INDEX


U.S. DEPARTMENT OF ENERGY                                DOE O 470.1
     WASHINGTON D.C.                                     9-28-95
							 Chg 1 6-21-96

SUBJECT:  SAFEGUARDS AND SECURITY PROGRAM


1.  OBJECTIVES.

    a.  To ensure appropriate levels of protection against unauthorized
        access; theft, diversion, loss of custody, or destruction of nuclear
        weapons, or weapons components; espionage; loss or theft of classified
        matter or Government property; and other hostile acts that may cause
        unacceptable adverse impacts on national security or on the health and
        safety of Department of Energy (DOE) and contractor employees, the
        public, or the environment.

    b.  To deter, prevent, detect, and respond to unauthorized possession,
        use, or sabotage of special nuclear materials.

    c.  To provide an integrated system of activities, systems, programs,
        facilities, and policies for the protection of classified information,
        nuclear materials, nuclear weapons, nuclear weapons components, and
        DOE and certain DOE contractor property and personnel as required by
        the Atomic Energy Act of 1954, as amended, other Federal statutes,
        Executive orders, and other directives.

    d.  To use the Design Basis Threat Policy, issued by the Director of
        Security Affairs, in the design and implementation of protection
        programs.

    e.  To provide levels of protection in a graded manner in accordance with
        the potential risks.

    f.  To establish safeguards and security programs comparable in
        effectiveness to other Federally regulated programs with similar
        interests when such levels are consistent with DOE protective needs
        and national security interests.

    g.  To ensure effective planning of graded protection levels and prudent
        application of resources.

    h.  To ensure personnel receive training appropriate for their roles in
        support of the program and that persons given access authorization are
        aware of Safeguards and Security Program requirements.

    i.  To standardize safeguards and security equipment and systems to
        achieve operational and financial benefits.

2.  CANCELLATIONS.  The Orders listed below are canceled.  Cancellation of an
    Order does not, by itself, modify or otherwise affect any contractual
    obligation to comply with such an Order.  Canceled Orders which are
    incorporated by reference in a contract shall remain in effect until the
    contract is modified to delete the reference to the requirements in the
    canceled Orders.

    a.  DOE 5630.11B, SAFEGUARDS AND SECURITY PROGRAM, of 8-2-94.

    b.  DOE 5630.13A, MASTER SAFEGUARDS AND SECURITY AGREEMENTS, of 6-8-92.

    c.  DOE 5630.14A, SAFEGUARDS AND SECURITY PROGRAM PLANNING, of 6-9-92.

    d.  DOE 5630.15, SAFEGUARDS AND SECURITY TRAINING PROGRAM, of 8-21-92.

    e.  DOE 5630.16A, SAFEGUARDS AND SECURITY ACCEPTANCE AND VALIDATION
        TESTING PROGRAM, of 6-3-93.

    f.  DOE 5630.17, SAFEGUARDS AND SECURITY (S&S) STANDARDIZATION PROGRAM, of
        9-29-92.

    g.  DOE 5631.1C, SAFEGUARDS AND SECURITY AWARENESS PROGRAM, of 5-4-94.

    h.  DOE 5631.4A, CONTROL OF CLASSIFIED VISITS, of 7-8-92.

    i.  DOE 5634.1B, FACILITY APPROVALS, SECURITY SURVEYS, AND NUCLEAR
        MATERIALS SURVEYS, of 9-15-92.

    j.  DOE 5634.3, FOREIGN OWNERSHIP, CONTROL, OR INFLUENCE PROGRAM, of 6-14-
        93.

    k.  DOE 5639.3, VIOLATION OF LAWS, LOSSES, AND INCIDENTS OF SECURITY
        CONCERNS, of 9-15-92.

    l.  Chapter XI, "Protection Element:  Acceptance and Validation Testing,"
        in DOE M 5632.1C-1, MANUAL FOR PROTECTION AND CONTROL OF SAFEGUARDS
        AND SECURITY INTERESTS, of 7-15-94.

 3. APPLICABILITY.

    a.  DOE Elements.  DOE Elements responsible for safeguards and security
        activity and/or the protection and control of safeguards and security
        interests.

    b.  Contractors.  Except for the exclusions in paragraph 3c, the
        Contractor Requirements Document (Attachment 1) sets forth
        requirements that are to be applied to the covered contractors.

    c.  Exclusions.  DOE facilities and activities regulated by the Nuclear
        Regulatory Commission.

4.  REQUIREMENTS.  General Safeguards and Security Program requirements are
    listed below and in the chapters appended to this Order. Detailed
    requirements for personnel security activities, protection operations,
    information security, and materials control and accountability are set
    forth in the Orders listed in subparagraph a below.  Note that terms
    commonly used in the Safeguards and Security Program are defined in the
    "Safeguards and Security Definitions Guide," which is maintained by the
    Office of Safeguards and Security.

    a.  Key Safeguards and Security Program Elements.

        (1)  Program Management, DOE O 470 series.

        (2)  Personnel Security, DOE O 472 series.

        (3)  Protection Operations, DOE 5632 and DOE O 473 series.

        (4)  Materials Control and Accountability, DOE 5633 and DOE O 474
             series.

        (5)  Information Security, DOE 5639 and DOE O 471 series.

    b.  Risk Management.  The determination of the appropriate level of
        protection against risk shall consider the nature of the threat, the
        vulnerability of the potential target, and the potential consequences
        of an adversarial act.  Accordingly, safeguards and security programs
        shall be based on vulnerability/risk analyses designed to provide
        graded protection in accordance with the asset's importance or the
        impact of its loss, destruction, or misuse.  Risks to be accepted by
        the Department shall be identified and documented by
        vulnerability/risk analyses.

    c.  Graded Protection.  By graded approach, DOE intends that the highest
        level of protection be given to security interests whose loss, theft,
        compromise, and/or unauthorized use will seriously affect the national
        security, and/or the health and safety of DOE and contractor
        employees, the public, the environment, or DOE programs.  Protection
        of other interests shall be graded accordingly.  Asset valuation,
        threat analysis, and vulnerability assessments shall be considered,
        along with the acceptable level of risk and any uncertainties, to
        decide how great is the risk and what protection measures are to be
        applied.

        It should be recognized that risks will be accepted (i.e., that
        actions cannot be taken to reduce the potential for or consequences of
        all malevolent events to zero); however, an acceptable level of risk
        will be determined based on evaluation of a variety of facility-
        specific goals and considerations.  Protection-related plans shall
        describe, justify, and document the graded protection provided the
        various safeguards and security interests.

    d.  Site-Specific Programs.  Safeguards and security programs shall be
        tailored to address site-specific characteristics.
    e.  Planning.  Chapter I sets forth detailed requirements for site-wide
        plans to be developed and maintained at the Operations Office, or
        equivalent-level, and for other plans to address specific needs.

    f.  Deviations.  Alternate or equivalent means of providing adequate
        safeguards and security may be proposed to meet a specific requirement
        of this and other Safeguards and Security Program directives.  In some
        cases, it may be justifiable not to meet a requirement by any means.
        The following procedures and approval levels shall apply to all such
        deviations from Safeguards and Security Program directives'
        requirements.  Any extensions to the approved period of time for
        deviations shall require reapplication for approval.

        (1)  Variances are approved conditions that technically vary from a
             Safeguards and Security directive's requirement, but afford
             equivalent levels of protection without compensatory measures.

             (a)  Variances shall be approved by the Head of a Field Element.
                  The Office of Safeguards and Security and appropriate
                  program offices shall be notified.

             (b)  For Headquarters Elements, the cognizant Secretarial Officer
                  shall approve variances with the concurrence of the
                  Director, Headquarters Operations Division, Office of
                  Safeguards and Security.

             (c)  Variances may be approved for an indefinite period.

        (2)  Waivers are approved nonstandard conditions that deviate from a
             Safeguards and Security directive's requirement which, if
             uncompensated, would create a potential or real safeguards and
             security vulnerability.  Waivers therefore require implementation
             of compensatory measures for the period of the waiver (e.g.,
             expenditure of additional resources to implement enhanced
             protection measures).

             (a)  Waivers shall be approved by Heads of Field Elements
                  provided:

                  1    the cognizant Secretarial Officer(s) and the Office of
                       Safeguards and Security are notified 30 days in advance
                       of such approval;

                  2    comments provided by Headquarters Elements are
                       considered before approving the waiver;

                  3    adequate compensatory measures are in place; and

                  4    performance testing is accomplished, if appropriate.

             (b)  Waivers for Headquarters Elements may be approved by the
                  cognizant Secretarial Officer providing:

                  1    the Office of Safeguards and Security is notified 30
                       days in advance of approval and the Director,
                       Headquarters Operations Division has concurred in the
                       waiver; and

                  2    the requirements of subparagraphs 4f(2)(a)3 and 4 above
                       are met.

             (c)  A waiver shall not exceed 2 years.  Extensions may be
                  requested using the same process.

        (3)  Exceptions are approved deviations from a Safeguards and Security
             directive's requirement that create a safeguards and security
             vulnerability.  Exceptions shall be approved only when correction
             of the condition is not feasible and compensatory measures are
             inadequate to preclude the acceptance of risk.  An exception must
             be approved by both the Secretarial Officer and the Director of
             Security Affairs.

             (a)  For Field Elements, exception requests shall be submitted
                  through line management to the cognizant Secretarial Officer
                  and to the Director of Security Affairs for review and
                  approval.

             (b)  For Headquarters Elements, exception requests shall be
                  submitted through the Headquarters Operations Division for
                  review and approval by the cognizant Secretarial Officer and
                  the Director of Security Affairs.

             (c)  Exceptions shall not exceed 3 years.  Extensions may be
                  requested using the same process.

             (d)  The need for an exception shall be validated annually.

             (e)  Exceptions shall be included in Site Profiles, which form
                  the basis for the DOE's Annual Report to the President on
                  the Status of Safeguards and Security.

        (4)  Documentation.  Specific information to be included to document
             each deviation is provided in Appendix 1.  Approved deviations
             shall be documented in safeguards and security documents.  A
             deviation request approved out of cycle with the safeguards and
             security plan formulation and approval process shall be
             documented as an attachment to the applicable safeguards and
             security plan.

        (5)  Vulnerability Assessments and Performance Testing.  Compensatory
             measures implemented and used as the basis for an exception
             request shall be subject to formal vulnerability assessments and
             must be tested and validated by the cognizant Field Element.  The
             results of the vulnerability assessment(s) and tests shall be
             documented in the applicable security plan.  Performance testing
             and documentation, as necessary, may also be required for
             waivers.

        (6)  Visits.  Office of Safeguards and Security and affected program
             office representatives may perform on-site reviews, assessments,
             and validation visits to ascertain the nature and impact of
             deviation requests.

        (7)  Corrective Actions.  Heads of DOE Elements shall monitor
             corrective actions, establish schedules, ensure that funding is
             effectively managed to address safeguards and security interests,
             and monitor compliance with schedules.

    g.  Standardization.

        (1)  Safeguards and security equipment and systems shall be selected
             on the basis of providing a benefit to DOE such as worker safety,
             compliance with life safety codes, enhancing mission capability,
             cost advantages, or facilitating contingency efforts.

        (2)  New facility designs shall incorporate the use of standardized
             safeguards and security equipment and systems where possible
             without compromising design flexibility or adherence to
             performance criteria.

    h.  Management Review of Safeguards and Security Programs.  Individuals
        assuming Head of Field Element positions shall complete a status
        review for their safeguards and security programs.  Within 15 calendar
        days of the review, a written report that identifies any significant
        deficiencies and corrective actions being taken or planned shall be
        sent to the Under Secretary or cognizant Program Office, as
        appropriate, with a copy to the Director of Security Affairs.

 5. RESPONSIBILITIES.

    a.  Secretarial Officers.

        (1)  Provide program and project direction consistent with the
             Safeguards and Security directives and policy requirements.

             (a)  In coordination with the Director of Nonproliferation and
                  National Security.

                  1    Ensure adequate protection is afforded safeguards and
                       security interests.

                  2    Establish action criteria, including curtailment or
                       suspension of operations, for operations that would
                       result in an immediate and unacceptable risk to
                       national security, the health and safety of employees,
                       the public, or the environment.
             (b)  Coordinate construction or alteration projects of facilities
                  having a safeguards or security interest with the Director
                  of Security Affairs and the Associate Deputy Secretary for
                  Field Management.

             (c)  Request establishment of safeguards and security activities
                  and facility clearance(s) through the Office of Safeguards
                  and Security.  Notify the Office of Safeguards and Security
                  to terminate registration of such activities and facility
                  clearances.

        (2)  Implement a security program consistent with the Headquarters
             Security Plan for Washington, D.C. area facilities and programs.

        (3)  Approve or disapprove requests for exceptions from Safeguards and
             Security directives' requirements in accordance with paragraph
             4f(3)(a) to (e).

        (4)  Ensure that each request for a procurement requiring application
             of this Order incorporates the requirements specified in the
             Contractor Requirements Document (Attachment 1).

             (a)  Designate individual(s) to notify contracting officers of
                  each procurement falling within the scope of this Order.
                  Unless another individual is designated, the responsibility
                  is that of the procurement request originator (the
                  individual responsible for initiating a requirement on DOE F
                  4200.33, "Procurement Request Authorization").

             (b)  Ensure the following:

                  1    The contracting officer provides DOE F 5634.2,
                       "Contract Security Classification Specification," to
                       the servicing safeguards and security office.

                  2    The contract clauses set forth in the DOE Federal
                       Acquisition Regulation and other relevant sections of
                       48 CFR Chapter IX are included in contracts, as
                       applicable.

                  3    The contracting officers incorporate provisions
                       implementing the requirements of this Order in new and
                       existing contracts that involve access authorizations,
                       classified information, nuclear and other hazardous
                       material presenting a potential radiological or
                       toxicological sabotage threat, or Departmental property
                       valued at more than $5,000,000.

                  4    Contractual coverage is in place to permit
                       implementation of this Order with regard to the
                       contractor's nuclear materials activities before
                       initiation of any action involving nuclear materials
                       with a license-exempt (as defined in 10 CFR Part 50)
                       contractor.

                  5    Non-DOE funded work under their jurisdiction is
                       provided protection in accordance with the Departmental
                       safeguards, security, and classification policies.

             (c)  Appoint within their contracting activity a trained DOE
                  employee as the Foreign Ownership, Control, and Influence
                  (FOCI) point-of-contact.

        (5)  Ensure that safeguards and security budget proposals are
             adequate, and that resources are provided to implement them.

        (6)  Participate in the development and review of policy and standards
             for safeguards and security interests.

        (7)  Identify technological needs to the Office of Security Affairs
             for consideration in the safeguards and security technology
             development program.

        (8)  Implement the Classified Visits Program in accordance with
             Chapter VIII.

             (a)  Designate specific facilities where visits may be made only
                  with the approval of the organization having program
                  responsibility, and inform Heads of DOE Elements.

             (b)  Maintain records of individuals approved by their
                  organizations to have continuing access on the basis of DOE
                  Q and L access authorizations or Department of Defense or
                  National Aeronautics and Space Administration
                  certifications, and notify the Director of Safeguards and
                  Security when such approvals are granted or canceled.

        (9)  Approve Site Safeguards and Security Plans and annual revisions
             thereto.

    b.  The Director of Nonproliferation and National Security shall, in
        addition to the duties shown in paragraph 5a, direct and coordinate
        the policy and procedures for a comprehensive Safeguards and Security
        Program.

        (1)  Through the Director of Security Affairs.

             (a)  Establish safeguards and security policies, requirements,
                  standards, and guidance for DOE operations, including design
                  basis threat, for use in designing and implementing DOE
                  protection programs.

             (b)  Provide advice and assistance concerning safeguards and
                  security programs, and coordinate with appropriate DOE
                  organizations to correct safeguards and security
                  deficiencies.

             (c)  Approve all Site Safeguards and Security Plans, and
                  participate in validation and verification reviews at field
                  sites.

             (d)  Establish and maintain the DOE Declassification Program and
                  ensure consistency between classification and safeguards and
                  security policies.

             (e)  Serve as DOE's central point for coordination and liaison
                  with other agencies, groups, and DOE Elements in the
                  development and execution of an effective Safeguards and
                  Security Program.

             (f)  Coordinate with DOE Elements in the recommended curtailment
                  or suspension of operations at DOE facilities when
                  continuation of such operations would result in an
                  unacceptable risk to national security, the health and
                  safety of employees, the public, or the environment.
                  Suspend the facility clearance where the level of the
                  facility's safeguards and security program has significant
                  vulnerability, unacceptable risk, or inadequate protection,
                  and approve removal of facility clearance.  Reinstate
                  facilities when satisfactory conditions exist.  Notify other
                  Federal agencies having concurrent safeguards or security
                  interests of suspension or reinstatement actions.

             (g)  Advise Program Offices on their safeguards and security
                  requirements and budgets before DOE approval.  Ensure
                  differences identified through the review process are
                  resolved during DOE's internal review budgeting process (or
                  equivalent process for reprogramming actions).

             (h)  Through the Director of Safeguards and Security.

                  1    Serve as the DOE focal point for safeguards and
                       security matters.

                  2    Formulate policies, procedures, and plans to ensure the
                       effective and efficient protection of nuclear
                       materials, classified information, and DOE property and
                       facilities.

                       a    Base policies, procedures, and plans on the design
                            basis threat requirements, standards, and
                            guidelines.

                       b    Provide, as requested, advice and assistance to
                            Secretarial Officers and Heads of Field Elements
                            in the implementation of safeguards and security
                            requirements.

                       c    Act as DOE's focal point for the collection,
                            retention, evaluation, and dissemination of
                            information of safeguards and security
                            significance, including threat assessment and
                            protection systems data.

                       d    Develop and maintain guidelines for Site
                            Safeguards and Security Plans, in consultation
                            with affected DOE Elements.

                       e    Establish safeguards and security policy and
                            training quality panels.

                       f    Approve or disapprove exceptions in accordance
                            with paragraph 4f(3(a) to (e).

