4408 Federal Register / Vol. 62, No. 19 / Wednesday, January 29, 1997 / Notices

DEPARTMENT OF ENERGY

Privacy Act of 1974; Establishment of

a New System of Records

AGENCY: Department of Energy.

ACTION: Proposed establishment of a

system of records.

SUMMARY: The Department of Energy

(DOE) proposes to establish a system of

records identified as DOE–83 and

entitled ‘‘Allegation-Based Inspections

Files of the Office of Inspector General.’’

The Office of Inspector General’s (OIG’s)

Office of Inspections compiles various

files that are collected and maintained

to assist in the performance of the

functions of the Office of Inspector

General (OIG). The Office of Inspections

performs various inspections and

analyses as required by the OIG. An OIG

inspection is an examination of a DOE

or DOE contractor organization,

program, project, function, or activity.

The proposed system of records will

cover only the files of inspections based

on allegations or complaints and which

identify subjects and sources of

information by name. Inspections

performed relate to sensitive allegations

of wrongdoing received concerning

certain individuals, including agency or

DOE contractor employees, or other

persons or entities with some

relationship to the agency. Allegations

include, but are not limited to, abuse of

authority; misuse of government time,

property, or position; conflicts of

interest; whistleblower reprisal; or other

non-criminal violations of law, rules, or

regulations. The proposed system of

records will contain work papers,

summaries of work papers, memoranda

of interviews, interview notes,

memoranda to the file, memoranda for

the record, information provided by

complainants, contractors and other

interested parties, and related

documentation.

DATES: Comments should be submitted

on or before March 31, 1997.

ADDRESS: Written comments should be

addressed to GayLa D. Sessoms,

Director, Freedom of Information Act

and Privacy Act Division, U.S.

Department of Energy, HR–78, 1000

Independence Avenue, SW,

Washington, DC 20585, (202) 586–5955.

FOR FURTHER INFORMATION CONTACT:

Jacqueline M. Becker, Office of

Inspector General, U.S. Department of

Energy, IG–1, 1000 Independence

Avenue, SW, Washington, DC 20585,

(202) 586–4393; or

GayLa D. Sessoms, Director, Freedom of

Information Act and Privacy Act

Division, U.S. Department of Energy,

HR–78, 1000 Independence Avenue,

SW, Washington, DC 20585, (202)

586–5955; or

Abel Lopez, Office of General Counsel,

U.S. Department of Energy, GC–80,

1000 Independence Avenue, SW,

Washington, DC 20585, (202) 586–

8618.

SUPPLEMENTARY INFORMATION: This

notice establishes a new system of

records entitled ‘‘Allegation-Based

Inspections Files of the Office of

Inspector General.’’ The proposed

system of records will cover only the

files of inspections based on allegations

or complaints and which identify

subjects and sources of information by

name. The system of records is

necessary to perform the functions of

the Office of Inspector General.

Exemptions to certain provisions of the

Privacy Act also are necessary and are

being published as a Proposed Rule

elsewhere in this issue.

Allegation-Based Inspections Files are

maintained to document information

concerning allegations or complaints

about DOE or DOE contrator programs

or operations. The files may contain

information about civil or

administrative wrongdoing, or about

fraud, waste, or mismanagement, or

other violations of law or regulation.

This information could be the basis for

administrative corrective action or

referrals to appropriate authorities for

civil or criminal investigation or

prosecution.

The Allegation-Based Inspections

Files contain information that if

disclosed would substantially

compromise the effectiveness of OIG

inspections and inquiries. These files

contain information about informants,

complainants, contractor personnel,

sources of information, witnesses, and

inspections personnel. These files also

contain the names of persons or

agencies who have received certain

information contained in these files.

Information in this system of records

will be maintained pursuant to certain

functions of the Inspector General (IG).

Those functions require that the Office

of Inspections conduct inspections and

analyses of Departmental operations and

programs. Exemptions from certain

provisions of the Privacy Act are needed

to accomplish the inspection function of

the Office of Inspector General, to

maintain the integrity and

confidentiality of personal information,

and to prevent disclosure of sensitive or

classified information. These

exemptions are also needed to prevent

subjects of inspections or inquiries from

frustrating the inspection or inquiry

process and to prevent the disclosure of

inspection or inquiry techniques.

Finally, these exemptions will enable

the IG to fulfill commitments to protect

the confidentiality of sources, to

maintain access to sources of

information, and to avoid endangering

sources or Office of Inspections

personnel.

