1. (a)

   1. (1) The Vending Facility Program will contribute toward the development of individualized retirement packages for licensed blind vendors in the Arkansas Randolph-Sheppard Program.
   2. (2) Funding for contributions will be provided by profits from the interstate highway vending machines.
2. (b) Vendors are considered as self-employed individuals and must buy their own retirement packages.

3. (c) Criteria is outlined below:

   1. (1) Eligibility.

      1. (A) Participant must be a licensed blind vendor or displaced vendor in accordance with the federal Randolph-Sheppard Act, 20 U.S.C. § 107 et seq.
      2. (B) Beginning with October 1, 2000, participants must have completed one (1) year of seniority to receive contributions.
      3. (C) Seniority will be calculated using October 1 of each successive year;

   2. (2) Proof of eligibility.

      1. (A) The vendor will have thirty (30) calendar days from issuance of contributions to send in proof of use in a valid retirement package (e.g., IRA) to the program.
      2. (B) Proof must be provided each year.
      3. (C)

4. (i) Failure to provide such proof will terminate the vendor's eligibility for retirement contributions, and vendor must return the last contributions received from the program that do not have proof of use in a valid retirement package.

   1. (ii) Should the vendor not return the last contributions, the amount of the contribution will be withheld from the vendor's draw and/or commission.

      1. (iii) Also, the vendor will be subject to disciplinary action in accordance with 22 CAR § 5-505;

   2. (3) Contributions.

      1. (A) Contributions will be paid to eligible licensed vendors by or on October 15 each year.
      2. (B) Contributions will start at two hundred dollars ($200) for one (1) year seniority and will be increased each additional year by twenty-five dollars ($25.00) (e.g., two (2) years seniority equals two hundred twenty-five dollars ($225)).
      3. (C) Contributions will be shown as income on the vendor's 1099 for the year in which they were paid.
      4. (D) After June 30 and before September 30, the Vending Facility Program Administrator and Vending Facility Program Accountant shall perform an annual review of the period between Period 1 (October 1) and Period 10 (June 30) of the current year and determine if sufficient funds have been collected to provide for an additional, one-time percentage and/or bonus payment increase in the overall retirement contributions for disbursement to eligible managers.

      5. (E)

         1. (i) If funds are available, eligible managers will receive the increase on their retirement benefit when disbursed.
         2. (ii) If funds are not available, no additional, one-time percentage increase will be disbursed;

   3. (4) Exceptions.

      1. (A) Exceptions will apply if the Internal Revenue Service does not allow contributions by the vendor due to age or other restrictions.
      2. (B) In this case, subdivision (c)(5)(B) of this section will not apply.
      3. (C) Contributions will be provided to the vendor in accordance with this policy; and

   4. (5) Termination from participation. The vendor is no longer eligible to participate in or receive retirement contributions when conditions exist as listed below:

      1. (A) Vendor is not licensed to operate a facility on the date when retirement contributions are issued, including the date of issuance;
      2. (B) Vendor fails to provide proof of retirement package within thirty (30) days after receiving the retirement contribution;
      3. (C) Retirement contributions will not be issued to beneficiaries or vendor estates; and
      4. (D) Retirement contributions will not be prorated.

Codification Notes: “IRA” means individual retirement account.