                  3    Provide focus for interagency matters pertaining to
                       safeguards and security, including wartime protection
                       planning and law enforcement; provide liaison with the
                       Nuclear Regulatory Commission, Federal Bureau of
                       Investigation, Department of Defense, and other Federal
                       law enforcement and security agencies.

                  4    Recommend suspension of the facility clearance of any
                       facility whose safeguards and security program is
                       unacceptable in meeting minimum safeguards and security
                       protection levels and associated risk.

                  5    Direct the safeguards and security technology
                       development program to support user needs and policy
                       objectives.

                  6    Participate in staffing line-item construction project
                       actions for prioritizing projects through validation of
                       specific projects and participate in program office
                       Change Control Board actions.

                  7    Consolidate and coordinate the Annual Report to the
                       Secretary on the Safeguards and Security Status.

                  8    Ensure development, conduct, and management of an
                       effective Safeguards and Security Training Program.

                       a    Develop and issue policy for safeguards and
                            security training programs and coordinate with the
                            Assistant Secretary for Human Resources and
                            Administration to ensure conformance with DOE
                            training policy.
                       b    Provide and manage personnel and budget resources
                            for a standardized training program at the
                            Safeguards and Security Central Training Academy.

                       c    Ensure that a safeguards and security Training
                            Approval Program is developed, implemented, and
                            administered.

                       d    Conduct annual reviews of safeguards and security
                            training programs DOE-wide and report findings as
                            part of the annual report to the Secretary.

                       e    Approve certifications that local safeguards and
                            security training programs meet DOE standards.

                   9   Ensure the development, implementation, and management
                       of an effective Safeguards and Security Awareness
                       Program.

                  10   Oversee implementation of the Classified Visits
                       Program.

                       a    Obtain and review security assurances to determine
                            consistency with agreements for cooperation and
                            other international agreements, when applicable.

                       b    Maintain a current list of all Department of
                            Defense and National Aeronautics and Space
                            Administration officials authorized to certify
                            personnel under their jurisdiction for access to
                            Restricted Data, and provide such lists to DOE
                            Elements.

                       c    Help identify Heads of DOE Elements and Federal
                            officials to whom specific requests for visits
                            should be directed.

                       d    Approve requests for classified visits involving
                            safeguards and security programmatic matters.

                       e    Certify on DOE F 5631.20, "Request for Visit or
                            Access Approval," the DOE access authorization
                            type, number, and date for individuals possessing
                            a DOE Headquarters access authorization in those
                            instances in which this form is required.

                  11   Maintain the Safeguards and Security Information
                       Management System.

                  12   Ensure the development, implementation, and management
                       of an effective Facility Survey and Clearance Program.

                       a    Designate a trained Facility Survey and Clearance
                            Program Manager (a DOE employee).

                       b    Approve extended survey schedules for facilities
                            with Category I quantities of special nuclear
                            material.

                  13   Ensure the development, implementation, and management
                       of an effective FOCI.

                       a    Designate a trained FOCI Program Manager (a DOE
                            employee).

                       b    In coordination with General Counsel, when
                            appropriate, provide a favorable FOCI
                            determination to the Lead Responsible Office.

                  14   Through the Director of Safeguards and Security Central
                       Training Academy, manage the Academy to achieve program
                       objectives expressed in Chapter II.

                  15   Through the Director, New Brunswick Laboratory.

                       a    Manage the Laboratory to achieve program
                            objectives.

                       b    Provide state-of-the-art services for measurement
                            of nuclear materials in support of DOE safeguards
                            requirements.

                       c    Assess the effectiveness of DOE facility materials
                            measurement processes and materials control and
                            accountability programs.

                       d    Provide certified reference materials ensuring
                            traceability of DOE nuclear materials measurements
                            to a national and international measurements data
                            base.

             (i)  Through the Director of Declassification, arrange and
                  approve classified visits of foreign nationals sponsored by
                  a foreign government to the Office of Declassification in
                  connection with the information classification programs, and
                  refer security assurances to the Office of Safeguards and
                  Security.

        (2)  Through the Director of Energy Intelligence.

             (a)  Appoint a Special Security Officer for line management
                  security administration of DOE's Sensitive Compartmented
                  Information Facilities.

             (b)  Provide accreditations, in coordination with the Office of
                  Safeguards and Security, that planned/installed physical and
                  technical security systems create an environment of
                  acceptable risk for intelligence-related facilities.

             (c)  Serve as DOE's point-of-contact involving intelligence and
                  counterintelligence activities, to include management of
                  program access.  Coordinate with the Director of Security
                  Affairs concerning security issues, including espionage and
                  the potential compromise of intelligence-related
                  information.

        (3)  Through the Director of Emergency Management, provide timely and
             current intelligence threat information to support the Safeguards
             and Security Program.

    c.  The Assistant Secretary for Environment, Safety and Health, through
        the Deputy Assistant Secretary for Oversight.

        (1)  Maintain an inspection, performance testing, and evaluation
             program that, in accordance with DOE 5630.12A, SAFEGUARDS AND
             SECURITY INSPECTION AND ASSESSMENT PROGRAM, provides independent
             oversight of the Department's Safeguards and Security Program.

        (2)  Ensure participation with the Department of Defense in conducting
             joint ATOMAL inspections to verify that Restricted Data and
             Formerly Restricted Data released by the United States to NATO
             and NATO member nations as ATOMAL information is being protected
             appropriately.

        (3)  Ensure all NATO/ATOMAL Control Points and Subcontrol Points are
             inspected to verify NATO and ATOMAL holdings are being
             appropriately protected.

    d.  Assistant Secretary for Defense Programs shall, in addition to the
        responsibilities in paragraph 5a, support the Classified Visits
        Program by appointing an approval authority for requests for visits
        requiring access to the following:

        (1)  Nuclear weapon information concerned with the design,
             manufacture, or use  of atomic weapons, atomic weapon components,
             or atomic explosive devices; and nuclear weapon information in
             connection with the military application of atomic energy under
             sections 144b and c(1) and 91(c) or (4) of the Atomic Energy Act
             of 1954, as amended.  (NOTE:  Approval authority will be
             responsible for obtaining endorsements for programmatically
             controlled access for specific nuclear weapon information.)

        (2)  Nuclear materials production facilities or access to sensitive
             nuclear materials production information, excluding classified
             uranium enrichment technology .

        (3)  Classified production facilities, excluding visits for classified
             uranium enrichment technology, by employees of other Federal
             agencies, their contractors, or subcontractors.

    e.  Assistant Secretary for Human Resources and Administration shall
        establish programs and training for communications security,
        electronic emissions control (emissions security), and unclassified
        computer security.

    f.  Deputy Assistant Secretary for International Energy Policy shall serve
        as approval authority, in concert with appropriate Headquarters
        program staff, for classified visits by foreign nationals.

    g.  Associate Deputy Secretary for Field Management.

        (1)  Ensure strategic planning is completed for all Field Elements and
             conduct management coordination and oversight of multi-purpose
             Operations Offices as they impact the Safeguards and Security
             Program planning process.

        (2)  Ensure requirements for physical protection of facilities are
             incorporated into construction contracts.

    h.  The Director, Office of Nuclear Energy, through the Director of
        Uranium Programs, shall approve requests for visits involving access
        to uranium enrichment plants and to facilities engaged in uranium
        enrichment technology development, including gaseous diffusion, gas
        centrifuge, and advanced isotope separation technologies.  (Managers
        of Field Elements may approve visits to facilities under their
        jurisdiction for contractors requiring access because of their
        continuing programmatic association or for contractor personnel
        administered under contracts with the Field Elements.)

    i.  Director, Naval Nuclear Propulsion Program, shall implement and
        oversee all policy and practices pertaining to this Order for
        activities under the Director's cognizance.

    j.  Heads of Field Elements shall ensure that all operations under their
        jurisdiction are implemented consistent with acceptable safeguards and
        security practices and in accordance with the Safeguards and Security
        directives.

    k.  Albuquerque, Chicago, Idaho, Nevada, Oak Ridge, Richland, Oakland, and
        Savannah River Operations Offices; Pittsburgh and Schenectady Naval
        Reactors; Rocky Flats Office; Strategic Petroleum Reserve Office; and
        the Office of Safeguards and Security, Headquarters Operations
        Division.

        (1)  Lead Responsible Offices.

             (a)  Ensure safeguards and security surveys of facilities under
                  their purview are conducted.

             (b)  Establish written delegations of authorities and
                  responsibilities for administration of the facility survey,
                  registration and clearance, and FOCI programs.

             (c)  Designate a Facility Clearance Operations Manager (DOE
                  employee) to manage the local program.

             (d)  Designate a FOCI manager (DOE employee) to manage the local
                  program.

             (e)  Ensure the designation of a trained DOE employee as the FOCI
                  point of contact in each contracting/procurement
                  organization.

             (f)  Ensure the designation of a trained DOE employee as the FOCI
                  point of contact in the Chief Counsel office.

             (g)  Develop local implementing procedures for the facility
                  survey, registration and clearance, and FOCI programs.

             (h)  Grant approval for facilities and register safeguards and
                  security activities.

             (i)  Terminate facility clearances and registrations of
                  safeguards and security activities under their cognizance.

             (j)  Maintain information in the Safeguards and Security
                  Information Management System for all facilities for which
                  they are either the Lead Responsible Office or at which they
                  have registered a safeguards and security activity.

             (k)  Ensure affected Departmental Elements are notified when an
                  activity is suspended or terminated.

             (l)  Provide written notification to an approved facility
                  whenever there is a change in the Lead Responsible Office.

        (2)  Surveying Offices.

             (a)  Ensure that an effective program is instituted to plan,
                  conduct, and follow up safeguards and security surveys and
                  self-assessments.

             (b)  Designate a Facility Survey Operations Manager (a DOE
                  employee).

             (c)  Develop local implementing procedures for the administration
                  and conduct of surveys and self-assessments.

             (d)  Provide input to the Safeguards and Security Information
                  Management System current data for all surveyed facilities.

             (e)  Provide sufficient resources for the survey program to
                  support professional, administrative, technical, and
                  clerical staffing requirements, equipment and materials,
                  logistics requirements, and training and development.

             (f)  Ensure that prior to working independently, persons assigned
                  to perform survey and review duties possess appropriate
                  knowledge, skills, and ability.

    l.  General Counsel.

        (1)  Appoint a trained DOE employee to serve as the FOCI
             point-of-contact.

        (2)  Upon request by the Office of Safeguards and Security, ensure
             review of all complex FOCI cases; e.g., FOCI cases involving
             Proxy Agreements and Voting Trusts.

    m.  Procurement Request Originators are the individuals responsible for
        initiating a requirement on DOE F 4200.33, "Procurement Request
        Authorization," or such other individuals(s) as designated by
        cognizant Heads of DOE Elements.  Procurement Request Originators
        shall notify the cognizant contracting officers of the following:

        (1)  Each procurement requiring the application of this Order.

        (2)  Requirements for flow-down of this Order to any subcontract or
             subaward.

        (3)  Identification of the paragraphs or other portions of this Order
             with which the awardee or, if different, a subawardee is to
             comply.

    n.  Contracting Officers at all levels shall:

        (1)  Incorporate contract provisions implementing the applicable
             requirements of Safeguards and Security directives in new or
             existing contracts, and

        (2)  Not award contracts requiring access authorizations until a
             Facility Clearance is granted.

6.  CONTACT.  Comments and inquiries may be directed to the Materials Control
    and Accountability Program Manager, 301-903-2536, or to the points of
    contact provided in the chapters.

BY ORDER OF THE SECRETARY OF ENERGY:



                                     ARCHER L. DURHAM
                                     Assistant Secretary for
                                     Human Resources and Administration
                           DEVIATION REQUEST FORMAT


1.  Date.  Date the request is signed by the requesting official.

2.  Request Number.  Alphanumeric identifier beginning with "OSS," followed by
    the routing symbol used in the DOE National Telephone Directory, followed
    by the last two digits of the year in the request's date, followed by the
    three-digit number that is next in the sequence of requests from that
    Field Element in that calendar year.  For example, the third request from
    Albuquerque Operations Office during 1995 would be OSS-AL-95-003.

3.  Directive Citation.  Title and date of the directive from which a
    deviation is being requested with a citation (paragraph or other
    provision) and summary of the directive's requirement.

4.  Impacted Entity.  Identification of the specific facility (Safeguards and
    Security Information Management Systems facility code number), process,
    procedure, system, etc.

5.  Deviation Justification.  Specific description of the deviation and the
    associated reason or rationale for the deviation request.  A description
    of the relationship of the subject of the deviation request to other
    safeguards and security interests shall be included if they are
    significantly affected.

6.  Protection Measures.  Description of the current measure(s) used for
    protection and an evaluation of the effectiveness of such measure(s);
    description of alternate/compensatory measure(s) or level(s) of protection
    to be provided as an alternative to the Order requirement(s).

7.  Duration.  Expected duration of the condition for which the deviation is
    requested, including milestones for correcting, alleviating, or
    eliminating the deviant condition, if applicable.  (Note:  Waivers cannot
    be for more than 2 years; exceptions cannot be for more than 3 years.)

8.  Risks.  Evaluation of the risk associated with the deviation, if approved.
    Results of vulnerability analyses and performance tests conducted on
    proposed alternative(s) shall be included.

9.  Signature.  Requesting official's signature.

DOE O 470.1                                                                  i
9-28-95

                               TABLE OF CONTENTS

                                                                          Page

CHAPTER I - SAFEGUARDS AND SECURITY PROGRAM PLANNING

     1. Objective..........................................................I-1
     2. Applicability......................................................I-1
     3. Planning Requirements..............................................I-1
     4. Planning...........................................................I-3
     5. Implementation Assistance..........................................I-5
     6. Contact............................................................I-5

CHAPTER II - SAFEGUARDS AND SECURITY TRAINING PROGRAM

     1. Objective.........................................................II-1
     2. Applicability.....................................................II-1
     3. Program Requirements..............................................II-1
     4. Contact...........................................................II-4

CHAPTER III - PERFORMANCE ASSURANCE PROGRAM

     1. Objective........................................................III-1
     2. Applicability....................................................III-1
     3. Program Requirements.............................................III-1
     4. Documentation Requirements.......................................III-1
     5. Contact..........................................................III-2

CHAPTER IV - SAFEGUARDS AND SECURITY AWARENESS PROGRAM

     1. Objective.........................................................IV-1
     2. Applicability.....................................................IV-1
     3. Program Requirements..............................................IV-1
     4. Documentation Requirements........................................IV-3
     5. Contact...........................................................IV-3

CHAPTER V - FACILITY CLEARANCES AND REGISTRATION OF SAFEGUARDS
AND SECURITY ACTIVITIES

     1. Objectives.........................................................V-1
     2. Applicability......................................................V-1
     3. Requirements:  General.............................................V-1
     4. Requirements:  Lead Responsible Office.............................V-2
     5. Requirements:  Safeguards and Security Information
        Management System..................................................V-2
     6. Requirements:  Facility Clearances.................................V-3
     7. Requirements:  Facility Data and Approval Record...................V-6
     8. Requirements:  Activity Registration...............................V-7
     9. Requirements:  Contract Security Classification Specification......V-8
    10. Requirements:  Facility Importance Ratings.........................V-8
    11. Implementation Assistance..........................................V-8
    12. Contact............................................................V-8

ii                                                                 DOE O 470.1
                                                                       9-28-95


CHAPTER VI - FOREIGN OWNERSHIP, CONTROL, OR INFLUENCE PROGRAM

     1. Objective.........................................................VI-1
     2. Applicability.....................................................VI-1
     3. Requirements......................................................VI-1
     4. Eligibility Requirements..........................................VI-3
     5. Requirements:  Processing Contractors for FOCI Determinations.....VI-4
     6. Requirement:  Accepting a FOCI Determination Rendered by
             Another Federal Agency.......................................VI-5
     7. Requirements:  Schedule of Requirements for Processing
           FOCI Determinations............................................VI-5
     8. Requirements:  Significant Changes................................VI-6
     9. Requirements:  Adverse Determination..............................VI-7
    10. Requirements:  Methods to Negate or Reduce Unacceptable FOCI......VI-7
    11. Requirements:  Methods to Negate or Reduce Risk in Foreign
           Ownership Cases................................................VI-7
    12. Requirements:  Annual Reviews and Compliance.....................VI-12
    13. Contact..........................................................VI-13

CHAPTER VII - INCIDENTS OF SAFEGUARDS AND SECURITY CONCERN

     1. Objectives.......................................................VII-1
     2. Applicability....................................................VII-1
     3. Requirements.....................................................VII-2
     4. Contact..........................................................VII-3

CHAPTER VIII - CONTROL OF CLASSIFIED VISITS PROGRAM

     1. Objectives......................................................VIII-1
     2. Applicability...................................................VIII-1
     3. Requirements:  Classified Visit Procedures......................VIII-1
     4. Requirements:  Classified Visits by DOE Employees, Contractors and
        Subcontractors..................................................VIII-2
     5. Requirements:  Visits to Department of Defense and National
           Aeronautics and Space Administration Facilities..............VIII-3
     6. Requirements:  Restricted Data Visits by Nuclear Regulatory Commission
        and Employees...................................................VIII-3
     7. Requirements:  Restricted Data Visits by Department of Defense and
        National Aeronautics and Space
             Administration Employees...................................VIII-4
     8. Requirements:  Other Classified Visits by Department of Defense and
        National Aeronautics and Space
             Administration Employees...................................VIII-5
     9. Requirements:  Classified Visits by Employees of
             Other Federal Agencies.....................................VIII-5
    10. Requirements:  Congressional and State Classified Visits........VIII-5
    11. Requirements:  Emergency Visits to Classified Areas and FacilitiesVIII-6
    12. Requirements:  Classified Visits by Foreign Nationals to DOE
        Facilities......................................................VIII-6
    13. Contact.........................................................VIII-6
        Attachment VIII-1 - Access to Restricted Data in Possession of Other
           Federal Agencies.............................................VIII-7


DOE O 470.1                                                       iii (and iv)
9-28-95


CHAPTER IX - SURVEY PROGRAM

     1. Policy/Objectives.................................................IX-1
     2. Applicability.....................................................IX-1
     3. Types of Surveys..................................................IX-1
     4. Scope of Surveys..................................................IX-2
     5. Requirements:  Frequency of Surveys...............................IX-2
     6. Requirements:  Survey Conduct.....................................IX-4
     7. Requirements:  Survey Reports.....................................IX-5
     8. Requirements:  Rating System......................................IX-6
     9. Reporting Requirements:  Marginal and Unsatisfactory Composite
        Ratings...........................................................IX-7
    10. Requirements:  Corrective Actions.................................IX-9
    11. Contact..........................................................IX-10

CHAPTER X - SELF-ASSESSMENT PROGRAM

     1. Objective..........................................................X-1
     2. Applicability......................................................X-1
     3. Requirements.......................................................X-1
     4. Contact............................................................X-2

                                   CHAPTER I

                   SAFEGUARDS AND SECURITY PROGRAM PLANNING


1.  OBJECTIVE. To establish a standardized approach to protection program
    planning that will provide an information baseline for use in integrating
    complex-wide safeguards and security considerations, facilitate managers'
    evaluation of program elements and resources for needed improvements, and
    establish cost-benefit bases for analyses and comparisons.

