What is DoD Security Clearance?
An initial important concept to understand regarding personal conduct as it pertains to DoD security clearance is the basic definition of what is known as Department of Defense (DoD) security clearance. DoD security clearance is, in its most simplistic form, an authorization granted to personnel working in sensitive positions to access classified information and, when necessary, to possess certain types of classified information and material . It says nothing about the person’s moral character and only deals with the individual’s ability to retain their clearance or be granted a clearance in the first place by the Government as these determinations must be based upon their totality of the person’s background. The decision on whether or not to trust is made by the Government and it is basically a decision resting upon a person being found to possess the sound judgement, trustworthiness, good conduct and reliability necessary for access to classified information.
Introduction to Self-Reporting Obligations
The Department of Defense (DoD) security clearance self-reporting requirements are mandatory reporting obligations placed upon cleared personnel. A self-reporting requirement is a duty to report certain incidents to your security office. As a covered individual, it is your obligation to understand and comply with the rules, and report certain information to your security officer.
There is a Defense Security Service regulation, 32 CFR § 117.25, that lists all of the security incidents that are required to be reported to the DoD. Self-reporting requirements apply to Military members, DoD employees, and employees of DoD contractors with access to classified information, regardless of whether that access is in connection with a Government or a contractor facility.
Specific security incidents that must be reported include: 4e-Use or possession of drugs, controlled substances, or drug paraphernalia, 5c-Police citation for driving while intoxicated/under the influence, 8-Debt delinquency; 12-Driving record problems, 13-Police records problem; 15c: Credit rating problems; 15d: Credit counseling services; 15e: Bankruptcy filing(s); 15f: Lawsuits involving claims of financial irresponsibility; 15g: Garnishment of wages; 15h: Accounts referred to collection agencies; 15i: Formal or informal garnishment proceedings; 15j: Repossessions, foreclosures, or judgments against property; 15k: Negative credit references; 15l: Unpaid taxes; and 15m: Civil, criminal, or serious delinquent accounts.
These requirements come from the National Industrial Security Program Operating Manual (NISPOM), Chapter 3, Section 3-300, and Section 5-300. Unfortunately, 32 CFR 117.25 is all too often ignored, and only relied upon when the time comes to routinely re-validate your security clearance for continued eligibility. However, when the time comes, you will be asked to confirm that you have appropriately self-reported. If you have not done so, you may have a problem on your hands.
For example, 32 CFR 117.25 lists as a requirement for self-reporting obligations if "You are involved in accidents or incidents which had security implications, such as spills, unauthorized changes to approved information systems or information, reports of compromise of classified information (e.g., your loss of a classified document), etc." This means that if you are enlisted in the military and have security clearance and you spill a chemical on your worksite, then you must report your "security implication." Spills and chemical accidents are commonplace on military bases. A military member who forgets to report an incident may have unintended negative contacts with their security officer. Moreover, if accusations of wrongdoing arise, then it is important that you have properly complied with your security clearance self-reporting obligations.
Events That Lead to Self-Reporting
The following list includes several examples of situations regarding which DoD Personnel must self-report to the Defense Counterintelligence and Security Agency (DCSA) or make disclosure to his/her Facility Security Officer (FSO), Industrial Security Representative (ISAR), or Supervisor. Such notification must generally occur within five (5) calendar days of the occurrence of any of the listed circumstances:
- Any psychological conditions which result in a person being (a) admitted to or committed to any mental health institution for inpatient care or a partial hospitalization program (except for trauma focused care); (b) placed under emergency detention; or (c) ordered or recommended to involuntarily participate in an outpatient substance abuse treatment program, counseling, or therapy. Note that this does not include facilities which are open to the public or are located at an approved treatment facility.
- Any drug or alcohol related charges, alcohol related traffic citations, or civil violations of alcohol related statutes and ordinances, including blood, breath, urine, or other test results showing the individual to be under the influence of drugs or alcohol.
- Any termination of a contractual relationship or non-renewal of a contract or subcontract based upon a contractor’s failure to meet safeguarding requirements.
- Any unlawful or unauthorized taking, transmitting, communicating, or receiving of classified information by a person in violation of US law.
- Violation of security regulations. This includes material modifications and/or changes in contract that require government approval pursuant to US law or regulation.
- Violations of the Foreign Military Sales (FMS) programs or other exports that require US Government approval.
- Refusing to testify under oath before the United States Congress, convocation of a court martial, or a Federal Grand Jury in any matter that involves classified information.
- Emergency situations concerning sensitive information (i.e. information that might reasonably be expected to cause serious damage or harm to the national security if disclosed without authorization). Individuals must immediately report said emergency to their Supervisor, Company Security Representative (USR), or FSO.
