Dear Deans, Directors and Department Heads:

Today's email from the president and executive vice presidents outlined proactive measures being undertaken to buffer the impacts of federal funding changes. University Human Resources and Finance have developed this joint guidance to inform units of the processes now in place for hiring review, non-essential expenditures, and capital spending. This guidance applies to the UM-Ann Arbor campus. Michigan Medicine will follow separate guidance.

Hiring Review:

Hiring managers should critically consider the timing of recruiting efforts for all positions. Effective today, the hiring of faculty, regular staff, non-student temporary staff and contract staff must be approved by a dean or vice president. After unit approval, the president or executive vice presidents must also approve before the job is posted. Recent and currently posted jobs also require the same review prior to continuing the search or extending an offer. This does not constitute a hiring freeze, but rather a careful and deliberate review process.

For positions the unit believes are essential and should move forward in the hiring review process, the following chart will indicate the next step.

An online form to request a hiring review is now available. Additionally, more information and Q&A is available on the University HR website.

Your extra effort to consider the criticality of open positions will help preserve university funds to continue to fulfill our mission. If you have questions about your unit’s process for initiating a hiring review, please contact your unit HR representative.

Non-essential Expenditures:

Effective immediately, a Purchasing Pre-Approval Request form is required for all new non-payroll spend requests over $50,000. This includes catalog orders, requisitions, sourcing event requests, and new (and renewal) contracts. Requests for contract labor provided by a third-party vendor are also subject to this guidance.

Any activities currently in progress in Procurement may proceed through execution and payment.

The Non-Essential Expenditures Pre-Approval Process will work as follows:

• Unit requester will complete the Purchasing Pre-Approval Request form [Additional information link included on the form]
• On a weekly basis, non-essential spend approval requests will be evaluated by the unit’s executive vice president or designee
• The decision will be shared with the unit requester
• If approved, the requester can proceed with the purchase process
• If denied, the requester will be informed of the decision and the reason

Any requisition, contract or sourcing request for more than $50,000 that does not reference an approved Purchasing Pre-Approval Request form must be cancelled, and the requestor will need to resubmit after the approval has been granted.

If you have any questions about the pre-approval process or cancelling any in-progress activity, please contact procurement.services@umich.edu.

Capital Spending:

Please refer to the the Capital Council website for guidance as it relates to capital expenditures requiring regental approval.

Sincerely,

Richard S. Holcomb
Associate Vice President for Human Resources

Bobby Hewlett
Interim Associate Vice President for Finance