From: Subject: Federal Register, Volume 73 Issue 245 (Friday, December 19, 2008) Date: Tue, 18 Sep 2012 11:54:54 -0400 MIME-Version: 1.0 Content-Type: text/html; charset="utf-8" Content-Transfer-Encoding: quoted-printable Content-Location: http://www.gpo.gov/fdsys/pkg/FR-2008-12-19/html/E8-29799.htm X-MimeOLE: Produced By Microsoft MimeOLE V6.00.2900.6157 =EF=BB=BF Federal Register, Volume 73 Issue 245 (Friday, = December 19, 2008) 
[Federal Register Volume 73, Number 245 (Friday, December 19, =
2008)]
[Notices]
[Pages 77753-77757]
From the Federal Register Online via the Government Printing Office [http://www.gpo.gov/]
[FR Doc No: E8-29799]


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DEPARTMENT OF HOMELAND SECURITY

Office of the Secretary

[Docket No. DHS-2008-0155]


Privacy Act of 1974; U.S. Customs and Border Protection--010=20
Persons Engaged in International Trade in Customs and Border Protection=20
Licensed/Regulated Activities System of Records

AGENCY: Privacy Office; DHS.

ACTION: Notice of Privacy Act system of records.

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SUMMARY: In accordance with the Privacy Act of 1974, the Department of=20
Homeland Security is giving notice that it proposes to consolidate=20
eight legacy record systems into a U.S. Customs and Border Protection=20
system of records notice titled, U.S. Customs and Border Protection=20
Persons Engaged in International Trade in Customs and Border Protection=20
Licensed/Regulated Activities: Treasury/CS.040 Carrier File, October=20
18, 2001; Treasury/CS.041 Cartmen or Lightermen, October 18, 2001;=20
Treasury/CS.057 Container Station Operator Files, October 18, 2001;=20
Treasury/CS.069 Customs Brokers File, October 18, 2001; Treasury/CS.137=20
List of Vessel Agents Employees, October 18, 2001; Treasury/CS.260=20
Warehouse Proprietor Files, October 18, 2001; Treasury/CS.271 Cargo=20
Security Record System, October 18, 2001; and Treasury/CS.274=20
Importers, Brokers, Carriers, Individuals and Sureties Master Files,=20
October 18, 2001. Categories of individuals, categories of records, and=20
the routine uses have been consolidated and updated to better reflect=20
the U.S. Customs and Border Protection record systems that collect and=20
maintain information on persons engaged in international trade in=20
Customs and Border Protection licensed/regulated activities. The=20
Department of Homeland Security is

[[Page 77754]]

issuing a Notice of Proposed Rulemaking concurrent with this SORN in=20
the Federal Register. The exemptions for the legacy system of records=20
notices will continue to be applicable until the final rule for this=20
system of records notice is completed. This system will be included in=20
the Department's inventory of record systems.

DATES: Written comments must be submitted on or before January 20,=20
2009. This new system will be effective January 20, 2009.

ADDRESSES: You may submit comments, identified by docket number DHS-
2008-0155 by one of the following methods:
     Federal e-Rulemaking Portal: http://www.regulations.gov/.=20
Follow the instructions for submitting comments.
     Fax: 1-866-466-5370.
     Mail: Hugo Teufel III, Chief Privacy Officer, Privacy=20
Office, Department of Homeland Security, Washington, DC 20528.
     Instructions: All submissions received must include the=20
agency name and docket number for this rulemaking. All comments=20
received will be posted without change and may be read at http://www.regulations.gov/, =
including any personal information provided.
     Docket: For access to the docket to read background=20
documents or comments received, go to http://www.regulations.gov/.

FOR FURTHER INFORMATION CONTACT: For general questions please contact:=20
Laurence E. Castelli (202-325-0280), Chief, Privacy Act Policy and=20
Procedures Branch, U.S. Customs and Border Protection, Office of=20
International Trade, Regulations & Rulings, Mint Annex, 1300=20
Pennsylvania Ave., NW., Washington, DC 20229. For privacy issues=20
contact: Hugo Teufel III (703-235-0780), Chief Privacy Officer, Privacy=20
Office, U.S. Department of Homeland Security, Washington, DC 20528.

