Federal Register / Vol. 71, No. 181 / Tuesday, September 19, 2006 / Notices 54845 

1Safeguards Information is a form of sensitive, 

unclassified, security-related information that the 

Commission has the authority to designate and 

protect under section 147 of the AEA. 

2Person means: (1) any individual, corporation, 

partnership, firm, association, trust, estate, public 

or private institution, group, government agency 

other than the Commission or the Department of 

Energy, except that the Department of Energy shall 

be considered a person with respect to those 

facilities of the Department specified in section 202 

of the Energy Reorganization Act of 1974 (88 Stat. 

1244), any State or any political subdivision of, or 

any political entity within a State, any foreign 

government or nation or any political subdivision 

of any such government or nation, or other entity; 

and (2) any legal successor, representative, agent, or 

agency of the foregoing. 

3 ‘‘New Safeguards Information’’ means 

Safeguards Information generated subsequent to 

August 8, 2005, the date of enactment of the EPAct. 

‘‘New Safeguards Information’’ also means any 

Safeguards Information, regardless of when it was 

generated, that is being accessed by an individual 

who has never been previously granted access to 

Safeguards Information. 

Accumulation on PWR Sump 

Performance (Public Meeting) (Contact: 

Michael L. Scott, 301–415–0565). 

This meeting will be webcast live at 

the Web address—http://www.nrc.gov 

*The schedule for Commission 

meetings is subject to change on short 

notice. To verify the status of meetings 

call (recording)—(301)–415–1292. 

Contact person for more information: 

Michelle Schroll, (301) 415–1662. 

* * * * * 

The NRC Commission Meeting 

Schedule can be found on the Internet 

at: http://www.nrc.gov/what-we-do/ 

policy-making/schedule.html. 

* * * * * 

The NRC provides reasonable 

accommodation to individuals with 

disabilities where appropriate. If you 

need a reasonable accommodation to 

participate in these public meetings or 

need this meeting notice or the 

transcript or other information from the 

public meetings in another format (e.g. 

braille, large print), please notify the 

NRC’s Disability Program Coordinator, 

Deborah Chan, at 301–415–7041, TDD: 

301–415–2100, or by e-mail at 

DLC@nrc.gov. Determinations on 

requests for reasonable accommodation 

will be made on a case-by-case basis. 

* * * * * 

This notice is distributed by mail to 

several hundred subscribers; if you no 

longer wish to receive it, or would like 

to be added to the distribution, please 

contact the Office of the Secretary, 

Washington, DC 20555 (301–415–1969). 

In addition, distribution of this meeting 

notice over the Internet system is 

available. If you are interested in 

receiving this Commission meeting 

scheduled electronically, please send an 

electronic message to dkw@nrc.gov. 

Dated: September 14, 2006. 

R. Michelle Schroll 

Office of the Secretary. 

[FR Doc. 06–7765 Filed 9–15–06; 10:01 am] 

BILLING CODE 7590–01–M 

NUCLEAR REGULATORY 

COMMISSION 

[EA–06–193] 

In the Matter of Louisiana Energy 

Services L.P. (National Enrichment 

Facility) and All Other Persons Who 

Seek or Obtain Access to Safeguards 

Information Described Herein; Order 

Imposing Requirements for the 

Protection of Safeguards Information 

and Access to New Safeguards 

Information (Effective Immediately) 

I 

Louisiana Energy Services, L.P., (LES 

or the Licensee) holds a license, issued 

in accordance with the Atomic Energy 

Act (AEA) of 1954, by the U.S. Nuclear 

Regulatory Commission (NRC or 

Commission) authorizing it to construct 

and operate a uranium enrichment 

facility in Lea County, New Mexico. On 

March 19, 2004, in accordance with 

Commission direction in Staff 

Requirements Memorandum SECY–03–

0083, NRC provided LES, for its 

information, copies of Orders issued to 

Category III facilities on interim 

measures to enhance physical security 

at those facilities. Those Orders 

contained Safeguards Information 1. In 

addition, in the future, the Commission 

may issue the Licensee additional 

Orders that require compliance with 

specific Additional Security Measures 

to enhance the security. These Orders 

are also expected to contain Safeguards 

Information, which cannot be released 

to the public and must be protected 

from unauthorized disclosure. 