2.  APPLICABILITY.  This chapter applies to the following DOE-owned and
    -leased sites and facilities and to covered contractor-owned and -leased
    facilities.

    a.  Those that have Category I quantities of special nuclear materials, or
        those that have Category II quantities within the same Protected Area
        that roll up to a Category I quantity.

    b.  Those that have a radiological/toxicological sabotage threat that
        would cause an unacceptable impact on the national security, the
        health and safety of employees, the public, or the environment.

    c.  Those that have an industrial sabotage threat that would cause an
        unacceptable impact to those DOE programs supporting national defense
        and security.

    d.  Those facilities engaged in intra-site transportation of special
        nuclear materials.

    e.  Those facilities possessing classified matter.

    f.  Those facilities engaged in the protection of government property.

    g.  Other facilities/sites that Heads of DOE Elements deem appropriate.

3.  PLANNING REQUIREMENTS.  The following topics shall be essential elements
    for planning safeguards and security programs.

    a.  Site-Specific Characteristics.  Protection programs shall be tailored
        to address specific site characteristics and requirements, current
        technology, ongoing programs, and operational needs, and to achieve
        acceptable protection levels that reduce inherent risks on a
        cost-effective basis.

    b.  Threat.  The "Design Basis Threat Policy for the Department of Energy
        (DOE) Programs and Facilities (U)" shall be used with local threat
        guidance and vulnerability assessments for protection and control
        program planning.

    c.  Protection Strategy.

        (1)  Strategies for the physical protection of special nuclear
             materials and vital equipment shall incorporate the applicable
             requirements established in DOE M 471.2, MANUAL FOR CLASSIFIED
             MATTER PROTECTION AND CONTROL.

             (a)  Protection strategy may be graduated to address varying
                  circumstances and may range from denial to containment to
                  recapture/recovery to pursuit.

             (b)  A denial strategy shall be used for the protection of
                  Category IA special nuclear materials and certain
                  radiological sabotage targets where unauthorized access
                  presents an unacceptable risk.

             (c)  Programs shall be designed to prevent unauthorized control
                  (i.e., an unauthorized opportunity to initiate or credibly
                  threaten to initiate a nuclear dispersal or detonation, or
                  to use available nuclear materials for onsite assembly of an
                  improvised nuclear device).

             (d)  A containment strategy shall be used to prevent the
                  unauthorized removal of Category II or greater special
                  nuclear materials.

             (e)  Should denial and/or containment fail, a recapture/recovery
                  or pursuit strategy would then be required.

             (f)  Forces shall be capable of rapid reaction in implementing
                  recapture or recovery contingencies.

             (g)  Programs must be designed to prevent acts of
                  radiological/toxicological sabotage that would cause
                  unacceptable impact to national security or pose significant
                  dangers to the health and safety of employees, the public,
                  or the environment, and/or mitigate the consequences of acts
                  of radiological/toxicological sabotage that would cause
                  unacceptable impact to national security or pose significant
                  dangers to the health and safety of employees, the public,
                  or the environment.

        (2)  Strategies for the protection and control of classified matter
             shall incorporate the applicable requirements established in DOE
             M 5632.1C-1, MANUAL FOR PROTECTION AND CONTROL OF SAFEGUARDS AND
             SECURITY INTERESTS; DOE M 5639.6A-1, MANUAL OF SECURITY
             REQUIREMENTS FOR THE CLASSIFIED AUTOMATED INFORMATION SYSTEM
             SECURITY PROGRAM; and DOE M 471.2-1, MANUAL OF SECURITY
             REQUIREMENTS FOR THE CLASSIFIED AUTOMATED INFORMATION SYSTEM
             SECURITY PROGRAM.  Security systems shall be used that detect or
             deter unauthorized disclosure, modification, or the loss of
             availability of classified and sensitive, but unclassified,
             information and its unauthorized removal from a site or facility.


        (3)  Strategies for the protection of Government property not covered
             in subparagraphs (1) and (2) above shall reflect a graded
             approach.

        (4)  Security countermeasures to address bombings shall consider a
             range of activities from hand-carried, mailed, and vehicle-
             transported devices.

    d.  Graded Protection.  Protection-related plans shall describe, justify,
        and document the graded protection provided the various safeguards and
        security interests.

4.  PLANNING.

    a.  Site Safeguards and Security Plan.  This plan is an Operations Office
        or equivalent-level master planning document that shall be prepared
        for sites with facilities described in paragraphs 2a, 2b, 2c, and 2g.
        The plan shall depict the existing condition of safeguards and
        security sitewide and by facility, and shall establish improvement
        priorities and resource requirements for the necessary improvements.
        Plans shall contain information that describes:

        (1)  protection strategies;

        (2)  site/facility safeguards and security programs in place and/or
             planned;

        (3)  plans and procedures designed to implement, manage, and maintain
             safeguards and security programs;

        (4)  resources needed to sustain the site protection program in its
             current configuration and during planning revisions;

        (5)  security staff personnel qualifications as outlined in approved
             position descriptions and/or prescribed in DOE directives;

        (6)  the results of vulnerability analyses and risk assessments:

             (a)  levels of acceptable risks;

             (b)  assumptions established and used as part of the
                  vulnerability assessment process;

             (c)  validation of vulnerability analyses results by performance
                  testing;

        (7)  required corrective actions and how those actions will mitigate
             identified vulnerabilities and reduce residual risk;

        (8)  sources of supporting documentation detailing where planning
             assumptions, relative to the facility, the adversary, and the DOE
             national security mission can be found; and

        (9)  approved deviations.

    b.  Security Plans.  At locations where a Site Safeguards and Security
        Plan is not required due to the limited scope of safeguards and
        security interests, a security plan shall be developed to describe the
        protection program in place.  In addition, specialized plans shall be
        developed to address protection programs for classified automated
        information systems, materials control and accountability, and other
        protection operations.  Requirements for specialized plans that may or
        may not be components of Site Safeguards and Security Plans are set
        forth in the applicable DOE O 470 and 5630 series of directives.

        (1)  Materials Control and Accountability Plans.  See DOE 5633.3B,
             CONTROL AND ACCOUNTABILITY OF NUCLEAR MATERIALS, of 9-7-94, for
             requirements for this type of plan.

        (2)  Classified Automated Information System (AIS) Security Plans.
             See DOE M 5639.6A-1 for requirements for this type of plan.

    c.  Planning Inputs.  The following documents shall be used to support
        program forecasts and information input used in the protection program
        planning process.

        (1)  Current DOE directives, DOE threat guidance, and applicable
             intelligence assessment information developed and disseminated by
             Headquarters Elements.

        (2)  Programmatic guidance and forecasts of significant changes
             planned in site operations, as communicated through Heads of
             Field Elements and appropriate Headquarters Elements.

        (3)  Current and projected operational constraints and resources.

        (4)  Protection program policy guidance provided by DOE Elements.

    d.  Plan Review and Approval.

        (1)  Heads of Field Elements shall approve and forward Site Safeguards
             and Security Plans to the applicable program office for
             coordination.  Changes to the Plans that significantly alter the
             agreed-on protection philosophy or performance standards of
             protection systems shall require approval by the Head of the
             Field Element and concurrence by the cognizant program office and
             the Director of Security Affairs.  Other plans shall be approved
             by the Head of Field Element or as stipulated in the applicable
             directive.

        (2)  The Site Safeguards and Security Plan shall be reviewed and
             updated annually.  Copies of modifications and updates will be
             provided to the Office of Safeguards and Security for review and
             comment.

5.  IMPLEMENTATION ASSISTANCE.  The Office of Safeguards and Security will
    develop and maintain, after appropriate coordination with affected
    elements, guidelines to assist facilities in safeguards and security
    planning.

6.  CONTACT.  Comments and inquiries on this chapter may be directed to the
    Materials Control and Accountability Program Manager at (301) 903-2536.
    Inquiries pertaining to implementation may be directed to the Field
    Operations Division at (301) 903-4243.

                                  CHAPTER II

                   SAFEGUARDS AND SECURITY TRAINING PROGRAM


1.  OBJECTIVE.  To train DOE and DOE contractor personnel to a level of
    proficiency and competence that ensures they are qualified to perform
    assigned safeguards and security tasks and/or responsibilities, thus
    providing high assurance that the safeguards and security programs of the
    Department are successful.

2.  APPLICABILITY.  This chapter applies to personnel performing tasks and
    responsibilities addressed in this and other Safeguards and Security
    directives associated with protecting nuclear weapons, weapons components,
    special nuclear materials, classified matter, and/or government property.

3.  PROGRAM REQUIREMENTS.

    a.  The Safeguards and Security Training Program shall encompass training
        in the following Safeguards and Security Program key elements.

        (1)  Program Management.

        (2)  Personnel Security.

        (3)  Protection Operations.

        (4)  Materials Control and Accountability.

        (5)  Information Security.

    b.  Training methodology and courses shall be standardized.  The scope and
        level of training provided to individuals shall be tailored to their
        assigned duties and responsibilities and shall be based upon an
        analysis of their prior safeguards and security experience and
        training.

    c.  Training programs shall be based on the results of job analyses to
        document the identification and description of major tasks and skill
        requirements.

    d.  Knowledge and performance-based testing shall apply to all required
        training to measure the skills acquired from the training programs
        developed.

    e.  For specialized skill requirements, such as armorers, personnel
        security specialists, nuclear materials custodians, and technical
        surveillance countermeasures technicians, performance testing shall
        form the primary basis for certification.

    f.  The Training Approval Program (TAP) is a process to formally recognize
        safeguards and security training programs that are conducted by an
        organization other than the Safeguards and Security Training Academy
        to ensure established objectives, standards, and criteria are met.

        (1)  A Training Approval Program shall be implemented to ensure
             standardization of safeguards and security training conducted at
             DOE facilities other than the Safeguards and Security Central
             Training Academy. (The "Guide for Implementation of DOE 5630.15,
             Safeguards and Security Training Program" provides details on
             Training Approval Program implementation.)

        (2)  Developed and refined safeguards and security training program
             objectives, standards, and criteria shall be distributed to
             facilitate development of training programs.

        (3)  Site programs shall be examined by representatives of the Office
             of Safeguards and Security on a recurring basis, but no less than
             every 3 years, to verify adherence to DOE objectives, standards,
             and criteria, and to provide program approval recommendations to
             the Director of Safeguards and Security.

        (4)  Initial and recurring reviews for training approval shall cover
             all aspects of local training programs to include program
             management and structure, course contents, training facilities,
             observation of course presentations for effectiveness, and
             evaluation of students.

        (5)  Instructors shall be evaluated for knowledge in their assigned
             training area and effectiveness in presenting assigned course
             materials.

        (6)  Individuals shall be tested to evaluate skills and knowledge
             achieved through course participation.

        (7)  Training approvals shall remain valid for a period of 3 years.

    g.  Training shall be provided to individuals to qualify or improve their
        qualifications to perform assigned safeguards and/or security tasks or
        responsibilities.  Initial and refresher training shall be tailored to
        the required knowledge and skills.

    h.  The Safeguards and Security Central Training Academy shall provide a
        state-of-the-art training facility and program, emphasizing training
        for DOE Element instructors and instructor-candidates, as follows.

        (1)  Standardization of training in safeguards and security courses
             and programs through certification of key skill personnel,
             development of skills enhancement courses, and approval of
             facility training programs.

        (2)  Standardization of training courses for the key program elements.
             Information associated with these training courses would be
             available to DOE Elements and contractors for use in their
             training programs.

        (3)  Standardization of testing procedures to assess proficiency,
             knowledge, and skills.  Associated information would be made
             available to DOE Elements and contractors.

        (4)  Development and maintenance of a repository of information
             pertaining to relevant external sources of training and training
             materials, as well as data regarding needs that cannot be
             satisfied by DOE resources.

        (5)  Maintenance of a library of current and historical reference
             materials to support all aspects of the training program.

        (6)  Effective relationships with other Federal training facilities
             and operational safeguards and security functions to further
             training objectives.

        (7)  Review of DOE and contractor safeguards and security training
             programs to assess adherence to established quality standards in
             course content and presentation.

    i.  A Safeguards and Security Training Advisory Committee shall be chaired
        by the Director of the Central Training Academy.

        (1)  Members shall include two senior level officials from the Office
             of Safeguards and Security, two senior officials from DOE
             Operations Offices who are nominated by the chair and approved by
             the Director of Safeguards and Security, and two senior
             contractor personnel to serve as technical advisors.  Technical
             advisors shall be nominated by the chair and approved by the
             Director of Safeguards and Security.  Members and technical
             advisors shall serve for 2 years or as decided by the Director of
             Safeguards and Security.  The chair of the Committee shall hold
             meetings at least semi-annually.

        (2)  The Committee shall:

             (a)  review, evaluate, and recommend specific subject areas and
                  curriculum content required to establish standardized
                  training;

             (b)  recommend and assist in obtaining resources required to
                  support the standardized training program;

             (c)  review the implementation status of safeguards and security
                  training policy and guidance; and

             (d)  annually review and validate the Central Training Academy's
                  operations, course schedule, course approval and
                  certification procedures, and strategic plans.

    j.  Central Training Academy instructors shall be certified by the
        Director of the Academy.

        (1)  Certification shall remain valid so long as the individual
             fulfills all required refresher training.

        (2)  Certification shall be based on a records review of
             qualifications and a recommendation by the individual responsible
             for the training program.

        (3)  Instructors of courses provided by other DOE Elements and
             contractors shall be certified by the individual responsible for
             the DOE Element or contractor training program.

    k.  Development, review, and presentation of training courses for unique
        site-specific requirements shall be the responsibility of cognizant
        sites.  Course materials shall be available upon request for review
        and approval by the cognizant Departmental Element and/or the Training
        Approval Program team.

    l.  The Central Training Academy, DOE Elements, and covered contractors
        shall implement a standardized training records management system as
        described below.

        (1)  Records shall be maintained to document training provided to
             personnel participating in the DOE safeguards and security
             program.  Records of training shall contain course
             identification, dates accomplished, and scores achieved where
             applicable.

        (2)  Records of training provided to individuals shall be retained in
             electronic or hard copy form.  Records shall be retained
             according to guidance provided in DOE 1324.5B, RECORDS MANAGEMENT
             PROGRAM, of 1-12-95, and General Records Schedules issued by the
             Archivist of the United States.

             (a)  Records of training provided at the Central Training Academy
                  shall be maintained at the Academy and shall also be
                  maintained by the organization sponsoring the individual.

             (b)  Records of training provided at DOE Elements shall be
                  maintained at DOE Headquarters or the relevant Operations
                  Office, as appropriate, and shall be provided to the
                  organization sponsoring the individual for inclusion in the
                  individual's record file.

             (c)  Records of training provided at contractor facilities shall
                  be provided to and retained by the organization sponsoring
                  the individual.

             (d)  Records of training provided at other government or private
                  facilities shall be obtained and maintained by the
                  organization sponsoring the individual.

4.  CONTACT.  Comments and inquiries on this chapter may be directed to the
    Materials Control and Accountability Program Manager at (301) 903-2536.
                                  CHAPTER III

                         PERFORMANCE ASSURANCE PROGRAM

1.  OBJECTIVE.  To demonstrate the effectiveness of the protection posture for
    Category I and Category II quantities that roll up to the Category I
    category of special nuclear material and Top Secret matter by
    systematically evaluating systems that provide essential protection
    measures.

2.  APPLICABILITY.  The program applies to safeguards and security systems and
    their essential components (e.g., equipment, hardware, administrative
    procedures, protective forces, personnel) that are used to protect
    Category I and II special nuclear materials and/or Top Secret matter.

3.  PROGRAM REQUIREMENTS.  Performance assurance shall be provided for systems
    and/or system components for those systems providing essential protection
    for Category I and Category II special nuclear material and/or Top Secret
    matter.

    a.  Performance assurance programs shall provide for operability and
        effectiveness tests of systems and/or components of systems.  Systems
        and/or essential components of systems whose failure would reduce
        protection to an unacceptable level shall be tested at a frequency
        that provides high assurance of reliability for those systems and/or
        components.  Testing frequencies shall reflect site-specific
        conditions, operational needs, and threat levels.  Testing frequencies
        shall be documented.

        (1)  Operability tests provide a simple measure of integrity on a
             frequent basis.  Operability testing shall consist of checking
             the system element or total system to confirm, without any
             indication of effectiveness, that it is operating.

