CENTERS FOR INDEPENDENT LIVING

COMPLIANCE REVIEW REPORT

The Disability Network 

Grant Award Number: 1801MIILCL

Flint, Michigan 

REVIEW DATE: December 11, 2019

Draft Report: August 14, 2020

CIL Response: October 20, 2020

Final Report: October 28, 2020
Contents

I. PURPOSE OF THE ONSITE MONITORING REVIEW ............................................................................ 1

II. METHODOLOGY........................................................................................................................ 1

III. EXECUTIVE SUMMARY............................................................................................................... 2

IV. OBSERVATIONS AND RECOMMENDATIONS.................................................................................. 3

V. FINDINGS AND CORRECTIVE ACTIONS .......................................................................................... 3

Appendix: Legal Requirements........................................................................................................ 7
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I. PURPOSE OF THE ON-SITE MONITORING REVIEW

Sections 706(c) and 722 of the Rehabilitation Act of 1973, as amended (Rehabilitation Act) mandate that 

the Administration for Community Living (ACL) conduct reviews of centers for independent living (CILs) 

funded under Title VII, Part C, Section 722.The objectives of reviews are to:

 assess compliance with the requirements of Section 725(b) and (c)(3) of the Rehabilitation Act;

 study program operations, organizational structure and administration of the CIL under Section 

725(c)(1), (2), (5) and (6) of the Rehabilitation Act;

 review documentation sufficient to verify the accuracy of the information submitted in the most 

recent CIL ProgramPerformance Report (PPR);

 verify that the CIL is managed in accordance with federal requirements;

 assess CIL conformance with its work plan, developed in accordance with Section 725(c)(4) of 

the Rehabilitation Act, conditions of the CIL’s approved application, and consistency with the 

State Plan for Independent Living (SPIL);

 identify areas of suggested or necessary improvements in the CIL’s programmatic and fiscal 

operation and provide technical assistance resources available on the local, state, regional and 

national level;

 identify areas of exemplary work, projects and coordination efforts and make this information 

available to the larger CIL community; and 

 identify technical assistance to enhance CIL operations or to minimize or to eliminate problem 

areas.

II. METHODOLOGY

The Disability Network (TDN) volunteered to participate in a pilot onsite review to help ACL test the 

Compliance and Outcome Monitoring Protocol (COMP). As an incentive to volunteer, ACL modified 

components of the COMP. Namely, TDN received an initial onsite review report that included all 

observations and findings identified by the review process. TDN was able to respond and resolve findings 

prior to ACL issuing a final public report. Brief statements identify the observations and findings 

addressed or resolved prior to issuing the final report. If applicable, unresolved findings are noted with 

required corrective action steps.

Participation in this review does not preclude additional oversight activities related to these findings. 

Future enforcement actions may include the recovery of funds, drawdown restrictions, funds 

withholding, or grant terminations, pursuant to 45 CFR 1329.7(a).
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ACL conducted an onsite review of The Disability Network (TDN) December 11, 2019. ACL reviewed 

activities from September 30, 2017 through September 29, 2018 (PY 181) with a focus on program and 

fiscal operations related to TDN’s administration of Title VII, Part C funds. ACL conducted interviews with 

the center’s management, staff, consumers, and members of the board of directors. In addition to the 

interviews, ACL reviewed program and financial documents in accordance with the Compliance and 

Outcome Monitoring Protocol (COMP), includingwritten policies and procedures, a sample of consumer 

information files(CIFs), and other documents that verified compliance with standards and indicators. 

ACL randomly selected and reviewed eleven CIFs (6.4% of TDN’s 170 active CIFs). The review team 

conducted an exit conference at the conclusion of the review to provide initial feedback.

Review team participants included:

 Dr. Corinna Stiles, Director of the Office of Independent Living Programs;

 David Wickstrom, Program Officer, Review Lead; 

 Peter Nye, Program Officer;

 Damian Francis, ACL Fiscal Specialist; 

 Dave Bulkowski, nonfederal reviewer 

III. EXECUTIVE SUMMARY

TDN was incorporated in 1992 and receiveda Part C grant under Title VII of the Rehabilitation Act in 

2002. TDN servesGenesee County.. In PY2018, TDN had a net operating budget of $2,097,623,ofwhich 

$123,919 wasTitle VII,Part C funding. At the time of the review, TDNhad fifteenfull-time equivalent 

(FTE) staff; of those staff members, twoare considered decision makers. Twelve of the fifteenFTEs are 

people who identify as having a disability. TDN has ninemembers on the Board of Directors;eight

members identify as having significant disabilities.

