81 FR 25369 - Privacy Act of 1974; System of Records; USDA/Rural Development-1 Current or Prospective Producers or Landowners, Applicants, Borrowers, Grantees, Tenants, and Other Participants in RD Programs

DEPARTMENT OF AGRICULTURE
Rural Housing Service
Rural Business-Cooperative Service
Rural Utilities Service

Federal Register Volume 81, Issue 82 (April 28, 2016)

Page Range		25369-25374
FR Document		2016-09938

In accordance with the requirements of the Privacy Act of 1974 as amended; Section 12204 of the Agricultural Act of 2014 (2014 Farm, 5 U.S.C. 552a) Rural Development (RD) gives notice of its proposal to revise the system of records entitled USDA/Rural Development-1 Applicant, Borrower, Grantee or Tenant File.

Federal Register, Volume 81 Issue 82 (Thursday, April 28, 2016)

[Federal Register Volume 81, Number 82 (Thursday, April 28, 2016)]
[Notices]
[Pages 25369-25374]
From the Federal Register Online [www.thefederalregister.org]
[FR Doc No: 2016-09938]

========================================================================
Notices
Federal Register
________________________________________________________________________

This section of the FEDERAL REGISTER contains documents other than rules
or proposed rules that are applicable to the public. Notices of hearings
and investigations, committee meetings, agency decisions and rulings,
delegations of authority, filing of petitions and applications and agency
statements of organization and functions are examples of documents
appearing in this section.

========================================================================

Federal Register / Vol. 81, No. 82 / Thursday, April 28, 2016 /
Notices

[[Page 25369]]

=======================================================================
-----------------------------------------------------------------------

DEPARTMENT OF AGRICULTURE

Rural Housing Service

Rural Business-Cooperative Service

Rural Utilities Service

Privacy Act of 1974; System of Records; USDA/Rural Development-1
Current or Prospective Producers or Landowners, Applicants, Borrowers,
Grantees, Tenants, and Other Participants in RD Programs

AGENCY: Rural Housing Service, Rural Business-Cooperative Service, and
Rural Utilities Service, USDA.

ACTION: Notice of proposed revision to an existing Privacy Act System
of Records.

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

SUMMARY: In accordance with the requirements of the Privacy Act of 1974
as amended; Section 12204 of the Agricultural Act of 2014 (2014 Farm, 5
U.S.C. 552a) Rural Development (RD) gives notice of its proposal to
revise the system of records entitled USDA/Rural Development-1
Applicant, Borrower, Grantee or Tenant File.

DATES: Comments must be received no later than June 7, 2016. This
system of records will be effective June 7, 2016 unless Rural
Development receives comments, which would result in a contrary
determination.

ADDRESSES: You may submit comments on this notice by any of the
following methods: You may submit written or electronic comments on
this notice by any of the following methods:
Federal eRulemaking Portal: http://www.regulations.gov.
Follow the instructions for submitting comments.
Mail: Submit written comments via the U.S. Postal Service
to the Branch Chief, Regulations and Paperwork Management Branch, U.S.
Department of Agriculture, 300 7th Street SW., 7th Floor, Washington,
DC 20024.
Hand Delivery/Courier: Submit written comments via Federal
Express Mail or other courier service requiring a street address to the
Branch Chief, Regulations and Paperwork Management Branch, U.S.
Department of Agriculture, 300 7th Street SW., 7th Floor, Washington,
DC 20024.
All written comments will be available for public inspection during
regular work hours at the 300 7th Street SW., 7th Floor address listed
above.

FOR FURTHER INFORMATION CONTACT:
For general questions, please contact: Diego Maldonado, RD Privacy
Act Officer, 4300 Goodfellow Boulevard, Room 52C13, St. Louis, MO
63120-0011; 314-457-6279.
For privacy issues, please contact: Kelvin Fairfax Chief Privacy
Officer, Cyber and Privacy Policy and Oversight, Office of the Chief
information Officer, Department of Agriculture, Washington, DC 20250.

SUPPLEMENTARY INFORMATION: The Privacy Act of 1974, as amended (5
U.S.C. 552a), requires agencies to publish in the Federal Register
notice of new or revised systems of records maintained by the agency. A
system of records is a group of any records under the control of any
agency, from which information is retrieved by the name of an
individual or by some identifying number, symbol, or other identifying
particular assigned to an individual.
In accordance with the Office of Management and Budget (OMB)
Circular A-130, Rural Development of the United States Department of
Agriculture (USDA) is proposing to revise an existing Privacy Act
system of records, which was last published in full on July 17, 1998
(63 FR 38546).
The agency proposes to make various revisions to USDA/RD-1,
including several revisions related to the receipt for services (RFS)
program. Section 2501A of the Food, Agriculture, Conservation, and
Trade Act of 1990 was amended by Section 14003 of the Food,
Conservation, and Energy Act of 2008 (2008 Farm Bill) to require that
upon the request of a current or prospective producer or landowner,
certain agencies, including agencies of the Rural Development Mission
Area, provide a receipt for service concerning any benefit or service
offered to agricultural producers or landowners. Section 12204 of the
Agricultural Act of 2014 (2014 Farm Bill) further modified this
requirement to mandate the issuance of a receipt for service to every
current or prospective producer or landowner that requests about any
benefit or service provided to a customer by agencies of the Rural
Development Mission Area (or denial of service). Accordingly, the
receipt for service program provides inquirers, applicants, or
customers of the Rural Business Cooperative Service, the Rural Housing
Service, and the Rural Utilities Service with a receipt for service for
certain types of transactions requested. While these routine uses allow
disclosures outside USDA, and so have some impact on privacy of
individuals, they are either necessary for carrying out the agency
mission and minimizing waste, fraud, and abuse; are required by law; or
benefit the subjects of the records. On balance, the needs of the
agency and the benefits to the individuals of these disclosures justify
the minimal impact on privacy. The current SORN is located at: http://www.ocio.usda.gov/sites/default/files/docs/2012/Rural%20Development-1.txt. Rural Development proposes to revise the System of Records to
reflect the following changes:
1. A security classification is added to the System Notice.
2. The system locations section is revised to reflect
organizational and office location and responsibility changes.
3. The categories of individuals covered by the system section is
revised to reflect the Receipt for Services program.
4. The categories of records in the system section is revised to
reflect the Receipt for Services program.
5. The authority for maintenance of the system section is revised
to reflect changes in the statutory authorities.
6. A purpose(s) section is added to the System Notice.
7. RD proposes the following changes to the routine uses:
a. The language of routine uses 2, 5-13, 15, 16, and 18 is revised
slightly for clarity and consistency.
b. Routine use 14 is revised to identify the system, Credit Alert
Verification Reporting System (CAIVRS) that is used by the Department
of Housing and Urban Development (HUD) for the purpose of prescreening
applicants.
c. Routine use 17 is deleted.

