December 18, 1991

COMPTROLLER'S MEMORANDUM NO. 11 (1991-92)

SUBJECT: CONTRACTUAL SERVICES - CONTRACTS SIGNED AFTER SERVICES ARE RENDERED

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Section 287.058 (2), Florida Statutes, requires that, except in the case of a valid emergency as certified by the agency head, for contracts for contractual services costing in excess of the threshold of Category One, a written agreement shall be signed by both parties prior to the rendering of the services. It further provides that if this requirement is not met, the agency head shall, within 30 days after the contractor begins rendering the services, certify the conditions and circumstances which caused the noncompliance and describe the corrective action taken to prevent a recurrence of the noncompliance.

We have reviewed this matter and concluded that when services are rendered prior to the execution of the contract by both parties and the agency head has not within 30 days after the contractor began rendering services, certified a valid emergency, or in the absence of a valid emergency certified the conditions and circumstances which caused the noncompliance, the only legal basis for making payment for the services is a settlement agreement. In such cases it will be necessary for the agency and the contractor to enter into a settlement agreement, which must be approved by this office in accordance with instructions provided in Comptroller's Memorandum No. 4 (1987-88), in order to process payment for services rendered.

Please contact the Bureau of Auditing at 488-4094, SUNCOM 278-4094 if you have questions.