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Vocational Rehabilitation and Other Rehabilitation Services of 1973 - 29 US Code Chapter 16

29 USC CHAPTER 16 - VOCATIONAL REHABILITATION AND OTHER REHABILITATION SERVICES

TITLE 29 - LABOR
CHAPTER 16 - VOCATIONAL REHABILITATION AND OTHER REHABILITATION SERVICES

GENERAL PROVISIONS
Sec.
701. Findings; purpose; policy.
702. Rehabilitation Services Administration.
703. Advance funding.
704. Joint funding.
705. Definitions.
706. Allotment percentage.
707. Nonduplication.
708. Application of other laws.
709. Administration.
710. Reports.
711. Evaluation.
712. Information clearinghouse.
713. Transfer of funds.
714. State administration.
715. Review of applications.
716. Carryover.
717. Client assistance information.
718. Traditionally underserved populations.

SUBCHAPTER I - VOCATIONAL REHABILITATION SERVICES

PART A - GENERAL PROVISIONS
720. Declaration of policy; authorization of appropriations.
721. State plans.
722. Eligibility and individualized plan for employment.
723. Vocational rehabilitation services.
724. Non-Federal share for establishment of program or construction.
725. State Rehabilitation Council.
726. Evaluation standards and performance indicators.
727. Monitoring and review.
728. Expenditure of certain amounts.
728a. Training of employers with respect to Americans with Disabilities Act of 1990.

PART B - BASIC VOCATIONAL REHABILITATION SERVICES
730. State allotments.
731. Payments to States.
732. Client assistance program.

PART C - AMERICAN INDIAN VOCATIONAL REHABILITATION SERVICES
741. Vocational rehabilitation services grants.

PART D - VOCATIONAL REHABILITATION SERVICES CLIENT INFORMATION
751. Data sharing.

SUBCHAPTER II - RESEARCH AND TRAINING
760. Declaration of purpose.
761. Authorization of appropriations.
762. National Institute on Disability and Rehabilitation Research.
762a. Research and demonstration projects.
763. Interagency Committee.
764. Research and other covered activities.
765. Rehabilitation Research Advisory Council.

SUBCHAPTER III - PROFESSIONAL DEVELOPMENT AND SPECIAL PROJECTS AND DEMONSTRATIONS
771. Declaration of purpose and competitive basis of grants and contracts.
772. Training.
773. Demonstration and training programs.
774. Migrant and seasonal farmworkers.
775. Recreational programs.
776. Measuring of project outcomes and performance.

SUBCHAPTER IV - NATIONAL COUNCIL ON DISABILITY
780. Establishment of National Council on Disability.
780a. Independent status of National Council on the Handicapped.
781. Duties of National Council.
782. Compensation of National Council members.
783. Staff of National Council.
784. Administrative powers of National Council.
785. Authorization of appropriations.

SUBCHAPTER V - RIGHTS AND ADVOCACY
790. Repealed.
791. Employment of individuals with disabilities.
792. Architectural and Transportation Barriers Compliance Board.
793. Employment under Federal contracts.
794. Nondiscrimination under Federal grants and programs.
794a. Remedies and attorney fees.
794b. Removal of architectural, transportation, or communication barriers; technical and financial assistance; compensation of experts or consultants; authorization of appropriations.
794c. Interagency Disability Coordinating Council.
794d. Electronic and information technology.
794e. Protection and advocacy of individual rights.

SUBCHAPTER VI - EMPLOYMENT OPPORTUNITIES FOR INDIVIDUALS WITH DISABILITIES

PART A - PROJECTS WITH INDUSTRY
795. Projects With Industry.
795a. Authorization of appropriations.

PART B - SUPPORTED EMPLOYMENT SERVICES FOR INDIVIDUALS WITH THE MOST SIGNIFICANT DISABILITIES
795g. Purpose.
795h. Allotments.
795i. Availability of services.
795j. Eligibility.
795k. State plan.
795l. Restriction.
795m. Savings provision.
795n. Authorization of appropriations.

SUBCHAPTER VII - INDEPENDENT LIVING SERVICES AND CENTERS FOR INDEPENDENT LIVING

PART A - INDIVIDUALS WITH SIGNIFICANT DISABILITIES

SUBPART 1 - GENERAL PROVISIONS
796. Purpose.
796a.. Definitions.
796b.. Eligibility for receipt of services.
796c.. State plan.
796d.. Statewide Independent Living Council.
796d-1 . Responsibilities of Commissioner.

SUBPART 2 - INDEPENDENT LIVING SERVICES
796e. Allotments.
796e-1. Payments to States from allotments.
796e-2. Authorized uses of funds.
796e-3. Authorization of appropriations.

SUBPART 3 - CENTERS FOR INDEPENDENT LIVING
796f. Program authorization.
796f-1. Grants to centers for independent living in States in which Federal funding exceeds State funding.
796f-2. Grants to centers for independent living in States in which State funding equals or exceeds Federal funding.
796f-3. Centers operated by State agencies.
796f-4. Standards and assurances for centers for independent living.
796f-5. Eligible agency defined.
796f-6. Authorization of appropriations.

PART B - INDEPENDENT LIVING SERVICES FOR OLDER INDIVIDUALS WHO ARE BLIND
796j. Older individual who is blind defined.
796k. Program of grants.
796l. Authorization of appropriations.

SUBCHAPTER VIII - SPECIAL DEMONSTRATIONS AND TRAINING PROJECTS
797 to 797b. Repealed.

GENERAL PROVISIONS

Sec. 701. Findings; purpose; policy

   (a) Findings
Congress finds that -
          (1) millions of Americans have one or more physical or mental disabilities and the number of Americans with such disabilities is increasing;
          (2) individuals with disabilities constitute one of the most disadvantaged groups in society;
          (3) disability is a natural part of the human experience and in no way diminishes the right of individuals to -
            (A) live independently;
            (B) enjoy self-determination;
            (C) make choices;
            (D) contribute to society;
            (E) pursue meaningful careers; and
            (F) enjoy full inclusion and integration in the economic, political, social, cultural, and educational mainstream of American society;

          (4) increased employment of individuals with disabilities can be achieved through implementation of statewide workforce investment systems under title I of the Workforce Investment Act of 1998 [29 U.S.C. 2801 et seq.] that provide meaningful and effective participation for individuals with disabilities in workforce investment activities and activities carried out under the vocational rehabilitation program established under subchapter I of this chapter, and through the provision of independent living services, support services, and meaningful opportunities for employment in integrated work settings through the provision of reasonable accommodations;
          (5) individuals with disabilities continually encounter various forms of discrimination in such critical areas as employment, housing, public accommodations, education, transportation, communication, recreation, institutionalization, health services, voting, and public services; and
          (6) the goals of the Nation properly include the goal of providing individuals with disabilities with the tools necessary to -
            (A) make informed choices and decisions; and
            (B) achieve equality of opportunity, full inclusion and integration in society, employment, independent living, and economic and social self-sufficiency, for such individuals.
   (b) Purpose
The purposes of this chapter are -
          (1) to empower individuals with disabilities to maximize employment, economic self-sufficiency, independence, and inclusion and integration into society, through -
            (A) statewide workforce investment systems implemented in accordance with title I of the Workforce Investment Act of 1998 [29 U.S.C. 2801 et seq.] that include, as integral components, comprehensive and coordinated state-of-the-art programs of vocational rehabilitation;
            (B) independent living centers and services;
            (C) research;
            (D) training;
            (E) demonstration projects; and
            (F) the guarantee of equal opportunity; and

          (2) to ensure that the Federal Government plays a leadership role in promoting the employment of individuals with disabilities, especially individuals with significant disabilities, and in assisting States and providers of services in fulfilling the aspirations of such individuals with disabilities for meaningful and gainful employment and independent living.
   (c) Policy
 It is the policy of the United States that all programs, projects, and activities receiving assistance under this chapter shall be carried out in a manner consistent with the principles of -
          (1) respect for individual dignity, personal responsibility, self-determination, and pursuit of meaningful careers, based on informed choice, of individuals with disabilities;
          (2) respect for the privacy, rights, and equal access
        (including the use of accessible formats), of the individuals;
          (3) inclusion, integration, and full participation of the individuals;
          (4) support for the involvement of an individual's representative if an individual with a disability requests, desires, or needs such support; and
          (5) support for individual and systemic advocacy and community involvement.

