[``(B) the types of threats, vulnerabilities,
geography, size, and other factors that the Secretary
has determined to be applicable to each different type
of community.
[``(2) Flexibility.--The establishment of essential
capabilities shall be sufficiently flexible to allow State and
local government officials to set priorities based on
particular needs, while reaching nationally determined
terrorism preparedness levels within a specified time period.
[``(3) Measurability.--The establishment of essential
capabilities shall be designed to enable measurement of
progress towards specific terrorism preparedness goals.
[``(c) Threats to Be Considered.--
[``(1) In general.--In establishing essential capabilities
under subsection (a)(1), the Secretary specifically shall
consider the variables of threat, vulnerability, and
consequences with respect to the Nation's population (including
transient commuting and tourist populations) and critical
infrastructure. Such consideration shall be based upon the most
current risk assessment available by the Directorate for
Information Analysis and Infrastructure Protection of the
threats of terrorism against the United States.
[``(2) Critical infrastructure sectors.--The Secretary
specifically shall consider threats of terrorism against the
following critical infrastructure sectors in all areas of the
Nation, urban and rural:
[``(A) Agriculture.
[``(B) Banking and finance.
[``(C) Chemical industries.
[``(D) The defense industrial base.
[``(E) Emergency services.
[``(F) Energy.
[``(G) Food.
[``(H) Government.
[``(I) Postal and shipping.
[``(J) Public health.
[``(K) Information and telecommunications networks.
[``(L) Transportation, ports, and containers.
[``(M) Water.
[``(N) Courts and justice facilities.
The order in which the critical infrastructure sectors are
listed in this paragraph shall not be construed as an order of
priority for consideration of the importance of such sectors.
[``(3) Consideration of additional threats.--In
establishing essential capabilities under subsection (a)(1),
the Secretary shall take into account any other specific threat
to a population (including a transient commuting or tourist
population) or critical infrastructure sector that the
Secretary has determined to exist.

[``SEC. 1803. TASK FORCE ON ESSENTIAL CAPABILITIES FOR FIRST
RESPONDERS.

[``(a) Establishment.--To assist the Secretary in establishing
essential capabilities under section 1802(a)(1), the Secretary shall
establish an advisory body to be known as the Task Force on Essential
Capabilities for First Responders not later than 60 days after the date
of the enactment of this section.
[``(b) Draft Report.--
[``(1) In general.--The Task Force shall submit to the
Secretary, not later than one year after its establishment by
the Secretary under subsection (a) and every 3 years
thereafter, a draft report on its recommendations for the
essential capabilities all State and local government first
responders should possess, or to which they should have access,
to enhance terrorism preparedness, including--
[``(A) to prevent a terrorist attack;
[``(B) to protect persons and critical
infrastructure against attack; and
[``(C) to enhance terrorism response and mitigation
capabilities if such an attack occurs.
[``(2) Threats to be considered in determining essential
capabilities.--
[``(A) In general.--In reporting to the Secretary
on its recommendations for essential capabilities, the
Task Force specifically shall consider the critical
infrastructure sectors described in section 1802(c)(2),
and the threats to populations in all areas of the
Nation, urban and rural, including the following:
[``(i) Biological threats.
[``(ii) Nuclear threats.
[``(iii) Radiological threats.
[``(iv) Incendiary threats.
[``(v) Chemical threats.
[``(vi) Explosives.
[``(vii) Suicide bombers.
[``(viii) Cyber threats.
[``(ix) Any other threats based on
proximity to specific past acts of terrorism or
the known activity of any terrorist group.
[``(B) No priority.--The order in which the threats
are listed in subparagraph (A) shall not be construed
as an order of priority for consideration of the
importance of such threats.
[``(3) Risk-based.--The draft report shall be based upon
the most current risk assessment available by the Directorate
for Information Analysis and Infrastructure Protection of the
threats of terrorism against the United States provided to the
Task Force pursuant to subsection (d).
[``(4) Contents.--The draft report shall--
[``(A) include a priority ranking of essential
capabilities, in order to provide guidance to the
Secretary and to the Congress on determining the
appropriate allocation of, and funding levels for,
first responder needs;
[``(B) set forth a methodology by which any State
or local government will be able to determine the
extent to which it possesses or has access to the
essential capabilities that States and local
governments having similar risks should obtain;
[``(C) describe the availability of national
voluntary consensus standards, and whether there is a
need for new national voluntary consensus standards,
with respect to first responder training and equipment;
[``(D) include such additional matters as the
Secretary may specify in order to further the terrorism
preparedness capabilities of first responders; and
[``(E) include such revisions to the contents of
past reports as are necessary to take into account
changes in the most current risk assessment available
by the Directorate for Information Analysis and
Infrastructure Protection or other relevant information
as determined by the Secretary.
[``(c) Review and Revision of Draft Report.--
[``(1) Review and comments.--Within 30 days after the date
of the submission of the draft report by the Task Force under
subsection (b), the Secretary shall review and provide comments
to the Task Force on the contents of the draft report.
[``(2) Revision and submission of final report.--Within 30
days after receiving the Secretary's comments, the Task Force
shall--
[``(A) revise its draft report based on the
comments provided by the Secretary, and any other
comments it has solicited and received, if the Task
Force determines that such revisions are appropriate;
and
[``(B) submit the final report on essential
capabilities to the Secretary and to the Congress.
[``(d) Task Force Access to Information.--
[``(1) Security clearances.--For purposes of carrying out
its responsibilities under this section, the Task Force shall
be provided as a matter of priority appropriate security
clearances, including interim security clearances.
[``(2) Access to finished intelligence.--For purposes of
carrying out its responsibilities under this section, the Task
Force shall be provided access to all finished intelligence and
analytic products it may request from the Directorate for
Information Analysis and Infrastructure Protection or other
sources within the Department concerning the nature and
likelihood of terrorist attacks on the territory of the United
States.
[``(3) Access to assessment tools.--For purposes of
carrying out its responsibilities under this section, the Task
Force shall be provided access to all tools or methodologies
currently or formerly used by the Department and its
predecessor organizations to assess the preparedness
capabilities of State and local governments.
[``(4) Valid clearances.--Nothing in this section shall be
considered to authorize a member of the Task Force to have
access to classified information unless that member possesses a
valid clearance to receive such information.
[``(e) Membership.--
[``(1) In general.--The Task Force shall consist of 25
members appointed by the Secretary, and shall--
[``(A) represent a cross section of first responder
disciplines; and
[``(B) include both State and local representatives
within each discipline.
[``(2) Term of members.--Each appointed member of the Task
Force shall serve for a term not to exceed 18 months. No
individual may be appointed as a member of the Task Force for
more than 2 terms.
[``(3) Selection of members.--The Secretary shall include
in the membership of the Task Force--
[``(A) members selected from the emergency response
field, including firefighters and law enforcement,
hazardous materials response, emergency medical
services, and emergency management personnel (including
public works personnel routinely engaged in emergency
response);
[``(B) health scientists, emergency and inpatient
medical providers, and public health professionals,
including experts in emergency health care response to
chemical, biological, radiological, and nuclear
terrorism, and experts in providing mental health care
during emergency response operations;
[``(C) experts from Federal, State, and local
governments, and the private sector, representing
standards-setting organizations, including
representation from the voluntary consensus codes and
standards development community, particularly those
with expertise in firefighting, law enforcement, and
emergency medical services delivery; and
[``(D) State and local officials with expertise in
terrorism preparedness, subject to the condition that
if any such officials are elected officials, an equal
number shall be selected from each of the two major
political parties.
[``(4) Ex officio members.--The Secretary shall designate
one or more officers of the Department to serve as ex officio
members of the Task Force, one of whom shall be the designated
officer of the Federal Government for purposes of subsection
(e) of section 10 of the Federal Advisory Committee Act.
[``(5) Diversity in composition of task force.--In
appointing members to the Task Force, the Secretary shall
ensure, to the extent practicable, that its membership--
[``(A) is geographically diverse;
[``(B) includes representatives from both rural and
urban jurisdictions;
[``(C) includes representatives from both
management and labor;
[``(D) includes representatives from both uniformed
and nonuniformed professions;
[``(E) includes representatives from both voluntary
and professional services;
[``(F) includes representatives from both
government and nongovernment emergency medical
services; and
[``(G) includes sufficient personnel with security
clearances necessary to review classified materials
that may be needed to conduct the business of the Task
Force.
[``(6) Chair.--At the first meeting of the Task Force, the
membership of the Task Force appointed under paragraph (3)
shall elect a chair of the Task Force.
[``(f) Meetings.--The Task Force shall meet as often as necessary
to complete reports in accordance with this section.
[``(g) Pay.--
[``(1) In general.--Members of the Task Force shall serve
without pay by reason of their work on the Task Force.
[``(2) Federal officers and employees.--Members of the Task
Force who are officers or employees of the United States shall
receive no additional pay by reason of their service as a
member of the Task Force.
[``(h) Travel Expenses.--Members of the Task Force shall be allowed
travel expenses, including per diem in lieu of subsistence, at rates
authorized for employees of agencies under subchapter I of chapter 57
of title 5, United States Code, while away from their homes or regular
places of business in the performance of services for the Task Force.
[``(i) Services, Funds, and Staff.--The Secretary shall provide to
the Task Force, on a non-reimbursable basis, such administrative
services, funds, staff, facilities, and other support services as the
Secretary determines necessary, in consultation with the chair of the
Task Force, for the Task Force to perform its duties efficiently and in
accordance with this section.
[``(j) Details.--Upon the request of the Task Force, the Secretary
may detail, without reimbursement, any personnel of the Department to
assist the Task Force in carrying out its duties. Any such detail of an
employee shall be without interruption or loss of civil service status
or privilege.
[``(k) Applicability of Federal Advisory Committee Act.--The
Federal Advisory Committee Act (5 U.S.C. App.), including subsections
(a), (b), and (d) of section 10 of such Act, and section 552b(c) of
title 5, United States Code, shall apply to the Task Force.

