Privacy Act of 1974; System of Records, 38963-38969 [2013-15574]

Agencies

• DEPARTMENT OF EDUCATION

[Federal Register Volume 78, Number 125 (Friday, June 28, 2013)]
[Notices]
[Pages 38963-38969]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2013-15574]


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DEPARTMENT OF EDUCATION


Privacy Act of 1974; System of Records

AGENCY: Federal Student Aid, U.S. Department of Education.

ACTION: Notice of an altered 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 revise the system of records entitled 
``National Student Loan Data System (NSLDS)'' (18-11-06), originally 
published on December 27, 1999 (64 FR 72395-72397), altered on 
September 7, 2010 (75 FR 54331-54336), and most recently altered on 
June 24, 2011 (76 FR 37095-37100).
    The Department proposes to revise the NSLDS to make necessary 
updates resulting from the Moving Ahead for Progress in the 21st 
Century Act (MAP-21), Public Law 112-141, which amended the Higher 
Education Act of 1965, as amended (HEA), to limit students' eligibility 
for Direct Subsidized Loans to no more than 150 percent of the 
published length of the educational program in which the student is 
enrolled.
    We are also expanding the system's categories of records, purposes, 
authority, and its routine uses to reflect programmatic disclosures 
needed to better evaluate the effectiveness of institutions and their 
title IV-eligible educational programs, and to make that information 
available to the general public on the Department's ``College 
Scorecard'' and the Department's ``Financial Aid Shopping Sheet.'' 
Finally, we are revising and streamlining programmatic routine use 
1(c).

DATES: Submit your comments on the proposed altered system of records 
notice on or before July 29, 2013.
    The Department filed a report describing the altered 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 June 14, 2013. This altered system of records will 
become effective at the later date of: (1) The expiration of the 40-day 
period for OMB review on July 25, 2013, unless OMB waives 10 days of 
the 40-day review period for compelling reasons shown by the 
Department; or (2) July 29, 2013, unless the system of records needs to 
be changed as a result of public comment or OMB review.

ADDRESSES: Address all comments to: Director, NSLDS Systems, Operations 
and Aid Delivery Management Services, FSA, U.S. Department of 
Education, Union Center Plaza (UCP), 830 First Street NE., Room 44F1, 
Washington, DC 20202-5454. Telephone: 202-377-3547. If you prefer to 
send comments by email, use the following address: comments@ed.gov.
    You must include the term ``NSLDS comments'' in the subject line of 
your email.
    During or after the comment period, you may inspect all public 
comments about this notice in room 44D2, UCP, 4th floor, 830 First 
Street NE., Washington, DC 20202-5454 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 supply 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: Director, NSLDS Systems, Operations 
and Aid Delivery Management Services, FSA, U.S. Department of 
Education, UCP, 830 First Street NE., Room 41F1, Washington, DC 20202-
5454. Telephone: 202-377-3547.
    If you use a telecommunications device for the deaf (TDD) or a text 
telephone (TTY), call the Federal Relay Service (FRS), toll free, at 1-
800-877-8339.

SUPPLEMENTARY INFORMATION: 

Introduction

    The Privacy Act of 1974 (5 U.S.C. 552a(e)(4) and (11)) requires the 
Department to publish this notice of an altered system of records in 
the Federal Register. The Department's regulations implementing the 
Privacy Act are in the Code of Federal Regulations (CFR), in 34 CFR 
part 5b.
    The Privacy Act applies to information about an individual that is 
maintained in a system of records from which information 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 federal agency to publish a notice of 
a new or altered system of records in the Federal Register and to 
prepare, whenever the agency publishes a new system of records or makes 
a significant change to an established system of records, a report to 
the Chair of the Committee on Oversight and Government Reform of the 
House of Representatives, the Chair of the Committee on Homeland 
Security and Governmental Affairs of the Senate, and the Administrator 
of the Office of Information and Regulatory Affairs, OMB. A significant 
change must be reported whenever an agency expands the types or 
categories of information maintained, significantly expands the 
numbers, types, or categories of individuals about whom records are 
maintained, changes the purposes for which the information is used, 
changes equipment configuration in a way that creates substantially 
greater access to the records, or adds a routine use disclosure to the 
system.
    This system of records was first published in the Federal Register 
on December 27, 1999 (64 FR 72395-97), altered on September 7, 2010 (75 
FR 54331-54336), and most recently altered on June 24, 2011 (76 FR 
37095-37100). A number of changes are needed to update and accurately 
describe the current NSLDS system of records.

