House Republican leaders backed away Thursday from a proposal to move important cybersecurity functions from the Homeland Security Department to the White House budget office.

They substantially revised the proposal, which drew complaints from the technology industry and some key lawmakers after it was added to the broad U.S. intelligence reorganization that could be introduced as early as Friday. The scaled-back proposal would still give the Office of Management and Budget new responsibilities for coordinating U.S. policies to improve the security of vital government computer networks.

By Ted Bridis at SecurityFocus.

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