Summary
The applicant, a 46-year-old employee of a defense contractor, faced security concerns under Guideline F due to financial issues stemming from a significant decline in income and medical problems. The applicant demonstrated responsible actions to address her debts, including establishing a debt management plan and maintaining a positive cash flow, leading to the granting of her security clearance.
Under Guideline F (Financial Considerations), the Statement of Reasons alleged the following: failed to file their 2009 tax return on time (1.a). IRS debt for $20,823 (1.b). unpaid medical bills totaling $4,475 (1.g). $9,125 debt remaining after a car repossession (1.u). unpaid medical bills totaling $4,475 (1.v).
The judge granted the clearance. The government raised disqualifying conditions AG ¶ 19(a), AG ¶ 19(c), AG ¶ 19(g). The judge applied mitigating conditions AG ¶ 20(a), AG ¶ 20(b), AG ¶ 20(c), AG ¶ 20(d). The decision turned on the following: Applicant acted responsibly in addressing her debts, which arose from circumstances beyond her control; Applicant's current finances are sound, with a positive cash flow after expenses; Applicant has been proactive in negotiating repayment plans with creditors and the IRS.
Why the Applicant Prevailed
- Applicant acted responsibly in addressing her debts, which arose from circumstances beyond her control.
- Applicant's current finances are sound, with a positive cash flow after expenses.
- Applicant has been proactive in negotiating repayment plans with creditors and the IRS.
Conditions Referenced
- AG ¶ 19(a)raisedInability or Unwillingness to Satisfy Debts
- AG ¶ 19(c)raisedA History of Not Meeting Financial Obligations
- AG ¶ 19(g)raisedFailure to File Annual Federal, State, or Local Income Tax Returns 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(c)appliedThe Person Has Received or Is Receiving Counseling for the Problem
- AG ¶ 20(d)appliedThe Individual Initiated a Good-faith Effort to Repay Overdue Creditors
Key Rule Quoted
“A security clearance decision is intended only to resolve whether it is clearly consistent with the national interest for an applicant to either receive or continue to have access to classified information.”
Procedural Posture
- SOR issuedOct 23, 2013
- Answer filed—timely response requested hearing
- Hearing heldJan 22, 2014
- Decision dateMar 14, 2014
Cite For
- Mitigation of Financial Issues Under Guideline F
- Responsible Actions Taken to Resolve Debts
- Impact of Personal Circumstances on Financial Stability