[[Page 38964]]

    We revise the NSLDS to make necessary updates resulting from the 
MAP-21, Public Law 112-141, which amended the HEA, to limit students' 
eligibility for Direct Subsidized Loans to no more than 150 percent of 
the published length of the educational program in which the student is 
enrolled as specified in programmatic routine use (1)(o).
    In certain circumstances, under the changes made by MAP-21, 
students who are enrolled after reaching the 150 percent limit are 
responsible for accruing interest on outstanding Direct Subsidized 
Loans. As a result of these statutory changes, we are expanding the 
categories of records maintained in the system, the system's purposes, 
and the routine uses to reflect needed programmatic disclosures.
    Specifically, as described in the notice, the types of records 
maintained in the system need to be expanded. Additional information 
will be collected from institutions regarding the credential level 
(e.g., certificate, associate's degree, bachelor's degree), 
Classification of Instructional Program (CIP) code, and published 
length for the educational program in which a student who receives aid 
from the federal student aid programs authorized under title IV of the 
HEA (title IV programs) is enrolled. This information will be used both 
to implement new statutory changes that limit borrower eligibility for 
Direct Subsidized Loans to no more than 150 percent of the published 
length of the educational program in which the student is enrolled and 
to determine the periods for which a borrower who enrolls after 
reaching the 150 percent limit will be responsible for the accruing 
interest on outstanding Direct Subsidized Loans.
    We are also expanding the authority for the NSLDS System to include 
Section 431 of the General Education Provisions Act (GEPA), which 
directs the Secretary ``to collect data and information on applicable 
programs for the purpose of obtaining objective measurements of the 
effectiveness of such programs in achieving the intended purposes of 
such programs'' and ``to inform the public regarding federally 
supported education programs.'' 20 U.S.C. 1231a(2)-(3). In addition, we 
are adding as authority for the system Section 132(i) of the HEA, which 
directs the Secretary to post to the College Navigator Web site 
``consumer information'' for each institution that participates in the 
HEA title IV programs, which includes a list of 26 specific items or 
groups of data specific to the institution. Notably, this list includes 
direction for the Department to post ``a link to the appropriate 
section of the Bureau of Labor Statistics Web site that provides 
information on regional data on starting salaries in all major 
occupations.'' 20 U.S.C. 1015a(i)(1)(W).
    We are also adding a purpose for the information maintained in the 
NSLDS relating to title IV eligible and participating institutions 
obtaining data and reporting the level of study, CIP code--(a code 
published by the Department's National Center for Education Statistics 
to support the accurate tracking, assessment, and reporting of fields 
of study and program completions activity), and published length of an 
educational program in which a student receiving title IV, HEA Federal 
student aid is enrolled to ensure his or her eligibility for Direct 
Subsidized Loans is limited to no more than 150 percent of the 
published length of the educational program, and to determine the 
periods for which a borrower who enrolls after reaching the 150 percent 
limit will be responsible for the accruing interest on outstanding 
Direct Subsidized Loans.
    Two additional purposes for the information maintained in the NSLDS 
system relating to the Department's evaluation of the educational 
programs offered by institutions participating in title IV of the HEA, 
are to calculate and distribute performance metrics related to student 
aid recipients and to provide data for program oversight and strategic 
decision-making in the administration of the title IV programs, as 
provided in programmatic routine use (1)(p).
    This altered system of records better reflects the programmatic 
routine use disclosures needed by the Department to establish student 
eligibility, as required under the HEA, by determining the length of 
students' eligibility for Direct Subsidized Loans such that it does not 
exceed 150 percent of the published length of the educational program 
in which a student is enrolled, and by determining the periods for 
which a borrower who enrolls after reaching the 150 percent limit will 
be responsible for the interest incurring on outstanding Direct 
Subsidized Loans. In addition, it reflects routine use disclosures 
needed by the Department to better evaluate the effectiveness of an 
institution's educational programs and to provide this information to 
assist the public in making choices about postsecondary education 
options.
    Finally, we have revised and streamlined programmatic routine use 
1(c), to read as follows: ``To determine if educational programs lead 
to gainful employment in a recognized occupation, the Department may 
disclose records to educational institutions.''
    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 FOR 
FURTHER INFORMATION CONTACT.
    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 this 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: June 25, 2013.
James W. Runcie,
Chief Operating Officer, Federal Student Aid.
    For the reasons discussed in the preamble, the Chief Operating 
Officer, Federal Student Aid, of the U.S. Department of Education 
(Department), publishes a notice of an altered system of records to 
read as follows:
System Number:

