[Federal Register Volume 65, Number 6 (Monday, January 10, 2000)]
[Proposed Rules]
[Pages 1484-1527]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 00-59]
[[Page 1483]]
Part III
Department of Energy
_______________________________________________________________________
Federal Energy Regulatory Commission
_______________________________________________________________________
18 CFR Parts 125, 225, and 356
Preservation of Records of Public Utilities and Licensees, Natural Gas
Companies, and Oil Pipeline Companies; Proposed Rule
Federal Register / Vol. 65, No. 6 / Monday, January 10, 2000 /
Proposed Rules
[[Page 1484]]
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DEPARTMENT OF ENERGY
FEDERAL ENERGY REGULATORY COMMISSION
18 CFR Parts 125, 225, and 356
[Docket No. RM99-8-000]
Preservation of Records of Public Utilities and Licensees,
Natural Gas Companies, and Oil Pipeline Companies
December 21, 1999.
AGENCY: Federal Energy Regulatory Commission.
ACTION: Notice of Proposed Rulemaking.
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SUMMARY: The Federal Energy Regulatory Commission (Commission) proposes
to amend its records retention regulations for public utilities and
licensees, natural gas companies, and oil pipeline companies
(``regulated companies''). The Commission proposes to update its
regulations and to eliminate unnecessary burdens on regulated companies
as part of its ongoing program to reduce or eliminate burdensome and
unnecessary regulatory requirements. If adopted, the burden of
maintaining records on regulated companies would be significantly
reduced.
DATES: Comments on the proposed rulemaking are due on or before March
10, 2000. The Commission will also permit interested persons to submit
reply comments in response to the initial comments filed in this
proceeding. Reply comments should not exceed 50 double-spaced pages and
should include an executive summary. The original and 14 copies of the
reply comments must be received on or before April 10, 2000.
ADDRESSES: File comments on the notice of proposed rulemaking with the
Office of the Secretary, Federal Energy Regulatory Commission, 888
First Street, N.E., Washington, DC 20426. Comments should reference
Docket No. RM99-8-000.
FOR FURTHER INFORMATION CONTACT:
Marybeth Schumann (Technical Information), Office of Finance,
Accounting and Operations, 888 First Street, NE Washington, DC 20426
(202) 208-2332.
Julia A. Lake (Legal Information), Office of the General Counsel, 888
First Street, NE Washington, DC 20426 (202) 208-2019.
SUPPLEMENTARY INFORMATION: In addition to publishing the full text of
this document in the Federal Register, the Commission provides all
interested persons an opportunity to view and/or print the contents of
this document via the Internet through FERC's Home Page (http://
www.ferc.fed.us) and in FERC's Public Reference Room during normal
business hours (8:30 a.m. to 5:00 p.m. Eastern time) at 888 First
Street, NE, Room 2A, Washington, DC 20426.
From FERC's Home Page on the Internet, this information is
available in both the Commission Issuance Posting System (CIPS) and the
Records and Information Management System (RIMS).
--CIPS provides access to the texts of formal documents issued by the
Commission since November 14, 1994.
--CIPS can be access using the CIPS link or the Energy Information
Online icon. The full text of this document will be available on CIPS
in ASCII and WordPerfect 8.0 format for viewing, printing, and/or
downloading.
--RIMS contains images of documents submitted to and issued by the
Commission after November 16, 1981. Documents from November 1995 to the
present can be viewed and printed from FERC's Home Page using the RIMS
link or the Energy Information Online icon. Descriptions of documents
back to November 16, 1981, are also available from RIMS-on-the-Web;
requests for copies of these and other older documents should be
submitted to the Public Reference Room.
User assistance is available for RIMS, CIPS, and the Website during
normal business hours from our Help line at (202) 208-2222 (E-Mail to
WebM[email protected]) or the Public Reference at (202) 208-1371 (E-
Mail to [email protected]).
During normal business hours, documents can also be viewed and/or
printed in FERC's Public Reference Room, where RIMS, CIPS, and the FERC
Website are available. User assistance is also available.
I. Introduction
The Federal Energy Regulatory Commission (Commission) proposes to
amend Parts 125, 225, and 356 1 of its regulations to
update, reduce, and clarify records retention requirements for
jurisdictional public utilities and licensees, natural gas companies
and oil pipeline companies. This proposed rule is part of the
Commission's ongoing program to update and eliminate burdensome and
unnecessary requirements and if adopted these changes would
significantly reduce the burden of maintaining records for regulated
companies. This process was also initiated to respond to requests made
by the Office of Management and Budget (OMB) and the industry.
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\1\ 18 CFR Parts 125, 225, and 356.
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II. Background
Both the Federal Power Act 2 and the Natural Gas Act
3 require jurisdictional companies to keep records that the
Commission may prescribe ``as necessary or appropriate for purposes of
administration'' of these acts.4 In 1977, the Commission
assumed jurisdiction over transportation of oil by oil pipeline
companies from the Interstate Commerce Commission by 705(a) of the
Department of Energy Organization Act.5 Section 20 of the
Interstate Commerce Act 6 requires oil pipeline companies to
keep records that the Commission determines are necessary to
effectively regulate those companies. In 1983, the Commission last
amended its records retention regulations applicable to the public
utilities and licensees, natural gas companies, and oil pipeline
companies.7
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\2\ Section 301, 16 U.S.C. 825(a)
\3\ Section 8, 15 U.S.C. 717g(a)
\4\ Section 402(a)(2) of the Department of Energy Organization
Act transfers these Federal Power Act and Natural Gas Act
responsibilities from the Federal Power Commission to the Federal
Energy Regulatory Commission. 42 U.S.C. 7172(a)(2).
\5\ 42 U.S.C. 7295.
\6\ 49 App. U.S.C. 1 et seq.
\7\ 48 FR 12722 (1983).
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In response to the Office of Management and Budget (OMB) request
during recertification of the information collection requirements of
FERC Form 555, Preservation of Records of Public Utilities and
Licensees, Natural Gas Companies, and Oil Pipeline Companies, the
Commission agreed to review the media and records retention
requirements for the public utilities and licensees, natural gas
companies, and oil pipeline companies. OMB also requested that the
Commission review the possibility of reducing the records retention
requirements for general ledgers from 50 years to 10 years and plant
ledgers from 50 years to 25 years. In January, the Commission updated
the media requirements 8 and this notice of proposed
rulemaking is the result of a review of the current records retention
regulations for public utilities and licensees, natural gas companies,
and oil pipeline companies.
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\8\ 86 FERC para. 61,005 (1999).
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III. Discussion
The Commission proposes to make modifications to the current public
utilities and licensees, natural gas companies, and oil pipeline
companies
[[Page 1485]]
records retention regulations.9 These proposed changes to
Parts 125, 225, and 356 include revising the general instructions,
shortening various records retention periods, increasing retention
periods for a few categories of records, and removing all but two
retention reserve items.
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\9\ See the tables in Appendices A, B, and C depicting the
differences between the current and proposed records retention
requirements.
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A. Changes to Public Utilities and Licensees, and Natural Gas Companies
General Instructions.
The following proposed changes to the general instructions of Parts
125 and 225 incorporate the Commission's new regulation on record
storage media and clarify the Commission's regulations on keeping
records used to support costs in rate cases and depreciation (see
proposed schedules 125.2 and 225.2).
1. 125.2(d) and 225.2(d)--Incorporate the accounting issuance AI99-
2-000 10 on record storage media.
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10 86 FERC para. 61,005 (1999).
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2. 125.2(k) and 225.2(k)--Incorporate the need to keep records that
will be used for ``rate cases'' until the next rate case.
3. 125.2(l) and 225.2(l)--Incorporate a paragraph on life or
mortality study data needed to be retained for depreciation purposes.
The Commission believes that these changes are needed to bring
clarity to the Commission's records retention instructions and
regulations.
B. Shortening of Public Utilities and Licensees, and Natural Gas
Companies Records Retention Periods.
The Commission proposes to shorten certain retention periods in 18
CFR 125.3 and 225.3 to reduce the recordkeeping burden on the
industries. The records retention periods for the following item
numbers and description of records found in the regulations will be
reduced for both the public utilities and licensees, and natural gas
companies except where noted:
Item Number and Description
2. (a) of Organizational documents.
3. (a) of Contracts and agreements (public utilities and licensees
only).
3. (b) of Contracts and agreements.
4. (a) and (b) of Accountants' and auditors' reports.
6. (a)(1), (a)(2), (b)(1), and (b)(2) of General and subsidiary
ledgers.
7. Journals.
8. (a) of Journal vouchers and journal entries.
9. Cash books.
10. Voucher registers.
11. (a), (b), (c), (d) of Vouchers.
12.1. (b) of Production-Nuclear (public utilities and licensees only).
15. (a), (b), (c) of Maintenance work orders.
16. (a), (b) of Plant ledgers.
17. (a), (b), (c), (d), (e), (f) of Construction work in progress
ledgers.
18. (a), (b) of Retirement work in progress ledgers, work orders, and
supplemental records.
18. (c) of Retirement work in progress ledgers, work orders, and
supplemental records (public utilities and licensees only).
19. Summary sheets, distribution sheets, reports, and statements.
20. (a) Appraisals and valuations.
33. (a) and (b) of Revenue summaries.
34. (a)(1), (3), (5), (6) and (b), (c) of Tax records.
36. (b) of Records of deposits with banks.
38. (a) of Statistics.
41. Reports to Federal and State regulatory commissions.
42. Advertising.
In addition, the Commission proposes to make a change to the public
utilities and licensees and natural gas companies requirements that are
tied to ``FERC audit reports.'' The Commission no longer audits on a
three year cycle. Instead it conducts industry wide audits on specific
Commission accounting issues. The Commissions proposed changes to its
regulatory requirements regarding audits range between two and six
years.
Item Number and Description
1. Annual reports or statements to stockholders.
26. Material ledgers.
29. Customers service applications and contracts.
30. Rate Schedules.
C. Additions to Public Utilities and Licensees and Natural Gas
Companies Records Retention Periods.
To continue to meet its regulatory requirements the Commission
proposes to add records retention requirements for the following public
utilities and licensees, and natural gas companies record categories
(see proposed schedules 125.3 and 225.3):
Item Number and Description
20. (b) Appraisals and valuations.
21. (a) The original or reproduction of engineering records, drawings
and other supporting data.
35. Statement of funds and deposits.
Proposed retention item 20(b) is added to include property or
investments that are written up or down as a result of mergers or
acquisitions, asset impairments, and other basis. The records retention
item 20(b) will be 10 years after the event. These added records
retention requirements will allow the Commission adequate time to
review these events as necessary.
Proposed retention item 21(a) maps, diagrams, profiles,
photographs, field survey notes, plot plan, detail drawings, and
records of engineering studies and similar records showing the location
of proposed or as-constructed facilities is changed to include
retention until retired. These records are needed for our environmental
reviews, and therefore should be retained until the facilities are
retired.
Proposed retention item 35, Statement of funds and deposits, is
revised in response to FERC policy statement on Post-Employment
Benefits Other Than Pension 11 (PBOP), to require retention
of records until the fund is dissolved or terminated. This information
is necessary to allow the Commission to ensure the proper disposition
of rate payer contributions for PBOPs.
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\11\ 61 FERC para. 61,330 (1992).
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D. Removal of Public Utilities and Licensees, and Natural Gas Companies
Reserve Accounts.
The Commission proposes to remove all but one reserve item in both
public utilities and licensees, and natural gas companies (see proposed
schedule 125.3). The removal of these reserve items allows the records
retention schedule to reflect only the records the Commission needs to
fulfill its mission. However, we will keep reserve item 37 as place
holder in the public utilities and licensees records retention schedule
in order to align the public utilities and licensees and natural gas
companies item numbers.
E. Changes to Oil Pipeline Companies General Instructions.
The Commission proposes to reorganize the oil pipeline companies
general instructions to better align them to the public utilities and
licensees, and natural gas companies general instructions (see proposed
schedule 356.2). This reorganization will make the general instructions
for all three industries consistent.
F. Shortening of Oil Pipeline Companies Records Retention Periods.
The Commission proposes to shorten certain oil pipeline companies
retention periods for seven of the twenty four item to three years for
Part 356 (see proposed schedule 356.3). These proposed reductions
represent a significant reduction in reporting
[[Page 1486]]
burden on the oil industry. They are based on the statutory mandate
that limits oil pipeline company's reparations recovery to three years
from the time the cause of action accrues.12 We are
proposing that the following oil pipeline companies records retention
requirements be reduced to three years:
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\12\ 49 App. U.S.C. 1 et seq..
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Item Number and Description
2. Minutes of Directors and other corporate meetings.
4. (a) Contracts and related papers.
7. (a) and (b) Ledgers.
8. (a) and (b) Journals.
9. (a) and (b) Vouchers.
11. Records of accounting.
24. (a) Annual financial operating reports.
G. Additions to Oil Pipeline Companies Records Retention Periods.
The Commission proposes to revise records retentions requirements
for the following oil pipeline companies record items (see proposed
schedule 356.3):
Item Number and Description
12. (d)(1) Group method and depreciation rate.
12. (g) Files of detailed authorizations for expenditures.
Proposed records item 12(d)(1) is revised from 10 years to 3 years
after disposition of property because the Commission needs to review
these records at any time during the life of the asset. Proposed
retention item 12 (g) is also revised to extend the period from 3 years
from acquisition to 3 years after disposition of property because the
Commission must be able to review any records related to property or
equipment at any time during the life of the asset.
H. Miscellaneous
The Commission notes that OMB specifically requested the Commission
review the possibility of reducing the records retention requirements
for general ledgers to 10 years and plant ledgers to 25 years. In this
proposed rulemaking, the Commission is reducing the records retention
requirements for public utilities and licensees, and natural gas
companies general and plant ledgers from 50 years to 25 years. The
Commission is not currently proposing to further shorten the records
retention requirements for public utilities and licensees, and natural
gas companies. However, the Commission will consider whether to further
shorten the records retention periods consistent with its regulatory
obligations and public comments on this issue. The Commission is also
proposing to reduce the records retention requirements for oil pipeline
companies' general ledgers and plant ledgers from 50 years to 3 years
respectively.
IV. Environmental Statement
Commission regulations require that an environmental assessment or
an environmental impact statement be prepared for any Commission action
that may have a significant adverse effect on the human
environment.13 No environmental consideration is necessary
for the promulgation of a rule that is clarifying, corrective, or
procedural or that does not substantially changes the effect of
legislation or regulations being amended,14 and also for
information gathering, analysis, and dissemination.15 The
proposed rule changes do not substantially change the effect of the
underlying legislation or change the forms. Accordingly, no
environmental assessments are necessary.
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\13\ Regulations Implementing National Environmental Policy Act,
52 FR 47897 (Dec. 17, 1987); FERC Stats. and Regs. para. 30,783
(Dec. 10, 1987).
\14\ 18 CFR 380.4(a)(2)(ii).
\15\ 18 CFR 380.4(a)(5).
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V. Regulatory Flexibility Act
The Regulatory Flexibility Act (RFA) 16 requires
rulemakings to contain either a description and analysis of the effect
that the proposed rule will have on small entities or a certification
that the rule will not have a significant economic impact on a
substantial number of small entities.
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\16\ 5 U.S.C. 601-612.
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In Mid-Tex Elect. Coop. v. FERC, 773 F. 2d 327 (D.C. Cir. 1985),
the court found that Congress, in passing the RFA, intended agencies to
limit their consideration ``to small entities that would be directly
regulated'' by proposed rules. Id. at 342. The court further concluded
that ``the relevant `economic impact' was the impact of compliance with
the proposed rule on regulated small entities.'' Id. at 342.
The Commission does not believe that this proposed rule will have
an adverse impact on small entities, nor will it impose upon them any
significant costs of compliance. Rather, we anticipate that this rule
will significantly reduce the record keeping burden on all
jurisdictional entities, including small entities. Most entities
regulated by the Commission do not fall within the RFA's definition of
a small entity.17 Therefore, the Commission certifies that
this rule will not have a significant economic impact on a substantial
number of small entities.
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\17\ 5 U.S.C. 601(3), citing to 3 of the Small Business Act, 15
U.S.C. 632. Section 3 of the Small Business Act defines a ``small-
business concern'' as a business which is independently owned and
operated and which is not dominant in its field of operation.
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VI. Information Collection Statement
The following collection of information contained in this proposed
rule is being submitted to the Office of Management and Budget (OMB)
for review under 3507(d) of the Paperwork Reduction Act of
1995.18 FERC identifies the information retained under Parts
125, 225, and 356 as FERC Form 555. The reporting burden to implement
this proposed rule is as follows:
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\18\ 44 U.S.C. 3507(d).
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No. of No. of Hrs. per Total annual
Data collection respondents responses response hours
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FERC-555.................................... 515 1 1080 556,200
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Total Annual Hours for Collection (Reporting + Recordkeeping (if
appropriate) = 556,200). Based on the Commission's experience with
current recordkeeping requirement practices, it is estimated that about
1,080 hours 19 are needed to retain records per year, for a
total annual burden of 556,200 hours. The Commission estimates that if
the proposed rule is adopted, it will significantly decrease the burden
of the current regulations by shortening the retention periods for
certain records.
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\19\ Previous to this proposed rule, the reporting burden was
estimated at approximately 2400 hours per response.
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Information Collection Costs: The Commission seeks comments on the
costs to comply with these requirements. It has projected the average
annualized cost for all respondents to be:
Annualized Capital/Startup Costs: $0.00.
Annualized Costs (Operations & maintenance): $29,274,430.
[[Page 1487]]
Total Annualized Costs: $29,274,430.
The OMB regulations require OMB to approve certain information
collection requirements imposed by agency rule.20
Accordingly, pursuant to OMB regulations the Commission is providing
notice of its proposed information collection to OMB.
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\20\ 5 CFR 1320.11.
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Title: FERC Form 555, Preservation of Records of Public Utilities,
Natural Gas Companies, and Oil Pipeline Companies.
Action: Proposed Data Collection.
OMB Control No.: 1902-0098, the respondent shall not be penalized
for failure to respond to this collection of information unless the
collection of information displays a valid OMB control number.
Respondents: Business or other for profit, including small
businesses.
Frequency of Responses: On Occasion.
Necessity of Information: The proposed rule revises the
requirements contained in 18 CFR parts 125, 225, and 356.