The information that will be exempt

includes, but is not limited to,

information that identifies program

operating procedures, program

operation violations, program

management violations, and alleged

violators. This information will consist

of identifying data and information

about fraud, waste, or mismanagement.

Other exempt data will be

documentation, information from

informants, complainants, contractor

personnel, reports by inspectors, and

information that can identify an

individual.

When a Privacy Act request for

exempt records concerning an

individual is received from that

individual, that request will be

processed under the Freedom of

Information Act. This will provide the

maximum disclosure of responsive

records to the individual.

This system is established pursuant to

the Inspector General Act of 1978, as

amended, 5 U.S.C. App. 3. The statute

mandates that the Inspector General

provide leadership and coordination,

and recommend policies for activities

designed to promote economy,

effectiveness, and efficiency in the

administration of DOE programs or

operations. The IG is also mandated to

conduct activities relating to the

prevention or detection of fraud or

abuse in these programs or operations.

The maintenance of this system could

have a substantial effect on the privacy

and other rights of individuals.

However, the Department has adopted

measures to ensure that maintaining this

information will not compromise the

privacy and other rights of the affected

individuals. The information will be

collected only for the stated purpose,

access to the information will be

restricted, and the information will be

maintained in a secured manner.

The text of the system notice is set

forth below.

Issued in Washington, DC on December 31,

1996.

Archer L. Durham,

Assistant Secretary for Human Resources and

Administration.

DOE–83

SYSTEM NAME:

Allegation-Based Inspections Files of

the Office of Inspector General.
Federal Register / Vol. 62, No. 19 / Wednesday, January 29, 1997 / Notices 4409

SECURITY CLASSIFICATION:

Generally unclassified. Some records

may contain classified material.

SYSTEM LOCATION:

Official Allegation-Based Inspections

Files are located at:

U.S. Department of Energy, Office of

Inspector General, Headquarters, 1000

Independence Avenue, SW,

Washington, DC 20585.

U.S. Department of Energy, Office of

Inspector General, PO Box 5400,

Albuquerque, New Mexico 87115.

U.S. Department of Energy, Office of

Inspector General, PO Box 2270,

Livermore, California 94550.

U.S. Department of Energy, Office of

Inspector General, PO Box 1328, Oak

Ridge, Tennessee 37831.

U.S. Department of Energy, Office of

Inspector General, PO Box A, Aiken,

South Carolina 29808.

CATEGORIES OF INDIVIDUALS COVERED BY THE

SYSTEM:

Individuals who are the subjects of

inspections or inquiries concerning

allegations or complaints, individuals

who have pertinent knowledge about

the inspection or inquiry, individuals

authorized to furnish information,

confidential informants, or

complainants, Office of Inspector

General (OIG) inspections personnel,

and other individuals involved in these

inspections.

CATEGORIES OF RECORDS IN THE SYSTEM:

Inspection files predicated on

allegations or complaints and which

identify subjects and sources of

information by name. Inspections

performed relate to sensitive allegations

of wrongdoing received concerning

certain individuals, including agency

employees, or other persons or entities

with some relationship to the agency.

Allegations include, but are not limited

to, abuse of authority; misuse of

government time, property, or position;

conflicts of interest; whistleblower

reprisal; or other non-criminal

violations of law, rules, or regulations.

AUTHORITY FOR MAINTENANCE OF THE SYSTEM:

The Inspector General Act of 1978, as

amended, 5 U.S.C. App. 3.

PURPOSE(S):

Pursuant to the Inspector General Act

of 1978, as amended, 5 U.S.C. App. 3,

the records in this system are used by

the OIG in furtherance of the

responsibilities of the Inspector General.

These responsibilities include

evaluating the effectiveness and

efficiency of an operation, determining

compliance with laws and regulations,

evaluating Departmental program

operations and results, preventing and

detecting fraud and abuse in such

programs and operations, and assuring

the investigation of complaints by

contractor employees alleging

retaliation for making disclosures

protected under 10 CFR part 708 and 41

U.S.C. 315, section 6006.

ROUTINE USES OF RECORDS MAINTAINED IN THE

SYSTEM, INCLUDING CATEGORIES OF USERS AND

PURPOSES OF SUCH USES:

Pursuant to the Inspector General Act

of 1978, as amended, 5 U.S.C. App. 3,

information contained in the files of the

OIG Office of Inspections is collected

and maintained in carrying out the

duties and responsibilities of the

Inspector General to evaluate the

effectiveness and efficiency of an

operation, determine compliance with

laws and regulations, evaluate

Departmental program operations and

results, and prevent and detect fraud

and abuse in such programs and

operations. Material compiled is used

for prosecutive, civil, or administrative

actions.

