TITLE 10--ENERGY
 
                    CHAPTER III--DEPARTMENT OF ENERGY
 
PART 710--CRITERIA AND PROCEDURES FOR DETERMINING ELIGIBILITY FOR ACCESS TO
CLASSIFIED MATTER OR SPECIAL NUCLEAR MATERIAL--Table of Contents
 
Subpart A--General Criteria and Procedures for Determining Eligibility for 
       Access to Classified Matter or Special Nuclear Material

    Source: 59 FR 35185, July 8, 1994, unless otherwise noted.

                           General Provisions

Sec. 710.1  Purpose.

    (a) This subpart establishes the criteria, procedures, and methods 
for resolving questions concerning the eligibility of individuals who 
are employed by, or applicants for employment with, Department of Energy 
(DOE) contractors, agents, and access permittees, individuals who are 
DOE employees or applicants for DOE employment, and other persons 
designated by the Secretary of Energy, for access to Restricted Data or 
special nuclear material, pursuant to the Atomic Energy Act of 1954, as 
amended, or for access to national security information.
    (b) This subpart is published to implement Executive Order 12356, 47 
FR 14874 (April 2, 1982), Executive Order 10865, 25 FR 1583 (February 
24, 1960), and Executive Order 10450, 18 FR 2489 (April 27, 1954), all 
as amended.

Sec. 710.2  Scope.

    The criteria and procedures outlined in this subpart 
shall be used in those cases in which there are questions of eligibility 
for DOE access authorization involving:
    (a) Employees (including consultants) of, and applicants for 
employment with, contractors and agents of the DOE;
    (b) Access permittees of the DOE and their employees (including 
consultants) and applicants for employment;
    (c) Employees (including consultants) of, and applicants for 
employment with, the DOE; and
    (d) Other persons designated by the Secretary of Energy.

Sec. 710.3  Reference.

    The pertinent sections of the Atomic Energy Act of 1954, as amended, 
relative to this regulation are set forth in Appendix A to this subpart.

Sec. 710.4  Policy.

    (a) It is the policy of DOE to provide for the security of its 
programs in a manner consistent with traditional American concepts of 
justice and fairness. To this end, the Secretary has established 
criteria for determining eligibility for access authorization and 
procedures that will afford those individuals described in Sec. 710.2 
the opportunity for administrative review of questions concerning their 
eligibility for access authorization.
    (b) It is also the policy of DOE that none of the procedures 
established by DOE for determining eligibility for access authorization 
shall be used for an improper purpose, including any attempt to coerce, 
restrain, threaten, intimidate, or retaliate against individuals for 
exercising their rights under

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any statute, regulation or DOE directive. Any DOE officer or employee 
violating, or causing the violation of this policy, shall be subject to 
appropriate disciplinary action.
    (c) In instances where the individual has been convicted of a crime 
punishable by imprisonment of six (6) months or longer, or the 
individual is currently awaiting or serving a form of preprosecution 
probation, or suspended or deferred sentencing, court ordered probation, 
or parole in conjunction with an arrest or criminal charges initiated 
against the individual for a crime that is punishable by imprisonment of 
six (6) months or longer, the DOE may suspend processing an application 
for access authorization until such time as the criminal prosecution, 
suspended sentence, deferred sentencing, probation, or parole has been 
completed.
    (d) DOE may suspend processing an application for access 
authorization if sufficient information about the individual's 
background cannot be obtained to meet the investigative scope and extent 
requirements for the access authorization requested.
    (e) DOE may suspend processing an application for access 
authorization until such time as a question regarding an individual's 
national allegiance is resolved. For example, if an individual is 
exercising rights of citizenship conferred by a country other than the 
United States, DOE will be concerned with whether granting access 
authorization to that individual constitutes an unacceptable national 
security risk.
    (f) DOE may suspend processing an application for access 
authorization whenever an individual fails to fulfill the 
responsibilities described in Sec. 710.6.

Sec. 710.5  Definitions.

    (a) As used in this subpart:
    Access authorization means an administrative determination that an 
individual is eligible for access to classified matter or is eligible 
for access to, or control over, special nuclear material.
    DOE Counsel means a DOE attorney assigned to represent DOE in 
proceedings under this subpart. DOE Counsel shall be a U.S. citizen and 
shall have been subject to a favorably adjudicated background 
investigation.
    Hearing Officer means a DOE attorney or senior management official 
appointed by the Director, Office of Hearings and Appeals, pursuant to 
Sec. 710.25. A Hearing Officer shall be a U.S. citizen and shall have 
been subject to a favorably adjudicated background investigation.
    Local Director of Security means the Operations Office or Naval 
Reactors Office Division Director of Security, or other similar title; 
for Washington, DC area cases, the Director, Headquarters Operations 
Division; for the Oak Ridge Operations Office, the Director of 
Personnel; for the Albuquerque Operations Office, the Director of the 
Personnel Security Division; for the Savannah River Operations Office, 
the Director of Internal Security Division; and any person designated in 
writing to serve in one of the aforementioned positions in an ``acting'' 
capacity.
    National Security Information means any information that has been 
determined, pursuant to Executive Order No. 12356 or any predecessor 
Order, to require protection against unauthorized disclosure and that is 
so designated.
    Operations Office Manager or Manager means the Manager of a DOE 
Operations Office, the Manager of the Rocky Flats Office, the Manager of 
the Pittsburgh Naval Reactors Office, the Manager of the Schenectady 
Naval Reactors Office, and, for Washington, DC area cases, the Director, 
Office of Safeguards and Security.
    Secretary means the Secretary of Energy, as provided by section 201 
of the Department of Energy Organization Act.
    Special nuclear material means plutonium, uranium enriched in the 
isotope 233, or in the isotope 235, and any other material which, 
pursuant to the provisions of Section 51 of the Atomic Energy Act of 
1954, as amended, has been determined to be special nuclear material, 
but does not include source material; or any material artificially 
enriched by any of the foregoing, not including source material.
    (b) Throughout this subpart the use of the male gender shall include 
the female gender and vice versa.

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   Criteria and Procedures for Determining Eligibility for Access to 
              Classified Matter or Special Nuclear Material

Sec. 710.6  Cooperation by the individual.

