[Federal Register Volume 75, Number 124 (Tuesday, June 29, 2010)]
[Rules and Regulations]
[Pages 37287-37288]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2010-15691]



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  Federal Register / Vol. 75, No. 124 / Tuesday, June 29, 2010 / Rules 
and Regulations  

[[Page 37287]]



RECOVERY ACCOUNTABILITY AND TRANSPARENCY BOARD

4 CFR Part 200

RIN 0430-AA03


Privacy Act Regulations

AGENCY: Recovery Accountability and Transparency Board

ACTION: Final rule.

-----------------------------------------------------------------------

SUMMARY: The Recovery Accountability and Transparency Board (Board) 
amends its regulations implementing the Privacy Act of 1974 (Privacy 
Act), Public Law 93-579, 5 U.S.C. 552a. This final rule adds 4 CFR 
200.17 to exempt certain systems of records from certain sections of 
the Privacy Act (5 U.S.C. 552a) pursuant to 5 U.S.C. 552a(j) and (k). 
These exemptions will help ensure that the Board may efficiently and 
effectively compile investigatory material to prevent and detect fraud, 
waste, and abuse and perform its other authorized duties and activities 
relating to oversight of funds awarded pursuant to the American 
Recovery and Reinvestment Act of 2009, Public Law 111-5 (Feb. 17, 2009) 
(Recovery Act).

DATES: Effective June 29, 2010.

FOR FURTHER INFORMATION CONTACT: Jennifer Dure, General Counsel, (703) 
487-5439.

SUPPLEMENTARY INFORMATION: The proposed rule was published in the 
Federal Register on April 19, 2010 (75 FR 20298) for a public comment 
period to end on June 18, 2010. This rule amends the Board's Privacy 
Act regulations, 4 CFR part 200, to exempt system of records ``RATB-11-
RATB Investigative Files'' and ``RATB-12-RATB Fraud Hotline Program 
Files'' from certain provisions of the Privacy Act which require, among 
other things, that the Board provide notice when collecting 
information, account for certain disclosures, permit individuals access 
to their records, and allow them to request that the records be 
amended. These provisions would interfere with the Board's oversight 
functions if applied to the Board's maintenance of these systems of 
records.
    Accordingly, these systems of records are exempt from specified 
provisions of the Privacy Act, pursuant to sections 552a(j)(2), (k)(2), 
and (k)(5):

Public Comments

    The Board received one comment expressing an individual's opinion 
that the Board's amendment to its Privacy Act regulations ``would allow 
investigators to really come through and fully investigate in many 
fraud cases.''

List of Subjects in 4 CFR Part 200

    Privacy Act of 1974.


0
For the reasons set forth in the preamble, the Board amends Chapter II 
of Title 4, Code of Federal Regulations, as follows:

CHAPTER II--RECOVERY ACCOUNTABILITY AND TRANSPARENCY BOARD

PART 200--PRIVACY ACT OF 1974

0
1. The authority citation for Part 200 continues to read as follows:

    Authority:  5 U.S.C. 552a(f)


0
2. Part 200 is amended by adding Sec.  200.17 as follows:


Sec.  200.17  Exemptions.

    (a) General policy. The Privacy Act permits an agency to exempt 
certain types of systems of records from some of the Privacy Act's 
requirements. It is the policy of the Board to exercise authority to 
exempt systems of records only in compelling cases.
    (b) Specific systems of records exempted under (j)(2) and (k)(2). 
The Board exempts the RATB Investigative Files (RATB-11) system of 
records from the following provisions of 5 U.S.C. 552a:
    (1) From subsection (c)(3) because the release of accounting of 
disclosure would inform a subject that he or she is under 
investigation. This information would provide considerable advantage to 
the subject in providing him or her with knowledge concerning the 
nature of the investigation and the coordinated investigative efforts 
and techniques employed by the cooperating agencies. This would greatly 
impede the Board's criminal law enforcement duties.
    (2) From subsection (c)(4) and (d) because notification would alert 
a subject to the fact that an open investigation on that individual is 
taking place, and might weaken the ongoing investigation, reveal 
investigatory techniques, and place confidential informants in 
jeopardy.
    (3) From subsection (e)(1) because the nature of the criminal and/
or civil investigative function creates unique problems in prescribing 
a specific parameter in a particular case with respect to what 
information is relevant or necessary. Also, due to the Board's close 
working relationship with other Federal, state and local law 
enforcement agencies, information may be received which may relate to a 
case under the investigative jurisdiction of another agency. The 
maintenance of this information may be necessary to provide leads for 
appropriate law enforcement purposes and to establish patterns of 
activity which may relate to the jurisdiction of other cooperating 
agencies.
    (4) From subsection (e)(2) because collecting information to the 
fullest extent possible directly from the subject individual may or may 
not be practical in a criminal and/or civil investigation.
    (5) From subsection (e)(3) because supplying an individual with a 
form containing a Privacy Act Statement would tend to inhibit 
cooperation by many individuals involved in a criminal and/or civil 
investigation. The effect would be somewhat adverse to established 
investigative methods and techniques.
    (6) From subsection (e)(4)(G)-(I) because this system of records is 
exempt from the access provisions of subsection (d).
    (7) From subsection (e)(5) because the requirement that records be 
maintained with attention to accuracy, relevance, timeliness, and 
completeness would unfairly hamper the investigative process. It is the 
nature of law enforcement for investigations to uncover the commission 
of illegal acts at diverse stages. It is frequently impossible to 
determine initially what information is accurate, relevant, timely, and 
least of all complete. With the passage of time, seemingly irrelevant 
or untimely information may acquire new significance as further 
investigation brings new details to light.