        (2)  Effectiveness tests provide comprehensive assurance of integrity
             on an infrequent basis.  Performance testing of equipment for
             effectiveness shall consist of checking systems to confirm the
             satisfactory performance of the required functions over the
             expected range of use.

    b.  The adequacy of new and existing protective systems shall be confirmed
        through testing prior to operational use and periodically thereafter.

    c.  At least every 365 days, a performance test encompassing protection
        systems associated with a comprehensive site or facility threat
        scenario shall be conducted to demonstrate overall facility safeguards
        and security system effectiveness.

4.  DOCUMENTATION REQUIREMENTS.

    a.  Performance Assurance Program Plan. This plan may be an integral part
        of the Site Safeguards and Security Plan or other security plan, as
        applicable.  The plan shall describe the program and its
        administration and implementation by:

        (1)  identifying protection elements for the protection of Category I
             and II special nuclear material and Top Secret matter;

        (2)  describing how the performance of these elements is to be
             ensured, including the manner in which activities performed by

DOE O 470.1  Chg 1                                                         IV-1
6-21-96

                                  CHAPTER IV

                   SAFEGUARDS AND SECURITY AWARENESS PROGRAM

1. OBJECTIVES.

   a. As a condition for access to classified information, special nuclear  materials, and/or
      unescorted access to DOE Security Areas, excepting Property Protection Areas,
      individuals shall receive briefing(s).  In addition, as a condition for access to classified
      information, individuals shall execute the Classified Information Nondisclosure
      Agreement.

   b. Individuals shall be precluded or restricted from unescorted access to such DOE Security
      Areas and/or from access to classified information or special nuclear materials until the
      requirements of this chapter have been satisfied.

2. APPLICABILITY.  A safeguards and security awareness program shall be developed,
   implemented, and maintained at each DOE and covered contractor site/facility having such
   DOE Security Areas, classified matter, and/or special nuclear materials.

3. PROGRAM REQUIREMENTS.

   a. Safeguards and Security Awareness Coordinator.  Each affected DOE Element shall
      appoint a Safeguards and Security Awareness Coordinator who shall ensure that the
      requirements of this Chapter are met.

   b. Classified Information Nondisclosure Agreement.  Prior to being granted access to
      classified information, individuals granted DOE access authorizations shall execute a
      Classified Information Nondisclosure Agreement.  A refusal to execute the Classified
      Information Nondisclosure Agreement shall be grounds for the denial of access to
      classified information.

   c. Briefings.  Safeguards and security awareness programs shall include, but are not limited
      to, the development and presentation of four briefings.

      (1)   Initial Briefing.

      (2)   Comprehensive Briefing.

      (3)   Refresher Briefing.

      (4)   Termination Briefing.

d. Topics.  Safeguards and security awareness programs shall incorporate the dissemination of
   information concerning the following:

      (1)   Applicable DOE safeguards and security directives and procedures.


IV-2                                                          DOE O 470.1 Chg 1
                                                                        6-21-96

      (2)   Site-specific (and/or operations-specific) safeguards and security policies, procedures,
            and requirements.

      (3)   Other matters of safeguards and security interest, such as:

         (a)   recent espionage cases,

         (b)   approaches and recruitment techniques employed by foreign intelligence services,

         (c)   safeguards or security incidents and considerations, and

         (d)   safeguards or security threats and vulnerabilities.

   e. Initial Briefing.

      (1)   Individuals approved for unescorted access to Security Areas (except Property
            Protection Areas) shall receive an Initial Briefing.

      (2)   Briefing topics shall include, but are not limited to:

         (a)   overview of DOE safeguards and security disciplines, to include Personnel
               Security, Information Security, and Physical Security;

         (b)   local access control procedures and escort requirements;

         (c)   protection of Government property;

         (d)   prohibited articles; and

         (e)   reporting of incidents of safeguards and security concern.

   f. Comprehensive Briefing.

      (1)   Prior to being granted access to classified information or special nuclear materials,
            individuals granted DOE access authorizations shall receive a Comprehensive
            Briefing to inform them of their safeguards and security responsibilities.  When such
            individuals are assigned to another DOE site, they shall receive Comprehensive
            Briefings at the new site.

      (2)   Briefing topics shall include, but are not limited to, the following:

         (a)   Information Security.

         (b)   Physical Security.

         (c)   Personnel Security.

         (d)   Reporting/notification requirements.

DOE O 470.1 Chg 1                                               IV-3 (and IV-4)
6-21-96

         (e)   Legal and administrative sanctions imposed for incurring a security infraction or
               committing a violation.

         (f)   General information concerning the protection of special nuclear materials.

   g. Refresher Briefings.  Individuals who possess DOE access authorizations shall receive
      Refresher Briefings to reinforce and update awareness of safeguards and security policies
      and their responsibilities.  Refresher Briefings are mandatory for all individuals possessing
      DOE access authorizations and shall be implemented each calendar year at approximately
      12-month intervals.

   h. Termination Briefings.  Individuals shall receive Termination Briefings to inform them of
      their continuing security responsibilities after their access authorizations are terminated.  A
      Termination Briefing shall be implemented on the individual's last day of employment, the
      last day the individual possesses an access authorization, or the day it becomes known that
      the individual no longer requires access to classified information or special nuclear
      materials, whichever is sooner.  Termination Briefings shall be based on the information
      contained in DOE F 5631.29, "Security Termination Statement," and the Classified
      Information Nondisclosure Agreement.

   i. Manual.  A Manual for this program shall be developed and maintained by the Office of
      Safeguards and Security for distribution to DOE Elements and covered contractors having
      DOE Security Areas, classified matter, and/or special nuclear materials to facilitate the
      implementation of this chapter.

4. DOCUMENTATION REQUIREMENTS.

   a. Recordkeeping.  Records shall be maintained to identify all individuals who have received
      briefings by type and date of briefing.  Recordkeeping systems shall be capable of
      providing an audit trail.

   b. Documentation.

      (1)   A completed Classified Information Nondisclosure Agreement may serve as
            documentation for the Comprehensive Briefing.

      (2)   In recurring requirements, such as the Refresher Briefing, records shall be maintained
            until the next occurrence of the briefing.

      (3)   A completed DOE F 5631.29 satisfies documentation requirements for the
            Termination Briefing.

5. CONTACT.  Comments and inquiries on this chapter may be directed to the Safeguards and
   Security Awareness Program Manager at (301) 903-3602.


                                   CHAPTER V

                    FACILITY CLEARANCES AND REGISTRATION OF
                      SAFEGUARDS AND SECURITY ACTIVITIES


1.  OBJECTIVES.  To ensure proper levels of protection consistent with
    Departmental standards to prevent unacceptable, adverse impact on national
    security or on the health and safety of DOE and contractor employees, the
    public, or the environment are afforded safeguards and security
    activities.

2.  APPLICABILITY.  This chapter applies to DOE Elements and personnel
    performing safeguards and security tasks and responsibilities addressed in
    this chapter and in other Safeguards and Security directives.

3.  REQUIREMENTS:  GENERAL.

    a.  Nuclear and other hazardous materials presenting a potential
        radiological or toxicological sabotage threat, classified matter, and
        property protection interests shall not be permitted on premises
        occupied by the Department or its contractors until facility clearance
        is granted.

    b.  Safeguards and security activities involving access authorizations
        shall be registered to assist in ensuring proper levels of protection
        consistent with Departmental standards to prevent unacceptable,
        adverse impact on national security or on the health and safety of DOE
        and contractor employees, the public, or the environment.

    c.  If no need exists for a contractor's office locations to receive,
        process, reproduce, store, transmit, or handle classified information
        or nuclear material, but access authorizations are required for the
        contractor to perform the work within DOE-approved facilities, the
        contractor (identified as a non-possessing facility) must be cleared.
        As used in this Order, the term facility clearance refers to both
        possessing and non-possessing facilities.

    d.  Facility clearance shall be based upon a determination that
        satisfactory safeguards and security measures can be afforded the
        safeguards and security activities.  The determination of a valid
        facility clearance shall be based upon an approved safeguards and
        security plan, results of surveys, and a favorable FOCI determination,
        as appropriate.

    e.  Approval for other Federal agency safeguards and security activities
        to be conducted at Department-owned or -operated facilities shall be
        based upon a determination that the safeguards and security measures
        to be provided are consistent with Departmental policy.  Before
        acceptance of non-DOE safeguards and security activities, the
        Department and the requesting agency shall exchange appropriate
        classification and protection information.  The exchange shall be
        documented in an agreement, which shall include appropriate
        reimbursement for safeguards and security costs incurred by the
        Department.

    f.  Facility clearance for work for others safeguards and security
        activities at other than Department-owned or -operated facilities that
        are channeled through a Departmental entity shall be based upon
        validation of the other agency's facility clearance.

        (1)  Before commencement of non-DOE funded work, conduct, as required
             by DOE 5650.2B, IDENTIFICATION OF CLASSIFIED INFORMATION, a
             review of the work request and certify that the sponsoring
             organization has either provided the appropriate classification
             guidance or has stated in writing that the non-DOE funded work
             will not entail classified activities.

        (2)  Ensure, prior to commencement of the non-DOE funded work
             involving access authorizations, that safeguards and security
             activities have been recorded as security interests on DOE
             F 5634.2 or DD F 254, "Contract Security Classification
             Specification."

        (3)  Ensure, before acceptance of any work for another Federal agency,
             that appropriate reimbursement for safeguards and security costs
             is negotiated.

4.  REQUIREMENTS:  LEAD RESPONSIBLE OFFICE.

    a.  The Lead Responsible Office grants facility clearance for eligible
        facilities under its cognizance.

    b.  If more than one Departmental Element has a registered activity at a
        facility, the organization responsible for the activity involving the
        highest classification level and category of activity is normally the
        Lead Responsible Office.  However, this responsibility may, by mutual
        agreement, be accepted by a Responsible Office that does not have the
        highest classification level and category of activity, but has a
        greater scope of activity, such as with long term or traditional
        interests.

    c.  Any change in the Lead Responsible Office must include a transfer of
        appropriate documentation (e.g., safeguards and security plans, FOCI
        case files, status of unresolved findings).

    d.  Ensure safeguards and security surveys are accomplished using either
        internal assets or through a Memorandum of Understanding with another
        Surveying Office.

5.  REQUIREMENTS:  SAFEGUARDS AND SECURITY INFORMATION MANAGEMENT SYSTEM.
    Surveying and Lead Responsible Offices shall maintain information in the
    Safeguards and Security Information Management System for facilities over
    which they have responsibility, survey cognizance, or registered
    safeguards and security activities.

    a.  The Safeguards and Security Information Management System shall
        reflect facility information, activity information, and survey
        information.

    b.  Changes shall be accurately recorded and coordinated with the Lead
        Responsible Office in a timely manner.

    c.  Lead Responsible and Surveying Offices shall ensure that the
        Safeguards and Security Information Management System maintained at
        the Office of Safeguards and Security reflects established facilities
        and safeguards and security activities, under their jurisdiction, via
        prompt submission of accurate DOE F 5634.3 and DOE F 5634.2 and shall
        periodically review the Safeguards and Security Information Management
        System database to confirm the information contained therein is
        accurate.

6.  REQUIREMENTS:  FACILITY CLEARANCES.  Facility clearances are recorded by
    Lead Responsible Offices, on DOE F 5634.3, "Facility Data and Approval
    Record" (see paragraph 7 of this chapter).

    a.  Granting Approval.  Approval of a facility is based on the following:

        (1)  A favorable foreign ownership, control, or influence
             determination, in accordance with Chapter VI.

        (2)  A Facility National Agency Check, which has been requested or
             completed on those facilities that do not possess a Department of
             Defense (DOD) facility clearance, in accordance with Chapter VI.

        (3)  For contractors, contract(s) containing appropriate security
             clauses.

        (4)  Approved safeguards and security plans, as appropriate.

        (5)  If nuclear materials are involved, an established Reporting
             Identification Symbol code for Nuclear Materials Management and
             Safeguards System reporting.

        (6)  For the facility to possess classified matter, nuclear and other
             hazardous material presenting a potential radiological or
             toxicological sabotage threat, or over $5,000,000 of DOE
             property, not including facilities or land values, at its
             location, an initial survey or other survey resulting in a report
             that comprehensively addresses the security interest, conducted
             no more than 6 months before the facility clearance date, with a
             composite facility rating of satisfactory.

        (7)  Appointment of a Facility Security Officer and, if applicable,
             Materials Control and Accountability Representative.  The
             Facility Security Officer must possess a access authorization
             equivalent with the facility clearance.

        (8)  Access authorizations for appropriate personnel.  Key management
             personnel must be determined case by case.  The Lead Responsible
             Office FOCI Operations Manager, in conjunction with the Facility
             Clearance Operations Manager, is responsible for determining an
             organization's key management personnel.  Key management
             personnel must possess access authorizations equivalent with the
             level of the facility clearance.  Other officials, to be
             determined by the Lead Responsible Office, must possess
             appropriate access authorization for classified information or
             special nuclear materials.

    b.  Accepting a Contractor's Existing Federal Agency Facility Clearance.
        A contractor holding facility clearance from another Federal agency
        may be approved by DOE for processing, using, or storing classified
        matter, contingent on the following.

        (1)  The Federal agency facility clearance is at the appropriate
             classification level and encompasses the DOE activity.  The other
             Federal agency's facility clearance shall not be accepted if it
             is based on a Special Security Agreement, Security Control
             Agreement, Limited Facility Clearance, or Reciprocal Clearance.

        (2)  The cognizant Federal agency agrees that it shall not cancel the
             facility clearance without prior notification to the Lead
             Responsible Office.

        (3)  The last survey report is acceptable in those areas that could
             affect the DOE activity.

        (4)  The cognizant Federal agency agrees to furnish the Lead
             Responsible Office copies of its periodic survey reports or
             memoranda covering the DOE activity.

        (5)  Each employee to be granted access to DOE classified information
             has, as a minimum, a Federal security clearance equivalent to
             that required by DOE, or reconciliation through interagency
             coordination on a case-by-case basis.

        (6)  If Restricted Data (RD) or Formerly Restricted Data (FRD) are
             involved, the cognizant Federal agency has provided assurance of
             compliance with the requirements of the Atomic Energy Act of
             1954, as amended, including the mandatory personnel clearance
             requirements.

        (7)  The requirements identified above have been documented in a
             letter or memorandum of agreement between the Lead Responsible
             Office and the cognizant Federal agency.

    c.  Verification of Federal Agencies.  Verification of the capability of
        another Federal agency is based on written assurance from that agency
        that:

        (1)  classified matter shall be afforded protection according to
             Executive Order 12958, "National Security Information," and its
             implementing Information Security Oversight Office directives;
             and

        (2)  the requirements of the Atomic Energy Act of 1954, as amended,
             pertaining to access to Restricted Data and Formerly Restricted
             Data, including the mandatory personnel clearance requirements,
             shall be met.

        When Restricted Data or Formerly Restricted Data is involved, this
        written assurance shall include coordination and reconciliation
        procedures to limit the manner in which this data is to be
        disseminated.

    d.  Suspension of Facility Clearance.  The facility clearance for a
        contractor determined to be under FOCI shall be suspended pending
        final resolution and implementation of the security measures required
        to negate or reduce the foreign involvement.  The contractor shall
        also be advised that failure to adopt required security deemed
        appropriate pending final resolution, may result in termination of its
        facility clearance.  When findings or other deficiencies indicate
        suspension of a facility clearance is necessary, the responsible Head
        of Departmental Element, in coordination with the Office of Safeguards
        and Security, as appropriate, may suspend the facility clearance
        pending validated corrective actions.  Once a decision is made to
        suspend the facility clearance, all affected Departmental Elements
        shall be notified by the Lead Responsible Office.  The contractor
        subject to suspension action shall be notified that its facility
        clearance has been suspended, that performance on existing classified
        contracts may continue unless notified by DOE to the contrary, and
        that the award of new classified contracts will not be permitted until
        that facility clearance has been restored to a fully valid status.

    e.  Reinstatement.  Following a survey to validate that corrective actions
        have been accomplished that restore a facility's safeguards and
        security posture to a composite satisfactory facility rating, the
        facility clearance may be reinstated.  The Lead Responsible Office
        must complete a DOE F 5634.3 to enact the reinstatement.

    f.  Terminating Approval.  When a facility has completed all safeguards
        and security activities involving work requiring access
        authorizations, nuclear and other hazardous material presenting a
        potential radiological or toxicological sabotage threat, classified
        matter, or over $5,000,000, exclusive of facility and land values) of
        Departmental property, the Lead Responsible Office shall ensure (1) a
        termination survey, as identified in Chapter IX, is conducted to
        verify appropriate disposition, destruction, or return of classified
        matter, nuclear and other hazardous material presenting a potential
        radiological or toxicological sabotage threat, or Departmental
        property to DOE custody and (2) termination of all affected access
        authorizations.  The Lead Responsible Office shall then terminate the
        facility clearance.

        When a facility has been determined to have significant unresolved
        deficiencies or is under FOCI, the primary consideration shall be the
        safeguarding of classified information and/or special nuclear
        material.  The Lead Responsible Office is responsible for taking
        whatever interim action it believes necessary to safeguard classified
        information and/or special nuclear material, in coordination with
        other affected DOE offices as appropriate.  If the facility does not
        have possession of classified information and/or special nuclear
        material, and does not have a current or impending requirement for
        such access, the facility clearance shall be terminated.  If final
        agreement by the parties with regard to the security measures to
        resolve deficiencies or to negate or reduce the foreign involvement to
        an acceptable level, as determined by DOE, are not attained within a
        prescribed period of time, the facility clearance shall be terminated.

