[Federal Register Volume 61, Number 229 (Tuesday, November 26, 1996)]
[Notices]
[Pages 60148-60153]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-30105]


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DEPARTMENT OF VETERANS AFFAIRS

Privacy Act of 1974; Altered System of Records

AGENCY: Department of Veterans Affairs.

ACTION: Notice of altered system of records.

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SUMMARY: The Privacy Act of 1974 (5 U.S.C. 522a(e)(4)) requires that 
all agencies publish in the Federal Register a notice of the existence 
and character of their systems of records. Notice is hereby given that 
the Department of Veterans Affairs (VA) is altering a system of records 
entitled ``Accounts Receivable Records--VA'' (88VA20A6).

DATES: Interested persons are invited to submit written comments, 
suggestions or objections regarding the proposed changes to the system 
of records. All relevant materials received before December 26, 1996, 
will be considered. All written comments received will be available for 
public inspection at the Office of Regulations Management, room 1158, 
810 Vermont Avenue, NW, Washington, DC 20420, only, between 8:00 a.m. 
and 4:30 p.m., Monday through Friday (except holidays). If no public 
comment is received during the 30-day review period allowed for public 
comment, or unless otherwise published in the Federal Register by VA, 
the altered system of records is effective December 26, 1996.

ADDRESSES: Written comments concerning the altered system of records 
may be mailed to the Director, Office of Regulations Management (02D), 
810 Vermont Avenue, NW, Washington, DC 20420.

FOR FURTHER INFORMATION CONTACT:
Daniel D. Osendorf, Director, Debt Management Center (389/00), U.S. 
Department of Veterans Affairs, Bishop Henry Whipple Federal Building, 
1 Federal Drive, Ft. Snelling, Minnesota 55111, (612) 725-1844.

SUPPLEMENTARY INFORMATION: On November 3, 1994, The Department 
published original notice of this system of records at 59 FR 55155. 
That notice incorporated a recitation of the history

[[Page 60149]]

of debt collection within the Veterans Benefits Administration (VBA). 
The new system was established,

* * * to reflect the centralized environment VBA continues to build 
for collection activity as well as to provide the public with one 
reference for routine use disclosures related to debt collection.

In furtherance of these goals, and to broaden their application to a 
department-wide basis, collection responsibilities for additional types 
of debts are being consolidated under the administration of VA's Debt 
Management Center (DMC) in Ft. Snelling, Minnesota. These additional 
debts include: (1) First-party medical billings (including delinquent 
billings) resulting from treatment or prescriptions provided by or on 
behalf of VA health care facilities; (2) debts arising from 
participation in the VA Civilian Health and Medical Program (CHAMPVA); 
and (3) certain miscellaneous debts associated with VA home loan 
programs. Miscellaneous home loan debts include (but are not limited 
to) those incurred by virtue of veteran-borrowers' defaults on home 
loans guaranteed under The Veterans Benefits Act of 1989 (Pub. L. 101-
237) and more commonly referred to as ``Guaranty and Indemnity Fund'' 
(GIF) loans.
    Statutory citations to the Selected Reserve component of the All-
Volunteer Force Educational Assistance Program (Also known as 
Montgomery G.I. Bill--Selected Reserve) and been changed from ``chapter 
106'' to ``chapter 1606''. This change is the result of renumbering of 
title 10, U.S.C., as set forth in the Department of Defense 
Authorization Act for FY 1995, Pub. L. 103-337.
    The debt collection program adheres to VA security and Reporting 
requirements under title 38, Code of Federal Regulations and other 
Federal regulations, as well as the Privacy Act of 1974, as amended (5 
U.S.C. 552a), and the appropriate provisions of the Internal Revenue 
Code, title 26, United States Code.

    Approved: November 15, 1996.
Jesse Brown,
Secretary of Veterans Affairs.

