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A "contract" is an agreement between two or more parties that creates obligations that are enforceable or otherwise recognized by law. This includes, but is not limited to any document that has terms and conditions, leases, letters of agreement, memoranda of understanding, letters of intent and interagency of intra-system agreements.
A contract is required if the subject matter of the transaction involves:
UHS policy does not allow contracting with individuals who are current employees or with individuals who have been employed by any component of the System during the previous twelve month period.
University of Houston System Administrative Memorandum
3.2 Under provisions of State and federal law, an individual may not be hired as an independent contractor when currently on the payroll of any component university.
Similarly, State law requires that an individual may not be hired as a consultant on an independent contractor basis if employed by any component of the System during the previous twelve month period.
A contract is not required if the purchase:
State law (Texas Government Code 403.055) requires state agencies and universities to verify that the prospective vendor is not "On Hold" with the State of Texas before and order is placed with the vendor.
§ 403.0551. DEDUCTIONS FOR REPAYMENT OF CERTAIN DEBTS OR TAX DELINQUENCIES. (a) Except as provided by Subsections (b) and (d), the comptroller may deduct the amount of a person's indebtedness to the state or tax delinquency from any amount the state owes the person or the person's successor.
You can determine if the vendor is "Open For Ordering" by running the following query in PeopleSoft:
At the "Vendor Information" web page, under the "Identifying Information" tab, there should be a check mark in the box labeled "Open For Ordering". If this box is not checked, the vendor has an outstanding debt with the State of Texas and UHD is unable to contract with this vendor.
Attach a "print shot" of this page to the Contract Cover Sheet and keep a copy for your file. If you need assistance, contact Accounts Payable at (713) 221-8624 or (713) 221-8614.
A purchase requisition is always required for Higher Education Assistance Funds (HEAF) transactions, software purchases and state contract items.
Otherwise, a purchase requisition is required if the cost of the service is equal to or expected to exceed $5,000.
Purchasing is required to bid the service prior to execution of the contract if the value of the contract is expected to equal or exceed $5,000 in state or local funds.
Contact Purchasing at (713) 221-8062 for assistance in the bidding process.
The Purchasing department is not required to obtain formal bids if:
If bids are required but will not be obtained, departments must submit a Proprietary/Sole Source Justification form (Note: This is a PDF form) for processing with the purchasing documents.
 Texas law defines "Professional Services" as "services that are within the scope of practice of (i) accounting, (ii) architecture, (iii) land surveying, (iv) medicine, (v) optometry, (vi) professional engineering, (vii) real estate appraising, or (viii) nursing, or that are provided in connection with the professional employment or practice of an individual who is licensed or certified to render the listed services.
“Consulting Services” are defined by state law as “the service of studying and/or advising a state agency under a contract that does not involve the traditional relationship of employer-employee".
The usual acquisition procedures cannot be followed without causing financial or operational damage to the University. A Justification for Emergency Acquisition form (Note: This is a PDF form) is required.
[Note: To get Adobe for PDF forms, link to http://www.uhd.edu/contact.htm]
The Office of General Counsel (OGC) has pre-approved a variety of contracts for your use. The following contract forms can address most of your contractual needs:
OGC Form # Title Use For:
General agreement designed to create consitency in terms and conditions and simplify the choice of which agreement should be used.
- Replaces Purchasing Agreement for Goods and Services, the Independent Contractor Agreement, and the Consulting Agreement 
- Allows a "service order" alternative for work to be contracted on an as needed basis.
Performer Agreement Musicians, Singers, Clowns, Magicians, etc. S-2004-1
Contractor By Operations Job Order Contract Future Maintenance, Repairs and Installation on As Needed Basis (This contract is generally reserved for use by Facilities Management.) S-1999-13-UHD
Sponsored Project Contractual Agreement Individuals or Organizations Paid Via Grant Funds Received by UHD (Contact Carolyn Ivey firstname.lastname@example.org or (713) 221-8681 for information.)
 “Consulting Services” are defined by state law as “the service of studying and/or advising a state agency under a contract that does not involve the traditional relationship of employer-employee".
The Addendum Can Be Used For
- Contracts for services
- Non-standard contracts with total values of less than $25,000
The Addendum Cannot Be Used For
- Goods, materials and supplies normally procured by the Purchasing Department
- Contract amendments/extensions that increase the total contract value to $25,000 or more
- Agreements for “Consulting Services” (defined by state law as “the service of studying and/or advising a state agency under a contract that does not involve the traditional relationship of employer-employee")
- Revenue agreements
- Contracts requiring Board of Regents approval and/or signature by the UHS President/Chancellor
- Contracts pertaining to sponsored projects, programs, activities for research and/or intellectual property which are funded by grants or other external funding sources
- Non-standard Memoranda of Understanding, Letters of Intent, affiliation agreements, Interlocal agreements and Interagency agreements
- Leases, easements and other real estate matters
- Non-standard contracts with a clause that indicates the vendor’s contract will supersede any Addendum
- Agreements otherwise not eligible for use with the Addendum pursuant to the UHD/UHS policies
Use of the Addendum is Optional
Use of the Standard Contract Addendum is optional. If UHD/UHS or the other contracting party prefer not to sign the Addendum or if the agreement does not qualify for use with the Addendum, the agreement must be processed through the Office of General Counsel and will be subject to general Contract Administration review policies and timeframes.