    (a) It is the responsibility of the individual to cooperate by 
providing full, frank, and truthful answers to DOE's relevant and 
material questions, and when requested, to furnish or authorize others 
to furnish information that the DOE deems pertinent to the individual's 
eligibility for DOE access authorization. This obligation to cooperate 
applies when completing security forms, during the course of a personnel 
security background investigation or reinvestigation, and at any stage 
of DOE's processing of the individual's access authorization, including 
but not limited to, personnel security interviews, DOE-sponsored mental 
evaluations, and other authorized DOE investigative activities under 
this subpart. The individual may elect not to cooperate; however, such 
refusal may prevent DOE from reaching an affirmative finding required 
for granting or continuing access authorization. In this event, any 
access authorization then in effect may be terminated, or, for 
applicants, further processing may be suspended.
    (b) If the individual believes that the provisions of paragraph (a) 
of this section have been inappropriately applied in his case, he may 
file a written appeal of the action with the Director, Office of 
Safeguards and Security, DOE Headquarters, within 30 calendar days of 
the date he was notified of the action.
    (c) Upon receipt of the written appeal, the Director, Office of 
Safeguards and Security, shall conduct an inquiry as to the 
circumstances involved in the action and shall, within 30 calendar days 
of receipt of the written appeal, notify the individual, in writing, as 
to whether the action to terminate or suspend processing of access 
authorization was appropriate. If the Director, Office of Safeguards and 
Security, determines that the action was inappropriate, he shall direct 
that the individual continue to be processed for access authorization, 
or that access authorization for the individual be reinstated.

Sec. 710.7  Application of the criteria.

    (a) The decision as to access authorization is a comprehensive, 
common-sense judgment, made after consideration of all the relevant 
information, favorable or unfavorable, as to whether the granting of 
access authorization would not endanger the common defense and security 
and would be clearly consistent with the national interest.
    (b) To assist in making these determinations, on the basis of all 
the information in a particular case, there are set forth in this 
subpart criteria consisting of a number of specific types of derogatory 
information. These criteria are not exhaustive but contain the principal 
types of derogatory information which create a question as to the 
individual's eligibility for access authorization. DOE is not limited to 
these criteria or precluded from exercising its judgment that 
information or facts in a case under its cognizance are derogatory 
although at variance with, or outside the scope of, the stated 
categories. These criteria are subject to continuing review and may be 
revised from time to time as experience and circumstances may make 
desirable.
    (c) In resolving a question concerning an individual's eligibility 
for access authorization, all DOE officials involved in the decision-
making process shall consider: the nature, extent, and seriousness of 
the conduct; the circumstances surrounding the conduct, to include 
knowledgeable participation; the frequency and recency of the conduct; 
the age and maturity of the individual at the time of the conduct; the 
voluntariness of participation; the absence or presence of 
rehabilitation or reformation and other pertinent behavioral changes; 
the motivation for the conduct; the potential for pressure, coercion, 
exploitation, or duress; the likelihood of continuation or recurrence; 
and other relevant and material factors.

Sec. 710.8  Criteria.

    Derogatory information shall include, but is not limited to, 
information that the individual has:
    (a) Committed, prepared or attempted to commit, or aided, abetted or 
conspired with another to commit or

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attempt to commit any act of sabotage, espionage, treason, terrorism, or 
sedition.
    (b) Knowingly established or continued a sympathetic association 
with a saboteur, spy, terrorist, traitor, seditionist, anarchist, or 
revolutionist, espionage agent, or representative of a foreign nation 
whose interests are inimical to the interests of the United States, its 
territories or possessions, or with any person advocating the use of 
force or violence to overthrow the Government of the United States or 
any state or subdivision thereof by unconstitutional means.
    (c) Knowingly held membership in or had a knowing affiliation with, 
or has knowingly taken action which evidences a sympathetic association 
with the intent of furthering the aims of, or adhering to, and actively 
participating in, any foreign or domestic organization, association, 
movement, group, or combination of persons which advocates or practices 
the commission of acts of force or violence to prevent others from 
exercising their rights under the Constitution or Laws of the United 
States or any state or subdivision thereof by unlawful means.
    (d) Publicly or privately advocated, or participated in the 
activities of a group or organization, which has as its goal, revolution 
by force or violence to overthrow the Government of the United States or 
the alteration of the form of Government of the United States by 
unconstitutional means with the knowledge that it will further those 
goals.
    (e) Parent(s), brother(s), sister(s), spouse, or offspring residing 
in a nation whose interests may be inimical to the interests of the 
United States.
    (f) Deliberately misrepresented, falsified, or omitted significant 
information from a Personnel Security Questionnaire, a Questionnaire for 
Sensitive Positions, a personnel qualifications statement, a personnel 
security interview, written or oral statements made in response to 
official inquiry on a matter that is relevant to a determination 
regarding eligibility for DOE access authorization, or proceedings 
conducted pursuant to Sec. 710.20 through Sec. 710.31.
    (g) Failed to protect classified matter, or safeguard special 
nuclear material; or violated or disregarded security or safeguards 
regulations to a degree which would be inconsistent with the national 
security; or disclosed classified information to a person unauthorized 
to receive such information.
    (h) An illness or mental condition of a nature which, in the opinion 
of a board-certified psychiatrist, other licensed physician or a 
licensed clinical psychologist, causes, or may cause, a significant 
defect in judgment or reliability.
    (i) Refused to testify before a Congressional Committee, Federal or 
state court, or Federal administrative body, regarding charges relevant 
to eligibility for DOE, or another Federal agency's access 
authorization.
    (j) Been, or is, a user of alcohol habitually to excess, or has been 
diagnosed by a board-certified psychiatrist, other licensed physician or 
a licensed clinical psychologist as alcohol dependent or as suffering 
from alcohol abuse.
    (k) Trafficked in, sold, transferred, possessed, used, or 
experimented with a drug or other substance listed in the Schedule of 
Controlled Substances established pursuant to section 202 of the 
Controlled Substances Act of 1970 (such as marijuana, cocaine, 
amphetamines, barbiturates, narcotics, etc.) except as prescribed or 
administered by a physician licensed to dispense drugs in the practice 
of medicine, or as otherwise authorized by law.
    (l) Engaged in any unusual conduct or is subject to any 
circumstances which tend to show that the individual is not honest, 
reliable, or trustworthy; or which furnishes reason to believe that the 
individual may be subject to pressure, coercion, exploitation, or duress 
which may cause the individual to act contrary to the best interests of 
the national security. Such conduct or circumstances include, but are 
not limited to, criminal behavior, a pattern of financial 
irresponsibility, or violation of any commitment or promise upon which 
DOE previously relied to favorably resolve an issue of access 
authorization eligibility.

