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[Federal Register Volume 77, Number 151 (Monday, August 6, 2012)]
[Proposed Rules]
[Pages 46653-46658]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2012-18123]

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DEPARTMENT OF DEFENSE

Office of the Secretary

32 CFR Part 323

RIN 0790-AI86
[Docket ID: DOD-2012-OS-0018]

Defense Logistics Agency Privacy Program

AGENCY: Defense Logistics Agency, DoD.

ACTION: Proposed rule with request for comments.

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SUMMARY: The Defense Logistics Agency (DLA) is proposing to amend the 
DLA Privacy Program Regulation. The DLA Privacy Offices have been 
repositioned under the DLA General Counsel; therefore, responsibilities 
have been updated to reflect the repositioning. In addition, DLA has 
adopted revisions to the DoD Privacy Program.

[[Page 46654]]

DATES: Submit comments on or before October 5, 2012.

ADDRESSES: You may submit comments, identified by docket number and 
title, by any of the following methods.
    Federal eRulemaking Portal: http://www.regulations.gov. Follow the 
instructions for submitting comments.
    Mail: Federal Docket Management System Office, 4800 Mark Center 
Drive, East Tower, Suite 02G09, Alexandria, VA 22350-3100.
    Instructions: All submissions received must include the agency name 
and docket number or Regulatory Information Number (RIN) for this 
Federal Register document. The general policy for comments and other 
submissions from members of the public is to make these submissions 
available for public viewing on the Internet at http://www.regulations.gov as they are received without change, including any 
personal identifiers or contact information.

FOR FURTHER INFORMATION CONTACT: Ms. Jody Sinkler at (703) 767-5045.

SUPPLEMENTARY INFORMATION:

Executive Summary

I. Purpose of This Regulatory Action

    a. This rule provides policies and procedures for the Defense 
Logistics Agency's implementation of the Privacy Act of 1974, as 
amended. In addition, DLA has adopted specific sections of the DoD 
Privacy Program as published in 32 CFR part 310.
    b. Authority: Privacy Act of 1974, Pub. L. 93-579, Stat. 1896 (5 
U.S.C. 552a).

II. Summary of the Major Provisions of This Regulatory Action

    The DLA Privacy Offices have been repositioned under the DLA 
General Counsel; therefore, responsibilities have been updated to 
reflect the repositioning.

III. Costs and Benefits of This Regulatory Action

    This regulatory action imposes no monetary costs to the Agency or 
public. The benefit to the public is the accurate reflection of the 
Agency's Privacy Program to ensure that policies and procedures are 
known to the public.

Regulatory Procedures

Executive Order 12866, ``Regulatory Planning and Review'' and Executive 
Order 13563, ``Improving Regulation and Regulatory Review''

    It has been determined that Privacy Act rules for the Department of 
Defense are not significant rules. The rules do not (1) have an annual 
effect on the economy of $100 million or more or adversely affect in a 
material way the economy; a sector of the economy; productivity; 
competition; jobs; the environment; public health or safety; or State, 
local, or tribal governments or communities; (2) create a serious 
inconsistency or otherwise interfere with an action taken or planned by 
another Agency; (3) materially alter the budgetary impact of 
entitlements, grants, user fees, or loan programs, or the rights and 
obligations of recipients thereof; or (4) raise novel legal or policy 
issues arising out of legal mandates, the President's priorities, or 
the principles set forth in these Executive orders.

Public Law 96-354, ``Regulatory Flexibility Act'' (5 U.S.C. Chapter 6)

    It has been determined that Privacy Act rules for the Department of 
Defense do not have significant economic impact on a substantial number 
of small entities because they are concerned only with the 
administration of Privacy Act systems of records within the Department 
of Defense.

Public Law 96-511, ``Paperwork Reduction Act'' (44 U.S.C. Chapter 35)

    It has been determined that Privacy Act rules for the Department of 
Defense impose no additional information collection requirements on the 
public under the Paperwork Reduction Act of 1995.

Section 202, Public Law 104-4, ``Unfunded Mandates Reform Act''

    It has been determined that Privacy Act rulemaking for the 
Department of Defense does not involve a Federal mandate that may 
result in the expenditure by State, local and tribal governments, in 
the aggregate, or by the private sector, of $100 million or more and 
that such rulemaking will not significantly or uniquely affect small 
governments.

