[Federal Register Volume 84, Number 209 (Tuesday, October 29, 2019)]
[Notices]
[Pages 57856-57863]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2019-23581]
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DEPARTMENT OF EDUCATION
[Docket ID ED-2017-FSA-0105]
Privacy Act of 1974; System of Records
AGENCY: Federal Student Aid, Department of Education.
ACTION: Notice of a modified system of records.
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SUMMARY: In accordance with the Privacy Act of 1974, as amended
(Privacy Act), the U.S. Department of Education (Department) modifies
the system of records entitled ``Federal Student Aid Application File''
(18-11-01).
The Federal Student Aid Application File system of records contains
information provided by applicants for title IV of the Higher Education
Act of 1965, as amended, (HEA) program assistance, which is collected
from the Free Application for Federal Student Aid (FAFSA). Among other
purposes described in this notice, the information collected is
maintained in order to: Determine an applicant's eligibility for the
Federal student financial assistance programs authorized by title IV of
the HEA; make a loan, grant, or scholarship; and verify the identity of
the applicant.
DATES: Submit your comments on or before November 29, 2019.
This modified system of records will become applicable upon
publication in the Federal Register on October 29, 2019. Modified
routine uses (1)(a), (1)(e), (1)(m), (3), (5), (8), (11), (12), (14)
and new routine uses (15) and (16) listed under ``ROUTINE USES OF
RECORDS MAINTAINED IN THE SYSTEM, INCLUDING CATEGORIES OF USERS AND
PURPOSES OF SUCH USES'' will become applicable on November 29, 2019,
unless the modified system of records notice needs to be changed as a
result of public comment. The Department will publish any significant
changes resulting from public comment.
ADDRESSES: Submit your comments through the Federal eRulemaking Portal
or via postal mail, commercial delivery, or hand delivery. We will not
accept comments submitted by fax or by email or those submitted after
the comment period. To ensure that we do not receive duplicate copies,
please submit your comments only once. In addition, please include the
Docket ID at the top of your comments.
Federal eRulemaking Portal: Go to www.regulations.gov to
submit your comments electronically. Information on using
Regulations.gov, including instructions for accessing agency documents,
submitting comments, and viewing the docket, is available on the site
under the ``help'' tab.
Postal Mail, Commercial Delivery, or Hand Delivery: If you
mail or deliver your comments about this modified system of records,
address them to: Director, Systems Integration Division, Systems
Operations and Aid Delivery Management Services, Federal Student Aid,
U.S. Department of Education, 830 First Street NE, Room 41F1, Union
Center Plaza (UCP), Washington, DC 20202-5144.
Privacy Note: The Department's policy is to make all comments
received from
[[Page 57857]]
members of the public available for public viewing in their entirety
on the Federal eRulemaking Portal at www.regulations.gov. Therefore,
commenters should be careful to include in their comments only
information that they wish to make publicly available.
Assistance to Individuals With Disabilities in Reviewing the
Rulemaking Record: On request, we will provide an appropriate
accommodation or auxiliary aid to an individual with a disability who
needs assistance to review the comments or other documents in the
public rulemaking record for this notice. If you want to schedule an
appointment for this type of accommodation or auxiliary aid, please
contact the person listed under FOR FURTHER INFORMATION CONTACT.
FOR FURTHER INFORMATION CONTACT: Director Lisa DiCarlo, Application
Processing Division, Customer Experience Group, Federal Student Aid,
U.S. Department of Education, 500 West Madison Street, Room 1432/14th
Floor, Chicago, IL 60616. Telephone: (312) 730-1600.
If you use a telecommunications device for the deaf (TDD) or text
telephone (TTY), you may call the Federal Relay Service (FRS), at 1-
800-877-8339.
SUPPLEMENTARY INFORMATION: The Department is updating the section of
the notice entitled ``SECURITY CLASSIFICATION'' by changing the
classification from ``none'' to ``unclassified.'' The Department is
updating the section of the notice entitled ``SYSTEM LOCATION'' by
revising two locations and adding five locations. The Department is
updating the address of the ``SYSTEM MANAGER(S)'' to reflect a change
in location. The Department is updating the section of the notice
entitled ``AUTHORITY FOR MAINTENANCE OF THE SYSTEM'', to include
additional authority to collect Social Security numbers (SSNs) for use
in this system.
The Department is updating the section of the notice entitled
``CATEGORIES OF INDIVIDUALS COVERED BY THE SYSTEM'' to remove the
reference to secondary school students about whom secondary schools,
local educational agencies, and other local and State agencies had
previously submitted information to the Department in order for the
Department to provide these entities with the students' FAFSA
completion filing status.
The Department is updating the section of the notice entitled
``CATEGORIES OF RECORDS IN THE SYSTEM'' to delete the Institutional
Student Information Record (ISIR) Analysis (IA) Tools functionality and
a description of the records post-secondary institutions were able to
create with the IA Tools, because the IA Tools have been discontinued.
The Department is also adding the Person Authentication System (PAS) to
the Department systems that provide applicant information to this
system of records.
The Department is updating the section of the notice entitled
``RECORD SOURCE CATEGORIES'' to reflect changes due to the new mobile
application. ``MyStudentAid'' is a mobile application used by students
and their parents to submit their post-secondary applications for title
IV student financial aid grants and loans as part of the FAFSA process.
