Public Law- The Privacy Act of 1974

THE PRIVACY ACT OF 1974
(As Amended)
Public Law 93-579, as codified at 5 U.S.C. 552a

Be it enacted by the Senate and House of Representatives of the United States of America in
Congress assembled, that this Act may be cited as the "Privacy Act of 1974."

SECTION 2
(a)

(b)

The Congress finds that –
(1)

the privacy of an individual is directly affected by the collection, maintenance,
use, and dissemination of personal information by Federal agencies;

(2)

the increasing use of computers and sophisticated information technology, while
essential to the efficient operations of the Government, has greatly magnified the
harm to individual privacy that can occur from any collection, maintenance, use, or
dissemination of personal information;

(3)

the opportunities for an individual to secure employment, insurance, and credit,
and his right to due process, and other legal protections are endangered by the
misuse of certain information systems;

(4)

the right to privacy is a personal and fundamental right protected by the
Constitution of the United States; and

(5)

in order to protect the privacy of individuals identified in information systems
maintained by Federal agencies, it is necessary and proper for the Congress to
regulate the collection, maintenance, use, and dissemination of information by such
agencies.

The purpose of this Act is to provide certain safeguards for an individual against an
invasion of personal privacy by requiring Federal agencies, except as otherwise provided
by law, to -(1)

permit an individual to determine what records pertaining to him are collected,
maintained, used, or disseminated by such agencies;

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(2)

permit an individual to prevent records pertaining to him obtained by such
agencies for a particular purpose from being used or made available for another
purpose without his consent;

(3)

permit an individual to gain access to information pertaining to him in Federal
agency records, to have a copy made of all or any portion thereof, and to correct
or amend such records;

(4)

collect, maintain, use, or disseminate any record of identifiable personal
information in a manner that assures that such action is for a necessary and lawful
purpose, that the information is current and accurate for its intended use, and that
adequate safeguards are provided to prevent misuse of such information;

(5)

permit exemptions from such requirements with respect to records provided in
this Act only in those cases where there is an important public policy need for
such exemption as has been determined by specific statutory authority; and

(6)

be subject to civil suit for any damages which occur as a result of willful or
intentional action which violates any individual's rights under this Act.

SECTION 3
Title 5, United States Code, is amended by adding after section 552 the following new section:
552a. Records maintained on individuals
(a)

DEFINITIONS
For purposes of this section -(1)

the term "agency" means agency as defined in section 552(e) of this title;

(2)

the term "individual" means a citizen of the United States or an alien lawfully
admitted for permanent residence;

(3)

the term "maintain" includes maintain, collect, use, or disseminate;

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(4)

the term "record" means any item, collection, or grouping of information about an
individual that is maintained by an agency, including, but not limited to, his
education, financial transactions, medical history, and criminal or employment
history and that contains his name, or the identifying number, symbol, or other
identifying particular assigned to the individual, such as a finger or voice print or a
photograph;

(5)

the term "system of records" means a group of any records under the control of
any agency from which information is retrieved by the name of the individual or
by some identifying number, symbol, or other identifying particular assigned to
the individual;

(6)

the term "statistical record" means a record in a system of records maintained for
statistical research or reporting purposes only and not used in whole or in part in
making any determination about an identifiable individual, except as provided by
section 8 of title 13;

(7)

the term "routine use" means, with respect to the disclosure of a record, the use of
such record for a purpose which is compatible with the purpose for which it was
collected;

(8)

the term "matching program" -(A)

means any computerized comparison of -(i)

(ii)

(B)

two or more automated systems of records or a system of records
with non-Federal records for the purpose of -(I)

establishing or verifying the eligibility of, or continuing
compliance with statutory and regulatory requirements by,
applicants for, recipients or beneficiaries of, participants in,
or providers of services with respect to, cash or in-kind
assistance or payments under Federal benefit programs, or

(II)

recouping payments or delinquent debts under such Federal
benefit programs, or

two or more automated Federal personnel or payroll systems of
records or a system of Federal personnel or payroll records with
non-Federal records,

but does not include --

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(i)

matches performed to produce aggregate statistical data without
any personal identifiers;

(ii)

matches performed to support any research or statistical project,
the specific data of which may not be used to make decisions
concerning the rights, benefits, or privileges of specific individuals;

(iii)

matches performed by an agency (or component thereof) which
performs as its principal function any activity pertaining to the
enforcement of criminal laws, subsequent to the initiation of a
specific criminal or civil law enforcement investigation of a named
person or persons for the purpose of gathering evidence against
such person or persons;

(iv)

matches of tax information --

(v)

(I)

pursuant to section 6103(d) of the Internal Revenue Code
of 1986;

(II)

for purposes of tax administration as defined in section
6103(b)(4) of such Code;

(III)

for the purpose of intercepting a tax refund due an
individual under authority granted by section 464 or 1137
of the Social Security Act; or

