Contracts - Miscellaneous Information


Amendments to contracts can be written to change any part of the agreement provided both parties are in agreement to the change prior to drafting the amendment.  The process for writing an amendment is the same as for an original contract.

Contract Renewals 

Contracts that are renewed will not usually exceed five (5) years.  Contracts must show any renewal information including the amount previously paid.  Any contract or amendments to original contracts proposed to continue beyond five years shall be reviewed by the Vice Chancellor of Finance.

Contracts Written by Non-Minnesota State Mankato Vendors

All contracts received from Non-University contractors should be brought to the Office of Finance and Administration for review and processing.

Encumbering Funds

Funds must be encumbered prior to confirming an obligation to a vendor.  An authorized employee must certify that the accounting system shows sufficient allotment or encumbrance balance in the fund, allotment, or appropriation to meet it. 

Erasures, Cross-Outs, White-Outs, Revisions

Contracts containing erasures, cross-outs or white-outs will be returned to the department to be redone unless the changes have been initialed by all parties involved with the contract.


Minnesota Statute 16A.41, Subd. 1, prohibits Minnesota State institutions from making payments in advance.  The State can only make prepayments for software or software maintenance contracts for State-owned or leased computer equipment, sole source maintenance agreements, exhibit space, subscription fees for newspapers and magazines, and the Library of Congress.

Illegal Expenditures/Obligations

An expenditure or obligation authorized prior to encumbering funds is illegal, ineligible for payment, and is in violation of Minnesota Statute 16A.15, Subd. 3.  An employee authorizing the obligation, making the payment or taking part in it, is liable to the State for the amount paid.