SUPPLEMENTARY INFORMATION:

I. Background

    Pursuant to the savings clause in the Homeland Security Act of=20
2002, Public Law 107-296, Section 1512, 116 Stat. 2310 (November 25,=20
2002), the Department of Homeland Security (DHS)/U.S. Customs and=20
Border Protection (CBP) have relied on preexisting Privacy Act systems=20
of records notices for the collection and maintenance of records=20
pertaining to persons engaged in international trade in CBP licensed/
regulated activities.
    As part of its efforts to streamline and consolidate its record=20
systems, DHS is establishing a component system of records under the=20
Privacy Act (5 U.S.C. 552a) for DHS/CBP that deals with persons engaged=20
in international trade in CBP licensed/regulated activities. This=20
record system is titled, U.S. Customs and Border Protection Persons=20
Engaged in International Trade in CBP Licensed/Regulated Activities.=20
This system will be used by DHS/CBP to collect and maintain records on=20
persons engaged in international trade in CBP licensed/regulated=20
activities.
    In accordance with the Privacy Act of 1974, DHS is giving notice=20
that it proposes to consolidate eight legacy record systems into a DHS/
CBP system of records notice titled, U.S. Customs and Border Protection=20
Persons Engaged in International Trade in Customs and Border Protection=20
Licensed/Regulated Activities: Treasury/CS.040 Carrier File (66 FR=20
52984 October 18, 2001); Treasury/CS.041 Cartmen or Lightermen (66 FR=20
52984 October 18, 2001); Treasury/CS.057 Container Station Operator=20
Files (66 FR 52984 October 18, 2001); Treasury/CS.069 Customs Brokers=20
File (66 FR 52984 October 18, 2001); Treasury/CS.137 List of Vessel=20
Agents Employees (66 FR 52984 October 18, 2001); Treasury/CS.260=20
Warehouse Proprietor Files (66 FR 52984 October 18, 2001); Treasury/
CS.271 Cargo Security Record System (66 FR 52984 October 18, 2001); and=20
Treasury/CS.274 Importers, Brokers, Carriers, Individuals and Sureties=20
Master Files (66 FR 52984 October 18, 2001). Categories of individuals,=20
categories of records, and the routine uses have been consolidated and=20
updated to better reflect DHS/CBP record systems that collect and=20
maintain information on persons engaged in international trade in CBP=20
licensed/regulated activities. Additionally, DHS is issuing a Notice of=20
Proposed Rulemaking (NPRM) concurrent with this system of records=20
notice (SORN) in the Federal Register. The exemptions for the legacy=20
system of records notices will continue to be applicable until the=20
final rule for this SORN is completed. This system will be included in=20
the Department's inventory of record systems.

II. Privacy Act

    The Privacy Act embodies fair information principles in a statutory=20
framework governing the means by which the U.S. Government collects,=20
maintains, uses, and disseminates individuals' records. The Privacy Act=20
applies to information that is maintained in a ``system of records.'' A=20
``system of records'' is a group of any records under the control of an=20
agency for which information is retrieved by the name of an individual=20
or by some identifying number, symbol, or other identifying particular=20
assigned to the individual. In the Privacy Act, an individual is=20
defined to encompass U.S. citizens and lawful permanent residents. As a=20
matter of policy, DHS extends administrative Privacy Act protections to=20
all individuals where systems of records maintain information on U.S.=20
citizens, lawful permanent residents, and visitors. Individuals may=20
request access to their own records that are maintained in a system of=20
records in the possession or under the control of DHS by complying with=20
DHS Privacy Act regulations, 6 CFR part 5.
    The Privacy Act requires each agency to publish in the Federal=20
Register a description denoting the type and character of each system=20
of records that the agency maintains, and the routine uses that are=20
contained in each system in order to make agency record keeping=20
practices transparent, to notify individuals regarding the uses of=20
their records, and to assist individuals to more easily find such files=20
within the agency. Below is the description of the DHS/CBP Persons=20
Engaged in International Trade in CBP Licensed/Regulated Activities=20
System of Records.
    In accordance with 5 U.S.C. 552a(r), DHS has provided a report of=20
this system of records to the Office of Management and Budget (OMB) and=20
to Congress.
System of Records: DHS/CBP-010

System name:
    U.S. Customs and Border Protection Persons Engaged in International=20
Trade in Customs and Border Protection Licensed/Regulated Activities.

Security classification:
    Unclassified.

System location:
    Records are maintained at the U.S. Customs and Border Protection=20
Headquarters in Washington, DC and in field offices.

