By default, BQE CORE always includes vendors of type Contract Employee and Outside Consultant in the employee drop-downs. However, it includes vendors of type Vendor in the drop-downs only if you select the option Include vendors in employee drop-downs in the User Settings > Display Options screen. If you do not want a vendor to show up in the employee drop-downs, make sure you change its type to Vendor and un-select the option in User Settings. Check CORE Help for details.