Doc:DoD 5220.22-M Chapter 10

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CHAPTER 10

International Security Requirements



Section 1. General and Background Information

10-100 General
  This Chapter provides policy and procedures governing the control of classified information in international programs.
10-101 Applicable Federal Laws
  The transfer of articles and services and related technical data to a foreign person, within or outside the U.S., or the movement of such material or information to any destination outside the legal jurisdiction of the U.S. constitutes an export. Depending on the nature of the articles or data, most exports are governed by the Arms Export Control Act (AECA) (reference (u)), the Export Administration Act (EAA) (reference (v)), and reference (c).
10-102 Bilateral Security Agreements
  Bilateral security agreements are negotiated with various foreign governments. Confidentiality requested by some foreign governments prevents a listing of the countries that have executed these agreements.
a. The General Security Agreement, negotiated through diplomatic channels, requires that each government provide to the classified information provided by the other substantially the same degree of protection as the releasing government. The Agreement contains provisions concerning limits on the use of each government's information, including restrictions on third party transfers and proprietary rights. It does not commit governments to share classified information, nor does it constitute authority to release classified material to that government. It satisfies, in part, the eligibility requirements of reference (u) concerning the agreement of the recipient foreign government to protect U.S. classified defense articles and technical data. (The General Security Agreement also is known as a General Security of Information Agreement and General Security of Military Information Agreement. The title and scope are different, depending on the year the particular agreement was signed.)
b. Industrial security agreements have been negotiated with certain foreign governments that identify the procedures to be used when foreign government information is provided to industry. The Office of the Under Secretary of Defense (Policy) negotiates Industrial Security Agreements as an Annex to the General Security Agreement and the Director, DSS, has been delegated authority to implement the provisions of the Industrial Security Agreements. The Director of Security, NRC, negotiates and implements these agreements for the NRC.


Section 2. Disclosure of U.S. Information to Foreign Interests

10-200 Authorization for Disclosure
  Disclosure guidance will be provided by the GCA. Disclosure authorization may be in the form of an export license, a technical assistance agreement, a manufacturing license agreement, a letter of authorization from the U.S. Government licensing authority, or an exemption to the export authorization requirements. Disclosure guidance provided for a previous contract or program shall not be used unless the contractor is so instructed in writing by the GCA or the licensing authority. Classified information normally will be authorized for disclosure and export as listed below:
a. Government-to-Government International Agreements. Classified information shall not be disclosed until agreements are signed by the participating governments and disclosure guidance and security arrangements are established. The export of technical data pursuant to such agreements may be exempt from licensing requirements of the International Traffic in Arms Regulation (ITAR) (reference (w).
b. Symposia, Seminars, Exhibitions, and Conferences. Appropriately cleared foreign nationals may participate in classified gatherings if authorized by the Head of the U.S. Government Agency that authorizes the conduct of the conference.
c. Foreign Visits. Disclosure of classified information shall be limited to that specific information authorized in connection with an approved visit request or export authorization.
d. Temporary Exports. Classified articles (including articles that require the use of classified information for operation) exported for demonstration purposes shall remain under U.S. control. The request for export authorization shall include a description of the arrangements that have been made in-country for U.S. control of the demonstrations and secure storage under U.S. Government control.
10-201 Direct Commercial Arrangements
  The disclosure of classified information may be authorized pursuant to a direct commercial sale only if the proposed disclosure supports a U.S. or foreign government procurement requirement, a government contract, or an international agreement. A direct commercial arrangement includes sales, loans, leases, or grants of classified items, including sales under a government agency sales financing program. If a proposed disclosure is in support of a foreign government requirement, the contractor should consult with U.S. in-country officials (normally the U.S. Security Assistance/Armaments Cooperation Office or Commercial Counselor). An export authorization is required before a contractor makes a proposal to a foreign interest that involves the eventual disclosure of U.S. classified information. The contractor should obtain the concurrence of the GCA before submitting an export authorization request.
10-202 Contract Security Provisions
 

a. When a U.S. contractor is authorized to award a subcontract or enter into a Manufacturing License Agreement, Technical Assistance Agreement, or other direct commercial arrangement with a foreign contractor that will involve classified information, security provisions will be incorporated in the subcontract document or agreement and security classification guidance via a Contract Security Classification Specification will be provided. A copy of the signed contract with the provisions and the classification guidance shall be provided to the CSA. If the export authorization specifies that additional security arrangements are necessary for performance on the contract, contractor developed arrangements shall be incorporated in appropriate provisions in the contract or in a separate security document.
b. The contractor shall prepare and maintain a written record that identifies the originator or source of classified information that will be used in providing defense articles or services to foreign customers. The contractor shall maintain this listing with the contractor's record copy of the pertinent export authorization.
c. Security provisions, substantially as shown below, shall be included in all contracts and subcontracts involving classified information that are awarded to foreign contractors.
(1) All classified information and material furnished or generated under this contract shall be protected as follows:
(a) The recipient will not release the information or material to a third-country government, person, or firm without the prior approval of the releasing government.
(b) The recipient will afford the information and material a degree of protection equivalent to that afforded it by the releasing government; and
(c) The recipient will not use the information and material for other than the purpose for which it was furnished without the prior written consent of the releasing government.
(2) Classified information and material furnished or generated under this contract shall be transferred through government channels or other channels specified in writing by the Governments of the United States and (insert applicable country) and only to persons who have an appropriate security clearance and an official need for access to the information in order to perform on the contract.
(3) Classified information and material furnished under this contract will be remarked by the recipient with its government's equivalent security classification markings.
(4) Classified information and material generated under this contract must be assigned a security classification as specified by the contract security classification specifications provided with this contract.
(5) All cases in which it is known or there is reason to believe that classified information or material furnished or generated under this contract has been lost or disclosed to unauthorized persons shall be reported promptly and fully by the contractor to its government's security authorities.
(6) Classified information and material furnished or generated pursuant to this contract shall not be further provided to another potential contractor or subcontractor unless:
(a) A potential contractor or subcontractor which is located in the United States or (insert applicable country) has been approved for access to classified information and material by U.S. or (insert applicable country) security authorities; or,
(b) If located in a third country, prior written consent is obtained from the United States Government.
(7) Upon completion of the contract, all classified material furnished or generated pursuant to the contract will be returned to the U.S. contractor or be destroyed.
(8) The recipient contractor shall insert terms that substantially conform to the language of these provisions, including this one, in all subcontracts under this contract that involve access to classified information furnished or generated under this contract.