(IV)

for the purpose of intercepting a tax refund due an
individual under any other tax refund intercept program
authorized by statute which has been determined by the
Director of the Office of Management and Budget to
contain verification, notice, and hearing requirements that
are substantially similar to the procedures in section 1137
of the Social Security Act;

matches -(I)

using records predominantly relating to Federal personnel,
that are performed for routine administrative purposes
(subject to guidance provided by the Director of the Office
of Management and Budget pursuant to subsection (v)); or

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(II)

conducted by an agency using only records from systems of
records maintained by that agency;

if the purpose of the match is not to take any adverse financial,
personnel, disciplinary, or other adverse action against Federal
personnel; or
(vi)

(b)

matches performed for foreign counter-intelligence purposes or to
produce background checks for security clearances of Federal
personnel or Federal contractor personnel;

(9)

the term "recipient agency" means any agency, or contractor thereof, receiving
records contained in a system of records from a source agency for use in a
matching program;

(10)

the term "non-Federal agency" means any State or local government, or agency
thereof, which receives records contained in a system of records from a source
agency for use in a matching program;

(11)

the term "source agency" means any agency which discloses records contained in a
system of records to be used in a matching program, or any State or local
government, or agency thereof, which discloses records to be used in a matching
program;

(12)

the term "Federal benefit program" means any program administered or funded by
the Federal Government, or by any agent or State on behalf of the Federal
Government, providing cash or in-kind assistance in the form of payments, grants,
loans, or loan guarantees to individuals; and

(13)

the term "federal personnel" means officers and employees of the Government of
the United States, members of the uniformed services (including members of the
Reserve Components), individuals entitled to receive immediate or deferred
retirement benefits under any retirement program of the Government of the
United States (including survivor benefits).

CONDITIONS OF DISCLOSURE
No agency shall disclose any record which is contained in a system of records by any
means of communication to any person, or to another agency, except pursuant to a
written request by, or with the prior written consent of, the individual to whom the
record pertains, unless disclosure of the record would be--

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(1)

to those officers and employees of the agency which maintains the record who
have a need for the record in the performance of their duties;

(2)

required under section 552 of this title;

(3)

for a routine use as defined in subsection (a)(7) of this section and described under
subsection (e)(4)(D) of this section;

(4)

to the Bureau of the Census for purposes of planning or carrying out a census or
survey or related activity pursuant to the provisions of title 13;

(5)

to a recipient who has provided the agency with advance adequate written
assurance that the record will be used solely as a statistical research or reporting
record, and the record is to be transferred in a form that is not individually
identifiable;

(6)

to the National Archives of the United States as a record which has sufficient
historical or other value to warrant its continued preservation by the United States
Government, or for evaluation by the Archivist of the United States or his
designee to determine whether the record has such value;

(7)

to another agency or to an instrumentality of any governmental jurisdiction within
or under the control of the United States for a civil or criminal law enforcement
activity if the activity is authorized by law, and if the head of the agency or
instrumentality has made a written request to the agency which maintains the
record specifying the particular portion desired and the law enforcement activity
for which the record is sought;

(8)

to a person pursuant to a showing of compelling circumstances affecting the health
or safety of an individual if upon such disclosure notification is transmitted to the
last known address of such individual;

(9)

to either House of Congress, or, to the extent of matter within its jurisdiction, any
committee or subcommittee thereof, any joint committee of Congress or
subcommittee of any such joint committee;

(10)

to the Comptroller General, or any of his authorized representatives, in the course
of the performance of the duties of the General Accounting Office;

(11)

pursuant to the order of a court of competent jurisdiction; or

(12)

to a consumer reporting agency in accordance with section 3711(f) of title 31.

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(c)

ACCOUNTING OF CERTAIN DISCLOSURES
Each agency, with respect to each system of records under its control, shall -(1)

(d)

except for disclosures made under subsections (b)(1) or (b)(2) of this section, keep
an accurate accounting of -(A)

the date, nature, and purpose of each disclosure of a record to any person
or to another agency made under subsection (b) of this section;

(B)

the name and address of the person or agency to whom the disclosure is
made;

(2)

retain the accounting made under paragraph (1) of this subsection for at least five
years or the life of the record, whichever is longer, after the disclosure for which
the accounting is made;

(3)

except for disclosures made under subsection (b)(7) of this section, make the
accounting made under paragraph (1) of this subsection available to the individual
named in the record at his request; and

(4)

inform any person or other agency about any correction or notation of dispute
made by the agency in accordance with subsection (d) of this section of any record
that has been disclosed to the person or agency if an accounting of the disclosure
was made.

