Approval of Contracts
Texas State University-San Marcos
Official UPPS No. 03.04.04
Issue No. 2
Effective Date: 12/7/00
Review: June 1 E6Y
01. POLICY STATEMENTS
01.01 We at TexasState are committed to providing sound financial stewardship through accounting, budgeting, monetary management systems, and fundraising activities which maximize the institution's fiscal posture. This procedure contributes to the implementation of this policy.
01.02 The purpose of this UPPS is to outline the procedure for obtaining proper authorization and approval of contracts at Texas State University-San Marcos. This policy applies to agreements under which TexasState is either purchasing or providing goods/services.
02. PROCEDURE FOR CONTRACTS THAT REQUIRE BOARD APPROVAL
02.01The following is a list of contracts which must be submitted to the Board of Regents for approval (see Rules and Regulations, Board of Regents, Texas State University System).
a.Construction contracts in the amount of $250,000 or more. Contracts between $100,000 and $250,000 must be approved by the Chancellor.
b. Contracts, purchases, and agreements in the amount of $250,000 or more (contracts, purchases, and agreements between $100,000 and $250,000 must be approved by the President), whether said amount is income or expenditure, with the exception of:
1) private, governmental, and foundation grants or agreements in which the donor or agency stipulates the purpose for which the funds are to be expended;
2)materials purchased for resale in auxiliary operations;
3)materials purchased for normal inventory stock for facilities operation;
4)maintenance service contracts on elevators, computers, office equipment, chillers and water treatment services;
5)library subscription services;
6)recurring printing orders;
7)contracts with outside organizations for continuing education or professional programs that use university facilities; and
8)diesel fuel purchased for the operation of a cogeneration plant.
c.Depository contracts.
d.Food services contracts.
e.Vending machine contracts.
f.Architect-Engineer contracts required for projects specified under Subsection 1.11.
g.Contracts and agreements with Support or Development Foundations.
h.Contracts for operation of Bookstore on campus.
i.Contracts for lease of University golf course and related services.
j.Leases of personal property, including equipment, for one (1) year or more involving expected aggregate payments exceeding $250,000. Payments between $100,000 and $250,000 must be approved by the President.
02.02Any questions concerning contracts which might be submitted to the Board for approval should be addressed to the Assistant Vice President for Financial Services/Treasurer or the Vice President for Finance and Support Services (VPFSS).
03. PROCEDURES FOR SUBMITTAL OF BOARD ORDERS
03.01Contracts to be approved by the Board are submitted to the Board quarterly by the President. The Vice President for Finance and Support Services is responsible to the President for the coordination of board orders which deal with contracts.
03.02The Vice President for Finance and Support Services will ensure that each divisional vice president is notified well in advance of each Board meeting of the time schedule, as set by the VPFSS, for submittal of board orders.
03.03The vice president of the division originating the proposed contract is responsible for the preparation of background material for the President and the preparation of the original draft of the board order.
03.04Proposed board orders dealing with fees and contracts are to be submitted through the appropriate divisional vice president, or equivalent university official, to the Vice President for Finance and Support Services (VPFSS).
03.05The VPFSS will ensure that proposed contracts are reviewed by the appropriate offices, including the appropriate vice president, or equivalent university official, the appropriate fiscal officers, the University Attorney, and the General Counsel, Board of Regents, Texas State University System. However, the originator may wish to communicate with these individuals before submitting the proposed order to the VPFSS.
03.06The Vice President for Finance and Support Services will work with the appropriate vice president, or equivalent university official, to finalize a recommendation to the President. If the VPFSS and the appropriate divisional vice president or equivalent university official, do not agree on the board order, they will meet with the President to resolve any differences.
04. PROCEDURE FOR CONTRACTS THAT DO NOT REQUIRE BOARD APPROVAL
04.01 The originator must forward a contract in final form that does not require approval of the Board through the appropriate dean/director and vice president to the University Attorney who will review the document. The University Attorney also prepares contracts if the requester provides the essential information. Upon review or preparation of a contract, the University Attorney will forward the document to the appropriate officer for signature on behalf of the University. The University Attorney will initial the TexasState signature line to indicate his/her review of the contract.
04.02 The President and divisional vice presidents are authorized to sign contracts on behalf of the University. (Refer to UPPS No. 03.04.02.)
04.03 Contracts related to sponsored projects with external funding sources should be reviewed by the Manager of Grants Accounting, prior to being signed by an authorized TexasState contracting official.
05. REVIEWERS OF THIS UPPS
05.01 Reviewers of this UPPS include the following:
Position Date Dr. Carolyn Conn, Associate Vice President for
Financial Services/TreasurerJune 1 E6Y Mr. William L. Fly, University Attorney June 1 E6Y Mr. Robert Cavendish, Manager, Grants Accounting June 1 E6Y 06. CERTIFICATION STATEMENT
This UPPS has been approved by the following individuals in their official capacities, and represents TexasState policy and procedure from the date of this document until superseded.
Dr. Carolyn Conn, Associate Vice President for Financial Services/Treasurer; senior reviewer of this UPPS
Mr. William A. Nance, Vice President for Finance and Support Services
Dr. Jerome H. Supple, President