[Federal Register Volume 62, Number 191 (Thursday, October 2, 1997)]
[Notices]
[Pages 51663-51669]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 97-26049]


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DEPARTMENT OF HEALTH AND HUMAN SERVICES

Administration for Children and Families


Privacy Act of 1974; Altered System of Records

AGENCY: Office of Child Support Enforcement, ACF, DHHS.

ACTION: Final notice.

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SUMMARY: The Office of Child Support Enforcement (OCSE) is publishing a 
notice to amend one of its Systems of Records, ``The Federal Parent 
Locator System and Federal Tax Offset System (FPLS), DHHS/OCSE No. 09-
90-0074. We are also amending the routine uses for this system.

DATES: The amendments made by this notice are effective October 1, 
1997.

FOR FURTHER INFORMATION CONTACT: Director, Division of Program 
Operations Office of Child Support Enforcement, Administration for 
Children and Families, 370 L'Enfant Promenade, S.W., 4th Floor East, 
Washington, DC 20447, (202) 401-9271.

SUPPLEMENTARY INFORMATION: Notice is hereby given that the Office of 
Child Support Enforcement (OCSE) is amending one of its Systems of 
Records, ``The Federal Parent Locator System and Federal Tax Offset 
System (FPLS)'', DHHS/OCSE No. 09-90-0074.
    Information on this system was published for public comment at 62 
FR 45659, August 28, 1997. The OCSE received no comments on the Federal 
Register publication. OCSE usually receives written responses from a 
number of sources. The responses are generally supportive. To the 
extent feasible, OCSE takes all public comments into account when 
preparing the final notice.
    OCSE is also giving notice that OCSE is changing the name of this 
system to the ``Federal Parent Locator and Federal Tax Refund/
Administrative Offset System'' (FPLS). Furthermore, the uses of the 
FPLS are being expanded pursuant to Pub. L. 104-193, the Personal 
Responsibility and Work Opportunity Reconciliation Act of 1996 (PRWORA) 
and pursuant to Pub. L. 104-134, the Debt Collection Improvement Act of 
1996 (DCIA) and Executive Order 13019, dated September 28, 1996.
    The system is divided into two subsystems: Parent Locator Service 
and Tax Refund/Administrative Offset (TROP/ADOP). The Parent Locator 
portion of the system is being expanded consistent with section 316 of 
the PRWORA, which authorizes the establishment of a National Directory 
of New Hires (NDNH) effective no later than October 1, 1997. The NDNH 
will be comprised of three components. First, the NDNH will maintain 
employment data on newly-hired employees (new hire reporting) submitted 
by the State Directories of New Hires (SDNH) pursuant to section 
453A(g)(2)(A) of the Social Security Act (the Act) and by Federal 
agencies pursuant to section 453A(B)(1)(c) of the Act. Second, the NDNH 
will maintain quarterly wage information on individual employees, 
submitted by States under the authority of sections 453A(g)(2)(B) and 
303(h) of the Act, and section 3304(a)(16) of the Internal Revenue Code 
(IRC) of 1986, as well as quarterly wage information on Federal 
employees pursuant to section 453(n) of the Act. Third, the NDNH will 
maintain unemployment compensation claims data submitted by States 
under the authority of sections 453A(g)(2)(B)

[[Page 51664]]