[[Page 25370]]

d. Routine use 18 is renumbered as routine use 17 and is revised
slightly for clarity and consistency.
e. New routine use 18 is added to disclose to the Department of
Health and Human Services parent locator system for finding parents who
do not pay child support.
f. Routine use 19 is added to allow disclosure to contractors,
grantees, experts, consultants or volunteers who are performing a
service on behalf of the agency.
g. Routine use 20 is added to allow disclosure of records to
customer service agents for training and evaluation purposes.
h. Routine use 21 is added to allow disclosure of records to
appropriate agencies, entities, and persons for purposes of response
and remedial efforts in the event that there has been a breach of the
data contained in the systems.
i. Routine use 22 is added to comply with Federal Funding
Accountability and Transparency Act for public disclosure purposes.
j. Routine use 23 is added to allow disclosure to the National
Archives and Records Administration for records management purposes.
k. Routine use 24 is added to allow disclosure to the Department of
the Treasury for the purpose of identifying, preventing, or recouping
improper payments.
8. The policies and practices for storing, retrieving, accessing,
retaining, and disposing of records in the system section is revised to
reflect changes in record keeping including use of electronic records.
9. The system manager and address section is revised to include a
Web site link.
10. The record source categories section is revised to reflect the
Receipt for Services program.

Dated: March 23, 2016.
Lisa Mensah,
Under Secretary, Rural Development.
SYSTEM OF RECORDS
USDA/Rural Development-1.

System name:
Applicant, Borrower, Grantee, or Tenant File.
Security Classification: unclassified.

System Location:
Each Rural Development current or prospective producers or
landowners, applicants, borrowers, grantees, tenants, their respective
household members, including members of associations, and other
participants in RD programs. Files is located in the Local, Area, or
State Office through which the financial assistance is sought or was
obtained; in the Centralized Servicing Center (CSC), St. Louis,
Missouri; and in the Finance Office in St. Louis, Missouri. A State
Office version of the Local or Area Office file may be located in or
accessible by the State Office which is responsible for that Local or
Area Office. Correspondence regarding borrowers is located in the State
and National Office files.
A list of all State Offices and any additional States/Offices for
which an office is responsible is as follows:

Montgomery, AL
Palmer, AK
Phoenix, AZ
Little Rock, AR
Davis, CA
Lakewood, CO
Dover, DE (includes Maryland)
Gainesville, FL (includes U. S. Virgin Islands)
Athens, GA
Hilo, HI (includes Western Pacific Territories of American Samoa,
Guam, and Commonwealth of the Marianas Islands, Federated States of
Micronesia, Republic of Palau, and the Marshall Islands)
Boise, ID
Champaign, IL
Indianapolis, IN
Des Moines, IA
Topeka, KS
Lexington, KY
Alexandria, LA
Bangor, ME
Amherst, MA (includes Connecticut and Rhode Island)
East Lansing, MI
St. Paul, MN
Jackson, MS
Columbia, MO
Bozeman, MT
Lincoln, NE
Carson City, NV
Mt. Laurel, NJ
Albuquerque, NM
Syracuse, NY
Raleigh, NC
Bismarck, ND
Columbus, OH
Stillwater, OK
Portland, OR
Harrisburg, PA
San Juan, PR
Columbia, SC
Huron, SD
Nashville, TN
Temple, TX
Salt Lake City, UT
Montpelier, VT (includes New Hampshire)
Richmond, VA
Olympia, WA
Morgantown, WV
Stevens Point, WI
Casper, WY

The address of Local, Area, and State Offices are listed in the
telephone directory of the appropriate city or town under the heading,
``United States Government, Department of Agriculture, and Rural
Development.'' The Financial Office and CSC are located at 4300
Goodfellow Blvd., St. Louis, MO 63120-0011.

Categories of Individuals Covered by the System:
Current or prospective producers or landowners, applicants,
borrowers, grantees, tenants, and their respective household members,
including members of associations and other participants in RD
programs.

