Implementation of the Privacy Act of 1974, as Amended; Notice of New System of Records-Application Submission and Processing System, 55824-55826 [2014-22183]

Agencies

• DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT

[Federal Register Volume 79, Number 180 (Wednesday, September 17, 2014)]
[Notices]
[Pages 55824-55826]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2014-22183]


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DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT

[Docket No. FR-5763-N-08]


Implementation of the Privacy Act of 1974, as Amended; Notice of 
New System of Records--Application Submission and Processing System

AGENCY: Office of the Chief Information Officer, HUD.

ACTION: Notice of New System of Records.

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SUMMARY: Pursuant to the Privacy Act of 1974 (U.S.C. 552a (e)(4)), as 
amended, and Office of Management and Budget (OMB), Circular No. A-130, 
notice is hereby given that the Department of Housing and Urban 
Development (HUD), Office of Multifamily Housing (MFH), proposes to 
establish a new system of records: The MFH Application Submission and 
Processing System (ASAP). MFH ASAP will be an a comprehensive, 
automated underwriting system to support the processing and tracking 
MFH insurance applications from pre-application through final closing. 
The system provides an improved way of managing data and the electronic 
processing of the lender applications. Upon full implementation, this 
new system will replace in its entirety the MFH Development Application 
Processing system (DAP) and the supporting system of records.

DATES: Effective Date: This action shall be effective without further 
notice on October 17, 2014 unless comments are received that would 
result in a contrary determination.
    Comments Due Date: October 17, 2014.

ADDRESSES: Interested persons are invited to submit comments regarding 
this notice to the Rules Docket Clerk, Office of the General Counsel, 
Department of Housing and Urban Development, 451 Seventh Street SW., 
Room 10276, Washington, DC 20410-0500. Communication should refer to 
the above docket number and title. A copy of each communication 
submitted will be available for public inspection and copying between 
8:00 a.m. and 5:00 p.m. weekdays at the above address.

FOR FURTHER INFORMATION CONTACT: Donna Robinson-Staton, Chief Privacy 
Officer, 451 Seventh Street SW., Washington, DC 20410 (Attention: 
Capitol View Building, 4th Floor), telephone number: (202) 402-8073. 
[The above telephone number is not a toll free number.] A 
telecommunications device for hearing- and speech-impaired persons 
(TTY) is available by calling the Federal Information Relay Service's 
toll-free telephone number (800) 877-8339.

SUPPLEMENTARY INFORMATION: This system of records is maintained by 
HUD's Office of Multifamily Housing, and includes personally 
identifiable information provided to HUD from which information is 
retrieved by a name or unique identifier. The system encompasses 
programs and services in place for the Department's data collection and 
management practices. Publication of this notice allows HUD to satisfy 
its reporting requirement and keep an up-to-date accounting of its 
system of records publications. The new system proposal will 
incorporate Federal privacy requirements and HUD policy requirements. 
The Privacy Act provides safeguards to protect individuals against 
invasions of personal privacy by requiring Federal agencies to protect 
records contained in an agency system of records from unauthorized 
disclosure, by ensuring that information is current for its intended 
use, and by providing adequate safeguards to prevent misuse of such 
information. Additionally, this notice demonstrates the Department's 
focus on industry best practices in protecting the personal privacy of 
the individuals covered by this system notification. This notice states 
the name and location of the system of records, the authority for and 
manner of its operations, the categories of individuals that it covers, 
the type of records that it contains, the sources of the information 
for those records, the routine uses made of the records, and the types 
of exemptions in place for the records. In addition, the notice 
includes the business addresses of the HUD officials who will inform 
interested persons of the procedures whereby they may gain access to 
and/or request amendments to records pertaining to them.
    This publication does meet the threshold requirements for filing a 
report to the Office of Management and Budget (OMB), the Senate 
Committee on Homeland Security and Governmental Affairs, and the House 
Committee on Government Reform as instructed by Paragraph 4c of 
Appendix 1 to OMB Circular No. A-130, ``Federal Agencies 
Responsibilities for Maintaining Records About Individuals,'' July 25, 
1994 (59 FR 37914).

    Authority: 5 U.S.C. 552a; 88 Stat. 1896; 42 U.S.C. 3535(d).

    Dated: September 5, 2014.
Rafael C. Diaz,
Chief Information Officer.

SYSTEM OF RECORDS NO.: HSNG.MF/HTD.01

SYSTEM NAME:
    Multifamily Housing (MFH) Application Submission and Processing 
(ASAP) System--P280.

