Document Oz0Z2OxGD0RYpv7aekB01b7qv
AHEAD OF THE FLOVS
N1BC0 INC. Human Resources
Policy
DOCUMENT RETENTION POLICY
Effective Date:
November 26,2002
Replaces Policy
Dated:
Revision No.
Policy Owner:
Joel Duthie
Document No.
HRP015
Approved By:
Joe Gross
Signed:
Joseph J. gross is/
Table of Contents
1. Purpose
The purpose of this policy statement is designed to facilitate record retrieval and minimize resources devoted to record storage.
2. Scone
All NIBCO. This policy applies to all N1BCO INC. locations and associates.
3. Definitions
Records are all business related information, which is capable of being disseminated, stored, or retrieved, Records may appear in a variety of formats including all documents, electronic information (including electronic mail), and personal records, which contain business related information.
.4 Policy Statement
Records of particular business activity must be created and maintained in accordance wiih applicable federal, state, or local law. Business necessities dictate the creation and storage of records when a legitimate business reason requires. A record should be made of all activities that are relevant to the business related operations of the company.
NIBCO001586
When no legitimate business reason exists to justify the continued storage of the record, it should be destroyed. A statutory duty is always a "legitimate business reason" to maintain a record. Additionally, any record that is relevant to any litigation that has not had its final disposition must also be maintained, even if the statutory retention period has expired. Bach division or department is responsible for determining beyond any statutory mandate what is a legitimate business reason to create a record and when a record should be destroyed because no legitimate business reason exists to maintain the document. Departments should contact the Legal Department if questions arise under this policy.
In all contracts involving the federal government, the contractor should keep all records that (1) are related to the proposal, (2) include the discussion conducted on the proposal, (3) contain the pricing of the contract or the subcontract, and (4) detail the performance of the contract. Any electronic communication that falls broadly into one of these four categories is a "record" and should be retained.
All departments must draft and implement a specific policy in accordance with these guidelines, and submit a copy of their guidelines to the Legal Department.
NIBCO001587
Accounting/Finanee
'
Type of Record
Number of years to be retained
]. Account Analysis/Reconciliation
5
2. Accounts payable (includes vendor invoices, supporting journals, voucher detail, etc.)
7
3. Accounts Receivable (includes Purchase Orders, paid invoices, subsidiary ledgers, supporting journals, cash receipts, etc.)
7
4. Bank statements & Reconciliations (includeall detail such as stop payment notices, void checks, etc.)
4
5. Bonds - Interest Payments
5
6. Budgets and Comparison Reports
2
7. Canceled Voucher Checks
5
8. Check' Register
5
9. Unclaimed Voucher Check (Escheat laws may apply to extend lime period)
4 ''
10. Drafts Paid
3
11. Deposit Books and Slips
4
12. Em ployee Travel Expense Reports
4
13. Expense Analysis
2
14. financial Statements (External) (balance sheets, income statements, cash flows, consolidated, group operating results summaries, internal division financials):
Monthly Annual Quarterly Shareholder
3 Permanent Permanent
NIBCO001588
15, Financial Statements (Internal) (balance sheets, income statements, cash flows, consolidated, group operating results summaries, internal division financials):
Monthly Year end Consolidated
J 6. General Books of Accounts: (Engineering and research project records; Cash ledger and journals; Sales/Customcr ledger and journals; Payroll ledger and journals; Plant ledger and journals; Stock ledger and journals)
17. General ledgers and journals
18. Internal Audit Reports
19. LIFO Accounting Records
20. Fixed Asset Records: Ledgers & Depreciation Reports Detail Records & Other (after disposal of asset)
21. Insurance Policies and schedules
22. Insurance Underwriting Information
23. Indemnification agreement (after termination)
24. Loss Reports
(quarterly)
25. l.oss Prevention
26. Loss Billings
27. Loss History
28. Loss Control Reports
3 Permanent Permanent
Permanent 4 Permanent
Permanent 4
Permanent Current plus immediately prior coverage
5 3 3 5 10 5
NIBCO001589
Operations Accounting