18-11-06

SYSTEM NAME:
    National Student Loan Data System (NSLDS)

SECURITY CLASSIFICATION:
    None.

SYSTEM LOCATION:
    Dell Perot Systems, 2300 West Plano Parkway, Plano, TX 75075-8247. 
(This is the computer center for the NSLDS Application Virtual Data 
Center.)
    Iron Mountain, PO Box 294317, Lewisville, Texas 75029-4317. (This 
is the location where back-up tapes for NSLDS are maintained.)

CATEGORIES OF INDIVIDUALS COVERED BY THE SYSTEM:
    This system contains records on persons who were recipients of aid 
under the title IV, Higher Education Act of 1965, as amended (HEA) 
programs. This system contains records on

[[Page 38965]]

borrowers who received loans under the William D. Ford Federal Direct 
Loan (Direct Loan) Program, the Federal Family Education Loan (FFEL) 
Program, the Federal Insured Student Loan (FISL) Program, and the 
Federal Perkins Loan Program (including National Defense Student Loans, 
National Direct Student Loans, and Perkins Expanded Lending and Income 
Contingent Loans) (Perkins Loans). The system also contains records on 
recipients of Federal Pell Grants, Academic Competitiveness Grants 
(ACG), National Science and Mathematics Access to Retain Talent 
(National SMART) Grants, Teacher Education Assistance for College and 
Higher Education (TEACH) Grants, and Iraq and Afghanistan Service 
Grants, as well as on persons who owe an overpayment on a Federal Pell 
Grant, an ACG Grant, a National SMART Grant, a Federal Supplemental 
Educational Opportunity Grant (FSEOG), an Iraq and Afghanistan Service 
Grant, and a Federal Perkins Loan.
    NSLDS further contains student enrollment information for persons 
who have received title IV, HEA student assistance as well as Master 
Conduit Loan Program Data, Master Loan Participation Program (LPP) 
Data, and loan-level detail on FFEL Subsidized, Unsubsidized, and PLUS 
loans funded through those programs.
    The system also contains records on students (both title IV, HEA 
recipients and students who do not receive title IV aid, but receive 
private educational loans and/or institutional financing for education) 
who, during an award year, begin attendance in a program that is at 
least one-academic-year training program that leads to a certificate, 
or other non-degree recognized credential and that prepares students 
for gainful employment in a recognized occupation, or who begin an 
eligible program provided by a proprietary institution of higher 
education or a postsecondary vocational institution.
    The system also contains records on the level of study, CIP code, 
and published length of an educational program in which a student 
receiving title IV, HEA Federal student aid is enrolled to limit his or 
her eligibility for Direct Subsidized Loans to no more than 150 percent 
of the published length of the educational program in which the student 
is enrolled, and to determine the periods for which a borrower who 
enrolls after reaching the 150 percent limit will be responsible for 
the accruing interest on outstanding Direct Subsidized Loans.

