Step 1 - Read an Overview of Tier 2 Licensing

Introduction

This document describes the process of licensing electronic resources that are funded by UC campuses and negotiated by bibliographers. It points you to companion documents, such as Tier 2 Procedures, for further information.

Tier 2 acquisitions are those initiated and negotiated by campus subject selectors in which three or more UC campuses participate. Tier 2 acquisitions are generally funded by the campuses, though there may be CDL support (see below “CDL Contributions to Tier 2 Licenses”). The responsibility for the license lies with the campus AUL for Collection Development.

The expectation of the Joint Steering Committee is that campus-negotiated licenses will adhere to CDL licensing principles. Please make a serious effort to get the terms in the CDL Model License, described in the Checklist of Points to be Addressed in a CDL License Agreement, incorporated in your final license agreement. You may share the Model License and the Checklist directly with vendors, preferably at the very outset of discussions. Refer vendors to the CDL web page Especially for Vendors and Content Providers, where these and other documents important for vendors to consider can be found.

In addition, the CDL negotiating and licensing staff are available to consult, strategize, and answer questions.

Companion documents in the CDL Licensing Toolkit may also be helpful with Tier 2 acquisitions:

• "Cost Sharing Models" and "Current Year Standard Shares" provide background and strategy on UC cost sharing models.
• "Letter of Intent" provides vendors with a commitment to purchase once there is agreement on the business model but before the final license agreement is signed. They are often used to lock in a price by a deadline imposed by the vendor. Please contact Curtis Lavery at the CDL for other examples of a Letter of Intent.

Overview of the Process for Campus-negotiated Acquisitions

1. A subject selector takes the lead in negotiating price and terms directly with the vendor, in consultation with the campus AUL. That subject selector’s campus becomes the “sponsoring campus.”
2. A subject selector from each campus reviews the business terms and ensures that the campus CDO is informed of the price and terms. With the CDO’s approval, subject selector from each campus may agree to participate in the acquisition.
3. Upon approval from the sponsoring campus CDO, the sponsoring campus signs the license agreement on behalf of all participating campuses, and forwards the invoice to the CDL for payment and recharge of the participating campuses.
4. The negotiator documents the purchase and forwards the information, along with campus shares and the license agreement, to the CDL. With complete information, the CDL can pay the invoice, recharge the participating campuses, and process future renewals and recharges.

CDL Contributions to Tier 2 Licenses

The CDL uses its funds to facilitate the transition from print to digital collections. The CDL also uses funds strategically to enable purchase of systemwide resources where small campus participation may not be possible without a contribution, and large campuses may participate with advantage. In cases where it is difficult for all UC campuses to share costs without large campuses paying more than they would pay independently, particularly for one-time purchase costs, the CDL may make a small contribution to support this acquisitions principle.

Though infrequent, CDL contributions to Tier 2 licenses are possible in circumstances where the negotiated one-time purchase is heavily discounted but out of reach of the campuses, the business terms are tractable, and the majority of campuses both consider the electronic resource to be core to UC collections and commit to participating in the ongoing fees.

The CDL only contributes to annual fees in rare circumstances, and then only in modest amounts, primarily where the negotiated ten-campus cost of a core resource is a significant reduction in existing campus expenditures but still cannot be met by all campuses.

Please contact CDL staff (below) for further information.