[Weekly Compilation of Presidential Documents Volume 31, Number 31 (Monday, August 7, 1995)]
[Pages 1365-1373]
[Online from the Government Publishing Office, www.gpo.gov]

<R04>
Executive Order 12968--Access to Classified Information

August 2, 1995

    The national interest requires that certain information be 
maintained in confidence through a system of classification in order to 
protect our citizens, our democratic institutions, and our participation 
within the community of nations. The unauthorized disclosure of 
information classified in the national interest can cause irreparable 
damage to the national security and loss of human life.
    Security policies designed to protect classified information must 
ensure consistent, cost effective, and efficient protection of our 
Nation's classified information, while providing fair and equitable 
treatment to those Americans upon whom we rely to guard our national 
security.
    This order establishes a uniform Federal personnel security program 
for employees who will be considered for initial or continued access to 
classified information.
    Now, Therefore, by the authority vested in me as President by the 
Constitution and the laws of the United States of America, it is hereby 
ordered as follows:

Part 1  Definitions, Access to Classified Information, Financial 
Disclosure, and Other Items

    Section 1.1. Definitions. For the purposes of this order: (a) 
``Agency'' means any ``Executive agency,'' as defined in 5 U.S.C. 105, 
the ``military departments,'' as defined in 5 U.S.C. 102, and any other 
entity within the executive branch that comes into the possession of 
classified information, including the Defense Intelligence Agency, 
National Security Agency, and the National Reconnaissance Office.
    (b) ``Applicant'' means a person other than an employee who has 
received an authorized conditional offer of employment for a position 
that requires access to classified information.
    (c) ``Authorized investigative agency'' means an agency authorized 
by law or regulation to conduct a counterintelligence investigation or 
investigation of persons who are proposed for access to classified 
information to ascertain whether such persons satisfy the criteria for 
obtaining and retaining access to such information.
    (d) ``Classified information'' means information that has been 
determined pursuant to Executive Order No. 12958, or any successor 
order, Executive Order No. 12951, or any successor order, or the Atomic 
Energy Act of 1954 (42 U.S.C. 2011), to require protection against 
unauthorized disclosure.
    (e) ``Employee'' means a person, other than the President and Vice 
President, employed by, detailed or assigned to, an agency, including 
members of the Armed Forces; an expert or consultant to an agency; an 
industrial or commercial contractor, licensee, certificate holder, or 
grantee of an agency, including all subcontractors; a personal services 
contractor; or any other category of person who acts for or on behalf of 
an agency as determined by the appropriate agency head.
    (f) ``Foreign power'' and ``agent of a foreign power'' have the 
meaning provided in 50 U.S.C. 1801.
    (g) ``Need for access'' means a determination that an employee 
requires access to a particular level of classified information in order 
to perform or assist in a lawful and authorized governmental function.

[[Page 1366]]

