Privacy Act of 1974; System of Records

DEPARTMENT OF DEFENSE

Department of the Army

Privacy Act of 1974; System of Records

AGENCY: Department of the Army, DoD.

ACTION: Notice to alter a system of records.

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SUMMARY: The Department of the Army is altering a system of records

notice in its existing inventory of record systems subject to the

Privacy Act of 1974, (5 U.S.C. 552a), as amended.

The routine use being added to AAFES 0702.34, entitled Accounts

Receivable Files, allows disclosure of information to employers for the

purpose of collecting debts owed to the United States. The routine use

reads as follows: `To any employer (person or entity) that employs the

services of others and that pays their wages or salaries, where the

employee owes a delinquent nontax debt to the United States. The term

employer includes, but is not limited to, State and local governments,

but does not include any agency of the Federal Government.

DATES: This proposed action will be effective without further notice on

December 6, 1999, unless comments are received which result in a

contrary determination.

ADDRESSES: Privacy Act Officer, Records Management Program Division,

U.S. Total Army Personnel Command, ATTN: TAPC-PDR-P, Stop C55, Ft.

Belvoir, VA 22060-5576.

FOR FURTHER INFORMATION CONTACT: Ms. Janice Thornton at (703) 806-4390

or DSN 656-4390.

SUPPLEMENTARY INFORMATION: The Department of the Army systems of

records notices subject to the privacy Act of 1974, (5 U.S.C. 552a) as

amended, have been published in the Federal Register and are available

from the address above.

The proposed system report, as required by 5 U.S.C. 552a(r) of the

Privacy Act of 1974, as amended, was submitted on October 19, 1999, to

the House Committee on Government Reform, the Senate Committee on

Governmental Affairs, and the Office of Management and Budget (OMB)

pursuant to paragraph 4c of Appendix I to OMB Circular No. A-130,

`Federal Agency Responsibilities for Maintaining Records About

Individuals,' dated February 8, 1996 (February 20, 1996, 61 FR 6427).

Dated: October 27, 1999.

L.M. Bynum,

Alternate OSD Federal Register Liaison Officer, Department of Defense.

AAFES 0702.34

SYSTEM NAME:

Accounts Receivable Files (August 20, 1997, 62 FR 44263).

CHANGES:

* * * * *

AUTHORITY FOR MAINTENANCE OF THE SYSTEM:

Delete entry and replace with `10 U.S.C. 3013, Secretary of the

Army and 10 U.S.C. 8013, Secretary of the Air Force; Federal Claims

Collection Act of 1966 (Pub. L. 89-508, as amended); Debt Collection

Act of 1982 (Pub. L. 97-365), as amended by the Debt Collection

Improvement Act of 1996 Pub. L. 104-134, section 31001); AR 60-20/AFR

147-14, Army and Air Force Exchange Service Operating Policies; and

E.O. 9397 (SSN); 31 CFR 285.11, Administrative Wage Garnishment; DoD

7000.14-4, DoD Financial Management Regulation.

* * * * *

ROUTINE USES OF RECORDS MAINTAINED IN THE SYSTEM, INCLUDING CATEGORIES

OF USERS AND THE PURPOSES OF SUCH USES;

Add a new paragraph `To any employer (person or entity) that

employs the services of others and that

[[Page 60179]]

pays their wages or salaries, where the employee owes a delinquent

nontax debt to the United States. The term employer includes, but is

not limited to, State and local governments, but does not include any

agency of the Federal Government'.

* * * * *

AAFES 0702.34

SYSTEM NAME:

Accounts Receivable Files.

SYSTEM LOCATION:

Headquarters, Army and Air Force Exchange Service, 3911 S. Walton

Walker Boulevard, Dallas, TX 75236-1598;

Army and Air Force Exchange Service-Europe, Europe Accounting

Support Office, CMR 429, APO AE 09054;

Army and Air Force Exchange Service-Pacific Rim, Accounting Support

Center, Unit 35163, APO AP 96378-5163; and

Post and base exchanges within the Army and Air Force Exchange

Service (AAFES) system. Official mailing addresses are published as an

appendix to the Army's compilation of systems of records notices.

CATEGORIES OF INDIVIDUALS COVERED BY THE SYSTEM:

Army and Air Force Exchange Service customers (military, retirees,

civilian, and civilian dependents).

CATEGORIES OF RECORDS IN THE SYSTEM:

Case files relating to debts owed by individuals, including

dishonored checks, deferred payment plans, home layaway, salary/travel

advances, pecuniary liability claims and credit cards. These files

include all correspondence to the debtor/his or her commander, notices

from banks concerning indebtedness, originals or copies of returned

checks, envelopes showing attempts to contact the debtor, payment

documentation, pay adjustment authorizations, deferred payment plan

applications, charges and statements or accounts, and home layaway

cards.

