[Federal Register Volume 59, Number 99 (Tuesday, May 24, 1994)]
[Unknown Section]
[Page 0]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 94-12637]


[[Page Unknown]]

[Federal Register: May 24, 1994]


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DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT

Office of the Assistant Secretary for Administration
[Docket No. N-94-3777; FR-3729-N-01]

 

Privacy Act of 1974; Notice of a Computer Matching Program

AGENCY: Office of the Assistant Secretary for Administration, (HUD).

ACTION: Notice of a Computer Matching Program--HUD and United States 
Department of Agriculture (USDA).

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SUMMARY: In accordance with the Privacy Act of 1974 (5 U.S.C. 552a), as 
amended by the Computer Matching and Privacy Protection Act of 1988, as 
amended, (Pub. L. 100-503), and the Office of Management and Budget 
(OMB) Guidelines on the Conduct of Matching Programs (54 FR 25818 (June 
19, 1989)), and OMB Bulletin 89-22, ``Instructions on Reporting 
Computer Matching Programs to the Office of Management and Budget 
(OMB), Congress and the Public,'' the Department of Housing and Urban 
Development (HUD) is issuing a public notice of its intent to conduct a 
recurring computer matching program with the U.S. Department of 
Agriculture (USDA) to utilize a computer information system of HUD, the 
Credit Alert Interactive Voice Response System (CAIVRS), with USDA's 
debtor files. In addition to HUD Data, the CAIVRS data base included 
delinquent debt information from the Department of Education, 
Department of Veterans Affairs, and the Small Business Administration. 
This match will allow prescreening of applicants for loans or loans 
guaranteed by the Federal Government to ascertain if the applicant is 
delinquent in paying a debt owed to or insured by the Federal 
Government for HUD or USDA direct or guaranteed loans.
    Before granting a loan, the lending agency and/or the authorized 
lending institution will be able to interrogate the CAIVRS debtor file 
which contains the Social Security Numbers (SSNs) of HUD's delinquent 
debtors and defaulters and defaulted debtor records of the USDA and 
verify that the loan applicant is not in default or delinquent on 
direct or guaranteed loans of participating Federal programs of either 
agency. Authorized users place a telephone call to the system. The 
system provides a recorded message followed by a series of 
instructions, one of which is a requirement for the SSN of the loan 
applicant. The system then reports audibly whether the SSN is related 
to delinquent or defaulted Federal obligations for HUD or USDA direct 
or guaranteed loans. As a result of the information produced by this 
match, the authorized users may not deny, terminate, or make a final 
decision of any loan assistance to an applicant or take other adverse 
action against such applicant, until an officer or employee of such 
agency has independently verified such information.
    In accordance with 5 U.S.C. 552a(o)(2), copies of the matching 
agreement are being sent by HUD to both houses of Congress. The match 
is expected to commence not sooner than 40 days after the agreement by 
the parties is submitted to Congress and not sooner than 30 days from 
the date of publication of this notice or 40 days from the date this 
notice was approved, whichever is later. The match may be extended by 
the involved Data Integrity Boards for a twelve-month period provided 
all agencies involved certify to their Data Integrity Boards, within 
three months of the termination date of the original match, that the 
matching programs will be conducted without change and have been 
conducted in compliance with the original matching agreement. The match 
will not continue past the date the legislative authority to obtain 
this information expires.

ADDRESSES: Interested persons are invited to submit comments regarding 
this notice to the Rules Docket Clerk, Office of General Counsel, room 
10276, Department of Housing and Urban Development, 451 Seventh Street, 
SW., Washington, DC 20410. Communications should refer to the above 
docket number and title. A copy of each communication submitted will be 
available for public inspection and copying between 7:30 a.m. and 5:30 
p.m. weekdays at the above address.

FOR PRIVACY ACT INFORMATION AND FURTHER INFORMATION FROM RECIPIENT 
AGENCY CONTACT:
 Jeanette Smith, Departmental Privacy Act Officer, Department of 
Housing and Urban Development, 451 7th Street, SW., room 4176, 
Washington, DC 20410, telephone number (202) 708-2374. [This is not a 
toll-free telephone number.]

FOR FURTHER INFORMATION FROM SOURCE AGENCY CONTACT: Reynaldo Gonzalez, 
Debt/Credit Management Coordinator, U.S. Department of Agriculture, 
14th and Independence Avenue, SW., Washington, DC 20250, telephone 
number (202) 720-1168. [This is not a toll-free number.]