Categories of Records in the System:
The system includes files containing the names of current or
prospective producers or landowners, applicants, borrowers, grantees,
tenants and their respective household members, including members of
associations and other participants in RD programs. It may also include
their social security or employer identification number, bank routing
and account numbers; and their respective household members'
characteristics, such as gross and net income, sources of income,
capital, assets and liabilities, net worth, age, race, number of
dependents, marital status, reference material, farm or ranch operating
plans, and property appraisal. The system also includes credit reports
and personal references from credit agencies, lenders, businesses, and
individuals. In addition, a running record of observation concerning
the operations of the person being financed is included. A record of
deposits to and withdrawals from an individual's supervised bank
account is also contained in those files where appropriate. In some
Local Offices, this record is maintained in a separate folder
containing only information relating to activity within supervised bank
accounts. Some items of information are extracted from the individual's
file and placed in a card file for quick reference.

Authority for maintenance of the system:
Consolidated Farm and Rural Development Act of 1972, as amended;
Section 12204 of the Agricultural Act of 2014 (Pub. L. 113-79);
AGRICULTURAL CREDIT 7 U.S.C. 1921 et seq.; FARM HOUSING 42 U.S.C. 1471
et seq.; Section 901 of the Food Conservation, and Energy Act of 2008
(Pub L. 110-246); RURAL ELECTRIFICATION AND TELEPHONE SERVICE 7 U.S.C.
901 et seq.

[[Page 25371]]

Purpose(s):
Rural Development (RD) maintains numerous information systems that
are used for current or prospective producers or landowners,
applicants, borrowers, grantees, tenants, and other participants in RD
programs designed to help improve the economy and quality of life in
rural America. These financial systems support such essential public
facilities and service as water and sewer systems, housing, health
clinics, emergency service facilities, and electric and telephone
services. Additionally, RD systems and feeder applications promote
economic development by supporting loans to businesses through banks,
credit unions, and community-managed lending pools. The suite of RD
systems covered by this System of Records is developed and maintained
by the Deputy Chief Information Officer in St. Louis, MO and the
National Development Branch in Washington, DC.

Routine uses of records maintained in the group of applications,
including categories of users and the purposes of such uses:
1. When a record on its face, or in conjunction with other records,
indicates a violation or potential violation of law, whether civil,
criminal or regulatory in nature, and whether arising by general
statute or particular program statute, or by regulation, rule, or order
issued pursuant thereto, disclosure may be made to the appropriate
agency, whether Federal, foreign, State, local, or tribal, or other
public authority responsible for enforcing, investigating or
prosecuting such violation or charged with enforcing or implementing
the statute, or rule, regulation, or order issued pursuant thereto, if
the information disclosed is relevant to any enforcement, regulatory,
investigative or prospective responsibility of the receiving entity.
2. To a Member of Congress or to a Congressional staff member in
response to an inquiry of the Congressional office made at the written
request of the constituent about whom the record is maintained.
3. Rural Development will provide information from these systems to
the U.S. Department of the Treasury and to other Federal agencies
maintaining debt servicing centers, in connection with overdue debts,
in order to participate in the Treasury Offset Program as required by
the Debt Collection Improvements Act, Public Law 104-134, section
31001.
4. Disclosure to Rural Development of name, home addresses, and
information concerning default on loan repayment when the default
involves a security interest in tribal allotted or trust land. Pursuant
to the Cranston-Gonzales National Affordable Housing Act of 1990 (42
U.S.C. 12701 et seq.), liquidation may be pursued only after offering
to transfer the account to an eligible tribal member, the tribe, or the
Indian housing authority serving the tribe(s).
5. Disclosure of names, home addresses, social security numbers,
and financial information to a collection or servicing contractor,
financial institution, or a local, State, or Federal agency, when Rural
Development determines such referral is appropriate for servicing or
collecting the borrower's account or as provided for in contracts with
servicing or collection agencies.
6. To a court or adjudicative body in a proceeding when: (a) The
agency or any component thereof; or (b) any employee of the agency in
his or her official capacity; or (c) any employee of the agency in his
or her individual capacity where the agency has agreed to represent the
employee; or (d) the United States Government, is a party to litigation
or has an interest in such litigation, and by careful review, the
agency determines that the records are both relevant and necessary to
the litigation and the use of such records is therefore deemed by the
agency to be for a purpose that is compatible with the purpose for
which the agency collected the records.
7. Disclosure of names, home addresses, and financial information
for selected borrowers to financial consultants, advisors, lending
institutions, packagers, agents, and private or commercial credit
sources, when Rural Development determines such referral is appropriate
to encourage the borrower to refinance his Rural Development
indebtedness as required by Title V of the Housing Act of 1949, as
amended (42 U.S.C. 1471), or to assist the borrower in the sale of the
property.
8. Disclosure of legally enforceable debts to the Department of the
Treasury, Internal Revenue Service (IRS), to be offset against any tax
refund that may become due the debtor for the tax year in which the
referral is made, in accordance with the IRS regulations at 26 CFR
301.6402-6T, Offset of Past Due Legally Enforceable Debt Against
Overpayment, and under the authority contained in 31 U.S.C. 3720A.
9. Disclosure of information regarding indebtedness to the Defense
Manpower Data Center, Department of Defense, and the United States
Postal Service for the purpose of conducting computer matching programs
to identify and locate individuals receiving Federal salary or benefit
payments and who are delinquent in their repayment of debts owed to the
U.S. Government under certain programs administered by Rural
Development in order to collect debts under the provisions of the Debt
Collection Act of 1982 (5 U.S.C. 5514) by voluntary repayment,
administrative or salary offset procedures, or by collection agencies.
10. Disclosure of names, home addresses, and financial information
to lending institutions when Rural Development determines the
individual may be financially capable of qualifying for credit with or
without a guarantee.
11. Disclosure of names, home addresses, social security numbers,
and financial information to lending institutions that have a lien
against the same property as Rural Development for the purpose of the
collection of the debt. These loans may be under the direct and
guaranteed loan programs.
12. Disclosure to private attorneys under contract with either
Rural Development or with the Department of Justice for the purpose of
foreclosure and possession actions and collection of past due accounts
in connection with Rural Development.
13. To the Department of Justice when: (a) The agency or any
component thereof; or (b) any employee of the agency in his or her
official capacity where the Department of Justice has agreed to
represent the employee; or (c) the United States Government, is a party
to litigation or has an interest in such litigation, and by careful
review, the agency determines that the records are both relevant and
necessary to the litigation and the use of such records by the
Department of Justice is therefore deemed by the agency to be for a
purpose that is compatible with the purpose for which the agency
collected the records.
14. Disclosure of names, home addresses, social security numbers,
and financial information to the Department of Housing and Urban
Development for the purpose of evaluating a loan applicant's
creditworthiness, information that will allow for the pre-screening of
applicants through the Credit Alert Verification Reporting System
(CAIVRS) computer matching program. An applicant shall be pre-screened
for any debts owed or loans guaranteed by the Federal government to
ascertain if the applicant is delinquent in paying a debt owed to or
insured by the Federal government. Authorized employees of, and
approved private lenders acting on behalf of, the Federal agencies
participating in the CAIVRS computer matching program will be able to
search the CAIVRS database.