Therefore, the Commission is imposing 

the requirements, as set forth in 

Attachments A and B of this Order, so 

that the Licensee can receive these 

documents. This Order also imposes 

requirements for the protection of 

Safeguards Information in the hands of 

any person,2 whether or not a licensee 

of the Commission, who produces, 

receives, or acquires Safeguards 

Information. 

On August 8, 2005, the Energy Policy 

Act of 2005 (EPAct) was enacted. 

Section 652 of the EPAct amended 

Section 149 of the AEA to require 

fingerprinting and a Federal Bureau of 

Investigation (FBI) identification and 

criminal history records check of any 

person who is to be permitted to have 

access to Safeguards Information. The 

NRC’s implementation of this 

requirement cannot await the 

completion of the Safeguards 

Information rulemaking, which is under 

way, because the EPAct fingerprinting 

and criminal history check requirements 

for access to Safeguards Information 

were immediately effective upon 

enactment of the EPAct. Although the 

EPAct permits the Commission by rule 

to except certain categories of 

individuals from the fingerprinting 

requirement, which the Commission has 

done (see 10 CFR 73.59, 71 FR 33989 

(June 13, 2006)), it is unlikely that many 

Licensee employees are excepted from 

the fingerprinting requirement by the 

‘‘fingerprinting relief’’ rule. Individuals 

relieved from the fingerprinting and 

criminal history checks under the relief 

rule include Federal, State, and local 

officials and law enforcement 

personnel; Agreement State inspectors, 

who conduct security inspections on 

behalf of the NRC; members of Congress 

and certain employees of members of 

Congress or Congressional Committees; 

representatives of the International 

Atomic Energy Agency or certain 

foreign government organizations. In 

addition, individuals who have active 

Federal security clearances and have 

satisfied the EPAct fingerprinting 

requirement need not be fingerprinted 

again. Therefore, in accordance with 

Section 149 of the AEA, as amended by 

the EPAct, the Commission is imposing 

additional requirements, as set forth by 

this Order, for access to new Safeguards 

Information 3 by any person, from any 

person, whether or not a Licensee, 

Applicant, or Certificate Holder of the 

Commission or Agreement States. 

II 

The Commission has broad statutory 

authority to protect Safeguards 

Information and prohibit its 

unauthorized disclosure. Section 147 of 

the AEA, as amended, grants the 

Commission explicit authority to 

‘‘* * * issue such orders, as necessary 


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54846 Federal Register / Vol. 71, No. 181 / Tuesday, September 19, 2006 / Notices 

to prohibit the unauthorized disclosure 

of safeguards information * * *’’

Furthermore, Section 652 of the EPAct 

amended Section 149 of the AEA to 

require fingerprinting and an FBI 

identification and a criminal history 

records check of each individual who 

seeks access to Safeguards Information. 

Licensees and all persons who produce, 

receive, or acquire Safeguards 

Information must ensure proper 

handling and protection of Safeguards 

Information, to avoid unauthorized 

disclosure, in accordance with the 

specific requirements for the protection 

of Safeguards Information contained in 

Attachments A and B. The Commission 

hereby provides notice that it intends to 

treat violations of the requirements 

contained in Attachments A and B, 

applicable to the handling and 

unauthorized disclosure of Safeguards 

Information, as serious breaches of 

adequate protection of the public health 

and safety and the common defense and 

security of the United States. Access to 

Safeguards Information is limited to 

those persons who have established a 

need-to-know the information, and are 

considered to be trustworthy and 

reliable, and who satisfy the 

fingerprinting and criminal history 

records check required by the EPAct 

and this Order. A ‘‘need-to-know’’

