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With the collapse of the Nixon Administration following the Watergate scandal, the Senate Select Committee to Study Governmental Operations with Respect to Intelligence Activities (otherwise known as the Church Committee) discovered that the federal government had been engaged in widespread domestic surveillance for several decades. In response, several members of Congress set about to devise a plan to
limit the surveillance power of federal law enforcement and intelligence agencies. In the wake of the subsequent public outrage and
out of fear warrantless surveillance would be outlawed altogether, President Ford supported the FISA bill to limit the “inherent authority” of the President to conduct warrantless surveillance in the interest of national security. Prior to that time, most presidents claimed to have implicit constitutional authority to approve warrantless surveillance for national security purposes under the executive branch’s Constitutional power to conduct foreign policy. But that power had been used by government agencies to justify domestic spying against law-abiding anti-war demonstrators and many of the leaders of the civil rights movement of the late 1960s despite First and Fourth Amendment protections prohibiting such activity.
The FISA bill was a product of closed-door negotiations lasting several months between legislators and the Justice Department. Senator Edward Kennedy (D-MA), who had attempted to regulate the power of warrantless surveillance in four different sessions, sponsored the FISA legislation. The FISC concept was a compromise between legislators who wanted the FBI and National Security Agency (NSA), the only two agencies affected by the FISA statute, to follow the standard procedure for obtaining a court order required in criminal investigations and legislators. The federal agencies believed that they should be completely unfettered in conducting their foreign intelligence surveillance work inside US borders. Hence, the FISC was born.<2>
FISA was approved by Congress and signed into law by President Jimmy Carter on October 25, 1978. Executive Order 12139,<3> signed by President Carter several months later, officially chartered the FISC.
The legislation established an authorization procedure for the FISC to issue surveillance orders without probable cause. It also set up a “minimization” procedure for communications by US citizens inadvertently intercepted by the agencies. With the passage of FISA, the NSA was bound for the first time to a process of judicial review before initiating domestic surveillance operations.http://fly.hiwaay.net/~pspoole/fiscshort.html