Summary
This case concerns a 41-year-old Department of Defense contractor employee seeking to maintain her security clearance under Guideline F, Financial Considerations. The Statement of Reasons detailed several delinquent debts, including four past-due student loan accounts, two private student loan accounts placed for collection totaling $4,423 and $2,617, a $1,745 charged-off credit card account, and a $95 delinquent medical account. These issues raised Disqualifying Conditions AG ¶ 19(a), AG ¶ 19(c), and AG ¶ 19(f).
However, the applicant demonstrated significant mitigating factors. She entered into and is adhering to repayment agreements for her delinquent debts, showing substantial progress in resolving her financial issues, including paying off several accounts.
The decision to grant the clearance was also influenced by the finding that her financial difficulties were largely due to circumstances beyond her control, specifically medical issues and funding her daughter's college education. Mitigating Conditions AG ¶ 20(a), AG ¶ 20(b), AG ¶ 20(d), and AG ¶ 20(g) were applied, leading to a GRANTED outcome.
Why the Applicant Prevailed
- The applicant entered into repayment agreements for her delinquent debts and is adhering to them.
- She has made significant progress in resolving her financial issues, including paying off several debts.
- The applicant's financial difficulties were largely due to circumstances beyond her control, such as medical issues and funding her daughter's college education.
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 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(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
“The protection of the national security is the paramount consideration.”
Procedural Posture
- SOR issuedSep 22, 2017
- Answer filedOct 5, 2017
- Hearing heldFeb 14, 2018Applicant requested expedited hearing.
- Decision dateFeb 28, 2018
Cite For
- Mitigating Conditions Under Guideline F for Financial Considerations
- Good-faith Efforts to Resolve Delinquent Debts
- Impact of Personal Circumstances on Financial Stability and Security Clearance Eligibility