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§ 107d-3. —  Vending machine income.



[Laws in effect as of January 24, 2002]
[Document not affected by Public Laws enacted between
  January 24, 2002 and December 19, 2002]
[CITE: 20USC107d-3]

 
                           TITLE 20--EDUCATION
 
      CHAPTER 6A--VENDING FACILITIES FOR BLIND IN FEDERAL BUILDINGS
 
Sec. 107d-3. Vending machine income


(a) Accrual to blind licensee and alternatively to State agency; ceiling 
        on amount for individual licensee

    In accordance with the provisions of subsection (b) of this section, 
vending machine income obtained from the operation of vending machines 
on Federal property shall accrue (1) to the blind licensee operating a 
vending facility on such property, or (2) in the event there is no blind 
licensee operating such facility on such property, to the State agency 
in whose State the Federal property is located, for the uses designated 
in subsection (c) of this section, except that with respect to income 
which accrues under clause (1) of this subsection, the Commissioner may 
prescribe regulations imposing a ceiling on income from such vending 
machines for an individual blind licensee. In the event such a ceiling 
is imposed, no blind licensee shall receive less vending machine income 
under such ceiling than he was receiving on January 1, 1974. No 
limitation shall be imposed on income from vending machines, combined to 
create a vending facility, which are maintained, serviced, or operated 
by a blind licensee. Any amounts received by a blind licensee that are 
in excess of the amount permitted to accrue to him under any ceiling 
imposed by the Commissioner shall be disbursed to the appropriate State 
agency under clause (2) of this subsection and shall be used by such 
agency in accordance with subsection (c) of this section.

(b) Direct competition between vending machine and vending facility; 
        proportion of accrued income from such vending machines for 
        individual licensee

    (1) After January 1, 1975, 100 per centum of all vending machine 
income from vending machines on Federal property which are in direct 
competition with a blind vending facility shall accrue as specified in 
subsection (a) of this section. ``Direct competition'' as used in this 
section means the existence of any vending machines or facilities 
operated on the same premises as a blind vending facility except that 
vending machines or facilities operated in areas serving employees the 
majority of whom normally do not have direct access to the blind vending 
facility shall not be considered in direct competition with the blind 
vending facility. After January 1, 1975, 50 per centum of all vending 
machine income from vending machines on Federal property which are not 
in direct competition with a blind vending facility shall accrue as 
specified in subsection (a) of this section, except that with respect to 
Federal property at which at least 50 per centum of the total hours 
worked on the premises occurs during periods other than normal working 
hours, 30 per centum of such income shall so accrue.
    (2) The head of each department, agency, and instrumentality of the 
United States shall insure compliance with this section with respect to 
buildings, installations, and facilities under his control, and shall be 
responsible for collection of, and accounting for, such vending machine 
income.

(c) Disposal of accrued vending machine income by State licensing agency

    All vending machine income which accrues to a State licensing agency 
pursuant to subsection (a) of this section shall be used to establish 
retirement or pension plans, for health insurance contributions, and for 
provision of paid sick leave and vacation time for blind licensees in 
such State, subject to a vote of blind licensees as provided under 
section 107b(3)(E) of this title. Any vending machine income remaining 
after application of the first sentence of this subsection shall be used 
for the purposes specified in sections 107b(3)(A), (B), (C), and (D) of 
this title, and any assessment charged to blind licensees by a State 
licensing agency shall be reduced pro rata in an amount equal to the 
total of such remaining vending machine income.

(d) Income from vending machines in certain locations excepted

    Subsections (a) and (b)(1) of this section shall not apply to income 
from vending machines within retail sales outlets under the control of 
exchange or ships' stores systems authorized by title 10, or to income 
from vending machines operated by the Veterans Canteen Service, or to 
income from vending machines not in direct competition with a blind 
vending facility at individual locations, installations, or facilities 
on Federal property the total of which at such individual locations, 
installations, or facilities does not exceed $3,000 annually.

(e) Regulations establishing priority for operation of cafeterias

    The Secretary, through the Commissioner, shall prescribe regulations 
to establish a priority for the operation of cafeterias on Federal 
property by blind licensees when he determines, on an individual basis 
and after consultation with the head of the appropriate installation, 
that such operation can be provided at a reasonable cost with food of a 
high quality comparable to that currently provided to employees, whether 
by contract or otherwise.

(f) Existing arrangements more favorable to blind licensees unaffected

    This section shall not operate to preclude preexisting or future 
arrangements, or regulations of departments, agencies, or 
instrumentalities of the United States, under which blind licensees (1) 
receive a greater percentage or amount of vending machine income than 
that specified in subsection (b)(1) of this section, or (2) receive 
vending machine income from individual locations, installations, or 
facilities on Federal property the total of which at such individual 
locations, installations, or facilities does not exceed $3,000 annually.

(g) Regulations for compliance

    The Secretary shall take such action and promulgate such regulations 
as he deems necessary to assure compliance with this section.

(June 20, 1936, ch. 638, Sec. 7, as added Pub. L. 93-516, title II, 
Sec. 206, Dec. 7, 1974, 88 Stat. 1627; Pub. L. 93-651, title II, 
Sec. 206, Nov. 21, 1974, 89 Stat. 2-12.)

                          Codification

    The content of Pub. L. 93-516, including provisions of section 206 
thereof which enacted this section, were originally contained in H.R. 
14225, 93rd Congress, Second Session, which was pocket-vetoed during the 
31-day intrasession adjournment of the 93rd Congress for the 
Congressional elections in November, 1974.
    Pursuant to an order of the United States District Court for the 
District of Columbia (Kennedy v. Jones, D.C.D.C. 1976, 412 F.Supp. 353) 
H.R. 14225 was deemed to have become law without the approval of the 
President on Nov. 21, 1974, and was given the designation Pub. L. 93-
651. Therefore, for purposes of codification, this section should be 
deemed to have been enacted by Pub. L. 93-651, title II, Sec. 206, Nov. 
21, 1974, 89 Stat. 2-12, in exactly the same manner as it was enacted by 
Pub. L. 93-516.


                            Prior Provisions

    A prior section 7 of act June 20, 1936, was classified to section 
107e-1 of this title, prior to repeal by Pub. L. 93-516, Sec. 205.

                  Section Referred to in Other Sections

    This section is referred to in section 107 of this title.



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