[Federal Register Volume 72, Number 185 (Tuesday, September 25, 2007)]
[Rules and Regulations]
[Pages 54352-54353]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E7-18859]


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DEPARTMENT OF THE TREASURY

Office of the Secretary

31 CFR Part 1


Privacy Act; Implementation

AGENCY: Office of the Secretary, Treasury.

ACTION: Final rule.

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SUMMARY: In accordance with the requirements of the Privacy Act of 
1974, 5 U.S.C. 552a, as amended, the Internal Revenue Service published 
a notice of proposed rulemaking on November 28, 2005 to remove the 
exemption claimed for the system of records Treasury/IRS 34.022, 
pursuant to 5 U.S.C. 552a(j)(2) and in its place claim an exemption 
pursuant to 5 U.S.C. 552a(k)(5).

EFFECTIVE DATE: September 25, 2007.

FOR FURTHER INFORMATION CONTACT: Written inquiries as they relate to 
this system should be directed to Mary Anderson, IRS, Personnel 
Security and Investigations, 5205 Leesburg Pike, Suite 510, Falls 
Church, VA 22041-3802.

SUPPLEMENTARY INFORMATION: The Internal Revenue Service published a 
notice of proposed rulemaking on November 28, 2005, at 70 FR 71245, to 
remove the (j)(2) exemption and in its place claim the exemption 
pursuant to 5 U.S.C. 552a(k)(5) exemption. No comments were received by 
the IRS.
    The records in this system are no longer compiled for law 
enforcement purposes and do not qualify for the (j)(2) exemption. The 
(k)(5) exemption is more appropriate because the investigatory material 
contained in this system of records is collected and maintained solely 
for the purpose of determining suitability, eligibility, or 
qualifications for Federal civilian employment, military service, 
Federal contracts, or access to classified information.

[[Page 54353]]

    The (j)(2) exemption was initially applied to this system which was 
the database used for all Inspection (now the Treasury Inspector 
General for Tax Administration [TIGTA]) investigations. TIGTA is not a 
part of IRS and no Inspection investigations are maintained in this 
system, with the exception of personnel security investigations. Under 
5 U.S.C. 552a(k)(5), the head of any agency may promulgate rules to 
exempt any system of records within the agency from certain provisions 
of the Privacy Act of 1974 if the system is investigatory 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. This is applicable only to the extent that the disclosure 
of such material would reveal the identity of a source who furnished 
information to the Government under an express promise that the 
identity of the source would be held in confidence, or, prior to 
September 27, 1975, under an implied promise that the identity of the 
source would be held in confidence. Thus to the extent that the records 
in this system can be disclosed without revealing the identity of a 
confidential source, they are not within the scope of this exemption 
and are subject to all the requirements of the Privacy Act.
    The sections of 5 U.S.C. 552a from which the systems of records are 
exempt include in general those providing for individuals' access to or 
amendment of records. When such access or amendment would cause the 
identity of a confidential source to be revealed, it would impair the 
future ability of the Department to compile investigatory material for 
the purpose of determining suitability, eligibility, or qualifications 
for Federal civilian employment, Federal contracts, or access to 
classified information. In addition, the systems should be exempt from 
5 U.S.C. 552a(e)(1) which requires that an agency maintain in its 
records only such information about an individual as is relevant and 
necessary to accomplish a purpose of the agency required to be 
accomplished by statute or executive order. The Department believes 
that to fulfill the requirements of 5 U.S.C. 552a(e)(1) would unduly 
restrict the agency in its information gathering inasmuch as it is 
often not until well after the investigation that it is possible to 
determine the relevance and necessity of particular information.
    A separate notice revising the system of records entitled ``IRS 
34.022--National Background Investigations Center Management 
Information System'' was published in the Federal Register on November 
28, 2005, at 70 FR 71376. Among other changes, the name of the system 
of records was changed to ``Automated Background Investigations System 
(ABIS).''
    As required by Executive Order 12866, it has been determined that 
this final rule is not a significant regulatory action, and therefore, 
does not require a regulatory impact analysis.
    The regulation will not have a substantial direct effect on the 
States, on the relationship between the Federal Government and the 
States, or on the distribution of power and responsibilities among the 
various levels of government. Therefore, it is determined that this 
rule does not have federalism implications under Executive Order 13132.
    Pursuant to the requirements of the Regulatory Flexibility Act, 5 
U.S.C. 601-612, it is hereby certified that these regulations will not 
significantly affect a substantial number of small entities. The final 
rule imposes no duties or obligations on small entities.
    In accordance with the provisions of the Paperwork Reduction Act of 
1995, the Department of the Treasury has determined that this final 
rule would not impose new record keeping, application, reporting, or 
other types of information collection requirements.

List of Subjects in 31 CFR Part 1

    Privacy.

0
Part 1 subpart C of Title 31 of the Code of Federal Regulations amended 
as follows:

PART 1--[AMENDED]

0
1. The authority citation for part 1 continues to read as follows:

    Authority: 5 U.S.C. 301, 31 U.S.C. 321, subpart A also issued 
under 5 U.S.C. 552, as amended. Subpart C also issued under 5 U.S.C. 
552a.


0
2. Section 1.36 of subpart C is amended as follows:
0
a. Paragraph (c)(1)(viii) is amended by removing ``IRS 34.022--National 
Background Investigations Center Management Information System'' from 
the table.
0
b. Paragraph (m)(1)(viii) is amended by adding the following text to 
the table in numerical order:


Sec.  1.36  Systems exempt in whole or in part from provisions of 5 
U.S.C. 522a and this part.

* * * * *
    (m) * * *
    (1) * * *
    (viii) * * *

------------------------------------------------------------------------
                  Number                           Name of system
------------------------------------------------------------------------
 
                                * * * * *
IRS 34.022................................  Automated Background
                                             Investigations System
                                             (ABIS)
 
                                * * * * *
------------------------------------------------------------------------

* * * * *

     Dated: September 18, 2007.
Peter B. McCarthy,
Assistant Secretary for Management and Chief Financial Officer.
 [FR Doc. E7-18859 Filed 9-24-07; 8:45 am]
BILLING CODE 4830-01-P