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The Privacy Act requires each agency to publish in the Federal Register a system of records notice (SORN) identifying and describing each system of records the agency maintains, including the purposes for which the agency uses information about individuals in the system, the routine uses for which the agency discloses
Both privacy laws address similar needs, but that does not mean that they are alike in every way. The big difference is in what the acts apply to. HIPAA pertains only to public and private entities working with PHI, while the Privacy Act governs federal agencies regardless of function.
The Privacy Act applies to records about individuals that are maintained in a system of records. A system of records is a group of any records under the control of an agency from which information is retrieved by the name of an individual or by some identifying number, symbol, or other identifying particular
The Privacy Act allows for criminal penalties in limited circumstances. An agency official who improperly discloses records with individually identifiable information or who maintains records without proper notice, is guilty of a misdemeanor and subject to a fine of up to $5,000, if the official acts willfully.
The Contractor will be required to design, develop, or operate a system of records on individuals, to accomplish an agency function subject to the Privacy Act of 1974, Public Law 93-579, December 31, 1974 (5 U.S.C. 552a) and applicable agency regulations.

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The Privacy Act of 1974, as amended, provides safeguards against unwarranted invasions of privacy by establishing a code of fair information practices.

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