[Federal Register Volume 75, Number 197 (Wednesday, October 13, 2010)]
[Proposed Rules]
[Pages 62737-62738]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2010-25756]


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DEPARTMENT OF THE TREASURY

Office of the Secretary

31 CFR Part 1

RIN 1505-AC27


Privacy Act of 1974; Proposed Implementation

AGENCY: Departmental Offices, Treasury.

ACTION: Proposed rule.

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SUMMARY: In accordance with the requirements of the Privacy Act of 
1974, 5 U.S.C. 552a, the Department of the Treasury gives notice of a 
proposed amendment to update its Privacy Act regulations, and to add an 
exemption from certain provisions of the Privacy Act for a system of 
records related to the Office of Foreign Assets Control (OFAC).

DATES: Comments must be received no later than November 12, 2010.

ADDRESSES: Comments should be sent to: Assistant Director, Disclosure 
Services, Office of Foreign Assets Control, Department of the Treasury, 
1500 Pennsylvania Avenue, NW., Washington, DC 20220. The Department 
will make such comments available for public inspection and copying in 
the Department's Library, Room 1428, Main Treasury Building, 1500 
Pennsylvania Avenue, NW., Washington, DC 20220, on official business 
days between the hours of 10 a.m. and 5 p.m. Eastern Time. You can make 
an appointment to inspect comments by telephoning (202) 622-0990 (not a 
toll free number). All comments, including attachments and other 
supporting materials, received are part of the public record and 
subject to public disclosure. You should submit only information that 
you wish to make available publicly.

FOR FURTHER INFORMATION CONTACT: Assistant Director, Disclosure 
Services, Office of Foreign Assets Control, Department of the Treasury, 
1500 Pennsylvania Avenue, NW., Washington, DC 20220, tel.: 202-622-2510 
(not a toll free number), or Chief Counsel (Foreign Assets Control), 
Office of General Counsel, Department of the Treasury, 1500 
Pennsylvania Avenue, NW., Washington, DC 20220, tel.: 202-622-2410 (not 
a toll free number).

SUPPLEMENTARY INFORMATION: In reviewing Treasury regulations 
implementing the Privacy Act, the Department found that Executive Order 
11652 listed in Section 1.26(g)(6)(ii)(A) has been superseded and needs 
to be updated. This section is being amended to reference Executive 
Orders 12958, 13526, or successor or prior Executive Orders as may be 
necessary.
    Under 5 U.S.C. 552a(k)(1), the head of an agency may promulgate 
rules to exempt a system of records from certain provisions of 5 U.S.C. 
552a if the system of records is subject to the provisions of 5 U.S.C. 
552(b)(1), which regards matters specifically authorized under criteria 
established by an Executive Order to be kept secret in the interest of 
national defense or foreign policy and are in fact properly classified 
pursuant to such Executive Order.
    To the extent that systems of records contain information subject 
to the provisions of 5 U.S.C. 552(b)(1), the Department of the Treasury 
proposes to exempt the systems of records from the following provisions 
of the Privacy Act pursuant to 5 U.S.C. 552a(k)(1):

5 U.S.C. 552a(c)(3),
5 U.S.C. 552a(d)(1), (2), (3), and (4),
5 U.S.C. 552a(e)(1),
5 U.S.C. 552a(e)(4)(G), (H), and (I), and
5 U.S.C. 552a(f).

