Rehabilitation Act Amendments of 1986
PL 99-506 (H.R.4021), enacted 10/21/1986

PUBLIC LAW 99-506—OCT. 21, 1986 
100 STAT. 1807 
Public Law 99-506 
99th Congress 
An Act 
Oct. 21, 1986 
To extend and improve the Rehabilitation Act of 1973. 
[H.R. 4021] 
Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled, 
Rehabilitation 
Act 
SECTION 1. SHORT TITLE; TABLE OF CONTENTS. 
Amendments of 
(a) SHORT TITLE.—This Act may be cited as the "Rehabilitation 
in^T^.o/-. am ^ 
Act Amendments of 1986". 
^9 USC 701 note. 
(b) TABLE OF CONTENTS.—The table of contents is as follows: 
TABLE OF CONTENTS 
TITLE I-AMENDMENTS TO THE GENERAL PROVISIONS 
Sec. 101. Statement of purpose. 
Sec. 102. Rehabilitation Services Administration. 
Sec. 103. Definitions. 
Sec. 104. Monitoring, evaluation, and administration. 
Sec. 105. Reports. 
Sec. 106. Evaluation. 
Sec. 107. Transfer of funds. 
Sec. 108. State administration. 
Sec. 109. Review of applications. 
TITLE II—VOCATIONAL REHABILITATION SERVICES 
Sec. 201. Authorization of appropriations. 
Sec. 202. State plans. 
Sec. 203. Individualized rehabilitation program. 
Sec. 204. Scope of vocational rehabilitation services. 
Sec. 205. Non-Federal share for construction. 
Sec. 206. State allotments. 
Sec. 207. Funds for American Indian vocational rehabilitation services. 
Sec. 208. Payments to States; maintenance of effort. 
Sec. 209. Client assistance program. 
Sec. 210. Payments to States. 
Sec. 211. American Indian vocational rehabilitation services grants. 
Sec. 212. Study of needs of American Indians with handicaps. 
TITLE III—RESEARCH AND TRAINING 
Sec. 301. Authorization of appropriations. 
Sec. 302. Redesignation of national institute. 
Sec. 303. National Institute on Disability and Rehabilitation Research. 
Sec. 304. Composition of Interagency committee. 
Sec. 305. Research. 
TITLE IV—SUPPLEMENTARY SERVICES AND FACILITIES 
Sec. 401. Grants for construction of rehabilitation facilities. 
Sec. 402. Vocational training services for individuals with handicaps. 
Sec. 403. Training. 
Sec. 404. Comprehensive rehabilitation centers. 
Sec. 405. Sp)ecial projects and supplementary services; reauthorization. 
Sec. 406. Special demonstration programs. 
Sec. 407. Special recreational programs. 
TITLE V—NATIONAL COUNCIL ON THE HANDICAPPED 
Sec. 501. Purpose of the Council. 
Sec. 502. Duties of National Council. 
Sec. 503. Staff. 
Sec. 504. Reauthorization. 
100 STAT. 1808 
PUBLIC LAW 99-506—OCT. 21, 1986 
TITLE VI—ARCHITECTURAL AND TRANSPORTATION BARRIERS 
COMPLIANCE BOARD 
Sec. 60L Architectural and Transportation Barriers Compliance Board. 
Sec. 602. Interagency Coordinating Council. 
Sec. 603. Electronic equipment accessibility. 
TITLE VII-EMPLOYMENT OPPORTUNITIES FOR INDIVIDUALS WITH 
HANDICAPS 
Sec. 701. Equitable distribution of assistance. 
Sec. 702. Reauthorization of part A of title VI. 
Sec. 703. Projects with industry. 
Sec. 704. Projects with industry reauthorization. 
Sec. 705. Supported employment opportunities for individuals with severe handi-
caps. 
TITLE VIII—SERVICES FOR INDEPENDENT LIVING 
Sec. 801. Eligibility for comprehensive services. 
Sec. 802. State plan assurance. 
Sec. 803. State independent living council. 
Sec. 804. Grants for centers for independent living. 
Sec. 805. Evaluation and review of independent living centers. 
Sec. 806. Reauthorization for title VII. 
TITLE IX—AMENDMENTS TO OTHER LAWS 
Sec. 901. Reauthorization of Helen Keller National Center Act. 
Sec. 902. President's Committee on Employment of the Handicapped. 
TITLE X—TECHNICAL AND MISCELLANEOUS PROVISIONS 
Sec. 1001. Use of gender neutral terminology in Act. 
Sec. 1002. Technical and conforming amendments. 
Sec. 1003. Civil rights remedies equalization. 
Sec. 1004. Cost rate report of secretary. 
Sec. 1005. Maintenance of effort. 
Sec. 1006. Effective Date. 
TITLE I—AMENDMENTS TO THE GENERAL PROVISIONS 
29 u s e 701. 
SEC. lOL STATEMENT OF PURPOSE. 
Section 2 of the Rehabilitation Act of 1973 (hereinafter referred to 
£is the "Act") is amended by inserting immediately before the period 
at the end thereof a comma and "for individuals with handicaps in 
order to maximize their employability, independence, and integra-
tion into the workplace and the community". 
29 use 702. 
SEC. 102. REHABILITATION SERVICES ADMINISTRATION. 
(a) QuAUFiCATiON OF COMMISSIONER.—Scction 3 of the Act is 
amended by inserting after the second sentence the following new 
sentence: "The Commissioner shall be an individual with substan-
tial experience in rehabilitation and in rehabilitation program 
management.". 
(b) STAFFING.—Section 3 of the Act is amended by adding at the 
end thereof the following new subsection: 
"(c) The Secretary shall take such action as necessary to ensure 
that— 
"(1) the staffing of the Rehabilitation Services Administration 
shall be in sufficient numbers to meet program needs and at 
levels which will attract and maintain the most qualified 
personnel; and 
PUBLIC LAW 99-506—OCT. 21, 1986 
100 STAT. 1809 
"(2) such staff includes individuals who have training and 
experience in the provision of rehabilitation services and that 
staff competencies meet professional standards.". 
SEC. 103. DEFINITIONS. 
29 USC 706. 
(a) EVALUATION OF REHABILITATION POTENTIAL.—Paragraph (5) of 
section 7 of the Act is amended— 
(1) by inserting "recreational," in subparagraph (B) after 
"cultural, social,"; 
(2) by inserting "employability" after "individual's" the 
second time it appears; 
(3) by striking out "and" at the end of subparagraph (F); 
(4) by striking out the period at the end of subparagraph (G) 
and inserting in lieu thereof a semicolon and "and"; and 
(5) by adding at the end thereof the following new 
subparagraph: 
"(H) where appropriate, the provision of rehabilitation 
engineering services to any individual with a handicap to assess 
and develop the individual's capacities to perform adequately in 
a work environment.". 
(b) EMPLOYABILITY.—Section 7 of the Act is amended by re-
designating paragraphs (6) through (10) as paragraphs (7) through 
(11), respectively, and by inserting after paragraph (5) the following 
new paragraph: 
"(6) The term 'employability', with respect to an individual, means 
a determination that, with the provision of vocational rehabilitation 
services, the individual is likely to enter or retain, as a primary 
objective, full-time employment, and when appropriate, part-time 
employment, consistent with the capacities or abilities of the 
individual in the competitive labor market or any other vocational 
outcome the Secretary may determine consistent with this Act.". 
(c) FEDERAL SHARE.— 
(1) Effective October 1, 1988, section 7(7) of the Act (as redesig- 
Effective date, 
nated by subsection (b)) is amended to read as follows: 
"(7XA) Subject to subparagraphs (B) and (C), the term 'Federal 
share' means 80 percent. 
"(B) For any fiscal year for which payments to a State under 
section 111(a) exceed such payments for fiscal year 1988, the 29 USC 731. 
Federal share for those payments in excess of the fiscal year 
1988 amount shall be 79 percent for fiscal year 1989, 78 percent 
for fiscal year 1990, 77 percent for fiscal year 1991, 76 percent 
for fiscal year 1992, and 75 percent for fiscal year 1993. 
"(C) The term 'Federal share' means 90 percent for the pur-
poses of part C of title I of this Act and as specifically set forth 
29 USC 740. 
in section 301(b)(3), except that with respect to payments pursu- 
29 USC 771. 
ant to part B of title I of this Act to any State which are used to 
29 USC 730. 
meet the costs of construction of those rehabilitation facilities 
identified in section 103(b)(2) in such State, the Federal share 
29 USC 723. 
shall be the percentages determined in accordance with the 
provisions of section 3010t))(3) applicable with respect to the 
State. 
"(D) For the purpose of determining the non-Federal share 
State and local 
with respect to a State, expenditures by a political subdivision 
governments. 
thereof or by a local agency shall be regarded as expenditures 
by such State, subject to such limitations and conditions as the 
Secretary shall by regulation prescribe.". 
71-194 0 - 89 - 36 : QL. 3 Part2 
100 STAT. 1810 
PUBLIC LAW 99-506—OCT. 21, 1986 
Effective date. 
29 u s e 730. 
29 u s e 706. 
Indians. 
(2) Effective October 1, 1988, section 110(bX2) of the Act is 
amended by striking out "80 percent" both places it appears 
and inserting in lieu thereof "the applicable Federal share". 
(d) HANDICAPPED INDIVIDUAL.— 
(1) Section 7(8) of the Act (as redesignated by subsection (b)) is 
amended by striking out "handicapped individual" both places 
it appears and inserting in lieu thereof "individual with handi-
caps' ; and 
(2) The Act is amended— 
(A) by striking out "a handicapped individual" each place 
it appears and inserting in lieu thereof "an individual with 
handicaps"; 
(B) by striking out "handicapped individual" each place it 
appears and inserting in lieu thereof "individual with 
handicaps"; and 
(C) by striking out "handicapped individuals" each place 
it appears and inserting in lieu thereof "individuals with 
handicaps". 
(e) LOCAL AGENCY.—Section 7(9) of the Act (as redesignated by 
subsection (b)) is amended in the first sentence by striking out 
"Indian tribal organization (or combination of such units or 
organizations)" and inserting "Indian tribe (or combination of such 
units or tribes)". 
(f) REHABIUTATION ENGINEERING.—Section 7 of the Act is further 
amended by redesignating paragraphs (11), (12), and (13) as para-
graphs (13), (14), and (15), respectively, and by inserting before 
paragraph (13) (as redesignated) the following new paragraph: 
"(12) The term 'rehabilitation engineering' means the systematic 
application of technologies, engineering methodologies, or scientific 
principles to meet the needs of and address the barriers confronted 
by individuals with handicaps in areas which include education, 
rehabilitation, employment, transportation, independent living, and 
recreation.". 
(g) REHABIUTATION FACILITY.—Paragraph (13) of section 7 of the 
Act (as redesignated by subsection (f) of this section) is amended— 
(1) by striking out "and" at the end of subparagraph (K); 
(2) by striking out the period at the end of subparagraph (L) 
and inserting in lieu thereof a comma and "and"; and 
(3) by adding at the end thereof "(M) psychosocial rehabilita-
tion services for individuals with chronic mental illness.". 
(h) SEVERE HANDICAP.— 
(1) Paragraph (15) of section 7 of the Act (as redesignated by 
subsection (c)) is amended to read as follows: 
"(15XA) Except as provided in subparagraph (B), for purposes 
of this Act the term 'individual with severe handicaps' means 
an individual with handicaps (as defined in paragraph (8))— 
"(i) who has a severe physical or mental disability which 
seriously limits one or more functional capacities (such as 
mobility, communication, self-care, self-direction, inter-
personal skills, work tolerance, or work skills) in terms of 
employability; 
"(ii) whose vocational rehabilitation can be expected to 
require multiple vocational rehabilitation services over an 
extended period of time; and 
"(iii) who has one or more physical or mental disabilities 
resulting from amputation, arthritis, autism, blindness, 
burn injury, cancer, cerebral palsy, cystic fibrosis, deafness. 
PUBLIC LAW 99-506—OCT. 21, 1986 
100 STAT. 1811 
head injury, heart disease, hemiplegia, hemophilia, res-
piratory or pulmonary dysfunction, mental retardation, 
mental illness, multiple sclerosis, muscular dystrophy, 
musculo-skeletal disorders, neurological disorders (includ-
ing stroke and epilepsy), paraplegia, quadriplegia, and 
other spinal cord conditions, sickle cell anemia, specific 
learning disability, end-stage renal disease, or another 
disability or combination of disabilities determined on the 
basis of an evaluation of rehabilitation potential to cause 
comparable substantial functional limitation. 
"(B) For purposes of title VII of this Act the term 'individual 
29 USC 796. 
with severe handicaps' means an individual whose ability to 
function independently in family or community or whose ability 
to engage or continue in employment is so limited by the 
severity of his or her physical or mental disability that 
independent living rehabilitation services are required in 
order to achieve a greater level of independence in functioning 
in family or community or engaging or continuing in 
employment.". 
(2) The Act is amended by striking out "severely handicapped 
individuals" each place it appears and inserting in lieu thereof 
"individuals with severe handicaps". 
(i) SUPPORTED EMPLOYMENT.—Section 7 of the Act is further 
29 use 706. 
amended— 
(1) by redesignating paragraphs (14) and (15) as paragraphs 
(16) and (17), respectively; and 
(2) by adding at the end thereof the following new paragraph: 
"(18) The term 'supported employment' means competitive work 
in integrated work settings— 
"(A) for individuals with severe handicaps for whom competi-
tive employment has not traditionally occurred, or 
"(B) for individuals for whom competitive employment has 
been interrupted or intermittent as a result of a severe disabil-
ity, and 
who, because of their handicap, need on-going support services to 
perform such work. Such term includes transitional employment for 
individuals with chronic mental illness. For the purpose of this Act, 
supported employment as defined in this paragraph may be consid-
ered an acceptable outcome for employability.". 
(j) INDIAN.—Section 7 of the Act is further amended by inserting 
at the end thereof the following new paragraphs: 
"(19) The term 'public or nonprofit agency or organization' shall 
include an Indian tribe. 
"(20) The terms 'Indian', 'American Indian', and 'Indian Amer-
ican' mean an individual who is a member of an Indian tribe. 
"(21) The term 'Indian tribe' means any Federal or State Indian 
tribe, band, rancheria, pueblo, colony, or community, including any 
Alaskan native village or regional village corporation (as defined in 
or established pursuant to the Alaska Native Claims Settlement 
Act).". 
43 USC 1601 
note. 
SEC. 104. MONITORING, EVALUATION, AND ADMINISTRATION. 
