August 26, 2004

                                                                                                                               105-19

 

 

                                                                                 Sunset Review:  August 26, 2008

 

 

SUBJECT:  Delegation of Original Classification Authority; Requirements for Declassification and Downgrading

 

Pursuant to the authority vested in the Secretary of the Treasury, including the authority in 31 U.S.C. 321(b), and sections 1.3, 2.1 and 3.3 of Executive Order (E.O.) 12958 of April 17, 1995, as amended, entitled “ Classified National Security Information,” the following delegations are made with respect to the classification of national security information. 

 

1.  ORIGINAL CLASSIFICATION AUTHORITY. 

 

            a.  The following officials are delegated original classification authority as indicated. 

 

Original Top Secret                                          Original Secret and Confidential

 

Deputy Secretary                                              Assistant Secretary (Economic Policy)

Under Secretary (International Affairs)  Assistant Secretary (International Affairs)

Under Secretary (Domestic Finance)                 Assistant Secretary (Financial Markets)

Under Secretary (Enforcement)             Assistant Secretary (Financial Institutions)

General Counsel                                               Fiscal Assistant Secretary

Assistant Secretary (Terrorist Financing)           Director, United States Mint

Assistant Secretary (Intelligence                        Director, Bureau of Engraving and Printing

    and Analysis)                                                Assistant Inspector General (Audit)

Assistant Secretary (Management)                    Assistant Inspector General (Investigations)

Chief of Staff

Executive Secretary

Inspector General 

Director, Financial Crimes Enforcement Network

Deputy Assistant Secretary (Intelligence and Analysis)

Deputy Assistant Secretary (Security)

Director, Foreign Assets Control                                                 

Senior Advisor/Deputy Treasury

   Emergency Coordinator

 

            b.  The authority delegated in section 1.a inheres within the office and may be exercised by a person properly acting in that capacity. 

 

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2.  TRAINING AND OTHER REQUIREMENTS. 

 

            a.  The officials delegated original classification authority in section 1.a shall individually:

                                                                                                                                                                        i. Generate and approve a classification guide (or guides) within their office or bureau, or adopt in writing an existing Treasury-approved classification guide (or guides), to ensure proper and standardized derivative classification decisions; 

 

                        ii. Acquaint themselves with all applicable orders and directives relating to classified information; 

 

                        iii. Undergo mandatory original classification authority training conducted or approved by Treasury Headquarters and/or bureau security officials on an annual basis.  This training is to ensure that designated officials with original classification authority are proficient in processing, marking, and safeguarding classified information; and 

 

                        iv. Ensure that personnel in that official’s organization with access to classified information are proficient with requirements for processing, marking, and safeguarding classified information, as appropriate (including attending annual and special security training conducted or approved by Treasury Headquarters and/or bureau security officials).

 

            b.  The Treasury Inspector General for Tax Administration and those Treasury Assistant Secretaries and Heads of Bureaus without original classification authority shall acquaint themselves with all applicable orders and directives relating to classified information and ensure their employees with a security clearance are similarly familiar with all applicable orders and directives relating to classified information (including attending annual and special security training conducted or approved by Treasury Headquarters and/or bureau security officials).  

 

3.  SECURITY POINT OF CONTACT.

 

            a.  Each official delegated original classification authority in section 1.a shall identify, in writing, a security point of contact (SPC) as that official’s liaison with responsible Treasury Headquarters security officials, as applicable.  All SPCs shall:

 

                        i.   Coordinate and document required training; 

 

                        ii.  Prepare annual reports on the number of originally and derivatively classified documents generated within their organization and the number of people who

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classified those documents.  These reports will be based on accurate and up to date records that include related costs associated with security classification activities; and

 

                        iii.  Provide additional reports requested by Treasury Headquarters security officials. 

                                                                                                                       

            b.  The Treasury Inspector General for Tax Administration and those Treasury Assistant Secretaries and Heads of Bureaus without original classification authority shall also identify, in writing, a SPC as their liaison with Treasury Headquarters security officials. 

