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‘‘(C) meetings with the State Rehabilitation
Council, if the State has such a Council or with
the 
commission 
described 
in 
section
101(a)(21)(A)(i), if the State has such a commis-
sion;
‘‘(D) reviews of individual case files, includ-
ing individualized rehabilitation employment
plans and ineligibility determinations; and
‘‘(E) meetings with rehabilitation counselors
and other personnel.
‘‘(4) AREAS OF INQUIRY.—In conducting the re-
view and monitoring, the Commissioner shall exam-
ine—
‘‘(A) the eligibility process;
‘‘(B) the provision of services, including, if
applicable, the order of selection;
‘‘(C) whether the personnel evaluation sys-
tem described in section 101(a)(7)(A)(iv) facili-
tates the accomplishments of the program;
‘‘(D) such other areas as may be identified
by the public or through meetings with the State
Rehabilitation Council, if the State has such a
Council or with the commission described in sec-
tion 101(a)(21)(A)(i), if the State has such a
commission; and
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‘‘(E) such other areas of inquiry as the
Commissioner may consider appropriate.
‘‘(5) REPORTS.—If the Commissioner issues a re-
port detailing the findings of an annual review or on-
site monitoring conducted under this section, the re-
port shall be made available to the State Rehabilita-
tion Council, if the State has such a Council.
‘‘(b) TECHNICAL
ASSISTANCE.—The Commissioner
shall—
‘‘(1) provide technical assistance to programs
under this title regarding improving the quality of
vocational rehabilitation services provided; and
‘‘(2) provide technical assistance and establish a
corrective action plan for a program under this title
if the Commissioner finds that the program fails to
comply substantially with the provisions of the State
plan, or with evaluation standards or performance
indicators established under section 106, in order to
ensure that such failure is corrected as soon as prac-
ticable.
‘‘(c) FAILURE TO COMPLY WITH PLAN.—
‘‘(1) WITHHOLDING
PAYMENTS.—Whenever the
Commissioner, after providing reasonable notice and
an opportunity for a hearing to the State agency ad-
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ministering or supervising the administration of the
State plan approved under section 101, finds that—
‘‘(A) the plan has been so changed that it
no longer complies with the requirements of sec-
tion 101(a); or
‘‘(B) in the administration of the plan there
is a failure to comply substantially with any
provision of such plan or with an evaluation
standard or performance indicator established
under section 106,
the Commissioner shall notify such State agency that
no further payments will be made to the State under
this title (or, in the discretion of the Commissioner,
that such further payments will be reduced, in accord-
ance with regulations the Commissioner shall pre-
scribe, or that further payments will not be made to
the State only for the projects under the parts of the
State plan affected by such failure), until the Com-
missioner is satisfied there is no longer any such fail-
ure.
‘‘(2) PERIOD.—Until the Commissioner is so sat-
isfied, the Commissioner shall make no further pay-
ments to such State under this title (or shall reduce
payments or limit payments to projects under those
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parts of the State plan in which there is no such fail-
ure).
‘‘(3) DISBURSAL
OF
WITHHELD
FUNDS.—The
Commissioner may, in accordance with regulations
the Secretary shall prescribe, disburse any funds
withheld from a State under paragraph (1) to any
public or nonprofit private organization or agency
within such State or to any political subdivision of
such State submitting a plan meeting the require-
ments of section 101(a). The Commissioner may not
make any payment under this paragraph unless the
entity to which such payment is made has provided
assurances to the Commissioner that such entity will
contribute, for purposes of carrying out such plan, the
same amount as the State would have been obligated
to contribute if the State received such payment.
‘‘(d) REVIEW.—
‘‘(1) PETITION.—Any State that is dissatisfied
with a final determination of the Commissioner
under section 101(b) or subsection (c) may file a peti-
tion for judicial review of such determination in the
United States Court of Appeals for the circuit in
which the State is located. Such a petition may be
filed only within the 30-day period beginning on the
date that notice of such final determination was re-
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ceived by the State. The clerk of the court shall trans-
mit a copy of the petition to the Commissioner or to
any officer designated by the Commissioner for that
purpose. In accordance with section 2112 of title 28,
United States Code, the Commissioner shall file with
the court a record of the proceeding on which the
Commissioner based the determination being appealed
by the State. Until a record is so filed, the Commis-
sioner may modify or set aside any determination
made under such proceedings.
‘‘(2) SUBMISSIONS
AND
DETERMINATIONS.—If,
in an action under this subsection to review a final
determination of the Commissioner under section
101(b) or subsection (c), the petitioner or the Commis-
sioner applies to the court for leave to have additional
oral submissions or written presentations made re-
specting such determination, the court may, for good
cause shown, order the Commissioner to provide with-
in 30 days an additional opportunity to make such
submissions and presentations. Within such period,
the Commissioner may revise any findings of fact,
modify or set aside the determination being reviewed,
or make a new determination by reason of the addi-
tional submissions and presentations, and shall file
such modified or new determination, and any revised
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‘‘(B) For fiscal year 1994 and each fiscal year there-
after, the amount otherwise payable to a State for a fiscal
year under this section shall be reduced by the amount by
which expenditures from non-Federal sources under the
State plan under this title for the previous fiscal year are
less than the total of such expenditures for the second fiscal
year preceding the previous fiscal year.
‘‘(C) The Commissioner may waive or modify any re-
quirement or limitation under paragraphs (A) and (B) if
the Commissioner determines that a waiver or modification
is an equitable response to exceptional or uncontrollable cir-
cumstances affecting the State.
‘‘(b) The method of computing and paying amounts
pursuant to subsection (a) shall be as follows:
‘‘(1) The Commissioner shall, prior to the begin-
ning of each calendar quarter or other period pre-
scribed by the Commissioner, estimate the amount to
be paid to each State under the provisions of such
subsection for such period, such estimate to be based
on such records of the State and information fur-
nished by it, and such other investigation as the Com-
missioner may find necessary.
‘‘(2) The Commissioner shall pay, from the allot-
ment available therefor, the amount so estimated by
the Commissioner for such period, reduced or in-
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creased, as the case may be, by any sum (not pre-
viously adjusted under this paragraph) by which the
Commissioner finds that the estimate of the amount
to be paid the State for any prior period under such
subsection was greater or less than the amount which
should have been paid to the State for such prior pe-
riod under such subsection. Such payment shall be
made prior to audit or settlement by the General Ac-
counting Office, shall be made through the disbursing
facilities of the Treasury Department, and shall be
made in such installments as the Commissioner may
determine.
‘‘CLIENT ASSISTANCE PROGRAM
‘‘SEC. 112. (a) From funds appropriated under sub-
section (h), the Secretary shall, in accordance with this sec-
tion, make grants to States to establish and carry out client
assistance programs to provide assistance in informing and
advising all clients and client applicants of all available
benefits under this Act, and, upon request of such clients
or client applicants, to assist and advocate for such clients
or applicants in their relationships with projects, programs,
and services provided under this Act, including assistance
and advocacy in pursuing legal, administrative, or other
appropriate remedies to ensure the protection of the rights
of such individuals under this Act and to facilitate access
to the services funded under this Act through individual
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and systemic advocacy. The client assistance program shall
provide information on the available services and benefits
under this Act and title I of the Americans with Disabilities
Act of 1990 (42 U.S.C. 12111 et seq.) to individuals with
disabilities in the State, especially with regard to individ-
uals with disabilities who have traditionally been unserved
or underserved by vocational rehabilitation programs. In
providing assistance and advocacy under this subsection
with respect to services under this title, a client assistance
program may provide the assistance and advocacy with re-
spect to services that are directly related to facilitating the
employment of the individual.
‘‘(b) No State may receive payments from its allotment
under this Act in any fiscal year unless the State has in
effect not later than October 1, 1984, a client assistance pro-
gram which—
‘‘(1) has the authority to pursue legal, adminis-
trative, and other appropriate remedies to ensure the
protection of rights of individuals with disabilities
who are receiving treatments, services, or rehabilita-
tion under this Act within the State; and
‘‘(2) meets the requirements of designation under
subsection (c).