[[Page 25372]]

Explanatory Text: Credit Alert Verification Reporting System
(CAIVRS) is a Federal government database of delinquent Federal debtors
that when reviewed, allows Federal agencies to reduce the risk to
Federal loan and loan guarantee programs. CAIVRS alerts participating
Federal lending agencies when an applicant for credit benefits has a
Federal lien, judgment, or a Federal loan that is currently in default
or foreclosure, or has had a claim paid by a reporting agency. CAIVRS
allows authorized employees of participating Federal agencies to access
a database of delinquent Federal borrowers for the purpose of pre-
screening direct loan applicants for credit worthiness and also permits
approved private lenders acting on behalf of the Federal agency to
access the delinquent borrower database for the purpose of pre-
screening the credit worthiness of applicants for federally guaranteed
loans. CAIVRS authority derives from the Computer Matching and Privacy
Protection Act of 1988 (Pub. L. 100-503) as amended, Office of
Management and Budget (OMB) Circulars A-129 (Managing Federal Credit
Programs) and A-70 (Policies and Guidelines for Federal Credit
Programs), the Budget and Accounting Acts of 1921 and 1950, as amended,
the Debt Collection Act of 1982, as amended, the Deficit Reduction Act
of 1984, as amended, and the Debt Collection Improvement Act of 1996,
as amended.
15. Disclosure of names, home addresses, social security numbers,
and financial information to the Department of Labor, State Wage
Information Collection Agencies, and other Federal, State, and local
agencies, as well as those responsible for verifying information
furnished to qualify for Federal benefits, to conduct wage and benefit
matching through manual and/or automated means, for the purpose of
determining compliance with Federal regulations and appropriate
servicing actions against those not entitled to program benefits,
including possible recovery of improper benefits.
16. Disclosure of names, home addresses, and financial information
to financial consultants, advisors, or underwriters, when Rural
Development determines such referral is appropriate for developing
packaging and marketing strategies involving the sale of Rural
Development loan assets.
17. Disclosure of names, home and work addresses, home telephone
numbers, social security numbers, and financial information to escrow
agents (which also could include attorneys and title companies)
selected by the applicant or borrower for the purpose of closing the
loan.
18. Disclosure to Health and Human Services (HHS) parent locator
system for finding parents who do not pay child support: The name and
current address of record of an individual may be disclosed from this
system of records to the parent locator service of the Department of
HHS or authorized persons defined by Public Law 93-647, 42 U.S.C. 653.
19. To agency contractors, grantees, experts, consultants or
volunteers who have been engaged by the agency to assist in the
performance of a service related to this system of records and who need
to have access to the records in order to perform the activity.
Recipients shall be required to comply with the requirements of the
Privacy Act of 1974, as amended, pursuant to 5 U.S.C. 552a(m).
20. Disclosure to customer service agents for training and
evaluation purposes. Information is collected during calls made by the
client to the CSC Customer Service Section to discuss questions or
concerns pertaining to their mortgage account(s) with Rural
Development. The information discussed during the call to the CSC help
desk is captured and used for training and evaluation purposes to
ensure proper procedures are being followed and accurate information is
provided when assisting the client.
21. To appropriate agencies, entities, and persons when (1) When
Rural Development suspects or has confirmed that the security or
confidentiality of information in the system of records has been
compromised; (2) the Department has determined that, as a result of the
suspected or confirmed compromise, there is a risk of harm to economic
or property interests, identity theft or fraud, or harm to the security
or integrity of this system or other systems or programs (whether
maintained by the Department or another agency or entity) that rely
upon the compromised information; and (3) the disclosure made to such
agencies, entities, and persons is reasonably necessary to assist in
connection with the Department's efforts to respond to the suspected or
confirmed compromise and prevent, minimize, or remedy such harm.
22. To comply with Federal Funding Accountability and Transparency
Act (FFATA) and similar statutory requirements for public disclosure in
situations where records reflect loans, grants, or other payments to
members of the public: USDA will disclose information about individuals
from this system of records in accordance with the Federal Funding
Accountability and Transparency Act of 2006 (Pub. L. 109-282; codified
at 31 U.S.C. 6101, et seq.); section 204 of the E-Government Act of
2002 (Pub. L. 107-347; 44 U.S.C. 3501 note), and the Office of Federal
Procurement Policy Act (41 U.S.C. 403 et seq.), or similar statutes
requiring agencies to make available publicly information concerning
Federal financial assistance, including grants, subgrants, loan awards,
cooperative agreements and other financial assistance; and contracts,
subcontracts, purchase orders, task orders, and delivery orders.
23. To the National Archives and Records Administration for to the
National Archives and Records Administration for records management
inspections conducted under 44 U.S.C. 2904 and 2906.
24. To the Department of the Treasury for the purpose of
identifying, preventing, or recouping improper payments to an applicant
for, or recipient of, Federal funds, including funds disbursed by a
State in a State-administered, Federally funded program, information
that will allow for pre-payment eligibility review of a loan applicant
through the Do Not Pay computer matching program. Authorized employees
of, and approved private lenders acting on behalf of, the Federal
agencies participating in the Do Not Pay computer matching program will
be able to search the Do Not Pay database. The disclosure may include
applicant's name, home address, Social Security Number, income/
financial data, date of birth, personal telephone number, and personal
email address.