CATEGORIES OF RECORDS IN THE SYSTEM:
    Records in NSLDS include, but are not limited to: (1) Borrower 
identifier information including Social Security number (SSN), name, 
date of birth, address, phone number, email address, and driver's 
license information; (2) information on the borrower's loan(s) covering 
the period from the origination of the loan through final payment, 
cancellation, consolidation, discharge, or other final disposition 
including details such as loan amount, disbursements, balances, loan 
status, repayment plan and related information, collections, claims, 
deferments, forbearances, refunds, and cancellations; (3) for students 
who began a program of study that prepares them for gainful employment 
in a recognized occupation pursuant to sections 1001 and 1002 of the 
HEA (``gainful employment program''), student identifiers including the 
student's SSN, date of birth, and name, student enrollment information 
including the Office of Postsecondary Education identification number 
(OPEID number) of the institution, the CIP code for the gainful 
employment program in which the student enrolled, and, if the student 
completed the program, the completion date and the CIP code of the 
completed program, the level of study, the amount of the student's 
private educational loan debt, the amount of institutionally provided 
financing owed by the student, and whether the student matriculated to 
a higher credentialed program at the same institution or another 
institution; (4) aggregated income information on graduates and non-
completers of particular gainful employment programs, and the median 
loan debt incurred by students enrolled in the gainful employment 
program, regardless of whether they completed the program; (5) student 
demographic information such as dependency status, citizenship, veteran 
status, marital status, gender, income and asset information (including 
income and asset information on the student's spouse, if married), 
expected family contribution, and address; (6) information on the 
parent(s) of a dependent recipient, including, but not limited to: 
Name, date of birth, SSN, marital status, email address, highest level 
of schooling completed, and income and asset information; (7) 
information related to a borrower's application for an income-driven 
repayment plan, including information such as current income, family 
size, repayment plan selection, and, if married, information about the 
borrower's spouse; (8) Federal Pell Grant, ACG Grant, National SMART 
Grant, TEACH Grant, and Iraq and Afghanistan Service Grant amounts and 
dates of disbursement; (9) Federal Pell Grant, ACG Grant, National 
SMART Grant, Iraq and Afghanistan Service Grant, FSEOG, and Federal 
Perkins Loan Program overpayment amounts; (10) demographic and contact 
information on the guaranty agency that guarantees the borrower's FFEL 
loan and the lender(s), holder(s), and servicer(s) of the borrower's 
loan(s); (11) NSLDS user profiles that include name, SSN, date of 
birth, employer, and NSLDS user name; (12) information concerning the 
date of any default on loans and the aggregated loan data to support 
cohort default rate calculations for educational institutions, 
financial institutions, and guaranty agencies; (13) pre- and post-
screening results used to determine a student or parent's aid 
eligibility; (14) information on financial institutions participating 
in the loan participation and sale programs established by the 
Department under the Ensured Continued Access to Student Loan Act of 
2008 (ECASLA), including the collection of: ECASLA loan-level funding 
amounts, dates of ECASLA participation for financial institutions, 
dates and amounts of loans sold to the Department under ECASLA, and the 
amount of loans funded by the Department's programs but repurchased by 
the lender; and (15) information on the student's educational 
institution, level of study, the CIP code, and published length for the 
program in which the student enrolled for an institution or programs of 
studies at the institution.

AUTHORITY FOR MAINTENANCE OF THE SYSTEM:
    The authority under which the system is maintained includes 
sections 101, 102, 132(i), 485, and 485B of the HEA (20 U.S.C. 1001, 
1002, 1015a(i), 1092, and 1092b) and section 431 of the General 
Education Provisions Act (20 U.S.C. 1231a(2)-(3)). The collection of 
SSNs of borrowers who are covered by this system is authorized by 31 
U.S.C. 7701 and Executive Order 9397 (November 22, 1943), as amended by 
Executive Order 13478 (November 18, 2008).