1. Pursuant to section 552a(b)(7), the

Department will provide a record within

this system of records for law

enforcement purposes at the prior

written request of the head (or designee

of the head) of a Federal agency or

instrumentality. In the event that a

record within this system of records,

alone or in conjunction with other

information, indicates a violation or

potential violation of law, regulation,

policy or procedure, whether civil,

criminal or regulatory in nature, and

whether arising by general statute or

particular program pursuant thereto, the

Department, at its initiative, may refer

relevant records in the system of records

as a routine use to the appropriate

agency, whether Federal, State, local, or

foreign, charged with the responsibility

of investigating or prosecuting such

violation or charged with enforcing or

implementing the statute, or rule,

regulation or order.

2. To disclose information to any

source from which additional

information is requested, when

necessary to obtain information relevant

to an IG inspection, the source will be

provided such information from the

system of records only to the extent

necessary to identify the individual,

inform the source of the purpose(s) of

the request, and to identify the type of

information requested.

3. A record from this system of

records may be disclosed to a Federal

agency, in response to its written

request, to facilitate the requesting

agency’s decision concerning the hiring

or retention of an employee, 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

information is relevant and necessary to

the requesting agency’s decision on the

matter and the Department deems the

disclosure to be compatible with the

purpose for which the Department

collected the information.

4. For purposes of settlement of

claims and the preparation and conduct

of litigation, a record in this system of

records may be disclosed to: (1) The

Department’s and its contractors’

counsel; (2) other counsel representing

the United States Government; (3)

individuals or companies represented

by Department counsel or counsel to

other United States Government

agencies; (4) opposing counsel; (5)

persons possessing information

pertaining to the claims or litigation to

the extent necessary to obtain relevant

information; and (6) claimants or other

parties to the claim or litigation.

5. A record from this system of

records may be disclosed in court or

administrative proceedings to the

tribunals, counsel, other parties,

witnesses, and the public (in publicly

available pleadings, filings or discussion

in open court) when individuals or

entities listed below are parties to, or

have an interest in, the litigation or

proceedings and the Department

determines that such disclosure: (1) Is

relevant to, and necessary for, the

procceeding; and (2) is compatible with

the purpose for which the Department

collected the records:

(a) The agency, or any component

thereof;

(b) Any employee of the agency in his

or her official capacity;

(c) Any employee of the agency in his

or her individual capacity where the

United States has agreed to represent

the employee;

(d) The agency’s contractors and

contractors’ employees where the

Department has agreed, or is obligated

by statute, to represent such persons;

and,

(e) The parties and their

representatives in a 10 CFR part 708 and

41 U.S.C. 315, section 6006 proceeding.

6. A record from this system of

records may be disclosed to foreign

governments or international

organizations, in accordance with

treaties, international conventions, or

executive agreements.

7. A record from this system of

records may be disclosed as a routine

use to the Office of Management and

Budget (OMB) in connection with the
4410 Federal Register / Vol. 62, No. 19 / Wednesday, January 29, 1997 / Notices

review of private relief legislation as set

forth in OMB Circular No. A–19 at any

stage of the legislative coordination and

clearance process as set forth in that

Circular.

8. A record from this system of

records may be disclosed to Department

contractors in performance of their

contracts, and their officers and

employees who have a need for the

record in the performance of their duties

subject to the same limitations

applicable to Department officers and

employees under the Privacy Act.

9. A record from this system of

records may be disclosed to a member

of Congress submitting a request

involving the individual when the

individual has requested assistance

from the member with respect to the

subject matter of the record, and the

member of Congress provides a copy of

the individual’s request or an other

written statement clearly delineating the

scope of the individual’s request for

assistance.

10. A record from this system of

records which contains medical and/or

psychological information may be

disclosed to the physician or mental

health professional of any individual

submitting a request for access to the

record under the Privacy Act of 1974

and the Department’s Privacy Act

regulations if, in its sole judgment and

good faith, the Department believes that

disclosure of the medical and/or

psychological information directly to

the individual who is the subject of the

record could have an adverse effect

upon that individual, in accordance

with the provisions of 5 U.S.C.

552a(f)(3) and applicable Department

regulations.

POLICIES AND PRACTICES FOR STORING,

RETRIEVING, ACCESSING, RETAINING, AND

DISPOSING OF RECORDS IN THE SYSTEM:

STORAGE:

Paper, micrographic, and/or

electronic media.