[``SEC. 1804. COVERED GRANT ELIGIBILITY AND CRITERIA.

[``(a) Grant Eligibility.--Any State, region, or directly eligible
tribe shall be eligible to apply for a covered grant.
[``(b) Awarding Grants.--
[``(1) Criteria.--In awarding covered grants, the Secretary
shall assist States and local governments in achieving the
essential capabilities for first responders established by the
Secretary under section 1802.
[``(2) Threat assessments.--In assessing threats for
purposes of awarding covered grants, the credibility of the
threat shall be weighted more than population concentration or
critical infrastructure or any other consideration.
[``(c) State Homeland Security Plans.--
[``(1) Submission of plans.--The Secretary shall require
that any State applying to the Secretary for a covered grant
must submit to the Secretary a 3-year State homeland security
plan that--
[``(A) demonstrates the extent to which the State
has achieved the essential capabilities that apply to
the State, and describes the extent to which the State
used the methodology developed pursuant to section
1803(b)(4)(B) to evaluate the level of its essential
capabilities;
[``(B) demonstrates the additional needs of the
State necessary to achieve the essential capabilities
that apply to the State;
[``(C) includes a prioritization of such additional
needs based on threat, vulnerability, and consequence
assessment factors applicable to the State;
[``(D) describes how the State intends--
[``(i) to address such additional needs at
the city, county, regional, State, and
interstate level, and with respect to any
Indian tribes within its boundaries;
[``(ii) to use all Federal, State, and
local resources available for the purpose of
addressing such additional needs; and
[``(iii) to give particular emphasis to
regional planning and cooperation, both within
its jurisdictional borders and with neighboring
States; and
[``(E) is developed in consultation with and
subject to appropriate comment by local governments
within the State.
[``(2) Approval by secretary.--The Secretary may not award
any covered grant to a State unless the Secretary has approved
the applicable State homeland security plan.
[``(d) Consistency With State Plans.--The Secretary shall ensure
that each covered grant is used to supplement and support, in a
consistent and coordinated manner, the applicable State homeland
security plan or plans.
[``(e) Application for Grant.--
[``(1) In general.--Any State, region, or directly eligible
tribe may apply for a covered grant by submitting to the
Secretary an application at such time, in such manner, and
containing such information as is required under this
subsection, or as the Secretary may reasonably require.
[``(2) Deadlines for applications and awards.--All
applications for covered grants must be submitted to the
Secretary no later than February 15 of the fiscal year for
which they are submitted. The Secretary shall award covered
grants pursuant to all approved applications for such fiscal
year as soon as practicable, but not later than July 31 of such
year.
[``(3) Availability of funds.--All funds awarded by the
Secretary under covered grants in a fiscal year shall be
available for obligation through the end of the subsequent
fiscal year.
[``(4) Minimum contents of application.--The Secretary
shall require that each applicant include in its application,
at a minimum--
[``(A) the purpose for which the applicant seeks
covered grant funds and the reasons why the applicant
needs the covered grant to meet the essential
capabilities for terrorism preparedness within the
boundaries of the State, region, or directly eligible
tribe to which the application pertains;
[``(B) a description of how, by reference to the
applicable State homeland security plan or plans under
subsection (c), the allocation of grant funding
proposed in the application, including, where
applicable, the amount not passed through under section
1805(e)(1), would assist in fulfilling the essential
capabilities specified in such plan or plans;
[``(C) a statement of whether a mutual aid
agreement applies to the use of all or any portion of
the covered grant funds;
[``(D) if the applicant is a region--
[``(i) a precise geographical description
of the region and a specification of all
participating and nonparticipating local
governments within the geographical area
comprising that region;
[``(ii) a specification of what
governmental entity within the region will
administer the expenditure of funds under the
covered grant; and
[``(iii) a designation of a specific
individual to serve as regional liaison;
[``(E) if the applicant is a directly eligible
tribe, a designation of a specific individual to serve
as tribal liaison;
[``(F) a capital budget showing how the applicant
intends to allocate and expend the covered grant funds;
and
[``(G) a statement of how the applicant intends to
meet the matching requirement, if any, that applies
under section 1805(e)(2).
[``(5) Regional applications.--
[``(A) Submission to state or states.--To ensure
the consistency required under subsection (d), an
applicant that is a region must simultaneously submit
its application to the Department and to each State of
which any part is included in the region.
[``(B) Opportunity for state comment.--Before
awarding any covered grant to a region, the Secretary
shall provide an opportunity to each State of which any
part is included in a region, during the 30-day period
beginning on the date on which the region submits an
application for a covered grant, to comment to the
Secretary on the consistency of the region's plan with
the State's homeland security plan.
[``(C) Final authority.--The Secretary shall have
final authority to determine the consistency of any
regional application with the applicable State homeland
security plan or plans and approve any regional
application. The Secretary shall notify each State of
which any part is included in a region of the approval
of a regional application for that region.
[``(D) Regional liaisons.--A regional liaison
designated under paragraph (4)(D)(iii) shall--
[``(i) coordinate with Federal, State,
local, regional, and private officials within
the region concerning terrorism preparedness;
[``(ii) develop a process for receiving
input from Federal, State, local, regional, and
private sector officials within the region to
assist in the development of the regional
application and to improve the region's access
to covered grants; and
[``(iii) administer, in consultation with
State, local, regional, and private officials
within the region, covered grants awarded to
the region.
[``(6) Tribal applications.--
[``(A) Submission to state or states.--To ensure
the consistency required under subsection (d), an
applicant that is a directly eligible tribe must
simultaneously submit its application to the Department
and to each State within the boundaries of which any
part of that tribe is located.
[``(B) Opportunity for state comment.--Before
awarding any covered grant to a directly eligible
tribe, the Secretary shall provide an opportunity to
each State within the boundaries of which any part of
that tribe is located, during the 30-day period
beginning on the date on which the tribe submits an
application for a covered grant, to comment to the
Secretary on the consistency of the tribe's plan with
the State's homeland security plan.
[``(C) Final authority.--The Secretary shall have
final authority to determine the consistency of any
application of a directly eligible tribe with the
applicable State homeland security plan or plans and
approve any application of that tribe. The Secretary
shall notify each State within the boundaries of which
any part of that tribe is located of the approval of an
application of that tribe.
[``(D) Tribal liaison.--A tribal liaison designated
under paragraph (4)(E) shall--
[``(i) coordinate with Federal, State,
local, regional, and private officials
concerning terrorism preparedness;
[``(ii) develop a process for receiving
input from Federal, State, local, regional, and
private sector officials to assist in the
development of the application of that tribe
and to improve the tribe's access to covered
grants; and
[``(iii) administer, in consultation with
State, local, regional, and private officials,
covered grants awarded to that tribe.
[``(E) Limitation on number of direct grants.--The
Secretary may make covered grants directly to not more
than 20 directly eligible tribes per fiscal year.
[``(F) Tribes not receiving direct grants.--An
Indian tribe not receiving a grant directly under this
section is eligible to receive funds under a covered
grant from the State or States within the boundaries of
which any part of that tribe is located, consistent
with the homeland security plan of the State as
described in subsection (c). If a State fails to comply
with section 1805(e)(1), the tribe is entitled to
pursue the procedures set forth in section 1805(f)(3)
to the extent applicable.
[``(7) Equipment standards.--If an applicant for a covered
grant proposes to upgrade or purchase, with assistance provided
under the grant, new equipment or systems that do not meet or
exceed any applicable national voluntary consensus standards
established by the Secretary under section 1806(a), the
applicant shall include in the application an explanation of
why such equipment or systems will serve the needs of the
applicant better than equipment or systems that meet or exceed
such standards.
[``(f) First Responder Grants Board.--
[``(1) Establishment of board.--The Secretary shall
establish a First Responder Grants Board, consisting of--
[``(A) the Secretary;
[``(B) the Under Secretary for Emergency
Preparedness and Response;
[``(C) the Under Secretary for Border and
Transportation Security;
[``(D) the Under Secretary for Information Analysis
and Infrastructure Protection;
[``(E) the Under Secretary for Science and
Technology; and
[``(F) the Director of the Office for Domestic
Preparedness.
[``(2) Chairman.--
[``(A) In general.--The Secretary shall be the
Chairman of the Board.
[``(B) Exercise of authorities by deputy
secretary.--The Deputy Secretary of Homeland Security
may exercise the authorities of the Chairman, if the
Secretary so directs.
[``(3) Ranking of grant applications.--
[``(A) Prioritization of grants.--The Board shall
evaluate and annually prioritize all pending
applications for covered grants based upon the degree
to which they would lessen the threat to, vulnerability
of, and consequences for persons and critical
infrastructure.
[``(B) Achieving nationwide capability.--In
evaluating and prioritizing grant applications under
subparagraph (A), the Board shall seek to achieve and
enhance essential capabilities throughout the Nation.
[``(C) Minimum amounts.--After evaluating and
prioritizing grant applications under subparagraph (A),
the Board shall ensure that, for each fiscal year--
[``(i) the States, the District of
Columbia, and the Commonwealth of Puerto Rico
each receive no less than 0.25 percent of the
funds available for covered grants for that
fiscal year for purposes of implementing its
homeland security plan in accordance with the
prioritization of additional needs under
subsection (c)(1)(C);
[``(ii) the United States Virgin Islands,
America Samoa, Guam, and the Northern Mariana
Islands each receive no less than 0.08 percent
of the funds available for covered grants for
that fiscal year for purposes of implementing
its homeland security plan in accordance with
the prioritization of additional needs under
subsection (c)(1)(C); and
[``(iii) directly eligible tribes under
section 1807(8) collectively receive no less
than 0.25 percent of the funds available for
covered grants for that fiscal year for
purposes of addressing needs identified in the
applications of such tribes, consistent with
the homeland security plan of each State within
the boundaries of which any part of any such
tribe is located.
[``(4) Functions of under secretaries.--The Under
Secretaries referred to in paragraph (1) shall seek to ensure
that the relevant expertise and input of the staff of their
directorates are available to and considered by the Board.

[``SEC. 1805. USE OF FUNDS AND ACCOUNTABILITY REQUIREMENTS.

