Computer Matching and Privacy Protection Act of 1988; Report of Matching Program: RRB and State Agencies, 2757-2758 [2015-00663]
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Federal Register / Vol. 80, No. 12 / Tuesday, January 20, 2015 / Notices
RAILROAD RETIREMENT BOARD
Computer Matching and Privacy
Protection Act of 1988; Report of
Matching Program: RRB and State
Agencies
AGENCY:
U.S. Railroad Retirement Board
(RRB).
Notice of a renewal of an
existing computer matching program
due to expire on February 10, 2015.
ACTION:
The Privacy Act, as amended,
requires the RRB to issue a public notice
of its use and intent to use, information
obtained from state agencies in ongoing
computer matching programs regarding
individuals who received benefits under
the Railroad Unemployment Insurance
Act.
The information received through the
computer matching programs may
consist of either: (1) A report of
unemployment or sickness payments
made by the state for the same period
that benefits were paid by the RRB, or
(2) a report of wages paid to an
individual, and the names and
addresses of employers who reported
those wages to the state for the same
period that benefits were paid by the
RRB.
The purpose of this notice is to advise
individuals applying for or receiving
benefits under the Railroad
Unemployment Insurance Act of the use
made by the RRB of the information
obtained from state agencies by means
of a computer match.
DATES: Submit comments on or before
March 2, 2015.
ADDRESSES: Address any comments
concerning this notice in writing to the
Secretary to the Board, U.S. Railroad
Retirement Board, 844 North Rush
Street, Chicago, Illinois 60611–2092.
FOR FURTHER INFORMATION CONTACT: Mr.
Timothy S. Grant, Chief Privacy Officer,
U.S. Railroad Retirement Board, 844
North Rush Street, Attn: BIS–IRMC,
Chicago, Illinois 60611–2092.
SUPPLEMENTARY INFORMATION:
SUMMARY:
rljohnson on DSK3VPTVN1PROD with NOTICES
A. General
The Computer Matching and Privacy
Protection Act of 1988 (Pub. L. 100–
503), amended the Privacy Act (5 U.S.C.
552a) by describing the conditions
under which computer matching
involving the Federal government could
be performed, and by adding certain
protections for persons applying for,
and receiving, Federal benefits. Section
7201 of the Omnibus Budget
Reconciliation Act of 1990 (Pub. L. 101–
508) further amended the Privacy Act
regarding protection for such persons.
VerDate Sep<11>2014
14:47 Jan 16, 2015
Jkt 235001
The Privacy Act, as amended,
regulates the use of computer matching
by Federal agencies when matching
records in a system of records with
other Federal, State, or local government
records. It requires Federal agencies
involved in computer matching
programs to:
(1) Negotiate written agreements with
the other agency or agencies
participating in the matching programs;
(2) Obtain approval of the matching
agreement by the Data Integrity Boards
of the participating Federal agencies;
(3) Publish notice of the computer
matching program in the Federal
Register;
(4) Furnish reports about matching
programs to Congress and Office of
Management and Budget;
(5) Notify beneficiaries and applicants
that their records are subject to
matching; and
(6) Verify match findings before
reducing, suspending, terminating, or
denying a person’s benefits or
payments.
B. RRB Computer Matches Subject to
the Privacy Act
We have taken action to ensure that
all of our computer matching programs
comply with the requirements of the
Privacy Act, as amended.
C. Notice of Computer Matching
Program: RRB With State Agencies
1. Name of Participating Agencies:
The Railroad Retirement Board and
agencies of all 50 states which provide
unemployment or sickness benefits.
2. Purpose of the Match: To identify
individuals who have improperly
collected benefits provided by the RRB
under the Railroad Unemployment
Insurance Act while earning
remuneration in non-railroad
employment or while collecting
unemployment or sickness benefits paid
by a state agency.
3. Authority for Conducting the
Match: The Social Security Act (42
U.S.C. 503(c)(1)), and Railroad
Unemployment Insurance Act (45
U.S.C. 231f(b) and 362(f)). Disclosures
under this agreement are made in
accordance with the Privacy Act, as
amended (5 U.S.C. 552a(b)(3)) and in
compliance with the matching
procedures in the Privacy Act (5 U.S.C.
