The Assistant Vice Chancellor for Contracts and Compliance is the only individual authorized to sign Maintenance Agreements on behalf of the University, regardless of the source of funds.
Following is the procedures that shall be followed to contract with an outside vendor for the maintenance/repair of University-owned equipment; e.g., office machines, computers, research equipment.
All requisitions for maintenance services may have an agreement and if so it must be forwarded to the Procurement Department for approval and signature. A bill is not considered an agreement.
Maintenance/repair service/parts for equipment: When there is labor involved, charge subsidiary LL. If the purchase covers only replacement parts without labor, charge to the appropriate account code.
There are two types of equipment repair service that are usually available from those vendors that offer it:
(1) Per Call Service: Equipment is serviced only when requested. Fees are usually based on an hourly rate plus replacement parts and the requesting department is billed for each call.
(2) If the total value of the maintenance service contract is greater than $50,000 per fiscal year and the service is available from more than one vendor, and if the agreement is not covered by State, MHEC, University or Campus contract, the department shall submit their request for bid to Procurement by creating a requisition. The Procurement Department will send out requests for bids for competitive requirements and will issue a Purchase Order to cover the resulting agreement. The requesting department will be responsible for issuing requisitions to cover any subsequent years of the agreement, if applicable.
In all instances, the vendor shall provide the University with an itemized bill, including the rate per hour, the number of hours worked, and an itemized list of parts (if applicable). Lump sum bills are unacceptable.
Service Contract (usually issued annually): Equipment may receive regularly scheduled preventive maintenance inspections and is repaired, as needed, between inspections for a flat annual rate. Some service contracts include replacement parts; other, only cover labor. The requesting department should check the terms of the vendor’s service contract prior to contracting for maintenance to determine exactly what is covered.
All maintenance service contracts shall be signed by the vendor and by the Assistant Vice Chancellor for Contracts and Compliance.
If the total value of the maintenance service contract is greater than $10,000 and less than $50,000 per fiscal year the department may prepare a requisition and submit it to Procurement for review, together with the vendor’s contractual agreement. No Purchase Order covering a maintenance service contract will be processed unless and until it has the appropriate, properly executed contract attached to it.
All maintenance service agreements are subject to the review and approval of the Procurement Department, all the necessary procedures shall be followed, and approvals and signature obtained, prior to making any commitment to the vendor.