    (h) ``Need-to-know'' means a determination made by an authorized 
holder of classified information that a prospective recipient requires 
access to specific classified information in order to perform or assist 
in a lawful and authorized governmental function.
    (i) ``Overseas Security Policy Board'' means the Board established 
by the President to consider, develop, coordinate and promote policies, 
standards and agreements on overseas security operations, programs and 
projects that affect all United States Government agencies under the 
authority of a Chief of Mission.
    (j) ``Security Policy Board'' means the Board established by the 
President to consider, coordinate, and recommend policy directives for 
U.S. security policies, procedures, and practices.
    (k) ``Special access program'' has the meaning provided in section 
4.1 of Executive Order No. 12958, or any successor order.
    Sec. 1.2. Access to Classified Information. (a) No employee shall be 
granted access to classified information unless that employee has been 
determined to be eligible in accordance with this order and to possess a 
need-to-know.
    (b) Agency heads shall be responsible for establishing and 
maintaining an effective program to ensure that access to classified 
information by each employee is clearly consistent with the interests of 
the national security.
    (c) Employees shall not be granted access to classified information 
unless they:
    (1) have been determined to be eligible for access under section 3.1 
      of this order by agency heads or designated officials based upon a 
      favorable adjudication of an appropriate investigation of the 
      employee's background;
    (2) have a demonstrated need-to-know; and
    (3) have signed an approved nondisclosure agreement.
    (d) All employees shall be subject to investigation by an 
appropriate government authority prior to being granted access to 
classified information and at any time during the period of access to 
ascertain whether they continue to meet the requirements for access.
    (e)(1) All employees granted access to classified information shall 
be required as a condition of such access to provide to the employing 
agency written consent permitting access by an authorized investigative 
agency, for such time as access to classified information is maintained 
and for a period of 3 years thereafter, to:
    (A) relevant financial records that are maintained by a financial 
      institution as defined in 31 U.S.C. 5312(a) or by a holding 
      company as defined in section 1101(6) of the Right to Financial 
      Privacy Act of 1978 (12 U.S.C. 3401);
    (B) consumer reports pertaining to the employee under the Fair 
      Credit Reporting Act (15 U.S.C. 1681a); and
    (C) records maintained by commercial entities within the United 
      States pertaining to any travel by the employee outside the United 
      States.
    (2) Information may be requested pursuant to employee consent under 
this section where:
    (A) there are reasonable grounds to believe, based on credible 
      information, that the employee or former employee is, or may be, 
      disclosing classified information in an unauthorized manner to a 
      foreign power or agent of a foreign power;
    (B) information the employing agency deems credible indicates the 
      employee or former employee has incurred excessive indebtedness or 
      has acquired a level of affluence that cannot be explained by 
      other information; or
    (C) circumstances indicate the employee or former employee had the 
      capability and opportunity to disclose classified information that 
      is known to have been lost or compromised to a foreign power or an 
      agent of a foreign power.
    (3) Nothing in this section shall be construed to affect the 
authority of an investigating agency to obtain information pursuant to 
the Right to Financial Privacy Act, the Fair Credit Reporting Act or any 
other applicable law.
    Sec. 1.3. Financial Disclosure. (a) Not later than 180 days after 
the effective date of this order, the head of each agency that 
originates, handles, transmits, or possesses

[[Page 1367]]

classified information shall designate each employee, by position or 
category where possible, who has a regular need for access to classified 
information that, in the discretion of the agency head, would reveal:
    (1) the identity of covert agents as defined in the Intelligence 
      Identities Protection Act of 1982 (50 U.S.C. 421);
    (2) technical or specialized national intelligence collection and 
      processing systems that, if disclosed in an unauthorized manner, 
      would substantially negate or impair the effectiveness of the 
      system;
    (3) the details of:
      (A) the nature, contents, algorithm, preparation, or use of any 
      code, cipher, or cryptographic system or;
      (B) the design, construction, functioning, maintenance, or repair 
      of any cryptographic equipment; but not including information 
      concerning the use of cryptographic equipment and services;
    (4) particularly sensitive special access programs, the disclosure 
      of which would substantially negate or impair the effectiveness of 
      the information or activity involved; or
    (5) especially sensitive nuclear weapons design information (but 
      only for those positions that have been certified as being of a 
      high degree of importance or sensitivity, as described in section 
      145(f) of the Atomic Energy Act of 1954, as amended).
    (b) An employee may not be granted access, or hold a position 
designated as requiring access, to information described in subsection 
(a) unless, as a condition of access to such information, the employee:
    (1) files with the head of the agency a financial disclosure report, 
      including information with respect to the spouse and dependent 
      children of the employee, as part of all background investigations 
      or reinvestigations;
    (2) is subject to annual financial disclosure requirements, if 
      selected by the agency head; and
    (3) files relevant information concerning foreign travel, as 
      determined by the Security Policy Board.
    (c) Not later than 180 days after the effective date of this order, 
the Security Policy Board shall develop procedures for the 
implementation of this section, including a standard financial 
disclosure form for use by employees under subsection (b) of this 
section, and agency heads shall identify certain employees, by position 
or category, who are subject to annual financial disclosure.
    Sec. 1.4. Use of Automated Financial Record Data Bases. As part of 
all investigations and reinvestigations described in section 1.2(d) of 
this order, agencies may request the Department of the Treasury, under 
terms and conditions prescribed by the Secretary of the Treasury, to 
search automated data bases consisting of reports of currency 
transactions by financial institutions, international transportation of 
currency or monetary instruments, foreign bank and financial accounts, 
transactions under $10,000 that are reported as possible money 
laundering violations, and records of foreign travel.
    Sec. 1.5. Employee Education and Assistance. The head of each agency 
that grants access to classified information shall establish a program 
for employees with access to classified information to: (a) educate 
employees about individual responsibilities under this order; and
    (b) inform employees about guidance and assistance available 
concerning issues that may affect their eligibility for access to 
classified information, including sources of assistance for employees 
who have questions or concerns about financial matters, mental health, 
or substance abuse.

