[Federal Register Volume 65, Number 108 (Monday, June 5, 2000)]
[Notices]
[Pages 35619-35620]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 00-13896]



[[Page 35619]]

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DEPARTMENT OF DEFENSE

Defense Logistics Agency


Privacy Act of 1974; Computer Matching Program

AGENCY: Defense Manpower Data Center, Defense Logistics Agency.

ACTION: Notice of a computer matching program.

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SUMMARY: Subsection (e)(12) of the Privacy Act of 1974, as amended, (5 
U.S.C. 552a) requires agencies to publish advance notice of any 
proposed or revised computer matching program by the matching agency 
for public comment. The Department of Defense (DoD), as the matching 
agency under the Privacy Act, is hereby giving notice to the record 
subjects of a computer matching program between Small Business 
Administration (SBA) and DoD that records are being matched by 
computer. The record subjects are SBA delinquent debtors who may be 
current or former Federal employees receiving Federal salary or benefit 
payments and who are indebted and or delinquent in their repayment of 
debts owed to the United States Government under programs administered 
by SBA.

DATES: This proposed action will become effective July 5, 2000, and the 
computer matching will proceed accordingly without further notice, 
unless comments are received which would result in a contrary 
determination or if the Office of Management and Budget or Congress 
objects thereto. Any public comment must be received before the 
effective date.

ADDRESSES: Any interested party may submit written comments to the 
Director, Defense Privacy Office, 1941 Jefferson Davis Highway, Suite 
920, Arlington, VA 22202-4502.

FOR FURTHER INFORMATION CONTACT: Mr. Vahan Moushegian, Jr. at (703) 
607-2943.

SUPPLEMENTARY INFORMATION: Pursuant to subsection (o) of the Privacy 
Act of 1974, as amended, (5 U.S.C. 552a), the DoD and SBA have 
concluded an agreement to conduct a computer matching program between 
the agencies. The purpose of the match is to exchange personal data 
between the agencies for debt collection. The match will yield the 
identity and location of the debtors within the Federal government so 
that SBA can pursue recoupment of the debt by voluntary payment or by 
administrative or salary offset procedures.
    A copy of the computer matching agreement between the SBA and DoD 
is available upon request to the public. Requests should be submitted 
to the address caption above or to the Deputy Assistant Administrator, 
Office of the Portfolio Management, 409 Third Street, SW, Suite 8300, 
Washington, DC 20416.
    Set forth below is a public notice of the establishment of the 
computer matching program required by paragraph 6.c. of the Office of 
Management and Budget Guidelines on computer matching published on June 
19, 1989, at 54 FR 25818.
    The matching agreement, as required by 5 U.S.C. 552a(r) of the 
Privacy Act, and an advance copy of this notice were submitted on May 
16, 2000, to the House Committee on Government Reform, the Senate 
Committee on Government Affairs, and the Administrator of the Office of 
Information and Regulatory Affairs, Office of Management and Budget 
pursuant to paragraph 4d of Appendix I to OMB Circular No. A-130, 
`Federal Agency Responsibilities for Maintaining Records about 
Individuals,' dated February 8, 1996 (February 20, 1996, 61 FR 6427).

    Dated: May 30, 2000.
L. M. Bynum,
Alternate OSD Federal Register Liaison Officer, Department of Defense.

Notice of a Computer Matching Program between the Small Business 
Administration, and the Department of Defense for Debt Collection.