Report of Intention To Publish an Altered System of Records for 
``Accounts Receivable Records--VA'' (88VA20A6)

Purpose

    This system of records has been amended to further consolidate 
notice to the public of the types of information disclosed, and to whom 
it is disclosed, in the course of collection of debts arising from 
participation in benefit, health care and other programs administered 
by the Department of Veterans Affairs (VA). This amendment also serves 
to revise citations related to the All-Volunteer Force Educational 
Assistance Program. Previous publication of this system of records 
consolidated notice for debts arising from most VA benefit programs 
[see 55 FR 55155 (November 3, 1994)]. The revised system of records 
adds notice of the types of disclosure, and to whom disclosure is made, 
for the following types of indebtedness accounts: (1) First-party 
medical billings (including delinquent billings) resulting from 
treatment or prescriptions provided by or on behalf of VA health care 
facilities; (2) debts arising from participation in the VA Civilian 
Health and Medical Program (CHAMPVA); and, (3) certain miscellaneous 
debts associated with VA home loan programs. Miscellaneous home loan 
debts include (but are not limited to) those incurred by virtue of 
veteran-borrowers' default on home loans guaranteed under The Veterans 
Benefits Act of 1989 (Pub. L. 101-237) and more commonly referred to as 
``Guaranty and Indemnity Fund'' (GIF) loans. Changes in the revised 
system of records are not individually bracketed.

Authority

    Title 38, United States Code, sections 501(a), 5314 and 5315; 
Federal Claims Collection Act of 1966 (Pub. L. 89-508), 31 U.S.C. 
chapter 37, subchapter I (General) and subchapter II (Claims of the 
United States Government), 31 U.S.C. 3711, Collection and Compromise, 
31 U.S.C. 3716, Administrative Offset; Debt Collection Act of 1982 
(Pub. L. 97-365), 5 U.S.C. 5514, Installment Deduction for 
Indebtedness.

Probable Privacy Impact

    Information concerning indebtedness accounts added to the system of 
records under this revision is currently disclosed under ``Categories 
of Records in the System'' set forth in the Privacy Act system of 
records, 88VA20A6. Disclosure is limited to that which is relevant and 
necessary to obtain the debtor's whereabouts or telephone number to 
identify a source of collection, provide an incentive for payment and 
to comply with certain requirements associated with the operation of 
the Government. The routine uses set forth in the accompanying notice 
of an altered system of records describe, generally, the data disclosed 
to various third parties, all of whom are, in turn, obligated to 
protect that data under statute, contract or both.

Risk Assessment

    Access to working spaces and record storage areas associated with 
VA debt collection is restricted to VA employees on a ``need-to-know'' 
basis. Access to computer rooms, magnetic media storage and documents 
classified as sensitive is even further restricted to certain 
designated employees. The repositories for debt collection records are 
automated systems accessible only by a limited number of computer 
terminals and only by employees with specific passwords and knowledge 
of computer systems dedicated to debt collection. Most paper 
documentation that must be kept at Debt Management Center is 
microfilmed and forwarded to the regional office or medical center of 
jurisdiction or the CHAMPVA Center for filing. The security measures 
for those documents are set forth in the Privacy Act system of records, 
88VA20A6.

Routine Uses

    The routine uses of this system are compatible with the purposes 
for which this information is collected. Disclosures under the routine 
uses are limited to those necessary for the management of debt 
collection operations, including answering inquiries from or on behalf 
of debtors.

Compatibility Requirement

    The routine uses of this system are compatible with the purpose for 
which the information is collected and maintained.

New Rules or Changes to Published Rules

    This system of records does not require any new regulations or 
changes to published regulations.

Information Collection Requirements

    Establishing this system of records does not require any new 
information collection requirements.
88VA20A6

SYSTEM NAME:
    Accounts Receivable Records-VA.

SYSTEM LOCATION:
    Automated indebtedness records for first-party medical billing, 
compensation, pension, educational assistance, survivors' and 
dependents' educational assistance and most home loan debts are 
maintained at the VA's Austin Automation/Systems Development Center in 
Austin, Texas. Extracts of benefit and home loan debt automated records 
are maintained in the

[[Page 60150]]

