INDEX


U.S. Department of Energy                                    ORDER
     Washington, D.C.                                     DOE 5630.12A
                                                            6-23-92

SUBJECT:  SAFEGUARDS AND SECURITY INSPECTION AND ASSESSMENT PROGRAM

1.  PURPOSE.  To establish an independent inspection and assessment program
    to determine the effectiveness of the Department's safeguards and
    security policies and procedures, including their implementation across
    the Department.

2.  CANCELLATION.  DOE 5630.12, SAFEGUARDS AND SECURITY INSPECTION AND
    EVALUATION PROGRAM, of 2-3-88.

3.  BACKGROUND.  The effectiveness of the Department's safeguards and
    security programs shall be determined through a program of independent
    inspections and assessments conducted by the Assistant Secretary for
    Environment, Safety and Health (EH-1) through the Deputy Assistant
    Secretary for Security Evaluations (EH-4).

4.  REFERENCES.

    a.  Title 42, United States Code (U.S.C.), 2283, Atomic Energy Act of
        1954 (as amended), "Protection Of Nuclear Inspections," which
        establishes the legal requirement for oversight.

    b.  DOE 5630.11, SAFEGUARDS AND SECURITY PROGRAM, of 1-22-88, which
        establishes the policy and responsibilities for the safeguards and
        security program.

    c.  DOE 5630.13, MASTER SAFEGUARDS AND SECURITY AGREEMENTS, of 2-3-88,
        which establishes the policy, requirements, responsibilities, and
        authorities for the development of Master Safeguards and Security
        Agreements.

    d.  DOE 5630.14, SAFEGUARDS AND SECURITY PROGRAM PLANNING, of 11-16-88,
        which establishes a standardized approach to protection program
        planning, and to prescribe Department of Energy policy, objectives,
        responsibilities, and authority for that planning process.

    e.  DOE 5632.1A, PROTECTION PROGRAM OPERATIONS, of 2-9-88, which
        establishes Department of Energy policies for the physical
        protection of security interests and baseline physical protection
        standards.

    f.  "SAFEGUARDS AND SECURITY STANDARDS AND CRITERIA," of 10-88, which
        establishes standards and associated criteria for evaluating
        safeguards and security systems.

5.  DEFINITIONS.

    a.   Closeout Briefings provide a summary of the inspection results to
         DOE management.  A DOE Field Office closeout briefing is normally
         conducted by the EH-4 inspection team prior to their departure and
         another is conducted for the Lead Program Secretarial Officer as
         soon as possible following their return to Headquarters.

    b.   Draft Inspection Reports contain inspection observations, findings,
         analyses, and ratings.  Draft inspection reports are provided to
         managers as appropriate to allow timely discharge of their
         respective duties and responsibilities.

    c.   Findings are concise, factual statements of key observations and
         conclusions resulting from an inspection and/or assessment
         activity.

    d.   Lead Program Secretarial Officer is the Program Secretarial Officer
         (PSO) assigned line management responsibility and accountability
         for Headquarters and field operations and to which one or more
         multiprogram field offices report directly.

    e.   Program Secretarial Officer is a senior outlay program official and
         includes the Assistant Secretaries for Conservation and Renewable
         Energy (CE), Defense Programs (DP), Fossil Energy (FE), Nuclear
         Energy (NE), Environmental Restoration and Waste Management (EM)
         and the Directors of Energy Research (ER), Civilian Radioactive
         Waste Management (RW), and New Production Reactors (NP).

    f.   Protection Program includes all aspects of the DOE's activities
         directed toward protection of national security interests and DOE
         property.  Any adverse impacts on the health and safety of the
         public resulting from implementation or failure of elements of the
         protection program are also included.

    g.   Protection Program Topic Areas are subject areas used by EH-4 to
         logically address the many elements of a protection program.  These
         are generally organized about the protection program areas defined
         in the Safeguards and Security Standards and Criteria.  From time
         to time modifications of the scope of certain topic areas may be
         necessary to accommodate site-specific concerns and programs as
         well as changes in threats, protection concepts and technologies.

    h.   System Performance Tests evaluate all or selected portions of
         safeguards and/or security systems as they exist at the time of the
         test.

    i.   Validated Data are inspection or assessment data which have been
         determined to be factually accurate.  Typical validation procedures
         include review of data with appropriate contractor and Federal
         staff and management.