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Sec. 710.9  Action on derogatory information.

    (a) When the reports of investigation of an individual or other 
reliable information reasonably tend to establish the validity and 
significance of one or more of the items in the criteria, or of other 
reliable information or facts which are derogatory, although outside the 
scope of the stated categories, such information shall be regarded as 
substantially derogatory and create a question as to the individual's 
eligibility for access authorization. The Local Director of Security 
will authorize the conduct of an interview with the individual, or 
request other appropriate actions, and, on the basis of such interview 
and/or actions, may authorize the granting or continuation of access 
authorization. If the question as to the individual's eligibility is not 
resolved through interview, and/or other actions, which may include a 
DOE-sponsored mental evaluation, the Local Director of Security will 
submit the matter to the Manager. If the Manager agrees that unresolved 
derogatory information is present, and that appropriate attempts to 
resolve such derogatory information have failed, the Manager shall 
forward the individual's case to the Director, Office of Safeguards and 
Security, with a request for authority to conduct an administrative 
review proceeding. If the Manager believes that the derogatory 
information has been favorably resolved, the Manager shall direct that 
the individual be granted access authorization. A decision in the matter 
shall be rendered by the Manager within 10 calendar days after receipt. 
Following the decision of the Manager, the Director, Office of 
Safeguards and Security, may authorize:
    (1) The granting of access authorization,
    (2) The institution of administrative review procedures set forth in 
Secs. 710.20 through 710.31, or
    (3) Such other action as the Director deems appropriate.
    (b) The Director, Office of Safeguards and Security, must authorize 
one of these options within 30 calendar days of the receipt of the case 
from the Manager, unless an extension is granted by the Director, Office 
of Security Affairs.

Sec. 710.10  Suspension of access authorization.

    (a) In those cases where information is received which raises a 
question concerning the continued eligibility of an individual for DOE 
access authorization, the Local Director of Security may authorize 
action(s) to resolve the question pursuant to Sec. 710.9. Such action(s) 
shall be taken on an expedited basis. If the question as to the 
individual's continued eligibility for access authorization is not 
resolved in favor of the individual, the Local Director of Security will 
submit the matter to the Manager with a recommendation that the 
individual's DOE access authorization be suspended pending the final 
determination resulting from the operation of the procedures provided in 
this subpart.
    (b) Within two working days of receipt of the recommendation from 
the Local Director of Security to suspend the individual's DOE access 
authorization, the Manager shall review the matter and authorize 
continuation or suspension of access authorization. The access 
authorization of an individual shall not be suspended except by the 
direction of the Manager. This authority to suspend access authorization 
may not be delegated but may be exercised by a person who has been 
designated in writing as Acting Manager.
    (c) Upon suspension of an individual's access authorization pursuant 
to paragraph (b) of this section, the individual, the individual's 
employer, any other DOE Operations Office having an access authorization 
interest in the individual, and, if known, any other government agency 
where the individual holds an access authorization, security clearance, 
or access approval, or to which the DOE has certified the individual's 
DOE access authorization, shall be notified immediately. The Central 
Personnel Clearance Index shall also be updated. Notification to the 
individual shall be made in writing and shall reflect, in general terms, 
the reason(s) why the suspension has been effected. Pending final 
determination of the individual's eligibility for access authorization 
from the operation of the procedures provided in this subpart,

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the individual shall not be afforded access to classified matter, 
special nuclear material, or unescorted access to security areas that 
require the individual to possess a DOE access authorization.
    (d) Following the decision to suspend an individual's DOE access 
authorization, the Manager shall immediately notify the Director, Office 
of Safeguards and Security, of the action and the reason(s) therefore. 
In addition, the Manager, within 10 calendar days of the date of 
suspension, shall submit a request for authority to conduct an 
administrative review proceeding, accompanied by an explanation of its 
basis and a duplicate Personnel Security File, to the Director, Office 
of Safeguards and Security.

                          Administrative Review

Sec. 710.20  Purpose of administrative review.

    These procedures establish methods for the conduct of the 
administrative review of questions concerning an individual's 
eligibility for access authorization when it is determined that such 
questions cannot be favorably resolved by interview or other action.

Sec. 710.21  Notice to individual.

    (a) When the Director, Office of Safeguards and Security, has 
authorized the institution of administrative review procedures with 
respect to an individual's questioned eligibility for access 
authorization, in accordance with Sec. 710.9, the Manager shall direct 
the preparation of a notification letter, approved by the local Office 
of Chief Counsel, or the Office of General Counsel for Headquarters 
cases, for delivery to the individual within 30 calendar days of the 
receipt of such directive from the Office of Safeguards and Security, 
unless an extension has been authorized by the Director, Office of 
Safeguards and Security. Where practicable, such letter shall be 
presented to the individual in person.
    (b) The letter shall state:
    (1) That reliable information in the possession of DOE has created a 
substantial doubt concerning the individual's eligibility for access 
authorization.
    (2) The information which creates a substantial doubt regarding the 
individual's eligibility for access authorization (which shall be as 
comprehensive and detailed as the national interest permits).
    (3) That the individual has the option to have the substantial doubt 
regarding eligibility for access authorization resolved in one of two 
ways:
    (i) By the Manager, without a hearing, on the basis of the existing 
information in the case;
    (ii) By personal appearance before a Hearing Officer (a 
``hearing'').
    (4) That, if the individual desires a hearing, the individual must, 
within 20 calendar days of the date of receipt of the notification 
letter, indicate this in writing to the Manager from whom the letter was 
received.
    (5) That the individual may also file with the Manager the 
individual's written answer to the reported information which raises the 
question of the individual's eligibility for access authorization, and 
that, if the individual requests a hearing without filing a written 
answer, the request shall be deemed a general denial of all of the 
reported information.
    (6) That, if the individual so requests, a hearing will be scheduled 
before a Hearing Officer, with due regard for the convenience and 
necessity of the parties or their representatives, for the purpose of 
affording the individual an opportunity of supporting his eligibility 
for access authorization;
    (7) That, if a hearing is requested, the individual will have the 
right to appear personally before a Hearing Officer; to present evidence 
in his own behalf, through witnesses, or by documents, or both; and, 
subject to the limitations set forth in Sec. 710.26(g), to be present 
during the entire hearing and be accompanied, represented, and advised 
by counsel or representative of the individual's choosing and at the 
individual's own expense;

