[This is the version of the Digital Telephony bill as passed by the House,
and the Senate.]



SUSPEND THE RULES AND PASS THE BILL, H.R. 4922, WITH AN 
AMENDMENT
(The amendment strikes out all after the enacting clause and 
inserts a new text)





103d CONGRESS
2d Session
 H. R. 4922

To amend title 18, United States Code, to make clear a 
telecommunications carrier's duty to cooperate in the 
interception of communications for law enforcement purposes, 
and for other purposes.


IN THE HOUSE OF REPRESENTATIVES
August 9, 1994
Mr. Edwards of California (for himself and Mr. Hyde) 
introduced the following bill; which was referred to the 
Committee on the Judiciary


A BILL
To amend title 18, United States Code, to make clear a 
telecommunications carrier's duty to cooperate in the 
interception of communications for law enforcement purposes, 
and for other purposes.

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


TITLE I--INTERCEPTION OF DIGITAL AND OTHER COMMUNICATIONS

SEC. 101. SHORT TITLE.
  This title may be cited as the "Communications Assistance 
for Law Enforcement Act".
SEC. 102. DEFINITIONS.
  For purposes of this title--
  (1) The terms defined in section 2510 of title 18, United 
States Code, have, respectively, the meanings stated in that 
section.
  (2) The term "call-identifying information" means dialing 
or signaling information that identifies the origin, 
direction, destination, or termination of each communication 
generated or received by a subscriber by means of any 
equipment, facility, or service of a telecommunications 
carrier.
  (3) The term "Commission" means the Federal Communications 
Commission.
  (4) The term "electronic messaging services" means 
software-based services that enable the sharing of data, 
images, sound, writing, or other information among computing 
devices controlled by the senders or recipients of the 
messages.
  (5) The term "government" means the government of the 
United States and any agency or instrumentality thereof, the 
District of Columbia, any commonwealth, territory, or 
possession of the United States, and any State or political 
subdivision thereof authorized by law to conduct electronic 
surveillance.
  (6) The term "information services"--
  (A) means the offering of a capability for generating, 
acquiring, storing, transforming, processing, retrieving, 
utilizing, or making available information via 
telecommunications; and
  (B) includes--
  (i) a service that permits a customer to retrieve stored 
information from, or file information for storage in, 
information storage facilities; 
  (ii) electronic publishing; and
  (iii) electronic messaging services; but
  (C) does not include any capability for a 
telecommunications carrier's internal management, control, or 
operation of its telecommunications network.
  (7) The term "telecommunications support services" means a 
product, software, or service used by a telecommunications 
carrier for the internal signaling or switching functions of 
its telecommunications network.
  (8) The term "telecommunications carrier"--
  (A) means a person or entity engaged in the transmission or 
switching of wire or electronic communications as a common 
carrier for hire; and
  (B) includes--
  (i) a person or entity engaged in providing commercial 
mobile service (as defined in section 332(d) of the 
Communications Act of 1934 (47 U.S.C. 332(d))); or
  (ii) a person or entity engaged in providing wire or 
electronic communication switching or transmission service to 
the extent that the Commission finds that such service is a 
replacement for a substantial portion of the local telephone 
exchange service and that it is in the public interest to 
deem such a person or entity to be a telecommunications 
carrier for purposes of this title; but
  (C) does not include--
  (i) persons or entities insofar as they are engaged in 
providing information services; and
  (ii) any class or category of telecommunications carriers 
that the Commission exempts by rule after consultation with 
the Attorney General.
SEC. 103. ASSISTANCE CAPABILITY REQUIREMENTS.
  (a) Capability Requirements.--Except as provided in 
subsections (b), (c), and (d) of this section and sections 
108(a)  and 109(b) and (d), a telecommunications carrier 
shall ensure that its equipment, facilities, or services that 
provide a customer or subscriber with the ability to 
originate, terminate, or direct communications are capable 
of--
  (1) expeditiously isolating and enabling the government, 
pursuant to a court order or other lawful authorization, to 
intercept, to the exclusion of any other communications, all 
wire and electronic communications carried by the carrier 
within a service area to or from equipment, facilities, or 
services of a subscriber of such carrier concurrently with 
their transmission to or from the subscriber's equipment, 
facility, or service, or at such later time as may be 
acceptable to the government;
  (2) expeditiously isolating and enabling the government, 
pursuant to a court order or other lawful authorization, to 
access call-identifying information that is reasonably 
available to the carrier--
  (A) before, during, or immediately after the transmission 
of a wire or electronic communication (or at such later time 
as may be acceptable to the government); and
  (B) in a manner that allows it to be associated with the 
communication to which it pertains,
except that, with regard to information acquired solely 
pursuant to the authority for pen registers and trap and 
trace devices (as defined in section 3127 of title 18, United 
States Code), such call-identifying information shall not 
include any information that may disclose the physical 
location of the subscriber (except to the extent that the 
location may be determined from the telephone number);
  (3) delivering intercepted communications and call-
identifying information to the government, pursuant to a 
court order or other lawful authorization, in a format such 
that they may be transmitted by means of equipment, 
facilities, or services procured by the government to a 
location other than the premises of the carrier; and
  (4) facilitating authorized communications interceptions 
and access to call-identifying information unobtrusively and 
with a minimum of interference with any subscriber's 
telecommunications service and in a manner that protects--
  (A) the privacy and security of communications and call-
identifying information not authorized to be intercepted; and 
  (B) information regarding the government's interception of 
communications and access to call-identifying information.
  (b) Limitations.--
  (1) Design of features and systems configurations.--This 
title does not authorize any law enforcement agency or 
officer--
  (A) to require any specific design of equipment, 
facilities, services, features, or system configurations to 
be adopted by any provider of a wire or electronic 
communication service, any manufacturer of telecommunications 
equipment, or any provider of telecommunications support 
services; or 
  (B) to prohibit the adoption of any equipment, facility, 
service, or feature by any provider of a wire or electronic 
communication service, any manufacturer of telecommunications 
equipment, or any provider of telecommunications support 
services.
  (2) Information services; private networks and 
interconnection services and facilities.--The requirements of 
subsection (a) do not apply to--
  (A) information services; or
  (B)  equipment, facilities, or services that support the 
transport or switching of communications for private networks 
or for the sole purpose of interconnecting telecommunications 
carriers.
  (3) Encryption.--A telecommunications carrier shall not be 
responsible for decrypting, or ensuring the government's 
ability to decrypt, any communication encrypted by a 
subscriber or customer, unless the encryption was provided by 
the carrier and the carrier possesses the information 
necessary to decrypt the communication.
  (c) Emergency or Exigent Circumstances.--In emergency or 
exigent circumstances (including those described in sections 
2518 (7) or (11)(b) and 3125 of title 18, United States Code, 
and section 1805(e) of title 50 of such Code), a carrier at 
its discretion may comply with subsection (a)(3) by allowing 
monitoring at its premises if that is the only means of 
accomplishing the interception or access.
  (d) Mobile Service Assistance Requirements.--A 
telecommunications carrier that is a provider of commercial 
mobile service (as defined in section 332(d) of the 
Communications Act of 1934) offering a feature or service 
that allows subscribers to redirect, hand off, or assign 
their wire or electronic communications to another service 
area or another service provider or to utilize facilities in 
another service area or of another service provider shall 
ensure that, when the carrier that had been providing 
assistance for the interception of wire or electronic 
communications or access to call-identifying information 
pursuant to a court order or lawful authorization no longer 
has access to the content of such communications or call-
identifying information within the service area in which 
interception has been occurring as a result of the 
subscriber's use of such a feature or service, information is 
made available to the government (before, during, or 
immediately after the transfer of such communications) 
identifying the provider of wire or electronic communication 
service that has acquired access to the communications.
SEC. 104. NOTICES OF CAPACITY REQUIREMENTS.
  (a) Notices of Maximum and Actual Capacity Requirements.--
  (1) In general.--Not later than 1 year after the date of 
enactment of this title, after consulting with State and 
local law enforcement agencies, telecommunications carriers, 
providers of telecommunications support services, and 
manufacturers of telecommunications equipment, and after 
notice and comment, the Attorney General shall publish in the 
Federal Register and provide to appropriate 
telecommunications industry associations and standard-setting 
organizations--
  (A) notice of the actual number of communication 
interceptions, pen registers, and trap and trace devices, 
representing a portion of the maximum capacity set forth 
under subparagraph (B), that the Attorney General estimates 
that government agencies authorized to conduct electronic 
surveillance may conduct and use simultaneously by the date 
that is 4 years after the date of enactment of this title; 
and
  (B) notice of the maximum capacity required to accommodate 
all of the communication interceptions, pen registers, and 
trap and trace devices that the Attorney General estimates 
that government agencies authorized to conduct electronic 
surveillance may conduct and use simultaneously after the 
date that is 4 years after the date of enactment of this 
title.
  (2) Basis of notices.--The notices issued under paragraph 
(1)--
  (A) may be based upon the type of equipment, type of 
service, number of subscribers, type or size or carrier, 
nature of service area, or any other measure; and
  (B) shall identify, to the maximum extent practicable, the 
capacity required at specific geographic locations.
  (b) Compliance With Capacity Notices.--
  (1) Initial capacity.--Within 3 years after the publication 
by the Attorney General of a notice of capacity requirements 
or within 4 years after the date of enactment of this title, 
whichever is longer, a telecommunications carrier shall, 
subject to subsection (e), ensure that its systems are 
capable of--
  (A) accommodating simultaneously the number of 
interceptions, pen registers, and trap and trace devices set 
forth in the notice under subsection (a)(1)(A); and
  (B) expanding to the maximum capacity set forth in the 
notice under subsection (a)(1)(B).
  (2) Expansion to maximum capacity.--After the date 
described in paragraph (1), a telecommunications carrier 
shall, subject to subsection (e), ensure that it can 
accommodate expeditiously any increase in the actual number 
of communication interceptions, pen registers, and trap and 
trace devices that authorized agencies may seek to conduct 
and use, up to the maximum capacity requirement set forth in 
the notice under subsection (a)(1)(B).
  (c) Notices of Increased Maximum Capacity Requirements.--
  (1) Notice.--The Attorney General shall periodically 
publish in the Federal Register, after notice and comment, 
notice of any necessary increases in the maximum capacity 
requirement set forth in the notice under subsection 
(a)(1)(B).
  (2) Compliance.--Within 3 years after notice of increased 
maximum capacity requirements is published under paragraph 
(1), or within such longer time period as  the Attorney 
General may specify, a telecommunications carrier shall, 
subject to subsection (e), ensure that its systems are 
capable of expanding to the increased maximum capacity set 
forth in the notice.

