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Section 17 – Consultants and Independent Contractors

Section 17.1 – Consultants and Independent Contractors

Date: 11/2/06 — Approved: Finance Board

OVERVIEW

AS divisions may contract for the purchase of professional and artistic services to accomplish the objectives of the AS when such services are specialized, highly technical, and cannot be economically or satisfactorily performed by AS employees as part of their normal duties. AS divisions shall review the insurance policies of the AS and comply with all requirements. Contractors are used for specific tasks and for explicit periods of time. Contractors can be either business firms or individuals who are not employees of the AS

Payments to contractors must be made in full compliance with all United States government and State of California laws, orders and regulations. Specific issues related to payments are referenced throughout this section.

All AS contracts must be signed by the AS Executive Director or designee.

DEFINITIONS

Certain words appear frequently throughout this policy and have the following meanings:

Contract

A contract is a mutual, written agreement between the AS and another entity whereby each party is required to perform certain obligations to satisfy the agreement. A contract may or may not require the transfer of funds, the transfer of tangible property, and/or the issuance of a purchase order.

Contractor

A contractor is either a business firm or an individual (who is not an AS employee) who contracts with the AS to perform a service.

Employee

An employee is any individual presently employed by the AS

Employer-Employee Relationship

An employer- employee relationship exists when an employer has the right to direct and control the work of an individual who performs the services, including not only the results to be accomplished but also the methods and means by which the results are accomplished. Even if the employer does not exercise the right to direct or control the manner in which the worker performs the services, the fact that the employer retains the right to do so is sufficient to create an employer- employee relationship.

Independent Contractor

An independent contractor is a business firm or an individual that contracts with the AS to provide services for which the AS controls or directs at most the result of the service, not the means and methods of accomplishing the result.

TYPES OF CONTRACTS

General Services (other than Professional and Artistic)

A General Services (other than Professional and Artistic) contract is used for the purchase of useful manual skills or labor that may or may not produce a tangible commodity. Examples of these services include, but are not limited to: security guard services, transportation services, film processing, janitorial work, window washing, rubbish and waste removal, and service and repairs to equipment.

Construction Related Services including Architectural, Engineering and Land Surveying Services

A Construction Related Services contract is used to procure construction related services that are usually obtained through the appropriate division.

Professional and Artistic Services

Professional and Artistic Services means those services provided under contract to the AS by a business firm or individual acting as an independent contractor and qualified by education, experience and/or technical ability as defined by the AS An essential element distinguishing professional services from other services is confidence, trust and belief in not only the ability but also the talent of the individual(s) performing the services. Professional and artistic services are primarily for intellectual or creative skills. Contracts for services involving primarily manual skills or labor are not considered professional and artistic services contracts. If the professional or artistic services contract is with a business entity, the individuals whose education, experience, and technical ability provided the basis on which the business entity was selected must meet the required qualifications.
Professional and artistic services are further defined as follows:

• Qualified by education means the individual(s) must have obtained the level of education required to provide the requested services.
• Qualified by experience means the individual(s) must have the level of general experience required to provide the requested services.
• Qualified by technical ability means the individual(s) must demonstrate a high degree of skill or ability to provide the requested services.

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