7.  REQUIREMENTS:  FACILITY DATA AND APPROVAL RECORD.

    a.  Purpose.  The Facility Data and Approval Record is used to register
        pertinent facility information on the Safeguards and Security
        Information Management System.  The Lead Responsible Office shall
        record a single DOE F 5634.3 to reflect the highest approved
        safeguards and security activity.  Prompt entry on the Safeguards and
        Security Information Management System and accuracy of reported
        information are essential to the continued integrity of the safeguards
        and security program.

    b.  Preparation.  A DOE F 5634.3 shall be prepared by the procurement
        request originator, who forwards the completed form to the cognizant
        Departmental safeguards and security organization.  Upon receipt, the
        responsible Operations Office safeguards and security organization or
        the Office of Safeguards and Security shall evaluate, survey, and
        approve the facility based upon an approved safeguards and security
        plan, safeguards and security surveys with a composite rating of
        satisfactory, and, if appropriate,  a favorable FOCI determination.

        (1)  If a subcontract is established between a DOE prime contractor
             and another contractor for work involving access authorizations,
             classified matter, or nuclear and other hazardous material
             presenting a potential radiological or toxicological sabotage
             threat, it is the responsibility of the prime contractor to
             ensure proper preparation of a DOE F 5634.3.

        (2)  The Contracting Officer's Representative shall be responsible for
             validating information on the initial and subsequent DOE F 5634.3
             and forwarding the form to the responsible DOE safeguards and
             security organization for approval.

    c.  Approval.  DOE F 5634.3 shall be approved by the Lead Responsible
        Office.

    d.  Registration.  The DOE F 5634.3, "Facility Data and Approval Record,"
        must be completed by the Lead Responsible Office in order to register:

        (1)  facility clearance;

        (2)  a significant change in a facility (e.g., a change in name,
             address, Lead Responsible Office, classified mailing/shipping
             address, nuclear materials categorization, or classification
             level and category of information authorized);

        (3)  facility clearance termination;

        (4)  suspension of a facility clearance; or

        (5)  reinstatement of a suspended facility clearance.

    e.  Attachments.  A copy of the facility's safeguards and security
        plan(s), survey report(s), and pertinent correspondence shall be
        maintained with DOE F 5634.3 for facility clearance.  For facility
        termination a copy of the certificate of non-possession must be
        maintained.

8.  REQUIREMENTS:  ACTIVITY REGISTRATION.  Activity registration is recorded
    on DOE F 5634.2, "Contract Security Classification Specification."  (See
    paragraph 9 of this chapter.)

    a.  Accepting Existing DOE Facility Clearance.

        (1)  A Departmental Element seeking to establish an activity shall
             check the Safeguards and Security Information Management System
             to determine whether the contractor or prospective contractor
             currently holds a facility clearance.  In coordination with the
             Lead Responsible Office, an organization may accept the existing
             facility clearance, provided:

             (a)  the new activity shall be protected adequately under the
                  facility's existing safeguards and security program as
                  outlined in the applicable, approved safeguards and security
                  plan;

             (b)  the existing facility clearance is compatible with the level
                  of the new activity; and

             (c)  the facility holds a composite facility rating of
                  satisfactory on the basis of the last safeguards and
                  security survey report.

        (2)  When an activity will exceed the current facility clearance or a
             facility clearance does not exist, the actions required in
             paragraph 6 must be completed, as appropriate.  The upgrading of
             a facility clearance may also require the transfer of the
             functions of the Lead Responsible Office.

    b.  Suspension of an Activity at a Facility.  When current deficiencies
        indicate to responsible management officials that suspension is
        necessary for a specific activity, the Departmental Element
        establishing an activity, in coordination with the Lead Responsible
        Office, may suspend the activity and the ability of the facility to
        accept new safeguards and security activities pending correction of
        those deficiencies and validation of those corrective actions.

    c.  Reinstatement.  Upon completion of a survey that validates corrective
        actions, the suspended activity may be reinstated.  A DOE F 5634.2 is
        required to enact the reinstatement.

    d.  Terminating an Activity at a Facility.  When a registered activity is
        terminated at an approved facility, the organization that established
        the activity must ensure that all affected access authorizations are
        terminated, and all nuclear and other hazardous material presenting a
        potential radiological or toxicological sabotage threat, DOE property,
        and/or classified matter is appropriately reallocated, disposed of,
        destroyed, or returned to an appropriate organization.  A certificate
        of non-possession shall be obtained from the Lead Responsible Office
        and maintained by the organization that established the activity.

9.  REQUIREMENTS:  CONTRACT SECURITY CLASSIFICATION SPECIFICATION.

    a.  New Activity.  If a new activity for work involving access
        authorizations is being considered, the DOE F 5634.2 (or the DD F 254,
        Contract Security Classification Specification) must be submitted by
        the procurement request originator, to the Contracting Officer's
        Representative.  These forms are used to register pertinent activity
        information on the Safeguards and Security Information Management
        System.  The Contracting Officer's Representative shall validate the
        information on the DOE F 5634.2 (or DD F 254) and forward the form to
        the responsible DOE safeguards and security organization for approval.

    b.  Preparation.  A DOE F 5634.2 shall be initially prepared by the
        procurement request originator, who forwards the completed form to the
        cognizant Departmental Element Safeguards and Security organization.
        If a DD F 254, "Contract Security Classification Specification," has
        been used by the agency sponsoring the activity, it shall be annotated
        with the facility code and submitted instead of the DOE F 5634.2.

10. REQUIREMENTS:  FACILITY IMPORTANCE RATINGS.  Importance ratings shall be
    used to identify relative importance of facilities on the Safeguards and
    Security Information Management System and to determine survey frequency.
    A detailed explanation of these ratings is located in the Safeguards and
    Security Survey and Self-Assessment Guide.

11. IMPLEMENTATION ASSISTANCE.  The Office of Safeguards and Security will
    develop an implementation plan for the implementation of DOE F 5634.2 and
    DOE F 5634.3 in the Safeguards and Security Information Management System.
    This implementation plan will be provided to each Lead Responsible Office
    and Survey Office, who shall use this plan to develop a local
    implementation plan.

12. CONTACT.  Comments and inquiries regarding this chapter may be directed to
    the Technical and Operations Security Program Manager at (301) 903-5217.

                                  CHAPTER VI

               FOREIGN OWNERSHIP, CONTROL, OR INFLUENCE PROGRAM


1.  OBJECTIVE.  It is DOE policy to obtain information that indicates whether
    offerors/bidders or contractors are owned, controlled, or influenced by a
    foreign person and whether as a result the potential for an undue risk to
    the common defense and national security may exist.

2.  APPLICABILITY.  Foreign ownership, control, or influence (FOCI)
    determinations are required of the following.

    a.  Contractors, which include any industrial, educational, commercial, or
        other entity, grantee, or licensee, including an individual, that has
        executed an agreement with the Federal Government for the purpose of
        performing under a contract, license, or other arrangement that
        requires access authorizations.  However, the foregoing does not
        include individuals performing work under a consulting agreement.
        This includes subcontractors of any tier, consultants, agents,
        grantees, and cooperative agreement participants.

    b.  All tier parents, if the contractor is owned or controlled by another
        firm(s).

3.  REQUIREMENTS.

    a.  A favorable FOCI determination must be rendered on the prospective
        contractor and, if applicable, its tier parents, prior to the Lead
        Responsible Office granting a facility clearance or contract requiring
        access authorizations.  Unless established thresholds are exceeded,
        the Lead Responsible Office shall render the FOCI determination(s) on
        the contractor and, if applicable, tier parents.

    b.  While the Lead Responsible Office will conduct a preliminary review of
        the FOCI representations and certifications of each firm in the
        competition range in a procurement request, a facility clearance,
        which requires a FOCI determination, can only be requested for the
        successful offeror/bidder if there is expected to be insufficient lead
        time between selection and contract award to allow deferral of the
        FOCI determination and facility registration.

    c.  Prior to the award of a contract requiring access authorizations to an
        offeror/bidder that does not possess a facility clearance, the
        offeror/bidder shall be required to submit to the Contracting Officer
        information and documentation that define the extent and nature of any
        foreign ownership, control, or influence over the offeror/bidder and,
        if applicable, its tier parents.  The Contracting Officer cannot award
        the contract/agreement until he/she receives notification from the
        Lead Responsible Office that a favorable FOCI determination was
        rendered.

    d.  A contractor with a facility clearance is required to ensure that the
        following notification for its organization and each of its tier
        parents is immediately provided to the Lead Responsible Office.

        (1)  Written notification of a change in the extent and nature of FOCI
             that affects the information in the FOCI representation and
             certification .

        (2)  Complete, current, and accurate information, certifications, and
             explanatory documentation that define the extent and nature of
             any relevant FOCI whenever:

             (a)  there is any change in ownership or control;

             (b)  5 years have elapsed since the previously provided FOCI
                  representations and certification were executed; or

             (c)  the Lead Responsible Office advises that it considers that a
                  relevant change in the nature of the FOCI has occurred.

        (3)  Written notification of anticipated changes that include, but are
             not limited to, the following:

             (a)  action to terminate the contractor organization or any of
                  its parents for any reason;

             (b)  imminent adjudication of or reorganization in bankruptcy of
                  the contractor organization or any tier parents;

             (c)  discussions or consultations with foreign interests that may
                  reasonably be expected to lead to the introduction or
                  increase of FOCI; or

             (d)  negotiations for the sale of securities to a foreign
                  interest that may lead to the introduction or increase of
                  FOCI.

    e.  Contracting Officers must provide written notification to the
        servicing safeguards and security office in each of the following
        instances:

        (1)  A FOCI determination is required on an offeror/bidder and, if
             applicable, its tier parents.  The Contracting Officers will send
             the servicing safeguards and security office the FOCI
             representations and certifications and supporting documentation,
             which have been reviewed for completeness.

        (2)  A requested FOCI review is no longer needed.

        (3)  A FOCI determination was rendered on an offeror/bidder that was
             not the successful bidder.

        (4)  Within 30 days of the termination or completion of all work by
             the contractor on a contract requiring access authorizations.

    f.  The Lead Responsible Office shall provide the successful
        offeror/bidder with written notification that:

        (1)  DOE has reviewed the FOCI submission and determined the
             organization is not under FOCI; or

        (2)  the contractor and any tier parents must keep the FOCI
             information current;

        (3)  identifies the Lead Responsible Office.  This office is the only
             office to which the contractor and any tier parents will provide
             new FOCI representation and certification or written notification
             of anticipated or significant changes.

    g.  When established thresholds are exceeded, the Office of Safeguards and
        Security reviews FOCI cases submitted by a Lead Responsible Office to
        determine eligibility for a FOCI determination.

    h.  When a tier parent has not entered into a contract requiring access
        authorizations or is performing work on a contract requiring a lower
        level access authorization, the Lead Responsible Office shall obtain
        appropriate Board Resolutions from the contractor and its parent
        organization(s) to exclude the parent organization(s) from having any
        unauthorized access.

    i.  If a contractor, offeror/bidder, and/or tier parent is determined to
        be under FOCI, the Lead Responsible Office shall ensure that the
        contractor is advised of the existence of FOCI and the security
        measures, if any that would be necessary to negate or reduce that
        foreign involvement and its effect.

    j.  When the offeror or bidder requiring access authorizations is a local,
        State, or Federal governmental agency or department, the affected
        contract must contain a security clause stating that if the
        governmental agency or department subcontracts any work requiring
        access authorizations to a commercial entity, their acquisition
        regulation, including FOCI policies will be followed.  In the absence
        of their own FOCI policies, the DOE will render the FOCI
        determination.

    k.  To the extent permitted by law, information submitted in confidence as
        business/financial information shall be protected as Official Use
        Only, exempt from public release under the Freedom of Information Act.

4.  ELIGIBILITY REQUIREMENTS.  An organization will be considered under FOCI
    when a foreign person has the power, direct or indirect, whether or not
    exercised, and whether or not exercisable through ownership of the
    organization's and/or it tier parents' securities, through indebtedness,
    by contractual arrangements, or other means, to direct or decide matters
    affecting the management or operations of  that organization in a manner
    that may result in the compromise of classified information or
    unauthorized access to nuclear and other hazardous material presenting a
    potential radiological or toxicological sabotage threat or that may
    adversely affect the performance of contracts requiring access
    authorizations.  Eligibility requirements include, but are not limited to,
    the following.

    a.  A organization effectively owned or controlled by a foreign government
        is ineligible for award of a contract if it is necessary for the
        organization to be given access to information in a proscribed
        category in order to perform the contract unless the foreign
        government ownership occurred prior to October 23, 1992.  The
        Secretary of Energy may determine that a waiver from this requirement
        is essential to the national security interest of the U.S.

    b.  A organization that is owned, controlled, or influenced by a foreign
        person from a sensitive country identified in DOE 1500.3, FOREIGN
        TRAVEL AUTHORIZATION, of 11-10-86, and DOE 1240.2B, UNCLASSIFIED
        VISITS AND ASSIGNMENTS BY FOREIGN NATIONALS, of 8-21-92 shall not be
        eligible, in some cases, for a favorable FOCI determination.  The
        Office of Safeguards and Security will make the determination.

    c.  An organization that is owned, controlled, or influenced by a foreign
        person from a nonsensitive country shall be eligible for a favorable
        FOCI determination provided action can be taken to effectively negate
        or reduce associated FOCI risk to an acceptable level.  The Office of
        Safeguards and Security will make the determination.

    d.  Key management personnel determined to require access authorizations,
        as set forth in Chapter V, paragraph 6a(8) must possess an access
        authorization to the level of the facility clearance.

5.  REQUIREMENTS: PROCESSING CONTRACTORS FOR FOCI DETERMINATIONS.

    a.  The Contracting Officer will verify whether the offeror/bidder has a
        facility clearance through the Safeguards and Security Information
        Management System.  If an offeror/bidder does not possess a facility
        clearance, the DOE contracting office shall request a complete FOCI
        package from the organization, and all tier parents.  If the parent(s)
        has a facility clearance, a new FOCI package is not necessary.  This
        package is reviewed for completeness by the DOE Contracting Officer
        and submitted to the servicing safeguards and security office.

    b.  Prior to a FOCI determination being rendered, the Lead Responsible
        Office must accomplish the following.

        (1)  Receive written confirmation of a contractor's facility clearance
             from the Defense Investigative Service (DIS)/Central Verification
             Activity (CVA).  When the contractor has a Limited Facility
             Clearance (formerly "Reciprocal" clearance) or DIS/CVA cannot
             verify the contractor's clearance and provides a telephone number
             to call for verification, the FOCI submission must be immediately

             forwarded to the Office of Safeguards and Security for
             adjudication; or

        (2)  Request the Office of Safeguards and Security to obtain a
             Facility National Agency Check (FNAC) if the contractor does not
             have an active DOE or DOD facility clearance requiring access
             authorizations.  However, the Lead Responsible Office can render
             the FOCI determination pending the results of the FNAC, under the
             following conditions.

             (a)  The responses to the FOCI questions do not exceed the
                  thresholds established by the Office of Safeguards and
                  Security.

             (b)  Exclusion procedures are invoked when the contractor
                  requiring access authorizations is controlled by a parent(s)
                  either not requiring access authorizations or requiring a
                  lower-level access authorization.

        (3)  If the FOCI case exceeds established thresholds, the Lead
             Responsible Office shall forward the case file to the Office of
             Safeguards and Security with a recommended determination.
             Forwarded case files shall contain certifications from the
             offeror/bidder/contractor and any tier parents and shall document
             the reasons the case has been forwarded.  The Office of
             Safeguards and Security shall review the package to determine if
             it concurs with the Lead Responsible Office's recommendation.
             The Office of Safeguards and Security, in coordination with
             General Counsel when appropriate, shall provide a final FOCI
             determination to the Lead Responsible Office.

6.  REQUIREMENT:  ACCEPTING A FOCI DETERMINATION RENDERED BY ANOTHER FEDERAL
    AGENCY.  DOE will accept another Federal agency's FOCI determination when
    the requirements for accepting a facility clearance in Chapter V,
    paragraph 6b, are met.

7.  REQUIREMENT:  SCHEDULE OF REQUIREMENTS FOR PROCESSING FOCI DETERMINATIONS.

    a.  The Lead Responsible Office shall observe the following schedule in
        processing FOCI determinations.

        (1)  Initial review and verification procedures shall be accomplished
             within 15 working days of the receipt of a FOCI submission from
             the contracting officer.

        (2)  Within an additional 20 working days, one of the following
             actions will be taken.

             (a)  A FOCI determination will be rendered by the Lead
                  Responsible Office if FOCI thresholds are not exceeded.

             (b)  If required, additional information, shall be requested
                  either verbally or in writing from the
                  offeror/bidder/contractor.

             (c)  The FOCI case, which has been reviewed for completeness,
                  shall be forwarded to the Office of Safeguards and Security
                  if established thresholds are exceeded.

    b.  For cases forwarded to the Office of Safeguards and Security for
        action, the foregoing schedule shall also be observed.

    c.  If for any reason a FOCI determination has not been rendered within 90
        working days of receipt:

        (1)  The Lead Responsible Office shall either (i) provide written
             notification to the submitting contracting officer with a copy to
             the Office of Safeguards and Security regarding the reason for
             the delay in processing/completing the submission or (ii) return
             the submission to the submitting contracting officer if the
             contractor has been non-responsive to the Lead Responsible
             Office's request for additional information or implementation or
             required security measures.

        (2)  The Office of Safeguards and Security shall either (i) provide
             written notification to the Lead Responsible Office regarding the
             reason for the delay in processing/completing the submission or
             (ii) return the submission to the Lead Responsible Office if the
             contractor has been non-responsive to the Office of Safeguards
             and Security's request for additional information or
             implementation of required security measures.