‘‘(c)(1)(A) The Governor shall designate a public or
private agency to conduct the client assistance program
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under this section. Except as provided in the last sentence
of this subparagraph, the Governor shall designate an agen-
cy which is independent of any agency which provides
treatment, services, or rehabilitation to individuals under
this Act. If there is an agency in the State which has, or
had, prior to the date of enactment of the Rehabilitation
Amendments of 1984, served as a client assistance agency
under this section and which received Federal financial as-
sistance under this Act, the Governor may, in the initial
designation, designate an agency which provides treatment,
services, or rehabilitation to individuals with disabilities
under this Act.
‘‘(B)(i) The Governor may not redesignate the agency
designated under subparagraph (A) without good cause and
unless—
‘‘(I) the Governor has given the agency 30 days
notice of the intention to make such redesignation, in-
cluding specification of the good cause for such redes-
ignation and an opportunity to respond to the asser-
tion that good cause has been shown;
‘‘(II) individuals with disabilities or the individ-
uals’ representatives have timely notice of the redesig-
nation and opportunity for public comment; and
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‘‘(III) the agency has the opportunity to appeal
to the Commissioner on the basis that the redesigna-
tion was not for good cause.
‘‘(ii) If, after the date of enactment of the Rehabilita-
tion Act Amendments of 1998—
‘‘(I) a designated State agency undergoes any
change in the organizational structure of the agency
that results in the creation of 1 or more new State
agencies or departments or results in the merger of
the designated State agency with 1 or more other
State agencies or departments; and
‘‘(II) an agency (including an office or other
unit) within the designated State agency was con-
ducting a client assistance program before the change
under the last sentence of subparagraph (A),
the Governor shall redesignate the agency conducting the
program. In conducting the redesignation, the Governor
shall designate to conduct the program an agency that is
independent of any agency that provides treatment, serv-
ices, or rehabilitation to individuals with disabilities under
this Act.
‘‘(2) In carrying out the provisions of this section, the
Governor shall consult with the director of the State voca-
tional rehabilitation agency, the head of the developmental
disability protection and advocacy agency, and with rep-
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resentatives of professional and consumer organizations
serving individuals with disabilities in the State.
‘‘(3) The agency designated under this subsection shall
be accountable for the proper use of funds made available
to the agency.
‘‘(d) The agency designated under subsection (c) of this
section may not bring any class action in carrying out its
responsibilities under this section.
‘‘(e)(1)(A) The Secretary shall allot the sums appro-
priated for each fiscal year under this section among the
States on the basis of relative population of each State, ex-
cept that no State shall receive less than $50,000.
‘‘(B) The Secretary shall allot $30,000 each to Amer-
ican Samoa, Guam, the Virgin Islands, and the Common-
wealth of the Northern Mariana Islands.
‘‘(C) For the purpose of this paragraph, the term
‘State’ does not include American Samoa, Guam, the Virgin
Islands, and the Commonwealth of the Northern Mariana
Islands.
‘‘(D)(i) In any fiscal year that the funds appropriated
for such fiscal year exceed $7,500,000, the minimum allot-
ment shall be $100,000 for States and $45,000 for terri-
tories.
‘‘(ii) For any fiscal year in which the total amount
appropriated under subsection (h) exceeds the total amount
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appropriated under such subsection for the preceding fiscal
year, the Secretary shall increase each of the minimum al-
lotments under clause (i) by a percentage that shall not ex-
ceed the percentage increase in the total amount appro-
priated under such subsection between the preceding fiscal
year and the fiscal year involved.
‘‘(2) The amount of an allotment to a State for a fiscal
year which the Secretary determines will not be required
by the State during the period for which it is available for
the purpose for which allotted shall be available for reallot-
ment by the Secretary at appropriate times to other States
with respect to which such a determination has not been
made, in proportion to the original allotments of such
States for such fiscal year, but with such proportionate
amount for any of such other States being reduced to the
extent it exceeds the sum the Secretary estimates such State
needs and will be able to use during such period, and the
total of such reduction shall be similarly reallotted among
the States whose proportionate amounts were not so re-
duced. Any such amount so reallotted to a State for a fiscal
year shall be deemed to be a part of its allotment for such
fiscal year.
‘‘(3) Except as specifically prohibited by or as other-
wise provided in State law, the Secretary shall pay to the
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agency designated under subsection (c) the amount specified
in the application approved under subsection (f).
‘‘(f) No grant may be made under this section unless
the State submits an application to the Secretary at such
time, in such manner, and containing or accompanied by
such information as the Secretary deems necessary to meet
the requirements of this section.
‘‘(g) The Secretary shall prescribe regulations applica-
ble to the client assistance program which shall include the
following requirements:
‘‘(1) No employees of such programs shall, while
so employed, serve as staff or consultants of any reha-
bilitation project, program, or facility receiving as-
sistance under this Act in the State.
‘‘(2) Each program shall be afforded reasonable
access to policymaking and administrative personnel
in the State and local rehabilitation programs,
projects, or facilities.
‘‘(3)(A) Each program shall contain provisions
designed to assure that to the maximum extent pos-
sible alternative means of dispute resolution are
available for use at the discretion of an applicant or
client of the program prior to resorting to litigation
or formal adjudication to resolve a dispute arising
under this section.
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‘‘(B) In subparagraph (A), the term ‘alternative
means of dispute resolution’ means any procedure, in-
cluding good faith negotiation, conciliation, facilita-
tion, mediation, factfinding, and arbitration, and
any combination of procedures, that is used in lieu of
litigation in a court or formal adjudication in an ad-
ministrative forum, to resolve a dispute arising under
this section.
‘‘(4) For purposes of any periodic audit, report,
or evaluation of the performance of a client assistance
program under this section, the Secretary shall not
require such a program to disclose the identity of, or
any other personally identifiable information related
to, any individual requesting assistance under such
program.
‘‘(h) There are authorized to be appropriated such
sums as may be necessary for fiscal years 1998 through
2004 to carry out the provisions of this section.
‘‘PART C—AMERICAN INDIAN VOCATIONAL
REHABILITATION SERVICES
‘‘VOCATIONAL REHABILITATION SERVICES GRANTS
‘‘SEC. 121. (a) The Commissioner, in accordance with
the provisions of this part, may make grants to the govern-
ing bodies of Indian tribes located on Federal and State
reservations (and consortia of such governing bodies) to pay
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90 percent of the costs of vocational rehabilitation services
for American Indians who are individuals with disabilities
residing on such reservations. The non-Federal share of such
costs may be in cash or in kind, fairly valued, and the Com-
missioner may waive such non-Federal share requirement
in order to carry out the purposes of this Act.
‘‘(b)(1) No grant may be made under this part for any
fiscal year unless an application therefor has been submit-
ted to and approved by the Commissioner. The Commis-
sioner may not approve an application unless the applica-
tion—
‘‘(A) is made at such time, in such manner, and
contains such information as the Commissioner may
require;
‘‘(B) contains assurances that the rehabilitation
services provided under this part to American Indi-
ans who are individuals with disabilities residing on
a reservation in a State shall be, to the maximum ex-
tent feasible, comparable to rehabilitation services
provided under this title to other individuals with
disabilities residing in the State and that, where ap-
propriate, may include services traditionally used by
Indian tribes; and
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‘‘(C) contains assurances that the application
was developed in consultation with the designated
State unit of the State.
‘‘(2) The provisions of sections 5, 6, 7, and 102(a) of
the Indian Self-Determination and Education Assistance
Act shall be applicable to any application submitted under
this part. For purposes of this paragraph, any reference in
any such provision to the Secretary of Education or to the
Secretary of the Interior shall be considered to be a reference
to the Commissioner.
‘‘(3) Any application approved under this part shall
be effective for not more than 60 months, except as deter-
mined otherwise by the Commissioner pursuant to pre-
scribed regulations. The State shall continue to provide vo-
cational rehabilitation services under its State plan to
American Indians residing on a reservation whenever such
State includes any such American Indians in its State pop-
ulation under section 110(a)(1).
‘‘(4) In making grants under this part, the Secretary
shall give priority consideration to applications for the con-
tinuation of programs which have been funded under this
part.
‘‘(5) Nothing in this section may be construed to au-
thorize a separate service delivery system for Indian resi-
dents of a State who reside in non-reservation areas.
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‘‘(c) The term ‘reservation’ includes Indian reserva-
tions, public domain Indian allotments, former Indian res-
ervations in Oklahoma, and land held by incorporated Na-
tive groups, regional corporations, and village corporations
under the provisions of the Alaska Native Claims Settlement
Act.