AUTHORITY FOR MAINTENANCE OF THE SYSTEM:

10 U.S.C. 3013, Secretary of the Army and 10 U.S.C. 8013, Secretary

of the Air Force; Federal Claims Collection Act of 1966 (Pub. L. 89-

508, as amended); Debt Collection Act of 1982 (Pub. L. 97-365), as

amended by the Debt Collection Improvement Act of 1996 (Pub. L. 104-

134, section 31001); AR 60-20/AFR 147-14, Army and Air Force Exchange

Service Operating Policies; and E.O. 9397 (SSN); 31 CFR 285.11,

Administrative Wage Garnishment; DoD 700.14-R, DoD Financial Management

Regulation.

PURPOSES(S):

To process, monitor, and post audit accounts receivable, to

administer the Federal Claims Collection Act, and to answer inquiries

pertaining thereto.

To collect indebtedness.

ROUTINE USES OF RECORDS MAINTAINED IN THE SYSTEM, INCLUDING CATEGORIES

OF USERS AND THE PURPOSES OF SUCH USES:

In addition to those disclosures generally permitted under 5 U.S.C.

552a(b) of the Privacy Act, these records or information contained

therein may specifically be disclosed outside the DoD as a routine use

pursuant to 5 U.S.C. 552a(b)(3) as follows:

To the U.S. Department of Justice/U.S. Attorneys for legal action

and/or final disposition of the debt claim.

To the Internal Revenue Service (IRS) to obtain locator status for

delinquent accounts receivables (controls exist to preclude

redisclosure of solicited IRS address data; and/or to report write-off

amounts as taxable income as pertains to amounts compromised and

accounts barred from litigation due to age).

To private collection agencies for collection action when the

internal collection efforts have been exhausted.

To the Department of the Treasury, Financial Management Service,

for the purpose of collecting delinquent debts owed to the U.S.

Government via administrative offset.

To any employer (person or entity) that employs the services of

others and that pays their wages or salaries, where the employee owes a

delinquent nontax debt to the United States. The term employer

includes, but is not limited to, State and local governments, but does

not include any agency of the Federal Government.

The `Blanket Routine Uses' that appear at the beginning of the

Army's compilation of systems of records notices apply to this system.

DISCLOSURE TO CONSUMER REPORTING AGENCIES:

Disclosures pursuant to 5 U.S.C. 552a(b)(12) may be made from this

system to `consumer reporting agencies' as defined in the Fair Credit

Reporting Act (14 U.S.C. 1681a(f)) or the Federal Claims Collection Act

of 1966 (31 U.S.C. 3701(a)(3)). The purpose of this disclosure is to

aid in the collection of outstanding debts owed to the Federal

government; typically to provide an incentive for debtors to repay

delinquent Federal government debts by making these debts part of their

credit records.

The disclosure is limited to information necessary to establish the

identity of the individual, including name, address, and taxpayer

identification number (Social Security Number); the amount, status, and

history of the claim; and the agency or program under which the claim

arose for the sole purpose of allowing the consumer reporting agency to

prepare a commercial credit report.

POLICIES AND PRACTICES FOR STORING, RETRIEVING, ACCESSING, RETAINING,

AND DISPOSING OF RECORDS IN THE SYSTEM:

STORAGE:

Paper and automated records.

RETRIEVABILITY:

Retrieved by customer's surname or Social Security Number.

SAFEGUARDS:

Records are maintained in areas accessible only by authorized

personnel within AAFES-FA-O/R.

RETENTION AND DISPOSAL:

Records are retained in current files until close of fiscal year in

which receivable is cleared. At year end, files are stored for 10 years

and subsequently destroyed by shredding.

SYSTEM MANAGER(S) AND ADDRESS:

Commander, Army and Air Force Exchange Service, 3911 S. Walton

Walker Boulevard, Dallas, TX 75236-1598.

NOTIFICATION PROCEDURE:

Individuals seeking to determine whether this system of records

contains information about themselves should address written inquiries

to the Commander, Army and Air Force Exchange Service, ATTN: Chief,

Accounts Receivable Division, Comptroller Division, 3911 S. Walton

Walker Boulevard, Dallas, TX 75236-1598.

Individuals should provide full name, Social Security Number, or

other acceptable identifying information that will facilitate locating

the records.

RECORD ACCESS PROCEDURES:

Individuals seeking access to information about themselves

contained in this system of records should address written inquiries to

the Commander, Army and Air Force Exchange Service, ATTN: Chief,

Accounts Receivable Division, Comptroller Division, 3911 S. Walton

Walker Boulevard, Dallas, TX 75236-1598.

Individuals should provide full name, Social Security Number, or

other acceptable identifying information that will facilitate locating

the records.

[[Page 60180]]

CONTESTING RECORD PROCEDURES:

The Army's rules for accessing records and for contesting contents

and appealing initial agency determinations are published in Army

Regulation 340-21; 32 CFR part 505; or may be obtained from the system

manager.

RECORD SOURCE CATEGORIES:

From the customer and from correspondence between AAFES and

Vendors.

EXEMPTIONS CLAIMED FOR THE SYSTEM:

None.

[FR Doc. 99-28675 Filed 11-3-99; 8:45 am]

BILLING CODE 5001-10-M