29 USC 711. 
(a) MONITORING AND EVALUATION.—Section 12(a) of the Act 
is 
amended by striking out paragraph (5) and inserting in lieu thereof 
the following new paragraph: 
"(5) provide monitoring and conduct evaluations.". 
100 STAT. 1812 
PUBLIC LAW 99-506—OCT. 21, 1986 
29 use 711. 
(b) INFORMATION TASK FORCE.—Section 12(b) of the Act is 
amended— 
(1) by inserting "(1)" after the subsection designation; and 
(2) by adding at the end thereof the following new paragraph: 
"(2) In carrying out the provisions of this Act, the Commissioner 
shall appoint such task forces as may be necessary to collect and 
disseminate information in order to improve the ability of the 
Commissioner to carry out the provisions of this Act.". 
SEC. 105. REPORTS. 
29 use 712. 
Section 13 of the Act is amended— 
(1) in the first sentence by striking out "for transmittal" and 
inserting in lieu thereof "and"; 
(2) by striking out the period at the end of the first sentence 
and inserting in lieu thereof ", including the activities and 
staffing of the information clearinghouse under section 15."; 
and 
(3) by inserting at the end thereof "The annual report shall 
include an evaluation of the status of individuals with severe 
handicaps participating in programs under this Act.". 
SEC. 106. EVALUATION. 
(a) EVALUATION GENERAL RULE.—The first sentence of section 
29 use 713. 
14(a) of the Act is amended to read as follows: "For the purpose of 
improving program management and effectiveness, the Commis-
sioner shall evaluate all the programs authorized by this Act, their 
general effectiveness in relation to their cost, their impact on re-
lated programs, and their structure and mechanisms for delivery of 
services, using appropriate methodology and evaluative research 
designs.". 
(b) REPORT OF THE COMMISSIONER.—Section 14(c) of the Act is 
amended by inserting "including the standards used for such 
evaluations," after "effectiveness,". 
(c) USE OF STANDARDS,—Section 14 of the Act is amended by 
striking out "Secretary" each time it appears and inserting in lieu 
thereof "Commissioner''. 
SEC. 107. TRANSFER OF FUNDS. 
Section 16 of the Act is amended to read as follows: 
"TRANSFER OF FUNDS 
29 u s e 715. 
Contracts 
"SEC. 16. (a) Except as provided in subsection (b) of this section, no 
Sf T
?
o
?
^ ni n 
funds appropriated under this Act for any research program or 
activity may be used for any purpose other than that for which the 
funds were specifically authorized. 
"(b) No more than one-half of 1 percent of funds appropriated for 
discretionary grants, contracts, or cooperative agreements au-
thorized by this Act may be used for the purpose of providing non-
Federal panels of experts to review applications for such grants, 
contracts, or cooperative agreements.". 
SEC. 108. STATE ADMINISTRATION. 
(a) STATE ADMINISTRATION.—The Act is amended by inserting 
after section 16 the following new section: 
PUBLIC LAW 99-506—OCT. 21, 1986 
100 STAT. 1813 
"STATE ADMINISTRATION 
"SEC. 17. The application of any State rule or policy relating to the 
29 USC 716. 
administration or operation of programs funded by this Act (includ-
ing any rule or policy based on State interpretation of any Federal 
law, regulation, or guideline) shall be identified as a State imposed 
requirement.". 
(b) CONFORMING AMENDMENT.—The table of contents of the Act is 
amended by inserting after the item relating to section 16 the 
following: 
"Sec. 17. State administration.". 
SEC. 109. REVIP:W OF APPLICATIONS. 
(a) REVIEW AUTHORIZED.—The Act is amended by inserting after 
section 17 (as added by section 108) the following new section: 
"REVIEW OF APPLICATIONS 
"SEC. 18. Applications for grants or contracts in excess of $60,000 
Grants, 
in the aggregate authorized to be funded under this Act other than 
^^\^^^rj 
grants or contracts for evaluations, dissemination, or conferences 
shall be reviewed by panels of experts which shall include a major-
ity of non-Federal members. Non-Federal members may be provided 
travel, per diem, and consultant fees not to exceed the rate provided 
for grade GS-18 of the General Schedule under section 5332 of title 
5, United States Code.". 
(b) CONFORMING AMENDMENT.—The table of contents of the Act is 
amended by inserting after the item relating to section 16 the 
following: 
"Sec. 18. Review of applications.". 
TITLE II—VOCATIONAL REHABILITATION SERVICES 
SEC. 201. AUTHORIZATION OF APPROPRIATIONS. 
(a) STATE GRANT AUTHORIZATION.—Section 100(b)(1) of the Act is 
29 USC 720. 
amended to read as follows— 
"(b)(1)(A) For the purpose of making grants to States under part B 
of this title (other than grants under section 112) to assist States in 
29 USC 732. 
meeting the costs of vocational rehabilitation services provided in 
accordance with State plans under section 101, there is authorized to 
29 USC 721. 
be appropriated $1,281,000,000 for fiscal year 1987 and the amount 
determined under subsection (c) for each of the fiscal years 1988, 
1989, 1990, and 1991. The amount determined under subsection (c) 
for each fiscal year shall be based upon the amount authorized by 
this subsection, or the amount appropriated for this subsection, 
whichever is higher, plus the amount of the Consumer Price Index 
addition determined under subsection (c) for the immediately 
preceding fiscal year. 
"(B) In addition, there are authorized to be appropriated for such 
purpose such additional sums as may be necessary for each of the 
fiscal years 1987 through 1991. Any such sums shall be allocated in 
accordance with section 110(a)(4). 
29 USC 730. 
"(C) In no event may the amount appropriated for the purpose of 
making grants to States under part B of this title (other than section 
112) be more than $1,281,000,000 for fiscal year 1987, $1,409,100,000 
100 STAT. 1814 
PUBLIC LAW 99-506—OCT. 21, 1986 
for fiscal year 1988, $1,550,010,000 for fiscal year 1989, $1,705,011,000 
for fiscal year 1990, and $1,875,512,100 for fiscal year 1991.". 
(b) INNOVATION AND EXPANSION GRANTS AUTHORIZATION.—Section 
29 use 720. 
100(b)(2) of the Act is amended to read as follows: 
29 use 740. 
"(2) For the purpose of allotments under section 120(a)(1), there 
are authorized to be appropriated such sums as may be necessary for 
each of the fiscal years 1987, 1988, 1989, 1990, and 1991.". 
(c) CONFORMING AMENDMENT.—Section 100(d) of the Act is 
amended by striking out "1986" and inserting "1991". 
SEC. 202. STATE PLANS. 
(a) ASSESSMENT OF REHABILITATION NEEDS.— 
29 use 721. 
(1) Section 101(a)(5)(A) of the Act is amended— 
(A) by inserting "the results of a comprehensive, State-
wide assessment of the rehabilitation needs of individuals 
with severe handicaps residing within the State and the 
State's response to the assessment," after "including"; 
(B) by inserting after "severe handicaps" the first time it 
appears, the following: "including individuals served under 
Post, p. 1834. 
part C of title VI of this Act,"; 
(C) by striking out "show (i)" and inserting in lieu thereof 
"(i) show and provide the justification for"; and 
(D) by inserting "show" after "(ii)". 
(2) Section 101(a)(5) of the Act is amended— 
(A) by striking out "and" at the end of subclause (A); 
(B) by inserting "and" at the end of subclause (B); and 
(C) by adding at the end thereof the following new subclause: 
"(C) describe how rehabilitation engineering services will be 
provided to assist an increasing number of individuals with 
handicaps;". 
(b) PERSONNEL.—Section 101(a)(7)(B) of the Act is amended by 
inserting "qualified" after "facilities and". 
(c) PROVISION OF SERVICES.—Section 101(a)(8) of the Act is 
amended to read as follows: 
"(8) provide, at a minimum, for the provision of the vocational 
rehabilitation services specified in clauses (1) through (3) and 
29 use 723. 
clause (12) of section 103(a), and for the provision of such other 
services as are specified under such section after a determina-
tion that comparable services and benefits are not available 
under any other program, except that such determinations shall 
not be required where it would delay the provision of such 
services to any individual at extreme medical risk;". 
(d) COOPERATIVE ARRANGEMENTS.—Section 101(a)(ll) of the Act is 
amended by inserting "community mental health programs," after 
"veterans programs,". 
(e) NEEDS ASSESSMENT.—Section 101(a)(15) of the Act is amended— 
(1) by striking out "(including" and inserting in lieu thereof 
", including conducting a full needs assessment for serving 
individuals with severe handicaps and including"; and 
(2) by striking out "agency)" and inserting in lieu thereof 
"agency". 
(f) CONSULTATION WITH INDIAN TRIBES.—Section 101(a)(20) of the 
Act is amended by inserting "as appropriate, the State shall actively 
consult with Indian tribes and tribal organizations and native 
Hawaiian organizations in the development of the State plan, and 
that," after "Commissioner that,". 
PUBLIC LAW 99-506—OCT. 21, 1986 
100 STAT. 1815 
(g) PuBuc MEETINGS; TRANSITION.—Section 101(a) of the Act is 
29 USC 721. 
amended— 
(1) in 
paragraph 
(21) by striking 
out "and" 
after 
"organizations;"; 
(2) in paragraph (22) by striking out the period and inserting 
in lieu thereof a semicolon; and 
(3) by inserting at the end thereof the following new 
paragraphs: 
"(23XA) provide satisfactory assurances that in the formula-
tion of policies governing the provision of the rehabilitation 
services consistent with the State plan, and any revisions, that 
the State agency conducts public meetings throughout the 
State, after appropriate and sufficient notice, to allow interested 
groups and organizations and all segments of the public an 
opportunity to comment on the State plan, and (B) include a 
summary of such comments and the State agency's response to 
such comments; 
"(24) contain the plans, policies, and methods to be followed to 
assist in the transition from education to employment related 
activities.", 
(h) SUPPORTED EMPLOYMENT SERVICES.—Section 101(a) of the Act 
(as amended by subsection (g))— 
(1) by striking out the period at the end of clause (24) and 
inserting in lieu thereof a semicolon and the word "and"; and 
(2) by adding at the end thereof the following new clause: 
"(25) provide satisfactory assurances that the State has an 
acceptable plan for part C of title VL". 
Post, p. 1834. 
SEC. 203. INDIVIDUALIZED REHABILITATION PROGRAM. 
(a) INDIVIDUAUZED WRITTEN REHABILITATION PROGRAM.—Section 
102(b) of the Act is amended to read as follows: 
29 USC 722. 
"(bXl) Each individualized written rehabilitation program shall— 
"(A) be developed on the basis of a determination of employ-
ability designed to achieve the vocational objective of the 
individual; 
"(B) include a statement of the long-range rehabilitation goals 
based on an assessment determined through an evaluation of 
rehabilitation potential for the individual; 
"(C) include a statement of the intermediate rehabilitation 
objectives related to the attainment of such goals based on an 
assessment determined through an evaluation of rehabilitation 
potential; 
"(D) where appropriate, include a statement of the specific 
rehabilitation engineering services to be provided to assist in 
the implementation of intermediate objectives and long-range 
rehabilitation goals for the individual; 
"(E) include an assessment of the expected need for post-
employment services; 
"(F) include a statement of the specific vocational rehabilita-
tion services to be provided and the projected dates for the 
initiation and the anticipated duration of each such service; 
"(G) include objective criteria and an evaluation procedure 
and schedule for determining whether such goals and objectives 
are being achieved; 
"(H) provide for a reassessment of the need for post-employ-
ment services prior to case closure and, where appropriate, for 
severely handicapped individuals, the development of a state-
100 STAT. 1816 
PUBLIC LAW 99-506—OCT. 21, 1986 
ment detailing how such services shall be provided or arranged 
through cooperative agreements with other service providers; 
and 
"(I) provide a description of the availability of a client assist-
29 use 732. 
ance project established in such area pursuant to section 112. 
"(2) Each individualized written rehabilitation program shall be 
reviewed annually at which time such individual (or in appropriate 
cases, the parents or guardian of the individual) will be afforded an 
opportunity to review such program and jointly redevelop and agree 
to its terms. Each individualized written rehabilitation program 
shall be revised as needed.". 
29 use 722. 
(b) REVIEW OF DETERMINATIONS.—Section 102(d) of the 
Act 
is 
amended to read as follows: 
State and local 
"(d)(1) Except as provided in paragraph (4), the Director of any 
governments. 
designated State unit shall establish procedures for the review of 
determinations made by the rehabilitation counselor or coordinator 
under this section, upon the request of an individual with handicaps 
(or, in appropriate cases, such individual's parents or guardian). 
"(2) Such review procedures shall provide an opportunity to such 
individuals for the submission of additional evidence and informa-
tion to an impartial hearing officer who shall make a decision based 
Ante, p. 1814. 
on the provisions of the State plan approved under section 101(a). 
"(3)(A) Within 20 days of the mailing of the decision to the 
individual with handicaps (or, in appropriate cases, such individual's 
parents or guardian), the Director shall notify such individuals of 
the intent to review such decision in whole or in part. 
"(B) If the Director decides to review the decision, such individuals 
shall be provided an opportunity for the submission of additional 
evidence and information relevant to a final decision. 
Reports. 
"(C) A final decision shall be made in writing by the Director and 
shall include a full report of the findings and the grounds for such 
decision. When a final decision is made, a copy of such decision shall 
be provided to such individuals. 
"(D) Except as provided in paragraph (4), the Director may not 
delegate responsibility to make any such final decision to any other 
officer or employee of the designated State unit. 
State and local 
"(4)(A) A fair hearing board, established by a State before 
governments. 
January 1, 1985, and authorized under State law to review deter-
minations under this Act, is authorized to carry out the responsibil-
ities of the Director under this subsection. 
"(B) The provisions of paragraphs (1) through (3) of this subsection 
shall not apply to any State to which subparagraph (A) of this 
paragraph applies.". 
Reports. 
"(5)(A) The Director shall collect data described in subparagraph 
(B) and prepare and submit to the Commissioner a report containing 
such data. For the report submitted on or before February 1, 1988, 
the Commissioner shall prepare a summary of the information 
furnished under this paragraph and include the summary in the 
Ante, p. 1812. 
annual report submitted under section 13. 