1. Detail Stock on Hand Reports 2. Detail UFO Stock on Hand Reports 3. Year End Standard Cost for Production Reports 4. Year End Conversion Cost Report 5. Year End Inventory Purchases Analysis 6. Year End Standard Cost of Goods Sold Report 7. Product Line Gross Mar-gin Analysis
3 Permanent 3 3 3 3 3
NIBCO001590
Corporate:
1. Acquisition, Divestiture, Reorganization: Contracts Analyses - Completed Transactions Analyses - Uncompleted Transactions
2. Airplane Records and Logs 3. Articles, Bylaws; Certificates of Incorporation 4. Authorizations and Appropriations foT
Expenditures
5. Auto ID Cards 5. Bond and Bond holder Records
6. Bonds, Surety 7. Broker billings
8. Budgets 9. Contracts and Agreements (alter termination) 10. Deeds
11. Dividend Checks and Register 12. Easements (after termination)
13. Executive Correspondence (general)
14. Facility Appraisals
15. Fidelity Bonds of Employees
16. Government Contracts and Subcontracts (after cancellation and termination)
17. IBNR Calculation
18. Leases (after expiration or cancellation)
Permanent 5
2
Per FAA Regulations Life of Corporation plus 3
5
Current 3 5
2
4' Permanent Permanent 20
2 2
Current 3
3 3
NIBCO001591
19. Litigation and Claim Piles
20. Liability Reserve Accrual
21. Minutes of Stockholders^ Bead, & Board Committees Meetings and Resolutions
22. Mortgages (after satisfactory settlement)
23. Notes, Canceled
24. Note Interest
25. Options (after expiration of exercise)
26. Organizational Chart
27. Patents, Copyrights, Trademarks
28. Permits and Licenses Required by Federal, State or Local Authority
29. Policies and Procedures
30. Press Clippings
31. Press Releases
32. Qualifications To Do Business
33. SEC Pilings
34. Stock Certificate and Bond Records
35, Stock Exchange Listing Applications and Agreements
36. Stockholder Records: Proxy Tabulation and Voted Proxies Stockholder Correspondence Stockholder Lists for Meetings Other
37. Stockholder Reports
1 after Final Disposition 5 Permanent
3 5 10 5 Current Life of Asset plus 3 Current
Current 10 Permanent Current Permanent Permanent Permanent
1 5 1 Current Permanent
NIBCO001592
38. Title Opinion, Title Searches and Title Insurance
Permanent
NIBCO001593
Credit and Collections
1, Accounts Receivable Reports
2, Application for Credit (after termination of account)
3, Collection File (after termination of collection efforts)
4, Contracts and Promissory Notes (after termination)
5, Credit Authorization Records (after termination of account)
6, Correspondence (Miscellaneous)
7, Credit Files, Commercial Reports, Financial Statements or letters of Reference (after termination of account)
8, Uncolleciable Accounts (records and reports regarding uucollectable accounts, including authorization for writing off) .
5 2 2 5 2 2 2
5
NIBCO001594
Environmental
1. Contingency Plans
Current
2. Enforcement Matters (after final resolution)
3. Financial Responsibility (after closure of unit)
4. General Correspondence
5. Manuals and Operaling Standards
6. Off-site Waste Disposal Documents
7. Permits
8. Questionnaires
9. Regulatory Proceedings (including RCRA and tank closures)
10. SARA Title III (Right to Know)
11. Spill Incidents (after final resolution)
10
10 3 Permanent Permanent Permanent Permanent Permanent
Permanent 3
NIBCO001595
Human Resources/Personnel
1. Advertisements or Notices Regarding Job Openings, Promotions, Training, Overtime
2. Affirmative Action Programs
3. Applications tor Employment, Resumes, and Records pertaining to Failure to lure
4. EEO-1
5. Employee Benefit Plans and Summary Plan Descriptions
6. Employee Contracts (after termination)
7. Employee Training Manuals
8. 1-9 (after termination of employment)
9. Individual Employee Personnel File
10. Job Descriptions
11. Job Orders Submitted to Employment Agency or Labor Organization termination)
12. Benefit Plans, seniority or merit rating systems
Current
3 Permanent 5 Current 3 3 Current
Full period plan in effect plus one year.
NIBCO001596
Payroll
1. Assignments, Attachments and Garnishments (after settlement or employment termination)
2
2. Employees withholding and deduction authorizations including rate changes, discharges, add to payroll notices
3
3. Individual Employee Earnings Records
3
4. Labor Distribution Records
3
5. Payments and Reports to Government (includes Federal, State and Municipal)
4
6. Payroll Checks (canceled) and Payroll Registers (gross and net)
5
7. Records showing each employee's period of services, paid amounts, taxable wages, tax collected, tax actually paid, tips
4 required; 7 suggested
PICA requires 4 years for above records from date of
payment of tax.
