Contract Authorization Policy

Contracts, Generally

The Administration, in furtherance of the public policy of efficient and responsible operation of the University, is expressly delegated the authority to enter into, execute and administer as agent of the Board of Governors, certain contracts and appropriations requiring the expenditures of funds, subject to the following terms and conditions:

  1. Contracts Recurring or Non-Recurring in Nature - Estimated Not to Exceed $100,000.00

    Contracts for the purchase of goods and services estimated not to exceed $100,000.00 (excluding new construction, remodeling and repair of facilities, and architectural, engineering and surveying services), whether recurring or non-recurring in nature, for which an appropriation has been made in the annual budget,  may be processed by the Administration according to the University Procurement Procedures  and prevailing law without reporting the same to the Board of Governors or requiring formal Board approval except as set forth in this policy, such contracts and appropriations being considered ministerial in nature, and authorized and approved by the action of the Board in approving the annual budget.  Single purchases of more than $25,000.00 (< $100,000) if a bid other than the low bid is accepted should be presented to the Board for information purposes subsequent to the award.

    The following purchasing activities should be presented to the Board for information purposes subsequent to the award:  Single purchases of more than $25,000.00 but less than $100,000.00 if only one bid is received, or single feasible source purchases pursuant to the Procurement Procedures.

    Any procurement activity that is determined to be sensitive or of significant impact to the University, at the discretion of the Vice President for Administrative & Information Services, the Chancellor of the West Plains campus and/or the President of the University, should be presented to the Board for approval.

  2. Contracts Recurring or Non-Recurring - Estimated to Exceed $100,000.00

    Contracts for the purchases of goods and services estimated to exceed $100,000.00 (excluding new construction, remodeling and repair of facilities, and architectural, engineering and surveying services), whether recurring or non-recurring in nature, for which an appropriation has been made in the annual budget, may be processed according to the University Procurement Procedures, and prevailing law, but such contracts must be approved by the Board, by a majority vote of all members, before execution of said contract, whenever possible  (provided, however, that items purchased for resale according to the University's Procurement Procedures are not required to be submitted to the Board for approval, but individual transactions exceeding $100,000.00, or contracts likely to exceed $100,000.00 per fiscal year, must be approved in writing by the appropriate Vice President or Chancellor of a branch campus prior to purchase). 

    Property leases and contracts for the purchase or sale of real estate should be presented to the Board for approval, regardless of value.

    Per unit contracts may be amended without Board approval, unless the amendment would cause the originally estimated value of such contracts to be exceeded by 10% or $25,000.00, whichever is less.  If the amendment would cause the originally estimated value of a per unit contract to be exceeded by 10% or $25,000.00, whichever is less, the recommended action should be presented to the Board for approval prior to finalizing the amendment.

  3. Architectural, Engineering and Surveying Services

    The University adopts as a formal procedure for procurement of architectural, engineering and surveying services, the provisions of Missouri Revised Statutes §8.287-8.291, but such contracts must be approved by the Board, by a majority vote of all members, prior to the execution of said contract if such contracts exceed $50,000.00.  The Vice President for Administrative & Information Services and the University Architect are delegated the authority to select and sign contracts for such sources for $50,000.00 or less without Board approval for all campuses.  The Chancellor and Director of Business and Support Services are also delegated this authority for the West Plains campus.

  4. New Construction, Remodeling and Repair of Facilities

    Contracts for new construction, remodeling and repair of facilities, for which an appropriation has been made in the annual budget, with a project budget estimated to be $100,000.00 or less may be processed according to Missouri Revised Statutes, and the University "Planning, Design & Construction Policy and Procedures Manual," without reporting the same to the Board or requiring formal pre-approval by the Board, such contracts being considered ministerial in nature, and authorized and approved by the action of the Board in approving the annual budget, but shall be reported to the Board for approval in the Planning, Design & Construction Activity Report at the next regular Board meeting following execution of the contract.

    No contract for new construction, remodeling, or repair of facilities which exceeds a project budget of $100,000.00, shall be executed by the Administration until the project has been first approved by the Board.  Such approval shall be conditioned upon any approval and selection of architects, engineers, surveyors, any required advertising for bids, plans and specifications prepared, and a financial plan (budget) established and presented to the Board for approval when the contract is authorized.

