370.5 Contract Approval and Signature Authority

Created by: Donald Pierce on 03/30/2015
Category: 3 - Finance and Administration; 70 - Purchasing/Supplies
 
Originator: Vice President for Finance & Administration
Current File:
Adoption Date: 03/30/2015
Reviewed for Currency: 03/30/2015
 
Replaces File:
Date of Origin: 03/30/2015
 
Classification:
 
In Archive? 0


370.5 Contract Approval and Signature Authority

 

A.  Background

University procurement philosophy and the organization of the procurement function is set forth in Policy 370.1, University Purchasing. This policy further defines the proper delegation of authority to execute contracts with external entities.  The proper delegation of authority to execute contracts is required to minimize financial and legal risks to the university and to ensure that appropriate fiscal and management controls are in place for the benefit of the university.

 

B.  Policy

All University personnel are expected to exercise prudence in entering a contract with external entities, and to ensure that all contracts are reviewed and executed by proper authorities following the guidelines established in this policy.

 

C.  Guidelines

  1. It is the responsibility of all university employees to ensure that the university does not knowingly enter into contracts that present conflicts of interest.
  2. The university does not recognize an agreement as binding unless it has been executed by an authorized university official as defined in this policy.
  3. The university officials with contract approval authority as defined in this policy are authorized to delegate such authority to another Furman employee. The delegation of signatory authority shall be in writing, and the ultimate responsibility shall remain with the delegating individual.
  4. Other than the exceptions noted later, the following thresholds shall be followed when obtaining contract approvals:
  1. Exceptions to the contract approval thresholds stipulated in paragraph 4 are as follows:
  1. The President of the university has authority to sign any contract.
  2. In the absence of the Vice President for Finance & Administration, the contract signing authority shall be delegated to the Associate Vice President for Finance or the Controller.

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