[Federal Register Volume 71, Number 89 (Tuesday, May 9, 2006)]
[Notices]
[Pages 26934-26935]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E6-7048]


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DEPARTMENT OF EDUCATION


Privacy Act of 1974; Computer Matching Program

AGENCY: Department of Education.

ACTION: Notice of computer matching program between the U.S. Department 
of Education (ED), and the U.S. Department of Health and Human Services 
(HHS), Administration for Children and Families (ACF), Office of Child 
Support Enforcement (OCSE).

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SUMMARY: Pursuant to the Computer Matching and Privacy Protection Act 
of 1988, Pub. L. 100-503, and the Office of Management and Budget (OMB) 
Final Guidance Interpreting the Provisions of Public Law 100-503, the 
Computer Matching and Privacy Protection Act of 1988, 54 FR 25818 (June 
19, 1989), this document gives notice of a computer matching program 
between ED and HHS/ACF/OCSE.
    This computer matching program between the two agencies will become 
effective, as indicated in paragraph six of this notice. In accordance 
with the Privacy Act of 1974, as amended (5 U.S.C. 552a), OMB Final 
Guidance Interpreting the Provisions of Public Law 100-503, the 
Computer Matching and Privacy Protection Act of 1988, 54 FR 25818 (June 
19, 1989), and OMB Circular No. A-130, Appendix I (65 FR 77677 
(December 12, 2000)), we provide the following information:

1. Names of Participating Agencies

    The U.S. Department of Education (ED) is the source agency; and the 
U.S. Department of Health and Human Services (HHS), Administration for 
Children and Families (ACF), Office of Child Support Enforcement 
(OCSE), is the recipient agency.

2. Purpose of Matching Program

    The purpose of the matching program is to obtain address and 
employment information on individuals who owe funds to the Federal 
government for defaulted student loans or grant overpayments awarded 
under Title IV of the Higher Education Act of 1965, as amended. ED will 
use this information to initiate independent collection of these debts 
under the provisions of the Debt Collection Improvement Act of 1982 
when voluntary payment is not forthcoming. For individuals whose

[[Page 26935]]

annualized wage level exceeds $16,000, these collection efforts will 
include orders by ED, the U.S. Department of Justice (DOJ); or a 
guaranty agency to the employing entity, pursuant to statutory, non-
judicial, administrative wage garnishment authority, to withhold a 
portion of the disposable pay of the debtor until such time as the 
obligation is paid in full.

3. Authority for Conducting the Matching Program

    The legal authority for HHS and ED to conduct this matching program 
is contained in the Social Security Act (42 U.S.C. 653(j)(6)).

4. Categories of Records and Individuals Covered by the Matching 
Program

    The current systems of records maintained by the respective 
agencies under the Privacy Act of 1974, as amended, 5 U.S.C. 552a, from 
which records will be disclosed for the purpose of this computer 
matching program are as follows:
    ED: Student Financial Assistance Collection Files (18-11-07), 64 FR 
30166-30169 (June 4, 1999), as amended, 64 FR 72407 (December 27, 
1999). (ED has published a notice of a new system of records entitled 
the Common Services for Borrowers (CSB) system (18-11-16), 71 FR 3503 
(January 23, 2006), which, once it is fully phased in, will replace 
ED's Student Financial Assistance Collection Files system of records.)
    OCSE: The National Directory of New Hires database maintained in 
the Location and Collection System (09-90-0074), 70 FR 21200 (April 25, 
2005).

