Preparing a Contract
Request the following documents from the contractor. Documents will vary depending on whether the contractor is an individual (not a business entity) or a business entity (LLC, corporation, etc.).
- W-9 (IRS Form)
- Resume This is a brief description of the contractor's work experience and/or work history to document that the contractor has experience in the field for which we are hiring them; can be in traditional or bio format.
- Company Bio This is required if contracting with a business entity; it can be a printout from the company’s website.
- Retirement Plan Membership Disclosure form This is required if contracting with an individual and not a business. If the Retirement Plan Membership indicates the contractor is a state employee or retiree, the contractor must be hired via a Part Time Employment agreement through HR instead of a contract through Purchasing.
- Board Resolution This is required if the contractor is a corporation, profit or non-profit. Board Resolution from the Board of Directors of the corporation is required to document the person(s) authorized to sign contracts on behalf of the corporation (only if contracting with a corporation [verify the business type on the W-9]).
- Signature Authority Letter This is required if contracting with a business that is not a corporation. This letter is required to document the person(s) authorized to sign contracts on behalf of the business.
- ACH Direct Deposit Payment Enrollment form The College no longer makes payments via paper check; therefore, the contractor must enroll in the electronic payment program. The completed form can be returned to you via email or directly to Accounts Payable. Accounts Payable cannot accept the form unless all information is completed and it is signed by the contractor.
Download the Contract Template (Consulting, Professional, Personal, or Social Services). Different Contract Templates are used for different types of services provided by contractors. The Contract Template titled “Contract Template (Consulting, Professional, Personal, or Social Services)” is the standard template that is most commonly used.
Complete the following highlighted sections in the contract template:
- Name & legal address of contractor (opening paragraph)
- Scope of Services (section I)
- Payment Terms (section II)
- Taxes (section III)
- Term of Contract (section X)
- Signature Page
Remove the highlights after editing each section. Do not modify any language in the document that is not highlighted.
Use the Contract Transmittal Form as a checklist to ensure you include all the required documents with the contract. The Contract Transmittal Form is an excel file with two tabs (one tab is the form and the other tab contains instructions on how to complete the form). Complete the following standard documents for each contract:
- Contract Requisition (be sure to include the Contractor’s address, email and phone number)
- Contract Certification Letter
- Contract Cost Benefit Analysis
Once the contract packet is completed in its entirety and all documents are ready to be signed, print all documents for the packet. Next, sign and date all documents as the Contract Requestor (sign the Transmittal, Requisition, Contract, Certification Letter, and Cost Benefit Analysis). Then, route the entire packet to the Department Head to review, approve, and sign (sign the Requisition & Contract). After the Department Head approves, route the entire contract packet to Hilary Stephenson in the Purchasing Department for review and processing. The contract will then be routed to the appropriate Vice Chancellors for final approval.
TIMELINES TO REMEMBER
Based on the contract dollar amount, the completed contract packet must be submitted to Hilary Stephenson by the following timelines in order to obtain all required approvals and ensure services can begin on the desired start date:
- $20,000 or less - 3 weeks before contract start date
- $20,001 - $49,999 - 8 weeks before contract start date (requires additional approvals from OSP and Civil Service)
- $50,000 or more - 12 weeks before contract start date (requires additional approvals from OSP, Civil Service, and LCTCS Board)
Once the contract receives final approval from the Vice Chancellor for Finance & Administration, it then must be signed by the contractor. You can have the contractor come on campus to sign (if they’re local) or the contract can be shipped to them via FedEx. The FedEx shipping fees will be charged to the budget codes listed on the contract requisition form.
After services are rendered, the contractor must send you an invoice requesting payment in accordance with the payment terms of the contract. You must verify that the invoice is billing us in accordance with the contract payment terms (description of services, payment amount, dates of service, etc.). If the contractor does not have a business invoice, you may provide this Sample Invoice to the contractor, if needed.
After all services are rendered and the final payment is authorized (usually at the end of the contract term), complete the Performance Evaluation and route it to Hilary Stephenson in the Purchasing Department via interoffice mail (evaluation must be dated and submitted no more than 14 days after the contract end date).
If you have any questions relating to the contract process, please email Hilary Stephenson in Purchasing or call at 216-8439.