‘‘PART D—VOCATIONAL REHABILITATION SERVICES
CLIENT INFORMATION
‘‘SEC. 131. DATA SHARING.
‘‘(a) IN GENERAL.—
‘‘(1) MEMORANDUM
OF
UNDERSTANDING.—The
Secretary of Education and the Secretary of Health
and Human Services shall enter into a memorandum
of understanding for the purposes of exchanging data
of mutual importance—
‘‘(A) that concern clients of designated State
agencies; and
‘‘(B) that are data maintained either by—
‘‘(i) the Rehabilitation Services Ad-
ministration, as required by section 13; or
‘‘(ii) the Social Security Administra-
tion, from its Summary Earnings and
Records and Master Beneficiary Records.
‘‘(2) LABOR
MARKET
INFORMATION.—The Sec-
retary of Labor shall provide the Commissioner with
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labor market information that facilitates evaluation
by the Commissioner of the program carried out
under part B, and allows the Commissioner to com-
pare the progress of individuals with disabilities who
are assisted under the program in securing, retaining,
regaining, and advancing in employment with the
progress made by individuals who are assisted under
title III of the Workforce Investment Partnership Act
of 1998.
‘‘(b) TREATMENT OF INFORMATION.—For purposes of
the exchange described in subsection (a)(1), the data de-
scribed in subsection (a)(1)(B)(ii) shall not be considered
return information (as defined in section 6103(b)(2) of the
Internal Revenue Code of 1986) and, as appropriate, the
confidentiality of all client information shall be maintained
by the Rehabilitation Services Administration and the So-
cial Security Administration.’’.
SEC. 605. RESEARCH AND TRAINING.
Title II of the Rehabilitation Act of 1973 (29 U.S.C.
760 et seq.) is amended to read as follows:
‘‘TITLE II—RESEARCH AND TRAINING
‘‘DECLARATION OF PURPOSE
‘‘SEC. 200. The purpose of this title is to—
‘‘(1) provide for research, demonstration projects,
training, and related activities to maximize the full
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inclusion and integration into society, employment,
independent living, family support, and economic
and social self-sufficiency of individuals with disabil-
ities of all ages, with particular emphasis on improv-
ing the effectiveness of services authorized under this
Act;
‘‘(2) provide for a comprehensive and coordi-
nated approach to the support and conduct of such re-
search, demonstration projects, training, and related
activities and to ensure that the approach is in ac-
cordance with the 5-year plan developed under section
202(h);
‘‘(3) promote the transfer of rehabilitation tech-
nology to individuals with disabilities through re-
search and demonstration projects relating to—
‘‘(A) the procurement process for the pur-
chase of rehabilitation technology;
‘‘(B) the utilization of rehabilitation tech-
nology on a national basis;
‘‘(C) specific adaptations or customizations
of products to enable individuals with disabil-
ities to live more independently; and
‘‘(D) the development or transfer of assistive
technology;
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‘‘(4) ensure the widespread distribution, in usa-
ble formats, of practical scientific and technological
information—
‘‘(A) generated by research, demonstration
projects, training, and related activities; and
‘‘(B) regarding state-of-the-art practices,
improvements in the services authorized under
this Act, rehabilitation technology, and new
knowledge regarding disabilities,
to rehabilitation professionals, individuals with dis-
abilities, and other interested parties, including the
general public;
‘‘(5) identify effective strategies that enhance the
opportunities of individuals with disabilities to en-
gage in employment, including employment involving
telecommuting and self-employment; and
‘‘(6) increase opportunities for researchers who
are members of traditionally underserved populations,
including researchers who are members of minority
groups and researchers who are individuals with dis-
abilities.
‘‘AUTHORIZATION OF APPROPRIATIONS
‘‘SEC. 201. (a) There are authorized to be appro-
priated—
‘‘(1) for the purpose of providing for the expenses
of the National Institute on Disability and Rehabili-
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tation Research under section 202, which shall in-
clude the expenses of the Rehabilitation Research Ad-
visory Council under section 205, and shall not in-
clude the expenses of such Institute to carry out sec-
tion 204, such sums as may be necessary for each of
fiscal years 1998 through 2004; and
‘‘(2) to carry out section 204, such sums as may
be necessary for each of fiscal years 1998 through
2004.
‘‘(b) Funds appropriated under this title shall remain
available until expended.
‘‘NATIONAL INSTITUTE ON DISABILITY AND
REHABILITATION RESEARCH
‘‘SEC. 202. (a)(1) There is established within the De-
partment of Education a National Institute on Disability
and Rehabilitation Research (hereinafter in this title re-
ferred to as the ‘Institute’), which shall be headed by a Di-
rector (hereinafter in this title referred to as the ‘Director’),
in order to—
‘‘(A) promote, coordinate, and provide for—
‘‘(i) research;
‘‘(ii) demonstration projects and training;
and
‘‘(iii) related activities,
with respect to individuals with disabilities;
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‘‘(B) more effectively carry out activities through
the programs under section 204 and activities under
this section;
‘‘(C) widely disseminate information from the
activities described in subparagraphs (A) and (B);
and
‘‘(D) provide leadership in advancing the quality
of life of individuals with disabilities.
‘‘(2) In the performance of the functions of the office,
the Director shall be directly responsible to the Secretary
or to the same Under Secretary or Assistant Secretary of
the Department of Education to whom the Commissioner
is responsible under section 3(a).
‘‘(b) The Director, through the Institute, shall be re-
sponsible for—
‘‘(1) administering the programs described in
section 204 and activities under this section;
‘‘(2) widely disseminating findings, conclusions,
and recommendations, resulting from research, dem-
onstration projects, training, and related activities
(referred to in this title as ‘covered activities’) funded
by the Institute, to—
‘‘(A) other Federal, State, tribal, and local
public agencies;
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‘‘(B) private organizations engaged in re-
search relating to rehabilitation or providing re-
habilitation services;
‘‘(C) rehabilitation practitioners; and
‘‘(D) individuals with disabilities and the
individuals’ representatives;
‘‘(3) coordinating, through the Interagency Com-
mittee established by section 203 of this Act, all Fed-
eral programs and policies relating to research in re-
habilitation;
‘‘(4) widely disseminating educational materials
and research results, concerning ways to maximize
the full inclusion and integration into society, em-
ployment, independent living, family support, and
economic and social self-sufficiency of individuals
with disabilities, to—
‘‘(A) public and private entities, includ-
ing—
‘‘(i) elementary and secondary schools
(as defined in section 14101 of the Elemen-
tary and Secondary Education Act of 1965;
and
‘‘(ii) institutions of higher education;
‘‘(B) rehabilitation practitioners;
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‘‘(C) individuals with disabilities (espe-
cially such individuals who are members of mi-
nority groups or of populations that are
unserved or underserved by programs under this
Act); and
‘‘(D) the individuals’ representatives for the
individuals described in subparagraph (C);
‘‘(5)(A) conducting an education program to in-
form the public about ways of providing for the reha-
bilitation of individuals with disabilities, including
information relating to—
‘‘(i) family care;
‘‘(ii) self-care; and
‘‘(iii) assistive technology devices and as-
sistive technology services; and
‘‘(B) as part of the program, disseminating engi-
neering information about assistive technology de-
vices;
‘‘(6) conducting conferences, seminars, and work-
shops (including in-service training programs and
programs for individuals with disabilities) concerning
advances in rehabilitation research and rehabilitation
technology (including advances concerning the selec-
tion and use of assistive technology devices and assist-
ive technology services), pertinent to the full inclusion
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and integration into society, employment, independ-
ent living, family support, and economic and social
self-sufficiency of individuals with disabilities;
‘‘(7) taking whatever action is necessary to keep
the Congress fully and currently informed with re-
spect to the implementation and conduct of programs
and activities carried out under this title, including
dissemination activities;
‘‘(8) producing, in conjunction with the Depart-
ment of Labor, the National Center for Health Statis-
tics, the Bureau of the Census, the Health Care Fi-
nancing Administration, the Social Security Admin-
istration, the Bureau of Indian Affairs, the Indian
Health Service, and other Federal departments and
agencies, as may be appropriate, statistical reports
and studies on the employment, health, income, and
other demographic characteristics of individuals with
disabilities, including information on individuals
with disabilities who live in rural or inner-city set-
tings, with particular attention given to underserved
populations, and widely disseminating such reports
and studies to rehabilitation professionals, individ-
uals with disabilities, the individuals’ representatives,
and others to assist in the planning, assessment, and
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evaluation of vocational and other rehabilitation serv-
ices for individuals with disabilities;
‘‘(9) conducting research on consumer satisfac-
tion with vocational rehabilitation services for the
purpose of identifying effective rehabilitation pro-
grams and policies that promote the independence of
individuals with disabilities and achievement of long-
term vocational goals;
‘‘(10) conducting research to examine the rela-
tionship between the provision of specific services and
successful, sustained employment outcomes, including
employment outcomes involving self-employment; and
‘‘(11) coordinating activities with the Attorney
General regarding the provision of information,
training, or technical assistance regarding the Ameri-
cans with Disabilities Act of 1990 (42 U.S.C. 12101
et seq.) to ensure consistency with the plan for tech-
nical assistance required under section 506 of such
Act (42 U.S.C. 12206).
