OMB M-11-11 - Continued Implementation of Homeland Security Presidential Directive (HSPD) 12 - Policy for a Common Identification Standard for Federal Employees and Contractors

EXECUTIVE OFFICE OF THE PRESIDENT
O F F I C E O F MA N A G E ME N T A N D B U D G E T
W ASHINGTON, D.C. 20503

February 3, 2011

THE DIRECTOR

M-11-11
MEMORANDUM FOR THE HEADS OF EXECUTIVE DEPARTMENTS AND AGENCIES
FROM:

Jacob J. Lew
Director

SUBJECT: Continued Implementation of Homeland Security Presidential Directive (HSPD) 12–
Policy for a Common Identification Standard for Federal Employees and
Contractors
The Cyberspace Policy Review, adopted by the President, and the President’s Budget for
Fiscal Year 2011 highlighted the importance of identity management in protecting the nation’s
infrastructure. HSPD-12 is a strategic initiative intended to enhance security, increase
Government efficiency, reduce identity fraud, and protect personal privacy. HSPD-12 requires
agencies to follow specific technical standards and business processes for the issuance and
routine use of Federal Personal Identity Verification (PIV) smartcard credentials including a
standardized background investigation to verify employees’ and contractors’ identities. Specific
benefits of the standardized credentials required by HSPD-12 include secure access to federal
facilities and disaster response sites, as well as multi-factor authentication, digital signature and
encryption capabilities. 1 Additionally, standardization leads to reduced overall costs and better
ability to leverage the Federal Government’s buying power with industry. 2
As discussed in OMB Memorandum 10-28, “Clarifying Cybersecurity Responsibilities
and Activities of the Executive Office of the President and the Department of Homeland Security
(DHS),” DHS is exercising primary responsibility within the Executive Branch for the
operational aspects of Federal agency cybersecurity with respect to the Federal information
systems that fall within FISMA under 44 U.S.C. §3543.
In the attached memorandum, DHS outlines a plan of action for agencies that will
expedite the Executive Branch’s full use of the PIV credentials for access to federal facilities and
information systems. I ask for your help in overseeing your agency’s implementation of this
plan of action and your agency’s completion of its adoption of the PIV credentials.

1

HSPD-12, paragraph 4, requires that agencies use the identification standard to the maximum extent practicable;
therefore, exceptions to using PIV credentials must be due to extenuating circumstances (e.g. system is in the
process of being decommissioned.)
2

Use of PIV credentials is not required for access to Federal applications where identity assurance is not needed (i.e.
E-Authentication Assurance Level 1), such as low risk public-facing websites, blogs, etc. For additional
information, refer to NIST Special Publication 800-63 at www.nist.gov.

As the DHS memorandum explains, the majority of the federal workforce is now in possession
of the credentials, and therefore agencies are in a position to aggressively step up their efforts to
use the electronic capabilities of the credentials. To that end, and as the DHS memorandum
further explains, each agency is to develop and issue an implementation policy, by March 31,
2011, through which the agency will require the use of the PIV credentials as the common means
of authentication for access to that agency’s facilities, networks, and information systems.
Moreover, the DHS memorandum outlines a set of requirements that needs to be included in an
agency’s implementation policy, in order for that policy to be effective in achieving the goals of
HSPD-12 and realizing the full benefits of PIV credentials.
Agency progress on HSPD-12 implementation will be monitored by the National
Security Staff, and OMB will continue to provide guidance and oversight for agency Information
Technology investments.
Questions for OMB may be directed to Carol Bales at 202-395-9915 or eauth@omb.eop.gov.