ACCESS TO RECORDS
Each agency that maintains a system of records shall -(1)

upon request by any individual to gain access to his record or to any information
pertaining to him which is contained in the system, permit him and upon his
request, a person of his own choosing to accompany him, to review the record and
have a copy made of all or any portion thereof in a form comprehensible to him,
except that the agency may require the individual to furnish a written statement
authorizing discussion of that individual's record in the accompanying person's
presence;

(2)

permit the individual to request amendment of a record pertaining to him and --

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(e)

(A)

not later than 10 days (excluding Saturdays, Sundays, and legal public
holidays) after the date of receipt of such request, acknowledge in writing
such receipt; and

(B)

promptly, either -(i)

make any correction of any portion thereof which the individual
believes is not accurate, relevant, timely, or complete; or

(ii)

inform the individual of its refusal to amend the record in
accordance with his request, the reason for the refusal, the
procedures established by the agency for the individual to request a
review of that refusal by the head of the agency or an officer
designated by the head of the agency, and the name and business
address of that official;

(3)

permit the individual who disagrees with the refusal of the agency to amend his
record to request a review of such refusal, and not later than 30 days (excluding
Saturdays, Sundays, and legal public holidays) from the date on which the
individual requests such review, complete such review and make a final
determination unless, for good cause shown, the head of the agency extends such
30-day period; and if, after his review, the reviewing official also refuses to amend
the record in accordance with the request, permit the individual to file with the
agency a concise statement setting forth the reasons for his disagreement with the
refusal of the agency, and notify the individual of the provisions for judicial
review of the reviewing official's determination under subsection (g)(1)(A) of this
section;

(4)

in any disclosure, containing information about which the individual has filed a
statement of disagreement, occurring after the filing of the statement under
paragraph (3) of this subsection, clearly note any portion of the record which is
disputed and provide copies of the statement and, if the agency deems it
appropriate, copies of a concise statement of the reasons of the agency for not
making the amendments requested, to persons or other agencies to whom the
disputed record has been disclosed; and

(5)

nothing in this section shall allow an individual access to any information
compiled in reasonable anticipation of a civil action or proceeding.

AGENCY REQUIREMENTS
Each agency that maintains a system of records shall --

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(1)

maintain in its records only such information about an individual as is relevant and
necessary to accomplish a purpose of the agency required to be accomplished by
statute or by executive order of the President;

(2)

collect information to the greatest extent practicable directly from the subject
individual when the information may result in adverse determinations about an
individual's rights, benefits, and privileges under Federal programs;

(3)

inform each individual whom it asks to supply information, on the form which it
uses to collect the information or on a separate form that can be retained by the
individual --

(4)

(A)

the authority (whether granted by statute, or by executive order of the
President) which authorizes the solicitation of the information and whether
the disclosure of such information is mandatory or voluntary;

(B)

the principal purpose or purposes for which the information is intended to
be used;

(C)

the routine uses which may be made of the information, as published
pursuant to paragraph (4)(D) of this subsection; and

(D)

the effects on him, if any, of not providing all or any part of the requested
information;

subject to the provisions of paragraph (11) of this subsection, publish in the
Federal Register upon establishment or revision a notice of the existence and
character of the system of records, which notice shall include -(A)

the name and location of the system;

(B)

the categories of individuals on whom records are maintained in the
system;

(C)

the categories of records maintained in the system;

(D)

each routine use of the records maintained in the system, including the
categories of users and the purpose of such use;

(E)

the policies and practices of the agency regarding storage, retrievability,
access controls, retention, and disposal of the records;

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(F)

the title and business address of the agency official who is responsible for
the system of records;

(G)

the agency procedures whereby an individual can be notified at his request
if the system of records contains a record pertaining to him;

(H)

the agency procedures whereby an individual can be notified at his request
how he can gain access to any record pertaining to him contained in the
system of records, and how he can contest its content; and

(I)

the categories of sources of records in the system;

(5)

maintain all records which are used by the agency in making any determination
about any individual with such accuracy, relevance, timeliness, and completeness
as is reasonably necessary to assure fairness to the individual in the determination;

(6)

prior to disseminating any record about an individual to any person other than an
agency, unless the dissemination is made pursuant to subsection (b)(2) of this
section, make reasonable efforts to assure that such records are accurate, complete,
timely, and relevant for agency purposes;

(7)

maintain no record describing how any individual exercises rights guaranteed by
the First Amendment unless expressly authorized by statute or by the individual
about whom the record is maintained or unless pertinent to and within the scope
of an authorized law enforcement activity;

(8)

make reasonable efforts to serve notice on an individual when any record on such
individual is made available to any person under compulsory legal process when
such process becomes a matter of public record;

(9)

establish rules of conduct for persons involved in the design, development,
operation, or maintenance of any system of records, or in maintaining any record,
and instruct each person with respect to such rules and the requirements of this
section, including any other rules and procedures adopted pursuant to this section
and the penalties for noncompliance;

(10)

establish appropriate administrative, technical, and physical safeguards to insure
the security and confidentiality of records and to protect against any anticipated
threats or hazards to their security or integrity which could result in substantial
harm, embarrassment, inconvenience, or unfairness to any individual on whom
information is maintained;

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(f)

(11)

at least 30 days prior to publication of information under paragraph (4)(D) of this
subsection, publish in the Federal Register notice of any new use or intended use
of the information in the system, and provide an opportunity for interested
persons to submit written data, views, or arguments to the agency; and

(12)

if such agency is a recipient agency or a source agency in a matching program with
a non-Federal agency, with respect to any establishment or revision of a matching
program, at least 30 days prior to conducting such program, publish in the Federal
Register notice of such establishment or revision.

