POLICY 2-12
CONTRACTS: AUTHORITY TO SIGN AND PROCEDURES

  • Issued: 3-95
  • Revised: 8-03
  • Approved:

I. INTRODUCTION

This policy delegates authority to sign contracts and sets forth contract procedures and requirements. The term "contract" means a legally binding agreement between the Board of Trustees for Fort Lewis College, and another government agency, business, or individual.

Warning: NEVER MAKE A COMMITMENT TO PURCHASE GOODS OR SERVICES FOR FORT LEWIS COLLEGE WITHOUT AN APPROVED, VALID CONTRACT OR PURCHASE ORDER.

The State legislature sets the laws governing the procedures by which the State can be committed to financial obligations. As an employee of the State of Colorado, you are prohibited from making a financial commitment for Fort Lewis College without complying with the laws of the State of Colorado and Fort Lewis College purchasing procedures. "Ordering" goods or services prior to filing the proper paperwork is in violation of the laws of the State, Fort Lewis College policy, and could result in your personal liability for the amount of the unauthorized commitment.

No contract is effective until approved and signed by the State Controller or the State Controller designee. The State Controller Designee for Fort Lewis College is the Vice President for Business and Finance.

II. STEPS IN CONTRACT PREPARATION AND PROCESSING

To prepare a contract or agreement:

  • Determine whether to use a purchase order or a Personal Services Agreement. The Director of Purchasing can provide assistance in making this determination.

    Note: If a more complex contract is required to protect the interests of Fort Lewis College, you must work with the Fort Lewis College Purchasing Office to draft an appropriate contract. Based on the potential risk to the College, defined by the complexity of terms and condition, scope of work, and cost of the project, the Director of Purchasing may require that the contract be analyzed for alternatives and/or legal review.

  • Determine if a conflict of interest exists. A printable form is available by selecting Conflict of Interest Disclosure Statement and is further explained in Section V of this policy.
  • Special Provisions, or Special Provisions for Inter-Governmental Contracts, are required and incorporated into all contracts. Without the Special Provisions, the contract is not valid.
  • Determine who must sign the contract. Refer to Exhibits I-IV in this policy. If you need assistance, contact the Office of the Vice President for Business and Finance.
  • Proper routing requirements for signatures and review of Personal Services Agreements:
    • Originating Office initiates the contract
    • Originating Office obtains the proper signature for Fort Lewis College
    • Originating Office obtains the proper signature from the Vendor or Consultant
    • Originating Office takes the contract to the Director of Human Resources for review and signature **NOTE: Only applicable for contracts of $5000 or more.
    • Director of Human Resources forwards the contract to the Vice President for Business and Finance for the State Controllor's Designee signature. This office will return the signed contract to the Originating Office, or will return it unsigned if problems are found or any of the required attachments are absent.
  • The contract shall not be deemed valid until it has been approved and signed by the Controller of the State of Colorado or the State Controller's Designee.
  • The original contract must accompany the Request for Payment (RFP) when submitted for payment.
  • A copy of the contract must be kept on file by the originating office for 7 years.

III. COMMON PROBLEMS SEEN IN FORT LEWIS COLLEGE CONTRACTS

  • Contract does not include adequate description of service. For example, "Consulting" is not satisfactory. "Lecture on the History of. .... " is appropriate.
  • Contract does not indicate the maximum amount that may be paid by the College. Contracts must include the exact amount for the services or a "not to exceed" amount.
  • Contract has been signed by an unauthorized individual. (See Section IV. WHO MAY SIGN A CONTRACT?)
  • Special Provisions or Special Provisions for Inter-Governmental Contracts have not been incorporated (or attached) to the contract. Without the Special Provisions the contract is not valid.
  • The W9 Form, Request of Taxpayer Identification Number and Certification, attached here and at the end of this policy under FORMS, has not been completed and attached.
  • A contract prepared by a contractor contains a hold harmless/indemnification clause and/or provides for arbitration.
  • A contract prepared by a contractor has an unacceptable opening clause.
    Required opening clause:
    This (contract, lease agreement, etc.) is made this ___ day of____, 20 __, by and between the Board of Trustees for Fort Lewis College, hereinafter referred to as "the College," and __________ hereinafter referred to as "the Contractor."
  • A contract prepared by a contractor has an unacceptable signature block.