This is an alternative to completing the FAFSA application on paper or
on the FAFSA.gov website. This application populates the Central
Processing System (CPS) with the applicant's information. The
Department is also modifying this section to clarify that information
in the system may also be obtained from other persons or entities from
which data is obtained under routine uses set forth in the notice.
The Department is substantially revising the section of the notice
entitled ``ROUTINE USES OF RECORDS MAINTAINED IN THE SYSTEM, INCLUDING
CATEGORIES OF USERS AND PURPOSES OF SUCH USES'' to reflect changes in
program operations. The Department is modifying routine use (1)
entitled ``Program Disclosures'' to remove the purposes of verifying an
applicant's spousal information and informing an applicant's spouse of
information about the spouse from routine use disclosures (a) and (m).
In routine use (1)(a) the change clarifies that the Department will not
use this routine use to disclose information from this system of
records for the purpose of verifying the identity of the applicant's
spouse. In routine use (1)(m) the change clarifies that the Department
will not use this routine use to disclose information from this system
of records to an applicant's spouse for the purpose of informing the
spouse of information about the spouse in an application for title IV,
HEA funds.
The Department is modifying routine use (1)(e) to remove language
indicating that the Department may disclose records to financial
institutions participating in the Federal Family Education Loan (FFEL)
Programs in order to facilitate assessments of title IV, HEA program
compliance since new loans were not originated under FFEL after 2010.
The Department is deleting routine use (1)(p) because the
Department is no longer disclosing the FAFSA filing status of a student
to a Local Educational Agency (LEA), secondary school where the student
is or was enrolled, or other State, local, or private entity designated
by the Secretary, but rather is permitting State agencies to re-
disclose the FAFSA filing status of a student under specified
conditions.
The Department is deleting the former routine use (2) entitled
``Disclosure for Use by Other Law Enforcement Agencies'' because the
component of FSA that maintains the system is not a law enforcement
agency and, therefore, is renumbering the former routine use (3)
entitled ``Enforcement Disclosure'' to the current routine use (2). The
subsequent 12 routine use disclosures are, therefore, renumbered by a
reduction factor of one in the current notice.
The Department is modifying routine use (3) entitled ``Litigation
and Alternative Dispute Resolution (ADR) Disclosure'' to insert the
word ``person'' in place of the word ``individual'' in subsection (c)
in order to reduce public confusion that may have resulted from the
Department's prior use of the word ``individual,'' given that the word
``individual'' is defined in the Privacy Act and the Department did not
intend to incorporate the Privacy Act definition of this word.
The Department is modifying routine use (5) entitled ``Contracting
Disclosure'' and routine use (11) entitled ``Research Disclosure'' to
remove language that referenced safeguards required under the Privacy
Act because this language was not clear and also limited the Department
to making disclosures to contractors acting within the scope of
subsection (m) of the Privacy Act. The Department's revised language
clarifies that contractors and researchers to whom disclosures are made
under these routine uses are required to agree to safeguards to protect
the security and confidentiality of the records in the system and
permits the Department to disclose records to contractors beyond the
scope of subsection (m) of the Privacy Act. The Department also is
modifying routine use (5) to clarify that an agreement with the
contractor will be reached as part of the contract, rather than before
entering into the contract.
The Department is modifying routine use (8) entitled ``Employee
Grievance, Complaint, or Conduct Disclosure'' to include records of
present or former employees and to allow disclosure to any party to a
grievance, complaint, or action and to the party's counsel. These
[[Page 57858]]
changes standardize the language in this routine use with the language
used in the Department's other systems of records notices.
The Department is updating routine use (12) formerly entitled
``Disclosure to the OMB for Federal Credit Reform Act (CRA) Support''
to add the Congressional Budget Office to the entities which may be
provided with access to the Department's records relating to the
development of more accurate data on historical performance of direct
loan and loan guarantee programs and to improve estimates of costs of
these programs.
Pursuant to the requirements in Office of Management and Budget
(OMB) M-17-12, the Department is modifying routine use (14) entitled
``Disclosure in the Course of Responding to a Breach of Data'' and
adding routine use (15) entitled ``Disclosure in Assisting another
Agency in Responding to a Breach of Data.''
The Department is adding routine use (16) entitled ``Disclosure of
Information to State and Federal Agencies'' to permit disclosure of
records for the purposes of identifying, preventing, or recouping
improper payments, as authorized pursuant to the Improper Payments
Elimination and Recovery Improvement Act of 2012, Public Law 112-248,
as amended, and to permit the Department to comply with the
requirements of 31 U.S.C. 3720B.
The Department is updating the section of the notice entitled
``POLICIES AND PRACTICES FOR STORAGE OF RECORDS'' to more fully address
the medium in which the records are stored in this system and to make
other updates, including a change to the record storage location for
paper applications.
The Department is updating the section of the notice entitled
``POLICIES AND PRACTICES FOR RETENTION AND DISPOSAL OF RECORDS'' to
explain that the applicable Department records schedule is being
amended, pending approval by the National Archives and Records
Administration (NARA).
The Department is revising the section of the notice entitled
``ADMINISTRATIVE, TECHNICAL, AND PHYSICAL SAFEGUARDS'' to update the
computer system safeguards used to protect the system from tampering.
The Department is modifying the sections of the notice entitled
``RECORD ACCESS PROCEDURES'', ``CONTESTING RECORD PROCEDURES'', and
``NOTIFICATION PROCEDURES'' to reflect the current process of
requesting access, contesting, and notification of records.
