Implementation of Randolph-Sheppard Act

FPCD-79-26: Published: Feb 27, 1979. Publicly Released: Feb 27, 1979.

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A comparison was made of Department of Defense (DOD) and Postal Service regulations regarding vending machine income with the Department of Health, Education, and Welfare (HEW) implementing regulations and the Randolph-Sheppard Act Amendments of 1974 to determine if they were consistent and implemented properly in Texas.

The DOD regulations were notably inconsistent with HEW regulations concerning the exemption of certain military vending machines from the income sharing provisions. Although not contrary to the 1974 Amendments and the HEW regulations, current Postal Service policy on "break-even" food operations, in order to provide adequate food service to its employees at the lowest reasonable cost, reduces the effect of the income sharing provisions designed to enhance blind participation.

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