Conveniently the Library of Congress Thomas.gov website has a page giving 4 different versions of this bill that you can read:
H.R. 1955. So why not read it yourself instead of relying on the biased interpretations of others? Or was that your point in quoting the "many observers fear" stuff instead of quoting the last section of the bill which seems to be the same in all 4 versions:
SEC. 899F. PROTECTING CIVIL RIGHTS AND CIVIL LIBERTIES WHILE PREVENTING IDEOLOGICALLY-BASED VIOLENCE AND HOMEGROWN TERRORISM.
`(a) In General- The Department of Homeland Security's efforts to prevent ideologically-based violence and homegrown terrorism as described herein shall not violate the constitutional rights, civil rights, and civil liberties of United States citizens and lawful permanent residents.
`(b) Commitment to Racial Neutrality- The Secretary shall ensure that the activities and operations of the entities created by this subtitle are in compliance with the Department of Homeland Security's commitment to racial neutrality issued in an Department-wide Memorandum on June 1, 2004.
`(c) Auditing Mechanism- The Civil Rights and Civil Liberties Officer of the Department of Homeland Security will develop and implement an auditing mechanism to ensure that compliance with this subtitle does not result in a disproportionate impact, without a rational basis, on any particular race, ethnicity, or religion and include within its annual report to Congress required under section 705.'.
Edit: that link doesn't work apparently as it is generated via a query. Just go to
thomas.gov and search by bill number.