PURPOSE(S):
    The information contained in this system is maintained for the 
following purposes relating to students and borrowers: (1) To determine 
student/borrower eligibility for title IV, HEA programs by NSLDS pre- 
and post-screening processes; (2) to report changes in student/borrower 
enrollment status and enrollment in gainful employment programs; (3) to 
track loan

[[Page 38966]]

borrowers and students who owe grant overpayment amounts (debtors); (4) 
to provide an Exit Counseling tool for Teach Grants, FFEL loan 
programs, and Direct Loan programs that provides various calculators, 
requires students to complete a quiz to ensure understanding of their 
repayment obligations, and collects information to assist in the 
activity of skip-tracing for loan holders; (5) to provide Web-based 
access for borrowers/students to their loan, grant, and enrollment 
data; (6) to maintain information on the status of student loans; (7) 
to maintain information on the Federal Pell Grant program, the ACG 
Grant program, the National SMART Grant program, the TEACH Grant 
program, the Federal Supplemental Educational Opportunity Grant (FSEOG) 
program, and the Iraq and Afghanistan Service Grant program awards to 
students; (8) to provide borrowers and NSLDS users with loan refund/
cancellation details; (9) to track the level of study and CIP code of 
students' programs to limit eligibility for Direct Subsidized Loans to 
no more than 150 percent of the published length of the educational 
program in which the student is enrolled, and to determine the periods 
for which a borrower who enrolls after reaching the 150 percent limit 
will be responsible for the accruing interest on outstanding Direct 
Subsidized Loans; and (10) to provide consumer tools to prospective 
students about costs, financial aid, aggregate earnings of title IV aid 
recipients who were enrolled at that postsecondary institution 
participating in title IV, HEA programs so that these prospective 
students can make informed decisions about which postsecondary 
institution to attend.
    The information in NSLDS is also maintained for the following 
purposes relating to institutions participating in and administering 
the title IV, HEA programs: (1) To permit Department staff, Department 
contractors, guaranty agencies, eligible lenders, and eligible 
institutions of higher education to verify the eligibility of a 
student, potential student, or parent for loans or Pell grants; (2) to 
provide student aggregate loan calculations to educational 
institutions; (3) to track loan transfers from one entity to another; 
(4) to determine default rates for educational institutions, guaranty 
agencies, and lenders; (5) to prepare electronic financial aid 
histories on students or borrowers for educational institutions, 
guaranty agencies, Department staff, and Department contractors; (6) to 
alert educational institutions of changes in financial aid eligibility 
of students via the Transfer Student Monitoring process; (7) to assist 
Department staff, Department contractors and agents, guaranty agencies, 
educational institutions, lenders, and servicers in collecting debts 
arising from receipt of title IV, HEA funds; (8) to assess title IV, 
HEA program administration of guaranty agencies, educational 
institutions, lenders, and servicers; (9) to display organizational 
contact information provided by educational institutions, guaranty 
agencies, lenders, and servicers; (10) to provide reporting 
capabilities for educational institutions, guaranty agencies, lenders, 
and servicers for use in title IV, HEA administrative functions and for 
the Department for use in oversight and compliance; (11) to provide 
financial institutions, servicers, Department staff, and Department 
contractors with contact information on loan holders for use in the 
collection of loans; (12) to provide schools and servicers with 
information to resolve overpayments of Pell, ACG, National SMART, 
TEACH, Iraq and Afghanistan Service Grants, and FSEOG grants; (13) to 
assist Department staff, contractors, guaranty agencies, and the 
Department of Justice in the collection of debts owed to the Department 
under title IV of the HEA; (14) to obtain data on and to report on 
students in a gainful employment program for the purposes of 
establishing whether a particular gainful employment program is 
successfully preparing students to be gainfully employed and making 
this information available to the institution; (15) to obtain data and 
report the level of study, CIP code, and published length of an 
educational program in which a student receiving title IV, HEA Federal 
student aid is enrolled to ensure his or her eligibility for Direct 
Subsidized Loans is limited to no more than 150 percent of the 
published length of the educational program, and to determine the 
periods for which a borrower who enrolls after reaching the 150 percent 
limit will be responsible for the accruing interest on outstanding 
Direct Subsidized Loans; and (16) to provide consumer tools that are 
designed to simplify information that prospective students receive 
about costs, financial aid, and aggregate earnings of title IV aid 
recipients who were enrolled at postsecondary institutions 
participating in title IV, HEA programs so that these prospective 
students can make informed decisions about which postsecondary 
institution to attend.
    The information maintained in this system is also maintained for 
the following purposes relating to the Department's oversight and 
administration of the title IV, HEA programs: (1) To assist audit and 
program review planning; (2) to support research studies and policy 
development; (3) to conduct budget analysis and program review 
planning; (4) to provide information that supports the Department's 
compliance with the Federal Credit Reform Act of 1990, as amended 
(CRA); (5) to ensure only authorized users access the database and to 
maintain a history of the student/borrower information reviewed; (6) to 
track the Department's interest in loans funded through ECASLA; (7) to 
track TEACH grants that have been converted to loans; (8) to track 
eligibility for and participation in Public Service Loan Forgiveness; 
(9) to capture data to support compliance and to calculate and 
distribute performance metrics related to gainful employment programs; 
(10) to provide data for program oversight and strategic decision-
making in the administration of higher education programs; (11) to 
track eligibility for Direct Subsidized Loans and interest subsidy 
based upon the level of study, CIP code, and published length of the 
educational program in which a student is enrolled; and (12) to 
evaluate the effectiveness of an institution's education programs, and 
help provide information to the public at the institutional and 
programmatic level on this effectiveness.