Attachment

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U.S. Department of Homeland Security
Washington, DC 20528

February 3, 2011
MEMORANDUM FOR THE HEADS OF ALL DEPARTMENTS AND AGENCIES
FROM: Gregory Schaffer, Assistant Secretary for Cyber Security and Communications,
Department of Homeland Security
SUBJECT: Continued Implementation of Homeland Security Presidential Directive (HSPD) 12
Policy for a Common Identification Standard for Federal Employees and Contractors
The Cyberspace Policy Review, adopted by the President, and the President’s Budget for Fiscal
Year 2011 highlighted the importance of identity management in protecting the nation’s
infrastructure. HSPD-12 is a strategic initiative intended to enhance security, increase
Government efficiency, reduce identity fraud, and protect personal privacy. HSPD-12 requires
agencies to follow specific technical standards and business processes for the issuance and
routine use of Federal Personal Identity Verification (PIV) smartcard credentials including a
standardized background investigation to verify employees’ and contractors’ identities. Specific
benefits of the standardized credentials required by HSPD-12 include secure access to federal
facilities and disaster response sites, as well as multi-factor authentication and digital signature
and encryption capabilities. 1 Additionally, standardization leads to reduced overall costs and
better ability to leverage the Federal Government’s buying power with industry. 2
This memorandum outlines a plan of action for agencies that will expedite the Executive
Branch’s full use of the credentials for access to federal facilities and information systems. 3 As
of December 2010, agencies reported that approximately 5 of 5.7 million federal employees and
contractors have completed background investigations, and 4.5 million have PIV credentials.
With the majority of the federal workforce now in possession of the credentials, agencies are in a
position to aggressively step up their efforts to use the electronic capabilities of the credentials.
To that end, each agency should develop and issue an implementation policy, by March 31,
2011, through which the agency will require the use of the PIV credentials as the common means
of authentication for access to that agency’s facilities, networks, and information systems. To be
effective in achieving the goals of HSPD-12, and realizing the full benefits of PIV credentials,
the agency’s policy needs to include the following requirements:
1

HSPD-12, paragraph 4, requires that agencies use the identification standard to the maximum extent practicable;
therefore, exceptions to using PIV credentials must be justified by extenuating circumstances (e.g. system is in the
process of being decommissioned.)
2
Use of PIV credentials is not required for access to Federal applications where identity assurance is not needed (i.e.
E-Authentication Assurance Level 1), such as low risk public-facing websites, blogs, etc. For additional
information, refer to NIST Special Publication 800-63 at www.nist.gov.
3
HSPD-12 applies to federal employees and contractors and requires: (1) completion of background investigations;
(2) issuance of standardized identity credentials; (3) use of the credentials for access to federal facilities; and (4) use
of the credentials for access to federal information systems.

•

Effective immediately, all new systems under development must be enabled to use PIV
credentials, in accordance with NIST guidelines, prior to being made operational. 4

•

Effective the beginning of FY2012, existing physical and logical access control systems
must be upgraded to use PIV credentials, in accordance with NIST guidelines, prior to the
agency using development and technology refresh funds to complete other activities.

•

Procurements for services and products involving facility or system access control must
be in accordance with HSPD-12 policy and the Federal Acquisition Regulation. In order
to ensure government-wide interoperability, OMB Memorandum 06-18, “Acquisition of
Products and Services for Implementation of HSPD-12” requires agencies to acquire
products and services that are approved as compliant with Federal policy, standards and
supporting technical specifications.

•

Agency processes must accept and electronically verify PIV credentials issued by other
federal agencies. 5

•

The government-wide architecture and completion of agency transition plans must align
as described in the Federal CIO Council’s “Federal Identity, Credential, and Access
Management Roadmap and Implementation Guidance” (available at
www.idmanagement.gov).

