[House Hearing, 113 Congress] [From the U.S. Government Publishing Office] EXAMINING RECOMMENDATIONS TO REFORM FISA AUTHORITIES ======================================================================= HEARING BEFORE THE COMMITTEE ON THE JUDICIARY HOUSE OF REPRESENTATIVES ONE HUNDRED THIRTEENTH CONGRESS SECOND SESSION __________ FEBRUARY 4, 2014 __________ Serial No. 113-62 __________ Printed for the use of the Committee on the Judiciary Available via the World Wide Web: http://judiciary.house.gov ---------- U.S. GOVERNMENT PRINTING OFFICE 86-549 PDF WASHINGTON : 2013 ----------------------------------------------------------------------- For sale by the Superintendent of Documents, U.S. Government Printing Office Internet: bookstore.gpo.gov Phone: toll free (866) 512-1800 DC area (202) 512-1800 Fax: (202) 512-2104 Mail: Stop IDCC, Washington, DC 20402-0001 COMMITTEE ON THE JUDICIARY BOB GOODLATTE, Virginia, Chairman F. JAMES SENSENBRENNER, Jr., JOHN CONYERS, Jr., Michigan Wisconsin JERROLD NADLER, New York HOWARD COBLE, North Carolina ROBERT C. ``BOBBY'' SCOTT, LAMAR SMITH, Texas Virginia STEVE CHABOT, Ohio ZOE LOFGREN, California SPENCER BACHUS, Alabama SHEILA JACKSON LEE, Texas DARRELL E. ISSA, California STEVE COHEN, Tennessee J. RANDY FORBES, Virginia HENRY C. ``HANK'' JOHNSON, Jr., STEVE KING, Iowa Georgia TRENT FRANKS, Arizona PEDRO R. PIERLUISI, Puerto Rico LOUIE GOHMERT, Texas JUDY CHU, California JIM JORDAN, Ohio TED DEUTCH, Florida TED POE, Texas LUIS V. GUTIERREZ, Illinois JASON CHAFFETZ, Utah KAREN BASS, California TOM MARINO, Pennsylvania CEDRIC RICHMOND, Louisiana TREY GOWDY, South Carolina SUZAN DelBENE, Washington RAUL LABRADOR, Idaho JOE GARCIA, Florida BLAKE FARENTHOLD, Texas HAKEEM JEFFRIES, New York GEORGE HOLDING, North Carolina DAVID N. CICILLINE, Rhode Island DOUG COLLINS, Georgia RON DeSANTIS, Florida JASON T. SMITH, Missouri [Vacant] Shelley Husband, Chief of Staff & General Counsel Perry Apelbaum, Minority Staff Director & Chief Counsel C O N T E N T S ---------- FEBRUARY 4, 2014 Page OPENING STATEMENTS The Honorable Bob Goodlatte, a Representative in Congress from the State of Virginia, and Chairman, Committee on the Judiciary 1 The Honorable John Conyers, Jr., a Representative in Congress from the State of Michigan, and Ranking Member, Committee on the Judiciary.................................................. 4 WITNESSES The Honorable James Cole, United States Department of Justice Oral Testimony................................................. 7 Prepared Statement............................................. 10 Peter P. Swire, Review Group on Intelligence and Communications Technology Oral Testimony................................................. 17 Prepared Statement............................................. 19 David Medine, Privacy and Civil Liberties Oversight Board Oral Testimony................................................. 49 Prepared Statement............................................. 51 Steven G. Bradbury, Dechert, LLP Oral Testimony................................................. 121 Prepared Statement............................................. 124 David Cole, Georgetown University Law Center Oral Testimony................................................. 145 Prepared Statement............................................. 147 Dean C. Garfield, Information Technology Industry Council Oral Testimony................................................. 158 Prepared Statement............................................. 160 APPENDIX Material Submitted for the Hearing Record Material submitted by the Honorable Bob Goodlatte, a Representative in Congress from the State of Virginia, and Chairman, Committee on the Judiciary.....................184deg.OFFICIAL HEARING RECORD Material Submitted for the Hearing Record but not Reprinted Report from the Privacy and Civil Liberties Oversight Board, January 23, 2014, submitted by the Honorable Jerrold Nadler, a Representative in Congress from the State of New York, and Member, Committee on the Judiciary. This report is available at the Committee and can also be accessed at: http://www.pclob.gov/SiteAssets/Pages/default/PCLOB-Report-on- the-Telephone-Records-Program.pdf EXAMINING RECOMMENDATIONS TO REFORM FISA AUTHORITIES ---------- TUESDAY, FEBRUARY 4, 2014 House of Representatives Committee on the Judiciary Washington, DC. The Committee met, pursuant to call, at 10:14 a.m., in room 2141, Rayburn House Office Building, the Honorable Bob Goodlatte (Chairman of the Committee) presiding. Present: Representatives Goodlatte, Sensenbrenner, Coble, Smith of Texas, Chabot, Bachus, Issa, Forbes, King, Franks, Gohmert, Jordan, Poe, Chaffetz, Gowdy, Labrador, Farenthold, Holding, Collins, DeSantis, Smith of Missouri, Conyers, Nadler, Scott, Lofgren, Jackson Lee, Cohen, Johnson, Chu, Deutch, DelBene, Garcia, Jeffries, and Cicilline. Staff Present: (Majority) Shelley Husband, Chief of Staff and General Counsel; Branden Ritchie, Deputy Chief of Staff & Chief Counsel; Allison Halataei, Parliamentarian & General Counsel; Caroline Lynch, Counsel; Sam Ramer, Counsel; Kelsey Deterding, Clerk; (Minority) Perry Apelbaum, Minority Staff Director & Chief Counsel; Danielle Brown, Parliamentarian; and Aaron Hiller, Counsel. Mr. Goodlatte. Good morning. The Judiciary Committee will come to order. And without objection, the Chair is authorized to declare recesses of the Committee at any time. Before we begin today's hearing, I would like to take a moment to welcome the newest Member of the House Judiciary Committee, David Cicilline of Rhode Island's First Congressional District. Born in Providence, Congressman Cicilline moved to Washington, D.C., shortly after law school to work as a public defender before returning to Rhode Island. In 1994, he was elected to the Rhode Island State legislature and ultimately elected Mayor of Providence in 2002 and again in 2006. He was elected to the U.S. House of Representatives in 2010 and is also a Member of the House Committee on Foreign Affairs. And we welcome you to the Judiciary Committee. [Applause.] Mr. Conyers. Mr. Chairman? Mr. Goodlatte. And I would like to recognize the Ranking Member for any comments that he would like to make. Mr. Conyers. Thank you. On behalf of all of us on this side of the aisle, we join Chairman Goodlatte in welcoming our newest Member to the Committee, Congressman David Cicilline, First District, Rhode Island. A Mayor, a public defender, practiced law in Rhode Island, and I am confident that his depth of experience will be a great asset to this Committee. Mr. Cicilline, we welcome you and look forward to working with you. [Applause.] Thank you. Mr. Goodlatte. And we welcome everyone to this afternoon's hearing on Examining Recommendations to Reform FISA Authorities, and I will begin by recognizing myself for an opening statement. Today's hearing will examine the various recommendations to reform programs operated under the Foreign Intelligence Surveillance Act, or FISA. Last summer's unauthorized public release of these classified programs has sparked a national debate about the extent of these programs and whether they pose a threat to Americans' civil liberties and privacy. There have been myriad proposals to reform or end these programs. We are here today to vet these proposals and discuss their impact on America's national security and their value in enhancing civil liberty protections. Following last year's leaks, Obama administration officials appeared before this and other Committees in Congress to defend these programs and urge Congress not to shut them down, including the bulk metadata collection program operated under Section 215 of the PATRIOT Act. But just 2 weeks ago, President Obama announced that he supports ``a transition that will end Section 215 bulk metadata program as it currently exists and establish a mechanism that preserves the capabilities we need without the Government holding this bulk metadata.'' I am glad the President has finally acknowledged what I and many others concluded long ago, namely that the Section 215 bulk metadata program is in need of significant reform in order to restore the trust of the American people and to protect Americans' civil liberties. But I am disappointed that the President was unable or unwilling to clearly articulate to Congress and the American people the value of this information in thwarting terror plots. Instead, he simply declared that it is ``important that the capability that this program is designed to meet is preserved,'' while simultaneously announcing that he was ending the program as it currently exists. The 5-year storage of bulk metadata by the NSA is arguably the most critical and the most controversial aspect of the Section 215 program. But transferring storage to private companies could raise more privacy concerns than it solves. We need to look no further than last month's Target breach or last week's Yahoo breach to know that private information held by private companies is susceptible to cyber attacks. And transferring storage to private companies would require the Government to request data from multiple companies to connect the dots it currently stores, thereby complicating its ability to quickly and efficiently compile valuable intelligence. Of equal importance is the impact such a storage mandate would have on the ability of American companies to compete in a global market. American technology companies are experiencing a lack of customer trust and a loss of international business as a result of the Snowden leaks, based upon the fear that information about their customers is readily and routinely turned over to the American Government. I suspect requiring these companies to now house the data specifically so the Government can access it will only reinforce those fears. American companies, in fact, have sought permission to publicly report national security requests from the Government to inform and, hopefully, assuage the concerns of their American and foreign customers. To that end, I am pleased the Justice Department worked jointly with American companies to identify information that can be publicly reported about the size and scope of national security requests. This is one step that will help provide greater transparency to the American people about the nature of our intelligence gathering programs. On January 17th, President Obama also announced his desire to transfer the query approval of metadata from the NSA to the FISA court. I am interested to hear from today's witnesses whether such a reform will, in fact, result in greater privacy protections without weakening national security. President Obama also endorsed additional privacy protections for foreigners overseas. He instructed the Attorney General and Director of National Intelligence to take the unprecedented step of extending certain protections that we have for the American people to people overseas. Specifically, President Obama called for limiting the duration that personal information about foreign nationals is stored while also restricting the use of this information. Is it wise to restrain our national security agencies by extending to foreigners the rights and privileges afforded Americans? In addition to President Obama's proposed reforms, two panels, the President's Review Group on Intelligence and Communications Technology and the Privacy and Civil Liberties Oversight Board, have issued reports with their own proposals and conflicting legal analysis. On December 12th, the review group issued its report. While the review group questioned the value of the bulk collection of telephone metadata by the Government, the review group did conclude that the program is constitutional, legal, and has not been abused and recommended the program continue with third-party or company storage. A majority of the PCLOB, however, issued a report on January 23 that questioned whether the program is constitutional and concluded operated illegally under the statute since 2006. And recommended the metadata program end entirely. I look forward to a discussion today of the constitutional and statutory analysis and recommendations of these two panels. The House Judiciary Committee has primary jurisdiction over the legal framework of these programs and has conducted aggressive oversight on this issue. Any reforms Congress enacts must ensure our Nation's intelligence collection programs effectively protect our national security and include real protections for Americans' civil liberties, robust oversight, and additional transparency. It is now my pleasure to recognize the Ranking Member of the Committee, the gentleman from Michigan, Mr. Conyers, for his opening statement. Mr. Conyers. Thank you. I welcome the witnesses today, the Deputy Attorney General in the first panel, and the witnesses coming up in the second panel. Now the 9/11 Commission, observing that Congress had ``vested substantial new powers in the investigative agencies of the Government'' with the passage of the PATRIOT Act, argued that it would be healthy for the country to engage in full and informed debate on these new authorities. The commission concluded that when that debate eventually takes place, the burden of proof for retaining a particular Government power should be on the executive to explain that the power actually and materially enhances security. Today, we are now engaged in that debate. For the first time, the public understands that our Government is engaged in widespread domestic surveillance. This surveillance includes, but isn't limited to, the Government's collection of records on virtually every phone call placed in the United States under Section 215 of the PATRIOT Act. Consensus is growing that this telephone metadata program is largely ineffective, inconsistent with our national values, and inconsistent with the statute as this Committee wrote it. As the 9/11 Commission proposed, the burden rests with the Government to convince us otherwise. Reasonable people can disagree with me about whether or not the Government has met that burden, but there are several points to guide us in this debate that I believe are incontrovertible. First, the status quo is unacceptable. President Obama, his own Review Group on Intelligence and Communication Technology, and the Privacy and Civil Liberties Oversight Board all agree that the telephone metadata program, as currently exists, must end. The review group had full access to the leadership of the intelligence community. It concluded that there has been no instance in which the National Security Agency could say with confidence that the outcome of a case would have been different without the Section 215 metadata program. The Privacy and Civil Liberties Oversight Board came to the same conclusion and also observed that the operation of the bulk telephone record program bears almost no resemblance to the actual text of the statute. In his remarks at the Department of Justice, President Obama observed that because expanding technological capabilities place fewer and fewer technical restraints on what we can do, we have a special obligation to ask tough questions about what we should do. The President ordered immediate changes to the telephone metadata program and asked the Attorney General and the Director of National Security to develop options for a new approach that takes these records out of Government hands. I commend President Obama for his willingness to make these necessary changes. It cannot be easy for a sitting President to restrain his own intelligence capabilities, even if it is the right thing to do. After all, in the President's own words, there is an inevitable bias within the intelligence community to collect more information about the world, not less. My second point is that the Administration cannot solve this problem without Congress. The House Judiciary Committee must act. We are the primary Committee of jurisdiction in the House for the Foreign Intelligence Surveillance Act, the exclusive means by which the Government may conduct domestic surveillance. We are the proper forum for a debate about constitutional rights and civil liberties. More acutely, the Government is dependent on this Committee to renew the legal authorities now under review. Section 215 is scheduled to sunset on June 1, 2015. If it expires, all Section 215 programs, not merely bulk collection, expire with it. We should address bulk collection today, or we risk losing all of Section 215 this time next year. Unless this Committee acts and acts soon, I fear we will lose valuable counterterrorism tools, along with the surveillance programs many of us find objectionable. And finally, as this Committee moves forward, H.R. 3361, the USA FREEDOM Act, represents a reasonable consensus view and remains the right vehicle for reform. I am struck by the growing partisan--bipartisan consensus here. More and more of us seem to agree that the Congress should end bulk collection under Section 215 but allow the FBI's continued use of normal business records orders on a case-by-case basis. We should retain the basic structure of Section 702 of the Foreign Intelligence Surveillance Act but enact additional protections for United States persons whose communications are intercepted without a warrant. We should create an opportunity for an independent advocate to represent privacy and civil liberties interests before the FISA court. And in the service of meaningful public debate, we should declassify significant opinions of the FISA court, enhance reporting to the Congress, and allow companies to disclose more about their cooperation with the Government. These reforms are consistent with the President's remarks, the recommendations of the review group, and the report of the Privacy and Civil Liberties Oversight Board. They are also, point for point, the main objectives of the measure called the USA FREEDOM Act. Our colleague and former Chairman of this Committee, Mr. Sensenbrenner, is credited as the original author of the PATRIOT Act, is our lead on this bill in the House. Senator Leahy has introduced an identical measure in the Senate. The USA FREEDOM Act enjoys the support of 130 Members in the House, evenly divided between Democrats and Republicans. More than half of this Committee now supports the bill, and our numbers grow every week. And so, Mr. Chairman, I urge that you bring this bill up for consideration before the House Judiciary Committee as soon as possible because our mandate is clear. We have heard from the President, from his panel of experts, and from an independent oversight board. We will examine their proposals today, but the time for reform is now. And so, at the risk of making too much reference to the attacks of September 11, 2001, I close my remarks with another passage from the 9/11 Commission report. ``We must find ways of reconciling security with liberty since the success of one helps protect the other. The choice between security and liberty is a false choice, as nothing is more likely to endanger America's liberties than the success of a terrorist attack at home. ``Our history has shown that insecurity threatens liberty. Yet if our liberties are curtailed, we lose the values that we are struggling to defend.'' I thank you and yield back my time. Mr. Goodlatte. Thank you, Mr. Conyers. And without objection, all other Members' opening statements will be made a part of the record. It is now our pleasure to welcome our first panel today, and if the members of the panel would rise, I will begin by swearing in the witnesses. [Witnesses sworn.] Mr. Goodlatte. Let the record reflect that all of the witnesses responded in the affirmative. Thank you, and I will begin by introducing our witnesses. Our first witness is Mr. James Cole, the Deputy Attorney General of the United States at the Department of Justice. Mr. Cole first joined the agency in 1979 as part of the Attorney General's Honors Program and served the department for 13 years as a trial lawyer in the Criminal Division. He entered private practice in 1992 and was a partner at Bryan Cave, LLP, from 1995 to 2010, specializing in white- collar defense. Mr. Cole has also served as chair of the American Bar Association White Collar Crime Committee and as chair-elect of the ABA Criminal Justice Section. Mr. Cole received his bachelor's degree from the University of Colorado and his J.D. from the University of California at Hastings. Our second witness is Mr. Peter Swire, a member of the Review Group on Intelligence and Communications Technologies. The review group's mission is to review and provide recommendations on how, in light of advancements in communications technologies, the United States can employ its technical collection capabilities in a manner that optimally protects national security and advances our foreign policy while respecting our commitment to privacy and civil liberties, recognizing our need to maintain the public trust, and reducing the risk of unauthorized disclosure. Mr. Swire is also a senior fellow at the Future of Privacy Forum and the Center for American Progress, and policy fellow at the Center for Democracy and Technology. Mr. Swire is a professor at the Scheller College of Business at Georgia Tech, having previously served as a C. William O'Neill Professor of Law at the Ohio State University. Mr. Swire worked for the Clinton administration as chief counselor for privacy in the U.S. Office of Management and Budget, where he held Government-wide responsibility for privacy policy. In 2009 and 2010, Mr. Swire served as Special Assistant to President Obama for Economic Policy, serving in the National Economic Council with Lawrence Summers. Mr. Swire earned his undergraduate degree from Princeton and his juris doctor from Yale Law School. Our third witness is Mr. David Medine, the chairman of the Privacy and Civil Liberties Oversight Board. Mr. Medine started full time as chairman on May 27, 2013. Prior to serving as chairman, he was an attorney fellow for the Securities and Exchange Commission and a special counsel at the Consumer Financial Protection Bureau. From 2002 to 2012, he was a partner in the law firm Wilmer Hale, having previously served as a senior adviser to the White House National Economic Council from 2000 to 2001. From 1992 to 2000, Mr. Medine was the Associate Director for Financial Practices at the Federal Trade Commission. Before joining the FTC, he taught at Indiana University School of Law and the George Washington University School of Law. Mr. Medine received his bachelor's degree from Hampshire College and his juris doctor from the University of Chicago Law School. I want to welcome all of you. I would ask each of you summarize your testimony in 5 minutes or less, and to help you stay within that time, there is a timing light on your table. When the light switches from green to yellow, you will have 1 minute to conclude your testimony. When the light turns red, it signals the witness' 5 minutes have expired. And we will begin with Deputy Attorney General Cole. Welcome. TESTIMONY OF THE HONORABLE JAMES COLE, UNITED STATES DEPARTMENT OF JUSTICE Mr. James Cole. Thank you, Mr. Chairman, Ranking Member Conyers, and Members of the Committee, for inviting us here to continue the discussion of certain intelligence collection activities and our efforts to protect privacy and civil liberties at the same time. We have all invested a considerable amount of energy over these past few months in reviewing specific intelligence collection programs and the legal framework under which they are conducted. I think it is fair to say that all of us--the members of the Privacy and Civil Liberties Oversight Board, the members of the Presidential review group, the Administration, and the Congress--want the same thing--to maintain our national security while upholding the liberties that we all cherish. It is not always easy to agree on how best to accomplish these objectives, but we will continue to work in earnest to advance our common interests, and we appreciate the good faith in which everyone has engaged in this endeavor. We have benefited from the consideration of these difficult issues by the PCLOB and the PRG, and it's a pleasure to appear with them today. In his speech on January 17th, the President laid out a series of measures to reform our surveillance activities that draw upon many of the core recommendations issued by the PCLOB and the PRG. The work to develop or carry out these measures is well underway, and I would like to highlight just a few of the most significant initiatives announced by the President that the Department of Justice is working to implement in close coordination with the intelligence community. First, we are examining alternatives to the collection of bulk telephony metadata under Section 215, which, as you noted, the President has said will end as it currently exists. The President has said that the capability that this program was designed to provide is important and must be preserved, but we must find a new approach that does not require the Government to hold this bulk metadata. The Section 215 program, as currently constituted, is subject to an extensive framework of laws and judicial orders and to oversight by all three branches of Government, designed to prevent abuse. Neither the PCLOB nor the PRG has questioned the rigor of that oversight system, nor has anyone identified any intentional misuse of the telephony metadata. Nevertheless, we recognize that any time large amounts of data are collected, whether by the Government or private companies, there is a potential for misuse, and it will be important that the new approach remains subject to a rigorous oversight regime. Insofar as the legality of the program is concerned, it is important to remember that the courts, the final arbiters of the law, have repeatedly found the program lawful, including 15 separate judges of the Foreign Intelligence Surveillance Court and two District Courts. There has been only one contrary District Court ruling, which is now on appeal. The PCLOB undertook its own analysis of the legality, but the members were unable to agree on whether it was authorized under the statute. Although we continue to believe the program is lawful, we recognize that it has raised significant controversy and legitimate privacy concerns. And as I have said, we are working to develop a new approach, as the President has directed. Second, we are working to develop additional restrictions on Government's ability to retain, search, and use in criminal cases U.S. person information incidentally collected when we target non-U.S. persons overseas under Section 702 of FISA. Third, the President recognized that our global leadership position requires us to take steps to maintain the trust and cooperation of people not only here at home, but around the world. Accordingly, he has also determined that as a matter of policy, certain privacy safeguards afforded for signals intelligence containing U.S. person information will be extended to non-U.S. persons where consistent with national security. We will be working with our colleagues in the intelligence community to implement that policy directive. Fourth, the department is working to change how we use national security letters so that the nondisclosure requirements authorized by statute will terminate within a fixed time unless the Government demonstrates a need for further secrecy. Although these nondisclosure obligations are important in preserving the viability of national security investigations, these reforms will ensure that secrecy extends no longer than necessary. Fifth, the President called upon Congress to authorize the establishment of a panel of advocates from outside the Government to provide an independent voice in significant cases before the FISC. We believe the ex parte process has functioned well. The court, however, should be able to hear independent views in certain FISA matters that present significant or novel questions. We will provide our assistance to Congress as it considers legislation on this subject. Sixth, we have already taken steps to promote greater transparency about the number of national security orders issued to technology companies, the number of customer accounts targeted under those orders, and the legal authorities behind those requests. As a result of the procedures that we have adopted in this regard, technology companies have withdrawn their lawsuit concerning this issue. Through these new reporting methods, technology companies will be permitted to disclose more information to their customers than ever before. We look forward to consulting with Congress as we work to implement the reforms outlined by the President and as you consider various legislative proposals to address these issues. I'll be happy to take any questions you may have. [The prepared statement of Mr. James Cole follows:] [GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT] __________ Mr. Goodlatte. Thank you. Mr. Swire, welcome. TESTIMONY OF PETER P. SWIRE, REVIEW GROUP ON INTELLIGENCE AND COMMUNICATIONS TECHNOLOGY Mr. Swire. Thank you, Mr. Chairman and Ranking Member Conyers and Members of the Committee. I appreciate the opportunity to testify today on behalf of the five members of the review group and the invitation and the request was rather than this being my personal statement, that it be reflecting the group's effort and our report that was issued in December. The review group is a group of five people. I'll briefly describe them in the context of our work and how we came to our recommendations. One of the members is Michael Morell, who had more than 30 years in the CIA as a professional intelligence officer, and he finished his time there as Deputy Director of the CIA. So we had the benefit in our group of somebody with many years of deep experience in the intelligence community. Richard Clarke had been the senior cybersecurity and anti- terrorism adviser, both to President Clinton and President George W. Bush. So he came to this with both technological and Government experience in many different respects. Cass Sunstein is, I think, the most cited law professor in the United States, a professor at Harvard right now, and he has spent 5 years as the Director of the Office of Information and Regulatory Affairs at OMB, with a detailed knowledge of the Government and how it operates. And Geoffrey Stone is the former dean of the University of Chicago Law School, and he's an expert, among other things, on civil liberties in the time of war. So I felt privileged to be working with these four distinguished gentlemen. My own background is primarily in the area of privacy, technology, and law, how these come together, and I'll mention two parts of the background that are relevant to today's hearing. For one, when I worked under President Clinton, I was asked to chair an administration process to propose legislation on how to update wiretap laws for the Internet. And in the fall of 2000, this cleared administration proposal came before this Committee for a hearing where the Department of Justice testified, and some of the people here today asked questions of that. So how to do the law around wiretaps on the Internet is something we've been wrestling with for quite some time. The second thing is that in 2004, I published an extensive article on the history and issues surrounding FISA, which touches on some of the issues we'll address today. In terms of the review group, in August, the five of us were invited to come meet with the President and be named to the review group, and I'd like to just take a moment on the charter of our group. The charter was to try to bring together things that are hard to bring together. How do we do national security? How do we maintain our foreign allies and relationships with other countries, including commercial relationships? How do we preserve privacy and civil liberties in this new