Section 3. Foreign Government Information (FGI)

10-300 General
  The contractor shall notify the CSA when awarded contracts by a foreign interest that will involve access to classified information. The CSA shall administer oversight and ensure implementation of the security requirements of the contract on behalf of the foreign government, including the establishment of channels for the transfer of classified material.
10-301 Contract Security Requirements
  The foreign entity that awards a classified contract is responsible for providing appropriate security classification guidance and any security requirements clauses. The failure of a foreign entity to provide classification guidance shall be reported to the CSA.
10-302 Marking Foreign Government Classified Material
 

a. Foreign government classified information shall retain its original classification markings or shall be assigned a U.S. classification that provides a degree of protection at least equivalent to that required by the government entity that furnished the information. The equivalent U.S. classification and the country of origin shall be marked on the front and back in English.
10-303 Foreign Government RESTRICTED Information and “In Confidence” Information
 

a. Some foreign governments have a fourth level of classification that does not correspond to an equivalent U.S. classification that is identified as RESTRICTED Information. In many cases, bilateral security agreements require RESTRICTED information to be protected as U.S. CONFIDENTIAL information.
b. Some foreign governments may have a category of unclassified information that is protected by law. This latter category is normally provided to other governments on the condition that the information is treated “In Confidence.” The foreign government or international organization must state that the information is provided in confidence and that it must be protected from release. A provision of Title 10 of the U.S. Code (reference (x)) protects information provided “In Confidence” by foreign governments or international organizations to the Department of Defense which is not classified but meets special requirements stated in section 130c reference (x). This provision also applies to RESTRICTED information which is not required by a bilateral agreement to be protected as classified information. The contractor shall not disclose information protected by this statutory provision to anyone except personnel who require access to the information in connection with the contract.
b. It is the responsibility of the foreign entity that awards the contract to incorporate requirements for the protection and marking of RESTRICTED or “In Confidence” information in the contract. The contractor shall advise the CSA if requirements were not provided by the foreign entity.
10-304 Marking U
  S. Documents Containing FGI.
a. U.S. documents containing foreign government information shall be marked on the front, "THIS DOCUMENT CONTAINS (indicate country of origin) INFORMATION." In addition, the portions shall be marked to identify both the country and classification level, e.g., (UK-C); (GE-C). The "Derived From" line shall identify U.S. as well as foreign classification sources.
b. If the identity of the foreign government must be concealed, the front of the document shall be marked "THIS DOCUMENT CONTAINS FOREIGN GOVERNMENT INFORMATION;" paragraphs shall be marked FGI, together with the classification level, e.g., (FGI-C); and the "Derived From" line shall indicate FGI in addition to any U.S. source. The identity of the foreign government shall be maintained with the record copy of the document.
c. A U.S. document, marked as described herein, shall not be downgraded below the highest level of foreign government information contained in the document or be declassified without the written approval of the foreign government that originated the information. Recommendations concerning downgrading or declassification shall be submitted to the GCA or foreign government contracting authority, as applicable.
10-305 Marking Documents Prepared For Foreign Governments
  Documents prepared for foreign governments that contain U.S. and foreign government information shall be marked as prescribed by the foreign government. In addition, they shall be marked on the front, "THIS DOCUMENT CONTAINS UNITED STATES CLASSIFIED INFORMATION." Portions shall be marked to identify the U.S. classified information.
10-306 Storage and Control
  Foreign government material shall be stored and access shall be controlled generally in the same manner as U.S. classified material of an equivalent classification. Foreign government material shall be stored in a manner that will avoid commingling with other material which may be accomplished by establishing separate files in a storage container.
10-307 Disclosure and Use Limitations
  Foreign government information is provided by the foreign government to the United States. It shall not be disclosed to nationals of a third country, or to any other third party, or be used for other than the purpose for which it was provided without the prior written consent of the originating foreign government. Requests for other uses or further disclosure shall be submitted to the GCA for U.S. contracts, and through the CSA for direct commercial contracts. Approval of the request by the foreign government does not eliminate the requirement for the contractor to obtain an export authorization.
10-308 Transfer
  Foreign government information shall be transferred within the U.S. and its territories using the same channels as specified by this manual for U.S. classified information of an equivalent classification, except that non-cleared express overnight carriers shall not be used.
10-309 Reproduction
  The reproduction of foreign government TOP SECRET information requires the written approval of the originating government.
10-310 Disposition
  Foreign government information shall be destroyed on completion of the contract unless the contract specifically authorizes retention or return of the information to the GCA or foreign government that provided the information. TOP SECRET destruction must be witnessed and a destruction certificate executed and retained for 2 years.
10-311 Reporting of Improper Receipt of Foreign Government Material
  The contractor shall report to the CSA the receipt of classified material from foreign interests that is not received through government channels.
10-312 Subcontracting
 

a. A U.S. contractor may award a subcontract that involves access to FGI to another U.S. contractor, except as described in subparagraph b, on verifying with the CSA that the prospective subcontractor has the appropriate FCL and storage capability. The contractor awarding a subcontract shall provide appropriate security classification guidance and incorporate the pertinent security provisions in the subcontract.
b. Subcontracts involving FGI shall not be awarded to a contractor in a third country or to a U.S. company with a limited FCL based on third-country ownership, control, or influence without the express written consent of the originating foreign government. The CSA will coordinate with the appropriate foreign government authorities.


