403: Contract Content
Procurement and Contract Services Policy & Procedures Manual
Section 400: Contracts
403-001: Contract Length and Perpetual Agreements
Contract length should be no more than 5 years. Contracts requested to be in excess of five years are at the sole discretion of PaCS. The University does not contract in perpetuity. All contracts must have a definitive end date.
403-002: Scope of Work
The scope of work should include the expectations and obligations of both parties and should provide enough clarity that an individual not party to the contract could read it and understand.
Areas that are typically included in a scope of work are as follows:
- Description of the work to be done in detail
- Location of the work
- Period of performance or the allowable time for projects
- Deliverables schedule describing what is due and when
- Industry standards to be adhered to in fulfillment of the contract
- Acceptance criteria to determine if the product or services are acceptable
- Special requirements such as certifications or travel requirements
Describes the agreed upon fees and conditions that Contractor will be paid, what method and when, and where invoices should be sent to. The rate of pay can be linked to a quantifiable unit of measure such as hour or performance and completion of deliverables. The rate of pay can be tied to performance milestones, percentage of completion, units of work, or by hour. If the rate is hourly it may be looked at closer to determine if this contractor should really be an employee. The “Not to Exceed Amount” should be the total amount that the contract cannot exceed and include amounts for any travel and reimbursable expenses allowable under the contract.
Identify Key Persons (persons key to performing the work), contract administrators, and to whom notices should be sent for both Contractor and OSU.
403-005: Contract Insurance Requirements