Privacy Act of 1974; System of Records-School Participation Division Complaints Tracking System, 12298-12302 [2013-04126]

Agencies

• DEPARTMENT OF EDUCATION

[Federal Register Volume 78, Number 36 (Friday, February 22, 2013)]
[Notices]
[Pages 12298-12302]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2013-04126]


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DEPARTMENT OF EDUCATION


Privacy Act of 1974; System of Records--School Participation 
Division Complaints Tracking System

AGENCY: Federal Student Aid, Department of Education.

ACTION: Notice of a new system of records.

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SUMMARY: In accordance with the Privacy Act of 1974, as amended 
(Privacy Act), 5 U.S.C. 552a, the Chief Operating Officer for Federal 
Student Aid (FSA) of the Department of Education (Department) publishes 
this notice proposing to add a new system of records entitled ``School 
Participation Division Complaints Tracking System (SPD-CTS)'' (18-11-
19).

DATES: Submit your comments on this proposed new system of records on 
or before March 25, 2013.
    The Department has filed a report describing the new system of 
records covered by this notice with the Chair of the Senate Committee 
on Homeland Security and Governmental Affairs, the Chair of the House 
Committee on Oversight and Government Reform, and the Administrator of 
the Office of Information and Regulatory Affairs, Office of Management 
and Budget (OMB) on February 19, 2013. This new system of records will 
become effective on the later date of: (1) Expiration of the 40-day 
period for OMB review on April 1, 2013, unless OMB waives 10 days of 
the 40-day review period for compelling reasons shown by the 
Department; or (2) March 25, 2013, unless the system of records needs 
to be changed as a result of public comment or OMB review.

[[Page 12299]]


ADDRESSES: Address all comments about the School Participation 
Division--Complaints Tracking System to: Performance Improvement and 
Procedures Services Group Director, FSA, U.S. Department of Education, 
Union Center Plaza (UCP), 830 First Street NE., Washington, DC 20202-
5435. Telephone: 202-377-4232. If you prefer to send comments through 
the Internet, use the following address: comments@ed.gov.
    You must include the term ``SPD-CTS'' in the subject line of your 
electronic message.
    During and after the comment period, you may inspect all public 
comments about this notice at the U.S. Department of Education in room 
72E1, UCP, 7th Floor, 830 First Street NE., Washington, DC 20202-5435 
between the hours of 8:00 a.m. and 4:30 p.m., Eastern time, Monday 
through Friday of each week except Federal holidays.

Assistance to Individuals With Disabilities in Reviewing the Rulemaking 
Record

    On request, we will provide an appropriate accommodation or 
auxiliary aid to an individual with a disability who needs assistance 
to review the comments or other documents in the public rulemaking 
record for this notice. If you want to schedule an appointment for this 
type of accommodation or auxiliary aid, please contact the person 
listed under FOR FURTHER INFORMATION CONTACT.

FOR FURTHER INFORMATION CONTACT: Performance Improvement and Procedures 
Services Group Director, FSA, U.S. Department of Education, UCP, 830 
First Street NE., Washington, DC 20202-5435. Telephone: 202-377-4232. 
If you use a telecommunications device for the deaf (TDD), or text 
telephone (TTY), you may call the Federal Relay Service (FRS), toll 
free, at 1-800-877-8339.

SUPPLEMENTARY INFORMATION: 