In addition to the core services, ACL recognizes TDN for the following community initiatives::

 Community Partnership: In 2019 Lansing based Peckham, Inc., opened a new manufacturing 

plant in Flint, MI with 200 new positions. Named #11 on Fortune Magazine's Great Place to 

Work list, Peckham, Inc. is a nonprofit vocational rehabilitation organization that provides jobtraining opportunities for persons with significant disabilities and other barriers to employment. 

Peckham, inc. was known to employ people with disabilities at sub-minimum wage. TDN 

engaged insignificant systemic advocacy to ensure people with disabilities employed at 

Peckham, Inc. were not paid sub-minimum wage. The successful advocacy resulted in people 

with and without disabilities working together in anintegrated setting, all with the same starting 

pay of $12.22 per hour. Peckham, Inc. provides its employees benefits that include health 

insurance and the availability of a work-incentive counselor. Additionally, because of these 

 

1 which is the same as federal fiscal year 2017, which has the grant number 1701MIILCL.
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efforts, Peckham, Inc. discontinued sub-minimum wage practices at their locations in Michigan,

Arizona, andKentucky.

 Flint Water Crisis: TDN provided extensive systemic advocacy in response to the 2016 water 

crisis.TDN worked to ensure the needsof people with disabilities were addressed during the 

crisis and during the subsequent ongoing response. This included TDN participationon the Red 

Cross Flint Water Recovery Team, DHS Resiliency teams, and participated in the Michigan Civil 

Rights Water Hearings. TDN also convened a “Disability Voice Team” of thirty disability 

organizations to advise about effective engagement and communication for people with 

disabilities. TDN continues to advocate and collaborate with ongoing local, state,and national 

water-response registries.

 Collaborative Community Technology Center:In collaboration with Mott Community College,

TDNoffers an onsite, fully accessible, full-service integrated community technology center 

(CTC). The CTC is available to people with disabilities free of charge. Services include full 

computer access, training on available assistive technologies and technology accommodations,

tutoring, and independent living supports.

IV. OBSERVATIONS AND RECOMMENDATIONS

Observations and recommendations strengthen CIL operations and performance. Because observations 

are not compliance issues, a grantee is not required to accept the recommendations. 

ACL offered observations and recommendations in the following issue areas: 

1. Independent Living Plans; and

2. Board of director term limits. 

TDNprovided thorough responses to both observations.

V. FINDINGS AND CORRECTIVE ACTIONS

During its review activities, ACL identified compliance findings in the following issue areas:

1. Consumer Information Files and Independent Living Plans, and

2. Personnel files. 

TDN provided ACL thorough responses, and ACL has determined the findings resolved. To ensure 

ongoing compliance, ACL will review implementation of the corrective action steps no later than 

December 30, 2020.
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Appendix: Legal Requirements

This Appendix contains the full text of each legal requirement cited in Section VI of this report.

29 U.S.C. § 706(c)

ONSITE COMPLIANCE REVIEWS.—

(1) The Administrator shall annually conduct onsite compliance reviews of at least 15 percent of the 

centers for independent living that receive funds under section 722 and shall periodically 

conduct such a review of each such center . . . .

(2) QUALIFICATIONS OF EMPLOYEESCONDUCTINGREVIEWS.—The Administrator shall—

(A) to the maximum extent practicable, carry out a review described in paragraph (1) by using 

employees of the Department of Health and Human Services who are knowledgeable about 

the provision of independent living services;

(B) ensure that the employee of the Department of Health and Human Services with 

responsibility for supervising such a review shall have such knowledge; and

(C) ensure that at least one member of a team conducting such a review shall be an individual 

who—

(i) is not a government employee; and

(ii) has experience in the operation of centers for independent living.