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 notice without the consent of the individual if the disclosure 
is compatible with the purposes for which the record was collected. 
These disclosures may be made 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, under a computer matching agreement.
    (1) Program Disclosures.
    The Department may disclose records to the specified users for the 
following program purposes:
    (a) To verify the identity of the applicant involved, the accuracy 
of the record, or to assist with the determination of program 
eligibility and benefits, as well as institutional program eligibility, 
the Department may disclose records to the applicant, guaranty 
agencies, educational institutions, financial institutions and 
servicers, and to Federal and State agencies;

[[Page 38967]]

    (b) To support default rate calculations and/or provide information 
on borrowers' current loan status, the Department may disclose records 
to guaranty agencies, educational institutions, financial institutions, 
servicers, and State agencies;
    (c) To determine if educational programs lead to gainful employment 
in a recognized occupation, the Department may disclose records to 
educational institutions;
    (d) To provide financial aid history information to aid in their 
administration of title IV, HEA programs, the Department may disclose 
records to educational institutions, guaranty agencies, loan holders, 
or servicers;
    (e) To support auditors and program reviewers in planning and 
carrying out their assessments of title IV, HEA program compliance, the 
Department may disclose records to guaranty agencies, educational 
institutions, financial institutions and servicers, and to Federal, 
State, and local agencies;
    (f) To support governmental researchers and policy analysts, the 
Department may disclose records to Federal, State, and local agencies 
using safeguards for system integrity and ensuring compliance with the 
Privacy Act;
    (g) To support Federal budget analysts in the development of budget 
needs and forecasts, the Department may disclose records to Federal and 
State agencies;
    (h) To assist in locating holders of loan(s), the Department may 
disclose records to students/borrowers, guaranty agencies, educational 
institutions, financial institutions and servicers, and Federal 
agencies;
    (i) To assist analysts in assessing title IV, HEA program 
administration by guaranty agencies, educational institutions, and 
financial institutions and servicers, the Department may disclose 
records to Federal and State agencies;
    (j) To assist loan holders in locating borrowers, the Department 
may disclose records to guaranty agencies, educational institutions, 
financial institutions that hold an interest in the loan and their 
servicers, and to Federal agencies;
    (k) To assist with meeting requirements under the CRA, the 
Department may disclose records to Federal agencies;
    (l) To assist program administrators with tracking refunds and 
cancellations of title IV, HEA loans, the Department may disclose 
records to guaranty agencies, educational institutions, financial 
institutions and servicers, and to Federal and State agencies;
    (m) To enforce the terms of a loan, assist in the collection of a 
loan, or assist in the collection of an aid overpayment, the Department 
may disclose records to guaranty agencies, loan servicers, educational 
institutions and financial institutions, to the Department of Justice 
and private counsel retained by the Department of Justice, and to other 
Federal, State, or local agencies;
    (n) To assist the Department in tracking loans funded under ECASLA, 
the Department may disclose records to Federal agencies;
    (o) To assist the Department in complying with requirements that 
limit eligibility for Direct Subsidized Loans to no more than 150 
percent of the published length of the educational program in which the 
student is enrolled, and to determine the periods for which a borrower 
who enrolls after reaching the 150 percent limit will be responsible 
for the interest accruing on outstanding Direct Subsidized Loans 
thereafter, the Department may disclose records to the applicant, 
guaranty agencies, educational institutions, financial institutions and 
servicers, and to Federal and State agencies; and
    (p) To obtain data needed to assist the Department in evaluating 
the effectiveness of an institution's education programs and to provide 
the public with greater transparency about the level of economic return 
of an educational institution and their programs that are paid for with 
title IV, HEA program assistance, the Department may disclose records 
to educational institutions and to Federal and State agencies, 
including the Social Security Administration.
    (2) Disclosure for Use by Other Law Enforcement Agencies. The 
Department may disclose information to any Federal, State, or 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.
    (3) 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 implementing the statute, Executive Order, 
rule, regulation, or order issued pursuant thereto.
    (4) Litigation and Alternative Dispute Resolution (ADR) 
Disclosures.
    (a) Introduction. In the event that one of the following parties is 