Sec. 702. Rehabilitation Services Administration

        (a) There is established in the Office of the Secretary a Rehabilitation Services Administration which shall be headed by a Commissioner (hereinafter in this chapter referred to as the "Commissioner") appointed by the President by and with the advice and consent of the Senate. Except for subchapters IV and V of this chapter and as otherwise specifically provided in this chapter, such Administration shall be the principal agency, and the Commissioner shall be the principal officer, of such Department for carrying out this chapter. The Commissioner shall be an individual with substantial experience in rehabilitation and in rehabilitation program management. In the performance of the functions of the office, the Commissioner shall be directly responsible to the Secretary or to the Under Secretary or an appropriate Assistant Secretary of such Department, as designated by the Secretary. The functions of the Commissioner shall not be delegated to any officer not directly responsible, both with respect to program operation and administration, to the Commissioner. Any reference in this chapter to duties to be carried out by the Commissioner shall be considered to be a reference to duties to be carried out by the Secretary acting through the Commissioner. In carrying out any of the functions of the office under this chapter, the Commissioner shall be guided by general policies of the National Council on Disability established under subchapter IV of this chapter.
        (b) The Secretary shall take whatever action is necessary to ensure that funds appropriated pursuant to this chapter are expended only for the programs, personnel, and administration of programs carried out under this chapter.

Sec. 703. Advance funding

        (a) For the purpose of affording adequate notice of funding available under this chapter, appropriations under this chapter are authorized to be included in the appropriation Act for the fiscal year preceding the fiscal year for which they are available for obligation.
        (b) In order to effect a transition to the advance funding method of timing appropriation action, the authority provided by subsection (a) of this section shall apply notwithstanding that its initial application will result in the enactment in the same year (whether in the same appropriation Act or otherwise) of two separate appropriations, one for the then current fiscal year and one for the succeeding fiscal year.

Sec. 704. Joint funding

Pursuant to regulations prescribed by the President, and to the extent consistent with the other provisions of this chapter, where funds are provided for a single project by more than one Federal agency to an agency or organization assisted under this chapter, the Federal agency principally involved may be designated to act for all in administering the funds provided, and, in such cases, a single non-Federal share requirement may be established according to the proportion of funds advanced by each agency. When the principal agency involved is the Rehabilitation Services Administration, it may waive any grant or contract requirement (as defined by such regulations) under or pursuant to any law other than this chapter, which requirement is inconsistent with the similar requirements of the administering agency under or pursuant to this chapter.

Sec. 705. Definitions

For the purposes of this chapter:
        (1) Administrative costs The term "administrative costs" means expenditures incurred in the performance of administrative functions under the vocational rehabilitation program carried out under subchapter I of this chapter, including expenses related to program planning, development, monitoring, and evaluation, including expenses for -
            (A) quality assurance;
            (B) budgeting, accounting, financial management, information systems, and related data processing;
            (C) providing information about the program to the public;
            (D) technical assistance and support services to other State agencies, private nonprofit organizations, and businesses and industries, except for technical assistance and support services described in section 723(b)(5) of this title;
            (E) the State Rehabilitation Council and other advisory committees;
            (F) professional organization membership dues for designated State unit employees;
            (G) the removal of architectural barriers in State vocational rehabilitation agency offices and State operated rehabilitation facilities;
            (H) operating and maintaining designated State unit facilities, equipment, and grounds;
            (I) supplies;
            (J) administration of the comprehensive system of personnel development described in section 721(a)(7) of this title, including personnel administration, administration of affirmative action plans, and training and staff development;
            (K) administrative salaries, including clerical and other support staff salaries, in support of these administrative functions;
            (L) travel costs related to carrying out the program, other than travel costs related to the provision of services;
            (M) costs incurred in conducting reviews of rehabilitation counselor or coordinator determinations under section 722(c) of this title; and
            (N) legal expenses required in the administration of the program.
        (2) Assessment for determining eligibility and vocational rehabilitation needs The term "assessment for determining eligibility and vocational rehabilitation needs" means, as appropriate in each case -
            (A)(i) a review of existing data -
              (I) to determine whether an individual is eligible for vocational rehabilitation services; and
              (II) to assign priority for an order of selection described in section 721(a)(5)(A) of this title in the States that use an order of selection pursuant to section 721(a)(5)(A) of this title; and

            (ii) to the extent necessary, the provision of appropriate assessment activities to obtain necessary additional data to make such determination and assignment;
            (B) to the extent additional data is necessary to make a determination of the employment outcomes, and the nature and scope of vocational rehabilitation services, to be included in the individualized plan for employment of an eligible individual, a comprehensive assessment to determine the unique strengths, resources, priorities, concerns, abilities, capabilities, interests, and informed choice, including the need for supported employment, of the eligible individual, which comprehensive assessment -
              (i) is limited to information that is necessary to identify the rehabilitation needs of the individual and to develop the individualized plan for employment of the eligible individual;
              (ii) uses, as a primary source of such information, to the maximum extent possible and appropriate and in accordance with confidentiality requirements -
                (I) existing information obtained for the purposes of determining the eligibility of the individual and assigning priority for an order of selection described in section 721(a)(5)(A) of this title for the individual; and
                (II) such information as can be provided by the individual and, where appropriate, by the family of the individual;

              (iii) may include, to the degree needed to make such a determination, an assessment of the personality, interests, interpersonal skills, intelligence and related functional capacities, educational achievements, work experience, vocational aptitudes, personal and social adjustments, and employment opportunities of the individual, and the medical, psychiatric, psychological, and other pertinent vocational, educational, cultural, social, recreational, and environmental factors, that affect the employment and rehabilitation needs of the individual; and
              (iv) may include, to the degree needed, an appraisal of the patterns of work behavior of the individual and services needed for the individual to acquire occupational skills, and to develop work attitudes, work habits, work tolerance, and social and behavior patterns necessary for successful job performance, including the utilization of work in real job situations to assess and develop the capacities of the individual to perform adequately in a work environment;

