18CFR Part 356 (2015)

SUBCHAPTER R—APPROVED FORMS, INTERSTATE
COMMERCE ACT
PART
356—PRESERVATION
OF
RECORDS FOR OIL PIPELINE
COMPANIES
Sec.
356.1 Promulgation.
356.2 General instructions.
356.3 Preservation of records for oil pipeline
companies.
AUTHORITY: 42 U.S.C. 7101–7352; 49 U.S.C. 1–
27; E.O. 12009, 3 CFR 1978 Comp. p. 142.
SOURCE: Order 617, 65 FR 48166, Aug. 7, 2000,
unless otherwise noted.

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§ 356.1 Promulgation.
This part is prescribed and promulgated as the regulations governing the
preservation of records by oil pipeline
companies subject to the jurisdiction
of the Commission, to the extent and
in the manner set forth therein. This
part is enforceable as of the date the
oil pipeline company becomes subject
to the jurisdiction of the Commission.
§ 356.2 General instructions.
(a) Scope of this part. (1) The regulations in this part apply to all books of
account and other records prepared by
or on behalf of the oil pipeline companies.
(2) The regulations in this part must
not be construed as excusing compliance with other lawful requirements of
any other governmental body, Federal
or State, prescribing other record keeping requirements or for preservation of
records longer than those prescribed in
this part.
(3) To the extent that any Commission regulations may provide for a different retention period, the records
should be retained for the longer of the
retention periods.
(4) Unless otherwise specified in the
schedule in § 356.3, duplicate copies of
records may be destroyed at any time.
Provided, however, that such duplicate
copies must not contain significant information not shown on the originals.
(5) Records other than those listed in
the schedule may be destroyed at the
option of the oil pipeline company.
Provided, however, that records which

are used in lieu of those listed must be
preserved for the periods prescribed for
the records used for substantially similar purposes and that retention of
records pertaining to added services,
functions, plant, etc., the establishment of which cannot be presently
foreseen, must conform to the principles embodied herein.
(6) Notwithstanding the provision of
the records retention schedule, the
Commission may, upon request of the
oil pipeline company, authorize shorter
retention periods for any records listed
in § 356.3. The oil pipeline companies
must show that the longer retention
periods are no longer necessary or appropriate to protect the public interest, investors, or consumers. A waiver
from any provision of these regulations
may be made by the Commission upon
its own initiative or upon submission
of a written request by the company.
Each request for waiver must demonstrate that unusual circumstances
warrant a departure from prescribed
retention periods, procedures, or techniques, or that compliance with such
prescribed requirements would impose
an unreasonable burden on the company.
(b) Designation of supervisory official.
Each oil pipeline company subject to
the provision of this part must designate one or more persons to supervise
the oil pipeline company’s program for
preservation and authorized destruction of records.
(c) Protection and storage of records.
Each oil pipeline company subject to
these regulations must provide reasonable protection for records. The records
must have protections from fire, floods,
and other hazards. Storage spaces, will
also prevent unnecessary exposure to
deterioration from excessive humidity,
dryness, or lack of proper ventilation.
(d) Record storage media. (1) Each oil
pipeline company has the flexibility to
select its own storage media.
(2) The storage media must have a
life expectancy at least equal to the
applicable record retention period provided in § 356.3 unless there is a quality

