Contracting For Goods and Services

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It is imperative that faculty and employees seeking to enter into a contract with outside parties on behalf of the University adhere to established University procedures to ensure that the University’s and their individual interests are protected. This applies to all contractual arrangements for goods and services, including consulting arrangements.

Reason for Policy

Entering into a contract for goods or services for the University creates financial and other legally binding obligations for the University. In addition, depending on the terms, a contract may expose Adelphi University resources and individual University employees and faculty members to certain statutory and legal risks because all contracts create legally binding obligations. It is imperative that all employees and faculty members intending to enter into a contract with outside parties on behalf of the University adhere to the University’s established procedures in order to protect Adelphi University and themselves, individually, against this risk exposure.

Who Is Governed by this Policy

Faculty and Staff

Policy

All University contracts shall be reviewed by the appropriate management, contract management staff, and, when necessary, the University’s legal counsel and/or insurance representative.

Board of Trustees and/or Committee approval is required for contracts that meet any of the following criteria, and as outlined in the attached matrix:

  • Aggregate commitment exceeds $500K (unless otherwise specified in the matrix)
  • Term exceeds 10 years
  • Involves services that significantly impact the University’s academic direction

Contract renewals where the original contract was Board-approved do not require additional approval if the renewal does not exceed 110% of the original cost, and the expense is included in a Board-approved budget.

Contracts and Other Matters Requiring Board of Trustees Approval “Matrix”

All amounts noted are total financial commitment over the life of the contract:

All Contracts

Contract renewals where the original contract was Board-approved do not require additional approval if the renewal does not exceed 110% of the original cost, and the expense is included in a Board-approved budget.

Contract Type Approval Required from the Finance and Investment Committee (FINV) Approval Required from Other Committees Approval Required from the Full Board of Trustees
All Contracts with Aggregate Commitment >$500K, unless otherwise specified below Yes None Required Yes
Contracts with a duration of more than 10 years Yes None Required Yes
Services of significant impact to the academic direction of the University Yes None Required Yes

Construction

Not applicable for capital and deferred maintenance items approved explicitly in capital and operating budgets or financing.

Contract Type Approval Required from the Finance and Investment Committee (FINV) Approval Required from Other Committees Approval Required from the Full Board of Trustees
Construction Contracts > $500K and < $750K Yes Yes (Facilities and Logistics Committee) No
Change Order >$50K on Construction Contracts > $500K Yes Yes (Facilities and Logistics Committee) No
Architectural or Engineering Contracts > $250K Yes Yes (Facilities and Logistics Committee) No

Financial Services

Contract Type Approval Required from the Finance and Investment Committee (FINV) Approval Required from Other Committees Approval Required from the Full Board of Trustees
Banking Authorizations, Letters of Credit, Debt Yes None Required Yes
Institutional Custodial Agreements and Trusts Yes None Required No
Financial Auditor Agreement No Yes (Audit Committee) Yes
Investment Advisory, Money Management Yes None Required Yes

Labor Agreements

Contract Type Approval Required from the Finance and Investment Committee (FINV) Approval Required from Other Committees Approval Required from the Full Board of Trustees
Collective Bargaining Agreements for Public Safety, Local 153, AAUP (faculty), Local 1102 (custodians), and APPWLU (mechanics) Yes (only if financial impact >$100k) Yes (Work Life Committee) Yes

Professional Services

Contract Type Approval Required from the Finance and Investment Committee (FINV) Approval Required from Other Committees Approval Required from the Full Board of Trustees
Legal, Consulting, Internal Audit Services or other Professional Services Agreements >$250K Yes None Required Yes

Real Estate

Contract Type Approval Required from the Finance and Investment Committee (FINV) Approval Required from Other Committees Approval Required from the Full Board of Trustees
Purchase or Sale of Real Estate by the University Yes Yes (Facilities and Logistics Committee) Yes
Lease of Real Property > $750k or longer than 5 years Yes Yes (Facilities and Logistics Committee) Yes

Definitions

This policy does not have definitions associated with it at this time. Upon periodic policy review, this area will be evaluated to determine if additional information is needed to supplement the policy.

Forms

The University has Standard Agreement forms for Guest Speakers, Multimedia Services, Performance, Professional Services, Speaking Engagements and Vendor Services as referenced in the Contract or Agreement Approval section of the Finance Administrative Reference Guide (FARG). There is a Contract Drafting Tool, which can be used to create the above Agreements to meet your needs.

Related Information

Document History

  • Last Reviewed Date: June 17, 2025
  • Last Revised Date: June 17, 2025
  • Policy Origination Date: Not known

Who Approved This Policy

Board of Trustees

Policy Owner

Policy Expert

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