Internal Review: The Commission has assured itself, by means of
internal review, that there is specific, objective support for the
burden estimates associated with the recordkeeping. The official
records maintained by the regulated companies in accordance with the
Schedules provided in Parts 125, 225, and 356 are used by the companies
as the basis of their required rate filings and reports to the
Commission. The Federal Power Act, the Natural Gas Act, and Interstate
Commerce Act, require regulated companies to keep such records as the
Commission may prescribe ``as necessary or appropriate for purposes of
administration'' of these acts. One of the Commission's most important
functions under these acts is insuring that rates charged by regulated
companies for certain transactions are ``just and reasonable.'' Almost
all the records the Commission requires to be retained are for the
purpose of providing an adequate base of information to make decisions
on the ``reasonableness'' of rates. Similarly, the length of retention
periods have been based on the time that information will be needed to
make decisions on the impact of rates. The records are necessary as
they are used by the Commission's staff during compliance reviews and
special analyses performed as deemed necessary by the Commission. These
requirements conform to the Commission's plan for efficient information
collection within the public utilities and licensees, natural gas
companies, and oil pipeline companies.
Interested persons may obtain information on the reporting
requirements by contacting the following: Federal Energy Regulatory
Commission, 888 First Street, NE, Washington, DC 20426 [Attention:
Michael Miller, Office of the Chief Information Officer, Phone: (202)
208-1415, fax: (202) 208-2425, email: [email protected]].
For submitting comments concerning the collection of information
and the associated burden estimate, please send your comments to the
contact listed above and to the Office of Management and Budget, Office
of Information and Regulatory Affairs, Washington, DC 20503 [Attention:
Desk Officer for the Federal Energy Regulatory Commission, phone: (202)
395-3087, fax: (202) 395-7285].
VII. Public Comment Procedures
The Commission invites interested persons to submit written
comments on the matters and issues proposed in this notice to be
adopted, including any related matters or alternative proposals that
commenters may wish to discuss.
The original and 14 copies of such comments must be received by the
Commission before 5:00 p.m. on or before March 10, 2000. The Commission
will also permit interested persons to submit reply comments in
response to the initial comments filed in this proceeding. Reply
comments should not exceed 50 double-spaced pages and should include an
executive summary. The original and 14 copies of the reply comments
must be received on or before April 10, 2000. Comments should be
submitted to the Office of the Secretary, Federal Energy Regulatory
Commission, 888 First Street, NE, Washington, DC 20426, and should
refer to Docket No. RM99-8-000.
In addition to filing paper copies, the Commission encourages the
filing of comments either on computer diskette or via Internet E-mail.
Comments may be filed in the following formats: WordPerfect 8.0 or
lower version, MS Word Office 97 or lower version, or ASCII format.
For diskette filing, include the following information on the
diskette label: Docket No. RM99-8-000; the name of the filing entity;
the software and version used to create the file; and the name and
telephone number of a contact person.
For Internet E-mail submittal, comments should be submitted to
``[email protected]'' in the following format. On the subject
line, specify Docket No. RM99-8-000. In the body of the E-mail message,
include the name of the filing entity; the software and version used to
create the file, and the name and telephone number of the contact
person. Attach the comments to the E-mail in one of the formats
specified above. The Commission will send an automatic acknowledgment
to the sender's E-mail address upon receipt. Questions on electronic
filing should be directed to Brooks Carter at (202) 501-8145, E-mail
address [email protected]. Commenters should take note that,
until the Commission amends its rules and regulations, the paper copy
of the filing remains the official copy of the document submitted.
Thereafter, any discrepancies between the paper and the electronic
filing or the diskette will be resolved by reference to the paper
filing.
All written comments will be placed in the Commission's public
files and will be available for inspection in the Commission's Public
Reference room at 888 First Street, NE, Washington, DC 20426, during
regular business hours. Additionally, comments may be viewed, printed
or downloaded remotely via the Internet through FERC's Homepage using
the RIMS or CIPS link. RIMS contain all comments but only those
comments submitted in electronic format are available on CIPS. User
assistance is available on CIPS. User assistance is available at (202)
208-2222, or by E-mail to [email protected].
List of Subjects
18 CFR Part 125
Electric power, Electric utilities, Reporting and recordkeeping
requirements.
18 CFR Part 225
Natural gas, Reporting and recordkeeping requirements.
18 CFR Part 356
Pipelines, Reporting and recordkeeping requirements.
By direction of the Commission.
David P. Boergers,
Secretary.
In consideration of the foregoing, the Commission proposes to amend
Parts 125, 225, and 356 Chapter I, Title 18 of the Code of Federal
Regulations, as follows:
PART 125--PRESERVATION OF RECORDS OF PUBLIC UTILITIES AND
LICENSEES.
1. The authority for Part 125 is revised to read as follows:
Authority: 16 U.S.C. 825, 825c, and 825h; 44 U.S.C. 3501 et seq.
[[Page 1488]]
2. Section 125.1 is revised to read as follows:
Sec. 125.1 Promulgation.
This part is prescribed and promulgated as the regulations
governing the preservation of records by public utilities subject to
the jurisdiction of the Commission and by licensees holding licenses
issued by the Commission, to the extent and in the manner set forth
therein.
3. In Sec. 125.2, paragraphs (a)(1) through (a)(3), and paragraphs
(d) through (m) are revised to read as follows:
Sec. 125.2 General instructions.
(a) Scope of this part. (1) The regulations in this part apply to
all books of account and other records prepared by or on behalf of the
public utility or licensee. See item 40 of the schedule (Sec. 125.3)
for those records that come into possession of the public utility or
licensee in connection with the acquisition of property, such as
purchase, consolidation, merger, etc.
(2) The regulations in this part should not be construed as
excusing compliance with other lawful requirements of any other
governmental body, Federal or State, prescribing other record keeping
requirements or for preservation of records longer than those
prescribed in this part.
(3) To the extent that any Commission regulations may provide for a
different retention period, the records should be retained for the
longer of the retention periods.
* * * * *
(d) Record storage media. Each public utility and licensee has the
flexibility to select its own storage media subject to the following
conditions.
(1) The storage media must have a life expectancy at least equal to
the applicable record retention period provided in Sec. 125.3 unless
there is a quality transfer from one media to another with no loss of
data.
(2) Each public utility and licensee is required to implement
internal control procedures that assure the reliability of, and ready
access to, data stored on machine readable media. Internal control
procedures must be documented by a responsible supervisory official.
(3) Each transfer of data from one media to another must be
verified for accuracy and documented. Software and hardware required to
produce readable records must be retained for the same period the media
format is used.
(e) Destruction of records. At the expiration of the retention
period, public utilities and licensees may use any appropriate method
to destroy records.
(f) Premature destruction or loss of records. When records are
destroyed or lost before the expiration of the prescribed period of
retention, a certified statement listing, as far as may be determined,
the records destroyed and describing the circumstances of accidental or
other premature destruction or loss must be filed with the Commission
within ninety (90) days from the date of discovery of the destruction.
(g) Schedule of records and periods of retention. (1) Records
related to plant in service must be retained until the facilities are
permanently removed from utility service, all removal and restoration
activities are completed, and all costs are retired from the accounting
records unless accounting adjustments resulting from reclassification
and original costs studies have been approved by the regulatory
commission having jurisdiction. If the plant is sold, the associated
records or copies thereof, must be transferred to the new owners.
(2) Records related to hydroelectric facilities and additions,
retirements, and betterments thereto must be retained until:
(i) The Commission has determined the actual legitimate original
cost of the facilities, or the licenses are surrendered. If the plant
is sold, the associated records or copies thereof, must be transferred
to the new owners.
(ii) Records related to the determination of amortization reserves
pursuant to Section 10(d) of the Federal Power Act must be retained
until a final determination and adjudication of the amortization
reserves are made.
(h) Retention periods designated ``Destroy at option''. ``Destroy
at option'' constitutes authorization for destruction of records at
managements' discretion if it does not conflict with other legal
retention requirements or usefulness of such records in satisfying
pending regulatory actions or directives.
(i) Records of services performed by associated companies. Public
utilities and licensees must assure the availability of records of
services performed by and for associated or affiliated companies with
supporting cost information for the periods indicated in Sec. 125.3 as
necessary to be able to readily furnish detailed information as to the
nature of the transaction, the amounts involved, and the accounts used
to record the transactions.
(j) Index of records. Public utilities and licensees must arrange,
file, and index records so records may be readily identified and made
available to Commission representatives.
(k) Rate case. Notwithstanding the minimum retention periods
provided in these regulations, if public utilities or licensee wants to
reflect costs in a current, future, or pending rate case, or if a
public utilities or licensees has abandoned or retired a plant
subsequent to the test period of the utility's rate case, the utility
must retain the appropriate records to support the costs and
adjustments proposed in the current or next rate case.
(l) Pending complaint litigation or governmental proceedings.
Notwithstanding the minimum requirements, if a public utility or
licensee is involved in pending litigation, complaint procedures,
proceedings remanded by the court, or governmental proceedings, it must
retain all relevant records.
(m) Life or mortality study data. Life or mortality study data for
depreciation purposes must be retained for 25 years or for 10 years
after plant is retired, whichever is longer.
* * * * *
4. Section 125.3 is revised to read as follows:
Section 125.3 Schedule of records and periods of retention.
Table of Contents
Corporate and General
1. Reports to stockholders.
2. Organizational documents.
3. Contracts and agreements.
4. Accountants' and auditors' reports.
Information Technology Management
5. Automatic data processing records.
General Accounting Records
6. General and subsidiary ledgers.
7. Journals: General and subsidiary.
8. Journal vouchers and entries.
9. Cash books.
10. Voucher registers.
11. Vouchers.
Insurance
12. Insurance records.
Operations and Maintenance
13.1 Production--Public utilities and licensees (less nuclear).
13.2 Production--Nuclear.
14. Transmission and distribution--Public utilities and licensees.
15. Maintenance work and job orders.
Plant and Depreciation
16. Plant ledgers.
17. Construction work in progress ledgers.
18. Retirement work in progress ledgers.
19. Summary sheets.
20. Appraisals and valuations.
21. Engineering records.
22. Contracts.
[[Page 1489]]
23. Reclassification of utility plant account records.
24. Accumulated depreciation and depletion of utility plant account
records.
Purchase and Stores
25. Procurement.
26. Material ledgers.
27. Materials and supplies received and issued.
28. Records of sales of scrap and materials and supplies.
Revenue Accounting and Collection
29. Customers' service applications and contracts.
30. Rate schedules.
31. Maximum demand and demand meter record cards.
32. Miscellaneous billing data.
33. Revenue summaries.
Tax
34. Tax records.
Treasury
35. Statements of funds and deposits.
36. Records of deposits with banks and others.
Miscellaneous
37. Reserve.
38. Statistics.
39. Budgets and other forecasts.
40. Records of predecessors and former associates.
41. Reports to Federal and State regulatory commissions.
42. Advertising.
Schedule of Records and Periods of Retention
----------------------------------------------------------------------------------------------------------------
Item No. Description Retention period
----------------------------------------------------------------------------------------------------------------
CORPORATE AND GENERAL
----------------------------------------------------------------------------------------------------------------
1............... Reports to stockholders: Annual reports or 5 years.
statements to stockholders.
2............... Organizational documents:
(a) Minute books of stockholders', 5 years or termination of the corporation's
directors', and directors' committee existence, whichever occurs first.
meetings.
(b) Titles, franchises, and licenses: 6 years after final non-appealable order.
Copies of formal orders of regulatory
commissions served upon the utility.
3............... Contracts, including amendments and agreements
(except contracts provided for elsewhere):
(a) Service contracts, such as for All contracts, related memoranda, and
management, accounting, and financial revisions should be retained for 3 years
services. after expiration or until the conclusion of
any contract disputes pertaining to such
contracts, whichever is later.
(b) Contracts with others for transmission All contracts, related memoranda, and
or the purchase, sale or interchange of revisions should be retained for 4 years
product. after expiration or until the conclusion of
any contract disputes or governmental
proceedings pertaining to such contracts,
whichever is later.
(c) Memoranda essential to clarifying or For the same periods as contracts to which
explaining provisions of contracts listed they relate.
above, including requests for discounts.
(d) Card or book records of contracts, For the same periods as contracts to which
leases, and agreements made, showing dates they relate.
of expirations and of renewals, memoranda
of receipts, and payments under such
contracts.
4............... Accountants' and auditors' reports:
(a) Reports of examinations and audits by 5 years after the date of the report.
accountants and auditors not in the regular
employ of the utility (such as reports of
public accounting firms and commission
accountants).
(b) Internal audit reports and working 5 years after the date of the report.
papers.
----------------------------------------------------------------------------------------------------------------
INFORMATION TECHNOLOGY MANAGEMENT
----------------------------------------------------------------------------------------------------------------
5............... Automatic data processing records (retain Retain as long as it represents an active
original source data used as input for data viable program or for periods prescribed for
processing and data processing report related output data, whichever is shorter.
printouts for the applicable periods
prescribed elsewhere in the schedule):
Program documentation and revisions thereto.
----------------------------------------------------------------------------------------------------------------
GENERAL ACCOUNTING RECORDS
----------------------------------------------------------------------------------------------------------------
6............... General and subsidiary ledgers:
(a) Ledgers:
(1) General ledgers........................ 25 years.
(2) Ledgers subsidiary or auxiliary to 25 years.
general ledgers except ledgers provided
for elsewhere.
(b) Indexes:
(1) Indexes to general ledgers............. 25 years.
(2) Indexes to subsidiary ledgers except 25 years.
ledgers provided for elsewhere.
(c) Trial balance sheets of general and 2 years.
subsidiary ledgers.
7............... Journals: General and subsidiary.............. 25 years.
8............... Journal vouchers and journal entries including ..............................................
supporting detail
(a) Journal vouchers and journal entries.... 25 years.
(b) Analyses, summarization, distributions,
and other computations which support
journal vouchers and journal entries:
(1) Charging plant accounts................ 25 years.
(2) Charging all other accounts............ 6 years.
9............... Cash books: General and subsidiary or 5 years after close of fiscal year.
auxiliary books.
[[Page 1490]]
10.............. Voucher registers: Voucher registers or 5 years.
similar records when used as a source
document.
11.............. Vouchers:
(a) Paid and cancelled vouchers (one copy- 5 years.
analysis sheets showing detailed
distribution of charges on individual
vouchers and other supporting papers).
(b) Original bills and invoices for 5 years.
materials, services, etc., paid by vouchers.
(c) Paid checks and receipts for payments of 5 years.
specific vouchers.
(d) Authorization for the payment of 5 years.
specific vouchers.
(e) Lists of unaudited bills (accounts Destroy at option.
payable), list of vouchers transmitted, and
memoranda regarding changes in audited
bills.
(f) Voucher indexes......................... Destroy at option.
----------------------------------------------------------------------------------------------------------------
INSURANCE
----------------------------------------------------------------------------------------------------------------
12.............. Insurance records:
(a) Records of insurance policies in force, Destroy at option after expiration of such
showing coverage, premiums paid, and policies.
expiration dates.
(b) Records of amounts recovered from 6 years.
insurance companies in connection with
losses and of claims against insurance
companies, including reports of losses, and
supporting papers.
----------------------------------------------------------------------------------------------------------------
OPERATIONS AND MAINTENANCE
----------------------------------------------------------------------------------------------------------------
13.1............ Production--Electric (less Nuclear):
(a) Boiler-tube failure report.............. 3 years.
(b) Generation and output logs with 3 years.
supporting data:.
(1) Hydro-electric......................... 25 years.
(2) Steam and others....................... 6 years.
(c) Generating high-tension and low-tension 3 years.
load records.
(d) Load curves, temperature logs, coal, and 3 years.
water logs.
(e) Gauge-reading reports................... 2 years, except river flow data collected in
connection with hydro operation must be
retained for life of corporation.
(f) Recording instrumentation charts........ 1 year, except where the basic chart
information is transferred to another record,
the charts need only be retained 6 months
provided the record containing the basic data
is retained 1 year.
13.2............ Production--Nuclear:
For informational purposes, refer to the
document retention requirements of the
Nuclear Regulatory Commission.
14.............. Transmission and distribution--Electric:......
(a) Substation and transmission line logs... 3 years.
(b) System operator's daily logs and reports 3 years.
of operation.
(c) Transformer history records............. For life of transformer.
(d) Records of transformer inspections, oil Destroy at option.
tests, etc.
15.............. Maintenance work orders and job orders:
(a) Authorizations for expenditures for 5 years.
maintenance work to be covered by work
orders, including memoranda showing the
estimates of costs to be incurred.
(b) Work order sheets to which are posted in 5 years.
detail the entries for labor, material, and
other charges in connection with
maintenance, and other work pertaining to
utility operations.
(c) Summaries of expenditures on maintenance 5 years.
and job orders and clearances to operating
other accounts (exclusive of plant
accounts).
----------------------------------------------------------------------------------------------------------------
PLANT AND DEPRECIATION
----------------------------------------------------------------------------------------------------------------
16.............. Plant ledgers:
(a) Ledgers of utility plant accounts 25 years.
including land and other detailed ledgers
showing the cost of utility plant by
classes.
(b) Continuing plant inventory ledger, book 25 years.
or card records showing description,
location, quantities, cost, etc., of
physical units (or items) of utility plant
owned.
17.............. Construction work in progress ledgers, work
orders, and supplemental records:
(a) Construction work in progress ledgers... 5 years after clearance to plant account,
provided continuing plant inventory records
are maintained; otherwise 5 years after plant
is retired.
[[Page 1491]]
(b) Work orders sheets to which are posted 5 years after clearance to plant account,
in summary form or in detail the entries provided continuing plant inventory records
for labor, materials, and other charges for are maintained; otherwise 5 years after plant
utility plant additions and the entries is retired.
closing the work orders to utility plant in
service at completion.
(c) Authorizations for expenditures for 5 years after clearance to plant account
additions to utility plant, including except where there are ongoing Commission
memoranda showing the detailed estimates of proceedings.
cost, and the bases therefor (including
original and revised or subsequent
authorizations).
(d) Requisitions and registers of 5 years after clearance to plant account
authorizations for utility plant except where there are ongoing Commission
expenditures. proceedings.
(e) Completion or performance reports 5 years after clearance to plant account
showing comparison between authorized except where there are ongoing Commission
estimates and actual expenditures for proceedings.
utility plant additions.