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    (8) That the individual's failure to file a timely written request 
for a hearing before a Hearing Officer in accordance with paragraph 
(b)(4) of this section, unless time deadlines are extended for good 
cause, will be considered as a relinquishment by the individual of the 
right to a hearing provided in this subpart, and that in such event a 
final decision will be made by the Manager; and
    (9) That in any proceedings under this subpart DOE Counsel will be 
participating on behalf of and representing the Department of Energy, 
and that any statements made by the individual to DOE Counsel may be 
used in subsequent proceedings.

Sec. 710.22  Additional information.

    The notification letter referenced in Sec. 710.21 shall also:
    (a) Describe the individual's access authorization status until 
further notice;
    (b) Advise the individual of the right to counsel at the 
individual's own expense at each and every stage of the proceeding;
    (c) Provide the name and telephone number of the designated DOE 
official to contact for any further information desired, including an 
explanation of the individual's rights under the Privacy Act of 1974; 
and
    (d) Include a copy of 10 CFR Part 710, Subpart A.

Sec. 710.23  Extensions of time by the Operations Office Manager.

    The Manager may, for good cause shown, at the written request of the 
individual, extend the time for filing a written request for a hearing, 
and/or the time for filing a written answer to the matters contained in 
the notification letter. The Manager shall notify the Director, Office 
of Safeguards and Security, when such extensions have been approved.

Sec. 710.24  Appointment of DOE Counsel.

    (a) Upon receipt from the individual of a written request for a 
hearing, an attorney shall forthwith be assigned by the Manager to act 
as DOE Counsel.
    (b) DOE Counsel is authorized to consult directly with the 
individual if he is not represented by counsel, or with the individual's 
counsel or representative if so represented, to clarify issues and reach 
stipulations with respect to testimony and contents of documents and 
other physical evidence. Such stipulations shall be binding upon the 
individual and the DOE Counsel for the purposes of this subpart.

Sec. 710.25  Appointment of Hearing Officer; prehearing conference; 
          commencement of hearings.

    (a) Upon receipt of a request for a hearing, the Manager shall in a 
timely manner transmit that request to the Office of Hearings and 
Appeals, and identify the DOE Counsel. The Manager shall at the same 
time transmit a copy of the notification letter and the individual's 
response to the Office of Hearings and Appeals.
    (b) Upon receipt of the hearing request from the Manager, the 
Director, Office of Hearings and Appeals, shall appoint, as soon as 
practicable, a Hearing Officer.
    (c) Immediately upon appointment of the Hearing Officer, the Office 
of Hearings and Appeals shall notify the individual and DOE Counsel of 
the Hearing Officer's identity and the address to which all further 
correspondence should be sent.
    (d) The Hearing Officer shall have all powers necessary to regulate 
the conduct of proceedings under this subpart, including, but not 
limited to, establishing a list of persons to receive service of papers, 
issuing subpoenas for witnesses to attend the hearing or for the 
production of specific documents or other physical evidence, 
administering oaths and affirmations, ruling upon motions, receiving 
evidence, regulating the course of the hearing, disposing of procedural 
requests or similar matters, and taking other actions consistent with 
the regulations in this subpart. Requests for subpoenas shall be 
liberally granted except where the Hearing Officer finds that the grant 
of subpoenas would clearly result in evidence or testimony that is 
repetitious, incompetent, irrelevant, or immaterial to the issues in the 
case. The Hearing Officer may take sworn testimony, sequester witnesses, 
and control the dissemination or reproduction of any record or testimony 
taken pursuant to

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this part, including correspondence, or other relevant records or 
tangible evidence including, but not limited to, information retained in 
computerized or other automated systems in possession of the subpoenaed 
person.
    (e) The Hearing Officer will determine the day, time, and place for 
the hearing. Hearings will normally be held at or near the appropriate 
DOE facility, unless the Hearing Officer determines that another 
location would be more appropriate. Normally the location for the 
hearing will be selected for the convenience of all participants. In the 
event the individual fails to appear at the time and place specified, 
the record in the case shall be closed and returned to the Manager, who 
will then make a final determination regarding the eligibility of the 
individual for DOE access authorization.
    (f) At least 7 calendar days prior to the date scheduled for the 
hearing, the Hearing Officer will convene a prehearing conference for 
the purpose of discussing stipulations and exhibits, identifying 
witnesses, and disposing of other appropriate matters. The conference 
will usually be conducted by telephone.
    (g) Hearings shall commence within 90 calendar days from the date 
the individual's request for hearing is received by the Office of 
Hearings and Appeals. Any extension of the hearing date past 90 calendar 
days from the date the request for hearing is received by the Office of 
Hearings and Appeals shall be approved by the Director, Office of 
Hearings and Appeals.

Sec. 710.26  Conduct of hearings.