technological age? How do we maintain public trust? And finally, how do we address the insider threat, which we've seen can be a very--a big problem in terms of maintaining classified secrets? So, within these national security, commercial, civil liberties and public trust things, how do we put this all together in a package? The--our job was to be--as tasked by the President, was to be forward looking. Where should we go from here? So I'd like to emphasize we did not do a constitutional analysis of any of the programs. That was not what we thought our job was. We also did not do a specific statutory analysis of whether something was or was not lawful that was being done specifically around 215. Others have taken on those tasks. Our group did not do that constitutional or statutory analysis. We thought putting these five major goals together into a report was plenty for us to take on during the fall. One of the things about our group is that we, in addition to being forward looking, were not limited to counterterrorism in our mission. And so, the PCLOB, as David Medine will talk about, has statutory authorities specifically focused on counterterrorism. We were asked to take on broader issues around foreign affairs, et cetera, that in some cases go beyond that scope. We met during the fall each week. We got briefed extensively on a classified basis from the agencies. We had detailees from the agencies. Every question we asked for, we got answered. The agencies were outstanding in their cooperation. We presented our preliminary findings orally to the President's top advisers during the fall and, on December 11th, transmitted our report to the White House. This was our report. It was submitted for declassification review to make sure we weren't releasing classified secrets, but the recommendations were the group of five, it was our own. And as it turned out, after we did this work together, the civil liberties people in our group, the anti-terrorism, the CIA people in the group, all of us came to consensus. So every sentence of the report turned out to be agreed to by all five of us. As I testify and as I answer your questions today, my effort will be to accurately reflect the report that brought these disparate views together. Our--we met with the President after the report was submitted. Our report was released in mid December, has been extensively discussed in the press and elsewhere, and the review group formally ceased to exist after the President's speech. So I'm here as a private citizen, but doing my very best to reflect the views of the five people on the review group. So I look forward to taking questions from you all. Thank you. [The prepared statement of Mr. Swire follows:] [GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT] __________ Mr. Goodlatte. Thank you. Mr. Medine, welcome. TESTIMONY OF DAVID MEDINE, PRIVACY AND CIVIL LIBERTIES OVERSIGHT BOARD Mr. Medine. Thank you, Mr. Chairman, Ranking Member Conyers. Mr. Goodlatte. You want to hit the button there on your-- good. Pull it close to you as well. Mr. Medine. There we go. Thank you, Mr. Chairman, Ranking Member Conyers, and Members of the Committee, for the opportunity to testify regarding recommendations to reform the Nation's intelligence gathering program. I'm the chairman of the Privacy and Civil Liberties Oversight Board, an independent, bipartisan agency in the executive branch tasked with ensuring that our Nation's counterterrorism efforts are balanced with the need to protect privacy and civil liberties. I'd like to offer both my statement and the board's report for the record. The board's report focuses on the 215 program and the operations of the Foreign Intelligence Surveillance Court. And most of the recommendations are unanimous in our report. I will highlight some of the areas where there was lack of unanimity. But before I start, I'd like to express the board's respect and admiration for the men and women in the intelligence community, who work tirelessly to protect our country day and night and uphold our values. We hold them in the highest regard, based on everything we have observed during the course of conducting our study. In June, many Members of Congress and the President asked us to prepare a report on the 215 and 702 programs conducted by NSA. Our 702 report will be issued in a couple of months. In the course of conducting our study, we had briefings with a number of intelligence agencies and had an opportunity to see the 215 program in action. We held two public events to get public input, as well as soliciting public comment, and met with industry groups, trade associations, and advocates regarding this program. This culminated in our release on January 23 of our report addressing, again, the 215 program and reforms to the FISC. With regard to the 215 program, we conducted a statutory analysis and concluded that the program lacks a viable foundation in the law. We also looked at the First and Fourth Amendment of the Constitution and concluded that the program raised serious concerns under both of those amendments. We examined the privacy and civil liberties consequences of the program and found them serious because the program contains highly sensitive information. Citizens may be chilled in exercising their associational rights, in engaging with reporters or religious groups or political organizations, knowing that the Government is collecting information about them. This is also information that's subject to potential abuse. We did not see any abuse now, but we certainly know lessons from the 20th century where there were abuses of surveillance of civil rights leaders and anti-war activists and others. And so, gathering this information by the Government does raise serious privacy and civil liberties consequences. But we also looked at the efficacy of the program, and we looked at each of the instances in which there were claimed successes in the program. We had classified information, and we checked our facts with the intelligence community. And after that analysis, we concluded that the benefits of the program are modest at best, and they are outweighed by the privacy and civil liberties consequences. As a result, a majority of the board recommended that the program be discontinued, and the entire board recommended that there be immediate changes to the program to add privacy and civil liberties protections. The dissenting members of the board felt that the Government's interpretation of the program in the law was reasonable and that with the privacy changes that we are proposing on the interim basis, that they would be comfortable with having the program continue with those changes. Turning to the Foreign Intelligence Surveillance Court, the board unanimously recommends changes to the operation of the court, both to bolster the court's confidence with the public and as well as let the court benefit from adversary proceedings, which are the heart of the judicial process. So, accordingly, the board recommends that a panel of special advocates be created, made up of private attorneys appointed by the court in cases involving significant legal and policy issues and new technologies so that there is another side presented besides the Government's position, to argue on both statutory and constitutional grounds. We also recommend that there be an opportunity to appeal decisions of the court by the advocate. There have only been two appeals ever to the Foreign Intelligence Surveillance Court of Review, and we think there's a benefit from the appellate process and, therefore, recommend a mechanism by which we think you can constitutionally have the special advocate obtain appellate review of the decisions. And then we also encourage the court to obtain more technical assistance and outside legal views because these are complex issues that the court is confronting, and the court could benefit from technology advice. And lastly, the board focused on transparency issues. In our democracy, there's a tension between openness and secrecy with regarding our intelligence programs. We've made recommendations that we believe serve both of those values, and most of those recommendations are unanimous as well. So thank you very much for the opportunity to appear, and I'd be happy to answer your questions. [The prepared statement of Mr. Medine follows:] [GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT] __________ Mr. Goodlatte. Thank you, Mr. Medine. I will begin the questioning and will start with Deputy Attorney General Cole. Both the PCLOB and the review group have questioned the value of the bulk metadata program. Congress has been waiting for a long time for the Administration to explain exactly why bulk collection is crucial to national security. So, Deputy Attorney General Cole, this is the Administration's opportunity to explain to Congress why bulk collection, as opposed to other intelligence measures, is necessary to protect our citizens. Mr. James Cole. Well, Mr. Chairman, I think to understand this, we first have to understand the value of trying to make the connections, connect the dots between people who we know are involved in terrorist activity or have reasonable, articulable suspicion to believe are, and the other people that they may be acting with, both inside and outside of the United States. That's a very useful tool. It's not the only piece of evidence you would need in an investigation. And in fact, in my years as a prosecutor, there is rarely one piece of evidence that makes the case. It's a whole fabric of evidence that's woven together, small pieces that relate to each other that become useful once they're compared with and connected with many others. This is a tool that gives us one of those pieces of information, the connections from one person to another. And in order to be able to get it in a useful way, the initial view and the most expeditious way to do it was to have the bulk collection of the mass of telephone records with significant restrictions on how we could access it. So that we could, when we find a phone number associated with a certain terrorist group, we can search through the other records and find those connections. Now we can find other ways, and we are finding other ways to try and approximate and gain that same kind of information. Mr. Goodlatte. Let me ask you about one subset of that that is very, very important and seems to be the thing that concerns many people the most. The President's review group has recommended that the storage of bulk metadata be transferred to a third party or to company storage. The President also indicated that it is his preference as well. How does third-party storage protect Americans' privacy more than Government storage, and does the President have additional ideas for reform beyond third-party storage? Mr. James Cole. Well, Mr. Chairman, we're trying to work through the best way to go about this, and the President has given us this direction, and we are looking for all the possible alternatives. The President's review group made that recommendation. The PCLOB noted that there are issues with all of the different alternatives that you can use here. I think one of the issues that comes to mind is that the Government has certain powers that private groups don't have, and there is a concern among the American people when the Government has possession of all of those records and the powers that go with the Government, that they would prefer that the Government not have those records, that some private party have them. Obviously, we need to make sure that strict controls are put on, as they were when the Government possessed the bulk data, to make sure that they're not abused. And it's very, very important to make sure that those strict controls, as had been done under the bulk collection, are continued regardless of where these records reside. Mr. Goodlatte. Let me ask you one follow up to that. That is really a critical question here. The third-party storage is really an idea that is still in progress. If the Administration finds that third-party storage is not a viable option, what would be the President's recommendation for moving forward, continue the bulk collection program or ending it? Mr. James Cole. I think that's the process we're going through right now. I don't want to try and get too far ahead of it and hypothesize about where we may end up by the time we have to make recommendations to the President and he makes a decision. But obviously, the providers already---- Mr. Goodlatte. You have heard the Ranking Member. There is legislation before the Committee. There are other legislative ideas than the one he referenced. But he and many others are chomping at the bit to move forward, and having the Administration's position on this critical aspect of this is important. So we need to know the answer to that sooner rather than later. Mr. James Cole. And we're working on trying to get that answer, and we'll provide it to you. The providers already keep these records for a certain period of time, and some keep it longer than what is required under regulations. And so, we have to work through what we think is the optimal period of time that the records need to be kept if there's going to be a provider keeping it solution. Mr. Goodlatte. And I want to direct one question to Mr. Medine before my time expires. The PCLOB majority recommends ending the bulk collection of telephony metadata under Section 215. The majority also recommends, however, that the program continue with certain modifications. Why did the majority not recommend the immediate end to the program? Mr. Medine. The majority looked to how other programs have been continued when, say, courts have struck them down. Even the Supreme Court has found programs unconstitutional and, nonetheless, gave the Government an opportunity to transition to a new program. And so, rather than shut it off, we felt we followed the approach that the courts have taken, which is to say let's quickly transition into another program, either keeping the information with providers or some other mechanism as developed. Mr. Goodlatte. Well, you are talking about courts in other cases because the court---- Mr. Medine. Nothing--not in this case. Mr. Goodlatte. I haven't heard them say that in this case. Mr. Medine. But we've looked at precedent of how, if a program has been found to be illegal or unconstitutional, courts oftentimes don't just shut it down. They give an opportunity to transition, and we thought that--especially since we're not a court, that it was reasonable to recommend that there be a period of transition, hopefully brief, to a different program. Mr. Goodlatte. Thank you. The gentleman from Michigan, Mr. Conyers, is recognized for 5 minutes. Mr. Conyers. Thank you. And I thank the witnesses. I would like to begin by asking Mr. Medine about the telephone metadata program. Let us get right to it. Is the telephone metadata program consistent with the plain text of Section 215? Mr. Medine. Ranking Member Conyers, in the view of the majority of the board, it is not for a number of reasons. As I think you indicated in your statement, in many ways, it barely reflects the language of the statute. Mr. Conyers. And it also makes it clear that it must be relevant, and relevant does not mean everything. And I think that that is a very important way for us to begin looking at this. Mr. Swire, the review group's report proposes the Government only seek business records under Section 215 on a case-by-case basis. Why is targeted collection a preferable and sufficient alternative to bulk collection? Mr. Swire. Thank you, Congressman. The review group in many instances thinks that targeted collection to face serious threats is traditional law enforcement and national security practice. When you identify particular people who create risks, it's wise to follow up on those. We also, on bulk collection, on 215 in particular, found that there had not been any case where it had been essential to preventing an attack. The review group did find, as a group, that there was usefulness in Section 215 bulk collection, and we thought that transitioning it away from Government holding of the data was better within our system of checks and balances than having it held by the Government. Mr. Conyers. Thank you. The report also says that the Government should no longer hold telephone metadata. If the Government can only collect metadata with a particularized showing of suspicion and the Government cannot hold information in bulk, what is left of the telephone metadata program? Mr. Swire. Well, what's left is similar to metadata in other circumstances. This Committee knows about trap and trace and pen register authorities, which are done under standards much less than probable cause. It's much easier to get the metadata as step one to an investigation, and everything in our approach is consistent with using a judicial step, but a step with less than probable cause to go forward with the investigations. Mr. Conyers. Mr. Deputy Attorney General, in his January 17th remarks, President Obama asked the Justice Department to develop options for a new approach that can match the capabilities and fill the gaps that the Section 215 program was designed to address without the Government holding this metadata itself. What range of options might we consider as alternatives to the Government storing this information, if your group has gotten that far in its work? Mr. James Cole. Well, certainly, Mr. Ranking Member, there are three options that come to mind just off the top of my head, which is--or two options. One is a third party who would gather all of the data together so that the access could be across providers, which was the--one of the efficient and effective aspects of the metadata bulk collection program. The other is to have the providers keep it. At this point, under regs, they're required to keep it for about 18 months. It might require legislation, if we deem that not to be a sufficient amount of time, to require them to keep it longer. I don't think they really favor that option. We're also trying to think outside the box and see if there are any other options that we can come up with. There's a lot of very talented and very capable people trying to think through this problem and trying to find whatever creative solutions we can. Mr. Conyers. Thank you. And my last question is to Mr. Medine. Both your board and the review group find that the bulk collection program has never disrupted a terrorist--a terror plot. The report also closely examines the 12 cases in which the Government says the telephone metadata program has contributed to a success story in a counterterrorism investigation. What were those contributions, and do any of them to you justify a massive domestic call records database? Mr. Medine. Mr. Ranking Member, we have analyzed carefully all of the success stories and, as you indicate, did not find any instance in which a plot was disrupted or an unknown terrorist was identified. However, there are some aspects of the program that have produced some benefits. One, a material assistance case benefited from use of the 215 program. And there are also the ``peace of mind'' concept, which is sometimes it's helpful to know there isn't a U.S. connection to a potential plot that's underway overseas. But we found in those and any other instances where the program had had successes, that those successes could have been replicated using other legal authorities without the need to collect bulk telephone metadata and all of the privacy and civil liberties problems associated with that collection. Mr. Conyers. Mm-hmm. Thank you, Mr. Chairman. Mr. Goodlatte. Thank you. The Chair recognizes the gentleman from Wisconsin, the Chairman of the Crime, Terrorism, Homeland Security, and Investigations Subcommittee, Mr. Sensenbrenner, for 5 minutes. Mr. Sensenbrenner. Thank you very much, Mr. Chairman. I was the principal author of the PATRIOT Act that was signed by President Bush in 2001, and I also was the principal author of the two reauthorizations in 2006 and in 2011. Let me say that the revelations about Section 215 were a shock and that if the bulk collection program was debated by the Congress in each of these three instances, it never would have been approved. And I can say that without qualification. Congress never did intend to allow bulk collections when it passed Section 215, and no fair reading of the text would allow for this program. The PCLOB said, ``The Section 215 bulk telephone records program lacks a viable legal foundation under Section 215, implicates constitutional concerns under the First and Fourth Amendments, raises serious threat to privacy and civil liberties as a policy matter, and has shown only limited value.'' I agree with that. Now the Administration, the argument that they use under Section 215 is essentially that if the Administration and the intelligence community wants something, it is relevant. And that is not a limiting principle, which everybody thought relevant was, it is a vacuum cleaner, and that is why there has been such outrage, both here and overseas, that has impacted our intelligence community and also implicated the commercial relationship between us and foreign countries, particularly major trading partners in the European Union. And I am very worried about an intelligence review structure where the Administration and the FISCs could sanction this. That is why Mr. Conyers and I, together with a lot of Members equally divided between Republicans and Democrats, have sponsored the USA FREEDOM Act. We attempted to make the FREEDOM Act a balance between the civil liberties concerns that have been expressed in the last 7 months, as well as the need to have an active intelligence operation. Now Section 215 expires in June of next year. And unless Section 215 is fixed, you, Mr. Cole, and the intelligence community will end up getting nothing because I am absolutely confident that there are not the votes in this Congress to reauthorize Section 215. Now the FREEDOM Act is the only piece of legislation that attempts to comprehensively address this problem in a way that I think will get the support of a majority of the Members of both the House and the Senate. The Feinstein bill I think is a joke because it basically prohibits bulk collection, except as authorized under a subsection, which authorizes the intelligence community to keep on doing business as usual. Mr. Cole, I think that we are smart enough to recognize that for what it is. And it is a joke. There hasn't been anything else that has come from the Administration or elsewhere to deal with this issue, and the clock, sir, is a- ticking. And it is ticking rapidly, and this is going to have to be addressed in this year, even though it is an election year. Now will the Department of Justice, Mr. Cole, support the FREEDOM Act? And all I need is a ``yes'' or ``no'' answer. Mr. James Cole. Uh---- Mr. Sensenbrenner. Not ``yes, but'' or, ``no, of course.'' But ``yes'' or ``no.'' Mr. James Cole. The Department of Justice is a big place, Senator, and at this point, we have not taken a position on the FREEDOM Act. We'd be more than happy to---- Mr. Sensenbrenner. Well, then I---- Mr. James Cole [continuing]. Work with you on that. Mr. Sensenbrenner. Well, then--well, I haven't seen any indication of that to date, and I would urge you to hurry up and to get the big place together. Because the FREEDOM Act are reasonable reforms that have been emphasized as necessary and responsible by both the PCLOB and the review panel. There is nothing else out there to fix this up. So you have a choice between reaching something that will be supported by a majority of the Congress or letting the clock tick, and come June 1 of next year, there will be no authority for anything under Section 215. Now if the Administration has got problems with the Leahy- Sensenbrenner-Conyers bill, let us talk about it. But it is past time for genuine reform, and I can tell you, sir, that if the Administration doesn't want to weigh in on this, I am sure that Congress will do so. And I don't want to hear any ex post facto complaining. My time is up. Mr. Goodlatte. The Chair recognizes the gentleman from New York, Mr. Nadler, for 5 minutes. Mr. Nadler. Thank you very much, Mr. Chairman. Let me first do something I rarely do, which is to express my complete and total agreement with the gentleman from Wisconsin. [Laughter.] Both in his analysis of the misuse and abuse of Section 215 and of what will happen to Section 215 if it is not substantially modified either this year or early next year. Mr. Conyers and I and various others opposed the Section 215 version that was adopted back in 2001 and again in 2006 and 2011. We thought it was too broad. But now we have even that very broad version completely taken over the side by the Administration, by two Administrations, actually, and by the FISC. And the fact that the FISC several times determined that the use of Section 215 as authorization for what amounts to a general warrant, all right? You can collect all data, and then you can access that data without a specific warrant to access it or even a court order to access it, based on reasonable and articulable suspicion, but simply by an NSA or CIA officer saying, ``We really need to look at that particular phone,'' is a derogation of all of American history, frankly, since 17--it is why we put the Fourth Amendment in because we objected to the British general warrants. And we have, in effect, reestablished that here. And that will not stand. It cannot be allowed to stand. So let me simply echo that it has got to change. There is no excuse for picking everything and then allowing access to that without some sort of a specific court order. And the fiction that the warrant that the FISA court grants and says Verizon or AT&T shall give the Government access, you know, all telephone metadata over a 3-month period is a warrant, is a specific warrant that negates the necessity for a warrant or a court order for more specific information is just that, a fiction, and it is a general warrant. And it cannot be permitted to stand, and it won't be permitted to stand. So I will second Mr. Sensenbrenner and urge you to swiftly get the department together and to if you don't want the FREEDOM Act to pass it the way it is or Section 215 simply to not be extended, which might be the best solution, frankly, from my point of view, you better come in with very specific recommendations. Now let me say last week in testimony before the Senate, some Administration officials suggested that terrorist plots thwarted is not the appropriate metric for evaluating the effectiveness of the program. And yet for months, the Administration has made precisely the opposite argument. For example, in a September letter to NSA employees, General Alexander wrote that the agency has ``contributed to keeping the U.S. and its allies safe from 54 terrorist plots.'' We have heard this 54 terrorist plots line repeated on several other occasions, although PCLOB and a lot of others have discredited it. Why has the argument changed? Why are we now to apply a different set of metrics to the program? Mr. James Cole. I assume that's directed to me, Mr. Nadler. Mr. Nadler. Yes, it is. Mr. James Cole. Well, first of all, I think to a degree you're going to have to ask the people who made those statements. I don't think any of them were from the Department of Justice. We have been, and actually, some of the members of the PCLOB have agreed that that is--the past success or failure is not the only metric to use, or necessarily the best one. That there are many different ways to assess the utility of the 215 program that doesn't always have to be, as I said earlier, the smoking gun or the nail in the coffin that gives you the single piece of evidence that will lead to success. It's one piece of evidence. Mr. Nadler. Okay. Thank you. I am sorry to cut you off, but I have another question I must get in. National security letters empower the FBI and other Government agencies to compel individuals and organizations to turn over many of the same records that can be obtained by Section 215. But NSLs are issued by FBI officials, not by a judge or by a prosecutor in the context of a grand jury investigation. As the Government has explained their use of this to this Committee, NSLs are used primarily to obtain telephone records, email subscriber information, and banking and credit card records. The FBI issued 21,000 NSLs in fiscal year 2012. The oversight and minimization requirements for these NSLs are far less rigorous than those in place for Section 215 orders. The review group recommends ``that all statutes authorizing the use of national security letters should be amended to require the use of the same oversight minimization, retention, and dissemination standards that currently govern the use of Section 215 orders.'' Should we adopt that recommendation? Is there any reason that the two programs should not be harmonized? For that matter, is there any reason that NSLs should exist in addition to Section 215 authorization in whatever form we extend it, if we do? Mr. James Cole. Well, actually, under the NSL program, you can't get the same records you can get with 215. It's much more limited under NSLs as to just specific categories of records. Whereas, 215, grand jury subpoenas, things like that, the records are almost unlimited as to the nature or the type that you can get. So there's a restriction in NSLs. They're used really in the main as part of preliminary inquiries---- Mr. Nadler. Yes, but my point is if you can get it as under 215, if, in fact, 215 is broader, why do you need NSLs ever? Mr. James Cole. It may just be a question of, again, how many times you need that information and whether or not you go to a court. In a grand jury situation, subpoenas are issued without the involvement of the court many, many, many times, probably as frequently, if not more so, as NSLs. Mr. Sensenbrenner [presiding]. The gentleman's time has expired. Mr. Nadler. Thank you. Mr. Sensenbrenner. The gentleman from North Carolina, Mr. Coble? Mr. Coble. I thank the Chairman. Gentlemen, good to have you all with us. Mr. Cole, I was going to talk to you about bulk collection, but I think that has been pretty thoroughly examined. Mr. Swire, let me go to you. The review group's report recommended a transition of Section 215 bulk metadata from Government storage to storage providers or third parties. This recommendation is consistent with recent guidance put forth by the Administration after its own review. Last week, it was reported by Yahoo that information relating to email accounts and passwords, likely in the hands of such a party database, had been compromised due to a security breach. Are you concerned that Section 215 metadata could be similarly compromised after transitioning to a private provider or third-party storage? Mr. Swire. Thank you, Congressman. A couple of observations. One is, of course, that the National Security Agency itself has had leaks and lack of complete security for its documents. So we're not comparing perfect with perfect. We face these challenges for databases in each case. A second observation is that the telephone companies hold telephone records. That's part of what they do and have done, and one of the options that we put forward is that the telephone companies would continue to hold these. So it's not a question of some new risk that we bring into the world. It's a risk that we face both from the Government side and the private sector side when we have these databases. I'm not sure if I--your---- Mr. Coble. I think that was appropriate. Thank you, sir. Mr. Swire. Okay. Mr. Coble. Mr. Medine? The FISA court has repeatedly upheld through its orders approving the NSA metadata program production of records to an agency other than the FBI. Did the privacy and civil liberties oversight majority take this into account? Mr. Medine. Yes, sir. Section 215, on its face, only permits the FBI to make requests and obtain access to telephone records, despite the fact that under the current system it is the NSA that obtains that information. And so, we think that was one of a number of respects in which the current program does not match the requirements of Section 215. Mr. Coble. So you have no discomfort with that? Mr. Medine. Excuse me? Mr. Coble. You have no discomfort or problem with that? Mr. Medine. Yes. We have discomfort with a number of aspects of compliance. As was discussed earlier, the scope of relevance under the statute, the fact that information has to be linked to a specific investigation, and something that we haven't touched on yet, which is the Electronic Communications Privacy Act does not permit telephone companies to provide information to the Government under the 215 program at all in either an individual request or on a bulk basis. The Electronic Communications Privacy Act only has an exception for national security letters and a few other areas. So we think that it makes sense to discontinue--the majority does, to discontinue the 215 program and move to other legal authorities. Mr. Coble. Thank you again, gentlemen, for being with us this morning. I yield back, Mr. Chairman. Mr. Sensenbrenner. The gentleman from Virginia, Mr. Scott? Mr. Scott. Thank you, Mr. Chairman. Mr. Cole, you offered several procedural changes as recommendations. To paraphrase President Reagan, we need to trust, but codify. Would you object to those recommendations being codified rather than just remaining as administrative process? Mr. James Cole. I think as the President mentioned in his speech, he's anxious to work with Congress on many of these things to try and find the right solutions that we have. I know the USA FREEDOM Act, many of the goals that are set out there are goals that we share. As I said in my opening, sometimes we have different ways of getting there, but we all seem to share the right goal together. Mr. Scott. And follow-up, several other questions. We frequently hear that the information gathered was helpful. I find that legally irrelevant. So let me just ask a question. If a collection of data were illegal, would a finding that it was helpful provide retroactive immunity for illegally collecting evidence? Mr. James Cole. No, Mr. Scott, it would not. If the collection is illegal, the standard would not be met. Mr. Scott. Thank you. Mr. Swire, there was a case a couple of months ago in DNA that found that if DNA is legally collected, that there is no-- there is no prohibition against running it through the database to see if the person had committed another crime. If I were to go up to you, if a law enforcement agency would go up to you and say, ``I would like some DNA to see if you have committed crime,'' that would be legally laughable. There appears to be no statutory limitation on what you can do with this information. So I guess my question is under--you recommended under 702 that if you have collected information about a U.S. person, you can never use it in any proceeding. That would, of course, eliminate any incentive to get the information in the first place if it was for something other than foreign intelligence. If that is your recommendation for 702, would that also be your recommendation on 215, that you cannot use this data for other proceedings? Mr. Swire. Thank you, Congressman. Under Section 702, the target, by statute, is supposed to be somebody outside the United States. But sometimes they're in communication with people in the United States, and the concern behind our recommendation here is the possibility, which we have not seen in practice, is the possibility that the 702, do it overseas, could turn out to be a way to gather lots of information about United States people. And so, we made a recommendation to say that that would not be used in evidence in court as a way to prevent that temptation to use the authority to go after U.S. persons. In terms of 215, we don't have the same statute that's specifically targeted at overseas. 