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OPERATION OF VENDING STANDS

DAO 217-6: OPERATION OF VENDING STANDS
Number: DAO 217-6
Effective Date:  1984-04-19

Office name change update, effective 11-13-2014, per DOO 20-1, Director for Facilities and Environmental Quality.

SECTION 1. PURPOSE.

.01 This Order prescribes Department policy and procedures for assuring that preference is given to blind persons licensed under the provisions of the Randolph-Sheppard Vending Standard Act (49 Stat. 1559, as amended, hereafter referred to as the "Act"), as implemented by Chapter 101, 41 Code of Federal Regulations (CFR), Subpart 101-20.2. The provisions of this order are applicable to all Federal buildings, owned or leased, which are maintained, operated and protected by the Department of Commerce (the "Department"). This Order also designates officials responsible for the implementation of this policy.

.02 This revision reflects the changes in organization structure and office names within the offices under the Assistant Secretary for Administration. The Office of Property and Building Management replaces the Office of Facilities and Environmental Quality as the Office with primary responsibility (under the general direction of the Director, Management Support Operations) for the operation of vending stands within the Department of Commerce (paragraph 4.01).

SECTION 2. POLICY.

.01 It is the policy of the Department to provide the opportunity to blind persons for remunerative employment and economic stability, and to stimulate efforts by them to be selfsupporting.

.02 To extend preference to blind persons licensed under the provisions of the Act, to operate vending stands without charge for space or necessary utilities, on properties either owned and occupied or leased by the Department and for which the Department controls the maintenance, operation and protection.

.03 To approve vending stands on all Department-owned or leased properties having a population sufficient to support such a stand, except when the physical limitations of the building or economic factors make it infeasible

.04 Consider the inclusion of vending facilities during the planning, design, and construction of new buildings, or the alteration of existing buildings.

.05 To cooperate with the Department of Health and Human Services and Stat Licensing Agencies in conducting surveys to determine where and whether vending stands may be properly and profitably operated by licensed blind persons.

.06 The application of a State licensing agency for a permit may be denied or revoked if it is determined that the interests of the United States would be adversely affected or the Department would be unduly inconvenienced by the issuance or continuance of a permit.

SECTION 3. DEFINITIONS.

For purposes of this Order the following terms shall have the meanings set forth.

a. Owned Building means a building which the Department occupies, controls the maintenance, operations and protection of and over which the Department has complete jurisdiction.

b. Leased Property means property leased for occupation by a Department organization, which is responsible for its maintenance, operations and protection.

c. Building Manager means the designated representative of the operating unit head or other responsible operating official, who manages or otherwise oversees the building maintenance, operations and protection.

d. State Licensing Agency shall also mean the properly designated agency for the District of Columbia.

SECTION 4. RESPONSIBILITIES.

.01 The Director, Office of Property and Building Management (OPBM), under the general direction of the Director for Management Support Operations (HSO), is responsible for the development of Department policy and procedures implementing the Act and regulations issued by the General Services Administration in 41 CFR. The Director, OPBM shall represent the Director, MSO in matters involving the operation of vending stands by blind persons, and shall:

a. Assure Departmentwide implementation of established policy and procedures by the appropriate operating units;

b. Coordinate these matters with appropriate operating unit heads; the Department of Health and Human Services; Commissioner, Public Buildings Service, General Services Administration; and State Licensing Agencies;

c. Arrange for and/or assist the Department of Health and Human Services and State Licensing Agencies in making surveys incidental to the establishment and operation of vending stands by blind persons in Department-owned and leased buildings; and advise on matters involving buildings occupied by the Department which are under the jurisdiction of the General Services Administration or other Federal agencies; and

d. Represent the Assistant Secretary for Administration and Director, Management Support Operations in actions involving appeals submitted in accordance with paragraph 6.01 of this Order. The Director, OPBM shall provide for the investigation of each appeal and develop findings and recommendations to the Assistant Secretary for the resolution of appeals within the timeframe established.

