Summary
A 44-year-old customer care specialist for a DOD health care contractor was granted a public trust position despite initial concerns under Guideline F (Financial Considerations). The Statement of Reasons (SOR) detailed a Chapter 7 bankruptcy filed in October 2005 and discharged in April 2006, alongside numerous delinquent and charged-off debts. These included a medical debt judgment for $182, a charged-off medical bill for $1,115, and a credit card debt in collection for $1,141.
Additional allegations involved multiple charged-off credit card accounts totaling $1,128, $483, $423, and $517, respectively. An online retail account charged off for $761 and another account placed for collection for $762 were also cited. The SOR further listed several delinquent medical accounts ranging from $13 to $313. These issues raised disqualifying conditions under Adjudicative Guidelines (AG) ¶ 19(a) and ¶ 19(c).
However, the applicant successfully mitigated these concerns by demonstrating a good-faith effort to repay her debts and establishing payment plans with creditors. The judge found that many financial issues stemmed from circumstances beyond her control, such as medical expenses and her husband's job loss. The applicant provided evidence of resolving several debts and responsibly managing her financial obligations, satisfying mitigating conditions under AG ¶ 20(a), ¶ 20(b), ¶ 20(c), and ¶ 20(d). Consequently, her eligibility was granted.
Why the Applicant Prevailed
- The applicant demonstrated a good-faith effort to repay her debts and established payment plans with creditors.
- The financial issues were largely due to circumstances beyond her control, including medical expenses and her husband's job loss.
- The applicant provided evidence of resolving several debts and was managing her financial obligations responsibly.
Conditions Referenced
- AG ¶ 19(a)raisedInability or Unwillingness to Satisfy Debts
- AG ¶ 19(c)raisedA History of Not Meeting Financial Obligations
- 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 Problems 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 Has Initiated a Good-faith Effort to Repay the Overdue Creditors or Otherwise Resolve Debts
Key Rule Quoted
“The standard that must be met for . . . assignment to sensitive duties is that, based on all available information, the person’s loyalty, reliability, and trustworthiness are such that . . . assigning the person to sensitive duties is clearly consistent with the interests of national security.”
Procedural Posture
- SOR issuedNov 4, 2015
- Answer filedNov 30, 2015
- Hearing held—Decision on the record requested by applicant.
- Decision dateNov 22, 2016
Cite For
- Mitigation of Financial Trustworthiness Concerns Under Guideline F
- Consideration of Circumstances Beyond an Applicant's Control in Financial Matters
- Good-faith Efforts to Repay Debts as a Mitigating Factor