IDAPA 15.02.30
IDAHO COMMISSION FOR THE BLIND AND VISUALLY IMPAIRED
15.02.30 – Business Enterprise Program
Who does this rule apply to?
All individuals who apply for and are licensed vendors in the Business Enterprise Program.
What is the purpose of this rule?
This rule governs the administration of the Business Enterprise program.
What is the legal authority for the agency to promulgate this rule?
This rule implements the following statute passed by the Idaho Legislature:
State Government and State Affairs -
Commission for the Blind and Visually Impaired:
Who do I contact for more information on this rule?
Idaho Commission for the Blind and Visually Impaired 341 W. Washington Street Boise, ID 83720-0012
P.O. Box 83720 Boise, ID 83720-0012 Phone: (208) 334-3220 Fax: (208) 334-2963 Email: mike.walsh@icbvi.idaho.gov Web: https://icbvi.idaho.gov
This rule chapter will be reviewed in compliance with Section 67-5292, Idaho Code, and in accordance with the 8-year rule review schedule linked here.
15.02.30 – Business Enterprise Program
000. Legal Authority. ... 3
001. Scope. ... 3
002. Incorporation By Reference. ... 3
003. – 009. (Reserved) ... 3
010. Definitions. ... 3
011. Purpose. See U.S. Department Of Education – Randolph Sheppard Vending Facility Program. ... 4
012. – 029. (Reserved) ... 4
030. Licenses. ... 4
031. Operating Agreements. ... 4
032. – 039. (Reserved) ... 5
040. Termination And Suspension Of Licenses And / Or Operating Agreements. ... 5
041. – 049. (Reserved) ... 6
050. Selection Of Vendors. ... 6
051. – 059. (Reserved) ... 7
060. Access To Program And Financial Information. ... 7
061. – 069. (Reserved) ... 7
070. Equipment, Initial Stock, And Business Expenses. ... 7
071. Maintenance And Replacement Of Equipment. ... 7
072. Vendor Ownership Of Vending Facilities. ... 7
073. – 099. (Reserved) ... 7
100. Setting Aside Of Funds. ... 7
101. Distribution And Use Of Income From Vending Machines On Federal Property. ... 7
102. – 119. (Reserved) ... 7
120. Vendor Benefits. ... 8
121. – 149. (Reserved) ... 8
150. Training Curriculum. ... 8
151. – 159. (Reserved) ... 8
160. Idaho Blind Merchant's Committee (IBMC). ... 8
161. – 169. (Reserved) ... 8
170. Meetings Of The Committee. ... 8
171. – 188. (Reserved) ... 8
189. Informal Dispute Resolution. See IDAPA 15.02.01.150.01. ... 8
190. Evidentiary Hearing. ... 9
191. – 199. (Reserved) ... 10
200. Arbitration. ... 10
201. – 209. (Reserved) ... 10
210. Explanation To Vendors Of Rights And Responsibilities. ... 10
211. – 999. (Reserved) ... 10
The Idaho Legislature, as approved by the U.S. Secretary of Education, recognizes the Idaho Commission for the Blind and Visually Impaired (ICBVI) as the sole State Licensing Agency (SLA) under the provisions of the Randolph-Sheppard Vending Stand Act pursuant to Section 67-5411, Idaho Code, and has given to the Board of the ICBVI the legislative power to establish a Business Enterprise Program (BEP) pursuant to Section 67-5407(c), Idaho Code, and promulgate rules by the provisions of Section 67-5407(e), Idaho Code. (7-1-26)
These rules specify the conditions and standards under which the BEP facilities are operated. (7-1-26)
The following federal laws and regulations are incorporated by reference into the rules of this chapter and copies are available at the ICBVI office. (7-1-26)
01. 20 U.S.C Ch. 6A Randolph-Sheppard Act. (7-1-26)
02. 34 CFR 395. (7-1-26)
03. Section 67-5402, 67-5411, 67-5909, 67-6901, 67-6902, 67-6903, 67-6904, and 67-6905, Idaho Code. (7-1-26)
The terms below are defined as follows: (7-1-26)
01. Active Participation. An ongoing collaboration between the SLA and the Idaho Blind Merchants Committee (IBMC) on the development of Program rules, policies, standards, and procedures affecting the overall administration of the BEP, prior to being implemented by the SLA. (7-1-26)
02. Administrator. The Administrator of the ICBVI. (7-1-26)
03. Benefits. Retirement or pension plans, health insurance contributions, and paid sick and vacation. (7-1-26)
04. Blind Licensee. A blind person licensed by the SLA to operate a vending facility on federal or other property. (7-1-26)
05. Contract. An agreement with a government entity or other business for the operation of a cafeteria. (7-1-26)
