Contracting Authority to Commit the University             UPPS No. 03.04.02

                                                                                                Issue No. 4

                                                                                                Effective Date: 02/20/2009

                                                                                                Review: December 1E6Y

 

 

01.         POLICY STATEMENTS

 

01.01  This UPPS identifies persons who may sign contracts on behalf of the university.  This UPPS also establishes policy for committing the university to partnerships or alliances with external entities, regardless of whether the commitment is written or oral. UPPS No. 05.02.01, Interagency Cooperation Contracts, contains policy regarding the interagency cooperation contacts with other state agencies.

01.02  Authorized officials who may act as an agent of Texas State to enter into a contract on behalf of the university include the President, the Special Assistant to the President, each vice president, and Director of Athletics, except for certain contracts requiring Board approval. (Refer to UPPS No. 03.04.04, Approval of Contracts). Account managers may contract for certain professional services, in accordance with UPPS No. 03.04.01, Contracted Services, Including Consultants, Speakers, and Other Services.

01.03  This UPPS does not apply to partnerships or alliances under which university employees or students, as representatives of the University, provide volunteer services outside their regular duties or academic coursework.

02.       DEFINITIONS

02.01  “Partnerships or alliances” mean arrangements under which university employees or students, acting as representatives of the university, collaborate on a project or endeavor that involves a commitment of university financial resources or employee time. Examples include: cooperative agreements with school districts, affiliation agreements for student clinical or internship experiences, and referral agreements for student medical services.

02.02  “Employee time” means work time, leave time, and faculty assigned time.

02.03  “Financial resources” mean all assets of the university, regardless of the source of funds.

03.       PROCEDURES FOR DELEGATING AUTHORITY

03.01  The President, vice presidents, or Director of Athletics may delegate authority to sign specific contracts, or specific types of contracts, to certain regular employees. However, before such delegation is valid, it must be written and approved by the person to whom authority is delegated and the University Attorney.

03.02  The written request for delegated contracting authority must:

a.   identify the person to whom authority is delegated;

b.   identify the contracts or types of contracts the person may sign;

c.   specify the length of time for which the delegation is valid, with the understanding that the delegation may continue indefinitely until revoked;

d.   specify any conditions or special instructions associated with the delegation; and

e.   include signatures of both the person accepting the delegation and the person delegating the authority.

03.03  The President, vice presidents, or Director of Athletics may revoke delegated authority at any time by giving written notice of revocation to the delegated person and the University Attorney. If the delegated person is no longer employed at the university, notice of revocation will be given only to the University Attorney.

03.04  The university can delegate contracting authority only to deans or directors and above. 

03.05  The Director of the Office of Sponsored Programs has delegated signature authority for contract and grant agreements related to research, training, or public service for amounts less than $250,000.

03.06  The University Attorney will keep a list of persons to whom authority to sign contracts is currently delegated. The University Attorney will provide the list to each vice president and the Director of Athletics upon request.  In addition, every August the University Attorney will send the list to each member of the President's Cabinet for review.

03.07  A contract signed by an unauthorized person is not binding on the university. A person who signs without proper authorization may be personally liable for any damages incurred by the university or the state.

04.       PROCEDURES FOR PARTNERSHIPS OR ALLIANCES

04.01  The university encourages faculty, staff, and administrators to develop cooperative partnerships and alliances with external constituents (for example, volunteer efforts, settings for external student learning, collaborative efforts to address community needs).

04.02  Such partnerships and alliances generally advance the best interest of the university; however, the supervisor of the employee proposing such efforts must approve them. 

a.   University employees must inform their supervisors of proposed commitments before the commitments’ inceptions.

b.   A commitment of only departmental resources requires approval of the department chair or school director, a commitment of college resources requires approval of the dean, and so forth. Commitments of institution-level resources require President’s Cabinet approval of a Strategic Plan Initiative (SPI).

04.03  Managers will determine whether a proposed partnership or alliance requires a written agreement. In making this determination managers should consider:

a.   The nature and size of the university’s resource commitment. The greater the commitment, the more likely the manager will use a written agreement.

b.   The length of time that the partnership or alliance will continue. The longer the commitment, the more likely the manager will use a written agreement.

c.   The potential for misunderstanding among the parties to the agreement.  The more complex the agreement, the more likely the manager will use a written agreement.

d.   Partnerships or alliances with any of the following elements require a written agreement:

1)   a term of more than twelve months; or

2)   commitment of university resources in an amount greater than $5,000; or

3)   the use, lease, sale, or purchase of real estate by either the university or other parties to the partnership or alliance.

04.04  Managers must forward partnerships or alliances involving written contracts or memos of understanding through the appropriate dean or director and vice president to the University Attorney who will review the document. Upon review and approval of the contract, the University Attorney will forward the document to the appropriate office for signature on behalf of the university.

04.05  Individuals who anticipate using the same general agreement type for similar partnerships or alliances should work with their supervisors and the University Attorney to develop a standard contract. This streamlines the contract review process, requiring the University Attorney approve only modifications to the standard contract.

05.       REVIEWERS OF THIS UPPS

05.01  Reviewers of this UPPS include the following:

Position                                                         Date

Vice President for Finance and                December 1 E6Y

and Support Services

 

University Attorney                                      December 1 E6Y

06.       CERTIFICATION STATEMENT

This UPPS has been approved by the following individuals in their official capacities and represents Texas State policy and procedure from the date of this document until superseded.

Vice President for Finance and Support Services; senior reviewer of this UPPS

President