and 303(h) of the Act, and section 3304(a)(16) of the Internal Revenue 
Code of 1986. Federal agencies and States will transmit new hire and 
quarterly wage and data electronically to the NDNH and States will 
transmit claim information electronically as well.
    The TROP/ADOP portion of the system is expanding the current use of 
Federal tax refund intercepts to assist families in collecting past-due 
child support, intercept certain other Federal payments owed by child 
support obligors, and divert the payment to obligees/States for the 
payment of past-due child support. Specifically, the TROP/ADOP will: 
(1) combine the Federal Tax Refund Offset program with the 
Administrative Program operated by Department of Treasury's Financial 
Management Service (FMS); (2) periodically match cases from the TROP/
ADOP system with the NDNH; (3) conduct crossmatches with the State 
Department for denial of passports; (4) conduct crossmatches for asset 
identification with the Department of Treasury (Project 1099) against 
States' obligor file(s); (5) disclose information to additional 
sources; and (6) allow access to new authorized users.
    The Social Security Act, as amended by PRWORA and the DCIA require 
an expansion of the uses of the FPLS. The Parent Locator portion of the 
FPLS will now be used to obtain and transmit information to any 
authorized person, for the purpose of establishing parentage, 
establishing, setting the amount of, modifying, or enforcing child 
support obligations, investigating parental kidnapping cases, or making 
or enforcing child custody or visitation orders. Additonally, PRWORA 
replaced the AFDC programs with TANF programs, and routine uses are 
being updated to reflect that change.
    The Federal TROP/ADOP portion of the system will be used for the 
purposes of: collecting past-due child support from Federal tax refunds 
and from certain Federal payments otherwise owed to child support 
obligors; identifying assets of obligors; and enforcing child support 
orders by assisting the State Department in preventing delinquent 
obligors from travelling outside the country by the denial, restriction 
and/or revocation of passports.
    Section 370 of PRWORA established a new section 452(k) of the Act 
which requires that after October 1, 1997, the Secretary of HHS shall 
transmit to the Secretary of the Department of State, certifications 
from State child support enforcement (CSE) agencies of individuals who 
owe arrearages of child support exceeding $5000 and that the Department 
of State may revoke, restrict or deny passports to such individuals.
    Project 1099 provides State CSE agencies access to all earned and 
unearned income information reported to the Department of Treasury by 
employers and financial institutions. This information is used to 
locate noncustodial parents and to verify income and employment, which 
is essential to establishing and enforcing child support obligations.
    Sections 452 and 453 of the Social Security Act require the 
Secretary of HHS to establish and conduct the Federal Parent Locator 
Service, a computerized national location network which provides 
address and social security number (SSN) information to State and local 
child support enforcement agencies (CSEAs) for purposes of locating 
parents to establish or enforce a child support order and to assist 
authorized persons in resolving parental kidnapping and child custody 
cases.
    Pursuant to section 124(a) of the Family Support Act of 1988 (Pub. 
L. 100-485), the FPLS obtained access to wage and unemployment 
compensation claims information maintained for or by the Department of 
Labor (DOL) or the State Employment Security Agencies (SESAs). In 
January 1990, the FPLS began conducting periodic crossmatches in which 
the names and SSNs of child support obligors are run against SESA wage 
and unemployment files. OCSE is currently limited to 250,000 cases per 
State per bi-weekly crossmatch. The information generated from 
crossmatches between quarterly wage, claims and child support data, 
both at the State level and in the more limited FPLS context, has 
proven extremely beneficial for the location of child support obligors 
and their wages. The inclusion of quarterly wage and unemployment 
compensations claims data in the NDNH allows for a substantially higher 
volume of interstate crossmatching than is currently possible.
    The Personal Responsibility and Work Opportunity Reconciliation Act 
of 1996 requires the Secretary to develop an expanded Federal Parent 
Locator Service to improve the States' ability to locate and collect 
child support. The OCSE, within ACF, is charged with the task of 
developing, implementing, and maintaining the FPLS. The Secretary will 
house the expanded FPLS in the Social Security Administration's 
National Computer Center. The Secretary and SSA believe that locating 
the expanded FPLS there will provide the most efficient and cost-
effective mechanism for developing the expanded FPLS, as well as 
ensuring state-of-the-art standards for system security and 
confidentiality of the expanded FPLS data.
    The expanded FPLS will include the NDNH (operational no later than 
October 1, 1997), The Federal Case Registry (FCR) (operational no later 
than October 1, 1998), and the capability to continue matching against 
existing FPLS data sources, including but not limited to, the Internal 
Revenue Service, Social Security Administration, Department of Defense/
Office of Personnel Management, Department of Veterans Affairs, and the 
Federal Bureau of Investigation. The expanded FPLS will perform 
crossmatches between the NDNH, the FCR, and specified additional 
external databases. With these new expanded FPLS resources, the 
interstate matching of child support obligors and employment, earnings, 
and benefits data will flow more efficiently and quickly between 
States.
    In addition to performing automatic matching, the system accepts 
and processes automated or manual information requests from State and 
local CSE agencies as well as the FBI, the National Center for Missing 
and Exploited Children, the State Department, and the Attorney General. 
The following information is available from Federal agencies (including 
the Postal Service) and the SESAs:
    (1) The Social Security Administration (SSA) provides three types 
of information on the noncustodial or custodial parent per locate 
request. SSA can also provide social security number information 
(including identification, verification, nonverification or correction) 
pertaining to the noncustodial or custodial parent. When SSA is the 
specified agency queried, SSA provides the name and address of 
employers, address where the benefits check is being delivered, and 
date of death, as well as SSN and address information;
    (2) The SESAs provide two types of information. If the noncustodial 
parent is employed, the SESAs provide the name and address of the most 
recent employer and the amount of the wages earned in the previous 
quarter. If the noncustodial or custodial parent is unemployed, the 
SESAs provide the home address where the unemployment check is or was 
most recently mailed;
    (3) The Department of Treasury (Treasury) provides several types of 
information. If the noncustodial or custodial parent has filed a tax 
return in the last three years, Treasury provides the address reported 
on the most recent return. Treasury also provides the SSNs of parents 
listed on the tax return.