06. Facility. In addition to Section 67-6902(2), Idaho Code, a vending enterprise is defined as: (7-1-26) a. A Vending Facility as defined in 34 CFR 395.1 (x) (7-1-26) b. Any business that sells articles or services consistent with the policies, goals, and objectives of the Program. (7-1-26)
07. IBMC. A committee comprised of at least a Chair, Vice Chair, and Secretary, elected by the Idaho Vendors to represent their interests and actively participate with the SLA. (7-1-26)
08. Operating Agreement (OA). An agreement between the SLA and a Vendor or other qualified individual for the operation of a vending Facility or individual location. (7-1-26)
09. Permit. The official approval given to an SLA by a department, agency, or instrumentality in control of the maintenance, operation, and protection of federal property or person in control of other property, whereby the SLA is authorized to establish a vending facility. (7-1-26)
10. Probation. A conditional status wherein the operation of a facility by a Vendor or Provisional Licensee is being monitored for a specified period. (7-1-26)
11. Property Manager. The individual or entity in charge of issuing Contracts or Permits in buildings on behalf of federal, state, or local government or private entities. (7-1-26)
12. Provisional Licensee. A trainee who is operating a facility during a six-month probationary period prior to becoming licensed as a BEP Vendor. (7-1-26)
13. Supervisor. The individual designated to administer the BEP. (7-1-26)
14. Suspension. Temporary withdrawal by the Supervisor of privileges granted by a license, or any OA during which time a Vendor may not continue to operate a facility. (7-1-26)
15. Vendor. A Blind Licensee who is operating a vending facility on federal or other property. (7-1-26)
01. Issuance of Licenses. Licenses do not expire and are issued only to persons who are determined by the SLA to be blind, a United States citizen, and certified by a vocational rehabilitation agency as qualified to operate a vending facility. (7-1-26)
02. Inactive License. A license will become inactive if a Blind Licensee fails to bid for a facility for more than one (1) year. (7-1-26)
03. Reactivation. A license can be reactivated upon written request to the Supervisor. The Blind Licensee may be required to repeat some of the certification requirements outlined in internal controls. (7-1-26)
To operate a facility, an individual must enter into an OA with the SLA that specifies the rights and responsibilities of each party as they relate to the operation of a facility. (7-1-26)
01. SLA Responsibilities. In addition to the responsibilities stipulated by the OA and Idaho Code, the SLA will: (7-1-26)
a. Periodically audit, or cause to be audited, the Vendor’s records and financial data to verify the accuracy of the set aside report; and (7-1-26)
b. Provide information or make available data in suitable format at the Vendor’s request provided that such disclosure does not violate applicable federal or State laws pertaining to the disclosure of confidential information. (7-1-26)
c. Make each facility’s signed OA available to all Vendors. (7-1-26)
02. General Rights and Responsibilities. (7-1-26)
a. The Vendor is encouraged to hire blind persons or persons with other disabilities when feasible. (7-1-26)
b. The Vendor shall report any unresolved complaints of the Property Manager to the Supervisor within one (1) business day. (7-1-26)
c. The Vendor may, with written approval of the Supervisor, negotiate with Property Managers for
additional facilities. (7-1-26)
d. In the event of any dispute, the OA is governed by the jurisdiction of the state courts of Ada County in the state of Idaho unless said dispute is due to a violation of the Randolph-Sheppard Act in which case jurisdiction falls under the Randolph-Sheppard Act arbitration provisions with appeal to federal district court. (7-1-26)
01. Grounds for License Termination. Except in emergency situations, probation occurs prior to termination. Licenses are subject to termination after fifteen (15) business days’ notice if the SLA finds: (7-1-26)
a. That the Vendor engages in conduct or allows a condition to exist for which the Vendor has previously been placed on Probation, or which has previously led to the suspension of the License or OA; (7-1-26)
b. That the facility is not being operated in accordance with SLA rules, the terms and conditions governing the Permit, Contract, or OA; (7-1-26)
c. That the Vendor no longer meets the definition of blind person. (7-1-26)