Explanatory Text:
In order to help eliminate waste, fraud, and abuse in Federal
programs, Federal agencies are to focus on preventing payment errors
before they occur. The purpose of the Department of the Treasury's Do
Not Pay program is to reduce improper payments by intensifying efforts
to eliminate payment error, waste, fraud, and abuse in the major
programs administered by the Federal Government, while continuing to
ensure that Federal programs serve and provide access to their intended
beneficiaries. Federal agencies shall thoroughly review the Do Not Pay
computer matching database, to the extent permitted by law to determine
applicant eligibility before the release of any Federal funds. By
checking the Do Not Pay database before making payments, Federal
agencies can identify ineligible recipients and prevent certain
improper payments from being made. The Do Not Pay program authority
derives from the Improper

[[Page 25373]]

Payments Elimination and Recovery Improvement Act of 2012 (Pub. L. 112-
248).

Disclosure To Consumer Reporting Agencies:
Disclosures pursuant to 5 U.S.C. 552a(b)(12): Disclosures may be
made from this system to consumer reporting agencies as defined in the
Fair Credit Reporting Act (15 U.S.C. 1681a(f)) or the Federal Claims
Collection Act (31 U.S.C. 3701(a)(3)).

Policies and Practices for Storing, Retrieving, Accessing, Retaining,
and Disposing of Records in the System:
Storage:
Records are maintained in file folders at the Local, Area, State,
and National Offices. All records are converted to electronic format
and stored on a USDA managed certified and accredited storage
repository. Once agency employees convert the paper documents to
digital records, verify that the digital record is readable and
successfully ported to the imaging repository the manual documents are
destroyed in compliance with Rural Development regulation (shredding).
Other program imaging repositories are utilized to allow multi-point
access to electronic records but the manual documents are retained
securely in the local office until such time as the account is
considered closed per Rural Development Regulation 2033-A. At that
time, the documents/case files are destroyed in a manner as outlined in
Rural Development regulation. If the office cannot accommodate proper,
manual file retention standards (inadequate space to secure and house
documents/files that require retention), inactive documents/case files
(i.e., charge-offs, pay-offs, denials, withdrawn) can be retired to the
Federal Records Center. Any records shipped to the Center for retention
must be clearly inventoried and marked with a destroy-by date. The
destroy date is determined by the record type after it is closed (e.g.,
loss to the government retention is 7 years after case is closed). The
retention schedule can be found at RD 2033-A and the Operational
Records Manual. For further information contact the RD Records Officer.
If closed/inactive files are retained at the local office until such
time as they are eligible for destruction, they are stored in a secured
location.

Retrievability:
Records are indexed by name, identification number and type of loan
or grant. Data may be retrieved from the paper records or the
electronic storage. All Rural Development state and field offices as
well as the financial office and the Centralized Servicing Center (CSC)
have the telecommunications capability available to access this subset
of data.

Safeguards:
Paper records are kept in locked offices at the Local, Area, State,
and National Offices. For electronic records and an online retrieval
system at the Finance Office access is restricted to authorized Rural
Development personnel. A system of operator and terminal passwords and
code numbers is used to restrict access to the online system. Passwords
and code numbers are changed as necessary.
The records are protected by the confidentiality requirements of
the USDA Office of the Chief Information Officer (OCIO) Cyber Security
Manuals and the provisions of the Privacy Act. Only authorized USDA
employees will have access to the records in this system on a need to
know basis. Role based access controls are used and the systems are
accessible via the USDA Intranet. Only authorized USDA personnel will
have access to these records. The systems covered by this notice have
been categorized as having a Moderate security categorization impact as
identified in Federal Information Processing Standard (FIPS) 199,
Standards for Security Categorization of Federal Information and
Information Systems. The security controls implemented within the
systems will correspond with those published in the National Institute
of Standards and Technology (NIST) Special Publication 800-53,
Recommended Security Controls for Federal Information Technology
Systems for a Moderate impact system.
Users are only granted system access upon successful completion of
information security training and each user is supplied with a unique
and strong user-id and password. The user roles are restrictive and
based on the principle of least privilege allowing for adequate
performance of job functions and access to information is based on a
need to know.
Due to the financial nature of the systems covered by this notice,
the systems also adhere to the security controls identified in the
Federal Information Security Control Audit Manual (FISCAM). The
mandatory requirements of FIPS 199 and FIPS 200, Minimum Security
Requirements for Federal Information and Information Systems, support
the Federal Information Security Management Act (FISMA) and the FISCAM
supports the mandated Office of Management and Budget (OMB) Circular A-
123, Management of Internal Controls.
Moreover, Specific USDA security requirements are adhered to
through the USDA Cyber Security Manuals including but not limited to:
DM3545-000, Personnel Security, and DM3510-001, Physical Security
Standards for Information Technology Restricted Space.

