[Federal Register Volume 78, Number 230 (Friday, November 29, 2013)]
[Notices]
[Pages 71727-71729]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2013-28714]



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DEPARTMENT OF VETERANS AFFAIRS


Privacy Act of 1974; System of Records

AGENCY: Department of Veterans Affairs.

ACTION: Notice of amendment to an existing system of records.

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SUMMARY: As required by the Privacy Act of 1974, 5 U.S.C. 552a(e)(4), 
notice is hereby given that the Department of Veterans Affairs (VA) 
proposes to modify its existing system of records ``Loan Guaranty Fee 
Personnel and Program Participant Records-VA (17VA26).''

DATES: Comments on the proposed modifications to the routine uses must 
be received no later than 30 days after date of publication in the 
Federal Register, on or before December 30, 2013. If no public comment 
is received during the period allowed for comments, the routine use 
will become effective December 30, 2013.

ADDRESSES: Written comments may be submitted through 
www.Regulations.gov; by mail or hand-delivery to the Director, 
Regulations Management (02REG), Department of Veterans Affairs, 810 
Vermont Ave. NW., Room 1068, Washington, DC 20420; or by fax to (202) 
273-9026. Copies of comments received will be available for public 
inspection in the Office of Regulation Policy and Management, Room 
1063B, between the hours of 8:00 a.m. and 4:30 p.m., Monday through 
Friday (except holidays). Please call (202) 461-4902 for an 
appointment. (This is not a toll-free number.) In addition, during the 
comment period, comments may be viewed online through the Federal 
Docket Management System (FDMS) at www.Regulations.gov.

FOR FURTHER INFORMATION CONTACT: Erica Lewis, Loan Specialist, Loan 
Guaranty Service, Department of Veterans Affairs, 810 Vermont Ave. NW., 
Washington, DC 20420, (202) 632-8823.

SUPPLEMENTARY INFORMATION: The Department is proposing to amend its 
system of records titled ``Loan Guaranty Fee Personnel and Program 
Participant Records-VA (17VA26),'' by adding a new policy and practice 
for storing of records in the system to permit VA to keep records on 
fee personnel and program participants on paper documents maintained in 
file folders and as electronically scanned documents.
    VA has determined that it may destroy original paper documents/
records after the information has been converted to an electronic 
medium and is verified as a necessary and proper means of storage, and 
that the specific storage proposed for electronically scanned documents 
is appropriate.
    A copy of the revised system notice has been sent to the House of 
Representatives Committee on Government Reform and Oversight, the 
Senate Committee on Homeland Security and Governmental Affairs, and the 
Office of Management and Budget (OMB) as required by 5 U.S.C. 552a(r) 
and guidelines issued by OMB (59 FR 37906, 3791618, July 25, 1994.)
    The proposed storage will be added to the system of records titled 
``Loan Guaranty Fee Personnel and Program Participant Records-VA 
(17VA26)'' as published at 40 FR 38095, August 26, 1975, and amended at 
52 FR 721, January 8, 1987, and 69 FR 44569, July 26, 2004.

    Approved: November 8, 2013.
Jose D. Riojas,
Chief of Staff, Department of Veterans Affairs.
17VA26

System Name:
    Loan Guaranty Fee Personnel and Program Participant Records-VA

System location:
    Records on nonsuspended fee personnel and program participants are 
maintained at Department of Veterans Affairs (VA) regional offices, 
medical and regional office centers, VA offices, and VA centers having 
loan guaranty activities. Records of nonsupervised lenders and 
subsidiaries of supervised lenders having authority to process VA loans 
automatically are maintained in VA Central Office. National Control 
List of suspended program participants and fee personnel are maintained 
at VA regional offices, medical and regional office centers, VA 
offices, and VA centers having loan guaranty activities. A Master 
Control list is maintained only at VA Central Office. Address locations 
are listed in Appendix 1 at the end of this document.

Categories of individuals covered by the system:
    The following categories of individuals will be covered by this 
system: (1) Fee personnel who may be paid by VA or by someone other 
than VA (i.e., appraisers, compliance inspectors, management brokers, 
and loan closing and fee attorneys who are not VA employees but are 
paid for actual case work performed), and (2) program participants 
(i.e., property management brokers and agents, real estate sales 
brokers and agents, participating lenders and their employees, title 
companies whose fees are paid by someone other than VA, and 
manufactured home dealers, manufacturers, and manufactured home park or 
subdivision owners).