  (d) Carrier Statement.--Within 180 days after the 
publication by the Attorney General of a notice of capacity 
requirements pursuant to subsection (a) or (c), a 
telecommunications carrier shall submit to the Attorney 
General a statement identifying any of its systems or 
services that do not have the capacity to accommodate 
simultaneously the number of interceptions, pen registers, 
and trap and trace devices set forth in the notice under such 
subsection.
  (e) Reimbursement Required for Compliance.--The Attorney 
General shall review the statements submitted under 
subsection (d) and may, subject to the availability of 
appropriations, agree to reimburse a telecommunications 
carrier for costs directly associated with modifications to 
attain such capacity requirement that are determined to be 
reasonable in accordance with section 109(e). Until the 
Attorney General agrees to reimburse such carrier for such 
modification, such carrier shall be considered to be in 
compliance with the capacity notices under subsection (a) or 
(c).
SEC. 105. SYSTEMS SECURITY AND INTEGRITY.
  A telecommunications carrier shall ensure that any 
interception of communications or access to call-identifying 
information effected within its switching premises can be 
activated only in accordance with a court order or other 
lawful authorization and with the affirmative intervention of 
an individual officer or employee of the carrier acting in 
accordance with regulations prescribed by the Commission.
SEC. 106. COOPERATION OF EQUIPMENT MANUFACTURERS AND 
PROVIDERS OF TELECOMMUNICATIONS SUPPORT SERVICES.
  (a) Consultation.--A telecommunications carrier shall 
consult, as necessary, in a timely fashion with manufacturers 
of its telecommunications transmission and switching 
equipment and its providers of telecommunications support 
services for the purpose of ensuring that current and planned 
equipment, facilities, and services comply with the 
capability requirements of section 103 and the capacity 
requirements identified by the Attorney General under section 
104.
  (b) Cooperation.--Subject to sections 104(e), 108(a), and 
109(b) and (d), a manufacturer of telecommunications 
transmission or switching equipment and a provider of 
telecommunications support services shall, on a reasonably 
timely basis and at a reasonable charge, make available to 
the telecommunications carriers using its equipment, 
facilities, or services such features or modifications as are 
necessary to permit such carriers to comply with the 
capability requirements of section 103 and the capacity 
requirements identified by the Attorney General under section 
104.
SEC. 107. TECHNICAL REQUIREMENTS AND STANDARDS; EXTENSION OF 
COMPLIANCE DATE.
  (a) Safe Harbor.--
  (1) Consultation.--To ensure the efficient and industry-
wide implementation of the assistance capability requirements 
under section 103, the Attorney General, in coordination with 
other Federal, State, and local law enforcement agencies, 
shall consult with appropriate associations and standard-
setting organizations of the telecommunications industry, 
with representatives of users of telecommunications 
equipment, facilities, and services, and with State utility 
commissions.
  (2) Compliance under accepted standards.--A 
telecommunications carrier shall be found to be in compliance 
with the assistance capability requirements under section 
103, and a manufacturer of telecommunications transmission or 
switching equipment or a provider of telecommunications 
support services shall be found to be in compliance with 
section 106, if the carrier, manufacturer, or support service 
provider is in compliance with publicly available technical 
requirements or standards adopted by an industry association 
or standard-setting organization, or by the Commission under 
subsection (b), to meet the requirements of section 103.
  (3) Absence of standards.--The absence of technical 
requirements or standards for implementing the assistance 
capability requirements of section 103 shall not--
  (A) preclude a telecommunications carrier, manufacturer, or 
telecommunications support services provider  from deploying 
a technology or service; or 
  (B) relieve a carrier, manufacturer, or telecommunications 
support services provider  of the obligations imposed by 
section 103 or 106, as applicable.
  (b) Commission Authority.--If industry associations or 
standard-setting organizations fail to issue technical 
requirements or standards or if a government agency or any 
other person believes that such requirements or standards are 
deficient, the agency or person may petition the Commission 
to establish, by rule, technical requirements or standards 
that--
  (1) meet the assistance capability requirements of section 
103 by cost-effective methods; 
  (2) protect the privacy and security of communications not 
authorized to be intercepted; 
  (3) minimize the cost of such compliance on residential 
ratepayers;
  (4) serve the policy of the United States to encourage the 
provision of new technologies and services to the public; and
  (5) provide a reasonable time and conditions for compliance 
with and the transition to any new standard, including 
defining the obligations of telecommunications carriers under 
section 103 during any transition period.