means a determination by a person 

having responsibility for protecting 

Safeguards Information that a proposed 

recipient’s access to Safeguards 

Information is necessary in the 

performance of official, contractual, or 

licensee duties of employment. The 

Licensee and all other persons who 

obtain Safeguards Information must 

ensure that they develop, maintain, and 

implement strict policies and 

procedures for the proper handling of 

Safeguards Information, to prevent 

unauthorized disclosure, in accordance 

with the requirements in Attachments A 

and B. The Licensee must ensure that all 

contractors whose employees may have 

access to Safeguards Information either 

adhere to the Licensee’s policies and 

procedures on Safeguards Information 

or develop, maintain, and implement 

their own acceptable policies and 

procedures. The Licensee remains 

responsible for the conduct of its 

contractors. The policies and 

procedures necessary to ensure 

compliance with applicable 

requirements contained in Attachments 

A and B must address, at a minimum, 

the following: (1) The general 

performance requirement that each 

person who produces, receives, or 

acquires Safeguards Information shall 

ensure that Safeguards Information is 

protected against unauthorized 

disclosure; (2) protection of Safeguards 

Information at fixed sites, in use and in 

storage, and while in transit; (3) 

correspondence containing Safeguards 

Information; (4) access to Safeguards 

Information; (5) preparation, marking, 

reproduction, and destruction of 

documents; (6) external transmission of 

documents; (7) use of automatic data 

processing systems; and (8) removal of 

the Safeguards Information category. 

To provide assurance that the 

Licensee is implementing appropriate 

measures to achieve a consistent level of 

protection to prohibit the unauthorized 

disclosure of new Safeguards 

Information, the Licensee shall 

implement the fingerprinting and 

criminal history check requirements for 

access to new Safeguards Information in 

this Order, as well as the requirements 

in Attachments A and B of this Order. 

In addition, pursuant to 10 CFR 2.202, 

I find that in light of the common 

defense and security matters identified 

above, which warrant the issuance of 

this Order, the public health, safety, and 

interest require that this Order be 

effective immediately. 

III 

Accordingly, pursuant to Sections 53, 

62, 63, 81, 147, 149, 161b, 161i, 161o, 

182, and 186 of the Atomic Energy Act 

of 1954, as amended, and the 

Commission’s regulations in 10 CFR 

2.202, 10 CFR part 30, 10 CFR part 40, 

and 10 CFR part 70, it is hereby ordered, 

effective immediately, that licensee and 

all other persons who produce, receive, 

or acquire the additional security 

measures identified above (whether 

draft or final), or who seek or obtain 

access to new safeguards information, 

shall comply with the requirements set 

forth in this Order, including the 

requirements in Attachments A and B. 

A. No person may have access to new 

Safeguards Information unless that 

person has a need-to-know the new 

Safeguards Information, has been 

fingerprinted and undergone an FBI 

identification and criminal history 

records check, which has been favorably 

decided, and satisfies all other 

applicable requirements for access to 

Safeguards Information. Fingerprinting 

and the FBI identification and criminal 

history records check are not required, 

however, for any person who is relieved 

from that requirement by 10 CFR 73.59 

(71 FR 33989 (June 13, 2006)) or who 

has an active Federal security clearance. 

B. No person may provide new 

Safeguards Information to any other 

person except in accordance with 

condition III.A above. Prior to sharing 

new Safeguards Information with any 

other person, a copy of this Order shall 

be provided to that person. 

IV 

The Director, Office of Nuclear 

Material Safety and Safeguards, may, in 

writing, relax or rescind any of the 

above conditions, on demonstration of 

good cause by the Licensee. In 

accordance with 10 CFR 2.202, the 

Licensee must, and any other person 

adversely affected by this Order may, 

submit an answer to this Order, and 

may request a hearing on this Order, 

within twenty (20) days of the date of 

this Order. Where good cause is shown, 

consideration will be given to extending 

the time to request a hearing. A request 

for extension of time in which to submit 

an answer or request a hearing must be 

made in writing to the Director, Office 

of Nuclear Material Safety and 

Safeguards, U.S. Nuclear Regulatory 

Commission, Washington, DC 20555, 

and include a statement of good cause 

for the extension. The answer may 

consent to this Order. Unless the answer 

consents to this Order, the answer shall, 

in writing and under oath or 

affirmation, specifically set forth the 

matters of fact and law on which the 

Licensee or other person adversely 

affected relies, and the reasons as to 

why the Order should not have been 

issued. Any answer or request for a 

hearing shall be submitted to the 

Secretary, Office of the Secretary, U.S. 