02. Grounds for OA Termination. An OA may be terminated if: (7-1-26)
a. The health and safety of the Vendor, the employees, or the customers are jeopardized; (7-1-26)
b. The Vendor jeopardizes the state’s investment in the facility by violating the terms of the Permit, Contract, or OA; applicable federal, state, or local laws, rules, and regulations; or by placing the facility in danger of being closed; (7-1-26)
c. The business and premises of the facility are not covered by adequate insurance; (7-1-26)
d. That the Vendor has received a medically documented diagnosis that will result in their being incapacitated or unable to oversee the operation of a facility for more than one (1) year. (7-1-26)
03. Grounds for License Suspension. The Supervisor has the authority to suspend the license of a Vendor whose conduct may jeopardize a Contract, Permit or the Program. (7-1-26)
04. Grounds for OA Suspension. Any OA may be suspended if: (7-1-26)
a. The Vendor has committed any of the acts enumerated in Subsection 040.02 of these rules; or (7-1-26)
b. The Property Manager requests the removal of the Vendor and documents the request in writing. The Vendor will have three (3) business days to respond; and the SLA will determine if immediate removal of the Vendor is in the best interest of the Program; or (7-1-26)
c. The Supervisor and the Vendor cannot agree on a plan to resolve violations and improve performance. (7-1-26)
05. Notice of Termination or Suspension. A written notice, in accessible format, will be provided to the Vendor that includes the specific grounds for termination or suspension and outlines a Vendor’s right to pursue an evidentiary hearing within fifteen (15) business days following the issuance of this notice. (7-1-26)
06. Request for Review. If the Vendor seeks an evidentiary hearing, and any subsequent appeals including arbitration, and prevails during the proceedings, all rights and benefits are restored to the Vendor including compensation for the period the license or OA was terminated or suspended. Compensation is calculated at a weekly rate determined by averaging the net income of the facility for a designated period prior to the notice of termination or
suspension. The designated timeframes are: (7-1-26)
a. The prior federal fiscal year in the case of license terminations; or (7-1-26) b. The eight (8) weeks prior to the notice of termination in the case of any terminated OA; or (7-1-26) c. The eight (8) weeks prior to the notice of suspension in the case of any suspended OA or license. (7-1-26)
07. Termination. The termination becomes effective following the fifteen (15) business day notice period unless the Vendor seeks an evidentiary hearing, in which case the license may be suspended, and any OA may be terminated pending completion of the evidentiary hearing and subsequent appeals, including arbitration. (7-1-26)
08. Suspension. Suspension may continue up to one hundred eighty (180) calendar days. If the Vendor seeks an evidentiary hearing and arbitration, the suspension will continue until the evidentiary hearing, arbitration, and subsequent proceedings have concluded. (7-1-26)
09. OA Cancellation. An OA may be cancelled by the SLA at any time should the facility cease to be a vending facility by revocation of the Permit by the Property Manager. Cancellation under this subsection will not affect licensure. (7-1-26)
10. License Probation. The Supervisor has the authority to place a Vendor who is not in compliance with the terms of an OA on Probation. The Vendor is provided written notification in their preferred format of the Probation including the specific deficiencies and the timeframe to complete corrective action. A notice of termination will be issued if corrective action is not completed within the time frame. (7-1-26)
11. Improvement Plans. If a Vendor's set aside report indicates that no profit has been realized during three (3) consecutive months or five (5) months in a fiscal year, or if a Vendor requests intervention due to other deficiencies, a review will be initiated. The Supervisor and Vendor will determine a six (6) month plan for improvement with measurable objectives. Should the facility not show reasonable improvements during that time, the Supervisor may issue a notice of termination of the OA or close the facility. (7-1-26)
041. – 049. (RESERVED)
