21548 Federal Register / Vol. 60, No. 84 / Tuesday, May 2, 1995 / Notices

6103(l)(7)(A) and (B) in accordance with

26 U.S.C. 6103(p)(4) and the IRS’s ‘‘Tax

Information Security Guidelines for

Federal, State and Local Agencies.’’

RETENTION AND DISPOSAL:

Only those computer files and

printouts created from the computer

matching that meet predetermined

criteria are maintained. These records

will be destroyed as soon as they have

served the matching program’s purpose.

All other records will be destroyed as

soon as possible within 1 year. Paper

listings containing personal identifiers

will be shredded. Computer source files

provided by other organizations will be

returned to those organizations or

destroyed in accordance with computer

matching agreements.

Except for tax return information that

HUD may not redisclose to housing

agencies, owners or agents, the

information may be referred to housing

agencies, owners or agents for

administrative actions, i.e., recoupment

of excessive housing assistance.

Information obtained through computer

matching and tenant case file reviews

will be destroyed as soon as follow-up

processing of this information is

completed, unless the information is

required for evidentiary reasons or

needed by housing agencies, owners

and agents for use in program eligibility

determinations. When needed for

evidentiary documentation, the

information will be referred to the HUD

Office of Inspector General (OIG) or

other appropriate Federal, State or local

agencies charged with the responsibility

for investigating or prosecuting such

violations. When referred to the HUD

OIG the information then becomes a

part of the Investigative Files of the

Office of Inspector General, HUD/OIG–

1.

SYSTEM MANAGER AND ADDRESS:

Director, Computer Matching

Activities, Office of the Public and

Indian Housing Comptroller, U.S.

Department of Housing and Urban

Development, 451 Seventh Street, SW.,

Room 5156, Washington, DC. 20410.

NOTIFICATION PROCEDURES:

Records are generally exempt from

Privacy Act access. However, the

System Manager will give consideration

to a request from an individual for

notification of whether the system

contains records pertaining to that

individual.

RECORD ACCESS PROCEDURES:

Records are generally exempt from

Privacy Act access. However, the

System Manager will give consideration

to a request from an individual for

access to records pertaining to that

individual. The procedures for

requesting access to records appear in

24 CFR part 16.

CONTESTING RECORD PROCEDURES:

Records are generally exempt from

Privacy Act amendment or correction.

However, the System Manager will give

consideration to a request from an

individual for amendment or correction

of records pertaining to that individual.

The procedures for amendment or

correction of records appear in 24 CFR

part 16.

RECORD SOURCE CATEGORIES:

The Assistant Secretary for Public and

Indian Housing collects information

from a variety of sources, including:

Housing agencies, the Assistant

Secretary for Housing-Federal Housing

Commissioner (tenant information

provided by owners and agents), State

wage information collection agencies,

other Federal and State agencies, law

enforcement agencies, program

participants, complainants, and other

nongovernmental sources.

EXEMPTIONS FROM CERTAIN PROVISIONS OF THE

ACT:

This system of records is exempt from

the requirements of: subsections (c)(3),

(d)(1), (d)(2) and (e)(1) of the Privacy

Act pursuant to 5 U.S.C. 552a(k)(2); and

from the requirements of subsection

(d)(1) of the Privacy Act pursuant to 5

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

[FR Doc. 95–10684 Filed 5–1–95; 8:45 am]

BILLING CODE 4210–01–P

[Docket No. N–95–3848; FR 3795–N–01]

Privacy Act of 1974; Matching

Program: Matching Tenant Data in

Assisted Housing Programs

AGENCY: Office of the Assistant

Secretary for Administration, HUD.

ACTION: Notice of matching program.

SUMMARY: Pursuant to the Computer

Matching and Privacy Protection Act of

1988, as amended, and the Office of

Management and Budget’s Guidance on

the statute, HUD announces a revised

matching program involving

comparisons between income data

provided by applicants or participants

in HUD’s assisted housing programs and

independent sources of income

information. The matching program will

be carried out to detect excessive

housing assistance under the National

Housing Act, the United States Housing

Act of 1937, and section 101 of the

Housing and Community Development

Act of 1965. The program provides for

the verification of the matching results

and the initiation of appropriate

administrative or legal actions,

primarily through public housing

agencies, Indian housing authorities,

and private owners/management agents

for subsidized multifamily projects.

