Summary
A 39-year-old single mother was granted a security clearance despite concerns under Guideline F (Financial Considerations). The Statement of Reasons alleged 17 delinquent debts totaling $27,247, including collection accounts, a charged-off automotive loan, medical accounts, and $2,000 in delinquent state income taxes for the 2016 tax year.
The applicant's financial difficulties were attributed to circumstances beyond her control, specifically unemployment and medical emergencies. She demonstrated responsible actions to address these issues, including establishing payment plans and resolving several accounts.
The judge applied mitigating conditions, finding that the applicant's financial problems were unlikely to recur. Based on her current employment and proactive steps to manage her debts, the judge determined that she was eligible for national security eligibility and granted her a security clearance.
Why the Applicant Prevailed
- The applicant's financial issues were due to circumstances beyond her control, including unemployment and medical emergencies.
- She established payment plans and made significant progress in resolving her debts, demonstrating responsible financial behavior.
- The judge found that the likelihood of her financial problems recurring was minimal based on her current employment and actions taken.
Conditions Referenced
- AG ¶ 19(a)raisedInability to Satisfy Debts
- AG ¶ 19(c)raisedA History of Not Meeting Financial Obligations
- AG ¶ 19(f)raisedFailure to File or Fraudulently Filing Annual Federal, State, or Local Income Tax Returns or Failure to Pay Annual Federal, State, or Local Income Tax as Required
- AG ¶ 20(a)appliedThe Behavior Happened so Long Ago, Was so Infrequent, or Occurred Under Such Circumstances That It Is Unlikely to Recur
- AG ¶ 20(b)appliedThe Conditions That Resulted in the Financial Problem Were Largely Beyond the Person's Control
- AG ¶ 20(d)appliedThe Individual Initiated and Is Adhering to a Good-faith Effort to Repay Overdue Creditors or Otherwise Resolve Debts
- AG ¶ 20(g)appliedThe Individual Has Made Arrangements with the Appropriate Tax Authority to File or Pay the Amount Owed and Is in Compliance with Those Arrangements
Key Rule Quoted
“In evaluating Guideline F cases, the Board has previously noted that the concept of ‘meaningful track record’ necessarily includes evidence of actual debt reduction through payment of debts.”
Procedural Posture
- SOR issuedMay 21, 2018
- Answer filedJun 22, 2018Requested a decision on the record without a hearing.
- Hearing held—Decision made based on written record.
- Decision dateDec 18, 2018
Cite For
- Mitigation of Financial Issues Under Guideline F Due to Circumstances Beyond Control
- Establishing a Plan to Resolve Financial Problems and Taking Significant Actions to Implement That Plan
- The Importance of a Meaningful Track Record in Addressing Delinquent Debts