Nuclear Regulatory Commission, ATTN: 

Rulemakings and Adjudications Staff, 

Washington, DC 20555. Copies also 

shall be sent to the Director, Office of 

Nuclear Material Safety and Safeguards, 

U.S. Nuclear Regulatory Commission, 

Washington, DC 20555; to the Assistant 

General Counsel for Materials Litigation 

and Enforcement, at the same address; 

and to the Licensee, if the answer or 

hearing request is by a person other than 

the Licensee. Because of possible delays 

in delivery of mail to United States 

Government offices, it is requested that 

answers and requests for hearing be 

transmitted to the Secretary of the 

Commission, either by means of 

facsimile transmission, to 301–415–

1101, or by e-mail, to 

hearingdocket@nrc.gov; and also to the 

Office of the General Counsel, either by 

means of facsimile transmission, to 301–

415–3725, or by e-mail, to 

OGCMailCenter@nrc.gov. If a person 

other than the Licensee requests a 

hearing, that person shall set forth with 

particularity the manner in which their 

interest is adversely affected by this 

Order and shall address the criteria set 

forth in 10 CFR 2.309. 

If a hearing is requested by the 

Licensee or a person whose interest is 


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adversely affected, the Commission will 

issue an Order designating the time and 

place of any hearing. If a hearing is held, 

the issue to be considered at such 

hearing shall be whether this Order 

should be sustained. 

Pursuant to 10 CFR 2.202(c)(2)(i), the 

Licensee may, in addition to demanding 

a hearing, at the time the answer is filed 

or sooner, move the presiding officer to 

set aside the immediate effectiveness of 

the Order on the grounds that the Order, 

including the need for immediate 

effectiveness, is not based on adequate 

evidence, but on mere suspicion, 

unfounded allegations, or error. In the 

absence of any request for hearing, or 

written approval of an extension of time 

in which to request a hearing, the 

provisions specified in Section III above 

shall be final twenty (20) days from the 

date of this Order, without further order 

or proceedings. If an extension of time 

for requesting a hearing has been 

approved, the provisions specified in 

Section III shall be final when the 

extension expires, if a hearing request 

has not been received. 

An answer or a request for hearing 

shall not stay the immediate 

effectiveness of this Order. 

Dated at Rockville, Maryland this 28th day 

of August 2006. 

For the Nuclear Regulatory Commission. 

Jack R. Strosnider, 

Director, Office of Nuclear Material Safety 

and Safeguards. 

Attachment A—Modified Handling 

Requirements for the Protection of 

Certain Safeguards Information (SGI–

M) 

General Requirement 

Information and material that the U.S. 

Nuclear Regulatory Commission (NRC) 

determines are safeguards information 

must be protected from unauthorized 

disclosure. In order to distinguish 

information needing modified 

protection requirements from the 

safeguards information for reactors and 

fuel cycle facilities that require a higher 

level of protection, the term ‘‘Safeguards 

Information-Modified Handling’’ (SGI–

M) is being used as the distinguishing 

marking for certain materials licensees. 

Each person who produces, receives, or 

acquires SGI–M shall ensure that it is 

protected against unauthorized 

disclosure. To meet this requirement, 

licensees and persons shall establish 

and maintain an information protection 

system that includes the measures 

specified below. Information protection 

procedures employed by state and local 

police forces are deemed to meet these 

requirements. 