[[Page 51665]]

Additionally, the Project 1099 provides information to State CSE 
agencies to access all earned and unearned income information reported 
to the Treasury by employers and financial institutions. The FPLS 
conducts matches on data from IRS forms 1098 and 1099;
    (4) The Department of Defense (DoD) provides information on 
noncustodial or custodial parents who are in the Army, Navy, Air Force, 
and Marine Corps. DoD provides the military unit address, pay grade, 
and date of separation from the service. FPLS conducts matches with 
Office of Personnel Management (OPM) through DoD. OPM provides the name 
and address of the payroll office for non-military and non-postal 
noncustodial or custodial parents who work for the Federal government, 
or receive retirement benefits;
    (5) The Postal Service provides information on noncustodial or 
custodial parents who are employed by the U.S. Postal Service; and
    (6) The Department of Veterans Affairs (VA) provides information on 
those individuals who are receiving VA benefits. The VA indicates if 
the noncustodial or custodial parent is receiving compensation, 
pension, or educational benefits, the amount of the benefit, and where 
the check is being delivered.
    Furthermore, pursuant to the DCIA, and pursuant to Executive Order 
13019, the Department of Treasury's FMS is charged with the 
responsibility of increasing the collection of non-tax debts owed to 
the Federal Government and/or States, and collecting past-due child 
support through administrative offsets. The OCSE will match its records 
against Federal payment certification records and Federal financial 
assistance records maintained by FMS. The purpose is to facilitate the 
collection of delinquent child support obligations from persons who may 
be entitled or eligible to receive certain Federal payments or Federal 
assistance. State CSE agencies submit names of delinquent child support 
debts to the OCSE for submission to FMS.
    These cases are sent on-line, dial-up access via personal computer, 
tape and cartridge via mail, file transfer, or electronic data 
transmission. OCSE serves as a conduit between State CSE agencies and 
the FMS by processing weekly updates of collection data and 
distributing the information back to the appropriate State CSE agency. 
The information will be disclosed by OCSE to State CSE agencies for use 
in the collection of child support debts, through locate, wage 
withholding, or other enforcement actions.
    The system of records is used for the collection of past-due child 
support via administrative offset, (offset of certain funds payable to 
an individual by the Federal Government.) (Not all Federal funds will 
be subject to administrative offset; see 62 FR 36205, dated July 7, 
1997.) The FMS serves as the lead agency in this debt collection 
initiative. The FMS has a Debt Collection Operations System to maintain 
records of individuals and entities that are indebted and will match 
these records against the payment certification records of Federal 
departments and agencies.
    In addition, the system of records is used to determine which 
delinquent obligors are appropriate for referral to the U.S. State 
Department for revocation/restriction/denial of a U.S. Passport. OCSE 
extracts cases with arrearages of $5,000 or greater from the certified 
case file. These cases are electronically submitted to SSA with name 
and SSN. SSA returns the file with date of birth, SSN, name, place of 
birth, and sex. These cases are then forwarded to the State Department 
via tape with date of birth, place of birth, sex, SSN, and name. These 
files are matched against individuals who make application for 
passport. Passports may be denied to those obligors owing $5,000 or 
greater. The State Department's system is called the Consular and 
Support System (CLASS) (State 26, Passport Records, published at 60 FR 
148, August 2, 1995).
    If there is a match, the Passport Office will notify the applicant 
to contact the State CSE agency that submitted his/her name. If, as a 
result of payment, the applicant's child support arrearage falls below 
the $5,000 threshold, the CSE office will issue a Notice of Withdrawal 
of Passport Denial requesting that the Passport Office issue a passport 
to the noncustodial parent if otherwise qualified.
    The FPLS system of records will be comprised of records that 
contain the name of noncustodial or custodial parent or child, Social 
Security number (when available), date of birth, place of birth, sex 
code, State case identification number, local identification number 
(State use only), State or locality originating request, date of 
origination, type of case (TANF, non-TANF full-service, non-TANF locate 
only, parental kidnapping), home address, mailing address, type of 
employment, work location, annual salary, pay rate, quarterly wages, 
medical coverage, benefit amounts, type of military service (Army, 
Navy, Marines, Air Force, not in service), retired military (yes or 
no), Federal employee (yes or no), recent employer's address, known 
alias (last name only), offset amount, date requests sent to Federal 
agencies or departments (SSA, Treasury, DoD/OPM, VA, USPS, FBI, and 
SESAs), dates of Federal agencies' or departments' responses, date of 
death, record identifier, employee date of hire, employee State of 
hire, Federal EIN, State EIN, employer name, employer address, employer 
foreign address, employer optional address, and employer optional 
foreign address; employee SSN, employee name, employee wage amount, 
reporting period, claimant SSN, claimant name, claimant address, SSA/VA 
benefit amount, reporting period, State code, local code, case number, 
arrearage amount, collection amount, adjustment amount, return 
indicator, transfer State, street address, city and State, zip code, 
zip code 4, total debt, number of adjustments, number of collections, 
net amount, adjustment year, tax period for offset, type of offset, 
State code, submitting State FIPS, locate code, case ID number, case 
type, and court/administrative order indicator.
    Safeguarding: All requests from the State IV-D Agency must certify 
that: (1) They are being made to locate noncustodial or custodial 
parents for the purpose of establishing paternity or securing child 
support, or in cases involving parental kidnapping or child custody 
determinations and for no other purpose; (2) the State IV-D agency has 
in effect protective measures to safeguard the personal information 
being transferred and received from the FPLS; and (3) the State IV-D 
Agency will use or disclose this information for the purposes 
prescribed in 45 CFR 302.70.
    The records in the FPLS will be maintained in a secure manner 
compatible with their content and use. All Federal and State personnel 
and contractors will be required to adhere to the provisions of the 
Privacy Act and the HHS Privacy Act regulations at 45 CFR part 5b. The 
System Manager will control access to the data. Only authorized users 
whose official duties require the use of such information will have 
regular access to the records in this system. Authorized users are: (1) 
Any State or Federal government department or agency charged with the 
responsibility of locating custodial or noncustodial parents; (2) State 
agencies under agreements covered by title IV-D of the Social Security 
Act for the purposes of locating noncustodial and custodial parents in 
connection with establishing or enforcing child support obligations; 
(3) State agencies under agreements covered by section 463 of the Act 
for the purpose of locating