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§ 356.3

18 CFR Ch. I (4–1–15 Edition)

transfer from one media to another
with no loss of data.
(3) Each oil pipeline company is required to implement internal control
procedures that assure the reliability
of and ready access to data stored on
machine readable media. Internal control procedures must be documented by
a responsible supervisory official.
(e) Destruction of records. Oil pipeline
companies may use any appropriate
method to destroy permitted records.
(f) Premature destruction or loss of
records. When records are destroyed or
lost before the expiration of the prescribed period of retention, a certified
statement listing, as far as may be determined, the records destroyed, and
describing the circumstances of accidental or other premature destruction
or loss must be filed with the Commission within ninety (90) days from the
date of discovery of such destruction.
(g) Retention periods designated ‘‘Destroy at option’’. ‘‘Destroy at option’’
constitutes authorization for destruction of records at managements’ discretion if it does not conflict with other
legal retention requirements or usefulness of such records in satisfying pending regulatory action or directives.
(h) Records of services performed by associated companies. Oil pipeline companies must assure the availability of
records of services performed by associated companies for the periods indicated in § 356.3 as necessary to be able
to readily furnish detailed information
as to the nature of transaction, the involved, and the accounts used to record
the transactions.
(i) Index of records. Oil pipeline companies must arrange, file, and index
records so they may be readily identified and made available to Commission
representatives.
(j) Rate case. The schedule of records
in § 356.3 shows the periods of time that
designated records must be preserved.
However, not withstanding the minimum retention periods provided in
this regulation, if an oil pipeline company intends to reflect costs in a current, pending, or future rate case, or if
an oil pipeline company has abandoned
or retired plant subsequent to the test
period of its last rate case, it must retain the appropriate records to support

the costs, and adjustments proposed in
the next or current rate case.
(k) Pending complaint litigation or governmental proceeding. Notwithstanding
the minimum requirements, if an oil
pipeline company is involved in pending litigation, complaint proceedings,
proceedings remanded by the court, or
governmental proceedings, it must retain all relevant records.
(l) Companies going out of business.
The records referred to in these regulations may be destroyed after business
is discontinued and the company is
completely liquidated. The records
may not be destroyed until dissolution
is final and all transactions are completed. When a company is merged with
another company under jurisdiction of
the Commission, the successor company must preserve records of the
merged company in accordance with
these regulations.
(m) Life or mortality study data. Life
or mortality study data for depreciation purposes must be retained for 25
years or for 10 years after plant is retired.
§ 356.3 Preservation of records for oil
pipeline companies.
TABLE OF CONTENTS
Corporate and General
1. Incorporation and reorganization.
2. Minutes to Directors, Executive Committees, and Stockholders
3. Titles, franchises, and authorities.
4. Contracts and agreements.
5. Accountants’, auditors’, and inspectors’
reports.
Treasury
6. Long-term debt records.
Financial Accounting
7. Ledgers.
8. Journals.
9. Vouchers.
10. Accounts receivable.
11. Records of accounting codes and instructions.
Property and Equipment
12. Property records.
13. Engineering records.
Personnel and Payroll
14. Payroll records.
15. Copies of tax returns and supporting
schedules.

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Federal Energy Regulatory Commission
16. Information returns, and reports to taxing authorities.
Purchase and Stores
17. Material ledger.
18. Inventories.

§ 356.3
21. Authorities and supporting papers for
transportation.
22. Copies of concurrences and powers of attorney.
23. Correspondence and working papers in
connection with the making of rates.

Transportation

Reports and Statistics

19. Oil and other products stocks.

24. Reports to Federal Energy Regulatory
Commission and other regulatory bodies.

Tariffs and Rates
20. Official file copies of tariffs.

SCHEDULE OF RECORDS AND PERIODS OF RETENTION
Item No. and description

Retention period

Corporate and General
1. Incorporation and reorganization:
(a) Charter of certificate of incorporation and amendments.
(b) Legal documents related to mergers, consolidations, reorganizations, receiverships, and similar actions which affect the identity or organization of the
company.
2. Minutes to Directors’, Executive Committees’, Stockholders’,
and other corporate meetings.
3. Titles, franchises, and authorities:
(a) Certificates of public convenience and necessity
issued by regulating bodies.
(b) Operating authorizations and exemptions to operate issued by regulating bodies.
(c) Copies of formal orders of regulatory bodies
served upon the company.
(d) Deeds, charters, and other title papers ...................
4. Contracts and agreements:
(a) Contracts and related papers for transactions
which are subject to the provisions of the Clayton
Antitrust Act (15 U.S.C. 20).
(b) Service contracts, such as for operational management, accounting, financial or legal service, and
agreements with agents.
(c) Contracts and other agreements relating to the
construction, acquisition or sale of real property and
equipment except as otherwise provided in paragraph (a) of this item.
5. Accountant’s, auditor’s, and inspector’s reports:
(a) Certifications and reports of examinations and audits conducted by public and certified public accountants.
(b) Reports of examinations and audits conducted by
internal auditors, time inspectors, weight inspectors,
and others.