Finally the Department is adding a new section entitled ``HISTORY''
to the notice to follow the required template in OMB Circular No. A-
108.
Accessible Format: Individuals with disabilities can obtain this
document in an accessible format (e.g., braille, large print,
audiotape, or compact disc) on request to the person listed under FOR
FURTHER INFORMATION CONTACT.
Electronic Access to This Document: The official version of this
document is the document published in the Federal Register. You may
access the official edition of the Federal Register and the Code of
Federal Regulations at www.govinfo.gov. At this site you can view this
document, as well as all other documents of this Department published
in the Federal Register, in text or Portable Document Format (PDF). To
use PDF you must have Adobe Acrobat Reader, which is available free at
the site.
You may also access documents of the Department published in the
Federal Register by using the article search feature at
www.federalregister.gov. Specifically, through the advanced search
feature at this site, you can limit your search to documents published
by the Department.
Dated: October 24, 2019.
Mark A. Brown,
Chief Operating Officer, Federal Student Aid.
For the reasons discussed in the preamble, the Chief Operating
Officer, Federal Student Aid of the U.S. Department of Education
(Department) publishes a notice of a modified system of records to read
as follows:
SYSTEM NAME AND NUMBER:
Federal Student Aid Application File (18-11-01).
SECURITY CLASSIFICATION:
Unclassified.
SYSTEM LOCATION:
Conduent 1084 South Laurel Road, Building 3, London, KY 40744. This
site is the location where paper Free Application for Federal Student
Aid (FAFSA) applications and related paper documents are stored until
sent to the Federal Records Center for long-term storage and disposal.
General Dynamics Information Technology (GDIT), 2450 Oakdale
Boulevard, Coralville, IA 52241. This location hosts CPS/Student Aid
internet Gateway (SAIG) help desk agents and Participation Management
staff who provide technical assistance to postsecondary title IV
institutions.
GDIT Image and Data Capture (IDC) Center, 1084 South Laurel Road,
London, KY 40744. The IDC scans paper financial aid documents and
correspondence, key-enters the data, and electronically transmits the
data and related images to the CPS for processing.
GDIT Data Center, 9651 Hornbaker Road, Manassas, VA 20109. This
site hosts some of the hardware and software components of the CPS
system.
GDIT Customer Interaction Center (CPS/SAIG), 3833 Greenway Drive,
Lawrence, KS 55046. CPS/SAIG is the help desk that provides customer
service to postsecondary title IV institutions using the CPS and SAIG
websites.
NGDC, 250 Burlington Drive, Clarksville, VA 23927. NGDC hosts the
infrastructure that supports CPS applications.
Freedom Graphic Systems (FGS), 780 McClure Road, Aurora, IL 60502.
This facility handles print and mail operations.
SYSTEM MANAGER(S):
Director, Application Processing Division, Customer Experience
Group, Federal Student Aid, U.S. Department of Education, 500 West
Madison Street, Room 1432/14th Floor, Chicago, IL 60616.
AUTHORITY FOR MAINTENANCE OF THE SYSTEM:
Title IV of the Higher Education Act of 1965, as amended (HEA) (20
U.S.C. 1070 et seq.). The collection of Social Security numbers (SSNs)
of users of this system is also authorized by 31 U.S.C. 7701 and
Executive Order 9397, as amended by Executive Order 13478 (November 18,
2008).
PURPOSE(S) OF THE SYSTEM:
The information contained in this system is maintained for the
purposes of: (1) Assisting with the determination, correction,
processing, tracking, and reporting of program eligibility and benefits
for the Federal student financial assistance programs authorized by
title IV of the HEA; (2) making a loan, grant, or scholarship; (3)
verifying the identity of the applicant, and the parent(s) of a
dependent applicant, and the accuracy of the information in this
system; (4) reporting the results of the need analysis, Federal Pell
Grant eligibility determination, and the results of duly authorized
matching programs between the Department and other Federal agencies to
applicants, postsecondary institutions, third-party servicers, State
agencies designated by the applicant, and other Departmental and
investigative components for use in
[[Page 57859]]
operating and evaluating the title IV, HEA programs and in the
imposition of criminal, civil, or administrative sanctions; (5)
enforcing the terms and conditions of a title IV, HEA loan or grant;
(6) servicing and collecting a delinquent title IV, HEA loan or grant;
(7) initiating enforcement action against an individual involved in
program fraud, abuse, or noncompliance; (8) locating a debtor; (9)
maintaining a record of the data supplied by those requesting title IV,
HEA program assistance; (10) ensuring compliance with and enforcing
title IV, HEA programmatic requirements; (11) acting as a repository
and source for information necessary to fulfill the requirements of
title IV of the HEA; (12) evaluating title IV, HEA program
effectiveness; (13) enabling institutions of higher education (IHEs)
designated by the applicant to review and analyze the financial aid
data of their applicant population; (14) assisting students with the
completion of the application for the Federal student financial
assistance programs authorized by title IV of the HEA; (15) determining
the eligibility of applicants for the award of State postsecondary
education assistance and for the award of aid by eligible IHE or other
entities designated by the Secretary and administering those awards;
and (16) promoting and encouraging application for title IV, HEA
program assistance, State assistance, and aid awarded by the IHE or
other entities designated by the Secretary.