Listed below is a guide to assist you with determining if the contract does or does not require insurance:
- Transportation and valet service
- Services or entertainment requiring the movement of heavy/bulky equipment on campus property
- Assembling furniture, tents and other large, bulky or heavy items
- Services requiring large vehicles on campus facilities
- Services involving changes to campus facilities (e.g., running cables, mechanical, electrical, plumbing, renovation, construction, parking, etc.)
- Services involving facilities, security or furniture installations
- Facility repair, maintenance, installation, cleaning, custodial and signage services
Instructors working with children may require special certificate of insurance.
Contracting for Professional Services has a specific contract and requires insurance.]
- Guest speakers, lecturers, instructors, trainers
- Training or workshops (non-physical)
- Testing (paper exams)
- Graphic design
- Consulting services
- Officiating services
- Musical events/performances that do not require the movement/set up of heavy equipment
- Entertainment involving small equipment that can be set up on tables
- Photography that does not require the movement or use of heavy equipment on campus property
- Catering that does not require the movement or use of heavy equipment on campus property
Contact the Risk Management and Compliance Office (Mary Cook at 713-222-5340) if the scope of work you are contracting for is not included on the above list and you are unsure if insurance is required.
We prefer contracts that have been approved by our Office of General Counsel (OGC) to govern the scope of work. The University of Houston Office of General Counsel must review any contractual document originating from the contractor.
2.3. All contracts shall have all applicable administrative and legal reviews completed and be signed by all parties prior to commencement of any duties/actions by the parties as stipulated in the contract.
Forward a set of the complete contract package to the UHD Director of Contracts for submission to the Office of General Counsel. The review can be expedited in special situations; however, in general, you should allow a minimum of 20 business days for review by the OGC. OGC will:
“APPROVED AS TO FORM BY:
OFFICE OF THE GENERAL COUNSEL
UNIVERSITY OF HOUSTON SYSTEM
The Contractor must initial and date the top portion or each “X” to indicate agreement with the change. The UHD person authorized to sign the contract must initial and date the lower half of each “X” to indicate agreement with the change.
You do not have the authority to initiate a contract for legal services. The Office of General Counsel is the only entity that can initiate a contract for legal services.
Texas Electronic Marketplace
UHD is mandated to post notification of procurements of $25,000 or more on the Texas Electronic Marketplace, regardless of the funding source. Notification must be posted for:
Expect the process to take a minimum of 30 calendar days prior to the start date of services. For more detail regarding the information required in the solicitation package see http://www.window.state.tx.us/procurement/ .
Contact Purchasing at (713) 221-8062 for assistance in the bidding process.
Consulting Services Contracts Over $25,000
The Legislative Budget Board (LBB) and the Governor’s Office of Budget and Planning (OGBP) must be notified before entering into a consulting contract that exceeds $25,000. OGBP must provide a “finding of fact” that indicates the consulting service is necessary.
The request for consulting services must be published in the Texas Register a minimum of 30 days prior to execution of the contract. The published information must include:
The LBB must be notified in writing of consulting contracts greater than $14,000 no later than 10 days after entering into the contract, renewal, amendment or extension.
Contact the Director of Contracts at (713) 222-5340 for assistance in this process.
Contracts Requiring Board of Regents Approval
Board of Regents approval must be obtained in an open meeting for the following contracts:
The purchase, gift or acquisition of real property;
The sale of real property or conveyance of any rights in real property, if the value of the property is more than $300,000;
Real estate leases, lease renewal and extensions, whether as lessor or lessee, if the obligation of the lease is equal to or greater than the submittal threshold (at least 3,000 square feet of educational and general space) requiring Texas Higher Education Coordinating Board action;
Banking and investment agreements;
The single procurement for any equipment, goods, and services, not specified above, that is expected to exceed $1,000,000 in a fiscal year;
Any extension, modification, or renewal of an existing contract that is expected to exceed $1,000,000 in a fiscal year;
Any series of contracts that are initiated in the same department for the same goods or services with the same party within a fiscal year, that if combined in one contract, would require Board approval or reporting; or.
The Board of Regents holds four regularly scheduled meetings per year. The meeting schedule can be accessed at http://www.uhsa.uh.edu/BRMTGS.HTM.
 “Consulting Services” are defined by state law as “the service of studying and/or advising a state agency under a contract that does not involve the traditional relationship of employer-employee.
Texas law defines "Professional Services" as "services that are within the scope of practice of (i) accounting, (ii) architecture, (iii) land surveying, (iv) medicine, (v) optometry, (vi) professional engineering, (vii) real estate appraising, or (viii) nursing, or that are provided in connection with the professional employment or practice of an individual who is licensed or certified to render the listed services.
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Last updated or reviewed on 5/16/13