(f) Analysis or cost reports showing 5 years after clearance to plant account
quantities of materials used, unit costs, except where there are ongoing Commission
number of man-hours etc., in connection proceedings.
with completed construction project.
(g) Records and reports pertaining to Destroy at option.
progress of construction work, the order in
which jobs are to be completed, and similar
records which do not form a basis of
entries to the accounts.
18.............. Retirement work in progress ledgers, work
orders, and supplemental records:
(a) Work order sheets to which are posted 5 years after plant is retired.
the entries for removal costs, materials
recovered, and credits to utility plant
accounts for cost of plant retirement.
(b) Authorizations for retirement of 5 years after plant is retired.
utility plant, including memoranda showing
the basis for determination to be retired
and estimates of salvage and removal costs..
(c) Registers of retirement work............ 5 years.
19.............. Summary sheets, distribution sheets, reports, 5 years.
statements, and papers directly supporting
debits and credits to utility plant accounts
not covered by construction or retirement
work orders and their supporting records.
20.............. Appraisals and valuations:
(a) Appraisals and valuations made by the 3 years after appraisal.
company of its properties or investments or
of the properties or investments of any
associated companies. (Includes all records
essential thereto.).
(b) Determinations of amounts by which
properties or investments of the company or
any of its associated companies will be
either written up or written down as a
result of:
(1) Mergers or acquisitions................ 10 years after completion of transaction or as
ordered by the Commission.
(2) Asset impairments...................... 10 years after recognition of asset
impairment.
(3) Other bases............................ 10 years after the asset was written up or
down.
21.............. The original or reproduction of engineering Retain until retired.
records, drawings, and other supporting data
for proposed or as-constructed utility
facilities: Maps, diagrams, profiles,
photographs, field survey notes, plot plan,
detail drawings, records of engineering
studies, and similar records showing the
location of proposed or as-constructed
facilities:
22.............. Contracts relating to utility plant:..........
(a) Contracts relating to acquisition or 6 years after plant is retired or sold.
sale of plant.
(b) Contracts and other agreements relating 6 years after plant is retired or sold.
to services performed in connection with
construction of utility plant (including
contracts for the construction of plant by
others for the utility and for supervision
and engineering relating to construction
work).
23.............. Records pertaining to reclassification of 6 years.
utility plant accounts to conform to
prescribed systems of accounts including
supporting papers showing the basis for such
reclassifications.
24.............. Records of accumulated provisions for
depreciation and depletion of utility plant
and supporting computation of expense:
(a) Detailed records or analysis sheets 25 years.
segregating the accumulated depreciation
according to functional classification of
plant.
(b) Records reflecting the service life of 25 years.
property and the percentage of salvage and
cost of removal for property retired from
each account for depreciable utility plant.
----------------------------------------------------------------------------------------------------------------
[[Page 1492]]
PURCHASES AND STORES
----------------------------------------------------------------------------------------------------------------
25.............. Procurement:
(a) Agreements entered into for the
acquisition of goods or the performance of
services. Includes all forms of agreements
not specifically set forth in Subsection 7
such as but not limited to: Letters of
intent, exchange of correspondence, master
agreements, term contracts, rental
agreements, and the various types of
purchase orders:
(1) For goods or services relating to plant 6 years.
construction.
(2) For other goods or services............ 6 years.
(b) Supporting documents including accepted 6 years.
and unaccepted bids or proposals (summaries
of unaccepted bids or proposals may be kept
in lieu of originals) evidencing all
relevant elements of the procurement.
26.............. Material ledgers: Ledger sheets of materials 6 years after the date the records/ledgers
and supplies received, issued, and on hand. were created.
27.............. Materials and supplies received and issued: 6 years.
Records showing the detailed distribution of
materials and supplies issued during
accounting periods.
28.............. Records of sales of scrap and materials and
supplies:.
(a) Authorization for sale of scrap and 3 years.
materials and supplies.
(b) Contracts for sale of scrap materials 3 years.
and supplies.
----------------------------------------------------------------------------------------------------------------
REVENUE ACCOUNTING AND COLLECTION
----------------------------------------------------------------------------------------------------------------
29.............. Customers' service applications and contracts: 4 years after expiration.
Contracts, including amendments for
extensions of service, for which
contributions are made by customers and
others.
30.............. Rate schedules: General files of published 6 years after published rate sheets and
rate sheets and schedules of utility service. schedules are superseded or no longer used to
Including schedules suspended or superseded. charge for utility service.
31.............. Maximum demand, and demand meter record cards. 1 year, except where the basic chart
information is transferred to another record
the charts need only be retained 6 months,
provided the basic data is retained 1 year.
32.............. Miscellaneous billing data: Billing Destroy at option.
department's copies of contracts with
customers (other than contracts in general
files).
33.............. Revenue summaries: Summaries of monthly 5 years.
operating revenues according to classes of
service. Including summaries of forfeited
discounts and penalties.
----------------------------------------------------------------------------------------------------------------
TAX
----------------------------------------------------------------------------------------------------------------
34.............. Tax records:..............................
(a) Copies of tax returns and supporting
schedules filed with taxing authorities,
supporting working papers, records of
appeals of tax bills, and receipts for
payment. See Subsection 11(b) for vouchers
evidencing disbursements:
(1) Income tax returns..................... 2 years after final tax liability is
determined.
(2) Property tax returns................... 2 years after final tax liability is
determined.
(3) Sales and other use taxes.............. 2 years.
(4) Other taxes............................ 2 years after final tax liability is
determined.
(5) Agreements between associate companies 2 years after final tax liability is
as to allocation of consolidated income determined.
taxes.
(6) Schedule of allocation of consolidated 2 years after final tax liability is
Federal income taxes among associate determined.
companies.
(b) Filings with taxing authorities to 5 years after discontinuance of plan.
qualify employee benefit plans.
(c) Information returns and reports to 3 years after final tax liability is
taxing authorities. determined.
----------------------------------------------------------------------------------------------------------------
TREASURY
----------------------------------------------------------------------------------------------------------------
35.............. Statements of funds and deposits: For nuclear decommissioning funds, retain
records for all items listed for a period of
3 years after completion of final
decommissioning is completed.
If amortization reserve funds related to
licensed projects are maintained, retain
until the Commission makes a final
determination of the disposition of
amortization reserves.
(a) Statements of periodic deposits with Retain records for the most recent 3 years.
fund administrators or trustees.
(b) Statements of periodic withdrawals from Retain records for the most recent 3 years.
fund.
(c) Statements prepared by fund Retain records until the fund is dissolved or
administrator or trustees of fund activity terminated.
including:
[[Page 1493]]
(1) Beginning of the year balance of fund;
(2) Deposits with the fund;
(3) Acquisition of investments held by the
fund;
(4) Disposition of investments held by the
fund;
(5) Disbursements from the fund, including
party to whom disbursement was made;
(6) End of year balance of fund.
36.............. Records of deposits with banks and others:
(a) Statements from depositories showing the Destroy at option after completion of audit by
details of funds received, disbursed, independent accountants.
transferred, and balances on deposit.
(b) Check stubs, registers, or other records 3 years.
of checks issued.
----------------------------------------------------------------------------------------------------------------
MISCELLANEOUS
----------------------------------------------------------------------------------------------------------------
37.............. Reserve
38.............. Statistics: Financial, operating and 5 years.
statistical reports used for internal
administrative or operating purposes.
39.............. Budgets and other forecasts (prepared for 3 years.
internal administrative or operating
purposes) of estimated future income,
receipts and expenditures in connection with
financing, construction and operations,
including acquisitions and disposals of
properties or investments.
40.............. Records of predecessor companies.............. Retain consistent with the requirements for
the same types of records of the utility.
41.............. Reports to Federal and State regulatory 5 years.
commissions including annual financial,
operating and statistical reports.
42.............. Advertising: Copies of advertisements by or 2 years.
for the company on behalf of itself or any
associate company in newspapers, magazines,
and other publications, including costs and
other records relevant thereto (excluding
advertising of appliances, employment
opportunities, routine notices, and
invitations for bids all of which may be
destroyed at option).
----------------------------------------------------------------------------------------------------------------
PART 225--PRESERVATION OF RECORDS OF NATURAL GAS COMPANIES
5. The authority for Part 225 is revised to read as follows:
Authority: 15 U.S.C. 717-717w, 3301-3432; 16 U.S.C. 792-828c; 42
U.S.C. 7101-7352; E. O. 12009, 3 CFR 1978 Comp. p. 142.
6. Section 225.1 is revised to read as follows:
Sec. 225.1 Promulgation.
This part is prescribed and promulgated as the regulations
governing the preservation of records by natural gas companies subject
to the jurisdiction of the Commission, to the extent and in the manner
set forth therein.
7. In Sec. 225.2, paragraphs (a)(1) through (a)(3) and paragraphs
(d) through (m) are revised to read as follows:
Sec. 225.2 General instructions.
(a) Scope of this part. (1) The regulations in this part must apply
to all books of account and other records prepared by or on behalf of
the natural gas company. See item 40 of the schedule for those records
that come into possession of the natural gas company in connection with
the acquisition of property, such as purchases, consolidation, merger,
etc.
(2) The regulations in this part should not be construed as
excusing compliance with other lawful requirements of any other
governmental body, Federal or State, prescribing other record keeping
requirements, or for preservation of records for periods longer than
those prescribed in this part.
(3) To the extent that any Commission regulations may provide for a
different retention period, the records should be retained for the
longer of the retention periods.
* * * * *
(d) Record storage media. Each natural gas company has the
flexibility to select its own storage media subject to the following
conditions.
(1) The storage media must have a life expectancy at least equal to
the applicable record retention period provided in Sec. 225.3 unless
there is a quality transfer from one media to another with no loss of
data.
(2) Each natural gas company is required to implement internal
control procedures that assure the reliability of and ready access to
data stored on machine readable media. Internal control procedures must
be documented by a responsible supervisory official.
(3) Each transfer of data from one media to another must be
verified for accuracy and documented. Software and hardware required to
produce readable records must be retained for the same period the media
format is used.
(e) Destruction of records. At the expiration of the records
retention period, natural gas companies may use any appropriate method
to destroy records.
(f) Premature destruction or loss of records. When records are
destroyed or lost before the expiration of the prescribed period of
retention, a certified statement listing, as far as may be determined,
the records destroyed and describing the circumstances of accidental or
other premature destruction or loss must be filed with the Commission
within ninety (90) days from the date of discovery of the destruction.
(g) Schedule of records and periods of retention. (1) Records
related to plant in service must be retained until the facilities are
permanently removed from service, all removal and restoration
activities are completed, and all costs are retired from the accounting
records unless accounting adjustments resulting from reclassification
and original costs studies have been approved by the
[[Page 1494]]
regulatory commission having jurisdiction. If the plant is sold, the
associated records or copies thereof, must be transferred to the new
owners.
(2) Records related to additions, retirements, and betterments
thereto must be retained until the Commission has determined the actual
legitimate original cost of the facilities.
(h) Retention periods designated ``Destroy at option''. ``Destroy
at option'' constitutes authorization for destruction of records at
managements' discretion if it does not conflict with other legal
retention requirements or usefulness of such records in satisfying
pending regulatory actions or directives.
(i) Records of services performed by associated companies. The
natural gas companies must assure the availability of records of
services performed by associated or affiliated companies with
supporting cost information for the periods indicated in Sec. 225.3 as
necessary to be able to readily furnish detailed information as to the
nature of the transaction, the amounts involved, and the accounts used
to record the transactions.
(j) Index of records. Natural gas companies must arrange, file, and
index records so they may be readily identified and made available to
Commission representatives.
(k) Rate case. Notwithstanding the minimum retention periods
provided in these regulations, if a natural gas company intends to
reflect costs in a current, pending, or future rate case, or if a
natural gas company has abandoned or retired a plant subsequent to the
test period of its last rate case, it must retain all relevant records.
(l) Pending complaint litigation or governmental proceeding.
Notwithstanding the minimum requirements, if a natural gas company is
involved in pending litigation, complaint procedures, proceedings
remanded by the court, or governmental proceedings, it must retain all
relevant records.
(m) Life or mortality study data. Life or mortality study data for
depreciation purposes must be retained for 25 years or for 10 years
after plant is retired whichever is longer.
* * * * *
8. Section 225.3 is revised to read as follows:
Sec. 225.3 Schedule of records and periods of retention.
Table of Contents
Corporate and General
1. Reports to stockholders.
2. Organizational documents.
3. Contracts and agreements.
4. Accountants' and auditors' reports.
Information Technology Management
5. Automatic data processing records.
General Accounting Records
6. General and subsidiary ledgers.
7. Journals: General and subsidiary.
8. Journal vouchers and entries.
9. Cash books.
10. Voucher registers.
11. Vouchers.
Insurance
12. Insurance records.
Operations and Maintenance
13. Production--Gas.
14. Transmission and distribution--Gas.
14.1 Underground storage of natural gas.
15. Maintenance work and job orders.
Plant and Depreciation
16. Plant ledgers.
17. Construction work in progress ledgers.
18. Retirement work in progress ledgers.
19. Summary sheets.
20. Appraisals and valuations.
21. Engineering records.
22. Contracts.
23. Reclassification of natural gas plant account records.
24. Accumulated depreciation and depletion of natural gas plant
account records.
Purchase and Stores
25. Procurement.
26. Material ledgers.
27. Materials and supplies received and issued.
28. Records of sales of scrap and materials and supplies.
Revenue Accounting and Collection
29. Customers' service applications and contracts.
30. Rate schedules.
31. Maximum demand and demand meter record cards.
32. Miscellaneous billing data.
33. Revenue summaries.
Tax
34. Tax records.
Treasury
35. Statements of funds and deposits.
36. Records of deposits with banks and others.
37. Records of receipts and disbursements.
Miscellaneous
38. Statistics.
39. Budgets and other forecasts.
40. Records of predecessors and former associates.
41. Reports to Federal and State regulatory commissions.
42. Advertising.
Schedule of Records and Periods of Retention
----------------------------------------------------------------------------------------------------------------
Item No. Description Retention period
----------------------------------------------------------------------------------------------------------------
CORPORATE AND GENERAL
----------------------------------------------------------------------------------------------------------------
1........................... Reports to stockholders: Annual reports 5 years.
or statements to stockholders.
2........................... Organizational documents:
(a) Minute books of stockholders', 5 years or termination of the
directors', and directors' committee corporation's existence, whichever
meetings. occurs first.
(b) Titles, franchises, and licenses: 6 years after final non-appealable
Copies of formal orders of regulatory order.
commissions served upon the natural
gas company.
3........................... Contracts including amendments and ........................................
agreements (except contracts provided
for elsewhere):
(a) Service contracts, such as for 6 years.
management, accounting, and financial
services.
(b) Contracts with others for All contracts, related memoranda, and
transportation or for the purchase, revisions should be retained for 4
sale or interchange of product. years after expiration or until the
conclusion of any contract disputes or
governmental proceedings pertaining to
such contracts, whichever is later.
(c) Memoranda essential to clarifying For the same periods as contracts to
or explaining provisions of contracts which they relate.
listed above, including requests for
discounts.
[[Page 1495]]
(d) Card or book records of contracts, For the same periods as contracts to
leases, and agreements made that show which they relate.
dates of expirations, renewals,
memoranda of receipts, and payments
under such contracts.
4........................... Accountants' and auditors' reports: ........................................
(a) Reports of examinations and audits 5 years after the date of the report.
by accountants and auditors not in
the regular employ of the natural gas
company (such as reports of public
accounting firms and Commission
accountants).
(b) Internal audit reports and working 5 years after the date of the report.
papers.
----------------------------------------------------------------------------------------------------------------
INFORMATION TECHNOLOGY MANAGEMENT
----------------------------------------------------------------------------------------------------------------
5........................... Automatic data processing records Retain as long as it represents an
(retain original source data used as active viable program or for periods
input for data processing and data prescribed for related output data,
processing report printouts for the whichever is shorter.
applicable periods prescribed elsewhere
in the schedule): Program documentation
and revisions thereto.
----------------------------------------------------------------------------------------------------------------
GENERAL ACCOUNTING RECORDS
----------------------------------------------------------------------------------------------------------------
6........................... General and subsidiary ledgers:
(a) Ledgers:
(1) General ledgers.................. 25 years.
(2) Ledgers subsidiary or auxiliary 25 years.
to general ledgers except ledgers
provided for elsewhere.
(b) Indexes:
(1) Indexes to general ledgers....... 25 years.
(2) Indexes to subsidiary ledgers 25 years.
except ledgers provided for
elsewhere.
(c) Trial balance sheets of general 2 years.
and subsidiary ledgers.
7........................... Journals: General and subsidiary........ 25 years.
8........................... Journal vouchers and journal entries
including supporting detail:
(a) Journal vouchers and journal 25 years.
entries.
(b) Analyses, summarizations,
distributions, and other computations
which support journal vouchers and
journal entries:
(1) Charging plant accounts.......... 25 years.
(2) Charging all other accounts...... 6 years.
9........................... Cash books: General and subsidiary or 5 years after close of fiscal year.
auxiliary books.
10.......................... Voucher registers: Voucher registers or 5 years.
similar records when used as a source
document.
11.......................... Vouchers:...............................
(a) Paid and cancelled vouchers (1 5 years.
copy-analysis sheets showing detailed
distribution of charges on individual
vouchers and other supporting papers).
(b) Original bills and invoices for 5 years.
materials, services, etc., paid by
vouchers.
(c) Paid checks and receipts for 5 years.
payments of specific vouchers.
(d) Authorization for the payment of 5 years.
specific vouchers.
(e) Lists of unaudited bills (accounts Destroy at option.
payable), list of vouchers
transmitted, and memoranda regarding
changes in audited bills.
(f) Voucher indexes................... Destroy at option.
----------------------------------------------------------------------------------------------------------------
INSURANCE
----------------------------------------------------------------------------------------------------------------
12.......................... Insurance records:
(a) Records of insurance policies in Destroy at option after expiration.
force, showing coverage, premiums
paid, and expiration dates.
(b) Records of amounts recovered from 6 years.
insurance companies in connection
with losses and of claims against
insurance companies, including
reports of losses, and supporting
papers.