Executive Order 13132, ``Federalism''

    It has been determined that Privacy Act rules for the Department of 
Defense do not have federalism implications. The rules do not have 
substantial direct effects on the States, on the relationship between 
the National Government and the States, or on the distribution of power 
and responsibilities among the various levels of government.

List of Subjects in 32 CFR Part 323

    Privacy.

    Accordingly, DoD proposes to revise 32 CFR part 323 to read as 
follows:

PART 323--DEFENSE LOGISTICS AGENCY PRIVACY PROGRAM

Sec.
323.1 Purpose.
323.2 Applicability.
323.3 Policy.
323.4 Responsibilities.
323.5 Access to systems of records information.
323.6 Exemption rules.

    Authority:  Privacy Act of 1974, Pub. L. 93-579, Stat. 1896 (5 
U.S.C. 552a).

Sec.  323.1  Purpose.

    This part sets out Defense Logistics Agency policy, assigns 
responsibilities, and prescribes procedures for the effective 
administration of the DLA Privacy Program.

Sec.  323.2  Applicability.

    This part:
    (a) Applies to Defense Logistics Agency Headquarters (DLA HQ) and 
all other organizational entities within the Defense Logistics Agency 
(hereafter referred to as ``DLA Components'').
    (b) Shall be made applicable by contract or other legally binding 
action to U.S. Government contractors whenever a DLA contract requires 
the performance of any activities associated with maintaining a system 
of records, including the collection, use, and dissemination of records 
on behalf of DLA.

Sec.  323.3  Policy.

    DLA adopts and supplements the DoD Privacy Program policy and 
procedures codified at 32 CFR 310.4 through 310.53, and appendices A 
through H of 32 CFR part 310.

Sec.  323.4  Responsibilities.

    (a) General Counsel. The General Counsel, DLA, under the authority 
of the Director, Defense Logistics Agency:
    (1) Implements the DLA Privacy Program and is hereby designated as 
the Component Senior Official for Privacy.
    (2) Serves as the DLA Final Denial Appellate Authority.
    (3) Provides advice and assistance on all legal matters arising out 
of, or incident to, the implementation and administration of the DLA 
Privacy Program.
    (4) Serves as the DLA focal point on Privacy Act litigation with 
the Department of Justice; and will advise the Defense Privacy and 
Civil Liberties Office on the status of DLA privacy litigation. This 
responsibility may be delegated.
    (5) Serves as a member of the Defense Privacy Board Legal 
Committee. This responsibility may be delegated.
    (6) Supervises and administers the DLA FOIA and Privacy Act Office

[[Page 46655]]

(DGA) and assigned staff. This responsibility may be delegated.
    (7) May exempt DLA systems of records.
    (b) Initial Denial Authority (IDA) at Headquarters DLA. By this 
part, the DLA Director designates the Head of each Headquarters DLA 
Component as an IDA. Each Head may further delegate this responsibility 
to their Deputy. For the DLA General Counsel's Office, the Deputy 
General Counsel shall serve as the Initial Denial Authority (IDA).
    (c) DLA Privacy Act Office. The DLA Privacy Act Office (DGA) staff:
    (1) Formulates policies, procedures, and standards necessary for a 
uniform DLA Privacy Program.
    (2) Serves as the DLA representative on the Defense Privacy Board 
and the Defense Data Integrity Board.
    (3) Provides advice and assistance on privacy matters.
    (4) Develops or compiles the rules, notices, and reports required 
under 32 CFR part 310.
    (5) Assesses the impact of technology on the privacy of personal 
information.
    (6) Conducts Privacy training for personnel assigned, employed, and 
detailed, including contractor personnel and individuals having primary 
responsibility for implementing the DLA Privacy Program.
    (7) Develops forms used within the DLA Privacy Program. This part 
serves as the prescribing document for forms developed for the DLA 
Privacy Program.
    (d) DLA Components Heads. The DLA Components Heads:
    (1) Designate an individual as the point of contact for Privacy 
matters for their DLA Component and advise DGA of the name of official 
so designated. This individual also will serve as the Privacy Officer 
for the co-located tenant DLA organizations.
    (2) Designate an official to serve as the initial denial authority 
for initial requests for access to an individual's records or 
amendments to records, and will advise DGA of the names of the 
officials so designated.
    (e) DLA Acquisition Management Directorate (J-7). The DLA 
Acquisition Management Directorate (J-7) shall be responsible for:
    (1) Developing the specific DLA policies and procedures to be 
followed when soliciting bids, awarding contracts or administering 
contracts that are subject to 32 CFR 310.12.
    (2) Establishing an appropriate contract surveillance program to 
ensure contractors comply with the procedures established in accordance 
with 32 CFR 310.12.