215 can be for domestic phone calls as well. So we didn't have this using our overseas authorities to get people domestically---- Mr. Scott. But you're using foreign intelligence excuse to gather information that is subsequently used for criminal investigation. Mr. Swire. We did not make a recommendation about subsequent use, but we, I think--I think all of us recognize using foreign intelligence powers for purely domestic phone calls has been something that's drawn a huge amount of attention to these issues and is something that historically has been something that's been looked at carefully when the CIA or other agencies have done it. So that's a concern using foreign intelligence issues authorities for domestic purposes. Mr. Scott. Let me follow through with another question that has been kind of alluded to, and that is that you want to limit Section 215 by ensuring that there is reasonable grounds to believe that it is relevant to an authorized investigation and the order is reasonably focused in scope and breadth. Can you explain how that recommendation varies from what everybody up here thought was present law? Mr. Swire. Well, I think when we talk about like a subpoena, an order should be reasonable in focus, scope, and breadth. Mr. Scott. We wouldn't have to put that in a statute to assume that to be the case, right? Mr. Swire. Well this gets into the statutory interpretation of the current 215. Our group did not take a position on that. The Government and the Privacy and Civil Liberties Oversight Board have come to different views on that. Mr. Scott. That we would have to put reasonable in scope and breadth in the statute for that to be assumed? Mr. Swire. Our recommendation was that a judge be involved in these things and that there be a reasonable breadth requirement explicitly in statute so that it's clear from Congress that that's what you intend. Mr. Scott. You also indicated a recommendation that the NSA not be involved in collection of data other than foreign intelligence. Can you explain what the NSA is doing that is not involved in foreign intelligence? Mr. Swire. In our--in our report, we talk about two other areas the NSA currently has or bears very important responsibilities. Currently, the Director of the NSA is also the Director of Cyber Command, which is part of the military operation for combat-related activities in cyberspace. We thought that was quite a different function from foreign intelligence collection. The NSA also has responsibilities for what's called information assurance, protecting our classified and other systems, and we thought that defensive role is quite different from the offensive role of gathering intelligence and recommended those functions be split. The President has not decided to adopt either of those recommendations. Mr. Scott. Thank you. And Mr. Cole, are you aware of any abuses in the use of classified information? Things like I think there is a thing called LOVEINT. Are you familiar with that? Mr. James Cole. I've heard that phrase, yes, sir. Mr. Scott. What is that? Mr. James Cole. I think it's when you have somebody who is dating somebody, and they have access to one of these databases or a database and uses it to look at their--the person they're dating and find out who they're talking to and who they're in contact with. That's what I understand it to mean. Mr. Scott. And that happens? Mr. James Cole. I think there have been a few instances. I think the NSA had noted a few instances of it. I don't think they existed under 215. I think they may have existed under other authorities, but I think there has been just a handful of those over time. Mr. Scott. And what happens? Mr. James Cole. And they've been dealt with immediately. Mr. Scott. And what has happened to the culprits? Mr. James Cole. I know that most, if not all of them, lost their jobs. There were referrals in many of those cases to the Justice Department to consider whether or not prosecution would be appropriate. Mr. Scott. Thank you, Mr. Chairman. Mr. Goodlatte [presiding]. Thank you. The Chair recognizes the gentleman from Alabama, Mr. Bachus, for 5 minutes. Mr. Bachus. Thank you. I would ask all three of the panelists is relevancy for purposes of intelligence gathering different from relevancy for purposes of, say, a criminal investigation or civil investigation? Shouldn't it be a--shouldn't the standard be somewhat different, or is it? Start with Mr. Cole. Mr. James Cole. I think as you've seen from the court's opinions, they borrow both from criminal investigations, civil proceedings, and do that and use those as analogies to get to the standard in foreign intelligence. And they find it to be the same standard. Mr. Bachus. You know, as just a Member of Congress, I sort of have the opinion that it is much more urgent for us to defend ourselves as a country. But does sometimes applying a civil court standard of relevancy or even a criminal court standard of relevancy sort of diminish their ability at--in defending the country from terrorists? Mr. James Cole. Well, I think if you look at Judge Eagan's opinion from the FISA court, her view and her finding was that the term ``relevancy'' was very broad and was very useful in both criminal, civil, and foreign intelligence investigations and can be applied very broadly when it's necessary. It's not without limitation. It's not completely unrestrained. It's only when there is an actual need to get a broad scope of documents that it's authorized under that standard. And so, I think she had corporately found that scope. Mr. Bachus. All right. Ask the other two gentlemen. Mr. Medine. The majority of the PCLOB has also considered relevancy in the context of criminal and civil proceedings as the statute suggests. And we looked at every case cited by the Government and more on criminal discovery, and I'm using the relevance standard, grand jury subpoenas, as well as civil. And our conclusion was that the 215 program far exceeded in scope anything that had been previously approved ever, and even the Government's white paper acknowledges that. And so, we in our--at least the majority's view, it goes well beyond the face of the statute and a reasonable reading of relevance. Mr. Bachus. Right. Now that was a majority opinion. Mr. Medine. That's correct. Mr. Bachus. So did two members dissent from that? Mr. Medine. Yes, they did. And they--and they felt that the Government's reading of the statute was a reasonable one, as was the court's interpretation. Mr. Bachus. Okay. Mr. Swire? Mr. Swire. Yes, Congressman. So our group did not do that legislative history and statutory analysis as part of our work. In our forward-looking recommendation, we used the word ``relevant'' for the scope of a 215 order but said like a subpoena, it should be reasonable in focus, scope, and breadth. So we tried to hem it in with that reasonable scope language. Mr. Bachus. I just, if we are talking about an EPA violation or we are talking about a criminal offense, a minor criminal offense, just applying those standards in that case law to public enemy and our foreign enemies of the United States, I feel like that lacks somewhat. Judge John Bates wrote a letter I think after both of you all's reviews came out, and I think he raised some very legitimate concerns over things you have assigned to the court, including reviewing every national security letter, a public advocate. He and I think others in judiciary believe that could be a hindrance. After his letter, have you reviewed it, and do you agree that he brings up some very valid points that ought to be considered? Mr. Swire? Professor? Mr. Swire. After our report was complete, we did receive the judge's letter. In terms of the public advocate, I'd make a following observation, which is the PCLOB report did extremely thorough analysis of the legality under the statute of 215 that was really much more detailed than anything any of the District Courts had done. And I think for just myself, not speaking for the whole group, I think that that supports our group's recommendation that having detailed briefing with thorough analysis on these issues not just from the Government can really help us understand the statute better. So that's part of why we thought the advocate would be helpful in some way because there would be a sort of thoroughness of a position---- Mr. Bachus. Could you--could you all review his letter and maybe give this Committee additional comments in view of his letter? Particularly with the increasing caseload, if you are going to increase their caseload, you are going to have to increase their resources. Mr. Medine. I should add that the PCLOB's recommendation is that there be a special advocate only in those cases which involve unique law and technology issues, not the everyday 215 order where judges are very well equipped to make those judgments. Mr. Bachus. Yes, but I am talking about their caseloads. You have assigned--under you all's--both of your all's proposals, it is going to increase quite a bit. Mr. Medine. Yes. Sure. Mr. Bachus. Thank you. Mr. Goodlatte. The gentlewoman from California, Ms. Lofgren, is recognized for 5 minutes. Ms. Lofgren. Well, thank you, Mr. Chairman. And thank you to all the witnesses for your appearance here today and for answering our questions. I would like to concur with many of the comments made by our colleague Mr. Sensenbrenner as to the surprise that many of us had at the interpretation of the word ``relevant'' in Section 215. I would like to explore--we have talked a lot about the metadata for telephone records. But what I would like to explore with you, Mr. Cole, and perhaps others of you have an opinion, is not what is happening now, but what you believe the statute would authorize if, if the bulk collection of telephone data is relevant because there might be in that massive data information that would be useful for an investigation. What other tangible items would the statute authorize, not saying that we are doing this, the Government to collect? Would we be authorized to collect bulk credit card records, Mr. Cole? Mr. James Cole. Ms. Lofgren, I think what you have to look at, which is a very important part of the analysis that Judge Eagan described, I thought, quite well, is that it's not everything. It's what is necessary to gather the relevant information. Ms. Lofgren. Well, let me--what we are trying to explore here is really the role of the Government versus the citizen. Mr. James Cole. Correct. Ms. Lofgren. And if you can compile the record of every communication between every American because within that massive data there might be something useful to keep us safe, I am trying to explore with you, if that is your reading of Section 215 vis-a-vis metadata and the phone company, would that include cookies? Mr. James Cole. Cookies? Ms. Lofgren. Yes. Could it? Mr. James Cole. Again, I think the issue here really is under 215 with telephony metadata, the issue that was presented to the court was we needed the connections from one phone number to another. Ms. Lofgren. Okay. Well, let me---- Mr. James Cole. And so, that was necessary. In a credit situation---- Ms. Lofgren. Let me ask you ask you this. Let me go to Mr. Swire because you are clearly not going to address this issue. Mr. James Cole. I'm trying to, Congresswoman. Ms. Lofgren. I think you are trying to use up my time. If relevance allows for the collection of mass data because within that haystack, to use General Alexander's words, there is the needle, would 215, under that reading of the act, allow for the collection of all the photos taken at ATM machines, all the cookies selected by commercial providers? We have special standards for records of gun sales and credit card records, but it doesn't preclude their selection. Did your group look at that from a legal basis, not what we are actually doing? Mr. Swire. Well, we did not go through that list. But what I would observe is that a judge would have to make that decision. So the Department of Justice would need to go to the judge and say---- Ms. Lofgren. Right. Mr. Swire [continuing]. We want ATM photographs for this reason, and the judge would have to say that it meets all the other standards for 215. So that's something beyond just the Justice Department on its own. Ms. Lofgren. Right. Let me ask about NSLs because NSL, as I think Rich Clarke gave some very pointed comments about how many were collected, thousands each day, with no supervision whatsoever. And that is directed to electronic communications. Could you under the Section I think, what is it, 502, do mass collection under 502? It doesn't seem to be precluded as-- -- Mr. Swire. So I'm not remembering the section. Under NSLs, we were not aware of bulk collection under NSLs. Ms. Lofgren. I am not saying what is happening. Do you think it provides the legal authority to do so? It is not precluded. Mr. Swire. I haven't seen a theory under which the NSL authority could be used in that bulk way. I'm not aware of such a document that would---- Ms. Lofgren. All right. What about 702, and do you think that 702 provides the legal authority for bulk collection? Mr. Swire. 702, that partly depends on your idea of bulk. 702 does allow targeting of people outside the United States and allows content and allows accumulation of allotted data about those individuals and the people they're in communication with. That, by itself, would not be the way that we'd have the entire database of everything that happens. It has to be targeted to an individual overseas. Ms. Lofgren. Just a final question. Have the metadata of Senators and Members of Congress been collected? Mr. Swire. I'm not aware of any way that they're scrubbed out of the database. So whatever databases exist, I don't know why your phone calls would be screened out. We haven't heard any evidence--I'm not aware of any evidence that that screening out happens. Mr. Goodlatte. The time of the gentlewoman has expired. Ms. Lofgren. My time has expired. Thank you. Mr. Goodlatte. The Chair recognizes the gentleman from California, Mr. Issa, for 5 minutes. Mr. Issa. Thank you, Mr. Chairman. Following up on that, the gentlelady's question was do you collect? Your answer apparently is, yes, you do because you scrub everything. Is that correct? Mr. Swire. Is--so---- Mr. Issa. You take it, yes? Mr. Swire. In terms of whether Members of Congress' records are collected, first of all, the names are not listed. It's based on phone numbers. Mr. Issa. Well, no, but the simple question. 202-225 and four digits. Do you collect it? Mr. Swire. At this point, I'm not the U.S. Government, and maybe---- Mr. Issa. Okay. Mr. Cole, do you collect 202-225 and four digits afterwards? Mr. James Cole. Without going specifically, probably we do, Congressman. Mr. Issa. So separation of powers, this is the--another branch. You gather the logs of Members of the House and Senate in their officials calls, including calls to James Rosen. Is that right? Mr. James Cole. We're not allowed to look at any of those, however, unless we make a reasonable, articulable suspicion finding that that number is associated with a terrorist organization. So while they may be in the database, we can't look at any of those numbers under the court order without violating the court order. Mr. Issa. Well, speaking of court orders, Mr. Rosen, is he, in fact, a criminal? Mr. James Cole. Is he, in fact, a criminal? Mr. Issa. Well, the Attorney General had said that James Rosen, a Fox reporter, you know, there was a wiretap placed on his family, he and his family. Correct? Not, and this was---- Mr. James Cole. No, there was not a wiretap, sir. Mr. Issa. There wasn't? I am sorry. You collected personal emails. Let me get it correct. There was a warrant for personal emails, but there was also the--they wiretapped his family. Let me rephrase that. Let me go on, and I will come back to that because I want to make sure I get the terminology right. Do you screen executive branch numbers? Mr. James Cole. We don't screen any numbers, as far as---- Mr. Issa. So you collect all numbers? The President's phone call log record is in the NSA database? Mr. James Cole. I believe every phone number that is with the providers that get those orders comes in under the scope of that order. Mr. Issa. Would you get back to us for the record as to whether all phone calls of the executive branch, including the President, are in those logs? Mr. James Cole. Be happy to get that back to you, Congressman. Mr. Issa. Okay. Especially if he calls Chancellor Merkel, it would be good to know. The freedom of association is a basic constitutional right, wouldn't you agree, Mr. Cole? Mr. James Cole. Yes, it is. Mr. Issa. And if you are looking at our associations, and then if we have associations with somebody that you believe is ``a terrorist,'' then you take the next step, right? Mr. James Cole. Well, we don't look at your associations, Congressman. Mr. Issa. Well, what does the metadata do if it is not---- Mr. James Cole. We don't look at the metadata unless we have a reasonable, articulable suspicion that the specific phone number we want to query is associated with terrorists. That's the only way we can get into that metadata. Mr. Issa. Do you collect the phone number metadata of all embassies here in Washington, all the foreign embassies? Mr. James Cole. I believe we would. Again, we don't screen anything out, to my knowledge. But that's something that NSA would know. My understanding is we don't screen anything. Mr. Issa. And they have conversations with large amounts of numbers back in their home countries, right? Mr. James Cole. All the telephone numbers have large amounts of conversations with lots of other telephone numbers. We don't look at them unless we have that reasonable, articulable suspicion for a specific---- Mr. Issa. But isn't it true that the reasonable, articulable suspicion goes a little like this? I talk to somebody in Lebanon, who talks to somebody in Lebanon, who talks to somebody in Lebanon, who talks to somebody in Lebanon, who talks to somebody in Lebanon. If you gather all that data, then I have talked to somebody who has indirectly talked to a terrorist. Isn't that right? Mr. James Cole. That's not how it would work, Congressman, no. Mr. Issa. How do I know that? How do I know that a 12-step removed, somebody talked to somebody, who talked to somebody, who talked to somebody, who talked to somebody who is on the list wouldn't occur? And I will just give you an example. The Deputy Prime Minister of Lebanon at one time gave $10,000 to a group associated with a Hezbollah element. If I called the Deputy Prime Minister, which I did, from my office, wouldn't I have talked to somebody who was under suspicion of being connected to a terrorist organization? The answer, by the way, is yes. But go ahead and give yours. Mr. James Cole. Well, we wouldn't be querying your phone number, Congressman, unless we had evidence that you were, in fact, involved with a terrorist organization. That's the requirement under the court order---- Mr. Issa. But you would query the Deputy Prime Minister, who had made a contribution and was under suspicion, right? Mr. James Cole. If we queried his phone number, we might find that connection. Mr. Issa. And at that point, you would have a connection between somebody who you had a warrant for and me. So you could have a warrant for me. Is that right? Mr. James Cole. Well, I do not think we would necessarily have enough to have a warrant for you with just that one phone call, Congressman. That is not how it works. Again, there are a lot of restrictions in those court orders and in the rest of the law as to what we can do, and we can get warrants for, and what we cannot get warrants for. Mr. Issa. Well, we will follow up with the James Rosen thing later. Thank you. I yield back. Mr. Goodlatte. The Chair recognizes the gentlewoman from Texas, Ms. Jackson Lee, for 5 minutes. Ms. Jackson Lee. Let me thank the Chair and the Ranking Member for someone who was here, as a number of other Members, in the aftermath of 9/11 and the intensity of writing the PATRIOT Act that came out of this Committee in a bipartisan approach. Ultimately it did not reach the floor of the House in that way. As I try to recollect, I do not remember testimony that contributes to the massive data collecting that we have now wound up with. So I will pose as quickly as I can a series of questions. And, first, thank everyone for their service. It is good to see you, General Cole, and all of the other witnesses, the head of the Privacy and Oversight Board, and Mr. Swire as well. We thank you. Quickly, you have been, I think, a lifer to a certain extent, working for United States justice and the United States of America. Again, we thank you. Did you all have an immediate interpretation of mega collecting under the final passage of the PATRIOT Act? Was that what first came to mind? Mr. James Cole. I was not in the government at the time the PATRIOT Act was passed, so I can honestly tell you I did not really think about it at that moment. Ms. Jackson Lee. As you proceeded to be in government and as you have continued in service now and over these past couple of years, was that a firm conclusion that you could gather everything? Mr. James Cole. As I became aware of what was being done under 215, and looking at the prior court precedents that came out that it had been approved and the descriptions of it, and some of the notices that were given to Congress, I was of the view that it was lawfully authorized under the PATRIOT Act and under 215. Ms. Jackson Lee. Well, you are as well required to follow the law, but I note that justice is in the U.S. Department of Justice, and what you are suggesting is that no lawyers as far as you know may have gathered to say that this may be extreme? Mr. James Cole. I am not aware of anybody saying that at the time, but again, I was not in the Justice Department at the time. Ms. Jackson Lee. Not at that time. I am coming forward now in the time that you have been in the Justice Department. Mr. James Cole. As far as the legal basis, I think everyone that I have talked to has been comfortable with the legal basis. Ms. Jackson Lee. So as you have listened to Members of Congress, what is your commitment to coming back to us, working with the Department of Justice to address and to help change what we are presently dealing with? Mr. James Cole. Well, I can tell you is that the President's commitment, and we work for the President, and we are there to fulfill that commitment to try and change 215 on the telephony metadata as we know it and find another way where the government does not hold---- Ms. Jackson Lee. So you have a commitment based upon the President's representation to come back and look at a better way of handling the trolling of Americans' data that may not be relevant. Mr. James Cole. We are looking for another way that will accomplish what we have been accomplishing under 215 as best we can and not involve the government holding the metadata. Mr. Goodlatte. You may want to use an adjoining microphone if you can get to one. Ms. Jackson Lee. Can you all hear me? Voice. No. Ms. Jackson Lee. You cannot hear? Voice. No, we cannot hear. We cannot hear. Ms. Jackson Lee. Testing, testing. Can you hear me now? Thank you. That is what happens when you start trolling and collecting data. [Laughter.] I am sorry. Mr. Chairman, will I be indulged my time? Thank you. Mr. Goodlatte. No. [Laughter.] Ms. Jackson Lee. I did not hear that. [Laughter.] Please indulge me, Mr. Chairman. Technological troubles here. In the report, there was a comment, ``The idea of balancing has an element of truth, but it is also inadequate and misleading.'' Mr. Swire, when we are talking about security and privacy, what do you think that means? And I am going to go ahead to my good friend over the Oversight Board, Mr. Medine. Thank you very much. I think it is going to be in your hands to be as aggressive as you possibly can be, and I want you to give me your interpretation of two things: the question of relevance and the question of the importance of having an advocacy for the people in the FISA Court. Mr. Swire? Mr. Swire. The review group supported having an advocate, exactly. Had to have amicus versus party, so there are some tricky legal issues. And we did not make a legal decision about our view on the word ``relevance.'' Mr. Goodlatte. Without objection, the gentlewoman will be granted an additional minute on her time. Ms. Jackson Lee. Thank you. Mr. Medine, could you answer the question as extensively as you can on that? Thank you, and thank you for your service. Mr. Medine. You are welcome. Nice to see you again. On relevance, again, the majority of the board is concerned about the almost unlimited scope of relevance, and I think that we have heard questioning earlier today that it encompasses Members of Congress, the executive branch, and also dissidents, and protestors, and religious organizations. And so we think that it is written too broadly under this program, and there should be much more targeted requests for information, which can be legitimately done without the need to gather bulk information. Right now, relevance is almost whatever the government can pull in and analyze as the scope of relevance. And we think that there needs to be a narrower concept to protect privacy and civil liberties. I mean, with regard to having an advocate in the Foreign Intelligence Surveillance Court, I think it is critical that there be another voice to respond to the government. As Mr. Swire mentioned earlier, if all the briefing that we have done on this program could have been presented to the Court, the Court could have made a more balanced decision. It was not until 2013 that the Court issued its first opinion regarding the legality of this program. We think in the adversary process, the Court would have carefully considered all the arguments pro and con, rendered its decision. And we also recommend that there be an opportunity for appeal to the FISCR, which is the Court of Appeals, and ultimately to the Supreme Court to resolve these important statutory and constitutional issues. Ms. Jackson Lee. Let me just indicate that in addition as an aside, the President put on the record that he thought that we needed to haul in, from another perspective, the contractors dealing with the vetting of all those who work in this area just as a protection. If we are so interested in trolling Americans, we need to also make sure that our contractors or our workers in the intelligence are fully vetted. Just in your own mindset, do you think the government can handle its vetting and narrow the sort of outside contractors that are doing that now? Mr. Goodlatte. The time of the gentlewoman has expired. The gentleman will be allowed to answer the question. Mr. Medine. And actually with due respect, that is not on our board's domain, but maybe the deputy attorney general might be able to address that. Mr. Goodlatte. Mr. Cole? Mr. James Cole. I am sorry, could you repeat the question? Ms. Jackson Lee. The President indicated that maybe we should reduce our outside contractors that are vetting those who have access to our security data. Would you be also in agreement with that approach? Mr. James Cole. I think we need to make sure that we take care of the insider threat. That has been something the President has talked about. We need to make sure that people who work for the government are suitable and have been vetted properly. We have always thought that from both a cost perspective and a security perspective, the more we can reduce contractors the better. But as we hire contractors, we hire employees as well. They just need to be vetted