----------------------------------------------------------------------------------------------------------------
OPERATIONS AND MAINTENANCE
----------------------------------------------------------------------------------------------------------------
13.......................... Production--Gas:
(a) Recording instrument charts such If the measurement data have not been
as pressure (static and/or disputed or adjusted, destroy after 7
differential), temperature, specific months.
gravity, heating value, etc.
(b) Test of heating value at stations If the measurement data have not been
and outlying points. disputed or adjusted, destroy after 7
months.
[[Page 1496]]
(c) Records of gas produced, out, and If the measurement data have not been
holder stock. disputed or adjusted, destroy after 7
months.
(d) Analysis of (gas produced) B.T.U. If the measurement data have not been
and sulphur content.. disputed or adjusted, destroy after 7
months.
(e) Well records, including clearing, If the measurement data have not been
bailing, shooting etc., records; rock disputed or adjusted, destroy after 7
pressure; open flow; production, gas months.
analysts' reports etc..
(f) Gas measuring records............. If the measurement data have not been
disputed or adjusted, destroy after 7
months.
14.......................... Transmission and distribution--Gas:.....
(a) Substation and transmission line If the measurement data have not been
logs. disputed or adjusted, destroy after 7
months.
(b) System operator's daily logs and If the measurement data have not been
reports of operation. disputed or adjusted, destroy after 7
months.
(c) Gas measuring records............. If the measurement data have not been
disputed or adjusted, destroy after 7
months.
(d) Transmission line operating If the measurement data have not been
reports. disputed or adjusted, destroy after 7
months.
(e) Compression operation and reports. If the measurement data have not been
disputed or adjusted, destroy after 7
months.
(f) Recording instrument charts such If the measurement data have not been
as pressure (static and/or disputed or adjusted, destroy after 7
differential), temperature, specific months.
heating value, etc.
14.1........................ Underground storage of natural gas:
(a) Well records, reports, and logs 1 year after reservoir, field, or
which include data relating to relevant storage area is abandoned.
pressures, injected volumes,
withdrawn volumes, core analysis,
daily volumes of gas injected into
and withdrawn from reservoir,
cushion, and working gas volumes for
each reservoir.
(b) Records containing information 1 year after reservoir, field, or
relating to reservoir gas leakage, relevant storage area is abandoned.
showing the total gas leakage, and
recycled gas.
(c) Records on back pressure tests 1 year or until superseded.
field data.
(d) Records on back pressure test 1 year or until superseded.
results, gas analysis.
15.......................... Maintenance work orders and job orders:
(a) Authorizations for expenditures 5 years.
for maintenance work to be covered by
work orders, including memoranda
showing the estimates of costs to be
incurred.
(b) Work order sheets to which are 5 years.
posted in detail the entries for
labor, material, and other charges in
connection with maintenance, and
other work pertaining to natural gas
company operations.
(c) Summaries of expenditures on 5 years.
maintenance and job orders and
clearances to operating other
accounts (exclusive of plant
accounts).
----------------------------------------------------------------------------------------------------------------
PLANT AND DEPRECIATION
----------------------------------------------------------------------------------------------------------------
16.......................... Plant ledgers:
(a) Ledgers of natural gas company's 25 years.
plant accounts including land and
other detailed ledgers showing the
cost of plant by class.
(b) Continuing plant inventory ledger, 25 years.
book or card records showing
description, location, quantities,
cost, etc., of physical units (or
items) of natural gas plant owned.
17.......................... Construction work in progress ledgers:
(a) Construction work in progress 5 years after clearance to the plant
ledgers. account, provided continuing plant
inventory records are maintained;
otherwise 5 years after plant is
retired.
(b) Work order sheets to which are 5 years after clearance to the plant
posted in summary form or in detail account, provided continuing plant
the entries for labor, materials, and inventory records are maintained;
other charges for natural gas otherwise 5 years after plant is
company's plant additions and the retired.
entries closing the work orders to
plant in service at completion.
(c) Authorizations for expenditures 5 years after clearance to the plant
for additions to natural gas company account, provided continuing plant
plant, including memoranda showing inventory records are maintained;
the detailed estimates of cost, and otherwise 5 years after plant is
the bases therefor (including retired.
original and revised or subsequent
authorizations).
(d) Requisitions and registers of 5 years after clearance to the plant
authorizations for natural gas account, provided continuing plant
company plant expenditures. inventory records are maintained;
otherwise 5 years after plant is
retired.
(e) Completion or performance reports 5 years after clearance to the plant
showing comparison between authorized account, provided continuing plant
estimates and actual expenditures for inventory records are maintained;
natural gas company plant additions. otherwise 5 years after plant is
retired.
[[Page 1497]]
(f) Analysis or cost reports showing 5 years after clearance to the plant
quantities of materials used, unit account, provided continuing plant
costs, number of man-hours etc., in inventory records are maintained;
connection with completed otherwise 5 years after plant is
construction project. retired.
(g) Records and reports pertaining to Destroy at option.
progress of construction work, the
order in which jobs are to be
completed, and similar records which
do not form a basis of entries to the
accounts.
(h) Well-drilling logs and well 1 year after field or well is abandoned.
construction records.
18.......................... Retirement work in progress ledgers, ........................................
work orders, and supplemental records:
(a) Work order sheets to which are 5 years after plant is retired.
posted the entries for removal costs,
materials recovered, and credits to
natural gas company plant accounts
for cost of plant retirement.
(b) Authorizations for retirement of 5 years after plant is retired.
natural gas company plant, including
memoranda showing the basis for
determination of cost of plant to be
retired, and estimates of salvage and
removal costs.
(c) Registers of retirement work...... 5 years.
19.......................... Summary sheets, distribution sheets, 5 years.
reports, statements, and papers
directly supporting debits and credits
to natural gas company plant accounts
not covered by construction or
retirement work orders and their
supporting records.
20.......................... Appraisals and valuations:
(a) Appraisals and valuations made by 3 years after appraisal.
the company of its properties or
investments or of the properties or
investments of any associated
companies. Includes all records
essential thereto.
(b) Determinations of amounts by which
properties or investments of the
company or any of its associated
companies will be either written up
or written down as a result of:
(1) Mergers or acquisitions.......... 10 years after completion of transaction
or as ordered by the Commission.
(2) Asset impairments................ 10 years after recognition of asset
impairment.
(3) Other bases...................... 10 years after the asset was written up
or down.
21.......................... The original or reproduction of Retained until retired or abandoned.
engineering records, drawings, and
other supporting data for proposed or
as-constructed gas facilities: Maps,
diagrams, profiles, photographs, field
survey notes, plot plan, detail
drawings, records of engineering
studies, and similar records showing
the location of proposed or as-
constructed facilities.
22.......................... Contracts relating to natural gas plant:
(a) Contracts relating to acquisition 6 years after plant is retired or sold.
or sale of plant.
(b) The primary records of gas acreage 6 years after plant is retired or sold.
owned, leased or optioned excluding
deeds and leases but including such
records as lease sheets, leasehold
cards, and option agreements.
23.......................... Records pertaining to reclassification 6 years.
of natural gas plant accounts to
conform to prescribed systems of
accounts including supporting papers
showing the bases for such
reclassifications.
24.......................... Records of accumulated provisions for
depreciation and depletion of gas plant
and supporting computation of expense:
(a) Detailed records or analysis 25 years.
sheets segregating the accumulated
depreciation according to functional
classification of plant.
(b) Records reflecting the service 25 years.
life of property and the percentage
of salvage and cost of removal for
property retired from each account
for depreciable natural gas plant.
----------------------------------------------------------------------------------------------------------------
PURCHASES AND STORES
----------------------------------------------------------------------------------------------------------------
25.......................... Procurement:
(a) Agreements entered into for the
acquisition of goods or the
performance of services. Includes all
forms of agreements not specifically
set forth in Subsection 7 such as but
not limited to: letters of intent,
exchange of correspondence, master
agreements, term contracts, rental
agreements, and the various types of
purchase orders:
(1)For goods or services relating to 6 years.
plant construction.
(2) For other goods or services...... 6 years.
[[Page 1498]]
(b) Supporting documents including 6 years.
accepted and unaccepted bids or
proposals (summaries of unaccepted
bids or proposals may be kept in lieu
of originals) evidencing all relevant
elements of the procurement.
26.......................... Material ledgers: ledger sheets of 6 years after the date records/ledgers
materials and supplies received, were created.
issued, and on hand.
27.......................... Materials and supplies received and 6 years.
issued: Records showing the detailed
distribution of materials and supplies
issued during accounting periods.
28.......................... Records of sales of scrap and materials
and supplies:
(a) Authorization for sale of scrap 3 years.
and materials and supplies...
(b) Contracts for sale of scrap a 3 years.
materials and supplies.
----------------------------------------------------------------------------------------------------------------
REVENUE ACCOUNTING AND COLLECTION
----------------------------------------------------------------------------------------------------------------
29.......................... Customers' service applications and 4 years after expiration.
contracts: Contracts, including
amendments for extensions of service,
for which contributions are made by
customers and others.
30.......................... Rate schedules: General files of 6 years after published rate sheets and
published rate sheets and schedules of schedules are superseded or no longer
natural gas company service (including used to charge for services.
schedules suspended or superseded).
31.......................... Maximum demand, pressure, temperature, If the measurement data have not been
and specific gravity charts and demand disputed or adjusted, destroy after 7
meter record card. months.
32.......................... Miscellaneous billing data: Billing Destroy at option.
department's copies of contracts with
customers (other than contracts in
general files).
33.......................... Revenue summaries: Summaries of monthly 5 years.
operating revenues according to classes
of service. Including summaries of
forfeited discounts and penalties.
----------------------------------------------------------------------------------------------------------------
TAX
----------------------------------------------------------------------------------------------------------------
34.......................... Tax records:
(a) Copies of tax returns and
supporting schedules filed with
taxing authorities, supporting
working papers, records of appeals of
tax bills, and receipts for payment.
See Subsection 11(b) for vouchers
evidencing disbursements:
(1) Income tax returns............... 2 years after final tax liability is
determined.
(2) Property tax returns............. 2 years after final tax liability is
determined.
(3) Sales and other use taxes........ 2 years.
(4) Other taxes...................... 2 years after final tax liability is
determined.
(5) Agreements between associate 2 years after final tax liability is
companies as to allocation of determined.
consolidated income taxes.
(6) Schedule of allocation of 2 years after final tax liability is
consolidated Federal income taxes determined.
among associate companies.
(b) Filings with taxing authorities to 5 years after discontinuance of plan.
qualify employee benefit plans.
(c) Information returns and reports to 3 years after final tax liability is
taxing authorities. determined.
----------------------------------------------------------------------------------------------------------------
TREASURY
----------------------------------------------------------------------------------------------------------------
35.......................... Statements of funds and deposits:
(a) Statements of periodic deposits Retain records for the most recent 3
with fund administrators or trustees. years.
(b) Statements of periodic withdrawals Retain records for the most recent 3
from fund. years.
(c) Statements prepared by fund Retain records until the fund is
administrator or trustees of fund dissolved or terminated.
activity including:
(1) Beginning of the year fund
balance;
(2) Deposits with the fund;
(3) Acquisition of investments held
by the fund;
(4) Disposition of investments held
by the fund;
(5) Disbursements from the fund,
including party to whom disbursement
was made; and,
(6) End of year fund balance
36.......................... Records of deposits with banks and
others:
(a) Statements from depositories Destroy at option after completion of
showing the details of funds audit by independent accountants.
received, disbursed, transferred, and
balances on deposit.
(b) Check stubs, registers, or other 3 years.
records of checks issued.
37.......................... Records of receipts and disbursements: ........................................
(a) Daily or other periodic statements Destroy at option after completion of
of fund receipts or disbursements. annual audit by independent
accountants.
(b) Records or periodic statements of Destroy at option after completion of
outstanding vouchers, checks, drafts, annual audit by independent
etc., issued and not presented. accountants.
[[Page 1499]]
(c) Reports of associates showing Destroy at option after completion of
working fund transactions and annual audit by independent
summaries thereof. accountants.
(d) Reports of revenue collections by Destroy at option after completion of
field cashiers, pay stations, etc. annual audit by independent
accountants.
----------------------------------------------------------------------------------------------------------------
MISCELLANEOUS
----------------------------------------------------------------------------------------------------------------
38.......................... Statistics: Financial, operating, and 5 years.
statistical reports used for internal
administrative or operating purposes.
39.......................... Budgets and other forecasts (prepared 3 years.
for internal administrative or
operating purposes) of estimated future
income, receipts, and expenditures in
connection with financing, construction
and operations, including acquisitions
and disposals of properties or
investments.
40.......................... Records of predecessor companies........ Retain consistent with the requirements
for the same types of records of the
natural gas company.
41.......................... Reports to Federal and State regulatory 5 years.
commissions including annual financial,
operating, and statistical reports.
42.......................... Advertising: Copies of advertisements by 2 years.
or for the company on behalf of itself
or any associate company in newspapers,
magazines, and other publications,
including costs and other records
relevant thereto (excluding advertising
of appliances, employment
opportunities, routine notices, and
invitations for bids all of which may
be destroyed at option).
----------------------------------------------------------------------------------------------------------------
9. Part 356 is revised to read as follows:
PART 356--PRESERVATION OF RECORDS FOR OIL PIPELINE COMPANIES
Sec.
356.1 Promulgation
356.2 General instructions.
356.3 Preservation of records for oil pipeline companies.
Authority: 42 U.S.C. 7101-7352; 49 U.S.C. 1-27; E.O. 12009, 3
CFR 1978 Comp. p. 142.
Sec. 356.1 Promulgation.
This part is prescribed and promulgated as the regulations
governing the preservation of records by oil pipeline companies subject
to the jurisdiction of the Commission, to the extent and in the manner
set forth therein. This part is applicable as of the date the oil
pipeline company becomes subject to the jurisdiction of the Commission.
Sec. 356.2 General instructions.
(a) Scope of this part. (1) The regulations in this part apply to
all books of account and other records prepared by or on behalf of the
oil pipeline companies.
(2) The regulations in this part must not be construed as excusing
compliance with other lawful requirements of any other governmental
body, Federal or State, prescribing other record keeping requirements
or for preservation of records longer than those prescribed in this
part.
(3) To the extent that any Commission regulations may provide for a
different retention period, the records should be retained for the
longer of the retention periods.
(4) Unless otherwise specified in the schedule in Sec. 356.3,
duplicate copies of records may be destroyed at any time. Provided,
however, that such duplicate copies must not contain significant
information not shown on the originals.
(5) Records other than those listed in the schedule may be
destroyed at the option of the oil pipeline company. Provided, however,
that records which are used in lieu of those listed must be preserved
for the periods prescribed for the records used for substantially
similar purposes and that retention of records pertaining to added
services, functions, plant, etc., the establishment of which cannot be
presently foreseen, must conform to the principles embodied herein.
(6) Notwithstanding the provision of the records retention
schedule, the Commission may, upon request of the oil pipeline company,
authorize shorter retention periods for any records listed in
Sec. 356.3. The oil pipeline companies must show that the longer
retention periods are no longer necessary or appropriate to protect the
public interest, investors, or consumers. A waiver from any provision
of these regulations may be made by the Commission upon its own
initiative or upon submission of a written request by the company. Each
request for waiver must demonstrate that unusual circumstances warrant
a departure from prescribed retention periods, procedures, or
techniques, or that compliance with such prescribed requirements would
impose an unreasonable burden on the company.
(b) Designation of supervisory official. Each oil pipeline company
subject to the provision of this Part must designate one or more
persons to supervise the oil pipeline company's program for
preservation and authorized destruction of records.
(c) Protection and storage of records. Each oil pipeline company
subject to these regulations must provide reasonable protection for
records. The records must have protections from fire, floods, and other
hazards. Storage spaces, will also prevent unnecessary exposure to
deterioration from excessive humidity, dryness, or lack of proper
ventilation.
(d) Record storage media. (1) Each oil pipeline company has the
flexibility to select its own storage media.
(2) The storage media must have a life expectancy at least equal to
the applicable record retention period provided in Sec. 356.3 unless
there is a quality transfer from one media to another with no loss of
data.
(3) Each oil pipeline company is required to implement internal
control procedures that assure the reliability of and ready access to
data stored on machine readable media. Internal control procedures must
be documented by a responsible supervisory official.
(e) Destruction of records. Oil pipeline companies may use any
appropriate method to destroy permitted records.
(f) Premature destruction or loss of records. When records are
destroyed or lost before the expiration of the
[[Page 1500]]
prescribed period of retention, a certified statement listing, as far
as may be determined, the records destroyed, and describing the
circumstances of accidental or other premature destruction or loss must
be filed with the Commission within ninety (90) days from the date of
discovery of such destruction.
(g) Retention periods designated ``Destroy at option''. ``Destroy
at option'' constitutes authorization for destruction of records at
managements' discretion if it does not conflict with other legal
retention requirements or usefulness of such records in satisfying
pending regulatory action or directives.
(h) Records of services performed by associated companies. Oil
pipeline companies must assure the availability of records of services
performed by associated companies for the periods indicated in
Sec. 356.3 as necessary to be able to readily furnish detailed
information as to the nature of transaction, the involved, and the
accounts used to record the transactions.
(i) Index of records. Oil pipeline companies must arrange, file,
and index records so they may be readily identified and made available
to Commission representatives.
(j) Rate case. The schedule of records in Sec. 356.3 shows the
periods of time that designated records must be preserved. However, not
withstanding the minimum retention periods provided in this regulation,
if an oil pipeline company intends to reflect costs in a current,
pending, or future rate case, or if an oil pipeline company has
abandoned or retired plant subsequent to the test period of its last
rate case, it must retain the appropriate records to support the costs,
and adjustments proposed in the next or current rate case.
(k) Pending complaint litigation or governmental proceeding.
Notwithstanding the minimum requirements, if an oil pipeline company is
involved in pending litigation, complaint proceedings, proceedings
remanded by the court, or governmental proceedings, it must retain all
relevant records.
(l) Companies going out of business. The records referred to in
these regulations may be destroyed after business is discontinued and
the company is completely liquidated. The records may not be destroyed
until dissolution is final and all transactions are completed. When a
company is merged with another company under jurisdiction of the
Commission, the successor company must preserve records of the merged
company in accordance with this part.
(m) Life or mortality study data. Life or mortality study data for
depreciation purposes must be retained for 25 years or for 10 years
after plant is retired.
Sec. 356.3 Preservation of records for oil pipeline companies.
