A subcontract appears in the University's budget as a separate line item.
Subcontracts are subject to audit.
There may be unusual circumstances or exceptions to the listed characteristics. In making the determination of whether a subrecipient or vendor relationship exists, the substance of the relationship is more important than the form of the agreement. It is not expected that all of the characteristics will be present and judgment should be used in determining whether an entity is a subrecipient or vendor. This is not necessarily so. It is true that a contract will always accompany a purchase order for a subcontract.