"(B) The data required to be collected under this paragraph shall 
include— 
"(Da description of State procedures for review; 
"(2) the number of appeals to the independent hearing officer 
and the State Director, including the type of complaint and the 
issues involved; 
PUBLIC LAW 99-506—OCT. 21, 1986 
100 STAT. 1817 
"(3) the number of decisions by the State Director reversing in 
whole or in part the decision of the impartial hearing officer; 
and 
"(4) the number of decisions affirming the position of the 
individual with handicaps assisted through the client assistance 
program.". 
SEC. 204. SCOPE OF VOCATIONAL REHABILITATION SERVICES. 
29 USC 723. 
(a) REHABILITATION TECHNOLOGY.—Section 103(aXl) of the Act is 
amended by inserting "evaluation by personnel skilled in rehabilita-
tion engineering technology," after "appropriate,". 
(b) PosTEMPLOYMENT SERVICES.—Section 103(a)(2) of the Act is 
amended by striking out "other postemployment services necessary 
to assist such individuals to maintain their employment and" and 
insert in lieu thereof "specific postemployment services necessary to 
assist such individuals maintain or regain employment, and other". 
(c) REHABILITATION ENGINEERING SERVICES.—Section 103(a) of the 
Act is amended— 
(1) by striking out "and" at the end of clause (10); 
(2) by striking out the period at the end of clause (11) and 
inserting in lieu thereof a semicolon and "and"; and 
(3) by adding at the end thereof the following new clause: 
"(12) rehabilitation engineering services.". 
SEC. 205. NON-FEDERAL SHARE FOR CONSTRUCTION. 
Section 104 of the Act is amended by striking out "title," and 
29 USC 724. 
inserting in lieu thereof "title (or to an Indian tribe under part D of 
this title),". 
SEC. 206. STATE ALLOTMENTS. 
(a) ADDITIONAL PAYMENTS.—Section 110(b)(2) of the Act is 
29 USC 730. 
amended— 
(1) by striking out ", as a result of the maintenance of effort 
provisions of such section,"; and 
(2) by inserting "for fiscal year 1972" after "of such State". 
(b) REALLOTMENT.—Section 110(c) of the Act is amended to read as 
follows: 
"(c)(1) Not later than forty-five 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 established 
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 
29 USC 731. 
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 carry-
ing out the purposes of this title to one or more other States to the 
extent the Commissioner determines that such other State will be 
able to use such additional amount during that fiscal year or to pay 
for initial expenditures during the subsequent fiscal year for carry-
ing out such purposes. 
"(3) For the purposes of this part, any amount made available to a 
State for any fiscal year pursuant to this subsection shall be re-
garded as an increase of such State's allotment (as determined 
under the preceding provisions of this section) for such year.". 
100 STAT. 1818 
PUBLIC LAW 99-506—OCT. 21, 1986 
29 u s e 730. 
SEC. 207. FUNDS FOR AMERICAN INDIAN VOCATIONAL REHABILITATION 
SERVICES. 
;.s.; '-.^r >,-„ -J -;• v-:u:> 
Section 110 of the Act is amended— 
(1) in subsection (a)(1) by striking out "For" and inserting in 
lieu thereof "Subject to the provisions of subsection (d), for"; 
and 
p, 
(2) by inserting after subsection (c) the following subsection: 
"(d)(1) For fiscal year 1987 and for each subsequent fiscal year, the 
Commissioner shall reserve from the amount appropriated under 
Ante, p. 1813. 
section 100(b)(1) for allotment under this section a sum, determined 
under paragraph (2), to carry out the purposes of part D of this title. 
"(2) For any fiscal year the sum shall be not less than Vi of one 
percent and not more than one percent of the amount under para-
graph (1), as determined by the Secretary.". 
SEC. 208. PAYMENTS TO STATES; MAINTENANCE OF EFFORT. 
29 use 731. 
Section 111(a) of the Act is amended to read as follows: 
"SEC. 111. (a)(1) Except as provided in paragraph (2), from each 
State's allotment under this part for any fiscal year (including any 
additional payment to it under section 110(b)), 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 
Ante, p. 1814. 
approved under section 101, including expenditures for the adminis-
tration 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) (and 
any additional payment under subsection (b)), of section 110 for such 
year and such payments shall not be made in an amount which 
would result in a violation of the provisions of the State plan 
required by section 101(a)(17). 
"(B) The amount otherwise payable to a State for a fiscal year 
'•" "'•-''- 
under this section shall be reduced by any amount by which 
expenditures from non-Federal sources under the State plan during 
such year under this title are less than the average of the total of 
such expenditures for the three preceding fiscal years. 
"(C) The Commissioner may waive or modify any requirement or 
limitation under paragraphs (A) and (B) if the Commissioner deter-
mines that a waiver or modification is an equitable response to 
exceptional or uncontrollable circumstances affecting the State.". 
29 u s e 732. 
SEC. 209. CLIENT ASSISTANCE PROGRAM. 
(a) INFORMATION ON AVAILABLE SERVICES.—Section 112(a) of the 
Act is amended by adding at the end thereof the following new 
V 
sentence: "The client assistance program may provide information 
on the available services under this Act to any handicapped individ-
uals in the State.". 
O
t
>
) REDESIGNATION OF CLIENT ASSISTANCE AGENCY.— 
(1) The last sentence of section 112(c)(1) of the Act is amended 
by inserting after "may" a comma and the following: "in the 
initial designation,". 
(2) Section 112(c)(1) of the Act is amended— 
(A) by inserting "(A)" after the paragraph designation; and 
(B) by adding at the end thereof the following new paragraph: 
"(B) The Governor may not redesignate the agency designated 
under subparagraph (A) without good cause and only after notice 
and an opportunity for public comment has been given of the 
intention to make such redesignation.". 
PUBLIC LAW 99-506—OCT. 21, 1986 
100 STAT. 1819 
(c) PAYMENT OF ALLOTMENT.—Section 112(eX3) of the Act is 29USC732. 
amended to read as follows: 
"(3) Except as specifically prohibited by or as otherwise provided 
in State law, the Secretary shall pay to the agency designated under 
subsection (c) the amount specified in the application approved 
under subsection (f).". 
(d) ALLOTMENT.—Paragraph (1) of section 112(e) of the Act is 
amended by inserting at the end thereof the following new 
subparagraph: 
"(DXi) In any fiscal year that the funds appropriated for such 
fiscal year exceed $7,500,000, the minimum allotment shall be 
$75,000 for States and $45,000 for territories. 
"(ii) Subject to subsection (c), the Commissioner may increase the 
minimum allotment under subparagraph (A) for any fiscal year for 
which funds appropriated under this section for such fiscal year 
exceed the sums appropriated under this section for the preceding 
fiscal year by more than the percentage increase in the Consumer 
Price Index published monthly by the Bureau of Labor Statistics.". 
(e) EMPLOYEE PROVISION.—Paragraph (1) of section 112(g) of the 
Act is amended by striking out ", or receive benefits of any kind 
directly or indirectly from". 
(f) AUTHORIZATION OF APPROPRIATIONS.—Section 112(i) of the Act is 
amended to read as follows: 
"(i) There are authorized to be appropriated $7,100,000 for fiscal 
year 1987, $7,550,000 for fiscal year 1988, $8,000,000 for fiscal year 
1989, $8,450,000 for fiscal year 1990, and $8,796,000 for fiscal year 
1991 to carry out the provisions of this section.". 
SEC. 210. PAYMENTS TO STATES. 
29 USC 741. 
Section 121(b) of the Act is amended in the first sentence by 
striking out "the fiscal year ending September 30, 1986." and insert-
ing in lieu thereof "fiscal year 1991.". 
SEC. 211. AMERICAN INDIAN VOCATIONAL REHABILITATION SERVICES 
29 USC 750. 
GRANTS. 
(a) GRANTS.—Section 130(a) of the Act is amended to read as 
follows: 
"SEC. 130. (a) The Commissioner, in accordance with the provi- State and local 
sions of this part may make grants to the governing bodies of Indian 
governments. 
tribes located on Federal and State reservations (and consortia of 
such governing bodies) to pay 90 percent of the costs of vocational 
rehabilitation services for handicapped American Indians residing 
on such reservations. The non-Federal share of such costs may be in 
cash or in kind, fairly valued, and the Commissioner may waive 
such non-Federal share requirement in order to carry out the 
purposes of this Act.". 
flb) APPUCATION.—Section 130(b) of the Act is amended— 
(1) in paragraph (IXB) by inserting immediately before the 
semicolon "and that, where appropriate, may include services 
traditionally used by Indisui tribes"; 
(2) in paragraph (3) after "months" by inserting "or more 
than 36 months,'; and 
(3) by inserting after paragraph (3) the following new 
paragraphs: 
"(4) In making grants under this part, the Secretary shall give 
priority consideration to applications for the continuation of 
prc^rams which have been funded under this part. 
100 STAT. 1820 
PUBLIC LAW 99-506—OCT. 21, 1986 
"(5) Nothing in this section may be construed to authorize a 
separate service delivery system for Indian residents of a State 
who reside in non-reservation areas.". 
29 use 750. 
(c) ALLOTMENT.—Section 130 of the Act is amended by striking out 
all of subsection (c) and by redesignating subsection (d) as subsection 
(c). 
SEC. 212. STUDY OF NEEDS OF AMERICAN INDIANS WITH HANDICAPS. 
(a) STUDY OF NEEDS OF AMERICAN INDIANS WITH HANDICAPS.—Part 
D of title I of the Act is amended by inserting at the end thereof the 
following new section: 
"STUDY OF NEEDS OF AMERICAN INDIANS WITH HANDICAPS 
29 use 752. 
"SEC. 132. The Secretary shall conduct a study on the special 
problems and needs of Indians with handicaps both on and off the 
reservation, in consultation with the Director of the Office of Special 
Education and Rehabilitative Services, the Director of the National 
Institute on Disability and Rehabilitation Research, the Assistant 
Secretary of the Interior for Indian Affairs, the Director of Indian 
Health Services, representatives of affected Indian tribes and tribal 
groups, and other appropriate officials, organizations, and individ-
uals. The study shall also evaluate the nature and extent of coopera-
tive efforts among programs conducted under this Act. Not later 
than 12 months after the date of enactment of the Rehabilitation 
Act Amendments of 1986, the Secretary shall submit the results of 
such study, together with such recommendations as are appropriate, 
to the President and to the appropriate committees of the 
Congress.". 
(b) CONFORMING AMENDMENT.—The table of contents of the Act is 
amended by inserting after the item relating to section 131 the 
following: 
"Sec. 132. Study of needs of handicapped American Indians.". 
TITLE III—RESEARCH AND TRAINING 
29 u s e 761. 
SEC. 301. AUTHORIZATION OF APPROPRIATIONS. 
Section 201(a) of the Act is amended to read as follows: 
"SEC. 201. (a) There are authorized to be appropriated— 
"(1) for the purpose of providing for the expenses of the 
National Institute on Disability and Rehabilitation Research 
Infra; post, p. 
under section 202, other than expenses to carry out section 204, 
1822. 
such sums as may be necessary for fiscal year 1987 and for each 
succeeding fiscal year ending prior to October 1, 1991; and 
"(2) $49,000,000 for fiscal year 1987, $52,000,000 for fiscal year 
1988, $55,000,000 for fiscal year 1989, $58,000,000 for fiscal year 
1990, and $60,378,500 for fiscal year 1991 for the purpose of 
carrying out section 204, of which $1,000,000 shall be available 
for fiscal year 1987, $1,050,000 for fiscal year 1988, $1,102,500 for 
fiscal year 1989, $1,160,000 for fiscal year 1990, and $1,208,000 
for fiscal year 1991 for the purpose of carrying out the last 
sentence of section 204a))(2)(C).". 
29 u s e 761a. 
SEC. 302. REDESIGNATION OF NATIONAL INSTITUTE. 
(a) REDESIGNATION.—Section 202 of the Act is amended by re-
designating the "National Institute of Handicapped Research" as 
the "National Institute on Disability and Rehabilitation Research". 
PUBLIC LAW 99-506—OCT. 21, 1986 
100 STAT. 1821 
(b) REFERENCES.—The Act is amended by striking out "National 
29 USC 76la 
Institute of Handicapped Research" each place it appears in the Act note, 
(including the table of contents) and inserting in lieu thereof "Na-
tional Institute on Disability and Rehabilitation Research". Any 
reference in any other provision of law to the "National Institute of 
Handicapped Research" shall be considered to be a reference to the 
"National Institute on Disability and Rehabilitation Research". 
SEC. 303. NATIONAL INSTITUTE ON DISABILITY AND REHABILITATION 
29 USC 761a. 
RESEARCH. 
(a) AMERICAN INDIAN SERVICES.—Section 202(b) of the Act is 
amended— 
(1) in paragraph (2) by inserting "tribal," after "State,"; and 
(2) in paragraph (8) by inserting "the Bureau of Indian 
Affairs, the Indian Health Service," after "Administration,". 
(b) PACIFIC BASIN REHABILITATION CENTER.—Section 202(j)(2) of the 
Act is amended— 
(1) by inserting immediately before the period the following: 
"in order to improve services to individuals with handicaps 
through relevant rehabilitation research and training in the 
Pacific Basin and to assist in the coordination of rehabilitation 
services provided by a broad range of agencies and entities; and 
(2) by adding at the end thereof the following: "Such Center 
shall (A) develop a sound demographic base, (B) analyze, 
develop, and utilize appropriate technology, (C) develop a cul-
turally relevant rehabilitation manpower development pro-
gram, and (D) facilitate interagency communication and 
cooperation, implementing advanced information technology.". 
(c) RURAL REHABILITATION CENTER.—Section 202(j) of the Act is 
amended by inserting at the end thereof the following new 
paragraph: 
"(3) The Director shall establish, directly or by grant or contract, a Contracts, 
center associated with an institution of higher education, for re- Grants, 
search and training concerning the delivery of rehabilitation serv-
ices to rural areas.". 
(d) GRANTS FOR TRAINING.—Section 202 of the Act is amended by 
inserting after subsection (j) the following subsection: 
"(k) The Director shall make grants to institutions of higher 
education for the training of researchers in the field of rehabilita-
tion of individuals with handicaps.". 
(e) REPORT TO CONGRESS.—Section 202 of the Act is amended by 
inserting after subsection (k) the following new subsection: 
"(1) The Director shall submit to the Congress, not later than one 
year after the date of the enactment of the Rehabilitation Act 
Amendments of 1986, policy recommendations for the establishment 
by the Congress of an agency designed to ensure (1) the development 
and cost-effective production and marketing of technological devices; 
and (2) the efficient distribution of such technology to individuals 
with handicaps. Such recommendations shall specifically evaluate 
the feasibility of the chartering by Congress of a private organiza-
tion or the establishment of a joint public-private corporation to 
provide marketing and production-related services to the public and 
private sectors. The policy recommendation shall include suggested 
funding alternatives for an organization or agency and such other 
suggestions as the Director or the Committee on Handicapped Re-
search may consider appropriate. Further such recommendations 
shall consider any potential conflicts of interest in the evaluation 
100 STAT. 1822 
PUBLIC LAW 99-506—OCT. 21, 1986 
29 u s e 761a. 