[[Page 37288]]

    (8) From subsection (e)(8) because the notice requirements of this 
provision could present a serious impediment to law enforcement by 
revealing investigative techniques, procedures, and existence of 
confidential investigations.
    (9) From subsection (f) because the agency's rules are inapplicable 
to those portions of the system that are exempt and would place the 
burden on the agency of either confirming or denying the existence of a 
record pertaining to a requesting individual, which might in itself 
provide an answer to that individual relating to an ongoing 
investigation. The conduct of a successful investigation leading to the 
indictment of a criminal offender precludes the applicability of 
established agency rules relating to verification of record, disclosure 
of the record to that individual, and record amendment procedures for 
this record system.
    (10) For comparability with the exemption claimed from subsection 
(f), the civil remedies provisions of subsection (g) must be suspended 
for this record system. Because of the nature of criminal 
investigations, standards of accuracy, relevance, timeliness, and 
completeness cannot apply to this record system. Information gathered 
in an investigation is often fragmentary, and leads relating to an 
individual in the context of one investigation may instead pertain to a 
second investigation.
    (c) Specific systems of records exempted under (k)(2) and (k)(5). 
The Board exempts the RATB Fraud Hotline Program Files (RATB-12) system 
of records from the following provisions of 5 U.S.C. 552a:
    (1) From subsection (c)(3) because disclosures from this system 
could interfere with the just, thorough and timely resolution of the 
complaint or inquiry, and possibly enable individuals to conceal their 
wrongdoing or mislead the course of the investigation by concealing, 
destroying or fabricating evidence or documents.
    (2) From subsection (d) because disclosures from this system could 
interfere with the just, thorough and timely resolution of the 
complaint or inquiry, and possibly enable individuals to conceal their 
wrongdoing or mislead the course of the investigation by concealing, 
destroying or fabricating evidence or documents. Disclosures could also 
subject sources and witnesses to harassment or intimidation which 
jeopardize the safety and well-being of themselves and their families.
    (3) From subsection (e)(1) because the nature of the investigatory 
function creates unique problems in prescribing specific parameters in 
a particular case as to what information is relevant or necessary. Due 
to close working relationships with other Federal, state and local law 
enforcement agencies, information may be received which may relate to a 
case under the investigative jurisdiction of another government agency. 
It is necessary to maintain this information in order to provide leads 
for appropriate law enforcement purposes and to establish patterns of 
activity which may relate to the jurisdiction of other cooperating 
agencies.
    (4) From subsection (e)(4)(G)-(H) because this system of records is 
exempt from the access provisions of subsection (d).
    (5) From subsection (f) because the agency's rules are inapplicable 
to those portions of the system that are exempt and would place the 
burden on the agency of either confirming or denying the existence of a 
record pertaining to a requesting individual might in itself provide an 
answer to that individual relating to an on-going investigation. The 
conduct of a successful investigation leading to the indictment of a 
criminal offender precludes the applicability of established agency 
rules relating to verification of record, disclosure of the record to 
that individual, and record amendment procedures for this record 
system.

Ivan J. Flores,
Paralegal Specialist, Recovery Accountability and Transparency Board.
[FR Doc. 2010-15691 Filed 6-28-10; 8:45 am]
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