This notice provides an overview of

computer matching for HUD’s assisted

housing programs. Specifically, this

notice:

(1) Adds Social Security

Administration (SSA) and Internal

Revenue Service (IRS) data concerning

earned and unearned income to the

matching program as independent

sources for computer matching;

(2) Describes verification processes for

the SSA and IRS matching that differ

from processes previously used;

(3) Expands the matching to cover

social security and supplemental social

security income data maintained by the

SSA; and

(4) Recognizes the transfer of

computer matching/tenant income

verification functions from HUD’s Office

of Inspector General to offices that

administer the assisted housing

programs. Those offices include the

Office of the Assistant Secretary for

Public and Indian Housing and the

Office of the Assistant Secretary for

Housing—Federal Housing

Commissioner.

This notice also sets forth new

starting and ending dates for the

matching program.

EFFECTIVE DATES: HUD anticipates that

during the third quarter of calendar year

1995 it will: (a) Request that SSA and

IRS conduct the initial computer

matching, and (b) compare SSA and IRS

matching results to its tenant data.

During the third quarter of calendar

year 1995, HUD plans to initiate the

tenant income verification process for a

limited number of organizations that

administer HUD assisted housing

programs. HUD anticipates that the

tenant income verification process will

be expanded in Fiscal Year 1996 to

include more organizations that

administer HUD assisted housing

programs. The projected dates for SSA

and IRS matching are effective unless

comments are received that result in a

contrary determination, and HUD

withdraws this notice.

The computer matching described in

this notice may begin after compliance

with the reporting requirements cited in

section 4 of Appendix I to OMB Circular

No. A–130—Federal Agency

Responsibilities for Maintaining

Records About Individuals (59 FR

37916; July 25, 1994). That section
Federal Register / Vol. 60, No. 84 / Tuesday, May 2, 1995 / Notices 21549

requires that Federal agencies provide

the Chair of the House Committee on

Government Operations, the Chair of the

Senate Committee on Government

Affairs, and the Office of Management

and Budget with notice of the matching

program and computer matching

agreements 40 days before operating the

program.

ADDRESSES: Interested persons are

invited to submit comments regarding

this notice to the Rules Docket Clerk,

Office of General Counsel, Room 10276,

Department of Housing and Urban

Development, 451 Seventh Street, SW,

Washington, DC 20410–0500.

Communications should refer to the

above docket number and title.

Facsimile (FAX) comments are not

acceptable. A copy of each

communication submitted will be

available for public inspection and

copying between 7:30 a.m. and 5:30

p.m. weekdays at the above address.

FOR FURTHER INFORMATION CONTACT: For

Privacy Act: Jeanette Smith,

Departmental Privacy Act Officer, Room

4178, Department of Housing and Urban

Development, 451 Seventh Street, SW,

Washington, DC 20410, telephone

number (202) 708–2374. Hearing- or

speech-impaired individuals may call

(202) 708–1112 (Federal Information

Relay Service—TDD). For further

information from recipient agency:

David L. Decker, Director, Computer

Matching Activities, Office of the Public

and Indian Housing Comptroller, Room

5156, Department of Housing and Urban

Development, 451 Seventh Street, SW,

Washington, DC 20410, telephone

number (202) 708–0099, TDD—(202)

708–0850; or Barbara D. Hunter, Acting

Director, Planning and Procedures

Division, Office of Multifamily Housing

Management, Room 6180, Department

of Housing and Urban Development,

451 Seventh Street, SW, Washington,

DC 20410, telephone number (202) 708–

3944, TDD—(202) 708–4594. (These

telephone numbers are not toll-free.)

SUPPLEMENTARY INFORMATION: This

notice supersedes a similar notice

published in the Federal Register on

December 12, 1991 (56 FR 64793).

The Computer Matching and Privacy

Protection Act of 1988, as amended (5

U.S.C. 552a) (the CMPP Act), the Office

of Management and Budget’s (OMB’s)

guidance on this statute entitled ‘‘Final

Guidance Interpreting the Provisions of

Public Law 100–503, the Computer

Matching and Privacy Protection Act of

1988’’ (OMB Guidance), and OMB

Circular No. A–130 require publication

of notices of computer matching

programs. OMB’s Guidance augments

the ‘‘OMB Guidelines on the

Administration of the Privacy Act of

1974’’ that were issued July 1, 1975.

