[Federal Register Volume 67, Number 79 (Wednesday, April 24, 2002)]
[Notices]
[Pages 20095-20097]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 02-9962]



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DEPARTMENT OF DEFENSE

Department of the Air Force


Privacy Act of 1974; System of Records

AGENCY: Department of the Air Force, DoD.

ACTION: Notice to alter systems of records.

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SUMMARY: The Department of the Air Force is proposing to alter a system 
of records notice in its existing inventory of record systems subject 
to the Privacy Act of 1974, (5 U.S.C. 552a), as amended. The alteration 
adds routine uses to the existing system of records so that information 
may be released for the purpose of collecting debts owed to the U.S. 
Government.

DATES: This proposed action will be effective without further notice on 
May 24, 2002, unless comments are received which result in a contrary 
determination.

ADDRESSES: Send comments to the Air Force Privacy Act Manager, AF CIO/
P, 1155 Air Force Pentagon, Washington, DC 20330-1155.

FOR FURTHER INFORMATION CONTACT: Mrs. Anne Rollins at (703) 601-4043 or 
DSN 329-4043.

SUPPLEMENTARY INFORMATION: The Department of the Air Force systems of 
records notices subject to the Privacy Act of 1974, (5 U.S.C. 552a), as 
amended, have been published in the Federal Register and are available 
from the address above.
    The proposed system reports, as required by 5 U.S.C. 552a(r) of the 
Privacy Act of 1974, as amended, was submitted on April 11, 2002, to 
the House Committee on Government Reform, the Senate Committee on 
Governmental Affairs, and the Office of Management and Budget (OMB) 
pursuant to paragraph 4c 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: April 17, 2002.
Patricia L. Toppings,
Alternate OSD Federal Register Liaison Officer, Department of Defense.
F065 AF SVA A

System name:
    Non-appropriated Fund Instrumentalities (NAFIs) Financial System 
(June 11, 1997, 62 FR 31793).

Changes:
* * * * *

Categories of individuals covered by the system:
    Delete entry and replace with ``All personnel who are members of 
Air Force membership associations or authorized patrons of any activity 
operated by one of the above NAFIs, and with whom financial 
transactions are conducted, e.g., the extension of credit in accordance 
with Air Force regulations, or the acceptance and cashing of personal 
checks. In accordance with appropriate Air Force regulations concerning 
NAFI participation, the above personnel may include, but are not 
limited to: Active duty and retired military members; members of United 
States Reserve components and Federally recognized National Guard 
units; military members of foreign governments on duty with the 
Department of Defense (DoD); DoD employees; other Federal Government 
employees working on military installations, retired DoD employees; 
contractor employees; technical representatives; and others who are 
authorized logistic support and work at the installation and where 
membership or usage would be in the best interest of the installation; 
paid members of the American Red Cross; children of deceased active 
duty or retired members of the United States Armed Forces; certain 
other categories of individuals identified as authorized personnel who 
directly support Air Force mission requirements; and authorized 
dependents or guests. Also covered are all personnel employed by or 
assigned to a NAFI who are involved in financial transactions involving 
the NAFI, whether internal or external, including, but not limited to, 
the receipt or control of cash or other properties.''

Categories of records in the system:
    Delete entry and replace with ``Records resulting from financial 
transactions with authorized members, patrons, vendors, contractors, or 
those otherwise entitled to utilize or deal with a NAFI. Such records 
include, but are not limited to: Subsidiary account ledgers maintained 
on individual members/authorized patrons who are charged dues and/or 
extended credit including the use of billeting type facilities prior to 
payment; form(s) on which delinquent accounts or dishonored checks and 
their disposition are maintained; and records of other sales or 
services. Records necessitated for internal/external financial record 
keeping or asset control, including but not limited to any account 
receivable, the receipt and control of cash; custody of tangible 
property, and any actions taken as a result of any irregularity. Case 
files relating to debts owed by individuals or entities also include 
those for salary/travel advances, pecuniary liability claims, 
overpayments, and credit cards. These files contain correspondence 
pertaining to the debts, e.g., notices from banks or other financial 
institutions concerning indebtedness, originals or copies of returned 
checks, memos reflecting attempts to contact the debtor, repayment 
requests, payment options, charges on accounts, account statements, and 
other related documents and correspondence.''
* * * * *