[[Page 51666]]

custodial parents or children in connection with activities by State 
courts and Federal attorneys and agents charged with making or 
enforcing child custody and visitation determinations or conducting 
investigations, enforcement proceedings or prosecutions concerning the 
unlawful taking or restraint of children; and (4) agents and attorneys 
of the United States involved in activities in States which do not have 
agreements under Section 463 of the Act for the purpose of locating 
custodial parents in connection with activities by State courts and 
Federal attorneys and agents charged with making or enforcing child 
custody and visitation determinations or conducting investigations, 
enforcement proceedings or prosecutions concerning unlawful taking or 
restraint of children.
    All microfilm and paper files are accessible only by authorized 
personnel who have a need for the information in the performance of 
their official duties. Safeguards for automated records have been 
established in accordance with the HHS Information Resources Management 
Manual, Part 6, Automated Information Systems Security Program 
Handbook.
    Storage: Records are maintained on disk and magnetic tape, and hard 
copy.
    Retrievability: System records can be accessed by either a State 
assigned case identification number or Social Security Number.
    Data stored in computers will be accessed through the use of 
``passwords'' known only to authorized users. Rooms where records are 
stored are locked when not in use. During regular business hours rooms 
are unlocked but are controlled by on-site personnel.
    Information will not be disclosed to any person if the disclosure 
would contravene the national or security interest of the United States 
or the confidentiality of census data.
    Information will not be disclosed to any person if the State has 
notified the Secretary that the State has reasonable evidence of 
domestic violence or child abuse and the disclosure of such information 
could be harmful to the custodial parent or the child of such parent.
    Information received or transmitted pursuant to this section shall 
be subject to the safeguard provisions contained in section 454(26) of 
the Act.
    Retention and Disposal; Quarterly wage data supplied to the FPLS 
will be retained for eight calendar quarters and then destroyed. New 
hire information supplied to the FPLS will be kept in an active file 
for two years. New hire information will then be stored for an 
additional three years before being destroyed.
    Tax refund and administrative offset information will be maintained 
for six years in an active master file for purposes of collection and 
adjustment. After this time, records of cases for which there was no 
collection will be destroyed. Records of cases with a collection will 
be stored on-line in an inactive master file.
    Records pertaining to passport denial will be updated and/or 
deleted as obligors meet satisfactory restitution or other State 
approved arrangements.
    Records of information provided by the FPLS to authorized users 
will be maintained only long enough to communicate the information to 
the appropriate State or Federal agent. Thereafter, the information 
provided will be destroyed. However, records pertaining to the 
disclosures, which include information provided by States, Federal 
agencies contacted, and an indication of the type(s) of information 
returned, will be stored on a history tape and in hard copy for five 
years and then destroyed.
    System Manager(s) and Address: Director, Program Operations 
Division, Ofice of Child Support Enforcement, Department of Health and 
Human Services, 370 L'Enfant Promenade, SW., 4th Floor, Washington, DC 
20447.
    Record Access Procedures: Same as notification procedures. 
Requesters should also specify the record contents being sought.
    Contesting Record Procedures: Contact the official at the address 
specified under system manage above, and identify record and specify 
the information to be contested.
    Record Source Categories: Information is obtained from departments, 
agencies, or instrumentalities of the United States or any State.
    Systems Exempted From Certain Provisions of the Privacy Act: None.
    Routine Uses of Records Maintained in the System, Including 
Categories of Users and the Purpose of Such Users:
    The current routine uses for this system of records are:
    (1) Request the most recent home and employment addresses and SSN 