Introduction

    In accordance with Executive Order 13607 of April 27, 2012, the 
Department's Federal Student Aid office has created a complaint system 
to strengthen enforcement and compliance mechanisms. The SPD-CTS will 
register and track complaints and responses for students receiving 
Federal military, veteran's educational, or Federal title IV, Higher 
Education Act of 1965, as amended (HEA) program benefits. Information 
may be shared with other Federal agencies, such as the Department of 
Veterans Affairs, the Department of Defense, the Department of Justice, 
and the Consumer Financial Protection Board (CFPB), for the purposes 
indicated in the routine uses published below and provided that such 
disclosure is permissible under the Family Educational Rights and 
Privacy Act (FERPA). Complaints are received through various resources 
(including, but not limited to, the public, school officials, external 
oversight partners, students, referrals from Federal, State, or local 
agencies, and other FSA offices), regarding issues such as 
administrative capability, school closure, disbursements, foreign 
schools, misrepresentation, and loan issues or student eligibility 
issues. Complaints are typically received via telephone or written 
correspondence by either FSA or the Office of Inspector General; 
however, complaints are registered without regard to the manner in 
which they are submitted. The preferred method for the receipt of title 
IV complaints and allegations is via email using the general SPD 
mailbox at Caseteams@ed.gov.
    Upon receipt, the complaint or allegation is sent to the 
appropriate SPD team member for review, follow-up, and resolution. The 
complaints and allegations are reviewed to establish facts and 
circumstances regarding the alleged impropriety relating to the 
administration of the title IV, HEA programs. If the complaint or 
allegation is found to have merit, SPD takes the appropriate compliance 
action.
    The purposes of the SPD-CTS are to capture complaint and allegation 
information from any source, to track complaints and allegations 
accurately by maintaining an audit trail of actions taken by the SPD, 
to provide geographically dispersed team members with meaningful and 
up-to-date information at decision points for SPD activities, to 
routinely resolve complaints within a timely manner, to report annually 
to Congress, to provide oversight and to ensure program integrity, thus 
safeguarding taxpayers' interests, to identify title IV, HEA program 
issues that may lead to law enforcement investigations, litigation, or 
other proceedings for use in such proceedings, to refer instances of 
possible fraud and abuse in Federal, State, or local programs to 
appropriate persons, entities, or authorities, where they may be 
covered by other Privacy Act system of records notices, and to create a 
centralized complaint system for students receiving educational 
benefits to register complaints that can be tracked and responded to by 
appropriate Federal, State, or local persons, entities, or authorities, 
where they also may be covered by other Privacy Act system of records 
notices.
    The SPD-CTS includes records on individuals who have received title 
IV, HEA program assistance and are unsatisfied with their institutions 
of higher education. These records not only contain complaints and 
allegations against institutions of higher education, but they also 
contain, individually identifying information about title IV, HEA 
recipients, including, but not limited to their: names, street 
addresses, email addresses, and phone numbers. The information in the 
SPD-CTS may be shared with other law enforcement agencies for the 
purposes indicated in the routine uses published below and provided 
that such disclosure is consistent with FERPA.
    Anyone in the SPD can add cases; those records will be held in 
accordance with federal record retention policies. In order to view the 
contents of the SPD-CTS on the Web site, a password is required to 
access SPD-CTS on the Web site.
    The Privacy Act of 1974 (5 U.S.C. 552a(e)(4) and (11)) requires the 
Department to publish this notice of a new system of records in the 
Federal Register. The Department's regulations implementing the Privacy 
Act are contained in 34 CFR part 5b.
    The Privacy Act applies to any record about an individual that 
contains individually identifying information and that is retrieved by 
a unique identifier associated with each individual, such as a name or 
Social Security number (SSN). The information about each individual is 
called a ``record,'' and the system, whether manual or computer-based, 
is called a ``system of records.''
    The Privacy Act requires each agency to publish a system of records 
notice in the Federal Register and to prepare reports to the 
Administrator of the Office of Information and Regulatory Affairs, OMB 
whenever the agency publishes a new system of records or significantly 
alters an established system of records. Each agency is also required 
to send copies of the report to the Chair of the Senate Committee on 
Homeland Security and Governmental Affairs and the Chair of the House 
of Representatives Committee on Oversight and Government Reform. These 
reports are included to permit an evaluation of the probable effect of 
the proposal on the privacy rights of individuals.
    Accessible Format: Individuals with disabilities can obtain this 
document in an accessible format (e.g., braille, large print, 
audiotape, or compact disc) on request to the contact person listed 
under this section.