Table of Contents
Corporate and General
1. Incorporation and reorganization
2. Minutes to directors'
3. Titles, franchises, and authorities.
4. Contracts and agreements.
5. Accountant's, auditor's, and inspector's reports.
Treasury
6. Long-term debt records.
Financial Accounting
7. Ledgers.
8. Journals.
9. Vouchers.
10. Accounts receivable.
11. Records of accounting codes and instructions.
Property and Equipment
12. Property records.
13. Engineering records.
Personnel and Payroll
14. Payroll records.
15. Copies of returns and schedules.
16. Information returns.
Purchase and Stores
17. Material ledger.
18. Inventories.
Transportation
19. Oil and other products stocks.
Tariffs and Rates
20. Official file copies of tariffs.
21. Authorities and supporting papers for transportation.
22. Copies of concurrences and powers of attorney.
23. Correspondence and working papers in connection with the making
of rates.
Reports and Statistics
24. Reports to Federal Energy Regulatory Commission and other
regulatory bodies.
Schedule of Records and Periods of Retention
----------------------------------------------------------------------------------------------------------------
Item No. Description Retention period
----------------------------------------------------------------------------------------------------------------
CORPORATE AND GENERAL
----------------------------------------------------------------------------------------------------------------
1............... Incorporation and reorganization:
(a) Charter of certificate of incorporation Permanently or at termination of the
and amendments. corporation's existence.
(b) Legal documents related to mergers, Permanently or at termination of the
consolidations, reorganizations, corporation's existence
receiverships, and similar actions which
effect the identity or organization of the
company.
2............... Minutes to Directors', Executive Committees', 5 years.
Stockholders', and other corporate meetings.
3............... Titles, franchises, and authorities:
(a) Certificates of public convenience and Until expiration or cancellation.
necessity issued by regulating bodies.
(b) Operating authorizations and exemptions Until expiration or cancellation.
to operate issued by regulating bodies.
(c) Copies of formal orders of regulatory 1 year after expiration or cancellation.
bodies served upon the company.
(d) Deeds, charters, and other title papers. 3 years after disposition of property.
4............... Contracts and agreements:
(a) Contracts and related papers for 4 years after expiration, provided there is no
transactions which are subject to the pending litigation or governmental inquiry or
provisions of the Clayton Antitrust Act (15 proceeding involved.
USC 20).
(b) Service contracts, such as for 3 years after expiration or termination.
operational management, accounting,
financial or legal service, and agreements
with agents.
[[Page 1501]]
(c) Contracts and other agreements relating 3 years after expiration or termination.
to the construction, acquisition or sale of
real property and equipment except as
otherwise provided in (a) above.
5............... Accountant's, auditor's, and inspector's
reports:
(a) Certifications and reports of 3 years.
examinations and audits conducted by public
and certified public accountants.
(b) Reports of examinations and audits 3 years.
conducted by internal auditors, time
inspectors, weight inspectors, and others.
----------------------------------------------------------------------------------------------------------------
TREASURY
----------------------------------------------------------------------------------------------------------------
6............... Long-term debt records:
(a) Bond indentures, underwriting, mortgage, 6 years after redemption.
and other long-term credit agreements.
----------------------------------------------------------------------------------------------------------------
FINANCIAL ACCOUNTING
----------------------------------------------------------------------------------------------------------------
7............... Ledgers:
(a) General and subsidiary ledgers with 3 years.
indexes thereto.
(b) Balance sheets and trial balance sheets 3 years.
of general and subsidiary ledgers.
8............... Journals:
(a) General journals........................ 3 years.
(b) Subsidiary journals and any supporting 3 years.
data, except as otherwise provided for,
necessary to explain journal entries.
(c) Schedules of recurring or standard Until superseded.
journal entries with entry identifications.
9............... Vouchers:
(a) Voucher registers or equivalent........... 5 years.
(b) Paid and cancelled vouchers, expenditure 5 years.
authorizations, detailed distribution
sheets, and other supporting data including
original bills and invoices, except as
otherwise provided herein.
10.............. Accounts receivable, record, or register of 3 years after settlement.
accounts receivable.
11.............. Records of accounting codes and instructions.. 3 years after discontinuance.
----------------------------------------------------------------------------------------------------------------
PROPERTY AND EQUIPMENT
----------------------------------------------------------------------------------------------------------------
12.............. Property records:
(a) Records which maintain complete 3 years after disposition of property.
information on cost or other value of all
real property or equipment.
(b) Records and additions and betterments 3 years after disposition of property.
made to property and equipment.
(c) Records pertaining to retirements and 3 years after disposition of property.
replacements of property and equipment.
(d) Records pertaining to depreciation:.....
(1) When group method and depreciation 3 years after disposition of property.
rates are prescribed by the Commission.
(2) Other.................................. 3 years after disposition of property.
(e) Records of equipment number changes..... 3 years after disposition of property.
(f) Records of motor and engine changes..... Destroy at option.
(g) Files of detailed authorizations for 3 years after disposition of property.
expenditures, work or job orders showing
estimated costs of additions and
betterments, extensions, replacements,
major repairs and dismantlements, approved
by proper officials, together with
supporting data.
(h) Periodical inventories of property and 3 years after prior inventory.
equipment.
13.............. Engineering records:
(a) Plans and specifications................ 3 years after the disposition of the property.
(b) Estimates of work, engineering studies, 15 years.
construction bids, and similar data
pertaining to property changes actually
made.
----------------------------------------------------------------------------------------------------------------
PERSONNEL AND PAYROLL
----------------------------------------------------------------------------------------------------------------
14.............. Payroll records:
(a) Registers, abstracts, or summaries 3 years.
showing earnings, deductions, and amounts
paid to each employee by pay periods.
----------------------------------------------------------------------------------------------------------------
(b) Records showing the detailed 3 years.
distribution of salaries and wages to
various accounts.
----------------------------------------------------------------------------------------------------------------
[[Page 1502]]
TAXES
----------------------------------------------------------------------------------------------------------------
15.............. Copies of tax returns and supporting schedules
filed with taxing authorities, supporting
working papers, records of appeals of tax
bills, and receipts for payment. See
Subsection 9(b) for vouchers evidencing
disbursements:
(a) Income tax returns...................... 3 years after final tax liability is
determined.
(b) Property tax returns.................... 3 years after final tax liability is
determined.
(c) Sales and other use taxes............... 3 years final tax liability is determined.
(d) Other taxes............................. 3 years after final tax liability is
determined
(e) Agreements between associate companies 3 years after final tax liability is
as to allocation of consolidated income determined.
taxes.
(f) Schedule of allocation of consolidated 3 years after final tax liability is
Federal income taxes among associate determined.
companies.
16.............. Information returns and reports to taxing 3 years, or for the period of any extensions
authorities. granted for audits.
----------------------------------------------------------------------------------------------------------------
PURCHASE AND STORES
----------------------------------------------------------------------------------------------------------------
17.............. Material ledger, records of material and 2 years.
supplies on hand at all locations.
18.............. Inventories: General Inventories of material 2 years.
and supplies on hand, with record of
adjustments between accounts required to
bring stores records into agreement with
physical inventories.
----------------------------------------------------------------------------------------------------------------
TRANSPORTATION
----------------------------------------------------------------------------------------------------------------
19.............. Oil and other products stocks and movement
pipelines only:
(a) Records and receipts, deliveries, 3 years.
pumpings, stocks, and over and short.
(b) Run tickets showing quantities by tank 3 years.
measurement of meter reading of oil and
other products received into the delivered
from company's lines.
(c) Statements of oil and oil products 3 years.
consumed as fuel including quantity value,
and where consumed.
(d) Statement of oil and other products lost 3 years.
by line breaks and leaks including
quantity, value, and location of breaks and
leaks.
(e) Reports of power furnished by producers: 3 years.
monthly reports of the quantity of oil run
in connection with which power was
furnished by producers, and records of
payment for such power.
(f) Records of producers' property 3 years after disconnection.
identifying ownership and location for
producers' tanks or wells to which
carrier's lines are connected.
(g) Division or other periodical inventory 3 years.
reports of oil and other products on hand.
(h) Division orders: Directions received by 3 years after discontinuance.
carrier as to the division of interest and
to whose account transported oil should be
credited.
(i) Directions received by the carrier for 3 years after discontinuance.
the transfer of division order interests
from one interest owner to another.
(j) Transfer orders for the transfer of 3 years.
ownership of oil or other products in
carrier's custody.
----------------------------------------------------------------------------------------------------------------
TARIFFS AND RATES
----------------------------------------------------------------------------------------------------------------
20.............. Official file copies of tariffs, 3 years after expiration or cancellation.
classifications, division sheets, and
circulars relative to the transportation of
property.
21.............. Authorities and supporting papers for 3 years.
transportation of property for free or at
reduced rates.
22.............. Copies of concurrences and powers of attorney. 2 years after expiration or cancellation.
23.............. Correspondence and working papers in 2 years after cancellation of tariff.
connection with the making of rates and
compliance of tariffs, classifications,
division sheets, and circulars affecting the
transportation of property.
----------------------------------------------------------------------------------------------------------------
REPORTS AND STATISTICS
----------------------------------------------------------------------------------------------------------------
24.............. Reports to Federal Energy Regulatory 5 years.
Commission and other regulatory bodies,
annual financial, operating and statistical
reports, file copies, and supporting data.
----------------------------------------------------------------------------------------------------------------
[[Page 1503]]
Note: This Appendix Will Not Appear in The Code of Federal
Regulations
Appendix A--Current and Proposed Records Retention Requirements (18
CFR Part 125.3)
----------------------------------------------------------------------------------------------------------------
Current retention Proposed retention
Item No. Description period 18 CFR 125.3 period Summary of changes
----------------------------------------------------------------------------------------------------------------
CORPORATE AND GENERAL
----------------------------------------------------------------------------------------------------------------
1................ Reports to Retain until receipt 5 years............... Remove tie to FERC
stockholders: Annual of FERC audit report audit report and set
reports or statements or two years after fixed time period.
to stockholders. auditors' exit
conference, whichever
comes first.
2................ Organizational
documents:
(a) Minute books of 50 years or 5 years or termination Reduced by 45 years.
stockholders', termination of the of the corporation's
directors', and corporation's existence, whichever
directors' existence, whichever occurs first.
committee meetings. occurs first.
(b) Titles, 6 years after final 6 years after final No change.
franchises, and non-appealable order. non-appealable order.
licenses: Copies of
formal orders of
regulatory
commissions served
upon the utility.
3................ Contracts and
agreements (except
contracts provided
for elsewhere):
(a) Service 6 years after All contracts, related Reduced by 3 years.
contracts, such as expiration or memoranda and
for management, cancellation. See revisions should be
accounting and Sec. 125.2(j). retained for 3 years
financial services. after expiration or
until the conclusion
of any contract
disputes pertaining
to such contracts,
whichever is later.
(b) Contracts with 6 years after All contracts, related Reduced by 2 years.
other utilities for expiration or memoranda and
the purchase, sale cancellation. revisions should be
or interchange of retained for 4 years
product. after expiration or
until the conclusion
of any contract
disputes or
governmental
proceedings
pertaining to such
contracts, whichever
is later.
(c) Memoranda For the same periods For the same periods No change.
essential to as contracts to which as contracts to which
clarifying or they relate. they relate.
explaining
provisions of
contracts listed
above.
(d) Card or book For the same periods For the same periods No change.
records of as contracts to which as contracts to which
contracts, leases, they relate. they relate.
and agreements
made, showing dates
of expirations and
of renewals,
memoranda of
receipts and
payments under such
contracts.
4................ Accountants' and
auditors' reports:
(a) Reports of 7 years after date of 5 years after the date Reduced by 2 years.
examinations and report or Commission of the report.
audits by audit, whichever
accountants and comes last.
auditors not in the
regular employ of
the utility (such
as reports of
public accounting
firms and
commission
accountants).
(b) Internal audit 7 years after the date 5 years after the date Reduced by 2 years.
reports and work of the report. of the report.
papers.
----------------------------------------------------------------------------------------------------------------
[[Page 1504]]
AUTOMATIC DATA PROCESSING
----------------------------------------------------------------------------------------------------------------
5................ Automatic data Retain as long as it Retain as long as it No change.
processing records represents an active represents an active
(retain original viable program or for viable program or for
source data used as periods prescribed periods prescribed
input for data for related output for related output
processing and data data, whichever is data, whichever is
processing report shorter. shorter.
printouts for the
applicable periods
prescribed elsewhere
in the schedule:
Program documentation
and revisions thereto.
----------------------------------------------------------------------------------------------------------------
GENERAL ACCOUNTING RECORDS
----------------------------------------------------------------------------------------------------------------
6................ General and subsidiary
ledgers:
(a) Ledgers:
(1) General ledgers 50 years.............. 25 years.............. Reduced by 25 years.
(2) Ledgers 50 years.............. 25 years.............. Reduced by 25 years.
subsidiary or
auxiliary to
general ledgers
except ledgers
provided for
elsewhere.
(b) Indexes:
(1) Indexes to 50 years.............. 25 years.............. Reduced by 25 years.
general ledgers.
(2) Indexes to 50 years.............. 25 years.............. Reduced by 25 years.
subsidiary ledgers
except ledgers
provided for
elsewhere.
(c) Trial balance 2 years............... 2 years............... No change.
sheets of general
and subsidiary
ledgers.
7................ Journals: General and 50 years.............. 25 years.............. Reduced by 25 years.
subsidiary.
8................ Journal vouchers and
journal entries
including supporting
detail:
(a) Journal vouchers 50 years.............. 25 years.............. Reduced by 25 years.
and journal entries.
(b) Analyses,
summarization,
distributions, and
other computations
which support journal
vouchers and journal
entries:
(1) Charging plant 6 years. See Sec. 25 years.............. Reduced.
accounts. 125.2(j).
(2) Charging all 6 years............... 6 years............... No change.
other accounts.
9................ Cash books: General 10 years after close 5 years after close of Reduced by 5 years.
and subsidiary or of fiscal year. See fiscal year.
auxiliary books. subsection 12(a).
10............... Voucher registers: 6 years. See Sec. 5 years............... Reduced by 1 year.
Voucher registers or 125.2(j).
similar records when
used as a source
document.
11............... Vouchers:
(a) Paid and 6 years. See Sec. 5 years............... Reduced by 1 year.
canceled vouchers 125.2(j).
(1 copy--analysis
sheets showing
detailed
distribution of
charges on
individual vouchers
and other
supporting papers).
(b) Original bills 6 years. See Sec. 5 years............... Reduced by 1 year.
and invoices for 125.2(j).
materials,
services, etc.,
paid by vouchers.
(c) Paid checks and 6 years............... 5 years............... Reduced by 1 year.
receipts for
payments of
specific vouchers.
(d) Authorization 6 years. See Sec. 5 years............... Reduced by 1 year.
for the payment of 125.2(j).
specific vouchers.
(e) Lists of Destroy at option..... Destroy at option..... No change.
unaudited bills
(accounts payable),
list of vouchers
transmitted and
memoranda regarding
changes in audited
bills.
[[Page 1505]]
(f) Voucher indexes. Destroy at option..... Destroy at option..... No change.
----------------------------------------------------------------------------------------------------------------
INSURANCE
----------------------------------------------------------------------------------------------------------------
12............... Insurance records:
(a) Records of Destroy at option Destroy at option No change.
insurance policies after expiration of after expiration of
in force, showing such policies. such policies.
coverage, premiums
paid, and
expiration dates.
(b) Records of 6 years. See Sec. 6 years............... No change.
amounts recovered 125.2(j).
from insurance
companies in
connection with
losses and of
claims against
insurance
companies,
including reports
of losses and
supporting papers.
----------------------------------------------------------------------------------------------------------------
OPERATIONS AND MAINTENANCE
----------------------------------------------------------------------------------------------------------------
13.1............. Production--Electric
(less Nuclear):
(a) Boiler-tube 3 years............... 3 years............... No change.
failure report.
(b) Generation and 6 years............... 3 years............... Reduced by 3 years.
output logs with
supporting data.
(1) Hydro-electric. 25 years. See Sec. 25 years.............. No change.
125.2(j).
(2) Steam and 6 years. See Sec. 6 years............... No change.
others. 125.2(j).
(c) Generating high- 3 years............... 3 years............... No change.
tension and low-
tension load
records.
(d) Load curves, 3 years............... 3 years............... No change.
temperature logs,
coal, and water
logs.
(e) Gage-reading 2 years, except river 2 years, except river No change.
reports. flow data collected flow data collected
in connection with in connection with
hydro operation shall hydro operation shall
be retained for life be retained for life
of corporation. of corporation.
(f) Recording 1 year, except where 1 year, except where No change.
instrumentation the basic chart the basic chart
charts. information is information is
transferred to transferred to
another record, the another record, the
charts need only be charts need only be
retained 6 months retained 6 months
provided the record provided the record
containing the basic containing the basic
data is retained 1 data is retained 1
year. year.
13.2............. Production--Nuclear:
For informational
purposes, refer to
the document
retention
requirements of the
Nuclear Regulatory
Commission
14............... Transmission and
distribution--Electri
c:
(a) Substation and 3 years............... 3 years............... No change.
transmission line
logs.
(b) System 3 years............... 3 years............... No change.
operator's daily
logs and reports of
operation.
(c) Transformer For life of For life of No change.
history records. transformer. transformer.
(d) Records of Destroy at option..... Destroy at option..... No change.
transformer
inspections, oil
tests, etc..
15............... Maintenance work
orders and job
orders:
(a) Authorizations 6 years............... 5 years............... Reduced by 1 year.
for expenditures
for maintenance
work to be covered
by work orders,
including memoranda
showing the
estimates of costs
to be incurred.
[[Page 1506]]
(b) Work order 6 years............... 5 years............... Reduced by 1 year.
sheets to which are
posted in detail
the entries for
labor, material,
and other charges
in connection with
maintenance, and
other work
pertaining to
utility operations.
(c) Summaries of 6 years............... 5 years............... Reduced by 1 year.
expenditures on
maintenance and job
orders and
clearances to
operating other
accounts (exclusive
of plant accounts).
----------------------------------------------------------------------------------------------------------------
PLANT AND DEPRECIATION
----------------------------------------------------------------------------------------------------------------
16............... Plant ledgers:
(a) Ledgers of 50 years.............. 25 years.............. Reduced by 25 years.
utility plant
accounts including
land and other
detailed ledgers
showing the cost of
utility plant by
classes.