    A. Participating agencies: Participants in this computer matching 
program are the Small Business Administration (SBA) and the Defense 
Manpower Data Center (DMDC), Department of Defense (DoD). The Small 
Business Administration is the source agency, i.e., the activity 
disclosing the records for the purpose of the match. The DMDC is the 
specific recipient activity or matching agency, i.e., the agency that 
actually performs the computer matching.
    B. Purpose of the match: The purpose of the match is to identify 
and locate any matched Federal personnel, employed, serving, or 
retired, who owe delinquent debts to the Federal Government under 
certain programs administered by SBA. SBA will use this information to 
initiate independent collection of those debts under the provisions of 
the Debt Collection Act of 1982, as amended, when voluntary payment is 
not forthcoming. These collection efforts will include requests by SBA 
of the military service/employing agency in the case of military 
personnel (either active, reserve, or retired) and current non-postal 
civilian employees, and to OPM in the case of retired non-postal 
civilian employees, to apply administrative and/or salary offset 
procedures until such time as the obligation is paid in full.
    C. Authority for conducting the match: The legal authority for 
conducting the matching program is contained in the Debt Collection Act 
of 1982 (Pub. L. 97-365), as amended by the Debt Collection Improvement 
Act of 1996 (Pub. L. 104-134, section 31001); 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; 5 U.S.C. 5514, Installment Deduction for 
Indebtedness (Salary Offset); 10 U.S.C. 135, Under Secretary of Defense 
(Comptroller); Section 101(1) of Executive Order 12731; 4 CFR 101.1-
105.5, Federal Claims Collection Standards; 5 CFR 550.1101--550.1108, 
Collection by Offset from Indebted Government Employees (OPM); 13 CFR, 
part 140, Debt Collection (SBA).
    D. Records to be matched: The systems of records described below 
contain an appropriate routine use provisions which permits disclosure 
of information between agencies.
    SBA will use personal data from the Privacy Act record system 
identified as SBA 075, entitled, `Loan Case File', published in the 
Federal Register at 56 FR 8022 on February 26, 1991, but amended in the 
Federal Register at 65 FR 1422 on January 10, 2000 and corrected at 65 
FR 459 on January 27, 2000.
    DoD will use personal data from the Privacy Act record system 
identified as S322.11 DMDC, entitled `Federal Creditor Agency Debt 
Collection Data Base,' last published in the Federal Register at 64 FR 
42101, August 3, 1999.
    E. Description of computer matching program: SBA, as the source 
agency, will provide DMDC with an electronic file which contains the 
names of delinquent debtors in programs SBA administers. Upon receipt 
of the electronic file of debtor accounts, DMDC will perform a computer 
match using all nine digits of the SSN of the SBA file against a DMDC 
computer database. The DMDC database, established under an interagency 
agreement between DOD, OPM, OMB, and the Department of the Treasury, 
consists of personnel records of non-postal Federal civilian employees 
and military members, both active and retired. The `hits' or matches 
will be furnished to SBA. SBA is responsible for verifying and 
determining that the data on the DMDC electronic reply tape file are 
consistent

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with SBA source file and for resolving any discrepancies or 
inconsistencies on an individual basis. SBA will also be responsible 
for making final determinations as to positive identification, amount 
of indebtedness and recovery efforts as a result of the match.
    The electronic file tape provided by SBA will contain data elements 
of the debtor's name, SSN, internal account numbers and the total 
amount owed for each debtor on approximately 25,000 delinquent debtors.
    The DMDC computer database file contains approximately 4.8 million 
records of active duty and retired military members, including the 
Reserve and Guard, and approximately 3.1 million records of active and 
retired non-postal Federal civilian employees.
    F. Individual notice and opportunity to contest: Due process 
procedures will be provided by SBA to those individuals matched (hits) 
consisting of SBA'S verification of debt; a minimum of 30-day written 
notice to the debtor explaining the debtor's rights; opportunity for 
the debtor to examine and copy SBA documentation relating to the debt; 
provision for debtor to seek the SBA review of the debt (or in the case 
of the salary offset provision, opportunity for a hearing before an 
individual who is not under the supervision or control of the agency); 
and opportunity for the individual to enter into a written agreement 
satisfactory to the SBA for repayment. Only when all of the steps have 
been taken will SBA disclose information, pursuant to a routine use, to 
effect an administrative or salary offset. Unless the individual 
notifies SBA within 30 days from the date of the notice, SBA will infer 
that the data provided the individual is accurate and correct and will 
take the next step, as authorized by law, to recoup the delinquent 
debt.
    G. Inclusive dates of the matching program: This computer matching 
program is subject to review by the Office of Management and Budget and 
Congress. If the mandatory 30 day period for public comment has expired 
and if no objections are raised by either Congress or the Office of 
Management and Budget within 40 days of being notified of the proposed 
match, the computer matching program becomes effective and the 
respective agencies may begin the exchange of data at a mutually 
agreeable time and will be repeated on an annual basis. By agreement 
between SBA and DoD, the matching program will be in effect and 
continue for 18 months with an option to extend for 12 additional 
months unless one of the parties to the agreement advises the other by 
written request to terminate or modify the agreement.
    H. Address for receipt of public comments or inquiries: Director, 
Defense Privacy Office, 1941 Jefferson Davis Highway, Suite 920 
Arlington, VA 22202-4502. Telephone (703) 607-2943.
[FR Doc. 00-13896 Filed 6-2-00; 8:45 am]
BILLING CODE 5001-10-F