National Counterintelligence Center (NACIC)

Early post–Cold War effort to improve the use and coordination of U.S. counterintelligence information. The National Counterintelligence Center (NACIC) was [Page 492]created through a 1994 presidential directive by President Bill Clinton. President Clinton signed the directive after a review of U.S. counterintelligence, which was shaken by the revelation that senior U.S. operative Aldrich Ames was a longtime Soviet spy. The directive defined counter-intelligence as “information gathered and activities conducted to protect against espionage, other intelligence activities, sabotage, or assassinations conducted by or on behalf of foreign governments, foreign organizations, foreign persons, or international terrorist activities.”

The Ames investigation made clear that various federal agencies needed to increase their cooperation, accountability, and integration of crucial counterintelligence information. It found a particularly worrisome communications failure between the intelligence community and law enforcement communities. In response to these shortfalls, the NACIC was meant to serve as an interagency forum for reviewing complementary national-level intelligence activities and promoting interagency cohesiveness and information sharing. The directive established the NACIC as an independent federal entity, initially headed by a senior executive of the Federal Bureau of Investigation (FBI), which employed representatives from a wide range of government agencies, including the armed forces, Central Intelligence Agency (CIA), FBI, National Security Agency, Defense Intelligence Agency, Department of State, and Defense Security Service.

Based at the CIA, NACIC reported to the National Security Council (NSC) through the National Counterintelligence Policy Board. The board, also created through the 1994 directive, was the principal mechanism for reviewing and proposing legislative initiatives and executive orders related to U.S. counter-intelligence to NSC staff. The center also worked toward creating a better understanding between the federal counterintelligence community and private industry, as well as raising public awareness of threats such as economic espionage. Along those lines, the NACIC produced many publications, including the classified Counterintelligence Digest, which summarizes current concerns by country and subject matter. The center also distributes an unclassified annual report to Congress on foreign economic information collection and industrial espionage.

In 2001, President George W. Bush signed a presidential decision directive that replaced the NACIC and the National Counterintelligence Policy Board with the National Counterintelligence Executive (NCIX) and the National Counterintelligence Board of Directors. The NCIX, under the provisions of the Counterintelligence Enhancement Act of 2002, serves as the head of national counterintelligence for the U.S. government, subject to the direction and control of the president.