When President George W. Bush created the Department of Homeland Security, he also approved a new Unified Command Plan and established Northern Command. The question was whether these new organizations are needed, or can increased funding for existing programs accomplish the same goal? Critics argued that Department of Homeland Security will only serve to confuse emergency efforts by creating yet another layer of bureaucracy in an already functioning system. Critics of Northern Command from the American Civil Liberties Union say its creation will allow US Forces to gather intelligence on citizens within the United States. The homeland security reorganization has three elements. First is the creation of the Department of Homeland Defense. Second is the realignment of 22 federal agencies underneath this vast office. Third is the change in the Unified Command Plan and the creation of Northern Command. To understand if this reorganization was necessary, a thorough threat analysis was conducted. The focus of the threat estimate was on past events, current capabilities, and predicted future capabilities. This served as a model of increasing terrorist activity within the United States. Next, to determine whether FEMA responded effectively to the threat, the study examined FEMA's incident management functions, particularly in consequence management. FEMA's capabilities were compared to the Homeland Security Task Force's requirements for homeland security in a post 11 September 01 environment. Lastly, the study reviewed existing legislation to determine whether the grants of authority to military forces operating in the United States are consistent with a contemporary understanding of civil liberties. Consequently, it was found that the creation of the Department of Homeland Security and Northern Command were required to bring order to a complex system and provide the military with a command and control element, respectively. Additionally, the standing legislation that defines military operations in the continental United States should remain unchanged, while legislation authorizing government agencies to monitor civilian activities must maintain a balance between domestic security and personal privacy. This study recommends improvements in the Homeland Security Structure focusing on intelligence.