Appendix I to OMB’s Revision of

Circular No. A–130, ‘‘Transmittal 2,

Management of Federal Information

Resources,’’ prescribes Federal agency

responsibilities for maintaining records

about individuals. In accordance with

the CMPP Act and Appendix I to OMB

Circular No. A–130, copies of this notice

are being provided to the Committee on

Government Operations of the House of

Representatives, the Committee on

Governmental Affairs of the Senate, and

OMB’s Office of Information and

Regulatory Affairs.

I. Authority

This matching program is being

conducted pursuant to sections 3003

and 13403 of the Omnibus Budget

Reconciliation Act of 1993 (Pub. L. 103–

66, approved August 10, 1993); section

904 of the Stewart B. McKinney

Homeless Assistance Amendments Act

of 1988 (42 U.S.C. 3544); section 165 of

the Housing and Community

Development Act of 1987 (42 U.S.C.

3543); the National Housing Act (12

U.S.C. 1701–1750g); the United States

Housing Act of 1937 (42 U.S.C. 1437–

1437o); and section 101 of the Housing

and Urban Development Act of 1965 (12

U.S.C. 1701s).

The Omnibus Budget Reconciliation

Act of 1993 (Budget Reconciliation Act)

authorizes HUD to request from the

Social Security Administration (SSA)

and the Internal Revenue Service (IRS)

return information as prescribed in

section 6103(l)(7) of title 26 of the

United States Code (Internal Revenue

Code). The Budget Reconciliation Act

limits HUD’s access to tax return data

and prohibits HUD’s redisclosure of tax

return data to public housing agencies

and Indian housing authorities

(collectively referred to as HAs), and

private owners/management agents for

subsidized multifamily projects.

However, it allows HUD to disclose the

fact that discrepancies exist between

information provided by the tenant and

other sources, and to request

reverification of income in light of the

tenant’s uncertain eligibility for, or level

of, benefits.

The Budget Reconciliation Act

requires that applicants and participants

in assisted housing programs sign a

consent form authorizing the Secretary

of HUD to request that the

Commissioner of Social Security and

the Secretary of the Treasury release the

return information. A final rule

regarding participants’ consent to the

release of information was published by

HUD in the Federal Register on March

20, 1995 (60 FR 14632).

The Stewart B. McKinney Homeless

Assistance Amendments Act of 1988

authorizes HUD and HAs (but not

private owners/management agents for

subsidized multifamily projects) to

request wage and claim information

from State Wage Information Collection

Agencies (SWICAs) responsible for

administering State unemployment laws

in order to undertake computer

matching. This Act authorizes HUD to

require applicants and participants to

sign a consent form authorizing HUD or

the HA to request wage and claim

information from the SWICAs.

The Housing and Community

Development Act of 1987 authorizes

HUD to require applicants and

participants (as well as members of their

households six years of age and older)

in HUD-administered programs

involving rental assistance to disclose to

HUD their social security numbers

(SSNs) as a condition of initial or

continuing eligibility for participation

in the programs.

II. Objectives To Be Met by the

Matching Program

HUD’s primary objective in

implementing the computer matching

program is to increase the availability of

housing assistance to individuals who

meet the requirements of the housing

assistance programs. Other objectives

include identifying and recouping

excessive housing assistance received

by tenants, and deterring future abuses

of assisted housing programs.

HUD’s various assisted housing

programs, available through HAs or

subsidized multifamily project owners/

management agents, require that

applicants meet certain income and

other criteria to be eligible for housing

assistance. In addition, tenants are

required to report the amount and

sources of their income on at least an

annual basis. The matching program

will identify tenants receiving excessive

housing assistance resulting from

unreported or underreported family

income. When the excessive housing

assistance is identified, these tenants

frequently move out of assisted housing

units, increasing funds or units

available to serve the intended

beneficiaries of HUD programs. Further,

program administrators may collect

excessive housing assistance from those

tenants. Some tenants may continue to

receive housing assistance but will be

required to increase their contributions

toward rent, and to re-pay excessive

housing assistance.