[``(a) In General.--A covered grant may be used for--
[``(1) purchasing or upgrading equipment, including
computer software, to enhance terrorism preparedness and
response;
[``(2) exercises to strengthen terrorism preparedness and
response;
[``(3) training for prevention (including detection) of,
preparedness for, or response to attacks involving weapons of
mass destruction, including training in the use of equipment
and computer software;
[``(4) developing or updating response plans;
[``(5) establishing or enhancing mechanisms for sharing
terrorism threat information pursuant to this Act;
[``(6) systems architecture and engineering, program
planning and management, strategy formulation and strategic
planning, life-cycle systems design, product and technology
evaluation, and prototype development for terrorism
preparedness and response purposes;
[``(7) additional personnel costs resulting from--
[``(A) elevations in the threat alert level of the
Homeland Security Advisory System;
[``(B) travel to and participation in exercises and
training in the use of equipment and on prevention
activities; and
[``(C) the temporary replacement of personnel
during any period of travel to and participation in
exercises and training in the use of equipment and on
prevention activities;
[``(8) the costs of equipment (including software) required
to receive, transmit, handle, and store classified information;
[``(9) enhancing facilities to serve as operations centers,
or hardening critical infrastructure against potential attack
by the addition of barriers, fences, gates, and other such
devices;
[``(10) the costs of commercially available equipment that
complies with, where applicable, national voluntary consensus
standards, and that facilitates interoperability, coordination,
and integration between emergency communications systems,
including--
[``(A) mobile vehicles that contain equipment such
as commercial telephone trunk lines, VHF and UHF
radios, patch panels, and crosspatches, among other
technologies and equipment; and
[``(B) communications system overlay software and
hardware that allow multiple disparate communications
networks to act as one network;
[``(11) educational curricula development for first
responders to ensure that they are prepared for terrorist
attacks;
[``(12) training and exercises to assist public elementary
and secondary schools in developing and implementing programs
to instruct students regarding age-appropriate skills to
prepare for and respond to an act of terrorism; and
[``(13) other appropriate activities as determined by the
Secretary.
[``(b) Prohibited Uses.--Funds provided as a covered grant may not
be used--
[``(1) to supplant State or local funds for, or otherwise
support, traditional missions of State and local law
enforcement, firefighters, emergency medical services, or
public health agencies, unless such support serves a dual
purpose and the funds are primarily intended to enhance
terrorism preparedness;
[``(2) to acquire land; or
[``(3) for any State or local government cost sharing
contribution.
[``(c) Assistance Requirement.--The Secretary may not request that
equipment paid for, wholly or in part, with funds provided as a covered
grant be made available for responding to emergencies in surrounding
States, regions, and localities, unless the Secretary undertakes to pay
the costs directly attributable to transporting and operating such
equipment during such response.
[``(d) Flexibility in Unspent Homeland Security Grant Funds.--Upon
request by the recipient of a covered grant, the Secretary may
authorize the grantee to transfer all or part of funds provided as the
covered grant from uses specified in the grant agreement to other uses
authorized under this section, if the Secretary determines that such
transfer is in the interests of homeland security.
[``(e) State, Regional, and Tribal Responsibilities.--
[``(1) Pass-through.--The Secretary shall require a
recipient of a covered grant that is a State to obligate or
otherwise make available to local governments, first
responders, and other local groups, to the extent required
under the State homeland security plan or plans specified in
the application for the grant, not less than 80 percent of the
grant funds, resources purchased with the grant funds having a
value equal to at least 80 percent of the amount of the grant,
or a combination thereof, by not later than the end of the 45-
day period beginning on the date the grant recipient receives
the grant funds.
[``(2) Cost sharing.--
[``(A) In general.--The Federal share of the costs
of an activity carried out with a covered grant to a
State, region, or directly eligible tribe awarded after
the 2-year period beginning on the date of the
enactment of this section shall not exceed 75 percent.
[``(B) Interim rule.--The Federal share of the
costs of an activity carried out with a covered grant
awarded before the end of the 2-year period beginning
on the date of the enactment of this section shall be
100 percent.
[``(C) In-kind matching.--Each recipient of a
covered grant may meet the matching requirement under
subparagraph (A) by making in-kind contributions of
goods or services that are directly linked with the
purpose for which the grant is made, including, but not
limited to, any necessary personnel overtime,
contractor services, administrative costs, equipment
fuel and maintenance, and rental space.
[``(3) Certifications regarding distribution of grant funds
to local governments.--Any State that receives a covered grant
shall certify to the Secretary, by not later than 30 days after
the expiration of the period described in paragraph (1) with
respect to the grant, that the State has made available for
expenditure by local governments, first responders, and other
local groups the required amount of grant funds pursuant to
paragraph (1).
[``(4) Annual report on homeland security spending.--Each
recipient of a covered grant shall submit a report to the
Secretary not later than 60 days after the end of each fiscal
year. Each recipient of a covered grant that is a region must
simultaneously submit its report to each State of which any
part is included in the region. Each recipient of a covered
grant that is a directly eligible tribe must simultaneously
submits its report to each State within the boundaries of which
