[Code of Federal Regulations]
[Title 12, Volume 3]
[Revised as of January 1, 2003]
From the U.S. Government Printing Office via GPO Access
[CITE: 12CFR268.205]

[Page 816-817]
 
                       TITLE 12--BANKS AND BANKING
 
                   CHAPTER II--FEDERAL RESERVE SYSTEM
 
PART 268--RULES REGARDING EQUAL OPPORTUNITY--Table of Contents
 
        Subpart C--Provisions Applicable to Particular Complaints
 
Sec. 268.205  Employment of noncitizens.

    (a) Definitions. The definitions contained in this paragraph (a) 
shall apply only to this section.
    (1) Intending citizen means a citizen or national of the United 
States, or a noncitizen who:
    (i) Is a protected individual as defined in 8 U.S.C. 1324b(a)(3); 
and
    (ii) Has evidenced an intention to become a United States citizen.

[[Page 817]]

    (2) Noncitizen means any person who is not a citizen of the United 
States.
    (3) Sensitive information means:
    (i)(A) Information that is classified for national security purposes 
under Executive Order No. 12356 (3 CFR, 1982 Comp., p. 166), including 
any amendments or superseding orders that the President of the United 
States may issue from time to time;
    (B) Information that consists of confidential supervisory 
information of the Board, as defined in 12 CFR 261.2(c); or
    (C) Information the disclosure or premature disclosure of which to 
unauthorized persons may be reasonably likely to impair the formulation 
or implementation of monetary policy, or cause unnecessary or 
unwarranted disturbances in securities or other financial markets, such 
that access to such information must be limited to persons who are loyal 
to the United States.
    (ii) For purposes of paragraph (a)(3)(i)(C) of this section, 
information may not be deemed sensitive information merely because it 
would be exempt from disclosure under the Freedom of Information Act (5 
U.S.C. 552) but sensitive information must be information the 
unauthorized disclosure or premature disclosure of which may be 
reasonably likely to impair important functions or operations of the 
Board.
    (4) Sensitive position means any position of employment in which the 
employee will be required to have access to sensitive information.
    (b) Prohibitions--(1) Unauthorized aliens. The Board shall not hire 
any person unless that person is able to satisfy the requirements of 
Section 101 of the Immigration Reform and Control Act of 1986.
    (2) Employment in sensitive positions. The Board shall not hire any 
person to a sensitive position unless such person is a citizen of the 
United States or, if a noncitizen, is an intending citizen.
    (3) Preference. Consistent with the Immigration Reform and Control 
Act of 1986, and other applicable law, applicants for employment at the 
Board who are citizens of the United States shall be preferred over 
equally qualified applicants who are not United States citizens.
    (c) Exception. The prohibition of paragraph (b)(2) of this section 
does not apply to hiring for positions for which a security clearance is 
required under Executive Order No. 10450, including any subsequent 
amendments or superseding orders that the President of the United States 
may issue from time to time, where the noncitizen either has or can 
obtain the necessary security clearance. Any offer of employment 
authorized by this paragraph (c) shall be contingent upon receipt of the 
required security clearance in the manner prescribed by law.
    (d) Applicability. This section applies to employment in all 
positions at the Board and to employment by Federal Reserve Banks of 
examiners who must be appointed, or selected and approved by the Board 
pursuant to 12 U.S.C. 325, 326, 338, or 625.