CATEGORIES OF INDIVIDUALS COVERED BY THE SYSTEM:
The Federal Student Aid Application File contains records on
students who apply for Federal student financial assistance programs
authorized by title IV of the HEA. This system also contains
information on the parent(s) of a dependent applicant and the spouse of
a married applicant.
CATEGORIES OF RECORDS IN THE SYSTEM:
This system of records contains information provided by applicants
for title IV, HEA program assistance, on the FAFSA, including, but not
limited to, the applicant's name, address, SSN, date of birth,
telephone number, driver's license number, email address, citizenship
status, marital status, legal residence, status as a veteran,
educational status, and financial data. This system also contains
information provided about the parent(s) of a dependent applicant,
including, but not limited to, the parent's highest level of schooling
completed, marital status, SSN, last name and first initial, date of
birth, email address, number in household supported by the parent, and
income and asset information. For an applicant who is married, this
system of records also contains spousal income and asset information.
The system determines an applicant's expected family contribution
(EFC). The EFC is used by IHEs to determine the student's eligibility
for Federal and institutional program assistance, and by States to
determine the student's eligibility for State grants. The Department
notifies the applicant of the results of his or her application via the
Student Aid Report (SAR). The Department provides the IHEs identified
on the applicant's FAFSA with the Institutional Student Information
Record (ISIR), which indicates whether there are discrepant or
insufficient data, school adjustments, or CPS assumptions that affect
processing of the FAFSA. Other information in the system includes, but
is not limited to: Secondary EFC (an EFC calculated from the full EFC
formula and is printed in the financial aid administrator's (FAA)
Information section of the ISIR), dependency status, Federal Pell Grant
Eligibility, duplicate SSN (an indicator that is set to alert ISIR
recipients that two applications were processed with the same SSN),
selection for verification, Simplified Needs Test (SNT) or Automatic
Zero EFC (used for extremely low family income), CPS processing
comments, reject codes (explanation for applicant's FAFSA not computing
EFC), assumptions made with regard to the student's data due to
incomplete or inconsistent FAFSA data, FAA adjustments including
dependency status overrides, and CPS record processing information
(application receipt date, transaction number, transaction process
date, SAR Serial Number, Compute Number, Data Release Number (DRN; a
four-digit number assigned to each application), National Student Loan
Database System (NSLDS) match results, a bar code, and transaction
source).
Information from other Department systems, such as NSLDS, the
Common Origination and Disbursement (COD) System, and the SAIG
Participation Management System, is added to this system of records.
The Appendix contains a more detailed description of the data added to
this system of records as a result of the exchanges of data with other
Department systems and the Department's matching programs with other
Federal agencies.
RECORD SOURCE CATEGORIES:
Information in this system is obtained from applicants and the
parents of dependent applicants for title IV, HEA program assistance,
on the paper FAFSA, FAFSA on the Web, FAFSA by phone, mobile
application, and the authorized employees or representatives of
authorized entities as follows: Postsecondary educational institutions,
institutional third-party servicers, Federal Family Education Loan
(FFEL) Program lenders, FFEL Program guaranty agencies, Federal loan
servicers, State grant agencies, other federal agencies, research
agencies, and from other persons or entities from which data is
obtained under the routine uses set forth below.
Postsecondary institutions designated by the applicant or third-
party servicers designated by the postsecondary institution may correct
the records in this system as a result of documentation provided by the
applicant or by a dependent applicant's parents, such as Federal income
return(s) (Internal Revenue Service (IRS) Form 1040, IRS Form 1040A, or
IRS Form 1040EZ), Social Security card(s), and Department of Homeland
Security I-551 Resident Alien cards.
This system contains information added during CPS processing and
information received from other Department systems, including the
NSLDS, the COD System, and the SAIG Participation Management System.
For more information about the information received from these other
Department systems, see the Appendix.
The results of matching programs with the following Federal
agencies are also added to the student's record during CPS processing:
The Social Security Administration (SSA), the Department of Veterans
Affairs (VA), the Selective Service System (SSS), the Department of
Homeland Security (DHS), the Department of Justice (DOJ), and the
Department of Defense (DoD). For more information about the information
received from these matching programs, see the Appendix.
Information in this system also may be obtained from other persons
or entities from which data is obtained under routine uses set forth
below.
ROUTINE USES OF RECORDS MAINTAINED IN THE SYSTEM, INCLUDING CATEGORIES
OF USES AND PURPOSES OF SUCH USES:
The Department may disclose information contained in a record in
this system of records under the routine uses listed in this system of
records without the consent of the individual if the disclosure is
compatible with the purposes for which the record was collected. These
disclosures may be made on a case-by-case basis or pursuant to a
matching agreement that
[[Page 57860]]
meets the requirements of the Privacy Act of 1974, as amended (Privacy
Act). Section 483(a)(3)(E) of the HEA allows information collected via
the electronic version of the FAFSA to be used only for the
application, award, and administration of aid awarded under title IV of
the HEA, by States, by eligible institutions, or by such entities as
the Secretary may designate.
(1) Program Disclosures.