[[Page 12300]]

    Electronic Access to This Document: The official version of this 
document is the document published in the Federal Register. Free 
Internet access to the official edition of the Federal Register and the 
Code of Federal Regulations is available via the Federal Digital System 
at: www.gpo.gov/fdsys. At this site you can view this document, as well 
as all other documents of the Department published in the Federal 
Register, in text or Adobe Portable Document Format (PDF). To use PDF 
you must have Adobe Acrobat Reader, which is available free at the 
site.
    You may also access documents of the Department published in the 
Federal Register by using the article search feature at: 
www.federalregister.gov. Specifically, through the advanced search 
feature at this site, you can limit your search to documents published 
by the Department.

    Dated: February 19, 2013.
James W. Runcie,
Chief Operating Officer, Federal Student Aid.

    For the reasons discussed in the introduction, the Chief Operating 
Officer, Federal Student Aid, U.S. Department of Education (Department) 
publishes a new system of records to read as follows:
SYSTEM NUMBER:
    18-11-19

SYSTEM NAME:
    ``School Participation Division--Complaints Tracking System (SPD-
CTS)''.

SECURITY CLASSIFICATION:
    None.

SYSTEM LOCATION:
    The information in the SPD-CTS is on an Intranet Web site called 
PCNet and is maintained by a School Participation Division (SPD) staff 
member in the Department's Dallas Regional Office located at 1999 Bryan 
Street, Suite 1410, Dallas, Texas 75201-6817. The Web site itself is 
located at the Virtual Data Center, maintained by Dell Perot Systems, 
2300 W. Plano Parkway, Plano, Texas 75075-8427.

CATEGORIES OF INDIVIDUALS COVERED BY THE SYSTEM:
    This system contains records of individuals who file a complaint or 
allegation against an institution of higher education (IHE) related to 
the administration of title IV, Higher Education Act of 1965, as 
amended (HEA) programs.

CATEGORIES OF RECORDS IN THE SYSTEM:
    Records in the SPD-CTS include, but are not limited to, data about 
individuals who have filed a complaint or allegation about an IHE. The 
records contain individually identifying information about these 
individuals, including, but not limited to their: names, addresses, 
email addresses, and telephone numbers.

AUTHORITY FOR MAINTENANCE OF THE SYSTEM:
    This system of records is authorized under Executive Order 13607 of 
April 27, 2012 and title IV of the HEA, 20 U.S.C. 1070 et seq.

PURPOSES:
    The information contained in this system is maintained for the 
following purposes: (1) To capture complaint and allegation information 
from any source; (2) to track complaints and allegations accurately by 
maintaining an audit trail of actions taken by the SPD; (3) to provide 
geographically dispersed staff with meaningful and up-to-date 
information at decision points for SPD activities; (4) to routinely 
resolve complaints within a timely manner; (5) to report annually to 
Congress; (6) to provide oversight and to ensure program integrity, 
thus safeguarding taxpayers' interests; (7) to identify title IV, HEA 
program issues that may lead to law enforcement investigations, 
litigation, or other proceedings and for use in such proceedings; (8) 
to refer instances of possible fraud and abuse in Federal, State, or 
local programs to appropriate persons, entities, or authorities, where 
they may be covered by other Privacy Act system of records notices; 
and, (9) to create a centralized complaint system for students 
receiving educational benefits to register complaints that can be 
tracked and responded to by appropriate Federal, State, or local 
persons, entities, or authorities, where they also may be covered by 
other Privacy Act system of records notices.

