Trump taps Clayton for DNI as FISA deadline looms

President Donald Trump nominated former SEC Chairman Jay Clayton to serve as permanent director of national intelligence on Thursday, hours after the House rejected an extension of a key surveillance authority. Clayton, currently the U.S. Attorney for the Southern District of New York, will need Senate confirmation. The announcement came after Trump tapped housing official Bill Pulte as acting DNI, effective June 19, to replace Tulsi Gabbard. The House vote on Section 702 of the Foreign Intelligence Surveillance Act fell apart after Democrats refused to back it over Trump's choice of Pulte. The measure expires Friday. Trump called Clayton "very Highly respected" in a Truth Social post. "Few people anywhere in the Legal Community are respected at the level of Jay," he wrote, urging the Senate to confirm Clayton quickly. The DNI oversees the CIA, NSA, and 16 other intelligence agencies. The stalled FISA renewal and a permanent DNI vacancy create uncertainty for defense contractors and firms with exposure to surveillance policy. Without a confirmed DNI, long-term intelligence priorities remain unclear, and the lapse of Section 702 removes a legal foundation for warrantless collection of foreign communications. That directly affects companies providing infrastructure or services tied to the program. The Senate's schedule for considering Clayton is not yet set. The FISA gap, meanwhile, has no immediate fix.