8.  REQUIREMENTS: SIGNIFICANT CHANGES.  When changes in the extent and nature
    of FOCI that would affect the information in a contractor's and/or any
    tier parents' most recent DOE FOCI submission(s) have occurred, the
    contractor/parent shall immediately provide written notification and
    supporting documentation relevant to the changes to the DOE Lead
    Responsible Office.  A significant FOCI increase/change that warrants
    processing of the contractor/parent for a new FOCI determination includes,
    but is not necessarily limited to, the following.

    a.  A new threshold or factor that did not exist when the previous
        determination was made (e.g., a "no" answer changes to a "yes"
        answer), and any additional factors associated with the questions on
        the FOCI representation and certification.

    b.  A previously reported threshold or factor that was favorably evaluated
        by the Lead Responsible Office has increased to a level requiring a
        determination by the Office of Safeguards and Security.

    c.  A previously reported financial threshold or factor that was favorably
        evaluated has increased by 5 percent or more; or a shift has occurred
        of 5 percent or more by country location of end user (i.e., for
        revenue and/or net income) or lenders (i.e., indebtedness).

    d.  A previously reported foreign ownership threshold or factor that was
        favorably evaluated by the Office of Safeguards and Security has
        increased to the extent that a method of negation or reduction (see
        paragraphs 10 and 11) is necessary.

    e.  Any changes in the ownership or control of the contractor and/or any
        tier parents.

9.  REQUIREMENTS:  ADVERSE DETERMINATION.  When an offeror/bidder or
    contractor determined to be under FOCI will not implement the necessary
    security measures, as determined by DOE, to negate or reduce foreign
    involvement to an acceptable level, an adverse determination will be
    rendered by the Office of Safeguards and Security.  When a contractor with
    a FOCI determination experiences significant changes in its FOCI resulting
    in a determination that the contractor is under FOCI, the contractor's
    facility clearance shall be suspended and may be terminated, as set forth
    in Chapter V, paragraphs 6d to f.

10. REQUIREMENTS:  METHODS TO NEGATE OR REDUCE UNACCEPTABLE FOCI.  The
    affected U.S. organization(s), or its legal representatives may propose a
    plan to negate or reduce unacceptable FOCI; however, DOE reserves the
    right and has the obligation to impose any security method, safeguard, or
    restriction it believes necessary to ensure that unauthorized access to
    classified information and/or special nuclear materials is precluded.  A
    plan may consist of one or more of the insulating measures prescribed in
    paragraph 11 as appropriate.  It may also consist of other measures
    employed in conjunction with, or apart from, these methods, such as:

    a.  physical or organizational separation of the component performing the
        work requiring access authorizations,

    b.  modification or termination of agreements with foreign persons,

    c.  diversification or reduction of agreements with foreign persons,

    d.  diversification or reduction of revenue from foreign persons,

    e.  assignment of specific security duties and responsibilities to
        selected officials of the organization,

    f.  creation of special executive-level committees to consider and oversee
        classified information and/or special nuclear material.

11. REQUIREMENTS:  METHODS TO NEGATE OR REDUCE RISK IN FOREIGN OWNERSHIP
    CASES.

    a.  National Interest Determination.  An organization cleared under a
        Special Security Agreement and its cleared employees may only be
        afforded access to "proscribed information" with special
        authorization.  This special authorization must be manifested by a
        favorable national interest determination that must be
        program/project/contract-specific.  Access to proscribed information
        must be predicated on compelling evidence that release of such
        information to an organization cleared under the Special Security
        Agreement arrangement advances the national security interests of the
        United States.  The authority to make this determination shall not be
        permitted below the Assistant Secretary.  In all majority ownership
        cases, national interest determination will be prepared and sponsored
        by the Contracting Officer whose contract or program, is involved and
        it shall include the following information.

        (1)  Identification of the proposed awardee and a synopsis of its
             foreign ownership (include solicitation and other reference
             numbers to identify the action).

        (2)  General description of the procurement and performance
             requirements.

        (3)  Identification of national security interest involved and the
             ways in which award of the contract helps advance those
             interests.

        (4)  The availability of any other U.S. company with the capacity,
             capability, and technical expertise to satisfy acquisition,
             technology base, or industrial base requirements and the reasons
             any such company should be denied the contract.

        (5)  A description of any alternate means available to satisfy the
             requirement, and the reasons alternative means are not
             acceptable.

        A national interest determination shall be initiated by the
        Contracting Officer.  A company may assist in the preparation of the
        determination, but the Contracting Officer is not obligated to pursue
        the matter unless it believes further consideration to be warranted.
        The Contracting Officer shall, if it is supportive of the national
        interest determination, forward the case through appropriate channels.
        If the proscribed information is under the classification or control
        jurisdiction of another agency, the approval of the cognizant agency
        is required (e.g., NSA for COMSEC, DCI for SCI).

        It is the responsibility of the cognizant approval authority to ensure
        that pertinent security, counterintelligence, and acquisitions
        interests are thoroughly examined.

    b.  Board Resolution for Noncontrolling Foreign Minority Cases.  When a
        foreign person(s) owns voting stock, directly or indirectly, but is
        not permitted representation in the U.S. organization (that is, to
        hold a position as or appoint any of the U.S. organization's
        management and/or allowed to transfer any of its employees on any of
        its foreign-owned parent's or other foreign-owned affiliate's
        employees to the U.S. organization), resolutions by the U.S.
        organization's board of directors and other actions as described below
        may be considered to negate or reduce the FOCI.

        (1)  Resolutions shall address the following.

             (a)  Acknowledge and describe all FOCI elements; identify foreign
                  persons and describe the type and number of foreign-owned
                  shares.

             (b)  Acknowledge the organization's obligations to comply with
                  all security program and export control requirements.

             (c)  Certify that foreign persons shall not require, shall not
                  have, and can be effectively precluded from access to all
                  classified information or nuclear and other hazardous
                  material presenting a potential radiological or
                  toxicological sabotage threat entrusted to or held by the
                  U.S. organization; certify that the foreign persons will not
                  be permitted representation in the U.S. organization or to
                  influence the organization's policies and practices in the
                  performance of contracts requiring access authorization(s).

        (2)  Criteria.  The following criteria must also be satisfied for a
             board resolution to serve as the sole method accepted to negate
             or effectively reduce the risk of compromise arising from foreign
             ownership within the levels prescribed herein.

             (a)  Identified U.S. person(s) own a majority of the stock.

             (b)  A foreign person is not the single largest shareholder.

        (3)  Publication of the Resolution(s).  The U.S. organization shall be
             required to distribute to its directors and its principal
             officers copies of such resolutions and report in its corporate
             records the completion of such distribution. In addition, the
             substance of the foregoing resolution(s) shall be brought to the
             attention of all personnel possessing or being processed for an
             access authorization.

        (4)  Verification.  Compliance with the resolution(s) shall be
             verified during periodic surveys.

    c.  Security Control Agreement for Noncontrolling Foreign Minority Cases.
        When a foreign person(s) owns voting stock, directly or indirectly,
        and is permitted representation in the U.S. organization (that is, to
        hold a position as or appoint any of the U.S. organization's
        management and/or allowed to transfer any of its employees on any of
        its foreign-owned parent's or other foreign-owned affiliate's
        employees to the U.S. organization), the Security Control Agreement,
        as set forth in 11d(4), may be considered to negate or reduce the
        FOCI.

    d.  Controlling Foreign Majority Cases.  A controlling foreign majority
        case is one in which foreign person(s) own a majority of the voting
        securities of the U.S. organization or, if less than 50 percent is
        foreign-owned, it can be reasonably determined that foreign person(s)
        or their representatives are in a position to effectively control or
        dominate the business management of the U.S. organization.

        (1)  Voting Trust Agreement.  A voting trust agreement is an
             acceptable method to negate or reduce risks associated with a
             controlling foreign majority case.  Under this arrangement, the
             following requirements must be met.

             (a)  Foreign stockholders must transfer legal title of
                  foreign-owned stock to the trustees, and the U.S.
                  organization to be cleared must be organized, structured,
                  and financed to operate as a viable business entity
                  independent from the foreign stockholder(s).

             (b)  The Voting Trust Agreement must unequivocally provide for
                  the exercise of all prerogatives of ownership by the
                  trustees with complete freedom to act independently and
                  without consultation with, interference by, or influence
                  from foreign stockholders.

             (c)  There shall be at least three trustees, and all must become
                  members of the U.S. organization's board of directors.  In
                  addition, the trustees must:

                  1    be U.S. citizens residing within the limits of the U.S.
                       and capable of assuming full responsibility for voting
                       the stock and exercising the management prerogatives
                       relating thereto in such a way as to effectively
                       insulate foreign stockholder(s) from the cleared U.S.
                       organization;

                  2    be completely disinterested individuals with no prior
                       involvement with either the cleared U.S. organization,
                       its foreign-owned tier parent(s), and any of its
                       foreign-owned affiliate(s);

                  3    be issued and be able to maintain an access
                       authorization to the level of the facility clearance or
                       safeguards and security activity;

                  4    be approved by the Office of Safeguards and Security
                       when a vacancy occurs due to the resignation or removal
                       of a trustee and a successor trustee is appointed by
                       the remaining trustees;

                  5    prior to being accepted as trustees by the Office of
                       Safeguards and Security, be advised by the Office of
                       Safeguards and Security of the duties and their
                       responsibilities on behalf of DOE to insulate the
                       cleared U.S. organization from the foreign person(s),
                       and indicate, in writing, their willingness to accept
                       this responsibility.

             (d)  The voting trust agreement may, however, limit the authority
                  of the trustees by requiring approval from the foreign
                  stockholder(s) with respect to the following.

                  1    The sale or disposal of the cleared U.S. organization's
                       assets or a substantial part thereof.

                  2    Pledges, mortgages, or other encumbrances on the
                       capital stock they hold in trust.

                  3    Corporate mergers, consolidations, or reorganizations.

                  4    The dissolution of the cleared U.S. organization.

                  5    The filing of a bankruptcy petition.

             (e)  Trustees must assume full responsibility for the voting
                  stock and for exercising all management prerogatives
                  relating thereto in such a way as to ensure that the foreign
                  stockholder(s), except for the approvals enumerated above,
                  will be effectively insulated from the cleared U.S.
                  organization and continue solely in the status of
                  beneficiaries.

             (f)  The Certification and Visitation Approval Procedure
                  Agreement of paragraph 11b(3) is required under this
                  arrangement.

        (2)  Proxy Agreement.  A proxy agreement is an acceptable method to
             negate or reduce risks associated with controlling foreign
             majority cases.  Under this arrangement, the voting rights of
             stock owned by foreign persons are conveyed to proxy holders by
             an irrevocable proxy agreement.  Legal title to the stock remains
             with the foreign persons.  All other provisions of the voting
             trust agreement as they apply to trustees (see paragraph 11b(1))
             and the terms of the agreement shall apply to the proxy holders.
             Conditions for consideration of use of a proxy agreement are the
             same as required for a voting trust agreement.  Proxy agreements
             must be coordinated with General Counsel.

        (3)  Visitation Approval Procedure Agreement.  In every case where a
             voting trust agreement or proxy agreement is employed to negate
             or reduce risks associated with foreign ownership, a visitation
             approval procedure agreement shall be executed between the
             cleared U.S. organization, the foreign persons, the Office of
             Safeguards and Security, and as appropriate, trustees, proxy
             holders, or other designated individuals.  The visitation
             approval procedure agreement must identify who may visit, for
             what purposes, when advance approval is necessary, and the
             approval authority.  The cleared U.S. organization shall submit
             individual requests to the approval authority for each visit.
             The visitation approval procedure agreement shall provide that,
             as a general rule, visits between foreign stockholder(s) and the
             cleared U.S. organization are not authorized; however, as an
             exception to the general rule, the approval authority may approve
             such visits in connection with regular day-to-day business
             operations pertaining strictly to purely commercial products or
             services and not pertaining to contracts requiring access
             authorization(s).

        (4)  Special Security Agreement and Security Control Agreements.  The
             Special Security Agreement and the Security Control Agreements
             are substantially identical arrangements that impose substantial
             industrial security and export control measures within an
             institutionalized set of corporate practices and procedures;
             require active involvement of senior management and certain Board
             members in security matters (who must be cleared, U.S. citizens);
             provide for the establishment of a Government Security Committee
             to oversee classified and export control matters; and preserve
             the foreign stockholder's right to be represented on the Board
             with a direct voice in the business management of the company
             while denying unauthorized access to classified information.

             (a)  The Special Security Agreement may be considered to negate
                  or reduce the FOCI for a U.S. organization effectively owned
                  or controlled by a foreign person.  However, access to
                  proscribed information is permitted only with the written
                  permission of the agency with classification or control
                  jurisdiction over the proscribed information (e.g., NSA for
                  COMSEC, DCI for SCI).  A determination to disclose
                  proscribed information to a company cleared under a Special
                  Security Agreement requires that a favorable national
                  interest determination be rendered prior to contract award.
                  Additionally, DOE must have entered into a General Security
                  Agreement with the foreign government involved (that is the
                  country to which the foreign ownership stems).

             (b)  The Security Control Agreement may be considered to negate
                  or reduce the FOCI for an organization not effectively owned
                  or controlled by a foreign person.  Limitations on access to
                  classified information are not required under a Security
                  Control Agreement.

12. REQUIREMENTS:  ANNUAL REVIEWS AND COMPLIANCE.

    a.  Annual Review.  Representatives of the Lead Responsible Office shall
        meet annually with senior management officials of organizations
        operating under a Voting Trust Agreement, Proxy Agreement, Special
        Security Agreement, or Security Control Agreement to review the
        effectiveness of the pertinent security arrangement and to establish
        common understanding of the operating requirements and how they will
        be implemented within the cleared organization.

    b.  Annual Certification.

        (1)  At the end of each year of operation, the trustees, proxy
             holders, or other principals as appropriate of those
             organizations operating under a DOE-approved Voting Trust
             Agreement, Proxy Agreement, Special Security Agreement, or
             Security Control Agreement shall submit to the Lead Responsible
             Office an annual implementation and compliance report.  Failure
             of the cleared U.S. organization to ensure compliance with the
             terms of the applicable security arrangement may result in the
             organization's facility clearance being suspended pending
             resolution of the FOCI.

        (2)  Each contractor holding a facility clearance shall certify
             annually to the Lead Responsible Office that (i) no significant
             changes have occurred in the extent and nature of FOCI that would
             affect the organization's answer to the questions provided in its
             FOCI representations; (ii) no changes have occurred in the
             organization's ownership; and (iii) no changes have occurred in
             the organization's officers, directors, and executive personnel.

        (3)  When the contractor is controlled by parent organizations that
             have been excluded, the contractor must also provide annually to
             the Lead Responsible Office written certification from an
             authorized official from each such excluded parent that (i) no
             significant changes have occurred in the extent and nature of
             FOCI that would affect the organization's answers to the
             questions provided in its FOCI representations; (ii) no changes
             have occurred in the organizations's ownership; and (iii) no
             changes have occurred in the organization's officers, directors,
             and executive personnel.

13. CONTACT.  Comments and inquiries regarding this chapter may be directed to
    the Technical and Operations Security Program Manager, telephone  (301)
    903-5217.

                                  CHAPTER VII

                 INCIDENTS OF SAFEGUARDS AND SECURITY CONCERN


1.  OBJECTIVES.

    a.  Programs and procedures shall be established to deter, detect, and
        ensure the prompt reporting of incidents of safeguards and security
        concern to DOE.

    b.  A systematic inquiry shall be conducted to review the circumstances
        surrounding an incident of safeguards and security concern to develop
        all pertinent information and to determine whether an infraction,
        criminal violation, or loss has occurred.  Inquiries shall not be used
        as a means of holding in abeyance a decision to initiate a full-scale
        investigation.

2.  APPLICABILITY.  Incidents of safeguards and security concern are events
    that, at the time of occurrence, have yet to be determined to be a
    violation of law, but that are of such concern to the safeguards and
    security program as to warrant immediate review, inquiry, and subsequent
    assessment and reporting.

    a.  Safeguards and security representatives may conduct preliminary
        inquiries of incidents of Safeguards and Security concerns, however,
        they shall not investigate criminal violations except when DOE
        investigators are deputized agents of State or local law enforcement
        agencies.  Such deputized agents shall consult with the Federal Bureau
        of Investigation when investigating criminal violations involving DOE
        and contractor activities, operations, or personnel.

    b.  When an inquiry establishes that an alleged or suspected violation of
        law involving a national security interest has occurred, the
        appropriate DOE Element shall refer the incident to the Federal Bureau
        of Investigation and/or the appropriate law enforcement agency.

    c.  When an inquiry establishes credible information that fraud, waste
        and/or abuse has occurred, which does not involve a national security
        interest has occurred, the Office of the Inspector General shall be
        notified for information and/or action.

    d.  When an inquiry establishes that a potential compromise or
        unauthorized disclosure of classified information has occurred, the
        applicable provisions of DOE O 471.2, INFORMATION SECURITY PROGRAM,
        shall be followed.

    e.  Employees with information regarding possible fraud, waste, abuse, or
        other forms of wrongdoing in the Department's programs or operations
        shall inform the Inspector General immediately upon obtaining such
        information.


3.  REQUIREMENTS.

    a.  Safeguards and security directors shall ensure that inquiries are
        conducted to establish the circumstances surrounding as suspected or
        alleged criminal violation involving a national security interest or
        loss involving a national security interest.  The authority to conduct
        such inquiries remains with the Head of the Field Element and, in the
        case of Headquarters, with the Office of Safeguards and Security.

        (1)  Inquiry officials (with previous inquiry experience) familiar
             with appropriate policies and procedures shall be appointed in
             writing by the Head of the DOE Element.  The inquiry official is
             not authorized to detain individuals for interviews or obtain
             sworn statements; however, he/she may conduct consensual
             interviews and obtain signed statements.  The inquiry official is
             responsible for maintaining records of inquiry (e.g., log of
             events, notes, recordings, statements).

        (2)  Whenever possible, the responsibility for an incident shall be
             fixed upon an individual rather than upon a position or office.
             When individual responsibility cannot be established, and the
             facts show that a responsible official allowed conditions to
             exist that led to an incident of safeguards and security concern,
             responsibility shall be fixed upon such responsible official.
             Infractions shall be issued in accordance with DOE O 471.2 for a
             violation of procedures after a determination has been made by
             the Department of Justice or appropriate authority not to
             prosecute the violation.

