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Review of Agency Restructuring and the Business Enterprise Program at the South Carolina Commission for the Blind
July 2002

FOLLOW-UP (PDF)     REPORT (PDF)     SUMMARY (PDF)

Members of the General Assembly requested that the Legislative Audit Council conduct an audit of the South Carolina Commission for the Blind (SCCB). We examined the issue of restructuring and we reviewed the management of the commission’s Business Enterprise Program (BEP). There are between 10,000 to 12,000 blind and visually impaired individuals in the state, of whom the commission served 4,480 in FY 00-01. There are approximately 110 blind vendors served through the Business Enterprise Program which gives blind vendors first priority in operating vending facilities in public buildings. Our findings are summarized below.

  • We found that there are several options for restructuring all or part of the commission’s operations with the South Carolina Vocational Rehabilitation Department (SCVRD). This could lead to increased efficiency and lower cost without adversely affecting the quality of services provided to the blind and visually impaired.
  • The Business Enterprise Program is not effective in meeting its goals. Blind individuals in the program are not achieving self-sufficiency. Funds used to support the program would be better spent on other vocational rehabilitation services within the Commission for the Blind.
  • The BEP has not been effective in employing vendor assistants who are blind or visually impaired. The BEP manual states that it is the policy of the commission to employ as many blind individuals as possible in the program. However, only 6 (8%) of the 72 helpers are blind or visually impaired.
  • Certain vending facilities may not provide sufficient income to vendors to offset the cost to the BEP. In FY 00-01, 15 (14%) of the 110 stands had vendor income that was less than the $8,800 the BEP spends on average to service each stand.
  • We contacted 29 interstate concession stands during their prescribed work hours. Fourteen (48%) of the stands were unattended during the required working hours.
  • By placing machines on full service, a vendor receives income without having to service the machine. We found three stands where the blind vendor had contracted a significant percentage of the vending machines to a private company to service. This is known as full service. In one case, 45 (87%) of 52 machines had been placed on full service.
  • The commission has not enforced its policy concerning vendors who have become physically unable to operate their stands. We found two cases where vendors have been in ill health for a substantial period of time, but the agency has taken no action concerning their stands.
  • We found that the commission has not adhered to its policy regarding the repayment of debt owed by BEP vendors. In addition, the commission does not participate in the state’s Debt Setoff Program that is managed by the Department of Revenue.
  • In FY 00-01, the BEP had total state and federal expenditures of approximately $974,000. We found several ways in which the commission could reduce costs for the BEP by taking advantage of other funding sources. Implementing a set-aside, contracting out interstate vending stands, and/or billing vendors for repairs and maintenance would reduce the state funds required for the program.
  • We reviewed the selection process for vacant vending facilities and found that the commission has been inconsistent in following the selection process. We also found that vendor seniority has not been properly determined when reviewing applicants for promotion. In addition, selection committee members receive no formal training in how to evaluate vendors.