050. SELECTION OF VENDORS.
01. Notification of Opening. Written notification of any facility opening will be provided to all Vendors, Blind Licensees, Provisional Licensees and Trainees, Board of Commissioners, and VR Counselors of the ICBVI. The notice includes the facility location, application procedure, submission, and deadline. (7-1-26)
02. Qualification of Bidders. A bidder for a facility shall be licensed by the SLA or in training as a Provisional Licensee, in financial good standing with Program monies, and whose license has not been suspended or placed on probation in the last calendar year. (7-1-26)
03. No Qualified Bidders. If no applications are received from qualified bidders, the Supervisor may award a one- (1) year OA to any food service business with a registered EIN. (7-1-26)
04. Application. An application will be in the form of a written letter to the Supervisor and include a statement of qualifications and pertinent experience. (7-1-26)
05. Selection Panel. A panel is appointed to review all applications and conduct interviews. (7-1-26)
a. The panel includes the Supervisor serving as chair, a representative Vendor selected by the IBMC Chair, and one (1) person from field services who will be selected through active participation. No member of the selection panel will have a conflict of interest with the applicants. (7-1-26)
b. The panel reviews all written applications and conducts interviews with the candidates using the
same format and interview questions. All members of the panel must be present during the interviews. (7-1-26)
c. A weighted evaluation form is used by each panel member. Selection criteria will be consistent with the job requirements of that facility. (7-1-26)
d. The Supervisor makes a final selection from the two (2) candidates with the highest total points. If the candidate with the highest score is not selected, the Supervisor will provide a written explanation with the documentation that supports the decision. In the event of a tie, the facility will be awarded to the bidder with the highest seniority. (7-1-26)
e. If no bidder is awarded operation of the facility, the Supervisor may grant a one- (1) year OA to a Vendor, Blind Licensee, Provisional Licensee, or other food-service provider with a registered EIN. (7-1-26)
06. Notification of Decision. Written notification of final decision is provided to all applicants. (7-1-26)
07. Transfer and Promotion. Licenses, OAs, and Contracts are not transferable and must go through the original selection process. (7-1-26)
051. – 059. (RESERVED)
060. ACCESS TO PROGRAM AND FINANCIAL INFORMATION. See 34 CFR 395.12. (7-1-26)
061. – 069. (RESERVED)
070. EQUIPMENT, INITIAL STOCK, AND BUSINESS EXPENSES.
01. SLA Responsibilities. The SLA assumes full responsibility for providing each facility established under the Program with adequate equipment and initial stock of merchandise. (7-1-26)
02. Initial Stock of Merchandise. An initial stock of merchandise for a minimum of two (2) full weeks of operation is provided to the Vendor. (7-1-26)
03. Insurance. All vendors must obtain general liability, product liability, and worker’s compensation insurance and provide proof of insurance prior to the start of operation and within ten (10) days of the policy renewal date. (7-1-26)
071. MAINTENANCE AND REPLACEMENT OF EQUIPMENT. See 34 CFR 395.10. The Vendor must report any incident resulting in damage, breakage, theft, defacement, or malfunction of equipment or fixtures within three (3) days, and arrange repair or replacement with the SLA. The SLA will not be responsible for or cover the cost of repairs that are due to negligent actions of the Vendor or for equipment or fixtures not covered under an OA. (7-1-26)
072. VENDOR OWNERSHIP OF VENDING FACILITIES. The SLA does not vest title to state-purchased equipment and stock in a Vendor. (7-1-26)
073. – 099. (RESERVED)
100. SETTING ASIDE OF FUNDS. See 34 CFR 395.9. (7-1-26)
101. DISTRIBUTION AND USE OF INCOME FROM VENDING MACHINES ON FEDERAL PROPERTY. See 34 CFR 395.8. (7-1-26)
102. – 119. (RESERVED)
See 34 CFR 395.8(c).
(7-1-26)
01. Eligibility. Only vendors operating a facility pursuant to an OA are eligible to receive benefits. (7-1-26)
02. Non-Fully Funded Benefits. If funds are not available for full payment of benefits as voted by the Vendors, the SLA may pro-rate the payments from available funds, unless another method of disbursement of non-fully funded Benefits was voted by a majority of the Vendors operating a facility. (7-1-26)
121. – 149. (RESERVED)
01. Licensing. A candidate becomes licensed after completing the training curriculum established by the SLA which is comprised of general non-visual skills training, core BEP subjects, on-the-job training, and a six-month probationary period during which a trainee is to operate a facility. (7-1-26)
02. In-Service Training. The SLA provides each Vendor with regular and systematic assistance and in-service training to promote maximum returns to the Vendor; maximum service to the clientele; maintenance of a clean and attractive place of business; utilization of sound business practices; and adherence to the SLA’s rules, policies, and building management requirements. (7-1-26)
151. – 159. (RESERVED)