AGENCY RULES
In order to carry out the provisions of this section, each agency that maintains a system
of records shall promulgate rules, in accordance with the requirements (including general
notice) of section 553 of this title, which shall-(1)

establish procedures whereby an individual can be notified in response to his
request if any system of records named by the individual contains a record
pertaining to him;

(2)

define reasonable times, places, and requirements for identifying an individual who
requests his record or information pertaining to him before the agency shall make
the record or information available to the individual;

(3)

establish procedures for the disclosure to an individual upon his request of his
record or information pertaining to him, including special procedure, if deemed
necessary, for the disclosure to an individual of medical records, including
psychological records, pertaining to him;

(4)

establish procedures for reviewing a request from an individual concerning the
amendment of any record or information pertaining to the individual, for making a
determination on the request, for an appeal within the agency of an initial adverse
agency determination, and for whatever additional means may be necessary for
each individual to be able to exercise fully his rights under this section; and

(5)

establish fees to be charged, if any, to any individual for making copies of his
record, excluding the cost of any search for and review of the record.

The office of the Federal Register shall biennially compile and publish the rules
promulgated under this subsection and agency notices published under subsection (e)(4)
of this section in a form available to the public at low cost.

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(g)

CIVIL REMEDIES
(1)

Whenever any agency -(A)

makes a determination under subsection (d)(3) of this section not to amend
an individual's record in accordance with his request, or fails to make such
review in conformity with that subsection;

(B)

refuses to comply with an individual request under (d)(1) of this section;

(C)

fails to maintain any record concerning any individual with such accuracy,
relevance, timeliness, and completeness as is necessary to assure fairness
in any determination relating to the qualifications, character, rights, or
opportunities of, or benefits to the individual that may be made on the
basis of such record, and consequently a determination is made which is
adverse to the individual; or

(D)

fails to comply with any other provision of this section, or any rule
promulgated thereunder, in such a way as to have an adverse effect on an
individual,

the individual may bring a civil action against the agency, and the district courts of
the United States shall have jurisdiction in the matters under the provisions of this
subsection.
(2)

(A)

In any suit brought under the provisions of subsection (g)(1)(A) of this
section, the court may order the agency to amend the individual's record in
accordance with his request or in such other way as the court may direct.
In such case the court shall determine the matter de novo.

(B)

The court may assess against the United States reasonable attorney fees
and other litigation costs reasonably incurred in any case under this
paragraph in which the complainant has substantially prevailed.

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(3)

(4)

(5)

(h)

(A)

In any suit brought under the provisions of subsection (g)(1)(B) of this
section, the court may enjoin the agency from withholding the records and
order the production to the complainant of any agency records improperly
withheld from him. In such a case the court shall determine the matter de
novo, and may examine the contents of any agency records in camera to
determine whether the records or any portion thereof may be withheld
under any of the exemptions set forth in subsection (k) of this section, and
the burden is on the agency to sustain its action.

(B)

The court may assess against the United States reasonable attorney fees
and other litigation costs reasonably incurred in any case under this
paragraph in which the complainant has substantially prevailed.

In any suit brought under the provisions of subsection (g)(1)(C) or (D) of this
section in which the court determines that the agency acted in a manner which was
intentional or willful, the United States shall be liable to the individual in an
amount equal to the sum of -(A)

actual damages sustained by the individual as a result of the refusal or
failure, but in no case shall a person entitled to recovery receive less than
the sum of $1,000; and

(B)

the costs of the action together with reasonable attorney fees as
determined by the court.

An action to enforce any liability created under this section may be brought in the
district court of the United States in the district in which the complainant resides,
or has his principal place of business, or in which the agency records are situated,
or in the District of Columbia, without regard to the amount in controversy,
within two years from the date on which the cause of action arises, except that
where any agency has materially and willfully misrepresented any information
required under this section to be disclosed to an individual and the information so
misrepresented is material to establishment of the liability of the agency to the
individual under this section, the action may be brought at any time within two
years after discovery by the individual of the misrepresentation. Nothing in this
section shall be construed to authorize any civil action by reason of any injury
sustained as the result of a disclosure of a record prior to the effective date of this
section.

RIGHTS OF LEGAL GUARDIANS

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For the purpose of this section, the parent of any minor, or the legal guardian of any
individual who has been declared to be incompetent due to physical or mental incapacity
or age by a court of competent jurisdiction, may act on behalf of the individual.
(i)

(j)

CRIMINAL PENALTIES
(1)

Any officer or employee of an agency, who by virtue of his employment or
official position, has possession of, or access to, agency records which contain
individually identifiable information the disclosure of which is prohibited by this
section or by rules or regulations established thereunder, and who knowing that
disclosure of the specific material is so prohibited, willfully discloses the material
in any manner to any person or agency not entitled to receive it, shall be guilty of
a misdemeanor and fined not more than $5,000.