Categories of records in the system:
    Records (or information contained in records) may include: (1) 
Applications by individuals to become VA-approved fee basis appraisers, 
compliance inspectors, fee attorneys, or management brokers. These 
applications include information concerning applicant's name, address, 
business phone numbers, Social Security numbers or taxpayer 
identification numbers, and professional qualifications; (2) 
applications by non-supervised lenders for approval to close guaranteed 
loans without the prior approval of VA (automatically); (3) 
applications by lenders supervised by Federal or State agencies for 
designation as supervised automatic lenders in order that they may 
close loans without the prior approval (automatically) of VA; 
applications for automatic approval or designation (i.e., (2) and (3)) 
contain information concerning the corporate structure of the lender, 
professional qualifications of the lender's officers or employees, 
financial data such as profit and loss statements and balance sheets to 
insure the firm's financial integrity; (4) identifying information such 
as names, business names (if applicable), addresses, phone numbers, and 
professional resumes of corporate officials or employees; (5) corporate 
structure information on prior approval lenders, participating real 
estate sales brokers or agents, developers, builders, investors, 
closing attorneys, or other program participants as necessary to carry 
out the functions of the Loan Guaranty Program; (6) records of 
performance concerning appraisers, compliance inspectors, management 
brokers, or fee attorneys on both firms and individual employees; (7) 
records of performance including disciplinary proceedings, concerning 
program participants; e.g., lenders, investors, real estate brokers, 
builders, fee appraisers, compliance inspectors, and developers both as 
to the firm and to individual employees maintained on an as-needed 
basis to carry out the functions of the Loan Guaranty Program; (8) 
National Control Lists which identify suspended real estate brokers and 
agents, lenders and their employees, investors, manufactured home 
dealers and manufacturers, and builders or developers; and (9) a master 
record of the National Control List (i.e., Master

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Control List) which includes information regarding parties previously 
suspended but currently reinstated to participation in the Loan 
Guaranty Program in addition to all parties currently suspended.

Authority for maintenance of the system:
    Title 38, United States Code, chapter 3, section 210(c)(1); title 
38, United States Code, chapters 21 and 37.

Routine uses of records maintained in the system, including categories 
of users and the purposes of such uses:
    1. The record of an individual who is covered by this system may be 
disclosed to a member of Congress or staff person acting for the member 
when the member or staff person requests the record on behalf of and at 
the request of that individual.
    2. Any information in this system may be disclosed to a Federal, 
State, or local agency, upon its official request, to the extent the 
agency has demonstrated that it is relevant and necessary to that 
agency's decision on: The hiring, transfer, or retention of an 
employee; the issuance of a security clearance; the letting of a 
contract; or the issuance or continuance of a license, grant, or other 
benefit by that agency.
    3. Any information in this system may be disclosed to a Federal, 
State, or local agency maintaining civil or criminal violation records, 
or other pertinent information such as prior employment history, prior 
Federal employment background investigations, and personal or 
educational background in order for VA to obtain information from that 
agency relevant to the hiring, transfer, or retention of an employee, 
the letting of a contract, the granting of a security clearance, or the 
issuance of a grant or other benefit.
    4. Any information in this system which is relevant to a suspected 
violation or reasonably imminent violation of law, whether civil, 
criminal, or regulatory in nature and whether arising by general or 
program statute or by regulation, rule, or order issued pursuant 
thereto, may be disclosed to a Federal, State, local, or foreign agency 
charged with the responsibility of investigating or prosecuting such 
violation, or charged with enforcing or implementing the statute, rule, 
regulation, or order issued pursuant thereto.
    5. Identifying information and the reasons for the suspension of 
builders, developers, lenders, lender employees, real estate sales 
brokers and agents, manufactured home dealers, manufacturers, or other 
program participants suspended from participation in the Loan Guaranty 
Program may be disclosed to the Department of Housing and Urban 
Development (HUD), the Federal Housing Administration (FHA), United 
States Department of Agriculture (USDA), Farmers Home Administration, 
or other Federal, State, or local agencies to enable that agency to 
consider imposing similar restrictions on these suspended persons and/
or firms.
    6. Identifying information and the performance records of qualified 
fee appraisers and compliance inspectors, including any information 
regarding their termination, non-redesignation, temporary suspension, 
or resignation from participation in the Loan Guaranty Program, 
including the records of any disciplinary proceedings, may be disclosed 
to Federal, State, or local, or non-government agencies, businesses, 
and professional organizations, to permit these entities to employ, 
continue to employ or contract for the services of qualified fee 
personnel, monitor the performance of such personnel, and take any 
appropriate disciplinary action.
    7. Identifying information as well as other information such as 
educational background and former business associations may be 
disclosed to business and professional organizations in order for VA to 
obtain these organizations' recommendations concerning the performance, 
character, professional activities, and other qualifications relating 
to participation in the Loan Guaranty Program.
    8. Identifying information and information concerning amounts paid 
to contractors, fee personnel, and other contractors, fee personnel and 
other program participants may be released to the Department of the 
Treasury, Internal Revenue Service, where required by law.
    9. Any information in this system may be disclosed to a Federal 
Grand jury, a Federal court or a party in litigation, or a Federal 
agency or party to an administrative proceeding being conducted by a 
Federal agency, in order for VA to respond to and comply with the 
issuance of a Federal subpoena.
    10. Any information in this system may be disclosed to a State or 
municipal grand jury, a State or municipal court or a party in 
litigation, or to a State or municipal administrative agency 
functioning in a quasi-judicial capacity or a party to a proceeding 
being conducted by such agency, in order for VA to respond to and 
comply with the issuance of a State or municipal subpoena; provided, 
that any disclosure of claimant information made under this routine use 
must comply with the provisions of 38 CFR 1.511.
    11. Identifying information and the reasons for suspension of 
individuals and/or firms suspended from the Loan Guaranty Program may 
be disclosed to other participants in the Loan Guaranty Program in 
order that they may decide whether or not to employ, or continue to 
employ, or contract with a suspended individual or firm.
    12. Identifying information and information concerning the 
performance of contractors, fee personnel, and other program 
participants may be released to consumer reporting agencies in order 
that VA may obtain information on their prior dealings with other 
Government agencies and so that other Government agencies may have the 
benefit of VA's experience with such parties.
    13. The names and addresses of debarred or suspended Loan Guaranty 
Program participants as well as the effective date and term of the 
exclusion may be disclosed to the General Services Administration to 
compile and maintain the ``Lists of Parties Excluded from Federal 
Procurement or Nonprocurement Programs.''

