Personal Service Contract (PSC)
A Personal Service Contract is a standard form used to procure infrequent, technical, and unique services performed by an independent contractor with specialized expertise of a technical, scientific, or artistic nature. The selection criteria for these services may include but are not limited to the contractor’s skill, knowledge, reputation, and/or creativity.
Per IRS regulations, the relationship of a person/entity performing services under a Personal Service Contract (PSC) must be that of an Independent Contractor, not an Employee. Using the Employee vs. Independent Contractor Checklist, you can determine whether the relationship of the person/entity providing services is considered an independent contractor or an employee. If it is determined that the relationship falls into the Employer/Employee category, you must contact Human Resources by email at askhr@pdx.edu or by phone at 5-4926 to determine the appropriate mechanism for compensating the individual, such as a Wage Agreement.
This form can not be used for services related to teaching a for-credit class or trade services. Trade services are those services that involve the application of manual or mechanical labor such as work performed by plumbers, electricians, or locksmiths. If procuring trade services, please contact Project Accounting. If procuring services related to teaching a for-credit class, please consult with Human Resources to execute a Wage Agreement.
If using Foundation funds to procure services, please review Foundation Policies/ Processes for Foundation-Funded Contracted Services.
The PSC MUST be used:
- For services costing greater than $10,000;
- If total payments paid to the contractor by your department in the calendar year exceeds $10,000; OR
- Where multiple payments will be made.
The PSC must be used to procure services from a Non-Resident Alien or Foreign Entity.
For more information about procuring service from a Non-Resident Alien and Foreign Entity, please contact contract@pdx.edu.