Part 2  Access Eligibility Policy and Procedure

    Sec. 2.1. Eligibility Determinations. (a) Determinations of 
eligibility for access to classified information shall be based on 
criteria established under this order. Such determinations are separate 
from suitability determinations with respect to the hiring or retention 
of persons for employment by the government or any other personnel 
actions.
    (b) The number of employees that each agency determines are eligible 
for access to classified information shall be kept to the minimum 
required for the conduct of agency functions.

[[Page 1368]]

    (1) Eligibility for access to classified information shall not be 
      requested or granted solely to permit entry to, or ease of 
      movement within, controlled areas when the employee has no need 
      for access and access to classified information may reasonably be 
      prevented. Where circumstances indicate employees may be 
      inadvertently exposed to classified information in the course of 
      their duties, agencies are authorized to grant or deny, in their 
      discretion, facility access approvals to such employees based on 
      an appropriate level of investigation as determined by each 
      agency.
    (2) Except in agencies where eligibility for access is a mandatory 
      condition of employment, eligibility for access to classified 
      information shall only be requested or granted based on a 
      demonstrated, foreseeable need for access. Requesting or approving 
      eligibility in excess of actual requirements is prohibited.
    (3) Eligibility for access to classified information may be granted 
      where there is a temporary need for access, such as one-time 
      participation in a classified project, provided the investigative 
      standards established under this order have been satisfied. In 
      such cases, a fixed date or event for expiration shall be 
      identified and access to classified information shall be limited 
      to information related to the particular project or assignment.
    (4) Access to classified information shall be terminated when an 
      employee no longer has a need for access.
    Sec. 2.2. Level of Access Approval. (a) The level at which an access 
approval is granted for an employee shall be limited, and relate 
directly, to the level of classified information for which there is a 
need for access. Eligibility for access to a higher level of classified 
information includes eligibility for access to information classified at 
a lower level.
    (b) Access to classified information relating to a special access 
program shall be granted in accordance with procedures established by 
the head of the agency that created the program or, for programs 
pertaining to intelligence activities (including special activities but 
not including military operational, strategic, and tactical programs) or 
intelligence sources and methods, by the Director of Central 
Intelligence. To the extent possible and consistent with the national 
security interests of the United States, such procedures shall be 
consistent with the standards and procedures established by and under 
this order.
    Sec. 2.3 Temporary Access to Higher Levels. (a) An employee who has 
been determined to be eligible for access to classified information 
based on favorable adjudication of a completed investigation may be 
granted temporary access to a higher level where security personnel 
authorized by the agency head to make access eligibility determinations 
find that such access:
    (1) is necessary to meet operational or contractual exigencies not 
      expected to be of a recurring nature;
    (2) will not exceed 180 days; and
    (3) is limited to specific, identifiable information that is made 
      the subject of a written access record.
    (b) Where the access granted under subsection (a) of this section 
involves another agency's classified information, that agency must 
concur before access to its information is granted.
    Sec. 2.4. Reciprocal Acceptance of Access Eligibility 
Determinations. (a) Except when an agency has substantial information 
indicating that an employee may not satisfy the standards in section 3.1 
of this order, background investigations and eligibility determinations 
conducted under this order shall be mutually and reciprocally accepted 
by all agencies.
    (b) Except where there is substantial information indicating that 
the employee may not satisfy the standards in section 3.1 of this order, 
an employee with existing access to a special access program shall not 
be denied eligibility for access to another special access program at 
the same sensitivity level as determined personally by the agency head 
or deputy agency head, or have an existing access eligibility 
readjudicated, so long as the employee has a need for access to the 
information involved.
    (c) This section shall not preclude agency heads from establishing 
additional, but not duplicative, investigative or adjudicative pro- 