involved in judicial or administrative litigation or ADR, or has an 
interest in such 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; or
    (ii) Any Department employee in his or her official capacity; or
    (iii) Any Department employee in his or her individual capacity 
where the Department of Justice (DOJ) agrees to or has been requested 
to provide or arrange for representation of the employee; or
    (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 
the judicial or administrative litigation or ADR, and is compatible 
with the purpose for which the records were collected, the Department 
may disclose those records as a routine use to the DOJ.
    (c) Adjudicative Disclosures. If the Department determines that 
disclosure of certain records to an adjudicative body before which the 
Department is authorized to appear or to an individual or entity 
designated by the Department or otherwise empowered to resolve or 
mediate disputes is relevant and necessary to judicial or 
administrative litigation or ADR, the Department may disclose those 
records as a routine use to the adjudicative body, individual, or 
entity.
    (d) Disclosure to Parties, Counsel, Representatives, and Witnesses. 
If the Department determines that disclosure of certain records is 
relevant and necessary to judicial or administrative litigation or ADR, 
the Department may disclose those records as a routine use to the 
party, counsel, representative, or witness.
    (5) Freedom of Information Act (FOIA) or Privacy Act Advice 
Disclosure. The Department may disclose records to the DOJ or the 
Office of Management and Budget (OMB) if the Department seeks advice 
regarding whether records maintained in this

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system of records are required to be disclosed under the FOIA or the 
Privacy Act.
    (6) Contract Disclosure. If the Department contracts with an entity 
to perform any function that requires disclosing records to the 
contractor's employees, the Department may disclose the records to 
those employees. Before entering into such a contract, the Department 
shall require the contractor to establish and maintain the safeguards 
required under the Privacy Act (5 U.S.C. 552a(m)) with respect to the 
records in the system.
    (7) Congressional Member Disclosure. The Department may disclose 
records to a Member of Congress in response to an inquiry from the 
Member made at the written request of the individual whose records are 
being disclosed. The Member's right to the information is no greater 
than the right of the individual who requested it.
    (8) Employment, Benefit, and Contracting Disclosure.
    (a) For Decisions by the Department. The Department may disclose a 
record to a Federal, State, or local agency maintaining civil, 
criminal, or other relevant enforcement or other pertinent records, or 
to another public authority or professional organization, if necessary 
to obtain information relevant to a Departmental 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 a record to a Federal, 
State, local, 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 and necessary to the receiving entity's decision on 
the matter.
    (9) Employee Grievance, Complaint, or Conduct Disclosure. The 
Department may disclose a record in this system of records to another 
agency of the Federal Government if the record is relevant to one of 
the following proceedings regarding a present or former employee of the 
Department: Complaint, grievance, or disciplinary or competency 
determination proceedings. The disclosure may only be made during the 
course of the proceeding.
    (10) Labor Organization Disclosure. The Department may disclose 
records from this system of records to an arbitrator to resolve 
disputes under a negotiated grievance procedure or to officials of 
labor organizations recognized under 5 U.S.C. 71 when relevant and 
necessary to their duties of exclusive representation.
    (11) Disclosure to the DOJ. The Department may disclose 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.
    (12) Disclosure to the OMB for CRA Support. The Department may 
disclose records to OMB as necessary to fulfill CRA requirements. These 
requirements currently include transfer of data on lender interest 
benefits and special allowance payments, defaulted loan balances, and 
supplemental pre-claims assistance payments information.
    (13) Disclosure in the Course of Responding to Breach of Data. The 
Department may disclose records from this system to appropriate 
agencies, entities, and persons when: (a) The Department suspects or 
has confirmed that the security or confidentiality of information in 
the system of records 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 
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 in connection with 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 the following information to a consumer reporting agency 
regarding a valid overdue claim of the Department: (1) The name, 
address, taxpayer identification number, 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 subsection 31 U.S.C. 3711(e). A 
consumer reporting agency to which these disclosures may be made is 
defined in 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 records are maintained electronically.