Benefits Delivery Network for accounting and adjudication purposes. The 
Benefits Delivery Network is administered by the Benefit Delivery 
Center (BDC), Hines, Illinois. First-party medical billing information 
is extracted from records maintained at VA medical facilities and in 
automated media as more fully described in the Privacy Act system of 
records, 24VA136, ``Patient Medical Records--VA'' (56 FR 1054, Jan. 10, 
1991). Automated and paper indebtedness records for the Civilian Health 
and Medical Program of the Department of Veterans Affairs (CHAMPVA) are 
maintained at the CHAMPVA Center in Denver, Colorado and are more fully 
described in the Privacy Act system of records, 54VA136, ``Veteran's 
Spouse or Dependent Civilian Health and Medical Care Records--VA'' 40 
FR 38095 (Aug. 26, 1975), as amended at 53 FR 23845 (Jun. 24, 1988), 53 
FR 25238 (Jul. 5, 1988) and 56 FR 26186 (Jun. 6, 1991). Certain paper 
records, microfilm and microfiche are maintained at the VA Debt 
Management Center (DMC), Ft. Snelling, Minnesota. Education loan and 
miscellaneous home loan automated, paper, microfilm and microfiche 
records are maintained at DMC. Automated and paper indebtedness records 
related to the All-Volunteer Force Educational Assistance Program are 
also maintained at DMC. Paper records related to benefit and home loan 
accounts receivable may be maintained in individual file folders 
located at the VA regional office having jurisdiction over the domicile 
of the claimant or the geographic area in which a property securing a 
VA guaranteed, insured or direct loan is located. Similarly, paper and 
automated records related to first-party medical billing and CHAMPVA 
are also maintained in individual patient medical records at VA health 
care facilities and CHAMPVA Center. Generally and with the exception of 
claims against third-party insurers and certain first-party medical 
debts, automated records and papers maintained at regional offices, 
health care facilities and CHAMPVA Center are not used directly in the 
debt collection process unless they are forwarded by conventional mail, 
electronic mail or facsimile to DMC. Records provided to the Department 
of Housing and Urban Development (HUD) for inclusion in the Credit 
Alert Interactive Voice Response System (CAIVRS) are located at the HUD 
Data Processing Center in Lanham, Maryland.

CATEGORIES OF INDIVIDUALS COVERED BY THE SYSTEM:
    Persons indebted to the United States Government as a result of 
their participation in benefit programs (including health care 
programs) administered by VA under title 38, United States Code, 
chapters 11, 13, 15, 17, 21, 30, 31, 34, 35, 36 and 37, including 
persons indebted to the United States Government by virtue of their 
ownership, contractual obligation or rental of property owned by the 
Government or encumbered by a VA-guaranteed, insured, direct or vendee 
loan. Persons indebted to the United States Government as a result of 
their participation in a benefit program administered by VA under 10 
U.S.C. or 10 U.S.C. ch. 1606. Persons who received benefits or services 
under 38 U.S.C. or 10 U.S.C. ch. 1606, but who did not meet the 
requirements for receipts of such benefits or services.

CATEGORIES OF RECORDS IN THE SYSTEM:
    Information varies depending on the benefit type (including health 
care and home loan) from which the debt arose. Identifying information, 
including VA claim number, Social Security number, name and address 
and, when appropriate, loan reference number obtained from the 
following Privacy Act systems of records: ``Compensation, Pension, 
Education and Rehabilitation Records--VA'' (58VA21/22); ``Loan Guaranty 
Home, Condominium and Manufactured Home Loan Applicant Records, 
Specially Adapted Housing Applicant Records, and Vendee Loan Applicant 
Records--VA'' (55VA26); ``Patient Medical Records--VA'' (24VA136); and, 
``Veteran's Spouse or Dependent Civilian Health and Medical Care 
Records--VA'' (54VA136). Initial indebtedness amount, dates of 
treatment, amounts claimed for reimbursement type of benefit from which 
the debt arose, identifying number of the VA regional office with 
jurisdiction over the underlying benefit claim or property subject to 
default or foreclosure, station number of the VA health care facility 
rendering services, name of co-obligor and property address of the 
defaulted home loan from 58VA21/22, 55VA26, 24VA136 and 54VA136. 
History of debt collection activity on the individual, including 
correspondence, telephone calls, referrals to other Government 
agencies, VA district counsel, private collection and credit reporting 
agencies. Payments received, refunds made, interest amount, current 
balance of debt and indication of status or current VA benefit 
payments. Federal employment status obtained by computer matching with 
Government agencies and the United States Postal Service. No personal 
medical information concerning the nature of disease, injury or 
disability is transmitted to or maintained in this system of records.

