Contracts, Leases, Large Vendors and Other Agreements

Contract and Agreement Policy

Chapters are not legal entities and do not have the ability to enter into contracts or agreements, even locally, that present any level of liability to SCORE.  All Chapter contracts must be submitted to SCORE Headquarters for review, approval, and execution.

Transactions resulting in cumulative payments totaling over $10,000 to the same vendor during the same fiscal year using restricted funds, have the following requirements:

1. Chapters must obtain price quotes in writing from at least three qualified sources and inform SCORE Vice President of Field Operations or Vice President of Finance of these quotes prior to incurring any obligation.
2. If the lowest price is not selected there must be an explanation as to why.
3. If no other vendor is qualified, an explanation as to why the vendor is the only qualified source is required.

Multiple year contracts for more than $10,000 per year will require a statement reiterating why the chapter is choosing to continue to work with the vendor. The contract or relationship may be renewed up to five years. Chapters must solicit new quotes or bids after the fifth year.

Documentation is required when submitting the contract to HQ for approval.  For noncontract relationships, documentation should be sent when the chapter realizes the vendor is expected to exceed the $10,000 threshold prior to incurring the obligation.

If a chapter incurs more than $10,000 with the same vendor without adequate documentation in the fiscal year, the amount over $10,000 will be paid from chapter unrestricted funds.

Best practices for contracts using unrestricted funds would be to follow the same bidding protocols used for restricted funds within the chapter.

Procedures for Contracts

1. Chapter Chair or designee submits the contract with bids, if required, to the Contract Submission Portal or to the VP-Finance directly.
2. The VP-Finance will review the contract and send it signed back to the chapter.
3. The chapter submits the contract to the vendor and requests a returned fully executed copy.
4. Once the chapter receives the contract back from the vendor signed, they can submit the “fully executed” contract to accounting@score.org along with any other required documentation if available.*
5. If the vendor is not going to invoice SCORE, then the chapter should send a Form 14 check request(s) for any payments to accounting@score.org with the “fully executed” contract. (Use the Payment Date in the upper right for future payments) (A) If the vendor is going to invoice the chapter for the services, then the Form 14 is not required. Submit the bills when received. (B) If the contract qualifies for recurring payments, please submit the Recurring Bills Form with the “fully executed” contract instead of the Form 14s.

* For payments made on an event contract, please see EVENTS section for coding and documentation requirements. To use restricted funds, an itemized bill is required, describe the event and how it benefits SCORE or our clients, and for volunteer recognition events, an agenda and an attendee listing is required.

Contract and Agreement Resources

• Contract Submission Portal (For all contacts and agreements that need signature) 
• DOWNLOAD: Field Contract Quick Refence Guide.