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Blind Vendors


ccassetty

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Under Ch 94 of the Texas Human Resources Code which is under the auspices of Title 20 of the USC, the state of Texas "licenses" handicapped people (with preference for blind people) to manage vending machine sales at government (state and federal) buildings. Under these rules, the state can provide retirement programs for these folks out of the proceeds of the sales.

Can anyone point me to cites that would provide further guidance on what types of plans are allowed under these rules and any other special rules under which they must operate? What about Social Security taxes?

Based on what I've read in the above cites, it sounds like the licensees are a mix of independent contractor and employee. They receive "commissions" but the state highly regulates how they operate their "business". The state government can set up a retirement program for these folks only if a majority of the licensed vendors approve the program. Then the state can fund the retirement program with part of the proceeds from the vending machines.

Any help would be greatly appreciated.

Carolyn

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Guest FormsRmylife

We administer the plan for the blind vendors in Pennsylvania; so, I felt compelled to post. :rolleyes:

These plans operate (or at least ours does) under federal laws that include the Department of Transportation.

My document is a MPP that has been gutted of all the unapplicable provisions. It cites Public Welfare Code, Act 21 of June 13, 1967and Public Law 93-516 that provides that vending machine income (in accordance with section 1369.8© of Title 45 of the Code of Federal Regulations) may be used to establish and maintain a retirement plan.

The contribution for each plan year is the amount of the vending machine income (in accordance with section 1369.8© of Title 45 of the Code of Federal Regulations) received during the plan year. This contribution is then allocated equally among the participants.

Would you like more information on the document provisions?

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