20 U.S.C. § 107b : US Code - Section 107B: Application for designation as State licensing agency; cooperation with Secretary; furnishing initial stock

Search 20 U.S.C. § 107b : US Code - Section 107B: Application for designation as State licensing agency; cooperation with Secretary; furnishing initial stock

A State agency for the blind or other State agency desiring to be
designated as the licensing agency shall, with the approval of the
chief executive of the State, make application to the Secretary and
agree -
(1) to cooperate with the Secretary in carrying out the purpose
of this chapter;
(2) to provide for each licensed blind person such vending
facility equipment, and adequate initial stock of suitable
articles to be vended therefrom, as may be necessary: Provided,
however, That such equipment and stock may be owned by the
licensing agency for use of the blind, or by the blind individual
to whom the license is issued: And provided further, That if
ownership of such equipment is vested in the blind licensee, (A)
the State licensing agency shall retain a first option to
repurchase such equipment and (B) in the event such individual
dies or for any other reason ceases to be a licensee or transfers
to another vending facility, ownership of such equipment shall
become vested in the State licensing agency (for transfer to a
successor licensee) subject to an obligation on the part of the
State licensing agency to pay to such individual (or to his
estate) the fair value of his interest therein as later
determined in accordance with regulations of the State licensing
agency and after opportunity for a fair hearing;
(3) that if any funds are set aside, or caused to be set aside,
from the net proceeds of the operation of the vending facilities
such funds shall be set aside, or caused to be set aside, only to
the extent necessary for and may be used only for the purposes of
(A) maintenance and replacement of equipment; (B) the purchase of
new equipment; (C) management services; (D) assuring a fair
minimum return to operators of vending facilities; and (E)
retirement or pension funds, health insurance contributions, and
provision for paid sick leave and vacation time, if it is
determined by a majority vote of blind licensees licensed by such
State agency, after such agency provides to each such licensee
full information on all matters relevant to such proposed
program, that funds under this paragraph shall be set aside for
such purposes: Provided, however, That in no event shall the
amount of such funds to be set aside from the net proceeds of any
vending facility exceed a reasonable amount which shall be
determined by the Secretary;
(4) to make such reports in such form and containing such
information as the Secretary may from time to time require and to
comply with such provisions as he may from time to time find
necessary to assure the correctness and verification of such
reports;
(5) to issue such regulations, consistent with the provisions
of this chapter, as may be necessary for the operation of this
program;
(6) to provide to any blind licensee dissatisfied with any
action arising from the operation or administration of the
vending facility program an opportunity for a fair hearing, and
to agree to submit the grievances of any blind licensee not
otherwise resolved by such hearing to arbitration as provided in
section 107d-1 of this title.