III. Program Description

In this computer matching program,

tenant-provided information included
21550 Federal Register / Vol. 60, No. 84 / Tuesday, May 2, 1995 / Notices

in HUD’s automated files will be

compared to data from the SSA and the

IRS, as well as from SWICAs and the

Office of Personnel Management (OPM).

HUD intends the SSA and IRS matching

to be a continuing program for assisted

housing programs nationwide. HUD will

normally request that the SSA conduct

matching of earned income information,

and that the IRS conduct matching of

unearned income information, on an

annual basis. HUD will request SSA

matching of social security and

supplemental social security income

information monthly. Initially HUD may

limit the matching or the verification

process to selected HAs and private

owners/management agents to test the

effectiveness of the computer matching

and tenant income verification

processes.

HUD anticipates that it will only

conduct SWICA matching in selected

States. Furthermore, HUD anticipates

that the extent of SWICA and OPM

matching will decrease in future years,

after the effectiveness of SSA and IRS

matching and income verification has

been demonstrated. HAs may also

request SWICA matching.

HUD will disclose to the SSA, IRS,

and SWICAs only tenant personal

identifiers, i.e., SSNs, surnames, dates

of birth, and sex. The SSA, IRS, and

SWICAs will conduct the matching of

the HUD-provided personal identifiers

to personal identifiers included in their

automated files. Those agencies will

provide income data to HUD only for

individuals with matching personal

identifiers.

The process of income matching

between HUD and the OPM varies from

the above. The OPM will disclose its

data to HUD, and HUD will actually

conduct the computer matching to OPM

data.

HUD will then compare the SSA, IRS,

OPM, and SWICA income data to

tenant-reported income data included in

HUD’s system of records known as the

Tenant Housing Assistance and Contract

Verification Data (HUD H–11). This

comparison will identify, based on

criteria established by HUD, tenants

whose income(s) require further

verification.

A. Income Verification

HUD will normally request that HAs

or private owners/management agents

verify matching results as described

below. However, under certain limited

circumstances HUD may verify tenant

income(s) with independent income

sources. For example, such

circumstances may include when: (a)

HUD declares an HA in breach of an

annual contributions contract; or (b) the

tenant fails to disclose SSA and IRS

data, the tenant has committed other

serious violations, and HUD’s analysis

of the data could support legal actions.

HUD may send letters to employers to

request income data, but HUD will not

disclose tax return data to HAs, private

owners/management agents, employers,

or payors.

(1) Verification of SSA and IRS Data

Referenced in Section 6103(l)(7) of the

Internal Revenue Code

Since HUD cannot redisclose tax

return data directly to HAs or private

owners/management agents, HUD plans

to notify tenants of discrepancies

between the tenant-reported income and

the SSA and IRS data. HUD will supply

the tenant with income information

taken directly from SSA and IRS data

and request that the tenant provide this

information to the HA or private owner/

management agent. Concurrently, HUD

will notify the HA or the private owner/

management agent that a discrepancy

exists between information provided by

the tenant and other sources and will

request reverification of the tenant’s

income. This notification will not

include any tax return information.

Income information that tenants

disclose to the HA or private owners/

management agents will be verified

directly with the income source or with

the tenant. Tenants who fail to report to

the HA or private owner/management

agent after HUD’s initial notice will

receive a second notice sent by the HA

or private owner/management agent. If

the tenant still fails to provide the

information to the HA or private owner/

management agent, the HA or private

owner/management agent may then

terminate housing assistance, after

providing the tenant an opportunity to

grieve any adverse action.

The SSA and the IRS have advised

HUD that the process described in the

preceding paragraph is consistent with

the intent of section 6103(l)(7) of the

Internal Revenue Code, as the intent of

the matching is to create a dialogue

between the benefit recipient and the

benefit provider.

(2) Verification of Social Security and

Supplemental Social Security Income

Data

Unlike the income return information

supplied by the SSA and the IRS, HUD

may disclose SSA Title 2 (social

security) and Title 16 (supplemental

social security income) data to HAs and

private owners/management agents.

