Michigan Administrative Code
Department - Labor and Economic Opportunity
Bureau of Services for Blind Persons
Vending Facility Program Rules
Section R. 393.40 - Leave of absence for self-employment

Universal Citation: MI Admin Code R. 393.40

Current through Vol. 24-04, March 15, 2024

Rule 40.

(1) A leave of absence may be granted to a licensee to provide an opportunity for self-employment outside the program. The leave shall not be for more than 5 years.

(2) A licensee who has 3 or more years of seniority may apply for a self-employment leave of absence. A request for a self-employment leave of absence shall be in writing and submitted to the program administrator not less than 60 calendar days in advance of the expected leave date.

(3) A committee that consists of the program administrator, the committee chair, and the subcommittee on promotion and seniority chair shall have 15 working days to approve or deny the request in writing, identifying the applicable rule and subrule or subrules for granting or denying the self-employment leave of absence. The applicant for a self-employment leave of absence shall meet the criteria described in subrules (1), (2), (6), and (7) of this rule. The committee shall also determine the eligibility of a person who returns to the program under the leave of absence policy as specified in this rule.

(4) State retirement credit shall resume pursuant to the rules and regulations of the state retirement system when a licensee reenters the program.

(5) A licensee who takes a self-employment leave of absence shall be responsible for obtaining information regarding his or her retirement status and benefits. The commission is not responsible for obtaining the information.

(6) A request for a self-employment leave of absence shall include evidence that self-employment outside the program is expected. Evidence may include any of the following:

(a) The filing of papers for an assumed business name.

(b) Approved franchise papers.

(c) New business purchase agreement.

(d) Vending facility of business.

(e) A loan agreement.

(f) Permit or licenses.

(7) All set-aside and insurance fees, repayment agreements and loans, and applicable state and federal taxes shall be current when a leave of absence for self-employment is granted.

(8) If, at any time during the leave of absence, evidence is brought to the attention of the administrator that 1 or more of the criteria described in subrules (9) and (10) of this rule have not been met, then the administrator shall request that the committee convene a review panel to review and ascertain the facts of the case within 15 calendar days. After the panel's review, its recommendation shall be forwarded within 15 calendar days to the administrator for a final decision. If it is determined that the licensee has violated the criteria, then the leave of absence shall be immediately terminated and license revocation proceedings shall commence.

(9) A licensee shall pay all set-aside and insurance fees before the due date of the month following the month in which the leave is given. Without exception, a licensee shall pay any other monies due to the program in full within 30 calendar days after the administrator notifies the licensee, in writing, of the obligations. A licensee shall pay all wholesalers and suppliers who have supplied goods and services at a program vending facility in full or pursuant to any agreement made between the licensee and the supplier.

(10) Before a person returns to the program, the licensee shall totally liquidate any business connections outside of the program. When requesting reentry into the program, the person shall submit copies of his or her internal revenue service schedule C (sole proprietorship) tax form for each tax year that he or she was on leave to verify that the leave was used for the purpose granted. The provisions of R 393.42 also apply to a self-employment leave of absence.

Disclaimer: These regulations may not be the most recent version. Michigan may have more current or accurate information. We make no warranties or guarantees about the accuracy, completeness, or adequacy of the information contained on this site or the information linked to on the state site. Please check official sources.
This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.