(b) Continuing plant 6 years after plant is 25 years.............. Reduced.
inventory ledger, retired, provided
book or card mortality data are
records showing retained. See Note 5.
description,
location,
quantities, cost,
etc., of physical
units (or items) of
utility plant owned.
17............... Construction work in
progress ledgers,
work orders, and
supplemental records:
(a) Construction 10 years after 5 years after Reduced by 5 years.
work in progress clearance to the clearance to plant
ledgers. plant account, account, provided
provided continuing continuing plant
plant inventory inventory records are
records are maintained; otherwise
maintained; otherwise 5 years after plant
6 years after plant is retired.
is retired.
(b) Work orders 10 years after 5 years after Reduced by 5 years.
sheets to which are clearance to the clearance to plant
posted in summary plant account, account, provided
form or in detail provided continuing continuing plant
the entries for plant inventory inventory records are
labor, materials, records are maintained; otherwise
and other charges maintained; otherwise 5 years after plant
for utility plant 6 years after plant is retired.
additions and the is retired.
entries closing the
work orders to
utility plant in
service at
completion.
(c) Authorizations 10 years.............. 5 years after Reduced by 5 years.
for expenditures clearance to plant
for additions to account except where
utility plant, there are ongoing
including memoranda Commission
showing the proceedings.
detailed estimates
of cost and the
bases therefor
(including original
and revised or
subsequent
authorizations).
(d) Requisitions and 10 years.............. 5 years after Reduced by 5 years.
registers of clearance to plant
authorizations for account except where
utility plant there are ongoing
expenditures. Commission
proceedings.
(e) Completion or 10 years.............. 5 years after Reduced by 5 years.
performance reports clearance to plant
showing comparison account except where
between authorized there are ongoing
estimates and Commission
actual expenditures proceedings.
for utility plant
additions.
(f) Analysis or cost 10 years after 5 years after Reduced by 5 years.
reports showing clearance to the clearance to plant
quantities of plant account, account except where
materials used, provided continuing there are ongoing
unit costs, number property plant Commission
of man-hours etc., inventory records are proceedings.
in connection with maintained; otherwise
completed 6 years after plant
construction is retired.
project.
[[Page 1507]]
(g) Records and Destroy at option..... Destroy at option..... No change.
reports pertaining
to progress of
construction work,
the order in which
jobs are to be
completed, and
similar records
which do not form a
basis of entries to
the accounts.
18............... Retirement work in
progress ledgers,
work orders, and
supplemental records:
(a) Work order 10 years after plant 5 years after plant is Reduced by 5 years.
sheets to which are is retired. See Note retired.
posted the entries 5.
for removal costs,
materials
recovered, and
credits to utility
plant accounts for
cost of plant
retirement.
(b) Authorizations 10 years after 5 years after plant is Reduced by 5 years.
for retirement of clearance to the retired.
utility plant, plant account,
including memoranda provided continuing
showing the basis plant inventory
for determination records are
of be retired and maintained; otherwise
estimates of 6 years after plant
salvage and removal is retired. See Note
costs. 5.
(c) Registers of 10 years.............. 5 years............... Reduced by 5 years.
retirement work.
19............... Summary sheets, 10 years after 5 years............... Reduced by 5 years.
distribution sheets, clearance to the
reports, statements plant account,
and papers directly provided continuing
supporting debits and plant inventory
credits to utility records are
plant accounts not maintained; otherwise
covered by 6 years after plant
construction or is retired.
retirement work
orders and their
supporting records
20............... Appraisals and
valuations:
(a) Appraisals and 3 years after 3 years after Replaces previous
valuations made by disposition, appraisal. text. No substantive
the company of its termination of lease, change.
properties or or write off of
investments or the property or
properties or investment.
investments of any
associated
companies.
(Includes all
records essential
thereto.)
(b) Determinations Requirement added.
of amounts by which
properties or
investments of the
company or any of
its associated
companies will be
either written up
or written down as
a result of:
(1) Mergers or 10 years after Requirement added.
acquisitions. completion of
transaction or as
ordered by the FERC.
(2) Asset 10 years after Requirement added.
impairments. recognition of asset
impairment.
(3) Other bases.... 10 years after the Requirement added.
asset was written up
or down.
21............... The original or
reproduction of
engineering records,
drawings and other
supporting data for
proposed as-
constructed utility
facilities:
(a) Maps, diagrams, Retain until retired.. Requirement added.
profiles,
photographs, field
survey notes, plot
plan, detail
drawings, records
of engineering
studies and similar
records showing the
location of
proposed or as
constructed
facilities:
[[Page 1508]]
(b) If construction Retain until receipt Deleted............... Deleted.
of facility results of FERC audit report
wholly, or in part. or two years after
auditor's exit
conference, whichever
occurs first. See
Note 5. See Sec.
125.2(j).
22............... Contracts relating to
utility records:
(a) Contracts 6 years after plant is 6 years after plant is No change.
relating to retired. retired or sold.
acquisition or sale
of plant.
(b) Contracts and 6 years. See Sec. 6 years after plant is No change.
other agreements 125.2(j). retired or sold.
relating to
services performed
in connection with
construction of
utility plant
(including
contracts for the
construction of
plant by others for
the utility and for
supervision and
engineering
relating to
construction work)..
23............... Records pertaining to 6 years See Sec. 6 years............... No change.
reclassification of 125.2(j).
utility plant
accounts to conform
to prescribed systems
of accounts including
supporting papers
showing the bases for
such
reclassifications.
24............... Records of accumulated
provisions for
depreciation and
depletion of utility
plant and supporting
computation of
expense:.
(a) Detailed records 25 years.............. 25 years.............. No change.
or analysis sheets
segregating the
accumulated
depreciation
according to
functional
classification of
plant.
(b) Records 25 years. See Note 5.. 25 years.............. No change.
reflecting the
service life of
property and the
percentage of
salvage and cost of
removal for
property retired
from each account
for depreciable
utility plant.
----------------------------------------------------------------------------------------------------------------
PURCHASES AND STORES
----------------------------------------------------------------------------------------------------------------
25............... Procurement:
(a) Agreements
entered into for
the acquisition of
goods or the
performance of
services. Includes
all forms of
agreements not
specifically set
for in Subsection 7
such as but not
limited to: Letters
of intent, exchange
of correspondence,
master agreements,
term contracts,
rental agreements
and the various
types of purchase
orders:.
(1) For goods or 6 years. See Sec. 6 years............... No change.
services relating 125.2(j).
to plant
construction..
(2) For other goods 6 years............... 6 years............... No change.
or services..
[[Page 1509]]
(b) Supporting 6 years. See Sec. 6 years............... No change.
documents including 125.2(j).
accepted and
unaccepted bids or
proposals
(summaries of
unaccepted bids or
proposals may be
kept in lieu of
originals)
evidencing all
relevant elements
of the procurement.
26............... Material ledgers: Retain until receipt 6 years after the date Removed tie to FERC
Ledger sheets of of FERC audit report the records/ledgers audit report and set
materials and or two years after were created. fixed time period.
supplies received, auditors' exit
issued, and on hand.. conference, whichever
occurs first.
27............... Materials and supplies 6 years See Sec. 6 years............... No change.
received and issued: 125.2(j).
Records showing the
detailed distribution
of materials and
supplies issued
during accounting
periods.
28............... Records of sales of
scrap and materials
and supplies:.
(a) Authorization 3 years............... 3 years............... No change.
for sale of scrap
and materials and
supplies.
(b) Contracts for 3 years............... 3 years............... No change.
sale of scrap a
materials and
supplies.
----------------------------------------------------------------------------------------------------------------
REVENUE ACCOUNTING AND COLLECTION
----------------------------------------------------------------------------------------------------------------
29............... Customers' service Retain until receipt 4 years after Removed tie to FERC
applications and of FERC audit report expiration. audit report and set
contracts: Contracts or two years after fixed time period.
for extensions of auditors' exit
service for which conference, whichever
contributions are occurs first.
made by customers and
others.
30............... Rate schedules: Retain until receipt 6 years after Removed tie to FERC
General files of of FERC audit report published rate sheets audit report and set
published rate sheets or two years after and schedules are fixed time period.
and schedules of auditors' exit superseded or no
utility service. conference, whichever longer used to charge
(Including schedules occurs first. for utility service.
suspended or
superseded.).
31............... Maximum demand, and 1 year, except where 1 year, except where No change.
demand meter record the basic chart the basic chart
cards. information is information is
transferred to transferred to
another record the another record the
charts need only be charts need only be
retained 6 months, retained 6 months,
provided the basic provided the basic
data is retained 1 data is retained 1
year. year.
32............... Miscellaneous billing Destroy at option..... Destroy at option..... No change.
data: Billing
department's copies
of contracts with
customers (in
addition to contracts
in general files).
33............... Revenue summaries:
(a) Summaries of 6 years............... 5 years............... Reduced by 1 year.
monthly operating
revenues according
to classes of
service by entire
utility.
(b) Summaries of 6 years............... Deleted............... Deleted.
monthly operating
revenues according
to classes of
service by towns,
districts, or
divisions
(Including
summaries of
forfeited discounts
and penalties).
----------------------------------------------------------------------------------------------------------------
TAX
----------------------------------------------------------------------------------------------------------------
34............... Tax records:
[[Page 1510]]
(a) Copies of returns
and schedules filed
with taxing
authorities,
supporting work
papers, records of
appeals tax bills and
receipts for payment
(See Subsection 15(b)
for vouchers
evidencing
disbursements):
(1) Income tax 7 years after 2 years after final Reduced by 5 years.
returns. settlement. tax liability is
determined.
(2) Property tax 2 years after 2 years after final No change.
returns. settlement. tax liability is
determined.
(3) Sales and other 3 years............... 2 years............... Reduced by 1 year.
use taxes.
(4) Other taxes.... 2 years after 2 years after final No change.
settlement. tax liability is
determined.
(5) Agreements 7 years after 2 years after final Reduced by 5 years.
between associate settlement. tax liability is Renumbered (b).
companies as to determined.
allocation of
consolidated
income taxes.
(6) Schedule of 7 years after 2 years after final Reduced by 5 years.
allocation of settlement. tax liability is Renumbered (c).
consolidated determined.
Federal income
taxes among
associate
companies.
(b) Summaries of Destroy at option..... Deleted............... Deleted.
taxes paid.
(c) Filings with 7 years after 5 years after Reduced by 2 years.
taxing authorities settlement of Federal settlement of Federal
to qualify employee return or return or
benefit plans. discontinuance of discontinuance of
plan, whichever is plan, whichever is
later. later.
(d) Information 3 years, or for the 3 years, or for the No change.
returns and reports period of any period of any
to taxing extensions granted extensions granted
authorities. for audit. for audit.
----------------------------------------------------------------------------------------------------------------
TREASURY
----------------------------------------------------------------------------------------------------------------
35............... Statements of funds Replacement for Item For nuclear
and deposits: 58 currently decommissioning
contained in 18 CFR funds, retain records
Sec. 125.3. for all items listed
for a period of 3
years after
completion of final
decommissioning of
facilities.
If amortization funds Replaces previous
related to licensed text. Substantive
projects are changes made.
maintained, retain
until the Commission
makes a final
determination of the
disposition of
amortization reserves.
(a) Statements of Retain records for the Requirement added.
periodic deposits most recent 3
with fund calendar years.
administrators or
trustees.
(b) Statements of Retain records for the Requirement added.
periodic most recent 3
withdrawals from calendar years.
fund.
(c) Statements Retain records until Requirement added.
prepared by fund the fund is dissolved
administrator or or terminated.
trustees of fund
activity including:
(1) Beginning of
the year balance
of fund;
(2) Deposits with
the fund;
(3) Acquisition of
investments held
by the fund;
(4) Disposition of
investments held
by the fund;
(5) Disbursements
from the fund,
including party to
whom disbursement
was made; and
(6) End of year
balance of fund.
36............... Records of deposits
with banks and
others:.
(a) Statements from Destroy at option Destroy at option No change.
depositories after completion after completion of
showing the details annual audit by audit by independent
of funds received, independent accountants.
disbursed, accountants.
transferred, and
balances on deposit.
[[Page 1511]]
(b) Check stubs, 6 years............... 3 years............... Reduced by 3 years.
registers, or other
records of checks
issued.
----------------------------------------------------------------------------------------------------------------
MISCELLANEOUS
----------------------------------------------------------------------------------------------------------------
37............... Reserve
38............... Statistics:
(a) Annual 10 years after date of 3 years............... Reduced by 7 years
financial, report. and text rewritten.
operating and
statistical reports
regularly prepared
in the course of
business for
internal
administrative or
operating purposes
(and not used for
the basis for
entries to accounts
of the companies
concerned) to show
the results of
operations and the
financial condition
of the utility.
(b) Quarterly, 2 years after date of Deleted............... Deleted.
monthly or other report.
periodic financial,
operating and other
statistical reports
as above.
39............... Budgets and other 3 years............... 3 years............... Text rewritten.
forecasts (Prepared
for internal
administrative or
operating purposes)
of estimated future
income, receipts and
expenditures in
connection with
financing,
construction and
operations and
acquisitions or
disposals of
properties or
investments by the
company and its
associate companies,
including revisions
of such estimates and
memoranda showing
reasons for
revisions; also
records showing
comparison of actual
income and receipts
and expenditures with
estimates.
40............... Records of Retain until the Retain consistent with Text rewritten.
predecessors and records of utility the requirements for
former associates. plant acquired have the same types of
been integrated with records of the
the utility's plant utility.
records and the
original cost of the
acquired plant is
adequately supported
by cost details and
until it is
ascertained that such
records are not
necessary to
fulfillment of any
unsatisfied
regulatory
requirement, such as:
(a) Approval and
recording of
accounting
adjustments resulting
from reclassification
and original cost
studies and
acceptance of
property acquisition
journal entries, (b)
cost depreciation and
amortization reserve
determinations for
licensed projects,
(c) establishment of
continuing plant
inventory records or
accounting evidence
of the cost of long-
lived property in the
absence of such
continuing plant
inventory records.
41............... Reports to Federal and
State regulatory
commissions:
[[Page 1512]]
(a) Annual
financial,
operating and
statistical
reports:
(1) Federal Retain until receipt 5 years............... Removed tie to FERC
agencies. of FERC audit report audit report and set
or two years after fixed time period.
auditors' exit Text combined.
conference which ever
occurs first.
(2) State Retain as long as the Text combined......... Text combined.
commissions. active tariffs or
rates are in effect.
(b) Special or
periodic reports on
the following
subjects:
(1) Transactions 6 years............... Deleted............... Deleted.
with associated
companies.
(2) Budgets of 3 years............... Deleted............... Deleted.
expenditures.
(3) Employees and 5 years............... Deleted............... Deleted.
wages.
(4) Loans to 3 years after fully Deleted............... Deleted.
officers and paid.
employees.
(5) Issues of Data filed with SEC Deleted............... Deleted.
securities. retain 25 years or
until all securities
covered are retired
whichever is shorter;
other reports retain
until securities
covered are retired.
(6) Purchases and 10 years after plant Deleted............... Deleted.
sales, utility is retired. See Sec.
properties. 125.2(j).
(7) Plant changes-- 10 years after plant Deleted............... Deleted.
units added and is retired. See Sec.
retired. 125.2(j).
(c) Cost of service 5 years............... Deleted............... Deleted.
reports filed
under section 133
of the Public
Utility Regulatory
Policies Act
(PURPA). (See 18
CFR Part 290.).
42............... Other miscellaneous 6 years............... 2 years............... Reduced by 4 years.
records: Copies of Description title
advertisements by the changed. Text
company in behalf of rewritten.
itself or any
associate company in
newspapers, magazines
and other
publications
including records
thereof (excluding
advertising of
product, appliances,
employment
opportunities,
services, territory,
routine notices and
invitations for bids
for securities all of
which may be
destroyed at option).
----------------------------------------------------------------------------------------------------------------
Note: This Appendix Will Not Appear in The Code of Federal
Regulations
Appendix B--Current and Proposed Records Retention Requirements (18
CFR Part 225.3)
----------------------------------------------------------------------------------------------------------------
Retention period 18 Proposed retention
Item no. Description CFR 225.3 period Summary of changes
----------------------------------------------------------------------------------------------------------------
CORPORATE AND GENERAL
----------------------------------------------------------------------------------------------------------------
1................ Reports to Retain until receipt 5 years............... Removed tie to FERC
stockholders: Annual of FERC audit report audit report and set
reports or statements or two years after fixed time period
to stockholders. auditors' exit
conference, whichever
comes first.
2................ Organizational
documents:
(a) Minute books of 50 years or 5 years or termination Reduced by 45 years.
stockholders', termination of the of the corporation's
directors', and corporation's existence, whichever
directors' existence, whichever occurs first.
committee meetings. occurs first.
[[Page 1513]]
(b) Titles, 6 years after final 6 years after final No change.
franchises, and non-appealable order. non-appealable order.
licenses: Copies of
formal orders of
regulatory
commissions served
upon the natural
gas company.
3................ Contracts and
agreements (except
contracts provided
for elsewhere):
(a) Service 6 years after 6 years............... No change.
contracts, such as expiration or
for management, cancellation. See
accounting and Sec. 225.2(j).
financial services.
(b) Contracts with 6 years after All contracts, related Reduced by 2 years.
other expiration or memoranda, and
transportation or cancellation. revisions should be
for the purchase, retained for 4 years
sale or interchange after expiration or
of product. until the conclusions
of any contract
disputes or
governmental
proceedings
pertaining to such
contracts, whichever
is later.
(c) Memoranda For the same periods For the same periods No change.
essential to as contracts to which as contracts to which
clarifying or they relate. they relate.
explaining
provisions of
contracts listed
above.
(d) Card or book For the same periods For the same periods No change.
records of as contracts to which as contracts to which
contracts, leases, they relate. they relate.
and agreements made
that show dates of
expirations,
renewals, memoranda
of receipts, and
payments under such
contracts.
4................ Accountants' and
auditors' reports:
(a) Reports of 7 years after date of 5 years after the date Reduced by 2 years.
examinations and report or Commission of the report.
audits by audit, whichever
accountants and comes last.
auditors not in the
regular employ of
the natural gas
company (such as
reports of public
accounting firms
and Commission
accountants).
