Integrated CSU Administrative Manual

CSU POLICY

Section:   CSU POLICY MANUAL FOR CONTRACTING & PROCUREMENT

Section 5000 Policies

Policy Number:  5202.0

Policy Title: Classification of Contract

Policy Effective Date:  February 18, 2014

Last Revision Date:   February 18, 2014
(see revision history)

POLICY OBJECTIVE

This policy articulates the CSU’s requirements related to classification of contracts to ensure procurement and contracting activities are in compliance with applicable regulations.

POLICY STATEMENT

Proper Classification of Contracts is necessary as a first step in determining which solicitation process is appropriate for the contract, and which elements (such as general provisions) are required to be in the contract.  The classification of a contract is determined by its predominate purpose or value of the activity.

100  Contract for Goods
This is a purchase that has as its sole or main purpose the buying of tangible items, such as equipment, parts, supplies, or other merchandise.  If any services are to be provided as well, the dollar value associated with the purchase of the Goods must be greater than the dollar value of the services that will be provided.  This classification of contracts does not include contracts for the acquisition of Information Technology Resources (ITR) Goods and Services or facility maintenance services.

200  Information Technology Resources (ITR) Goods and Services Contract
Information Technology Resources (ITR): Equipment, material and/or services used for electronic storage, processing or transmitting of any data or information, as well as the data or information itself. This definition includes but is not limited to electronic mail, voice mail, local databases, externally accessed databases, CD-ROM, recorded magnetic media, photographs, digitized information, or micro-imaging. This also includes any wire, radio, electromagnetic, photo optical, photo electronic or other facility used in transmitting electronic communications, and any computer facilities or related electronic equipment that electronically stores such communications.

When determining whether a contract is for ITR, consider the predominant purpose or value of the activity, and whether information technology skills and knowledge are involved as the primary purpose of the contract or whether such knowledge or skills are used to further an overarching purpose.

300  Contract for Services
Service means any work performed by an independent contractor wherein the service rendered does not consist primarily of the acquisition of goods.  This classification of contracts does not include contracts for the acquisition of ITR services (see Section 200) or public works project agreements but does include contracts for maintenance tasks for the routine, recurring and usual work for the preservation, protection and keeping of any publicly owned or publicly operated facility.

 

Office of the Executive Vice Chancellor
Business and Finance

Approved: February 18, 2014

APPLICABILITY AND AREAS OF RESPONSIBILITY

 

REVISION HISTORY

RESOURCES AND REFERENCE MATERIALS

Useful Guidelines:

Related Principles:

 

Sound Business Practices:

 

Laws, State Codes, Regulations and Mandates:

 

COGNIZANT OFFICE(S)

CO Manager:

Tom Roberts
Director, Contract Services & Procurement
CSU Office of the Chancellor
troberts@calstate.edu

Subject Expert:

Tom Roberts
Director, Contract Services & Procurement
CSU Office of the Chancellor
troberts@calstate.edu

Affinity Group:

Procurement and Support Services Officers

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