    (a) In all hearings conducted under this subpart, the individual 
shall have the right to be represented by a person of his own choosing. 
The individual is responsible for producing witnesses in his own behalf, 
including requesting the issuance of subpoenas, if necessary, or 
presenting other proof before the Hearing Officer to support his defense 
to the allegations contained in the notification letter. With the 
exception of procedural or scheduling matters, the Hearing Officer is 
prohibited from initiating or otherwise engaging in ex parte discussions 
about the case during the pendency of proceedings under this part.
    (b) Unless the Hearing Officer finds good cause for granting a 
waiver of this paragraph or granting an extension of time, in the event 
that the individual unduly delays the hearing, such as by failure to 
meet deadlines set by the Hearing Officer, the record shall be closed, 
and a final decision shall be made by the Manager on the basis of the 
record in the case.
    (c) Hearings shall be open only to DOE Counsel, duly authorized 
representatives of the staff of DOE, the individual and his counsel or 
other representatives, and such other persons as may be authorized by 
the Hearing Officer. Unless otherwise ordered by the Hearing Officer, 
witnesses shall testify in the presence of the individual but not in the 
presence of other witnesses.
    (d) DOE Counsel shall assist the Hearing Officer in establishing a 
complete administrative hearing record in the proceeding and bringing 
out a full and true disclosure of all facts, both favorable and 
unfavorable, having a bearing on the issues before the Hearing Officer. 
The individual shall be afforded the opportunity of presenting evidence, 
including testimony by the individual in the individual's own behalf. 
The proponent of a witness shall conduct the direct examination of that 
witness. All witnesses shall be subject to cross- examination, if 
possible. Whenever reasonably possible, testimony shall be given in 
person.
    (e) The Hearing Officer may ask the witnesses any questions which 
the Hearing Officer deems appropriate to assure the fullest possible 
disclosure of relevant and material facts.
    (f) During the course of the hearing, the Hearing Officer shall rule 
on all questions presented to the Hearing Officer for the Hearing 
Officer's determination.
    (g) In the event it appears during the course of the hearing that 
Restricted Data or national security information may be disclosed, it 
shall be the duty of the Hearing Officer to assure that disclosure is 
not made to persons who are not authorized to receive it.

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    (h) Formal rules of evidence shall not apply, but the Federal Rules 
of Evidence may be used as a guide for procedures and principles 
designed to assure production of the most probative evidence available. 
The Hearing Officer shall admit into evidence any matters, either oral 
or written, which are material, relevant, and competent in determining 
issues involved, including the testimony of responsible persons 
concerning the integrity of the individual. In making such 
determinations, the utmost latitude shall be permitted with respect to 
relevancy, materiality, and competency. The Hearing Officer may also 
exclude evidence which is incompetent, immaterial, irrelevant, or unduly 
repetitious. Every reasonable effort shall be made to obtain the best 
evidence available. Subject to Secs. 710.26(1), 710.26(m), 710.(n), 
710.26(o), hearsay evidence may in the discretion of the Hearing Officer 
and for good cause shown be admitted without strict adherence to 
technical rules of admissibility and shall be accorded such weight as 
the circumstances warrant.
    (i) Testimony of the individual and witnesses shall be given under 
oath or affirmation. Attention of the individual and each witness shall 
be directed to 18 U.S.C. 1001 and 18 U.S.C. 1621.
    (j) The Hearing Officer shall endeavor to obtain all the facts that 
are reasonably available in order to arrive at findings. If, prior to or 
during the proceedings, in the opinion of the Hearing Officer, the 
allegations in the notification letter are not sufficient to cover all 
matters into which inquiry should be directed, the Hearing Officer shall 
recommend to the Operations Office Manager concerned that, in order to 
give more adequate notice to the individual, the notification letter 
should be amended. Any amendment shall be made with the concurrence of 
the local Office of Chief Counsel or the Office of General Counsel in 
Headquarters cases. If, in the opinion of the Hearing Officer, the 
circumstances of such amendment may involve undue hardships to the 
individual because of limited time to answer the new allegations in the 
notification letter, an appropriate adjournment shall be granted upon 
the request of the individual.
    (k) A written or oral statement of a person relating to the 
characterization in the notification letter of any organization or 
person other than the individual may be received and considered by the 
Hearing Officer without affording the individual an opportunity to 
cross-examine the person making the statement on matters relating to the 
characterization of such organization or person, provided the individual 
is given notice that it has been received and may be considered by the 
Hearing Officer, and is informed of its contents provided such is not 
prohibited by paragraph (g) of this section.
    (l) Any oral or written statement adverse to the individual relating 
to a controverted issue may be received and considered by the Hearing 
Officer without affording an opportunity for cross-examination in either 
of the following circumstances:
    (1) The head of the agency supplying the statement certifies that 
the person who furnished the information is a confidential informant who 
has been engaged in obtaining intelligence information for the 
Government and that disclosure of the informant's identity would be 
substantially harmful to the national interest;
    (2) The Secretary or his special designee for that particular 
purpose has preliminarily determined, after considering information 
furnished by the investigative agency as to the reliability of the 
person and the accuracy of the statement concerned, that:
    (i) The statement concerned appears to be reliable and material; and
    (ii) Failure of the Hearing Officer to receive and consider such 
statement would, in view of the access sought to Restricted Data, 
national security information, or special nuclear material, be 
substantially harmful to the national security and that the person who 
furnished the information cannot appear to testify
    (A) Due to death, severe illness, or similar cause, in which case 
the identity of the person and the information to be considered shall be 
made available to the individual, or
    (B) Due to some other specified cause determined by the head of the 
agency to be good and sufficient.

[[Page 298]]

    (m) Whenever procedures under paragraph (l) of this section are 
used:
    (1) The individual shall be given a summary or description of the 
information which shall be as comprehensive and detailed as the national 
interest permits, and
    (2) Appropriate consideration shall be accorded to the fact that the 
individual did not have an opportunity to cross-examine such person(s).
    (n) Records compiled in the regular course of business, or other 
physical evidence other than investigative reports obtained by DOE, may 
be received and considered subject to rebuttal without authenticating 
witnesses provided that such information has been furnished to DOE by an 
investigative agency pursuant to its responsibilities in connection with 
assisting the Secretary to safeguard Restricted Data, national security 
information, or special nuclear material.
    (o) Records compiled in the regular course of business, or other 
physical evidence other than investigative reports, relating to a 
controverted issue which, because they are classified, may not be 
inspected by the individual, may be received and considered provided 
that:
    (1) The Secretary or his special designee for that particular 
purpose has made a preliminary determination that such physical evidence 
appears to be material;
    (2) The Secretary or his special designee for that particular 
purpose has made a determination that failure to receive and consider 
such physical evidence would, in view of the access sought to Restricted 
Data, national security information, or special nuclear material sought, 
be substantially harmful to the national security; and
    (3) To the extent that national security permits, a summary or 
description of such physical evidence is made available to the 
individual. In every such case, information as to the authenticity and 
accuracy of such physical evidence furnished by the investigative agency 
shall be considered.
    (p) The Hearing Officer may request the Local Director of Security 
to arrange for additional investigation on any points which are material 
to the deliberations of the Hearing Officer and which the Hearing 
Officer believes need further investigation or clarification. In this 
event, the Hearing Officer shall set forth in writing those issues upon 
which more evidence is requested, identifying where possible persons or 
sources from which the evidence should be sought. The Local Director of 
Security shall make every effort through appropriate sources to obtain 
additional information upon the matters indicated by the Hearing 
Officer.
    (q) A written transcript of the entire proceedings shall be made 
and, except for portions containing Restricted Data or national security 
information, a copy of such transcript shall be furnished the individual 
without cost.
    (r) Whenever information is made a part of the record under the 
exceptions authorized by paragraphs (l) or (o) of this section, the 
record shall contain certificates evidencing that the determinations 
required therein have been made.