very well when they are given very sensitive and classified positions. Ms. Jackson Lee. I thank the Chairman, and I thank the witness. I yield back. Mr. Goodlatte. The Chair recognizes the gentleman from Virginia, Mr. Forbes, for 5 minutes. Mr. Forbes. Mr. Chairman, thank you, and, gentlemen, thank you so much for taking your time and your expertise to be here with us today. Mr. Cole, it is my understanding that the review group's recommendation was that the use of private organizations to collect and store bulk telephony metadata should be implemented only if expressly authorized by the Congress. My question to you is not for the word ``should,'' but we have watched the President when he was all in on healthcare and promised us all we could keep our insurance if we wanted it. It later changed. We listened to his words say he could not change immigration laws without Congress. He changed. We listened to him about military force without congressional permission. He changed. We heard his State of the Union where he said he had a pen and he had a phone regardless of what Congress did. My question to you is, in your professional opinion, do you believe that the President of the United States has the authority to use private organizations to collect and store bulk telephony metadata without the express approval of the Congress of the United States? Mr. James Cole. Congressman, that is an issue that is probably part of the mix that we are looking at---- Mr. Forbes. My question to you is do you have it, and we have seen you kind of slide off of the answers to the questions today. I am not asking you what ultimately would be determined. I am talking about your professional opinion today sitting there, is it your professional opinion that the President has authority or does not have the authority? Mr. James Cole. I am going to give you a lawyer's opinion. Mr. Forbes. That is what we hired you for. Mr. James Cole. Okay. There may be ways we could find for him either through contract or executive order to do it. It could also be done through legislation. There may be a number of different ways that you can---- Mr. Forbes. So then basically if this Congress wants to avoid that, we had better to get to work and expressly prohibit the President from doing that, because he could do that the same way he is threatening to do certain other things. Mr. James Cole. I think the President has clearly indicated he is looking forward to working with Congress to achieve a lot of these things. Mr. Forbes. Yes, but he also said that ``working'' means if Congress does not do what he says, he has got the pen, he will do it anyway. Mr. Swire, if I could ask you, and I appreciate your comments about wanting to have specific and targeted collection, I believe, as opposed to bulk collection. Is that a fair representation? Mr. Swire. Our report emphasizes the usefulness of the targeted collection. Mr. Forbes. Mr. Swire, I represent a lot of people. We have a lot communications from groups in the country who believe that even with specific and targeted collection, they are concerned because they have seen what the IRS, the Justice Department, and other agencies have done in targeting conservative groups and individuals in the faith community. What would you suggest that we do to try to protect those groups, because it is not going to be much consolation to them to say we can do specific and targeted collection if they have seen that they have been specifically targeted already by this Administration. Any suggestions that your group might have for that? Mr. Swire. Well, we have a couple of statements or conclusions in our report that I think are relevant to that. One is we found no evidence that there was in these surveillance activities any political targeting of Americans. So this is not where they are picking phone numbers based on politics or faith groups or whatever, and that includes people with a lot of experience in the intelligence community who are on our group. And the second thing is we found a very substantial compliance effort, much of which has been built up over the last 4 or 5 years, and so, a very earnest effort to comply with these rules, and so, in both of those cases, not political targeting and following the rules. We were distinctly heartened by what we found as we went through our---- Mr. Forbes. Well, let me ask you this because it is also my understanding that your group did not conclude that the Section 215 Bulk Telephony Metadata Collection Program had been operating illegally with respect to these statutes or the Constitution. You further found no allegations in the report of abuse of this authority by members of the law enforcement and intelligence community. You further found that there was no allegation that the National Security Letter Program operated illegally, that no allegation of misuse or abuse by the law enforcement or intelligence community was made in the report. And yet you made substantial recommendations to change them. So as to these groups who are very concerned about that, what would be your recommendations to protect the interests of those groups? Mr. Swire. Congressman, we were interested in traditional American checks and balances and having the different branches of government doing their jobs, and going forward having within the executive branch bulk collection held in secret without judicial or congressional participation in that. We thought that was not a good way to go. And so, for the bulk collection, we recommended being very skeptical of the bulk collection, and we recommended having judicial safeguards in instances where it went forward as a way to maintain these sorts of checks and balances. Mr. Forbes. Good. Mr. Chairman, thank you, and I yield back the balance of my time. Mr. Goodlatte. The Chair thanks the gentleman, and recognizes the gentleman from Tennessee, Mr. Cohen, for 5 minutes. Mr. Cohen. Thank you, Mr. Chairman. Would it be improper for me to recognize the Delta Sigma Thetas, who are here today? Mr. Goodlatte. I think it would be very proper. Mr. Cohen. Well, welcome. They are here and a great sorority that does a lot of good for our country. Thank you, Mr. Chairman. Mr. Cole, before we talk about the NSA, which is indeed the subject of this, I want to go to another subject and give you some praise. You recently spoke before the New York State Bar Association, and I was so encouraged by your speech. It was about criminal justice issues that relate to this Committee as well. And you indicated that the President is open to using his commutation power in a much more manifest way than he has in the past. You called on attorneys to come forward and try to help people with clemency requests, and that notice will be given to individuals in prison maybe with mandatory minimums that are unjust, people who had no violence in their background, may be first-time offenders who were sentenced for long times who judges said, I hate this, but I have to. And you give them notice. I thank you for that. And you and the President deserve praise for this effort. It is my opinion that the President can leave a legacy for justice that could be unmatched if he used that power that you have discussed, and I am sure you have worked with him on, in a manifold way. There are thousands of people that need justice and should receive it, and this is probably the only way they can. I know he is waiting on the legislature, the Congress, to act. I think he should probably act on his own. The FISA Court is appointed entirely by the Chief Justice, and I have great regard for the Chief Justice. He and I are friends. But I do not know that that makes for a good balance of power on the FISA Court. His appointments, and it may just folks he kind of knows, but 10 of the 11 judges who have been currently sitting were appointed by Republicans presidents. And it may just be how that happened, you know, but it could be that there is a certain ideological link there, and it should be changed. I would think that the FISA Court ought to have a wide expanse of ideology, and some people are more skeptical of the government's perspective and more inclined toward looking toward civil liberties. I do not know that we have that in that Court. Does it trouble you, Mr. Cole, that the Chief Justice names every single of those people? Mr. James Cole. Congressman, I do not think it particularly troubles me. I think we have seen judges throughout the Court, and everyone that I have dealt with at the Court has just been straight down on the facts and the law, and making sure that they honored civil liberties. We have seen released any number of opinions of judges when there were compliance problems, and the judges coming down hard on the Justice Department and on NSA to make sure that we fix them, and to make sure that we protected people's privacy and people's civil liberties. So I think you have got a good group of judges that have been there over the years. Mr. Cohen. Let me ask you this. You said the judges down the line. Do they not almost unanimously agree? How many times have you seen a split opinion? Mr. James Cole. Well, there is only one judge that looks at a FISA application, so you would not have the split. And what has been discussed any number of times is that we present these applications to the FISA Court. They go to the staff. They go to the judges. Sometimes the judges will kick them back, and they will say you need more information about this, or, I do not find you have met the standard on that. And sometimes we will provide more information, other times we will withdraw it. So the statistics of how many have been granted that were submitted are a little bit misleading because it does not take into account some of the dialogue that goes on between the Justice Department and the Court that results in the applications being withdrawn. Mr. Cohen. And they do not sit en banc? Mr. James Cole. No. There is a review group, an appellate group, which is 3 judges, and they will sit as 3 judges. Mr. Cohen. How often are they split? Mr. James Cole. I would have to go back and look. I do not really know the statistics off the top of my head. Mr. Cohen. Would ``rare'' be a good term to apply to their outcomes? Mr. James Cole. It might be, but I just do not know the statistics. Mr. Cohen. Did the President not come out for some type of change and think that maybe each of the judges should rotate and pick somebody? Mr. James Cole. I think that is one of the things that has been proposed in some of the pieces of legislation. I think generally as long as we get good judges who are there and we do not inject politics into it, I think we are happy as long as we have got judges that are there, and that fully staff the---- Mr. Cohen. I understand not getting politics in it, but the Pope is politics. I mean, everything is politics. The justices are politics. Would it be wrong if the congressional leaders, equal Democrat and Republican, suggested some people to the judges and they pick from that group so there would be more of a check and balance on the choices? Mr. James Cole. I think there are any number of models that might be workable in this regard to try and find a way to staff that Court. We are more than happy to work with the Congress on trying to find good ways to do that. Mr. Cohen. Thank you. Thank you. I appreciate it, and I thank the Chairman for his indulgence in recognizing the greatest group of ladies in red since the Biograph Theater. Mr. Goodlatte. That is an interesting comparison. [Laughter.] The gentleman from Texas, Mr. Gohmert, is recognized for 5 minutes. Mr. Gohmert. Thank you, Mr. Chairman, and I appreciate the witnesses being here. Mr. Cole, if you had been testifying in front of this Committee back before Edward Snowden took the documents he did, and you were asked if it was possible that any contractor would be able to access and take the documents that we now know he did, based on your comment that nobody can access these documents without proper cause, back then you would have said nobody could access those documents without proper cause and authorization, would you not? Mr. James Cole. I think what I was saying, Congressman, is under the law and the court order nobody is allowed to do that without violating the---- Mr. Gohmert. So you are making a distinction that it is possible that they could access those documents, just like Edward Snowden did, correct? Mr. James Cole. Things are possible. You know, this is something that we would like to nail down, but exactly what---- Mr. Gohmert. Well, you answered my question on that. The answer, though, accurately would be that not only Members of Congress, but anybody is subject to having that data looked at or accessed by someone who may not follow the law. But let me tell all of you witnesses, in my first term we went through the process of debating whether or not we were going to renew the PATRIOT Act, and 215 was of particular importance. And I asked the question, for example, you know, under 215 where it says that you would only access these documents to protect against international terrorism or clandestine intelligence activities. I said what is ``clandestine intelligence activities,'' and I was assured that since we are talking about international terrorism, our intelligence activities have to do with foreigners, and we were assured that was the case. And Chairman Sensenbrenner at the time assured that he had been assured that that was the case, and that is why he was initially totally opposed to any more sunsets that I fought so hard for and we did finally get in here. And now we find out those representations were not accurate. And let me tell you something else that concerns me is, yes, I know the Constitution and the Fourth Amendment does say that we have the right to be secure in our persons, houses, papers, and effects against unreasonable searches and seizures. And that is not to be violated, and no warrants are to be issued but upon probable cause supported by oath or affirmation, particularly describing places, persons, or things to be seized. And when we saw the copy of this order from the FISA Court, all those assurances from my terms as a freshman went out the window because you have a judge, based on this before the FISA Court, who just says give all call detail records, telephony metadata. And then it defines telephony metadata basically as everything that you would desire about information and calls being made. I cannot find in that order any particularity or any specificity as at least appellate courts have always required. So this causes me great concerns without regard for discussion about Snowden, the fact that we had information provided to us that were misrepresentations of what was being done by this government. So let me also ask, since we have been told repeatedly how critical this FISA ability under 215 is, we have been told that all of these different plots have been foiled. And when it comes right down to it, it appears it was basically a subway bombing, and there are articles that indicate that, well, gee, they intercepted some information, so they went back and got all the phone logs for communication. But you do not need FISA Court, you do not need 215 when you have probable cause from a terrorist, a known terrorist, calling an American citizen. You would be able to get a warrant for that, would you not? I ask all of you. Mr. James Cole. Well, I think there are a couple of issues there. Mr. Gohmert. Well, the question is, you would be able to get a warrant if you showed that a known foreign terrorist made calls to an American citizens. You could go in and get basically any court to grant a warrant to get those logs, could you not? Mr. James Cole. It depends on whether you get it under FISA, in which case you would have to show that it was an agent of a foreign power or a terrorist or an intelligence---- Mr. Gohmert. That was part of my question, a known foreign terrorist. Mr. James Cole. Right. You may well be able to do that. Mr. Gohmert. Mr. Swire, do you think we could get that? Mr. Swire. Congressman, to date the courts have not held that that was a search, so they say there is not a Fourth Amendment constitutional protection in the metadata. And we recommend---- Mr. Gohmert. In other words, you do not need 215 to get that, do you? Mr. Swire. Well, you need some statutory basis to require the companies to turn over the data, but it is not a constitutional protection. It is statutory right now. Mr. Goodlatte. The time of the gentleman has expired. Mr. Gohmert. If I could get an answer from our last witness. Mr. Medine. Again, we agree that under Supreme Court law there is not a constitutional Fourth Amendment issue, but we also do believe this information could be obtained through other authorities, a warrant, subpoena, or possibly national security---- Mr. Gohmert. Without 215? Mr. Medine. Yes. Mr. Gohmert. Okay. Thank you very much. Mr. James Cole [continuing]. Would only be required for the listening of the call, not for the data. Mr. Gohmert. Thank you. I yield back. Mr. Goodlatte. The Chair recognizes the gentleman from Georgia, Mr. Johnson, for 5 minutes. Mr. Johnson. Thank you, Mr. Chairman. The revelation that U.S. intelligence agencies were collecting telephone and email metadata on foreign to domestic, domestic to foreign, as well as domestic to domestic communications caused an uproar. This disclosure has given rise to the suspicion that intel agencies have been spying on Americans. The intel community denies spying on Americans, and states that the purpose of the metadata collection is to protect Americans from terrorist attacks like 9/11. Now, in the wake of the death of Osama bin Laden, who was one of the 5 top leaders of Al-Qaeda, and, in fact, 4 of the 5 top leaders of Al-Qaeda, including Osama bin Laden, are no longer living. And Al-Qaeda has, thus, decentralized with affiliates worldwide acting independently to establish an Islamic state through violence. These groups all share a Salafi jihadist ideology, which is that violence is the only pathway to achieving a world governed by what Al-Qaeda calls true Islam. Those groups are working toward that goal. Given the nature of the Al-Qaeda threat, or actually the Salafi jihadist threat, given the nature of that threat, and also assuming that those organizations use cell phones, chat rooms, emails, Facebook, and Twitter to conduct their operations, do you believe that that the universal data collection by U.S. intel agencies has the potential to disrupt Al-Qaeda's operations throughout the world? And secondly, and I think we already have answers to this from two of you, is metadata actually private information, and, if so, who does the information belong to? Is it the customer or is the service provider? Starting with you, Mr. Cole. Mr. James Cole. Congressman Johnson, I think that the 215 program is a tool, and it is a tool that is helpful. It is not going to solve all the problems all on its own in finding terrorists. It is one piece of what we use as a number of tools to try and find terrorists before they attack the country. In and of itself, it has some utility, but I do not think we should overstate the utility of it, but it is helpful, and I think it is something that we have determined that we do not want to give up that capability because it is helpful. Mr. Johnson. All right. Let me go to---- Mr. Swire. Congressman, yes. One of the major themes of our reports is that we have to use our communication system for multiple goals. We have to use it to capture dangerous people and find them. It is the same communication system we used for commerce and we use for free speech and all these other things. And so, our report tried to figure out ways to be really good at finding the threats and also protect these other goals. People are all struggling with how to build that, and it is a big challenge. Mr. Medine. Congressman, you raised the question about whether Americans were improperly being spied on. We did not find any evidence of that, but the mere fact that people believe that could be affects their behavior, their association, their speech rights. And that is one of the major reasons we recommend, the majority of the board, to not continue the 215 bulk collection program because there are other methods that are more particularized to gather this information without storing everyone's phone records. Mr. Johnson. How would that affect the ability of our intelligence agencies to protect Americans from a threat like 9/11? Mr. Medine. The majority believes that the ability to collect this information could be transferred to the providers instead of maintained in a bulk collection and maintain the same level of efficiency. Mr. Johnson. Okay. What would cause the private providers to have adequate security as to who in their operations had access to the, for lack of a better term, private information, the private metadata? What are the consequences? What are the ramifications of that? Mr. Medine. Well, under current law, the Federal Communications Commission requires telephone providers to maintain those records for 18 months, and also maintain the security of that information. So that is current law, and that happens every day that the providers maintain that information. What we are saying is instead of having them dump all of their information into a government database, it should be kept with them and obtained from them on a case by case basis. Mr. Johnson. Anyone else? Mr. James Cole. I think one important point, and it goes to a question Mr. Gohmert asked, is that there are lots of security protections in lots of different databases. You can get around them every now and again. You can get around them in a government database. You can get around them in a provider's database. People can hack in. We tried to put in protections and legal restrictions to prevent that from happening, but nothing is completely foolproof. Mr. Goodlatte. The time of the gentleman has expired. Mr. Johnson. Thank you. Mr. Goodlatte. The gentleman from Ohio, Mr. Jordan, is recognized for 5 minutes. Mr. Jordan. Thank you, Mr. Chairman. Mr. Cole, are you familiar with the name Barbara Bosserman? Mr. James Cole. I have heard that name, yes. Mr. Jordan. Is she an attorney who works at the Justice Department? Mr. James Cole. She is. Mr. Jordan. And she is part of the team that is investigating the targeting of conservative groups by the Internal Revenue Service, is that correct? Mr. James Cole. She is a member of that team. Mr. Jordan. A member of that team. I would dispute that and say she is leading the team, but I will take your word for it. Now, in the last 5 days, Mr. Cole, you have sent me two letters, one January 30th, last week, one just yesterday, where we had invited Ms. Bosserman to come testify in front of the Oversight Committee, and you sent me two letters saying that she is not going to come. And I counted them up. In these two letters, I think it is 7 different times you say this is an ongoing investigation, and that is why Ms. Bosserman cannot come to our Committee and testify. Do you recall those two letters you sent me, Mr. Cole? Mr. James Cole. I do. Mr. Jordan. Yes, and you signed both of them? Mr. James Cole. I did. Mr. Jordan. And you referenced many times ongoing an investigation? Mr. James Cole. Yes, it is. Mr. Jordan. So here is my question. How can the President of the United States go on TV on Superbowl Sunday and say that there is not a smidgen of corruption in this investigation, not a smidgen of corruption in the IRS with how they targeted conservative groups? How can he be so sure when it is an ongoing investigation, something you told me 7 times in two letters in 5 days? How can the President make that statement? Mr. James Cole. Congressman, I think you should probably address that question to the White House. Mr. Jordan. Did you brief the President on the status of this investigation? Mr. James Cole. I have not. Mr. Jordan. Do you know if the Attorney General has briefed the President on the status of this investigation? Mr. James Cole. Not that I am aware of. Mr. Jordan. Do you know if Ms. Bosserman, part of this team, who is investigating the targeting of conservative groups, do you know if she has talked to the President? Mr. James Cole. Generally, the Justice Department does not brief the White House on---- Mr. Jordan. So how is the President so sure? Mr. James Cole. Congressman, I am not in a position to answer---- Mr. Jordan. He did not say I do not think there is, there probably is not, nothing seems to point that way. He said there is not a smidgen of corruption. He was emphatic. He was dogmatic. He knew for certain. And no one has briefed him? Mr. James Cole. No one I am aware of, Congressman. Mr. Jordan. So you know what I think, Mr. Cole? I mean, you know, just a country boy from Ohio. You know what I think? I think the President is so emphatic and he knows for certain because his person is running the investigation, because Ms. Bosserman gave $6,750 to the Obama campaign and to the Democratic National Committee, and she is heading up the investigation. I think the President is so confident because he knows who is leading the investigation. And that is a concern not just for me, and Members of this Committee, and Members of the Oversight Committee, but, more importantly, the American people who have to deal with the IRS every single year. Does that raise any concerns with you, Mr. Cole? Mr. James Cole. Congressman, Ms. Bosserman is a member of the team. She is not leading this investigation. Mr. Jordan. How was the team picked? Mr. James Cole. The team was assigned in normal course by career prosecutors. It includes the FBI, the IG for the---- Mr. Jordan. How many members are on the team? This is something the FBI has refused to answer for the last year because I have been asking the question. They have refused to meet with us. They initially said they were going to meet with us. Then they talked with lawyers of the Justice Department and they said, no, we are going to rescind that offer, Mr. Jordan. We are not going to come meet with you. So how was the team put together, and how many members are on the team? Mr. James Cole. Congressman, off the top of my head, I have no idea how many members are on that team. And generally, we do not brief elected officials on ongoing investigations. That is a standard---- Mr. Jordan. But again, we are not asking for a full briefing. We understand it is ongoing. We would just like to know who is heading it up. How many agents have you assigned? How many lawyers have you assigned? Who is heading it up? If it is not Ms. Bosserman as I think it is, who actually does head it up? Mr. Johnson. Mr. Chairman, parliamentary inquiry, please? Mr. Goodlatte. The gentleman will state his parliamentary inquiry. Mr. Johnson. Is it proper for a Member of the Committee to question a witness about a matter that is not relevant to the matter that the hearing has been noted for? Mr. Goodlatte. It is proper, and it has been done many times before in this hearing, this Committee. Mr. Jordan. I would just point out---- Mr. Goodlatte. The gentleman will continue. Mr. Jordan. Mr. Cole sent me two letters in the last 5 days. It is a pretty important issue. And when you appoint someone or you assign someone who gave $6,750 to the very person who--the President could be a potential target in this investigation, and yet the person leading the investigation gave $6,000 to his campaign? She has got a financial stake in an outcome, a specific outcome. And Mr. Cole says ``normal course of duty.'' We have got 10,000 lawyers at the Justice Department, and, oh, it just happened to work out that Ms. Bosserman heads up the team. Really? Mr. James Cole. She is not heading up the team, Congressman. There are many people---- Mr. Jordan. It is not what the witnesses we have talked to have said. Mr. Cole said she asked all the questions when they have been interviewed. Mr. James Cole. She is not the head of the team, and there are many people who will be making the decision as to what to do with this case based on the evidence, the facts, and the law, just like every single investigation the Department of Justice does. Mr. Jordan. Okay. All I know is the President said---- Mr. James Cole. And including FBI agents---- Mr. Jordan. All I know is the President said there is not a smidgen of corruption. Mr. James Cole [continuing]. Including eight---- Mr. Jordan. The President has already reached a decision. Mr. James Cole [continuing]. And the Inspector General's office. Mr. Jordan. Mr. Chairman, if I could real quickly. I sent my letters to Ms. Bosserman. She did not write me back. You did, Mr. James Cole. Did you talk to her about coming to testify? Did you tell her not to come testify? Mr. James Cole. I did not tell her not to testify. Mr. Jordan. Did you have any conversation with Ms. Bosserman about the request I gave her to come testify in front of our Committee? Mr. James Cole. Congressman, there is a standard---- Mr. Jordan. No, no, I did not ask that. I said did you talk to Ms. Bosserman about that specific request I sent to her. My letter was to her, and I got responses back from you. Mr. James Cole. And I am answering your question, Congressman. There is a very long-held policy in the Department of Justice that line attorneys are not subjected to the questioning by Members of Congress. Mr. Jordan. Did you ask her if she wanted to testify? Mr. James Cole. If I may finish, Congressman, they are not subjected to questioning---- Mr. Johnson. Regular order, Mr. Chairman. Mr. James Cole [continuing]. By Members of Congress, and we do not send people up here to talk about ongoing investigations. We have done that in every Administration. Mr. Jordan. But you are not answering my question. Answer my question. Mr. Goodlatte. The time of the gentleman has expired. The gentleman may answer the question. Mr. James Cole. I think I have answered it. Mr. Jordan. I do not think you have. Mr. Goodlatte. The Chair recognizes the gentlewoman from California, Ms. Chu, for 5 minutes. Ms. Chu. Mr. Medine, the PCLOB's report urges Congress to enact legislation that would allow the FISA Court to seek independent views from the special advocates. These advocates would step in where there are matters involving interpretation of the scope of surveillance authorities or when broad collection programs are involved. The report stresses that the Court should have discretion as to when these advocates step in. But is it advisable for the Courts to have that discretion? Is it possible that the Courts may leave the advocates out of the process when such important questions are before them? Mr. Medine. First, we do think it is important for advocates to be involved in issues of new technology and new legal developments. In terms of how they get involved, our feeling was that there are cases where they should certainly, obviously, be involved such as in a novel program that is being proposed. But there may be other cases which may not seem as novel on its face, but the judge is aware of the facts and circumstances, and wants to bring them in as well. So we felt it was appropriate to give the judge discretion as to when to involve the advocate, but we also called for reporting. And under the Court rules, Rule 11, the government is required to indicate to the Court if it is making an application that involves a new technology or a new legal issue. And so, what we have asked is that there be reporting of every Rule 11 case, and how many of those instances has a special advocate been appointed, and that way there can be oversight of the court process of appointment. But we do, again, think that it is appropriate for the judges to maintain some discretion. Ms. Chu. Would that report also include times when special advocates were not included, though? Mr. Medine. Right. How