Routine uses of records maintained in the system, including categories 
of users and the purposes of such uses:
    Add five new paragraphs to the entry ``To the U.S. Department of 
Justice/U.S. Attorneys for legal action and/or final disposition of the 
debt claim.
    To the Internal Revenue Service (IRS) to obtain locator status for 
delinquent accounts receivables (controls exist to preclude 
redisclosure of solicited IRS address data; and/or to report write-off 
amounts as taxable income as pertains to amounts compromised and 
accounts barred from litigation due to age).
    To private collection agencies for collection action when the 
internal collection efforts have been exhausted.
    To the Department of the Treasury, Financial Management Service, 
for the purpose of collecting delinquent debts owed to the U.S. 
Government via administrative offset.
    To any employer (person or entity) that employs the services of 
others where the employee owes a delinquent nontax debt to the United 
States. The term employer includes, but is not limited to, state and 
local government, but does not include any agency of the Federal 
Government.''
    Add a new entry ``Disclosure to consumer reporting agencies: 
Disclosure pursuant to 5 U.S.C. 552a(b)(12) may be made from this 
system to consumer reporting agencies as defined in the Fair Credit 
Reporting Act (14 U.S.C. 1681a(f)) or the Federal Claims Collection Act 
of 1966 (31 U.S.C. 3701(a)(3)). The purpose of this disclosure is to 
aid in the collection of outstanding debts owed to the Federal 
Government, typically to provide an incentive for debtors to repay 
delinquent Federal Government debts by making these debts part of their 
credit records.
    The disclosure is limited to information necessary to establish the 
identity of the individual, including name, address, and taxpayer 
identification number (Social Security

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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.''
* * * * *
F065 AF SVA A

System name:
    Non-appropriated Fund Instrumentalities (NAFIs) Financial System.

System location:
    Headquarters Air Force Services Agency, 10100 Reunion Place, Suite 
400, San Antonio, TX 78216-4138, major commands, field operating 
agencies, and individual Air Force bases. System exists within 
approximately 500 NAFIs which include resale and revenue-sharing NAFIs; 
base Morale, Welfare, and Recreation Fund (MWRF) NAFIs; and 
supplemental mission services NAFIs. Official mailing addresses are 
published as an appendix to the Air Force's compilation of record 
systems notices.

Categories of individuals covered by the system:
    All personnel who are members of Air Force membership associations 
or authorized patrons of any activity operated by one of the above 
NAFIs, and with whom financial transactions are conducted, e.g., the 
extension of credit in accordance with Air Force regulations, or the 
acceptance and cashing of personal checks. In accordance with 
appropriate Air Force regulations concerning NAFI participation, the 
above personnel may include, but are not limited to: Active duty and 
retired military members; members of United States Reserve components 
and Federally recognized National Guard units; military members of 
foreign governments on duty with the Department of Defense (DoD); DoD 
employees; other Federal Government employees working on military 
installations, retired DoD employees; contractor employees; technical 
representatives; and others who are authorized logistic support and 
work at the installation and where membership or usage would be in the 
best interest of the installation; paid members of the American Red 
Cross; children of deceased active duty or retired members of the 
United States Armed Forces; certain other categories of individuals 
identified as authorized personnel who directly support Air Force 
mission requirements; and authorized dependents or guests. Also covered 
are all personnel employed by or assigned to a NAFI who are involved in 
financial transactions involving the NAFI, whether internal or 
external, including, but not limited to, the receipt or control of cash 
or other properties.

Categories of records in the system:
    Records resulting from financial transactions with authorized 
members, patrons, vendors, contractors, or those otherwise entitled to 
utilize or deal with a NAFI. Such records include, but are not limited 
to: Subsidiary account ledgers maintained on individual members/
authorized patrons who are charged dues and/or extended credit 
including the use of billeting type facilities prior to payment; 
form(s) on which delinquent accounts or dishonored checks and their 
disposition are maintained; and records of other sales or services. 
Records necessitated for internal/external financial record keeping or 
asset control, including but not limited to any account receivable, the 
receipt and control of cash; custody of tangible property, and any 
actions taken as a result of any irregularity. Case files relating to 
debts owed by individuals or entities also include those for salary/
travel advances, pecuniary liability claims, overpayments, and credit 
cards. These files contain correspondence pertaining to the debts, 
e.g., notices from banks or other financial institutions concerning 
indebtedness, originals or copies of returned checks, memos reflecting 
attempts to contact the debtor, repayment requests, payment options, 
charges on accounts, account statements, and other related documents 
and correspondence.

Authority for maintenance of the system:
    10 U.S.C. 8013, Secretary of the Air Force; Federal Claims 
Collection Act of 1966 (Pub. L. 89-508, as amended); 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 CFR 
285.11, Administrative Wage Garnishment; Air Force Instruction 34-209, 
Non-appropriated Funds Financial Management and Accounting; Air Force 
Instruction 34-202, Protecting Non-appropriated Fund Assets; and Air 
Force Manual 34-214, Procedures for Non-appropriated Funds Financial 
Management and Accounting; and E.O. 9397 (SSN).