            (C) referral, for the provision of rehabilitation technology services to the individual, to assess and develop the capacities of the individual to perform in a work environment; and
            (D) an exploration of the individual's abilities, capabilities, and capacity to perform in work situations, which shall be assessed periodically during trial work experiences, including experiences in which the individual is provided appropriate supports and training.
        (3) Assistive technology device
The term "assistive technology device" has the meaning given such term in section 3002 of this title, except that the reference in such section to the term "individuals with disabilities" shall be deemed to mean more than one individual with a disability as defined in paragraph (20)(A).
        (4) Assistive technology service
The term "assistive technology service" has the meaning given such term in section 3002 of this title, except that the reference in such section -
            (A) to the term "individual with a disability" shall be deemed to mean an individual with a disability, as defined in paragraph (20)(A); and
            (B) to the term "individuals with disabilities" shall be deemed to mean more than one such individual.
        (5) Community rehabilitation program The term "community rehabilitation program" means a program that provides directly or facilitates the provision of vocational rehabilitation services to individuals with disabilities, and that provides, singly or in combination, for an individual with a disability to enable the individual to maximize opportunities for employment, including career advancement -
            (A) medical, psychiatric, psychological, social, and vocational services that are provided under one management;
            (B) testing, fitting, or training in the use of prosthetic and orthotic devices;
            (C) recreational therapy;
            (D) physical and occupational therapy;
            (E) speech, language, and hearing therapy;
            (F) psychiatric, psychological, and social services, including positive behavior management;
            (G) assessment for determining eligibility and vocational rehabilitation needs;
            (H) rehabilitation technology;
            (I) job development, placement, and retention services;
            (J) evaluation or control of specific disabilities;
            (K) orientation and mobility services for individuals who are blind;
            (L) extended employment;
            (M) psychosocial rehabilitation services;
            (N) supported employment services and extended services;
            (O) services to family members when necessary to the vocational rehabilitation of the individual;
            (P) personal assistance services; or
            (Q) services similar to the services described in one of subparagraphs (A) through (P).
        (6) Construction; cost of construction
          (A) Construction
The term "construction" means -
              (i) the construction of new buildings;
              (ii) the acquisition, expansion, remodeling, alteration, and renovation of existing buildings; and
              (iii) initial equipment of buildings described in clauses
            (i) and (ii).
          (B) Cost of construction
The term "cost of construction" includes architects' fees and the cost of acquisition of land in connection with construction but does not include the cost of offsite improvements.
        (7) Repealed. Pub. L. 105-277, div. A, Sec. 101(f) [title VIII, Sec. 402(c)(1)(B)], Oct. 21, 1998, 112 Stat. 2681-337, 2681-415
        (8) Designated State agency; designated State unit
          (A) Designated State agency
The term "designated State agency" means an agency designated under section 721(a)(2)(A) of this title.
          (B) Designated State unit
The term "designated State unit" means -
              (i) any State agency unit required under section 721(a)(2)(B)(ii) of this title; or
              (ii) in cases in which no such unit is so required, the State agency described in section 721(a)(2)(B)(i) of this title.
        (9) Disability
The term "disability" means -
            (A) except as otherwise provided in subparagraph (B), a physical or mental impairment that constitutes or results in a substantial impediment to employment; or
            (B) for purposes of sections 701, 711, and 712 of this title, and subchapters II, IV, V, and VII of this chapter, a physical or mental impairment that substantially limits one or more major life activities.
        (10) Drug and illegal use of drugs
          (A) Drug
The term "drug" means a controlled substance, as defined in schedules I through V of section 202 of the Controlled Substances Act (21 U.S.C. 812).
          (B) Illegal use of drugs
The term "illegal use of drugs" means the use of drugs, the possession or distribution of which is unlawful under the Controlled Substances Act [21 U.S.C. 801 et seq.]. Such term does not include the use of a drug taken under supervision by a licensed health care professional, or other uses authorized by the Controlled Substances Act or other provisions of Federal law.
        (11) Employment outcome
The term "employment outcome" means, with respect to an individual -
            (A) entering or retaining full-time or, if appropriate, part-time competitive employment in the integrated labor market;
            (B) satisfying the vocational outcome of supported employment; or
            (C) satisfying any other vocational outcome the Secretary may determine to be appropriate (including satisfying the vocational outcome of self-employment, telecommuting, or business ownership),
in a manner consistent with this chapter.
        (12) Establishment of a community rehabilitation program
The term "establishment of a community rehabilitation program" includes the acquisition, expansion, remodeling, or alteration of existing buildings necessary to adapt them to community rehabilitation program purposes or to increase their effectiveness for such purposes (subject, however, to such limitations as the Secretary may determine, in accordance with regulations the Secretary shall prescribe, in order to prevent impairment of the objectives of, or duplication of, other Federal laws providing Federal assistance in the construction of facilities for community rehabilitation programs), and may include such additional equipment and staffing as the Commissioner considers appropriate.
        (13) Extended services
The term "extended services" means ongoing support services and other appropriate services, needed to support and maintain an individual with a most significant disability in supported employment, that -
            (A) are provided singly or in combination and are organized and made available in such a way as to assist an eligible individual in maintaining supported employment;
            (B) are based on a determination of the needs of an eligible individual, as specified in an individualized plan for employment; and
            (C) are provided by a State agency, a nonprofit private organization, employer, or any other appropriate resource, after an individual has made the transition from support provided by the designated State unit.
        (14) Federal share
          (A) In general
Subject to subparagraph (B), the term "Federal share" means 78.7 percent.
          (B) Exception
The term "Federal share" means the share specifically set forth in section 731(a)(3) of this title, except that with respect to payments pursuant to part B of subchapter I of this chapter to any State that are used to meet the costs of construction of those rehabilitation facilities identified in section 723(b)(2) of this title in such State, the Federal share shall be the percentages determined in accordance with the provisions of section 731(a)(3) of this title applicable with respect to the State.
          (C) Relationship to expenditures by a political subdivision
For the purpose of determining the non-Federal share with respect to a State, expenditures by a political subdivision thereof or by a local agency shall be regarded as expenditures by such State, subject to such limitations and conditions as the Secretary shall by regulation prescribe.
        (15) Governor
The term "Governor" means a chief executive officer of a State.
        (16) Impartial hearing officer
          (A) In general
The term "impartial hearing officer" means an individual -
              (i) who is not an employee of a public agency (other than an administrative law judge, hearing examiner, or employee of an institution of higher education);
              (ii) who is not a member of the State Rehabilitation Council described in section 725 of this title;
              (iii) who has not been involved previously in the vocational rehabilitation of the applicant or eligible individual;
              (iv) who has knowledge of the delivery of vocational rehabilitation services, the State plan under section 721 of this title, and the Federal and State rules governing the provision of such services and training with respect to the performance of official duties; and
              (v) who has no personal or financial interest that would be in conflict with the objectivity of the individual.
          (B) Construction
An individual shall not be considered to be an employee of a public agency for purposes of subparagraph (A)(i) solely because the individual is paid by the agency to serve as a hearing officer.
        (17) Independent living core services
The term "independent living core services" means -
            (A) information and referral services;
            (B) independent living skills training;
            (C) peer counseling (including cross-disability peer counseling); and
            (D) individual and systems advocacy.
        (18) Independent living services The term "independent living services" includes -
            (A) independent living core services; and
            (B)(i) counseling services, including psychological, psychotherapeutic, and related services;
            (ii) services related to securing housing or shelter, including services related to community group living, and supportive of the purposes of this chapter and of the subchapters of this chapter, and adaptive housing services
          (including appropriate accommodations to and modifications of any space used to serve, or occupied by, individuals with disabilities);
            (iii) rehabilitation technology;
            (iv) mobility training;
            (v) services and training for individuals with cognitive and sensory disabilities, including life skills training, and interpreter and reader services;
            (vi) personal assistance services, including attendant care and the training of personnel providing such services;
            (vii) surveys, directories, and other activities to identify appropriate housing, recreation opportunities, and accessible transportation, and other support services;
            (viii) consumer information programs on rehabilitation and independent living services available under this chapter, especially for minorities and other individuals with disabilities who have traditionally been unserved or underserved by programs under this chapter;
            (ix) education and training necessary for living in a community and participating in community activities;
            (x) supported living;
            (xi) transportation, including referral and assistance for such transportation and training in the use of public transportation vehicles and systems;
            (xii) physical rehabilitation;
            (xiii) therapeutic treatment;
            (xiv) provision of needed prostheses and other appliances and devices;
            (xv) individual and group social and recreational services;
            (xvi) training to develop skills specifically designed for youths who are individuals with disabilities to promote self-awareness and esteem, develop advocacy and self-empowerment skills, and explore career options;
            (xvii) services for children;