RETRIEVABILITY:
    In order for users to retrieve student/borrower information they 
must supply the student/borrower SSN, name, and date of birth.

SAFEGUARDS:
    Physical access to this system housed within the Virtual Data 
Center is controlled by a computerized badge reading system, and the 
entire complex is patrolled by security personnel during non-business 
hours. The computer system employed by the Department offers a high 
degree of resistance to tampering and circumvention. Multiple levels of 
security are maintained within the computer system control program. 
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 unique user ID with personal 
identifiers. All interactions by individual users with the system are 
recorded.

RETENTION AND DISPOSAL:
    Records are retained for 15 years after an account is paid in full, 
and then destroyed in accordance with the Department's records 
retention and disposition schedule 051.

SYSTEM MANAGER(S) AND ADDRESS:
    Director, National Student Loan Data System, FSA, U.S. Department 
of Education, UCP, 830 First Street NE., 4th Floor, Washington, DC 
20202-5454.

NOTIFICATION PROCEDURE:
    If you wish to determine whether a record exists regarding you in 
this system of records, contact the system manager and provide your 
name, date of birth, SSN, and the name of the school or lender from 
which the loan or grant was obtained. Requests for notification about 
whether the system of records contains information about an individual 
must meet the requirements of the regulations at 34 CFR 5b.5, including 
proof of identity.

RECORD ACCESS PROCEDURES:
    If you wish to gain access to a record in this system, contact the 
system

[[Page 38969]]

manager and provide information as described in the notification 
procedure. Requests by an individual for access to a record must meet 
the requirements of the regulations at 34 CFR 5b.5, including proof of 
identity.

CONTESTING RECORD PROCEDURES:
    If you wish to contest the content of a record in the system of 
records, you must contact the system manager with the information 
described in the notification procedures, identify the specific item(s) 
to be changed, and provide a justification for the change, including 
any supporting documentation. Requests to amend a record must meet the 
requirements of the Department's Privacy Act regulations at 34 CFR 
5b.7.

RECORD SOURCE CATEGORIES:
    Information is obtained from guaranty agencies, educational 
institutions, and financial institutions and servicers, and the Free 
Application for Federal Student Aid completed by students and parents. 
Information is also obtained from other Department systems such as the 
Direct Loan Servicing System (covered by the system of records entitled 
``Common Services for Borrowers''); Debt Management Collection System 
(covered by the system of records entitled ``Common Servicers for 
Borrowers''); Common Origination and Disbursement System; Financial 
Management System; Student Aid Internet Gateway, Participant Management 
System (covered by the system of records entitled ``Student Aid 
Internet Gateway Enrollment''); Postsecondary Education Participants 
System (covered by the system of records entitled ``Postsecondary 
Education Participants System''); and Central Processing System 
(covered by the system of records entitled ``Federal Student Aid 
Application File'').

EXEMPTIONS CLAIMED FOR THE SYSTEM:
    None.

[FR Doc. 2013-15574 Filed 6-27-13; 8:45 am]
BILLING CODE 4000-01-P