Independent Contractor Agreement

An independent contractor is an individual (not a company) who provides services that are unrelated to the employer’s primary business and who offers these services to the general public. An employee is someone for whom Palomar College controls what work is to be performed, when the work is performed and where the work is performed.

In order to hire an individual as a contractor you must first complete the Evaluation of Employee-Employer Relationship Form (linked below) to determine if the individual meets the IRS and California legal standard of being a contractor vs. an employee of the District.  No Agreements will be processed for individuals if the completed Employee-Employer Questionnaire is not attached and approved by the Requestor’s Supervisor, Director, Dean or Vice President.  If your request is for a company (LLC, PC, Corp, etc.), then this form is not necessary.

Outlined below is the process for classifying, engaging and paying individuals as independent contractors.  Allow ample time in order to complete the process prior to obtaining the services of the contractor.

Step 1, Prior to engagement:

1. Complete the Evaluation of Employee-Employer Relationship Form
2. If the individual meets the requirements as an Independent Contractor, complete the Services Agreement Exhibit A Form 
3. Obtain all the required signatures on the Contract Review and Approval Form and Evaluation of Employee-Employer Relationship Form.
4. Attach and submit all forms listed above to the office of Contract Services for review and approval by sending to contracts@palomar.edu. Note: Forms received that do not have all the required information or missing signatures and/or signatory approval will delay the process.
5. Once approved by the District’s authorized signatory, Contract Services will return an electronic copy of the fully executed Agreement to the individual who initiated the request.

Step 2, After receipt of fully executed Agreement:

1. Retain a copy of Agreement and Employee-Employer Relationship Form for your files
2. If the Contractor is new, they should provide you with a completed IRS Form W-9.
3. For new Contractors, complete the online form: Create or Update Vendor and upload a copy of the vendor’s completed/signed  IRS Form W-9. The Purchasing Department will need this completed prior to processing the requisition to a Purchase Order (PO).
4. Complete online purchase requisition in PeopleSoft and attach the fully executed Agreement PDF file to the requisition. NOTE: Do not engage an independent contractor’s services until a purchase order has been processed.
5. Insurance: If services are to be performed are on campus, the Contractor should provide the Purchasing Department with a certificate of insurance. Scan and e-mail to purchasingdepartment@palomar.edu.  Insurance requirements need to match what is indicated on the vendor’s Agreement, with the District listed as an additional insured.

Step 3, Invoices & payment:

1. Invoices should be submitted to the Accounts Payable Department (ap@palomar.edu) with the PO number indicated on each invoice. Failure to include a PO number will delay payment processing.