many times has Rule 11 application been forwarded, and how many of those instances has an advocate been appointed or not appointed? So again, if it is a significant case, one would assume it is likely that they would be, but there will be accountability to the public by the Court as to when they make those appointments. Ms. Chu. Now, you also advocate for the ability of the special advocates to request appellate review of court rulings. Why did you recommend this, and how would this strengthen privacy protections? Mr. Medine. In our American judicial system, we have a process by which district judges get reviewed by appellate bodies and ultimately the Supreme Court. We think that works effectively to have a dispassionate review by 3 judges at the appellate level and the 9 justices at the Supreme Court. And we think that the FISA Court process would be improved by encouraging that development. And so, we would like to empower the advocate to bring to the FISA Court of Review, which is their appellate body, adverse decisions to the advocate and in favor of the government so that there could be greater review. Again, much as there would be in any case in the District Court system. Ms. Chu. Mr. Swire, many of us think that, of course, the language in the statute in which the Section 215 bulk collection of metadata is broad, but that the government's interpretation of the relevant standard is even broader. The review group proposed a standard that the Court may only issue a 215 order if the government has reasonable grounds to believe that the particular information sought is relevant to an authorized investigation. And like a subpoena, the order has reasonable and focused scope and breadth. Can you tell us how this standard would narrow the government's inquiry so we could protect the American public in terms of its privacy interests? And how is this standard an improvement? Mr. Swire. Well, one change is that it would be a judge involved, and that is something that President Obama has recently said they are going to work with the FISA Court to do. A next change is to try to have these narrowing of scopes so that the bulk collection by the government prior to judicial looking at it would not occur. So it would be a narrowing in that respect as well. Ms. Chu. Also, the review group recognizes that intelligence programs, some, should remain secret. But you are also proposing that a program should be kept secret from the American public only if the program serves a compelling governmental interest, and if the efficacy of the program would be substantially impaired if our enemies were to know of its existence. If this proposed standard were in existence today, would the government have been compelled to disclose Section 215 bulk collection program? How is your standard an improvement over what we have today? Mr. Swire. Right. Well, our recommendation 11 talks about a compelling government interest, and there would be a process within the government. When that process happens, we emphasized having not only intelligence perspectives, but, for instance, economic perspectives, civil liberties perspectives, as part of a sort of comprehensive review. And I also note that on bulk collection, the President has asked John Podesta to lead a process for private and public sector bulk data which is supposed to come back with additional recommendations about bulk data within, I think, 60 days. Ms. Chu. Thank you. I yield back. Mr. Goodlatte. The time of the gentlewoman has expired. The Chair recognizes the gentleman from Texas, Mr. Poe, for 5 minutes. Mr. Poe. Thank you, Mr. Chairman. I have great concerns about this whole process. This is reminiscent to me of the old- fashioned star chamber where courts met in secret, issued their verdicts and edicts in secret. No one knew what happened until the sentence was carried out. I also spent some time in the Soviet Union when it was the Soviet Union. Everything I did and all the citizens did was spied on by the Soviets. And here we are in 2014 trying to justify what I think is spying on American citizens. Mr. Cole, I have a question for you, but I want to quote Mr. Medine in his testimony. He said, ``Based on the information provided to the Board, including classified briefings and documentation, we have not identified a single instance involving a threat to the United States in which the program made a concrete difference in the outcome of a counterterrorism investigation.'' Mr. Cole, name one criminal case that has been filed based upon this vast surveillance and metadata collection. Mr. James Cole. Congressman, I think there was one which was a material support case that was filed based on the 215 metadata where we were able to identify someone. And again, as I have said, this is not---- Mr. Poe. Reclaiming my time, as you know our time is limited. So how many criminal cases have been filed based upon this massive seizure? Mr. James Cole. Well, the criminal support statute is a criminal---- Mr. Poe. I understand. My question is how many. Mr. James Cole. I do not know off the top of my head, Congressman. Mr. Poe. There is one. Mr. James Cole. There may be one. Mr. Poe. There may be one. So we have this vast metadata collection on Americans, and the reason is, oh, we have to seize this information or we are going to all die because of terrorists. And you are telling me as a former prosecutor--I am a former judge and prosecutor--all this information has collected one criminal case, is that what you are saying, that you know of? Mr. James Cole. Well, Congressman, the point of this is not necessarily to make criminal cases. Mr. Poe. I am not asking you---- Mr. James Cole. The point of it is to gather intelligence. Mr. Poe. Reclaiming my time. My question is, one criminal case. That is all you can show for criminal cases being filed against individuals, right? Mr. James Cole. I think that is the correct number, but I would have to go back and check to be sure. Mr. Poe. It may not even be one. Mr. James Cole. The point of the statute is not to do criminal investigations. The point of the statute is to do foreign intelligence investigations. Mr. Poe. But the collection is on American citizens. When a warrant is signed--I signed a lot of warrants, Fourth Amendment. You know, I actually believe in the Fourth Amendment. A warrant is served. Police officers go out and investigate. They return the warrant, and it is filed as a public document in State courts and in Federal courts. But when collection on American citizens of their information, this is not made public to them. They never know that this information was seized from them, do they? Mr. James Cole. Well, as I think even the PCLOB and the President's review group have noted, the Fourth Amendment does not cover the collection of metadata under the current law. So it would not have those requirements. Mr. Poe. I know that is the current law, but that is not my question. My question is, the information is seized from them. They do not know that their personal information was seized by the Federal Government. They do not know that. They are not protected under our current statute under the PATRIOT Act. Is that correct or not? Mr. James Cole. The information does not come from them. It comes from the companies that they have phone service with. And, no, they are not informed directly that that metadata from those phone companies has been collected. Mr. Poe. Do you have a problem with that information being seized on Americans through a third party and Americans never know that that they are the subject to this metadata collection? I mean, do you have a personal problem with that, or do you think that is okay, the government ought to do that? Mr. James Cole. These are the issues we grapple with every day, Congressman, as far as trying to do national security investigations and trying to protect people's civil liberties. And we take leads from the Court as to the scope of the Fourth Amendment and where people's reasonable expectations of privacy are. And these are difficult lines to deal with, and just what we are doing right now is trying to find where that right line is. Mr. Poe. Well, I think it is an invasion of personal privacy, and it is justified on the idea that we have got to capture these terrorists. And the evidence, based on what you have told me, is all of this collection has resulted in one bad guy having criminal charges filed him. I think that is a bit over reaching to justify this massive collection on individuals' personal privacy. That is just my opinion. I yield back to the Chair. Mr. Goodlatte. The Chair thanks the gentleman, and recognizes the gentleman from Florida, Mr. Deutch, for 5 minutes. Mr. Deutch. Thank you, Mr. Chairman. General Cole, I am going to come at the judge's line of questioning from a slightly different angle, but I think trying to get at the same point. In a September letter to NSA employees, General Alexander wrote that ``The Agency has contributed to keeping the U.S. and its allies safe from 54 terrorist plots,'' and that 54 terrorist plots has been repeated on several occasions. Last week in testimony before the Senate, there were some officials from the Administration who suggested that terrorist plots thwarted is not the appropriate metric for evaluating the effectiveness of the program. And I would just like to understand has the argument changed, and if it has, why should we now apply a different metric to determine the success of this program if it is not criminal prosecutions and if it is not terrorist plots thwarted? Mr. James Cole. A couple of things, Congressman. The 54 number, as I recalled it, was both 702 and 215. And the bulk of it, frankly, was 702 coverage. And that is a very, very valuable program, and, frankly, probably more valuable than 215. 215 has a use, and it has a number of different uses. They are not as dramatic as 702, but they provide pieces of a puzzle. They provide tips and leads that allow us to then go and investigate and then gather other information. And that is really the value of 215. Mr. Deutch. But even if that 54 number that had been used does not apply primarily to the 215 program, you are telling me that the notion of terrorist plots thwarted even as it applies to this program is not the metric we should be using. Mr. James Cole. It is not the only metric. Certainly it is a great metric, but I do not think it is the only metric we should be using. I think if we are gaining evidence that is valuable to us in doing investigations that help keep the country safe, that is a valuable metric. Mr. Deutch. Right. And Mr. Medine had told us earlier in his testimony, their first recommendation was to end the 215 program, and said that whatever successes you are referring to could have been replicated in other ways. Mr. Medine, is that right? And how could that have been accomplished? Mr. Medine. Well, there are other authorities--grand jury subpoenas, search warrants, national security letters--that allow for access to the information without the need to collect bulk records. Mr. Deutch. And would have accomplished all of the same things that the 215 program does successfully. Mr. Medine. Substantially. Even the material support we talked about, but in many other cases. We looked at a lot of different metrics and based our recommendations on that. Mr. Deutch. Right. And when we talked about the suggestions going forward, the idea of moving this information away from the government, Mr. Swire, you had said that when we are talking about metadata held by or the suggestion of metadata to be held by private providers or private third parties instead of by the government. And, Mr. Cole, I think you said people are thinking outside the box about how to store this information. My question is this. The metadata that is being collected that you are comfortable moving to the private parties puts that metadata, does it not, and here is what I am concerned about. It puts the metadata that Mr. Medine and others believes is unnecessary to gather because it does not accomplish what is necessary. We can do it in other ways without intruding on people's civil liberties. But if it is stored by private contractors, private parties, it is at risk then, is it not, of being stored with all of the other data, dramatically more intrusive personal data, that we turn over to private parties regularly when we go on the internet, regularly. It puts it in the same place with all of the information that we have been assured time and time again today this program does not do in terms of intruding on the specifics of our emails and the specifics of what we do on the internet, et cetera. It puts it all together. Why should that not be a concern of ours? Mr. Swire. Congressman, I think part of the question is are we creating extra risk as we shift things around---- Mr. Deutch. Exactly right. Mr. Swire [continuing]. And find ways to shift things around. When it comes to phone company telephone records, as has been mentioned earlier, the Federal Communications Commission already requires it to be there for 18 months. Phone companies have been holding phone company data for an awfully long time. Mr. Deutch. Right, and, no, I understand, and that point has been made earlier. But there was another suggestion made. I think one of your suggestions was that we may need to have some other party. We may need to look outside of the box. My concern is that we are creating more risk than already exists in the program that we do not even need. Mr. Swire. Right. And what we said, and our entire report is prefaced by a transmittal letter saying this is our best effort in the time we had to come up with things. And one of the suggestions we had was in addition to possibly the phone companies, maybe a private sector entity could hold this with the right sorts of safeguards, and that we should look for ways to transition. We did not say we had the magic answer. Each one of these has downsized. But we thought getting it away from a huge government database was a better way to go. Mr. Deutch. Right, to a private database where risks could be even greater than they already are. I appreciate it, and I appreciate all the witnesses being here. I yield back. Thank you. Mr. Goodlatte. The Chair thanks the gentleman, and recognizes the gentleman from Arizona, Mr. Franks, for 5 minutes. Mr. Franks. Well, thank you, Mr. Chairman, and thank all of you for being here. You know, it occurs to me that this Committee, the Judiciary Committee, has a unique role in Congress in the sense that it sort of epitomizes the entire purpose of government. Our job is to protect the lives and the constitutional rights of Americans. And sometimes it is difficult to make that balance work out right. You know, everyone on this Committee, I believe, wants to try to do everything that we can to protect the national security, to protect the lives of American people. But we also want to protect their constitutional rights in that process, and that requires us to make a clear distinction on how we go about that to where we maximize both. And I just have to suggest to you, without trying to sound argumentative, that this Administration has made it very difficult for us, because as Mr. Deutch has said and others, we feel that we have been blatantly deceived on what some of these programs have done and what they did. And consequently, it is hard for us sometimes to come up with the kind of architecture for any policy because we simply do not trust the Administration to be forthright with American people or us. And at the same time, I want to do the right thing here. So let me just ask you this question, Deputy Attorney General Cole. The President has made several recommendations for changing these data collection programs, including ending outright the bulk collection program. And then the last time the authorities were up for renewal, then the Administration, after they had said this, came before us and asked us to renew them completely. Now, help me understand that. Help me understand the contradiction there. Mr. James Cole. I do not believe it is a contradiction, Congressman. I think it is just an evolution as people come to the debate and try to figure out the best way to do it, as we get the recommendations from the PCLOB and the President's review group, as we look at the value of what we get from these programs. And I think what the President has said is he does believe that the 215 program is valuable, but he is trying to find ways and has charged us with trying to find ways to accomplish as much and most of what that gives in other ways that will cause less concern for the American people, legitimate concern that they have about what is being done. Despite all of the court restrictions that are put on, despite the fact that as both groups found, there has been no intentional abuse of any of this, it has been well regulated and well minded, and it has been reported to the courts and Congress and the executive branch. There is still a faith that we want to keep with the American people about making sure that they are satisfied we are doing everything we can do. So that is where we are. It is an evolution more than a contradiction. Mr. Franks. Attorney General Cole, I appreciate that. I just would suggest to you that the American people are clearly at odds with that understanding. They feel that they have been deceived, and I certainly cannot possibly come back to them and tell them they have not. But if I could shift gears and ask you, Mr. Medine, a question regarding 2315 that the Attorney General brought up. How can a bulk collection that potentially violates the First and Fourth Amendments be potentially unconstitutional, but individual collection is not? Help me understand the dichotomy there. I mean, if as, you know, the majority suggests here that the bulk collection of telephony metadata under Section 215 is constitutionally unsound, would the same not be true for individual 215 orders? Mr. Medine. First, the board did not say that the bulk collection was unconstitutional. What we did say is that there is a Supreme Court precedent, Smith v. Maryland, that says that records held by third parties are not entitled to Fourth Amendment protection. But we have also looked at the Jones case involving GPS tracking and seen a potential trend, especially in the voices of five justices, suggesting that this type of information was entitled to constitutional protection because of the breadth of its collection. So collecting information on hundreds of millions of Americans over an extended period of time is very different from collecting information on one person who may be a suspect for a short period of time. So we did not reach constitutional conclusion on that, but I think there is a distinction between those two scenarios. Mr. Franks. All right. Well, quickly, Judge Bates, who formerly sat on the FISC, recently wrote a letter objecting to the creation of a public advocate position, like Mr. Obama has suggested. He wrote that, ``Given the nature of FISA proceedings, the participation of an advocate would neither create a truly adversarial process nor constructively assist the courts in assessing the facts.'' Attorney General Cole, I will ask you, do you agree with Judge Bates' conclusion and tell me why. Mr. James Cole. Well, I think the history of the Court has been that it has functioned quite well, and that the judges have been very earnest about trying to look at both sides. But I think, again, as we have started to think through this, there may be instances where the Court could benefit from another point of view, not in every instance. And the instances may be quite infrequent. But there are those where we think that another perspective may be helpful to the Court in reaching its conclusions. Mr. Franks. Mr. Chairman, I am out of time. Thank you, sir. Mr. Goodlatte. The Chair thanks the gentleman, and recognizes the gentlewoman from Washington, Ms. DelBene, for 5 minutes. Ms. DelBene. Thank you, Mr. Chair, and thanks to all of you for being here today. Mr. Medine, I would like to talk about transparency and the impact of the Administration's step to allow technology companies to be able to provide greater disclosure about the number of government requests they receive. Just yesterday many companies took advantage of the agreement reached with the DoJ and have provided new information to the public, which I think is a welcomed development. Do you think legislation that allows companies to provide more details to the public would be helpful? In particular, can you talk about the distinction between what the agreement last week allows and what you believe should happen? I am also a co-sponsor of the USA Freedom Act, and we also outline recommendations there. And I would love your opinion on that. Mr. Medine. Our board's report recommends a number of areas where transparency could be greater so that there could be more public confidence in our intelligence programs, and so transparency with regard to the government's request to companies is certainly a part of that. What our Board recommended is that companies be given an opportunity, in some cases a greater opportunity, to disclose government requests consistent with national security. And so, we have not had a chance to evaluate the arrangement that was struck with the Justice Department, but certainly it is a move in the right direction to allow the companies to make it clear what is collected and also to disabuse people, particularly overseas, and clarify that there is less collection going on than they think, which I think will actually help American businesses down the road. So we are very supportive in principle of doing this, but we have not examined the specifics of it. In terms of whether there is a need for legislation, I think we could evaluate how well the government struck its balance. But there are important national security concerns in revealing information, and it is important to do it in the right way. Ms. DelBene. Okay. We would be interested in your opinion on that after you have had a chance to look at it in more detail. Mr. Cole, you stated last week the Administration had determined that the public interest in disclosing this information now outweighs the national security concerns that required its classification. And, you know, my position is that even greater disclosure is warranted in order to restore the credibility and trust of the American in our government. But I want to focus one particular element of the transparency agreement announced last week. In the letter you shared with companies' general counsels last week outlining the terms of the agreement, you state that the government is able to designate a service or designate a new capability order, and thereby delay reporting on that service for 2 years. And I wondered what the criteria was that you would be using in making the decision of what a new capability would encompass. Mr. James Cole. Well, I think the criteria is set out in the letter. It is a new platform or a service or a capability that we have not had before that would indeed be something new and that we would be, I think, going to the court and having it incorporated in the order. And so, it would be something where we have gained a new capability to intercept communications that we have not had before, so that if people are relying on our inability to be able to intercept that information-- terrorists and people like that--that they will not all of a sudden see a spike if we come to adopt that view or that capability, and, no oh, I better get off this platform. Ms. DelBene. But given that that is a rather vague definition of what a new capability is, because of a new version of what you are doing right now, how do we know that that is not going to be used in such a broad way that basically ends up preventing disclosure of a lot of information that otherwise is covered in the agreement? Mr. James Cole. I believe there is an avenue for the companies to go to the Court and challenge that, and certainly come to the Justice Department and challenge that, and say it, in fact, is not a new capability. And we can try and work that through, and the Court could find that it is not. Ms. DelBene. And why do you believe that there has to be such a caveat in the agreement at all? Mr. James Cole. From a national security standpoint so that people who are comfortable communicating over a certain type of capability do not all of a sudden realize that we can now intercept that capability. Ms. DelBene. But do have a specific example in mind from what---- Mr. James Cole. Nothing that I would want to talk about in an open hearing. Ms. DelBene. Thank you, and I will yield back, Mr. Chair. Mr. Goodlatte. The Chair thanks the gentlewoman, and recognizes the gentleman from South Carolina, Mr. Gowdy, for 5 minutes. Mr. Gowdy. Thank you, Mr. Chairman. Mr. Chairman, I was going to pursue a line of questioning related to the balancing of constitutional principles, and two of them are at play here, national security and privacy. And then I was going to pursue a line of questioning related to the expectation of privacy and whether or not it can change with culture and technology. But two things happened, Mr. Chairman, on the long, arduous walk from your chair to mine. One was something my friend from Tennessee said, suggesting a link between appointing judges and how they rule. In fact, Mr. Chairman, our colleague from Tennessee said everything is politics, justices are politics. So I want to ask Mr. Swire, I am going to read you a list of names, and everybody on this list has at least two things in common, and I want you to see if you can guess what those two things are, okay? Mr. Swire. It is arduous for us, too, Congressman, but go ahead. Mr. Gowdy. David Souter, John Paul Stevens, Harry Blackmun, William Brennan, Earl Warren, and Anthony Kennedy. What do all of those justices have in common? Mr. Swire. I suspect you are pointing to the fact that they are Supreme Court justices nominated by Republican presidents. Mr. Gowdy. That is exactly what I am referring to. And what would be the second thing they have in common? Would you agree that they wildly underperformed if they were put there to pursue a conservative agenda? Mr. Swire. I am hesitant to say all these justices wildly underperformed on any criteria. Mr. Gowdy. You do not think Brennan wildly underperformed if we put him there to pursue a conservative agenda? Mr. Swire. I am sorry, which---- Mr. Gowdy. Blackmun, Brennan. They cannot get you in trouble anymore. [Laughter.] Judges cannot take up for themselves, Mr. Chairman. They either cannot or will not. I just do not think it is appropriate to try to make links between who put somebody on the bench and how they are going to turn out because I just pointed to a half dozen that did not turn out the way we though they were going to turn out. The second thing that happened, Mr. Chairman, was Mr. Jordan's line of questions. Mr. Cole, I am not going to ask you about the IRS targeting scandal for two reasons. Number one, you cannot comment on it, and I know you cannot comment on it, so I am not going to put you in a position of having to repeatedly say you cannot comment on it. The second thing you cannot do is explain to us why the President said what he said Sunday. So because you cannot explain it any more than anyone can explain it, I am not going to ask you about it. I am going to ask you to do one thing, and you do not have to comment on it. I am just going to ask you to do one thing, prosecutor to prosecutor. I am going to ask you to consider, in my judgment, how seriously the President undermined the integrity of that investigation by what he said, ``not a smidgen.'' Lay aside that is not a legal term, ``not a smidgen'' or scintilla of evidence to support corruption or criminality. This investigation is ongoing. I assume no conclusions have been reached, hence the word ``ongoing.'' And for him to conclude that there is no evidence of criminality whatsoever in the midst of an investigation I think undermines the hard work that the men and woman of your Department do. And I do not expect you to comment. I do not want you to comment, other than I would ask you to consider anew appointing special counsel under the regulations. The special counsel of regulation say it is appropriate in extraordinary circumstances. What we have been discussing all day today is the extraordinary circumstance of whether can you target under the Fourth Amendment. The IRS case is whether government has targeted people for the exercise of their First Amendment rights. So I do not think anyone would argue it is not extraordinary if there is an allegation that government is targeting someone. And the second part of the regulation speaks to the public interest. So I would just ask you to please respectfully reconsider in light of what was said Sunday night, which was there is nothing here, not a smidgen of criminality in the midst of an investigation that matters greatly to lots of people. The Chief Executive said move on. For no other reason than to protect the integrity of the justice system, which I know you care about and I care about, I would ask you respectfully to consider appointing someone as special counsel in light of what the President said Sunday night, because he seriously undermined the integrity, in my judgment, of what is an ongoing investigation. And with that, I will yield, Mr. Chair. Mr. Goodlatte. The Chair thanks the gentleman, and recognizes the gentleman from New York, Mr. Jeffries, for 5 minutes. Mr. Jeffries. I thank the Chair as well as the witnesses for your participation in today's hearing. Mr. Cole, I want to go over a few questions related to the relevancy standard. I recognize this may have been ground covered earlier in the hearing, but if you would just indulge me. They will be pretty brief. Since the passage of the PATRIOT Act, which I believe was done in late 2001, how many actual terrorist plots have been thwarted connected to the new tools made available to law enforcement pursuant to this act? Mr. James Cole. Well, I do not think that 215 was around in the original version of the PATRIOT Act. That came some time later. I do not know the exact number. Mr. Jeffries. Right. I am asking about the overall PATRIOT Act. Mr. James Cole. I do not know the exact number. Mr. Jeffries. Okay. Now, as it relates to the bulk collection of metadata allegedly authorized by 216 that came subsequent to the initial creation of the PATRIOT Act, how many terrorist plots can be directly linked to this bulk collection? Am I correct that the answer is zero? Mr. James Cole. I think the question is directly linked. There are tips and there are leads that come from the 215 metadata as I have said a number of---- Mr. Jeffries. Can you provide us with one example where a tip or a link actually led to the thwarting of a terrorist plot connected to this bulk collection? Mr. James Cole. Well, alleged charges. It does not mean that there were not other tips and leads that led to further investigations that were valuable and helpful to the government. Mr. Jeffries. But it is fair to say there is no substantial connection between this bulk collection and the resolution or thwarting of any terrorist plot related to this particular authorization under 215, correct? Mr. James Cole. I think that may be correct, but I think that that is not always the only standard that is used. Mr. Jeffries. Right. Now, you referenced that earlier in your testimony. Can you give an example to the American people to justify this bulk collection outside of its alleged relevance, given that there has been no evidence, not a scintilla of evidence, presented that it has been relevant to any terrorist investigation? Mr. James Cole. Well, I think it is relevant in a couple of ways. One is to be able to rule out that there