Reports. 
29 u s e 761b. 
29 u s e 762. 
Indians. 
Rural areas. 
Urban areas. 
Handicapped 
persons. 
and marketing of new products for use by individuals with handi-
caps. In developing such policy recommendations, the Director shall 
solicit the views of the Interagency Committee on Handicapped 
Research and shall submit any dissenting views offered by any 
member of that Committee together with the submission of policy 
recommendations.''. 
(f) STUDY OF HEALTH INSURANCE PRACTICES.—Section 202 of the 
Act is amended by inserting after subsection (1) the following 
subsection: 
"(m) The Director shall conduct a study of health insurance 
practices and policies which affect individuals with handicaps. Not 
later than February 1, 1990, the Director shall submit a report of the 
study to the appropriate committees of the Congress.". 
SEC. 304. COMPOSITION OF INTERAGENCY COMMITTEE. 
Section 203(a)(1) of the Act is amended— 
(1) by inserting "the Director of the National Institute of 
Mental Health," after "Institutes of Health,"; and 
(2) by inserting "the Assistant Secretary of the Interior for 
Indian Affairs, the Director of the Indian Health Service," after 
"Transportation,". 
SEC. 305. RESEARCH. 
(a) RESEARCH ACTIVITIES.—Section 204(a) of the Act is amended in 
the first sentence by inserting "Indian tribes, and tribal organiza-
tions," after "education,". 
O
t
>
) GENERAL AUTHORITY.—Section 204(a) of the Act is amended in 
the second sentence— 
(1) by inserting "recreational," after "vocational, social,"; and 
(2) by inserting "studies, analyses, and other activities related 
to supported employment;" after "special needs of handicapped 
individuals;". 
(c) SPECIALIZED RESEARCH ACTIVITIES.—(1) Section 204(b) of the Act 
is amended— 
(A) in the second sentence of paragraph (1) by striking out 
"Center," and inserting in lieu thereof "Center (and as appro-
priate shall include consideration of rural issues),"; 
(B) by adding at the end of paragraph (1) the following: "The 
peer review of all applications for the renewal of a Rehabilita-
tion Research and Training Center grant shall take into ac-
count the past performance of the applicant in carrying out the 
grant. The host institution with which the Rehabilitation Re-
search and Training Center is affiliated may not collect in 
excess of 15 percent in indirect cost charges. Beginning with 
fiscal year 1991, awards under clause (C) of this paragraph shall 
be made on a competitive basis.". 
(2) Section 204(b)(2) of the Act is amended— 
(A) by inserting "and disseminate" after "develop" in clause 
(A); 
(B) by striking out "and to (B)" and inserting in lieu thereof 
"(B) demonstrate and disseminate innovative models for the 
delivery to rural and urban areas of cost-effective rehabilitation 
engineering services that promote utilization of engineering and 
other scientific research to assist in meeting the employment 
and independent living needs of individuals with severe handi-
caps, to (C)"; and 
PUBLIC LAW 99-506—OCT. 21, 1986 
100 STAT. 1823 
(C) by striking out the period at the end thereof and inserting 
in lieu thereof a comma and the following: "and to (D) dem-
onstrate and disseminate innovative models for the delivery of 
cost-effective rehabilitation engineering services to assist in 
meeting the needs of, and addressing the barriers confronted by, 
individuals with handicaps. In fiscal year 1987, at least two such 
Rehabilitation Engineering Centers shall be established. One 
grant to provide demonstrations pursuant to clause (D) of this 
paragraph shall be made to an agency or organization in the 
State of South Carolina and one such grant shall be made to an 
agency or organization in the State of Connecticut.". 
(3) Section 204(,b)(3) of the Act is amended by inserting at the end 
thereof: "In the award of grants under this paragraph the Director 
shall take into account the location of any proposed Center and the 
appropriate geographic and regional allocation of such Centers.". 
(4) Section 204(b)(7) of the Act is amended by inserting "the 
National Institute of Mental Health," after "Institutes of Health,". 
(5) Section 204(b)(8) of the Act is amended by inserting before the 
period ", except that research concerning handicapped Indian 
Americans shall include those 55 and older". 
(6) Section 204(b)(ll) of the Act is amended by striking out all that 
follows "(B)" and inserting in lieu thereof "such physical therapy, 
language development, pediatric, nursing, psychological, and psy-
chiatric services as are necessary for such children; and (C) appro-
priate services for the parents of such children, 
including 
psychological and psychiatric services, parent counseling, and 
training.". 
(c) ADDITIONAL RESEARCH ACTIVITIES.—Section 204(b) of the Act 
is amended by adding at the end thereof the following new 
paragraphs: 
"(14) Conduct of studies of the rehabilitation needs of Amer-
ican Indian populations and of effective mechanisms for the 
delivery of rehabilitation services to Indians residing on and off 
reservations.". 
"(15) Conduct of a demonstration program under which one or 
more projects national in scope shall be established to develop 
procedures to provide incentives for the development, manufac-
turing, and marketing of orphan technological devices designed 
to enable individuals with handicaps to achieve independence 
and access to gainful employment.". 
(d) SPECIAL RULE.—Section 204 of the Act is amended by adding at 
the end thereof the following new subsection: 
"(d)(1) In carrying out evaluations of research demonstration and 
related projects 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 which 
exceeds $299,999 unless the peer review of the grant application has 
included a site visit.". 
Grants. 
South Carolina. 
C!onnecticut. 
29 u s e 762. 
Indians. 
Indians. 
TITLE IV—SUPPLEMENTARY SERVICES AND FACILITIES 
SEC. 401. GRANTS FOR CONSTRUCTION OF REHABILITATION FACILITIES. 
29 USC 771. 
Section 301(a) of the Act is amended— 
100 STAT. 1824 
PUBLIC LAW 99-506—OCT. 21, 1986 
> 
(1) in the first sentence by striking out "fiscal year ending 
before October 1, 1986." and inserting in lieu thereof "of the 
fiscal years 1987, 1988, 1989, 1990, and 1991."; and 
(2) in the second sentence by striking out "October 1, 1987." 
and inserting in lieu thereof "October 1,1992.". 
SEC. 402. VOCATIONAL TRAINING SERVICES FOR INDIVIDUALS WITH 
HANDICAPS. 
29 use 772. 
(a) AUTHORIZATION OF APPROPRIATIONS.—Section 302(a) of the Act 
is amended by striking out "fiscal year ending before October 1, 
1986." and inserting in lieu thereof "of the fiscal years 1987, 1988, 
1989,1990. and 1991.". 
(b) INCLUSION OF SUPPORTED EMPLOYMENT.—Section 30203X3XA) of 
the Act is amended by inserting before the semicolon ", including 
supported employment". 
SEC. 403. TRAINING. 
29 use 774. 
(a) TRAINING OF QUAUFIED PERSONNEL.—Section 304(a) of the Act 
is amended— 
(1) in the first sentence— 
(A) by redesignating paragraphs (2) and (3) as paragraphs 
(3) and (4), respectively; and 
(B) by inserting after paragraph (1)—"(2) personnel 
specifically trained to identify, assess, and meet the individ-
ual rehabilitation needs of individuals with severe handi-
caps,"; and 
Grants. 
(2) by inserting after the first sentence—"Recipients of grants 
Contracts. 
Q^ contracts under this section shall give due regard to the 
training of individuals with handicaps as part of the effort to 
increase the number of qualified personnel available to provide 
rehabilitation services.". 
flb) TARGETING.—The first sentence of section 304(b) of the Act is 
amended— 
(1) by inserting before "rehabilitation medicine" the follow-
ing: "rehabilitation engineering,"; 
(2) by inserting "rehabilitation dentistry," after "rehabilita-
tion psychology,"; 
(3) by inserting "physical education, therapeutic recreation," 
after "speech pathology and audiology,"; and 
(4) by inserting "specialized personnel in providing employ-
ment training for supported employment, other specialized 
personnel for those individuals who meet the definition of 
severely handicapped," after "job placement services for handi-
capped individuals,". 
(c) LENGTH OF GRANT.—Section 304(b) of the Act is amended— 
(1) by designating the first sentence as paragraph (1); and 
(2) by striking out the last sentence and inserting in lieu 
y 
thereof the following: 
"(2XA) Except as provided in subparagraph (B), no grant 
under this section may be used to provide any one course of 
study to an individual for a period of more than 4 years. 
"(B) If the grant recipient determines that an individual has a 
^- 
handicap which seriously affects the completion of training 
under this section, the grant recipient may modify the limita-
tion under subp£u-agraph (A).". 
PUBLIC LAW 99-506—OCT. 21, 1986 
100 STAT. 1825 
(d) SCHOLARSHIP REQUIREMENTS.—Section 304(b) of the Act is 
amended by inserting at the end thereof the following new 
paragraph: 
"(3)(A) A recipient of a grant of contract under this section shall 
provide assurances that each individual who receives a scholarship 
from funds provided under such grant or contract shall enter into an 
agreement with the recipient under which the individual shall— 
"(i) within the ten-year period after completing the training 
for which the scholarship was awarded, maintain employment 
in a nonprofit rehabilitation or related agency, or in a State 
rehabilitation agency, on a full-time basis for a period of not less 
than two years for each year for which assistance was received; 
and 
"(ii) repay all or part of any scholarship received, plus in-
terest, if the individual does not fulfill the requirements of 
clause (i), 
except as the Commissioner by regulation may provide for repay-
ment exceptions and deferrals. 
"(B) The Commissioner shall be responsible for the enforcement of 
each agreement entered into under subparagraph (A) upon comple-
tion of training under such subparagraph.". 
(e) TECHNICAL ASSISTANCE.—Section 304 is amended—-
(1) by redesignating subsection (e) as subsection (f); and 
(2) by inserting after subsection (d) the following new 
subsection: 
"(e)(1) The Commissioner is authorized to provide technical assist-
ance to State rehabilitation agencies and rehabilitation facilities, 
directly or through contracts with State vocational rehabilitation 
agencies or nonprofit organizations. 
"(2) An expert or consultant appointed or serving under contract 
pursuant to this section shall be compensated at a rate subject to 
approval of the Commissioner which shall not exceed the daily rate 
payable for grade GS-18 of the General Schedule under section 5332 
of title 5, United States Code. Such an expert or consultant may be 
allowed travel and transportation expenses in accordance with sec-
tion 5703 of title 5, United States Code.". 
(f) AUTHORIZATION OF APPROPRIATIONS.—Section 304(e) of the Act 
is amended by striking out "$22,000,000 for the fiscal year 1984, 
$27,000,000 for the fiscal year 1985, and $31,000,000 for the fiscal 
year 1986" and inserting in lieu thereof "$31,000,000 for the fiscal 
year 1987, $33,000,000 for the fiscal year 1988, $35,000,000 for the 
fiscal year 1989, $37,000,000 for the fiscal year 1990, and $38,517,000 
for fiscal year 1991.". 
SEC. 404. COMPREHENSIVE REHABILITATION CENTERS. 
Section 305(g) of the Act is amended to read as follows: 
"(g) There are authorized to be appropriated to carry out this 
section such sums as may be necessary for each of the fiscal years 
1987,1988,1989,1990, and 1991.". 
29 u s e 774. 
Grants. 
Contracts. 
State and local 
governments. 
State and local 
governments. 
29 u s e 775. 
SEC. 405. SPECIAL 
PROJECTS 
REAUTHORIZATION. 
AND 
SUPPLEMENTARY 
SERVICES; 
29 USC 777. 
Section 310(a) of the Act is amended— 
(1) by striking out "section 316" and inserting in lieu thereof 
"sections 311(d), 311(e), and 316"; and 
(2) by striking out "$12,900,000 for the fiscal year 1984, 
$13,600,000 for the fiscal year 1985, and $14,300,000 for the 
Post, pp. 1826, 
1827. 
100 STAT. 1826 
PUBLIC LAW 99-506—OCT. 21, 1986 
Indians. 
Grants. 
State and local 
governments. 
fiscal year 1986" and inserting in lieu thereof the following: 
"$15,860,000 for fiscal year 1987, $16,790,000 for fiscal year 1988, 
$17,800,000 for fiscal year 1989, $18,900,000 for fiscal year 1990, 
and $19,675,000 for fiscal year 1991". 
29 u s e 777a. 
SEC. 406. SPECIAL DEMONSTRATION PROGRAMS. 
(a) NEEDS OF ISOLATED POPULATIONS OF INDIVIDUALS WITH HANDI-
CAPS.—Section 311(a) of the Act is amended— 
(1) in paragraph (2) by striking out "and" after the semicolon; 
(2) in paragraph (3) by striking out the period and inserting in 
lieu thereof "; and"; and 
(3) by inserting after paragraph (3) the following new 
paragraph: 
"(4) operating programs to meet the special needs of isolated 
populations of individuals with handicaps, particularly among 
American Indians residing on or outside of reservations.". 
(b) SPECIAL DEMONSTRATION PROGRAMS FOR SUPPORTED EMPLOY-
MENT AND 
TRANSITIONAL EMPLOYMENT SERVICES FOR SEVERELY 
HANDICAPPED YOUTH.—Section 311 of the Act is amended by insert-
ing at the end thereof the following new subsections: 
"(dXlXA) The Commissioner may make grants to public and non-
profit rehabilitation facilities, designated State units, and other 
public and private agencies and organizations for the cost of develop-
ing special projects and demonstrations providing supported 
employment. 
"(B) Not less than one such grant shall be nationwide in scope. 
The grant shall (i) identify community-based models that can be 
replicated, (ii) identify impediments to the development of supported 
emplojmient programs (including funding and cost considerations), 
and (iii) develop a mechanism to explore the use of existing commu-
nity-based rehabilitation facilities as well as other community-based 
programs. 
"(2XA) The Commissioner may make grants to public agencies and 
nonprofit private organizations for the cost of providing technical 
Post, p. 1834. 
assistance to States in implementing part C of title VI of this Act. 
"(B) Not less than one such grant shall be nationwide in scope. 
Each eligible applicant must have experience in training and provi-
sion of supported emplo3mient services. 
Reports. 