6.  CONCEPT OF OPERATION.

    a.   EH-4 shall conduct an independent inspection and assessment
         program, consisting of inspections, assessments, special studies
         and other activities as appropriate, which will evaluate the
         effectiveness of DOE safeguards and security policies and programs,
         including their implementation across the Department.

    b.   The EH-4 program shall be independent of PSOs and other program
         line management having responsibility for protection program
         activities; however, the EH-4 activities will remain supplemental
         and complimentary to the line management oversight responsibilities
         including self-assessment activities.  On all inspections and
         assessments, EH-4 will coordinate with other programs to the
         maximum extent consistent with its independent oversight role.

    c.   EH-4 shall determine whether safeguards and security policies,
         programs, procedures, systems, personnel, and/or operations are
         able to meet protection program objectives when challenged by the
         spectrum of threats as defined in DOE threat statements, such as
         the DOE generic threat statement for nuclear facilities, or as may
         be otherwise Departmentally approved.

    d.   If no approved threat exists for an inspected site, the Deputy
         Assistant Secretary, EH-4, in coordination with the Office of
         Safeguards and Security, the Lead PSO and the cognizant field
         office manager shall select an approved threat statement to be
         employed as a basis for inspection and assessment activities.

    e.   Inspections shall use DOE Orders, the Safeguards and Security
         Standards and Criteria, approved site safeguards and security
         plans, approved exceptions, and other DOE policy guidance, such as
         Implementation Bulletins published by the Director, Naval Nuclear
         Propulsion Program, as the basis for program rating.  Other
         DOE-approved handbooks, procedural guides, and/or protocols may be
         used to develop detailed, site-specific inspection and assessment
         procedures and plans.

    f.   For DOE facilities licensed by other agencies (e.g., Nuclear
         Regulatory Commission (NRC)), EH-4 activities will take into
         account inspection and assessment activities of such agencies.  For
         NRC regulated activities, such as the Civilian Radioactive Waste
         Management Program, EH-4 oversight activities will be based on NRC
         safeguards and security regulations.  EH-4 activities will be
         structured to minimize or eliminate duplication of oversight
         efforts.

    g.   Inspections shall be conducted to review the effectiveness of the
         implementation of DOE protection programs and to determine the
         degree of compliance with applicable requirements in selected topic
         areas at a specific location.  Inspections include the conduct of
         activities at the management level and incorporate the results of
         system performance testing.  The inspection and system performance
         testing results are analyzed and documented.  The factual accuracy
         of observations and findings are verified with the staff or
         management personnel deemed best able to confirm the accuracy of
         the data.

         (1)  Inspections shall be Comprehensive Inspections, Safeguards and
              Security Readiness Reviews, or Special Inspections.

              (a)  Comprehensive Inspections review all major aspects of the
                   site protection program and assign ratings as
                   appropriate.  Notice of inspection dates is given at
                   least 30 calendar days in advance.

              (b)  Safeguards and Security Readiness Reviews (SSRR) are
                   conducted to assess routine facility status, to address
                   special concerns, or to provide spot checks of the
                   implementation of specific policies and procedures.
                   SSRRs will follow up on problems previously identified at
                   the site, probe areas known to be widespread problems
                   across DOE, and investigate or sample features critical
                   to effective protection program performance.  They have
                   limited scope and ratings may or may not be assigned.
                   Short-notice or no-notice of inspection dates shall be
                   provided.

              (c)  Special Inspections are conducted to meet nonrecurring
                   needs, such as followup of unsatisfactory ratings or as
                   otherwise directed by DOE management.  Special
                   Inspections will vary in scope from coverage of one or
                   two topics or locations up to a scope similar to a
                   Comprehensive Inspection.  Because of the unique nature
                   of each Special Inspection, the appropriateness of
                   assigning topic ratings will be determined on a
                   case-by-case basis.  Notice of inspection dates will be
                   given at least 30 calendar days in advance whenever
                   practical.