Persons Subject to These Requirements 

Any person, whether or not a licensee 

of the NRC, who produces, receives, or 

acquires SGI–M is subject to the 

requirements (and sanctions) of this 

document. Firms and their employees 

that supply services or equipment to 

materials licensees fall under this 

requirement if they possess SGI–M. A 

licensee must inform contractors and 

suppliers of the existence of these 

requirements and the need for proper 

protection. (See more under Conditions 

for Access) 

State or local police units who have 

access to SGI–M are also subject to these 

requirements. However, these 

organizations are deemed to have 

adequate information protection 

systems. The conditions for transfer of 

information to a third party, i.e., needto-know, would still apply to the police 

organization as would sanctions for 

unlawful disclosure. Again, it would be 

prudent for licensees who have 

arrangements with local police to advise 

them of the existence of SGI–M 

requirements. 

Criminal and Civil Sanctions 

The Atomic Energy Act of 1954, as 

amended, explicitly provides that any 

person, ‘‘whether or not a licensee of the 

Commission, who violates any 

regulations adopted under this section 

shall be subject to the civil monetary 

penalties of section 234 of this Act.’’

Furthermore, willful violation of any 

regulation or order governing safeguards 

information is a felony subject to 

criminal penalties in the form of fines 

or imprisonment, or both. See sections 

147b. and 223 of the Act. 

Conditions for Access 

Access to SGI–M beyond the initial 

recipients of the order will be governed 

by the background check requirements 

imposed by the order. Access to SGI–M 

by licensee employees, agents, or 

contractors must include both an 

appropriate need-to-know 

determination by the licensee, as well as 

a determination concerning the 

trustworthiness of individuals having 

access to the information. Employees of 

an organization affiliated with the 

licensee’s company, e.g., a parent 

company, may be considered as 

employees of the licensee for access 

purposes. 

Need-to-Know 

Need-to-know is defined as a 

determination by a person having 

responsibility for protecting SGI–M that 

a proposed recipient’s access to SGI–M 

is necessary in the performance of 

official, contractual, or licensee duties 

of employment. The recipient must be 

made aware that the information is SGI–

M and those having access to it are 

subject to these requirements as well as 

criminal and civil sanctions for 

mishandling the information. 

Occupational Groups 

Dissemination of SGI–M is limited to 

individuals who have an established 

need-to-know and who are members of 

certain occupational groups. These 

occupational groups are: 

1. An employee, agent, or contractor 

of an applicant, a licensee, the 

Commission, or the United States 

Government; 

2. A member of a duly authorized 

committee of the Congress; 

3. The Governor of a State or his 

designated representative; 

4. A representative of the 

International Atomic Energy Agency 

(IAEA) engaged in activities associated 

with the U.S./IAEA Safeguards 

Agreement who has been certified by 

the NRC; 

5. A member of a state or local law 

enforcement authority that is 

responsible for responding to requests 

for assistance during safeguards 

emergencies; 

6. A person to whom disclosure is 

ordered pursuant to Section 2.744(e) of 

Part 2 of part 10 of the Code of Federal 

Regulations; or 

7. State Radiation Control Program 

Directors (and State Homeland Security 

Directors) or their designees. 

In a generic sense, the individuals 

described above in (A) through (G) are 

considered to be trustworthy by virtue 

of their employment status. For nongovernmental individuals in group (A) 

above, a determination of reliability and 

trustworthiness is required. Discretion 

must be exercised in granting access to 

the individuals in group (A). If there is 

any indication that the recipient would 

be unwilling or unable to provide 

proper protection for the SGI–M, they 

are not authorized to receive SGI–M. 

Information Considered for Safeguards 

Information Designation 

Information deemed SGI–M is 

information the disclosure of which 

could reasonably be expected to have a 

significant adverse effect on the health 

and safety of the public or the common 

defense and security by significantly 

increasing the likelihood of theft, 

diversion, or sabotage of materials or 

facilities subject to NRC jurisdiction. 

SGI–M identifies safeguards 

information which is subject to these 

requirements. These requirements are 

necessary in order to protect quantities 

of nuclear material significant to the 


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health and safety of the public or 

common defense and security. 

The overall measure for consideration 

of SGI–M is the usefulness of the 

information (security or otherwise) to an 

adversary in planning or attempting a 

malevolent act. The specificity of the 

information increases the likelihood 

that it will be useful to an adversary. 