of the noncustodial parents from any State or Federal government 
department, agency or instrumentality which might have such information 
in its records; (2) Provide the most recent home and employment 
addresses and SSN to State CSE agencies (including the FBI and the 
Center for Missing and Exploited Children) for the purpose of locating 
noncustodial parents in connection with establishing or enforcing child 
support obligations; (3) Provide the most recent home and employment 
addresses and SSN to State CSE agencies under agreements covered by 
section 463 of the Social Security Act (42 U.S.C. 663) for the purpose 
of locating noncustodial parents or children in connection with 
activities by State courts and Federal attorneys and agents charged 
with making or enforcing child custody determinations or conducting 
investigations, enforcement proceedings or prosecutions concerning the 
unlawful taking or restraint of children; (4) Provide the most recent 
home and employment addresses and SSN to agents and attorneys of the 
United States, involved in activities in States which do not have 
agreements under section 463 of the Act for purposes of locating 
noncustodial parents or children in connection with Federal 
investigations, enforcement proceedings or prosecutions involving the 
unlawful taking or restraint of children; and (5) provide to the State 
Department the name and SSN of noncustodial parents in international 
child support cases, and in cases inolving The Hague Convention on the 
Civil Aspects of International Child Abduction.
    The PRWORA amends Federal law and authorizes new uses and 
disclosures for the expanded FPLS. The new routine uses proposed for 
this system are compatible with the stated purposes of the system and 
include the following:
    (1) Pursuant to section 453(j) (2)&(3) of the Social Security Act, 
State agencies may access data in the NDNH for the purpose of 
administering the Child Support Enforcement Program and the Temporary 
Assistance for Needy Families (TANF) program; (2) Pursuant to section 
453(j)(4) of the Act, the Commissioner of Social Security may access 
information in the NDNH for the purpose of verifying reported SSNs and 
other purposes; (3) Pursuant to section 453(i)(3) of the Act, the 
Secretary of the Treasury may access information in the NDNH for 
purposes of administering advance payment of the earned income tax 
credit and verifying a claim with respect to employment in a tax 
return; (4) Pursuant to section 453(j)(5) of the Act, the Secretary of 
Health and Human Services may provide researchers with access to the 
new hire data for research efforts that would contribute to the TANF 
and CSE programs.
    Information disclosed may not contain personal identifiers; (5) 
Under section 6103(el)(6) of the Internal Revenue Code of 1986, records 
may be disclosed to any agent of an agency that is under contract with 
the State CSE

[[Page 51667]]

agency to assist in locating individuals for the purposes of 
establishing, modifying, and enforcing child support obligations; (6) 
Under section 453(j) of the Act, records in the NDNH may be disclosed 
to State CSE agencies in order to locate individuals for the purpose of 
establishing paternity and for establishment, modification, or 
enforcement of a support order; (7) Pursuant to section 453(a) of the 
Act, records may be disclosed to State CSE agencies for the purpose of 
locating individuals for the purpose of enforcing child custody and 
visitation orders; (8) Pursuant to section 453(j) of the Act, new hire 
information may also be disclosed to the State agency administering the 
Medicaid, Unemployment Compensation, Food Stamp, SSI, and territorial 
cash assistance programs for income eligibility verification, and to 
State agencies administering unemployment and workers' compensation 
programs to assist determinations of the allowability of claims; (9) 
OCSE will disclose information to the Treasury Department for the 
offset of certain Federal payments in order to collect past due child 
support obligations. The Federal payments included in the 
Administrative Offset System are: Federal salary, wage and retirement 
payments; vendor payments; expense reimbursement payments; and travel 
payments; and (10) Pursuant to section 452(k) of the Act, information 
from the FPLS may be disclosed to the Secretary of State to revoke, 
restrict, or deny a passport to any person certified by State CSE 
agencies as owing a child support arrearage greater than $5,000.

