24 February 2011

Maritime Commission Information Security

[Federal Register: February 24, 2011 (Volume 76, Number 37)]
[Rules and Regulations]               
[Page 10262-10265]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr24fe11-16]                         

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FEDERAL MARITIME COMMISSION

46 CFR Part 503

[Docket No. 11-01]
RIN 3072-AC40

 
Information Security Program

AGENCY: Federal Maritime Commission.

ACTION: Final rule.

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SUMMARY: The Federal Maritime Commission (FMC or Commission) amends its 
regulations relating to its Information Security Program to reflect the 
changes implemented by Executive Order 13526--Classified National 
Security Information--that took effect January 5, 2010, and which 
prescribes a uniform system for classifying, safeguarding, and 
declassifying national security information, including information 
relating to defense against transnational terrorism.

DATES: Effective February 28, 2011.

FOR FURTHER INFORMATION CONTACT: Rebecca A. Fenneman, General Counsel, 
Federal Maritime Commission, 800 North Capitol Street, NW., Washington, 
DC 20573, (202) 523-5740, GeneralCounsel@fmc.gov.

SUPPLEMENTARY INFORMATION: The FMC amends Subpart F of Part 503 of 
Title 46

[[Page 10263]]

of the Code of Federal Regulations to reflect the changes implemented 
by Executive Order 13526--Classified National Security Information--
that took effect January 5, 2010, which prescribes a uniform system for 
classifying, safeguarding, and declassifying national security 
information, including information relating to defense against 
transnational terrorism.
    Because the changes made in this proceeding only address agency 
operating procedure and practice, which do not require notice and 
public comment pursuant to the Administrative Procedure Act, 5 U.S.C. 
553, this rule is published as final.
    This rule is not a ``major rule'' under 5 U.S.C. 804(2).

List of Subjects in 46 CFR Part 503

    Freedom of Information Act, Privacy, Sunshine Act.

    For the reasons stated in the SUPPLEMENTARY INFORMATION, the 
Federal Maritime Commission amends 46 CFR part 503 as follows.

PART 503--PUBLIC INFORMATION

0
1. Revise the authority citation for part 503 to read as follows:

    Authority: 5 U.S.C. 552, 552a, 552b, 553; 31 U.S.C. 9701; E.O. 
13526 of January 5, 2010 (75 FR 707), sections 5.1(a) and (b).

0
2. Amend Sec.  503.51 by revising paragraphs (i)(3), (j), (p), and (q) 
to read as follows:


Sec.  503.51  Definitions.

* * * * *
    (i) * * *
    (3) Information received and treated as ``Foreign Government 
Information'' under the terms of Executive Order 13526 or any 
predecessor order.
    (j) Mandatory declassification review means the review for 
declassification of classified information in response to a request for 
declassification that meets the requirements under section 3.5 of 
Executive Order 13526.
* * * * *
    (p) Self-inspection means the internal review and evaluation of 
individual Commission activities and the Commission as a whole with 
respect to the implementation of the program established under 
Executive Order 13526 and its implementing directives.
    (q) Senior agency official means the official designated by the 
Chairman under section 5.4(d) of Executive Order 13526 to direct and 
administer the Commission's program under which classified information 
is safeguarded.
* * * * *

0
3. Revise Sec.  503.52 to read as follows:


Sec.  503.52  Senior agency official.

    The Managing Director is designated as Senior Agency Official of 
the Commission, and shall be responsible for directing, administering 
and reporting on the Commission's information security program, which 
includes oversight (self-inspection) and security information programs 
to ensure effective implementation of Executive Orders 13526 and 12968 
and 32 CFR part 2001.
0
4. Amend Sec.  503.53 by revising the introductory text and paragraphs 
(a) and (d) to read as follows:


Sec.  503.53  Oversight Committee.

    An Oversight Committee is established, under the chairmanship of 
the Senior Agency Official with the following responsibilities:
    (a) Establish a Commission security education program to 
familiarize all personnel who have or may have access to classified 
information with the provisions of Executive Order 13526 and directives 
of the Information Security Oversight Office. The program shall include 
initial, refresher, and termination briefings;
* * * * *
    (d) Recommend appropriate administrative action to correct abuse or 
violations of any provision of Executive Order 13526; and
* * * * *

0
5. Amend Sec.  503.54 by revising paragraphs (b) and (c) to read as 
follows:


Sec.  503.54  Original classification.

