The College expects that individuals performing services are compensated through the contract process and paid a fee. Payment shall NOT be made out of pocket by a College employee to be reimbursed. A contract must be in place prior to using a P-card as method of payment. A gift card in lieu of payment is strictly prohibited. Note that employees of the College must be paid through Payroll by submitting a Stipend Request Form.
Please refer to the following policies:
External Speaker and Public Event Policy
Facility Reservation Request Form (you will be prompted to log in)
In the event a service is performed gratuitously a token of appreciation in the form of a tangible item such as a gift basket, SMC memorabilia, etc., may be given, not to exceed $100 in value (before tax). The Gift Giving & Prizes Reporting Form must accompany any request for reimbursement, or the College Procurement Card, for these items. NOTE: A contract should be in place for services held on campus regardless if there is no payment compensation to the provider.
Out of State Residents: California state tax withholding of 7% is required for payments in excess of $1,500 in a calendar year. The deduction will be done by the Business Office automatically for individuals. Companies must provide either a
Non-US Citizens: The Payroll Manager MUST becontacted prior to contracting with any non-US citizen.
There are standard contract agreements that must be used when making arrangements with outside speakers and service providers, both on and off campus. Contract templates can be found on on the General Counsel site, Forms and Standard Agreements. Payment will not be made until a fully executed contract is in place. Also see Employee or Independent Contractor? at the bottom of these instructions.
Contract paperwork is to be sumbitted to the Purchasing Office, complete instructions follow:
- One copy of the contract is to be completed by the department arranging the service. The sections pertaining to the College’s expectations and obligations must be filled out, to include:
A specific description of the expectation the College has of the services to be provided by the individual, group or agency and the amount of compensation. If applicable, a specific description of any arrangements the College agrees to, such as hotel/meal accommodations, equipment provisions, etc. is also to be included as well as an estimate or maximum amount of such expenses.
- The completed contract is to be signed first by the contracted entity, both the first and last pages, and returned to the department. Scanned contracts are acceptable; however faxed versions require the original be obtained and submitted in order to consider the signature valid.
- A Contract and Agreement Routing Form (CAR) must be completed by the department. This form contains all the necessary information required to process the contract, including the funding source and department approvals (therefore a purchase requisiton is not required.) There is also an option to include the payment request.
- The Contract and Agreement Routing Instructions contain detailed information on completing the CAR form and the contract routing process.
- The CAR form, contract and any other applicable items (W-9**, certificate of insurance, etc.) are to be sent as a package to Purchasing to be processed. **Note: If the service provider has not yet worked for the College, a W-9 must be included. If one is already on file, it can be noted on the CAR form. (Accounts Payable or Purchasing can verify whether or not a W-9 is on file.) Please make sure the W-9 information matches the entity to be paid according to the contract, and the “Payable To” section on the Check Request reflects the same information. Vendor invoices must also be made payable according to the contract.
- Once the contract has been processed, the fully executed agreement and copy of the CAR will be e-mailed to the requestor by Purchasing.
- Outside Food Service Providers must have an Independent Contractor Agreement on file, regardless if the service is on or off campus. (Exception: Restaurant “take out” or “delivery”.) Additional forms are required that must be completed and submitted with the contract and CAR.
- Agreement to Waive Food Liability and Provide Indemnification. The Waive Food Liability and Provide Indemnification form must be signed by the provider and by Matt Carroll of Sodexo.
- Food Handling Guidelines form must be signed by the provider.
- A certificate of insurance must also be provided by the vendor per #8 & #9 of the Independent Contractor Agreement, naming the College as the insured.
- Transportation Contracts also require provision of a certificate of insurance, naming the College as the insured.
Before someone renders services to the College, the relationship of this person to the college must be determined. Should there be a question if the individual truly meets the IRS definition of an Independent Contractor, the Independent Contractor Worksheet must be completed.
If the worksheet is completed successfully, then a contract can be negotiated with the individual. (See Contract Procedures above.) Certain situations may require review and input by General Counsel. Payment will be made by the Accounts Payable Office upon submission of an approved invoice from vendor/contractor or by check request accompanied by a fully executed contract.
If the worksheet cannot be completed successfully, then the person might have to become an employee of the college. Contact the Controller (x4123) or the Director of Benefits and Compensation (x4055) to determine the proper classification and payment method.
Updated September 10th, 2013