are connections within the United States from terrorist plots that may be starting outside the United States. So it is very valuable to be able to know that so we can direct our resources very much at the core of what we are trying to look for. Mr. Jeffries. Now, do you think that the current relevance standard is a robust one? Mr. James Cole. I think the current relevance standard is one that is used in both criminal and civil law, and it is a very broad standard. Mr. Jeffries. It is a very permissive standard in terms of what the government has been able to get access to, correct? Mr. James Cole. It is not unfettered. It has to be done in a way that is necessary. We cannot just take whatever we want any time we want for any purpose. We have to go to a court and justify the fact that we need this volume of records in order to find the specific things we are looking for under very restricted circumstances. And then the court has to say you have permission to do this. Mr. Jeffries. Right, but what is very troubling, and I would like to talk to Mr. Swire about this, it is my understanding that once that bulk collection has been obtained, that the standard of reasonable articulable suspicion as it currently exists is a decision made by a NSA supervisor, not by an independent member of the judiciary, correct? Mr. Swire. In the first instance, it is made by the analyst, and it is reviewed by a supervisor. Mr. Jeffries. Now, how is the Review Board proposing to change the absence of judicial consideration? Mr. Swire. As was true in 2009 when there were some difficulties with compliance, we recommended that it go to the FISA Court in individual instances for a judge to review. Mr. Jeffries. Are you saying in the first instance in terms of the authorization of bulk collection or subsequent collection to search the data there must be a judicial determination made? Mr. Swire. In this case, there is collection, and then there is reasonable articulable suspicion about some phone number. And at that point you would go to the judge and say, judge, here is our RAS, and here is why we think we should look at it. Mr. Jeffries. Okay. Now, as it relates to collection, there has been discussion and debate about which entity would be most appropriate, putting aside the question as to whether it is even proper for this information to be collected, and I think the jury is still out on that, and the balance of facts suggest that it is not. But assuming that this information is collected, I guess the proposals have included the private sector, telephone companies, and an independent third party yet to be identified. Has there been any consideration given to the judicial branch as a separate, but co-equal, branch of government independent from the executive creating the mechanism to retain this data given the fact that a judicial determination at some point is going to be made as to whether it should be searched? Mr. Swire. Yes. I am not aware of the judicial branch holding databases and running those except for their own court records. So that would be quite a different function than I think what we have seen previously Mr. Jeffries. Okay, thank you. I yield back. Mr. Goodlatte. The Chair thanks the gentleman, and recognizes the gentleman from Texas, Mr. Farenthold, for 5 minutes. Mr. Farenthold. Thank you, Mr. Chairman. Mr. Medine, you talked a little bit earlier in response to some questions about limited Fourth Amendment protections for information held by third parties. I think a lot of that is what Section 215 kind of bootstraps on. It gives the government broad authority to get a hold of that information. Just so the folks watching this and everybody understands, there is a difference between, like, if I have a file on my computer or if I have a file on something on a cloud storage. I have more privacy, correct, in what is on my computer, more protection. Mr. Medine. Under current Supreme Court law, that is right. Mr. Farenthold. And the same would be true for something sent by postal mail. I would have more privacy than something sent by email. That is kind of more traditional. And I would assume that, you know, a canceled check that I have in my drawer is more protected than the bank record. Is that something you think most Americans understand the difference in this day and age about information that is held electronically or held by third parties? Do you think most Americans understand that it is basically fair game? Mr. Medine. I suspect that they do not, but I think the key thing here is that, as you say, technology has changed dramatically since the Supreme Court's decision in Smith v. Maryland, which was collecting a limited amount of information for one person over a short period of time as opposed to---- Mr. Farenthold. Our ability to gather information has changed. So the courts could revisit this, but is it also not appropriate that Congress could revisit this and say you actually do have a reasonable expectation of privacy in certain things? Mr. Medine. That is exactly what the majority of our board has recommended is that based upon our legal analysis of Section 215, our constitutional analysis, which we say is heading in the direction of adding protections, and also our balancing national security with privacy and civil liberties, we saw a great impact of this program on---- Mr. Farenthold. So let me just ask Mr. Cole, and I suspect I know the answer to this question. So if any of my information is held by a third party, do you see any substantial limitation on what Section 215 allows you guys to get? Mr. James Cole. Yes, I see very significant limitations on what we could get being held by a third party. Mr. Farenthold. All right. Let us just talk about some things that are probably held in bulk. We talked a lot about the metadata on telephone calls. Could geolocation data that is routinely reported back from cell phones be gathered? Mr. James Cole. If there is a need, it may or it may not. Mr. Farenthold. Bank records, credit card transactions, things like that? Mr. James Cole. They may not be. It depends on whether there would be a need to show the connections where you would need the whole group---- Mr. Farenthold. But under the rationale that you get all telephone records, could that not be extended to say, all right, we need all credit card transaction records, or all geolocation data so we can go back and mine it after the fact, from what we hear from the folks to your left, is a very limitedly effective program. Mr. James Cole. Well, we are not mining the data, Congressman. That is not something---- Mr. Farenthold. Or go back and searching it, I guess. Mr. James Cole. Well, and we are searching only in a very limited way. Mr. Farenthold. Right, but the same argument that says you can collect all the phone data, could the exact same argument not be used for any other sorts of data that are collected by businesses in bulk? Mr. James Cole. Not necessarily because the phone data connects two different people, and you have to look at those two different sets of information. Mr. Farenthold. Right. So the geolocation data does the same thing. I go---- Mr. James Cole. Not necessarily because it only focuses on one person and not---- Mr. Farenthold. Right. But if you got the geolocation data, you could get everybody who is within 150 feet of me by rather than searching the person's phone, you could search the law and where they are, and you could tell everybody who's in this room right now. Mr. James Cole. But there may be other ways to go about that without collecting all of the data for every single cell tower in the United States. Mr. Farenthold. Okay. But do you believe that it would be legal for you all to do that? Mr. James Cole. Only if there was a need. The Court's rulings have really focused on the fact that there is a need under the facts and circumstances---- Mr. Farenthold. All right. I see I am almost out of time, and I wanted to follow up on something that came up in the Oversight and Government Reform Committee last week. Can you tell us whether the NSA is playing any role in identifying, assessing, or classifying information about security threats or vulnerabilities associated with the healthcare.gov website? Are you aware of anything? Mr. James Cole. I am not aware of anything, Congressman. Nothing that I am aware of. Mr. Farenthold. Thank you very much. I yield back. Mr. Goodlatte. The Chair thanks the gentleman and recognizes the gentleman from Rhode Island, Mr. Cicilline, for 5 minutes. Mr. Cicilline. Thank you, Mr. Chairman. I thank you and the Ranking Member for the warm welcome, and I look forward to the work of this Committee. Thank the witnesses for being here and for your testimony. I am, too, a proud sponsor of the USA Freedom Act and really associate myself with the remarks of my colleague, Mr. Sensenbrenner, and hope the urgency of action is clear to all of the witnesses and hopefully to our colleagues in the Congress. I share the view of many people that it is very difficult for me to understand how the existing statute authorizes this massive data collection of all Americans, and I am struggling to understand how that authorization is provided in the statute. But I want to ask a couple of very specific questions. One is I think there has been testimony from all three witnesses that there is not a lot of evidence, if any, that this action, this metadata data collection, has led to the interruption of a terrorist attack, but it has been useful in a variety of different ways. And since the private industry holds these records for 18 months, has anyone looked at in the instances it has been useful what the time period has been? Has it been beyond the 18 months? If we were to change that to 24 months, would we cover all of the useful moments and not have to have the government collecting any of this data? Does anyone know the answer to that? Mr. James Cole. I think that is one of the factors that we are trying to look at to see how long you need the data for. This was one of the issues when the President said, and we talked about cutting it down to 3 years instead of 5 years for holding it, is one step. And we may look further to see what the right amount of time is. Mr. Cicilline. So with respect to the information we have currently, the benefits of in these instances where it has been useful, we do not know what that time period has been. Mr. James Cole. We are looking into that. Mr. Cicilline. Okay. The second thing I want to ask is, you know, we have this very deeply held belief in this country that the key parts to our justice system or two of the key parts are an independent neutral magistrate or judge. The current system allows the queries to be made by decisions made by someone other than a judge. And one of those reforms that has been recommended is that a FISA Court judge make that determination as a result of hopefully some adversarial process so that arguments can be made on both sides. That seems a very common sense reform. I would like to ask your thoughts about the national security letters because it seems to me the same kind of information can be collected through the national security letters that do not require a judicial determination. And it would seem to me that that would be a fairly easy reform to implement that says these letters can broadly collect lots of information without any judicial determination that it is necessary or appropriate. Why not impose the same requirement? And I know, you know, the argument always is, oh, it is too much, you know. It will require lots of extra hours. Setting aside the fact that it will be a lot of work for some folks and that we are prepared to fund that, does it not make sense that we ensure that there is a judicial determination as to the propriety of the information sought that can be quite broad? And I would like all three of you to comment on that. Mr. James Cole. First of all, you have to understand national security letters are not as broad as other things, other kinds of subpoenas, grand jury subpoenas, even administrative subpoenas under the Controlled Substances Act or 215 authorities. It is more limited. That being said, it is much like an administrative subpoena or a grand jury subpoena, which does not involve any prior judicial approval before they are issues. Any judicial involvement comes on the back end if people do not comply with it. And they are very routine. They are used---- Mr. Cicilline. But those grand juries--excuse me for interrupting--those grand jury subpoenas require the participation of grand jurors, of citizens, to make a determination---- Mr. James Cole. They do not issue them themselves. There usually can be just a blanket authority from the grand jury to go issue---- Mr. Cicilline. But it requires action of citizens to authorize it. In this case, the national security letters, there is no participation of citizens. It can be a NSA official that makes that determination with no either citizen participation or judicial participation. Mr. James Cole. Actually grand jurors usually do not participate in the decision to issue a subpoena. They receive the evidence that comes as a result of it and consider it, but they do not usually get involved in the issuance of the subpoena. That is usually done by the prosecutor. Mr. Cicilline. So is it your position that having a judicial determination of the national security letter request is not appropriate? Would that not provide additional protection against an intrusion into the privacy rights of citizens with a de minimis kind of intervention by a judicial officer? Mr. James Cole. I do not think it would provide any significant protection against privacy invasions for citizens. There are still administrative subpoenas, grand jury subpoenas, lots of things like that that go well beyond what a national security letter can do. I do not see the point of it. Mr. Cicilline. Mr. Swire? Mr. Swire. Our report came out in a different place, and we did recommend a judge. And in terms of the comparison with a grand jury subpoena, here are two differences that are not always stressed. One is that the NSLs stay secret under current law probably for 50 years, and that is very different. And the second way from what happens in a criminal investigation where if there is a problem with the investigation, the criminal defendant and his or her lawyer find out about it quickly, and that is a check on over reach. With NSLs, the person who is being looked at does not get that kind of notice, so you do not have a built in check against using it too much. Mr. Medine. Our board unanimously recommended that the RAS determinations, reasonable articulable suspicion, immediately go to the Court, after the fact, for judicial oversight of that program. Going forward, the only thing I would say is, because we have not studied national security letters on our Board as yet, to consider that we not make it a higher standard to collect counterterrorism information than we do in ordinary criminal cases, to look more broadly overall at how are these programs operating. Mr. Cicilline. Thank you. I thank you, and I yield back. Mr. Goodlatte. The Chair recognizes the gentleman from North Carolina, Mr. Holding, for 5 minutes. Mr. Holding. Thank you, Mr. Chairman. Mr. Swire, with private parties holding metadata, what kind of liability do those private parties have for any misuse of the metadata? Mr. Swire. So a phone company today, if it is hacked into or if they turn it over when they are not supposed to turn it over? Mr. Holding. First, you know, if they are hacked into, I guess there would be some determination as to whether they have taken adequate steps to protect the data. So what liability do they have there? What liability do they have if they turn it over to the government, and for some reason the government misuses it? Are there any immunities that these third parties have? Mr. Swire. So there is not an immunity if they lack reasonable security. Most of them have privacy policies where they said they are going to use reasonable security measures. The Federal Trade Commission or the Federal Communications Commission could bring a case against it. Private tort suits have not succeeded mostly, but the government could come in. When it comes to the second part, I think that comes up with the scope of the immunity that Congress included in the law the last time around. I do not know all the contours of that, but it is quite immunity is my understanding. Mr. Holding. And, of course, if we set it up so these third parties are retaining this information for a longer period of time, I assume that they would want additional assurances of immunities. Mr. Swire. I predict they would want that, yes. Mr. Holding. Mr. Cole, you would certainly agree that we live in a dangerous world. Mr. James Cole. I am sorry? Mr. Holding. We live in a dangerous world. Mr. James Cole. Yes, we do. Mr. Holding. And the dangers are overseas, and they are at home. Mr. James Cole. That is correct. Mr. Holding. There are plenty of people who wish us great harm. And in the years subsequent to 9/11, the danger may have changed, but I do not think the danger has diminished. Mr. James Cole. That is correct. Mr. Holding. In fact, it may have increased. Mr. James Cole. It has become different, and it has become a lot more difficult to detect. Mr. Holding. And you have mentioned several times and the other Members have mentioned several times about the use of the metadata in 215. And, you know, some people pointed out that, you know, no criminal case has been brought, you know, on the basis of metadata queries. But you pointed out that it is a part of a fabric of an investigation. I would like to think of it as a mosaic when you are putting together an investigation, whether it is public corruption, or a sophisticated drug conspiracy, or indeed, you know, a terrorism investigation. I want to give you a few minutes to spin a hypothetical based on your experience as a prosecutor and as, you know, someone who oversees a lot of investigations, a hypothetical where the Section 215 metadata is used as a piece of that mosaic. And to give some context to the conversations, you know, that we have had back and forth, and kind of what that mosaic looks like. Mr. James Cole. Well, obviously there is any number of different ways it could play out. But one possible scenario is you have reasonable articulable suspicion that a certain phone number is connected with a certain terrorist group, and you then inquire about it, and you see calls to and---- Mr. Holding. Now let us back up a little bit. And how would you come about one of these telephone numbers? Mr. James Cole. Well, that could be from any number of other sources of intelligence, and without going into too much detail, there is a lot of information that feeds in that helps inform how we come to those conclusions if there is, in fact, reasonable articulable suspicions. But it has to be documented. It is not just something that is floating in the air. It has to actually be written down so somebody can read it, look at. A supervisor can determine that, in fact, it is reasonable articulable suspicion, and authorize the inquiry to be made. At that point, we just have the phone number. We then look at who that phone number has called, and we may see that there are a number of calls to another number. At that point, we do not know who that is, but we may then give that information to the FBI. They may then through a national security letter or something else determine who that number belongs to. They may then be able to look at other holdings that they have and other information they have that indicates that that other number is, in fact, somebody that they have been investigating for terrorism. And then they start putting that together, and the investigation starts to blossom from there. That is one of the ways that this could play out. Mr. Holding. So the metadata may not be the smoking gun, but it certainly puts not only a piece of the mosaic, but it might be like the cement that kind of puts the mosaic together, hooks it to another part. Mr. James Cole. It is tip or a lead. It starts the process going. Mr. Holding. Thank you. Mr. Chairman, I yield back. Mr. Goodlatte. I thank the gentleman, and the Chair recognizes the gentleman from Georgia, Mr. Collins, for 5 minutes. Mr. Collins. Thank you, Mr. Chairman. I appreciate the time. And I am probably not going to spend the whole time because one of the things that I want to focus on here is probably the question, is I think from the sense--Mr. Cole, you have been here many times, and we have had these conversations. Others have been here as well. Today the Committee, especially Judiciary, reminds me more of a P90X workout. One side you are going hard for 5 minutes, and then the next time, whew, I rest for 5 minutes. [Laughter.] Hard for 5 minutes, rest for 5 minutes. And what happens here is you see a unilateral sort of discussion and understanding that what we have that nobody is comfortable with. They are not. They do not want to put our national security at risk. Nobody on this panel, nobody in this Congress, and many people in the country, they do not want to put--but they are also very uncomfortable with the collection. They are very uncomfortable with the way it has been dripped out of this is what is happening now, this is what is happening now, 2 weeks later here is what is happening. By the way, we are now angry birds, you know. Whatever it is, it is just dripping out. And so, every time we begin to maybe put a hold on it, it becomes a deeper problem with another revelation, and some of that was definitely not intended. Some of that was leaked maliciously, and I recognize all that. And from my part of Georgia, people understand national security. They understand patriotism. That is not the problem. What they do not understand is a loss of trust in the government, frankly a loss of trust in this Administration, a loss of trust. So what I really would like to focus on just for a moment, and if you have a lot you want to say, great. If you do not, then that is okay. But I think we have discussed a lot of specific recommendations. We have talked about have you found out, have you showed it. The mosaic, as my dear friend from North Carolina talked about, about investigations. But mine goes back to an essential question that this Congress will have to ask, and I believe it is the only reason that the President came out and said we need to change this, we need to look at this, is because, frankly, the poll numbers are bad. You have been looking at this for 5 years. You knew it for 5 years. And now it is, well, this is getting bad, we need to get ahead of this, let us show leadership, the whole crowd is up there, let me run in front and lead. The problem is trust. So my question as we look at this, no matter what recommendations may come here, and I have associated with many on both sides of the aisle of the problems that we have, is in my district and in many others, NSA has become not a three- letter word, but a four-letter word. It has become something that they just do not understand and they do not trust anymore. So my question is, no matter what recommendations we give-- any of you want to talk about it--for just a moment, how do we restore that? And that is the basic question here. How do we restore trust? Mr. James Cole. Congressman, I think you raise a very, very important point, which is trust. We come to this through years of both Republican and Democratic Administrations where the intelligence community has determined that it is appropriate to classify a lot of things information that we are now talking about in open hearings. And they had a good faith determination at the time that it should be classified for the national security and safety of our country. It is out, and we are talking about it. And the American people deserve to have answers, and they deserve to have a level of transparency that makes them comfortable about these things. And I think that this Administration, quite frankly, has taken the bull by the horns, and these are not easy issues. These are not easy resolutions. These are not easy balances to find. But this Administration has gone very far in trying to be transparent, in trying to bring these programs back into line, in trying to balance how far we can go, how transparent we can be, how many civil liberties and privacy interests we have to respect, and how much of the national security side we have to respect, and where that balance is. And these are tough balances. You are not going to do it overnight. You are not going to sit there and say, oh, that is easy. Let us just go over and disclose all of this, or let us just not collect this information. These are things that if you do not collect it and something blows up, people are going to be very angry. But these are also things that if you do over collect, and you do over classify, and you do inhibit people's civil liberties, they are going to be upset about that, too. So we have to find that balance, and I wish it were easier, but it is not. Mr. Collins. And, look, I respect that, and you have been up here, and you are an advocate of what the Administration is doing, and I get that. But I think the trust factor is the biggest issue, and I think it was not grabbing the bull by the horns. I think it was grabbing a microphone and saying I will make you feel better, and I understand that. But at the same point, it does not go to the heart of the question. It does not go to that trust issue on how we in this Congress can explain that, and how the Administration can make it look more instead of a public appearance and we are going to PR, how we actually solve this. Look, I respect everyone. Thank you for being here. But that goes back to the real issue. This is a trust issue. We can do the recommendations, but we have got to get back to trust, and we just do not have that trust right now. Mr. Chairman, I yield back. Mr. Goodlatte. The Chair thanks the gentleman, and the Chair thanks all of our witnesses on this first panel. You have taken a large number of questions, and we appreciate the input to the Committee. I want to ask unanimous consent to place the following documents into the record: Annex A of the PCLOB report, separate statement of board member Rachel Brand; Annex B of the PCLOB report, separate statement of board member Elizabeth Collins Cook; comments of the judiciary on proposals regarding FISA; a letter written by the Honorable John D. Bates, director of the Administrative Office of the United States Courts on January 10, 2014;* Presidential Policy Directive Number 28, the President's directive regarding signals intelligence issued January 17, 2014.** --------------------------------------------------------------------------- *The corrected date of the submitted letter is January 13, 2014. **See Appendix for submitted material. --------------------------------------------------------------------------- I want to thank all the members of the panel, and you are excused. And we will---- Mr. Nadler. Mr. Chairman? Mr. Goodlatte. Yes? Mr. Nadler. May I ask unanimous consent that we admit into the record the entirety of the PCLOB report since the dissenting views are going be---- Mr. Goodlatte. Without objection, that will be made a part of the record as well.