Standard P/T Contract Process: $0-$5,000

This contracting process cannot be used as a means to obtain a contractor for multiple or ongoing single contracts and may not be amended to exceed the $5,000 limit.

At this dollar level you may choose to select any vendor directly.

Pre-Contract Processes

Develop Scope of Work and Deliverables

Contractor Selection

The selected vendor should not be currently debarred or suspended from eligibility to enter into a contract with the State. See the Suspended/Debarred Vendor Report.

Send Scope of Work and Deliverables to selected contractor(s) for the contractor to create a written proposal
Receive contractor’s written proposal, which must include a cost estimate
Select contractor using Best Value (see Minn. Stat. § 16C.02, subd. 4)
Complete New Hire Reporting Form for Independent Contractors

Negotiation and Contract Drafting

Determine negotiation approach, prepare, and conduct negotiations. Contact our general inbox PT.Contracts@state.mn.us for assistance with contractor negotiations.
Draft the contract using the Professional/Technical Services Contract template
Obtain evidence of Workers' Compensation coverage (if contractor is a sole proprietor, it may take exception to workers’ compensation requirements)
Send draft contract to contractor for review
Send draft contract to Agency Contract Coordinator for review
Send draft contract to Attorney General’s Office for review and comment if negotiations altered the Intellectual Property clause
Encumber funds and fill in SWIFT block on contract form

Contract Execution

Complete 16A/16C Reporting Form regardless of whether work has started or not:
Fill Box I if no work has started
Fill Box II if work started before funds were encumbered
Fill box III if work started before the contract was fully executed (signed by all parties, including Department of Administration)
Route contract for signatures in the following order: Encumbrance, Contractor, Agency, Department of Administration
Include supporting documents with the contract when routing to OSP, such as: Certification form, 16A/16C Reporting Form, Insurance Adjustment Form, etc.
Review signatures for legality, completeness, and accuracy
Distribute executed copies to: contractor, Agency and Project Manager
Send written authorization to contractor that work may begin.
Non-standard Procedures
Process Request for Emergency Authorization to begin work prior to contract execution, if required and authorized by law

Contract Work Completion

If final product of the contract is a written report, send copy of the report to the Legislative Reference Library Contract File. Maintain the following in the contract file:

Letter to contractor containing scope of work and deliverables
Proposal of selected contractor
New Hire Reporting for Independent Contractors form (see Minn. Stat. § 256.998)
Fully executed contract
Any selection documentation
Approved Request for Emergency Authorization to begin work prior to contract execution, if applicable
16A/16C Memo if a violation has occurred or if the contract effective date has passed but work has not begun
Federal Authorization Document (if Federal money is paid under the contract)
Evidence of Workers' Compensation coverage (not for sole proprietorships)
Evidence of other required insurance coverage
Resolution or other evidence of approval required for local government units