Section 4. International Transfers

10-400 General
  This section contains the procedures for international transfers of classified material. The requirements in this section do not apply to the transmission of classified material to U.S. Government activities outside the United States.
10-401 International Transfers of Classified Material
 

a. All international transfers of classified material shall take place through channels approved by both governments. Control of classified material must be maintained until the material is officially transferred to the intended recipient government through its designated government representative (DGR).
b. To ensure government control, written transmission instructions shall be prepared for all international transfers of classified material. Preparation of the instructions shall be the responsibility of the contractor for direct commercial arrangements, and the GCA for government arrangements.
c. The CSA shall be contacted at the earliest possible stage in deliberations that will lead to the international transfer of classified material. The CSA shall advise the contractor on the transfer arrangements, identify the recipient government's DGR, appoint a U.S. DGR, and ensure that the transportation plan prepared by the contractor or foreign government is adequate.
d. Requests for export authorizations that will involve the transfer of classified material shall be accompanied by a Department of State Form DSP-83, Non-Transfer and Use Certificate. The form shall be signed by an official of the responsible foreign government who has the authority to certify that the transfer is for government purposes and that the classified material will be protected in compliance with a government-approved security agreement.
10-402 Transfers of Freight
 

a. Transportation Plan (TP). A requirement to prepare a TP shall be included in each arrangement that involves the international transfer of classified material as freight. The TP shall describe arrangements for the secure shipment of the material from the point of origin to the ultimate destination. The U.S. and recipient government DGRs shall be identified in the TP as well as any requirement for an escort. The TP shall provide for security arrangements in the event the transfer cannot be made promptly. When there are to be repetitive shipments, a Notice of Classified Consignment will be used.
b. Government Agency Arrangements. Classified material to be furnished to a foreign government under such transactions normally will be shipped via government agency-arranged transportation and be transferred to the foreign government's DGR within the recipient government's territory. The government agency that executes the arrangement is responsible, in coordination with the recipient foreign government, for preparing a TP. When the point of origin is a U.S. contractor facility, the GCA shall provide the contractor a copy of the TP and the applicable Letter of Offer and Acceptance (LOA). If a freight forwarder is to be used in processing the shipment, the freight forwarder shall be provided a copy of the TP by the GCA.
c. Commercial Arrangements. The contractor shall prepare a TP in coordination with the receiving government. This requirement applies whether the material is to be moved by land, sea, or air, and applies to U.S. and foreign classified contracts. After the CSA approves the TP, it shall be forwarded to the recipient foreign government security authorities for final coordination and approval.
d. International Carriers. The international transfer of classified material shall be made using only ships, aircraft, or other carriers that:
(1) Are owned or chartered by the U.S Government or under U.S. registry,
(2) Are owned or chartered by or under the registry of the recipient government, or
(3) Are carriers other than those described that are expressly authorized to perform this function in writing by the Designated Security Authority of the GCA and the security authorities of the foreign government involved. This authority shall not be delegated and this exception may be authorized only when a carrier described in (1) or (2) above is not available and/or an urgent operational requirement dictates use of the exception.
10-403 Return of Material for Repair, Modification, or Maintenance
  A foreign government or contractor may return classified material to a U.S. contractor for repair, modification, or maintenance. The approved methods of return shall be specified in either the GCA sales arrangement, the security requirements section of a direct commercial sales arrangement, or, in the case of material transferred as freight, in the original TP. The contractor, on receipt of notification that classified material is to be received, shall notify the applicable CSA.
10-404 Use of Freight Forwarders
 

