here's the definition from the NIh Guide:

"consultant

An individual who provides professional advice or services for a fee, but normally not as an employee of the engaging party. In unusual situations, an individual may be both a consultant and an employee of the same party, receiving compensation for some services as a consultant and for other work as a salaried employee. Consultants also include firms that provide professional advice or services. "

Marisa Steffers
________________________________________
From: Research Administration List [xxxxxx@lists.healthresearch.org] On Behalf Of Greg Schmidt [xxxxxx@VERIZON.NET]
Sent: Monday, July 22, 2013 8:15 AM
To: xxxxxx@lists.healthresearch.org
Subject: Re: [RESADM-L] employee and contractor

Is the type of work she will be doing substantially different from her regular work?  If so you maybe possibly might be able to argue it, but it would be a tough sell.

First blush says the second option would work.  Watch benes and F&A Charges.

Greg Schmidt

703-346-5696

-------- Original message --------
From: Gauhar Nguyen <xxxxxx@GMAIL.COM>
Date: 07/20/2013 7:07 PM (GMT-05:00)
To: xxxxxx@lists.healthresearch.org
Subject: [RESADM-L] employee and contractor

Dear all,

I am hoping for the collective wisdom to either set me or the situation straight.

Situation: An org. has a grant. They hired a contractor to support certain functions. However, the contractor didn't work out. So they went separate ways. Meanwhile, an employee, who is paid by the org. general funds, not by the grant, said that she can do it. She really can do it. However, she is 100% on the general funds. The org. went and signed a contract with her, so she can come on the weekend and do things for the grant. The contract under the grant is for 10-15 hours a week (weekends). I had all kinds of bells and flags going on in my head. But I can't seem to find any regulations that refers to an employee being a contractor at the same time for the same org, but being paid from different funds. Am I wrong to have the Pacific Tsunami Warning going on in my head? Could someone maybe point me to any reg? I think it also goes into the org. HR manual.

Solution: The employee is hourly. She can charge the overtime. So I was thinking of
1. Putting her as on the grant as an employee (10 or 15%) and the rest is paid by the general funds. If she is going over her 40 hours, she can charge overtime to the general funds.

or

2. The org. is thinking of switching her to non-hourly, giving her a raise, and putting on the grant as an employee (10-15%) and the rest is paid from the org fund. If she has to work over 40 hours, she still gets paid the same increased amount.

Is there a better solution? They can't hire another person right now, since the extra hours won't warrant a part-time employment and would require a specialized set of skills, which they didn't find in the contractor before (so they let the contractor go).

I would appreciate all and any advice and guidance. I do not wish to burn the employee for doing the work. However, I would like the org. to formalize the relationship and work properly.

Thank you, Gauhar

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