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1 or in section 101 shall be construed to prevent the local 2 agency from utilizing another local public or private non3 profit agency to provide vocational or comprehensive re4 habilitation services: Provided, That such an arrangement 5 is made part of the agreement specified in this paragraph. 6 (9) The term "nonprofit", when used with respect to a 7 rehabilitation facility, means a rehabilitation facility owned 8 and operated by a corporation or association, no part of the 9 net earnings of which inures, or may lawfully inure, to the 10 benefit of any private shareholder or individual and the in11 come of which is exempt from taxation under section 501 12 (c) (3) of the Internal Revenue Code of 1954. 13 (10) The term "rehabilitation facility" means a facility 14 which is operated for the primary purpose of providing voca15 tional rehabilitation and comprehensive rehabilitation services to, or a workshop which is operated for the primary purpose of providing gainful employment for, handicapped 18 individuals, and which provides singly or in combination one or more of the following services for handicapped indi20 viduals: (A) Vocational and comprehensive rehabilitation

16

17

19

2

services which shall include, under one management, medi

cal, psychological, social, and vocational services, (B) testing, fitting, or training in the use of prosthetic and orthotic devices, (C) prevocational conditioning or recreational therapy, (D) physical and occupational therapy, (E)

13

1 speech and hearing therapy, (F) psychological and social 2 services, (G) evaluation of rehabilitational potential, (H) 3 personal and work adjustment, (I) vocational training with 4 a view toward career advancement (in combination with 5 other rehabilitation services), (J) evaluation or control of 6 specific disabilities, (K) orientation and mobility services 7 to the blind, and (L) extended employment for the severely 8 handicapped who cannot be readily absorbed in the com9 petitive labor market: Provided, That all medical and related 10 health services must be prescribed by, or under the formal 11 supervision of, persons licensed to prescribe or supervise the 12 provision of such services in the State.

13 (11) The term "Secretary", except when the context 14 otherwise requires, means the Secretary of Health, Educa15 tion, and Welfare.

16

(12) The term "severely handicapped individual" means 17 any handicapped individual whose ability to engage in gain18 ful employment, or whose ability to function normally and

19

independently in his family or community, is so limited by 20 the severity of his disability that vocational or compre21 hensive rehabilitation services appreciably more costly and of

appreciably greater duration than those vocational or comprehensive rehabilitation services normally required for the rehabilitation of a handicapped individual are required to im

prove significantly either his ability to engage in gainful

14

1 employment or his ability to function normally and inde2 pendently in his family or community.

3 (13) The term "State" includes the District of Columbia, 4 the Virgin Islands, Puerto Rico, Guam, American Samoa, 5 and the Trust Territory of the Pacific Islands, and for the 6 purposes of American Samoa and the Trust Territory of the 7 Pacific Islands, the appropriate State agency designated as 8 provided in section 101 (a) (1) shall be the Governor of 9 American Samoa or the High Commissioner of the Trust 10 Territory of the Pacific Islands, as the case may be.

11

(14) The term "vocational rehabilitation services" 12 means those services identified in section 103 which are

13 provided to handicapped individuals under this Act.

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15

ALLOTMENT PERCENTAGE

SEC. 7. (a) (1) The "allotment percentage" for any 16 State shall be 100 per centum less that percentage which 17 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 333

per centum, and (B) the allotment percentage for the District of Columbia, Puerto Rico, Guam, the Virgin Islands, American Samoa, and the Trust Territory of the Pacific Islands shall be 75 per centum.

(2) The allotment percentages shall be promulgated by the Secretary between July 1 and September 30 of each

15

1 even-numbered year, on the basis of the average of the per 2 capita incomes of the States and of the United States for the 3 three most recent consecutive years for which satisfactory 4 data are available from the Department of Commerce. Such 5 promulgation shall be conclusive for each of the two fiscal 6 years in the period beginning July 1 next succeeding such 7 promulgation.

8 (3) The term "United States" means (but only for pur9 poses of this subsection) the fifty States and the District of 10 Columbia.

11 (b) The population of the several States and of the 12 United States shall be determined on the basis of the most 13 recent data available, to be furnished by the Department of

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15

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18

Commerce by October, 1 of the year preceding the fiscal

year

for which funds are appropriated pursuant to statutory authorizations.

AUDIT

SEC. 8. Each recipient of a grant under this Act shall

19 keep such records as the Secretary may prescribe, including

records which fully disclose the amount and disposition by

such recipient of the proceeds of such grant, the total cost of

the project or undertaking in connection with which such

grant is made or used, the amount of that portion of the cost

of the project or undertaking supplied by other sources, and

such records as will facilitate an effective audit. The Secre

tary and the Comptroller General of the United States, or

79-885 72 pt. 2 48

16

1 any of their duly authorized representatives, shall have access

2 for the purpose of audit and examination to any books, docu

3 ments, papers, and records of the recipient of any grant under 4 this Act which are pertinent to such grant.

5

6

SPECIAL FUNDING CONSIDERATION

SEC. 9. In making grants and contracts under this Act, 7 the Secretary and the Commissioner of the Rehabilitation 8 Services Administration, as appropriate, shall give special 9 consideration to the need for services in such States as he 10 determines would have received a greater allotment of funds 11 under part B of title I of this Act for fiscal years beginning 12 after June 30, 1973, if the formula in subsection (a) (1) 13 of section 110 had been applied to compute such allotment. 14 The Secretary shall include in the annual report required by 15 section 404 the results of such computation for each State 16 and the special consideration afforded as a result of such 17 computations.

18 TITLE I-VOCATIONAL AND COMPREHENSIVE

22

REHABILITATION SERVICES

PART A-GENERAL PROVISIONS

AUTHORIZATION OF APPROPRIATIONS

SEC. 100. (a) In order to make grants to States under

23 parts B and C of this title (except for purposes of section 24 111) to assist them in meeting costs of vocational and com25 prehensive rehabilitation services, and in carrying out State 26 plans under section 101, there is authorized to be appropri