    The reason for invoking the exemption is to protect material 
authorized to be kept secret in the interest of national defense or 
foreign policy pursuant to Executive Orders 12958, 13526, or successor 
or prior Executive Orders.
    This document also creates a new table in paragraph 31 CFR 
1.36(e)(1) under the new heading designated as ``(i) Departmental 
Offices:''. The system of records entitled ``DO .120--Records Related 
to Office of Foreign Assets Control Economic Sanctions'' will be added 
to the table under (i). The current heading ``Financial Crimes 
Enforcement Network:'' and the associated table is designated as 
``(ii).''
    The Department of the Treasury has published separately in the 
Federal Register the notice of a consolidated system of records related 
to OFAC on October 6, 2010, at 75 FR 61853.
    This proposed rule is not a ``significant regulatory action'' under 
Executive Order 12866.
    Pursuant to the requirements of the Regulatory Flexibility Act 
(RFA), 5 U.S.C. 601-612, it is hereby certified that this rule will not 
have significant economic impact on a substantial number of small 
entities. The term ``small entity'' is defined to have the same meaning 
as the terms ``small business,'' ``small organization,'' and ``small 
governmental jurisdiction,'' as defined in the RFA.
    The proposed regulation, issued under section 522a(k) of the 
Privacy Act, is to exempt certain information in the above systems of 
records within the Department from certain provisions under the Privacy 
Act, including those regarding notification, access to a record, and 
amendment of a record by individuals who are citizens of the United 
States or an alien lawfully admitted for permanent residence. Inasmuch 
as the Privacy Act rights are personal and apply only to U.S. citizens 
or an alien lawfully admitted for permanent residence, small entities 
as defined in the RFA are not provided rights under the Privacy Act and 
are outside the scope of this regulation.

List of Subjects in 31 CFR Part 1

    Privacy.

    Part 1, subpart C of title 31 of the Code of Federal Regulations is 
proposed to be amended as follows:

PART 1--[AMENDED]

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

    Authority:  5 U.S.C. 301 and 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, as amended.

Subpart C--Privacy Act

    2. Section 1.26 is amended by revising the first sentence in 
paragraph (g)(6)(ii)(A) to read as follows:


Sec.  1.26  Procedures for notification and access to records 
pertaining to individuals--format and fees for request for access.

* * * * *
    (g) * * *
    (6) * * *
    (ii) * * *
    (A) Requests for information classified pursuant to Executive 
Orders 12958, 13526, or successor or prior Executive Orders require the 
responsible component of the Department to review

[[Page 62738]]

the information to determine whether it continues to warrant 
classification pursuant to an Executive Order. * * *
* * * * *
    3. Section 1.36 is amended by revising paragraphs (e) and (f) to 
read as follows:


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

* * * * *
    (e) Specific exemptions under 5 U.S.C. 552a(k)(1). (1) Under 5 
U.S.C. 552a(k)(1), the head of any agency may promulgate rules to 
exempt any system of records within the agency from certain provisions 
of the Privacy Act to the extent that the system contains information 
subject to the provisions of 5 U.S.C. 552(b)(1). This paragraph applies 
to the following systems of records maintained by the Department of the 
Treasury:
    (i) Departmental Offices:

------------------------------------------------------------------------
               Number                             System name
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DO .120.............................  Records Related to Office of
                                       Foreign Assets Control Economic
                                       Sanctions.
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    (ii) Financial Crimes Enforcement Network:

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               Number                             System name
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FinCEN .001.........................  FinCEN Database.
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    (2) The Department of the Treasury hereby exempts the systems of 
records listed in paragraph (e)(1) of this section from the following 
provisions of 5 U.S.C. 552a, pursuant to 5 U.S.C. 552a(k)(1): 5 U.S.C. 
552a(c)(3), 5 U.S.C. 552a(d)(1), (2), (3), and (4), 5 U.S.C. 
552a(e)(1), 5 U.S.C. 552a(e)(4)(G), (H), and (I), and 5 U.S.C. 552a(f).
    (f) Reasons for exemptions under 5 U.S.C. 552a(k)(1). The reason 
for invoking the exemption is to protect material authorized to be kept 
secret in the interest of national defense or foreign policy pursuant 
to Executive Orders 12958, 13526, or successor or prior Executive 
Orders.
* * * * *

    Dated: July 16, 2010.
Melissa Hartman,
Acting Deputy Assistant Secretary for Privacy, Transparency, and 
Records.
[FR Doc. 2010-25756 Filed 10-12-10; 8:45 am]
BILLING CODE 4810-25-P