Categories of individuals covered by the system:
    Categories of individuals covered by this system include importers,=20
brokers, carriers, sureties; officers/owners, employees, associates of=20
customs bonded carriers, drivers of motor vehicles, licensed cartmen,=20
licensed lightermen, individuals and firms who have applied for or hold=20
a license as a bonded cartman or lighterman, individuals employed by=20
cartmen or lightermen, present and past container station operators and=20
warehouse proprietors and their employees, including those who require=20
an

[[Page 77755]]

investigation, licensed customs brokers, employees of customs brokers,=20
individuals or firms who have applied for a broker's license, airport=20
and airline employees with access to the CBP controlled area of a=20
terminal, and employees of vessel agents.

Categories of records in the system:
    Categories of records in this system may include:
     Individual's name;
     Social security number;
     Date and place of birth;
     Addresses and notification of change of address;
     Personal characteristics;
     Photograph or other biometrics;
     History of past employment;
     Previous five years residences,
     Alias;
     Citizenship;
     Military records;
     Criminal record other than traffic violations;
     Use of narcotic drugs;
     Organization's name;
     Copies of bonds, entries, bills, and data center listings;
     Location of business records;
     Status reports of individuals' application including=20
issuance, denial or renewal;
     Copies of incoming and outgoing correspondence relating to=20
persons engaged in international trade in CBP licensed/regulated=20
activities;
     Requests for written approval to employ persons who have=20
been convicted of a felony;
     Applications for cartmen/lightermen licenses and=20
identification cards;
     Applications and approvals/denials of bonds to act as=20
container station operator or warehouse proprietor;
     Reports of investigations;
     Fingerprint cards;
     Information regarding proposed administrative disciplinary=20
action against customs brokers for violation of the regulations=20
governing the conduct of their business; and
     Determinations as to whether CBP issued or did not issue a=20
particular license or permit and the type of license or permit.
    Authority for maintenance of the system:
    5 U.S.C. 301; the Federal Records Act, 44 U.S.C. 3101; Executive=20
Order 9373; 19 U.S.C. 1484, 1485, 1498, 1499, 1509, 1551, 1551a, 1555,=20
1556, 1565, 1624, and 1641; 19 CFR parts 19, 111, 112, 113, 141, 142,=20
148, and 163..

Purpose(s):
    The purpose of this system is to collect and maintain records on=20
persons engaged in international trade in CBP licensed/regulated=20
activities. These records include identifying information as well as=20
the results of background checks or official vetting performed to=20
ensure that CBP's approval of the individuals' right to perform the=20
licensed or regulated activity is appropriate.