(2)

Any officer or employee of any agency who willfully maintains a system of
records without meeting the notice requirements of subsection (e)(4) of this
section shall be guilty of a misdemeanor and fined not more than $5,000.

(3)

Any person who knowingly and willfully requests or obtains any record
concerning an individual from an agency under false pretenses shall be guilty of a
misdemeanor and fined not more than $5,000.

GENERAL EXEMPTIONS
The head of any agency may promulgate rules, in accordance with the requirements
(including general notice) of sections 553(b)(1), (2), and (3), (c), and (e) of this title, to
exempt any system of records within the agency from any part of this section except
subsections (b), (c)(1), and (2), (e)(4)(A) through (F), (e)(6), (7), (9), (10), and (11), and
(i) if the system of records is -(1)

maintained by the Central Intelligence Agency; or

(2)

maintained by an agency or component thereof which performs as its principal
function any activity pertaining to the enforcement of criminal laws, including
police efforts to prevent, control, or reduce crime or to apprehend criminals, and
the activities of prosecutors, courts, correctional probation, pardon, or parole
authorities, and which consists of -(A)

information compiled for the purpose of identifying individual criminal
offenders and alleged offenders and consisting only of identifying data and
notations of arrests, the nature and disposition of criminal charges,
sentencing, confinement, release, parole and probation status;

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(B)

information compiled for the purpose of a criminal investigation; including
reports of informants and investigations, and associated with an
identifiable individual; or

(C)

reports identifiable to an individual compiled at any stage of the process of
enforcement of criminal laws from arrest or indictment through release
from supervision.

At the time rules are adopted under this subsection, the agency shall include in the
statement required under section 553(c) of this title, the reasons why the system of
records is to be exempted from a provision of this section.
(k)

SPECIFIC EXEMPTIONS
The head of any agency may promulgate rules, in accordance with the requirements
(including general notice) of sections 553(b)(1), (2), and (3), (c), and (e) of this title, to
exempt any system of records within the agency from subsections (c)(3), (d), (e)(1),
(e)(4)(G), (H), and (I) and (f) of this section if the system of records is -(1)

subject to the provisions of section 552(b)(1) of this title;

(2)

investigatory material compiled for law enforcement purposes, other than material
within the scope of subsection (j)(2) of this section: provided, however, that if
any individual is denied any right, privilege, or benefit that he would otherwise be
entitled by Federal law, or for which he would otherwise be eligible, as a result of
the maintenance of such material, such material shall be provided to such
individual, except to the extent that the disclosure of such material would reveal
the identity of a source who furnished information to the Government under an
express promise that the identity of the source would be held in confidence, or,
prior to the effective date of this section, under an implied promise that the
identity of the source would be held in confidence;

(3)

maintained in connection with providing protection services to the President of
the United States or other individuals pursuant to section 3056 of title 18;

(4)

required by statute to be maintained and used solely as statistical records;

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(5)

investigatory material compiled solely for the purpose of determining suitability,
eligibility, or qualifications for Federal civilian employment, military service,
Federal contracts, or access to classified information, but only to the extent that
the disclosure of such material would reveal the identity of a source who furnished
information to the Government under an express promise that the identity of the
source would be held in confidence, or, prior to the effective date of this section,
under an implied promise that the identity of the source would be held in
confidence;

(6)

testing or examination material used solely to determine individual qualifications
for appointment or promotion in the Federal service the disclosure of which
would compromise the objectivity or fairness of the testing or examination
process; or

(7)

evaluation material used to determine potential for promotion in the armed
services, but only to the extent that the disclosure of such material would reveal
the identity of a source who furnished information to the Government under an
express promise that the identity of the source would be held in confidence, or,
prior to the effective date of this section, under an implied promise that the
identity of the source would be held in confidence.

At the time rules are adopted under this subsection, the agency shall include in the
statement required under section 553(c) of this title, the reasons why the system of
records is to be exempted from a provision of this section.
(l)

ARCHIVAL RECORDS
(1)

Each agency record which is accepted by the Archivist of the United States for
storage, processing, and servicing in accordance with section 3103 of title 44 shall,
for the purposes of this section, be considered to be maintained by the agency
which deposited the record and shall be subject to the provisions of this section.
The Archivist of the United States shall not disclose the record except to the
agency which maintains the record, or under rules established by that agency
which are not inconsistent with the provisions of this section.

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(m)

(n)

(2)

Each agency record pertaining to an identifiable individual which was transferred
to the National Archives of the United States as a record which has sufficient
historical or other value to warrant its continued preservation by the United States
Government, prior to the effective date of this section, shall, for the purposes of
this section be considered to be maintained by the National Archives and shall not
be subject to the provisions of this section, except that a statement generally
describing such records (modeled after the requirements relating to records subject
to subsections (e)(4)(A) through (G) of this section) shall be published in the
Federal Register.

