Office of Research and Project Administration

Independent Contracting Policy
(Effective May 1, 2009; Updated December 1, 2011)

1. Definitions

A consultant is an individual who provides a specific skill or expertise requiring a high level of independence in the performance of the task is needed for a relatively short period of time. However, no specific, tangible end-product necessarily results in the use of a consultant other than a report or a presentation. A consultant should not exceed effort equal to 2 days of work per week, or 40% time.

The individual is not directly employed by the University, but is acting in a professional capacity and being reimbursed for services and sometimes for travel expenses. These individuals may not work on campus unless under specifically approved circumstances.  If these individuals work on campus they shall maintain and keep in force at their expense the minimum insurance throughout the contractor’s performance as defined in the agreement.

If the consultant is a previous employee of the University, an Independent Contractor Checklist must be completed in order to ensure there is no employer/employee relationship.  Mistakenly classifying an employee as an independent consultant can result in significant fines and penalties.

A research service provider is an organization that serves as a vendor who provides the following:

• Goods and services within its normal business operations;
• Similar goods or services to many different purchasers;
• Operates in a competitive environment;
• Goods or services that are ancillary to the operation of Princeton's sponsored project;
• Is not subject to compliance requirements of Princeton's sponsor.

The ICA is the agreement type used for transactions in which the University engages a consultant or research service provider.  ORPA is responsible for issuing an ICA when procuring a consultant or research service provider needed in order to complete a research project.