Daily Rules, Proposed Rules, and Notices of the Federal Government
SBA is amending its Privacy Act System of Records, notice of which was previously published at 74 FR 14890 (April 1, 2009) and 77 FR 15835-01 (March 16, 2012), to update System 21 (Loan System) and System 36 (Suspension and Debarment Files) to incorporate a comment received from the public, to update a GSA system referenced within the notice, and to add two new routine uses to SOR 21.
SBA is updating the routine use provisions of its Privacy Act Systems of Records, Loan System, SBA 21 (“SOR 21”) to incorporate a comment received in response to the March 16, 2012 notice published in the
SBA is also revising SOR 21 to add a new routine use paragraph “o” to provide for the transfer of delinquent debt information for publication in a government-wide computer information system(s). SBA and its authorized lending institutions would be able to search this system to prescreen applicants for loans or loans guaranteed by the Federal government to ascertain if the applicant is delinquent in paying a debt owed to or guaranteed by the Government. This information will allow participating Federal agencies and approved private lenders acting on the Government's behalf to better monitor their credit programs and to reduce the credit extended to individuals with outstanding delinquencies on debts owed to SBA and other Federal agencies.
Finally, SBA is revising SOR 21 to add a new routine use paragraph “p” to allow transfer of loan information to Federal or state agencies for the purpose of identifying, preventing, or recouping improper payments to an applicant for, or recipient of, Federal funds, including funds disbursed by a state in a state-administered, federally funded program. Government agencies, including but not limited to SBA, would be able to search this system. This transfer of information is authorized pursuant to the Improper Payments Elimination and Recovery Act of 2010, Executive Order 13520, and Executive Memorandum dated June 18, 2010, which required agencies to review existing databases known collectively as the “Do Not Pay List” before the release of any Federal funds. The purpose of the “Do Not Pay List” is to help prevent, reduce and stop improper payments from being made, and to identify and mitigate, fraud, waste and abuse.
SBA is updating the System of Records for Suspension and Debarment Files, SBA 36, (“SOR 36”), to incorporate a comment received in response to the March 16, 2012 notice published in the
Loan System—SBA 21
These records and information in the records may be used, disclosed, or referred:
“m—To GSA and the public for publication of Loan Agent suspensions, revocations and exclusions under 13 CFR Part 103 in the Excluded Parties List System (or successor system) and on the SBA Web site consistent with Executive Order 12549 and other applicable law.”
“o—To the Department of Housing and Urban Development or other Federal agency for publication of delinquent debt information of persons delinquent in paying a debt owed to or guaranteed by the SBA on a system to allow searches by participating Government agencies and approved private lenders, consistent with applicable law.”
“p—to (a) a Federal or state agency, its employees, agents (including contractors of its agents), approved private lenders acting on the Government's behalf, or contractors, or (b) a fiscal or financial agent designated by the Department of the Treasury, including employees, agents or contractors of such agent, for the purpose of identifying, preventing, or recouping improper payments to an applicant for, or recipient of, Federal funds, including funds disbursed by a state in a state-administered, Federally funded program.”
—Suspension and Debarment Files—SBA 36
These records and information in the records may be used, disclosed or referred:
“o. To GSA and the public for publication of suspensions, debarments, other enforcement actions, and exclusions by SBA in the Excluded Parties List System (or successor system) and on the SBA Web site pursuant to Executive Order 12549 and other applicable law.”