(b) Internal audit 7 years after date of 5 years after the date Reduced by 2 years.
reports and working report or Commission of the report.
papers. audit, whichever
comes last.
----------------------------------------------------------------------------------------------------------------
INFORMATION TECHNOLOGY MANAGEMENT
----------------------------------------------------------------------------------------------------------------
5................ Automatic data Retain as long as it Retain as long as it No change.
processing records represents an active represents an active
(retain original viable program or for viable program or for
source data used as periods prescribed periods prescribed
input for data for related output for related output
processing and data data, whichever is data, whichever is
processing report shorter. shorter.
printouts for the
applicable periods
prescribed elsewhere
in the schedule:
Program documentation
and revisions thereto.
----------------------------------------------------------------------------------------------------------------
GENERAL ACCOUNTING RECORDS
----------------------------------------------------------------------------------------------------------------
6................ General and subsidiary
ledgers:
(a) Ledgers:
(1) General ledgers 50 years.............. 25 years.............. Reduced by 25 years.
(2) Ledgers 50 years.............. 25 years.............. Reduced by 25 years.
subsidiary or
auxiliary to
general ledgers
except ledgers
provided for
elsewhere.
(b) Indexes:
(1) Indexes to 50 years.............. 25 years.............. Reduced by 25 years.
general ledgers.
(2) Indexes to 50 years.............. 25 years.............. Reduced by 25 years.
subsidiary ledgers
except ledgers
provided for
elsewhere.
[[Page 1514]]
(c) Trial balance 2 years............... 2 years............... No change.
sheets of general
and subsidiary
ledgers.
7................ Journals: General and 50 years.............. 25 years.............. Reduced by 25 years.
subsidiary.
8................ Journal vouchers and
journal entries
including supporting
detail:.
(a) Journal vouchers 50 years.............. 25 years.............. Reduced by 25 years.
and journal entries.
(b) Analyses,
summarizations,
distributions, and
other computations
which support
journal vouchers
and journal
entries:
(1) Charging plant 6 years. See Sec. 25 years.............. Reduced.
accounts. 225.2(j).
(2) Charging all 6 years............... 6 years............... No change.
other accounts.
9................ Cash books: General 10 years after close 5 years after close of Reduced by 5 years.
and subsidiary or of fiscal year. See fiscal year.
auxiliary books. subsection 12(a).
10............... Voucher registers: 6 years. See Sec. 5 years............... Reduced by 1 year.
Voucher registers or 225.2(j).
similar records when
used as a source
document.
11............... Vouchers:
(a) Paid and 6 years. See Sec. 5 years............... Reduced by 1 year.
cancelled vouchers 225.2(j).
(1 copy--analysis
sheets showing
detailed
distribution of
charges on
individual vouchers
and other
supporting papers).
(b) Original bills 6 years. See Sec. 5 years............... Reduced by 1 year.
and invoices for 225.2(j).
materials,
services, etc.,
paid by vouchers.
(c) Paid checks and 6 years............... 5 years............... Reduced by 1 year.
receipts for
payments of
specific vouchers.
(d) Authorization 6 years. See Sec. 5 years............... Reduced by 1 year.
for the payment of 225.2(j).
specific vouchers.
(e) Lists of Destroy at option..... Destroy at option..... No change.
unaudited bills
(accounts payable),
list of vouchers
transmitted, and
memoranda regarding
changes in audited
bills.
(f) Voucher indexes. Destroy at option..... Destroy at option..... No change.
----------------------------------------------------------------------------------------------------------------
INSURANCE
----------------------------------------------------------------------------------------------------------------
12............... Insurance records:
(a) Records of Destroy at option Destroy at option
insurance policies after expiration of after expiration. No
in force, showing such policies. change..
coverage, premiums
paid, and
expiration dates.
(b) Records of 6 years. See Sec. 6 years............... No change.
amounts recovered 225.2(j).
from insurance
companies in
connection with
losses and of
claims against
insurance
companies,
including reports
of losses and
supporting papers.
----------------------------------------------------------------------------------------------------------------
OPERATIONS AND MAINTENANCE
----------------------------------------------------------------------------------------------------------------
13............... Production--Gas:
(a) Gas generation 6 years............... Deleted............... Deleted.
and output logs
with supporting
data.
[[Page 1515]]
(b) Recording 1 year, except where If the measurement Reduced by 5 months.
instrument charts the basic chart data have not been
such as pressure information is disputed or adjusted,
(static and/or transferred to destroy after 7
differential), another record, the months.
temperature charts need only be
specific gravity, retained 6 months
heating value, etc. provided the record
containing the basic
data is retained one
year.
(c) Test of heating 6 years............... If the measurement Reduced by 5 years
value at stations data have not been and 5 months.
and outlying points. disputed or adjusted,
destroy after 7
months.
(d) Records of gas 1 year, except where If the measurement Reduced by 5 months.
produced, out, and the basic chart data have not been
holder stock. information is disputed or adjusted,
transferred to destroy after 7
another record, the months.
charts need only be
retained 6 months
provided the record
containing the basic
date is retained one
year.
(e) Analysis of (gas 1 year, except where If the measurement Reduced by 5 months.
produced) B.T.U. the basic chart data have not been
and sulphur content. information is disputed or adjusted,
transferred to destroy after 7
another record, the months.
charts need only be
retained 6 months
provided the record
containing the basic
data is retained one
year.
(f) Well records, 1 year after field or If the measurement Reduced by 5 months.
including clearing, relevant production data have not been
bailing, shooting area abandoned. disputed or adjusted,
etc., records; rock destroy after 7
pressure; open months.
flow; production,
gas analysts'
reports etc.
(g) Gas measuring 1 year, except where If the measurement Reduced by 5 months.
records. the basic chart data have not been
information is disputed or adjusted,
transferred to destroy after 7
another record, the months.
charts need only be
retained 6 months
provided the record
containing the basic
data is retained one
year.
14............... Transmission and
distribution--Gas:
(a) Substation and 3 years............... If the measurement Reduced by 2 years
transmission line data have not been and 5 months.
logs. disputed or adjusted,
destroy after 7
months.
(b) System 3 years............... If the measurement Reduced by 2 years
operator's daily data have not been and 5 months.
logs and reports of disputed or adjusted,
operation. destroy after 7
months.
(c) Gas measuring 1 year................ If the measurement Reduced by 5 months.
records. data have not been
disputed or adjusted,
destroy after 7
months.
(d) Transmission 3 years............... If the measurement Reduced by 2 years
line operating data have not been and 5 months.
reports. disputed or adjusted,
destroy after 7
months.
(e) Compression 3 years............... If the measurement Reduced by 2 years
operation and data have not been and 5 months.
reports. disputed or adjusted,
destroy after 7
months.
(f) Recording 1 year, except where If the measurement Reduced by 5 months.
instrument charts the basic chart data have not been
such as pressure information is disputed or adjusted,
(static and/or transferred to destroy after 7
differential), another record, the months.
temperature charts need only be
specific heating retained 6 months
value, etc. provided the record
containing the basic
data is retained one
year.
14.1............. Underground storage of
natural gas:
[[Page 1516]]
(a) Well records, 1 year after 1 year after No change.
reports and logs reservoir, field, or reservoir, field, or
which includes data relevant storage area relevant storage area
relating to is abandoned. is abandoned.
pressures, injected
volumes, withdrawn
volumes, core
analysis, daily
volumes of gas
injected into and
withdrawn from
reservoir, and
cushion and working
gas volumes for
each reservoir.
(b) Records 1 year after 1 year after No change.
containing reservoir, field, or reservoir, field, or
information relevant storage area relevant storage area
relating to is abandoned. is abandoned.
reservoir gas
leakage, showing
the total gas
leakage and
recycled gas.
(c) Records on back 1 year or until 1 year or until No change.
pressure tests superseded. superseded.
field data.
(d) Records on back 1 year or until 1 year or until No change.
pressure test superseded. superseded.
results, gas
analysis.
15............... Maintenance work
orders and job
orders:
(a) Authorizations 6 years............... 5 years............... Reduced by 1 year.
for expenditures
for maintenance
work to be covered
by work orders,
including memoranda
showing the
estimates of costs
to be incurred.
(b) Work order 6 years............... 5 years............... Reduced by 1 year.
sheets to which are
posted in detail
the entries for
labor, material,
and other charges
in connection with
maintenance, and
other work
pertaining to
natural gas company
operations.
(c) Summaries of 6 years............... 5 years............... Reduced by 1 year.
expenditures on
maintenance and job
orders and
clearances to
operating other
accounts (exclusive
of plant accounts).
----------------------------------------------------------------------------------------------------------------
PLANT AND DEPRECIATION
----------------------------------------------------------------------------------------------------------------
16............... Plant ledgers:
(a) Ledgers of 50 years.............. 25 years.............. Reduced by 25 years.
natural gas
company's plant
accounts including
land and other
detailed ledgers
showing the cost of
plant by classes.
(b) Continuing plant 6 years after plant is 25 years.............. Reduced.
inventory ledger, retired, provided
book or card mortality data are
records showing retained. See Note 1.
description,
location,
quantities, cost,
etc., of physical
units (or items) of
natural gas plant
owned.
17............... Construction work in
progress ledgers:
(a) Construction 10 years after 5 years after Reduced by 5 years.
work in progress clearance to the clearance to the
ledgers. plant account, plant account,
provided continuing provided continuing
plant inventory plant inventory
records are records are
maintained; otherwise maintained; otherwise
6 years after plant 5 years after plant
is retired. is retired.
[[Page 1517]]
(b) Work order 10 years after 5 years after Reduced by 5 years.
sheets to which are clearance to the clearance to the
posted in summary plant account, plant account,
form or in detail provided continuing provided continuing
the entries for plant inventory plant inventory
labor, materials, records are records are
and other charges maintained; otherwise maintained; otherwise
for natural gas 6 years after plant 5 years after plant
company's plant is retired. is retired.
additions and the
entries closing the
work orders to
natural gas company
plant in service at
completion.
(c) Authorizations 10 years.............. 5 years after Reduced by 5 years.
for expenditures clearance to the
for additions to plant account,
natural gas company provided continuing
plant, including plant inventory
memoranda showing records are
the detailed maintained; otherwise
estimates of cost 5 years after plant
and the bases is retired.
therefor (including
original and
revised or
subsequent
authorizations).
(d) Requisitions and 10 years.............. 5 years after Reduced by 5 years.
registers of clearance to the
authorizations for plant account,
natural gas company provided continuing
plant expenditures. plant inventory
records are
maintained; otherwise
5 years after plant
is retired.
(e) Completion or 10 years.............. 5 years after Reduced by 5 years.
performance reports clearance to the
showing comparison plant account,
between authorized provided continuing
estimates and plant inventory
actual expenditures records are
for natural gas maintained; otherwise
company plant 5 years after plant
additions. is retired.
(f) Analysis or cost 10 years after 5 years after Reduced by 5 years.
reports showing clearance to the clearance to the
quantities of plant, provided plant account,
materials used, continuing project provided continuing
unit costs, number plant inventory plant inventory
of man-hours etc., records are records are
in connection with maintained; otherwise maintained; otherwise
completed 6 years after plant 5 years after plant
construction is retired. is retired.
project.
(g) Records and Destroy at option..... Destroy at option..... No change.
reports pertaining
to progress of
construction work,
the order in which
jobs are to be
completed, and
similar records
which do not form a
basis of entries to
the accounts.
(h) Well-drilling 1 year after field or 1 year after field or No change.
logs and well well is abandoned. well is abandoned.
construction
records.
18............... Retirement work in
progress ledgers,
work orders, and
supplemental records:
(a) Work order 10 years after plant 5 years after plant is Reduced by 5 years.
sheets to which are is retired. See Note retired.
posted the entries 1.
for removal costs,
materials
recovered, and
credits to natural
gas company plant
accounts for cost
of plant retirement.
(b) Authorizations 10 years after 5 years after plant is Reduced by 1 year.
for retirement of clearance to the retired.
natural gas company plant account,
plant, including provided continuing
memoranda showing plant inventory
the basis for records are
determination of maintained; otherwise
cost of plant to be 6 years after plant
retired and is retired. See Note
estimates of 5.
salvage and removal
costs.
(c) Registers of 10 years.............. 5 years............... Reduced by 5 years.
retirement work.
[[Page 1518]]
19............... Summary sheets, 10 years after 5 years............... Reduced by 5 years.
distribution sheets, clearance to the
reports, statements plant account,
and papers directly provided continuing
supporting debits and plant inventory
credits to utility records are
plant accounts not maintained; otherwise
covered by 6 years after plant
construction or is retired.
retirement work
orders and their
supporting records.
20............... Appraisals and
valuations:
(a) Appraisals and 3 years after 3 years after Replaces previous
valuations made by disposition, appraisal. text. No substantive
the company of its termination of lease, change.
properties or or write off of
investments or the property or
properties or investment.
investments of any
associated
companies. Includes
all records
essential thereto.
(b) Determinations
of amounts by which
properties or
investments of the
company or any of
its associated
companies will be
either written up
or written down as
a result of:.
(1) Mergers or 10 years after Requirement added.
acquisitions. completion of
transaction or as
ordered by the
Commission.
(2) Asset 10 years after Requirement added.
impairments. recognition of asset
impairment.
(3) Other bases.... 10 years after the Requirement added.
asset was written up
or down.
21............... The original or
reproduction of
engineering records,
drawings and other
supporting data for
proposed as-
constructed utility
facilities:.
(a) Maps, diagrams, Retained until retired Requirement added.
profiles, or abandoned.
photographs, field
survey notes, plot
plan, detail
drawings, records
of engineering
studies and similar
records showing the
location of
proposed or as-
constructed
facilities.
(b) If construction Retain until receipt Deleted............... Deleted.
of facility results of FERC audit report
wholly, or in part. or two years after
auditor's exit
conference, whichever
occurs first.
22............... Contracts relating
to utility records:.
(a) Contracts 6 years after plant is 6 years after plant is No change.
relating to retired. retired or sold.
acquisition or sale
of plant.
oi2(b) The primary 6 years after rights 6 years after plant is Text rewritten.
records of gas to the gas acreage retired or sold.
acreage owned, leased have expired or
or optioned excluding otherwise dissolved.
deeds and leases but
including such
records a lease
sheets, leasehold
cards, and option
agreements.
23............... Records pertaining 6 years. See Sec. 6 years............... No change.
to reclassification 225.2(j).
of utility plant
accounts to conform
to prescribed
systems of accounts
including
supporting papers
showing the bases
for such
reclassifications.
24............... Records of accumulated
provisions for
depreciation and
depletion of utility
plant and supporting
computation of
expense:
[[Page 1519]]
(a) Detailed records 25 years.............. 25 years.............. No change.
or analysis sheets
segregating the
accumulated
depreciation
according to
functional
classification of
plant.
(b) Records 25 years. See Note 5.. 25 years.............. No change.
reflecting the
service life of
property and the
percentage of
salvage and cost of
removal for
property retired
from each account
for depreciable
natural gas plant.
----------------------------------------------------------------------------------------------------------------
PURCHASES AND STORES
----------------------------------------------------------------------------------------------------------------
25............... Procurement:
(a) Agreements entered
into for the
acquisition of goods
or the performance of
services. Includes
all forms of
agreements not
specifically set for
in Subsection 7 such
as but not limited
to: Letters of
intent, exchange of
correspondence,
master agreements,
term contracts,
rental agreements and
the various types of
purchase orders:
(1) For goods or 6 years. See Sec. 6 years............... No change.
services relating 225.2(j).
to plant
construction.
(2) For other goods 6 years............... 6 years............... No change.
or services.
(b) Supporting 6 years. See Sec. 6 years............... No change.
documents including 225.2(j).
accepted and
unaccepted bids or
proposals
(summaries of
unaccepted bids or
proposals may be
kept in lieu of
originals)
evidencing all
relevant elements
of the procurement.
26............... Material ledgers: Retain until receipt 6 years after the date Removed tie to FERC
Ledger sheets of of FERC audit report records/ledgers were audit report and set
materials and or two years after created. fixed time period.
supplies received, auditors' exit
issued, and on hand. conference, whichever
occurs first.
27............... Materials and supplies 6 years. See Sec. 6 years............... No change.
received and issued: 225.2(j).
Records showing the
detailed distribution
of materials and
supplies issued
during accounting
periods.
28............... Records of sales of
scrap and materials
and supplies:
(a) Authorization 3 years............... 3 years............... No change.
for sale of scrap
and materials and
supplies.
(b) Contracts for 3 years............... 3 years............... No change.
sale of scrap
materials and
supplies.
----------------------------------------------------------------------------------------------------------------
REVENUE ACCOUNTING AND COLLECTION
----------------------------------------------------------------------------------------------------------------
29............... Customers' service Retain until receipt 4 years after Removed tie to FERC
applications and of FERC audit report expiration. audit report and set
contracts: Contracts or two years after fixed time period.
for extensions of auditors' exit
service for which conference, whichever
contributions are occurs first.
made by customers and
others.
30............... Rate schedules: Retain until receipt 6 years after Removed tie to FERC
General files of of FERC audit report published rate sheets audit report and set
published rate sheets or two years after and schedules are fixed time period.
and schedules of auditors' exit superseded or no
utility service conference, whichever longer used to charge
(including schedules occurs first. for services.
suspended or
superseded).
[[Page 1520]]
31............... Maximum demand, 1 year, except where If the measurement Reduced by 5 months.
pressure, the basic chart data have not been
temperature, and information is disputed or adjusted,
specific gravity transferred to destroy after 7
charts and demand another record the months.
meter record card. charts need only be
retained 6 months,
provided the basic
data is retained 1
year.
32............... Miscellaneous billing Destroy at option..... Destroy at option..... No change.
data: Billing
department's copies
of contracts with
customers (in
addition to contracts
in general files).
33............... Revenue summaries:
(a) Summaries of 6 years............... 5 years............... Reduced by 1 year.
monthly operating
revenues according
to classes of
service by entire
utility.
(b) Summaries of 6 years............... Deleted............... Deleted.
monthly operating
revenues according
to classes of
service by towns,
districts, or
divisions.
(Including
summaries of
forfeited discounts
and penalties).