552a(o), (p), and (r)).
4. Categories of Records and
Individuals Covered: All recipients of
benefits under the Railroad
Unemployment Insurance Act during a
given period who reside in the states
with which the RRB has negotiated a
computer matching program agreement.
Records furnished by the states are
PO 00000
Frm 00084
Fmt 4703
Sfmt 4703
2757
covered under Privacy Act system of
records RRB–21, Railroad
Unemployment and Sickness Insurance
Benefit System, which was published in
the Federal Register (FR) on July 26,
2010 (75 FR 43725).
5. Inclusive Dates of the Matching
Program: This computer matching
program is effective February 10, 2015
through August 10, 2017. Before
becoming effective the following notice
periods must have lapsed: 30 days after
publication in the Federal Register and
40 days after notice of the matching
program sent to Congress and OMB. The
computer matching program is valid for
18 months from the effective date and,
if both agencies meet certain conditions,
the RRB may grant a one-time extension
of another 12 months. The number of
matches conducted with each state
during the period of the match will vary
from state to state, depending on
whether the computer matching
agreement provides for matches to be
conducted quarterly or every six
months.
6. Procedure: The RRB will furnish
the state agency a file of records. The
data elements will consist of beneficiary
identifying information, such as name
and Social Security Number (SSN), as
well as the overall period during which
the individual received benefits under
the Railroad Unemployment Insurance
Act. The state agency will match the
identifying information.
If the matching operation reveals that
the individual who had received
benefits under the Railroad
Unemployment Insurance Act also
received either unemployment or
sickness insurance benefits from the
state for any days in the period, the state
agency will notify the RRB. Depending
on arrangements made between the two
jurisdictions, and, in the case of state
sickness benefits, on the applicable state
law, either the RRB or the state agency
will attempt to recover the amount of
the duplicate payments.
If the matching operation reveals that
wages had been reported for the
individual during the requested period,
the state will notify the RRB of this fact
and furnish a breakdown of the wages,
as well as the name and address of each
employer who reported earnings for the
individual. The RRB will then contact
each employer who reported earnings
for the individual for the given period.
Only if the employment is verified will
the RRB take action to recover the
overpayment. If the RRB benefits had
been paid under the Railroad
Unemployment Insurance Act, recovery
is limited to payments made for those
days on which the individual was
gainfully employed.
E:\FR\FM\20JAN1.SGM
20JAN1
2758
Federal Register / Vol. 80, No. 12 / Tuesday, January 20, 2015 / Notices
7. Other information: The notice we
are giving here is in addition to any
individual notice. We will file a report
with the Committee on Homeland
Security and Governmental Affairs of
the Senate, the Committee on Oversight
and Government Reform of the House of
Representatives, and the Office of
Information and Regulatory Affairs,
Office of Management and Budget
(OMB).
Dated: January 13, 2015.
By authority of the Board.
Martha P. Rico,
Secretary to the Board.
[FR Doc. 2015–00663 Filed 1–16–15; 8:45 am]
BILLING CODE P
[Release No. 34–74046; File No. SR–FICC–
2014–06]
Self-Regulatory Organizations; Fixed
Income Clearing Corporation; Order
Approving Proposed Rule Change To
Amend the Rules of the Government
Securities Division and the MortgageBacked Securities Division on
Insolvency and Ceasing To Act
January 13, 2015.
I. Introduction
On November 25, 2014, the Fixed
Income Clearing Corporation (‘‘FICC’’)
filed with the Securities and Exchange
Commission (‘‘Commission’’) proposed
rule change SR–FICC–2014–06 pursuant
to Section 19(b)(1) of the Securities
Exchange Act of 1934 (‘‘Act’’) 1 and Rule
19b–4 thereunder.2 The proposed
change was published for comment in
the Federal Register on December 12,
2014.3 The Commission received one
comment supporting the proposed rule
change.4 For the reasons discussed
below, the Commission is approving the
proposed rule change.
