Sec. 403. Federal policy on sharing of derogatory information pertaining to contractor employees in the trusted workforce
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Not later than 180 days after the date of the enactment of this Act, the Security Executive Agent, in coordination with the principal members of the Performance Accountability Council and the Attorney General, shall issue a policy for the Federal Government on sharing of derogatory information pertaining to contractor employees engaged by the Federal Government. The policy issued under subsection
(a)shall require, as a condition of accepting a security clearance with the Federal Government, that a contractor employee provide prior written consent for the Federal Government to share covered derogatory information with the chief security officer of the contractor employer that employs the contractor employee. For purposes of this section, covered derogatory information— is information that— contravenes National Security Adjudicative Guidelines as specified in Security Executive Agent Directive 4 (10 C.F.R. 710 app. A), or any successor Federal policy; a Federal Government agency certifies is accurate and reliable; is relevant to a contractor's ability to protect against insider threats as required by section 1–202 of the National Industrial Security Program Operating Manual (NISPOM), or successor manual; and may have a bearing on the contractor employee's suitability for a position of public trust or to receive credentials to access certain facilities of the Federal Government; and shall include any negative information considered in the adjudicative process, including information provided by the contractor employee on forms submitted for the processing of the contractor employee's security clearance. The policy issued under subsection
(a)shall— require Federal agencies, except under exceptional circumstances specified by the Security Executive Agent, to share with the contractor employer of a contractor employee engaged with the Federal Government the existence of potentially derogatory information and which National Security Adjudicative Guideline it falls under, with the exception that the Security Executive Agent may waive such requirement in circumstances the Security Executive Agent considers extraordinary; require that covered derogatory information shared with a contractor employer as described in subsection (b)(1) be used by the contractor employer exclusively for risk mitigation purposes under section 1–202 of the National Industrial Security Program Operating Manual, or successor manual; require Federal agencies to share any mitigation measures in place to address the derogatory information; establish standards for timeliness for sharing the derogatory information; specify the methods by which covered derogatory information will be shared with the contractor employer of the contractor employee; allow the contractor employee, within a specified timeframe, the right— to contest the accuracy and reliability of covered derogatory information; to address or remedy any concerns raised by the covered derogatory information; and to provide documentation pertinent to subparagraph
(A)or
(B)for an agency to place in relevant security clearance databases; establish a procedure by which the contractor employer of the contractor employee may consult with the Federal Government prior to taking any remedial action under section 1–202 of the National Industrial Security Program Operating Manual, or successor manual, to address the derogatory information the Federal agency has provided; stipulate that the chief security officer of the contractor employer is prohibited from sharing or discussing covered derogatory information with other parties, including nonsecurity professionals at the contractor employer; and require companies in the National Industrial Security Program to comply with the policy. In developing the policy issued under subsection (a), the Director shall consider, to the extent available, lessons learned from actions taken to carry out section 6611(f) of the National Defense Authorization Act for Fiscal Year 2020 ( Public Law 116–92 ).
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Sec. 403
Federal policy on sharing of derogatory information pertaining to contractor employees in the trusted workforce
Cite10 CFR 710
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