AUTHORITY FOR MAINTENANCE OF THE SYSTEM:
    Title 38, United States Code, sections 501(a), 5314 and 5315. 
Federal Claims Collection Act of 1996 (Pub. L. 89-508), 31 U.S.C. 
Chapter 37, Subchapter I (General) and Subchapter II (Claims of the 
United States Government), 31 U.S.C. 3711, Collection and Compromise, 
31 U.S.C. 3716, Administrative Offset; Debt Collection Act of 1982 
(Pub. L. 97-365), 5 U.S.C. 5514, Installment Deduction for 
Indebtedness.

ROUTINE USES OF RECORDS MAINTAINED IN THE SYSTEM, INCLUDING CATEGORIES 
OF USERS AND THE PURPOSE OF SUCH USES:
    For purposes of the following routine uses:
    (a) The term ``veteran'', includes present, former or retired 
members of the United States Armed Forces, the reserve forces or 
national guard;
    (b) The term, ``debtor'', means any person falling within the 
categories of individuals covered by this system, as set forth above. A 
``debtor'' may be a veteran, as defined above, a veteran's dependent 
entitled to VA benefits (including health care) in his or her own right 
or a person who is neither a veteran nor a veteran's dependent for 
benefit purposes; and,
    (c) The terms ``benefit'', ``benefit program'' and ``VA program'' 
include any gratuitous benefit, home loan (including miscellaneous home 
loan) or health care (including CHAMPVA) program administered by the 
Secretary.
    1. The record of an individual who is covered by this system may be 
disclosed to a member of Congress or staff person acting for the member 
when the member or staff person requests the record on behalf of and at 
the written request of that individual.
    2. Any information in this system may be disclosed to a Federal 
agency, upon its official request, to the extent that it is relevant 
and necessary to that agency's decision regarding: The hiring, 
retention or transfer of an employee; the issuance of a security 
clearance; the letting of a contract or the issuance or continuance of 
a license, grant or other benefit given by that agency. However, in 
accordance with an agreement with the U.S. Postal Service, disclosures 
to the U.S. Postal Service for decisions concerning the employment of 
veterans will only be made with the veteran's prior written consent.

[[Page 60151]]