(a) To verify the identity of the applicant and the parent(s) of a
dependent applicant; to determine the accuracy of the information
contained in the record; to support compliance with title IV, HEA
statutory and regulatory requirements; and to assist with the
determination, correction, processing, tracking, and reporting of
program eligibility and benefits, the Department may disclose records
to guaranty agencies and financial institutions participating in the
FFEL Programs, IHEs, third party servicers, and Federal and State
agencies;
(b) To provide an applicant's financial aid history, including
information about the applicant's title IV, HEA loan defaults and title
IV, HEA grant program overpayments, the Department may disclose records
to IHEs, guaranty and State agencies, financial institutions
participating in the FFEL Programs, and third party servicers;
(c) To facilitate receiving and correcting application data,
processing Federal Pell Grants and Direct Loans, and reporting Federal
Perkins Loan Program expenditures to the Department's processing and
reporting systems, the Department may disclose records to IHEs, State
agencies, and third party servicers;
(d) To assist loan holders with the collection and servicing of
title IV, HEA loans, to support pre-claims/supplemental pre-claims
assistance, to assist in locating borrowers, and to assist in locating
students who owe grant overpayments, the Department may disclose
records to guaranty agencies and financial institutions participating
in the FFEL Programs, IHEs, third-party servicers, and Federal, State,
and local agencies;
(e) To facilitate assessments of title IV, HEA program compliance,
the Department may disclose records to guaranty agencies and IHEs,
third-party servicers, and Federal, State, and local agencies;
(f) To assist in locating holders of loan(s), the Department may
disclose records to student borrowers, guaranty agencies and financial
institutions participating in the FFEL Programs, IHEs, third-party
servicers, and Federal, State, and local agencies;
(g) To assist in assessing the administration of title IV, HEA
program funds by guaranty agencies, financial institutions, IHEs, and
third-party servicers, the Department may disclose records to Federal
and State agencies;
(h) To enforce the terms of a loan or grant or to assist in the
collection of loan or grant overpayments, the Department may disclose
records to guaranty agencies and financial institutions participating
in the FFEL programs, IHEs, third-party servicers, and Federal, State,
and local agencies;
(i) To assist borrowers in repayment, the Department may disclose
records to guaranty agencies and financial institutions participating
in the FFEL program, IHEs, third-party servicers, and Federal, State,
and local agencies;
(j) To initiate legal action against an individual involved in an
illegal or unauthorized title IV, HEA program expenditure or activity,
the Department may disclose records to guaranty agencies and financial
institutions participating in the FFEL programs, IHEs, third-party
servicers, and Federal, State, and local agencies;
(k) To initiate or support a limitation, suspension, or termination
action, an emergency action, or a debarment or suspension action, the
Department may disclose records to guaranty agencies and financial
institutions participating in the FFEL programs, IHEs, third-party
servicers, and Federal, State, and local agencies;
(l) To investigate complaints, update files, and correct errors,
the Department may disclose records to guaranty agencies and financial
institutions participating in the FFEL programs, IHEs, third-party
servicers, and Federal, State, and local agencies;
(m) To inform the parent(s) of a dependent applicant of information
about the parent(s) in an application for title IV, HEA funds, the
Department may disclose records to the parent(s);
(n) To disclose to the parent(s) of a dependent applicant applying
for a PLUS loan (to be used on behalf of a student), to identify the
student as the correct beneficiary of the PLUS loan funds, and to allow
the processing of the PLUS loan application and promissory note, the
Department may disclose records to the parent(s) applying for the PLUS
loan;
(o) To expedite the student application process, the Department may
disclose information from this system, upon request by a third party,
provided that the third party provides the Department with the
applicant's first and last name, SSN, date of birth, and DRN;
(p) To enable an applicant, should the applicant wish to do so, to
obtain information from other Federal agencies' records that will
assist the applicant in completing the FAFSA online, the Department may
disclose information from this system of records to other Federal
agencies, such as the IRS; and
(q) To determine an applicant's eligibility for the award of State
postsecondary education assistance and for the award of aid by eligible
IHEs or other entities designated by the Secretary and to administer
those awards, the Department may disclose information from this system
of records to State agencies, eligible IHEs, and other entities
designated by the Secretary.
(2) Enforcement Disclosure. If information in the system of
records, either alone or in connection with other information,
indicates a violation or potential violation of any applicable
statutory, regulatory, or legally binding requirement, the Department
may disclose records to an entity charged with investigating or
prosecuting those violations or potential violations.
(3) Litigation and Alternative Dispute Resolution (ADR) Disclosure.
(a) Introduction. In the event that one of the parties listed in
sub-paragraphs (i) through (v) is involved in litigation or ADR, or has
an interest in litigation or ADR, the Department may disclose certain
records to the parties described in paragraphs (b), (c), and (d) of
this routine use under the conditions specified in those paragraphs:
(i) The Department or any of its components;
(ii) Any Department employee in his or her official capacity;
(iii) Any Department employee in his or her individual capacity
where the Department of Justice (DOJ) agrees to or has been requested
to provide or arrange for representation of the employee;
(iv) Any Department employee in his or her individual capacity
where the Department has agreed to represent the employee; and
(v) The United States, where the Department determines that the
litigation is likely to affect the Department or any of its components.
(b) Disclosure to the DOJ. If the Department determines that
disclosure of certain records to the DOJ is relevant and necessary to
litigation or ADR, the Department may disclose those records as a
routine use to the DOJ.
(c) Adjudicative Disclosure. If the Department determines that
disclosure of certain records to an adjudicative body before which the
Department is authorized to appear or to a person or
[[Page 57861]]
entity designated by the Department or otherwise empowered to resolve
or mediate disputes is relevant and necessary to litigation or ADR, the
Department may disclose those records as a routine use to the
adjudicative body, person, or entity.
