Intelligence Oversight Act of 1988

(Reported to House from the Committee on Foreign Affairs with amendment, H. Rept. 100-705 (Part II))

Intelligence Oversight Act of 1988 - Amends the Foreign Assistance Act of 1961 to repeal provisions prohibiting the use of funds by or on behalf of the Central Intelligence Agency (CIA) for covert action (special activities) in the absence of a presidential finding that such action is important for national security.

Amends the National Security Act of 1947 to require the President to ensure that the Senate Select Committee on Intelligence and the House Permanent Select Committee on Intelligence (intelligence committees) are kept fully and currently informed of the intelligence activities of the United States, including any significant anticipated intelligence activities. (Current law imposes such duties on the Director of Central Intelligence (DCI) and agency heads but not on the President.) Specifies that such requirement shall not be construed as requiring the approval of the intelligence committees to initiate such activities.

Requires the President to ensure that any illegal intelligence activity is reported to the intelligence committees, as well as any corrective action taken or planned in connection with such illegal activity. (Current law imposes this duty only on the DCI and agency heads, subject to certain conditions.)

Provides statutory authority for the President to authorize covert actions only when he determines such activities are necessary to support U.S. foreign policy objectives and are important to national security. (Current law does not provide express statutory authorization for covert actions.) Requires that such determination be set forth in a finding that meets the following conditions: (1) each finding must be in writing, unless immediate action is required and time does not permit a written finding (in which case a written record of the President's decision would have to be contemporaneously made and reduced to a written finding as soon as possible but not later than 48 hours after the decision is made); (2) each finding must specify each Government entity authorized to fund or otherwise participate significantly in such covert action; and (3) each finding must specify any third party not subject to Government regulations who will be used to fund or otherwise participate in a covert action. Prohibits a finding from authorizing any covert action that has already occurred or any action that would violate any U.S. statute.

Requires the President to ensure that any such finding be reported to the intelligence committees as soon as possible, but no later than 48 hours after it has been signed. Allows the President, on occasions when time is of the essence, to direct that special activities be initiated prior to reporting such activities to the intelligence committees, provided that notice is provided to the intelligence committees as soon as possible but in no event later than 48-hours after the finding authorizing such activities is signed or the determination to conduct such activities is made.

Allows the President, in extraordinary circumstances, to limit the reporting of such findings or determinations to the chairmen and ranking minority members of the intelligence committees, the Speaker and minority leader of the House of Representatives, and the majority and minority leaders of the Senate, but requires that he provide a statement of the reasons for limiting access.

Requires the President to promptly notify the intelligence committees or, if applicable, the Members of Congress specified of any significant change in any previously-approved covert actions.

Defines "covert action" as activities conducted by an element of the U.S. Government to influence political, economic, or military conditions abroad so that the role of the U.S. Government is not intended to be apparent or acknowledged publicly. Excludes from such definition: (1) the collection of intelligence and traditional counterintelligence activities; (2) traditional diplomatic or military activities; (3) traditional law enforcement activities; or (4) routine support for covert activities.

Prohibits the conduct of covert actions intended to influence U.S. political processes, public opinion, policies, or the media.

Prohibits the use of U.S. funds for any covert action unless and until a presidential finding has been signed or otherwise issued in accordance with this Act.

Provides that funds made available to an intelligence agency which are not appropriated funds may be obligated or expended for an intelligence or intelligence-related activity only if they are used for activities reported to the appropriate congressional committees in accordance with specified procedures.

Revises reporting requirements concerning covert transfers of defense articles to provide for such reporting when the anticipated transfer of any aggregation of such articles exceeds $1,000,000 in any fiscal year.