Appendix B to Part 1136 - Terms and Conditions for OAR Article II, “Records Retention and Access”
2:1.2.8.6.17.7.64.3.50 : Appendix B
Appendix B to Part 1136 - Terms and Conditions for OAR Article II,
“Records Retention and Access”
Unless a DoD Component substitutes alternate wording in
paragraph A.3, a DoD Component's general terms and conditions must
use the following wording for OAR Article II, as specified in §§
1136.205 through 1136.230.
OAR Article II. Records Retention and Access. (DECEMBER 2014)
Section A. Records retention period. Except as provided
in Sections B through D of this article:
1. You must keep records related to any real property and
equipment acquired, in whole or in part, using Federal funds under
the award for 3 years after final disposition of the property. For
any item of exempt property with a current fair market value
greater than $5,000, and for which final disposition was not a
condition of the title vesting, you must keep whatever records you
need for as long as necessary to ensure that you can deduct the
Federal share if you later use the property in contributions for
cost sharing or matching purposes under any Federal award.
2. You must keep records related to rate proposals for indirect
or facilities and administrative costs, cost allocation plans, and
supporting records such as indirect cost rate computations and any
similar accounting computations of the rate at which a particular
group of costs is chargeable (such as computer usage chargeback or
composite fringe benefit rates) as follows:
a. If you are required to submit a proposal, plan, or other
computations to your Federal cognizant agency for indirect costs,
as the basis for negotiation of a rate, you must keep the
submissions and all supporting records for 3 years from the date on
which you were required to make the submissions.
b. If you are not required to submit a proposal, plan, or other
computation as the basis for negotiation, you must keep the
proposal, plan, other computation, and supporting records for 3
years from the end of the fiscal year or other accounting period
covered by the proposal, plan, or other computation.
3. You must keep other financial records, supporting documents,
statistical records, and other records pertinent to this award for
a period of 3 years from the date you submit your final financial
report under the award.
Section B. Extensions of retention period due to litigation,
claim, or audit.
1. If any litigation, claim, or audit begins before the end of
the 3-year retention period specified in Section A of this article
and the final action related to the litigation, claim, or audit is
not taken before the end of that 3-year period, you must retain all
records related to this award that may be involved in the
litigation, claim, or audit until all findings involving the
records have been resolved and final action taken.
2. We may disallow costs and recover funds under this award
based on an audit or other review of records you elected to retain
beyond the retention period required by this article, even if the
audit or review begins after the end of the 3-year retention period
specified in Section A of this article. Thus, the “retention
period,” as that term is used in OMB guidance in 2 CFR
200.344(a)(1), is extended, as described in 2 CFR 200.333(b), to
include the entire period during which we and our authorized
representatives continue to have access to those records under
paragraph F.2 of this article.
Section C. Records for program income earned after the end of
the performance period. In accordance with Section F of FMS
Article VII, there are no requirements under this award applicable
to program income you earn after the end of the period of
performance and therefore no associated records retention
requirements.
Section D. Records for joint or long-term use.
1. Joint use. To avoid duplicate recordkeeping for
records that you and we both need to use on a continuous basis, we
may ask you to make special arrangements with us, by mutual
agreement, to make records available for joint and continuous
use.
2. Long-term use. If we determine that some records will
be needed longer than the 3-year period specified in Section A of
this article, we may request that you either:
a. Retain the records for a longer period of time; or
b. Transfer the records to our custody for long-term
retention.
3. Retention requirements for transferred records. For
any records transferred to our custody, you are not subject to the
records retention requirements in Section A of this article.
Section E. Methods for collecting, transmitting, and storing
information.
1. You should, whenever practicable, collect, transmit, and
store information related to this award in open and
machine-readable formats rather than in closed formats or on paper.
However, if you request it, we will:
a. Provide award related-information to you on paper; and
b. Accept award related-information from you on paper. In that
case, we will not require more than an original and two copies.
2. When your original records are in an electronic form that
cannot be altered, you do not need to create and retain paper
copies of those records.
3. When your original records are on paper, you may substitute
electronic versions produced through duplication or using other
forms of electronic media, provided that:
a. You conduct periodic quality control reviews of the
records;
b. You provide reasonable safeguards against alteration of the
records; and
c. The records remain readable.
Section F. Access to records.
1. Scope of Federal Government access rights.
a. We as the awarding agency, the Federal Government Inspectors
General, the Comptroller General of the United States, and any of
our authorized representatives have the right of access to any
documents, papers, or other records you have that are pertinent to
this award, in order to make audits, examinations, excerpts, and
transcripts.
b. This right also includes timely and reasonable access to your
personnel for the purposes of interview and discussion related to
the records.
c. As described in OMB guidance at 2 CFR 200.336(b), the access
to records described in this section will include access to the
true name of a victim of a crime only under extraordinary and rare
circumstances.
i. You are required to provide that access only in response to a
court order or subpoena pursuant to a bona fide confidential
investigation, or in response to a request duly authorized by the
head of the DoD Component or his or her designee; and
ii. You must take appropriate steps to protect this sensitive
information.
2. Duration of Federal Government access rights. We have
the access rights described in paragraph F.1 of this section as
long as you retain the records.
3. Public access.
a. You must comply with requirements to protect information that
Federal statute, Executive order, or regulation requires to be
protected (e.g., personally identifiable or export
controlled information), to include both information generated
under this award and information provided to you and identified as
being subject to protection. Other than those limitations on
dissemination of information, we place no restrictions on you that
limit public access to your records pertinent to this award.
b. We do not place any requirements on you to permit public
access to your records separate from any Federal, State, local, or
tribal statute that may require you to do so.
c. The Freedom of Information Act (FOIA, 5 U.S.C. 552) does not
apply to records in your possession but records you provide to us
generally will be subject to FOIA, with the applicable
exemptions.