         (2)  Inspections may result in the assignment of one of three
              ratings:  satisfactory, marginal, or unsatisfactory.  These
              ratings may be applied to protection program topic areas,
              summary areas, or, in the case of special inspections and
              safeguards and security readiness reviews, may be applied to a
              single facility rating for the areas emphasized during that
              inspection.  The degree of risk for vital national security
              interests may be considered when assigning ratings.  The
              ratings are defined below.

              (a)  A Satisfactory rating is achieved when the protection
                   afforded by program elements within a rated area meets
                   identified protection needs or provides reasonable
                   assurance that those protection needs will be met should
                   they arise.

              (b)  A Marginal rating is achieved when protection afforded by
                   program elements within a rated area only partially meets
                   identified protection needs or provides questionable
                   assurance that those protection needs will be met should
                   they arise.

              (c)  An Unsatisfactory rating is achieved when protection
                   afforded by program elements within a rated area does not
                   meet identified protection needs or does not provide
                   adequate assurance that those protection needs will be
                   met should they arise.

         (3)  In order to provide DOE management with a clearer depiction of
              the overall status of the protection program at the inspected
              site, these ratings may be reported for one or more of three
              summary areas - Protection of Special Nuclear Material,
              Protection of Classified Matter, and Safeguards and Security
              Management and Oversight.  Topical ratings, if reported, may
              be combined with other integrating factors to determine
              ratings for these summary areas.

         (4)  In addition to ratings, inspections produce findings.
              Findings which reflect protection program shortcomings must be
              addressed in corrective action plans and progress toward their
              resolution will be monitored by EH-4, Office of Safeguards and
              Security (SA-10), and others as directed by DOE policy.

         (5)  Normally, prior to departing an inspected site, EH-4 shall
              provide the DOE Field Office Manager, or other appropriate
              management representatives as identified by the DOE Field
              Office Manager, with a closeout briefing summarizing the
              inspection findings and ratings and a draft copy of the
              inspection report.

         (6)  Immediately following the inspection, EH-4 shall provide the
              Lead PSO, or other appropriate management representatives as
              identified by the Lead PSO, with a draft copy of the
              inspection report and shall schedule an inspection closeout
              briefing summarizing the inspection findings and ratings and a
              draft copy of the inspection report.

         (7)  The results of the inspections shall be provided to the
              Secretary, the Under Secretary, the Lead PSO, other PSOs
              having national security interests at the inspected site(s),
              the DOE Field Office Manager, the Office of Security Affairs,
              the Inspector General's Office, and, as appropriate, the
              Administrators of the Power Marketing Administrations.

    h.   Assessments shall be conducted to address the effectiveness of
         protection program elements as implemented across the DOE.
         Assessments are characterized by analysis of complex-wide
         protection issues and recommendations for improvement.  Ratings are
         not normally assigned.  Assessments may also provide an analysis of
         a specific item of policy as implemented across the DOE complex,
         rather than an analysis of the broader issues of protection program
         elements.  EH-4 assessments, which address the entire complex, are
         not to be confused with the self-assessments conducted within
         specific programmatic areas.

    t.   Special studies shall be conducted as required.  Special studies are
         studies which do not fall within the scope of the normal EH-4
         products such as inspection reports and assessments, but which are
         required to address some area of the Department's safeguards and
         security program.

    j.   The results of inspections and assessment program activities shall
         be integrated and analyzed, together with other pertinent data, to
         provide the Secretary with an annual independent assessment of the
         status of safeguards and security across the Department.

7.  RESPONSIBILITIES AND AUTHORITIES.

    a.   The Secretary has overall responsibility and authority for DOE
         programs and, through the Under Secretary, takes necessary
         management actions to ensure that the Department's safeguards and
         security interests are effectively protected.

    b.   Assistant Secretary for Environment, Safety and Health, provides
         management direction and coordination for the independent
         inspection and assessment of the comprehensive Departmental
         protection program.  EH-1 shall:

         (1)  Establish procedures in coordination with PSOs for the
              implementation of the safeguards and security inspection and
              assessment program.

         (2)  Provide the Secretary an independent assessment of the status
              of the effectiveness of the safeguards and security policies
              and programs of the Department and their implementation in the
              field through execution of the EH-4 inspection and assessment
              program.

         (3)  Provide resources to support the EH-4 safeguards and security
              inspection and assessment program.