ROUTINE USES OF RECORDS MAINTAINED IN THE SYSTEM, INCLUDING CATEGORIES 
OF USERS AND THE PURPOSES OF SUCH USES:
    The Department may disclose information contained in a record in 
this system of records under the routine uses listed in this system of 
records without the consent of the individual if the disclosure is 
compatible with the purposes for which the record was collected. The 
Department may make these disclosures on a case-by-case basis, or if 
the Department has complied with the computer matching requirements of 
the Privacy Act of 1974, as amended (Privacy Act), under a computer 
matching agreement. To the extent any routine use disclosure published 
below involves the disclosure of personally identifiable information 
from education records protected by the Family Educational Rights and 
Privacy Act (FERPA), such disclosure only will be made to the extent 
that it is permissible under FERPA.
    (1) Program Purposes. The Department may disclose records from the 
SPD-CTS system of records for the following program purposes:
    (a) To verify the identity of the complainant involved or the 
accuracy of any complaint record in this system of records, or to 
assist with the determination of program eligibility and benefits, the 
Department may disclose records to IHEs; third-party servicers; or 
Federal, State, or local agencies.
    (b) To support the investigation of possible fraud and abuse and to 
detect and prevent fraud and abuse in Federal, State, or local 
programs, disclosures may be made to IHEs; third-party servicers; or 
Federal, State, or local agencies.
    (c) To support the creation of a centralized complaint system for 
students receiving educational benefits and to permit those complaints 
to be responded to by appropriate persons, entities, or authorities, 
disclosures may be made to appropriate Federal, State, or local 
persons, entities, or authorities.
    (2) Congressional Member Disclosure. The Department may disclose 
the records of an individual to a member of Congress or the member's 
staff when necessary to respond to an inquiry from the member made at 
the written request of that individual. The member's right to the 
information is no greater than the right of the individual who 
requested it.
    (3) Disclosure for Use by Other Law Enforcement Agencies. The 
Department may disclose information to any Federal, State, local, or 
foreign agency or other public authority responsible for enforcing, 
investigating, or prosecuting violations of administrative, civil, or 
criminal law or regulation if that information is relevant to any 
enforcement, regulatory, investigative, or prosecutorial responsibility 
within the receiving entity's jurisdiction.
    (4) Enforcement Disclosure. In the event that information in this 
system of records indicates, either on its face or in connection with 
other information, a violation or potential violation of any applicable 
statute, regulation, or order of a competent authority, the Department 
may disclose the relevant records to the appropriate agency, whether 
foreign, Federal, State, Tribal, or local, charged with the 
responsibility of investigating or prosecuting that violation or 
charged with enforcing or

[[Page 12301]]

