An Independent Contractor (IC) is engaged in a distinct occupation, profession, business or trade not regularly part of University business; agrees to do a specific piece of work for an agreed upon fee; provides services to non-University clients; and supplies their own tools and work space. ICs are not eligible to participate directly or indirectly in University benefit programs and the University is not required to verify immigration status under Immigration Reform and Control Act provisions.
Outlined below are approval process steps, instructions for completing and submitting required forms, and frequently asked questions.
In order for Business Units to contract with Independent Contractors, they must first submit the following forms to Human Resources by emailing Steven Blecha at email@example.com or faxing (415) 338-0521:
- Independent Contractor Status Determination Statement
- Vendor 204 Form
- Proof of Insurance
- Scope of Work
It is recommended to send the "IC starter packet" (which includes the Status Determination Statement, Scope of Work Template, Vendor 204 Form, and Insurance Requirements) to the IC first. Additional forms may be required.
You may also want to refer to the CSU Technical Letter - CSU Independent Contractor Guidelines - Independent Contractor vs Employee Determinations
Once all documents are received and approved, the Business Unit will receive a confirmation email from Enterprise Risk Management. Typically, the approval process can take up to 2 weeks (10 business days) after complete and accurate documentation have been submitted to HR. Incomplete forms or waiver requests will result in delays.
After the Business Unit receives the confirmation email, they must submit a requisition to Procurement.
After the Business Unit has approved the requisition, it will be assigned to a Procurement team member for review. Procurement will review and follow up if additional information is required. If all requirements are met, the Procurement team member will create an Independent Contractor Service Agreement and will send out to the IC for their signature. Once Procurement receives the signed agreement back, it will be signed by a Procurement team member authorized to do so and a purchase order will be created. The fully executed agreement will be sent to the IC and the contracting Business Unit for their reference.
Required Forms and Guidance
The ABC Test is used to help determine whether the individual who is performing the services is an Independent Contractor:
a) The worker is free from the control and direction of the hiring entity in connection with the performance of the work and in fact; and
b) The worker performs work that is outside the usual course of the hiring entity's business; and
c) The worker is customarily engaged in an independently established trade, occupation, or business of the same nature as that involved in the work performed.
The Scope of Work should outline deliverables, estimated timeframe, total cost, and any other expenses. Click here for some tips on how to write a scope of work.
If the IC is providing their social security number on this form, that information is considered confidential and should not be emailed to anyone. The IC can hand-deliver or mail the completed form to the Vendor Coordinator in ADM 358.
If the IC is only providing their Employer Identification Number, the form can be submitted via email to firstname.lastname@example.org or included with the original packet sent to HR.
Additional forms are required if the IC is out of state or international as noted on the instructions.
- ICs must provide proof of insurance that meets the University's standard Insurance Requirements for Independent Contractors. Proof of insurance must be in the form of certificates of insurance and additional insured endorsements.
- If for some reason, the IC cannot meet these requirements, the IC or the Business Unit can request a waiver by submitting the Independent Contractor Insurance Waiver Request Form to Enterprise Risk Management.
- If the Workers' Compensation insurance requirement is requested to be waived, the IC must complete the Independent Contractor Waiver of Workers' Compensation Form in DocuSign.
Frequently Asked Questions
Yes. If the University intends to contract with the IC again in a different fiscal year, the IC must go through the approval process again.
No. An IC's homeowner's, renter's and/or personal medical insurance will not respond to a claim arising out of the IC's negligence. The University should not be collecting documents related to these types of personal insurance policies.
Services can begin when the agreement has been fully executed.