*** --------------------------------------------------------------------------- ***The PCLOB report document submitted for the record is not reprinted here but can be accessed at: http://www.pclob.gov/SiteAssets/Pages/default/PCLOB- Report-on-the-Telephone-Records-Program.pdf. --------------------------------------------------------------------------- Mr. Nadler. Thank you. Mr. Goodlatte. And we thank all of our panelists. Mr. James Cole. Thank you, Mr. Chairman. Mr. Goodlatte. And we will move onto to the next panel. We are expecting a vote soon, but we want to keep moving. [Pause.] Mr. Goodlatte. We welcome our second panel today, and if all of you would please rise, we will begin by swearing you in. [Witnesses sworn.] Mr. Goodlatte. Thank you very much. Let the record reflect that all of the witnesses answered in the affirmative. Our first witness of the second panel of witnesses is Mr. Steven G. Bradbury, an attorney at Dechert, LLP, here in Washington, D.C. Formerly, Mr. Bradbury headed the Office of Legal Counsel in the U.S. Department of Justice during the Administration of George W. Bush, handling legal issues relating to the FISA court and the authorities of the National Security Agency. He served as a law clerk for Justice Clarence Thomas on the Supreme Court of the United States and for Judge James L. Buckley of the United States Court of Appeals for the D.C. Circuit. Mr. Bradbury is an alumnus of Stanford University and graduated from Michigan Law School. Our second witness is Mr. Dean C. Garfield, president and CEO of the Information Technology Industry Council, a global trade association that is a voice advocate and thought leader for the information and communications technology sector. Previously, Mr. Garfield served as executive vice president and chief strategic officer for the Motion Picture Association of America. Mr. Garfield is a regular contributor to the Huffington Post and has been featured in several national and international publications representing the ICT industry. Mr. Garfield holds degrees from Princeton University and New York University School of Law. Our third witness is Mr. David Cole, a professor of law at Georgetown University Law Center. He is also the legal affairs correspondent for The Nation and a regular contributor to the New York Review of Books. He is the author of seven books. Mr. Cole previously worked as a staff attorney for the Center for Constitutional Rights from 1985 to 1990 and has continued to litigate as a professor. He has litigated many constitutional cases in the Supreme Court. Mr. Cole received his bachelor's degree and law degree from Yale University. Mr. Cole has also received two honorary degrees and numerous awards for his human rights work. I want to thank you all for being here today. We ask that each of you summarize your testimony in 5 minutes or less, and to help you stay within that time, there is a timing light on your table. When the light turns from green to yellow, you will have 1 minute to conclude your testimony. When the light turns red, it signals the witness' 5 minutes have expired, but I think you all know that. And I thank you all. And we begin with Mr. Bradbury. Welcome. TESTIMONY OF STEVEN G. BRADBURY, DECHERT, LLP Mr. Bradbury. Thank you, Mr. Chairman. The independent judges of the FISA court have repeatedly upheld the legality of the NSA programs, and the President has strongly affirmed that they remain necessary to protect the United States from foreign attack. While I welcomed the President's defense of the programs in his recent speech, I'm disappointed that he decided, evidently at the last minute, to pursue changes in the telephone metadata program recommended by his review group. The President wants to move the metadata into private hands. I don't believe that's workable, not without seriously affecting the operation of the program and creating new data privacy concerns. The current program allows NSA to combine data from multiple companies into a single, efficiently searchable database and preserve it for historical analysis. This database is among the most effective tools we have for detecting new connections with foreign terrorist organizations. Moving this database outside NSA would require ceding control to a private contractor, since no single phone company has the capacity to manage all the data. Putting a private contractor between NSA and the data would compromise the utility and responsiveness of this asset. It would also reduce the security of the data. Today, the database is kept locked down at Fort Mead, with access strictly limited by court order and stringent oversight. If it were outsourced to a contractor, the data would likely reside in a suburban office park on much less secure servers. It would be vulnerable to privacy breaches and cyber incursions from foreign governments and terrorist groups. It could be exposed to court-ordered discovery by litigants in civil lawsuits, and the contractor's employees would be much less subject to direct oversight by the executive branch, the FISA court, and Congress. Those are not desirable outcomes. The President also intends to require FISA court approval of the reasonable suspicion determinations before NSA could query the database. This change moves us back toward the pre-9/ 11 approach. It will inevitably hamper the speed and flexibility of the program, particularly if it requires separate court approval of each query, and it will place a substantial new burden on the FISA court. Requiring the involvement of lawyers and court filings will impose a legalistic bureaucracy on a judgment call more appropriately made in real time by intelligence analysts. Finally, the President ordered NSA not to analyze calling records out to the third hop from the seed number, something the NSA only does when there's a specific intelligence reason. Why should we needlessly forego these potentially important intelligence leads? Beyond the changes endorsed by the President, I urge this Committee to reject most of the other major proposals for curtailing FISA. The most sweeping proposal would restrict the use of Section 215 to individual business records directly pertaining to a specific person. A similar proposal would limit NSA to conducting queries of the telephone calling records only while the data is retained by the companies in the ordinary course of business. These restrictions would kill the metadata program by denying NSA the broad field of data needed to conduct the necessary analysis. At the same time, denying NSA the ability to access metadata in bulk would preclude the historical analysis of terrorists' calling connections, which is among the most valuable capabilities of the 215 program. Any requirement to shorten the data retention period would degrade our ability to discover important historical connections. One further proposal would attempt to convert FISA into an adversary process by establishing some form of public advocate. This proposal would raise significant constitutional concerns, both if the President is required to share sensitive national security secrets with an adversary and if the public advocate were given the power to oppose each FISA application and to appeal a decision of the FISA court. Such an officer would lack the Article III standing necessary to initiate an appeal and would occupy a gray zone outside the three branch framework established in the Constitution. Instead of creating a formal office of public advocate, the President wants to set up a panel of pre-cleared outside advocates who could be called upon by the FISA judges to submit amicus briefs on significant questions. This proposal is less objectionable if it leaves to the FISA judges the decision to call for amicus input and preserves the President's discretion to decide whether the amicus gets access to classified information. Of course, any requirement that an outsider be granted access to the intelligence information available to the court will chill the executive branch's willingness to disclose the most sensitive details relevant to FISA applications. As the FISA judges recently pointed out, this disincentive would threaten the relationship of trust between the Justice Department and the FISA court, something this Committee should strive to avoid. Many of these reforms, Mr. Chairman, run the risk of re- creating the type of cumbersome, overlawyered FISA regime that proved so inadequate in the wake of 9/11. If our Nation were attacked again, I am concerned that a future President may feel the need to fall back on Article III authority to conduct the surveillance necessary to protect the country, and I don't think any of us would like that outcome. Thank you very much. [The prepared statement of Mr. Bradbury follows:] [GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT] __________ Mr. Goodlatte. Thank you, Mr. Bradbury. Mr. Cole, welcome. TESTIMONY OF DAVID COLE, GEORGETOWN UNIVERSITY LAW CENTER Mr. David Cole. Thank you, Mr. Chairman, Ranking Member, for inviting me here to testify. I want to make three brief points in my opening remarks. First, that technological advances employed by the NSA raise substantial privacy and liberty concerns and demand new legal responses if we are not going to forfeit our privacy by technological default. Second, that Congress is particularly well situated to adopt rules to protect Americans' privacy in the digital age. And third, that the USA FREEDOM Act, sponsored by Representative Sensenbrenner and Senator Leahy, is an excellent start toward restoring the privacy and the accountability that has been infringed by NSA practices. First, the NSA metadata program illustrates the profound threat to our privacy and to our associational freedoms brought on by the capabilities of the digital age. At the time of the framing or even 50 years ago, if the Government wanted to know what we read, what we listened to, who we spoke and associated with in the privacy of our home, they would have to get a warrant based upon probable cause. Today, virtually everything we do in the home and out, including what we read, with whom we associate, where we go, and even what we are thinking about leaves a digital trace that reveals the most personal details of our lives. According to the Administration's interpretation of Section 215, there is no limit on the Government getting these digital details of our lives, whether they be phone records or email records or Internet browsing data records or business or bank records. There is no limit on their ability to get them because they might at some point be useful to search through for a connection to terrorism. According to the Government's reading of the Fourth Amendment, the Fourth Amendment provides no constitutional limit on the Government's ability to get all of this data about all of us because, by sharing it with Google or AT&T or Verizon, we have forfeited our--any interest in privacy that we might have. But many people who have looked at this problem, including President Obama, including the President's review group, including the Privacy and Civil Liberties Oversight Board, including Justice Alito, including Justice Sotomayor, and including Justice Scalia, have said and acknowledged that when technology advances in this way, it is critical that we adapt our laws to ensure that we retain the privacy that we had at the time of the framing. We're in a brave new world. And unless we adapt our laws to reflect that fact, we will effectively forfeit the privacy that is so critical to our own human relations and to a free and open democracy. Second, Congress is well situated to act. As Justice Alito said in the Jones case, a legislative body is well situated to gauge changing public attitudes, to draw detailed lines, and to balance privacy and public safety in a comprehensive way. When it comes to adjusting law to deal with advances in technology, Congress has historically done so, and it has historically done so where the Supreme Court has either declined to protect Americans' privacy or failed to address sufficiently Americans' privacy. So when the Supreme Court said the Fourth Amendment does not protect the privacy rights of people vis-a-vis pen registers, Congress responded by enacted statutory limits on the Government's use of pen registers. When the Supreme Court said we have no privacy rights in our bank records, Congress responded by enacting the Right to Financial Privacy Act. FISA itself imposes restrictions on the Government's ability to gather information that the court has not yet said is constitutionally protected. That intervention is necessary here because the Administration has essentially interpreted Congress' prior law to give it carte blanche. I was around when we debated the changes on the PATRIOT Act, and I am absolutely certain that had the Administration come to Congress and said we'd like to amend the business records law, which at that time allowed the Government to get records on specific targets, and we'd like to amend it by giving us the authority to get records, phone records and other business records on literally every American and amass them in a single database and keep them for 5 years, there is no way that this Committee would have approved of that. There is no way that this Congress would have approved of that. And yet that's the interpretation that the Administration has put on this law in secret. And therefore, I think it's critical that Congress respond, and I think the USA FREEDOM Act, by ending dragnet collection and requiring a nexus between business records sought and terrorism investigations, is the best way to go. Thank you very much. [The prepared statement of Mr. David Cole follows:] [GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT] __________ Mr. Goodlatte. Thank you, Mr. Cole. Mr. Garfield, I don't know how the introductions and the seating got reversed there. Our apologies to you, but you get the last word of the testimony. Then we are going to take a recess to go vote, and we will come back and ask questions of all members of the panel. TESTIMONY OF DEAN C. GARFIELD, INFORMATION TECHNOLOGY INDUSTRY COUNCIL Mr. Garfield. Thank you, Chairman Goodlatte, Ranking Member Conyers. On behalf of some of the most dynamic and innovative companies in the world, we thank you for hosting this hearing and for inviting us to testify. My testimony today will be infused with a healthy dose of humility because we recognize that the phrase, ``We don't know what we don't know,'' is particularly apt in the area of national security. That being said, given the multinational and multisectoral nature of the tech sector and our business, we know we have something important to contribute to this conversation. As you instructed, rather than repeating my written testimony, which has been submitted for the record, I'll focus on the economic impact; second, the societal implications; and then, third, offer some solutions. With regard to the first, the economic impact is significant and ongoing. We live in a world where innovations that were previously the province of your imagination or solely the movies are now found in technology that positively impact all of our everyday lives. Those innovations are not just cool and potentially lifesaving. They have positive economic benefit, with the United States benefiting significantly. By way of example, the data solutions industry, which is fast growing, is expected to create over 4 million new jobs in the next 3 years. Nearly a third of those jobs are expected to be created in the United States, which we all benefit from. Unfortunately, because of the NSA disclosures, ``made in the USA'' is no longer a badge of honor, but a basis for questioning the integrity and the independence of U.S.-made technology. In fact, a number of industry experts have projected that the losses from the NSA disclosures in the cloud computing space alone will be in the tens of billions of dollars. Second, with regard to the societal implications, the impact is significant there as well. Many countries are using the NSA's disclosures as a basis for accelerating their policies around force localization and protectionism. We've all read about what's happening in Brazil and their efforts to create a walled garden around their data. Brazil is not alone. Some of our other allies, including Europe, are questioning the safe harbor that enables cross- border data flows. As well, many European countries are advocating the creation of country-specific clouds. If that is able to proceed and turns into a contagion, we run the real risk of going down the path of a Smoot-Hawley like protectionist downward spiral that dramatically impacts U.S. businesses and actually impacts businesses all around the world and transfer what is an open, global Internet instead into a closed, siloed Internet, which is not something that none of us would like to see. Congress is in a great position to avoid that, and so I'll turn to solutions. I offer 3 sets of solutions that build on 8 principles that we released 2 weeks ago. First, we think that additional transparency is critical. The previous panel spoke to some of the steps that have recently been taken by the Justice Department to enable greater disclosures. We view those steps as a positive step forward but still think that legislation is necessary to cement those gains and to build on them. Second, we think greater oversight is also very important, and developing a framework that enables a civil liberty advocate to be a part of the FISC court process--I'm sorry, the FISA court process is also important. The last round of questions for the first panel revolved around trust, and we think that rebuilding trust is also critically important. And there are a number of steps we can take in that regard. One is around the standard-setting processes around encryption. The NSA disclosures have significantly undermined the encryption standard-setting process, and the President in his speech passed on the opportunity to affirm the integrity of those processes. We think that it's critically important that that occur. Second, and finally, the issue that's been much debated in the first panel around Section 215. We think the work that you're doing today and, hopefully, will do in the future around examining and reexamining 215 is critically important. In addition to considering national security, we would advocate considering other factors, including economic security, civil liberties, cost, as well as the impact on our standing with U.S. citizens and around the world. Those same factors are equally apt as we consider whether that data should be stored by a third party. Again, I thank you for this opportunity and look forward to your questions. [The prepared statement of Mr. Garfield follows:] [GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT] __________ Mr. Goodlatte. Thank you, Mr. Garfield. The Committee will stand in recess, and we will return as soon as these votes are over to begin the questioning. [Recess.] Mr. Goodlatte. The Committee will reconvene. We are missing one of our witnesses. We will go ahead and start with you, Mr. Bradbury, and I am sure we will be joined by Mr. Garfield shortly. There he is. You were safe. We were starting with Mr. Bradbury anyway. Do you see any legitimacy in Justice Sotomayor's concern that there is a cumulative effect to the data collected? Does the evolution of technology necessitate a reevaluation of the concept of a legitimate expectation of privacy? Mr. Bradbury. Well, first, Justice Sotomayor in the Jones case was not addressing anything like the telephone metadata program. There was a criminal investigation targeted at a specific individual where they were tracking him around, and they put a device on his car, and they were collecting data about everywhere he went and everything he did. It was focused on a dragnet, if you will, on that particular individual. And there is nothing like that here. The only focus in this program in this program is on terrorist groups and their connections. Number two---- Mr. Goodlatte. Well, let me just interject there because I understand that concern, but I think the concern that a lot of Americans have is that while that is the purpose and intent of this, the collection of data, which as we know technology today allows us to do pretty incredible things, and not just the government, but it is certainly done in the private sector. It is done in presidential elections, for example, to mix data and come up with very, very informative facts from the advanced use of technology. And the long-term storage of that data at the same time is, I think, whether it is what she is concerned about or what many of us are concerned about. Nonetheless, I know it is a concern of many of my constituents that when you put those two things together, there has to be a much greater degree of trust in what government is going to do with that data over an extended period of time. Mr. Bradbury. Certainly that is true, and I think it is important for Congress and an appropriate role for Congress to study if statutory changes are appropriate with regard to developments and the use of data and the creation of data and data records. But the same concern, which I think is a hypothetical concern about the potential for abuse, would apply to broad data collections that are all done by all manner of Federal regulatory agencies under subpoena authorities, administrative subpoena powers, that are based on the exact same language of this statute, but that do not involve---- Mr. Goodlatte. But let me point out one difference, and it really goes to my next question. And that is, do you believe it is possible that because the FISC operates in secrecy and all those other agencies you cite, and you are correct about that, they do not operate in secrecy. Is it possible for the evolution of the law in that court to become so ossified or to go off track because it does not get challenged in the same way that regular Federal courts, or Federal regulatory process for that matter, are challenged? And if so, what would be the damage in having a panel of experts, maybe like yourself, available to argue a counterpoint to make sure that the FISC has all points of view? Mr. Bradbury. Well, I do think that there is nothing wrong or objectionable, as I have indicated, with a panel of experts that could be called upon as amicus to provide views on a difficult question, provided the constitutional issues I identify could be addressed. But the other agencies I mentioned do not have to go through a court, so there are no court decisions unless the subject of an administrative subpoena challenges it in court, which is rare because this standard is so generous to those agencies. So the Securities Exchange Commission, Federal Trade Commission, Consumer Financial Protection Bureau, they get vast amounts of data about transactions affecting private interests of Americans in vast quantities. Now, I am not saying it is the same quantity as here, true. But here, the interests are very different. They are the protection of the Nation from foreign attack. That is the paramount mission of the National Security Agency. The reason for the secrecy in the FISA process is because it involves the most sensitive national security secrets and threats to the country. It simply cannot be exposed. Mr. Goodlatte. I understand that, but there is an element of trust here that will ultimately cause this to fail unless the American people believe that what the protections are available to them are actually being asserted and exercised in the judicial process. And they do not get to see that like they do in other proceedings. And your point is well taken about those other agencies. Maybe we should be looking at what they do with their data as well. But finally, let me ask you, do you believe that the government acquisition of third party data should be permitted indefinitely, or should there be some limit on how much of this data should be permitted? Mr. Bradbury. Well, in terms of time limit, the government does impose a time limit if the court order includes a time limit that requires all this data to be deleted, purged, after 5 years. The reason they chose 5 years, it is a standard time in the NSA programs because it is an important period to look back and do historical analysis. We know there was a cell operating in a particular operation 3 years ago. We see a new number now. It is important to know if it---- Mr. Goodlatte. There is always an example of, you know, if you saved it further. I think it declines, however, exponentially, for example, the example of the Boston bombing. The data that was used to determine whether he had phone contacts with people that might be engaged in a conspiracy that we are going to launch another attack, which his certainly a concern that law enforcement and the general public would have, would not need to have storage for 5 years. But let me just also suggest that it is not just about the length of time. The gentlewoman from California asked the question of the first panel related to what is the limit on what kind of data can be gathered. It is not just telephone data. It is not just financial services data. It could be almost anything. And, therefore, when you put together that wide array of data over an extended period of time, there becomes a great deal of mistrust about how this system could be abused. Mr. Bradbury. Yes, and I think once the disclosures were made and this became the subject of public debate--I think it is a healthy debate--I think it was incumbent on the President to come out early and often to explain to the American people the nature of the program, the limitations, the lack of abuse, and to defend the program. I was happy to see that he did that in his speech on the 17th. I think that came a little late in the day, and unfortunately it was combined with a decision to change the program in material respects. So I think it is first the role of the President to defend these programs. And second, I think the Chairs and Ranking Members of the intelligence committees that oversee the programs have an important role in terms of explaining and defending the programs. Mr. Goodlatte. Thank you. I am going to ask one more question, and that is directed to you, Mr. Garfield. Can you list for us the problems that your member companies anticipate they will face if they are required to store all the data the NSA is currently storing? Mr. Garfield. It would probably be a long list, but we have talked about many of them. Some of them include having to keep data that goes beyond the business purpose of that data, the time period for keeping it that extends beyond the time period, security concerns, cost concerns, as well as the broader concern around trust, which is a critical component of how we operate in the tech sector. Mr. Goodlatte. Thank you. The Chair recognizes the gentleman from Michigan, Mr. Conyers, for 5 minutes. Mr. Conyers. Thank you, Mr. Chair. In her concurrence in U.S. v. Jones, Justice Sotomayor wrote this: ``It may be necessary to reconsider the premise that an individual has no reasonable expectation of privacy in information voluntarily disclosed to third parties.'' Well, here is where that leads us: your phone number, the website address, the email address, the correspondence with the internet service providers, the books, groceries, and medications that we purchase online retailers, and so forth and so on. How should we, Professor David Cole, how we should we rethink the right to privacy in what Justice Sotomayor called the digital age? Mr. David Cole. Thank you, Representative Conyers. I think that Justice Sotomayor is onto something. I think Justice Alito said much the same thing. He did not speak specifically to the third party disclosure rule, but he did speak specifically to the risks to our privacy that are posed by the fact that the government has technology today that allows it to learn information about all of us without going through the steps that were required at the time that the Constitution was adopted. And historically, the Fourth Amendment has been adapted to deal with those kinds of technological advances, whether it is the phone, or the use of the beeper, or the use of a GPS, or the use of a thermal imaging device. So I think the Supreme Court can and should recognize that in the modern era, there is a difference between my voluntarily sharing information with, say, Mr. Bradbury and, therefore, voluntarily assuming the risk that he will turn around and provide that information to the government. That is a voluntary risk that assume. There is a difference between that and the fact that to live in the modern age today you necessarily have to share information with businesses. Every place you walk, you are sharing with the cell phone company where you are. Every time you make a search on the internet, you are sharing with Google what you are thinking about. Every time you send an email, you are sharing with Google or your internet service provider who your friends are, who you are addressing. And the notion that we somehow as Americans have voluntarily surrendered our privacy and all that incredibly intimate detail is probably telling about what we think and what we do than anyone who knows us knows about us. I mean, I do not think my wife knows as much about me as my computer knows about me, and yet if you adopt a third party disclosure rule without any change to recognize the advance in technology, you have just forfeited privacy. But that is for the Supreme Court. I think even if the Supreme Court does not change the rules, this Congress can recognize that Americans demand more privacy than that. And as I said in my opening and as I say in my written statement, Congress has frequently done that. And I think this is an appropriate time to do that yet again to protect the privacy that all Americans deserve. Mr. Conyers. What do you think of the USA Freedom Act that I worked with both our U.S. Senator Leahy and with our former Chairman, Jim Sensenbrenner? Do you think that---- Mr. David Cole. I think that is precisely the type of response I think that is needed and that is justified because what it does is it says we are going to end the notion that the government, simply by calling something business records and claiming that at some point in the future they may want to look through those business records, the government can collect everybody's records. Instead, what the USA Freedom Act says is the NSA, the FBI, they can collect records if they demonstrate that those records have a nexus either to a target of an investigation--a suspected terrorist or a foreign agent--or to a person known to or associated with that target. That seems to me a perfectly reasonable and tailored response. Indeed, I think that is how the Administration sold what they were asking Congress to do when Section 215 was amended with the PATRIOT Act. And again, as I said in the opening, I do not think anybody in Congress thought when they said we are going to allow you to get relevant records that are relevant to an authorized investigation. I do not think a single Member of Congress thought what we meant by that is there are no limits on the business records that you can get. You can get records on every American, every phone call without any showing of any connection to terrorism. That is clearly unacceptable in terms of protecting the privacy of Americans. The USA Freedom Act protects that privacy. It ensures that security interests are balanced by giving the government the ability to get those records where it has a basis for suspecting that a person has that nexus. Mr. Conyers. Thank you so much. I have got a question for Mr. Dean Garfield, but I am going to give it to him and ask him to submit it in writing so it will go in the record. Thank you, Mr. Chairman. Mr. Goodlatte. Thank the gentleman, and the Chair recognizes the gentleman from Alabama, Mr. Bachus, for 5 minutes. Mr. Bachus. Thank you. First, Professor Cole, I am a part of a bipartisan group that is looking at sentencing reform, which is a different area. We are not dealing with that today, but I know you have been very active in advocating for changes in our criminal justice system, and I applaud you for that. Mr. David Cole. Thank you. Mr. Bachus. And I will ask the first question to you. It is not just the technology that has changed over the last 30 or 40 years. It is really the amount of information out there. We share so much information on Facebook, Tweeter, or Twitter, InstaGram. You know, that information is there in the public realm. I think Smith v. Maryland, those cases that were decided in the 70's and 80's on privacy and our expectations on privacy. How does the fact that there is so much more information out there, and we are sharing so much more information, how does that affect our expectation of right to privacy or how should it? Mr. David Cole. Well, I think that is the key question, and I think the answer may lie in the decision of Justice Alito in the Jones case where he says that there is a difference between following a car from point A to point B in public. You do not have an expectation of privacy with respect to your going from point A to point B in a car in public. There is a difference between that and using a GPS to follow that car from point A to point B to point C to point D to point E to point F all the way to point Z, 24/7 for 28 days. You are still in public, but the notion that the government could have followed you 24/7 for 28 days without the technology, it just could not have. It would have cost remarkable resources they would not have. And Justice Alito says, therefore, people had a reasonable expectation of privacy with respect to that information because it was just onerous for the government to collect it. The same thing is true with all this information. You know, we generate all this information, but what has changed is that now every time we make a decision and take an action, it generates a digital record. And now we have computers that have the ability to collect and amass all of that data and to examine it for connections and ties, which tells whoever is looking, whether it be the NSA, or the FBI, or the IRS, whoever is looking, tells them a whole lot more about an individual than they ever possibly could have known before the advent of this technology and before the blossoming of these digital traces. And, you know, it seems to me that both the Constitution, the Fourth Amendment doctrine, and the statutory law of this Congress needs to be adapted to recognize that fact. Otherwise, as Justice Scalia said in the Kyllo case involving thermal imaging devices, we will simply forfeit our privacy to advances in technology. We have a choice, and the choice is whether we want to preserve our privacy or not. It does not go automatically. It goes if we let it go. And Congress has the power to stop it. Mr. Bachus. Okay. Mr. Bradbury, would you like to comment? Mr. Bradbury. Well, I think there is a big difference between what has been referred to as the third party doctrine, records being held by a third party, and the notion that metadata, which is transactional data, simply data about communications, not the content of the communications, is not a search because there is not a reasonable expectation of privacy. That is data created by a company to conduct its business. And the people involved in the communications as subscribers know the company is creating that record, that data. It is not your personal record. It is not something that includes the content4 of the communication. There may be a communication that is stored in a cloud some place and somebody might try to argue that is held by a third party and it is not subject to protections. But this Congress has given it protections under the Electronic Communications Privacy Act and the Stored Communications Act. And I think there is an argument that the Court would recognize it as protected because it still includes the substance and private communications. So I think there is a big difference between that pure transactional metadata and every other kind of third party stored data. The last thing I would comment on, Congressman, is with respect to the Jones case and what has been called the mosaic theory is that at a certain point when you put enough information about an individual together in an investigation, voila, that