[[Page 1369]]

cedures for a special access program or for candidates for detail or 
assignment to their agencies, where such procedures are required in 
exceptional circumstances to protect the national security.
    (d) Where temporary eligibility for access is granted under sections 
2.3 or 3.3 of this order or where the determination of eligibility for 
access is conditional, the fact of such temporary or conditional access 
shall be conveyed to any other agency that considers affording the 
employee access to its information.
    Sec. 2.5. Specific Access Requirement. (a) Employees who have been 
determined to be eligible for access to classified information shall be 
given access to classified information only where there is a need-to-
know that information.
    (b) It is the responsibility of employees who are authorized holders 
of classified information to verify that a prospective recipient's 
eligibility for access has been granted by an authorized agency official 
and to ensure that a need-to-know exists prior to allowing such access, 
and to challenge requests for access that do not appear well-founded.
    Sec. 2.6. Access by Non-United States Citizens. (a) Where there are 
compelling reasons in furtherance of an agency mission, immigrant alien 
and foreign national employees who possess a special expertise may, in 
the discretion of the agency, be granted limited access to classified 
information only for specific programs, projects, contracts, licenses, 
certificates, or grants for which there is a need for access. Such 
individuals shall not be eligible for access to any greater level of 
classified information than the United States Government has determined 
may be releasable to the country of which the subject is currently a 
citizen, and such limited access may be approved only if the prior 10 
years of the subject's life can be appropriately investigated. If there 
are any doubts concerning granting access, additional lawful 
investigative procedures shall be fully pursued.
    (b) Exceptions to these requirements may be permitted only by the 
agency head or the senior agency official designated under section 6.1 
of this order to further substantial national security interests.

Part 3  Access Eligibility Standards

    Sec. 3.1. Standards. (a) No employee shall be deemed to be eligible 
for access to classified information merely by reason of Federal service 
or contracting, licensee, certificate holder, or grantee status, or as a 
matter of right or privilege, or as a result of any particular title, 
rank, position, or affiliation.
    (b) Except as provided in sections 2.6 and 3.3 of this order, 
eligibility for access to classified information shall be granted only 
to employees who are United States citizens for whom an appropriate 
investigation has been completed and whose personal and professional 
history affirmatively indicates loyalty to the United States, strength 
of character, trustworthiness, honesty, reliability, discretion, and 
sound judgment, as well as freedom from conflicting allegiances and 
potential for coercion, and willingness and ability to abide by 
regulations governing the use, handling, and protection of classified 
information. A determination of eligibility for access to such 
information is a discretionary security decision based on judgments by 
appropriately trained adjudicative personnel. Eligibility shall be 
granted only where facts and circumstances indicate access to classified 
information is clearly consistent with the national security interests 
of the United States, and any doubt shall be resolved in favor of the 
national security.
    (c) The United States Government does not discriminate on the basis 
of race, color, religion, sex, national origin, disability, or sexual 
orientation in granting access to classified information.
    (d) In determining eligibility for access under this order, agencies 
may investigate and consider any matter that relates to the 
determination of whether access is clearly consistent with the interests 
of national security. No inference concerning the standards in this 
section may be raised solely on the basis of the sexual orientation of 
the employee.
    (e) No negative inference concerning the standards in this section 
may be raised solely on the basis of mental health counseling. Such 
counseling can be a positive factor in eligibility determinations. 
However, mental health counseling, where relevant to the adjudication of 
access to classified information,