"(3XA) On June 1, 1988, and on each subsequent June 1, the 
Commissioner shall submit a report to the Congress on activities 
assisted under paragraph (1) for the preceding fiscal year v/hich 
includes— 
"(i) a list of the grants awarded under this subsection; 
"(ii) the number of individuals with severe handicaps served 
by each grant recipient, the average cost to provide support 
services to each such individual, and the average wage paid to 
each such individual; and 
"(iii) the recommendations of the projects under paragraph 
(IXB). 
"(B) Each such report shall also include activities assisted under 
paragraph (2) for the preceding fiscal year, including (i) a list of the 
grants awarded under paragraph (2), (ii) the nature of technical 
assistance activities undertaken, and (iii) recommended areas where 
additional technical assistance is necessary. 
"(4) There are authorized to be appropriated to carry out the 
provisions of this subsection $9,000,000 for the fiscal year 1987, 
$9,520,000 for the fiscal year 1988, $10,000,000 for the fiscal year 
PUBLIC LAW 99-506—OCT. 21, 1986 
100 STAT. 1827 
1989, $10,690,000 for the fiscal year 1990, and $11,128,000 for the 
fiscal year 1991. 
"(e)(1) The Commissioner, subject to the provisions of section 306, 
shall make grants in accordance with the provisions of this subsec-
tion for the purpose of developing, expanding, and disseminating 
model statewide transitional planning services for severely handi-
capped youth. In order to facilitate similar model transitional pro-
grams, each grantee under this subsection shall— 
"(A) collect data documenting the effectiveness of the project, 
including data on the outcome of the individuals served; and 
"(B) disseminate the information to other States. 
"(2) No grant may be made under this subsection unless an 
application is submitted to the Commissioner at such time, in such 
form, and in accordance with such procedures as the Commissioner 
may require. 
"(3)(A) One grant under this subsection shall be made to a public 
agency in a predominantly urban State in New England for an 
existing model statewide transitional planning services program. 
"(B) The application for the grant specified in subparagraph (A) 
shall— 
"(i) provide assurances that a single office or agency of the 
State has responsibility for managing the referral process as-
signed under the model program for which assistance is sought; 
"(ii) provide assurances that the schools involved, in consulta-
tion with families, initiate a referral at least two years prior to 
the anticipated date on which each such student will finish 
courses of study at the school; 
"(iii) provide assurances that individualized transition plans 
will be developed by the schools and adult providers working 
cooperatively; 
"(iv) provide assurances that case management responsibil-
ities, together with appropriate tracking of each case designed 
to report on the progress of the handicapped individual, will be 
part of the responsibility of the office or agency designed under 
clause (i); and 
"(v) contain such other gissurances as the Commissioner may 
reasonably require. 
"(4)(A)(i) A second grant authorized by this subsection shall be 
made to a public agency in a predominantly rural western State. 
"(ii) A third grant authorized by this subsection shall be made to a 
public agency or nonprofit private organization in a predominantly 
rural southwestern State. 
"(B) Each application for a grant submitted pursuant to subpara-
graph (A) of this paragraph shall describe model transitional 
planning services for both severely and mildly handicapped youth 
designed to develop procedures, strategies, and techniques which 
may be replicated successfully in other rural States. 
"(5) There are authorized to be appropriated $450,000 for fiscal 
year 1987, $475,830 for fiscal year 1988, $504,427 for fiscal year 1989, 
$535,550 for fiscal year 1990, and $557,000 for fiscal year 1991 to 
carry out the provisions of this subsection.". 
SEC. 407. SPECIAL RECREATIONAL PROGRAMS. 
Section 316 of the Act is amended to read as follows: 
"SEC. 316. (a)(1) The Commissioner, subject to the provisions of 
section 306, shall make grants to States, public agencies, and non-
profit private organizations for paying part or all of the cost of 
29 u s e 776. 
Grants. 
State and local 
governments. 
Handicapped 
persons. 
Urban areas. 
Rural areas. 
Grants. 
29 u s e 777f. 
State and local 
governments. 
29 u s e 776. 
100 STAT. 1828 
PUBLIC LAW 99-506—OCT. 21, 1986 
initiation of recreation programs to provide handicapped individuals 
with recreational activities and related experiences to aid in the 
mobility, socialization, independence, and community integration of 
such individuals. The programs authorized to be assisted under this 
section may include, but are not limited to, leisure education, leisure 
networking, leisure resource development, physical education and 
sports, scouting and camping, 4-H activities, music, dancing, handi-
crafts, art, and homemaking. Whenever possible and appropriate, 
such programs and activities should be provided in settings with 
nonhandicapped peers. Programs and activities under this section 
shall be designed to demonstrate ways in which such programs 
assist in maximizing the independence and integration of individ-
uals with handicaps. 
"(2) Each such grant shall be made for a minimum of a three-year 
period. 
"(3) No grant may be made under this section unless the agree-
ment with respect to such grant contains provisions to assure that, 
to the extent possible, existing resources will be used to carry out 
the activities for which the grant is to be made, and that with 
respect to children the activities for which the grant is to be made 
will be conducted before or after school. 
"(b) There are authorized to be appropriated $2,330,000 for fiscal 
year 1987, $2,470,000 for fiscal year 1988, $2,620,000 for fiscal year 
1989, $2,780,000 for fiscal year 1990, and $2,894,000 for fiscal year 
1991 to carry out this section.". 
TITLE V—NATIONAL COUNCIL ON THE HANDICAPPED 
SEC. 501. PURPOSE OF THE COUNCIL. 
29 use 780. 
Section 400(a) of the Act is amended— 
(1) by inserting "(1)" after the subsection designation; and 
(2) by adding at the end thereof the following new paragraph: 
"(2) The purpose of the National Council is to promote the full 
integration, independence, and productivity of handicapped individ-
uals in the community, schools, the workplace and all other aspects 
of American life.". 
SEC. 502. DUTIES OF NATIONAL COUNCIL. 
29 use 781. 
(a) DUTIES.— 
(1) Section 401(a)(4) of the Act is amended to read as follows: 
"(4) review and evaluate on a continuing basis— 
"(A) all policies, programs, and activities concerning 
handicapped individuals and persons with disabilities con-
ducted or assisted by Federal departments and agencies, 
including programs established or assisted under this Act 
or under the Developmental Disabilities Assistance and Bill 
of Rights Act; and 
"(B) all statutes pertaining to Federal programs which 
assisted such handicapped individuals and persons with 
disabilities; 
in order to assess the effectiveness of such policies, programs, 
activities, and statutes in meeting the needs of handicapped 
individuals and persons with disabilities;". 
(2) Section 401(a) of the Act is amended— 
PUBLIC LAW 99-506—OCT. 21, 1986 
100 STAT. 1829 
(A) by redesignating clauses (5), (6), and (7), as clauses (6), (7), 
and (8), respectively, and 
(B) by inserting after clause (4) the following: 
"(5) assess the extent to which such policies, programs, and 
activities provide incentives or disincentives to the establish-
ment of community-based services for handicapped individuals, 
promote the full integration of such individuals in the commu-
nity, in schools, and in the workplace, and contribute to the 
independence and dignity of such individuals;". 
(3) Section 401(a)(8) of the Act (as redesignated by paragraph 
29 USC 781. 
(2)) is 
amended 
by 
inserting 
"legislative 
proposals" 
after 
"recommendations". 
(b) ADDITIONAL DUTIES.—Section 401(b) of the Act is amended to 
read as follows: 
"(b)(1) Not later than January 30, 1988, and annually thereafter, 
Reports. 
the National Council shall issue a report to the President and the 
Congress on the progress that has been made in implementing the 
recommendation contained in the Council's January 30, 1986, report 
Toward Independence. 
"(2) The reports issued pursuant to paragraph (1) shall present, as 
appropriate, available data on health, housing, employment, insur-
ance, transportation, recreation, and education, and shall include 
appropriate information on the current status and trends in the 
status of individuals with disabilities.". 
SEC. 503. STAFF. 
29 USC 783. 
Section 403(b) of the Act is amended by striking out paragraph (4). 
SEC. 504. REAUTHORIZATION. 
29 USC 785. 
Section 405 of the Act is amended by inserting before the period at 
the end thereof the following: "for each of the fiscal years 1987, 
1988,1989, 1990, and 1991". 
TITLE VI—ARCHITECTURAL AND TRANSPORTATION 
BARRIERS COMPLIANCE BOARD 
SEC. 601. ARCHITECTURAL AND TRANSPORTATION BARRIERS COMPLI- 
29 USC 792. 
ANCE BOARD. 
(a) MEMBERSHIP AND QUORUM REQUIREMENTS.—Section 502(a) of 
the Act is amended— 
(1) in paragraph (1)(B) by striking out "The President" and all 
that follows through the end of such paragraph and inserting in 
lieu thereof "The Chairperson and vice-chairperson of the 
Board shall be elected by majority vote of the members of the 
Board to serve for terms of one year. When the chairperson is a 
member of the general public, the vice-chairperson shall be a 
Federal official; and when the chairperson is a Federal official, 
the vice-chairperson shall be a member of the general public. 
Upon the expiration of the term as chairperson of a member 
who is a Federal official, the subsequent chairperson shall be a 
member of the general public; and vice versa."; 
(2) in paragraph (1)(A)— 
(A) by striking out "Eleven" and inserting in lieu thereof 
"Twelve"; and 
100 STAT. 1830 
PUBLIC LAW 99-506—OCT. 21, 1986 
(B) by striking out "five" and inserting in lieu thereof 
"six"; 
(3) in paragraph (2) by striking out "and (ii)" and all that 
follows through the end of such paragraph and inserting in lieu 
thereof "(ii) a member whose term has expired may continue to 
serve until a successor has been appointed, and (iii) a member 
appointed to fill a vacancy shall serve for the remainder of the 
term to which that member's predecessor was appointed."; and 
(4) by inserting after paragraph (5) the following paragraph: 
"(6)(A) The Board shall establish such bylaws and other rules 
as may be appropriate to enable the Board to carry out its 
functions under this Act. 
"(B) The bylaws shall include quorum requirements. The 
quorum requirements shall provide that (i) a proxy may not be 
counted for purposes of establishing a quorum, and (ii) not less 
than half the members required for a quorum shall be members 
of the general public appointed under paragraph (1)(A).". 
29 use 792. 
(b) SPECIAL REPORTS.—Section 502(g) of the Act is amended by 
adding at the end thereof the following: "The Board shall prepare 
and submit two additional reports of its activities under subsection 
(c) of this section, one report on its activities in the field of transpor-
tation barriers of handicapped individuals and the other report on 
its activities in the field of the housing needs of handicapped 
individuals. The two additional reports required by the previous 
sentence shall be submitted not later than February 1, 1988.". 
(c) AUTHORIZATIONS.—Section 502(i) of the Act is amended by 
striking out "fiscal year ending before October 1, 1986," and insert-
ing in lieu thereof "of the fiscal years 1987, 1988, 1989, 1990, and 
1991,". 
29 u s e 794c. 
SEC. 602. INTERAGENCY COORDINATING COUNCIL. 
The first sentence of section 507 of the Act is amended by insert-
ing "the Assistant Secretary of the Interior for Indian Affairs," after 
"Labor,". 
SEC. 603. ELECTRONIC EQUIPMENT ACCESSIBILITY. 
(a) ELECTRONIC EQUIPMENT ACCESSIBILITY.—Title V of the Act 
is 
amended by inserting after section 507 the following new section: 
"ELECTRONIC EQUIPMENT ACCESSIBILITY 
29 use 794d. 
"SEC. 508. (a)(1) The Secretary, through the National Institute on 
Disability and Rehabilitation Research and the Administrator of the 
General Services, in consultation with the electronics industry, shall 
develop and establish guidelines for electronic equipment accessibil-
ity designed to insure that handicapped individuals may use elec-
tronic office equipment with or without special peripherals. 
"(2) The guidelines established pursuant to paragraph (1) shall be 
applicable with respect to electronic equipment, whether purchased 
or leased. 
"(3) The initial guidelines shall be established not later than 
October 1, 1987, and shall be periodically revised as technologies 
advance or change. 
"(b) Beginning after September 30, 1988, the Administrator of 
General Services shall adopt guidelines for electronic equipment 
accessibility established under subsection (a) for Federal procure-
PUBLIC LAW 99-506—OCT. 21, 1986 
100 STAT. 1831 
ment of electronic equipment. Each agency shall comply with the 
guidelines adopted under this subsection. 
"(c) For the purpose of this section, the term 'special peripherals' 
means a special needs aid that provides access to electronic equip-
ment that is otherwise inaccessible to a handicapped individual.". 
(b) CONFORMING AMENDMENT.—The table of contents of the Act is 
amended by inserting after item "Sec. 507." the following new item: 
"Sec. 508. Electronic equipment accessibility.". 
TITLE VII—EMPLOYMENT OPPORTUNITIES FOR 
INDIVIDUALS WITH HANDICAPS 
SEC. 701. EQUITABLE DISTRIBUTION OF ASSISTANCE. 
(a) EQUITABLE DISTRIBUTION.—Section 615(a)(1) of the Act is 
Indians. 
amended in the second sentence by inserting before the period "and 
29 USC 795d. 
the needs of Indian tribes". 
(b) APPORTIONMENT.—Section 615(c)(2) of the Act is amended by 
inserting before the period "(including individuals residing on 
Indian reservations)". 
SEC. 702. REAUTHORIZATION OF PART A OF TITLE VI. 
Section 617 of the Act is amended by striking out "1984, 1985, and 
29 USC 795f. 
1986." and inserting in lieu thereof "1987, 1988, 1989, 1990, and 
1991." 
SEC. 703. PROJECTS WITH INDUSTRY. 
29 USC 795g. 
(a) GENERAL PROVISIONS.— 
(1) Section 621(a) of the Act is amended— 
(A) by redesignating paragraphs (1), (2), and (3) as para-
graphs (2), (3), and (4), respectively; and 
(B) by inserting after the subsection designation the fol-
lowing: "(1) The purpose of this title is to promote 
opportunities for competitive employment of individuals 
with handicaps, to provide appropriate placement re-
sources, to engage the talent and leadership of private 
industry as partners in the rehabilitation process, to create 
practical settings for job readiness and training programs, 
and to secure the participation of private industry in identi-
fying and providing job opportunities and the necessary 
skills and training to qualify people with handicaps for 
competitive employment.". 