    Dated: September 26, 1997.
 Anne F. Donovan,
Acting Deputy Director.
09-90-0074

SYSTEM NAME:
    Federal Parent Locator and Federal Tax Refund/Administrative Offset 
System (FPLS), HHS, OCSE.

SECURITY CLASSIFICATION:
    None.

SYSTEM LOCATION:
Office of Child Support Enforcement, 370 L'Enfant Promenade, SW, 4th 
Floor East, Washington, DC 20447;
Social Security Administration, 6200 Security Boulevard, Baltimore, 
Maryland 21235.

CATEGORIES OF INDIVIDUALS COVERED BY THE SYSTEM:
    Records will be maintained to locate individuals for the purpose of 
establishing parentage, establishing, setting the amount of, modifying, 
or enforcing child support obligations, or enforcing chid custody or 
visitation orders: (1) Information on, or facilitating the discovery 
of, or the location of any individual: (A) Who are under an obligation 
to pay child support or provide child custody or visitation rights; (B) 
against whom such an obligation is sought; and (C) to whom such an 
obligation is owed including the individual's social security number 
(or numbers), most recent address, and the name, address, and employer 
identification number of the individual's employer; and (2) information 
on the individual's wages (or other income) from, and benefits of, 
employment (including rights to enrollment in group health care 
coverage); and (3) information on certain Federal disbursements payable 
to a delinquent obligor which may be offset for the purpose of 
collecting past-due child support.

CATEGORIES OF RECORDS IN THE SYSTEM:
    The system will comprise records that contain the name of 
noncustodial or custodial parent or child, Social Security number (when 
available), date of birth, place of birth, sex code, State case 
identification number, local identification number (State use only), 
State or locality originating request, date of origination, type of 
case (TANF, non-TANF full-service, non-TANF locate only, parental 
kidnapping), home address, mailing address, type of employment, work 
location, annual salary, pay rate, quarterly wages, medical coverage, 
benefit amounts, type of military service (Army, Navy, Marines, Air 
Force, not in service), retired military (yes or no), Federal employee 
(yes or no), recent employer's address, known alias (last name only), 
offset amount, date requests sent to Federal agencies or departments 
(SSA, IRS, DoD/OPM, VA, USPS, FBI, and SESAs), dates of Federal 
agencies' or departments' responses, date of death, record identifier, 
employee date of hire, employee State of hire, Federal EIN, State EIN, 
employer name, employer address, employer foreign address, employer 
optional address, and employer optional foreign address; employee SSN, 
employee name, employee wage amount, reporting period, claimant SSN, 
claimant name, claimant address, SSA/VA benefit amount, reporting 
period, State code, local code, case number, arrearage amount, 
collection amount, adjustment amount, return indicator, transfer State, 
street address, city and State, zip code, zip code 4, total debt, 
number of adjustments, number of collections, net amount, adjustment 
year, tax period for offset, type of offset, State code, submitting 
State FIPS, locate code, case ID number, case type, and court/
administrative order indicator.

AUTHORITY FOR MAINTENANCE OF THE SYSTEM:
    Sections 452 and 453 of the Social Security Act required the 
Secretary of HHS to establishment and conduct the Federal Parent 
Locator Service, a computerized national location network whch provides 
address and SSN information to State and local Child Support 
Enforcement Agencies (CSE).
    Section 124(a) of the Family Support Act of 1988 authorized the 
Secretary of HHS to obtain access to wage and unemployment compensation 
claims information maintained for or by the Department of Labor (DOL) 
or the State Employment Security Agencies (SESAs).
    The FPLS is being expanded pursuant to: Social Security Act 
amendments promulgated as section 316 of the Personal Responsibility 
and Work Opportunity Reconciliation Act of 1996 (PRWORA); the Debt 
Collection Improvement Act of 1996 (DCIA); and Executive Order 13019. 
These provisions give the Secretary of Health and Human Services the 
authority to expand the Federal Parent Locator Service to improve the 
States' ability to locate and collect child support.