any part of such tribe is located. Each report must include the
following:
[``(A) The amount, ultimate recipients, and dates
of receipt of all funds received under the grant during
the previous fiscal year.
[``(B) The amount and the dates of disbursements of
all such funds expended in compliance with paragraph
(1) or pursuant to mutual aid agreements or other
sharing arrangements that apply within the State,
region, or directly eligible tribe, as applicable,
during the previous fiscal year.
[``(C) How the funds were utilized by each ultimate
recipient or beneficiary during the preceding fiscal
year.
[``(D) The extent to which essential capabilities
identified in the applicable State homeland security
plan or plans were achieved or enhanced as the result
of the expenditure of grant funds during the preceding
fiscal year.
[``(E) The extent to which essential capabilities
identified in the applicable State homeland security
plan or plans remain unmet.
[``(5) Inclusion of restricted annexes.--A recipient of a
covered grant may submit to the Secretary an annex to the
report under paragraph (4) that is subject to appropriate
handling restrictions, if the recipient believes that
discussion in the report of unmet needs would reveal sensitive
but unclassified information.
[``(6) Provision of reports.--The Secretary shall ensure
that each report under paragraph (4) is provided to the Under
Secretary for Emergency Preparedness and Response and the
Director of the Office for Domestic Preparedness.
[``(f) Incentives to Efficient Administration of Homeland Security
Grants.--
[``(1) Penalties for delay in passing through local
share.--If a recipient of a covered grant that is a State fails
to pass through to local governments, first responders, and
other local groups funds or resources required by subsection
(e)(1) within 45 days after receiving funds under the grant,
the Secretary may--
[``(A) reduce grant payments to the grant recipient
from the portion of grant funds that is not required to
be passed through under subsection (e)(1);
[``(B) terminate payment of funds under the grant
to the recipient, and transfer the appropriate portion
of those funds directly to local first responders that
were intended to receive funding under that grant; or
[``(C) impose additional restrictions or burdens on
the recipient's use of funds under the grant, which may
include--
[``(i) prohibiting use of such funds to pay
the grant recipient's grant-related overtime or
other expenses;
[``(ii) requiring the grant recipient to
distribute to local government beneficiaries
all or a portion of grant funds that are not
required to be passed through under subsection
(e)(1); or
[``(iii) for each day that the grant
recipient fails to pass through funds or
resources in accordance with subsection (e)(1),
reducing grant payments to the grant recipient
from the portion of grant funds that is not
required to be passed through under subsection
(e)(1), except that the total amount of such
reduction may not exceed 20 percent of the
total amount of the grant.
[``(2) Extension of period.--The Governor of a State may
request in writing that the Secretary extend the 45-day period
under paragraph (1) for an additional 15-day period. The
Secretary may approve such a request, and may extend such
period for additional 15-day periods, if the Secretary
determines that the resulting delay in providing grant funding
to the local government entities that will receive funding
under the grant will not have a significant detrimental impact
on such entities' terrorism preparedness efforts.
[``(3) Provision of non-local share to local government.--
[``(A) In general.--The Secretary may upon request
by a local government pay to the local government a
portion of the amount of a covered grant awarded to a
State in which the local government is located, if--
[``(i) the local government will use the
amount paid to expedite planned enhancements to
its terrorism preparedness as described in any
applicable State homeland security plan or
plans;
[``(ii) the State has failed to pass
through funds or resources in accordance with
subsection (e)(1); and
[``(iii) the local government complies with
subparagraphs (B) and (C).
[``(B) Showing required.--To receive a payment
under this paragraph, a local government must
demonstrate that--
[``(i) it is identified explicitly as an
ultimate recipient or intended beneficiary in
the approved grant application;
[``(ii) it was intended by the grantee to
receive a severable portion of the overall
grant for a specific purpose that is identified
in the grant application;
[``(iii) it petitioned the grantee for the
funds or resources after expiration of the
period within which the funds or resources were
required to be passed through under subsection
(e)(1); and
[``(iv) it did not receive the portion of
the overall grant that was earmarked or
designated for its use or benefit.
[``(C) Effect of payment.--Payment of grant funds
to a local government under this paragraph--
[``(i) shall not affect any payment to
another local government under this paragraph;
and
[``(ii) shall not prejudice consideration
of a request for payment under this paragraph
that is submitted by another local government.
[``(D) Deadline for action by secretary.--The
Secretary shall approve or disapprove each request for
payment under this paragraph by not later than 15 days
after the date the request is received by the
Department.
[``(g) Reports to Congress.--The Secretary shall submit an annual
report to the Congress by December 31 of each year--
[``(1) describing in detail the amount of Federal funds
provided as covered grants that were directed to each State and
region in the preceding fiscal year;
[``(2) containing information on the use of such grant
funds by grantees; and
[``(3) describing, on a nationwide and State-by-State
basis--
[``(A) the extent to which essential capabilities
identified in applicable State homeland security plan
or plans were created or enhanced as the result of the
expenditure of covered grant funds during the preceding
fiscal year;
[``(B) the extent to which essential capabilities
identified in applicable State homeland security plan
or plans remain unmet; and
[``(C) an estimate of the amount of Federal, State,
and local expenditures required to attain across the
United States the essential capabilities established
under section 1802(a).