  (c) Extension of Compliance Date for Equipment, Facilities, 
and Services.--
  (1) Petition.--A telecommunications carrier proposing to 
install or deploy, or having installed or deployed, any 
equipment, facility, or service prior to the effective date 
of section 103 may petition the Commission for 1 or more 
extensions of the deadline for complying with the assistance 
capability requirements under section 103.
  (2) Grounds for extension.--The Commission may, after 
consultation with the Attorney General, grant an extension 
under this subsection, if the Commission determines that 
compliance with the assistance capability requirements under 
section 103 is not reasonably achievable through application 
of technology available within the compliance period.
  (3) Length of extension.--An extension under this 
subsection shall extend for no longer than the earlier of--
  (A) the date determined by the Commission as necessary for 
the carrier to comply with the assistance capability 
requirements under section 103; or
  (B) the date that is 2 years after the date on which the 
extension is granted.
  (4) Applicability of extension.--An extension under this 
subsection shall apply to only that part of the carrier's 
business on which the new equipment, facility, or service is 
used.
SEC. 108. ENFORCEMENT ORDERS.
  (a) Grounds for Issuance.--A court shall issue an order 
enforcing this title under section 2522 of title 18, United 
States Code, only if the court finds that--
  (1) alternative technologies or capabilities or the 
facilities of another carrier are not reasonably available to 
law enforcement for implementing the interception of 
communications or access to call-identifying information; and
  (2) compliance with the requirements of this title is 
reasonably achievable through the application of available 
technology to the equipment, facility, or service at issue or 
would have been reasonably achievable if timely action had 
been taken.
  (b) Time for Compliance.--Upon issuing an order enforcing 
this title, the court shall specify a reasonable time and 
conditions for complying with its order, considering the good 
faith efforts to comply in a timely manner, any effect on the 
carrier's, manufacturer's, or service provider's ability to 
continue to do business, the degree of culpability or delay 
in undertaking efforts to comply, and such other matters as 
justice may require.
  (c) Limitations.--An order enforcing this title may not--
  (1) require a telecommunications carrier to meet the 
government's demand for interception of communications and 
acquisition of call-identifying information to any extent in 
excess of the capacity for which the Attorney General has 
agreed to reimburse such carrier; 
  (2) require any telecommunications carrier to comply with 
assistance capability requirement of section 103 if the 
Commission has determined (pursuant to section 109(b)(1)) 
that compliance is not reasonably achievable, unless the 
Attorney General has agreed (pursuant to section 109(b)(2)) 
to pay the costs described in section 109(b)(2)(A); or
  (3) require a telecommunications carrier to modify, for the 
purpose of complying with the assistance capability 
requirements of section 103, any equipment, facility, or 
service deployed on or before January 1, 1995, unless--
  (A) the Attorney General has agreed to pay the 
telecommunications carrier for all reasonable costs directly 
associated with modifications necessary to bring the 
equipment, facility, or service into compliance with those 
requirements; or
  (B) the  equipment, facility, or service has been replaced 
or significantly upgraded or otherwise undergoes major 
modification.
SEC. 109. PAYMENT OF COSTS OF TELECOMMUNICATIONS CARRIERS TO 
COMPLY WITH CAPABILITY REQUIREMENTS.
  (a) Equipment, Facilities, and Services Deployed on or 
Before January 1, 1995.--The Attorney General may, subject to 
the availability of  appropriations, agree to pay 
telecommunications carriers for all reasonable costs directly 
associated with the modifications performed by carriers in 
connection with equipment, facilities, and services installed 
or deployed on or before January 1, 1995, to establish the 
capabilities necessary to comply with section 103.
  (b) Equipment, Facilities, and Services Deployed After 
January 1, 1995.--
  (1) Determinations of reasonably achievable.--The 
Commission, on petition from a telecommunications carrier or 
any other interested  person, and after notice to the 
Attorney General, shall determine whether compliance with the 
assistance capability requirements of section 103 is 
reasonably achievable with respect to any equipment, 
facility, or service installed or deployed after January 1, 
1995. The Commission shall make such determination within 1 
year after the date such petition is filed. In making such 
determination, the Commission shall determine whether 
compliance would impose significant difficulty or expense on 
the carrier or on the users of the carrier's systems and 
shall consider the following factors:
  (A) The effect on public safety and national security.
  (B) The effect on rates for basic residential telephone 
service.
  (C) The need to protect the privacy and security of 
communications not authorized to be intercepted.
  (D) The need to achieve the capability assistance 
requirements of section 103 by cost-effective methods.
  (E) The effect on the nature and cost of the equipment, 
facility, or service at issue.
  (F) The effect on the operation of the equipment, facility, 
or service at issue.
  (G) The policy of the United States to encourage the 
provision of new technologies and services to the public.
  (H) The financial resources of the telecommunications 
carrier.
  (I) The effect on competition in the provision of 
telecommunications services.
  (J) The extent to which the design and development of the 
equipment, facility, or service was initiated before January 
1, 1995.
  (K) Such other factors as the Commission determines are 
appropriate.
  (2) Compensation.--If compliance with the assistance 
capability requirements of section 103 is not reasonably 
achievable with respect to equipment, facilities, or services 
deployed after January 1, 1995--
  (A) the Attorney General, on application of a 
telecommunications carrier, may agree, subject to the 
availability of appropriations, to pay the telecommunications 
carrier for the additional reasonable costs of making 
compliance with such assistance capability requirements 
reasonably achievable; and 
  (B) if the Attorney General does not agree to pay such 
costs, the telecommunications carrier shall be deemed to be 
in compliance with such capability requirements.
  (c) Allocation of Funds for Payment.--The Attorney General 
shall allocate funds appropriated to carry out this title in 
accordance with law enforcement priorities determined by the 
Attorney General.
  (d) Failure To Make Payment With Respect To Equipment, 
Facilities, and Services Deployed on or Before January 1, 
1995.--If a carrier has requested payment in accordance with 
