Finance and Administration Policies (FIN)

Contract Approval Procedure

Policy Purpose

The purpose of this Procedure is to define a process for the routing, review, approval and retention of all CSN contracts in compliance with Board of Regents policy and procedures. This Procedure will promote the efficient review and approval of contracts, while ensuring legal sufficiency and minimizing risk.

Procedure

  1. A contract is a binding agreement between two or more parties that creates obligations that are enforceable or otherwise recognizable at law. These contracts include, but are not limited to, contracts or agreements containing terms and conditions require review prior to signature. CSN contracts will fall into one of the following categories:
    1. Purchase or lease of goods, services or equipment;
    2. Lease/rental agreements for land or buildings;
    3. Facility use agreement;
    4. Letter or memorandum if intent, agreement or understanding;
    5. Grants and sponsored projects;
    6. Academic affiliation, training, or matriculation agreements; or
    7. Other
  2. The guidance for contract preparation and approval is set forth in the Nevada System of Higher Education Procedures and Guidelines Manual ("PGM"), Chapter 5, Section 3.
  3. This Procedure seeks to:
    1. Ensure that all contracts meet the College's legal and compliance requirements;
    2. Avoid unintended obligations and eliminate risks not in the best interest of the College;
    3. Promote accountability and predictability for the processing of College contracts;
    4. Develop an efficient process for contract review and approval; and
    5. Contribute to budget certainty by issuing purchase orders for all contracts for goods and services.
  4. The following process shall apply to all contracts (except employment contracts between CSN and CSN employees) presented to CSN for consideration and/or created by CSN. Whenever possible, the CSN approved contract template or templates provided in Chapter 5 of the PGM should be utilized.
    1. College Department Responsibilities
      1. Each contract shall be submitted via email to contractrouting@csn.edu or intercampus mail to NLVF110. Please include the name of a department contact should the submission require follow-up discussion.
      2. All submissions should include the appropriate individuals with signature authority named in the signature lines. Only the President or his designee has legal authority to contractually bind the College. Please ensure any designee named in a signature line has an effective signature authority delegation from the President.
      3. If the contract is for the purchase of goods or services or is a lease in which CSN is the lessee, please include the funding source (i.e. PG number) and submit a requisition in Workday. If creating a requisition prior to contract submission is not possible, please contact Purchasing.
      4. Include any special instructions when submitting the contract to the Purchasing Department (e.g. background/history, pending funding, collaborative arrangement with another institution, etc.)
      5. If the contract is urgent, please indicate in the email or with a note attached to the contract.
      6. Once the contract is submitted to the Purchasing Department, the department should not further discuss the terms and conditions of the contract with the supplier.
    2. Purchasing Department Responsibilities
      1. The Purchasing Department will perform a review of the contract to ensure compliance with the contracting standards established by the NSHE Procedures and Guidelines Manual, NSHE Risk Management and Safety, and CSN General Counsel.
      2. When appropriate, the Purchasing Department will create a contract using the approved contract template.
      3. The identified department point of contact will be consulted to ensure the scope of work is accurate and to answer questions and/or to provide context.
      4. If the contract is for the purchase of goods or services, direct interaction with the supplier will be conducted by the Purchasing Department for the purpose of finalizing the contract.
      5. The Purchasing Department will determine if the submitted contract requires additional review by General Counsel.
      6. Once the review is completed, the Purchasing Department will prepare the contract for the appropriate signatures and route the contract for signature.
      7. A copy of the fully executed contract will be provided to the requesting department.
    3. General Counsel Responsibilities
      1. Provide general oversight and guidance for this process.
      2. Review legal terms and conditions for compliance and acceptability.
      3. Provide the required approval for contracts requiring Chancellor signature as stated in the NSHE Procedures and Guidelines Manual.

    4. Students, Student Organizations, and Foundation

      Students and student organizations may not enter into any contracts in the name of or on behalf of the College or commit the College or any of its funds or facilities. CSN student organizations and the CSN Foundation must also follow this procedure.

    5. Contract Retention

      The CSN Purchasing Department is the designated custodian of all College contracts, including purchase orders (does not apply to employment contracts).

Authority and Cross Reference Links

Disclaimer

The president has the discretion to suspend or rescind all or any part of this policy or related procedure(s). The president shall notify the appropriate CSN personnel, including the Executive Sponsor and shared governance leaders, of the suspension or rescission.

Questions about this policy should be referred to the Executive Sponsor.