Routine uses of records maintained in the system, including categories=20
of users and the purposes of such uses:
    In addition to those disclosures generally permitted under 5 U.S.C.=20
552a(b) of the Privacy Act, all or a portion of the records of=20
information contained in this system may be disclosed outside DHS as a=20
routine use pursuant to 5 U.S.C. 552a(b)(3) as follows:
    A. To the Department of Justice or other Federal agency conducting=20
litigation or in proceedings before any court, adjudicative or=20
administrative body, when it is necessary to the litigation and one of=20
the following is a party to the litigation or has an interest in such=20
litigation:
    1. DHS or any component thereof;
    2. Any employee of DHS or any component in his/her official=20
capacity;
    3. Any employee of DHS or any component in his/her individual=20
capacity where DOJ or DHS has agreed to represent the employee; or
    4. The U.S. or any agency thereof, is a party to the litigation or=20
has an interest in such litigation, and DHS or CBP determines that the=20
records are both relevant and necessary to the litigation and the use=20
of such records is compatible with the purpose for which DHS or CBP=20
collected the records.
    B. To a congressional office in response to an inquiry from that=20
congressional office made at the request of the individual to whom the=20
record pertains.
    C. To the National Archives and Records Administration or other=20
Federal government agencies pursuant to records management inspections=20
being conducted under the authority of 44 U.S.C. 2904 and 2906.
    D. To an agency, organization, or individual for the purpose of=20
performing audit or oversight operations as authorized by law, but only=20
such information as is necessary and relevant to such audit or=20
oversight function.
    E. To appropriate agencies, entities, and persons when:
    1. DHS or CBP suspects or has confirmed that the security or=20
confidentiality of information in the system of records has been=20
compromised;
    2. DHS or CBP has determined that as a result of the suspected or=20
confirmed compromise there is a risk of harm to economic or property=20
interests, identity theft or fraud, or harm to the security or=20
integrity of this system or other systems or programs (whether=20
maintained by DHS, CBP, or another agency or entity) or harm to the=20
individual who relies upon the compromised information; and
    3. The disclosure made to such agencies, entities, and persons is=20
reasonably necessary to assist in connection with DHS or CBP's efforts=20
to respond to the suspected or confirmed compromise and prevent,=20
minimize, or remedy such harm.
    F. To contractors and their agents, grantees, experts, consultants,=20
and others performing or working on a contract, service, grant,=20
cooperative agreement, or other assignment for DHS or CBP, when=20
necessary to accomplish an agency function related to this system of=20
records. Individuals provided information under this routine use are=20
subject to the same Privacy Act requirements and limitations on=20
disclosure as are applicable to DHS/CBP officers and employees.
    G. To appropriate Federal, State, local, tribal, or foreign=20
governmental agencies or multilateral governmental organizations=20
responsible for investigating or prosecuting the violations of, or for=20
enforcing or implementing, a statute, rule, regulation, order, license,=20
or treaty where DHS determines that the information would assist in the=20
enforcement of civil or criminal laws.
    H. To an appropriate Federal, State, local, tribal, foreign, or=20
international agency, if the information is relevant and necessary to a=20
requesting agency's decision concerning the hiring or retention of an=20
individual, or issuance of a security clearance, license, contract,=20
grant, or other benefit, or if the information is relevant and=20
necessary to a DHS decision concerning the hiring or retention of an=20
employee, the issuance of a security clearance, the reporting of an=20
investigation of an employee, the letting of a contract, or the=20
issuance of a license, grant or other benefit and disclosure is=20
appropriate to the proper performance of the official duties of the=20
person making the request.
    I. To a court, magistrate, or administrative tribunal in the course=20
of presenting evidence, including disclosures to opposing counsel or=20
witnesses in the course of civil discovery, litigation, or settlement=20
negotiations or in connection with criminal law proceedings or in=20
response to a subpoena form a court of competent jurisdiction.
    J. To third parties during the course of a law enforcement=20
investigation or

[[Page 77756]]

background check to the extent necessary to obtain information=20
pertinent to the investigation, provided disclosure is appropriate to=20
the proper performance of the official duties of the officer making the=20
disclosure.
    K. To the news media and the public, with the approval of the Chief=20
Privacy Officer in consultation with counsel, when there exists a=20
legitimate public interest in the disclosure of the information or when=20
disclosure is necessary to preserve confidence in the integrity of DHS=20
or is necessary to demonstrate the accountability of DHS's officers,=20
employees, or individuals covered by the system, except to the extent=20
it is determined that release of the specific information in the=20
context of a particular case would constitute an unwarranted invasion=20
of personal privacy.

Disclosure to consumer reporting agencies:
    None.

Policies and practices for storing, retrieving, accessing, retaining,=20
and disposing of records in the system:
Storage:
    Records in this system are stored electronically or on paper in=20
secure facilities in a locked drawer behind a locked door. The records=20
are stored on magnetic disc, tape, digital media, and CD-ROM.

Retrievability:
    Records are retrieved by individual's name or organization's name.

Safeguards:
    Records in this system are safeguarded in accordance with=20
applicable rules and policies, including all applicable DHS automated=20
system security access policies. Strict controls have been imposed to=20
minimize the risk of compromising the information that is being stored.=20
Access to the computer system containing the records in this system is=20
limited to those individuals who have a need to know the information=20
for the performance of their official duties and who have appropriate=20
clearances or permissions.