 

4.  DELEGATION.  Pursuant to E.O. 12958, as amended, only the Secretary of the Treasury may delegate the authority to originally classify national security information as Top Secret; only the Secretary or the Department’s Senior Agency Official for the information security program may delegate original Secret or Confidential classification authority.  The Assistant Secretary for Intelligence and Analysis is the Senior Agency Official for the Department and is hereby authorized to delegate original Secret or Confidential classification authority in conformance with the requirements of E.O. 12958, as amended.  Any proposed delegation must be in writing using the Report of Authorized Classifiers, Treasury Department Form (TD F) 71-01.14 and be forwarded to Treasury’s Office of Security Programs.   The Office of Security Programs may request further justification as to why an official should be so designated, and shall consolidate all recommended Secret and Confidential delegations (not otherwise included in Treasury Order 105-19) into a single listing for Treasury’s Senior Agency Official approval. Such consolidations shall be done on an annual basis in conjunction with data reported by Treasury to the Information Security Oversight Office.    

 

5.  DERIVATIVE CLASSIFICATION AUTHORITY.  Any Treasury or bureau employee with a security clearance may derivatively classify national security information (at the Top Secret, Secret or Confidential level) up to the level of their clearance.  In order to derivatively classify, an employee must possess a properly authorized security clearance, have the means to properly safeguard classified information, have access to specifically approved equipment for properly processing classified information, and have been briefed on requirements for properly safeguarding classified information.  Decisions to derivatively classify shall be based on using:

 

            a. an approved classification guide(s);

 

            b. an existing classified source document(s); or

 

            c.  information from attendance at classified meetings.

 

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6.  Downgrading and Declassification Authority. 

 

            a.   To comply with section 3.3 of E.O. 12958, as amended, each office/bureau within the Department with permanent, classified records that are now 25 years of age (or will be each December 31st) shall develop a declassification plan and update the plan to accommodate records as they approach the 25 year life-cycle.  This includes each bureau;

an office of an Inspector General; and, within the Departmental Offices, the office of each position identified in section 1.a above.  Organizations which have undergone restructuring and are in possession of permanent, classified records from predecessor organizations, that are now 25 years of age (or older) or that will become 25 years of age and be subject to automatic declassification, must also develop a declassification plan.  The Executive Secretary shall be responsible for developing declassification plans for the Secretary’s and Deputy Secretary’s offices.  The Assistant Secretary for Intelligence and Analysis may establish standards or guidance for declassification plans that shall be applicable throughout the Department.

 

            b.  Those officials listed in section 1.a above, the Treasury Inspector General for Tax Administration, and all heads of  bureaus, are authorized to downgrade and declassify Treasury-originated classified information (at the Top Secret, Secret or Confidential level) that was created by their organization or by a predecessor organization now under their jurisdiction.  The Assistant Secretary for Intelligence and Analysis shall be the head of the Departmental Offices for this purpose.  The authority for downgrading and declassification may be redelegated to subordinates.  All redelegations must be in writing on TD F 71-01.11, Report of Authorized Downgrading and Declassification Officials, and forwarded to Treasury’s Office of Security Programs for signature by the Secretary or the Senior Agency Official. 

 

            c.   Officials are encouraged to consult with security and records management officers when making downgrading and declassification decisions.  

 

7.  DEMONSTRABLE AND CONTINUING NEED.  Treasury’s Office of Security Programs is responsible for monitoring the exercise of original classification authority throughout the Department.  This includes recommending any additions or deletions in the listing of officials in section 1.a above.  Recommendations for changes shall be based on the demonstrable and continuing need of the official to exercise original classification authority (including specialized projects warranting classification for national security reasons) as reported on annual security classification management program data reports.

 

8.  CANCELLATION. 

 

            a.  Treasury Order 102-19, Delegation of Original and Derivative Classification Authority, dated March 19, 1998, is rescinded. 


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            b.  All previous delegations of classification, downgrading and/or declassification authority, including delegations set forth in TD F 71-01.14, Report of Authorized Classifiers, TD F 71-01.18, Report of Authorized Derivative Classifiers, and

TD F 71-01.11, Report of Authorized Downgrading and Declassification Officials, are rescinded effective December 31, 2004 or, if it occurs earlier, when such a report is

updated in conjunction with Treasury’s Fiscal Year 2004 submission of the Agency Security Classification Management Program Data report to the Information Security Oversight Office. Delegations made after December 31, 2004, or in conjunction with Treasury’s Fiscal Year 2004 Agency Security Classification Management Program Data report shall be reviewed and updated annually.

 

9.  OFFICE OF PRIMARY INTEREST.  Office of the Assistant Secretary for Intelligence and Analysis, Office of the Deputy Assistant Secretary for Security, Office of Security Programs.

 

 

 

 

                                                            John W. Snow

                                                            Secretary of the Treasury