         (4)  Advise the Under Secretary of any unsatisfactory ratings:

              (a)  Immediately, if inspection results indicate a significant
                   vulnerability such as unacceptable risk in the areas of
                   special nuclear material theft or diversion, radiological
                   or industrial sabotage, or espionage; or

              (b)  Within 30 calendar days for all other unsatisfactory
                   ratings.

    c.   Lead Program Secretarial Officers, in coordination with tenant and
         landlord PSOs and Managers of DOE Field Offices, shall:

         (1)  Provide required support and access for EH-4 teams at all
              Government and contractor facilities under the Lead PSO's
              purview to ensure the effectiveness of the inspection and
              assessment program.

         (2)  Provide to EH-4, for facilities under their jurisdiction,
              protection program documentation requested, including
              site-specific safeguards and security plans, policies, and
              procedures.

         (3)  Designate points of contact to provide information exchange
              and logistical and scheduling support for EH-4 inspection and
              assessment activities in the field.

         (4)  Provide formal comments on factual accuracy of the inspection
              data to EH-4.  Comments shall be provided within 15 calendar
              days of receipt of the draft inspection report.

         (5)  Initiate corrective actions that effectively address the
              inspection findings in a timely manner, with due regard to the
              cost-effectiveness of the selected corrective actions.

         (6)  Take the following actions when a facility receives an
              unsatisfactory rating:

              (a)  If the rating indicates a significant vulnerability, such
                   as unacceptable risk in the areas of special nuclear
                   material theft or diversion, radiological or industrial
                   sabotage, or espionage, the Lead PSO, shall:

                   1  Within 24 hours of receipt of the draft inspection
                      report by the DOE Field Office, identify and implement
                      interim corrective actions to mitigate the identified
                      risk or vulnerability, and

                   2  Within 72 hours of receipt of the draft inspection
                      report by the DOE Field Office, provide a plan for
                      approval of the Under Secretary describing permanent
                      protective measures required to reduce the level of
                      risk to an acceptable level, including cost and
                      schedule for implementation.

              (b)  For all other unsatisfactory ratings, within 15 calendar
                   days of receipt of the draft inspection report by the
                   Lead PSO, notify the Under Secretary of interim
                   corrective actions taken, or to be taken, and any
                   permanent changes required including implementation
                   schedules to mitigate the identified risk(s) or
                   vulnerability(s).

              (c)  Copies of all correspondence relating to (a) and (b)
                   above shall be provided to EH-4 and SA-10.

         (7)  Take the following actions when a facility receives a marginal
              rating:

              (a)  Within 15 calendar days of receipt of the draft
                   inspection report by the Lead PSO, notify the Under
                   Secretary of interim corrective actions taken, or to be
                   taken, and any permanent changes required to mitigate the
                   identified risk(s) or vulnerability(s), including
                   implementation schedule and costs.

              (b)  Copies of all related correspondence shall be provided to
                   EH-4 and SA-10.

         (8)  Take the following actions when a facility is in noncompliance
              with applicable requirements or has an identified performance
              weakness:

              (a)  Within 15 calendar days of receipt of the draft
                   inspection report by the Lead PSO, inform the Under
                   Secretary of the steps taken to correct, and prevent a
                   recurrence of, items of noncompliance and performance
                   weaknesses.

              (b)  If not addressed in other written communications made
                   pursuant to paragraphs 7c(7) and (8), then additional
                   reporting to EH-4 and SA-10 is required.

    d.   Director, Naval Nuclear Propulsion Program (NE-60) shall:

         (1)  In accordance with the responsibilities and authorities
              assigned by Executive Order 12344 (statutorily prescribed by
              42 U.S.C. 7158 note), and to ensure consistency throughout the
              joint Navy/DOE organization of the Naval Nuclear Propulsion
              Program, implement and oversee all policy and practices
              pertaining to this DOE Order for activities under the
              Director's cognizance.

         (2)  Inform EH-4 of any modifications to DOE safeguards and
              security orders and policies unique to the operations of the
              Naval Nuclear Propulsion Program, such as Implementation
              Bulletins.

    e.   Director, Office of Security Affairs (SA-1) shall:

         (1)  Establish safeguards and security program policies, threat
              statements, standards, requirements, and guidance.

