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Requesting to subcontract

Why is requesting to subcontract required?

Section 16 of King County Department of Community and Human Services’ (DCHS) Contract Standard Terms and Conditions outlines requirements organizations must comply with if they want to subcontract any portion of the work they are contracted to perform for DCHS. This includes, but is not limited to, seeking written approval at least 15 days prior to the start of the proposed subcontract and ensuring certain standard terms and conditions flow down to the proposed subcontract.

To support compliance with these requirements, DCHS requires contractors seeking to subcontract a portion of their contracted program activities to do the following as soon as possible, but no later than 15 days prior to the start of proposed subcontract:

  1. Email the DCHS Contract Manager a request to subcontract with required information about the proposed Subcontractor.
    • You are encouraged to send this information as soon as possible, preferably before you begin drafting a subcontract so DCHS can begin our review of the proposed Subcontractor.
  2. Provide a copy of the draft subcontract.
    1. This can be emailed to your DCHS Contract Manager or uploaded via your Agiloft Provider Profile.
    2. See “Section 16: Subcontracting” of DCHS’ Standard Terms and Conditions for required flow down terms and conditions.

Within 15 days of receiving all the needed information, a DCHS staff member will review it and approve or deny the request to enter into the proposed subcontract. Notice will come via email.

Note: not all contracts allow for subcontracting. Please read your contract carefully. 

Information to include in subcontracting request email

As soon as your organization has identified a potential subcontractor, please email your contract’s DCHS Contract Manager with the following information:

  1. Name and contact information of the proposed Subcontractor.
  2. Summary of scope of work to be performed by the proposed Subcontractor.
  3. Proposed start and end dates of the Subcontract.
  4. Monetary value of the Subcontract.
  5. Explanation of how and why the Subcontractor was chosen.
  6. Explanation of how your organization will oversee the Subcontractor’s performance.
  7. Date of when your organization confirmed the Subcontractor is in good legal standing to enter a contract by confirming:
    • It is a registered legal entity with an active tax identification number or an individual with a valid social security number. (You can search https://ccfs.sos.wa.gov/, https://apps.irs.gov/app/eos/, or other information online.)
    • It has not been debarred from receiving federal funds. (You can check https://SAM.gov for the Excluded Parties List System).
  8. Whether or not your organization and its staff involved in choosing the Subcontractor and monitoring its performance have any conflicts of interest with the proposed Subcontractor. If there may be a real or perceived conflict of interest, please explain how your organization plans to address these conflicts. A conflict of interest is any real or perceived financial or other beneficial interest in the selection and performance of the proposed subcontractor. It could also be a real or perceived financial or other beneficial interest between the proposed Subcontractor and a King County employee. Common examples of conflicts of interest include: having a close relationship with staff or leaders of the proposed Subcontractor, having a financial relationship with the proposed Subcontractor, etc.

What is the definition of a Subcontractor?

Use these quick questions in order to determine what kind of agreement your organization may need to enter:

  1. Will the proposed entity be performing a portion of the main scope of work required under the County’s primary contract, but is not legally able to enter a Contract?
    • Yes → Fiscally Sponsored Project, enter into Fiscal Sponsorship Agreement
    • No → Go to 2
  2. Will the proposed entity be performing a portion of the main scope of work required under the County’s primary Contract and is legally able to enter a Contract?
    • Yes → Subcontractor, request approval from DCHS before entering into a Subcontract
    • No → Go to 3
  3. Is the proposed entity or party a self-employed service provider who manages their own schedule/process and will receive 1099 reporting (if applicable)?
    • Yes → Independent Contractor, enter into a Service Agreement 
    • No → Go to 4
  4. Is the engagement transactional for standardized goods or routine services at set prices, and not integral to the main scope?
    • Yes → Vendor, pay for goods or services
    • No → Revisit scope/contract structure; consult with the DCHS Contract Manager.

Special rule: If the engagement involves construction/development or professional services tied to capital awards, classify as a vendor, even if services appear custom.

 

Identifying a Subcontractor comparison table

Criterion

Subcontractor

Independent Contractor

Vendor

Relationship to the primary scope of work

Performs a portion of the main contracted scope. Their work is integral to delivering the primary contract’s deliverables.

Provides services independently. Their work may or may not be integral to the primary scope, and is often specialized, discrete, or advisory.

Provides standardized goods/services (e.g., supplies, staff training, administrative or “back office” functions) that are not integral to the primary scope’s performance.

Type of agreement

Subcontract (flows down terms from the primary contract).

Service agreement/ contract with independent contractor (not a subcontract).

Purchase agreement/Purchase order or vendor contract.

Autonomy and work control

Works to the primary contractor’s scope/timeline and compliance; autonomy is within subcontract terms.

High autonomy. Manages own schedule/process to deliver specified results.

Provides goods/services per order/specifications; autonomy is limited to standard fulfillment.

Examples

A partner agency delivering part of the program’s client services required under the Contract.

A facilitator, trainer, speaker, evaluator, or subject matter expert hired for a discrete engagement.

Construction contractors or entities providing develop or professional services for capital awards.

 

An individual or organization providing staff training or clinical supervision; a catering service; an organization providing accounting services.