29 U.S.C. § 722(b)(g)(1)

INGENERAL.—The Administrator shall periodically review each center receiving funds under this section 

to determine whether such center is in compliance with the standards and assurances set forth in 

section 725. If the Administrator determines that any center receiving funds under this section is not in 

compliance with the standards and assurances set forth in section 725, the Administrator shall 

immediately notify such center that it is out of compliance.

29 U.S.C. § 725(b)(2–3)

(2) PROVISIONOF SERVICES.—The center shall provide services to individuals with a range of significant 

disabilities. The center shall provide services on a cross-disability basis (for individuals with all different 

types of significant disabilities, including individuals with significant disabilities who are members of 

populations that are unserved or underserved by programs under this title). Eligibility for services at any 

center for independent living shall be determined by the center, and shall not be based on the presence 

of any one or more specific significant disabilities.

(3) INDEPENDENTLIVING GOALS.—The center shall facilitate the development and achievement of 

independent living goals selected by individuals with significant disabilities who seek such assistance by 

the center.

29 U.S.C. § 725(c)(1–6)

ASSURANCES.—The eligible agency shall provide at such time and in such manner as the Administrator 

may require, such satisfactory assurances as the Administrator may require, including assurances that—

(1) the applicant is an eligible agency

(2) the center will be designed and operated within local communities by individuals with 

disabilities, including an assurance that the center will have a Board that is the principal governing body 

of the center and a majority of which shall be composed of individuals with significant disabilities;
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(3) the applicant will comply with the standards set forth in subsection (b)

(4) the applicant will establish clear priorities through annual and 3-year program and financial 

planning objectives for the center, including overall goals or a mission for the center, a work plan for 

achieving the goals or mission, specific objectives, service priorities, and types of services to be 

provided, and a description that shall demonstrate how the proposed activities of the applicant are 

consistent with the most recent 3-year State plan under section 704;

(5) the applicant will use sound organizational and personnel assignment practices, including taking

affirmative action to employ and advance in employment qualified individuals with significant 

disabilities on the same terms and conditions required with respect to the employment of individuals 

with disabilities under section 503;

(6) the applicant will ensure that the majority of the staff, and individuals in decisionmaking 

positions, of the applicant are individuals with disabilities

29 U.S.C. § 725(c)(8)

(8) the applicant will conduct annual self-evaluations, prepare an annual report, and maintain records 

adequate to measure performance with respect to the standards, containing information regarding, at a 

minimum—

(A) the extent to which the center is in compliance with the standards; 

(B) the number and types of individuals with significant disabilities receiving services through 

the center; 

(C) the types of services provided through the center and the number of individuals with 

significant disabilities receiving each type of service; 

(D) the sources and amounts of funding for the operation of the center; 

(E) the number of individuals with significant disabilities who are employed by, and the number 

who are in management and decisionmaking positions in, the center; and 

(F) a comparison, when appropriate, of the activities of the center in prior years with the 

activities of the center in the most recent year; 

45 CFR § 75.303(a–c)

The non-Federal entity must:

(a) Establish and maintain effective internal control over the Federal award that provides 

reasonable assurance that the non-Federal entity is managing the Federal award in compliance with 

Federal statutes, regulations, and the terms and conditions of the Federal award. These internal controls 

should be in compliance with guidance in “Standards for Internal Control in the Federal Government,” 

issued by the Comptroller General of the United States or the “Internal Control Integrated Framework,” 

issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO).

(b) Comply with Federal statutes, regulations, and the terms and conditions of the Federal awards.

(c) Evaluate and monitor the non-Federal entity’s compliance with statutes, regulations, and the 

terms and conditions of Federal awards.

45 CFR § 75.342

(a) Monitoring by the non-Federal entity. . . . The non-Federal entity must monitor its activities under 

Federal awards to assure compliance with applicable Federal requirements . . . . Monitoring by the 

non-Federal entity must cover each program, function or activity.

(b) Non-construction performance reports.. . .
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(1) The non-Federal entity must submit performance reports at the interval required by the HHS 

awarding agency . . . to best inform improvements in program outcomes and productivity. 

Intervals must be no less frequent than annually . . . .

45 CFR § 75.361

Financial records, supporting documents, statistical records, and all other non-Federal entity records 

pertinent to a Federal award must be retained for a period of three years from the date of submission of 

the final expenditure report. . . .