Contracts

Contracts are often necessary to secure the purchase of certain items, like event space rental, hotel blocks, and catering services.

The authority to sign contracts has not been delegated to departmental end users. The procurement team must be involved in any purchase or deposit requiring signatures on contracts, licenses, or purchasing agreements.

U-M departments may sign contracts with internal university suppliers (e.g., Michigan League, Michigan Union, Palmer Commons, etc.)

Similarly, departments may sign contracts with select local hotels without procurement involvement. This applies to the following Ann Arbor hotels, which have master service agreements with the university:

• Bell Tower
• DoubleTree by Hilton formerly Holiday Inn North (near U-M)
• Graduate Hotel
• Hampton Inn North and South
• Hyatt Place Ann Arbor
• Kensington Hotel/ EVEN Hotel
• Marriott Eagle Crest
• Sheraton Ann Arbor
• Weber’s Inn

In the case where an expense over $50,000 is needed from a particular supplier, and a contract cannot be negotiated, a sole source justification form is required and must be completed by the unit.