Record Management and Retention of Records

Currently, the record retention requirements are to keep all records, data and documents associated with the bonds in hard copy form for 3 years and 1 day past the final maturity date for the bonds (or longer if required by local or state law). Records may be stored in an electronic format in lieu of hard copies if certain requirements are satisfied, for example:

  • The system must ensure an accurate and complete transfer of the hard copy books and records to the electronic storage system and contain a retrieval system that indexes, stores, preserves, retrieves, and reproduces all transferred information.

  • The system must include reasonable controls and quality assurance programs.

  • The information maintained in the system must be cross-referenced with the books and records in a manner that provides an audit trail to the source document(s).

  • Upon request by the IRS, a complete description of the electronic storage system, including all procedures relating to its use and the indexing system, must be provided.

  • Upon request by the IRS, the issuer must retrieve and reproduce hard copies of all electronically stored records.

  • The system must not be subject to any agreement that would limit the IRS access to and use of the system.

  • Additional Requirements for Record Retention for Refunding and Refunded Debt Issues
    • Since the refunding debt is dependent on the tax-exempt status of the refunded debt, records are required to be maintained for 3 years and 1 day past the final maturity of both debt issues.
  • Executed investment contracts must be kept, including such information as:
    • Evidence of the purchase price paid for each investment contract.

    • Detailed documentation of the investment contract bid process.

    • Certification by the investment contract provider of fees paid for each contract.

    • All bid solicitation forms.