Chapter

Chapter 353

2004 -- S 2222 SUBSTITUTE A

Enacted 07/02/04

A N A C T

RELATING TO DISABILITY BUSINESS ENTERPRISES

Introduced By: Senators Lanzi, Ciccone, Badeau, Polisena, and DaPonte

Date Introduced: February 03, 2004

It is enacted by the General Assembly as follows:

SECTION 1. Sections 37-2.2-1, 37-2.2-2, 37-2.2-3, 37-2.2-3.1 and 37-2.2-4 of the

General Laws in Chapter 37-2.2 entitled "Disability Business Enterprises" are hereby amended to

read as follows:

37-2.2-1. Short title and purpose. -- This chapter shall be known as the "Disability

Business Enterprises Act." The purpose of this chapter is to carry out the state's policy of

supporting the fullest possible participation of small disadvantaged businesses owned and

controlled by persons with disabilities or where ~~seventy-five percent (75%)~~ sixty percent (60%)

of the work hours or direct labor is performed by employees who are persons with disabilities, or

non-profit rehabilitation facilities in state funded and state directed public construction, public

projects, and in state purchases of goods and services. This includes assisting disadvantaged

disability businesses and non-profit rehabilitation facilities throughout the life of contracts in

which they participate.

37-2.2-2. Definitions. -- As used in this chapter, the following words and phrases shall

have the following meanings unless the context shall indicate another or different meaning or

intent:

(1) "Persons with disabilities" or "person with a disability" shall mean any individual

who has a physical or mental impairment which constitutes a substantial barrier to employment as

certified by the department of human services or the department of mental health, retardation, and

hospitals.

(2) "Products" shall mean any goods or merchandise provided by persons with

disabilities if not less than ~~seventy-five percent (75%)~~ sixty percent (60%) of the work hours or

direct labor required for the products are performed by persons with disabilities.

(3) "Rehabilitation facility" or "rehabilitation facilities" shall mean a facility which is

operated for the primary purpose of providing vocational rehabilitation services to and gainful

employment for persons with disabilities. The rehabilitation services, listed below, may be

provided directly or by the facility's parent corporation. The facility must provide singly or in

combination one or more of the following services for persons with disabilities:

(i) Comprehensive rehabilitation services which shall include under one management:

medical, psychological, social, and vocational services;

(ii) Testing, fitting, or training in the use of prosthetic and orthotic services;

(iii) Pre-vocational evaluation or recreational therapy;

(iv) Physical and occupational therapy;

(v) Speech and hearing services;

(vi) Psychological and social services;

(vii) Evaluation;

(viii) Personal and work adjustment;

(ix) Vocational training in combination with other rehabilitation services;

(x) Evaluation or control of special disabilities; and

(xi) Transitional or long-term employment for persons who have severe disabilities and

cannot be readily absorbed into the competitive labor market.

(4) "Services" shall mean any services provided by persons with disabilities if not less

than ~~seventy-five percent (75%)~~ sixty percent (60%) of the work hours or direct labor required for

the services are performed by persons with disabilities.

(5) "Small disadvantaged businesses owned and controlled by persons with disabilities "

shall mean small business concern, which is at least fifty-one percent (51%) owned by one or

more person(s) with disabilities or, in the case of a publicly owned business, at least fifty-one

percent (51%) of the stock of which is owned by one or more disabled person, whose

management and daily business operations are controlled by one or more person(s) with

disabilities, and have fifty or fewer employees.

(6) "A physical or mental impairment" shall mean any physiological disorder or

condition, cosmetic disfigurement, or anatomical loss affecting one or more of the following body

systems: neurological; musculoskeletal; special sense organs; respiratory, including speech

organs; cardiovascular; reproductive; digestive; genito-urinary; hemic and lymphatic; skin; and

endocrine; or any mental psychological disorder, such as mental retardation, organic brain

syndrome, emotional or mental illness, and specific learning disabilities.

(7) "Vocational rehabilitation services" shall mean any goods and services including

diagnostic and related services necessary to render a person with a disability fit to engage in a

gainful occupation and services to the families of persons with disabilities when those services

will contribute substantially to the rehabilitation of those individuals.

37-2.2-3. Preference for products and services produced by persons with disabilities.