II. Description
rljohnson on DSK3VPTVN1PROD with NOTICES
The rule change, as proposed, amends
the rulebooks of FICC’s Government
Securities Division (‘‘GSD’’) and FICC’s
Mortgage-Backed Securities Division
(‘‘MBSD’’) to simplify those rules
relating to the insolvency of a member
and ceasing to act, in order to simplify
certain aspects of FICC’s process in a
U.S.C. 78s(b)(1).
CFR 240.19b–4.
3 Securities Exchange Act Release No. 73787
(December 8, 2014), 79 FR 73927 (December 12,
2014) (SR–FICC–2014–06).
4 Letter from ‘‘Anonymous,’’ Office of the
Secretary, U.S. Securities and Exchange
Commission (Jan. 1, 2015).
2 17
VerDate Sep<11>2014
14:47 Jan 16, 2015
Jkt 235001
A. Background
In connection with lessons learned
from a recent close-out simulation
exercise conducted by FICC’s parent
company, The Depository Trust &
Clearing Corporation, in which FICC
participated, and a related review of the
GSD and MBSD rules, specific
challenges were identified relating to
the administration of certain aspects of
GSD and MBSD insolvency and ceasing
to act rule provisions, particularly in an
intra-day cease to act situation.
B. ‘‘Time of Insolvency’’ and ‘‘Cut-Off
Time’’
SECURITIES AND EXCHANGE
COMMISSION
1 15
cease to act situation and provide
greater legal certainty for FICC and its
members, particularly in an intra-day
cease to act situation.
GSD and MBSD include in their
current insolvency rules 5 and cease to
act rules 6 the concept of a ‘‘Time of
Insolvency,’’ which is defined to mean
the time at which FICC determines to its
reasonable satisfaction that a member is
‘‘insolvent’’ within the meaning of GSD
Rule 22 or MBSD Rule 16, respectively.
This ‘‘Time of Insolvency’’ concept is
distinguished from the time at which
FICC ceases to act for a member. The
GSD and MBSD rules currently use
‘‘Time of Insolvency’’ as a line of
demarcation when determining FICC’s
obligations with respect to pending
transactions involving the insolvent
member. Specifically, transactions with
the insolvent member that are not
compared or deemed compared in
accordance with the GSD or MBSD
rules, respectively, prior to the ‘‘Time of
Insolvency’’ are not eligible to be part of
the close-out process, unless otherwise
determined by FICC’s Board of Directors
in order to promote orderly settlement.
For a non-insolvency cease to act
situation, the GSD rules and the MBSD
rules on ceasing to act 7 currently
include the concept of a ‘‘Cut-Off
Time,’’ which is defined to mean a time
specified in advance by FICC in a notice
to its members at which it will cease to
act for a member. Like the ‘‘Time of
Insolvency’’ concept, ‘‘Cut-Off Time’’ is
currently used in the GSD rules and the
MBSD rules when determining FICC’s
obligations with respect to pending
transactions involving the defaulted
member.
5 FICC, Government Securities Division Rulebook
(‘‘GSD Rulebook’’), Rule 22; Fixed Income Clearing
Corporation, Mortgage-Backed Securities Division
Rulebook (‘‘MBSD Rulebook’’), Rule 16.
6 GSD Rulebook, Rule 22A; MBSD Rulebook, Rule
17.
7 GSD Rulebook, Rule 22A; MBSD Rulebook, Rule
17.
PO 00000
Frm 00085
Fmt 4703
Sfmt 4703
Identifying an exact time at which a
member has become ‘‘insolvent’’ for
purposes of establishing a ‘‘Time of
Insolvency’’ may pose potential
challenges for FICC in circumstances
where the member is deemed
‘‘insolvent’’ based upon the
determination or action of a third party,
such as the member’s regulator,
supervisory authority or a court of
competent jurisdiction. In an intra-day
cease to act situation where transaction
data is being submitted to FICC in realtime, such potential challenges may
create a lack of legal certainty for FICC
and its members regarding FICC’s
obligations with respect to pending
transactions involving the insolvent
member. The rule change removes the
‘‘Time of Insolvency’’ concept from the
GSD rules and the MBSD rules and
instead simply relies on the single time
FICC ceases to act for an insolvent
member for purposes of determining its
obligations with respect to pending
transactions involving such insolvent
member.