procedures promulgated pursuant to subsection (e), and the 
Attorney General has not agreed to pay the telecommunications 
carrier for all reasonable costs directly associated with 
modifications necessary to bring any equipment, facility, or 
service deployed on or before January 1, 1995, into 
compliance with the assistance capability requirements of 
section 103, such equipment, facility, or service shall be 
considered to be in compliance with the assistance capability 
requirements of section 103 until the equipment, facility, or 
service is replaced or significantly upgraded or otherwise 
undergoes major modification.
  (e) Cost Control Regulations.--
  (1) In general.--The Attorney General shall, after notice 
and comment, establish regulations necessary to effectuate 
timely and cost-efficient payment to telecommunications 
carriers under this title, under chapters 119 and 121 of 
title 18, United States Code, and under the Foreign 
Intelligence Surveillance Act of 1978 (50 U.S.C. 1801 et 
seq.). 
  (2) Contents of regulations.--The Attorney General, after 
consultation with the Commission, shall prescribe regulations 
for purposes of determining reasonable costs under this 
title. Such regulations shall seek to minimize the cost to 
the Federal Government and shall--
  (A) permit recovery from the Federal Government of--
  (i) the direct costs of developing the modifications 
described in subsection (a), of providing the capabilities 
requested under subsection (b)(2), or of providing the 
capacities requested under section 104(e), but only to the 
extent that such costs have not been recovered from any other 
governmental or nongovernmental entity;
  (ii) the costs of training personnel in the use of such 
capabilities or capacities; and
  (iii) the direct costs of deploying or installing such 
capabilities or capacities; 
  (B) in the case of any modification that may be used for 
any purpose other than lawfully authorized electronic 
surveillance by a law enforcement agency of a government, 
permit recovery of only the incremental cost of making the 
modification suitable for such law enforcement purposes; and
  (C) maintain the confidentiality of trade secrets.
  (3) Submission of claims.--Such regulations shall require 
any telecommunications carrier that the Attorney General has 
agreed to pay for modifications pursuant to this section and 
that has installed or deployed such modification to submit to 
the Attorney General a claim for payment that contains or is 
accompanied by such information as the Attorney General may 
require.
SEC. 110. AUTHORIZATION OF APPROPRIATIONS.
  There are authorized to be appropriated to carry out this 
title a total of $500,000,000 for fiscal years 1995, 1996, 
1997, and 1998. Such sums are authorized to remain available 
until expended.
SEC. 111. EFFECTIVE DATE.
  (a) In General.--Except as provided in subsection (b), this 
title shall take effect on the date of enactment of this Act.
  (b) Assistance Capability and Systems Security and 
Integrity Requirements.--Sections 103 and 105 of this title 
shall take effect on the date that is 4 years after the date 
of enactment of this Act. 
SEC. 112. REPORTS.
  (a)  Reports by the Attorney General.--
  (1) In general.--On or before November 30, 1995, and on or 
before November 30 of each year thereafter, the Attorney 
General shall submit to Congress and make available to the 
public a report on the amounts paid during the preceding 
fiscal year to telecommunications carriers under sections 
104(e) and 109.
  (2) Contents.--A report under paragraph (1) shall include--
  (A) a detailed accounting of the amounts paid to each 
carrier and the equipment, facility, or service for which the 
amounts were paid; and
  (B) projections of the amounts expected to be paid in the 
current fiscal year, the carriers to which payment is 
expected to be made, and the equipment, facilities, or 
services for which payment is expected to be made.
  (b) Reports by the Comptroller General.--
  (1) Payments for modifications.--On or before April 1, 
1996, and every 2 years thereafter, the Comptroller General 
of the United States, after consultation with the Attorney 
General and the telecommunications industry, shall submit to 
the Congress a report--
  (A) describing the type of equipment, facilities, and 
services that have been brought into compliance under this 
title; and
  (B) reflecting its analysis of the reasonableness and cost-
effectiveness of the payments made by the Attorney General to 
telecommunications carriers for modifications necessary to 
ensure compliance with this title.
  (2) Compliance cost estimates.--A report under paragraph 
(1) shall include the findings and conclusions of the 
Comptroller General on the costs to be incurred by 
telecommunications carriers to comply with the assistance 
capability requirements of section 103 after the effective 
date of such section 103, including projections of the 
amounts expected to be incurred and a description of the 
equipment, facilities, or services for which they are 
expected to be incurred.
TITLE II--AMENDMENTS TO TITLE 18, UNITED STATES CODE
SEC. 201. COURT ENFORCEMENT OF COMMUNICATIONS ASSISTANCE FOR 
LAW ENFORCEMENT ACT.
  (a) Court Orders Under Chapter 119.--Chapter 119 of title 
18, United States Code, is amended by inserting after section 
2521 the following new section:
"1A2522. Enforcement of the Communications Assistance for Law 
Enforcement Act.
  "(a) Enforcement by Court Issuing Surveillance Order.--If a 
court authorizing an interception under this chapter, a State 
statute, or the Foreign Intelligence Surveillance Act of 1978 
(50 U.S.C. 1801 et seq.) or authorizing use of a pen register 
or a trap and trace device under chapter 206 or a State 
statute finds that a telecommunications carrier has failed to 
comply with the requirements of the Communications Assistance 
for Law Enforcement Act, the court may, in accordance with 
section 108 of such Act, direct that the carrier comply 
forthwith and may direct that a provider of support services 
to the carrier or the manufacturer of the carrier's 
transmission or switching equipment furnish forthwith 
modifications necessary for the carrier to comply.
  "(b) Enforcement Upon Application by Attorney General.--The 
Attorney General may, in a civil action in the appropriate 
United States district court, obtain an order, in accordance 
with section 108 of the Communications Assistance for Law 
Enforcement Act, directing that a telecommunications carrier, 
a manufacturer of telecommunications transmission or 
switching equipment, or a   provider of telecommunications 
support services comply with such Act.
  "(c) Civil Penalty.--
  "(1) In general.--A court issuing an order under this 
section against a telecommunications carrier, a manufacturer 
of telecommunications transmission or switching equipment, or 
a provider of telecommunications support services may impose 
a civil penalty of up to $10,000 per day for each day in 
violation after the issuance of the order or after such 
future date as the court may specify.

