[Federal Register Volume 61, Number 2 (Wednesday, January 3, 1996)]
[Notices]
[Pages 157-159]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-00021]



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DEPARTMENT OF AGRICULTURE

Privacy Act of 1974: Notice of a Computer Matching Program for 
Federal Salary Offset

AGENCY: Farm Service Agency (FSA) and the Rural Housing Service (RHS), 
formerly the Farmers Home Administration (FmHA); Federal Crop Insurance 
Corporation (FCIC); Commodity Credit Corporation (CCC); and Office of 
the Chief Financial Officer (OCFO)/National Finance Center, (Agencies 
of the United States Department of Agriculture (USDA). Throughout this 
notice referred to as USDA).

ACTION: Notice of computer matching program between United States 
Department of Agriculture (USDA) and the United States Postal Service 
(USPS).

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SUMMARY: USDA is giving notice that it intends to conduct a computer 
matching program with the USPS in order to identify USPS employees who 
owe certain types of delinquent debts to the United States Government 
under various program administered by the above USDA agencies on 
account of loans, fees, overpayments, or entitlements.

DATES: Comment must be received February 2, 1996 to be considered. 
Unless comments are received which result in a contrary determination, 
the matching program covered by this Notice will begin no sooner than 
February 12, 1996.

ADDRESSES: Comments should be addressed to Reynaldo Gonzalez, USDA/
OCFO, 14th and Independence Avenue, Room 3313, South Building, 
Washington, D.C. 20250.

SUPPLEMENTARY INFORMATION: Pursuant to a subsection (o) of the Privacy 
Act of 1974, as amended, (5 U.S.C. Section 552a), USDA and USPS have 
concluded an agreement to conduct a computer matching program. The 
purpose of the match is to exchange personal data between the agencies 
for collection of delinquent debts from defaulters of obligations held 
by USDA. The match will yield the identity and location of the debtors 
who are also employees of USPS so that USDA can pursue recoupment of 
the debts by voluntary payment or by salary offset procedure. Computer 
matching appears to be the most efficient and effective manner to 
accomplish this task with the least amount of intrusion into the 
personal privacy of the individuals concerned.
    A copy of the computer matching agreement between USDA and USPS is 
available to the public upon request. Requests should be submitted to 
the Debt Collection Coordinator, USDA, 14th and Independence Avenue, 
SW, Room 3313, South Building, Washington, D.C. 20250.
    This notice is being published as required by Section (e)(12) of 
the Privacy Act of 1994 (5 U.S.C. 552a(e)(12)), as amended by the 
Computer Matching and Privacy Protection Act of 1988 (Public Law 100-
503).
    The following information is provided as required by paragraph 5b 
of Appendix I to Office of Management and Budget Circular A-130, dated 
July 15, 1994.
    1. Participating agencies. The recipient agency is USPS. The source 
agency is USDA.
    2. Beginning and ending dates. The matching program will continue 
in effect no longer than 18 months. If within three months of the 
expiration date, the Data Integrity Boards of both USDA and the USPS 
find that the matching program can be conducted without change and both 
USDA and the USPS certify that the matching program has been conducted 
in compliance with the matching agreement, the matching program may be 
extended for one additional year.
    3. Purpose of the match. The purpose of the match is to identify 
and locate USPS employees receiving any Federal salary or benefit 
payments who are delinquent in their repayment of debts owed to the 
United States government under the programs administered by the USDA, 
to permit the USDA to pursue and collect the debt by voluntary 
repayments or salary offset procedures.
    The names of USPS employees identified through the matching program 
will be removed from lists of delinquent debts being referred to the 
Internal Revenue Service (IRS) for collection from Federal income tax 
refunds. This action is required to conform to an IRS requirement for 
the Income Tax Refund Offset Program.
    4. Description of the match. The subject matching program will 
involve several steps. USDA will provide USPS one or more magnetic 
computer tapes of claims submitted by USDA agencies. By computer, USPS 
will compare that information with its payroll file, establishing 
matched individuals on the basis of Social Security Numbers (SSN's). 
For each matched individual, USPS will provide to USDA the individual's 
name, SSN, home address, work location and information concerning the 
individual's employment status as permanent or temporary.
    The respective agencies will verify identity and debtor status of 
the matched individuals by manually comparing the list of matched 
individuals to their records of the debts, by conducting independent 
inquiries when necessary to resolve questionable identities, and by 
verifying that the debt is still delinquent.
    In addition to verifying debtor identity and the status of the 
debt, prior to USDA taking any steps to effect involuntary offset of 
USPS employee salaries, USDA agencies will provide debtors with a 30-
day written notice stating the amount of the debt and that the debtor 
may repay it voluntarily. Debts not repaid voluntarily would be 
referred to USPS for involuntary salary offset. Individuals verified as 
owing delinquent debts to USDA will be afforded all applicable due 
process rights contained in the Debt Collection Act.
    5. Legal authorities. This matching program will be conducted under 
the following authorities:
    (a) The Debt Collection Act of 1982 (5 U.S.C. 5514), which gives 
Federal agencies the authority to offset the salaries of Federal and 
USPS employees who are delinquent on debts owed to the Federal 
Government.
    (b) Office of Personnel Management (OPM) regulations, 5 CFR Part 
550, Subpart K (Collection by Offset from Indebted Government 
Employees), Sections 5550.1101-1108, which set the standards for 
Federal agency rules implementing the Debt Collection Act; and
    (c) USDA regulations at 7 CFR Part 3, Subpart C, which implement 5 
U.S.C. 5514 and OPM regulations, and which authorize USDA agencies to 
issue regulations governing debt collection by salary offset (7 CFR 
3.68).
    6. Categories of individuals involved. Delinquent debtors who have 
received benefits from USDA program agencies.
    7. Systems of Records and Estimation of Number of Records Involved.
    (a) The USPS will provide extracts from its Privacy Act System of 
Records USP 050.020, Finance Records-Payroll System, containing payroll 
records on approximately 700,000 current USPS employees. Disclosure 
will be made under routine use 24 of that system, a full description of 
which was last published in 57 FR 57515, dated December 4, 1992.
    (b) The USDA will provide extracts from its (1) Applicant/Borrower 
or Grantee File (USDA/FmHA-1), containing records on approximately 
762,000 debtors (approximately 88,000 of the 762,000 records will be 
sent for the match), a full description of which was last published in 
the Federal Register at 53 FR 5205 on February 1988 (routine use number 
2); (2) Accounts 