    3. Any information in this system may be disclosed, by computer 
matching or otherwise, in connection with any proceeding for the 
collection of an amount owed the United States by virtue of a person's 
participation in any benefit program administered by VA when in the 
judgment of the Secretary, or official generally delegated such 
authority under standard agency delegation of authority rules (38 CFR 
2.6), such disclosure is deemed necessary and proper in accordance with 
38 U.S.C. 5701(b)(6).
    4. The name and address of a veteran or the dependent of a veteran 
and other information as is reasonably necessary to identify such 
veteran or dependent may be disclosed to a consumer reporting agency 
for the purpose of locating the veteran or dependent indebted to the 
United States under a VA benefit program or to obtain a consumer report 
in order to assess the ability of a veteran or dependent to repay an 
indebtedness, provided the disclosure is consistent with 38 U.S.C. 
5701(g)(2).
    5. The name and address of a veteran or dependent, other 
information as is reasonably necessary to identify such persons, 
including personal information obtained from other Federal agencies 
through computer matching programs, and any information concerning the 
person's indebtedness to the United States by virtue of the person's 
participation in a VA benefit program may be disclosed to a consumer 
reporting agency for purposes of making such information available for 
inclusion in consumer reports regarding that person and for purposes of 
locating that person, provided that the provisions of 38 U.S.C. 
5701(g)(4) have been met.
    6. Any information in this system, including available identifying 
information regarding a person, such as the person's name, address, 
Social Security number, VA insurance number, VA claim number, VA loan 
number, date of birth and employment information, may be disclosed, 
except to consumer reporting agencies, to a third party in order to 
obtain current name, address and credit report in connection with any 
proceeding for the collection of an amount owed the United States by 
virtue of the person's participation in a VA benefit program. Such 
disclosure may be made in the course of computer matching having the 
purpose of obtaining the information indicated above. Third parties may 
include other Federal agencies, State probate courts, State drivers' 
license bureaus, State automobile title and license bureaus and private 
commercial concerns in the business of providing the information 
sought.
    7. Identifying information, including the debtor's name, Social 
Security number and VA claim number, along with the amount of 
indebtedness, may be disclosed to any Federal agency, including the 
U.S. Postal Service, in the course of conducting computer matching to 
identify and locate delinquent debtors employed by or receiving 
retirement benefits from those agencies. Such debtors may be subject to 
offset of their pay or retirement benefits under the provisions of 5 
U.S.C. 5514.
    8. Any information in this system, including the nature and amount 
of a financial obligation as well as the history of debt collection 
activity against a debtor, may be disclosed to the Federal agency 
administering salary or retirement benefits to the debtor to assist 
that agency in initiating offset of salary or retirement benefits to 
collect delinquent debts owed the United States under VA benefit 
programs.
    9. The name(s) and address(es) of a veteran or beneficiary may be 
disclosed to another Federal agency or to a contractor of that agency, 
at the written request of the head of that agency or designee of the 
head of that agency for the purpose of conducting Government research 
of oversight necessary to accomplish a statutory purpose of that 
agency.
    10. Any information in the system, including the amount of debt, 
may be disclosed at the request of a debtor to accredited service 
organizations, VA-approved claims agents and attorneys acting under a 
declaration of representation so that these individuals can aid persons 
indebted to VA in the preparation, presentation and prosecution of 
debt-related matters under the laws administered by VA. The name and 
address of a debtor will not, however, be disclosed to these 
individuals under this routine use if the debtor has not requested the 
assistance of an accredited service organization, claims agent or an 
attorney.
    11. Any information in this system such as the amount of 
indebtedness and collection history may be disclosed in the course of 
presenting evidence to a court, magistrate or administrative authority 
in matters of guardianship, inquests and commitments, to private 
attorneys representing debtors rated incompetent in conjunction with 
issuance of Certificates of Incompetence and to probation and parole 
officers in connection with court-required duties.
    12. Any information in this system, including the amount of 
indebtedness and history of collection activity, may be disclosed to a 
VA or court-appointed fiduciary or a guardian ad litem in relation to 
his or her representation of a debtor only to the extent necessary to 
fulfill the duties of the fiduciary or guardian ad litem.
    13. Any relevant information in this system may be disclosed to the 
Department of Justice and United States Attorneys in the defense or 
prosecution of litigation involving or pertaining to the United States. 
Any relevant information in this system may also be disclosed to other 
Federal agencies upon their request in connection with review of 
administrative tort claims and potential tort claims filed under the 
Federal Tort Claims Act, 28 U.S.C. 2672, the Military Claims Act, 10 
U.S.C. 2733 and other similar claims statutes.
    14. Any information concerning a person's indebtedness to the 
United States by virtue of that person's participation in a benefit 
program administered by VA, including personal information obtained 
from other Federal agencies through computer matching programs, may be 
disclosed to any third party, except consumer reporting agencies, in 
connection with any proceeding for the collection of any amount owed to 
the United States. Purposes of these disclosures may be to (a) assist 
VA in collection of title 38 and 10 U.S.C. ch. 1606 program debts and/
or costs of services, and (b) initiate legal actions for prosecuting 
individuals who willfully or fraudulently obtain title 38 or 10 U.S.C. 
ch. 1606 benefits without entitlement.
    15. The debtor's name, address, Social Security number and the 
amount (excluding interest) of any indebtedness waived, compromised or 
written off may be disclosed to the Treasury Department, Internal 
Revenue Service, as a report of income under 26 U.S.C. 61(a)(12).
    16. The name of a debtor, any other information reasonably 
necessary to identify such individual and any other information 
concerning the individual's indebtedness under a VA program, may be 
disclosed to the Treasury Department, Internal Revenue Service, for the 
collection of that indebtedness by offset of Federal income tax refunds 
pursuant to 31 U.S.C. 3720A.
    17. Debtors' social security numbers, VA claim numbers, loan 
account numbers and other information as is reasonably necessary to 
identify individual VA indebtedness accounts may be disclosed to the 
Department of Housing and Urban Development for inclusion in the Credit 
Alert Interactive Voice Response System (CAIVRS). Information in CAIVRS 
may be disclosed to all participating agencies and lenders who 
participate in the

[[Page 60152]]

agencies' programs to enable them to verify information provided by new 
loan applicants and evaluate the creditworthiness of applicants. 
Records are disclosed to participating agencies and private-sector 
lenders by an ongoing computer matching program.
    18. Name, Social Security numbers and any other information 
reasonably necessary to ensure accurate identification may be disclosed 
to the Department of the Treasury, Internal Revenue Service, to obtain 
the mailing address of taxpayers who are debtors under this system of 
records. Disclosure is made by computer matching and pursuant to 26 
U.S.C. 6103(m)(2).
    18. Any information in a record under this system of records may be 
disclosed to the United States General Accounting Office (GAO) to 
enabling GAO to pursue collection activities authorized to that office 
or any other activities within their statutory authority.