SYSTEM LOCATION:
    U.S. Department of Housing and Urban Development, 451 Seventh 
Street SW., Washington, DC 20410; Hewlett-Packard Enterprise Services, 
Building 6000, 2020 Union Carbide Drive, South Charleston, WV 25303. 
Backup, recovery, and archived digital media is stored in secure 
facilities located with Iron Mountain, 1545 Hansford St. Charleston, WV 
25311. HUD also operates Field and Regional Offices \1\ where Privacy 
Act records for MFH ASAP are maintained and/or accessed. Multifamily 
Accelerated Processing (MAP) and Healthcare approved Lenders nationwide 
will also have access to the system but will have limited access to 
only their individual submission packages.
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    \1\ https://portal.hud.gov/hudportal/HUD?src=/localoffices.
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CATEGORIES OF INDIVIDUALS COVERED BY THE SYSTEM: Mortgagees (HUD 
approved MAP and Healthcare Lenders).
CATEGORIES OF RECORDS IN THE SYSTEM:
    Project Files/records in the system for every Multifamily and 
Healthcare project will contain the following information: Mortgagees 
name and Mortgagors, Employee identification Number/Tax Identification 
Number/Social Security Number, Project name, Project Sponsor's Name, 
Project Number, Account Number, and Unit Address. The project level 
data mentioned above is derived from the various HUD required forms. 
Note: Certain records contained in this system, which pertain to 
individuals, contain principally proprietary information concerning 
sole proprietorships. Some of the records in the system which pertain 
to individuals may reflect personal information; however, only the 
records reflecting personal information are subject to the Privacy Act.

AUTHORITY FOR MAINTENANCE OF THE SYSTEM:
    Sec. 113 of the Budget and Accounting Act of 1950 31 U.S.C. 66a. 
(Pub. L. 81-784). National Housing Act

[[Page 55825]]

as amended (12 U.S.C. 1702 et seq.). HUD is authorized to collect the 
Social Security Number (SSN) by Section 165(a) of the Housing and 
Community Development Act of 1987, Public Law 100-242 and by 42 U.S.C. 
3543.

PURPOSE(S):
    The MFH ASAP system is an automated underwriting system that 
supports processing, tracking and underwriting activities for MFH and 
its Office of Healthcare Program (OHP) applications. The system will be 
designed to support underwriting of applications submitted to HUD by 
approved lenders for FHA insurance related to Multifamily Housing or 
Healthcare projects. It will help to increase the sharing of 
information throughout MFH and OHP making the process more efficient, 
accurate, and transparent, thereby improving the partner relationships 
with both internal and external parties. Currently, the applications 
process relies heavily on manual processing and only meets the needs of 
the pipeline data tracking at a minimum for MFH. The system is expected 
to provide an end-to-end solution from concept phase to final closing 
for MFH, and will align with the OHP process improvement for both the 
Office of Residential Care Facilities (ORCF) (Section 232 program) and 
the Office of Hospital Facilities (OHF) (Section 242 program) that 
provide access to quality healthcare and residential facilities.
    This MFH ASAP project initiative will provide an improved way of 
managing the pipeline data and electronic processing of the lender 
applications benefiting both MFH and OHP. This fully integrated 
solution allows electronic submission of applications using a web 
portal, enhancement to reporting capabilities, and document management 
solutions. Upon full implementation, this new system will replace in 
its entirety the MFH Development Application Processing system (DAP) 
and it supporting system of records notification.

ROUTINE USES OF RECORDS MAINTAINED IN THE SYSTEM, INCLUDING CATEGORIES 
OF USERS AND THE PURPOSES OF SUCH USES:
    In addition to those disclosures generally permitted under 5 U.S.C. 
552a(b) of the Privacy Act, other routine uses are as follows:
    (a) To the U.S. Treasury--for disbursements and adjustments.
    (b) To the Internal Revenue Service--for reporting payments for 
mortgage interest, for reporting of discharge indebtedness and real 
estate taxes.
    (c) To HUD Business Partners (Public Housing Authorities and 
Community Development Corporations serving as Performance-Based 
Contract Administrators (PBCAs))--to manage their portfolio.
    (d) To contractors, grantees, experts, consultants, and the agents 
of thereof, and others performing and/or working on a contract, 
service, grant, cooperative agreement with HUD, when necessary to 
accomplish an agency function related to its system of records, limited 
to only those data elements considered relevant to accomplishing an 
agency function. Individuals providing information under this routine 
use are subject to the same Privacy Act requirements and limitations on 
disclosure as are applicable to HUD officers and employees.
    (e) To contractors, experts, consultants with whom HUD has a 
contract, service agreement or other assignment of the Department, when 
necessary to utilize relevant data for purposes of testing new 
technology and systems designed to enhance program operations and 
performance with the understanding that data disclosure restrictions 
apply under the Freedom of Information Act and Privacy Act.
    (f) To appropriate agencies, entities, and persons when: (a) HUD 
suspects or has confirmed that the security or confidentiality of 
information in a system of records has been compromised; (b) HUD 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 systems or 
programs (whether maintained by HUD 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 HUD's efforts to respond to the suspected or 
confirmed compromise and prevent, minimize, or remedy such harm for 
purposes of facilitating responses and remediation efforts in the event 
of a data breach.
    (g) To appropriate agencies, entities, and persons to the extent 
such disclosures are compatible with the purpose for which the records 
in this system are collected, as set forth by Appendix I--HUD's Library 
of Routine Uses published in the Federal Register on July 17, 2012 at 
77 FR 41996.