Therefore, after receiving this data from

the SSA and comparing it to tenantreported income, HUD will disclose the

SSA social security and supplemental

social security income data to HAs and

private owners/management agents.

These disclosures will be limited to

those instances in which a significant

disparity exists between the SSA and

the tenant-reported data. HAs and

private owners/management agents will

then notify the tenant if a disparity

exists that affects the tenant’s housing

assistance.

(3) Verification of SWICA Data

HUD will disclose matching results

for SWICA wage and unemployment

claim data directly to HAs, but not to

private owners/management agents. The

comparison of SWICA wage information

and the tenant-reported data will reveal

whether income verification is

necessary. The HA must then obtain

wage information directly from the

tenants’ employer(s), including

information from prior years when

appropriate. The SWICA unemployment

claim data must be verified with the

tenant. Verification with the SWICA

would only be required if the tenant

disputes the SWICA claim data.

(4) Verification of OPM Data

HUD will disclose matching results

for OPM data to HAs and private

owners/management agents. The OPM

data, when compared to the tenantreported data, provides an indicator that

income verification is necessary. The

HAs and private owners/management

agents may then obtain wage

information directly from the

employer(s), including information from

prior years when appropriate.

B. Administrative or Legal Actions

Regarding all the matching described

in this notice, HUD anticipates that HAs

and private owners/management agents

will take appropriate actions in

consultation with the tenant to resolve

the disparities between tenant-reported

and independent income source data. If

appropriate, the HAs and private

owners/management agents will

increase the tenant’s contribution

toward rent, i.e., reduce the housing

assistance provided.

After verifying that the tenant had

access to income that the tenant did not

report, the HA or project owner/

management agent will:

(1) Notify the tenant in writing of any

findings;

(2) Calculate the unreported income

and excessive housing assistance

received by the family;

(3) Offer the tenant an opportunity to

contest any findings;

(4) Provide a grievance hearing or a

right to contest to the tenant, if

requested; and
Federal Register / Vol. 60, No. 84 / Tuesday, May 2, 1995 / Notices 21551

(5) Initiate, as appropriate,

administrative or legal actions to resolve

the tenant’s underpayment of rent, using

guidelines in HUD regulations and

handbooks.

The HAs and private owners/

management agents may not suspend,

terminate, reduce, or make a final denial

of any housing assistance to any

individual as the result of information

produced by this matching program

until: (a) The individual has received

notice from that agency containing a

statement of its findings and informing

the individual of the opportunity to

contest such findings; and (b) either the

notice period provided in applicable

regulations of the program, or 30 days,

whichever is later, has expired. In most

cases, the discrepancy will be resolved

through consultation between the tenant

and the HA or private owner/

management agent.

In legal actions, HAs and private

owners/management agents may refer

cases to local law enforcement entities

or HUD’s Office of Inspector General

(OIG) for possible investigation and

prosecution, either criminally or civilly.

Referrals to the OIG should involve only

egregious cases.

C. Reporting on Computer Matching/

Income Verification Results

HUD plans to prescribe a

methodology (probably electronic) for

HAs and private owners/management

agents to report computer matching/

income verification results to HUD. The

reporting methodology will measure the

effectiveness of the computer matching

program. In developing the

methodology, HUD will avoid imposing

any unnecessary burden on HAs and

private owners/management agents. The

reporting requirement will be submitted

to OMB for approval under the

Paperwork Reduction Act of 1980 (44

U.S.C. Chapter 35), and a notice of this

submission will be published in the

Federal Register.

IV. Records To Be Matched

SSA and IRS will actually conduct the

matching of tenant SSNs and additional

identifiers (such as surnames and dates

of birth) to tenant data that HUD

supplies from its system of records

known as the Tenant Housing

Assistance and Contract Verification

Data (HUD H–11). Within HUD, this

system of records includes two

automated systems known as the

Multifamily Tenant Characteristics

System (a system for programs under

the Office of the Assistant Secretary for

Public and Indian Housing) and the

Tenant Rental Assistance Certification

System (a system for programs under

the Office of the Assistant Secretary for

Housing—Federal Housing

Commissioner). HAs and private

owners/management agents for

subsidized multifamily projects provide

HUD with the data included in HUD H–

11.