(d) Disclosure to Parties, Counsel, Representatives, and Witnesses.
If the Department determines that disclosure of certain records is
relevant and necessary to litigation or ADR, the Department may
disclose those records as a routine use to the party, counsel,
representative, or witness.
(4) Freedom of Information Act (FOIA) and Privacy Act Advice
Disclosure. The Department may disclose records to the DOJ or to the
Office of Management and Budget (OMB) if the Department determines that
disclosure would help in determining whether records are required to be
disclosed under the FOIA or the Privacy Act.
(5) Contract Disclosure. If the Department contracts with an entity
to perform any function that requires disclosing records to the
contractor's employees, the Department may disclose the records to
those employees. As part of such a contract, the Department shall
require the contractor to agree to establish and maintain safeguards to
protect the security and confidentiality of the records in the system.
(6) Congressional Member Disclosure. The Department may disclose
records to a Member of Congress in response to an inquiry from the
Member made at the written request of the individual whose records are
being disclosed. The Member's right to the information is no greater
than the right of the individual who requested it.
(7) Employment, Benefit, and Contracting Disclosure.
(a) For Decisions by the Department. The Department may disclose a
record to a Federal, State, or local agency maintaining civil,
criminal, or other relevant enforcement or other pertinent records, or
to another public authority or professional organization, if necessary
to obtain information relevant to a Department decision concerning the
hiring or retention of an employee or other personnel action, the
issuance of a security clearance, the letting of a contract, or the
issuance of a license, grant, or other benefit.
(b) For Decisions by Other Public Agencies and Professional
Organizations. The Department may disclose a record to a Federal,
State, local, or other public authority or professional organization,
in connection with the hiring or retention of an employee or other
personnel action, the issuance of a security clearance, the reporting
of an investigation of an employee, the letting of a contract, or the
issuance of a license, grant, or other benefit, to the extent that the
record is relevant and necessary to the receiving entity's decision on
the matter.
(8) Employee Grievance, Complaint, or Conduct Disclosure. If a
record is relevant and necessary to an employee grievance, complaint,
or disciplinary action involving a present or former employee of the
Department, the Department may disclose a record from this system of
records in the course of investigation, fact-finding, or adjudication
to any party to the grievance, complaint, or action; to the party's
counsel or representative; to a witness; or to a designated fact-
finder, mediator, or other person designated to resolve issues or
decide the matter.
(9) Labor Organization Disclosure. The Department may disclose
records from this system of records to an arbitrator to resolve
disputes under a negotiated grievance procedure or to officials of
labor organizations recognized under 5 U.S.C. chapter 71 when relevant
and necessary to their duties of exclusive representation.
(10) Disclosure to the DOJ. The Department may disclose records to
the DOJ to the extent necessary for obtaining DOJ advice on any matter
relevant to an audit, inspection, or other inquiry related to the
programs covered by this system.
(11) Research Disclosure. The Department may disclose records to a
researcher if the Department determines that the individual or
organization to which the disclosure would be made is qualified to
carry out specific research related to functions or purposes of this
system of records. The Department may disclose records from this system
of records to that researcher solely for the purpose of carrying out
that research related to the functions or purposes of this system of
records. The researcher shall be required to agree to establish and
maintain safeguards to protect the security and confidentiality of the
disclosed records.
(12) Disclosure to the OMB and Congressional Budget Office (CBO)
for Federal Credit Reform Act (FCRA) Support. The Department may
disclose records to OMB and CBO as necessary to fulfill FCRA
requirements in accordance with 2 U.S.C. 661b.
(13) Disclosure to Third Parties through Matching Programs. Any
information from this system of records, including personal information
obtained from other agencies through matching programs, may be
disclosed to any third party through a matching program in connection
with an individual's application or participation in a title IV, HEA
grant or loan program administered by the Department. Purposes of these
disclosures may be to determine program eligibility and benefits,
enforce the conditions and terms of a loan or grant, permit the
servicing and collecting of a loan or grant, counsel the individual in
repayment efforts, investigate possible fraud, verify compliance with
program regulations, locate a delinquent or defaulted debtor, or
initiate legal action against an individual involved in program fraud
or abuse.
(14) Disclosure in the Course of Responding to Breach of Data. The
Department may disclose records to appropriate agencies, entities, and
persons when (a) the Department suspects or has confirmed that there
has been a breach of the system of records; (b) the Department has
determined that as a result of the suspected or confirmed breach there
is a risk of harm to individuals, the Department (including its
information systems, program, and operation), the Federal Government,
or national security; and (c) 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
breach or to prevent, minimize, or remedy such harm.
(15) Disclosure in Assisting another Agency in Responding to a
Breach of Data. The Department may disclose records from this system to
another Federal agency or Federal entity, when the Department
determines that information from this system of records is reasonably
necessary to assist the recipient agency or entity in (a) responding to
a suspected or confirmed breach or (b) preventing, minimizing, or
remedying the risk of harm to individuals, the recipient agency or
entity (including its information systems, programs, and operations),
the Federal Government, or national security, resulting from a
suspected or confirmed breach.
(16) Disclosure of Information to State and Federal Agencies. The
Department may disclose records from this system to (a) a Federal or
State agency, its employees, agents (including contractors of its
agents), or contractors, or (b) a fiscal or financial agent designated
by the U.S. Department of the Treasury, including employees, agents, or
contractors of such agent, for the purpose of identifying, preventing,
or recouping improper payments to an applicant for, or recipient of,
Federal funds.
