NISPOM

National Industrial Security Program Operating Manual (32 CFR 117) — US Department of Defense / DCSA

Also known as: NISPOM, 32 CFR 117, NISPOM Rule, National Industrial Security Program Operating Manual, DoD 5220.22-M

At a glance

Current version
32 CFR part 117 (as amended August 2021)
Published 19 August 2021. source
Status
In force
Next deadline
None announced
Who must comply
Industrial, educational, commercial or other non-government entities granted access to classified information by US executive branch agencies or by foreign governments, and the agencies that release it to them. source
Authority
The Department of Defense issues the NISPOM rule under Executive Order 12829; each Cognizant Security Agency (CSA) oversees the contractors under its security cognizance. source source
Last change
None recorded yet

The rules a cleared US contractor follows to protect classified information: facility clearances, insider threat programmes, foreign ownership and control reporting, and the security controls behind them. Issued for decades as a DoD manual, it is now binding regulation in its own right as 32 CFR 117.

Recent changes

No changes recorded yet — we are watching, and nothing has been published.

Key dates

No upcoming dates
  1. Comment period on the proposed NISPOM amendment closed
  2. NISPOM rule took effect; contractors had 6 months to implement it, and 18 months for SEAD 3 foreign travel reporting to DoD

Amendments

  1. NISPOM Second Amendment (proposed) Draft

    DoD proposed amendments on SEAD 3 implementation and costs, protection and reproduction of classified information, CUI, National Interest Determinations and personnel clearance eligibility; comments closed 12 February 2024. source

  2. 32 CFR part 117 (as amended August 2021) AmendmentCurrent text

    Extended the date by which contractors under DoD security cognizance must report and obtain pre-approval of unofficial foreign travel to DoD. source

  3. NISPOM rule (32 CFR part 117) Major version

    Codified the NISPOM in the Code of Federal Regulations and incorporated SEAD 3 reporting requirements for cleared contractor personnel; effective 24 February 2021. source

Who it applies to

Applies to cleared contractors and other non-government entities given access to classified information, throughout bidding, award, performance and termination.

Who
All industrial, educational, commercial or other non-government entities granted access to classified information by executive branch agencies or by foreign governments. source
Contract lifecycle
Covers classified information released in bids and proposals, negotiation, award, performance and termination of contracts, agreements, licences and grants. source
Insider threat
Contractors must establish and maintain an insider threat program led by an appointed insider threat program senior official. source
SEAD 3 reporting
The rule incorporates SEAD 3, under which cleared contractor personnel report activities such as foreign travel and foreign contacts. source
Foreign ownership
A contractor under foreign ownership, control or influence must negotiate and implement an acceptable mitigation measure to keep its entity eligibility. source
Classified systems
Contractor information systems that handle classified information must be managed with risk-based protective measures under CSA-provided guidance. source
Pending amendment
The 2026 Unified Agenda lists the NISPOM Second Amendment at the final rule stage, with final action planned for July 2026. source

How compliance is assessed

Contractors need a favourable entity eligibility determination, inspect themselves at least once a year and take part in recurring government security reviews.

Entity eligibility
A favourable entity eligibility determination for access to classified information remains in effect until it is terminated or revoked. source
Government reviews
The CSA conducts recurring security reviews, announced or unannounced, at a scope and frequency it sets by risk; taking part is required to keep eligibility. source
Self-inspection
Contractors conduct a formal self-inspection at least annually, keep a written report, and the senior management official certifies it to the CSA each year. source
Classified systems
Self-inspections of information systems that process classified information are verified at least every 12 months. source

Enforcement and penalties

The CSA can invalidate or revoke a contractor's entity eligibility, which shuts it out of new classified work.

Invalidation
While invalidated, a contractor may not bid on or be awarded new classified contracts; it may continue existing ones only if the government contracting activity agrees. source
Revocation
The CSA may revoke eligibility if the contractor is unable or unwilling to protect classified information or to comply with the rule; classified material must then be returned or disposed of. source
Employees
Contractors must immediately deny classified access to any employee whose eligibility is denied, suspended or revoked. source
Unauthorized disclosure
Cleared employees are briefed that unauthorized disclosure of classified information can bring criminal, civil or administrative consequences. source

Documents

  1. Law text 32 CFR part 117 – National Industrial Security Program Operating Manual (NISPOM)
  2. Law text NISPOM final rule (21 December 2020)
  3. Law text NISPOM amendment (19 August 2021)
  4. Law text NISPOM amendment, proposed rule (13 December 2023)
  5. Guidance Unified Agenda entry RIN 0790-AL52 (NISPOM Second Amendment)

Verified against official sources on 18 October 2026. We monitor the official sources for this framework. Watching since 20 September 2026. Subscribe to NISPOM (RSS)