        (3)  An inquiry shall be instituted within 48 hours from the initial
             report of the alleged or suspected violation to the Office of
             Safeguards and Security and cognizant Secretarial Officer.

    b.  Loss, compromise, or unauthorized disclosure of classified
        information, and alleged or suspected violations of laws pertaining to
        safeguards and security shall be reported promptly through the
        appropriate DOE Element to the Office of Safeguards and Security, the
        Secretarial Officer, and when appropriate, the local Federal Bureau of
        Investigation office.

        (1)  The method and sequence for reporting safeguards and security
             incidents will depend upon the situation as well as the immediacy
             of action that may be required to mitigate the situation.

        (2)  Unclassified reports and notifications of safeguards and security
             incidents shall be made in accordance with DOE O 232.1 and DOE O
             471.2.  Reports that contain classified information shall contain
             all of the information required by DOE O 232.1, but shall not be
             entered on the Occurrence Reporting and Processing System.
             Classified reports shall be sent by approved methods for
             transmitting classified information.  Reporting intervals for
             incidents of safeguards and security concern must be in
             accordance with DOE O 232.1.

    c.  Federal Bureau of Investigation personnel shall be admitted to areas
        and afforded access to Restricted Data or other classified information
        as necessary for them to perform their duties.  Such personnel shall
        be provided escort, as necessary, for safety reasons or to facilitate
        the investigative progress.

        (1)  When Federal Bureau of Investigation personnel are given access
             to classified information, they will be immediately advised of
             the classification and the category of the information.
             Appropriate document and data classification, marking
             information, and protection and control requirements shall be
             made available to them through local liaison channels.

        (2)  The availability of DOE standard security badges and advance
             notification arrangements shall be determined by agreement
             between the DOE and Federal Bureau of Investigation organizations
             involved.  This authority does not extend to Sensitive
             Compartmented Information, which requires special access
             approval.

4.  CONTACT.  Comments and inquiries on this chapter may be directed to the
    Technical and Operations Security Program Manager at (301) 903-5217.

                                 CHAPTER VIII

                     CONTROL OF CLASSIFIED VISITS PROGRAM

1.  OBJECTIVES.

    a.  To ensure that only authorized persons with the appropriate access
        authorization and need-to-know receive access to classified
        information in connection with visits involving the release or
        exchange of classified information.

    b.  To limit foreign visitor access to classified information to that
        prescribed in approved Agreements for Cooperation and other bilateral
        security agreements.

2.  APPLICABILITY.  The requirements in this chapter apply to DOE personnel,
    covered contractors, and others who visit DOE facilities that entail
    access to Restricted Data and other classified information, and to DOE
    personnel and covered contractors that visit other specified Federal
    agencies.

3.  REQUIREMENTS:  CLASSIFIED VISIT PROCEDURES.  Basic procedures for the
    control of all classified visits shall ensure the following:

    a.  Verification of the identity and need-to-know of the visitor.

    b.  The person's clearance or access authorization is at least equal to
        the classification of the information to which access is desired.

    c.  Observance of limitations on access to classified information or
        facilities.  Access to certain programs or information is handled in
        accordance with the following:


        (1)  Weapons Production Programs.  For access to weapons programs,
             nuclear materials production facilities, or sensitive nuclear
             materials production information, requests shall be referred to
             the Assistant Secretary for Defense Programs.

        (2)  Uranium Enrichment.  For access to uranium enrichment plants or
             facilities engaged in uranium enrichment technology development,
             including advanced isotope separation technology, the request
             shall be referred to the Office of Uranium Programs.

        (3)  Naval Nuclear Propulsion Information.  When access is desired to
             Naval Nuclear Propulsion Information, the request shall be
             referred to the Office of Naval Reactors.

    d.  Timely notification of visits.

    e.  Prompt transmittal of "Request for Visit or Access Approval" (DOE F
        5631.20), when applicable.  (This form is no longer required for DOE
        and DOE contractor employees who visit DOE facilities.  These
        employees may use their DOE picture identification badge as evidence
        of a DOE access authorization.  However, DOE F 5631.20 is still
        required for programmatic approval for sigma access and for employees
        of other Federal agencies who visit DOE facilities.)

    f.  Timely notification to those concerned for approval of access to
        weapon data (classified Secret or Top Secret), Top Secret information
        (nonweapon data), sensitive nuclear materials production information,
        atomic vapor laser isotope separation technology, uranium enrichment
        technology, or facilities specifically designated by Headquarters
        Elements.

    g.  Use of continuing visitor access approval as necessary for individuals
        who visit DOE facilities frequently.  This approval cannot exceed a
        period of 1 year, but the approval may be renewed annually, if
        necessary.

    h.  Operational approval of visits.

    i.  Maintenance of records of all classified visits by non-DOE personnel
        and foreign nationals.

    j.  Referral to the Director of Public and Consumer Affairs of any
        nonroutine, written, or visual material proposed for public release
        resulting from visits.

    k.  The Director of Safeguards and Security shall maintain liaison with
        the Department of Defense, National Aeronautics and Space
        Administration, and other Federal agencies in order to:

        (1)  ensure that DOE is notified of changes in those positions whose
             occupants are authorized to initiate access requests; and

        (2)  provide assistance in identifying DOE Elements and Federal
             offices to which specific requests shall be directed.

4.  REQUIREMENTS:  CLASSIFIED VISITS BY DOE EMPLOYEES, CONTRACTORS AND
    SUBCONTRACTORS.

    a.  The visitor is responsible for making administrative arrangements and
        obtaining approval from the Departmental Element, as appropriate.
        (The authority granting such approval is responsible for informing the
        office to be visited.)

    b.  Contractors or subcontractors with mutual program interests may be
        authorized, subject to the limitations in subparagraph c below, to
        arrange for visits without obtaining DOE approval if such
        authorization will be advantageous to the DOE.

    c.  The following procedures are required when access to weapon data
        (classified Secret or Top Secret), Top Secret information (nonweapon
        data), sensitive nuclear materials production information, inertial
        confinement fusion data, atomic vapor laser isotope separation
        technology, uranium enrichment technology, or specific facilities
        designated by Headquarters Elements having program direction is
        required.

        (1)  Approval of the access during visits under the auspices of a
             Headquarters Element shall be obtained from the Headquarters
             Element exercising jurisdiction over the facility or office to be
             visited.

        (2)  Approval of this access during visits under the auspices of Field
             Elements shall be obtained from the responsible Field Element for
             field visits and for visits to Headquarters from the organization
             being visited.

5.  REQUIREMENTS:  VISITS TO DEPARTMENT OF DEFENSE AND NATIONAL AERONAUTICS
    AND SPACE ADMINISTRATION FACILITIES.  Both agencies accept DOE access
    authorizations for Restricted Data and other classified information under
    their jurisdiction on the same basis as DOE, provided access authorization
    and "need-to-know" are properly certified.

    a.  DOE Top Secret approvals shall be specifically certified in the event
        access to Top Secret information is required.

    b.  A DOE F 5631.20, "Request for Visit or Access Approval" shall be
        forwarded directly to the military or civilian official with
        jurisdiction over the information to which access is desired.

    c.  Any exchange of Restricted Data occurring during the course of the
        visit shall be accomplished as stated in paragraph 7 below.

6.  REQUIREMENTS:  RESTRICTED DATA VISITS BY NUCLEAR REGULATORY COMMISSION
    EMPLOYEES.

    a.  Visits to DOE facilities by Nuclear Regulatory Commission employees,
        consultants, contractors, or subcontractors who require access to
        weapon data, sensitive nuclear materials production information,
        atomic vapor laser isotope separation technology, or uranium
        enrichment technology, or entry into a DOE classified weapon or
        production facility shall:

        (1)  be arranged through the respective Headquarters Element that will
             coordinate the visits;

        (2)  if to classified weapon or production facilities, have prior
             approval of the Assistant Secretary for Defense Programs;

        (3)  have DOE F 5631.20 or the Nuclear Regulatory Commission
             equivalent with necessary clearances certified by the Director of
             Security, Nuclear Regulatory Commission.

    b.  Visits involving access to other Restricted Data not requiring prior
        approval from the appropriate Headquarters official exercising
        jurisdiction over the facility or office to be visited may be arranged
        directly by Nuclear Regulatory Commission with the cognizant DOE
        Element, provided this procedure does not conflict with the existing
        visitor control procedures of the division or office having program
        responsibility.  A DOE F 5631.20 or Nuclear Regulatory Commission
        equivalent is required.

    c.  The Nuclear Regulatory Commission identification badge shall not be
        used as authority for visits in lieu of the aforementioned specific
        visit approval arrangements.

7.  REQUIREMENTS:  RESTRICTED DATA VISITS BY DEPARTMENT OF DEFENSE AND
    NATIONAL AERONAUTICS AND SPACE ADMINISTRATION EMPLOYEES.

    a.  Access to Restricted Data is contingent upon submission of a DOE F
        5631.20, National Aeronautics and Space Administration Form-405,
        "Request for Access Approval," or a memorandum or electronic message
        signed by or in the name of the certifying official.  The request
        shall be forwarded for approval or other action to the DOE official
        with jurisdiction over the information to which access is desired.

    b.  The request for access shall include the following:

        (1)  Name(s) of person(s) and organization represented (if not Armed
             Forces, relationship to the Department of Defense or National
             Aeronautics and Space Administration).

        (2)  Facility and information to which access is desired.  Access to
             critical nuclear weapon design information must be specified when
             it is required.

        (3)  The security clearance or access authorization status of each
             person, including clearance date.

        (4)  Purpose of visit and certification that the person needs the
             access in the performance of duty.

        (5)  Anticipated date of visit and names of persons to be visited, as
             appropriate.  (If a conference is involved, the date, place, and
             sponsor of the conference shall be specified.)

        (6)  Citizenship, date of birth, and social security number.

        (7)  For requests from National Aeronautics and Space Administration,
             a certification that the matter to which access is desired
             relates to "aeronautical and space activities."

    c.  The approving official must possess or have been delegated the
        authority to approve such access.

    d.  Control of access by members of the Armed Services or by Department of
        Defense or National Aeronautics and Space Administration personnel or
        contractors to Restricted Data in the custody of another Federal
        agency is the responsibility of the appropriate official or his/her
        designee named in Chapter VIII, Attachment VIII-1.

    e.  Headquarters Elements shall retain for 3 years a copy of each visit
        request they have approved.  Separate records shall be maintained for
        approvals of access under emergency conditions.

8.  REQUIREMENTS:  OTHER CLASSIFIED VISITS BY DEPARTMENT OF DEFENSE AND
    NATIONAL AERONAUTICS AND SPACE ADMINISTRATION EMPLOYEES .

    a.  Requests for such visits to DOE and contractor and subcontractor
        facilities are approved by Heads of Field Elements or, in the case of
        Headquarters Elements, by the head of the element concerned after
        ensuring that such visitor possesses appropriate military or National
        Aeronautics and Space Administration security clearance and requires
        the information in the performance of his/her duties.

    b.  Certification of security clearance may be made by memorandum,
        electronic message, DOE F 5631.20, or National Aeronautics and Space
        Administration Form 405.

9.  REQUIREMENTS:  CLASSIFIED VISITS BY EMPLOYEES OF OTHER FEDERAL AGENCIES.

    a.  Requests for visits to DOE facilities by employees, contractors, or
        subcontractors of Federal agencies other than the Department of
        Defense, National Aeronautics and Space Administration, or Nuclear
        Regulatory Commission are approved by the Field Elements or, for
        Headquarters, by the organization concerned.

    b.  Restricted Data may not be exchanged with persons in this category
        unless they possess appropriate DOE access authorization.

    c.  Classified information other than Restricted Data may be exchanged
        with such individuals if they possess Q or L access authorizations or
        security clearances under the provisions of Executive Order 10450,
        "Security Requirements for Government Employment," and require the
        information in the performance of their duties.

10. REQUIREMENTS:  CONGRESSIONAL AND STATE CLASSIFIED VISITS.

    a.  Requests for visits to DOE, contractor, or subcontractor facilities by
        members or employees of Congress or congressional committees and by
        Governors or their staffs may be approved by Heads of DOE Elements
        provided the following are established.

        (1)  The visitors' identities.

        (2)  Access authorization or security clearance.

        (3)  "Need-to-know."

    b.  The Assistant Secretary for Congressional and Intergovernmental
        Affairs shall be advised of requests and action taken on the requests
        for such visits.

11. REQUIREMENTS:  EMERGENCY VISITS TO CLASSIFIED AREAS AND FACILITIES.

    a.  In an emergency, requests for visit approval may be made by telephone
        or electronic message.

    b.  Telephonic requests must be confirmed by memorandum or electronic
        message.

12. REQUIREMENTS:  CLASSIFIED VISITS BY FOREIGN NATIONALS TO DOE FACILITIES.
    Classified visits by foreign nationals sponsored by a foreign government
    shall be arranged as follows.

    a.  If the visit is in connection with the military application of atomic
        energy under sections 144b and c(1) and 91c(1) or (4) of the Atomic
        Energy Act of 1954, as amended, the  Assistant Secretary for Defense
        Programs shall make all arrangements for the visit, including
        appropriate approvals and security assurances.

    b.  If the visit is to the Office of Declassification in connection with
        the information classification program under DOE 5650.2B, the Director
        of Declassification shall make arrangements for the visit, including
        appropriate approvals and security assurances.

    c.  If the visit is not in connection with programs covered in the above
        paragraphs, the Deputy Assistant Secretary for International Energy
        Policy shall arrange for the visit in concert with the appropriate
        Headquarters staff other than those listed above, and shall coordinate
        with the Director of Safeguards and Security for the necessary
        security assurances.

    d.  If the visit will include discussions on naval nuclear propulsion
        matters, the Director of Naval Reactors shall be informed and review
        the visit for approval.  The Director of Safeguards and Security may
        be requested to obtain the necessary security assurances.

    e.  Security assurances received under the above paragraphs shall be
        retained for 5 years.

13. CONTACT.  Comments and inquiries on this chapter may be directed to the
    Personnel Security Policy Program Manager at (301) 903-3200.

                           ACCESS TO RESTRICTED DATA
                    IN POSSESSION OF OTHER FEDERAL AGENCIES


The following Federal officials are authorized to permit their Federal and
contractor employees possessing DOE access authorizations to grant access to
Restricted Data in their possession to members of the Armed Forces and
Department of Defense and National Aeronautics and Space Administration
employees and their contractors, in accordance with section 143 of the Atomic
Energy Act of 1954, as amended, and subsection 304(b) of the National
Aeronautics and Space Act of 1958.

    The Assistant to the President
    Director, Office of Management and Budget
    Executive Secretary, National Security Council
    Director, Central Intelligence Agency
    Director, Federal Emergency Management Agency

    Secretary of State
    Secretary of the Treasury
    Attorney General of the United States
    Secretary of the Interior
    Secretary of Agriculture
    Secretary of Commerce
    Secretary of Labor
    Secretary of Health and Human Services
    Secretary of Transportation
    Secretary of Education

    Chairman, Federal Communications Commission
    Administrator, Agency for International Development
    President, National Academy of Sciences and National Research Council

    Director, National Science Foundation
    Chairman, Tennessee Valley Authority
    Director, United States Information Agency

    Comptroller General of the United States

                                  CHAPTER IX

                                SURVEY PROGRAM


1.  POLICY/OBJECTIVES.  To ensure proper levels of protection consistent with
    Departmental standards to prevent unacceptable, adverse impact on national
    security or on the health and safety of DOE and contract employees, the
    public, or the environment are afforded safeguards and security
    activities.  The adequacy of safeguards and security measures shall be
    validated through various means, such as:

    a.  surveys conducted by the DOE Surveying Office prior to initiation of
        safeguards and security activities and periodically thereafter;

    b.  periodic facility self-assessments;

    c.  program reviews by Facility Survey Operations Managers and other
        appropriate Departmental Elements; and

    d.  inspections and assessments by the Deputy Assistant Secretary for
        Independent Oversight and Appraisals.

2.  APPLICABILITY.  The Survey Program applies to all facilities that are
    eligible to have access to, use, store, or transmit nuclear and other
    hazardous material presenting a potential radiological or toxicological
    sabotage threat and/or classified information, that require access
    authorizations, or that possess over $5,000,000 of DOE property, exclusive
    of facilities and land values.

3.  TYPES OF SURVEYS.

    a.  Initial.  A comprehensive survey conducted at the facility before
        granting approval.

    b.  Periodic.  A comprehensive survey conducted at the facility at
        scheduled intervals.

    c.  Special.  A survey conducted at the facility for a specific, limited
        purpose such as for a technical security reason (i.e., Technical
        Surveillance Countermeasures surveys or services), a detailed review
        of a problem area, an unannounced survey, shipment of nuclear
        materials or classified material, or change in the contractor
        operating a government-owned facility.  Shipments between sites by
        rail, truck, air, or ship are subject to survey unless the shipment is
        made via commercial carrier licensed by the Nuclear Regulatory
        Commission.

    d.  Termination.  A survey of a facility conducted when all safeguards and
        security activities have been removed, access authorizations
        terminated, and close out of required records accomplished, to ensure
        proper disposition of classified matter and nuclear and other
        hazardous material presenting a potential radiological or
        toxicological sabotage threat.  Termination of facility clearances for
        facilities possessing Top Secret matter or special nuclear material
        require an onsite termination survey.  For other facilities,
        termination may be by onsite survey or correspondence.

4.  SCOPE OF SURVEYS.

    a.  Compliance.  The compliance segment of a facility survey reflects the
        status of a facility's safeguards and security system as measured
        against implementation of applicable Federal statutes, regulations,
        policy, and approved safeguards and security plans.

    b.  Performance.  The performance segment of a facility survey reflects
        the degree to which the elements of the safeguards and security system
        meet protection objectives based upon operational testing of the
        system.

    c.  Comprehensive.  Comprehensive surveys cover the protection afforded
        safeguards and security activities and interests within a facility,
        including an evaluation of the adequacy and effectiveness of
        safeguards and security programs and a thorough examination of
        policies and procedures to ensure compliance and performance.  All
        applicable topical areas, identified on DOE F 5634.1, "Safeguards and
        Security Survey Report," must be surveyed, except as identified in
        paragraph 5c.

    d.  Other.  The scope of special and termination surveys shall be
        determined by coordination between the Lead Responsible Office and the
        Surveying Office.  The basis for scope determinations shall be
        established by the nature or status of operations at the facility,
        activity, or element being surveyed.  These surveys need not cover all
        topical areas identified on DOE F 5634.1.