* * * * *
    (b) If a Commission Member or employee develops information that 
appears to require classification, or receives any foreign government 
information as defined in section 6.1(s) of Executive Order 13526, the 
Member or employee shall immediately notify the Senior Agency Official 
and appropriately protect the information.
    (c) If the Senior Agency Official believes the information warrants 
classification, it shall be sent to the appropriate agency with 
original classification authority over the subject matter, or to the 
Information Security Oversight Office, for review and a classification 
determination.
* * * * *

0
6. Amend Sec.  503.55 as follows:
0
a. In paragraph (a) introductory text by removing the reference 
``Executive Order 12958'' and adding the reference ``Executive Order 
13526'' in its place; and
0
b. By adding paragraphs (c)(1) and (2) to read as follows:


Sec.  503.55  Derivative classification.

* * * * *
    (c) * * *
    (1) Classification authority. The authority for classification 
shall be shown as follows:
    (i) ``Classified by (description of source documents or 
classification guide),'' or
    (ii) ``Classified by multiple sources,'' if a document is 
classified on the basis of more than one source document or 
classification guide.
    (iii) In these cases, the derivative classifier shall maintain the 
identification of each source with the file or record copy of the 
derivatively classified document. A document derivatively classified on 
the basis of a source document that is marked ``Classified by Multiple 
Sources'' shall cite the source document in its ``Classified by'' line 
rather than the term ``Multiple sources.''
    (2) Declassification and downgrading instructions. Date or events 
for automatic declassification or downgrading, or the notation 
``Originating Agency's Determination Required'' to indicate that the 
document is not to be declassified automatically, shall be carried 
forward from the source document, or as directed by a classification 
guide, and shown on ``declassify on'' line as follows:
    ``Declassify on: (date, description of event);'' or ``Originating 
Agency's Determination Required (OADR).''
0
7. In Sec.  503.56, revise paragraph (a) to read as follows:


Sec.  503.56  General declassification and downgrading policy.

    (a) The Commission exercises declassification and downgrading 
authority in accordance with section 3.1 of Executive Order 13526, only 
over that information originally classified by the Commission under 
previous Executive Orders. Declassification and downgrading authority 
may be exercised by the Commission Chairman and the Senior Agency 
Official, and such others as the Chairman may designate. Commission 
personnel may not declassify information originally classified by other 
agencies.
* * * * *

0
8. Revise Sec.  503.57 to read as follows:


Sec.  503.57  Mandatory review for declassification.

    (a) Reviews and referrals in response to requests for mandatory 
declassification shall be conducted in compliance with section 3.5 of 
Executive Order 13526, 32 CFR 2001.33, and 32 CFR 2001.34.

[[Page 10264]]

    (b) Any individual may request a review of classified information 
and material in possession of the Commission for declassification. All 
information classified under Executive Order 13526 or a predecessor 
Order shall be subject to a review for declassification by the 
Commission, if:
    (1) The request describes the documents or material containing the 
information with sufficient specificity to enable the Commission to 
locate it with a reasonable amount of effort. Requests with 
insufficient description of the material will be returned to the 
requester for further information.
    (2) The information requested is not the subject of pending 
litigation.
    (3) The information requested has not been reviewed for 
declassification in the previous two years. If so, the FMC shall inform 
the requester of this fact and provide the requester with appeal rights 
in accordance with 32 CFR 2001.33(a)(2)(iii).
    (c) Requests shall be in writing, and shall be sent to: Office of 
the Managing Director, Attn.: Senior Agency Official, Federal Maritime 
Commission, Washington, DC 20573 or submitted via the FMC's on-line 
declassification information portal which provides an e-mail address 
through which requests can be submitted: http://www.http://www.fmc.gov/
about/web_policies_notices_and_acts.aspx.
    (d) If the request requires the provision of services by the 
Commission, fair and equitable fees may be charged pursuant to 31 
U.S.C. 9701.
    (e) Requests for mandatory declassification reviews shall be 
acknowledged by the Commission within 15 days of the date of receipt of 
such requests.
    (f) If the document was derivatively classified by the Commission 
or originally classified by another agency, the request, the document, 
and a recommendation for action shall be forwarded to the agency with 
the original classification authority. The Commission may, after 
consultation with the originating agency, inform the requester of the 
referral.
    (g) If a document is declassified in its entirety, it may be 
released to the requester, unless withholding is otherwise warranted 
under applicable law. If a document or any part of it is not 
declassified, the Senior Agency Official shall furnish the declassified 
portions to the requester unless withholding is otherwise warranted 
under applicable law, along with a brief statement concerning the 
reasons for the denial of the remainder, and the right to appeal that 
decision to the Commission appellate authority within 60 days.
    (h) If a declassification determination cannot be made within 45 
days, the requester shall be advised that additional time is needed to 
process the request. Final determination shall be made within one year 
from the date of receipt of the request. The Commission shall inform 
the requester in writing of the final determination and of the reasons 
for any denials. The Commission shall inform the requester in writing 
of his or her final appeal rights to the Interagency Security 
Classification Appeals Panel.
    (i) When a request has been submitted both under mandatory 
declassification review and the Freedom of Information Act (FOIA), the 
agency shall require the requester to select one process or the other. 
If the requester fails to select one process or the other, the request 
will be treated as a FOIA request unless the requested materials are 
subject only to mandatory declassification review.