            (xviii) services under other Federal, State, or local programs designed to provide resources, training, counseling, or other assistance, of substantial benefit in enhancing the independence, productivity, and quality of life of individuals with disabilities;
            (xix) appropriate preventive services to decrease the need of individuals assisted under this chapter for similar services in the future;
            (xx) community awareness programs to enhance the understanding and integration into society of individuals with disabilities; and
            (xxi) such other services as may be necessary and not inconsistent with the provisions of this chapter.
        (19) Indian; American Indian; Indian American; Indian tribe
          (A) In general
The terms "Indian", "American Indian", and "Indian American" mean an individual who is a member of an Indian tribe.
          (B) Indian tribe
The term "Indian tribe" means any Federal or State Indian tribe, band, rancheria, pueblo, colony, or community, including any Alaskan native village or regional village corporation (as defined in or established pursuant to the Alaska Native Claims Settlement Act [43 U.S.C. 1601 et seq.]).
        (20) Individual with a disability
          (A) In general
Except as otherwise provided in subparagraph (B), the term "individual with a disability" means any individual who -
              (i) has a physical or mental impairment which for such individual constitutes or results in a substantial impediment to employment; and
              (ii) can benefit in terms of an employment outcome from vocational rehabilitation services provided pursuant to subchapter I, III, or VI of this chapter.
          (B) Certain programs; limitations on major life activities
Subject to subparagraphs (C), (D), (E), and (F), the term "individual with a disability" means, for purposes of sections 701, 711, and 712 of this title, and subchapters II, IV, V, and VII of this chapter, any person who -
              (i) has a physical or mental impairment which substantially limits one or more of such person's major life activities;
              (ii) has a record of such an impairment; or
              (iii) is regarded as having such an impairment.
          (C) Rights and advocacy provisions
            (i) In general; exclusion of individuals engaging in drug use
For purposes of subchapter V of this chapter, the term "individual with a disability" does not include an individual who is currently engaging in the illegal use of drugs, when a covered entity acts on the basis of such use.
            (ii) Exception for individuals no longer engaging in drug use
Nothing in clause (i) shall be construed to exclude as an individual with a disability an individual who -
                (I) has successfully completed a supervised drug rehabilitation program and is no longer engaging in the illegal use of drugs, or has otherwise been rehabilitated successfully and is no longer engaging in such use;
                (II) is participating in a supervised rehabilitation program and is no longer engaging in such use; or
                (III) is erroneously regarded as engaging in such use, but is not engaging in such use; except that it shall not be a violation of this chapter for a covered entity to adopt or administer reasonable policies or procedures, including but not limited to drug testing, designed to ensure that an individual described in subclause
            (I) or (II) is no longer engaging in the illegal use of drugs.
            (iii) Exclusion for certain services
Notwithstanding clause (i), for purposes of programs and activities providing health services and services provided under subchapters I, II, and III of this chapter, an individual shall not be excluded from the benefits of such programs or activities on the basis of his or her current illegal use of drugs if he or she is otherwise entitled to such services.
            (iv) Disciplinary action
For purposes of programs and activities providing educational services, local educational agencies may take disciplinary action pertaining to the use or possession of illegal drugs or alcohol against any student who is an individual with a disability and who currently is engaging in the illegal use of drugs or in the use of alcohol to the same extent that such disciplinary action is taken against students who are not individuals with disabilities. Furthermore, the due process procedures at section 104.36 of title 34, Code of Federal Regulations (or any corresponding similar regulation or ruling) shall not apply to such disciplinary actions.
            (v) Employment; exclusion of alcoholics
For purposes of sections 793 and 794 of this title as such sections relate to employment, the term "individual with a disability" does not include any individual who is an alcoholic whose current use of alcohol prevents such individual from performing the duties of the job in question or whose employment, by reason of such current alcohol abuse, would constitute a direct threat to property or the safety of others.
          (D) Employment; exclusion of individuals with certain diseases or infections
For the purposes of sections 793 and 794 of this title, as such sections relate to employment, such term does not include an individual who has a currently contagious disease or infection and who, by reason of such disease or infection, would constitute a direct threat to the health or safety of other individuals or who, by reason of the currently contagious disease or infection, is unable to perform the duties of the job.
          (E) Rights provisions; exclusion of individuals on basis of homosexuality or bisexuality
For the purposes of sections 791, 793, and 794 of this title -
              (i) for purposes of the application of subparagraph (B) to such sections, the term "impairment" does not include homosexuality or bisexuality; and
              (ii) therefore the term "individual with a disability" does not include an individual on the basis of homosexuality or bisexuality.
          (F) Rights provisions; exclusion of individuals on basis of certain disorders
For the purposes of sections 791, 793, and 794 of this title, the term "individual with a disability" does not include an individual on the basis of -
              (i) transvestism, transsexualism, pedophilia, exhibitionism, voyeurism, gender identity disorders not resulting from physical impairments, or other sexual behavior disorders;
              (ii) compulsive gambling, kleptomania, or pyromania; or
              (iii) psychoactive substance use disorders resulting from current illegal use of drugs.
          (G) Individuals with disabilities
The term "individuals with disabilities" means more than one individual with a disability.
        (21) Individual with a significant disability
          (A) In general
Except as provided in subparagraph (B) or (C), the term "individual with a significant disability" means an individual with a disability -
              (i) who has a severe physical or mental impairment which seriously limits one or more functional capacities (such as mobility, communication, self-care, self-direction, interpersonal skills, work tolerance, or work skills) in terms of an employment outcome;
              (ii) whose vocational rehabilitation can be expected to require multiple vocational rehabilitation services over an extended period of time; and
              (iii) who has one or more physical or mental disabilities resulting from amputation, arthritis, autism, blindness, burn injury, cancer, cerebral palsy, cystic fibrosis, deafness, head injury, heart disease, hemiplegia, hemophilia, respiratory or pulmonary dysfunction, mental retardation, mental illness, multiple sclerosis, muscular dystrophy, musculo-skeletal disorders, neurological disorders (including stroke and epilepsy), paraplegia, quadriplegia, and other spinal cord conditions, sickle cell anemia, specific learning disability, end-stage renal disease, or another disability or combination of disabilities determined on the basis of an assessment for determining eligibility and vocational rehabilitation needs described in subparagraphs (A) and (B) of paragraph (2) to cause comparable substantial functional limitation.
          (B) Independent living services and centers for independent living
For purposes of subchapter VII of this chapter, the term "individual with a significant disability" means an individual with a severe physical or mental impairment whose ability to function independently in the family or community or whose ability to obtain, maintain, or advance in employment is substantially limited and for whom the delivery of independent living services will improve the ability to function, continue functioning, or move toward functioning independently in the family or community or to continue in employment, respectively.
          (C) Research and training
For purposes of subchapter II of this chapter, the term "individual with a significant disability" includes an individual described in subparagraph (A) or (B).
          (D) Individuals with significant disabilities
The term "individuals with significant disabilities" means more than one individual with a significant disability.
          (E) Individual with a most significant disability
            (i) In general
The term "individual with a most significant disability", used with respect to an individual in a State, means an individual with a significant disability who meets criteria established by the State under section 721(a)(5)(C) of this title.
            (ii) Individuals with the most significant disabilities
The term "individuals with the most significant disabilities" means more than one individual with a most significant disability.
        (22) Individual's representative; applicant's representative
The terms "individual's representative" and "applicant's representative" mean a parent, a family member, a guardian, an advocate, or an authorized representative of an individual or applicant, respectively.
        (23) Institution of higher education
The term "institution of higher education" has the meaning given the term in section 1001 of title 20.
        (24) Local agency
The term "local agency" means an agency of a unit of general local government or of an Indian tribe (or combination of such units or tribes) which has an agreement with the designated State agency to conduct a vocational rehabilitation program under the supervision of such State agency in accordance with the State plan approved under section 721 of this title. Nothing in the preceding sentence of this paragraph or in section 721 of this title shall be construed to prevent the local agency from arranging to utilize another local public or nonprofit agency to provide vocational rehabilitation services if such an arrangement is made part of the agreement specified in this paragraph.
        (25) Local workforce investment board
The term "local workforce investment board" means a local workforce investment board established under section 117 of the Workforce Investment Act of 1998 [29 U.S.C. 2832].
        (26) Nonprofit
The term "nonprofit", when used with respect to a community rehabilitation program, means a community rehabilitation program carried out by a corporation or association, no part of the net earnings of which inures, or may lawfully inure, to the benefit of any private shareholder or individual and the income of which is exempt from taxation under section 501(c)(3) of title 26.
        (27) Ongoing support services
The term "ongoing support services" means services -
            (A) provided to individuals with the most significant disabilities;
            (B) provided, at a minimum, twice monthly -
              (i) to make an assessment, regarding the employment situation, at the worksite of each such individual in supported employment, or, under special circumstances, especially at the request of the client, off site; and
              (ii) based on the assessment, to provide for the coordination or provision of specific intensive services, at or away from the worksite, that are needed to maintain employment stability; and