In order to also simplify its process in
non-insolvency cease to act situations,
the rule change removes the separate
‘‘Cut-Off Time’’ concept from the GSD
rules and the MBSD rules, and instead
relies on the single time FICC ceases to
act for a defaulted member for purposes
of determining its obligations with
respect to pending transactions
involving such defaulted member.8
C. Transactions Deemed Compared
Based Solely on Non-Defaulting Member
Data
Currently, the provisions of the GSD’s
rules and the MBSD’s rules on ceasing
to act,9 and the related prongs of the
‘‘Compared Trade’’ definition in Rule 1
of the each of GSD’s rules and MBSD’s
rules provide that, in the context of
FICC ceasing to act for a member, a
transaction involving such member that
would not otherwise be compared or
deemed compared under the GSD rules
or the MBSD rules, respectively, may, in
certain circumstances, be deemed a
compared trade based solely on data
submitted by a non-defaulting member.
The determination of whether such a
8 In addition to simplifying FICC’s rules relating
to the insolvency of a member and ceasing to act,
the rule change more closely aligns the GSD rules
and the MBSD rules with the rules of FICC’s
affiliate, National Securities Clearing Corporation
(‘‘NSCC’’). Under its Rule 18 (Procedures for When
the Corporation Declines or Ceases to Act), NSCC
relies on the time it declines or ceases to act for a
member when determining which transactions
involving such member will be excluded from its
operations, rather than on a separate ‘‘Time of
Insolvency’’ or ‘‘Cut-Off Time,’’ as applicable.
9 GSD Rulebook, Rule 22A; MBSD Rulebook, Rule
17.
E:\FR\FM\20JAN1.SGM
20JAN1
Agencies
[Federal Register Volume 80, Number 12 (Tuesday, January 20, 2015)]
[Notices]
[Pages 2757-2758]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2015-00663]
[[Page 2757]]
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RAILROAD RETIREMENT BOARD
Computer Matching and Privacy Protection Act of 1988; Report of
Matching Program: RRB and State Agencies
AGENCY: U.S. Railroad Retirement Board (RRB).
ACTION: Notice of a renewal of an existing computer matching program
due to expire on February 10, 2015.
-----------------------------------------------------------------------
SUMMARY: The Privacy Act, as amended, requires the RRB to issue a
public notice of its use and intent to use, information obtained from
state agencies in ongoing computer matching programs regarding
individuals who received benefits under the Railroad Unemployment
Insurance Act.
The information received through the computer matching programs may
consist of either: (1) A report of unemployment or sickness payments
made by the state for the same period that benefits were paid by the
RRB, or (2) a report of wages paid to an individual, and the names and
addresses of employers who reported those wages to the state for the
same period that benefits were paid by the RRB.
The purpose of this notice is to advise individuals applying for or
receiving benefits under the Railroad Unemployment Insurance Act of the
use made by the RRB of the information obtained from state agencies by
means of a computer match.
DATES: Submit comments on or before March 2, 2015.
ADDRESSES: Address any comments concerning this notice in writing to
the Secretary to the Board, U.S. Railroad Retirement Board, 844 North
Rush Street, Chicago, Illinois 60611-2092.
FOR FURTHER INFORMATION CONTACT: Mr. Timothy S. Grant, Chief Privacy
Officer, U.S. Railroad Retirement Board, 844 North Rush Street, Attn:
BIS-IRMC, Chicago, Illinois 60611-2092.
SUPPLEMENTARY INFORMATION:
A. General
The Computer Matching and Privacy Protection Act of 1988 (Pub. L.
100-503), amended the Privacy Act (5 U.S.C. 552a) by describing the
conditions under which computer matching involving the Federal
government could be performed, and by adding certain protections for
persons applying for, and receiving, Federal benefits. Section 7201 of
the Omnibus Budget Reconciliation Act of 1990 (Pub. L. 101-508) further
amended the Privacy Act regarding protection for such persons.
