Self-Employment

PURPOSE: This rule establishes the standards for self-employment services provided by Vocational Rehabilitation, Office of Adult Learning and Rehabilitation Services, Department of Elementary and Secondary Education for individuals with disabilities pursuant to the Rehabilitation Act of 1973 as amended and 34 CFR section 361.48(b)(19). PUBLISHER’S NOTE: The secretary of state has determined that publication of the entire text of the material that is incorporated by reference as a portion of this rule would be unduly cumbersome or expensive. This material as incorporated by reference in this rule shall be maintained by the agency at its headquarters and shall be made available to the public for inspection and copying at no more than the actual cost of reproduction. This note applies only to the reference material. The entire text of the rule is printed here. (1) Self-employment is a business operated by the client in which that individual performs, supervises, or subcontracts the major part of the product or service to be produced. Selfemployment is a vocational option that may be considered in the wide array of employment outcomes. Self-employment services must be agreed to by the eligible individual and approved by Vocational Rehabilitation (VR). (2) Individualized Plans for Employment (IPE) that have an objective of self-employment require a VR-approved business plan. (3) Self-employment businesses must comply with all applicable federal, state, local regulations and statutory requirements. (4) VR may only contribute in purchasing of required business equipment, supplies, rent (up to six (6) months), or other start-up costs identified in an approved business plan for selfemployment. (A) The client must contribute toward the cost of the planned services to the maximum of their abilities. The client must make application for all available comparable services, such as micro enterprise grants, Small Business Administration assistance, and Rural Missouri Incorporated assistance. (B) The percentage of VR’s contribution will depend upon comparable services or client contributions toward the selfemployment plan as well as the overall cost of the planned services. VR may contribute as follows: 1. Identified start-up costs from one dollar to five thousand dollars ($1 to $5,000)—up to one hundred percent (100%) VR’s contribution; AND SECONDARY EDUCATION 2. Identified start-up costs from five thousand one dollars to ten thousand dollars ($5,001 to $10,000)—up to an additional fifty percent (50%) beyond VR’s initial contribution of five thousand dollars ($5,000); 3. Identified start-up costs of ten thousand one dollars and above ($10,001 and above)—up to an additional twenty-five percent (25%) beyond VR’s contribution listed above; and/or 4. All self-employment plans that exceed VR’s total contri bution of ten thousand dollars ($10,000) must be reviewed and approved by the Self-Employment Review Team. (5) VR funds cannot be used for the purchase of the following: (A) Real property, defined as land, including land improve ments, structures, and appurtenances thereto, excluding moveable machinery or equipment; (B) Automobile, truck, van, airplane, boat, other powered ve hicle, or trailer that requires title and/or licensing by the state; (C) Live animals; (D) Alcohol; (E) Tobacco; (F) Firearms and/or other weapons as defined in section 571.010, RSMo; (G) Franchise fees and/or licenses for franchise rights; (H) Marijuana; (I) Materials or products associated with adult entertainment; (J) Motorized farm equipment except for equipment neces sary for the sole purpose of accommodating a disability; and (K) Liability insurance. (6) VR will follow all Missouri procurement policies as specified in the Revised Statutes of Missouri for the purchase, retention, repossession, and discarding of items including but not limited to prosthetic appliances; home modifications; vehicle modifications; initial tools, stock, and equipment; and/or rehabilitation technology/devices. (7) 34 CFR section 361.48(b)(19) is hereby incorporated by reference and made part of this rule as published by the U.S. Government Publishing Office, 732 N. Capitol St. NW, Washington, DC 20401-0001, August 2023. Copies of this regulation can also be obtained from the Department of Elementary and Secondary Education, Office of Adult Learning and Rehabilitation Services, 205 Jefferson Street, PO Box 480, Jefferson City, MO 65102-0480 and at https://dese.mo.gov/ governmental-affairs/dese-administrative-rules/incorporatedreference-materials. This rule does not incorporate any subsequent amendments or additions. AUTHORITY: sections 161.092, 178.600, 178.610, and 178.620, RSMo 2016.* This rule previously filed as 5 CSR 90-5.470. Original rule filed June 30, 2004, effective Jan. 30, 2005. Moved to 5 CSR 20500.280, effective Aug. 16, 2011. Amended: Filed Aug. 29, 2023, effective March 30, 2024. *Original authority: 161.092, RSMo 1963, amended 1973, 2002, 2003, 2013, 2014; 178.600, RSMo 1963; 178.610, RSMo 1963; and 178.620, RSMo 1963.