[``SEC. 1806. NATIONAL STANDARDS FOR FIRST RESPONDER EQUIPMENT AND
TRAINING.

[``(a) Equipment Standards.--
[``(1) In general.--The Secretary, in consultation with the
Under Secretary for Science and Technology and the Director of
the Office for Domestic Preparedness, shall, not later than 6
months after the date of enactment of this section, support the
development of, promulgate, and update as necessary national
voluntary consensus standards for the performance, use, and
validation of first responder equipment for purposes of section
1804(e)(7). Such standards--
[``(A) shall be, to the maximum extent practicable,
consistent with any existing voluntary consensus
standards;
[``(B) shall take into account, as appropriate, new
types of terrorism threats that may not have been
contemplated when such existing standards were
developed; and
[``(C) shall be focused on maximizing
interoperability, interchangeability, durability,
flexibility, efficiency, efficacy, portability,
sustainability, and safety.
[``(2) Required categories.--In carrying out paragraph (1),
the Secretary shall specifically consider the following
categories of first responder equipment:
[``(A) Thermal imaging equipment.
[``(B) Radiation detection and analysis equipment.
[``(C) Biological detection and analysis equipment.
[``(D) Chemical detection and analysis equipment.
[``(E) Decontamination and sterilization equipment.
[``(F) Personal protective equipment, including
garments, boots, gloves, and hoods and other protective
clothing.
[``(G) Respiratory protection equipment.
[``(H) Interoperable communications, including
wireless and wireline voice, video, and data networks.
[``(I) Explosive mitigation devices and explosive
detection and analysis equipment.
[``(J) Containment vessels.
[``(K) Contaminant-resistant vehicles.
[``(L) Such other equipment for which the Secretary
determines that national voluntary consensus standards
would be appropriate.
[``(b) Training Standards.--
[``(1) In general.--The Secretary, in consultation with the
Under Secretaries for Emergency Preparedness and Response and
Science and Technology and the Director of the Office for
Domestic Preparedness, shall support the development of,
promulgate, and regularly update as necessary national
voluntary consensus standards for first responder training
carried out with amounts provided under covered grant programs,
that will enable State and local government first responders to
achieve optimal levels of terrorism preparedness as quickly as
practicable. Such standards shall give priority to providing
training to--
[``(A) enable first responders to prevent, prepare
for, respond to, and mitigate terrorist threats,
including threats from chemical, biological, nuclear,
and radiological weapons and explosive devices capable
of inflicting significant human casualties; and
[``(B) familiarize first responders with the proper
use of equipment, including software, developed
pursuant to the standards established under subsection
(a).
[``(2) Required categories.--In carrying out paragraph (1),
the Secretary specifically shall include the following
categories of first responder activities:
[``(A) Regional planning.
[``(B) Joint exercises.
[``(C) Intelligence collection, analysis, and
sharing.
[``(D) Emergency notification of affected
populations.
[``(E) Detection of biological, nuclear,
radiological, and chemical weapons of mass destruction.
[``(F) Such other activities for which the
Secretary determines that national voluntary consensus
training standards would be appropriate.
[``(c) Consultation With Standards Organizations.--In establishing
national voluntary consensus standards for first responder equipment
and training under this section, the Secretary shall consult with
relevant public and private sector groups, including--
[``(1) the National Institute of Standards and Technology;
[``(2) the National Fire Protection Association;
[``(3) the National Association of County and City Health
Officials;
[``(4) the Association of State and Territorial Health
Officials;
[``(5) the American National Standards Institute;
[``(6) the National Institute of Justice;
[``(7) the Inter-Agency Board for Equipment Standardization
and Interoperability;
[``(8) the National Public Health Performance Standards
Program;
[``(9) the National Institute for Occupational Safety and
Health;
[``(10) ASTM International;
[``(11) the International Safety Equipment Association
(ISEA); and
[``(12) to the extent the Secretary considers appropriate,
other national voluntary consensus standards development
organizations, other interested Federal, State, and local
agencies, and other interested persons.

[``SEC. 1807. DEFINITIONS.

[``In this title:
[``(1) Board.--The term `Board' means the First Responder
Grants Board established under section 1804(f).
[``(2) Covered grant.--The term `covered grant' means any
grant to which this title applies under section 1801.
[``(3) Elevations in the threat alert level.--The term
`elevations in the threat alert level' means any designation
(including those that are less than national in scope) that
raises the homeland security threat level to either the highest
or second highest threat level under the Homeland Security
Advisory System referred to in section 201(d)(7).
[``(4) Essential capabilities.--The term `essential
capabilities' means the levels, availability, and competence of
emergency personnel, planning, training, and equipment across a
variety of disciplines needed to effectively and efficiently
prevent, prepare for, and respond to acts of terrorism
consistent with established practices.
[``(5) Region.--The term `region' means--
[``(A) any geographic area consisting of all or
parts of 2 or more contiguous States, counties,
municipalities, or other local governments that have a
combined population of at least 1,650,000 or have an
area of not less than 20,000 square miles, and that,
for purposes of an application for a covered grant, is
represented by 1 or more governments or governmental
agencies within such geographic area, and that is
established by law or by agreement of 2 or more such
governments or governmental agencies in a mutual aid
agreement; or
[``(B) any other combination of contiguous local
government units (including such a combination
established by law or agreement of two or more
governments or governmental agencies in a mutual aid
agreement) that is formally certified by the Secretary
as a region for purposes of this Act with the consent
of--
[``(i) the State or States in which they
are located, including a multi-State entity
established by a compact between two or more
States; and
[``(ii) the incorporated municipalities,
counties, and parishes which they encompass.
[``(6) Task force.--The term `Task Force' means the Task
Force on Essential Capabilities for First Responders
established under section 1803.
[``(7) First responder.--The term `first responder' shall
have the same meaning as the term `emergency response
provider'.
[``(8) Directly eligible tribe.--The term `directly
eligible tribe' means any Indian tribe or consortium of Indian
tribes that--
[``(A) meets the criteria to participate in Self-
Governance set forth in section 402(c) of the Indian
Self-Determination and Education Assistance Act (25
U.S.C. 458bb(c));
[``(B) employs at least 10 full-time personnel in a
law enforcement or emergency response agency with the
capacity to respond to calls for law enforcement or
emergency services; and
[``(C)(i) is located on, or within 5 miles of, an
international border or waterway;
[``(ii) is located within 5 miles of a facility
within a critical infrastructure sector identified in
section 1802(c)(2);
[``(iii) is located within or contiguous to one of
the 50 largest metropolitan statistical areas; or
[``(iv) has more than 1,000 square miles of Indian
country, as described in section 1151 of title 18,
United States Code.''.
[(b) Definition of Emergency Response Providers.--Section 2(6) of
the Homeland Security Act of 2002 (Public Law 107-296; 6 U.S.C. 101(6))
is amended by inserting ``fire,'' after ``law enforcement,''.
[(c) Temporary Limitation on Application.--The following provisions
of title XVIII of the Homeland Security Act of 2002, as amended by
subsection (a), shall not apply during the 2 year period beginning on
the date of the enactment of this Act:
[(1) Subsections (b), (c), (e) (except paragraph (5) of
such subsection), and (f)(3)(B) of section 1804.
[(2) Subparagraphs (D) and (E) of section 1805(e)(4).
[(3) Section 1805(g)(3).

