# UNITED STATES DEPARTMENT OF AGRICULTURE

## **Rural Utilities Service**

# 

**RUS BULLETIN 180-2**

**SUBJECT: [Record Retention Recommendations for RUS Electric Borrowers
]{.underline}**

**TO:** RUS Electric Borrowers

Certified Public Accountants

**EFFECTIVE DATE:** Date of Approval

**OFFICE OF PRIMARY INTEREST:** Program Accounting and Regulatory
Analysis

**INSTRUCTIONS:** This bulletin replaces the REA Bulletin 180-2 dated
June 6, 1972.

**AVAILABILITY**: This bulletin is available on the RUS web site at
<http://www.usda.gov/rus/pasd/180.doc>

**PURPOSE:** This bulletin suggests policies and procedures for the
effective preservation and efficient maintenance of financial records of
RUS Electric borrowers.

![](media/image1.png){width="6.291666666666667in" height="1.125in"}

Bulletin 180-2

Page 2

**TABLE OF CONTENTS**

1\. PURPOSE

2\. GENERAL

3\. RECORD STORAGE MEDIA

4\. RECOMMENDED PRACTICES

**EXHIBITS**

Exhibit A - FERC Regulation: 18 CFR Part 125 -- Preservation of Records
of Public Utilities and Licensees. *(Every effort has been made to
ensure the accuracy of this document, however, in case of discrepancies,
the printed version available from the Government Printing Office, is
the authoritative source.)*

**ABBREVIATIONS**

##### INDEX:

**ACCOUNTING**

Policy on Audits

**AUDITS**

FERC - Federal Energy Regulatory Commission

RUS - Rural Utilities Service

**DEFINITIONS**

Public Utility or Licensee - RUS Borrower

Commission - Federal Energy Regulatory Commission

##### 

Bulletin 180-2

Page 3

1 PURPOSE

> This bulletin recommends policies and procedures for the effective
> preservation and efficient maintenance of financial records of Rural
> Utilities Service (RUS) Electric borrowers.
>
> 2 GENERAL
>
> RUS endorses the guidelines as described by the Federal Energy
> Regulatory Commission's (FERC) "Regulations to Govern the Preservation
> of Records of Public Utilities and Licensees." The FERC guidelines can
> be found in 18 CFR Part 125 (Exhibit A). Records of RUS borrowers of a
> kind not listed in the FERC regulations should be governed by those
> applicable to the closest similar records. These suggested guidelines
> should not be construed as excusing compliance with any other lawful
> requirements for the preservation and maintenance of records.

3 RECORD STORAGE MEDIA

> The media used to capture and store the data will play an important
> part of each RUS borrower. Each borrower has the flexibility to select
> its own storage media. The following are suggested guidelines:

a.  The storage media have a life expectancy at least equal to the
    applicable retention period provided for in the master index of
    records, unless there is quality transfer from one media to another
    with no loss of data. Each transfer of data from one media to
    another should be verified for accuracy and documented.

b.  It is suggested that each borrower implement internal control
    procedures that assure the reliability of, and ready access to, data
    stored on machine-readable media. It is advisable that a borrower's
    internal control procedures be documented by a responsible
    supervisory official.

c.  It is recommended that records be indexed and retained in such a
    manner that they are easily accessible.

    Bulletin 180-2

Page 4

d.  It would be helpful if the borrower have the hardware and software
    available to locate, identify, and reproduce the records in readable
    form without loss of clarity.

e.  At the expiration of the retention period, the borrower may use any
    appropriate method to destroy records.

f.  When any records are lost or destroyed before the expiration of the
    retention period set forth in the mater index, it is recommended
    that a certified statement be added to the master index listing, as
    far as may be determined, the records lost or destroyed and
    describing the circumstances of the premature loss or destruction.

4 RECOMMENDED PRACTICES

(a) Financial requirement and expenditure statements, which are not
    specifically covered by FERC regulations are recommended to be kept
    for one year after the "as of date" of RUS's loan fund and
    accounting review.

(b) Consumer accounts' records should be kept for those years for which
    patronage capital has not been allocated.