(2) Clauses (A), (B), and (C) of section 621(a)(2) of the Act (as 
redesignated by this subsection) are amended to read as follows: 
"(A) shall create and expand job opportunities for individuals 
with handicaps by providing for the establishment of appro-
priate job placement services; 
"(B) shall provide individuals with handicaps with training in 
a realistic work setting in order to prepare them for employ-
ment in the competitive market; 
"(C) shall provide individuals with handicaps with such 
supportive services as may be required to permit them to 
continue to engage in the employment for which they have 
received training under this section; 
100 STAT. 1832 
PUBLIC LAW 99-506—OCT. 21, 1986 
29 use 795g. 
29 use 795g 
note. 
Reports. 
Federal 
Register, 
publication. 
"(D) shall, to the extent appropriate, expand job opportunities 
for individuals with handicaps by providing for (i) the develop-
ment and modification of jobs to accommodate the special needs 
of such individuals, (ii) the distribution of special aids, appli-
ances, or adapted equipment to such individuals, and (iii) the 
modification of any facilities or equipment of the employer 
which are to be used primarily by handicapped individuals; and 
"(E) shall provide for business advisory councils comprised of 
representatives of private industry, business concerns, and orga-
nized labor who will identify job availability within the commu-
nity and the skills necessary to fill jobs identified, and prescribe 
training and programs tailored to their need.". 
(3) Paragraph (4) of section 621(a) of the Act (as redesignated 
by this section) is amended by striking out "each year of a 
funding cycle" and inserting in lieu thereof "each project year". 
(4) The amendment made by paragraph (2), adding clause (E) 
to section 621(aX2) of the Act, shall take effect one year after the 
date of enactment of this Act. 
(b) AGREEMENT.—Section 621(b) of the Act is amended— 
(A) by striking out "and" at the end of paragraph (2); 
(B) By striking out the period at the end of paragraph (3) 
and inserting in lieu thereof "; and"; and 
(C) by inserting after paragraph (3) the following 
paragraph: 
"(4) provides assurance that an evaluation report containing 
data specified under subsection (aX4) shall be submitted as 
determined by the Commissioner."; and 
(c) Section 621(e) of the Act is amended to read as follows: 
"(eXD Subject to the availability of appropriations, an agreement 
for financial assistance under this section may be effective for a 
period not to exceed five years. Any subsequent agreement for 
financial assistance under this section may be effective for not more 
than five years. In making a determination concerning any subse-
quent agreement, the Commissioner shall consider performance 
under the previous agreement and evaluation reports submitted 
under subsection (bX4). 
"(2) The Commissioner shall annually review each evaluation 
report submitted under subsection (bX4) and make a determination 
concerning the termination, modification, or renewal of each agree-
ment for financial assistance under this section.". 
(b) Section 621(b) of the Act is amended— 
(1) by striking out "and" at the end of clause (2); 
(2) by striking out the period at the end of clause (3) and 
inserting in lieu thereof a semicolon and "and"; and 
(3) by inserting after clause (3) the following new clause: 
"(4) provides assurances that an evaluation report containing 
data specified under subsection (aX4) shall be submitted to the 
Commissioner.". 
(c) Section 621(dXl) of the Act is amended by adding at the end 
thereof the following new sentence: "Such standards shall be revised 
as necessary, subject to paragraph (4) of this subsection.". 
(d) TECHNICAL ASSISTANCE; INDICATORS FOR STANDARDS; CONTIN-
UED FUNDING; APPLICATION APPROVAL.—(1) Subsection (0 of section 
621 of the Act are amended to read as follows: 
"(fKD By July 1, 1988, the Commissioner shall publish in the 
Federal Register in final form indicators of what constitutes mini-
PUBLIC LAW 99-506—OCT. 21, 1986 
100 STAT. 1833 
mum compliance consistent with the evaluation standards under 
subsection (d)(1). 
"(2) Each grantee shall report to the Commissioner at the end of 
each project year the extent to which the grantee is in compliance 
with the evaluation standards, beginning with fiscal year 1989. 
"(3) By the end of fiscal year 1991, the Commissioner shall have 
conducted on-site compliance reviews of at least one-third of the 
grantees receiving funding under this part in fiscal year 1987. The 
Commissioner shall conduct on-site compliance reviews of at least 15 
percent of grantees annually in subsequent years. Selection of 
grantees for compliance reviews shall be on a random basis. The 
Commissioner shall use the indicators of the evaluation standards in 
determining compliance. At least one member of an on-site compli-
ance review shall be a non-Federal employee with experience or 
expertise in conducting Projects With Industry. 
"(4) Beginning with the annual report to Congress for fiscal year 
1990 and in subsequent years, the Commissioner shall include an 
analysis of the extent to which grantees have complied with the 
evaluation standards. The Commissioner may identify individual 
grantees in the analysis. In addition, the Commissioner shall report 
the results of on-site compliance reviews, identifying individual 
grantees. 
"(g) The Commissioner may provide, directly or by way of grant or 
contract, technical assistance to (1) entities conducting Projects 
With Industry for the purpose of assisting such entities in the 
improvement of or in the development of relationships with private 
industry or labor, and (2) entities planning the development of new 
Projects With Industry.". 
(2) Section 621 is further amended by adding at the end thereof 
the following new subsections: 
"(h)(1)(A) From sums appropriated for the purposes of this section 
for fiscal year 1990, an amount which is 80 percent of the amount 
appropriated for fiscal year 1989 shall be available only for grantees 
receiving assistance in fiscal year 1989. 
"(B) The Secretary shall ensure that grants are made under 
subparagraph (A) only to Projects With Industry recipients that 
meet the evaluation standards and shall make a determination 
concerning the termination, modification, or renewal of each grant 
on the basis of such evaluation. 
"(2) To the extent funds are available under paragraph (1), the 
Secretary shall award grants to new Projects With Industry recipi-
ents located in unserved geographic areas. Grants to new recipients 
shall be awarded on a competitive basis. 
"(3) For fiscal year 1991 and for any subsequent fiscal year, new 
grant awards shall be made on a competitive basis and shall include 
consideration of past performance, where appropriate. 
"(4)(A) Each grant recipient receiving assistance under this sec-
tion in fiscal year 1986 shall continue to receive assistance through 
September 30, 1987, unless the Commissioner determines that the 
grant recipient is not in compliance with the provisions of the 
approved application of the grant recipient. 
"(B) Grant recipients continuing to receive assistance on the basis 
of the review described in subparagraph (A) of this paragraph shall 
be evaluated by the Commissioner using standards described in 
subsection (d) and (f) of this section. Each such grant recipient shall 
continue to receive assistance for 3 years unless the Commissioner 
determines that the grantee is not substantially in compliance with 
Reports. 
Grants. 
Contracts. 
29 use 795g. 
Grants. 
100 STAT. 1834 
PUBLIC LAW 99-506—OCT. 21, 1986 
such standards and with the provisions of the approved application 
of the grant recipient. 
"(i) In approving appHcations under this section, the Commis-
sioner shall give priority to the geographic areas among the States 
which are currently not served or underserved by Projects With 
Industry.". 
SEC. 704. PROJECTS WITH INDUSTRY REAUTHORIZATION. 
Section 623 of the Act is amended to read as follows: 
29 u s e 795i. 
Grants. 
State and local 
governments. 
29 u s e 795j. 
29 u s e 795k. 
Ante, p. 1809. 
State and local 
governments. 
29 u s e 795Z. 
AUTHORIZATION OF APPROPRIATIONS 
"SEC. 623. There are authorized to be appropriated to carry out 
the provisions of section 621, $16,070,000 for fiscal year 1987, 
$17,010,000 for fiscal year 1988, $18,030,000 for fiscal year 1989, 
$19,149,000 for fiscal year 1990, and $19,925,000 for fiscal year 1991 
and for section 622 such sums as may be necessary for each of the 
fiscal years 1987, 1988, 1989, 1990 and 1991.". 
SEC. 704. SUPPORTED EMPLOYMENT SERVICES FOR INDIVIDUALS WITH 
SEVERE HANDICAPS. 
(a) GENERAL AUTHORIZATION.— 
(1) Title VI of the Act is amended by inserting after part B of 
such title the following new part: 
"PART C—SUPPORTED EMPLOYMENT SERVICES FOR INDIVIDUALS WITH 
SEVERE HANDICAPS 
"PURPOSE 
"SEC. 631. It is the purpose of this part to authorize grants 
(supplementary to grants for vocational rehabilitation services 
under title I) to assist States in developing collaborative programs 
with appropriate public agencies and private nonprofit organiza-
tions for training and traditionally time-limited post-employment 
services leading to supported employment for individuals with 
severe handicaps. 
"ELIGIBILITY 
"SEC. 632. Services may be provided under this part to any 
individual with severe handicaps whose ability or potential to 
engage in a training program and whose ability to engage in a 
supported employment setting has been determined by an evalua-
tion of rehabilitation potential as defined in section 7 of this Act. 
"ALLOTMENTS 
"SEC. 633. (a)(1) 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 $250,000 or one-third of 1 percent of the sums made 
available for the fiscal year for which the allotment is made, 
whichever is greater. 
"(2)(A) For the purposes of this subsection, the term 'States' does 
not include Guam, American Samoa, the Virgin Islands, the Trust 
Territory of the Pacific Islands, and the Commonwealth of the 
Northern Mariana Islands. 
PUBLIC LAW 99-506—OCT. 21, 1986 
100 STAT. 1835 
"(B) The jurisdictions described in subparagraph (A) shall be 
allotted not less than one-eighth of 1 percent of the amounts made 
available for purposes of this subpart for each such clause for the 
fiscal year for which the allotment is made. 
"(b) Whenever the Commissioner determines that any amount of 
an allotment to a State for any fiscal year will not be expended by 
such State to carry out the provisions of this part, the Commissioner 
shall make such amount available for carrying out the provisions of 
this part to one or more of the States which the Commissioner 
determines will be able to use additional amounts during such year 
for carrying out such provisions. Any amount made available to a 
State for any fiscal year pursuant to the preceding sentence shall, 
for the purposes of this section, be regarded as an increase in the 
State's allotment for such year. 
"(c)(1) In the first fiscal year in which appropriations are made 
Grants. 
pursuant to section 638 a State may, in lieu of receiving its allot-
ment under this part, make an application for a planning grant for 
that fiscal year. The Secretary is authorized to approve the appro-
priation of States which meet the requirements of this subsection. 
"(2)(A) The grant made under this subsection shall be used for 
planning activities designed to facilitate the State using its allot-
ment under this part. 
"(B) No grant under this subsection may exceed a period of 18 
months. 
"(3) No planning grant made under this subsection may exceed 
$250,000. 
"STATE PLAN 
"SEC. 634. (a) In order to be eligible for grants under this part, a 
State shall submit to the Commissioner as part of the State plan 
under title I of this Act a State plan supplement for a three-year 
period for providing training and traditionally time-limited post-
employment services leading to supported employment for individ-
uals with severe handicaps. Each State shall make such annual 
revisions in the plan supplement as may be necessary. 
"(b) Each such plan supplement shall— 
"(1) designate each agency of such State designated under 
section 101(a)(2)(B) of this Act as the agency to administer the 
Ante, p. 1814. 
program assisted under this part; 
"(2)(A) specify results of the needs assessment conducted as 
required by title I of this Act of individuals with severe handi-
caps as such assessment identifies the need for supported 
employment services, including the coordination and use of the 
information within the State relating to section 6180t))(3) of the 
Education of the Handicapped Act; and 
"(B) describe the quality, scope, and extent of supported 
employment services to be provided to individuals with severe 
handicaps under this part, and specify the State's goals and 
plans with respect to the distribution of funds received under 
section 635 of this part; 
"(3) provide assurances that— 
"(A) an evaluation for each individual describes training 
and traditionally time-limited post-employment services 
leading to supported employment; 
"(B) an individualized written rehabilitation program as 
required by section 102 will be developed outlining the 
Ante, p. 1808. 
services to be provided; 
Grants. 
29 u s e 795m. 
Ante, p. 1808. 
100 STAT. 1836 
PUBLIC LAW 99-506—OCT. 21, 1986 
"(C) such services will be provided in accordance with 
such program or a program specified under subsection 
(b)(3)(D) of this part; 
"(D) such services will be coordinated with the evaluation 
results, the individual written rehabilitation plan or edu-
Ante, p. 1815. 
cation plan as required under section 102 of this Act, 
42 use 6023. 
section 123 of the Developmental Disabilities Act of 1984, 
and sections 612(4) and 614(5) of the Education of the 
20 use 1412, 
Handicapped Act, respectively; 
1414. 
"(E) the State will conduct periodic reviews of the 
progress of individuals assisted under this part to deter-
mine whether services provided to such individuals should 
be continued, modified, or discontinued; and 
"(F) the State will make maximum use of services from 
public agencies, private nonprofit organizations, and other 
appropriate resources in the community to carry out this 
part; 
"(4) demonstrate evidence of collaboration by and funding 
from relevant State agencies and private nonprofit organiza-
tions to assist in the provision of supported employment 
services; 
"(5) provide assurances that all designated State agencies will 
expend not more than 5 percent of the State's allotment under 
this part for administrative costs for carrying out this part; and 
"(6) contain such other information and be submitted in such 
form and in accordance with such procedures as the Commis-
sioner may require. 
"SERVICES; AVAILABILITY AND COMPARABILITY 
29 use 795n. 
"SEC. 635. (a)(1) Services available under this part may include but 
are not limited to an evaluation of rehabilitation potential, provi-
sion of skilled job trainers who accompany the worker for intensive 
on-the-job training, systematic training, job development, follow-up 
services (including regular contact with the employer, trainee, and 
the parent or guardian), and consistent with subsection (b) regular 
observation or supervision of the individual with severe handicaps 
at the training site and other services needed to support the individ-
ual in employment. 
"(2) The evaluation of rehabilitation potential authorized by para-
graph (1) of this subsection shall be supplementary to the evaluation 
Ante, p. 1808. 
of rehabilitation potential provided under title I of this Act. 
"(b) Services authorized under this part are limited to training 
and traditionally time-limited post-employment services leading to 
supported employment. Extended supported employment services 
shall be provided by the relevant State agencies and private 
organizations as specified under section 634(b)(4) of this part or any 
other available source. 
"(c) Services provided under this part shall be complementary to 
services provided under title I of this Act. 
"RESTRICTION 
29 use 795o. 
"SEC. 636. Each designated State agency shall collect the client 
Ante, p. 1812. 
information required by section 13 of this Act separately for sup-
ported employment clients under this part and for supported 
employment clients under title I. 