As an initial step, I request you designate an agency lead official for ensuring the issuance of the
agency’s HSPD-12 implementation policy. Please send the name, title and contact information
for your agency’s lead official to HSPD12.FNS@dhs.gov and icam@gsa.gov by February 25,
2011.
The CIO Council guidance referenced above provides agencies with additional guidance to
support their HSPD-12 and other identity management implementations. Additional information
on HSPD-12 is available in the attached reference materials.
To further support HSPD-12 implementation, the DHS is partnering with the General Services
Administration (GSA) on implementation activities. GSA will continue to administer the
Interoperability Test Program and Approved Products and Services List for HSPD-12, serve as
the Public Key Infrastructure Policy Authority, and manage the HSPD-12 Managed Services
Office. The DHS and GSA will work together to provide agencies with guidance for
implementing the government-wide architecture defined in the “Federal Identity, Credential, and
Access Management Roadmap and Implementation Guidance.” This includes a DHS partnership
with the GSA Public Building Service (PBS) to ensure that implementation of physical access
requirements for Federal buildings, under PBS’ purview, are implemented in accordance with the

4

The Federal Information Security Management Act of 2002 requires agencies to ensure that information security is
addressed throughout the life cycle of each agency information system.
5
As indicated in paragraph 4 of HSPD-12, agencies were to begin using the common identification standard in
November 2006 to gain physical access to federally controlled facilities and logical access to federally controlled
information systems.

2

“Federal Security Level Determinations for Federal Facilities – An Interagency Security
Committee Standard” and NIST guidelines.
We welcome any questions your agency might have regarding this guidance. Questions may be
directed to HSPD12.FNS@dhs.gov, icam@gsa.gov, or (202) 219-1627. Please share this
memorandum with your Chief Information Officers, Chief Information Security Officers, Chief
Financial Officers, Chief Human Capital Officers, Chief Privacy Officers, Chief Security
Officers, senior agency officials for privacy, senior agency officials for facilities and physical
security, budget officers, and any other relevant offices and individuals within your agency.
cc:

Howard Schmidt, Special Assistant to the President and Cybersecurity Coordinator,
National Security Staff
Vivek Kundra, Administrator, E-Government and Information Technology, Office of
Management and Budget
Martha N. Johnson, Administrator, General Services Administration

Attachment

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References
Homeland Security Presidential Directive 12, Policy for a Common Identification Standard
for Federal Employees and Contractors, August 2004
HSPD-12 calls for a mandatory, government-wide standard for secure and reliable forms of ID
issued by the Federal Government to its employees and employees of federal contractors for
access to federally-controlled facilities and networks.
http://www.dhs.gov/xabout/laws/gc_1217616624097.shtm
NIST FIPS 201, Personal Identity Verification (PIV) of Federal Employees and Contractors
This standard is applicable to identification issued by Federal departments and agencies to
Federal employees and contractors (including contractor employees) for gaining physical access
to Federally controlled facilities and logical access to Federally controlled information systems
except for “national security systems” as defined by 44 U.S.C. 3542(b)(2).
http://csrc.nist.gov/publications/PubsFIPS.html
OMB Memorandum 05-24, Implementation of Homeland Security Presidential (HSPD) 12 –
Policy for a Common Identification Standard for Federal Employees and Contractors, August
2005
This memorandum provides implementing instructions for HSPD-12 and the Standard (NIST
FIPS 201.)
http://www.whitehouse.gov/omb/assets/omb/memoranda/fy2005/m05-24.pdf
Federal Identity, Credential and Access Management Roadmap and Implementation
Guidance
The Federal Identity, Credential, and Access Management (ICAM) Roadmap addresses
unclassified federal identity, credential and access management and how the Executive Branch
of the Federal Government will interact with external organizations and individuals. It provides
a government-wide architecture for ICAM.
http://www.idmanagement.gov
NIST SP 800-116, A Recommendation for the Use of PIV Credentials in Physical Access
Control Systems
The purpose of this publication is to describe a strategy for agencies to enable their physical
access control systems to leverage HSPD-12 Personal Identity Verification (PIV) Credentials.
The document recommends a risk-based approach for selecting appropriate PIV authentication
mechanisms to manage physical access to Federal government facilities and assets.
http://csrc.nist.gov/publications/nistpubs/800-116/sp800-116.pdf