Retention and disposal:
Records are maintained subject to the Federal Records Disposal Act
of 1943 (44 U.S.C. 33), and in accordance with Rural Development's
disposal schedules. The Local, Area, State, and National Offices
dispose of records by shredding, burning, or other suitable disposal
methods after established retention periods have been fulfilled.
(Destruction methods may never compromise the confidentiality of
information contained in the records.) Applications, including credit
reports and personal references, which are rejected, withdrawn, or
otherwise terminated are kept in the Local, Area, or State Office for
two full fiscal years and one month after the end of the fiscal year in
which the application was rejected, withdrawn, canceled, or expired. If
final action was taken on the application, including an appeal,
investigation, or litigation, the application is kept for one full
fiscal year after the end of the fiscal year in which final action was
taken.
The records, including credit reports, of borrowers who have paid
or otherwise satisfied their obligation are retained in the Local,
Area, or State Office for one full fiscal year after the fiscal year in
which the loan was paid in full. Correspondence records at the National
Office which concern borrowers and applicants are retained for three
full fiscal years after the last year in which there was
correspondence.

System manager(s) and address:
The Community Development Manager at the Local Office; the Rural
Development Manager at the Area Office; and the State Director at the
State Office; the Deputy Chief Financial Officer in St. Louis, MO; and
the respective Administrators in the National Office at the following
addresses: Administrator, Rural Housing Service, USDA, 1400
Independence Avenue SW., Room 5014, South Building, Stop 0701,
Washington, DC 20250-0701; Administrator, Rural Business-Cooperative
Service, USDA, 1400 Independence Avenue SW., Room 5045, South Building,
Stop 3201, Washington, DC 20250-3201;

[[Page 25374]]

Administrator, Rural Utilities Service, USDA, 1400 Independence Avenue
SW., Room 4501, South Building, Stop 1510, Washington, DC 20250-1510.
Contact information can be found at http://www.rd.usda.gov.

Notification procedure:
Any individual may request information regarding this system of
records, or determine whether the system contains records pertaining to
him/her, from the appropriate System Manager. If the specific location
of the record is not known, the individual should address his or her
request to: Rural Development, Freedom of information Officer, United
States Department of Agriculture, 1400 Independence Avenue SW., Stop
0742, and Washington, DC 20250-0742.
A request for information pertaining to an individual must include
a name; an address; the Rural Development office where the loan or
grant was applied for, approved, and/or denied; the type of Rural
Development program; and the date of the request or approval.

Record access procedures:
Any individual may obtain information regarding the procedures for
gaining access to a record in the system which pertains to him or her
by submitting a written request to one of the System Managers.

Contesting record procedures:
Same as record access procedures.

Record source categories:
Information in this system comes primarily Credit reports and
personal references come primarily from current or prospective
producers or landowners, applicants, borrowers, grantees, tenant.
Credit agencies and creditors.

Exemptions claimed for the system:
None.