[SEC. 4. MODIFICATION OF HOMELAND SECURITY ADVISORY SYSTEM.

[(a) In General.--Subtitle A of title II of the Homeland Security
Act of 2002 (Public Law 107-296; 6 U.S.C. 121 et seq.) is amended by
adding at the end the following:

[``SEC. 203. HOMELAND SECURITY ADVISORY SYSTEM.

[``(a) In General.--The Secretary shall revise the Homeland
Security Advisory System referred to in section 201(d)(7) to require
that any designation of a threat level or other warning shall be
accompanied by a designation of the geographic regions or economic
sectors to which the designation applies.
[``(b) Reports.--The Secretary shall report to the Congress
annually by not later than December 31 each year regarding the
geographic region-specific warnings and economic sector-specific
warnings issued during the preceding fiscal year under the Homeland
Security Advisory System referred to in section 201(d)(7), and the
bases for such warnings. The report shall be submitted in unclassified
form and may, as necessary, include a classified annex.''.
[(b) Clerical Amendment.--The table of contents in section 1(b) of
the Homeland Security Act of 2002 (6 U.S.C. 101 et seq.) is amended by
inserting after the item relating to section 202 the following:

[``203. Homeland Security Advisory System.''.

[SEC. 5. COORDINATION OF INDUSTRY EFFORTS.

[Section 102(f) of the Homeland Security Act of 2002 (Public Law
107-296; 6 U.S.C. 112(f)) is amended by striking ``and'' after the
semicolon at the end of paragraph (6), by striking the period at the
end of paragraph (7) and inserting ``; and'', and by adding at the end
the following:
[``(8) coordinating industry efforts to identify private
sector resources and capabilities that could be effective in
supplementing Federal, State, and local government agency
efforts to prevent or respond to a terrorist attack.''.

[SEC. 6. SUPERSEDED PROVISION.

[This Act supersedes section 1014 of Public Law 107-56.

[SEC. 7. SENSE OF CONGRESS REGARDING INTEROPERABLE COMMUNICATIONS.

[(a) Finding.--The Congress finds that--
[(1) many first responders working in the same jurisdiction
or in different jurisdictions cannot effectively and
efficiently communicate with one another, and
[(2) their inability to do so threatens the public's safety
and may result in unnecessary loss of lives and property.
[(b) Sense of Congress.--It is the sense of the Congress that it is
of national importance that interoperable emergency communications
systems that to the extent possible meet national voluntary consensus
standards should be developed and promulgated as soon as practicable
for use by the first responder community.

[SEC. 8. SENSE OF CONGRESS REGARDING CITIZEN CORPS COUNCILS.

[(a) Finding.--The Congress finds that Citizen Corps councils help
to enhance local citizen participation in terrorism preparedness by
coordinating multiple Citizen Corps programs, developing community
action plans, assessing possible threats, and identifying local
resources.
[(b) Sense of Congress.--It is the sense of the Congress that
individual Citizen Corps councils should seek to enhance the
preparedness and response capabilities of all organizations
participating in the councils, including by providing funding to as
many of their participating organizations as practicable to promote
local terrorism preparedness programs.

[SEC. 9. STUDY REGARDING NATIONWIDE EMERGENCY NOTIFICATION SYSTEM.

[(a) Study.--The Secretary of Homeland Security, in consultation
with the heads of other appropriate Federal agencies and
representatives of providers and participants in the telecommunications
industry, shall conduct a study to determine whether it is cost-
effective, efficient, or feasible to establish and implement an
emergency telephonic alert notification system that will--
[(1) alert persons in the United States of imminent or
current hazardous events caused by acts of terrorism; and
[(2) provide information to individuals regarding
appropriate measures that may be undertaken to alleviate or
minimize threats to their safety and welfare posed by such
events.
[(b) Technologies to Consider.--In conducting the study, the
Secretary shall consider the use of the telephone, wireless
communications, and other existing communications networks to provide
such notification.
[(c) Report.--Not later than 9 months after the date of the
enactment of this Act, the Secretary shall submit to the Congress a
report regarding the conclusions of the study.

[SEC. 10. AUTHORIZATION OF APPROPRIATIONS.

[For making covered grants (as that term is defined in section 1807
of the Homeland Security Act of 2002, as amended by this Act) there is
authorized to be appropriated to the Secretary of Homeland Security
$3,400,000,000 for fiscal year 2006.

[SEC. 11. AUTHORITY TO ENTER INTO CONTRACTS AND ISSUE FEDERAL LOAN
GUARANTEES.

[(a) Finding.--Congress finds that there is a public interest in
protecting high-risk nonprofit organizations from international
terrorist attacks that would disrupt the vital services such
organizations provide to the people of the United States and threaten
the lives and well-being of United States citizens who operate,
utilize, and live or work in proximity to such organizations.
[(b) Purposes.--The purposes of this section are to--
[(1) establish within the Department of Homeland Security a
program to protect United States citizens at or near high-risk
nonprofit organizations from international terrorist attacks
through loan guarantees and Federal contracts for security
enhancements and technical assistance;
[(2) establish a program within the Department of Homeland
Security to provide grants to local governments to assist with
incremental costs associated with law enforcement in areas in
which there are a high concentration of high-risk nonprofit
organizations vulnerable to international terrorist attacks;
and
[(3) establish an Office of Community Relations and Civic
Affairs within the Department of Homeland Security to focus on
security needs of high-risk nonprofit organizations with
respect to international terrorist threats.
[(c) Authority.--The Homeland Security Act of 2002 (6 U.S.C. 101 et
seq.), as amended by this Act, is further amended by adding at the end
the following:

[``TITLE XIX--PROTECTION OF CITIZENS AT HIGH-RISK NONPROFIT
ORGANIZATIONS

[``SEC. 1901. DEFINITIONS.