a. A commercial freight forwarder may be used to arrange for the international transfer of classified material as freight. The freight forwarder must be under contract to a government agency, U.S. contractor, or the recipient foreign government. The contract shall describe the specific functions to be performed by the freight forwarder. The responsibility for security and control of the classified material that is processed by freight forwarders remains with the U.S. Government until the freight is transferred to a DGR of the recipient government.
b. Only freight forwarders that have a valid FCL and storage capability at the appropriate level are eligible to take custody or possession of classified material for delivery as freight to foreign recipients. Freight forwarders that only process unclassified paperwork and make arrangements for the delivery of classified material to foreign recipients do not require an FCL.
10-405 Handcarrying Classified Material
  To meet contractual requirements, the CSA may authorize contractor employees to handcarry classified material outside the United States. SECRET is the highest level of classified material to be carried and it shall be of such size and weight that the courier can retain it in his or her possession at all times. The CSA shall ensure that the contractor has made necessary arrangements with U.S. airport security and customs officials and that security authorities of the receiving government approve the plan. If the transfer is under a contract or a bilateral or multinational government program, the request shall be approved in writing by the GCA. The CSA shall be notified by the contractor of a requirement under this section at least 5 work days in advance of the transfer. In addition:
a. The courier shall be a full-time, appropriately cleared employee of the dispatching contractor.
b. The courier shall be provided with a Courier Certificate that shall be consecutively numbered and be valid for one journey only. The journey may include more than one stop if approved by the CSA and secure Government storage has been arranged at each stop. The Courier Certificate shall be returned to the dispatching security officer immediately on completion of the journey.
c. Before commencement of each journey, the courier shall read and initial the Notes to the Courier attached to the Courier Certificate and sign the Courier Declaration. The Declaration shall be maintained by the FSO until completion of the next security inspection by the CSA.
d. The material shall be inventoried, and shall be wrapped and sealed in the presence of the U.S. DGR. The address of the receiving security office and the return address of the dispatching company security office shall be shown on the inner envelope or wrapping. The address of the receiving government's DGR shall be shown on the outer envelope or wrapping along with the return address of the dispatching office.
e. The dispatching company security office shall prepare three copies of a receipt based on the inventory and list the classified material involved. One copy of the receipt shall be retained by the dispatching company security office. The other two copies shall be packed with the classified material. The security office shall obtain a receipt for the sealed package from the courier.
f. The dispatching company security office shall provide the receiving security office with 24 work hours advance notification of the anticipated date and time of the courier's arrival and the identity of the courier. The receiving security office shall notify the dispatching company security office if the courier does not arrive within 8 hours of the expected time of arrival. The dispatching security office shall notify its DGR of any delay, unless officially notified otherwise of a change in the courier's itinerary.
g. The receiving DGR shall verify the contents of the consignment and shall sign the receipts enclosed in the consignment. One copy shall be returned to the courier. On return, the courier shall provide the executed receipt to the dispatching security office.
h. Throughout the journey, the consignment shall remain under the direct personal control of the courier. It shall not be left unattended at any time during the journey, in the transport being used, in hotel rooms, in cloakrooms, or other such location, and it may not be deposited in hotel safes, luggage lockers, or in luggage offices. In addition, envelopes and packages containing the classified material shall not be opened en route, unless required by customs or other government officials.
i. When inspection by government officials is unavoidable, the courier shall request that the officials provide written verification that they have opened the package. The courier shall notify the FSO as soon as possible. The FSO shall notify the U.S. DGR. If the inspecting officials are not of the same country as the dispatching security office, the designated security authority in the country whose officials inspected the consignment shall be notified by the CSA. Under no circumstances shall the classified consignment be handed over to customs or other officials for their custody.
j. When carrying classified material, the courier shall not travel by surface routes through third countries, except as authorized by the CSA. The courier shall travel only on carriers described in 10-402d, and travel direct routes between the U.S. and the destination.
10-406 Classified Material Receipts
  There shall be a continuous chain of receipts to record international transfers of all classified material from the contractor through the U.S. DGR and the recipient DGR to the ultimate foreign recipient. The contractor shall retain an active suspense record until return of applicable receipts for the material. A copy of the external receipt that records the passing of custody of the package containing the classified material shall be retained by the contractor and each intermediate consignee in a suspense file until the rintermediate consignee in a suspense file until the receipt that is enclosed in the package is signed and returned. Follow-up action shall be initiated through the CSA if the signed receipt is not returned within 45 days.
10-407 Contractor Preparations for International Transfers Pursuant to Commercial and User Agency Sales
  The contractor shall be responsible for the following preparations to facilitate international transfers:
a. Ensure that each party to be involved in the transfer is identified in the applicable contract or agreement, and in the license application or letter request.
b. Notify the appropriate U.S. DGR when the material is ready.
c. Provide documentation or written certification by an empowered official (as defined in the ITAR) to the U.S. DGR to verify that the classified shipment is within the limitations of the pertinent export authorization or an authorized exemption to the export authorization requirements, or is within the limitations of the pertinent GCA contract.
d. Have the classified shipment ready for visual review and verification by the DGR. As a minimum this will include:
(1) Preparing the packaging materials, address labels, and receipts for review.
(2) Marking the contents with the appropriate U.S. classification or the equivalent foreign government classification, downgrading, and declassification markings, as applicable.
(3) Ensuring that shipping documents (including, as appropriate, the Shipper's Export Declaration) include the name and contact information for the CSA that validates the license or letter authorization, and the FSO or designee for the particular transfer.
(4) Sending advance notification of the shipment to the CSA, the recipient, and to the freight forwarder, if applicable. The notification will require that the recipient confirm receipt of the shipment or provide notice to the contractor if the shipment is not received in accordance with the prescribed shipping schedule.
10-408 Transfers of Technical Data Pursuant to an ITAR Exemption
 

a. The contractor shall provide to the DGR valid documentation (i.e., license, Letter of Offer and Acceptance, or agreement) to verify the export authorization for classified technical data to be transferred under an exemption to reference (w). The documentation shall include a copy of the Form DSP-83 associated with the original export authorization.
b. Classified technical data to be exported pursuant to reference (w) exemptions 125.4(b)(1), 125.4(c), 125.5, 126.4(a), or 126.4(c) shall be supported by a written authorization signed by an Authorized Exemption Official or Exemption Certifying Official who has been appointed by the responsible Principal Disclosure Authority of the GCA. A copy of the authorization shall be provided by the contractor through the CSA to the Office of Defense Trade Controls.
c. Exports shall not be permitted under a Manufacturing License or Technical Assistance Agreement for which the authorization has expired.


Section 5. International Visits and Control of Foreign Nationals

10-500 General
  This section describes the procedures that the United States and foreign governments have established to control international visits to their organizations and cleared contractor facilities.
10-501 International Visits
 

