Summary
A 54-year-old Security Specialist 1 for a defense contractor was granted a security clearance despite initial concerns under Guideline F (Financial Considerations). The government alleged the applicant was financially overextended and at risk of illegal acts, citing unpaid federal income taxes for 2010, 2014, 2015, and 2017. Additionally, the applicant was indebted to three creditors for $501, $170, and $125, with credit reports from 2015, 2016, and 2017 reflecting these debts as delinquent.
The judge found that the applicant had made significant improvements in her financial situation since 2017. She successfully resolved her delinquent debts and established a payment plan with the IRS for her outstanding tax obligations.
The decision to grant the clearance was based on the applicant's demonstrated financial rehabilitation. Her current employment provides sufficient income to meet her financial obligations, mitigating the initial concerns and leading to a favorable outcome.
Why the Applicant Prevailed
- The applicant demonstrated significant improvement in her financial situation since 2017.
- She resolved her delinquent debts and established a payment plan with the IRS.
- The applicant's current employment provides sufficient income to meet her financial obligations.
Conditions Referenced
- AG ¶ 19(a)raisedInability or Unwillingness 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 and Does Not Cast Doubt on the Individual’s Current Reliability, Trustworthiness, or Good Judgment
- AG ¶ 20(b)appliedThe Conditions That Resulted in the Financial Problem Were Largely Beyond the Person’s Control
- AG ¶ 20(c)appliedThe Person Has Received or Is Receiving Counseling for the Problem And/or There Are Clear Indications That the Problem Is Being Resolved or Is Under Control
- AG ¶ 20(d)appliedThe Individual Initiated 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
“The ultimate determination of whether to grant eligibility for a security clearance must be an overall commonsense judgment based upon careful consideration of the guidelines and the whole-person concept.”
Procedural Posture
- SOR issuedOct 23, 2018
- Answer filedNov 6, 2018
- Hearing heldFeb 7, 2019
- Decision dateMar 25, 2019
Cite For
- Mitigation of Financial Concerns Under Guideline F
- Demonstrating Improvement in Financial Stability
- Whole-person Concept in Security Clearance Evaluations