See 34 CFR 395.14. IBMC representatives shall be elected by the Vendors at a regular meeting and serve in their respective roles for two (2) years. (7-1-26)
01. Bylaws. The Vendors shall, by a majority vote, adopt bylaws, consistent with the Randolph-Sheppard Act, which govern the internal operation of the IBMC. (7-1-26)
161. – 169. (RESERVED)
01. Annual Meetings. The IBMC shall hold at least one (1) regular meeting each calendar year. (7-1-26)
02. Program Responsibilities. The SLA will work with the IBMC Chair or designated representative to coordinate and participate in the regular meetings of the IBMC. (7-1-26)
03. Expenses. The SLA pays allowable expenses, including meeting rooms, lodging, per diem, and transportation, of not more than two (2) regular meetings per calendar year. The transportation arrangements are determined by the Supervisor. Expenses for additional meetings of the IBMC may be paid by the Program at the discretion of the SLA. (7-1-26)
04. Minutes. See Section 74-205, Idaho Code. The Program will pay all reasonable costs for this service. (7-1-26)
171. – 188. (RESERVED)
A candidate going through the BEP training curriculum or a Provisional Licensee who disagrees with the actions of the SLA may request an Informal Dispute Resolution with the Rehabilitation Services Chief. (7-1-26)
01. Request. The ICBVI will provide a Vendor or Blind Licensee an opportunity for an evidentiary hearing. The Vendor, Blind Licensee, or designated representative may request an evidentiary hearing by filing a complaint. The written request will be delivered to the Administrator within fifteen (15) business days of the aggrieved party’s filed complaint. (7-1-26)
02. Time and Place of Hearing. The evidentiary hearing will be held in the ICBVI headquarters at a mutually convenient time. (7-1-26)
03. Time Limit. The hearing procedure will be limited to ninety (90) calendar days, beginning on the date the request for hearing is filed by the Vendor. The time limit may be extended due to illness of the Vendor or delay in obtaining evidence because of circumstances beyond the control of the Vendor or the SLA. (7-1-26)
04. Hearing Officer. The Administrator will request the Idaho Office of Administrative Hearings to appoint an attorney as the Hearing Officer to conduct the evidentiary hearing and issue a report. (7-1-26)
05. Hearing Notice. A notice of the hearing date will be provided to the Vendor or Blind Licensee at least twenty-one (21) calendar days prior to the date set for the hearing. (7-1-26)
06. Legal Counsel. The Vendor or Blind Licensee may arrange to have legal counsel or other representation. Such counsel shall be at the expense of the Vendor. (7-1-26)
07. Evidence. The Hearing Officer shall make a reasonable effort to obtain the most credible evidence of fact in the case, and the rules of evidence do not apply. (7-1-26)
08. Conduct of Hearing. Each party will be given an opportunity to present its case, examine and cross-examine witnesses, present arguments, and rebut evidence. (7-1-26)
09. Transcripts. A transcript of the proceedings will be made available to the parties upon request. The SLA will pay all transcript costs associated with the conduct of the hearing. (7-1-26)
a. The Hearing Officer shall submit a report to the Administrator within twenty-one (21) calendar days after the hearing. This report will include: the issues and relevant facts adduced at the hearing; applicable provisions of law, rules, and ICBVI policy; findings of fact and conclusions of law with respect to issues; and the reasons and basis thereof. (7-1-26)
b. The report will also set forth any action necessary to resolve the issue and a recommended decision. (7-1-26)
11. Service of Report. The report will be served to the Administrator and all parties to the hearing. (7-1-26)
12. Written Comments, Arguments, and Exceptions. Parties to the hearing may, within fifteen (15) business days of the date the report was received in the Administrator’s office, file written comments, arguments, and exceptions regarding factual or legal errors to the report with the Administrator. Comments, arguments, and exceptions received in a timely fashion become a part of the record and will be considered by the Administrator in making a final decision. (7-1-26)
13. Exclusive Record for Decision. The transcript of testimony, exhibits, and any written comments, arguments, and exception to the report filed with the Administrator will constitute an exclusive record for decision. (7-1-26)
14. Decision. The final decision of the Administrator will be mailed to the Vendor within thirty (30) calendar days of receipt of the Hearing Officer’s report. (7-1-26)
If a Vendor is dissatisfied with a decision rendered after an evidentiary hearing, the Vendor may request that an arbitration panel be convened by filing a complaint with the Secretary of the U.S. Department of Education in accordance with 34 CFR 395.13. (7-1-26)
The SLA will furnish to each Vendor copies of documents relevant to the operation of the facility, in an accessible format including rules and procedures, a written description of the arrangements for providing services, the OA and Permit covering the operation of the facility, and will provide explanation of these documents upon request by the Vendor. (7-1-26)