            (C) consisting of -
              (i) a particularized assessment supplementary to the comprehensive assessment described in paragraph (2)(B);
              (ii) the provision of skilled job trainers who accompany the individual for intensive job skill training at the worksite;
              (iii) job development, job retention, and placement services;
              (iv) social skills training;
              (v) regular observation or supervision of the individual;
              (vi) followup services such as regular contact with the employers, the individuals, the individuals' representatives, and other appropriate individuals, in order to reinforce and stabilize the job placement;
              (vii) facilitation of natural supports at the worksite;
              (viii) any other service identified in section 723 of this title; or
              (ix) a service similar to another service described in this subparagraph.
        (28) Personal assistance services
The term "personal assistance services" means a range of services, provided by one or more persons, designed to assist an individual with a disability to perform daily living activities on or off the job that the individual would typically perform if the individual did not have a disability. Such services shall be designed to increase the individual's control in life and ability to perform everyday activities on or off the job.
        (29) Public or nonprofit
The term "public or nonprofit", used with respect to an agency or organization, includes an Indian tribe.
        (30) Rehabilitation technology
The term "rehabilitation technology" means the systematic application of technologies, engineering methodologies, or scientific principles to meet the needs of and address the barriers confronted by individuals with disabilities in areas which include education, rehabilitation, employment, transportation, independent living, and recreation. The term includes rehabilitation engineering, assistive technology devices, and assistive technology services.
        (31) Secretary
The term "Secretary", except when the context otherwise requires, means the Secretary of Education.
        (32) State
The term "State" includes, in addition to each of the several States of the United States, the District of Columbia, the Commonwealth of Puerto Rico, the United States Virgin Islands, Guam, American Samoa, and the Commonwealth of the Northern Mariana Islands.
        (33) State workforce investment board
The term "State workforce investment board" means a State workforce investment board established under section 111 of the Workforce Investment Act of 1998 [29 U.S.C. 2821].
        (34) Statewide workforce investment system
The term "statewide workforce investment system" means a system described in section 111(d)(2) of the Workforce Investment Act of 1998 [29 U.S.C. 2821(d)(2)].
        (35) Supported employment
          (A) In general
The term "supported employment" means competitive work in integrated work settings, or employment in integrated work settings in which individuals are working toward competitive work, consistent with the strengths, resources, priorities, concerns, abilities, capabilities, interests, and informed choice of the individuals, for individuals with the most significant disabilities -
              (i)(I) for whom competitive employment has not traditionally occurred; or
              (II) for whom competitive employment has been interrupted or intermittent as a result of a significant disability; and
              (ii) who, because of the nature and severity of their disability, need intensive supported employment services for the period, and any extension, described in paragraph (36)(C) and extended services after the transition described in paragraph (13)(C) in order to perform such work.
          (B) Certain transitional employment
Such term includes transitional employment for persons who are individuals with the most significant disabilities due to mental illness.
        (36) Supported employment services
The term "supported employment services" means ongoing support services and other appropriate services needed to support and maintain an individual with a most significant disability in supported employment, that -
            (A) are provided singly or in combination and are organized and made available in such a way as to assist an eligible individual to achieve competitive employment;
            (B) are based on a determination of the needs of an eligible individual, as specified in an individualized plan for employment; and
            (C) are provided by the designated State unit for a period of time not to extend beyond 18 months, unless under special circumstances the eligible individual and the rehabilitation counselor or coordinator involved jointly agree to extend the time in order to achieve the employment outcome identified in the individualized plan for employment.
        (37) Transition services
The term "transition services" means a coordinated set of activities for a student, designed within an outcome-oriented process, that promotes movement from school to post school activities, including postsecondary education, vocational training, integrated employment (including supported employment), continuing and adult education, adult services, independent living, or community participation. The coordinated set of activities shall be based upon the individual student's needs, taking into account the student's preferences and interests, and shall include instruction, community experiences, the development of employment and other post school adult living objectives, and, when appropriate, acquisition of daily living skills and functional vocational evaluation.
        (38) Vocational rehabilitation services
The term "vocational rehabilitation services" means those services identified in section 723 of this title which are provided to individuals with disabilities under this chapter.
        (39) Workforce investment activities
The term "workforce investment activities" means workforce investment activities, as defined in section 101 of the Workforce Investment Act of 1998 [29 U.S.C. 2801], that are carried out under that Act.