    The Board of Governors will be provided at each regular meeting of the Board for review and approval a Planning, Design & Construction Activity Report which documents activities connected with construction projects, including projects not originally required to be presented to the Board for approval.  Information provided will be consultant selection and cost, bids received, notices to proceed, and all change orders, regardless of dollar value, issued on construction projects.

  5. Change Orders

    Changes in the scope of the work to be performed pursuant to any contract described in G1.18.3 through G1.18.4 above, which result in a change order approved by the Vice President of Administrative & Information Services or the University Architect, which do not cause the approved budget for the project, including a contingency for change orders, to be exceeded need not be pre-approved by the Board, but will be reported to the Board for approval at the next regular Board meeting in the Planning, Design & Construction Activity Report.  However, if such change order does result in the approved budget for the project being exceeded, the change order and revised project budget must be approved by the Board prior to any work being performed pursuant thereto.

  6. Emergency Procedures

    In those circumstances where emergency, inefficiency or waste of state resources would occur, contracts and appropriations authorized by G1.18.2, G1.18.3, G1.18.4 or G1.18.5 may be verbally approved by the Chair or Vice Chair of the Board and must then be brought to the Board for approval at the next regular meeting of the Board of Governors.

  7. International Purchases

    Purchases by University officials located outside the U.S. originated in or intended for use at an international location, up to $25,000.00, may be purchased with locally generated funds according to procedures authorized in the Procurement Procedures, without Board approval.

  8. Budget Authorization

    Contracts and appropriations which would exceed the major administrative area annual budget or not otherwise approved by the Board must be approved prior to the contract or appropriation.  Appropriations and disbursements may be authorized and approved by the Board by the adoption of the annual budget, or subsequent Board action approving any modification.

  9. Delegation of Authority to Execute and Administer Contracts Appropriations, or Change Orders.

    The authority to proceed and execute and administer any contracts, documents and instruments, appropriations, disbursements or change orders described in G1.18.1 through G1.18.7 above, is hereby delegated to the President of the University (who may subdelegate such authority in writing to appropriate Vice-Presidents or Chancellors of the University, or other officer or employee of the University as the President determines appropriate, either generally or specifically) and to the University Procurement officers, University Architect, and as otherwise set forth and subject to the requirements stated herein, or as set forth in this policy.  It is the determination of the Board of Governors that such delegation is necessary to the furtherance of the public policy of efficient and responsible operation of the University, and no further action of the Board is required regarding matters and actions hereby delegated to the Administration.

  10. Personnel Appointments 

    Academic and full-or part-time regular employee appointments will be made by the Board following recommendation by the President.  Academic appointments include 12-month, 9-month, semester, summer, intersession, per course and supplemental teaching assignments.  Certain part-time employees may be approved by the President as authorized by Board bylaws.  Academic and full-or part-time regular appointments will be approved by the Board prior to commencement of duties if possible, and if not, at the next regular meeting of the Board.

  11. Notice of Action by the Board

    The Board shall duly note in Board minutes on any approval by the Board on any contracts requiring Board approval, as set forth in this Policy, and the Board may otherwise authorize and approve contracts by description or incorporation by reference.

  12. Administrative Authority

    Pursuant to the rulemaking and management authority of the Board, the Administration is authorized from time to time to promulgate purchasing and facility policies and procedures in compliance with prevailing law. The Board hereby ratifies and approves the University's current Procurement Procedures, and the "Planning, Design & Construction Policy and Procedures Manual," and the procedures contained therein, and delegates to the Administration the authority from time to time to amend such policies, which shall then be observed by the Administration in all purchases of goods and services as set forth in this policy. (Res. Board Policies No. 37-04; Bd. Min. 10-22-04.)

  13. Entertainment and Performance Contracts

    Contracts with entertainers and performers estimated not to exceed $250,000 may be approved by the Administration without reporting the same to the Board or requiring formal preapproval by the Board.  No such contract exceeding $250,000 shall be executed by the Administration until the contract has first been approved by the Board.