PUBLIC LAW 99-506—OCT. 21, 1986 
100 STAT. 1837 
SAVINGS PROVISION 
"SEC. 637. Nothing in this Act shall be construed to prohibit a 
29 USC 795p. 
State from conducting or from carrying out training and tradition-
ally time-limited post-employment services leading to supported 
employment in accordance with the State plan submitted under 
section 101 from its State allotment under section 110. 
Ante, pp. 1814, 
1817. 
AUTHORIZATION OF APPROPRIATIONS 
"SEC. 638. There are authorized to be appropriated to carry out 
29 USC 795q. 
this part $25,000,000 for the fiscal year 1987, $26,470,000 for the 
fiscal year 1988, $28,060,000 for the fiscal year 1989, $29,730,000 for 
the fiscal year 1990, $30,949,000 for the fiscal year 1991.". 
(2) The table of contents of the Act is amended by inserting after 
item "Sec. 623." the following: 
"PART C—SUPPORTED EMPLOYMENT SERVICES FOR SEVERELY HANDICAPPED 
INDIVIDUALS WITH SEVERE HANDICAPS 
"Sec. 631. Purpose. 
"Sec. 632. Eligibility. 
"Sec. 633. Allotments. 
"Sec. 634. State plan. 
"Sec. 635. Services; availability and comparability. 
"Sec. 636. Restriction. 
"Sec. 637. Savings provision. 
"Sec. 638. Authorization of appropriations.". 
(b) LIMITATION.— 
29 use 795m 
(1) The amendment adding section 634(a) (made by subsection 
note, 
(a) of this section) shall not apply in any fiscal year in which the 
appropriation for part C of title VI of the Rehabilitation Act of 
1973 do not equal or exceed $5,000,000. 
Ante, p. 1834. 
(2) The provisions of paragraph (1) are repealed on September 30, 
1990. 
TITLE VIII—SERVICES FOR INDEPENDENT LIVING 
SEC. 801. ELIGIBILITY FOR COMPREHENSIVE SERVICES. 
29 USC 796a. 
Section 7020t>) of the Act is amended by striking out "recreational 
activities" and inserting in lieu thereof "recreational services". 
SEC. 802. STATE PLAN ASSURANCE. 
29 USC 796d. 
Section 705(a) of the Act is amended— 
(1) by redesignating clauses (5), (6), (7), (8), and (9) as clauses 
(6), (7), (8), (9), and (10), respectively; and 
(2) by inserting after clause (4) the following: 
"(5) provide assurances that the State will consider rec-
ommendations of the State independent living council in deter-
mining how independent living services will be expanded or 
modified;". 
SEC. 803. STATE INDEPENDENT LIVING COUNCIL. 
(a) GENERAL AUTHORITY.—Part A of title VII of the Act is 
amended by adding at the end thereof the following new section: 
100 STAT. 1838 
PUBLIC LAW 99-506—OCT. 21, 1986 
STATE INDEPENDENT LIVING COUNCIL 
29 use 796d-l. 
"SEC. 706. (a) There shall be established in each State receiving 
assistance under this title a State Independent Living Council (here-
after in this section referred to as the 'Council'). The Council shall— 
"(1) provide guidance for the development and expansion of 
independent living programs and concepts on a statewide basis; 
"(2) provide guidance to State agencies and to local planning 
and administrative entities assisted under this title; and 
"(3) prepare and submit to the State agency designated under 
section 705(a)(1) a five-year plan addressing the long-term goals 
and recommendations for the need for independent living serv-
ices and programs within the State. 
Handicapped 
"(b)(1) The Council shall be composed of representatives of the 
persons. 
principal State agencies, local agencies, and nongovernmental agen-
cies and groups concerned with services to handicapped individuals 
under this title; handicapped individuals and parents or guardians 
of handicapped individuals; directors of independent living centers; 
representatives from private business employing or interested in 
employing handicapped individuals; representatives of other appro-
priate organizations and other appropriate individuals. 
"(2) A majority of the membership of the Council shall be 
handicapped individuals and parents or guardians of handicapped 
individuals. 
"(3) The members of the Council shall be appointed by the director 
of the State agency designated under section 705(a)(1). 
"(c) The chairperson of the Council shall be selected from among 
the membership and shall also serve as a member of any State 
advisory committee primarily concerned with the provision of re-
habilitation services and any other appropriate State advisory 
committee concerned with services to handicapped individuals. 
"(d) Any State in which there is a council which substantially 
meets the requirements of paragraphs (1) and (2) of subsection (b) 
and has the authority or will, promptly after the date of enactment 
of the Rehabilitation Act Amendments of 1986, have the authority 
to carry out the functions prescribed in subsection (a) shall be 
deemed to meet the requirements of this section.". 
(b) CONFORMING AMENDMENT.—The table of contents of the Act is 
amended by inserting after item "Sec. 705." the following new item: 
"Sec. 706. State independent living council.". 
SEC. 804. GRANTS FOR CENTERS FOR INDEPENDENT LIVING. 
(a) APPLICATION CONDITIONS.— 
29 use 796e. 
(1) Section 7110t)) of the Act is amended— 
(A) by striking out "and" at the end of clause (1); 
(B) by striking out the period at the end of clause (2) and 
inserting in lieu thereof a semicolon and the word "and"; 
and 
(C) by adding at the end thereof the following new clause: 
Handicapped 
"(3) Contains assurances that each center will have a board 
persons. 
which is Composed of a majority of handicapped individuals.". 
(2) The amendments made by paragraph (1) shall take effect one 
year after the date of enactment of this Act. 
29USe796e 
(b) APPLICATION CONTENTS.—Section 711(c)(2) of the Act is 
note. 
amended— 
(1) by inserting after "housing" in clause (E) a comma and the 
following: "recreation"; 
PUBLIC LAW 99-506—OCT. 21, 1986 
100 STAT. 1839 
Grants. 
Federal 
Register, 
publication. 
(2) by inserting after "housing" in clause (F) a comma and the 
following: "recreational opportunities"; and 
(3) by striking out "activities" in clause (K) and inserting in 
lieu thereof "services". 
(c) TIMELINESS OF APPLICATION.—Section 711(d) of the Act is 
amended by striking out "six months" and inserting in lieu thereof 
"three months". 
SEC. 805. EVALUATION AND REVIEW OF INDEPENDENT LIVING CENTERS. 
29 USC 796e. 
(a) REVISION OF STANDARDS.—Section 711(e)(1) of the Act is 
amended by adding at the end thereof the following new sentence: 
"Such standards shall be revised as necessary, subject to paragraph 
(4) of this subsection.". 
(b) INDICATORS FOR STANDARDS; CONTINUED FUNDING; APPROVAL OF 
APPLICATIONS.—Section 711 of the Act is amended by striking 
subsection (f) and by adding at the end thereof the following: 
"(0(1) By July 1, 1988, the Commissioner shall publish in the 
Federal Register in final form indicators of what constitutes mini-
mum compliance consistent with the evaluation standards in subsec-
tion (e)(1). 
"(2) Each grantee shall report to the Commissioner at the end of 
each project year the extent to which the grantee is in compliance 
with the evaluation standards, beginning with fiscal year 1989. 
"(3) By the end of fiscal year 1991, the Commissioner shall have 
conducted on-site compliance reviews of at least one-third of the 
grantees receiving funding under this part in fiscal year 1987. The 
Commissioner shall conduct on-site compliance review of at least 15 
percent of grantees annually in subsequent years. Selection of 
grantees for compliance reviews shall be on a random basis. The 
Commissioner shall use the indicators of the evaluation standards in 
determining compliance. At least one member of an on-site compli-
ance review shall be a non-Federal employee with experience or 
expertise in the provision of independent living services. 
"(4) Beginning with the annual report to Congress for fiscal year 
1990 and in subsequent years, the Commissioner shall include an 
analysis of the extent to which grantees have complied with the 
evaluation standards. The Commissioner may identify individual 
grantees in the analysis. In addition, the Commissioner shall report 
the results of on-site compliance reviews, identifying individual 
grantees. 
"(g)(1)(A) From sums appropriated for the purposes of this section 
for fiscal year 1990, an amount which is 90 percent of the amount 
appropriated for fiscal year 1989 shall be available only for grantees 
receiving assistance in fiscal year 1989. 
"(B) The Secretary shall ensure that grants are made under 
subparagraph (A) only to Centers that meet the evaluation stand-
ards and shall make a determination concerning the termination, 
modification, or renewal of each grant on the basis of such 
evaluation. 
"(C) A grant under subparagraph (A) may not be less than 80 
percent or more than 100 percent of the grant to the Center for 
fiscal year 1989. The Commissioner shall determine the amount of 
each grant on the basis o
f
— 
"(i) the capacity of the recipient to obtain local resources to 
pay the non-Federal share of the cost of the Center; and 
"(ii) the economic conditions in the community to be served by 
the Center. 
Reports. 
100 STAT. 1840 
PUBLIC LAW 99-506—OCT. 21, 1986 
"(2) To the extent funds are available under paragraph (1), the 
Secretary shall award grants to new Centers located in unserved 
geographic areas. Grants to new Centers shall be awarded on a 
competitive basis. 
"(3) For fiscal year 1991 and for any subsequent fiscal year, new 
grant awards shall be made on a competitive basis and shall include 
consideration of past performance, where appropriate. 
"(4)(A) Each grant recipient receiving assistance under this sec-
tion in fiscal year 1986 shall continue to receive assistance through 
September 30, 1987, unless the Commissioner determines that the 
grant recipient is not in compliance with the provisions of the 
approved application of the grant recipient. 
"(B) Grant recipients continuing to receive assistance on the 
basis of the review described in subparagraph (A) of this paragraph 
shall be evaluated by the Commissioner using standards described 
in subsections (e) and (f) of this section. Each such grant recipient 
shall continue to receive assistance for 3 years unless the Commis-
sioner determines that the grantee is not substantially in compli-
ance with such standards and with the provisions of the approved 
application of the grant recipient. 
State and local 
"(h) In approving applications under this section, the Commis-
governments. 
sioner shall give priority to geographic areas among the States 
which are currently not served or underserved by independent 
living centers.". 
SEC. 806. REAUTHORIZATION FOR TITLE VII. 
Section 741 of the Act is amended to read as follows: 
"AUTHORIZATION OF APPROPRIATIONS 
29 use 7961. 
"SEC. 741. (a) There are authorized to be appropriated to carry out 
Ante, p. 1838. 
part A of this title $11,830,000 for fiscal year 1987, $12,310,000 for 
fiscal year 1988, $13,050,000 for fiscal year 1989, $13,860,000 for 
fiscal year 1990, and $14,428,000 for fiscal year 1991. 
"(b) There are authorized to be appropriated to carry out part B of 
29 use 796e. 
this title $24,320,000 for fiscal year 1987, $25,750,000 for fiscal year 
1988, $27,300,000 for fiscal year 1989, $28,980,000 for fiscal year 1990, 
and $30,168,000 for fiscal year 1991. 
"(c) There are authorized to be appropriated to carry out part C of 
29 use 796f. 
this title $5,290,000 for fiscal year 1987, $5,600,000 for fiscal year 
1988, $5,930,000 for fiscal year 1989, $6,300,000 for fiscal year 1990, 
and $6,558,000 for fiscal year 1991. 
"(d)(1) There are authorized to be appropriated to carry out part D 
29 use 796g. 
of this title such sums as may be necessary for each of the fiscal 
years 1987,1988,1989, and 1990. 
"(2) The provisions of section 1913 of title 18, United States Code, 
shall be applicable to all moneys authorized under the provisions of 
this subsection.". 
TITLE IX—AMENDMENTS TO OTHER LAWS 
SEC. 901. REAUTHORIZATION OF HELEN KELLER NATIONAL CENTER ACT. 
Section 205(a) of the Helen Keller National Center Act (29 U.S.C. 
1904) is amended by striking out the first sentence and inserting in 
lieu thereof "There are authorized to be appropriated to carry out 
PUBLIC LAW 99-506—OCT. 21, 1986 
100 STAT. 1841 
the provisions of this title such sums as may be necessary for each of 
the fiscal years 1987 through 1990.". 
SEC. 902. PRESIDENT'S 
COMMITTEE 
ON 
EMPLOYMENT 
OF THE 
HANDICAPPED. 
The joint resolution entitled "Joint resolution authorizing an 
appropriation for the work of the President's Committee on 
National Employ the Physically Handicapped Week", approved 
July 11, 1949 (63 Stat. 409) is amended— 
(1) by striking out "annually, out of any money in the Treas-
ury not otherwise appropriated, not to exceed the sum of 
$1,000,000" and inserting in lieu thereof "for each of the fiscal 
1 
years 1987, 1988, 1989, 1990, and 1991, such sums as may be 
•
' 
necessary"; and 
(2) by inserting at the end thereof "The President's Commit-
tee on Employment of the Handicapped shall be guided by the 
general policies of the National Council on the Handicapped.". 
TITLE X—TECHNICAL AND CONFORMING AMENDMENTS TO 
THE ACT 
SEC. 1001. USE OF GENDER NEUTRAL TERMINOLOGY IN ACT. 
(a) AMENDMENTS TO THE GENERAL PROVISIONS.— 
(1) Section 3(a) of the Act is amended— 
Ante, p. 1808. 
(A) in the third sentence by striking out "his functions," 
and inserting in lieu thereof "the functions of the office,"; 
„ 
: 
and 
' ' 
(B) in the sixth sentence by striking out "his functions" 
and inserting in lieu thereof "the functions of the office". 
(2) Section 6(b) of the Act is amended— 
29 USC 705. 
(A) by striking out "he" after "satisfied," and inserting in 
lieu thereof "the Secretary"; and 
(B) by striking out "he" after "or". 
(3) Section 7(4) of the Act is amended by striking out "he" and 
29 USC 706. 
inserting in lieu thereof "the Secretary". 
(4) Section 12 of the Act is amended— 
Ante, p. 1811. 
(A) in subsection (b) by striking out "his" and inserting in 
lieu thereof "the"; and 
(B) in subsection (c) by striking out "he considers" and 
inserting in lieu thereof "are considered". 
(5) Section 14(e) of the Act is amended— 
29 use 713. 
(A) by striking "Secretary" and inserting "Commis-
sioner"; and 
"' • 
(B) by striking out "to him, upon request" and inserting 
in lieu thereof "upon request of the Commissioner". 