0
9. Revise Sec.  503.58 to read as follows:


Sec.  503.58  Appeals of denials of mandatory declassification review 
requests.

    (a) Within 60 days after the receipt of denial of a request for 
mandatory declassification review, the requester may submit an appeal 
in writing to the Chairman through the Secretary, Federal Maritime 
Commission, Washington, DC 20573. The appeal shall:
    (1) Identify the document in the same manner in which it was 
identified in the original request;
    (2) Indicate the dates of the request and denial, and the expressed 
basis for the denial; and
    (3) State briefly why the document should be declassified.
    (b) The Chairman shall rule on the appeal within 60 working days of 
receiving it. If additional time is required to make a determination, 
the Chairman shall notify the requester of the additional time needed 
and provide the requester with the reason for the extension. The 
Chairman shall notify the requester in writing of the final 
determination and the reasons for any denial.
    (c) In accordance with section 5.3 of Executive Order 13526 and 32 
CFR 2001.33, within 60 days of such issuance, the requester may appeal 
a final determination of the Commission under paragraph (b) of this 
section to the Interagency Security Classification Appeals Panel. The 
appeal should be addressed to, Executive Secretary, Interagency 
Security Classification Appeals Panel, Attn: Classification Challenge 
Appeals, c/o Information Security Oversight Office, National Archives 
and Records Administration, 7th and Pennsylvania Avenue, NW., Room 5W, 
Washington, DC 20408.

0
10. Amend Sec.  503.59 by revising paragraphs (f) introductory text, 
(g)(2), (k), (m), (n), (o), (q)(1) through (3), (r), and (s) to read as 
follows:


Sec.  503.59  Safeguarding classified information.

* * * * *
    (f) Waivers under paragraph (e) of this section may be granted when 
the Commission Senior Agency Official:
* * * * *
    (g) * * *
    (2) To protect the classified information in accordance with the 
provisions of Executive Order 13526; and
* * * * *
    (k) An inventory of all documents classified higher than 
confidential shall be made at least annually and whenever there is a 
change in classified document custodians. The Senior Agency Official 
shall be notified, in writing, of the results of each inventory.
* * * * *
    (m) Combinations to dial-type locks shall be changed only by 
persons having an appropriate security clearance, and shall be changed 
whenever such equipment is placed in use; whenever a person knowing the 
combination no longer requires access to the combination; whenever a 
combination has been subject to possible compromise; whenever the 
equipment is taken out of service; and at least once each year. Records 
of combinations shall be classified no lower than the highest level of 
classified information to be stored in the security equipment 
concerned. One copy of the record of each combination shall be provided 
to the Senior Agency Official.
    (n) Individuals charged with the custody of classified information 
shall conduct the necessary inspections within their areas to insure 
adherence to procedural safeguards prescribed to protect classified 
information. The Commission Senior Agency Official shall conduct 
periodic inspections to determine if the procedural safeguards 
prescribed in this subpart are in effect at all times.
    (o) Whenever classified material is to be transmitted outside the 
Commission, the custodian of the classified material shall contact the 
Commission Senior Agency Official for preparation and receipting 
instructions. If the material is to be hand carried, the Senior Agency 
Official shall ensure that the person who will carry the material has 
the appropriate security clearance, is knowledgeable of safeguarding

[[Page 10265]]

requirements, and is briefed, if appropriate, concerning restrictions 
with respect to carrying classified material on commercial carriers.
* * * * *
    (q) * * *
    (1) Knowingly, willfully, or negligently disclose to unauthorized 
persons information properly classified under Executive Order 13526 or 
predecessor orders;
    (2) Knowingly and willfully classify or continue the classification 
of information in violation of Executive Order 13526 or any 
implementing directive; or
    (3) Knowingly and willfully violate any other provision of 
Executive Order 13526 or implementing directive.
    (r) Any person who discovers or believes that a classified document 
is lost or compromised shall immediately report the circumstances to 
his or her supervisor and the Commission Senior Agency Official, who 
shall conduct an immediate inquiry into the matter.
    (s) Questions with respect to the Commission Information Security 
Program, particularly those concerning the classification, 
declassification, downgrading, and safeguarding of classified 
information, shall be directed to the Commission Senior Agency 
Official.

    By the Commission.

Karen V. Gregory,
Secretary.
[FR Doc. 2011-4063 Filed 2-23-11; 8:45 am]
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