[FR Doc. 2016-09938 Filed 4-27-16; 8:45 am]
BILLING CODE 3410-XT-P

25369

Notices Federal Register
Vol. 81, No. 82

Thursday, April 28, 2016

This section of the FEDERAL REGISTER • Hand Delivery/Courier: Submit this requirement to mandate the
contains documents other than rules or written comments via Federal Express issuance of a receipt for service to every
proposed rules that are applicable to the Mail or other courier service requiring a current or prospective producer or
public. Notices of hearings and investigations, street address to the Branch Chief, landowner that requests about any
committee meetings, agency decisions and Regulations and Paperwork benefit or service provided to a
rulings, delegations of authority, filing of
petitions and applications and agency
Management Branch, U.S. Department customer by agencies of the Rural
statements of organization and functions are of Agriculture, 300 7th Street SW., 7th Development Mission Area (or denial of
examples of documents appearing in this Floor, Washington, DC 20024. service). Accordingly, the receipt for
section. All written comments will be service program provides inquirers,
available for public inspection during applicants, or customers of the Rural
regular work hours at the 300 7th Street Business Cooperative Service, the Rural
DEPARTMENT OF AGRICULTURE SW., 7th Floor address listed above. Housing Service, and the Rural Utilities
FOR FURTHER INFORMATION CONTACT: Service with a receipt for service for
Rural Housing Service For general questions, please contact: certain types of transactions requested.
Diego Maldonado, RD Privacy Act While these routine uses allow
Rural Business-Cooperative Service Officer, 4300 Goodfellow Boulevard, disclosures outside USDA, and so have
Room 52C13, St. Louis, MO 63120– some impact on privacy of individuals,
Rural Utilities Service 0011; 314–457–6279. they are either necessary for carrying
For privacy issues, please contact: out the agency mission and minimizing
Privacy Act of 1974; System of Kelvin Fairfax Chief Privacy Officer, waste, fraud, and abuse; are required by
Records; USDA/Rural Development-1 Cyber and Privacy Policy and Oversight, law; or benefit the subjects of the
Current or Prospective Producers or Office of the Chief information Officer, records. On balance, the needs of the
Landowners, Applicants, Borrowers, Department of Agriculture, Washington, agency and the benefits to the
Grantees, Tenants, and Other DC 20250. individuals of these disclosures justify
Participants in RD Programs the minimal impact on privacy. The
SUPPLEMENTARY INFORMATION: The
AGENCY: Rural Housing Service, Rural Privacy Act of 1974, as amended (5 current SORN is located at: http://
Business-Cooperative Service, and Rural U.S.C. 552a), requires agencies to www.ocio.usda.gov/sites/default/files/
Utilities Service, USDA. publish in the Federal Register notice of docs/2012/Rural%20Development-1.txt.
new or revised systems of records Rural Development proposes to revise
ACTION: Notice of proposed revision to
maintained by the agency. A system of the System of Records to reflect the
an existing Privacy Act System of
records is a group of any records under following changes:
Records.
the control of any agency, from which 1. A security classification is added to
SUMMARY: In accordance with the information is retrieved by the name of the System Notice.
requirements of the Privacy Act of 1974 an individual or by some identifying 2. The system locations section is
as amended; Section 12204 of the number, symbol, or other identifying revised to reflect organizational and
Agricultural Act of 2014 (2014 Farm, 5 particular assigned to an individual. office location and responsibility
U.S.C. 552a) Rural Development (RD) In accordance with the Office of changes.
gives notice of its proposal to revise the Management and Budget (OMB) 3. The categories of individuals
system of records entitled USDA/Rural Circular A–130, Rural Development of covered by the system section is revised
Development-1 Applicant, Borrower, the United States Department of to reflect the Receipt for Services
Grantee or Tenant File. Agriculture (USDA) is proposing to program.
revise an existing Privacy Act system of 4. The categories of records in the
DATES: Comments must be received no
records, which was last published in system section is revised to reflect the
later than June 7, 2016. This system of full on July 17, 1998 (63 FR 38546).
records will be effective June 7, 2016 Receipt for Services program.
The agency proposes to make various
unless Rural Development receives 5. The authority for maintenance of
revisions to USDA/RD–1, including
comments, which would result in a the system section is revised to reflect
several revisions related to the receipt
contrary determination. changes in the statutory authorities.
for services (RFS) program. Section
ADDRESSES: You may submit comments 2501A of the Food, Agriculture, 6. A purpose(s) section is added to the
on this notice by any of the following Conservation, and Trade Act of 1990 System Notice.
methods: You may submit written or was amended by Section 14003 of the 7. RD proposes the following changes
electronic comments on this notice by Food, Conservation, and Energy Act of to the routine uses:
any of the following methods: 2008 (2008 Farm Bill) to require that a. The language of routine uses 2, 5–
• Federal eRulemaking Portal: http:// upon the request of a current or 13, 15, 16, and 18 is revised slightly for
www.regulations.gov. Follow the prospective producer or landowner, clarity and consistency.
mstockstill on DSK3G9T082PROD with NOTICES

instructions for submitting comments. certain agencies, including agencies of b. Routine use 14 is revised to identify
• Mail: Submit written comments via the Rural Development Mission Area, the system, Credit Alert Verification
the U.S. Postal Service to the Branch provide a receipt for service concerning Reporting System (CAIVRS) that is used
Chief, Regulations and Paperwork any benefit or service offered to by the Department of Housing and
Management Branch, U.S. Department agricultural producers or landowners. Urban Development (HUD) for the
of Agriculture, 300 7th Street SW., 7th Section 12204 of the Agricultural Act of purpose of prescreening applicants.
Floor, Washington, DC 20024. 2014 (2014 Farm Bill) further modified c. Routine use 17 is deleted.

VerDate Sep<11>2014 22:09 Apr 27, 2016 Jkt 238001 PO 00000 Frm 00001 Fmt 4703 Sfmt 4703 E:\FR\FM\28APN1.SGM 28APN1

