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Facility U's security clearance should be administratively terminated because it has not performed work on active classified contracts. Security clearances are designed to ensure that only individuals and organizations actively engaged in classified information or contracts maintain access to sensitive materials. If Facility U has not been involved in such contracts, there is no justification for retaining the clearance, as it exists to safeguard national security.

This process helps to maintain the integrity of the clearance system and ensures that only those who need access for their current work have it. Administrative termination serves not only to protect sensitive information but also helps in the efficient management of resources and reduces the risk of unauthorized access.

In contrast, leaving the clearance active would not align with the current operational needs, and assuming that being classified at the Secret level necessitates no action, neglects the importance of relevance to active contracts. Similarly, submitting a new clearance application would be unnecessary if the organization is not actively engaged in work that requires such clearance.