[Federal Register Volume 70, Number 205 (Tuesday, October 25, 2005)]
[Notices]
[Pages 61629-61630]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E5-5866]


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DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT

[Docket No. FR-4922-N-11]


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 HUD and the 
Department of Veterans Affairs (VA).

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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 VA to utilize 
a computer information system of HUD, the Credit Alert Interactive 
Verification and Reporting System (CAIVRS), with VA'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 VA 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 
and verify that the loan applicant is not in default on a Federal 
judgment or delinquent on direct or guaranteed loans of participating 
Federal agencies. The CAIVRS database 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.
    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 on 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 
November 25, 2005 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: November 25, 2005.

ADDRESSES: Interested persons are invited to submit comments regarding 
this notice to the Rules Docket Clerk, Office of General Counsel, 
Department of Housing and Urban Development, 451 Seventh Street, SW., 
Room 10276, 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 8 a.m. and 5 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 Street, 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: Don Toivola, Chief, 
Computer Specialist, Debt Management Center, Department of Veterans 
Affairs, Bishop Henry Whipple Federal Building, 1 Federal Drive, Room 
156, Ft. Snelling, MN 55111-4050, telephone number (612) 970-5705. 
[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 Homeland 
Security and Governmental Affairs of the Senate, and OMB.

    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 VA is authorized, pursuant to 38 U.S.C. 
3710, to determine that any veteran who obtains a VA-guaranteed home 
loan poses a satisfactory credit risk. This computer matching will 
be conducted pursuant to Public Law 100-503, ``The Computer Matching 
and Privacy Protection Act of 1988,'' as amended, and OMB Circulars 
A-129 (Managing Federal Credit Programs) and A-70 (Policies and 
Guidelines 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 VA access to a system that permits 
prescreening of applicants for loans issued or loans guaranteed by the 
Federal government to ascertain if the

[[Page 61630]]

applicant is delinquent in paying a debt owed to or insured by the 
Government. In addition, HUD will be provided access to VA'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 defaulted on rehabilitation loans under 
Section 312 of the Housing Act of 1964; 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 VA will provide HUD with debtor files contained in its system 
of records entitled SS-VA26, Loan Guaranty Systems of Records. Central 
Accounts Receivable On Line System is a subsidiary of SS-VA26. HUD is 
maintaining VA's records only as a ministerial action on behalf of VA, 
not as a part of HUD's HUD/DEPT-2 system of records. VA's data contain 
information on individuals who have defaulted on their guaranteed 
loans. The VA will retain ownership and responsibility for their 
systems of records that they place with HUD. HUD serves only as a 
record location and routine use recipient for VA's data.

Notice Procedures: 
    HUD and the VA will notify individuals at the time of application 
(ensuring that routine use appears on the application form) for 
guaranteed or direct loans that their records will be matched to 
determine whether they are delinquent or in default on a Federal debt. 
HUD and the VA 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 from HUD's systems 
of records, HUD/Dept-2: SSN, claim number, 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 agreements 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. The matching program will be in effect and continue for 
18 months with an option to renew for 12 additional months unless one 
of the parties to the agreement advises the other in writing to 
terminate or modify the agreement.

    Dated: October 13, 2005.
Lisa Schlosser,
Chief Information Officer.
 [FR Doc. E5-5866 Filed 10-24-05; 8:45 am]
BILLING CODE 4210-27-P