POLICIES AND PRACTICES FOR STORING, RETRIEVING, ACCESSING, RETAINING, 
AND DISPOSING OF RECORDS IN THE SYSTEM:
STORAGE:
    For electronic records, all data is stored at a secured data center 
on the production MFH ASAP database servers. Backup, recovery and 
archived digital media is stored in secure facilities located with Iron 
Mountain. All printed/hard copies that currently exist for projects 
will need to be created and stored in each HUD office in locked file 
cabinets when not in use. The printed/hard copies will later be shipped 
to Tulsa, OK, upon completing the final endorsement phase. Note: Upon 
full implementation of new MFH ASAP, paper copies will no longer exist 
and require storage. The existing paper copies will have be uploaded 
into the new system format for electronic storage.

RETRIEVABILITY:
    Electronic and Manual records can only be retrieved via the project 
number or the project status. Note: Upon full implementation of MFH 
ASAP, hard copy records will no longer exist and/or require retrieval 
methods. The existing paper copies will have be uploaded into the new 
system format for electronic retrieval.

SAFEGUARDS:
    Strict access controls are governed for electronic records by the 
use of a user ID and password that require authentication before access 
is granted to MFH ASAP. All printed/hard copies that currently exist 
for projects will need to be created and stored in each HUD office in 
locked file cabinets when not in use, which access is limited to those 
personnel who service the records. Note: Upon full implementation of 
MFH ASAP, hard copies will no longer exist for the new system. Paper 
records that existed under the prior manual process will have been 
uploaded into the new system format for electronic safeguarding. 
Records that existing under the prior manual process will have be 
shipped to the designated storage and archive facility who will 
safeguard the records in accordance with Departmental safeguarding 
procedures and policies.

RETENTION AND DISPOSAL:
    MFH ASAP retention and disposal procedures are in accordance with 
approved General Service Administration schedules of retention and 
disposal included in HUD's Handbook 2228.2, appendix 14, items 21-26. 
Electronic and hard copy records will be retained between 10 and 40

[[Page 55826]]

years depending on financial terms. Afterwards, electronic records are 
purged or deleted from the system when eligible to be destroyed using 
one of the methods described by the NIST SP 800-88 ``Guideline for 
media Sanitization'' (September 2006). Paper based records when 
eligible to be destroyed will be destroyed by shredding or burn.  Note: 
Upon full implementation of new MFH ASAP system, paper copy records 
will no longer be produced. The paper copies that existed under the 
prior manual system process will have be uploaded into the new system 
format, and official documentation will have been archived to the 
designated facility and destroyed when eligible to be destroyed.

SYSTEM MANAGER(S) AND ADDRESS:
    Daniel Sullivan, Deputy Director, Multifamily Housing Development, 
Department of Housing and Urban Development, 451 Seventh Street SW., 
Room 6148, Washington, DC 20410.

NOTIFICATION AND RECORD ACCESS PROCEDURES:
    For Information, assistance, or inquiries about the existence of 
records contact the Chief Privacy Officer, Department of Housing and 
Urban Development, 451 Seventh Street SW., Room 4156, Washington, DC 
20410. Verification of your identity must include original signature 
and be notarized. Written request must include the full name, Social 
Security Number, date of birth, current address, and telephone number 
of the individual making the request. The Department's rules for 
providing access to records to the individual concerned appear in 24 
CFR Part 16.

CONTESTING RECORD PROCEDURES:
    The Department's rules for contesting contents of records and 
appealing initial denials appear in 24 CFR Part 16. Procedures for the 
amendment or correction of records, and for applicants want to appeal 
initial agency determination appear in 24 CFR Part 16. If additional 
information is needed, contact:
    (i) In relation to contesting contents of records, the Privacy Act 
Officer at HUD, 451 Seventh Street SW., Room 4178 (Attention: Capitol 
View Building, 4th Floor), DC 20410;
    (ii) In relation to appeals of initial denials, HUD, Departmental 
Privacy Appeals Officer, Office of General Counsel, 451 Seventh Street 
SW., Washington, DC 20410.

RECORD SOURCE CATEGORIES:
    HUD Employees and contractors who gather and process HUD 
information related to Multifamily Housing or Healthcare projects; 
Mortgagees (HUD approved Multifamily MAP or Healthcare Lenders) who 
submit application package for these projects. Data will also be 
derived from various HUD required forms. Other data is electronically 
submitted by HUD sources systems: Integrated Real Estate Management 
System (iREMS), the Online Property Integrated Information Suite 
(OPIIS), and Subsidiary Ledger.

SYSTEMS EXEMPTED FROM CERTAIN PROVISIONS OF THE ACT:
    For the Privacy Act, records are disclosed pursuant to routine use 
statements supplied under notice. For the Freedom of Information Act, 
records submitted to HUD by multifamily and healthcare mortgagors and 
mortgagee (lender), as well as information gathered by agency employees 
as part of this process are subject to FOIA and is presumptively 
releasable unless it is clearly exempt and withheld under FOIA 
Exemption, which protects (1) commercial or financial information (2) 
obtained from a person that is (3) confidential.

[FR Doc. 2014-22183 Filed 9-16-14; 8:45 am]
BILLING CODE 4210-67-P