[[Page 57862]]
DISCLOSURE TO CONSUMER REPORTING AGENCIES:
Disclosures pursuant to 5 U.S.C. 552a(b)(12): The Department may
disclose the following information to a consumer reporting agency
regarding a valid overdue claim of the Department: (1) The name,
address, taxpayer identification number, and other information
necessary to establish the identity of the individual responsible for
the claim; (2) the amount, status, and history of the claim; and (3)
the program under which the claim arose. The Department may disclose
the information specified in this paragraph under 5 U.S.C. 552a(b)(12)
and the procedures contained in subsection 31 U.S.C. 3711(e). A
consumer reporting agency to which these disclosures may be made is
defined at 31 U.S.C. 3701(a)(3).
POLICIES AND PRACTICES FOR STORAGE OF RECORDS:
System records are paper-based and stored in locked rooms or
electronic and stored on secured computer systems and in the cloud.
Paper applications are stored in standard Federal Records Center
boxes in locked storage rooms at the contractor facility in London,
Kentucky, and then moved to the Federal Records Center at the National
Archives and Records Administration (NARA), where the records are
stored until disposed.
Digitized paper applicant records, which include optically imaged
documents, are stored on DADS (disks) in a virtual disk library, which
is also electronic, in the computer facilities controlled by the
Federal Student Aid Data Center.
POLICIES AND PRACTICES FOR RETRIEVAL OF RECORDS:
Records are indexed and retrieved by the applicant's SSN, name, and
the academic year in which the applicant applied for title IV, HEA
program assistance.
POLICIES AND PRACTICES FOR RETENTION AND DISPOSAL OF RECORDS:
Department of Education Records Schedule No. 072 (DAA-0441-2013-
0002), FSA Application, Origination, and Disbursement Records (ED 072)
is being amended, pending approval by NARA. Applicable Department
records will not be destroyed until applicable NARA-approved amendments
to ED 072 are in effect.
ADMINISTRATIVE, TECHNICAL, AND PHYSICAL SAFEGUARDS:
All users of the Federal Student Aid Application File system will
have a unique user ID with a password. All physical access to the data
housed at system locations is controlled and monitored by security
personnel who check each individual entering the building for his or
her employee or visitor badge. The computer system employed by the
Department offers a high degree of resistance to tampering and
circumvention with firewalls, encryption, and password protection. This
security system limits data access to Department and contract staff on
a ``need-to-know'' basis, and controls individual users' ability to
access and alter records within the system. All interactions by users
of the Federal Student Aid Application File system are recorded.
RECORD ACCESS PROCEDURES:
If you wish to gain access to a record in this system, you must
make a Privacy Act request through the U.S. Department of Education,
FOIA Office at https://www2.ed.gov/policy/gen/leg/foia/request_privacy.html by completing the applicable request forms.
Requests by an individual for access to a record must meet the
requirements of the Department's Privacy Act regulations at 34 CFR
5b.5, including proof of identity.
CONTESTING RECORD PROCEDURES:
If you wish to contest or change the content of a record about you
in the system of records, provide the System Manager with your name,
date of birth, SSN, and any other identifying information requested by
the Department, while processing the request, to distinguish between
individuals with the same name. Identify the specific items to be
changed, and provide a justification for the change.
To contest the content of a FAFSA record for the current processing
year (which begins on October 1 of the prior calendar year and
continues for 21 months until June 30 of the following calendar year),
send your request to the FOIA Office listed in the Notification
Procedures section.
Requests to amend a record must meet the requirements of the
Department's Privacy Act regulations at 34 CFR 5b.7.
NOTIFICATION PROCEDURES:
If you wish to determine whether a record exists about you in the
system of records, you must make a Privacy Act request through the U.S.
Department of Education, FOIA Office at https://www2.ed.gov/policy/gen/leg/foia/request_privacy.html by completing the applicable request
forms. Requests for notification about whether the system of records
contains information about an individual must meet the requirements of
the Department's Privacy Act regulations at 34 CFR 5b.5, including
proof of identity.
EXEMPTIONS PROMULGATED FOR THE SYSTEM:
None.
HISTORY:
The system of records was published in the Federal Register at 64
FR 30159-30161 (June 4, 1999), corrected by 64 FR 72384, 72407
(December 27, 1999), corrected by 65 FR 11294-11295 (March 2, 2000),
corrected by 66 FR 18758 (April 11, 2001), altered by 74 FR 68802-68808
(December 29, 2009), and most recently altered by 76 FR 46774-46781
(August 3, 2011).
Appendix to 18-11-01
ADDITIONAL INFORMATION ABOUT CATEGORIES OF RECORDS IN THE SYSTEM AND
RECORD SOURCE CATEGORIES:
Data provided to the Department as a result of computer matching
with other Federal agencies are added during CPS processing. The
Department's present computer matches are with the SSA to verify the
SSNs of applicants, and dependent applicants' parent(s), and to confirm
the U.S. citizenship status of applicants as recorded in SSA records
and date of death (if applicable) of applicants, and dependent
applicants' parents, pursuant to sections 428B(f)(2), 483(a)(12), and
484(g) and (p) of the HEA (20 U.S.C. 1078-2(f)(2), 1090(a)(12), and
1091(g)and (p)); with the VA to verify the status of applicants who
claim to be veterans, pursuant to section 480(c) and (d)(1)(D) of the
HEA (20 U.S.C. 1087vv(c) and (d)(1)(D)); with the SSS to confirm the
registration status of male applicants, pursuant to section 484(n) of
the HEA (20 U.S.C. 1091(n)); with the DHS to confirm the immigration
status of applicants for assistance as authorized by section 484(g) of
the HEA (20 U.S.C. 1091(g)); with the DOJ to enforce any requirement
imposed at the discretion of a court, pursuant to section 5301 of the
Anti-Drug Abuse Act of 1988, Public Law 100-690, as amended by section
1002(d) of the Crime Control Act of 1990, Public Law 101-647 (21 U.S.C.