Protection While in Use 

While in use, SGI–M shall be under 

the control of an authorized individual. 

This requirement is satisfied if the SGI–

M is attended by an authorized 

individual even though the information 

is in fact not constantly being used. 

SGI–M, therefore, within alarm stations, 

continuously manned guard posts or 

ready rooms need not be locked in file 

drawers or storage containers. 

Under certain conditions the general 

control exercised over security zones or 

areas would be considered to meet this 

requirement. The primary consideration 

is limiting access to those who have a 

need-to-know. Some examples would 

be: 

Alarm stations, guard posts and guard 

ready rooms; Engineering or drafting 

areas if visitors are escorted and 

information is not clearly visible; Plant 

maintenance areas if access is restricted 

and information is not clearly visible; 

Administrative offices (e.g., central 

records or purchasing) if visitors are 

escorted and information is not clearly 

visible. 

Protection While in Storage 

While unattended, SGI–M shall be 

stored in a locked file drawer or 

container. Knowledge of lock 

combinations or access to keys 

protecting SGI–M shall be limited to a 

minimum number of personnel for 

operating purposes who have a ‘‘needto-know’’ and are otherwise authorized 

access to SGI–M in accordance with 

these requirements. Access to lock 

combinations or keys shall be strictly 

controlled so as to prevent disclosure to 

an unauthorized individual. 

Transportation of Documents and Other 

Matter 

Documents containing SGI–M when 

transmitted outside an authorized place 

of use or storage shall be enclosed in 

two sealed envelopes or wrappers. The 

inner envelope or wrapper shall contain 

the name and address of the intended 

recipient, and be marked both sides, top 

and bottom with the words ‘‘Safeguards 

Information—Modified Handling.’’ The 

outer envelope or wrapper must be 

addressed to the intended recipient, 

must contain the address of the sender, 

and must not bear any markings or 

indication that the document contains 

SGI–M. 

SGI–M may be transported by any 

commercial delivery company that 

provides nationwide overnight service 

with computer tracking features, U.S. 

first class, registered, express, or 

certified mail, or by any individual 

authorized access pursuant to these 

requirements. 

Within a facility, SGI–M may be 

transmitted using a single opague 

envelope. It may also be transmitted 

within a facility without single or 

double wrapping, provided adequate 

measures are taken to protect the 

material against unauthorized 

disclosure. Individuals transporting 

SGI–M should retain the documents in 

their personal possession at all times or 

ensure that the information is 

appropriately wrapped and also secured 

to preclude compromise by an 

unauthorized individual. 

Preparation and Marking of Documents 

While the NRC is the sole authority 

for determining what specific 

information may be designated as ‘‘SGI–

M,’’ originators of documents are 

responsible for determining whether 

those documents contain such 

information. Each document or other 

matter that contains SGI–M shall be 

marked ‘‘Safeguards InformationModified Handling’’ in a conspicuous 

manner on the top and bottom of the 

first page to indicate the presence of 

protected information. The first page of 

the document must also contain (i) the 

name, title, and organization of the 

individual authorized to make a SGI–M 

determination, and who has determined 

that the document contains SGI–M, (ii) 

the date the document was originated or 

the determination made, (iii) an 

indication that the document contains 

SGI–M, and (iv) an indication that 

unauthorized disclosure would be 

subject to civil and criminal sanctions. 

Each additional page shall be marked in 

a conspicuous fashion at the top and 

bottom with letters denoting 

‘‘Safeguards Information-Modified 

Handling.’’

In addition to the ‘‘Safeguards 

Information-Modified Handling’’

markings at the top and bottom of page, 

transmittal letters or memoranda which 

do not in themselves contain SGI–M 

shall be marked to indicate that 

attachments or enclosures contain SGI–

M but that the transmittal does not (e.g., 

‘‘When separated from SGI–M 

enclosure(s), this document is 

decontrolled’’). 