(3)

Each agency record pertaining to an identifiable individual which is transferred to
the National Archives of the United States as a record which has sufficient
historical or other value to warrant its continued preservation by the United States
Government, on or after the effective date of this section, shall be considered to be
maintained by the National Archives and shall be exempt from the requirements of
this section except subsections (e)(4)(A) through (G) and (e)(9) of this section.

GOVERNMENT CONTRACTORS
(1)

When an agency provides by a contract for the operation by or on behalf of the
agency of a system of records to accomplish an agency function, the agency shall,
consistent with its authority, cause the requirements of this section to be applied
to such system. For purposes of subsection (i) of this section any such
contractor and any employee of such contractor, if such contract is agreed to on or
after the effective date of this section, shall be considered to be an employee of an
agency.

(2)

A consumer reporting agency to which a record is disclosed under section 3711(f)
of title 31 shall not be considered a contractor for purposes of this section.

MAILING LISTS
An individual's name and address may not be sold or rented by an agency unless such
action is specifically authorized by law. This provision shall not be construed to require
the withholding of names and addresses otherwise permitted to be made public.

(o)

MATCHING AGREEMENTS
(1)

No record which is contained in a system of records may be disclosed to a
recipient agency or non-Federal agency for use in a computer matching program
except pursuant to a written agreement between the source agency and the
recipient agency or non-Federal agency specifying --

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(A)

the purpose and legal authority for conducting the program;

(B)

the justification for the program and the anticipated results, including a
specific estimate of any savings;

(C)

a description of the records that will be matched, including each data
element that will be used, the approximate number of records that will be
matched, and the projected starting and completion dates of the matching
program;

(D)

procedures for providing individualized notice at the time of application,
and notice periodically thereafter as directed by the Data Integrity Board
of such agency (subject to guidance provided by the Director of the Office
of Management and Budget pursuant to subsection (v)), to -(i)

applicants for and recipients of financial assistance or payments
under Federal benefit programs, and

(ii)

applicants for and holders of positions as Federal personnel, that
any information provided by such applicants, recipients, holders,
and individuals may be subject to verification through matching
programs;

(E)

procedures for verifying information produced in such matching program
as required by subsection (p);

(F)

procedures for the retention and timely destruction of identifiable records
created by a recipient agency or non-Federal agency in such matching
program;

(G)

procedures for ensuring the administrative, technical, and physical security
of the records matched and the results of such programs;

(H)

prohibitions on duplication and redisclosure of records provided by the
source agency within or outside the recipient agency or the non-Federal
agency, except where required by law or essential to the conduct of the
matching program;

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(2)

(p)

(I)

procedures governing the use by a recipient agency or non-Federal agency
of records provided in a matching program by a source agency, including
procedures governing return of the records to the source agency or
destruction of records used in such program;

(J)

information on assessments that have been made on the accuracy of the
records that will be used in such matching program; and

(K)

that the Comptroller General may have access to all records of a recipient
agency or non-Federal agency that the Comptroller General deems
necessary in order to monitor or verify compliance with the agreement.

(A)

A copy of each agreement entered into pursuant to paragraph (1) shall -(i)

be transmitted to the Committee on Governmental Affairs of the
Senate and the Committee on Government Operations of the
House of Representatives; and

(ii)

be available upon request to the public.

(B)

No such agreement shall be effective until 30 days after the date on which
such a copy is transmitted pursuant to subparagraph (A)(i).

(C)

Such an agreement shall remain in effect only for such period, not to exceed
18 months, as the Data Integrity Board of the agency determines is
appropriate in light of the purposes, and length of time necessary for the
conduct, of the matching program.

(D)

Within 3 months prior to the expiration of such an agreement pursuant to
subparagraph (C), the Data Integrity Board of the agency may, without
additional review, renew the matching agreement for a current, ongoing
matching program for not more than one additional year if -(i)

such program will be conducted without any change; and

(ii)

each party to the agreement certifies to the Board in writing that
the program has been conducted in compliance with the agreement.

VERIFICATION AND OPPORTUNITY TO CONTEST FINDINGS

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(1)

In order to protect any individual whose records are used in a matching program,
no recipient agency, non-Federal agency, or source agency may suspend,
terminate, reduce, or make a final denial of any financial assistance or payment
under a Federal benefit program to such individual, or take other adverse action
against such individual, as a result of information produced by such matching
program, until-(A)

(2)

(i)

the agency has independently verified the information; or

(ii)

the Data Integrity Board of the agency, or in the case of a nonFederal agency the Data Integrity Board of the source agency,
determines in accordance with guidance issued by the Director of
the Office of Management and Budget that -(I)

the information is limited to identification and amount of
benefits paid by the source agency under a Federal benefit
program; and

(II)

there is a high degree of confidence that the information
provided to the recipient agency is accurate;

(B)

the individual receives a notice from the agency containing a statement of
its findings and informing the individual of the opportunity to contest such
findings; and

(C)

(i)

the expiration of any time period established for the program by
statute or regulation for the individual to respond to that notice; or

(ii)

in the case of a program for which no time period is established, the
end of the 30-day period beginning on the date on which notice
under subparagraph (B) is mailed or otherwise provided to the
individual.