.02 The heads of operating units whose responsibilities for the administration of buildings includes maintenance, operation, and protection, shall:

a. Be responsible for implementation of these policies and procedures in buildings under their jurisdiction.

b. Cooperate with State Licensing Agencies and Department of Health and Human Services regional offices to survey facilities and approve the establishment of vending stands where feasible.

c. To receive, review, and, where appropriate, approve written applications for the establishment of vending stands in buildings under their jurisdiction.

d. Where it is determined that vending stands to be operated by the blind may be installed, notify the State Licensing Agency, negotiate the terms of the permit agreement, and issue the permit. Terms of the permits shall be negotiated and agreed upon in accordance with the procedures and requirements set forth under Section 5 of this Order.

e. Report unresolved differences and significant violations of the terms of permits to the appropriate State Licensing Agency. When no corrective action is forthcoming, the matter will be referred to the appropriate Department of Health and Human Services regional office. A copy of each report will be provided to the Director, OPBM. If resolution of the matter is not made at the State licensing or regional level, the State Licensing Agency shall be allowed the right to appeal such disagreements to the Assistant Secretary for Administration.

f. At the end of each fiscal year, report to the Director, OPBM the total number of applications for vending stand locations received by the operating unit from State Licensing Agencies, the number accepted, the number denied, and the number still pending.

SECTION 5. PERMITS.

.01 Where it is determined that vending facilities to be operated by the ,blind may be installed, the State Licensing Agency shall be notified and the permit issued.

.02 If stands and/or vending machines are to be installed on leased property, approval of the lessor shall be obtained prior to the issuance of a permit.

.03 Applications for permits shall be made in writing on the appropriate form, submitted to the building manager, and approved by the head of the operating unit, or a designated representative at the regional level.

.04 Term of permit shall be negotiated in accordance with the requirements and guidance provided under 101-20.205, Federal Property Management Regulations (41 CFR) as modified below.

a. 101-20.205(d) -Substitute the words "Department of Commerce" for "the General Services Administration."

b. 101-20.205(e) -Substitute the words "operating unit head or Director, Regional Administrative Support Center" for "the Director, Buildings Management Division."

c. 101-20.205(f) -Substitute the words "operating unit head or Director, Regional Administrative Support Center" for "the Director, Buildings Management Division."

d. 101-20.205(g) -Delete the last sentence and substitute the sentence "Costs of relocations initiated by the operating unit head or Director, Regional Administrative Support Center, shall be borne by the Department of Commerce operating unit."

SECTION 6. APPEALS.

.01 In any instance where the Departmental official, as provided in Section 4, and the State Licensing Agency fail to reach agreement concerning the granting, revocation, or modification of a permit, the location, method of operation, assignment of proceeds, or other terms of a permit (including articles which may be sold), the State Licensing Agency shall be notified in writing by the Departmental official concerned that it has the right to appeal such disagreements, within 30 days of the notice, to the Assistant Secretary for Administration for investigation and final decision.

.02 Upon receipt of a timely appeal, the Assistant Secretary for Administration will cause a full investigation to be made. The State Licensing Agency shall be given an opportunity to present information pertinent to the facts and circumstances of the case. The complete investigation report including the recommendations of the investigating officer shall be submitted to the Assistant Secretary for Administration within 60 days from the date of appeal.

.03 The Assistant Secretary for Administration will render a final decision on the appeal within 90 days of the date of appeal.

.04 The State Licensing Agency will be informed of the final decision on its appeal. Copies of the decision will be forwarded to the Departmental official concerned and the Department of Health and Human Services.

SECTION 7. PROTECTION FROM COMPETITION.

.01 The income from any vending machines which are located within reasonable proximity to and are in direct competition with a vending stand for which a permit has been issued under this Order shall be assigned to the operator of such stand.

.02 If a vending machine vends articles of a type authorized by the permit and is so located that it attracts customers who would otherwise patronize the vending stand, such machine shall be deemed to be within reasonable proximity to and in direct competition with the stand.

SECTION 8. REPORTS.

No later than fifteen days following the end of each fiscal year the responsible officials set forth in paragraph 4.02 shall forward to the Director, OPBM a report on activities under this Order. The report shall include:

a. The number of applications, including requests for installations initiated by the Department, for vending stands received from State Licensing Agencies;

b. The number of such requests accepted or approved;

c. The number of denials, on which no appeal was made and the number of denials on which an appeal was made; and

d. The number and status of any requests still pending.

e. If there are no reportable actions for the period, negative reports shall be submitted. Negative reports may be submitted telephonically.

SECTION 9. EFFECT ON OTHER ORDERS.

This Order supersedes Department Administrative order 217-6 of January 26, 1982.

Signed by: Assistant Secretary for Administration

Office of Primary Interest: Office of Facilities and Environmental Quality

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Page last updated:February 25, 2014