The Privacy Act, as amended, regulates the use of computer matching
by Federal agencies when matching records in a system of records with
other Federal, State, or local government records. It requires Federal
agencies involved in computer matching programs to:
(1) Negotiate written agreements with the other agency or agencies
participating in the matching programs;
(2) Obtain approval of the matching agreement by the Data Integrity
Boards of the participating Federal agencies;
(3) Publish notice of the computer matching program in the Federal
Register;
(4) Furnish reports about matching programs to Congress and Office
of Management and Budget;
(5) Notify beneficiaries and applicants that their records are
subject to matching; and
(6) Verify match findings before reducing, suspending, terminating,
or denying a person's benefits or payments.
B. RRB Computer Matches Subject to the Privacy Act
We have taken action to ensure that all of our computer matching
programs comply with the requirements of the Privacy Act, as amended.
C. Notice of Computer Matching Program: RRB With State Agencies
1. Name of Participating Agencies: The Railroad Retirement Board
and agencies of all 50 states which provide unemployment or sickness
benefits.
2. Purpose of the Match: To identify individuals who have
improperly collected benefits provided by the RRB under the Railroad
Unemployment Insurance Act while earning remuneration in non-railroad
employment or while collecting unemployment or sickness benefits paid
by a state agency.
3. Authority for Conducting the Match: The Social Security Act (42
U.S.C. 503(c)(1)), and Railroad Unemployment Insurance Act (45 U.S.C.
231f(b) and 362(f)). Disclosures under this agreement are made in
accordance with the Privacy Act, as amended (5 U.S.C. 552a(b)(3)) and
in compliance with the matching procedures in the Privacy Act (5 U.S.C.
552a(o), (p), and (r)).
4. Categories of Records and Individuals Covered: All recipients of
benefits under the Railroad Unemployment Insurance Act during a given
period who reside in the states with which the RRB has negotiated a
computer matching program agreement. Records furnished by the states
are covered under Privacy Act system of records RRB-21, Railroad
Unemployment and Sickness Insurance Benefit System, which was published
in the Federal Register (FR) on July 26, 2010 (75 FR 43725).
5. Inclusive Dates of the Matching Program: This computer matching
program is effective February 10, 2015 through August 10, 2017. Before
becoming effective the following notice periods must have lapsed: 30
days after publication in the Federal Register and 40 days after notice
of the matching program sent to Congress and OMB. The computer matching
program is valid for 18 months from the effective date and, if both
agencies meet certain conditions, the RRB may grant a one-time
extension of another 12 months. The number of matches conducted with
each state during the period of the match will vary from state to
state, depending on whether the computer matching agreement provides
for matches to be conducted quarterly or every six months.
6. Procedure: The RRB will furnish the state agency a file of
records. The data elements will consist of beneficiary identifying
information, such as name and Social Security Number (SSN), as well as
the overall period during which the individual received benefits under
the Railroad Unemployment Insurance Act. The state agency will match
the identifying information.
If the matching operation reveals that the individual who had
received benefits under the Railroad Unemployment Insurance Act also
received either unemployment or sickness insurance benefits from the
state for any days in the period, the state agency will notify the RRB.
Depending on arrangements made between the two jurisdictions, and, in
the case of state sickness benefits, on the applicable state law,
either the RRB or the state agency will attempt to recover the amount
of the duplicate payments.
If the matching operation reveals that wages had been reported for
the individual during the requested period, the state will notify the
RRB of this fact and furnish a breakdown of the wages, as well as the
name and address of each employer who reported earnings for the
individual. The RRB will then contact each employer who reported
earnings for the individual for the given period. Only if the
employment is verified will the RRB take action to recover the
overpayment. If the RRB benefits had been paid under the Railroad
Unemployment Insurance Act, recovery is limited to payments made for
those days on which the individual was gainfully employed.
[[Page 2758]]
7. Other information: The notice we are giving here is in addition
to any individual notice. We will file a report with the Committee on
Homeland Security and Governmental Affairs of the Senate, the Committee
on Oversight and Government Reform of the House of Representatives, and
the Office of Information and Regulatory Affairs, Office of Management
and Budget (OMB).
Dated: January 13, 2015.
By authority of the Board.
Martha P. Rico,
Secretary to the Board.
[FR Doc. 2015-00663 Filed 1-16-15; 8:45 am]
BILLING CODE P