' Suggested at least 7 years.
8. Time Cards (and time sheets) 9. Unclaimed Wage Records
3
4 Escheat laws may apply to extend time period
10. Wage Rate Tables and Work time Schedules
3
Note: Several Federal Statutes require the retention of payroll records containing name, address, date of birth, job, pay rale and other compensations earned per week for three years. (Age Discrimination in Employment Act, Davis-Bacon Act, Equal Pay Act, etc.)
NIBCO001597
Work site Accidents and Exposure to Harmful Substances/ OSHA Regs
i. All records Relevant to Employee Exposure to a
At least 30 years
unless a
toxic substance or harmful physical agent and physical
specific OSHA
standard
stress (noise, heat, cold, vibration, repetitive motion,
specifies a different time
and radiation)
period
a, These types of records include; -Workplace Monitoring Results
--all forms ofsampling -Biological Monitoring Results -Material Safety Data Sheets -Specifically Records relevant to Asbestos exposure
2. Medical Records Concerning the Health Status
At least duration of
of Employees.
employment plus 30 years
a. These types of records include;
-Medical and Employment Questionnaires
-Job Descriptions and Occupational Exposures
-
-Results of Medical Examinations and Lab Results
-Employee Medical complaints
-First Aid Records involving Professional Medical Treatment
b. Exceptions -Health Insurance claim records maintained separately from employer's medical program and record -One time First Aid treatment which does not involve professional medical treatment -Records of employees who work less than one year if records are given to employee upon termination
3, OSHA Log and summary of Occupational Injuries and Illnesses 5 Years following end of year to which records
relate
4. Workers Comp Notices
NIBCO001598
Inventory and Cost
1. Cost Accounting Records
3
2. Cost Production and Job Summary Records
3
3. Cost Reports and Statements
3
4. Cost Sheets
3
5. Labor Distribution Records
3
6. Price Records
3
7. Quotations
3
8. Specifications
3
9. Year end Listings {standard cost by location)
Permanent
10. LIFO Computation (Including all supporting detail records and first quarter index computation analyses)
Permanent
NIBCO001599
Manufacturing 1. Building and Maintenance Records 2. Component Part Test and Inspection Procedure Results 3. Drawing Change Supporting Material 4. Employee Suggestions (after review) 5. Ergonomic Records and Reports 6. Finished Product Test and Product Inspection Procedure Results 7. Leased/Rented Equipment (following termination of lease) 8. Machinery Maintenance Records
9. Machinery Set up Sheets 10. Major Building Construction Drawings 11. Operating Reports 12. Order Procedures 13. Patterns 14. Planning Summaries 15. Plant Inventory and Machine Location Reports 16. Plant Layout Charts 17. Precision Measurement Inspection Records 18. Production Orders and Registers 19. Production Reports 20. Production and Shrinkage Reports
5 2 3 3 Current 2
I Until disposal of Machinery 1 Permanent 1 1 I 3 Current Current Current 3 3 3
NIBCO001600
21. Production Serial Numbers 22. Requisitions on Stores or for Purchases 23. Specifications Sheets
Permanent i Current Production Repair Parts
24, Standard Honrs Reports
1
25, Time Standards/ Assembly Line Rates (after termination of method production)
3
26, Tool Drawings
Current Production and Repair Parts
27. Tooling Maintenance Records 28. Waste Disposal Records 29. Work or Shop Orders
3 Permanent 1
NIBCO001601
Purchasing 1. Contracts with vendors (after expiration or termination) 2. Correspondence with vendors (after resolution of issue) 3. Price List Files 4. Purchase Cost Records 5. Purchase Orders (filled and unfilled) (after expiration or cancellation) 6. Purchase Requisitions 7. Quotations (those acted upon) 8. Source Catalog files (if available)
7 3 Current 3 7
3 3 Current
NIBCO001602
Research and Development
1, Agency listings and Contracts 2. Design Drawings
Permanent Permanent
3. General Piles 4. Governmental Acts and Regulations
3 Permanent
5. Laboratory reports of current production products used for purposes of comparing to products under consideration
Current
6. Projects documentation (including tests and correspondence) 5 After Project Completion
7. Specification Changes
3
NIBCO001603