Policies and practices for storing, retrieving, accessing, retaining, 
and disposing of records in the system:
Storage:
    Records on fee personnel and program participants are kept on paper 
documents and maintained in file folders and as electronically scanned 
documents. The National Control List of suspended program participants 
is also maintained on magnetic disk at Central Office.

Retrievability:
    All records are indexed or cross-indexed by the name of the 
individual or the firm.

Safeguards:
    Access to VA working spaces and record file storage areas is 
restricted to VA employees on a ``need to know'' basis. Generally, VA 
file areas are locked after normal duty hours and are protected from 
outside access by the Federal Protective Service or other VA security 
personnel. Sensitive files involving pending suspension or a legal 
action are stored in separate locked files.

Retention and disposal:
    File cards and paper documents on suspended fee personnel and 
program participants are maintained until there has been a notification 
that the suspension has been terminated and the party reinstated into 
the Loan Guaranty

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Program, at which time these records are destroyed by VA regional 
offices or centers. The Master Control List records are retained 
indefinitely. Records on fee personnel and program participants are 
retained for various periods extending up to 2 years after all loans 
have been liquidated. Destruction of all the above records is 
accomplished by either shredding or burning.

System manager(s) and address:
    Director, Loan Guaranty Service (26), VA Central Office, 
Washington, DC 20420.

Notification procedure:
    An individual who wishes to determine whether a record is being 
maintained in this system under his or her name or other personal 
identifier or wants to determine the contents of such record should 
submit a written request or apply in person to the nearest VA Regional 
Loan Center. Address locations are listed in VA Appendix 1 at the end 
of this document. All inquiries must reasonably identify the 
relationship of the individual with the Loan Guaranty Program. 
Inquiries should include the individual's name, address, firm 
represented, if any, and capacity in which the individual participates 
or participated in the Loan Guaranty Program. However, some of the 
records in this system are exempt from the notification requirement 
under 5 U.S.C. 552a(k). To the extent that records in this system of 
records are not subject to exemption, they are subject to notification. 
A determination as to whether an exemption applies shall be made at the 
time a request for notification is received.

Record access procedures:
    An individual seeks access to or wishes to contest records 
maintained under his or her name on this system may write, call, or 
visit the nearest VA Regional Loan Center. Address locations are listed 
in VA Appendix 1 at the end of this document. However, some of the 
records in this system are exempt from the record access and contesting 
requirements under 5 U.S.C. 552a(k). To the extent that records in this 
system of records are not subject to exemption, they are subject to 
access and contest. A determination as to whether an exemption applies 
shall be made at the time a request for access or contest is received.

Contesting record procedures:
    (See ``Record access procedures'' above.)

