SubContracts, Vendors and Consultants

Funding requested for an external source:

Subcontracts

Funding requested for an external organization that is to be a participate in the project, e.g., other universities, non-profit organizations or companies, is to be described in this line item on a budget form. Missouri State requires that the proposed partners confirm their commitment to the project in writing signed by an authorized representative of the organization.  This letter would include the name of their lead person for the project, proposed total cost for their participation, and include an enclosure of a detailed budget.  In some cases it may be advisable to have them include a budget justification and scope of work.  Sponsors (especially Federal agencies) often require an official letter of commitment from a subcontractor be included with the proposal.

Vendors

In some cases the external organization may be providing a service for which they would be considered a vendor rather than a subcontractor.  Securing the services of a vendor is to be handled in accordance with University Purchasing procedures.  Please see OMB Circular A-133 (Sections 105 and 210), which defines the differences between a subcontractor and a vendor.  Contact OSRP if you have questions on this matter.
 

Consultants

Individuals who are not University employees can be hired as consultants.  Please review the Consulting and Professional Services Worksheet to ensure that the proposed individual meets the criteria established by the IRS.  If they do not, they will have to be hired as part-time University employees and would be included in the Personnel Section described above.  Procedures for payments to consultants are described in Section VIII of the Missouri State University Purchasing Manual.
 

This section is reserved for cost items that don’t fit into the above categories. Examples include;

• fees for renting facilities for a conference,
• rental of equipment, equipment maintenance and repair costs,
• photocopying, telecommunications,
• mailings. 

Specify the cost of each item and why it is needed the budget justification.  If possible, minimize the use of this category unless budget guidelines call for its use.