In addition to the information 

required on the face of the document, 

each item of correspondence that 

contains SGI–M shall, by marking or 

other means, clearly indicate which 

portions (e.g., paragraphs, pages, or 

appendices) contain SGI–M and which 

do not. Portion marking is not required 

for physical security and safeguards 

contingency plans. 

All documents or other matter 

containing SGI–M in use or storage shall 

be marked in accordance with these 

requirements. A specific exception is 

provided for documents in the 

possession of contractors and agents of 

licensees that were produced more than 

one year prior to the effective date of the 

order. Such documents need not be 

marked unless they are removed from 

file drawers or containers. The same 

exception applies to old documents 

stored away from the facility in central 

files or corporation headquarters. 

Since information protection 

procedures employed by state and local 

police forces are deemed to meet NRC 

requirements, documents in the 

possession of these agencies need not be 

marked as set forth in this document. 

Removal From SGI–M Category 

Documents containing SGI–M shall be 

removed from the SGI–M category 

(decontrolled) only after the NRC 

determines that the information no 

longer meets the criteria of SGI–M. 

Licensees have the authority to make 

determinations that specific documents 

which they created no longer contain 

SGI–M information and may be 

decontrolled. Consideration must be 

exercised to ensure that any document 

decontrolled shall not disclose SGI–M 

in some other form or be combined with 

other unprotected information to 

disclose SGI–M. 

The authority to determine that a 

document may be decontrolled may be 

exercised only by, or with the 

permission of, the individual (or office) 

who made the original determination. 

The document shall indicate the name 

and organization of the individual 

removing the document from the SGI–

M category and the date of the removal. 

Other persons who have the document 

in their possession should be notified of 

the decontrolling of the document. 

Reproduction of Matter Containing SGI–

M 

SGI–M may be reproduced to the 

minimum extent necessary consistent 

with need without permission of the 

originator. Newer digital copiers which 

scan and retain images of documents 

represent a potential security concern. If 

the copier is retaining any information 

in memory, the copier cannot be 

connected to a network. It should also 

be placed in a location that is cleared 


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and controlled for the authorized 

processing of SGI–M information. 

Different copiers have different 

capabilities, including some which 

come with features that allow the 

memory to be erased. Each copier would 

have to be examined from a physical 

security perspective. 

Use of Automatic Data Processing (ADP) 

Systems 

SGI–M may be processed or produced 

on an ADP system provided that the 

system is assigned to the licensee’s or 

contractor’s facility and requires the use 

of an entry code/password for access to 

stored information. Licensees must 

process this information in a computing 

environment that has adequate 

computer security controls in place to 

prevent unauthorized access to the 

information. An ADP system is defined 

here as a data processing system having 

the capability of long term storage of 

information. Word processors such as 

typewriters are not subject to the 

requirements as long as they do not 

transmit information off-site. (Note: If 

SGI–M is produced on a typewriter, the 

ribbon must be removed and stored in 

the same manner as other SGI–M 

information or media.) The basic 

objective of these restrictions is to 

prevent access and retrieval of stored 

SGI–M by unauthorized individuals, 

particularly from remote terminals. 

Specific files containing SGI–M will be 

password protected to preclude access 

by an unauthorized individual. SGI–M 

files may be transmitted over a network 

if the file is encrypted. In such cases, 

the licensee will select a commercially 

available encryption system that NIST 

has validated as conforming to Federal 

Information Processing Standards 

(FIPS). SGI–M files shall be properly 

labeled as ‘‘Safeguards Information—

Modified Handling’’ and saved to 

removable media and stored in a locked 

file drawer or cabinet. The National 

Institute of Standards and Technology 

(NIST) maintains a listing of all 

validated encryption systems at http:// 

csrc.nist.gov/cryptval/140-1/ 

1401val.htm. 

Telecommunications 

SGI–M may not be transmitted by 

unprotected telecommunications 

circuits except under emergency or 

extraordinary conditions. For the 

purpose of this requirement, emergency 

or extraordinary conditions are defined 

as any circumstances that require 

immediate communications in order to 

report, summon assistance for, or 

respond to a security event (or an event 

that has potential security significance). 