Sec.  323.5  Access to systems of records information.

    (a) Individuals who wish to gain access to records contained in a 
system of records about themselves will submit their request in writing 
to the DLA FOIA/Privacy Act Office, Headquarters, Defense Logistics 
Agency, ATTN: DGA, 8725 John J. Kingman Road, Suite 1644, Fort Belvoir, 
VA 22060-6221. Any written request must:
    (1) Identify the particular ``system(s) of records'' to be 
searched;
    (2) Contain the information listed under the ``Notification 
procedure'' or ``Record access procedures'' elements of the applicable 
system of records notice;
    (3) Verify identity when the information sought is of a sensitive 
nature by submitting an unsworn declaration in accordance with 28. 
U.S.C. 1746 or notarized signature;
    (4) Adequately explain a request for expedited processing, if 
applicable;
    (5) State whether they agree to pay fees associated with the 
processing of your request; and
    (6) Contain a written release authority if records are to be 
released to a third party. Third parties could be, but are not limited 
to, a law firm, a Congressman's office, a union official, or a private 
entity.
    (b) Amendment and/or Access denials will be processed in accordance 
with 32 CFR 310.18 and 310.19.
    (c) If an individual disagrees with the initial agency 
determination regarding notification, access, or amendment, he may 
appeal by writing to the General Counsel, Defense Logistics Agency, 
ATTN: DGA, Suite 1644, 8725 John J. Kingman Road, Fort Belvoir, VA 
22060-6221 or by emailing the appeal to hq-foia@dla.mil or by faxing 
the appeal to (703) 767-6091.

Sec.  323.6  Exemption rules.

    (a) The Director, DLA or designee may claim an exemption from any 
provision of the Privacy Act from which an exemption is allowed.
    (b) An individual is not entitled to access information that is 
compiled in reasonable anticipation of a civil action or proceeding. 
The term ``civil action or proceeding'' is intended to include court 
proceedings, preliminary judicial steps, and quasi-judicial 
administrative hearings or proceedings (i.e., adversarial proceedings 
that are subject to rules of evidence). Any information prepared in 
anticipation of such actions or proceedings, to include information 
prepared to advise DLA officials of the possible legal or other 
consequences of a given course of action, is protected. The exemption 
is similar to the attorney work-product privilege except that it 
applies even when the information is prepared by non-attorneys. The 
exemption does not apply to information compiled in anticipation of 
criminal actions or proceedings.
    (c) Exempt Records Systems. All systems of records maintained by 
the Defense Logistics Agency will be exempt from the access provisions 
of 5 U.S.C. 552a(d) and the notification of access procedures of 5 
U.S.C. 522a(e)(4)(H) pursuant to 5 U.S.C. 552a(k)(1) to the extent that 
the system contains any information properly classified under Executive 
Order 13526 and which is required by the Executive Order to be kept 
secret in the interest of national defense or foreign policy. This 
exemption, which may be applicable to parts of all DLA systems of 
records, is necessary because certain record systems not otherwise 
specifically designated for exemptions herein may contain isolated 
items of information which have been properly classified.
    (d) System Identifier: S170.04 (Specific exemption).
    (1) System name: Fraud and Irregularities.
    (2) Exemption: (i) Investigatory material compiled for law 
enforcement purposes, other than material within the scope of 
subsection 5 U.S.C. 552a(j)(2), may be exempt pursuant to 5 U.S.C. 
552a(k)(2). If an individual, however, is denied any right, privilege, 
or benefit for which he would otherwise be entitled by Federal law or 
for which he would otherwise be eligible as a result of the maintenance 
of the information, the individual will be provided access to the 
information except to the extent that disclosure would reveal the 
identity of a confidential source. NOTE: When claimed, this exemption 
allows limited protection of investigative reports maintained in a 
system of records used in personnel or administrative actions.
    (ii) Investigatory material compiled solely for the purpose of 
determining suitability, eligibility, or qualifications for federal 
civilian employment, military service, federal contracts, or access to 
classified information may be exempt pursuant to 5 U.S.C. 552a(k)(5), 
but only to the extent that such material would reveal the identity of 
a confidential source.
    (iii) The specific sections of 5 U.S.C. 552a from which the system 
is exempt are 5 U.S.C. 552a(c)(3), (d)(1) through (d)(4), (e)(1), 
(e)(4)(G), (H), and (I), and (f).
    (3) Authorities: 5 U.S.C. 552a(k)(2) and (k)(5).
    (4) Reasons: (i) From 5 U.S.C. 552a(c)(3), as granting access to 
the accounting for each disclosure, as required by the Privacy Act, 
including