Sec. 706. Allotment percentage

        (a)(1) For purposes of section 730 of this title, the allotment percentage for any State shall be 100 per centum less that percentage which bears the same ratio to 50 per centum as the per capita income of such State bears to the per capita income of the United States, except that -
          (A) the allotment percentage shall in no case be more than 75 per centum or less than 33 1/3 per centum; and
          (B) the allotment percentage for the District of Columbia, Puerto Rico, Guam, the Virgin Islands, American Samoa, and the Commonwealth of the Northern Mariana Islands shall be 75 per centum.

        (2) The allotment percentages shall be promulgated by the Secretary between October 1 and December 31 of each even-numbered year, on the basis of the average of the per capita incomes of the States and of the United States for the three most recent consecutive years for which satisfactory data are available from the Department of Commerce. Such promulgation shall be conclusive for each of the 2 fiscal years in the period beginning on the October 1 next succeeding such promulgation.
        (3) The term "United States" means (but only for purposes of this subsection) the 50 States and the District of Columbia.
        (b) The population of the several States and of the United States shall be determined on the basis of the most recent data available, to be furnished by the Department of Commerce by October 1 of the year preceding the fiscal year for which funds are appropriated pursuant to statutory authorizations.

Sec. 707. Nonduplication

In determining the amount of any State's Federal share of expenditures for planning, administration, and services incurred by it under a State plan approved in accordance with section 721 of this title, there shall be disregarded -
          (1) any portion of such expenditures which are financed by Federal funds provided under any other provision of law; and
          (2) the amount of any non-Federal funds required to be expended as a condition of receipt of such Federal funds.
No payment may be made from funds provided under one provision of this chapter relating to any cost with respect to which any payment is made under any other provision of this chapter, except that this section shall not be construed to limit or reduce fees for services rendered by community rehabilitation programs.

Sec. 708. Application of other laws

The provisions of chapter 71 of title 31 and of title V of the Act of October 15, 1977 (Public Law 95-134) shall not apply to the administration of the provisions of this chapter or to the administration of any program or activity under this chapter.

Sec. 709. Administration

   (a) Technical assistance; short-term traineeships; special projects; dissemination of information; monitoring and evaluations In carrying out the purposes of this chapter, the Commissioner may -
          (1) provide consultative services and technical assistance to public or nonprofit private agencies and organizations, including assistance to enable such agencies and organizations to facilitate meaningful and effective participation by individuals with disabilities in workforce investment activities;
          (2) provide short-term training and technical instruction, including training for the personnel of community rehabilitation programs, centers for independent living, and other providers of services (including job coaches);
          (3) conduct special projects and demonstrations;
          (4) collect, prepare, publish, and disseminate special educational or informational materials, including reports of the projects for which funds are provided under this chapter; and
          (5) provide monitoring and conduct evaluations.
   (b) Utilization of services and facilities; information task forces
        (1) In carrying out the duties under this chapter, the Commissioner may utilize the services and facilities of any agency of the Federal Government and of any other public or nonprofit agency or organization, in accordance with agreements between the Commissioner and the head thereof, and may pay therefor, in advance or by way of reimbursement, as may be provided in the agreement.
        (2) In carrying out the provisions of this chapter, the Commissioner shall appoint such task forces as may be necessary to collect and disseminate information in order to improve the ability of the Commissioner to carry out the provisions of this chapter.
   (c) Rules and regulations The Commissioner may promulgate such regulations as are considered appropriate to carry out the Commissioner's duties under this chapter.
   (d) Regulations for implementation of order of selection for vocational rehabilitation services The Secretary shall promulgate regulations regarding the requirements for the implementation of an order of selection for vocational rehabilitation services under section 721(a)(5)(A) of this title if such services cannot be provided to all eligible individuals with disabilities who apply for such services.
   (e) Regulations to implement amendments Not later than 180 days after August 7, 1998, the Secretary shall receive public comment and promulgate regulations to implement the amendments made by the Rehabilitation Act Amendments of 1998.
   (f) Limitation on regulations In promulgating regulations to carry out this chapter, the Secretary shall promulgate only regulations that are necessary to administer and ensure compliance with the specific requirements of this chapter.
   (g) Authorization of appropriations There are authorized to be appropriated to carry out this section such sums as may be necessary.

Sec. 710. Reports

   (a) Annual reports required Not later than one hundred and eighty days after the close of each fiscal year, the Commissioner shall prepare and submit to the President and to the Congress a full and complete report on the activities carried out under this chapter, including the activities and staffing of the information clearinghouse under section 712 of this title.
   (b) Collection of information The Commissioner shall collect information to determine whether the purposes of this chapter are being met and to assess the performance of programs carried out under this chapter. The Commissioner shall take whatever action is necessary to assure that the identity of each individual for which information is supplied under this section is kept confidential, except as otherwise required by law (including regulation).
   (c) Information to be included in reports In preparing the report, the Commissioner shall annually collect and include in the report information based on the information submitted by States in accordance with section 721(a)(10) of this title, including information on administrative costs as required by section 721(a)(10)(D) of this title. The Commissioner shall, to the maximum extent appropriate, include in the report all information that is required to be submitted in the reports described in section 2871(d) of this title and that pertains to the employment of individuals with disabilities.

Sec. 711. Evaluation

   (a) Statement of purpose; standards; persons eligible to conduct evaluations For the purpose of improving program management and effectiveness, the Secretary, in consultation with the Commissioner, shall evaluate all the programs authorized by this chapter, their general effectiveness in relation to their cost, their impact on related programs, and their structure and mechanisms for delivery of services, using appropriate methodology and evaluative research designs. The Secretary shall establish and use standards for the evaluations required by this subsection. Such an evaluation shall be conducted by a person not immediately involved in the administration of the program evaluated.
   (b) Opinions of program and project participants In carrying out evaluations under this section, the Secretary shall obtain the opinions of program and project participants about the strengths and weaknesses of the programs and projects.
   (c) Data as property of United States The Secretary shall take the necessary action to assure that all studies, evaluations, proposals, and data produced or developed with Federal funds under this chapter shall become the property of the United States.
   (d) Information from other departments and agencies Such information as the Secretary may determine to be necessary for purposes of the evaluations conducted under this section shall be made available upon request of the Secretary, by the departments and agencies of the executive branch.
   (e) Longitudinal study
        (1) To assess the linkages between vocational rehabilitation services and economic and noneconomic outcomes, the Secretary shall continue to conduct a longitudinal study of a national sample of applicants for the services.
        (2) The study shall address factors related to attrition and completion of the program through which the services are provided and factors within and outside the program affecting results. Appropriate comparisons shall be used to contrast the experiences of similar persons who do not obtain the services.
        (3) The study shall be planned to cover the period beginning on the application of individuals with disabilities for the services, through the eligibility determination and provision of services for the individuals, and a further period of not less than 2 years after the termination of services.
   (f) Information on exemplary practices
        (1) The Commissioner shall identify and disseminate information on exemplary practices concerning vocational rehabilitation.
        (2) To facilitate compliance with paragraph (1), the Commissioner shall conduct studies and analyses that identify exemplary practices concerning vocational rehabilitation, including studies in areas relating to providing informed choice in the rehabilitation process, promoting consumer satisfaction, promoting job placement and retention, providing supported employment, providing services to particular disability populations, financing personal assistance services, providing assistive technology devices and assistive technology services, entering into cooperative agreements, establishing standards and certification for community rehabilitation programs, converting from nonintegrated to integrated employment, and providing caseload management.
   (g) Authorization of appropriations There are authorized to be appropriated to carry out this section such sums as may be necessary.

Sec. 712. Information clearinghouse

   (a) Establishment; information and resources for individuals with disabilities The Secretary shall establish a central clearinghouse for information and resource availability for individuals with disabilities which shall provide information and data regarding -
          (1) the location, provision, and availability of services and programs for individuals with disabilities, including such information and data provided by State workforce investment boards regarding such services and programs authorized under title I of such Act; (!1)

          (2) research and recent medical and scientific developments bearing on disabilities (and their prevention, amelioration, causes, and cures); and
          (3) the current numbers of individuals with disabilities and their needs.
The clearinghouse shall also provide any other relevant information and data which the Secretary considers appropriate.
   (b) Information and data retrieval system The Commissioner may assist the Secretary to develop within the Department of Education a coordinated system of information and data retrieval, which will have the capacity and responsibility to provide information regarding the information and data referred to in subsection (a) of this section to the Congress, public and private agencies and organizations, individuals with disabilities and their families, professionals in fields serving such individuals, and the general public.
   (c) Office of Information and Resources for Individuals with Disabilities The office established to carry out the provisions of this section shall be known as the "Office of Information and Resources for Individuals with Disabilities".
   (d) Authorization of appropriations There are authorized to be appropriated to carry out this section such sums as may be necessary.

