How to Buy Services from Individuals

This commodity covers services that are performed by individuals and not by companies. A company provides a Federal Employer Identification Number (FEIN) on the W-9 form. An individual is a person or a sole proprietor of a business who provides a Social Security Number on the W-9 form.

Note: The procedure for procuring professional services from companies varies from that for obtaining services from individuals. For information on these procedures, see How to Buy: Professional Services from Companies.

Procurement Options and Procedures

  • $5,000 or less: A Payment Voucher (PV) Requires SOW form, approved by HR (see below). Note: Multiple PVs can be used to issue a series of payments as long as the total being paid to that individual does not exceed $5,000.
  • Above $5,000: A PO Requisition, or an SPO Requisition Requires SOW form, approved by HR (see below).

In order to obtain: Your purchasing agent needs (in addition to the approved SOW)

  • Services over $5,000 and up to $25,000: All written documentation regarding the procure-ment. This may include a quote, statement of work, or email messages/letters of correspondence.
  • Services over $10,000 that are not bid: All documentation described above, plus evidence that what the University is paying is fair and reasonable.
  • Services over $25,000 and up to $500,000: Competition via Documented Quote process, or Sole Source Justification
  • Services over $500,000: Competition via Invitation for Bids or Requests for Proposals, or Sole Source Justification

For federally funded purchases

  • Over $5,000 and up to $500,000: Competition via Documented Quote process, or Sole Source Justification
  • Over $500,000: Competition via Invitation for Bids or Requests for Proposals, or Sole Source Justification
  • Over $5,000 that are not bid: All written documentation regarding the procurement. This may include a quote, statement of work, or email messages/letters of correspondence. In addition, evidence that what the University is paying is fair and reasonable.

Scope of Work Review for Individuals

Prior to the commencement of any work, the department completes the Scope of Work (SOW) form and submits it to the campus Human Resources (HR) office for review and approval. On the SOW form, the department describes the scope of the work desired, the time period/specific dates of service, and the anticipated cost (including fees and expense reimbursement). Note: Service provider must sign the SOW before HR/PBS review.

HR determines the nature of the relationship between the individual and the University. If the individual will truly function as an independent contractor, payment can be made through the PSC. If an employer-employee relationship exists, payment must be made through Payroll & Benefit Services (PBS). HR also determines the need for review/approval by the Colorado Department of Personnel. This is relevant if the individual has performed similar jobs within the past six months or if the proposed work will take more than six months and if no waiver has been approved.

Payments to Foreign Nationals require PBS approval instead of HR approval. If the proposed independent contractor is a foreign national, departments submit the SOW to PBS instead of to their campus HR office. These SOWs must be reviewed by an international tax specialist.

If HR (or, as appropriate, PBS) staff approves the SOW form, they sign it and return it to the initiating department. The department can then proceed with the appropriate procurement method, according to the total dollar amount and frequency of the payments.

Only certain individuals in each HR office are authorized to review and approve SOW forms for that campus.

Boulder Campus and System - BC 565
  • Employment Services 303.492.6475
Colorado Springs Campus - CH 101C
  • Valerie Bivens-Young 719.255.3307
  • Cindy Corwin 719.255.3696
  • Katie Ekerholm 719.255.3306
Denver Downtown and Anschutz Medical Campuses - DC 130
  • Kevin Jacobs 303.315.2727
  • Florie Montoya 303.315.2741
  • Ann Shimamoto 303.315.2722

If paying a foreign national, only an international tax specialist within PBS is authorized to review and approve SOW forms.

All Campuses
  • Alicia Dandeneau 303.735.6500

Purchasing Agent

Services ≤ $25,000
Madeline Souder

Services > $25,000
David Turner