a. The contractor shall establish procedures to monitor international visits by their employees and visits or assignments to their facilities of foreign nationals to ensure that the disclosure of, and access to, export-controlled articles and related information are limited to those that are approved by an export authorization.
b. Visit authorizations shall not be used to employ or otherwise acquire the services of foreign nationals that require access to export-controlled information. An export authorization is required for such situations.
10-502 Types and Purpose of International Visits
  Visit requests are necessary to make administrative arrangements and disclosure decisions, and obtain security assurances. There are three types of international visits:
a. One-time Visits. A visit for a single, short-term occasion (normally less than 30 days) for a specified purpose.
b. Recurring Visits. Intermittent, recurring visits over a specified period of time, normally up to 1 year in duration, in support of a Government-approved arrangement, such as an agreement, contract, or license. By agreement of the governments, the term of the authorization may be for the duration of the arrangement, subject to annual review, and validation.
c. Extended Visits. A single visit for an extended period of time, normally up to 1 year, in support of an agreement, contract, or license.
10-503 Emergency Visits
  Some foreign governments will accept a visit request submitted within 7 calendar days of the proposed visit for an "emergency visit." To qualify as an emergency visit, the visit must relate to a specific Government-approved contract, international agreement or announced request for proposal, and failure to make the visit could be reasonably expected to seriously jeopardize performance on the contract or program, or result in the loss of a contract opportunity. Emergency visits are approved only as a single, one-time visit. The requester should coordinate the emergency visit in advance with the person to be visited and ensure that the complete name, position, address, and telephone number of the person and a knowledgeable foreign government point of contact are provided in the visit request, along with the identification of the contract, agreement, or program and the justification for submission of the emergency visit request.
10-504 Requests for Recurring Visits
  Recurring visit authorizations should be requested at the beginning of each program. After approval of the request, individual visits may be arranged directly with the security office of the location to be visited subject to 3 working days advance notice.
10-505 Amendments
  Visit requests that have been approved or are being processed may be amended only to change, add, or delete names and change dates. Amendments requesting earlier dates than originally specified shall not be accepted. Emergency visit authorizations shall not be amended.
10-506 Visits Abroad by U
  S. Contractors. Many foreign governments require the submission of a visit request for all visits to a government facility or a cleared contractor facility, even though classified information may not be involved. They also require that the requests be received a specified number of days in advance of the visit. These lead times for North Atlantic Treaty Organization (NATO) countries are in Appendix B. An export authorization must be obtained if export controlled technical data is to be disclosed or, if information to be divulged is related to a classified U.S. Government program, unless the disclosure of the information is covered by an ITAR exemption. Visit request procedures are outlined as follows:
a. Request Format. The visit request format is contained in Appendix B. The visit request shall be forwarded to the security official designated by the CSA. The host for the visit should coordinate the visit in advance with appropriate government authorities who are required to approve the visit. It is the visitor's responsibility to ensure that such coordination has occurred.
b. Government Agency Programs. When contractor employees are to visit foreign government facilities or foreign contractors on U.S. Government orders in support of a government contract or agreement, a visit request shall be submitted by the contractor.
10-507 Visits by Foreign Nationals to U.S. Contractor Facilities
  Requests for visits by foreign nationals to U.S. contractor facilities that will involve the disclosure of (a) classified information, (b) unclassified information related to a U.S. Government classified program, or (c) plant visits covered by Section 125.5 of reference (w) shall be processed through the sponsoring foreign government (normally the visitor's embassy) to the U.S. Government agency for approval. (NOTE: Requests for visits by foreign nationals that involve only commercial programs and related unclassified information may be submitted directly to the contractor. It is the contractor's responsibility to ensure that an export authorization is obtained, if applicable.) As described below, the U.S. government agency may approve or deny the request or decline to render a decision.
a. Government-Approved Visits. U.S. Government-approved visits constitute an exemption to the export licensing provisions of the ITAR. U.S. Government approved visits shall not be used to avoid the export licensing requirements for commercial initiatives. When the cognizant U.S. Government agency approves a visit, the notification of approval shall contain instructions on the level and scope of classified and unclassified information authorized for disclosure, as well as any limitations. Final acceptance of the visit shall be subject to the concurrence of the contractor who shall notify the U.S. Government agency when a visit is not desired.
b. Visit Request Denials. If the U.S. Government agency does not approve the disclosure of the information related to the proposed visit, it will deny the visit request. The requesting government and the contractor to be visited shall be advised of the reason for the denial. The contractor may accept the visitor(s). However, only information that is in the public domain may be disclosed.
c. Non-Sponsorship. The U.S. Government agency will decline to render a decision on a visit request that is not in support of a U.S. Government program. A declination notice indicating that the visit is not government-approved (i.e., the visit is non-sponsored) shall be furnished to the requesting foreign government with an information copy to the U.S. contractor to be visited. A declination notice does not preclude the visit, provided the contractor has, or obtains, an export authorization for the information involved and, if classified information is involved, has been notified that the requesting foreign government has provided the required security assurance of the proposed visitor to the U.S. Government agency in the original visit request. It shall be the responsibility of the contractor to consult applicable export regulations to determine licensing requirements regarding the disclosure of export controlled information during such visits by foreign nationals.
d. Access by Foreign Visitors to Classified Information. The contractor shall establish procedures to ensure that foreign visitors are not afforded access to classified information and other export-controlled technical data except as authorized by an export license, approved visit request, or other exemption to the licensing requirements. The contractor shall not inform the foreign visitor of the scope of access authorized or of the limitations imposed by the government. Foreign visitors shall not be given custody of classified material except when they are acting as official couriers of their government and the CSA authorizes the transfer.
e. Visitor Records. The contractor shall maintain a record of foreign visitors when the visit involves access to classified information. These records shall be maintained for 1 year.
f. Visits to Subsidiaries. A visit request authorization for a visit to any element of a corporate family may be used for visits to other divisions or subsidiaries within the same corporate family provided disclosures are for the same purpose and the information to be disclosed does not exceed the parameters of the approved visit request.
10-508 Control of Access by On-Site Foreign Nationals
 