Federal Register / Vol. 81, No. 82 / Thursday, April 28, 2016 / Notices 25373

Payments Elimination and Recovery offices as well as the financial office and Budget (OMB) Circular A–123,
Improvement Act of 2012 (Pub. L. 112– the Centralized Servicing Center (CSC) Management of Internal Controls.
248). have the telecommunications capability Moreover, Specific USDA security
available to access this subset of data. requirements are adhered to through the
DISCLOSURE TO CONSUMER REPORTING
USDA Cyber Security Manuals
AGENCIES: SAFEGUARDS: including but not limited to: DM3545–
Disclosures pursuant to 5 U.S.C. Paper records are kept in locked 000, Personnel Security, and DM3510–
552a(b)(12): Disclosures may be made offices at the Local, Area, State, and 001, Physical Security Standards for
from this system to consumer reporting National Offices. For electronic records Information Technology Restricted
agencies as defined in the Fair Credit and an online retrieval system at the Space.
Reporting Act (15 U.S.C. 1681a(f)) or the Finance Office access is restricted to
Federal Claims Collection Act (31 U.S.C. RETENTION AND DISPOSAL:
authorized Rural Development
3701(a)(3)). personnel. A system of operator and Records are maintained subject to the
terminal passwords and code numbers Federal Records Disposal Act of 1943
POLICIES AND PRACTICES FOR STORING,
is used to restrict access to the online (44 U.S.C. 33), and in accordance with
RETRIEVING, ACCESSING, RETAINING, AND
DISPOSING OF RECORDS IN THE SYSTEM: system. Passwords and code numbers Rural Development’s disposal
are changed as necessary. schedules. The Local, Area, State, and
STORAGE: National Offices dispose of records by
Records are maintained in file folders The records are protected by the
confidentiality requirements of the shredding, burning, or other suitable
at the Local, Area, State, and National disposal methods after established
Offices. All records are converted to USDA Office of the Chief Information
Officer (OCIO) Cyber Security Manuals retention periods have been fulfilled.
electronic format and stored on a USDA (Destruction methods may never
managed certified and accredited and the provisions of the Privacy Act.
Only authorized USDA employees will compromise the confidentiality of
storage repository. Once agency information contained in the records.)
employees convert the paper documents have access to the records in this system
on a need to know basis. Role based Applications, including credit reports
to digital records, verify that the digital and personal references, which are
record is readable and successfully access controls are used and the systems
are accessible via the USDA Intranet. rejected, withdrawn, or otherwise
ported to the imaging repository the terminated are kept in the Local, Area,
manual documents are destroyed in Only authorized USDA personnel will
have access to these records. The or State Office for two full fiscal years
compliance with Rural Development and one month after the end of the fiscal
regulation (shredding). Other program systems covered by this notice have
been categorized as having a Moderate year in which the application was
imaging repositories are utilized to rejected, withdrawn, canceled, or
allow multi-point access to electronic security categorization impact as
identified in Federal Information expired. If final action was taken on the
records but the manual documents are application, including an appeal,
retained securely in the local office until Processing Standard (FIPS) 199,
Standards for Security Categorization of investigation, or litigation, the
such time as the account is considered application is kept for one full fiscal
closed per Rural Development Federal Information and Information
Systems. The security controls year after the end of the fiscal year in
Regulation 2033–A. At that time, the which final action was taken.
documents/case files are destroyed in a implemented within the systems will
The records, including credit reports,
manner as outlined in Rural correspond with those published in the
of borrowers who have paid or
Development regulation. If the office National Institute of Standards and
otherwise satisfied their obligation are
cannot accommodate proper, manual Technology (NIST) Special Publication
retained in the Local, Area, or State
file retention standards (inadequate 800–53, Recommended Security
Office for one full fiscal year after the
space to secure and house documents/ Controls for Federal Information
fiscal year in which the loan was paid
files that require retention), inactive Technology Systems for a Moderate
in full. Correspondence records at the
documents/case files (i.e., charge-offs, impact system.
National Office which concern
pay-offs, denials, withdrawn) can be Users are only granted system access borrowers and applicants are retained
retired to the Federal Records Center. upon successful completion of for three full fiscal years after the last
Any records shipped to the Center for information security training and each year in which there was
retention must be clearly inventoried user is supplied with a unique and correspondence.
and marked with a destroy-by date. The strong user-id and password. The user
destroy date is determined by the record roles are restrictive and based on the SYSTEM MANAGER(S) AND ADDRESS:

type after it is closed (e.g., loss to the principle of least privilege allowing for The Community Development
government retention is 7 years after adequate performance of job functions Manager at the Local Office; the Rural
case is closed). The retention schedule and access to information is based on a Development Manager at the Area
can be found at RD 2033–A and the need to know. Office; and the State Director at the
Operational Records Manual. For Due to the financial nature of the State Office; the Deputy Chief Financial
further information contact the RD systems covered by this notice, the Officer in St. Louis, MO; and the
Records Officer. If closed/inactive files systems also adhere to the security respective Administrators in the
are retained at the local office until such controls identified in the Federal National Office at the following
time as they are eligible for destruction, Information Security Control Audit addresses: Administrator, Rural Housing
Manual (FISCAM). The mandatory Service, USDA, 1400 Independence
mstockstill on DSK3G9T082PROD with NOTICES

they are stored in a secured location.
requirements of FIPS 199 and FIPS 200, Avenue SW., Room 5014, South
RETRIEVABILITY: Minimum Security Requirements for Building, Stop 0701, Washington, DC
Records are indexed by name, Federal Information and Information 20250–0701; Administrator, Rural
identification number and type of loan Systems, support the Federal Business-Cooperative Service, USDA,
or grant. Data may be retrieved from the Information Security Management Act 1400 Independence Avenue SW., Room
paper records or the electronic storage. (FISMA) and the FISCAM supports the 5045, South Building, Stop 3201,
All Rural Development state and field mandated Office of Management and Washington, DC 20250–3201;

VerDate Sep<11>2014 22:09 Apr 27, 2016 Jkt 238001 PO 00000 Frm 00005 Fmt 4703 Sfmt 4703 E:\FR\FM\28APN1.SGM 28APN1

Document Created: 2016-04-28 01:05:49
Document Modified: 2016-04-28 01:05:49

Category		Regulatory Information
Collection		Federal Register
sudoc Class		AE 2.7: GS 4.107: AE 2.106:
Publisher		Office of the Federal Register, National Archives and Records Administration
Section		Notices
Action		Notice of proposed revision to an existing Privacy Act System of Records.
Dates		Comments must be received no later than June 7, 2016. This system of records will be effective June 7, 2016 unless Rural Development receives comments, which would result in a contrary determination.
Contact		For general questions, please contact: Diego Maldonado, RD Privacy Act Officer, 4300 Goodfellow Boulevard, Room 52C13, St. Louis, MO 63120-0011; 314-457-6279.
FR Citation		81 FR 25369

81 FR 25369 - Privacy Act of 1974; System of Records; USDA/Rural Development-1 Current or Prospective Producers or Landowners, Applicants, Borrowers, Grantees, Tenants, and Other Participants in RD Programs

DEPARTMENT OF AGRICULTURERural Housing ServiceRural Business-Cooperative ServiceRural Utilities Service

Federal Register Volume 81, Issue 82 (April 28, 2016)

DEPARTMENT OF AGRICULTURE
Rural Housing Service
Rural Business-Cooperative Service
Rural Utilities Service