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Part 4. Personnel Policies

Section II. Appointment

G. Private Consulting Outside the University

1. Definition

“Private Professional Consulting” is any activity performed by any full time professional employee of the University which meets all of the following criteria.

a. The service performed is based on utilization of the same knowledge and skills for which the consultant serves as an employee of the University.

b. The consultant receives compensation in addition to his or her regular salary.

c. The service is provided in addition to regular duties performed for the University during the contract obligation.

2. Private Professional Consulting

Private consulting by members of the University’s professional staff is authorized subject to the following conditions:

a. Academic

(1) The proposed activity must be compatible with the employee’s professional capacity.

(2) The proposed activity will not interfere with the performance of the employee’s assigned duties.

(3) Written approval must be granted by the individual’s supervisor.

b. Financial

(1) The consulting service should not constitute unfair competition with a similar service already available. (In general, consulting fees should be commensurate with the professional standing of the consultant, but should be established through negotiations between the consultant and the client).

(2) In all private consulting engagements, the client must be informed that the employee is acting as a private consultant, that the University is in no way party to the contract, nor liable, nor responsible for the performance thereof.

(3) Professional consulting services which are performed as a part of the employee’s regularly assigned duties are not subject to special consulting charges by the individual consultant. Under special circumstances (each instance subject to the Board’s approval) professional services for the University which are clearly beyond the duties assigned the individual by the University may be compensated.

3. Procedure

Prior to engaging in a private professional consulting project, the prospective consultant must present a written request to his or her supervisor in which the following information is provided:

a. The name and address of the organization or individual for whom the service is to be performed, except where the privilege of confidentiality applies.

b. A description of the service to be provided.

(1) Nature of the service to be performed.

(2) Duration of the consulting arrangement.

(3) The amount of time anticipated and the time periods during which the service is expected to be performed.

c. Information about any special benefit to the University or to the State which is expected to result from the consulting project.

d. A list of any University facilities or equipment which will be used by the consultant. If the list includes facilities not available to the general public (such as laboratories), then provisions for appropriate reimbursement to ISU for use of the facilities or equipment must be stated or documentation of waiver of such reimbursement by the Dean of the College must be provided with a statement that the consulting fee is commensurate with the professional standing of the consultant and does not constitute unfair competition.

e. A statement that the proposed employer has been informed that the consultant is acting as a private individual and that the University is in no way a party to the contract or liable or responsible for the performance of the service.

4. Approval

The supervisor of the employee who submits the request for permission to serve as a consultant will review the information required in Paragraph 3, and if the consulting arrangement appears to meet the following criteria, will approve the request and forward it to the appropriate dean or vice president. The criteria for approval are:

a. The activity is not expected to interfere with the performance of the employee’s regularly assigned duties.

b. The activity appears to be within the professional competence of the employee.

c. The activity does not appear to constitute unfair competition with the private sector.

5. Consulting Longer than One Year

Consulting arrangements which extend beyond one year shall be subject to an automatic annual review for reapproval.

6. Personal Liability

Since the University is not liable or responsible for the performance of the private consulting professional service, employees are encouraged to consider obtaining personal liability insurance.

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