To oversee its implementation of privacy protections, DHS has  established a Chief Privacy Officer, as directed by the Homeland  Security Act of 2002. According to the act, the Chief Privacy Officer  is responsible for, among other things, “assuring that the use of  technologies sustain, and do not erode privacy protections  relating to the use, collection, and disclosure of personal  information,” and “assuring that personal information contained in  Privacy Act systems of records is handled in full compliance with  fair information practices as set out in the Privacy Act of 1974.”

	Privacy Considerations Need Continuing Attention As Programs and Systems Are Developed

As it develops and participates in important homeland security  activities, DHS faces challenges in ensuring that privacy concerns  are addressed early, are reassessed when key programmatic  changes are made, and are thoroughly reflected in guidance on  emerging technologies and uses of personal data. Our reviews of  DHS programs have identified cases where these challenges were  not fully met, including data mining, airline passenger prescreening,  use of data from commercial sources, use of personal identification  technologies (especially RFID), and development of an information  sharing environment. Our recent report notes that early attention to privacy in developing  a data mining tool known as ADVISE (Analysis, Dissemination,  Visualization, Insight, and Semantic Enhancement) could reduce  risks that personal information could be misused. ADVISE is a data  mining tool under development intended to help DHS analyze large  amounts of information. The intended benefit  of the ADVISE tool is to help detect threatening activities by  facilitating the analysis of large amounts of data. DHS did not conduct a PIA as it developed the ADVISE tool, as  required by the E-Government Act of 2002. Because privacy had not been assessed and mitigating controls had  not been implemented, the department faced the risk that systems  based on ADVISE that also contained personal information could  require costly and potentially duplicative retrofitting to add the  needed controls. In accordance with a requirement set forth in the Aviation and  Transportation Security Act, TSA has been working since 2003 to  develop a computer-assisted passenger prescreening system to be  used to evaluate passengers before they board an aircraft on  domestic flights. In July 2005, we reported on privacy problems associated with  testing of Secure Flight. The privacy problems faced in developing Secure Flight arose not  because it was prohibitively difficult to protect privacy while  prescreening airline passengers, but because TSA had not  reassessed privacy risks when key programmatic changes were  made and taken appropriate steps to mitigate them. Officials  also stated that they have added privacy experts to the system  development teams to address privacy issues as they arise. As with its own programs and systems, it  will be important for DHS to ensure that privacy has been  thoroughly considered and guidelines clearly established as it  participates in the emerging information sharing environment. As directed by the Intelligence Reform and Terrorism Prevention  Act of 2004, the administration has taken steps, beginning in 2005,  to establish an information sharing environment to facilitate the  sharing of terrorism information. However, the guidelines as issued provide only a high-level  framework for addressing privacy protection and do not include all  of the Fair Information Practices. While DHS is only one participant in the governmentwide  information sharing environment, it has the responsibility to ensure  that the information under its control is shared with other  organizations in ways that adequately protect privacy. Privacy: Key Challenges Facing Federal Agencies.
Why GAO Did This Study

Advances in information technology make it easier than ever for the Department of Homeland Security (DHS) and other agencies to obtain and process information about citizens and residents in many ways and for many purposes. The demands of the war on terror also drive agencies to extract as much value as possible from the information available to them, adding to the potential for compromising privacy. Recognizing that securing the homeland and protecting the privacy rights of individuals are both important goals, the Congress has asked GAO to perform several reviews of DHS programs and their privacy implications over the past several years. For this hearing, GAO was asked to testify on key privacy challenges facing DHS. To address this issue, GAO identified and summarized issues raised in its previous reports on privacy and assessed recent governmentwide privacy guidance.

What GAO Found

As it develops and participates in important homeland security activities, DHS faces challenges in ensuring that privacy concerns are addressed early, are reassessed when key programmatic changes are made, and are thoroughly reflected in guidance on emerging technologies and uses of personal data. GAO's reviews of DHS programs have identified cases where these challenges were not fully met. For example, increased use by federal agencies of data mining--the analysis of large amounts of data to uncover hidden patterns and relationships--has been accompanied by uncertainty regarding privacy requirements and oversight of such systems. As described in a recent GAO report, DHS did not assess privacy risks in developing a data mining tool known as ADVISE (Analysis, Dissemination, Visualization, Insight, and Semantic Enhancement), as required by the E-Government Act of 2002. ADVISE is a data mining tool under development intended to help the department analyze large amounts of information. Because privacy had not been assessed and mitigating controls had not been implemented, DHS faced the risk that uses of ADVISE in systems containing personal information could require costly and potentially duplicative retrofitting at a later date to add the needed controls. GAO has also reported on privacy challenges experienced by DHS in reassessing privacy risks when key programmatic changes were made during development of a prescreening program for airline passengers. The Transportation Security Administration (TSA) has been working to develop a computer-assisted passenger prescreening system, known as Secure Flight, to be used to evaluate passengers before they board an aircraft on domestic flights. GAO reported that TSA had not fully disclosed uses of personal information during testing of Secure Flight, as required by the Privacy Act of 1974. To prevent such problems from recurring, TSA officials recently said that they have added privacy experts to Secure Flight's development teams to address privacy considerations on a continuous basis as they arise. Another challenge DHS faces is ensuring that privacy considerations are addressed in the emerging information sharing environment. The Intelligence Reform and Terrorism Prevention Act of 2004 requires the establishment of an environment to facilitate the sharing of terrorism information, as well as the issuance of privacy guidelines for operation in this environment. Recently issued privacy guidelines developed by the Office of the Director of National Intelligence provide only a high-level framework for privacy protection. While DHS is only one participant, it has the responsibility to ensure that the information under its control is shared with other organizations in ways that adequately protect privacy. Accordingly, it will be important for the department to clearly establish departmental guidelines so that privacy protections are implemented properly and consistently.