Independent verification referred to in paragraph (1) requires investigation and
confirmation of specific information relating to an individual that is used as a basis
for an adverse action against the individual, including, where applicable,
investigation and confirmation of -(A)

the amount of any asset or income involved;

(B)

whether such individual actually has or had access to such asset or income
for such individual's own use; and

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(C)

(3)

(q)

(r)

the period or periods when the individual actually had such asset or
income.

Notwithstanding paragraph (1), an agency may take any appropriate action
otherwise prohibited by such paragraph if the agency determines that the public
health or public safety may be adversely affected or significantly threatened
during any notice period required by such paragraph.

SANCTIONS
(1)

Notwithstanding any other provision of law, no source agency may disclose any
record which is contained in a system of records to a recipient agency of
non-Federal agency for a matching program if such source agency has reason to
believe that the requirements of subsection (p), or any matching agreement entered
into pursuant to subsection (o), or both, are not being met by such recipient
agency.

(2)

No source agency may renew a matching agreement unless-(A)

the recipient agency or non-Federal agency has certified that it has
complied with the provisions of that agreement; and

(B)

the source agency has no reason to believe that the certification is
inaccurate.

REPORT ON NEW SYSTEMS AND MATCHING PROGRAMS
Each agency that proposes to establish or make a significant change in a system of records
or a matching program shall provide adequate advance notice of any such proposal (in
duplicate) to the Committee on Government Operations of the House of Representatives,
the Committee on Governmental Affairs of the Senate, and the Office of Management and
Budget in order to permit an evaluation of the probable effect of such proposal on the
privacy or other rights of individuals.

(s)

BIENNIAL REPORT
The President shall biennially submit to the Speaker of the House of Representatives and
the President pro tempore of the Senate a report -(1)

describing the actions of the Director of Management and Budget pursuant to
section 6 of the Privacy Act of 1974 during the preceding 2 years;

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(t)

(2)

describing the exercise of individual rights of access and amendment under this
section during such years;

(3)

identifying changes in or additions to systems of records;

(4)

containing other such information concerning administration of this section as may
be necessary or useful to the Congress in reviewing the effectiveness of this
section in carrying out the purposes of the Privacy Act of 1974.

EFFECT OF OTHER LAWS
Relationship of the Privacy Act to the Freedom of Information Act.

(u)

(1)

No agency shall rely on any exemption contained in section 552 of this title to
withhold from an individual any record which is otherwise accessible to such
individual under the provisions of this section.

(2)

No agency shall rely on any exemption in this section to withhold from an
individual any record which is otherwise accessible to such individual under the
provisions of section 552 of this title.

DATA INTEGRITY BOARDS
(1)

Every agency conducting or participating in a matching program shall establish a
Data Integrity Board to oversee and coordinate among the various components of
such agency the agency's implementation of this section.

(2)

Each Data Integrity Board shall consist of senior officials designated by the head
of the agency, and shall include any senior official designated by the head of the
agency as responsible for implementation of this section, and the inspector general
of the agency, if any. The inspector general shall not serve as chairman of the
Data Integrity Board.

(3)

Each Data Integrity Board -(A)

shall review, approve, and maintain all written agreements for receipt or
disclosure of agency records for matching programs to ensure compliance
with subsection (o), and all relevant statutes, regulations, and guidelines;

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(B)

shall review all matching programs in which the agency has participated
during the year, either as a source agency or recipient agency, determine
compliance with applicable laws, regulations, and agency agreements, and
assess the cost and benefits of such programs;

(C)

shall review all recurring matching programs in which the agency has
participated during the year, either as a source agency or recipient agency,
for continued justification for such disclosures;

(D)

shall compile an annual report, which shall be submitted to the head of the
agency and the Office of Management and Budget and made available to
the public on request, describing the matching activities of the agency,
including-(i)

matching programs in which the agency has participated as a source
agency or recipient agency;

(ii)

matching agreements proposed under subsection (o) that were
disapproved by the Board;

(iii)

any changes in the membership or structure of the Board in the
preceding year;

(iv)

the reasons for any waiver of the requirement in paragraph (4) of
this section for completion and submission of a cost-benefit
analysis prior to the approval of a matching program;

(v)

any violations of matching agreements that have been alleged or
identified and any corrective action taken; and

(vi)

any other information required by the Director of the Office of
Management and Budget to be included in such report;

(E)

shall serve as a clearinghouse for receiving and providing information on
the accuracy, completeness, and reliability of records used in matching
programs;

(F)

shall provide interpretation and guidance to agency components and
personnel on the requirements of this section for matching programs;

(G)

shall review agency recordkeeping and disposal policies and practices for
matching programs to assure compliance with this section; and

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(4)

(5)

(H)

may review and report on any agency matching activities that are not
matching programs.