RETRIEVABILITY:

By name of individual involved, case

number, report title or subject matter.

SAFEGUARDS:

Allegation-Based Inspections Files are

maintained within locked containers or

areas. Classified information is

maintained in locked General Services

Administration approved class 6

security containers. Data maintained on

personal computers can be accessed

only by authorized staff using

established procedures.

RETENTION AND DISPOSAL:

Records retention and disposal

authorities are contained in DOE Order

1324.2. ‘‘Records Disposition.’’ Records

within DOE are destroyed by shredding,

burning, or burial in a sanitary landfill,

as appropriate. Automated files are

handled and maintained according to

approved security processes.

SYSTEM MANAGER(S) AND ADDRESS:

Deputy Inspector General for

Inspections, U.S. Department of Energy,

Room 5B–250, 1000 Independence

Avenue, SW, Washington, DC 20585.

NOTIFICATION PROCEDURE:

The Department of Energy has

exempted the system from this

requirement. See the Exemption section

of this notice.

RECORD ACCESS PROCEDURES:

Same as Notification Procedures

above.

CONTESTING RECORD PROCEDURES:

Same as Notification Procedures

above.

RECORD SOURCE CATEGORIES:

Subject individuals; individuals and

organizations that have pertinent

knowledge about a subject individual or

corporate entity; those authorized by an

individual to furnish information;

confidential informants; and Federal

Bureau of Investigation (FBI) and other

Federal, state, and local entities.

SYSTEM EXEMPTED FROM CERTAIN PROVISIONS

OF THE ACT:

Under 5 U.S.C. 552a(k)(1) and (2) of

the Privacy Act, this system is exempt

from the following subsections:

5 U.S.C. 552a(c)(3)

5 U.S.C. 552a(d)

5 U.S.C. 552a(e)(1)

5 U.S.C. 552a(e)(4) (G) and (H)

5 U.S.C. 552a(f)

Exemption (k)(1) provides that the

head of an agency may exempt an

agency system of records from certain

provisions of the Privacy Act if the

system of records is subject to section

552(b)(1) of the Freedom of Information

Act, 5 U.S.C. 552. That section of the

Freedom of Information Act protects

from disclosure properly classified

national security information.

The proposed system of records will

exempt properly classified national

security information in the OIG’s

Allegation-Based Inspections Files. The

detailed reasons for exemptions under 5

U.S.C. 552a(k)(1) follow:

(1) 5 U.S.C. 552a(c)(3) requires that,

upon request, an agency must give an

individual named in a record an

accounting which reflects the disclosure

of the record to other persons or

agencies. This accounting must state the

date, nature, and purpose of each

disclosure of the record and the name

and address of the recipient. The

Department of Energy has programs

involving classified material which may

be the subject of Office of Inspections

review. The application of this

accounting provision to reviews

involving properly classified material

could reveal classified material. If this

information about classified material

were disclosed, national security might

be compromised.

An example of an issue involving

classified material which can affect

national security would be a review of

the Department’s maintenance or

transportation of special nuclear

material. Such information could be

utilized by terrorist groups. Another

example would be Departmental work

with intelligence information obtained

from other Federal agencies.

(2) 5 U.S.C. 552a(d), (e)(4) (G) and (H),

and (f) relate to the following: an

individual’s right to be notified of the

existence of records pertaining to such

individual; requirements for identifying

an individual who requests access to or

amendment of records; and agency

procedures relating to access to and

amendment of records and the content

of information contained in such

records. If these provisions were applied

to classified material in the AllegationBased Inspections Files, this could (1)

interfere with inspections or inquiries

undertaken in connection with national

security; (2) disclose the identity of

sources kept secret to protect national

security; (3) reveal classified

information kept secret to protect

national security supplied by these

sources; or (4) generally violate the

secrecy of the classification.

For example, the Office of Inspections

conducts counterintelligence

administrative inquiries and

inspections. These reviews are to

uncover clandestine relationships,

contacts with foreign intelligence

services, and other hostile activities.

Such actions could be directed against

Departmental facilities, property,

personnel, programs, and contractors

and contractor employees. These hostile

activities may be conducted by foreign

powers, foreign organizations or their

agents. In conducting these reviews, the

Office of Inspections collects classified

information that if disclosed could

compromise Federal counterintelligence

activities.