(b) AMENDMENTS TO TITLE I.—Title I of the Act is amended as 
29 use 721. 
follows: 
(1) Section 101(a)(10) of the Act is amended— 
(A) by striking out "his functions" and inserting in lieu 
, 
,
^ 
thereof "the functions of the Commissioner"; and 
''^ ' 
(B) by striking out "he may find" and inserting in lieu 
thereof "are". 
(2) Section 101(b) of the Act is amended— 
7-|_ig/j 0 - 89 - 
: CL. 3 Part2 
'flt^. 
100 STAT. 1842 
PUBLIC LAW 99-506—OCT. 21, 1986 
• i'j,; 
(A) in the first sentence by striking out "he" and insert-
ing in lieu thereof "the Commissioner" and by striking out 
.jii* 
"he"; and 
(B) in the second sentence by striking out "his" and 
inserting in lieu thereof "the" and by striking out "he". 
'^- 
(3) Section 101(c)(1) of the Act is amended— 
^^ 
(A) in the first sentence by striking out "his discretion" 
^fc' 
and inserting in lieu thereof "the discretion of the Commis-
sioner" and by striking out "he" and inserting in lieu 
'; 
thereof "the Commissioner"; and 
•'< 
(B) in the second sentence by striking out "he" and 
inserting in lieu thereof "the Commissioner". 
(4) Section 101(d)(1) of the Act is amended by striking out 
"him" and inserting in lieu thereof "the Commissioner" and 
• by striking out "he" and inserting in lieu thereof "the 
Commissioner". 
29 use 722. 
(5) Section 102 of the Act is amended— 
(A) by striking out "his parents" each place it appears in 
-w 
r such section and inserting in lieu thereof "such individual's 
vT t'I parents"; 
(B) by striking out "his parent" and inserting in lieu 
thereof "such individual's parent"; 
(C) in subsection (d)(1) by striking out "his" and inserting 
in lieu thereof "the"; and 
(D) in subsection (d)(2) by striking out "his responsibil-
,, 
> ities" and inserting in lieu thereof "any responsibility of 
/• 
the Secretary". 
29 use 731. 
' 
(6) Section 111(b) of the Act is amended— 
(A) in paragraph (1) by striking out "him," and inserting 
., 
in lieu thereof "the Commissioner,"; and 
^^^ ^ 
''"• 
(B) in the first sentence of paragraph (2)— 
' ^ ^-'" "
^ 
. 
.
^ 
(i) by striking out "him" and inserting in lieu thereof 
m%;m.-- 
"the Commissioner"; and 
(ii) by striking out "he finds that his" and inserting 
in lieu thereof "the Commissioner finds that the". 
29 use 732. 
- 
-- 
(7) Section 112(e)(2) of the Act is amended by striking out 
"from time to time on such dates he may fix" and inserting in 
" ^' 
lieu thereof "at appropriate times". 
29 use 740. 
T
i 
(8) Section 120(b) of the Act is amended by striking out "he" 
both places it appears and inserting in lieu thereof "the 
Commissioner". 
29 use 761a. 
(c) AMENDMENTS T
O TiTLE II.—Section 202 of the Act is amended— 
(1) in the second sentence of subsection (a) by striking out "his 
g: functions," and inserting in lieu thereof "the functions of the 
office,"; 
gj, 
(2) in subsection (e) by striking out "he" and inserting in lieu 
thereof "the Director"; 
- V 'i 'l» K 
':'•- 
(^) i'^ subsection (g) by striking out "he considers"; and 
(4) in subsection (i)^ 
(A) by striking out "whatever actions he considers appro-
« aft ;, priate" and inserting in lieu thereof "appropriate actions"; 
and 
(B) by striking out "in his role of Chairman" and insert-
ing "as Chairperson". 
(d) AMENDMENTS TO TITLE III.—Title III of the Act is amended as 
follows: 
29 use 772. 
(1) Section 302(b)(3) of the Act is amended— 
PUBLIC LAW 99-506—OCT. 21, 1986 
100 STAT. 1843 
(A) by striking out "on his determination" and inserting 
in lieu thereof "if the Commissioner determines"; 
(B) in subparagraph (C) by striking out "his" and insert-
ing in lieu thereof "that individual's"; and 
(C) in subparagraph (D) by striking out "he" and insert-
ing in lieu thereof "the Commissioner". 
(2) Section 303 of the Act is amended— 
29 USC 773. 
(A) in subsection (e)(1) by striking out "he" and inserting 
in lieu thereof "the Commissioner"; 
* , = ; 
(B) in subsection (e)(2)(B) by striking out "he considers" 
and inserting in lieu thereof "considered"; 
(C) in subsection (e)(2)(C) by striking out "his" both places 
it;n 
is it appears and inserting in lieu thereof "a"; 
• 
ei 
y-'^. 
(D) by amending subsection (f)(1)(A) to read as follows: 
"(A) to enable the Commissioner to discharge the responsibil-
ities under loan guarantees issued under this section; and"; 
-IJ e 
lii: 
(E) in the third sentence of subsection (f)(1) by striking 
out "him from his" and inserting in lieu thereof "the 
Si 
Commissioner from"; 
'»ai<"^ 
- f 
(F) in subsection (f)(2)(A) by striking out "he", and insert-
ing in lieu thereof "the Commissioner"; and 
(G) in subsection (f)(2)(C) by striking out "he" and by 
^
^ ^ 
striking out "him" and inserting in lieu thereof "the 
Secretary". 
'-
(e) AMENDMENTS TO TITLE IV.— 
29 use 780. 
(1) Section 400(b)(3) of the Act is amended by striking out 
* 
"his" and inserting in lieu thereof "such member's". 
(2) Section 400(c) of the Act is amended by striking out 
"Chairman" both places it appears and inserting in lieu thereof 
"Chairperson". 
.^ ,^,, ... 
(f) AMENDMENTS TO TITLE V.—Title V of the Act is amended as 
'''' 
'''"^'" 
follows: 
(1) Section 501(e) of the Act is amended by striking out "his" 
29 USC 791. 
and inserting in lieu thereof "a". 
(2) Section 503(b) of the Act is amended by striking out "his" 
29 USC 793. 
and inserting in lieu thereof "a". 
, . -^ 
(3) Section 503(c) of the Act is amended by striking out "he" 
both places it appears and inserting in lieu thereof "The Presi-
dent", and by striking out "his" and inserting in lieu thereof 
"the". 
(4) Section 507 of the Act is amended by striking out "Chair- 
29 USC 794c. 
man" and inserting in lieu thereof "Chairperson". 
(g) AMENDMENTS TO TITLE VII.—Title VII of the Act is amended as 
follows: 
(1) Section 702 of the Act is amended by striking out "his" 
29 USC 796a. 
each place it appears and by inserting in lieu thereof "the". 
(2) Section 703(c) of the Act is amended by striking out "he" 
29 USC 796b. 
both places it appears and inserting in lieu thereof "the 
I
.
, Commissioner''. 
(3) Section 705(b) of the Act is amended by striking out "he" 
29 use 796d. 
and inserting in lieu thereof "the Commissioner". 
(4) Section 721(a) of the Act is amended— 
29 use 796f. 
(A) by striking out "his" both places it appears; and 
X.--' 
(B) in paragraph (3) by striking out "able to care for 
himself;" and inserting in lieu thereof "self-sufficient;". 
100 STAT. 1844 
PUBLIC LAW 99-506—OCT. 21, 1986 
SEC. 1002. TECHNICAL AND CONFORMING AMENDMENTS. 
f -
29 use 706. 
(a) AMENDMENTS TO THE GENERAL PROVISIONS.— 
(1) Section 7(3) of the Act is amended by striking out "des-
ignated State units" and inserting in lieu thereof "designated 
State unit". 
(2) Section 7(11) of the Act is amended— 
• 
(A) by striking out subparagraph (B) and inserting in lieu 
thereof "(B) testing, fitting, or training in the use of pros-
thetic and orthotic devices,"; and 
(B) in subparagraph (F) by inserting "psychiatric," before 
"psychological". 
: (b) AMENDMENTS T
O TITLE I.— 
29 use 750. 
(1) Section 130(b)(2) of the Act is amended by striking out 
"Health, Education, and Welfare" and inserting in lieu thereof 
"Education". 
29 use 751. 
(2)(A) Section 131 of the Act is repealed. 
r 
(B) The table of contents of the Act is amended by striking out 
the item relating to "Sec. 131". 
29 use 761a. 
(c) AMENDMENTS T
O TiTLE IL—Section 202(j)(l) of the Act is 
amended by striking out "at an institution of higher education". 
(d) AMENDMENTS TO TITLE IIL— 
29 use 771. 
(1) Section 301(b)(1) of the Act is amended by striking out 
"Commission" and inserting in lieu thereof "Commissioner". 
29 use 774. 
(2) Section 304(a)(2) of the Act is amended by striking out 
"program, and" and inserting in lieu thereof "program, and". 
29 use 775. 
(3) Section 305(c) of the Act is amended by redesignating 
paragraph (3) as paragraph "(2)". 
29 use 776. 
(4) Section 306 of the Act is amended by striking out "305(g)" 
and inserting in lieu thereof "305(f)". 
(e) AMENDMENTS TO TITLE V.— 
29 use 791. 
(1) Section 501 of the Act is amended by striking out "Office of 
Personnel Management" each place it appears and inserting in 
lieu thereof "Equal Employment Opportunity Commission". 
(2XA) Section 501(d) of the Act is amended by striking out "of 
the the activities" and inserting in lieu thereof "of the 
activities". 
29 use 792. 
, 
(B) Section 502(d)(2)(A) of the Act is amended by striking out 
"any, final order" and inserting in lieu thereof "any final 
order". 
(C)(i) Section 502(d)(3) of the Act is amended by striking out 
"Department of Health, Education, and Welfare" and inserting 
in lieu thereof "Department of Education", 
(ii) Section 502(d)(3) of the Act is further amended by striking 
<" out "with respect overcoming to" and inserting in lieu thereof 
"with respect to overcoming'. 
«' 
''^ 
(D) Section 502(e)(2) of the Act is amended by inserting "and" 
after "noncompliance". 
29 use 793. 
(3) Section 503(a) of the Act is amended by striking out 
3 
"section 7(7)" and inserting in lieu thereof "section 7(8)". 
29 use 794. 
(4) Section 504 of the Act is amended by striking out "section 
7(7)" and inserting in lieu thereof "section 7(8)". 
29 use 795. 
(f) AMENDMENTS TO TITLE VI.—Section 611(a) of the Act is 
amended by striking out "section 7(7)" and inserting in lieu thereof 
"section 7(8)". 
29 use 796a. 
(h) AMENDMENTS TO TiTLE VII.—Section 702 of the Act is amended 
by inserting "(a)" after the section designation. 
PUBLIC LAW 99-506—OCT. 21, 1986 
100 STAT. 1845 
SEC. 1003. CIVIL RIGHTS REMEDIES EQUALIZATION. 
(a) GENERAL PROVISION.— 
(1) A State shall not be immune under the Eleventh Amend-
ment of the Constitution of the United States from suit in 
Federal court for a violation of section 504 of the Rehabilitation 
Act of 1973, title IX of the Education Amendments of 1972, the 
Age Discrimination Act of 1975, title VI of the Civil Rights Act 
of 1964, or the provisions of any other Federal statute prohibit-
ing discrimination by recipients of Federal financial assistance. 
(2) In a suit against a State for a violation of a statute referred to 
in paragraph (1), remedies (including remedies both at law and in 
equity) are available for such a violation to the same extent as such 
remedies are available for such a violation in the suit against any 
public or private entity other than a State. 
(b) EFFECTIVE DATE.—The provisions of subsection (a) shall take 
effect with respect to violations that occur in whole or in part after 
the date of enactment of the Rehabilitation Act Amendments of 
1986. 
SEC. 1004. COST RATE REPORT OF THE SECRETARY. 
(a) ASSESSMENT.—The Secretary of Education shall conduct an 
assessment of the direct and indirect cost rates charged to State 
agencies designated to administer or supervise the administration of 
the State plan under the Rehabilitation Act of 1973 by other State 
agencies. 
(b) REPORT.—Not later than February 1, 1987, the Secretary shall 
submit a report of such assessment to the Congress. Such report 
shall include recommendations regarding alternative methods for 
establishing 
indirect 
cost 
rates, 
including 
establishing 
pre-
determined fixed rates by statute and prescribing standards for 
negotiating such rates. 
SEC. 1005. MAINTENANCE OF EFFORT. 
(a) GENERAL PROVISION.—Notwithstanding any other provision of 
the Education of the Handicapped Act, the Secretary and the State 
educational agency, in the case of section 614(aX2)(BKii) of that Act, 
shall not include expenditures made from an accrued fund reserve 
surplus after July 1, 1983, and prior to October 1, 1985, which are 
used for services for handicapped children. 
O
t
>
) EFFECTIVE DATE.—The amendment made by subsection (a) 
shall take effect with respect to fiscal years beginning after Septem-
ber 30,1983. 
42 u s e 2000d-7. 
State and local 
governments, 
u s e prec. title 1. 
29 u s e 794. 
20 u s e 1681. 
42 u s e 6101 
note. 
42 u s e 2000a 
note. 
State and local 
governments. 
29 u s e 701 note. 
20 u s e 1414 
note. 
State and local 
governments. 
Handicapped 
persons. 
100 STAT. 1846 
PUBLIC LAW 99-506—OCT. 21, 1986 
29 u s e 701 note. 
SEC. 1006. EFFECTIVE DATE. 
••}>• 
. 
}'•%? 
'J i t 
Except as otherwise provided in this Act, this Act shall take effect 
on the date of its enactment. 
Approved October 21, 1986. 
V * : . 
J . 
'\t, 
"j'-'f't. 
, 
• 
'"• '\ 
• 
3 
,>='V^ '7 
•
> 
: I 'ir. ?>j"'i; 
> ^ ' 
. » - ' > • , . 
LEGISLATIVE HISTORY—H.R. 4021 (S. 2515): 
HOUSE REPORTS: No. 99-571 (Comm. on Education and Labor) and No. 99-955 
(Comm. of Conference). 
SENATE REPORTS: No. 99-388 accompanying S. 2515 (Comm. on Labor and Human 
IL6S OU fCGS ) 
CONGRESSIONAL RECORD, Vol. 132 (1986): 
May 6, 7, considered and passed House. 
Sept. 8, considered and passed Senate, amended, in lieu of S. 2515. 
Oct. 2, House agreed to conference report. 
Oct. 3, Senate agreed to conference report. 
WEEKLY COMPILATION OF PRESIDENTIAL DOCUMENTS, Vol. 22 (1986): 
Oct. 21, Presidential statement.