(A)

Except as provided in subparagraphs (B) and (C), a Data Integrity Board
shall not approve any written agreement for a matching program unless the
agency has completed and submitted to such Board a cost-benefit analysis
of the proposed program and such analysis demonstrates that the program
is likely to be cost effective.

(B)

The Board may waive the requirements of subparagraph (A) of this
paragraph if it determines in writing, in accordance with guidelines
prescribed by the Director of the Office of Management and Budget, that a
cost-benefit analysis is not required.

(C)

A cost-benefit analysis shall not be required under subparagraph (A) prior
to the initial approval of a written agreement for a matching program that
is specifically required by statute. Any subsequent written agreement for
such a program shall not be approved by the Data Integrity Board unless
the agency has submitted a cost-benefit analysis of the program as
conducted under the preceding approval of such agreement.

(A)

If a matching agreement is disapproved by a Data Integrity Board, any
party to such an agreement may appeal the disapproval to the Director of
the Office of Management and Budget. Timely notice of the filing of such
an appeal shall be provided by the Director of the Office of Management
and Budget to the Committee on Governmental Affairs of the Senate and
the Committee on Government Operations of the House of
Representatives.

(B)

The Director of the Office of Management and Budget may approve a
matching agreement notwithstanding the disapproval of a Data Integrity
Board if the Director determines that-(i)

the matching program will be consistent with all applicable legal,
regulatory, and policy requirements;

(ii)

there is adequate evidence that the matching agreement will be
cost-effective; and

(iii)

the matching program is in the public interest.

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(v)

(C)

The decision of the Director to approve a matching agreement shall not
take effect until 30 days after it is reported to committees described in
subparagraph (A).

(D)

If the Data Integrity Board and the Director of the Office of Management
and Budget disapprove a matching program proposed by the inspector
general of an agency, the inspector general may report the disapproval to
the head of the agency and to the Congress.

(6)

The Director of the Office of Management and Budget shall, annually during the
first 3 years after the date of enactment of this subsection and biennially
thereafter, consolidate in a report to the Congress the information contained in the
reports from the various Data Integrity Boards under paragraph (3)(D). Such
report shall include detailed information about costs and benefits of matching
programs that are conducted during the period covered by such consolidated
report, and shall identify each waiver granted by a Data Integrity Board of the
requirement for completion and submission of a cost-benefit analysis and the
reasons for granting the waiver.

(7)

In the reports required by paragraphs (3)(D) and (6), agency matching activities
that are not matching programs may be reported on an aggregate basis, if and to
the extent necessary to protect ongoing law enforcement or counterintelligence
investigations.

OFFICE OF MANAGEMENT AND BUDGET RESPONSIBILITIES
The Director of the Office of Management and Budget shall-(1)

develop and, after notice and opportunity for public comment, prescribe
guidelines and regulations for the use of agencies in implementing the provisions of
this section; and

(2)

provide continuing assistance to and oversight of the implementation of this
section by agencies.

SECTION 6 [Repealed]
*SECTION 7
(a)

(1)

It shall be unlawful for any Federal, state, or local government agency to deny to
any individual any right, benefit, or privilege provided by law because of such
individual's refusal to disclose his social security account number.

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(2)

the provisions of paragraph (1) of this subsection shall not apply with respect

to--

(b)

(A)

any disclosure which is required by Federal statute, or

(B)

the disclosure of a social security number to any Federal, State, or local
agency maintaining a system of records in existence and operating before
January 1, 1975, if such disclosure was required under statute or regulation
adopted prior to such date to verify the identity of an individual.

Any Federal, State, or local government agency which requests an individual to disclose
his social security account number shall inform that individual whether that disclosure is
mandatory or voluntary, by what statutory or other authority such number is solicited,
and what uses will be made of it.

RULES OF CONSTRUCTION
Nothing in the amendments made by this Act shall be construed to authorize -(1)

the establishment or maintenance by any agency of a national data bank that
combines, merges, or links information on individuals maintained in systems of
records maintained by other Federal agencies;

(2)

the direct linking of computerized systems of record maintained by Federal
agencies;

(3)

the computer matching of records not otherwise authorized by law; or

(4)

the disclosure of records for computer matching except to a Federal, State, or local
agency.

EFFECTIVE DATES
(a)

IN GENERAL. Except as provided in subsection (b), the amendments made by this Act
shall take effect 9 months after the date of enactment of this Act.

(b)

EXCEPTIONS. The amendments reflected in subsections (f), (r), (v), and (s) shall take
effect upon enactment.

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__________________________________________________________________________
* Originally part of the Privacy Act but not codified

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