5. Description of Computer Matching Program

    ED administers student financial assistance programs under the 
Higher Education Act of 1965, as amended (HEA). OCSE maintains a 
database that consists of three separate components. The first 
component, the new hire or ``W4'' file, contains all newly hired 
employees as reported from the State Directory of New Hires (SDNH) and 
directly from Federal agencies. The second component, the quarterly 
wage or ``QW'' file, contains quarterly wage information on individual 
employees, as received from Federal agencies and States. The third 
component, the unemployment insurance or ``UI'' file, contains 
unemployment insurance information on individuals who have received, or 
made application for, unemployment benefits, as reported by the State 
Workforce Agency or other State agencies responsible for the 
implementation of the Unemployment Insurance Program.
    This matching agreement between ED and HHS/ACF/OCSE will assist ED, 
and other entities with whom ED shares the data, in locating and 
collecting funds from those individuals who are in default on loans 
awarded under Title IV of the HEA or owe an obligation to refund an 
overpayment of a grant awarded under Title IV of the HEA. The primary 
identifying elements that the two agencies will match are:
    ED: First and Last Name, and Social Security Number (SSN) of 
delinquent debtors. OCSE: First and Last Name, and SSN of all current 
and newly hired employees and claimants for unemployment insurance 
benefits. OCSE will verify the Name and SSN combination, and perform 
the computer match using all nine digits of the SSN of the ED file 
against the OCSE computer database. OCSE will produce a file containing 
the name, SSN, address, employer, wage amount, and employer's address 
for each individual identified, based on the match. The file containing 
the results of the match will be provided to ED.
    ED is responsible for determining whether the data in the NDNH 
reply file is consistent with ED's source file and for resolving any 
discrepancies or inconsistencies on an individual basis. ED will also 
be responsible for ensuring that no adverse action is taken against any 
individual, as a result of information produced by the matching 
program, until the information has been independently verified and the 
individual receives a notice from ED containing a statement of its 
findings and informing the individual of the opportunity to contest 
such findings.

6. Effective Dates of the Matching Program

    The matching program will become effective on (1) May 16, 2006; (2) 
30 days after publication of this notice in the Federal Register; or 
(3) 40 days after the signing of the transmittal letters sending the 
computer matching program report to Congress and OMB, unless OMB 
disapproves the agreement within the 40 day review period or grants a 
waiver of 10 days of the review period, whichever date occurs last. The 
matching program will continue for 18 months after the effective date, 
and may be extended for an additional 12 months thereafter, if the 
conditions specified in 5 U.S.C. 552a(o)(2)(D) have been met.

7. Address for Receipt of Public Comments or Inquiries

    If you wish to comment on this matching program or obtain 
additional information about the program including a copy of the 
computer matching agreement between ED and HHS/ACF/OCSE, contact Marian 
E. Currie, Management and Program Analyst, U.S. Department of 
Education, Federal Student Aid, 400 Maryland Avenue, SW., Union Center 
Plaza, room 41B4, Washington, DC 20202-5320, Telephone: (202) 377-3212; 
or, as a secondary contact: Naomi Randolph, Supervisory, Management and 
Program Analyst, U.S. Department of Education, Federal Student Aid, 400 
Maryland Avenue, SW., Union Center Plaza, room 44E3, Washington, DC 
20202-5320, Telephone: (202) 377-4367.
    If you use a Telecommunications Device for the Deaf (TDD), you may 
call the Federal Relay Service (FRS) at 1-800-877-8339.
    Individuals with disabilities may obtain this document in an 
alternative format (e.g., Braille, large print, audiotape, or computer 
diskette) on request to the contact person listed in the preceding 
paragraph.

Electronic Access to This Document

    You may view this document, as well as all other Department of 
Education documents published in the Federal Register, in text or Adobe 
Portable Document Format (PDF) on the Internet at the following site: 
http://www.ed.gov/news/fedregister/index.html.
    To use PDF you must have the Adobe Acrobat Reader, which is 
available free at this site. If you have questions about using PDF, 
call the U.S. Government Printing Office (GPO), toll free, at 1-888-
293-6498; or in the Washington, DC area at (202) 512-1530.
    You may also view this document in text or PDF at the following 
site: http://ifap.ed.gov/IFAPWebApp/currentFRegistersPag.jsp.


    Note: The official version of this document is the document 
published in the Federal Register. Free Internet access to the 
official edition of the Federal Register and the Code of Federal 
Regulations is available on GPO Access at: http://www.gpoaccess.gov/nara/index.html.


    Dated: May 4, 2006.
Theresa S. Shaw,
Chief Operating Officer, Federal Student Aid.
[FR Doc. E6-7048 Filed 5-8-06; 8:45 am]
BILLING CODE 4000-01-P