Eastern Michigan University Seal

Policies, Rules and Regulations

Chapter Name: Administrative Organization and Authority

Chapter No. 2.3

Issue: Contract Authority

Effective Date: 2-8-1990

Revision Date: 6-20-2000

UNIVERSITY POLICY STATEMENT

The authority to contract on behalf of Eastern Michigan University is vested in the collective power of the Board of Regents. To facilitate the day-to-day administration and operation of the University, the Board of Regents hereby delegates contracting authority to the President. The Board and President, in specific instances, may delegate additional officers contracting authority. The Board of Regents, a body corporate, having ultimate authority and responsibility for the University, reserves to itself the right to take final action on all contracts not delegated specifically to the President. Further, no contract shall be entered into which calls for the expenditure of funds unless these funds have been previously budgeted.

The Board of Regents shall first approve and authorize contracting authority for all transactions involving real property, capital outlay and labor contracts, and for all contracts with terms exceeding five (5) years. Further, while prior Board approval of contracts shall be required only as described above, the Board shall be informed of all major contract proposals in advance of execution of the contract.

 

UNIVERSITY PRACTICE

University practices for implementing this policy include:

  1. The development and enforcement of guidelines and procedures for contract authorization.
  2. The development and dissemination of an executive order delineating contract authority and appropriate sub-delegations which is revocable by the President at any time and without prior notice.

 

RESPONSIBILITY FOR IMPLEMENTATION

The President shall establish written administrative guidelines for the delegation and implementation of the authority and power granted herein. All delegation of contracting authority must be documented in writing, and a copy maintained in the office of the Secretary to the Board of Regents.

It is the responsibility of the authorized signatory to obtain appropriate legal counsel prior to execution of the contract.

 

SCOPE OF POLICY COVERAGE

This policy applies to all University contracts including, but not limited to, transactions involving the lease, purchase, sale or other disposition of real property, all land contracts, deeds conveying University property and all discharges of mortgages and cancellations of land contracts; all contracts calling for consultation/planning services on/or for the construction of new facilities; labor contracts with collective bargaining units; contracts in connection with sponsored programs, investments, services of independent contractors, consultants, speakers and performers; and all other routine contracts associated with the purchasing activities of the University.

 

Authority for Creation or Revision:

Minutes of the Board of Regents, February 8, 1990; para. .4153M.
Minutes of the Board of Regents, June 20, 2000; para. .5680M.