REPORTING OF MATCHING PROGRAM: In accordance with Public Law 100-503, 
the Computer Matching and Privacy Protection Act of 1988, as amended, 
and Office of Management and Budget Bulletin 89-22, ``Instructions on 
Reporting Computer Matching Programs to the Office of Management and 
Budget (OMB), Congress and the Public;'' copies of this Notice and 
report, in duplicate, are being provided to the Committee on Government 
Operations of the House of Representatives, the Committee on 
Governmental Affairs of the Senate, and the Office of Management and 
Budget.

    Authority: The matching program may be conducted pursuant to 
Public Law 100-503, ``The Computer Matching and Privacy Protection 
Act of 1988,'' as amended, and Office of Management and Budget (OMB) 
Circular A-129 (Revised January 1993), Policies for Federal Credit 
Programs and Non-Tax Receivables. One of the purposes of all 
Executive departments and agencies--including HUD--is to implement 
efficient management practices for Federal credit programs. OMB 
Circular A-129 was issued under the authority of the Budget and 
Accounting Act of 1921, as amended; the Budget and Accounting Act of 
1950, as amended; the Debt Collection Act of 1982, as amended; and, 
the Deficit Reduction Act of 1984, as amended.

OBJECTIVES TO BE MET BY THe MATCHING PROGRAM: The matching program will 
allow USDA access to a system which permits prescreening of applicants 
for loans or loans guaranteed by the Federal Government to ascertain if 
the applicant is delinquent in paying a debt owed to or insured by the 
Government. In addition, HUD will be provided access to USDA debtor 
data for prescreening purposes.

RECORDS TO BE MATCHED: HUD will utilize its system of records entitled 
HUD/DEPT-2, Accounting Records. The debtor files for HUD programs 
involved are included in this system of records. HUD's debtor files 
contain information on borrowers and co-borrowers who are currently in 
default (at least 90 days delinquent on their loans); or who have any 
outstanding claims paid during the last three years on Title II insured 
or guaranteed home mortgage loans; or individuals who have defaulted on 
Section 312 rehabilitation loans; or individuals who have had a claim 
paid in the last three years on a Title I loan. For the CAIVRS match, 
HUD/DEPT-2, System of Records, receives its program inputs form HUD/
DEPT-28, Property Improvement and Manufactured (Mobile) Home Loans--
Default; HUD/DEPT-32, Delinquent/Default/Assigned Temporary Mortgage 
Assistance Payments (TMAP) Program; and HUD/CPD-1, Rehabilitation 
Loans-Delinquent/Default.
    The USDA will provide HUD with debtor files contained in its system 
of records entitled, Applicant/Borrower or Grantee File (USDA/FNHA-1). 
HUD is maintaining USDA's records only as a ministerial action on 
behalf of USDA, not as part of HUD's HUD/DEPT-2 system of records. 
USDA's data contain information on individuals who have defaulted on 
their guaranteed loans. The USDA will retain ownership and 
responsibility for their system of records that they place with HUD. 
HUD serves only as a record location and routine use recipient for 
USDA's data.

NOTICE PROCEDURES: HUD and the USDA will notify individuals at the time 
of application (ensuring that routine use appears on the application 
form) for guaranteed or direct loans that their records will be matched 
to determine whether they are delinquent or in default on a Federal 
debt. HUD and the USDA will also publish notices concerning routine use 
disclosures in the Federal Register to inform individuals that a 
computer match may be performed to determine a loan applicant's credit 
status with the Federal Government.

CATEGORIES OF RECORDS/INDIVIDUALS INVOLVED: The debtor records include 
these data elements: SSN, claim number, program code, and indication of 
indebtedness. Categories of records include: records of claims and 
defaults, repayment agreements, credit reports, financial statements, 
and records of foreclosures. Categories of individuals include: former 
mortgagors and purchasers of HUD-owned properties, manufactured 
(mobile) home and home improvement loan debtors who are delinquent or 
in default on their loans, and rehabilitation loan debtors who are 
delinquent or in default on their loans.

PERIOD OF THE MATCH: Matching is expected to begin 40 days after the 
date copies of the signed (by both Data Integrity Boards) computer 
matching agreement are sent to both Houses of Congress or 30 days from 
the date this Notice is published in the Federal Register or 40 days 
from the date this notice is approved, whichever is later, providing no 
comments are received which would result in a contrary determination.

    Issued at Washington, DC May 3, 1994.
Marilynn A. Davis,
Assistant Secretary for Administration.
[FR Doc. 94-12637 Filed 5-23-94; 8:45 am]
BILLING CODE 4210-01-M