[Federal Register Volume 68, Number 141 (Wednesday, July 23, 2003)]
[Rules and Regulations]
[Pages 43461-43462]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 03-18649]


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DEPARTMENT OF DEFENSE

Department of the Navy

32 CFR Part 701

[Secretary of the Navy Instruction 5211.5]


Privacy Act; Implementation

AGENCY: Department of the Navy, DOD.

ACTION: Final rule.

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SUMMARY: The Department of the Navy is revising the exemption rule for 
N05520-5, entitled ''Personnel Security Program Management Records 
System''. The revision includes deleting the (k)(1) exemption because 
it is redundant to 32 CFR 701.117; and claiming subsections (c)(3) and 
(e)(1) under the (k)(5) exemption. The principal purpose of the (k)(5) 
exemption is to protect the identity of a confidential source. The 
expansion is considered supportive, and in furtherance, of the overall 
purpose of the exemption.

EFFECTIVE DATE: July 8, 2003.

FOR FURTHER INFORMATION CONTACT: Mrs. Doris Lama at (202) 685-6545 or 
DSN 325-6545.

SUPPLEMENTARY INFORMATION: The proposed rule was published on May 9, 
2003, at 68 FR 24904. No comments were received, therefore, the rule, 
as changed, is being adopted as final.
    Executive Order 12866. It has been determined that this Privacy Act 
rule for the Department of Defense does not constitute `significant 
regulatory action'. Analysis of the rule indicates that it does not 
have an annual effect on the economy of $100 million or more; does not 
create a serious inconsistency or otherwise interfere with an action 
taken or planned by another agency; does not materially alter the 
budgetary impact of entitlements, grants, user fees, or loan programs 
or the rights and obligations of recipients thereof; does not raise 
novel legal or policy issues arising out of legal mandates, the 
President's priorities, or the principles set forth in Executive Order 
12866 (1993).
    Regulatory Flexibility Act. It has been determined that this 
Privacy Act rule for the Department of Defense does not have 
significant economic impact on a substantial number of small entities 
because it is concerned only with the administration of Privacy Act 
systems of records within the Department of Defense.
    Paperwork Reduction Act. It has been determined that this Privacy 
Act rule for the Department of Defense imposes no information 
requirements beyond the Department of Defense and that the information 
collected within the Department of Defense is necessary and consistent 
with 5 U.S.C. 552a, known as the Privacy Act of 1974.
    Section 202, Public Law 104-4, ``Unfunded Mandates Reform Act''. It 
has been determined that this Privacy Act rulemaking for the Department 
of Defense does not involve a Federal mandate that may result in the 
expenditure by State, local and tribal governments, in the aggregate, 
or by the private sector, of $100 million or more and that such 
rulemaking will not significantly or uniquely affect small governments.
    Executive Order 13132, ``Federalism''. It has been determined that 
this Privacy Act rule for the Department of Defense does not have 
federalism implications. The rule does not have substantial direct 
effects on the States, on the relationship between the National 
Government and the States, or on the distribution of power and 
responsibilities among the various levels of government.

List of Subjects in 32 CFR Part 701

    Privacy.

0
Accordingly, 32 CFR part 701 is amended to read as follows:

PART 701--AVAILABILITY OF DEPARTMENT OF THE NAVY RECORDS AND 
PUBLICATION OF DEPARTMENT OF THE NAVY DOCUMENTS AFFECTING THE 
PUBLIC

0
1. The authority citation for 32 CFR part 701, Subpart F continues to 
read as follows:

    Authority: Pub. L. 93-579, 88 Stat. 1896 (5 U.S.C. 552a).


0
2. Section 701.118, paragraph (n) is revised to read as follows:


Sec.  701.118  Exemptions for specific Navy record systems.

* * * * *
    (n) System identifier and name:
    (1) N05520-5, Personnel Security Program Management Records System.
    (2) Exemption: (i) Investigative material compiled solely for the 
purpose of determining suitability, eligibility, or qualifications for 
federal civilian employment, military service, federal contracts, or 
access to classified information may be exempt pursuant to 5 U.S.C. 
552a(k)(5), but only to the extent that such material would reveal the 
identity of a confidential source.
    (ii) Therefore, portions of this system may be exempt pursuant to 5 
U.S.C. 552a(k)(5) from the following subsections of 5 U.S.C. 
552a(c)(3), (d), and (e)(1).
    (3) Authority: 5 U.S.C. 552a(k)(5).
    (4) Reasons: (i) From subsection (c)(3) and (d) when access to 
accounting disclosures and access to or amendment of records would 
cause the identity of a confidential sources to be revealed. Disclosure 
of the source's identity not only will result in the Department 
breaching the promise of confidentiality made to the source but it will 
impair the Department's future ability to compile investigatory 
material for the purpose of determining suitability, eligibility, or

[[Page 43462]]

qualifications for Federal civilian employment, Federal contracts, or 
access to classified information. Unless sources can be assured that a 
promise of confidentiality will be honored, they will be less likely to 
provide information considered essential to the Department in making 
the required determinations.
    (ii) From (e)(1) because in the collection of information for 
investigatory purposes, it is not always possible to determine the 
relevance and necessity of particular information in the early stages 
of the investigation. In some cases, it is only after the information 
is evaluated in light of other information that its relevance and 
necessity becomes clear. Such information permits more informed 
decision-making by the Department when making required suitability, 
eligibility, and qualification determinations.
* * * * *

    Dated: July 16, 2003.
Patricia L. Toppings,
Alternate OSD Federal Register Liaison Officer, Department of Defense.
[FR Doc. 03-18649 Filed 7-22-03; 8:45 am]
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