The Office of Inspections may also

compile information pertaining to

foreign energy matters. Disclosure of

this information could identify sensitive

sources and methods used by the

national intelligence community. The

Office of Inspections may compile
Federal Register / Vol. 62, No. 19 / Wednesday, January 29, 1997 / Notices 4411

information regarding classified

technology being developed by the

Department or other agencies.

Disclosure of this information could

identify sensitive Departmental projects

or operations that could be targets for

foreign intelligence service collection

operations.

(3) 5 U.S.C. 552a(e)(1) requires each

agency to maintain in its records only

such information about an individual

that is relevant and necessary to

accomplish a purpose of the agency

required by statute or Executive Order.

The OIG does not create the material it

collects and has no control over the

content of that material.

There are additional reasons why

application of this provision could

impair inspections and interfere with

the statutory responsibilities of the OIG.

It is not always possible to detect the

relevance or necessity of specific

information in the early stages of an

inspection or inquiry. This applies

when an inspection or inquiry uses

properly classified information.

Relevance and necessity are questions of

judgment and timing, and it is only after

the information is evaluated that the

relevancy and necessity of such

information can be established.

Furthermore, information outside the

scope of the OIG’s jurisdiction may be

helpful in establishing patterns of

activities or problems or in developing

information that should be referred to

other entities. Such information cannot

always readily be segregated.

The detailed reasons for the

exemptions under 5 U.S.C. 552a(k)(2)

follow:

(1) 5 U.S.C. 552a(c)(3) requires that,

upon request, an agency must give an

individual named in a record an

accounting which reflects the disclosure

of the record to other persons or

agencies. This accounting must state the

date, nature, and purpose of each

disclosure of the records and the name

and address of the recipient. To apply

this provision would alert those who

may be the subjects of an inspection or

inquiry pertaining to an allegation or

complaint to the existence of the

inspection or inquiry or that they are the

subjects of such an inspection or

inquiry. Release of this information

could result in the altering or

destruction of documentary evidence,

improper influencing of witnesses, and

other activities that could impede or

compromise the inspection or inquiry.

(2) 5 U.S.C. 552a (d), (e)(4) (G) and

(H), and (f) relate to the following: an

individual’s right to be notified of the

existence of records pertaining to such

individual; requirements for identifying

an individual who requests access to or

amendment of records; and agency

procedures relating to access to and

amendment of records and the content

of information contained in such

records. This system is exempt from the

foregoing provisions for the following

reasons: to notify an individual, at the

individual’s request, of the existence of

records in an inspection file pertaining

to a complaint or allegation about the

individual or to grant access to this type

of inspection file could (1) interfere

with inspections proceedings predicated

on a complaint or allegation, (2)

constitute an unwarranted invasion of

the personal privacy of others, (3)

disclose the identity of confidential

sources and reveal confidential

information supplied by those sources,

or (4) disclose inspection techniques

and procedures.

In addition, this system is exempt

from paragraph (d)(2) of this section,

because to require the Office of the

Inspector General, to amend information

thought to be incorrect, irrelevant or

untimely, because of the nature of the

information collected and the essential

length of time it is maintained, would

create an impossible administrative and

investigative burden by forcing the

agency to continuously retrograde its

investigations attempting to resolve

questions of accuracy.

(3) 5 U.S.C. 552a(e)(1) requires each

agency to maintain in its records only

such information about an individual

that is relevant and necessary to

accomplish a purpose of the agency

required by statute or Executive Order.

An exemption from the foregoing is

needed because:

a. It is not always possible to detect

the relevance or necessity of specific

information in the early stages of an

inspection involving a complaint or

allegation.

b. Relevance and necessity are

questions of judgment and timing. What

appears relevant and necessary when

collected may ultimately be determined

to be unnecessary. It is only after the

information is evaluated or the

inspection is closed that the relevancy

and necessity of such information can

be established.

c. In any inspection involving a

complaint or allegation, the Inspector

General may obtain information

concerning the violation of laws other

than those within the scope of his

jurisdiction. In the interest of effective

law enforcement, the Inspector General

should be able to retain this information

as it may aid in establishing patterns of

program violations or criminal activity,

and provide leads for those law

enforcement agencies charged with

enforcing other segments of criminal or

civil law.

d. In conducting an inspection or

inquiry involving a complaint or

allegation, information obtained may

relate to the main purpose of the

inspection or inquiry as well as to

matters under the jurisdiction of another

agency. Such information is not readily

segregable.

[FR Doc. 97–2177 Filed 1–28–97; 8:45 am]

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