Purpose(s):
    To record charges and credits of members and others authorized 
credit. To prepare billing statements or furnish data to an outside 
party to prepare billing statements. To maintain a record of returned 
checks. To assist in collecting all amounts due in accordance with 
established Air Force procedures. To compile a statistical quarterly 
report on returned checks and statistical data on delinquent accounts 
receivable for use with the financial reports. To verify eligibility to 
engage in financial transactions with a NAFI and other sales and 
extensions of credit. To form a database within the financial system of 
the NAFI used by personnel responsible for conducting Air Force NAF 
financial transactions.
    Routine uses of records maintained in the system, including 
categories of users and the purposes of such uses: In addition to those 
disclosures generally permitted under 5 U.S.C. 552a(b) of the Privacy 
Act, these records or information contained therein may specifically be 
disclosed outside the DoD as a routine use pursuant to 5 U.S.C. 
552a(b)(3) as follows:
    To the U.S. Department of Justice/U.S. Attorneys for legal action 
and/or final disposition of the debt claim.
    To the Internal Revenue Service (IRS) to obtain locator status for 
delinquent accounts receivables (controls exist to preclude 
redisclosure of solicited IRS address data; and/or to report write-off 
amounts as taxable income as pertains to amounts compromised and 
accounts barred from litigation due to age).
    To private collection agencies for collection action when the 
internal collection efforts have been exhausted.
    To the Department of the Treasury, Financial Management Service, 
for the purpose of collecting delinquent debts owed to the U.S. 
Government via administrative offset.
    To any employer (person or entity) that employs the services of 
others where the employee owes a delinquent nontax debt to the United 
States. The term employer includes, but is not limited to, state and 
local government, but does not include any agency of the Federal 
Government.
    Records from this system may be disclosed to other government 
agencies, commercial or nonprofit concerns conducting activities in 
support of, similar to, or in furtherance of, the Air Force programs 
involved.
    The DoD ``Blanket Routine Uses'' published at the beginning of the 
Air Force's compilation of record system notices apply to this system.

Disclosure to consumer reporting agencies:
    Disclosure pursuant to 5 U.S.C. 552a(b)(12) may be made from this 
system to consumer reporting agencies as defined in the Fair Credit 
Reporting Act (14 U.S.C. 1681a(f)) or the Federal

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Claims Collection Act of 1966 (31 U.S.C. 3701(a)(3)). The purpose of 
this disclosure is to aid in the collection of outstanding debts owed 
to the Federal Government, typically to provide an incentive for 
debtors to repay delinquent Federal Government debts by making these 
debts part of their credit records.
    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.

Policies and practices for storing, retrieving, accessing, retaining, 
and disposing of records in the system:
Storage:
    Maintained in visible file binders/cabinets, in computers and on 
computer output products.

Retrievability:
    Retrieved by name, membership organization account number, and/or 
Social Security Number.

Safeguards:
    Records are accessed by person(s) responsible for servicing the 
record system in performance of their official duties and by authorized 
personnel who are properly screened and cleared for need-to-know. 
Records stored in locked rooms, cabinets, and in computer storage 
devices protected by computer system software.

Retention and disposal:
    Subsidiary accounts receivable are retained throughout the life 
cycle of credit sales and for as long as an individual remains in an 
active member/authorized patron status. Those forms used in connection 
with delinquent accounts or returned checks are retained until no 
longer needed. Records are destroyed by tearing into pieces, shredding, 
pulping, macerating or burning. Computer records are destroyed by 
erasing, deleting or overwriting.

System manager(s) and address:
    Director, Financial Management and Comptroller, Headquarters Air 
Force Services Agency (HQ AFSVA/SVF), 10100 Reunion Place, Suite 400, 
San Antonio, TX 78216-4138.

Notification procedure:
    Individuals seeking to determine whether this system of records 
contains information on them should address inquiries to or visit the 
Directorate of Financial Management and Comptroller, Headquarters Air 
Force Services Agency (HQ AFSVA/SVF), 10100 Reunion Place, Suite 400, 
San Antonio, TX 78216-4138.
    Individuals may also contact the appropriate base NAF Accounting 
Office or the appropriate operating manager. Official mailing addresses 
are published as an appendix to the Air Force's compilation of record 
systems notices.

Record access procedures:
    Individuals seeking to access records about themselves contained in 
this system should address requests to the Directorate of Financial 
Management and Comptroller, Headquarters Air Force Services Agency 
(HQAFSVA/SVF), 10100 Reunion Place Suite 400, San Antonio, TX 78216-
4138.
    Individuals may also contact the appropriate base NAF Accounting 
Office or the appropriate operating manager. Official mailing addresses 
are published as an appendix to the Air Force's compilation of record 
systems notices.

Contesting record procedures:
    The Air Force rules for accessing records, and for contesting 
contents and appealing initial agency determinations are published in 
Air Force Instruction 37-132; 32 CFR part 806b; or may be obtained from 
the system manager.

Record source categories:
    Individual members/patrons/users of a service themselves, charge 
slips, payment receipts, checks, and other authorized financial forms 
and records.

Exemptions claimed for the system:
    None.

[FR Doc. 02-9962 Filed 4-23-02; 8:45 am]
BILLING CODE 5001-08-P