Protection of classified information relating to budget functions

(a) Requirement (1) In general Chapter 11 of title 31, United States Code, is amended by adding at the end the following new section: 1127. Protection of classified information relating to budget functions (a) Protection of classified information Notwithstanding any other provision of law, not later than September 30, 2028, each covered official shall ensure that the department or agency of the official uses secure systems that meet the requirements to protect classified information, including with respect to the location at which the system is located or accessed, to carry out any of the following activities of the department or agency: (1) Formulating, developing, and submitting the budget of the department or agency (including the budget justification materials submitted to Congress) under the National Intelligence Program. (2) Apportioning, allotting, issuing warrants for the disbursement of, and obligating and expending funds under the National Intelligence Program. (3) Carrying out Federal financial management service functions or related activities of the intelligence community. (b) Waiver The Director of National Intelligence, in consultation with the Secretary of Defense, the Secretary of the Treasury, and the Director of the Office of Management and Budget, may issue a waiver to a head of an element of the intelligence community with respect to a requirement under subsection (a) if the Director of National Intelligence certifies to the congressional intelligence committees that— (1) one or more of the Federal financial management service functions or related activities of the element under the National Intelligence Program— (A) are appropriately carried out using a system that does not meet the requirements to protect classified information; and (B) such use does not represent a significant counterintelligence risk; or (2) complying with a specified requirement under subsection (a) would result in an increased counterintelligence threat to a classified program or activity. (c) Display of information in public reports Notwithstanding any other provision of law, in making public a report or other information relating to expenditures by an element of the intelligence community, a covered official may modify or omit information relating to such expenditures in a manner necessary to ensure the protection of classified information. (d) Definitions In this section: (1) Covered official The term covered official means the following: (A) The Secretary of the Treasury. (B) The Director of the Office of Management and Budget. (C) Each head of an element of the intelligence community. (D) Any other head of a department or agency of the Federal Government carrying out a function specified in paragraph (1), (2), or (3) of subsection (a). (2) Federal financial management service functions In this section, the term Federal financial management service functions means standard functions, as determined by the Secretary of the Treasury, that departments and agencies of the Federal Government perform relating to Federal financial management, including budget execution, financial asset information management, payable management, revenue management, reimbursable management, receivable management, delinquent debt management, cost management, general ledger management, financial reconciliation, and financial and performance reporting. (3) Intelligence community terms The terms congressional intelligence committees, intelligence community, and National Intelligence Program have the meaning given those terms in section 3 of the National Security Act of 1947 (50 U.S.C. 3003).. (2) Clerical amendment The table of sections at the beginning of chapter 11 of title 31, United States Code, is amended by inserting after the item relating to section 1126 the following new item: 1127. Protection of classified information relating to budget functions.. (b) Funding needed To implement specified requirements (1) Reimbursement Notwithstanding any other provision of law, of the amounts authorized to be appropriated or otherwise made available to the Director of National Intelligence under the Intelligence Community Management Account that are available until September 30, 2028, the Director may reimburse a covered official for amounts that the official incurred to implement section 1127(a) of title 31, United States Code, as added by subsection (a). (2) Report Not later than 180 days after the date of the enactment of this Act, the Director of National Intelligence, the Secretary of the Treasury, and the heads of the elements of the intelligence community shall jointly submit to the congressional intelligence committees a detailed cost estimate associated with the implementation of the requirements under section 1127(a) of title 31, United States Code, as added by subsection (a). (3) Covered official defined In this subsection, the term covered official has the meaning given that term in section 1127(d) of title 31, United States Code, as added by subsection (a). (c) Federal Funding Accountability and Transparency Act of 2006 Section 7 of the Federal Funding Accountability and Transparency Act of 2006 (Public Law 109–282; 31 U.S.C. 6101 note) is amended— (1) in paragraph (1), by striking or at the end; (2) in paragraph (2), by striking the period at the end and inserting; or; and (3) by adding at the end the following new paragraph: (3) information that the Director of National Intelligence, in consultation with the Director of the Office of Management and Budget, determines would result in the exposure of classified programs or activities, including such information that could, when combined with other publicly available information, reveal classified programs or activities..