Sec. 710.27  Opinion of the Hearing Officer.

    (a) The Hearing Officer shall carefully consider the record in view 
of the standards set forth herein and shall render an initial opinion as 
to whether the grant or restoration of access authorization to the 
individual would not endanger the common defense and security and would 
be clearly consistent with the national interest. In resolving a 
question concerning the eligibility of an individual for access 
authorization under these procedures, the Hearing Officer shall consider 
the factors stated in paragraph 710.7(c) to determine whether the 
findings will be adverse or favorable.
    (b) In reaching the findings, the Hearing Officer shall consider the 
demeanor of the witnesses who have testified at the hearing, the 
probability or likelihood of the truth of their testimony, their 
credibility, and the authenticity and accuracy of documentary evidence, 
or lack of evidence on any material points in issue. If the individual 
is, or may be, handicapped by the non-disclosure to the individual of 
confidential information or by lack of opportunity to cross-examine 
confidential informants, the Hearing Officer shall take that fact into 
consideration.

[[Page 299]]

Possible impact of the loss of the individual's access authorization 
upon the DOE program shall not be considered by the Hearing Officer.
    (c) The Hearing Officer shall make specific findings based upon the 
record as to the validity of each of the allegations contained in the 
notification letter and the significance which the Hearing Officer 
attaches to such valid allegations. These findings shall be supported 
fully by a statement of reasons which constitute the basis for such 
findings.
    (d) The Hearing Officer's opinion shall be predicated upon the 
Hearing Officer's findings of fact. If, after considering all the 
factors in light of the criteria set forth in this subpart, the Hearing 
Officer is of the opinion that it will not endanger the common defense 
and security and will be clearly consistent with the national interest 
to grant or continue access authorization to the individual, the Hearing 
Officer shall render a favorable opinion; otherwise, the Hearing Officer 
shall render an adverse opinion.
    (e) The Office of Hearings and Appeals shall issue the opinion of 
the Hearing Officer within 30 calendar days of the receipt of the 
hearing transcript by the Hearing Officer, or the closing of the record, 
whichever is later, unless an extension is granted by the Director, 
Office of Hearings and Appeals. Copies of the Hearing Officer's opinion 
will be provided to the Office of Security Affairs, the Manager, the 
individual concerned and his counsel or other representatives, DOE 
Counsel, and any other party identified by the Hearing Officer. At that 
time, the individual shall also be notified of his right to request 
further review of his case pursuant to Sec. 710.28.
    (f) In the event the Hearing Officer's opinion is favorable to the 
individual, a copy of the administrative record in the case shall also 
be provided to the Office of Security Affairs. The Director, Office of 
Security Affairs will determine whether:
    (1) To grant or reinstate the individual's access authorization, or
    (2) To refer the case to the Director, Office of Hearings and 
Appeals, for further review.
    (g) In the event the Hearing Officer's opinion is adverse to the 
individual, and the individual does not file a request for further 
review pursuant to Sec. 710.28, a copy of the administrative record 
shall be provided to the Director, Office of Security Affairs, who shall 
make a final determination on the basis of the material contained in the 
administrative record.

Sec. 710.28  Action on the Hearing Officer's opinion.

    (a) The Office of Security Affairs or the individual involved may 
file a request for review of the Hearing Officer's opinion issued under 
Sec. 710.27 within 30 calendar days of receipt of the opinion. Any such 
request shall be filed with the Director, Office of Hearings and 
Appeals, and served on the other party.
    (b) Within 15 calendar days after filing a request for review under 
this section, the party seeking review shall file a statement 
identifying the issues on which it wishes the Director, Office of 
Hearings and Appeals, to focus. A copy of such statement shall be served 
on the other party, who may file a response within 20 days of receipt of 
the statement.
    (c) The Director, Office of Hearings and Appeals, may initiate an 
investigation of any statement contained in the request for review and 
utilize any relevant facts obtained by such investigation in conducting 
the review of the Hearing Officer's opinion. The Director, Office of 
Hearings and Appeals, may solicit and accept submissions from either the 
individual or the Office of Security Affairs, that are relevant to the 
review. The Director, Office of Hearings and Appeals, may establish 
appropriate time frames to allow for such responses. In reviewing the 
Hearing Officer's opinion, the Director, Office of Hearings and Appeals, 
may consider any other source of information that will advance the 
evaluation, provided that both parties are afforded an opportunity to 
respond to all third person submissions. All information obtained under 
this section shall be made part of the administrative record.
    (d) Within 45 days of the closing of the record, the Director, 
Office of Hearings and Appeals, shall make specific

[[Page 300]]

findings disposing of each substantial issue identified in a written 
statement in support of the request for review and the written response 
submitted by either the individual or the Office of Security Affairs, 
and shall predicate his opinion on the administrative record, including 
any new evidence that may have been submitted pursuant to Sec. 710.29. 
If, after considering all the factors in light of the criteria set forth 
in this subpart, the Director, Office of Hearings and Appeals, is of the 
opinion that it will not endanger the common defense and security and 
will be clearly consistent with the national interest to grant or 
continue access authorization to the individual, the Director, Office of 
Hearings and Appeals, shall render an opinion favorable to the 
individual; otherwise, the Director, Office of Hearings and Appeals, 
shall render an opinion adverse to the individual. The written opinion 
of the Director, Office of Hearings and Appeals, shall be provided to 
the Director, Office of Security Affairs, accompanied by the 
administrative record in the case. The Director, Office of Hearings and 
Appeals, shall notify the individual of the foregoing action.
    (e) Within 30 calendar days of receipt of the opinion of the 
Director, Office of Hearings and Appeals, the Director, Office of 
Security Affairs, will make the final determination, based on a complete 
review of the record, whether access authorization shall be granted or 
denied, or reinstated or revoked. If, after considering all of the 
factors in light of the criteria set forth in this subpart, the 
Director, Office of Security Affairs, determines that it will not 
endanger the common defense and security and will be clearly consistent 
with the national interest, access authorization shall be granted to or 
reinstated for the individual; otherwise, the Director, Office of 
Security Affairs, shall determine that access authorization shall be 
denied to or revoked for the individual.
    (f) The Director, Office of Security Affairs, shall, through the 
Director, Office of Safeguards and Security, inform the individual 
involved and his counsel or representative in writing of the final 
determination and provide a copy of the written opinion rendered by the 
Director, Office of Hearings and Appeals. Copies of the correspondence 
shall also be provided to the Director, Office of Hearings and Appeals, 
the Manager, DOE Counsel, and any other party. In the event of an 
adverse determination, the correspondence shall indicate the findings by 
the Director, Office of Security Affairs, with respect to each 
allegation contained in the notification letter.