  "(2) Considerations.--In determining whether to impose a 
civil penalty and in determining its amount, the court shall 
take into account--
  "(A) the nature, circumstances, and extent of the 
violation;
  "(B) the violator's ability to pay, the violator's good 
faith efforts to comply in a timely manner, any effect on the 
violator's ability to continue to do business, the degree of 
culpability, and the length of any delay in undertaking 
efforts to comply; and
  "(C) such other matters as justice may require.
  "(d) Definitions.--As used in this section, the terms 
defined in section 102 of the Communications Assistance for 
Law Enforcement Act have the meanings provided, respectively, 
in such section.".
  (b) Conforming Amendments.--
  (1) Section 2518(4) of title 18, United States Code, is 
amended by adding at the end the following new sentence: 
"Pursuant to section 2522 of this chapter, an order may also 
be issued to enforce the assistance capability and capacity 
requirements under the Communications Assistance for Law 
Enforcement Act.".
  (2) Section 3124 of such title is amended by adding at the 
end the following new subsection:
  "(f) Communications Assistance Enforcement Orders.--
Pursuant to section 2522, an order may be issued to enforce 
the assistance capability and capacity requirements under the 
Communications Assistance for Law Enforcement Act.".
  (3) The table of sections at the beginning of chapter 119 
of title 18, United States Code, is amended by inserting 
after the item pertaining to section 2521 the following new 
item:

