B-4 Personal Service Contracts

I. Purpose

The University of Kentucky and its Affiliated Corporation’s requirements for outside Personal Service Contracts and design services are to be procured and processed in accordance with KRS 45A.690 to 45A.725 and 45A800 – 45A836 (if applicable). 

II. Policy

This policy includes all contracts requiring professional skill and judgment including, but not limited to, consulting, legal (KRS 12.210), medical, scientific research, web design, architectural and engineering services. Consulting is considered the practice of providing expert, objective advice or professional services in exchange for a fee. 

1. CPMD is responsible for contracting for all University needs for architectural and engineering services, including per diem contracts for these services.  
2. All Personal service contracts (PSCs) must be reported by UK Procurement Services to the Government Contract Review Committee (GCRC) prior to their effective date. 
3. Personal Service Contracts over $10,000 during any one fiscal year require a Request for Proposal (RFP) to be issued to solicit proposals for the service desired.
4. Recipients of Personal Service Contracts must be registered to conduct business in the Commonwealth of Kentucky. Such registration is obtained from the Secretary of State. Verification is performed by Procurement Services through the Kentucky Secretary of State Business Filings.

III.  Procedure

UK Procurement Services or its authorized delegates must be notified immediately by the department upon determining the need for using outside consultants or professional services. The first step a department needs to take depends on the value of the contract it determines that it needs. 

The department requiring services provides UK Procurement Services or its authorized delegates complete information on the needs, scopes, time frames, special qualifications, estimated costs, source of funds and all other available information related to such requirements. 

UK Procurement Services or its authorized delegate makes a determination on how to contract for the required services. 

Generally, contracting occurs as follows:

1. Contracts with a total dollar scope of $10,000 or less during any one fiscal year are completed on the Personal Service Contract (10,000 or less) form and reported to GCRC by UK Procurement Services prior to effective date. See B-4-1 Procedures for Personal Service Contracts $10,000 or Less.
2. Contracts exceeding $10,000 are contracted using the Standard Contract for Personal Services document, following a competitive solicitation through the issuance of a RFP. Contracts exceeding $10,000 are reviewed by both the Legislative Research Commission (LRC) and the GCRC. See B-4-2 Procedures for Personal Services Exceeding $10,000.
3. The Personal Services Contract Proof of Necessity form must be completed by the requesting department.