Record source categories:
    The information and the records in this system are obtained from 
the applicant, lenders, brokers and builder/sellers, credit and 
financial reporting agencies, an applicant's credit sources, depository 
institutions and employers, independent auditors and accountants, 
hazard insurance companies, taxing authorities, title companies, fee 
personnel, business and professional organizations, other VA records, 
other Federal, State, and local agencies, and other parties of interest 
involving VA-guaranteed, insured, vendee or direct loans or specially 
adapted housing.

Systems exempted from certain provisions of the act:
    The Secretary of Veterans Affairs has exempted this system of 
records from the following provisions of the Privacy Act of 1974, as 
permitted by 5 U.S.C. 552a(k)(2) and (5).

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

Reasons for exemptions:
    The exemption of information and material in this system of records 
is necessary in order to accomplish the law enforcement functions of 
the Loan Guaranty Service to prevent subjects of internal audit 
investigations for potential fraud and abuse in the VA Loan Guaranty 
Program from frustrating the investigatory process, to fulfill 
commitments made to protect the confidentiality of sources, to maintain 
access to sources of information, and to avoid endangering these 
sources. This information is also being exempted to maintain the 
confidentiality and integrity of material compiled solely for the 
purpose of determining the suitability, eligibility, or the 
qualifications of prospective VA program participants.

VA Appendix 1

VA Regional Offices with Loan Activities

    Veterans should call the telephone numbers listed to obtain 
information or assistance with the VA Home Loan program. For more 
information or to search for a facility near you by jurisdiction, 
visit http://www.benefits.va.gov/homeloans/contact_rlc_info.asp or 
call (877) 827-3702.
    Please send address and telephone number corrections to: 
Department of Veterans Affairs, Loan Guaranty Service (26), 810 
Vermont Ave. NW., Washington, DC 20420.

Atlanta Regional Loan Center

    Jurisdiction for Georgia, North Carolina, South Carolina, 
Tennessee:

Office: 1700 Clairmont Road, Decatur, GA 30033-4032
Mail: P.O. Box 100023, Decatur, GA 30031-7023
Phone: 1-888-768-2132

Cleveland Regional Loan Center

    Jurisdiction for Connecticut, Delaware, Indiana, Maine, 
Massachusetts, Michigan, New Hampshire, New Jersey, New York, Ohio, 
Pennsylvania, Rhode Island, Vermont:

Office and Mail: 1240 East, Ninth Street, Cleveland, OH 44199
Phone: 1-800-729-5772

Denver Regional Loan Center

    Jurisdiction for Alaska, Colorado, Idaho, Montana, Oregon, Utah, 
Washington, Wyoming:

Office: 155 Van Gordon Street, Lakewood, CO 80228
Mail: Box 25126, Denver, CO 80225
Phone: 1-888-349-7541

Honolulu Regional Office (Loan Guaranty Division)

    Jurisdiction for Hawaii, Guam, American Samoa, Commonwealth of 
the Northern Marianas:

Office and Mail: 459 Patterson Road, Honolulu, HI 96819
Phone: 1-808-433-0481

Houston

    Jurisdiction for Arkansas, Louisiana, Oklahoma, Texas:

Office and Mail: 6900 Almeda Road, Houston, TX 77030-4200
Phone: 1-888-232-2571 Ext. 1855

Phoenix

    Jurisdiction for Arizona, California, New Mexico, Nevada:

Office and Mail: 3333 N. Central Avenue, Phoenix, AZ 85012-2402
Phone: 1-888-869-0194

Roanoke

    Jurisdiction for District of Columbia, Kentucky, Maryland, 
Virginia, West Virginia:

Office: 210 First Street, Roanoke, VA 24011
Mail: 116 N. Jefferson Street, Roanoke, VA 24016
Phone: 1-800-933-5499

St. Paul

    Jurisdiction for Illinois, Iowa, Kansas, Minnesota, Missouri, 
Nebraska, North Dakota, South Dakota, Wisconsin:

Office and Mail: 1 Federal Drive, Ft. Snelling, St. Paul, MN 55111-
4050
Phone: 1-800-827-0611

St. Petersburg

    Jurisdiction for Alabama, Florida, Mississippi, Puerto Rico, 
U.S. Virgin Islands:

Office: 9500 Bay Pines Boulevard, St. Petersburg, FL 33708
Mail: P.O. Box 1437, St. Petersburg, FL 33731
Phone: 1-888-611-8916

[FR Doc. 2013-28714 Filed 11-27-13; 8:45 am]
BILLING CODE 8320-01-P