Common use of Retention Requirements for Records Clause in Contracts

Retention Requirements for Records. In accordance with 2 CFR 200.333, financial records, supporting documents, statistical records, and all other NFE records pertinent to an award must be retained for a period of three years from the date of submission of the final expenditure report. For awards that are renewed quarterly or annually, from the date of the submission of the quarterly or annual financial report as authorized by the USDA awarding agency or pass-through entity in the case of a subrecipient(s). The only exceptions are the following: (a) If any litigation, claim, or audit is started before the expiration of the 3-year period, the records must be retained until all litigation, claims, or audit findings involving the records have been resolved and final action taken. (b) When notified in writing by the USDA awarding agency, cognizant agency for audit, oversight agency for audit, cognizant agency for indirect costs, or pass-through entity to extend the retention period. (c) Records for real property and equipment acquired with Federal funds must be retained for 3 years after final disposition. (d) When records are transferred to or maintained by the USDA awarding agency or pass- through entity, the 3-year retention requirement is not applicable. (e) Records for program income transactions after the period of performance. (f) Indirect cost rate proposals and cost allocation plans.