-- (a) Whenever any products made, manufactured by, or services provided by ~~persons with~~

~~disabilities in~~ nonprofit rehabilitation facilities, or in profit making facilities where ~~seventy-five~~

~~percent (75%)~~ sixty percent (60%) of the work hours or direct labor is performed by employees

who are disabled, meet the requirements of any department, institution, or agency supported, in

whole or in part, by the state as to quantity, quality, and price, those products shall have

preference over products or services from other providers.

(b) All departments, institutions, and agencies supported, in whole or in part, by the state

shall purchase articles made or manufactured and services provided by persons with disabilities.

Any political subdivision of the state may purchase those articles and services directly from those

agencies. A list describing the styles, designs, sizes, and varieties of articles made by persons

with disabilities and describing all available services and subcontract work which can be provided

by those persons shall be prepared by the governor's commission on disabilities, disability

business enterprise committee in cooperation with the state office of rehabilitation services. The

governor's commission on disabilities shall cooperate with various facilities for persons with

disabilities by submitting necessary information concerning the products and services to the state

purchasing agent.

37-2.2-3.1. Policy and applicability. -- It is the policy of the state of Rhode Island that

small disadvantaged disability businesses shall have the maximum opportunity to participate in

the performance of procurements and projects as outlined in this chapter. This chapter shall apply

to any and all state purchasing, including, but not limited to, the procurement of goods and

services, construction projects, or contracts funded in whole or in part by state funds, or funds

which, in accordance with a federal grant or otherwise, the state expends or administers or in

which the state is a signatory to the construction contract.

The director of administration, in consultation with the governor’s commission on

disabilities, is authorized and directed to establish rules and regulations for awarding contracts to

small disadvantaged businesses owned and controlled by persons with disabilities in the

procurement of goods, services, construction projects, or contracts funded in whole or in part by

state funds, in accordance with section 37-2-9(b)(14).

37-2.2-4. Disability business enterprise committee -- Membership -- Duties. -- (a)

There is hereby established within the governor's commission on disabilities a committee,

consisting of nine (9) persons, to be known as the disability business enterprise committee.

(b) The committee, shall consist of the director of the department of human services or

his or her designee; the director of the department of mental health, retardation, and hospitals or

his or her designee; the director of the economic development corporation or his or her designee;

the state purchasing agent or his or her designee; and two (2) persons with disabilities and three

(3) representatives of rehabilitation facilities in the state of Rhode Island appointed by the

chairperson of the governor's commission on disabilities. All members of the committee shall

serve without compensation. Of the number appointed originally under this chapter, one-third

(1/3) shall be appointed for a term of one year; one-third (1/3) shall be appointed for a term of

two (2) years; and one-third (1/3) shall be appointed for a term of three (3) years. Thereafter,

vacancies created by expiration of terms shall be filled with appointments for terms of three (3)

years. Members whose terms expire may be reappointed to succeed themselves. The chairperson

of the governor's commission on disabilities or his or her designee shall serve as chairperson of

the committee. The members of the committee shall elect a vice chairperson and other officers as

are necessary from amongst themselves annually.

regulations, in accordance with the Administrative Procedures Act, chapter 35 of title 42, as are

necessary and proper to ensure responsible management, operation, oversight of the committee,

and ensure that all facilities, both nonprofit and profit-making, referred to in sections 37-2.2-3

and 37-2.2-3.1 meet all applicable government regulations and standards, including those of the

United States department of labor, the state department of human services, and the chief

purchasing officer with regard to developing a program which involves small disadvantaged

businesses as contractors, section ~~37-2-9(2)(n)~~ 37-2-9(b)(14).

(d) The committee shall establish a procedure to certify small disadvantaged disability

businesses and rehabilitation facilities that qualify under their regulation for a preference under

section 37-2.2-3 or 37-2.2-3.1 and submit a list of the certified small disadvantaged disability

businesses and rehabilitation facilities and the products and services provided by them to the chief

purchasing officer at least once a year. The chief purchasing officer shall utilize that list in the

program which involves small disadvantaged businesses as contractors established by section ~~37-~~

~~2-9(2)(n)~~ 37-2-9(b)(14).

SECTION 2. Chapter 37-2.2 of the General Laws entitled "Disability Business

Enterprises" is hereby amended by adding thereto the following section:

37-2.2-5. Nonapplicability to road and highway construction businesses. –

Notwithstanding anything to the contrary, the provisions of this chapter shall not apply to any

business whose primary business is road or highway construction.

SECTION 3. This act shall take effect upon passage.

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LC01346/SUB A

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