    Required signature block-
    		  

    BOARD OF TRUSTEES
    FOR FORT LEWIS COLLEGE

    		   STATE CONTROLLER:
    Leslie M. Shenefelt
    By______________________

    Title_____________________

    Date_____________________

    Department_______________
    		  
    By_______________________
    Steven J. Schwartz, Designee

    Date_____________________

    		 

IV. WHO MAY SIGN A CONTRACT?

The Board of Trustees for Fort Lewis College delegates authority to the Fort Lewis College President to sign contracts. This policy further allows the President to authorize the Vice Presidents to delegate signature authority to certain College employees within their areas. This list is on file with the Office of the State Controller and these are the only individuals who may sign a contract committing the College to a financial obligation. A copy of this list is on file in the Office of the Vice President for Business and Finance.

Authority to sign a contract is described in the following exhibits:

Exhibit I, Service, Space or Goods Provided by the College

Exhibit II, Purchase of Equipment, Supplies, Land, or Services and Lease of Space

Exhibit III, Purchase of Capital Construction and Related Capital Equipment

Exhibit IV, Purchase of Personal Services other than Employees

V. CONFLICT OF INTEREST

Any Fort Lewis College employee who is involved in the sale, purchase, or rental of property, materials or services for the College must recognize and report potential or actual conflicts of interest to the Director of Purchasing. A printable form is available by selecting Conflict of Interest Disclosure Statement.

VI. PERSONAL SERVICES

A. Definition of Personal Services - Personal services are "labor, time or effort" acquired for the benefit of the College. Examples: elevator maintenance, consulting, visiting speaker, guest artist, architectural work, vending, etc.

B. Provision of Personal Services - Personal services required by the College may be provided by employees or by independent contractors. An independent contractor is a nonemployee.

C. Personal Services Contracts - Standard contracts are used for the purchase of personal services from businesses or individuals. These contract forms are available by selecting a printable form below or at the end of this policy under FORMS.

1. Personal Services Agreement - A Personal Services Agreement  is the contract used for hiring businesses or individuals who are independent contractors. If the independent contractor is a governmental agency (federal, state, county, city), use the Personal Services Agreement for Inter-Governmental Contracts. If you prefer a blank agreement where you may enter handwritten information, select Blank Personal Services Agreement or Blank Personal Services Agreement for Inter-Governmental Contracts.

2. Extended Studies Instructional Agreement -The Extended Studies Instructional Agreement may be used with independent contractors or employees of the College depending upon the following guidelines:

a) If an Extended Studies course resembles or parallels a regular Fort Lewis College course, then the person shall be considered a College employee.

b) If the Extended Studies course is not offered through the College resident instruction program, nor does it resemble a course offered through the College resident instruction program, the instructor shall be considered an independent contractor.

c) If the College maintains control over the actual methods to arrive at the contracted result, then the person shall be considered a College employee. Courses offered for credit are considered to be controlled by Fort Lewis College since certain course criteria must be met before providing College credit.

3. Getaway Instructional Agreement - The guidelines for Extended Studies shall apply to Getaway courses in determining whether a person is an independent contractor or employee.

 

Exhibit I | Exhibit II | Exhibit III | Exhibit IV

FORMS:
Conflict of Interest Disclosure Statement
Special Provisions
Special Provisions for Inter-Governmental Contracts
W9 Form

 
FORT LEWIS COLLEGE      1000 RIM DRIVE DURANGO, COLORADO 81301      (877)FLC-COLO(TOLL FREE)      ADMISSION@FORTLEWIS.EDU