[[Page 46656]]

the date, nature, and purpose of each disclosure and the identity of 
the recipient, could alert the subject to the existence of an 
investigation or prosecutive interest by DLA or other agencies. This 
seriously could compromise case preparation by prematurely revealing 
its existence and nature; compromise or interfere with witnesses or 
making witnesses reluctant to cooperate; and lead to suppression, 
alteration, or destruction of evidence.
    (ii) From 5 U.S.C. 552a(d)(1) through (4) and (f), as providing 
access to records of a civil investigation, and the right to contest 
the contents of those records and force changes to be made to the 
information contained therein, would seriously interfere with and 
thwart the orderly and unbiased conduct of an investigation and impede 
case preparation. Providing access rights normally afforded under the 
Privacy Act would provide the subject with valuable information that 
would: Allow interference with or compromise of witnesses or render 
witnesses reluctant to cooperate; lead to suppression, alteration, or 
destruction of evidence; and result in the secreting of or other 
disposition of assets that would make them difficult or impossible to 
reach to satisfy any Government claim arising from the investigation or 
proceeding.
    (iii) From 5 U.S.C. 552a(e)(1), as it is not always possible to 
detect the relevance or necessity of each piece of information in the 
early stages of an investigation. In some cases, it is only after the 
information is evaluated in light of other evidence that its relevance 
and necessity will be clear.
    (iv) From 5 U.S.C. 552a(e)(4)(G) and (H), as there is no necessity 
for such publication since the system of records would be exempt from 
the underlying duties to provide notification about and access to 
information in the system and to make amendments and corrections to the 
information in the system.
    (v) From 5 U.S.C. 552a(e)(4)(I), as to the extent that this 
provision is construed to require more detailed disclosure than the 
broad, generic information currently published in the system notice, an 
exemption from this provision is necessary to protect the 
confidentiality of sources of information and to protect privacy and 
physical safety of witnesses and informants. DLA, nevertheless, will 
continue to publish such a notice in broad generic terms as is its 
current practice.
    (e) System Identifier: S500.10 (Specific exemption).
    (1) System name: Personnel Security Files.
    (2) Exemption: (i) Investigatory material compiled solely for the 
purpose of determining suitability, eligibility, or qualifications for 
federal civilian employment, federal contracts, or access to classified 
information may be exempt pursuant to 5 U.S.C. 552a(k)(5), but only to 
the extent that such material would reveal the identity of a 
confidential source.
    (ii) Therefore, portions of this system may be exempt pursuant to 5 
U.S.C. 552a(k)(5) from the following subsections of 5 U.S.C. 
552a(c)(3), (d), and (e)(1).
    (3) Authority: 5 U.S.C. 552a(k)(5).
    (4) Reasons: (i) From 5 U.S.C. 552a(c)(3) and (d), when access to 
accounting disclosures and access to or amendment of records would 
cause the identity of a confidential source to be revealed. Disclosure 
of the source's identity not only will result in the Department 
breaching the promise of confidentiality made to the source but it 
would impair the Department's future ability to compile investigatory 
material for the purpose of determining suitability, eligibility, or 
qualifications for Federal civilian employment, Federal contracts, or 
access to classified information. Unless sources may be assured that a 
promise of confidentiality will be honored, they will be less likely to 
provide information considered essential to the Department in making 
the required determinations.
    (ii) From 5 U.S.C. 552a(e)(1), as in the collection of information 
for investigatory purposes, it is not always possible to determine the 
relevance and necessity of particular information in the early stages 
of the investigation. In some cases, it is only after the information 
is evaluated in light of other information that its relevance and 
necessity becomes clear. Such information permits more informed 
decision-making by the Department when making required suitability, 
eligibility, and qualification determinations.
    (f) System Identifier: S500.20 (Specific exemption).
    (1) System name: Defense Logistics Agency (DLA) Criminal Incident 
Reporting System (DCIRS).
    (2) Exemption: (i) Investigatory material compiled for law 
enforcement purposes, other than material within the scope of 
subsection 5 U.S.C. 552a(j)(2), may be exempt pursuant to 5 U.S.C. 
552a(k)(2). If an individual, however, is denied any right, privilege, 
or benefit for which he would otherwise be entitled by Federal law or 
for which he would otherwise be eligible, as a result of the 
maintenance of the information, the individual will be provided access 
to the information except to the extent that disclosure would reveal 
the identity of a confidential source. NOTE: When claimed, this 
exemption allows limited protection of investigative reports maintained 
in a system of records used in personnel or administrative actions.
    (ii) The specific sections of 5 U.S.C. 552a from which the system 
is to be exempted are 5 U.S.C. 552a(c)(3), (d), (e)(1), (e)(4)(G), (H), 
(I), and (f).
    (3) Authority: 5 U.S.C. 552a(k)(2).
    (4) Reasons: (i) From subsection (c)(3), as to grant access to an 
accounting of disclosures as required by the Privacy Act, including the 
date, nature, and purpose of each disclosure and the identity of the 
recipient, could alert the subject to the existence of the 
investigation or prosecutive interest by DLA or other agencies. This 
could seriously compromise case preparation by: Prematurely revealing 
its existence and nature; compromising or interfering with witnesses or 
making witnesses reluctant to cooperate; and leading to suppression, 
alteration, or destruction of evidence.
    (ii) From 5 U.S.C. 552a(d) and (f), as providing access to this 
information could result in the concealment, destruction or fabrication 
of evidence and jeopardize the safety and well being of informants, 
witnesses and their families, and law enforcement personnel and their 
families. Disclosure of this information also could reveal and render 
ineffectual investigative techniques, sources, and methods used by this 
component and could result in the invasion of privacy of individuals 
only incidentally related to an investigation. Investigatory material 
is exempt to the extent that the disclosure of such material would 
reveal the identity of a source who furnished the information to the 
Government under an express promise that the identity of the source 
would be held in confidence, or prior to September 27, 1975, under an 
implied promise that the identity of the source would be held in 
confidence. This exemption will protect the identities of certain 
sources that would be otherwise unwilling to provide information to the 
Government. The exemption of the individual's right of access to his/
her records and the reasons therefore necessitate the exemptions of 
this system of records from the requirements of the other cited 
provisions.
    (iii) From 5 U.S.C. 552a(e)(1), as it is not always possible to 
detect the relevance or necessity of each piece of information in the 
early stages of an investigation. In some cases, it is only after the 
information is evaluated in light of other evidence that its relevance 
and necessity will be clear.