a. Extended visits and assignments of foreign nationals to contractor facilities shall be authorized only when it is essential that the foreign national be at the facility pursuant to a contract or government agreement (e.g., joint venture, liaison representative to a joint or multinational program, or direct commercial sale).
b. If the foreign national will require access to export-controlled information related to, or derived from, a U.S. Government classified contract, the contractor shall obtain the written consent of the GCA before making a commitment to accept the proposed visit or assignment. A copy of the written consent shall be included with the request for export authorization, when such authorization is required.
c. The applicable CSA shall be notified in advance of all extended visits and assignments of foreign nationals to cleared contractor facilities. The notification shall include a copy of the approved visit authorization or the U.S. Government export authorization, and the TCP if applicable.
d. Classified U.S. and foreign government material in a U.S. contractor facility is to remain under U.S. contractor custody and control and is subject to inspection by the FSO and the CSA. This does not preclude a foreign visitor from being furnished a security container for the temporary storage of classified material, consistent with the purpose of the visit or assignment, provided the CSA approves and responsibility for the container and its contents remains with the U.S. contractor. Exceptions to this policy may be approved on a case-by-case basis by the CSA for the storage of foreign government classified information furnished to the visitor by the visitor's government through government channels. Exceptions shall be approved in advance in writing by the CSA and agreed to by the visitor's government. The agreed procedures shall be included in the contractor's TCP, shall require the foreign nationals to provide receipts for the material, and shall include an arrangement for the CSA to ensure compliance, including provisions for the CSA to inspect and inventory the material.
10-509 TCP
  A TCP is required to control access by foreign nationals assigned to, or employed by, cleared contractor facilities unless the CSA determines that procedures already in place at the contractor's facility are adequate. The TCP shall contain procedures to control access for all export-controlled information. A sample of a TCP may be obtained from the CSA.
10-510 Security and Export Control Violations Involving Foreign Nationals
  Any violation of administrative security procedures or export control regulations that would subject classified information to possible compromise by foreign visitors or foreign national employees shall be reported to the CSA.


Section 6. Contractor Operations Abroad

10-600 General
  This section sets forth requirements governing contractor operations abroad, including PCLs for U.S. contractor employees assigned outside the United States and their access to classified information.
10-601 Access by Contractor Employees Assigned Outside the United States
 

a. Contractor employees assigned outside the United States, its possessions or territories may have access to classified information in connection with performance on a specified United States, NATO, or foreign government classified contract.
b. The assignment of an employee who is a foreign national, including intending citizens, outside the United States on programs that will involve access to classified information is prohibited and negates the basis on which an LAA may have been provided to such employee.
c. A consultant shall not be assigned outside the United States with responsibilities requiring access to classified information.
10-602 Storage, Custody, and Control of Classified Information Abroad by Employees of a U.S. Contractor
 

a. The storage, custody, and control of classified information required by a U.S. contractor employee abroad is the responsibility of the U.S. Government. Therefore, the storage of classified information by contractor employees at any location abroad that is not under U.S. Government control is prohibited. The storage may be at a U.S. military facility, a U.S. Embassy or Consulate, or other location occupied by a U.S. Government organization.
b. A contractor employee may be furnished a security container to temporarily store classified material at a U.S. Government agency overseas location. The decision to permit a contractor to temporarily store classified information must be approved in writing by the senior security official for the U.S. Government host organization.
c. A contractor employee may be permitted to temporarily remove classified information from an overseas U.S. Government-controlled facility when necessary for the performance of a GCA contract or pursuant to an approved export authorization. The responsible U.S. Government security official at the U.S. Government facility shall verify that the contractor has an export authorization or other written U.S. Government approval to have the material, verify the need for the material to be removed from the facility, and brief the employee on handling procedures. In such cases, the contractor employee shall sign a receipt for the classified material. Arrangements shall also be made with the U.S. Government custodian for the return and storage of the classified material during non-duty hours. Violations of this policy shall be reported to the applicable CSA by the security office at the U.S. Government facility.
d. A contractor employee shall not store classified information at overseas divisions or subsidiaries of U.S. companies incorporated or located in a foreign country. (NOTE: The divisions or subsidiaries may possess classified information that has been transferred to the applicable foreign government through government-to-government channels pursuant to an approved export authorization or other written U.S. Government authorization. Access to this classified information at such locations by a U.S. contractor employee assigned abroad by the parent facility on a visit authorization in support of a foreign government contract or subcontract, is governed by the laws and regulations of the country in which the division or subsidiary is registered or incorporated. The division or subsidiary that has obtained the information from the foreign government shall provide the access.)
e. U.S. contractor employees assigned to foreign government or foreign contractor facilities under a direct commercial sales arrangement will be subject to the host-nation's industrial security policies.
10-603 Transmission of Classified Material to Employees Abroad
  The transmission of classified material to a cleared contractor employee located outside the United States shall be through U.S. Government channels. If the material is to be used for other than U.S. Government purposes, an export authorization is required and a copy of the authorization, validated by the DGR, shall accompany the material. The material shall be addressed to a U.S. military organization or other U.S. Government organization (e.g., an embassy). The U.S. government organization abroad shall be responsible for custody and control of the material.
10-604 Security Briefings
  An employee being assigned outside the United States shall be briefed on the security requirements of his or her assignment, including the handling, disclosure, and storage of classified information overseas.