"2522. Enforcement of the Communications Assistance for Law 
Enforcement Act.".



SEC. 202. CORDLESS TELEPHONES.
  (a) Definitions.--Section 2510 of title 18, United States 
Code, is amended--
  (1) in paragraph (1), by striking ", but such term does not 
include" and all that follows through "base unit"; and
  (2) in paragraph (12), by striking subparagraph (A) and 
redesignating subparagraphs (B), (C), and (D) as 
subparagraphs (A), (B), and (C), respectively.
  (b) Penalty.--Section 2511 of title 18, United States Code, 
is amended--
  (1) in subsection (4)(b)(i) by inserting "a cordless 
telephone communication that is transmitted between the 
cordless telephone handset and the base unit," after 
"cellular telephone communication,"; and
  (2) in subsection (4)(b)(ii) by inserting "a cordless 
telephone communication that is transmitted between the 
cordless telephone handset and the base unit," after 
"cellular telephone communication,".
SEC. 203. RADIO-BASED DATA COMMUNICATIONS.
  Section 2510(16) of title 18, United States Code, is 
amended--
  (1) by striking "or" at the end of subparagraph (D);
  (2) by inserting "or" at the end of subparagraph (E); and
  (3) by inserting after subparagraph (E) the following new 
subparagraph:
  "(F) an electronic communication;"
SEC. 204. PENALTIES FOR MONITORING RADIO COMMUNICATIONS THAT 
ARE TRANSMITTED USING MODULATION TECHNIQUES WITH NONPUBLIC 
PARAMETERS.
  Section 2511(4)(b) of title 18, United States Code, is 
amended by striking "or encrypted, then" and inserting ", 
encrypted, or transmitted using modulation techniques the 
essential parameters of which have been withheld from the 
public with the intention of preserving the privacy of such 
communication, then".
SEC. 205. TECHNICAL CORRECTION.
  Section 2511(2)(a)(i) of title 18, United States Code, is 
amended by striking "used in the transmission of a wire 
communication" and inserting "used in the transmission of a 
wire or electronic communication".
SEC. 206. FRAUDULENT ALTERATION OF COMMERCIAL MOBILE RADIO 
INSTRUMENTS.
  (a) Offense.--Section 1029(a) of title 18, United States 
Code, is amended--
  (1) by striking "or" at the end of paragraph (3); and
  (2) by inserting after paragraph (4) the following new 
paragraphs:
  "(5) knowingly and with intent to defraud uses, produces, 
traffics in, has control or custody of, or possesses a 
telecommunications instrument that has been modified or 
altered to obtain unauthorized use of telecommunications 
services; or
  "(6) knowingly and with intent to defraud uses, produces, 
traffics in, has control or custody of, or possesses--
  "(A) a scanning receiver; or
  "(B) hardware or software used for altering or modifying 
telecommunications instruments to obtain unauthorized access 
to telecommunications services,".
  (b) Penalty.--Section 1029(c)(2) of title 18, United States 
Code, is amended by striking "(a)(1) or (a)(4)" and inserting 
"(a) (1), (4), (5), or (6)".
  (c) Definitions.--Section 1029(e) of title 18, United 
States Code, is amended--
  (1) in paragraph (1) by inserting "electronic serial 
number, mobile identification number, personal identification 
number, or other telecommunications service, equipment, or 
instrument identifier," after "account number,"; 
  (2) by striking "and" at the end of paragraph (5);
  (3) by striking the period at the end of paragraph (6) and 
inserting "; and"; and
  (4) by adding at the end the following new paragraph:
  "(7) the term `scanning receiver' means a device or 
apparatus that can be used to intercept a wire or electronic 
communication in violation of chapter 119.".
SEC. 207. TRANSACTIONAL DATA.
  (a) Disclosure of Records.--Section 2703 of title 18, 
United States Code, is amended--
  (1) in subsection (c)(1)--
  (A) in subparagraph (B)--
  (i) by striking clause (i); and
  (ii) by redesignating clauses (ii), (iii), and (iv) as 
clauses (i), (ii), and (iii), respectively; and
  (B) by adding at the end the following new subparagraph:
  "(C) A provider of electronic communication service or 
remote computing service shall disclose to a governmental 
entity the name, address, telephone toll billing records, 
telephone number or other subscriber number or identity, and 
length of service of a subscriber to or customer of such 
service and the types of services the subscriber or customer 
utilized, when the governmental entity uses an administrative 
subpoena authorized by a Federal or State statute or a 
Federal or State grand jury or trial subpoena or any means 
available under subparagraph (B)."; and
  (2) by amending the first sentence of subsection (d) to 
read as follows: "A court order for disclosure under 
subsection (b) or (c) may be issued by any court that is a 
court of competent jurisdiction described in section 
3126(2)(A) and shall issue only if the governmental entity 
offers specific and articulable facts showing that there are 
reasonable grounds to believe that the contents of a wire or 
electronic communication, or the records or other information 
sought, are relevant and material to an ongoing criminal 
investigation.".
  (b) Pen Registers and Trap and Trace Devices.--Section 3121 
of title 18, United States Code, is amended--
  (1) by redesignating subsection (c) as subsection (d); and
  (2) by inserting after subsection (b) the following new 
subsection:
  "(c) Limitation.--A government agency authorized to install 
and use a pen register under this chapter or under State law 
shall use technology reasonably available to it that 
restricts the recording or decoding of electronic or other 
impulses to the dialing and signaling information utilized in 
call processing.".
SEC. 208. AUTHORIZATION FOR ACTING DEPUTY ATTORNEYS GENERAL 
IN THE CRIMINAL DIVISION TO APPROVE CERTAIN COURT 
APPLICATIONS.
  Section 2516(1) of title 18, United States Code, is amended 
by inserting "or acting Deputy Assistant Attorney General" 
after "Deputy Assistant Attorney General".
TITLE III--AMENDMENTS TO THE COMMUNICATIONS ACT OF 1934
SEC. 301. COMPLIANCE COST RECOVERY.
  Title II of the Communications Act of 1934 is amended by 
inserting after section 228 (47 U.S.C. 228) the following new 
section:
"SEC. 229. COMMUNICATIONS ASSISTANCE FOR LAW ENFORCEMENT ACT 
COMPLIANCE.
  "(a) In General.--The Commission shall prescribe such rules 
as are necessary to implement the requirements of the 
Communications Assistance for Law Enforcement Act.
  "(b) Systems Security and Integrity.--The rules prescribed 
pursuant to subsection (a) shall include rules to implement 
section 105 of the Communications Assistance for Law 
Enforcement Act that require common carriers--
  "(1) to establish appropriate policies and procedures for 
the supervision and control of its officers and employees--
  "(A) to require appropriate authorization to activate 
interception of communications or access to call-identifying 
information; and 
  "(B) to prevent any such interception or access without 
such authorization; 
  "(2) to maintain secure and accurate records of any 
interception or access with or without such authorization; 
and
  "(3) to submit to the Commission the policies and 
procedures adopted to comply with the requirements 
established under paragraphs (1) and (2).
  "(c) Commission Review of Compliance.--The Commission shall 
review the policies and procedures submitted under subsection 
(b)(3) and shall order a common carrier to modify any such 
policy or procedure that the Commission determines does not 
comply with Commission regulations. The Commission shall 
conduct such investigations as may be necessary to insure 
compliance by common carriers with the requirements of the 
regulations prescribed under this section.
  "(d) Penalties.--For purposes of this Act, a violation by 
an officer or employee of any policy or procedure adopted by 
a common carrier pursuant to subsection (b), or of a rule 
prescribed by the Commission pursuant to subsection (a), 
shall be considered to be a violation by the carrier of a 
rule prescribed by the Commission pursuant to this Act.