[`` In this title:
[``(1) Contract.--The term `contract' means a contract
between the Federal Government and a contractor selected from
the list of certified contractors to perform security
enhancements or provide technical assistance approved by the
Secretary under this title.
[``(2) Favorable repayment terms.--The term `favorable
repayment terms' means the repayment terms of loans offered to
nonprofit organizations under this title that--
[``(A) are determined by the Secretary, in
consultation with the Secretary of the Treasury, to be
favorable under current market conditions;
[``(B) have interest rates at least 1 full
percentage point below the market rate; and
[``(C) provide for repayment over a term not less
than 25 years.
[``(3) Nonprofit organization.--The term `nonprofit
organization' means an organization that--
[``(A) is described under section 501(c)(3) of the
Internal Revenue Code of 1986 and exempt from taxation
under section 501(a) of such Code; and
[``(B) is designated by the Secretary under section
1903(a).
[``(4) Security enhancements.--The term `security
enhancements'--
[``(A) means the purchase and installation of
security equipment in real property (including
buildings and improvements), owned or leased by a
nonprofit organization, specifically in response to the
risk of attack at a nonprofit organization by an
international terrorist organization;
[``(B) includes software security measures; and
[``(C) does not include enhancements that would
otherwise have been reasonably necessary due to
nonterrorist threats.
[``(5) Technical assistance.--The term `technical
assistance'--
[``(A) means guidance, assessment, recommendations,
and any other provision of information or expertise
which assists nonprofit organizations in--
[``(i) identifying security needs;
[``(ii) purchasing and installing security
enhancements;
[``(iii) training employees to use and
maintain security enhancements; or
[``(iv) training employees to recognize and
respond to international terrorist threats; and
[``(B) does not include technical assistance that
would otherwise have been reasonably necessary due to
nonterrorist threats.

[``SEC. 1902. AUTHORITY TO ENTER INTO CONTRACTS AND ISSUE FEDERAL LOAN
GUARANTEES.

[``(a) In General.--The Secretary may--
[``(1) enter into contracts with certified contractors for
security enhancements and technical assistance for nonprofit
organizations; and
[``(2) issue Federal loan guarantees to financial
institutions in connection with loans made by such institutions
to nonprofit organizations for security enhancements and
technical assistance.
[``(b) Loans.--The Secretary may guarantee loans under this title--
[``(1) only to the extent provided for in advance by
appropriations Acts; and
[``(2) only to the extent such loans have favorable
repayment terms.

[``SEC. 1903. ELIGIBILITY CRITERIA.

[``(a) In General.--The Secretary shall designate nonprofit
organizations as high-risk nonprofit organizations eligible for
contracts or loans under this title based on the vulnerability of the
specific site of the nonprofit organization to international terrorist
attacks.
[``(b) Vulnerability Determination.--In determining vulnerability
to international terrorist attacks and eligibility for security
enhancements or technical assistance under this title, the Secretary
shall consider--
[``(1) threats of international terrorist organizations (as
designated by the State Department) against any group of United
States citizens who operate or are the principal beneficiaries
or users of the nonprofit organization;
[``(2) prior attacks, within or outside the United States,
by international terrorist organizations against the nonprofit
organization or entities associated with or similarly situated
as the nonprofit organization;
[``(3) the symbolic value of the site as a highly
recognized United States cultural or historical institution
that renders the site a possible target of international
terrorism;
[``(4) the role of the nonprofit organization in responding
to international terrorist attacks; and
[``(5) any recommendations of the applicable State Homeland
Security Authority established under section 1906 or Federal,
State, and local law enforcement authorities.
[``(c) Documentation.--In order to be eligible for security
enhancements, technical assistance or loan guarantees under this title,
the nonprofit organization shall provide the Secretary with
documentation that--
[``(1) the nonprofit organization hosted a gathering of at
least 100 or more persons at least once each month at the
nonprofit organization site during the preceding 12 months; or
[``(2) the nonprofit organization provides services to at
least 500 persons each year at the nonprofit organization site.
[``(d) Technical Assistance Organizations.--If 2 or more nonprofit
organizations establish another nonprofit organization to provide
technical assistance, that established organization shall be eligible
to receive security enhancements and technical assistance under this
title based upon the collective risk of the nonprofit organizations it
serves.

[``SEC. 1904. USE OF LOAN GUARANTEES.

[``Funds borrowed from lending institutions, which are guaranteed
by the Federal Government under this title, may be used for technical
assistance and security enhancements.

[``SEC. 1905. NONPROFIT ORGANIZATION APPLICATIONS.

[``(a) In General.--A nonprofit organization desiring assistance
under this title shall submit a separate application for each specific
site needing security enhancements or technical assistance.
[``(b) Content.--Each application shall include--
[``(1) a detailed request for security enhancements and
technical assistance, from a list of approved enhancements and
assistance issued by the Secretary under this title;
[``(2) a description of the intended uses of funds to be
borrowed under Federal loan guarantees; and
[``(3) such other information as the Secretary shall
require.
[``(c) Joint Application.--Two or more nonprofit organizations
located on contiguous sites may submit a joint application.

[``SEC. 1906. REVIEW BY STATE HOMELAND SECURITY AUTHORITIES.

[``(a) Establishment of State Homeland Security Authorities.--In
accordance with regulations prescribed by the Secretary, each State may
establish a State Homeland Security Authority to carry out this title.
[``(b) Applications.--
[``(1) Submission.--Applications shall be submitted to the
applicable State Homeland Security Authority.
[``(2) Evaluation.--After consultation with Federal, State,
and local law enforcement authorities, the State Homeland
Security Authority shall evaluate all applications using the
criteria under section 1903 and transmit all qualifying
applications to the Secretary ranked by severity of risk of
international terrorist attack.
[``(3) Appeal.--An applicant may appeal the finding that an
application is not a qualifying application to the Secretary
under procedures that the Secretary shall issue by regulation
not later than 90 days after the date of enactment of this
title.

[``SEC. 1907. SECURITY ENHANCEMENT AND TECHNICAL ASSISTANCE CONTRACTS
AND LOAN GUARANTEES.