Sec. 713. Transfer of funds

        (a) Except as provided in subsection (b) of this section, no funds appropriated under this chapter for any program or activity may be used for any purpose other than that for which the funds were specifically authorized.
        (b) No more than 1 percent of funds appropriated for discretionary grants, contracts, or cooperative agreements authorized by this chapter may be used for the purpose of providing non-Federal panels of experts to review applications for such grants, contracts, or cooperative agreements.

Sec. 714. State administration

The application of any State rule or policy relating to the administration or operation of programs funded by this chapter (including any rule or policy based on State interpretation of any Federal law, regulation, or guideline) shall be identified as a State imposed requirement.

Sec. 715. Review of applications

Applications for grants in excess of $100,000 in the aggregate authorized to be funded under this chapter, other than grants primarily for the purpose of conducting dissemination or conferences, shall be reviewed by panels of experts which shall include a majority of non-Federal members. Non-Federal members may be provided travel, per diem, and consultant fees not to exceed the daily equivalent of the rate of pay for level 4 of the Senior Executive Service Schedule under section 5382 of title 5.

Sec. 716. Carryover

   (a) In general Except as provided in subsection (b) of this section, and notwithstanding any other provision of law -
          (1) any funds appropriated for a fiscal year to carry out any grant program under part B of subchapter I of this chapter, section 794e of this title (except as provided in section 794e(b) of this title), part B of subchapter VI of this chapter, subpart 2 or 3 of part A of subchapter VII of this chapter, or part B of subchapter VII of this chapter (except as provided in section 796k(b) of this title), including any funds reallotted under any such grant program, that are not obligated and expended by recipients prior to the beginning of the succeeding fiscal year; or
          (2) any amounts of program income, including reimbursement payments under the Social Security Act (42 U.S.C. 301 et seq.), received by recipients under any grant program specified in paragraph (1) that are not obligated and expended by recipients prior to the beginning of the fiscal year succeeding the fiscal year in which such amounts were received,
shall remain available for obligation and expenditure by such recipients during such succeeding fiscal year.
   (b) Non-Federal share Such funds shall remain available for obligation and expenditure by a recipient as provided in subsection (a) of this section only to the extent that the recipient complied with any Federal share requirements applicable to the program for the fiscal year for which the funds were appropriated.

Sec. 717. Client assistance information

All programs, including community rehabilitation programs, and projects, that provide services to individuals with disabilities under this chapter shall advise such individuals who are applicants for or recipients of the services, or the applicants' representatives or individuals' representatives, of the availability and purposes of the client assistance program under section 732 of this title, including information on means of seeking assistance under such program.

Sec. 718. Traditionally underserved populations

   (a) Findings With respect to the programs authorized in subchapters II through VII of this chapter, the Congress finds as follows:
        (1) Racial profile
The racial profile of America is rapidly changing. While the rate of increase for white Americans is 3.2 percent, the rate of increase for racial and ethnic minorities is much higher: 38.6 percent for Latinos, 14.6 percent for African-Americans, and 40.1 percent for Asian-Americans and other ethnic groups. By the year 2000, the Nation will have 260,000,000 people, one of every three of whom will be either African-American, Latino, or Asian-American.
        (2) Rate of disability
Ethnic and racial minorities tend to have disabling conditions at a disproportionately high rate. The rate of work-related disability for American Indians is about one and one-half times that of the general population. African-Americans are also one and one-half times more likely to be disabled than whites and twice as likely to be significantly disabled.
        (3) Inequitable treatment
Patterns of inequitable treatment of minorities have been documented in all major junctures of the vocational rehabilitation process. As compared to white Americans, a larger percentage of African-American applicants to the vocational rehabilitation system is denied acceptance. Of applicants accepted for service, a larger percentage of African-American cases is closed without being rehabilitated. Minorities are provided less training than their white counterparts. Consistently, less money is spent on minorities than on their white counterparts.
        (4) Recruitment
Recruitment efforts within vocational rehabilitation at the level of preservice training, continuing education, and in-service training must focus on bringing larger numbers of minorities into the profession in order to provide appropriate practitioner knowledge, role models, and sufficient manpower to address the clearly changing demography of vocational rehabilitation.
   (b) Outreach to minorities
        (1) In general
For each fiscal year, the Commissioner and the Director of the National Institute on Disability and Rehabilitation Research
        (referred to in this subsection as the "Director") shall reserve 1 percent of the funds appropriated for the fiscal year for programs authorized under subchapters II, III, VI, and VII of this chapter to carry out this subsection. The Commissioner and the Director shall use the reserved funds to carry out one or more of the activities described in paragraph (2) through a grant, contract, or cooperative agreement.
        (2) Activities
The activities carried out by the Commissioner and the Director shall include one or more of the following:
            (A) Making awards to minority entities and Indian tribes to carry out activities under the programs authorized under subchapters II, III, VI, and VII of this chapter.
            (B) Making awards to minority entities and Indian tribes to conduct research, training, technical assistance, or a related activity, to improve services provided under this chapter, especially services provided to individuals from minority backgrounds.
            (C) Making awards to entities described in paragraph (3) to provide outreach and technical assistance to minority entities and Indian tribes to promote their participation in activities funded under this chapter, including assistance to enhance their capacity to carry out such activities.
        (3) Eligibility
To be eligible to receive an award under paragraph (2)(C), an entity shall be a State or a public or private nonprofit agency or organization, such as an institution of higher education or an Indian tribe.
        (4) Report
In each fiscal year, the Commissioner and the Director shall prepare and submit to Congress a report that describes the activities funded under this subsection for the preceding fiscal year.
        (5) Definitions
In this subsection:
          (A) Historically Black college or university
The term "historically Black college or university" means a part B institution, as defined in section 1061(2) of title 20.
          (B) Minority entity
The term "minority entity" means an entity that is a historically Black college or university, a Hispanic-serving institution of higher education, an American Indian tribal college or university, or another institution of higher education whose minority student enrollment is at least 50 percent.
   (c) Demonstration In awarding grants, or entering into contracts or cooperative agreements under subchapters I, II, III, VI, and VII of this chapter, and section 794e of this title, the Commissioner and the Director, in appropriate cases, shall require applicants to demonstrate how the applicants will address, in whole or in part, the needs of individuals with disabilities from minority backgrounds.

SUBCHAPTER I - VOCATIONAL REHABILITATION SERVICES

PART A - GENERAL PROVISIONS
Sec. 720. Declaration of policy; authorization of appropriations

   (a) Findings; purpose; policy
        (1) Findings
Congress finds that -
            (A) work -
              (i) is a valued activity, both for individuals and society; and
              (ii) fulfills the need of an individual to be productive, promotes independence, enhances self-esteem, and allows for participation in the mainstream of life in the United States;

            (B) as a group, individuals with disabilities experience staggering levels of unemployment and poverty;
            (C) individuals with disabilities, including individuals with the most significant disabilities, have demonstrated their ability to achieve gainful employment in integrated settings if appropriate services and supports are provided;
            (D) reasons for significant numbers of individuals with disabilities not working, or working at levels not commensurate with their abilities and capabilities, include -
              (i) discrimination;
              (ii) lack of accessible and available transportation;
              (iii) fear of losing health coverage under the medicare and medicaid programs carried out under titles XVIII and XIX of the Social Security Act (42 U.S.C. 1395 et seq. and 1396 et seq.) or fear of losing private health insurance; and
              (iv) lack of education, training, and supports to meet job qualification standards necessary to secure, retain, regain, or advance in employment;

