All contracts, agreements, memorandum of understanding and similar documents legally binding Delta State University are subject to the review and approval procedures found in this policy.
Contracting with External Parties: A contract outlines specific goals and requirements for goods and/or services to be provided by or to the external party. Payment to external party contracts is made via a university purchase requisition.
Contracting with Individuals: An individual may only be retained for professional services as an independent contractor (or consultant) if a determination is made that an employer-employee relationship does not exist. The determination of an individual’s status as an employee or independent contractor must be made prior to an engagement to perform personal or professional services. Please contact the Finance and Administration Comptroller for assistance. Payment to independent contractors is made on the Additional Compensation/Consultant form available in the Comptroller’s office. Consultant payments should not be made on a university requisition.
Contracting with DSU Employees: The university is prohibited from contracting with its employees for the provision of goods or services. In the event an employee is performing work outside the scope of the normal responsibilities on a one-time basis, they should be paid on the Additional Compensation/Consultant form available in the Comptroller’s office. Payments to employees should not be made on a university requisition.
Authority to Execute
The President is designated as the authorizing official for the University to apply for and receive grants and contracts, and to execute any documents relating to or on behalf of the University. The President has delegated this authority to the Vice President for Finance & Administration. Anyone who signs a contract without authorization is subject to disciplinary action, up to and including termination, and may be legally and financially liable for representations made in the contract.
Review and Approval Process
All contracts or agreements should be directed to the Vice President for Finance & Administration’s office for approval and signature. This review is designed to provide reasonable assurance that all contracts and agreements have been reviewed for: availability of funds, risk, compliance, form and legal sufficiency. Until the contract or agreement has been reviewed and signed by either the Vice President for Finance & Administration or the President, the document shall not be considered legally binding. All contracts executed are held in the university’s master contract file located in the Procurement Office. The Office of Finance & Administration is also responsible to ensure contracts requiring IHL Board approval are submitted to the Board prior to final execution.
Contracts with external parties and individuals should have the university’s contract addendum attached unless this requirement has been waived by the Vice President for Finance & Administration. The contract addendum is available at the Office of Finance & Administration’s website or by calling the office.
Payment Approval Process
The contractor is responsible for initiating invoices as per the terms of the contract. Delta State University requires original invoices signed by the contractor. Invoices should be submitted to the contracted department whereby a payment request will be initiated. An approved budget authority must approve the payment request before payment will be issued. This approval indicates that any services or deliverables required for the invoice period have been rendered.
Types of Contracts Subject To Review
Types of Contracts Not Subject To Review
Last Change/Approval Date:
04/09/2012 (Approved, President's Cabinet)