  "(e) Cost Recovery for Communications Assistance for Law 
Enforcement Act Compliance.--
  "(1) Petitions authorized.--A common carrier may petition 
the Commission to adjust charges, practices, classifications, 
and regulations to recover costs expended for making 
modifications to equipment, facilities, or services pursuant 
to the requirements of section 103 of the Communications 
Assistance for Law Enforcement Act.
  "(2) Commission authority.--The Commission may grant, with 
or without modification, a petition under paragraph (1) if 
the Commission determines that such costs are reasonable and 
that permitting recovery is consistent with the public 
interest. The Commission may, consistent with maintaining 
just and reasonable charges, practices, classifications, and 
regulations in connection with the provision of interstate or 
foreign communication by wire or radio by a common carrier, 
allow carriers to adjust such charges, practices, 
classifications, and regulations in order to carry out the 
purposes of this Act.
  "(3) Joint board.--The Commission shall convene a Federal-
State joint board to recommend appropriate changes to part 36 
of the Commission's rules with respect to recovery of costs 
pursuant to charges, practices, classifications, and 
regulations under the jurisdiction of the Commission.".
SEC. 302. RECOVERY OF COST OF COMMISSION PROCEEDINGS.
  The schedule of application fees in section 8(g) of the 
Communications Act of 1934 (47 U.S.C. 158(g)) is amended by 
inserting under item 1 of the matter pertaining to common 
carrier services the following additional subitem:

"d. Proceeding under section 109(b) of the Communications 
Assistance for Law Enforcement Act5,000".