[[Page 1370]]

may justify further inquiry to determine whether the standards of 
subsection (b) of this section are satisfied, and mental health may be 
considered where it directly relates to those standards.
    (f) Not later than 180 days after the effective date of this order, 
the Security Policy Board shall develop a common set of adjudicative 
guidelines for determining eligibility for access to classified 
information, including access to special access programs.
    Sec. 3.2. Basis for Eligibility Approval. (a) Eligibility 
determinations for access to classified information shall be based on 
information concerning the applicant or employee that is acquired 
through the investigation conducted pursuant to this order or otherwise 
available to security officials and shall be made part of the 
applicant's or employee's security record. Applicants or employees shall 
be required to provide relevant information pertaining to their 
background and character for use in investigating and adjudicating their 
eligibility for access.
    (b) Not later than 180 days after the effective date of this order, 
the Security Policy Board shall develop a common set of investigative 
standards for background investigations for access to classified 
information. These standards may vary for the various levels of access.
    (c) Nothing in this order shall prohibit an agency from utilizing 
any lawful investigative procedure in addition to the investigative 
requirements set forth in this order and its implementing regulations to 
resolve issues that may arise during the course of a background 
investigation or reinvestigation.
    Sec. 3.3. Special Circumstances. (a) In exceptional circumstances 
where official functions must be performed prior to the completion of 
the investigative and adjudication process, temporary eligibility for 
access to classified information may be granted to an employee while the 
initial investigation is underway. When such eligibility is granted, the 
initial investigation shall be expedited.
    (1) Temporary eligibility for access under this section shall 
      include a justification, and the employee must be notified in 
      writing that further access is expressly conditioned on the 
      favorable completion of the investigation and issuance of an 
      access eligibility approval. Access will be immediately 
      terminated, along with any assignment requiring an access 
      eligibility approval, if such approval is not granted.
    (2) Temporary eligibility for access may be granted only by security 
      personnel authorized by the agency head to make access eligibility 
      determinations and shall be based on minimum investigative 
      standards developed by the Security Policy Board not later than 
      180 days after the effective date of this order.
    (3) Temporary eligibility for access may be granted only to 
      particular, identified categories of classified information 
      necessary to perform the lawful and authorized functions that are 
      the basis for the granting of temporary access.
    (b) Nothing in subsection (a) shall be construed as altering the 
authority of an agency head to waive requirements for granting access to 
classified information pursuant to statutory authority.
    (c) Where access has been terminated under section 2.1(b)(4) of this 
order and a new need for access arises, access eligibility up to the 
same level shall be reapproved without further investigation as to 
employees who were determined to be eligible based on a favorable 
adjudication of an investigation completed within the prior 5 years, 
provided they have remained employed by the same employer during the 
period in question, the employee certifies in writing that there has 
been no change in the relevant information provided by the employee for 
the last background investigation, and there is no information that 
would tend to indicate the employee may no longer satisfy the standards 
established by this order for access to classified information.
    (d) Access eligibility shall be reapproved for individuals who were 
determined to be eligible based on a favorable adjudication of an 
investigation completed within the prior 5 years and who have been 
retired or otherwise separated from United States Government employment 
for not more than 2 years; provided there is no indication the 
individual may no longer satisfy the standards of this order, the 
individual certifies in writing that there has been no change in the 
relevant in- 

[[Page 1371]]

formation provided by the individual for the last background 
investigation, and an appropriate record check reveals no unfavorable 
information.
    Sec. 3.4. Reinvestigation Requirements. (a) Because circumstances 
and characteristics may change dramatically over time and thereby alter 
the eligibility of employees for continued access to classified 
information, reinvestigations shall be conducted with the same priority 
and care as initial investigations.
    (b) Employees who are eligible for access to classified information 
shall be the subject of periodic reinvestigations and may also be 
reinvestigated if, at any time, there is reason to believe that they may 
no longer meet the standards for access established in this order.
    (c) Not later than 180 days after the effective date of this order, 
the Security Policy Board shall develop a common set of reinvestigative 
standards, including the frequency of reinvestigations.

Part 4  Investigations for Foreign Governments

    Sec. 4. Authority. Agencies that conduct background investigations, 
including the Federal Bureau of Investigation and the Department of 
State, are authorized to conduct personnel security investigations in 
the United States when requested by a foreign government as part of its 
own personnel security program and with the consent of the individual.