         (2)  Coordinate the resolution of safeguards and security program
              policy issues identified by EH-4.

         (3)  Provide the Under Secretary and the Deputy Assistant
              Secretary, EH-4, through EH-1, with an evaluation of proposed
              corrective actions within 30 calendar days of receipt of
              correction action proposals from the Lead PSO.

    f.   Managers of DOE Field Offices shall:

         (1)  In coordination with the Lead PSO, initiate corrective actions
              that effectively address EH-4 inspection findings.

         (2)  Support the Lead PSO in providing formal comments on the
              status of findings identified in draft inspection reports.

         (3)  Cooperate in EH-4 inspections and assessments by providing
              safeguards and security related documentation and information
              concerning programs under their jurisdiction, participating in
              special study groups, reviewing draft documents, and ensuring
              necessary support and access of contractor facilities for
              which the DOE Field Office provides contract oversight.

    g.  Deputy Assistant Secretary for Security Evaluations shall:

        (1)  Direct, manage, and conduct an independent inspection and
             assessment program to determine the effectiveness of the
             Department's safeguards and security policies and procedures,
             including their implementation across the Department.

        (2)  Develop and provide policies, plans, procedures, and schedules
             for the implementation of an independent safeguards and
             security inspection and assessment program.

        (3)  Submit policy issues identified during inspection and
             assessment activities to SA-10.

        (4)  Maintain awareness of the status of policy issues and
             programmatic issues including findings and ratings identified
             during EH-4 inspections and assessments.

        (5)  Review and approve the composition of EH-4 teams formed to
             conduct inspections, assessments, or other activities.

        (6)  Evaluate the effectiveness of DOE policies and programs in
             meeting requirements of Federal Statutes, Executive Orders, and
             any interagency agreements which may be active pertaining to
             the protection of national security interests from foreign
             intelligence exploitation.

        (7)  Conduct system performance tests and other activities to assess
             the effectiveness of management and oversight, protection of
             special nuclear material, and protection of classified matter
             at DOE Field Offices, facilities, and Headquarters.

        (8)  Prepare reports of inspections and assessments.

             (a)  A closeout briefing on the findings shall be provided to
                  the Manager of the cognizant DOE Field Office and the Lead
                  PSO, or their designated representatives, subsequent to
                  the inspection.

             (b)  A draft inspection report shall be made available to the
                  Manager of the cognizant DOE Field Office and the Lead PSO
                  for review and comment.

             (c)  For an inspection of Headquarters, the Under Secretary
                  shall be provided a closeout briefing and a draft
                  inspection report.

             (d)  Draft assessment reports shall be prepared as part of the
                  assessment process and presented for review and comment to
                  Managers of Headquarters and field organizations who were
                  involved in the study or who have a pertinent interest.
                  Upon receipt of comments, final assessment reports shall
                  be prepared and distributed.

             (e)  Final reports shall be published 60 days after receipts of
                  required comments or 60 days after comments are due,
                  whichever results in the earlier published date.

             (f)  Final reports shall be submitted to the Secretary of
                  Energy, the Under Secretary, EH-1, SA-1, and other Heads
                  of Headquarters and field elements who have a pertinent
                  interest.  The final reports will normally be sent to the
                  Managers and the safeguards and security directors of all
                  DOE Field Offices.

        (9)  Coordinate with Managers of DOE Field Offices, SA-1, and PSOs
             on timely communication of findings.

        (10) Coordinate within EH on matters of environment, safety, and
             health that may arise in the course of the EH-4 activities.

        (11) Present and defend the results of EH-4 activities.

        (12) Routinely advise the Director, Naval Nuclear Propulsion
             Program, of EH-4 activities in accordance with and as related
             to the director's responsibilities.  Additionally, coordinate
             topics to be inspected with NE-60 prior to the conduct of
             inspections and/or assessments at activities under NE-60
             purview in order to identify unique Naval Nuclear Propulsion
             Program programmatic implementation of DOE requirements.

BY ORDER OF THE SECRETARY OF ENERGY:



                                      DOLORES L. ROZZI
                                      Director of Administration
                                        and Human Resource Management