Section 7. NATO Information Security Requirements

10-700 General
  This section provides the security requirements needed to comply with the procedures established by the U.S. Security Authority for NATO (USSAN) for safeguarding NATO information provided to U.S. industry.
10-701 Classification Levels
  NATO has the following levels of security classification: COSMIC TOP SECRET (CTS), NATO SECRET (NS), NATO CONFIDENTIAL (NC), and NATO RESTRICTED (NR). Another marking, ATOMAL, is applied to U.S. RESTRICTED DATA or FORMERLY RESTRICTED DATA and United Kingdom Atomic information that has been released to NATO. ATOMAL information is marked COSMIC TOP SECRET ATOMAL (CTSA), NATO SECRET ATOMAL (NSA), or NATO CONFIDENTIAL ATOMAL (NCA).
10-702 NATO RESTRICTED
  NATO RESTRICTED does not correspond to an equivalent U.S. classification. NATO RESTRICTED does not require a PCL for access. An FCL is not required if the only information to which the company will have access is NATO RESTRICTED. IS handling only NATO RESTRICTED information do not require certification or accreditation. NATO RESTRICTED information may be included in U.S. unclassified documents. The U.S. document must be marked, "THIS DOCUMENT CONTAINS NATO RESTRICTED INFORMATION." NATO RESTRICTED material may be stored in locked filing cabinets, bookcases, desks, or other similar locked containers that will deter unauthorized access.
10-703 NATO Contracts
  NATO contracts involving NATO-unique systems, programs, or operations are awarded by a NATO Production and Logistics Organization (NPLO), a designated NATO Management Agency, the NATO Research Staff, or a NATO Command. In the case of NATO infrastructure projects (e.g., airfields, communications), the NATO contract is awarded by a contracting agency or prime contractor of the NATO nation responsible for the infrastructure project.
10-704 NATO Facility Security Clearance Certificate
  A NATO Facility Security Clearance Certificate (FSCC) is required for a contractor to negotiate or perform on a NATO classified contract A U.S. facility qualifies for a NATO FSCC if it has an equivalent U.S. FCL and its personnel have been briefed on NATO procedures. The CSA shall provide the NATO FSCC to the requesting activity. A NATO FSCC is not required for GCA contracts involving access to NATO classified information.
10-705 PCL Requirements
  Access to NATO classified information requires a final PCL at the equivalent level.
10-706 NATO Briefings
  Before having access to NATO classified information, employees shall be given a NATO security briefing that covers the requirements of this section and the consequences of negligent handling of NATO classified information. The FSO shall be initially briefed by a representative of the CSA. Annual refresher briefings shall also be conducted. When access to NATO classified information is no longer required, the employee shall be debriefed. The employee shall sign a certificate stating that they have been briefed or debriefed, as applicable, and acknowledge their responsibility for safeguarding NATO information. Certificates shall be maintained for 2 years for NATO SECRET and CONFIDENTIAL, and 3 years for COSMIC TOP SECRET and all ATOMAL information. The contractor shall maintain a record of all NATO briefings and debriefings in the CSA-designated database.
10-707 Access to NATO Classified Information by Foreign Nationals
  Foreign nationals of non-NATO nations may have access to NATO classified information only with the consent of the NATO Office of Security and the contracting activity. Requests shall be submitted to the Central U.S. Registry (CUSR). Access to NATO classified information may be permitted for citizens of NATO member nations, provided a NATO security clearance certificate is provided by their government and they have been briefed.
10-708 Subcontracting for NATO Contracts
  The contractor shall obtain prior written approval from the NATO contracting activity and a NATO FSCC must be issued prior to awarding the subcontract. The request for approval will be forwarded through the CSA.
10-709 Preparing and Marking NATO Documents
  All classified documents created by a U.S. contractor shall be portion-marked. Any portion extracted from a NATO document that is not portion marked, must be assigned the classification that is assigned to the NATO document.
a. All U.S.-originated NATO classified documents shall bear an assigned reference number and date on the first page. The reference numbers shall be assigned as follows:
(1) The first element shall be the abbreviation for the name of the contractor facility.
(2) The second element shall be the abbreviation for the overall classification followed by a hyphen and the 4-digit sequence number for the document within that classification that has been generated for the applicable calendar year.
(3) The third element shall be the year; e.g., MM/NS-0013/93.
b. COSMIC TOP SECRET, NATO SECRET, and ATOMAL documents shall bear the reference number on each page and a copy number on the cover or first page. Copies of NATO documents shall be serially numbered. Pages shall be numbered. The first page or index or table of contents shall include a list, including page numbers, of all Annexes and Appendices. The total number of pages shall be stated on the first page. All Annexes or Appendices will include the date of the original document and the purpose of the new text (addition or substitution) on the first page.
c. One of the following markings shall be applied to NATO documents that contain ATOMAL information:
(1) "This document contains U.S. ATOMIC Information (RESTRICTED DATA or FORMERLY RESTRICTED DATA) made available pursuant to the NATO Agreement for Cooperation Regarding ATOMIC Information, dated 18 June 1964, and will be safeguarded accordingly."
(2) "This document contains UK ATOMIC Information. This information is released to NATO including its military and civilian agencies and member states on condition that it will not be released by the recipient organization to any other organization or government or national of another country or member of any other organization without prior permission from H.M. Government in the United Kingdom."
d. Working papers shall be retained only until a final product is produced.
10-710 Classification Guidance
  Classification guidance shall be in the form of a NATO security aspects letter and a security requirements checklist for NATO contracts, or a Contract Security Classification Specification. If adequate classification guidance is not received, the contractor shall contact the CSA for assistance. NATO classified documents and NATO information in other documents shall not be declassified or downgraded without the prior written consent of the originating activity. Recommendations concerning the declassification or downgrading of NATO classified information shall be forwarded to the CUSR.
10-711 Further Distribution
  The contractor shall not release or disclose NATO classified information to a third party or outside the contractor's facility for any purpose without the prior written approval of the contracting agency.
10-712 Storage of NATO Documents
  NATO classified documents shall be stored as prescribed for U.S. documents of an equivalent classification level, except as follows:
a. NATO classified documents shall not be commingled with other documents.
b. Combinations for containers used to store NATO classified information shall be changed annually. The combination also shall be changed when an individual with access to the container departs or no longer requires access to the container, and if the combination is suspected of being compromised.
c. When the combination is recorded it shall be marked with the highest classification level of documents stored in the container as well as to indicate the level and type of NATO documents in the container. The combination record must be logged and controlled in the same manner as NATO classified documents.
10-713 International Transmission
  NATO has a registry system for the receipt and distribution of NATO documents within each NATO member nation. The central distribution point for the U.S. is the CUSR located in the Pentagon. The CUSR establishes subregistries at U.S. Government organizations for further distribution and control of NATO documents. Subregistries may establish control points at contractor facilities. COSMIC TOP SECRET, NATO SECRET, and all ATOMAL documents shall be transferred through the registry system. NATO CONFIDENTIAL documents provided as part of NATO infrastructure contracts shall be transmitted via government channels in compliance with Section 4 of this Chapter.
10-714 Handcarrying
  NATO SECRET and NATO CONFIDENTIAL documents may be handcarried across international borders if authorized by the GCA. The courier shall be issued a NATO Courier Certificate by the CSA. When handcarrying is authorized, the documents shall be delivered to a U.S. organization at NATO, which shall transfer them to the intended NATO recipient.
10-715 Reproduction
  Reproductions of COSMIC TOP SECRET and COSMIC TOP SECRET ATOMAL information shall be performed by the responsible Registry. The reproduction of NATO SECRET, and CONFIDENTIAL documents may be authorized to meet contractual requirements unless reproduction is prohibited by the contracting entity. Copies of COSMIC TOP SECRET, NATO SECRET, and ATOMAL documents shall be serially numbered and controlled and accounted for in the same manner as the original.
10-716 Disposition
  Generally, all NATO classified documents shall be returned to the contracting activity that provided them on completion of the contract. Documents provided in connection with an invitation to bid also shall be returned immediately if the bid is not accepted or submitted. NATO classified documents may also be destroyed when permitted. COSMIC TOP SECRET and COSMIC TOP SECRET ATOMAL documents shall be destroyed by the Registry that provided the documents. Destruction certificates are required for all NATO classified documents except NATO CONFIDENTIAL. The destruction of COSMIC TOP SECRET, NATO SECRET and all ATOMAL documents must be witnessed.
10-717 Accountability Records
  Logs, receipts, and destruction certificates are required for NATO classified information, as described below. Records for NATO documents shall be maintained separately from records of non-NATO documents. COSMIC TOP SECRET and all ATOMAL documents shall be recorded on logs maintained separately from other NATO logs and shall be assigned unique serial control numbers. Additionally, disclosure records bearing the name and signature of each person who has access are required for all COSMIC TOP SECRET, COSMIC TOP SECRET ATOMAL, and all other ATOMAL or NATO classified documents to which special access limitations have been applied.
a. Minimum identifying data on logs, receipts, and destruction certificates shall include the NATO reference number, short title, date of the document, classification, and serial copy numbers. Logs shall reflect the short title, unclassified subject, and distribution of the documents.
b. Receipts are required for all NATO classified documents except NATO CONFIDENTIAL.
c. Inventories shall be conducted annually of all COSMIC TOP SECRET, NATO SECRET, and all ATOMAL documents.
d. Records shall be retained for 10 years for COSMIC TOP SECRET and COSMIC TOP SECRET ATOMAL documents and 5 years for NATO SECRET, NATO SECRET ATOMAL, NATO CONFIDENTIAL, and NATO CONFIDENTIAL ATOMAL documents.
10-718 Security Violations and Loss, Compromise, or Possible Compromise
  The contractor shall immediately report the loss, compromise, or suspected loss or compromise, as well as any other security violations involving NATO classified information to the CSA.
10-719 Extracting from NATO Documents
  Permission to extract from a COSMIC TOP SECRET or ATOMAL document shall be obtained from the CUSR.
a. If extracts of NATO information are included in a U.S. document prepared for a non-NATO contract, the document shall be marked with U.S. classification markings. The caveat, "THIS DOCUMENT CONTAINS NATO (level of classification) INFORMATION" also shall be marked on the front cover or first page of the document. Additionally, each paragraph or portion containing the NATO information shall be marked with the appropriate NATO classification, abbreviated in parentheses (e.g., NS) preceding the portion or paragraph. The "Declassify on" line of the document shall show "Source marked OADR" and the date of origin of the most recent source document unless the original NATO document shows a specific date for declassification.
b. The declassification or downgrading of NATO information in a U.S. document requires the approval of the originating NATO activity. Requests shall be submitted to the CUSR for NATO contracts, through the GCA for U.S. contracts, and through the CSA for non-NATO contracts awarded by a NATO member nation.
10-702 Release of U.S. Information to NATO
 