The SSA will match the HUD H–11

records to the SSA’s Earnings Recording

and Self-Employment Income System

(HHS/SSA/OSR, 09–60–0059) (Earnings

Record); Master Beneficiary Record

(HHS/SSA/OSR, 09–60–0090) (MBR);

and Supplemental Security Income

Record (HHS/SSA/OSR, 09–60–0103)

(SSR). The IRS will match the HUD H–

11 records to its Wage and Information

Returns (IRP) Master File (Treas/IRS

22.061). The IRS also refers to this file

as the Information Return Master File

(IRMF).

HUD’s Assistant Secretary for Public

and Indian Housing (PIH) will place

matching data into its Tenant Eligibility

Verification Files (HUD/PIH–1), as

provided in a notice published in

today’s Federal Register. The HUD/

PIH–1 files are specifically exempt from

certain provisions of the Privacy Act, as

described in a notice published on

February 28, 1994 (59 FR 9406) and a

notice published on March 30, 1994 (59

FR 14869). HUD’s Assistant Secretary

for Housing—Federal Housing

Commissioner will consider matching

data as a component of HUD H–11.

HUD may also coordinate SWICA

income computer matches for its rental

assistance programs using tenants’ SSNs

and surnames. SWICAs will match

tenant records to machine-readable files

of quarterly wage data and

unemployment insurance benefit data.

Results from this matching will be

provided to HUD or HAs, which will

then determine whether tenants have

unreported or underreported income.

The matching will be done in

accordance with a written agreement

between the SWICA and HUD.

In addition, tenants’ SSNs may be

matched to the OPM’s General

Personnel Records (OPM/GOVT–1), the

Civil Service Retirement and Insurance

Records System (OPM/Central-1), and

the Department of Defense’s Defense

Manpower Data Center Data Base

(S322.10.DMDC). The tenant data may

be matched to the SSA’s Master Files of

Social Security Number Holders (HHS/

SSA/OSR, 09–60–0058) and Death

Master Files for the purpose of

validating SSNs contained in tenant

records. These records will also be used

to validate SSNs for all applicants,

tenants, and household members who

are six (6) years of age and over to

identify noncompliance with program

eligibility requirements. HUD will

compare tenant SSNs provided by HAs

or private owners/management agents to

reveal duplicate SSNs and potential

duplicate housing assistance.

V. Period of the Match

The computer matching program will

be conducted according to agreements

between HUD and the SSA, IRS, OPM,

and SWICAs. The computer matching

agreements for the planned matches will

terminate either when the purpose of

the computer matching program is

accomplished, or 18 months from the

date the agreement is signed, whichever

comes first.

The agreement may be extended for

one 12-month period, with the mutual

agreement of all involved parties, if the

following conditions are met:

(1) Within 3 months of the expiration

date, all Data Integrity Boards review

the agreement, find that the program

will be conducted without change, and

find a continued favorable examination

of benefit/cost results; and

(2) All parties certify that the program

has been conducted in compliance with

the agreement.

The agreement may be terminated,

prior to accomplishment of the

computer matching purpose or 18

months from the date the agreement is

signed (whichever comes first), by the

mutual agreement of all involved parties

within 30 days of written notice.

Dated: March 22, 1995.

Marilynn A. Davis,

Assistant Secretary for Administration.

[FR Doc. 95–10685 Filed 5–1–95; 8:45 am]

BILLING CODE 4210–01–P

DEPARTMENT OF THE INTERIOR

Bureau of Land Management

[AK–962–1410–00–P; AA–6687–A]

Alaska Native Claims Selection

In accordance with Departmental

regulation 43 CFR 2650.7(d), notice is

hereby given that a decision to issue

conveyance under the provisions of Sec.

14(a) of the Alaska Native Claims

Settlement Act of December 18, 1971, 43

U.S.C. 1601, 1613(a), will be issued to

Old Harbor Native Corporation for

approximately 915 acres. The lands

involved are in the vicinity of Kodiak

National Wildlife Refuge, Alaska.

Seward Meridian, Alaska

T. 34 S., R. 23 W.,

Secs. 4, 8, 9, and 17.

A notice of the decision will be

published once a week, for four (4)

consecutive weeks, in the Kodiak Daily