[``(a) In General.--Upon receipt of the applications, the Secretary
shall select applications for execution of security enhancement and
technical assistance contracts, or issuance of loan guarantees, giving
preference to the nonprofit organizations determined to be at greatest
risk of international terrorist attack based on criteria under section
1903.
[``(b) Security Enhancements and Technical Assistance; Followed by
Loan Guarantees.--The Secretary shall execute security enhancement and
technical assistance contracts for the highest priority applicants
until available funds are expended, after which loan guarantees shall
be made available for additional applicants determined to be at high
risk, up to the authorized amount of loan guarantees. The Secretary may
provide with respect to a single application a combination of such
contracts and loan guarantees.
[``(c) Joint Applications.--Special preference shall be given to
joint applications submitted on behalf of multiple nonprofit
organizations located in contiguous settings.
[``(d) Maximizing Available Funds.--Subject to subsection (b), the
Secretary shall execute security enhancement and technical assistance
contracts in such amounts as to maximize the number of high-risk
applicants nationwide receiving assistance under this title.
[``(e) Applicant Notification.--Upon selecting a nonprofit
organization for assistance under this title, the Secretary shall
notify the nonprofit organization that the Federal Government is
prepared to enter into a contract with certified contractors to install
specified security enhancements or provide specified technical
assistance at the site of the nonprofit organization.
[``(f) Certified Contractors.--
[``(1) In general.--Upon receiving a notification under
subsection (e), the nonprofit organization shall select a
certified contractor to perform the specified security
enhancements, from a list of certified contractors issued and
maintained by the Secretary under subsection (j).
[``(2) List.--The list referred to in paragraph (1) shall
be comprised of contractors selected on the basis of--
[``(A) technical expertise;
[``(B) performance record including quality and
timeliness of work performed;
[``(C) adequacy of employee criminal background
checks; and
[``(D) price competitiveness.
[``(3) Other certified contractors.--The Secretary shall
include on the list of certified contractors additional
contractors selected by senior officials at State Homeland
Security Authorities and the chief executives of county and
other local jurisdictions. Such additional certified
contractors shall be selected on the basis of the criteria
under paragraph (2).
[``(g) Ensuring the Availability of Contractors.--If the list of
certified contractors under this section does not include any
contractors who can begin work on the security enhancements or
technical assistance within 60 days after applicant notification, the
nonprofit organization may submit a contractor not currently on the
list to the Secretary for the Secretary's review. If the Secretary does
not include the submitted contractor on the list of certified
contractors within 60 days after the submission and does not place an
alternative contractor on the list within the same time period (who
would be available to begin the specified work within that 60-day
period), the Secretary shall immediately place the submitted contractor
on the list of certified contractors and such contractor shall remain
on such list until--
[``(1) the specified work is completed; or
[``(2) the Secretary can show cause why such contractor may
not retain certification, with such determinations subject to
review by the Comptroller General of the United States.
[``(h) Contracts.--Upon selecting a certified contractor to provide
security enhancements and technical assistance approved by the
Secretary under this title, the nonprofit organization shall notify the
Secretary of such selection. The Secretary shall deliver a contract to
such contractor within 10 business days after such notification.
[``(i) Contracts for Additional Work or Upgrades.--A nonprofit
organization, using its own funds, may enter into an additional
contract with the certified contractor, for additional or upgraded
security enhancements or technical assistance. Such additional
contracts shall be separate contracts between the nonprofit
organization and the contractor.
[``(j) Expediting Assistance.--In order to expedite assistance to
nonprofit organizations, the Secretary shall--
[``(1) compile a list of approved technical assistance and
security enhancement activities within 45 days after the date
of enactment of this title;
[``(2) publish in the Federal Register within 60 days after
such date of enactment a request for contractors to submit
applications to be placed on the list of certified contractors
under this section;
[``(3) after consultation with the Secretary of the
Treasury, publish in the Federal Register within 60 days after
such date of enactment, prescribe regulations setting forth the
conditions under which loan guarantees shall be issued under
this title, including application procedures, expeditious
review of applications, underwriting criteria, assignment of
loan guarantees, modifications, commercial validity, defaults,
and fees; and
[``(4) publish in the Federal Register within 120 days
after such date of enactment (and every 30 days thereafter) a
list of certified contractors, including those selected by
State Homeland Security Authorities, county, and local
officials, with coverage of all 50 States, the District of
Columbia, and the territories.

[``SEC. 1908. LOCAL LAW ENFORCEMENT ASSISTANCE GRANTS.

[``(a) In General.--The Secretary may provide grants to units of
local government to offset incremental costs associated with law
enforcement in areas where there is a high concentration of nonprofit
organizations.
[``(b) Use.--Grant funds received under this section may be used
only for personnel costs or for equipment needs specifically related to
such incremental costs.
[``(c) Maximization of Impact.--The Secretary shall award grants in
such amounts as to maximize the impact of available funds in protecting
nonprofit organizations nationwide from international terrorist
attacks.

[``SEC. 1909. OFFICE OF COMMUNITY RELATIONS AND CIVIC AFFAIRS.

[``(a) In General.--There is established within the Department, the
Office of Community Relations and Civic Affairs to administer grant
programs for nonprofit organizations and local law enforcement
assistance.
[``(b) Additional Responsibilities.--The Office of Community
Relations and Civic Affairs shall--
[``(1) coordinate community relations efforts of the
Department;
[``(2) serve as the official liaison of the Secretary to
the nonprofit, human and social services, and faith-based
communities; and
[``(3) assist in coordinating the needs of those
communities with the Citizen Corps program.

[``SEC. 1910. AUTHORIZATION OF APPROPRIATIONS AND LOAN GUARANTEES.

[``(a) Nonprofit Organizations Program.--There are authorized to be
appropriated to the Department to carry out the nonprofit organization
program under this title, $100,000,000 for fiscal year 2005 and such
sums as may be necessary for fiscal years 2006 and 2007.
[``(b) Local Law Enforcement Assistance Grants.--There are
authorized to be appropriated to the Department for local law
enforcement assistance grants under section 1908, $50,000,000 for
fiscal year 2005 and such sums as may be necessary for fiscal years
2006 and 2007.
[``(c) Office of Community Relations and Civic Affairs.--There are
authorized to be appropriated to the Department for the Office of
Community Relations and Civic Affairs under section 1909, $5,000,000
for fiscal year 2005 and such sums as may be necessary for fiscal years
2006 and 2007.
[``(d) Loan Guarantees.--
[``(1) Authorization of appropriations.--There are
authorized to be appropriated in each of fiscal years 2005,
2006, and 2007, such amounts as may be required under the
Federal Credit Act with respect to Federal loan guarantees
authorized by this title, which shall remain available until
expended.
[``(2) Limitation.--The aggregate value of all loans for
which loan guarantees are issued under this title by the
Secretary may not exceed $250,000,000 in each of fiscal years
2005, 2006, and 2007.''.
[(d) Clerical Amendment.--The table of contents under section 1(b)
of the Homeland Security Act of 2002 (6 U.S.C. 101(b)) is amended by
adding at the end the following:

[``TITLE XIX--PROTECTION OF CITIZENS AT HIGH-RISK NONPROFIT
ORGANIZATIONS

[``Sec. 1901. Definitions.
[``Sec. 1902. Authority to enter into contracts and issue Federal loan
guarantees.
[``Sec. 1903. Eligibility criteria.
[``Sec. 1904. Use of loan guarantees.
[``Sec. 1905. Nonprofit organization applications.
[``Sec. 1906. Review by State Homeland Security Authorities.
[``Sec. 1907. Security enhancement and technical assistance contracts
and loan guarantees.
[``Sec. 1908. Local law enforcement assistance grants.
[``Sec. 1909. Office of Community Relations and Civic Affairs.
[``Sec. 1910. Authorization of appropriations and loan guarantees.''.]

Amend the title so as to read: ``A bill to amend the Robert
T. Stafford Disaster Relief and Emergency Assistance Act to
prepare the United States to prevent, mitigate, respond to, and
recover from major disasters and emergencies, including those
caused by terrorist attacks, and for other purposes.''.

Union Calendar No. 325

108th CONGRESS

2d Session

H. R. 3266

[Report No. 108-460, Parts I, II, III, and IV]

_______________________________________________________________________

A BILL

To authorize the Secretary of Homeland Security to make grants to first
responders, and for other purposes.

_______________________________________________________________________

June 21, 2004

Reported from the Committee on Transportation and Infrastructure with
amendmenmts

June 21, 2004

Reported from the Committee on the Judiciary with an amendment;
committed to the Committee of the Whole House on the State of the Union
and ordered to be printed