SEC. 303. CLERICAL AND TECHNICAL AMENDMENTS.
  (a) Amendments to the Communications Act of  1934.--The 
Communications Act of 1934 is amended--
  (1) in section 4(f)(3), by striking "overtime exceeds 
beyond" and inserting "overtime extends beyond";
  (2) in section 5, by redesignating subsection (f) as 
subsection (e);
  (3) in section 8(d)(2), by striking "payment of a" and 
inserting "payment of an";
  (4) in the schedule contained in section 8(g), in item 7.f. 
under the heading "equipment approval services/experimental 
radio" by striking "Additional Charge" and inserting 
"Additional Application Fee";
  (5) in section 9(f)(1), by inserting before the second 
sentence the following:
  "(2) Installment payments.--";
  (6) in the schedule contained in section 9(g), in the item 
pertaining to interactive video data services under the 
private radio bureau, insert "95" after "47 C.F.R. Part";
  (7) in section 220(a)--
  (A) by inserting "(1)" after "(a); and
  (B) by adding at the end the following new paragraph:
  "(2) The Commission shall, by rule, prescribe a uniform 
system of accounts for use by telephone companies. Such 
uniform system shall require that each common carrier shall 
maintain a system of accounting methods, procedures, and 
techniques (including accounts and supporting records and 
memoranda) which shall ensure a proper allocation of all 
costs to and among telecommunications services, facilities, 
and products (and to and among classes of such services, 
facilities, and products) which are developed, manufactured, 
or offered by such common carrier.";
  (8) in section 220(b), by striking "clasess" and inserting 
"classes";
  (9) in section 223(b)(3), by striking "defendant restrict 
access" and inserting "defendant restricted access";
  (10) in section 226(d), by striking paragraph (2) and 
redesignating paragraphs (3) and (4) as paragraphs (2) and 
(3), respectively;
  (11) in section 227(b)(2)(C), by striking "paragraphs" and 
inserting "paragraph";
  (12) in section 227(e)(2), by striking "national datebase" 
and inserting "national database";
  (13) in section 228(c), by redesignating the second 
paragraph (2) and paragraphs (3) through (6) as paragraphs 
(3) through (7), respectively;
  (14) in section 228(c)(6)(D), by striking "conservation" 
and inserting "conversation";
  (15) in section 308(c), by striking "May 24, 1921" and 
inserting "May 27, 1921";
  (16) in section 309(c)(2)(F), by striking "section 325(b)" 
and inserting "section 325(c)";
  (17) in section 309(i)(4)(A), by striking "Communications 
Technical Amendments Act of 1982" and inserting 
"Communications Amendments Act of 1982";
  (18) in section 331, by amending the heading of such 
section to read as follows:
"very high frequency stations and am radio stations";
  (19) in section 358, by striking "(a)";
  (20) in part III of title III--
  (A) by inserting before section 381 the following heading:
"vessels transporting more than six passengers for hire 
required to be equipped with radio telephone";
  (B) by inserting before section 382 the following heading:
"vessels excepted from radio telephone requirement";
  (C) by inserting before section 383 the following heading:
"exemptions by commission";
  (D) by inserting before section 384 the following heading:
"authority of commission; operations, installations, and 
additional equipment";
  (E) by inserting before section 385 the following heading:
"inspections"; and
  (F) by inserting before section 386 the following heading:
"forfeitures";
  (21) in section 410(c), by striking ", as referred to in 
sections 202(b) and 205(f) of the Interstate Commerce Act,";
  (22) in section 613(b)(2), by inserting a comma after 
"pole" and after "line";
  (23) in section 624(d)(2)(A), by inserting "of" after 
"viewing";
  (24) in section 634(h)(1), by striking "section 602(6)(A)" 
and inserting "section 602(7)(A)";
  (25) in section 705(d)(6), by striking "subsection (d)" and 
inserting "subsection (e)";
  (26) in section 705(e)(3)(A), by striking "paragraph (4) of 
subsection (d)" and inserting "paragraph (4) of this 
subsection";
  (27) in section 705, by redesignating subsections (f) and 
(g) (as added by Public Law 100ÿ09667) as subsections (g) and 
(h); and
  (28) in section 705(h) (as so redesignated), by striking 
"subsection (f)" and inserting "subsection (g)".
  (b) Amendments to the Communications Satellite Act of 
1962.--The Communications Satellite Act of 1962 is amended--
  (1) in section 303(a)--
  (A) by striking "section 27(d)" and inserting "section 
327(d)";
  (B) by striking "sec. 29-911(d)" and inserting "sec. 29-
327(d)";
  (C) by striking "section 36" and inserting "section 336"; 
and
  (D) by striking "sec. 29-916d" and inserting "section 29-
336(d)";
  (2) in section 304(d), by striking "paragraphs (1), (2), 
(3), (4), and (5) of section 310(a)" and inserting 
"subsection (a) and paragraphs (1) through (4) of subsection 
(b) of section 310"; and
  (3) in section 304(e)--
  (A) by striking "section 45(b)" and inserting "section 
345(b)"; and
  (B) by striking "sec. 29-920(b)" and inserting "sec. 29-
345(b)"; and
  (4) in sections 502(b) and 503(a)(1), by striking "the 
Communications Satellite Corporation" and inserting "the 
communications satellite corporation established pursuant to 
title III of this Act".
  (c) Amendment to the Children's Television Act of 1990.--
Section 103(a) of the Children's Television Act of 1990 (47 
U.S.C. 303b(a)) is amended by striking "noncommerical" and 
inserting "noncommercial".
  (d) Amendments to the Telecommunications Authorization Act 
of 1992.--Section 205(1) of the Telecommunications 
Authorization Act of 1992 is amended--
  (1) by inserting an open parenthesis before "other than"; 
and
  (2) by inserting a comma after "stations)".
  (e) Conforming Amendment.--Section 1253 of the Omnibus 
Budget Reconciliation Act of 1981 is repealed.
  (f) Stylistic Consistency.--The Communications Act of 1934 
and the Communications Satellite Act of 1962 are amended so 
that the section designation and section heading of each 
section of such Acts shall be in the form and typeface of the 
section designation and heading of this section.
SEC. 304. ELIMINATION OF EXPIRED AND OUTDATED PROVISIONS.
  (a) Amendments to the Communications Act of 1934.--The 
Communications Act of 1934 is amended--
  (1) in section 7(b), by striking "or twelve months after 
the date of the enactment of this section, if later" both 
places it appears;
  (2) in section 212, by striking "After sixty days from the 
enactment of this Act it shall" and inserting "It shall";
  (3) in section 213, by striking subsection (g) and 
redesignating subsection (h) as subsection (g);
  (4) in section 214, by striking "section 221 or 222" and 
inserting "section 221";
  (5) in section 220(b), by striking ", as soon as 
practicable,";
  (6) by striking section 222;
  (7) in section 224(b)(2), by striking "Within 180 days from 
the date of enactment of this section the Commission" and 
inserting "The Commission";
  (8) in 226(e), by striking "within 9 months after the date 
of enactment of this section,";
  (9) in section 309(i)(4)(A), by striking "The commission, 
not later than 180 days after the date of the enactment of 
the Communications Technical Amendments Act of 1982, shall," 
and inserting "The Commission shall,";
  (10) by striking section 328;
  (11) in section 413, by striking ", within sixty days after 
the taking effect of this Act,";
  (12) in section 624(d)(2)(B)--
  (A) by striking out "(A)";
  (B) by inserting "of" after "restrict the viewing"; and
  (C) by striking subparagraph (B);
  (13) by striking sections 702 and 703;
  (14) in section 704--
  (A) by striking subsections (b) and (d); and
  (B) by redesignating subsection (c) as subsection (b);
  (15) in section 705(g) (as redesignated by section 
304(25)), by striking "within 6 months after the date of 
enactment of the Satellite Home Viewer Act of 1988, the 
Federal Communications Commission" and inserting "The 
Commission";
  (16) in section 710(f)--
  (A) by striking the first and second sentences; and
  (B) in the third sentence, by striking "Thereafter, the 
Commission" and inserting "The Commission";
  (17) in section 712(a), by striking ", within 120 days 
after the effective date of the Satellite Home Viewer Act of 
1988,"; and
  (18) by striking section 713.
  (b) Amendments to the Communications Satellite Act of 
1962.--The Communications Satellite Act of 1962 is amended--
  (1) in section 201(a)(1), by striking "as expeditiously as 
possible,";
  (2) by striking sections 301 and 302 and inserting the 
following:
"SEC. 301. CREATION OF CORPORATION.
  "There is authorized to be created a communications 
satellite corporation for profit which will not be an agency 
or establishment of the United States Government.
"SEC. 302. APPLICABLE LAWS.
  "The corporation shall be subject to the provisions of this 
Act and, to the extent consistent with this Act, to the 
District of Columbia Business Corporation Act. The right to 
repeal, alter, or amend this Act at any time is expressly 
reserved.";
  (3) in section 304(a), by striking "at a price not in 
excess of $100 for each share and";
  (4) in section 404--
  (A) by striking subsections (a) and (c); and
  (B) by redesignating subsection (b) as section 404;
  (5) in section 503--
  (A) by striking paragraph (2) of subsection (a); and
  (B) by redesignating paragraph (3) of subsection (a) as 
paragraph (2) of such subsection;
  (C) by striking subsection (b);
  (D) in subsection (g)--
  (i) by striking "subsection (c)(3)" and inserting 
"subsection (b)(3)"; and
  (ii) by striking the last sentence; and
  (E) by redesignating subsections (c) through (h) as 
subsections (b) through (g), respectively;
  (5) by striking sections 505, 506, and 507; and
  (6) by redesignating section 508 as section 505.


