Amendments to Definitions and Related Provisions Under the Randolph-Sheppard Vending Facility Program
Published Date: 1/10/2025
Proposed Rule
Summary
The Department of Education is updating rules for the Randolph-Sheppard Vending Facility Program to clear up confusing definitions and keep the program up-to-date with new technology and customer needs. This affects federal agencies, states, and vendors who run these vending facilities, helping them work better together. Comments on these changes are open until March 11, 2025, so get your thoughts in before then!
Analyzed Economic Effects
6 provisions identified: 4 benefits, 1 costs, 1 mixed.
What counts as an “article”
The Department proposes to define “articles” as tangible personal property you can touch and move. This means items sold under the Randolph‑Sheppard program must be physical goods (for example, souvenirs, cosmetics, phone chargers), clarifying what can be sold at vending facilities and in vending machines.
Broader, clearer vending facility rules
The rule would amend the definition of “vending facility” to say blind licensees may operate vending facilities under a permit or contract and adds examples (snack bars, cart services, shelters, counters and similar modern models). This clarifies which business models SLAs and blind vendors may use under the program.
Vending machines limited to goods, not services
The Department proposes to amend the definition of “vending machine” so such machines can sell only tangible articles—not services. Blind vendors could still offer services, but those services would have to be provided through vending facilities that are not classified as vending machines.
Upfront costs for States and SLAs
The Department expects some SLAs and State Vocational Rehabilitation (VR) agencies will face additional costs to buy or replace vending equipment, convert facilities to new business models, and buy initial stock and supplies. The NPRM notes States may use VR program funds and, for 21.3% of allowable costs paid with non‑Federal funds, may draw down 78.7% in Federal VR funds to cover the rest.
Expected earnings and selection gains
The Department states the proposed changes could increase blind vendors' earnings and expand product selection for customers to the extent products are not already available through existing vending facilities. The rule is intended to help vendors evolve with technology and customer demand.
Clarifying priority at NPS and NASA sites
The proposal would amend 34 CFR 395.30 to clarify the nature and scope of the Randolph‑Sheppard priority for blind vendors at National Park Service (NPS) and NASA properties. That change is intended to better implement the statutory priority for those Federal properties.
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