Service/' Warranty !, Customer Service Records 2. Product and Component Reliability Reports 3. Product Liability Claim Records 4. Model Numbers and Features
5. Warranty Registration Forms
1 year alter final resolution
3'
1 year after (Inal resolution
l year after stocking ofspare parts is discontinued
5
NIBCO001604
Tax
1, Annual Reports
2. Returns and Essential Reporting Data: period law
Non-United States (Includes Dutch Branch and foreign subsidiaries)
5
4 Unless longer required by applicable
United States Federal: Income Unemployment Withholding
Each Individual State's Unemployment
period law
Income Withholding Safes/Use
Permanent 5 4
4 Unless longer required by applicable
Permanent 4 5
U.S, Local or Municipal:
'
Real Estate
Misc. Sales/Use
Personal Property
IRS, State Revenue, Foreign
Jurisdictional, Examinations
Real Estate Index Numbers
Real Estate Special Assessment Records
Realty Transfer Tax
Tax Payment Receipts (Estimated U.S., States', and
foreign withholding)
U.S. Unemployment claim receipts
10 4 5
Permanent Permanent Permanent Permanent
Permanent
4
3. ADP Record Retention Agreement (ADP records as described
5 Unless Statute of
per NIBCO IRS agreement executed February 8, 1988, modified
Limitations
extended by
March 14, 1997) documents outlined by Rev.
Proc. 97-22,1997-B IRB
consent of the parties
NIBCO001605
Import/ Export Customs Provisions
1. Exporter's Certificate of Origin 5 years from the date of importation
2. Records supporting direct identification 3 years afterpayment of claims and non-substitution manufacturing drawback. Specifically regarding copper fittings produced from foreign raw materials
3. In any transaction subject to Export Administration 5 years from the date of export or
Regulations (EAR) (these include transactions involving from any known re-export or
any restrictive trade practices or boycotts; Exports of other termination of the transaction,
commodities, software, or technology from the United
Slates; Exports to Canada if a party from another
Note: If any
government agency
country appears to have an interest in the item exported makes a request for any
records
,
or will re-export the item), the EAR requires the
under the BAR, the records
may
following to be retained:
not be destroyed without written
authorization from the agency.
Export Control Documents
-Notes and memoranda (pertinent to the above listed transactions)
-Contracts (arising from transactions subject to the EAR)
' -Invitations to Bid
''
-Books of Account
-Restrictive Trade Practice or Boycott documents
-Other records pertaining to the types of transactions
delineated under the EAR
-See sec. 762.3 of EAR for list of specific document exceptions
(such as "vessel log" from freight forwarder; export
information page; etc.)
NIBCO001606
Traffic, Shipping and Receiving
1. Bilis of Lading
2. Carrier Contracts
3. Certificate of Title
4. Delivery Reports
5. Employee Household Relocation Records
6. Export Documentation
7. Freight Bills and Statements
8. Freight Claim-- following final resolution
9. Import Documentation
10. Rates and Tariffs
11. Receipts for Registered Mail and Packages
12. Receiving Reports
13. Routing Records
'
14. Shipping Instructions
15. Shipping Reports
16. Warehousing Contracts (alter termination)
17. Motor Operating Maintenance
3 3 Current 2 4 5 3 2 10 3 1 3 1 2 2 3 2
NIBCO001607
Miscellaneous; 1. Stipulations for Government Contractors--Payrol) records, job, classification, rate, hours worked, deductions made, wages paid. These are to be retained for three years from date of completion, 2. Employee Retirement Income Securities Act--Requires that records providing a basis For plan descriptions, reports, necessary to certify information, vouchers, worksheets, receipts, and applicable resolutions, These are to be retained for not less than six years after filing date of documents based on information they contain. 3. Written Affirmative Action Programs (Executive Order 11246) requires supporting documentation, records on nature and use of test validations and test results, retention period varies for type of record, 4. Drug Policy that is regulated specifically by DOT--Requires a system of random drug testing for covered cmployers-Records of misuse, prevention programs, records of refusals to testing, equipment calibration records for five years.
NIBCO001608
NIBCO001609