[[Page 46657]]

    (iv) From 5 U.S.C. 552a(e)(4)(G), (H), and (I), as it will provide 
protection against notification of investigatory material which might 
alert a subject to the fact that an investigation of that individual is 
taking place, and the disclosure of which would weaken the on-going 
investigation, reveal investigatory techniques, and place in jeopardy 
confidential informants who furnished information under an express 
promise that the sources' identity would be held in confidence (or 
prior to the effective date of the Act, under an implied promise).
    (g) System Identifier: S500.30 (Specific exemption).
    (1) System name: Incident Investigation/Police Inquiry Files.
    (2) Exemption: (i) Investigatory material compiled for law 
enforcement purposes, other than material within the scope of 
subsection 5 U.S.C. 552a(j)(2), may be exempt pursuant to 5 U.S.C. 
552a(k)(2). If an individual, however, is denied any right, privilege, 
or benefit for which he would otherwise be entitled by Federal law or 
for which he would otherwise be eligible, as a result of the 
maintenance of the information, the individual will be provided access 
to the information, except to the extent that disclosure would reveal 
the identity of a confidential source. NOTE: When claimed, this 
exemption allows limited protection of investigative reports maintained 
in a system of records used in personnel or administrative actions.
    (ii) Investigatory material compiled solely for the purpose of 
determining suitability, eligibility, or qualifications for federal 
civilian employment, military service, federal contracts, or access to 
classified information may be exempt pursuant to 5 U.S.C. 552a(k)(5), 
but only to the extent that such material would reveal the identity of 
a confidential source.
    (iii) The specific sections of 5 U.S.C. 552a from which the system 
is exempt are 5 U.S.C. 552a(c)(3), (d)(1) through (d)(4), (e)(1), 
(e)(4)(G), (H), and (I), and (f).
    (3) Authority: 5 U.S.C. 552a(k)(2) and (k)(5).
    (4) Reasons: (i) From 5 U.S.C. 552a(c)(3), because to grant access 
to the accounting for each disclosure as required by the Privacy Act, 
including the date, nature, and purpose of each disclosure and the 
identity of the recipient, could alert the subject to the existence of 
the investigation or prosecutive interest by DLA or other agencies. 
This could seriously compromise case preparation by: Prematurely 
revealing its existence and nature; compromising or interfering with 
witnesses or making witnesses reluctant to cooperate; and leading to 
suppression, alteration, or destruction of evidence.
    (ii) From 5 U.S.C. 552a(d)(1) through (d)(4), and (f), as providing 
access to records of a civil or administrative investigation, and the 
right to contest the contents of those records and force changes to be 
made to the information contained therein, would seriously interfere 
with and thwart the orderly and unbiased conduct of the investigation 
and impede case preparation. Providing access rights normally afforded 
under the Privacy Act would: Provide the subject with valuable 
information that would allow interference with or compromise of 
witnesses or render witnesses reluctant to cooperate; lead to 
suppression, alteration, or destruction of evidence; enable individuals 
to conceal wrongdoing or mislead the course of the investigation; and 
result in the secreting of or other disposition of assets that would 
make them difficult or impossible to reach to satisfy any Government 
claim arising from the investigation or proceeding.
    (iii) From 5 U.S.C. 552a(e)(1), as it is not always possible to 
detect the relevance or necessity of each piece of information in the 
early stages of an investigation. In some cases, it is only after the 