implementing the statute, Executive Order, rule, regulation, or order 
issued pursuant thereto.
    (5) Litigation or Alternative Dispute Resolution (ADR) Disclosure.
    (a) Introduction. In the event that one of the following parties 
listed below is involved in litigation or ADR, or has an interest in 
litigation or ADR, the Department may disclose certain records to the 
parties described in paragraphs (b), (c) and (d) of this routine use 
under the conditions specified in those paragraphs:
    (i) The Department, or any of its components;
    (ii) Any Department employee in his or her official capacity;
    (iii) Any Department employee in his or her individual capacity if 
the Department of Justice (DOJ) has been requested to or has agreed to 
provide or arrange for representation of the employee;
    (iv) Any Department employee in his or her individual capacity 
where the Department has agreed to represent the employee; or
    (v) The United States where the Department determines that the 
litigation is likely to affect the Department or any of its components.
    (b) Disclosure to the DOJ. If the Department determines that 
disclosure of certain records to the DOJ is relevant and necessary to 
litigation or ADR, the Department may disclose those records as a 
routine use to the DOJ.
    (c) Adjudicative Disclosure. If the Department determines that it 
is relevant and necessary to litigation or ADR to disclose certain 
records from this system of records to an adjudicative body before 
which the Department is authorized to appear or to an individual or an 
entity designated by the Department or otherwise empowered to resolve 
or mediate disputes, the Department may disclose those records as a 
routine use to the adjudicative body, individual, or entity.
    (d) Disclosure to Parties, Counsel, Representatives, or Witnesses. 
If the Department determines that disclosure of certain records to a 
party, counsel, representative, or witness is relevant and necessary to 
the litigation or ADR, the Department may disclose those records as a 
routine use to the party, counsel, representative, or witness.
    (6) Employment, Benefit, and Contracting Disclosure.
    (a) For Decisions by the Department. The Department may disclose 
information from this system of records to a Federal, State, or local 
agency or to another public authority or professional organization, if 
necessary, to obtain information relevant to a Department decision 
concerning the hiring or retention of an employee or other personnel 
action; the issuance of a security clearance; the letting of a 
contract; or the issuance of a license, grant, or other benefit.
    (b) For Decisions by Other Public Agencies and Professional 
Organizations. The Department may disclose information from this system 
of records to a Federal, State, local, or foreign agency or other 
public authority or professional organization, in connection with the 
hiring or retention of an employee or other personnel action; the 
issuance of a security clearance; the reporting of an investigation of 
an employee; the letting of a contract; or the issuance of a license, 
grant, or other benefit, to the extent that the record is relevant to 
the receiving entity's decision on the matter.
    (7) Employee Grievance, Complaint, or Conduct Disclosure. If a 
record is relevant and necessary to a grievance, complaint, or 
disciplinary proceeding involving a present or former employee of the 
Department, the Department may disclose a record from this system of 
records in the course of investigation, fact-finding, or adjudication 
to any party to the grievance, complaint, or action; to the party's 
counsel or representative; to a witness; or to a designated fact-
finder, mediator, or other person designated to resolve issues or 
decide the matter. The disclosure may only be made during the course of 
investigation, fact-finding, or adjudication.
    (8) Labor Organization Disclosure. The Department may disclose a 
record from this system of records to an arbitrator to resolve disputes 
under a negotiated grievance procedure or to officials of a labor 
organization recognized under 5 U.S.C. chapter 71 when relevant and 
necessary to their duties of exclusive representation.
    (9) Freedom of Information Act (FOIA) and Privacy Act Advice 
Disclosure. The Department may disclose records from this system of 
records to the DOJ or Office of Management and Budget (OMB) if the 
Department concludes that disclosure is desirable or necessary in 
determining whether particular records are required to be disclosed 
under the FOIA or the Privacy Act.
    (10) Disclosure to the DOJ. The Department may disclose records 
from this system of records to the DOJ to the extent necessary for 
obtaining DOJ advice on any matter relevant to an audit, inspection, or 
other inquiry related to the programs covered by this system.
    (11) Contract Disclosure. If the Department contracts with an 
entity for the purposes of performing any function that requires 
disclosure of records in this system to employees of the contractor, 
the Department may disclose the records to those employees. Before 
entering into such a contract, the Department must require the 
contractor to maintain Privacy Act safeguards as required under 5 
U.S.C. 552a(m) with respect to the records in the system.
    (12) Research Disclosure. The Department may disclose records from 
this system of records to a researcher if the Department determines 
that the individual or organization to which the disclosure would be 
made is qualified to carry out specific research related to functions 
or purposes of this system of records. The official may disclose 
records from this system of records to that researcher solely for the 
purpose of carrying out that research related to the functions or 
purposes of this system of records. The researcher must be required to 
maintain Privacy Act safeguards with respect to the disclosed records.
    (13) Disclosure to OMB for Credit Reform Act (CRA) Support. The 
Department may disclose records from this system of records to OMB as 
necessary to fulfill CRA requirements.
    (14) Disclosure in the Course of Responding to a Breach of Data. 
The Department may disclose records from this system of records to 
appropriate agencies, entities, and persons when: (a) The Department 
suspects or has confirmed that the security or confidentiality of 
information in this system has been compromised; (b) the Department has 
determined that as a result of the suspected or confirmed compromise, 
there is a risk of harm to economic or property interests, identity 
theft or fraud, or harm to the security or integrity of this system or 
other systems or programs (whether maintained by the Department or by 
another agency or entity) that rely upon the compromised information; 
and (c) the disclosure made to such agencies, entities, and persons is 
reasonably necessary to assist the Department's efforts to respond to 
the suspected or confirmed compromise and prevent, minimize, or remedy 
such harm.