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Treasury
6. Long-term debt records:
(a) Bond indentures, underwriting, mortgage, and
other long-term credit agreements.
Financial Accounting
7. Ledgers:
(a) General and subsidiary ledgers with indexes thereto.
(b) Balance sheets and trial balance sheets of general
and subsidiary ledgers.
8. Journals:
(a) General journals ......................................................
(b) Subsidiary journals and any supporting data, except as otherwise provided for, necessary to explain
journal entries.
(c) Schedules of recurring or standard journal entries
with entry identifications.
9. Vouchers:
(a) Voucher registers or equivalent ..............................

Permanently or at termination of the corporation’s existence.
Permanently or at termination of the corporation’s existence.

5 years.

Until expiration or cancellation.
Until expiration or cancellation.
1 year after expiration or cancellation.
3 years after disposition of property.
4 years after expiration, provided there is no pending litigation
or governmental inquiry or proceeding involved.
3 years after expiration or termination.

3 years after expiration or termination.

3 years.

3 years.

6 years after redemption.

3 years.
3 years.

3 years.
3 years.

Until superseded.

5 years.

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§ 356.3

18 CFR Ch. I (4–1–15 Edition)
SCHEDULE OF RECORDS AND PERIODS OF RETENTION—Continued
Item No. and description

Retention period

(b) Paid and canceled vouchers, expenditure authorizations, detailed distribution sheets, and other supporting data including original bills and invoices, except as otherwise provided herein.
10. Accounts receivable, record, or register of accounts receivable.
11. Records of accounting codes and instructions .....................
Property and Equipment
12. Property records:
(a) Records which maintain complete information on
cost or other value of all real property or equipment.
(b) Records and additions and betterments made to
property and equipment.
(c) Records pertaining to retirements and replacements of property and equipment.
(d) Records pertaining to depreciation:
(1) When group method and depreciation
rates are prescribed by the Commission.
(2) Other .........................................................
(e) Records of equipment number changes .................
(f) Records of motor and engine changes ....................
(g) Files of detailed authorizations for expenditures,
work or job orders showing estimated costs of additions and betterments, extensions, replacements,
major repairs and dismantlements, approved by
proper officials, together with supporting data.
(h) Periodical inventories of property and equipment ...
13. Engineering records:
(a) Plans and specifications ..........................................
(b) Estimates of work, engineering studies, construction bids, and similar data pertaining to property
changes actually made.
Personnel and Payroll
14. Payroll records:
(a) Registers, abstracts, or summaries showing earnings, deductions, and amounts paid to each employee by pay periods.
(b) Records showing the detailed distribution of salaries and wages to various accounts.
Taxes
15. Copies of tax returns and supporting schedules filed with
taxing authorities, supporting working papers, records of appeals of tax bills, and receipts for payment. See Subsection
9(b) for vouchers evidencing disbursements:
(a) Income tax returns ...................................................
(b) Property tax returns .................................................
(c) Sales and other use taxes .......................................
(d) Other taxes ..............................................................
(e) Agreements between associate companies as to
allocation of consolidated income taxes.
(f) Schedule of allocation of consolidated Federal income taxes among associate companies.
16. Information returns and reports to taxing authorities ............

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Purchase and Stores
17. Material ledger, records of material and supplies on hand
at all locations.
18. Inventories: General Inventories of material and supplies
on hand, with record of adjustments between accounts required to bring stores records into agreement with physical
inventories.
Transportation
19. Oil and other products stocks and movement pipelines
only:
(a) Records and receipts, deliveries, pumpings,
stocks, and over and short.
(b) Run tickets showing quantities by tank measurement of meter reading of oil and other products received into the delivered from company’s lines.

5 years.

3 years after settlement.
3 years after discontinuance.