Self-Report Process
A contractor may self-report a charge, arrest, or legal matter to their security office. This is often the safest route for a contractor who is aware of an upcoming court date. A contractor should always self-report an incident prior to the court date if they are aware of it, because this may prevent a delay in the court process under the principle of "discovery." If the court date is too close to allow an adequate investigation for an internal report to be completed, then a contractor may self-report to their security officer prior to receiving the outcome of their court date.
Disclosing to your supervisor, Human Resources, or the company’s legal department does not satisfy the self-reporting requirements of DoD and should not be done. Only the security officer assigned to your company should get a call from you if you are charged with a crime, get arrested, are issued a citation, or are served with a misdemeanor complaint.
It is the responsibility of the security officer to properly investigate and assess the impact of your arrest or criminal charge, and only the security officer should receive information that could be correlated to your security clearance. The primary DoD regulation that describes the self-reporting requirement is found in DoD Regulation 5200.2-R, Section 3.5.2.
The reporting requirements apply to both employees and contractors. Employees should report: (a) every arrest or charge, and (b) every conviction or finding of guilt. Contractors should report every arrest or charge, but a conviction is not a self-reporting requirement.
DoD does not dictate a specific timeframe or deadline for the self-reporting. However, contractors and employees should self-report prior to attending the next day of court. Since any convictions will have to be reported to the Company Point of Contact by the contractor, it is recommended that the contractor self-reports even if they are not required to under the DoD Regulation cited in the previous paragraph. By doing so, the contractor will ensure that proper security actions can take place. Both DoD regulation and best practices require that a self-report be completed within three days of the convening of the court to which a crime, civil offense, regulatory violation, or administrative offense has been charged. More serious crimes such as DUI’s, armed assault, felonies, and driving or leaving the scene of an accident should be reported immediately.
The DoD regulation cited in the previous paragraph also states that individuals should not wait for the outcome of a court proceeding to report their incident. This means that if you are arrested on Monday for assault and battery or theft, you should self-report to your security officer by Wednesday. There is a risk that your supervisor (or Human Resources) may learn about the incident before you follow the correct process and self-report. Also, if your employer learns about the incident before you do, you may not have the opportunity to self-report because the employer will have already reported it. Delays in reporting may end up hurting the perception of your candor and/or intentions.
Consequences For Failing To Self-Report
If you fail to self-report these circumstances, then you could face disciplinary action. Depending on the severity of the offense, the disciplinary action could result in anything from a written warning to termination of employment. Moreover, if you fail to self-report and your employer finds out about the infraction, your employment may be terminated. If your supervisor finds out about the infraction, then you can expect that he or she will be advising his or her supervisors up the chain of command.
In the event of termination for misconduct, if you are a security clearance holder, you will be a prime candidate for having your security clearance revoked . A failure to self-report undesirable conduct gives the impression of deception. Deception is a serious issue in the security clearance world.
Although you may be able to get employment with a new agency or a new contractor even if your current employer terminates your employment or you leave your current employer because your security clearance has been suspended or revoked, that employment is going to be different. Instead of working on classified contracts, you will work on non-classified contracts. The difference is often the financial value of that potential employment. In addition, non-classified contracts are likely to be fewer in number than classified contracts.
Compliance Best Practices
The best way to avoid a security clearance suspension or revocation is to proactively satisfy self-reporting obligations. Once the government becomes aware of an issue from a source other than yourself, they will be more likely to suspect that you are either hiding something or making false statements. You do not want that!
I usually recommend that individuals submit a self-report anytime there has been a change in one of the required reporting criteria for their specific security clearance. For example, if you got a new arrest, new charge, new civil judgment, or new medical condition, you should submit a self-report.
Most of all, I recommend that you avoid taking any black and white approach to determining if something should be reported. There is no magic "one year" or "2 years" time frame for when a delinquent debt can be paid off and no longer needs to be reported. Just because something is no longer being reported on your credit report does not mean that you should not report it. If it must be reported to the credit bureaus, it most likely should be reported to your security clearance representatives!
Clearance Holder Resources
If you or someone you know has experienced an issue involving security clearance self-reporting requirements, the real possibility of suspension, or disqualification from a long-held position, there are many resources available and we can help you. Every month we have individuals that reach out to us for help with security clearance checks and with reporting requirements. If you have questions about the security clearance adjudication process, or if you do not understand the most recent security clearance decision report, we can help you . Additionally, if you have been disqualified from a position, we are very well versed in security clearance cases and can answer your questions.
Again, the Office of Personnel Management has the following official guidance on Self-Reporting Requirements from DoD Personnel Security Program for Special Access Program Applicants and Certifying Official Information concerning the when, why, and how of the issues of intent, reasonableness and disclosure, so you need to know your rights. In addition the Toolkit for Clearance Holders is available here and the Defense Counterintelligence and Security Agency (DCSA) Identity Protection, Compensation & Costs Claims (IPCC) section here.