Vendor Relationships
Page at aGlance:
Employees:
Purchasing Goods and Services for the University:
It is the policy of the University to separate an employee's University and private interests, and to safeguard the University and its employees against charges of favoritism in acquisition of goods and services. University employees must disqualify themselves from participating in a University decision involving the purchasing of goods and services for the University if there exists a financial conflict of interest. No purchase, lease of goods, or contract for services shall be made from any employee or near relative (husband, wife, mother, father, daughter, son, sister, brother, in-laws and step-relatives in the same relationships) who has an employee-vendor relationship unless there has been a specific determination by the Materiel Manager or designee that the goods or services are not available either from commercial sources or from the University's own facilities.
If an employee determines that a financial conflict of interest exists in making or participating in a University decision, he/she must submit a report to his or her department when making a proposal or learning that one has been made. The employee's department must determine if goods or services shall be purchased from any employee or near relative after there has been a specific determination that such goods or services are not available from either commercial sources or the University's own facilities. If due to unusual or extenuating circumstances, the department desires an exception to the UCSD Employee-Vendor Policy (PPM 523-9), the department must submit a request for exception to the Purchasing Division.
If an employee should have disqualified themselves, but participates in a decision, the University will take appropriate personnel action, which may include counseling, legal action and dismissal, depending on the facts of the case. Along with internal University administrative disciplinary actions, the State has levied penalties against individuals who do not comply with this provision, monetary penalties can be assessed up to $5,000 and four times the contract value.
Health Care:
Overview:
Beginning on July 1, 2008, the University of California implemented a new policy; Policy on Health Care Vendor Relations, which provides systemwide standards aimed at eliminating the potential of industry influence on health care provider's decision making. This move is in keeping with approaches implemented at other Academic Medical Centers across the country.
Health Care Vendor Relations Policy:
- Prohibits gifts from vendors made directly to individuals.
- Examples of gifts include: free lunches, free drug samples, free promotional products.
- The policy permits vendors to donate money to the "Regents of UC" to support the University's mission of education, patient care and research. There is also an exception for sample donations for use in the University-sanctioned free clinics.
- Prohibits uninvited health care vendor sales calls;
- Prohibits on-site use of any branded promotional products;
- Enhances patient confidentiality provisions;
- Requires that vendor paid preceptorships be conducted as either University courses or as continuing education courses;
- Requires training on the new policy with all affected individuals.
The policy applies to all UC workforce members including UCSD Health Sciences, UCSD Medical Center, and UCSD Medical Group personnel.
Related Resources:
- UC Health Care Vendor Relations Policy
- UC Health Care Vendor Relations Policy PowerPoint Presentation
- Frequently Asked Questions (FAQs)
- UC Announcement Letter by President Dynes
- ACCME - Standards for Commercial Support of Continuing Medical Education from Industry
Contacts:
- Compliance Program Director, Kathleen Naughton (619-471-9152, knaughton@ucsd.edu
- Chief Compliance / Privacy Officer, Lee Giddings, M.D. lgiddings@ucsd.edu