3 years after disposition of property.
3 years after disposition of property.
3 years after disposition of property.

3 years after disposition of property.
3 years after disposition of property.
3 years after disposition of property.
Destroy at option.
3 years after disposition of property.

3 years after prior inventory.
3 years after the disposition of the property.
15 years.

3 years.

3 years.

3
3
3
3
3

years
years
years
years
years

after final tax liability is determined.
after final tax liability is determined.
final tax liability is determined.
after final tax liability is determined.
after final tax liability is determined.

3 years after final tax liability is determined.
3 years, or for the period of any extensions granted for audits.
2 years.
2 years.

3 years.
3 years.

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Federal Energy Regulatory Commission

§ 357.2

SCHEDULE OF RECORDS AND PERIODS OF RETENTION—Continued
Item No. and description

Retention period

(c) Statements of oil and oil products consumed as
fuel including quantity value, and where consumed.
(d) Statement of oil and other products lost by line
breaks and leaks including quantity, value, and location of breaks and leaks.
(e) Reports of power furnished by producers: monthly
reports of the quantity of oil run in connection with
which power was furnished by producers, and
records of payment for such power.
(f) Records of producers’ property identifying ownership and location for producers’ tanks or wells to
which carrier’s lines are connected.
(g) Division or other periodical inventory reports of oil
and other products on hand.
(h) Division orders: Directions received by carrier as
to the division of interest and to whose account
transported oil should be credited.
(i) Directions received by the carrier for the transfer of
division order interests from one interest owner to
another.
(j) Transfer orders for the transfer of ownership of oil
or other products in carrier’s custody.
Tariffs and Rates
20. Official file copies of tariffs, classifications, division sheets,
and circulars relative to the transportation of property.
21. Authorities and supporting papers for transportation of
property for free or at reduced rates.
22.Copies of concurrences and powers of attorney ...................
23. Correspondence and working papers in connection with the
making of rates and compliance of tariffs, classifications, division sheets, and circulars affecting the transportation of
property.
Reports and Statistics
24. Reports to Federal Energy Regulatory Commission and
other regulatory bodies, annual financial, operating and statistical reports, file copies, and supporting data.

PART 357—ANNUAL SPECIAL OR
PERIODIC REPORTS: CARRIERS
SUBJECT TO PART I OF THE INTERSTATE COMMERCE ACT
Sec.
357.1 Common carriers.
357.2 FERC Form No. 6, Annual Report of
Oil Pipeline Companies.
357.3 FERC Form No. 73, Oil Pipeline Data
for Depreciation Analysis.
357.4 FERC Form No. 6–Q, Quarterly report
of oil pipeline companies.
357.5 Cash management programs.

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AUTHORITY: 42 U.S.C. 7101–7352; 49 U.S.C.
60502; 49 App. U.S.C. 1–85 (1988).

§ 357.1 Common carriers.
All common carriers by pipeline subject to the provisions of Part I of Interstate Commerce Act, as amended, are
hereby required hereinafter to file in
the office of the Commission on or before the 31st day of March in each year,

3 years.
3 years.

3 years.

3 years after disconnection.

3 years.
3 years after discontinuance.

3 years after discontinuance.

3 years.

3 years after expiration or cancelation.
3 years.
2 years after expiration or cancelation.
2 years after cancelation of tariff.

5 years.

reports covering the period of 12
months ending with the 31st day of December preceding said date, giving the
particulars heretofore called for in the
annual reports required by the Commission of said carriers.
[Order 119, 46 FR 9051, Jan. 28, 1981]

§ 357.2 FERC Form No. 6, Annual Report of Oil Pipeline Companies.
(a) Who must file. (1) Each pipeline
carrier subject to the provisions of section 20 of the Interstate Commerce Act
whose annual jurisdictional operating
revenues has been $500,000 or more for
each of the three previous calendar
years must prepare and file with the
Commission copies of FERC Form No.
6, ‘‘Annual Report of Oil Pipeline Companies,’’ pursuant to the General Instructions set out in that form. Newly
established entities must use projected

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