            (E) enforcement of subchapter V of this chapter and of the Americans with Disabilities Act of 1990 (42 U.S.C. 12101 et seq.) holds the promise of ending discrimination for individuals with disabilities;
            (F) the provision of workforce investment activities and vocational rehabilitation services can enable individuals with disabilities, including individuals with the most significant disabilities, to pursue meaningful careers by securing gainful employment commensurate with their abilities and capabilities; and
            (G) linkages between the vocational rehabilitation programs established under this subchapter and other components of the statewide workforce investment systems are critical to ensure effective and meaningful participation by individuals with disabilities in workforce investment activities.
        (2) Purpose
The purpose of this subchapter is to assist States in operating statewide comprehensive, coordinated, effective, efficient, and accountable programs of vocational rehabilitation, each of which is -
            (A) an integral part of a statewide workforce investment system; and
            (B) designed to assess, plan, develop, and provide vocational rehabilitation services for individuals with disabilities, consistent with their strengths, resources, priorities, concerns, abilities, capabilities, interests, and informed choice, so that such individuals may prepare for and engage in gainful employment.
        (3) Policy
It is the policy of the United States that such a program shall be carried out in a manner consistent with the following principles:
            (A) Individuals with disabilities, including individuals with the most significant disabilities, are generally presumed to be capable of engaging in gainful employment and the provision of individualized vocational rehabilitation services can improve their ability to become gainfully employed.
            (B) Individuals with disabilities must be provided the opportunities to obtain gainful employment in integrated settings.
            (C) Individuals who are applicants for such programs or eligible to participate in such programs must be active and full partners in the vocational rehabilitation process, making meaningful and informed choices -
              (i) during assessments for determining eligibility and vocational rehabilitation needs; and
              (ii) in the selection of employment outcomes for the individuals, services needed to achieve the outcomes, entities providing such services, and the methods used to secure such services.

            (D) Families and other natural supports can play important roles in the success of a vocational rehabilitation program, if the individual with a disability involved requests, desires, or needs such supports.
            (E) Vocational rehabilitation counselors that are trained and prepared in accordance with State policies and procedures as described in section 721(a)(7)(B) of this title (referred to individually in this subchapter as a "qualified vocational rehabilitation counselor"), other qualified rehabilitation personnel, and other qualified personnel facilitate the accomplishment of the employment outcomes and objectives of an individual.
            (F) Individuals with disabilities and the individuals' representatives are full partners in a vocational rehabilitation program and must be involved on a regular basis and in a meaningful manner with respect to policy development and implementation.
            (G) Accountability measures must facilitate the accomplishment of the goals and objectives of the program, including providing vocational rehabilitation services to, among others, individuals with the most significant disabilities.
   (b) Authorization of appropriations
        (1) In general
For the purpose of making grants to States under part B of this subchapter to assist States in meeting the costs of vocational rehabilitation services provided in accordance with State plans under section 721 of this title, there are authorized to be appropriated such sums as may be necessary for fiscal years 1999 through 2003, except that the amount to be appropriated for a fiscal year shall not be less than the amount of the appropriation under this paragraph for the immediately preceding fiscal year, increased by the percentage change in the Consumer Price Index determined under subsection (c) of this section for the immediately preceding fiscal year.
        (2) Reference
The reference in paragraph (1) to grants to States under part B of this subchapter shall not be considered to refer to grants under section 732 of this title.
   (c) Consumer Price Index
        (1) Percentage change
No later than November 15 of each fiscal year (beginning with fiscal year 1979), the Secretary of Labor shall publish in the Federal Register the percentage change in the Consumer Price Index published for October of the preceding fiscal year and October of the fiscal year in which such publication is made.
        (2) Application
          (A) Increase
If in any fiscal year the percentage change published under paragraph (1) indicates an increase in the Consumer Price Index, then the amount to be appropriated under subsection (b)(1) of this section for the subsequent fiscal year shall be at least the amount appropriated under subsection (b)(1) of this section for the fiscal year in which the publication is made under paragraph (1) increased by such percentage change.
          (B) No increase or decrease
If in any fiscal year the percentage change published under paragraph (1) does not indicate an increase in the Consumer Price Index, then the amount to be appropriated under subsection (b)(1) of this section for the subsequent fiscal year shall be at least the amount appropriated under subsection (b)(1) of this section for the fiscal year in which the publication is made under paragraph (1).
        (3) Definition
For purposes of this section, the term "Consumer Price Index" means the Consumer Price Index for All Urban Consumers, published monthly by the Bureau of Labor Statistics.
   (d) Extension
        (1) In general
          (A) Authorization or duration of program
Unless the Congress in the regular session which ends prior to the beginning of the terminal fiscal year -
              (i) of the authorization of appropriations for the program authorized by the State grant program under part B of this subchapter; or
              (ii) of the duration of the program authorized by the State grant program under part B of this subchapter; has passed legislation which would have the effect of extending the authorization or duration (as the case may be) of such program, such authorization or duration is automatically extended for 1 additional year for the program authorized by this subchapter.
          (B) Calculation
The amount authorized to be appropriated for the additional fiscal year described in subparagraph (A) shall be an amount equal to the amount appropriated for such program for fiscal year 2003, increased by the percentage change in the Consumer Price Index determined under subsection (c) of this section for the immediately preceding fiscal year, if the percentage change indicates an increase.
        (2) Construction
          (A) Passage of legislation
For the purposes of paragraph (1)(A), Congress shall not be deemed to have passed legislation unless such legislation becomes law.
          (B) Acts or determinations of Commissioner
In any case where the Commissioner is required under an applicable statute to carry out certain acts or make certain determinations which are necessary for the continuation of the program authorized by this subchapter, if such acts or determinations are required during the terminal year of such program, such acts and determinations shall be required during any fiscal year in which the extension described in that part of paragraph (1) that follows clause (ii) of paragraph (1)(A) is in effect.

Sec. 721. State plans

   (a) Plan requirements
        (1) In general
          (A) Submission
To be eligible to participate in programs under this subchapter, a State shall submit to the Commissioner a State plan for vocational rehabilitation services that meets the requirements of this section, on the same date that the State submits a State plan under section 112 of the Workforce Investment Act of 1998 [29 U.S.C. 2822].
          (B) Nonduplication
The State shall not be required to submit, in the State plan for vocational rehabilitation services, policies, procedures, or descriptions required under this subchapter that have been previously submitted to the Commissioner and that demonstrate that such State meets the requirements of this subchapter, including any policies, procedures, or descriptions submitted under this subchapter as in effect on the day before August 7, 1998.
          (C) Duration
The State plan shall remain in effect subject to the submission of such modifications as the State determines to be necessary or as the Commissioner may require based on a change in State policy, a change in Federal law (including regulations), an interpretation of this chapter by a Federal court or the highest court of the State, or a finding by the Commissioner of State noncompliance with the requirements of this chapter, until the State submits and receives approval of a new State plan.
        (2) Designated State agency; designated State unit
          (A) Designated State agency
The State plan shall designate a State agency as the sole State agency to administer the plan, or to supervise the administration of the plan by a local agency, except that -
              (i) where, under State law, the State agency for individuals who are blind or another agency that provides assistance or services to adults who are blind is authorized to provide vocational rehabilitation services to individuals who are blind, that agency may be designated as the sole State agency to administer the part of the plan under which vocational rehabilitation services are provided for individuals who are blind (or to supervise the administration of such part by a local agency) and a separate State agency may be designated as the sole State agency to administer or supervise the administration of the rest of the State plan;
              (ii) the Commissioner, on the request of a State, may authorize the designated State agency to share funding and administrative responsibility with another agency of the State or with a local agency in order to permit the agencies to carry out a joint program to provide services to individuals with disabilities, and may waive compliance, with respect to vocational rehabilitation services furnished under the joint program, with the requirement of paragraph (4) that the plan be in effec