(1) After the initial 90-day record retention period required pursuant to subdivision (a), a dealer may maintain the original paper business records at an offsite storage location within California, provided that the original paper business records are retrievable and available for inspection by the department upon three business days' notice and the original paper business records are stored in a manner that meets any applicable safeguard requirements pursuant to 15 U.S.C. section 6801(b).

(2) A dealer may create an electronic copy of an original paper business record at any time. After the initial 90-day record retention period required pursuant to subdivision (a), an electronic copy of an original paper business record shall satisfy the record retention requirements of Section 272.00(b), Title 13, California Code of Regulations, for the remainder of the three-year record retention period, provided the electronic record requirements in subdivision (b)(1) through (b)(5) of this Section are satisfied.

(1) The electronic record is created in a non-alterable format;

(2) The electronic record is retained in a format that permits the electronic record to be readily accessible and retrievable;

(3) The electronic record is legible, complete and accurate;

(4) The electronic record is retained in a manner that permits the electronic record to be retrieved and made available to the department for inspection upon three business days' notice;

(5) Any access device, server, network device, or any internal or external storage medium used for storing the electronic record has access controls and physical security measures to protect the records from unauthorized access, viewing or alteration.