[Minor revision–posted 3/17/16 (replaces 2/7/14 edition)]
Operating Policy and Procedure
OP 72.24: Auxiliary Enterprise Contractors
DATE: March 17, 2016
PURPOSE: The purpose of this Operating Policy/Procedure (OP) is to establish the requirements for a contractor operating an auxiliary enterprise on Texas Tech University campuses as required by Texas Government Code, §§ 2252.061 - 2252.064.
REVIEW: This OP will be reviewed in November of odd-numbered years by the Managing Director of Procurement Services with substantive revisions forwarded to the Vice President for Administration & Finance and Chief Financial Officer.
The Texas Government Code, Chapter 2252, establishes certain criteria for contractors who contract with TTU.
No contract or other legal instrument shall be executed or made with a contractor without the provisions required by Texas Government Code, Chapter 2252. All contracts for services relating to this OP shall be procured in accordance with Operating Policy 72.09 and routed through the Procurement Services for the required review and approval by the authorized TTU personnel.
a. Auxiliary Enterprise–A business activity that is conducted at a state agency,
providing a service to the agency and is not paid for with appropriated money (Texas
Government Code §
b. Contractor–An entity or individual that has a contract to provide goods or services to the system or any component institution
c. Performance Bond–An instrument executed, subsequent to award, by a successful proposer or bidder that protects an institution from loss due to the contractor's inability to complete the contract as agreed
d. Service(s)–The furnishing of labor, time, and effort by a contractor or auxiliary enterprise, which may involve, to a lesser degree, the delivery or supply of products
e. State–The state of Texas
4. Contractor Requirements
* Summary of requirements of Texas Government Code, §§ 2252.062 – 2252.064
a. The contractor must provide to TTU, at the time of contracting, a financial statement prepared by a certified public accountant.
b. The contractor must provide to TTU annual payment statements based on sales tax reports prepared by a certified public accountant licensed to conduct business in the state of Texas.
c. The contractor must furnish a performance bond that is payable to TTU in an amount to be determined by TTU, but in no event shall it exceed the contract price. The bond must be payable to the state and conditioned on the faithful performance of the terms of the contract.
d. The contractor shall provide Workers' Compensation, as required by state law, for any employee working on the TTU campus.
e. The contractor shall furnish automobile insurance, as in the minimum amounts required by state law, for any automobile that is operated on any of the TTU campuses.
f. The contractor shall provide comprehensive generally liability insurance in the amount required by TTU.
g. The contractor shall provide property damage liability insurance in the amount required by TTU.
h. All sex offenders required to register with local law enforcement authorities under § 62.064 of the Texas Code of Criminal Procedure and who intend to work or carry on a vocation (full-time or part-time) on any TTU campus for a consecutive period exceeding 14 days or for an aggregate period exceeding 30 days in a calendar year are required to register (or verify registration) with the law enforcement authority for campus security within seven days of beginning work on any TTU campus.
04 Audit Services
30 Academic and Student Affairs – General
32 Academic Policies – Faculty
34 Academic Policies – Students
36 Academic Programs
40 Equal Opportunity and Affirmative Action
48 Communication Services
52 Information Technology
60 Environmental Health and Safety
61 Facilities Management
62 Financial and Accounting
63 General Services
64 Graduate Programs (Faculty and Students)
65 Research Accounting
67 Mail Services
68 Communications and Marketing
69 Payroll and Tax Services
70 Human Resources
72 Purchasing, Contracting, and Payables
77 Student Services and Registrar
78 Traffic and Parking