**Charleston Research Institute**

**Policy Memorandum**

**Title:** Record Retention and Document Destruction Policy

**Reviewed by:** Board of Directors

**Implementation Date:** April 18, 2005

**Next Scheduled Review Date:** April 18, 2008

**Approval:** M. Rita I. Young, Ph.D., Chairperson

**Policy Statement:**

Charleston Research Institute shall retain records for the period of
their immediate or current use, unless longer retention is necessary for
historical reference or to comply with contractual or legal
requirements. Records and documents outlined in this policy include
paper, electronic files (including e-mail) and voicemail records
regardless of where the document is stored. This includes network
servers, desktop or laptop computers and handheld computers and other
wireless devices with text messaging capabilities.

**Background:**

In accordance with 18 U.S.C. Section 1519 and the Sarbanes Oxley Act,
Charleston Research Institute shall not knowingly destroy a document
with the intent to obstruct or influence an "investigation or proper
administration of any matter within the jurisdiction of any department
agency of the United States . . . or in relation to or contemplation of
such matter or case.\" If an official investigation is underway or even
suspected, document purging must stop in order to avoid criminal
obstruction.

**Guidelines:**

In order to eliminate accidental or innocent destruction, Charleston
Research Institute has the following document retention requirements:

**Record Retention Period**

Accident reports/claims (settled cases) 7 years

Accounts payable ledgers and schedules 7 years

Accounts receivable ledgers and schedules 8 years

Audit report Permanently

Bank reconciliation 7 years

Bank statements 3 years

Capital stock and bond records; ledgers, transfer

registers, stubs showing issues, record interest

coupons, options, etc... Permanently

Cash books Permanently

Charts of accounts Permanently

Checks (cancelled for important payments, i.e. Permanently

taxes, purchases of property, special contracts, etc...

Checks should be filed with the papers pertaining to

the underlying transaction.)

Contracts, notes and leases (expired) 7 years

Contracts, notes and leases (in effect) Permanently

Correspondence, general 3 years

Correspondence, legal and important matters Permanently

Correspondence, routine---customers/vendors 3 years

Deeds, mortgages, and bills of sale Permanently

Depreciation Schedules Permanently

Employee personnel records (after termination) 7 years

Employment applications 3 years

Expense reports 7 years

Financial statements (year-end, other months optional) Permanently

General ledgers, year end trial balances Permanently

Insurance records, current accident reports, claims, Permanently

policies, etc...

Internal reports (miscellaneous) 3 years

Inventory records 7 years

Invoices to customers or from vendors 7 years

Minute books for directors and stockholders, Permanently

including bylaws and charter

Notes cancelled 7 years

Notes register Permanently

Option records (expired) 7 years

Payroll records, summaries and tax returns 7 years

Petty cash vouchers 3 years

Property records including costs, depreciation Permanently

reserves, end of year trial balances, depreciation

schedules, blueprints and plans

Purchase orders 3 years

Receiving sheets 1 year

Requisitions 3 years

Safety records 6 years

Sales records 7 years

Stock and bond certificates (cancelled) 7 years

Subsidiary ledgers 7 years

Tax returns and worksheets, revenue agent's Permanently

reports and other documents relating to

determination of income tax liability

Time cards and daily reports 7 years

Trademark registrations, patents, and copyrights Permanently

Voucher register and schedules 7 years

Voucher for payment to vendors, employees, etc... 7 years

(includes allowances and reimbursement of

employees, officers, etc. for travel and entertainment expenses)

W-2 forms 7 years