information is evaluated in light of other evidence that its relevance 
and necessity will be clear.
    (iv) From 5 U.S.C. 552a(e)(4)(G) and (H), as this system of records 
is compiled for law enforcement purposes and is exempt from the access 
provisions of 5 U.S.C. 552a(d) and (f).
    (v) From 5 U.S.C. 552a(e)(4)(I), because to the extent that this 
provision is construed to require more detailed disclosure than the 
broad, generic information currently published in the system notice, an 
exemption from this provision is necessary to protect the 
confidentiality of sources of information and to protect privacy and 
physical safety of witnesses and informants. DLA, nevertheless, will 
continue to publish such a notice in broad generic terms as is its 
current practice.
    (h) System Identifier: S500.60 (Specific exemption).
    (1) System name: DLA Hotline Program Records.
    (2) Exemption: (i) Investigatory material compiled for law 
enforcement purposes, other than material within the scope of 
subsection 5 U.S.C. 552a(j)(2), may be exempt pursuant to 5 U.S.C. 
552a(k)(2). If an individual, however, is denied any right, privilege, 
or benefit for which he would otherwise be entitled by Federal law or 
for which he would otherwise be eligible, as a result of the 
maintenance of the information, the individual will be provided access 
to the information, except to the extent that disclosure would reveal 
the identity of a confidential source. NOTE: When claimed, this 
exemption allows limited protection of investigative reports maintained 
in a system of records used in personnel or administrative actions.
    (ii) Investigatory material compiled solely for the purpose of 
determining suitability, eligibility, or qualifications for federal 
civilian employment, military service, federal contracts, or access to 
classified information may be exempt pursuant to 5 U.S.C. 552a(k)(5), 
but only to the extent that such material would reveal the identity of 
a confidential source.
    (iii) The specific sections of 5 U.S.C. 552a from which the system 
is exempt are 5 U.S.C. 552a(c)(3), (d)(1) through (4), (e)(1), 
(e)(4)(G), (H), (I), and (f).
    (3) Authority: 5 U.S.C. 552a(k)(2) and (k)(5).
    (4) Reasons: (i) From subsection (c)(3), as to grant access to an 
accounting of disclosures as required by the Privacy Act, including the 
date, nature, and purpose of each disclosure and the identity of the 
recipient, could alert the subject to the existence of the 
investigation or prosecutive interest by DLA or other agencies. This 
could seriously compromise case preparation by prematurely revealing 
its existence and nature; compromise or interfere with witnesses or 
making witnesses reluctant to cooperate; and lead to suppression, 
alteration, or destruction of evidence.
    (ii) From 5 U.S.C. 552a(d)(1) through (4) and (f), as providing 
access to records of a civil or administrative investigation, and the 
right to contest the contents of those records and force changes to be 
made to the information contained therein, would interfere seriously 
with and thwart the orderly and unbiased conduct of the investigation 
and impede case preparation. Providing access rights normally afforded 
under the Privacy Act would provide the subject with valuable 
information that would allow: Interference with or compromise of 
witnesses or render witnesses reluctant to cooperate; lead to 
suppression, alteration, or destruction of evidence; enable individuals 
to conceal wrongdoing or mislead the course of the investigation; and 
result in the secreting of or other disposition of assets that would 
make them difficult or impossible to reach to satisfy any Government 
claim arising from the investigation or proceeding.
    (iii) From 5 U.S.C. 552a(e)(1), as it is not always possible to 
detect the