a. Release of U.S. classified or export-controlled information to NATO requires an export authorization or other written disclosure authorization. When a document containing U.S. classified information is being prepared for NATO, the appropriate NATO classification markings shall be applied to the document. Documents containing U.S. classified information and U.S. classified documents that are authorized for release to NATO shall be marked on the cover or first page "THIS DOCUMENT CONTAINS U.S. CLASSIFIED INFORMATION. THE INFORMATION IN THIS DOCUMENT HAS BEEN AUTHORIZED FOR RELEASE TO (cite the NATO organization) BY (cite the applicable license or other written authority)." The CSA shall provide transmission instructions to the contractor. The material shall be addressed to a U.S. organization at NATO, which shall then place the material into NATO security channels. The material shall be accompanied by a letter to the U.S. organization that provides transfer instructions and assurances that the material has been authorized for release to NATO. The inner wrapper shall be addressed to the intended NATO recipient. Material to be sent to NATO via mail shall be routed through the U.S. Postal Service and U.S. military postal channels to the U.S. organization that will make the transfer.
b. A record shall be maintained that identifies the originator and source of classified information that are used in the preparation of documents for release to NATO. The record shall be provided with any request for release authorization.
10-721 Visits
  NATO visits are visits by personnel representing a NATO entity and relating to NATO contracts and programs. NATO visits shall be handled in accordance with the requirements in Section 5 of this chapter. A NATO Certificate of Security Clearance will be included with the visit request.
a. NPLO and NATO Industrial Advisory Group (NIAG) Recurring Visits. NATO has established special procedures for recurring visits involving contractors, government departments and agencies, and NATO commands and agencies that are participating in a NPLO or NIAG contract or program. The NATO Management Office or Agency responsible for the NPLO program will prepare a list of the Government and contractor facilities participating in the program. For NIAG programs, the list will be prepared by the responsible NATO staff element. The list will be forwarded to the appropriate clearance agency of the participating nations, which will forward it to the participating contractor.
b. Visitor Record. The contractor shall maintain a record of NATO visits including those by U.S. personnel assigned to NATO. The records shall be maintained for 3 years.


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