Sec. 710.29  New evidence.

    (a) In the event of the discovery of new evidence relevant to the 
allegations contained in the notification letter prior to final 
determination of the individual's eligibility for access authorization, 
such evidence shall be submitted by the offering party to the Director, 
Office of Safeguards and Security. DOE Counsel shall notify the 
individual of any new evidence submitted by DOE.
    (b) The Director, Office of Safeguards and Security, shall:
    (1) Refer the matter to the Hearing Officer appointed in the 
individual's case if the Hearing Officer has not yet issued an opinion. 
The Hearing Officer getting the application for the presentation of new 
evidence shall determine the appropriate form in which any new evidence, 
and the other party's response, shall be received, e.g., by testimony 
before the Hearing Officer, by deposition or by affidavit.
    (2) In those cases where the Hearing Officer's opinion has been 
issued, the application for presentation of new evidence shall be 
referred to the Director, Office of Hearings and Appeals, or the 
Director, Office of Security Affairs, depending upon where the case 
resides. In the event that the Director, Office of Hearings and Appeals, 
or Director, Office of Security Affairs, determines that the new 
evidence should be received, he shall determine the form in which it, 
and the other party's response, shall be received.
    (c) When new evidence submitted by either party is received into the 
record, the opposing party shall be afforded the opportunity to cross-
examine the source of the new information or to submit a written 
response, unless the information is subject to the exceptions in 
Sec. 710.26 (l) or (o).

[[Page 301]]

Sec. 710.30  Action by the Secretary.

    (a) Whenever an individual has not been afforded an opportunity to 
cross-examine witnesses who have furnished information adverse to the 
individual under the provisions of Sec. 710.26 (l) or (o), only the 
Secretary may issue a final determination denying or revoking the access 
authorization after personally reviewing the record.
    (b) When the Secretary makes a final determination regarding the 
individual's eligibility for DOE access authorization, the individual 
will be notified, by the Director, Office of Security Affairs, of that 
decision and of the Secretary's findings with respect to each allegation 
contained in the notification letter and each substantial issue 
identified in the statement in support of the request for review.
    (c) Nothing contained in these procedures shall be deemed to limit 
or affect the responsibility and powers of the Secretary to issue 
subpoenas or to deny or revoke access to Restricted Data, national 
security information, or special nuclear material if the security of the 
nation so requires. The Secretary's authority may not be delegated and 
may be exercised only when the Secretary determines that the procedures 
prescribed in Sec. 710.26 (l) or (o) cannot be invoked consistent with 
the national security, and such determination shall be conclusive.

Sec. 710.31  Reconsideration of access eligibility.

    (a) Where, pursuant to the procedures set forth in Secs. 710.20 
through 710.30, the Director, Office of Security Affairs, or the 
Secretary has made a determination granting or reinstating access 
authorization to an individual, the individual's eligibility for access 
authorization shall be reconsidered as a new administrative review under 
the procedures set forth in this subpart when previously unconsidered 
substantially derogatory information is identified, or the individual 
violates a commitment or promise upon which the DOE previously relied to 
favorably resolve an issue of access eligibility.
    (b) Where, pursuant to those procedures, the Manager, Director, 
Office of Security Affairs, or the Secretary has made a determination 
denying or revoking access authorization to an individual, the 
individual's eligibility for access authorization may be reconsidered 
when there is a bona fide offer of employment requiring access to 
Restricted Data, national security information or special nuclear 
material, and there is either:
    (1) Material and relevant new evidence which the individual and the 
individual's representatives are without fault in failing to present 
earlier, or
    (2) Convincing evidence of reformation or rehabilitation.
    (c) A request for reconsideration shall be submitted in writing to 
the Manager having jurisdiction over the position for which access 
authorization is required. A request for reconsideration shall be 
accompanied by an affidavit setting forth in detail the new evidence or 
evidence of reformation or rehabilitation. The Manager shall notify the 
individual as to whether the individual's eligibility for access 
authorization will be reconsidered and, if so, the method by which such 
reconsideration will be accomplished.
    (d) Final determinations regarding eligibility for DOE access 
authorization in reconsideration cases shall be made by the Director, 
Office of Security Affairs.

                              Miscellaneous

Sec. 710.32  Terminations.

    In the event the individual is no longer an applicant for access 
authorization or no longer requires access authorization, the procedures 
of this subpart shall be terminated without a final determination as to 
the individual's eligibility for access authorization.

Sec. 710.33  Attorney representation.

    In the event the individual is represented by an attorney or other 
representatives, the individual shall file with the Hearing Officer and 
DOE Counsel a document designating such attorney or representatives and 
authorizing one such attorney or representative to receive all 
correspondence, transcripts, and other documents pertaining to the 
proceeding under this subpart.

[[Page 302]]

Sec. 710.34  Time frames.

    Statements of time established for processing aspects of a case 
under this subpart are the agency's desired time frames in implementing 
the procedures set forth in this subpart. They shall have no impact upon 
the final disposition of an access authorization by an Operations Office 
Manager, the Director, Office of Security Affairs, or the Secretary, and 
shall confer no rights upon an individual whose eligibility for access 
authorization is being considered.