DISCLOSURE TO CONSUMER REPORTING AGENCIES:
    Disclosures pursuant to 5 U.S.C. 552a(b)(12) may be made from this 
record system to consumer reporting agencies as defined in the Fair 
Credit Reporting Act 15 U.S.C. 1681a(f) or the Federal Claims 
Collection Act of 1966 31 U.S.C. 3701(a)(3). The disclosure is limited 
to information necessary to establish the identity of the individual, 
including name, address, and taxpayer identification number (Social 
Security number), the amount, status and history of the claim; and the 
agency or program under which the claim arose for the sole purpose of 
allowing the consumer reporting agency to prepare a commercial credit 
report. 38 U.S.C. 5701(g) governs the release of names and addresses of 
any person who is a present or former member of the Armed Forces, or 
who is a dependent of such a person, to consumer reporting agencies 
under certain circumstances. Routine uses, above, provide for 
disclosure under those circumstances.

POLICIES AND PRACTICES FOR STORING, RETRIEVING, ACCESSING, RETAINING 
AND DISPOSING OF RECORDS IN THE SYSTEM:
STORAGE;
    Records are maintained on magnetic tape and disk, microfilm, 
microfiche, optical disk and paper documents. DMC does not routinely 
maintain paper records of individual debtors in file folders with the 
exception of correspondence, and replies thereto, from Congress, the 
White House, members of the Cabinet and other similar sources. Paper 
records related to accounts receivable may be maintained in individual 
file folders located at VA regional offices, health care facilities and 
CHAMPVA Center. Generally and with the exception of claims against 
third-party insurers and certain first-party medical debts, such papers 
maintained outside of DMC are not used directly in the debt collection 
process unless they are first forwarded to DMC. Information stored on 
magnetic media for most benefit debts, including first-party medical, 
may be accessed through a data telecommunications terminal system 
designated as CAROLS (Centralized Accounts Receivable On-Line System). 
Most CAROLS terminals are located in DMC; however, VA regional offices 
generally each have one terminal for inquiry purposes. Information 
stored on magnetic media and related to the All-Volunteer Force 
Educational Assistance, education loan, miscellaneous home loan or 
CHAMPVA debt collection programs may be accessed through personal 
computers. Records provided to the Department of Housing and Urban 
Development for inclusion in the Credit Alert Interactive Voice 
Response System (CAIVRS) are maintained on magnetic media at the HUD 
Data Processing Center in Lanham, Maryland. For benefit debts other 
than miscellaneous home loan, first-party medical and CHAMPVA, 
identifying information, the amount of the debt and benefit source of 
the debt may be stored on magnetic media in records that serve as the 
data base for the VA Benefits Delivery Network (BDN). The BDN is 
operated for the adjudication of claims and the entry of certain fiscal 
transactions. The identifying information, the amount of the debt and 
benefit source of the debt are transmitted to the Centralized Accounts 
Receivable System (CARS) or a personal computer local area network 
system before collection activity commences. When a debtor is awarded 
gratuitous benefits under VA programs, the BDN may operate to offset 
all or part of retroactive funds awarded, if any, to reduce the balance 
of the indebtedness. The Decentralized Hospital Computer Program 
(DHCP), through its various modules, is used to create and store first-
party medical charges and debts associated with the provision of health 
care benefits. The identifying information about the person, the amount 
of the debt and program source of the debt may be transmitted to CARS 
as part of the collection process. When a person receives care under 
the auspices of VA, a VA medical facility may collect all or part of a 
charge or debt.

Retrievability:
    Paper documents, microfilm and microfiche are indexed by VA file 
number or date of receipt. Automated records are indexed by VA claim 
number, Social Security account number, name and loan account number in 
appropriate circumstances. Records in CAIVRS may only be retrieved by 
Social Security number.

