Page 49 - CONTRACT POLICY MANUAL

SECTION 3.3

SERVICE CONTRACTS

§3.3-101 Definition

(1) Service contracts encompass all contracts for services either with or without materials. Included in
the definition of service contracts covered in this Section are the following:

a) Professional Services: Services provided by licensed and/or technically trained
professionals, including such services as, data processing, accounting, legal, medical,
auditing, information-technology (IT) related services that may or may not include
software, and software licenses or other types of end-user contracts.

b) Facilities and equipment services: Services which provide maintenance to existing
facilities or equipment, including such services as janitorial and grounds maintenance,
equipment maintenance and repair, software maintenance, etc.
c) Personnel or employee-related services: Services which provide benefit or assistance
directly to employees, including such services as vending machines, temporary
employment, security, etc.

d) Consultant Service Contracts: Are for those services which are of an advisory nature, which
provide a recommended course of action or personal expertise, and which have an end
product which is basically a transmittal of information. Consultant service contracts are
issued in order to obtain professional or technical advice or expertise which will
supplement departmental expertise or advice or where an independent opinion or audit is
required. All consultant service contracts shall contain a provision which prohibits
“follow-on” projects that prevent the consultant from performing work related to any
recommendations being formulated as a result of the consulting work.
e) Revenue Generating Contracts (non-real estate): A contract for contractor-provided
services on County premises in which the County does not pay a fee, but instead receives
a portion of the revenues that are generated from the services.

f) Capital Leases (non-real estate): A long-term lease that transfers to the lessee most rights
and obligations concerning the asset leased, and usually transfers ownership at the end of
the lease.
g) Software Maintenance: Software maintenance as a service creates, designs, implements,
and/or integrates customized changes to software that solve one or more problems and is
not included with the price of the software. Software maintenance as a service includes
person-to-person communications regardless of the medium used to communicate:
telephone support, on-line technical support, customized support, and/or technical
expertise which are changed commercially.

(2) Service contracts for County procurement purposes do not include contracts for public works,
architects and engineers, and real property contracts.

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