7 CFR 272.12 – Computer matching requirements
(a) General purpose. The Computer Matching and Privacy Protection Act (CMA) of 1988, as amended, addresses the use of information from computer matching programs that involve a Federal System of Records. Each State agency participating in a computer matching program shall adhere to the provisions of the CMA if it uses an FNS system of records for the following purposes:
(1) Establishing or verifying initial or continuing eligibility for Federal Benefit Programs;
(2) Verifying compliance with either statutory or regulatory requirements of the Federal Benefit Programs; or
(3) Recouping payments or delinquent debts under such Federal Benefit Programs.
(b) Matching agreements. State agencies must enter into written agreements with USDA/FNS, consistent with 5 U.S.C. § 552a(o) of the CMA, in order to participate in a matching program involving a USDA/FNS Federal system of records.
(c) Use of computer matching information. (1) A State agency shall not take any adverse action to terminate, deny, suspend, or reduce benefits to an applicant or recipient based on information produced by a Federal computer matching program that is subject to the requirements of the CMA, unless:
(i) The information has been independently verified by the State agency (in accordance with the independent verification requirements set out in the State agency’s written agreement as required by paragraph (b) of this section) and a Notice of Adverse Action or Notice of Denial has been sent to the household, in accordance with § 273.2(f); or
(ii) The Federal agency’s Data Integrity Board has waived the two-step independent verification and notice requirement and notice of adverse action has been sent to the household, in accordance with § 273.2(f) of this chapter.
(2) A State agency which receives a request for verification from another State agency, or from FNS pursuant to the provisions of § 273.16(i) of this chapter shall, within 20 working days of receipt, respond to the request by providing necessary verification (including copies of appropriate documentation and any statement that an individual has asked to be included in their file).