SAFEGUARDS:
    1. Physical Security: (a) Access to working spaces and document 
storage areas in DMC is restricted by cipher locks and to VA employees 
on a need-to-know basis. Generally, document storage areas in VA 
offices other than DMC are restricted to VA employees on a need-to-know 
basis. VA offices are generally protected from outside access by the 
Federal Protective Service or other security personnel. Strict control 
measures are enforced to ensure that access to and disclosure from 
documents, microfilm and microfiche are limited to a need-to-know 
basis. (b) Access to CAROLS data telecommunications terminals is by 
authorization controlled by the site security officer. The security 
officer is assigned responsibility for privacy-security measures, 
especially for review of violation logs, information logs and control 
of password distribution. (c) Access to data processing centers is 
generally restricted to center employees, custodial personnel, Federal 
Protective Service and other security personnel. Access to computer 
rooms is restricted to authorized operational personnel through 
electronic locking devices. All other personnel gaining access to 
computer rooms are escorted.
    2. CAROLS and Personal Computer Local Area Network (LAN) Security: 
(a) Usage of CAROLS and LAN terminal equipment is protected by password 
access. Electronic keyboard locks are activated on security errors.
    (b) At the data processing centers, identification of magnetic 
media containing data is rigidly enforced using labeling techniques. 
Automated storage media which are not in use are stored in tape 
libraries which are secured in locked rooms. Access to programs is 
controlled at three levels: programming, auditing and operations.
    3. CAIVRS Security: Access to the HUD data processing center from 
which CAIVRS is operated is generally restricted to center employees 
and authorized contact employees. Access to computer rooms is 
restricted to authorized operational personnel through locking devices. 
All other persons gaining access to computer rooms are escorted.

[[Page 60153]]

    Records in CAIVRS use Social Security numbers as identifiers. 
Access to information files is restricted to authorized employees of 
participating agencies and authorized employees of lenders who 
participate in the agencies' programs. Access is controlled by agency 
distribution of passwords. Information in the system may be accessed by 
use of a touch-tone telephone by authorized agency and lender employees 
on a need-to-know basis.

RENTENTION AND DISPOSAL:
    Microfilm and microfiche are retained in metal cabinets in DMC for 
25 years. CARS records are retained until termination of debt 
collection (payment in full, write off, compromise or waiver). All 
other automated storage media are retained and disposed of in 
accordance with disposition authorization approved by the Archivist of 
the United States. DMC generally forwards all substantive paper 
documents to VA regional offices, health care facilities and CHAMPVA 
Center for storage in claims files, patient treatment files, imaging 
systems or loan files. Those documents are retained and disposed of in 
accordance with the appropriate system of records. Information provided 
to HUD for CAIVRS is stored on magnetic tape. The tapes are returned to 
VA for updating each month. HUD does not keep separate copies of the 
tapes.

SYSTEM MANAGER(S) AND ADDRESS:
    Director, Debt Management Center (389/00), U.S. Department of 
Veterans Affairs, Bishop Henry Whipple Federal Building, 1 Federal 
Drive, Ft. Snelling, MN 55111.

NOTIFICATION PROCEDURE:
    An individual who wishes to determine whether a record is being 
maintained in this system under his or her name or other personal 
identifier, or wants to determine the contents of such record, should 
submit a written request to the system manager indicated above.

RECORD ACCESS PROCEDURES:
    Individuals seeking information regarding access to and contesting 
of VA records may write, call or visit the nearest VA regional office. 
Address locations are listed in VA Appendix 1.

CONTESTING RECORD PROCEDURES:
    See record access procedures, above.

RECORD SOURCE CATEGORIES:
    The records in this system are derived from four other systems of 
records as set forth in ``Categories of records in the system'', above, 
persons indebted to the United States by virtue of their participation 
in programs administered by Va, dependents of those persons, 
fiduciaries for those persons (VA or court appointed), other Federal 
agencies, State and local agencies, private collection agencies, 
consumer reporting agencies, State, local and county courts and clerks, 
other third parties and other VA records.

[FR Doc. 96-30105 Filed 11-25-96; 8:45 am]
BILLING CODE 8320-01-M