Retention and disposal:
     Carrier records are retained by CBP for six years after=20
the death of the licensee or revocation in accordance with the CBP,=20
Records Control Manual, Schedule 6, Custody of Merchandise, Item 2.
     Broker files and records of broker's employees are=20
retained by CBP for six years after the death of the licensee or=20
revocation in accordance with the CBP, Records Control Manual, Schedule=20
6, Custody of Merchandise, Item 2. These files are periodically updated=20
and removed to an inactive file, as necessary.
     Cartmen and lightermen files are reviewed annually at=20
which time cancelled identification cards are removed. Closed CBP Form=20
3078s (Application for Identification Card) may also be removed, but=20
normally are held for approximately three years incase a new=20
application is received from the same company or transferred to another=20
company after investigation.
     Container station operator files are disposed of in=20
accordance with the CBP Records Control Manual, Schedule 6, Custody of=20
Merchandise Records, Item 10.
     Records on warehouse proprietor and vessel agent employees=20
are maintained by the organization for the duration of the individual's=20
employment and retained by CBP for six years after the death of the=20
licensee or revocation in accordance with the CBP, Records Control=20
Manual, Schedule 6, Custody of Merchandise, Item 2.
     Records on drivers are maintained in an active file until=20
revoked or cancelled. After revocation or cancellation, the information=20
folder is placed in an inactive file for five years, and then disposed=20
of in accordance with the General Services Administration Disposal=20
Manual.
     Information on proprietor bonded warehouse operators and=20
employees is retained on file until Customs bonded operations cease and=20
are discontinued, and then maintained in an inactive file for three=20
years. Final disposition is in accordance with the General Services=20
Administration Disposal Manual.
     Files on brokers, carriers, and sureties are maintained=20
for six years after death of licensee or revocation in accordance with=20
the CBP Records Control Manual. In accordance with the Records Control=20
Manual, Schedule 9 Entry Processing, files on importers are maintained=20
in connection with the respective entry of merchandise for eight years=20
after liquidation of the entry, which is the final determination of=20
classification and duty relating to the imported merchandise by CBP.

System Manager and address:
    Executive Director, Commercial Targeting and Enforcement, Office of=20
International Trade, U.S. Customs and Border Protection, Customs and=20
Border Protection Headquarters, 1300 Pennsylvania Avenue, NW., Mint=20
Annex, Washington, DC 20229.

Notification procedure:
    The Secretary of Homeland Security has exempted this system from=20
certain aspects of the notification, access, and amendment requirements=20
of the Privacy Act. CBP will review each request to determine whether=20
or not notification, access, or amendment should be provided.=20
Individuals seeking notification of and access to any record contained=20
in this system of records, or seeking to contest its content, may=20
submit a request in writing to CBP's FOIA Officer, 1300 Pennsylvania=20
Avenue, NW., Mint Annex, Washington, DC 20229.
    When seeking records about yourself from this system of records or=20
any other CBP system of records your request must conform with the=20
Privacy Act regulations set forth in 6 CFR part 5. You must first=20
verify your identity, meaning that you must provide your full name,=20
current address and date and place of birth. You must sign your=20
request, and your signature must either be notarized or submitted under=20
28 U.S.C. 1746, a law that permits statements to be made under penalty=20
of perjury as a substitute for notarization. While no specific form is=20
required, you may obtain forms for this purpose from the Director,=20
Disclosure and FOIA, http://www.dhs.gov/ or 1-866-431-0486. =
In addition=20
you should provide the following:
     An explanation of why you believe the Department would=20
have information on you,
     Specify when you believe the records would have been=20
created,
     If your request is seeking records pertaining to another=20
living individual, you must include a statement from that individual=20
certifying his/her agreement for you to access his/her records.
    Without this bulleted information CBP may not be able to conduct an=20
effective search, and your request may be denied due to lack of=20
specificity or lack of compliance with applicable regulations.

Record access procedures:
    See ``Notification procedure'' above.

Contesting record procedures:
    See ``Notification procedure'' above.

Record source categories:
    Records are obtained by authorized Customs forms or electronic=20
formats from individuals and/or companies incidental to the conduct of=20
foreign trade and required by the Customs Service in administering the=20
tariff laws and regulations of the United States. Individuals;=20
organizations; DHS/CBP; correspondence; investigation reports

[[Page 77757]]

and supporting materials; applications for bonds and licenses, and=20
other DHS/CBP memoranda.

Exemptions claimed for the system:
    The Secretary of Homeland Security has exempted this system=20
pursuant to exemption 5 U.S.C. 552a(j)(2) of the Privacy Act, portions=20
of this system are exempt from 5 U.S.C. 552a(c)(3) and (4); (d);=20
(e)(1), (e)(2), (e)(3), (e)(4)(G), (e)(4)(H), (e)(4)(I), (e)(5) and=20
(e)(8); (f), and (g). Additionally, the Secretary has exempted this=20
system pursuant to 5 U.S.C. 552a(k)(2) of the Privacy Act from=20
subsections (c)(3), (d), (e)(1), (e)(4)(G), (e)(4)(H), (e)(4)(I), and=20
(f).

    Dated: December 10, 2008.
Hugo Teufel III,
Chief Privacy Officer, Department of Homeland Security.
[FR Doc. E8-29799 Filed 12-18-08; 8:45 am]
BILLING CODE 4410-10-P