Hiring and paying research related consultants 1

Transcript:Hiring and paying research related consultants 1:
Hiring and paying research related consultants 1 Webinar Offered by OSP, Accounts Payable, and Sourcing March 4, 2016 2:00 PM Two processes now available for hiring research-related consultants A new simplified process, for small engagements ($25,000 in expected total cost) of individuals (not companies) that are less than 12 months in duration The traditional sourcing process, beginning with a shopping cart, offering electronic vendor registration for the consultant, and resulting in issuance of a PO (or a contract for larger and/or more sensitive engagements) This webinar walks through the details of the new process, and provides guidance on when to use which process 2 Independent Contractor Test for all Consulting Engagements IRS regulations require all employers to determine whether an individual hired to provide services should be treated as an employee, or may be treated as an independent contractor. The IRS published guidance identifies 20 factors to consider when deciding if an individual is an employee or an independent contractor At BU, Accounts Payable evaluates each consulting arrangement as a first step in the hiring process, based on engagement’s scope of work, and the responses to the questionnaires that are a part of each process 3 Compliance requirements to keep in mind for all research consulting Does this time frame of this consulting arrangement fall within the award dates of sponsored agreement? Does the sponsored award have any restrictions on the use of consultants? Was it in the proposal budget? Does it require approval by the sponsor? Are you allowed to re-budget into this category with or without sponsor approval? Was this originally proposed as an outgoing subcontract? Does the sponsor need to approve this change? If the consultant is responsible for the design, conduct or reporting of research as defined by Boston University policy, then the consultant should have completed financial interest disclosure forms and training (depending on the sponsor) as described at: http://www.bu.edu/orc/programs-committees/coi/. 4 I. Combined Questionnaire & Contract When to use: - For research-related engagements of $25,000 or less and 12 months or less - Where the consultant is an individual, not an LLC or corporation Advantages: - Department may complete most of the paperwork - Consultant deals primarily with the hiring department and PI - Terms are simplified and standard; no complex contract negotiation is required - On-line registration by the consultant is not required - Shopping cart/PO process in BUworks is not required 5 I.