This restriction applies to telephone, 

telegraph, teletype, facsimile circuits, 

and to radio. Routine telephone or radio 

transmission between site security 

personnel, or between the site and local 

police, should be limited to message 

formats or codes that do not disclose 

facility security features or response 

procedures. Similarly, call-ins during 

transport should not disclose 

information useful to a potential 

adversary. Infrequent or non-repetitive 

telephone conversations regarding a 

physical security plan or program are 

permitted provided that the discussion 

is general in nature. 

Individuals should use care when 

discussing SGI–M at meetings or in the 

presence of others to ensure that the 

conversation is not overheard by 

persons not authorized access. 

Transcripts, tapes or minutes of 

meetings or hearings that contain SGI–

M shall be marked and protected in 

accordance with these requirements. 

Destruction 

Documents containing SGI–M must be 

destroyed when no longer needed. They 

may be destroyed by tearing into small 

pieces, burning, shredding or any other 

method that precludes reconstruction by 

means available to the public at large. 

Piece sizes one-half inch or smaller 

composed of several pages or 

documents and thoroughly mixed are 

considered completely destroyed. 

Attachment B—Trustworthiness and 

Reliability Requirements for 

Individuals Handling Safeguards 

Information 

Licensees shall document the basis for 

concluding that there is reasonable 

assurance that individuals granted 

access to safeguards information or who 

are placed in positions where they 

could facilitate access to the regulated 

material are trustworthy and reliable, 

and do not constitute an unreasonable 

risk for malevolent use of the regulated 

material. 

The trustworthiness, reliability, and 

verification of an individual’s true 

identity shall be determined based on a 

background investigation. The 

background investigation shall address 

at least the past three (3) years, and, as 

a minimum, include a local criminal 

history check (unless local or State laws 

prohibit local criminal history checks of 

current employees), verification of 

employment history, education, 

employment eligibility, and personal 

references. If an individual’s 

employment has been less than the 

required three (3) year period, 

educational references may be used in 

lieu of employment history. 

The licensee’s background 

investigation requirements may be 

satisfied for an individual that has an 

active Federal security clearance. 

[FR Doc. 06–7742 Filed 9–18–06; 8:45 am] 

BILLING CODE 7590–01–P 

OFFICE OF PERSONNEL 

MANAGEMENT 

Federal Salary Council 

AGENCY: Office of Personnel 

Management. 

ACTION: Notice of meeting. 

SUMMARY: The Federal Salary Council 

will meet at the time and location 

shown below. The Council is an 

advisory body composed of 

representatives of Federal employee 

organizations and experts in the fields 

of labor relations and pay policy. The 

Council makes recommendations to the 

President’s Pay Agent (the Secretary of 

Labor and the Directors of the Office of 

Management and Budget and the Office 

of Personnel Management) about the 

locality pay program for General 

Schedule employees under section 5304 

of title 5, United States Code. The 

Council’s recommendations cover the 

establishment or modification of locality 

pay areas, the coverage of salary 

surveys, the process of comparing 

Federal and non-Federal rates of pay, 

and the level of comparability payments 

that should be paid. 

The Council will review the results of 

pay comparisons and formulate its 

recommendations to the President’s Pay 

Agent on pay comparison methods, 

locality pay rates, and locality pay area 

boundaries for 2008. The Council 

anticipates it will complete its work for 

this year at this meeting and has not 

scheduled any additional meetings for 

2006. The public may submit written 

materials about the locality pay program 

to the Council at the address shown 

below. The meeting is open to the 

public. 

DATES: October 12, 2006, at 10 a.m. 

Location: Office of Personnel 

Management, 1900 E Street NW., Room 

1350, Washington, DC. 

FOR FURTHER INFORMATION CONTACT: 

Jerome D. Mikowicz, Acting Deputy 

Associate Director for Pay and 

Performance Policy, Office of Personnel 

Management, 1900 E Street NW., Room 

7H31, Washington, DC 20415–8200. 

Phone (202) 606–2838; FAX (202) 606–

4264; or e-mail at 

pay-performance-policy@opm.gov. 


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