‘‘(c)(1) The Director, acting through the Institute or
1 or more entities funded by the Institute, shall provide for
the development and dissemination of models to address
consumer-driven information needs related to assistive tech-
nology devices and assistive technology services.
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payable for level V of the Executive Schedule under section
5316 of title 5, United States Code. The Director shall not
delegate any of his functions to any officer who is not di-
rectly responsible to the Director.
‘‘(2) There shall be a Deputy Director of the Institute
(referred to in this section as the ‘Deputy Director’) who
shall be appointed by the Secretary. The Deputy Director
shall be an individual with substantial experience in reha-
bilitation and in research administration. The Deputy Di-
rector shall be compensated at the rate of pay for level 4
of the Senior Executive Service Schedule under section 5382
of title 5, United States Code, and shall act for the Director
during the absence of the Director or the inability of the
Director to perform the essential functions of the job, exer-
cising such powers as the Director may prescribe. In the
case of any vacancy in the office of the Director, the Deputy
Director shall serve as Director until a Director is ap-
pointed under paragraph (1). The position created by this
paragraph shall be a Senior Executive Service position, as
defined in section 3132 of title 5, United States Code.
‘‘(3) The Director, subject to the approval of the Presi-
dent, may appoint, for terms not to exceed three years, with-
out regard to the provisions of title 5, United States Code,
governing appointment in the competitive service, and may
compensate, without regard to the provisions of chapter 51
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and subchapter III of chapter 53 of such title relating to
classification and General Schedule pay rates, such tech-
nical and professional employees of the Institute as the Di-
rector determines to be necessary to accomplish the func-
tions of the Institute and also appoint and compensate
without regard to such provisions, in a number not to ex-
ceed one-fifth of the number of full-time, regular technical
and professional employees of the Institute.
‘‘(4) The Director may obtain the services of consult-
ants, without regard to the provisions of title 5, United
States Code, governing appointments in the competitive
service.
‘‘(e) The Director, pursuant to regulations which the
Secretary shall prescribe, may establish and maintain fel-
lowships with such stipends and allowances, including trav-
el and subsistence expenses provided for under title 5,
United States Code, as the Director considers necessary to
procure the assistance of highly qualified research fellows,
including individuals with disabilities, from the United
States and foreign countries.
‘‘(f)(1) The Director shall, pursuant to regulations that
the Secretary shall prescribe, provide for scientific peer re-
view of all applications for financial assistance for research,
training, and demonstration projects over which the Direc-
tor has authority. The Director shall provide for the review
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by utilizing, to the maximum extent possible, appropriate
peer review panels established within the Institute. The
panels shall be standing panels if the grant period involved
or the duration of the program involved is not more than
3 years. The panels shall be composed of individuals who
are not Federal employees, who are scientists or other ex-
perts in the rehabilitation field (including the independent
living field), including knowledgeable individuals with dis-
abilities, and the individuals’ representatives, and who are
competent to review applications for the financial assist-
ance.
‘‘(2) The Federal Advisory Committee Act (5 U.S.C.
App.) shall not apply to the panels.
‘‘(3) The Director shall solicit nominations for such
panels from the public and shall publish the names of the
individuals selected. Individuals comprising each panel
shall be selected from a pool of qualified individuals to fa-
cilitate knowledgeable, cost-effective review.
‘‘(4) In providing for such scientific peer review, the
Secretary shall provide for training, as necessary and ap-
propriate, to facilitate the effective participation of those
individuals selected to participate in such review.
‘‘(g) Not less than 90 percent of the funds appropriated
under this title for any fiscal year shall be expended by
the Director to carry out activities under this title through
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grants, contracts, or cooperative agreements. Up to 10 per-
cent of the funds appropriated under this title for any fiscal
year may be expended directly for the purpose of carrying
out the functions of the Director under this section.
‘‘(h)(1) The Director shall—
‘‘(A) by October 1, 1998 and every fifth October
1 thereafter, prepare and publish in the Federal Reg-
ister for public comment a draft of a 5-year plan that
outlines priorities for rehabilitation research, dem-
onstration projects, training, and related activities
and explains the basis for such priorities;
‘‘(B) by June 1, 1999, and every fifth June 1
thereafter, after considering public comments, submit
the plan in final form to the appropriate committees
of Congress;
‘‘(C) at appropriate intervals, prepare and sub-
mit revisions in the plan to the appropriate commit-
tees of Congress; and
‘‘(D) annually prepare and submit progress re-
ports on the plan to the appropriate committees of
Congress.
‘‘(2) Such plan shall—
‘‘(A) identify any covered activity that should be
conducted under this section and section 204 respect-
ing the full inclusion and integration into society of
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individuals with disabilities, especially in the area of
employment;
‘‘(B) determine the funding priorities for covered
activities to be conducted under this section and sec-
tion 204;
‘‘(C) specify appropriate goals and timetables for
covered activities to be conducted under this section
and section 204;
‘‘(D) be developed by the Director—
‘‘(i) after consultation with the Rehabilita-
tion Research Advisory Council established under
section 205;
‘‘(ii) in coordination with the Commis-
sioner;
‘‘(iii) after consultation with the National
Council on Disability established under title IV,
the Secretary of Education, officials responsible
for the administration of the Developmental Dis-
abilities Assistance and Bill of Rights Act (42
U.S.C. 6000 et seq.), and the Interagency Com-
mittee on Disability Research established under
section 203; and
‘‘(iv) after full consideration of the input of
individuals with disabilities and the individuals’
representatives, organizations representing indi-
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viduals with disabilities, providers of services
furnished under this Act, researchers in the reha-
bilitation field, and any other persons or entities
the Director considers to be appropriate;
‘‘(E) specify plans for widespread dissemination
of the results of covered activities, in accessible for-
mats, to rehabilitation practitioners, individuals with
disabilities, and the individuals’ representatives; and
‘‘(F) specify plans for widespread dissemination
of the results of covered activities that concern indi-
viduals with disabilities who are members of minority
groups or of populations that are unserved or under-
served by programs carried out under this Act.
‘‘(i) In order to promote cooperation among Federal
departments and agencies conducting research programs,
the Director shall consult with the administrators of such
programs, and with the Interagency Committee established
by section 203, regarding the design of research projects con-
ducted by such entities and the results and applications of
such research.
‘‘(j)(1) The Director shall take appropriate actions to
provide for a comprehensive and coordinated research pro-
gram under this title. In providing such a program, the
Director may undertake joint activities with other Federal
entities engaged in research and with appropriate private
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entities. Any Federal entity proposing to establish any re-
search project related to the purposes of this Act shall con-
sult, through the Interagency Committee established by sec-
tion 203, with the Director as Chairperson of such Commit-
tee and provide the Director with sufficient prior oppor-
tunity to comment on such project.
‘‘(2) Any person responsible for administering any
program of the National Institutes of Health, the Depart-
ment of Veterans Affairs, the National Science Foundation,
the National Aeronautics and Space Administration, the
Office of Special Education and Rehabilitative Services, or
of any other Federal entity, shall, through the Interagency
Committee established by section 203, consult and cooperate
with the Director in carrying out such program if the pro-
gram is related to the purposes of this title.
‘‘(k) The Director shall make grants to institutions of
higher education for the training of rehabilitation research-
ers, including individuals with disabilities, with particular
attention to research areas that support the implementation
and objectives of this Act and that improve the effectiveness
of services authorized under this Act.
‘‘INTERAGENCY COMMITTEE
‘‘SEC. 203. (a)(1) In order to promote coordination
and cooperation among Federal departments and agencies
conducting rehabilitation research programs, there is estab-
lished within the Federal Government an Interagency Com-
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mittee on Disability Research (hereinafter in this section
referred to as the ‘Committee’), chaired by the Director and
comprised of such members as the President may designate,
including the following (or their designees): the Director,
the Commissioner of the Rehabilitation Services Adminis-
tration, the Assistant Secretary for Special Education and
Rehabilitative Services, the Secretary of Education, the Sec-
retary of Veterans Affairs, the Director of the National In-
stitutes of Health, the Director of the National Institute of
Mental Health, the Administrator of the National Aero-
nautics and Space Administration, the Secretary of Trans-
portation, the Assistant Secretary of the Interior for Indian
Affairs, the Director of the Indian Health Service, and the
Director of the National Science Foundation.
‘‘(2) The Committee shall meet not less than four times
each year.
‘‘(b) After receiving input from individuals with dis-
abilities and the individuals’ representatives, the Committee
shall identify, assess, and seek to coordinate all Federal pro-
grams, activities, and projects, and plans for such pro-
grams, activities, and projects with respect to the conduct
of research related to rehabilitation of individuals with dis-
abilities.
‘‘(c) The Committee shall annually submit to the Presi-
dent and to the appropriate committees of the Congress a
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report making such recommendations as the Committee
deems appropriate with respect to coordination of policy
and development of objectives and priorities for all Federal
programs relating to the conduct of research related to reha-
bilitation of individuals with disabilities.
‘‘RESEARCH AND OTHER COVERED ACTIVITIES
‘‘SEC. 204. (a)(1) To the extent consistent with prior-
ities established in the 5-year plan described in section
202(h), the Director may make grants to and contracts with
States and public or private agencies and organizations,
including institutions of higher education, Indian tribes,
and tribal organizations, to pay part of the cost of projects
for the purpose of planning and conducting research, dem-
onstration projects, training, and related activities, the pur-
poses of which are to develop methods, procedures, and reha-
bilitation technology, that maximize the full inclusion and
integration into society, employment, independent living,
family support, and economic and social self-sufficiency of
individuals with disabilities, especially individuals with
the most significant disabilities, and improve the effective-
ness of services authorized under this Act.
‘‘(2)(A) In carrying out this section, the Director shall
emphasize projects that support the implementation of titles
I, III, V, VI, and VII, including projects addressing the
needs described in the State plans submitted under section
101 or 704 by State agencies.
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‘‘(B) Such projects, as described in the State plans sub-
mitted by State agencies, may include—
‘‘(i) medical and other scientific, technical, meth-
odological, and other investigations into the nature of
disability, methods of analyzing it, and restorative
techniques, including basic research where related to
rehabilitation techniques or services;
‘‘(ii) studies and analysis of industrial, voca-
tional, social, recreational, psychiatric, psychological,
economic, and other factors affecting rehabilitation of
individuals with disabilities;
‘‘(iii) studies and analysis of special problems of
individuals who are homebound and individuals who
are institutionalized;
‘‘(iv) studies, analyses, and demonstrations of
architectural and engineering design adapted to meet
the special needs of individuals with disabilities;
‘‘(v) studies, analyses, and other activities relat-
ed to supported employment;
‘‘(vi) related activities which hold promise of in-
creasing knowledge and improving methods in the re-
habilitation of individuals with disabilities and indi-
viduals with the most significant disabilities, particu-
larly individuals with disabilities, and individuals
with the most significant disabilities, who are mem-
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bers of populations that are unserved or underserved
by programs under this Act; and
‘‘(vii) studies, analyses, and other activities re-
lated to job accommodations, including the use of re-
habilitation engineering and assistive technology.
‘‘(b)(1) In addition to carrying out projects under sub-
section (a), the Director may make grants under this sub-
section (referred to in this subsection as ‘research grants’)
to pay part or all of the cost of the research or other special-
ized covered activities described in paragraphs (2) through
(18). A research grant made under any of paragraphs (2)
through (18) may only be used in a manner consistent with
priorities established in the 5-year plan described in section
202(h).
‘‘(2)(A) Research grants may be used for the establish-
ment and support of Rehabilitation Research and Training
Centers, for the purpose of providing an integrated program
of research, which Centers shall—
‘‘(i) be operated in collaboration with institu-
tions of higher education or providers of rehabilita-
tion services or other appropriate services; and
‘‘(ii) serve as centers of national excellence and
national or regional resources for providers and indi-
viduals with disabilities and the individuals’ rep-
resentatives.
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‘‘(B) The Centers shall conduct research and training
activities by—
‘‘(i) conducting coordinated and advanced pro-
grams of research in rehabilitation targeted toward
the production of new knowledge that will improve re-
habilitation methodology and service delivery systems,
alleviate or stabilize disabling conditions, and pro-
mote maximum social and economic independence of
individuals with disabilities, especially promoting the
ability of the individuals to prepare for, secure, re-
tain, regain, or advance in employment;
‘‘(ii) providing training (including graduate,
pre-service, and in-service training) to assist individ-
uals to more effectively provide rehabilitation services;
‘‘(iii) providing training (including graduate,
pre-service, and in-service training) for rehabilitation
research personnel and other rehabilitation personnel;
and
‘‘(iv) serving as an informational and technical
assistance resource to providers, individuals with dis-
abilities, and the individuals’ representatives, through
conferences, workshops, public education programs,
in-service training programs, and similar activities.
‘‘(C) The research to be carried out at each such Center
may include—
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‘‘(i) basic or applied medical rehabilitation re-
search;
‘‘(ii) research regarding the psychological and so-
cial aspects of rehabilitation, including disability pol-
icy;
‘‘(iii) research related to vocational rehabilita-
tion;
‘‘(iv) continuation of research that promotes the
emotional, social, educational, and functional growth
of children who are individuals with disabilities;
‘‘(v) continuation of research to develop and
evaluate interventions, policies, and services that sup-
port families of those children and adults who are in-
dividuals with disabilities; and
‘‘(vi) continuation of research that will improve
services and policies that foster the productivity, inde-
pendence, and social integration of individuals with
disabilities, and enable individuals with disabilities,
including individuals with mental retardation and
other developmental disabilities, to live in their com-
munities.
‘‘(D) Training of students preparing to be rehabilita-
tion personnel shall be an important priority for such a
Center.
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‘‘(E) The Director shall make grants under this para-
graph to establish and support both comprehensive centers
dealing with multiple disabilities and centers primarily fo-
cused on particular disabilities.
‘‘(F) Grants made under this paragraph may be used
to provide funds for services rendered by such a Center to
individuals with disabilities in connection with the research
and training activities.
‘‘(G) Grants made under this paragraph may be used
to provide faculty support for teaching—
‘‘(i) rehabilitation-related courses of study for
credit; and
‘‘(ii) other courses offered by the Centers, either
directly or through another entity.
‘‘(H) The research and training activities conducted
by such a Center shall be conducted in a manner that is
accessible to and usable by individuals with disabilities.
‘‘(I) The Director shall encourage the Centers to de-
velop practical applications for the findings of the research
of the Centers.
‘‘(J) In awarding grants under this paragraph, the
Director shall take into consideration the location of any
proposed Center and the appropriate geographic and re-
gional allocation of such Centers.
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‘‘(K) To be eligible to receive a grant under this para-
graph, each such institution or provider described in sub-
paragraph (A) shall—
‘‘(i) be of sufficient size, scope, and quality to ef-
fectively carry out the activities in an efficient man-
ner consistent with appropriate State and Federal
law; and
‘‘(ii) demonstrate the ability to carry out the
training activities either directly or through another
entity that can provide such training.
‘‘(L) The Director shall make grants under this para-
graph for periods of 5 years, except that the Director may
make a grant for a period of less than 5 years if—
‘‘(i) the grant is made to a new recipient; or
‘‘(ii) the grant supports new or innovative re-
search.
‘‘(M) Grants made under this paragraph shall be made
on a competitive basis. To be eligible to receive a grant
under this paragraph, a prospective grant recipient shall
submit an application to the Director at such time, in such
manner, and containing such information as the Director
may require.
‘‘(N) In conducting scientific peer review under section
202(f) of an application for the renewal of a grant made
under this paragraph, the peer review panel shall take into
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account the past performance of the applicant in carrying
out the grant and input from individuals with disabilities
and the individuals’ representatives.
‘‘(O) An institution or provider that receives a grant
under this paragraph to establish such a Center may not
collect more than 15 percent of the amount of the grant re-
ceived by the Center in indirect cost charges.
‘‘(3)(A) Research grants may be used for the establish-
ment and support of Rehabilitation Engineering Research
Centers, operated by or in collaboration with institutions
of higher education or nonprofit organizations, to conduct
research or demonstration activities, and training activi-
ties, regarding rehabilitation technology, including reha-
bilitation engineering, assistive technology devices, and as-
sistive technology services, for the purposes of enhancing op-
portunities for better meeting the needs of, and addressing
the barriers confronted by, individuals with disabilities in
all aspects of their lives.
‘‘(B) In order to carry out the purposes set forth in
subparagraph (A), such a Center shall carry out the re-
search or demonstration activities by—
‘‘(i) developing and disseminating innovative
methods of applying advanced technology, scientific
achievement, and psychological and social knowledge
to—
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‘‘(I) solve rehabilitation problems and re-
move environmental barriers through planning
and conducting research, including cooperative
research with public or private agencies and or-
ganizations, designed to produce new scientific
knowledge, and new or improved methods, equip-
ment, and devices; and
‘‘(II) study new or emerging technologies,
products, or environments, and the effectiveness
and benefits of such technologies, products, or en-
vironments;
‘‘(ii) demonstrating and disseminating—
‘‘(I) innovative models for the delivery, to
rural and urban areas, of cost-effective rehabili-
tation technology services that promote utiliza-
tion of assistive technology devices; and
‘‘(II) other scientific research to assist in
meeting the employment and independent living
needs of individuals with significant disabilities;
or
‘‘(iii) conducting research or demonstration ac-
tivities that facilitate service delivery systems change
by demonstrating, evaluating, documenting, and dis-
seminating—
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‘‘(I) consumer responsive and individual
and family-centered innovative models for the
delivery to both rural and urban areas, of inno-
vative cost-effective rehabilitation technology
services that promote utilization of rehabilitation
technology; and
‘‘(II) other scientific research to assist in
meeting the employment and independent living
needs of, and addressing the barriers confronted
by, individuals with disabilities, including indi-
viduals with significant disabilities.
‘‘(C) To the extent consistent with the nature and type
of research or demonstration activities described in sub-
paragraph (B), each Center established or supported
through a grant made available under this paragraph
shall—
‘‘(i) cooperate with programs established under
the Technology-Related Assistance for Individuals
With Disabilities Act of 1988 (29 U.S.C. 2201 et seq.)
and other regional and local programs to provide in-
formation to individuals with disabilities and the in-
dividuals’ representatives to—
‘‘(I) increase awareness and understanding
of how rehabilitation technology can address
their needs; and
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‘‘(II) increase awareness and understanding
of the range of options, programs, services, and
resources available, including financing options
for the technology and services covered by the
area of focus of the Center;
‘‘(ii) provide training opportunities to individ-
uals, including individuals with disabilities, to be-
come researchers of rehabilitation technology and
practitioners of rehabilitation technology in conjunc-
tion with institutions of higher education and non-
profit organizations; and
‘‘(iii) respond, through research or demonstra-
tion activities, to the needs of individuals with all
types of disabilities who may benefit from the appli-
cation of technology within the area of focus of the
Center.
‘‘(D)(i) In establishing Centers to conduct the research
or demonstration activities described in subparagraph
(B)(iii), the Director may establish one Center in each of
the following areas of focus:
‘‘(I) Early childhood services, including early
intervention and family support.
‘‘(II) Education at the elementary and secondary
levels, including transition from school to postschool
activities.
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‘‘(III) Employment, including supported em-
ployment, and reasonable accommodations and the re-
duction of environmental barriers as required by the
Americans with Disabilities Act of 1990 (42 U.S.C.
12101 et seq.) and title V.
‘‘(IV) Independent living, including transition
from institutional to community living, maintenance
of community living on leaving the work force, self-
help skills, and activities of daily living.
‘‘(ii) Each Center conducting the research or dem-
onstration activities described in subparagraph (B)(iii)
shall have an advisory committee, of which the majority
of members are individuals with disabilities who are users
of rehabilitation technology, and the individuals’ represent-
atives.
‘‘(E) Grants made under this paragraph shall be made
on a competitive basis and shall be for a period of 5 years,
except that the Director may make a grant for a period
of less than 5 years if—
‘‘(i) the grant is made to a new recipient; or
‘‘(ii) the grant supports new or innovative re-
search.
‘‘(F) To be eligible to receive a grant under this para-
graph, a prospective grant recipient shall submit an appli-
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cation to the Director at such time, in such manner, and
containing such information as the Director may require.
‘‘(G) Each Center established or supported through a
grant made available under this paragraph shall—
‘‘(i) cooperate with State agencies and other
local, State, regional, and national programs and or-
ganizations developing or delivering rehabilitation
technology, including State programs funded under
the Technology-Related Assistance for Individuals
With Disabilities Act of 1988 (29 U.S.C. 2201 et
seq.); and
‘‘(ii) prepare and submit to the Director as part
of an application for continuation of a grant, or as
a final report, a report that documents the outcomes
of the program of the Center in terms of both short-
and long-term impact on the lives of individuals with
disabilities, and such other information as may be re-
quested by the Director.
‘‘(4)(A) Research grants may be used to conduct a pro-
gram for spinal cord injury research, including conducting
such a program by making grants to public or private agen-
cies and organizations to pay part or all of the costs of
special projects and demonstration projects for spinal cord
injuries, that will—
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‘‘(i) ensure widespread dissemination of research
findings among all Spinal Cord Injury Centers, to re-
habilitation practitioners, individuals with spinal
cord injury, the individuals’ representatives, and or-
ganizations receiving financial assistance under this
paragraph;
‘‘(ii) provide encouragement and support for ini-
tiatives and new approaches by individual and insti-
tutional investigators; and
‘‘(iii) establish and maintain close working rela-
tionships with other governmental and voluntary in-
stitutions and organizations engaged in similar ef-
forts in order to unify and coordinate scientific ef-
forts, encourage joint planning, and promote the
interchange of data and reports among spinal cord
injury investigations.
‘‘(B) Any agency or organization carrying out a
project or demonstration project assisted by a grant under
this paragraph that provides services to individuals with
spinal cord injuries shall—
‘‘(i) establish, on an appropriate regional basis,
a multidisciplinary system of providing vocational
and other rehabilitation services, specifically designed
to meet the special needs of individuals with spinal
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cord injuries, including acute care as well as periodic
inpatient or outpatient followup and services;
‘‘(ii) demonstrate and evaluate the benefits to in-
dividuals with spinal cord injuries served in, and the
degree of cost-effectiveness of, such a regional system;
‘‘(iii) demonstrate and evaluate existing, new,
and improved methods and rehabilitation technology
essential to the care, management, and rehabilitation
of individuals with spinal cord injuries; and
‘‘(iv) demonstrate and evaluate methods of com-
munity outreach for individuals with spinal cord in-
juries and community education in connection with
the problems of such individuals in areas such as
housing, transportation, recreation, employment, and
community activities.
‘‘(C) In awarding grants under this paragraph, the
Director shall take into account the location of any pro-
posed Spinal Cord Injury Center and the appropriate geo-
graphic and regional allocation of such Centers.
‘‘(5) Research grants may be used to conduct a pro-
gram for end-stage renal disease research, to include sup-
port of projects and demonstrations for providing special
services (including transplantation and dialysis), artificial
kidneys, and supplies necessary for the rehabilitation of in-
dividuals with such disease and which will—
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‘‘(A) ensure dissemination of research findings;
‘‘(B) provide encouragement and support for ini-
tiatives and new approaches by individuals and in-
stitutional investigators; and
‘‘(C) establish and maintain close working rela-
tionships with other governmental and voluntary in-
stitutions and organizations engaged in similar ef-
forts,
in order to unify and coordinate scientific efforts, encourage
joint planning, and promote the interchange of data and
reports among investigators in the field of end-stage renal
disease. No person shall be selected to participate in such
program who is eligible for services for such disease under
any other provision of law.
‘‘(6) Research grants may be used to conduct a pro-
gram for international rehabilitation research, demonstra-
tion, and training for the purpose of developing new knowl-
edge and methods in the rehabilitation of individuals with
disabilities in the United States, cooperating with and as-
sisting in developing and sharing information found useful
in other nations in the rehabilitation of individuals with
disabilities, and initiating a program to exchange experts
and technical assistance in the field of rehabilitation of in-
dividuals with disabilities with other nations as a means
of increasing the levels of skill of rehabilitation personnel.
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‘‘(7) Research grants may be used to conduct a re-
search program concerning the use of existing telecommuni-
cations systems (including telephone, television, satellite,
radio, and other similar systems) which have the potential
for substantially improving service delivery methods, and
the development of appropriate programming to meet the
particular needs of individuals with disabilities.
‘‘(8) Research grants may be used to conduct a pro-
gram of joint projects with the National Institutes of
Health, the National Institute of Mental Health, the Health
Services Administration, the Administration on Aging, the
National Science Foundation, the Veterans’ Administra-
tion, the Department of Health and Human Services, the
National Aeronautics and Space Administration, other
Federal agencies, and private industry in areas of joint in-
terest involving rehabilitation.
‘‘(9) Research grants may be used to conduct a pro-
gram of research related to the rehabilitation of children,
or older individuals, who are individuals with disabilities,
including older American Indians who are individuals with
disabilities. Such research program may include projects
designed to assist the adjustment of, or maintain as resi-
dents in the community, older workers who are individuals
with disabilities on leaving the work force.
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‘‘(10) Research grants may be used to conduct a re-
search program to develop and demonstrate innovative
methods to attract and retain professionals to serve in rural
areas in the rehabilitation of individuals with disabilities,
including individuals with significant disabilities.
‘‘(11) Research grants may be used to conduct a model
research and demonstration project designed to assess the
feasibility of establishing a center for producing and dis-
tributing to individuals who are deaf or hard of hearing
captioned video cassettes providing a broad range of edu-
cational, cultural, scientific, and vocational programming.
‘‘(12) Research grants may be used to conduct a model
research and demonstration program to develop innovative
methods of providing services for preschool age children who
are individuals with disabilities, including—
‘‘(A) early intervention, assessment, parent coun-
seling, infant stimulation, early identification, diag-
nosis, and evaluation of children who are individuals
with significant disabilities up to the age of five, with
a special emphasis on children who are individuals
with significant disabilities up to the age of three;
‘‘(B) such physical therapy, language develop-
ment, pediatric, nursing, psychological, and psy-
chiatric services as are necessary for such children;
and
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‘‘(C) appropriate services for the parents of such
children, including psychological and psychiatric
services, parent counseling, and training.
‘‘(13) Research grants may be used to conduct a model
research and training program under which model training
centers shall be established to develop and use more ad-
vanced and effective methods of evaluating and addressing
the employment needs of individuals with disabilities, in-
cluding programs that—
‘‘(A) provide training and continuing education
for personnel involved with the employment of indi-
viduals with disabilities;
‘‘(B) develop model procedures for testing and
evaluating the employment needs of individuals with
disabilities;
‘‘(C) develop model training programs to teach
individuals with disabilities skills which will lead to
appropriate employment;
‘‘(D) develop new approaches for job placement
of individuals with disabilities, including new follow-
up procedures relating to such placement;
‘‘(E) provide information services regarding edu-
cation, training, employment, and job placement for
individuals with disabilities; and
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‘‘(F) develop new approaches and provide infor-
mation regarding job accommodations, including the
use of rehabilitation engineering and assistive tech-
nology.
‘‘(14) Research grants may be used to conduct a reha-
bilitation research program under which financial assist-
ance is provided in order to—
‘‘(A) test new concepts and innovative ideas;
‘‘(B) demonstrate research results of high poten-
tial benefits;
‘‘(C) purchase prototype aids and devices for
evaluation;
‘‘(D) develop unique rehabilitation training cur-
ricula; and
‘‘(E) be responsive to special initiatives of the
Director.
No single grant under this paragraph may exceed $50,000
in any fiscal year and all payments made under this para-
graph in any fiscal year may not exceed 5 percent of the
amount available for this section to the National Institute
on Disability and Rehabilitation Research in any fiscal
year. Regulations and administrative procedures with re-
spect to financial assistance under this paragraph shall, to
the maximum extent possible, be expedited.
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‘‘(15) Research grants may be used to conduct studies
of the rehabilitation needs of American Indian populations
and of effective mechanisms for the delivery of rehabilita-
tion services to Indians residing on and off reservations.
‘‘(16) Research grants may be used to conduct a dem-
onstration program under which one or more projects na-
tional in scope shall be established to develop procedures
to provide incentives for the development, manufacturing,
and marketing of orphan technological devices, including
technology transfer concerning such devices, designed to en-
able individuals with disabilities to achieve independence
and access to gainful employment.
‘‘(17)(A) Research grants may be used to conduct a
research program related to quality assurance in the area
of rehabilitation technology.
‘‘(B) Activities carried out under the research program
may include—
‘‘(i) the development of methodologies to evaluate
rehabilitation technology products and services and
the dissemination of the methodologies to consumers
and other interested parties;
‘‘(ii) identification of models for service provider
training and evaluation and certification of the effec-
tiveness of the models;
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‘‘(iii) identification and dissemination of out-
come measurement models for the assessment of reha-
bilitation technology products and services; and
‘‘(iv) development and testing of research-based
tools to enhance consumer decisionmaking about reha-
bilitation technology products and services.
‘‘(C) The Director shall develop the quality assurance
research program after consultation with representatives of
all types of organizations interested in rehabilitation tech-
nology quality assurance.
‘‘(18) Research grants may be used to provide for re-
search and demonstration projects and related activities
that explore the use and effectiveness of specific alternative
or complementary medical practices for individuals with
disabilities. Such projects and activities may include
projects and activities designed to—
‘‘(A) determine the use of specific alternative or
complementary medical practices among individuals
with disabilities and the perceived effectiveness of the
practices;
‘‘(B) determine the specific information sources,
decisionmaking methods, and methods of payment
used by individuals with disabilities who access alter-
native or complementary medical services;
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‘‘(C) develop criteria to screen and assess the va-
lidity of research studies of such practices for individ-
uals with disabilities; and
‘‘(D) determine the effectiveness of specific alter-
native or complementary medical practices that show
promise for promoting increased functioning, preven-
tion of secondary disabilities, or other positive out-
comes for individuals with certain types of disabil-
ities, by conducting controlled research studies.
‘‘(c)(1) In carrying out evaluations of covered activi-
ties under this section, the Director is authorized to make
arrangements for site visits to obtain information on the
accomplishments of the projects.
‘‘(2) The Director shall not make a grant under this
section that exceeds $499,999 unless the peer review of the
grant application has included a site visit.
‘‘REHABILITATION RESEARCH ADVISORY COUNCIL
‘‘SEC. 205. (a) ESTABLISHMENT.—Subject to the
availability of appropriations, the Secretary shall establish
in the Department of Education a Rehabilitation Research
Advisory Council (referred to in this section as the ‘Coun-
cil’) composed of 12 members appointed by the Secretary.
‘‘(b) DUTIES.—The Council shall advise the Director
with respect to research priorities and the development and
revision of the 5-year plan required by section 202(h).
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‘‘(c) QUALIFICATIONS.—Members of the Council shall
be generally representative of the community of rehabilita-
tion professionals, the community of rehabilitation re-
searchers, the community of individuals with disabilities,
and the individuals’ representatives. At least one-half of the
members shall be individuals with disabilities or the indi-
viduals’ representatives.
‘‘(d) TERMS OF APPOINTMENT.—
‘‘(1) LENGTH OF TERM.—Each member of the
Council shall serve for a term of up to 3 years, deter-
mined by the Secretary, except that—
‘‘(A) a member appointed to fill a vacancy
occurring prior to the expiration of the term for
which a predecessor was appointed, shall be ap-
pointed for the remainder of such term; and
‘‘(B) the terms of service of the members
initially appointed shall be (as specified by the
Secretary) for such fewer number of years as will
provide for the expiration of terms on a stag-
gered basis.
‘‘(2) NUMBER
OF
TERMS.—No member of the
Council may serve more than two consecutive full
terms. Members may serve after the expiration of
their terms until their successors have taken office.
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‘‘(e) VACANCIES.—Any vacancy occurring in the mem-
bership of the Council shall be filled in the same manner
as the original appointment for the position being vacated.
The vacancy shall not affect the power of the remaining
members to execute the duties of the Council.
‘‘(f) PAYMENT AND EXPENSES.—
‘‘(1) PAYMENT.—Each member of the Council
who is not an officer or full-time employee of the Fed-
eral Government shall receive a payment of $150 for
each day (including travel time) during which the
member is engaged in the performance of duties for
the Council. All members of the Council who are offi-
cers or full-time employees of the United States shall
serve without compensation in addition to compensa-
tion received for their services as officers or employees
of the United States.
‘‘(2) TRAVEL EXPENSES.—Each member of the
Council may receive travel expenses, including per
diem in lieu of subsistence, as authorized by section
5703 of title 5, United States Code, for employees
serving intermittently in the Government service, for
each day the member is engaged in the performance
of duties away from the home or regular place of
business of the member.
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‘‘(g) DETAIL OF FEDERAL EMPLOYEES.—On the re-
quest of the Council, the Secretary may detail, with or with-
out reimbursement, any of the personnel of the Department
of Education to the Council to assist the Council in carry-
ing out its duties. Any detail shall not interrupt or other-
wise affect the civil service status or privileges of the Federal
employee.
‘‘(h) TECHNICAL ASSISTANCE.—On the request of the
Council, the Secretary shall provide such technical assist-
ance to the Council as the Council determines to be nec-
essary to carry out its duties.
‘‘(i) TERMINATION.—Section 14 of the Federal Advi-
sory Committee Act (5 U.S.C. App.) shall not apply with
respect to the Council.’’.
SEC. 606. PROFESSIONAL DEVELOPMENT AND SPECIAL
PROJECTS AND DEMONSTRATIONS.
Title III of the Rehabilitation Act of 1973 (29 U.S.C.
770 et seq.) is amended to read as follows:
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‘‘TITLE III—PROFESSIONAL DE-
VELOPMENT 
AND 
SPECIAL
PROJECTS AND DEMONSTRA-
TIONS
‘‘SEC. 301. DECLARATION OF PURPOSE AND COMPETITIVE
BASIS OF GRANTS AND CONTRACTS.
‘‘(a) PURPOSE.—It is the purpose of this title to au-
thorize grants and contracts to—
‘‘(1)(A) provide academic training to ensure that
skilled personnel are available to provide rehabilita-
tion services to individuals with disabilities through
vocational, medical, social, and psychological reha-
bilitation programs (including supported employment
programs), through independent living services pro-
grams, and through client assistance programs; and
‘‘(B) provide training to maintain and upgrade
basic skills and knowledge of personnel employed to
provide state-of-the-art service delivery and rehabili-
tation technology services;
‘‘(2) conduct special projects and demonstrations
that expand and improve the provision of rehabilita-
tion and other services authorized under this Act, or
that otherwise further the purposes of this Act, includ-
ing related research and evaluation;
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‘‘(3) provide vocational rehabilitation services to
individuals with disabilities who are migrant or sea-
sonal farmworkers;
‘‘(4) initiate recreational programs to provide
recreational activities and related experiences for in-
dividuals with disabilities to aid such individuals in
employment, mobility, socialization, independence,
and community integration; and
‘‘(5) provide training and information to indi-
viduals with disabilities and the individuals’ rep-
resentatives, and other appropriate parties to develop
the skills necessary for individuals with disabilities to
gain access to the rehabilitation system and workforce
investment system and to become active decision-
makers in the rehabilitation process.
‘‘(b) COMPETITIVE BASIS
OF GRANTS
AND CON-
TRACTS.—The Secretary shall ensure that all grants and
contracts are awarded under this title on a competitive
basis.
‘‘SEC. 302. TRAINING.
‘‘(a) GRANTS
AND
CONTRACTS
FOR
PERSONNEL
TRAINING.—
‘‘(1) AUTHORITY.—The Commissioner shall make
grants to, and enter into contracts with, States and
public or nonprofit agencies and organizations (in-
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cluding institutions of higher education) to pay part
of 
the 
cost 
of 
projects 
to 
provide 
training,
traineeships, and related activities, including the pro-
vision of technical assistance, that are designed to as-
sist in increasing the numbers of, and upgrading the
skills of, qualified personnel (especially rehabilitation
counselors) who are trained in providing vocational,
medical, social, and psychological rehabilitation serv-
ices, who are trained to assist individuals with com-
munication and related disorders, who are trained to
provide other services provided under this Act, to in-
dividuals with disabilities, and who may include—
‘‘(A) personnel specifically trained in pro-
viding employment assistance to individuals
with disabilities through job development and job
placement services;
‘‘(B) personnel specifically trained to iden-
tify, assess, and meet the individual rehabilita-
tion needs of individuals with disabilities, in-
cluding needs for rehabilitation technology;
‘‘(C) personnel specifically trained to de-
liver services to individuals who may benefit
from receiving independent living services;
‘‘(D) personnel specifically trained to de-
liver services in the client assistance programs;
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‘‘(E) personnel specifically trained to de-
liver services, through supported employment
programs, to individuals with a most significant
disability;
‘‘(F) personnel providing vocational reha-
bilitation services specifically trained in the use
of braille, the importance of braille literacy, and
in methods of teaching braille; and
‘‘(G) personnel trained in performing other
functions necessary to the provision of voca-
tional, medical, social, and psychological reha-
bilitation services, and other services provided
under this Act.
‘‘(2) AUTHORITY TO PROVIDE SCHOLARSHIPS.—
Grants and contracts under paragraph (1) may be ex-
pended for scholarships and may include necessary
stipends and allowances.
‘‘(3) RELATED FEDERAL STATUTES.—In carry-
ing out this subsection, the Commissioner may make
grants to and enter into contracts with States and
public or nonprofit agencies and organizations, in-
cluding institutions of higher education, to furnish
training regarding related Federal statutes (other
than this Act).
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‘‘(4) TRAINING
FOR
STATEWIDE
WORKFORCE
SYSTEMS PERSONNEL.—The Commissioner may make
grants to and enter into contracts under this sub-
section with States and public or nonprofit agencies
and organizations, including institutions of higher
education, to furnish training to personnel providing
services to individuals with disabilities under the
Workforce Investment Partnership Act of 1998. Under
this paragraph, personnel may be trained—
‘‘(A) in evaluative skills to determine
whether an individual with a disability may be
served by the State vocational rehabilitation pro-
gram or another component of the statewide
workforce investment system; or
‘‘(B) to assist individuals with disabilities
seeking assistance through one-stop customer
service centers established under section 315 of
the Workforce Investment Partnership Act of
1998.
‘‘(5) JOINT FUNDING.—Training and other ac-
tivities provided under paragraph (4) for personnel
may be jointly funded with the Department of Labor,
using funds made available under title III of the
Workforce Investment Partnership Act of 1998.
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‘‘(b) GRANTS AND CONTRACTS FOR ACADEMIC DE-
GREES AND ACADEMIC CERTIFICATE GRANTING TRAINING
PROJECTS.—
‘‘(1) AUTHORITY.—
‘‘(A) IN GENERAL.—The Commissioner may
make grants to, and enter into contracts with,
States and public or nonprofit agencies and or-
ganizations (including institutions of higher edu-
cation) to pay part of the costs of academic
training projects to provide training that leads
to an academic degree or academic certificate. In
making such grants or entering into such con-
tracts, the Commissioner shall target funds to
areas determined under subsection (e) to have
shortages of qualified personnel.
‘‘(B) 
TYPES
OF
PROJECTS.—Academic
training projects described in this subsection
may include—
‘‘(i) projects to train personnel in the
areas of vocational rehabilitation counsel-
ing, rehabilitation technology, rehabilitation
medicine, rehabilitation nursing, rehabilita-
tion social work, rehabilitation psychiatry,
rehabilitation 
psychology, 
rehabilitation
dentistry, physical therapy, occupational