PURPOSE(S):
    The purpose of the system is to expand the Federal Parent Locator 
Service (FPLS) to improve States' ability to locate parents and collect 
child support. A large database, the National Directory of New Hires, 
will be established. Through this database, the interstate matching of 
child support obligors and employment, earnings, and benefit data will 
flow more efficiently and quickly between States. The National 
Directory of New Hires (NDNH) will contain the following:
    (1) New hire information on employees commencing employment in 
either the public or private sector;
    (2) Quarterly wage data on private and public sector employees; and
    (3) Information on unemployment compensation benefits. Federal 
agencies are also required to submit both new hire and quarterly wage 
information. Names and social security numbers submitted for both new 
hire and quarterly wage information will be verified by the Social 
Security Administration to ensure that the social security number 
provided is correct.
    In October of 1998, a second database will be established, the 
Federal Case

[[Page 51668]]

Register (FCR), which will be derived from State level case registry 
information and will contain abstracts on all participants involved in 
child support enforcement cases. The NDNH and the FCR will be matched 
against each other on an on-going basis to determine if an employee is 
a participant in a child support case anywhere in the country. If the 
FPLS identifies a person as being a participant in a State child 
support case, that State will be notified of the participant's current 
employer.

ROUTINE USES OF RECORDS MAINTAINED IN THE SYSTEM, INCLUDING CATEGORIES 
OF USERS AND THE PURPOSE OF SUCH USES
    The current routine uses in this system of records are maintained 
to: (1) Request the most recent home and employment addresses and SSN 
of the noncustodial or custodial parents from any State or Federal 
government department, agency or instrumentality which might have such 
information in its records; (2) Provide the most recent home and 
employment addresses and SSN to State CSE agencies for the purpose of 
locating noncustodial parents in connection with establishing or 
enforcing child support obligations; (3) Provide the most recent home 
and employment addresses and SSN to State CSE agencies under agreements 
covered by Section 463 of the Social Security Act (42 U.S.C. 663) for 
the purpose of locating noncustodial parents or children in connection 
with activities by State courts and Federal attorneys and agents 
charged with making or enforcing child custody determinations or 
conducting investigations, enforcement proceedings or prosecutions 
concerning the unlawful taking or restraint of children; and (4) 
Provide the most recent home and employment addresses and SSN to agents 
and attorneys of the United States, involved in activities in States 
which do not have agreements under section 463 of the Act for purposes 
of locating noncustodial parents or children in connection with Federal 
investigations, enforcement proceedings or prosecutions involving the 
unlawful taking or restraint of children; and (5) provide to the State 
Department the name and SSN of noncustodial parents in international 
child support cases, and in cases inolving he Hague Convention on the 
Civil Aspects of International child Abduction.
    The PRWORA amends Federal law and authorizes new uses and 
disclosures for the expanded FPLS. The new routine uses for this system 
are compatible with the stated purposes of the system and include the 
following: (1) State agencies may access data in the NDNH for the 
purpose of administering the Child Support Enforcement Program and the 
Temporary Assistance for Needy Families (TANF) program; (2) The 
Commissioner of Social Security may access information in the NDNH for 
the purpose of verifying reported SSNs and other purposes; (3) The 
Secretary of the Treasury may access information in the NDNH for 
purposes of administering advance payment of the earned income tax 
credit and verifying a claim with respect to employment in a tax 
return; (4) The Secretary of Health and Human Services may provide 
researchers with access to the new hire data for research efforts that 
would contribute to the TANF and CSE programs. Information disclosed 
may not contain personal identifiers; (5) Records may be disclosed to 
any agent of an agency that is under contract with the State CSE agency 
to assist in locating individuals for the purposes of establishing 
paternity and for establishing, modifying, and enforcing child support 
obligations; (6) Records in the NDNH may be disclosed to State CSE 
agencies in order to locate individuals for the purpose of establishing 
paternity and for establishment, modification, or enforcement of a 
support order; (7) Records may be disclosed to State CSE agencies for 
the purpose of locating individuals for the purpose of enforcing child 
custody and visitation orders; (8) New hire information may be 
disclosed to the State agency administering the Medicaid, Unemployment 
Compensation, Food Stamp, SSI, and territorial cash assistance programs 
for income eligibility verification, and to State agencies 
administering unemployment and workers' compensation programs to assist 
determinations of the allowability of claims; (9) OCSE will disclose 
information to the Treasury Department for the offset of certain 
Federal payments in order to collect past due child support 
obligations. The Federal payments included in the Administrative Offset 
System are: Federal salary, wage and retirement payments; vendor 
payments; expense reimbursement payments; and travel payments; and (10) 
Pursuant to section 452(k) of the Act, information from the FPLS may be 
disclosed to the Secretary of State to revoke, restrict, or deny a 
passport to any person certified by State CSE agencies as owing a child 
support arrearage greater than $5,000.