862), denying Federal benefits under the programs established by title
IV of the HEA to any individual convicted of a State or Federal offense
for the distribution or possession of a controlled substance; and with
the DoD to identify dependents of U.S. military personnel who died in
service in Iraq and Afghanistan after September 11, 2001, to determine
if they are eligible for increased amounts of title IV, HEA program
assistance, pursuant to sections
[[Page 57863]]
420R and 473(b) of the HEA (20 U.S.C. 1070h and 1087mm(b)).
During CPS processing, the Department's COD System sends
information to this system for students who have received a Federal
Pell Grant. The CPS uses this information for verification analysis and
for end-of-year reporting. These data include, but are not limited to:
Verification Selection and Status, Potential Over-award Project (POP)
indicator, Institutional Cost of Attendance, Reporting and Attended
Campus Pell ID and Enrollment Date, and Federal Pell Grant Program
information (Scheduled Federal Pell Grant Award, Origination Award
Amount, Total Accepted Disbursement Amount, Number of Disbursements
Accepted, Percentage of Eligibility Used At This Attended Campus
Institution, and Date of Last Activity from the Origination or
Disbursement table).
The CPS also receives applicant data from the Department's NSLDS
system each time an application is processed or corrected. This process
assesses student aid eligibility, updates financial aid history, and
ensures compliance with title IV, HEA regulations. Some of these data
appear on the applicant's SAR and ISIR. Title IV, HEA award information
is provided to NSLDS from several different sources. Federal Perkins
Loan data and Federal Supplemental Educational Opportunity Grant
(FSEOG) overpayment data are sent from postsecondary institutions or
their third-party servicers; the Department's COD System provides
Federal Pell Grant and Direct Loan data; and State and guaranty
agencies provide data on FFEL loans received from lending institutions
participating in the FFEL programs. Financial aid transcript data
reported by NSLDS provides applicants, postsecondary institutions, and
third-party servicers with information about the type(s), amount(s),
dates, and overpayment status of prior and current title IV, HEA funds
the applicant received. FFEL and William D. Ford Federal Direct Student
Loan (DL) data reported by NSLDS include, but are not limited to: (1)
Aggregate Loan Data, such as Subsidized, Unsubsidized; Combined
Outstanding Principal Balances; Unallocated Consolidated Outstanding
Principal Balances, Subsidized, Unsubsidized; Combined Pending
Disbursements, Subsidized, Unsubsidized; Combined Totals; and
Unallocated Consolidated Totals; (2) Detailed Loan Data, such as Loan
Sequence Number; Loan Type Code; Loan Change Flag; Loan Program Code;
Current Status Code and Date; Outstanding Principal Balance and Date;
Net Loan Amount; Loan Begin and End Dates; Amount and Date of Last
Disbursement; Guaranty Agency Code; School Code; Contact Code; and
Institution Type and Grade Level; and (3) system flags for Additional
Unsubsidized Loan; Capitalized Interest; Defaulted Loan Change;
Discharged Loan Change; Loan Satisfactory Repayment Change; Active
Bankruptcy Change; Overpayments Change; Aggregate Loan Change;
Defaulted Loan; Discharged Loan; Loan Satisfactory Repayment; Active
Bankruptcy; Additional Loans; DL Master Promissory Note; DL PLUS Loan
Master Promissory Note; Subsidized Loan Limit; and the Combined Loan
Limit. Federal Perkins Loan data reported by NSLDS include, but are not
limited to: Cumulative and Current Year Disbursement Amounts; flags for
Perkins Loan Change; Defaulted Loan; Discharged Loan; Loan Satisfactory
Repayment; Active Bankruptcy; Additional Loans; and Perkins Overpayment
Flag and Contact (School or Region). Federal Pell Grant payment data
reported include, but are not limited to: Pell Sequence Number; Pell
Attended School Code; Pell Transaction Number; Last Update Date;
Scheduled Amount; Award Amount; Amount Paid to Date; Percent Scheduled
Award Used; Pell Payment EFC; Flags for Pell Verification; and Pell
Payment Change. Federal Teacher Education Assistance for College and
Higher Education (TEACH) Grant Program data include, but are not
limited to: TEACH Grant Overpayment Contact; TEACH Grant Overpayment
Flag; TEACH Grant Loan Principal Balance; TEACH Grant Total; and Teach
Grant Change Flag. Iraq and Afghanistan Service Grants data include,
but are not limited to: Total Award Amount. The Department obtains and
exchanges information that is included in this system of records from
postsecondary institutions, third-party servicers, and State agencies.
These eligible entities register with the SAIG system to participate in
the information exchanges specified for their business processes.
[FR Doc. 2019-23581 Filed 10-28-19; 8:45 am]
BILLING CODE 4000-01-P