becomes a search suddenly, I think that Court has not gone there yet. There is a lot of scholarship about it and discussion. But if the Court goes there, that could really seriously interfere with criminal investigations of all kinds. I mean, think about organized crime investigations where the prosecutors who are investigating or the FBI puts up on the wall an organization chart with the pictures of the members of the organization and collects all kinds of public data about the goings-on of those particular members of the organization. Does that constitute a search that would require a warrant to put that kind of profile together from all manner of public available information? No, it cannot. If it does, then criminal investigations would come to a halt. Mr. Bachus. Thank you. Mr. Goodlatte. The Chair recognizes the gentleman from New York, Mr. Nadler, for 5 minutes. Mr. Nadler. I thank the Chairman. Let me first observe that because of the evolving technology, people may, in fact, if they think about it, realize that the metadata on their phones is in the possession of somebody, but still have an expectation of privacy when they are using the phone because you do not think about it in everyday terms. And if you did and you said, gee, I do not want this in the public domain because it might go into the public domain because the phone company is keeping it for billing records and maybe because of something else, you would have no privacy at all. So I think our law has to change. Maybe for 40 or 50 years the expectation of privacy theory was valid, you know, and was sufficient, but no longer as privacy becomes more invaded. But let me ask you the following, Professor Cole. You wrote in your testimony, ``The bill would''--the bill, that is to say, the USA Freedom Act--``would restore an approach to privacy that is governed in this country since its founding, namely the notion that the government should only invade privacy where it has some individualized objective basis for suspicion,'' which, of course, is not the bulk collection of information under Section 215. But you are describing exactly what we always wanted to do to avoid the general warrant. The Fourth Amendment was written specifically to say no general warrants. You have to describe the thing to be searched. We do not want the king's officer to be able to come and say show me everything based on nothing except that you live in Boston. What we have now, is this not the type of general warrant that Section 215, the way it has been interpreted, precisely the general warrant that the Fourth Amendment was enacted to prevent? Mr. David Cole. I think it is. I think that when you have an order that says go out and collect literally every American's every phone call record, how is that different from a general warrant? It is not targeted. It is not predicated on individualized suspicion. It is as expansive as a general warrant, and that is precisely the concern that was raised. Now, Mr. Bradbury says, well, but it is only getting metadata, not content. I think that is a very evanescent---- Mr. Nadler. Because you can learn a lot from metadata. Mr. David Cole. Well, and here is what Stewart Baker, who is general counsel of the NSA, said about that. He said, ``Metadata absolutely tells you everything about somebody's life. If you have enough metadata, you do not really need content. It is sort of embarrassing how predictable we are as human beings.'' Mr. Nadler. Okay. I thought the moment I heard about it, I thought it was precisely the general warrant. And we certainly had no intention of authorizing Section 215. And the FISA Court, if it were not the kind of kangaroo court it is because it only gets one side, and it is done in secret, probably would not have decided it that way. But let me ask you a second question. The review board established by the President recommended, among other things, that we harmonize the standards for national security letters for Section 215 collection. This makes sense to me, particularly as many of the standards for NSL's minimization of initial approval process are less rigorous. What is your opinion? Should we harmonize the standards by requiring that NSL meet the same and presumably amended standards since it will fix the problem that now exists with the Administration and FISA Court's interpretation of what is relevant? In other words, should we make the NSLs match 215, and, for that matter, if we do, why bother having NSLs at all anymore? Mr. David Cole. Right. Well, yes, I think they should be harmonized. The USA Freedom Act would harmonize them and would employ the same standard to define the nexus required to get business records generally and the nexus required to get NSLs. Right now, NSLs in Section 215 have the same standards. It's just that it is this relevance standard which the government has read to be meaningless. So the USA Freedom Act would keep parity between---- Mr. Nadler. It would harmonize them? Mr. David Cole. Huh? Mr. Nadler. It would harmonize them. Mr. David Cole. Right. Mr. Nadler. Good. Mr. David Cole. It is harmonized, yes. But I think it needs to be harmonized and elevated to---- Mr. Nadler. Harmonized up, not down. Mr. David Cole. Yes. Mr. Nadler. Mr. Garfield, in the few seconds I have, last week the government agreed to allow to Facebook, Microsoft, Google, Yahoo, Apple, and other tech companies to make information available to the public about the government's request for email and other internet data. Are these new disclosure rules sufficient? Should Congress take additional steps? And assuming that the NSA continues to collect telephone metadata under Section 215, will the government reach a similar deal with telephone companies for disclosures about call record requests? Mr. Garfield. I will answer the first two questions, which I am in a good position to answer. Mr. Nadler. That is why I asked you. Mr. Garfield. The agreement last week I think is a positive step in allowing greater transparency, which is something we strongly believe in. The answer to your second question as to whether legislation would be helpful is yes. It goes part way, but not far enough. For example, it is important that the private sector have transparency reports and disclosures, but it is also important that the public sector do as well. And so, in that respect, among others, I think having legislation would be very helpful. Mr. Nadler. Thank you. My time has expired. Thank you. Mr. Goodlatte. The Chair recognizes the gentlewoman from California, Ms. Lofgren, for 5 minutes. Ms. Lofgren. Thank you, Mr. Chairman, and thanks for this hearing. You know, Mr. Conyers read the exact quote from Justice Sotomayor's opinion that I had been looking at. And I have been thinking a lot about we have the role of writing the statutes, but behind that is, you know, what the Constitution requires. And I think that it is not just the Court that needs to examine that. I think the Congress has an obligation to do that as well. And as I have been thinking about this, I have been thinking about two longstanding doctrines, one, the third party data, there is no expectation of privacy, as well the plain sight doctrine. And just as you have said, I mean, 30 years ago, if I walked out my front door, I knew that my neighbors could see me. I did not expect that my picture would be taken every place I walked and compiled, and using facial recognition technology someone could say where I was every moment of every day. Yes, if I went in and checked into a hotel, I knew that that was not private information, but I did not expect that every email I send, every website, that if I went on my Constitution document that somebody could track how often I read the Fourth Amendment. That was not part of the third party doctrine. So I think Congress needs to not delegate this to the Court, but to head on take on these issues because I think if you look at where the Court is going, you know, I do not know how long it is going to take them to get there. You know, we cannot discuss what we are told in closed sessions, but I will just read the news reports that we had a few days ago, reports that that the NSA is spying using leaky mobile apps; a few days before that the NSA collected over 200 million text messages; that in late December that cookies were being used to track people; that there were 5 billion records of mobile phone location data collected daily; that there was collection of pornographic website visits used to blackmail potential so- called terrorists; that money transfers were being tracked. And it goes on and on. So I guess, you know, one of the questions I have, Professor Cole, is if the Congress should step forward to interpret the Fourth Amendment in light of big data, how would we do that, statute by statute? And I am a co-sponsor of Mr. Sensenbrenner's bill, but that really relates to just a portion of this question. Do you have thoughts on that? Mr. David Cole. Well, I think it is a great question. I think it is the defining question of privacy for the next generation, which is how do we preserve privacy in the face of these advances in technology, which make it possible for the government to learn everything about us. And I think, you know, it is absolutely critical that Congress play a role, that Congress has historically played a role, not waited for the Supreme Court to act, in some instances acting before the Supreme Court does so, FISA for example. In other areas when the Supreme Court has said there is no expectation of privacy, Congress has come on the heels of that and said, wait a minute, the American people disagree with you. We want our privacy. And so, I think that is what you did with respect to bank records, video rental records, PIN registers, and the like. So there is a real history of Congress stepping up here and doing so. And I am not sure you can do it in a global way, but the USA Freedom Act, as I suggested earlier, is a useful start because it puts in place the principle of individualized suspicion, rejecting this general warrant notion. Ms. Lofgren. I am going to follow up with you and I am going to ask one additional question of Mr. Garfield. On the technology issues, one of the very distressing reports was that the government, rather than alert people to zero day events, simply exploited them. I am worried about the balkanization of the internet. We see what Brazil is doing, certain authoritarian regimes insisting that servers be placed in their country. I am worried about governance and whether ICON will be able to continue to be the governing body, or whether efforts to dismantle that will be enhanced by these revelations. I am wondering if we should make obligations to the government to proactively take steps to preserve the global internet both through mandates not to weaken encryption, mandates as to assisting in zero day events, and if you have thoughts on that. Mr. Garfield. Yes, I absolutely do. We worry as well about the potential balkanization and what the NSA disclosures mean for internet governance. I think it is very important for Congress to act in this area. I think the President missed an opportunity by not speaking to the encryption standards issue and the need to bolster the integrity of encryption standards. And so, to the extent that Congress has the ability to do that, we would encourage it. Ms. Lofgren. My time has expired. Thank you, Mr. Chairman. Mr. Goodlatte. The Chair thanks the gentlewoman, and recognizes the gentleman from Virginia, Mr. Scott, for 5 minutes. Mr. Scott. Thank you, Mr. Chairman. Mr. Garfield, can you just say another word about the effect of global competitiveness on this issue and how American companies are actually pretty much at a disadvantage if we do not get this straight? Mr. Garfield. No, absolutely. So trust, integrity, security are key components of technology and doing well in technology and developing your business in that area. The United States has played a significant leadership role around the world. And to the point in my testimony, rather than continuing to be a badge of honor, today because of the NSA disclosures, countries and customers around the world are questioning the integrity and independence of U.S. technology companies, which puts us at a competitive disadvantage overseas, but also here where the American people also have those same trust concerns. Mr. Scott. And do you have a choice in vendors in a lot of products, whether it is an American company or a foreign company? Mr. Garfield. I am sorry? Mr. Scott. Is there a choice in vendors in products? Mr. Garfield. Almost always, I mean, but the tech sector is highly competitive. We represent both domestic and international companies. The impact, interestingly enough, is global because to the extent that innovations that are being led by the United States do not occur, the whole world is disadvantaged because we all benefit from those innovations. And so, it creates a global problem, but one that is particularly acute for U.S. companies. Mr. Scott. Does your council have a position on where information should be stored if the decision is made to collect and store this data where it ought to be stored at NSA or some, say, department store or something like that? Mr. Garfield. Yes. Our view is that the same considerations that we offer in evaluating 215 are apt in considering where that data is stored. For example, if the goal is to rebuild trust, it is not clear how having that data stored in a third party addresses the trust concern. If it is around data integrity and security, it is not clear how having it stored in a third party addresses that data integrity or security question. And so, in the examination, we think it is important to come up with certain principles and have those principles guide the examination both of 215 as well as where the data is stored. Mr. Scott. So are you suggesting it could be stored at the NSA as long as they separate it down the hall, across the street, but have NSA control it rather than the private sector? Mr. Garfield. I am not suggesting that at all. Mr. Scott. Well, where would it be? Mr. Garfield. The beginning comment that I made, which is that there is a lot that I am not privy to for a whole host of reasoning, including security clearance. And so, I do not feel I am in a position to give advice to the U.S. government on national security. What I feel that I have the confidence to do is to make sure that certain important factors, in addition to national security, are considered. Economic security, privacy, civil liberties, as well as our standing in the world, are some of the factors that we think should be considered. Mr. Scott. Thank you. Mr. Cole, the Administration has offered a lot of administrative changes. What would be the shortcomings if those changes are not codified? Mr. David Cole. If those changes are not codified? Mr. Scott. Right. Mr. David Cole. Well, I think those changes are important ones, in particular the notion that the NSA cannot search through the bulk collection without first getting approval from a court. That seems to me an important modification. The notion that there would be an independent advocate in the FISC seems to be important. And one implication of not doing that, I think as we see, we see repeated instances of what we have now learned about, right? So Mr. Bradbury said 15 judges of the FISA Court approved of the use of Section 215 to get all of our phone data. What he did not say is that when that program was first approved by the first judge in May 2006, he did not even write an opinion. He did not address the constitutional questions. He did not say why he thought the limitation on relevance was somehow met by giving the NSA access to everybody's information. No opinion. Every 90 days thereafter, a different Federal judge, and this is how he gets to 15, signed an order that extended the program. No analysis of the constitutional question, no analysis of the statutory question. It was not until Edward Snowden disclosed it to the public that the FISC finally wrote an opinion 7 years after the program had been up and running explaining retroactively why they thought what they had been doing for 7 years was okay. And it is, as the privacy board has shown in its analysis, a very, very doubtful construction of the statute, one that, as Representative Sensenbrenner has, was not in anybody's mind who adopted the statute. So I think the Administration's proposals are important, but I think they do not go far enough. And particularly the key way in which they do not far enough is that they do not end bulk collection. They do not end dragnet collection. They just put it somewhere else. I think with the USA Freedom Act would do is end it, and that is a much better response. Mr. Scott. You were not here when Mr. Cole answered the question about retroactive immunity. I asked the question that you keep hearing that the collection of the data was helpful. It was an illegal collection, finding that it was helpful does not give you immunity for the collection. Do you have a comment on what relevance it is that people keep saying we need because it is helpful as a justification for getting the data? Mr. David Cole. Yes, absolutely. I mean, it would be helpful if the police could, without a warrant, search every one of our homes on a daily basis without any basis for suspicion. That would be helpful because they might find some bad guys who are hiding behind the privacy that we all expect from our home. But that does not make it right. But number two, I think when they say it is helpful, you have got to look behind that, as the privacy board did, met with them in classified sessions, looked at classified materials, looked at the ``success stories,'' and found, and here I am quoting from them on page 146, ``We have not identified a single instance involving a threat to the United States in which the telephone records program made a concrete difference in the outcome of a counterterrorism investigation. Moreover, we are aware of no instance in which the program directly contributed to the discovery of a previously unknown terrorist plot or the disruption of a terrorist attack.'' Mr. Scott. Well, to justify the program because it was helpful, it just adds insult to injury. It was not even helpful. But even if it had been helpful, it would not retroactively make the collection legal, would it? Mr. David Cole. That is right. Mr. Bachus [presiding]. Mr. Scott, your time has expired. Mr. Scott. Thank you, Mr. Chairman. Mr. Bachus. Thank you. Mr. Chaffetz. Mr. Chaffetz. Thank you. I appreciate the hearing. I know it has been a long one, and I appreciate your patience here. Mr. Garfield, one of the terms that has been thrown out there is this so-called balkanization of the internet or internet balkanization. I would like you to expand on that. You have talked about bits and parts of it. You know, there have been some concerns about what is going on in Brazil, the European Union. They have announced some policies that would disadvantage the United States based companies. Can you kind of expand your thoughts on that? Mr. Garfield. Yes. I know this is not just theoretical, it is actually real, so you point to Brazil where the government of Brazil is moving forward with policies that would essentially create a wall garden around data that is developed in Brazil. They have already said that the email systems being used by the government can only be stored or developed by Brazilian companies. So as a result, U.S. companies that have previously held a leadership position in the technology innovation in that space are being dispossessed. It is an economic issue, but it also a broader internet governance issue. If it turns out that the open internet that we have all gotten used to becomes a balkanized series of walled gardens, then a lot of the innovation, a lot of the societal benefits that we have experienced will be limited. Mr. Chaffetz. Thank you. In your written testimony you state the need to rebuild trust regarding the National Institute of Standards and Technologies, or NIST, and their commitment to cryptographic standards developed and vetted by experts globally. Could you explain the importance of this in your opinion? Mr. Garfield. Yes. The reason why technologies work across geographic boundaries is you get off the plane and your phone will work in Europe as well as the United States, is because of standards that are driven through consensus and multi stakeholder voluntary processes. Some of the disclosures have suggested that the United States has exploited vulnerabilities in cryptography, which erodes trust. And so, in order to ensure that our technology will work across borders, it is critical to rebuild that trust. The President missed an opportunity in his speech to speak to this issue. We hope that he will, but Congress has the opportunity to correct that error. Mr. Chaffetz. Thank you. I think you have touched on two of the concerns that globally the communication that we enjoy. These things are so important. So I appreciate all of your expertise being here today. I appreciate this Committee talking about such an important issue. Mr. Chairman, I think you wanted me to yield you some time if that is correct? I will yield back or yield to you, whatever you choose. Mr. Bachus. Yes, yield to me, if you will. Mr. Chaffetz. Yes. Mr. Bachus. And let me say this. I am going to pursue that same line. I had intended to. And, Mr. Garfield, are there other countries that are demanding information from your member companies about their citizens or foreign citizens? Mr. Garfield. It happens in a number of countries. And so, as we think about internet governance and jurisdiction issues, we are always careful about the salutary impact. And so, the rules that we live by in one market set a precedent for how we operate globally, and that is in part why in our recommendations we strongly encourage more multilateral dialogue around these surveillance and security issues so we can get greater harmonization around the rules that are created. Mr. Bachus. Right. And are other countries tapping into your member company systems for spying purposes? Mr. Garfield. The question presumes that that is happening anywhere, including here in the United States. Mr. Bachus. Well, say, in other countries. Mr. Garfield. No. So our companies are always working hard to make sure that cryptography and security measures are robust. Mr. Bachus. But what I am talking about is, you know, they have databases, and they maintain those in other countries. Can they come and use that platform to access information for spying purposes? Mr. Garfield. We work hard to make sure that is not, in fact, the case. I mean, the previous panel made the point that we live in a world in which cyber warfare and efforts on undermining cyber security are quite aggressive, including by companies as well as nations. We are always working because it is a first priority of ours to maintain the data integrity to fight against that. Mr. Bachus. Well, let me say this. If you are required to store some of this data, say, even the U.S. government, then it could be subject to requests in civil proceedings, divorce proceedings, once you maintain it. So you may want to consider to start maintaining that data. Mr. Garfield. Exactly, and there are two issues. One is data stored by private companies at the request of the U.S. government, and then data stored at a third party. We are unequivocally opposed to data being stored by the private sector, us, beyond the need for business purposes for the very reason you highlight, which is the data integrity issue. It creates additional vulnerabilities. We are always fighting against that, but we do not want to create more targets. Mr. Bachus. Thank you. The gentlelady from Texas is recognized for 5 minutes. Ms. Jackson Lee. Let me thank you again, and let me take note that this is a long hearing, and we thank you very much for your participation here. I was, Professor Cole, reading the old 215, and I guess I continue to be baffled, having been here when we crafted the PATRIOT Act in the waning hours, months, and days after 9/11. And everyone was in a perplexed state, and the idea was, of course, to protect our citizens. But I notice 215 in Section 501 particularly pointed out, they listed books, records, papers, documents, and other items. There goes the mega data. But they also said protect against international terrorism or clandestine intelligence activities. Further down, it goes onto again emphasize that we should specify that there is an effort to protect against international terrorism, clandestine intelligence. And I only raise that because it looks to me that we have firewalls, but what resulted is this massive acknowledgement of the gathering of telephone records of every single American. And I want to find a way to politely push back on Justice Sotomayor's reflection, and I think it is a reflection, and I think it is one in the reality of today, which is maybe we can have privacy, and have you muse, if you will, on the new legislation that we have introduced where we enunciate a whole list of reasons. And I do not know if you have been able to look at that number 1 section that we have here that goes on to as relevant material, obtain foreign intelligence not concerning a United States person, protect against international terrorism. It sort of lays it out. And I ask you, can we comfortably find a way to answer Justice Sotomayor and say, yes, we can? I might use that. And is there something else we should add in the legislation that I have co-sponsored enthusiastically, and we will be looking forward to it moving forward. Can we add something else because as I look at 215, Section 501, it looks as if we had all that we need to have to say, you know what? I do not think they wanted you to get the mega data. Are we where we need to be in this new legislation? Mr. David Cole. Thank you for that question. You know, I agree that Section 215, if you read it with its ordinary meaning, sought to put constraints on the types of records and the amounts of records that the government could obtain because it did not say you are hereby authorized to obtain all business records on all Americans. It said you are authorized to obtain business records that are relevant to an authorized investigation. And as the privacy board's report shows in exhaustive detail, very powerful analysis, no court in any other setting has ever read a relevance limitation as expansively as saying you can pick up every American's every record. No court, not in a grand jury context, not in a civil discovery context. So Congress did seek to put in limited language. Ms. Jackson Lee. We did. Mr. David Cole. But the Administration essentially took it out. So I think what Congress needs to do is to push precisely as Justice Sotomayor suggests, and I think that the key is to identify when it is obviously justified to sweep up the kinds of records that disclose so much about our intimate and personal lives. And I think the USA Freedom Act does a good job because it says you can do so when those records pertain to a foreign agent or a suspected terrorist, when they pertain to an individual in contact with or known to a suspected agent of a foreign power or a terrorist who is a subject of an investigation. So that says you can get records on the target. You can get records on people connected to the target. But, no, you cannot get records on every single American because Americans want security, but they also want privacy, and they want to use their phones. And we should not have to give up any one of those three. I think the USA Freedom Act ensures that we have all three. Ms. Jackson Lee. And diligence is part of that. Mr. Gardner, let me ask you this. I know you may have been asked and answered over and over again. What will be the burden of the private sector hold onto this vast amount of data if it was to be crafted in that way? What would be the cost? What would be the problems? Mr. Garfield. It is hard to put a precise number on it. I think it suffices to say the burden would significant, not only in cost, but the impression that it creates. One of the challenges we face as a result of the NSA disclosures is there is a question around the integrity as well as the independence of U.S.-based companies. If we are to store that data, that would call into question whether we are, in fact, independent. And so, there are financial costs as well as broader costs as well. Mr. Bachus. Thank you. Ms. Jackson Lee. Mr. Chairman, if you would just indulge me for 30 seconds, a group question. Mr. Bachus. A brute question? But a very short response. Mr. Garfield. Okay. Ms. Jackson Lee. Thank you very much. I will not follow up. I just want to get Mr. Bradbury and Mr. Cole in again, and I will group my question together. Mr. Gardner makes a valid point on the perception issue. Why is it not better that we have a monitored holding of the data of whatever it may be, and the fact that we have now laid out a framework by the Federal Government instead of the private sector. And then just an aside with respect to how we do our intelligence. Do you think it is time that we haul in all of the outside contracting and do a better job of vetting and doing this in house dealing with our intelligence access? If I can get a quick answer. I think I put two questions in at once. Mr. Bradbury? Mr. Bradbury. Thank you, Congresswoman. I do think there are risks with outside contractors, and I think putting the data in private hands would raise those risks. I think it would increase privacy concerns and make the program less effective. So I think it is monitored now while it is being held by the NSA, closely overseen. I do not think it is an excess or abuse of the relevant standard. I think if this Committee changes the relevance standard, it should not single out the NSA and the intelligence community. It should consider applying the same narrowing standard to all Federal regulatory agencies, which collect vast amounts of records and data for their own investigatory purposes. They do not just limit themselves to those narrow individual records that are directly pertaining to their investigation. They get databases so that they can search it for relevant queries. And so, if the same standards applied across the board, I think it would really inhibit the functioning of government. I do not think the NSA should be singled out when its mission is the most important. Ms. Jackson Lee. Thank you. Mr. Cole, can you---- Mr. David Cole. I think if you adopt the USA Freedom Act, which I think you should, then the problem of where to store the bulk collection is solved because there is no bulk collection, right? If you say the NSA can only collect data where it is actually connected to a terror suspect or someone who is connected to a terror suspect, there is no bulk collection, and there is not the problem of storage. The problem of storage arises only if you continue to permit bulk collection. I do not think that should continue to be permitted. Ms. Jackson Lee. I thank you, Mr. Chairman. I think we have got strong support for the H.R. 3361, and I look forward to moving forward on such legislation. With that, I yield back. Mr. Bachus. This concludes today's hearing. The Chairman thanks all of our witnesses for attending. Without objection, all Members will have 5 legislative days to submit additional written questions for the witnesses or additional materials for the record. This hearing is adjourned. Thank you. [Whereupon, at 3:09 p.m., the Committee was adjourned.] A P P E N D I X ---------- Material Submitted for the Hearing Record Material submitted by the Honorable Bob Goodlatte, a Representative in Congress from the State of Virginia, and Chairman, Committee on the Judiciary [GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT]