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‘‘(B) For each fiscal year beginning on or after October 1,
1978, each State shall be entitled to an allotment, from any amount
authorized to be appropriated for such fiscal year under section
100(b)(1) for allotment under this section in excess of the amount
appropriated under section 100(b)(1)(A) for the fiscal year ending
September 30, 1978, in an amount equal to the sum of—
‘‘(i) an amount bearing the same ratio to 50 percent of
such excess amount as the product of the population of the
State and the square of its allotment percentage bears to the
sum of the corresponding products for all the States; and
‘‘(ii) an amount bearing the same ratio to 50 percent of
such excess amount as the product of the population of the
State and its allotment percentage bears to the sum of the
corresponding products for all the States.
‘‘(3) The sum of the payment to any State (other than Guam,
American Samoa, the Virgin Islands, and the Commonwealth of
the Northern Mariana Islands) under this subsection for any fiscal
year which is less than 1⁄3 of 1 percent of the amount appropriated
under section 100(b)(1), or $3,000,000, whichever is greater, shall
be increased to that amount, the total of the increases thereby
required being derived by proportionately reducing the allotment
to each of the remaining such States under this subsection, but
with such adjustments as may be necessary to prevent the sum
of the allotments made under this subsection to any such remaining
State from being thereby reduced to less than that amount.
‘‘(b)(1) Not later than 45 days prior to the end of the fiscal
year, the Commissioner shall determine, after reasonable oppor-
tunity for the submission to the Commissioner of comments by
the State agency administering or supervising the program estab-
lished under this title, that any payment of an allotment to a
State under section 111(a) for any fiscal year will not be utilized
by such State in carrying out the purposes of this title.
‘‘(2) As soon as practicable but not later than the end of the
fiscal year, the Commissioner shall make such amount available
for carrying out the purposes of this title to one or more other
States to the extent the Commissioner determines such other State
will be able to use such additional amount during that fiscal year
or the subsequent fiscal year for carrying out such purposes. The
Commissioner shall make such amount available only if such other
State will be able to make sufficient payments from non-Federal
sources to pay for the non-Federal share of the cost of vocational
rehabilitation services under the State plan for the fiscal year
for which the amount was appropriated.
‘‘(3) For the purposes of this part, any amount made available
to a State for any fiscal year pursuant to this subsection shall
be regarded as an increase of such State’s allotment (as determined
under the preceding provisions of this section) for such year.
‘‘(c)(1) For fiscal year 1987 and for each subsequent fiscal year,
the Commissioner shall reserve from the amount appropriated
under section 100(b)(1) for allotment under this section a sum,
determined under paragraph (2), to carry out the purposes of part
C.
‘‘(2) The sum referred to in paragraph (1) shall be, as deter-
mined by the Secretary—
‘‘(A) not less than three-quarters of 1 percent and not
more than 1.5 percent of the amount referred to in paragraph
(1), for fiscal year 1999; and
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‘‘(B) not less than 1 percent and not more than 1.5 percent
of the amount referred to in paragraph (1), for each of fiscal
years 2000 through 2003.
‘‘SEC. 111. PAYMENTS TO STATES.
‘‘(a)(1) Except as provided in paragraph (2), from each State’s
allotment under this part for any fiscal year, the Commissioner
shall pay to a State an amount equal to the Federal share of
the cost of vocational rehabilitation services under the plan for
that State approved under section 101, including expenditures for
the administration of the State plan.
‘‘(2)(A) The total of payments under paragraph (1) to a State
for a fiscal year may not exceed its allotment under subsection
(a) of section 110 for such year.
‘‘(B) For fiscal year 1994 and each fiscal year thereafter, 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 expendi-
tures for the second fiscal year preceding the previous fiscal year.
‘‘(C) The Commissioner may waive or modify any requirement
or limitation under subparagraph (B) or section 101(a)(17) if the
Commissioner determines that a waiver or modification is an equi-
table response to exceptional or uncontrollable circumstances affect-
ing the State.
‘‘(3)(A) Except as provided in subparagraph (B), the amount
of a payment under this section with respect to any construction
project in any State shall be equal to the same percentage of
the cost of such project as the Federal share that is applicable
in the case of rehabilitation facilities (as defined in section 645(g)
of the Public Health Service Act (42 U.S.C. 291o(a))), in such
State.
‘‘(B) If the Federal share with respect to rehabilitation facilities
in such State is determined pursuant to section 645(b)(2) of such
Act (42 U.S.C. 291o(b)(2)), the percentage of the cost for purposes
of this section shall be determined in accordance with regulations
prescribed by the Commissioner designed to achieve as nearly as
practicable results comparable to the results obtained under such
section.
‘‘(b) The method of computing and paying amounts pursuant
to subsection (a) shall be as follows:
‘‘(1) The Commissioner shall, prior to the beginning of
each calendar quarter or other period prescribed 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 informa-
tion furnished by it, and such other investigation as the
Commissioner may find necessary.
‘‘(2) The Commissioner shall pay, from the allotment avail-
able therefor, the amount so estimated by the Commissioner
for such period, reduced or increased, as the case may be,
by any sum (not previously 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 period under such
subsection. Such payment shall be made prior to audit or
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settlement by the General Accounting Office, shall be made
through the disbursing facilities of the Treasury Department,
and shall be made in such installments as the Commissioner
may determine.
‘‘SEC. 112. CLIENT ASSISTANCE PROGRAM.
‘‘(a) From funds appropriated under subsection (h), the Sec-
retary shall, in accordance with this section, 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 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 individuals 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
respect 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 program which—
‘‘(1) has the authority to pursue legal, administrative, and
other appropriate remedies to ensure the protection of rights
of individuals with disabilities who are receiving treatments,
services, or rehabilitation under this Act within the State;
and
‘‘(2) meets the requirements of designation under sub-
section (c).
‘‘(c)(1)(A) The Governor shall designate a public or private
agency to conduct the client assistance program under this section.
Except as provided in the last sentence of this subparagraph, the
Governor shall designate an agency 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 Rehabilita-
tion Amendments of 1984, served as a client assistance agency
under this section and which received Federal financial assistance
under this Act, the Governor may, in the initial designation, des-
ignate an agency which provides treatment, services, or rehabilita-
tion 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, including specifica-
tion of the good cause for such redesignation and an opportunity
to respond to the assertion that good cause has been shown;
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‘‘(II) individuals with disabilities or the individuals’ rep-
resentatives have timely notice of the redesignation and oppor-
tunity for public comment; and
‘‘(III) the agency has the opportunity to appeal to the
Commissioner on the basis that the redesignation was not
for good cause.
‘‘(ii) If, after the date of enactment of the Rehabilitation 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 one or more new State agencies or departments
or results in the merger of the designated State agency with
one or more other State agencies or departments; and
‘‘(II) an agency (including an office or other unit) within
the designated State agency was conducting a client assistance
program before the change under the last sentence of subpara-
graph (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, services, 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 vocational rehabilitation
agency, the head of the developmental disability protection and
advocacy agency, and with representatives of professional and con-
sumer 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 appropriated for
each fiscal year under this section among the States on the basis
of relative population of each State, except that no State shall
receive less than $50,000.
‘‘(B) The Secretary shall allot $30,000 each to American Samoa,
Guam, the Virgin Islands, and the Commonwealth 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 allotment shall be
$100,000 for States and $45,000 for territories.
‘‘(ii) For any fiscal year in which the total amount appropriated
under subsection (h) exceeds the total amount appropriated under
such subsection for the preceding fiscal year, the Secretary shall
increase each of the minimum allotments under clause (i) by a
percentage that shall not exceed the percentage increase in the
total amount appropriated 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