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20.61 - Unfair Competition Considerations


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Last updated: July 21, 2009

(formerly APM 10.61)

A. General. The University of Idaho generally does not engage in activities that are in direct competition with the private sector when such activities are not for the convenience or benefit of students, faculty and staff.

B. Definition of Unfair Competition. Unfair competition refers to the sale of goods or services to the outside public when such goods or services are available from the private sector. Unfair competition also refers to the sale of goods or services to the outside public at prices less than market competition.

C. Procedure. Departments or units proposing to engaging in activities that will result in the sale of goods or services to the outside public should use the following guidelines:

C-1. Identify Good or Service Offered. Determine if the proposed activity can be provided in the general market by the private sector.

C-2. Review Pricing Policy. If the good or service cannot be provided, is the proposed pricing structure in line with market pricing for similar activities in the private sector.

C-3. Approval Required for Proposed Activity. A determination and proper approval needs to be made as to whether or not it is in the best interest of the university to engage in such activity.

C-4. Consider Unrelated Business Income Tax Implications. Financial implications on unrelated business income tax (UBIT) [See APM 20.60] need to be addressed. [ed. 7-09]

D. Information. Please address any questions or concerns to the Director of Business Systems and Accounting Services, (208) 885-6530. [ed. 7-10]

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