DISCLOSURE TO CONSUMER REPORTING AGENCIES:
    Disclosures pursuant to 5 U.S.C. 552a(b)(12): the Department may 
disclose information regarding a valid, overdue claim of the Department 
to a consumer reporting agency. Such information is limited to (1) The 
name, address, taxpayer identification number,

[[Page 12302]]

and other information necessary to establish the identity of the 
individual responsible for the claim; (2) the amount, status, and 
history of the claim; and (3) the program under which the claim arose. 
The Department may disclose the information specified in this paragraph 
under 5 U.S.C. 552a(b)(12) and the procedures contained in 31 U.S.C. 
3711(e). A consumer reporting agency to which these disclosures may be 
made is defined at 15 U.S.C. 1681a(f) and 31 U.S.C. 3701(a)(3).

POLICIES AND PRACTICES FOR STORING, RETRIEVING, ACCESSING, RETAINING, 
AND DISPOSING OF RECORDS IN THE SYSTEM:
STORAGE:
    The Department electronically stores the complaints and allegations 
on an Intranet Web site. The Web site is located at the Virtual Data 
Center in Plano, Texas.

RETRIEVABILITY:
    Records in the SPD-CTS system are retrieved by searching any of the 
following data elements: complainant's name, institution's name, 
reviewer's name or Office of Postsecondary Education identification 
(OPEID) number.

SAFEGUARDS:
    In addition to undergoing security clearances, contract and 
Department employees are required to complete security awareness 
training on an annual basis. Annual security awareness training is 
required to ensure that contract and Department users are appropriately 
trained in safeguarding Privacy Act data in accordance with OMB 
Circular No. A-130, Appendix III.
    The computer system employed by the Department offers a high degree 
of resistance to tampering and circumvention. This security system 
limits data access to Department and contract staff on a ``need-to-
know'' basis and controls individual users' ability to access and alter 
records within the system. All users of this system of records are 
given a password. The Department's FSA Information Security and Privacy 
Policy requires the enforcement of a complex password policy. This 
password is only given to SPD staff who are assigned to investigate and 
resolve the complaint(s).

RETENTION AND DISPOSAL:
    The records created by this system are currently unscheduled. ED 
will apply to the National Archives and Records Administration (NARA) 
for disposition authority that covers these records. Until disposition 
authority is received from NARA, no records will be destroyed.

SYSTEM MANAGER AND ADDRESS:
    Dale Shaw, FSA, U.S. Department of Education, 1999 Bryan Street 
Suite 1410, Dallas, Texas 75201-6817.

NOTIFICATION PROCEDURE:
    If you wish to determine whether a record exists regarding you in 
the system of records, provide the system manager with your name, 
address, email address, and phone number. Requests must meet the 
requirements in 34 CFR 5b.5, including proof of identity.

RECORD ACCESS PROCEDURES:
    If you wish to gain access to a record in this system, provide the 
system manager with your name, address, email address, and phone 
number. Requests by an individual for access to a record must meet the 
requirements in the regulations at 34 CFR 5b.5, including proof of 
identity.

CONTESTING RECORD PROCEDURE:
    If you wish to change the content of your personal record within 
the system of records, provide the system manager with your name, 
address, email address, and phone number. Identify the specific items 
to be changed, and provide a written justification for the change. 
Requests to amend a record must meet the requirements in 34 CFR 5b.7.

RECORD SOURCE CATEGORIES:
    This system includes records on individuals who may have received 
title IV, HEA program assistance. These records include information 
provided by various sources (including, but not limited to, the public, 
school officials, external oversight partners, students, referrals from 
Federal, State, or local agencies, and other FSA offices). The 
Department's Office of Inspector General (OIG) may also refer 
complaints and allegations received via the OIG Hotline that do not 
appear to require an OIG audit, a formal OIG investigation, or action 
by any other federal agency.

EXEMPTIONS CLAIMED FOR THE SYSTEM:
    None.
[FR Doc. 2013-04126 Filed 2-21-13; 8:45 am]
BILLING CODE 6450-01-P