Part 5  Review of Access Determinations

    Sec. 5.1. Determinations of Need for Access. A determination under 
section 2.1(b)(4) of this order that an employee does not have, or no 
longer has, a need for access is a discretionary determination and shall 
be conclusive.
    Sec. 5.2. Review Proceedings for Denials or Revocations of 
Eligibility for Access. (a) Applicants and employees who are determined 
to not meet the standards for access to classified information 
established in section 3.1 of this order shall be:
    (1) provided as comprehensive and detailed a written explanation of 
      the basis for that conclusion as the national security interests 
      of the United States and other applicable law permit;
    (2) provided within 30 days, upon request and to the extent the 
      documents would be provided if requested under the Freedom of 
      Information Act (5 U.S.C. 552) or the Privacy Act (3 U.S.C. 552a), 
      as applicable, any documents, records, and reports upon which a 
      denial or revocation is based;
    (3) informed of their right to be represented by counsel or other 
      representative at their own expense; to request any documents, 
      records, and reports as described in section 5.2(a)(2) upon which 
      a denial or revocation is based; and to request the entire 
      investigative file, as permitted by the national security and 
      other applicable law, which, if requested, shall be promptly 
      provided prior to the time set for a written reply;
    (4) provided a reasonable opportunity to reply in writing to, and to 
      request a review of, the determination;
    (5) provided written notice of and reasons for the results of the 
      review, the identity of the deciding authority, and written notice 
      of the right to appeal;
    (6) provided an opportunity to appeal in writing to a high level 
      panel, appointed by the agency head, which shall be comprised of 
      at least three members, two of whom shall be selected from outside 
      the security field. Decisions of the panel shall be in writing, 
      and final except as provided in subsection (b) of this section; 
      and
    (7) provided an opportunity to appear personally and to present 
      relevant documents, materials, and information at some point in 
      the process before an adjudicative or other authority, other than 
      the investigating entity, as determined by the agency head. A 
      written summary or recording of such appearance shall be made part 
      of the applicant's or employee's security record, unless such 
      appearance occurs in the presence of the appeals panel described 
      in subsection (a)(6) of this section.
    (b) Nothing in this section shall prohibit an agency head from 
personally exercising the appeal authority in subsection (a)(6) of

[[Page 1372]]

this section based upon recommendations from an appeals panel. In such 
case, the decision of the agency head shall be final.
    (c) Agency heads shall promulgate regulations to implement this 
section and, at their sole discretion and as resources and national 
security considerations permit, may provide additional review 
proceedings beyond those required by subsection (a) of this section. 
This section does not require additional proceedings, however, and 
creates no procedural or substantive rights.
    (d) When the head of an agency or principal deputy personally 
certifies that a procedure set forth in this section cannot be made 
available in a particular case without damaging the national security 
interests of the United States by revealing classified information, the 
particular procedure shall not be made available. This certification 
shall be conclusive.
    (e) This section shall not be deemed to limit or affect the 
responsibility and power of an agency head pursuant to any law or other 
Executive order to deny or terminate access to classified information in 
the interests of national security. The power and responsibility to deny 
or terminate access to classified information pursuant to any law or 
other Executive order may be exercised only where the agency head 
determines that the procedures prescribed in subsection (a) of this 
section cannot be invoked in a manner that is consistent with national 
security. This determination shall be conclusive.
    (f)(1) This section shall not be deemed to limit or affect the 
responsibility and power of an agency head to make determinations of 
suitability for employment.
    (2) Nothing in this section shall require that an agency provide the 
procedures prescribed in subsection (a) of this section to an applicant 
where a conditional offer of employment is withdrawn for reasons of 
suitability or any other reason other than denial of eligibility for 
access to classified information.
    (3) A suitability determination shall not be used for the purpose of 
denying an applicant or employee the review proceedings of this section 
where there has been a denial or revocation of eligibility for access to 
classified information.