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Receivable (USDA/FCIC-1), containing records on approximately 3,600 
debtors (approximately 3,600 will be sent for the match), a full 
description of which was last published in the Federal Register at 53 
FR 4047 on February 11, 1988 (routine use number 9); (3) Claims Data 
Base (Automated) (USDA/ASCS-28), containing records on approximately 
25,000 debtors, (approximately 25,000 will be sent for the match) a 
full description of which was last published in the Federal Register  
at 53 FR 12175 on April 13, 1988 (routine use number 9); and (4) 
Administrative Billings and Collections (USDA/OFM-3), containing 
records on approximately 46,500 debtors (approximately 4,500 will be 
sent for the match) a full description of which was last published in 
the Federal Register at 54 FR 25883 on June 20, 1989 (routine use 
number 6).
    8. Individual notice and opportunity to contest. USDA will provide 
to matched individuals due process consisting of USDA's verification of 
debt; 30-day written notice to the debtor explaining the debtor's 
rights; provision for debtor to examine and copy of the USDA's 
documentation of the debt; provision for debtor to seek USDA's review 
of the debt and opportunity for the individual to enter into a written 
agreement satisfactory to USDA for repayment. Prior to use of the 
salary offset provision, an individual will be afforded the opportunity 
for a hearing concerning the amount or existence of the debt or the 
offset repayment schedule. The hearing will be before an individual not 
under the supervision or control of the Secretary, USDA. Unless the 
individual notifies USDA otherwise within 30 days from the date of the 
notice, USDA will conclude that the date provided to the individual is 
correct and will take the necessary action to recoup the debt.
    9. Inclusive date of the matching program. This computer matching 
program is subject to review by the Office of Management and Budget 
(OMB) and Congress. If no objections are raised by either and the 
mandatory 30 day public notice period for comment has expired for this 
Federal Register notice with no significant adverse public comments 
having been received that would result in a contrary determination, 
then this computer matching program becomes effective and the 
respective agencies may begin the exchange of data on the later of 30 
days after the date of this published notice or 40 days after notice to 
OMB and Congress, at a mutually agreeable time. Exchange of data will 
be repeated on an annual basis, unless OMB or the Treasury Department 
requests a match twice a year. Under no circumstances will the matching 
program be implemented before the respective 30 and 40-day notice 
periods have elapsed, as this time period cannot be waived. By 
agreement between USDA and USPS, the matching program will be in effect 
and continue for 18 months with an option to renew for 12 additional 
months. The matching program may be terminated by written notification 
from either participating agency to the other.
    10. Address for receipt of public comments or inquiries. Reynaldo 
Gonzalez, USDA/OCFO, 14th and Independence Avenue, SW, Room 3313, South 
Building, Washington, DC 20250. Telephone (202) 720-1168.


    Signed at Washington, DC on December 21, 1995.
Dan Glickman,
Secretary of Agriculture.
[FR Doc. 96-00021 Filed 1-2-96; 8:45 am]
BILLING CODE 3410-KS-M