DISCLOSURE TO CONSUMER REPORTING AGENCIES:
    None.

POLICIES AND PRACTICES FOR STORING, RETRIEVING, ACCESSING, RETAINING, 
AND DISPOSING OF RECORDS IN THE SYSTEM:
STORAGE:
    FPLS records are maintained on disc and computer tape, and hard 
copy.

RETRIEVABILITY:
    System records can be accessed by either a State assigned case 
identification number or Social Security Number.

SAFEGUARDS:
    1. Authorized Users: All requests from the State IV-D Agency must 
certify that: (1) They are being made to locate non-custodial and 
custodial parents for the purpose of establishing paternity or securing 
child support, or in cases involving parental kidnapping or child 
custody and visitation determinations and for no other purpose; (2) the 
State IV-D agency has in effect protective measures to safeguard the 
personal information being transferred and received from the Federal 
Parent Locator Service; and (3) the State IV-D Agency will use or 
disclose this information for the purposes prescribed in 45 CFR 302.70.
    2. Physical Safeguards: For computerized records electronically 
transmitted between Central Office and field office locations 
(including organizations administering HHS programs under contractual 
agreements), safeguards include a lock/unlock password system. All 
input documents will be inventoried and accounted for. All inputs and 
outputs will be stored in a locked receptacle in a locked room. All 
outputs will be labeled ``For Official Use Only'' and treated 
accordingly.
    3. Procedural and Technical Safeguards: All Federal and State 
personnel and contractors, are required to take a nondisclosure oath. A 
password is required to access the terminal. All microfilm and paper 
files are accessible only by authorized personnel who have a need for 
the information in the performance of their official duties.
    These practices are in compliance with the standards of Chapter 45-
13 of the HHS General Administration Manual, ``Safeguarding Records 
Contained in Systems of Records,'' and the Department's Automated 
Information System Security Program Handbook.

RETENTION AND DISPOSAL:
    Quarterly wage data supplied to the FPLS will be retained for eight 
calendar quarters and then destroyed. New hire information supplied to 
the FPLS will

[[Page 51669]]

be kept in an active file for two years. New hire information will then 
be stored for an additional three years before being destroyed.
    Tax refund and administrative offset information will be maintained 
for six years in an active master file for purposes of collection and 
adjustment. After this time, records of cases for which there was no 
collection will be destroyed. Records of cases with a collection will 
be stored on-line in an inactive master file.
    Records pertaining to passport denial will be updated and/or 
deleted as obligors meet satisfactory restitution or other State 
approved arrangements.
    Records of information provided by the FPLS to authorized users 
will be maintained only long enough to communicate the information to 
the appropriate State or Federal agent. Thereafter, the information 
provided will be destroyed. However, records pertaining to the 
disclosures, which include information provided by States, Federal 
agencies contacted, and an indication of the type(s) of information 
returned, will be stored on a history tape and in hard copy for five 
years and then destroyed.

SYSTEM MANAGER(s) AND ADDRESS:
    Director, Division of Program Operations Office of Child Support 
Enforcement Administration for Children and Families 370 L'Enfant 
Promenade, SW., 4th Floor East Washington, DC. 20447.

NOTIFICATION PROCEDURES:
    To determine if a record exists, write to the System Manager listed 
above. The requester must provide his or her full name and address. 
Additional information, such as your Social Security Number, date of 
birth or mother's maiden name, may be requested by the system manager 
in order to distinguish between individuals having the same or similar 
names.

RECORD ACCESS PROCEDURES:
    Write to the System Manager specified above to attain access to 
records. Requesters should also reasonably specify the record contents 
they are seeking.

CONTESTING RECORD PROCEDURE:
    Contact the official at the address specified under system manager 
above, and reasonably identify the record and specify the information 
to be contested and corrective action sought with supporting 
justification to show how the record is inaccurate, incomplete, 
untimely or irrelevant.

RECORD SOURCE CATEGORIES:
    Information is obtained from departments, agencies, or 
instrumentalities of the United States or any State.

SYSTEMS EXEMPTED FROM CERTAIN PROVISIONS OF THE ACT:
    None.

[FR Doc. 97-26049 Filed 10-1-97; 8:45 am]
BILLING CODE 4184-01-P