Part 6  Implementation

    Sec. 6.1. Agency Implementing Responsibilities. Heads of agencies 
that grant employees access to classified information shall: (a) 
designate a senior agency official to direct and administer the agency's 
personnel security program established by this order. All such programs 
shall include active oversight and continuing security education and 
awareness programs to ensure effective implementation of this order;
    (b) cooperate, under the guidance of the Security Policy Board, with 
other agencies to achieve practical, consistent, and effective 
adjudicative training and guidelines; and
    (c) conduct periodic evaluations of the agency's implementation and 
administration of this order, including the implementation of section 
1.3(a) of this order. Copies of each report shall be provided to the 
Security Policy Board.
    Sec. 6.2. Employee Responsibilities. (a) Employees who are granted 
eligibility for access to classified information shall:
    (1) protect classified information in their custody from 
      unauthorized disclosure;
    (2) report all contacts with persons, including foreign nationals, 
      who seek in any way to obtain unauthorized access to classified 
      information;
    (3) report all violations of security regulations to the appropriate 
      security officials; and
    (4) comply with all other security requirements set forth in this 
      order and its implementing regulations.
    (b) Employees are encouraged and expected to report any information 
that raises doubts as to whether another employee's continued 
eligibility for access to classified information is clearly consistent 
with the national security.
    Sec. 6.3. Security Policy Board Responsibilities and Implementation. 
(a) With respect to actions taken by the Security Policy Board pursuant 
to sections 1.3(c), 3.1(f), 3.2(b), 3.3(a)(2), and 3.4(c) of this order, 
the Security Policy Board shall make recommendations to the President 
through the Assistant to the President for National Security Affairs for 
implementation.
    (b) Any guidelines, standards, or procedures developed by the 
Security Policy Board

[[Page 1373]]

pursuant to this order shall be consistent with those guidelines issued 
by the Federal Bureau of Investigation in March 1994 on Background 
Investigations Policy/Guidelines Regarding Sexual Orientation.
    (c) In carrying out its responsibilities under this order, the 
Security Policy Board shall consult where appropriate with the Overseas 
Security Policy Board. In carrying out its responsibilities under 
section 1.3(c) of this order, the Security Policy Board shall obtain the 
concurrence of the Director of the Office of Management and Budget.
    Sec. 6.4. Sanctions. Employees shall be subject to appropriate 
sanctions if they knowingly and willfully grant eligibility for, or 
allow access to, classified information in violation of this order or 
its implementing regulations. Sanctions may include reprimand, 
suspension without pay, removal, and other actions in accordance with 
applicable law and agency regulations.

Part 7  General Provisions

    Sec. 7.1. Classified Information Procedures Act. Nothing in this 
order is intended to alter the procedures established under the 
Classified Information Procedures Act (18 U.S.C. App. 1).
    Sec. 7.2. General. (a) Information obtained by an agency under 
sections 1.2(e) or 1.3 of this order may not be disseminated outside the 
agency, except to:
    (1) the agency employing the employee who is the subject of the 
records or information;
    (2) the Department of Justice for law enforcement or 
      counterintelligence purposes; or
    (3) any agency if such information is clearly relevant to the 
      authorized responsibilities of such agency.
    (b) The Attorney General, at the request of the head of an agency, 
shall render an interpretation of this order with respect to any 
question arising in the course of its administration.
    (c) No prior Executive orders are repealed by this order. To the 
extent that this order is inconsistent with any provision of any prior 
Executive order, this order shall control, except that this order shall 
not diminish or otherwise affect the requirements of Executive Order No. 
10450, the denial and revocation procedures provided to individuals 
covered by Executive Order No. 10865, as amended, or access by 
historical researchers and former presidential appointees under 
Executive Order No. 12958 or any successor order.
    (d) If any provision of this order or the application of such 
provision is held to be invalid, the remainder of this order shall not 
be affected.
    (e) This Executive order is intended only to improve the internal 
management of the executive branch and is not intended to, and does not, 
create any right to administrative or judicial review, or any other 
right or benefit or trust responsibility, substantive or procedural, 
enforceable by a party against the United States, its agencies or 
instrumentalities, its officers or employees, or any other person.
    (f) This order is effective immediately.
                                            William J. Clinton
The White House,
August 2, 1995.

[Filed with the Office of the Federal Register, 12:18 p.m., August 4, 
1995]

Note: This Executive order was released by the Office of the Press 
Secretary on August 4, and it was published in the Federal Register on 
August 7.