5.  REQUIREMENTS:  FREQUENCY OF SURVEYS.

    a.  Initial surveys are not required for non-possessing facilities.
        Termination surveys of non-processing facilities are not required;
        however, a review shall be conducted and documented to verify that
        access authorizations have been terminated.

    b.  Periodic surveys shall be conducted in accordance with the following
        schedule.

        (1)  Facilities possessing classified matter or Category III or
             greater nuclear and other hazardous material presenting a
             potential radiological or toxicological sabotage threat shall be
             surveyed once every 12 months.

        (2)  Facilities possessing property protection interests shall be
             surveyed once every 24 months.

        (3)  Facilities that do not possess classified matter but do issue
             access authorizations to employees to satisfy contractual
             obligations shall be reviewed at least once every 5 years and not
             necessarily through an on-site survey.  The review shall validate
             access authorizations and FOCI information.

        (4)  For facilities containing only Category IV nuclear materials as
             defined in DOE 5633.3B, the materials control and accountability
             topical area shall be surveyed at least once every 24 months.  If
             the total inventory consists entirely of source material, less
             than 10 tons of heavy water, less than 350 grams of special
             nuclear materials, or any combination of these, a survey of the
             materials control and accountability topical area is not
             required.

    c.  The results of prior surveys may affect the scheduling frequency.  An
        extended survey schedule (up to  24 months) may be implemented by the
        Surveying Office after consultation with the Lead Responsible Office
        if the facility has:

        (1)  a facility security staff trained and knowledgeable in safeguards
             and security requirements, as evidenced by past performance in
             surveys;

        (2)  an ongoing self-assessment program covering all survey topics and
             sub-topics with the results reported to the Lead Responsible
             Office;

        (3)  no significant deficiencies resulting from self-assessments or
             surveys (including no less than a satisfactory rating at the
             topic levels); and

        (4)  an approved site safeguards and security plan.

        Schedules for facilities with Category I special nuclear materials may
        be extended if all conditions above have been met.

    d.  Reviews, including inspections, conducted by Departmental Elements
        other than the Surveying Office or other Government oversight offices,
        may be used to meet survey requirements.  Topics and subtopics on DOE
        F 5634.1 that are not addressed during reviews must be surveyed by the
        Surveying Office.  When using reviews to meet the requirements of the
        survey, the following guidelines shall be followed.

        (1)  The review must have been conducted within the surveyed period.

        (2)  Portions of the review used must be attached to the survey.

        (3)  Topics and subtopics not covered by the review must be surveyed.

        (4)  If ratings were not assigned, ratings must be assigned for those
             reviews that are used.  After the review is conducted, the
             Surveying Office shall analyze the impact of any deficiencies and
             assign ratings.

    e.  Special surveys shall be conducted as determined by the Lead
        Responsible Office.

6.  REQUIREMENTS:  SURVEY CONDUCT.

    a.  Survey Responsibility.  The Lead Responsible Office must ensure
        surveys are conducted.  The responsibility for conducting surveys may
        be transferred to another Surveying Office and documented on DOE F
        5634.3.  Secretarial Officers shall function as the Surveying Office
        for those offices identified in Chapter I, paragraph 7, by ensuring
        that periodic surveys are completed.  Lead Responsible Offices for
        facilities that ship nuclear materials are responsible for conducting
        shipment surveys.

    b.  Survey Team Composition.  Survey teams are composed of inspectors and
        support service personnel.  All survey teams shall be led by a Federal
        employee.  Team personnel for surveys shall possess qualifications,
        experience, and training sufficient to accomplish effective and
        thorough surveys.  New inspectors must attend basic survey training.

    c.  Planning.  The survey process and requirements shall be documented in
        locally approved survey guidelines.  Surveying Offices shall
        coordinate planning with the Lead Responsible Office and other
        organizations with registered safeguards and security activities.

    d.  Coordination of Surveys.

        (1)  Safeguards and security surveys should be conducted in an
             integrated manner.  If performed separately, the Surveying Office
             shall document the responsibility for each survey activity and
             coordinate submission of a single survey report that includes a
             composite facility rating.

        (2)  Survey field activities conducted separately must be completed
             within 30 working days of each other, except as identified in
             paragraph 3c above.

    e.  Validation.  To ensure accuracy, survey results shall be validated by
        discussion, observations, or exercises during the survey period.

    f.  Closeout.  A final closeout briefing shall be conducted with the
        surveyed organization to present, at a minimum, the following items.

        (1)  Each finding.

        (2)  Topical ratings and the overall composite rating.

        (3)  Corrective action reporting requirements.

7.  REQUIREMENTS:  SURVEY REPORTS.

    a.  Report Content.   Reports shall describe the conduct, results, and
        evaluation of the safeguards and security program and shall include
        the following minimum requirements.

        (1)  A completed DOE F 5634.1.

        (2)  An executive summary containing:

             (a)  a statement reflecting survey scope, period of coverage, and
                  survey methodologies used;

             (b)  a description of the facility, function, and scope of
                  operations;

             (c)  a discussion of major points that had, or might have, a
                  significant effect on the facility's safeguards and security
                  program, including strengths, weaknesses, and the
                  correlation of results from the survey; and

             (d)  the overall composite facility rating with supporting
                  rationale.

        (3)  The report, which must include:

             (a)  a copy of the current DOE F 5634.3;

             (b)  identification of each active DOE F 5634.2 (or DD 254);

             (c)  a description of the facility's safeguards and security
                  program by topical area as identified on the DOE F 5634.1;

             (d)  the methodology used to evaluate the facility;

             (e)  a description of the function and scope of operations and
                  the protective measures employed (descriptions in safeguards
                  and security plans may be referenced when no changes have
                  occurred);

             (f)  identification of all new findings;

             (g)  the status of corrective actions for all open findings and
                  status of all open and closed findings from the previous
                  survey;

             (h)  concluding analysis of each topical area; and

             (i)  a justification and rationale of the factors responsible for
                  the composite facility rating.

    b.  Termination Survey Reports.  Termination survey reports shall include
        the following minimum information/reported action.

        (1)  Verification of non-possession of classified matter or nuclear
             and other hazardous material presenting a potential radiological
             or toxicological sabotage threat.

        (2)  Verification that personnel access authorizations no longer
             needed have been canceled and validation that termination
             statements have been completed by affected employees.

        (3)  Verification of deletion of all safeguards and security
             activities.

        (4)  Termination of facility clearance.

    c.  Distribution.  Within 60 working days after final closeout of the
        survey, the Surveying Office shall distribute the final survey report
        to all Departmental Elements with a registered activity and to all
        appropriate Headquarters Elements.  For Departmental Elements or other
        government agencies with limited safeguards and security activities,
        survey results may be transmitted by memorandum.

8.  REQUIREMENTS: RATING SYSTEM.  The composite facility rating shall be based
    on the effectiveness and adequacy of the safeguards and security at a
    facility and reflect a balance of performance and compliance as determined
    by the Surveying Office.  Ratings are not assigned for termination
    surveys.

    a.  Types of Ratings.

        (1)  Satisfactory.  The safeguards and security element being
             evaluated meets protection objectives or provides plausible
             assurance that protection needs are being met.

        (2)  Marginal.  The safeguards and security element being evaluated
             only partially meets protection objectives or provides
             questionable assurance that protection needs are being met.

        (3)  Unsatisfactory.  The safeguards and security element being
             evaluated does not meet protection objectives or does not provide
             adequate assurance that protection needs are being met.

    b.  Basis for Ratings.

        (1)  Ratings are based on conditions existing at the end of survey
             activities.  Ratings shall not be based upon future or planned
             corrective actions.

        (2)  If corrective actions are taken before assignment of the survey
             rating at closeout, the final rating shall reflect validated
             corrective actions only.

        (3)  Marginal or unsatisfactory ratings in any topical area shall be
             based on validated weaknesses in the safeguards and security
             system or deficiencies in performance in an operational area.
             Failure to comply with procedural documentation requirements, of
             and by itself, shall not normally be the basis for a reduction in
             a rating.

    c.  Use of Marginal Ratings.  A facility composite rating or topical area
        rating shall not be marginal for consecutive survey periods unless one
        of the following conditions apply.

        (1)  The previous survey that resulted in a marginal rating identified
             different deficiencies and reasons for the rating.

        (2)  The deficiencies and reasons that were the basis for the previous
             marginal rating were related to the completion of a major
             line-item construction project or upgrade program.  In that case,
             acceptable interim measures must have been implemented and
             physically validated pending completion of the project.  These
             interim measures and milestones for construction completion shall
             be documented in the survey report.

        (3)  If neither of the above conditions apply, an unsatisfactory
             rating shall be assigned.

    d.  Survey Report.  Ratings shall be based on the impact of deficiencies.
        All ratings must be stated and justified in the survey report.

9.  REPORTING REQUIREMENTS:  MARGINAL AND UNSATISFACTORY COMPOSITE RATINGS.
    Reporting requirements identified below are initiated by the final close-
    out briefing.

    a.  Marginal.  Within 15 working days following a survey closeout that
        results in an overall composite rating of marginal, the Lead
        Responsible Office shall notify the Office of Safeguards and Security,
        and the applicable Departmental Elements.  Notification shall contain
        the following.

        (1)  Identification of the facility (including both the facility code
             and reporting identification symbol - if applicable).

        (2)  A list of findings describing the deficiencies.

        (3)  A description of corrective actions taken to date or planned with
             associated milestones.

        (4)  A justification statement addressing the overall composite rating
             and status of the safeguards and security program at the
             facility.

        (5)  A statement identifying risks or vulnerabilities.

        (6)  A statement acknowledging physical validation of adequacy of
             interim corrective actions taken to date.

        (7)  A statement outlining steps that shall lead to the upgrading of
             the overall composite rating to satisfactory.

        If the Surveying Office is not the same as the Lead Responsible
        Office, the Surveying Office shall notify the Lead Responsible Office
        of results and rating(s) within 72 hours of survey closeout.  The Lead
        Responsible Office shall then take corrective and notification actions
        outlined in this chapter or authorize the Surveying Office to take
        those actions.

        If the Surveying Office is unable to contact the Lead Responsible
        Office and a serious threat exists or is imminent, the Surveying
        Office shall take action to protect safeguards and security activities
        until the Lead Responsible Office can be notified.  Subsequent action
        shall be taken on the basis of agreement between the two organizations
        and shall be fully documented in the survey report.

    b.  Unsatisfactory.  When a survey results in an overall composite rating
        of unsatisfactory, the Operations Office Manager of the Lead
        Responsible Office shall coordinate with Secretarial Officers and
        other Heads of Operations Offices within 24 hours to:

        (1)  take action to suspend the activity and/or the facility clearance
             pending remedial action or

        (2)  provide the rationale for continuing this critical operation to
             the Office of Security Affairs, the Office of Safeguards and
             Security, Secretarial Officers, and as directed, applicable
             Operations Offices.  In addition to providing the rationale, the
             Lead Responsible Office must identify those immediate interim
             corrective actions being undertaken to mitigate identified risks
             or vulnerabilities.

             If the Surveying Office is not the same as the Lead Responsible
             Office, the Surveying Office shall notify the Lead Responsible
             Office of the results and rating(s) within 8 hours of survey
             closeout.

             If the Surveying Office is unable to contact the Lead Responsible
             Office, action shall be taken to protect safeguards and security
             activities until the Lead Responsible Office can be notified.
             Subsequent action will be taken on the basis of agreement between
             the two organizations and shall be fully documented in the survey
             report.

    c.  Change of Rating.  When the Lead Responsible Office determines that
        the composite survey rating shall be upgraded, the Lead Responsible
        Office shall then notify the Office of Safeguards and Security and the
        appropriate Secretarial Officer.




10. REQUIREMENTS:  CORRECTIVE ACTIONS.

    a.  When a survey contains findings, the surveyed organization shall
        submit a response identifying corrective action(s) for each finding to
        the Responsible and Surveying Offices no later than 30 working days
        after formal receipt of findings.  The corrective action(s) should be
        based on documented root cause analysis, risk assessment, and cost-
        benefit analysis.

    b.  When a survey indicates a composite rating of satisfactory but
        contains findings requiring corrective action, the Lead Responsible
        Office shall enter the findings and status of corrective actions in
        the Safeguards and Security Information Management System and
        quarterly provide electronic status notification to the Office of
        Safeguards and Security, the appropriate Secretarial Officers, and the
        Surveying Office (if appropriate).

    c.  When a survey has a composite rating of marginal, the Lead Responsible
        Office shall notify the Director, Office of Safeguards and Security,
        the Surveying Office (if appropriate), and the applicable Operations
        Office and Secretarial Officer(s) within 15 working days after
        completion of the survey.

        (1)  The notification must address interim corrective actions taken,
             or to be taken, to correct identified risks or vulnerabilities.

        (2)  If interim corrective actions are instituted, the Surveying
             Office shall physically verify them for adequacy.

        (3)  If the Surveying Office is not the same as the Lead Responsible
             Office, the Surveying Office shall promptly notify the Lead
             Responsible Office of the rating.  The Lead Responsible Office
             shall then take appropriate corrective and notification actions
             outlined above or authorize the Surveying Office to take those
             actions.

        (4)  If the Surveying Office is unable to contact the Lead Responsible
             Office and a serious threat exists or is imminent, the Surveying
             Office shall take action to protect the safeguards and security
             interest(s) until the Lead Responsible Office is notified.
             Subsequent action shall be taken on the basis of agreement
             between the two organizations.

    d.  When a survey has a composite rating of unsatisfactory, and the rating
        indicates a significant vulnerability, such as unacceptable risk of
        special nuclear material theft, radiological sabotage, toxicological
        sabotage, or industrial sabotage or espionage, the Operations Office
        Manager shall coordinate with the cognizant Program Secretarial
        Officer 24 hours to:

        (1)  take action to shut down/suspend operation of the facility or
             activity, pending remedial action or

        (2)  apprise the cognizant Secretarial Officer and the Office of
             Safeguards and Security of the rationale for continuing this
             critical operation and identify those immediate interim
             corrective actions being undertaken to mitigate identified risks
             or vulnerabilities.

        For all other unsatisfactory ratings, the Operations Office Manager of
        the Lead Responsible Office shall notify the cognizant Secretarial
        Officer and the Office of Safeguards and Security within 15 working
        days of interim corrective actions taken, or to be taken, to correct
        identified risks or vulnerabilities.

    e.  When either a marginal or unsatisfactory composite rating is assigned,
        the Lead Responsible Office shall provide to the Office of Safeguards
        and Security and the applicable Operations Office and Secretarial
        Officer(s) quarterly status reports on completed or planned corrective
        actions (with associated milestone dates) until all have been
        completed.  When the Lead Responsible Office determines that the
        composite survey rating should be upgraded to satisfactory, the
        Surveying Office shall physically verify the completion and adequacy
        of corrective actions.  The Lead Responsible Office shall then notify
        the Director, Office of Safeguards and Security, and the Cognizant
        Secretarial Officer(s) that the rating should be upgraded.

    f.  A finding associated with a significant vulnerability shall not be
        considered closed until associated corrective action has been
        completed and the Office of Safeguards and Security and the
        Secretarial Officer(s) are notified.  A commitment by the facility to
        institute corrective action does not constitute completion of that
        corrective action.

11. CONTACT.  Comments and inquiries regarding this chapter may be directed to
    the Technical and Operations Security Program Manager at (301) 903-5217.

                                   CHAPTER X

                            SELF-ASSESSMENT PROGRAM


1.  OBJECTIVE.  A safeguards and security self-assessment program shall be
    implemented to ensure internal monitoring of compliance and performance
    with safeguards and security requirements.

2.  APPLICABILITY.  This program applies to Departmental and contractor
    facilities for which a DOE F 5634.3 is recorded.  The level of detail of
    the self-assessment may be specified by the Lead Responsible Office.

3.  REQUIREMENTS.

    a.  Self-assessment programs shall be conducted and documented for all
        approved facilities.  The self-assessment program shall:

        (1)  include reviews of all applicable DOE F 5634.1 topical and
             subtopical areas of the facility's safeguards and security
             program/system;

        (2)  be conducted between the periodic surveys conducted by the
             Surveying Office; and

        (3)  be conducted using personnel knowledgeable of the programmatic or
             topical area.

    b.  Self-assessment reports shall:

        (1)  address reviewed topical areas;

        (2)  be used as organizational management tools/aids in determining
             the status of safeguards and security performance and compliance
             with applicable safeguards and security Order requirements;

        (3)  be available for review by the Surveying Office during surveys;
             and

        (4)  list findings resulting from self-assessment activities.

    c.  Findings resulting from self-assessments shall be processed as
        follows.

        (1)  Reviewed during the surveys by the Surveying Office.

        (2)  Addressed by facility/organization management through a
             documented corrective action plan.

        (3)  Reviewed and the status of findings tracked until closed.

        (4)  Reported to the Lead Responsible Office if:

             (a)  a vulnerability to national security, classified
                  information, nuclear materials, or Departmental property
                  results, or may result, in a significant anomaly that could
                  have significant programmatic impact or embarrass the
                  Department; or

             (b)  the self-assessment is used to extend the Surveying Office's
                  periodic survey frequency.

        (5)  Documented in survey reports when deficiencies still exist and
             have not been adequately addressed.

4.  CONTACT.  Comments and inquiries regarding this chapter may be directed to
    the Technical and Operations Security Program Manager at (301) 903-5217.