"Keep it simpler" is the theme behind the reorganization of the UC Davis Business Contracts and Analysis unit.

Last quarter, the unit became aligned with Purchasing within Accounting and Financial Services' Materiel Management Division -- one of many new changes taking place with regard to how the campus handles contracts and similar activities.

Now, all contracts and subcontracts associated with research grants directly related to the university mission have been transferred to the Office of Sponsored Projects in the Office of the Vice Chancellor for Research. And matters related to copyrights, except for Digital Millennium Copyright Act compliance, are now assigned to the Technology Transfer unit on campus.

Another significant change is that most independent contractor agreements will be processed through the purchasing office instead of by Business Contracts.

Business Contracts

Business Contracts will continue to handle agreements (other than Purchasing Department-generated agreements) that support administrative functions, whether generated by an academic or administrative department. These include both revenue- and expense-related agreements, and range from consultants to UC Davis Extension instructors and royalties other than copyrights.

Business Contracts also will continue to process agreements that support public teaching aspects of the university and agreements generated by administrative departments within schools and colleges for support of general business operations.

The Business Contracts team negotiates, drafts and executes more than 1,000 new contracts each year in addition to administering about twice as many ongoing contracts. At Davis a "business contract" might be a written agreement, a memorandum of understanding, a permit or a contractor's purchase order that is signed to accept terms and conditions.

One reason for the change is to bring clarity to the entire process, said Ken Woodard, the newly appointed manager of Business Contracts and Analysis.

"There has been ongoing confusion as to which department would process various types of agreements for services, and, in some areas, a duplication of services," he said. "With the reorganization of the Business Contracts and Purchasing departments, we hope to benefit from efficiencies gained through utilizing best practices and improved methods of doing business on the Davis campus."

Woodard said specific information on how the reorganization affects units can be found at http://directives.ucdavis.edu/2004/04-032.cfm.

Under the restructuring, Business Contracts will be integrated into the DaFIS online processing system. "We feel with the re-alignment of Purchasing and Business Contracts, the two units can work together to lessen the confusion and speed the agreement process on the Davis campus to benefit all customer departments," Woodard said.

The reorganization has resulted in these further changes:

Health System

In January, the UC Davis Health System assumed responsibility for all contract activity associated with health system operations. Instead of the Davis-based Business Contracts and Analysis office, the health system's contracts unit now handles all of those agreements, with the exception of real-property transactions and leases, copyright and utilities, including:

• managed care contracts;
• faculty service agreements;
• payor contracts;
• independent contractors and consultants;
• affiliation agreements;
• transfer agreements;
• reimbursement of expenses affiliated with contracts and service agreements; and
• facility use agreements and permits of less than one year in duration.

Real Estate Services

The reorganization means that all university real estate activities, including leases, are now provided by one office on campus. The new plan went into effect March 1.

Previously, the Business Contracts office handled off-campus leasing, while Real Estate Services had responsibility for other real-estate transactions, such as acquisitions and third-party development.

The Real Estate Office within the Office of Resource Management and Planning is responsible for contract development and management for all UC Davis property transactions -- acquisitions, dispositions and leases as well as property management functions affiliated with these transactions.

These responsibilities will support the entire campus, including the health system and all of the campus's remote locations.

Sponsored Programs

In February, the Sponsored Programs Office assumed management of all contracts and subcontracts associated with research grants and service agreements under which UC Davis faculty members provide service to outside entities. As noted above, the health system will process service agreements affiliated with medical faculty.

The reorganization of Business Contracts has its origins in the Office of Administration's Business Process Improvement Initiative. A comprehensive review over the past year led to the fine-tuning of the unit.

The group conducted process mapping and campus focus group meetings to evaluate past and present processes and to develop new and more efficient ones, said Woodard. More changes are possible as the review continues, he added.

"Stay tuned," Woodard said.