 Appendix A to Subpart A of Part 710--Selected Provisions of the Atomic 
Energy Act of 1954, as Amended, Sec. 141 (42 U.S.C. 2161), Sec. 145 (42 
                 U.S.C. 2165), Sec. 161 (42 U.S.C. 2201)

(By authority of the Department of Energy Organization Act, 42 U.S.C. 
7151(a), the Secretary of Energy or her designated representative is to 
be substituted for the ``Commission'' and ``General Manager'' as 
appropriate.)

    Sec. 141. Policy. It shall be the policy of the Commission to 
control the dissemination and declassification of Restricted Data in 
such a manner as to assure the common defense and security. * * *
    Sec. 145. Restriction. (a) No arrangement shall be made under 
section 31, no contract shall be made or continued in effect under 
section 141, and no license shall be issued under section 103 or 104, 
unless the person with whom such arrangement is made, the contractor or 
prospective contractor, or the prospective licensee agrees in writing 
not to permit any individual to have access to Restricted Data until the 
Civil Service Commission shall have made an investigation and report to 
the Commission on the character, associations, and loyalty of such 
individual, and the Commission shall have determined that permitting 
such person to have access to Restricted Data will not endanger the 
common defense and security.
    (b) Except as authorized by the Commission or the General Manager 
upon a determination by the Commission or General Manager that such 
action is clearly consistent with the national interest, no individual 
shall be employed by the Commission nor shall the Commission permit any 
individual to have access to Restricted Data until the Civil Service 
Commission shall have made an investigation and report to the Commission 
on the character, associations, and loyalty of such individual, and the 
Commission shall have determined that permitting such person to have 
access to Restricted Data will not endanger the common defense and 
security.
    (c) In lieu of the investigation and report to be made by the Civil 
Service Commission pursuant to subsection (b) of this appendix, the 
Commission may accept an investigation and report on the character, 
associations, and loyalty of an individual made by another Government 
agency which conducts personnel security investigations, provided that a 
security clearance has been granted to such individual by another 
Government agency based on such investigation and report.
    (d) In the event an investigation made pursuant to subsections (a) 
and (b) of this appendix develops any data reflecting that the 
individual who is the subject of the investigation is of questionable 
loyalty, the Civil Service Commission shall refer the matter to the 
Federal Bureau of Investigation for the conduct of a full field 
investigation, the results of which shall be furnished to the Civil 
Service Commission for its information and appropriate action.
    (e) If the President deems it to be in the national interest he may 
from time to time determine that investigations of any group or class 
which are required by subsections (a), (b), and (c) of this appendix be 
made by the Federal Bureau of Investigation.
    (f) Notwithstanding the provisions of subsections (a), (b), and (c) 
of this appendix, a majority of the members of the Commission shall 
certify those specific positions which are of a high degree of 
importance or sensitivity, and upon such certification, the 
investigation and reports required by such provisions shall be made by 
the Federal Bureau of Investigation.
    (g) The Commission shall establish standards and specifications in 
writing as to the scope and extent of investigations, the reports of 
which will be utilized by the Commission in making the determination, 
pursuant to subsections (a), (b), and (c) of this appendix, that 
permitting a person access to Restricted Data will not endanger the 
common defense and security. Such standards and specifications shall be 
based on the location and class or kind of work to be done, and shall, 
among other considerations, take into account the degree of importance 
to the common defense and security of the Restricted Data to which 
access will be permitted.
    (h) Whenever the Congress declares that a state of war exists, or in 
the event of a national disaster due to enemy attack, the Commission is 
authorized during the state of war or period of national disaster due to 
enemy attack to employ individuals and to permit individuals access to 
Restricted Data pending the investigation report, and determination 
required by section 145b, to the extent that and so long as the 
Commission finds that such action is required to prevent

[[Page 303]]

impairment of its activities in furtherance of the common defense and 
security.
    Sec. 161. General provisions. In the performance of its functions 
the Commission is authorized to:
    (a) Establish advisory boards to advise with and make 
recommendations to the Commission on legislation, policies, 
administration, research, and other matters, provided that the 
Commission issues regulations setting forth the scope, procedure, and 
limitations of the authority of each such board;
    (b) Establish by rule, regulation, or order, such standards and 
instructions to govern the possession and use of special nuclear 
material, source material, and byproduct material as the Commission may 
deem necessary or desirable to promote the common defense and security 
or to protect health or to minimize danger to life or property;
    (c) Make such studies and investigations, obtain such information, 
and hold such meetings or hearings as the Commission may deem necessary 
or proper to assist it in exercising any authority provided in this 
chapter, or in the administration or enforcement of this Act, or any 
regulations or orders issued thereunder. For such purposes the 
Commission is authorized to administer oaths and affirmations, and by 
subpoena to require any person to appear and testify, or to appear and 
produce documents, or both, at any designated place. Witnesses 
subpoenaed under this subsection, shall be paid the same fees and 
mileage as are paid witnesses in the district courts of the United 
States.

                                * * * * *

    (i) Prescribe such regulations or orders as it may deem necessary 
(1) to protect Restricted Data received by any person in connection with 
any activity authorized pursuant to this Act, (2) to guard against the 
loss or diversion of any special nuclear material acquired by any person 
pursuant to section 53 or produced by any person in connection with any 
activity authorized pursuant to the Act, to prevent any use or 
disposition thereof which the Commission may determine to be inimical to 
the common defense and security, including regulations or orders 
designating activities, involving quantities of special nuclear material 
which in the opinion of the Commission are important to the common 
defense and security, that may be conducted only by persons whose 
character, associations, and loyalty shall have been investigated under 
standards and specifications established by the Commission and as to 
whom the Commission shall have determined that permitting each such 
person to conduct the activity will not be inimical to the common 
defense and security, and (3) to govern any activity authorized pursuant 
to this Act, including standards and restrictions governing the design, 
location, and operation of facilities used in the conduct of such 
activity, in order to protect health and to minimize danger to life or 
property;

                                * * * * *

    (n) Delegate to the General Manager or other officers of the 
Commission any of those functions assigned to it under this Act except 
those specified in sections 51, 57b, 61, 108, 123, 145b (with respect to 
the determination of those persons to whom the Commission may reveal 
Restricted Data in the national interest), 145f, and 161a;

                                * * * * *

    (p) Make, promulgate, issue, rescind, and amend such rules and 
regulations as may be necessary to carry out the purposes of this Act.