[Federal Register Volume 68, Number 38 (Wednesday, February 26, 2003)]
[Notices]
[Pages 8920-8921]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 03-4445]


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DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT

[Docket No. FR-4456-N-24]


Privacy Act of 1974; Notice of a Computer Matching Program

AGENCY: Office of the Chief Information Officer, (HUD).

ACTION: Notice of a computer matching program between the Department of 
Housing and Urban Development (HUD) and the Department of Education.

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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 
(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,'' HUD is issuing a public notice of its intent 
to conduct a recurring computer matching program with the Department of 
Education to utilize a computer information system of HUD, the Credit 
Alert Interactive Voice Response System (CAIVRS), with the Department 
of Education's debtor files. This match will allow prescreening of 
applicants for loans issued by or 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 the Department of 
Education for 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 delinquent debt information from the Departments of 
Agriculture, Education, Veteran Affairs, the Small Business 
administration and judgment lien data from the Department of Justice, 
and verify that the applicant is not in default on a Federal judgment 
or delinquent on direct or guaranteed loans of participating Federal 
agencies. This match will allow prescreening of applicants for loans 
issued by or guaranteed by the Federal government to ascertain if the 
applicant is delinquent in paying a debt owed to or insured by the 
Federal government.
    Authorized users do a prescreening of CAIVRS to determine a loan 
applicant's credit status with the Federal government. 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.

DATES: Effective Date: Computer matching is expected to begin on March 
28, 2003, unless comments are received which will result in a contrary 
determination, or 40 days from the date a computer matching agreement 
is signed, whichever is later.
    Comments Due Date: March 28, 2003.

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 FURTHER INFORMATION FROM RECIPIENT AGENCY CONTACT: Jeanette Smith, 
Departmental Privacy Act Officer, Department of Housing and Urban 
Development, 451 7th St., SW., Room P8001, Washington, DC 20410, 
telephone number (202) 708-2374. (This is not a toll-free number.) A 
telecommunication device for hearing- and speech-impaired individuals 
(TTY) is available at 1-800-877-8339 (Federal Information Relay 
Service). (This is a toll-free number).

FOR FURTHER INFORMATION FROM SOURCE AGENCY CONTACT: Kathryn Griffin, 
Management Analyst, Collections, Federal Student Aid, Department of 
Education, Union Center Plaza, 830 First Street, NE., Room 41D2, 
Washington, DC 20202-5320, telephone number (202) 377-3252. (This is 
not a toll-free number.)
    Reporting: In accordance with Public Law 100-503, the Computer 
Matching and Privacy Protection Act of 1988, as amended, and OMB 
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 are being provided to the 
Committee on Government Reform of the House of Representatives, the 
Committee on Governmental Affairs of the Senate, and the Office of 
Management and Budget.
    Authority: HUD has authority to collect and review mortgage data 
pursuant to the National Housing Act, as amended, 12 U.S.C 1701 et 
seq., and related laws. The Department of Education oversees and 
manages Federal student aid programs pursuant to the Higher Education 
Act of 1965, as amended, 20 U.S.C. 1001 et seq. This computer matching 
will 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) Circulars A-129 (Managing Federal Credit 
Programs) and A-70 (Policies and Guidelines for Federal Credit 
Programs). One of the purposes of all Executive departments and 
agencies is to implement efficient management practices for Federal 
credit programs. OMB Circulars A-129 and A-70 were 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 (Pub. L. 97-365), as amended by the Debt Collection Improvement 
Act of 1996 (Pub. L. 104-134, section 31001); and the Deficit Reduction 
Act of 1984, as amended.
    Objectives to be Met by the Matching Program: The matching program 
will allow the Department of Education access to a system that permits 
prescreening of applicants for loans issued by or 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 the Department of Education's 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 
insured or guaranteed home mortgage loans under title II of the 
National Housing Act; or individuals who have had a claim paid in the 
last three years on a loan under title I of the National Housing Act. 
For the CAIVRS match, HUD/DEPT-2, System of Records, receives its 
program inputs from 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 Department of Education will provide HUD with debtor files 
contained in its system of records

[[Page 8921]]

(Higher Education Act, Title IV Program File, 18-40-0024). HUD is 
maintaining the Department of Education's records only as a ministerial 
action on behalf of the Department of Education, not as part of HUD's 
HUD/DEPT-2 system of records. The Department of Education's data 
contain information on individuals who have defaulted on their 
guaranteed loans. The Department of Education 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 the 
Department of Education's data.
    Notice Procedures: HUD and the Department of Education have 
separate notification procedures. When the Federal credit being sought 
is a HUD/FHA mortgage, HUD will notify individuals at the time of 
application (ensuring that routine use appears on the application 
form). The Department of Education will notify individuals at the time 
of application for Federal student loan programs that their records 
will be matched to determine whether they are delinquent or in default 
on a Federal debt. HUD and the Department of Education 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, the Department of 
Education's Regional Office Code, Collection Agency Code, 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 will begin at least 40 days from the 
date copies of the signed (by both Data Integrity Boards) computer 
matching agreement are sent to both Houses of Congress or at least 30 
days from the date this notice is published in the Federal Register, 
whichever is later, providing no comments are received which would 
result in a contrary determination.

    Dated: February 11, 2003.
Gloria R. Parker,
Chief Technology Officer.
[FR Doc. 03-4445 Filed 2-25-03; 8:45 am]
BILLING CODE 4210-72-P