[[Page 46658]]

relevance or necessity of each piece of information in the early stages 
of an investigation. In some cases, it is only after the information is 
evaluated in light of other evidence that its relevance and necessity 
will be clear.
    (iv) From 5 U.S.C. 552a(e)(4)(G) and (H), as this system of records 
is compiled for law enforcement purposes and is exempt from the access 
provisions of 5 U.S.C. 552a(d) and (f).
    (v) From 5 U.S.C. 552a(e)(4)(I), as to the extent that this 
provision is construed to require more detailed disclosure than the 
broad, generic information currently published in the system notice, an 
exemption from this provision is necessary to protect the 
confidentiality of sources of information and to protect privacy and 
physical safety of witnesses and informants. DLA, nevertheless, will 
continue to publish such a notice in broad generic terms as is its 
current practice.
    (i) System Identifier: S510.30 (Specific/General Exemption).
    (1) System name: Freedom of Information Act/Privacy Act Requests 
and Administrative Appeal Records.
    (2) Exemption: During the processing of a Freedom of Information 
Act/Privacy Act request (which may include access requests, amendment 
requests, and requests for review for initial denials of such 
requests), exempt materials from other systems of records may, in turn, 
become part of the case record in this system. To the extent that 
copies of exempt records from those ``other'' systems of records are 
entered into this system, the Defense Logistics Agency claims the same 
exemptions for the records from those ``other'' systems that are 
entered into this system, as claimed for the original primary system of 
which they are a part.
    (3) Authority: 5 U.S.C. 552a(j)(2), (k)(1) through (7).
    (4) Reasons: Records are only exempt from pertinent provisions of 5 
U.S.C. 552a to the extent such provisions have been identified and an 
exemption claimed for the original record and the purposes underlying 
the exemption for the original record still pertain to the record which 
is now contained in this system of records. In general, the exemptions 
were claimed in order to protect properly classified information 
relating to national defense and foreign policy; to avoid interference 
during the conduct of criminal, civil, or administrative actions or 
investigations; to ensure protective services provided the President 
and others are not compromised; to protect the identity of confidential 
sources incident to Federal employment, military service, contract, and 
security clearance determinations; to preserve the confidentiality and 
integrity of Federal testing materials; and to safeguard evaluation 
materials used for military promotions when furnished by a confidential 
source. The exemption rule for the original records will identify the 
specific reasons why the records are exempt from specific provisions of 
5 U.S.C. 552a.

    Dated: July 9, 2012.
Patricia L. Toppings,
OSD Federal Register, Liaison Officer, Department of Defense.
[FR Doc. 2012-18123 Filed 8-3-12; 8:45 am]
BILLING CODE 5001-06-P
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