----------------------------------------------------------------------------------------------------------------
TAX
----------------------------------------------------------------------------------------------------------------
34............... Tax records:
(a) Copies of
returns and
schedules filed
with taxing
authorities,
supporting work
papers, records of
appeals, tax bills
and receipts for
payment. See
Subsection 11(b)
for vouchers
evidencing
disbursements.:.
(1) Income tax 7 years after 2 years after final Reduced by 5 years.
returns. settlement. tax liability is
determined.
(2) Property tax 2 years after 2 years after final No change.
returns. settlement. tax liability is
determined.
(3) Sales and other 3 years............... 2 years............... Reduced by 1 year.
use taxes.
(4) Other taxes.... 2 years after 2 years after final No change.
settlement. tax liability is
determined.
(5) Agreements 7 years after 2 years after final Reduced by 5 years.
between associate settlement. tax liability is
companies as to determined.
allocation of
consolidated
income taxes.
(6) Schedule of 6 years............... 2 years final tax Reduced.
allocation of liability is
consolidated determined.
Federal Income
taxes among
associate
companies.
(b) Summaries of Destroy at option..... Deleted............... Deleted.
taxes paid.
(c) Filings with 7 years after 5 years after Reduced by 2 years
taxing authorities settlement of Federal discontinuance of Renumbered (b).
to qualify employee return or plan.
benefit plans. discontinuance of
plan, whichever is
later.
(d) Information 3 years, or for the 3 years or for the No change Renumbered
returns and reports period of any period of any (c).
to taxing extensions granted extensions granted
authorities. for audit. for audit.
----------------------------------------------------------------------------------------------------------------
TREASURY
----------------------------------------------------------------------------------------------------------------
35............... Statements of funds Replacement for Item ...................... Replaces previous
and deposits:. 58 currently text. Substantive
contained in 18 CFR change.
Sec. 225.3
(a) Statements of ...................... Retain records for the Requirement added.
periodic deposits most recent 3
with fund calendar years.
administrators or
trustees.
(b) Statements of ...................... Retain records for the Requirement added.
periodic most recent 3
withdrawals from calendar years.
fund.
(c) Statements ...................... Retain records until Requirement added.
prepared by fund the fund is dissolved
administrator or or terminated.
trustees of fund
activity including:.
[[Page 1521]]
(1) Beginning of the
year balance of fund;
(2) Deposits with the
fund;
(3) Acquisition of
investments held by
the fund;
(4) Disposition of
investments held by
the fund;
(5) Disbursements from
the fund, including
party to whom
disbursement was
made; and
(6) End of year
balance of fund.
36............... Records of deposits
with banks and
others:
(a) Statements from Destroy at option Destroy at option No change.
depositories after completion of after completion of
showing the details audit by independent audit by independent
of funds received, accountants. accountants.
disbursed,
transferred, and
balances on deposit.
(b) Check stubs, 6 years............... 3 years............... Reduced by 3 years.
registers, or other
records of checks
issued.
37............... Records of receipts
and disbursements:
(a) Daily or other Destroy at option Destroy at option No change.
periodic statements after completion of after completion of
of receipts or annual audit by annual audit by
disbursements of independent independent
funds. accountants. accountants.
(b) Records or Destroy at option Destroy at option No change.
periodic statements after completion of after completion of
of outstanding annual audit by annual audit by
vouchers, checks, independent independent
drafts, etc., accountants. accountants.
issued and not
presented.
(c) Reports of Destroy at option Destroy at option No change.
associates showing after completion of after completion of
working fund annual audit by annual audit by
transactions and independent independent
summaries thereof. accountants. accountants.
(d) Reports of Destroy at option Destroy at option No change.
revenue collections after completion of after completion of
by field cashiers, annual audit by annual audit by
pay stations, etc. independent independent
accountants. accountants.
----------------------------------------------------------------------------------------------------------------
MISCELLANEOUS
----------------------------------------------------------------------------------------------------------------
38............... Statistics:
(a) Annual 10 years after date of 5 years............... Reduced by 5 years.
financial, report.
operating and
statistical reports
regularly prepared
in the course of
business for
internal
administrative or
operating purposes
(and not used for
the basis for
entries to accounts
of the companies
concerned to show
the results of
operations and the
financial condition
of the utility.
(b) Quarterly, 2 years after date of Deleted............... Deleted.
monthly or other report.
periodic financial,
operating and other
statistical reports
as above.
39............... Budgets and other 3 years............... 3 years............... No change.
forecasts (prepared
for internal
administrative or
operating purposes)
of estimated future
income, receipts and
expenditures in
connection with
financing,
construction and
operations and
acquisitions or
disposals of
properties or
investments.
[[Page 1522]]
40............... Records of Retain until the Retain consistent with Text rewritten.
predecessors and records of utility the requirements for
former associates. plant acquired have the same types of
been integrated with records of the
the utility's plant natural gas company.
records and the
original cost of the
acquired plant is
adequately supported
by cost details and
until it is
ascertained that such
records are not
necessary to
fulfillment of any
unsatisfied
regulatory
requirement, such as:
(a) Approval and
recording of
accounting
adjustments resulting
from reclassification
and original cost
studies and
acceptance of
property acquisition
journal entries, (b)
establishment of
continuing plant
inventory records or
accounting evidence
of the cost of long-
lived property in the
absence of such
continuing plant
inventory records.
41............... Reports to Federal and
State regulatory
commissions:
(a) Annual
financial,
operating and
statistical
reports:
(1) Federal Retain until receipt 5 years............... Removed tie to FERC
agencies. of FERC audit report audit report and set
or two years after fixed time period.
auditors' exit
conference which ever
occurs first.
(2) State Retain as long as the Deleted............... Deleted.
commissions. active tariffs or
rates are in effect.
(b) Special or
periodic reports on
the following
subjects:
(1) Transactions 6 years............... Deleted............... Deleted.
with associated
companies.
(2) Budgets of 3 years............... Deleted............... Deleted.
expenditures.
(4) Employees and 5 years............... Deleted............... Deleted.
wages.
(5) Loans to 3 years after fully Deleted............... Deleted.
officers and paid.
employees.
(7) Purchases and 10 years after plant Deleted............... Deleted.
sales, utility is retired.
properties.
(8) Plant changes-- 10 years after plant Deleted............... Deleted.
units added and is retired.
retired..
(c) Records required 3 years............... Deleted............... Deleted
to be retained
under Sec. 277.210
of this chapter,
relating to the
Natural Gas Policy
Act of 1978.
42............... Other miscellaneous 6 years............... 2 years............... Reduced by 4 years.
records: Copies of Description title
advertisements by the change. Text
company in behalf of rewritten.
itself or any
associate company in
newspapers, magazines
and other
publications
including records
thereof (excluding
advertising of
product, appliances,
employment
opportunities,
services, territory,
routine notices and
invitations for bids
for securities all of
which may be
destroyed at option).
----------------------------------------------------------------------------------------------------------------
[[Page 1523]]
Note: This Appendix Will Not Appear in The Code of Federal
Regulations
Appendix C--Current and Proposed Records Retention Requirements (18
CFR Part 356.3)
----------------------------------------------------------------------------------------------------------------
Retention period 18 Proposed retention
Item No. Description CFR 356.11 period Summary of changes
----------------------------------------------------------------------------------------------------------------
CORPORATE AND GENERAL
----------------------------------------------------------------------------------------------------------------
1................ Incorporation and
reorganization:
(a) Charter of Permanently........... Permanently or at No change.
certificate of termination of the
incorporation and corporation's
amendments. existence.
(b) Legal documents Permanently........... Permanently or at No change.
related to mergers, termination of the
consolidations, corporation's
reorganizations, existence.
receiverships and
similar actions
which effect the
identity or
organization of the
company.
2................ Minutes to Directors', Permanently........... 5 years............... Reduced.
Executive
Committees',
Stockholders', and
other corporate
meetings.
3................ Titles, franchises and
authorities:
(a) Certificates of Until expiration or Until expiration or No change.
public convenience cancellation. cancellation.
and necessity
issued by
regulating bodies.
(b) Operating Until expiration or Until expiration or No change.
authorizations and cancellation. cancellation.
exemptions to
operate issued by
regulating bodies.
(c) Copies of formal 1 year after 1 year after No change.
orders of expiration or expiration or
regulatory bodies cancellation. cancellation.
served upon the
company.
(d) Deeds, charters, 3 years after 3 years after No change.
and other title disposition of disposition of
papers. property. property.
4................ Contracts and
Agreements:
(a) Contracts and 10 years after 4 years after Reduced by 6 years.
related papers for expiration, provided expiration, provided
transactions which there is no pending there is no pending
are subject to the litigation involved, litigation or
provisions of the and provided the governmental inquiry
Clayton Antitrust company notifies the or proceeding
Act (15 U.S.C. 20). Commission of it involved.
intended action 2
weeks prior to the
date the records are
to be destroyed.
(b) Service 3 years after 3 years after No change.
contracts, such as expiration or expiration or
for operational termination. termination.
management,
accounting,
financial or legal
service, and
agreements with
agents.
(c) Contracts and 3 years after 3 years after No change.
other agreements expiration or expiration or
relating to the termination. termination.
construction,
acquisition or sale
of real property
and equipment
except as otherwise
provided in (a)
above.
5................ Accountant's,
auditor's, and
inspector's reports:
(a) Certifications 3 years............... 3 years............... No change.
and reports of
examinations and
audits conducted by
public and
certified public
accountants.
(b) Reports of 3 years............... 3 years............... No change.
examinations and
audits conducted by
internal auditors,
time inspectors,
weight inspectors,
and others.
----------------------------------------------------------------------------------------------------------------
TREASURY
----------------------------------------------------------------------------------------------------------------
6................ Long-term debt
records:
[[Page 1524]]
(a) Bond indentures, 6 years after 6 years after No change.
underwriting, redemption. redemption.
mortgage, and other
long-term credit
agreements.
----------------------------------------------------------------------------------------------------------------
FINANCIAL ACCOUNTING
----------------------------------------------------------------------------------------------------------------
7................ Ledgers:
(a) General and 50 years.............. 3 years............... Reduced by 47 years.
subsidiary ledgers
with indexes
thereto.
(b) Balance Sheets 5 years............... 3 years............... Reduced by 2 years.
and Trial Balance
sheets of general
and subsidiary
ledgers.
8................ Journals:
(a) General Journals 50 years.............. 3 years............... Reduced by 47 years.
(except for
ratemaking
organizations).
(b) Subsidiary 6 years............... 3 years............... Reduced by 3 years.
Journals ad any
supporting data,
except as otherwise
provided for,
necessary to
explain journal
entries.
(c) Schedules of Until superseded...... Until superseded...... No change.
recurring or
standard journal
entries with entry
identifications.
9................ Vouchers:
(a) Voucher 6 years............... 5 years............... Reduced by 1 year.
registers or
equivalent.
(b) Paid and 6 years............... 5 years............... Reduced by 1 year.
cancelled vouchers,
expenditure
authorizations,
detailed
distribution sheets
and other
supporting data
including original
bills and invoices,
except as otherwise
provided herein.
10............... Accounts receivable, 3 years after 3 years after No change.
record, or register settlement. settlement.
of accounts
receivable.
11............... Records of accounting 6 years after 3 years after Reduced by 3 years.
codes and discontinuance. discontinuance.
instructions.
----------------------------------------------------------------------------------------------------------------
PROPERTY AND EQUIPMENT
----------------------------------------------------------------------------------------------------------------
12............... Property records:
(a) Records which 3 years after 3 years after No change.
maintained complete disposition of disposition of
information on cost property. property.
or other value of
all real property
or equipment.
(b) Records and 3 years after 3 years after No change.
additions and disposition of disposition of
betterments made to property. property.
property and
equipment.
(c) Records 3 years after 3 years after No change.
pertaining to disposition of disposition of
retirements and property. property.
replacements of
property and
equipment.
(d) Records
pertaining to
depreciation:
(1) When group 10 years.............. 3 years after Added requirement.
method and disposition of
depreciation rates property.
are prescribed by
the Commission.
(2) Other.......... 3 years after 3 years after No change.
disposition of disposition of
property. property.
(e) Records of 3 years after 3 years after No change.
equipment number disposition of disposition of
changes. property. property.
(f) Records of motor 3 years after Destroy at option..... Changed requirement.
and engine changes. disposition of
property.
[[Page 1525]]
(g) Files of 3 years............... 3 years after Added requirement.
detailed disposition of
authorizations for property.
expenditures, work
or job orders
showing estimated
costs of additions
and betterments,
extensions,
replacements, major
repairs and
dismantlements,
approved by proper
officials, together
with supporting
data.
(h) Periodical 3 years after prior 3 years after prior No change.
inventories of inventory. inventory.
property and
equipment.
13............... Engineering Records:
(a) Plans and 3 years after the 3 years after the No change.
specifications. disposition of the disposition of the
property. property.
(b) Estimates of 15 years.............. 15 years.............. No change.
work, engineering
studies,
construction bids,
and similar data
pertaining to
property changes
actually made.
----------------------------------------------------------------------------------------------------------------
PERSONNEL AND PAYROLL
----------------------------------------------------------------------------------------------------------------
14............... Payroll Records:
(a) Registers, 3 years............... 3 years............... No change.
abstracts, or
summaries showing
earnings,
deductions and
amounts paid to
each employee by
pay periods.
----------------------------------------------------------------------------------------------------------------
(b) Records showing 3 years............... 3 years............... No change.
the detailed
distribution of
salaries and wages
to various accounts.
----------------------------------------------------------------------------------------------------------------
TAXES
----------------------------------------------------------------------------------------------------------------
15............... Copies of returns and
schedules filed with
taxing authorities,
supporting work
papers, records or
appeals, tax bills
and receipts for
payments. (See item
9(b) for vouchers
evidencing
disbursements):
(a) Income tax 3 years after 3 years after final No change.
returns. settlement. tax liability is
determined.
(b) Property tax 3 years after 3 years after final No change.
returns. settlement. tax liability is
determined.
(c) Sales and use 3 years............... 3 years............... No change.
taxes.
(d) Other taxes..... 3 years after 3 years after final No change.
settlement. tax liability is
determined.
(e) Agreements 3 years after 3 years after final No change.
between affiliated settlement. tax liability is
companies as to determined.
allocation of
consolidated income
taxes.
(f) Schedule of 3 years after 3 years after final No change.
allocation of settlement. tax liability is
consolidated determined.
Federal income
taxes among
affiliated
companies.
16............... Information returns 3 years, or for the 3 years, or for the No change.
and reports to taxing period of any period of any
authorities. extensions granted extensions granted
for audits. for audits.
----------------------------------------------------------------------------------------------------------------
PURCHASE AND STORES
----------------------------------------------------------------------------------------------------------------
17............... Material ledger, 2 years............... 2 years............... No change.
records of material
and supplies on hand
at all locations.
[[Page 1526]]
18............... Inventories: General 2 years............... 2 years............... No change.
Inventories of
material and supplies
on hand, with record
of adjustments
between accounts
required to bring
stores records into
agreement with
physical inventories.
----------------------------------------------------------------------------------------------------------------
TRANSPORTATION
----------------------------------------------------------------------------------------------------------------
19............... Oil and other products 3 years............... 3 years............... No change.
stocks and movement
pipelines only: (a)
Records and receipts,
deliveries, pumpings,
stocks, and over and
short
(b) Run tickets 3 years............... 3 years............... No change.
showing quantities
by tank measurement
of meter reading of
oil and other
products received
into the delivered
from company's
lines.
(c) Statements of 3 years............... 3 years............... No change.
oil and oil
products consumed
as fuel including
quantity value, and
where consumed.
(d) Statement of oil 3 years............... 3 years............... No change.
and other products
lost by line breaks
and leaks including
quantity, value,
and location of
breaks and leaks.
(e) Reports of power 3 years............... 3 years............... No change.
furnished by
producers: Monthly
reports of the
quantity of oil run
in connection with
which power was
furnished by
producers, and
records of payment
for such power.
(f) Records of 3 years after 3 years after No change.
producers' property disconnection. disconnection.
identifying
ownership and
location for
producers' tanks or
wells to which
carrier's lines are
connected.
(g) Division or 3 years............... 3 years............... No change.
other periodical
inventory reports
of oil and other
products on hand.
(h) Division orders: 3 years after 3 years after No change.
Directions received discontinuance. discontinuance.
by carrier as to
the division of
interest and to
whose account
transported oil
should be credited.
(i) Directions 3 years after 3 years after No change.
received by the discontinuance. discontinuance.
carrier for the
transfer of
division order
interests from one
interest owner to
another.
(j) Transfer orders 3 years............... 3 years............... No change.
for the transfer of
ownership of oil or
other products in
carrier's custody.
----------------------------------------------------------------------------------------------------------------
TARIFFS AND RATES
----------------------------------------------------------------------------------------------------------------
20............... Official file copies 3 years after 3 years after No change.
of tariffs, expiration or expiration or
classifications, cancellation. cancellation.
division sheets, and
circulars relative to
the transportation of
property.
[[Page 1527]]
21............... Authorities and 3 years............... 3 years............... No change.
supporting papers for
transportation of
property for free or
at reduced rates.
22............... Copies of concurrences 2 years after 2 years after No change.
and powers of expiration or expiration or
attorney. cancellation. cancellation.
23............... Correspondence and 2 years after 2 years after No change.
working papers in cancellation of cancellation of
connection with the tariff. tariff.
making of rates and
compliance of
tariffs,
classifications,
division sheets, and
circulars affecting
the transportation of
property.
----------------------------------------------------------------------------------------------------------------
REPORTS AND STATISTICS
----------------------------------------------------------------------------------------------------------------
24............... Reports to Federal
Energy Regulatory
Commission and other
regulatory bodies:
(a) Annual 10 years.............. 5 years............... Reduced by 5 years.
financial,
operating and
statistical
reports, file
copies of, and
supporting data.
(b) Valuation 3 years after Delete item in its Deleted.
inventory reports disposition of the entirety.
and records property.
together with
related notes,
maps, and sketches;
underlying
engineering, land,
and accounting
reports, pricing
schedules, summary
of collection
sheets, yearly
reports of changes
and other
miscellaneous data,
all relating to the
valuation of the
company's property
by the Federal
Energy Regulatory
Commission or other
regulatory body.
----------------------------------------------------------------------------------------------------------------
[FR Doc. 00-59 Filed 1-7-00; 8:45 am]
BILLING CODE 6717-01-P